To realize the 6th Sustainable Development Goals (SDGs), namely, ensure availability and sustainable management of water and sanitation for all, PT Chandra Asri Petrochemical Tbk (Chandra Asri) collaborates with the TNI to eradicate the practice of Open Defecation through Healthy-Environmentally Friendly Water Closet Program. Together with the TNI, the Company built water closets for 18 families, one mosque in the Sambironyok neighborhood, Kepuh sub-district, and two families in the Gunung Sugih sub-district.
These water closets were built using a bio-septic tank (Biotank), which is more environmentally friendly because the output water is odorless, non-toxic, and does not pollute the environment. This Biotank water closet is a collaboration between Chandra Asri and a customer, PT Profilia Indotech, where the water closet utilized Chandra Asri's material, PE UR3840V. In the future, Chandra Asri will continue its four pillars of CSR commitment: Education, Health, Economy, and Social-Environment.
In the Best Taxpayer Award 2022 agenda, Chandra Asri received appreciation from Large Tax Office (LTO) Two (or KPP Wajib Pajak Besar Dua) due to its contribution in implementing the highest compliance towards tax obligations. The awarding procession was carried out by Mokhamad Khifni, Head of the Large Tax Office (LTO) Two, Suryandi, Director of Human Resources & Corporate Affairs Chandra Asri and Junus Danuatmodjo, Tax Section Manager Chandra Asri. The event was held at Large Tax Office (LTO) Two in Jakarta.
The 2022 Best Taxpayer Award received by Chandra Asri is concrete proof of the Company's commitment to ESG (Environmental, Social and Governance), especially in the governance aspect, in which Chandra Asri actively complies with the provisions required by the Government. Chandra Asri, in this case, also takes the initiative to continuously contribute to Indonesia, not only through its products but also with its business compliance in supporting Indonesia's economic growth.
Chandra Asri is again working with the Happy Hearts Indonesia Foundation (HHI). This time, the Company is collaborating to build a building for Tunas Bangsa Early Childhood Education and Development (ECED), located on Jalan Sunan Bonang Link., Karang Jetak, Banjar Negara Village, Ciwandan District, Cilegon City. A symbolic inauguration to commemorate the operation of the new building was held on Thursday, March 2 2023, by Legal, External Affairs and Circular Economy Director Chandra Asri, Edi Rivai, Ciwandan Sub-District Head Mr Agus Ariyadi, and Mrs Vania Eriza as Head of PAUD and PNF City Education Office Cilegon.
Previously, Chandra Asri had built two ECED in the Cilegon City area and three in the Serang Regency area. In this regard, Chandra Asri is always committed to continuing efforts to improve the quality of education by restoring and rebuilding school buildings that are not viable, especially those located in the Company's Ring 1 and Ring 2 areas. The construction of EDEC Tunas Bangsa also applies the circular economy concept, whereas 63m2 of the school yard area and play area use paving blocks made from a mixture of chopped single-use plastic waste.
Chandra Asri has partnered with communities for four years through the Literacy Corner program to improve student literacy facilities. This program is part of the Company's Corporate Shared Value (CSV) Program, which is part of education pillar. Starting in 2019, the Literacy Corner aims to increase interest in reading for school-age children. A total of 3,562 books have been distributed to 39 schools and agencies around the Company during the 2019-2022 period; this number is equivalent to 8.7% of schools in Ciwandan District, 11.6% of schools in Anyer District, and 22% of schools in Pulo Ampel District. As a result of the implementation of this program, approximately 7,000 people have become beneficiaries.
Until now, the Company continues to strive to support surrounding schools by adding a collection of reading books following the National Library Standards (SNP) references and also the needs of schools. The Literacy Corner program also donated bookshelves made of wood pallet waste, collaborating with local wood craftsmen. This program is hoped to be beneficial for readers in meeting information needs and contributes to improving the local MSME economy.
The subsidiary of PT Krakatau Steel (Persero) Tbk, namely PT Krakatau Sarana Infrastruktur ("PT KSI"), has officially closed the transaction on the Conditional Shares and Purchase Agreement ("CSPA") or Conditional Share Sale and Purchase Agreement with PT Chandra Asri Petrochemical Tbk ("Chandra Asri ") through its affiliates on Monday, 27 February 2023. This procession was carried out by signing by Plt. President Director of PT KSI Anton Firdaus and President Director of Chandra Asri Erwin Ciputra witnessed by the President Director of PT Krakatau Steel (Persero) Tbk, Purwono Widodo.
After the CSPA points have been fulfilled, the share purchase process proceeds to the Share Purchase Deed signing. The signing was agreed on the transferring 70% of PT KSI's shares in PT Krakatau Daya Listrik ("PT KDL") and 49% of PT KSI's shares in PT Krakatau Tirta Industri ("PT KTI") to Chandra Asri. Therefore Chandra Asri is now officially the shareholder of two subsidiaries of PT KSI.
With this collaboration, the synergy between PT KSI and Chandra Asri is hoped to increase the water and energy supply capacity for industrial needs in Cilegon and the surrounding community. This corporate action is also carried out to optimize utilities as support for the operational, technical and financial processes, especially for the future development of Chandra Asri's second global-scaled petrochemical complex (CAP2).
Commemorate National Waste Awareness Day (HPSN), Chandra Asri collaborated with the Indonesian Plastic Recycling Association (ADUPI) and the Public Works and Spatial Planning Office (PUPR) of Garut Regency to hold a discussion on the Utilization of Low-Value Plastic Waste for Sustainable Infrastructure. The topic discussed aligns with the circular economy initiatives carried out by the Company and partners to address the waste problem, and is also in line with the 2023 National Waste Awareness Day theme, namely, "Complete Waste Management for Community Welfare". This circular economy concept is also one of the solutions to reduce plastic waste in landfills and, at the same time, an effort to increase the economic value of low-value plastic waste.
Attended by Secretary of Garut Regency PUPR Office, Asep Oo Kosasih, Deputy Chairperson of Adupi, Justin Wiganda, and Director of Legal, External Affairs, and Circular Economy Chandra Asri, Edi Rivai, this event discussed the processing of plastic waste which is classified as low-value plastic as a material plastic asphalt mix. The implementation of the plastic asphalt program, one of which is through collaboration with ADUPI as the supplier of raw materials for chopped plastic waste. Regarding its implementation, one region that has successfully used plastic asphalt roads is Garut Regency. Collaborating with Chandra Asri and the Bakti Barito Foundation, the Garut Regency Government is committed to implementing a 50 km plastic asphalt road from 2022 to 2023.
Beginning the year 2023, Chandra Asri marked a new milestone in protecting the environment by reducing emissions in the industrial transportation sector. On Tuesday (14/02), Chandra Asri officially started operating 2 (two) electric bus fleets from Mobil Anak Bangsa (MAB) through an inauguration ceremony, which was symbolically carried out by the Chairperson of the Indonesian Electric Vehicle Industry Association (Periklindo), General TNI (Retired) Dr. H. Moeldoko and President Director of Chandra Asri, Erwin Ciputra. This electric bus is a more efficient and environmentally friendly mobility option for employees' shuttle fleets.
Operating two electric bus fleets is calculated to cut diesel fuel consumption by up to 20,800 liters per year, equivalent to reducing emissions by up to 28.52 metric tons of carbon dioxide (CO2e) each year. The operation of electric buses also eliminates direct exhaust emissions, cuts the output of B3 waste in the form of used oil, and saves up to 621.5 Giga Joules of energy every year compared to diesel buses. In the future, Chandra Asri is also committed to gradually switching to electric vehicles to participate in the decarbonization process and the government's efforts to realize the target of reducing carbon emissions by 29 percent in 2030.
With Sinarmas Land (SML), Chandra Asri continues the Plastic to Food partnership. This time Chandra Asri is collaborating with SML's subsidiary, PT Maligi Permata Industrial Estate (operator of the KIIC industrial area), which is located in Dusun Kiarajaya, Margamulya Village, Karawang Regency. This activity aims to encourage the segregation of waste from sources and be wise in managing waste, especially plastic waste.
Through this program, every kilogram of segregated plastic waste collected by residents can be exchanged for one kilogram of rice. Through the participation of 217 families from Dusun Kiarajaya, this program collected 500 kg of plastic waste within six months. The collected high-value plastic waste is then sold to recyclers, while the low-value plastic waste is further processed into plastic-based fuels equivalent to kerosene, diesel, and gasoline at the Chandra Asri Waste Management Facility, Industri Pengelolaan Sampah Terpadu-Atasi Sampah, Kelola Mandiri (IPST ASARI).
Chandra Asri has received SNI 7593:2010 certification for the application of drinking water pipes for its resin, Asrene®SP4808 type High-Density Polyethylene (HDPE). With Asrene®SP4808 certification, Chandra Asri guarantees both the quality and feedstock supply in order to accelerate the development of drinking water supply systems. This is a form of support for the Government in realizing 30 percent access to drinking water in 2024 through the construction of drinking water supply infrastructure directly to homes via a pipeline system. The use of Asrene® SP4808 can also assist downstream industry partners in producing safe and standardized drinking water pipes in accordance with SNI 4829.1: 2015 requirements, the standard for HDPE pipes for drinking water pipe applications.
With its elastic characteristic, pipes from HDPE material can adapt to contours and land shifts, thereby minimizing the risk of leakage during an earthquake. Aside from that, Asrene®SP4808 is also an excellent material due to the best long-term strength in its class, with a PE 100 classification to produce pipes of high-quality standards. With this SNI certification, Chandra Asri also ensures that the health and safety aspects of the end user are protected because the resin has passed the heavy metal limit test.
On 12 January 2023, PT Chandra Asri Petrochemical Tbk held an Extraordinary General Meeting of Shareholders (EGMS) with a single agenda; Approval for Changes in the Composition of the Company's Management. The meeting which took place at Wisma Barito Pacific, Jakarta, was attended by the Board of Commissioners and Directors of Chandra Asri both in person and virtually. EGMS approved the appointment of Mr. Bandhit Thamprajamchit as Commissioner replacing Mr. Wirat Uanarumit and also the appointment of Mrs. Diana Arsiyanti as a member of the Board of Commissioners. Mr. Wirat Uanarumit and Mrs. Diana Arsiyanti officially served as members of the Company's Board of Commissioners as of the closing of the EGMS on that day until the closing of the Chandra Asri Annual General Meeting of Shareholders in 2024.