Palm%Oil%Planta*on%and%Forest:%% … · 2.Nodeforestaonissuehinderingtradeofpalmoilasfood %%...
Transcript of Palm%Oil%Planta*on%and%Forest:%% … · 2.Nodeforestaonissuehinderingtradeofpalmoilasfood %%...
Palm Oil Planta*on and Forest: The Case of Malaysia
Dr. Yusof Basiron CEO, Malaysian Palm Oil Council
Presenta*on 1. The argument for need for forest conserva=on
2. No deforesta=on issue hindering trade of palm oil as food
3. No deforesta=on issue hindering trade of palm oil as biofuel
4. Are such demands on palm oil real and fair?
5. How does Malaysia manage such demands?
6. 3P + 1D Model for Sustainable Development
7. Conclusions
1. The argument for need for forest conserva*on
Concern No.1 Ø Forests (especially tropical forests) contain large amounts of
biomass Ø When they are cleared and burnt, large amounts of carbon
dioxide are released into the atmosphere Ø CO2 is a GHG and causes climate change Ø World must slow down climate change Ø Worst s=ll is when the forest is siTng on peatlands Ø Double whammy as CO2 released from felling the trees and
also draining peat soil (very high C store will be oxidised)
Concern No.2 Ø Biodiversity loss (much quoted is orang utan)
1. The argument for need for forest conserva*on
Concern No.1 No Deforesta*on : An Illusion Game
ü Forest industry in developed countries is clear cuTng forest and replan=ng it again with forest species, this is defined as not deforesta*on
ü By this defini=on, Canada shows liXle deforesta=on sta=s=cs even though there is massive clearing of forest for =mber, pulp and fuel
ü Using the same defini=on, Malaysian oil palm and rubber planta=ons (being forest trees) should qualify as replan=ng planta=on forests and therefore these areas do not incur any deforesta=on all along
ü Oil palm and rubber meet defini=on of forest trees, produce harvestable =mber and have close canopy when matured and have high rate of CO2 sequestra=on compared to tropical forests or boreal forests (no winter effects)
2. No deforesta*on issue hindering trade of palm oil as food
‘s Responsible Sourcing Guideline Specific Requirements for Palm oil Suppliers to verify that palm oil: 1. Does not come from areas cleared of natural forest a2er November 2005 2. Derived from farms that operate in compliance with local laws & regula=ons 3. Respect FPIC of indigenous & local communi=es on ac=vi=es on their customary lands 4. Protect peatlands 5. Protect forests of “high C” value using methodology developed by TFT, Greenpeace & Golden Agri Resources 6. Complies with RSPO P&Cs
2. No deforesta*on issue hindering trade of palm oil as food
‘s Responsible Sourcing Guideline Specific Requirements for Palm oil Unequal treatment for developing countries which need to develop Simplis*c demand to escape ENGOs in*mida*on
Suppliers to verify that palm oil:
1. Does not come from areas cleared of natural forest a2er November 2005: Developed countries escape scruIny with 2005 deadline. They have no more virgin forests 2. Derived from farms that operate in compliance with local laws & regula=ons 3. Respect FPIC of indigenous & local communi=es on ac=vi=es on their customary lands 4. Protect peatlands : EU is second largest emiMer from agric peatland. Peatlands have been drained for hundreds of years. 5. Protect forests of “high C” value using methodology developed by TFT, Greenpeace & Golden Agri Resources. Oil palm is high C forest equivalent 6. Complies with RSPO P&Cs
3. No deforesta*on issue hindering trade of palm oil as biofuel
EU Direc*ve on promo*on of use of energy from renewable sources Ar#cle 15 Clause 4
“Biofuels and other bioliquids shall not be made from raw material obtained from land with high carbon stock:
(a) wetlands, that is to say land that is covered by water permanently or for significant parts of the year, including pris#ne peatland
(b) con#nuously forested areas, where land span more than 1 ha with trees higher than 5 metres and canopy cover >30% or trees able to reach these thresholds in situ
3. No deforesta*on issue hindering trade of palm oil as biofuel
EU Direc*ve on promo*on of use of energy from renewable sources Ar#cle 15 Clause 4 “Biofuels and other bioliquids shall not be made from raw material obtained from land with high carbon stock: Land zoned for agriculture should be exempted for developing countries to generate income
(a) wetlands, that is to say land that is covered by water permanently or for significant parts of the year, including pris#ne peatland. EU has drained its peatland for agriculture over hundreds of years. Oil palm is a beMer forest than degraded peat
(b) conInuously forested areas, where land span more than 1 ha with trees higher than 5 metres and canopy cover >30% or trees able to reach these thresholds in situ: EU has liMle forest le2 to exploit: Oil palm is able to meet these while producing biofuel
Implica*on of “no deforesta*on” on palm oil industry
What is “ forest?” FAO defini=on: “Forest” is -‐land where tree crown cover >10% -‐area>0.5 ha -‐trees can reach > 5m at maturity
v In tropical countries almost all areas can be classified as forest by
following this defini=on
v Almost all land can grow back to forest if lea alone (except maybe in =n mining areas)
v Does that mean no more expansion of oil palm area? Or oil palm is producing palm oil as a forest product?
0
10
20
30
40
50
60
70
UK US Germany Malaysia Indonesia Colombia
% Forest
Average: 25.5% Average: 57%
4. Malaysia is s*ll honouring Rio Summit Commitment by maintaining > half of land under forest
• Malaysia is s=ll honouring her commitment 22 years aaer Rio Summit • In 2013, Malaysia s=ll maintained 74% of total land area under forest cover
Source: (FAO) 2010
Developed, 76%
Developing, 24%
Source: World Resource Ins#tute (hOp://www.wri.org)
Developed Countries: Australia, United States, EU 25, Japan, Canada Popula*on: 1.0 Bill
Developing Countries: Russian Federa=on, China, India, Ukraine, South Africa, Mexico, Brazil, South Korea, Iran, Indonesia, Saudi Arabia, Argen=na, Turkey, Pakistan, Malaysia Popula*on: 3.8 Bill
Cumula*ve CO2 Emissions from 1850 to 2002 The Developed world has contributed the most
to global increase in CO2 emission
Total CO2 Emissions (per Capita) from 1970-‐2009 Common but Differen*ated Responsibili*es (CBDR)
0
100
200
300
400
500
600
700
800
United States
Australia Netherlands United Kingdom
France Malaysia
798
632
441 398
291
152
Metrics tonne per capita
Source: World Bank (hOp://data.worldbank.org)
At the =me of European seXlement in North America, primary (or virgin) forests covered nearly all of the East Coast.
Aaer the Civil War, the era of industrial logging began in earnest. New railroads helped move heavy equipment and transport cut logs to mills and markets, making logging profitable throughout the South. Between 1870 and 1920, the South lost tens of millions of acres of virgin forest.
By the end of the twen=eth century, virtually no substan=al tracts of virgin forest remained in the South. Remnants can be found in protected lands in parts of the Great Smoky Mountains and in southwestern Florida, but nearly all of the South’s current forested area has been previously logged.
Spruce forest in the Appalachians of North Carolina: as a virgin forest, lea, and aaer logging, above.
Oil palm is agro-‐forestry producing =mber: Palm Wood Furniture
MPOC started Palm Wood Promo=on Scheme in 2012. For Furniture China 2012 exhibi=on, confirmed sales were at RM1,500,000 while Furniture China 2013 had RM1,000,000 confirmed sales.
Applica*ons of Oil Palm Biomass:Agro-‐Forestry Products
18 18
OIL PALM BIOMASS
BOARD OF VARIOUS KINDS
• MDF • Plywood • Moulded par=cleboard • Sawn lumber
PROPERTIES OF OPT, OPF & EFB FIBRE BUNDLES
• Fibre quality • Fibre morphology • Fibre proper=es • Usable fibre frac=ons
OTHER PRODUCT TYPES
• Oil palm heart • Carbon products • Carboxymethyl cellulose • Fine chemicals
FIBRE REINFORCING COMPOSITES
• Agrolumber • Plas=c composite
PAPER PULP & PAPER PRODUCTS
• Chemical pulp • Semi-‐mechanical pulp • Mechanical pulp • Moulded paper products • Soilless plan=ng medium
U*liza*on of World’s Agricultural Land
Livestock, 71.27%
Oil Palm, 0.29%
Oilseeds, 5.25%
Other crops, 23.17%
Total area: 4.911 bil ha
Source: FAO (2011), Oil World, MPOB (2012)
Livestock industry uses the most land and therefore is the main driver for global deforesta=on. Oil palm has been made a scapegoat
Malaysian palm oil industry actually conserves more forest in the world instead of being blamed for causing deforesta*on
• 7-‐11 =mes more land needed if other oil crops used • 21.6 m ha of land for soya cul=va=on in 2080 is 2/3 land area of Malaysia • DEFORESTATION or AVOIDANCE OF DEFORESTATION
Year 2025 2040 2080
Popula=on (billion) 7.9 8.5 9.1
Projected addi=onal palm oil needed to be supplied by Malaysia (million MT)
2.7 5.3 7.7
Es=mated addi=onal land needed for palm oil cul=va=on in Malaysia (m ha)
0.7 1.4 2.1
Addi=onal land needed to cul=vate Rapeseed to offset this palm oil cul=va=on (m ha)
4.5 9.0 13.4
Addi=onal land needed to cul=vate Sunflower to offset this palm oil cul=va=on (m ha)
5.7 11.3 17.0
Addi=onal land needed to cul=vate Sunflower to offset this palm oil cul=va=on (m ha)
7.2 14.4 21.6
Oil palm planta*on removes almost as much carbon dioxide as natural forest
Parameter Forest (Pasoh) Oil palm
Case study Na=onal average
Gross assimila=on (t CO2/ha/yr)
163.5 161.0 97.9
Total respira=on (t CO2/ha/yr)
121.1 96.5 64.7
Net assimila=on (t CO2/ha/yr)
42.4 64.5 33.2
Average net assimila*on (t CO2/ha/yr)
42.4 48.8
Source: Henson,1999
Land Use, Land Use Change and Forestry (LULUCF) is made up of Forestry and (Oil Palm) Planta*on Sector
* Trend Es*mate
0
50
100
150
200
250
300
350
400
450
500 CO2 MT
Total Co2 Removal by LULUCF 249.8
Total Co2 Removal by LULUCF 247
Total Co2 Removal by LULUCF 273
Total Co2 Emission 223.1
Total Co2 Emission 292.9
Total Co2 Emission 460*
2000 2007 2022
167
82
Palm Planta*on
100*
Palm Planta*on
121*
Palm Planta*on
147* 152* 147 217 375*
40.5 49 57*
35.6 26.9 28*
Emission by Energy Sector
Emission by LULUCF + Agriculture (Rice) Sectors
Emission by Others
Emission by Energy Sector
Emission by LULUCF + Agriculture (Rice) Sectors
Emission by Others
MALAYSIAN GREENHOUSE GAS EMISSION AND REMOVAL
Total annual anthropogenic GHG emissions (GtCO2eq/yr) by groups of gases 1970-‐2010: CO2 from fossil fuel combustion and industrial processes; CO2 from Forestry and Other Land Use (FOLU); methane (CH4); nitrous oxide (N2O); Lluorinated gases8 covered under the Kyoto Protocol (F-‐gases). At the right side of the Ligure GHG emissions in 2010 are shown again broken down into these components with the associated uncertainties (90% conLidence interval) indicated by the error bars. Total anthropogenic GHG emissions uncertainties are derived from the individual gas estimates as described in Chapter 5 [5.2.3.6]. Global CO2 emissions from fossil fuel combustion are known within 8% uncertainty (90% conLidence interval). CO2 emissions from FOLU have very large uncertainties attached in the order of ±50%. Uncertainty for global emissions of CH4, N2O and the Fgases has been estimated as 20%, 60% and 20%, respectively. 2010 was the most recent year for which emission statistics on all gases. Source: IPCC
Malaysia is a net C sink interna=onally according to UNFCCC (Highest & lowest emiXers in world)
Malaysia in Year 2000 Source: UNFCCC
Source: Yew et al., 2010
M ha
7.3 =mes more peatland used for agriculture in temperate countries compared with tropical countries (excluding that used for mining or forestry)
Land use on peatland in temperate regions for agriculture far exceeds that in tropics
CO2 emission from peatland used for agriculture in temperate countries far exceed that in tropical countries (oil palm cul*va*on included)
Source: Yew et al., 2010
• CO2 emission from temperate peatland used for agriculture is 3.5 =mes greater than in tropical agriculture • CO2 emission from oil palm cul=va=on on peat in SE Asia is only 12% of total global emission from agriculture on peatland
5. What is Malaysia/palm oil industry doing for forest and peat conserva*on?
ü Globally: Country is signatory to many interna=onal conven=ons e.g. Rio Summit, Ramsar Conven=on
ü Na*onally -‐ Many laws governing u=liza=on of land resources -‐ Na=onal Physical Plans
ü Palm oil industry -‐ Licensed, regulated and enforcement by MPOB
5. What is Malaysian Palm Oil Industry doing for biodiversity ?
• MPOWCF launched in 2006
• RM 20 million revolving fund
• RM 10 m from Malaysian palm oil industry and the other RM 10m from Government of Malaysia
11,000 + orang-‐utans in 16 forested areas in Sabah
This is now a stable popula*on, protected and managed by SWD. We have assurances that they will con*nue to thrive. MPOC con*nues its collabora*on with SWD and NGOs to protect these orang utans
Ground and aerial surveys in 2001-‐2003 by Hutan and SWD (Ancrenaz et al., 2005)
MPOC/SABAH WILDLIFE DEPT. COLLABORATION Instrumental in selng up the region’s first WILDLIFE RESCUE Unit (WRU)
Sarawak: Orang utan conserva*on
v In State of Sarawak, survey carried out in 2012 /13 found Ulu Menyang to have high orang utan popula=on. Government has declared this area to be kept as high conserva=on value forest for orang utan
v MPOWCF has signed MOU with Sarawak Forestry Corpora=on to assist in conserva=on of orang utan in
o Ulu Sebuyau Na=onal Park o Sedilu Na=onal Park o Gunung Lesung Proposed Na=onal Park o Maludam Na=onal Park
6. Sustainability : global view
• United Na=ons view is global / interna=onal • BRUNTLAND REPORT • Sustainable development is development that meets the needs of the present without compromising the ability of future genera#ons to meet their own needs (Taking care of Planet)
• the concept of needs, in par#cular the essen#al needs of the world's poor, to which overriding priority should be given (Upli^ing livelihood of people)
• The PEOPLE factor o^en forgoOen
Sustainability Model for Developing countries (3Ps + 1D Model)
In line with global view of sustainability “Bruntland”
PEOPLE PROFIT
PLANET
DEVELOPMENT +
Pro-‐Rich Defini*on of Sustainability
Pro-‐Poor Defini*on of Sustainability
Year : 2012 Forests = 82.3 % of state Agriculture & other land use = 17.7% of state Sarawak is last fron*er state for development in Malaysia
Source: Ministry of Natural Resources & Environment Malaysia
Sarawak needs development to uplin livelihood
Forest Area vs Agriculture Area Percentage
Source: World Bank (hMp://data.worldbank.org)
UN Conven*on Baseline: 10% forest
Sarawak is huge CO2 Sink Malaysia’s Pledge: 50% forest
Forest Agriculture
Conclusions ü The livestock industry and not the palm oil industry is the primary driver of deforesta*on (3.5 bil Ha vs 15 mil Ha)
ü Compared to the oil seed crops, oil palm cul*vated as a source of oils & fats actually results in lower deforesta*on (avoidance)due to its superior land produc*vity
ü Oil palm is an agro-‐forestry crop v It supplies mul*ple commodi*es including oils, protein, fibre and *mber and other biomass materials v It removes CO2 from the air and contributes significantly to make Malaysia a major carbon sink
ü 7.3 *mes more peatland is used for agriculture in temperate areas than the tropics
ü CO2 emission from oil palm cul*va*on on peat is only 12% of total global CO2 emission from cul*vated peatland
Conclusions ü The market demand that “sustainable palm oil” for food and biofuel cannot be sourced from oil palm grown on land previously under forest and peatland restricts uplining the livelihood of poor na*ons which is s*ll developing
ü Developing countries must be given the opportunity to reach “developed country” status
ü They must be given the sovereign right to develop part of their land for the purpose
ü 3P+1D Model for Sustainable Development should apply to developing countries such as Malaysia
ü Malaysian palm oil industry is mindful of some loss of biodiversity when land is converted to plant oil palm, as is the case for agricultural land all over the world
ü MPOWCF is set up to address biodiversity mapers
THANK YOU Visit my blog:
hpp://www.ceopalmoil.com Follow my Twiper:
hpps://twiper.com/YusofBasiron