MSMEs at the Forefront of Sustainable Economic Development

Press Release

BANDUNG, October 24, 2024 – To raise awareness of the importance of sustainability and to strengthen Micro, Small, and Medium Enterprises (MSMEs) through the integration of sustainable practices, the Institute of Certified Sustainability Practitioners (ICSP) and the National Center for Corporate Reporting (NCCR), in collaboration with Maranatha Christian University and Parahyangan Catholic University, held the 9th Sustainability Practitioner Conference (SPC) at Maranatha University, Bandung, on Thursday (October 24, 2024).

The hybrid conference discussed a range of sustainable strategies designed to empower micro, small, and medium enterprises (MSMEs) in supporting the achievement of the Sustainable Development Goals (SDGs), reflecting both global and national commitments to protecting the planet and enhancing community well-being. MSMEs play a pivotal role in advancing several SDG targets, particularly in promoting No Poverty (SDG 1), Zero Hunger (SDG 2), and Decent Work and Economic Growth (SDG 8).

During the conference, Ali Darwin, the Director of the National Center for Corporate Reporting (NCCR), highlighted the strong potential of MSMEs as key drivers of sustainability. According to Ali, MSMEs are inherently adaptable, community-oriented, resource-efficient, and market-responsive, characteristics that enable them to adopt sustainable practices in alignment with the SDGs.

“By embracing sustainable practices, MSMEs can not only enhance their environmental and social impact but also improve their competitiveness and long-term resilience,” said Ali.

At the same event, Ni Made Roni, owner of Made Tea Bali, shared how sustainability principles have been implemented in her herbal tea business. She currently employs 200 women from eight villages in Bali and has adopted solar panels as a renewable energy source for tea production.

As “Indonesia’s Sustainable Tisane Specialist,” Ni Made Roni demonstrated that environmentally friendly and sustainable business practices not only benefit the planet but also strengthen market positioning, as consumer demand increasingly favors eco-friendly products.

This reflects a growing global trend in which more MSMEs are integrating sustainability principles as an essential part of their business models, generating positive impacts while maintaining competitiveness.

However, despite these promising potentials, Ali also noted that MSMEs continue to face several challenges in adopting sustainability practices, including limited access to finance, lack of awareness about sustainable business practices, and complex environmental regulations.
Addressing these challenges, Head of the MSME Division of the Indonesian Employers Association (APINDO), Ronald Walla, shared insights from APINDO’s research, revealing that 78% of small enterprises have incurred losses due to overly stringent environmental compliance and GHG emission requirements.
“Furthermore, 69% of MSME players in Indonesia are either unaware of or do not fully understand the Sustainable Development Goals (SDGs),” Ronald added.
In this context, the government plays a crucial role in creating an enabling environment for MSMEs to thrive. This includes offering financial incentives, providing access to information and resources, and simplifying regulations to promote sustainability without imposing undue burdens.

Initiatives such as capacity-building programs, sustainability training, and grants for green technologies are essential to empower MSMEs in achieving their environmental and social objectives.

Through the SPC, participants were able to exchange ideas, experiences, and best practices in advancing sustainability, across both public policy and business sectors. The conference also served as a collaborative platform to develop innovative, research-based solutions to sustainability challenges..

The Sustainability Practitioner Conference (SPC) is an interdisciplinary forum designed for students, academics, researchers, policymakers, business leaders, and sustainability practitioners. It provides a space for in-depth discussions on sustainability issues that are increasingly critical amid today’s global environmental, social, and economic challenges.

This year’s event, supported by Pupuk Kaltim, also showcased the nine best papers and proposals from the Academic Paper Contest, featuring contributions from universities, corporations, and organizations on a wide range of themes including: Green Economy, Sustainable Development, Entrepreneurship, Financial Management, Management Accounting, Sustainability Reporting, Circular Economy, Sustainability Accounting, Innovation in Sustainability, and Sustainability in Technology.

The following is a list of the best papers and proposals accepted for the Academic Paper Contest, The 9th Sustainability Practitioner Conference (SPC), presented in alphabetical order.

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Access/Download the full press release in Indonesian and English here.

ABOUT THE ORGANIZERS

• Maranatha Christian University is a research-based teaching university with a sustainable Tridharma innovation ecosystem. Located in Bandung, West Java, this private university is recognized as one of Indonesia’s leading institutions in advancing the Sustainable Development Goals (SDGs).
• Parahyangan Catholic University, is one of Indonesia’s oldest private universities, is also based in Bandung, West Java. The university implements various MSME development programs aimed at fostering inclusive and sustainable small and medium enterprises.
• The Institute of Certified Sustainability Practitioners (ICSP) is a professional association based in Jakarta that brings together sustainability professionals to enhance their competencies and promote the adoption of sustainable practices across multiple sectors. ICSP currently offers professional certifications, including Certified Sustainability Reporting Specialist (CSRS) and Certified Sustainability Reporting Assurer (CSRA).
• The National Center for Corporate Reporting (NCCR), formerly known as the National Center for Sustainability Report (NCSR), is the first organization in Indonesia to introduce sustainability reporting and encourage companies and organizations to publish sustainability reports. As an official partner of the Global Reporting Initiative (GRI) in Indonesia, NCCR focuses on developing individual competencies in preparing sustainability reports.