INSIDE THIS ISSUE: P1-2 REMARKS OF CEO / PRESIDENT | P3-4 EVENTS, IBCSD Council | P5-9 WASH, MONSANTO, IPOP, EEB | P10 FOREST FIRE
NEWSLETTER Remarks of Chairman
Volume XV, July - Dec 2015
Clayton Allen Wenas I would like to say thank you for all partners, member companies and the president of IBCSD. As the new chairman of IBCSD for the next period, we will contribute to the process and development within IBCSD Programs in reaching more efforts on sustainability businesses. open for additional programs and initiatives as we are facing dynamic global and national economy.
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We are mainstreaming these initiatives through activities such as; (1) program development; (2) training & capacity building; (3) dialogue & advocacy; (4) project development; (5) building partnership and (6) event & promotion. Through these actions, we hope we would frame the outcome by: 1. Providing solutions for environmental and social issues; 2. Increasing sustainable business practices along the value chain; In the upcoming programs, we are trying to develop IBCSD Framework until year of 2020, structuring all the development of the organization and initiatives effort since its establishment in 2011. We classify our work through three major works, they are (1) Thematic area, carrying the cross sectoral issues; (2) Sector and Value Chain, with sector focusing and involving business players along the value chain; and (3) Capacity building for all sectors and its value chain, focusing to escalate the capacity of corporate employee, young generation as well as technical people that are able to link businesses with ecosystem. Having the classified work, we try in translating the way we work and connecting them with what we need to achieve by building the key program and initiative that significantly need immediate responses from businesses such as climate change, energy conservation, social impact, sustainable consumption and production, and water solution. We are definitely
3. Giving quantitative impact; and 4. Creating scalable and replicable business process & solutions. Looking at the list of member services create by IBCSD, we look forward to your active participation in the organization and find your own need by utilizing IBCSD to strengthen your sustainability performance, and at the same time contribute to Indonesia business society, leading the country to the solutions we need.
Dear Readers, We are pleased to bring you the 16th Edition of our Newsletter with topics on Energy, Palm Oil, and the result from IBCSD Member Council and Delegates Meeting. The Member Council meeting has formed a new structure of Steering Committee and Executive Committee of 2015-2018. During the 6 months, we’ve worked on WASH at workplace pledge, supporting the 4th Social Responsibility Asia, 2nd Business Ecosystem Training, and Energy Efficiency in Building. We congratulate the member companies who have made decision to be part of the program, as an action toward sustainable business, and we hope to see more member companies joining the initiative in 2016.
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The process of business development must also bring prosperity to the environment, social and business sectors itself, therefore we are hand in hand walking to achieve the progress of private sectors, the government and the people. Not only the process will As most of you might be involve in our activities, we will influence other sectors, it can also help companies to retain the be working hard with numbers of valuable partners of best human resources and make them more attractive to IBCSD, national and international, to deliver key investors and insurers, while reducing exposure to regulatory messages from private sector about how we playing our role in sustainability. We always open our self for risks and other liabilities. Mauricio Amore CEO of Monsanto more partnership to create transformation of business Indonesia, said that Indonesia is actually has potency to stop and industry in Indonesia, so we can play a better role importing corn, as long as there is support for the farmers and not in the global trade. let them squeezed by a long distribution chain. Thank you! After the council meeting in August 2015 and beside in ruling the process of leadership and organization chain, we have chosen the new chairman of IBCSD and we congratulate for his new role in IBCSD, to Bapak Tony Wenas. As mentioned and we agreed that IBCSD council meeting functions to generate innovative developed programs is our effort in the sustainable approaches in implementing sustainable development, to create development. cogent, compelling business messages for Indonesia’s business Appreciation goes to the Members Council (CEOs and agenda beyond business as usual. By pursuing sustainable equivalent), the Liaison Delegates and the IBCSD development, it makes companies more competitive, more Steering Council, in their hard effort to make the resilient and adaptable in a fast-changing world, and more programs running. The progress report of IBCSD’s prepare for the future. and also lately the meeting at COP21 has programs, initiatives, focus areas, shows that we are emphasized that it shows another effort will be planned, another keep pursuing the effort to the development of contribution will be recorded, and another actions will be Sustainability in Business sectors. implemented. (Continued on page 2)
Remarks by President of IBCSD Shinta W Kamdani
IBCSD as a CEO-led association of companies operating in Indonesia, who share a commitment to promoting sustainable development through sustainable economic growth, ecological balance and social progress not only play its role for the improvement of economy, but also to start the initiation how it will not harm other sectors of life, such as ecological and social progress. The gathering for another transition of member council, liaison delegation and the trajectory for the new and
Message from the editor...
Remarks by President of IBCSD Ibu Shinta W Kamdani This is a bigger theme, with meaningful ideas that as a human we should never stop, but always ready for an action with strategies and ideas. How business development services on Inclusive Business, Private Sector Leadership for Energy Efficiently in Buildings, and Sustainable Business towards Peaceful Arbitration, as well as the social conflict settlement are the majority issues we must prepare. Moreover, you also could contribute in the organizational dynamic to keep the council running and achieve for the sustainability performance. Let us bring the previous question, that the world, the nations echoing a sentence, ‘Can business be a positive force to solve global environment and social issues?” and beside the projection of all challenges, let’s make this as a platform for sustainability in actions. Plan for a roadmap and how business can positively influence environment and social trends while strengthening the resilience to issues like climate
change, demographic dynamics and skills shortages. Let’s use a big word of YES, that we can do that through our planning of Action 2020 to the sustainable developments and start a plan. Because ‘YES’ is a commitment and within this I appreciate the success of council members, member companies, and IBCSD team to be able to reach the programs significantly. I also want to congratulate all the companies who take the initiative and reach the contribution to sustainability. We must be proud and use this moment to be the spirit and the most enchanting moment that we can do better and always better for the contribution to reach the Action 2020 and reach the maximum development of organizations. I wish you a success and bright ideas for a bright action to reach the more opportunities in facing all challenges in the future.
Our Events .... The 4th SR Asia International Conference Indonesia Business Council for Sustainable Development (IBCSD) in collaboration with SR Asia and other partner organizations who promotes sustainable development in Asia, have successfully organized its 4th international conference on November 25th – 27th in Jakarta, Indonesia. The Conference conveyed the theme of “Welcoming SDGs: Global Partnership for Sustainable Development” to raise public awareness on Sustainable Development Goals (SDGs), primarily in Indonesia. The first day of Conference was held in Atma Jaya Catholic University of Indonesia and then in Paramadina Graduate School for the second and third day. The Conference was a result of a partnership among a number of stakeholder groups consisting of the Indonesian ministry and government agency, industry, consulting sector, higher education, and leading organization in sustainability. They were the Ministry of Manpower of the Republic of Indonesia; Asian Productivity Organization (APO) Japan; Indonesia Global Compact Network (IGCN); Atma Jaya Catholic University of Indonesia; Paramadina Graduate School; Trisakti University; SR Asia; Aicon Global Indonesia; Dasa Strategik Indonesia; kabarcsr.com; KBR radio network; BUMN Insight magazine; Unilever Indonesia; Bank BNI; United Nations Center for Regional Development (UNCRD); Indonesia Cleaner Production National Center (PPBN); and International Partnership for Expanding Management Services of Local Authorities (IPLA). A number of high-level hosts and speakers from government bodies and respected organizations at national and international level presented ideas, experiences and the latest trends in sustainability issues, such as corporate accountability, sustainable business, sustainable tourism, sustainable marine, sustainable city, green building, biodiversity, and climate change. The recommendations highlighted the three pillars of SDGs implementation, namely People, Process and Partnership, to make SDGs successful and be able to deliver positive impacts. A paper titled “The Power of Community Led Total Sanitation Program: A Collaborative Sustainable Movement for Healthier Communities” from PT Adaro Indonesia was awarded the 1st Best Paper. The paper was selected as the winner after a review process of 32 papers submitted to the Committee.
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BNI Clean the Garbage in Muara Angke
Green Efforts by BNI
The Director of BNI, Achmad Baiquni Give support to clean the gargabe in Muara Angke in cooperation with the ministry of State Owned Enterprises, Green Smile, Indonesian Navy and PT Telkom
2011 Corporate Community Responsibility (CCR) Unit of BNI support the OBIT (One Billion Indonesia Trees) Programs, initiated by the government such as through plant seeding of one million perennials plants.
2012 - 2015 BNI donated 1.500.000 plant seeds of perennials (fruit and perennials) and 20.000 rare plants with Budiasi Organization in Sentul Bogor, West Java. Develop a seeding Programs for Jati Silin in cooperation with Faculty of Forestry, UGM by producing 30.000 seeds of plants; building the City Forest in Banda Aceh, Manahan Solo, City Garden in Wonosari-Yogyakarta, Gunung Sumbing Hills, Forest and City Forest in UdayanaBali.
Jakarta, 8th August 2015. PT Bank Negara Indonesia (Persero) Tbk (BNI) supported by the Ministry of State Owned Enterprices, Indoneisan Navy (TNI), and PT Telekomunikasi Indonesia clean Muara Angke area, North Jakarta from the mounds of garbage which has mounted in years. There are 38 garbage trucks and excavators were used to lift up the garbage in the final disposal area (TPA) Bantar Gebang, Bekasi, Jawa Barat. It took for three days continously to finish. This was for commemorating the 70th Indonesian Anniversary (HUT RI) for people at Muara Angke dan surrounding who had already relieved from the stink of the garbage. The cleaning process is the main program of Senyum Hijau Kampoeng Angke which focus to be held in Muara Angke, Jakarta, started from Saturday (8th Agustus 2015). Minister of State Owned Enterprise, Rini Soemarno; Governor of DKI Jakarta, Basuki Tjahaja Purnama, The Advisor of Green Smile Indonesia Dadang Irawan, Director of BNI Achmad Baiquni, Muara Angke People, and Students attend in this agenda. This program is held as part of blessings in the 70th Anniversary of Indonesia Independent Day by encouraging a theme "Sinergy of State Owned Enterprise (BUMN) to build the nations. Mr. Dadang Irawan stated that the mounds of garbage in the coastal area of Indonesia, especially in Jakarta has already massive and worrying, such as in Muara Angke. The mounds of garbage in Muara Angke has accumulated and mounted and become a serious problem in environment. Before, Muara Angke was green with Manggrove, however it is arid and dry at this moment. The intrusion of sea has reached far to the people regency and it gives bad impacts to the clean water stock. The garbage has also caused the damage of the Mangrove plants. The main function of the event "Senyum Hijau Kampoeng Angke" is to clean and transform Muara Angke Village into a green fishery village. The Green Smile tried to return the history of Green Muara Angke like it was in the past.
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The cleaning of garbage was held in the area of Kampoeng BNI Muara Angke. Achmad Baiquni stated that BNI tried to contribute in the government programs in making the prosperity of fisherman near the coastal area through maintaining the effort on Traditional Fishing Processing (PHTP). “We hope that Kampoeng BNI Muara Angke will become a salty fish village that is green, clean, and healthy by this effort. With a sustainable environement, it will contribute in the increase of prosperity to the people", Baiquni stated. The area of PHPT Muara Angke is an area for prosessing the result of traditional fishing, owned by the provincial government of DKI Jakarta within the area of 7 Hectare. The location is popular as the center of salty fish and many other fish processed such as pindang fish, smoked fish, as well as the process of fish waste. To increase the quality of the area in Kampoeng BNI Muara Angke, BNI did not only help the strenghtening of the business, but also provide the Capacity Building, provision of Water Treatment, and to hold a Seminar for the Society Skills, to build the road and paving block, planting Mangrove trees, to support the education of the victim's of fire, as well as building the pray area. Besides, BNI also has a green programs as an activity that was held from 2011 through the Corporate Community Responsibilty (CRR) Programs by supporting the OBIT (One Billion Indonesia Trees) program (2011), donating trees in collaboration with Budiasi Organization in Sentul bogor, West Java; and many others. For further info, please contact: Tribuana Tunggadewi, Corporate Secretary BNI Telp: 021-5728387, Email : bni@bni.co.id
The 4 th IBCSD Member Council and Liaison Delegate Meeting Indonesia Business Council for Sustainable Development (IBCSD) held its 4th annual Member Council and Liaison Delegate meeting on 6 August 2015 that brought together its Council Members (CEOs and equivalent), further joined by the senior executives of IBCSD member companies, invited participants and speakers to share the knowledge of Indonesia business agenda. Like many in other countries, private sector in Indonesia also faces several challenges. IBCSD initiates the Indonesia Vision 2050 as a platform and framework for private sector in Indonesia in identifying and addressing the real challenges. Shinta W Kamdani, the President of IBCSD said that “Since 2013, members of the IBCSD and Kadin started the Indonesia Vision 2050 project to develop a business view of a sustainable and sustaining civilization by 2050; then to attack the harder challenges of laying out actions that must be taken, starting now, to make that vision a reality”. One of the challenges on sustainability is on how the private sector can minimize the negative impact of their business operation to environment and community. The initiative also shows opportunity for private sector to take the lead on a broader and strategic development dimension on a responsible business, considering that Indonesia is having a strong economic performance and potential energy and natural resources which attractive for private sector. The IBCSD’s President further said that “Sustainability is increasingly being recognized as a driver for superior financial performance”.
The gathering event was also one of the milestones that defined the next phase of the organization until 2018, because during the meeting, IBCSD also held the election for its member council and executive committee member. As the result, Shinta W Kamdani was re-elected as the President of IBCSD for the second period, with Mauricio F Amore (Monsanto Indonesia) as the Vice President, and Nancy Martashuta (BNI), Fazil E Alfitri (Medco Power Indonesia) and Ibrahim Hasan (RAPP) as the member committee. While for Executive Commiitee, Tony Wenas (RAPP) was elected as the Chairman of IBCSD, and Yono Reksoprodjo (Sintesa Group) as the vice chairman, with Tiur Rumondang as Secretary General of Executive Director, and Heri Kristanto (Monsanto Indonesia) as the member of Executive Committee. IBCSD delivered its program and activities report and its achievement throughout 2014 and mid-2015. This event also discussed several IBCSD program and activities in the future such as on human rights, energy efficiency in building, social conflict resolution, water and forestry, which are part of IBCSD role for its member companies in achieving sustainability.
Congratulation and Good Luck!
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Join the Pledge for WASH (Water, Sanitation, Hygiene) It is estimated that one third of the world’s population lacks access to safe sanitation and one in seven does not have access to clean drinking water. Moreover, it has been showed that the simple act of washing hands with soap can significantly cut the risk of diarrhoea by approximately 40 percent. Many businesses have operations, employees, contractors and customers in countries lacking access to safe water, sanitation and hygiene. Their economic, social and environmental impacts can cause illness or fatalities, impair productivity, and restrict markets for some products and services. There is a compelling and clear economic case for businesses to demonstrate leadership by addressing this situation. In an effort to answering the global challenge of water and sanitation, the IBCSD (Indonesia Business Council for Sustainable Development) together with WBCSD (World Business Council for Sustainable Developmnet) are calling for the business community to sign and implement the Pledge for Access to Safe WASH (Water, Sanitation and Hygiene) at the Workplace. Sarwono Kusumaatmadja (left) the Chairman of the Judging Panel gave the Award on Financial Service Category to Suhardi Petrus (right), the Corporate Secretary BNI, on Sustainable Reporting Award 2015 Presentation in Jakarta, 15 December 2015.
Sustainability Reporting Award 2015 The National Center for Sustainability Reporting (NCSR), IBCSD’s partner, organized the 11th ISRA with the theme of “Towards a Greater Transparancy and Accountability”. We appreciate the member companies that have participated for the Award and we congratulate PT. BNI (Persero), Tbk as the winner for Financial Service Category.
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WASH Pledge is an initiative allowing companies to ensure that they provide best practice on WASH at the workplace, and to help companies pave the way toward sustainability. Access to WASH is a human right and it is also likely to be included in the upcoming Sustainable Development Goals. According to the World Health Organization (WHO), for every US$1 invested in water and sanitation, US$4.3 is generated from improved
productivity, reduced sick days and a more able bodied workforce By signing this pledge companies commit to implementing access to safe water, sanitation and hygiene at the workplace at an appropriate level of standard for all employees in all premises under their control within three years after signature. In the long term, the intention is to promote access for all workers along the value chain and, ultimately, improve WASH access in the communities in which they live. The pledge is a business friendly implementation, a non legally binding commitment, since the intention of the Pledge is not to create a new standard and no need for external auditor. The pledge provides company with WASH Self-assessment tools (toolkit) to integrate signatory companies’ existing internal processes in evaluating their WASH standard and knowing the gaps. It also assist company in prioritizing gaps, develop and implement improvement plan, and then to disclose and communicate the implementation. To find out more about the WBCSD WASH Pledge, kindly visit www.wbcsd.org/washatworkplace.aspx For additional detail, Faiza@ibcsd.or.id
please
contact
Field Visit on Collaborative Programs
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Monsanto & Conservation International in North Sumatera On 24-27 August 2015, IBCSD went to North Sumatera for a field visit to the program developed by Monsanto Indonesia, one of IBCSD member companies, together with Conservation International (CI). The program, namely Program Sustainable Landscapes Partnership (SLP) is located in District of Mandailing Natal, Tapanuli Selatan, and Tapanuli Utara; and Program Sustainable Agriculture Landscapes Partnership (SALP) located in District of Pakpak Bharat. About 80% of the area of Pakpak Bharat is forest area which also part of corridor for animals, the important ecosystem in Gunung Leuser and Batang Gadis National Park. It took about 5 to 6 hours to reach the location from Medan. The concept of the program is improving
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livelihood of farmers in the forest through community and local government engagement for conservation. The farmers and community is trained for good practices on sustainable forest and farm landscape, and also supported with fund and seeds. The program gets appreciation from the local government. Year of 2015 is the second year of the program. There are also other achievements of the program reported by Conservation International such as reduction on deforestation by protecting 2,000 hectares in key biodiversity areas; enhanced farm productivity of corn by 30-100%; enhanced farmers’ household incomes by approximately 34% or Indonesia Rupiah 831,500 per month; enhanced environmental awareness among women and children as agents of local change, and many others. Since the beginning, the program has been designed to contribute in sustainable development through empowering rural area by improving agricultural production and protection
of natural resources, which is in line with development strategy of Ministry of Environment and Forestry; supporting sustainable development through green economic development. Another fact revealed during the visit is that the long supply chain for corn make the farmers has to sell the yields to the middle man, because they don’t have access to the market or industry. Responding to the issue, Mauricio F Amore, the CEO of Monsanto Indonesia, said that Indonesia is actually has potency to stop importing corn, as long as there is support for the farmers and not let them squeezed by a long distribution chain. Sabrina, the Minister Expert Staff for Food, Ministry of Environment and Forestry also pointed out important message. She said, giving assistantship to farmer has to be very careful, that they won’t really rely on the program that will weaken themselves in the future.
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Sustainable Palm Oil Issues
Palm oil has become 22% major contribution to Indonesia’s GDP, this makes palm oil play important role as economic driver in national and local by providing livelihood for about 16 million worker and generating about USD 15 billion annually. Smallholder plays a significant role in palm oil sector in Indonesia by own 10.01 million hectares, which accounts 44% of palmplanted area in Indonesia. Palm oil industry has stimulates the growth of the local economy through income earned by plantation workers and company infrastructure building. On the other side of the coins, palm oil plantation expansion also linked to rising greenhouse gas emissions and the destruction of some of the most biologically diverse are on earth. Some of climate extreme phenomenon including forest fire and haze that covered few Southeast Asia Countries is linked with land activity-based of this sector. Growing awareness of these issues has prompted call for palm oil companies to rethink the way they operate their production process.
Sustainable Palm Oil Issues and range of works Indonesia Palm Oil Pledge (IPOP), an initiative from Indonesia to Indonesia in enhancing collaboration towards the transformation of Indonesia's palm oil. The global market is becoming very relevant to Indonesia since the majority of CPO production is used for export including domestic market formed for the absorption of long-term product. Indonesian competitors (including China and India today began production) also lead to the implementation of sustainable practices. If Indonesia is not prepared, it will potentially lose the state’s economic benefit, as well as social and environmental. Signed by five major palm oil companies with the scope of operations in Indonesia, IPOP aimed to improve the competitiveness of Indonesian palm oil both domestically and globally through the development of sustainable practices. IPOP reflects the company's commitment as a representative of the private sector to collaborate with key stakeholders such as government,
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civil society, oil palm farmers and communities in responding to those issues. IPOP using the basic principles of each its member companies sustainability commitments to bind in the collective elements.
• To extend social benefits to small farmers, local communities and indigenous peoples. • To increase the competitiveness of the Indonesian palm oil as a whole.
The implementation of IPOP member companies’ commitment will be embarked on a journey of transformation through several phased approach in accordance with the timeline fulfillment of commitments entered by each company. This approach is expected to give each company an opportunity to engage, support and inspire companies and oil palm farmers in the entire supply chain to the sustainability commitments. It can also be a model that could be developed for other strategic commodities in Indonesia.
IPOP work plan will be implemented through engagement and dialogue with various parties to bear joint initiatives as well as to continue the existing program, which is done in full awareness by the members and partners, thus providing significant impact. IPOP work program will includes: • Development of major infrastructure: implementing IPOP management and structure, profiling IPOP, make rules to guide members and developing strategic plans. • Establishing a monitoring system, evaluation and reporting of the members’ commitment implementation: create a knowledge management system, create a mechanism for reporting and evaluation, create guidelines and verification system for partners. • Reforming policies and regulations: anticompetition laws, abandoned land-related regulations in HCS/HCV, certification and small farmers, and so on. • Collaborative Program: One Map Program in Riau, Program One Map in Central Kalimantan, and Implementation of Monitoring and Evaluation (M & E) Commitment in Aceh. • Communication and cooperation with stakeholders and partners: the existence in online media (website, social media), internal and external communications, campaigns for consumers, and stakeholder’s roundtable discussion.
The market mechanism provides an opportunity for buyers and consumers to determine the choice of products. The option can be applied to the type of products and countries. IPOP commitment begins to address these issues and received positive responses from the buyers and consumers. Consistent implementation of this commitment will give Indonesia a higher competitiveness and stronger negotiation skills in the global market dialogue (including the related valuation of sustainable practices and its relationship to the price). IPOP programs and activities as implementation of the commitment In the initial phase, IPOP will conduct assessment on the impact expected to be realized from a more strategic planning, conducting major infrastructure development as an initial process of reforming major policy changes in the oil palm sector, implementing program initiatives in three main provinces of IPOP implementation namely Aceh, Riau and Central Kalimantan and also conducting the process of monitoring, evaluation and verification on the outcomes. IPOP work in areas which are summarized into four pillars of the organization, they are: •To improve leadership in environmentally friendly production practices, business chain, as well as management and processes. • To strengthen policy and regulatory framework.
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Journey towards Sustainable Transformation In the commitment implementation, IPOP will certainly affect the workings of the entire stakeholder in the supply chain, including palm oil growers (PKS). It is the IPOP company members’ commitment to prioritize the welfare and improvement of the capacity of these palm oil growers to be able to maximize its potential by implementing sustainable agricultural practices. IPOP management and member companies understand that palm oil growers need a full support to enhance their capacity and capability in sustainable agricultural practices. IPOP will continue to develop these programs by collaborating with organization partners such as Serikat Pekerja Kelapa Sawit (Palm Oil Farmers Union, SPKS) and Kelompok Kontak Tani Nelayan Andalan (KTNA) for the implementation of the program on priority areas. At this early phase IPOP will work together with many parties to be able to compile the lesson learnt and best practices of sustainable palm oil industry in Indonesia and communicate them to the outside world. This lesson learnt will help IPOP replicate IPOP commitment to a broader scale in the next phase.
Towards Sustainable Palm Oil Sector
Scale Up
Transformation in Progress Starting Point
Cargill Wilmar
Asian Agri
IPOP Mgt Musim Mas
KADIN GAR
Roles IPOP Management: Monitor the Pledge and Implement Programs
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Discussing the findings of EEB Laboratory in Jakarta
Save the Earth by Lowering Energy Use in Building To achieve an energy-efficient world, governments, businesses and individuals in their private and professional lives must transform the building sector, which today accounts for 40% of the world's energy use. The EEB's report Transforming the Market: Energy Efficiency in Buildings from the World Business Council for Sustainable Development (WBCSD), shows how energy use in buildings can be cut by 60 percent by 2050 – essential to meeting global climate change targets – but this will require immediate action to transform the building sector. To achieve an energy-efficient world, governments, businesses and individuals in their private and professional lives must transform the building sector, which today accounts for 40% of the world's energy use. A multitude of actions are necessary to aggressively reduce energy consumption in new and existing buildings. Necessary changes cannot and will not come through market forces alone. As part of sustainability effort, IBCSD together with the Green Business Council Indonesia (GBCI) and WBCSD held Energy Efficiency Laboratory in Jakarta on 29-30 July 2015. Companies, association, university, government, research institution, bank, and consultant were interviewed to get some finding in understanding the barriers to lower energy use in building.
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As the output, some key findings and possible solutions are categorized in awareness, workforce capacity, financing, and policy and regulation. The findings were also presented in Technical Committee Meeting of the 3 EEB labs that was held in 1 September in Singapore, collecting result from EEB Lab in Indonesia, Singapore, and Malaysia. The meeting also develop action plan for each country. The report of the EEB Lab will be disseminated in a launching event of the action plan that is planned to be held in November 2015. As the action plan and recommendation for Indonesia, a platform will be established to lead the implementation of the action plan. IBCSD will gather its member companies and build partnership with the stakeholder (government, professional association, business organization, and industry) to lower energy use in building for the implementation of the action plan.
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Solution to Forest Fire & Haze Problem Tackle the Deforestation in Riau, Government Need to Provide Intensive Cooperation between the NGOs, Corporations and Small Holders Regulations regarding for the use and management of forests in Indonesia have not been supported by a strong legal certainty. As mentioned in the Government Regulation (PP) No. 61 of 2012 (2) Article 4 that there is an agreement on the principle of the use of forests for the benefit of development outside forestry activities. According to this regulation, the practice of deforestation in forest area automatically becomes legitimate to run. In addition to the PP, Act No. 39 of 2014 on Plantation presents a dilemma for the private sectors as actor perform forestry development through non-forestry industry, such as industrial estates. (Continued to page 3)
During this time, appeal to reject the deforestation for the sake of the preservation of the forest environment encouraged by the government but the law is actually at odds with the commitment free deforestation of forest areas used as plantation land. Then glanced at the palm oil industry that is regarded as the trigger haze case of Riau in 2015, basically there is the same dilemma of the parties private sectors in the field of palm oil in which they were allowed to use all the land that they have to plant oil palm, so they can not allocate land for conservation purposes. It is based on what is stated in the Act No. 39 on Plantations. Even though palm oil industry players in Riau have been doing incentives in an effort to maintain the harmony with the environment through the component certificate of ownership obligations of Indonesian Sustainable Palm Oil System (ISPO) and the Roundtable on Sustainable Palm Oil (RSPO) since the beginning of 2015. So that the palm oil companies in Riau, mostly, have been working under ISPO and RSPO standards. Cooperation between the Government, NGOs, Corporations, and Small Holders The dilemma felt by the private sectors of palm oil in Riau emerged as regulations issued by the government for the events leading to the use of forests as oil palm plantations have not been clearly synergized with the all stakeholders. Finally, ambiguity over the interpretation of the rights and obligations on the utilization led to recriminations between the various parties. The Government should not only work alone to achieve the purpose of forest use in Riau but must hold all stakeholders are like NGOs, cooperation and even local communities. This serves to equalize the perception of the purpose and the use of forests as palm oil area and what needs to be done to avoid the deforestation.
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About IBCSD The Indonesian Business Councill for Sustainable Development (IBCSD) is a CEO led association of companies operating in Indonesia, who share a commitment to promote sustainable economic growth, ecological balance and social progress. To learn more about IBCSD membership, please contact: info@ibcsd.or.id Follow us on Twitter: @IBCSD2011 Facebook:IBCSD Indonesia Business Council for Sustainable Development Menara Duta Building, 7th Floor Wing B Jl. HR. Rasuna Said Kav B-9, Jakarta 12910 Phone : (+6221) 5290-1941-42 Fax : (+6221) 5290-1949
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