In 2020, FGV installed thirty four (34) units Activated Sludge System plants and three (3) units of membrane filters to enhance the performance of our effluent treatment plants to comply with the Biological Oxygen Demand (BOD) of 20 ppm and below. Each of these units cost approximately RM2 million each. To manage water shortages, our mills observe strict water processing control of throughput and monitoring for oil contamination in our effluent treatment system. We also undertake pond desludging activity and daily monitoring of the performance of the effluent treatment system for better performance. In addition, we continuously enhance the existing system for better quality discharge (aeration pond, polishing plant, membrane bio reactor) and foster better rapport with regulatory authorities. In the event of recovery actions needed, FGV will maximise SOP due diligence and undertake control processing that correlates with the prevailing effluent condition. A continuous challenge we face is that our water consumption continues to exceed the targets we set for our mills. To minimise the usage of water within our mill operations, we closely monitor water consumption on a daily, monthly and yearly basis by benchmarking against a ratio of less than 1.20 (MT of water: MT FFB Processed). Additionally, most of the raw water supply is sourced from nearby rivers. In 2021, we will be focusing on optimising water usage at the top 10 mills with high water consumption. Performance (MT/MT FFB) 1.29 1.28 1.27 FY 2019 FY 2020 FY 2021 1.20 1.20 1.20 FY 2019 FY 2020 FY 2021 Water Consumption (m3/year) Water Discharged (m3/year) Mill Water Usage: Performance 2019-2020 Water Management Performance 2020-2021 17,460,383 15,905,241 FY 2020 FY 2021 Target (MT/MT FFB) 7,996,057 7,700,892 FY 2020 FY 2021 Pests and Disease Management We practice integrated pest management in our operation and prefer to use natural methods to control pests and diseases. As part of Integrated Pest Management (IPM) strategy, we use barn owl (Tyto alba) as a biological control to manage the rat population in our estates. In 2020, we have introduced barn owls at our estates in Sabah which are not native there. With more areas coming into biological control with barn owls, the use of rodenticide is reduced significantly, reflecting our cost effective operation strategy. FGV advocates the responsible use of pesticides, herbicides and fertilisers in our plantations. We are guided by the World Health Organisation in this regard, and avoid agro-chemicals that belong to its Class 1A or 1B list. We also do not use hazardous chemicals and agrochemicals listed by the Stockholm or Rotterdam Conventions except in specific situations. Over the past few years, we have progressively reduced the amount of Class 1 herbicides used in our plantations, and completely stop using the Class 1 chemicals in 2019. FGV promotes the use of a combination of organic and inorganic fertiliser to improve palm growth while maintaining optimum yields. FGV ensures minimum impact to the environment by judicious use of fertiliser determined through scientific approach using foliar and soil analysis results. Site yield potential is also considered in determining the right amount of fertiliser to be applied in a certain year. We also ensure that fertilisers used in our plantations have a minimum environmental impact. They take into consideration the leaf and soil nutrient status, palm age and potential yield versus the expected yield for a particular year. We also adopt precision farming to reduce the use of manpower, operation time, and fuel consumption. As part of precision farming, we have also developed a drone-spraying methodology that can efficiently spray for weed, pests and disease control. Drone spraying without a doubt has improved the productivity of workers in up-keeping the estates, by enabling them to spray much larger areas. Climate Action & Environment Protection 118 FGV HOLDINGS BERHAD RESPONSIBLE BUSINESS ABOUT THIS REPORT RESPECTING HUMAN RIGHTS
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