Jakarta. TThe recycling industry has created jobs for 3 million waste-pickers in Indonesia, advancing the country's circular economy, according to the Industry Ministry. Chandra Asri Group is playing a key role in this movement through a series of community-driven waste management initiatives.

“Currently, around 3 million scavengers, still operating in the informal sector, are collecting waste,” Edi Rivai, Legal, External Affairs & Circular Economy Director of PT Chandra Asri Pacific Tbk (Chandra Asri Group), said during the 2024 BNI Investor Daily Summit in Jakarta on Tuesday.

Chandra Asri Group is actively involved in the circular economy with initiatives such as the Integrated Waste Management Industry—Overcome Waste, Manage Independently (IPST ASARI) in Cilegon. This facility includes a pyrolysis machine with a capacity of 100 kg per batch, converting low-value plastic waste into pyrolysis oil, branded as PLUSRI (Plastic Fuel of ASARI), which has been registered as intellectual property (HAKI).

The IPST ASARI program works alongside the SAGARA Program, a community-based waste management initiative in coastal Anyar, Banten Province. Local communities and fishermen are taught waste segregation practices and encouraged to save through the Waste Bank for additional income. Multilayer plastic waste is processed into PLUSRI at IPST ASARI. Since 2020, this program has benefited over 1,000 people in Cilegon and Anyar, managing 450.2 tons of waste and producing 1,089 liters of PLUSRI.

During the forum titled “Resilient Growth: Capitalizing on Indonesia's Circular Economy Potential,” Edi also discussed the company's rebranding from "petrochemical" to "Pacific" and its efforts to educate the public about the circular economy. He highlighted the value of waste, noting that PET waste collection generates at least Rp 700 million daily, with potential aggregation reaching Rp 1 billion per day.

Chandra Asri Group aims to promote a shift from a linear to a circular economy, a model they have been practicing for over five years with significant economic benefits. However, they face challenges, including the large investment required for waste management and the need for greater community support in sorting waste to reduce landfill overload.

“Chandra Asri Group is leading by example, providing a model that can be scaled with investment and supported by multiple stakeholders,” Edi concluded.