Challenges

1
Challenges Opportunity for Implementation of
RECP in Indonesia

• Puji Lestari
• Institute of Technology Bandung (ITB)
• JL. Ganesha no 10, Bandung
• Indonesia
• Email pujilest_at_indo.net.id

2
Institute of Technology Bandung (ITB)

• Located at about 150 km south east of Jakarta

3
Background

• Industrial growth in Indonesia at 3-5 annually
• Polluted industries
• In Efficient in using Resources
• Adoption and implementation of RECP is still low
  in Indonesia

4
Challenges

• Lack of appropriate legal framework and Policies
• Lack of understanding on benefit of implementing
  RECP (what is RECP???)
• Lack of Knowledge and technology (acess limited)
• Human Resources (M S E)
• Limited Financial Resources

5
MOE Proper Program for Environmental
Compliance Performance Rating
Color Coded Rating
Compliance Level Rating Alternative Rating Alternative
Beyond Compliance Gold A
Beyond Compliance Green B
Comply Blue C
Non Compliance Red D
Non Compliance Black E
Performance Assessment Performance Assessment Type of Compliance
Area Method Type of Compliance
Environmental Management System Effort Oriented Voluntary
Resource Conservation, Reuse, Recycle, and Recovery (3R), Reduce utilize HW Effort Oriented Voluntary
CSR Community Development Effort Oriented Voluntary
Water and Sea Water Pollution Result Oriented Obligatory
Air Pollution Result Oriented Obligatory
Hazardous Waste Management Result Oriented Obligatory
Implementation of EIA Result Oriented Obligatory
6
MOE Proper Program for Environmental
Compliance Performance Rating
Compliance Level Performer Five Color Coded Rating
Beyond Compliance Good Gold
Beyond Compliance Good Green
Comply Sufficient Blue
Non Compliance Bad Red
Non Compliance Bad Black
Compliance Mechanism Improvement Compliance Mechanism Improvement
Stakeholder reactions Impact
Appreciation from workers, shareholders, investors, customers, and public Reputation Incentive
Neutral
Pressure from workers, shareholders, investors, customers, and public Disincentive Reputation
7
Other Related Policies

• MOI Green Industry award
• Non Fiscal Incentives
• Company Image
• Incentive for Industrial low carbon also being
  develop at MOI
• MOI Develop Industrial Estate Standards
• Criterias for Industrial Estate
• Industrial Estate award which focus on best
  performance for management and services,
  infrasturcture and faciities, and Environmental
  management
• SWA Bussiness Magazine Green Industry Award

8
Perspectives

• Related Policy and legal framework should be
  developed (strengthen)
• Continue raising industrial awareness and
  understanding of RECP implication (cost and
  benefit)
• Best Practices and sucess story promotion
  (campaign) through Associations and other stake
  holders
• Technical Guideline for RECP Implemetation on
  specific sectors should be develop in National
  Languages
• Capacity building and access for Technology
  transfer
• Financial support such as Soft Loan (long term
  and low interest rate) to industries for RECP
  implementations National/ International
  Banks or donors

9
Thank You