Jakarta. Indonesian companies that prioritize sustainability through ESG (Environmental, Social, and Governance) principles are more likely to attract foreign investment, said Enggartiasto Lukita, Executive Chairman of B-Universe, at the "Investor Daily Indonesia ESG Appreciation Night 2024."

He said that ESG practices have become a key factor for investors and expressed hope that the event’s awards would boost confidence in Indonesian businesses, attracting more global investment.

"While significant investments have already come in, investors are increasingly focusing on how well the country prepares and implements ESG principles," Enggartiasto said after the event at The Westin Hotel Jakarta on Monday.

The event aimed to recognize companies committed to sustainability, social responsibility, environmental stewardship, and good corporate governance. Enggartiasto also highlighted the media’s role in supporting ESG principles, which not only contribute to environmental sustainability but also help maintain a favorable investment climate in Indonesia. He called on local governments to play a role in these efforts as well.

"As the media, we have a responsibility to encourage the business world to continue addressing environmental issues. We also hope local governments will be involved in these efforts," he added.

Supporting the event, Ahmad Deni Daruri, Founder of Bumi Global Karbon Foundation (BGKF), expressed full support for the initiative. Deni suggested that B-Universe should also push the government to recognize and reward companies excelling in ESG practices, perhaps through tax incentives.

“I believe B-Universe should encourage the government to provide rewards, such as tax reductions for companies excelling in ESG,” Deni said. “They already incur significant costs to implement strong ESG practices, so such support would be meaningful.”

Deni also emphasized the need for collective support of innovative events like this to raise awareness about ESG. He believes that government-backed rewards, such as tax breaks, would further incentivize companies to improve their ESG performance.

“This innovation should be supported together, with the media and foundations encouraging companies to strengthen their ESG efforts. At the very least, they should be given incentives, such as tax reductions for outstanding ESG practices,” Deni added.

This event marked the second awards ceremony held by Investor Daily in collaboration with the BKG Foundation, a member of the Global Reporting Initiative (GRI) and supporting member of the Task Force on Climate-related Financial Disclosures (TCFD). BKG conducted assessments based on company publications and the Greenhouse Gas (GHG) Protocol.

The awards, presented in seven categories, recognized companies that demonstrated commitment to environmental, social, and governance principles. The goal was to encourage companies to continue upholding their environmental and social responsibilities while fostering an investment climate aligned with sustainable development goals.

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