Adaro Indonesia helps ensure the general economic health of South Kalimantan communities where it operates through targeted initiatives to encourage self-sufficiency.
One key to the sustainability of mine-area communities, especially after mine operations cease, is development of the local economy. Toward this end, Adaro has supported the development of high-quality rubber plantations, microfinance institutions and integrated agricultural programs. We have also assisted in capacity-building through training and educational programs.
Local MSME Development Program
Objective: to enhance welfare and living condition through entrepreneurship
AE’s presence has created a lot of jobs and economic opportunities for the communities surrounding the operational locations. The company aspires to help their economic enhancement and independence, starting from the time the company prepares the operations until the post-mining period, by providing mentoring for the local MSMEs.
Currently, AE provides mentoring for 65 MSMEs in the Tabalong district and 60 MSMEs in the Balangan district and to accommodate the sustainable development of these MSMEs as well as other local MSMEs, AE has established two marketing outlets: Pokta (Tabalong local specialty shop) and Link-B (Balangan business incubator).
Village Mentoring Program
Objective: to help the surrounding villages upgrade public facilities and economic welfare
AE donates annual funding for the development activities of 46 villages in the closest proximity to its mine. The fund is managed by the village committee, which also receives directions and supervision from AE, under the condition that 60% of the fund must be used for productive and creative economic activities, while the rest can be used for the public facilities.
In 2017, this program won a platinum trophy of the Sustainable Development Goals Award for the category of “zero hunger” for its establishment of a shop that sells farming tools and materials, which supports sustainable food supply for the villagers.