IOI Corporation Berhad (IOI) refers to the many news reports which highlighted that Malaysian plantation companies carried out slash-and-burn activities in Indonesia, and the use of such method for clearing lands in order to reduce cost.
We would like to reiterate that similar to most Malaysian plantation companies that we know, IOI has been practising Zero Burning Policy (regulated under the Environmental Quality Act 1974) and is in full compliance with the ASEAN Policy on Zero Burning for all our plantation operations for more than two decades. It is inconceivable for us to practise slash-and-burn as we would lose our sustainability certification for all plantations, almost 90% of which are located in Malaysia.
Knowing that the El Nino weather pattern over the past few year have been unpredictable, we are constantly on high alert and are always prepared to address any unforeseen circumstances. We have established the Fire Monitoring System (fire alert information system, fire towers, drones and patrolling), Emergency Response Programme and have fully-equipped our firefighting teams at all operation units. We recognise that fire risks must be mitigated at a landscape level, so we have provided adequate training and held numerous awareness programmes for the local communities.
Further to our management approach, we also work closely with the local authorities (IOI is also a member of the voluntary multi-stakeholder group called Fire-Free Alliance since 2017), villagers around our operations and neighbouring companies to coordinate our action in helping each other to prevent and control fires. Under our multi-stakeholder South Ketapang Landscape Initiative, we share information and has established a working group among the local stakeholders, to lead and coordinate fire-prevention and fire-fighting efforts.
We acknowledge the Indonesian government’s efforts in tackling this complex issue and we will continue to work closely with them while extending our full cooperation.