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PT SMI Apply ESS for Sustainable Business

PT Sarana Multi Infrastruktur (Persero)/PT SMI won a Gold rating in the 2021 Asia Sustainability Report Rating (ASRRAT) event organized by the National Center for Sustainability Reporting (NCSR). This annual Asian level sustainability report ranking event assesses the quality of participants' sustainability reports using the GRI (Global Reporting Initiatives) standards in order to support the Sustainable Development Goals (SDG's).

Not without reason, PT SMI won this rating. As a company that carries out a special mission from the Ministry of Finance of the Republic of Indonesia in supporting the financing of infrastructure development in Indonesia, PT SMI is indeed very serious in the context of SDGs and sustainable development.

Edwin Syahruzad, President Director of PT SMI, stated that his company fully supports the government's commitment to make an energy transition in order to support the achievement of the Nationally Determined Contribution targets by 2030 and Net Zero Emissions by 2060. To achieve these targets, PT SMI has supported 20 infrastructure projects in the sector. renewable energy (EBT) in Indonesia through sustainable financing initiatives.

One of them is the 10 MW Dieng Small Scale PLTP project managed by PT Geo Dipa Energi (Persero), which has succeeded in becoming the first small scale power plant in Indonesia. Another project is the SDG Indonesia One (SIO) platform with the Indonesian Ministry of Finance which integrates public and private funds (blended finance) to be channeled into sustainable development projects.

In support of its special mission, PT SMI applies Environmental and Social Safeguards (ESS) standards in every infrastructure project it prepares and/or finances. Edwin explained that his company established 10 ESS standards, namely: (1) Environmental & Social Impact Assessment and Management; (2) Employment and Work Environment; (3) Pollution Prevention and Reduction; (4) Safety, Health, and Security; (5) Land Acquisition and Involuntary Resettlement; (6) Biodiversity Conservation and Natural Resources Management; (7) Indigenous Peoples and Local Communities; (8) Cultural Heritage; (9) Saving and Using Environmentally Friendly Energy; and (10) Consultation and Grievance Redress Mechanism.

"To support it, we have a special division, namely the Division of Environmental Evaluation and Consulting Services (DELJK), which plays a role in assisting the implementation of environmentally sound development," he explained.

ESS, according to Edwin, is also manifested in the field of CSR, namely the Village Service for the Country (DBUN) program. "PT SMI maps out the needs of people in disadvantaged areas in terms of village infrastructure needs and community development which is in line with the concept of sustainable development," he said.

DBuN has been held in two volumes. DBuN I in Sukoharjo Village, Semarang, in 2017, and DBuN II in Wae Sano Village, Flores, NTT, in 2018.

Edwin claims his company has had a positive impact on the socio-economic aspects of the projects they work on. Citing data from PT SMI, as of October 2021, the positive impacts include: lighting to 2.79 million households, contribution of clean water to 2.54 million homes, natural gas network for 21 thousand households, roads and toll roads spanning 3,284, 4 km, the addition of 80 electric trains and the revitalization of 438 train cars, the project of 52 thousand telecommunication towers, 12,148 km of fiber optic network, services to 76 million telecommunications service users, the addition of 2,424 new health facilities, and irrigation for 185 thousand hectares of rice fields.

Of course, PT SMI still will not stop to make a positive impact in supporting the SDGs and sustainable development. For example, they are currently designing a strategic program for DBuN III which will be carried out in the Bajo Tribe settlement located in the Soropia District, Konawe Regency.


Source: swa.co.id

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