Jakarta. Mining giant Merdeka Copper Gold (IDX: MDKA) reiterated its commitment to sustainability strategies by balancing business and environmental needs. 

As a case in point, MDKA implemented proportionate environment, social, and governance (ESG) principles. The company focuses on sustainable initiatives that bring added value for the environment, economy, its employees, as well as the communities around their operation sites. 

This commitment is reflected in the sustainability policy that has been approved by the president director and socialized to all employees.

In 2023, MDKA received the Golden Rank award from the Asia Sustainability Reporting Rating (ASRRAT) -- organized by the National Center for Corporate Reporting (NCCR), the first independent organization to use the term and develop sustainability reports in Indonesia.

The 2023 ASRRAT assessment team consists of five judges and 18 certified assessors, who assess based on the level of reporting compliance with the Global Reporting Initiative (GRI) standards, Financial Services Authority Regulation Number 51/POJK.03/2017, and GRI Disclosure Sector Standards.

"We consistently apply good quality standards in the context of sustainability throughout the Merdeka group companies. We will continue to maintain the spirit of sustainability," said President Director of PT Merdeka Copper Gold Tbk Albert Saputro. 

This award further bolsters MDKA's commitment to reporting sustainability performance transparently and with the highest quality.

In running its business, MDKA consistently maintains the environment, occupational health and safety, compliance with labor standards, respect for human rights, community involvement and development, responsible supply chains, and the implementation of good corporate governance.

MKDA carries out operations with ethical standards and maintains good environmental management. MKDA's sustainability policy is a reference for all business activities so that it can improve the company's performance sustainably.

In preparing and implementing sustainability policies, MDKA has international and national references.

The references used include the United Nations Guiding Principles on Business and Human Rights (UNGPs), the ILO Declaration on Fundamental Principles and Rights at Work, the OECD Due Diligence Guidelines for Responsible Business, and the Financial Services Authority (OJK) Regulation No. 51/POJK.03/2017 concerning the Implementation of Sustainable Finance for Financial Services Institutions, Issuers, and Public Companies.

MDKA vows to respecting human rights that cover all areas of operation and the supply chain. MDKA's commitment to respecting human rights is internationally recognized, as stated in the Merdeka Human Rights Policy. The Merdeka Human Rights Policy states MDKA's commitment to upholding the rights of individuals including communities in its operational areas, workers, and other parties affected by operational activities.

The Merdeka Human Rights Policy states a commitment to respecting the labor rights of workers and supplier workers, including the right to a safe and healthy working environment, freedom of association and protection of organization, and collective bargaining, avoiding all forms of forced labor, child labor, and human trafficking throughout operations and the supply chain and creating a diverse and inclusive work environment, free from discriminatory practices.

Regarding human rights, MKDA is committed to being integrated into the company's code of ethics, supplier sustainability code of ethics, environmental policy, health and safety policy, employment policy, and community policy. 

For new employees, MKDA provides code of ethics training as part of the company's orientation. The purpose of this training is so that all MKDA employees have the responsibility to respect human rights while working. Not only that, for business partners, MKDA includes requirements for respecting human rights in the form of a sustainable code of ethics.

MKDA has also signed the UN Global Compact as a commitment to human rights. In 2023, as a signatory to the UN Global Compact, MKDA submitted a Communication on Progress (CoP) to the Global Compact. CoP is a step for MKDA to show progress in accordance with the 10 principles of the UN Global Compact and is important as evidence of the Sustainable Development Goals (SDGs) mechanism.

In the Supplier Sustainability Code of Conduct, MDKA is committed to implementing a code of business ethics with suppliers including business entities, organizations or individuals that provide goods or services. Suppliers are expected to demonstrate compliance with the requirements listed in the Supplier Sustainability Code of Conduct. For suppliers, aspects of business ethics and integrity, environmental management, occupational health and safety, compliance with labor standards, respect for human rights, and involvement of the local community. 

This sustainability policy is formulated in line with MDKA's vision to become a global leader in the mining and metals industry. This approach also aligns with MKDA's mission of leading in safety, environmental protection, and social responsibility. MKDA's values ​​are a guide for all employees in carrying out their mission to achieve the vision that has been set.

MKDA also formulated six pillars of sustainability strategy which include a list of areas that are the company's focus. These six pillars of sustainability strategy are also in line with the SDGs, vision, mission and values ​​of the company. 

MKDA cannot work alone to implement this sustainability strategy. And so MKDA involves stakeholders in its decision-making. Stakeholders can provide understanding and expectations regarding economic, environmental and social impacts.

In implementing this sustainability strategy, MKDA also adopts the AA1000 Stakeholder Engagement Standard 2015 in its monitoring. This enables MKDA to see market developments and external interactions so that it can identify stakeholders. MKDA's monitoring of individuals and groups includes dependency, responsibility, tension, influence, diverse perspectives and proximity. This stakeholder mapping is a guide in determining the method and frequency of stakeholder engagement. It also helps MDKA to decide on which topics should they consider in the company's strategy.