Table of Contents
Cover: Children cheerfully playing around the Rubber Fumigation House, Outstanding Rubber Plantation Group, Tamiang Village, Tabalong, South Borneo

Table of Contents Report Overview Greetings from the President Director What & Who Adaro Indonesia Is Our Strategy Our Performance Supporting State and Community Development Economic Performance Product Benefits Local Development Local Suppliers Local Employees Community Development Public Facilities Indirect Economic Impact Prioritizing Safety and Environmental Conservation Protecting Occupational Health and Safety Conserving the Environment Employee Development How the Stakeholders See Us How We Made This Report

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Report Overview

Message to The Readers This is the second Sustainability Report published by PT Adaro Indonesia (from here onward called “Adaro Indonesia”), but this would be the first report using the Global Reporting Initiative (GRI) Guidelines as reference. The report describes Adaro Indonesia’s efforts in balancing its economic, social and environmental performance. Scope of the Report The data presented in this report describes the economic, social and environmental performance of Adaro Indonesia in 2009 and in the two preceding years (for several data). The scope of the report is not only the activities of Adaro Indonesia in the operational sites and head quarter but also the community outreach programs of Adaro Indonesia. Several contractor data is also presented in this report. [3.6] Due to limited documentation and recording, not all of the organization’s activities and performance can be presented in this report. Guidance We have used the sustainability reporting framework published by the GRI version 3.0 (Sustainable Reporting Guidelines – G3).

Feedback from the Readers This report was published to be read by all of our stakeholders, both internal and external, such that they will give comments, critiques and suggestions, which may contribute to the performance development of Adaro Indonesia. Your comments, critiques, and suggestions may be sent to [3.4]: 1. Head Office: PT. Adaro Indonesia Menara Karya 22nd-23rd floor, Jl. HR. Rasuna Said, Blok X-5 Kav 1-2 Jakarta, 12950, Indonesia Ph: (62-21)2553-3000 Fax: (62-21)5211-266 Email: 2. Operating Office: PT. Adaro Indonesia Mine office, Hauling Road KM73, Wara, Tabalong PO BOX TTB 110 Tanjung 71500 South Kalimantan Ph: (62-526) 2021-997 / 98 Fax: (62-526) 2021-996 Email: Other Information For further information about Adaro Indonesia, please visit our websites and

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Describing Adaro Indonesia’s efforts in balancing its economic, social and natural environment performance.


social and natural environment. the community that we would leave will be sustainable. as one of the abundant natural resources in Indonesia. In relation to this. In order to realize the above mentioned goals. goodwill is not enough. Indonesia has a large quantity of natural resources that can benefit the people at large. It has been the mutual goodwill of the shareholders that there is a responsibility to give back what we already have and to develop the potential for creating a better life in the surrounding areas of our operation. we recognize that what we have done must not only bring temporary benefits to the surroundings. more or less. we also realize and are responsible to fulfill other stakeholders’ interests. but also the social and economic order in the area in which we operate. Coal. We see our stakeholders’ interests wholly as the foundation for the development of our corporate strategy in order to sustain our business. Nevertheless. has influenced the current economy. In contrast. Corporate Social Responsibility (CSR) has become a significant embedded aspect in every activity we do. expansion of social and public facilities. community development. we have been improving ourselves by developing our organizational management capability including addressing the health and safety of our employees. usage and expected benefits. Adaro Indonesia is encouraged to explore and mine coal that can be processed by other particular parties into an energy resource. We avoid indulging the community with programs that the community wants. The economic development. The market indicates that global demand for coal is increasing. the President Director The presence of Adaro Indonesia in South Kalimantan. Hence. This is our challenge: that we should not give up initiating programs in order to not only develop the economy but also to expand the community’s potentials toward an independent and environmentally sound society. In addition to its lower price compared to those of other energy resources. but there should be continuous and sustainable benefits that contribute to the creation of an independent society based on a harmonic relationship with the natural environment. which is beneficial to all.1] Dear honorable stakeholders. Seeing this as an opportunity. We realize that our activities may change not only the natural environment. when it is time for us to step out from business. However. is beneficial for generating energy. Indonesian coal also has a variety of qualities that is adjustable regarding needs. The essence of CSR for us is the existence of mutual goodwill.Greetings from [1. we consider the programs regarding the needs of the community by greater exploring the community’s potentials. especially when the time has come to stop operating in the future. we use the internationally accepted Standard and Operational Procedure for mining because 02 . reclamation and natural environment conservation are the impacts of our existence.

we recognize that what we have done must not only bring temporary benefits to surroundings. we do not want to stop there. we also use the Millenium Development Goals (MDGs) as guidance in carrying out our community development programs. Yet.. Moreover. but that there should be continuous and sustainable benefits that contribute to the creation of independent society based on harmonic relationship with the natural environment. For this reason. President Director PT Adaro Indonesia we realize that our employees are in a high-risk workplace. What is presented in this report is not only pride in what we have achieved but also self assesment on what we have done. Garibaldi Thohir. we are pleased to welcome comments. critiques and suggestions from the readers. Enjoy your reading! Garibaldi Thohir President Director Adaro Indonesia 03 . especially when the future time has come for us to stop operating.“ ” We see our stakeholders’ interests holistically as the foundation for the development of our corporate strategy.. We realize that we still have to develop and improve ourselves to be more capable and to bring more benefits to our stakeholders. We have received national and international rewards and acknowledgements for the activities we initiated and the high-quality coal we provide.

South Barito Regency in Central Kalimantan Province [2. 1982. based on the Coal Contract of Work (PKP2B) number J2/J.DU/52/82 dated November 16. South Kalimantan Province. Adaro Indonesia started production in 1991.5]. Tutupan mining site 3.1762 K/07/MEM/2007 in regards to the Protection of National Vital Objects in the Energy and Mineral Resources Sector. as well as for coal sales.What & Who ADARO INDONESIA is Adaro Indonesia is one of the government’s first generation of contractors for coal mining and exploration in Balangan and Tabalong Regency.i. Wara mining site N Balikpapan East Borneo Central Borneo Kelanis Barge Loading Facility Tanjung PT ADARO INDONESIA Tutupan Mine Dahai Office Coal Haul Road Paringin Mine Kandangan Rantau Binuang Banjarmasin Martapura Pulau Sebaku South Borneo Pulau Laut Offshore Transhipment Site Pulau Laut Coal Terminal Pulau Laut Airstrip BORNEO 04 . Both crushing plant and loading port are located in Kelanis Village. The Mining Site Adaro Indonesia’s mining sites are located in Balangan and Tabalong Regency in South Kalimantan Province. There are three mining sites of Adaro Indonesia: 1. but the company began to sell coal one year later in 1992. Paringin mining site 2. Adaro Indonesia is a corporation designated to be under National Vital Objects (OBVITNAS) in the Energy and Mineral Resources Sector based on the ministerial decree KepMen ESDM No.

Coal stockpiling at Kelanis 12. Overburden stripping 4. Our Coal Supply Chain 2. Barging coal at the Taboneo anchorage 15.“ ” [2.2] 1. Hauling coal to the pit stockpiles 7. Bulk carrier self loading with its own cranes 16. Dumping coal at Kelanis 10. Barge loading at Kelanis 13. Tutupan Mine Adaro Indonesia is a corporation designated as one of the National Vital Objects (OBVITNAS) in the Energy and Mineral Resources Sector. Exploration Driling 3. Coal crushing at Kelanis 11. Overburden dumping 5. Bulk carrier being loaded by floating cranes 17. Bulk carrier loading at the IBT terminal 05 . Coal Mining 6. Trucking coal on the haul road 9. Barging coal on the Barito River 14. Loading coal into coal haulers 8.

and PLTU Suralaya).7]. As 25-30% of its total sales meet domestic coal needs.2] producer that has marketed its product to more than 18 countries around the world. Adaro Indonesia is the largest supplier for the domestic coal market. and the pulp and paper industry. Japan. North Europe Finland Denmark Germany Netherlands France England USA Chile South East Asia Philippines Malaysia Thailand South Europe Spain Italy Slovenia South Asia India Envirocoal Market Segment in Indonesia Cement Industry Envirocoal Market Segment in the World INDONESIA 26% 5% Others Industries 27% EUROPE 11% 69% Power Plant AMERICA 3% 59% ASIA 06 . Spain. the cement industry. the United Kingdom. PLTU Cilacap. China. PLTU Paiton 1-2.Adaro Indonesia is a well known envirocoal [2. PLTU Jawa Power. including India. and the United States of America where envirocoal is used as an energy source by coal-fired steam power plants (PLTU) [2. especially for coal-fired steam power plants (PLTU) in Java and Bali Province (PLTU PEC.

080 39. Name of company [2.173.849 502 550 1. Jl.449 59.80 ha (reductions occurred several times.972.480 km2 from the initial exploration location size).75 38. Rasuna Said. The contract covers an exploration location of 35.4] : Menara Karya Lt 22-23. North Asia Japan South Korea China Taiwan Hong Kong Overview of Adaro Indonesia’s Market According to the coal contract.22 1.000 38.464.000 37.858.600 1. with total reduction of 1. Adaro Indonesia has the right to explore. mine and sell coal until 2022 (the extension of contract is allowed for twice with 10 years for each extension based on the mutual agreement principle).63 6.000 Loan with interest Oceania New Zealand PRODUCTION and SALES VOLUME 42.903. Adaro Indonesia is also the largest supplier for the domestic coal market. Hauling Road PO BOX 110 TTB 110 Tanjung 71500 South Kalimantan Head Office [2.52 349.8] : Number of Employees: 513 Net sales in 2009 : US $ 2.000 41.209 1.862.000 34.867 Indonesia TOTAL CAPITAL 2009 2008 2007 0 Total Equity In million US$ 459 256 107 1.8 145.1] Operating Office [2.6] Adaro Indonesia is a subsidiary of PT Adaro Energy Scale of the Organization [2.800 2.284. HR.000 35.4] : PT Adaro Indonesia : Mine Office Wara KM 73.007 600 800 1.51 24.426.400 1.000 36. legal form[2.12 713.000 33.590 2007 Sales Volume (’000 ton) 2008 2009 Production Volume (’000 ton) 07 .578.798 38. Blok X-5 Kav1-2 Jakarta Ownership and : Private.000 1.078 40.000 39.41 8.000 40.780.416.029 1. limited liability corporation.800.970.220.689.200 Total Liability 200 400 1.076 36.771.000 41.406.Total Assets in 2009 Land Road Building-Silos/Workshop/Storage Facility Crushing & Stockpiling System #1 Weigh Bridge & Handling System Vehicles Building-Mess/Canteen Bridge Settling Pond Survey Equipment TOTAL (US$) 13.8 1.306.524 36.76 “ ” With its product marketed to more than 18 countries around the world.

Awarded the Platinum Winner in the Economy/Partnership category.10] a. in the category of Mining Environment Monitoring 2. Recognition from the Directorate General of Mineral. The largest tax payer in 2009 to the Tanjung Branch Pratama Taxation Office d. Green Level. 3. b. in the category of Mining Safety Management Right: Several recognitions were achieved by Adaro Indonesia in 2009. Awarded the Gold Winner in the Social and Environmental category for the Integrated Agriculture Program. Awarded the Gold Winner in the Social/ Environmental category. Awarded First Place in the Social category for the Formal Education Quality Improvement Program through LP3AP. f. Awarded the Silver Winner in the Community Health Program category for the Mothers. 4. The Pratama/Initial Rank. Paringin Branch. Coal and Geothermal. the 9-Year Basic Education Program. 4. in the category of Reclamation Management on Used Mining Site 3. the Program for Farm Community Business Unit. The Prominent/Primary Rank. The Prominent/Primary Rank. Awarded the Silver Winner in the Economy/Partnership category. 3. 08 . for performances in the periods of 2007-2008 and 2008-2009 from the State Minister for Environment. The Prominent/Primary Rank. in the category of Supporting Facilities Activity Management 5. The winning program was the Education Quality Improvement Program through LP3AP adjoining with Adaro Indonesia. The winning program was the Banua Bauntung Micro Finance. The Prominent/Primary Rank. The KSN Award 2009 from the Minister for Social Affairs 1. Received the Indonesian CSR Award from the Minister for Social Affairs for the evaluation period of 2008 1. Awarded Third Place in the Economy and Environmental category for the Integrated Agriculture Program. 2. The PROPER. the Micro Finance Institution Program. Newborn Babies and Children Health Program. Awarded Second Place in the Environmental category for the Program of Clean Water Production by Using Mining Wastewater. the Department of Energy and Mineral Resources 1. The largest tax payer in 2009 to the Taxation Office for Foreign Capital Investment c. e. 2. The winning program was the Farm Group ‘Sahabat’.Recognitions in 2009 [2. in the category of Overburden Management 4. The Prominent/Primary Rank. in the category of Seeding Management 6.

“ ” Received various awards in social. Kinerja 2008-2009 Kementrian Negara Lingkungan Hidup PROPER 09 . economic and environmental aspect Peringkat HIJAU.

Technical Supt. Survey Supt. North. 10 . Central Prod. Short Term Planning Supt. Reclamation Supt. Administration Supt. Long Term Planning Supt. Maintenance Health & Safety Supt. Supt.3] Presiden Director Director of Operations Chief Operating Officer General Manager Operation Secretary Deputy GM Strategic Planning Deputy GM Production Coal Hauling Manager Strategic Planning Manager Geotechnical Manager Geology & Exploration Manager Business Improvement Manager Paringin Project Manager HSE Manager Production Manager Production Planning Manager Mine Infrastructure Manager Coal Hauling Supt. R & D Supt. Mine Supt. Supt. Geology & QC Supt. Wara Prod.The Organization’s Structure [2. Supt. Operati Haul Road Maintenance Supt. Compliance. PIT Infrastructure Supt. Mine Health & Safety Supt. Supt. Environmental Mgt Supt. Road Safety Supt. Geotechnical Supt. Prod. Bussiness Improvement Supt. Statutory Planning & Statistic Supt. South Prod.

IT Supt. Land Acquisition Supt. CSR Bina Program Supt. Office Manager Fin. Maintenance Supt. CSR Project Supt. Shipping Supt. HR Supt. & Acc. Maintenance Manager HSE Supt. Rel. Supt. Rep. Operation & Maintenance Manager HRGA-IT Manager CSR Manager Land Acquisition Manager External Relations Manager Bjrn. Purchasing & Warehouse Supt. Manager Shipping Manager ions Supt. 11 .PT ADARO INDONESIA n Legal Compliance Officer Legal Representative Officer Deputy GM Coal Processing & Barge Loading Deputy GM Coal Admin & External Affairs Sr. General Affair Supt. Maintenance Planning Supt. Gov. Administration Supt. Supt. Public Media Rel.

Maximize values for the shareholders. Vision Statement To be the leading Indonesian mining and energy corporate group Mission Statement [4. including the surrounding communities of the mining sites.Our Strategy “ ” Adaro Indonesia realizes that coal is an unrenewable natural resource. Create a partnership with the suppliers.8] Adaro Indonesia’s Values [4. Improve safety and environment conservation. Support the state and community development. Delivery. Focusing on the Consumers 2. 5. Improve the employees. Safety) 3. Possesing the characteristics of: A ttitude D etermined A daptive R esponsive O pen minded I ntegrity B alance T eam spirit 4. 6. Adaro Indonesia’s Values: 1. it needs reasonable and efficient management and utilization that are beneficial to all stakeholders. PDCA (Plan Do Check Action) KISS (Keep It simple Spirit) MbL (Management by Love) 12 .8] Operating in the mining and energy sector to: Satisfy the consumers’ needs. Cost. QCDS (Quality. Therefore.

PRIORITIZING SAFETY AND ENVIRONMENTAL CONSERVATION 3. The time and target of the corporate team should be adjusted to those of the local government (Pemda). we have performed a number of examinations. including local community. Adaro Indonesia has been committed to being a good citizen.2] · · The area of operation covers more than 50 villages in 6 regencies and 2 provinces. When deciding to leave the community or the post-mining plan: the post-mining document A specific examination was also performed in order to capture the community’s perception and to figure out the impact of the 15-year community development program of Adaro Indonesia.Since its early establishment. the coverage area and operational impacts are also expanding. Adaro Indonesia always carries out its activities based on a caring partnership with all stakeholders. KEPMEN 555. Adaro Indonesia’s efforts to increase its performance focus on the following mission statements: 1. IMPROVING THE EMPLOYEES Refering to the Regulation and the International Standard and Initiative [4. Understanding the Impact In order to investigate the impacts of the company’s operations on local communities. The respondents of the study were the society within the Ring 1 area or the local community that was directly affected by the company’s operations.05/MEN/96 SNI14001 (2005):the Indonesian National Standard (SNI) on the environmental management system ISO 9001 : 2000 on the quality management system ISO 14001: ISO 14001: 2004 on the environmental management system OHSAS18001: 2007 on the occupational health and safety management system The Millenium Development Goals (MDGs) as guidance for the implementation of community development. Limited availability of supporting facilities for coordinations and program monitoring and evaluation. Results of the study were used as a reference to design future strategies for community empowerment. such that all. In line with the increasing production target from one year to another. For this reason. SO1]: Before entering the community: feasibility study.PE/1995 Occupational health and safety management systems-requirements 18991:2007. can experience growth together. Understanding the Challenge [1.2. 13 . While Operating: social mapping Social mapping was conducted by a research team that is expert in social and community aspects. because both have agendas and programs to be accomplished. which were: [1. Different goverment policies in different regions. Environmental Impact Assessment (EIA) The study was initiated by a forming team whose members were from Adaro Indonesia as the resource persons and external consultants as the executors.12]: The Decree of the Minister for Energy and Mineral Resources about the Occupational Health and Safety in General Mining (1995). Increasing Performance To manage the impacts and to address the previously mentioned challenges. · · · Auditing Technical Guidance for the Occupational Health and Safety Management System based on the Decree of the Minister for Manpower (Permenaker) No. SUPPORTING STATE AND COMMUNITY DEVELOPMENT 2.K/26/M.

Community empowerment programs are evidence of the company’s commitment to preserving the natural environment and elevating the state of social economy of the community in the exploration and postmining period. 14 .Supporting State and Community Development This section describes the impacts of Adaro Indonesia’s operations on the economic condition of stakeholders and the economic system at local and national levels.

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354.656.765.637.575 Economic Education Health Social Culture Operation Cost 9.-) 16 .944.102.650.Economic Performance of the total budget for community empowerment programs in 2009 was allocated to the economic sector 37.720.437 3.000 500 697 2005 in million (US$) 1.217.768.748.15 7.288.31% Direct Economic Value [EC1] Sales Net Sales (US$) 3.956.045 11.349.96 603.003 2006 1.238.77 8.689.146 2007 2008 2009 1.500 2.378.83 1.250.000 2.618 2.27 12.75 7.69 41.462.96 3.43 8.65 30.430.03 10.13 Adaro Indonesia’s Community Empowerment Budget 2009 332 6.911.386.53 232.048.54 187.000 1.407 Distributed Direct Economic Value (US$) [EC1] Operational Cost Technical Services Dept Geology Dept Mining Dept Road & Infrastructure Dept Safety Dept Enviro Dept Land Acquisition Dept Crushing Dept Shipping Dept Accounting/Finance Dept Adm Dept External Relation Dept Community Development Dept Banjarmasin Office Representative Dept TOTAL Community Investment [EC1] 3.500 1.394.57 136.987.780.300.263 (rate: 1 US$ = Rp 9.989.

Having the lowest dust content (only 1-2. hence. With the low content of sulfur (0. Because of its environmentally sound characteristic.1% only). this coal type is globally known as “envirocoal”.5%) among other types of coal produced for the global export market 17 . other types of coal extracted and sold in the global export market.5% “ ” Coal extracted from the mining sites of Adaro Indonesia is very clean with very low content of sulfur. • Reduces the deposit inside the furnace and.9%) enables: • Consumers to lower the cost of reducing the content of nitrogen oxide in the chimney. dust and nitrogen. • Consumers to produce more salable energy and to lower the cost of electricity production. • Postpone capital expenditure for the installment of gas desulfurization equipment in the chimney such that the operating factory costs can be reduced (the total cost of installing a set of desulfurization equipment is up to 20% of the total capital expenditure of putting up a new power plant). enables consumers to: • Fulfill environmental standards.Product Benefits [EC9] Lowest content of dust among other types of coal produced for the global export market 1-2.9%) and sulfur (0.5%) compared to Coal with a low content of nitrogen (0. the use of envirocoal: • Saves the consumers’ expense due to the low cost of dust disposal. increases thermal efficiency and lessens maintenance costs.1%) Lowest content of dust (1-2. envirocoal is also called “the solid natural gas”. Being the most environment friendly solid waste fuel. envirocoal Low content of nitrogen (0.

Local Development Local Suppliers [EC6] During 2009.5% *EMPLOYEE (people) “ ” Local employees also fulfill managerial positions with a composition of 40% of the total number of managerial employees.8% 11. Total expenditure for the local suppliers was up to US$ 54. the company recruits nonlocals based on the needs of the organization.5% 38. Local Employment [EC7] In the employee recruitment system. 2009 700* 600 500 400 300 200 100 0 LOCAL NON LOCAL TOTAL Comparison between Local & non-Local Employees by Employment Levels Employee of December 31. Comparison between the Number of Local and Non-local Employees Employee of December 31.33. 2009 100. Nevertheless.00% 100* 90 58.814. Adaro Indonesia gives equal employment opportunities and prioritizes the local workforce to fulfill the vacant positions. Adaro Indonesia initiated partnerships with 504 local suppliers domiciled in Kalimantan. is far above the number of non-locals.22% 391 80 70 60 61.9% 513 76. which refers to the number of Kalimantan native-born people working in Adaro Indonesia. STAFF NONSTAFF *EMPLOYEE (people) LOCAL % NON LOCAL% 18 .78% 122 50 40 30 20 10 0 MANAGEMENT 41.2% 23.22%).1% 88. “ ” The number of local employees (with a composition of 76.891. Each employee candidate has an equal right and opportunity to get the job and to be a part of the company by considering the abilities and skills that he or she has and also by results of recruitment testing conducted by the company.

5. ” The community development program inidicates the company’s commitment to natural environment conservation and development of the community’s state of socialeconomy in the exploration and post-mining periods. 3. Hulu Sungai Utara Regency 4. 3. Adaro Indonesia’s Community Empowerment Objectives Increasing the quality of social life and economy Minimizing the negative impacts of operations on the community in the surrounding mining locations. the locations are: South Kalimantan Province: 1. and grow together with the community. East Barito Regency 2. the strategies of Adaro Indonesia in carrying out the community development program are: Internally: Setting up the CSR Department Increasing internal coordination regarding the mining expansion plan such that potential conflicts can be predicted and anticipated. Hence. The Four Pillars of Community Empowerment Training on sewing skills. 4. social aspects and the normative local culture or customs. a community empowerment program. Independent Continuity Carefulness Trusteeship Mutual benefit Moto The Principles of Development Program The Location of Community Empowerment In line with the coverage areas of mining operation [2.Community Development [S01] Managerial Approach Carrying out intensive communication with the community and government “ by considering regulations. Tabalong Regency 2. Barito Kuala Regency Central Kalimantan Province: 1. Increasing communication skills in order to be able to respond to complaints immediately and to prioritize a dialogue for a consensus in decision-making and problemsolving processes. 2. String up love. Externally: Periodically monitoring the community’s social condition and its development. Balangan Regency 3. Development of the Economic Sector Development of the Education Sector Development of the Health Sector Development of Socio-Cultural Sector In line with the company’s mission. South Barito Regency 1. 1. create partnership. is specially designed for local housewives 19 . 2. the community development program includes the community development plan that considers the local culture and potentials and the overall development goals as well.5]. 4.

the company’s activities largely included giving donations without systematic planning. Adaro Indonesia has been carrying out CSR since 1994.“ THE DEVELOPMENTAL STAGES of the COMMUNITY DEVELOPMENT PROGRAM ” On arriving at the current state. Initially. health. which is led by a Department Head. PERFORMANCE INDICATOR PROGRAM EKONOMY EDUCATION HEALTH INTERMEDIATE OBJECTIVES FINAL DESTINATION Adaro Indonesia has setup clear Intermediate Objectives and Final Destination in order to measure the successfulness of its community empowerment programs SOCIO-CULTURE Business unit develops Education services quality increases Health service quality increases Well-implemented socio-cultural program Program sustainability Harmonic relationship with the community INDEPENDENT SOCIETY THE CRITERIA of INDEPENDENT SOCIETY: Posses income resources that can sustain the family life with no depency to corporations or government Posses adequate intellectual capacity to complete with otjer community groups Posses the ability of sell and community management so as to avaoid dependency to other parties FRAMEWORK for IMPLEMENTATION Community empowerment programs in economic. and socio-cultural sectors are developed by considering local potential and regulations as well as corporate course of action INDEPENDENT SOCIETY ECONOMY EDUCATION HEALTH SOCIO-CULTURE CORPORATE POLICIES LOCAL REGULATIONS & POTENTIAL 20 . education. Adaro Local CD Team YYS KSI LPB Adaro Pama LP3 Adaro Pama Local Team YYSKSI Involved local CD team Forming team Program Kayuh baimbay Charity Program implemented by company 1996 PIONEERING 1999 2000 2002 2004 2006 2009 2010 IMPROVEMENT ESTABLISHMENT Adaro Indonesia’s community development programs are managed by the CSR Department. Over time. Adaro Local Team YYSKSI LPB Adaro Pama Local CD Team YYSKSI LPB Adaro Pama LP3 Adaro Pama Yayasan Adaro Bangun Negeri (YABN) Forming Team Local Govt. Forming Team Local Govt. Adaro Indonesia has been developing systematic and well-planned programs that put into account stakeholder interest and participation in order to empower the community.

Through a dialogue mechanism with the forming team. based on the previously mentioned assessment mechanism. the needs of the community are also investigated by performing a need assessment mechanism in cooperation with top state universities in Indonesia and by carrying out a direct constructive dialogue mechanism between Adaro Indonesia and the local community.Target Groups: 1. In addition. whose implementation can be adjusted by concerning the development progress of the local community. The coordination mechanism ensures the avoidance of overlapping between the corporation’s and government’s programs. such that there is no overlapping in the implementation of the programs. Usually. Falling under Priority 3 are the villages/community groups that have interests within the related regency area. which is published in writing as the annual regent decree. Falling under Priority 1 are the villages/community groups that are already or will be directly connected to and/or affected by the operation of Adaro Indonesia. it is expected that the community’s initiatives can be stimulated by considering local potentials in the areas [EC8]. 2. starting from planning and implementation up to monitoring and evaluation. Moreover. Falling under Priority 2 are the villages/community groups that are vulnerable to various needs connected to the operation of Adaro Indonesia. Adaro Indonesia coordinates with the local regency government for the program implementation. Community that is or will be directly connected with company operations is our primary target of the CSR programs Results of the assessment and dialogues are usually used as the basis for designing the company’s medium-term plan. Through the dialogues. Adaro Indonesia always participates actively in the Discussion on the Local Development Planning (Musrenbang) in the six partner regencies. a village conference is conducted in the planning stage and the plan is implemented through a participative scheme. Management System of Community Development Program The CSR programs are designed by taking into account the community participation in various activities. In carrying out such activities. [EC8]. 21 . 3. The CSR programs are also developed by regarding the local policies and potentials that are in line with corporate policies. the harmonization between the CSR programs and local government’s development programs is ensured.


ORGANIZER COMPANY TYPE Charity. as the community service and community relations Simple projects. Small and Medium-sized Enterprises (UMKM) School quality Building Hospital Sport center (GOR) COMMUNITY Empowerment Grant INSTITUTION FORMED by ADARO INDONESIA Empowerment Sustainability Independent THIRD PARTY/ CONTRACTOR Big projects. which can be executed by the community Empowerment Long-term and continuous projects NATURE Grant CSR IMPLEMENTATION [EC8] EXAMPLE Scholarship Seed Donation Footbridge construction Village road River cleanup Micro Finance Insitution (LKM) Development of Micro. Small. and Medium-sized Enterprises (MSMEs) Productive Business Education Sector Health Sector Social-Cultural Sector Target Community Micro. which need special knowledge and skills Work Contract Monitoring and evaluation of the community empowerment program are performed by: • The Subdistrict Head • The Village Representative Body • The Company Staff • The External Party DIRECTION TOWARDS SUSTAINABILITY CD FUNDS Economic Sector POST MINING Micro Financing Institution (LKM) • Executing • Channeling Micro. Small. and Medium-sized Enterprises (MSMEs) Productive Business Education Sector Health Sector Social-Cultural Sector Target Community > > Micro Financing Institution (LKM) Half of Profits of the Micro Financing Institution (LKM) 23 .

Development of the Micro. 62 Social and Economic Performance I. Other economic development programs: fishery. The development of rubber tree plantations may contribute to the economy of the community through the absorption of productive workforce and. husbandry.000 19 99 /2 00 0 20 02 /2 00 3 19 97 /1 99 8 8/ 19 99 20 08 20 01 20 04 19 99 20 09 20 02 20 07 Number of participants 19 9 Area Number og Groups 24 . Independent Adaro Development Movement (Gerbang AMAN) Objective Expanding landmass Increasing quality Product diversification that can add values Donate seeds. and 16 villages in East Barito Regency Activity Rubber plantation is one of Adaro Indonesia’s outstanding programs in order to realize the independent community Location Accumulated Number of Participants and Rubber Plantation area 6. and development of potential local products 6. cultural training. and production equipments.000 5. group dynamics. have become the beneficiaries of the development program of the outstanding rubber plantation.Economy Social and Economic Performance villages in Balangan Regency. 31 villages in Tabalong Regency.000 3. farming. ECONOMY Development of the advantaged rubber tree plantation Rubber tree plantations are one of the local potentials. Development of the outstanding rubber tree plantation 2. Economic development is initated by considering the sectors in which the regencies can develop their competitiveness and specialIties. The empowerment is also carried out wholly from up to down stream regarding the independency aspect. since 1997. carry out counseling.000 2.000 4. Small and Medium-sized Enterprises (SMEs) 3. post-harvest training. disinfectants. Development of the Micro Finance Institution (MFI) 4.000 1. this may be a reliable additional or primary household income. Village Community Economic Movement (Gema) 7. and quality development through the rubber fumigation house management 62 villages in Balangan Regency (since 1997). The economic sectors developed by Adaro Indonesia are: 1. Integrated agriculture 5. consequently.

Objective To be highly competitive economic actors through enterpreneurship empowerment. Small and Medium-sized Enterprises (SMEs) Micro. management mentoring. training. Small and Medium-sized Enterprises carried out by Adaro Indonesia “Honey” Small and Medium-sized Enterprises (SME) Kabupaten Tabalong adalah salah satu sentra pemasaran Madu yang sudah cukup terkenal di Propinsi Kalimantan Selatan. capital acquisition mentoring. business coach.e. insufficient quality due to the use of simple production process Grant and revolving fund Fulfilling business legal requirements Meeting the demand of the honey market Business unit is legal and protected by law Income increases Becoming the role model of the honey industry that produces premium quality products and has competitive values Improving the image of Tabalong Regency as the center of the original and high quality honey bee producers Establishment of marketing and processing building Honey processing technology and business management training Activity Funding Result Partner Location Plan 25 . Small and Medium-sized Enterprises have become the mainstays of local development and employment creation. productivity improvement. marketing assistance and technology assistance Business Development Institute Adaro-Pama (Lembaga Pengembangan Bisnis Adaro-Pama) Tabalong Regency Several results of community empowerment through the development of Micro. financing and marketing Human resources development.Development of the Micro. Small and Medium-sized Enterprises (SMEs) are the economic generators that are proven to be outstandingly durable and adaptable to the economic crisis. BPOM/Dinkes) for the product appropriateness standard. technology facilitation. For this reason Micro. Initial Condition Honey has a high water content Some honey producers did not fulfill legal requirements (i. HO. inability to fulfill demand due to the lack of capital. SIUP. Temporary marketing place.

1.833 customers 4. PT PNM.406 customers Type of Program Rp.522.496 5. able to meet the market demand Income of the business owner increases Business unit is legal and protected by law Quality of the produced soy milk increases Monitoring the business progress and evaluate the continuity of payment to the Micro Finance Institution (LKM) Business management training Development of Micro Finance Institution (MFI) The A Micro Finance Insititution (LKM) is designed to address the financial needs of the Micro. 7.217 customers Commen cement Rp. Small and Medium-sized Enterprises’ operations Total Funds Disbursed by the Micro Finance Institution (MFI) [EC1] Rp. 5.594 Rp.402. 8. 6. Tanjung Branch. Small and Medium-sized Enterprises (UMKM). Small and Medium-sized Enterprises (UMKM). Goal To be supporting financing institutions that can sustain the economy of local community in the surrounding area of operation of Adaro Indonesia Providing capital access to the Micro.689 5.220.436 5. teaching the community to save.594. Small and Medium-sized Enterprises (UMKM). the Business Development Institute (LPB). Small and Mediumsized Enterprises (UMKM) Funding Result Plan Objective Micro Finance Institution (LKM) Banua Bauntung has opened capital access for Micro. business coaching and book keeping for clients .427.710.446. whose businesses are viable but not yet banking-feasible Facilitating soft loan access by channeling program to local community/the Micro. in the surrounding area of operation of Adaro Indonesia Providing loans. Through the involvement of the Business Development Institute and the Micro Finance Insititution (LKM).206. Adaro Indonesia would like to develop potential industries.“Soy Milk” Small and Medium-sized Enterprises (SME) Initial Condition Lack of legal permit Inability to meet the market demand because of insufficient capital Revolving fund through the Micro Finance Institution (LKM) Number of production increases.965. which have pioneering and feasible businesses.951 customers 2005 2006 Funds Disbursed 2007 2008 2009 Partner 26 . Micro.was the total amount of funds distributed through Micro Finance Institution (LKM) in 2009 Rp 7.827. consultation and field mentoring The Micro Finance Institution (LKM) development for the economic development of local community began in June 2005 and was initiated through the establishment of the Micro Finance Insitution (LKM) Banua Bauntung.427.965.398 customers Rp.057 1.415. whose raw materials are provided and owned by the community.

community internship of potential chicken farmers. rattan. Adaro Indonesia always tries to harmonize the needs for the capacity of natural environment and the available potentials.8 Ha : 34 persons : 6 persons Activity Commencement Partner Progress INTEGRATED AGRICULTURE SCHEME ADARO INDONESIA JAFPA PT FAJAR INDO MANDIRI Micro Financing Institution (LKM) FARMER GROUP INTI Poultry COMPOST BIO URINE Community Training & Internship Facilitation with JAPFA Facilitation with BRI Compost INTI Cattle Breeeding INTI Livestock Forage Bio Gas Horticulture Plantations Community Receive the steer Surrender the first calf Utilization of compost & bio gas Benefits to Natural Environment Energy Saving Reduction of Global Warming Reduction of the Destruction of Ozone Reduction of livestock waste Reduction of chemical fertilizer 27 .000 broilers/cycle : 70 sack/day : 1 Unit : 38. South Barito Regency. Balangan Regency. palm sugar. and repair shop businesses Adaro Indonesia pays attention to the integration of livestock and plantation resources in order to generate maximum biomass output in particular ecological environment and socio-economy. Integrated Agriculture Objective As a mining company that cares for the social and natural environment. development of green plant and development of horticulture The integrated agriculture program was commenced in 2006 and initiated through the procurement of 100-head of Bali cattle PT Japfa. PT Bank BRI Bali Cattle Premium/Excellent Cow Broiler Fertilizer Bio Gas Green Plant Worker (cattle & cow) Worker (broiler) : from 100 up to 190 : 325 cows : 18. East Barito Regency. Hulu Sungai UtaraRegency “ ” Beneficiary Micro. biourine and biogas.Location Tabalong Regency. PT Fajar Indo Mandiri. Giving good examples to the local community in managing integrated agriculture Creating employment and business opportunity Initiating cooperation with the related parties as the first phase towards community partnership Learning vehicle for the local community in the surrounding operating area Development of cattle breeding. Small and Mediumsized Enterprises operating in rubber. development of compost. which can stimulate production efficiency and strengthen the economy of the integrated agriculture. An appropriate interaction among the above mentioned elements may generate complementary and synergetic responses.

in cooperation with the Husbandry Government Agency in Barito Kuala. and the development of outstanding local products. Alabio in Banua Lawas Village. The activities carried out by Adaro Indonesia are: Fishery: Husbandry: Farming: Considering the characteristics and potential of rivers and wetlands in South Kalimantan. through a series of grant donations for the HT repairment. The activities are: Providing a grant and loan for the fish cage fishery business in Suput Village. husbandry. Tabalong Regency Development of a cattle farm of the husbandry groups in Lampihong. which resulted in the increasing productivity and income Cultivation of nile tilapia and patin fish (freshwater catfish) in Tabalong Regency Cultivation of patin fish and the procurement of fishery equipment in South Barito Regency Development of fish cage fishery in Barito Kuala Regency Development of the cross-breeding goat farm. net and pool. Balangan Develoment of broiler farms in Dahai Village and Padang Panjang Development of a free-range chicken and broiler farm in Barito Kuala Regency. a cow-dung processing community group has also been established. hand tractor and power tracer. Under this program. Al-Islam in Kambitin Village Development of the duck farm. farming. Development of the “Sumber Rejeki” Farm Group in Manduin Village.Other Economic Development Programs Other potential businesses in the surrounding area of the mining operation of Adaro Indonesia are fishery. Etawa in Islamic boarding school. The results are: an increase in the harvest quantity. and the demonstration plot (demplot) of the making of a paddy dike. the establishment of the equipment warehouse. a reduction in time and costs for land management and harvesting 28 . the paddy field formation. the main development areas of fishery are the fish cage.

Eighteen units of solar cells were given to Gudang Seng Village. Mundar and Papuyuan Village is underused because of flooding. in cooperation with the National Craft Board of Balangan Regency (Dekranasda Balangan). Balangan Regency. Development of electricity in the villages: Electricity in the villages has been developed in order to stimulate economic activities of the villagers. palm sugar in Balangan Regency and rattan craft in South Barito Regency. to create access and to support marketing. ” Other potential businesses in the surrounding area of the mining operation of Adaro Indonesia are fishery. Juai Subdistrict. Adaro Indonesia. Banua Sub-district. A show room is currently being built. husbandry. 29 . SID (Survey identification design) and DED (detailed engineering design) to handle the flood and to maximize the paddy field: The land potential in Lajar. and development of outstanding local products.“ Development of the outstanding local products: Some of the outstanding local products developed by Adaro Indonesia are natural honey in Tabalong Regency. farming. is working on a land utilization assessment. in cooperation with the Department of Public Works in Balangan Regency and consultants. East Barito Regency. Solar cells were donated to 18 houses in the neighborhood group (RT) 7 in Wonorejo Village. To solve this issue.

enhances teamwork and spirit of mutual cooperation 30 . non-governmental organizations (NGOs). youth organizations and the Military District Command (KODIM). which is carried out in cooperation with: The Islamic boarding school. Al Islam in Kambitin Village. especially for the first place winner. which strengthens the cooperation and the spirit of mutual cooperation. which is currently developing the indigenous craft industry in Tabalong. Darul Mustafa in Masingai I Village. non-governmental organizations (NGOs). Gema of the Pioneering Village (Gema Desa Pelopor) Gema of the Pioneering Village (Gema Desa Pelopor). aims to give or expand business opportunities to young pioneers and cadres in the village. is a food security program that is designed in cooperation with the Military District Command (KODIM) in Tabalong. The acitivites focus on integrated husbandry development. The revolving soft loan to the fishery Business Unit ”Makmur Jaya”.Gerakan Ekonomi Masyarakat Desa (Gema Desa) Village Community Economic Movement (Gema) Adaro Indonesia initiated Village Community Economic Movement (Gema) in order to stimulate the economic development of the village community. The Islamic boarding school. Gema of the Village of the NGOs (Desa LSM) Gema of the Village of the NGOs (Desa LSM). Adaro Indonesia cooperates with the local Islamic boarding school. and lessens the growth of unfavorable moneylenders and middlemen. Upau Sub-district. the competition includes CSR implementation. To make the programs effective. “ ” Stimulating economic development of small communities in cooperation with the Islamic boarding school. is a form of CSR concept competition and. Gema of the Patriotic Village (Gema Desa Patriot) Gema of the Patriotic Village. The formation of a pre-cooperative in Bilas Village. youth organizations and the Military District Command (KODIM). which has become the embryo of a multi-type commerce cooperative. The programs are classified into: Gema of the Village of the Islamic Pupils (Gema Desa Santri) Gema of the Village of the Islamic Pupils (Gema Desa Santri). The activities aim for the development of horticulture and husbandry. It is expected that the craft development program can employ a greater number of young local workforce. collective business unit in Bilas Village and the medium for learning and performing organizational exercises. The NGO Langsat is the most recent first place winner. This program became a Establishment of precooperative provides the medium for learning and organizational training. which resulted in an increase in production quantities and income and the establishment of a family recreation area.

. “ ” . The community has started to realize the needs for future development and independency. Harmonic relationship between the company and the surrounding local community. The community was very suspicious of Team Care of the Bogor Agricultural Institute (Tim Care IPB) as a group that merely protected Adaro Indonesia’s interests Initial negative perspective of the community towards Adaro Indonesia The community was easily provocated and often scapegoating other parties. a succesful role model of independent village that can be replicated to other villages is needed. developing a successful role model of an independent village that can be replicated in other villages Objective Initial condition Progress 31 . created demanding characteristics and consumptive behavior (less or unproductive). The trust.Independent Adaro Development Movement (Gerbang Aman) Adaro Indonesia’s commitment to social and environmental responsibility includes efforts to create an independent society during the post-mining period.. and long-term development schemes The community groups possess economic business units that sustain the economic development of an independent society. In order to boost the establishment of an independent society and by considering the wide operational area covering 61 villages in Ring 1 (top priority) and located in 6 regencies in 2 provinces. medium. Criteria for Independent Village The leadership of village head takes into account public aspirations and interests A harmonic relationship exists among the institutions in supporting the village developmental processes The village administration is well-managed and can support the establishment of outstanding public services The village has short. in which Team Care of the Bogor Agriculture Institute (Tim Care IPB) and Adaro Indonesia empowers the community towards the independency already exists. 2. Basic needs for the community are available and accessible Community development in the surrounding area of the company towards the development of an independent village. having unrealistic and inproportional attitudes The mutual assistance as local wisdom was diminishing Low participation of the community in village development Low quality and performance of village officers Low cooperation between community members and stakeholders Land resources were not fully and productively utilized 1. The community received donations and this practice generated a dependency.

The community has begun to join the productive economic development program that is potentially sustainable (as the institutionalization concerned) 8. The village asset management team was created Partner Location Team Care of the Bogor Agricultural Institute (Tim Care IPB) Dahai Village and Padang Panjang Village Communities have started to realize the need for future development and independency. The community has begun to consider participating in village development. The perception and attitude towards the productivity and independency have been developing.3. 7. 5. The synergetic cooperation and partnership among related parties have been growing. 32 . Productive economic groups have been established and institutionalized 9. The village heads and officers have realized the need to increase the quality and service performance. 4. 6.

Before formulating the program. the number of teachers and school principals joining the training program has been: Number of School Training Participants (person) 5500 4500 4000 3500 3000 2500 2000 1500 1000 500 0 4359 3871 2729 1142 527 615 488 2006 2007 2008 2009 accumulated number of participants teacher. 3. Balangan Regency (22 schools). Up to 2009. school head. for students from low-income families and outstanding students. and East Barito Regency (13 schools). moral and religious values development by considering the local potential. to fulfill the increasing reading interest of the pupils. EDUCATION A program on the improvement of teachers’ quality and school management Teacher Training The education program was initiated to improve the human resource quality through educational. 4. an assessment of educational aspects in the area is usually conducted as the basis for the program design. A program on the improvement of teachers’ quality and school management towards an equal quality of local education to that of the developed regions.Education Social and Economic Performance Social and Economic Performance Kinerja Sosial dan Ekonomi II. An improvement and procurement of educational facilities. Bookmobiles. which can stimulate educational achievement. This is initiated through a series of training and workshops for the teachers. supervisor Partner Result The Institute of Education’s Potential Development Adaro – Pama (LP3AP) The improvement of: Insights into educational development (35%) Teaching skills (25%) Motivation to be an outstanding teacher (34%) Responsibility for the accomplishment of a lecturer’s duties (16%) Belief to guide the pupils successfully (42%) The spirit to develop teaching ability (24%) Ability to use the presentation media and teaching presentation tools appropriately (32%) Self-confidence (26%) Teaching spirit (30%) Creativity and innovation (30%) The needs for the quality development training (29%) 33 . 2. A scholarship program. Adaro Indonesia was called to get involved in developing education because the company realizes that education is the key factor for local development. school principals and observers in Tabalong Regency (142 schools). The educational program consists of: 1.

including in designing and implementing the quality management system for schools such that the schools would appropriately possess the vision. program. Empowering pupils towards high learning skills.. “ 34 ” . Partner: The Institute of Educational Potential Development Adaro – Pama (LP3AP) Development of Islamic School (Madrasah) • The purpose of the development’s program is to empower the Islamic schools towards independent institutions that can generate and manage funds on their own. mind mapping. and a quality control to ensure a high quality of improve the human resource quality through educational. teaching-learning process and school management by the year 2012.. standard and procedure. • Target: to become high quality schools in terms of educational quality. which aimed at the development of knowledge and learning-teaching process. strategy. . 3 junior high schools and 2 senior high schools are developed in Tabalong Regency (South Kalimantan) and East Barito (Central Kalimantan) • The activities conducted in 2009 were: Trainings and workshops for all teachers in the schools. Formulation of the educational quality standard through the involvement of teachers and school principals and by considering the culture of the schools Providing schools with the Management Information System for Educational Institution as a parameter of a pilot school. • Partner: The State Institute of Islamic Religion in Banjarmasin The Archipelago Teacher Conference For the last three years Adaro Indonesia has been supporting 25 teachers in joining the Archipelago Teacher Conference in order to give insights and opportunities to acquire new knowledge for the teachers in the surrounding area of the company’s operation. mission. such as memorizing.. • Number of pilot schools: 3 elementary schools.. Empowering school principals towards high competencies. moral and religious values development . fast reading and resume writing.Pilot Schools • Objective: to become benchmark schools in the development of educational quality in the surrounding areas of operation of Adaro Indonesia.

Mobile Library

Scholarship Program

• In order to stimulate the learning and reading spirit of the pupils and the community at large, Adaro Indonesia through LP3AP launched a mobile library on National Education Day, May 2, 2006. • Three vehicles were designed as mobile libraries to serve Balangan, Tabalong and East Barito Regency • Over the years, the size of the book collection has increased up to 15,698 copies and about 5,000 titles, including textbooks, scientific books, fairy tale books, and life skill books, such as books on rubber tree plantation, farming and fishery. • The average number of books borrowed from the mobile libraries is 201 copies per day or 1,207 per week. • Partner: The Institute of Educational Potential Development Adaro – Pama (LP3AP).

• Scholarships have been given to elementary, junior high school, senior high school pupils and undergraduate students since 2000 in the 5 regencies of Tabalong, Balangan, East Barito, South Barito, and Barito Kuala • Objective: to support the government’s program in developing human resources’ quality and to increase the motivation of pupils to be achievers. The number of scholarships based on the school level and area:
Number of Grantees of Adaro Indonesia’s Scholarship Program

S1, 167

SLTA, 264 S1, 91 SLTA, 180


SLTP, 430


S1, 53 SLTA, 100 SLTP, 197

S1, 44 SLTA, 118 SLTP, 188

S1, 38 SLTA, 135 SLTP, 183

SLTP, 466


0 2005

SD, 729
2006 S1

SD, 689
2007 SMP

SD, 701
2008 SMA

SD, 1037

SD, 1436


Adaro Indonesia, in cooperation with the local government of Balangan Subdistrict, the local branch of the National Education Office and the local educational institution, empowers pupils in preparation for the National Final Examinations (UAN).

Top: Scholarships have been provided for elementary, junior high school, senior high school and undergraduate students since 2000 in 5 regencies: Tabalong, Balangan, East Barito, South Barito, and Barito Kuala Regency.









2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

80 132 182 216 214 234 195

12 36 40 33 36 78 65

6 6 15 6 4 40 40 60 70 70 15 25 25 23 23 50

220 186 204 170 170 222 228 228 384 384

18 30 30 42 42 42 49 42 80 77

12 18 18 18 28 35 35 36 48 40 13

60 68 138 48 48 19 121 19 119 15 19 20

12 16 30 30 30 59 50 7

6 4 18 6 12 13 19 3 45 18 100 114 152 147 176 235 456 15 15 18 24 27 45 99 12 15 18 24 36 17 21 68 32 5 9

360 386 524 534 546 729 669 701 90 5 1037

42 82 100 120 123 197 188 183 456 430

24 28 51 42 59 106 118 135 180

0 0 0 0 33 53 44 38 91

“ ”
2500 2000 1500 1000 500 0

277 107 350 182 376 194

We additionally award the second and first place among senior and junior high school students in South Borneo Province .

0 159

45 120

60 124 33

30 33 120 60 122 6 1436 -

264 167

JUMLAH 2.256 783 317 166 2.376 452 288 130 742 453 250

- 1.380 243 152 14

- - 4.469 1.931 1.007 426

Bukti nyata keberhasilan program bimbingan belajar: Dari hasil ujian akhir nasional Tahun ajaran 2007/2008, Kabupaten Balangan berhasil mendapat peringkat 3 Tingkat SLTA dan peringkat 2 untuk tingkat SLTP se-Kalimantan Selatan. Pada tahun ajaran 2008/2009, prestasi siswa meningkat. Kabupaten Balangan meraih Peringkat ke II untuk SLTA dan Peringkat I untuk SLTP se-Kalimantan Selatan.

Number of Participants of the Study Tutoring Program

2.002 1.877
2007/2008 2008/2009 2009/2010

Accumulated Number of Participants

Passing Percentage of Pupils in the Try Out 2009
Try Out 4 Try Out 3 Try Out 2 Try Out 1

84% 85% 68% 68% 27% 1% 4%
10% 20% SLTP 30% 40% 50% 60% 70% 80% 90% Source: Primagama in Balangan


Adaro Indonesia also organizes an exam simulation (the try out), for students in Balangan Regency, which has proven effective in improving students’ capacity to pass the exam



Improvement and Procurement of Educational Facilities Infrastructure [EC8]: • Putting up a clean water treatment in the Elementary and Junior High Schools Banua Lima in East Barito. • Building a gate and rest rooms in the Elementary School Plus Murung Pudak. • Building a physics and chemistry laboratory in the Junior High School Plus Murung Mudak. • Fixing the building and facilities of the Elementary School Laburan. National Movement of Foster Parents (GN-OTA) In cooperation with the taskgroup of GNOTA in each regency, Adaro Indonesia donates clothes and school equipment to pupils from low-income families. School Bag Donation Every year, about 3000 school bags are distributed to new elementary school pupils in the neighboring area of operation of Adaro Indonesia. Development of Higher Educational Institutions A college or university is a stimulating institution and a change agent for development. For this reason, Adaro Indonesia gives a contribution to local colleges, one of which is the College of Administration Tabalong. The contribution is given in the form of the improvement of facilities and assistance to new students.

Adaro Indonesia’s commitment to educational development resulted in the following achievements: 1. In 2009, Adaro Indonesia was awarded the Gold Winner of KSN Awards in the Social/Natural Environment category, the Program for 9 Years of Basic Education. The winning program was the Quality Development on Education through LP3AP adjoining with Adaro Indonesia. 2. In the CSR Awards 2009, the Quality Development Program on Formal Education through LP3AP was recognized First Place in the Social category.

School bag donation are very valuable and beneficial for elementary students.

Middle: School bags are distributed in the Walangkir Stateowned Elementary School, Tanta – Tabalong Bottom: Students of Banyu Tanjun Stateowned Elementary School, Tanjung – Tabalong, show their joy and happiness


Until 2009.608 cataract patients Accumulated number of cataract patients 4000* 3500 3000 2500 2000 1500 1000 500 0 2534 1439 623 2003 2004 2005 2006 2007 3067 The health program of Adaro Indonesia aims to increase the health level of society. 1933 2008 2009 *person Accumulated Patient 38 .608 cataract patients The cataract surgeries are performed in a modified eye-clinic and surgeon mobile in order to make it reachable for patients in remote areas. 3. HEALTH The objectve of the program is to reduce the number of cataract patients in the neighboring area of the operational location of Adaro Indonesia and the patients’ dependency ratio. The objectve of the program is to reduce the number of cataract patients in the neighboring area of the operational location of Adaro Indonesia and the patients’ dependency ratio. Hulu Sungai Utara. South Barito. Cataract Screening and Surgery Recognizing that many local people suffer from cataract. East Barito. Adaro Indonesia has provided medical treatment for 3.Health Social and Economic Performance patients from cataract through cataract surgeries fully recovered. and Barito Kuala. Until 2009.608 3420 3608 Social Sosial dan Ekonomi Kinerja and Economic Performance III. Balangan. Adaro Indonesia in cooperation with the Indonesian Humanitarian Foundation (Yayasan Kemanusian Indonesia) has been organizing cataract surgeries for the community since May 2003 in 6 regencies in the surrounding area of Adaro Indonesia. The regencies are Tabalong. Adaro Indonesia has provided medical treatment for 3.

respectively. The primary causes of the high mortality rates were asphyxia and hypothermia. This idea is supported by the Health Department in both Tabalong and Balangan Regency.. and health services in Dahai. KIBLLA (Health of Mother. prenatal and childbirth. newborn infants and children below 5 years old from fatalities. promote clean and healthy lifestyles. Another role model village under the KIBBLA program is Warukin Village. the infant mortality and maternal mortality rate in South Kalimantan were 60 per one thousand and 126 per one hundred thousand. to campaign for clean and healthy living. it is expected that they would want to return to their villages and develop the local health. It is expected that the output of the planting can fulfill the daily needs of nutrition and can be sold to provide additional income for the families. To carry out the economic development for women and to increase their role in village development. Adaro Indonesia provides a Maternity Social Fund (Dasolin). In the future. developed health infrastructure and health services to improve the health of mothers. the output of the vegetable farm may contribute to the valuable nutritious food in the Center for Pre and Postnatal Health Care for Women and Children (Posyandu).to protect and save mothers. To create a wide network of organizations. Initially. “ ” . institutions or individuals who care for the health of women in pregnancy. newborn infants and children below 5 years old 39 . South Kalimantan. For example. Developing health infrastructure. Health Community Center (Poskedes). as well as the wellbeing of newborn infants and children below 5 years old. Newborn Infant and Child) Village In 2004.. The villages chosen for KIBBLA villages are those in isolated areas with very limited availability of health facilities. Moreover. Partner Objective The Alliance of White Ribbon Indonesia (APPI) To increase public awareness for the efforts needed to protect and save mothers. low-income families are welcome to apply for the loan. To support the government’s programs on health and humanity. mothers are encouraged to possess the Types of activities ability to increase their economy by growing and producing vegetables or cultivating oyster mushrooms and celery. Currently. especially during pregnancy and prenatal. this was a loan program for pregnant mothers who needed money to pay for birthing expenses. which is the Community Health Center (Poskedes). Providing scholarships for midwife training for local teenagers. Community counseling for clean and healthy living behavior. until childbirth such that babies and children below 5 years old can maintain good health. the number of KIBBLA villages increased in Balangan Regency. To facilitate the development of health services. newborn infants and children below 5 years old from fatalities. In 2009.Improvement of health service quality.

.The Water Treatment Plant produces 20 litres of clean water per second. the output of WTP T-300 is used by the employees of Adaro Indonesia. which alters waste water from the mining operation into consumable clean water that meets the quality standard. which alters waste water from the mining operation into consumable clean water that meets the quality standard.. Adaro Indonesia installed a Water Treatment Plant (WTP) T300. Reuse. The piping system is now under construction. Adaro Indonesia will set up a clean water distribution system by using pipes to Dahai and Padang Panjang Village. “ ” 40 . [EC8] WTP T-300 can produce and supply clean water at 20 liters per second or 72 m3 per hour by using two clean water tanks with the capacities of 450 m3 and 72 m3. which is a water processing system that alters the waste water from mining operation into consumable clean water that meets the quality standard . Adaro Indonesia uses and processes the water resource from the mining operation into clean water that is valuable for the community.a water processing system. the partners and several villages in Dahai and Padang Panjang by using water tank trucks for distribution. & Recycle). Currently. 20 Clean Water Provision Starting from the concept of 3R (Reduce. It is a water processing system. In the near future. Adaro Indonesia put up the Water Treatment Plant (WTP) T300.

such as Adaro Volleyball Cup. the social capital and local wisdom are the keys of sustainable empowerment. community participation is one thing that should be considered. provincial. national and international levels. Religious development: assistance for renovating and developing houses of worship [EC8]. 109 Kinerja Sosial dan Ekonomi Kinerja Sosial dan Ekonomi IV. Islamic arts. Adaro Indonesia carries out socio-cultural programs through the exploration of local wisdom and the generation of social capital by implementing the CSR programs. 2. In order to realize the purpose of creating an independent society through sustainable community development. 3. Art and cultural development: expanding and promoting the potential local arts and culture to larger exposure at the regional. sportmanship. Adaro Tennis Cup. Since the Indonesian people possess the mutual assistance principle as their social capital. 100 80 60 40 20 0 *unit mosque 57 74 3 58 7 28 2008 chruch 2 11 2007 2009 public facility Realizing the purpose of creating an independent society through sustainable community development Locations where In-kind Contributions for Socio-cultural Sector were distributed 140* 120 100 80 60 40 20 0 Tabalong *unit 2007 2008 2009 Balangan Bartim Barsel HSU Batola Total 41 . Balangan and Batola. BIDANG SOSIAL BUDAYA Number of Facilities for Socio Culture Development 140* 120 Socio-cultural activities aim to enable local people to actualize themselves in religious. and marching bands from Tanjung. Sports development: providing sports facilities and funds for sport competitions. Types of activities: 1.Socio-Culture Social and Economic Performance religious and public facilities were funded in 2009. Warukin and Halong. art and cultural aspects. and Adaro Football Cup. Some of them are the local arts of Upau. and the donation for holy days and religious activities. In the context of community development.

Several public facilities founded by Adaro Indonesia 42 . 9. 2.000. Phase I Location Balangan Explanation Establishment of running track and drainage system are accomplished.110. 4. 10. Development is ongoing. Establishment of Library and Student’s Health Unit (UKS) of Harapan Mulia Kindergarten Ambahai. 7.600. In-kind Contribution. HSU Balangan Development is ongoing. Padang Panjang Village’s Community Hall Dahai Siraturrahman Mosque Poly Clinic for Medical Specialists and Emergency Unit (UGD) of Tamiyang Layang Provincial General Hospital Tabalong Tabalong East Barito Development is ongoing.Public Facilities [EC8] Rp 4. 1.110. Establishment of Toilet of Al-Madina Kindergarten Showroom for Outstanding Local Products Paringin. Physical development is ongoing.000. Establishment of Kindergarten and Reading Center and Toilet Rehabilitation of Laburan Elementary School (SD) Tabalong - 6. The total budget is Rp. Name of Program Establishment of Balangan Stadium.- 8.600. Establishment of Sumber Rejeki Sport Facilities Laboratorium of Murung Pudak Junior High School Plus (SMP Plus) Balangan Tabalong Bandminton and volley ball court. Kindergarten Pirsus Clean Water Piping System Balangan Dahai-Padang Panjang The program is carried out gradually with the target of completion in the year 2010. HSU - 13. Physics and Biology Laboratorium. Emergency Unit (UGD) of Hospital Dorys Sylvanus Plangkaraya and its Facilities Central Borneo Building and budget for putting up clean water piping system The following is the list of public facilities constructed by Adaro Indonesia as a Kinerja Sosial dan Ekonomi part of the community empowerment program: THE LIST of DEVELOPED ENFRASTRUCTURES in THE CSR PROGRAM of ADARO INDONESIA in 2009 [EC8] No. 14. 12. Toilet and Fences of Murung Pudak Junior High School Plus (SMP Plus) Tabalong - 5. The program is carried out gradually. 3. 11.4.

000 36. especially in the economic.000 100.000.700.800.375.000 210.000 700.000 67.000 3.000 875. which were economically related to the existence of Adaro Indonesia.000.500.100.000 200.500. was conducted in 2007 and showed the following results: Non-mining Sector Service Sector Existence and growth of new businesses in surrounding areas of operation of Adaro Indonesia creates role models in the economic sector towards an independent society. especially in Tanjung.000 12.000 60.500.000 35. Motel.000 800.000 2.500.000 3.000 436.825.000 13.000 10. community and government.000 60. Impacts on the government: the local development programs can be realized. Boarding Room Hairdresser Parking Lot for Motorcycles Small Restaurant Car Wash Dynamo Repair Car Accessories & Variation Car Garage Games Center for Children Water Tank Truck Supplier Electronic Shop Mining Safety Equipment Shop Drug Store Technical Tools Store Groceries Small shop Construction Material Store Home Appliances Office Supply Optic/ Eye Clinic Tailor Pastry Motorcycle Dealer Furniture Store Shoe Shop cellphone Load & Accessories Fish Cultivation 43.000 2.605. educational.165.000 3.000 3.000 700.000.000 210.100.750.000 3.000 Other impacts on the community: the creation of role models in various aspects of economy.000.000 1.000 1.000 3.Indirect Economic Impacts [EC9] The existence and growth of new businesses in the surrounding area of operation of Adaro Indonesia indicate indirect economic impacts of the presence of the company.000 350.750. 43 .215. Impacts on the company: the creation of a harmonic relationship between the company. “ Type of Business Weekly Sales (Rupiah) Weekly Profits (Rupiah) ” Trading Sector Fishery Sector Hotel.200.000 300.800.000 280.000 125.000 5.000 73.000 22.000 400.400.000 3.000 200.000 29. the capital of Tabalong Regency.000. health and socio-culture toward an independent society.000 12. health and socio-cultural aspects.125.000.000 700.000 3. sales turnover and profits of the non-mining industry sectors. electronic shops and auto-electronic shops.000 200. The study on the types of businesses.750.600.000. and the assurance of operational continuity.000 2. the improvement of the corporate image.000 896.500.000 1.000 2.000 7.350.000 27.000 200.000 1.340. education. such as motorcycle dealerships. A research on this issue was conducted.500.000.000 162. The study showed that each new business establishment could create new employment for two local people and the types of businesses that could create high employment were capital intensive businesses.

Prioritizing Safety and Environmental Conservation Adaro Indonesia develops and implements an integrated management system called the Adaro Safety. Environmental. Production (ASEP) Management System. Hydroseeding revegetation as a rehabilitation effort on the former mining site. 44 .

45 .

Production (ASEP) Management System. hospitalization. Adaro Indonesia develops and implements an integrated management system called Adaro Safety.Protecting Occupational Health and Safety Adaro Indonesia provides personal protective equipment. uniforms. outpatient. Emergency Crisis Preparedness & Contigency Planning The company is responsible for any incidents related to the occupational health and safety. especially ISO 14001 and OHSAS 18000. routine health check-up. Counseling to the employees and their families is continuously conducted as an effort to prevent and control the risk of dangerous diseases [LA8]: • Health counseling is carried out by the company’s medical doctor regularly. which is indicated and written in the Collective Labor Agreement (PKB). review. [LA9]. Inspection. The ASEP Management System is an essential element for the employees in increasing their productivity and company’s production and in managing the natural environment regarding the applied Occupational Health and Safety (K3) and Natural Environment regulations. Selection. Placement & training BARGE & LOADING DIVISION Risk Management. Evaluation & Remedial Actions Communication & Behaviour Management Incident Reporting. Planning & Leadership Recruitment. and the Worker’s Social Security Program (Jamsostek) covering a fatality. and safe transportation according to the safety standard. surgery. birth. safety equipment to employees at particular high-risk workplaces. Environmental. hearing aid. Investigation & Analysis HRGA DIVISION CSR & Off The Job SHE Operational & Process Safety EXT REL DIVISION CONTRACTOR 46 . Audits. uniforms and safety equipment to all employees for free Protecting Occupational Health and Safety By referring to the regulations and standards. • Safety issues: Adaro Indonesia provides personal protective equipment to all employees. accident in the workplace and retirement. SHE DIVISION MINE & HAUL DIVISION Management Involvement. as the following: • Health issues: Adaro Indonesia provides and takes care of the medical facilities. • Medication for employees suffering from dangerous diseases is carried out continuously by the company’s medical doctor.

Human Resources Section. Environmental Contaminated 75 22 80 70 60 50 40 7 6 20 5 5 ADARO-Sub*)) 40 30 20 10 0 One of the occupational safety signs 29 Source: SHE Report 2009 In order to mitigate potential risks. especially in connection to occupational safety through various ways. Personal protective equipment for employees in the workplace 47 .Regarding its achievement in protecting the occupational health and safety. one of which is the socialization of the President Message. especially those who directly work in the mining sites (those whose work is closely related to the occupational safety issues). and the OPA Labor Union. • Setting up and managing the Discipline Committee. Department Heads. • Reminding the importance of work discipline. Below is the number of accident cases of Adaro Indonesia and its contractors in 2009 [LA7]. Division Heads. • Socialization and evaluation of the accidents occurred in the mining sites. Number of Accidents in Workplace 25* 20 15 12 10 5 0 ADARO *) Amount PAMA BUMA SIS RA *)) Corporate Minor Injury Lost Time Injury Fatal Serious Property damage. Adaro Indonesia carries out the following efforts: • Inviting a psychologist to carry out counseling for employees. Adaro Indonesia received an appreciation on the safety from the Ministry of Mining and mineral Resources in 2001 up to 2005 and in 2009. Adaro Indonesia employs basic values for addressing potential risks: • The potential risks mitigation has to become a liability • The potential risks mitigation has to become a need • The potential risks mitigation has to become a culture Adaro Indonesia applies a high level of discipline to all employees. In order to ensure high discipline behavior. in which its members are the General Operation Manager. • Induction of all parties (guests and employees) when entering the mining sites.

Even though there are no documentations on the reduction of paper quantity used and reused.7570-2010) 3.Conserving the Environment Initiative to Reduce the Impact on the Environment [EN26] Adaro Indonesia has initiated to reduce impacts on the natural environment from the process of operations. The use of used oil as the mixture material of explosives 2. 8. Since the end of 2009. 4. Routine check on the solar panel is carried out by field staff of Adaro Indonesia. Minimizing the impact of transportation activities through appropriate maintenance of vehicles. 7. Reduction of air blast noise by using the stone material split and plug system that can produce a noise level at 90 dB (A). Reduction of greenhouse gases by lessening the use of diesel fuel. The change was conducted after a study on the errosion in the dump site was carried out by the geotech section. in cooperation with Hokkaido and Lambung Mangkurat University since 2007. Reducing leftover food waste by converting it into compost. benthonic. The use of solar panels for running several supporting equipment for the operation b. reduction of dust and coal spills. Some of the materials are the drill mud.7571-2010). 48 . through: a. 6. This vibration level is below the quality standard/normal limit of 3 mm/s (refer to the Indonesia National Standard SIN. Adaro Indonesia is responsible to reduce the impact of operation on the natural environment. 5. Fixing the design of the waste dump by changing the slope from 20° to 26° in order to prevent errosion. Reduction of vibration: by creating a line drill and air deck in the explosion area. Reduction in the use of paper by reusing scrap papers for printing and using the internal network for communication. Some of the activities are: 1. The level of vibration can be reduced from 3 mm/s down to 2. and stargel. and controlling the noise level.5 mm/s. such as dust from vehicles and organic waste. the mud slayer has been used to reduce the number of consumable drilling materials for the drilling process. this effort has given benefits to the company. This noise level is below the quality standard/normal limit of 110 dB (A) (refer to the Indonesian National Standard SNI.

000 250.968 12.000 2009 Gigajoule (GJ) 40 35 30 25 20 15 10 5 (x100 GJ) 14 Total Direct Energy Total direct energy (the sum of nonrenewable and renewable energy) consumed by Adaro Indonesia is: Total Direct Energy Consumed (x 1.000 0 2008 Liter 16.000 6.000 9.001 16.000 400.000 L) (x 1.000 350. which is equal to the amount of diesel fuel energy along 2008-2009 (x 1.000 100. which is equal to the amount of diesel fuel energy reduction: The Use of Solar Energy Source that is Equal to the Reduction of Diesel Fuel Energy in 2008-2009 (x1000 L) 450. the use of this non-renewable direct energy source increased by 49% due to the rise in production volume.000 4. including blasting.000 150.000 GJ) 12 34 7 20 12 10 8 6 4 2 2008 Liter 2009 Gigajoule (GJ) 450.000 50.000 250.000 8.000 2. The next figure describes the amount of solar energy production.000 10.664 10.000 2.697 266. In 2009. The use of non-renewable direct energy source (diesel fuel) Amount of solar energy production.000 14.644 9.The initiatives to reduce the impacts on the natural environment are explained below.000 4.000 8.000 50.696 265.000 12.000 200.000 150.000 14.000 350. Energy [EN3] Adaro Indonesia’s operations use the direct energy from: Non-renewable Energy: Diesel Fuel Diesel fuel is provided by Adaro Indonesia to be used by the contractors for the production process.000 L) (x 1.000 396.000 2008 Liter 2009 Gigajoule (GJ) 49 .000 400.000 300.460 14.000 100.000 300.461 14.000 200.000 6.000 396.000 GJ) Renewable energy: Solar Energy Solar energy is used to replace diesel fuel for generating electricity to be used for running supporting equipment in the operation.

the use of diesel fuel was reduced to 50% quantity.Energy Efficiency and the Use of Renewable Energy [EN5] The product of Adaro Indonesia is an energy-efficient coal due to its high burning efficiency level (about 99. which are: 1. UT view point communication equipment. b. SIS repeater and transmitter. Pama repeater T300. and with the Ministerial Decree of the State Minister for Natural Environment No. There are no documentations yet regarding the use of energy for the equipment in all these locations. The energy conversion from diesel fuel to solar cell energy is carried out gradually. the RTK GPS Radio repeater in four locations and the field office in one location. Initally. Survey activities: the solar energy source is used by the AWS (Automatic Weather Station) in two different locations. the diesel fuel can be replaced by used oil at 25% substitution level (2008-2009). Reduction in diesel fuel consumption by replacing it with used oil. The utilization of used oil can save the use of diesel fuel up to 50% quantity without lessening the explosion quality. diesel fuel was used as the mixture of Ammonium Nitrate (AN) of the ANFO explosive material. There is no data for the savings because there is no measurement yet. 14 12 10 8 6 4 2 12 34 7 20 2008 Liter 2009 Gigajoule (GJ) 92 55 2009 50 . Using solar energy by installing solar cell panels that produce electricity to be used for running equipment which support: a.20 in 2010. 3. Fuel savings by turning off the engines when idling for a long time. With the agreement of the State Ministry of Natural Environment of the Republic of Indonesia. The daily savings of diesel fuel as an energy source in 2008-2009 due to the energy conversion is shown as follows: Diesel fuel daily savings due to solar cell energy subsitution 100 80 60 40 20 2008 Liter/day The yearly diesel fuel savings due to the solar energy substitution (assuming that the equipment is used 365 days in a year) is explained below: Diesel fuel energy savings as the source of electricity 40 35 30 25 20 15 10 5 (x100 GJ) 2.7%) Adaro Indonesia has been performing various efforts to reduce its energy consumption. Adaro Indonesia is also able to reduce its diesel fuel consumption for detonation activities by using used oil. Mining operations: some of the equipment using solar energy are the slope stability monitoring equipment.

a rehabilition would be implemented at the former mining sites [EN12]. The impact could be resulted fom the land clearing activities and exist up to the end of exploration. birds and reptiles found in the location. Adaro Indonesia gives contributions through reforestation and progressively manages and monitors the natural environment. except in special cases such as the shrub layer which is the habitat of mammals and birds. Then. The existence and development of the flora and fauna. and a very low diversity of mature trees. is classified as having low and verylow biodiversity. 51 .80 Ha area covered in the Coal Contract of Work (PKP2B) of Adaro Indonesia [EN11]. location that has a high biodiversity and is classified as a protected habitat or area in the 35. The vegetation analysis and the species matrix in the beginning of 2010 in Tutupan area. as an indicator of the impact on natural environment.Restored Biodiversity and Habitat The condition of biodiversity of each mining site is [EN11]: 1. Tutupan Mining Site Ecological value in this location is good enough and is indicated by the formation of vegetation in the secondary forest and mixed gardens. The results of previous monitoring showed that there is no endangered species affected by the mining operations.800. The natural environmental management and monitoring is conducted based on the Environmental Impact Assessment (EIA). Monitoring the flora and fauna in the natural and affected areas is conducted once a year. the natural vegetation formation and mixed gardens: 1) The secondary forest in the observation area at various vegetation levels. In case with a poor diversity of shrub vegetation. which is approved by the government [EN14]. would always be monitored. especially at the under-canopy level and shrub layer. There is no conservation area. sapling and seedling levels have shown that the diversity of birds and mammals species is sufficient. or. and also by the diversity of mammals. However. 2) The fauna diversity relatively follows the diversity of the plants.

except in special cases such as the bushes vegetation which is the habitat of mammals and birds. has high ecological values compared to those of other formations. including the original forest plants of Kalimantan. palm oil stand and revegetation with low variety (<3 types). and a very low diversity of mature trees. and also by the diversity of mammals. Leucaena/the leadtree. Some of the plants are Chinese Albizia (Albizia chinensis). Samanea saman (the rain tree). Results of the vegetation analysis and species matrix in the beginning 2010 show: 1) A monoculture vegetation. sapling and seedling levels have shown that the diversity of bird and mammal species is sufficient. Wara Mining Site The ecological value of this location is good enough and is indicated by the formation of vegetation from the secondary forest and mixed gardens. the vegetation area. The results of vegetation analysis and the species matrix in the beginning of 2010 in Paringin area are: 1) The secondary forest in the observation area at various vegetation levels. birds and reptiles found in the location. and a very low diversity of mature trees. • The implementation of reclamation in several stages. In case with a poor diversity of shrub vegetation. 52 . hydroseeding. 2) The fauna diversity relatively follows the diversity of the plants. which consists of fruits and natural plants. 2) The fauna diversity relatively follows the diversity of the plants. which are: land structuring. indicates a low level of plant diversity and a very low level of several vegetation layers. Adaro Indonesia carries out reclamation and revegetation in former mining sites in order to manage the biodiversity and make the areas useful and beneficial.2. annual plants. is classified as having a low and very-low biodiversity. and Sesbania grandiflora (the hummingbird tree). sapling and seedling levels have shown that the diversity of bird and mammal species is sufficient. such as the wholesome rubber tree plantation. except in special cases such as the shrub layer which is the habitat of mammals and birds. In line with the Environmental Impact Assessment (EIA) document. Acacia. • The cultivation of various plants. such as the bushes or empty area. especially at the under-canopy level and shrub layer. and fast-grow and perennials planting. eucalyptus. and fruit plants in the reclamation area. erosion control. Some rehabilitated areas are inside the former mining site in Paringin [EN13]. Paringin Mining Site The formation of natural vegetation and mixed gardens. 3. through: [EN14]: • The development of local plants in Kalimantan. In case with a poor diversity of shrub vegetation. in cooperaton with Lambung Mangkurat University and the Banjarbaru Office of Forestry Research [EN13]. the wholesome rubber tree plantation and the palm tree plantation. Gliricidia sepium (Gliricidia).

The methodology to compute the greenhouse gas or CO2 equivalent follows that of the USEPA (2005): Emission Facts: Average Carbon Dioxide Emissions Resulting from Gasoline and Diesel Fuel.6768 0 . Pb Cd.9563 1.163 .5 10 10 35 5 800 1000 350 35 12 8 35 12 8 5 Berdasarkan perhitungan diatas maka emisi gas rumah kaca di Adaro Indonesia adalah sekitar 931. NO2.epa.662 gallons. The measurement shows that the emission is still under the allowed maximum emission standard issued by the government (KEP.787.30 0 . which are the 21 units of generator used daily for the operation. The parameters for measurement are dust. The air emission measurement is carried out bi-annually on the main sources of emission. The total includes only the fuel consumption of the contractors in the mining sites and does not include fuel consumption for other activities. NH3.2. H2S.4904 0.000.0242 . Operational air emissions are always monitored and minimized.664.9.13/MEN LH/3/1995).0549 0 .0. which is 396. The results of measurement of the 21 generators Emission NH3 C12 HF H2S HCL SO2 NO2 Debu Opasitas Pb Cd ZN Sb As Hg Unit mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 % mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 mg/m3 Range of Measurement Results 0.0.5 .000 g = 8. Zn.5 0-9 Maximum Standard 0. Source: Primary Data.89*10-3 metric tons CO2/gallon of gaspelumasne Sumber: www.8685 0 .325. Opacity.537. PM10 dan PM2. SO2.403 .0.0. 2009 Routine monitoring on emissions is carried out. As and Hg.html The air emission measurement is carried out on the ambience air quality.0877 0 . Department of Manpower and Transmigration. EPA420-F-05-001 and IPCC (2006): The formula for the computation is [3.0872 0 .36.4498]: 2. HCl.379 liters or equal to 104.9.425 grams C/gallon * 100% oxidation factor * 44 g CO2/12 g C * 1 metric ton/1.3559 18. Sb.562 metric tons CO2.0111 .4318 0 .9239 .0423 0 . Cl2.5.0. HF. 53 .Greenhouse Gas Emission [EN16] Air Emission [EN20] Total greenhouse gas emission of Adaro Indonesia has been computed by using the data of total fuel consumption in 2009. fallen dust. Secretariat General Center for Occupational Health and Safety.

739 622. The recycling capacity is 20 liters per second and the storage capacity of the clean water is 450 m3 and 75 m3. especially from Km 73 up to ROM 1 (High Wall).616 water treatment total volume (m ) 3 water spray (m ) 3 Water Drawn 1 In pit sum (from the ground water) and surface runoff water in Tutupan 153.600.000 In the mining process.Water and Waste Water In the loading facility in Kelanis. with a total volume of 153.000 m3 or 2% of the water (in 2009) by converting the previously mentioned water through the Water Treatment Plant (WTP) T. Total amount of Water Drawn and Used from the River in Kelanis About 2.000 54 . the company draws water from the river to be consumed for domestic needs. 50. Half of the water is reused while the other half is usually flown to the recipient water body after being processed. The road in the mining site is hosed every day to reduce dust Water Drawn 2 3 Water Treatment Plan (WTP T300) Water Used to Hose the Road 153. such as to drink and to clean up the coal (in order to ensure the quality of the coal). Total volume of water drawn from the river in 2009 was 656. and 80. Ground water and surface run-off water drawn and used in 2009 No Item Amount (m3) 33.000 m3 in 2009 [EN8]. such that the mining activities would be safer. [EN10].300 into clean water. was managed by Adaro Indonesia.000 liters.355 m3 [EN8].000.600. The water is usually collected in a pond. WTP 300 was set up in 2008 on the west side of the Tutupan mining site.000. This ground and surface run-off water. in order to ensure the mining wall stability. Water recycling was also conducted to about 150.000 2. a large amount of ground water floods the mining area.000 m3 or 2% of the total volume of the water (in 2009) was used to hose the mining road and several locations at the hauling road.5 up to 73 and the Panas Market in Kelanis. . This activity is usually conducted by using the water tank trucks with capacities of 20. The water then would be pumped out from the mining wall aquafier.000.000. from Km 68.

TSS.The concepts in managing the in-pit sump and surface run-off water are [EN21]: • Preventing the surface water from the undisturbed area coming into the settling pound. and daily debit as the parameters. and South Barito No 389 in 2006. Based on the regent regulations (SK Bupati) of Tabalong No 274 in 2008. • The use of physical and chemical processing. Balangan No 188. 55 . • The monitoring of result at the structuring spot uses pH.45/021/Kum in 2008. • The standard design of the settling pond uses three compartments with different functions. Adaro Indonesia is allowed to dispose processed waste wáter into the main river bodies.45/126/Kum in 2009. • Designing the settling pond by considering the catchment area and rainfall. Fe. • The maintenance of settling pond is carried out to avoid sedimentation. including the Balangan and Tabalong River. Flow Chart of the Waste Water Treatment System RUN OFF & IN PIT SUMP IN PIT POND WATER TREATMENT PLANT SETTLING POND WATER BODY Adaro Indonesia’s effort to use and alter waste water from mining operations into consumable clean water resulted recognition from the Minister of Social Affairs in the CSR Awards. Balangan No 188. Mn.

76 115. [EN24]. Hazardous waste: is delivered to the third party to be processed according to the permit and regulation of the Ministry of Environment and the Directorate General of Transportation.56 38. The leftover waste food of the contractor members in the working area is processed into compost in cooperation by Hokkaido and Lambung Mangkurat University. Adaro Indonesia does not transport hazardous waste outside the country. 2007 *Hundreds (Kg) 2008 2009 Processing leftover food from the workplace and converting it into usable compost 56 .Solid Waste [EN22] The amount of leftover waste food and the compost produced is shown as follows: Amount of processed waste and produced compost 160* 140 120 100 80 60 40 20 0 86.25 42.15 154. Adaro Indonesia produces waste in the form of: • Non B-3 waste: The waste from activities in the office area is disposed to the dump site (TPA) of the local regency government.89 36.73 • Every day.

500 26.000 4.500 12. Total number of the drum was 149 in 2009.456 KELANIS 18.000 0 0 12. hose. About 178.378 0 1.5% Amount of Hazardous Waste in 2009 No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Waste Type Used Oil Used Battery Used Filter Grease Waste Paint.021 215 0 0 10 20 0 SIS 909.540 590 22.512 6.000 * * 1. Reuse of Used Oil in 2009 for the Mixture of Explosive 30. and glasses.150 10.417 0 23.028 0 45.627 14.020 Waste Oil (liter) nu fe ary br ua ry m ar ch ap ril m ay ju ne ju l au y se gus pt em t b oc er to no be ve r m de ber ce m be r ja 57 .588 0 0 0 0 10 1. Thinner.600 1.000 15.Kandungan Abu Envirocal terendah dipasaran batubara global 1-2.241 2. and Solvent Cans Utility Rag Waste Sawdust Empty Printer Cartridges Used Flourescent Lightbulbs Empty/Used Fuel Drums Diesel Fuel Waste Grease Waste Used Hoses Welding Wire Waste Used Gloves Unit of Measurement Liter Pcs Pcs Kg Drum Karung Karung Pcs Pcs Pcs Liter Liter Pcs Kg Pcs Sumber Workshop Workshop Workshop Workshop Workshop Workshop Workshop Office Office Workshop Workshop Workshop Workshop Workshop Workshop Adaro 49.139 0 0 RA 382. The proportion rose from the previous composition of 25%.360 20.096 0 0 0 0 147 0 1.000 25.534.874 14.255 * 4. The allowed composition is 50% used oil and 50% diesel fuel.000 10. welding wire.700 * * * 0 * * * * * Source: Hazardous Waste Balance Sheet of Adaro Indonesia Note: *) unit of measurement of waste of the loading facility in Kelanis is in “drum”.558 Puma 1.360 6 20.000 5. tube lamp waste.095 3.325 369. used filter.318 103 310 0 1.000 20. which contains various (B3) Dangerous & Poisonous Waste such as used battery.000 27.482 0 66 10.000 20.521 liters of used oil was reused in 2009.980 0 330 0 0 0 0 0 0 0 0 0 Buma 583.425 0 0 395 0 92 0 0 0 0 1. Half of the used oil from the mining operations is usually reused for the material mixture of explosives (ANFOemulsion).337 37.500 16.682 427 130.700 6 100 2.

Service Unit Pretreatment with Filtering Storing in TPS Mixing Solar Fuel and Used Oil in the Mixing Plant Mixture is carried out by the special unit (the Blasting Unit) The Flow In and Out of Used Oil is recorded in the logbook Mixing Ammonium Nitrate with Diesel Fuel + Used Oil (ANFO) for the Explosive Explosion Produces Zero Balance Oxygen (White Smoke) Explosion results no boulder-shape fragmentation 58 .Kesehatan dan Keselamatan Kerja Activities of Reusing Used Oil as the Additional Material for Blasting in Adaro Indonesia.

679. The efforts to improve this are maintaining the vehicles regularly and carrying out an energy efficency program. to handle this. Coal spill from coal loading. To minimize this. · Cost for the Environmental Management [EN30] Adaro Indonesia has committed to managing and monitoring the natural environment.849 637 353 206 . The efforts to minimize the impact are monitoring the noise and managing the dumping procedure.654 7. a procedure on coal spill treatment has been implemented. In 2009.000 2. The spills were successfully isolated in the mining sites to prevent negative impacts on the external environment.000 8.200. Frequency of spills in 2009 14 12 10 8 6 4 2 0 PAMA BUMA SIS RA ADARO · · this are measuring the dust content of the air in the area and carrying out a coal treatment procedure.000 4. To handle this. transporting and dumping activities.000 6. Fuel consumption of the vehicles.Spills [EN23] Impact of Transportation Activities [EN29] The impact of transporting products and services on the natural environment is described as follows: · Gas emission that pollutes the air from vehicles.000 12.000 0 16. Noise due to the coal dumping activities. 47.000 10. transporting and dumping activities. t n h d P t t en an etc fS tio en arc en eo ing trol ronm tion Rese ent ting. The efforts to address · Hydrocarbon (oil and diesel fuel) spills occured in 2009 and.914 2.982 3. The dust in the air due to coal loading. Cost for Managing the Environment (jutaan rupiah) 18.305 15. the vehicles are routinely maintained and emissions are measured.000 16. Adaro Indonesia has implemented the System and Procedure on Hydrocarbon Management and has set up a particular team that manages hydrocarbon spills.000 14. the spending for managing the natural environment was Rp.901. eta tm em c g ag tur Con rea an vi va tal lopm por -ve uc an rt en En er Re Str sion al Obs men eve Re int ate il M d o ur w D Ma on Lan Ero Nat pS ste vir and To En Wa 59 .

Adaro Indonesia gurantees and subscribes employees to the Worker’s Social Security Program (Jamsostek) 60 .Improving the employees This Section Describes the Impact and Performance of Adaro Indonesia’s Operation on Employees.

61 .

78% 122 NON LOCAL TOTAL 513 112 *EMPLOYEE (people) >50th 41-50th *EMPLOYEE (people) source: HR Report. Workforce as of December 31. more than half of the employees are local people because Adaro Indonesia gives fair employment opportunities and prioritizes local workforce.Improving the Employees Improving the Employees There are 513 employees working for Adaro Indonesia. They are classified into Management. 2009 600* Composition of the Employee Group by Age 600* 500 400 300 200 100 0 16 110 175 162 4 2008 2009 31-40th 21-30th <20th 19 123 205 500 400 300 200 100 0 LOCAL 100. Staff and Non-staff [LA1]: Based on employment status. Composition of the Employee Group by Status 600* 500 400 300 200 100 0 2008 2009 101 25 388 412 Based on the age of employees. 2009 62 . more than half of the employees are at a productive age between 31 and 40 years old. Fourty percent of the individuals at the management level are also local people.00% 76. more than half of the employees are permanent employees.22% 391 23. *KARYAWAN (orang) Non-permanent Permanent Based on the origin of employees.

1% 88. PT. PT. Sapta Indra Sejati (SIS).5% 38. namely PT Pamapersada Nusantara (Pama). The number of people working in the area of operation of Adaro Indonesia would be 12. the total number of workforce is 1. followed the increasing volume of production in 2009. If employees of the sub-contractors are also counted. Bukit Makmur Mandiri (Buma).8% 11.2 80% 70% The data presented above shows the number of employees of Adaro Indonesia only. Composition of the Employee Group by Gender and Employment Level 100% 90% 39 288 40 297 1 10 1 10 58.117 people. Rahman Abdi Jaya (RA). the number of female employees has increased and women already fulfill managerial positions.5 60% 50% 40% 30% 20% 10% 0% 2008 MAN 2009 20 14 121 145 4000 3500 3000 2008 2009 WOMAN 1181 NON LOKAL % LOKAL % 2500 2000 1500 1000 500 0 180 937 3044 1026 1197 1693 316 668 RA SIS OTHER MANAGEMENT NON STAFF STAFF 339 1207 833 ADARO PAMA BUMA NON LOCAL % LOCAL % The increase in the number of employees in 2009. are also included. compared to that in the previous year.Comparison between Local & non-Local Employees by Employment Levels 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% MANAGEMENT STAFF NONSTAFF Based on the gender. and PT.9 61. 63 . Comparison of the Number of Local and Non-local Employees Between Companies as of December 31.623 people if employees of the four main contractors. 2009 4500 41.

Annual. Status and facilities. wages and benefits. Each employee is a member of OPA through a voluntary membership mechanism. Medical allowance 5. Complaint mechanism. Medical Services 9. and medical benefits including the occupational health and safety [LA9]. and 3 sets of uniform each year. Aspects included in the Collective Work Agreement (PKB) are: 1. Redundancies. 7. Skill development. Annual Leaves. Religious holiday allowance 4. Freedom of Association To ensure its existence in the company. namely the Adaro Labor Organization (OPA) that represents the employees and brings forward considerations to the company. Permission to leave. Transportation facilities to workplace. 2. This is also applied to determine the incentives for the employees. the employees of Adaro Indonesia receive [LA3]: 1. One hundred percent of the employees of Adaro Indonesia are protected by the Collective Work Agreement [LA4]. Worker’s Social Security Program 8. 8. mobilization costs. Housing allowance (especially for on-site employees in Kalimantan). 9. In addition to salary and wages. Remuneration and Allowance Remuneration for the employees is set up and given according to the employment laws and regulations. maternity and menstruation leaves 3. Field allowance (especially for employees in Kelanis and Permata Barito). 6. worship facilities. the professional relationships and the industrial/employment dispute resolution. 7. Overtime wages for non-staff employees 2. by considering and is not less than the Provincial Minimum Wage (UMP) and the Provincial Sectoral Minimum Wage (UMSP) regulated by the provincial/local government [EC5]. Salaries. 5. 64 . The agreement is usually reviewed every two years in a meeting with the (OPA) Adaro Labor Union. 3. entertainment. 4. the employee group has a formal organization.Possessing a Mutual Work Agreement The rights and liabilities of the employees and the company are written in the Collective Work Agreement (PKB). Professional relationships. Order and disobedience. working days and hours. 6. The content of the Collective Work Agreement in general is about the employment regulations concerning the rights and liabilities of the employees. The salary increase is given based on an employee promotion scheme for outstanding employees through examinantion led by the corporate leaders.

the re-employment is carried out in order to develop. financial management training and other training according their interests in businesses that they want to manage after retirement.00 2008 2009 20. and Postemployment Security Program (JHT). Employees who receive training should present the new knowledge they acquire and be evaluated by the Division Head/Section Head.78 21. In 2009: the average training hours per employee was 20. This training includes mental (post power syndrome) preparation training.400 212 9.00 40.00 10.000 12. For example.00 60. Types of trainings: At the Managerial Level.49 19. training is usually carried out based on the needs of each department.00 20. Safety is the training about the occupational safety and the certification program concerning the safety need.000 6. Usually. the annual training schedule is developed into three categories.000 2.75 20.00 50.50 non-staff staff management 65 .000 2. the employees participate in entrepreneurship training. and supervisors).000 10.952 145 4.000 496 488 2008 2009 2008 2009 MANAGEMENT STAFF G R A D 2008 2009 NON STAFF E Participant Total Hour Average training hours per employee (people) 70. This program includes: the Occupational Accident Security Program (JKK). and employees from middle-up managerial level. If needed. Fatality Security Program (JK).36 20. Based on the results of the training need identification. The company does not subscribe the employees to the Health Security Program (JPK) because the company has and implements its own health insurance program that is relatively better than the Health Security Program (JPK). The training program is designed based on the Performance Development System and the training need analysis.6 Number of training hour & participant (people) (hour) 600 500 400 300 200 100 2. The employees that enter the end-ofcareer phase also receive training. Technical and Leadership Training. Adaro Indonesia also provides a crosslevel training for non-staffs. the company subscribes the employees to the Worker’s Social Security Program (Jamsostek). These types of training are also given to the spouse of the participating employees.00 0.176 110 128 4. At the Technical Level. Employees who should take a bedrest for reasons of non-occupational accidents still receive salaries from the company based on the following 4-phase mechanism: For the first four months of absence: 100% x salary For the second four months of absence: 75% x salary For the third four months of absence: 50% x salary For the next four months of absence: 25% x salary (up to termination) Developing Lifelong and Career-long Learning [LA11] Since 2009. emphasizing soft skill training such as mental development. the company organizes a Mental and Physical Training (BINTALSIK) with militaristic methodology and led by military instructures. This is the government’s program that should be followed by all employers and their employees.Providing Work Protection [LA3] In the aspect of work protection. Adaro Indonesia also gives reemployment opportunities to retirees. One year before the age of 55. which are: General.03 20. staffs (officers. ”Pra Purna Bakti”.752 2. ESQ and an External Leader Camp.000 8.936 10.00 30. foremen. Adaro Indonesia has been implementing the Standard Operating Procedure on training management to ensure that every employee and manager receives training programs in order to develop their knowledge and skills and to improve their behavior. guide and grow the corporate values of the new employees.

5 4 3.There was a decreasing number of participants of training and an increasing number of training days per employee in 2009 compared to 2008 because of the improvement that we made.5 0 supervisor non-staff manajemen staff/ foreman 4 3 3 2 66 .5 2 1. Career development of the employees of Adaro Indonesia is known as the Performance Development System Program. the Training Need Analysis (TNA) was implemented prior to designing the training in order to make the training in line with the needs of the company and to be able to focus on work issues. it took a long time to develop the TNA. Determining the agreement between the leaders and subordinates c. e. It is a one-year development program that covers the processes of: a. Performance Review at the end of the year is carried out together with the process of identifying the best employee.5 3 2. coaching-counseling d. Fit and proper test The number of employees that received career promotion in 2009 [LA12]: The number of employees that received career promotion in 2009 4. Determining the workload in the beginning of the year b. which resulted in a delay in the TNA implementation in 2009.5 1 0. However. Since 2009.

Syamsul Bahri (Geology) 3. Three persons were discharged due to indisciplinary behavior and sanctions. Diki Wandani (Production) 1. the company also provides Special Educational Assistance for the employees’ children. Gazali Rahmat (TSD) 3. Turn Over [LA2] The employee turn over rate was 4% (25 persons) in 2009 because of various reasons. Supriadi (Production) 2.00 for those in non-engineering programs). Those who received the appreciation as the best employees are: Adaro Indonesia’s employees (Staff.75 for those in engineering programs and a minimum GPA of 3. Amrullah (Environmental) 2. Emanuel (HRGA) 3. who have good performance in their studies (criteria for elementary school up to senior high school pupils: ranked 1st -5th in the class. drivers and contractors’ employees currently working in Adaro Indonesia) The announcement of the best employees was carried out in the event of “General Morning Talk” at the beginning of the year. Rahmat (CPBL) To motivate the learning spirit of the employees’ children. Non Staff) Sub-contractor employees (labor supply’s employees. the Reward for the Best Employee was granted in the period of 2008 up to 2009. Ageng Prasongko (TDS) 2. Kadarisman (External) 2. for college students: a minimum GPA of 2. Supian Syarif (Geology) 3. Supriatin (Production) 2 0 MANAJEMEN Non Voluntary 0 STAFF 3 NON STAFF Voluntary 67 . The main reason was the end of the work contract and the second primary reason was the willingness to lift up career level. Bijuri (TSD) Driver 1. The winners of the Adaro Indonesia’s Best Employees 2009 were: Karyawan Teladan Adaro Indonesia tahun 2009 adalah Level Staff Winner 1. Turn Over Karyawan 12 8 Non Staff Labor Supply 1.Motivating the Employees and Appreciating the Employees’ Performance [LA12] To appreciate the employees’ performance.

14] The stakeholders of Adaro Indonesia are classified into: Shareholders Employees Contractors PT Pamapersada Nusantara PT. Japan The Indonesian Institute of Sciences. Rahman Abdi Jaya The Community at Large Non-Governmental Organizations and Community Groups YABN Islamic Boarding School Darut Tauhid Islamic Boarding School Hidayatullah Islamic Boarding School Al-Islam Islamic Boarding School Darul Musthafa Daniel Foundation. Banjarbaru The National Institute of Islamic Religion. Banjarbaru Amuntai College of Nursing. Bebas Baru Tabloid 68 . Limnology Bogor Agricultural Institute Gajah Mada University Bandung Institute of Technology Lambung Mangkurat University. Barito Kuala. Hulu Sungai Utara Local Government The Provincial Local Development Body and the Local Development Body of Kabutan The Local Government of Tabalong. Limnology The Indonesian Institute of Sciences. and South Barito Regency The Local Government Body on Natural Environment The Village Community Empowerment Body The Department of Mining and Energy The Department of Forestry The Department of Immigration The Department of Education The Department of Health The Department of Plantation The Department of Agriculture The Department of Husbandry The Department of Fishery The Department of Cooperatives and SMEs The Department of Manpower The Department of Industrial and Trading The Department of Social Affairs The Statistic Office The Security The National Land Agency The Local Lower House of Representatives Mass Media Kompas Newspaper. Balangan. East Barito. Banjarmasin Post. Bukit Makmur Mandiri PT. East Barito Islamic Boarding School Ilhya Ulumudin CRDS The universities and research institutions Hokkaido University. Sapta Indra Sejati (SIS) PT. Banjarbaru The Office of Forestry Studies. Hulu Sungai Utara.How the Stakeholders See Us The Stakeholders of Adaro Indonesia [4.

Realizing that the community members have big interest to work at Adaro Indonesia. such that people can easily receive recruitment information. the EDUTAMBANG program and the CSR programs indicates that “the company.13]. He values that the programs of Adaro Indonesia straightforwardly address the needs of the community..5] The stakeholders are identified regarding particular criteria.2] Employee (Teguh Budirianto. Mr. For him. such that the beneficiaries directly experience the benefits from the programs. [4. To appreciate his achievement. He was impressed when he and his coworkers won the Gold Prize in the fire and rescue competition held by the Department of Mining.. CSR Community Group Recently. ”Adaro Indonesia is responsible enough through the development of road dedicated particularly for the mining activities and the reclamation of former mining site appropriately” he said. The Stakeholders’ Perception [1. Based on these. cares very much about the quality of the employees”. interests. This should be conducted through dialogues with relevant stakeholders regarding their needs and by asking them to actively get involved in program implementation [4. He. especially the management.16]. the stakeholders can be classified based on: Work partnership Work location Organizational relevance and the insitutional authority on particular issues Personage and influence. Adaro Indonesia gave him a bonus and allowed him to take a vacation. which are the location proximity. experience. who is the President of the Adaro Labor Union (OPA). Ansharudin. and professionality. he hopes that the company may increase the promotion of recruitment process for the candidates. it is expected that the mining corporations can develop and maintain good relationship with their stakeholders and that the group can generate new ideas or regulations to improve the social performance of the company. is proud of being a part of Adaro Indonesia. Electrical) Teguh has been working in Adaro Indonesia for three years. In increasing the stakeholder engagement.. those who hold the Coal Contract of Work (PKP2P) and Production Contract (KK) have set up the CSR Community Group in South Kalimantan and Adaro Indonesia has been appointed as the Chair.make good planning and to ensure the participation of stakeholders from the beginning. Government (Mr. the approach used is to make good planning and to ensure the participation of stakeholders from the beginning. “ ” .Identifying the Stakeholders [3. the existence of the bi-annual training on skills. the Vice Regent of Balangan) Mr. influence on the company. Geotech Support. the employees’ engagement in the efficiency program at any aspect. Besides. he has seen that the good relationships with the local government and the involvement of the local government and other stakeholders in CSR planning are the positive efforts of Adaro indonesia. Ansharudin can not deny that the development in Balangan Regency is highly stimulated because of the support from Adaro Indonesia through its social responsibility programs. Ansharudin expects that Adaro Indonesia can keep prioritizing local people in the employee recruitment process and expanding the programs that are directly related to the community.. Through the community group. 69 .

One of which is the economic growth and the development of life quality of the community. Ahmad Rasyidi Amin sees that the presence of and assistance from Adaro Indonesia gives positive impacts. creates a condusive working environment” he said. and on education. The togetherness and cohesiveness that occurs. which was the bookmobile program. South Kalimantan) KH. 70 . mass media and non-governmental organizations. he emphasizes the need to increase cooperation between Adaro Indonesia and the ulama. whilst expecting that the existing cooperation could be improved by maintaining the agreed aspects. Mr. Mr. the President of MUI in Tabalong Regency. without sacrificing particular parties. He also expects that Adaro Indonesia can be more transparent in giving information to the community. land disputes and also community’s demand for employment in Adaro Indonesia and its contractors as well. He saw several incidents. The ulama has carried out a multi-stakeholder meeting and would like to hold the meeting regularly in order to generate solutions to the problems occured. Contractor (Mr. which was the cataract surgery. Nevertheless. All of these have taught Adaro Indonesia to search for the win-win solutions. Agung sees many positive impacts from the presence of Adaro Indonesia. in the operational area. BUMA) Since joining one of Adaro Indonesia’s contractors in 1993. such as water pollution. CDI Section Head PT. The role of ulama is very significant in bridging the gaps between Adaro Indonesia and the community. including budgeting. Ahmad Rasyidi Amin. including the impacts on religious aspects. Agung Hadi Widiyono. ”The contractors usually participate in every program planning. Agung was very impresed by his experience of being involved by Adaro Indonesia in the CSR program on health.dari budget Pemberdayaan masyarakat 2009 untuk bidang ekonomi Cleric (KH.

the Adaro Indonesia’s care is a blessing that she is grateful for. Habibi. where the programs are not suitable for the condition in the area. Adaro Indonesia cooperated with a team from the Center of Demographic Research of the Lambung Mangkurat University to carry out a study about the community’s perception regarding the CSR programs of Adaro Indonesia in 10 villages around the mining sites. At the end. such that local youths can develop various other skills.. She expects that Adaro Indonesia keeps its commitment to develop education and the quality of local youths through this scholarship program. the students are expected to implement the knowledge they have learned. Nordinah S. Habibi is accepted to study at Bogor Agricultural Institute. has been nominated as one of the ten grantees of Adaro Indonesia’s scholarships for college education. there is a good perception on the community empowerment program. It is expected that the options of universities and faculties offered in the program can be expanded.the Adaro Indonesia’s care is a blessing that she is grateful for. Results indicate that [SO1]: Overall. Suggestions for improvement are: To flow funds and carry out the programs more evenly in ring 1. To further study the impact of community empowerment program on the level of community wealth. Ag (50 th) – The parent of a grantee of the Adaro Indonesia’s scholarships) .. to develop their homelands. where the programs.In 2009. Community (Ms. Thank you Adaro! “ ” . as a single parent and teacher. Ms. or. Nordiah. She expects that Adaro Indonesia keeps its commitment to develop education and the quality of local youths through this scholarship program. A study on the community’s perception of the CSR programs of Adaro Indonesia in 10 villages around the mining sites 71 . Nordiah is very delighted because her son. To engage the community and village officers in the program planning. except for the area where its inhabitants only receive restricted funds and limited programs. especially in the economic developmental aspect. For Ms. or.

and Banjarmasin.8 2.How We Wrote This Report This is the second Sustainability Report of Adaro Indonesia but the first report that was written according to the GRI version 3. The participants Aspect Strategy and Analysis 1.3 2. Risks.0. Code of Ethics.19 7 6 7 8. HRGA. natural environmental and social performance.3 3.0 fulfilled in this Sustainability Report are: Pg.8 in the discussions were from the Departments of Environmental. in order to understand the principles and guidelines to verify the report content and to ensure the report quality.6 3. the participants used the latest guidance from the GRI. The report covers a period of one year.9 3.0 sustainability reporting standard.1 3. Hauling and Infrastructure. Principles or Other External Initiatives to Which the Company Subscribes or Endorsed Membership in Associations List of Stakeholder Groups Engaged by the Company Approaches to Stakeholder engagement 2 13. The summary of items and indicators of GRI version 3.16 Statement of the President Director Description of Key Impacts. In the discussions. The report includes the economic. Klanis.72 1 53 72. and also the availability of data from the reporting period.5 2. The facts written in this report consequently became the foundation for the management to continuously improve the reporting and the economic. Accounting. Safety. Geologi.3]. 69 7 5. where the Company Operates. Tutupan. and from the two projects located in Paringin and Kelanis [3.9 72 72 1 69.1 1.4 2. the reporting will be carried out annually [3. In the future.7 2. PNSP. Land Acquisition. Organizational Profile Report Parameters Profile of the Report Scope of the Report GRI List of Content Governance. natural environmental and social performance comprehensively for the coming periods.1]. Values. and also to guide the participants in disclosing performance. ERD. which was the GRI version 3. from January to December 2009 [3.12 4.5 3. and Principles Relevant to Sustainability and Status of Implementation Charters. that are Related with Sustainability Issues Nature of Ownership and Legal Form Market Served Scale of the Organization Awards Received Reporting Period Reporting Cycle Contact Point for Further Information Regarding the Report or Its Content Process for Defining Report Content Boundary of the Report Data Measurement Techniques and Bases of Calculations of Indicators Table Showing Reporting Content Mission.2 2.14 4.12 Kind of External Affairs Relevant to Sustainability 4. Products and/or Services Operational Structure of the Company Location of Organization’s Headquarter Locations.5].73 12 13 68 69 69 72 . Commitments and Engagements Corporate Governance Commitment to Any 4.10 3. especially in the area of the company’s operation and its surroundings in Dahai.2 2.6 2.1 2. Geotech. CSR. The contents of the report were decided through a series of cross-division and cross-management level discussions.6 10-11 7 4. PSSP.13 Stakeholder Engagement 4. The materiality and priority of the topics in this report were defined regarding the observation and experience of the management and staffs. who were involved in the reporting development. and Opportunities Name of the Company Primary Brands.4 3.

Locally-based Supplier Local Manpower Development and Impacts of Infrastructure Investments for Public Interests Indirect Economic Impacts Direct Energy Consumption Energy Saving Water Withdrawal Water Recycled and Reused Protected/High Biodiversity Value Areas Dampak signifikan terhadap Significant Impacts on Biodiversity Habitats Protected or Restored Strategy. Current Actions.42 17.Aspek Economic Indicators Economic Performance Market EC1 EC5 EC6 EC7 EC8 Direct Economic Value Range Ratios of Standard Entry Level Salary Compared to Local Minimum Wage.67 13. and Future Plans for Managing Impacts on Biodiversity Greenhouse Gas Emissions Other Significant Air Emissions Waste Water Discharged Solid and Liquid Waste Spills Transported Waste Under the Basel Convention Inititatives to Mitigate Environmental Impacts Pg.40.52 53 53 55 56 59 56 48 59 59 62 67 64.23. 16.64 65 65 66.26 64 18 18 20.43 49 50 54 54 51 51 52 51.19 Indirect Economic Value Environment Indicators Material Energy Water Biodiversity EC9 EN3 EN5 EN8 EN10 EN11 EN12 EN13 EN14 Emission. 41. Effluent and Waste Products and Services Transportation Overall Labor Practices and Decent Work Performance Indicators Employment EN16 EN20 EN21 EN22 EN23 EN24 EN26 Management and Industrial Relationship Occupational Health and Safety EN29 Environmental Impacts of Transportation EN30 Natural Environment Protection Expenditures and Investments LA1 Total Workforce LA2 Total Employee Turn Over LA3 Benefits to Employees LA4 Collective Work Agreement LA7 LA8 LA9 Occupational Accidents and Diseases Prevention of Serious Diseases Occupational Health and Safety Topics Covered in the Collective Work Agreement LA10 Employee Training LA11 Skills Development and Lifelong Learning LA12 Performance and Career Development Reviews SO1 Practices to Assess and Manage the Impacts of Operations on Communities Training and Education Society Performance Indicator Community 73 .65 64 47 46 46. 37.

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