The Adaro Land segment is led by PT Adaro Persada Mandiri (APM) and supports the Adaro Group’s vertically integrated supply chain with four services:

• Assets and land management: land acquisition and certification, land document filing, land information system, project management for building and bridge construction and renovation, and management of operational supporting facilities.
• Agribusiness and biomass product: cattle farming, organic fertilizer production, nursery, wood chip biomass, and oil palm plantation.
• Forestry projects: revegetation or tree planting and maintenance at reclamation areas, and watershed rehabilitation.
• Forestry asset management: management of forestry assets for ecosystem restoration and carbon abatement and trading.

In 2023, from the Adaro Land segment, PT Alam Sukses Lestari and PT Hutan Amanah Lestari were preparing to enter the carbon trading business, and PT Agri Multi Lestari started to prepare the supply of woodchip biomass as a cofiring material of the coal fired power plant of PT Makmur Sejahtera Wisesa (MSW). These two initiatives are the efforts to support the Adaro Group’s NZE commitment.

PT Adaro Persada Mandiri (APM)

In addition to being the holding company for AEI’s subsidiaries operating in the land segment, APM operates to provide services of land management, infrastructure development, and land asset leasing and operations. Land management services also include land document storage and management in addition land information system services for the Adaro Group companies, while asset management services include asset provision (land, building, furniture, and equipment) and operational facility management. Among APM’s business activities in 2023:

• Support on land acquisition and document examination for other Adaro Group’s companies and obtaining some land documentations in the form of land certificates and thematic maps.
• Storage or archiving of land documents in a special room for ensuring document safety and quality and geographical information containing soft copies of land data.
• Asset provision and leasing in the forms of office, housing, workshop, bridge, land or supporting equipment for operations, the leasing and renovation of PT Adaro Tirta Sarana’s workshop at RISA, PT Adaro Indonesia’s induction office, and land lease at North Kelanis to PT Adaro Logistics.
• New service: project consultation, with three consultation projects completed in 2023 such as renovation of AEI’s head office in Jakarta.

PT Rehabilitasi Lingkungan Indonesia (RLI)

RLI is APM’s subsidiary that provides revegetation services at reclamation areas and supervisory management and project manager services for watershed rehabilitation projects. The watershed rehabilitation and revegetation of reclamation areas are obligatory for mining companies as Forest Area Borrow-to-Use Permit holders and as postmining obligation.

In 2023, RLI conducted several revegetation projects comprising planting areas totaling 343,95 Ha and managing areas totaling 982 Ha. RLI also worked on new revegetation projects, i.e. the land erosion control totaling 39 Ha, using the cover crop manual method.

In the same year, RLI successfully supported watershed rehabilitation of PT Adaro Indonesia (AI) and PT Maruwai Coal (MC) until the handover of the rehabilitated areas to Watershed Area Management Agency (BPDAS) as the regional representative. Supported by RLI, the total area handed over was 2,102.42 Ha for AI and 633.2 Ha for MC.

In addition to the above activities, RLI’s team also conducted measures to prevent and handle land fire at the watershed rehabilitation revegetation areas during the prolonged dry season in 2023.

PT Agri Multi Lestari (AML)

AML is an APM’s subsidiary operating in the agribusiness and biomass businesses.

In agribusiness, AML produces solid and liquid organic fertilizer produced by its cattle farming operations and plant seeds produced by its nursery. In 2023, AML produced 815 tons of solid organic fertilizer supplied to PT Adaro Indonesia (AI) and two other APM subsidiaries, PT Alam Sukses Lestari (ASL) and PT Hutan Amanah Lestari (HAL). Liquid fertilizer production volume totaled 62,720 liters and it was used for supporting revegetation activities and planting the grass used as animal feed. 

AML has completed the development of a modern nursery that can produce up to 900,000 seedlings, which uses ellepots and paperpots to substitute polybags for more environmentally friendly operations. In 2023, AML produced 306,538 seedlings, which were used for AI’s revegetation activities. 

AML’s biomass business focuses on woodchips used for co-firing at the coal-fired power plant (CFPP) of PT Makmur Sejahtera Wisesa (MSW). AML has completed the study of woodchip biomass and proceeded to the next project phase. The biomass ecosystem must be developed to ensure continuity of woodchip supply to MSW.

One of AML’s activities to build biomass ecosystem is by planting high-calory biomass plants (>4,200 Kcal/kg), such as Calliandra and Gliricidia. AML strives to create the ecosystem for environmentally sustainable woodchip biomass production for the operations’ life cycle to achieve net zero emission.

PT Alam Sukses Lestari (ASL)

ASL is APM’s subsidiary that manages forestry assets and holds a Forest Utilization Business Permit (Perizinan Berusaha Pemanfaatan Hutan) for a total area of 19,059 Ha in Barito Timur regency, Central Kalimantan. This license gives the company the responsibility to guard the forest and restore the ecosystem. In addition, ASL also plans to develop its business by entering the carbon credit and carbon trading business.

ASL’s Annual Workplan for 2023 comprises four aspects, i.e.: (i) prerequisite such as annual workplan documents (RKT) and preparing area zonation borders; (ii) ecology such as planting endemic plant for forest plant restoration and collaborating with the local communities to conduct forest watch for preventing forest fire; (iii) economy such as utilizing non wood forest product and preparing Mitigation Action Plan Document (DRAM) to participate in carbon trading; and (iv) social such as providing counselling, training, and assistance for the surrounding villages and conducting CSR to support community health and welfare enhancement.

PT Hutan Amanah Lestari (HAL)

HAL is APM’s subsidiary that holds a Forest Utilization Business Permit (Perizinan Berusaha Pemanfaatan Hutan) for a total area of 25,804 Ha in Barito Timur and Barito Selatan Regency, Central Kalimantan. This license gives HAL the responsibility to manage the forest for carbon sequestration and storage.

HAL’s feasibility study indicates that the area has a potential for reducing carbon dioxide emissions. In addition, HAL also watches for carbon leakage through peatland monitoring and guarding as a part of preventive actions. Peatlands are an important ecosystem asset because other than being carbon reserve storage, peatland ecosystem plays an important role in maintaining water supply and biodiversity.