Committed to ESG, Pertamina develops a climate village program

“In conducting the climate village program, Pertamina facilitates multi-stakeholders and multilevel collaboration in implementing concrete climate action at local level, especially in each village nearby our operation areas.”

PT Pertamina (Persero) has been implementing four community programs based on adaptation and mitigation approaches, as its Environmental, Social, and Governance (ESG) policy supports the government’s climate village program for reducing carbon emissions.

“In conducting the climate village program, Pertamina facilitates multi-stakeholders and multilevel collaboration in implementing concrete climate action at the local level, especially in each village nearby our operation areas,” Pertamina’s corporate secretary Brahmantya Satyamurti Poerwadi said during an online forum at the Indonesia Pavilion on the sidelines of the 26th UN Climate Change Conference (COP26) in Glasgow on Tuesday.

The four approaches taken by Pertamina include greening to increase and maintain vegetation cover, waste management, utilization of new and renewable energy (NRE) as well as agricultural cultivation with low greenhouse gas emissions to prevent land and forest fires.

By having planted more than 300,000 mangroves in collaboration with the community and local governments, Pertamina has succeeded in supporting economic independence through an eco-tourism program that has provided positive socio-economic impact to more than 3,000 beneficiaries. “The preservation of mangroves has become our concern,” Poerwadi asserted, adding this program resulted in Rp900 million group income per year.

The greening program has proven Pertamina’s commitment to achieving the Sustainable Development Goals (SDGs), particularly the 15th point, such as protection, restoration, and improvement of a sustainable ecosystem, forest sustainability management, land restoration, and avoiding the excision of biodiversity.

In accordance with its core competency in the energy sector, Pertamina takes the opportunity to promote awareness and intensify the utilization of potential sources of NRE available in the community. It aims to build energy independency at a community level as well as develop economic and value-creation for the community.

“The energy sources are varied from solar, wind and water – which are simply provided by nature and can be easily found by the community in their surrounding area,” he explained. The program has generated more than 4 million watt peak of solar electricity and economic income valued close to Rp200 million per year.

Pertamina is also improving its competencies in waste management by transforming waste to energy. Through this program, Pertamina develops the use of biogas for cooking and electricity needs, also transforming used cooking oil into biofuel. “The program is implemented in a number of areas. The utilization of more than 400,000 cubic meters of methane gas per year is estimated to create added value for more than 5,000 beneficiaries,” Poerwadi explained.

In the agricultural sector, Pertamina and the community in Sumatra area have made a unique breakthrough program by empowering the firefighter groups. The program carried out consists of developing technology to extinguish forest and land fires, as well as cultivating of productive plant on peat land. “With this activity, the community has succeeded in taking steps to prevent forest fires. In addition, Pertamina also helps the community to develop integrated farming,” he informed.

Through the program has been carried out in several operation areas with a total area of more than 100 hectares, Poerwadi said that it has a positive impact on the more than 1,000 beneficiaries and also improves the group’s income which totals more than Rp900 million per year. “We believe that to achieve climate action targets, all elements at various levels should work hand in hand to build climate resilience and minimize greenhouse gas emissions,” he said.

Indonesia is aiming to create 20,000 climate villages by 2024, in order to encourage people to improve climate resilience through adaptation actions and contribute to reducing greenhouse gas emissions through mitigation.

Media Contact:
Fajriyah Usman
Pjs Senior Vice President,
Corporate Communications & Investor Relations
PT Pertamina (Persero)
M: +62 858 8330 8686

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