Achieves 1st Place In ARA 2023, Pupuk Kaltim Realizes Transparency And Accountability Of Company Governance

Photo: Doc. Pupuk Kaltim

JAKARTA - PT Pupuk Kalimantan Timur (Pupuk Kaltim) won the 2023 Annual Report Award (ARA) for the Non-Financial Public Go category, for transparency in the disclosure of corporate governance practices and sustainability in annual reports. The award was received by the President Director of Pupuk Kaltim Budi Wahju Soesilo, in Jakarta, Monday 7 October.

Budi Wahju Soesilo said transparency and Good Corporate Governance (GCG) are the keys to Pupuk Kaltim maintaining the company's sustainability and resilience, especially in facing various industrial challenges that continue to move dynamically. This is explained through the performance of sustainability in annual reports, as part of the practice of transparent and accountable corporate governance.

Disclosure of various aspects in the annual report, is a manifestation of Pupuk Kaltim's commitment to public information disclosure related to company performance, risk management to the sustainability steps taken. This is also an affirmation of Pupuk Kaltim in running responsible businesses, by continuing to prioritize transparency that can be accounted for in every aspect.

"This award is proof of Pupuk Kaltim's commitment to continue to run businesses that are not only profit-oriented, but also ensure that all operational activities are carried out with full responsibility, transparency and sustainability," said Soesilo.

Soesilo explained, this success is inseparable from Pupuk Kaltim's efforts to develop innovations in the preparation of annual reports, which not only focus on the presentation of data and financial information, but also include other important elements such as environmental, social and governance reports that rely on Environmental, Social and Governance (ESG) principles to ensure industrial activities always pay attention to the surrounding environmental aspects.

In addition, the preparation of the annual Pupuk Kaltim report is not only to meet regulatory standards, but also provides clear and comprehensive information to stakeholders. Mainly combining financial performance and non-financial disclosure, which is an important basis in evaluating the company's overall performance.

One of the innovations is the integration of the sustainability approach in reporting, by emphasizing the importance of the Company's positive impact on society and the environment. This step is a form of Pupuk Kaltim's commitment to running a sustainable and responsible business, one of which is the implementation of the Social and Environmental Responsibility program (TJSL) which focuses on community development, environmental management, and increasing human resource capacity.

"All programs are prepared and implemented according to the target, taking into account the sustainability aspect in it. Starting from support for the development of local MSMEs, education, health and the environment, to other social programs that have a positive impact in society," explained Soesilo.

Likewise, compliance with GCG regulations and implementation is the main foundation of Pupuk Kaltim in running a business, in order to ensure that every decision taken does not only comply with applicable legal aspects, but also rests on high ethical values as an absolute in corporate governance.

Soesilo said, the implementation of GCG consistently not only increases the trust of stakeholders, but also strengthens the company's position in facing global competition. This effort is supported by all company personnel who work proactively, dedicated and always innovate to improve GCG standards through various strategies, in order to ensure compliance with laws and regulations.

"Pupuk Kaltim also continues to improve the quality of company governance, through various program initiatives to increase management capacity to encourage the growth of the business ecosystem," continued Soesilo.

He also said that the 2023 ARA award was an important milestone for Pupuk Kaltim, to continue to move forward to develop a sustainable and environmentally friendly business strategy, while still prioritizing healthy performance and profitability. This is also an effort to strengthen the position as a leader of the fertilizer industry in Indonesia, with a focus on innovation and good corporate governance.

"Pupuk Kaltim will continue to maximize efforts to improve performance and contribution to the community to the environment. At the same time establishing itself as a company that is not only superior in terms of finance, but also transparency, sustainability and social responsibility," said Soesilo.

Chairman of the National Committee for Governance Policy (KNKG) Prof. Mardiasmo, said ARA aims to encourage the application of corporate governance principles in Indonesia, through information disclosure to governance and sustainability practices. This is done through an assessment of the company's annual reports and sustainability, as well as providing comprehensive recommendations for improvement.

In line with the theme 'Internalizing Integrated Mindset Towards Sustainable Long Term Value Creation', ARA is also aimed at increasing integration of sustainability aspects in strategic planning and business processes for long-term value creation, by revealing it in annual reports and sustainability reports, in order to achieve an improvement in the quality of information presentation in both reports.

"The assessment is also carried out on the disclosure of information on annual reports and sustainability reports, in accordance with the relevant and reasonable provisions and guidelines presented," said Mardiasmo.