50.4 Percent of Companies Rated Red, KLH Encourages Improvement of Environmental Performance

Emission Reduction and Resource Efficiency

KLH/Environmental Management Agency (BPLH) noted that the implementation of PROPER 2025 resulted in a reduction in greenhouse gas emissions of 117.6 million tonnes of carbon dioxide equivalent or CO₂e.

In the same period, energy efficiency reached 812.65 million gigajoules (GJ), while water use efficiency was recorded at 207.79 million cubic meters.

This achievement is the basis for the ministry to encourage more companies to develop more efficient business practices while reducing pressure on the environment.

Apart from encouraging innovation, Nixon warned of the consequences of administrative sanctions on ranking results. According to the KLH/Environmental Management Agency (BPLH) explanation, Regulation of the Minister of Environment/Head of Environmental Management Agency (BPLH) Number 7 of 2025 regulates that participants who are subject to administrative sanctions during the ranking process will receive a Red rating.

PROPER Participants Targeted to Increase

PROPER coverage also continues to be expanded. From 85 industries in 1997, the number of companies assessed has now reached 5,476 and is targeted to increase to 6,070 companies by 2026.

The assessment includes controlling water and air pollution as well as managing hazardous and toxic waste (B3). Company self-reporting is also integrated through the Environmental Electronic Reporting Information System (SIMPEL).

Through this expansion, KLH/Environmental Management Agency (BPLH) hopes that environmental management will become part of daily business activities. Companies are encouraged to reduce their environmental footprint while generating economic and social benefits for society.