Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economy
• Social
• Environment

Environmental Achievements

• Air emissions monitoring results always below quality standards
• 25% of total waste generated was reused
• Effluent hazardous substances content always below environmental quality standards
• No fire incidents on oil palm plantations
• Maintained soil moisture, slowing land subsidence rate, and preserving peat ecosystem
• 72.8 Ha or 6.4% of plantation rejuvenation program allocated for riparian conservation

Social Achievements

• Zero fatal work accidents
• 19% employee participation rate in competence development programs
• Lowest permanent employee wages in conformity with Regional Minimum Wage (UMR)
• Values distributed to local communities through CSR programs increased by 8.3%
• Provided assistance of 6 school bus units
• Built and repaired 7 units of public facilities
• Fixed 17 km of village roads

Governance Achievements

• Implementation of sustainable palm oil processing standards based on ISPO
• Received BLUE PROPER recognition from the Ministry of Environment and Forestry of Indonesia
• Received Plantation Class Assessment Award from the Office of Agriculture of West Sumatra Province
• No reports of Code of Conduct violations received

Climate Goals & Targets

Environmental Challenges

• Limitations in sustainability programs needing adaptation to changing regulations and best practices in the agribusiness sector
• Disruption in economic stability
• Covid-19 pandemic
• Changes in Government policies and regulations affecting business activities

Mitigation Strategies

• Improving operational efficiency and performance
• Analyzing conformity of operational activities with Government policies on sustainability
• Managing impacts of business activities effectively, especially in environmental aspects
• Implementing strict health protocols and adequate K3 facilities during Covid-19 pandemic
• Improving employee competence

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Partnership with local suppliers
• Use of Supplier Reporting Tool (SRT)

Climate-Related Risks & Opportunities

Physical Risks

• Shifts in rainfall patterns
• Long drought or high rainfall intensity
• Tides
• Extreme climate events

Transition Risks

• Changes in Government policies and regulations

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: POJK No. 51/POJK.03/2017, ISPO, ISO 26000:2010

Certifications: ISPO

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 8
• Goal 4
• Goal 9
• Goal 8
• Goal 12
• Goal 13
• Goal 15

The Company's initiatives support these SDGs through economic growth, education, infrastructure development, labor rights, waste reduction, climate change mitigation, and biodiversity conservation.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• BLUE PROPER from Ministry of Environment and Forestry
• Plantation Class Assessment Award from Office of Agriculture, West Sumatra Province

Environmental Metrics

ESG Focus Areas

• Economy
• Social
• Environment
• Governance

Environmental Achievements

• Reduced paper usage from 145 reams in 2020 to 120 reams in 2022.
• Encouraged employees to use reusable drinking containers to reduce plastic waste.

Social Achievements

• Ensured fair and competitive remuneration, meeting applicable regulations.
• Created a proper, safe, and healthy work environment.
• Improved employee competency and skills through independent learning and external collaborations.
• Provided 90 days of maternity leave and lactation permits for breastfeeding mothers.

Governance Achievements

• Established an Investment Committee in early 2023 to ensure investment activities align with sustainability principles.
• Developed a Code of Conduct covering business, work, and external party ethics.
• Implemented a whistleblowing system for reporting violations.

Climate Goals & Targets

Environmental Challenges

• Limited sustainability policies and programs.
• Difficulty measuring social and environmental impacts.
• Risk of investing in irresponsible companies.
• Changes in government policies and regulations.

Mitigation Strategies

• Participating in competency development programs related to sustainability.
• Considering environmental aspects in investment analysis.
• Analyzing the suitability of operational activities with government policies.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Selection of PEFC-certified HVS paper

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: POJK No. 51/POJK.03/2017

Third-party Assurance: Not disclosed

Environmental Metrics

ESG Focus Areas

• Economy
• Social
• Environment
• Governance

Environmental Achievements

• Reduced paper usage to 120 reams in 2023 (same as 2022), with 50% reused.
• Encouraged employees to conserve energy and water, and minimize plastic waste.

Social Achievements

• Provided fair and competitive remuneration to employees, exceeding the Regional Minimum Wage (UMR).
• Maintained a safe and healthy work environment with zero accidents.
• Provided 30 hours of training for employees in 2023 (average 3 hours/person).
• Distributed donations to 5 orphanages, social institutions, and/or foundations.

Governance Achievements

• Implemented a Code of Conduct covering business, work, and external ethics.
• Established a whistleblowing system for reporting violations.
• No reports of corruption, money laundering, or unfair competition in 2023.
• Actively involved in competency development programs related to sustainability.

Climate Goals & Targets

Environmental Challenges

• Limited internal sustainability policies and programs.
• Difficulty measuring social and environmental impact of activities.
• Risk of investing in irresponsible companies that could damage reputation.
• Dynamic government policies and regulations.

Mitigation Strategies

• Participating in competency development programs on sustainability.
• Considering environmental aspects in investment analysis and feasibility studies.
• Analyzing the alignment of operational activities with government sustainability policies.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: POJK No. 51/POJK.03/2017