Jakarta (ANTARA News) – State oil and gas company PT Pertamina has allocated Rp150 billion to the Corporate Social Responsibility (CSR) scheme this year which will be carried out through Partnership and Environmental Development Program to empower small and medium enterprises (SMEs), an official has said.
Twenty percent of the fund was earmarked for public facility development and the rest for capital budgeting, Pertamina`s coporate secretary Herman Bastari said here over the weekend.
The Pertamina`s program is in compliance with Vice President Jusuf Kalla`s statement that all companies engaging in the natural resources sector are obliged to maintain their operational activities and give contribution to efforts to improve the life quality of local people living near their factories or operational areas through the CSR program.
When visiting Kuala Lumpur on Saturday, Kalla said the implementation of law on CSR would be done through a government regulation.
Meanwhile, Herman said CSR would make contribution to the improvement of local people`s life quality.
“Pertamina and local people should live together in perfect harmony. It`s impossible to let Pertamina enjoy progresses while local people live in pauperism,” he said.
Pertamina`s data showed it set aside Rp40 billion to empower over 1,850 SMEs through the capital budgeting scheme and Rp515 billion to help over 28,000 SMEs through the partnership program in 2005.
The Indonesian Chamber of Commerce and Industry (Kadin) and some businessmen associations said recently they rejected a provision of a draft law on a limited company which asked firms to earmark some net profit for the CSR implementation.
Kalla said CSR would guarantee the existence of a company in a local area so that it could make maximal production. (*)
Posted on 07/22/07 13:34