Climate Change Data

Environmental Metrics

ESG Focus Areas

• Good Corporate Governance
• Productivity Improvement
• Environmental Sustainability
• Social Responsibility
• Occupational Health and Safety

Environmental Achievements

• Implemented energy saving efforts (replacing fluorescent lamps with LEDs, turning off central AC after office hours, water saving stickers in toilets)
• Implemented Waste Management Operating Standard across all work sites
• Received ISO 14001:2015 Environmental Management System recertification

Social Achievements

• Held various CSR activities (blood donation drives, Ramadhan and Idul Adha celebrations, donations to orphanages, aid for natural disaster victims, community empowerment initiatives)
• Recruited 39 new office employees in 2018
• Maintained an employee turnover rate of 10.3%
• Provided various employee welfare programs (pension allowance, festivities allowance, bonuses, medical allowance, uniforms, leave pay, etc.)
• Implemented equal opportunities policy for all applicants regardless of gender or other physical conditions

Governance Achievements

• Established important committees (Independent Audit Committee, Risk Management Division, Nomination and Remuneration Committee)
• Implemented Good Corporate Governance principles and socialized them to all employees
• Improved and strengthened policies to maintain effective communication with stakeholders and investors
• Implemented a Whistleblowing System and Code of Conduct

Climate Goals & Targets

Environmental Challenges

• Changes related to implementing governance and strengthening human resources for company growth, implementing a more automated system
• Information disclosure requirements to the public and regulatory bodies (OJK, BEI)
• Navigating the latest regulations on capital markets
• Expanding customer base and targeting a wider market for new Bulk Carrier business line
• Volatility in commodity prices

Mitigation Strategies

• Implemented sustainable cost efficiency initiatives
• Developed strong barging business in the domestic market
• Eyed opportunities for strategic partnerships with logistics companies
• Diversified transportation services to cover liquid cargo
• Improved operational excellence and healthy financial positions

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• Best Performance Vessel 2018 (PT PLN Batubara)
• Largest Taxpayers with Tax Growth in 2018 (Ministry of Finance)

Environmental Metrics

ESG Focus Areas

• Economic Performance
• Anti-Corruption
• Energy
• Liquid Waste and Waste
• Occupational Health & Safety
• Training and Education
• Employment
• Community Development and Empowerment

Environmental Achievements

• Planted 4,800 mangrove seedlings in Marunda and Bekasi coastal areas.
• Planted Trembesi trees in several school areas in Kalimantan.

Social Achievements

• Built a PAUD (Early Childhood Education School) in Manggaraya Village, South Sumatra.
• Routinely organized blood donation activities in Jakarta, Samarinda, and Banjarmasin.
• Used local workers in operational areas.

Governance Achievements

• Added one Independent Commissioner to the Board.
• Implemented an orientation program for new Independent Commissioners.
• Socialized adjustments and improvements to policies and guidelines (Gratification, Breach Reporting, Code of Ethics, Risk Management).
• Conducted an internal assessment of GCG implementation.

Climate Goals & Targets

Environmental Challenges

• Downturn of coal commodity prices.
• Pressure on coal consumption due to China's regulation on lowering coal import quota.
• High demand on Barges.
• Limited availability of charter-out barges in the market.

Mitigation Strategies

• Optimized Revenue from long-term contracts.
• Focused on domestic logistics needs.
• Invested in purchasing Tugs and Barges.
• Strengthened Internal Control and Technical teams to closely monitor fleet repair and speed up docking time.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards, POJK no. 51/POJK.03/2017

Certifications: ISO 9001:2015, ISO 14001:2015, OHSAS 18001:2007

Awards & Recognition

• Award from Indonesian Red Cross for blood donation.
• Award from Wahana Mangrove Indonesia for mangrove rehabilitation.

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Equipped the mother vessel (MV) fleet with Engine Power Limitation (EPL) for 5-15% fuel efficiency and reduced carbon emissions.
• Equipped the MV fleet with Ballast Water Management System (BWMS) to protect marine ecosystems.
• Used more environmentally friendly fuels, such as HSD35, B35, and Marine Diesel Oil (MDO) in the Company’s fleet to reduce pollutant emissions.

Social Achievements

• Increased the number of beneficiaries in community empowerment programs in operational areas.
• Increased employee inclusion and diversity in the workplace, including training programs and well-being lifestyle.

Governance Achievements

• Implementation of good corporate governance (GCG) best practices.
• Legal compliance and business ethics.
• Transparency in reporting.
• Quality and openness of effective communication.
• Effective risk management.

Climate Goals & Targets

Environmental Challenges

• Commodity price volatility
• Geopolitical escalation
• Adjustments to changes in government regulations
• Fluctuations in fuel and commodity prices
• Disruptions in the global supply chain
• Fleet availability and readiness
• Conflicts in Europe and the Middle East disrupting global shipping and logistics lines

Mitigation Strategies

• Focusing on improving profit margins by designing flexible financial projection strategies
• Maintaining or exceeding 2022 performance
• Taking advantage of the increase in domestic transportation fares
• Strictly controlling operational expenses to increase profitability
• Fleet rejuvenation and divestment of high-cost assets at the right time
• Exploring strategic business opportunities
• Strengthening existing sustainability initiatives
• Strengthening Good Corporate Governance practices
• Continuing digitalization for the efficiency of the Company’s operational costs
• Gradual decarbonization strategy in its fleet by using more environmentally friendly fuels
• Implementing Engine Power Limitation (EPL) on all bulk carriers
• Implementing IMO-compliant Ballast Water Management System (BWMS) on all bulk carriers

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, POJK No. 29/POJK.04/2016, POJK No. 51/POJK.03/2017, SEOJK No.16/SEOJK.04/2021

Certifications: ISO 45001:2018, ISO 9001:2015, ISO 14001:2015

Awards & Recognition

• Best Non-Bank Issuer in the Coal Distribution Sector Category
• Shipping Company of the Year in the 2nd Bisnis Indonesia Logistics Awards 2023
• PT RHB Indonesia Small Cap Jewels 2023