Biodiversity Action Plan & Net-Positive Impact.pdf

BIODIVERSITY ACTION PLAN (BAP) UNTUK MENCAPAI NET-POSITIVE IMPACT (NPI) Disampaikan Oleh: Rizka Perdhani Policy, Standard & Risk Management System PT Pertamina (Persero) Disampaikan pada: Workshop & FGD Penyusunan Strategi & Road Map ESG di Lingkungan Subholding Upstream Bali, 23 November 2022 PERTA...

BIODIVERSITY ACTION PLAN (BAP) UNTUK MENCAPAI NET-POSITIVE IMPACT (NPI) Disampaikan Oleh: Rizka Perdhani Policy, Standard & Risk Management System PT Pertamina (Persero) Disampaikan pada: Workshop & FGD Penyusunan Strategi & Road Map ESG di Lingkungan Subholding Upstream Bali, 23 November 2022 PERTAMINA SUSTAINABILITY POLICY “PERTAMINA’s ambition is to be a leading and reputable Global Energy Company and to be recognized as: Environmentally Friendly Company Socially Responsible Company Good Governance Company” To achieve the above, PERTAMINA commits to Ensure national security of supply and promote access to energy throughout the nation; Reduce greenhouse gas emissions, non greenhouse gas emissions, releases, waste, effluent and address the wider climate change issues through managing regulatory, reputational, and/or market risk of climate change by integrating it in its strategy and operations; Protect and conserve the environment, water, other natural resources, and energy through an environmental management; Manage and mitigate the impact of our project activity on biodiversity with a commitment of having 'Net Positive Impact’; Rehabilitate land upon site closure to restore the ecosystem; Implement the highest standards of Health, Safety and Environment practices to safeguard the health, safety, and security of its employee, contractor worker, communities, and consumer, as well as preparing for and respond to emergencies and prevention to major accidents throughout its workplace; Become the social development locomotive to stimulate social and economic development in communities; Consult with stakeholders on environmental issues and with the local/surrounding community; Respect the rights of indigenous people/community where the company operates; Work with its partners and suppliers towards green and sustainable procurement of goods and services with an objective to ensure minimum impact on the environment; Promote the delivery of sustainable products and services to its customers; Promote continuous employee development program, equitable treatment, and diversity within its workplace; Reinforce the use of local workers and contractors to the extent compatible with operational constraints, particularly through training programs and support to Small-Micro Enterprises (SMEs) and key economic actors; Ensure compliance to all stipulated legal requirements and upholds good Corporate Governance throughout its activities; Enforce measures related to Anti corruption and fraudulent practices within the Company. HSSE POLICY Reduce number and severity of incidents, accidents, injuries and illnesses of Company and Partners; Prevent major accident and reduce their consequences by implementing process safety and asset integrity management; Prevent security event and reduce the occurrences & losses from any potential security threat in accordance with human rights principles; Use energy more efficiently and reduce GHG & non GHG emissions by energy conservation program, flaring reduction initiative and promoting renewable energy; Prevent environmental pollution with 4R (Reduce, Reuse, Recycle & Recovery) principles implementation by effluent discharge quality improvement, hazardous & non-hazardous waste handling, eco-friendly material promoting, natural resources utilization including water efficiency and oil spill prevention; Promote biodiversity conservation by integrating biodiversity aspect into Company activities to achieve net positive impact. Sustainability Focus & HSSE Strategic Plan Environmental FOCUS SDGS 1. Addressing climate change 7, 13 30% of emission reduction in 2030 (vs 2010 baseline) 2. Reducing environmental footprint 7, 13 Beyond compliance Water & Waste management 14,15 Net positive impact on biodiversity 3. Protecting biodiversity 4. Health and safety 5. Prevention of major accidents Social 3, 8 3, 12, 14,15 PRIMARY TARGET Zero accidents, Zero Fatalities 2. Controlling Operational Risks Zero loss of primary containment, No major accidents 3. Prevention of Major Accident 6. Employee recruiting, development & retention 5, 8 Aim for below 5% employee turnover, Zero harassment 7. Innovation and research 8, 9 Completion of low-carbon research and innovations 8. Community engagement and impact 1,4,7, 14,15 Improve community based access to energy in Indonesia 9. Cyber security 16 Zero cyber attacks 10. Corporate Ethics 16 Zero tolerance on Fraud and Corruption Governance 1. ESG Sustainability HSSE Strategic Plan SDG = Sustainable Development Goals 4 HSSE STRATEGIC PLAN 1 ESG SUSTAINABILITY Addessing climate change (emission reduction - nature based solution) Reducing environmental footprint/impact (managing water & waste) Managing biodiversity HSSE 2 STRATEGIC CONTROLLING OPERATIONAL RISKS Work safety (SUPREME, campaign, culture) Occupational health (fit to work, health risk assessment, response to pandemic) Security (Illegal unloading & tapping) PLAN 3 PREVENTION OF MAJOR ACCIDENT Strengthening the Safety Barrier (risk register, CSMS, CLSR & work permit) Investigation & follow-up recommendations Emergency preparedness (medical, fire, oil spill, security) CSMS : Contractor Safety Management System CLSR : Corporate Life Saving Rules PERTAMINA ACTIVITY OF “BIODIVERSITY” Developing Guidelines for Implementing Biodiversity Action Plan to Achieve Net Positive Impact. This guidelines adopted Mitigation Hierarchy in assessing biodiversity risk and impact management. Conducted Biodiversity Action Plan Study for Fuel Terminal Sukabumi, SH Commercial & Trading Conducted Net Positive Impact Study for Kilang NGRR Tuban, SH Refinery & Petrochemical www.pertamina.com MITIGATION HIERARCHY TO ACHIEVE NET POSITIVE IMPACT BIODIVERSITY & ECOSYSTEM SERVICES MANAGEMENT Biodiversity Baseline Biodiversity Impact Assessment Mitigation Action Plan Monitoring , Reporting & Verification Evaluation & Improvement Memiliki baseline keanekaragaman hayati dan jasa ekosistem di wilayah operasi, termasuk identifikasi habitat kritikal dan flora dan fauna langka mengacu IUCN atau Peraturan MENLHK. Melakukan evaluasi potensi dampak kegiatan/project terhadap keanekaragaman hayati dan jasa ekosistem. Menyusun rencana mitigasi terhadap potensi dampak kegiatan/project dengan mengimplementasikan Mitigation Hierarchy, yaitu Avoid, Minimize, Restoration, Offset Melakukan monitoring dan evaluasi terhadap pelaksanaan mitigasi dampak kegiatan/project. Melaksanakan Net Positive Impact (NPI) Study untuk mengetahui apakah target NPI telah tercapai. Menyampaikan laporan pelaksanaan mitigasi dampak kegiatan/project dan hasil NPI Study kepada Holding, instansi berwenang dan stakeholder lainnya (investor, lender, etc) Melakukan evaluasi dan perbaikan Dokumen BAP sesuai dengan hasil monitoring dan studi NPI yang telah dilaksanakan. *Biodiversity Action Plan (BAP) dapat berupa dokumen tersendiri, dapat juga diintegrasikan dengan Dokumen Lingkungan (AMDAL) atau Environment & Social Impact Assessment (ESIA) www.pertamina.com B A P Laporan BAP – SH C&T TBBM Sukabumi IDENTIFIKASI POTENSI DAMPAK PROYEK TERHADAP HABITAT & KEANEKARAGAMAN HAYATI MITIGATION HIERARCHY MONITORING & REVIEW Lokasi proyek tidak berada dalam Critical Habitat, kawasan yang bernilai konservasi tinggi, kawasan suaka alam dan kawasan pelestarian alam. Di Desa Sanggom dan Desa Ciwalen ditemukan Pohon Mahoni (Swietenia mahagoni) yang masuk kategori Rentan dalam Daftar Merah IUCN. Di Stone Garden Geopark (Desa Gunung Masigit) ditemukan Monyet Ekor Panjang (Macaca fascicularis) yang masuk kategori Terancam dalam Daftar Merah IUCN dan ditemukan Landak Jawa (Hystrix javanica) yang masuk kategori Dilindungi dalam Daftar Merah IUCN. Di Desa Sanggom ditemukan berang-berang (Aonyx cinereum) yang masuk dalam kategori Rentan dalam Daftar Merah IUCN. Mitigasi yang direkomendasikan mengacu pada Mitigation Hierarchy adalah Minimization (meminimalkan dampak), mengingat lokasi proyek sudah ditetapkan namun belum memasuki fase konstruksi dan operasi. Beberapa rekomendasi pada fase konstruksi dan operasi: a. Kegiatan pembukaan lahan dilakukan bertahap dengan metode blok demi blok untuk memungkinkan migrasi alami spesies fauna bergerak. b. Kegiatan pembukaan lahan dengan peralatan non mekanis untuk meminimalkan gangguan dan kematian spesies flora dan fauna. c. Penetapan Batasan kecepatan kendaraan proyek 30 km/jam untuk mengurangi risiko tabrakan dengan spesies fauna darat. d. Penyiraman jalan dan penggunaan truk bak tertutup untuk mencegah gangguan emisi debu dan asap pada f flora dan fauna. Monitoring dilakukan pada tahapan konstruksi dan operasi Target yang ditetapkan adalah adanya peningkatan indeks keanekaragaman hayati, dukungan masyarakat terhadap proyek dan kehandalan operasi (tidak ada kebocoran BBM) Laporan NPI – SH R&P Kilang NGRR Tuban Habitat type and quality Loss & Gain Calculation dilakukan dengan menggunakan Habitat Hectare, yang mengkombinasikan tipe (habitat dan spesies), kuantitas dan kualitas nilai keanekaragaman hayati habitat di lokasi terdampak dan di lokasi offset, dengan menggunakan metode skoring. Total gain Loss score Habitat quality Gain Y25 Y50 Y25 Y50 Y0 Y25 Y50 Habitat Hectare Modified (Cemara laut – like for like or better) 0.50 8 0 0 0.15 0.15 0.65 0.65 4 (gain) 5.2 (gain) 5.2 (gain) Restored (Green belt) 0 82.5 (10% x 825 ha) 0 0 0.50 0.55 0.50 0.55 0 41.3 (gain) 45.4 (gain) Natural habitat (Banyuwangi) 0.75 59.9 0 0.25 0.1 0.15 0.85 0.9 44.9 (gain) 50.9 (gain) 53.9 (gain) 48.9 (gain) 97.4 (gain) 104.5 (gain) 4 (gain) 46.5 (gain) 50.6 (gain) NPI with Banyuwangi offset NPI without Banyuwangi offset Steps for NPI Assessment Growth gain score Quantity (Ha) Remark Pertamina need to ensure its involvement in managing and monitoring the restored area Pertamina need to plan for its implement ation and monitoring Following like for like principles, e.g. Mahogany Provided that this habitat fulfils the offset criteria (see BBOP, 2009) below. Lokasi project tidak masuk dalam klasifikasi Critical Habitat sehingga mitigasi yang dilakukan mengacu pada Mitigation Hierarchy adalah Restoration melalui penetapan Green Belt (Ruang Terbuka Hijau) pada lokasi kilang dan penanaman Cemara Laut (telah terlaksana). Dengan adanya lahan pengganti di Banyuwangi maka Gain/NPI dapat ditingkatkan lebih tinggi lagi. Dashboard Monitoring Monitoring dilakukan terhadap: Tindak lanjut Biodiversity Action Plan (BAP) Monitoring Habitat dan Flora Fauna (baseline dan update tahunan) Pelaksanaan monitoring: Pelaksanaan monitoring dapat dilakukan bersamaan dengan monitoring RKL & RPL AMDAL atau UKL UPL Laporan monitoring BAP dibuat terpisah atau langsung dilakukan update di Dashboard Monitoring Komitmen Pertamina – Pedoman Acuan Pedoman Pengelolaan Lingkungan Hidup Berkelanjutan Pedoman Penyusunan BAP Untuk Mencapai NPI Table of Content BAB I UMUM A. Tujuan B. Ruang Lingkup BAB II KEBIJAKAN A. Kebijakan Umum B. Kebijakan Khusus BAB III TUGAS, KEWENANGAN DAN TANGGUNG JAWAB BAB IV KETENTUAN LAIN LAMPIRAN Lampiran 1 – Pengertian Lampiran 2 – Referensi Lampiran 3 – Kategorisasi Kawasan Dilindungi (IUCN) Lampiran 4 – Mitigation Hierarchy Lampiran 3 – Delapan Komponen NPI (IUCN) *Referenced from IPIECA Pedoman Penyusunan BAP Untuk Mencapai NPI TUJUAN 1. Untuk dapat dipergunakan sebagai panduan penerapan pengelolaan keanekaragaman hayati dan jasa ekosistem serta penerapan hierarki mitigasi di Pertamina Group, dengan mengacu pada Sustainability Focus Pertamina terkait ESG: Protecting Biodiversity, HSSE Policy dan Sustainability Policy dan bertujuan untuk mencapai Net Positive Impact. 2. Sebagai dasar untuk penyusunan dan perencanaan Biodiversity Action Plan (BAP) serta penerapannya secara sistematis pada proyek dan kegiatan operasional di Pertamina Group untuk mencapai No Net Loss dan Net Positive Impact. 3. Sebagai panduan dalam penerapan hierarki mitigasi untuk pengelolaan keanekaragaman hayati dan jasa ekosistem secara efektif dalam mengelola potensi dampak kegiatan Pertamina Group pada skala bentang alam darat dan laut. RUA NG LINGKUP 1. Penyusunan upaya-upaya pengelolaan keanekaragaman hayati dan jasa ekosistem melalui tahapan persiapan; pelaksanaan; pemantauan, pelaporan, verifikasi; serta evaluasi dan perbaikan program keanekaragaman hayati di Pertamina Group. 2. Implementasi dokumen ini dilakukan secara bertahap pada area-area pilot untuk kemudian diperluas ke tingkat Sub Holding dan seterusnya. Proses perluasan mengacu pada prioritas tertentu yang disepakati kemudian berdasarkan ukuran keanekaragaman hayati, ukuran manajemen dan ukuran lain yang relevan. 3. Pedoman ini berlaku di seluruh lingkungan Pertamina Holding dan Sub Holding, Unit Operasi dan Anak Perusahaan sebagai acuan dan kerangka dalam melaksanakan pengelolaan keanekaragaman hayati dan jasa ekosistem. Pedoman Penyusunan BAP Untuk Mencapai NPI KEBIJAKAN UMUM Pertamina berkomitmen pada elemen-elemen keanekaragaman hayati yang terintegrasi dalam Pertamina Sustainability Focus. Poin utama yang memberikan arahan fundamental mengenai komitmen pada keanekaragaman hayati pada ESG performance yaitu: Protecting Biodiversity. Pertamina berkomitmen untuk turut menjaga dan melestarikan keanekaragaman hayati, dengan memastikan proses bisnis yang berjalan lebih ramah melalui serangkaian proses hierarki mitigasi. Komitmen ini mengacu pada klasifikasi kawasan keragaman hayati oleh IUCN mengenai Kawasan Konservasi/Kawasan Dilindungi dan Key Biodiveristy Area (KBA). Peta sebaran Key Biodiversity Areas di Indonesia KBA dengan kategori Conservation Area berwarna hijau dan biru pekat KEBIJAKAN KHUSUS - Framework Penyusunan BAP untuk Mencapai NPI TAHAPAN PENYUSUNAN BAP UNTUK MENCAPAI NPI 1. Identifikasi baseline dan dampak keanekaragaman hayati Memetakan hasil Identifikasi dampak keanekaragaman hayati sebagai justifikasi inisiatif konservasi keanekaragaman hayati yang dilakukan melalui survei dasar dan penilaian dampak. Pada tahap ini diperlukan adanya konsultasi dan keterlibatan stakeholder. 2. Penetapan target P L A N Target konservasi keanekaragaman hayati diilustrasikan dalam target No Net Loss (NNL) untuk mencapai Net-Positive Impact (NPI). Penetapan ambisi NPI dapat menggunakan salah satu parameter berikut: a. Luasan wilayah konservasi: Dalam penyusunan rencana strategi BAP suatu proyek atau kegiatan, target NPI dapat tercapai apabila luasan wilayah konservasi melebihi luasan wilayah proyek atau kegiatan operasional. b. Indeks keanekaragaman hayati: Semakin tinggi indeks keragaman spesiesnya, hal ini berarti semakin beragam spesies yang ada di suatu habitat serta semakin stabil suatu ekosistem. c. Jumlah individu: Penambahan jumlah individu salah satu spesies atau lebih yang dihitung setelah implementasi upaya konservasi sesuai BAP, menjadi tolak ukur keberhasilan tercapainya NPI. 3. Penyusunan Biodiversity Action Plan (BAP) Dalam dokumen ini harus tergambar secara spesifik tahapan-tahapan yang konsisten dengan upaya keanekaragaman hayati (Hierarki Mitigasi dan NPI). Langkah-langkah kunci dapat dilakukan dengan: a. Pengetapan prioritas untuk konservasi b. Identifikasi tindakan konservasi dengan pendekatan Mitigation Hierarchy MITIGATION HIERARCHY Proses penting dalam mitigation hierarchy: Hirarki mitigasi dapat dilihat sebagai seperangkat komponen yang diterapkan untuk mengurangi potensi dampak negatif dari kegiatan proyek terhadap lingkungan yang biasanya melibatkan proses iterasi (bolakbalik) pada setiap langkahnya. Secara umum Hirearki Mitigasi terbagi menjadi dua tahapan penting yaitu: - Tahap preventif (pencegahan):Avoidance dan Minimization. - Tahap remediasi (pemulihan): Restoration dan Offsets. TAHAPAN PENYUSUNAN BAP UNTUK MENCAPAI NPI D O 4. Pelaksanaan implementasi Biodiversity Action Plan (BAP) Mengembangkan dan menerapkan implementasi BAP sesuai dengan langkah-langkah yang diperlukan untuk memenuhi target yang ditetapkan dalam rencana penyusunan BAP. C H E C K 5. Pemantauan, Pelaporan, Verifikasi Melakukan monitoring tahapan pelaksaaan BAP, melaporkan secara terbuka hasil implementasi BAP melalui system database biodiversity secara rutin berdasarkan, dan memverifikasi (assurance) terhadap seluruh tahapan dan aspek dalam BAP berdasarkan hasil monitoring dan benchmarking dengan rencana penyusunan BAP. A C T I O N 6. Evaluasi dan Perbaikan Melakukan evaluasi dan improvement terhadap keselarasan hasil implementasi pengelolaan keanekaragaman hayati yang tertuang di dalam BAP. NET POSITIVE IMPACT (NPI) Parameter pencapaian Net Positive Impact (NPI) dapat menggunakan salah satu parameter di bawah ini: 1. Habitat Hectare Merupakan perhitungan kombinasi Luasan Wilayah Konservasi dan Kualitas Habitat dengan metode skoring Gain (Habitat Hectare) = Habitat Quantity * (Habitat Quality Gain + Growth Gain) Habitat Quantity = luas habitat project (Ha) Habitat Quality Gain = (Adapted from IFC-PS 6, BBOB 2012) Growth Gain = asumsi peningkatan habitat dalam hal tutupan dan kualitas, dapat menggunakan referensi studi-studi yang relevan Example: Habitat type Natural Modified Restored cleared habitat** Quality Y0 0.75 0.50 0 Gain quality* Y25 Y50 0.10 0.15 0.50 0.15 0.15 0.55 2. Jumlah Individu Penambahan jumlah individu salah satu spesies atau lebih yang dihitung setelah implementasi upaya konservasi sesuai BAP. 3. Indeks Keanekaragaman Hayati (example: Shannon-Wiener) Initiatives 3. Biodiversity Action Project Owner SVP HSSE Project description/ 1. Executing and monitoring existing BAP 2. Conducting 5 BAP for new/existing project in SH scope Project Leader PDO Cross-function involvement Project benefit/ deliverables VP HSSE Policy, Standard and Risk Mgmt.System (Lead) VP CSR & SMEPP Management (Co Lead) 1. Sr. Analyst I Environment Policy & Risk Mgmt (Lead) 2. HSSE Performance & Campaign Manager (Co Lead) 2. CSR Manager (Co Lead) 1. HSSE PPEM – Performance & Campaign: monitoring implementation of existing BAP 2. SPPU: integrating BAP into new project/investment 3. All SH & subsidiaries: conducting BAP for new/existing project in SH Project benefits: Preventing biodiversity impact, positive brand image Deliverables: 1. Biodiversity Action Plan (BAP) Document across SH 2. New project & investment is taking Biodiversity protection into account Start Date Oct 2022 End Date Dec 2023 Ongoing vs New Initiatives New & On Going Target KPI QI 2023 1. Identify potential project in SH to conduct BAP study (5 BAP) QII 2023 1. Monitoring BAP study on selected project in SH 2. Monitoring implementation of existing BAP QIII 2023 1. Monitoring BAP study on selected project in SH 2. Monitoring implementation of existing BAP QIV 2023 1. Monitoring BAP study on selected project in SH 2. Monitoring implementation of existing BAP Key Milestones Due Date Potential Project in SH to conduct BAP study is identified Des 2022 Existing BAP implementation report (Semester I 2023) Jul 2023 Existing BAP implementation report (Semester II 2023) Dec 2023 BAP Study Report in SH (total 5) Dec 2023 Budget Resources and enablers required Degree of capital/cost: Moderate Degree of manpower: High – Management & Employee Awareness and participations Technical requirements: High 3rd party requirement: Study related Biodiversity & Ecosystem Services Management expertise Risk Mitigation Across entity alignment Coordinate with SPPU and SH in order to integrate BAP into new project & investment Lack of resources (cost & personnel) Coordinate with SH to conducting BAP for their new and existing project Project Leader Project Owner 20 Data Struktur Tim Initiatives 3. Biodiversity Action No Posisi Nama Lengkap Jabatan 1 Project Owner Deddy Syam SVP Health Safety Security Environment 2 Project Leader (Lead) Suripno VP HSSE Policy, Standard and Risk Mgmt.System Project Leader (Co Lead) Fajriyah Usman VP CSR & SMEPP Management PDO (Lead) Teuku Reiza Yuanda Sr. Analyst I Environment Policy & Risk Mgmt PDO (Co Lead) Putu Surya Wibisana HSSE Performance & Campaign Manager PDO (Co Lead) Dian Hapsari CSR Manager Holding Implementation of Existing BAP 1. 2. 3. 4. 5. 6. Machfud Pretty Mayang A. Ivonne Deassy Iman Kurniawan Siwi Harjanti Rahman Darmawan 1. 2. 3. 4. 5. 6. Environment Manager SH Upstream Environment Manager SH R&P Environment Manager SH C&T Environment SH PNRE Officer I CSR Holding Sr. Analyst I Performance & Data Monitoring Develop new BAP study 1. 2. 3. 4. 5. 6. 7. Machfud Pretty Mayang A. Ivonne Deassy Iman Kurniawan Rizka Perdhani Jimmy Permadi Ikhsan Salman 1. 2. 3. 4. 5. 6. 7. Environment Manager SH Upstream Environment Manager SH R&P Environment Manager SH C&T Environment SH PNRE Sr. Expert I Environment Policy & Risk Mgmt Principal Expert I Center of Excellence VP Asset Management PF 3 4 No HP /Email Team Member 21 Additional: ENVIRONMENT PROGRAMS 2023 www.pertamina.com ENVIRONMENT FOCUS 2023 Addressing Climate Change Emission Reduction 2023 Target Setting & Monitoring Emission Reduction align with NZE Roadmap Develop digital platform for decarbonization initiatives monitoring (adopt from SRN-KLHK) Methane Reduction Initiatives Pilot study in unit operation for detecting and measuring methane Road map and target setting for Methane Reduction, inline with NZE Road Map Nature Based Solution MRV Guidelines and method selection for Nature Based Solution www.pertamina.com Carbon Accounting Implementation GHG emission verification & validation by external auditor Revisit GHG emission calculation (2020, 2021, 2022) for organizations & new emission source refer to Carbon Accounting Guidelines Physical Climate Risk Study on Natural Disasters Potential as Impact of Climate Change (earthquake, landslide, flood, tsunami) Table Top and full scale exercise Emergency Preparedness Protecting Biodiversity Biodiversity Action Plan (BAP) Development SH develop BAP for new and existing project Monitor the implementation of existing BAP in SH Biodiversity conservation initiatives to achieve net positive impact Net Positive Impact (NPI) Study For SH that already has BAP for its projects and has implement BAP’s recommendation should continue with NPI study Biodiversity Dashboard Monitoring Flora and fauna identification (incl. IUCN Criteria), conservation programs & areas data input BAP document and implementation records ENVIRONMENT FOCUS 2023 Reducing Environmental Footprint Water Conservation Implementation full cycle of water use management and record the results Pertamina Water Tools Implementation Water Risk Assessment with Pertamina Water Tools by all operation unit (risk mapping) Water Risk study by operation unit that operate in Water Stressed Area Initiatives to achieve Net Positive Water Impact Effluent All SH implement full cycle of Effluent Management All SH implement initiatives to reduce & reuse effluent, and record the result Limit the average Hydrocarbon release to the environment Waste (Hazardous & Non Hazardous) All SH implement full cycle of Waste Management & Circular Economy All SH implement hazardous waste management, including by third party, and record the result according to the permit (landfill, reuse for fuel substitution, processed with incenerator, etc) All SH implement initiatives to reduce, reuse, recycle & recovery (4R) waste (hazardous & non hazardous) and record the result 24 www.pertamina.com PERTAMINA PROGRAM OF “METHANE (CH4) EMISSION” Pertamina has identified methane emission source and calculate methane emission from its own operation. Pertamina will enhance Methane Emission calculation and reduction through Methane Reduction Initiatives. BEST PRACTICES METHANE (CH4) EMISSIONS REDUCTION METHANE (CH4) MONITORING DATA IN PERTAMINA CH4 EMISSION REF GRI 305-1 dan IPIECA CCE-4 (update 5 Apr 2022) 37.403 SUBHOLDING UPSTREAM 25.537 14.876 (ton) 2019 (ton) 2020 (ton) 2021 ALL PERTAMINA 105.967,82 68.319,93 (ton) 2019 www.pertamina.com 67.299,00 (ton) 2020 (ton) 2021 25 THE RISING OF CLIMATE RISK AWARENESS & CONCERNS Changes in climate: Global & local sea level rise Changes in precipitation & extreme weather Changes in temperature Regional changes in ice/snow/permafrost Source: Bloomberg, NOAA, Climate Reality Project Investors has concerns and needs disclosure from companies on Climate Risk related Potential loss on asset and financial of companies that exposed to Climate Risk CLIMATE RELATED RISKS TRANSITION RISKS ▪ Policy & Legal Framework: Policy actions around climate change continue to evolve in some countries, generally fall into two categories: 1) Attempt to constrain actions that contribute to the adverse effects of climate change 2) Seek to promote adaptation to climate change. ▪ Technology Technological improvements or innovations that support the transition to a lower-carbon, energy-efficient economic system can have a significant impact on organizations, it’s either will benefit the organizations or will cause loss if it’s failed. ▪ Market Shifting in supply and demand for certain commodities, products, and services as climate-related risks and opportunities are increasingly taken into account. ▪ Reputation Changing customer, community or public perceptions of an organization’s contribution to or detraction from the transition to a lower-carbon economy Source: TCFD Report, 2017 PHYSICAL RISKS ▪ Acute Event-driven including increased severity of extreme weather events, such as cyclones, hurricanes, or floods ▪ Chronic Longer-term shifts in climate patterns (e.g., sustained higher temperatures) that may cause sea level rise or chronic heat waves Initiatives 16b. Physical Climate Risk Project Owner 1. Lead: SVP Health Safety Security & Environment 2. Co lead: SVP Enterprise Risk Management 1. Raising Awareness on Physical Climate Risk 2. Conducting study on potential natural disaster as impact of Climate Project description/ Change that will affect Pertamina’s operation scope 3. Integrating mitigation into business planning and Emergency Response Procedure Project Leader PDO Cross-function involvement Project benefit/ deliverables Start Date Oct 2022 End Date Dec 2023 1. HSSE PPEM – Crisis & Business Continuity : a) Enhancement dissemination the changes and test the emergency response plan b) Maturity Assessment ESO (Emergency Response Organization) 2. ERM Holding : integrate into business risk 3. All SH & subsidiaries: identification physical climate risk (acute & chronic) related, implement mitigation Project benefits: Physical Climate Risk & mitigation action is integrated into business plan & activities Deliverables: 1. Study of potential natural disaster as impact of climate change 2. Dissemination and test (Table Top and Full Scale) Emergency Response and Crisis Management 3. Maturity ERO mapping across organizational Resources and enablers required Degree of capital/cost: Moderate Degree of manpower: High – Management & Employee Awareness and participations Technical requirements: High 3rd party requirement: Coordinate with BMKG, BNPB, Consultant for study New & On Going Target KPI QII 2023 Study on potential Natural Disaster as Impact of Climate Change QIII 2023 1. Workshop with BMKG, BNPB or related institution in natural disaster management 2. Coordinate with ERM Holding to Integrate with Business Risk QIV 2023 1. Maturity ERCM & Business Continuity result 2. Table Top and full scale exercise Emergency Preparedness for 1 example of natural disasters. VP HSSE Policy, Standard and Risk Mgmt.System 1. Principal Expert I Center of Excellence 2. Sr. Expert I Environment Policy & Risk Management Ongoing vs New Initiatives Key Milestones Due Date Consultant and Contract for Study is in place Mar 2023 Report Study on potential Natural Disaster as Impact of Climate Change Jun 2023 Workshop with BMKG, BNPB or related institution in natural disaster management Aug 2023 Emergency Response & Business Continuity alignment and Maturity ERO across organization of Pertamina Okt 2023 Table Top and full scale Emergency response Nov 2023 Budget Risk Mitigation Across entity alignment Coordinate with ERM Holding to integrate physical climate risk into business risk and business activities across SH & subsidiaries Lack of resources to implement physical climate risk mitigation Coordinate with SPPU Holding to integrate physical climate risk into new project including cost for mitigation Project Leader Project Owner 28 Data Struktur Tim Initiatives 16b. Physical Climate Risk No 1 Posisi Nama Lengkap Project Owner (Lead) Deddy Syam (Co Lead) Sjahril Rachmad Atas Jabatan SVP Health Safety Security Environment SVP Enterprise Risk Management 2 Project Leader Suripno VP HSSE Policy, Standard and Risk Mgmt.System 3 PDO Jimmy Permadi Principal Expert I Center of Excellence Rizka Perdhani Sr. Expert I Environment Policy & Risk Mgmt 1. Teuku Reiza Yuanda 2. Rahman Darmawan 3. Ulung Putra Sakti 1. Sr. Analyst I Environment Policy & Risk Mgmt 2. Sr. Analyst I Performance & Data Monitoring 3. Sr. Analyst I Crisis & Business Continuity 1. 2. 3. 4. 5. 6. M. Zaerul Muhtaram Mickle Taroreh Gunawan Eko Waluyo Ulung Putra Sakti Macky Arief Budiman 1. 2. 3. 4. 5. 6. Sr. Expert I Safety Policy & Risk Mgmt Sr. Analyst III Safety Policy & Risk Mgmt Sr. Analyst III Crisis & Business Continuity Sr. Analyst I Crisis & Business Continuity Corp Head Strategic RM Sr. Analyst III Strategic RM Fauzan Rahman Usep Sutisna Irwan E. Hutagalung Bram Widuro Adjie Dicky Nurlieyanto 1. 2. 3. 4. 5. Manager Safety & Environment Head Office Sr. Officer II Safety & Environment Head Office Sr. Officer I Safety & Environment Head Office Sr. Analyst II Crisis & Business Continuity Sr. Analyst I Reporting & Campaign 4 No HP /Email Team Member Study & Workshop on Potential Natural Disaster as impact of Climate Change Enhancement Emergency Response Procedures & Integrating into Business Risk 1. 2. Table Top & Full Scale 3. Emergency Response 4. 5. 29 Thank You Health, Safety, Security & Environment - 2022 30