Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economic Performance
• Occupational Health and Safety
• Customer’s Health and Safety
• Community Development
• Emission
• Waste
• Energy

Environmental Achievements

• Production process uses recycled steam from the formalin factory without using a boiler.
• Implementing Emission Control System (ECS)

Social Achievements

• Implemented employment practices that consider the fulfillment of employee rights.
• Provided various supporting facilities for occupational health and safety (OHS).
• Adjusted employee wages level to the applicable laws and regulations.
• Provided employment opportunities for local communities.
• Implemented CSR programs for the community.

Governance Achievements

• Consistently implemented good corporate governance (GCG) principles.
• Integrated risk management system between economic, social, and environmental aspects.

Climate Goals & Targets

Environmental Challenges

• Soaring raw material prices due to Covid-19 pandemic and supply chain disruptions.
• Limited sales for Banjarmasin factory due to lack of plywood industry, blockboard, and particle board.
• Procurement of equipment, spare parts, technology, and knowledge from Europe takes a long time.
• Customers or business partners failing to fulfill their contractual obligations.
• Potential for health and safety issues due to chemical handling and machinery.
• Potential for environmental pollution if waste is not managed properly.

Mitigation Strategies

• Strengthened financial resilience and maintained sustainable business growth through strategic policies.
• Implemented cost efficiency programs.
• Ensured optimal supply chain operations.
• Developed glue powder and other products to expand marketing domestically and internationally.
• Stored reserves of spare parts and consumable goods.
• Established business relationships with credible parties, implemented credit verification and authorization policies, and monitored receivables collectability.
• Implemented a consistent occupational health and safety system with supporting facilities.
• Ensured products meet standards before delivery and educated customers on product use.
• Managed waste, especially liquid waste, in accordance with regulations and using a wastewater treatment plant (IPAL).

Supply Chain Management

Responsible Procurement

• Implementing procurement of goods and services in accordance with GCG principles.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: AA1000 Stakeholder Engagement Standard (SES) 2015

UN Sustainable Development Goals

• Goal 8: Decent Work and Economic Growth
• Goal 3: Good Health and Well-being

The Company’s social and environmental responsibility programs contribute to these goals.

Sustainable Products & Innovation

• Glue powder

Environmental Metrics

ESG Focus Areas

• Social and Environmental Responsibility (TJSL)
• Sustainable Finance
• Good Corporate Governance (GCG)
• Sustainable Development Goals (SDGs)

Environmental Achievements

• Built the first hexamine production facility in Indonesia using Off-Gas Treatment Unit (OGTU) technology from Germany, recycling exhaust gases into renewable energy.

Social Achievements

• Realized CSR fund of Rp 20.778.000
• Implemented a 100% work-from-office (WFO) policy for all employees, while maintaining strict and consistent health protocols.

Governance Achievements

• Improved the quality of GCG implementation within the organization.
• Consistently implemented the five principles of Good Corporate Governance (GCG).

Climate Goals & Targets

Environmental Challenges

• Lingering impact of the Covid-19 pandemic.
• Increasingly aggressive competitors.
• Supply chain crisis.
• Threat of recession.
• Rising commodity prices due to global supply chain disruptions and geopolitical conflicts.

Mitigation Strategies

• Implemented a defensive policy by being more selective in determining market customers.
• Maintained a supply chain with minimum buffers.
• Improved internal operations by placing qualified people in strategic positions and implementing cost efficiency.
• Formed a Research & Development (R&D) team to analyze market changes and adjust accordingly.
• Strengthened sustainable good corporate governance by developing business in the domestic market with quality local standard products and tightening credit and collection policies.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Technical Guidelines for the Preparation of Sustainability Reports for Issuers and Public Companies, Financial Services Authority Regulation No.51/POJK.03/2017