Certification

Certification

Home Sustainability Sustainable Development Certification

Sustainability Development

At REA, certifications validate our commitment to sustainable palm oil production. By adhering to these certifications, we maintain compliance with stringent national and international standards while driving continuous improvement across our operations.

Certification promotes transparency, traceability, and accountability which in turn allows us to offer premium pricing for our certified products. Our certifications—RSPO, ISPO, ISCC, and Environmental Management—reflect our focus on mitigating deforestation, protecting human rights and safety, ensuring transparent and traceable supply chain, and reducing greenhouse gas (GHG) emissions.

We aim to achieve and maintain certification under these internationally recognised schemes for all of our plantations and mills.

RSPO

ISCC

ISPO

Certified Sales

Environmental Certification

The Roundtable on Sustainable Palm Oil (RSPO) sets globally recognised standards to promote sustainable palm oil production, with a focus on environmental conservation, social equity, and economic viability. Since joining the RSPO in 2007, REA has committed to these values through comprehensive audits and certifications.

All three of our oil palm mills—Cakra, Perdana, and Satria—are RSPO-certified, with the first certifications dating back to 2011 – within 3 years of the Indonesia National Interpretation (INA NI) approval (in 2008) of the generic RSPO Principles & Criteria for Indonesia.

Our RSPO Journey

1. RSPO Membership

Member since 2007
Annual ACOP submission since 2013

2. Certification of Mills

Achieved 100% RSPO for all mills in 2023
Perdana and Cakra Palm OIl mill were both certified in 2011
Satria Oil Mill was certified in 2023

3. Certification of Plantations

Achieved first certification in 2011
84%^* hectares plantations certified in 2024
^*As of June 2025, 100% of REA’s plantations are RSPO certified.

4. Certification of Smallholders

As at 31 December 2024, 313 Smallholders are RSPO-certified
Launch of the SmallHolder INclusion for Ethical Sourcing (SHINES) in October 2024. For more information, please visit our Empowering Livelihoods page.

Conservation and Remediation Plans

Compensation plans approved for 173 hectares cleared prior to 2008 regulations.
- Includes long-term conservation programs and remediation initiatives.
Compensation liabilities:
- 959 hectares of planting at CDM.
- Land clearing at 2 plasma cooperatives.
- Riparian reserve establishment along rivers in 2 estates.
- Payments spread over 25 years.

2024 RSPO Supply Chain Performance

Palm Kernel Crushing: REA has two Kernel Crushing Plants (KCPs) located at the COM and SOM mills. These KCPs exclusively process kernels from REA’s three mills, all of which are certified by the RSPO.

42,400 tonnes of palm kernels were processed in 2024.
68.5% (29,024 tonnes) sourced from RSPO-certified FFB.
31.5% (13,376 tonnes) sourced from non-certified FFB, including:
- 60,633 tonnes from non-certified REA plantations.
- 114,620 tonnes from independent smallholders.
- 44,972 tonnes from associate smallholders (PPMD).
- 23,759 tonnes from corporate outgrowers.

Raw Material Supplied	FFB processed (tonnes)	PK Crushed Certified (tonnes)	PK Crushed Uncertified (tonnes)	KCP Cakra Certified (tonnes)	KCP Cakra Uncertified (tonnes)	KCP Satria Processed Certified (tonnes)	KCP Satria Processed Uncertified (tonnes)	Uncertified PK sold to third parties (tonnes)
Certified FFB:
Own plantations	587,935	29,383	-	18,681	-	9,136	0	-
Smallholders plantations	25,615	1,279	-	785	-	422	-	-
Subtotal	613,550	30,662	-	19,466	-	9,558	0	-
Uncertified FFB:
Own plantations	60,633	-	3,433	-	885	-	2,418	–
Independent smallholder	114,620	-	6,399	-	2,640	-	3,695	-
Associate smallholder	44,972	-	2,469	-	774	-	1691	-
Corporate outgrower	23,759	-	1,323	-	90	-	1,182	-
Subtotal	243,985	-	13,624	-	4,389	-	8,987	-
Total	857,535	30,662	13,624	19,466	4,389	9,558	8,987	–

KCP Traceability

REA maintains 100% traceability from plantation to each of our KCPs, ensuring that both our internal and third-party suppliers comply with our policies and procedures.

KCP	Certificate Number	Validity	Material	Volume supplied (tonnes)	Traceability to mill	Traceability to plantation
SOM	BVC-RSPO-20171129-2	29/11/2022-28/11/2027	Palm kernels, palm kernel expeller, CPKO	18,545	100%	100%
COM	824 503 16024	13/07/2021-12/07/2026	Palm kernels, palm kernel expeller, CPKO	23,855	100%	100%

For more detailed information on the traceability data at each crusher to plantation, click here.

Ensuring Smallholder Inclusivity

By adopting the Mass Balance model, we ensure uncertified smallholders remain part of our supply chain. REA actively engages with these smallholders, offering support to improve practices and achieve RSPO certification. This approach not only aids their economic well-being but also promotes sustainable agricultural practices, setting the stage for future certification opportunities.

REA strives to increase the proportion of certified palm oil products sold, utilising RSPO and ISCC certifications to access premium markets and promote sustainability. While not all Fresh Fruit Bunches (FFB) processed in 2023 were certified, the company continues to balance certifications for optimal returns while preparing for stricter regulations like the European Union Deforestation Regulation (EUDR).

2024 CPO and CPKO Sales Data

	CPO (tonnes)	CPO (%)	CPKO (tonnes)	CPKO (%)
RSPO Sales	99,052	51.6	10,661	56.1
ISCC Sales	16,012	8.3	-	-
RSPO Sold as Uncertified	31,051	16.3	4,945	26.0
ISCC Sold as Uncertified	87	-	-	-
Non-Certified	45,710	23.8	3,400	17.9
Total	191,912	100	19,006	100

Certification Mechanisms and Credit Systems

The group uses the RSPO PalmTrace system for certifying transfers of oil palm products from mills to buyers’ refineries. Where RSPO certified oil is sold as non-certified, the group is able to obtain RSPO paper credits and sell those credits separately from the oil. RSPO Palmtrace provides a marketplace for such credits which can be carried forward and sold at a later date at the group’s direction.

The group is working to increase the percentage of its CPO and CPKO production that can be sold as certified. Agreement of the compensation liabilities detailed under RSPO above, will mean that, going forward, almost all of the group’s own FFB crop will be classified as RSPO or ISCC certified. As detailed under Smallholders below, the group is also taking steps to facilitate its smallholder suppliers obtaining sustainable credentials.

Strategic Initiatives for Certified Sales

Smallholder Support

Increasing Certified Volumes

EUDR Compliance

Continuous efforts to support smallholder suppliers in achieving RSPO certification will further increase the certified supply base.

At REA, we’re committed to managing our environmental impacts responsibly. This commitment is reflected in the certifications and assessments we participate in, which help ensure we meet both international standards and national regulations. Our ISO 14001 certification supports the implementation of strong environmental management systems, while our participation in Indonesia’s PROPER programme provides independent assessments of our performance across key environmental indicators.

ISO 14001 Certification

REA and SYB’s estates, mills, and bulking station are certified under ISO 14001, an internationally recognised standard for environmental management systems. This certification supports the development and implementation of robust environmental policies and objectives. Following successful surveillance audits in March 2024, certification was renewed through early 2025, demonstrating REA’s continued compliance with global environmental standards.

PROPER Ratings

PROPER, an initiative by Indonesia’s Environmental Impact Agency, evaluates companies on their environmental management standards.

The PROPER assessment evaluates companies on various aspects, including lifecycle assessment, energy efficiency, emission reduction, water and wastewater management, waste reduction and utilisation, biodiversity protection, community empowerment, and disaster response.

Rating Tiers

Gold: Outstanding environmental performance with innovation and community impact

Green: Exceeds regulatory requirements through proactive initiatives

Blue: Meets all legal environmental standards

Red: Fails to meet some regulatory standards, requiring improvements

Black: Significant violations or environmental damage

REA’s PROPER Ratings

Mill	2025 Provincial Rating	2024* Provincial Rating
POM	Green	Blue
COM	Gold	Green
SOM	Green	Blue

*The 2025 National PROPER assessment is expected to begin in the second half of 2025.

These ratings demonstrate our proactive measures to mitigate pollution risks and adopt practices that exceed standard compliance.

Certification

Certification

1. RSPO Membership

2. Certification of Mills

3. Certification of Plantations

4. Certification of Smallholders

2012

2015

2023

2025

Progressing Toward Full Compliance