ABSTRACT

The success of the economic development has resulted in significant environmental impacts leading to pollution and environmental degradation. From the environmental point of view, the major obstacle to implementing environmental management programmes, especially in small and medium-sized enterprises (SME), is cost. SMEs suffer the most during an economic crisis. SMEs play a major role in the national development of Indonesia. As the majority of companies in Indonesia do not yet manage their environmental impacts within a systems approach, the standards will have a significant effect on how companies manage environmental issues. A National Commitment on cleaner production (CP) was announced in 1995, followed by a CP action plan in 1996. The voluntary CP programme is well accepted by industry and is becoming increasingly popular, especially in comparison with the more traditional approach of environmental protection such as pollution control and waste management. In 1993, BAPEDAL introduced the CP concept in Indonesia.