Sweeping 16 Gold PROPER 2020, Pertamina Strengthen ESG Commitment

Jakarta, December 15, 2020 - PT Pertamina (Persero) receives 16 gold awards from the Corporate Performance Rating Program in Environmental Management (Proper) 2020 organized by the Ministry of Environment and Forestry (KLHK).

The 16 recipients of the 2020 Gold Proper in Pertamina Group, namely PT Pertamina EP Subang Field, PT Pertamina Hulu Energi - Jambi Merang, PT Pertamina Hulu Energi - WMO, JOB Pertamina - Medco Energi Tomori Sulawesi, PT Pertamina EP Asset 1 - Rantau Field , PT Badak LNG, PT Pertamina (Persero) RU VI Balongan Refinery, PT Pertamina (Persero) RU IV Cilacap Refinery, PT Pertamina RU II - Sei Pakning, PT Pertamina Geothermal Energi - Are Kamojang, PT Pertamina MOR IV Fuel terminal Boyolali, PT Pertamina MOR IV Fuel Maos, PT Pertamina MOR IV Fuel Terminal Rewulu, PT Pertamina MOR V Fuel Terminal Tanjung Wangi, PT Pertamina EP Asset 3 Tambun Field and PT Pertamina Gas East Java Area.

Pertamina, through PT Polytama Propindo, a subsidiary of PT Trans Pacific Petrochemical Indotama (TPPI), is the only recipient of the 2020 Gold Proper in the Petrochemical category. TPPI is a company that was successfully acquired by Pertamina at the end of 2019 and is prepared to develop the petrochemical business in the future.

This achievement further strengthens Pertamina's commitment to ensure the long-term sustainability of the company's business. It is also in line with the implementation of Environment Social & Governance (ESG) and the Sustainability Development Goals (SDGs).

The Proper Award was presented by the Minister of Environment and Forestry of the Republic of Indonesia, Siti Nurbaya Bakar, to the President Director of Pertamina, Nicke Widyawati, at the Proper Environmental Award ceremony, which took place at the Manggala Wanabakti Auditorium, Jakarta, on Monday (14/12).

In her remarks, Siti Nurbaya stated that Proper 2020 was held during the Covid-19 pandemic, a black swan event phenomenon, as an unexpected event that went beyond normal conditions and had a significant impact. For this reason, KLHK, in this year's Proper assessment, added the criteria for company responsiveness to planning in the aspect of community empowerment.

"This criterion asks for the company's commitment to protecting employees so that they are not terminated (PHK). The business world is also encouraged to increase partnerships with government agencies, non-governmental organizations, universities, and international agencies to deal with disasters," said Siti Nurbaya.

Siti Nurbaya added that the Proper 2020 evaluation results showed that even during the Covid-19 pandemic, its performance could still be maintained. The level of compliance with the environment increased from 85 percent in 2019 to 88 percent in 2020.

"The company's creativity and innovation were not hindered by the Covid disaster. There were 806 innovations produced by the company, an increase of 2% from 2019. This innovation has resulted in energy, water savings, and reduction of greenhouse gas effects," added Situ Nurbaya.

Vice President of Corporate Communication of Pertamina, Fajriyah Usman, explained that Pertamina welcomed the Indonesian Government's Proper event through the Ministry of Environment and Forestry (KLHK). With the PROPER existence, assessing a company's environmental management performance is more measurable, objective, and accountable. According to her, Pertamina's participation will provide positive benefits in future business development and stakeholder confidence. Proper will also guide companies in complying with statutory regulations.

"Proper is in line with Pertamina's commitment to maintaining a balance between economic performance, nature, environment, and community sustainability to achieve sustainable business growth. This is our caring energy," said Fajriyah.

Fajriyah said Pertamina's compliance level and the operating unit on social and environmental issues were seen in their participation during the last three years. In 2017, Pertamina won 11 out of 19 Gold Proper. Then in 2018, Pertamina received 14 out of 20 Gold Proper. Meanwhile, in 2019, it received 13 out of 26 Gold Proper.

In addition to obtaining 16 Gold Proper ratings in 2020, Green Proper ratings were obtained in 76 locations for Pertamina's Operations Units / Subsidiaries or 45% of National Green Proper recipients.

"This achievement indicates that Pertamina has consistently demonstrated environmental excellence in its production and service processes as well as conducting business that is ethical and responsible to society through the Social and Environmental Responsibility Program," she said.

She added that Pertamina has also carried out environmental management beyond what is required in the regulations (beyond compliance) by implementing an environmental management system and utilizing resources efficiently and properly implementing social responsibility.

Even when the world was hit by the Covid-19 pandemic, which resulted in Triple Shock, Pertamina and its Operations Unit and Subsidiaries played an active role in supporting the Government's program. Pertamina forms a Covid-19 Task Force, developing Disaster Response groups, preparing Hospitals for handling Covid-19 19, provision of medical personnel, health equipment, PPE, and medicines. Pertamina also provides clean water assistance, basic needs, food, drinks and vitamins, empowerment of Informal Sector Workers and Social Institutions Awakening from Covid-19, empowering MSMEs to provide cloth masks, portable sinks, hand sanitizer, the Covid-19 Village Alert - Toddler-Friendly program, as well as the Disaster Prevention, Response, Management, and Recovery program.

"Pertamina also continues to participate in supporting the achievement of the Paris Agreement regarding the commitment to reduce GHG emissions by at least 29% by 2030 through several programs such as the use of biofuels, development of geothermal power plants, and other renewable energy," said Fajriyah.**