KOSSAN Rubber Industries Bhd has unveiled the Greening Value Chain (GVC) programme, together with its climate solutions partner, Pantas Software Sdn Bhd. This programme was previously launched by Bank Negara Malaysian (BNM) in conjunction with the Finance Day at COP-27, in Egypt.
The launch event was attended by Suhaimi Ali, Assistant Governor of BNM, Tan Sri Dato’ Lim Kuang Sia (Group Managing Director & CEO of Kossan Rubber Industries) and Max Lee (CEO, Pantas).
The programme aims to assist and incentivise carbon emission management among KOSSAN’s SME suppliers, enabling the vendors to access BNM’s Low Carbon Transition Facility (LCTF) of RM2 billion to fund SMEs’ working capital or capital expenditures related to low-carbon practices at an affordable rate.
To achieve this, PANTAS will assist these SMEs to begin measuring GHG emissions and report on sustainability indicators in a consistent and efficient manner to help achieve national carbon reduction targets.
They will also receive free access to carbon accounting software solutions developed by PANTAS along with training and consultation services provided by GVC service provider partners such as Malaysia Green Technology and Climate Change Corporation (“MGTC”), Credit Guarantee Corporation Malaysia Berhad (“CGC”), British Standards Institution (“BSI”), and AmBank Berhad (“AmBank”) to kickstart their carbon management journey.
The programme is supported by the Joint Committee of Climate Change (“JC3”) which is co-chaired by BNM and Securities Commission Malaysia.
According to Lim in his speech: “This programme is a great representation of KOSSAN’s values. As part of KOSSAN’s L.I.V.E Sustainability Policy, we believe that to succeed in our sustainability journey, we need to strengthen our partnership and collaboration. This programme is a win-win-win relationship for our suppliers and KOSSAN, which also benefits the environment. This is one example of our commitment to creating shared values with our partners because we believe that our sustainability journey is a path to take together”.
Lee said, “We believe that an integrated software solution, relevant training, and awareness are essential to get SMEs on board KOSSAN’s sustainability efforts to ensure a just transition. Apart from assisting SMEs in measuring and disclosing the relevant climate data, PANTAS will also work with partners to help SMEs set and achieve carbon reduction targets.”
Following the GVC programme rollout, PANTAS and the selected service provider partners will hold regional training sessions to equip SME suppliers with valuable insights into climate change, including the importance and methods of carbon management and reporting. Additionally, SMEs will gain an in-depth understanding of the assurance process and access to climate-related financing products. The first training session will be held on 21 March 2023 at Lanai Kijang, Kuala Lumpur.