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Noteworthy Positive Components

PT. MUTUAGUNG LESTARI

Total 5.42 GALA

3.4 Identification of Findings, Corrective Action, Observations, Opportunity for Improvement and Noteworthy Positive Components

3.4.4 Noteworthy Positive Components

No Ref. Std. Description

1 - Commitment to implement principles of sustainable oil palm plantation management.

2 - Company has competent human resources in their respective fields.

3 - Company has presented of documents quite good

4 - Company has obtained a PROPER certificate with a Blue rating in 2020-2021.

PT. MUTUAGUNG LESTARI

RSPO ASSESSMENT REPORT 3.5 Summary of Arising Issues from Public and Auditor Verification

Public Issues

(Institution/ NGO/Community) Auditor Verification Tritunggal Village Representative

 The company has good relations and communication with the village

 There are no issues such as overlapping land with mining, land disputes / conflicts, environmental pollution or land fires.

 The company has provided socialization regarding the existence of conservation areas along with protected flora and fauna which are routinely carried out every year.

 The company has provided equal employment opportunities for both local residents and non local residents.

 The company has also realized CSR such as teacher operational funds, school children assistance, religious assistance, etc.

There’s no negative issues need to further observation.

Wiraagung Village Representative

 The company has a good relationship with the village community.

 The company has CSR programs and realizations that really help the surrounding community.

 There are no issues related to pollution in the company's operational environment or the area around the company.

 The company creates job opportunities for the surrounding community.

 Some communities cooperate with the company such as transporting FFB and empty fruit bunches.

 There is no burning activity either in the village or around the company.

There’s no negative issues need to further observation.

Land Agency of Mesuji District

 There are no issues related to land disputes

 All areas controlled by the company have been clean and clear.

 There have been no complaints from the community or any parties regarding the land issue owned by the company

There’s no negative issues need to further observation.

Environment Agency of Mesuji Regency

 The company has permits of hazardous waste management and liquid waste utilization for land application which are still valid.

 The company has submitted mandatory environmental management reports such as reports on liquid waste management, reports on every hazardous waste management, and reports on the implementation of RKL- RPL on a regular basis to Environment Agency of Mesuji Regency.

 There is no environmental pollution from operational of the

There’s no negative issues need to further observation.

PT. MUTUAGUNG LESTARI

RSPO ASSESSMENT REPORT Public Issues

(Institution/ NGO/Community) Auditor Verification company has been reported to Environment Agency of

Mesuji Regency.

EFB Transporter

Each work is agreed upon in the work agreement. So far, the company has made payments according to what is stated in the work agreement and there has been no practice of bribery to get tenders. Regular socialization regarding compliance with the RSPO is always carried out, for example in terms of minimum wages, Employment and Health Insurance, and OHS aspects. PPE is provided for each employee

In general, there are no negative issues that need further clarification.

Mechanical Contractor

Each work is agreed upon in the work agreement. So far, the company has made payments according to what is stated in the work agreement and there has been no practice of bribery to get tenders. Regular socialization regarding compliance with the RSPO is always carried out, for example in terms of minimum wages, Employment and Health Insurance, and OHS aspects. PPE is provided for each employee

In general, there are no negative issues that need further clarification.

Staff of the Manpower and Transmigration Office of the Mesuji Regency Government:

 PT SIP has implemented a minimum wage according to the Mesuji Regency drinking wage, because it is higher than the Bone Bawang Regency minimum wage

 PT SIP is orderly in submitting employment reports - During 2021 to 2022 there were no negative reports

related to industrial relations

- PT SIP has reported the work agreement document for a certain time in February 2022

- In general, the facilities for employees and workers are quite decent

 PT SIP is a company that complies with applicable laws and is very cooperative with the direction of the Manpower and Transmigration Office

In general, there are no negative issues that need further clarification

Gender committee representative (SBYE, SBYM, GALA, MSJA)

 During 2021 to 2022 there were no reports of sexual harassment of female workers

 There has been socialization regarding the rights of women workers, including menstrual leave, the right to breastfeed children at work, pregnancy check-ups,

 There is no discrimination in employment opportunities and promotion opportunities for female workers

In general, there are no negative issues that need further clarification

PT. MUTUAGUNG LESTARI

RSPO ASSESSMENT REPORT Public Issues

(Institution/ NGO/Community) Auditor Verification

 4, women's types of work are adapted to women's nature and have minimal risk to reproductive health

 The gender committee routinely identifies pregnant and lactating women, to ensure that female workers can work properly

Labour union representatives

1. During 2021 to 2022 there were no complaints regarding the fulfillment of workers' rights

2. The wages of workers are in accordance with applicable regulations, using the Mesuji Regency minimum wage, because it is higher than the Bone Bawang Regency minimum wage

2. There has been a collective work agreement, which is an agreement between the company and the workers and unions

3. So far employee complaints can be responded to by the company according to applicable procedures and regulations

4. Trade unions regularly hold meetings with workers to solicit workers' aspirations and complaints related to work, worker protection and workers' rights

In general, there are no negative issues that need further clarification

Agriculture Agency of Mesuji Regency

Interviewee: Division Head of Plantation (Kabid Perkebunan) Date of interview: 28 March 2022

 The company has Plantation Class I which authorized by Agriculture Agency of Lampung Province

 The company has submitted mandatory reports on time, such as Semester LKUP, Fire Monitoring Report and Land Use Report.

 The company has involved local community in arranging annual CSR program.

 There is no overlapping area with forest and/or customary area.

 There is no issues or reports from local and NGO related to fire incidences in PT SIP. Company facilities on fire management has considered satisfactory.

In general, there are no negative issues that need further clarification.

PT. MUTUAGUNG LESTARI

RSPO ASSESSMENT REPORT