Sustainability Report 2013
Toward Sustainable Growth
www.jasamarga.com
33 A primer on Jasa Marga 67 113 Environmental Product 57 Responsibility Responsibility Economic Growth 107 Improvement Jasa Marga Cares
About Our Theme
Starting with the construction and management of the first toll road in Indonesia, linking Jakarta-Bogor-Ciawi, which was completed in the 1970s, Jasa Marga has continued to grow and strengthen and has taken its place as Indonesia’s leading toll road operator. With originally only 59 km of toll-charged highway under its management, this has now expanded to 560 km with 16 routes fully operational to support the smooth and efficient transportation of goods and people, which in turn supports the increasing rate of economic growth in Indonesia.
Economic development and truely even development are necessary to create welfare for the people. With increasing prosperity promising a bright future, Jasa Marga has the opportunity to grow its business. Jasa Marga believes it has the ability to take advantage of these growth opportunities and is moving quickly to transform itself, balancing competence and performance, designing programs for the construction of excellent highways and realizing activities to guarantee sustainable growth, namely growth that is based on a foundation of performance that balances economic achievement, social welfare and environmental conservation, which in turn will ensure a better quality of life for future generations.
Contents
GRI G4 Core Index 02 A Primer on Jasa Marga 33 Jasa Marga Cares 107 2013 Sustainability 07 Sustainability Governance 43 Product Responsibility 113 Performance Overview Economic Growth 57 Laporan Pengecekan 118 Message from 13 Improvement Kesesuaian Dengan GRI The President Director Environmental 67 G4 Core Sustainability 19 Responsibility Response Sheet on Jasa 119 Performance, Awards and Jasa Marga’s Human 81 Marga Sustainability Certification in 2013 Resources Development Report 2013 About This Report 27
2013 Sustainability Report 1 GRI G4 Core Index
Indicator Disclosures Page Assurance
GENERAL STANDARD DISCLOSURES
Strategy and Analysis
G4-1 Statement from the Board of Commissioner and Board of Director 7
Organizational Profile
G4-3 Name of the organization. 33
G4-4 Primary brands, products, and services. 34
G4-5 location of the organization’s headquarters. 33
G4-6 Location of the organization’s operates that are covered in the report. 33
G4-7 Nature of ownership and legal form. 33
G4-8 Markets served 35
G4-9 Scale of the organization 36
G4-10 Profle of the employees 96
G4-11 Collective bargaining agreements. 83
G4-12 the organization’s supply chain. 36
G4-13 Significant changes during the reporting period 36
G4-14 Precautionary approach or principle addressed 36, 50
G4-15 Externally developed economic, environmental and social charters, 36, 48, 103 principles, or other initiatives
G4-16 List memberships of associations 36, 48
Identified Material Aspects and Boundaries
G4-17 The entities included in the organization’s consolidated financial 29 statements that are covered by the report.
G4-18 Process for defining the report content and the Aspect Boundaries and 29 how the organization has implemented the Reporting Principles for Defining Report Content.
G4-19 List all the material Aspects identified in the process for defining report 30, 51 content.
G4-20 Aspect Boundary within the organization 30
G4-21 Aspect Boundary outside the organization. 30
G4-22 Effect of any restatements of information provided in previous reports, 27 and the reasons for such restatements.
G4-23 Significant changes from previous reporting periods in the Scope and 27 Aspect Boundaries.
Stakeholder Engagement
G4-24 List of stakeholder groups engaged by the organization. 51
G4-25 Basis for identification and selection of stakeholders 51
G4-26 The organization’s approach to stakeholder engagement 51
G4-27 Key topics and concerns that have been raised through stakeholder 51 engagement.
2 PT Jasa Marga (Persero) Tbk Indicator Disclosures Page Assurance
Report Profile
G4-28 Reporting period 27
G4-29 Date of most recent previous report (if any). 27
G4-30 Reporting cycle 27
G4-31 Contact point for questions regarding the report or its contents. 31
G4-32 The ‘in accordance’ option chosen, GRI Content Index and cross 27 reference to External Assurance report
G4-33 The organization’s policy and current practice with regard to seeking 31 external assurance for the report.
Governance
G4-34 Governance structure of the organization, including committees of the 43 highest governance body.
Ethics and Integrity
G4-56 The organization’s values, principles, standards and norms of behavior 38, 40, 48
SPECIFIC STANDARD DISCLOSURES
CATEGORY: ECONOMIC
Aspect: Economic Performance
G4-DMA Disclosure Management Approach (DMA) 59
G4-EC1 Direct economic value generated and distributed 59
G4-EC3 Coverage of the organization’s defined benefit plan obligations 94
Aspect: Market Presence
G4-DMA Disclosure Management Approach (DMA) 84
G4-EC5 Ratios of standard entry level wage compared to local minimum wage 84, 85
Aspect: Indirect Economic Impacts
G4-DMA Disclosure Management Approach (DMA) 107-109
G4-EC7 Development and impact of infrastructure investments and services 108 supported
G4-EC8 Indirect economic impacts 60
CATEGORY: ENVIRONMENTAL
Aspect: Energy
G4-DMA Disclosure Management Approach (DMA) 72
G4-EN3 Energy consumption within the organization 72
G4-EN6 Reduction of energy consumption 72
2013 Sustainability Report 3 Indicator Disclosures Page Assurance
Aspect: Emissions
G4-DMA Disclosure Management Approach (DMA) 72-73
G4-EN15 Direct greenhouse gas (GHG) emissions (Scope 1) 73
G4-EN19 Reduction of greenhouse gas (GHG) emissions 72
CATEGORY: SOCIAL
SUB-CATEGORY: LABOR PRACTICES AND DECENT WORK
Aspect: Employment
G4-DMA Disclosure Management Approach (DMA) 86
G4-LA1 New employee hires and employee turnover 86
G4-LA2 Benefits provided to full-time employees that are not provided to 93 temporary or part-time employees
Aspect: Occupational Health and Safety
G4-DMA Disclosure Management Approach (DMA) 98
G4-LA6 Injury and rates , occupational diseases, lost days, and absenteeism, and 98, 102 total number of workrelated
G4-LA8 Health and safety topics covered in formal agreements with trade 98 unions
Aspect: Training and Education
G4-DMA Disclosure Management Approach (DMA) 90
G4-LA9 Average hours of training per year per employee 90
G4-LA10 Programs for skills management and lifelong learning that support the 92 continued employability of employees and assist them in managing career endings
G4-LA11 Employees performance and career development reviews 86, 92
Aspect: Diversity and Equal Opportunity
G4-DMA Disclosure Management Approach (DMA) 86
G4-LA12 Composition of governance bodies and breakdown of employees 85, 96
Aspek Remunerasi yang setara
G4-DMA Disclosure Management Approach (DMA) 84-85
G4-LA13 Ratio of basic salary and remuneration of women to men 85
Aspect: Supplier Assessment for Labor Practices
G4-DMA Disclosure Management Approach (DMA) 51
G4-LA14 Percentage of new suppliers that were screened using labor practices 51 criteria
4 PT Jasa Marga (Persero) Tbk Indicator Disclosures Page Assurance
SUB-CATEGORY: HUMAN RIGHTS
Aspect: Freedom of Association and Collective Bargaining
G4-DMA Disclosure Management Approach (DMA) 84
G4-HR4 Operations and suppliers identified in which the right to exercise 84 freedom of association and collective bargaining may be violated
Aspect: Supplier Human Rights Assessment
G4-DMA Disclosure Management Approach (DMA) 51
G4-HR10 Percentage of new suppliers that were screened using human rights 51 criteria
SUB-CATEGORY: SOCIETY
Aspect: Local Communities
G4-DMA Disclosure Management Approach (DMA) 63, 107
G4-SO1 Percentage of operations with implemented local community 63, 107 engagement, impact assessments
Aspect: Anti-corruption
G4-DMA Disclosure Management Approach (DMA) 104
G4-SO4 Communication and training on anti-corruption policies and 104 procedures
G4-SO5 Confirmed incidents of corruption and actions taken 104
SUB-CATEGORY: PRODUCT RESPONSIBILITY
Aspect: Product and Service Labeling
G4-DMA Disclosure Management Approach (DMA) 116
G4-PR5 Results of surveys measuring customer satisfaction 116
2013 Sustainability Report 5 Jembatan Cikubang, Cipularang.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
6 PT Jasa Marga (Persero) Tbk 2013 Sustainability Performance Overview
2013 Sustainability Report 7 2013 Sustainability Performance Overview
2013 Sustainability Performance ECONOMIC PERFORMANCE OVERVIEW Overview (Rp billions)
Message from Economic Value Obtained1 Economic Value Retained4 The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Governance
Economic Growth
Improvement 4,989 5,725 6,334 1,185 1,440 1,429
Environmental Responsibility 2011 2012 2013 2011 2012 2013
Jasa Marga’s Human Resources 2 3 Development Distributed Economic Value Contribution to State Revenues
Jasa Marga Cares
Product Responsibility 3,804 4,284 4,904 943 1,142 1,061
2011 2012 2013 2011 2012 2013
COMMUNITY DEVELOPMENT
Total RP BILLION Community Development (including administrative Funds Distributed 14.7 costs)
1. economic Value Obtained : total Revenue 2. distributed Economic Value : expenses paid to partners/contractors, employees, bank interest, tax, dividends, CSR/PKBL allocation, etc. 3. contributions to State Revenues : taxes and dividends paid to the State. 4. economic Value Retained : Remaining revenue after expenses (2) and (3) for business development.
8 PT Jasa Marga (Persero) Tbk ENVIRONMENTAL 01 PERFORMANCE OVERVIEW
Programs • Designed and declared the Mid to Long-Term Environmental Road Map. • Saved energy for Highway Lighting by switching to Solar Cells and LED lighting on various toll roads under our management. • Office building energy efficiencies by: a. Replacing light bulbs with LED lighting. b. Regulating temperatures on room coolers (AC). c. Campaigning to save electricity. d. Pioneering the use of timers for outdoor lighting. • Recycling water for outdoor uses and watering plants. • Greening areas along and around toll roads.
Results and Realizations 02 • Reduced CO2 emissions by at least the equivalent of 720.1 tons carbon. • Saved electricity equivalent to 1,056,181.5 Kwh in one year from Toll Road Lighting. • Planted 75,833 trees in the Toll Road Greening program • Planted 10,000 mangrove seedlings around Tol Belmera in Bali. • Handed over 1,400 seedlings for greening along the Jagorawi toll road.
2013 Sustainability Report 9 2013 Sustainability SOCIAL PERFORMANCE 01 Performance Overview OVERVIEW Message from The President Director Assisted in Improving Social Welfare Sustainability Programs Performance, Awards and Education and Training Certification in 2013 • Provided school equipment in About This Report elementary, junior high and senior A Primer on Jasa Marga high schools. Sustainability • Improved infrastructures in junior Governance high and senior high schools. Economic Growth Improvement • Realization of the Teaching Directors Environmental Movement in several senior high Responsibility schools in Badung, Palembang, Jasa Marga’s Human Resources Tulung Agung, Semarang and Medan. Development • Scholarships for high achieving Jasa Marga Cares students. Product Responsibility
02
Religious Assistance • Assistance building and developing Cisadane Mosque in Bogor. • Assistance to renovate mosques and other religious facilities around toll roads.
10 PT Jasa Marga (Persero) Tbk Assistance for Public Facilities and 03 Infrastructure 1. Marking out school safety zones conducted by all branches and subsidiaries of PT Jalantol Lingkarluar Jakarta. 2. Asphalting roads and improving drains in Gunung Putri and Kampung Rambutan districts. 3. Building compost stores and trash bins, MCK (toilet, bathing and washing facilities) and bore holes. 4. Building bridges, arranging the layout in local areas (penataan lingkungan), creating talud and pos kamling, as well as building side roads in all working areas around toll roads under our management.
Disaster Relief 04 1. Emergency response to flooding around Jakarta by providing staple goods. 2. Post-flooding rehabilitation assistance in Jakarta, Bekasi, Tangerang, Karawang and Bandung, including school equipment and cleaning tools to clean the area and public facilities.
2013 Sustainability Report 11 2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga Message from Sustainability Governance
Economic Growth Improvement The President Environmental Responsibility
Jasa Marga’s Human Resources Director(G4-1) Development
Jasa Marga Cares
Product Responsibility
To maintain and improve environmental quality and improve the carrying capacity of the environment to sustain road foundation structures, Jasa Marga participates fully in efforts to reforest areas prone to landslides around its highway network.
12 PT Jasa Marga (Persero) Tbk Adityawarman President Director
Respected stakeholders, A variety of obstacles being faced Participation in Improving to add to the toll road network the National Economy One of the problems constraining ranges from land acquisition, to Jasa Marga is a State-Owned the pace of investment in funding and regulatory certainty, Enterprise and has pioneered the Indonesia is limited infrastructure, meaning that as of end 2013, construction and operation of toll including transportation Indonesia had only a total of 738 roads in Indonesia. The company infrastructure, be it by land, sea km of toll road. has long understood and believed or air. The problem with land in the positive correlation between transportation, especially as The toll road infrastructure has had economic growth in an area and related to toll roads, is that despite a significant impact on the level the availability of a highway having commenced in 1978 with and quality of economic growth, infrastructure. Therefore, Jasa Mara the Jakarta-Bogor-Ciawi toll road with economic progress in areas is determined to fully participate as the first toll road in Indonesia, with toll roads proven to have risen in building an integrated highway the development of additional toll rapidly, with the most rapid growth infrastructure in Java and other roads across the country has been in areas with entry and exit ramps areas of Indonesia as part of the very slow in comparison to the to the toll road network. Master Plan for the Acceleration growth in number of vehicles. and Expansion of the Indonesian
2013 Sustainability Report 13 2013 Sustainability Economy (MP3EI) promulgated by including the Environmental Jasa Marga continues to strive to Performance Overview the Government. Impact Analysis (EIA). improve highway management to be more environmentally friendly. Message from The President Jasa Marga is, and will continue During all stages of highway Several follow up actions have Director to be, determined to develop its construction, Jasa Marga is fully been enhanced during 2013, Sustainability business through the application committed to emphasizing a including making use of recycled Performance, Awards and of sustainable business practices, social approach to ensure a materials in construction, Certification in 2013 especially considering the “green good long-term relationship reducing electricity consumption About This Report business” era that has sprung with the local communities, by the equivalent of 88,015.12 A Primer on Jasa up out of the concerns of the while ensuring the continued KWh/month through increased Marga international community with growth and development of use of solar cells and LED lighting Sustainability Governance regard to global warming and the livelihoods. In the construction for street lighting, as well as
Economic Growth subsequent drive to improve the phase, Jasa Marga ensures full planting approximately 76,000 Improvement quality of the environment and compliance with provisions of the trees along highways under our Environmental local communities. The company EIA to be mindful of the impact management. Responsibility is committed to business of highway construction on the Jasa Marga’s development that demonstrates a environment and the lives of local To maintain and improve Human Resources Development high level of social responsibility communities. environmental quality and to Jasa Marga Cares to the environment, improves increase carrying capacity for
Product the quality of local communities The process of demolition, road foundation structures, Jasa Responsibility and effective and efficient excavation and backfill for the Marga has fully participated company operations that improve road foundations is conducted in reforesting areas prone economic performance. All with consideration of the to landslide around its road this work is aimed at meeting environment and implements network. The intensification of stakeholder expectations, while at the 3R principle (Reduce, Reuse, this revegetation program in hilly the same time improving value for Recycle) for materials used to areas around highways has seen shareholders in the long term. construct the road. Jasa Marga meaningful results, with areas ensures the implementation of prone to landslide now beautiful, Upholding Sustainability various initiatives in the field lush, artificially wooded areas. To participate in maintaining to minimize the social and These revegetation programs the sustainability of the planet economic impact, ranging from demonstrate the Company’s and all its contents, Jasa Mara handling local traffic congestion commitment to safeguarding has adopted the principle of to dispersing dust and spilled soil ecosystems around its highways sustainable business growth from around the excavation site. and to maintaining a high level of at every level of operations, biodiversity. implementing business based on During the operational phase, the 3P principle of People, Planet Jasa Marga always ensures full To support the growth and and Profit, which means that compliance with all minimum development of business prior to, during and after highway service standards, encompassing activities that facilitate improved construction, Jasa Marga carefully road quality maintenance, community welfare, the Company considers all aspects, social and provision of lighting and other has provided space for businesses economic, and puts this analysis supporting infrastructure and in rest areas at certain distances into a variety of documents, facilities. along its highways. In these
14 PT Jasa Marga (Persero) Tbk rest areas, the Company has Protective Equipment (PPE), During construction, defined certain areas as areas for the Company is sponsoring a the Company ensures its business partners to provide program and installing banners to a variety of products, both campaign for safe driving along OHS is applied by food and goods. In addition to highways, including its toll roads. all its contractors providing rest areas, the Company Included in this program is public for all activities; this has expanded the scope of education and the publication its business partners in areas of a book entitled “I Obey Traffic is followed up with approaching ramps that exit/ Regulations”. periodic unannounced enter its highway network. inspections Satisfactory results are being In 2013, the Company continued attained through this range to support its current business of programs. This is reflected partners as part of its community in there being no workplace empowerment program. accidents resulting in death, congestion. At certain points However, in accordance with serious injury or light injury, and and times, the Company has regulations issued by the SOE thus no loss of working hours additional officials take payments Ministry, the Company was not due to accidents. The Company from customers in the queue to permitted to disburse soft loans is committed to improving this speed up transaction times. to business partners during 2013. achievement in the coming years. Secondly, toll payment To support the achievement Improving Service mechanisms are being improved of an Occupational Health and In the interest of improving through the use of E-toll cards Safety (OHS) culture across all customer service performance, and automatic toll gates (GTO) aspects of highway construction the Company is focused on two at several key gateways. Third, and management, the Company main areas: customer satisfaction information is provided about realized a number of relevant and operational efficiency. To traffic conditions on the toll roads programs. During construction, improve the satisfaction of its through the Jasa Marga Traffic the Company ensures OHS is customers using the toll road Information Center (JMTIC) in applied by all its contractors network, several programs are cooperation with the National for all activities; this is followed being implemented. Police’s Traffic Management up with periodic unannounced Center (TMC), the installation inspections. The Company First, maintenance and improving of VMS that streams video of provides facilities to support the quality of the toll road road conditions and makes safety, including complete and network under our management, this information available to well-maintained signs, First Aid including making improvements smart phone devices. Fourth, patrol vehicles, ambulances and to the layout and facilities at toll customer satisfaction surveys are support to improve health clinics gates. The Company has been distributed to obtain feedback on located close to highway entry/ building and adding to its toll how to improve the quality and exit ramps. gate facilities at several strategic services of toll roads under our points to facilitate customers management. Fifth, a complaints In addition to providing easily entering and exiting the toll procedure is in place which can infrastructure and Personal network, without causing traffic be accessed by phone or by SMS.
2013 Sustainability Report 15 2013 Sustainability All these efforts to improve In addition to determining reports that fulfill the criteria for Performance Overview customer satisfaction are part minimum participation in the substantial proof.
Message from of our fulfillment of Minimum training program, to improve the The President Service Standards, which are a competencies of this workforce Awards Director requirement for periodic tariff the Company conducts special A number of Jasa Marga’s Sustainability adjustments determined and training, a knowledge sharing financial, environmental and Performance, Awards and studied by the Government. program and runs innovation community achievements have Certification in 2013 competitions to foster an been recognized in 2013 by About This Report To improve operational innovative culture. As part of its external parties and awards have A Primer on Jasa efficiencies, the Company has measures to prepare leaders of been made, including for: Service Marga implemented various programs, the future, the Company also runs Excellence at Jasa Marga Traffic Sustainability Governance including building the GTO, which a management talent program, Information Center in the Public
Economic Growth also improves service quality. which consists of special training Service category in the 2013 Improvement for employees and supervisors Service Quality Award, and Very Environmental Preparing Talented Human with adequate competence Good Achievement for an SOE for Responsibility Resources of High Integrity and performance. To ensure all 2012 Financial Performance in the Jasa Marga’s Considering future business employees work to their best Non-Financial Industry Category Human Resources Development prospects and development ability, Jasa Marga provides an awarded by Infobank SOE Awards Jasa Marga Cares plans, the Company has individual performance-based 2012, and so on.
Product implemented a variety of Human remuneration package that is Responsibility Resource (HR) programs aimed attractive within the industry. Taking Advantage of at fulfilling its requirement for Growth Opportunities leaders and competent labor of The Company promotes its to Support State high integrity in the future. corporate values regularly and Development requires employees to sign Considering the magnitude of the Jasa Marga employees in excess an integrity pact periodically contribution made by highways to of 5,000 people every year. Some to instill a culture of integrity. regional economic development of the Company’s employees are In addition, Jasa Marga has and the national economy, Jasa local recruits from Jasa Marga’s developed and implements a Marga is determined to realize nine work areas. Through its whistleblowing system that several of its plans for highway facilities at the Jasa Marga facilitates all parties reporting development across Indonesia Development Center (JMDC), the any infringement of regulations in a timely manner. To achieve Company provides training and by Jasa Marga personnel. this, the Company is prioritizing education to 5,162 employees The Company ensures the completion of highways that with a total of 118,241 hours of confidentiality of complainants can be integrated into the whole training in the year at an average and guarantees to follow up all highway network in specific areas of 26.8 hours/employee.
16 PT Jasa Marga (Persero) Tbk to reduce traffic congestion on Closing other main roads. Finally, on behalf of PT Jasa Marga (Persero) Tbk., we would In addition to integrating like to thank and express our highways in urban areas, in the sincere appreciation to all mid to long term, Jasa Marga our staff and employees, the is determined to realized inter- Shareholders, Government region highways, including and local communities, toll building the Jakarta-Surabaya road users, as well as business offshore highway to minimize the partners and other stakeholders need for land acquisition. for the cooperation and support in developing the Company’s With stable economic growth business sustainably. and a relatively high population density, Indonesia needs an May God Almighty bless us all. extensive network of highways to support inter-region mobility. The Company is ready to anticipate and take advantage of this growth opportunity by investigating cooperation and accumulating retained profit to fund future business development.
PT Jasa Marga (Persero) Tbk,
Adityawarman President Director
2013 Sustainability Report 17 South Sentul, Jagorawi.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
18 PT Jasa Marga (Persero) Tbk Sustainability Performance, Awards and Certification in 2013
2013 Sustainability Report 19 Sustainability Performance 2013
2013 Sustainability Performance Overview 21 January 01 February 28 february Message from The President Director
Sustainability Performance, Awards and Certification in 2013 About This Report Jasa Marga Assists Flood Victims Promoting the Whistleblowing Planting 15,000 Trees around A Primer on Jasa Jasa Marga provided assistance by System to Strengthen GCG Toll Roads Marga handing over 1,500 aid packages Jasa Marga realized implementation Jasa Marga simultaneously provided Sustainability containing instant noodles, biscuits, of its Whistleblowing System by assistance to plant fruit trees along Governance mineral water and cleaning tools disseminating information on its toll road corridors on Thursday, 28 Economic Growth to victims of the flooding around Improvement application to all relevant work units February. As many as 1,400 types Jakarta in the areas of Poncol Jaya, in Head Office and Branch Offices as of fruit tree were planted, including Environmental Cililitan, Bukit Duri, Cawang and Responsibility implementation of the GCG Roadmap. soursop, guava and breadfruit Kampung Makasar. Jasa Marga’s trees. Across its operational areas Human Resources Development In addition, Jasa Marga also prepared throughout Indonesia, Jasa Marga handed over 15,000 trees as part Jasa Marga Cares medical teams, along with the necessary doctors and medications, the company’s concern for the Product Responsibility to be placed at several areas, where environment through reforestation. required.
04 March 06 MARch 10 MARch
Assistance for 15 Former National Launch of the New Vision, Mission and Jasa Marga Family Gathering Athletes Corporate Values at the Jasa Marga To enhance the feeling of family Jasa Marga gave Rp50 million to Award Event between employees and the each of 15 former national athletes As part of the Company management, Jasa Marga held a with international achievements in Transformation Program Family Gathering at the Cibubur various sports in appreciation of their achievements. The presentation Implementation, the new Vision, Camping Grounds attended by Jasa was made in person by Jasa Marga Mission and Corporate Values were Marga employees and their families President Director Adityawarman launched at the Jasa Marga Awards to commemorate Jasa Marga’s 35th and SOE Minster Dahlan Iskan at the program, an event in which awards anniversary. National Sports Committee (KONI) are given to employees and branches office. with the best performance.
20 PT Jasa Marga (Persero) Tbk 28 March 05 April
Handing Over 2,500 Assistance Packages to Schools Educational Facilities for Educational Institutions Marga simultaneously handed over community The Jagorawi branch of Jasa Marga provided assistance development assistance to 50 elementary schools across to 15 Educational Institutions, comprising 2 Educational the operational areas of the Branch Offices and the Foundations, 1 Youth Group, 1 Islamic Boarding School, 6 Subsidiary (PT JLJ). This took the form of 2,500 packages Elementary Schools (SD), 1 Junior High School (SMP), 3 of school equipment. Senior High Schools (SMA) and 1 Vocational High School (SMK). This assistance took the form of computers, This program is part of the company’s care for the world sporting equipment and school equipment for students of education and support for improved teaching facilities and reflected the Company’s care for the educational in schools. world.
02 JULI 04 JULy
Mass Circumcision in Surabaya Staple Goods Distribution for SOEs Care ahead of 50 boys aged between 5-12 years old took part in this Religious Holidays mass circumcision program held by Jasa Marga’s To greet the Ramadhan 1434 H fasting month, Jasa Surabaya-Gempol branch in cooperation with the Marga took part in the SOEs Care program and Surabaya Alms office. This activity was part of the distributed staple goods at 15 locations in East Jakarta, commemorations of the 27th Anniversary of the around the Head Office, CTC Branch Office and Jagorawi. Surabaya-Gempol branch. A donation of Rp 37.5 million was also made to the Alms Office to be distributed to During this program, Jasa Marga distributed 2,700 those in need. packages comprising 2 liters cooking oil, 5 kg rice and 2 kg sugar. In addition to helping low-income families, this activity demonstrated Jasa Marga’s care for those living in the vicinity of its highways.
2013 Sustainability Report 21 2013 Sustainability Performance Overview 22 May 30 August Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Free Healthcare for Residents in the Highway Vicinity Creating ZoSS for Schools Around Jasa Marga Branches Governance The Surabaya-Gempol branch of Jasa Marga, in Across Indonesia Economic Growth cooperation with PT Jasamarga Pandaan Tol, a subsidiary, In a program themed “Devoted to the State for the Safety Improvement provided free healthcare to 300 residents living around the of School Children”, Jasa Marga simultaneously in all Environmental Responsibility construction site of the Gempol-Pandaan highway. This its branches marked out School Safety Zones (ZoSS) at free healthcare event was held in 8 villages along the toll each school. This program is expected to help safeguard Jasa Marga’s Human Resources road corridor. The event was followed up by donations of children while crossing the road. Development cleaning equipment made to residents. Jasa Marga Cares
Product Responsibility
11JULy 28 October
Gratuity Control in Cooperation with the Corruption Technical Guidance for Gratuity Control across Branches Eradication Commission (KPK) The Corruption Eradication Commission (KPK) team Jasa Marga signed an MoU with the KPK to develop a visited the Jagorawi branch of Jasa Marga to hold system to control gratuities. The KPK provided assistance a Technical Guidance Program for Gratuity Control. by assessing Jasa Marga’s readiness to implement this Through this training, Jasa Marga employees are expected gratuity control program and provided technical guidance to to recognize and have a clear guideline on gratuities, and the Gratuity Control Program Team (PPG). to be able to consistently implement gratuity control in the Jasa Marga environment. This activity was in follow up to the MoU previously signed between Jasa Marga and the KPK.
22 PT Jasa Marga (Persero) Tbk 05 September 03 OcTOBER
Construction of Religious Facilities Signing an MoU for the Jakarta-Surabaya Offshore Jasa Marga’s Jakarta-Cikampek branch provided Toll Road Rp107 million assistance in building materials and floor The directors of Jasa Marga and of 18 other SOEs covering for the construction of Al Hikmah Mosque close working together under the Jakarta-Surabaya Offshore to the Jakarta-Cikampek toll road. This activity took Toll Road Construction Consortium signed an MoU for place to foster a closer relationship with the community the Preparation of Plans to Cooperate in the Jakarta- living close to the road and to create a sense of Surabaya Offshore Toll Road, in which Jasa Marga will togetherness to keep the area around the highway clean. take the lead as consortium coordinator.
21 November 20 DEcEMBER
Free Tire Inspections for Road Users Reforestation in Surabaya Jasa Marga’s Jagorawi branch worked in cooperation The Surabaya-Gempol branch of Jasa Marga once again with the Indonesian Tire Company Association (APBI) to planted trees at the Dupak interchange, this time 1,000 conduct tire inspections at the KM 10A Rest Area on Jalan hibiscus, 500 Polyalthia longifolia, 200 fermis acacia and Tol Jagorawi. This activity was conducted to suppress the 100 manium acacia. number of accidents occurring on the highway caused by burst tires. The public enthusiastically greeted this Jasa Marga employees took part in the planting, which initiative and participation was high with the tires on 1,300 was also part of the government’s one billion trees vehicles being checked during the event. program.
2013 Sustainability Report 23 Sustainability Awards and Certification for 2013
2013 Sustainability Performance Overview 07 March 19 May 28 May Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Contact Center Service Excellence Award Award from the SOE Minister for “Service Quality Gold Award 2013 in Toll Marga (CCSEA) for Jasa Marga Traffic Information achievements and breakthrough Road category” award in the 2013 Service Center (JMTIC) with a ranking of Excellent performance by Jasa Marga to accelerate Quality Award event held by Carre-Center Sustainability in Service Performance in the Public construction of the Bali Mandara toll road. for Customer Satisfaction & Loyalty (Carre Governance Service category. This award was made by CCSL) and Service Excellence magazine. Economic Growth Carre-Center for Customer Satisfaction & (28 May) Improvement Loyalty and Service Excellence Magazine.
Environmental Responsibility
Jasa Marga’s Human Resources Development 18 July 31 July OcTOBER Jasa Marga Cares 06
Product Responsibility
Most Improved Frontliner, Sustainable and Responsible Global Performance Excellence as well as Case Study of The Investment Index (SRI) KEHATI Award for a World Class Year, 2013 in the 9th National Appreciation 2013 from Yayasan Large Service Organization Customer Service Championship KEHATI from the Asia Pacific Quality 2013 in Most Empowered Team Leader category, from Carre-Center for Customer Satisfaction & Loyalty (Carre
05 December 06 DEcEMBER 16 DEcEMBER
Jasa Marga received an award for Best CEO Commitment to Human Capital Management and Best Human Capital Anugerah SOE 2013 Ranking III Best Indonesia Good Corporate Initiative (Career Management) at the Competitive SOE Infrastructure and Governance Award 2013 Indonesia Human Capital Study (IHCS) Ranking III Best GCG in Open SOE Indonesia Trusted Companies. event held by Dunamis Human Capital category. in cooperation with Business Review magazine.
24 PT Jasa Marga (Persero) Tbk All Jasa Marga branch offices have been awarded toll road operation quality certification.
HIGHWAY MANAGEMENT QUALITY SPECIFICATIONS
All Jasa Marga branch offices have been awarded toll road operation quality certification. Jasa Marga Toll Road Operation Quality Certification
ISO Certification issued in Period of Validity of ISO 9001:2008 Branch (date, month, year) Certification (date, month, year)
Jagorawi 10-01-2000 23-08-0211 to 23-08-2014
Surabaya-Gempol 19-04-2001 19-04-2013 to 19-04-2016
Palikanci 21-07-2004 21-07-2013 to 21-07-2016
Balmera 12-10-2004 12-10-2013 to 12-10-2016
Jakarta-Tangerang* 22-12-2004 22-12-2010 to 22-12-2013
Semarang 06-01-2005 06-01-2011 to 06-01-2014
Jakarta-Cikampek 04-02-2005 04-02-2011 to 04-02-2014
Cawang-Tomang-Cengkareng 15-02-2005 15-02-2011 to 15-02-2014
Purbaleunyi* 22-12-2005 22-12-2010 to 22-12-2013
*Recertification has taken place, awaiting issuance of certification by SGS.
2013 Sustainability Report 25 Jalan Tol Bali Mandara.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
Bearing in mind that this is the first time we have used the GRI G4 format for our sustainability report, we have chosen to use the Core option to prepare our 2013 Sustainability Report.
26 PT Jasa Marga (Persero) Tbk About This Report (G4-22, G4-23, G4-28, G4-29, G4-30, G4-32)
This is the fourth year for PT Jasa 1 August 2012 concerning the information on Jasa Marga’s Marga (Persero), or Jasa Marga, Submission of Annual Reports for economic, environmental and social to produce a report under the Publicly Listed Companies, which performance. name Sustainability Report, with requires publicly listed companies the first published in 2010. These to provide information on the As in previous years, this report sustainability reports are intended implementation of their Corporate is aimed at investors and other to add value to our stakeholders Social Responsibility programs stakeholders, including creditors, by reporting on the variety of either as part of an annual report or the labor union, suppliers, programs the Company runs in a separate Sustainability Report. customers, the government and and its participation in efforts to other relevant parties, as a basis safeguard the sustainability of the Reporting Period for their decision making. Through planet and all its contents. This We prepare a Sustainability Report this report, they are also able to report is also intended to fulfill the every year. The 2013 Sustainability assess to what extent Jasa Marga requirement set out by the Financial Report contains information on has achieved its mandated level of Services Authority through Decree sustainability performance for corporate social and environmental of the Chairman of Bapepam- the period 1 January 2013 – 31 responsibility as defined in LK No. KEP-431/BL/2012 dated December 2013, and contains applicable legislation.
2013 Sustainability Report 27 2013 Sustainability Performance Cimanggis, Jagorawi. Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
Use of GRI-G4 Guidelines as Reference most basic and important information required by In relation to the issuance of the most recent, 4th stakeholders. Meanwhile, the “Comprehensive” option Generation, Sustainability Reporting Guidelines by is an expansion of the “Core” option with much more Global Reporting Initiative (GRI), we have compiled substance and complete supporting data reported this report based on the guidelines referred to as GRI and presented. As this is our first GRI G4 format report, G4. As such, this is our first report based on GRI G4, we have chosen to the Core option for the 2013 with previous reports based on the GRI G3.1 guidelines. Sustainability Report. While there are small changes to the presentation, there are no significant changes that impact on the To demonstrate compliance in accordance with the comparability of data from previous years. GRI G4 Core indicators, we have provided special markers on each relevant page to facilitate the reader In GRI G4, there are two format options for easily finding information related to each indicator. In sustainability reports, namely Core and addition, we have included the complete G4 Core index Comprehensive. The “Core” option contains the on page 2.
28 PT Jasa Marga (Persero) Tbk Report Boundary (G4-17) Report Content Principles and The financial data presented in this report also covers Determination Process (G4-18) our consolidated subsidiaries. Jasa Marga has majority In accordance with GRI G4, the content of this report ownership in 12 subsidiaries, as noted in the business is based on 4 (four) principles, namely: Stakeholders unit and subsidiaries section on page 59. inclusiveness; Materiality and Sustainability context and Completeness. The environmental and social performance information presented in this report is joint information for the Jasa Marga has considered the expectations of parent company and several subsidiaries with different its stakeholders, including paying attention to levels of ownership. The Jasa Marga subsidiaries that the input/feedback received regarding last year’s have contributed data and information for this report report to determine the report content (stakeholder are PT Jalantol Lingkarluar Jakarta, PT Marga Sarana inclusiveness). As per the principle of materiality, Jabar, PT Trans Marga Jateng, PT Marga Kunciran this report emphasizes the presentation of issues or Cengkareng, PT Marga Trans Nusantara, PT Marga aspects that are considered important and necessary Lingkar Jakarta, PT Marga Nujyasumo Agung, PT Trans for stakeholders in the decision making process. In Marga Jatim Pasuruan, PT Jasamarga Bali Tol, PT Marga addition, the report has considered sustainability issues Bumi Adhika Raya and PT Sarana Margabhakti Utama. relevant to the report issuer (sustainability context) and All Jasa Marga’s subsidiaries are generally engaged in seeks to show quantitative and qualitative data that the toll road business with a similar level of risk, with completes the appropriate context based on the GRI only a few engaged in property. G-4 “Core” reporting scope.
The steps to determine the report content are illustrated in the Report Content Determination Process Flow Chart that follows:
Report Content Determination Flow Process
Step 1 Step 2 Step 3 IDENTIFICATION PRIORITIZATION VALIDATION
Sustainability Materiality Completeness Context
2013 Sustainability Stakeholder Inclusiveness Report
Step 4 REVIEW
Sustainability Stakeholder Context Inclusiveness
2013 Sustainability Report 29 2013 Sustainability Determining Materiality Level Performance Overview In accordance with the principle of stakeholder inclusiveness, Jasa Marga has asked for the opinion of its
Message from stakeholders on the importance of issues disclosed in the 2013 Sustainability Report through a Stakeholder Survey The President sent to the labor union, suppliers, customers, road users, investors, associations and NGOs. The results of this survey Director will provide an illustration of the materiality level of the issues reported, such as the materiality level graphic below. Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga Energy Efficiency Sustainability Governance Improving the Well-being of Employees
Economic Growth High Customer Satisfaction Improvement Community Economic Empowering Environmental Rights of Employees Responsibility Service Quality Jasa Marga’s Training and Education Occupational Health and Safety Human Resources Development
Jasa Marga Cares Community Development Sustainable Supply Chain Product Human Rights Responsibility
Contribution to State Revenue Medium Important Stakeholders to Low
Low Medium High
Important for the Company
Determining Material Aspects and Boundary (G4-19, G4-20, G4-21) Material aspects and boundary are determined based on issues that have a significant influence for Jasa Marga, its subsidiaries and suppliers. The determination process involved Jasa Marga employees from various work units, who gathered for a G4 workshop on 28 February. The workshop participants contributed data to this 2013 Sustainability Report. In the workshop, participants analyzed material aspects and the boundary for the 2013 Sustainability Report content with the following results:
30 PT Jasa Marga (Persero) Tbk Material Aspect Boundary Within the Company Outsite the Company Jasa Marga Subsidiary ide the Compa Outs ny Category: Economic C Economic on lea ti nin rta g Performance o S sp e n rv a i Market Presence r c T e Indirect Economic Impacts
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a
Energy l
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Emissions d l
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Category: Social
S Employment y t i e r c
Occupational Health u and Safety Training and Education Diversity and Equal * Outsourcing hire was terminated Opportunity since November 2013. Supplier Assessment for Labor Practices Freedom of Association and Collective Bargaining Security Practices Supplier Human Rights Assessment Anti-corruption Jasa Marga Product and Service Labeling Subsidiary Outside the Company
Assurance (G4-33) Contact Jasa Marga strives to improve the quality of its David Wijayatno published reports. However, for this 2013 report, the PT Jasa Marga (Persero) Tbk. Company has not assigned an external independent assessor to carry out assurance on the sustainability Head Office report. However, for future reports, the Company Plaza Tol Taman Mini Indonesia Indah, intends to appoint an independent external assessor to Jakarta 13550, Indonesia conduct this assurance. Telephone : +6221 841 3630, 841 3526 Facsimile : +6221 841 3540 Contact Address (G4-31) website : www.jasamarga.com Jasa Marga hopes that it will receive input and e-mail : [email protected] feedback from readers to improve future Sustainability [email protected] Reports. The input and advice related to this report can be submitted to Jasa Marga by the following methods.
2013 Sustainability Report 31 Jasa Marga Head Office.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A Primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
As it strives to increase the number of toll road concessions, Jasa Marga also aims to increase its ownership of subsidiaries with toll road concessions.
32 PT Jasa Marga (Persero) Tbk A Primer on Jasa Marga
PT Jasa Marga (Persero) Tbk, or Jasa Pursuant to its Articles of Association, 3. Trade and services related to the Marga in short, is a State-Owned the Company is also engaged in a construction, maintenance and Enterprise (BUMN) headquartered number of supporting businesses, operating of toll roads. at Plaza Tol Taman Mini Indonesia namely: Indah, Jakarta. It has 9 branches and 1. Property development in areas The above business activities are 12 subsidiaries and employs a total adjacent to the toll road corridors. conducted by Jasa Marga and of 4,875 personnel. Jasa Marga is the 2. Services for businesses related consist of the phases of planning, concession holder of 22 toll roads, to transportation modes, construction, operational, and including by its 9 subsidiaries, with distribution of solid/liquid/gaseous maintenance of toll roads and their a market share of 73% of total toll materials, information technology supporting facilities, so that these road length throughout Indonesia, 16 infrastructure, technology and roads may function as a highway and segments of which, with 560 km of communications that are linked to yield more benefits compared to non- length, have been in operation. the toll road corridors. toll roads. (G4-3, G4-5, G4-6, G4-7)
2013 Sustainability Report 33 2013 Sustainability Through the Toll Road Operating Agreement or holder of 22 segments of toll roads, of which 18, with Performance Overview Perjanjian Pengusahaan Jalan Tol (PPJT) signed on 7 a total length of 560 km have been in operation, including four new segments that are gradually being Message from July 2006, the concession period of thirteen segments The President of Jasa Marga’s toll roads that at that time had been in put into operation, i.e. Bogor Outer Ring Road Toll Road Director operation is 40 years, effective starting on 1 January Section 1 Sentul Selatan–Kedung Halang (3.8 km), Sustainability 2005. Semarang–Solo Toll Road Section 1 Semarang–Ungaran Performance, Awards and (10.8 km), Surabaya–Mojokerto Toll Road Section 1A Certification in 2013 Since 2006, Jasa Marga has signed 6 other Toll Road Waru–Sepanjang (2.3 km), JORR W2 North Toll Road About This Report Operating Agreements or PPJT, each one for the Bogor Kebon Jeruk–Ciledug (5.7 km) and the fully-operational A Primer on Jasa Outer Ring Road, whose concession is held by PT Marga Nusa Dua–Ngurah Rai–Benoa Toll Road (10 km). By the Marga Sarana Jabar, the Semarang–Solo Toll Road held by PT end of 2013, Jasa Marga has held a national market Sustainability Trans Marga Jateng, the Gempol–Pasuruan Toll Road share of 73% of the toll road business, in terms of road Governance held by PT Trans Marga Jatim Pasuruan, the Gempol– length, in Indonesia. Economic Growth Improvement Pandaan Toll Road held by PT Jasamarga Pandaan Tol,
Environmental the JORR W2 North Toll Road held by PT Marga Lingkar In order to develop its business further, Jasa Marga Responsibility Jakarta, and the Surabaya–Mojokerto Toll Road held by expands its reach to businesses related to toll road Jasa Marga’s PT Marga Nujyasumo Agung. operations, namely: Human Resources Development 1. Property development in areas adjacent to the
Jasa Marga Cares As it strives to increase the number of toll road toll road corridors. concessions, Jasa Marga also aims to increase its 2. Services for businesses related to transportation Product Responsibility ownership of subsidiaries with toll road concessions. modes, distribution of solid/liquid/gaseous In 2009, Jasa Marga increased its percentage of materials, information technology infrastructure, ownership and became majority shareholder of PT technology and communications that are linked Marga Kunciran Cengkareng, the concession holder of to the toll road corridors. the Cengkareng–Kunciran Toll Road; PT Marga Trans 3. Trade and services related to the construction, Nusantara, the concession holder of the Kunciran– maintenance and operating of toll roads. Serpong Toll Road; and PT Marga Nujyasumo Agung, the concession holder of the Surabaya–Mojokerto Toll These supporting business activities are reinforced Road, with a concession period of 35 years. In 2011, with the establishment of two new subsidiaries, i.e. PT Jasa Marga increased its percentage of ownership and Sarana Marga Utama, established in 1988 and acquired became majority shareholder, through the purchase in 2010, to engage in the construction, trading, and of existing shares, at PT Marga Bumi Adhikaraya, the vehicle rental services, and PT Jasamarga Properti, concession holder of the Gempol–Pandaan Toll Road, established in 2013 to engage in the construction, with a concession period of 35 years. In addition, in a trading and property-related services. consortium of 4 SOE, Regional SOE (BUMD) and the Regional Government, Jasa Marga was appointed In both entities, Jasa Marga is the majority shareholder. as the pioneer for the Nusa Dua–Ngurah Rai–Benoa The main revenue of Jasa Marga is derived from the Toll Road in Bali, with a concession period of 45 fare collected from vehicles passing through the toll years. Altogether, by the end of 2013, Jasa Marga has roads (this is referred to as “toll road revenue”). In obtained 9 additional toll road concessions in which it addition, Jasa Marga also derives revenue from non- is the majority shareholder. toll road activities, e.g. lease of land, advertising, rest area, and operation of third-party toll roads as well as Through its 9 branches and 10 subsidiaries engaged maintenance services. (G4-4) in the toll road business, Jasa Marga is the concession
34 PT Jasa Marga (Persero) Tbk jasa marga toll roads location map (G4-8)
north SUMATERA Belmera: 42.7 Km
JABODETABEK & west JAVA east JAVA central jaVa • Jagorawi: 59.0 Km • Surabaya - Gempol: 49.0 Km • Jakarta - Tangerang: 33 Km • Semarang: 24.75 Km • Surabaya - Mojokerto: 36.3 Km • Ulujami- Pondok Aren: 5.55 Km • Semarang - Solo: 72.64 Km • Gempol - Pasuruan: 34.15 Km BALI • Jakarta Inner Ring Road: 23.55 Km • Gempol - Pandaan: 13.61 km • Prof Dr. Ir. Sedyatmo: 14.3 Km • Nusa Dua - Ngurah rai - Benoa: 10 Km • Jakarta - Cikampek: 83.0 Km • Jakarta Outer Ring Road: 43 Km • Cikampek - Padalarang: 58.5 Km • Padalarang - Cileunyi: 64.4 Km • Palikanci: 26.3 Km • Bogor Outer Ring Road: 11.0 Km • Cengkareng - Kunciran: 14.2 Km • Kunciran Serpong: 11.2 Km • JORR W2 Utara: 7.67 Km
Fully-Operating Toll Road Segments of the Company
The Company’s new toll road segments, either fully and gradually operational, are: 1. BORR Section 1 (3.8 km), operating since 23 November 2009; 2. Surabaya–Mojokerto Section 1A (2.3 km), operating since 5 September 2011; 3. Semarang–Solo Section 1 (10.8 km), operating since 12 November 2011; 4. Nusa Dua–Ngurah Rai–Benoa (10 km), operating since 24 September 2013; and 5. JORR W2 North, Kebon Jeruk–Ciledug Section (5.7 km), operating since 27 December 2013.
2013 Sustainability Report 35 2013 Sustainability Jasa Marga Shareholding Composition Performance Overview To support the expansion and business development of Jasa Marga, in 2007 the Company sold 30% of its shares to
Message from the public by listing them on the Indonesia Stock Exchange with the ticker code JSMR. The following table discloses The President the Shareholding Composition of the Company as at 31 December 2013. (G.4-7) Director
Sustainability Shareholding Percentage (%) 2013 2012 2011 Performance, Awards and Government of the Republic of Indonesia 70 70 70 Certification in 2013 Public 30 30 30 About This Report
A Primer on Jasa Marga Significant Changes Sustainability Governance Throughout the reporting period Jasa Marga experienced a significant change in 2013 in terms of the addition of
Economic Growth new toll road segments through its subsidiaries. (G4-13) Improvement Environmental Relation with Suppliers Responsibility Jasa Marga defines its “suppliers” as business partners that support its business activities. Jasa Marga is supported Jasa Marga’s Human Resources by a number of providers of goods and services, such as Rest Area, Towing, Security, Cleaning Service, Collectors, Development and Drivers. Jasa Marga continuously ensures and guarantees that all its suppliers are treated fairly, equitably, and Jasa Marga Cares in a transparent manner. In 2013, the collection of sustainability data related to its suppliers was initiated, and the Product Company hopes to provide a more detailed explanation on its suppliers in the next edition of its Sustainability Responsibility Report. (G4-12)
In accordance with one of the Values of Jasa Marga, the Company is PREPARED to serve its customers and other stakeholders by paying attention and being proactive by always upholding the principle of caution. The Company’s risk management activities are carried out by the Risk and Quality Management Division and assisted by the EPRP, KMR, and KIRU Teams, pursuant to the ISO-31000 standards and the Internal Audit. (G4-14)
In order to implement the prevailing standards in business as well as to measure and monitor its performance, Jasa Marga uses the ISO-9001, OSHAS-18001, GRI, IFRS, and KPKU standards and protocols. Jasa Marga is also actively involved in various organizations, such as the Indonesia Toll Road Association, HPJI, Chamber of Commerce and Industry, and REAAA, AEI. (G4-15, G4-16)
Jasa Marga’s Organizational Scale (G4-9) The following table discloses the organizational scale of Jasa Marga from the perspective of human capital, finance, and services/products. Description Reporting Period 2013 2012 2011 Number of employees (persons) 5,075 5,154 Business revenue (Rp billion) 10,295 9,070.2 6,485.8 Total capitalization (Rp billion) Assets 28,366 24,753.6 20,915.9 Liabilities 17,499 14,965.8 12,555.4 Equity 10,867 9,787.8 8,360.5 Quantity of Service Products (KM) North Sumatra Belmera Toll Road 42.7 42.7 42.7 Greater Jakarta and West Java Jagorawi Toll Road 59.0 59.0 59.0 Jakarta–Cikampek Toll Road 83.0 83.0 83.0 Jakarta–Tangerang Toll Road 33.0 33.0 33.0 Purbaleunyi Toll Road 122.9 122.9 122.9 Ulujami–Pondok Aren Toll Road 5.55 5.55 5.55
36 PT Jasa Marga (Persero) Tbk Description Reporting Period 2013 2012 2011 Jakarta Inner Toll Road 23.55 23.55 23.55 Jalan Tol Prof. Dr. Ir Sedyatmo 14.3 14.3 14.3 Jakarta Outer Ring Road 43.0 43.0 43.0 Palikanci Toll Road 26.3 26.3 26.3 Bogor Outer Ring Road 3.8 dari 11.3 3.8 dari 11.3 3.8 dari 11.3 Cengkareng–Kunciran Toll Road* 14.2 14.2 14.2 Kunciran–Serpong Toll Road* 11.2 11.2 11.2 JORR W2 North Toll Road 5.7 dari 7.67 7.67 7.67 Central Java Semarang Toll Road 24.75 24.75 24.75 Semarang–Solo Toll Road 10.8 out of 72.6 10.8 out of 72.6 72.6 East Java Surabaya Gempol Toll Road 49.0 49.0 49.0 Jalan Tol Gempol–Pasuruan Toll Road* 34.15 34.15 34.15 Surabaya–Mojokerto Toll Road 2.3 out of 36.3 2.3 out of 36.3 2.3 out of 36.3 Gempol–Pandaan Toll Road* 13.61 13.61 13.61 Bali Nusa Dua–Ngurah Rai–Benoa Toll Road 10.0 10.0 10.0 * Not yet in operation
organisation structure
President Director ADITYAWARMAN
Director of Business Director of HRD & Director of Finance Director of Operations Development General Affairs REYNALDI HASANUDIN ABDUL HADI Hs. MUH NAJIB FAUZAN HERMANSJAH
Human Capital Operation Toll Road Business Corporate Audit Internal Strategy & Policy Risk & Quality Management Division Development Division Planning Division DJOKO DWIJONO Division Management Division TARULI M. HUTAPEA DEDI KRISNARIAWAN S. MOHAMMAD SOFYAN UNGUL CARIAWAN SATRIA GANEFANTO
Human Capital Related Business Finance & Corporate Secretary Maintenance Division Services Division Development Division Accounting Division Legal Division DAVID WIJAYATNO AYU WIDYA KISWARI SUTIRYA WIRIAS AGUS SETIAWAN SYACHRIANI ATIM TOLU ISMED ARIEF SASTRA
Community Highway & Traffice General Affairs Development Information Engineering Division Division Program Unit Technology Division SONHADJI SURAHMAN BAMBANG SANCOYO ENKKY SASONO A. W. D. HARI PRATAMA
Rest Area Jasa Marga Toll Road Non Toll Road Business Unit Development Branch Offices Subsidiaries Subsidiaries LEONA ROEDHIANITA Center Unit SARIL. ENKKY SASONO A. W.
Struktur Organisasi Jasa Marga berdasarkan Surat Keputusan Direksi No. 41/KPTS/2013 tanggal 1 Maret 2013.
2013 Sustainability Report 37 Vision, Mission & Values
2013 Sustainability of the Company (G4-56) Performance Overview
Message from The President Considering the Company’s performance the Vision, Mission, and Values for the next Director achievement within the period of 35 years five- and ten-year periods. The formulation Sustainability starting from 1978 to 2013, and in light of of the Company’s Vision, Mission and Performance, Awards and the changes in the external environment Values was conducted by involving all Certification in 2013 around the Company and the business relevant parties, such as the Board of About This Report opportunities that have been present in the Commissioners, the Board of Directors, and A Primer on Jasa toll road and non-toll road industries, the employees, and by taking into consideration Marga Company deemed it necessary to formulate the interests of all Stakeholders. Sustainability Governance
Economic Growth Improvement The Vision, Mission, and Values of the Company have been approved
Environmental by the Board of Commissioners and the Board of Directors, and stated Responsibility in the Decree of the Board of Directors No. 50/KPTS/2013 dated 1 Jasa Marga’s Human Resources March 2013 on the Vision, Mission, and Values of the Company. Development
Jasa Marga Cares Stages of Formulation of the Company’s Vision, Mission, and Values Product Responsibility 1. The Board of Directors evaluated the Company’s performance and internal strengths. 2. The Board of Directors evaluated the strategic changes occurring in the external environment surrounding the Company and took into consideration future business opportunities. 3. The Board of Directors evaluates and identifies the expectations and needs of the Company’s stakeholders. 4. By taking into consideration the Company’s Internal Strengths and External Opportunities as well as the expectations of its stakeholders, the Board of Directors formulated the Company’s Vision, Mission, and Values. 5. The Vision, Mission, and Values were subsequently presented to and evaluated by the Board of Commissioners, and then sanctioned and mutually agreed upon by the Boards of Commissioners and Directors. 6. The Board of Directors declared the Vision, Mission and Values of the Company through the Decree of the Board of Directors. The Boards of Commissioners and Directors periodically, i.e. every year, evaluate the achievement of the Company’s Vision and Mission.
The Company’s Vision, STAKEHOLDERS’ NEEDS Mission and Values AND EXPECTATIONS Formulation Flowchart BOARD OF DIRECTORS AND BOARD OF COMMISSIONERS VISION, MISSION & VALUES
STRATEGIC CHANGES PERFORMANCE EXTERNAL ENVIRONMENT ACHIEVEMENT AND BUSINESS OPPORTUNITIES AND INTERNAL STRENGTHS
38 PT Jasa Marga (Persero) Tbk Vision and Mission To provide the Clarity of Direction and the Unifying Focal Point, the Company’s Vision is reviewed by conducting an evaluation of the Company’s strengths and business opportunities in the long run, both in the toll road business and others. The Company’s Vision is:
2017 Vision 2022 Vision
To be a leading toll road developer To be one of Indonesia’s most and operator in Indonesia. prominent companies.
Being a leading or prominent company means: • That Jasa Marga exhibits a relatively high financial soundness in the industry and provides a long-term investment value. • That it is a market leader in the industry. • That it always encourages innovation, therefore retaining its excellence in terms of products and services provided through constant innovation. • That it is responsible to the environment and the society at large. • That it has a high-quality corporate management system in place. • That it serves as a paragon in human capital management for other companies and becomes the employer of choice for talented people.
In formulating its Mission, the Company re-evaluated its Reason for Being, Fundamental Purpose, as well as communicated its benefits or Values. As such, the Company’s Mission is explained as follows.
Mission
1. Accelerating the development of toll roads. 2. Providing efficient and dependable toll roads. 3. improving the ease of distribution of goods and services.
The meaning of the Company’s Mission is that the Company is aware that its presence through its business as a toll road developer and operator is to speed up the development of toll roads to support the Government’s economic growth acceleration program. In addition, the Company is also mindful that the presence of the toll road that it operates must provide benefits to the customers or users of these very roads, by making the roads not only efficient and dependable, but also instrumental in improving the ease of distribution of various goods and services.
2013 Sustainability Report 39 2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013 Values (G4-56) About This Report
A Primer on Jasa To put the Company’s Mission into action and achieve its Vision, Jasa Marga Marga has formulated a set of values that serve as Guiding Principles in Behavior Sustainability and Decision Making. Thus, a review of the Company’s Values has been Governance conducted. These Values are built upon the four core values that have been Economic Growth Improvement acknowledged and developed together, namely Honesty, Preparedness, Environmental Capability, and Respect. The details of the meaning of each of these Values Responsibility are provided below. Jasa Marga’s Human Resources Development
Jasa Marga Cares HONESTY Product Responsibility Jasa Marga is HONEST, fair, transparent, and free from J conflict of interest in conducting its business.
PREPAREDNESS Jasa Marga is PREPARED to serve its customers and other stakeholders by paying attention and being S proactive by always upholding the principle of caution.
CAPABILITY Jasa Marga is CAPABLE to work with competence, M consistence, and innovation.
RESPECT Jasa Marga RESPECTS all of its stakeholders in the R synergy to achieve excellence.
40 PT Jasa Marga (Persero) Tbk Jalan Tol Bali Mandara.
2013 Sustainability Report 41 General Meeting of Shareholders.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
The Company’s Code of Conduct provides the policies regarding ethics that are explicitly stated as a set of acceptable behaviors that all Jasa Marga Personnel must abide by. The Code of Conduct consists of two parts: Business Ethics and the Work Ethics.
42 PT Jasa Marga (Persero) Tbk
Sustainability Governance
By upholding the principles of Good namely transparency, accountability, Marga involves the interactions between Corporate Governance (GCG) in line with responsibility, independence and fairness.” the Company’s main organs, namely the the prevailing rules and regulations, General Meeting of Shareholders (GMS), Jasa Marga has devised and developed GOVERNANCE STRUCTURE (G4-34) the Board of Commissioners, the Board a structure and system for its corporate As a State-Owned Enterprise, aside from of Directors, and Supporting Organs that governance. Improvements to its abiding to the Limited Liability Company consist of the Committees under the sustainable corporate governance Law No.40/2007 (UU-PT), the governance Board of Commissioners. Therefore, the practices are carried out as part of the structure of Jasa Marga also abides to governance structure of Jasa Marga is Company’s response to the issuance of the SOE Law No. 19/2003 by having a composed of: the Regulation of the Minister of SOE two-board system, namely the Board of 1. General Meeting of Shareholders No.PER-01/MBU/2011 dated 1 August Commissioners and the Board of Directors, (GMS), is the highest organ in the 2011 on the Good Corporate Governance each of which having a clear separation Company, retaining rights not awarded Practices in SOEs, last amended by the of duties as mandated in the Articles to neither the Board of Commissioners Regulation of the Minister of SOE No. of Association of the Company and the nor the Board of Directors within PER-09/MBU/2012, which stated that prevailing rules and regulations. the boundaries set in the Articles of “SOEs must operate their businesses Association and the prevailing rules by upholding the principles of GCG, With this legal and systematic framework and regulations. in place, the governance structure of Jasa
2013 Sustainability Report 43 2013 Sustainability 2. Board of Commissioners, which acts as an organ 3. Board of Directors, which is an organ that is Performance Overview that is collectively responsible for overseeing collectively responsible for managing the Company
Message from and advising the Board of Directors and ensuring according to the prevailing rules and regulations, The President that Jasa Marga is abiding to all the rules and as well as executing the resolutions of the GMS Director regulations, and executing the resolutions of the and conducting best practices in GCG on all Sustainability GMS in accordance with the principles of GCG on all organizational levels. Performance, Awards and organizational levels. Certification in 2013 With such division of duties, the governance structure About This Report of Jasa Marga is therefore as follows. A primer on Jasa Marga Sustainability GOVERNANCE STRUCTURE Governance
Economic Growth Main Organ Improvement
Environmental General Meeting of Responsibility Shareholders
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Board of Directors Board of Commissioners Responsibility
Corporate Secretary Audit Committee
Internal Audit
Risk & Quality Business & Investment Management Committee
Supporting Organ
44 PT Jasa Marga (Persero) Tbk GENERAL MEETING OF SHAREHOLDERS of Association of the Company, which in turn have The General Meeting of Shareholders (GMS) is the been based on the prevailing rules and regulations. highest organ in the governance structure of Jasa The Board of Commissioners are responsible for Marga. Based on the time of administration, GMS is supervising and monitoring the implementation of categorized into two, namely: the entire resolutions of the GMS, while the Board of 1. Annual General Meeting of Shareholders (AGMS), Directors is responsible for the operational activities of held once in each financial year no later than six the Company in order to fulfill the resolutions taken at months after the Company’s fiscal year has been the GMS. Both boards are appointed and dismissed at closed. the GMS, and each has a collective collegial (fiduciary) 2. The Extraordinary General Meeting of responsibility that must eventually be accounted for at Shareholders (EGMS), held at any time as deemed the GMS. necessary. Jasa Marga emphasizes the independence of the Both the AGMS and EGMS serve as a forum for the Board of Commissioners and the Board of Directors, by shareholders to act and make decisions pertinent to implementing a ban on having concurrent positions the capital invested into the Company, all with equal for each function and prohibits any relation or kinship footing. Through the AGMS, the shareholders may to the second degree among the members of the exercise their rights and voice their opinions and Company’s boards. make decisions relating to the results of operations, future business expansion plans, and even change the To ensure the independence of the execution of management of the Company, with the shareholders duties, Jasa Marga establishes that independent each having an equal standing, be they a major or members in the Board of Commissioners (Independent minor shareholder. The GMS also acts as a forum for Commissioners) must at least comprise 30% of the total shareholders to evaluate the performance of the number of members of the Board of Commissioners. Company’s management in economic, social and Jasa Marga requires these Independent Commissioners environmental aspects, which in turn become the basis to be free of vested interest and prohibits them from for the continuation of their managerial term as well as having a business relationship with the Company their remuneration and incentives. or its subsidiaries or its affiliates or any other type of relationship that may affect the their recommendations In the GMS all shareholders have the right to ask as well as implementation of their oversight and questions and obtain clarification on all issues and the authority. performance of the Company. On the other hand, the management of the Company is required to provide an Board of Commissioners adequate explanation for any relevant questions, and The main tasks of the Board of Commissioners, called its show their responsibility for the policies and decisions general or specific supervision, are advising the Board taken throughout their term of office. Furthermore, the of Directors in managing the Company and in devising management shall implement all the resolutions taken policies, implementing the resolutions of the GMS, at the GMS which are subsequently set forth in the monitoring the Company’s adherence to all laws and minutes of meeting. regulations that apply to all aspects of the Company’s operations, and ensuring that the management of the Company promotes the interests of shareholders POSITION OF THE BOARDS OF COMMISSIONERS and is within an ethical framework that takes into AND DIRECTORS consideration all relevant stakeholders. In performing The Board of Commissioners and the Board of its duties, the Board of Commissioners is assisted by the Directors are both executives of the Company, but with committees established under and are responsible to different duties and authorities in accordance with the Board of Commissioners. These committees are the their respective functions as stipulated in the Articles Audit Committee and the Investment and Business Risk Committee.
2013 Sustainability Report 45 2013 Sustainability As a guideline for the implementation of oversight is acting and is responsible collegially, however its Performance Overview duties of the Board of Commissioners, Jasa Marga has members may act and make decisions according to
Message from developed the Board Manual and the Board Charter, their respective and appropriate division of duties The President which contain a description on: and responsibilities, including in the economic, Director 1. The Principal Duties, Responsibilities and environmental and social aspects, separately. The Board Sustainability Authorities of the Board of Commissioners, of Directors is obliged to comply with all prevailing Performance, Awards and 2. The Provisions for the Structure, Requirements, and regulations, as well as those promulgated by regulators, Certification in 2013 Term of Office of the Board of Commissioners, including the OJK and the IDX, comply with the Articles About This Report 3. The Provisions on the Independence of of Association, execute all of the GMS’s resolutions, A primer on Jasa Commissioners, and do their best to attain the goals of the Company Marga 4. The Functions, Meetings, Reporting and Budgeting by acting in good faith and always keeping both the Sustainability of the Activities of the Board of Commissioners. short- and long-term interests of shareholders and Governance stakeholders in mind. Economic Growth Improvement As a part of its compliance with the independence
Environmental requirement, as set out in the Decree of the Board of The Board of Directors of Jasa Marga consists of 5 Responsibility Directors of the Indonesia Stock Exchange No. Kep- (five) members, namely 1 (one) President Director and Jasa Marga’s 305/BEJ/07-2004 on the Regulation No. I-A, which 4 (four) Directors. All of the members of the Board of Human Resources Development determines that the minimum number of independent Directors reside in Indonesia. The Directors are elected
Jasa Marga Cares commissioners must be at least 30% of the total by the AGM, with the term of office of each member members of the Board of Commissioners, Jasa Marga being 5 (five) years, upon the end of which they may Product Responsibility currently has two independent commissioners, be reappointed according to the AGM resolution. The making up 33% of the six members of its Board of process of selection and appointment of the members Commissioners. of the Board of Directors will be preceded by a fit and proper test, which includes an assessment of At the end of each term of office, the Board of the previous period’s performance (applies strictly to Commissioners is required to submit a report on the existing members of the Board of Directors). implementation of their tasks and accountability of performance in the economic, social and environmental To carry out its managerial duties in an effort to attain aspects. The report includes its accountability the goals of the Company, the Board of Directors may for monitoring the performance of the Board of establish committees and functional divisions directly Directors in managinh the Company. The Board of under its supervision to assist the execution of their Commissioners’ Accountability Report is reflected by duties according to their respective functions. The the approval of the Annual Report and the financial Board of Directors of Jasa Marga is furthermore guided statements of the Company by the AGMS. The approval by the Board Manual and Board Charter in performing of the Annual Report and the Company’s financial their everyday duties, authorities and responsibilities. statements by the AGMS fully exempts the members of The Board of Directors is authorized to select and the Board of Commissioners and the Board of Directors appoint officials below the level of the Directors, or from being held responsible for the actions they have division heads, to carry out operational tasks and assist taken in the reported year, as long as such actions have the Board of Directors in implementing its managerial been reflected on the Annual Report for that year. function. The Board of Directors is also authorized to establish a functional committee under its supervision Board of Directors to improve the efficacy of its management of the The Board of Directors is fully in charge and collegially Company. responsible for the management of the Company for the Company’s interests in accordance with the intent In each operational period, the Board of Directors and goals of the establishment of the Company, i.e. to submits an accountability report in the form of an maximize the value of the entire Company by using the Annual Report, which includes the description on the available resources optimally. The Board of Directors Company’s operation and performance in economic,
46 PT Jasa Marga (Persero) Tbk social and environmental aspects, the implementation c. The accessibility to competitive interest rates of GCG practices, and the Company’s financial from creditors. statements, to the AGMS to be approved. The approval d. The ease of finding partners for business of the Annual Report and the Financial Statements activities. of the Company by the AGM demonstrates the e. Increased level of customer satisfaction, in this accountability of the Board of Directors’ performance. case toll road users. Furthermore, the members of the Board of Directors 3. Qualified Jasa Marga Personnel in terms of both shall be exempt from being held responsible for any hard and soft skills. actions conducted in the reported year, as long as such 4. A reputation for a company that is seen as a actions have been reflected in the Annual Report for benchmark in the industry as well as in general. that year. The Company aims to achieve the following benefits by Internalization and Implementation of Good implementing sound GCG practices: Corporate Governance (GCG) 1. Achievement of the Company’s Vision and Mission As part of its commitment to implement and maintain as stipulated in the Long Term Corporate Plan the GCG practices with high quality and standards, Jasa (RJPP) and the Company’s Work Plan and Budget Marga conducts various activities at all levels with the (RKAP), as all elements of the management and intent of internalizing the GCG culture. The purpose employees are committed and have the same of this internalization process and the application of paradigm to achieve the Vision and Mission. frameworks based on GCG is to make GCG as part of 2. Execution of its work programs in a more effective the Corporate Culture, whose implementation is then and efficient manner, as the work systems and supported by the corporate values inherent in each procedures have been designed based on the GCG Jasa Marga Personnel. Various activities that have been principles. undertaken include: 1. Promulgation of GCG internalization; To foster the creation of the GCG culture, Jasa Marga 2. Preparation, implementation and review of the WBS has equipped the management of the Company with a and periodical reporting of results of complaints set of rules that encourage the application of GCG best handled by the WBS. practices, including: 3. Surveys on the comprehension, application and 1. Corporate Values, assessment of GCG practices on a regular basis by 2. Board Manual, independent assessors and self-assessment. 3. Code of Corporate Governance, 4. Code of Conduct, The targets that Jasa Marga aims to achieve through 5. Standard Operating Procedures for the the implementation of GCG practices are, among Procurement of Goods and Services within the others: Company, 1. Consistent and sustainable growth, as reflected by 6. Collective Bargaining Agreement, an improvement in ratios and margins in terms of 7. Guidelines on Conflict of Interest, Assets (including Road Length), Revenue, Market 8. Guidelines on Handling Gratifications, Share, and Equity. 9. Guidelines on the Whistleblowing System, 2. Increased confidence of stakeholders, as reflected which include provisions regulating the types by: of misconduct, mechanism of reporting of a. The rise in the Company’s shares and market such misconducts, and the sanctions for such capitalization. misconducts. b. The improvement in the Company’s bond ratings as issued by rating agencies.
2013 Sustainability Report 47 2013 Sustainability CORPORATE VALUES (G4-56) 9. Towards Mass Media. Performance Overview Jasa Marga has formulated a set of values that serve as 10. Towards Subsidiaries. 11. Towards the Public and Surrounding Environment. Message from Guiding Principles in Behavior and Decision Making. The President Thus, a review of the Company’s Values has been Director conducted. These Values are built upon the four core In addition, the Work Ethics provide a set of values or Sustainability values that have been acknowledged and developed norms that all elements of the Company must abide Performance, Awards and together, namely Honesty, Preparedness, Capability, by in carrying out their duties and responsibilities. This Certification in 2013 and Respect. The details of the meaning of each of include the ethics that govern the relationship between About This Report these Values are provided below. employees of the Company. The Work Ethics contain A primer on Jasa • J - Honesty the policy regulating the acceptable behaviors that are Marga Jasa Marga is HONEST, fair, transparent, and free expected from all Jasa Marga Personnel, i.e.: Sustainability from conflict of interest in conducting its business. 1. As Supervisors towards Subordinates. Governance • S - Preparedness 2. As Subordinates towards Supervisors. Economic Growth Improvement Jasa Marga is PREPARED to serve its customers and 3. As Colleagues/Peers.
Environmental other stakeholders by paying attention and being Responsibility proactive by always upholding the principle of Jasa Marga’s caution. COMMITMENT TO EXTERNAL INITIATIVES Human Resources Development • M - Capability (G4-15, G4-16)
Jasa Marga Cares Jasa Marga is CAPABLE to work with competence, As an institution that strongly upholds the consistence, and innovation. implementation of GCG best practices, Jasa Marga Product Responsibility • R - Respect at all times strives to abide by the regulations set by Jasa Marga RESPECTS all of its stakeholders in the the Government, as well as implements the highest synergy to achieve excellence. standards for transparency in terms of financial and non-financial conditions, executes a risk management The Company’s Code of Conduct provides the policies system, and monitors, measures and evaluates its regarding ethics that are explicitly stated as a set of performance according to the rules and regulations acceptable behaviors that all Jasa Marga Personnel pertinent to the operations of a public company, which must abide by. The Code of Conduct consists of two include: parts: Business Ethics and the Work Ethics. 1. Financial Services Authority, 2. Indonesia Stock Exchange, The Business Ethics provide a set of values or norms 3. Corporate Governance Perception Index (CGPI), expanded from the philosophy that underlies the 4. Provisions of the Toll Road Regulatory Agency establishment of the Company, used now as the basis (BPJT), for the Company and its management in interacting 5. ISO (environment/audit/recruitment/training), and with its stakeholders in the internal and external 6. Remuneration/Salary Surveys. environment, namely: 1. Towards Fellow Jasa Marga Personnel. In terms of corporate management, Jasa Marga has 2. Towards Toll Road Users and Other Customers. implemented a number of accredited standards, 3. Towards Shareholders. namely for the management of the environmental, 4. Towards Suppliers/Contractors. occupational health and safety, and quality aspects. 5. Towards Creditors. In each period, Jasa Marga reviews the systems and 6. Towards Business Partners. procedures of such accredited standards carried out 7. Towards Competitors. by competent third parties. The various systems and 8. Towards the Government/Regulators. procedures that are implemented according to external initiatives, along with the field of implementation and the vailidy period, are as follows:
48 PT Jasa Marga (Persero) Tbk Jalan Tol Prof. Dr. Ir. Sedyatmo.
Certifications Held by Jasa Marga Branch Certified Since Validity Period Certification Number
ISO 9001 OHSAS SO 9001 OHSAS ISO 9001 OHSAS ISO 9001 OHSAS
Semarang 6/1/05 25-10-11 6-1-11 s.d 6-1-14 25-10-11 s.d 25-10-14 4 1 ID05/00530 ID11/01882
Jagorawi 10/1/00 23-3-11 23-8-11 s.d 23-8-14 23-3-11 s.d 23-3-14 7 1 ID00/17172 ID11/1102954096
Cawang-Tomang- 15-2-05 3/3/11 15-2-11 s.d 15-2-14 3-3-11 s.d 3-3-14 4 1 ID05/00554 ID11/1102954092 Cengkareng
Surabaya- Gempol 19-4-01 10/5/11 9-04-13 s/d 19-04-16 10-5-11 s.d 10-5-14 4 1 ID04/0376 ID11/1102954122
Belmera 12/10/04 31-1-11 12-10-13 s/d 12-10-16 31-1-11 s.d 31-1-14 3 1 ID04/0481 ID11/1102954067
Palikanci 21-7-04 24-9-12 21-07-04 s/d 21-07-16 24-9-12 s.d 5-7-15 3 1 ID04/0439 ID12/02180
Cikampek 4/2/05 31-1-11 4-2-11 s.d 4-2-14 31-1-11 s.d 31-1-14 4 1 ID05/00550 ID11/1102954070
Purbaleunyi* 22-12-05 28-12-10 22-12-10 s.d 22-12-13 28-12-10 s.d 28-12-13 3 1 ID04/00515 ID11/1102954054
Tangerang* 22-12-04 4/1/11 22-12-10 s.d 22-12-13 4-1-11 s.d 4-1-4 4 1 ID04/00516 ID11/1102954016
* Recertification process has been done, but the certificate has not been issued by SGS.
2013 Sustainability Report 49 2013 Sustainability Jasa Marga is actively engaged in the following serves as a guidance for all organization lines and Performance Overview professional organizations, namely: ensures that the goal of long term development can be
Message from 1. Indonesia Toll Road Association achieved through a quality risk management system. The President 2. Association of Indonesian Engineers, a professional Director organization for Indonesian engineers aiming to Sustainability improve competence the field of engineering. PREVENTING CORRUPTION (G4-58, SO3, SO4) Performance, Awards and 3. Indonesian Road Development Union The development and operations of toll roads require Certification in 2013 a long time frame as well as large numbers of financial About This Report transactions involving a massive amount of money. A primer on Jasa RISK MANAGEMENT (G4-14) In order to prevent fraud and corruption within such Marga Given the nature of toll road management business, transactions, Jasa Marga has developed a financial Sustainability which requires a large amount of fund with a long transaction and management system that can Governance time frame for return of investment, Jasa Marga has effectively prevent and detect various forms of financial Economic Growth Improvement developed a risk management system that is able to fraud.
Environmental identify and mitigate all potential risks that may pose a Responsibility substantial impact on its business operations. To ensure This system is supported by internal supervision and Jasa Marga’s the quality of its risk management, Jasa Marga applies control activities as well as the implementation of Human Resources Development ISO 31000:2009 according to the Decree of the Board a whistleblowing system. Called the JASA MARGA
Jasa Marga Cares of Directors of Jasa Marga No. 129.2/KPTS/2010 on AMANAH, the system has been utilized by all Jasa Risk Management Policy and Manual of PT Jasa Marga Marga personnel as well as external parties since 16 Product Responsibility (Persero) Tbk. January 2013.
Through this internationally-standardized risk Every piece of information reported will be management system, the Board of Directors has investigated, classified and followed up on by collecting established a Risk Management Policy as the guidance and verifying the facts. The impact of the reported for accomplishing the Company’s Long Term Goals. action, the underlying motive, as well as the level of The Board of Directors has also established a Risk deliberation involved are considered when making Management Manual to demonstrate its commitment to decision on the sanction for such activity. conduct risk management along all business lines in an integrated manner, in order to provide a systematic and The sanction will be given to the personnel who has measurable framework of risk management application been proven to have committed fraud. The types of that complies with international regulations. In order sanction are verbal admonition, admonition memos to support an effective implementation, Jasa Marga (I, II, III), termination of employment, and other actions has completed all the procedures required for its risk in line with the prevailing rules and regulations. management. The Company does not tolerate any violation of professional integrity. In accordance with its business nature, Jasa Marga pays a substantial attention to the major risks that are divided Protection to the Whistleblower into four risk areas, namely: Jasa Marga provides the whistleblower with a number 1. Development Risk of independent, free, and confidential reporting tools 2. Operational Risk (telephone, letter, e-mail) so that the reporting process 3. Financial Risk may be conducted in a secure manner. In addition, 4. Human Resources Risk, etc. the whistleblowing system (WBS) also maintains the confidentiality of the whistleblower’s identity in In order to enhance risk identification quality, which order to provide protection to them as well as their includes accuracy of identification process, and to family from the possibility of reprisal by the person confirm the mitigation measures in dealing with all or organization reported. The follow up result will be risk potentials, Jasa Marga has set up a road map for its reported confidentially to the whistleblower who has risk management system development. This roadmap previously provided their identity.
50 PT Jasa Marga (Persero) Tbk Throughout 2013, 24 violation reports were from corruption, collusion, and nepotism practices, received, of which 15 have been followed up right Jasa Marga requires its vendors and partners to sign to the final process. the Integrity Pact in relation with the materials and services procurement. The Integrity Pact is one of the items checked during random audits conducted by the ENGAGING COMPETENT BUSINESS PARTNERS Internal Audit Unit, as part of the unit’s control activity. (G4-LA14, G4-HR10) The toll road management business sustainability and continuity highly depends on the success of toll road MANAGING STAKEHOLDERS development and maintenance of quality, in line with (G4-19, G4-24, G4-25, G4-26, G4-27) the prevailing rules and regulations. The quality of a toll Being engaged in a business that is directly related to road strongly depends on how it has been developed. public interest, Jasa Marga realizes that its long term The development process will in turn depend on the success is highly dependent on its ability to interact and quality of materials used and the competence of the foster a positive and mutually beneficial relationship suppliers of such materials. In the end, the competence with all of its stakeholders. Positive interaction means of the suppliers depend on how they practice their that the stakeholders’ expectations are well understood business, including whether they respect their and fulfilled through an optimized and efficient employees’ rights and basic human rights. management of all available resources.
In choosing the suppliers for materials and services Stakeholders are individuals or groups that may affect for various toll road development projects or other or be affected by the activities of toll road development procurement of goods or services, Jasa Marga conducted and operations services offered by the requires that all business partners comply with with Company. In line with the nature of the impact and human rights regulations, including the rights for dominance of such impact as well as its relevance their employees to form labor unions. With such a to the Company’s activities and performance, Jasa requirement, Jasa Marga aims to mitigate the toll road Marga has formulated the framework for interacting development quality risk due to lack of conducive and engaging its stakeholders in its course of doing working environment on the side of the suppliers or business. contractors. Jasa Marga engages the following groups of In addition, Jasa Marga also places an emphasis on the stakeholders: fulfillment of work quality as promised, delivery time, 1. Shareholders, affordable cost, and the use of e-procurement in the 2. Creditors, bidding process to provide certain materials or services. 3. Government, both Central and Local, including all of the relevant departments, Through this e-procurement, Jasa Marga provides equal 4. Employees, opportunity to all potential partners to fairly compete 5. Customers/Toll Road Users, without any intervention from any parties. Through 6. Competitors, the e-procurement, Jasa Marga obtains the materials 7. Business Partners/Suppliers/Contractors, and services it requires based on the principles of 8. Local Communities and NGOs, competition, transparency, impartiality, fairness, and 9. Mass Media accountability. Based on the reciprocal interest vested in these To ensure the quality of the bidding process, Jasa stakeholders, Jasa Marga categorizes its limited Marga has put in place a standard of business ethics engagement activities to four groups, namely that all parties must abide by. Furthermore, to empowerment, cooperation, consultation, and guarantee that the e-procurement process result is free communication.
2013 Sustainability Report 51 2013 Sustainability Various stakeholder engagement activities that are • An Annual General Meeting of Shareholders is Performance Overview regularly held by Jasa Marga include the General Meeting conducted once a year, while the Extraordinary General Meeting of Shareholders is carried out as Message from of Shareholders, publication of the Annual Report, The President administration of the Jasa Marga official website, Public required. Director Expose, Customer Satisfaction Survey, meetings of the Sustainability Labor Union, and many other meetings both formal and Indirect interaction is carried out through the delivery Performance, Awards and informal with representatives of stakeholders. of news or reports and services provided to the Certification in 2013 shareholders/investors, including: About This Report Through these regular events that engender an active • Delivery of periodic or special reports such as A primer on Jasa interaction with the stakeholders, Jasa Marga strives to the Financial Statements, Project Development Marga explain the efforts it has done in order to fulfill these Reports, and Traffic Volume Reports for every toll Sustainability stakeholders’ expectations as well as to provide a picture road managed. Governance on the hindrances encountered due to the limitation of • News bites or press releases regarding the Economic Growth Improvement the available resources. At the same time, the Company operational activities of the Company.
Environmental welcomes all kinds of input from stakeholders and • Share administration report. Responsibility considers them carefully to be addressed without going • Execution of resolutions on share distribution. Jasa Marga’s beyond the limits of its own capacity. • Customer Gathering. Human Resources Development • The Company also maintains its website at www.
Jasa Marga Cares A brief description on the active interaction between jasamarga.com as an outlet through which Jasa Marga and stakeholders in oder to maintain the interaction can take place any time. The objective Product Responsibility Company’s business sustainability is as follows. of this website is to maintain and improve the Company’s image, delivering the latest 1. Shareholders/Investors operational conditions accurately and the efforts Interaction with shareholders/investors is carried taken to understand and fulfill the expectations out by the Investor Relation Manager, by upholding of shareholders/investors. the principle of transparency in the provision of information. As a form of commitment to Perseroan juga telah membuka situs www. implementing the principle of transparency, Jasa jasamarga.com sebagai media interaksi selama Marga organizes a variety of events for shareholders/ 24 jam. Tujuan interaksi adalah menjaga da investors, involving both direct and indirect forms of memperbaiki citra Perseroan, menyampaikan interaction. kondisi operasional terkini secara akurat dan upaya yang telah dilakukan untuk memahami dan Direct interaction is conducted through a forum for memenuhi harapan para pemegang saham/investor. dialogue, that may take one of the following forms: • Site visit – a direct visitation by shareholders/ 2. Government/Regulator investors to project locations and facilities Jasa Marga as a State-Owned Enterprise always managed by Jasa Marga. maintains a positive interaction with the Government, • Non-deal roadshow – visitation by the both at central and regional levels, with a mission management of the Company to a forum “to make Jasa Marga a valuable asset for the nation, attended by fund managers on behalf of existing supporting the economic development and expediting investors as well as potential investors. the distribution of goods and services.” Therefore, • Conference call – communication conducted the Company maintains reciprocal interaction via telephone/multimedia channel with among others during the formulation of regulations shareholders/investors. The frequency of in transportation sector/construction of toll roads, conference calls is adjusted as required. conducts Partnership and Community Development • Investor gathering – meeting with shareholders Programs or Corporate Social Responsibility at certain occasions, such as the Company’s Programs, and fulfills all of its tax obligations, anniversary, official closure of a project, etc. The dividend payments, as well as participates in the frequency is adjusted as required. development of infrastructure and public facilities.
52 PT Jasa Marga (Persero) Tbk The Company welcomes direct site visits by 5. Customers representatives of the Government or any regulatory Customer satisfaction is the main benchmark in bodies to the locations of its site projects, as required. measuring the success of a business endeavor. As customer-oriented company, Jasa Marga is Jasa Marga also maintains an interaction with the committed at all times to providing the best level of Government as one of its shareholders, through the service based on the designated standards and to shareholders’ representatives (namely the Board of being consistent with its customers’ expectations. Commissioners) or through the related ministries. Jasa Marga strives to sustain its customers’ trust by As part of the Indonesia Stock Exchange, the engaging them in the following programs: Company also abides to all of the regulations c. Provision of traffic information to customers. prevailing in the capital market. d. Regular toll road maintenance and improvements. 3. Employees e. Access to customer service channels. A reciprocal interaction with employees is maintained f. Customers’ Gathering. as the Company is committed to sustaining the conducive environment in its workplace. This is 6. Creditors manifested in the execution of strategic human The large amount of funding required to construct resources management measures, as follows: a toll road and the long timeframe of return means a. • Enhancing employees’ competence that creditors play a strategic role in ensuring and grooming professional people for key that the Company’s business development and management/leadership positions. construction of new toll roads can take place. • Aligning the organizational structure according To maintain and improve the relationship with to the business development and optimizing the creditors in the long run, the Company conducts Human Resources Management System. the following events: • Implementing a performance-based incentive • Non-deal roadshows, as needed. system. • Conference-calls, as needed. • Conducting dialogue with the Labor Union in • Project visits, as needed. the formulation of the Collective Bargaining • Company Presentation, as needed. Agreement, as a benchmark for conducive industrial relations in the future. 7. Communities/Non-Governmental Organizations • Conducting regular meetings involving the Local communities who live nearby or adjacent employees and the management of the to the Company’s toll roads form a group of Company. stakeholders engaged by Jasa Marga. In order to maintain a positive interaction with these 4. Business Partners/Contractors (Vendors) communities, the Company fulfills its corporate Business partners or contractors or suppliers form a social responsibility through the Partnership and group of stakeholders that plays a strategic role as Community Development Programs, focused on part of the operations chain. Therefore, Jasa Marga’s developing the society’s financial potential as interaction with its contractors/suppliers is governed well as fulfilling the Company’s commitment to by the principle of professionalism. In order to improving their well being. maintain the long term continuity of the business partnership, Jasa Marga implements a number of 8. Mass Media requirements related to quality standards, health Jasa Marga intensively maintains communication and safety management system, and environment with mass media, which make up one of the management system. Company’s partners in delivering news on its operations and development to other stakeholders. The type of relationship that has ensued is one that is constructive and mutually
2013 Sustainability Report 53 2013 Sustainability beneficial: the media require materials for news, and on the other hand Jasa Marga relies on the media to Performance Overview share the information regarding its operations, achievements, and business agenda. For that purpose, Jasa
Message from Marga conducts a number of media events, namely: The President a. Press Release – announcement on the Company’s achievement and realization of plan, provided to the mass Director media without conducting a press conference. Sustainability b. Media Visit, Media Gathering & Press Conference – direct outlets for announcing news, followed by a Performance, Awards and questions-and-answers session. Certification in 2013 About This Report Both types of events are arranged as necessary. A primer on Jasa Marga 9. Competitors Sustainability In the toll road operations business, competitors have a largely positive image, as competition normally only Governance takes place during the tender phase prior to the development of toll roads. Once a toll road is operational, Economic Growth Improvement parties that previously have been competitors will become partners in maintaining the quality of service and
Environmental management. This may happen as toll roads often are integrated into a long section of a road connecting one Responsibility region with another. Jasa Marga’s Human Resources Development Positive interaction is maintained through regular meetings at both formal and informal meetings at the
Jasa Marga Cares Indonesia Toll Road Association forum.
Product Responsibility The entire set of efforts to maintain a positive interaction between the Company and all of the abovementioned stakeholders is again explicated in this report in various passages, categorized into different topics of interest. This interaction is also summarized in the table below.
Stakeholder Engagement Stakeholder Method of Engagement Frequency Stakeholder’s Expectations Customers • Customer complaint • As needed 1. Consistently excellent quality of toll roads. management • As needed 2. Safety and adequacy of equipment for toll • Customer service road users. center 3. Speedy assistance in time of emergency/ accident. 4. Level of service that goes beyond expectations. Shareholders and • GMS • time 1. Safeguarding and improvement of Investors • Investor road shows (minimum) investment value through increased business • Investor gathering • As needed performance. • Project visit • As needed 2. Fulfillment of shareholders’ rights, both the • Public Expose • As needed majority and the minority. 3. Information disclosure of substantial matters and clarity of business development direction. 4. Upholding of shareholders’ rights as per the laws and regulations and the articles of association of the Company. Employees • Through the SKJM • At least once 1. Clarity of rights and obligations. • Alignment of human a year or as 2. Provision of remuneration packages according capital organization needed to performance. • Regular training and 3. Equitability in career development and hearing remuneration. 4. Guarantee in workplace safety, health, and security. 5. Comfortability of the workplace.
54 PT Jasa Marga (Persero) Tbk Stakeholder Method of Engagement Frequency Stakeholder’s Expectations Government & Bipartite meetings 3. As needed 1. Constructive and harmonious relation with Regulators Parliamentary hearing 4. As needed regulators. Work Visits to Projects 5. As needed 2. Upholding of all laws by Jasa Marga and all of its employees. 3. Contribution to local communities. 4. Fulfillment of LKHPN regulations. 5. Regular reporting to regulators, including BPJT. Business Partners 1. Regular assessments At least once a 1. Fair and transparent procurement processes. (contractors, 2. Regular meetings year 2. Objective selection and evaluation in suppliers, vendors As needed determining contract winners for supply of and installers) goods/construction work. 3. Accurate yet simple procurement-related administrative procedures. 4. Timely payment of products and services procured. 5. Mutually beneficial growth. Creditors 1. Project visits 1. As needed 1. Clarity and certainty in business development 2. Conference calls 2. As needed plans. 3. Presentation of 3. As needed 2. Timely repayment of loans. Corporate Action Plan 3. Transparency regarding operational and financial condition. 4. Update of information regarding new tollroad segment development. Mass Media 1. Press releases 1. As needed 1. Akurasi objek pemberitaan. 2. Media gatherings 2. As needed 2. Penyampaian informasi terkini dan berita tepat 3. Press conferences 3. As needed waktu. 4. Media visits 3. Transparansi kondisi operasional dan keuangan Society/NGOs 1. Consensus in 1. As needed 1. Fostering of harmonious relation. planning 2. As needed 2. Minimization of impacts of tollroad 2. Common oversight 3. As needed development on the environment. of program 3. Participation in environmental conservation achievements efforts. 3. Philanthropic 4. Execution of reforestation and revegetation activities programs. 5. Positive contribution to economic, social, and environmental aspects of the local communities. Competitors Regular meetings As needed 1. Rule of law and land availability schedule. 2. Fairness in the tender process for tollroad segment projects. 3. Certainty and fairness in evaluation of the minimum fulfillment of service requirements for the consideration of regular fare increase. 4. Improvements to toll road conditions.
2013 Sustainability Report 55 Simpang Susun Taman Mini, Jagorawi.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
During the last few years, pay-out dividends ratio over shared dividends are about 40% to 60% of net profit during the year.
56 PT Jasa Marga (Persero) Tbk Economic Growth Improvement
Indonesia’s economic growth in the business climate and human resource Indonesian government realized last few years located at a moderate capability optimization in utilizing the importance of infrastructure level of 5-7%, with growth in 2013 and upgrading the owned resources. availability and have stated the of “only” 5,78%. Economic experts Masterplan of Indonesian Economic believe that the moderate level of Empirical condition shows that China Acceleration of Development, growth implies constraints which is able to record economic growth a development program with slow down the speed of economic with double digit number in just a purpose to accelerate basic growth, which is the infrastucture a few years, thanks to the massive infrastructure availability, covering: limitation. With the richness of infrastructure development. However road availability, harbors, airports, natural resources and the growing the economic growth of China power and telecommunication. number of population reaching 250 slowed down in the last 2 years to Overall infrastructure is believed million, majority on productive age, 7-8%, ever since the global economy to have a very important role in Indonesia has a lot of potential to became less supportive caused by stimulating Indonesia’s economic record an economic growth above the European financial crisis and growth. 7%. The requirements are sufficient double deficit in the US. infrastructure availability, supportive
2013 Sustainability Report 57 2013 Sustainability Performance Jalan Tol Bali Mandara. Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
DEVELOPMENT STRATEGY improve its exixtence in constructing and providing toll Jasa Marga as the biggest developer and toll road roads which connect every possible points with high operator in Indonesia realize the importance of Company economic potential. performance in supporting Indonesia’s economic growth, and intend to show its best performance, The intention Jasa Marga has owned a plan to develop two segments is displayed in the success of Jasa Marga in completing of its main business, which are the toll road segment and new toll roads constructions within the set timeline with integrated non-toll road segment. Non-toll road segment unquestionable quality. Some roads are even completed basically is a closely related business with operational and sooner than the set timeline, as shown on the contruction development of the toll road. of toll road over the sea, which is the Nusa Dua- Ngurah Rai-Benoa (Bali Mandara) Toll Road. With the accumulated For 2013 toll road segment, Jasa Marga has successfully experience and capabilities, Jasa Marga determines to add 2 more operational toll road, whch are Bali Mandara
58 PT Jasa Marga (Persero) Tbk toll road and North JORR W2 toll road at Kebun Jeruk- Jasa Marga is determined to build relationship and Ciledug section. Besides the two roads, the company cooperation with regulator party, Local Government, is currently constructing seven more roads with a total and other stakeholders, especially the community, in length of 211 km, including Bali Mandara and North JORR effort to resolve all issue. W2 toll roads which are completed. Some roads that are under construction are parts of the major plan realization, Development of non-toll road business which the trans-Java toll road completion connecting Merak, concentrates on Toll Road Maintenance Service, Toll Surabaya, to Banyuwangi. Road Operational Service, Land lease for ads and Rest and Service Area. Jasa Marga realize various effort to During the development of the new toll roads, Jasa Marga increase Other Revenue Stream from adding ad points creates a new sister entity with ownership majority, as to batching plan investment in order to strengthen follows. Toll Road maintenance service. The Company’s
Toll Roads Lenght Subsidiaries Ownership Bogor Outer Ring Road 11 PT Marga Sarana Jabar 55% Semarang-Solo 73 PT Trans Marga Jateng 60% Surabaya-Mojokerto 36 PT Marga Nujyasumo Agung 55% JORR W2 Utara 8 PT Marga Lingkar Jakarta 65.00% Gempol-Pasuruan 34 PT Trans Marga Jatim Pasuruan 96.39% Gempol-Pandaan 14 PT Jasamarga Pandaan Tol 66.48% Nusa Dua-Ngurah Rai-Benoa 10 PT Jasamarga Bali Tol 55.00% Cengkareng-Kunciran 14 PT Marga Kunciran Cengkareng 76.10% Kunciran-Serpong 11 PT Marga Trans Nusantara 60.00% Total 211
In order to ensure other toll roads’ completion, strategy is proven to be effective in increasing the Jasa Marga concentrates on the effort in realizing Other Revenue Stream, hence in the last five years land acquisition program on every road according Other Revenue Stream grow by ± 70,2%. to the set timeline. Jasa Marga expects on the implementation of the newest Land Regulation to result in significant positive impact, in form of ECONOMIC VALUE DISTRIBUTION (G4-EC1) certainty in land acquisition process, which has National economy recorded another positive growth been the major constraint in toll road development in 2013, which are mainly supported by domestic completion within a set timeline. consumption and resulted in the increase of the overall Indonesia’s welfare. Recent Indonesia’s Bruto per capita Completion of Bali Mandara toll road, which of Domestic product, according to the data from the completed even sooner than the plan shows that Jasa Statistic Agency reached Rp. 36, 5 million/person. With Marga is able to comply with the timeline, if there are the number, various of people’s demand will shift, with no issues regarding land acquisition process. the increasing need of recreation and cross-region travel. Indonesian in majority, not focused only on the To resolve land acquisition in order to duppoer fulfillment of basic needs. the development of the entire toll roads projects,
2013 Sustainability Report 59 2013 Sustainability The development has increased the number of cross- According to the AGM decision, in 2013 the total of paid Performance Overview region traffic from time to time, consistent with the dividends to the country as the main shareholder is Rp
Message from ownership of vehicles as proven on the growth of both 374,17 billion, while in 2012 is Rp 448,59 billion. The President the sales of two-wheeled and four-wheeled vehicles in Director the last few years. This resulted in the increase of vehicle Jasa Marga also carry a number of direct financial Sustainability volume using the toll road, and automatically increase contribution aside from dividends, which include the Performance, Awards and the income of Jasa Marga. It also result in the increase income taxes and property taxes to the country. The Certification in 2013 of the Company’s ability to contribute specially in the amount of state contribution of income taxes for 2013 is About This Report nation’s income through tax and dividends. At the same Rp. 686,97 billion, while in 2012 amounted to Rp 692,98 A primer on Jasa time, Jasa Marga also able to increase its contribution billion. Marga to the society’s welfare through the implementation of Sustainability community development activity as well as CSR activity. Thus the total contribution of Jasa Marga to the country Governance In general, this condition will also increase economic within 2013 amounted to Rp 1.061,14 billion, decreased Economic Growth Improvement value which could be enjoyed by the stakeholders. by 7,58% from the total of Rp 1.141,57 billion in year
Environmental 2012. As how it took place in the previous years, Jasa Responsibility This following Table of Economic Performance shows Marga does not directly accept support fund from the Jasa Marga’s increase in revenue, which enables Jasa Marga to state in implementing the entire operational activity. Human Resources Development contribute in distribution of economic value to the
Jasa Marga Cares stakeholders. It is clearly recorded on the table, the amount of economic value distributed to the Product Responsibility stakeholders, which includes work partner, employees, shareholders, creditors, government, and society.
Direct Economic Value Generated and Distributed (EC1) No Direct Economic Value (in millions of Rp) Per 31 December 2013
2013 2012 2011 I Direct Economic value generated a. Operating revenue 5.825,93 5.581,75 4.843,23 b. Other income 508,20 143,47 146,31 Total Direct Economic value generated 6.334,13 5.725,22 4.989,54 II Economic Value Distributed Operating costs 2561.87 1.978,21 1.806,56 Employee wages and benefits 1333.71 1.146,30 1.050,97 Payment to providers of capital 534.53 640,84 535,78 Payment to government 686.97 692,98 567,18 Total Economic Value Distributed 5117.08 4458.33 3960.49 Economic Value Retanied 1217.05 1266.89 1029.05
CONTRIBUTIONS TO THE NATION CONTRIBUTIONS TO THE LOCAL ECONOMIC GROWTH As one of State-Owned-Enterprise, Jasa Marga (G4-EC8) consistently contributes to the state in form of cash In addition to directly contributing to the country in dividends according to the country’s ownership form of dividends, income taxes and property taxes, percentage, which set aside from the operational profit Jasa Marga also plays major role in local economic during the current year and established in AGM. During growth particularly to the areas surrounding toll the last few years, pay-out dividends ratio over shared roads and certain areas which are close to the entry dividends are about 40% to 60% of net profit during the access of toll roads as well as areas which becomes the year. location of operational office and supporting office in nearby areas close to the toll roads owned by the Company.
60 PT Jasa Marga (Persero) Tbk Jalan Tol Surabaya - Gempol.
Development and establishment of toll roads access indirect impact from development and operational in one area will be able to attract investors to invest in activity of Jasa Marga toll roads. form of construction of new industrial areas, as well as new commercial areas which will develop with the Besides both the direct and indirect economic impact existence of residential houses, shopping centres, which are posed from the operational activity, Jasa hotels and other real sectors, which build a new Marga also realize activities which are targeted to economic area. The entire activity is supported by the stimulate economic activity growth which in the definite increase of population movement. The new end will possess positive impact on community economic area would impact positively for local areas welfare increase and encourage economic growth. in absorbing labor, local natural recources utilization The activities are the implementation of community and industrial raw materials, increase of local revenue development program as well as CSR activities which from retribution, local taxes, billboard advertising taxes, will be elaborated further. etc. The whole activities visualize both the direct and
2013 Sustainability Report 61 2013 Sustainability Performance Kekompakan dan kerja sama Overview dengan penyedia jasa.
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
PROMOTING GOOD RELATIONSHIP WITH In the fulfillment of product/services which are WORKING PARTNERS/CONTRACTORS/ conducted by the work partners/contractors, Jasa SUPPLIERS Marga implements basic principle of efficient, effective, Toll road construction involves various supply of open and competitive supply, which are transparent, materials and services with high intensity. Toll road not discriminative and accountable for the acievement operation will also involve a certain supply of products of the established and reliable target. To ensure the and services, both within routinal maintenance activity achievement of the target, Jasa Marga requires work and repair of the damaged infrastructure. To ensure partners qualification which are able to provide supplies the quality of constructed road, Jasa Marga builds both of products and services corresponding the quality short-term and long-term relationship with product and standards, good and professional service based on services suppliers. honest and mutual business ethics.
62 PT Jasa Marga (Persero) Tbk In accordance with guarantee of obtaining quality Jasa Marga attains various economic potential contractors and work partners, Jasa Marga applies a few development activities with one purpose, to upgrade stages of selection. To maintain cooperation contract the capabilities of small and medium business units quality which are conducted by the work partners in to grow and develop to be tough and independent supplying products and services, Jasa Marga evaluates businesses. The Partnership Program is part of the periodically to ensure the attainment of product and CSR and Partnership Program, which is a community service supplies and to ensure the conduct of certain job development program addressed to the the area execution contract with maintained quality, economical surrounding the Company’s operational area, with a final and timely. purpose to improve community welfare and to refine the country’s economy. During the execution of products and services supplies with substantioal value, Jasa Marga implements the Partnership program, as stated in the regulation, is a entire labor regulation, including labor time regulation, form of economic value distribution which is obtained work health and safety insurance and respect of human/ by setting aside the company profit. The program is the employee vendor rights in operational activity. The basic applied support of Jasa Marga for the attainment of human rights include, but not limited to, the regulation various targets as recorded in Millenium Development of underaged employee and forced labor. Those things Goals (MDG’s), which emphasizes on the importance of are important, in concern of construction project of toll global movement to alleviate poverty. roads are often worked in rural area with limited public access, which is potential of any action against human In accordance with the Government’s effort in rights. Jasa Marga requires existence of periodic clause minimizing national poverty as recorded in the MDG, check at certain events to guarantee work partners/ Jasa Marga carry out fund distribution of Partnership contractors/suppliers’ obedience to the entire regulation. Program in form of: 1. Capital Loan with easy requirement for business Jasa Marga consistently conduct periodic evaluation development purposes. of work partners/contractors/suppliers’ performances Capital loan for development partners which are to make certain of quality long term cooperation. With done with maximum of 3 years loan with 3% of the support of e-procurement system, in year 2013, administration fee. The amount of administration Jasa Marga re-evaluate periodically the entire working service is consistent with the SOE Ministry partners listed in vendor database. Regulation No.05/MBU/2007 about SOE Partnership Program with Small Business Unit and Community Development Program. PARTNERSHIP PROGRAM (G4-SO1) 2. Distribution of development fund grant. Toll road construction generally will be followed by Distributed in form of entrepreneurship, subtantial economic activity growth and development educational and training mentoring and supporting in areas near to the location of toll road access/entry/exit grant for promotional/marketing activities for small gate. To stimulate growth and development of economic and medium business. activity in the society across toll roads area, and to create favorable relationship with the surrounding community, Jasa Marga carries out community development program, through the Partnership Program.
2013 Sustainability Report 63 2013 Sustainability As for the general rule applied by Jasa Marga as In 2013 the SOE Ministry has established a regulation Performance Overview requirement to be development partner are as follows: regarding the Partnership Program, according
Message from 1. Owns wealth maximumof Rp 200 million excluding to the letter No. S-92/D5.MBU/2013 regarding The President land and buildings; Partnership Program Management and Environmental Director 2. Owns masximum omzet of Rp 1 Billion per year. Development. The regulation states: Sustainability a. Starting from 2013, profit allocation for Partnership Performance, Awards and Jasa Marga realize the fund distribution through three Program is eliminated, on the other hand the Certification in 2013 basic model, which are: running Partnership Program is to be continued to About This Report 1. Direct distribution by the Company run, however, the activity of new loan allocation A primer on Jasa 2. Partnership distribution by the SOE is eliminated, only the billing activities and Marga 3. Partnership distribution by a competent and Partnership’s monitoring is to be continued. Sustainability integrity third party. b. The current conduct of Partnership Program which Governance is consistent woth SOE Ministry Policy, will be Economic Growth Improvement To guarantee the improvement of entrepreneurship handed over to the selected SOE chosen by the
Environmental capabilities, improvement of economy and partnership Minister. Responsibility development welfare, Jasa Marga conducts various Jasa Marga’s development programs to the development partners, According to the SOE Ministry regulation in 2013, Jasa Human Resources Development which covers: production technique training, financial Marga does not allocate funds to the new Partnership
Jasa Marga Cares management training, English and Marketing, and to Program, which result in implementation position as engage them in local exhibitions, both national and follows: Product Responsibility international. Partnership Rogram Realization In addition to development activities, Jasa Marga also Description Period Realization supports in the market establishment of the partners Report through the engagement in various exhibition events 2011 2012 2013 and partners’ products promotion, which are: Distributed 47,219,000,000 48,069,500,000 - Development Partners’ Products Exhibition: Funds 1. To facilitate the participation of partners to involve Partners 4,723 4,994 - in various exhibition events both domestic and international. In accordance to the SOE Ministry regulation, in 2013 2. Development Partners’ Product Promotion. Jasa Marga also has stopped the implementation 3. Products promotion through the distribution of of development program as well as Partnership product profiles and product samples delivery to Development promotion. product galleries as well as distribution of news regarding the related activities of partners in various medias.
64 PT Jasa Marga (Persero) Tbk Rumah Kaca, salah satu media mempercepat proses pembuatan Manisan. Suhu maksimal 55o C
Satria Confectionery, Growing Together with Toll Road Developments
Facilitated by Industry and Trade Division of Cirebon, Tabroni, the owner of Satria Confectionery (Manisan) small business unit receive the business development credit in the Partnership Program Event in 2009, with amount of Rp 10 million. With the supported capital, Tabroni’s business develops. The production expanded from 20kg/month to more than 80kg/month, which resulted in the inceare of omzet from Rp6.000.000/month to Rp20.000.000/month. The growth enables Tabroni to employ labors from his community about 15 to 20 people, since registered as development partner of Palikanci Branch of Jasa Marga.
In 2012 Jasa Marga increased the loan fund to Rp40 million, which then be used to build a candy dried fruit installation. Jasa Marga also supports the proram with basic management training program and market establishment through the engagement in various exhibition events. Since their participation in the partnership program as managed by Jasa Marga CSR unit, “Manisan Satria” products continue to be widely known. The completion of green house installation resulted in the increase of production to the amount of 100 kg/month, with various choices of candied fruit, including: nutmeg candy, mango, kedondong, candied rosella, candied starfruit, candied tomato and candied ginger. If we are to do a culinary travel in Cirebon area, we will find the candied products sold in local souvenir shops.
From this business, Tabroni has succeeded in raising his children until they obtain graduate degrees. Accompanied by his loyal wife (Tueni/ 52 years old) Tabroni still store a sincere dream to expand his small business to be a national scaled business, which needs to be supported by all competent parties, especially Palikanci branch of Jasa Marga.
In his late age, Tabroni still live on his dream to actively participate in national-scaled exhibitions just like the previous years to be able to introduce his products, and to expand his marketing area, in accordance with the development of toll roads which will support the economic growth of all stakeholders surrounding the development.
Laporan2013 Sustainability Keberlanjutan Report 2013 65 2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
In some cases, Jasa Marga have to create climate effect mitigation steps by building additional construction to prevent damage on the maintained toll road, even conducting basic repair to the defect caused by the extreme weather change.
66 PT Jasa Marga (Persero) Tbk Environmental Responsibility
Recent rapid climate change has Regarding transportation activity, To restore travel condition where increased the awareness of the travel condition and vehicle traffic jams result in the high level of society. Experts’ research shows the condition become the main CO2 emission, developed countries particular condition is triggered by cause of CO2 emission released generally equip transportation the disturbance in the atmosphere to the atmosphere. In response facilities with integrated toll roads, caused by carbondioxide emission to the condition, some of the in addition to variety provision of and greenhouse emission world’s biggest transformation transport means, such as electric (particularly CO2, methan, freon, tools producer countries, such train which connects inner and and the like) as the result of human as Japan, US, and Germany, have outer suburbs. The effort, however, activities. Some of human activities introduced transportations that is not enough to substantially that are considered as the major are environmentally friendly. These decrease the emission level. cause of the condition are industrial major industrial countries have activities (particularly Coal Power applied technologies which enable Global-scale movement and Plant), transportation activities and the combination of electricity and cooperation are much needed to household activities (cooking). fuel in generators, with lowered encourage the entire components emission level. of the society to maintain the
2013 Sustainability Report 67 2013 Sustainability earth’s sustainability. Various actions in global scale have been conducted, for example the implementation of Performance Overview Kyoto Protocol and others that are expected to initiate parties to participate in the improvement of environmental
Message from condition in each region for the better future. The President Director
Sustainability GREENHOUSE EMISSION FROM BUSINESS ACTIVITIES OF JASA MARGA Performance, Awards and The main activities of Jasa Marga is to construct and maintain toll roads as part of comprehensive infrastructure Certification in 2013 to support the efficiency of transportation activities. With the toll roads construction, transportation activities are About This Report expected to be more timely and effective, therefore CO2 emission could be lowered, compared to the condition of A primer on Jasa transportation process in the event of traffic density or traffic jam. Marga
Sustainability Construction and maintenance of the toll road do not include the preparation process, therefore CO2 emission Governance originate only from transporting construction materials and supervision purposes, as well as road maintenance Economic Growth Improvement and administration activities. Those activities are powered by electricity to illuminate office buildings and other
Environmental structures, the use of fuel for office vehicles, the use of paper for various purposes as well as the use of refrigerant for Responsibility room conditioning. Jasa Marga’s Human Resources Development However toll road construction will result in limited areal surface change, which on several lanes have harmed local
Jasa Marga Cares floral habitat, and therefore decreases CO2 absorption in the area.
Product Responsibility IMPACT AND POTENTIAL OF CLIMATE CHANGE TO BUSINESS ACTIVITIES OF JASA MARGA (G4-EC2) Extreme weather condition affect operational activities of Jasa Marga, in terms of road structure damage caused by flood and landslide which disturb the traffic of maintained toll road. In some cases, Jasa Marga have to create climate effect mitigation steps by building additional construction to prevent damage on the maintained toll road, even conducting basic repair to the defect caused by the extreme weather change. The following table shows the impact of weather change to toll road condition.
68 PT Jasa Marga (Persero) Tbk Lane Handling Notes
CTC Long storage normalization KM 20+600B Flood Handling
Submersible Pump Replacement
River and Cross Drain Normalization
Installation of clean water filter at Toll Gate Kamal 2 and Kamal 3 Clean Water
JLJ Channel, main hole and cross drain normalization Flood Handling
Jagorawi Gardening and greening across Jagorawi lane Reforestation
Jakarta - Toll road reforestation Reforestation Cikampek
Jakarta - Channel normalization and improvement of channel quality Flood Handling Tangerang Greening, reforestation and gardening located at KM 08+200 to KM 26+100 Reforestation A/B
Palikanci Tree Planting KM 209 s/d 221 Reforestation
Tree Planting KM 223 s/d 232
Channel normalization and stone mounting at KM 207 s/d 225 Flood Handling
Purbaleunyi Construction, Normalization, restoration of side drainage Flood Handling
Drainage Arrangement Studies
Padaleunyi and Cipularang lane reforestation Reforestation
Surabaya Reforestation of Rumija Toll Road year 2013 Reforestation
Side drainage normalization project Flood Handling
Semarang Drainage normalization KM 07+2008, Jangli Ramp Flood Handling
In addition to the effect towards the operational The increase of demand caused Jasa Marga to activities, such condition also is an opportunity of be consistent in realizing toll road development business growth for Jasa Marga. The demand for road investment, to encourage increase of nation’s economic facilities enables the transportation activity to be and construction growth. conducted rapidly, reliable and efficient which only create greater demand for toll road construction. With improved road quality and relatively free from rainy ENVIRONMENTAL TRANSFORMATION, puddle as well as intersection plot, toll road guarantee PARTICIPATION OF JASA MARGA IN transportation timeliness. Timeliness and smooth travel CONSERVING THE ENVIRONMENT quality also create efficiency fuel, better combustion Real commitment form of Jasa Marga in environment process and lower CO2 emission. preservation and participation in greenhouse mitigation are environmental transformation within Economic progress result in an increase of cross-region the entire company management activity. To ensure transport demand, therefore the growth of cross- the ongoing activity towards environment-friendly region traffic and transportation also follows, which operation, Jasa Marga Management implements result in demand for more toll road construction. Directors’ Decree No.165/KPTS/2013 dated December Empirical studies show that countries with sufficient 10, 2013 with reference to “Guide to Environment infrastructure support, including toll road networking, Management System in Company and Sister Company could record high economic growth, with high level of Area of PT Jasa Marga (Persero) Tbk”. Implementation of economic competitiveness. the Directors’ Decree is expected to:
2013 Sustainability Report 69 2013 Sustainability 1. Prevent environmental damage and/or corruption around the Company’s operation, Performance Overview 2. Maintain cleanliness and preservation of environmental function
Message from 3. Compliance of statutory provisions, Government Regulation, Ministerial Decree and Local Regulation in The President Environmental Field. Director
Sustainability While the targets are: Performance, Awards and 1. Creation of green environment, healthy, hygiene, beautiful and with good quality in the Company’s operational Certification in 2013 area, About This Report 2. Fulfillment of the ecosystem in the Company’s operational area, A primer on Jasa 3. Achievement of customer and stakeholder’s satisfaction. Marga
Sustainability To ensure the development of the environmental management into a new culture of discipline, Jasa Marga has set Governance up an Environment Management Road Map System, which covers the implementation of various activities related to Economic Growth Improvement the environment which takes event between 2013-2017, as follows.
Environmental Responsibility
Jasa Marga’s ENVIRONMENTAL MANAGEMENT SYSTEM (EMS) ROADMAP Human Resources Development The priority of the EMS program is the creation of a disciplined culture that upholds cleanliness, greenness, and Jasa Marga Cares healthfulness.
Product Responsibility CULTURE HABIT Discipline • EMS becomes a AWARENESS • EMS becomes a necessity of the FRAMEWORK necessity of the Company, its • EMS Company, its employees, and implementation • Management/ employees, and is acted upon • Formulation of according to the Employees aware is acted upon critically and fully Policies, Guidelines regulations with of their obligation critically and fully responsibly and Regulations supervision to abide by the responsibly laws, regulations, • Formulation of • Quick and accurate and EMS concept Organization reporting • Formulation of • Review of policies Procedures and Work Instructions (form) • Re-identification of environment • Systems AIMS • Periodic audit enhancement program • Periodic audit • Promulgation • Reward and program • Program • EMS program punishment • Periodic inspection development kick-off • Comprehensive • Reward and • Trial run • Formulation of and timely punishment • Preparation of training manual reporting • Comprehensive human resources and procedures • Periodic inspection and timely with EMS • Team formation • Consistent reporting Preparation for Implementation for Preparation competence • Environmental awareness and • Periodic inspection • Benchmarking identification promulgation program program • ISO 14000 • Maximization of certification EMS competence • Prevention and reidentification of environment • Monitoring and evaluation • SML enhancement • ISO 14000 certification
2013 2014 2015 2016 2017
70 PT Jasa Marga (Persero) Tbk The scope of environmental management maintenance which are applied on the road map includes: 1. Establishment of Supervisory Regulation and Air Pollution Management, Noise and Reforestation in the area of the Company. 2. Establishment of Dump Management Regulation in the Company’s area with reuse, reduce, recycle (3R) pattern. 3. Establishment of Hazardous and Toxic Waste Management Regulation in the Company’s area. 4. Establishment of Drainage Supervisory and Management System in the Company’s area. 5. Establishment of EIA Planning and Control Regulation at Toll Roads Projects.
As for the operational policy which is implemented in order to improve environmental quality, the decisions are as follows: 1. Energy reduction from the use of new technology which could reduce energy consumption in the Company. 2. The replacement of products to eco product (environment-friendly products) 3. Inventory of the number of trees which are to be re-planted on every construction project. 4. Re-planting as the consequence of the cutting of trees that are needed to be done.
MANAGING AND MONITORINING THE ENVIRONMENT FOR SUSTAINABILITY Jasa Marga conducts Management and Monitoring of Environment as a form of company’s commitment to preserve the environment. The implementation of the program can be adjusted according to the result of environment management recommendation document (EIA or Environmental Management Effort- Environmental Monitoring Effort)on every toll road construction project which always begin with EIA or Environmental Management Effort- Environmental Monitoring Effort.
The impact on the toll road construction project in general are relatively limited to road lane, according to criteria of quality standard parameters as stated by the Decree of Environment, Environmental Impact and other related government regulations.
Environmental Condition Monitoring According to the stipulation on EIA document as well as Environmental Management Effort- Environmental Monitoring Effort, Jasa Marga is monitoring over: 1. water quality, 2. air quality/emission
The monitoring result shows that in every main operational area, the measured parameter has always been under the provision of environmental quality standards and established according to the rules. This measuring process is a form of monitoring against environmental quality. The source of air emission based on the monitoring result originate from the toll road transpotations’ burning fuel. The result from emission monitoring of the surrounding area of the managed toll road lane are as follows.
Greenhouse Emission and Air Emission Level Monitoring Result Monitoring Toll Road CO SO2 NO2 HC Pb O3 Debu Points ng/nm3 Jakarta-Cikampek 46 10,791.25 112.58 64.30 87.21 0.24 28.23 138.48 ng/nm3 Palikanci 10 8,450.50 <17,15 <10 na 0.082 16.42 67.20 ppm/mg3 Surabaya Gempol 16 0.83 0.010375 0.005125 na 0.005625 0.000625 0.1160625 ng/nm3 Belmera 5 4800.40 212.60 96.42 102.30 0.28 133.00 55.42 ng/nm3 Jakarta-Tangerang 5 4907.60 45.88 40.56 130.80 0.13 34.03 291.60 ng/nm3 Semarang 16 8445.50 2.30 1.31 na 0.08 0.25 349.08 ng/nm3 Jagorawi 24 3353.58 295.21 150.04 125.25 0.12 3353.58 204.79 ng/nm3 Dalam Kota /CTC 32 4631.47 343.69 179.84 126.13 0.25 81.53 263.91 ng/nm3 Purbaleunyi 800.64 28.28 83.11 na 1.18 na 132.32
2013 Sustainability Report 71 2013 Sustainability Apart from monitoring emission on operational area, Jasa Marga also manage a few other operational parameters, Performance Overview which covers: material use, energy use, water conservation as well as waste management.
Message from The President Material Usage (G4-EN1, G4-EN2) Director Majority of the materials are only used as road and foundation construction materials, where there is minimal Sustainability preparation process involved. As form of participation in environmental conservation activity, Jasa Marga Performance, Awards and applies a series of steps which enable the reduction of natural source and encourage the use of recycled Certification in 2013 materials. Main materials are generally used in road and foundation construction process, while the leftover About This Report residue from toll road maintenance are generally used in improvement of roads around the toll road. A primer on Jasa Marga The main materials for construction and improvement of toll road and the facilities consist of aggregate, Sustainability asphalt, sand, cement, as well as other materials, and not one is considered as Hazard and Toxic Material. As for Governance the recapitulation of materials used in the year 2013 includes: Economic Growth Improvement
Environmental List of Material Usage Responsibility Material Satuan Jumlah Jasa Marga’s Human Resources Asphalt ton 36,368.79 Development Asphalt Cement ton 6,288.42 Jasa Marga Cares Cement ton 4,501.53 Product Responsibility Concrete m3 252,234.04
Stone/Gravel m3 17,446.81
Periodic improvement of toll road construction operational activity produces residue, used asphalt to be one of the product. This residue usually is not to be recycled but directly utilized as road construction material around the toll road which is being constructed.
Energy Cosumption and Reduction (G4-EN3, G4-EN6, G4-EN16, G4-EN19) Jasa Marga consume energy directly as well as indirectly for operational activity. Direct energy which used in operational activity is in form of fossil fuel, which are diesel and gasoline, the primary energy source in toll road material transporting. Both types of energy source has been used as operational transportation energy source, while diesel is used for both diesel generator and operational transportation. The recapitulation of primary energy source consumption in year 2013 is as follows:
Energy Source Units 2013 2012
Diesel Oil liter 1.146.516 1.895.555
Gasoline liter 168.621 486.393
Gasoline liter 1.278.208 567.955
Dex liter 293.971 -
Total liter 2.887.315 2.949.903
72 PT Jasa Marga (Persero) Tbk On the other hand, the calculation of energy conversion used and CO2 emission released from the use of primary source of energy is as follows.
Total of energy direct consumption and direct CO2 emission (G4-EN15) Energy Source Coversion Unit 2013 2012 Diesel GJ 128,1 211,75 Gasoline GJ 166,4 78,01 Gasoline GJ 106,5 47,34 Dex 22,9 Total GJ 401,1 337,10
Energy Source CO2 Emisi Conversion 2013 2012
Diesel kg eq CO2 3.059.019,3 5.057.530,3
Gasoline kg eq CO2 409.142,0 118.017,7
Gasoline kg eq CO2 2.870.216,1 1.275.343,0
Dex kg eq CO2 623.470,4 -
Total CO2 Emission kg eq CO2 6.961.847,0 6.450.890,9
Indirect Energy which is used in operational activities covers the electricity usage for headquarter, branch offices, toll gate lighting, and operational facilities lighting necessities. Electricity power supplied both by PLN and the company’s power plant (using diesel fuel).
Total consumption of electricity supplied by PLN during 2013 reach to 48.708,9 MWh or 175.352,1 gigajoule, while total of electricity consumption during 2012 is 43.938,0 Kwh or equivalent to 158.169,8 gigajoule.
Remarks Units 2013 2012
Electricity Usage supplied Kwh 48,708,924 .0 43,936,048.5 from the State Electicity Company GJ 175,352.1 158,169.8
In the event of reducing electricity power consumption level for operational necessities and as an implementation of environmentally-friendly operation policy, Jasa Marga applies steps of indirect energy efficiency, which include. 1. Replacement of lightings with energy saving LED type lamp. 2. Turning off unused room lighting. 3. Applying Air Conditioning settings as needed and according to the set rules and to implement the energy saving Air Conditioner replacement program. 4. Use of Solar Cell for public road lighting.
Jasa Marga also pioneers the use of renewable energy sources, which is solar power by using solar cell technology application, as energy source of lighting for a number of highways outside the city. The use of solar cell also purposed to overcome the scarcity of power supply in areas that are economically unreachable by PLN. Therefore these locations which have high risk of accidents could receive lighting during the night.
2013 Sustainability Report 73 2013 Sustainability Performance PJU solar cell. Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
Lanes of Jasa Marga toll roads have now utilize 3. Prof. Dr. Soedyatmo toll road, which has been alternative power source (solar cell) for the lightings. equipped with Solar Power LED lighting, total to These lanes are: 827 lamp posts (115 posts in 2012) 1. Cipularang toll road (Cikampek–Purwakarta– 4. Semarang toll road owns 15 posts, Cikampek Padalarang), as a pilot project. Number of installed Jakarta has 63 posts and Gempol Surabaya has 66 road lighting up to this point have reached 661 posts. posts. (190 posts in 2013) 2. Cawang- Tomang-Cengkareng toll road, as fas as 38 KM. Total of lamp post installed along the road is 3.484 lamp posts (1.506 posts in 2012), operated since May 2012.
74 PT Jasa Marga (Persero) Tbk Total Amount of PJU solar Cell and LED at Jasa Marga Operated Toll Roads Toll Roads LED Bulbs Solar Cell Bulbs Jagorawi 339 Dalam Kota-Bandara 0 3484 Jakarta-Tangerang 0 827 Jakarta-Cikampek 382 63 JLJ 540 0 Purbaleunyi 0 661 Palikanci 120 0 Semarang 0 15 Surabaya-Gempol 740 66 Belmera n.a
These efforts has brought Jasa Marga to reduce the Jasa Marga also make serious effort in decreasing the amount of indirect energy consumption. Total of energy use of chemical emission which could harm ozone layer consumption saving which is the result of the positive (ozone depleting substances/ODS), specifically to objectify policy reach to 3.288 KWh/month during 2012, or total refrigerant replacement on air conditioning system with amount of 39.458 KWh, equal to a decrease of emission environmentally friendly product. with total to 26.900,5 Kg eq CO2. Other effort implemented to decrease CO2 level in the In 2013, total of indirect energy saving from solar cell atmosphere is by carrying out reforestation activities on application for street lighting are 88.015,1 KWh/month or particular areas at toll roads as well as the headquarter, total to 1.056.181,5 KWh a year, which the number equal branch offices and business units. to a decrease of emission to 720.051,7 kg eq CO2. Water Management Greenhouse Emission Reduction Jasa Marga utilize water to the extent of office In addition to the reduction of indirect emissions household needs within the entire unit, including through the use of electricity savings as mentioned headquarter, branch offices, as well as operational unit. above, Jasa Marga seeks to reduce CO2 gas emission The water usually sourced from the wells and PDAM. and other greenhouse elements by implementing the policy established by SOE Minister in order to use Ground water sourcing at the headquarter as well as non-subsidized fuel with higher octane level. The use branch offices/ operational units which has not been of higher level of octane is a form of CO2 emission reached by the water company (PDAM) always in reduction initiative which released from motor vehicle, accord with the quantity limit as established by the since the released emission fron the particular fuel is policy. environment friendly. Jasa Marga implements simple Waste Management In addition to the policy, the Company also implement Installation (WMI) as a method to reuse the entire other policies in relation to pollution and greenhouse volume of the water. The outcome of the water effect control, including: reusal utilized for limited purposes only, such as for 1. Correction of gas waste emission operational vehicle washing and for plant watering, 2. Energy saving efficiency and the rest is channeled to the common stream which 3. Development and utilization of environment connected to the nearest water pool. friendly alternative energy
2013 Sustainability Report 75 2013 Sustainability To support ground water conservation, Jasa Marga In order to restore environment condition and maintain Performance Overview utilize open space around the headquarter building, cleanliness within toll road management area, Jasa
Message from branch offices and operational units as watersheds. At Marga implement waste cleanup program across toll The President particular areas which are established as watersheds, road corridor. Director the Company creates biopores as water infiltration Sustainability media to relatively maintain the water ground surface. Toll road waste management action according to the Performance, Awards and Operational Director Letter No. 18/SE-DIR/2011 dated Certification in 2013 Meanwhile, to ensure stability and security of toll November 30, 2011 in order to maintain environmental About This Report road from ground water concentration under the hygiene along the toll road which includes waste A primer on Jasa toll road construction, Jasa Marga conduct a routinal management caused by littering on toll road/toll gate/ Marga pumping of ground water from toll road pile at certain toll gate office/branch office/sister company office. Sustainability areas of the managed toll road lanes. The Company Governance utilize the ground water waste to be distributed to In general, these wastes are organic waste, which are Economic Growth Improvement the surrounding community, which is allocated for processed to become compost fertilizer in collaboration
Environmental individual hygiene, as well as constructing hygiene with the capable party. While anorganic waste, such as Responsibility facilities including bathrooms for communities in the plastic packaging, paper and others are processed as Jasa Marga’s areas near the toll road. recycle goods by the third party. Human Resources Development
Jasa Marga Cares Waste Management Administrative activity within toll road management, REFORESTATION FOR CO2 ABSORPTION AND Product Responsibility also require routine supply of paper. Jasa Marga has a AREAL CONSERVATION policy to always treat paper waste, including toll tickets Jasa Marga implements reforestation program around paper, as recycling material for future paper processing. operational area and toll road construction project In one month, out of the entire activities in branch area, as part of CO2 emission reduction. Reforestation offices of Jasa Marga which require a lot of paper, is done along the road, in certain areas on toll road around 80% of the waste become recycle waste. Jasa located on hillside which own great potential for Marga build relationship ans cooperation with other landslide and harm construction security of the road. competent parties to manage the paper waste to be Which beside the CO2 absorption, reforestation also recycled. beneficial to strengthen soil structure, and at the same time considered as natural diversity conservation. As for the other materials which are not usable for Jasa Marga but considered able to be recycled, Jasa Marga Therefore the Company choose a certain type of plants hand over the management to a more capable party. which has good ability to absorp CO2 but would not Handling of the unused materials, such as used heavy harm road-user security in the reforestation process. equipments, toll road used construction tools and The chosen plants for reforestation in toll roads are waste paper basically done in three ways, which are durable plants with strong branches and ornamental sales, giveaway and extermination. plants with minimum requirement of maintenance.
76 PT Jasa Marga (Persero) Tbk Jasa Marga “save mangrove” Jalan Tol Bali Mandara.
Durable plants chosen for toll road reforestation include In 2013, Jasa Marga has conducted the planting of Trambesi tree, Mahogany, Gladogan Tiang, Bintaro, and 75.833 trees. The number decrease by 53% out of Teak. Trambesi or the Rain Tree sould absorp 28 tonnes 161.000 trees planted in year 2012. The decrease is of carbondioxide (CO2) per year, therefore beneficial to caused merely by the limitation of areal surrounding the control and reduction of CO2 emission. the toll road.
2013 Sustainability Report 77 2013 Sustainability Tree Planting Distributon at Toll Roads, 2012-2013 Performance Overview Branch / Amount of Tree Tree Species Planting Location Toll Road Message from 2013 2012 The President Director Jagorawi 6.600 17.886 Trembesi/Mahoni, Bintaro, Cemara Norfolk, Spread throughout Sustainability Palm Sadeng, Palm Putri, Hanjuang Besi, Casia Rumija Tol Jakarta- Performance, Glauca, Kembang Merak, Oliander, Kembang Bogor-Ciawi Awards and Kupu-Kupu, Spatodea, Kamboja, Pisang Certification in 2013 Kipas, Ficus Hili Limelight, Agave, Pucuk About This Report Merah, Oliender, Stpertya, Bougenville Pagar/ Bonggol A primer on Jasa Marga Jakarta - 15.601 20.182 Mahoni, Bintaro, Salam, Bungur, Jabon, Kayu Spread throughout Sustainability Cikampek Putih, Johar Kuning, Pule, Sawo Kecik, Rumija Tol Jakarta- Governance Kaya, Trembesi, Nyamplung, Kelapa Sawit, Cikampek Economic Growth Bougenville dan tanaman hias Improvement Cawang- Tomang- - 13.996 Bintaro, Trembesi, Palm Sadeng Chinensis, Spread throughout Environmental Cengkareng Palm Putri, Cemara Lilin, Tanjung, Dadap Rumija Tol Cawang- Responsibility Merah, Oleander, Bunga Kupu-Kupu, Ficus Tomang-Cengkareng Jasa Marga’s Hili Limelight, Andong Laut, Bougenville Human Resources Pagaran, Calathea, Agave, Aralia, Sambang Development Darah, Thevetia. Jasa Marga Cares Semarang 2.342 2.719 Mahoni, Trembesi, Tanjung, Jabon, Spreaded throughout Product Bougenvile, Rambutan, Dadap Merah, Bintaro, Semarang Toll Road Responsibility Sengon, Jati Kebon
Belmera 400 3.000 Pucuk Merah Spreaded throughout Belmera Toll Road
Surabaya- 12.159 14.013 Spatudea, Mahoni, Glodogan Tiang Spread throughout Gempol Surabaya-Gempol Toll Road
Jakarta- 7.000 23.223 Mahoni, Dadap Merah, Bungur, Jati Mas, Spread throughout Tangerang Kamboja Kuning, Kol Banda, Song of India, Jakarta – Tangerang Palem Waregu, Palem Kuning, Bougenville, Toll Road Kembang Merak, Pucuk Merah, Oliender, Yuka, Palem Phoenix, Euphorbia, Sansiviera, Agave Putih, Agave Hijau, Nanas Merah, Pandan Kuning, Soka Santan, Kana
Purbaleunyi 27.851 61.592 Kembang Merak, Kayu Kenari, Akasia Spread throughout Mangium, Trembesi, Dadap, Glodokan, Cipularang – Sawit, Spathodea, Oliander, Bougenville, Padaleunyi Toll Road Ketapang, Akasia Bunga Kuning, Kaya, Kenari, Tabebuya
Palikanci 3.880 4.714 Mahoni, Akasia, Bungur, Ketapang, Trembesi, Spread throughout Angsana dan Mangga Palikanci Toll Road
Total 75.833 161.325
78 PT Jasa Marga (Persero) Tbk As part of natural diversity conservation at certain The various activity shows commitment of Jasa areas, such as Nusa Dua- Ngurah Rai- Benoa, Bali toll Marga in natural conservation and encourage the road area, Jasa Marga implements the planting of awareness to the people in the importance of clean and 10.000 mangroves at the coast which directly connects everlasting environment for this life as well as for the to the toll road. This effort is expected to help in the future generation. restoration and wuality improvement of coastal area, as spawning ang hatching places of marine life such as fishes, crabs, shrimps, and so forth. TOLL ROAD CONSTRUCTION IMPACT MITIGATION AGAINST THE ENVIRONMENT As top developer company and toll road operator in NATURAL CONSERVATION BY THE Indonesia, Jasa Marga always conduct EIA before the ENVIRONMENTAL DEVELOPMENT PROGRAM construction of new toll road. This is in accordance Besides operational activity, Jasa Marga also shows with Government Regulation No. 27 of 1999 on commitment to natural conservation through Environmental Impact Assessment. EIA conducted start Environmental Development Program. Conservation from pre construction, construction process until the activities through this program are education, operation day of toll road. This is a compulsory process participation, and sponsorship with aim to develop to ensure that the toll road constructed would not awareness of the society, particularly the community result in environmental damage. living in toll road area, about the importance of natural conservation for the present life as well as for future In the planning of toll road EIA, Jasa Marga always generation. involve the entire related stakeholders, including people residing around the project area and whoever Total of organized funds for natural conservation potentially affected by the toll road construction. activity in order to implement Environmental Factors such as balance of ecology, nature diversity and Development in the year 2013 reach to Rp 1,40 billion, climate change are only a few factors in determining with a series of activity covering: the toll road construction. 1. Planting of 15,000 productive trees (sukun, mango, and Binjai rambutan) in areas surrounding There are no toll roads that intersect areas with highly the toll road in the entire branch of Jasa Marga protected natural diversity except the ones owned by and Sister Company (PT JLJ). PT Jasa Marga Bali Tol (Sister Company) Jasa Marga. 2. Mangrove tree planting program in the bay area of Bali Mandara toll road. 3. Plant sharing program for reforestation with total to 1.400 tree stumps to the people living around Jagorawi toll road area.
2013 Sustainability Report 79 Achievement Motivation Training.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
Jasa Marga has established the career pathway for the Future Leader development program. The training program is focused on each career level.
80 PT Jasa Marga (Persero) Tbk Jasa Marga’s Human Resources Development
ROLE AND POSITION OF JASA Therefore, Human Resources has In order to fulfill the changes in the MARGA PERSONNEL now become the subject, Human Human Resources development To support the achievement of the Capital (HC), i.e. work partners that pattern and program, Jasa Marga Company’s Vision and Mission, in 2013 play an important in creating profit, continues to rely on the results of Jasa Marga set up a transformation in people’s welfare, and environmental an intensive communication as well the organization and management conservation proportionally. Thus, as place the understanding and of its Human Resources through the the employee acts as a partner expectations of its Human Resources development of the Human Resources as in increasing the Company’s as a stakeholder in its planning. Jasa System, which is integrated with performance (partner in profit), a Marga understands that the main the purpose of increasing employee partner in carrying out operational expectations of Human Resources efficiency and productivity as well as tasks (partner in responsibility), and as a stakeholder include: conducive preparing talented leaders for the future. a partner in improving productivity working environment, clearly (partner in production). To this end, the defined career path and performance Jasa Marga currently views its current and future Human Resources evaluation, performance-based Human Resources as one of the management shall be adjusted with remuneration and assurance on their stakeholders that have a strategic the framework and strategic position well being. role in its achieving long-term of Jasa Marga to realize its long-term goals and business sustainability. goals, which are reviewed periodically.
2013 Sustainability Report 81 2013 Sustainability Performance Bipartit Meeting on Collective Overview Bargaining Agreement. Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
PARADIGM SHIFT IN HUMAN RESOURCES 1. Complying with labor laws. MANAGEMENT 2. Upholding the employees’ rights. Based on the understanding about Human 3. Providing development and competence training Resources expectations aforementioned, Jasa Marga programs. establishes and implements a set of Human Resources 4. Upholding gender equality and career path. development programs and mechanisms in order to achieve the balance between fulfilling the Company’s Based on the stages of Human Resources development, interest that expects the optimum performance of its which was started in 2010 and followed by the employees, as well as improving their competencies formulation of the Human Resources System Strategic and develop the Company’s business. The measures Plan for 2010-2020, the development of Human taken to optimize human resources development Resources at Jasa Marga can be illustrated by the applied by the Company are reflected in a number of diagram below: policies, as follows:
82 PT Jasa Marga (Persero) Tbk Transition I Transition II Ultimate
Optimizing HR Strengthening HR Building Capability for Business Foundation Performance Growth
2010 - 2013 2013 - 2017 2017 - 2022 Short-term Medium-term Long-term
As seen on the above diagram, in 2013 Jasa Marga Currently 99.92% of all employees of the Company are entered stage 2, i.e. Capability Development, which members of the SKJM, and therefore the labor union is marked by the plan to invest and develop new possesses a strong legitimate power for representing businesses outside of Java, which is becoming employees in their interaction with the management increasingly challenging. In line with this stage, the and in their discussion of the clauses contained within orientation of Human Resources development was the Collective Bargaining Agreement. transformed from “Empowering the Basics of Human Resources Development” into “Building Competence”. In 2012, the Company and the SKJM conducted a meeting with the points agreed upon and specified This transformation brought about changes to the within the Collective Bargaining Agreement for Human Resources Development programs in 2013. Jasa the period of 2012-2014. This Collective Bargaining Marga intensively introduces and establishes various Agreement was registered to the Ministry of Human Resources management programs, to develop Manpower and Transmigration of the Republic of employee competence through training programs, Indonesia, Directorate General of Industrial Relations management of talented employees, implementation Management and Social Security in Jakarta, based of remuneration package, as well as performance- on the Decree of the Director General of Industrial based career path. Relations Management and Social Security No. Kep. 137/PHUSK.PKKAD/PKB/VIII/2012 on the Registration of the Collective Bargaining Agreement between PT Jasa STRENGTHENING INDUSTRIAL RELATIONS WITH Marga (Persero) Tbk and Serikat Karyawan Jasa Marga EMPLOYEES (G4-HR4, G4-11) on 14 August 2012. In order to establish a conducive working environment, Jasa Marga is consistently constructing a healthy The Collective Bargaining Agreement stipulates industrial relation with its employees, providing mutual the rights and obligations of the Company and the and reasonable benefits to them as a basic framework, employees on fair terms. The existence of the Collective and placing the employees as partners in the pursuit Bargaining Agreement asserts that both Jasa Marga of the Jasa Marga Vision and Mission. The Company and its employees have agreed that: defines this industrial relation in a mutual agreement 1. There is a balance between the rights and called the Collective Bargaining Agreement, which has obligations of the Company and of the employees, undergone a phase of intensive discussion between the covering: industrial relations, terms for work, and two parties grounded on mutual respect. general protocols; 2. There is certainty underlying the cooperation The Collective Bargaining Agreement was formulated between the Company and its employees; along with representatives of the employees within 3. There is a method through which differences in the Serikat Karyawan Jasa Marga (SKJM) labor union, opinion can be addressed upon equally and fairly, and is reviewed periodically, i.e. once every two years. on the basis of negotiation to achieve consensus.
2013 Sustainability Report 83 2013 Sustainability With this agreement, 100% of all employees of Jasa into SKJM. The status of this labor union is Performance Overview Marga therefore have their rights protected by the independent and unaffiliated. SKJM is listed in the
Message from Collective Bargaining Agreement. Office of Manpower with the Record No. Kep. 41/ The President IV/P/IV/2001 dated 27 April 2001. Director The Collective Bargaining Agreement also stipulates the Sustainability period that must be observed prior to any significant Jasa Marga allows its employees to become members Performance, Awards and change related to the Company’s main business of the SKJM, which now has a total membership Certification in 2013 activities being put into effect. In certain cases, such coverage of 99.92%. The management believes that About This Report as those that involve a fundamental change in the the relation between the Company and SKJM will A primer on Jasa structure of the Company, e.g. merger, acquisition, or continue to be excellent. The establishment of the Marga restructuring, Jasa Marga is obliged to inform the plan labor union is expected to support the manifestation Sustainability to all employees at the latest 1 (one) month before the of the three partnership principles (partner in profit, Governance change is put into effect. partner in responsibility and partner in production) Economic Growth Improvement within the daily industrial relation framework.
Environmental Responsibility CONDUCIVE WORKING ENVIRONMENT 2. Applying the Equality Principle (G4-EC5) Jasa Marga’s As a part of Jasa Marga’s intention to be a leader Jasa Marga guarantees the application of equality Human Resources Development in the Indonesian toll road operator market, which principle in its Human Resources Management in
Jasa Marga Cares is continuously growing with increasing regional every stage, starting from recruitment, training, competitiveness, the Company strives to create a performance evaluation, career path development, Product Responsibility conducive working environment that enables all of its to remuneration. The application of equality employees to conduct their daily activities and tasks principle is expected to support Jasa Marga in optimally and to deliver the greatest contribution to attracting potential and most talented candidates in the Company’s performance. order to join and contribute their utmost to achieve the common goal. The equality principle shall To ensure the creation of a conducive working motivate existing employees to contribute their environment, Jasa Marga strives to foster a good best to their performance. industrial relations by building effective rapport, managing its Human Resources in a highly Jasa Marga guarantees that the salary given to professional manner, and upholding all labor-related new employees on the lowest level is above the regulations. Jasa Marga is further committed to Minimum Regional Wage or the Minimum Provincial executing the provisions in the Collective Bargaining Wage in the region where Jasa Marga is located. The Agreement, as described below. remuneration package includes Holiday Allowance 1. Freedom to Associate (G4-HR4) and Leave Allowance which are beyond the Jasa Marga guarantees its employees’ right to be compulsory amount and the distribution of Service form or participate in labor unions, as employees’ Production Incentive shall the Company derives relation with the Company is one of mutual and profit from its operations. reliable cooperation. This guarantee to form and participate in labor unions is stated in the Law No. The following table displays how lowest wage for 21/2000 about Labor Unions. new employees is above the Minimum Regional Wage. The existing labor union at Jasa Marga is named the Serikat Karyawan Jasa Marga, which is abbreviated
84 PT Jasa Marga (Persero) Tbk Ratio of Lowest Wage for New Employees of Jasa Marga to the Minimum Regional Wage in 2013 (G4-EC5) Business Unit Minimum Provincial Wage *) Minimum Regional Wage % Head Office 3,157,720 2,441,301 29% Jagorawi Branch 2,907,000 2,352,350 24% Janger Branch 3,683,000 2,442,000 51% Surabaya Gempol Branch 3,638,160 2,200,000 65% Jakarta Cikampek Branch 3,168,000 2,447,445 29% CTC Branch 3,353,400 2,441,301 37% Purbaleunyi Branch 2,804,016 2,000,000 40% Semarang Branch 3,733,000 1,423,500 162% Belmera Branch 3,401,000 1,851,500 84% Palikanci Branch 3,832,000 1,226,500 212%
Jasa Marga further ensures that there is equality in terms of healthcare services provided to both its male and female employees. Equality is also reflected on the remuneration given to male and female employees. As shown in the following table, the discrepancy in remuneration is solely due to the difference in how long they have been working and their level of employment.
Male-to-Female Ratio of Average Amount of Remuneration (G4-LA13) Position Male Female Top Management 1 1 Middle Management 1 1 Low Level Management 1 1 Staff 1 1
In addition to determining the amount of remuneration, Jasa Marga also applies the equality principle in determining career path in the promotion of employees. The implementation of performance evaluation and competence has resulted in the fact that the workforce profile across managerial levels, age groups, and genders are not dominated by any particular type of people.
The following table describes the workforce profile for the reporting period of 2013 by position and age group, showing the spread of employees and the level of diversity across genders.
Profile of Managerial Level Employees by Age Group and Gender(G4-LA12) Age Group Level Jabatan Male Female < 40 <50 <60 M F M F M F Top Management 65 5 0 0 19 3 46 2 Middle Management 66 37 6 9 66 13 34 15 Low Level Management 165 67 47 28 68 22 50 17 Staff 3.480 950 1.037 297 947 326 599 151
2013 Sustainability Report 85 2013 Sustainability 3. Developing Performance Evaluation Management 4. Effective Communication Performance Overview (G4-LA11) Due to Jasa Marga’s operational areas covering
Message from As an effort to enhance competitiveness and all regions in Java and, in the future, several The President strengthen its position as the leading toll regions in major islands in Indonesia, even Director road operator in Indonesia, Jasa Marga has extending to other regions, the Company strives Sustainability applied a number of improvements on its to build an effective and quality communication Performance, Awards and Human Resources Management System that between the management and employees in Certification in 2013 uses the competence-based human resources order to promulgate various policies and execute About This Report management approach, whereby competence programs and conducts evaluation. This shall A primer on Jasa is used as a basis for managing employees support the creation of a conducive working Marga integrated with the Company’s business environment. Sustainability processes to yield optimum performance and Governance work satisfaction. To ensure the smoothness and quality of Economic Growth Improvement communication between the employees, as well
Environmental In its implementation, every target of any as between the management and the employees, Responsibility employee shall refer to and be aligned with the Jasa Marga has developed and established Jasa Marga’s Company’s general strategy and be related to the a corporate portal built upon the latest Human Resources Development target of their supervisor, which in turn reflects information technology infrastructure, which
Jasa Marga Cares the target of their respective director, and down allows employees to communicate with each to the staff level. All this reflects a solid unity other in the daily execution of their duties. Product Responsibility in achieving the Company’s Vision and Mission in line with the capacity of every personnel on An effective communication enhances the every level. creation of a good and healthy working environment, as well as encouraging employees At the end of each period, Jasa Marga evaluates to unite as a big cohesive family with a solid the employees’ individual excellence and award team work. quantitative as well as qualitative ranking through the Key Performance Indicator Index. 5. Employee Turnover (G4-LA1) The category of an evaluation result will become Jasa Marga’s efforts to create a conducive the basis for awarding remuneration and working environment have paid off, as shown by developing their respective career path. The the low rate of employee turnover. Low employee Company determines all promotions, mutations turnover rate automatically increases the and rotations with consideration to the efficiency of recruitment costs and competence achievement of special assessments conducted development costs, and eventually will improve regularly. Through a transparent and responsible the Company’s overall performance. performance evaluation, every employee of Jasa Marga is believed to be motivated to contribute Throughout the reporting period of 2013, 192 their utmost. employees no longer worked at Jasa Marga ue to various normal causes, such as entering By end of 2013, all employees (100%) have retirement or passing away. Only a handful of received KPI assessment for the period of 2013. employees submitted their letter of resignation due to certain personal reasons.
86 PT Jasa Marga (Persero) Tbk Employee Turnover in 2013 Classification 2013 2012 Male Female Total Male Female Total New employees 0 0 0 32 34 66 New employees by age group 18-25 0 0 0 25 29 44 26-30 0 0 0 7 5 12 Total 0 0 0 32 34 66 Employees no longer working due to: Own request 2 3 5 1 2 3 Disciplinary sanction 35 3 38 4 1 5 Passing away 17 5 12 12 2 14 Reaching retirement 104 11 105 99 6 105 Sickness/Disability Retirement 6 0 6 9 2 11 Others 4 1 5 3 0 3 Total 169 23 192 130 13 143
TRANSFORMATIVE DEVELOPMENT OF JASA MARGA PERSONNEL As previously mentioned elsewhere in this report, the current orientation of Jasa Marga’s human resources management is “Improving Competence for Future Growth”. This change in orientation resulted in the increase of human resources budget and intensity of training and development programs, in line with the overarching aim of human resources, that is to enhance competence. Jasa Marga currently implements Competency Based Human Resources Management, and is building a Human Resources Management System based on the model called the Nine Strategic Processes of Human Capital System. These nine processes are Organizational Design, Employee Recruitment and Selection, Training and Development, Remuneration System, Performance Management, Career and Talent Management, Industrial Relation and Post-Work Management, all integrated with the Information Technology System, as seen in the following diagram.
Various changes, implementation of new programs and training programs that are part of this paradigm shift in human resources management in 2013 are described below.
BUSINESS PERFORMANCE
SHAREHOLDERS’ SATISFACTION AND ENGAGEMENT
Workforce Environment
Manajemen Career KInerja Management
HC Admin &
TENCE Services Industrial Remuneration Relations OST C OMP E ONGRUENCE OMMITMENT C C C Recruitment and Training and Selection of Post-Employment Development Employees Management
INFORMATION TECHNOLOGY
VISION & MISSION ORGANIZATIONAL DESIGN VALUES & PARADIGM
Nine Strategic Processes of Jasa Marga HC System: 1. Organization Design STRATEGIC PLAN 2. Employees Recuitment and Selection 3. Training & Development 4. Remuneration 5. Performance Management 6. Career Management 7. Industrial Relations CHANGE OF STRATEGIC ENVIRONMENT & GROWTH OF TOLL ROAD INDUSTRY 8. Post-Employment Management 9. HC Administration & Services
2013 Sustainability Report 87 2013 Sustainability The Company’s Organizational Restructuring Meanwhile, the Jasa Marga Development Center Performance Overview To achieve a transformation of human resources into (JMDC) serves as a strategic unit that executes the
Message from human capital, Jasa Marga has started to restructure Company’s employee development programs as The President its organization and integrate its human resources determined by the Human Capital Strategy and Policy Director management system by applying practices that are unit. Sustainability accepted globally, among others the rearrangement Performance, Awards and of performance, career, remuneration, training and Recruitment Program Certification in 2013 development management system as well as talent The recruitment of new personnel at Jasa Marga About This Report management system. As a step towards restructuring is conducted through the Manpower Planning A primer on Jasa the organization, Jasa Marga has been transformed into process. i.e. the calculation of the estimated Marga an operating holding company. This step was achieved number of employees and the maximum number Sustainability by making the Jasa Marga Head Office as a holding of employees in the long term, formalized within a Governance company that manages 12 subsidiary companies certain documentation. The Manpower Planning is Economic Growth Improvement engaged in toll road and non-toll road businesses as subsequently used as the guidance for Staffing Plan
Environmental well as 9 operational branches that manage 10 toll road and Recruitment Plan. Responsibility segments. Jasa Marga’s The Manpower Planning is formulated to be in Human Resources Development The organizational improvement is conducted step-by- accordance with: (a) Jasa Marga’s Vision, Mission,
Jasa Marga Cares step especially for the establishment of subsidiaries to and Long Term Business Plan, (b) Study on the support the Company’s toll road business development organizational structure and concept of the Strategic Product Responsibility and those engaged in other businesses, namely in Plan for Human Resources Development. Property and Toll Road Maintenance Services, in the expansion of the Rest Area Management Business Unit Based on this Manpower Planning, Jasa Marga carries to support non-toll businesses, and the transformation out the recruitment process. To ensure that the of JMDC into an independent business unit. Company acquire employees that have the capabilities that fulfill the requirements, the principle of equal Human Capital Organization opportunity is upheld in treating everyone that has Adjustments have been also made in the management applied to work at Jasa Marga. of Human Capital (HC) organization, namely by forming three separate units within the Human Capital Personnel recruitment at Jasa Marga is conducted organization. These 3 units are the Human Capital through both internal and external processes. Internal Strategy and Policy, the Human Capital Services, and recruitment is carried out by optimizing the existing Jasa Marga Development Center. The purpose of human resources in order to achieve cost efficiency this separation is to make each unit more focused in in terms of employee turnover and to obtain the best achieving their targets and doing their tasks. However, candidates as required. At the same time, the Company they are all required to cooperate with each other also facilitates their career development. Meanwhile, towards achieving an effective management of human external recruitment is focused on filling the vacancies capital. available at Jasa Marga.
The main role of the HC Strategy and Policy is to serve During all recruitment processes the Company involve as director, planner, and controller for organizational certain independent parties with known competence development, as well as the administrator for the in the relevant fields in order to obtain the best talents human resources management and development in the most efficient manner. The Company also makes system. a public announcement regarding the recruitment process. The Human Capital Services unit serves as an executor that is responsible for career, industrial relations, and remuneration management within the Company.
88 PT Jasa Marga (Persero) Tbk Prior to being appointed as permanent employees, candidates must participate in the initial orientation program and pass the probationary period. After being made permanent, new employees participate in various development programs based on their respective work fields and job descriptions. In 2013, Jasa Marga did not conduct any recruitment process for new employees.
LEADERSHIP Competence Development ProgramCOMPETENCIES Jasa Marga has formulated a competence model complete with a Competence Dictionary, which consists of a combination of hard skills and soft skills that each personnel must have according to the capability requirements of each unit. The details are as follows:
COMPETENCIES MODEL
LEADERSHIP COMPETENCIES
• Team Leadership • Decisiveness y
en c CORE COMPETENCE
e t Business • Achievement Orientation Acumen Customer Service om p • Continuous Learning Orientation t C • Building Partnership o f
S • Integrity
JOB COMPETENCY
Soft Competency
• Analytical Thinking • Information Seeking • Concern for Order • Organizational Commitment • Impact & In uence • Organizational Awareness • Initiative • Interpersonal Understanding • Conceptual Thinking • Teamwork
Hard Competencies TECHNICAL COMPETENCE (General) IT Skill Communication Skill Organization Knowledge TECHNICAL English Pro ciency Risk Awareness COMPETENCIES Awareness of Occupational Safety and Health (OSH) (Specific) Hard Competency Awareness Quality Management Awareness of Service Standard Execution of Strategic Program
Leadership Competencies: Competencies related to managerial accountability and the position as a leader. Leaders with these competencies are capable of giving appropriate directions to the team and creating conductive work climate and culture, encouraging and leading the process of change, so as to encourage the team to work optimally.
Core Competencies: Competencies translated from the Company’s Vision, Mission and Values, and they have to be re ected in the entire employees within the organization.
Job Position Competencies: Competencies related to speci c functions within the organization and they have to be re ected in the employees holding position with speci c functions.
Technical Competencies: Competencies related to technical capabilities of the work assigned, consisting of: General: Part of the Job Position Competencies that each structural position must have. Speci c: Part of the Job Position Competencies as special requirements in accordane with job functions.
2013 Sustainability Report 89 2013 Sustainability Education and Training Program (G4-LA9) Performance Overview Human resources competence enhancement at Jasa Marga takes place through two avenues, namely Formal
Message from Education and Training Programs. The President Director In the Formal Education avenue, Jasa Marga provides scholarships for highly competent employees that have passed Sustainability the internal selection process. For the scholarship program, Jasa Marga has carried out a number of benchmarking Performance, Awards and studies to various universities overseas, such as the University of California Los Angeles, University of California Certification in 2013 Berkeley, Stanford University, London Business School, University of Cambridge, and University of Oxford, all of About This Report which are considered as some of the best universities in the world. A primer on Jasa Marga Through the scholarship program, Jasa Marga selects the candidates among employees that are maximum 30 Sustainability years old and potentially able to perform as a leader. They then receive recommendation to participate as a 2014- Governance 2015 Scholarship Candidate. They are specifically groomed by the Company through the Jasa Marga Future Leader Economic Growth Improvement development program. Throughout 2013, 10 employees were selected to participate in either domestic or overseas
Environmental scholarship programs. Responsibility Jasa Marga’s The policy that governs this scholarship program is described in the following chart. Human Resources Development Jasa Marga Cares FORMAL EDUCATION: POSTGRADUATE SCHOLARSHIPS Product Responsibility
Age < 35 years (talent)
Age < 45 years (talent)
Strategies and Policies 2013 - 2017 KaJasaryaw Margaan Domestic Scholarships & Short Courses JasaEmployees Marga for 34-45 year olds Next Future Overseas Scholarships for < 35 year olds Leader Leader
Age > 35 years
S1 NON FORMAL EDUCATION : SHORT COURSE S2 S2 S2
2017 2020 2022
Jasa Marga has established the career pathway for the Future Leader development program. The training program is focused on each career level as described in the following chart.
90 PT Jasa Marga (Persero) Tbk Throughout 2013, 235 employees of Jasa Marga participated in training programs as detailed in the following chart.
LEADERSHIP DEVELOPMENT PROGRAM
FOCUS TRAINING PROGRAM
CORPORATE Leadership CORPORATE Ethic & Leader of Company Leadership Communication Subsidiary SOE BUSINESS SENIOR Performance Leader of Division/ Leadership & Changes Bureau/Branch/ Project FUNCTIONAL ADVANCE VEL Leader of Functional Leadership HRD & Monitoring L E Work Unit
TEAM JUNIOR Trust & Leadership Team Work Team Leader
INDIVIDUAL BASIC Personality Individual Leadership Leader
26 th 28 th 32 th 36 th 40 th 45 th
Level of VP/GM/ Assistant Manager *) Level of Level of Manager AVP/DGM Subsidiary Director
The Education and Training Programs for employees are conducted by Jasa Marga Development Center, serving as a learning center in which throughout 2013 the training programs were focused on: 1. Jasa Marga Leadership Program – a development program designed to enhance leadership skills in order to prepare the participants to become the future leaders of Jasa Marga. The program is applicable on all employee levels. 2. Technical competence development (the type of training including the benefit) 3. Achievement Motivation Training – a program designed to motivate and promote desirable work ethics and work culture in all employees. 4. Certification Training.
For 2013, Jasa Marga implemented various training programs aimed at developing its employees’ competencies, participated by a total of 6,428 employees, as detailed in the following table:
According to the type of training program and the work location, in 2013 the Non-Operational Training Programs comprise the one type of training with the largest number of participants from the Head Office, as described in the table below.
Training Conducted in Jasa Marga in 2012 and 2013 Group 2012 2013 Number of Number of Number of Number of Participants Programs Participants Programs Male Female Total Male Female Total Leadership 325 123 448 40 156 79 235 11 Competence Enhancement 1,108 456 1,564 169 2,646 855 3,501 325 Primer on Corporate Culture, Values, Ethics 1,902 437 2,339 112 1,959 582 2,541 74 Professional Standards 40 14 54 22 109 42 151 29 Total 3,375 1,03 4,405 343 4,87 1,558 6,428 439
2013 Sustainability Report 91 2013 Sustainability Duration and Type of Training in 2013 Performance Overview Operational Non Operational Safety Work Area Message from Duration Programs Duration Programs Duration Programs The President Director Head Office 0 0 15,184 1,379 1,416 47
Sustainability Belmera 3,776 203 3,584 305 448 7 Performance, Awards and Jakarta-Tangerang 8,440 359 4,424 222 808 62 Certification in 2013
About This Report CTC 5,488 290 8,184 326 232 3 A primer on Jasa Jagorawi 8,448 369 4,664 246 432 46 Marga Jakarta-Cikampek 9,120 573 2,928 156 152 19 Sustainability Governance Purbaleunyi 6,856 256 3,336 163 384 42 Economic Growth Improvement Palikanci 7,192 182 952 99 544 44
Environmental Semarang 2,872 131 1,672 107 808 69 Responsibility
Jasa Marga’s Surabaya-Gempol 8,680 366 8,608 302 920 55 Human Resources Development Total 60,872 2,729 53,536 3,305 6,144 394
Jasa Marga Cares
Product Responsibility Thus, in 2013 Jasa Marga conducted 120,552 hours of their retirement period and no longer become a part training or 3.06 man days per person on average, with a of the organization, to continue to be able to fulfill total cost of Rp 18.66 billion, or equal to Rp 2,905,995 per their needs in life through other no-less-productive employee. activities. This training program is applicable to any employee starting from 3 (three) years prior to their Enterprise Knowledge Management (EKM) entering their retirement age. To further improve its employees’ competencies, Jasa Marga also developed the Enterprise Knowledge In 2013 a total of 534 employees from various Management (EKM) to serve as a guide in planning, operational areas and the head office and establishing and developing the EKM to identify, subsidiaries entered their retirement age. From that create, explain and redistribute all available number, as many as 83 employees were participating knowledge so that it can be reutilized, understood, in the Pre-Retirement Preparatory Program, with the and carefully studied by all employees. The EKM is total training time reaching 320 hours. expected to enhance the Company’s competitiveness by managing the knowledge as an intellectual asset Career Management (G4-LA11) that integrates effectively and efficiently with all the As part of the performance-based HC management, parts of the organization. Jasa Marga carries on its implementation of competence training and development programs by Pre-Retirement Preparatory Program (G4-LA10) evaluating each employee’s performance. The result Aside from training programs for developing of this measurement is then used to determine each employees’ competencies and professionalism, Jasa employees’ career path, taking into account their Marga also conducts a special training for employees competence enhancement and contribution to the who are entering their retirement age. This training Company. is given to prepare these employees, as they enter
92 PT Jasa Marga (Persero) Tbk Career Development Head Office Branch Offices Project Offices Total Echelon Upgrade 11 23 _ 34 Promotion 18 48 1 67
Performance review is carried out regularly, after which a decision is made regarding whether to promote or increase the echelon of the employees that have fulfilled the evaluation criteria and possessed the basic competencies for the appointed position. Aside from taking into consideration the evaluation results, the decision to promote employees also factor in three other aspects, namely the current needs of the Company, their competence evaluation result, and their work experience.
In 2013, in accordance with the Key Performance Indicators (KPI) and the needs for business development, the Company promoted 95 employees and rotated 133 employees across all levels of employment. The details are provided below.
Employee Rotations Position Level 2013 2012 Promotion Rotation Promotion Rotation Bureau/Division/Branch/ 0 5 6 11 Production Head Section/Sub-Division Head 8 25 14 29 Sub-Section Head 28 38 24 31 Bang Tol Head 5 2 4 18 Shif Pultol Head/ Toll Road 25 7 19 2 Services Main Staff 2 7 5 5 Middle Level Staff 8 5 6 13 Junior Staff 7 12 31 12 Pratama Satu Staff 8 10 24 84 Business Administration Staff 4 14 4 44 Business Administrators / Fare 0 8 4 10 Collectors Caraka / Helpers / Drivers 0 0 0 2 Total 95 133 141 261
EMPLOYEE WELFARE To stimulate competence enhancement and optimum performance from all employees, and to ensure that the Company can attract the best talents in the industry, Jasa Marga provides a very competitive remuneration/ welfare package compared to its peers. The details of the currently prevailing employee welfare package are provided below.
Employee Remuneration (G4-LA2) Employees of Jasa Marga are categorized as permanent employees and temporary/outsourced employees. In 2013, the majority of employees of Jasa Marga were permanent employees.
2013 Sustainability Report 93 2013 Sustainability Various differences exist in the remuneration Awards Performance Overview structure given to the permanent employees and In order to give appreciation to employees that have
Message from to the temporary employees, namely the types dedicated their lives for the Company, Jasa Marga The President of facilities and benefits awarded as part of the confers two categories of awards to its employees, Director total remuneration package to the employees. The namely to those who have retired from the Company Sustainability following table describes the details and differences: and to those who have proven their loyalty working for Performance, Awards and the Company. Certification in 2013 Jasa Marga Employee Rights About This Report Company Policy Permanent Employees Temporary Employees A primer on Jasa Services √ √ Marga Information √ √ Sustainability Governance Health Facilities √ √
Economic Growth Legal Assistance √ √ Improvement Jamsostek √ √ Environmental Benefit Responsibility Educational Aid √ - Jasa Marga’s Human Resources Bonus/Incentive √ - Development Leave Benefit √ - Jasa Marga Cares Employee Loan (housing, √ - Product education, and vehicle) Responsibility Award √ - Domestic and Overseas √ - Comparative Case Studies Training √ √ Others & Main Elements Holiday Benefit √ √ Salary √ √ Work Uniform √ √
For temporary employees, Jasa Marga ensures that their In March 2013, Jasa Marga conferred 129 Retirement normative rights are always fulfilled beyond the level Awards to as many retirees and 1,125 Loyalty Awards required by regulations. However, the responsibility to to as many current employees that had been working manage these employees rests mainly on the suppliers’ for more than 10, 15, 20, 25 or 30 years by the end of side. 2012. Retirement and Loyalty Awards for employees for the year 2013 were conferred in 1 March 2014, in For outsourced employees, meanwhile, Jasa Marga commemoration of the 36th anniversary of Jasa Marga. fulfills the Regulation of the Ministry of Manpower and Transmigration No. 19/2012 on the Requirements for Insurance & Retirement Program (G4-EC3) the Partial Handover of Certain Work to Other Parties, Jasa Marga administers its Retirement Program by placing the existing and qualified outsourced through the Defined Benefit Retirement Program employees in the subsidiaries that engage in the (PPMP) managed by Jasa Marga Retirement Fund contracting of toll road operations. (Dana Pensiun Jasa Marga), whose establishment was approved by the Ministry of Finance of the Republic of Indonesia in the letter No. KEP-370/KM.17/1997 dated 15 July 1997 and revised by the letter No. KEP-379/
94 PT Jasa Marga (Persero) Tbk Program Pelatihan Purna Karya.
KM.6/2004 dated 14 September 2004. Subsequently, in 2012-2014 Article 41. In both retirement programs, Jasa 2013 the Board of Directors of PT Jasa Marga (Persero) Marga contributed 13.7% of the fee, with the remaining Tbk issued the Decree No. 117/KPTS/2013 dated 28 3% of the PhDP borne by the employee, and the PSL August 2013 on Dana Pensiun Jasa Marga Regulations, fees fully borne by the Company. and authorized by the Financial Services Authority through the Decree of the Board of Commissioners of Post-Retirement Program the Financial Services Authority No. KEP-16/NB.1/2014 To ensure the well being of employees that have dated 16 January 2014. reached their retirement age, Jasa Marga extends a benefit called the Post-Retirement Allowance, which Participants of the PPMP are permanent employees of is managed in cooperation with AJB Bumiputera 1912 Jasa Marga that started working at the Company up based on a Cooperation Agreement that was signed to 30 June 2012. Permanent employees that started in 2007. Jasa Marga contributed to the fee based on working at the Company since 1 July 2012 are enrolled the Coming Service provision of the program, with the to the Defined Contribution Retirement Program (PPIP) 2% of the PhDA borne by the employee and 4% of the managed by Dana Pensiun Lembaga Kuangan (DPLK), PhDA borne by the Company. Meanwhile, the PSL fees as stipulated in the Collective Bargaining Agreement for the program are fully borne by the Company.
2013 Sustainability Report 95 2013 Sustainability Retirement Benefit Program & Jamsostek (Social Security) Performance Overview All employees of the Company participate in the JHT (Retirement Benefit Program) administered by PT Jamsostek
Message from (BPJS Ketenagakerjaan). The fee for the JHT amounting to 5.7% of the basic salary was fully borne by the Company The President up to June 2013. However, starting from July 2013, 2% of said JHT fee has now been borne by the employee, in line Director with the prevailing regulation that was ratified by the Decree of the Board of Directors of PT Jasa Marga (Persero) Tbk Sustainability No. 58/KPTS/2013 dated 25 March 2013. Performance, Awards and Certification in 2013 Healthcare Services & Guarantee About This Report Jasa Marga provides Healthcare Services & Guarantee for retirees according to the prevailing provision as stipulated A primer on Jasa in the Decree of the Board of Directors No. 141/KPTS/2012 jo. Decree of the Board of Directors No. 228/KPTS/2006. Marga
Sustainability Governance WORKFORCE PROFILE Economic Growth Improvement The number of permanent employees of Jasa Marga in 2013 was 4,875 personnel, down 3.94% from that in 2012,
Environmental that was 5,075 personnel. The decrease in the number of permanent employees was in line with the success of the Responsibility existing human resources optimization program, which was aimed at increasing the productivity of each employee. Jasa Marga’s This optimization program managed to increase the ratio of total employees per kilometer of toll road to 8.80. Human Resources Development This was also enabled by the modernization of the electronic payment system through the implementation of the
Jasa Marga Cares electronic transaction and e-Toll Card.
Product Responsibility Permanent Workforce Breakdown by Employment Status in 2012 and 2013 (G4-10, G4-LA12) Employment Category 2012 2013
Number of People Percentage Number of People Percentage
Operational 3,471 68,4 3,309 67,9
Non-Operational 1,604 31,6 1,566 32,1
Total 5,075 100 4,875 100
Permanent Workforce Breakdown by Echelon in 2012 and 2013 Echelon 2012 2013
Jumlah (orang) Proporsi (%) Jumlah (orang) Proporsi (%)
II 83 1.6 70 1.4
III 148 2.9 143 2.9
IV 231 4.6 232 4.8
V 227 4.5 196 4
VI 1.277 25.2 1.308 26.8
VII 3.003 59.2 2.844 58.3
VIII 106 2.1 82 1.7
Jumlah 5.075 100 4.875 100
Notes: Echelon II – Corporate Secretary, Head, Vice President, General Manager, Project Head, Advisor. Echelon III – Assistant Vice President, Senior Manager, Deputy General Manager, Coordinator, Section Head, Senior Specialist. Echelon IV – Manager, Specialist, President Director Secretary. Golongan V – Assistant Manager, Tollgate Chief, Director Secretary, Treasurer II. Golongan VI – Shift Head, Business Administration Staff, Section Business Administration Staff, Secretary to VP/GM, Information & Communications Senior Officer. Golongan VII – Fare Collector, Traffic Services Officer, Technicians. Golongan VIII – Messenger, Driver.
96 PT Jasa Marga (Persero) Tbk Workforce Composition by Gender in 2012 and 2013 Jenis Kelamin 2012 2013
Male 3,993 3,808
Female 1,082 1,059
Total 5,075 4,875
Workforce Composition by Employment Status in 2012 and 2013 Employment Status 2012 2013
Permanent Employees 5,075 4,875
Temporary Employees 2,939 32
Workforce Composition by Employment Status in 2012 and 2013 5,075 4,875 2,939 32 Permanent Employees Temporary Employees 2012 2013
Workforce Composition by Age Business Unit 21-25 26-30 31-35 36-40 41-45 46-50 51-56 Grand Total
Belmera Branch 1 5 16 37 126 29 214
Cawang-Tomang-Cengkareng Branch 3 70 258 212 153 97 793
Jagorawi Branch 1 55 160 117 147 141 621
Jakarta-Cikampek Branch 2 51 174 187 224 113 751
Jakarta-Tangerang Branch 3 24 124 120 121 86 478
Palikanci Branch 1 21 78 27 27 12 166
Purbaleunyi Branch 2 19 72 169 121 76 459
Semarang Branch 11 51 54 60 36 212
Surabaya-Gempol Branch 20 146 226 127 519
Assistance 5 11 4 14 23 48 47 152
Project 1 4 5 17 33 60
Center 29 60 22 51 59 102 116 439
Rest & Service Area 1 6 3 1 11
Total 35 83 283 1,023 1,162 1,375 914 4,875
2013 Sustainability Report 97 2013 Sustainability Workforce Composition by Education Performance Elementary Secondary High Under- Post- Overview Business Unit Diploma Doctoral Total School School School graduate graduate Message from Belmera Branch 202 9 3 214 The President Director Cawang-Tomang-Cengkareng Branch 6 2 763 19 3 793 Sustainability Performance, Jagorawi Branch 11 2 580 1 27 621 Awards and Jakarta-Cikampek Branch 10 2 713 24 2 751 Certification in 2013 Jakarta-Tangerang Branch 3 451 20 4 478 About This Report Palikanci Branch 155 11 166 A primer on Jasa Purbaleunyi Branch 1 434 3 19 2 459 Marga Semarang Branch 3 3 191 1 13 1 212 Sustainability Governance Surabaya-Gempol Branch 11 1 484 21 2 519
Economic Growth Assistance 53 3 75 21 152 Improvement Project 1 28 1 27 3 60 Environmental Center 16 5 152 8 228 29 1 439 Responsibility Rest & Service Area 4 7 11 Jasa Marga’s Total 60 17 4,210 17 500 70 1 4,875 Human Resources Development Jasa Marga Cares Number of Employees by Business Unit & Gender Product Business Unit Male Female Total Responsibility Belmera Branch 178 36 214 Cawang-Tomang-Cengkareng Branch 611 182 793 Jagorawi Branch 497 124 621 Jakarta-Cikampek Branch 605 146 751 Jakarta-Tangerang Branch 369 109 478 Palikanci Branch 145 21 166 Purbaleunyi Branch 382 77 459 Semarang Branch 174 38 212 Surabaya-Gempol Branch 402 117 519 Assistance 125 27 152 Project 44 16 60 Center 275 164 439 Rest & Service Area 9 2 11 Total 3,816 1,059 4,875
OCCUPATIONAL HEALTH & SAFETY (OHS) Management System Manual and the Guidelines for the (G4-LA6, G4-LA8) Occupational Health and Safety Aspect in Construction As a company engaged in the operational management Companies, and the Board of Directors’ Circular No. 20/ of toll roads, business in Jasa Marga involves a majority SE-DIR/2010 dated 3 August 2010 on Occupational of activities taking place outdoors. Therefore, the aspect Health and Safety. of occupational health and safety (OHS) certainly is one of the most important factors that determine The policy and guidelines are currently being the Company’s success. As part of its commitment to evaluated and reformulated, in line with the issuance conducting a safe operation at all times, Jasa Marga of the Governmental Regulation No. 50/2012 on the has a sound policy in place for the occupational health Implementation of Occupational Health and Safety and safety of its employees, as stipulated in the Decree Management System, which requires the Company of the Board of Directors No. 162/KPTS/2010 dated 30 to implement an Occupational Health and Safety September 2010 on the Occupational Health and Safety Management System (OHSMS).
98 PT Jasa Marga (Persero) Tbk OHS Briefing.
The management of OHS taking place within the (OHSE) Department, the Company has also formed the operational environment in Jasa Marga has been OHS Committee/Safety Committee/Panitia Pembina focused on achieving zero accident across all activities. Keselamatan dan Kesehatan Kerja (P2K3), whose To ensure that this target is achieved, Jasa Marga members are representatives of the management implements an OHSMS that has been accredited by and employees from each business entity under the an independent agency, based on the Permenaker No. management of the Company. P2K3 is a supporting 05/MEN/1996 and the OHSAS 18001:2007 standards. organ at the workplace that serves as a venue for Given that operational activities that take place the management and the employees to foster outdoor also involve third parties, e.g. contractors for collaboration, mutual understanding, and effective toll road development, maintenance, and infrastructure participation in the implementation of occupational development, Jasa Marga also applies OHS standards in health and safety practices. The establishment of evaluating the performance of its contractors. P2K3 is mandated by the Law No. 1/1970 whereby the P2K3 has the duty to provide a consideration and OHS Executive Organization support the effort in preventing occupational accidents To ensure that the Company upholds all the regulations and work-related illnesses in the Company, as well related to OHS, aside from the establishment of the as provide adequate and relevant information toall Occupational Health and Safety and the Environment employees.
2013 Sustainability Report 99 2013 Sustainability The provisions that define the function and standing The Company’s P2K3 Organizational Diagram Performance Overview of P2K3 as well as their duties and responsibilities are The main responsibility of the P2K3 is to provide advices
Message from stipulated in Article 54 paragraph 4 of the Collective and considerations to business partners and managers The President Bargaining Agreement, including the provision on of relevant business units, on issues that are related Director employees’ representatives assigned to the P2K3. The to occupational health and safety. The Company on a Sustainability Collective Bargaining Agreement for the period of regular basis conducts Safety Committee meetings with Performance, Awards and 2012-2014 also contains a provision that the Company both relevant business units as well as with business Certification in 2013 implements an Occupational Health and Safety partners and contrators, to keep on reminding every About This Report System that is integrated with the existing corporate party that all OHS regulations must always be upheld. A primer on Jasa management systems. Marga Occupational health and safety is maintained Sustainability The P2K3 has 192 members from the Head Office and throughout the workplace by implementing various Governance all branch offices, whose positions are: 10 as head and programs and activities that include preventive, curative, Economic Growth Improvement management representative from each branch and promotive and rehabilitative measures.
Environmental the head office; 10 secretaries, one from each branch Responsibility and the head office; and 172 common members that Implementation of Occupational Health and Jasa Marga’s are either representatives of the management or of the Safety Activities Human Resources Development employees. This number makes up 3.9% of the total Various activities related to the Company’s Occupational
Jasa Marga Cares number of 4,875 permanent employees of Jasa Marga Health and Safety Program in 2013 are detailed below. in 2013. The Company’s P2K3 Organizational Diagram is 1. OHS Personnel Competence Enhancement Product Responsibility given below. In order to create a safe and secure working environment, the presence of personnel with understanding and expertise on Occupational Health and Safety is mandatory. It is Jasa Marga’s policy to always have a number of OHS Experts Chairman working in each of its business units. These OHS President Director Experts are authorized to enter the workplace relevant to their area of assignment, extract information regarding the implementation of occupational health and safety requirements at Secretary the workplace, monitor, investigate, examine, VP Risk & Quality analyze, evaluate, and provide recommendation Management Division and guidance on how to improve occupational health and safety performance further at their designated area of assignment.
Members: In 2013 the Company conducted training for 1. All VPs General OHS Experts (13 personnel), Construction 2. Branch Heads OHS Experts (14 personnel), and Safety Officers 3. Production Heads (27 personnel) at the Head Office, Branches, and Subsidiaries. In total, the number of employees of Jasa Marga with OHS certification/competence is given in the table below.
100 PT Jasa Marga (Persero) Tbk Employees with OHS Competence Description Head Office & Branch Offices Projects & Subsidiaries General OHS Experts 30 4 Construction OHS Experts 21 10 Safety Officers 52 1 Hiperkes 1 Total 104 15
Spread of Employees with OHS Competence General OHS Construction OHS Unit/Branch/Subsidiary Safety Officers Hiperkes Experts Experts Head Office √ √ √ √ Jagorawi √ √ √ x Cawang – Tomang – Cengkareng √ √ √ x Jakarta – Cikampek √ X √ x Jakarta – Tangerang √ √ √ x Purbaleunyi √ √ x x Semarang √ x x x Palikanci √ √ x x Surabaya – Gempol x x √ x Belmera x √ x x PT Jalantol Lingkar Luar Jakarta √ √ √ x
Note: √: present x: not yet present
2. Promulgation of occupational health and safety The Governmental Regulation No. 50/2012 on regulations. Implementation of Occupational Health and Safety Jasa Marga consistently abides by the regulations Management System (OHSMS) that is currently that require the use of body harness and safety in place requires the Company to implement an helmet, the provision of Self Protection Equipment OHSMS and follow the implementation up with a in operational vehicles and toll roads, the display of review of the existing OHSMS policies and manual, safety regulations at toll road entrances along with to be fully done in 2014. Therefore, Jasa Marga is signs and stickers, as well as safety induction and currently conducting a Diagnostic Assessment safety briefing prior to commencing all activities on prior to reviewing the policy and manual of its a daily basis. existing OHSMS, in order to discern the gaps in 3. Monitoring & Evaluation of OHS Activities the implementation of OHS within the Company, a. Evaluation of Workplace Fatalities at Cawang- so that these gaps can be adequately addressed Tomang-Cengkareng, Jakarta-Cikampek and and the OHSMS certification and implementation Purbaleunyi Branches. targets for 2014 can be subsequently achieved. b. Evaluation of OHS Implementation at all 5. Procurement of Occupational Health & Safety branches in 2013. Equipment and Facilities c. OHS Risk Inspection at Jasa Marga Bali Toll To ensure all employees’ health and safety at work, Road. Jasa Marga equips operational employees with Self d. Collection and evaluation of workplace fatality Protection Equipment such as safety vest, ear plug, data from all branches. respirator, glasses, safety hat, safety shoes, gloves, 4. SMK3 and OHSAS 18001:2007 Diagnostic helmet, raincoat, and body harness. The table Assessment Audit below provides a more detailed information:
2013 Sustainability Report 101 2013 Sustainability Workplace Health & Safety Equipment for Performance Overview Employees Operational Safety Ear Safety Safety Body Message from Respirator Glasses Gloves Helmet Raincoat Area Vest Plug Hat Shoes Harness The President Director Fare Collectors √ √ √ Sustainability Performance, Traffic Services Personnel √ √ √ √ √ √ √ √ Awards and Certification in 2013 Rescue Workers √ √ √ √ √ √ √ √ About This Report
A primer on Jasa Ambulance √ √ √ √ √ √ √ Marga Inspection Sustainability Officers √ √ √ √ √ √ √ √ √ √ Governance
Economic Growth Occupational Accident Rate (G4-LA6) Improvement 1. Zero Accident OHS Award for Palikanci Branch, Every activity at the workplace must comply with the Environmental from the Office of Manpower of the Cirebon Responsibility Company’s Occupational Health and Safety (OHS) Regency. Jasa Marga’s standards in order to minimize the possibility of 2. Zero Accident OHS Award for Surabaya–Gempol Human Resources occupational accidents occurring. However, Jasa Marga Development Branch, from the Minister of Manpower and realizes that occupational accident cases have many Transmigration of the Republic of Indonesia and Jasa Marga Cares factors and that it is not an easy or simple matter to the Governor of East Java. Product Responsibility eliminate all occupational accidents and achieve zero fatality. Throughout 2013, the Company recorded a number of occupational accidents, as described in the statistics below:
Occupational Accident Statistics Year At the Workplace Industrlal Relations* Total LR LB MD LR LB MD 2012 5 2 1 3 5 0 16 2013 1 2 1 3 3 0 10 *including outsourced employees. Note: LR : Minor Injury LB: Major Injury MD: Fatality
It is shown by the statistics that, although both the Health Programs number of occupational accidents and the number The state of employees’ health significantly affects of victims decreased, there was still one fatality case. their productivity and efficacy in performing their Given this, Jasa Marga is ever committed to enhancing daily duties. Therefore, Jasa Marga is fully committed its OHS performance by instilling the awareness of to maintaining its employees’ health and fitness by occupational accident risk into the Company’s culture, conducting a number of health programs, as follows: so that accordingly employees on all levels will be used 1. Preventive Programs to performing their operational activities carefully as a. Vaccination – to prevent employee’s children well as be aware of the risk of occupational accident. from suffering certain diseases, basic vaccinations are administered. Awards in Occupational Health & Safety b. Periodic Medical Check Up – a test performed Along the sections of toll roads that it is responsible yearly in order to detect certain diseases as for operating, Jasa Marga has managed to achieve early as possible. zero case of occupational accident, and accordingly it received a number of awards, as follows:
102 PT Jasa Marga (Persero) Tbk c. Provision of nutritious substance to employees b. Eye treatment and spectacle purchase as working in shifts, e.g. milk, to enhance their recommended by a medical practitioner, twice stamina. per year maximum, valid for employees with d. Spraying and fogging to eliminate the larvae of at least 3 years of employment. Aedes aegypti mosquito to prevent the spread c. Vision and hearing aids are provided of dengue fever. once every three years maximum, valid e. Opportunity for employees and their family to for employees with at least 3 years of participate in the Family Planning Program. employment. f. Annual pap smear testing to detect whether employees or their wives are at risk of suffering By implementing the above programs the Company cervical cancer, as early as possible. has managed to maintain the level of its employees’ 2. Curative Programs health relatively satisfactory, and therefore employee a. Payment of 80% of total cost borne by absenteeism due to sickness could be managed at a employees and their family when they ask reasonable level. The following table shows that with for medical treatment (outpatient care) from the increase in the amount of work hours following doctors or midwives in a hospital, clinic or other new business developments, the absenteeism rate did similar places. not experience a substantial increase. b. Hospitalization (inpatient) for employees and their family, with the following provision: Description 2013 2012 Echelon I to V employees are treated in first Rate of class room, while Echelon VI to VIII employees Abseenteeism are treated in second class room. Sick 15.008 hari 14.513 hari c. Costs for Pregnancy Test and Childbirth Benefit within one full term of pregnancy are borne by Company, at the maximum of 9 times. d. The Company provides a Diagnostic Support Occupational Health & Safety (OHS) Certification in the form of ultrasonography (USG) at most and Audit (G4-15) twice, unless the obstetrician finds abnormality In accordance with the Company’s Mission, that is to in the pregnancy. conduct business activities based on the sound and e. Treatment and medication costs for dental consistent implementation of OHS standards, the issues are covered up to 80% of total. Company has obtained the international certification 3. Promotive Programs of OHSAS 18001:2007 Occupational Health & Safety a. Health seminars are held periodically, i.e. Assessment Series integrated with ISO 9001 for all quarterly, at the Head Office and Branch branches since 2010 until now. Offices, with the purpose of promoting a healthy daily lifestyle. According to the Government Regulation No. b. Opportunity for employees to participate in 50/2012, the Company has implemented the sports and exercises, such as Senam Kesehatan Occupational Health & Safety Management System Jasmani (SKJ) on Fridays or other activities, to Audit in its 9 branches and 1 subsidiary. One of Jasa improve their stamina and overall health. Marga’s subsidiary companies, PT Jalan Tol Lingkar 4. Rehabilitative Programs luar Jakarta (JLJ), has obtained the Golden Flag. a. Casting and assembling of denture as recommended by a medical practitioner, three times per year maximum, valid for employees with at least 3 years of employment.
2013 Sustainability Report 103 2013 Sustainability The Company also assigned PT SGS to conduct an 2. Opposing forced labor and child labor Performance Overview OHSAS 18001:2007 Audit. PT SGS recommended that Jasa Marga continuously ensures that it does
Message from the Company perform a Corrective Action Request not employ children nor forced laborers in its The President (CAR) in all branches especially in the P2K3/MR section. business. To serve this purpose, the Company Director This corrective action include improving the duties and has set the minimum age for employment. In Sustainability responsibilities of the P2K3 as well as the competencies addition, the Company requires all to comply Performance, Awards and of its members, as well as ramping up communication with this age restriction and stipulates certain Certification in 2013 of OHS materials to all employees and business clauses regarding periodic inspection without About This Report partners. prior notice to ensure that this age restriction is A primer on Jasa being implemented by its current contractors for Marga In addition, Jasa Marga assigned PT SUCOFINDO as infrastructure development. Sustainability a consultant to conduct OHS Diagnostic Assessment Governance at several branches and the Head Office, in order to 3. Training on and promulgation of human rights Economic Growth Improvement measure the efficacy of the Occupational Health & issues
Environmental Safety Management System implementation. To ensure that its operational activities comply Responsibility with the prevailing standards in human rights and Jasa Marga’s The result of the assessment stated that the Company to avoid any human rights violation due to lack Human Resources Development reached an average of 70% out of 85%, the minimum of knowledge about basic human rights issues,
Jasa Marga Cares target for the implementation to be considered Jasa Marga conducts a specialized training on satisfactory according to the provisions for OHSMS this topic. The training and briefing are especially Product Responsibility Audit in the Government Regulation No. 50/2012. given to security employees.
Training on human rights given to the Company’s UPHOLDING HUMAN RIGHTS security personnel is conducted in collaboration Jasa Marga highly upholds human rights in both the with the local police institution. By the end of external and internal environment. Various operational 2013, all (100%) of Jasa Marga’s security personnel policies and activities are conducted with deference to have participated in the training and briefing on human rights, such as: human rights issues.
1. The freedom to participate in politics and giving 4. Freedom to participate in unions, as previously donation to political parties described. Jasa Marga respects its employees’ right to be involved in politics and gives them the freedom to participate in Commitment to Anti-Corruption and Anti-Fraud political activities outside of their work hours. However, Practices (G4-SO4, G4-SO5) the Company prohibits them to force their political Jasa Marga believes that the eradication and prevention opinion on other people. The Company is not involved of corruption require an unequivocal commitment in any political activities and never gives any donation and action from all parties involved, especially from whatsoever to political activities. those with authority, i.e. the management. The management must act as a role model and uphold the As a State-Owned Enterprise, Jasa Marga abides to existing regulations. Therefore the entire Directors, the Minister of State-Owned Enterprise Regulation Commissioners, Officers, and Employees of Jasa Marga that prohibits all state-owned enterprises to give have to fully commit to implementing the gratification contribution in the form of financial aid or otherwise to control system as an effort to support the eradication of any political parties, politicians, and related institutions. corruption within the Company, by implementing the It is also prohibited to spend the Company’s fund or following principles: assets on behalf of any political parties or candidates of political parties, both directly and indirectly.
104 PT Jasa Marga (Persero) Tbk 1. It is prohibited to give and receive any bribe, Jasa Marga has assigned the Internal Audit unit to gratification, illegitimate cash or other illegal forms regularly audit the compliance with the above rules. In that are prohibited by the prevailing regulations, addition, the Company implements a whistleblowing in order to derive benefit of any form from system partly in order to prevent such undesirable government officials or local or foreign companies. practices described above. The Company has identified 2. It is prohibited to request or receive any bribe, that a number of sections within its organizational gratification, illegitimate cash or other illegal structure are vulnerable to corrupt practices, namely forms from individuals or institutions as well as the procurement, finance, project development, and domestic or foreign companies in relation to the project implementation departments. implementation of duties or main functions. 3. The application and the implementation of In order to prevent corruption, the Company applies gratification control system as well as the LHKPN strict work regulations, including the establishment reporting process. of independent and separate units for the phases of budgeting, contract execution, procurement for goods Testament to Jasa Marga’s strong commitment to and services, and registration. supporting the eradication of practices of corruption, fraud, gratification, etc., the Company implements the Thanks to the abovementioned preventive actions, following programs: throughout the reporting period of 2013, there was 1. Promulgation of the the LHKPN and the procedure no indication of fraud or corruption found within Jasa to fill in the LHKPN to all officers in Jasa Marga, as Marga. well as the obligation to prepare a LHKPN report. 2. Formulation of certain rules in the Collective Bargaining Agreement regarding the prohibition to receive bribes, tips, presents, gratification, etc. from customers or business partners for one’s own interest or other parties’ interest for any reason. 3. Dismissal of employees who have been proven to break the above rules. 4. Enhancement of the gratification control system and cooperation with the Corruption Eradication Commission (KPK).
2013 Sustainability Report 105 Educational Care.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
In educational field, Jasa Marga believes that the main foundation in forming the generation’s competence is innate from good quality of education
106 PT Jasa Marga (Persero) Tbk Jasa Marga Cares
As a toll road operator and State- These programs refers as implementation of CSR is part of the Owned Enterprise, Jasa Marga Partnership and Community business development philosophy commit to provide real contribution Development Program (CSR) as in pursuit of balance and harmony to the attempt to meet the arranged in the Regulation of the betwen economic performance expectations of the local community Minister of State Enterprises No. (profit), community (people), and as one of the key stakeholders to PER-05/MBU/2007 dated April environment (planet). Partnership grow and develop along with the 27, 2007 about SOE Partnership program includes the monitoring of company’s progress. To meet these Program with Small Business and revolving loan funds that have been expectations, Jasa Marga realize Community Development Program, distributed in the previous years. various community development and the Regulation of the Minister programs which are implemented of State Enterprises No.PER-08/ Community Development Program by the Community Development MBU/2013 dated 10 September includes the provision of health Program Unit. (G4-SO1) 2013. For Jasa Marga, the assistance, educational assistance, facilities and infrastructure
2013 Sustainability Report 107 2013 Sustainability provision, nature preservation, religious facilities as According to the SOE Ministry Regulation No. PER-05/ Performance Overview well as disaster relief and social programs on poverty MBU/2013 dated May 1, 2013 and PER-08/MBU/2013
Message from reduction. dated September 10, 2013, Community Development The President Program aim to create beneficial purposes to the Director The objective of this program is to build congenial society within operational area of the Company. Sustainability Performance, relationship with the community, and at the same Activities of Community Development Program of Awards and time executing a real contribution to achieve Jasa Marga are focused on various aspects, which are: Certification in 2013 social environment welfare. By taking into account 1. Natural disaster relief. About This Report the conformity and environment potential of the 2. Education and/or training support. A primer on Jasa Marga community where the program is carried out, the 3. Health improvement support. Sustainability implementation refers to the Board of Directors 4. Infrastructure and/or public facilities development Governance Decision No. 230/KPTS/2007 about Partnership support. Economic Growth Improvement Program with the Small Business and Community 5. Religious facilities support.
Environmental Development Program. The Partnership Program is 6. Nature conservation support. Responsibility expected to deliver a variety of benefits, including: 7. Social community support in effort to alleviate Jasa Marga’s 1. The provision of positive contribution to poverty. Human Resources Development community development. Jasa Marga Cares 2. The development of public understanding Natural Disaster Relief Product regarding Jasa Marga’s activities through social In 2013, Jasa Marga distributed supports to natural Responsibility interaction. disaster victims, as a form of Company’s concern and 3. Build community image consisting empathy and empathy to those who are struck by the unfortunate positivity of Jasa Marga. disaster, which covered: 1. Emergency flood response assistance in Jakarta While Partnership Program (Program Kemitraan - PK) area, in form of food and groceries. is more oriented to the competency development of 2. Flood post assistance in East Jakarta, West Jakarta surrounding communities in the field of economic and Bekasi, which provided inflatable boats and independence as described in section “Support generators. for Economic Growth”, the implementation of the 3. Post-flood rehabilitation assistance in Jakarta, Community Development program is more oriented to Bekasi, Tangerang, Karawang, and Bandung the quality improvement of social life. area, including the provision of school supplies, environment and public facilities hygiene equipments. ACTIVITIES IMPLEMENTATION (G4-EC7) Community Development Program is an Education and/or Training Support empowerment program for social community In education sector, Jasa Marga assists with the condition from the State-Owned Enterprise (SOE) by establishment of educational means as well as training utilizing SOE fund which is appointed and conducted exertions which are expected to improve the education by State Trustees in operational areas of the company. of Indonesia’s young generation. Educational support According to the Letter of the Ministry of SOE Deputy which are distributed include: in Restructuring and Strategic Planning No.S-92/ 1. Provision of school equipment, soccer ball, D5.MBU/2013, dated April 2013, Jasa Marga do not futsal, basketball, computer, school bags for allocate the net profit and do not distribute new a number of elementary, middle and high Partnership Loan. Source of fund for both Partnership schools in operation areal of Jasa Marga. Program and Community Development Program are using the existing fund balance.
108 PT Jasa Marga (Persero) Tbk 2. Appropriation, restoration of educational 2. Paving and sewer repair which was located facilities for middle and high schools located at Gunung Putri sub-district and Kampung within Jasa Marga operational area. Rambutan village 3. The execution of ‘BOD Teaching Movement’ 3. Creating landfill tool in collaboration with at SMAN 1 Kuta Selatang Badung Bali, SMA Diponegoro Unversity Plus Negeri XVII Palembang, SMA Negeri 4. Development of clean water resources and road 1 Boyolangu Tulungagung, SMA Negeri I improvement in Cihanjuang Rahayu Village, Semarang and SMA in Medan. Parongpong Sub-District, West Bandung 4. Distribution of educational support in form of 5. Building of compost warehouse and garbage band, wireless, handycam, laptop and LCD TV sheds, latrines and borholes ring road in the execuion of ‘BOD Teaching Movement’. 6. Construction of bridge, neighborhood 5. Provide scholarships to outstanding students management, road elevation, building of talud with limited economic capacity at the level of and security posts, also construction of side road elementary, middle and high school. in the entire area of toll road operation.
In educational field, Jasa Marga believes that Religious Facilities Support the main foundation in forming the generation’s In assisting the development of religious facilities, Jasa competence is innate from good quality of Marga handed out supports as follows: education. To improve knowledge and culture about 1. Religious facilities restoration traffic according to Company’s operational activities, 2. Donation of religious service tools Jasa Marga also continues the program which 3. Participation in construction of Mosque in educates elementary schools located in DKI Jakarta, Cisadane, Bogor Banten, West Java, Central Java, East Java and North Sumatra about the importance of orerly traffic. Nature Conservation Support Jasa Marga highly supports MDG’s 7th point to ensure Health Improvement Support environmental sustainability. Realizing that their In health sector, activities that have been conducted operational activities would affect the surrounding include: environment, Jasa Marga sincerely manage the 1. Free medical treatment in every branch and Sister environment by conducting various programs Company. with aim to encourage the effort of sustaining the 2. Mass circumcision for children with limited environment. Jasa Marga shows contribution to economic capacity, which took event on school environmental sustainability effort through a number holiday period. of programs, both the operational activities as well as 3. Distribution of Ta’jil at gates, which took event the Community Development program. simultaneously at every Branch. 4. Free medical treatment for drivers, transport crew and Activities that are part of Community Development personnel on duty at Kampung Rambutan Terminal. activity, the conducted programs include: 1. Planting of production fruit trees at every branch Infrastructure and Facilities Development 2. Seeding and planting of mangrove program which Support took place in Tanjung Benoa, Bali. For public infrastructure development, Jasa Marga executed various programs, as follow: 1. The making of safety school zone marking which was conducted by the whole branch and Sister Company of PT Jalantol Lingkarluar Jakarta
2013 Sustainability Report 109 2013 Sustainability Social Community Support in Effort to Alleviate Poverty Performance Overview It is a new program initiated in 2013. The activities are aimed directly to the process of alleviating poverty, which
Message from lines with one of the programs in Millenium Development Goals(MDG). The President Director The activities include the distribution of groceries at operational areas which are Jagorawi, Cawang-Tomang- Sustainability Performance, Cengkareng and Belmera Branches. Awards and Certification in 2013 Total of the allocated funds to implement the entire activites in order to execute Community Development program About This Report is Rp 14,706,106,711 with details as follows: A primer on Jasa Marga Sustainability Branch Based Partnership and Community Development Value as of December 31, 2013 Governance Fields Health Education Public Religious Natural Environment Social TOTAL AMOUNT Economic Growth Infrastructures Facilities Disaster Conservation Community Improvement and Poverty Allevation Environmental Responsibility Head Office 72,208,000 1,393,803,700 593,809,700 599,245,750 263,950,000 755,115,000 113,782,500 3,791,914,650
Jasa Marga’s Cabang Jagorawi 107,947,500 1,078,535,565 912,688,998 101,299,300 - 44,170,000 89,637,000 2,334,278,363 Human Resources Development Cabang Cawang 79,531,812 129,760,489 93,708,571 252,154,121 - 44,170,000 99,000,000 698,324,993 Tomang Jasa Marga Cares Cengkareng
Product Cabang Jakarta 82,183,000 - 385,694,100 146,217,500 75,060,000 83,170,000 - 772,324,600 Responsibility Cikampek
Jakarta Tangerang 59,083,000 700,676,772 508,872,178 239,059,015 18,030,000 172,520,000 - 1,698,240,965 Branch
Purbaleunyi 117,866,000 146,555,000 551,491,790 156,093,300 65,775,000 44,170,000 - 1,081,951,090 Branch
Palikanci Branch 101,516,000 549,711,153 362,276,200 55,878,347 - 47,000,000 - 1,116,381,700
Semarang Branch 236,198,000 154,662,734 818,629,845 39,149,021 - 67,920,000 - 1,316,559,600
Surabaya Gempol 447,961,400 105,707,100 344,539,000 - - 90,170,000 - 988,377,500 Branch
Belmera Branch 53,383,000 145,650,000 562,644,250 - - 47,670,000 98,406,000 907,753,250
Total 1,357,877,712 4,405,062,513 5,134,354,632 1,589,096,354 422,815,000 1,396,075,000 400,825,500 14,706,106,711
Area Based Community Development and Environment Conservation Value as of December 31, 2013
Area Health Education Public Religious Natural Environment SOE Cares TOTAL AMOUNT Infrastructure Facilities Disaster Conservation
Jakarta 151,739,812 1,523,564,189 687,518,271 851,399,871 263,950,000 799,285,000 212,782,500 4,490,239,643
West Java 409,512,500 1,774,801,718 2,212,151,088 459,488,447 140,835,000 218,510,000 89,637,000 5,304,935,753
Banten 59,083,000 700,676,772 508,872,178 239,059,015 18,030,000 172,520,000 - 1,698,240,965
Central Java 236,198,000 154,662,734 818,629,845 39,149,021 - 67,920,000 - 1,316,559,600
East Java 447,961,400 105,707,100 344,539,000 - - 90,170,000 - 988,377,500
North Sumatera 53,383,000 145,650,000 562,644,250 - - 47,670,000 98,406,000 907,753,250
Total 1,357,877,712 4,405,062,513 5,134,354,632 1,589,096,354 422,815,000 1,396,075,000 400,825,500 14,706,106,711
110 PT Jasa Marga (Persero) Tbk Formation of Assisted Village
In year 2013, Jasa Marga through the CSR Unit will launch a new program, which is the Development Village, as part of the implementation of Poverty Alleviation program. This program is directed by the Ministry of SOE to create the synergy of Corporate Social Responsibility (CSR) in an area through Development Village program. With a theme To a Healthy Community, To a Smart Comunity, To a Clean and Green Environment as well as To a Growing Economy, activities of Community Village program are focused on the development and construction of facilities and infrastructures, educational activities, environmental management and potential economic empowerment. • In the First stage, in 2013 Jasa Marga conducts the Development Village in two areas, which are: Lingga Mukti Village, Darangdan Sub-District, Purwakarta Regency, West Java Province • Kadu Village, Curug Sub-District, Tangerang.
For Lingga Mukti village, Jasa Marga targets the growth and development of the village area as the central of palm sugar production. To realize the target, Jasa Marga collaborate with Tarumanegara University Community and Venture Service Agency to introduce the technology of pam sugar production, management trainings adn market establishment. 36 craftsmen participated in the training program.
For Kadu village, Jasa Marga collaborate with Rumah Zakat to organize entrepreneurship trainings, such as sewing skills training, which was attended by 15 participants and welding training whch was attended by 20 participants.
The training programs are the beginning of the formation of communities with potentials to grow and develop as well as improvement of welfare for the whole village as the result of economic growth within the Development Village
2013 Sustainability Report 111 Variable Message Sign.
2013 Sustainability Performance Overview
Message from The President Director
Sustainability Performance, Awards and Certification in 2013
About This Report
A primer on Jasa Marga
Sustainability Governance
Economic Growth Improvement
Environmental Responsibility
Jasa Marga’s Human Resources Development
Jasa Marga Cares
Product Responsibility
Toll improve and maintain service quality, Jasa Marga continues to conduct toll road upgrade in order to comply to the valuation indicator of Minimum Service Standard as evaluated by the Toll Road Regulatory Agency
112 PT Jasa Marga (Persero) Tbk Product Responsibility
Loyal toll road user, or Customers, and other stakeholders by acting To whow th commitment to have a set of expectations, which proactive and caring as well as prioritize customers’ expectation, include getting informations on emphasizing cautiousness.” Jasa Marga applies three strategic toll road traffic condition, ease steps, which are: of access, toll gate transaction Jasa Marga ensures the customers, 1. Increasing timeliness of efficiency, road condition and toll by service purchasing activities, transactions in order to diminish road environment, road marking are the stakeholders which play toll gate queues. sufficiency, lighting and safety the central role that guarantee the 2. Achieve traffic smoothness competence as well as traffic business to run, which also mean through the improvement of swiftness. Jasa Marga upholds the the main partner in the business service capacity and real time commitment to fulfill the entire development. Therefore for Jasa traffic information acess in order expectation as one of the main Marga, the fulfillment of service to lower travel disturbance. points of the company’s culture and product needs are conducted 3. Improving road construction value “S-Swift” which state “Jasa by prioritizing the fulfillment of quality, bridges and operational Marga swiftly serve customers customers’ expectation. support buildings.
2013 Sustainability Report 113 2013 Sustainability Strategy Services Aplication Performance Overview Improvement on gate transaction time to reduce queue at 1. Optimization on operational gates toll gates 2. Implementation of transaction officers at high volume gates Message from 3. Implementation of Automated Toll Gate The President 4. e-Toll Card Director 5. e-Toll Pass Sustainability Traffic streamlining through capacity building and the 1. Implementation of contra flow system Performance, provision of traffic real time information services in order to 2. Provision of operational technology infrastructure (CCTV, Awards and reduce travel disruption VMS, RTMS, Fiber Optic) Certification in 2013 3. Information media diversification (Jasa Marga Traffic Information Center/JTMC) About This Report 4. Implementation of information technolgy (mobile application, A primer on Jasa live streaming CCTV, Website, twitter) Marga Improvement for road, bridges and operational building 1. Installation of solar powered PJU infrastructure constructions quality Sustainability 2. Optimization of land usage to improve toll gates capacity. Governance
Economic Growth Improvement MINIMUM SERVICE STANDARD RULES customers which are periodically renewed have proven Environmental FULFILLMENT Responsibility that Jasa Marga has fulfilled the Minimum Service In the toll road operational event, Minimum Service Jasa Marga’s Standard and guarantee service product wuality as well Standard (MSS) which is established in Ministry Human Resources as customer’s security. Development Reguation of Public Works No. 392/PRT/M/2005 dated Jasa Marga Cares Agustus 31, 2005 in concern of minimum service TOLL ROAD PRODUCT AND SERVICE Product standard to be attained by Toll Road Enterprises in order Responsibility INFORMATION DISTRIBUTION to improve services to customers. Minimum Service To ensure service quality in toll road provision in Standard regulates six aspects of service substance compliance to the set of rules, Jasa Marga periodically which covers toll road condition, average speed limit, evaluate and open up access to toll road service. One accessibility, mobility, safety, rescue unit and service of the most important point in evaluating Minimum support. Service Standard from Toll Road Regulatory Agency is the road markings indicator, road lighting in urban Jasa Marga as the pioneering company in toll road areas and road-owned public fence which are types management and construction business, with the of facilities within the requirement list of toll road biggest total asset and longest of managed road in service product. In accordance to the evaluation and Indonesia, highly commited to submit to the set rule. assesment of Minimum Service Standard from Toll In order to guarantee the compliance to the set rules Road Regulatory Agency (listed in Appendix), toll road of service standard and fulfill customers’ expectations, under the management of Jasa Marga have complied Jasa Marga applies integrated service system in to the standard of service product and facility provision accommodating customers’ needs. which promotes customer safety. The compliance to the Minimum Service Standard has averted Jasa Marga from Toll improve and maintain service quality, Jasa Marga any related amercement. continues to conduct toll road upgrade in order to comply to the valuation indicator of Minimum Service Jasa Marga always improve the service quality with Standard as evaluated by the Toll Road Regulatory a target beyond the standard’s expectation. For the Agency. Overall Jasa Marga implements operational purpose, Jasa Marga supplies access for customers standard of ISO 9001: 2004 Quality Management System to claim a complaint for any discrepancies between to ensure the management process, improvement service product information standard against customers’ process and service process to comply with customers’ expectation standard, through an information center expectation with international quality. (Jasa Marga Traffic Information Center or JMTIC) as customer communication media which will record and Result from Toll Road Regulatory Agency and respond the particular complaint. commitment in providing the best service to the
114 PT Jasa Marga (Persero) Tbk JMTIC can be accessed through various of communication channels, which are: 1. JMTIC Call Center at 021-80880123, 2. Website www.jasamargalive.com, as well as 3. Mobile site m.jasamargalive.com 4. Twitter @PTJasamarga
JMTIC customer communication line can be elaborated by 4 channel of customer communication process as follows:
Start
1 Customer Finish (Users of Toll Roads)
Management 4 Representative Customer Branch Services Officer 3
Complain Inputs Information Request Help Inquiries Help Information
CCTV Shift Head LAN Chat RTMS 2
1. Toll Road user to contact Call Center which responded by a Customer Service Officer (CSO) for identification of complain/demand by these 5 category which are: i. Collecting information ii. Help assistance iii. Providing information iv. Report/complain v. Advice 2. If a customer reports a complain or advice, the Head Shift of JMTIC will receive and serve the complain/advice 3. If the complain/advice has been responded without a follow up, then CPAR (Corrective Preventive Action Request) which will be sent to the related branch would not be necessary 4. If a follow up is needed for a particular complain/advice, a CPAR (Corrective Preventive Action Request) form will be created and signed by the Branch’s Representative Management (RM). When the problem has been resolved, RM will contact the Customer to confirm the satisfactory regarding the conducted follow-up.
CUSTOMER SERVICE EXCELLENT To actualize the commitment to improve customer service and the intention to implement Service Excellence as part of company value J-S-M-R, the Company provides non-stop 24 hours quality service, which covers: 1. Maintenance service An activity targeted to maintain toll road quality in order to keep the travel convenience of the toll road.
2013 Sustainability Report 115 2013 Sustainability 2. Traffic servce For data entered through JMTIC, total of service Performance Overview Providing information of real time traffic condition amounts to 589.588, increased by 18,3% from 498.301
Message from for 24 hours via call center to establish travel services. Total of reports entered in year 2013 through The President easiness. This service also supported by the JMTIC reach to 988 reports, consists of 808 person Director existence of traffic monitoring facility and 60 submitting complain and 180 person submitting Sustainability variable message sign (VSM) n various roads advice. Performance, Awards and managed by the Company. Certification in 2013 Not only information, to ensure the quality of traffic From the 808 complains, a number of 684 complaints About This Report service to exceed the established standard, Jasa are handles directly by Head Shift of JMTIC. Meanwhile A primer on Jasa Marga also provide service patrol, free tow, and 124 complains are forwarded to the related Branch Marga ambulance ready for 24 hours in various locations, through Corrective and Preventive Action form. From Sustainability including rest areas to freshen up. 124 CPAR forwarded, 124 CPAR are solved and 0 CPAR Governance 3. Transaction service is still in handling. Based on the result, percentage of Economic Growth Improvement Jasa Marga provide 24 hours transaction service reports solution in 2013 was 100%, according to the
Environmental to the customers, complete with control provision number of reports submitted to JMTIC which are solved Responsibility of every transaction, security process and toll added by CPAR which are solved compared to CPAR Jasa Marga’s administration as well as other supports. reports which are not solved. Human Resources Development In order to improve transaction service quality at
Jasa Marga Cares transaction gates on entry way, Jasa Marga controls Service Category Frequency Based on Service Given the traffic density and providing e-toll card, by JMTIC Product Responsibility automatic toll gates and e-toll pass to speed up Services Category Period Report transaction process. 2013 2012 Information Request 5,167 5,574 Help Inquiries 15,864 13,241 CUSTOMER SATISFACtION LEVEL MONITOR Information Request 567,569 478,048 (G4-PR5) Complaints 808 1,185 Jasa Marca conducts a survey of customer satisfaction Inputs 180 253 level to receive a feedback for the service improvement Total Service 589,588 498,301 Frequency in pursuit of Service Excellence Standard perfection. This satisfactory measurement activity was reconducted in 2013 in each service area of the entire toll road. Customer Satisfactory 2013
Customer satisfactory level survey was conducted to measure: • Transaction service 15.5% • Traffic service 1.76% • Construction service 0.25% 2.79%
Survey was done in questionnaire method to the respondents. 17.08% Measurement of this customer satisfactory level is implemented by two programs, which are statistic data 62.67% analysis which is entered through JMTIC and customer surver conducted on every Company’s toll road.
Very Satisfied Once Not Satisfied Very Satisfied Very Dissatisfied Satisfied Very Dissatisfied Once
116 PT Jasa Marga (Persero) Tbk Jasa Marga Traffic Information Center.
To improve service quality to the customers and Customer satisfactory survey on the previous period , showing responsibility to the products of Jasa Marga, conducted in the year 2011 showed index of 3,79. This the Company conducts customer satisfactory survey corporate customer satisfactory survey is conducted periodically. Survey results are utilized as feedback every two year in odd numbered years. in service quality improvement. In 2013 Jasa Marga conducted another service quality survey. The survey These results show improvement trend, and become a was done using questionnaire method to a group of reference for Jasa Marga to improve customer service randomly chosen respondents. The result shows very quality and displays the responsibility as a reliable toll little respondents with highly satisfied answer. road management company.
Overall customer satisfactory survey index which was collected in year 2013 is 4,03 (in scale from 1 to 6).
2013 Sustainability Report 117 2013 Sustainability Performance Feedback Sheet Overview
Message from The President Director
Sustainability Jasa Marga Sustainability Report 2013 Performance, Thank you for reading Jasa Marga Sustainability Report 2013. For Jasa Marga , continuous improvement Awards and Certification in 2013 is essential to be able to give the best to our stakeholders. To improve the overall sustainability
About This Report performance of Jasa Marga we expect criticism and suggestions on this report.
A primer on Jasa Marga
Sustainability Governance
Economic Growth No Area Your Comment Improvement
Environmental 1. The information presented in the report meets your expectations. Responsibility 2. The data presented is transparent, trustworthy and fair. Jasa Marga’s Human Resources 3. The report can be read comfortably, with appropriate language style Development and clear. Jasa Marga Cares 4. Layout, color scheme, appearance and pictures in the report are Product Responsibility attractive. 5. The information that you would like to be discussed more deeply is
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Corporate Secretary Plaza Tol Taman Mini Indonesia Indah Jakarta 13550 Indonesia Tel : 62-21 841 3630, 841 3526 Fax : 62-21 841 3540 Email : [email protected], [email protected]
Website: www.jasamarga.com
118 PT Jasa Marga (Persero) Tbk 2013 Sustainability Report Sustainability Report 2013
PT Jasa Marga (Persero) Tbk. Plaza Tol Taman Mini Indonesia Indah Jakarta 13550 Indonesia Tel : 62-21 841 3630, 841 3526 Fax : 62-21 841 3540 Email : [email protected], [email protected]
Website: www.jasamarga.com