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Transform Faster to Emerge Stronger Brand Book Guidelines & Applications 2020 Sustainability Report 1 2020 Sustainability Report TransformBrand Faster Book to EmergeGuidelines Stronger & Applications Digital Inclusion to Sustainable Development Laporan Keberlanjutan Laporan 2020 TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT PT XL AXIATA TBK 2015 2016 Engaging Communities XL Axiata Tributes to to Evolve Advance Indonesia 2017 2018 2019 Fostering the Embracing Digitalization Dring Growth Digital Nation for Sustainability Delivering Excellence 2020 Sustainability Report 1 Transform Faster to Emerge Stronger Digital Inclusion to Sustainable Development As one of the leading We are aware of the tremendous role entrusted to telecommunication companies XL Axiata to raise up the nation’s welfare and future through the digital world and information technology. in Indonesia, XL Axiata XL Axiata is working to build a prosperous nation provides digital services and society through its commitment to the SDGs that affords society with (Sustainable Development Goals) in the corporate convenience in everyday paradigm of sustainable development. activities and encourages the With this ambition, we seek to generate conducive advancement of Indonesia’s conditions for the profitability of the Company, without digital economy. XL Axiata forgetting to make our contribution towards the recognises its expanding wellbeing of our stakeholders as well as the ability of role in social development, future generations to meet their needs. Our role in developing environmental sustainability, social welfare, understanding that the digital and in strengthening the nation’s economy is actualised world cannot be separated through expanding our role in digital benefit-sharing. from the welfare of the In this, XL Axiata is providing innovative and inclusive nation, especially during digital services, for the future of the Indonesian nation. the pandemic when all activities have shifted towards digitalisation. TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT PT XL AXIATA TBK 2 2020 Sustainability Report Table of Content 1 Explanation of the Theme 46 XL AXIATA NURTURING PEOPLE 4 Sustainability Overview 47 People of XL Axiata 5 Event Highlights 48 Talent Management 12 Awards and Certifications 49 Employee Recruitment and Turnover 16 CEO Reports 50 Labour Rights 20 XL Axiata’s Commitment to Sustainability 53 Equality And Diversity 54 Training Program 22 ABOUT XL AXIATA 57 Performance Review 24 Activities, Brands, Products, and Services 24 Markets served 58 SustaiNability GOVERNANCE 25 Ownership 59 Basic Implementation of GCG 25 Legal Forms 60 Principles of GCG 25 Location of Headquarters 61 GCG Roadmap 26 Location of Operations 61 Governance Structure 28 Scale of the Organisation 61 General Meeting Of Shareholders (GMS) 28 Membership of Associations 62 Sustainability Committee 28 Certification 62 Values of XL Axiata 30 Vision, Purpose, Corporate Culture and 62 Company Business Ethics Strategy 64 Whistleblowing System 32 History of XL Axiata 64 Anti Corruption 36 PREVailiNG OVER THE PANDEMIC 42 XL AXIATA BUILDING PROSPERITY 43 Distribution of Acquisition of Economic Value 44 Over view of Economic Performance 44 Supply Chain 44 Proportion of Expenditure for Local Suppliers PT XL AXIATA TBK TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT 2020 Sustainability Report 3 65 Anti-Corruption Drive Directed at Business 82 XL AXIATA SERVING THE PEOPLE Partners 83 Delivering the Best 65 Digital Transformation 83 Integrated Customer Services 84 Customer Experience & Sevice Operation 66 MAKING ENVIRONMENtal CoNCERNS Center PARAMOUNT 84 Product and Service Information 67 Environmental Policy at XL Axiata 84 Customer Privacy 68 Energy 84 Customer Complaints 69 Emissions 85 Customer Appreciation 69 Water 85 Customer Satisfaction Survey 70 XL AXIATA TRANSFORMING SOCIETY 86 ABOUT THE REPORT 71 XL AXIATA Peduli 87 Report Information 71 XL BERBAGI 87 Determination of Content and Boundaries 73 Laut Nusantara 89 Statement GRI Standards in Accordance 74 SISTERNET Check 77 Quota Donation Movement (GDK) 90 SDGs Links in GRI Standard 79 XL Future Leaders (XLFL) 96 GRI Standards Index-Core Option 81 Support from XL for the Community 100 POJK Index No.51/OJK.03/2017 81 USO (Universal Sevice Obligation) 101 Feedback Sheet TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT PT XL AXIATA TBK 4 2020 Sustainability Report Sustainability Overview Economy [OJK B.1] Net Revenue Total BTS 2020 2020 Rp26,018 144,000 billion unit 2019: 25,150 2019: 130,217 unit Total Total Data Traffic Customer (data production) 2020 2020 Rp57.89 4,869 million petabyte 2019: 56.7 million 2019: 3,319.9 petabyte Environment [OJK B.2] 2,944,127 131.2 605 638,852 gigajoule Gigajoule/petabyte Ton CO eq tCO2e /petabyte 2 Energy Emissions Energy Emission consumption intensity intensity 2019: 600,058 Ton CO eq 2019: 2.790.675 gigajoule 2019: 841 Gigajoule/ 2 2019: 180,7 tCO2e /petabyte petabyte Social [OJK B.3] Description 2020 2019 Total employees 1,614 1,606 people Average hours of training 25.30 jam 28.65 hour Expenditures for the community 171.9 billion 13 billion Total number of women empowered 31,000 6,650 people Total of young leaders built through Future Leaders 1,310 people 1,000 people Total elearn.id trainings conducted 39,791 people 38,000 people Total students received XL Berbagi program training 131,200 people 1,200 people Total router/modem donated 1,589 routers 1,149 routers Total quotas donated 370,97 terabyte 271,97 terabyte Total number of fishermen getting the benefits of the Laut 50,000 people 25,000 people Nusantara application PT XL AXIATA TBK TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT 2020 Sustainability Report 5 Event Highlights January 05 09 XL Axiata through its corporate XL Axiata once again appreciated its loyal subscribers through the 11th social responsibility (CSR) program “XTRAVAGANZA & FANTAXIS” loyalty program. The program, which lasted initiated SMS Donation service for 90 days from 26 July 2019 to 23 October 2019 offered a total of Rp775 (Xmart Donasi) and encouraged all million of prizes. To select the winners, the prizes and a grand prize were subscribers to donate and help the drawn, witnessed by representatives from the Ministry of Social Affairs, victims of the flash floods in Lebak Social Services of DKI Jakarta, a notary, and the police on Thursday, 14 and Bogor districts who needed November 14 in Jakarta. XL Axiata Chief Marketing Officer David Arcelus help to meet their daily needs Oses presented the prize in person to the winners in Jakarta, on Thursday while staying at temporary (9/1). shelters. 16 31 XL Axiata was strongly committed to support the XL Axiata was determined to provide government in accelerating and making development benefits excellent services across all service equitable to the frontier, outermost, and underdeveloped areas, including in West Java, Central areas (3T) in Sumatra. Under USO (Universal Service Java, and Yogyakarta. The rapid Obligation) scheme, XL Axiata established the presence of increase in data traffic and the its 4G network in Bandar Dalam Village, Bengkunat Belimbing market development in these three District, Pesisir Barat Regency, Lampung. Pesisir Barat Regent, areas have encouraged XL Axiata to Dr. Drs. Agus Istiqlal, S.H, M.H, and Head of Communications prepare various strategic plans to meet Division of Pesisir Barat Government, Elvin Yolanda, S.IP MM customers’ expectations. The plan is attended the inauguration ceremony of BTS USO that took included the continued expansion of 4G place on Tuesday (14/1). data network, network fiberization, and launch of products tailored to customer needs. February 11 21 XL Axiata announced the winner of XL Axiata prepared its the tender for the sale of 2,782 towers telecommunication and data and the lease back of XL Axiata’s land networks to support the “15th where some of the towers are located Haul Guru Sekumpul” on 1 March for a total of Rp4,050,255,163,200. Two 2020 in Martapura, South winners were announced, namely PT Kalimantan. The annual agenda Profesional Telekomunikasi Indonesia usually attracts hundreds of (Protelindo) and PT Centratama Menara thousands to a million participants Indonesia (CMI). Following an in South Kalimantan and as a sign e-auction on 31 January 2020, the of support XL Axiata increased signing of the sale and purchase its network capacity around the agreement for this transaction event area. took place on Friday, 7 February 2020. Protelindo won the acquisition bid for 1,728 towers and CMI won acquisition bid tender for 1,054 towers. TRANSFORM FASTER TO EMERGE STRONGER DIGITAL INCLUSION TO SUSTAINABLE DEVELOPMENT PT XL AXIATA TBK 6 2020 Sustainability Report March 02 16 17 XL Axiata held a digital competition XL Axiata was ready to XL Axiata launched a program, “DigiRace 2020” in different areas anticipate the potential free 2GB quota per day or free outside Java simultaneously, namely increase in service traffic 60GB quota per month, and free Pekanbaru (Riau), Pontianak (West following work and calls to COVID-19 112, 117, and 119 Kalimantan), and Manado (North learning activities from call centres, to support people at Sulawesi). In Java, the competition was home to prevent Covid-19 home during the pandemic. This held in Bogor and Cimahi, West Java. transmission. XL Axiata program is part of XL Axiata’s Participated by social media activists,
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