Palm Oil Processing

Malaysian palm oil industry helps achieve SDGs

Malaysian palm oil industry helps achieve SDGs

4th July 2022

Overview

POPSIG-ARPOS Seminar 2022 was held on 4th July 2022 at 16:00 MYT (09:00 BST). Six professionals exchanged their views about the role of palm oil industry in achieving SDGs. The professionals discussed the efforts needed to improve the contribution of palm oil industry to SDGs.

Opening speech

Introduction to SDGs

Dr Helena Varkkey introduced that sustainable development refers to the development that meets the needs of the present without compromising the ability of future generations to meet their own needs. She highlighted that it is all about concerted efforts towards building an inclusive, sustainable and resilient future for people and planet. This could eradicate poverty in all its forms and dimensions.

In Malaysia, National SDG Council is chaired by the Prime Minister. It aims to establish direction for SDG implementation, set national agenda and milestones and prepare reporting to UN High Level Political Forum. The Steering Committee, which is chaired by the Director General of EPU, formulates SDG Roadmap, monitor progress of targets, identify issues and report to National SDG Council. It also manages five working committee: inclusivity, wellbeing, human capital, economic growth, and environment & natural resources.

Presentations

Moving Towards SDGs With MPOCC & MSPO Certification Scheme

On behalf of Mohd Hasbollah Suparyono (MPOCC), Tan Chee Yong presented that MSPO is a government’s commitment on sustainable palm oil production. MS2530:2022 emphasises on mitigating the impacts of global warming, upholding labour principles, assisting organisations in fulfilment of the Government of Malaysia’s policy, communicating sustainable practices to stakeholders, continual improvement and many more.

Chee Yong shared that MSPO certification can bring attendant benefits for tropical ecosystems. He reported that the rate of deforestation has fallen year on year in the result of MSPO impact.

Moving forward, MPOCC would improve quality management, conduct standards revision, study impact framework and satisfaction score, and improve the handling of complaints. On technology, MPOCC would make improvements in auditing, level up transparency and integrity, develop AI-based decision making and be more consumers/retail ready.

Reimagining Plantations

Dr Harikrishna Kulaveerasingam shared the industry and technology perspectives on SDG development in palm oil industry. It is important to improve the productivity without contributing to carbon and water footprint. He strengthened the significance to harness innovation, which referred to repurposing technology for uses that were not discovered before.

Dr Harikrishna presented that mechanisation and robotics in the industry have contributed to decent work and economic growth. Automated control and sensors for management of oil palm milling and palm oil processing optimise overall equipment effectiveness at work.

Good agricultural practice, integrated pest management, biocatalyst & genome, good manufacturing practice, MOH controls have minimised mineral oil contamination and 3-MCPD. Biogas for energy, EO water treatment, CO2 fixation for algae production, H2/full cell power packs for upstream robotics/autonomous solutions help tackle climate challenge.

Circular Economy Promotes Sustainability of Palm Oil Industry

Professor Ir Denny Ng presented that circular economy in palm oil processing is important to convert the waste (biomass and wastewater) into heat and electricity via combined heat and power system. The regeneration of energy can be used for processes in palm oil mill. Through thermal chemical and biological pathway, palm biomass can be converted into high value products (biofuels, biochemicals, biomaterials) and bioenergy (electricity).

Circular economy can be applied on site, in biorefinery and for recycle materials. Biogas, biochar, bio-oil, syngas, briquette and pellet from biorefinery can be fed to the boiler to generate useful outputs, such as electricity and MPS. Biogas from biorefineries can be streamed to CHP system to generate electricity for processing and to produce boiler feedwater for wastewater treatment.

Contribution of an Oil Palms Plantation Company Towards Achieving SDGs

Galau Melayong shared that all SOPB employees receive minimum wage. The firm also delivers training to local communities on the know-how and skills in oil palm cultivation. On wellbeing of employees, clinical facilities and treatments are provided for free to their workers.

SOPB also launched and implements NDPE Policy throughout supply chain for the conservation of life on land. Internal career development programme is provided to deliver decent work experiences. Palm biomass is recycled to produce renewable energy. SOPB is committed to produce and sell high-quality products with sustainability certification.

SDGs and Beyond: Malaysian Palm Oil’s Competitive Challenges & Opportunities

Khor Yu Leng highlighted that palm oil industry has performed well on SDGs, ESG and sustainable development. She shared that the UN Global Compact stated that taking actions was not enough, and matrices were still quite weak after 20 years.

In general finding on SDGs on UN Global Compact, there were too few SDG goals targeted. She questioned if people are moving harder with greater urgency to report better matrices and extend the coverage on UN SDGs. It is arguable that it has been 20 years of talking and pledges.

Yu Leng believed that the world should now be in the stage of measurable, as we are in the era where “greenwash” is very much a headlined topic.

Acknowledgements

The organisers gratefully appreciate the support provided by the following organisations:

Malaysian Palm Oil Council

Malaysian Palm Oil Council (MPOC) is a corporate body with a mission to promote the market expansion of Malaysian palm oil and its products by enhancing the image of palm oil and creating better acceptance through awareness of various technological and economic advantages (techno-economic advantages) and environmental sustainability.

Monash-Industry Palm Oil Education and Research Platform

Monash-Industry Palm Oil Education and Research (MIPO) is a platform for university-industry-government cooperation aimed to improve the sustainability of the palm oil industry in the country and beyond.

Universiti Kebangsaan Malaysia-Yayasan Sime Darby Chair for Sustainability

The UKM-YSD Chair for Sustainability focuses on the direct participation of the community and the industry to tackle sustainability challenges specifically on SDG1-No Poverty, SDG4-Quality Education, SDG9-Industry Innovation and Infrastructure, SDG12-Responsible Consumption and Production and SDG13-Climate Change.


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