World Bank grants firms $3.5m for ozone projects

JAKARTA (JP): Seven companies have received US$3.5 million in grants from the World Bank to replace ozone-destroying production techniques and materials with more environmentally-friendly means.

The companies are the second group among the 26 Indonesian firms included in the World Bank-sponsored, US$17 million ozone protection projects. Assistant to the Minister of Environment Aca Sugandhy presided over the signing of the sub-grant agreement between his office and the seven companies yesterday.

The project is part of the World Bank's US$90 million Montreal Protocol loan to 12 developing countries. Under the agreement, the companies will be required to replace ozone-destroying procedures with more ozone-friendly methods.

The office of the minister of environment cooperated with the World Bank in conducting a feasibility study and has identified 26 manufacturers of refrigerant and aerosol which qualify to obtain portions of the funds.

The companies were selected by the National Development Planning Board (Bappenas) and the ministries of finance, industry, trade and foreign affairs under the coordination of the environment minister's office.

With the help of funding agencies and the community, Indonesia is optimistic it will be able to phase out the use of ozone- depleting halon later this year. Utilization of the chlorofluorocarbons widely used in air-conditioning systems and cosmetics will be eliminated by the end of next year.

The government plans to stop the use of two other substances, trichloroethane and carbon tetrachloride, next year.

Since 1992, when Indonesia ratified a number of international agreements on reduced use of ozone-threatening substances, it has managed to lower the use of those substances by 50 percent.

Indonesia does not produce ozone-depleting substances. However, some local manufacturers use them.

In 1992, Indonesia used 6,567 tons of ozone-depleting substances: CFC-12 accounted for 63.4 percent, halon 14.8 percent and CFC-11 accounted for14.2 percent.

In yesterday's ceremony, Aca called on local businessmen and the general public to support the government's campaign to phase out use of ozone-depleting substances. (swe)