(Persero) Driving Occupational Health and Safe

Driving Environmental Sharing People Driving Occupational Health About Sustainability with Nation PT Angkasa Pura I (Persero) and Safety This Report

PT ANGKASA PURA 1 (PERSERO) 2019 Sustainability Report 1 Report of the Overview of About PT Angkasa Pura I Spurring Economic Driving Governance Board of Directors Sustainability PT Angkasa Pura I (Persero) (Persero) & Sustainability Growth Sustainability Table of Contents

THEME DEFINITION 1 Precautionary Principle or Approach 103 Community Relocation 103 Report of the Board of Directors 2 Environmental Certification 105 Environmental Activities 106 Overview of Sustainability 6 MoU with WWF 107 Financing the Environment 107 ABOUT PT Angkasa Pura I (Persero) 8 Name of the Organization 10 SHARING WITH NATION 108 Business Line 11 Vision and Mission 110 Scale of the Organization 15 Partnership Program 111 Milestones of PT Angkasa Pura I (Persero) 16 Soft Loans 111 Coaching Grants 112 PT ANGKASA PURA I (PERSERO) AND Community Development Program 114 SUSTAINABILITY 18 Fostered Village Program 116 Awards and Certifications 22 Tourism Infrastructure Development 117 Significant Events 44 Other CSR Assistances 118 Fund and Awards 119 Spurring ECONOMIC GROWTH 46 Economic Values 49 People PT Angkasa Pura I (Persero) 120 Passenger 50 Human Capital Policy 122 Flight 54 Human Capital Management Strategy 122 Cargo 55 Framework Supply 58 Composition of Employees 124 Customer Service 58 Employee Recruitment and Turnover 125 Airport Facilities 60 Equality and Diversity 128 Customer Experience 66 Employee Remuneration 129 Measurement of Customer Satisfaction 68 Pre-Retirement Training 130 Objective of Program 68 Retention After Maternity Leave 131 Scope and Implementation of Program 69 Collective Labor Agreement 131 Airport Service Quality 70 Employee Development 132 Product Marketing and Information 73 Performance Assessment 135 Compliance with Regulations 73 DRIVING OCCUPATONAL HEALTH AND SAFETY 136 DRIVING Governance Sustainability 74 Safety, Security, and Comfort 138 Motto 76 OHS Policies 139 Vision & Mission 76 OHS Management Structure 140 Values 77 OHS Program 141 Governance Structure 78 OHS Joint Committee 144 GCG Initiatives 82 Health and Safety Topics in Formal Agreements 145 Code of Conducts 82 Occupational Safety 145 Whistleblowing System 83 Occupational Diseases 147 Anti-Corruption and Anti-Gratification 84 Safety Management System 147 Gratification Control 88 Safety and Security of Customers 150 Roadmap of Company’s Transformation 89 OHS Socialization and Practice 151 Wildlife Strikes 151 Driving Environmental Sustainability 90 Energy Consumption 94 About the Report 152 Reduction Initiatives in the Energy Use 95 Boundary and Material Aspect Identification 154 Emission 95 Stakeholders 157 GHG Emission Mitigation Program 96 Water 96 Statement GRI Standards Waste 97 in Accordance Check 159 Air Quality 99 Independent Assurance Statement 160 Noise 100 SDGs Link in the GRI Standard 162 Storm Water Quality 102 Index GRI Standards Option - Core 169

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Toward A Sustainable Airport Operator

Customer and passenger satisfaction is our main goal, without neglecting the principles of sustainability that prioritizes environmental sustainability and concern for the community, while increasing company profitability. During 2019, we managed 14 airports serving flights to numerous routes, both domestic and international routes. Various technological advancements and improved service quality have led PT Angkasa Pura I (Persero) to become one of the largest airport management companies in Asia. Our commitment to sustainability is demonstrated by our endeavours to build a green airport that is environmentally friendly and convenient for service users.

Throughout 2019, PT Angkasa Pura I (Persero) has served 81,532,700 million passengers, 707,202 air traffic, and 427,135,421 kg of cargo. Our Long-Term Company Plan (RJPP) will enhance the performance of PT Angkasa Pura I (Persero) to become an airport service provider that meets the international standards and prioritizes service optimization. This includes a strategic plan in the area of sustainability, making PT Angkasa Pura I (Persero) a Company that cares about the environment and social while continuing to increase profitability economically.

We believe that our attempts to support the achievement of the Sustainable Development Goals will not only strengthen our business and portfolio, but will also make the services of PT Angkasa Pura I (Persero) accessible to future generations. “Toward Sustainable Airport Operators” becomes our commitment in developing PT Angkasa Pura I (Persero).

Report of the Board of Directors 01 [GRI 102-14]

We are committed to implementing the principles of an eco-airport and the principles of sustainable enterprise “ in the operation and advancement of the airports managed by PT Angkasa Pura I (Persero). ”

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The Honorable the stakeholders, quality, but also seeks to create an atmosphere of Indonesian hospitality within the airport All praise and thanks be to God Almighty by His environment. blessings PT Angkasa Pura I (Persero) could go through 2019 with a very good performance. In this report, we would like to demonstrate our economic, ECONOMIC PERFORMANCE social, and environmental performances. The In 2019, we recorded operating income of principles of sustainability are our guideline in Rp8.63 trillion or up 1.3% compared to operating operating the Company and in striving to reach our income in the previous year that was Rp8.52 trillion. long-term plans. Meanwhile operating expenses increased by 5.39% compared to the previous year where in 2018 We are aware that the development and operating expenses were recorded in the amount management of airport conducted by PT Angkasa of Rp5.5 trillion, while in 2019 the amount increased Pura I (Persero) must bring social benefits as well to Rp5.9 trillion. Value of Profit Business 2019 as environmental benefits for the community was recorded at Rp2.725 trillion or decreased by around the airport. Therefore, to anticipate long- Rp191.63 billion compared to 2018 of Rp2.916 trillion. term environmental impact, we are committed The diminution was triggered by assorted factors, to applying eco-airport principles and sustainable one of which was the decrease in the number of corporate principles in the operation and passenger due to the increase in plane ticket prices. development of airports managed by PT Angkasa Pura I (Persero). Our commitment is to evolve the Company into a “Sustainable Airport Operator”. ENVIRONMENTAL PERFORMANCE The environmental issues are currently a concern Throughout 2019, we managed 14 airports, of the business world, as business continuity connecting cities in Indonesia and abroad. The depends on environmental sustainability. For facilities at the airport and the commitment the aviation service industry, weather changes to provide excellent services have led us to the may affect flights and eventually affect our achievement of awards both at national and productivity. To that end, PT Angkasa Pura I international levels. These achievements proved (Persero) implemented environmentally friendly that PT Angkasa Pura I (Persero) has become one operational practices to realize the eco-green of the best airport management company in Asia. airport at all our airports.

We continue to expand our business throughout PT Angkasa Pura I (Persero) was applying the Indonesia by managing new airports, such as international standard ISO 14001: 2014/SNI 19-14001: Yogyakarta International Airport in Kulon Progo. 2005 concerning Environmental Management This development was accompanied by an increase Systems at airports managed by the Company. in quality. Thus, PT Angkasa Pura I (Persero) is an The company continues to strive to obtain airport service provider that does not only prioritize environmental certification, our airports have technology and international standard service

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obtained airport carbon accreditation and green During 2019, the amount of funds distributed building certificates. Further, we adhere to the 3R to the progress of our fostered partners was principle (Reduce, Reuse, Recycle) to reduce waste. Rp1,852,959,233. The funds and assistance that we provide have been proven to increase the income Our commitment towards the environment is the of our partners. We also promote various local reduction of GHG emissions by 820 Tons of CO2 tourism destinations through the development eq. We planted trees since 2000 and we now have of homestays, construction of public toilets, planted more than 20,000 trees. and other tourism facilities. The total amount of funds distributed to the community in 2019 was Rp39,656,183,607, which increased by 12.41% SOCIAL PERFORMANCE compared to the previous year. In the social performance, our vision is to implement the Partnership and Community We believe that these remarkable results can be Development Program (PKBL) program that is able achieved due to the hard work and the dedication to encourage the growth of small businesses into of all managers and employees of PT Angkasa Pura stable and independent businesses and promote I (Persero), and the support of all stakeholders. the community welfare. In addition, we provide We believe that with your cooperation and education, develop public facilities, and provide support, PT Angkasa Pura I (Persero) will continue other social assistance. These community programs to develop to be the best company. We would like are our commitment to efforts for sustainability of to thank you for your support and hard work. We and improvement of community welfare. are going to give the best to this nation together.

On behalf of the Board of Directors of PT Angkasa Pura I (Persero)

Faik Fahmi President Director

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Overview of 02 Sustainability

Revenue Current Year Earnings 2018 2018 Rp8.5 trillion Rp2 trillion Economic 1.30% -27.60%

2019 to 2019 to Rp8.6 trillion Rp1.4 trillion

Payment of Tax Payment of Dividends Passengers Served (persons) 2018 2018 2018 Rp2,409,181,696 Rp283,716,000 96,652,313

23,16% 62.70% -15.64%

2019 to 2019 to 2019 to Rp2,967,071,993 Rp461,614,212 81,532,700

Flights Handled Total Cargo (kg) 2018 2018 792,672 457,749,380

-10.80% -6.69%

2019 to 2019 to 707,202 427,135,421

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Energy Usage Water Usage 2018 2018 713,122 4,915,970 Environment 0.1% -0.8%

2019 to 2019 to 714,014 4,874,880

Environmental Preservation Emission Fund 2018 2018 217,603 Rp2.7 billion 107% -0.4%

2019 to 2019 to Rp5.6 billion 216,783

Number of Employees Training Hours (Employees ) (Hours ) 2018 2018 3.374 282,734 SOcIAL -0.6% -30%

2019 to 2019 to 3,355 197,066

Work Accident Rate (hours) CSR/PKBL Fund 2018 2018 13,734,984 Rp71,146,089,377

-16.80% 10.79%

2019 to 2019 to 11,428,017 Rp78,820,696,692

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About PT Angkasa 03 Pura I (Persero)

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Our goal is to encourage the national economy through airport services while developing ourselves into a “sustainable “ airport operator” that cares about the environment, and offers excellence, safety and comfort. ”

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Name of the ORGANIZATION [GRI 102-1] PT Angkasa Pura I (Persero)

Company Brand

The words ‘Angkasa Pura’ appears fresher next to the word ‘airport’ to emphasize the Company’s business. The green color symbolizes down-to-earth businesses, rooted, growing, and sustainable. While the blue color symbolizes the sky. Both colors are combined in harmony to give a message about high ideals, followed by the synergy between concept and work that is down-to-earth, rooted, growing and sustainable.

The symbol and the element of “give and take” imparts that: an acquisition is a The two-element symbol that is “inter-locking” logical consequence and gives: which is the reflects the safety and security concept which basic principle of the glory of service and has been the most vital cause in professionalism in togetherness Airport Business. “together stronger”.

The symbol also implies “smile” denoting Applying the ideogram with such an the hospitality of the humane service that aerodynamic angle reflects the determination has been the Company’s forte to showcase and spirit of transformation pursued for the its proud. progress of the Company.

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Business Activities According to the Articles of Association

According to article 3 of the Company’s Articles of Pura implement and support government policies Association, the foremost activity of the Company and programs in economic development while is to administer the airport business, airport- encouraging profit making activities within the related services, and other businesses that have a airport service business in the broadest sense, as connection with the aforementioned business lines well as promoting other businesses related to the under the principles of a Limited Liability Company. company business. The objectives and business activities of Angkasa

Business Line [GRI 102-2] 1. Airport Services 2. Airport RelatedServices

Business Activities Based on the Non- Operated Articles of Association Operated Non-Ats Aeronautics (Airport) 1. Procuring, undertaking, and developing the facilities for aircraft √ landing, take-off, parking, and hangar. 2. Procuring Check-in Counter, Aviobridge, Baggage Handling System √ (BHS)/Hold Baggage Screening (HBS) facilities. 3. Procuring, undertaking, and developing the terminal facilities for √ transporting passengers, cargoes, and posts. Non-Aeronautics (Non-Airport) 1. Providing land for buildings, warehouse and industry and other √ buildings relating to the smooth operation of air transportation. 2. Procuring, undertaking and developing the electronic, electric, and √ water facilities, and the installation of the facilities for waste disposal. 3. Providing the consultation, education and training services in √ connection with airport operations. 4. Performing other businesses to achieve the Company’s goals. √

The Company may also incorporate/manage other companies relating to the business above individually or jointly with other entities insofar this does not conflict with prevailing legislation and is in accordance with the provisions of the Articles of Association.

Based on Government Regulation No. 77 of 2012 concerning Public Company of Service Provider Agency of Indonesian Flight Navigation (LPPNPI), the Flight Services are not managed by PT Angkasa Pura I (Persero) since January 16, 2013, at 22:00 WIB (based on Memorandum of Understanding number HK.201/1/10/DRJU- 2013; KEP.15/OM.02.03/2013; MOU.04.07.01/00/02/2013/001; 032/DU/II/2013 dated on February 12, 2013).

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Products [GRI 102-2]

PT Angkasa Pura I (Persero) service products can 2. PJP2U (Aircraft Passenger Services) described as follows: Aircraft Passenger Services are services 1. PJP4U (Provision of Aircraft Landing, afforded to each passenger at the airport Parking, and Hangar Services) departure or arrival terminal operated by The Aircraft Landing Service is a landing PT Angkasa Pura I (Persero). service rendered to aircraft landing at the 3. Aviobridge airport. The Parking Service is a service Aviobridge Utilization Service is a service provided for aircraft placement in an open of utilizing aviobridge provided to any air place at the airport. The Hangar Service is a transport business entity/air transport service provided to aircraft in the hangar. company/aircraft operator in the passenger departure and arrival gate areas.

1 9 Location of 11 3 [GRI 102-3] 15 Head Office 10 2 Kota Baru Bandar Kemayoran Blok B 12 Kav. 2 12 Jakarta, 10610 Tel : 62-21 6541961 Fax : 62-21 6541513, 6541514 Email : [email protected] Website : www.ap1.co.id

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4. Check-In Counter operators in connection with the use of Check-in Utilization Services are provided the Hold Baggage Screening facility are a to air transport companies and aircraft baggage inspection system with an x-ray operators in connection with the utilization machine integrated directly with BHS to of airport facilities. automatically find out the status of baggage 5. Baggage Handling System (BHS)/Hold security to be distributed according to Baggage Screening (HBS) the results of the inspection, sorting, and These services are provided to air transport baggage destination to be transported to an Company and aircraft operators in aircraft for departing passengers. connection with the use of the Baggage 6. Concession for Airport Facility Utilization Handling System facility, which is a conveyor Services system to transport passenger baggage Concession is a service provided as rights after the inspection and check-in process of a third party to utilize airport facilities for departing passengers, from where the related to business activities performed at baggage is then carried to the baggage the airport. The concession is required on the make up area to be transported to the Companies operating in airports, such as the aircraft, and vice versa for arrival passengers, Aircraft Cargo Expedition (EMPU), Regulated the baggage are brought to the baggage Agent (RA), Ground Handling, and In-flight claim area. While the services provided to Catering. air transportation companies or aircraft

1. Head Office 2. 1 Gusti Ngurah Rai International Airport - Bali 3. Juanda International Airport - Surabaya 7 4. Sultan Hasanuddin International Airport - Makassar 5. Sultan Aji Muhammad Sulaiman Sepinggan International Airport - 6 Balikpapan 6. Frans Kaisiepo International Airport - Biak 7. Sam Ratulangi International 13 Airport - Manado 8. Syamsudin Noor International Airport - Banjarmasin 9. Jenderal Ahmad Yani International Airport - Semarang 10. Adisutjipto International Airport - Yogyakarta 11. Adi Soemarmo International Airport - Solo 12. Lombok International Airport - Central Lombok 13. Pattimura International Airport - Ambon 14 14. El Tari International Airport - Kupang 15. Yogyakarta International Airport - Kulon Progo

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Location of Operation [GRI 102-4]

1. I Gusti Ngurah Rai Airport, Bali 2. Juanda Airport, Surabaya 3. Sultan hasanuudin Airport, Makassar 4. Sultan Aji Muhammad Sulaiman Sepinggan Airport, Balikpapan 5. Frans Kaisiepo Airport, Biak 6. Lombok International Airport, Lombok 7. Sam Ratulangi Airport, Manado 11. Pattimura Airport, Ambon 8. Syamsudin Noor Airport, Banjarmasin 12. Adi Soemarmo Airport, Solo 9. Jenderal Ahmad Yani Airport, Semarang 13. Yogyakarta International Airport, Kulon Progo 10. El Tari Airport, Kupang 14. Adisutjipto International Airport, Yogyakarta

Subsidiary Location of Project Office

1. PT Angkasa Pura Hotel 1. Construction Project of Yogyakarta 2. PT Angkasa Pura Logistik International Airport - Yogyakarta 3. PT Angkasa Pura Properti 2. Development Project of Jenderal Ahmad Yani 4. PT Angkasa Pura Retail Airport - Semarang 5. PT Angkasa Pura Suport 3. Development Project of Syamsudin Noor Airport - Banjarmasin 4. Project of Sultan Hasanuddin Airport - Makassar

There are 14 airports and 4 subsidiaries, as well as 4 projects spreading across Indonesia.

Ownership and Legal Form [GRI 102-5]

Ownership : 100% owned by Republic of Indonesia Legal form : State-Owned Enterprise Date of Establishment : November 15, 1962 Legal Basis of Establishment : Government Regulation No. 5 of 1992 Bond Code : APAI

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Markets served [GRI 102-6]

PT Angkasa Pura I serves both domestic and international passengers at multiple airports throughout Indonesia.

Scale of the Organization [GRI 102-7]

Description 2019 2018 2017

Number of Employees (people) 8,856 8,459 8,728 Number of Airports 14 13 13 Net Income (in thousand Rupiah) 8,957,129,204 8,909,140,747 7,496,364,707 Equity (in thousand Rupiah) 15,980,507,847 15,052,224,669 13,401,461,042 Liabilities (in thousand Rupiah) 26,806,043,252 16,556,690,952 11,331,179,736 Number of destinations served 164 169 157 Number of airlines served 51 55 51 Total airports size 699,554 665,999 576,346 Length of runway (total 14 airports) 37,680 35,430 38,050

Membership of External Associations [GRI 102-13] Initiatives [GRI 102-12]

1. Airport Council International We are committed to performing best practice by adopting (Member) international certifications, such as: 2. Indonesian National Air 1. ISO 14001:2015 concerning Environmental Management Carrier Association (Member) Systems 3. Chamber of Commerce and 2. ISO 9001: 2015 concerning Quality Management System Industry (Member) 3. OHSAS 18001:2007 concerning work safety 4. Airport Carbon Accreditation (ACA) 5. Airport Excellence (APEX) in Safety and Security

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MILESTONES of PT Angkasa Pura I (Persero)

1965 1962

17 May 1965 15 November 1962 1964 Based on the Government The Indonesian Government Regulation No. 21 of 1965 issues Government 20 February 1964 concerning Amendment Regulation (GR) No. 33 of 1962 The date February 20, 1964 and Addendum to Government concerning Establishment was then determined as the Regulation No. 33 of 1962, PN of Perusahaan Negara (PN) date of establishment of the Angkasa Pura Kemayoran Angkasa Pura Kemayoran, Company, PN Angkasa Pura changes its name to Perusahaan its main task was to manage Kemayoran officially took over the Negara (PN) Angkasa Pura with a Kemayoran Airport in Jakarta, whole assets and operations of view to opening up opportunities which was the first and Kemayoran International Airport to manage other airports in only international airport in in Jakarta from the Ministry Indonesia. Indonesia. of Air Transportation of the Republic of Indonesia.

2013

2015 2 January 2013 2014 Phase I Implementation of the Enterprise Resource Planning 18 May 2015 (ERP) Project. Groundbreaking of 14 February 2014 Syamsudin Noor Airport, Operation of the Terminal 2 in Juanda 4 January 2013 Banjarmasin. International Airport, Surabaya. Establishment of Strategic Business Unit (SBU) 17 August 2015 22 March 2014 Commercial in Ngurah Rai Operation of the Terminal Operation of the new terminal in Sepinggan in accordance with Board of B in Adi Sutjipto Airport, International Airport, Balikpapan. Directors Decree No. KEP.02/ Yogyakarta. OM.01.01/2013. 17 June 2014 13 December 2015 Groundbreaking for development of Ahmad 6 January 2013 Operation of the Special Yani International Airport, Semarang. Transfer of navigation-related Terminal for Umrah management duties to the Pilgrims in Juanda 15 September 2014 Public Company Providing Airport, Surabaya. Inauguration of Sultan Aji Muhammad Air Navigation Services in Sulaiman Sepinggan International Airport, Indonesia (Perum-LPPNPI) Balikpapan and Terminal 2 Juanda based on the Government International Airport, Surabaya by the Regulation No. 77 of 2012. President of the Republic of Indonesia.

7 April 2013 17 September 2014 Re-operation of Selaparang Operation of the new domestic terminal in I Airport for aviation school. Gusti Ngurah Rai International Airport, Bali.

12 September 2013 19 December 2014 Operations of the new Inauguration of I Gusti Ngurah Rai international terminal in I International Airport Denpasar, Bali by the Gusti Ngurah Rai International Minister of Transportation of the Republic of Airport Denpasar, Bali. Indonesia.

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1992 1974 1986

19 May 1986 4 February 1992 24 October 1974 Perum Angkasa Pura changed its Based on the Government Based on the Government name to Perum Angkasa Pura I, Regulation No. 5 of 1992, Regulation No. 37 of 1974, which happened simultaneously the Company’s status as a the legal entity status of with the establishment of “Perusahaan Umum (Perum)” the Company was changed to a Perum Angkasa Pura II. Perum (public company) was changed Public Company (Perum). Angkasa Pura I is in charge of to “Perusahaan Terbatas (PT)” the management of airports in (Limited Liability Company) Eastern Indonesia, while Perum whose all shares are owned by Angkasa Pura II is in charge of the the Republic of Indonesia management of airports in 2012 Western Indonesia.

6 January 2012 2008 Establishment of Angkasa Pura Hotels, Angkasa Pura Property, 2011 22 September 2008 and Angkasa Pura Logistics as Inauguration of Sultan subsidiaries of PT Angkasa Pura I 20 October 2011 Hasanuddin Airport by the (Persero). Inauguration of Lombok President of the International Airport (BIL) by Republic of Indonesia. 9 February 2012 the President of the Republic of Establishment of the subsidiary of Indonesia. Angkasa Pura Supports.

1 December 2011 20 February 2012 Groundbreaking of Terminal 2 (T2) PT Angkasa Pura I (Persero) 2019 development project at Juanda launched its corporate identity Airport, Surabaya. through vision, mission, values, 6 May 2019 hymn, and uniforms . Yogyakarta International 30 December 2011 Airport in Kulon Progo PT Angkasa Pura I (Persero) commenced operations. officially launched its new logo as a corporate identity. 18 December 2019 Inauguration of new Terminal 2016 in Banjarmasin Syamsuddin Noor Airport by the President 23 November 2016 of the Republic of Indonesia. Issuance of PT Angkasa Pura I 2018 Bond I 2016 and PT Angkasa Pura I Sukuk Ijarah I 2016. 11 February 2018 Topping off ceremony of the new terminal in Ahmad Yani International 2017 Airport, Semarang, Central Java.

27 January 2017 07 June 2018 Groundbreaking of construction of Inauguration of the new terminal in the Yogyakarta International Airport in Ahmad Yani International Airport, Kulonprogo by the Indonesian President. Semarang by the President of the Republic of Indonesia. 08 April 2017 Groundbreaking of the construction of the Adi Soemarmo Airport Railway in Boyolali, Central

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PT Angkasa Pura I (Persero) 04 & Sustainability

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The mission of PT Angkasa Pura I (Persero) to become a sustainable Company is supported by thorough planning “ and directed strategies. ”

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PT Angkasa Pura I (Persero) is serious about 1. Compliance with regulations raising the profile of PT Angkasa Pura I (Persero) 2. Identification of environmental impacts as a sustainable Company and will do so by means 3. Environmental Management System of declaring its policies, long-term schemes, and 4. Implementation of strategic plans for short-term strategies in the area of sustainability. environmental protection and management We have established a long-term plan covering of water, air, noise, soil, waste, biodiversity and the economic, social, and environmental aspects, ecosystems, adaptation to climate change, as follows: planning, and sustainable development 1. Economic Sustainability 5. Energy efficiency The strategic policy outlines the Company’s 6. Greenhouse gas reduction Long-Term Plan propelling the achievement 7. Use of renewable energy of increased income, via 25 strategic initiatives, 8. Environmental evaluation and assessment including 10 key strategic initiatives to increase 9. Engagement with stakeholders revenue. 10. Increased awareness and competence of employees towards environmental 2. Environmental Sustainability management. Two strategic initiatives support the management of environmental aspects at the These policies were manifested in 25 strategic airport through mapping carbon footprints and initiatives revealed to be work programs for ensuring PT Angkasa Pura I (Persero) meets the each directorate and were communicated terms and conditions in ISO 14001. to all segments. The policies are determined based on obligations in the Environmental 3. Social Sustainability Management System in ISO 14001, commitments PT Angkasa Pura I (Persero), as a development in environmental permits, guidance to be eco agent, has an influence on economic growth airports, and requirements within Airport Carbon in the area surrounding its airports. As an SOE Accreditation (ACA). related to connectivity, we endeavour to expand the number of airports acquired with the hope We set multiple objectives to reach sustainability. of being able to develop connectivity in the Based on the “AP I Long term strategy Blueprint”, Disadvantaged, Leading, and Outermost (3T) the Company’s long-term plan in the area of regions in Indonesia and supporting regional environment, we set goals to reduce carbon growth and economic vitality. footprints at airports and implement an effective environmental management system where one of The Board of Directors has issued policies and the clauses or details being managed is sustainable instructions relating to the application of the development and operations, as implemented environmental management system, emission with short, medium, and long-term targets. reduction, and the management of hazardous and toxic substances (B3) in the airport setting. The In its implementation, to achieve the target of Board of Directors further issued an Environmental reducing the carbon footprint, we carried out Policy Statement in February 2019 which comprises initiatives, such as mapping carbon sources at several topics including: the airport, including electricity usage, vehicle use, travel, and so on. After being mapped and

PT ANGKASA PURA 1 (PERSERO) 20 2019 Sustainability Report

Driving Environmental Sharing People Driving Occupational Health About Sustainability with Nation PT Angkasa Pura I (Persero) and Safety This Report Through the roadmap that has been formulated, “ we endeavour to meet the requirements of ISO 14001 in every airport of PT Angkasa Pura I “ (Persero) and Airport Carbon Accreditation.

documented, we conducted the carbon reduction universities and the Meteorology, Climatology, target as one of the requirements in the ACA. and Geophysical Agency (BMKG) in anticipating In addition, as a carbon offsetting measure, we the effects of climate change in airport planted trees, mangroves and coral reefs. development. 7. Conducting a waste management study at PT Angkasa Pura I (Persero) took environmental Juanda Airport, Surabaya. initiatives by involving third parties, including 8. Conducting FS Solar Power Plant (PV/Photo consultants, NGOs, and universities, by: Voltaick) Study at El-Tari Airport, Kupang. 1. Setting up ISO 14001: 2015 in two airports, I Gusti 9. Creating Environmental Reporting System. Ngurah Rai Airport and Sultan Hasanuddin 10. Participating in the National Waste Care Day Airport. by requiring the reduction of disposable plastic 2. Conducting habitat management studies for waste at Angkasa Pura I airports. biodiversity mapping and anticipates wildlife 11. Participating in World Ocean Day and hazards (for example: bird strike) with IPB and World Environment Day in collaboration local universities. with Marine Buddies and WWF camping, 3. Performing environmental monitoring (RKL- releasing hatchlings, planting mangroves, and RPL report). transplanting corals in collaboration with the 4. Conducting carbon monitoring using the Nusa Dua Reef Foundation. Airport Carbon Emission Reporting Tool (ACERT) 12. Implementing mitigation against Illegal and forms from the Directorate General of Civil Wildlife Trafficking (IWF), where our aviation Aviation of the Ministry of Transportation of the security officer was trained to mitigate the Republic of Indonesia. emergence of the IWF and sucessfully thwarted 5. Preparing AMDAL document/addendum the smuggling of endangered species. ANDAL RK-RPL for environmental licensing. 13. Participating in the Earth Hour campaign. 6. Conducting hydrooceanography and climatological studies in collaboration with

PT ANGKASA PURA 1 (PERSERO) 2019 Sustainability Report 21 Report of the Overview of About PT Angkasa Pura I Spurring Economic Driving Governance Board of Directors Sustainability PT Angkasa Pura I (Persero) (Persero) & Sustainability Growth Sustainability

Awards and Certification

Awards

INTERNATIONAL AWARDS

Best Airport in Asia-Pacific with The Best Airport in the Field of Best Airport in the Field of 5-15 Million Passengers per Year Environment and Ambience with Customer Service with 5-15 Million 5-15 Million Passengers per Year Passengers per Year Event Airport Service Quality (ASQ) Award Event Event 2019 Airport Service Quality (ASQ) Award Airport Service Quality (ASQ) Award 2019 2019 Organizer Airport Council International Organizer Organizer Airport Council International Airport Council International Date March 7, 2019 Date Date March 7, 2019 March 7, 2019

The Best Airport in the Field of “Best Companies to Work for in Asia “GOLD” rating Infrastructure and Facilitation with 2019 - Indonesia Chapter” 5-15 Million Passengers per Year Event Event Asia Sustainability Reporting Event HR Asia Award 2019 Rating 2019 Airport Service Quality (ASQ) Award 2019 Organizer Organizer HR Asia & Business Media National Center for Sustainability Organizer International Magazines Reporting Airport Council International Date Date Date June 14, 2019 November 23, 2019 March 7, 2019

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NATIONAL AWARDS

“Innovative Companies in Building The Best Spokesperson in Building Best SOE Governance Award Airport Operations Control a Positive Image of Airport Center” in the Transportation and Management Modernisation Event Warehousing Category BUMN Award 2019 Event Event Indonesia Spokesperson of The Year Organizer Indonesia Digital Award 2019 Award 2019 BUMN Track Magazine

Organizer Organizer Date Warta Ekonomi Magazine Warta Ekonomi Magazine March 29, 2019

Date Date February 22, 2019 March 16, 2019

Second Best SOE Strategic Best CEO in the Category of “The Most Visionary CEO” Category Development Award Driving Execution of BUMN Merah Putih (Faik Fahmi)

Event Event Event BUMN Award 2019 BUMN Award 2019 Anugerah Indonesia Maju 2018-2019

Organizer Organizer Organizer BUMN Track Magazine BUMN Track Magazine Rakyat Merdeka & Warta Ekonomi Magazines Date Date March 29, 2019 March 29, 2019 Date April 8, 2019

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NATIONAL AWARDS

Rating A in the Category of “HR Rating A in the Category of Rating A in the Category of Transformation” “Learning and Development “Compensation and Benefit” Strategy” Event Event HR Excellent Award 2019 Event HR Excellent Award 2019 HR Excellent Award 2019 Organizer Organizer SWA Magazine Organizer SWA Magazine SWA Magazine Date Date April 12, 2019 Date April 12, 2019 April 12, 2019

Occupational Safety and Health Zero Accident Award Zero Accident Award Management System Award (SMK3) I Gusti Ngurah Rai Airport - Bali Aji Muhammad Sulaiman Advanced Category (166 Criteria) Sepinggan Airport - Balikpapan Gold Flag Event Commemoration of the National Event Event OHS Month in 2019 Commemoration of the National Commemoration of the National OHS Month in 2019 OHS Month in 2019 Organizer Ministry of Manpower of the Organizer Organizer Republic of Indonesia Ministry of Manpower of the Ministry of Manpower of the Republic of Indonesia Republic of Indonesia Date April 22, 2019 Date Date April 22, 2019 April 22, 2019

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NATIONAL AWARDS

Zero Accident Award Zero Accident Award Award for HIV/AIDS Prevention and Sultan Hasanudin Airport - Sam Ratulangi Airport - Manado Control in the Workplace Program Makassar (Silver Rank) I Gusti Ngurah Rai Event Airport in Bali Event Commemoration of the National Commemoration of the National OHS Month in 2019 Event OHS Month in 2019 Commemoration of the National Organizer OHS Month in 2019 Organizer Ministry of Manpower of the Ministry of Manpower of the Republic of Indonesia Organizer Republic of Indonesia Ministry of Manpower of the Date Republic of Indonesia Date April 22, 2019 April 22, 2019 Date April 22, 2019

General Champion V: The Best of “Best in People Transformation” “The Most Outstanding Human the Best Human Capital of Capital Capital Director 2019” (Adi The Year 2019 Event Nugroho) Indonesia Human Capital Award Event (IHCA) V 2019 Event Indonesia Human Capital Award Indonesia Human Capital Award (IHCA) V 2019 Organizer (IHCA) V 2019 Economic Review Magazine Organizer Organizer Economic Review Magazine Date Economic Review Magazine May 16, 2019 Date Date May 16, 2019 May 16, 2019

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NATIONAL AWARDS

Homecoming Season 2019 Flow “The Most Committed GRC Leader “Top GRC 2019 #3 Stars” Management Award 2019” (Faik Fahmi) Event Event Event Top GRC 2019 2019 Annual Homecoming Flow Top GRC 2019 Management Award Organizer Organizer Top Business Magazine, National Organizer Top Business Magazine, National Committee on Governance Policy DKIP Ministry of Communications Committee on Governance (KNKG), Indonesian Risk Management and Informatics, and Central Policy (KNKG), Indonesian Risk Professional Association (IRMAPA), Information Commission (KIP) Management Professional Indonesian Institute of Professional Association (IRMAPA), Indonesian Compliance (ICoPI), and Asia Business Date Institute of Professional Compliance Research Center July 19, 2019 (ICoPI), and Asia Business Research Center Date August 22, 2019 Date August 22, 2019

“GOLD Winner in The Best “The Best Disciplined SOE” “Gold - Social Economy Disciplined SOE Category” “Best SOE Leader of the Mental Contribution Award” Revolution Program” (Faik Fahmi) “Gold - Customer Service Quality“ Event Mental Revolution Awards 2019 Event: Event Mental Revolution Awards 2019 RRI BUMN Award 2019 Organizer BUMN Track Magazine Organizer Date BUMN Track Magazine September 26, 2019 Date September 19, 2019 Date September 19, 2019

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NATIONAL AWARDS

Press Conference and the Delivery Transportation and Logistics “The Best CEO - Accessibility of Maritime and Fisheries Law In-House Team of the Year Development for Tourism 2019 Enforcement Award Category” Event Event The 6th Indonesia Law Awards 2019 Event Maritime and Fisheries Law Infobank The Best SOE Award 2019 Enforcement Award Organizer Asian Legal Business Organizer Organizer Infobank Magazine Minister of Maritime Affairs and Date Fisheries October 10, 2019 Date October 25, 2019 Date October 9, 2019

- The Best SOE/ROE in the Category of “Top 10 SOE Business Expansion” The Best Marketing Innovation Press Conference/News - The Best SOE/ROE in the Social Media Event Event Category BUMN Award 2019 BUMN Track Branding & (Top 3) Nominee of The Best SOE/ROE Marketing Award 2019 in the Category of Media Interval Organizer Warta Ekonomi Magazine Organizer Event BUMN TRACK Public Relations Media Award (AMH) Date 2019 October 28, 2019 Date November 5, 2019 Organizer Public Relations of the Ministry of Communication and Information of the Republic of Indonesia

Date October 25, 2019

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NATIONAL AWARDS

Devy Suradji - The Best SOE Chief The Best Branding SOE Faik Fahmi - “The Best Industry Marketing Officer 2019 Marketing Champion 2019 for the Event Infrastructure and Utilities Sector” Event BUMN Track Branding & BUMN Track Branding & Marketing Marketing Award 2019 Event Award 2019 Industry Marketing Champion Organizer and Marketeer of the Year (MOTY) Organizer BUMN TRACK Award 2019 BUMN TRACK Date Organizer Date November 5, 2019 MarkPlus & Indonesia Marketing November 5, 2019 Association (IMA) Magazines

Date December 4, 2019

I Gusti Ngurah Rai Airport, Bali Sultan Aji Muhammad Sulaiman – “The Best Airport of The Year” Sepinggan Airport, Balikpapan - “Runner Up Best Airport of The Year” Event Airport Awards 2019 Event Airport Awards 2019 Organizer Bandara Magazine Organizer Bandara Magazine Date December 6, 2019 Date December 6, 2019

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NATIONAL AWARDS

“The Best Non- Faik Fahmi - “Most Admired CEO Financial SOE 2019 in 2019 in the category of Excellent the Transportation & Leadership for Airports Rebranding Infrastructure Category” into World Class Image”

Event Event Investor Awards 2019 Indonesia Most Admired CEO 2019

Organizer Organizer Investor Magazine Economic News

Date Date December 12, 2019 December 16, 2019

REGIONAL AWARDS

“Business Practitioner” “Corporate Social Responsibility “The Best Community (DCSR)” Empowerment” Event ICSB Indonesia Presidential Award Event Event Bali CSR Award Balkondes Award Organizer International Council for Small Organizer Organizer Business Mayor of Denpasar CBT Nusantara Management Date Date Date October 3, 2019 November 22, 2019 September 24, 2019

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Certifications

Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Lombok International Airport El Tari Kupang International Airport

Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, the Ministry of Transportation of the Republic of Ministry of Transportation of the Republic of Indonesia Indonesia

Scope of Certification Scope of Certification Airport Certificate Airport Certificate

Effective Date Effective Date August 10, 2016 - September 30, 2021 November 27, 2015 - July 30, 2020

Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee I Gusti Ngurah Rai International Airport Adisutjipto International Airport

Scope of Certification Scope of Certification Airport Certificate Airport Certificate

Effective Date Effective Date October 1, 2015 - July 30, 2020 November 6, 2015 - July 30, 2020

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Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Sultan Hasanuddin International Airport, Juanda International Airport, Surabaya Makassar Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, the Ministry of Transportation of the Republic of Ministry of Transportation of the Republic of Indonesia Indonesia Scope of Certification Scope of Certification Airport Certificate Airport Certificate Effective Date Effective Date December 30, 2015 - July 30, 2020 December 4, 2015 - July 7, 2020

Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Sam Ratulangi International Airport, Manado Adisutjipto International Airport, Yogyakarta

Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, Ministry of Ministry of Transportation of the Republic of Transportation of the Republic Indonesia Indonesia Scope of Certification Scope of Certification Airport Certificate Airport Certificate Effective Date Effective Date December 18, 2015 - July 30, 2020 October 1, 2015 - July 30, 2020

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Certifications

Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Sultan Aji Muhammad Sulaiman Sepinggan Pattimura International Airport, Ambon International Airport, Balikpapan Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, the Ministry of Transportation of the Republic of Ministry of Transportation of the Republic of Indonesia Indonesia Scope of Certification Scope of Certification Airport Certificate Airport Certificate Effective Date Effective Date October 22, 2015 - July 30, 2020 December 30, 2015 - July 30, 2020

Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Syamsudin Noor International Airport Adi Soemarno International Airport

Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, Ministry of Ministry of Transportation of the Republic of Transportation, Republic of Indonesia Indonesia Scope of Certification Scope of Certification Airport Certificate Airport Certificate Effective Date Effective Date October 5, 2015 - July 30, 2020 August 31, 2015 - July 30, 2020

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Airport Business Entity Certification (BUBU) Airport Business Entity Certification (BUBU)

Awardee Awardee Jenderal Ahmad Yani International Airport, Frans Kaesiepo Biak International Airport Semarang Awarding Entity Awarding Entity Directorate General of Transportation, the Directorate General of Transportation, the Ministry of Transportation of the Republic of Ministry of Transportation of the Republic of Indonesia Indonesia Scope of Certification Scope of Certification Airport Certificate Airport Certificate Effective Date Effective Date March 4, 2016 - July 30, 2020 November 23, 2015 - September 2, 2020

ISO 14001: 2004 ISO 9001:2015

Awardee Awardee I Gusti Ngurah Rai International Airport, Bali I Gusti Ngurah Rai International Airport, Bali

Awarding Entity Awarding Entity Sucofindo International Certification Services TUV Rheinland

Scope of Certification Scope of Certification Airport Management Services Passenger Service Charge (PJP2U) Sector Code: 31 Effective Date Effective Date January 30, 2019 - January 22, 2022 November 18, 2015 - September 14, 2018

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Certifications

ISO 9001:2015 ISO 9001:2015

Awardee Awardee I Gusti Ngurah Rai International Airport, Bali I Gusti Ngurah Rai International Airport, Bali

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) Effective Date Effective Date January 30, 2019 - January 22, 2022 January 30, 2019 - January 22, 2022

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Juanda International Airport - Surabaya Juanda International Airport - Surabaya

Awarding Entity Awarding Entity Lloyd’s Register TUV Rheinland

Scope of Certification Scope of Certification Passenger Service Charge (PJP2U) Aircraft Landing, Parking, and Hangar Services (PJP4U) Effective Date November 1, 2018 - October 31, 2021 Effective Date December 8, 2017 - December 7, 2020

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ISO 9001:2015 ISO 9001:2015

Awardee Awardee Juanda International Airport - Surabaya Sultan Hasanuddin International Airport - Makassar Awarding Entity TUV Rheinland Awarding Entity United Registrar of Systems (URS) Scope of Certification Aircraft Cargo and Postal Services (PJKP2U) Scope of Certification Airport Service Charge (PJP2U) Effective Date December 19, 2018 - December 18, 2021 Effective Date June 25, 2016 - June 24, 2019

ISO 14001: 2004 ISO 9001:2015

Awardee Awardee Sultan Hasanuddin International Airport - Sultan Hasanuddin International Airport - Makassar Makassar

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) Effective Date Effective Date January 2, 2019 - January 1, 2022 December 14, 2017 - December 13, 2020

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Certifications

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Sultan Aji Muhammad Sulaiman Sepinggan Adisutjipto International Airport - Yogyakarta International Airport - Balikpapan Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland Scope of Certification Scope of Certification Airport Service Charge (PJP2U) Airport Service Charge (PJP2U); Aircraft Landing, Parking, and Hangar Services (PJP4U); Aircraft Cargo Effective Date and Postal Services (PJKP2U) January 17, 2018 - January 16, 2021

Effective Date November 10, 2017 - November 9, 2020

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Adisutjipto International Airport - Yogyakarta Adisutjipto International Airport - Yogyakarta

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) Effective Date Effective Date January 8, 2019 - January 7, 2022 October 22, 2017 - October 21, 2020

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ISO 9001:2015 ISO 9001:2015

Awardee Awardee Adi Soemarmo International Airport - Solo Adi Soemarmo International Airport - Solo

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) & Airport Service Charge (PJP2U) Effective Date Effective Date January 9, 2019 - January 8, 2022 November 30, 2017 - November 29, 2020

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Jenderal Ahmad Yani International Airport, Semarang Jenderal Ahmad Yani International Airport, Semarang

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) & Airport Service Charge (PJP2U) Effective Date Effective Date June 12, 2019 - June 11, 2022 December 12, 2017 - December 11, 2020

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Certifications

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Syamsudin Noor International Airport - Banjarmasin Lombok International Airport

Awarding Entity Awarding Entity TUV Rheinland Lloyd’s Register

Scope of Certification Scope of Certification Airport Service Charge (PJP2U); Aircraft Landing, Airport Service Charge (PJP2U) Parking, and Hangar Services (PJP4U); Aircraft Cargo and Postal Services (PJKP2U) Effective Date December 7, 2016 - December 6, 2019 Effective Date October 15, 2019 - October 14, 2022

ISO 9001:2015 ISO 9001:2015

Awardee Awardee Lombok International Airport Lombok International Airport

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Aircraft Landing, Parking, and Hangar Services Aircraft Cargo and Postal Services (PJKP2U) (PJP4U) Effective Date Effective Date February 8, 2019 - February 7, 2022 November 22, 2017 - November 21, 2020

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ISO 9001:2015 ISO 9001:2015

Awardee Awardee Sam Ratulangi International Airport- Manado Pattimura International Airport - Ambon

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland

Scope of Certification Scope of Certification Passenger Service Charge (PJP2U); Aircraft Cargo Aircraft Landing, Parking, and Hangar Services and Postal Services (PJKP2U); and Aircraft Landing, (PJP4U); Aircraft Cargo and Postal Services Parking, and Hangar Services (PJP4U) (PJKP2U); Passenger Service Charge (PJP2U)

Effective Date Effective Date October 28, 2019 - October 27, 2022 December 20, 2017 - December 19, 2020

ISO 9001:2015 ISO 9001:2015

Awardee Awardee El Tari International Airport - Kupang El Tari International Airport - Kupang

Awarding Entity Awarding Entity TUV Rheinland TUV Rheinland (KAN)

Scope of Certification Scope of Certification Passenger Service Charge (PJP2U) Aircraft Landing, Parking, and Hangar Services (PJP4U) Effective Date December 6, 2018 - December 5, 2021 Effective Date December 27, 2017 - December 26, 2020

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Certifications

ISO 9001:2015 OHSAS 18001:2007

Awardee Awardee Frans Kaisiepo International Airport - Biak I Gusti Ngurah Rai International Airport - Bali

Awarding Entity Awarding Entity TUV Rheinland Sucofindo International Certification Services

Scope of Certification Scope of Certification Aircraft Landing, Parking and Hangar Service (PJP4U) Airport Services and Aircraft Cargo and Postal Service (PJKP2U) Effective Date Effective Date January 2, 2018 - January 1, 2021 January 7, 2019 - January 5, 2021

OHSAS 18001:2007 OHSAS 18001:2007

Awardee Awardee Sultan Aji Muhammad Sulaiman Sepinggan Adi Soemarmo International Airport - Solo International Airport - Balikpapan Awarding Entity Awarding Entity Sucofindo International Certification Sucofindo International Certification Services Services

Scope of Certification Scope of Certification Airport Services Airport Services

Effective Date Effective Date January 2, 2018 - January 1, 2021 January 02, 2018 - Januariy 01, 2021

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Occupational Safety and Health Management Occupational Safety and Health Management System Certificate (SMK3) Advanced Category System Certificate (SMK3) Advanced Category (166 Criteria) Gold Flag (166 Criteria) Gold Flag

Awardee Awardee Jenderal Ahmad Yani International Airport - I Gusti Ngurah Rai International Airport - Bali Semarang Awarding Entity Awarding Entity Ministry of Manpower of the Republic of Ministry of Manpower of the Republic of Indonesia Indonesia

Scope of Certification Scope of Certification Airport Management Airport Management

Effective Date Effective Date July 14, 2017 - July 14, 2020 July 30, 2018 - July 30, 2021

Awardee Awardee Sultan Aji Muhammad Sulaiman Sepinggan Adi Soemarmo International Airport - Solo International Airport - Balikpapan Awarding Entity Awarding Entity Ministry of Manpower of the Republic of Ministry of Manpower of the Republic of Indonesia Indonesia

Scope of Certification Scope of Certification Airport Management Airport Services

Effective date Effective Date July 30, 2018 - July 30, 2021 July 30, 2018 - July 30, 2021

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Certifications

Awardee Awardee Frans Kaisiepo International Airport - Biak Sam Ratulangi International Airport - Manado

Awarding Entity Awarding Entity Ministry of Manpower of the Republic of Indonesia Ministry of Manpower of the Republic of Indonesia

Scope of Certification Scope of Certification Airport Services Airport Services

Effective Date Effective Date 2019 March 29, 2019 2019 March 29, 2019

Awardee Awardee Adisutjipto International Airport - Yogyakarta Juanda International Airport - Surabaya

Awarding Entity Awarding Entity Ministry of Manpower of the Republic of Indonesia Ministry of Manpower of the Republic of Indonesia

Scope of Certification Scope of Certification Airport Services Airport Services

Effective Date Effective Date 2019 March 29, 2019 2019 March 29, 2019

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Awardee Awardee El Tari Kupang International Airport Syamsudin Noor Airport - Banjarmasin

Awarding Entity Awarding Entity Ministry of Manpower of the Republic of Indonesia Ministry of Manpower of the Republic of Indonesia

Scope of Certification Scope of Certification Airport Services Airport Services

Effective Date Effective Date 2019 March 29, 2019 2019 March 29, 2019

Occupational Safety and Health Occupational Safety and Health Occupational Safety and Health Management System Certificate Management System Certificate Management System Certificate (SMK3) Advanced Category (SMK3) Advanced Category (SMK3) Advanced Category (166 Criteria) Gold Flag (166 Criteria) Gold Flag (166 Criteria) Gold Flag

Awardee Awardee Awardee International Airport - Lombok International Airport - Pattimura Sultan Hasanuddin International Airport - Makassar Awarding Entity Awarding Entity Ministry of Manpower of the Ministry of Manpower of the Awarding Entity Republic of Indonesia Republic of Indonesia Ministry of Manpower of the Republic of Indonesia Scope of Certification Scope of Certification Airport Services Airport Services Scope of Certification Airport Services Effective Date Effective Date 2019 March 29, 2019 2019 March 29, 2019 Effective Date 2019 March 29, 2019

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Significant Events

March 15, 2019 March 19, 2019 March 22, 2019 The signing of the cooperation The signing of the cooperation Signing of cooperation on the use agreement amongst PT Angkasa agreement of PT Angkasa Pura I of the assets of PT Angkasa Pura Pura I (Persero), BKIPM, and KKP. (Persero) with PNM 2019. I (Persero) & Indonesian Air Force in Bali.

April 26, 2019 April 10, 2019 May 6, 2019 Yogyakarta international airport Inauguration of Baitussalam The inaugural commercial flight certificate from DJUB. Mosque at Jenderal Ahmad Yani to Yogyakarta’s international Airport in Semarang. airport in Kulon Progo.

May 3, 2019 July 15, 2019 August 6, 2019 Signing of memorandum of Fraud Control Plan socialization & 10 airports of PT Angkasa Pura I understanding, cooperation signing of MOU 2019. (Persero) won Airport Customers agreement & JRKU application Experience accreditation ACI’s launching. Accreditation Program.

August 14, 2019 August 16, 2019 September 3, 2019 Signing of the MOU between PT PT Angkasa Pura I (Persero) PT Angkasa Pura I (Persero) is the Angkasa Pura I (Persero) and IIAC. maintains Pefindo’s triple A rating Host of Airports Council International for the August 12, 2019—August 1, (ACI), the 2019 Global Experience 2020 period. Customer Summit in Bali.

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Significant Events

September 4, 2019 September 26, 2019 October 8, 2019 Inauguration of X-Ray Automated The signing of the MOU between Signing of the MOU between Tray Return System (X-Ray ATRS) PT Angkasa Pura I (Persero) and PT Angkasa Pura I (Persero) and facilities, boarding pass scanner Bank Mandiri. the Attorney General’s Office of (flap barrier) and passport the Republic of Indonesia autogate at I Gusti Ngurah Rai Airport, Bali.

October 13, 2019 October 21, 2019 November 13, 2019 Signing of Cooperation Inauguration of the first Signing of a Joint Agreement Agreement on Utilization of multisensory room at Jenderal with the Transportation Research Sentani Airport between Ahmad Yani Airport, Semarang. This and Development Agency of the PT Angkasa Pura I (Persero) and facility is provided for children with Ministry of Transportation of the the Directorate General of Debt special needs, especially autism. Republic of Indonesia to explore Management. opportunities for research and development cooperation in the airport sector.

December 10, 2019 December 18, 2019 December 29, 2019 Operation of Syamsudin Inauguration of Banjarmasin Soft Launching of Adi Soemarmo Noor Airport’s New Terminal, Syamsudin Noor Airport’s New Airport Railway by Indonesian Banjarmasin. Terminal by the President of Minister of Transportation Budi Indonesia, Joko Widodo. Karya Sumadi.

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Spurring 05 Economic Growth

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The positive contribution of PT Angkasa Pura I (Persero) to the growth of the national economy is growing from year to year “ with the increasing number of passengers and tourists, and the rising flow of goods and services. We seek to bolster these positive trends in the economy by complying with the triple bottom line of sustainability: economic, environmental, and social. ”

PT ANGKASA PURA 1 (PERSERO) 2019 Sustainability Report 47 Report of the Overview of About PT Angkasa Pura I Spurring Economic Driving Governance Board of Directors Sustainability PT Angkasa Pura I (Persero) (Persero) & Sustainability Growth Sustainability

Indonesia’s geographical condition as an goods and services is one of the factors supporting archipelago makes the air transportation sector the success of development. Therefore, PT Angkasa has an important role in spurring economic Pura I (Persero) continues to expand its business growth. The aviation sector support in the to reach all corners of the country by building new development and development of the national airports, including in the outermost and remote economy is very significant. Not only supporting areas of Indonesia. We do not only prioritize the the tourism sector, but also encouranging a fine flow of goods and services, but also the safety and transportation of the population and the flow of convenience of all passengers.

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ECONOMIC VALUE The economic performance of PT Angkasa Pura I (Persero) in 2019 is listed in the table below: [GRI 201-1]

(million Rp) 2019 2018 2017 Aeronautical Revenue 4,975,936 5,113,648 4,525,856 Non-aeronautical income 3,655,609 3,407,439 2,668,492 Operating Income 8,631,546 8,521,087 7,194,347 Airport operational expenses (3,280,187) (3,152,001) (2,528,911) Employee expense (1,590,667) (1,553,876) (1,301,466) General and administrative expenses (1,030,352) (1,020,434) (1,301,384) Marketing expenses (29,641) (36,335) (75,155) Other expenses (102,793) (60,850) (61,811) Other income 127,257 219,204 48,872 Operating Profit 2,725,162 2,916,795 1,974,492 Financial income 198,326 168,849 253,145 Financial burden (860,270) (265,134) (334,862) Share of profit of associates (8,952) 2,552 228 Profit before final tax and corporate income tax 2,054,267 2,823,061 1,893,003 Final tax expense (109,731) (128,127) (103,506) Profit before corporate income tax 1,944,535 2,694,934 1,789,497 Corporate income tax expense (492,308) (689,016) (369,144) Current year profit 1,452,227 2,005,918 1,420,353

PT Angkasa Pura I (Persero) conducts financial compared to 2018. In addition, the airline’s policy management responsibly, compiled based on of raising the price of domestic flight tickets, the Financial Accounting Standards namely PSAK and policy of eliminating allowance baggage in several IFRS as well as other Regulations applicable in airlines, reducing the frequency of flights, and Indonesia such as POJK. The financial performance unrealized airport management of Labuan Bajo, of PT Angkasa Pura I (Persero) was audited by Luwuk, Sentani, and Samarinda also influenced independent auditors, namely Purwantono, revenue realization in 2019. Sungkoro & Surja with a fair opinion. Likewise, cargo shipments in 2019 decreased in In the reporting year, total realised revenue was line with the decline in the number of passengers Rp8.94 trillion from the Company’s Budget Plan from the realization of 457,749,380 tons total cargo of Rp10.16 trillion. One of the factors triggering the in 2018 to 427,135,421 tons in 2019 or decreased by non-achievement of revenue in 2019 is a decrease 6.69%. Conversely, the Company could still record a in the number of domestic passengers by 21% profit of Rp1.45 trillion.

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The operational costs incurred in 2019 were realised 1. Preparations for the takeover of management at Rp5.96 trillion, an increase of 3.47% from the of 4 (four) airports, namely UPT Sentani, realisation of the costs in 2018. This was mainly due Samarinda, Labuan Bajo and Luwuk Airports. to the operation of the New Ahmad Yani Airport 2. Implementation of Runway Overlays at several Terminal Semarang and the minimum operation airports. of the Yogyakarta International Airport which 3. Full Operation at Jenderal Ahmad Yani Airport, affected the increase in the realization of rental Semarang. expenses, utility expenses, insurance expenses, tax 4. Minimum Operation at Yogyakarta expenses in 2019. The increase also occurred in the International Airport in April 2019. realization of the Corporate Social Responsibility 5. Full Operation of the New Terminal at (CSR) program in 2019 to Rp51.47 billion from the Syamsudin Noor Airport in Banjarmasin in realization in 2018 of Rp40.70 billion. This stated December 2019. the concern of PT Angkasa Pura I (Persero) for the 6. Soft Launching of Adi Soemarmo Airport Train welfare of the community. in December 2019.

In 2019, there are various developments performed by PT Angkasa Pura I (Persero) to improve services PASSENGER for the community, both improving services The number of passengers in 2019 compared to within the airport and access to numerous cities in 2018 decreased by around 15.64%, from 96.6 million Indonesia, including: people, to 81.5 million people. In details, total passengers by destination and origin are as follows:

Total passengers [GRI – AO1, airport disclosure]

Total Passengers by Destination 2019 2018 2017 ARRIVING PASSENGERS Domestic flight 31,244,674 39,296,275 36,420,948 International flight 8,957,044 8,062,722 7,118,612 Total 40,201,718 47,358,997 43,539,560 DEPARTING PASSENGERS Domestic flight 27,845,222 35,209,341 33,427,936 International flight 8,968,047 8,312,354 7,379,340 Total 36,813,269 43,521,695 40,807,276

Total Passengers by Domestic and International Flight Domestic International Total Flight Flight Number of Arriving passengers 31,244,674 8,957,044 40,201,718 Number of Departing passengers 27,845,222 8,968,047 36,813,269 Total 59,089,896 17,925,091 77,014,987

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Total Arriving and Departing Passengers Passenger Domestic International Total Flight Flight 2019 Number of arriving passengers 31,244,674 8,957,044 40,201,718 Number of departing passengers 27,845,222 8,968,047 36,813,269 Total 59,089,896 17,925,091 77,014,987 2018 Number of arriving passengers 39,296,275 8,062,722 47,358,997 Number of departing passengers 35,209,341 8,312,354 43,521,695 Total 74,505,616 16,375,076 90,880,692 2017 Number of arriving passengers 36,420,948 7,118,612 43,539,560 Number of departing passengers 33,427,936 7,379,340 40,807,276 Total 69,848,884 14,497,952 84,346,836

Total Arriving and Departing Domestic Passengers by Origin Airport Airport 2019 2018 2017 Arrival Departure Arrival Departure Arrival Departure

I Gusti Ngurah Rai 4,974,519 4,955,803 5,529,965 5,577,899 4,926,935 5,128,037 Airport - Bali Juanda Airport - 7,110,939 6,288,591 9,388,850 8,167,118 9,091,235 7,915,588 Surabaya Sultan Hasanuddin 4,940,825 3,353,765 6,045,054 4,282,251 5,235,290 4,118,058 Airport - Makassar Sultan Aji Muhammad 2,675,506 2,075,024 3,708,339 2,954,255 3,558,971 2,859,536 Sulaiman Sepinggan Airport - Balikpapan Frans Kaisiepo Airport 132,606 124,249 209,803 198,629 172,375 168,109 - Biak Sam Ratulangi Airport - 975,060 968,249 1,241,381 1,242,895 1,270,644 1,267,515 Manado Adisutjipto Airport - 3,209,355 3,222,540 3,986,663 3,981,309 3,682,420 3,662,031 Yogyakarta Adi Soemarmo Airport 780,773 783,813 1,312,166 1,298,371 1,328,368 1,329,124 - Solo Syamsudin Noor Airport 1,634,310 1,570,087 1,959,299 1,879,673 1,808,187 1,780,846 - Banjarmasin Jenderal Ahmad Yani 1,843,446 1,813,464 2,479,218 2,446,308 2,127,158 2,109,238 Airport - Semarang Lombok International 1,314,261 1,211,141 1,640,786 1,537,422 1,615,474 1,530,697 Airport - Praya Pattimura Airport - 576,479 527,323 751,524 651,235 607,022 628,922 Ambon

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Airport 2019 2018 2017 Arrival Departure Arrival Departure Arrival Departure

El Tari Airport - Kupang 931,917 814,069 1,043,227 991,976 996,869 930,235 Yogyakarta International 144,678 137,104 - - - - Airport - Kulon Progo

Total Arriving and Departing International Passengers by Origin Airport Airport 2019 2018 2017 Arrival Departure Arrival Departure Arrival Departure I Gusti Ngurah Rai 6,864,553 6,938,489 6,111,276 6,406,185 5,317,191 5,626,952 Airport - Bali Juanda Airport - 1,226,771 1,180,657 1,130,364 1,107,182 1,005,984 983,777 Surabaya Sultan Hasanuddin 152,992 154,496 117,777 115,935 114,443 113,770 Airport - Makassar Sultan Aji Muhammad 27,869 31,133 27,398 29,387 26,910 28,916 Sulaiman Sepinggan Airport - Balikpapan Frans Kaisiepo Airport 54 87 96 176 109 121 - Biak Sam Ratulangi Airport - 143,730 142,546 129,182 130,203 84,904 85,410 Manado Adisutjipto Airport - 215,166 203,642 230,554 218,543 244,334 228,625 Yogyakarta Adi Soemarmo Airport 77,214 78,186 61,393 62,098 62,891 62,738 - Solo Syamsudin Noor Airport 6,097 6,112 5,489 5,497 5,166 5,510 - Banjarmasin Jenderal Ahmad Yani 114,560 114,140 107,635 108,895 94,190 94,921 Airport - Semarang Lombok International 123,714 114,462 140,757 127,414 162,313 148,399 Airport - Praya Pattimura Airport - 82 350 45 118 - - Ambon El Tari Airport - Kupang 4,242 3,747 756 721 177 201 Yogyakarta International ------Airport - Kulon Progo

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Total Transit Domestic Passengers by Origin Airport Airport 2019 2018 2017 I Gusti Ngurah Rai Airport - Bali 352,471 112,163 46,195 Juanda Airport - Surabaya 819,228 1,157,549 1,131,344 Sultan Hasanudin Airport - Makassar 2,153,778 2,976,232 2,712,023 Sultan Aji Muhammad Sulaiman Sepinggan Airport - 620,184 829,362 905,045 Balikpapan Frans Kaisiepo Airport - Biak 52,418 81,530 95,135 Sam Ratulangi Airport - Manado 908 1,819 4,848 Adisutjipto Airport - Yogyakarta 11 20 1,141 Adi Soemarmo Airport - Solo 2,856 1,791 1,879 Syamsudin Noor Airport - Banjarmasin 75,691 78,117 67,902 Jenderal Ahmad Yani Airport - Semarang 21,194 20,086 3,551 Lombok International Airport - Praya 136,505 149,497 132,929 Pattimura Airport - Ambon 94,595 113,592 128,266 El Tari Airport - Kupang 105,293 213,303 172,408 Yogyakarta International Airport - Kulon Progo - - -

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Total Transit International Passengers by Airport Origin Airport 2019 2018 2017 I Gusti Ngurah Rai Airport - Bali 82,298 36,226 2,436 Juanda Airport - Surabaya - - - Sultan Hasanudin Airport - Makassar 1,138 220 378 Sultan Aji Muhammad Sulaiman Sepinggan - - - - Balikpapan Frans Kaisiepo - Biak 53 111 12 Sam Ratulangi Airport - Manado - - - Adisutjipto Airport - Yogyakarta - - - Adi Soemarmo Airport - Solo - - - Syamsudin Noor Airport - Banjarmasin - - - Jenderal Ahmad Yani Airport - Semarang - - - Lombok International Airport - Praya - - - Pattimura - Ambon - - - El Tari Airport - Kupang - 3 - Yogyakarta International Airport - Kulon Progo - - -

FLIGHT Decrease in the number of passengers had a direct effect on the total number of flights. In 2019, there was decrease in the total number of flights by 14.6%. Flight data by type and destination can be seen below:

Total flights [GRI – AO2, airport disclosure]

Total Landing Domestic Aircraft at Airport by Type (Arrival) 2019 2018 2017 Commercial aircraft 282,127 338,326 320,379 Cargo aircraft 1,215 675 455 Government aircraft 18,465 21,842 24,518 Other aircrafts 1,135 2,655 5,850 Total 302,942 363,498 351,202

Total Landing International Aircraft at Airport by Type (Arrival) 2019 2018 2017 Commercial aircraft 50,329 49,818 44,127 Cargo aircraft 227 247 226 Government aircraft 86 157 46 Other aircrafts 28 31 52 Total 50,670 50,253 44,451

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Total Take Off Domestic Aircraft at Airport by Type (Arrival) 2019 2018 2017 Commercial aircraft 282,357 338,745 320,361 Cargo aircraft 1,039 470 228 Government aircraft 18,178 22,234 24,647 Other aircrafts (private aircraft, corporate owned aircraft, etc.) 1,129 2,593 5,830 Total 302,703 364,042 351,066

Total Take Off International Aircraft at Airport by Type (Arrival) 2019 2018 2017 Commercial aircraft 50,380 49,821 44,117 Cargo aircraft 403 450 449 Government aircraft 75 161 45 Other aircraft (private aircraft, corporate owned aircraft, etc.) 29 35 57 Total 50,887 50,467 44,668

Total Landing and Take Off Aircrafts at Airport (Arrival Departure) Domestik Internasional Commercial aircraft 1,882,295 288,592 Cargo aircraft 4,082 2,002 Government aircraft 129,884 570 Other aircrafts 19,192 232 Total 2,035,453 291,396

CARGO Cargo is a critical part of our business, particularly in certain areas where the amount of cargo is extremely high, for example at the I Gusti Ngurah Rai Airport Denpasar with a total cargo of 11.6 thousand tons per month. PT Angkasa Pura I (Persero) handles cargos. However, the company is not responsible for cargo or luggage of passengers entering the fuselage. There was an decrease in cargo traffic of 30.6 thousand tons or 6.69% in the reporting year. Cargo data can be seen as follows:

Total Cargo (tons) [GRI – AO3, airport disclosure]

Total Arriving and Departing Cargos at Airport by Flight Type 2019 2018 2017 Domestic Flight 305,187 387,272 334,125 International Flight 121,949 70,477 69,650 Total 427,136 457,749 403,775

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Total Arriving Domestic Cargo at Airport by Flight Type 2019 2018 2017 Cargo by commercial aircraft 152,201,735 199,510,300 172,740,961 Cargo by cargo aircraft 9,585,500 5,912,773 3,907,368 Cargo by government aircraft 54,827 13,031 - Cargo by others aircraft 1,688 689 - Total 161,843,750 205,436,793 176,648,329

Total Departing Domestic Cargo at Airport by Flight Type 2019 2018 2017 Cargo by commercial aircraft 142,513,222 181,312,841 157,355,148 Cargo by cargo aircraft 770,788 518,711 118,940 Cargo by government aircraft 46,593 12,586 - Cargo by others aircraft 12,208 2,862 3,083 Total 143,342,811 181,847,000 157,477,171

Total Arriving International Cargo at Airport by Flight Type 2019 2018 2017 Cargo by commercial aircraft 57,694,883 28,852,453 24,620,170 Cargo by cargo aircraft 2,112,582 2,924,496 2,391,378 Cargo by government aircraft 4 - - Cargo by others aircraft 23 - - Total 59,807,492 31,776,949 27,011,548

Total Departing International Cargo at Airport by Flight Type 2019 2018 2017 Cargo by commercial aircraft 61,932,803 38,422,566 42,372,666 Cargo by cargo aircraft 207,200 277,612 265,936 Cargo by government aircraft 794 - - Cargo by others aircraft - - - Total 62,140,797 38,700,178 42,638,602

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In an effort to maintain security, we apply special a. Conducting auditing documents in the form procedures to inspect cargo, namely: Service of: Air Load Letter (SMU), Notification About Procedure, Supervision, Control and Inspection of Content (PTI) and other documents; Cargo and Postal Security: b. Conducting security checks on all Cargo 1. Airport Security Personnel are required to carry and Post items using security equipment or through security control of Cargo and Post manual checking; people and vehicles that enter the Cargo and c. Every cargo and post item that has been Post Terminal Land Side Area by examining inspected using an X-Ray machine must be people Entry Permits in the form of PAS People subjected to a secondary inspection with a and/or Air Load Letters and Vehicle Entry Permits random Explosive Trace Detector (ETD) of in the form of Signs Carrier Entry Permit; 10% and if there is an increased threat it will 2. Airport Security Personnel are required to increase according to the level of threat; undertake security checks on persons and d. Issuing Consignment Security Declaration; their goods carrying their way to the Security e. Installing a security check label (Cargo Restricted Area by using security equipment or Security Check) on Cargo and Post items manually in an effort to prevent unlawful acts; that have carried out a security check; 3. Airport Security Personnel are required to 5. Airport Security Personnel conducts surveillance exercise security control over Cargo and and security control at cargo and post terminals Postal transport vehicles from Regulated by physical check and/or using CCTV cameras; Agents (RA) by examining the completeness 6. Records of all security control activities are and suitability of: performed in the Cargo and Post Terminals. a. Air Load Letter (SMU); b. Declaration of Consignment Security Security Declaration / CSD); c. The integrity of the vehicle’s label and the vehicle’s seal and the registration number matching; d. Checking of entry permit; e. Inspection of Transport Vehicle License Marks. 4. In the case of delegating security checks from the Air Transport/BUAU Business Entity and Foreign Air Transport Company/PAUA, Airport Security Personnel shall carry through the inspection steps as follows:

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SUPPLY CUSTOMER SERVICE In operating its business, PT Angkasa Pura I The scope of our business is airport services. Thus, (Persero) was supported by partners supplying customer satisfaction and comfort plays a pivotal goods and services. PT Angkasa Pura I (Persero) role. PT Angkasa Pura I (Persero) strives to provide prepared a Board of Directors Instruction document the best service supported by the latest technology on green procurement at PT Angkasa Pura I to facilitate passengers and to provide the desired Airport (Persero) as a process of purchasing and/or service. To provide excellent service, we conducted procuring environmentally friendly products and surveys on passenger demographics, their needs services, including the selection of contractors and and behavioral trends. This was a valuable input for the stipulation of environmental requirements in PT Angkasa Pura I (Persero) to improve services. the contract. [GRI 102-9]

The Budget Percentage used for local suppliers was 100% (one hundred per cent) because based on the applicable regulations at PT Angkasa Pura I (Persero), any business partner registered as a supplier through the Vendor Management System shall be a company established under applicable law of the Republic of Indonesia. [GRI 204-1]

AIRCRAFT PASSENGERS 2019 PT ANGKASA PURA I (PERSERO)

Passengers by Airline Passengers by Class

11% 1%

4% 28%

8% 99% 9%

10% 18%

12%

Lion Air Batik AIr Economy Business Garuda Indonesia Sriwijaya Wings Air Air Asia Citilink Others

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AIRPORT PASSENGER BEHAVIOR PROFILE 2019 * PT ANGKASA PURA I (PERSERO)

Passenger by Travel Purpose Transportation to the Airport

3% 2% 0% 19% 28% 18%

1% 50% 11% 13%

40% 7%

Service Travel Personal Train Personal School Bus Taxi Online Business Others Argo Taxi Others Rent

Passenger Shopping Reasons Not to Shop 1%

26%

31% 54%

69% 8%

No Shopping Shopping Provision Not enough time Not attractive No need Not available Others

Information (*) Based on passenger data that is the respondent measuring the Customer Satisfaction Index (CSI) score assessed by the Indonesian National Air Carriers Association (INACA) at 13 (thirteen) airports in 2019.

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Destination Airport Arrival Prior to Take Off (Minute)

26% 26% 29% 13%

8% 23% 18% 13% 6% 6% 4% 14% 3% 3% 3% 3% CGK SJB UPG HLP DPS SN KLL B B J og Others pn oj >30 30-60 60-90 90-120 >120

Air Travel (Times/Year) shop at the airport. For those who do not shop, their main reason is because they do not need (54%) and 47% consider the goods or food that are available to be unattractive (8%). All passenger respondents were from Lion, Garuda, Batik, Citilink, Sriwijaya, Wings and Airasia airlines in 13 (thirteen) airports in 2019 22% which were assessed by the Indonesian National 14% Air Carriers Association (INACA). 11% 7%

AIRPORT FACILITIES 1 2-5 5-10 10-20 >20 Based on the survey, the most significant reason for travel was family needs. Thus, we anticipated the different needs of the families of passengers. The measurement of the Customer Satisfaction We provide wheelchairs, baby strollers, Kid Zone Index (CSI) score assessed by the Indonesian or children’s playgrounds, and a theatre at Sultan National Air Carriers Association (INACA) at 13 Aji Muhammad Sulaiman Sepinggan Airport, (thirteen) airports in 2019, 59% are male passengers Balikpapan. Moreover, we provide a special waiting and the remaining women. About 40% of the room at Jenderal Ahmad Yani Airport, Semarang passengers traveled for personal needs, 28% for people with autism as they are highly sensitive traveled for official travel, 18% for travel, 11% for to loud noise or crowds. We also provide a multi- business, and 3% for other purposes. sensory room where the passengers can enjoy the tranquil and cozy athmosphere while waiting Most of them, 50% went to the airport in private at the airport. At 5 (five) other airports, we provide vehicles, followed by 19% who used online taxis, Special Need Service Holding Room, a room to help 13% used rental vehicles, 8% used buses, 7% used passengers with special needs. We also provide a metered taxis, and 1% used trains. Regarding guide on the website for people with disabilities so shopping behavior at the airport, 69% of passengers that they are assisted in preparing their trip.

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Driving Environmental Sharing People Driving Occupational Health About Sustainability with Nation PT Angkasa Pura I (Persero) and Safety This Report Extra facilities: dedicated rooms, specialized ser- “ vices, and special officers with competence and hospitality are prepared in order to render the best service for users of PT Angkasa Pura I “ (Persero) services.

Other facilities provided for passengers include: Room is useful for creating a sense of security and relaxation and provides a convenience 1. Multi-Sensory Room to children with the Autism Spectrum. Black The Multisensory Room is a room provided for Room is helpful to facilitate the understanding passengers with the Autism Spectrum located of children with the Autism Spectrum of in the passenger terminal waiting room. This the surrounding environment and causal facility is provided to give a sense of security and relationships. comfort while waiting for boarding time. 2. Special Needs Services Holding Room The Multisensory Room was inaugurated on Special Needs Services Holding Room is a room October 21, 2019, at the Jenderal Ahmad Yani provided for passengers with special needs in Airport Semarang by the President Director the passenger terminal check-in area. This space and is the first multi-sensory service among was inaugurated by the President Director Asia Pacific airports. The Multisensory Room of PT Angkasa Pura I (Persero), Faik Fahmi with a size of 3.6 meters x 10 meters has been together with the Director of Marketing and provided with facilities that include mattresses Services of PT Angkasa Pura I (Persero), Devy on the floor and on the walls (sense of touch), Suradji on October 21, 2019 at Jenderal Ahmad musical instruments (auditory sense), gym Yani International Airport, Semarang. The balls (sense of movement), and colorful LED inauguration also involved several important lights (visual sense). figures, namely General Manager Ahmad Yani Semarang Airport, Hardi Ariyanto, Deputy Mayor Multisensory Room is specifically designed of Semarang, Hevearita Gunaryanti Rahayu, to be able to provide a soothing stimulant, Chair of the Indonesian Consumers Foundation to overcome tension, and to reduce temper (YLKI), Tulus Abadi, and Chair of the Disabled tantrum behavior in children with the Autism Child Development Foundation (YPAC), Ratna Spectrum. The room has 2 types of uses, namely Juwita. the White Room and the Black Room. White

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Special Needs Services Holding Room is The guidebook was published in conjunction available at 6 (six) airports of PT Angkasa Pura I with the inauguration of the multisensory room (Persero), namely: and the SNS Holding Room held at the Jenderal a. I Gusti Ngurah Rai Airport - Denpasar; Ahmad Yani International Airport Semarang b. Yogyakarta International Airport - Kulon with the following specifications: Progo; a. Guidebook to Special Need Services for c. Adi Soemarmo Airport - Solo; children with autism spectrum is intended d. Jenderal Ahmad Yani Airport - Semarang; for airport officials; and e. SAMS Sepinggan Airport - Balikpapan; b. Guidebook to Passenger Experience at f. Syamsudin Noor Airport - Banjarmasin; while PT Angkasa Pura I (Persero) Airport is for other airports will be met gradually. intended for airport service users that can be accessed through the website www.ap1. The Special Needs Services Holding Room and co.id. the multisensory room are specifically designed with the hope of creating a sense of calm and The socialization and Technical Guidance of comfort while waiting for the check-in process the guidebook have been conducted online and/or boarding time. Special Needs Services on November 13-14, 2019 to airport personnels Holding Room is equipped with chairs, tables, in the work area of PT Angkasa Pura I (Persero) bean bags, and mattresses. with the center of its implementation at the Head Office, these programs aimed to prepare With the availability of these facilities, airport the competence and capability of personnels in service users, especially those with special providing services to service users, especially to needs, are expected to feel safe, comfortable, those with special needs. and calm on their journey. In addition, the facility is expected to add value to services for 4. live Chat other stakeholders (business partners, and Live Chat is an online and live messaging airport managers). service. Through this application, service users can easily interact with the service providers 3. Guidebook using the automatic feature connected directly Following up on the availability of multisensory to the airport officials. room and special needs services holding room, the Airport Services and Hospitality work unit The objective of using a live chat is as follows: has published online guidebook entitled: a. To improve Voice of Customer services; a. Guidebook to Special Needs Services for b. To increase service users satisfaction; and children with Autism Spectrum at the c. To facilitate service users in communicating Airport, with service providers in live and real-time. b. Guidebook to Special Needs Services at the Airport, and Live Chat facility can be accessed through the c. Guidebook to Passenger Experience at website www.ap1.co.id and websites in the work PT Angkasa Pura I (Persero) Airport. area of PT Angkasa Pura I (Persero). The flow chart graphics of Live Chat service is as follows:

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Website Having an No Answer Related Unit Assistance

Automatic CCO Greeting Yes

Mobile Application

5. lost and Found System 7. Tourism Information Center (TIC) Lost and Found System is a service provided Service users commonly visit a place or area to improve service and satisfaction of airport for tourism purposes. Certain destinations service users with the following objectives: need to be traveled by airplane due to distance a. To facilitate service users in sharing their and time factors. Therefore, PT Angkasa Pura voice of customer related to lost and/or I (Persero) has coordinated and collaborated found items at the airport; with the Ministry of Tourism to support b. To facilitate service users in finding out tourism destinations by providing the Tourist information on lost and/or found items at Information Center (TIC) service. This service the airport; and is provided at the airport terminal and is used c. To improve performance and integration as a place for service users to find information of voice of customer reporting, specifically and to have their questions answered about reporting on lost and/or found items at the tourist attractions, tourist sites, culinary, airport. accommodation and local transportation, or other tourist sites or locations. This service is provided in collaboration with the Airport Security and Information Technology TIC counters are located in the Arrival Terminal work unit as a system/application service Area in all airports of the work area of PT Angkasa provider. Pura I (Persero) which is equipped with various facilities such as leaflets, tourist location maps 6. Boarding Pass Scanner (Flap Barrier) and monitor screens that display tourism There are currently 12 boarding pass scanners information. Upon arrival at the TIC counter, the located at the international departure terminal foreign tourists can ask information, besides of I Gusti Ngurah Rai Airport, Bali. This facility visiting TIC, they can also get information from aims to facilitate passengers in scanning their PT Angkasa Pura I (Persero) Airport Ambassador boarding pass automatically, so that it can and Culture and Tourism Service Officers who avoid long queue at the manual scanning site. are ready to provide various information related This facility can be used by passengers carrying to tourism. printed or mobile boarding pass.

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8. Airport Ambassador The duties and functions of PT Angkasa Pura I To improve services and to maintain good (Persero) Airport Ambassador are as follows: and sustainable relationship between service a. Corporate Branding, creating or organizing users and airport manager, PT Angkasa Pura I activities aimed at enhancing the Company’s (Persero) conducted the Airport Ambassador positive brand image. recruitment program in 2019. b. Public Relation, creating or compiling and/or publishing tourism sites and/or local tourism The Airport Ambassador Program is expected to and/or culinary tourism activities. provide more humane services to service users c. Tourism Promotion, representing and/ (extra life facilities), to increase welcoming value or assisting the company in an activity or through appropriate greetings to the passenger event with the theme of corporate branding, profile, and to contribute to the atmosphere or tourism promotion and public relation. ambience hospitality at the Airport. 9. x-Ray Automated Tray Return System (X-Ray The selected airport ambassadors, totaling 42 ATRS) people, are the native representative of the Angkasa Pura Airports inaugurated an region domiciled according to their respective automated tray return system (X-Ray ATRS), regions in the working area of PT Angkasa Pura a passenger and baggage inspection facility I (Persero). The Airport Ambassadors have gone with advanced scanning technology at I Gusti through various stages of selection required to Ngurah Rai International Airport in Bali. ATRS be subsequently determined as employees with X-ray is a passenger and baggage inspection the TMT Specific Time Contract Agreement on system with the latest scanning technology May 1, 2019, to April 30, 2021. During the specified in the Screening Check Point (SCP) area of time period, the selected Airport Ambassadors the international departure terminal with the are not permitted to participate in similar following benefits: selection events and/or being an ambassador a. Improving operational efficiency; for airport agencies / business entities other b. Speeding up the process of checking goods than PT Angkasa Pura I (Persero). and prospective passengers; c. Increasing accuracy and decreases queue Airport Ambassadors have a role in presenting time; and promoting airport services, tourism, and d. Improving public security and services; culture in their respective regions; educate and e. Ergonomically designed for use by security publish airport policies and / or regulations to the and public personnel; public, especially airport service users related f. Can provide dashboard statistics on x-ray to Safety, Security, Services and Compliance device utilization; and (3S + 1C) through their respective social media g. Can be integrated with various x-ray accounts. Besides that, Airport Ambassadors products. also play an active role in every event organized by PT Angkasa Pura I (Persero), as well as being representative for improving the Customer Satisfaction Index (CSI) and corporate image.

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If conventional x-ray is only able to check 155 For airlines, the ATRS X-ray also provides several trays per hour with a maximum of goods that benefits such as improve airlines’ service related can be checked during peak hours of 235 trays, to delay, increasing the level of punctuality of ATRS X-ray is able to check up to 285 trays per departure by reducing queues to pile up at SCP hour with maximum capability during peak 2, and avoiding losses due to delays caused by hours of 410 trays per hour. inspection process. ATRS X-ray is equipped with smart view baggage monitoring device, From the results of sampling data taken, which explosive trace detector, and body scanner. was taken 12 times in the afternoon and evening Smartview which is useful for monitoring (during operational rush hours), an efficiency the results of x-ray baggage scanning, is of 383% was obtained when ATRS facility. The equipped with 10 work stations and Security- facility can save the screening process time at Efficiency Management System (SEMS). With SCP 2 or 3.83 times faster compared without a technology that is able to identify potentially using the ATRS facility. dangerous goods more quickly and accurately as well as separating baggage suspected to be dangerous, the inspection process will be faster without causing a long queue.

Customer Service Improvement Program No. Service Innovation Information Description 1 Multi Sensory Room SRG It was symbolically inaugurated on October 21, 2019, by the President 2 Special Needs Services Holding SRG, DPS, BPN, Director of PT Angkasa Pura I (Persero) Room YIA, SOC, BDJ at Jenderal Ahmad Yani International Airport, Semarang 3 Guidebook DPS, SUB, UPG, https://ap1.link/panduanautisme a. Guidebook to Special Needs BPN, BIK, MDC, https://ap1.link/panduanSNS Services for Children with BDJ, SRG, JOG, https://ap1.link/passengerexperience Autism Spectrum at the SOC, LOP, AMQ, Airport, KOE, YIA b. Guidebook to Special Needs Services at the Airport, and c. Guidebook to Passenger Experience at PT Angkasa Pura I (Persero) Airport. 4 Live Chat On Process 5 Lost and Found System On Process

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CUSTOMER EXPERIENCE Telephone : 172 Email : [email protected] A pleasant trip starts with a delightful experience at Twitter : @angkasapura172 the airport. We want to ensure that every passenger Facebook : AngkasaPura 172. gets ease of travel and has a memorable experience. For this reason, we have prepared multiple The 172 Contact Center operates 24 hours a day, guidelines on our website to help passengers 7 days a week, using technology that can record from their arrival at the airport, check-in process, and store any activity and conversation between special needs services, the arrival process, customs, customers and agents. A total of 3,834 personnels to baggage collection, and others. We also pay with different positions in all our airports have been attention to passengers travelling with medicines provided with airport knowledge, knowledge of and provide comprehensive travel guide. business processes at PT Angkasa Pura I (Persero), ability to communicate with customers, and To improve service to users of airport services, PT equipped with Standard Operating Procedures Angkasa Pura I (Persero) launched the 172 airport (SOP) and Service Level Agreement (SLA). contact center or through other means that will soon be responded by our personnels:

Voice of Customer The procedure of delivering customer feedback “ services can be accessed through the link https://ap1.link/prosedurchart. While for the media, the feedback service can be accessed via the link “ https://ap1.link/mediaumpanbalik

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Voice of Customer Settlement Rate Incoming Settlement No. Description Complaints Settled Complaints Percentage 1. Telephone 11,737 11,714 99.80 2. Email 6,379 6,358 99.67 3. Twitter 2,026 2,018 99.61 4. Facebook 316 314 99.37 5. Suggestion Box 37 36 97.30 6. Customer Service 360,075 360,075 100% 7. Media Other Than 172 478 476 99.58 8. Public Relation 3,929 3,913 99.59

Voice of Customer is a service user feedback for user Voice of Customer Management is handled by experiences of the facilities and services provided. Airport Services and Hospitality at the Headquarter and is distributed to Director, General Manager, The media to capture Voice of Customer include: and related departments, through: 1. Customer Service 1. Weekly Report, 2. Voice of Customer Form 2. Monthly Report, 3. Contact Center of Angkasa Pura 172 3. Quarterly Report, 4. Email 4. Semester Report, and 5. Social Media (Twitter, Instagram, and Facebook) 5. Annual Report. 6. Live Chat The existence of the 172 Contact Center is very Voice of Customer Management is a part of market supportive of customer service and contributes research, presenting reports on the desires and beneficial impacts, such as: needs of service users in a hierarchical structure 1. Facilitate customers/service users to ask and organized according to their priorities. questions, leave suggestions and complaints related to airport services of PT Angkasa Pura I The mission and objectives of Voice of Customer (Persero). Management are: 2. Managers can find out the assessments of 1. Understanding the feedback and/or experience passengers/customers on airport services of of service users on the facilities and services PT Angkasa Pura I (Persero). provided, 3. Managers can recognize the priority aspects 2. Understanding the expectations and/or needs that need to be improved or changed. of service users for facilities and services, and 4. Managers can align with changes in the 3. Management considerations and/or references perceptions and priorities of passengers. in establishing policies for the improvement 5. Managers can find out the position of the and development of airport services. airports managed by PT Angkasa Pura I (Persero) compared to other airports in the world. 6. Users of services with special needs can properly be served according to their necessities.

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MEASUREMENT OF CUSTOMER strategic orientation to providing world-class SATISFACTION airport services, including by aligning methods of measuring and evaluating service quality with PT Angkasa Pura I (Persero) is a State- international standards or best practices (Skytrax, Owned Enterprise (SOE) in the transportation ACI, etc.). Therefore, the CSI measurement program sector engaged in airport management and continues to be developed from year to year. commercialization. Airport has a very strategic role in supporting national economic growth CSI measurement of PT Angkasa Pura I (Persero) and national resilience as it connects between includes the CSI (Customer Satisfaction Index) one country and another. In addition to safety measurement and the measurement of other and security aspects, the paradigm of the relevant service quality indicators. Every year, the modern aviation world has put service aspect as a company completes and develops data processing priority in the management of airport services in and presentation of CSI measurement results to effectuating the vision of 3S + 1C (Safety, Security, facilitate the managers in utilizing information Service, Compliance). Service quality can trigger an and supporting decision-making to improve increase in non-aeronautical revenues, so that the airport services effectively and efficiently. The quality of service is the focus of the managers in measurement results are further supported by a the administration of airport services. praise-criticism ratio (an indicator of dissatisfaction), average passenger spending rate, and a complete Service quality shall be monitored and evaluated customer profile. These measurements are through valid measurement mechanisms and integrated and complement each other to obtain aligned with set standards or best practice. The a better picture of service quality, so that it can saying goes that “if it cannot be measured, it be used as a basis for improving airport services, cannot be managed”. Thus, the measurement of achieving customer satisfaction, and increasing the quality of airport services is an initial step that the company’s business value. shall be taken able to evaluate the success of airport services. The quality of service will eventually be seen from the level of customer satisfaction of airport services. Simply stated, the customers will OBJECTIVE OF PROGRAM The general objective of the program is to drive be satisfied, if the quality of service meets their the improvement of PT Angkasa Pura I (Persero) expectations or needs. Conversely, the customer services through measurement of airport service will be dissatisfied, if the quality of service does not quality as stated by the CSI and other relevant meet their expectations or needs. indicators. The specific objectives of service quality measurement are as follows: PT Angkasa Pura I (Persero) has always monitored 1. Measuring Customer Satisfaction Index (CSI) the development of customer satisfaction through of airports managed by PT Angkasa Pura I regular measurement of the Customer Satisfaction (Persero) through customer surveys. Index (CSI) since 2008, through collaboration 2. Collecting information on service issues with independent institution of Indonesian and airport customer suggestions through National Air Carriers Association (INACA) to obtain questionnaire, customer forum/FGD, and field objective measurement results. In addition to observation. being an indicator of success to stakeholders, the managers are aware of the importance a more

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3. Analyzing the Interest-Satisfaction, customer from INACA, an internal advisory team from suggestions, and observations to determine PT Angkasa Pura I (Persero), and 4 surveyors in priorities for improving the quality of airport respective airport branch. The airports as the object services. of measurement this year are as follows: 4. Determining other relevant service quality 1. I Gusti Ngurah Rai Airport (DPS), Denpasar indicators, including Praise-Criticism Ratio and 2. Juanda Airport (SUB), Surabaya Passenger Spending Rate. 3. Sultan Hasanuddin Airport (UPG), Makassar 5. Determining the profile of customers of 4. Sultan Aji Muhammad Sulaiman Sepinggan PT Angkasa Pura I (Persero), especially Airport (BPN), Balikpapan passenger profile. 5. Frans Kaisiepo Airport (BIK), Biak 6. Sam Ratulangi Airport (MDC), Manado 7. Adisutjipto Airport (JOG), Yogyakarta SCOPE AND IMPLEMENTATION 8. Adi Soemarmo Airport (SOC), Solo OF PROGRAM 9. Syamsudin Noor Airport (BDJ), Banjarmasin 10. Jenderal Ahmad Yani Airport (SRG), Semarang The scope of program included a survey of 5 11. Lombok International Airport (LOP), Central customer groups (passenger, cockpit crew, station Lombok manager, concessionaire, cargo) at 13 airports 12. Pattimura Airport (AMQ), Ambon managed by PT Angkasa Pura I (Persero). The 13. El Tari Airport (KOE), Kupang implementation of the program involved 7 Experts

Customer Satisfaction Index (CSI) No. Airport Score in 2019 Score in 2018 1. Sultan Aji Muhammad Sulaiman Sepinggan Airport - 4.85 4.76 Balikpapan (BPN) 2. I Gusti Ngurah Rai Airport - Denpasar (DPS) 4.81 4.77 3. Sultan Hasanuddin Airport Makassar (UPG) 4.58 4.42 4. Sam Ratulangi Airport - Manado (MDC) 4.63 4.58 5. Syamsudin Noor Airport - Banjarmasin (BDJ) 4.52 4.44 6. El Tari Airport - Kupang (KOE) 4.50 4.38 7. Frans Kaisiepo Airport - Biak (BIK) 4.42 4.22 8. Jenderal Ahmad Yani Airport - Semarang (SRG) 4.61 4.35 9. International Lombok Airport - Central Lombok (LOP) 4.44 4.27 10. Pattimura Airport - Ambon (AMQ) 4.21 4.22 11. Juanda Airport - Surabaya (SUB) 4.63 4.47 12. Adisoemarmo Airport - Solo (SOC) 4.40 4.21 13. Adisutjipto Airport Yogyakarta (JOG) 4.27 4.07

PT ANGKASA PURA 1 (PERSERO) 2019 Sustainability Report 69 Report of the Overview of About PT Angkasa Pura I Spurring Economic Driving Governance Board of Directors Sustainability PT Angkasa Pura I (Persero) (Persero) & Sustainability Growth Sustainability

AIPORT SERVICE QUALITY 8. El Tari Airport - Kupang (KOE) 9. Jenderal Ahmad Yani Airport - Semarang (SRG) Airport Service Quality is an international standard 10. Pattimura Airport - Ambon(AMQ) passenger satisfaction assessment program. The Airport Service Quality measurement method The Airport Service Quality measurement is was conducted by surveys of passengers in comprehensive and measures 34 variables departure terminal using a Likert scale for 34 including parking lot facility, check-in, security variable assessment items to measure the level of check process, easy access to information, airport passenger satisfaction with the quality of service facilities, airport environment, arrival service, at the airport. In 2019, PT Angkasa Pura I (Persero) and others. The following table shows the results conducted ASQ at 10 airports of PT Angkasa Pura I of Airport Service Quality measurements at (Persero), namely: PT Angkasa Pura I (Persero) airports. 1. I Gusti Ngurah Rai Airport - Denpasar (DPS) 2. Sultan Aji Muhammad Sulaiman Sepinggan The good performance of the 3S+1C Airport - Balikpapan (BPN) implementation by PT Angkasa Pura I (Persero) can 3. Juanda Airport - Surabaya (SUB) be examined from the achievement of the Airport 4. Sultan Hasanuddin Airport - Makassar (UPG) Service Quality (ASQ) scores with an average value 5. Sam Ratulangi Airport - Manado (MDC) above 4.4 at 10 (ten) airports (2019) assessed by the 6. Adi Soemarmo Airport - Solo (SOC) ACI agency. In addition, the score of the Customer 7. Lombok International Airport - Central Lombok Satisfaction Index (CSI) assessed by INACA at 13 (LOP) (thirteen) airports in 2019 reached an average score of above 4.5.

Achievement Indicator 2019 2018 2017 Airport Service Quality (ASQ) Above average 4.4 Above average 4.5 Above average 4.6 Customer Satisfaction Index (CSI) Above average 4.5 Above average 4.4 Above average 4.2

The following displays the profile data of all passengers or respondents of the Customer Satisfaction Index (CSI) score assessment assessed by the Indonesian National Air Carriers Association (INACA) in 13 (thirteen) PT Angkasa Pura I (Persero) airports in 2019:

No. Passenger Profile Category Description Percentage (%) 1 Airline Lion Air 28 Garuda 18 Wings 12 Citilink 10 Batik 9 Sriwijaya 8 Air Asia 4 Others 11 2 Flight Class Economy 99 Business 1

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No. Passenger Profile Category Description Percentage (%) 3 Destination Personal 40 Service 28 Travel 18 Business 11 Others 3 4 Transportation to Airport Private vehicle 50 Online Taxi 19 Vehicle rental 13 Bus 8 Argo Taxi 7 Train 1 5 Shopping Passenger Behavior Shopping 69 Not Shopping 31 6 Reasons not to shop No need 54 Provision 26 Not enough time 9 Not attractive 8 7 Gender Male 59 Female 41 8 Profession Private employee 30 Civil servant 17 Entrepreneur 15 Student 9 SOE employee 8 Labor 6 Profesional 4 TNI/ POLRI 3 Others 8

Notes: 1. Airports Participating Airport Service Quality (ASQ) - ACI Program 2017 : 6 Airports (DPS, SUB, UPG, BPN, MDC, SOC) 2018 : 8 Airports (DPS, SUB, UPG, BPN, MDC, SOC, LOP, KOE) 2019 : 10 Airports (DPS, SUB, UPG, BPN, MDC, SOC, LOP, KOE, SRG, AMQ) 2. Airports Participating Customer Satisfaction Index (CSI) - INACA Program 2017 - 2019. 13 Airports (DPS, SUB, UPG, BPN, MDC, SOC, LOP, KOE, SRG, AMQ, YIA, BDJ, BIK). 3. The value shown is the average value of all participating airports of each program whose information is sourced from the program implementing institutions namely ACI and INACA.

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Airport Service Quality (ASQ) Index No. Location Score In 2019 Score In 2018 1. I Gusti Ngurah Rai Airport - Denpasar (DPS) 4.94 4.92 2. Sultan Aji Muhammad Sulaiman Sepinggan Airport - Balikpapan 4.97 4.93 (BPN) 3. Juanda Airport - Surabaya (SUB) 4.80 4.86 4. Sultan Hasanuddin Airport - Makassar (UPG) 4.80 4.62 5. Sam Ratulangi Airport - Manado (MDC) 4.75 4.69 6. Adi Soemarmo Airport - Solo (SOC) 4.29 4.26 7. Lombok International Airport - Central Lombok (LOP) 4.42 4.17 8. El Tari Airport - Kupang (KOE) 3.98 3.93 9. Jenderal Ahmad Yani Airport - Semarang (SRG) 4.36 - 10. Pattimura Airport - Ambon (AMQ) 3.50 -

PRODUCT MARKETING AND the stakeholders about the process being INFORMATION implemented to have a new tariff. The process covers that PT Angkasa Pura I (Persero) conducted Our product is airport services promoted through consultations with stakeholders, representatives of different strategies and services as follows: airport service users, and the Maritime Coordinating 1. Airline incentive in the form of exemption Ministry. When the new tariff is obtained, we seek from landing fees for new routes or flights that the Minister of Transportation’s approval. is valid for six months. 2. Collaboration Destination Development Our principle in carrying out marketing (CDD), a Focus Group Discussion (FGD) forum communications is to uphold fair and responsible by involving all stakeholders of regional practices and to avoid deceptive, dishonest, and tourism industries to jointly support the discriminatory claims. Another, we pay attention to development of the regional tourism industry. the laws and regulations that apply in marketing 3. Integrated Marketing Campaign by so that during the reporting year, there are no participating in various promotional incidents of non-compliance related to providing opportunities, including: Asia Routes in Cebu, Company services information and non-compliance Philippines and World Routes in Adelaide, with marketing communications. [GRI 417-3] Australia organised by IATA International. On top of that, PT Angkasa Pura I (Persero) also had the opportunity to attend the 2019 Cargo Fact Asia activity in Shanghai, China. COMPLIANCE WITH REGULATIONS In delivering service information, we endeavor to The commitment of PT Angkasa Pura I (Persero) in provide transparent information with guidelines complying with laws and regulations concerning applicable to marketing communication courses. labor, economic regulations, and relevant Should there be tariff adjustments, we will provisions brings out a better condition. There disseminate information through some methods were no incidents of non-compliance with laws to service users including through official letters, and regulations in the socio-economic field in the joint monitoring and others. We further informed reporting year. [GRI 419-1]

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Driving Governance 06 Sustainability

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“Proud to Serve the Nation” is our motto to build a company with “ good governance based on the principles of sustainability. ”

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Not only does good governance help direct the Company towards effective operations but it also establishes a firm foundation for the development of PT Angkasa Pura I (Persero) in time to come. Governance at PT Angkasa Pura I (Persero) is based on the vision, mission, and corporate values uniting all personnels of PT Angkasa Pura I (Persero) in achieving common goals. Sustainability governance does not only concern financial governance, but also focuses on the triple bottom line, namely economic, environmental, and social.

MOTTO Proud to Serve the Nation

We are proud to serve the nation through airport services that support business movements for economic growth. We are proud to serve people who need cargo services for the movement of their goods. We are proud to serve families who are sharing joy and sorrow when they meet each other. We are proud to serve the nation!

VISION & MISSION [GRI 102-16]

Vision Mission [GRI 102-16]

Connecting The World 1. Providing world class service Beyond Airport Operator in compliance with the best safety, security and comfort with Indonesian standards; 2. Improving stakeholder value; Experience. 3. Being a partner of the government and driving economic growth; Becoming the world’s 4. Improving the company’s connector for more than competitiveness through creativity and innovation; an airport operator with 5. Providing excellent airport services in meeting service excellence that stakeholders’ expectations features Indonesian through an outstanding human resource management; hospitality. 6. Make a positive contribution to the environmental sustainability.

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c. Never give up by developing new innovative Values [GRI 102-16] methods to complete tasks perfectly. The corporate values have been an impetus of the moral justification to achieve its vision and mission. 3. Trustworthy Through our values of “SATU”, we built a strong a. Holding the value of truth. culture at PT Angkasa Pura I (Persero) which will b. Showcasing consistency in words and encourage us to achieve our vision and mission. actions. c. Discipline in completing work. 1. Synergistic d. Taking responsibility for outcomes without a. Being intensive in establishing coordination denouncing others. between individuals, work units, and other stakeholders to create added-value for the 4. Unparalleled Company and the environment. a. Doing the best to serve the needs of internal b. Respecting constructive suggestions, and external customers. criticisms, and opinions. b. Providing fast and appropriate solutions c. Encouraging each other with enthusiasm to to customer needs in compliance with generate excellent performance. established service standards. c. Being expert and capable in completing 2. Adaptive duties and providing quality solutions that a. Being active in increasing skills and exceed customer expectations for both knowledge competencies through learning internal and external customers. and sharing knowledge, collectively and individually. b. Being proactive in dealing with internal and external changes.

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GOVERNANCE STRUCTURE 1. Indonesian GCG Guidelines developed by the [GRI 102-18] National Committee on Governance Policies Our goal to be part of the 10 best airport operators (KNKG); in Asia is supported by proper governance 2. Corporate governance principles for state- strategies and plans. We employ the principles owned companies developed by the of GCG (Good Corporate Governance), namely Organization for Economic Cooperation and transparency, accountability, responsibility, Development (OECD); and independence, and fairness in each layer of the 3. ASEAN Corporate Governance Scorecard. Company. We implement governance referring to the best business practices, both at national and We apply this process through the following international standards: policies and structures:

GOOD CORPORATE SUSTAINABILITY

PROCESS OF GCG • Commitment to the implementation • Board of Commissioners of good corporate governance on an • Board of Directors ongoing basis • Information disclosure and • Shareholders and Shareholders’ transparency General Meeting of Shareholders

Regulation Best Practices Infrastructure

MAIN ORGAN SUPPORTING ORGANS

• Organs supporting the board of commissioners Secretary to the Board of Commissioners, Audit • GMS Committee, Business Risk Committee, and GCG • Board of GCG Commissioners STRUCTURE • Supporting organs • Board of Directors BOARD OF DIRECTORS The Corporate Secretary, Risk Management Committee, Internal Audit Unit, Risk Management & Corporate Planning, Other Work Units

GCG PRINCIPLES Transparency Accountability Responsibility Independency Fairness

GCG COMMITMENTS Vision Mission Corporate Cultural Values

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Good corporate governance is applied by PT Angkasa Pura I (Persero) based on Law No. 40 of 2007 concerning Limited Liability Companies. The CGC structure of PT Angkasa Pura I (Persero) consists of the General Meeting Shareholders (GMS), the Board of Commissioners, and the Board of Directors whose authorities are regulated by laws and regulations as follows:

General Meeting of Shareholders

Board of Commissioners Board of Directors

Supporting Organs Risk Management Committee • Board Secretary • Corporate secretary Commissioner • Internal audit • Audit Committee • Management • Business Risk Committee and GCG

General Meeting of Shareholders 5. To conduct collective and individual The General Meeting of Shareholders (GMS) is the Performance Assessment of the Boards of Company’s organ acting by cooperating with the Commissioners and the Board of Directors. Company. The GMS has the following authorities: 6. To appoint an External Auditor to audit the 1. To approve the Long-Term Company Plan Company’s financial statements. (RJPP) and the Company’s Work Plan and 7. To set the remuneration of the Board of Budget (RKAP). Commissioners and the Board of Directors. 2. To determine allocation of profit utilization for: 8. To determine the maximum number of a. Dividends to shareholders. Commissioners positions that may be held by a b. Reserves. Board of Commissioners. c. Partnership and Community Development 9. To determine the maximum number of Board Program (PKBL). of Commissioners positions that may be held by 3. To appoint and dismiss the Board of a Board of Director in a Subsidiary. Commissioners and the Board of Directors. 10. To delegate authorities to the Board of 4. To evaluate performance of the Board of Commissioners and the Board of Directors. Commissioners and the Board of Directors. 11. To dissolve or liquidate the Company.

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The GMS consists of the Annual GMS and Rights of the Board of Commissioners Extraordinary GMS. The Annual GMS is carried out 1. Gaining access to the Company information by the Company every year, while the Extraordinary accurately, completely, and on time. General Meeting of Shareholders can be held at 2. Requesting the assistance of experts in any time based on the needs of the Company. The carrying out their duties for a limited period implementation of the GMS is preceded by the at the expense of the Company, or forming calling of the GMS conducted in accordance with committees according to the needs. applicable regulations. 3. In assisting the implementation of their tasks, the Board of Commissioners shall form a Board Board of Commissioners of Commissioners Secretariat at Company The Board of Commissioners carries out the expense. supervisory function and is supported by 4. Receiving honorariums and other benefits supporting organs such as the Secretary to the including retirement benefits in accordance Board of Commissioners, the Audit Committee, with applicable regulations whose amount is and the the Business Risk and GCG Committee. determined by the GMS. The Business Risk and GCG Committee provides 5. Obtaining Company facilities in accordance input on economic, environmental, and social with the resolutions of the GMS. issues. Furthermore, the Board of Commissioners 6. Receiving incentives for work performance is responsible for supervising in accordance with whose amount is determined by the GMS, if the the Articles of Association, advising the Board of Company reaches profit. Directors in terms of general Company operations, 7. Taking business trips in accordance with and overseeing the Directors’ policy towards the applicable regulations. Company general operations, as well as ensuring compliance with all applicable laws and regulations. Responsibilities of the Board of Commissioners 1. The Board of Commissioners is responsible for To maintain independence and avoid conflicts of overseeing the Directors’ policy towards the interest, we ensure that members of the Board of Company’s general operations. Commissioners do not have a family relationship 2. The Board of Commissioners carries out or blood relationship by marriage up to the third responsibilities with the following principles: degree, either in a straight line or side line, or a a. In carrying out supervision, the Board familial descent (son/daughter or brother/sister of Commissioners shall comply with the in law) with other members of the Board of Company’s Articles of Association and Commissioners and/or members of the Board of applicable laws and regulations Directors. In addition, the Board of Commissioners b. The Board of Commissioners supervises are not holding double positions as a member of the Board of Directors on the Company’s the Board of Directors to State-Owned Enterprises, management Local-Government-Owned Enterprises, Private c. The Board of Commissioners supervises, Enterprises, and other positions in accordance provides advice and directives in meetings with the provisions of legislation. The Board of and/or in writing Commissioners must meet the material criteria d. In supervising, the Board of Commissioners of having high integrity, understanding the acts as an assembly (collegial) and cannot Company’s management issues, and having act individually sufficient knowledge in the business field of PT Angkasa Pura I (Persero).

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e. Supervision may not change to The process of selecting the Board of Directors implementation of executive tasks, except in is set out within the Board Manual, to ensure the case that the Company does not have a that members of the Board of Directors have Board of Directors fulfilled formal and material criteria. The criteria f. Supervision is carried out not only by are that the Board of Directors has never been approving or disapproving of actions convicted for committing a crime that hams the that require the approval of the Board of state’s finance, does not have blood relationship Commissioners, but supervision is carried or relationship by marriage with members of the out proactively covering all aspects of the Board of Commissioners and/or other members Company’s business of the Board of Directors, does not hold multiple g. The Board of Commissioners can use the positions in State-Owned Enterprises, Regional- services of independent professionals and/or Owned Enterprises, Private-Owned Enterprises form committees to help carry out the duties and other positions that may generate a conflict of the Board of Commissioners. of interest. The Board of Directors shall be capable, have adequate knowledge, experience and Supporting Organs of the Board of competence, as well as understand the Company’s Commissioners management issues. In accordance with the SOE Ministerial Regulation No. PER-09/MBU/2012 concerning Implementation Rights of Board of Directors of Good Corporate Governance in SOEs and SOE 1. Receiving a salary along with other facilities Ministerial Regulation No. PER-12/MBU/2012 and/or benefits, including retirement benefits concerning the Supporting Organ of the Board whose amount is determined by the GMS. of Commissioners/Board of Supervisors of State- 2. Receiving incentives for work performance Owned Enterprises (SEO), PT Angkasa Pura I whose amount is determined by the GMS, if the (Persero) forms the supporting organs of the Board Company reaches profit. of Commissioners that constitutes Secretary of the Board of Commissioners, Audit Committee and Responsibilities of Board of Directors Business Risk and GCG Committee. 1. The Board of Directors is fully responsible for managing the Company for the interests and Board of Directors objectives of the Company and is responsible The Board of Directors is the Company’s organs for achieving the Company’s goals and that are authorized and fully responsible for the performance targets. Company’s management for the benefit of the 2. The nature of the responsibilities referred to in Company, in accordance with the purposes and “a alphabet” above is a joint responsibility to the objectives of the Company and to represent the personal assets of the Board of Directors if the Company, both inside and outside the court in related person is guilty or negligent in carrying accordance with the provisions of the Articles of out his duties for the benefit of the Company. Association. In accordance with the provisions of the Articles of Association in performing its duties, Supporting Organs of the Board of the Board of Directors shall comply with applicable Directors laws and regulations and shall implement The Board of Directors of PT Angkasa Pura I (Persero) the principles of professionalism, efficiency, has supporting organs in the forms of a Corporate transparency, independence, accountability, Secretary and Risk Management Committee. This responsibility, and fairness. organ was formed in accordance with the Minister of State-Owned Enterprises Regulation No. PER- 09/MBU/2012 concerning the Implementation of Good Corporate Governance in SOEs.

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GCG INITIATIVES The Business Ethics section within the Code of Conduct of PT Angkasa Pura I (Persero) contains: In addition to the organizational structure, 4. Commitments to Shareholders; PT Angkasa Pura I (Persero) has established 5. Compliance with laws and regulations; initiatives that form the basis of corporate 6. Information disclosure; governance, such as: 7. Company relations with employees and non- 1. Code of Corporate Governance employee work force in the Company, service 2. Code of Conduct users, government, business partners, suppliers 3. The Board Manual of the Board of Directors and of goods/services, creditors, subsidiaries and the Board of Commissioners joint ventures, and industrial relations; 4. Audit Committee Charter 8. Social responsibility to the community; 5. Internal Audit Charter 9. Safety, health, and work environment; 6. 2017—2019 Collective Labour Agreement 10. Environmental Conservation; 7. Guidelines for Gratification Control 11. Intellectual Property Rights (IPR); 8. Whistleblowing System Guidelines 12. Information and Communication Technology 9. Reporting State Property Assets Guidelines System; 10. Company policies and Standard Operating 13. Document storage; Procedures (SOP) 14. Financial recording and reporting.

The guidelines and policies have been socialized Whereas the Code of Conduct contains: to all personnels of PT Angkasa Pura I (Persero), 1. Code of Conduct of Board of Commissioners; including the Board of Commissioners, Directors 2. Code of Conduct of Board of Directors; and the Company’s employees. The Company 3. Code of Conduct of The Company’s Employees; continuously monitors and evaluates the implementation of these commitments. The Company’s Code of Conduct applies to all employees of PT Angkasa Pura I (Persero), including CODE OF CONDUCT the Board of Commissioners, the Board of Directors, [GRI 102-16] and all employees. For this reason, we make efforts Code of conduct is a company’s standard that to promote and uphold the Company’s Code of provides moral guidance and facilitates the Conduct in all spheres by: company’s decision making. Another benefit of 1. Establishing a Personnel Consideration Agency code of conduct is to establish clear principles (BPK) Board and an Employee Discipline Abuse regarding behaviour and relationships between Inspection and Inspection Committee (P4DP) the company and employees, and between the which serves to conduct an examination of employees. PT Angkasa Pura I (Persero) outlines violations of the Company’s human capital Code of Conduct consisting of business ethics, discipline. behavior, and handling of conflicts of interest. 2. Encouraging all personnnels of PT Angkasa The Company’s Code of Conduct is regulated Pura I (Persero) to report suspicion or violation in a Joint Decree of the Board of Directors and of the Company’s Code of Conduct. Commissioners of PT Angkasa Pura I (Persero) No. 3. Imposing sanctions, from mild, moderate, to KEP.111/OM.04/2019 and No. KEP.03/DK.API/2019 severe discipline and dismissal of employees concerning Code of Conduct. who violate the Company’s Code of Conduct.

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Whistleblowing System [GRI 102-17] In an effort to violations of code of conduct and fraud in the Company, PT Angkasa Pura I (Persero) has established the Whistleblowing System. To handle the reporting of alleged violations, the Board of Directors establishes the Whistleblowing System Management Team organization with the following structure:

Member Structure Position in Team Advisory Board of Commissioners Supervisor Board of Directors Person in Charge Executive VP Compliance and Risk Management Head Compliance Senior Manager Deputy Head Compliance Officer Administrator

Types of complaints which will be followed up by 10. Thievery. the Whistleblowing System Management Team 11. Scam. include: 12. Fraudulunce. 1. The misuse of company facilities. 13. Disciplinary violation. 2. Threatening. 14. Conflicts of interest. 3. Misappropriation of company money. 15. Corruption. 4. Abuse of office for personal or group interest or 16. Collusion. other outside interests outside the company. 17. Nepotism. 5. Embezzlement of company assets. 6. Reception, grant and request of gratification. This mechanism is internal and external 7. Ethics violations and sexual misconduct. mechanisms provided to solicit suggestions or 8. Leaking company’s confidential information. report unethical behaviour which violates the 9. Extortion. Company’s integrity. The following is the flow of whistleblowing mechanism in PT Angkasa Pura I (Persero):

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WHISTLEBLOWING SYSTEM MANAGEMENT TEAM

ADMIN IMPLEMENTATION start

Data Verification The initial research Filling in the and Analysis 4W1H process and Violation Form making the initial wbs.apl.co.id research report

PRESIDENT DIRECTOR

P4DP HUMAN CAPITAL SHAREHOLDERS

IF REPORTED IS AN ORGANIC IF REPORTED IS PKWT, IF REPORTED IS THE EMPLOYEE PKWTT, ASSIGNMENT, BOARD OF DIRECTORS • Carrying through OUTSOURCING OR BOARD OF inspections and decide • Carrying through checks COMMISSIONERS sanctions according to in accordance with the Carrying out inspections provisions. provisions. according to the provisions. • Submitting the audit report • If the reported is PKWT. to the Director of Human PKWT, Task Force according Resources and General to be to contract. forwarded to the President • If the reported is outsourcing Director. that is forwarded to the Service Provider Company.

The socialization for external violations was carried goal is to prevent material and immaterial losses out through the Company’s website. www.wbs.ap1. that can disrupt the business continuity of PT co.id. While the socialization for internal parties Angkasa Pura I (Persero). was carried out together with the socialization of the Company’s Code of Conduct. The Company The policies related to anti-corruption and fraud protects and guarantees the confidentiality of are outlined in: whistleblowers and process each report carefully 1. Guidelines for Gratification Control No. KEP.09/ by prioritizing the principle of integrity. PG.02/2018 concerning the Guidelines for Gratification Control 2. Guidelines for the Whistleblowing System No. ANTI-CORRUPTION AND ANTI KEP.69/PG.01/2018 concerning the Guidelines GRATIFICATION for the Whistleblowing System 3. Guidelines for Reporting State Organized PT Angkasa Pura I (Persero) seeks to create a work Assets No. KEP.33/OM.07/2018 concerning climate that is healthy and has integrity and avoids the Guidelines for Reporting State Organized behaviour that can lead to conflict of interest, Assets in the Environment of PT Angkasa Pura I corruption, and gratification. We fully support (Persero) government’s effort to eradicate corruption. Our

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In addition to establishing an anti-corruption President Director. In addition, We also establishes policy, we implement an Internal Control System a special unit responsible for anti-corruption within consisting of financial and operational controls. the Company, namely the Compliance and Risk The financial control system is a supervision effort Management unit, especially in the Compliance so that investment, cost allocation, and profitability Department. run according to the Company’s plans. While Operational Control System is the placement To enforce anti-corruption, the anti-corruption process so that operational activity can be held policies have been communicated to employees effectively and efficiently. through the Company’s Code of Conduct. Every prospective employee who will begin working at The activities of Internal Control System in PT PT Angkasa Pura I (Persero) is required to sign a Angkasa Pura I (Persero) include supervision statement to adhere to the applicable regulations by management and control culture, activity at PT Angkasa Pura I (Persero), where one of the and separation of operational function, internal applicable regulations is the Code of Conduct. control activity and audit quality improvement. Furthermore, we have an Internal Audit Unit During 2019, the officials and employees of whose function is to assist the President Director PT Angkasa Pura I (Persero) did not attend in doing controlling functions toward the anti-corruption training. The management of effectiveness of the internal control system and PT Angkasa Pura I (Persero), however, is committed the implementation of GCG in the company. The to involving more officials and employees in anti- Internal Audit Unit is responsible directly to the corruption training in the future.

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Anti-Corruption Communication by Regions [GRI 205-2] Have been communicated by the organization regarding Have attended anti-corruption policies and anti-corruption training procedures Total % Total % Head Office 514 100 0 0 I Gusti Ngurah Rai Airport, 611 100 0 0 Denpasar Juanda Airport, Surabaya 375 100 0 0 Sultan Hasanuddin Airport, 249 100 0 0 Makassar Sultan Aji Muhammad Sulaiman 243 100 0 0 Sepinggan Airport, Balikpapan Sam Ratulangi Airport, Manado 153 100 0 0 Syamsudin Noor Airport, 149 100 0 0 Banjarmasin Adisutjipto Airport, Yogyakarta 251 100 0 0 Jenderal Ahmad Yani Airport, 177 100 0 0 Semarang Adi Soemarmo Airport, Solo 113 100 0 0 Pattimura Airport, Ambon 93 100 0 0 El Tari Airport, Kupang 108 100 0 0 Lombok - Praya International 188 100 0 0 Airport, Lombok Frans Kaisiepo Airport, Biak 65 100 0 0 PP Jenderal Ahmad Yani Airport, 13 100 0 0 Semarang PP Yogyakarta - Kulon Progo 23 100 0 0 International Airport PP Syamsudin Noor Airport, 21 100 0 0 Banjarmasin PP Sultan Hasanuddin Airport, 11 100 0 0 Makassar Total 3,355 100 0 0

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Anti-Corruption Communication by Level [GRI 205-2] Have been communicated by the organization regarding Have attended anti-corruption policies and anti-corruption training procedures Total % Total % Board of Commissioners 5 100 0 0 Board of Directors 7 100 0 0 Top Management 54 100 0 0 Middle Management 216 100 0 0 Lower Management 406 100 0 0 Staff 2.667 100 0 0 Total 3,355 100 0 0

PT Angkasa Pura I (Persero) communicates anti- For the sake of the implementation of business corruption policies and procedures by conveying practices that are clean from corruption, we also anti-corruption related guidelines such as conduct anti-corruption socialization to external gratification control and Whistleblowing System parties, such as suppliers. All business partners to all employees, and through internal and external have been briefed or asked to sign an integrity pact campaigns. In addition, the Company circulates as evidence of commitment to prevent corruption a ban on receiving gratification during holidays. practices. There were no incidents of corruption [GRI 205-2] involving business partners or vendors in the reporting year. During 2019, PT Angkasa Pura I (Persero) did not hold a Tunas Integritas Workshop. Throughout 2019, there were no proven corruption incidents. [GRI 205-3]

Business Partners Communicated Regarding Anti-Corruption Policies and Procedures by Region Region Total % Head Office 1,256 43.61 I Gusti Ngurah Rai, Bali 10 0.35 Juanda, Surabaya 357 12.40 Sultan Hasanuddin, Makassar 174 6.04 SAMS Sepinggan, Balikpapan 212 7.36 Adisujipto, Yogyakarta 125 4.34 Jenderal Ahmad Yani, Semarang 146 5.07 Syamsudin Noor, Banjarmasin 63 2.19 Lombok Praya International 68 2.36

Sam Ratulangi, Manado 68 2.36 Frans Kaisepo, Biak 26 0.90 Adi Soemarmo, Solo 77 2.67

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Region Total % Pattimura, Ambon 59 2.05 El Tari, Kupang 78 2.71 Total 2,880 100

GRATIFICATION CONTROL For gratification control, we have made a policy and gratification control system conducted by Gratification Control Unit of PT Angkasa Pura I (Persero). The job of Gratification Control Unit is to receive and proceed the report of gratification’s receive and offer to Committee of Corruption Eradication (KPK). The following is the reporting and handling gratification mechanism in PT Angkasa Pura I:

2 3 Gratuity Control Unit Submitting Gratification Goods a c to the Gratification b 1 Control Unit of the Head Office or Branch Offices

Submitting the Branch Verification of Directly or Send the Report Sending Gratuity completeness Filling in the Form to Email Recapitulation Recipient Reports Review of document Gratification reporting (7 Working to Corruption documentation of gratifikasi@ap1. Reporting Form goods and deviate Days) Eradication co.id (Download the Form items of gratuity Commission on the intranet’s

Disampaikan maksimum start 5 7 hari kerja surat gratifikasi diterima 4 CORRUPTION ERADICATION COMMISSION

a b c Decree on the Gratuity Determination Recipient of Gratification (Reporter) Status

6 Verification of Status Data and 7 Completeness Analysis and Description Determination Requests

Submitting State-Owned Gratification Goods

In accordance with Decree of Board of Directors The company conducted socialization on No. KEP.09/PG.02/2018 concerning Gratification gratification control to all managers and employees Control Guidelines, PT Angkasa Pura I (Persero) has of PT Angkasa Pura I (Persero) through: decided the representative of the Branch Office 1. Learning curriculum for employees, officials Gratification Control Unit. The Representative of and secretary. Gratification Control Unit in Branch Office has a 2. Socialization through special circular. duty as an extension of the Head Office Gratification 3. Campaigns through standing banners, stickers, Unit to ensure the implementation of Gratification posters. Control Program in the regions. 4. Short video competition “Angkasa Pura Dare to be Clean.” 5. Distribution of Gratification Control Guidelines to all Employees, including to the Directors.

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In the reporting year, there were 9 gratification 4. 2022: Competitive, smart and sustainable receipt reports with the amount of money equals to company with best people. Rp10,430,000 (Ten Million Four Hundred and Thirty 5. 2023: Connecting the world beyond airport Thousand Rupiah) and this has been followed up operator with Indonesian experience. by the relevant units. (Becoming the world’s liaison that is more than an airport operator with service excellence that features Indonesian hospitality). ROADMAP OF COMPANY’S TRANSFORMATION Decisions in the economic, environmental and social fields are made by the Board of Directors PT Angkasa Pura I (Persero) has set a clear with the approval of the Board of Commissioners. direction for corporate transformation as outlined [GRI 102-18] in the 2019-2023 Roadmap, covering targets in the operational, economic, infrastructure, In the process, the Company’s Work Plan and partnership, environment and other services. This Budget (RAKP) is submitted by all work units transformation can only occur in the structure of and reviewed by the Board of Directors in each good corporate governance and excellence. directorate. The Work Plan and Budget is then 1. 2019: Strengthening business and portfolio approved by the Board of Commissioners and is (Strengthening business and portfolio). submitted to the Ministry of SOEs. [GRI 102-26] 2. 2020: Growing the business and expanding portfolio through innovation. 3. 2021: Maturing the business, organzation and global network.

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Driving Environmental 07 Sustainability

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Concern for the environment is a fixed element of our line “ of operations, intending to build eco-friendly airports. ”

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The commitment of PT Angkasa Pura I (Persero) emissions, energy, land, waste, socio-economic, to the environment and business process biodiversity, and climate change adaptation. sustainability is not only corroborated through Over and above this, the Company carries out assorted activities keeping up environmental planning and sustainable development, one of preservation around the airport area, such as which is through Board of Directors Instruction conservation and environmental education, No. Ins.DU.18/HK.01.02/2018 concerning but also PT Angkasa Pura I (Persero) brings the Management of Waste and Chemical/B3 principles of environmental preservation in its Waste at the Airports of PT Angkasa Pura I business processes to materialise sustainable and Circular No. 062/AP-I/2019 on January 10, business processes. 2019, Regarding the Application of Limiting Disposable Plastic Waste. Furthermore, PT Angkasa Pura is obliged to 2. In terms of licensing compliance, PT Angkasa undertake environmental management in its Pura conducts an Environmental Impact airports by following national regulations such Analysis (EIA) and a Traffic Impact Analysis in as Law No. 32 2009 concerning Environmental all establishments and developments in the Protection and Management and Government airport area, such as landside, terminal, and Regulation No. 40/2012 concerning Airport airside. Development and Environmental Preservation, 3. Architectural concepts implementation and international regulations ICAO Annex referring to green building concepts prioritises 16 concerning Environment Protection thus, skylights, cut water and energy use back PT Angkasa Pura I (Persero) has an obligation down, utilizes alternative water sources other to perform environmental management at the than groundwater as raw water, and ensures managed airport. the availability of green open spaces for water catchment. Green architecture has been PT Angkasa Pura I (Persero) invoked the concept applied in the construction of Jenderal Ahmad of an eco-friendly airport with the new terminal of Yani Airport - Semarang and Yogyakarta Jenderal Ahmad Yani Airport, Semarang, followed International Airport - Kulon Progo. with implementation of ISO 14001: 2015 standards 4. Reporting carbon generated at 13 airports relating to the environment by I Gusti Ngurah through the ACERT (ACI’s Airport Carbon and Rai Airport - Bali and Sultan Hassanudin Airport - Emissions Reporting Tool) platform every 6 Makassar. Furthermore, the Company has merged months to the Airport Directorate. The platform environmental strategies into its corporate social issued by the Airport Council International responsibility (CSR) programs, such as tree planting, facilitates PT Angkasa Pura I (Persero) to coral transplantation, community training, and so evaluate energy management. forth. 5. Purveying the installation of environmental management facilities, such as wastewater A few initiatives in environmental-based operational management facilities, wastewater recycling, activities done by PT Angkasa Pura I (Persero) are: rainwater harvesting, clean water management 1. PT Angkasa Pura I (Persero) has had the systems, Temporary Waste Disposal and commitment of BOD towards environmental Temporary Waste Disposal for B3 in a waste management for all components and elements management system, and other facilities. of the environment, such as air, noise, water,

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6. Applying the concept of environmentally 9. Environmental evaluation and assessment, friendly facilities, such as the installation of LED involvement with stakeholders, as well floods lights for apron area lighting, the use as increased awareness and competence of LEDs for terminal lighting, LED monitors, of employees towards environmental sensor systems on equipment, solar panels, and management. coolers with centrifugal magnetic pads, APARs and refrigerants that do not contain ozone- The commitment of PT Angkasa Pura I (Persero) depleting substances. The aforesaid facilities to the environment and sustainable business are harnessed as an alternative solution to save operations is showcased by the participation energy and to reduce emissions. of Adi Soemarmo Airport Solo on the Airport 7. We further conduct habitat management Excellence (APEX) in Environment program held by studies to validate that airport development Airports Council International (ACI) in 2018, where and operations do not disrupt biodiversity and Adi Soemarmo Airport - Solo became the first mitigate hazards caused by the presence of airport in the Asia - Pacific region to participate wild animals in the airport area and prevent in activities related to the praxis of environmental illegal wildlife trafficking. and sustainability principles at the airport. Within 8. Hydro-oceanography, micro-earthquake, this program, a review is undertaken on many tsunami mitigation, and microzonation aspects of environmental management at the studies in collaboration with universities Adi Soemarmo Solo Airport by environmental and Meteorological, Climatological, and experts and assessing against best practices of Geophysical Agency (BMKG) in adressing the environmental-based airport management from reverberations of climate change in airport the world’s leading airports. development.

Airport Environment Environmental 2019 2018 2017 Management Budget (Rp) Authorization 7,000,000,000 5,000,000,000 1,200,000,000 Monitoring 2,000,000,000 1,200,000,000 200,000,000 Environmental 400,000,000 200,000,000 400,000,000 Campaign Waste Management 2,000,000,000 - - Training 1,370,000,000 922,500,000 557,580,000 Total 12,770,000,000 7,322,500,000 2,357,580,000

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ENERGY CONSUMPTION increasing glass panels at airports and offices; thus, the light source during the day uses sunlight. In operating its daily operational activities, PT Moving forwards, we have designed El-Tari airport Angkasa Pura I (Persero) extracts electricity from in Kupang to use renewable energy as one of the PLN and by harnessing a generator set as an main energy sources, namely solar cells as a pilot alternative source of energy should PLN electricity project, to be followed by other airports on the supply be cut off. Having realized that both of basis of the results of a feasibility study. these energy sources are un-renewable sources, we are attempting to save electricity, such as

Energy Use [GRI 302-1, GRI 302-2] Types of Energy Denomination 2019 2018 2017 Energy Consumption within the Organisation Fuel Litre 1,157,798.90 1,340,666.79 1,256,713.82 Gigajoules 49,028.77 56,310.90 52,771.71 Electricity kwh 184,718,375.77 182,447,540.55 173,732,837.25 Gigajoules 664,986.15 656,811.15 625,438.21 Total Gigajoules 714,014.92 713,122.04 678,209.93 Energy Consumption outside of the Organisation Electricity kwh 58,917,801.03 62,031,158.04 56,623,036.31 Gigajoules 212,104.08 223,312.17 203,842.93

Note: 1) Fuel consumption is calculated on the basis of the number of purchases in litres. 2) Electricity kwh usage is calculated according to the electricity kwh usage from PLN. 3) The use of fuel from litres is converted to joules using WRI/WBcSD’s Greenhouse Gas Protocol, 2004. 4) Electricity consumption from kwh is converted to gigajoules using WRI/WBcSD’s Greenhouse Gas Protocol, 2004. 5) Stakeholders use energy outside the organization in the form of electricity usage at the airport.

Energy consumption within the organisation consists of electricity usage in our offices and throughout our airport, gasoline for use of official cars, and diesel fuel for diesel which functions as a backup when PLN electricity fails.

Energy consumption outside of the organisation is in the form of electricity utilized by our tenants or kiosk tenants at the airport. We do not count fuel used for airline vehicles or ground handling companies, for they are beyond our control.

Energy Intensity [GRI 302-3]

Description Denomination 2019 2018 2017

Total Energy Usage Gigajoules 714014.916 713122.0427 678209.9262

Total Commercial Aircraft Landing Unit 334.526 390.165 366.153 Intensity Ratio of Energy Use/ Gigajoules 2.13 1.83 1.85 Commercial Land Aircraft

Note: 1) The variable chosen to calculate energy intensity is the number of commercial aircraft landing per year. 2) The amount of energy consumption in gigajoules comes from the use of fuel and electricity from the National Electric Company. 3) The intensity of energy use is only calculated from the energy consumption in the organization (excluding energy use outside of the organisation). 4) Calculation of energy use can be seen in the table above.

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Reduction Initiatives in the 14. Increasing the use of reverse osmosis Energy Use technology at the Semarang Ahmad Yani airport by recycling water from brackish water We continue to make energy saving efforts in and rainwater. various ways such as: 15. The use of the Supervisory Control and Data 1. The vehicle booking system is controlled, to Acquisition (ScADA) system to monitor avoid the use of vehicles that are not needed, electricity usage periodically at Jenderal or outside the interests of the office. Ahmad Yani Airport in Semarang. 2. Reducing business trips and replacing them 16. The use of Solar Cells for street lighting at with meetings via teleconferencing. Syamsudin Noor Airport in Banjarmasin and 3. The use of LED lights in airport facilities as El Tari Kupang Airport. many as 16,979 units of lights in 2019. 17. The use of water taps that use sensors to 4. The use of 449 units of PJU Solar cell lamps in conserve water use in many airports managed 4 airports, namely BDJ, SRG, UPG and KOE. by PT Angkasa Pura I (Persero). 5. PT Angkasa Pura I (Persero) has a Building 18. Making Rapid Exit Taxiway (RET) which can Automation System (BAS), a system located reduce aircraft time and distance from runway in the Airport Operation Control Center room to apron so as to reduce fuel consumption. that is used to monitor and control the use of 19. Age restrictions on air side operational vehicles equipment at the airport. and the use of PertaminaDex (Large Airport). 6. The use of the Supervisory Control and Data Acquisition (ScADA) system to monitor PT Angkasa Pura I (Persero) is conducting a electricity usage periodically at Jenderal massive development at several airports such as Ahmad Yani Airport in Semarang. YIA, SOc, SRG, AMQ, KOE, UPG, SUB, DPS where the 7. Use of escalators that use sensors to save construction process requires considerable energy. electricity. The development and operation of a new airport 8. Reducing the duration of using Ac Standing with the airport train station, greater Commercial and centralized air conditioner (Ac) in the Space, a growing number of passengers and terminal. stakeholders will improve services as well (the 9. The use of sunlight as a source of lighting in addition of operational buses/cars, generator the terminal. equipment, and others). 10. Uses an RFID card to monitor pertalite usage for protocol vehicles. 11. Stop the use of plastic for consumption and the use of glass for consumption as a EMISSION Greenhouse gas (GHG) emissions arising from substitute for disposable plastic bottles in the human activities can trigger global warming, for environment of Lombok International Airport this it needs to be controlled. Indonesia is pursuing and I Gusti Ngurah Rai Airport in Bali. a target of reducing GHG emissions by 29% by 12. The use of recycled water from the Sewage 2030. We believe that this emission reduction is Treatment Plan (STP) from September 2019 at the responsibility of every industry and even every I Gusti Ngurah Rai Airport in Bali for flushing population including PT Angkasa Pura I (Persero). and watering plants as a step to reduce the We are determined to manage and to reduce GHG use of underground water. emissions from year to year. 13. The reduction in the use of paper by the Electronic Service Manuscript System.

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GHG Emission [GRI 305-1, GRI 305-2, GRI 305-3] Source of Energy/Scope Denomination 2019 2018 2017

Fuel (Scope 1) Tonnes CO2 Eq 2,878.39 3,275.24 1,836.61

Electricity (Scope 2) Tonnes CO2 Eq 212,654.84 213,523.13 201,498.08

Business Trip (Scope 3) Tonnes CO2 Eq 1,249.81 805.38 1,295.76

Total Tonnes CO2 Eq 216,783.04 217,603.76 204,630.45

Note: 1) Calculation of GHG emissions from fuel use using technical reference guidelines for calculating sector GHG emissions baselines energy based, Bappenas, 2014. 2) Calculation of GHG emissions from kwhik use is on the basis of the provisions of the Director General of Electricity of the Ministry of Energy and Mineral Resources, 2017. 3) Calculation of GHG emissions from official travel is carried out in accordance with IcAO (International civil Aviation Organisation) standards.

GHG Emission Intensity [GRI 305-4] Source of Energy/Scope Denomination 2019 2018 2017

Total Emission Tonnes CO2 Eq 216,783.04 217,603.76 204,530.45 Total Commercial Aircraft Landing Unit 334,526 390,165 366,153

Intensity Ratio of Energy Use/ Tonnes CO2 Eq 648.03 557.72 558.87 Commercial Land Aircraft

Note: 1) The variable chosen to calculate GHG emissions intensity is the number of commercial aircraft landing per year. 2) The amount of GHG emissions calculated includes scope 1, scope 2 and scope 3. 3) Calculation of the amount of GHG emissions can be seen in the table above.

GHG EMISSION MITIGATION 8. Age restrictions on air side operational vehicles PROGRAM and the use of PertaminaDex (Large Airport). We continue to carry out emission reduction In the reporting year there are a reduction efforts through various appeals and energy in emissions of 821 Tonnes CO Eq compared reduction efforts: 2 the previous year which calculated CO gas 1. Issue Directors’ Instructions number INST. DU.04/ 2 from coverage 1, 2 and 3. The standards used HK.01.02/2018 Concerning Steps to Reduce in accordance with the emission calculation Greenhouse Gas Emissions (GHG) at PT Angkasa regulations listed above. [GRI 305-5] Pura I (Persero) Airport. 2. Changing the lighting system by using Light Emitting Diode (LED). 3. Using solar cells for street lighting. WATER 4. Greening the airport environment. The use of water by PT Angkasa Pura I (Persero) 5. Energy-saving programs, for example turning off in office operations is needed for toilets, watering lights and other equipment when not needed. plants, mopping the floors, and cleaning needs 6. Environmental promotion programs in the of tenants, especially tenants selling food and context of saving energy, for example the beverages. The source of water used is the PDAM installation of signage, stickers, electronic media whose volume is calculated through the meter. and others regarding energy use at airports. The following water usage table records water 7. Making Rapid Exit Taxiway (RET) which can usage in all airports managed by PT Angkasa reduce aircraft time and distance from runway Pura I (Persero). to apron so as to reduce fuel consumption.

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Water Withdrawal and Water Recycled [GRI 303-1, GRI 303-3]

Water Source (M) 2019 2018 2017

PDAM 1,677,895.00 1,472,495.00 1,484,145.00

Groundwater 3,047,693.00 3,299,122.70 2,983,349.00 Recycled 149,292.00 144,353.00 176,355.00 Total 4,874,880.00 4,915,970.70 4,643,849.00

Note: 1. The record of taking PDAM water is calculated based on the volume of water based on the bill/meter from the PDAM. 2. Recording of groundwater abstraction is conducted based on the volume of water abstraction stated in the Surface Water Tax bill in each operational area of PT Angkasa Pura I (Persero). 3. Water recycling is calculated based on the estimated volume of the water reservoir in M3. The use of recycled water is only applied at Juanda Airport and starting in 2019, it is also applied at I Gusti Ngurah Rai Airport. 4. The recycled water is used for flushing toilets and watering plants. The volume of recycled water used compared to total water withdrawal is 3%.

WASTE In the airport services industry, the main waste consists of domestic waste which is waste from passengers that are not B3 waste. Whereas B3 waste consists of B3 Waste Aircraft Operations and Airport Operations as the table below. For waste in the form of passenger trash, we provide a considerable amount of trash, in order to maintain the cleanliness of the airport. The rubbish is collected and then disposed of at the final disposal site by a third party. Whereas hazardous waste is collected in a temporary place and then handed over to third parties for transportation and disposal. The following data is about the weight of B3 and non-B3 waste:

Code of B3 No Waste Source Name of B3 Waste Producer Waste 1 Aircraft Operation A 323 -3 Used Avtur, Used Solvent Airline, Groundhandling (Domestic & maintanance International) 2 Airport Operations a. Supporting Factor B 105d Used Hydraulic Oil/ ARFF, Mechanical, Electrical, Airport Lubricants, engines, Technology Network Operation gears, lubricants, Support insulation, heta transmission, grit chambers, separators, dirty diesel A 102d Used accumulator, used All Sections batteries B 110d Contaminated Cotton ARFF, Airport Operation Airside, Rags Airport Operation Landside& Terminal, Service Hospitality, Security Screening, Terminal Protection Security, Non Terminal Protection Scurity, SMS OSH, Non Terminal Airside, Non Terminal Landside Enviro, Terminal Building, Mechanical, Electrical, Aeronautical Cargo Sales, Property Advertising Sales, Retail Sales, Application Operation Support, Tecnology Network Operation and Support B 109d Used filter Mechanical, Electrical

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Code of B3 No Waste Source Name of B3 Waste Producer Waste B 104d B3 Used Packaging (Used ARFF, Mechanical, Electrical, Non Oil Packaging & Cartridge Terminal Airside, Non Terminal Ink Packaging, Landside Enviro, Terminal Building, Paint cans) Application Operation Support, Semua Unit A 352-2 Residues from cleaning Mechanical, Electrical, Non Terminal activities (e.g.: Asphalt Airside, Non Terminal Landside Enviro, waste) Terminal Building, Cleaning Srvice b. Office Facilities B 321-4 Used Computer Ink/ All Units Cartridge B 107d Used TL lamps, electronic Security Screening, Mechanical, waste including CRT Electrical, Application Operation (Cathode Ray Tube), Support, Technology Network Printed Circuit Board & Operation System, Asset (PCB), wire rubber Management c. Healthcare A 337-1 Medical Waste, First Aid ARFF, Service & Hospitality, Non Facilities Ambulance box (Expired Terminal Protection Security, Non medicine) Terminal Landside Enviro, Human Capital 3 Airport Development B 354-4 Insulation material Non Terminal Airside, Non Terminal containing asbestos (e.g.: Landside Enviro, Terminal Building Rockwool, Glasswool) 4 Airport and Aircraft A 355-1 Solvent Non Terminal Airside, Non Terminal Facility Maintenance: Landside Enviro, Terminal Building Aircraft and Vehicle B 355 -1 Paint waste Mechanical, Electrical, Non Terminal Maintenance Airside, Non Terminal Landside Workshops Enviro, Terminal Building B 355-2 Used batteries Security

Waste by Type and Disposal Method [GRI 306-2] We have not calculated the weight of hazardous waste; thus, for this report, we cannot present the weight. Nevertheless, the amount of B3 waste is immaterial in our operations. Most of the waste in our operational activities is domestic waste (garbage from passengers, such as food, paper, etc.), the weight of which is presented in the following table:

Average Amount of Waste (Non-Hazardous Waste) Produced from Airport Operational Activities in 2019 Airport Number of Waste Unit Number of Waste Unit DPS 12 ton/day 4,380 ton/day SUB 11 ton/day 4,015 ton/day UPG 7 ton/day 2,555 ton/day BPN 4 ton/day 1,460 ton/day MDC 1,5 ton/day 547.5 ton/day BDJ 2 ton/day 730 ton/day SRG 2,5 ton/day 912.5 ton/day LOP 2 ton/day 735 ton/day JOG 4 ton/day 1,460 ton/day KOE 1 ton/day 365 ton/day BIK 0,25 ton/day 91.25 ton/day SOC 1,5 ton/day 547.25 ton/day AMQ 0,75 ton/day 273.75 ton/day

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To put it up in a perspective, in 2019, Juanda AIR QUALITY [GRI – AO5] [GRI 305-7] Airport in Surabaya has been transported to Clean air contributes to the health of employees parties licensed to B3 type of electronic waste and the community around the airport. For this such as 786 kg of power banks and 7 drums of reason, we regularly monitor air quality at our used oil = 1,400 liters. airports, in collaboration with independent third parties. The parameters measured are: Now, we are in the process of identifying and 1. Sulfur dioxide (SO2) calculating airport B3 waste in collaboration with 2. Nitrogen dioxide (NO2) the Ministry of Environment and the Ministry of 3. carbon monoxide (CO) Transportation. All Airports We already have a 4. Dust (TSP) Fastronik and SIMPEL KLHK account to monitor environmental management and B3 Waste Ambient Air Quality Measurement is carried out every manifests. All our hazardous waste is transported 6 (six) months at every airport. Following the average by third parties. We do not import, export or treat measurement data for one year, we provide a sample B3 waste. [GRI 306-4] of three airports representing large, medium and small airports:

1. I Gusti Ngurah Rai International Airport - Denpasar Pollutant 2019 Limitation Measurement Method

3 Sulphur dioxide (SO2) 58.09 900 µg/Nm SNI 7119.7-2017

3 Nitrogen dioxide (NO2) 15.45 400 µg/Nm SNI 7119.2-2017 Carbon monoxide (CO) 2.527 30.000 µg/Nm3 SNI 7119.10-2017 Dust (TSP) 15.49 90 µg/Nm3 SNI 7119.3-2017

UA 3 point location (in front of SD 04 Tuban), Primary Data RKL-RPL 2019

2. Sam Ratulangi International Airport - Manado Pollutant 2019 Limitation Measurement Method

3 Sulphur dioxide (SO2) 256.6 900 µg/Nm SNI 7119.7-2017

3 Nitrogen dioxide (NO2) 35.2 400 µg/Nm SNI 7119.2-2017 Carbon monoxide (CO) 3,327.4 30,000 µg/Nm3 SNI 7119.10-2017 Dust (TSP) 52.7 90 µg/Nm3 SNI 7119.3-2017

Point Location at Airport Parking Yard, Primary Data RKL-RPL 2019

3. Pattimura International Airport - Ambon Pollutant 2019 Limitation Measurement Method

3 Sulphur dioxide (SO2) 62.9 900 µg/Nm SNI 7119.7-2017

3 Nitrogen dioxide (NO2) 41.08 400 µg/Nm SNI 7119.2-2017 Carbon monoxide (CO) 22.000 30.000 µg/Nm3 SNI 7119.10-2017 Dust (TSP) 6.56 90 µg/Nm3 SNI 7119.3-2017

Point location in Pensip Housing, Primary Data RKL-RPL 2019

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In terms of improving air quality, PT Angkasa Pura 1. Noise Level I I (Persero) planted trees around the airport both as Noise level: 70 80 General of Civil Aviation Number: KP 590 of 2014 Land use: for buildings or airport facilities concerning Technical Guidelines for Making Airport that are equipped with insulation so that Master Plans. Determination of land use around the noise level in the building complies with the airport noise area is divided into three zones. applicable laws and regulations. This area can also be used as a green belt or a means The data below is an example of noise area data in of environmental control and agriculture that Lombok. We are currently collecting data for other does not invite birds. airport areas to be reported in the next year’s SR.

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An example is Lombok International Airport, which was built in 2009; thus, we can get the initial population zone. The number of HHs living in this area was 16 HH in 2019 and 7 HHs in 2009. The percentage change in people living in this region is 129%.

2009 2019

No Village Regional Regional Regional Regional Regional Regional Noise Noise Noise Noise Noise Noise Limit 1 Limit 2 Limit 3 Limit 1 Limit 2 Limit 3 1 KUTA 1,850 0 0 1,950 0 0 2 PRABU 175 0 0 350 0 0 3 PANUNJAK 88 125 0 138 112 0 4 BATUJAI 925 300 0 1,400 475 0 5 SUKARARA 0 0 0 287 0 0 6 SASAKE 263 175 7 287 288 16 Total 3,301 600 7 4,412 875 16

We measure noise levels at the airport and surrounding areas every 6 months by an independent party. Measurements were made for 24 hours for airport noise based on SNI converted to WECPNL. The following is a sample from one of the busiest airports.

I Gusti Ngurah Rai Airport - Bali Quality Monitoring No Monitoring Location Denomination Standards Result 1 South area of the airport 70 dbA 55.3 dbA 2 Parking area open to motorbikes 70 dbA 64.1 dbA 3 Airport radar bend area 70 dbA 68.5 dbA 4 AURI front area 70 dbA 67.4 dbA 5 SD 04 Cluster area 70 dbA 54.7 dbA 6 Ngurah Rai Park Area 70 dbA 56.5 dbA 7 Car park for Domestic area 70 dbA 66.3 dbA 8 Front area of BMKG office 70 dbA 73.6 dbA Quality Standard: 85 dbA (workplace standard for 8 hours) 9 Area in front of PKPPK building 70 dbA 80.5 dbA, Quality Standard: 85 dbA (workplace standard for 8 hours) 10 Apron Bay Area 1 70 dbA 77.4 dbA Quality Standard: 85 dbA (workplace standard for 8 hours

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Quality Monitoring No Monitoring Location Denomination Standards Result 11 East area of runway 27 70 dbA 85.4 dbA (Air- plane Take off Landing area/ most dominant) 12 Gate GAT toll area 70 dbA 63.4 dbA

Quality Standards: 85 dbA (workplace standard for 8 hours) for a point inside the airport fence Standard Quality WEcPNL 70 dbA for areas around settlements outside the airport fence High noise intensity because at that time there was an airport development project under construction.

Most of the measurement results are below the announcements being broadcast, namely quality standard, although there are some points boarding calls, calls for passengers who that slightly exceed the quality standard. We have not entered the plane, and other are fully committed so that the noise level at the announcements. This policy also educates airport is below the quality standard, for that we passengers to read information listed on the implement a number of policies as follows: Boarding Pass and FIDS (Flight Information 1. Green Belt: planting trees in the area Display System) or flight information screens. around the airport that serves to reduce the noise caused landing activities and aircraft departures. has been carried out in almost all STORM WATER QUALITY [GRI AO4] airports of PT Angkasa Pura I (Persero). Storm water is rainwater that flows over an area 2. Noise Abatement Operational Procedures: call of airport paved land that is likely to contain on airlines to meet standards and procedures pollutants and chemicals (for example oil, aircraft for aircraft take-off and landing activities fuel, etc.) which then flow into the environment and in accordance with ICAO regulations. By can contaminate the surrounding environment. following the runway direction and route at a For this reason, we have taken precautions and predetermined height at the aircraft take off mitigation as follows: and landing activities. 1. Making a drainage channel to drain rainwater 3. Arranging BKK (Area Noise Limits) documents: runoff into a reservoir to be treated before going conducted to determine the maximum noise out to the Water Body (river, sea, etc.) level due to airport activities. This document 2. Establishing a procedure for handling oil spills/ determines what public facilities can be built aviation fuel in the area, such as hospitals and schools. 3. Cooperating with the Airport Authority Office 4. Observing/monitoring noise for 6 months. for the regulation of air-side vehicles that are 5. Performing routine maintenance of operational operational equipment and vehicles that 4. Conducting regular inspections cause noise. 6. Procurement of generators that are more We measure storm water in a surface water flow environmentally friendly with low levels every 2 (two) times a year in all airports that we of noise and emissions or less noise and manage. Using SNI standards in accordance with emission. PP 82 of 2001, measurements were performed by 7. Applying silent airport, i.e. changing the PT Angkasa Pura I (Persero)/an independent third announcement pattern from 7 types party. of announcements on a flight to only 3

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PRECAUTIONARY PRINCIPLE Community Relocation OR APPROACH During 2019, we have expanded the airports below: In doing the operations and building new 1. Yogyakarta International Airport - Kulon Progo airport operations, we put forward the principle 2. Syamsudin Noor Airport - Banjarmasin of prudence, and comply with applicable laws and regulations, for example Environmental As a result, residents in the area were forced to Impact Analysis (AMDAL). Prudential and other move with proper compensation from PT Angkasa pro-environment policies are international Pura I (Persero). The process of resettlement from standardisation of ISO 14001: 2014/SNI 19 - 14001: the Yogyakarta International Airport construction 2005 concerning Environmental Management project site was held from 2017 and was completed Systems in our airports. [GRI 102-11] in 2018. While the process of resettlement at the Banjarmasin Syamsudin Noor Airport project site Our caution and compliance with environmental was carried through from 2011 to 2017. legislation yields good results; thus, there are no incidents of non-compliance with environmental regulations that cause sanctions. [GRI 307-1]

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THE NUMBER OF PEOPLE WHO ARE PHYSICAL OR ECONOMIC MUST BE DISPLACED VOLUNTARILY OR BY FORCE, AND COMPENSATION PROVIDED [GRI AO8]

In airport expansion, there are often residents who are forced to move, either voluntarily or by force. This can result in the loss of land, jobs, income, and fragmented communities.

Project Sites Involving Resettlement of Corporate Responsibility Communities Corporate responsibility includes reimbursement The location of the Yogyakarta International in accordance with applicable law. PT Angkasa Airport Development Project in Temon Subdistrict, Pura I (Persero) also provides soft skills training Kulon Progo, Yogyakarta and the location of the to affected residents so they can compete Banjarmasin Syamsudin Noor Airport Development because the initial profession of the majority of Project in the Syamsudin Noor Village and the affected residents are farmers. PT Angkasa Pura I Guntung Payung Village, Banjarmasin. (Persero) also provides financial education so that residents can manage finances obtained from the Company Policy Regarding replacement of PT Angkasa Pura I (Persero). Displacement In accordance with the laws and regulations of the The Role of Partners in Community Republic of Indonesia, PT Angkasa Pura I (Persero) Displacement Cooperation must replace the land used for the construction of We are working with the Kulon Progo Workforce the airport owned by PT Angkasa Pura I (Persero). Training Center (BPTK KP) as a trainer in training organized by PT Angkasa Pura I (Persero). On PT Angkasa Pura I (Persero) offers several options the other hand, PT Angkasa Pura I (Persero) also for replacement to affected communities, namely cooperates with the Kulon Progo Social Service in the form of cash, relocation, or replacement (Dinsos KP) which helps provide data on citizens of physical buildings in accordance with the who require the program to be on target. value of the affected land. Most people ask for compensation in the form of money. Specifically, Number of People Moved for Each for government-owned land (including waqf), the Project: replacement takes the form of building relocation. 1. Yogyakarta International Airport: around 2,732 households Cooperation in the context of 2. Banjarmasin Syamsudiin Noor Airport: around Community Relocation 832 households Displacement at the Yogyakarta International Airport involves the Regional Leaders While the data of people who are forced to move Communication Forum (FORKOMPIMDA) which voluntarily are as follows: includes the Regional Government of Kulon Progo, 1. Yogyakarta - Kulon Progo International Airport; TNI, Police, and others. Whereas the movement forced: 32 families; voluntarily: around 2,700 around the location of the Syamsudin Noor Airport households construction project involves the following regional 2. Banjarmasin Syamsudin Noor Airport; forced: agencies: 57 households; voluntarily: 775 households 1. Provincial government of South Kalimantan 2. Banjarbaru City Government Compensation Provided per Family 3. National Land Agency Job training, job opportunities, and money. 4. Banjarbaru District Court 5. South Kalimantan Prosecutor’s Office 6. BPKP South Kalimantan

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ENVIRONMENTAL CERTIFICATION In line with our goal of becoming an environmentally friendly airport in accordance with GR No. 40 of 2012, we carefully ensure certification for all matters relating to the environment. This certification not only provides a feeling of security for airport workers and passengers, but also enhances the company’s image. The following are some of the certifications that are already owned and are currently being processed to be carried out in the airport environment that we manage.

Certification Description Location of the Airports Airport Carbon The certification given by the Airport The proposed airports are: Accreditation Council International to the airport that has - I Gusti Ngurah Rai Airport - made the calculation, and made efforts to Bali reduce the amount of emissions and carbon - Jenderal Ahmad Airport produced by the operational activities of the Yani - Semarang airport. Currently, it is still in the certification - Adi Soemarmo Airport - Solo preparation program. Green Building PT Angkasa Pura I (Persero) Airport Building The proposed airports are: Certification is expected to become a green-performing - I Gusti Ngurah Rai Airport - building. This green performance follows Bali the benchmarks of a green building called - Jenderal Ahmad Airport Greenship. This activity includes a variety of Yani - Semarang work, including planning, building operations - Adi Soemarmo Airport - Solo and maintenance, procurement and other activities required.

Success in following these benchmarks was validated in the Greenship certificate issued by the Green Building Council Indonesia (GBCI). If the building is certified, the owner has the legitimacy to call it a green building.

PT Angkasa Pura I (Persero) in its development project has implemented the principles of green building starting from the planning, design, development, and operational stages in the future. Progress is currently awaiting verification before a certification from GBCI is issued. Development and ISO 14001 is part of the entire management The proposed airports are: Certification ISO system which includes organizational - Sultan Hasanuddin Airport - 14001-2015 structure, planning activities, responsibilities, Makassar practices, procedures, processes and resources - I Gusti Ngurah Rai Airport - for the development, implementation, Bali achievement, review and maintenance of environmental policies. With an integrated management system, it is hoped that the airport of PT Angkasa Pura I (Persero) can meet the eco airport criteria.

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ENVIRONMENTAL ACTIVITIES 10. Planting a tamarind tree on Jalan Yos Sudarso Semarang and along the main access road of We perform numerous environmental activities to the Sultan Hasanuddin Airport in Makassar. ensure environmental sustainability, such as: 11. Installation of Public Solar Street Lighting (LPJU) 1. Campaign to reduce plastic bags once use. at Jenderal Ahmad Yani Airport in Semarang, 2. Environmental campaigns such as creating Syamsudin Noor Airport Banjarmasin, Sultan signage or promoting the environment on TV Hasanuddin Airport Makassar, and El Tari displays at airport terminals, for example caring Kupang Airport. steps garbage, saving water, etc. 12. Management of hazardous and toxic (B3) waste 3. Waste segregation and the application of the at Juanda Airport in Surabaya. principles of Reuse, Reduce, Recycle or 3R. 13. Liquid waste management at the airport 4. Conducting habitat management, for example managed by PT Angkasa Pura I (Persero). making migrant bird studies in Trisik, Kulon 14. Regular environmental monitoring every 6 Progo DIY and habitat management studies months based on the environmental permit at Banjarmasin Syamsuddin Noor Airport, obtained. Jenderal Ahmad Yani Airport in Semarang, and 15. Applying the principle of water management at Juanda Airport in Surabaya. Jenderal Ahmad Yani airport, Semarang. 5. Planting mangroves carried out at Jenderal 16. The use of environmentally friendly equipment Ahmad Yani Airport in Semarang, Sultan such as materials that do not contain ozone- Hasanuddin Airport in Makassar and Lombok depleting substances such as materials in Light International Airport, with a total of 58,500 trees Extinguishers (APAR) and refrigerants, as well as from 2017 to 2019. the use of generators that are low in emissions 6. Carrying out an earth hour campaign, or turn and less noise. off electricity/lights for 1 (one) hour. 17. Application of green building requirements 7. Coral reef transplantation in Nusa Dua coral in the development of Jenderal Ahmad Yani Garden, Bali and Gili Tangkong, Lombok. Airport and Semarang development projects 8. Assistance with fruit seedlings provided by the Yogyakarta International Airport. Lombok International Airport Branch Office. 9. Coral reef transplantation at Hunimia Liang Beach, Ora Beach, and Hutupokol Morela Beach, Ambon.

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MOU with WWF awareness and stakeholders for the environment. However, we have ensured that this activity will PT Angkasa Pura I (Persero) helped to implement not involve operational and service activities in the the Earth Hour Program which was initiated by the airport of PT Angkasa Pura I (Persero). World Wildlife Fund (WWF) World Environmental organization, while the activity was carried out at The airport and airport development by the airport managed by PT Angkasa Pura I (Persero) PT Angkasa Pura I (Persero) are responsible for in collaboration with the Earth Hour Community environmental planning that is expected and through activities intended to preserve the in accordance with the eco airport principles environment including tree planting, coral reefs, through conservation (conservation) programs eco-tourism management, socialization for service and environmental education related to related users at airports, beaches, etc. according to the projects to create a healthy environment at peak event as “Turn Off Earth Hour”. airports and surrounding areas.

Support for the Movement and Environmental We also are engaged with marine friends at a Education at the managed airport is borne in a youth summer camp to attend educational events, memorandum of understanding (MoU) signed mangrove planting, release of hatchlings and coral with WWF Indonesia, in Bali on March 18, 2019. transplantation in collaboration with the Nusa The cooperation incorporates an Earth Hour Dua Reef Foundation and the Faculty of Maritime campaign in 13 airports and 8 cities, also a program Affairs of Udayana University. of improvement and education to improve public

FINANCING THE ENVIRONMENT Until the end of 2019, PT Angkasa Pura I (Persero) has disbursed funds amounting to Rp12.6 billion for environment-related financing:

(in Rupiah) Activities 2019 2018 2017 Certification and licensing in the 7 billion 5 billion 1.5 billion environmental field Environmental Conservation 5.6 billion 2.7 billion 1 billion

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Our contribution to the nation is not only with manifestation of the connectivity services and economic “ benefits, but also the development of everyone’s welfare. ”

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As an SOE, PT Angkasa Pura I (Persero) performs assisted directly by Corporate Social Responsibility social responsibility as part of the Partnership Cooperation Senior Manager and Corporate Social and Community Development Program. Our Environment Senior Manager. All our programs main goal is to improve the community welfare, involve the community as the subject. We listen, especially those who are around the operational evaluate, and involve community participation area of PT Angkasa Pura I (Persero). As a Business in the development of programs that will later Entity operating in the midst of community, improve community welfare. We also collaborate we have obligations to the environment and with the local government and conduct regular surrounding communities. Commitment to evaluations of these programs for the improvement improving community welfare and environmental and development of the program. [GRI 413-1] sustainability is not only beneficial to the community but also beneficial for the company Our social responsibility programs include: in general. Through these programs, we can foster 1. Development of tourism in Saifuar Adoki Beach, harmonious relations with the community, in Biak addition to gaining the trust of other stakeholders. 2. Improvement of Menipo Island ecotourism facilities 3. Development of a national reading park in VISION AND MISSION Kupang 4. Construction of Clean Toilets in the Bunaken VISION Islands Being an organizer for Community Development 5. Development of Chocolate Production Room in Program that is able to encourage the growth of Bigaran small businesses to be strong and independent 6. Scholarship Assistance Program in order business, and is able to improve the welfare of the to celebrate PT Angkasa Pura I (Persero) community. Anniversary 7. Revitalising Kota Lama (Old Town) in Semarang MISSION 8. Ramadhan Kareem free basic needs program 1. To improve the ability of small businesses to be in 12 PT Angkasa Pura I (Persero) branch offices strong and independent. 9. Helping the construction of a tourist crossing 2. To create the synergy with other SOEs. bridge to the reef in Pancuran Kuning tourist 3. To improve the quality of the social environment attraction of the communities around the Company’s 10. Waste banks in Balikpapan work area. 11. Planting mangroves, coral reefs, trembesi trees, and bougainvillea around branch offices The management of Partnership and Community 12. The “BUMN Hadir untuk Negeri” Event in Development Program (PKBL) management in PT Surakarta Angkasa Pura I (Persero) is realized through CSR 13. Ramadhan Safari event in Purbalingga and its Department (Corporate Social Responsibility) under surrounding areas the Director of Human Resources and General 14. Entrepreneurship training for street vendors in Affairs. The implementation and management Lombok of Partnership and Community Development 15. Assistance for Cataract Surgery and Mass Program funds is under the responsibility of Circumcision in several branch offices; and etc. Vice President Corporate Social Responsibility

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PARTNERSHIP PROGRAM The Partnership Program of PT Angkasa Pura I (Persero) is run based on an evaluation of the Partnership Program aims to empower and business capabilities and needs of the small improve the community’s economy through entrepreneurs who need it. The Partnership Loan partnership loan as working capital. This program began in 1992 with a total of 14,212 partners until the is expected to create independent entrepreneurs end of 2019, and a total loan of Rp413,012,749. Our of SMEs and produce products and services that fostered partners are grouped in 8 (eight) business that benefit the wider community. In addition, this sectors, namely industry, trade, agriculture, animal Partnership Program is expected to open more husbandry, plantation, fisheries, services, and other job opportunities for local people and help them sectors. The following data is about our Partnership earn income and improve their welfare. Thus, the Program: community can gain benefit from the existence of PT Angkasa Pura I (Persero) airports.

Table of Amount of Funds for Partnership Program (in thousand Rupiah) Year Available Funds Disbursed Funds Effectiveness 2019 27,147,045 27,023,309,233 97.70% 2018 29,859,787 29,569,278 99.03% 2017 30,338,041 29,650,279 97.73%

Table of Amount of Partnership Loan Distribution (in thousand Rupiah) Year Disbursement Accumulated Disbursement Total Partners Value Total Partners Value 2019 513 23,091,500 14,212 413,012,749 2018 435 26,517,500 13,699 389,921,250 2017 560 26,887,000 13,264 363,403,750

SOFT LOAN Soft loan is one of the partnership programs 1. Industrial Sector implemented by PT Angkasa Pura I (Persero), in 2. Trade Sector accordance with the Regulation of the Minister of 3. Agriculture Sector SOE No. PER-02/MBU/7/2017 that soft loans with 4. Livestock Sector administrative services of 3% per year from the loan 5. Plantation Sector balance in the beginning of the year. This soft loan 6. Fishery Sector is provided as capital for SMEs around the work 7. Service Sector area of PT Angkasa Pura I (Persero) in 8 business 8. Others sectors, namely: In 2019, PT Angkasa Pura I (Persero) distributed Rp23,091,500,000 for 513 SMEs according to the following distribution table:

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Table of Fostered Partners Based on Business Sector Realization in 2019 Accumulation Until the End of 2019 Business Sector Loan Value Loan Value Total Partners Total Partners (Rp) (in Thousand Rp) Industry 142 6,688,500 3,483 105,473,262 Trade 227 10,655,000 6,778 185,601,696 Agriculture 5 335,000 160 14,395,866 Livestocks 20 750,000 370 9,298,432 Plantation 27 745,000 124 3,508,250 Fishery 11 490,000 147 4,123,500 Services 80 3,420,000 2,974 86,615,833 Others 1 8,000,000 175 3,988,000 Total 513 23,091,500 14,212 413,012,749

COACHING GRANTS Fair Exhibition, Makassar Expo Exhibition, and the Nusantara Day Exhibition, the PT Angkasa Pura I (Persero) conducts coaching participation of BPN Fostered Partners for fostered partners through education/training, in the Balikpapan Fair Exhibition, internship, marketing and promotion in the Gebyar UKM, Mathilda Fest Exhibition, form of exhibitions on a regional, national, and East Kalimantan SME Festival, Borneo international scale. Fair Exhibition, and 34th Trade Expo Exhibition, the participation of MDC Foster From January to December 2019, PT Angkasa Partners in TIFF Exhibition, and Manado Pura I (Persero) has disbursed grant funding for Fiesta Exhibition, the participation of partnership programs of Rp3.85 billion consisting of SOC Fostered Partners participation in Grants to Special SOEs of Rp2 billion and coaching BHUN Fostered Partners Exhibition Solo, grants of Rp1.85 billion to 348 Fostered Partners in Nusantara Superior Fabric Exhibition, the form of: Yogya Inafact Exhibition, and Solo Craft 1. Promotion and Exhibition Indo Exhibition, the participation of BDJ During 2019, promotional activities have Fostered Partners in the South Kalimantan involved 129 fostered partners. The activity Expo Exhibition, the participation of SRG consists of promotion coaching (124 Fostered Fostered Partners in the Central Java Partners) through Coaching in the form of Local Expo Dekranasda Exhibition, as well as the and International Exhibition and Certification participation of LOP Fostered Partners in of Fostered Partners (5 Fostered Partners). the NTB Expo Exhibition. a. Promotions in the form of exhibitions include the DPS Fostered Partners in the In addition to the exhibitions above, the Indonesian People’s Party, the participation Inacraft Exhibition was participated by of SUB Fostered Partners in the Pertamina branch offices, namely (DPS, SUB, UPG, BHUN Freedom Festival Exhibition, East BPN, MDC, JOG, SOC, SRG, LOP & KOE), Java Fair Exhibition, and Batik Fashion and the Batam Inafact Exhibition was Fair Exhibition, the participation of UPG participated by (JOG & SRG). Fostered Partners in the South Sulawesi

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Promotion of exhibition was also conducted The total value of distribution of coaching grants overseas at the Daebak Indonesia Festival for training in 2019 was Rp474,091,866. Exhibition in South Korea, which was participated by JOG Fostered Partners. 3. Internship Coaching The internship program during 2019 has b. During 2019, promotions in the form of been carried out by 25 Fostered Partners. The Certification were divided into 3 types, program consisted of the internship the fostered namely Copyright Certification (DPS, SOC, partners of SUB to SRG, the internship of the & SUB), Business Licensing Certification fostered partners of UPG to SUB, the internship (KOE), and Nutrition Test certification of the fostered partners of BPN to SUB and SOC, (SUB). the internship of the fostered partners of JOG to MDC and LOP, the internship of the fostered The total value of distribution of coaching partners of BDJ to SOC, the internship of the grants for promotion and exhibition in 2019 fostered partners of SRG to UPG, the internship was Rp1,327,389,276. of the fostered partners of LOP to JOG and DPS, and the internship of the fostered partners of 2. Coaching Training AMQ to SRG. The training provided during 2019 involved 194 Fostered Partners. The training consisted The total value of distribution of coaching grants of Entrepreneurship Training (SUB & BDJ), for internship during 2019 was Rp130,828,091. Fostered Partner Training (MDC & SRG), Social Service Training (BIK), Skill Management In addition to the coaching grants during 2019, Training of Fostered Partners (JOG), and Basic the company has provided special SOE grant Business Development Training (SOC). assistance in the form of partnership loans to PT PNM of Rp2,000,000,000. The assistance was given to 856 people in Bali, Surabaya and Balikpapan. [GRI 203-2]

Distribution of Fostered Partners Coaching Funds (in thousand of Rupiah) Type 2019 2018 2017 Education/Training 474,091,866 804,077 868,685 Internship 130,828 134,804 1,740,377 Promotion, exhibition, and other marketing 1,327,389,276 2,192,250 154,208 Research and development - - - Total 1,852,959 3,131,129 2,763,270

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COMMUNITY DEVELOPMENT 5. Religious facilities assistance; PROGRAM 6. Nature conservation; 7. Social assistance. Community Development Program includes community social empowerment and life quality In 2019, PT Angkasa Pura I (Persero) has improvement program. For the implementation of implemented Community Development this program, PT Angkasa Pura I (Persero) provides Programs that support government programs grants for the 7 sectors below, namely: with a total value of Rp39.65 billion or 99.99% of 1. Assistance to victims of natural disasters; the targeted Community Development funds 2. Education and/or training assistance; planned to be disbursed in 2019 of Rp39.66 billion, 3. Community health improvement assistance; and the planned Community Development 4. Public facility and infrastructure development Program Absorption in 2019 reached 100%. Details assistance; of the realization of the Community Development program in 2019 are as follows:

Table of Distribution of Community Development Program Funds in 2019 (in million Rupiah) Type of Assistance Realization Accumulated 2019 Realization up to 2019 Natural Disaster 317,898 8,157,300 Education and Training 7,378,864 54,396,750 Community Health Improvement 4,899,195 30,517,932 Public Facilities 10,463,197 50,939,569 Religious Facilities 6,522,727 45,336,405 Nature Conservation 616,125 6,787,199 Social Assistance 9,458,178 31,389,206 Coaching Grants 0 2,577,954 BUMN Peduli 0 10,425,992 Total 39,656,184 240,531,307

Of the total funds distributed, we have several leading programs in 2019, namely: 1. Mobile Health Services [GRI 203-1] Mobile Health Services is the flagship program of PT Angkasa Pura I (Persero) since 2012. Until 2019, 12 Branch Offices have implemented the program.This program is a free health service for residents around the work area, especially for villages far from local health facilities. The main target of this program are pregnant women, infants and toddlers, general patients can also have their health checked in this program. PT Angkasa Pura I (Persero) collaborated with the local health department where its implementation was assisted by the local Puskesmas. The program was carried out alternately in several villages around the work area in accordance with the schedule prepared by PT Angkasa Pura I (Persero) and the local Puskesmas. This program provided an ambulance unit equipped with standard medical devices to be used to transport patients with critical conditions to the nearest hospital. During 2019, the program served 1,395 pregnant women, 10,868 infants/toddlers, and 12,675 general patients. Besides providing free treatment, this program also provides additional food packages for underweight

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toddlers and pregnant women. For the 3. Digital Library realization of the cost of this program activities Following the development of the current during 2019 amounted to Rp3,180,181,009. digital era, PT Angkasa Pura I (Persero) took the initiative to form a program to increase 2. Scholarship of Diploma III of Airport public interest in reading through digital Management Study Program library programs. This program was in the This scholarship program was a new flagship form of free access to a website containing program in 2019, the mechanism of the ebooks for general reading, youth, children, implementation of this program was to provide classical literature, and curriculum books for full scholarships to 30 selected students to elementary/MI, middle, and high schools. be educated at the Diploma III level with the In addition to free books, audio books and education concentration of airport. In its educational films were also available. The implementation, PT Angkasa Pura I (Persero) device from the digital library was planned collaborated with the University of Mataram to be installed in public facilities in the area Lombok for its lectures. To improve the English around the work area in stages. For realization language of students, PT Angkasa Pura I in 2019, digital library tools have been installed (Persero) also cooperated with English First in 3 places, namely: English course institution, and also cooperated a. Yogyakarta Adisutjipto Airport Branch with the Indonesian National Army to foster Office, installed in Cinarito Reading Park, student discipline. It is expected that the Nologaten Village, Ambarukmo; scholarship and supporting institutions will b. Banjarmasin Syamsudin Noor Airport generate intelligent and responsible young Branch Office, installed at the Kuranji graduates. Complex Teaching and Learning Activities Center (PKBM), Banjarbaru City; and In order to be able to join this program, c. SAMS Airport Sepinggan Balikpapan the prospective students who register Branch Office, installed at Rumah Pintar themselves are required to follow 3 phases of Sepinggan Raya. selection, those are administrative selection, psychological selection, health selection and People wishing to read the ebook only need finally interview selection. In 2019, of the 66 to go to places that have been installed with a children who registered for the program, there digital library tool, and they can connect their are only 29 students who passed the entire mobile/tablet/computer to be able to read the selection stages. The prospective participants ebook that has been prepared. In this program, are high school and vocational high school PT Angkasa Pura I (Persero) collaborated with students fulfilling the initial criteria and are Balai Pustaka as the provider of the ebook’s proposed by their respective local education tools and content. Actual cost for this program offices. While implementing this program, the in 2019 was Rp335,620,000. students are provided the accommodation at the Selaparang training center, Lombok. For 4. “BUMN Hadir Untuk Negeri” the realisation of the costs of the program is The series of activities and assistance Rp1,692,024,877. accommodated in the “BUMN Hadir Untuk Negeri” (BHUN) program was a routine program initiated by the Ministry of SOEs. To ensure that the activities of “BUMN Hadir Untuk Negeri” was well-undertaken and on target, the SOE Ministry divided the commemoration

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of 74th Indonesian Independence Day into 34 by PT Angkasa Pura I (Persero) Adisutjipto Airport Provinces, BHUN in each province was led Yogyakarta as the Fostered sub-village, the by PIC of SOE and assisted by Co-PIC of SOE. wooden batik craftsmen are not only concentrated in Bobung Sub-Village, but also develop in the PT Angkasa Pura I (Persero) was appointed surrounding Sub-villages, including Batur and as PIC assisted by the Co. PIC. of PT Kawasan Gumawang. Initially, PT Angkasa Pura I (Persero) Industri Wijayakusuma (Persero), PT Perkebunan entered Bobung sub-village through partnership Nusantara IX, and PT Perkebunan Nusantara program to develop wooden batik craftsman X, mandated to conduct the 74th Indonesian business. Up to 2019, partnership program in the Independence celebration in Central Java form of soft loans has been provided to 89 SMEs Province. with 37 fostered partners from Bobung Sub-Village and surrounding areas with a total partnership The purpose of “BUMN Hadir Untuk Negeri” is loans of Rp3,675,000,000. to create conditions and to encourage SOEs in Indonesia to contribute to the country and Sub-Village of Bigaran, Subdistrict of people of Indonesia. In 2019, the series of BHUN Borobudur, Magelang Regency programs were as follows: Tourism development in Bigaran Village has a. Students Get to Know the Archipelago; been carried out starting in 2017 by developing b. House Electrification; Village Economic Centers with other supporting c. House Assistance; infrastructure. The interesting thing about Bigaran d. Nataru; Village is that this village is a chocolate-producing e. Safari Ramadhan; village, which is sold by middlemen. Through the f. Fulfilment of Basic Needs: Electrification, Village Economic Center development program, Clean Water Facilities, Toilets, Employee/ it is expected that residents in Bigaran Village can Community House Renovation, Cheap- process their own chocolate and can compete Market, Scholarship. with chocolate brands on the market, so that the economic value of chocolate sold can be higher than selling chocolate directly to middlemen. FOSTERED VILLAGE PROGRAM And in 2018 we also added the construction of 6 PT Angkasa Pura I (Persero) developed several homestay rooms where at that time the homestay target villages to enhance the village’s potential around Borobudur sub-district including Bigaran by involving the local community. Some of these Village became a lodging venue for ICW delegates villages were Bobung sub-village Gunung Kidul in 2018. Bigaran Homestay can now be booked Regency and Bigaran Sub-Village Magelang through Traveloka application as well as tour Regency. and travel agents that have collaborated with PT Angkasa Pura I. Sub-Village of Bobung, Subdistrict of Patuk, Gunung Kidul Regency In the same year, we also provided assistance in Sub-village of Bobung is currently developed by processing chocolate in Bigaran Village Economic the local government into a tourist village, because Center as a business support in the Village it has tourism potential that can attract tourists, Economic Center. In 2019, in order to improve both domestic and foreign tourists. The peculiarity the service of the Village Economy Center staff to of Bobung sub-village is that almost all its people customers, we provided training and operational have the main livelihood as mask craftsmen and assistance to staff through PT Manajemen CBT wooden batik, in addition to farming and raising Nusantara. livestock. After Bobung sub-village was chosen

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It is expected that through the provision of training 4. Taru Jurug Wildlife Park, Surakarta and assistance, the Village Economy Center and 5. Besakih Temple, Bali Homestay can carry out operational activities 6. Batimurung Maros Park. independently and professionally. In addition, we also built a showroom for chocolate products The purpose of implementing this program is to produced by the Bigaran Village Economic Center. increase the number of tourist visits. The presence The total assistance provided to Bigaran Village for of toilets in tourist attractions is vital, so if a tourist 2019 was Rp885,449,000. attraction has available public facility, tourists will be more comfortable to visit it. This also certainly has an impact on the number of arriving and TOURISM INFRASTRUCTURE departing passengers at the airport. In the process, PT Angkasa Pura I (Persero) coordinates with the DEVELOPMENT [GRI 203-1] Tourism Office in the selection of tourist sites As a gateway in various regions of Indonesia, PT that will be given public restroom assistance. In Angkasa Pura I (Persero) is committed to working its determination, it is determined that tourist with the government to improve tourism in the attractions have a high number of visits but there region. Our support to improve regional tourism are still minimal public facilities such as toilets. As is expressed through other excellent programs, for the construction, PT Angkasa Pura I (Persero) namely the construction of public restrooms in is cooperating with a subsidiary, PT Angkasa Pura tourist sites around the work area. In 2019, high Properti. The total costs incurred for this program standard public restrooms have been built in 6 amounted to Rp3,980,313,000. tourist attractions. The locations of public restrooms built by PT Angkasa Pura I (Persero) are as follows: 1. Lasiana Beach, Kupang 2. Pulisan Beach, North Minahasa 3. Pengger Pine Forest, Yogyakarta

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OTHER CSR ASSISTANCES

1. Free homecoming Homecoming program with a total of 3,520 As a form of concern for the community to help travelers using the bus and sea transportation expedite the flow of Lebaran homecoming in modes to Bobotsari, Wonosobo, Semarang, 2019, PT Angkasa Pura I (Persero) held a Free Solo, Yogyakarta and Surabaya. This program is Homecoming Program dubbed BUMN Mudik a form of PT Angkasa Pura I (Persero)‘s social Bareng. Initiated by the Ministry of SOEs, this responsibility for the community. activity aims to create a safe, smooth and conducive homecoming flow, so as to reduce Number of registering participants for the the number of accidents when going home. In 2019 BUMN Free Homecoming program addition, this activity was also a step to support in PT Angkasa Pura I (Persero) was 3,520 the Government’s program in diverting the use travelers consisting of the general public and of motorbikes to other means of transportation. employees of PT Angkasa Pura I (Persero) and PT Angkasa Pura I (Persero) was given the their families, with the following details: responsibility of organizing the 2019 BUMN Free

Destination Total Participants Total Transportation No (persons) Modes 1 Jakarta - Bobotsari 120 3 Units of Buses 2 Jakarta - Wonosobo 200 5 Units of Buses 3 Jakarta - Semarang 360 9 Units of Buses 4 Jakarta - Solo 880 22 Units of Buses 5 Jakarta - Yogyakarta 800 20 Units of Buses 6 Jakarta - Surabaya 160 4 Units of Buses 7 Balikpapan - Surabaya 600 1 Unit of Ship 8 Makassar - Surabaya 400 1 Unit of Ship Total 3,520

The realization of cost for the Free Homecoming program in 2019 was Rp3,785,077,000.

2. Training of Affected Residents of YIA Construction As corporate responsibility for the affected residents of the construction of the Yogyakarta International Airport, PT Angkasa Pura I (Persero) provides several training programs for affected residents as a provision to switch from their initial profession as farmers. The preparation of this training program was adjusted to community’s input and also the results of mapping from PPSK UGM carried out at the early construction of a new airport in Kulonprogo. The training programs provided in 2019 were:

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a. Baggage Towing Tractor Training training. While for other skills training, b. Eel Cultivation Training PT Angkasa Pura I (Persero) collaborated with c. Oyster Mushroom Cultivation Training practitioners who are experts in their fields. d. Basic Cargo Training and Dangerous This program is expected to assist the affected Goods Awareness residents to switch professions in accordance e. Airline Office & Ticketing Training. with the attended training. The realization of the cost for this program in 2019 was For its implementation, PT Angkasa Pura I Rp598,487,201. (Persero) collaborated with PT JAS to provide airport-related training and its supporting

FUNDS AND AWARDS For the achievement of PT Angkasa Pura I in the community development, we received the following awards:

Awards Organizer Denpasar CSR Program Award (DCSR) 2018-2019 Mayor of Denpasar Best Community Empowerment (Balkondes Bigaran) Management of CBT Nusantara

The following is a recapitulation of funds used for Partnership and Community Development Program (PKBL) and CSR Program:

(in Rupiah) Program 2019 2018 2017 Partnership Program 27,023,309,233 31,185,843,427 29,650,269,871 Community Development Program 39,656,173,608 34,764,004,320 28,730,117,268 CSR Program 12,640,703,852 16,800,117,998 3,578,466,200 Total 79,320,196,692 82,749,965,745 61,958,853,339

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People PT Angkasa Pura I 09 (Persero)

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The Company’s progress lies in the progress and dedication of the personnels of PT Angkasa Pura I. We strive to provide “ a conducive and comfortable working atmosphere for the progress and development of the potential of every employee. ”

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PT Angkasa Pura I ensures that the company is 3. Assessment of performance measured and capable of achieving the set targets with the support related to the KPI individual, work unit, and of selected professional and highly dedicated corporate; human resources. For this reason, selection 4. Automation of administrative personnel process, training, and employee remuneration are functions; carefully thought out and designed to support the 5. Reward based on performance; company development. 6. Employee terminations (normal retirement, MPP, upon request/not his own request); We also make sure to comply with all applicable 7. Harmonization of Industrial relations; laws and regulations in employment, in order 8. Corporate Culture Revitalisation and to create a sense of security and comfort for the improvement of the organization; Company’s personnels and develop the company 9. Application of leadership role models. with sustainable principles.

HUMAN CAPITAL HUMAN CAPITAL POLICY MANAGEMENT STRATEGY [GRI 102-8] The company’s human capital policy is outlined in FRAMEWORK Human capital management aims to maintain the implementation and development of human and improve the effective performance of capital. We use the term “human capital” as we Human Capital Management System, so that it recognize that every employee is a Company asset may continuously generate high-performing that brings benefits through experience and skills employees. The human capital management possessed by each employee. For this reason, we program is implemented based on the framework designed a human capital policy that did not only namely Human Capital (HC) Architecture. HC bring progress to the company, but also benefits Architecture is designed in accordance with employees, including: Company’s cascading target stipulated in Company’s 1. Competency-based recruitment and selection; Long-Term Planning (RJPP). The following figure 2. Personnel and career development based on illustrates company’s HC Architecture. competence and performance;

Figure of HC Architecture PT Angkasa Pura I (Persero)

Connecting the World Corporate Grow the business expansion strategy Develop Connectivity by Implementing Hub & Spoke Strategy Beyond Airport Operator Winning Strategic with Indonesia Experience Leverage synergy between parent HoldCo & Subsidiary Drive customer service improvement

TOP MANAGEMENT & LEADER COMMITMENT

ORGANIZATION CULTURE PEOPLE

Building Nimbel & Focus Organization Career Talent Management based Core Value S.A.T.U on Performance & Competency Strengthen Human Capital Distrinct Job Profile & World Class Strategic Initiative Competence Alignment Airport Officer Employee Engagement Assessment Annual Employee Performance Management Competency Assessment Improvement

Remuneration Based on 3P Innovation Culture World Class Learning & Training (Position, Performance, Person)

EFFECTIVE CHANGE MANAGEMENT PROGRAM

Internal Human High Integrity & Competence Human Human Capital as Company Digitize Human Capital Capital Strategy Capital People Strategic Partner Business Process

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In 2016, the Company formulated in details of the future management of human capital and of the implementation of the programs. The formulation is illustrated in the following 2017-2020 Human Capital (HC) Roadmap:

TAKE OFF initial and growth Developing an Developing a acceleration program competency in the process of development program achieving WCAO to create WCAO competence

2017 2018 2019 2020 2021

SCANNING & SUSTAINABLE QUANTUM LEAP INTERNAL CHECK IN DEVELOPMENT TOWARD WCAO Preparing a Developing a Developing a WCAO re-evaluation WCAO competency strengthening program for the strengthening program implementation and program management system of HC PT Angkasa Pura I (Persero)

The themes and plans for improvement of human 2019: Sustainable Development capital quality is described as follows: The Company developed a strengthening program of world-class airport officers competence. 2017: Scanning and Internal Check-In The Company developed a re-evaluation program 2020: Take Off on the implementation and system of Angkasa The Company will develop an acceleration program Pura I Human Capital Management. to achieve world-class airport officer competence.

2018: Initial and Growth 2021: Quantum Leap toward World Class Airport The Company developed a competency Officer development program in order to establish world- The Company will develop a strengthening class airport officers. program of world-class airport officers.

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COMPOSITION OF EMPLOYEES [GRI 102-8] The tables below provide data on the company’s human capital obtained directly from Human Capital Department.

Total Employees by Employment Contract (Permanent and Temporary) and by Gender 2019 2018 2017 Male Female Male Female Male Female Permanent Employees 2,500 841 2,528 832 2,560 787 Temporary Employees 12 2 12 2 11 2 Total: 3,355 Total: 3,374 Total: 3,360

Total Employees by Employment Contract (Permanent and Temporary) and by Region Region 2019 2018 2017 Permanent Temporary Permanent Temporary Permanent Temporary Head Office 516 14 479 14 494 14 I Gusti Ngurah Rai Airport 611 0 641 0 0 639 - Bali Juanda Airport - Surabaya 375 0 388 0 394 0 Sultan Hasanuddin Airport - 249 0 258 0 0 256 Makassar SAMS Sepinggan Airport - 243 0 288 0 0 283 Balikpapan Frans Kaisiepo Airport - Biak 65 0 91 0 85 0 Sam Ratulangi Airport - 153 0 169 0 0 159 Manado Adisutjipto Airport - 251 0 170 0 0 174 Yogyakarta Adi Soemarmo Airport - Solo 113 0 112 0 112 0 Syamsudin Noor Airport - 149 0 156 0 0 150 Banjarmasin Jenderal Ahmad Yani 177 0 148 0 0 152 Airport - Semarang Lombok International 188 0 192 0 0 185 Airport - Praya Pattimura Airport - Ambon 93 0 118 0 111 0 El Tari Airport - Kupang 108 0 114 0 105 0 Sentani Airport - Jayapura - 0 0 0 Development Project 13 0 18 0 0 of Jenderal Ahmad Yani 19 International Airport Development Project of 23 0 16 0 0 Yogyakarta International 17 Airport Development Project 21 0 16 0 0 of Syamsudin Noor 15 International Airport - Banjarmasin Development Project of 11 0 0 0 0 Sultan Hasanuddin Airpot 0 -Makassar

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Workers by Employment Contract and by Gender 2019 2018 2017 Male Female Male Female Male Female Full-Time Workers 2,516 843 2,540 834 2,571 789 Part-Time Workers ------

Employee Recruitment and forward through an administrative selection process for each application that is submitted. Turnover [GRI 401-1] The next step is followed by a series of tests In the recruitment process, we promote the and interviews for applicants, such as, general principles of transparency, fairness, and equality on ability tests, psychological tests, interviews with the basis of the relevancy between the needs and psychologists, and interviews with management. competencies of the candidates. We disseminate We also require medical and physical tests for information on career opportunities at PT Angkasa applicants, acknowledging that work at the airport Pura I through the Company’s official website, requires robust good health. social media, as well as through advertisements to attract the best talent in the workforce. In terms of recruitment, we do not distinguish between entry-level wage standards for male and The recruitment process begins with the female employees, which refer to local regional dissemination of information about recruitment minimum wage standards. [GRI 202-1] through websites, national print media, and notice boards at branch offices. The process then moves

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Employee Recruitment by Gender 2019 % 2018 % 2017 % Male 62 73 80 54 339 54 Female 23 27 67 56 116 56 Total 85 100 147 100 455 100

Employee Recruitment by Age Group 2019 % 2018 % 2017 % Under 30 years old 83 98 141 96 448 98 30-50 years old 1 1 - - 1 0,2 Above 50 years old 1 1 6 4 7 1,8 Total 85 100 147 100 455 100

Employee Recruitment by Region 2019 % 2018 % 2017 % Head Office 85 100 147 100 455 100 Total 85 100 147 100 455 100

Employee Turnover by Gender 2019 % 2018 % 2017 % Male 78 83 108 84 169 83 Female 16 17 21 16 36 17 Total 94 100 129 100 205 100

Employee Turnover by Age Group 2019 % 2018 % 2017 % Under 30 years of age 6 6 0 0 0 0 30-50 years of age 10 11 16 12 58 28 Above 50 years of age 78 83 113 88 147 72 Total 94 100 129 100 205 100

Employee Turnover by Region Region 2019 % 2018 % 2017 % Head Office 21 22.3 28 21.7 80 39.0 I Gusti Ngurah Rai Airport - Bali 16 17.0 17 13.2 27 13.2 Juanda Airport - Surabaya 18 19.1 18 14.0 15 7.3 Sultan Hasanuddin Airport - Makassar 5 5 15 11.6 9 4.4 SAMS Sepinggan Airport - Balikpapan 8 9 7 5.4 11 5.4 Frans Kaisiepo Airport - Biak 1 1 4 3.1 7 3.4 Sam Ratulangi Airport - Manado 0 0 3 2.3 4 2.0 Adisutjipto Airport - Yogyakarta 13 14 8 6.2 13 6.3 Adi Soemarmo Airport - Solo 2 2 4 3.1 5 2.4

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Region 2019 % 2018 % 2017 % Syamsudin Noor Airport - Banjarmasin 2 2 1 0.8 8 3.9 Jenderal Ahmad Yani Airport - Semarang 3 3 7 5.4 8 3.9 Lombok International Airport - Praya 3 3 4 3.1 7 3.4 Pattimura Airport - Ambon 0 0 5 3.9 5 2.4 El Tari Airport - Kupang 2 2 5 3.9 4 2.0 Sentani Airport - Jayapura 0 0 0 0 0 0 Development Project of Jenderal Ahmad 0 0 1 0.8 1 0.5 Yani International Airport Development Project of Adisucipto 0 0 2 1.6 0 0 International Airport Development Project of Syamsudin Noor 0 0 0 0 1 0.5 International Airport Development Project of Sultan Hasanuddin 0 0 0 0 0 0 Airport - Makassar Total 94 100 129 100 205 100

Reasons for Employee Turnover Reasons 2019 2018 2017 Male Female Male Female Male Female Resignation 1 4 9 1 32 10 Retirement 69 9 93 20 124 24 Deceased 6 3 6 0 9 1 Dismissed 2 0 0 0 4 1 Total 78 16 108 21 169 36

Within the reporting year, a total of 85 people were recruited, most of whom were hired to replace retired employees. Based on the addition and reduction of employees, the employee turnover rate in 2019 was 2.79%, lower compared to 5.29% in 2018.

Description 2019 2018 2017 Total Recruitment 85 299 448 Total Offboarding Employees 94 121 208 Total Employees at the Beginning of the Year 3,363 3,350 3,025 Total Employees at the End of the Year 3,355 3,374 3,350 Turnover rate 2.7% 3.5% 6.5%

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Description 2019 2018 2017 Retirement 75 109 118 Resignation 4 6 78 Deceased 9 6 8 Others 0 0 4 Total offboarding employees 88 121 208 Total Employees 3,355 3,374 3,350 Turnover Rate 2.69% 3.59% 4.85%

EQUALITY AND DIVERSITY [GRI 405-1] The principle of equality and diversity is our concern, as it creates a dynamic and creative work atmosphere. Different backgrounds and personalities provide wealth in the work environment of PT Angkasa Pura I (Persero). The following are the variations in the governance and employees of PT Angkasa Pura I (Persero).

Category Male % Female % Board of Commissioners 5 people 100 0 people 0 Board of Directors 6 people 86 1 person 14 Top Management 48 people 89 6 people 11 Middle Management 185 people 86 31 people 14 Lower Management 339 people 83 67 people 17 Staff 1,930 people 72 737 people 28

Category Under 30 years old 30-50 years old Above 50 years old Total % Total % Total % Board of Commissioners 0 0 0 0 6 0.2 Board of Directors 0 0 2 0.1 6 0.2 Top Management 0 0 23 0.6 31 1 Middle Management 22 0.7 313 9.3 71 2.2 Lower Management 0 0 163 4.8 53 1.6 Staff 1,234 36.9 1,236 36.8 195 5.8

Table of Employee Composition by Level of Education Education 2019 2018 Male Female Total Male Female Total Doctorate 2 0 2 0 0 0 Post-Graduate (Master) 64 33 97 70 33 103 Undergraduate (Bachelor) 690 359 1,049 708 362 1,070 D1 - D4 (Associate’s Degree) 572 206 778 530 188 718 Elementary – High School 1,184 245 1,429 1,232 251 1,483 Total 2,512 843 3,355 2,540 834 3,374

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EMPLOYEMENT REMUNERATION We dispense competitive remuneration, not only to maintain the best talent but also to improve the welfare of employees. The Company deems that equality in terms of remuneration is vital, which is realized by the same salary ratio between male and female for each employee category. [GRI 405-2]

The Following is the Set Remuneration for Employees Types of Composition Remuneration Monthly income Basic salary, achievement incentive, dearness allowance, transportation allowance, positional allowance, mobility allowance. Annual income House rental allowance, annual leave allowance, children education allowance, religious festivity allowance, bonus, work uniform. Health Allowance Health allowance is provided independently by PT Angkasa Pura I (Persero) using Admedika Health Card and initial employee participation in BPJS of Health (Healthcare and Social Security Agency), which includes: 1. Outpatient care 2. Inpatient care 3. Pregnancy and maternity care 4. Diagnostic tests 5. Special care (eye glasses, lasik eye surgery, medical and dental treatment, hearing aid, limb prosthetics, eye prosthetics) 6. Emergency service Conditional and 1. Housing allowance is provided to the retired employees and employees Temporary Income with 15 consecutive years of service. 2. Dedication award is given for employees with 25 consecutive years of service and employees honourably discharged due to age limit. 3. Meal allowance is given daily and paid according to each employee attendance. 4. Religious service allowance is provided to employees with at least 10 years of service who meet the terms and conditions specified by the Company. 5. Acting allowance is given for employees serving as acting officials in structural or functional positions for at least 10 consecutive working days. 6. Article 21 income tax allowance is given according to the effective taxation regulation. 7. Childbirth allowance is given for the first and second labor. 8. Death and natural disaster compensation. 9. A compensation is given to employees due to the death of the said employees or the spouse, parent, parent-in-law, or child of the employee. 10. Religious festivity presence incentive is given to the employees who work during religious festival of the corresponding employees. 11. Education and training incentive. 12. Cell phone allowance, provided to structural officials as a reimbursement for cell phone purchase, with the amount of which regulated in accordance with the position. 13. Cell phone credit allowance, provided to structural officials, and protocol officers, as a reimbursement for cell phone purchase, with the amount of which regulated in accordance with the position. 14. Telephone allowance, provided to structural officials as a reimbursement for home phone phone bill, with the amont of which regulated in accordance with the position. 15. License and rating benefits, provided to the technical and operational employees who hold a valid license. However, the years of service must correspond to the licence itself; and 16. Overtime allowance, provided to employees working overtime, with the amount of which regulated in accordance with employee salary class in hourly basis.

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Whereas allowances provided to full-time employees that are not given to temporary or part-time employees are as follows: [GRI 401-2] Type of Allowance Full-Time Employee Contract Employee Religious Festivity Allowance √ √ Welfare Allowance √ - Leave Allowance √ - Income Tax Allowance √ - Housing Allowance √ - Transportation Allowance √ - Life Insurance √ - Healthcare √ - Maternity Leave √ √ Share Ownership √ -

PRE-RETIREMENT TRAINING Employees who are entering their retirement period receive welfare packages in the form of: [GRI 201-3] [GRI 404-2] 1. Retirement Benefits through the Angkasa As a form of gratitude for the dedication and Pura I Pension Fund (DAPENRA) and Financial hard work of employees who are entering their Institution Retirement Fund (DPLK) with retirement period, we provide pre-retirement mandatory and voluntary contribution. The training program in the form of financial contribution amount for DANPERA consists of preparation and a Pre-Full-Service Training employee contribution of 5% and the company’s Program. The training is expected to assist the contribution of 27.64% according to the employees to be mentally and spiritually prepared actuarial valuation calculation outcome, while in encountering and enjoying the retirement the contribution amount for DPLK consists of period while remaining comfortable. The topics employee contribution of 5% and company’s discussed in this training include: contribution of 20%. 1. Spiritual Emotion Power 2. Retirement Insurance managed by BPJS 2. Tips to Face Retirement Status Employment with mandatory and voluntary 3. Health Secret contribution, consisting of employee 4. Entrepreneurship contribution of 1% and the company’s 5. Creating a Harmonious Family Post-Retirement contribution of 4%. 6. Business Visitation 3. Old Age Insurance Benefit managed by 7. Resolutions/Personal Action Plan with YAKKAP BPJS of Employment with mandatory and I (Yayasan Kesejahteraan Karyawan PT Angkasa voluntary contribution, consisting of employee Pura I (Persero). contribution of 1% and the company’s contribution of 4%. Throughout 2019, the Company held 5 pre- 4. Old Age Insurance Benefit managed by the retirement trainings at 4 different airports for a Angkasa Pura I Employee Welfare Foundation total of 127 participants. (Yayasan Kesejahteraan Karyawan PT Angkasa Pura I (Persero) - YAKKAP I). 5. Retirement Healthcare managed by YAKKAP (Yayasan Kesejahteraan Karyawan PT Angkasa Pura I (Persero).

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RETENTION AFTER MATERNITY COLLECTIVE LABOR LEAVE [GRI 401-3] AGREEMENT [GRI 102-41] In accordance with employment regulations, PT We value the freedom of association of employees Angkasa Pura I provides the right of maternity leave by providing opportunities for employees to form to female employees for three months to properly trade union organizations. Currently there are two prepare for their child birth and to adjust to new union organisations of PT Angkasa Pura I (Persero), family life. We also provide the right of paternity explicitly the Angkasa Pura I Workers Union (SP) leave for male employees for three days. and the Angkasa Pura I Employees Association (AKA). Both the SP and AKA represent the In the reporting year, 48 female employees applied interests of employees in employment, including for maternity leave. Out of 48 employees, all of negotiating Collective Labor Agreements with them (100%) have returned to work. management. This CLA covers all (100%) of PT Angkasa Pura I (Persero) workers, and covers topics such as work relations, working time, leave, occupational health and safety, employee income, official travel, employee welfare, employee discipline, legal aid, dismissal of employees, and settlement of complaints.

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EMPLOYEE DEVELOPMENT Several main components of HCMS are explained in detail as follows: We provide opportunities for every employee showing potential and competence to pursue a Distinct Job Profile career and secure an appropriate position. Every The document containing comprehensive and employee has the same opportunity in building relevant information on the jobs within the his/her career, and PT Angkasa Pura I is committed organization, as the outcome of job analysis process. to developing the potential of each employee to achieve their aspirations. We develop employees Organization Management through various education and training programs, Planning, coordination, and management of human both inside and outside the Company. resource within an entity to achieve the mutual objective effectively and efficiently in accordance PT Angkasa Pura I has developed the Human Capital with the missions, visions, and strategies. Management System (HCMS). This development aims to choose the best quality human resources, Performance Management to place the right human resources in the right Performance Management is a significant sub- positions, to ensure employees development, system within HCMS used by the organization to and to ensure that they receive reward for their plan, organize, encourage, and evaluate employee performance. performance.

The main components of HCMS include Competency Management Organization Management, Distinct Job Profile A competency management process for human (DGT), Competency Management, Performance capital development with the purpose of assisting Management, Reward Management, Talent management in executing competency-based Management, and Learning Management, as human capital strategy. follows:

Talent Management A process of identifying the Company’s employees who have the capabilities of being future leaders/ senior managers based on 2 (two) key elements, REWARD namely competency aspect and performance aspect. MANAGEMENT In addition to the aforementioned programs, we provide trainings for all workers (100%), according to their level: [GRI 404-2] Organization Management 1. Directors C Distinct Manageommpeetntenc Job Profile a. In-house training: Performance ormance Management System y erf P Management b. Public Course: Leadership Program, IAI-AFA- LEARNING TALENT IAESB International Conference 2019 MANAGEMENT MANAGEMENT c. Overseas: 2019 International Aviation Training Forum, PAII International Workshop Program “Best Practices in Implementing Effective Governance - From Rules to Principles”.

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2. Vice President, General Manager, Co. General Assessment of Corporate Internal Instructor Manager Candidates, Airline Management and Route a. In-house training: Performance Development Training, Pre-Retirement Management System, Business Acumen, Training, Enhancement Program of Airport Coaching and Mentoring, Integrity Shoots, Management Knowledge. Creative Thinking, Pre-Retirement Training. c. Public Course: Dangerous Goods Workshop, b. Public Course: National Internal Audit IATA Airport Development & Infrastructure Seminar, Pension Fund General Design, Certified Contact Centre Supervisor Management Certification. Training, SMK3 Auditor Certification Training, c. Overseas: PAII International Workshop Project Risk Management Workshop, Program “Best Practices in Implementing Greenship Associates Training, Basic Internal Effective Governance - From Rules to Audit I and II Training, Advanced Internal Principles”, International Civil Aviation Audit I and II Training, Managerial Level Training Forum 2019, Distance Learning “The Internal Audit Training. Mechanics of Project Finance”. d. Overseas: Airport and Terminal Facilities Training, Trinity Forum - The 2019 Global 3. Senior Manager Airport Commercial Revenue Conference, a. In-house Training: Coaching and Mentoring, IATA Diploma Training - Airport Development Training of Trainers, KPKU Assessor Training, and Infrastructure Design, Airport Master Integrity Bearers, Business Acumen, Airline Planning. Management and Route Development, Creative Thinking, Pre-Retirement Training. 5. Team Leader b. Public Courses: Airport SMS Implementation a. In-house Training: Enhancement Program Training, Airport Business Development of Airport Management Knowledge, & Planning, Best Practices Workshop in Hospitality and Customer Service Training, Internal Auditing, Legal Auditor Certification Pre-Retirement Training. Training, Basic Internal I and II Internal Audit b. Mandatory Regulation: Aviation Security Training, Advanced Internal I and II Internal Instructor Certification, Refreshing Course Audit Training, Managerial Internal Audit and Senior Aviation Security License Training. Extension Exam, Aviobridge Training, c. Overseas: Digital HR & Analytics Conference, Refreshing Course & Salvage License Airport Operations and Management Extension, Refreshing Course & Extension Training, Airport and Terminal Operation of PKP-PK Senior License, Initial Salvage Training, Airport and Terminal Facilities Training, TCC of Large Equipment (A2B) Training. Training. c. Public Course: The International Visitor 4. Manager Leadership Aviation Infrastructure a. Postgraduate in Airport Management Development Program, Dangerous Goods Scholarship Program in collaboration with Workshop, Certification and General OHS Pancasila University and IATA. Expert Recertification Training, Workshop b. In-house Training: Postgraduate Program on Preparation of Questions and Materials in Airport Management, Integrity Bearers, for Airport Personnel License Test. Goods/Services Procurement Training, d. Overseas: Airport and Terminal Operation Non-Regular Junior Airport Management Training, Airport and Terminal Facilities Training, Junior Airport Management Training, 5th Emergency Management For Training, KPKU Assessors Training, Airport Summit 2019.

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6. Squad Leader Effective Receivables Collection Training, a. In-house Training: First Aid Training and Junior Airport Management Training, First Recertification, Airline Management and Aid Training and Recertification, KPKU Route Development Training, Hospitality and Interpretation Training, Hospitality and Customer Service Training, Enhancement Customer Service Training, Enhancement Program of Airport Management Knowledge, Program of Airport Management Knowledge, Pre-Retirement Training. Pre-Retirement Training. b. Mandatory Regulation: Refreshing Course c. Public Course: ACI - Online Learning - and Junior and Senior Aviation Security Certificate in Airport Business Operations, Personnel License Extension Test, Initial IATA Airport Development & Infrastructure Senior Aviation Security Training, Refreshing Design, Workshop on Preparation of Course & Salvage License Extension, Planning Documents, Issuance of SK, PL Refreshing Course & Extension of Basic, and PTUP Implementation, Workshop on Junior and Senior PKP-PK/Flight Accident Legal Aspects of the Role and Function of Aid and Fire Extinguisher License Extension, SOEs (Parent and Subsidiaries), Training Initial Training of Senior PKP-PK. and Certification of Pension Fund General c. Overseas: 5th Emergency Management For Management, Land and Property Workshop, Airport Summit 2019. Greenship Professional Training. d. Overseas: ACI In-house Training - Airport 7. Officer Carbon Management, ACI Online Learning - a. Postgraduate in Airport Management Certificate in Airport Business Operation, ACI Scholarship Program in collaboration with Online Learning - Certificate in Commercial Pancasila University and IATA. Management, ACI Online Learning - b. In-house Training: Goods/Services Disability Sensitivity Training, Airport and Procurement Training, SAP End User Training, Terminal Operation Training, Airport and Videography and Infographic Training, Terminal Facilities Training.

Average Training Hours per Year per Employee [GRI 404-1] 2019 2018 2017 Male 90 91 110 Female 101 86 93

2019 2018 2017 Top Management 64 55 52 Middle Management 82 72 57 Lower Management 58 97 63 Staff 100 91 116

Throughout 2019, PT Angkasa Pura I has conducted various trainings such as: public courses, technical training, mandatory regulations and technical fields with a total of 3,490 participants from various levels of positions, ranging from the level of directors to staff. The number of participants is lower when compared to 2018 with 6,143 participants. This is due to in the reporting year an online training was held with the theme of Creative Thinking material which was participated by the head office and branch office employees. The total cost of conducting training and education during 2019 reached Rp42,371,568,292.

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PERFORMANCE ASSESSMENT and talent management and human capital services through effective management of PT Angkasa Pura I implements employee activities related to career and talent management, competency-based career development. For recruitment, individual assessment and Human this reason, we regularly conduct performance Capital Information System (HCIS) administration and employee competency assessments. We to maintain employee satisfaction towards human implement a Performance Management System capital service based on the Company’s Work Plan (PMS), a management system of individuals’ and Budget (RKAP) and to comply with the law as performance to achieve the Company’s well as Company’s internal regulations. targets through planning, organizing, and evaluating employee performance. Performance The main components of Human Capital Management System (PMS) is carried out once Management System include talent management, every 6 months for all the Company’s employees a process of identifying the Company’s employees (100%), both male and female employees from all who have the capabilities of being future leaders/ levels and positions. This assessment is the basis for senior managers based on 2 (two) key elements, employee career development and to determine namely competency aspect and performance promotion, rotation, or transfer. [GRI 404-3] aspect.

Reward is given to employees according to the The principle of equality and diversity is of our performance of each employee and each branch concern, because this creates a dynamic and office. Performance indicator for employees is creative work atmosphere. Different backgrounds called Performance Index (PI) obtained from and personalities provide wealth in the work the Performance Management System and Key environment of PT Angkasa Pura I (Persero). Performance Indicator (KPI) achievement of the Following are the variations in the governance and branch office. Human Capital Group consists of employee body of PT Angkasa Pura I (Persero). Career Management and Human Capital Services department that is responsible for ensuring the successful implementation of policies in career

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Driving Occupational 10 Health and Safety

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Occupational Safety and Health (OHS) is the focus of PT Angkasa Pura I (Persero) to achieve our vision of being a world link that “ is more than an airport operator with service excellence that features Indonesian hospitality. ”

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Our commitment is to provide a healthy and safe quality of airport management systems by inviting workplace for employees and to ensure that all world-leading practitioners through the auspices aspects of airport operations involving passengers of Airport Excellence (APEX) in Safety and Security. equally display the highest safety standards. The aspect of Occupational Health and Safety is one The company has implemented 3S1C beyond of the things that concerns PT Angkasa Pura regulation. Comprehensively, PT Angkasa Pura I (Persero) management. We strive to create a I (Persero) implements 3S1C starting from the healthy, safe, and comfortable work environment gate and parking lot to public places on airport to support optimal performance. by involving several portions of PT Angkasa Pura I (Persero) internal management, with the following duties and functions: SAFETY, SECURITY, AND 1. Compliance and Risk Management: Risk COMFORT Management and Corporate Planning is responsible for ensuring that PT Angkasa Pura OHS Target I (Persero) business process is performed with The Company’s OHS targets as the impetus of acceptable risk level through risk management our operational work are Zero Accidents and zero process and ensure the availability of corporate occupational health issues or diseases of employees strategic plan formulation through analysis and in PT Angkasa Pura I (Persero). business review, monitoring and evaluating PT Angkasa Pura I (Persero) performance in order In line with the Company’s vision being a world to support the achievement of PT Angkasa connector that is more than an airport operator Pura I (Persero) objectives our pursuant to the with service excellence that features Indonesian Company’s Work Plan and Budget (RKAP). hospitality, PT Angkasa Pura I (Persero) business activities are carried out by prioritizing safety 2. Airport Engineering: Airport Engineering and protection of flight service activities and Group is responsible for ensuring the availability airport service users. With regard to that matter, of airport statistics, airport master plan, and PT Angkasa Pura I (Persero) has implemented environment through analysis in order to principle of Safety, Security, Service through support the achievement of PT Angkasa Pura Compliance (3S1C) in accordance with Law No. 1 of I (Persero) strategy in accordance with policy 2009 concerning Aviation. and regulation specified by the regulator and in compliance with laws and regulations and In addition to having policies related to security Company’s internal regulations. and protection mentioned above, PT Angkasa Pura I (Persero) obtained several certifications in 3. Airport Security: Airport Security Group is numerous fields that support the safety, security, responsible for ensuring the effective service and comfort of service users. Some of these include in airport security through human resources environmental certification (ISO 14001: 2015), quality and reliability improvement in order quality management (ISO 9001 2015), occupational to support the achievement of Customer health and safety (OHSAS 18001: 2007), and risk Satisfaction Index (CSI) of all airports in management (ISO 31000). PT Angkasa Pura I accordance with national and international (Persero) also enforces programs to improve the standards.

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4. Airport Safety: Airport Safety is responsible for KP.10.43/2018 of January 24, 2018, concerning ensuring the sustainability of safety level and the Manual of Occupational Health and Safety service quality achievement through effective Management System (SMK3) of PT Angkasa Pura safety management system, occupational I (Persero). We would like to ensure that potential health and safety, and quality management hazards and OHS risks within the Company activities in order to support the achievement activities are controlled with the aim of protecting of Customer Satisfaction Index (CSl). everyone, Company assets, and the surrounding environment from the possibility of workplace 5. Airport Services: Airport Services is accidents and occupational diseases. responsible for ensuring effective airport and hospitality services through human resources To implement the OHS policies, all Management quality and reliability improvement in order to Personnels and Employees strive to: support improvements in service and quality 1. Prevent occupational accidents and diseases assurance, as well as the achievement of as well as equipment, properties, and Customer Satisfaction Index (CSI) for all airports workplace damages; in accordance with national and international 2. Establish healthy, safe, and comforting standards. workplace for all employees, customers, working partners, and business partners as 6. Airport Facilities Readiness: Airport Facilities well as and other parties in the surrounding Readiness is responsible for ensuring the to support the achievement of Company’s readiness of all airports’ facilities covering air vision, mission and OHS goals; and land side, landscape and terminal building 3. Comply with all laws and other requirements managed by PT Angkasa Pura I (Persero) in related to OHS as well as its compliance order to support the achievement of Customer evaluation; Satisfaction Index (CSI). 4. Continuously conduct coaching, implement, and maintain OHS in the workplace; 7. Airport Equipment: Airport Equipment 5. Provide competent human capital, proper Readiness is responsible for ensuring the equipment, working method, safe working availability of operational readiness of all environment, as well as adequate budget for airports’ equipment managed by PT Angkasa implementing Ohs programs; Pura I (Persero) and other supports to achieve 6. Evaluate OHS implementation in order to Customer Satisfaction Index (CSl). promote sustainable OHS and conducive OHS condition.

OHS POLICIES OHS policies are communicated to all employees Policies related to occupational health and and relevant stakeholders for compliance and safety in PT Angkasa Pura I (Persero) are listed in regular review by the Board of Directors. Decree of the Board of Directors Number: KEP.08/

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OHS MANAGEMENT STRUCTURE In order to ensure the implementation of Occupational Health and Safety, the Company established Airport Safety Group, an OHS management unit, in the Head Office in 2016. Airport Safety Group consists of 3 (three) departments. One of the departments is Occupational Health and Safety Department which focuses on OHS management.

Duties and responsibilities of the Occupational Health and Safety Department are to ensure that the implementation of Occupational Safety Health Management System (OHSMS) through effective management of Occupational Health and Safety (OHS) activities to support the maintenance of occupational health and safety levels of employees and the work environment based on applicable laws and regulations, as well as the Company work plan.

Organizational Structure of OHS Manager

head office

VICE PRESIDENT AIRPORT SAFETY

OCCUPATIONAL SAFETY HEALTH SENIOR MANAGER

OCCUPATIONAL SAFETY OCCUPATIONAL SAFETY HEALTH ANALYST HEALTH OFFICER

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Organizational structure of OHS manager in branch offices is divided into 3 (three) based on their size, as follows: 1. Large airport; 2. Medium airport; 3. Small airport.

Large airport Medium airport Small airport

AIRPORT SAFETY & QUALITY AIRPORT SECURITY & AIRPORT OPERATION & SENIOR MANAGER SAFETY SENIOR MANAGER SERVICE SENIOR MANAGER

AIRPORT SAFETY, QUALITY & SMS & OSH MANAGER SMS & OSH MANAGER RISK MANAGEMENT MANAGER

SMS & OSH OFFICER SMS & OSH OFFICER SMS & OSH OFFICER

OHS PROGRAM The Company has performed various programs to ensure the achievement of Occupational Health and Safety goals, including:

No Work Program Description 1. OHS Management System Until 2019, 13 (thirteen) airports has successfully obtained OHS (SMK3) Certification in Management System Certification, as follows: accordance with national OHS Management System Certification and international standards 1) Jenderal Ahmad Yani International Airport, Semarang with the achievement of 87.3% (Satisfactory) à Golden Flag 2) I Gusti Ngurah Rai International Airport, Bali with the achievement of 89.15% (Satisfactory) à Golden Flag 3) SAMS Sepinggan International Airport, Balikpapan with the achievement of 89.15% (Satisfactory) à Golden Flag 4) Adi Soemarmo International Airport, Solo with the achievement of 93.37% (Satisfactory) à Golden Flag 5) Adisutjipto International Airport, Yogyakarta with the achievement of 92.16% (Satisfactory) à Golden Flag 6) El Tari International Airport, Kupang with the achievement of 90.36% (Satisfactory) à Golden Flag 7) Pattimura International Airport, Ambon with the achievement of 90.96% (Satisfactory) à Golden Flag 8) Juanda International Airport, Surabaya with the achievement of 92.77% (Satisfactory) à Golden Flag 9) Sultan Hasanuddin International Airport, Makassar with the achievement of 92.16% (Satisfactory) à Golden Flag 10) Syamsudin Noor Airport, Banjarmasin with the achievement of 90.96% (Satisfactory) à Golden Flag 11) Sam Ratulangi International Airport, Manado with the achievement of 90.96% (Satisfactory) à Golden Flag 12) Lombok International Airport with the achievement of 89.75% (Satisfactory) à Golden Flag 13) Frans Kaisiepo International Airport, Biak with the achievement of 89.15% (Satisfactory) à Golden Flag

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No Work Program Description OHSAS 18001:2007 1) I Gusti Ngurah Rai International Airport, Bali 2) SAMS Sepinggan International Airport, Balikpapan 3) Adi Soemarmo International Airport, Solo 2. Facilities and Equipment Facilities and equipment at all airports managed by PT Angkasa Certification on a regular Pura I (Persero) have been certified by the Directorate General of basis Air Transportation and the local Manpower Office. 3. Personnels Certification Personnels at all airports managed by PT Angkasa Pura I according to their field of (Persero have been certified by the Directorate General of Air work Transportation and the Ministry of Manpower. 4. Evaluation of work Evaluation of work environment has been carried out environment quality & Health in accordance with applicable laws and regulations and Risk Assessment requirements. The results of the work environment evaluation are used to assess the level of occupational health risks and to control occupational health risks in the work area (office and airport areas). 5. OHS dissemination and OHS dissemination and seminar for routine stakeholders is held seminar for stakeholders at least once a year in all airports managed by PT Angkasa Pura I (Persero). 6. Safety briefing for Regular safety briefing is conducted regularly before starting contractors, vendors, tenants work on airside and landside which includes contractors, vendors, and stakeholders tenants, and stakeholders. 7. Defensive Safety Driving Defensive safety driving course has been conducted at I Gusti Course for Airline Partners Ngurah Rai Airport - Bali, Sultan Hasanuddin Airport - Makassar, and Ground Handling Lombok International Airport, Sam Ratulangi Airport - Manado which includes personnel from all Airlines, Ground Handling, and Airport Authority. 8. OHS Promotion: OHS promotion and campaign have been conducted at all airports a. National OHS Month managed by PT Angkasa Pura I, with the following activities: b. OHS Campaign 1) Ceremony of National OHS Month. 2) Signing of Safety Commitment with stakeholders. 3) OHS Award from the local province, including: Zero Accident Award, Safety Committee/OHS Steering Committee (P2K3) Award, OHS Performance Award, Award for Compliance on the Implementation of Law on Employment of above 80%, Award for Achieving OHS Management System Certification, Award for Active Participation in OHS Management System Certification. 4) OHS dissemination and seminas with topics, such as basic OHS, zero accident, emergency response, occupational health psychology, P2HIV/AIDS, fire hazard prevention and basic life assistance, ergonomics at workplace, defensive safety driving, 5Rs (housekeeping), hygiene sanitation, work environment management. 5) Installation of OHS month banners. 6) Blood donations with a total of 1,067 blood bags collected from the head office and 13 airport branches. 7) OHS competition and exhibition.

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No Work Program Description 9. Training on Use of Fire The positive impact of the implementation of “Training on Use of Extinguishers (APAR) for Fire Extinguishers (APAR)” is: Partners and Business 1) Knowing how to use APAR. Partners 2) Increasing awareness of working environment in the office building. 3) Increasing knowledge and skills in dealing with fire emergency state of office buildings. The implementation of routine APAR usage training is conducted at least once a year. 10. Simulation of Emergency Out periodically by involving related units in the internal and Response Training external environment. Some of the things that became the focus of attention in the implementation of this exercise, include: 1) Understanding the concept of Emergency Response Planning (ERP) effectively so that control can be carried out quickly and accurately. 2) Preventing confusion in the face of emergency situations (not nervous and panic). 3) Preventing the occurrence of material losses or greater material (casualities, damage to facilities/equipment, and others). 4) Improving knowledge and skills in dealing with emergencies in the airport environment. 11. Internal Audit of OHS Internal audit is conducted at least once a year to determine the Management System level of implementation and consistency of OHS Management (OHSMS) in 2019 according to System in all branch offices, and to determine the level of the Government Regulation compliance with Government Regulation Number 50 of 2012 No. 50 of 2012 concerning Occupational Health and Safety Management System. 12. Strengthening OHS Supervision of OHS aspects in airport development projects as an implementation in the effort to foster, implement, maintain and evaluate OHS in the work Airport Development Project environment of Airport Development Projects. 13. Technical Guidance on The Implementation of Technical Guidance is one of the Interpretation of ISO 45001: preparatory steps in implementing ISO 45001: 2018. This activity 2018 Occupational Health & aims to increase the understanding of personnel related to ISO Safety Management System 45001: 2018 and determine the fulfillment of clauses in ISO 45001: 2018. Further, gap analysis and adjustment of OHS Management System can be carried out in PT Angkasa Pura I (Persero) in accordance with the Government Regulation No. 50 of 2012 and ISO 45001: 2018 OHS Management System.

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b. Factors that may affect work efficiency and OHS JOINT COMMITTEE [GRI 403-1] productivity. In the management of OHS, the Company has c. Personal Protective Equipment (PPE) for the formed the Committee for Occupational Health workforce concerned. and Safety (P2K3) as a joint forum between d. Proper and safe ways and attitudes in management and workers to discuss OHS-related carrying out their work. issues at PT Angkasa Pura I (Persero) both at the 3. Helping Employer/Administrator in: head office and at the branch offices. The members a. Determining corrective actions with the best of the Committee for Occupational Health and alternatives. Safety are as follows: b. Developing a hazard control system for Occupational Health and Safety. Head Office: c. Evaluating the causes of accidents, Management : President Director, representatives occupational diseases (PAK) and taking the of the Directors, Vice President, necessary measures. and Senior Manager d. Developing counselling and research in Workers : Representatives of officer in occupational safety, company hygiene, all work units, labor union occupational health, and ergonomics. representatives and employee e. Monitoring work nutrition and organizing association representatives. food aspects in the Company. f. Checking the completeness of work safety Branch Offices: equipment. Management : General Manager, Senior Manager, g. Developing workforce health services. and Manager h. Developing Occupational Health and Workers : Representatives of officer in all work Safety laboratories, conducting laboratory units, labor union and employee examinations and carrying out interpretation association representatives. of examination results. i. Carrying out administration of occupational This committee represents all employees of safety, company hygiene and occupational PT Angkasa Pura I (Persero), with a total of 13 health. airports consisting of 235 manager representatives j. Assisting the Company leaders in formulating and 194 worker representatives. At several airports, management policies and work guidelines manager representatives represents employees in order to improve occupational safety, from their work units. company hygiene, occupational health, ergonomics and nutrition at work (based The functions of the Committee for Occupational on article 4 (four) of Minister of Manpower Health and Safety (P2K3) at PT Angkasa Pura I Regulation Number PER.04/MEN/1987. (Persero) include: 1. Collecting and processing data on Occupational Health and Safety in the workplace. 2. Helping to present and explain to each workforce regarding: a. Various hazards in the workplace that can cause OHS hazards including fire and explosion hazards and mechanisms to overcome the hazards.

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HEALTH AND SAFETY TOPICS IN In addition, Chapter IX on Employee Welfare also addresses a number of matters relating FORMAL AGREEMENTS [GRI 403-4] to employee health, such as health care and PT Angkasa Pura I (Persero) is aware that maintenance, outpatient care, hospitalization, Occupational Health and Safety is a very important pregnancy and childbirth, special services, health issue and needs to be of mutual concern to both checks, and BPJS Kesehatan. management and employees. Accordingly, this topic was agreed to be included in the Collective Labor Agreement. OCCUPATIONAL SAFETY Occupational health and safety supports the smooth operation of the Company. A sense of Specifically, Occupational Health and Safety is security in the workplace is a source of moral discussed in Chapter VI, article 38, which contains, support for workers which ensures enthusiasm at among others, the Company’s obligation to work. For this reason, PT Angkasa Pura I (Persero) provide workplaces, work equipment, personal has paid special attention to job security, which protective equipment, and the preparation of provided very good results in 2019. safe work systems and procedures in accordance with applicable standards, to provide comfort and maintain employee health and safety in carrying out work.

Type of Work Accidents, Work Accident Rate, Occupational Disease Rate, Lost Time Injury, and Absence, as Well as Number of Work-Related Deaths [GRI 403-2] 2019 2018 2017 Safe working hours 11,428,017 13,734,984 10,865,054

Type of Work Accidents by Region (14 airports: 2019, 2018, 2017) Airports Light Mild Moderate Severe Fatal I Gusti Ngurah Rai Airport - Bali 104 82 0 0 0 Juanda Airport - Surabaya 11 0 0 0 0 Sultan Aji Muhammad Sulaiman 0 1 0 0 0 Sepinggan Airport - Balikpapan Sultan Hasanudin Airport - Makassar 0 0 0 0 0 Yogyakarta International Airport - 2 1 0 0 0 Kulon Progo Lombok International Airport - Praya 2 5 0 0 0 Sam Ratulangi Airport - Manado 0 1 0 0 0 Syamsudin Noor Airport - Banjarmasin 0 2 0 0 0 Jenderal Ahmad Yani Airport - 0 0 0 0 0 Semarang Adisutjipto Airport - Yogyakarta 0 0 0 0 0

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Airports Light Mild Moderate Severe Fatal El Tari Airport - Kupang 1 0 0 0 0 Adi Soemarmo Airport - Solo 3 2 0 0 0 Pattimura Airport - Ambon 14 10 0 0 0 Frans Kaisiepo Airport - Biak 1 1 0 0 0 Total 138 105 0 0 0

Work Accident Rate (TKK) by Gender 2019 2018 2017 Male 0 0 0 Female 0 0 0 Total 0 0 0

Work Accident Rate (TKK) by Region 2019 2018 2017 I Gusti Ngurah Rai Airport - Bali 0 0 0 Juanda Airport - Surabaya 0 0 0 Sultan Aji Muhammad Sulaiman Sepinggan Airport - 0 0 0 Balikpapan Sultan Hasanudin Airport - Makassar 0 0 0 Yogyakarta International Airport - Kulon Progo 0 0 0 Lombok International Airport - Praya 0 0 0 Sam Ratulangi Airport - Manado 0 0 0 Syamsudin Noor Airport - Banjarmasin 0 0 0 Jenderal Ahmad Yani Airport - Semarang 0 0 0 Adisutjipto Airport - Yogyakarta 0 0 0 El Tari Airport - Kupang 0 0 0 Adi Soemarmo Airport - Solo 0 0 0 Pattimura Airport - Ambon 0 0 0 Frans Kaisiepo Airport - Biak 0 0 0 Total 0 0 0

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Data on missing workdays in 2019 cannot be SAFETY MANAGEMENT SYSTEM fulfilled in this sustainability report due to the absence of a system. Recording is planned for the Airport Safety Management System next sustainability report. Particularly, the company has a security policy related to airports. Airport Operational Safety Aspect is one of the elements in the application OCCUPATIONAL DISEASE of 3S1C, namely Safety Security Services and [GRI 403-2] [GRI 403-3] Compliance where the airport manager is Prevention and control of occupational disease obliged to implement a Safety Management are part of the Company’s OHS policy, considering System in accordance with Law No. 1 of 2009 occupational disease can reduce productivity and concerning Aviation which aims to provide safety harm employees. Several occupational diseases guarantees for aircraft operations at airports. The include: policies related to the implementation of Safety 1. Hearing loss due to noise Management System are listed in Decree of the 2. Eye fatigue Board of Directors Number: KEP.38/OP.01/2009 concerning the Safety Management System at In the reporting year there were no occupational airports managed by PT Angasa Pura I (Persero) diseases so we did not record the Level of and KEP.64/HK .03/2009 concerning the discussion Occupational Diseases by sex and region. of penalties in the Safety Management System (Non-Punitive Reporting Policy) at PT Angkasa As an effort to prevent and manage work-related Pura I (Persero) and Safety Circular Number ED.30/ diseases, the company provides health services for OP.02/2017/DU concerning the Implementation of employees which include: service and maintenance the Safety Management System. of employee health in the form of outpatient care, hospitalization, pregnancy and childbirth, special services, health checks (pre-work, periodic and special), participation in BPJS Health and BPJS Employment and so on.

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To realize the Safety Policy, all levels of Company 5. Always developing and placing a safety culture management and employees strive to: in all airport operational activities as a significant 1. Putting flight safety first and foremost in every and valuable for effective safety management. activity or business process in the organisation. 6. Integrating the implementation of the Safety 2. Always complying with national and Management System in all activities in the international safety rules and regulations. airport with the aim of minimizing risk and 3. Clearly defining the duties and responsibilities achieving the standards and safety performance of each managerial level and airport employees that has been set. in the development and implementation of 7. Always reviewing the effectiveness of the policy, strategies for achieving safety performance. safety objectives, and purposes periodically 4. Ensuring the availability of skilled and trained to maintain and to develop the level of safety human resources and adequate financial performance. resources to carry out and improve safety performance on an ongoing basis (Continuous Improvement).

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8. Encouraging all managerial staff and airport Safety Organisational Structure employees to proactively report issues or safety Management System risks that occur in the airport work environment. To ensure the implementation of commitments 9. Vouching for not to impose penalties or in the field of safety, the company formed a unit sanctions (Non-Punitive) to the “Authorised at the head office, the Airport Safety Group, which Professional” reporting or related to the report, was formed in 2016. Airport Safety Group has 3 as long as the error is not a violation (violation of (three) departments, one of which is the Safety discipline or violation of procedure). Management System which focuses on managing airport operational safety. PT Angkasa Pura I (Persero) SMS policy is communicated to all employees and related The duties and responsibilities of the Safety stakeholders for compliance and regular review Management System Department are to ensure by the Board of Directors. the implementation of the Safety Management System through managing safety risks; thus, airport Four Pillars Safety Management System operations remain at an acceptable level of safety. In an effort to provide safety guarantee for airport operational , we have implemented 4 (four) pillars Safety Management System Organization Structure of Safety Management System with the following activities: 1. Safety Policy & Target: VICE PRESIDENT a. Management commitment and AIRPORT SAFETY responsibility b. Safety responsibility c. Appointment of Safety Manager/Officer d. Coordination of emergency response plans SAFETY e. SMS documentation. MANAGEMENT 2. Safety Risk Management: SYSTEM SENIOR a. Hazard/interference identification MANAGER b. Risk assessment and mitigation 3. Safety Assurance: a. Measurement and monitoring of safety performance SAFETY b. Management of change MANAGEMENT c. Continuous improvement to the Safety SYSTEM OFFICER Management System. 4. Safety Promotion: a. Education and/or training b. Safety socialization.

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Program Safety Management System We carried out various programs to ensure the implementation of PT Angkasa Pura I (Persero)’s Safety Management System, including: No Activities/Program Description 1. Airport Excellence From 2016 - 2019, 6 (six) airports participated in APEX in Safety, namely as (APEX) in Safety follows: 1) I Gusti Ngurah Rai International Airport, Bali 2) Sultan Aji Muhammad Sulaiman Sepinggan Balikpapan International Airport 3) Surabaya Juanda International Airport 4) Sultan Hasanuddin International Airport Makassar 5) Jenderal Ahmad Yani International Airport, Semarang 6) Adi Soemarmo International Airport, Solo 2. Runway Safety Team It aims to ensure the readiness of runway facilities and equipment in good condition and ready for operation. RST activities that have been carried out usually begin by checking or inspecting runways together, then discussing the hazards found and other related issues. 3. Bird Strike It aims to control wild animal and bird populations around the airport. Committe 4. Ramp Safety The Ramp Safety Campaign is routinely held at least once a year at all airports Campaign managed by PT Angkasa Pura I (Persero). It aims to increase awareness of aviation safety through safety campaigns. 5. Measurement and Safety Performance Measurement and Monitoring has been carried out Monitoring of Safety in 13 (thirteen) airport branch offices in 2019. The activity involved Safety Performance Management System, Occupational Safety Health and Quality Management units. 6. Foreign Object It has been carried out routinely every Friday at all PT Angkasa Pura I Debris (FOD) (Persero) airports to ensure the absence of FOD which has the potential to Cleaning be a hazard for flight safety. 7. Safety Risk It has been carried out routinely in all branch offices, with regular schedules Assesment/Field that have been determined. Inspection 8. Safety Awareness/ Safety awareness has been carried out at 13 airports in PT Angkasa Pura I Safety Promotion (Persero) involving groundhandling, airlines, vendors, and other stakeholders. While safety promotion was carried out by installing banners, displaying information in electronic media, as well as through safety socialisation. 9. Training and The Safety Management System Training of Trainer was conducted education in accordance with Regulation of the Minister of Transportation of Indonesia Number PM 62 of 2017 concerning Civil Aviation Safety Regulations Part 19 concerning Safety Management System (Sub Part B Point 19.51) which was attended by 21 participants 10. Implementation of It is a safety inspection and audit activity in accordance with SKEP appendix M and L 223/X/2009 which is routinely carried out by the airport.

SAFETY AND SECURITY OF CUSTOMERS The safety and security of passengers and airlines is of concern to PT Angkasa Pura I. The company checks and double checks all airport functions and are bent on making sure that take-offs and landings proceed safely and run smoothly. [GRI 416-1]

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The company also provide safety guarantees to 3. Providing Personal Protective Equipment (PPE) customers, partners, business partners and other in accordance with work risks parties within the Company. The guarantees are 4. OHS Socialization and Seminar for workers and given by providing insurance for passengers at stakeholders PT Angkasa Pura I (Persero) airports. 5. OHS Promotion and Campaign for workers and stakeholders In addition, the company has established 6. Periodic employee health checks an Airport Operational Safety Policy to be 7. Training and certification of personnel implemented in all the company’s airports. This according to their field of work policy has complied with national regulations and 8. Periodic facility and equipment certification international standards regarding the provision 9. Regular maintenance of equipment of highest quality customer safety services. These 10. Training on the Use of Fire Extinguishers (APAR) policies include: for workers and stakeholders 1. Developing Airport Safety and Management 11. Emergency response simulation standards in line with the development of the 12. Safety briefing for contractors, vendors, tenants air transportation industry in accordance with and stakeholders ICAO standards and recommendations. 13. Periodic OHS inspection 2. Encouraging all staff at the airport to be aware 14. Periodic internal audit OHS Management of their responsibilities and accountability in System relation to all Airport Safety activities and to 15. Periodic assessment of the work environment cooperate fully in matters relating to safety. 16. Installation of safety signs in work areas 3. Ensuring that all officials have a duty to 17. Checking/inspecting the airside (Runway, oversee the implementation of Airport Safety Taxiway, Apron), airport terminals and other in accordance with applicable regulations and supporting facilities safety standards. 18. Foreign Object Debris (FOD) Cleaning 4. Ensuring the availability of educated and trained 19. Defensive Safety Driving Course for Airline and resources for implementing safety policies and Ground Handling Partners strategies. 5. Promoting a safety culture in order to encourage Our dedication to customer health and safety all parties concerned to always meet the Airport has resulted in the absence of non-compliance Safety regulations and standards and also apply incidents in connection with health impacts of the them to the Company culture. company’s service provision. [GRI 416-2] 6. Monitoring and evaluating all policies consistently to be applied and developed in a sustainable manner. WILDLIFE STRIKES [GRI AO9] Wildlife strikes are collisions between birds or other animals with aircraft either in the air or on OHS SOCIALIZATION AND the ground in the airport area. The incident takes PRACTICE place at or near airports, usually during taking The company has made various efforts to prevent off or landing. This is a common occurrence, but work accidents and occupational diseases and can damage the aircraft and could be dangerous damage to equipment, property, and the work to passengers. From the total number of aircraft environment. We have also made endeavours to movements in the reporting year of 680,895 ensure customer safety, as follows: aircraft movements, 13 bird strike events occurred 1. Identifying hazards, assessing and controlling on average during the landing process. risks 2. The Committee for Safety and Occupational Health routine meetings

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About 11 This Report

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The sustainability report constitutes the Company’s accountability to all stakeholders regarding our performance in “ the economic, social, and environmental sectors. ”

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PT Angkasa Pura I (Persero) concerns the We accept all enquiries and appreciate any input principles of sustainability to maintain the trust and suggestion for the improvement of subsequent of the community and support the Company’s reports. Questions or feedback can be addressed sustainability. This report is our endeavour in to: [GRI 102-53] implementing GCG (Good Corporate Governance) which prioritizes the principles of transparency, Head Office accountability, responsibility, independence, and PT Angkasa Pura I (Persero) fairness. Corporate Secretary Kota Baru Bandar Kemayoran Blok B 12 Kav. 2 This report is the sixth sustainability report which Jakarta, 10610 records information in the period of January Telp : 62-21 6541961 1-December 31, 2019. We publish a sustainability Faks : 62-21 6541513, 6541514 report annually and the previous report was Email : [email protected] published in April 2019. There is no restatement Website : www.ap1.co.id of information and no significant changes in Twitter : @AP_airports the list of material aspects and topic boundaries Instagram : @AP_airports compared to preceding reports. In addition, there Facebook : Angkasa Pura Airports were no significant changes to the organization and its supply chain. [GRI 102-10] [GRI 102-48] [GRI 102-49] [GRI 102-50] [GRI 102-51] [GRI 102-52] BOUNDARY AND MATERIAL ASPECT IDENTIFICATION In relation to the scope of the report, this report In accordance with GRI standards, we compiled includes consolidated activity and financial reports this report by taking into account four essential from PT Angkasa Pura I (Persero) and all of its principles, namely: subsidiaries, namely: 1. Stakeholders inclusiveness principle, 1. PT Angkasa Pura Logistik stakeholders were involved in determining the 2. PT Angkasa Pura Properti material aspects disclosed in this Report; 3. PT Angkasa Pura Suport 2. Materiality principle, this report emphasized on 4. PT Angksa Pura Hotel the presentation of material issues or aspects, 5. PT Angkasa Pura Retail. [GRI 102-45] needed by stakeholders; 3. Sustainability context principle, this report has This report has been well-prepared in accordance considered the relevant sustainability issues for with GRI Standards: Core option, with a written the reporter in making decisions; disclosure number on each discussed topic and a 4. Completeness principle, this report is prepared complete index on page 169. This report has been with a well-defined scope for the 2019 report reviewed by an independent third party through period and is supported by complete data. an external assurance process, namely PT Moores Rowland Indonesia whose results are presented on page 160. [GRI 102-54] [GRI 102-55] [GRI 102-56]

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This report was prepared with directed stages, to 3. The third stage is to validate the material aspect. ensure the reliability of the report: [GRI 102-46] The principle underlying the validation phase is 1. The first stage is the process of identifying the the completeness and stakeholder involvement. aspects of sustainability and the identification 4. The fourth stage is to review the sustainability of important topics that will be disclosed. report when reporting sustainability in the This identification process is based on the upcoming year. The review will be advantageous context of the principle of sustainability and in terms of carrying out the identification phase stakeholder involvement. Every material aspect in the next reporting cycle. is determined by its boundary. 2. The second stage is determining priorities for material aspects of sustainability and those to be reported based on identification in the first stage. The priority phase is based on the principle of materiality and stakeholder involvement.

The chart of report preparation is as below:

Steps, Aspects, Disclosures by Management + Indicators

Step 1 Step 2 Step 3 Identification Priority Validation

Driving Environmental Sharing People Driving Occupational Health About Sustainability with Nation PT Angkasa Pura I (Persero) and Safety This Report Sustainability Materiality Completeness Context

Stakeholder Engagement

PT ANGKASA PURA 1 (PERSERO) 2019 Sustainability Report 1

Step 4 Review

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We conducted a Focus Group Discussion (FGD) on and external stakeholders. The results of the FGD October 23, 2019 to obtain material aspects and are illustrated in the materiality graph as below: conducted a materiality test by surveying internal

Assistance to the Community

Passenger Safety High

Employee Human Welfare Rights

Waste

Economic People’s Economy Empowerment Performance

Noise Energy Anticorruption Consumption Employee Welfare Medium Local Renewable Procurement Energy

Indirect Economic Impact on Carbon Emissions Society Low

Low Medium High Influence to Stakeholder Assessment and Decisions to Stakeholder Influence

Significant to Economic, Environmental and Social Impacts

The list of material aspects is as follows: Material Aspects Reason for Selection Disclosure Boundary [GRI 102-47] and Impact Number [GRI 103-1] Inside Outside

ECONOMIC Economic Stakeholders 201-1, 201-3, √ Performance 203-1, 203-2 Market Presence Employees 202-1, 204-1 √ √ Governance Laws and Regulations 205-2, 205-3 √ Operational Stakeholders AO1, AO2, AO3 √ Performance

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Material Aspects Reason for Selection Disclosure Boundary [GRI 102-47] and Impact Number [GRI 103-1] Inside Outside

ENVIRONMENTAL Energy Sustainability 302-1, 302-2, √ √ 302-3 Water Sustainability 303-1, 303-3, √ AO4 Emissions Sustainability 305-1, 305-2, √ √ 305-3, 305-4, 305-5, 305-7, AO5 Waste Sustainability 306-2, 306-4 √ Sound Quality Stakeholders AO7 √ √ Compliance with Sustainability 307-1 √ √ environment SOCIAL Employment Employees 401-1, 401-2, √ 401-3 Work Environment Employees 403-1, 403-2, √ 403-3, 403-4, 404-1, 404-2, 404-3, 405-1, 405-2 Local Community Stakeholders 413-1, AO8 √ √ Customer Health and Customers 416-1, 416-2, √ √ Safety AO9 Marketing and Customers 417-3 √ Labeling Compliance with Laws and Regulations 419-1 √ √ socioeconomic sector

STAKEHOLDERS In preparing this report, we took into account the interests of our stakeholders or parties listed in the table below:

List of Basis of Involvement Frequency Topics Stakeholders Determination Method [GRI 102-43] [GRI 102-44] [GRI 102-40] [GRI 102-42] [GRI 102-43] Customer • Dependency • Website According to • Information on various products and • Responsibility • Frontline needs services • Influence information • Complaint Service and solutions • Direct visit • Call center service Customer Every year Obtaining service satisfaction satisfaction survey

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List of Basis of Involvement Frequency Topics Stakeholders Determination Method [GRI 102-43] [GRI 102-44] [GRI 102-40] [GRI 102-42] [GRI 102-43] Shareholder/ • Dependency Performance Every quarter • Financial performance the • Responsibility Reporting • Non-financial performance Government • Influence GMS (General 2 times a • Year-round performance on governance Meeting of year etc Shareholders) Regulator • Influence • Hearing According to • Management of business license and • Responsibility • Coordination needs regulations meeting • Coordination related to airport • Report on the governance, etc implementation • Information on compliance to applicable of compliance regulations Employees Representation • Internal media According to • Dissemination of policies and strategies • Social media needs related to employee affairs • Equality in employment opportunity and career path • Career development, training, etc • Occupational health and safety insurance Partners Dependency Contract of According to • Objective procurement process Employment needs • Mutually benefiting, transparent, and fair cooperation • Description of the scope of work • Provision on conduct claims of labor costs Society Proximity • Strategic According to • Dissemination of Partnership and cooperation needs Community Development Program to run the (PKBL)/Corporate Social Responsibility Company’s (CSR) Social • Implementation of Partnership and Responsibility Community Development Program programs (PKBL)/ Corporate Social Responsibility in the fields (CSR) of economy, • Ways to optimize the achievement social and of Partnership and Community environment Development Program (PKBL)/ • Meetings Corporate Social Responsibility (CSR) with mass • Information on the Company’s activities organization, Social Organization, Local Communities, and Campuses Media • Influence • Press release According to • Financial performance • Dependency • Press needs • Non-financial performance conference • Impacts and performance of the • Media gathering Company’s social and environmental • Site Visit activities • Visit to media • Information on the Company’s activities office • Latest information on business and products that the public needs to know

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Statement GRI Standards in Accordance Check

The National Center for Sustainability Reporting (NCSR) has conducted a GRI Standards in Accordance Check on PT Angkasa Pura I (Persero) Sustainability Report 2019 (“Report”). The check communicates the extent to which the GRI Standards has been applied in the Report. The check does not provide an opinion on the sustainability performance of the reporter or the quality of the information provided in the report.

We conclude that this report has been prepared in accordance with GRI Standards - Core option.

Jakarta, 30 April 2020

National Center for Sustainability Reporting

Dewi Fitriasari, Ph.D., CSRA, CMA Director

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Independent Assurance Statement Report No. 0520/BD/0010/JK

To the management of PT Angkasa Pura I (Persero) 2) Assessment of the accuracy and quality of the We were engaged by PT Angkasa Pura I (Persero) (‘AP specified sustainability performance information I’) to provide assurance in respect to its Sustainability contained within the Report, in relation to the Report 2019 (‘the Report’). The assurance engagement agreed scope, which consisted of: was carried out by our highly experienced assurance  Partnership and community stewardship program team whose diverse and complementary skills ensure a  Occupational health and safety high level of competence in carrying out their duties.  Human resources training and development.

Independence Responsibility

We carried out all assurance undertakings with AP I is responsible for the preparation of the Report independence and autonomy having not been involved and all information and claims therein, which include in the preparation of any key part of the Report. Nor did established sustainability management targets, we provide any services to AP I during 2019 that could performance management, data collection, etc. In conflict with the independence of the assurance performing this engagement, meanwhile, our engagement. responsibility to the management of AP I is solely for the purpose of verifying the statements it has made in Assurance Standards relation to its sustainability performance, specifically as described in the agreed scope, and expressing our Our work was carried out in accordance with ISAE3000 opinion on the conclusions reached. ‘Assurance Engagements other than Audits or Reviews of Historical Financial Information’ issued by the Methodology International Auditing and Accounting Standards Board. In addition, the work was also planned and carried out In order to assess the veracity of certain assertions and to conform to AA1000AS (2008) ‘AA1000 Assurance specified data sets included within the report, as well as Standards (2008)’, issued by AccountAbility. the systems and processes used to manage and report them, the following methods were employed during the Level of assurance and criteria used engagement process:  Review of report, internal policies, documentation, By designing our evidence-gathering procedures to management and information systems obtain a limited level of assurance based on ISAE3000  Interview of relevant staff involved in and a moderate level of assurance engagement as set out sustainability-related management and reporting in AA1000AS (2008) readers of the report can be  Following data trails to the initial aggregated confident that all risks or errors have been reduced to a source, to check samples of data to a greater depth. very low level, although not necessarily to zero. Moreover, the Report was also evaluated in accordance Limitations with the criteria of AA1000 AccountAbility Principles (2018) of Inclusivity, Materiality, Responsiveness and Our scope of work was limited to a review of the Impact. accuracy and reliability of specified data and interviews with data providers, persons in charge of data Scope of Assurance collection and processing, as well as persons in charge of sustainability performance-related information. We provided a Type 2 assurance engagement under AA1000AS (2008) This involved: 1) Assessment of AP I’s adherence to the AA1000 AccountAbility Principles (2018); and

PT. Moores Rowland Indonesia Jl. Sisingamangaraja No. 26 – Jakarta Selatan 12120 - Indonesia Tel: +62 21 720 2605 - Fax: +62 21 720 2606 - www.moores-rowland.com

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Conclusions AP I's allocation of resources to stakeholder engagement, the timeliness and accessibility of Conclusions in regard to adherence to the AA1000 reported information, and the types of AccountAbility Principles of Inclusivity, Materiality, communication mechanisms regularly employed Responsiveness and Impact include the following were all indicative of its responsiveness to key findings: stakeholder concerns and expectations. During our assurance engagement, we noted that AP I had begun . Inclusivity to introduce measures to minimize the effects of the An assessment was made on whether AP I has Covid-19 Pandemic on its operations. As in other included all key stakeholders in developing and areas, however, vigilance is a key and we achieving an accountable and strategic response to recommend that AP I conducts regular monitoring sustainability issues. and improves stakeholder engagement procedures where necessary in future reports. Demonstration of AP I’s strong commitment to stakeholder inclusivity included the conduct of . Impact needs assessment surveys and materiality level An assessment was made on whether AP I has survey of the key stakeholder groups. Thus our monitored, measured and is accountable for how its overall assessment was that AP I has set in place an actions affect their broader ecosystems. effective system that enables key stakeholders to AP I has integrated identified impacts into key participate in the development of the organization's management processes, for example, the materiality response in the context of sustainability. assessment process and organizational strategy, governance, goal-setting and operations. In order to maintain and strengthen the effectiveness of this inclusivity, however, we recommend that AP In order to strengthen the effectiveness of assessment I carries out regular monitoring of its systems and and disclosure of impacts, however, we recommend procedures, plus implements improvements where that AP I provides the necessary competencies and necessary. resources to measure, evaluate and manage the impacts and conducts regular monitoring of its . Materiality systems and procedures, plus implements With stakeholders requiring material information on improvements where necessary. which to base their informed judgments, decisions and actions, an assessment was carried out to Based on our limited assurance engagement, nothing determine the extent to which AP I has included has come to our attention that causes us to believe the such information in the Report. data of the Report has been materially misstated.

AP I’s strong commitment to meet stakeholder All key assurance findings are included herein, while needs in this field was evidenced by the provision of detailed observations and follow-up recommendations adequately reported and balanced information on have been submitted to AP I management in a separate key material issues. Nevertheless, as demands for report. information continue to increase, we recommend Jakarta, May 18, 2020 that AP I conducts materiality tests on a regular basis for inclusion in future reports.

. Responsiveness James Kallman It is increasingly important to respond in meeting Chief Executive Officer stakeholder expectations and an assessment was carried out to determine the degree to which AP I Moores Rowland is an international organization specializing in audit, accounting, tax, legal and advisory demonstrates its accountability in this area. services. Moores Rowland is a member of Praxity AISBL, the world's largest Alliance of independent and unaffiliated audit and consultancy companies. Praxity is served by Moores Rowland in Indonesia, one of the leading sustainability assurance providers. PT. Moores Rowland Indonesia Jl. Sisingamangaraja No. 26 – Jakarta Selatan 12120 - Indonesia Tel: +62 21 720 2605 - Fax: +62 21 720 2606 - www.moores-rowland.com

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SDGs Link in the GRI Standard

SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 1. NO POVERTY Income, salary, GRI 201: Economic 201-1 Direct economic 49 and benefits Performance value generated and distributed Economic GRI 203: Indirect 203-1 Infrastructure 114, 117 development economic investments and in areas of high impacts services supported poverty

End poverty in all its forms everywhere. 2. ZERO HUNGER Economic GRI 201: Economic 201-1 Direct economic 49 Performance Performance value generated and distributed Economic GRI 203: Indirect 203-1 Infrastructure 114, 117 development economic investments and in areas of high impacts services supported poverty

End hunger, achieve food security and improved nutrition and promote sustainable agriculture. 3. GOOD HEALTH AND Air quality GRI 305: 305-1 Direct (Scope 1) GHG 96 WELL BEING Emissions emissions 305-2 Energy indirect (Scope 96 2) GHG emissions

305-4 GHG emissions 96 intensity 305-5 Reduction of GHG 96 emissions Occupational GRI 403: 403-1 Types of injury and rates 144 Ensure healthy lives and Occupational of injury, occupational promote wellbeing Health and Safety diseases, lost days, for all at all ages. and absenteeism, and number of work-related fatalities Health and GRI 417: 417-3 Requirements for 73 Safety Marketing and product and service Labeling information and labeling

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 4. QUALITY EDUCATION Training and GRI 404: 404-1 Average hours of 134 Education Training and training per year per Education employee 404-2 Programs for upgrading 130, 132 employee skills and transition assistance programs 404-3 Percentage of 135 Employees Receiving Regular Performance Ensure inclusive and and Career quality education for all Development Reviews and promote lifelong learning. 5. GENDER EQUALITY Equal GRI 405: 405-1 Average hours of 128 remuneration Diversity training per year per for women and and Equal employee men Opportunity. 405-2 Programs for upgrading 129 employee skills and transition assistance programs

Achieve gender equality and empower all women and girls. 6. CLEAN WATER AND SANITATION

Ensure access to water and sanitation sustainable for all.

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 7. AFFORDABLE AND Energy GRI 302: Energy 302-1 Energy consumption 94 CLEAN ENERGY Efficiency 302-3 Energy intensity 94

Ensure access to affordable, reliable, sustainable and modern energy for all. 8. DECENT WORK AND Freedom of GRI 102: General 102-41 Collective Bargaining 131 ECONOMIC GROWTH association Disclosure Agreements Income, salary GRI 201: Economic 201-3 Defined Benefit Plan 130 and benefits Performance Obligations and Other Retirement Plans

GRI 401: 401-1 New Employee Hires 125 Employment and Employee Turnover 401-2 Benefits Provided to 130 Support sustainable Full-Time Employees economic development, That are Not Provided productive employment to Temporary or Part- and decent work for Time Employees everyone.

Equality GRI 405: Diversity 405-1 Diversity of governance 128 and Equal bodies and employees Opportunity 405-2 Ratio of basic salary 129 and remuneration of women to men Employment GRI 401: 401-1 New Employee Hires 125 Employment and Employee Turnover 401-2 Benefits Provided to 130 Full-Time Employees That are Not Provided to Temporary or Part- Time Employees Occupational GRI 403: 403-1 Workers representation 144 Health and Occupational in formal joint Safety Health and Safety management–worker health and safety committees

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard Training and GRI 404: Training 404-1 Average hours of 134 Education and Education training per year per employee 404-2 Programs for upgrading 130, 132 employee skills and transition assistance programs 404-3 Percentage of 135 employees receiving regular performance and career development reviews GRI 205: Anti- 205-2 Communication and 86-87 Corruption training about anti- corruption policies and procedures 205-3 Confirmed incidents of 87 corruption and actions taken 9. INDUSTRY, INNOVATION Economic GRI 203: Indirect 203-1 Infrastructure 114, 117 AND INFRASTRUCTURE development economic investments and in areas of high impacts services supported INDUSTRY, INNOVATION poverty AND INFRASTRUCTURE

Build resilient infrastructure, promote sustainable industrialization and foster innovation. 10. REDUCED Economic GRI 203: Indirect 203-1 Infrastructure 114, 117 INEQUALITIES development in economic investments and areas of high impacts services supported poverty 203-2 Significant indirect 113 economic impacts

Reduce inequality within and among countries.

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 11. SUSTAINABLE CITIES Infrastructure GRI 203: Indirect 203-1 Infrastructure 114, 117 AND COMMUNITIES investments economic investments and impacts services supported 203-2 Significant indirect 113 economic impacts

Make cities inclusive, safe, resilient and sustainable. 12. RESPONSIBLE Air quality GRI 305: 305-1 Direct (Scope 1) GHG 96 CONSUMPTION AND Emissions emissions PRODUCTION 305-2 Energy indirect (Scope 96 2) GHG emissions 305-4 GHG emissions 96 intensity 305-5 Reduction of GHG 96 emissions Information GRI 417: 417-3 Requirements for 73 and Labeling of Marketing and product and service products and Labeling information and Ensure sustainable services labeling consumption and production patterns. 13. CLIMATE ACTION Air quality GRI 305: 305-1 Direct (Scope 1) GHG 96 Emissions emissions 305-2 Energy indirect (Scope 96 2) GHG emissions 305-4 GHG emissions 96 intensity 305-5 Reduction of GHG 96 emissions Energy GRI 302: Energy 302-1 Energy consumption 94 Take urgent action to Efficiency within the organization combat climate change 302-3 Energy intensity 94 and its impacts.

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 14. LIFE BELOW WATER

Conserve and using ocean, oceans and resources the sea in a sustainable way for development sustainable. 15. LIFE ON LAND Air quality 305-1 Direct (Scope 1) GHG 96 emissions 305-2 Energy indirect (Scope 96 2) GHG emissions 305-4 GHG emissions 96 intensity 305-5 Reduction of GHG 96 emissions

Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss.

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SDG’s Business Relevant GRI Disclosure Title Indicator Page Theme Standard 16. PEACE, JUSTICE AND Anti-Corruption GRI 205: 205-2 Communication and 86-87 STRONG INSTITUTIONS Anti-Corruption training about anti- corruption policies and procedures 205-3 Confirmed incidents of 87 corruption and actions taken Ethical and GRI 102: General 102-16 Values, principles, 76, 77, 82 Legal Behavior Disclosure standards, and norms of behavior Promote peaceful and Inclusive GRI 102: General 102-18 Governance structure 78, 89 inclusive communities Decision Disclosure 102-40 List of stakeholder 157, 158 for sustainable Making groups development, 102-41 Collective bargaining 131 provide access to agreements justice for all, and build 102-42 Identifying and 157, 158 effective, accountable selecting stakeholders and inclusive institutions at all levels. 102-43 Approach to 157, 158 stakeholder engagement 102-44 Key topics and concerns 157, 158 raised 17. PARTNERSHIP FOR THE External GRI 102: General 102-12 External initiatives 15 GOALS Initiative Disclosure

Strengthen the means of implementation and revitalize the global partnership for sustainable development.

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Index GRI Standards Options - Core [GRI 102-55]

Disclosure GRI Standards Page No Title GENERAL DISCLOSURE Organizational profile GRI 102: 102-1 Organizational profile 10 General Disclosure 2016 102-2 Activities, brands, products, and services 11, 12 102-3 Location of headquarters 12 102-4 Location of operations 14 102-5 Ownership and legal form 14 102-6 Markets served 15 102-7 Scale of the organization 15 102-8 Information on employees and other workers 122 102-9 Supply chain 58 102-10 Significant changes to the organization and its supply 154 chain 102-11 Precautionary Principle or approach 103 102-12 External initiatives 15 102-13 Membership of associations 15 Strategy 102-14 Statement from senior decision-maker 2 Ethics and Integrity 102-16 Values, principles, standards, and norms of behavior 76, 77, 82 102-17 Mechanisms for advice and concerns about ethics 83 Governance 102-18 Governance structure 78, 89 102-26 Role of highest governance body in setting purpose, 89 values, and strategy Stakeholder Engagement 102-40 List of stakeholder groups 157, 158 102-41 Collective bargaining agreements 131 102-42 Identifying and selecting stakeholders 157, 158 102-43 Approach to stakeholder engagement 157, 158 102-44 Key topics and concerns raised 157, 158 Reporting Practices 102-45 Entities included in the consolidated financial 154 statements 102-46 Defining report content and topic Boundaries 155 102-47 List of material topics 156 102-48 Restatements of information 154 102-49 Changes in reporting 154

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Disclosure GRI Standards Page No Title 102-50 Reporting period 154 102-51 Date of most recent report 154 102-52 Reporting cycle 154 102-53 Contact point for questions regarding the report 154 102-54 Claims of reporting in accordance with the GRI 154 Standards 102-55 GRI content index 154, 169 102-56 External assurance 154, 160 SPECIFIC TOPIC DISCLOSURE ECONOMIC IMPACTS Economic Performance GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 49, 130 103-3 Evaluation of the management approach 49, 130 GRI 201: Economic 201-1 Direct economic value generated and distributed 49 Performance 201-3 Defined benefit plan obligations and other retirement 130 2016 plans Market Presence GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 50-55, 125 103-3 Evaluation of the management approach 50-55, 125 GRI 202: Market Presence 202-1 Ratios of standard entry level wage by gender 125 2016 compared to local minimum wage AO1 The Total Number of Passengers Each Year is broken 50 down by Passenger on International and Domestic Flights, and is broken down based on the Origin of Destination and the Passenger to be moved, including Transit Passenger AO2 Total Number of Plane Movements Every Year Day and 54 Night, Grouped by Commercial Passenger, Commercial Cargo, Public Flights and Safe Flights AO3 Total Cargo Tonnage Amount 55 Indirect Economic Impacts GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 113-117 103-3 Evaluation of the management approach 113-117 GRI 203: Indirect 203-1 Infrastructure investments and services supported 114,117 Economic Impacts 2016 203-2 Significant indirect economic impacts 113 Procurement Practices GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 58 103-3 Evaluation of the management approach 58 GRI 204: Procurement 204-1 Proportion of spending on local suppliers 58 Practices 2016

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Disclosure GRI Standards Page No Title Anti-Corruption GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 86-87 103-3 Evaluation of the management approach 86-87 GRI 103: Management 205-2 Communication and training about anti-corruption 86-87 Approach 2016 policies and procedures 205-3 Confirmed incidents of corruption and actions taken 87 ENVIROMENTAL IMPACTS Energy GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 94 103-3 Evaluation of the management approach 94 GRI 302: Energy 2016 302-1 Energy consumption within the organization 94 302-2 Energy consumption outside of the organization 94 302-3 Energy intensity 94 Water GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 97, 102 103-3 Evaluation of the management approach 97, 102 GRI 303: Water 2016 303-1 Water withdrawal by source 97 303-3 Water recycled and reused 97 AO4 Stromwater quality with applicable regulatory 102 standards Emission GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 96-99 103-3 Evaluation of the management approach 96-99 GRI 305: Emissions 2016 305-1 Direct (Scope 1) GHG emissions 96 305-2 Indirect (Scope 2) GHG emissions 96 305-3 Other indirect (Scope 3) GHG emissions 96 305-4 GHG Emissions Intensity 96 305-5 Reduction of GHG emissions 96 305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other 99 significant air emissions AO5 Ambient Air Quality Level Based on Pollutant 99 Concentration in Micrograms per Cubic (μgm3) or Parts Per million (ppm) by Regime Regulations Effluents and Waste GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 98-100 103-3 Evaluation of the management approach 98-100 GRI 306: Effluents and 306-2 Waste by type and disposal method 98 Waste 2016 306-4 Transport of hazardous waste 99 AO7 Changes in Number and Percentage of People in the 100 Noise Affected Area

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Disclosure GRI Standards Page No Title Environmental Compliance GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 103-104 103-3 Evaluation of the management approach 103-104 GRI 307: Environmental 307-1 Non-compliance with environmental laws and 103 Compliance 2016 regulations SOCIAL IMPACTS Employment GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 125-131 103-3 Evaluation of the management approach 125-131 GRI 401: Employment 401-1 New employee hires and employee turnover 125 2016 401-2 Benefits provided to full-time employees that are not 130 provided to temporary or part-time employees 401-3 Parental leave 131 Occupational Health and Safety GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 144-147 103-3 Evaluation of the management approach 144-147 GRI 403: Occupational 403-1 Workers Representation in Formal Joint Management– 144 Health and Safety 2016 Worker Health and Safety Committees 403-2 Types of injury and rates of injury, occupational 145, 147 diseases, lost days, and absenteeism, and number of work-related fatalities 403-3 Workers with high incidence or high risk of diseases 147 related to their occupation 403-4 Health and safety topics covered in formal agreements 145 with trade unions Training and Education GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 130-135 103-3 Evaluation of the management approach 130-135 GRI 404: Training and 404-1 Average hours of training per year per employee 134 Education 2016 404-2 Programs for upgrading employee skills and transition 130, 132 assistance programs 404-3 Percentage of Employees Receiving Regular 135 Performance and Career Development Reviews Diversity and Equal Opportunity GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 128-129 103-3 Evaluation of the management approach 128-129 GRI 405: Diversity and 405-1 Diversity of governance bodies and employees 128 Equal Opportunity 2016 405-2 Ratio of basic salary and remuneration of women to 129 men

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Disclosure GRI Standards Page No Title Safety Practices GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 110 103-3 Evaluation of the management approach 110 GRI 413: Local 413-1 Operations with local community engagement, impact 110 Communities assessments, and development programs 2016 AO8 Number of persons physically or economically 104 displaced, voluntarily or not, by the airport opetator or the government or entity, and compensation given Customer Health and Safety GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 150-151 103-3 Evaluation of the management approach 150-151 GRI 416: Customer Health 416-1 Incidents of non-compliance concerning the health 150 and Safety 2016 and safety impacts of products and services 416-2 Incidents of non-compliance concerning the health 151 and safety impacts of products and services A09 Total annual number of wildlife strikes per 10,000 151 aircraft movements Marketing and Labeling GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 73 103-3 Evaluation of the management approach 73 GRI 417: Marketing and 417-3 Incidents of non-compliance concerning marketing 73 Labeling 2016 communications Socioeconomic Compliance GRI 103: Management 103-1 Explanation of the material topic and its Boundary 156 Approach 2016 103-2 The management approach and its components 73 103-3 Evaluation of the management approach 73 GRI 419: Socioeconomic 419-1 Non-compliance with laws and regulations in the social 73 Compliance 2016 and economic area

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Sustainability Report

Pt Angkasa Pura I (Persero) Kota Baru Bandar Kemayoran Blok B12 Kav. 2 Jakarta Pusat, DKI Jakarta - Indonesia Telp. : 021 654 1961 Faks. : 021 654 1514 Email : [email protected] Website : www.ap1.co.id

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