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How Sinar Mas is Pulping the Planet - Greenpeace

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how sinar mas <strong>is</strong> pulping <strong>the</strong> planet<br />

21<br />

CertIFYING<br />

BAD practice<br />

- controverSY<br />

IN <strong>the</strong> MIX<br />

“Over 2.5 million hectares of peat<br />

land allocated for development <strong>is</strong><br />

believed to be more than three metres<br />

deep, which <strong>is</strong> protected by law.”<br />

Indonesian National Development Planning Agency, 2009 234<br />

Knowing that a growing number of<br />

customers are seeking products<br />

certified as not coming from illegal or<br />

controversial sources, 249 APP has had<br />

a number of its mills’ chains of custody<br />

certified under <strong>the</strong> Programme for <strong>the</strong><br />

Endorsement of Forest Certification<br />

(PEFC) scheme. 250<br />

To bear <strong>the</strong> PEFC logo, a product<br />

must contain 70 per cent minimum<br />

of PEFC-certified virgin fibre, and <strong>the</strong><br />

remaining material in <strong>the</strong> product must<br />

come from ‘verified non-controversial<br />

sources’. <strong>How</strong>ever, as <strong>the</strong>re are no<br />

PEFC-certified forests or plantations<br />

in Indonesia, 251 any production of PEFC<br />

products by APP involves <strong>the</strong> import<br />

of PEFC certified pulp from o<strong>the</strong>r<br />

countries. Th<strong>is</strong> pulp <strong>is</strong> <strong>the</strong>n mixed with<br />

‘verified non-controversial material’ 252<br />

(i.e. non-certified timber) from a number<br />

of concessions in Sumatra. Serious<br />

questions remain as to how any such<br />

timber produced by APP companies can<br />

be classified as ‘non-controversial’.<br />

The company claims that its pulp<br />

mills in Sumatra, PT Indah Kiat and PT<br />

Lontar Papyrus, have introduced: 253<br />

“PEFC procedures for avoidance<br />

of raw material from controversial<br />

sources...verified by an independent<br />

third party certification body in order<br />

to provide confidence that no illegal<br />

or controversial wood enters <strong>the</strong> mills’<br />

fibre supply chain.” (APP Stakeholder<br />

Update, May 2008)<br />

The reality <strong>is</strong> that none of <strong>the</strong> raw<br />

materials entering <strong>the</strong>se mills had been<br />

officially verified under PEFC rules. In<br />

fact, at <strong>the</strong> time that th<strong>is</strong> statement was<br />

written, nei<strong>the</strong>r of <strong>the</strong> mills even had<br />

PEFC Chain of Custody certification. 254<br />

Following correspondence with<br />

<strong>Greenpeace</strong>, PEFC confirmed that<br />

APP has been asked to “modify <strong>the</strong><br />

statement to avoid any potential<br />

m<strong>is</strong>interpretation”. 255<br />

Elsewhere, APP has claimed that <strong>the</strong>se<br />

two mills “have been verified by an<br />

independent third-party certification<br />

body in order to provide confidence<br />

that no illegal or controversial wood<br />

enters <strong>the</strong> mills’ fibre supply chain.”256<br />

(Th<strong>is</strong> text appears above two images of<br />

audit certificates for <strong>the</strong>se mills, <strong>is</strong>sued<br />

by SGS auditors.)<br />

Asked by <strong>Greenpeace</strong> for details of th<strong>is</strong><br />

verification, an SGS auditor replied: 257<br />

“I cannot confirm that SGS has actually<br />

done an audit at <strong>the</strong> mills to confirm that all<br />

material received at <strong>the</strong>se mills <strong>is</strong> covered<br />

by <strong>the</strong> SGS verifications.” (SGS’ emphas<strong>is</strong>)<br />

SGS has more recently confirmed to<br />

<strong>Greenpeace</strong> that no such audit has<br />

taken place. 258<br />

In 2009, according to Min<strong>is</strong>try of Forestry<br />

data, 259 PT Indah Kiat continued to<br />

receive rainforest logs (i.e. MTH). As<br />

shown above, <strong>Greenpeace</strong> investigations<br />

illustrate that <strong>the</strong> company continues to<br />

source rainforest logs from tiger habitat<br />

and peatland forests, both considered<br />

highly controversial.<br />

In addition, acacia logs were supplied<br />

to PT Indah Kiat from plantations that<br />

were establ<strong>is</strong>hed on peat deeper than<br />

three metres, 260 which <strong>is</strong> illegal under<br />

Indonesian law. 261 As of 2006, 213,000<br />

hectares of acacia plantations inside<br />

<strong>Sinar</strong> <strong>Mas</strong>-controlled concessions<br />

were located on peatlands, with at least<br />

50,000 hectares located on peatland<br />

deeper than three metres. 262

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