Utilizing NCS Voluntary Carbon Credits in Corporate Net Zero Emissions Plans

Voluntary carbon credits are one way to fund NCS carbon projects to address the climate crisis. Companies wishing to mitigate emissions through voluntary carbon credits in NCS projects need to ensure that the projects invested in are of high quality, which are efficient to reduce emissions while benefiting the surrounding communities.

“There is a new way of doing business where we can be transparent, equitable, serve a purpose, and be profitable,” Dharsono Hartono, IBCSD Executive Committee & CEO PT Rimba Makmur Utama

NCS Alliance is a multi-stakeholder coalition (80+ organizations) initiated by WBCSD to voice the importance of high quality NCS projects. The NCS Alliance has an NCS Procurement Hub that can serve as a forum for businesses to exchange and obtain NCS-related information and help businesses achieve their climate crisis mitigation goals.

More information about the NCS Procurement Hub can be accessed via: https://ncsprocurementhub.org/

Update on Ministerial Regulation No. 75/2019 Regarding EPR and the Role of Plastic Credits as a Mechanism to Support the Waste Reduction Roadmap

Environmental Expert Associate at the Directorate of Waste Reduction of the Ministry of Environment and Forestry, Asep Setiawan, said, “We must work together to encourage the national and local governments, as well as all the penta-helix stakeholders to be involved in waste reduction”. He also highlighted that legal certainty regarding this is needed.

EPR has become mandatory, requiring all producers in the manufacturing, brand, retail, food and beverage service sectors to limit waste generation, take back the packaging, and recycle. This road map is set for 10 years. It’s important that business actors prepare themselves through planning documents, calculating the baseline, and implementing it. EPR is a circular economy tool, whereas producers can maintain the circularity of a product or material that will become waste to be reused, so as to maintain the use value of the goods and eventually can control environmental pollution.

One option for producers to achieve their waste reduction goals is through plastic credits. The Ministry of Environment and Forestry acknowledges it as one way to contribute to waste reduction strategy. Representative of PCX Markets, Faisal Yusuf, said that plastic credits can be counted as part of the 30% waste reduction target by producers. 

Plastic credits, similar to carbon credits, are a market-based mechanism designed to mitigate plastic pollution. Businesses can invest in or purchase credits equivalent to the amount of plastic waste they generate, with funds directed toward plastic waste reduction and recycling projects. These credits incentivize the reduction of plastic usage and the support of initiatives that combat plastic pollution, ultimately helping to balance the environmental impact of plastic production and consumption while fostering a more sustainable approach to plastic management.

Transforming Food Systems in Indonesia: TEEBAgriFood for Business Project Leads the Way

In close collaboration with the Capitals Coalition, UNEP TEEB, and the Indonesia Business Council for Sustainable Development (IBSCD), TEEBAgriFood is making remarkable strides in reshaping the future of agriculture and food in Indonesia. This partnership is committed to accelerating the transition towards a nature-positive, climate-friendly, and equitable food value chain. A capacity building event was held on the 7th of September 2023 in Jakarta. This event promises to be a pivotal moment for all stakeholders involved, offering several key opportunities. 

The TEEBAgriFood for Business Project has been actively working since 2020 in seven countries, with a mission to mainstream best practices, build resilience, and contribute to a more sustainable agrifood sector. In Indonesia, the Capitals Coalition, IBCSD, and UNEP TEEB have played a vital role in organizing roundtable consultations, training sessions, and providing support to businesses. These activities have been instrumental in transforming practices and assessing the impacts and dependencies of businesses on nature and people. The capacity building was a concluding event of the project.

This event provided the attendees an opportunity to learn from and be inspired by the best business practices in the realm of Food System Transformation in Indonesia. These practices are aimed at creating a more sustainable and equitable food system. Moreover, it brought together a wide range of stakeholders, from business peers to public sector representatives, to collectively create a pathway for food system transformation. Collaboration and shared insights will be key to this endeavor. By uniting various stakeholders, TEEBAgriFood aims to drive a meaningful shift towards a more sustainable and equitable future.

 

Project: Jurisdictional Collective Action to pursue sustainable commodity production, emission reduction and reducing deforestation

PURPOSE

The Tropical Forest Alliance Southeast Asia (TFA-SA) continues to convene multi-stakeholder dialogue and build shared action agenda for collective action through developing a collection of business cases and policy briefs and other publications required.

The objective of this consultancy is to support TFA-SA community to facilitate multi stakeholder dialogue through facilitating service, report writing, communication and design, webinar/logistic facilitation support and interpreter/translators

Thematic areas of interest: multi stakeholder, jurisdictional collaborative, green growth policy, financing and investment, smallholders and indigenous communities. 

Background

The Tropical Forest Alliance (TFA) is a global multi stakeholder platform focused on reducing commodity driven deforestation. Hosted by the World Economic Forum, the TFA works with over 160 public, private and civil society actors to catalyze high-impact partnerships to address the inherent tensions that exist to grow production while protecting the forests – public and private, producer and market, global and local, people and the forest frontier.  The TFA operates regional platforms in Latin America, West and Central Africa, China and Southeast Asia. The work under this consultancy will be performed in collaboration with the Southeast Asia platform.  

SERVICES PROVIDED

The consultant will work closely with TFA Southeast Asia Team and its members and partners (Government of Indonesia, business sectors and civil societies) and will undertake the following tasks.

Facilitator and or Report writer

  • Consult with TFA SA in the process of developing the concept note and draft of proposal.  
  • Develop proposals that indicated an overview of the study includes: background, methodological framework, objectives, indicative timelines & deliverable and budget.
  • Participate in the meetings/dialogue that TFA convened with its stakeholders to identify topics/issues to be covered for business case/policy briefs
  • Review existing documents covering studies, reports, regulations, rules and other documents, related to respected theme: responsible business, indigenous communities, green investments, smallholders, policy and governance systems in Indonesia and Malaysia.
  • Write a report on the review of the implementation of two decades of fiscal decentralization in Indonesia, including providing concrete policy recommendations on improving fiscal decentralization and local government finance in Indonesia
  • Present the findings from the business cases/policy briefs to the stakeholders should that be requested by the TFA Southeast Asia team.

Interpreter and or Translator

  • Proven experience to support the TFA-SEA team for either in Interpretation and Translation.
  • Consult with TFA SA prior the commencement of the assignment
  • Conduct internal research to ensure accurate understanding to deliver the assignments (both interpreter and translator)
  • Interpret and or Write with the choice of diction best suit to the context and  represent the  to the request of user (TFA SA)
  • Ensure the delivery of the service at the timely manner.

Communication handling

  • Mastering webinar and or zoom handling – and all the detailed as requested by the user
  • Develop concept and requested communication products (posters, backdrop etc) in line to the themes/context of JCAF
  • Proven ability to work under tight deadline and minimum supervision

 

DELIVERABLES

  • Identifying one thematic area of interest and provide TFA SA with : 1) Draft of Terms of Reference (ToR)— outlining: context/background, objective, methodology, scope of works, timeline and deliverables —- and 2) Draft proposal of work plan.
  • Draft of business case/policy briefs and other required documents
  • Final business cases/policy briefs and other required documents
  • All deliverables must be prepared in reporting format that must be agreed by TFA SA team.

REQUIREMENTS

  • Extensive working experience and knowledge in the issues  of responsible business, green investment, policy and governance, communication, indigenous community, smallholders and communication and youth engagement.
  • Strong background Public policy in Indonesia and have extensive experiences working with Government of Indonesia with Coordinating Ministry and Technical Ministry. (Facilitator and Report Writer)
  • Strong analytical, reporting and writing abilities (Report writers)
  • Fluency in English and Bahasa Indonesia both written and oral. (Interpreter and Translator). 
  • All positions required extensive experiences working (in the respected roles) with multi-stakeholder/consortium, private sectors, INGO and Government in cross-cutting areas of sustainable commodity productions, deforestation-free commodities, good governance, jurisdictions and or landscapes initiatives.
  • Master’s degree from nationally/internationally recognized university in Public Administration, Public Policy, Development Studies, Political Science, Economics, Governance or Social Science field. (Facilitator)
  • Prior work experience with Government of Indonesia in the national level, particularly with Ministry of Environment and Forestry (MoEF), National Development Planning Agency, Coordinating Ministry of Economy, Ministry of Agriculture. (Facilitator)
  • Work experience in development agency and research institution. (Interpreter – Translator and Communication)

LEVEL OF EFFORT

The level of effort is total of 4  months (no travel required) with estimated 4 – 7 days in a month. 

Please kindly submit your application by  September 11, 2023 to the email below: 

[email protected]

SCG Breaks Ground on Innovative RDF Technology Project in Sukabumi, Bolstering Sustainability Efforts

The RDF technology at the core of this initiative is a remarkable innovation, transforming Municipal Solid Waste (MSW) into a valuable renewable energy source for use in the cement manufacturing process. Notably, this project targets the revitalization of the Cimenteng landfill, a site currently tasked with managing waste from 27 sub-districts, amounting to an overwhelming 220 tons per day, exceeding its designated capacity. The RDF technology will not only facilitate the sorting and preprocessing of waste but will also provide a transformative solution for managing the accumulated waste at the landfill. The hazardous waste and other materials will be separated, and the resulting RDF products will be utilized as an alternative fuel, effectively replacing coal in the production process of SCG Cement.


Standing in front of the RDF construction area, Regent of Sukabumi; President of SCG’s Green Circularity Business, Visut Chongcharoenkit; Country Director of SCG in Indonesia, Warit Jintanawan; President of PT Semen Jawa, Somchai Dumrongsil; President of UAC in Indonesia; Head of West Java Environment Office; Head of Sukabumi Environment Office; Vice Chairman of DPRD; and Secretary of Sukabumi Regency (23/8). 

This project is indicative of a shared vision between SCG and the Sukabumi District Government, jointly working towards reducing waste and harnessing the potential of renewable energy sources. The initiative is projected to effectively manage 330 tons of waste daily and produce an impressive 100 tons of RDF products, serving as an eco-friendly substitute for coal in SCG Cement production. With construction set to commence in 2023 and full operational capability anticipated by 2024, PT Semen Jawa’s pioneering commitment to environmental responsibility becomes manifest, aligning with the ESG (Environmental, Social, and Governance) framework.

Marwan Hamami, the Regent of Sukabumi, expressed his appreciation for SCG’s involvement in advancing sustainable waste management solutions. RDF technology, he believes, will wield a positive influence on the environment and the community, contributing to the realization of waste reduction targets and establishing an advanced waste management system. Prima Mayaningtias, Head of the West Java Provincial Environment Agency, commended the collaboration and aspired that RDF technology will reduce waste volume at the Cimenteng landfill by an impressive 30-40%.

This transformative RDF technology initiative represents a significant step forward in SCG’s dedication to its ESG 4 Plus principles. These principles encompass achieving net-zero emissions, crafting eco-friendly products, reducing social inequalities, and fostering collaborations with stakeholders. As the world grapples with increasingly complex environmental challenges, SCG’s pioneering efforts in Sukabumi offer a tangible example of the remarkable impact that private and public sector collaboration can achieve. This endeavor is not just a local milestone; it is a profound contribution to global sustainability efforts, showcasing SCG’s commitment to shaping a more sustainable future for both society and the environment.

Chakkapong Yingwattanathaworn, the President Director of PT SCG Indonesia, emphasized that the development of RDF technology is a tangible manifestation of SCG’s ESG 4 Plus principles, focusing on the target of achieving net-zero emissions by 2050 and the realization of a green industry through every aspect of the company’s operations.

As the project commences in Sukabumi, it serves as a testament to the power of collaboration between public and private sectors in addressing complex challenges such as waste management and renewable energy adoption. SCG’s commitment to environmental stewardship, technological innovation, and a sustainable future stands as a beacon of hope in a world where such initiatives are increasingly vital for our planet’s wellbeing.

Somchai Dumrongsil, Presiden Direktur PT Semen Jawa: Pembangunan RDF merupakan kolaborasi SCG bersama Pemerintah Daerah Kabupaten Sukabumi. Teknologi RDF ditargetkan mampu mengelola 330 ton sampah/hari dan akan  menghasilkan 100 ton produk RDF sebagai bahan bakar pengganti batu bara dalam produksi Semen SCG.

 

SCG Empowers Indonesian Education and Sustainability with “Sharing the Dream” Scholarships

Warit Jintanawan, SCG’s Country Director in Indonesia, underscored the transformative nature of the program, stating, “The SCG Sharing the Dream program has been an unwavering commitment for 11 years since its launch in 2012. The program demonstrates our unwavering commitment to drive education participation in Indonesia. We are proud that the program has changed the lives of 4,040 beneficiaries and has disbursed IDR 19 billion for education and development programs.”

The importance of a good quality education in Indonesia’s efforts to achieve “Indonesia Emas 2045” is non-negotiable. Chakkapong Yingwattanathaworn, President Director of PT SCG Indonesia, highlighted the collaborative essence of the program in narrowing this education gap. He said, “Addressing this gap requires concerted efforts from the government, industry stakeholders, and academia to ensure inclusive education that is free from socio-economic and gender barriers. This initiative is closely aligned with the two fundamental missions encapsulated in the ESG 4 Plus framework, namely reducing disparities and fostering collaboration.”

Minister Suharso Monoarfa encouraged scholarship recipients to embrace their unique chance, emphasizing the importance of pursuing their dreams and leveraging resources for personal and communal betterment.

The scholarships offered encompass Rp 2,000,000 for high school students and Rp 8,000,000 per year for undergraduates, ensuring sustained support throughout their academic journey, extending up to a maximum of four years. Alongside financial aid, scholars can also access personal development programs. 

SCG also champions student projects like “Eco Enzyme as an Alternative in Reducing Chemicals (ESDAPEBA)” and “E-MISSION: Utilizing Alkaline Water and Used Cooking Oil for Aromatherapy Candle Production,” showcasing its commitment to fostering talent.

Parallel to the “Sharing the Dream” program, SCG in Indonesia through PT Semen Jawa and PT Tambang Semen Sukabumi has run various other ESG 4 Plus-based initiatives and programs. Among others, the GESARI (Gerakan Desa Berdikari) program that manages 32 local MSMEs, then SCG ASIK (Aku Suka Ikan), which is the prevention of stunting by involving fish in children’s diet, and the implementation of community projects by SCG Scholars such as the Kebonmanggu Maggot Cultivation project for the community of Kebonmanggu, Sukabumi, and the Budikdamber Ruta (Fish Cultivation in Household Buckets) project for the community of Setu District, Bekasi.

ESG 4 Plus is SCG’s personalized business commitment from the global ESG (Environmental, Social, and Governance) framework. This principle is formulated into four main commitments, namely achieving net zero emissions (“Set Net Zero”), creating environmentally friendly products and realizing green industries (“Go Green”), reducing social disparities (“Reduce Inequality”), and embracing collaboration with various stakeholders (“Embrace Collaboration”).

Collaborative Dialogue Event Paves the Way for Sustainable Finance and Investment in Indonesia’s Palm Oil Sector

Indonesia’s palm oil industry has long played a pivotal role in the national economy, creating employment opportunities for millions and contributing significantly to non-oil and gas exports. However, the sector has faced mounting challenges concerning environmental offenses, deforestation, land exploitation, and high carbon emissions, resulting in negative campaigns that can impact both companies and financial institutions.

Yono Reksoprodjo, Executive Committee of IBCSD, stated, “Businesses in the palm oil sector are required to take real responsibility and accountability in sustainability practices, if they do not wish to be perceived as just greenwashing”.

The collaborative dialogue event aimed to achieve the following objectives: provide a forum to share challenges, best practices, and ideas to enhance the implementation of sustainable finance and investment in support of Indonesia’s competitive sustainable palm oil industry; increase awareness and knowledge on sustainability practices, fostering collaboration between financial institutions and upstream and downstream palm oil industries; and build networking and collaboration to increase the realization of sustainable finance and investment, promoting improved sustainability practices in Indonesia’s palm oil sector.

Moreover, the collaborative dialogue fostered improved networking and collaboration between public and private sectors, paving the way for more sustainable financing and investment in the palm oil sector. The event served as a catalyst for fostering stronger partnerships and alliances, uniting stakeholders in the pursuit of common sustainability goals.

“There are 3 challenges faced by the palm oil industry in terms of future growth prospects, and the first challenge comes in the form of finance,” said Henry Rialdi, Head of Department for Surveillance and Integrated Policy for Financial Services Sector, Indonesian Financial Services Authority (OJK). He continued, “Collaboration between parties involved in credit or financing schemes is required in accordance with the government agenda with adequate risk and mitigation with the focus on implementing sustainability principles, environmental, and governance aspects”.

As part of the event’s outcomes, participants identified key areas where enabling policies can support green financing and investment for Indonesia’s competitive and sustainable palm oil industry. By providing input and insights, the stakeholders laid the groundwork for potential policy changes that can further promote and incentivize sustainable practices in the sector.

Looking ahead, the positive momentum generated by the collaborative dialogue event is set to continue, with ongoing efforts by the participating organizations to work hand in hand with financial institutions and the palm oil industry. By aligning interests and fostering sustainability at every level, Indonesia’s palm oil sector can tap into green investment opportunities worth billions of dollars and secure a thriving and environmentally responsible future.

CSR Outlook 2023: Embracing ESG for a Sustainable Business Future

In the CSR Outlook Leadership Forum 2023, Unggul Yoga Ananta, the Co-Founder and CEO of PT Olahkarsa Inovasi Indonesia, emphasized that the forum aimed to foster positive dialogue among stakeholders about sustainability within the ESG framework. He highlighted the global trend of addressing the climate crisis, aligning with Indonesia’s goal of achieving sustainable economic growth by 2045. He stressed the need for all stakeholders to address climate change and economic sustainability.

Ir. Sigit Reliantoro, Director General of PPKL KLHK RI, discussed “Company Performance Assessment in Environmental Management for Sustainable Business.” He underlined the importance of environmental considerations and the implementation of PROPER, which assesses companies’ environmental management performance. He noted the adverse environmental consequences of unchecked economic growth and KLHK’s efforts to shift towards regenerative development.

Maria R Nindita Radyati Ph.D., Founder and President Director of the Institute for Sustainability and Agility (ISA), explored the evolution of ESG. She explained that ESG encourages investors to consider non-financial factors when buying stocks. It originated from the collaboration between Kofi Annan, then Secretary-General of the United Nations, and the International Financial Corporation (IFC). ESG criteria are now applied across industries, influencing investors’ decisions and stock prices.

Angkie Yudistia, Special Staff to the President of Indonesia, spoke about “Building a Culture of Inclusion Within The Company.” She advocated against discrimination towards people with disabilities in the business world and called for more inclusive corporate social responsibility (CSR) programs. Angkie has actively contributed to legislation promoting equality and protection for people with disabilities since 2019.

The forum also featured 11 other speakers addressing ESG practices in various areas, from finance to education and equality.

In the evening, the CSR Outlook Awards 2023 recognized companies committed to sustainable development through CSR programs. The awards were given in several categories including Best Practice in Economic Empowerment, Best Practice in Education, Best Practice in Environment, Best Practice in Creating Shared Value and Best Outstanding Leader. A total of 28 nominees were honored.

Overall, the CSR Outlook 2023 highlighted the significance of ESG principles in shaping a sustainable future for businesses. It provided a platform for stakeholders to engage in meaningful dialogue and collaborative efforts to address global challenges such as climate change, economic sustainability, and social inclusion.