Arsjad Rasjid, Chair of ASEAN Business Advisory Council (ASEAN-BAC), prioritizes sustainable development in the growth of businesses and enterprises in the ASEAN region. In an effort to address pressing environmental issues and pave the way for a sustainable future, ASEAN-BAC is collaborating with various stakeholders to accelerate the implementation of clean and renewable energy sources in the ASEAN region.

"Building a sustainable ASEAN and world requires collective efforts from all parties. In ASEAN, we believe that the joint efforts of governments, businesses, and society will drive a better energy transition," emphasized Arsjad.

Arsjad also explained that the Sustainable Development Report 2023 identified six ASEAN countries among the top 100 countries implementing sustainable development. Some of them include Thailand ranking 43rd with a score of 74.7, Vietnam ranking 55th with a score of 73.4, Singapore ranking 64th with a score of 71.8, Indonesia ranking 75th with a score of 70.2, Malaysia ranking 78th with a score of 69.8, and the Philippines ranking 98th with a score of 67.1.

Meanwhile, other ASEAN countries such as Brunei Darussalam, Cambodia, Laos, and Myanmar are ranked beyond the top 100, at positions 102, 103, 115, and 125 respectively. With collective efforts, all ASEAN countries are working together to build a region that prioritizes sustainable business processes and cleaner energy usage.

ASEAN's Efforts to Promote Sustainable Development

Companies in ASEAN are building renewable energy facilities to reduce carbon emissions. Some ASEAN member states have also utilized their respective State-Owned Enterprises (SOEs) to expedite the integration of renewable energy. However, the potential of renewable energy in ASEAN still requires continuous support.

For example, Indonesia aims to increase its renewable energy capacity by 20.9 GW by 2030 and targets 60% of its energy to come from renewable sources by 2060. Laos has made progress in electricity generation and energy exports, contributing to the country's economic growth by over 3%. Malaysia has proposed the development of three green energy islands and is exploring renewable energy sources from the sea. In 2020, Malaysia had 50 biogas power plants supplying electricity to the national grid.

Brunei Darussalam plans to increase its renewable energy capacity to at least 300 MW by 2035 through collaborative projects. Cambodia currently holds a 40% market share in renewable energy sourced from hydropower, solar power, and biomass. The country encourages tourism operators to adopt renewable energy. Thailand has launched the world's largest floating solar-hydro hybrid installation and plans to install an additional 24 MW.

Singapore has conducted a joint feasibility study for hybrid renewable energy involving wind, solar, and tidal sources. The Philippines has initiated a green energy auction for 2 GW of renewable energy projects, including hydropower, solar power, and wind power. Vietnam aims to increase the proportion of renewable energy, including hydro, wind, solar, and biomass, to 33% of total electricity by 2030.

"ASEAN, and specifically ASEAN-BAC, is committed to accelerating the transition towards a zero-emission economy by promoting renewable energy, energy efficiency, and sustainable infrastructure development. The implementation of climate change mitigation and adaptation strategies and the encouragement of innovative solutions to reduce greenhouse gas emissions in business activities in the ASEAN region are highly encouraged," emphasized Arsjad.

Prestigious Awards for Sustainable Development in the Business Sector in ASEAN

One of ASEAN-BAC's commitments in supporting all sectors of businesses in ASEAN to advance sustainable and environmentally friendly business processes is through the ASEAN Business Awards (ABA) 2023. In ABA 2023, the Sustainable Development pillar will feature two award categories, namely Net-Zero Leader and Plastic Waste Circularity. Companies of all sizes, from large-scale enterprises to SMEs, can register to participate in this award through aseanbacindonesia.id/event/aba-2023.

"ABA 2023 fully appreciates businesses in the ASEAN region that have integrated sustainable development into their business processes and have made a positive impact on environmental preservation. These awards will be given through the Sustainable Development pillar," said Arsjad.

The Net-Zero Leader category recognizes businesses that have made remarkable progress in reducing their greenhouse gas emissions and leading the way towards a carbon-neutral future. These businesses have implemented innovative practices, technologies, and strategies to minimize their environmental footprint and combat climate change.

In the same pillar, the Plastic Waste Circularity category honors businesses in the ASEAN region that have taken proactive action to address the global plastic waste crisis and promote circular economic solutions. By adopting circular business models, these companies contribute to reducing plastic pollution, encouraging responsible waste management practices, and paving the way for a more sustainable and environmentally conscious ASEAN.

"ASEAN-BAC 2023 encourages businesses in the ASEAN region to nominate themselves for the Net-Zero Leader and Plastic Waste Circularity categories in ABA 2023. Your outstanding achievements in sustainable development will be showcased and recognized as leaders driving positive change in the ASEAN region," continued Arsjad.

Companies such as PT Astra International Tbk., Indika Energy, Sinar Mas, Bakrie Group, and Mayora Group have a commitment to prioritize sustainable development within their business operations.

In 2022, Astra launched the Astra 2030 Sustainability Aspirations to encourage commitment to contributing to sustainable development. This new sustainability framework, along with its aspirations, fully integrates sustainability into the Triple-P Roadmap Strategy to guide Astra's transition towards a more sustainable and resilient business. The hope is to increase contributions to Indonesia's economic resilience while supporting an inclusive and prosperous society.

"Indika Energy believes that achieving net-zero will be the right step towards a better and more sustainable future for the world. This is what drives our transition to diversify and develop the company's business portfolio in the logistics, mineral, digital, and green business sectors, including the development of electric vehicle (EV) ecosystems," said Azis Armand, Deputy CEO and Group CEO of Indika Energy.

Sinar Mas, through Sinar Mas Agribusiness & Food operating in the agribusiness sector, is committed to prioritizing sustainability in its business processes. "We implement Good Agriculture Practice (GAP) in the production process, thereby simultaneously building the economic side, social welfare of communities, and sustainable environmental preservation," said Franky Oesman Widjaja, Chairman & CEO of Sinar Mas Agribusiness and Food.

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