Better Living in Malahing
PT Pupuk Kaltim
INTRODUCTIONThe rapid development of Bontang City is closely related to the existence of Pupuk Kaltim, which began its operation in 1977. Pupuk Kaltim realised that one of its social responsibility is to actively participate in the development of Bontang City. One of the excellent programmes of Pupuk Kaltim CSR is a coastal community development programme in Malahing. This programme was chosen because Malahing has various potential marine resources. The people who live here are generally migrants from West Sulawesi, where their livelihood before living in Malahing has indeed relied on the potential of the sea. Since it began to be inhabited, Malahing residents have challenges in managing their territory due to the complexity of the problems.
They faced difficulties in getting clean water, electricity, and all other necessities such as education, food needs, and health facilities because all these needs must be accessed ashore while residents have limitations in ship transportation and there is still a lack of attention from various party. This limitation makes the local community previously unable achieve prosperity. Therefore, the empowerment programme carried out by Pupuk Kaltim in this village focuses on the improvement of life for isolated/marginalised coastal communities in various fields, namely; economy, education, health, environment and infrastructure.
FRAMEWORK AND STRATEGYAs a coastal village in the middle of the sea that emerged in 2001 and now has 50 families or around 217 populations, Malahing continues to grow in the phase of the existing potential to be developed. Pupuk Kaltim held several principles, including equality, participation, independence, and sustainibility. The coastal community empowerment programme project which is run in Malahing, is basically connected to the Company’s vision and mission, which is to be the largest fertiliser company in Indonesia to provide benefits to shareholders, employees, the community, and care for the environment. To realise its vision and mission, Pupuk Kaltim has formed a work unit specifically to handle CSR programmes. In carrying out its duties, CSR work units must coordinate with other work units related to empowerment programmes in the community.
ACHIEVEMENT AND IMPACTBy running its community empowerment project well, Pupuk Kaltim’s CSR believes that it will also influence the Company’s sustainability in the future. The results are as follows:
- The community was able to develop their skills and standard of living. However, more than that the existence of cooperation between communities has presented a good form of social togetherness through the establishment of a collective culture by institutionalizing organisational work that is planned, implemented and supervised jointly.
- There is a synergic and harmonious relationship between the company as the coach and the empowered Malahing community. This was created by the formation of three groups of seaweed farmers named Sipatuo 1, Sipatuo 2, Alam Jaya. The mothers there also did not want to miss by forming a joint business group processed with seaweed called Sukses Mandiri.
- In the period of 2018 there was an increase in income. The seaweed farming group, Sipatuo 1, reached Rp. 485 million / year, Sipatuo group 2 Rp. 561 million / year, and Alam Jaya group Rp. 557 million / year. The Mandiri Mandiri processed seaweed group reaches Rp. 45 million / year, and a group of stepped cages Sirannuang income of Rp. 15 million / year.
FUTURE DIRECTIONPupuk Kaltim believes that its CSR project will influence the Company’s sustainability in the future. With this understanding, CSR basically has a function or strategic role for the company, namely as part of risk management, especially in forming social security valves. In carrying out this project or programme, Pupuk Kaltim synergises with the Bontang City Government who together wish to realise the mission of Bontang City as a Maritime city through the development of an independent and sustainable coastal tourism sector.
Pupuk Kaltim is a subsidiary of PT Pupuk Indonesia. Pupuk Kaltim’s main business is to produce and sell Ammonia, Urea and NPK with domestic and foreign market segments. For the distribution area of domestic subsidy sector, the marketing area of Pupuk Kaltim covers two thirds of Indonesia, namely eastern Indonesia to Papua and most of East Java and Kalimantan.