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Investor Presentaiton

RIAU FOREST AND TREE PLANTATIONS Around 5.1 million hectares or 55% of the Riau's land area is peatland. In addition, around 126,000 ha in Riau is mangrove. From 2001 to 2021 (GFW), Riau has lost 4 million ha of tree cover, which is equivalent to a 51% tree cover loss since 2000, and 3.51 Gt of CO2e emissions. Agricultural conversion, timber plantations, illegal logging, and forest fires are key drivers of deforestation in Riau, and land tenure conflicts are common. Despite the fire trend decreasing yearly, the threat remains as 1,219 ha of forest land was burned until August 2022. Communities are still opening the forest land through slash-and-burn methods, especially for palm oil plantations. Provincial government launched the Local Action Plan on Sustainable Palm Oil Plantations of Riau Province 2022 -2024 under the Riau Government Regulation No 9/2022 to control oil palm expansion to the forest. Around 1,673,030 ha of forest in Riau is under this tree plantation. Pulpwood mills and tree plantations continue to be controversial in Riau as they have historically contributed to the large-scale conversion of natural forests to plantations both on mineral soils and on peat. Previous TFD dialogues have sought clarity on the source of fiber supply for the expanding mills held by both APP and APRIL. In Riau, there are 440,539 ha of conservation areas in the form of Nature Reserve Areas and Nature Conservation Areas. Thirty-one species of endangered mammals still living in the Riau forest area, including Sumatran tiger and Sumatran elephant)
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