NEC Indonesia and Sinar Mas Land, via its subsidiary PT Samakta Mitra, have formed a strategic partnership to reduce the effects of climate change by utilizing Adaptation Finance and disaster mitigation visualization technology. Adaptation Finance, an initiative developed by the United Nations Environment Programme (UNEP), is designed to evaluate the risks and impacts of climate-related natural disasters. Its goal is to identify risks early, develop mitigation plans, and enhance business resilience.
The Memorandum of Understanding (MoU) to begin a joint study on Adaptation Finance in Indonesia between Sinar Mas Land and NEC Indonesia was signed by Irvan Yasni, CEO of Technology Advisory and Business of Sinar Mas Land, and Joji Yamamoto, President Director of NEC Indonesia, at the Biomedical Campus, BSD City, last 15 October 2024. Yutaka Ukegawa, Corporate Executive Vice President of NEC Corporation, and Mulyawan Gani, Chief Transformation & Data Officer of Sinar Mas Land, were also in attendance.
Joji Yamamoto said, "This collaboration marks an important first step in realizing the Adaptation Finance initiative for mitigating climate change. We believe that the technology and solutions offered by NEC can contribute to developing adaptive financial solutions that can be applied across various sectors. We look forward to this partnership with Sinar Mas Land's subsidiary, PT Samakta Mitra. Previously, NEC implemented the same solutions in Japan, supported by major insurance companies. The success of this endeavour emphasizes the significant potential of this collaboration to bring positive impacts to Indonesia's financial services industry, particularly in addressing the growing climate challenges".
Irvan Yasni adds, "Adaptation Finance presents a great opportunity to create a more sustainable and safer environment in the face of disaster risks resulting from climate change. Together with NEC Indonesia, we will conduct a joint study on Adaptation Finance to develop case studies that anticipate adaptation steps and solutions to climate change across various sectors. By applying technology with disaster risk and climate change mapping, insurance companies can estimate potential losses and mitigate existing risks, allowing for more effective mitigation efforts".
Through this collaboration, Sinar Mas Land and NEC Indonesia will develop risk visualization solutions capable of mapping the potential for natural disasters such as floods, earthquakes, and tropical cyclones. This will accelerate the adoption of disaster risk mitigation solutions among insurance companies, banks, and investment firms. This initiative also supports better protection for communities and infrastructure in the future.
Using data-driven solutions, predictive analytics, and artificial intelligence (AI), NEC Indonesia will detect possible threats, evaluate environmental impacts, and offer more effective risk mitigation strategies. This technology facilitates a more strategic and sustainable distribution of resources, allowing Adaptation Finance to make positive outcomes for society, businesses, and the environment.