Malaysian palm oil - Green gold or green wash? - A commentary on the sustainability claims of Malaysia’s palm oil lobby, with a special focus on the State of Sarawak

Oct 2008

The objective of this report is to inform decision makers about the serious sustainability challenges in Malaysia’s palm oil sector and to call up on them to take appropriate actions to address these challenges. The report is particularly important for governmental decision makers who are considering biofuel policies and incentive schemes. Similarly, this report will be of value to private sector (or semi-governmental) decision makers who are considering buying or investing in (Malaysian) palm oil as a source of sustainable bio-energy.
The main focus of this report is the East Malaysian State of Sarawak (see Figure 3), which has been a member state of the Malaysian Federation since 1963. It is Malaysia’s largest state in terms of land territory, and the state where oil palm plantations are being most vigorously expanded so far.
Following an introduction to oil palm development in Sarawak (Chapter 2), the report looks at the main sustainability claims. Chapter 3 counters the claim from the Malaysian palm oil lobby that zero-burning practices are strictly enforced in Malaysia. Claims that no forests are cleared for oil palm expansion in Malaysia are challenged in chapter 4. Chapter 5 describes what has happened to promises made to the nomadic Penan, Sarawak’s most vulnerable indigenous community. A case study describes the reality of the impact of oil palm expansion on the Penan in the Bakun watershed area. Chapter 6 looks at the role of Environmental Impact Assessments and chapter 7 addresses the issue of palm oil and “carbon debt”. Finally, chapter 8, analyses responses to MPOC’s “Anti Palm Oil Campaign” and considers the assertion that that the campaign might be doing more harm than good to the image of Malaysia’s palm oil industry.

By: Friends of the Earth International

 
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