Sustainability, Carbonomics,
SR & The GRI Guidelines
Presented by Assoc Prof Josua Tarigan
PhD, CMA, CFP, CSRS, CSRA, CIBA, CBV
Sustainability Isssues
• What is Sustainability?
• What is Carbonomics?
• Carbon Market & Clean Development Mechanism
• Government & Private initiatives
• Climate Risk
• Climate Opportunities
Sustainability &
Carbonomics
Sustainability
Sustainability = Meeting the needs of the present
without compromising the ability of future generations
to meet their needs.
Companies can affect the environment either positively
or negatively to a very large degree.
Economic sustainability = The ability of the organisation
to provide a return to shareholders over the longer
term.
What is
Carbonomics?
What is Carbonomics
Covid-19 & Carbon
https://wri-indonesia.org/en/blog/what-indonesia-doesn%E2%80%99t-know-
about-peatlands-could-undermine-its-climate-goals
Carbon Market &
Clean Development
Mechanism
Carbon Market, Is it Exist?
Korat Waste to Energy (KWTE) Project, Thailand
• The Project is an anaerobic digestion project, treating wastewater
from the starch industry, at the Sanguan Wongse Industries (SWI)
facility
• The Anaerobic Baffled Reactor (ABR) is used to remove the organic
material in the wastewater, thus reducing the Chemical Oxygen
Demand (COD) and subsequent fugitive CH4 emissions from
existing open lagoon.
• Produced biogas is used in the SWI facility to substitute fuel oil.
• The project activities are approximately 314,959 tonnes
CO2equivalent/year
Korat Waste to Energy (KWTE) Project, Thailand
Credit Carbon Consultant
Government
& Private
initiatives
•2023
26 September
Indonesia
Battery
Corporatio
n (IBC) –
March 2021
https://www.youtube.com/watch?v=I6hWy9YPSVE
Sustainability initiatives of PCU
https://youtu.be/ZALghkANNDQ
How are Sustainability initiatives?
(an example:
Individual)
How are Sustainability initiatives?
(an example:
Individual)
Editorial Board Members
CSR Stages/Levels
csrinternational.org
Climate Risk
Climate Risk
Key principles for
integrating climate risk
Climate
Opportunities
Climate-related Opportunities
Sustainability Reporting, Define Report
and Strategy Profile
Presented by Josua Tarigan
PhD, CMA, CFP, CSRS, CSRA, CIBA, CBV
Sustainability Reporting
• Why Sustainability Reporting?
• SDG & SR
• SR & Accounting Standard
• GRI Standard
• Integrated Reporting
Why
Sustainability
Reporting?
Why Sustainability Reporting?
Component of
S&P 500
Market Value
Source: Ocean Tomo
The
BalanceScorecar
d
Financial Perspective Create
Book Value
Assets
M
Balance Sheet A
drive
R
Customer Perspetice Create
drive Intellectual K
Internal Business Process & V
Create
Perspective E
Intangible
drive A
Create
assets TL
Learning & Growth Perspective
U
Why
is sustainability?
Evolution of Non-Financial Reporting
Comprehensive
Integrate Corporate
d Reporting (CCR)
Sustainability Reporting
Reporting (IR)
(SR)
CSR
Reporting
Traditiona
l Financial
Reporting
The Purpose of a Sustainability Report
Sustainability reporting is the practice of measuring,
disclosing, and being accountable to internal and
external stakeholders for organizational
performance towards the goal of sustainable
development
The Purpose of a Sustainability Report
A sustainability report The guidelines consist of
should provide a balanced Including both positive Principles for defining
and reasonable and negative report content and
representation of the contributions ensuring the quality of
sustainability performance reported information
SDG & SR
A set of 17 goals for the world’s future through 2030
TBL & SDG
SDG & COVID
ALIGNING THE COMPANY’S STRATEGIES WITH SDG
SR &
Accounting
Standard
Financial reporting
considerations
While climate change risks are not covered explicitly
by the International Financial Reporting Standards
(IFRS), the standards do address issues that relate to
them. The potential financial implications as
highlighted by both the International Accounting
Standards (IAS) and the IFRS arising from climate-
related risks may include:
Stranded assets
Assets can become Environmental challenges,
New government
regulations, for example,
stranded as a for example, climate change
‘carbon bubble’, carbon
pricing, air pollution
result of a number regulation
of different
factors, but risk Falling clean technology
costs, for example, onshore
Evolving social norms, for
example, fossil fuel
factors related to wind, electric vehicles,
electric storage
divestment campaigns and
consumer behaviour
the environment
are growing in Litigation, for example,
significance and carbon liability and changing
statutory interpretations
include: and fiduciary duty and
disclosure requirements.
“In order to improve ESG performance and reporting, organisations need to invest a
significant amount of resources such as financial and human capital, and such investment
may not have an immediate effect on the companies’ financial performance.”
Herbert Yung, risk advisory director at Deloitte China
Global Reporting Frameworks
• There are many global reporting frameworks that help
companies measure and report sustainability
• In September 2020, CDP, CDSB, GRI, IIRC and SASB
announced a shared vision for a comprehensive
corporate reporting system and a commitment to
collaborate to achieve it. Read more in the joint
paper Statement of Intent to Work Together Towards
Comprehensive Corporate Reporting.
• The conversations between these organisations have
been facilitated by the Impact Management Project
(IMP), the World Economic Forum and Deloitte
Strategic Decision ISSB
Build on existing investor-focused frameworks
ISSB under Governance Structure of IFRS Foundation
Why and How the Accountancy
Profession Must Lead
Sustainability Reporting Standar-
GRI Reporting
Sustainability Reporting
Standar-AA1000
Example of Sustainability Reporting Audit
Example of Sustainability Reporting Audit
GRI Standard
Sources: NCSR
140 SR di Tahun 2020
Sources: NCSR
Sources: NCSR
Indonesia Context
How About Indonesia?
UU PT No.40 Tahun 2007 yang menyebutkan bahwa PT
yang menjalankan usaha di bidang dan/atau bersangkutan
dengan sumber daya alam wajib menjalankan tanggung
jawab sosial dan lingkungan (Pasal 74 ayat 1)
Sejak 2012, semua perusahaan Tbk wajib melaporkan
kinerja lingkungan (CSR) dalam laporan keuangan atau
secara terpisah di laporan berkelanjutan
GRI Standard
Presented by Josua Tarigan
PhD, CMA, CFP, CSRS, CSRA, CIBA, CBV
Integrate
d
Reporting
Integrated Reporting
The Six Capitals
Example of Integrated Reporting
Example of Integrated Reporting
