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Update Statement on IOI Pelita
12/01/2018Corporate Sustainability

Following a continuous dialogue with stakeholders concerning the IOI Pelita case, IOI would like to provide the following public update to reaffirm its commitment to resolving the dispute with local communities and to clarify the next steps in the resolution process.

First and foremost, IOI would like to state that:

  • It is committed to the resolution of the IOI Pelita case as a central and inseparable component of the company’s Sustainable Palm Oil Policy (SPOP)
  • It is committed to, and will abide by, the Action Plan as submitted to the RSPO Complaints Panel (CP) at end-November 2017
  • It will contribute the necessary resources and capacity towards the implementation of the Action Plan and act in accordance with its own sustainability policy approach, as an RSPO member and as a committed partner to the communities in question
  • It will not actively seek divestment of the IOI-Pelita Joint Venture until the resolution of the case, as determined by the RSPO CP within an agreed time period, and in consultation with stakeholders
  • In addition, measures to strengthen IOI’s internal governance process will be introduced to ensure that any future decisions likely to impact the implementation of the company’s SPOP are subject to appropriate due diligence.

IOI also met with RSPO Secretariat on 11 January 2018 to receive feedback from the CP on its Action Plan. However, the CP is still not ready with its feedback although some preliminary discussions about the Plan have taken place. IOI will continue the planning for the field implementation in consultation with the relevant stakeholders.

IOI looks forward to continued collaboration with Grassroots and other NGO partners in working towards a fair and just solution for all concerned parties, in line with RSPO’s Principles and Criteria.