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Sustainabilityof
IDX: PGASPT Perusahaan Gas Negara (Persero) Tbk Sustainability Report 2014
Mrs. Menik Yuli Hastuti,owner of Editha Art Craft in Yogyakarta is a PGN small enterprise partner
PT Perusahaan Gas Negara (Persero) TbkJl. K.H. Zainul Arifin No. 20Jakarta 11140, IndonesiaT +6221 633 4838F +6221 633 3080www.pgn.co.id
Contact CenterT 1500 645E [email protected] K.H. Zainul Arifin No. 20Jakarta 11140, Indonesia
Sustainability Report 20142014
PT Perusahaan Gas Negara (Persero) TbkA Story of Sustainability
Sustainability Report
1 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
A Story of Sustainability
a Story of SuStainability
In the last decade, the world seems to be caught between a rock and hard case when it has to consume energy to be productive but at the same time want to reduce carbon footprint. At one point we accept the fate or notion that we cant have both. In such condition, natural gas becomes a valuable alternative solution to the currently fossil fuel-dependent socio-economic growth. Giving the hope of a more sustainable future where business can flourish, people can enjoy their lives, and at the same time nature can be preserved.
As such, PGN understands that what we are managing is a clean energy for a better and brighter future for us and our next generation. Therefore it would be ironic should PGN manage natural gas in an unsustainable manner. How can we hope to be able to preserve the future while our present actions are not sustainable? Thus the story of a sustainable PGN began.
We understand the value of the natural gas as a clean energy that we manage and how it can allow people to be productive, or consumptive, but at the same time still preserving Mother Nature. To achieve such goal, our sustainability effort must transcend beyond philanthropy act. Sustainability must be intertwined in how PGN operates the business, our day-to-day activity, and our decisions. With such mindset, PGN believes the new age of energy will come sooner to Indonesia. In which we hope natural gas will have a special place in the lives and hearts of our consumers, both personal and business. Especially looking at the fact that Indonesia has an abundant reserve of natural gas in its nature. Vast potential is waiting to be unlock and put into good use in sustaining Indonesias economic growth and PGN embrace our duty and responsibility to contribute to unlock this potential and bring our story of sustainability to life.
2 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
Contents 3
ContEntS
3 Economic Performance7 Environment Performance9 Social Performance
10 Safety Performance11 PGN Social Investment12 Important Event in 201414 Award and Certificate16 MESSagE of thE PrESidEnt
CoMMiSSionEr18 MESSagE of thE PrESidEnt dirECtor21 about thiS rEPort31 about PEruSahaan gaS nEgara34 Vision and Misssion38 Brief History41 Business Network and Operational Area 46 Information of Subsidiary and
Associated Companies49 Business Model50 PGN in Numbers51 Company Identity Sheet53 SuStainability govErnanCE 57 Governance Structure67 iMProving thE EConoMy71 Distribution of Economic Value72 Contribution to the State73 Contribution to Regional Economic Growth73 Fostering Good Relations With Business
Partners74 Business Development79 Community Partnership Program83 EnvironMEntal rESPonSibility86 Climate Change as a Global Environmental
Issue 87 Greenhouse Gas Emissions from PGNs
Business Activities 88 Climate Change Impact on PGNs Business
Activities 88 Opportunities Resulting from Climate
Change 89 Transforming the Environment, PGNs
Participation in GHG Mitigation Efforts92 Reviews and Continuous Improvements to
Environmental Policies 94 Sustainable Environment Management and
Monitoring 97 Regreening Program97 Water Conservation 98 Material Use99 Efficient Use of Paper
99 Carbon Emission Management 101 Replacing Chiller Fuel to Cool Rooms 102 Applying Operational Innovations for
Conversion From Gasoline to CNG 103 Environmental Conservation Through the
Community Stewardship Program 107 Prioritizing oCCuPational hEalth and
SafEty 111 Occupational Health and Safety Policies and
Objectives 113 OHS Management System 114 Central Safety Committee116 Target and Progress in Implementing the
OHS Roadmap 117 OHS Program 2014
120 2014 OHS Performance 127 2014 OHS Awards 129 iMProving SErviCES133 Reliable, Trustworthy Product Information133 Maintaining Product Quality in Accordance
with Regulations and Standards 134 Providing the Best Customer Service135 Customer Gatherings136 Monitoring Levels of Customer Satisfaction 136 Customer Cards139 huMan rESourCE dEvEloPMEnt at Pgn142 PGNs Commitment to Upholding Human
Rights 143 Freedom of Association and Industrial
Relations 144 PGNs Commitment to the Principle of
Equality 145 PGN Human Resource Profile 146 Employee Assessment Management 146 Effective Communication 147 Employee Turnover148 Recruiting the Best 149 Education and Training 149 Executive Program 151 Career Path Management 152 Retirement Preparation152 Employee Welfare155 Healthcare and Social Security Agency (BPjS
Kesehatan) Program157 iMProving CoMMunity WElfarE161 Synergy With Local SMES
166 Assurance Statement168 GRI G4 Core Index
4.000
3,758
3,0202,800 2,910
79 67
2013 2014
1.000
0
2.000
2.500
3.000
3.500
1.500
500
3 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
Economic Performance
Direct economic Value GenerateD anD DistributeD
(USD) 2013 (restated) 2014
DIRECT ECONOMIC VALUE GENERATED AND DISTRIBUTED
Income 3,001,516,630 3,408,590,061
Interest income 26,910,239 26,032,902
Income from investment in subsidiaries - -
Income from sale of assets - -
Income from investment in foreign currency 83,899,215 47,452,904
Other income 57,139,294 73,123,091
total direct economic value generated 3,169,465,378 3,555,198,958
Economic value distributed:
Operating costs 1,956,971,704 2,327,253,644
Employee wages and benefits:
- Operation department 38,391,494 37,162,605
- Administration department 83,715,450 87,161,223
Total employee wages and benefits 122,106,944 124,323,828
Payment to providers of capital:
- Dividend payment 510,620,916 454,456,178
- Interest payment 21,863,585 75,575,385
Total payment to providers of capital: 532,484,502 530,031,563
Payment to government 359,360,597 257,108,917
Community investments 8,023,231 11,644,571
Economic value distributed 2,978,946,977 3,250,362,523
Economic value retanied before dividend
Economic value retanied after dividend 190,518,401 304,836,435
Contribution to thE StatE
Tax
DividendBPH Migas Retribution
Billion Rupiah
EConoMiC PErforManCE
EConoMiC valuEdiStributEd(uSd)
4 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
Economic Performance 5
dirECt EConoMiCvaluE gEnEratEd(uSd)
PayMEnt to SuPPliErS(uSd)
rEWard for WorKErS(uSd)
CorPoratE SoCial rESPonSibilityand EnvironMEntal dEvEloPMEnt (uSd)
3,169,465,377
2,978,614,151
54,659,968
1,537,213,811
11,071,631
3,555,198,958
3,250,362,523
63,455,408
1,729,849,094
11,700,452
2013 2013 2013 2013 20132014 2014 2014 2014 2014
1,294,481
285,429,030
359,360,597
532,484,502
12,547,203
252,931,292
257,108,917
530,031,563
20132013 2013 201320142014 2014 2014
5 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
Economic Performance
usd11,700,452 NONE
5,292014
CuStoMEr SatiSfaCtion indEx (CSi)
CorPoratE SoCial rESPonSibility andEnvironMEntal dEvEloPMEnt fund
infraCtion of MarKEting CaSES
PartnErShiP
5,222013
usd12,547,203
Total Distribution Partnership Fund
6.755Total Partnership
2014
92.88%(SkOr 3)
Effectivity Ratio of Distribution
Partnership Fund
EConoMiC PErforManCE
total diStribution of PartnErShiP fund(uSd)
PayMEnt togovErnMEnt(uSd)
dividEnd for StatE(uSd)
PayMEnt to ProvidEr of CaPital(uSd)
6 PT Perusahaan Gas Negara (Persero) Tbk 2014 Sustainability Report
Economic Performance 7
0
5
10
15
20
25
30
35
40
Project
SBU TSJ
SBU Distribution III
SBU Distribution II
SBU Distribution I
Head Office
FlightsElectricityGas for ChillerVehicle Gas FuelVehicle Fuel OilGenset FuelGas FuelBlowdownInstrumentationVenting
5.14----- 3.19
0.30
----- ----- 0.73
37.84---- - 1.15-0.07-0.02
0.66
1.150.43
0.510.23
0.16
0.19
0.03--0.06
0.21
- - --0.11
1.00
1.46
1.15-3.53
0.56
4.82
- 0.140.04
0.13-0.05
Carbon EMiSSion CoMPoSition of EnErgy ConSuMPtion aCtivity 2013 (Thousand CO2 Ton eq)
Carbon EMiSSion PEr unit 2013 (Thousand CO2 Ton eq)
5
Venting Blowdown Gas Leak Gas Fuel GensetFuel
Vehicle Fuel Oil
Vehicle GasFuel
Gas for Chiller
Electricity FlightsInstrumentation0
10
15
20
25
30
35
40
0.35
5.14
3.190.30
0
38.57
1..24 2.29 0.49 1.10
11.53
7 PT Perusahaan Gas Negara
