SIG Is Included In The IDX ESG Leaders Index Constituent List, Becomes The Only Representative Of The Building Materials Industry

Photo: Doc. SIG

JAKARTA - Shares of PT Semen Indonesia (Persero) Tbk (SIG) with the issuer code SMGR are designated as constituents of the IDX ESG Leaders Index for the period May 2 31 October 2025, based on an assessment conducted by PT Bursa Efek Indonesia (IDX) together with the international rating agency, Morningstar Sustainalytics. SIG is considered to have superior ESG (Environmental, Social, and Governance) performance, as well as good transaction liquidity and financial performance.

GIS Corporate Secretary, Vita Mahreyni said, ESG is the basis for Companies in carrying out business activities that are a competitive advantage in the midst of industrial movements towards sustainable development. The entry of GIS in the IDX ESG Leaders Index is a form of affirmation of GIS consistency in implementing ESG principles in the operation and performance of the Company's finances.

SIG is proud to be the only company from the building materials industry to enter the IDX ESG Leaders Index. In 2024, GIS managed to maintain the best ESG Risk Rating ranking, the category of building materials (construction materials) in Southeast Asia, through the achievement of the Medium Risk predicate with a score of 25.1 from Morningstar Sustainalytics. This is a proud achievement considering that the average score of the construction materials company is in the range of 34.1 or High Risk. The Company's share liquidity is also good with a free float ratio of 48.72%," said Vita Mahreyni, Friday, May 16.

Vita Mahreyni added, GIS has a Sustainability Roadmap 2030 which is a guide in integrating sustainability into the company's overall business strategy. In the environmental aspect, GIS focuses on efforts to reduce CO2 emissions through the use of alternative raw materials and fuel from industrial waste, biomass, and urban waste which is processed into refuse-derived fuel (RDF), as well as optimizing production processes with hydrogen injection technology and specific thermal energy consumption (STEC) efficiency.

SIG supports the development of new renewable energy through the use of solar panels and hydroelectric power plants for substitution of electrical energy sources in operational units, as well as optimizing energy by converting hot exhaust gases from the cement production process to electrical energy (Waste Heat Recovery Power Generation).

Thanks to various efforts that have been made, in 2024 GIS recorded a decrease in the intensity of greenhouse gas (GHG) emissions coverage of 19.5% compared to the 2010 baseline. Meanwhile, GRK coverage 2 (indirect emission from electrical energy) emissions decreased by 16.4% compared to the baseline in 2019.

On the social aspect, the success of SIG in transforming post-mining land into Ecopark Kambangsemi as an agricultural, livestock and fishery educational tourism destination, has provided many benefits for the community around the Company's operations in Tuban, East Java.

Currently, Ecopark Kambangsemi has become a forum for empowerment for hundreds of people, including 87 managers, 527 green belt farmers (green belts), 73 workers on reclamation land, and 16 MSME activists, with a total of 2,630 beneficiaries.

In the governance aspect, GIS is committed to implementing the Good Corporate Governance (GCG) principle at every level of organization and operational activities. This commitment is realized through the employee competency development program, compliance with Code of Conduct for all employees, as well as gratification control with the achievement of ISO 37001 certification on Anti-Bribery Management Systems.

The implementation of ESG is a form ofIG responsibility to build a better future. Not only for environmental sustainability and improvement of social life, the implementation of ESG also makes SIG more adaptive to various changes in industry to maintain the business of the Company in the future," said Vita Mahreyni.