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- Understanding PEFC: Promoting Sustainable Forest Management Globally and Locally
Introduction The Programme for the Endorsement of Forest Certification (PEFC) is a global leader in promoting sustainable forest management through independent third-party certification. As a non-profit, non-governmental organization, PEFC works tirelessly to protect forests worldwide, ensuring that they are managed in a way that preserves their biodiversity, productivity, and ecological functions. What is PEFC? The PEFC is a global alliance of national forest certification systems dedicated to endorsing sustainable forest management practices. Founded in 1999 by small- and family forest owners in Europe, PEFC has grown to become the largest forest certification system in the world. Headquartered in Geneva, Switzerland, PEFC comprises more than 80 members, including national certification systems, NGOs, labour unions, and trade associations. Why Forest Certification Matters Forests are crucial in maintaining the global environment, providing livelihoods, and supporting economies. Sustainable forest management is essential to preserving these resources for future generations. PEFC’s certification processes ensure that forest products reaching the market are sourced from responsibly managed forests, thus enabling consumers and companies to make sustainable choices. PEFC's Global and Local Approach PEFC operates globally and through localized initiatives, working closely with numerous national organisations to adapt its standards to specific regional contexts. These national organisations include the Malaysian Timber Certification Council (MTCC) in Malaysia, the Indonesian Forestry Certification Cooperation (IFCC) in Indonesia, the Instituto Pró Manejo Florestal in Brazil, etc. By collaborating with these organisations, PEFC ensures its certification system is globally recognised and locally relevant, promoting sustainable forest management practices that respect local traditions, laws, and ecological conditions. The Importance of Sustainable Forest Management Sustainable forest management involves the stewardship of forests in a way that maintains their biodiversity, productivity, and ability to regenerate. It also ensures that forests continue to fulfil their ecological, economic, and social functions without damaging other ecosystems. PEFC certification provides a mechanism for forest owners to demonstrate their commitment to sustainable practices. Certification Process PEFC’s certification process includes two main components: Sustainable forest management certification and chain of custody certification. The former ensures that forests are managed according to strict environmental, social, and economic criteria, while the latter tracks forest-based products from their source to the final product. This rigorous process guarantees that only sustainably sourced products carry the PEFC label. Endorsement and Mutual Recognition PEFC’s endorsement process ensures national certification systems meet international standards. This process involves a thorough assessment by a third-party assessor, ensuring that the national systems comply with PEFC’s stringent requirements. Once endorsed, products certified under these national systems are recognized as PEFC-certified worldwide. Group Certification for Small Forest Owners Recognizing the challenges small- and family forest owners face in obtaining certification, PEFC developed the group certification approach. This allows small forest owners to pool their resources and work together to achieve certification, making it affordable and accessible. Today, around one million small forest owners have achieved PEFC certification through this approach. Certification for Supply Chain Companies PEFC chain of custody certification offers companies a way to demonstrate their commitment to sustainable sourcing. This certification is available to companies involved in the manufacturing, processing, trading, or selling forest-based products. It provides numerous benefits, including access to new markets and compliance with international legislation. Conclusion PEFC’s commitment to sustainable forest management has made it a global leader in forest certification. Through its tailored approach, PEFC ensures that forests are managed in a way that is environmentally sound, socially just, and economically viable. By choosing PEFC-certified products, consumers and businesses can support the responsible management of the world’s forests, ensuring their preservation for future generations.
- Jakarta's Supply Chain & National Capacity Summit 2024 Draws Nearly 10,000 Industry Stakeholders
Supply Chain & National Capacity Summit 2024 The Supply Chain & National Capacity Summit Jakarta 2024 successfully brought together nearly 10,000 upstream oil and gas stakeholders over three days. This significant event served as a platform for discussions, panels, and Focus Group Discussions (FGDs) on strategic issues related to the national upstream oil and gas supply chain. Key Highlights of the Summit Over the course of three days, the Summit attracted 9,694 participants, including representatives from 28 Cooperation Contract Contractors (KKKS) and 39 partners. The event was ideal for industry stakeholders to engage in meaningful discussions on the industry's future. Industry Collaboration and Vendor Engagement The Summit also featured 27 exhibition booths from various industry partners, showcasing innovations and fostering vendor engagement. Booths dedicated to National Capacity, the Centralized Integrated Vendor Database (CIVD), Contractor Health Safety & Environment Management System (CHSEMS), and Customs provided opportunities for vendors to gain insights and actively participate in the upstream oil and gas procurement process. Memorandums of Understanding to Strengthen Collaboration A key outcome of the Summit was signing several Memorandums of Understanding (MoUs). These agreements aim to strengthen collaboration within the industry and prepare the upstream oil and gas sector for future challenges. Addressing Challenges in the Upstream Oil and Gas Industry The industry faces increasingly complex challenges, particularly with the upcoming National Strategic Projects (PSN) set to commence production between 2027 and 2030. Strengthening an efficient and integrated supply chain ensures these projects remain on schedule. VVIP Attendance and Emphasis on National Synergy The presence of VVIPs, such as the Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, and the Minister of Energy and Mineral Resources, Arifin Tasrif, underscored the importance of national synergy in developing the supply chain and enhancing national capacity. Minister Luhut commended SKK Migas for its progress in digitalizing the upstream oil and gas supply chain management. Leadership Talks and COO Forum: Insights from Industry Leaders One of the most anticipated sessions at the Summit was the Leadership Talks and COO Forum. Industry leaders shared their perspectives on overcoming future challenges in the upstream oil and gas sector, offering valuable insights and solutions. Closing Ceremony and Awards: Recognizing Excellence On the final day, SKK Migas awarded KKKS and individuals who made significant contributions to the advancement of the upstream oil and gas industry. Rudi Satwiko, deputy of Business Support at SKK Migas, expressed his gratitude to all participants and emphasized the importance of the Summit in improving supply chain management (SCM) practices, enhancing efficiency, and adding value to the industry.
- Digital Product Passport within the ESPR Framework: How Both Play a Role in European Regulation
ESPR dan Digital Product Passport The European Union (EU) is leading the way toward sustainability with the Ecodesign for Sustainable Products Regulation (ESPR) and the introduction of the Digital Product Passport (DPP). These two initiatives are closely interconnected. The ESPR serves as the foundation for sustainable product design, while the DPP provides the necessary transparency to enforce these standards across the global supply chain. Understanding the ESPR: A Blueprint for Sustainable Products The ESPR, effective from 18 July 2024, replaces the previous Ecodesign Directive (2009/125/EC). This regulation is a key component of the EU’s Circular Economy Action Plan, aiming to decouple economic growth from resource use and reduce environmental impact throughout the product lifecycle. The ESPR sets stringent ecodesign requirements for various products, emphasising durability, repairability, energy efficiency, and recyclability. By enforcing these standards, the ESPR ensures that products in the EU market are more environmentally friendly and cost-effective in the long run. One of the ESPR's most innovative aspects is its approach to combating waste, particularly the destruction of unsold products. By mandating transparency in companies' disposal practices, the ESPR encourages businesses to adopt more sustainable practices, such as recycling and repurposing unsold goods. Digital Product Passport: The Product’s ID Card in the Digital Age A key feature of the ESPR is the introduction of the Digital Product Passport (DPP), which serves as a digital identity for products. This passport will contain detailed information about the product's materials, origins, environmental impact, and lifecycle. The DPP, accessible electronically, allows consumers, regulators, and businesses to make informed decisions about the sustainability of products. The DPP system enhances product circularity by providing clear and accessible information on repair, recycling, and disposal options. This transparency supports the EU’s sustainability goals and empowers consumers to make environmentally friendly choices. For businesses, the DPP represents an opportunity to differentiate themselves in a market increasingly driven by sustainability. The Synergy Between ESPR and DPP ESPR and DPP are not only complementary; they are interdependent. The success of the ESPR's ambitious goals heavily relies on the transparency provided by the DPP. Without accurate and accessible product information, it would be challenging to enforce the ESPR's ecodesign standards. For example, a product designed to meet the ESPR's durability standards may be accompanied by a DPP detailing its expected lifespan, materials used, and repair or recycling instructions. This information helps ensure that the product meets the required sustainability criteria and allows consumers to verify these claims. Moreover, the DPP system supports the EU's broader circular economy goals by enabling better resource management. By tracking the product lifecycle, the DPP can help identify opportunities for recycling and repurposing materials, reducing waste, and lowering products' overall environmental impact. Implementation Timeline for ESPR and DPP 18 July 2024 : ESPR comes into effect, marking the transition from the Ecodesign Directive to a more comprehensive framework. Third Quarter of 2024 : The European Commission establishes the Ecodesign Forum to facilitate consultations with various stakeholders. Second Quarter of 2025 : The first ESPR work plan is published, including a list of products and measures to be assessed based on energy and material efficiency priorities. What Can Businesses Do? Conduct a Life Cycle Assessment (LCA) : Assess the environmental impact of products throughout their lifecycle to comply with ESPR requirements. Design for Sustainability : Ensure products are designed to be easily repairable, recyclable, and have a longer lifespan. Integrate the Digital Product Passport (DPP) : Prepare products with a Digital Product Passport to meet future mandatory ESPR requirements. Be Proactive in Compliance : Start compliance measures early to gain a competitive edge in a sustainability-focused market. Challenges and Opportunities Ahead While the ESPR and DPP initiatives are highly innovative, they also present challenges. Implementing the DPP across various products requires significant coordination and standardisation. Companies will need to adapt their processes to provide the necessary data for the DPP, and there may be initial costs associated with this transition. However, the long-term benefits far outweigh these challenges. By embracing the ESPR and DPP, businesses can position themselves as leaders in sustainability, potentially accessing new markets and consumer segments that prioritise environmental responsibility. Additionally, the EU’s commitment to supporting international partners in adopting these standards ensures that the benefits of the ESPR and DPP will extend beyond Europe, promoting global sustainability. Conclusion: A Sustainable Future with ESPR and DPP The ESPR and Digital Product Passport represent significant strides in the EU’s efforts to create a more sustainable and circular economy. By setting stringent ecodesign standards and providing the necessary transparency to enforce them, these initiatives protect the environment and drive innovation and competitiveness in the global market. As businesses and consumers adapt to these new regulations, the ESPR and DPP will pave the way for a future where sustainable products become the norm, not the exception.
- CBAM: European Union Carbon Border Adjustment Mechanism and Its Implications for Global Trade and Indonesia's Climate Commitment
CBAM: European Union Carbon Border Adjustment Mechanism Climate change is an urgent global issue that requires coordinated international efforts. The European Union (EU) has taken significant strides in addressing this challenge by introducing the Carbon Border Adjustment Mechanism (CBAM). This mechanism aims to ensure that the carbon emissions embedded in goods imported into the EU are accounted for, aligning the carbon price of imports with domestic production. What is the Carbon Border Adjustment Mechanism (CBAM)? The Carbon Border Adjustment Mechanism (CBAM) is a tool developed by the European Union to put a fair price on the carbon emissions generated during the production of carbon-intensive goods entering the EU. CBAM is designed to prevent carbon leakage, a phenomenon where companies relocate their carbon-intensive production to countries with less stringent climate policies, thereby undermining the EU's climate objectives. By ensuring that the carbon price of imports is equivalent to that of domestic products, CBAM encourages cleaner industrial production worldwide. Phased Implementation of CBAM: CBAM will be implemented in two key phases: Transitional Phase (2023 - 2025): On October 1, 2023, CBAM entered its transitional phase, which will last until the end of 2025. During this period, importers of goods covered by CBAM will be required to report greenhouse gas (GHG) emissions embedded in their imports. However, they will not be required to purchase or surrender CBAM certificates. The goods initially covered by CBAM include cement, iron and steel, aluminum, fertilizers, electricity, and hydrogen. These sectors are at the highest risk of carbon leakage due to their carbon-intensive production processes. The transitional phase serves as a pilot period, allowing stakeholders to collect valuable data on embedded emissions, refine the CBAM methodology, and prepare for the definitive regime. Definitive Regime (from 2026): Starting in 2026, the definitive regime of CBAM will be fully implemented. Importers will be required to purchase CBAM certificates corresponding to the emissions embedded in their imports. The price of these certificates will be based on the weekly average auction price of EU Emissions Trading System (ETS) allowances. Importers who can demonstrate that a carbon price has already been paid during the production of the imported goods will be allowed to deduct the corresponding amount from their CBAM certificate obligations. The European Commission will continuously review the CBAM's functioning and assess the feasibility of including additional goods and sectors under its scope by 2030. Checklist for EU Importers To help importers navigate the complexities of CBAM, the European Commission has provided a checklist outlining the essential steps for compliance: Check Goods : Verify if the goods you import are listed in Annex I to the CBAM Regulation and contact the National CBAM Competent Authority (NCA) in your country. Register : Register through your NCA for access to the CBAM Transitional Registry, where you will upload quarterly reports on emissions embedded in imported goods. Ensure Awareness : Make sure your trading partners outside the EU are aware of the detailed guidance provided by the European Commission on the goods in scope and how to calculate embedded emissions. Follow Training : Engage with the general and sector-specific training materials provided by the European Commission to prepare for the new reporting rules and tools. Submit Reports : Submit your first quarterly CBAM report by January 31, 2024, covering your imports in the fourth quarter of 2023, and stay informed about the latest developments as we approach the definitive phase in 2026. Impact on Global Trade: The introduction of CBAM is expected to have a significant impact on global trade, particularly for countries that export carbon-intensive goods to the EU. Non-EU countries with less stringent climate policies may face increased costs for exporting to the EU, incentivizing them to adopt greener production methods. This global movement towards reducing carbon emissions will likely reshape international trade dynamics, with sustainability becoming a key factor in trade agreements and policies. The Impact of Climate Change Issues on Trade for Indonesia: Indonesia, as one of the world's largest emerging economies, may face minimal direct impact from CBAM in the short term. However, global policies like CBAM will likely spur international efforts to leverage non-tariff measures based on climate change, potentially influencing Indonesia's trade landscape in the long run. As global markets increasingly prioritize sustainability, Indonesia's exports to the EU could be affected by the need to align with stringent environmental standards. Indonesia's Commitment to Reducing GHG Emissions: Indonesia has demonstrated a strong commitment to addressing climate change and reducing greenhouse gas (GHG) emissions. Implementing the Paris Agreement is in line with the mandate of the 1945 Constitution, particularly Article 28H number 1, which emphasizes the right to a good and healthy environment. In 2021, Indonesia ratified Presidential Regulation Number 98 concerning the Implementation of Carbon Economic Value (Nilai Ekonomi Karbon/NEK). This regulation aims to achieve the nationally determined contribution (NDC) targets and control GHG emissions in national development. At the 2021 UN Climate Change Conference in Glasgow, Indonesia's President underscored the country's rapid contribution to global Net-Zero Emissions and the importance of a transparent, inclusive, and fair carbon economy. Regulatory Framework for NEK Implementation in Indonesia: The implementation of the NEK under Presidential Regulation No. 98/2021 involves various ministries, institutions, regional governments, business actors, and communities. The regulation outlines the procedures for carbon trading, emission offsets, carbon levies, performance-based payments, and other mechanisms based on the development of science, technology, and sectoral capacity. Key Tools for Climate Change Policy Control in Indonesia: NDC Strategies and Roadmaps: Indonesia has developed strategies and roadmaps for both climate change mitigation and adaptation, aiming to achieve its NDC targets by 2030. SIGN-SMART: The Greenhouse Gas Inventory System that tracks GHG emissions. SRN (Sistem Registri Nasional): The National Registry System that records climate change mitigation actions, adaptation actions, and the implementation of NEK. ProKlim: The Climate Village Program that promotes community-based climate action. SISREDD+: The Safeguard Information System for REDD+ (Reducing Emissions from Deforestation and Forest Degradation). Target NDC Indonesia untuk Tahun 2030 Indonesia's NDC Target for 2030: Indonesia has set a target to reduce GHG emissions by 29% - 41% by 2030 through collective mitigation efforts at national and subnational levels. Key sectors involved in this effort include: Forestry Sector: Managed by the Ministry of Environment and Forestry (KLHK) in collaboration with provincial and private sectors. Energy Sector: Managed by the Ministry of Energy and Mineral Resources, Transportation, and Industry, with involvement from provincial and private sectors. Waste Sector: Managed by KLHK, the Ministry of Public Works and Public Housing (PUPR), and the Ministry of Industry, with participation from regional governments and the private sector. Agricultural Sector: Managed by the Ministry of Agriculture, with support from regional governments and the private sector. Industrial Processes and Product Use (IPPU) Sector: Managed by the Ministry of Industry in collaboration with the private sector. SPE-GRK (Greenhouse Gas Emission Reduction System): To support the European Green Deal, Indonesia has developed the Greenhouse Gas Emission Reduction System (SPE-GRK). This system provides proof of emission reductions by businesses and activities, validated through a Monitoring, Reporting, and Verification (MRV) process, and recorded in the SRN. The SPE can serve as the basis for carbon labels, sustainability reports, and access to environmentally friendly financing. SRN (Sistem Registri Nasional) and ONE DATA: The SRN is mandated by Presidential Regulation No. 98/2021 to ensure the accurate recording of climate change mitigation and adaptation actions, NEK implementation, and climate change resources. The SRN also helps avoid double counting of mitigation actions and provides data for further policy considerations. The ONE DATA initiative ensures the availability of national, sectoral, and sub-sectoral data on GHG emissions and climate resilience. Conclusion: The EU's Carbon Border Adjustment Mechanism (CBAM) represents a significant step towards global climate action by ensuring that the carbon emissions embedded in imported goods are fairly priced. While the impact on Indonesia may be minimal initially, the global shift towards sustainability will likely influence Indonesia's trade dynamics and encourage stronger climate commitments. Indonesia's proactive approach to reducing GHG emissions, as demonstrated by its regulatory framework and international commitments, positions the country as a key player in the global effort to combat climate change.
- Wind and Solar Overtake Fossil Fuels in the EU: A New Era in Electricity Generation
In a remarkable milestone for renewable energy, wind and solar power have overtaken fossil fuels in electricity generation across the European Union for the first half of 2024. This shift marks a significant step in the EU's transition towards a more sustainable and clean energy future. Key Highlights 30% : Wind and solar share of EU electricity generation in H1-2024 27% : Fossil fuels share of EU electricity generation in H1-2024 -17% : Decline in fossil fuel generation in H1-2024 The Rise of Renewable Energy The EU’s electricity system is undergoing a rapid transformation, with wind and solar power leading the charge. As of the first half of 2024, wind and solar accounted for 30% of the EU’s electricity generation, surpassing the 27% generated by fossil fuels. This marks a pivotal moment in the EU’s clean energy transition, underscoring the growing importance of renewable energy sources. Decline in Fossil Fuel Generation Fossil fuel generation in the EU fell by 17% (-71 TWh) in the first half of 2024 compared to the same period in 2023. This decline is attributed to a significant reduction in coal and gas usage, which fell by 24% (-39 TWh) and 14% (-29 TWh), respectively. The drop in fossil fuel generation occurred even as electricity demand rebounded by 0.7% after two years of decline. Wind and Solar Power Surge in EU Wind and solar power were the primary drivers behind the reduction in fossil fuel generation. These renewable sources more than compensated for the increase in electricity demand, showcasing their growing capacity and efficiency. Wind and solar power collectively generated 386 TWh in the first half of 2024, outpacing the 343 TWh generated by fossil fuels. Country-Specific Achievements Several EU Member States achieved significant milestones in renewable energy generation. Germany, Belgium, Hungary, and the Netherlands, for the first time, generated more electricity from wind and solar than from fossil fuels during the January-June period of 2024. Overall, thirteen Member States surpassed this milestone, reflecting the widespread adoption and integration of renewable energy across the region. Structural Changes in EU’s Energy Mix The first half of 2024 highlighted a structural shift in the EU’s energy mix. Renewables, including wind, solar, and hydro, generated 50% of the EU’s electricity, a significant increase from previous years. This growth was supported by favorable weather conditions and substantial capacity additions in wind and solar installations. Renewable Energy Growth Wind Power : Increased by 9.5% (+21 TWh) compared to H1-2023. Solar Power : Grew by 20% (+23 TWh) over the same period. Hydro Power : Rebounded by 21% (+33 TWh) after two years of drought-affected low output. Emissions Reduction The decline in fossil fuel generation led to a significant reduction in emissions. Power sector emissions dropped by 17% in the first half of 2024 compared to the same period in 2023, continuing a trend from previous years. Emissions in the first half of 2024 were nearly a third (-31%) lower than in the first half of 2022, marking an unprecedented decline over such a short period. The Road Ahead While the progress in renewable energy adoption is commendable, sustaining this momentum will require continued policy support and infrastructure development. Easing barriers to wind and solar integration, such as improving grid connections, will be crucial to maintaining the pace of the clean energy transition. Policy and Market Dynamics The EU’s policies have played a significant role in accelerating the energy transition. Recent measures aimed at reducing dependency on fossil fuels and enhancing renewable energy capacity have yielded positive results. However, further acceleration is needed to meet the EU’s ambitious climate and energy targets. Future Projections Wind Capacity : Expected to increase by 15.8 GW in 2024. Solar Capacity : Forecasted to grow by 62 GW over the same period. Conclusion The first half of 2024 marks a new era in the EU’s energy landscape, with wind and solar power overtaking fossil fuels for the first time. This achievement underscores the EU’s commitment to a sustainable and clean energy future. Continued efforts to support renewable energy integration and infrastructure development will be essential to sustaining this positive trend and achieving long-term climate goals.
- From Field to Fashion: Understanding GOTS Certification for a Sustainable Textile Supply Chain
The Global Organic Textile Standard (GOTS) is the world's leading textile processing standard for organic fibres. It ensures environmental and social responsibility throughout the textile supply chain, from post-harvest handling to garment making. Here’s an in-depth look at the GOTS certification process, its benefits, and how Peterson Indonesia can help you achieve it. What is GOTS Certification? The GOTS quality assurance system is based on on-site inspection and certification of the entire textile supply chain, performed by independent, approved third-party Certification Bodies. This is a requirement of an ISO 14024 Type 1 environmental labelling program, ensuring that all certified products meet rigorous environmental and social criteria. Certification Process On-Site Annual Inspection: Operators, from post-harvest handling to garment-making and wholesalers, undergo an annual on-site inspection to maintain their certification. Independent Verification: Claims of GOTS compliance are verified through inspections and formal certification documents issued by independent Certification Bodies. Types of Certification Documents: Scope Certificates (SCs): Prove a supplier meets all GOTS criteria. Transaction Certificates (TCs): Confirm that specific goods meet GOTS product criteria. Benefits of GOTS Certification Credible Assurance: Products labelled with GOTS logos are assured of having an organic origin and are processed in an environmentally and socially responsible manner. Comprehensive Coverage: The entire organic supply chain, from harvesting to trading, is covered, providing credible assurance to end consumers. Independent Verification: Certification is performed by third-party bodies, ensuring impartiality. Risk Management: Acts as a risk management tool for buyers, protecting the health, safety, and rights of employees. Sustainability: Certified entities can access the GOTS Monitor for water and energy consumption data. Only low-impact, GOTS-approved chemical inputs are allowed. Quality Assurance: GOTS goods meet technical quality parameters like colourfastness and shrinkage. Product Variety: Various products can be GOTS certified, including garments, home textiles, mattresses, and personal hygiene products. Elements of Inspection Bookkeeping Review: Verifies the flow of GOTS goods through input/output reconciliation and mass balance calculations. Processing and Storage Assessment: Inspections of facilities to ensure compliance. Chemical and Accessory Inspection: Ensures only GOTS-approved inputs are used. Wastewater Treatment Inspection: Assesses the performance of wastewater treatment systems. Social Criteria Check: This includes interviews with management and workers to ensure ethical practices are followed. Approved Certification Bodies GOTS certification is conducted by approved bodies that perform on-site inspections. These bodies guide you through the necessary procedures and provide cost estimations based on your location, size, and operations. Each certification body may operate through local offices or head offices and is accredited to offer certification services for various scopes: Mechanical Textile Processing (Scope 1) Wet Processing and Finishing (Scope 2) Trading Operations (Scope 3) Approval of Textile Auxiliary Agents (Scope 4) Changing Certification Bodies Certified entities may need to change their certification body due to business reasons, closure of operations, or loss of accreditation. GOTS has a defined policy for such changes, ensuring a smooth transition. Certificates Scope Certificates: Confirm compliance with GOTS criteria and are listed in the GOTS Certified Suppliers Database. Transaction Certificates: Verify that specific shipments are GOTS certified, providing proof for buyers and facilitating further processing or trading. Consulting GOTS with Peterson Indonesia Achieving GOTS certification can be complex, but Peterson Indonesia is here to assist you. We have successfully guided numerous clients through the certification process. Our sustainability efforts and compliance expertise can help your business achieve GOTS certification seamlessly. Contact us today to start your journey toward a more sustainable future!
- Youth Climate Conference 2024 Highlights: Empowering Youth for a Greener Tomorrow
Youth Climate Conference 2024 On Saturday, July 27, 2024, the Forum Youth Climate Conference (YCC) gathered passionate young individuals at the National Research and Innovation Agency (BRIN) Auditorium in Jakarta. This pivotal event marked the launch of the "Declaration of Youth for Climate and Energy Transition," emphasizing the urgency of clean energy transition to achieve a Golden Indonesia by 2045. Organized by the Institute for Essential Services Reform (IESR) and supported by the Clean, Affordable and Secure Energy (CASE) for Southeast Asia Project, the YCC brought together over 200 participants, aiming to voice serious climate action to the government and industries. Key Recommendations for a Clean Energy Transition The Youth Climate Conference resulted in five significant recommendations for the government and industries to propel the clean energy transition: Reduce Dependency on Fossil Fuels: To mitigate the climate crisis and ensure clean air free from coal combustion pollution. Utilize Renewable Energy: Enhance access to energy in remote areas through renewable sources. Implement a Just Energy Transition: To reduce greenhouse gas emissions, strengthen national energy resilience, and create new job opportunities. Protect and Restore Ecosystems: Through policies that support adaptation to climate change. Involve Youth in Policy Making: Ensure youth participation in formulating fair climate crisis and energy transition policies, providing learning opportunities for youth as change agents to achieve net zero emissions by 2060 or sooner. Youth Voices and Government Support Iklima Green, a representative and student from SMAN 4 Sukabumi, stressed the need for the Indonesian government to maximize the use of renewable energy, especially in the electricity sector. She highlighted the importance of ensuring that vulnerable groups, including people with disabilities and indigenous communities, benefit from renewable energy use. "As future leaders, we need the support and opportunities from stakeholders to be involved in policy-making," Iklima said, underscoring the importance of youth involvement to ensure sustainability, justice, and long-term commitment. Government Initiatives for a Golden Indonesia 2045 Ervan Maksum, Deputy for Infrastructure at the Ministry of National Development Planning (Bappenas), highlighted the ongoing development of the National Medium-Term Development Plan (RPJMN) 2025-2029 to realize the vision of Golden Indonesia 2045. The RPJMN includes five essential development frameworks: Enhancing Quality and Competitive Human Resources: Through health and education. Building a Sustainable Environment: Increasing resilience to disasters and climate change. Strengthening Infrastructure: To support economic development and basic services. Improving Energy Efficiency: Developing long-term energy scenarios supported by studies and public discussions. Creating and Expanding Jobs: Especially in the green sector. Ervan emphasized the need for excellent human resources and innovation to achieve these goals, encouraging leadership development among youth to support the demographic bonus for Indonesia's future. Conclusion Fabby Tumiwa, Executive Director of IESR, emphasized the collective effort needed to ensure Indonesia's climate actions align with the Paris Agreement goals. He encouraged individual actions like using public transportation and renewable energy to make a significant difference. The Youth Climate Conference, supported by various civil society organizations, highlighted the crucial role of youth in climate action and the transition to clean energy. The Declaration of Youth for Climate and Energy Transition is a concrete commitment to drive the clean energy transition towards a sustainable and prosperous future for Indonesia.
- Indonesia-GCC Free Trade Agreement to Boost Indonesia's Exports
Indonesia-GCC Free Trade Agreement Indonesia will sign the Indonesia-Gulf Cooperation Council Free Trade Agreement (I-GCC FTA) on July 31, 2024. Indonesia's Minister of Trade, Zulkifli Hasan, welcomes this initiative and is optimistic that it will enhance Indonesia's exports to the Gulf region. Negotiations and Expectations Zulkifli Hasan, commonly known as Zulhas, stated, "We welcome the launch of the I-GCC FTA negotiations. We hope this launch will strengthen cooperation between Indonesia and the Gulf countries, especially in the trade and investment sectors." The signing of the Joint Statement on the Launching of the Negotiation on the Free Trade Agreement between the Republic of Indonesia and the Gulf Cooperation Council by Zulhas and GCC Secretary-General Jasem Mohamed Albudaiwi will mark a significant moment, initiating the first round of negotiations in September. The signing will be held at the Ministry of Trade's office at 15:00 WIB. Indonesia's Government Strategy Zulhas highlighted that the GCC is Indonesia's strategic trading partner. "This step will open up greater opportunities for Indonesian products, not only in the Gulf countries but also in other Middle Eastern regions, Africa, and Europe," he said. Director-General of International Trade Negotiations at the Ministry of Trade, Djatmiko Bris Witjaksono, added that the I-GCC FTA is Indonesia's third trade agreement with a partner in the Middle East, following agreements with the United Arab Emirates and Iran. "The I-GCC FTA is expected to support economic growth for both parties by enhancing market access for goods, services, investment, economic cooperation, and Islamic economic cooperation," Djatmiko elaborated. Export and Import Potential Total trade between Indonesia and the GCC during January-May 2024 reached USD 6.2 billion, with Indonesia's exports recorded at USD 2.7 billion and imports at USD 3.5 billion. In 2023, total trade between Indonesia and the GCC was USD 15.7 billion, with significant export commodities including cars, palm oil, jewellery, beacons, and paper. The main non-oil and gas import commodities from the GCC include semi-finished products of iron or non-alloy steel, acyclic alcohols, sulphur, ethylene polymers, and unwrought aluminium. This agreement is expected to significantly increase market access and economic growth in Indonesia and GCC countries as well as in other regions such as Africa and Europe. Conclusion The Indonesia-GCC Free Trade Agreement is a strategic step anticipated to enhance the penetration of Indonesian products in international markets and strengthen bilateral economic relations. The government is optimistic that this cooperation will benefit both parties significantly.
- Unlocking Sustainable Farming: The Essential Guide to the Farm Sustainability Assessment (FSA)
What is FSA (Farm Sustainability Assessment)? The Farm Sustainability Assessment (FSA) is a tool developed by the SAI Platform to drive continuous improvement in social, environmental, and business performance at the farm level. It enables food and drink businesses to assess, improve, and validate on-farm sustainability in their supply chains. The FSA is built around a simple set of questions for farmers, standardizing farm assessments. Goals and Mission of FSA FSA aims to: Drive Continuous Improvement : Foster sustainable and demonstrable improvement in social, environmental, and business performance at the farm level through supply chain engagement and a shared understanding of sustainable agriculture. Harmonize Approaches : Unite various sustainability schemes under a common framework to identify preferred approaches for each company and supply chain. Reduce Duplication of Efforts : Minimize the need for farmers and businesses to use multiple sustainability schemes, reducing overlapping efforts and resources. Create a Level Playing Field : Standardize approaches to make benchmarking results fair and consistent. Avoid Direct Competition with Existing Schemes : Prevent direct implementation of the FSA from competing with existing sustainability schemes. Benefits of Adopting FSA Members of the food and drink industry, farmers, and sustainability scheme and toolkit owners who adopt the FSA benefit from an industry-wide approach to driving farm sustainability, including: Global Industry Recognition : Provides a level of global industry recognition. Wider Market Access : Enhances market access for scheme users. Continuous Improvement : Offers insights for further development of their sustainability schemes. Risk Reduction : Reduces the risk of developing competing or overlapping programs. Customizing the FSA The FSA is relevant for all cultivated agricultural crops in all locations, regardless of farm size. The FSA can be easily customized to fit individual needs and local conditions while aligning with global market expectations. FSA Benchmarking Process The FSA benchmarking process involves a detailed analysis where an approved benchmarking consultant reviews the scheme's content, assurance, and governance, comparing it to the FSA. The benchmarking results indicate the level of coverage of the Sustainable Agriculture Questions (SAQ) by the scheme's content, whether the scheme meets the FSA's minimum verification requirements, and if the scheme's governance meets the FSA's minimum requirements. Conclusion The FSA is a crucial tool for driving farm sustainability worldwide. By adopting and customizing the FSA, businesses can ensure that their farming practices align with global standards and support sustainable development throughout their supply chains.
- Indonesia and China Collaborate on Carbon Emission Reduction in the Cement Industry
Indonesia China Carbon Reduction Effort in Cement Industry Indonesia and China have launched a programme to reduce carbon emissions in the cement industry, supported by the United Nations Industrial Development Organization (UNIDO) and the Ministry of Industry of the Republic of Indonesia. Background of the Collaboration This programme aims to promote environmentally friendly technology and energy efficiency in Indonesia's cement industry. The collaboration includes various aspects, from technology transfer to capacity building for human resources. Event Inauguration by Officials Andi Rizaldi, Head of the Industrial Services Policy and Standardization Agency (BSKJI), inaugurated the event and emphasised the importance of international collaboration to achieve national carbon reduction targets. "This collaboration is a significant step towards achieving a more environmentally friendly industry," he stated. China’s Commitment to Green Industry Zhang Qiang, Deputy Director General of the Center for International Economic and Technological Cooperation at the Ministry of Industry and Technology of China, emphasised China’s commitment to supporting the transformation towards low-emission and green industries, including in the port sector. Zhang also highlighted China's efforts in building solar power plants and other renewable energy projects. UNIDO’s Support and Role Yunrui Zhou, UNIDO's Industrial Development Officer, explained that UNIDO supports the establishment of an energy-efficient and environmentally friendly cement industry in Indonesia through South-South cooperation. He also stressed the importance of sharing knowledge and technology among developing countries. Waste Heat Recovery Process The waste heat recovery process consists of two main stages: pre-processing and co-processing. Pre-processing involves preparing waste to be suitable for co-processing in cement kilns. This waste is converted from unwanted by-products into valuable resources known as AFR (alternative fuels and raw materials). Co-processing involves using AFR in cement production, replacing primary fuels such as coal, gas, and petroleum coke. ASI’s Initiatives and Challenges ASI Chairman Lilik Unggul Raharjo outlined the initiatives and challenges faced in the effort to decarbonise Indonesia’s cement industry. ASI has undertaken various initiatives to improve energy efficiency, produce environmentally friendly cement, and shift from fossil fuels to alternative energy sources. "We have a roadmap, and compared to 2010, we have reduced emissions from 730 CO per kilogram to 620 CO per kilogram," Lilik said. Impact of Government Policies Government policies supporting the use of environmentally friendly cement in construction projects cannot be overstated. Currently, 70 per cent of the cement circulating in Indonesia is environmentally friendly, but its application in construction projects still needs to be increased. "There needs to be government policy to encourage the use of environmentally friendly cement in every construction project," Lilik added. Collaboration with Other Countries In addition to collaborating with Indonesia, China has also partnered with other countries, such as Korea and Japan, to reduce carbon emissions in the industrial sector. This cooperation includes various projects, from solar power plants to industrial waste management technologies. Future of the Cement Industry Liu Yiang, Level IV Division Rank Official of the Division of New Material at the Department of Raw Material Industry from the Ministry of Industry and Technology of China, revealed that China's installed cement industry capacity reaches 1.47 billion tonnes annually. "We can produce clinker ranging from 2,000 to 8,000 tonnes per day," he said. Liu also explained that China strives to reduce carbon emissions in cement production. Conclusion The collaboration between Indonesia and China is hoped to significantly contribute to global efforts to reduce carbon emissions and achieve a greener industry. This partnership will not only help reduce the environmental impact of the cement industry but also promote innovation and energy efficiency in the sector.
- Enhancing Company Performance with Occupational Health and Safety (OHS)
Introduction Occupational health and safety (OHS) is a crucial aspect that every company must prioritize. OHS aims to protect workers from accidents and occupational diseases and enhance productivity and efficiency. Every worker has the right to receive protection for their safety and health at work, which includes accident prevention, hazard control, health promotion, treatment, and rehabilitation. Definition of Occupational Health and Safety (OHS) According to Iman Soepomo, occupational safety is a regulation aimed at ensuring workers' security from accident hazards while performing tasks at workplaces that use tools or machines, and/or hazardous processing materials. Meanwhile, occupational health aims to protect workers from adverse labour conditions or events that can harm their health and morals while working. Occupational Health and Safety Legislation Occupational health and safety are governed by Articles 86 and 87 of the Labor Law, which states that every worker has the right to receive protection for their safety and health at work, morals, decency, and treatment that respects human dignity and religious values. Article 87 requires every company to implement an integrated occupational health and safety management system (OHSMS) with its corporate management system. This management system includes organizational structure, planning, implementation, responsibilities, procedures, processes, and resources needed for developing, implementing, achieving, reviewing, and maintaining OHS policies. Scope of Occupational Health and Safety The scope of occupational health and safety includes all workplaces, whether on land, underground, on water surfaces, underwater, or in the air within the territory of the Republic of Indonesia. Workplaces with potential hazards must have a robust occupational health and safety management system to protect workers. Causes of Workplace Accidents According to H. W. Heinrich, 88% of workplace accidents are caused by unsafe behaviour, 10% by unsafe environmental conditions, and the remaining by co-occurring factors. Therefore, companies must ensure that the work environment is safe and workers comply with safety procedures. Occupational Health and Safety Management System (OHSMS) OHSMS is regulated by Article 1 paragraph (1) of Government Regulation No. 50/2012, stating that OHSMS is part of the overall corporate management system aimed at creating a safe, efficient, and productive workplace. Companies employing more than 100 workers or having high hazard potential are required to implement OHSMS. ISO 45001: International Standard for OHS ISO 45001 is an international standard that specifies requirements for an occupational health and safety management system. This standard provides a framework for organizations to manage risks and improve OHS performance. By implementing ISO 45001, organizations can reduce workplace incidents and demonstrate commitment to worker health and safety. Conclusion Occupational health and safety (OHS) are essential in creating a healthy and safe work environment, enhancing productivity and efficiency. Peterson Indonesia is ready to assist your company in achieving sustainability goals, including OHS-related consultations and ISO 45001 certification claims. With Peterson Indonesia's consulting services, your company can ensure that the OHS management system is well-implemented and meets international standards. Contact Us Now!!
- Unleashing Coconut's Potential: The 51st International COCOTECH Conference & Exhibition
Discover the Future of Coconut Innovation and Sustainability Dates & Venue of Cocotech The highly anticipated 51st International COCOTECH Conference & Exhibition will occur from July 22-25, 2024, at The Westin Surabaya Hotel, Pakuwon Mall, Jl. Raya Lontar No.2, Puncak Indah, Kec. Wiyung, Surabaya, East Java, Indonesia. Organization of the Conference Jointly organized by the International Coconut Community (ICC) and the Government of Indonesia through the Directorate General of International Trade Negotiations, Ministry of Trade, the conference promises a dynamic lineup of sponsored events and activities. Theme This year’s theme, “Harnessing Coconut’s Potential as the Tree of Life and Green Energy,” will highlight the incredible versatility of the coconut palm. The conference aims to delve into the vast applications of coconuts, spanning traditional agriculture to pioneering sustainable energy solutions. By exploring these diverse uses, attendees will gain insights into maximizing the coconut's potential for sustainable development and environmental stewardship. Participants The conference is open to the public and will feature delegates from all ICC member countries, senior government officials, UN agencies, international organizations, accreditation bodies, coconut farmers, industry stakeholders, and private sector representatives. Program Highlights The conference spans four days, including three indoor sessions and a day dedicated to field trips. Participants can look forward to an exhibition showcasing the latest coconut-related products, technologies, and services. Key Sessions Policy Frameworks and International Supports for Sustainable Growth (July 22) This session, chaired by Mr. Djatmiko B. Witjaksono, will explore policy interventions and international collaborations to promote the sustainable growth of agriculture and the coconut industry. Promoting Technological Advances in Coconut-Based Industries (July 22) Dr. K. B. Hebbar will lead discussions on leveraging cutting-edge technologies to optimize production processes and improve product quality in the coconut industry. Empowering Sustainability with Coconut-Based Renewable Energy Solutions (July 23) This session, chaired by Mr. Benjamin R. Madrigal Jr., will highlight the role of coconuts in renewable energy, including bioenergy, biogas, and Sustainable Aviation Fuel (SAF). Exploring the Power of Coconut in Culinary and Functional Foods (July 23) Dr Millicent Wallace will guide discussions on coconut products' healing properties and curative potential, emphasizing their contributions to health and wellness. Eco-friendly Applications of Coconut Products (July 23) Mr. Alan Aku will focus on sustainable land management, soil and water conservation, and other eco-friendly applications of coconut products. Innovative Strategies to Sustain Coconut Production (July 23) Dr Viliami Toalei Manu will discuss strategies to sustain coconut production and generate revenue through carbon credit incentives. Promoting Sustainable Coconut Market and Trade (July 24) Mr. Gregory Bardies will explore global market dynamics and sustainable trade practices in the coconut industry. Advancing Global Coconut Germplasm Conservation and Utilization (July 24) Ms. Erlene C. Manohar will lead discussions on innovations driving the future of coconut conservation and productivity. Paper Presentation (July 24) This session, chaired by Mr. Dharmendra Pothuri, will feature presentations of innovative research findings from universities and research institutes. Presidential Inauguration On July 22, 2024, Indonesian President Joko Widodo (Jokowi) will inaugurate the 51st International COCOTECH Conference & Exhibition in Surabaya. His presence underscores the importance of the coconut industry in Indonesia’s sustainable development agenda. In his opening remarks, President Jokowi emphasized the immense potential of Indonesia's green economy, particularly in the coconut industry. “In the future, the green economy represents a tremendous opportunity for our country, Indonesia, whether it is related to cocoa, mangroves, vanilla, coffee, pepper, cloves, and others. Most importantly, coconuts hold significant potential. We have 3.8 million hectares of coconut plantations producing 2.8 million tons annually, which is substantial,” said the President. President Jokowi highlighted Indonesia's coconut exports, which have reached USD 1.55 billion. He noted that North Sulawesi and Riau provinces are the largest coconut producers in the country. “This is a significant figure that can be increased further if we take coconut-related matters seriously,” he added. President Jokowi pointed out the importance of seed quality, maintenance, and harvesting methods to boost coconut production. He also stressed the importance of downstream processing in adding value to coconut products, supporting the industry, and creating jobs. “Research is crucial in this regard. Utilizing downstream processing technology is essential. I have seen coconut waste being converted into bioenergy, which is important for the future,” said the President. President Jokowi called on the international coconut community to unite to advance a sustainable coconut industry. “I invite the entire international coconut community to synergize in advancing a sustainable coconut industry that supports the global green economy,” the President concluded. The 51st COCOTECH Conference, themed “Harnessing Coconut’s Potential as the Tree of Life and Green Energy,” aims to expand networks and explore new opportunities for developing the coconut industry in Indonesia while showcasing Indonesia’s significant global potential. Accompanying the President at the event were Minister of State Secretary Pratikno, Minister of Trade Zulkifli Hasan, Acting Governor of East Java Adhy Karyono, Surabaya Mayor Eri Cahyadi, and ICC Executive Director Jelfina Alouw. For more details, visit the COCOTECH webpage at COCOTECH 2024 .