United Tractors Visited the West Bali KPH to Strengthen the Social Forestry Program in the Kab. Jembrana – Province of Bali

Handover of souvenirs from UT to the Jembrana Regency Government.

Bali, March 8th, 2023 – PT United Tractors Tbk (UT) has extended its commitment to improve the quality of biodiversity throughout Indonesia. This time, UT visited the Kesatuan Pengelolaan Hutan (KPH) or Forest Management Unit area in West Bali as a form of participation in the simultaneous tree planting of villages throughout Indonesia and efforts to strengthen the Kelompok Tani Hutan (KTH) or social forestry program at the Giri Amerta Forest Farmers Group, West Bali, last Wednesday (08/03).

Strengthening the social forestry program is UT’s commitment in implementing a sustainable business under the public contribution pillar. This program is one of UT’s efforts as an Indonesian private company in supporting government policies, specifically Regulation of the Minister of Environment and Forestry No. 9/2021 concerning Social Forestry Management.

Head of Corporate Governance and Sustainability Division, Sara K. Loebis explained that UT understands the importance of strengthening social forestry for the sustainability of all living things. Therefore, it needs support from all parties including elements of the local community. In this program, UT is committed to care for, maintaining and supervising flora and fauna, calculating carbon sequestration, and carrying out all the pillars of corporate social responsibility in the fields of environment, economy, education, disaster and health.

“I hope with this visit, UT can get support from all parties to actively participate in creating a better environment. In addition, this can support the government’s environmental and forestry program called Indonesia’s Forestry and Other Land Use (FOLU) Net Sink 2030, with the objective of mitigating climate change to reduce pollution, absorb CO2 and increase carbon stocks,” said Sara K. Loebis.

UT and the Jembrana District Government carried out the symbolic tree-planting procession.

In this collaboration, UT seeks to delivering a real contribution through revegetation by planting and maintaining forest areas. This sustainability initiative is the Company’s step in implementing ESG (Environmental, Social, & Governance) principles in all regions of Indonesia so that it can maintain biodiversity, and improve people’s welfare through economic development programs.

From the Jembrana Regency Government data, the West Bali KPH area is currently managing an area of 38,000 hectares as of 2023. From this area, only 18,000 hectares are covered by forest, meaning that the remaining forest has not provided maximum benefits. This background is also one of the reasons for UT to collaborate in expanding the revegetation area in the Province of Bali.

The Regent of Jembrana, I Nengah Tamba, who also attended the collaboration program, explained that the management of farmer’s forests refers to three categories, which are core, special, and utilization blocks. The utilization block will be allocated for community welfare such as planting trees that bear fruit, forest areas that are used as tourist attractions, and others that potentially have a good impact on the environment and the surrounding community. On the other hand, the potential number of direct beneficiaries of this program reaches 4,930 people per year, with a long term of up to five consecutive years.

“I hope with UT’s program, we can work together with the government to be able to repair more forests, so that they can provide maximum benefits for the environment and wider society. Apart from supporting the planting of trees that can provide value to the community, it is hoped that UT can support the planting of rare trees to maintain the balance of the ecosystem for the wellbeing of the earth,” said I Nengah.

This visit was then closed by UT with a symbolic tree planting. There are four types of fruit (trees) planted as an example for future reference of this revegetation programs, the fruit are Durian, Avocado, Nutmeg and Mangosteen trees. These four plants were chosen because they have the ability to absorb high carbon.

Through this activity, UT aims to improve the relationship with local governments, to create further collaborations that provide benefits and effective added value for environmental restoration, welfare and sustainability of the surrounding community, while also building an inclusive and sustainable economy for all regions in Indonesia.

United Tractors’ Overview

PT United Tractors Tbk (UT) which is known as the largest heavy equipment distributor in Indonesia has been established since 1972. Currently, UT has grown and has six business pillars, namely Construction Machinery, Mining Contracting, Coal Mining, Gold Mining, Construction Industry, and Energy. As its contributions to the achievement of Sustainable Development targets (SDGs). UT consistently carries out activities to uphold sustainability.

ESG United Tractors

As a world-class heavy equipment, mining and energy company with more than 50 years of experience in Indonesia, UT is committed to presenting a sustainable future for Indonesia through the effective application of ESG principles by paying attention to the environment, having a good impact on society, and upholding good corporate governance. good corporate governance at all levels of its business operations, as well as optimizing its competencies, expertise, and strategic assets to bring added value to all stakeholders and the Indonesian people.