(Nov 11): Kossan Rubber Industries Bhd is collaborating with Pantas Software Sdn Bhd to launch its Greening Value Chain (GVC) programme to assist small and medium enterprises (SMEs) within Kossan’s supply chain network to decarbonise their operations.
The GVC initiative, which was launched by Bank Negara Malaysia on Nov 9 in conjunction with Finance Day at the 2022 United Nations Climate Change Conference (COP27), aims to assist Malaysian SMEs in implementing impactful, long-term change to green their operations.
The glove manufacturer’s SME suppliers will be assisted and incentivised to measure and manage their carbon emissions via a carbon accounting software developed by Pantas.
The carbon accounting software will be provided at no cost to participating SMEs. Kossan’s SME suppliers will be eligible for Bank Negara’s Low Carbon Transition Facility (LCTF) of RM2 billion with the programme.
Bank Negara and related agencies such as Malaysia Green Technology and Climate Change Corporation (MGTC) and Joint Committee of Climate Change Sub Committee 3 (JC3SC3) Product and Innovation will also provide an array of technical advisories and on-site diagnosis.
“The GVC programme is in line with our progressive commitment to deliver products that protect lives and conduct our operating activities in a responsible manner especially relating to climate-mitigation action,” says Tan Sri Lim Kuang Sia, group managing director and CEO of Kossan.
“We believe that our products and operating activities must create value to all stakeholders — value that protect life and sustains through the generations. The GVC programme is part of Kossan’s corporate responsibility to encourage our suppliers to calculate their carbon emissions and prepare for the upcoming introduction of the Carbon Border Adjustment Mechanism by the European Union,” he adds.
It takes a village to create a sustainable supply chain, says Max Lee, Pantas CEO and co-founder.
“The GVC programme will assist Kossan in managing its supply chain emissions by working closely with its suppliers. Companies, especially SMEs, face many challenges when it comes to measuring and managing their carbon emissions.
“We believe that an integrated software solution, relevant training and awareness are essential to get SMEs onboard Kossan’s sustainability efforts to ensure a just transition. Pantas will measure, aggregate and disclose the necessary climate data for Kossan and partnering financial institutions to ensure the success of the programme,” says Lee.