menu bar

8 PT SMART’s managed mills win green level PROPER awards

Posted: Dec 07, 2016 3 minute read SMART

JAKARTA, 7 December 2016 – A number of PT SMART Tbk.’s managed palm oil mills in Kalimantan and Sumatera were rated green by the Indonesian government for exceeding the expected regulatory compliance level.

Under the so-called PROPER, a government programme for pollution control, evaluation and rating, this year eight of PT SMART’s managed mills – double the number last year and the highest number of Green ratings awarded in the Indonesian palm oil sector this year – were seen as consistently demonstrating outstanding efforts beyond the government’s regulatory requirements in environmental management.

The mills are located in South Kalimantan (4 mills), West Kalimantan (1 mill), Riau (2 mills) and South Sumatera (1 mill) provinces. Three of the mills at Batu Ampar and Sungai Kupang (South Kalimantan), and Muara Kandis (South Sumatera) retained their green level for the second year in a row.

Dr. Haskarlianus Pasang, Head of Sustainability Policy and Compliance of PT SMART Tbk says, “The government recognition of our efforts is a testament to our determination to implement our commitments under GAR’s Social and Environmental Policy.”

“Our goal is to work towards achieving beyond compliance in all mills that we manage and we will continue to improve our performance in all aspects of our business and develop innovative ways to reduce negative environmental impacts,” he says.

PT SMART has launched various initiatives on environmental management, including Greenhouse Gas emissions (GHG) reductions and forest conservation programmes. PT. Ramajaya Pramukti, which owns Rama-rama Mill for example, installs a tank digester system to capture methane from palm oil mill effluent treatment in order to reduce GHG emissions. At Ketapang, West Kalimantan Province, PT Agrolestari Mandiri with its Pekawai Mill has identified more than 3,500 hectares of High Conversation Value forest area through a joint conservation programme and launched a Desa Siaga Api (DSA) fire prevention initiative in eight villages in West Kalimantan. The DSA programme has been successful in preventing fire and haze incidents this year with the active support of the villagers and the company’s fire alert and response teams.

Since 2005, all of PT SMART’s mills have participated in the PROPER annual rating system and every year the company undertakes a rigorous assessment by the government appointed auditors for around 12-months. Before participating in the assessment, PT SMART assigns more than 10 internal environmental specialists to conduct internal audits, Standard Operating Procedure (SOP) trainings and workshops to strengthen to good governance practices and controls in the company’s mills and supply chain.

Run by the Ministry of Environment of Republic Indonesia, PROPER has five different levels with gold rating as the highest level, followed with green, blue, red and black. A gold rating is awarded to facilities that demonstrate excellent performance by going beyond the requirements of regulatory standards, and also by exhibiting similar results in control of air pollution and hazardous waste. A green level, the second highest level of the prestigious PROPER Award, means that the factories’ environment management procedures go beyond the expected compliance level, while a blue rating signifies compliance with national regulatory standards. A red rating indicates a poor performance level and a black rating ranks lowest in the government ratings.


About PT SMART Tbk

PT SMART Tbk is one of the largest, publicly-listed, integrated palm-based consumer companies in Indonesia committed to sustainable palm oil production.

Founded in 1962, SMART’s palm plantations have a total coverage area of approximately 138,700 hectares (including small holders). SMART also operates 16 mills, four kernel crushing plants and four refineries. SMART listed its shares on the Indonesia Stock Exchange in 1992.

PT SMART’s primary activities are cultivating and harvesting of palm trees, processing of fresh fruit bunches into crude palm oil (“CPO”) and palm kernel, and refining CPO into valueadded products such as cooking oil, margarine and shortening. Besides bulk and industrial oil, SMART’s refined products are also marketed under several brands such as Filma and Kunci Mas. Today, these brands have been recognised for their high quality and command significant market share in their respective segment in Indonesia.

PT SMART is a subsidiary of Golden Agri-Resources Ltd (“GAR”), which is one of the largest palm-based companies in the world which is listed on the Singapore Exchange. SMART also manages all of GAR’s oil palm plantations, which has a total planted area of 482,228 hectares (including smallholders) in Indonesia, as at 30 September 2016.

This relationship benefits SMART with its economies of scale in plantation management, information technology, research and development, sourcing of raw material, and access to a wide domestic and international marketing network.


*as per Dec 7, 2016

For more information, please contact:

Tim Komunikasi PT SMART Tbk.
+62 812 82850283

fb twitter linkedin mail