MSPO P&C Audit Exercise

This Training Material is Belong to OSHISIS Solution PLT

MS 2530:2022

Malaysian Sustainable Palm Oil (MSPO)

Practical Audit Training in the Field

From this exercise, the participant will learn how to do on-site assessments and record audit data into the reporting process, including if any findings are classed as NC or OFI, through these group activities.

Participants will also learn how to tie the MSPO clause number to the audited process and the objective evidence that was found during the audit through this exercise.

What action should the group take?

Groups are assigned to the participants.
The assignment to perform an audit at the plantation is provided to each group based on the data below;
- Name of the business: Juta Flora Estate Sdn Bhd
- Site Name: Juta Flora Estate
- Standard: MS 2530:2022
- Category: Part 3-1
- Audit Criteria: MSPO Manual, established documents, and MSPO Principle & Criteria
Each team is assigned two tasks to complete. Click the to obtain the audit data
You are appointed as an auditor and instructed to conduct an audit on the field. The Audit Team will be divided into 3 groups, namely (1) Document Auditor, (2) Onsite Auditor in the field and (3) Onsite auditor to audit the facility.

You can also get a reference through the link below. Onsite audit information can refer to this

Task 1

Audit Report

non-conformity

OFI statement

written statement

Create a checklist based on to verify that the documented information needed to satisfy MSPO 2.0 standards is available.
Insert the data from the check list into each process' audit report that has been examined. (Auditor may apply the input from Turtle Diagram for drafting the audit report)
The audit findings report, draft a findings statement as either NC or OFI (Refer to for guidance)

Task 2

Is this plantation qualified to apply for certification under MSPO 2.0?
What steps must they take to ensure that they can meet the standards if they are not currently ready? List the prerequisites that need to be met before can proceed for certification audit by CB
Based on the guidelines provided in Clause 4 of Appendix 2 of the MSPO Certification Audit Public Summary Report , summarize all audit findings

Note: Every conclusion must be supported by appropriate statements that clarify each explanation provided.

Present your findings in Closing Meeting Session

The expected outcome for this activity

Optional - For Onsite Audit, Completing the audit checklist in the format that can be downloaded .
Generate the OFI or NC statement, if applicable.
Generate the audit report in the style of your choice and use it to support your findings in relation to Tasks 1 (2) and Task 2.

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MSPO DOCUMENTATION & IMPLEMENTATION

Policy

Procedure / SOP

Management Plan

New Planting Management Plan - Plantation

Safety and Health Plan

Environmental Management Plan

SIA Management Plan

Business Management Plan

MSPO management plan

Waste Management Plan

Water Management Plan

HCV Management Plan

Fire Mitigation Plan

MSPO Records

Internal Audit Report

Management Review

legal Register

Training Records

Stakeholder Records

Social Impact Assessment (SIA)

Maps and Boundaries of NCR land

FPIC, where its applied

Proof of legal acquisition of land title

Compensation

Stakeholder Complaints and resolutions

Information to subcontractors about conforming with MSPO Requirements

Sales and Delivery Records

Pricing for Products & Services

Hazard Identification and Risk Assessment

OSH Records

Employee Disciplinary actions Records

Employee & Labour Register

Job Description

GHG Records

Employment Contract

Work Recording

Payslips

Polluting Activities Assessment

Monitoring and Measurement

All &

of identified legal requirements

& (for Mill, Processing Plant or Dealers)

MSPO Training

MSPO Requirements

Appointed Personnel

for communications and consultation

responsible for workers' health and safety

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ONSITE AUDIT

Requirements for Policy, System or Procedure shall be communicated
1. Implementation of
2. System or procedure for dealing with
3. Procedure
4. Policy & System
5. Policy & Plan
6. Policy
7. Policy
MSPO Training
2. MSPO Requirements

Compliance Evidence

Site Management
- to divert the water from the river

This Training Material is Belong to OSHISIS Solution PLT

MS 2530:2022

Malaysian Sustainable Palm Oil (MSPO)

Content

Scope

Normative references

Terms and definitions

Principles and criteria

Principle 1: Management commitment and responsibility
- Criterion 1: Malaysian Sustainable Palm Oil (MSPO) policy
- Criterion 2: New planting
- 4.1.3 Criterion 3: Existing site management
- Criterion 4: Replanting
- Criterion 5: Training and competency
- Criterion 6: Economic and financial viability plan
- Criterion 7: Commitment to contribute to local sustainable development
- 4.1.8 Criterion 8: Complaints and grievances handling
- Criterion 9: Internal audit
- Criterion 10: Management review
Principle 2: Transparency
- Criterion 1: Communication and consultation
- Criterion 2: Traceability
- Criterion 3: Transparent and fair price dealing
- Criterion 4: Ethical Conduct
Principle 3: Compliance to legal requirements
- Criterion 1: Regulatory requirements
- Criterion 2: Rights to use land
- Criterion 3: Native customary rights
Principle 4: Social responsibility, health, safety and employment condition
- Criterion 1: Social Impact Assessment (SIA)
- Criterion 2: safety and health
- Criterion 3: Employment conditions
- Criterion 4: Living conditions
Principle 5: Environment, natural resources, biodiversity and ecosystem services
- Criterion 1: Environmental management
- Criterion 2: Efficiency of energy use and use of renewable energy
- Criterion 3: Waste management and disposal
- Criterion 4: GHG emissions
- Criterion 5: Water Resources
- Criterion 6: Environmental conservation and protection
- Criterion 7: Zero burning practices

This Training Material is Belong to OSHISIS Solution PLT

Principles and Criteria

Malaysian Sustainable Palm Oil (MSPO)

Part 1: General Principles

1 SCOPE

This Malaysian Standard specifies the framework of Malaysian Sustainable Palm Oil (MSPO) Standards along the oil palm value chain covering the operations of oil palm cultivation, fresh fruit bunches (FFB) processing facilities, crude palm oil (CPO), palm kernel (PK) and other oil palm products processing facilities as well as supporting activities such as transportation and trading of oil palm products.

Each specific part of the Malaysian Sustainable Palm Oil (MSPO) Standard specifies its own scope.

2 NORMATIVE REFERENCES

There are no normative references in this document.

3 TERMS AND DEFINITIONS

For the purpose of this Standard, the following definitions apply.

3.1 Biodiversity

Biodiversity is the variety of life on the planet. This includes the diversity within species, between species and of ecosystems.

NOTE. Original text from MS 2530-1:2013

3.2 Business or management plan

Document that describes and analyses business objectives and the actions to be taken, so that these objectives are achieved, reducing the risks and uncertainties that contain financial projections and economic viability.

NOTE. ISO 21401:2018(en), 3.5

3.3 Category of growers

a) Smallholder: 40.46 ha and below

b) Small estate: above 40.46 ha to 500 ha

c) Large estate/plantations: above 500 ha

3.3.1 Independent smallholders

Independent smallholders are individual farmers who own or lease less than 40.46 hectares of an oil palm farm and manage the farm themselves. Independent smallholders or leases may employ workers to carry out daily work at their farms.

NOTE. Original text from MS 2530-2:2013

3.3.2 Organised smallholders

Organised smallholders are individual farmers who own 40.46 ha or less of an oil palm smallholding and the holdings managed by government agencies such as FELDA, RISDA, FELCRA, SALCRA, SLDB and other state agencies.

NOTE. Original text from MS 2530-2:2013

3.4 Child and Young Person

3.4.1 Child

A person under the age of eighteen years.

NOTE. Child Act 2001 In relation to child labour (see 4.5)

3.4.2 Child

Any person who has not completed his fifteenth year of age. and

3.4.3 Young person

Any person who, not being a child, has not completed his eighteenth year of age.

NOTE. , ,

3.5 Child labour

Child Labour refers to work that deprives children (any person under 18) of their childhood, their potential and their dignity, and that is harmful to their physical and/or mental development. It refers to work that is mentally, or morally dangerous and harmful to children; and/or interferes with their schooling by:

a) Depriving them of the opportunity to attend school

b) Obliging them to leave school prematurely

c) Requiring them to attempt to combine school attendance with excessively long and heavy work

In its most extreme forms, child labour involves children being enslaved, separated from their families, exposed to serious hazards and illnesses and/or left to fend for themselves on the streets of large cities – often at a very early age. Whether or not particular forms of “work” can be called “child labour” depends on the child’s age, the type and hours of work performed, the conditions under which it is performed and the objectives pursued by individual countries. The answer varies from country to country, as well as among sectors within countries.

NOTE. International Labour Organisation (ILO) International Programme on the Elimination of Child Labour (IPEC)) (Adapted from ).

3.6 Competence

application of knowledge, skills, and behaviours in performance

3.7 Contractor

A contractor is an organization/individual that provides services to another organization in accordance with an agreed set of terms, conditions, and specifications.

NOTE. ISO 45001

3.8 Credit

MSPO certified oil palm product quantity in the accounting system

3.9 Dealers

Organisation which are categorised under all types of dealers under MPOB Licensing, including exporter and importer that purchases and sells oil palm products that do not change the chemical properties of the materials.

3.10 Debt bondage

Debt bondage – or bonded labour – reflects an imbalance in power between the worker-debtor and the employer-creditor. It has the effect of binding the worker to the employer for an unspecified period of time, anything from a single season, to years, or even successive generations. It bears no resemblance to taking a “normal” loan from a bank or other independent lender, for repayment on mutually agreed and acceptable terms.

3.11 Decent living conditions

decent living conditions are homes with adequate space, ventilation and equipped with sanitary facilities which are in compliance with prevailing laws and regulations, which serves a purpose of offering protection from cold, damp, heat, rain, wind or other threats to health (i.e. structural hazards, toxic pollutants)

3.12 Direct suppliers

Ssuppliers who directly supply raw materials/goods to an organisation/individual

3.13 Employees

employees are workers who hold the type of job defined as paid employment jobs with explicit (written or verbal) or implicit contract of employment, or a succession of such contracts, with the same employer on a continuous basis, the employees also include non-standard employments such as contract workers, casual/seasonal workers, temporary workers, day workers, etc.

3.14 Environmental Impact Assessment (EIA)

Environmental Impact Assessment (EIA) is a study to identify, predict, evaluate and communicate information about the adverse and beneficial impacts on the environment of a proposed project and to detail out the mitigating measures that are required to alleviate significant environmental impacts, prior to project approval and implementation

3.15 Ethical business conduct

ethical business conduct promotes values such as trust, good behaviour, good conscience, equity, fairness, and integrity

3.16 Fair contract

A contract is where two or more consensual parties form a binding agreement to perform certain transaction or obligations. A fair contract situation is where the parties to a contract commit to an agreement voluntarily and understand the terms and consequences of the contract.

Fair contracts must have certain elements i.e., the contract must be voluntary, must not involve deception or misrepresentation during negotiation, the parties must intend to live up to the conditions set, and the contract must not involve duress or compulsion.

3.17 Food security

When all people, at all times, have physical, social and economic access to sufficient, safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life.

3.18 Forced labour

Forced labour refers to work or service which is exacted from any person under the menace of any penalty and for which said person has not offered him or herself voluntarily. The indicators for forced labour are:

a) Abuse of vulnerability

b) Deception

c) Restriction of movement

d) Isolation

e) Physical and sexual violence

f) Intimidation and threats

g) Retention of identity documents

h) Withholding of wages

i) Debt bondage

j) Abusive working and living conditions

k) Excessive overtime

NOTE. and .

3.19 fragile and marginal soils

soils that are susceptible to degradation (reduction in fertility) when disturbed and/or unlikely to produce acceptable economic returns for the proposed crop at reasonable projections of crop value and costs of amelioration

3.20 Free, Prior and Informed Consent (FPIC)

FPIC implies participatory, informed, non-coercive consultation and negotiations between organisations, local communities, and indigenous people prior to developments on their customary lands

FPIC requires accurate, timely and sufficient information provided in a culturally appropriate way for it to be considered a valid result or outcome of a collective decision-making process.

NOTE. .

3.21 Greenhouse gas (GHG)

Greenhouse gases are those gaseous constituents of the atmosphere, both natural and anthropogenic, that absorb and emit radiation at specific wavelengths within the spectrum of infrared radiation emitted by the Earth’s surface, the atmosphere, and clouds. This property causes the greenhouse effect. Water vapor (H2O), carbon dioxide (CO2), nitrous oxide (N2O), methane (CH4), and ozone (O3) are the primary greenhouse gases in the Earth’s atmosphere.

3.22 High Conservation Value (HCV)

High Conservation Value (HCV) – biological, ecological, social or cultural values which are considered outstandingly significant or critically important, at the national, regional or global level.

The six categories of HCV are defined as follows:

HCV1: Species diversity
HCV2: Landscape-level ecosystems and mosaics
HCV3: Ecosystems and habitats
HCV4: Ecosystem services
HCV5: Community needs
HCV6: Cultural values

3.22.1 HCV Area (HCVA)

– An area which houses one or more HCVs. HCVA are defined as natural habitats where these values are considered to be of outstanding significance or critical importance.

3.22.2 HCV Management Area

– The area that needs to be appropriately managed to maintain or enhance HCVs NOTE.

3.23 Human rights

3.23.1 Human rights as in the federal constitution

Human rights refer to the fundamental liberties as enshrined in Part II of the , which is Article 5 to 13. The Federal Constitution guarantees certain fundamental liberties, such as:

a) Personal liberty (Article 5);

b) Prohibition against slavery and forced labour (Article 6);

c) Protection against retrospective criminal laws and repeated trials (Article 7);

d) Equality before the law and the rights to equal protection of the law (Article 8);

e) Prohibition of banishment and freedom of movement (Article 9);

f) Freedom of speech, assembly and association (Article 10);

g) Freedom of religion (Article 11);

h) Rights in respect of education (Article 12); and

i) Right to property (Article 13)

NOTE. Part II of the Federal Constitution – Fundamental Liberties

3.23.2 Human rights in relation to employment

Human rights with inclusion of the Fundamental Human Rights Articles 22, 23, 24, 25 which is directly related to terms and conditions of employment and quality of life of workers.

social security

b) Article 23 pertaining to the right to work, the right to equal pay, the right to just and favourable remuneration and the right to form and to join trade unions;

c) Article 24 pertaining to the right to rest and leisure, including limitation of working hours and periodic holidays with pay;

d) Article 25 pertaining to the right to a standard of living adequate for the health and well-being of the worker and his family, the right to security in the event of unemployment, sickness, disability, widowhood or old age, special care and assistance to motherhood and childhood.

3.24 human rights defenders

individuals or groups who act to promote, protect or strive for the protection and realisation of human rights and fundamental freedoms through peaceful means.

3.25 Land tenure

Land tenure is the relationship, whether legally or customarily defined, among people, as individuals or groups, with respect to land. “Land” is used here to include other natural resources such as water and trees.) Land tenure is an institution, i.e., rules invented by societies to regulate behaviour. Rules of tenure define how property rights to land are to be allocated within societies. They define how access is granted to rights to use, control, and transfer land, as well as associated responsibilities and restraints. In simple terminology, land tenure systems determine who can use what resources for how long, and under what conditions.

NOTE. .

3.26 Local community

A group of people who share something in common based on geographic location and based on a community’s common characteristics other than physical proximity within or surrounding the project or concession area.

3.27 local sustainable development

local sustainable development should be based on the results of consultation with indigenous and local communities and should have long term economic, social and/or environmental benefits for future generations, such consultation should be based on the principles of transparency, openness and participation, and should encourage them to identify their own priorities and needs

3.28 native customary rights

The terminology ‘native customary rights’ or ‘customary title’ describe the interests of the natives of Sarawak and Sabah in their traditional lands.

The term ‘aboriginal customary title’ or ‘aboriginal title’ describes the interest of the aborigines in Peninsula Malaysia in their lands. Although the land laws in Peninsula Malaysia, Sarawak, and Sabah developed differently and to some extent, independently, courts in Malaysia have described NCR in Sabah and Sarawak as synonymous with the aboriginal title of the aborigines in Peninsula Malaysia. So, when we use the terminology “native customary rights” it should relate to natives from Sabah, Sarawak and Peninsular Malaysia.

Native title based in native laws and customs Native title originates in the traditional laws and customs of the natives and does not rely on or find its source in statutes. NCR under common law and statute are complementary rights and must be viewed conjunctively. Where customs are codified, such codification does not extinguish uncodified, related customs. Native customs are afforded the status of law under the Federal Constitution.

3.29 natural forest

a forest that is a natural ecosystem

a) primary forests that have not been subjected to major human impacts in recent history;

b) regenerated (second-growth) forests that were subjected to major impacts in the past (for instance by agriculture, livestock raising, tree plantations, or intensive logging) but where the main causes of impact have ceased or greatly diminished and the ecosystem has attained much of the species composition, structure, and ecological function of prior or other contemporary natural ecosystems;

i) harvesting of timber or other forest products, including management to promote high-value species; and

ii) low intensity, small-scale cultivation within the forest, such as less-intensive forms of swidden agriculture in a forest mosaic.

d) forests that have been partially degraded by anthropogenic or natural causes (e.g. harvesting, fire, climate change, or invasive species) but where the land has not been converted to another use and where degradation does not result in the sustained reduction of tree cover below the thresholds that define a forest or sustained loss of other main elements of ecosystem composition, structure, and ecological function.

The categories "natural forest" and "tree plantation" are mutually exclusive through in some cases the distinction may be nuanced, please see the Operational Guidance on Applying the Definitions Related to Deforestation, Conversion, and Protection of Ecosystems for further discussion of boundary cases

for the purpose of corporate no-deforestation commitments, the focus is on preventing the conversion of natural forests

3.29.1 deforestation

loss of natural forest as a result of:

i) conversion to agriculture or other non-forest land use;

ii) conversion to a tree plantation; or

iii) severe and sustained degradation

3.30 New establishment

Establishment of operating & trading sites, for palm oil processing & transaction, other than plantation activities.

3.31 New planting

planned or proposed planting on land not previously cultivated with oil palm.

3.32 Non-conforming palm oil productst

non-fulfilment or failure to meet a requirement stated by an organisation or interested parties inrelation to MSPO traceability system

nitions

3.33 Oil palm products

Any product obtained directly from the oil palm or wholly or partly manufactured or derived from such product and includes palm oil, palm kernel, palm kernel cake, oil palm shell, palm fatty acids, oil palm planting material, oil palm fruit, oil palm fibre, oil palm empty fruit bunches, oil palm fronds, oil palm trunks, oil palm roots, oil palm-based fibreboards, oil palm-based pulp and paper and oil palm-based chemicals.

NOTE. Malaysian Palm Oil Board Act 1998 (Act 582)

3.34 Operation

All activities planned and/or undertaken by the organisation within the boundaries of the operations.

3.35 Organisation

Company, corporation, firm, enterprise, authority or institution, person or persons or part or combination thereof, whether incorporated or not, public or private, that has its own functions and administration.

NOTE. ISO 30000:2009(en), 3.10

3.36 Palm Oil Value Chain

Palm oil value chain covers the activities from seed production to the end product that consist of palm oil but not limited to: nursery, farm/estates, collecting centre, milI, transportation, refinery, processors, traders, repackers and manufacturers.

3.37 Peat soils

Peat soils are soils with an organic layer of more than 50cm in the top 100 cm of soil containing more than 65% of organic matter (more than 65% Loss on Ignition) or 35% or more organic carbon.

NOTE. Leamy and Panton 1966, Paramanathan 2016, drawing on IUSS 1930

3.38 Polluting activities

Any human activities that affect the environment by contributing to air, water, soil, light and noise pollution.

NOTE. Live Science website

3.39 principal employer

the principal (business entity that uses the contractor) shall have overall control/oversight/responsibility for all employees including those of their contractors

3.40 Rainwater harvesting

Rainwater harvesting refers to any collection, storage and usage of rainwater as an additional source of water supply for housing and agricultural use.

NOTE. Department of Irrigation and Drainage (DID, Rainwater harvesting guidebook)

3.41 Replanting

Replanting refers to planting from oil palm to oil palm on land previously cultivated with oil palm.

3.42 Riparian/riparian buffer zone

A riparian zone is essentially the land adjacent to streams and rivers; a unique transitional area between aquatic and terrestrial habitats. Plant communities in the riparian zone are called riparian vegetation. This zone may be taken to consist of four sections, each having different physical conditions, particularly in terms of exposure to water currents, periodical inundation and soil type. The plants found in each section have specific adaptations which enable them to tolerate these physical conditions:

a) Lower bank: Constantly subjected to erosive water current. The plants here are able to survive submerged underwater for extended periods of time, with root systems that are able to hold the soil in place.

b) Upper bank: Occasionally subjected to erosive water current. The plants here are tolerant to sporadic inundation

c) Terrace face: Only subjected to inundation during high flow events, such as annual flooding. The plants here range from wetland to dryland species.

d) Upper terrace: Only subjected to extreme high flow events, such as 1 in 100-year floods. The plants here are mainly dryland species. NOTE. by The Ministry of Energy and Natural Resources (MNRE) on the Riparian Guideline dated 27th October 2009

3.43 Social benefits

Social benefits are benefits that are given outside of employment contract i.e., something that everyone in a community receives/benefits a community outside and/or within oil palm plantations. This should also include public goods and services.

3.44 Social Impact Assessment (SIA)

Social impact assessment is the process of analysing, monitoring and managing the intended and unintended social consequence, both positive and negative, of planned interventions (policies, programmes, plans, projects) and any social change process invoked by those interventions.

NOTE. International association for impact assessment (IAIA)

3.45 Social origin

Social origin includes social class, socio-occupational category and caste. It refers to race, colour, sex, language, religion, political or other orientations within which a person has been nurtured.

3.46 Supply chain

The series of steps through which palm oil products are transferred from the smallholders/plantations to the end users. NOTE. MSPO Supply Chain Certification Standard (MSPO SCCS)

3.47 Sustainable development

Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

NOTE. . Our Common Future, Chapter 2: Towards Sustainable Development

3.48 Stakeholders

Individual or group that has an interest in any decision or activity of an organisation.

NOTE. , 2.20 – Guidelines on social responsibility

3.48 affected rights holders

person(s) who will be directly affected by any proposed activity of an organisation, including and especially any person whose native customary rights will be affected

3.49 Traceability

The ability to identify and trace the origin, distribution, location and application of products and materials through supply chains.

NOTE. For MSPO purposes, traceability starts from plantation/ farm.

3.50 Triangular employment

A triangular employment arrangement is a situation where the employer (the agency) arranges for the employee’s placement or assignment with a third party (controlling third party).

4 PRINCIPLES AND CRITERIA

4.1 Principle 1: Management commitment and responsibility

Top management shall demonstrate leadership and commitment in implementing the Malaysian Sustainable Palm Oil (MSPO) system and achieving its aims. This shall be initiated by establishing a policy for MSPO implementation, which is compatible with the organisation's strategic direction and business processes. Management shall also provide resources and support for its implementation, including reviewing the effectiveness and striving for continual improvement of their sustainable palm oil system. Organisations shall also provide opportunities for indigenous and local communities to prosper together.

Link to P&C on specific PARTs

4.1.1 Criterion 1: Malaysian Sustainable Palm Oil (MSPO) policy

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.2 Criterion 2: New planting

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.3 Criterion 3: Existing site management

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.4 Criterion 4: Replanting

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations

4.1.5 Criterion 5: Training and competency

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.6 Criterion 6: Economic and financial viability plan

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.7 Criterion 7: Commitment to contribute to local sustainable development

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.8 Criterion 8: Complaints and grievances handling

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.9 Criterion 9: Internal audit

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.1.10 Criterion 10: Management review

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.2 Principle 2: Transparency

Organisations shall be transparent in their business relations to create trust and to demonstrate the value that they are offering. This can lead to better communication, participation and collaboration as well as informed decision making

Link to P&C on specific PARTs

4.2.1 Criterion 1: Communication and consultation

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.2.2 Criterion 2: Traceability

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.2.3 Criterion 3: Transparent and fair price dealing

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.2.4 Criterion 4: Ethical conduct

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.3 Principle 3: Compliance with legal and other requirements

Organisations shall determine applicable legal requirements related to their operations and ensure compliance. Decision making should consider updated legal requirements including laws at the local level.

Link to P&C on specific PARTs

4.3.1 Criterion 1: Regulatory requirements

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.3.2 Criterion 2: Rights to use land

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.3.3 Criterion 3: Native customary rights

Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Dealers

4.4 Principle 4: Responsibility to social, health, safety and employment conditions

The organisations' responsibility to its employees shall include conducting operations with good governance and upholding labour principles.

Link to P&C on specific PARTs

4.4.1 Criterion 1: Social Impact Assessment (SIA)

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.4.2 Criterion 2: safety and health

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.4.3 Criterion 3: Employment conditions

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.4.4 Criterion 4: Living conditions

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5 Principle 5: Environment, natural resources, biodiversity and ecosystem services

Organisation's commitment to environmental management, conservation and protection shall cover prevention of pollution, optimising use of natural resources and mitigating the impacts of global warming

Link to P&C on specific PARTs

4.5.1 Criterion 1: Environmental management

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.2 Criterion 2: Efficiency of energy use and use of renewable energy

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.3 Criterion 3: Waste management and disposal

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.4 Criterion 4: GHG emissions

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.5 Criterion 5: Water Resources

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.6 Criterion 6: Environmental conservation and protection

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

4.5.7 Criterion 7: Zero burning practices

Independent Smallholders
Organised Smallholders
Oil Palm Plantations
Oil Palm Plantations
Palm Oil Mill
Palm Oil Processing Facilities
Dealers

This Training Material is Belong to OSHISIS Solution PLT

Principles and Criteria

Malaysian Sustainable Palm Oil (MSPO)

Part 3-1: General principles for oil palm plantations

(40.46 hectares to 500 hectares)

(First revision)

1 SCOPE

This Malaysian Standard specifies the requirements for Malaysian Sustainable Palm Oil (MSPO) that organisations will use to demonstrate their commitment to sustainable practices. This Malaysian Standard covers the areas of operations of oil palm cultivation and transportation of products to collecting centres/mills. It applies to all aspects affecting oil palm production which can be monitored and influenced by organisations. It can be applied with reference to the MPOB Codes of Practice and any other management systems implemented by the organisations.

2 NORMATIVE REFERENCES

There are no normative references in this document.

3 TERMS AND DEFINITIONS

Refer to for the terms and definitions.

4 PRINCIPLES AND CRITERIA

4.1 Principle 1: Management commitment and responsibility

4.1.1 Criterion 1: Malaysian Sustainable Palm Oil (MSPO) policy

There shall be a policy on the implementation of Malaysian Sustainable Palm Oil (MSPO) by the organisation to demonstrate its commitment. The policy shall emphasise commitment to continual improvement.