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Commemorating 78th Mining and Energy Day, PTBA Focuses on Improving Community Welfare

September 27, 2023

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The coal mining business in Indonesia has a substantial positive impact on the economy, both regionally and nationally. PT Bukit Asam Tbk (PTBA) recognizes this and prioritizes its role in encouraging contributions to Indonesia's economic development and community welfare, particularly in the areas where PTBA operates. This is a manifestation of the PTBA's commitment to support the government's efforts to increase people's welfare.

"We have become a prominent player in the coal mining industry since becoming a public company 21 years ago, operating throughout the supply chain to create greater added value and make an important contribution to the country's economy and community welfare," said the President Director of PT Bukit Asam Tbk (PTBA), Arsal Ismail.

PTBA as a member of the MIND ID Group continues to strengthen its role in ensuring national energy security. This is demonstrated by an increase in PTBA's coal supply for domestic needs, particularly electricity. PTBA's coal Domestic Market Obligation (DMO) realization in 2022 reached 19.2 million tons. Previously, DMO from PTBA was 14.1 million tons in 2022 and 16.1 million tons in 2021.

Contributions to state revenues increased as well. In the fiscal year 2022, the total tax contribution and Non-Tax State Revenue (PNBP) from PTBA was Rp15.7 trillion. Previously, it was Rp5.8 trillion in 2020 and Rp5.7 trillion in 2021.

Not only focusing on economic contributions, PTBA is also committed to playing an active role in social and environmental aspects through various initiatives. PTBA has established 8 areas of community empowerment development (PPM), which include education, health, group development and coaching, economic independence, social culture, community participation in environmental management, infrastructure development to support independent and innovative PPM, as well as solar irrigation.

In the education sector, PTBA runs various programs such as BIDIKSIBA, Gernas Tastaka, Gernas Tastaba, and Ayo Sekolah. These programs have reached approximately 4,000 beneficiaries, primarily local communities around PTBA's operational areas, with the goal of providing them access to quality education that will support their future.

Meanwhile, in the health sector, PTBA has organized a free medical program in collaboration with Bukit Asam Medika Hospital to provide free health services around the company's Ring 1 area, including examinations by selected doctors and distribution of medication. This program has so far reached 5,569 beneficiaries through 92 free health programs.

PTBA has also run various programs to increase economic independence through business development for fostered partners, especially micro and small business actors around the company area. PTBA's fostered partners include the fisheries, trade, agriculture, plantation, financial and industrial sectors.

As of today, 1,620 micro and small businesses have received assistance and 478 training activities have been completed, including competency certification training, implementation of the Digital Market platform application (PaDi), entrepreneurship training, training, development and cultivation of plantation crops such as rubber, palm oil and coffee, financial management training and digital financial transactions recording, and human resource management.

PTBA has also implemented agricultural irrigation based on solar power plants, focusing on rain-fed agricultural land around the company's operational areas. PTBA provides environmentally friendly rice irrigation infrastructure and encourages the use of renewable energy, community empowerment, and environmental preservation. To date, 845 farmers have been benefited from this program, with a total rice field area of 493 hectares.

"PTBA has commitment to continue to actively contribute to local communities’ economic development and welfare, as well as encouraging national economic advancement and resilience," stated Arsal.