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World Report View

Strategies and Challenges for Implementing Sufficient Economy for Sustainable Development in Indonesia (Part 3 of 3)

by | 24-11-2015 18:13 recommendations 0

On the consumer side, Indonesian Foundation for Consumers has assessed that most ?green? claims in consumer products are over-claimed and categorized as ?greenwashing? purposed for lips service. Similar to what have been done in France, The Netherlands, and The US, currently Indonesia Eco-label Institution is being developed to make ethical codes for eco-friendly product campaign. AC Nielsen in Indonesia found out that more than two-third of Indonesians are ready to accept true, honest green products, especially those that concerns with clean water scarcity and pollution. By the end of the day, green economy is nothing without green society. To do so, the role of Education for Sustainable Development (ESD) in instilling environmentally conscious minds must be further emphasized.

Clean production in relation with export potential is also a highlighted strategy. As worldwide consumers tend to purchase environmentally-friendly products, 74% of Indonesia?s 1994 export value came from countries which have eco-labeled products according to ISO 14000 standard. Since 1992, Indonesia has promoted production waste minimization programs which covered four core activities: technical support (guideline, audit, pilot project, consulting group), training and awareness building, incentives (eco-label, waste retribution, soft loan), and information system (database, best practice role modeling). The challenge in Indonesia is that the society underappreciates this type of environmentally-friendly production system due to lack of adequate education on its benefit.

Above all, one nation-wide program made by the Ministry of the Environment has highly impacted Indonesian private sectors toward Green Economy: Environmental Performance Grading Program (PROPER) in Act 32 of 2009 on Environmental Management and Protection. Historically, PROPER was preceded by Clean Water Program in the early 1990s. The challenge was on ineffectiveness of command-and-control approach from public to private sector, making difference in environmental perceptions if the level of law and regulation enforcement were not done in uniform to all. Started in 1996, PROPER utilizes civic and market pressure to increase companies? environmental management performance. PROPER has been appreciating and awarding companies all over Indonesia on their effectiveness and consistency in doing environmental excellence program in scope of reduce-reuse-recycle, energy efficiency, natural resources conservation, ethical business conduct, and community development programs. Until 2011, the program has pushed companies? performance by 25%.

To conclude, according to United Nations Development Program, in 2008 there was no single nation all over the world that met the minimum criteria for sustainable economies. In fact, Indonesia?s stable 6% annual GDP growth, which has been partly contributed by expenditures to clean its own pollution, has not included the cost of pollution which drove the economy itself. Aligned with Indonesia?s Strategic Long-term Development Plan (2005 – 2025), its green economy programs for sustainable development have to be pro-growth, pro-poor, pro-job, and pro-environment. In 2011, Armida S. Alisjahbana, the former Indonesian Development Planning Minister stated that, ?as one of the developing countries which rely much on the natural resources for its development, Indonesian green economy could be one of the global pioneers.?

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