Program Overview
The Carbon Credit Program outlines PT Sapta Borneo Utama's approach to identifying, developing, monitoring and commercializing potential carbon credit opportunities connected to its integrated sugar, ethanol, biomass power, plantation and plasma development project.
Strategic Objectives
- Support renewable biomass energy generation.
- Reduce greenhouse gas emissions through resource efficiency.
- Develop credible carbon reduction and removal opportunities.
- Support sustainable plantation and circular economy practices.
- Establish lender-ready MRV and reporting procedures.
- Align carbon initiatives with applicable laws, registries and market standards.
Eligible Carbon Sources
| Source | Potential Carbon Benefit |
|---|---|
| Biomass Power Generation | Renewable energy from bagasse and biomass residues may reduce fossil fuel-based emissions. |
| Energy Efficiency | Improved industrial energy efficiency may reduce operational emissions intensity. |
| Sustainable Plantation | Improved land management and responsible cultivation may support emissions reduction and sustainability outcomes. |
| Waste and Residue Utilization | Use of agricultural residues may reduce open burning, waste and methane-related emissions. |
| Circular Economy Initiatives | Reuse of by-products and process residues may improve resource efficiency. |
Program Methodology
| Stage | Description |
|---|---|
| Screening | Identify eligible carbon reduction, avoidance or removal activities. |
| Baseline Assessment | Establish baseline emissions and reference scenarios. |
| Methodology Selection | Select applicable carbon methodology and registry pathway. |
| Project Design | Prepare project design documentation and monitoring plan. |
| Validation | Engage qualified validation body where required. |
| Monitoring | Collect operational, environmental and emissions data. |
| Verification | Verify emissions reduction or removal outcomes. |
| Issuance | Register and issue credits subject to applicable market rules. |
Monitoring, Reporting & Verification
- Establish project-specific MRV procedures.
- Maintain traceable operational and emissions data.
- Document biomass, energy, water and waste management records.
- Use qualified technical consultants where required.
- Support independent validation and verification processes.
- Maintain auditable records for lenders, registries and stakeholders.
Governance Structure
| Function | Responsibility |
|---|---|
| Board of Commissioners | Oversight of governance, compliance and strategic integrity. |
| Board of Directors | Approval of carbon program strategy and resource allocation. |
| ESG / Sustainability Function | Program monitoring, MRV coordination and reporting. |
| Project Management Team | Operational data collection and implementation support. |
| External Validators / Verifiers | Independent review, validation and verification where required. |
Registry & Market Pathways
Carbon credit registration, validation, verification and issuance shall be subject to applicable Indonesian regulations, eligible registry requirements and recognized voluntary or compliance market standards. Final market pathway will be determined following legal, technical and commercial due diligence.
Risk Management
| Risk | Mitigation |
|---|---|
| Regulatory Risk | Monitor Indonesian carbon market regulations and registry requirements. |
| Methodology Risk | Use qualified advisors to select appropriate methodology and baseline approach. |
| MRV Risk | Maintain auditable monitoring systems and data controls. |
| Verification Risk | Engage qualified validation and verification bodies where required. |
| Market Price Risk | Assess offtake, forward sale and spot market options before monetization. |
| Reputation Risk | Avoid overstated claims and maintain conservative, evidence-based disclosures. |
Implementation Roadmap
| Phase | Activity |
|---|---|
| Phase 1 | Carbon opportunity screening and initial eligibility review. |
| Phase 2 | Baseline study, methodology mapping and MRV planning. |
| Phase 3 | Project design documentation and stakeholder review. |
| Phase 4 | Validation, registration and monitoring implementation. |
| Phase 5 | Verification, issuance and potential commercialization. |
Disclosure Standard
PT Sapta Borneo Utama shall avoid presenting estimated carbon credits as confirmed revenue until the relevant project activity has been validated, verified, registered and issued in accordance with applicable rules and standards.
Approval
For and on behalf of
PT SAPTA BORNEO UTAMA
SAPTA RISWANDY
President Director
President Director
Reviewed / Supervised by
Board of Commissioners
NENENG SITI MARYAM
Commissioner
Commissioner
Supervised by
Board of Commissioners
DAVID LOKATILI
Commissioner
Commissioner
Document Information
| Document Owner | PT Sapta Borneo Utama |
|---|---|
| Project | USD 1 Billion Integrated Sugar Factory Project |
| Location | Majalengka, West Java, Indonesia |
| Classification | Confidential |
| Status | Final / Published |
| Prepared For | Lenders, ECAs, Institutional Investors and Strategic Partners |
| Date | June 2026 |
Revision History
| Version | Date | Document No. | Status | Description |
|---|---|---|---|---|
| 1.0 | June 2026 | SBU-ESG-003 | Final / Published | Carbon Credit Program issued for institutional lender data room publication. |