MPOCC: MSPO certificate scheme incentives only for those who sign agreement with certificate body

The MSPO incentives for independent smallholders and organised smallholders are under the Malaysian Palm Oil Board. — Reuters pic
The MSPO incentives for independent smallholders and organised smallholders are under the Malaysian Palm Oil Board. — Reuters pic

KUALA LUMPUR, Jan 21 — The Malaysia Sustainable Palm Oil (MSPO) certification scheme incentives are only claimable by industry players who have signed agreements with the certification bodies before Jan 1, 2020, says the Malaysian Palm Oil Certification Council (MPOCC).

Its chief executive officer Chew Jit Seng in a statement said the eligibility criteria, which took effect on Jan 1 this year, also include those who are already in the process of MSPO certification audit.

“As such, growers with more than 40.46 hectares or 100 acres of oil palm and palm oil processing facilities who have initiated the MSPO/Supply Chain Certification Standard certification process will need to submit a copy of the signed agreement with the appointed certification body to the MPOCC,” he said.

Chew also said estates with areas between 40.46 to 1,000 hectares would be eligible for a full auditing fees claim, which includes audit man-days, report writing, stakeholders consultation and peer review.

In addition, they are also eligible for 50 per cent preparation costs claims, limited to the costs for MSPO policies and system documents, social impact assessment, environment aspect and impact report, high biodiversity value report, training for greenhouse gas calculation, and training for internal audit and management review, he explained.

The maximum amount of reimbursement for preparation costs is RM10,000, he said.

Meanwhile, Chew said estates with areas more than 1,000 hectares and palm oil processing facilities such as mill, kernel crusher, refinery, oleochemicals plant and biodiesel plant are eligible for 30 per cent incentives of the audit fees.

The MSPO incentives for independent smallholders and organised smallholders are under the Malaysian Palm Oil Board (MPOB).

For independent smallholders, MPOB will cover the cost of training, cost of auditing, documentation, personal protective equipment and chemical storage rack.

Organised smallholders are eligible for RM55 per hectare to cover the cost of auditing and training as well as social and environmental impact assessments. — Bernama

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