Sustainability Report 2019.Pdf
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Sustainability Report 2019 PT Perusahaan Gas Negara Tbk Remarks Maintain Sustainability Economy Maintaining the National OPEN T OPEN Environment Maintain Sustainable the Country Maintaining O SUSTAINABILITY REPORT2019 SUSTAINABILITY Prosperity of ASU N PG PT Employees P Quality of Maintaining the erusahaan Gas S TAINABLE W TAINABLE and Safety Maintaining N Occupational Health egara T Safety bk Maintaining the Customer Health and O overnance G RLD Sustainability Report 1 About the 2 PT Perusahaan Gas Negara Tbk Sustainability Report 2019 OPEN TO A SUSTAINABLE WORLD After 55 years of experience in delivering clean and affordable energy, PGN continues to build a strong reputation as a company that embraces and works toward sustainability. In addition, we pursue growth by building on infrastructure, especially after we received the trust to serve as Pertamina’s Gas Subholding in 2019. For the purpose of sustainability, we invest time and effort in building successful partnership with customer, suppliers, as well as communities in Indonesia and abroad. We are dedicated to open to a sustainable world, record business-scale growth, and support improved environmental quality through development of the natural gas and energy business for all stakeholders. Sustainability Report 2019 PT Perusahaan Gas Negara Tbk 1 TABLE OF CONTENTS Remarks 2 SUSTAINABILITY OVERVIEW 104 MAINTAINING OCCUPATIONAL HEALTH AND 2 GCG Skor 07 SAFETY 2 Ekonomc 107 Occupational Health and Safety Policy and 3 Social Program 4 Environment 108 OHS In Collective Labour Agreement Maintain 108 OHS In PGN Management System Sustainability 6 REMARKS 112 Occupational Safety Road Map Implementation 01 8 Remarks from the President Commisioner 113 Occupational Health Road Map Implementation 12 Remarks from the President Director 113 OHS Program 115 OHS Performance 2019 18 MAINTAIN SUSTAINABILITY 121 OHS Awards 02 21 About PGN Economy Maintaining 22 Location of Operations 122 MAINTAINING THE CUSTOMER SAFETY AND the National 24 Scale of The Organisation 08 HEALTH 24 Business Line 125 Quality Assurance 26 Main Business Unit 125 Product Information 28 Customer 125 Priority for Customer Safety 29 Market Share 126 Delivering Quality According to Regulation and 30 Vission Mission Standards 32 Corporate Culture 126 Providing Service at Its Best Environment 34 5 Cultural Values and 10 Main Behaviours of 127 Customer Interaction PGN Group Personnel 128 Assuring Customer Satisfaction 38 Information of Subsidiaries and Affiliated 128 Customer Card Maintain Sustainable Companies 128 Latest Technology 40 The Company’s Brief History 128 Network Expansion 42 The Company’s Milestone 130 SUSTAINABILITY GOVERNANCE 44 MAINTAINING THE NATIONAL ECONOMY 09 133 Basic Implementation of GGC the Country Maintaining 03 47 PGN’s Contribution to The National Economy 134 Objectives of Gcg Implementation Prosperity of 48 Contribution to The State 134 Governance Structure 48 Contributions to Regions 142 Identifying and Managing Economic, N 50 Supply Chain Environmental, And Social Impacts PG 52 Key Impacts, Risks, and Opportunities 142 Review of Economic, Environmental, And Social 53 Risk Management Topics Employees 55 Financial Implications and Other Risks and 142 Risk Management Quality of Opportunities Due to Climate Change 148 Precautionary Principle or Approach Maintaining the 150 Ethics and Integrity 04 56 MAINTAIN SUSTAINABLE ENVIRONMENT 152 International Initiatives and Membership of 59 Environmental Program Policy Associations 60 Environmental Management System 153 Stakeholders Involvement 60 Environmental Management and Monitoring 154 Critical Concerns and Safety 61 Capacity Building in The Environmental Field 156 Remuneration Policies Maintaining 61 Material 162 Important Events 63 Water 168 Awards and Certifications 64 Energyy Occupational Health 66 Emission 176 ABOUT THE REPORT 69 Waste 10 179 Period, Scope, And Report Cycle 71 Environmental Program 179 External Assurance 179 Defining Report Content and Topic Boundaries Safety 74 MAINTAINING PROSPERITY OF THE 180 Determining Materiality Level 05 COUNTRY 181 Material Topics List 77 CSR Policy and Support in Achieving Sdgs 181 Personal Contact Maintaining the 81 PGN Share 82 Partnership Program 182 ASSURANCE STATEMENT Customer Health and 82 Community Development Program 184 STATEMENT GRI IN ACCORDANCE CHECK 87 Cost Are Expended for Activities 185 LINKING THE SDGS AND GRI STANDARDS 197 GRI STANDARDS COMPREHENSIVE OPTION 88 MAINTAINING THE QUALITY OF PGN 06 EMPLOYEES overnance 91 Strategy and Policy Development Of PGN’s G Employees Sustainability 91 Profile of Pgn’s Employees 95 Welfare of PGN’s People 96 Developing Diversity and Equality 98 Fulfilling Human Rights of Employees Report 99 Development of PGN’s Employees About the 103 Retirement Welfare Program 2 PT Perusahaan Gas Negara Tbk Sustainability Report 2019 SUSTAINABILITY OVERVIEW GCG SCORE 2018 2019 94.68 95.09 ECONOMY ECONOMIC VALUE ECONOMIC VALUE REWARD FOR GENERATED DISTRIBUTED WORKERS (USD MILLION) (USD MILLION) (USD MILLION) 5.000 5.000 200 4.000 4.000 150 3.000 3.000 100 4,010.19 3,945.96 3,993.65 2.000 2.000 145.02 3,858.75 139.93 50 1.000 1.000 0 0 0 2018 2019 2018 2019 2018 2019 EXPENDITURES TO TAX GOVERNMENT PAYMENT (USD MILLION) (USD MILLION) 500 500 400 400 300 300 417.62 410.80 403.73 200 200 395.39 100 100 0 0 2018 2019 2018 2019 Sustainability Report 2019 PT Perusahaan Gas Negara Tbk 3 Remarks SOCIAL Maintain CSR AND COMMUNITY CUSTOMER SATISFACTION Sustainability DEVELOPMENT FUNDS INDEX (USD MILLION) 2018 2018 Economy Maintaining 6.89 5.43 the National $ 2019 2019 6.28 5.44 Environment Maintain Sustainable NUMBER OF WORKERS SAFE MAN HOURS the Country Maintaining Prosperity of N PG 2018 2018 1,290 Employees 94,407,387 Quality of Maintaining the 2019 2019 1,375 104,672,458 and Safety Maintaining Occupational Health Safety Maintaining the Customer Health and overnance G Sustainability Report About the 4 PT Perusahaan Gas Negara Tbk Sustainability Report 2019 ENVIRONMENT AccuMULATION OF WATER CONSUMPTION (m3) TRANSMISSION AND DISTRIBUTION PIPE LENGTH (KM) 2018 111,844 2018 9,915.87 2019 125,160 2019 10,168.97 ENERGY CONSUMPTION ENERGY INTENSITY (GIGAJOULES) (GJ/MMSCFD) 2018 2018 693,943 479.94 2019 2019 831,999 564.30 Sustainability Report 2019 PT Perusahaan Gas Negara Tbk 5 Remarks GHG EMISSIONS GHG EMISSIONS Maintain SCOPE 1 (TON CO EQ) SCOPE 2 (TON CO EQ) 2 2 Sustainability CO2 2018 CO2 2018 68,593.06 Economy Maintaining 13,319.93 the National 2019 62,766.36 2019 13,086.05 Environment Maintain Sustainable GHG EMISSIONS GHG EMISSION INTENSITY SCOPE 3 (TON CO2 EQ) (TON CO2 EQ/MMSCFD) the Country Maintaining Prosperity of 2018 2018 N CO2 CO PG 2 699.64 57.14 Employees 2019 2019 Quality of 672.26 51.90 Maintaining the and Safety Maintaining Occupational Health PLANTING OF TREES Safety 2018 Maintaining the 30,000 Customer Health and 2019 70,035 overnance G Sustainability Report About the 6 PT Perusahaan Gas Negara Tbk Sustainability Report 2019 01 REMARKS Despite the fact of confronting numerous hindrances, PGN’s developmen, however, shows a consistent progress in the last five years. Not only does PGN create economic value, but also creates good value for the environment and community development. Sustainability Report 2019 PT Perusahaan Gas Negara Tbk Remarks Maintain Sustainability Economy Maintaining the National Environment Maintain Sustainable the Country Maintaining Prosperity of N PG Employees Quality of Maintaining the and Safety Maintaining Occupational Health Safety Maintaining the Customer Health and overnance G Sustainability Report 7 About the 8 PT Perusahaan Gas Negara Tbk Sustainability Report 2019 REMARKS FROM THE PRESIDENT COMMISSIONER [GRI 102-14] PGN will take the lead position in the acceleration and transformation of energy from oil to natural gas, to provide affordable, safe, and clean energy. Sustainability Report 2019 PT Perusahaan Gas Negara Tbk 9 Remarks Dear Valued Stakeholders, Maintain It is an honour for us to be able to deliver the performance from managing the gas supply, carrying out transmission, Sustainability of PGN during 2019. We believe that the achievements storage, regasification activities, and distributing natural and performance was the result of the hard work of gas to customers. all directors & employees, with the full support of all stakeholders. Therefore, may we thank you for your To that end, PGN focuses on building infrastructure Economy Maintaining the National sustainable support for PGN. to open regional access and to emerge new economic centres. With the support of this on-going infrastructure PGN recognizes that the growth of the Company is push, PGN hopes to become a world-class energy inseparable from the thriving economic, environmental, company, capable of efficiently fulfilling domestic Environment and social elements in Indonesia. On that account, we energy needs. exert our very best endeavours to build the Company Maintain Sustainable in tune with the principles of sustainability. We Not only is PGN concerned with profitability growth, but appreciate the Board of Directors who acknowledged PGN also cares about the environment. Our concern is the significance of sustainability and have for 11 years mainly expressed by our commitment to meeting the the Country Maintaining consistently presented a sustainability report. This attests needs of clean energy for transportation. Thus, emission Prosperity of the commitment of PGN towards sustainability issues and reductions can be maximally pursued and improvement N the