The legal risk to sustainable role of State-Owned Enterprises management in Indonesia

Abstract

This article explained the legal risk as a part of good governance due to risk mitigation agency will be reviewed and then described descriptively with the role of State-Owned Enterprises related to climate change issues. State-Owned Enterprises should have a unit to hire risk management included the legal risk. The standard risk significant to guarantee the sustainable role of State-Owned Enterprises as a legal entity that gets the capital from the State and will require climate change issues. By doctrinal legal research, this article described the main problems for the implementation due to the category of risk State-Owned Enterprises. This article concluded: (i) State-Owned Enterprises already has mitigation that can respond to internal risks but are not sufficient to adapt to the issue of climate change; and (ii) the role of State-Owned Enterprises in responding to climate change needs support from the government.