Fertilizer company to optimize CSR

Fertilizer company to optimize CSR

Photo document of Pupuk Sriwijaya (Pusri). (pusri.co.id)

All fertilizer plants of PT Pusri in Palembang are in an alarming state as they are very old."
Jakarta (ANTARA News) - The state-owned fertilizer company PT Pupuk Sriwijaya Indonesia (Pusri) in Palembang, South Sumatra, has continued to demonstrate its commitment to optimizing its Corporate Social Responsibility (CSR).

Established in the South Sumatra provincial city of Palembang on December 24, 1959, PT Pusri has succeeded in its business operations, with its main mission being to support the governments policies and programs related to the nations economy and development sector, particularly in the fertilizer industry and other agricultural products.

For 56 years, PT Pusri has rendered significant contribution for the development of the national fertilizer industry, food security, and prosperity.

PT Pusris Public Relations Manager Sulfa Ghani remarked in Palembang on Monday that the company has prepared three programs to optimize its CSR: to provide guidance to the public, to improve the environment, and to protect and preserve the environmental ecosystem in the business units of the company.

To execute and realize the programs, the company has formed a partnership with stakeholders, such as the employees, suppliers, distributors, customers, farmers, people in the neighborhood, and the government.

Ghani explained that the CSR programs will be implemented through a design based on the spirit of mutual progress between the company and all stakeholders.

"We believe that the companys contribution is all that we have dreamed about in the area of work and to evolve for mutually sustainable progress," he emphasized.

According to Ghani, building a sustainable business cannot be separated from the efforts to manage the companys future plans.

He noted that optimizing profitability is not the only priority of PT Pusri in conducting its business operations, and therefore, the company will allocate billions of rupiah to be distributed to the community through CSR programs.

Synergy between quality performance of the company and the development of all stakeholders is one of the aspirations that must always be realized.

"Human resources, the society, and environment, as well as all those who are directly involved in the companys activities are critical elements in determining the CSR programs," he noted.

According to Ghani, harmony, quality improvement, and common progress have been the companys guidelines to build character in running a sustainable business.

In addition to being the national fertilizer producer, Pusri also bears the duties of carrying out trade, services, and other businesses related to the fertilizer industry.

Pusri is responsible for carrying out the distribution and marketing of subsidized fertilizers to farmers as a form of Public Service Obligation (PSO) implementation, supporting the national provision program by prioritizing fertilizer production and distribution to farmers throughout Indonesia.

The trading of non-subsidized urea fertilizer to fulfill the fertilizer requirements of plantations, industry, and export demand is part of the companys other business operations beyond its responsibility of implementing PSO tasks.

Ghani recently stated in Palembang that the revitalization project of Pusri 2B, one of its four oldest factories, construction work for which began in April 2013, has now been almost completed and will soon become operational.

He said the initial stage of operation has been going well, and if no significant obstacle is encountered, then Pusri 2B, the new urea factory, can be operated as soon as possible. Pusri 2B will replace the oldest Pusri 2, which was built in 1974.

Viewing the good progress of the construction activities, Ghani expressed optimism that the new Pusri 2B can become operational by the end of December 2015, or early next year.

He pointed out that PT Pusri has four factories, with a total annual production capacity of 2,262 million tons of fertilizer in the past, but with time, their condition has deteriorated, and they have not been able to realize their full potential for the last several years.

He noted that the four factories on an average have been operational for over 35 years, whereas ideally, the maximum lifespan of a fertilizer factory is 20 years.

"All fertilizer plants of PT Pusri in Palembang are in an alarming state as they are very old. Pusri 1B, built in 1994, is relatively younger," he said, adding that to boost the production of urea and ammonia, the old plants will be gradually revitalized.

The companys President Director Musthofa recently stated in Palembang that the revitalization process was being carried out by a consortium of PT Rekayasa Industri and Toyo Engineering Corporation at a cost of Rp7.4 trillion.

PT Pusri Production Director Johan Safri has said the new Pusri 2B factory will help enhance the companys production of urea fertilizer from 2.1 million tons to 2.8 million tons per year.

He said the production target would be reached in the first year of the new factory starting its operations.

"After Pusri 2B becomes fully operational, the production target of 2.8 million tons would be reached right away. An increase of 750 thousand tons in production will be achieved," Johan emphasized.

In 2014, Pusri had produced 2.10 million tons of urea fertilizer, and in 2015, the production target was set only slightly higher at 2.15 million tons.

"If the production is to be increased significantly, a new factory has to be built as the existing factories are already operating at full capacity," Johan pointed out.

He affirmed that Pusri 2B has been designed to have an installed production capacity of two thousand tons of ammonia per day and 2,750 tons of urea fertilizer per day.