IMPLEMENTATION OF ESG RISK RATING IN PT PERTAMINA INTERNASIONAL EP
The growing recognition of climate change and sustainability among the public necessitates companies to demonstrate their dedication to Environmental, Social, and Governance (ESG) principles. This is evident in the criteria adopted by certain banks, investors, and lenders, who now exclusively...
Saved in:
| Main Author: | |
|---|---|
| Format: | Theses |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/80889 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | The growing recognition of climate change and sustainability among the public
necessitates companies to demonstrate their dedication to Environmental, Social,
and Governance (ESG) principles. This is evident in the criteria adopted by certain
banks, investors, and lenders, who now exclusively support companies exhibiting a
strong commitment to sustainable practices. As a company engaged in the
production of oil and gas, PT Pertamina Internasional EP (PIEP) is facing
significant hurdles with lenders who demand ESG Risk Ratings as a crucial
parameter for loan applications.
Quantitative methods are used in this research, utilizing data sourced through the
analysis of annual reports, sustainability reports, third-party databases, and online
information. The acquired data undergoes processing using the Sustainalytics
methodology to generate an ESG Risk Rating.
The findings indicated that PIEP's ESG Risk Rating value fell within the severe risk
category. Furthermore, there is room for improvement in PIEP's ESG Risk Rating,
particularly in the areas of carbon emissions related to products and services, selfoperation carbon emissions, and waste emissions.
Identifying the areas that require enhancement is intended to offer valuable
feedback to the company, aiming to improve the management of ESG aspects and
ultimately achieve a more favorable ESG Risk Rating. |
|---|