As a sustainability-oriented company, AKR strives to make an optimal contribution to environmental protection and preservation. This effort is made to address climate change and extreme weather that is happening on a global scale. AKR is committed to implementing best practices based on ESG initiatives and principles, and ensures AKR has the adequate policies in place and is monitoring the business-supporting aspects, including the environment, energy use, and impacts on climate change aspects.
As a company engaged in the trading and distribution of petroleum and basic chemicals, providing logistics services, as well as managing industrial estates and ports, the Company uses energy to carry out its integrated supply chain business activities. The Company carefully pays attention to its energy use to support the achievement of low energy one of the Goals in the SDGs. Therefore, the Company is committed to using energy efficiently, and has instigated several efforts to conserve energy in its business process.
The energy intensity shows a 9% decrease in energy use in 2021 from the baseline set in 2019. There was a slight increase of 1% in 2021 compared to 2020 due to the adaptation to new normal activities, and operational improvements. This reflects the increase in operational productivity, balanced by energy savings in the Company’s operational activities, in line with AKR’s management commitment to ESG.
The Company realizes that electricity and fuel that been used in our business process are non-renewable sources of fossil-based energy whose availability is increasingly limited. Therefore, AKR is committed to saving both energy sources in the Company buildings, and also all for transportation purposes outside the building. Energy saving in the building are carried out by reducing consumption of electricity sources, using energy-saving lamps, both in the parent company and subsidiaries, including AKR BP stations, installing solar sensors on JTT site and AKR gas stations. The Company also encourages energy-saving behavior in the parent company and subsidiaries
In addition, the Company is also developing the JIIPE green industrial estate which provides ports, environmentally friendly utility facilities, and cleaner and renewable energy. Electrical energy in the JIIPE Integrated Industrial Estate (SEZ JIIPE) is generated from the power plant produced by JIIPE by utilizing natural gas as the main energy, fuel oil and solar power as energy reserve.