Plantation firms should develop sustainability framework to support

SERDANG: Deputy Minister Datuk Seri Fadillah Yusof has urged plantation companies to develop their sustainability framework to support commitments to the country’s environmental, social, and governance (ESG) agenda.

Fadillah, who is also Ministry of Energy Transition and Water Transformation (PETRA), said that all organisations in the country, particularly government-linked companies and government-related investment companies, should commit to developing this framework, in line with the 12th Malaysia Plan (12MP), which aims to achieve net-zero greenhouse gas (GHG) emissions by 2050.

“This is to ensure a secure future for our next generations, the prosperity of the nation continues to be created, the economy remains sustainable, and there is social well-being,” he said in his speech after launching the FGV Sustainability Framework here today.

Fadillah stated that plantation sector companies need to see how they can contribute not only to the national economy but also to help develop the circular economy in the country.

“In the energy sector, our commitment now is that by 2044, there will be no more coal-generated power. We will not supply energy using fossil fuels or sources from coal. Therefore, we need to seek new sources.

“The new energy sources that can currently be identified are hydropower… hydrogen is still in the trial phase, and certainly, the gas related to the plantation sector is biomass and biogas, and this is what we should focus on developing so that it can become an energy source,” he said.

Fadillah suggested that a cooperation network between PETRA and the plantation ministry, along with its agencies, be established to explore how both ministries can expand existing opportunities.

“If successful, we can develop all opportunities to build a circular economy within the economic supply chain in the plantation sector,” he said.

FGV Holdings Bhd today launched its enhanced Sustainability Framework, thus taking a step towards its ongoing commitment to the ESG agenda.

FGV Group chief executive officer Datuk Nazrul Mansor stated that this renewal includes identifying specific focus areas under each core based on current ESG trends.

“Overall, the FGV Sustainability Framework encompasses five main pillars: economic growth, governance, social, environmental, and innovation and technology.

“These five pillars reflect the holistic approach taken by FGV in addressing and unravelling sustainability issues,” he said.

The FGV Sustainability Framework is not just a document; it serves as a guide for FGV in making operational decisions, from product development, sourcing, daily operations, and so on, said Nazrul.