The Chain: Biofuels from Big Oil Lack Sourcing Transparency, Form a Major Source of Leakage

In the aftermath of the COP26 summit in Glasgow in November, energy markets will become even further focused on substitutes for fossil fuels. There will be growing attention to solar and wind power, batteries, electric vehicles, as well as replacing and/or mixing fossil fuels with biofuels. The use of palm oil as biofuel feedstock in …

The Chain: EU Proposal on Deforestation-Linked Products Poses Risks for Companies, Investors

Just two weeks after a watershed announcement by more than 100 countries at COP26 on eliminating deforestation, the EU released a draft law on November 17 that would require companies to show that their products are not tied to forest clearing. Essentially, the legislation would ban commodities that are linked to deforestation, whether legal or …

The Chain: Astra International’s Mine Expansion Threatens Forest and Astra Agro Lestari’s NDPE Supply Chain Access

Indonesia’s multi-businesses company group, Astra International, is reportedly expanding its gold mine in North Sumatra. This mine is operated by Astra International’s subsidiary PT Agincourt Resources and is in the habitat of the Critically Endangered Tapanuli orangutan (Pongo tapanuliensis). The expansion puts the approximately 800 orangutans in the region at greater risk and raises questions …

The Chain: COP26 – Crucial Breakthroughs in Combatting Deforestation

Commitments coming out of COP26 could represent a structural shift in efforts to conserve forests and tackle commodity-driven deforestation. The announcement that more than 100 countries, including those with vast amounts of tropical forests such as Brazil and Indonesia, pledged to eliminate deforestation by 2030 is a crucial breakthrough. Fossil fuels typically get most of …

The Chain: Jhonlin Group to Serve Indonesia’s Domestic Market With New Biofuel Plant

Jhonlin Group, one of the largest deforesters for oil palm plantation development in Indonesia in the last few years, has reportedly completed the construction of a new biodiesel plant, PT Jhonlin Agro Raya (PT JAR), in Tanah Bambu district, South Kalimantan. The plant, which will mainly serve Indonesia’s domestic biofuel sector, can process 60 metric …

The Chain: Sime Darby, FGV See Reputational Hits from U.S. Stop Orders

In the fourth quarter of 2020, the U.S. Customs and Border Protection (CBP), a federal law enforcement agency, issued Withhold Release Orders (WRO) on two Malaysian palm oil companies – Sime Darby Plantations and Felda Global Ventures (FGV). These actions banned palm oil from the two companies from entering the United States. Since then, both …

The Chain: Asian Markets’ Uptake of Certified Palm Oil Still Low Despite Positive Trends

A new report by WWF sheds light on the low uptake of Roundtable on Sustainable Palm Oil (RSPO) certified palm oil in Asian markets, predominantly in the east, south, and southeast regions. The report identifies that the ongoing discussion on certified palm oil is still driven by Western markets. Only 3-4 percent of the total …

The Chain: New Report Calls on Buyers of Forest-Risk Commodities to Strengthen NDPE Policies

A new report by Chain Reaction Research (CRR) member Aidenvironment highlights 133,000 hectares (ha) of deforestation since 2016 committed by 10 companies in the industrial tree sectors of Indonesia and Malaysia. These ten companies all supply palm oil to some of the world’s largest palm oil trader/refiners, which operate under No Deforestation, No Peat, No …

Several Large Indonesian Palm Oil Companies Also Have Risky Mining Businesses

Indonesia is among the world’s largest mining countries. It is also a country of conglomerate companies with interests in various businesses, including deforestation-related sectors such as oil palm, industrial trees and mining. This report aims to shed a light on overlapping company groups in the Indonesian palm oil and mining sectors. Some large palm oil …

WEBINAR: Financier Ties to Palm Oil Deforestation

Chain Reaction Research (CRR) and Forests & Finance held a webinar on July 22nd, 2021 looking into their recent research of who provides financing to companies in palm oil supply chains tied to deforestation. The session covered CRR’s report on the share of palm oil refining covered by NDPE policies. Forests & Finance shared an …