Local community groups and international experts criticised the French food company’s project for its toxic operations and failure to contribute meaningfully to resolving plastic pollution.
Denpasar, Indonesia, 12 December 2024 – In a December 11 notice, plastic credits certifier Verra acknowledged the international food company Danone’s decision to entirely withdraw from its plastics waste-to-fuel project in Indonesia, a controversial plastics credits scheme that Indonesian environmental groups and the local community called a polluting, toxic operation that was launched without the community’s consent.
The project applied the plastic credit methodology intended as an accounting-only exercise to certify its additional social and environmental impact. They claimed that there are no plans to issue Plastic Credits but seek certification of the Project under the Plastic Waste Reduction Program in seven locations. However, the social and environmental impacts of a facility producing refuse-derived fuel (RDF), a dubious waste diversion method, releases toxic air pollution and creates more hazardous waste, such as toxic slags, wastewater and ash, are not counted in Verra’s certification scheme.
In April 2023, members of the Angga Swara neighbourhood in Jimbaran, Bali, Indonesia, called on Danone to shut down the project, the Integrated Waste Processing Facility (Tempat Pengelolaan Sampah Terpadu, called TPST Samtaku Jimbaran), which they said used their community as a toxic plastic dumping ground. The company reportedly suspended the project that month. The facility was on fire in July this year, allegedly due to the dispute between Danone’s primary funding recipient, PT. Reciki Solusi Indonesia and their local partner, PT. Reciki Mantap Jaya.
The December notice is the first indication that Danone AQUA Indonesia, as the project proponent of the Plastic Certification Scheme, dropped their involvement in Project funding and operations and no longer seeks certification of the Project under the Plastic Waste Reduction Program as they have registered on Verra platform (ID 2648).
The Angga Swara community complained to Danone for nearly two years about foul odours coming from the plant. It raised concerns about Danone’s violations in the permitting process, including forging community member signatures in the permitting process. The community also noted concerns about Verra’s track record, as the US certifier has a long record of failures in similar carbon credit projects.
Rezky Pratiwi, Director of Bali Legal Aid Institute, stated, “In Bali, MRF projects like Samtaku have been widely rejected due to their social and environmental impacts. The local community was not even consulted from the start, but their rights were taken away from the project’s progress. Misleading certification must stop, and the business sector must be held accountable for such actions.”
Verra states in its December 11 notice to Danone that the company submitted a withdrawal request on 17 October 2024 and that Danone “…has since ceased its involvement in Project funding and operations and no longer seeks certification of the Project.”
Yuyun Ismawati, IPEN Co-chair from the Indonesian Nexus3 Foundation and the Alliance for Zero Waste Indonesia, stated, “Poisoning the community to benefit and polish Danone’s business practice and seek phoney plastic waste reduction certificate by poisoning the community is unethical. We expect Danone to clean up the site of this toxic facility, not repeat the same approach in other locations, and cease their support for such greenwashing schemes.”
The Danone-funded project aimed to sell RDF briquette to laundry service for their boilers and food stalls for barbecues, despite the risks from such open burning of plastic that produces highly toxic emissions with few or no control by at all. IPEN has detailed the flaws of producing RDF from plastic waste in a series of reports (including this report on RDF in Indonesia) and a briefing paper distributed at the recent Plastics Treaty talks.
Ibar Akbar – Plastics Project Leader of Greenpeace Indonesia, stated, “Danone has not been transparent regarding the details of its waste reduction roadmap submitted to the Ministry of Environment. There is also a lack of clarity on the progress of this roadmap and whether the Samtaku Jimbaran program is included in it. Danone has not addressed this, which raises concerns about the company’s commitment to its responsibilities. This negligence has contributed to harming the health of the environment and the surrounding community.”
The Alliance for Zero Waste Indonesia and its members will continue monitoring plastic credit and plastic waste reduction certification projects funded by global corporations known as major plastics polluters. Like carbon credits or offsets, plastic credits and certification programs are almost always greenwashing schemes used by polluting industries to delay and distract from the real solutions that address the root causes of their toxic operations. A 2023 report by the nonprofit Corporate Accountability with The Guardian found that 39 of 50 (78%) of carbon credit projects analysed were “likely junk” (worthless), while another eight were “problematic, with evidence suggesting they may have at least one fundamental failing and are potentially junk.”
Contact:
Nindhi, Toxics Program Manager of Nexus3|nindhita@nexus3foundation.org |
Kia, Comms Officer of AZWI | kia@aliansizerowaste.id |
About the Nexus for Health, Environment, and Development Foundation (Nexus3)
Nexus3 Foundation, formerly BaliFokus Foundation, works to protect communities, especially vulnerable groups, from the impacts of development on health and the environment to create a just, toxic-free and sustainable future.
About Bali Legal Aid Institute (YLBHI – LBH Bali)
YLBHI – LBH Bali is an institution that promotes access to justice, fulfilment and protection of Human Rights through legal aid. YLBHI – LBH Bali provides legal assistance to the poor, the legally illiterate, and victims of human rights violations. YLBHI – LBH Bali’s legal aid work includes legal assistance and consultation, legal empowerment and community organising, research and campaigns and policy advocacy.
About Greenpeace Indonesia (GPID)
Greenpeace Indonesia is an organisation that campaigns the tradition of non-violent, direct action against environmental abuse and destruction. It has three offices in Southeast Asia (GPSEA) — Thailand, Indonesia, and the Philippines.
About the Alliance for Zero Waste Indonesia (AZWI)
An alliance of 10 leading organisations includes YPBB, Dietplastik Indonesia, Nexus3 Foundation, PPLH Bali, ECOTON, ICEL, Zero Waste Surabaya, Greenpeace Indonesia, Gita Pertiwi and WALHI. AZWI campaigns for implementing the correct Zero Waste concept in the context of mainstreaming through various existing Zero Waste activities, programs, and initiatives to be implemented in multiple cities and districts in Indonesia by considering the hierarchy of waste management and the life cycle of materials.
About the International Pollutants Elimination Network (IPEN)
IPEN is a global network forging a healthier world where the production, use, and disposal of toxic chemicals no longer harms people and the environment. Over 600 public interest NGOs in more than 130 countries, primarily low- and middle-income nations, comprise IPEN and work to strengthen global and national chemicals and waste policies, contribute to ground-breaking research, and build a global movement for a toxics-free future.