FGV HOLDINGS BERHAD | SUSTAINABILITY REPORT 2022/2023 95 OUR APPROACH Our commitment to managing water resources responsibly is reflected in our Water Neutrality initiative where we delve into water management practices at our business units. We strive to continuously explore strategies for reducing water usage and enhancing conservation efforts. We have engaged our business units to understand their interactions with water, its related impacts, and the management of such impacts. A crucial aspect of this effort is our ongoing water inventory, which quantifies the amount of water usage and discharge. Currently, 20 business units (BUs) have been engaged and completed the inventory. By maintaining a proper inventory and conducting routine monitoring, we hope to improve our water resource management and wastewater treatment in compliance with environmental regulatory standards. As an environmental steward, FGV acknowledges the critical importance of river management in fostering sustainability. As of today, we have identified a total of 371 river systems in and around FGV’s estates. To ensure there is no pollution from our operation, we continuously conduct river water quality monitoring for significant rivers identified in and around our operation area. Moreover, we ensure that all identified rivers have sufficient buffer zones in accordance with Department of Irrigation and Drainage (DID) guidelines and are effectively managed. As Palm Oil Mill Effluent (POME) has the potential to become a significant pollutant for nearby river systems, we are steadfastly committed to always ensuring proper management of our POME. We thoroughly treat POME before its discharge into water bodies. The effluent discharged undergoes stringent monitoring to ensure compliance with Department of Environment (DOE) regulations pertaining to water quality indicators. For instance, the Biological Oxygen Demand (BOD), a crucial indicator of water quality, must remain below the permissible level. We spare no effort in adhering to regulatory parameters across all our operations. To this end, we conduct daily, weekly, and monthly effluent performance monitoring, which includes laboratory analyses and inspections of the physical condition of our POME treatment systems. WATER USE A large amount of water is required in the palm oil milling process, with much of that water used ending up as Palm Oil Mill Effluent (POME). However, due to poor water management and the destruction of freshwater ecosystems, billions of people worldwide lack access to clean water and sanitation, and water risks for corporations and economies are rising. According to the World Wide Fund for Nature (WWF), by 2050, areas facing high water risk might account for 46% of the world’s Gross Domestic Product, up from 10% today. Water is a fundamental element that underpins the world’s shared future, hence, WWF has urged governments, corporations and financial institutions to invest in protecting and restoring the world’s fresh ecosystems. As a responsible corporate entity, FGV is equally committed to implementing effective water management practices to preserve and conserve water as a shared resource. We are determined to achieve our goal to reduce water consumption, enhance wastewater treatment within our mill operations, and promote sustainable production of palm oil to minimise our environmental footprint. WHY IT IS IMPORTANT CONTRIBUTION TO THE UNSDGS SDG target How we support the SDG Protect and Restore Ecosystems Conserve and Restore Terrestrial and Freshwater Ecosystems FGV monitors its water usage for reduction and manages Palm Oil Mill Effluent (POME) to prevent it from polluting nearby river systems, ensuring compliance with regulations through thorough treatment and regular monitoring. PROTECTING THE ENVIRONMENT
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