PKT BISA Program Impact: Building Integrated Agriculture and Sustainable Community Empowerment
Pupuk Kaltim has the PKT BISA Program (Integrated Compost Agriculture for Innovative and Prosperous Babadan), a holistic initiative designed to empower the community of Babadan Village, Kepuhrejo Village, Magetan Regency, East Java. Since starting in 2021, this program has been developed through strategic collaboration with the Village Government, Agricultural Extension Center, Fisheries and Livestock Department, and Cooperative Department.
Through an integrated approach, PKT BISA has created an independent and sustainable agribusiness ecosystem, covering various aspects from upstream to downstream. The following are various activities that have been successfully implemented:
🌱 Agricultural Capacity Building
Training in compost making, peanut and rice demonstration plots, and socialization of balanced fertilization and use of innovative products such as Biodex and Agrosol.
🐄 Livestock & Fisheries Business Development
Training in ruminant breeding management, feed technology, catfish cultivation, and provision of supporting facilities such as chopper machines and tarpaulin ponds.
🏭 Product Diversification & Value Addition
Training in peanut processing, pellet feed production, and even batik training, complemented by branding assistance and cooperative licensing assistance.
🏗️ Infrastructure & Technology Support
Procurement of various processing machines (roasting, grinding, ovens, etc.), construction of Compost House and Feed House, and operational vehicles to support productivity.
📊 Social Return on Investment (SROI) Results
Every IDR 1 invested generates social and economic benefits worth IDR 4.80
The success of the PKT BISA Program is not only felt qualitatively, but also proven quantitatively through the Social Return on Investment (SROI) study. In 2024, this program achieved an SROI value of 4.80. This means that every IDR 1 invested in the PKT BISA Program has generated social and economic benefits worth IDR 4.80 for the community. This value continues to increase every year; from 0.65 (2021), 0.98 (2022), 4.68 (2023), to 4.80 (2024) proving the social feasibility of the program, its sustainability, and its success in meeting the needs and overcoming challenges of the community in Babadan Village.
The PKT BISA Program is a tangible manifestation of PKT's commitment to creating inclusive and widespread added value, in line with the company's vision to advance Indonesia's agricultural sector and build more prosperous communities.
Impact of Pupuk Kaltim Educational Care Scholarship Program
Every investment in education is a commitment to the future. For Pupuk Kaltim, this commitment is manifested tangibly through the Pupuk Kaltim Educational Care Program (PKTPP) Scholarship. PKTPP is a sustainable scholarship program from Pupuk Kaltim that aims to increase access to higher education for the community, especially around the Bontang area, East Kalimantan, to create superior and competitive human resources.
📚 SROI Study Results for PKTPP Scholarship Program
An independent study conducted in 2024 by the Social Development Studies Center (SODEC) FISIPOL UGM successfully measured the impact of this program with SROI methodology with good results. The results of the SODEC study show that the cumulative SROI value of the PKTPP Scholarship Program is 1.82. This means that every IDR 1 invested by Pupuk Kaltim in this scholarship program has generated social benefits worth IDR 1.82 for the community.
The program that started in 2008 reached its payback period in 2019, or after 11 years of running. This is a natural characteristic of education investment as a long-term investment. Real outcomes begin to be seen when scholarship recipients (awardees) graduate and enter the workforce. On average, PKTPP awardees get permanent jobs in just 7 months after graduation, proving that this scholarship not only opens access to education, but also equips them with the competencies needed by the job market.
Scholarship Program Impact
Improvement in Family Welfare
The majority of beneficiaries stated that this scholarship has significantly improved their family's standard of living and economy.
Increased Educational Awareness
The success of the awardees becomes an inspiration and motivation for the surrounding community, fostering belief in the importance of continuing education to higher levels.
Job Distribution of Scholarship Alumni (95.40% Have Permanent Jobs)
In total, the PKTPP Scholarship Program has generated social benefits worth IDR 72.8 billion, from a total investment of IDR 24 billion. This distribution proves that PKTPP awardees are not only beneficiaries, but also valuable assets who actively contribute to nation building across various sectors.
The PKTPP Scholarship Program is tangible proof of Pupuk Kaltim's commitment to carrying out its role as a caring and sustainable company. Through education, Pupuk Kaltim not only provides assistance, but empowers the younger generation to break the cycle of poverty, open opportunities, and ultimately create positive multiplier effects for society and the region. Pupuk Kaltim will continue to be committed to being part of the solution in building superior human resources for a more advanced Indonesia.
Impact of Stunting Control and Prevention Program (PEDALGAS)
Investment in human resource development starts from the earliest stage, one of which is through commitment to maternal and child health. In line with the national program based on Presidential Regulation Number 72 of 2021, Pupuk Kaltim presents the Stunting Control and Prevention Program (PEDALGAS) as a form of tangible and sustainable contribution to the community, especially in Lok Tuan Village, Bontang.
🏥 SROI Study Results for PEDALGAS Program
An in-depth study using the SROI method proves the effectiveness and impact of this program. SROI is a method that measures the social benefit value of a program in rupiah, providing an overview of the extent to which social investment returns benefits to society. The study results show that the PEDALGAS Program successfully achieved an SROI value of 1.71. This figure has a very positive meaning: every IDR 1 invested by Pupuk Kaltim into the PEDALGAS program has generated social benefits equivalent to IDR 1.71 for the community.
Holistic Approach of PEDALGAS Program
🎯 Specific Interventions
- Accurate health screening for pregnant women and toddlers
- Special treatment for 8 pregnant women with Chronic Energy Deficiency (CED) conditions
- Prevention of 7 potential cases of Low Birth Weight (LBW) babies
🌐 Sensitive Interventions
- Knowledge transfer to 727 posyandu members, strengthening the role of cadres
- Improvement of eating patterns and balanced nutrition for toddlers
- Education on parenting patterns and clean and healthy living patterns (PHBS)
Program Outcome Achievements
Improved Nutritional Status
Toddlers at risk of stunting experienced improved nutritional status
Wasting Prevention
Toddlers successfully avoided acute malnutrition conditions
Trained Cadres
Posyandu members who received knowledge transfer
The key to the success of this program lies in the strong synergy between Pupuk Kaltim and the Bontang City Government, demonstrating a shared commitment to building healthy and quality future generations. The PEDALGAS Program is not an incidental program, but a manifestation of Pupuk Kaltim's sustainable commitment to supporting the achievement of national development goals.
The SROI value of 1.71 is tangible proof that the company's social investment has provided real impacts that exceed its investment value. In the future, Pupuk Kaltim is committed to continue improving program effectiveness, focusing on parenting education, implementation of clean and healthy living patterns, and strengthening family food security. Through sustainable collaboration and innovation, Pupuk Kaltim is optimistic that it can contribute even more to creating a healthy, prosperous, and stunting-free Bontang community.
About CSR
PT Pupuk Kalimantan Timur (Pupuk Kaltim) remains consistent in implementing sustainable practices in the form of flagship programs in the fields of environment, energy efficiency, and development and empowerment of communities around the company. From 2017 to 2022, Pupuk Kaltim has received the National Gold Proper Award and other awards such as the Indonesia Sustainable Development Goals Award and Indonesia Green Award. With these awards, Pupuk Kaltim has demonstrated comprehensive and sustainable company management for all stakeholders.
The Corporate Social Responsibility activities carried out by Pupuk Kaltim are a tangible manifestation of the company's commitment to community development based on Law Number 40 of 2007 concerning Limited Liability Companies article 74 regarding Social and Environmental Responsibility. This commitment is packaged in the form of community development programs oriented towards improving the quality of life of communities and the environment. This has been done by Pupuk Kaltim in a sustainable and consistent manner, especially in affected areas. The CSR programs implemented aim to improve the standard of living of the community so that the company's presence can have a positive impact on the community.
Vision, Mission, and Values of Pupuk Kaltim CSR
In implementing CSR strategy, Pupuk Kaltim consistently and continuously adopts global standards in CSR implementation, namely the International Organization for Standardization (ISO) 26000:2010 and contributes to achieving sustainable development targets, namely the Sustainable Development Goals (SDGs).
As a form of open and ethical efforts and behavior, Pupuk Kaltim's CSR program refers to 6 (six) pillars to see the accountability and transparency of each program that has been carried out. The six pillars are:
1. Human Capital Development
Pupuk Kaltim is committed to creating reliable human resources, both internal and external, and empowering communities through community development.
2. Economic Strengthening
Pupuk Kaltim is committed to empowering local resource potential in order to build the economy of communities around the Company.
3. Development of Synergy and Partnership
Pupuk Kaltim is committed to synergizing Company, community, and Government resources to create harmonization.
4. Strengthening Corporate Governance
In running its business, the Company is committed to implementing Good Corporate Governance (GCG) principles.
5. Sustainable Environmental Management
The Company strives to preserve the environment.
6. Improving Public Communication
The Company strives to improve positive attitudes to build a positive image to the public.
VISION:
"To realize the harmony between Company and community towards improving sustainable welfare and independence."
MISSION:
- To realize sustainable environmental harmony.
- To empower resource potential towards improving quality of life and community independence.
- To improve the Company's positive image among Stakeholders.
- To build synergy between the Company and Stakeholders for the sustainability of Company operations.
Pupuk Kaltim's commitment to implementing sustainable CSR programs is manifested through the issuance of SKD No. 69/DIR/IX.2012 regarding Pupuk Kaltim's CSR Policy which contains:
- Pupuk Kaltim's CSR is integrated with Company Policy, both in planning, implementation, reporting, and CSR publication.
- Pupuk Kaltim's CSR prioritizes the strategic partnership approach of Academic, Business, Government, and Community (ABGC).
- Pupuk Kaltim's CSR prioritizes community empowerment supported by mentoring processes.
- Implementation and achievement indicators of Pupuk Kaltim's CSR refer to national and global regulations (ISO 26000).
CSR Policy
Pupuk Kaltim is committed to continuously providing positive and sustainable benefits for all stakeholders and continues to synergize with all stakeholders for the creation of maximum and appropriate development according to community needs. Thus, the presence of Pupuk Kaltim is expected to continue to bring benefits to the community, both directly and indirectly, especially local communities around the Company area.
The Corporate Social and Environmental Responsibility (CSR) activities carried out by Pupuk Kaltim are a tangible manifestation of the company's commitment to community development based on Law Number 40 of 2007 concerning Limited Liability Companies article 74 regarding Social and Environmental Responsibility. This commitment is packaged in the form of community development programs oriented towards improving the quality of life of communities and the environment. This has been done by Pupuk Kaltim in a sustainable and consistent manner, especially in affected areas. The CSR programs implemented aim to improve the standard of living of the community so that the company's presence can have a positive impact on the community.
In implementing CSR strategy, Pupuk Kaltim consistently and continuously adopts global standards in CSR implementation, namely the International Organization for Standardization (ISO) 26000:2010 and contributes to achieving sustainable development targets, namely the Sustainable Development Goals (SDGs).
In order to realize harmony between the community and the company as well as the company's concern for the development and independence of the surrounding community in a sustainable manner, the Corporate Social Responsibility (CSR) Policy is established as follows:
- CSR of PT Pupuk Kalimantan Timur is integrated with Company Policy, both in planning, implementation, evaluation, reporting, and publication to improve company reputation, efficiency, business growth, and implement business risk mitigation.
- CSR of PT Pupuk Kalimantan Timur prioritizes Community Empowerment in the fields of Economic, Social, and Environmental Conservation to establish relationships with Stakeholders (Community, Government, and Company) and realize community independence through mentoring processes in community development.
- PT Pupuk Kalimantan Timur provides competent human resources and appoints the CSR Department (Corporate Social Responsibility) as the manager of CSR funds provided by the company annually to realize the independence of surrounding communities, so as to create harmonization between the company and surrounding communities or other communities.
Pupuk Kaltim's commitment to implementing sustainable CSR programs is manifested through the issuance of SKD No. 69/DIR/X.2012 regarding Pupuk Kaltim's CSR Policy which contains:
- Implementation, reporting, and CSR publication.
- Pupuk Kaltim's CSR prioritizes the strategic partnership approach of Academic, Business, Government, and Community (ABGC).
- Pupuk Kaltim's CSR prioritizes community empowerment supported by mentoring processes.
- Implementation and achievement indicators of Pupuk Kaltim's CSR refer to national and global regulations (ISO 26000).
CSR Policy Documents
Social and Environmental Responsibility Policy
In order to realize harmony between the community and the company as well as the company's concern for the development and independence of the surrounding community in a sustainable manner, the Corporate Social Responsibility (CSR) Policy is established as follows:
Social Responsibility Policy Towards Workers
As a form of corporate social responsibility and environmental conservation, where community development is prioritized to improve the standard of education, health, economy, and maintain social culture in terms of worker protection in the Company.
Community Development Policy
In order to realize harmony between the community and the company as well as the company's concern for the development and independence of the surrounding community in a sustainable manner, the Community Development (Comdev) Policy is established as follows:
Environmental, Social, Governance, & Human Rights Policy
As a form of corporate responsibility and commitment in running sustainable business processes integrated with environmental, social and governance aspects in its business strategy, the Environmental, Social, Governance, & Human Rights Policy is established as follows:
Social and Environmental Responsibility Program
TANGGUNG JAWAB SOSIAL DAN LINGKUNGAN
Grant Program
The Grant Program is one of the activities within the Micro and Small Business Funding and Development Program. The grants typically provided by Pupuk Kaltim are in the form of production facilities. The purpose of providing production facility assistance is to support community independence through the optimization of production facilities and as an effort to support the realization of sustainable community development.
Working Capital Loan & Mentoring
Pupuk Kaltim's working capital loan and mentoring program is provided to small and micro business operators located around the company. The purpose of this program is to enable communities to create businesses so they can become more independent and financially resilient. The working capital loans provided by Pupuk Kaltim to small and micro business operators have only a flat interest rate of 3% per year.
Communities that have received working capital assistance from Pupuk Kaltim are subsequently referred to as mentored partners. As the name suggests, Pupuk Kaltim will provide mentoring to small and micro business operators so they can improve their capabilities and manage loan funds wisely. The mentoring conducted aims to encourage mentored partners to create job opportunities for surrounding communities, thus expanding the program beneficiaries who earn income from the business activities of mentored partners.
The mentoring conducted by Pupuk Kaltim includes providing education and training on production techniques, management, research, internships, and other aspects in order to improve the quality of products produced by mentored partners as well as to enhance entrepreneurship management.
Community Empowerment Program
PROGRAM PEMBERDAYAAN MASYARAKAT
PKT Education Care
The Pupuk Kaltim Education Care Program (PKTPP) is a manifestation of Pupuk Kaltim's attention in efforts to improve the quality of Human Resources (HR). Starting in 2007, Pupuk Kaltim has implemented this Program in the form of providing scholarships intended for high-achieving sons and daughters from economically disadvantaged families in the East Kalimantan region, particularly Bontang.
The background of this program is a manifestation of Pupuk Kaltim's attention in efforts to improve the quality of education for surrounding communities. This is based on the consideration that education is one of the foundations for improving community welfare.
Therefore, since 2007 until now, the company has conducted the Pupuk Kaltim Education Care scholarship program for communities in the East Kalimantan (Kaltim) region. The scholarships provided are for Elementary School (SD) and Junior High School (SMP) at Pupuk Kaltim Foundation Schools (YPK).
Objectives to be achieved in implementing PKTPP:
- Improve the quality of human resources of East Kalimantan's sons and daughters, especially Bontang, in the Education sector.
- Provide opportunities for high-achieving students who are less fortunate to continue their education in elementary school, junior high school, and university.
- Reduce the number of school dropouts in Bontang.
- Support Bontang city's vision as a Smart City.
- Create moral bonds between Pupuk Kaltim and communities in the company's operational areas.
- Manifest Pupuk Kaltim's mentoring approach to gain a positive image in the eyes of the community.
PKTPP ACTIVITY PROCESS FOR ELEMENTARY & JUNIOR HIGH SCHOOL
PKTPP ACTIVITY PROCESS FOR UNIVERSITY
📊 PKTPP Program Achievements
From 2007 to 2018, the funds disbursed by Pupuk Kaltim for PKTPP for Universities were through Environmental Development funds within the scope of education assistance. The total student beneficiaries of this Program were 141 people. By 2018, 108 people had been declared graduated and some had obtained employment. Meanwhile, PKTPP for Elementary and Junior High Schools started from 2016 to 2018 with a total of 50 beneficiaries from areas around the Buffer zone.
PKT Scholarship
Pupuk Kaltim continues to be committed to realizing social responsibility to its surrounding communities through various means, one of which is through the PKT Scholarship program. PKT Scholarship is a manifestation of Pupuk Kaltim's commitment to improving the quality of human resources of Bontang City's children. This program is also a form of support to realize Bontang City's Vision as a "Smart City".
The realization of PKT Scholarship is carried out through a work program called Pupuk Kaltim Education Care (PKTPP). PKTPP provides educational scholarship opportunities for students from Bontang City who are high-achieving but economically disadvantaged so they can continue to elementary, junior high, senior high school, and university levels. In addition to providing scholarships to Bontang City students, Pupuk Kaltim also provides research cost assistance for final-year students in collaboration with 15 leading universities in the country.
