The existence of village-owned enterprise (BUMDes) presents an opportunity for village administrations to increase village revenue, as their establishment is specifically geared towards profit-generating activities. Amidst these challenges, village administrations are required to manage BUMDes professionally, so that the village can develop and progress through these activities. This study aims to analyse the effectiveness of the role of the Village-Owned Enterprise (BUMDes) “Mahesajenar” in managing the “Mahesajenar” Waste Bank in Plosojenar Village, Kauman Sub-district, Ponorogo Regency. The waste bank is a community empowerment instrument oriented towards environmental management while improving the local economy. This study uses a qualitative descriptive approach with data collection techniques through in-depth interviews, observation, and documentation. Research informants include BUMDes administrators, waste bank managers, village government, and the community as waste bank customers. There were five (5) research informants, comprising: the manager of the village-owned enterprise (BUMDes), the manager of the waste bank, a community leader, an employee of the waste bank, and members of the public who use the waste bank. The research findings show that the village-owned enterprise (BUMDes) “Mahesajenar” has transformed its waste management practices from an individual-based approach to a more collective and structured one through the waste bank model; as a result of this programme, the community has developed an awareness of the importance of environmental cleanliness, and has also reaped economic benefits by earning money from these activities. This study concludes that strengthening collaboration among steakholders and increasing institutional capacity are key to the sustainable management of the Mahesajenar Waste Bank.
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