Resources

Indonesia: IFC CAO withdraws from mediation process in PT Asiatic Persada oil palm concession

The International Finance Corporation Compliance Advisor/Ombudsman (IFC CAO) has formally announced its withdrawal from the case of PT Asiatic Persada, following the sale of the concession by Wilmar in April 2013, and the new management’s decision to continue mediation through a government team instead. This is despite the fact that the affected Batin Sembilan communities and complaint signatory NGOs have repeatedly called on the IFC CAO to continue its role as mediator and to encourage the company to pursue this avenue towards conflict resolution.

Press Release - Indonesia: The Governor of Jambi Province must take action to tackle unscrupulous conduct of palm oil plantation PT Asiatic Persada

Nurman Nuri, Leader of the Suku Anak Dalam group 113 of Pinang Tinggi in the Indonesian province of Jambi, stated in a press conference held on 3 October 2013 at the office of Indonesian NGO CAPPA: "We demand that the Governor of Jambi Province immediately revokes the HGU (Business Use Permit) of PT Asiatic Persada, as since its establishment in the 1980s no benefits at all have been derived by the indigenous Suku Anak Dalam living in this territory, only misery."

The World Bank’s Palm Oil Policy

In 2011, the World Bank Group (WBG) adopted a Framework and Strategy for investment in the palm oil sector. The new approach was adopted on the instructions of former World Bank President Robert Zoellick, after a damning audit by International Finance Corporation’s (IFC) semi-independent Compliance Advisory Ombudsman (CAO) had shown that IFC staff were financing the palm oil giant, Wilmar, without due diligence and contrary to the IFC’s Performance Standards. Wilmar is the world’s largest palm oil trader, supplying no less than 45% of globally traded palm oil. The audit, carried out in response to a series of detailed complaints[1] from Forest Peoples Programme and partners, vindicated many of our concerns that Wilmar was expanding its operations in Indonesia in violation of legal requirements, Roundtable on Sustainable Palm Oil (RSPO) standards and IFC norms and procedures. Almost immediately after the audit was triggered, IFC divested itself of its numerous other palm oil investments in Southeast Asia.

A Política do Banco Mundial sobre o Óleo de Palma

Em 2011, o Grupo Banco Mundial (WBG na sigla em inglês) adotou um Quadro e Estratégia para investimentos no setor de óleo de palma. A nova abordagem foi adotada sob instruções do ex-presidente do Banco Mundial, Robert Zoellick, depois de uma condenatória auditoria realizada pelo Compliance Advisory Ombudsman - CAO - (Ouvidor para a Verificação do Cumprimento das Regras) da International Finance Corporation - IFC- (Corporação Financeira Internacional) ter revelado que o pessoal da IFC estava financiando o gigante do óleo de palma, Wilmar[1], sem a devida diligência, e contrário às Normas de Desempenho da IFC. Wilmar é o maior comerciante de óleo de palma do mundo, abastecendo nada menos que 45% do óleo de palma comercializado mundialmente. A auditoria, realizada em resposta a uma série de reclamações detalhadas do Forest Peoples Programme e dos seus parceiros, confirmou muitas das nossas preocupações de que Wilmar estava expandindo suas operações na Indonésia, em violação às exigências legais, normas da Mesa Redonda sobre Óleo de Palma Sustentável (RSPO na sigla em inglês) e as normas e procedimentos da IFC. Quase imediatamente depois do início da auditoria, a IFC desfez-se dos seus outros inúmeros investimentos em óleo de palma no sudeste da Ásia.

Securing High Conservation Values in Central Kalimantan: Report of the Field Investigation in Central Kalimantan of the RSPO Ad Hoc Working Group on High Conservation Values in Indonesia

This report provides an account of a short investigation carried out by the RSPO's Ad Hoc Working Group on High Conservation Values in Indonesia. It is being circulated to promote comprehension and discussion about the legal and procedural obstacles to securing such values in the oil palm sector in Indonesia with the view to promoting changes and legal reforms in order to secure these values more effectively. This version includes detailed comments on the report by Wilmar International.

IFC President suspends palm oil funding

In response to an appeal by a global coalition of NGOs, IFC / World Bank President Robert Zoellick has agreed to suspend IFC funding of the oil palm sector pending the development of a revised strategy for dealing with the troubled sector.

 

Serious setbacks in IFC’s handling of complaints about its support for Wilmar CAO admission of validity of NGO complaint regarding Wilmar ignored by IFC

UpdateFPP and 18 other NGOs, including local organisations in Indonesia, have been involved in a long-running process to get redress for the IFC’s persistent violations of its social and environmental policies in the palm oil sector in Indonesia. For over five years IFC has been providing financial support to the company Wilmar Trading / Wilmar International, one of the world’s largest palm oil dealers, directly and through various subsidiaries. In August 2007, FPP with other concerned NGOs and local organisations in Indonesia filed a complaint with the IFC Compliance Advisory Ombudsman (CAO) about this financing, alleging serious social and environmental problems in Wilmar’s operations, as well as violations of IFC’s own standards and procedures in making these credits and loans.