Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental
• Social
• Governance

Environmental Achievements

• Griya Idola Industrial Park saved energy equivalent to 856 tons of CO2 and more than 900,000 kWh of electricity through solar panel installation.
• Wisma Barito Pacific implemented Zero Waste to Landfill, reducing waste by approximately 49 kg per September 2020 and saving an equivalent of 105 tons of CO2 emissions.
• Chandra Asri operated Enclosed Ground Flare (eGf), minimizing environmental and social impacts.

Social Achievements

• Prajogo Pangestu and Barito Pacific Group donated Rp48.5 billion for Covid-19 handling.
• Chandra Asri produced 30-40KTA of HS35nW Non-woven Polypropylene, fulfilling domestic and export demand for PPE.
• Mambruk Hotel & Convention received CHSE certification.

Governance Achievements

• Formalized and adopted policies including a revised Code of Conduct, Anti-Corruption Policy, Human Rights Policy, Investor Communication Policy, Insider Trading Policy, Whistleblowing Policy and Social Media Policy.
• Participated in periodic virtual investor conferences.

Climate Goals & Targets

Environmental Challenges

• Global pandemic impacting petrochemical and travel industries.
• Global demand shock, falling product spreads, global supply chain disruptions and domestic public health related shutdowns.
• Macroeconomic instability.

Mitigation Strategies

• Implemented comprehensive health and safety protocols.
• Focused on business continuity, operational excellence and financial resilience.
• Operational expenditure reduction, capital expenditure rephasing and working capital optimization.
• Debt repayment schedule and refinancing.
• IDR bond program to diversify funding sources.
• Remote work arrangements.

Supply Chain Management

Responsible Procurement

• Synergy with SCG Chemicals for raw material procurement.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Environmentally-friendly degradable plastic.

Awards & Recognition

• 2019 Green Industry award (Chandra Asri and SMI)
• 2020 Environmental Health Award (Infinity Restaurant)
• 2020 Xurya Environmental Award (Griya Idola)
• Best Real Estate & Developer 2020 (Griya Idola)
• 2019 Green PROPER Award (Chandra Asri and SMI)
• PROPER Gold (Star Energy Geothermal Salak and Wayang Windu)
• PROPER Green (Star Energy Geothermal Darajat II)
• Silver Medal in the 2020 Waste4Change Appreciation Day (Wisma Barito Pacific)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance
• Economic aspects
• Business continuity
• Renewable energy
• Climate change mitigation
• Just energy transition
• Circular economy
• Biodiversity

Environmental Achievements

• Achieved zero lost time accidents across operational areas.
• Increased effective ownership of Wayang Windu operational assets from 40% to 60% and Salak and Darajat from 34.5% to 50.7%.
• Chandra Asri saved 1,511.09 MWh of PLN electricity (equivalent to 5,439.9 GJ) using solar panels.
• Chandra Asri implemented Enclosed Ground Flare (EGF) technology, burning 220 tons of hydrocarbons without heat, noise, or atmospheric release.
• Chandra Asri reduced energy consumption by 745,392.93 GJ (equivalent to 64,424.55 tons of CO2e) through energy efficiency programs.
• Star Energy Geothermal minimized footprint on conservation land through Binary geothermal power plant, increasing electricity production by 13-15 MW (gross).
• Both Chandra Asri and Star Energy Geothermal retained the Green PROPER award.

Social Achievements

• Provided Barito Pacific Scholarships to 26 students.
• Chandra Asri provided scholarships to 12 and 6 students through two different programs.
• Developed vocational schools in Central Java, benefiting 10,994 students and 691 educators.
• Supported the construction of 6 PAUDs since 2017, inaugurating Nusantara PAUD in 2022.
• Participated in the construction of Banten Petrochemical Industry Polytechnic, granting 2 hectares of land.
• Implemented the “Dari Sampah, Bayar Pajak” program, converting waste into installments for Land and Building Tax (IDR 22,669,500).

Governance Achievements

• Barito Pacific's MSCI ESG rating upgraded to A in 2022.
• Sustainalytics assigned Chandra Asri a “Low Risk” ESG rating, ranking in the top 1% of its industry.
• Wisma Barito Pacific II office building received Gold Certified Green Building and Energy Saving Building awards.

Climate Goals & Targets

Environmental Challenges

• High crude oil prices due to Russia-Ukraine conflict and low demand from China due to Covid-19 lockdowns.
• Pressure on petrochemical margins due to increased raw material and product prices.
• Geopolitical instability and strict Covid-19 policies in China.
• Water scarcity in Geothermal Working Areas.
• Potential for negative social and environmental impacts from business activities.
• Potential legal risks due to lawsuits or lack of supporting legislation.

Mitigation Strategies

• Maintained a prudent financial policy to combat volatility and maintain a strong balance sheet.
• Strengthened energy portfolio by reorganizing group structure and consolidating geothermal assets under PT Barito Renewables Energy.
• Consistently implemented and improved ESG practices.
• Used zero-emission vehicles (electric buses and forklifts).
• Implemented integrated waste management programs.
• Collaborated with communities for water conservation and integrated agriculture.
• Used legal counsel to resolve disputes.
• Complied with environmental regulations and best practices.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Renewable energy expansion

Reporting Standards

Frameworks Used: GRI Standards, POJK-51/2017

Certifications: ISO 14001, ISO 45001, ISO 50001, Responsible Care®

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• LLDPE Metallocene Grade for blown film, cast film, and packaging film.

Awards & Recognition

• Green PROPER award (Chandra Asri, Star Energy Geothermal)
• Subroto Award (SEGS, SEGWWL)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Chandra Asri retained the Gold and Green Proper awards from the Ministry of Environment and Forestry.
• SEG Salak received the Green PROPER award from the Ministry of Environment and Forestry.
• SEG Darajat received the PROPER GOLD award from the Ministry of Environment and Forestry (KLHK).
• Chandra Asri won the Plastic Waste Circularity category for the Large Enterprise business type at the ASEAN Business Awards (ABA).

Social Achievements

• Various CSR activities under the Bakti Barito Foundation, including the Plastic Asphalt Roads and Green Schools programs.
• Chandra Asri received multiple awards from the Ministry of Manpower of the Republic of Indonesia at the 2023 OHS Awards (Zero Accidents, Implementation of the Occupational Safety and Health Management System (SMK3), HIV/AIDS Prevention and Control (P2) Program, COVID-19 Prevention and Control (P2) Program).
• Chandra Asri received several awards from The Pinnacle Group at The 15th Annual Global CSR & ESG Summit & Awards 2023 (CSR & ESG Leadership (Gold), Best Environmental Excellence (Gold), Best Community Program (Gold), Best CEO (Platinum)).
• Chandra Asri won several awards from the Economic Review at the Indonesia Corporate Social Responsibility Awards VI - 2023 (The Best of the Best 2023: ICSRA 2023 General Champion, Overall Company category; The Best of the Best 2023: ICSRA 2023 General Champion, Environmental Social Governance (ESG) category; Edi Rivai: The Best Commitment Director ICSRA 2023, Environmental Social Governance (ESG) on Social Innovation category).

Governance Achievements

• Consistently implemented Good Corporate Governance (GCG) practices.
• Maintained MSCI ESG index rating of A.
• Chandra Asri received an overall ESG Risk Rating score of 17.7 from Sustainalytics for two consecutive years, categorized as “Low Risk”.

Climate Goals & Targets

Environmental Challenges

• Fluctuating petrochemical sector due to global economic and political dynamics, low product prices due to oversupply.
• Challenges in the geothermal sector, including global perception of geothermal energy as potentially damaging to the environment.

Mitigation Strategies

• Maintaining a healthy financial balance sheet with net debt to equity remaining stable at 0.60x.
• Collaborating with the Indonesian government and international organizations to promote geothermal energy as an environmentally friendly energy source.
• Diversification into infrastructure and renewable energy sectors.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, ISO 50001:2018, ISO 17025:2017, ISO 26000:2010, SMK3 [PP50/2012], Halal Guarantee System Certificate, Halal Product Certificate (Asrene & Trilene), Green Building, CER (Certified of Emission Reduction), SNI 7808:2012, SNI 0594:2011, SNI 8887:2020, SNI 8432:2022, SNI 7593:2010, Ekolabel Tipe II, Responsible Care Verification, International Ship and Port Facility Security Code (ISPS), International Sustainability and Carbon Certification (ISCC Plus)

Third-party Assurance: KAP Imelda & Rekan (Anggota Deloitte Asia Pacific and of the Deloitte Network)

Awards & Recognition

• Various awards received by Chandra Asri and Star Energy Geothermal subsidiaries throughout 2023 (detailed in the report).