Tunas Baru Lampung/ Sungai Budi Group

Tunas Baru Lampung is a subsidiary of Sungai Budi. It is a publicly-listed producer of CPO headquartered in Jakarta, Indonesia. Tunas Baru Lampung is a member of RSPO since 2006. Their RSPO membership profile can be found here.

1) Foresthints article titled, “Top officials investigate extent of Palm Oil company’s Peatland violations” (28 November 2016)

2) Chain Reaction Research article titled, “Tunas Baru Lampung TBK

3) Rainforest Foundation Norway and Aidenvironment report titled, “Nordic investments in banks financing Indonesian Palm Oil” (May 2017)

4) Greenpeace report titled, “Deforestation case studies” (December 2017) sent directly to us via email.

5) Chain Reaction Research article titled, “Tunas Baru Lampung: Contested land and peat clearing could drive substantial value loss” (April 2018)

6) Greenpeace reportFinal Countdown: Now or Never to Reform the Palm Oil Industry” (19 September 2018)

(1), (2), (3), (4), (5) and (6) No public NDPE policy

Under-declared planted area size in its 2015 ACOP

New development without fulfilling RSPO NPP

Deforestation by subsidiary, PT Solusi Jaya Perkasa (SJP) in West Kalimantan

New land development by subsidiary, PT Dinamika Graha Sarana (PT DGS) in areas targeted for restoration by the Indonesia’s Peat Restoration Agency

Non-compliance with terms of its permit issued by the Ministry of Environment and Forestry in 2012

Land dispute with local community since 2007 in South Sumatra

Alleged deforestation of 4,100 hectares of forest, mostly peatlands between August 2015 and October 2017 by PT Samora Usaha Jaya (PT SUJ) in South Sumatra.

January 2017
We engaged with TBL regarding the allegations mentioned in the Chain Reaction Research Report. We applied ‘controlled purchase’ on TBL’s mills in South Sumatera

August 2017
We are not buying from the mill in South Sumatra and currently have no supply chain link with PT Samora Usaha Jaya (SUJ).

TBL has conveyed that its operations have been legally compliant and that it has explained itself to the Ministry of Environment and forestry on their activities in December 2016.

At the same time, we will follow up on the dialogue with TBL on PT SUJ regarding the outcome of the soil survey and their engagement with the government’s Peat Restoration Agency (BRG).

We will also verify on TBL’s statement on no further development at PT SJP in West Kalimantan and that the Group was not clearing land.

January 2018
We touched base with TBL to initiate a meeting.

February 2018
A meeting has been arranged for 24 April 2018.

April 2018
We met with the management team to seek clarifications on points raised in the Chain Reaction Research report (4).

July 2018
Our last purchase was in July 2018.

December 2016
TBL met the Kementerian Lingkungan Hidup dan Kehutanan (KLHK) (Ministry of Environment and Forestry) on the issue of peat clearance in Jakarta.

January 2017
TBL clarified to Musim Mas that they have a sustainability policy in place since Jan 2015 and have not used burning to clear the said land.

TBL further confirmed that all necessary legal permits and licenses were obtained in accordance with the Plantation laws, leading to the renewal of the concession permit.

March 2018
TBL issued a statement refuting the allegations in the Chain Reaction Research article, stating that the article contains inaccuracies.

April 2018
The management team clarified on the points raised in the Chain Reaction Research report, as reflected in the statement published in March 2018.

August 2018
TBL admitted to clearing peat land in PT SJP and PT Bumi Perkasa Gemilang until end-2016.

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