PT Berau Coal understands that wellbeing of communities surrounding the mine sites is one of important pillars to support the sustainability of the company’s operations. For this reason, the company is running its corporate social responsibility program or community development (comdev) in all mine sites that have been exploited, such as the ones in Lati, sambarata, and Binungan, or in 100% of its mining operational areas.

PT Berau Coal’s comdev programs in all those areas are based on a new paradigm, which considers mining as a development asset. the new paradigm provides understanding that as long as a mining activity is going on, the benefits of the mining operation should be used for developing communities. the new paradigm is later confirmed by the ‘Policy Statement for Social responsibility’, which says: “our business is to manage natural resources to become a source of energy with the operational standards that prioritize environmental sustainability and social welfare.”

Consistent with prior years, the community development Investment remains focused in the same areas of education, health and nutrition, environment and culture and socio-economic contribution. Due to the change in regulation regarding corporate social responsibility funds, the 2013 investment was planned based on a year’s plan rather than a five year plan that Pt Berau Coal previously performed voluntarily.

comdev-charateristic

The majority of PT Berau Coal’s community contribution has been delivered through the Yayasan Dharma Bhakti Berau Coal  Foundation (YDBBC) managed by  employees of PT Berau Coal. The Foundation receives small levels of contribution from other parties but approximately 98 % was contributed by PT Berau Coal in 2013 (98% in 2012).

PT Berau Coal has been undergoing discussions to consider measurement of inputs and outputs. In 2013, PT Berau Coal gathered   data for a socio-economic outcome based measurement model in order to track its contribution footprint to the local community in a holistic manner. The model used is illustrated as follows:

comdev-graphic