New Paradigm of CSR Implementation, Pertamina Plaju Refinery Focuses on Creating Economic & Social Value

Palembang, July 30, 2022 - Pertamina Group's business units in Palembang City consistently carry out Corporate Social Responsibility (CSR) programs in four pillars, namely Pertamina Cerdas, Pertamina Sehat, Pertamina Berdikari, and Pertamina Hijau.

It was conveyed by Area Manager Communication, Relations & CSR of PT Kilang Pertamina Internasional (PT KPI) Refinery Unit III Plaju (Pertamina Plaju Refinery), Siti Rachmi Indahsari, during the Gathering and Coordination Meeting of the Social & Environmental Responsibility Forum (TJSL), yesterday (26/07 /2022), at the Ogan Building, Komperta Plaju.

"What we have done may seem small. But rest assured, this is a form of our concern for Palembang, especially the ring-1 working area," said Rachmi, who is also the Coordinator for Economic Affairs of the Palembang City TJSL Forum.

The Head of Bappeda, who is also the Chair of the Palembang City TJSL Forum, Ir. H. Harrey Hadi, M.S., appreciates Pertamina Plaju Refinery's full support which acted as the event's host, as well as facilitated the gathering that is held every three months.

"Thanks to the Pertamina Plaju Refinery for facilitating today's forum. This meeting is nothing but to establish good relations between the City Government and the TJSL Forum," said Harrey.

The Head of the Environment and Hygiene Service (DLHK) and the Head of the Cooperatives and SMEs Service, the Head of the Manpower Service, the Head of the Trade Service, the Head of the Communications and Informatics Service, the Head of the Youth and Sports Service, other structural officials within the Palembang City Government, as well as managers, division heads, and CSR staff of BUMN, BUMD, and private companies operating in Palembang City also attended the forum.

The Pertamina Group business units operating in Palembang City are Pertamina Plaju Refinery, PT Pertamina Patra Niaga Sumbagsel Region, Pertamina Gas Operation South Sumatra Area, and PGN Palembang Area.

CSR Implementation: A New Paradigm

In the talk show session, Academics from Sriwijaya University (Unsri), Prof. Dr. Alfitri, as the Keynote Speaker, explained a new paradigm in CSR/TJSL implementation which should be adapted by today's companies.

According to this Dean of the Faculty of Social and Political Sciences (FISIP), CSR needs to be viewed as a concept in which companies integrate social and environmental concerns in their business operations, as well as in their interactions with stakeholders voluntarily.

"Currently, the Creating Shared Value (CSV) concept is a new paradigm that requires companies to create economic and social value together," he said.

He explained that the ideal CSR practice for today's society is no longer just a form of philanthropy, let alone just building infrastructure. "However, it must be planned carefully by looking at what the community needs, starting from social mapping, to mapping stakeholders (stakeholders)."

The man who has served for more than 30 years as a lecturer also added that the CSR implementation must support the Sustainable Development Goals (SDGs) achievement and must be evaluated periodically by measuring the Social Return on Investment (SROI) and Community Satisfaction Index (IKM).

The lecturer, who has published 13 Scopus accredited journals and 171 Sinta accreditations, exemplifies the practice and implementation of the Pertamina Plaju Refinery CSR, which actively collaborates with various elements within the Pentahelix communication framework, namely business actors, government, academics, community, and media.

He also advised all parties to maintain the Pertamina Plaju refinery's stability. "The Pertamina Plaju refinery's operational stability as a vital national object should not be disturbed," he said.

Giving a Hook, Not a Fish

Rachmi said that the Pertamina Plaju Refinery, in implementing CSR, focuses on empowering the community and making them independent. "Instead of giving fish, we give a hook," she said.

Various MSMEs fostered by the Pertamina Plaju Refinery, slowly but surely, are being pushed to upgrade. Likewise, the local hero actors around the company are given space to be creative by adapting CSV in their respective environments.

"We want to do our best by implementing CSR best practices in the community. It is indeed cannot be separated from various parties' collaboration and support, including in this case elements of the City Government," she conveyed.**