Sabah TLAS Audit Report

Transcription

1 Sabah TLAS Audit Report Sabah Legality Standard Principles 1 4 Licensee Lagenda Aktif Sdn. Bhd. Reference # G Contact Person Office Address Vincent Tong (Chief Operating Officer) Prasetyo Agung Widodo (GPM) Lot 11-2, 2 nd Floor, Block G, Lintas Square, Jalan Lintas, Kota Kinabalu, Sabah. Date of Report Date of close out Telephone 03/11/ Fax vin06kok@yahoo.com.sg prasagung06@yahoo.com Approved By Dr. Kevin T. Grace Statements Audit Statement GFS 033 LVS Issuance Date 01 December 2017 Expiration Date 30 November 2018 Assessment Details Assessment Dates 30 October 03 November 2017 Scope of Assessment Species Lead Assessor Assessor(s) FDS Staff TLAS P1 P4: SFMLA 02/2012 (KGU 29/12) ITP Rubber Plantation & (KGU 11/14) NFM Mosaic Planting Rubber, mixed dipterocarp and pioneer species Wong Bin Heang Charlene Billy and Dayang Hanisah Binti Maidin Roslan Junaidi (FLEGT Officer), Henry Ladsou (DFO Sook), Mohd Duraman (KPPM Pingas), Victor Gadino (KPPM Pingas) and Haslan Durani (PPM Pingas) OBJECTIVES: The objective of this checklist is to verify compliance to the Criteria listed in the Sabah Legality Standard as defined by Principles 1-4 for Sabah dated 01 st January 2015 (FDS-TLAS-002). Compliance is defined when all applicable criteria are observed to be compliant. A Minor Gap to any indicator does not constitute non-compliance to a criterion. A Major Gap to any applicable indicator does reflect non-compliance to a criterion. Compliance for a criterion where multiple minor gaps are identified in indicators under the criterion may reflect non-compliance to the criterion. All issues identified under this standard shall be considered appropriate to the scale and degree of forestry operations undertaken by the parties under the agreement. 1

2 Summary Information Overview of Licensee: The State Government of Sabah has awarded an area of 10,008 ha located in Ulu Sg. Millian Forest Reserve to Lagenda Aktif Sdn. Bhd. under Sustainable Forest Management Licensed Agreement (SFMLA) 02/2012. Ulu Sg. Millian Forest Reserve is classified as Commercial Forest Reserve (Class II) and falls within FMU11, which formerly managed by Bornion Timber Sdn Bhd. Under the SFMLA 02/2012 provision, Lagenda Aktif is responsible to carry out forestry operation within the licensed area on sustainable basis for a period of 50 years (24 May December 2062). Lagenda Aktif engaged Smart Link Formation Sdn. Bhd. and Ming Kim Soon Sdn. Bhd. as nursery contractor, whereas mosaic, rubber planting, and maintenance activities are carried out by Lagenda Aktif workers. Land classification FMP Area (ha) Current (ha) Total Concession Area 10,008 10,008 Production Area Natural Forest Management Area (Mosaic area) (salvage logged) (planted to date) Plantation Forest (ITP) 8, , (salvage logged) Protected Forest & Conservation Areas (including riparian reserve) 2, (planted to date) Social Community & Agriculture * *proposed by FDS but still under further discussion among stakeholders. Environmental Context: The SFMLA licensed area was formerly held by Bornion Timber Sdn. Bhd. before it was excised in Since 1997, no activities were carried out by Bornion Timber Sdn. Bhd. within this part of the FMU 11. Prior to 1997 (in the 70s), Ulu Sg. Millian Forest Reserve was extensively logged by at least 19 different companies. The logging licenses were issued on a short to medium term basis, which varied from one year (Form I license) to 25 years (Special license), depending on the extent of the area licensed. The licensees were not required to carry out forest rehabilitation and silvicultural treatment operations under these licenses. This was solely under the responsibility of the Sabah Forestry Department. The SFMLA area comprises three forest types, which include Upland Mixed Dipterocarp Forest (9,337.9 ha), Lowland Mixed Dipterocarp Forest (558.9 ha), as well as Lowland Dipterocarp and Heath Forest ( ha). The forests of the licensed area are severely degraded and left with low quality stands of Dipterocarp species (Shorea leprosula, Anisoptera costata, Hopea sangal, etc.), and are mostly dominated by Macaranga spp. and species of the Zingerberaceae family. No new wildlife assessments have been undertaken in the area to determine the extent of these wildlife species that still occur. The only areas left behind are disturbed habitats within the NFM area. The local communities are relying highly on the watershed areas within the SFMLA area, as the water-gravity systems are located here. Existing EIA report Lagenda Aktif holds an approved EIA report, which covers the logging area of Ulu Sg. Millian Forest Reserve. 2

3 Social context FDS-TLAS-006 A Social Baseline Survey (SBS) was carried out by Lagenda Aktif from November 2011 to January 2012, in full consultation and cooperation with the staff of Sook and Nabawan District Forest Offices, as well as officers from both District Councils. No village is located within the SFMLA area. However, there are four villages located 2 km away from the boundary of the SFMLA area, which include Kg. Saup Baru, Kg. Pulutan, Kg. Mototou, and Kg. Kawakaan. Most of the population of these villages belong to the Dusun and Murut Lundayeh ethnic groups. Most of the villages enjoy basic infrastructure facilities such as all villages are accessible by roads. Electricity is supplied to the villages by SESB or generator sets. All villages have installed piped gravity water. About 20% of the respondents owned Titled Land (ranging from 0.1 ha and 5.0 ha), whilst 80% stated that they do not own any land or they are in the process of application for Native Titles. In addition, all villagers recognized the importance of watershed conservation as their water supply source. The only watershed areas available are located within the SFMLA area. Scope of Assessment The scope of the evaluation is to verify compliance of Lagenda Aktif Sdn. Bhd. with the Sabah Forest Management License Agreement (SFMLA 02/2012) for FMU 11. The assessment is in accordance on the terms of the agreement for the Sabah Legality Standard Principles 1-4 dated 01 st January 2015 (FDS-TLAS-002). Site evaluation to verify and report the level of compliance by Lagenda Aktif Sdn. Bhd. and contractors to the standard in respect to each of the criteria within this report. Compliance is defined when the auditee demonstrates that the indicators consist of none or only minor gaps against any applicable criteria of the standard. Non-compliance to the Sabah Legality Standard occurs when the auditee does not demonstrate adequate compliance to a criterion. Itinerary of Assessment Date 30 October 2017 Monday 31 October 2017 Tuesday 01 November 2017 Wednesday 02 November 2017 Thursday 03 November 2017 Friday Travel to Keningau. Activity Opening meeting at PPD Sook. Field visit to Legenda Aktif FMU11: licensed boundaries, Compartment 21 and 6: workshop, chemical store, nursery, quarters, gates. Field visit to FIIB Puteh Aman Power Plantation Sdn. Bhd.: licensed boundary, Terus Jadi Enterprise (sub-contractor) quarters, workshop. Document review and closing meeting at PPD Keningau. Travel to Sandakan. 3

4 Highlights of Assessment (Major Gaps = 0; Minor Gaps = 1; Observations = 2) Lagenda Aktif Sdn. Bhd. has complied with the Sabah Legality Standard (FDS-TLAS-002) as no noncompliance was identified during the assessment on 30 October 3 November Summary of status of operations by Principle: Principle 1. Compliance to SFMLA licensed agreements, coupe permits, 2017 Annual Work Plan, 2016 Compliance Report, and Environmental Impact Assessment. Observation 001 Checklist 1.4: FMP is subject to be revised in 5 years, however, Lagenda Aktif has yet to revise their FMP. Based on the approved forest rezoning by the forestry (Ref.#: JPHTN/SO 700-2/1/127/Klt.18/60 dated 16 November 2015), a gross area of 6, ha has been earmarked for ITP. This equates to about 69.9% of the total area that has yet to be revised in the FMP. Forest rezoning within ITP area for conservation area and water catchment with total area: 1, ha was approved (Ref. #: JPHTN/SO 700-2/1/127/Klt.18/60 Dated: 16 November 2015) resulting in a total area of 2, ha inside the project area to be identified and marked in the land use map for conservation. Principle 2. Lagenda Aktif has complied with the 2016 Annual Work Plan and EIA and DOSH. No harvesting was conducted in Briefing on Safety and Health training were conducted to workers. The company maintains monthly records of form 8A (SOSCO) for local workers. 9 local workers sampled are insured under SOCSO and possess Certificate of Identity (COI), however several COI were not updated. (Observation 002) Principle 3. Licensing fees and other charges were maintained and kept in the office. GAP 001/2017 Minor Checklist 3.1.1: Inconsistency of renewal OP by Lagenda Aktif. 5 out of 10 OP had been expired. FDS had sent reminder letter for Lagenda Aktif to renew expired OPs. (Ref. #: 1. JPHTN/SO 700-2/10/JLD.17/109 dated 28/09/2017, 2. JPHTN/SO 700-2/10/JLD.17/118 dated 23/10/2017). Principle 4. No village resides within the SFMLA area. However, there are four villages located within 2 km of the SFMLA area boundary, they are: Kg. Saup Baru, Kg. Pulutan, Kg. Mototou, and Kg. Kawakaan. A total of ha of the ITP area (30%) are proposed to be gazetted, as community forest area (Ref. #: JPHTN/SO 700-2/1/127/Klt.18/60 dated 16 November 2015) by Sabah Forestry Department, however, the proposal is still under further discussion among all related stakeholders. Results: (Compliance = 17; Non-Compliance = 0) Gap was raised against indicators & criteria during the November 2017 assessment. GAP Type Checklist Description 001/2017 Minor Inconsistency of renewal Occupation Permits by Lagenda Aktif. 5 out of 10 OP were expired. FDS had sent reminder letter for Lagenda Aktif to renew expired OPs. (Ref. #: 1. JPHTN/SO 700-2/10/JLD.17/109 dated 28/09/2017, 2. JPHTN/SO 700-2/10/JLD.17/118 dated 23/10/2017). 4

5 Status of previous outstanding Gaps. GAP Type Checklist Status Description of Close Out Observations raised during the November 2017 assessment. Obs# Checklist Description FMP has yet to be updated: a. The inventory results of Strata 3 & 4 do not reflect the FDS classification of forestry quality strata. b. Forest rezoning within ITP area for conservation area and water catchment with total area: 1, ha was approved (Ref. #: JPHTN/SO 700-2/1/127/Klt.18/60 Dated: 16 November 2015) resulting in a total area of 2, ha inside the project area to be identified and marked in the land use map for conservation. However, this has yet to be revised in the FMP. 9 local workers sampled are insured under SOCSO and possess Certificate of Identity (COI), however several COI were not updated. Highlights of Close Out Visit (if applicable) Dates - Not applicable Recommendations Lagenda Aktif Sdn. Bhd. has demonstrated compliance with the Sabah Legality Standard (FDS-TLAS- 002) for its designated area and is recommended to receive a GFS Audit Statement and STCC from FDS. Gaps/observations identified in this assessment should be addressed before the next surveillance visit. Action required to close the gaps/observations include: Gap 001/2017 (Minor) Checklist 3.1.1: Renew expired OP as required. Observation 001 Checklist 1.4: To revise FMP with accurate information (forest strata and forest zoning) Observation 002 Checklist 2.6.1: COI needs to be updated accordingly. The next surveillance audit will be scheduled in November End of Summary Report 5