More universal environmental laws urged
More universal environmental laws urged
JAKARTA (JP): A University of Indonesia law expert is calling for more universal environmental legislation to stop countries from using strict environmental rules as a way of protecting their local industries against foreign competition.
Eman Rajagukguk, a staff lecturer at the university's School of Law, said different environmental laws have also meant higher transaction costs for exporters and importers.
Eman stated his case for harmonizing regulations to bolster international trade, encourage market expansion and specialization, which, he said, would strengthen economies and improve competitiveness.
Both governments and manufacturers would benefit from this, he told a seminar on environmental laws and their implementation on Monday.
The seminar, organized by the Indonesian Center for Environmental Law (ICEL), was attended by P.L. Coutrier of the Environmental Impact Management Agency, Mas Achmad Santosa of ICEL and students at the University of Indonesia.
Eman in his paper argued that Indonesia should tighten its own environmental regulations in line with the trend now seen in many parts of the world.
Though it could result in greater manufacturing costs, he said, it is necessary if Indonesian manufacturers are to penetrate the international market, where strict environmental restrictions are increasingly becoming the norm.
He suggested that the government provide manufacturers with incentives to compensate for the additional costs of complying with amended environmental regulations.
He said countries that impose strict and costly environmental regulations for their industries would impose the same restrictions against imports, and would not allow the entry of imports that failed to meet their criteria.
Thus, he said, manufacturers from countries with loose environmental regulations will find it difficult to sell their goods.
Eman acknowledged that the imposition of strict environmental regulations has become an effective tool in protecting domestic industries against imports.
The law professor said his proposal to harmonize environmental regulations would be difficult to carry out due to varying environmental, social and economic conditions around the world.
He noted strong opposition coming from countries with strict environmental laws, such as the United States, who fear that they will be forced to relax their own standards.
Given the increasing consumer preference for more environmentally-friendly products, he said, strict environmental regulations would not discourage investors as many have feared. On the contrary, he added, products from countries with strict environmental regulations would have an improved reputation and competitive advantage. (pwn)