ADHI Records Strengthened ESG Risk Management

PT Adhi Karya (Persero) Tbk (ADHI) has recorded an improvement in its environmental, social, and corporate governance (ESG) management performance based on the results of the 2025 ESG Shadow Rating. In the assessment, ADHI’s score fell to 32.33 from the previous year, indicating increasingly better ESG risk management. The score improvement comes amid growing attention from investors and market players towards sustainability aspects as an indicator of long-term business resilience. For construction companies, ESG aspects are a concern because the industry faces relatively high risks, ranging from occupational safety and the environmental impact of projects to supply chain management. The Shadow Rating assessment was conducted by the Cooperation and Management Development Agency (BKMP) of Universitas Airlangga using the Sustainalytics methodology. The evaluation covers corporate governance, stakeholder relations, material ESG issues for the construction sector, and various risk factors that could affect business sustainability. The assessment results show ADHI’s ESG risk profile is slightly better than the global Construction & Engineering sub-industry average, which is in the range of 32.8. ADHI Corporate Secretary Rozi Sparta said the company makes ESG an important instrument in risk management as well as maintaining business sustainability. ‘ADHI views ESG as an important foundation in maintaining business sustainability. Not only as fulfilment of governance standards and risk management instruments, but also an important part of driving business sustainability and improving the company’s operational quality,’ said Rozi. According to ADHI, the improved assessment is underpinned by strengthened corporate governance, the implementation of anti-corruption policies, and the enhancement of a more measurable sustainability reporting system. Going forward, the company stated it will focus ESG strengthening on a number of issues considered most material for the construction industry, such as improving occupational health and safety, strengthening diversity and inclusion practices, and integrating ESG aspects into corporate risk management. The strengthening of ESG aspects is increasingly a concern in the construction sector along with investor demands for transparency and non-financial risk management. In addition to its relation to corporate reputation, ESG performance is also considered to affect access to financing, project competitiveness, and long-term business sustainability.