Protecting the Environment

No Deforestation and Planting on Peat

FGV is committed to no deforestation, no planting on peat and no exploitation (NDPE). Recognising the potential impact of our industry on the environment, FGV undertakes to adopt the following practices:

  • No new planting on peatland regardless of depth
  • No development on areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)
  • No open burning in all its premises
  • No use of agrochemicals categorized as World Health Organization Class 1A or 1B or that are listed by the Stockholm or Rotterdam Conventions

In line with our NDPE commitment, there has been no deforestation and conversion of peatland in our operational area since our revised GSP 2017.

Due to the inconsistency of the peatland area, FGV initiated a peatland inventory by a third-party assessor in 2023. Previously, our peatland area was kept by different entities within FGV (plantation operation, advisory). However, there were no new planting on peatland in FGV since 2017. This can be confirmed with the same total planted area in the last two years, which is 10, 272.72 ha (see details here)

FGV is also committed to ensuring responsible sources and shall not source FFB from deforested areas.

Details of our mechanisms in monitoring deforestation activity in our supplier’s area and the alert received can be found here.

Climate Action

FGV is committed to playing our role in meeting SDG 13: Climate action, which is also in line with our Group Sustainability Policy.  we have embarked on climate action programs across our operation which ultimately seek to promote efficient utilization of energy and resources, as well as to minimize carbon and GHG emissions. Details on our GHG emission, water use intensity, and quality, as well as its progress, can be found here

FGV also envisions a future where renewable energy becomes the main source of power generation. In supporting global action to achieve SDG7, FGV is also moving towards expanding the use of renewable energy in its operations. Details about FGV’s renewable energy programs are available here.

Reduction of GHG Emissions

In light of Paris Agreement 2015 and UN goals on climate action, we have integrated climate change measures into our business strategy and planning. We are increasing the ability to adapt to the adverse impacts of climate change and foster climate resilience and low greenhouse gas emissions development through our periodic reduction of GHG emissions (such as methane, CH4, released from our palm oil processing activities). We capture and utilise the methane gas released from our wastewater anaerobic treatment facilities at our mills. To date we have progressively installed and now operate 25 biogas FGV is presently the single largest plantation owner of biogas plants in the world, with a total of 25 plants. Our 2019 data shows that our biogas plants managed to reduce 158,830MT of CO2. We target to reduce our GHG emissions by 25% from our baseline years of 2014 by 2020.

Year 2014 2015 2016 2017 2018 2019
CO2 reduction (MT) 68, 695 72, 814 87, 429 116, 750 264, 000 158, 830

Reduction of CO2 emissions from FGV’s plants

Bio-compressed Natural Gas (BIO-CNG)

FGV Palm Industries Sdn Bhd (FGVPI) is in a collaboration with Sime Darby Energy Solutions Sdn Bhd (SDES) and Biotek Dinamik Sdn Bhd (BDSB), to produce bio-compressed natural gas (BIO-CNG) from palm oil mill effluent (POME), which will allow potential development of 35 brownfield and greenfield sites owned by FGVPI. Bio-CNG is a viable and sustainable alternative to fossil-derived natural gas that will be explored for both local and export market for potential industrial consumption and vehicle conversion on build-own-operate basis. Capturing and recycling this biogas to produce a green and renewable fuel makes commercial sense, while also contributing to our efforts to reduce emissions from the production of palm oil which is in line with the Government of Malaysia’s focus on renewable energy.

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SPEAK UP! You will be HEARD

If you wish to report a grievance or raise concerns related to bribery, abuse of power, fraud, misconducts or other issues pertaining to sustainability, please fill in the form below. We assure that your identity will be protected.

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    Alternatively, you can also send in your complaint, additional information and supporting documents to us at the following address:

    FGV Holdings Berhad

    Group Governance & Risk Management Division
    Complaint Management & Detection Department
    Level 13 West, Wisma FGV, Jalan Raja Laut, 50350 Kuala Lumpur
    Tel: 1800-88-8717