Christian Kartwijaya secures the Best CEO in Construction Materials and ESG
JAKARTA. CEO of PT Indocement Tunggal Prakarsa Tbk (INTP), Christian Kartawijaya, has been awarded the Best CEO in Construction Materials And ESG, in a collaborative event held by Tempo.co and IDNFinancials last Friday (1/12) at Sofitel Hotel, Nusa Dua, Bali.
Said award is given as Kartawijaya is deemed having solid commitment towards the implementation of ESG (Environmental, Social, and Governance) at INTP. One of them includes transforming coal-based fuel to alternative energy, such as compost from waste, rice husks, and palm shells, which will reduce carbon emission. Alternative fuel utilisation has lowered fossil fuel utilisation by 20%, taking up more affordable cost, up to 30%-40% lower. INTP also utilises an alternative energy using shoe soles, and has been reported working together with PT Unilever Indonesia Tbk (UNVR) to reutilise rejected diapers.
INTP’s commitment in ESG implementation is one of its big three strategies: product and service diversification and differentiation. Two other major strategies include foot print design enhancement to improve proximity to users and thus lower the cost, as well as digitalisation and automatization.
Kartawijaya, in a special interview with IDNFinancials, said that the diversification is surely vital, but it is not just about diversification. It should relate to ESG issues. “Therefore, we introduce “srek” cement, or what we call duracem (durability cement),” he added. This “srek” cement mix could save up CO2 of up to 50%-60%, thus aligning with ESG implementation. Kartawijaya also said that this particular cement mix is marine abrasion resistant, as INTP has utilised this type of cement for construction at Patimban Port.
Still in line with its diversification initiative, INTP also introduced hydraulic cement in 2021. With the same amount of power, this cement saves up CO2 of up to 12%. In the future, Kartawijaya wishes for INTP to improve in its ESG implementation. “The process of ESG implementation is extremely lengthy. But it will become our main focus, as our vision is to provide Material to Build Our Future,” he explained.
Not only ESG implementation, in terms of its financial performance, INTP also rises to be a highly profitable material construction manufacturer. It has shown relatively stable performance within the past five years, despite the pandemic aftermath that affected most of other companies. In 2019, INTP’s revenue reached IDR 15.4 trillion, scoring net profit of IDR 1.84 trillion. It only slightly weakened in 2020, when the pandemic was at its worst, recording revenue of IDR 14.18 trillion and net profit of IDR 1.8 trillion. Furthermore, in 2022, it managed to score revenue of IDR 16.33 trillion, much higher than pre-pandemic numbers, resulting in net profit of IDR 1.8 trillion. The Financial Report of Q3 2023 showed that the revenue had reached IDR 12.93 trillion, while the net profit clocked up to IDR 1.27 trillion.
TOP CEO Indonesia 2023 is a prestigious award granted to CEOs of publicly listed companies as an appreciation of their achievement and success in leading their companies, both in financial and social impact aspects.
This appreciation is carried out following meticulous data collection and research, including data in the financial and sustainability report, as well as virtual and face-to-face meeting with nominated CEOs.
This award also includes a talk show titled Towards Indonesia Emas 2045, featuring 4 CEOs of renowned companies, as speakers. They are Irfan Setiaputra, CEO of PT Garuda Indonesia Tbk; David Hidayat, CEO of PT Industri Jamu dan Farmasi Sido Muncul Tbk; Christian Kartawijaya, CEO of PT Indocement Tunggal Prakarsa Tbk; and Nicolas D. Kanter, CEO of PT Aneka Tambang Tbk. (AM/ZH)