Corporate Social Responsibility (CSR)

CORPORATE SOCIAL RESPONSIBILITY

PLN has been “committed to making electricity as a medium to improve the quality of people’s lives, striving for electricity to be a driver of economic activity and carrying out business activities that are environmentally sound”, PLN is determined to harmonize the development of three aspects in the supply of electricity, namely economic, social and environmental. For this reason, PLN developed the Corporate Social Responsibility (CSR) Program as a tangible manifestation of Corporate Social Responsibility.

 

The authority and responsibilities of the Partnership and Community Development Program (PKBL) and Corporate Social Responsibility (CSR) of PT PLN (Persero), include among others:

  • Formulate and implement community empowerment policies in the corporate environment as part of corporate social responsibility and CSR with the scope of activities of Community relations, Community Services, Community Empowering and Nature preservation.
  • Develop and implement corporate social awareness programs.
  • Develop and implement a social partnership and community development program for SMEs and enhance the company’s image.
  • Ensurine the availability and implementation of nature conservation programs including greening and efforts to develop company image in accordance with the principles of Good Corporate Governance.

 

PROGRAM IMPLEMENTATION

  1. COMPANY SOCIAL RESPONSIBILITY PROGRAM (CSR)

This activity involves developing an understanding through communication and information to the parties concerned. Some of the activities carried out by PLN include: conducting socialization of electrical installations, for example through educating to high school students in West Java about SUTT / SUTET, and carrying out socialization of kite hazards in the Sumenep area, Madura Island, East Java

Community Services

The assistance program in this activity is related to community service or public interest. Activities undertaken during 2011 included providing:

  • Natural disaster relief.
  • Assistance to improve health around the PLN installations, including in Asemrowo Village, Surabaya, which is around the Sawahan-Waru 150kV SUTT.
  • Assistance with public facilities for plastering for rural residents in Rumpin Subdistrict – Bogor Regency, West Java and assistance for paving public roads in Bogor – Buleleng, Bali.
  • Assistance in improving religious facilities.
  • Free cataract operations in Aceh, Pekanbaru, West Java and other cities in Indonesia
  • Aid for clean water facilities,
  1. c) Community Empowering

This activity consists of programs that provide wider access to the community to support its independence. Activities undertaken include:

  • Assistance in the production and development of alternative fish feed around SUTET, in collaboration with the UGM Faculty of Agriculture.
  • Aid for agricultural equipment to the Ngaran Jaya farmer group Kulonprogo Regency, Central Java.
  • Assistance in the development of organic papaya cultivation for the communities around Merapi Mountain in Yogyakarta in collaboration with the UGM Faculty of Agriculture.
  • Assistance in developing high productivity SRI rice cropping patterns
  • Training assistance for developing organic plant cultivation around the PLN installation
  • Empowerment of PKK members Asemrowo, Surabaya.
  • Oyster mushroom cultivation program for the community of Umbul Metro Village, Lampung.
  • Training assistance for other grass cultivation in East Kalimantan
  • Training assistance for Lake Sentani freshwater fish pond farmer groups, Papua
  • SME management training and tips for developing SMEs in Papua
  • Marketing and financial management training for Papuan souvenir craftsmen
  • Agricultural counseling for farmers in Genyem, Papua
  • Provision of community cocoa seedlings under ROW P3B Sumatra

 

  1. MANDIRI ENERGY VILLAGE PROGRAM including:

 

Micro Hydro Power Plant (PLTMH) Development

PLTMH is built in a relatively remote area, but it is difficult to access by the electricity network economically, but has the potential for a potential water source and sufficient forest area to guarantee water supply. To provide the benefits of lighting as well as to encourage local communities to preserve the environment, PLN is helping to build PLTMH in collaboration with universities. One of the PLTMH units resulting from this collaboration was built in Pesawaran Indah Village, Lampung.

Several PLTMH units in cooperation with PLN and Gadjah Mada University, were also built in several other locations, namely:

  • Lebak Picung Hamlet, illuminating 52 families, 1 elementary school and 1 musholla.
  • Susuan Karang Asem Village, Bali Province with a capacity of 25 KW
  • Kampung Sawah Hamlet, capacity of 6 KW, illuminates 40 families
  • Bojong Cisono Hamlet, capacity of 6KW, illuminates 70 families
  • Cibadak Hamlet, capacity of 6KW, illuminates 266 families
  • Cisuren Hamlet, capacity of 12KW, illuminates 120 families
  • Ciawi sub-village, capacity of 6KW, illuminates 180 households
  • Luewi Gajah Hamlet, capacity of 6KW, illuminates 70 families
  • Parakan Darai Hamlet, 10 KW capacity, illuminates 54 families
  • PLTMH in Sungai Code, Yogyakarta

 

 

 

Biogas power plant

Biogas builders are established in areas with dominant animal husbandry activities. This power plant uses cattle dung, usually cattle, as the main ingredient. The electricity generation process is carried out by utilizing methane gas from the fermentation of livestock manure. The methane gas produced can be used to generate electricity or can be used for cooking. The remaining fermentation can be used as fertilizer. PLN has supported the development of community-based biogas optimization and local potential in the independent village of Bojong Sleman, in collaboration with the UGM Faculty of Engineering.

 

Education and counseling

In addition to infrastructure development activities related to energy, PLN’s Energy Independent Village CSR Program also organizes various education and extension programs aimed at providing an understanding of the effect of electricity, electricity transmission and distribution networks on the environment and public health in addition to implementing aid programs to improve community independence.

 

Nature preservation, including greening

Planting and tree maintenance activities that have been routinely carried out to assist the environment in recovering the impact of human activities. In 2010 until

 

  1. COMMUNITY DEVELOPMENT PROGRAM

Partnership Program (PK)

The Partnership Program is a program to improve the ability of small businesses to become resilient and independent through the use of funds from the SOE’s profit share.

Implementation of PK is generally carried out through structural guidance by the Company directly to the Fostered Partners through Regional / Distribution Offices, Branches, Service Units, Service Areas (except those located equally with Regional / Distribution Offices). The implementation of PK is basically carried out through several stages, as follows:

 

  • Conduct a field research survey at the request of assistance from prospective Partners. The feasibility evaluation is carried out in accordance with proper and fair business principles, and is coordinated with the relevant agencies;
  • Coaching partnerships in the form of education and training, marketing, working capital assistance, processing credit guarantees, monitoring and evaluating to Foster Partners, recording and accounting for related transactions;
  • Make periodic reports (quarterly and annually).

 

Community Development Program

The environmental development program is carried out in the form of educational assistance activities for communities around the transmission and distribution locations that are unable, but have great intelligence and willingness to continue their education. In addition, it is carried out through nature conservation activities in the form of greening program participation organized by external parties in collaboration with the Government and the realization of greening around the PLN installations.

Other activities carried out in the context of Community Development are natural disaster relief activities (BUMN Peduli) that occurred in Merapi, Mentawai, Mount Sinabung, Wasior flash floods and other social activities.

 

STORY OF PARTNERS OF DEVELOPMENT

JAT’SS CRAFT – KOTA GEDE YOGYAKARTA (COPPER Craftsman)

One of the fostered partners of PT PLN (Persero) who feels benefited from SOE Ministerial Regulation No. PER-05 / MBU / 2007 concerning PKBL is Mr. Ojat Sudrajat, Owner of JAT’S CRAFT in Kota Gede, Yogyakarta. A father of three children who migrated in his childhood to Yogyakarta from Sumedang, West Java, following his parents who were of entrepreneurial blood. In the town of copper craftsmen, Mr. Ojat’s small business began in 2001. However, the storm of the financial crisis 97-98 affected his small business. Pak Ojat also made many proposals to almost all agencies. Not giving up until in 2000, PT PLN (Persero) PKBL disbursed assistance amounting to approximately Rp. 4 million and since then, he has been a fostered partner of PT PLN (Persero).

 

Two years after becoming a partner of PT PLN (Persero), Jat’s Craft – had participated in an exhibition in Surabaya. In 2003, he submitted another proposal to PT PLN (Persero) PKBL after the first successful loan he made, PT PLN (Persero) PKBL because of his trust in providing funds of Rp. 14 million. In 2004 there was an exhibition to Singapore. The 2006 Jogjakarta earthquake caused business activities to stop. Starting from home, workshops and machines were completely destroyed. However, PT PLN (Persero) gave one year of leeway not in installments. Not only allowance for installments, PT PLN (Persero) invites these tenacious partners to exhibit in Berlin. gives an opportunity for exhibitions at the international level to sell his works. “I am lucky, I have been a partner of PT PLN (Persero) for a long time, because other new UKMs if they want to get help, there must be a guarantee.

 

Maybe for the avoidance of bad credit in the future. “Mr. Ojat also expressed that there should be a higher level of trust when the fostered partner has been established for more than ten years. This is Mr. Ojat’s experience during an exhibition by PT PLN (Persero) in Berlin. A buyer orders his craft up to 1.3 billion rupiah. But, the buyer only wants to give a 30% down payment, Mr. Ojat is distraught from where he got 20% for his initial capital. “I asked for advice from PT PLN (Persero) at the time, even I offered profit sharing with PT PLN (Persero). But because there was no program, PLN PT PLN (Persero) could not disburse funds for me. Yes, I have released the order because I do not have enough capital. “However, that did not make him despair. It is precisely what drives Pak Ojat to be more creative and resilient.

SURYA UTAMA MANDIRI (MOTHER HARYANTI) (TEMPURUNG Craftsman)

Initially, while working as an honorary kindergarten teacher, Haryanti made creations from a simple coconut shell. Until one day, someone came to him to make a new creation, a bag made from shell. “Well, the first is afraid of failure, but there is a desire to make other creations.” Said the woman born on December 23 this. After trying and successfully adding satisfied customers, create enthusiasm for creating new forms. “If the goods are all that, customers can get bored. We can also be inferior to those who have similar businesses, “said the former honorary teacher. The business which was pioneered in 2002, initially made its own products.

However, it did before the order overflowed as it is now. Starting from taking shell waste, shaping it into works of art to marketing, she acted with the help of her husband. Now, when his business has bloomed, he can no longer work alone so as to employ others. A total of 10 employees are now helping him produce these various coconut shell handicrafts. “My husband and I just have to divide the tasks. I hold the marketing, while the husband of the production of goods, “added the mother of three children. To market their products, the exhibition has become a mainstay. Especially after receiving an injection of PKBL funds from PT PLN (Persero), the exhibition was one of its successes. “PT PLN (Persero) ‘s PKBL program is good, not only giving money, but PLN really empowers us, one of which is the exhibition,” he said happily. This college school graduate claimed to be invited by a friend to make a proposal to PT PLN (Persero) PKBL in 2008 with a fund of Rp 20 million. “This is the first time, and a month later, I can call if my proposal is approved and the funds are immediately disbursed.”

The exhibition has proven effective in introducing this product to a wider audience. The proof, orders come from everywhere like Jakarta, Bali, even from distant countries, Jamaica, Canada and Malaysia. Haryanti is very helpful as one of PT PLN (Persero) ‘s fostered partners. “The most important UKM is exhibition and marketing. PT PLN’s (PKBL) PKBL makes me comfortable with this program. ”Not only giving assistance in the form of material and marketing, Haryanti was greatly helped by PLN PKBL officials who, according to him, could give a tolerance if he could not pay in installments. Although relatively rare, but he had experienced financial difficulties, up to 1 month in arrears. PT PLN (Persero) does not charge interest for late bills. “In contrast to the Bank, we will definitely be worried a little late because there are interest charges and late fees. Alhamdulillah, PT PLN (Persero) believed me so much, anyway because at that time I was lacking. It almost paid off smoothly and PT PLN (Persero) continued to believe in me as their target. “

SHARE LIGHT FOR ALL

Who does not know PT PLN (Persero)? The National Electricity Company which is one of the largest state-owned SOEs in the country. The existence of PT PLN (Persero) is very important and fundamental for the community. Without lighting, this book will not be in your hands. In the ’80s, there was a program called Electricity to Enter the Village. This program is the achievement of PT PLN (Persero) to enlighten the country to remote parts of the archipelago.

 

Now, the entire archipelago is bright. PT PLN (Persero) has succeeded in illuminating remote areas. The community is certainly greatly helped by PT PLN (Persero) because electricity has reached their homes. Seeing that electricity is a basic need of the community, it is very important for PT PLN (Persero) and the community to join hands so that both parties benefit each other. Customers get the best service from PT PLN (Persero), while PT PLN (Persero) gets help from the community because they take part in guarding and maintaining to feel they own the installation of PT PLN (Persero).

 

Not only the relationship as a customer, but PT PLN (Persero) also contributes socially to the community. Through the Corporate Social Responsibility (CSR) program, PT PLN (Persero) also plays a role in helping the government to improve the lives of the people. The presence of PT PLN (Persero) CSR can certainly provide a positive image for PT PLN (Persero).

Through this book, let’s continue holding hands. Two-way communication for the sake of good corporate image in implementing Good Corporate Governance. This book is here for you as a courtesy for us to our fostered partners who are loyal and have success with their business and bring the fragrance of PT PLN (Persero).

 

 

Success Stories of fostered partners and BL programs

PAY ELECTRICITY (enough) WITH WASTE

The process of payment of electricity bills for residents around the garbage bank, so far, has been carried out at the PPOB counters outside their area. This then raises additional costs for residents, such as transportation and parking costs, in addition there are also administrative costs that will be collected by the ticket window owner.

This potential was then seen by PLN’s CSR-Community Development Team as an opportunity that was properly packaged in a 2012 CSR-Community Development action program design. In 2011, through the CSR-Community Development program, PLN had successfully conducted training and encouraged the establishment of 125 points fostered waste banks in Surabaya and 280 points waste banks in Malang.

 

To maintain the sustainability of the program and support the development of the garbage bank, in 2012, PLN’s CSR-Community Development program launched the Shining Entrepreneur Program “PPOB – Pay electricity with rubbish” and “Master Trash Bank”. Aside from being a form of program sustainability in the previous year, this program action is also a form of PLN’s commitment to continue developing the waste bank and to find a breakthrough to provide mutual benefits between the community and the company.

The “pay for electricity with waste” program can help customers and make it easier for the public to pay for electricity. This action aims to empower the community to increase the income of citizens and organizations or communities in the village, improve environmental cleanliness and preserve nature.

 

With the opening of the electricity pay counter at the garbage bank, it is hoped that it can increase the income of the garbage bank that is obtained from the administration costs of the electricity bills collected from each payer. This benefit will be reused by the local community to develop the waste bank business. In addition customers will be able to save on other expenses both transportation and parking and also a faster time because it is closer.

 

The symbolic handover ceremony of PLN’s Environmental Development CSR assistance to the Trash Bank was held on Friday, November 2, 2012, witnessed by the Minister of the Environment Prof. DR. Balthasar Kambuaya. With the Shining Entrepreneurial program action, it is expected that the community will receive several other benefits, firstly to obtain a clean area or environment, secondly to the ease and closeness of community access to electricity bill payments and thirdly to increase the income / cash of the RT / RW / Community organization from administrative services for printing electricity accounts. The increase in community income from the RT-RW garbage bank is expected to be able to support the decrease in the number of illegal and arrears connections. For example in the Margorejo and Gading Surabaya area, people’s attitudes change towards illegal PJU connections in the villages, with the existence of additional income sources, the residents are able to change attitudes from the PJU connection that was previously illegal to the official PLN connection, the cash collected from the waste bank becomes a source of funds to pay for the electricity connection used to support public facilities.

 

Another education to be conveyed is that the waste that has been neglected, if managed, still has value. The garbage savings that have started to be managed by the waste banks under the guidance of PLN, will be able to be compensated / auto debited from the garbage savings book for payment of electricity bills. This auto debit process can be directly carried out in 20 RT-RW unit waste banks that have been given assistance with Bank Online Payment Point (PPOB) equipment and capital assistance.

In addition to the “pay for electricity with rubbish” program, CSR-Environmental Development of PT PLN (Persero) also encourages the ability to produce and increase the sale value of the parent waste bank product. The parent garbage bank is a garbage bank whose job is to foster unit waste banks in the RT-RW. In addition to fostering, the parent waste bank also acts as the recipient or collector of garbage deposits collected at the unit’s waste bank. To be able to perform these roles, the parent waste bank needs to be continuously improved, both technically and capitalally.

The improvement of the main waste bank business is done through the management of warehousing management, procurement of waste enumeration machines, through the addition of production machinery, and the provision of transportation equipment, this step will accelerate the turnaround and process of taking and depositing waste to the final recipient.

Currently Malang Garbage Bank (BSM) as one of the main waste banks, has been able to process waste into various recycled products and plastic chopped materials. These products can significantly increase the selling value and profit of a waste bank.

In Surabaya, the role of the main garbage bank has been carried out by the Bina Mandiri Trash Bank, which currently has 125 target waste banks.

The two garbage banks are the largest garbage banks in Indonesia, where each of them already has hundreds of sub-waste banks built in the cities of Malang and Surabaya. In the National Garbage Bank Work Meeting in Malang, the Minister of the Environment was very proud of the role of two waste management banks with the CSR Guidance for Environmental Development of the National Electric Company. Each has been able to make various business breakthroughs and collaborate with PLN’s CSR to continue to develop waste banks in various regions.

 

Mangrove Bintang Mangrove Bank

The garbage bank which operates in Gunung Anyar Tambak Village – Surabaya, was originally inspired by the condition of mangrove plants which are planted by PLN every year often die, due to the large number of garbage turns so that plants can easily be swept away. During this time the river cleaning process is carried out through community service, by paying local residents, or cleaning by the relevant department. However, the process of this activity is not possible through the mobilization of residents by paying certain fees on an ongoing basis.

 

In order to solve the problem permanently, an idea emerged from the PT PLN (Persero) CSR – Community Development Team to expand the waste bank wing. Together with the Trash Bank, which has been fostered by the CSR of Community Development PLN, an approach has been made to residents to initiate the establishment of a waste bank by the river.

Bank Sampah Bintang Mangrove began operations in April 2012, currently has 59 customers.

Within a period of around 6 months of operation, the Bintang Mangrove waste bank looks quite active and continues to grow. Every month, around 700 to 900 kg of plastic & cardboard waste are removed by fishermen from the river. In addition, garbage from households around the river is directly saved in the garbage bank, so that the river becomes cleaner.

Even though it is still relatively new, the enthusiasm of the residents of Mount Anyar Tambak for a clean and advanced life has received appreciation from various parties. The JICA Team (Japan International Coorporatiaon Agency) has visited the site twice, even on its second presence, on November 6, 2012, the JICA Team brought representatives of cities in Asean countries to directly see the pattern of changes in the behavior of local communities in managing rubbish.

A number of program actions will continue to be developed by the CSR-PKBL Team to support the sustainability of existing programs and initiate new program actions.

Through the SHINING AREA PROGRAM (CLEAN the environment, the correct electricity), the environment rescue program is consistently being carried out.