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AGR657

ENVIRONMENTAL MANAGEMENT IN PLANTATION


FINAL ASSESSMENT FEBRUARY 2021

Instructions

1. Students are required to answer all questions and must be written in the order.
2. For Question 1, each of sub questions have their own marks, while for Question 2
and Question 3, the marks are 30 each.
3. For Question 2 and Question 3, students are required to produce a short article
regarding the topics given.
a. The articles must be written up two (2) to three (3) pages only for each article,
excluding references. The list of references must be listed at the fourth page
of every essay. Please make sure the article cited accordingly.
b. Font: Arial, Size: 11, Line spacing:1.15
c. Each article must have their own list of references.
d. Plagiarism is strictly prohibited. Students are required to attach the Turnitin
report together with the answer document and it is compulsory. The maximum
similarity is 30%.
e. Due date: 15th February 2021, 12.00 noon.
QUESTION 1

You have been appointed as a sustainability officer by a multinational company involving in


the oil palm cultivation, processing and trading in Malaysia and Indonesia. The crude palm
oil (CPO) produced is mainly exported to European countries and United States where
sustainability (social, environment and economic aspects) is considered as a big agenda in
those countries. Your company is a matured company with more than 40 years of
experience in palm oil industry. Unfortunately, the company’s set-up, awareness, mindset of
the employees and the documentation system are not aligned towards environmental
requirements. The company has no environmental certification systems such as ISO14000,
MSPO, ISPO and RSPO and the waste materials produced from the oil palm plantation and
palm oil mill as well as palm oil refinery are not treated well and also not utilized for value-
added bioproducts such as animal feed, biogas, biocompost, bioethanol, biocomposite and
others. The company is also having many complaints from the surrounding communities on
effluent discharge and solid waste disposal issues. Due to that, the company is not having a
good rapport with the surrounding community. The number of accident cases involving illegal
Indonesian workers as well as child labors is also in the increasing trend.

a) The waste management hierarchy which can be applied to any company is shown
below. From your understanding, briefly explain and give an example for each stage of
the hierarchy.

(15 marks)

b) Explain the term sustainability as far as environmental aspect is concerned.


(5 marks)

c) Briefly explain as a Sustainability Officer for the above company, discuss by giving
appropriate example(s) of two (2) main strategy which you will focus to improve
sustainability aspect of the company.
(20 marks)
QUESTION 2

Malaysia remains among the world’s largest exporter of palm oil and palm products. In 2011,
it exported 24.3 million metric tons of the oil (Chin, 2011). In Malaysia, Sime Darby
Plantation is one of the well-known companies that involve in the Oil Palm Industry in
Malaysia. Even though the preventive action has been taken by the management to control
the pollution, however palm oil mill effluent (POME) remains the major contributor for
pollution in the plantation industry. Therefore, identify how POME can contribute to pollution
in plantations and discuss the THREE (3) methods revolving this issue to solve the problem
i.e. physically, biologically and chemically.
(30 marks)

QUESTION 3

The production of commodities has become a hot topic since it is related to the
environmental destruction and climate change Indonesia who is the main competitor to our
country has applied Roundtable Sustainable Palm Oil (RSPO). Thus, this poses a major
threat towards Malaysia oil palm producers especially the smallholders. According to The
Malaysia Reserve, about 88.21% of oil palm plantations have been certified according to
Malaysia Sustainable Palm Oil (MSPO) as of December 14 last year. The independent oil
palm smallholders sector is a small-scale production entity. Thus it is generally
perceived that this sector is unproductive and inefficient as compared to the large-scale
production system of the estate sector. Hence, discuss how the MSPO can benefit the
small holder based on the three pillars of sustainability i.e. socially, economically and
environmentally.
(30 marks)

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