Plastic Pollution Challenge
Mandalika as one of the national super priority areas in Indonesia is set to attract more than 3 million tourists every year. With existing inhabitants of 105,525 people, it has the potential to produce 26,592 tonnes of plastic waste a year, where 27.3% is recyclable waste. Meanwhile, the landfill provided by the government only has a lifetime of just five years.
Unfortunately, the Mandalika waste management system still remains unclear and uncoordinated. More than 70% of local people throw away their garbage into canals and rivers, this contributes to waste leaking into the ocean.
Adapting the Circular Economy concept, we developed a comprehensive Circular Economy System for a sustainable environment. Starting with building public awareness as the largest source of waste, upstream-downstream waste processing infrastructure based on available and applicable local wisdom, to building a sustainable market network.
Any collected waste is raw material that can be absorbed by the domestic recycling industry. Thus, we can contribute to reducing plastic waste pollutions burden on the environment while reducing dependence on imported raw materials for the recycling industry. For example, in 2019, Indonesia was recorded to have imported more than 12 million tons of raw materials. To improve service outcomes and capacity, we are currently conducting development research to identify and map problems, challenges and potential for waste management in the community, as well as recording existing best practices for Knowledge Management where this has not been widely practiced in Indonesia. In terms of technology, we developed “SAMPUN”, a waste service application to target more people and the tourism industry.
By implementing a comprehensive circular economy concept, starting from the stages of research, education and community empowerment, collection units establishment to the waste recycling process for industry, we have assisted more than 300 communities, villages, sub-districts and schools to form collection units or drop points. Through the this concept, we received high engagement and an enthusiastic response from the community who wanted to be involved in the system we developed. Our business model has driven the operation of more than 300 Collection Units which function as education centers and waste collection from both the community and the surrounding area. More than 1,806 tons of waste were successfully returned to the production chain of which 65.58% was plastic waste. At the same time, this effort has succeeded in reducing greenhouse gas emissions by 1,497 tons of CO2-eq.
We create social impacts aligned with SDG 12 – Responsible Consumption and Production : increasing the recycling rate (12.5), facilitating consumers’ and manufacturers’ responsibility for their consumption and production, educating consumers on waste segregation and recycling (12.8); supporting manufacturers to adopt EPR (Extended Producer Responsibility) by collecting non-recyclables measures (12.6).
Bintang Sejahtera also supports:
- SDG 14 – Life Below Water: Prevent waste leakage to oceans
- SDG 13 – Climate Action: Prevent / reduce / collect plastic waste from the environment, in general and in Mandalika in particular.
- SDG 8 – Decent Work and Economic Growth: Create livelihood opportunities to get fairer and more stable income as well as improve working and safety standards.
Our business model is connecting households, as the main source of waste, with our recycling facilities and processing. Starting with a massive public awareness campaign to involve everyone in collecting and segregating their own waste, then establishing community-based collection unit close to the households, developing collection center in every region and transporting the waste to our recycling center where there is profit margin in each step which can be gained as revenue to generate wider economic, social and environmental impacts.
Traction & Key Metrics
In 11 years of our operation, we have created income up to 7.5 Billion Rupiahs (USD 535,000) for more than 12,550 local customers, where 70% of our beneficiaries are housewives. Each local family can earn additional income up to 1,5 million rupiah. Apart from that, our collection units have also grown significantly to more than 300 covering all NTB areas and creating job for 550 people.
- With our existing operation, our annual revenue outlook is targeted at USD 1 million by 2023
- Scale up our factory in Lombok and expand our operation in other island in Eastern Indonesia (Sumbawa, Labuhan Bajo, etc) within 10 years
- The first leading waste management start-up in East Indonesia
- Our target is to raise total funding for USD 10 million by 2025 to build an integrated recycling, learning and development center with large machinery and big capacities for waste processing as well as an intensive knowledge management and research programs. We plan to scale up our annual production capacity to 30,600 tons in 2025.
- Our total revenue is projected at USD 32.5 millions in 10 years, with 701,189 tonnes of waste in total being processed (2035).