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Investors have been cautious about investing in palm oil biofuel projects because of the impact the expansion of oil palm plantations has had on tropical rain forests, [107] but according to the South East Asian CDM development company YTL-SV Carbon, many CDM projects in the palm oil sector focus on improving use of waste products to reduce gas ...
The palm oil industry has had both positive and negative impacts on workers, indigenous peoples and residents of palm oil producing communities. Palm oil production provides employment opportunities, and has been shown to improve infrastructure , social services and reduce poverty.
Palm oil is a globally traded commodity used in a wide range of consumer products, including packaged foods, cosmetics, and cleaning supplies, and as a feedstock for biofuels. Produced in the world's tropics on industrial monoculture plantations, oil palm has severe and widespread negative impacts on the environment and local people.
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The best reported example of this is the expansion of oil palm plantations in Malaysia and Indonesia, where rainforest is being destroyed to establish new oil palm plantations. It is an important fact that 90% of the palm oil produced in Malaysia is used by the food industry; [ 67 ] therefore biofuels cannot be held solely responsible for this ...
The RSPO was established following concerns raised by non-governmental organizations about environmental impacts resulting from palm oil production. [2] 51,999,404 metric tonnes of palm oil produced in 2016 was RSPO certified. [3] Products containing Certified Sustainable Palm Oil (CSPO) can carry the RSPO trademark. [4]
The most effective way to combat the negative effects of logging would be tighter regulation that still allows high production of palm oil, but in a more sustainable manner. This way, not only will the effects be mitigated now, but there will be more forests to log, and thus profits to make, in the future.
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