Thu, 26 Sep 1996

Few firms conduct environmental audits

JAKARTA (JP): A legal advocate for the environment said that few Indonesian businesses were inclined to conduct environmental audits.

Mas Achmad Santosa, director of the Indonesian Center for Environmental Law (ICEL) told The Jakarta Post recently that the few environmental audits conducted by businesses highlighted weak law enforcement in Indonesia.

According to Achmad, an environmental audit has proved to be an effective management tool to increase businesses' awareness about the need for environmental preservation.

In developed countries, Achmad said, industries conduct the audit to avoid legal action and liability of damages done.

In Indonesia, he said, a number of companies conducted environmental audits after pressure or intervention from a third party, such as the government and international market demand.

"Since the general guidelines to conduct environmental audits was issued in 1994, not a single company has voluntarily conducted auditing," Achmad said.

Environmental audits will be implemented only when there is evidence of violation of environmental law or a catastrophe due to poor management.

"Policymakers should consider whether environmental audits can be promoted in the midst of weak law enforcement," Achmad said.

New factories are required to make an environmental impact assessment before their business licenses are issued. But Environmental Impact Agency officials have admitted that very few companies have complied with it.

Authority

ICEL hopes that agencies related to environmental control and management will be given firm authority to reprimand companies that fail to conduct environmental audits.

Achmad also suggested that funding organizations demand that businesses with high environmental degradation risks perform environmental audits.

"Sooner or later, the international market will turn to ISO 14000 accreditation, which weighs heavily on environmental management," Achmad said.

The International Standard Organization has been giving accreditation for companies which met certain environmental management standards. (14)