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Awarded 9 PROPER Golds, Sustainability Becomes the Heart of Pupuk Kaltim's Business

| Source: CNBC Translated from Indonesian | Business
Awarded 9 PROPER Golds, Sustainability Becomes the Heart of Pupuk Kaltim's Business
Image: CNBC

PT Pupuk Kalimantan Timur (PKT) has received the Gold award in the 2024 Programme for Assessing Company Performance in Environmental Management (PROPER) from the Ministry of Environment and Forestry (KLHK). This award serves as evidence of the company’s commitment to preserving and conserving the environment, reducing greenhouse gases, and empowering communities. It also embodies the company’s dedication and contributions to ensuring sustainable food availability, as well as providing positive impacts on the environment and surrounding communities in its operational areas. The Gold category award further proves Pupuk Kaltim’s long track record in implementing sustainable business principles. The company has achieved PROPER Gold for nine consecutive years. PT Pupuk Kalimantan Timur (PKT) is one of Asia’s largest producers of urea and NPK fertilisers, established on 7 December 1977. It began as a floating fertiliser plant facility managed by Pertamina, then, based on Presidential Decree No. 43 of 1975 and Presidential Decree No. 39 of 1976, its management was transferred to the Department of Industry. In 2012, PKT became a subsidiary of PT Pupuk Indonesia (Persero). Currently, PT Pupuk Kalimantan Timur can produce 3.416 million tonnes of urea fertiliser, 2.768 million tonnes of ammonia, and 288,000 tonnes of NPK fertiliser per year. Amid efforts to meet production demands, PT Pupuk Kalimantan continues to commit to reducing the adverse impacts of climate change. Sustainability and Social Innovation Efforts by PT Pupuk Kalimantan PT Pupuk Kalimantan demonstrates a strong commitment to sustainability through various biodiversity conservation programmes and integrated social innovations. One of its flagship programmes is the rehabilitation of coral reefs in the Tobok Batang Waters, Bontang, East Kalimantan. The implementation of this programme emphasises multi-stakeholder collaboration with various strategic institutions, such as Kutai National Park, Mulawarman University, Hasanuddin University, Bogor Agricultural Institute, Reef Check Indonesia Foundation, SEAMEO BIOTROP, and BIKAL Foundation. Support also comes from local government through the Bontang City Marine Affairs and Fisheries Office, the Guntung Community Development Institution (LPM), as well as local community leaders and religious figures. This approach reflects an inclusive and integrated management model in maintaining ecosystem sustainability. On the social side, Pupuk Kalimantan introduces innovation through the PKT BISA (Integrated Area Development Based on Agro-Energy System Integration) programme and TAMASYA (Child Care Park), which serve as the company’s contributions to community empowerment. Eco-Innovation and Low-Carbon Transformation at PT Pupuk Kaltim PT Pupuk Kaltim further strengthens its sustainability commitment through various integrated eco-innovation initiatives. One of its main approaches is the Road to Zero Waste concept, which encourages independent and sustainable waste management. This approach not only reduces reliance on final disposal sites but also creates economic and social benefits for surrounding communities. Commitment to emission reduction is also realised through the implementation of Carbon Economic Value (NEK), one of which is through the construction of a Solar Power Plant (PLTS). In addition, in operational aspects, the company continues to enhance efficiency and competitiveness through various initiatives, such as the revamping of Ammonia Plant-2, as well as downstream development and product diversification, including the construction of a soda ash plant.

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