Evidence of Implementation of Excellent Governance, Semen Baturaja Wins ‘Very Good’ ACGS 2024 Predicate

BATURAJA – PT Semen Baturaja Tbk (SMBR) as a subsidiary of PT Semen Indonesia (Persero) Tbk (SIG) has again recorded positive achievements in the implementation of Good Corporate Governance (GCG), where since 2023 the Corporate Governance Assessment of SMBR has been based on ASEAN standards, namely the ASEAN Corporate Governance Scorecard (ACGS).

Based on the results of the 2024 ACGS assessment, SMBR scored 92.84 points with the predicate “Very Good” (Level 4). This achievement has increased significantly compared to 2023, where SMBR scored 88.51 points with the predicate “Good” (Level 3). The 2024 assessment has used the 2023 version of the assessment standard, while the previous assessment still referred to the 2017 version.

The results of this assessment show a significant increase compared to the previous year. The assessment was conducted by the Indonesian Institute for Corporate Directorship (IICD), which measures various aspects of corporate governance based on international standards. This achievement indicates that SMBR’s corporate governance implementation has complied with all international requirements in accordance with the ACGS standards.

Referring to the assessment results at ACGS 2023 as a comparison, the total score obtained by SMBR is above the average score for issuers or public companies (Tbk) included in the Big Cap category (100 companies with the largest market capitalization on the stock exchange) which is worth 82.94.

SMBR Vice President of Corporate Secretary Hari Liandu expressed his pride in this achievement. “Achieving the “Very Good” predicate is real evidence of SMBR’s commitment to implementing the principles of Good Corporate Governance, especially in the aspects of sustainability and Risk Management. Our score is also above the average of other issuers in the Big Cap category, which shows SMBR’s competitiveness and commitment to maintaining superior corporate governance standards. We will continue to improve Good Corporate Governance practices so that they are in line with international standards and provide added value to all stakeholders,” said Hari.

The current ACGS assessment covers a variety of material topics, including Environmental, Social, and Governance (ESG) aspects, climate change issues, and management of climate-related risks and opportunities. In addition, the assessment also considers stakeholder engagement, the effectiveness of ESG-related communication channels, the supervisory role of the Board of Directors and Board of Commissioners in sustainability, and the existence of a special management unit responsible for sustainability aspects at SMBR. The quality of the company’s sustainability report is also one of the aspects assessed in this assessment.

With this achievement, SMBR has further strengthened its position as a company committed to good corporate governance and responsible sustainability practices. Going forward, SMBR will continue to innovate and improve the implementation of Good Corporate Governance for all activities at SMBR to ensure sustainable business growth and provide long-term benefits for all stakeholders. (*)