APP Sustainability Report 2008-2009 - Asia Pulp and Paper

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Contents Report Scope 02 Corporate Governance 10 Introduction to APP 04 Chairman’s Statement 06 Externally assessed This report has been externally assured to a GRI Application level of A+ by Société Générale de Surveillance (SGS). The assurance statement is presented on page 110 and an index of GRI indicators used within the report is given on page 108. For more information on SGS, visit www.sgs.com. For more information about GRI, see www.globalreporting.org Sustainable Product 14 Climate Change Stakeholder Engagement 60 86 92 Responsible Plantation Management 110 Social Initiatives and Poverty Alleviation 74 Ecosystem Protection 102 GRI Index Assurance Statement Glossary & unit measurement 108 111 This is our second bi-annual Sustainability Report. For the latest updates and press releases, please visit our web-site at www.asiapulppaper.com Your thoughts How is our reporting? Reader comments on our reporting are welcome. Please send your feedback to environment@app.co.id [3.2, 3.3, 3.4, 3.11] b APP 08/09 Sustainability Report APP 08/09 Sustainability Report 1
Report Scope Responsible paper making and the pursuit of sustainable development targets APP is the brand name used throughout this Sustainability Report as a reference to PT. Purinusa Ekapersada, an Indonesian company that operates pulp and paper mills in the Republic of Indonesia, and its five operating companies: PT. Lontar Papyrus Pulp & Paper Industry in Tebing Tinggi; PT. Indah Kiat Pulp & Paper Tbk. with operations in Perawang, Serang and Tangerang; PT. Pindo Deli Pulp And Paper Mills in Karawang; PT. Pabrik Kertas Tjiwi Kimia Tbk. in Sidoarjo; and, PT. Ekamas Fortuna in Malang. These mills are located on the Indonesian islands of Java and Sumatra. This report covers APP’s activities between January 1 st 2008 and December 31 st 2009, related to responsible pulp and papermaking and our progress towards our sustainable development targets. The report also covers the activities related to responsible and sustainable plantation management of APP’s exclusive pulpwood suppliers, operating under the coordination and management of Sinarmas Forestry. There were no significant changes or improvements to the governance of APP’s operating companies during the reporting period. Sustainability We use the World Bank’s operational definition of sustainable development: “A process of managing a portfolio of assets to preserve and enhance the opportunities people face.” We define sustainability as “the maintenance of a responsible balance of economic, environmental, and social interests.” Our roadmap towards environmental sustainability demands that we seek continuous improvements in raw material sourcing and utilisation, in process efficiency and waste minimisation, and in supply chain management to reduce carbon emissions and improve the environment. Indonesia still has many significant areas of high conservation value forests that are home to endangered species of wildlife and plants and important to local communities. APP believes in, and strongly supports, the Indonesian government’s programmes for ensuring the sustainability of all such habitats. Using both national and international protocols as guidelines such as the ITTO/IUCN guidelines, we intend to be partners in the protection of such forests, both within and adjacent to our pulpwood supply areas. In working towards economic sustainability, we have a responsibility to our employees and their families, to our customers and shareholders, and to the communities who depend on us for their livelihoods. In encouraging social sustainability, we respect and protect human rights in our operations and along our supply chain, and aim to contribute towards the longterm development of communities, both local to our operations and beyond. This Sustainability Report is one of the tools through which we endeavour to make our operations transparent to stakeholders. Our vision is to become the 21 st century’s premiere, world-class pulp and paper manufacturer – a company dedicated to providing superior value to shareholders, employees and the community. Our mission is to increase our global market share, use cutting edge technology in the development of new products and mill efficiency, improve the capacity of human resources through training, and realize sustainability in all our operations. [2.1, 2.2, 2.3, 2.5, 2.9, 3.1, 3.5, 3.6] [4.8] 2 APP 08/09 Sustainability Report APP 08/09 Sustainability Report 3
Page 4 and 5: Introduction to APP Indah Kiat Pulp
Page 6 and 7: Chairman’s Statement Chairman’s
Page 8 and 9: Corporate Governance Corporate Gove
Page 10 and 11: Sustainable Products Sustainable Pr
Page 32 and 33: Stakeholder Engagement Care for the
Page 34 and 35: Stakeholder Engagement Stakeholder
Page 40 and 41: Social Initiatives and Poverty Alle
Page 46 and 47: Climate Change Climate Change APP h
Page 48 and 49: Responsible Plantation Management W
Page 50 and 51: Responsible Plantation Management R
Page 52 and 53:
Responsible Plantation Management R
Page 54 and 55:
Ecosystem Protection Ecosystem Prot
Page 56 and 57:
GRI Index Economic Page Page Societ
Page 58 and 59:
112 APP 08/09 Sustainability Report
Page 60:
Notes 116 APP 08/09 Sustainability
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