6-K 1 tmb-20240401x6k.htm 6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13 a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of March, 2024

Perusahaan Perseroan (Persero)

PT Telekomunikasi Indonesia Tbk

(Exact name of Registrant as specified in its charter)

Telecommunications Indonesia

(A state-owned public limited liability Company)

(Translation of registrant’s name into English)

Jl. Japati No. 1 Bandung 40133, Indonesia

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F þ Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes No þ

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes No þ


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on behalf by the undersigned, thereunto duly authorized.

Perusahaan Perseroan (Persero)

PT Telekomunikasi Indonesia Tbk

(Registrant)

March 31, 2024 

By: /s/ R Achmad Faisal

(Signature)

R Achmad Faisal

Acting As Vice President Investor Relation


THEME

Sustainable Transformation Towards Excellence

Investment in developing the latest technology, such as 5G networks, digital services, and artificial intelligence-based solutions, is a strategic step in achieving business excellence. With an emphasis on social responsibility and responsible resource management, PT Telkom Indonesia (Persero) Tbk (Telkom) strives to create a harmonious balance between achieving business excellence and implementing sustainable practices. In the steps towards transformation, Telkom carries out its business activities while consistently implementing ESG-based sustainability initiatives to achieve superior performance in the future. These sustainability initiatives include efficiency activities in business processes, efforts to improve data security and cyber security systems, environmentally friendly business practices, development of technological innovation and digitalization, application of business ethics, and continuing to innovate in improving customer experiences.

1


DISCLAIMER

PT Telkom Indonesia (Persero) Tbk, known as "Telkom", has released its 2023 Sustainability Report which provides data and information on economic performance and environmental, social, governance (ESG) and sustainable development goals (SDG). The significant issues in this report were selected by considering the impact and concerns of stakeholders. The data and information presented are sourced from various reliable sources within TelkomGroup. This report reports on the performance of "TelkomGroup" or "Telkom" which includes the performance of PT Telkom Indonesia (Persero) Tbk and its subsidiaries.

This report also includes forward-looking statements by Telkom, including future targets, expectations, estimates, or projections. Telkom recognizes the risk of uncertainty in information regarding future targets and forecasts. Therefore, as part of good governance practices, Telkom cautions readers that these views may still need to be fully realized.

2


TABLE OF CONTENT

THEME

DISCLAIMER

TABLE OF CONTENT

HIGHLIGHT

4

About Sustainability Report

5

Explanation of the President Commissioner

7

Explanation of the President Director

9

Company Profile

14

Sustainability Achievements and Overview

16

Appreciations and Awards

17

Certifications

19

Membership in Association

21

TELKOM SUSTAINABILITY

22

Sustainability Governance

23

Sustainability Strategy

25

Sustainability Risk Management

28

Sustainability Metrics and Targets

30

SUSTAINABILITY PERFORMANCE

35

Environmental: Value for the Planet (Right Environmental Approach)

36

Eco-Friendly Work Culture

36

Energy and Emissions Management

36

Water Management

41

Biodiversity Preservation

41

Waste Management

42

Environmental Initiatives Involving External Parties

43

Social: Value for the People (Right People)

44

Costumer as Main Priority

44

Human Resources Management

48

Community Involvement and Development

57

Governance: Value-Added Business (Right Governance)

61

Corporate Governance

61

Stakeholder Engagement

62

Risk and Crisis Management

62

Business Ethics and Compliance

63

Anti-Corruption, Anti-Bribery, And Anti-Fraud Policies

64

Privacy Protection and Data Security

67

Sustainable Economic Value Creation

72

Responsible Supply Chain

73

APPENDICES

75

Appendix 1: Membership in Association

76

Appendix 2: Glossary

78

Appendix 3: Abbreviation

81

Appendix 4: Reference of OJK Regulation No. 51/POJK.04/2017 and OJK Circular Letter No. 16/SEOJK.04/2021

83

Appendix 5: GRI Standard Index

85

Appendix 6: SASB Index

87

3



ABOUT SUSTAINABILITY REPORT

REPORTING PERIOD

This Sustainability Report contains data and information on environmental, social, governance, and economic performance. Telkom publishes the Sustainability Report annually; the previous period report was published in April, 2023. The reporting period is January 1, 2023 - December 31, 2023, by the consolidated financial reporting period. [2-2][2-3]

Reporting Standards

1.

Financial Services Authority Regulation (POJK) No. 51/POJK.03/2017 on the Implementation of Sustainable Finance for Financial Services Institutions, Issuers and Public Companies.

2.

OJK Circular Letter No. 16/SEOJK.04/2021 concerning the Form and Content of the Annual Report of Issuers or Public Companies.

3.

Global Reporting Initiative (GRI) Standards 2021, with alignment: ‘in reference to the GRI Standards’.

4.

Sustainability Accounting Standards Board (SASB) Telecommunication Services Sustainability Accounting Standard 2021.

5.

Early adoption of International Financial Reporting Standard (IFRS) S1 and S2.

In this report, we restate some information from previous reporting, including data on energy and emissions generated by the Data Center. The change in data is due to the difference in calculation method from data center capacity basis to occupancy basis. [2-4]

Report Assurance

Telkom Sustainability Report has not appointed an independent party to provide assurance services. However, Telkom ensures that all data and information have been approved and validated by the relevant divisions to improve the report's reliability. All disclosures have been reviewed by management and approved by the President Director, and President Commissioner, Telkom's highest sustainability governance officials. [2-5][2-14]

Report-related Contacts

Investor Relation Unit

PT Telkom Indonesia (Persero) Tbk

The Telkom Hub, Telkom Landmark Tower 39th Floor

Jl. Jend. Gatot Subroto Kav. 52, Jakarta 12710, Indonesia

Phone

: (6221) 521 5109

E-mail

: investor@telkom.co.id

We would like to acknowledge the responses to other stakeholders' 2022 Sustainability Report feedback. Telkom management has also received input on sustainability performance from rating agencies and followed up on the ESG assessment results. In the 2023 Sustainability Report, Telkom endeavors to continuously improve the management of ESG aspects and sustainability performance.

5


EXPLANATION OF THE PRESIDENT COMMISSIONER AND PRESIDENT DIRECTOR

Explanation of the President Commissioner

Explanation of the President Director

Statement Letter

6


EXPLANATION OF THE PRESIDENT COMMISSIONER

“Telkom's presence in society is committed to providing telecommunications solutions and creating a better and more sustainable future. The Board of Commissioners believes that a balance between the management of economic aspects and environmental, social, and governance (ESG) aspects will positively impact and add value to stakeholders and the environment.”

Esteemed stakeholders,

Environmental, social, and governance (ESG) issues have become essential worldwide concerns. Throughout 2023, TelkomGroup strives to improve operational and financial performance while managing ESG aspects to contribute to future sustainability and support the achievement of the Sustainable Development Goals (SDGs).

THE BOARD OF COMMISSIONERS' VIEWS ON IMPLEMENTED POLICIES AND STRATEGIES

The Board of Commissioners assesses that the Board of Directors has managed the Company's ESG aspects by the scope and context of sustainability relevant to the telecommunications sector. Telkom has the sustainability pillars of the Right Environmental Approach, Right People, and Right Governance as the foundation for formulating policies and strategies to achieve sustainability performance targets.

In the Right Environmental Approach pillar, the Company strives to conduct business with due regard to environmental aspects. The Board of Commissioners considers that the Company's policies and strategies in environmental management are pretty good, including e-waste management, energy efficiency, reduction of greenhouse gas (GHG) emissions, water savings, and utilization of new and renewable energy (EBT). The Board of Commissioners appreciates and supports the Company's initiatives to mitigate adverse environmental impacts.

The implementation of various initiatives in the Right People pillar is considered to be quite good, which is reflected in several initiatives, including internalization of human rights and business ethics in the TelkomGroup value chain, implementation of human resource management strategies to meet digital talents, provision of competency development programs, decent and safe workplaces, and programs to increase the inclusiveness of women in the TelkomGroup environment. The Company also runs social and environmental responsibility (CSR) programs that include small and medium enterprises (SMEs), community-based waste management, education assistance, and other social assistance to build community independence and support SDGs. The Board of Commissioners appreciates the Board of Directors steps in planning and realizing all initiatives in the Right People pillar that have been carried out in 2023 and continues to encourage it to be continued and improved in the future.

In the Right Governance pillar, the Company strengthens policies and strategies to run an ethical business, increase customer trust by managing data security and privacy, and comply with laws and regulations. Through the implementation of mature sustainability governance, the Board of Commissioners is optimistic that ESG management and the implementation of sustainability practices can be optimally monitored and evaluated to positively impact stakeholders.

VIEWS ON ACHIEVEMENT OF SUSTAINABLE PERFORMANCE

The acceleration of digitalization has triggered increased demand for digital telecommunications connectivity and infrastructure. The Company has a strategy to expand its product and service portfolio and continue transforming into a digital telco company. By strengthening its assets, product portfolio, and balanced ESG management, the Board of Commissioners expects the Company will be able to increase returns, optimize value for shareholders, and positively impact other stakeholders.

7


Throughout 2023, the Company has recorded positive sustainability performance, covering both business and ESG aspects. The Board of Commissioners appreciates the leadership of the Board of Directors, supported by the contribution and integration of all functions in carrying out their duties and responsibilities. Telkom's good sustainability performance in 2023, among others, is evidenced by the acquisition of several awards in the ESG aspect from external parties, such as the BUMN Corporate Communication & Sustainability (BCOMMS) 2023 award from the Ministry of BUMN, the Most Excellence GCG Implementation award from CNBC Indonesia, the Asia Pacific Climate Leaders Award 2023 award from Financial Times and Statista, the Corporate Governance Award from IICD. In addition, Telkom also managed to get an ESG Rating with an A rating from Morgan Stanley Capital International and a Score of 27.1 (Medium Risk) from Sustainalytics.

THE JOURNEY AHEAD

The Board of Commissioners observed that global risks and challenges that must be mitigated include cybersecurity risks, technological sophistication impact, and human resources quality. As a company engaged in the telecommunications sector that is transforming into a digital telco, the Company needs to strengthen governance and implement preventive strategies to minimize the negative impact of the risks and challenges faced.

Amid the growing era of technology and digitalization, Telkom will strive to continue developing innovations and improving customer experience. These efforts are a priority to support Indonesia’s transformation towards a superior digital economy and realize a better and more sustainable future for all Indonesians.

APPRECIATION

The Board of Commissioners would like to thank and appreciate all TelkomGroup personnel and stakeholders who have supported the company in implementing sustainability practices and achieving positive performance. We are excited to face the period ahead with even better sustainability performance achievements to increase added value for all stakeholders.

On behalf of the Board of Commissioners, I thank you and look forward to strengthening our collaboration and synergy to continue our partnership and realize a sustainable future.

Jakarta, March 31, 2024

/s/ Bambang Permadi Soemantri Brodjonegoro 

President Commissioner/Independent Commissioner

8


EXPLANATION OF THE PRESIDENT DIRECTOR [2-14]

“By managing environmental, social, and governance aspects or ESG, Telkom is optimistic that it will be able to achieve the sustainability performance targets that have been set and support the achievement of the Sustainable Development Goals (TPB/SDGs). More serious ESG management is also part of TelkomGroup's transformation into a digital telco company that provides innovative solutions and creates sustainable added value for stakeholders and a positive environmental impact.”

Esteemed Stakeholders,

Current global dynamics pay special attention to the importance of environmental and social aspects in managing risks and supporting sustainable economic growth. PT Telkom Indonesia (Persero) Tbk (“Telkom” or the “Company”), as the leading player in the telecommunications industry, is committed to strengthening its culture of sustainability. TelkomGroup focuses on best practices to support SDGs and run business ethically.

Telkom consistently manages ESG risks with maximum efforts to suppress and reduce negative impacts on business activities while optimizing opportunities to support the Company’s transformation. This approach aligns with the planet, people, partnership, prosperity, & peace (5P) values as the basis for improving sustainability performance. Telkom is a digital telecommunications company that manages ESG risks and innovates in digital technology to create convenience and comfort in everyday life. ESG risk mapping and sustainability pillars provide a solid basis for running a business sustainably, contributing positively to sustainable development, and creating positive value for society and the surrounding environment.

POLICIES TO RESPOND TO CHALLENGES

In facing challenges related to ESG aspects, Telkom implements sustainability policies and strategies guided by the pillars of sustainability: the Right Environmental Approach, the Right People, and the Right Governance.

The Right Environmental Approach pillar reflects a commitment to running a business environmentally responsible. By focusing on reducing the negative impact of the business chain, the Company strives to continue improving electronic waste management, working with vendors to manage waste, implementing energy efficiency and innovating to reduce emissions in Data Centers, to building green BTS that use New and Renewable Energy sources (EBT). Implementation of this pillar is also Telkom's effort to mitigate climate challenges and risks.

The Right People pillar signifies dedication to positively impacting all stakeholders, including employees, customers, and society. The main challenge, especially in the social aspect, is related to talent management, including digital talent readiness. The Company's response to these challenges is to strengthen human resource management and adapt policies that can support diversity, prosperity, and equality, including increasing HR competency and empowering people with disabilities to face the digital acceleration and transformation of the Company.

The Right Governance pillar includes a commitment to implementing strong sustainability governance, including legal compliance, business ethics, customer privacy, and human rights, especially in facing the biggest challenge in the telecommunications business, namely data security and cybersecurity, which is carried out through good data security governance and compliance with regulations to maintain customer privacy and data.

By implementing these three pillars, we aim to achieve a balanced and sustainable ESG performance and ensure that our digital transformation provides sustainable positive benefits for all stakeholders.

9


SUSTAINABILITY PERFORMANCE ACHIEVEMENTS

Telkom believes that by integrating ESG into all aspects of our business, we can achieve sustainability performance targets and create a positive impact for a better future. Sustainability is a social responsibility and an integral element in business strategy, positively impacting the environment and society and contributing to sustainable business growth. Telkom's sustainability performance achievements are described in each of the following three sustainability pillars:

Right Environmental Approach

During 2023, TelkomGroup has implemented various initiatives to support sustainability practices and address the challenges faced as a digital telecommunications company. Focusing on the environmental aspect, the Company has proactively taken concrete actions, such as reducing carbon emissions through waste management activities, especially e-waste, planting 45,500 mangrove trees, revegetating 62,150 trees in 10 locations, and rehabilitating 3,920 coral reefs. TelkomGroup has used environmentally friendly energy sources at 830 sites, such as solar cells, biodiesel, and micro hydro. In addition, TelkomGroup also supports the use of environmentally friendly transportation by encouraging the use of electric vehicles (EVs) among its employees. Through these initiatives, in 2023, the GHG emissions generated amounted to 1,724,335.18 tons CO2eq, a 7% decrease compared to 2022.

In the corporate environment, TelkomGroup builds an environmentally friendly culture by managing resources effectively and efficiently, including reducing the use of paper, water, and electricity to record a 4-21% reduction in the use of paper, water, and electricity in 2023. This effort also includes reducing employee personal waste. Telkom actively engages employees in e-waste management by providing e-boxes at each work location. By collaborating with partners, we ensure that e-waste is recycled into value-added items that can be utilized and distributed to the community. All of these efforts reflect TelkomGroup's commitment to sustainability and ongoing environmental responsibility.

Right People

During 2023, efforts to develop HR competencies continued to be strengthened through increased training and education programs. Concrete steps have been taken in managing the Digital Talent Readiness Program, an initiative aimed at developing employees' digital capabilities to adapt to changes in digital technology. By 2023, Telkom has 4,033 digital talents, or 17.18% of total employees.

Our focus also involves fair and ethical labor management, prioritizing human rights, gender equality, diversity, and inclusiveness in the company environment. Currently, as many as 36.95% of Telkom's total employees are women, including 29.96% at the managerial level, and actively participate in empowering individuals from among people with disabilities.

Not only are we internally oriented, but we are also committed to providing the best customer experience. The transformation of MyTelkomsel is clear evidence of our efforts to maintain and increase customer loyalty through end-to-end service/product integration that provides convenience and comfort in one efficient application solution. Through these various measures, Telkom's Net Promoter Score (NPS) value has improved to 56 points by the end of 2023.

Within the community, the Company is actively involved in managing the capacity building of Micro and Small Enterprises (MSEs). This effort aims to improve the quality of MSEs through digital empowerment and adaptation. The Digital Empowerment for the Nation initiative through MSE empowerment is our foundation for mobilizing a positive role in driving economic progress. By 2023, Telkom has fostered 11,180 MSEs, and as many as 11.76% of MSEs moved up to a higher class (Class Up).

10


Right Governance

The Company consistently implements sustainability governance, business ethics, and compliance with applicable regulations and supervises to ensure compliance with relevant norms and business ethics. In 2023, we made structural improvements by establishing a Data Protection Officer (DPO) organization with a more precise map of roles and functions. The Company also changed the Privacy Policy and Company Regulations to align with the provisions of the Personal Data Protection Law (PDP).

The Company also refers to the provisions of international standards, one of which is ISO 27001, to intensify data protection and security. This step ensures that TelkomGroup always meets global data management and protection standards and that, no data leakage incidents occur throughout 2023. All of these efforts are directed at ensuring that TelkomGroup not only complies with applicable regulations but also provides an optimal level of protection and security for data while adhering to the principles of high business ethics.

Economic Growth

TelkomGroup recorded positive achievements in operational and financial performance throughout 2023. These achievements reflect the positive impact of ESG management and sustainability practices on business growth. TelkomGroup's revenue in 2023 reached Rp149,216 billion, an increase of 1.30% compared to the previous year. TelkomGroup managed to record a net profit of Rp24,560 billion, which grew by 18.34% compared to last year. Overall, this positive achievement reflects the success of TelkomGroup's efforts to achieve financial targets and increase its positive impact in the context of sustainability practices.

TARGET ACHIEVEMENT STRATEGY

All TelkomGroup personnel, including the Board of Directors, Board of Commissioners, and Employees, will continue to work together and be responsible for implementing sustainability practices in daily operations. Management will consistently monitor and evaluate the achievement of operational performance targets, financial performance, and ESG performance.

On the other hand, the Company will also proactively identify potential challenges and opportunities. The awareness of the role of digital telecommunications as the main driver of the progress of the digital economy has become the basis for us to continue to innovate and carry out transformation. Digital telecommunications, in addition to providing convenience and connectivity, is considered the key to expanding the business value chain. TelkomGroup has strengthened its resolve to carry out comprehensive ESG risk management, aiming to reduce business risks and open up strategic new opportunities in the digital telecommunications era. The management and related divisions are also preparing a sustainability strategy that can be implemented holistically to minimize risks, optimize opportunities, and create a sustainable positive impact.

APPRECIATION

To conclude this explanation, we thank all stakeholders for supporting PT Telkom Indonesia (Persero) Tbk in implementing sustainability practices. This support is essential to the Company's journey to become the Digital Telco of choice to advance society. Telkom can continue to innovate amid various challenges and opportunities in the digital era to grow sustainably, create higher company value, and provide the best service to meet national digital needs.  

Jakarta, March 31, 2024

/s/ Ririek Adriansyah

Ririek Adriansyah

President Director

11


STATEMENT LETTER

RESPONSIBILITY FOR THE 2023 SUSTAINABILITY REPORT

We, the undersigned, declare that the Board of Commissioners have reviewed and approved the

2023 Sustainability Report of PT Telkom Indonesia (Persero) Tbk and declare that all information in the Sustainability Report has been contained in full, and we are fully responsible

for the correctness of the contents of the Company's Sustainability Report.

This statement was made with actual.

Jakarta, March 31, 2024

Board of Commissioners

/s/ Bambang Permadi Soemantri Brodjonegoro

Bambang Permadi Soemantri Brodjonegoro

President Commissioner/Independent Commissioner

/s/ Wawan Iriawan

/s/ Bono Daru Adji

/s/ Abdi Negara Nurdin

Wawan Iriawan

Independent Commissioner

Bono Daru Adji

Independent Commissioner

Abdi Negara Nurdin

Independent Commissioner

/s/ Marcelino Rumambo Pandin

/s/ Ismail

/s/ Rizal Mallarangeng

Marcelino Rumambo Pandin

Commissioner

Ismail

Commissioner

Rizal Mallarangeng

Commissioner

/s/ Isa Rachmatarwata

/s/ Arya Mahendra Sinulingga

/s/ Silmy Karim

Isa Rachmatarwata

Commissioner

Arya Mahendra Sinulingga

Commissioner

Silmy Karim

Commissioner

12


STATEMENT LETTER

RESPONSIBILITY FOR THE 2023 SUSTAINABILITY REPORT

We, the undersigned, declare that the Directors have reviewed and approved the 2023 Sustainability Report of PT Telkom Indonesia (Persero) Tbk and declare that all information in the Sustainability Report

has been contained in full, and we are fully responsible for the correctness

of the contents of the Company's Sustainability Report.

This statement was made with actual.

Jakarta, March 31, 2024

Board of Directors

/s/ Ririek Adriansyah

Ririek Adriansyah

President Director

/s/ Heri Supriadi

/s/ FM Venusiana R.

/s/ Herlan Wijanarko

Heri Supriadi

Director of Finance & Risk Management

FM Venusiana R.

Director of Enterprise & Business Service

Herlan Wijanarko

Director of Network & IT Solution

/s/ Muhamad Fajrin Rasyid

/s/ Budi Setyawan Wijaya

/s/ Afriwandi

Muhamad Fajrin Rasyid

Director of Digital Business

Budi Setyawan Wijaya

Director of Strategic Portfolio

Afriwandi

Director of Human Capital Management

/s/ Bogi Witjaksono

/s/ Honesti Basyir

Bogi Witjaksono

Director of Wholesale & International Service

Honesti Basyir

Director of Group Business Development

13


COMPANY PROFILE [2-1]

Company Name

PT Telkom Indonesia (Persero) Tbk

Corporate Status

Public Company (Tbk)

Company Establishment Date

November 19, 1991

Head Office Address

Jl. Japati No. 1 Bandung

Ticker

TLKM – Indonesia Stock Exchange (BEI)

TLK – New York Stock Exchange (NYSE)

Ownership

The Government of the Republic of Indonesia 52.09%
Public 47.91%

Financial Position

Assets Rp287,042 billion

Liabilities (Obligation) Rp130,480 billion

Equities Rp156,562 billion

Number of Telkom Employees

Total Employees 7,469

Women 36.95%

Men 63.05%

Products, Services, and Business Activities Undertaken [2-6]

Information and Communication Technology (ICT) services and telecommunications networks.

Digital Business Domains

1.
Digital Connectivity is a business and technology that focuses on connectivity.
2.
Digital Platform is a digital infrastructure or framework that allows various entities to interact, collaborate, and exchange goods, services, or information electronically.
3.
Digital Services is a business and product related to digital content.

Further information about Telkom is available in the separate Annual Report and the company's official website (www.telkom.co.id).

TELKOM AND SUBSIDIARIES

As of December 31, 2023, Telkom has 45 subsidiaries with direct and indirect ownership and ownership percentages of more than 50%, so their Financial Statements are consolidated with Telkom as the Parent Company. In addition, there are 9 unconsolidated subsidiaries (affiliates).

Graphic

14


Customer-Oriented

In carrying out its business strategy and operations, TelkomGroup applies a customer-oriented approach. The company is committed to providing an exceptional experience for customers and prioritizing customer satisfaction. Along with the increasingly sophisticated technology industry changes, TelkomGroup strives to continue to grow and transform into a digital telecommunication company with three digital business domains: Digital Connectivity, Digital Platform, and Digital Services. Complete information about the Digital Business Domain, product, and service descriptions, as well as our customers and partners, are available at www.telkom.co.id.

Significant Changes

In 2023, Telkom signed a Conditional Spin-off Agreement (CSA) to integrate IndiHome into Telkomsel through the Fixed Mobile Convergence (FMC) initiative as part of the Five Bold Moves primary strategy. The signing of this agreement is part of the implementation of Telkom's plan to strengthen the business by providing broader broadband services and accelerating the equitable distribution of digital connectivity in Indonesia that is inclusive and sustainable. Thus, Telkomsel focuses on business-to-consumer (B2C), and Telkom focuses on business-to-business (B2B).

COMPANY’S VISION, MISSION, PURPOSE AND VALUES

Purpose

To build a more prosperous and competitive nation as well as deliver the best value to our stakeholders.

Vision

1.
To be the most preferred digital telco to empower the society.

Mision

1.
Advance rapid buildout of sustainable intelligent digital infrastructure and platforms that is affordable and accessible to all.
2.
Nurture best-in-class digital talent that helps develop nation’s digital capabilities and increase digital adoption.
3.
Orchestrate digital ecosystem to deliver superior customer experience.

Company Values

Graphic

Operational Coverage and Network Infrastructure [2-1, 2-6] [TC-TL-000.D]

Graphic

15


SUSTAINABILITY ACHIEVEMENTS AND OVERVIEW

Economic Growth

Rp149,216 billion

Business revenue increased by 1.30%

Rp24,560 billion

Net profit 18.34%

Rp23,447 billion

Spending on local suppliers 99.01% of total spending

Right Environmental Approach

45,500 trees

Mangrove tree planting

Revegetation of 62,150 trees in 10 locations

3,920 substrates

Coral reef rehabilitation

830 sites

Green Energy Usage

22% EV Ownership

3 charging station

13 electric motorcycles

Electric Vehicle Usage

4.2 kWh installed capacity

23 beneficiary households

Renewable energy from Micro-Hydro Power Plant for the community

7,308,845 GJs

of energy used

708,878 GJs

Decreased energy used

129,763.83 Tons CO2eq

Reduction of GHG emissions

3.1 Tons

Recycled waste

1,724,335.18 Tons CO2eq

Total GHG emissions produced

183,173 units

Utilization of modem device reuse

71 units

Distribution of Electronic Device Donation for Education (Eduvice)

4 – 21%

Reduced use of paper, water, and electricity

52,000 cards ≈ 260 kgs of waste

SIM cards recycling

Right People

56 points

NPS Score

17.18% digital talent

Digital Talent Readiness Program

92 Digistar Class participants registered as Telkom employee candidates

47

Consumer Customer Satisfaction Index (Telkomsel-Fixed)

73

Wholesale Customer Satisfaction Index

and International Business

65

Enterprise Customer Satisfaction Index

36.95%

Women employees in Telkom

29.96%

Women employees who occupy managerial level in Telkom

0.39%

Employees with disabilities

Rp186 billion

Employee education and training costs

65.16 hours

Average employee training hours

Rp154.94 billion

MSE Funding Program and Social, Economic, and Environmental Community Empowerment Program

989 MSEs certified by BPOM RI

3,785 MSEs certified BKPM

244 MSEs are Halal certified

148 MSEs participated in Pijar Mahir training

11,180 assisted MSEs

Integration of MSEs class up 11.76%

2,900 active users of PaDi MSMEs

>40.5 MSMEs with >800 transactions

MSE digitization

Right Governance

ISO 37001 Anti-Bribery Management System

Anti-bribery Certification for Telkom and Subsidiaries

ISO 27001 certification until 2025

No incident handling that does not meet SLA

No incidents of data leakage and breach

100% of eligible WBS reports have been followed up

16


APPRECIATIONS AND AWARDS

Telkom has achieved several recognitions and achievements that demonstrate its position as a pioneer in the telecommunications industry. This is not only concrete proof of our dedication to providing the best service for customers but also of our commitment to maintaining technological excellence and positively impacting society and the environment.

Environment

1.

Penghargaan Transparansi dan Penurunan Emisi Korporasi 2023 Green and Gold categories of the B-Universe event

2.

Asia-Pacific Climate Leaders Award 2023 from The Financial Times and Statista

3.

Katadata Green Initiative Awards 2023 sector Transportation/Technology from Katadata

4.

Anugerah CSR Republika 2023 in the field of Decarbonization from Republika

Social

1.

BCOMMS 2023 from Ministry of SOEs

1st place in the Education CID category

3rd place in the Internal Communications Implementation category

3rd place in Media Relations Management category

1st place in the Best Content Creator category

2nd place in the Best Exposure of the Year (Agenda Setting) category

2.

The Great Indonesian CEO for Listed State-Owned Enterprises Company 2023 Category: Total Commitment for Developing MSMEs thru PaDi UMKM Digital Platform

3.

CSR Digitalization Program as a Solution to Accelerate Education Quality Improvement in the 3T Region received an award in the Economic CSR Initiative category at the B-Universe CSR Award 2023

4.

Best Workplaces for Women 2023 in Providing Women Employee Welfare in Telecommunications and Internet Provider category

5.

Top CSR of the Year 2023 from Infobrand

6.

CSR Strategy Award by HR Excellence Awards 2023 Singapore

7.

“Gold Winner” BUMN Communication and Sustainability Award 2023 by the Ministry of SOEs in the Education CID category

8.

“Gold Winner” Padmamitra Award 2023 by CSR Forum Indonesia in Education Empowerment category

9.

CSR Outlook Awards 2023 by Olahkarsa and IBCSD in Education, CSV, and Economic Empowerment category

10.

“Gold Winner” Bisnis Indonesia Corporate Social Responsibilty Award (BISRA) 2023 in the Pillars of the Economy category

11.

Marketeers Editor’s Choice Award 2023, PaDi UMKM, SME Enabler Through Digital of the Year

12.

Indonesia Digital Innovation & Achievement Awards 2023 (IDIA)

Best Digital Innovation and IOT Implementation 2023 in Telecommunication Industry

Best Senior Executive Indonesia Digital Innovation and Achievement of The Year 2023 (Rosmida)

13.

Anugerah CSR IDX Channel 2023 by IDX Channel, Social Development Initiatives category for Innovillage Program (Sociodigipreneurship Incubation)

17


Governance

1.

Indonesia Most Reputable Companies 2023 with Excellent predicate Rank I (Champion) in Telecommunication category

2.

Indonesia GCG Award-VII-2023 Economic Review 1st. The Best Indonesia GCG for Public Company 2023, Sector: Infrastructure, Utilities & Transport - Industry: Telecommunications

3.

The 14th IICD Corporate Governance Award Indonesian Institute for Corporate Directorship (IICD) Top 50 Emiten with the Largest Market Capitalization (Best Non Financial Sector category)

4.

CNBC Indonesia Awards 2023 CNBC Indonesia Most Excellence Good Corporate Governance Implementation

Graphic

5.

Indonesia Enterprise Risk Management Award-V-2023 (IERMA-V-2023) Economic Review 1st. The Best Indonesia Risk Management for Public Company 2023, Sector: Infrastructure, Utilities & Transport - Industry: Telecommunications

18


CERTIFICATIONS

TelkomGroup has certification that confirms its commitment to security, reliability and business sustainability. This reflects the high quality and security standards held by companies in the telecommunications industry.

No

Recipient

Certification

Institution Provider

Validity Period

1.

Telkom

ISO 37001:2016 Sistem Manajemen Anti Penyuapan

Sucofindo

2026

ISO 9001:2015 QMS

TUV Rheinland

2025

ISO 27001:2013 ISMS

TUV Rheinland

2025

ISO 22301:2019 BCMS

TUV Rheinland

2025

ISO 20000-1:2018 ITSMS

TUV Rheinland

2025

2.

Telkomsel

ISO/IEC 27001:2013

British Standards Institution (BSI)

2025

3.

AdMedika

ISO/IEC 27001:2013

British Standards Institution (BSI)

2025

ISO 45001:2008 Standard

MSC Global

2025

ISO 9001:2015 Standard

MSC Global

2026

ISO 37001:2016

TUV Nord

2026

4.

MD Media

IT IL Foundation Certificate in IT Service Management

IT IL Foundation

Applied onwards

5.

Infomedia

ISO 27001:2013

TUV NORD Indonesia

2025

ISO 37001:2016

TUV NORD Indonesia

2025

6.

Telkomsigma

ISO 20000-1:2018

British Standards Institution (BSI)

2023

ISO 27001:2013

British Standards Institution (BSI)

2025

ISO 9001:2015

British Standards Institution (BSI)

2025

PAS 99:2012

British Standards Institution (BSI)

2025

ISO 37001:2016

PT. Mutuagung Lestari (MUTU International)

2024

7.

Telkom Data Ekosistem (TDE)

ISO 9001:2015

British Standards Institution (BSI)

2025

ISO 14001:2015

British Standards Institution (BSI)

2025

ISO/IEC 27001

British Standards Institution (BSI)

2025

ISO 45001:2018

British Standards Institution (BSI)

2025

8.

Telin

ISO 27000-1:2013

Intertek

2023

9.

Telin Singapore

SS 564 for Telin-3 Data Centre

TUV SUD

2026

ISO 50001 Energy Management System for Telin-3 Data Centre

TUV SUD

2026

10.

Telkom Property

ISO 9001:2015

LLOYD Register

2025

SNI ISO 45001:2018

Sucofindo

2024

SMK3

Sucofindo

2026

11.

Telkomsat

ISO 9001:2015

TUV Rheinland

2024

ISO 45001

Intertek

2024

ISO 27001

Intertek

2024

ISO 20000-1

Intertek

2026

12.

Telkom Akses

Kontraktor Jaringan Telekomunikasi

CIQS 2000:2018

Telkom Professional Certification Center (TPCC)

2025

ISO 9001:2015

British Standards Institution (BSI)

2025

ISO 45001:2018

British Standards Institution (BSI)

2023

ISO 27001:2013

British Standards Institution (BSI)

2024

ISO 37001:2016

British Standards Institution (BSI)

2025

13.

PINS

ISO 14001:2015

Quality Certification Services

2023

OHSAS 18001:2007

Quality Certification Services

2023

14.

Dayamitra Telekomunikasi

ISO 45001:2018

TQCSI

2026

ISO 31000:2018

TQCSI

2026

ISO/IEC 27001:2013

SGS

2025

ISO 9001:2015

SGS

2025

15.

Digiserve

ISO/IEC 20000 IT Service Management System

British Standards Institution (BSI)

2025

19


No

Recipient

Certification

Institution Provider

Validity Period

ISO/IEC 27001:2023 Information Security Management System

British Standards Institution (BSI)

2024

16.

TelkoMedika

SNI ISO 9001:2015

International Certification Services Management

2024

SNI ISO 14001:2015

International Certification Services Management

2024

SNI ISO 45001:2015

International Certification Services Management

2024

20


MEMBERSHIP IN ASSOCIATION [2-28]

Telkom keeps abreast of the latest technology and trends in the telecommunications sector through active involvement in various associations, especially those that support sustainability. Thus, the company can remain at the forefront of providing customers with the latest and best telecommunications services and conduct its operations based on relevant best practices in the telecommunications industry. The list of members in associations is in Appendix 1.

21



SUSTAINABILITY GOVERNANCE [2-9, 2-11, 2-12, 2-13, 2-14, 2-25]

Telkom has a management structure that involves the General Meeting of Shareholders (GMS), the Board of Commissioners, the Board of Directors, and various Committees and Divisions. Each organ in this structure has a crucial role in implementing governance through their respective functions, duties, and responsibilities.

Considering the many challenges and risks related to ESG aspects in sustainability practices and ensuring that ESG initiatives are consolidated within TelkomGroup, in the future, the TJSL Committee will be incorporated into the Sustainability Committee, which manages the implementation of consolidated ESG programs within TelkomGroup.

By the end of 2023, the Directorate of Finance and Risk Management under the Director of Finance and Risk Management has been appointed as the unit that manages Sustainability/ESG within TelkomGroup. The Risk Management & Sustainability Department within the Directorate of Finance and Risk Management is an orchestrator of governance for implementing sustainability initiatives, including ESG aspects. It acts as a Center of Excellence in risk management & sustainability. This regulation is based on the Board of Directors Regulation No. PD.202.47/r.08/HK200/COP-A2000000/2023 related to the Organization of the Directorate of Finance and Risk Management, signed on December 29, 2023.

Graphic

The Director of Finance and Risk Management as part of the sustainability (environment, social, and governance) committee acts as the primary coordinator to lead, coordinate, ensure, and evaluate, as well as report the execution of sustainability (environment, social, and governance) initiatives across CFU/FU (including subsidiaries) to the BOD/BOC, including determining the appropriate framework, setting objectives, targets, and cross-entity initiatives in collaboration with CFU/FU (including subsidiaries), as well as collaborating with the Directorate of Network & IT Solution (NITS) to design an integrated dashboard for monitoring sustainability performance.

23


All Telkom Parent and Telkom Subsidiaries entities support the implementation of sustainability practices and initiatives in TelkomGroup. Some entities that are closely related to the implementation of sustainability initiatives include:

Lead Coordinator: FRM Directorate's Sustainability Sub-department

Program Owner

o

HCM Directorate: HC Organizational Effectiveness (HCOE), Community Development Center (CDC), HC Business Partner (HCBP)

o

Directorate of NITS: Cyber Security

o

FRM Directorate: Risk Strategy and Governance

o

Corporate Secretary: Corporate Office Support (COS), Legal Compliance, Regulatory Management, Data Protection

o

Subsidiaries: Telkomsel, Telkom Property (GSD), Mitratel, Telkom Data Ekosistem (TDE), Telkom Infra

o

Digital Business

o

All CFU/FU and Subsidiaries

Policymakers:

o

NITS Directorate: Network/IT Strategy, Technology, and Architecture (STA)

o

FRM Directorate: Finance & Procurement Policy (FPP)

KPI Oversight: Integrated Portfolio Management

Communication and Disclosure: Corporate Communication & Investor Relations

24


SUSTAINABILITY STRATEGY [2-22]

TelkomGroup continuously strives to improve its sustainability performance by implementing strategies to manage ESG risks integrated with its business model and operational activities. We constantly evaluate and strengthen our sustainability strategy, not only to manage risks but also to capitalize on ESG opportunities. These sustainability strategies are implemented to support Telkom's sustainability pillars.

SUSTAINABILITY PILLARS [2-22, 2-23, 2-24, 2-27]

In carrying out its business activities, TelkomGroup is committed to implementing sustainability practices through ethical and responsible operations in every line of business. Managing economic and ESG aspects and implementing sustainability practices in TelkomGroup are based on three main pillars: the Right Environmental Approach, the Right People, and the Right Governance.

Environmental:

Right Environmental Approach

Social:

Right People

Governance:

Right Governance

In running a responsible business, TelkomGroup applies the right environmental approach and management to reduce the environmental impact of operations.

In running a responsible business, TelkomGroup always has a positive impact on all humans, including employees, customers, communities, and other stakeholders.

In conducting responsible business, TelkomGroup implements sustainability governance, including meeting legal and regulatory compliance, practicing business ethics and anti-corruption, and maintaining data privacy and security.

GraphicGraphicGraphic

GraphicGraphicGraphic

GraphicGraphicGraphic

Graphic
Graphic

Graphic

25


MATERIAL TOPICS AND SIGNIFICANT ISSUES [3-1][3-2][3-3]

Material topics presented in the report significantly impact and influence the Company's decision-making. The determination of material issues for the 2023 financial year is carried out through an internal analysis process based on the CSS (Corporate Strategic Scenario) document, Shareholder Aspirations (APS), feedback from Rating Agencies, benchmarks with industry, Standards and SDGs, and ESG Risks and Opportunities, as well as internal review by management.

8 (eight) material topics are still the same as in the previous reporting period. There is one material topic that is removed from the list, namely the Risk Management System, with the consideration that Risk Management is a process that has been integrated into the Company's overall business processes, including in determining Material Topics that are significant to Telkom based on the results of the Company's Risk Profile assessment which has been outlined in the ESG Risk Prevention and Mitigation Principles section by the Telkom ESG Strategy.

List of Material Topics [3-2]

No.

Material Topics

Significant Issues

SDGs

Right Environmental Approach

1

Energy management and climate change

Energy efficiency and emission reduction

GraphicGraphicGraphic

2

Material procurement and efficiency

Waste and e-waste management

Right People

3

Excellent service

Management and measurement of customer experience

GraphicGraphicGraphicGraphicGraphicGraphic

4

Employee and community engagement

Recruitment of employees with disabilities
Increasing the MSE to class up
Increased talent and inclusiveness of women at the managerial level

5

Training and education

Digital talents
Employee pre-nurturing program (Digistar Class)

Right Governance

6

Compliance

The process of law enforcement and compliance with regulatory changes

Graphic

7

Business Ethics

Compliance with business ethics
Anti-Corruption
Whistleblowing system

8

Privacy and data security

Data privacy and cybersecurity

Graphic

TelkomGroup ESG Pillars and Material Topics

26


The Company then integrates the magnitude of ESG initiatives with the ESG Pillars, along with metrics and targets. The Company's ESG strategy currently developed is titled EXIST or ESG Existence for Sustainability by Telkom Indonesia.  

EXIST - Telkom's ESG Strategy

Purpose

To build a more prosperous and competitive nation as well as deliver the best value to our stakeholders.

Graphic

Telkom's Sustainability Commitment: ELEVATING YOUR FUTURE

Telkom Indonesia is committed to an ESG-based future, aiming to realize a sustainable business by creating positive social and environmental impacts through innovative solutions and services.

Value for the planet

Value for the people

Value added business

Vision

To be the most preferred digital telco to empower the society.

Graphic

ESG Pillars & SDG

ENVIRONMENT

GraphicGraphicGraphic

SOCIAL

Graphic

GOVERNANCE

Graphic

Mission

Advance rapid buildout of sustainable intelligent digital infrastructure and platforms that is affordable and accessible to all.
Nurture best-in-class digital talent that helps develop nation’s digital capabilities and increase digital adoption.
Orchestrate digital ecosystem to deliver superior customer experience.

Material

Topics

Graphic

Key Initiatives

GHG emission reduction (Scope 1, Scope 2)
Waste management
Customer experience
Community engagement and development programs
Diversity & Inclusion:
-
Workforce & leadership women
-
Employees with disabilities
Digital talents
Digital empowerment
Pre employee development (Digistar Program)
Compliance with regulations, laws and policies
Anti-bribery, anti-corruption and anti-fraud
Cyber security, PDP (Personal Data Protection)

27


SUSTAINABILITY RISK MANAGEMENT [2-25]

Telkom complies with the Minister of SOE Regulation No. PER 02/MBU/03/2023 on Guidelines for Governance and Significant Corporate Activities of State-Owned Enterprises, which includes initiatives to strengthen the risk management function and implement SOE governance. In the context of ESG (environment, social, and governance), Telkom manages business risks included in the company's main risk profile and mitigates ESG risks. Telkom has identified ESG risks and applied the precautionary principle as a preventive measure. The Risk Management & Sustainability Department periodically monitor and evaluate these risks as part of TelkomGroup's top risk/risk profile and submitted to the Director of Finance and Risk Management (FRM) and the Committee for Planning and Risk Evaluation and Monitoring (KEMPR).

Holistically, risk management at Telkom refers to ISO 31000:2018 Risk Management - Principles and Guidelines, which consists of three main components:

1.

Principle as the foundation of how risk management works to ensure the creation and protection of value;

2.

Framework that regulates the commitment to the role and division of risk management functions; and

3.

Process that describes the activities/stages in carrying out risk management.

A more detailed explanation regarding governance, Directors and Commissioners, and risk management as the application of a precautionary approach and internal control can be read in the 2023 Annual Report in the Corporate Governance Chapter.

ESG RISK IDENTIFICATION AND MANAGEMENT [2-25]

Aspects

Operational Risk and Impact

Influence on Risk Mitigation Stakeholders

Risk Mitigation

Environment (E)

The risk of natural disasters that can disrupt business operations and have a negative impact on financial performance and profits, business prospects, and market prices of securities

Customers, Partners, Community, Management

a.
Coordination with ASKALSI (All Indonesian Sea Cable Association) for SKKL security
b.
Preventive & corrective action by preparing a disaster recovery plan and crisis management team
c.
Transfer risk by using asset insurance to anticipate natural disasters and fires

The risk of increasing company emissions levels, which will result in increased operational costs, carbon taxes, and impact on the environment

Carrying out energy efficiency programs, looking for new renewable energy alternatives with lower emissions, carrying out various carbon offset programs

Social (S)

Disturbances in political stability, social unrest, and security, both domestically and internationally, resulting from specific issues, such as geopolitical crises, trade wars, and so on, which hurt business growth, operations, financial condition, business results, production equipment supply chain, and prospects and market prices for securities

Customers, Partners, Society, Management, Shareholders

a.
Monitoring the influence of socio-political turmoil on operational or service disruptions
b.
Maintenance of vigilance through enhancing the function of safety & security
c.
Monitoring supply chain issues related to raw materials and looking for alternatives to materials or device designs

New technologies that negatively impact competitiveness

Customers, Partners, Community, Management

a.
Preparation of a Technology Roadmap by considering future technology and the potential implementation of competitor technology
b.
Acceleration of the IDN (Indonesia Digital Network) program to support future services

28


Aspects

Operational Risk and Impact

Influence on Risk Mitigation Stakeholders

Risk Mitigation

The risk of fulfilling digital talent that has a negative impact on business continuity

Management

a.
Preparation of WFP (Work Force Planning) Digital Talent according to the company's digital business priorities
b.
Improve Recruitment Strategy & Execution for Digital job functions

c.  Collaboration with tech giants, academics & external experts for expert training & development of training modules

Governance (G)

Risk of Penalties/fines by KPPU related to price fixing and class action occurring, which could reduce Telkom's revenue and have a negative impact on business, reputation, and profits

Management, Regulator

Strengthening legal review of corporate action plans or certain contracts

Risk of changes in Indonesian or international regulations that impact business, financial condition, operational performance, and business prospects

Management, Regulator, Customers

a.
Analysis of the impact of the regulatory plan on the industry in general and Telkom in particular
b.
Provide input so that the regulations to be enacted provide positive benefits for companies and industries

Internet service competition (Fixed Broadband)

Customers, Partners, Community, Management

a.
Strengthening the perception and quality of IndiHome as a new digital life style
b.
Acceleration of the deployment of fixed broadband service infrastructure

Risk Threats to physical and cyber security, such as theft, vandalism or other actions that have a material adverse effect on business, financial condition and results of operations

Customers, Community, Management

a.
Improved Preventive Actions through periodic Vulnerability Assessments and Penetration Tests
b.
Monitor and identify all attacks in real-time and select and take the necessary actions immediately
c.
Develop recommendations for handling cyber attacks based on historical incident analysis
d.
Intensive coordination of parties involved in handling cyber attacks

29


SUSTAINABILITY METRICS AND TARGETS

To ensure that ESG initiatives in TelkomGroup can run in a directed manner and have a measurable impact, after determining the main pillars, material topics, and significant issues, and also considering the achievements of ESG initiatives that have been carried out by TelkomGroup, Telkom established ESG 2030 metrics and targets that are aligned with the company's sustainability strategy.

Graphic

ESG Metrics and Targets 2025 and 2030

30


MANAGEMENT OF ESG INITIATIVE METRICS AND TARGETS [3-3, 2-23, 2-25]

Energy Management

Essential to Manage

The Company requires much energy to carry out its operational activities. This energy supply is obtained through cooperation with strategic partners.

Impact

The negative impact of energy use is that the emissions produced over time will worsen global warming and climate risks. Thus, TelkomGroup seeks to manage energy use wisely to reduce the footprint of greenhouse gas (GHG) emissions.

Commitment and Target

Maintain the intensity of energy use each year.
Requires emission reductions each year.
Consistently calculate the total energy use and emissions produced.
Requires an increase in the use of renewable energy each year.

Policy and Strategy

Internal strategies and policies to reduce resulting GHG emissions are through efficient energy use. Telkom is developing 'Green BTS' through our subsidiaries, namely Telkomsel and Mitratel, by utilizing environmentally friendly alternative energy sources such as fuel and solar cells. Apart from that, Telkom also runs the Energy Efficiency Movement (GePEE), program and uses electric-powered operational vehicles (EVs).

Evaluation of Management Effectiveness

GHG emission reduction of scope 1 & 2 by 7% compared to 2022.
Total energy consumption by 7,308,845 GJ.
Planted 45,500 mangrove trees and 3,920 coral reefs, and revegetation of 62,150 trees in 10 locations
830 sites using solar cells, fuel cells, and micro-hydro.
22% electric vehicle (EV) ownership by employees, especially senior management.
The number of beneficiaries of renewable energy from MHP reached 23 households.

Material Procurement and Efficiency

Essential to Manage

The Company need much material in the form of equipment to provide communication services. The certainty and availability of this equipment are very crucial, as is the waste management.

Impact

Communication equipment at the end of its life will become waste, so it needs to be managed.

Commitment and Target

Waste reduction of up to 5 tons by 2030.
Reuse of modem devices with a growth of 15% by 2025.
Strive to reduce the amount of waste generated each year, and increase reduce, reuse, recycle (3R) waste.

Policy and Strategy

Telecommunication equipment material management is done by reducing the primary material, recycling, and reusing electronic waste.

Evaluation of Management Effectiveness

Electronic waste (e-waste) is handed over to a third party that has a processing license.
The number of integrated waste processing reaches 13 locations.
During 2023 there were no cases related to environmental pollution due to e-waste.
The number of reused modem devices reached 183,173 equivalent 0.32%.
Office waste reduction (paper, water, and electricity) reached 21%.
SIM card recycling reached 52,000 equivalent to 260 kg of waste.

Excellent Service

Essential to Manage

As a service company in the telecommunications sector, excellent service is the key to the Company's success in supporting economic performance.

Impact

Customers are Telkom's priority, and we always want to provide them with the best experience. Excellent service can improve customer experience and growth which will then have a positive impact on financial and operational performance.

Commitment and Target

TelkomGroup's Net Promoter Score (NPS) is targeted to be at least 54 by the end of 2023. NPS measurement is a form of Telkom's commitment to listen to the voice of the customer which is the basis for continuous improvement and customer experience efforts.

31


Net Promoter Score (NPS) for the Consumer segment (Telkomsel-Fixed) is targeted at 40 by the end of 2023. The target score grew 33.3% compared to the previous year's achievement of 30.
Continue to improve customer experience with Net Promoter Improvement.

Policy and Strategy

Carry out preventive and proactive activities to prevent disruptions, provide after-sales guarantees, and provide the best service, including service delivery, service assurance, and measurement of service quality. Apart from that, we also made radical and comprehensive improvements, which included aspects of people, processes, systems, and tools.

Evaluation of Management Effectiveness

The achievement of TelkomGroup's NPS score in semester 2 of 2023 was 56 with an increase of 1 point from the achievement of the NPS score in semester 2 of 2022.
The achievement of the NPS score of the Consumer segment (Telkomsel-Fixed) in semester 2 of 2023 is 47 with an increase of 17 points from the achievement of the NPS score in semester 2 of 2022.
The technical disruption trend decreases by 1.13% from December 2022 to December 2023.
The average technical repair time is 6.18 hours in 2023.

Employee and Community Engagement

Essential to Manage

Reliable and highly competent employees are the backbone of the Company in providing services to customers and running operations so that the Company ensures the fulfillment of talent acquisition according to the needs of workforce planning. Likewise, the community becomes part of the service targets that require education, and as beneficiaries of our services.

Impact

Companies with reliable human resources will find it easier to carry out business activities. Meanwhile, the existence of a growing and empowered community will support economic growth and become potential customers to support TelkomGroup's performance growth.

Commitment and Target

The number of beneficiaries of the MSE Development and Community Engagement and Empowerment programs grew by 10% each year.
The number of female employees in TelkomGroup will reach 32% in 2030.
The number of female employees at management level reaches 27% by 2030.
1.5% of TelkomGroup disabled employees by 2030.
Digital inclusion with PaDi UMKM, Pijar Belajar, GOVTech.

Policy and Strategy

HR management at TelkomGroup refers to:

1.
KD.28/PS560/SD M-20/2004 regarding Remuneration System.
2.
PR.209.05/r.01/HK250/COP-A4000000/2020 regarding Employee Dicipline.
3.
PR.205.09/r.00/HK200/COP-A300000/2021 regarding Performance Management System.
4.
PR.204.06/r.00/HK200/COP-A0300000/2022 regarding Talent Acquisition.
5.
PR.206.03/r.01/HK250/COP-B020000/2022 regarding Learning and Development Management.
6.
PR.207.26/r.00/HK200/COP-A0300000/2022 regarding Guidelines for Determining Income for Employees of Subsidiaries and Affiliates within the Scope of the TelkomGroup.
7.
PR.208.07/r00/HK250/COP-A0300000/2022 regarding Career and Succession Management for Employees.

TelkomGroup also supports the commitment of the Ministry of Manpower and the International Labor Organization (ILO) in realizing an Indonesia free of child labor and implementing gender equality and diversity.

On the other hand, community involvement is carried out through social responsibility activities that refer to:

Directors Regulation No. PD.703.00/r.00/HK200/CDC-A1000000/2021, December 31, 2021, regarding Social and Environmental Responsibility Programs;
Director of Human Capital Management Regulation No. PR.703.01/r.00/HK200/CDC-A1000000/2022 dated March 30, 2022, regarding Guidelines for the Operational Implementation of Social and Environmental Responsibility Programs.

32


Evaluation of Management Effectiveness

The number of employees was 7,469 as of the end of 2023.
The number of female employees in Telkom Parent is 2,760 people or 36.95%.  
829 people or 29.96% of female employees occupy managerial levels in Telkom Parent > Senior Management and Middle Management.
Employee engagement index 88.15% for Telkom Parent.
The MSE Development program benefited 21,935 communities and the Community Engagement and Empowerment program benefited 1,188 beneficiary communities.
The number of assisted partner MSEs is 11,180 assisted MSEs.
2,900 active users of PaDi UMKM.
The number of employees with disabilities is 0.39%.

Training and Education

Essential to Manage

Reliable human resources who are aware of the use of technology need to be supported by training and education so that the benefits of technology support productivity and prosperity. Research and development is also part of the need to provide high-quality services.

Impact

Adequate training and education programs will improve the quality of human resources and their productivity.

Commitment and Target

21.17% digital talent from total TelkomGroup employees until 2025.
20% until 2025 conversion rate applies from Digistar Class participants (pre-nurturing employees).
Total training hours a year reached 11,019,700.80 hours, with average training per employee recorded at 65.16 hours a year.

Policy and Strategy

Training and education are included in the talent journey. On an ongoing basis, Telkom consistently runs training and education programs for employees in class, by self-learning, and by participating in external training.

On the other hand, Telkom has Telkom Corporate University, which is an educational institution that the general public can access to develop education.

Evaluation of Management Effectiveness

There were 5,580 employees who received training.
The average training hours per employee per year is 65.16 hours.
There are 19 institutions outside TelkomGroup that have used Telkom Corporate University services.
The number of Digital Talent reached 17.18%.
The number of Digistar Class participants who registered as Telkom employee candidates was 92 people from the target of 60 people.

Compliance

Essential to Manage

As part of a SOE, compliance with all regulations is the basis for implementing good governance.

Impact

Compliance with regulations will expedite business activities and minimize operational and other risks, as well as enhance the Company's image.

Commitment and Target

Compliance with regulations, laws and policies.

Policy and Strategy

Execute compliance related to licensing and Intellectual Property Rights. In addition, we ensure that the company complies with applicable regulations and laws by developing clear policies, procedures and guidelines. In addition, we also conduct compliance monitoring and reporting, as well as handling violations.

Evaluation of Management Effectiveness

In the last three years, TelkomGroup has complied with applicable regulations, laws and policies. In the last three years, there have been no sanctions or fines related to non-compliance imposed on TelkomGroup.

Business Ethics

Essential to Manage

Good governance is the application of business ethics which is the basis of stakeholder trust and the Company's reputation.

Impact

The impact of this topic is related to the Company’s integrity and image. Therefore, the Company requires all top management and Telkom personnel to comply with the anti-corruption policy. In addition, vendors and or other stakeholders who work together are also expected to support anti-corruption practices at Telkom.

33


Commitment and Target

There is zero tolerance for ethical violations and cases of corruption, graft, bribery or fraud.

Policy and Strategy

The Company has an anti-corruption policy that applies to all Telkom personnel without exception. To increase awareness of anti-corruption, periodic socialization, and awareness are carried out to all employees, which are also submitted in the monitoring and evaluation report to the Corruption Eradication Commission (KPK). TelkomGroup also runs a violation reporting system. In addition, TelkomGroup also implements the signing of integrity pacts, carries out gratification control, conducts ISO 37001:2016 Anti-Bribery Management System certification, and runs a whistleblowing system (WBS).

Evaluation of Management Effectiveness

Action against all reports of corruption, gratuities, bribery, and fraud cases in accordance with applicable regulations.
Areas accessed by ISO 37001:2016 include Group Strategic Procurement, Human Capital Business Partner (Recruitment function), and Telkom Shared Service Center (Procurement Support & General Affair Unit, Network Procurement Operation, and IT & Others Procurement Operation).
Throughout 2023, the number of complaints submitted to the WBS was 184. The number of complaints that qualified for processing was 28.
There are no cases of corruption, gratification, bribery, or fraud.

Privacy and Data Security

Essential to Manage

For us, superior technology must be accompanied by trust and data security, and guarantees of customer data confidentiality as a form of ethical business.

Impact

The negative impact that needs to be managed from this topic is if there is a data leak or misuse by irresponsible parties. In addition, cybercrime also needs to be addressed. TelkomGroup always strengthens the security management system and improves cybersecurity.

Commitment and Target

No data breaches.
Cybersecurity compliance and training.

Policy and Strategy

TelkomGroup has a management system and internal policies regarding data privacy and security. One of our commitments is to implement a data security management system that refers to ISO 27001 and has received certification which is valid until 2025.

Evaluation of Management Effectiveness

There were no material complaints and/or data leakage incidents in the reporting period.
There was cyber security awareness training attended by 6,673 employees from all units.

34



SUSTAINABILITY PERFORMANCE

Telkom has confirmed the sustainability pillar as the primary foundation for developing and implementing sustainability initiatives in the value chain. Telkom's sustainability performance achievements, including ESG and economic aspects, are expected to positively impact the company through sustainable business growth, added value for stakeholders, and support environmental conservation.

Environmental: Value for the Planet (Right Environmental Approach)

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ECO-FRIENDLY WORK CULTURE

To build environmental awareness concern, Telkom implements an eco-friendly work culture. All employees are expected to participate so that this culture can have a positive impact on the environment and change the mindset to care more about environment. This is a manifestation of the implementation of Telkom Wellbeing which has been stated in PK.209.07.01/R.00/HK200/COP-A3000000/2022 regarding Telkom Wellbeing, where Environmental Wellbeing is one of the seven dimensions of Telkom Wellbeing. Not only employees, we also urge partners who carry out their activities in TelkomGroup operational area to support an eco-friendly work culture.

Some forms of activities that are implemented in the Company, namely:

1.

Maximizing digitization and utilization of information technology systems to reduce paper usage.

2.

Establish policies for the use and dissemination of information through online systems, such as online official memo, virtual meeting, shared files, online survey, and IT-based HR services.

3.

Implementing a paperless system in sending invoice to customers.

4.

The process of processing waste in several Telkom offices so that the waste can be recycled.

5.

Implementing flexible working arrangement can be a form of reducing motor vehicle emission.

ENERGY AND EMISSIONS MANAGEMENT

Climate Strategy

The telecommunications sector is considered an industry with low pollution levels. However, Telkom active in carrying out initiatives to reduce its environmental footprint. We have implemented decarbonization initiatives, including energy reduction, energy management in data centers, waste management, resource efficiency, and using renewable energy sources to reduce carbon emissions.

To strengthen Telkom's commitment to support the government's target of achieving Net Zero Emissions (NZE) in 2060, Telkom designed a Climate Change Strategy framework that contains details of decarbonization activities. This framework was developed from Telkom's ESG Pillar - Right Environmental Approach.

36


Graphic

To achieve NZE, Telkom has set baselines and targets for reducing electrical energy consumption and fuel, as well as managing electronic waste, which can contribute to reducing GHG emissions.

Emission Reduction Targets

Telkom has recently implemented GHG emission reduction initiatives as part of climate risk mitigation. Through these initiatives, in 2023, the GHG emissions produced reach 1,724,335.18 tons of CO2eq, a decrease of 7% compared to 2022.

As climate challenges strengthen, TelkomGroup is taking strategic steps to improve ESG risk management, especially in dealing with the issue of climate change. In 2023, TelkomGroup has begun identifying risks and opportunities related to climate change that can impact the Company. This aligns with TelkomGroup's efforts to continually create sustainable value for stakeholders by considering climate aspects when preparing the Company's business and operational strategies.

TelkomGroup identifies and groups risks and opportunities related to climate change into two categories, namely physical and transition risks. This grouping of risks and opportunities related to climate change refers to the International Financial Reporting Standards (IFRS) S2, developed from the Task Force on Climate-related Financial Disclosure (TCFD) recommendations. In each category, the Company identifies several risks and opportunities that have occurred or have the potential to happen, as in the table below. However, in this first process, the Company only conducted a detailed study using climate scenarios for only one risk for each category.

Climate Related Risks and Opportunities Table

Type

Risk (R)/Opportunity (O)

Physical

Acutely

Due to extreme weather events

Extreme rain/flooding [R]*
Cyclone [R]
Forest fires [R]
Heatwave [R]

Chronic

Due to long-term changes in climate patterns

Temperature rise [R]*
Increased precipitation [R]
Sea level rise [R]
Water stress (due to drought) [R]

Transition

Policy & legal

Due to changes in emission reduction regulations

Increased carbon price [R/O]*
Changes in energy costs due to energy regulation [R]

Technology

Due to the adoption of technologies and innovations that support emission reduction

Renewable energy [O]*
Low carbon/green ICT technology [O]

37


Type

Risk (R)/Opportunity (O)

Market

Due to changes in market prices and demand for high-emission commodities, low-carbon services and products

Material supply price change [R/O]*
Changes in consumer preferences [R/O]

Reputation

Due to shifting stakeholder perceptions and expectations of climate action

Reputation impact meets stakeholder expectations* [R/O]

Remarks:

*

TelkomGroup conducts climate risk analysis on several climate-related risks and opportunities understand that there are various other climate-related risks/opportunities that can affect the Company's business. The risks/opportunities presented in the table refer to climate-related risks and opportunities that will be analyzed in more depth in the analysis of climate scenarios in the current reporting period.

The results of this analysis are important for TelkomGroup to strengthen the Company's business resilience. In line with TelkomGroup's commitment to continue transforming sustainability efforts, TelkomGroup is also carrying out systematic climate change mitigation and adaptation, as stated in TelkomGroup's ESG strategy.

Climate-related Disclosures Comply with International Standards

TelkomGroup is aware of stakeholders' aspirations and expectations regarding the increasing climate change issues. For this reason, TelkomGroup, for the first time, created the 2023 Telkom Indonesia Climate Risk Report, which presents structured climate disclosures referring to IFRS S2, which was built from TCFD recommendations.

Governance

Strategy

Risk management

Metrics and targets

Processes, controls and procedures to manage, monitor and supervise climate-related risks and opportunities.

Corporate strategies to manage climate-related risks and opportunities.

The process of identifying, assessing, prioritizing and monitoring climate-related risks and opportunities, including integration into the Company's risk management.

The Company's performance is related to climate-related risks and opportunities, as well as targets.

For further information regarding the 2023 Telkom Indonesia Climate Risk Report, you can see the ESG menu on the Telkom website https://www.telkom.co.id/sites/about-telkom/en_US.

Energy Management [302-1] [302-2] [302-3]

The most significant energy consumption in telecommunications industry is in data center, where electricity consumption for cooling the data center will be very large. Apart from that, for Telkom another significant energy use comes from fuel oil (BBM) consumption. In 2023, the Company recorded total energy usage reaching 7,308,845 GJ with an energy use reduction reaching 708,878 GJ compared to 2022. Factors that influence fluctuations in energy consumption include a decrease in fuel consumption.

Energy Consumption

Energy Consumption

2023

2022

2021*

Gigajoule (GJ)

Electricity Consumption

7,062,896

7,523,271

7,099,544

Fuel Consumption

245,950

494,453

408,006

Total Energy Consumption

7,308,845

8,017,723

7,507,550

In 2023, there was a decrease in electricity consumption of 6.1% from the previous total consumption of 2,087,797,798 kWh in 2022 to 1,961,915,432. This decrease was caused by a significant reduction in consumption from BTS, starting to switch to energy-saving BTS and using EBT.

38


Electricity Consumption

Electricity Consumption

2023

2022

2021

kWh

Fixed Network (STO)

282,953,999

286,640,402

280,779,670

Cellular Network (BTS)

1,477,828,063

1,644,933,633

1,555,857,416

Operational (Buildings)*

109,690,516

72,934,383

53,447,585

Data Center

91,442,854

83,288,958

82,010,821

Data Center Telkom Data Ekosistem

87,008,410

81,251,380

73,964,687

Data Center Telin in Hong Kong**

2,644,994

2,345,578

6,512,534

Data Center Telin in Timor Leste

1,789,450

1,692,000

1,533,600

Total Electricity Consumption

1,961,915,432

2,089,797,376

1,972,095,492

Remark:

*

Buildings which managed by Telkom Property.

**

Restatement due to changes in electricity conversion measuring instruments at Telin Hongkong.

Most of our operational needs, including BTS, STO, data center and vehicle fleet, are accommodated using fuel oil (BBM). In 2023, TelkomGroup recorded fuel usage of 6,831,934 liters, a decrease of 50.3% compared to the previous year. This decrease was caused by the increase in the use of energy efficient BTS that use EBT.

Fuel Consumption

Fuel Consumption

2023

2022

2021

liters

Fixed Network (STO)

466,395

575,475

952,913

Cellular Network (BTS)

± 3,369,892

±11,437,661

±8,396,831

Operational Vehicle*

2,958,557

1,691,921

1,953,809

Telkom Data Ekosistem Data Center  

31,090

17,735

19,954

Telin Data Center in Timor Leste

6,000

12,000

10,000

Total Fuel Consumption

± 6,831,934

±13,734,792

±11,333,507

Remark:

*

Vechile which managed by Telkom Property.

Energy Reduction Initiative [302-4]

Energy management is carried out to increase the efficiency of energy use every year. Telkom's initiative to optimize electrical energy, namely:

1.

Use of LED light and cooling system management in office buildings.

2.

Use of reflective glass with a thickness of 6 mm in some office buildings thereby reducing incoming heat.

3.

Using a lighting zoning scheme, namely differentiating the lighting ignition area as needed so as to save energy.

4.

Implement lighting operating schedules and automatic devices to save electricity consumption without disturbing the comfort and safety of building users.

5.

Using a collection of capacitors (capacitor bank) to optimize electricity use.

6.

Educating employees to save energy.

7.

Placing warning boards and stickers in various strategic locations to remind employees to save electricity and water.

8.

Implementation of the Energy Management Workshop supporting Telkom's Energy Efficiency Care Movement (GePEE).

9.

Operational management of building mobilization equipment (Lifts) to control building occupant traffic hours.

10.

Setting the office room temperature at 25o – 27o Celsius and changing the environmentally friendly refrigerant.

11.

Implementation of a solar energy trial program at the Telkom Data Ecosystem.

12.

Implement a containment system to separate cold and hot aisles in the data center so that cold and hot air do not mix so that the cooling system can be optimal and efficient.

On the fixed network, efforts have been made to support energy reduction by means of:

1.

Optimization of the conditioning device room system to increase the reliability of cooling system (AC) and electrical energy efficiency by using an inverter system that saves electricity consumption.

2.

Revitalization of obsolete and inefficient devices with devices with efficiency levels greater than 90%.

39


3.

Use of solar panel systems at 207 sites Telkomsel and 623 sites Mitratel.

4.

Enhancement cooling system in the data center.

In addition to electrical energy, we use energy from fuel oil (BBM). So far, Telkom has been trying to reduce fuel consumption through several initiatives, namely:

1.

During STO operations, generator capacity optimization is carried out for efficiency in diesel fuel consumption by adjusting generator capacity to load capacity.

2.

Use of energy efficient and environmentally friendly technology for BTS operations.

3.

Build a Smart Energy Management Systems that aims to obtain energy saving opportunities in office buildings.

4.

Utilizing renewable energy from rooftop solar power for some viable buildings.

On the other hand, our Subsidiary, namely Telin is assessed periodically by an independent agency referring to ISO 50001:2018 and SS 564 Part-1:2013, manages data center energy use through several efforts, namely:

1.

Use of Internet of Things (IoT) concept through sensor power for non-IT electronic, such as automatic light adjustment that is affected by time/hours.

2.

Use of Diesel Rotary Uninterruptible Power Supply (DRUPS) technology for backup power sources (genset). This technology replaces the use of batteries which produce a lot of chemical effects on the environment.

Green Data Center

In TelkomGroup's operational activities, it was identified that the most significant energy use came from data center management managed by our subsidiary, namely PT Telkom Data Ekosistem (NeutraDC). We reduce data center energy consumption by adjusting the temperature and humidity of cooling devices to maintain power usage effectiveness (PUE) at average and efficient levels.

NeutraDC took the initiative to decarbonize through the Green Data Center program which includes several efforts, including:

1.

Efficient cooling solutions realized through investments in innovative cooling technologies, such as direct-to-chip liquid cooling and discretionary cooling, to optimize energy use and minimize water consumption.

2.

Implement AI-based energy management to increase energy efficiency and reduce operational costs.

3.

Implement green building designs by ensuring infrastructure with minimal waste and energy efficiency

New and Renewable Energy Use [302-1; 302-4] [TC-TL-130a.1]

Energy management is a strategic approach to achieving optimal efficiency in using energy resources and simultaneously reducing environmental impacts through reducing greenhouse gas (GHG) emissions. Since 2016, Telkom has utilized renewable energy sources, namely solar energy (solar cells) and (fuel cell) technology, in a managed BTS called Green BTS.

Utilization of Solar Cells

2023

2022

830 sites

791 sites

7,332.65 GJ

6,103.65 GJ

Utilization of Fuel Cells

2023

2022

25 site

31 site

39.7 GJ

55.3 GJ

40


Emission Produced [305-5]

Our emissions come from various TelkomGroup operational activities (electricity and fuel consumption). In 2023, TelkomGroup's operational activities has produce GHG emissions of 1,724,335.18 tons of CO2eq, experiencing an decrease compared to the GHG emissions produced in the previous year. This reduction in GHG emissions occurred because it was influenced by reducing fuel consumption using energy-saving equipment sourced from EBT, especially at BTS.

GHG Emission Produced [305-1][305-2]

Description

2023

2022

2021*

ton CO2 eq

Emission from Electricity Consumption

1,705,940.75

1,817,273.31

1,714,250.44

Emission from Fuel Consumption

18,394.43

36,825.69

30,407.57

Total Emission Generated

1,724,335.18

1,854,099.00

1,744,658.01

Remark:

*

Restatement.

To balance the impact of emissions, we implement various efforts to reduce greenhouse gas emissions. These steps include multiple initiatives, such as implementing savings in electrical energy use, namely by using LED lights and energy-efficient HVAC systems in office buildings.

WATER MANAGEMENT

To manage environmental impacts, we pay great attention to water use management in the office buildings in which we operate. In 2023, the volume of water use reach 1,518,789 m3, an increase of 3% from the previous year. This change was caused by the rise in the number of occupants in several buildings and the boiling weather factor of El Nino globally throughout 2023.

Water Consumption [303-5]

Description

2023

2022

2021

m3

Water Consumption*

1,518,789

1,472,761

1,327,897

Remark:

*

The source of water consumed comes from Perusahaan Daerah Air Minum (PDAM) or Regional Drinking Water Company and data presented comes from buildings managed by Telkom Property.

TelkomGroup also educates employees about responsible water use as part of its environmental commitment. We also implement water conservation initiatives to support our commitment to the environment. For example, we carry out wastewater recycling management, namely using condensation wastewater from (Air Handling Unit) AHU as a medium for air conditioning and watering plants in the building yard.

BIODIVERSITY PRESERVATION

Telkom’s active in efforts to preserve biodiversity as part of environmental responsibility, even though Telkom does not have operational areas in conservation areas. By collaborating closely with related institutions and communities, the company emphasizes its commitment to protecting the environment and contributing positively to maintaining the balance of the surrounding ecosystem.

In 2023, a series of initiatives related to biodiversity were carried out, including:

1.

Planting 45,500 mangrove trees on an area of 45 ha.

2.

Rehabilitation of 3,920 coral reefs at 3 location points.

3.

Planting 62,150 trees in 10 locations.

4.

Synergy of environmental care programs with 83 communities from the public, residents around conservation areas, members of nature lovers, environmental organizations, and representatives of Telkom employees.

41


WASTE MANAGEMENT [306-2]

Electronic devices, packaging, and paper are solid wastes our operations generate. A series of programs and ongoing efforts have been used consistently to manage waste by providing some waste to external parties for them to take care of. TelkomGroup provides solid waste (organic and non-organic) to the local government Cleaning Service, while solid electronic waste is handed over to third parties with management permits.

In 2023, TelkomGroup recorded waste generated at 108,556.6 tons, increasing 342.6 ton from the previous year. The increase may occur due to the company can increase the device's efficiency to increase the number of customers.

B3 and Non-B3 Waste [306-3]

Description

2023

2022

2021

ton

E-waste

20.7

18.1

15

Non-E-waste

108,535.9

108,195.9

106,931.2

Total Waste

108,556.6

108,214.0

106,946.2

In our operations, electronic waste (e-waste) is obsolete customer devices. Telkom has carried out product end-of-life management for IT hardware such as computers, servers, and routers, including in CPE. Devices that were still usable kept as temporary replacements or emergency backups. The device was stored pending a management decision if it cannot be used. In addition, Telkom actively filters and repairs electronic waste so that it can be used as an educational resource for people in need. [TC-TL-440a.1]

Withdrawn CPE and Its Management [301-3]

CPE Type

Unit

Treatment Method

2023

2022

2021

Modem (ONT)

Unit

Reuse Utilization

183,173

278,776

427,900

Another effort to reduce the generation of solid waste from product is to reduce the size of the physical card to 3-in-1 for new SIM card starter pack and physical voucher. Meanwhile, through Go Digital Channel program, Telkom changed physical voucher to electronic ones to reduce waste generation. In addition, this program not reduce the solid waste of physical voucher but also support the reduction of printing, logistic/storage, and distribution cost.

In order to reduce the use of materials that can only be used once, Telkom switched to using applications, while the features provided by Telkom are tailored to customer needs. Telkom also launched the Eduvice program to increase public awareness about overcoming climate change. This program asks employees to put personal electronic waste in the main office's electronics box to reduce electronic waste. This waste is processed into value-added goods by waste management partners. Telkom also teaches vocational school students to repair electronic devices and reduce waste.

Eduvice Device Distribution

2023

2022

71 Eduvice device

â

10 beneficiary group

191 Eduvice device

â

12 beneficiary group

42


ENVIRONMENTAL INITIATIVES INVOLVING EXTERNAL PARTIES

TelkomGroup's commitment to preserving the environment and realizing climate resilience is not only carried out within the operational scope. Through implementing social and environmental responsibility programs, we involve stakeholders in environmental conservation actions.

Program Bresih

Telkom runs the Bresih Program in Tuksongo Village, Magelang, Central Java. The action carried out in this program is providing waste management training. Through this program, now the people of Tuksongo Village are actively sorting waste independently so that it is then processed and handed over to the waste bank. The average amount of waste collected per day is around 825 kg, which means we can reduce the release of GHG emissions by around 0,24 ton CO2eq from waste.

Tuksongo Village Integrated Waste Management

Telkom collaborated with the Tuksono village community carrying out waste management using recycling methods. A total of 700 kg was recycled into liquid fertilizer, biogas, and magot. The potential for reducing GHG emissions from this program is 0.24 tons CO2eq. Telkom also assisted with disposal facilities and waste shredding machines at 14 locations across 7 provinces.

43


SOCIAL: VALUE FOR THE PEOPLE (RIGHT PEOPLE)

GraphicGraphicGraphicGraphicGraphic

CUSTOMER AS MAIN PRIORITY

Motto "EXIST", is the spirit that underlies every step we take in developing our business and providing the best for customers. We are committed to ensuring customer satisfaction by providing products and services that provide solutions for them, as well as maintaining service quality standards to provide an optimal customer experience. Apart from that, we also continuously develop products and services that can contribute positively to ESG aspects.

Number of Telkom Product Users[TC-TL-000.A, TC-TL-000.B, TC-TL-000.C]

Consumer

Fixed voice, fixed broadband, IP-TV, and digital services.

10,049  million IndiHome fixed broadband customers

Mobile

Cellular legacy services (voice and SMS), mobile broadband, as well as mobile digital services including IoT, big data, financial services, VOD, music, gaming, and digital advertisement.

159,3 million cellular customers

7,5 million postpaid customers

151,8 million prepaid customers

127,1 million mobile broadband customers

Enterprise

ICT and platform services that include connectivity, IT services and cloud, business process outsourcing, devices, satellite business, digital services and adjacent services, such as e-health services and ATM management.

524 SOEs, MOCs, and Public Service Agencies customers

1,694 Private customers

618,854 MSE customers

714 Government Institution customers

Wholesale and International Business

Domestic and international wholesale traffic, network, and digital platform and services as well as tower, data center, and managed infrastructure and network.

7 other licensed operator (OLO) customers

382 internet service provider customers

26 transponder & closed user group customers

593 global partner customers

Others

Digital services such as digital platform, digital content, e-commerce for B2B, and property management in view to fully utilize Telkom's property assets throughout Indonesia.

17.7 million active users of digital music (RBT, music streaming, dan Langit Musik)

15.6 million paying users of digital games

10.5 million paying users of digital edutainment (OTT Video)

Telkom carries out business development with a customer-oriented focus. From the planning stage to launch, we ensure that each product not only meets quality standards, but also has a positive impact on our customers' daily lives. By embracing technological advances and armed with a deep understanding of local needs, TelkomGroup will continue to develop innovative solutions that can respond to the development and acceleration of digital telecommunications.

44


Telkom always ensures that the product marketed have been checked and gone through a safety evaluation process for use and the wider community. The electronic device accompanying our product and service have also met the requirement that apply in Indonesia regarding a proper level of security for customer. In addition to aspect of product and service safety, TelkomGroup runs Telkom Integrated Quality Assurance (TIQA) program as a form of guarantee for product and service to consumer. TIQA provides after-sales guarantee and implement customer service policies that focus on service delivery, service assurance, and measuring service quality. Until now, there have been no product recall for reason of security risk that could harm consumer.

Creating the Best Service Experience

Creating the best service experience has become the main key for TelkomGroup in its efforts to maintain customer satisfaction. We are fully aware that positive experiences in interacting with our services can shape customers' opinions of our company. Therefore, we have focused our efforts on providing customers with a memorable experience, from the first time they come into contact with us through every subsequent interaction.

Before a customer files a complaint, we have implemented corrective measures aimed at reducing incidents of disruption, speeding up the problem resolution process, and preventing recurrence of the problem. Efforts are made by:

Proactive

namely repairing or solving problem before customers feel disturbed (report) by utilizing Big Data.

Preventive

namely minimizing the potential for interference from the start of several indications that appear.

Predictive

namely preventing interference from design and with the utilization of Big Data, Artificial Intelligence, and Robotic Process Automation (RPA).

We continually improve services to customers is also realized through various programs that was designed to improve service quality on an ongoing basis. Every program created is directed at supporting the customer experience in various aspects of interaction with us. From increased technical support to easier access to information, we strive to ensure that each of these programs can provide significant added value for our customers.

Telkom Customer Service Program

Preventive and Proactive

namely efforts to prevent disruption that occur to customer through preventive and proactive activities so that any potential disruption can be followed up before the customer report.

After-sales warranty

which is a program implemented to ensure compliance with after-sales service standard.

Customer Service

-
Service Delivery
-
Service Assurance
-
Measurement of Service Quality using Service Quality Index

Download Speed [TC-TL-520a.2]

Customer satisfaction is influenced by their experience using our products and services, one of which is related to internet speed. We strive to provide a stable and fast internet network. The following is Telkom's average internet speed data:

Average Download Speed

Description

2023

2022

2021

Megabits per second (Mbps)

Telkom Server

33.38

28.09

23.60

All Server

31.43

25.79

21.88

All Server (Exclude Telkom)

28.88

22.37

19.82

45


Network Interruption Management

Generally, the disruptions we constantly handle cover various aspects, such as network quality fluctuations. In dealing with these various types of disruptions, we have developed a holistic and sustainable approach to ensure smooth service for customers. In 2023, there were fluctuations in the percentage of disruptions that affect customer comfort due to various factors including mass disturbance. In addition, the average time required to resolve this problem is around 6.18 hours.

Disruption Trend [TC-TL-000.D]

Description

2023

2022

20201

% Disturbed customers

  Q Disruptions(*)

2.88

3.59

5.12

Remark:

(*) Q disruptions represent the number of disrupted customers per 100 customers in a 30 day measurement period.

Mean Time to Repair

Description

2023

2022

2021

Hour

Mean Time to Repair

6.18

6.2

8.5

We continually improve the customer experience on an ongoing basis, one of the efforts being made is to seek customer feedback and then act on it actively. We are carrying out continuous improvement through the Close-the-loop Program, by caring for and solving customer pain point/negative voice of customer to improve customer experience (Corrective).

In addition, we strive to improve the quality of company interaction with customers on an ongoing basis through digital touch point, namely myIndiHome (for Consumer segment), MyCarrier (for Wholesale segment), and MyTEnS (for Enterprise segment). This step aims to ensure that our customers have better access to our services and interact more efficiently with them.

Measuring Net Promoter Score (NPS) and Handling Customer Complaints

Telkom adopted the Net Promoter Score (NPS) metric to get an accurate picture of customer voice at any given time. These NPS results provide valuable feedback that guides continuous improvement in our customer experience and ensures that the improvement steps we take are aligned with customer needs.

NPS TelkomGroup Year 2022-2023

Customer Experience

2023

2022

Net Promoter Score

2H 2023

1H 2023

2H 2022

1H 2022

Telkom

56

57

55

51

Point Increase

-1

2

4

2

NPS Consumer Year 2022-2023

Customer Experience

2023

2022

Net Promoter Score

2H 2023

1H 2023

2H 2022

1H 2022

Telkom (Consumer)

47

35

30

26

Point Increase

12

5

4

3

NPS Enterprise Year 2022-2023

Customer Experience

2023

2022

Net Promoter Score

2H 2023

1H 2023

2H 2022

1H 2022

Telkom (Enterprise)

65

73

66

65

Point Increase

-8

7

1

5

46


NPS Wholesale Year 2022-2023

Customer Experience

2023

2022

Net Promoter Score

Telkom (Wholesale)

73

64

Point Increase

9

9

Remark:

NPS WIB measurement is carried out once a year.

NPS Mobile (Telkomsel-Mobile) Year 2022-2023

Customer Experience

2023

2022

Net Promoter Score

2H 2023

1H 2023

2H 2022

1H 2022

Mobile (Telkomsel-Mobile)

49

53

54

50

Point Increase

-4

-1

4

1

On the other hand, we are available around the clock (24/7) to serve our customers, allowing them to raise complaints or questions at any time. TelkomGroup has provided a complaint channel tailored to user needs. In this regard, we carefully accommodate users with a variety of methods to convey their feedback.

Mobile customer complaints, can be submitted via:

Telkomsel Virtual Assistant at tsel.me/veronika

Twitter & Instagram @telkomsel

e-mail : cs@telkomsel.co.id

Call center “Caroline” on number:

188 (24 hours x 7 days) for postpaid (free) and prepaid (Rp300) subscribers

+628110000333 from Overseas

Nearest GraPARI

Individual customer complaints, can be submitted via:

Application: myIndiHome.

Facebook: @IndiHome

Instagram: @IndiHome

Twitter: @IndiHome

Complaint facility via web chat at www.indihome.co.id

e-mail: customercare@telkom.co.id

Call Center: 147

Telkom Plasa

Corporate customer complaints, can be submitted via:

MSME CUSTOMERS

0800-1835566 and e-mail tele-am@telkom.co.id

Facebook: @Smartbisnis

Twitter: @Smart_Bisnis

CORPORATE CUSTOMERS AND GOVERNMENT INSTITUTIONS

08001 Telkom or 08001035566

e-mail: c4@telkom.co.id

Facebook: @TelkomSolutionID

Twitter: @TelkomSolution

WHOLESALE AND INTERNATIONAL CUSTOMERS

OLO Care Center: 0800-1444-777

e-mail: occ@telkom.co.id

LinkedIn: Telkom DWS Official

Facebook: @dwstelkom @neucentrix

Instagram: @dws_tekom @neucentrix

Twitter: @neucentrix

47


Customer Satisfaction Survey

We continue to strive to collect feedback from customers regarding the services we have provided through this means. We carry out this step annually as part of our commitment to maintaining service quality and better understanding our customers' needs.

Customer Satisfaction Survey

Customer Satisfaction and Loyalty Survey (CSLS)

2023

2022

2021

%

Consumer

Customer Satisfaction Index (CSI)

7.46*

89.97

89.38

Enterprise

Customer Satisfaction Index (CSI)

94.90

97.70

97.90

Customer Loyalty Index (CLI)

90.40

95.10

94.30

Customer Dissatisfaction Index (CDI)

0.50

0.90

0.40

Wholesale

Customer Satisfaction Index (CSI)

91.52

87.33

83.4

Customer Loyalty Index (CLI)

77.69

87.14

83.1

Customer Dissatisfaction Index (CDI)

1.09

0.0

0.60

Mobile

Customer Satisfaction Index (CSI)

7.57*

7.56*

7.53*

Remarks: (*) 1-10 Scale

(*) There was a change in the assessment method in 2023.

HUMAN RESOURCES MANAGEMENT

Human resources (HR) have a significant role in business continuity and long-term growth. To build quality human resources, we carry out employment practice based on international business regulation and norm. At the end of 2023 period, TelkomGroup was recorded as having 23,064 employees, consisting of 7,469 employees from parent company and 15,595 employees from Subsidiary companies, with 99% or 22,863 from the total of TelkomGroup employees located in Indonesia and 1% or 201 employees located outside country.

Number of Telkom’ Employees 2023 per Category [2-7]

Description

2023

2022

2021

people

Employee Based on Gender

Men

4,709

5,887

5,996

Women

2,760

3,032

2,793

Total

7,469

8,919

8,789

Employee Based on Age

Age > 45 years old

3,075

3,941

4,295

Age range 30 - 45 years old

2,269

2,408

2,069

Age < 30 years old

2,125

2,570

2,425

Total

7,469

8,919

8,789

Employee Based on Education Level

Pre College

779

1,036

1,141

Diploma

437

607

666

Bachelor

4,628

5,485

5,205

Postgraduate

1,625

1,791

1,777

Total

7,469

8,919

8,789

Employee Based on Employment Status

Permanent Employee

6,960

8,173

8,073

Professional

299

404

410

Rehire

-

284

252

Retirement Preparation Period

84

37

33

Study Assignment

126

21

21

Total

7,469

8,919

8,789

Employee Based on Position

Senior Management

122

139

136

48


Description

2023

2022

2021

people

Middle Management

2,645

2,994

2,988

Supervisor

3,653

4,436

4,434

Others

1,049

1,350

1,231

Total

7,469

8,919

8,789

Employee Turnover [401-1]

In 2023, Telkom recorded an employee turnover rate of 6.81%, higher than last year of 5.94%. From these numbers, employee retention at TelkomGroup is higher cause:

Employee Turnover

Description

2023

2022

2021

Total of Telkom employees

7,469

8,919

8,789

Total  of employee turnover

509

530

1.150

Job transfer by choice

12

56

55

Become a Director of SOE or Government official

0

1

2

Discipline violations

1

1

6

Retired

475

436

1.022

Pass away

21

36

65

Percentage of Turnover (%)

6.81

5.94

13.08

Employee Turnover by Age and Gender

Description

2022

2021

2020

Men

Women

Men

Women

Men

Women

a.
Age < 30 years old

5

2

14

19

27

7

b.
Age range 30-50 years old

9

4

22

14

15

16

c.
Age > 50 years old

437

52

398

63

932

153

Sub Total

451

58

434

96

974

176

Total

509

530

1,150

Diversity, Equality, and Equal Opportunity

From recruitment to retirement, Telkom provides equal opportunities to all employees regardless of ethnicity, religion, race, social status, and gender. Therefore, Telkom strives to develop a comfortable working environment for women and men, including employees with disabilities. Telkom has a Collective Labor Agreement (CLA) that regulates the rights and obligations of all (100%) Telkom employees.

TelkomGroup provides opportunities for all Indonesian citizens (WNI) to have career at Telkom. There is no child labor or forced labor at Telkom. The minimum age for Telkom employees is 18 years. In 2023, Telkom hired 52 women and 64 men employees.

Recruitment of Employees by Age and Gender of Telkom [401-1]

Description

2023

2022

2021

Men

Women

Men

Women

Men

Women

Age range 18-25 years old

22

31

128

190

228

270

Age range 26-30 years old

23

13

147

112

74

35

Age > 30 years old

19

8

10

9

0

0

Sub Total

64

52

285

311

302

305

Total

116

596

607

49


We also provide opportunities for people with disabilities to work at TelkomGroup. We collaborate with the Education Fund Management Institute (LPDP) and several universities in recruiting employees with disabilities. Until the end of 2023, TelkomGroup has 19 employees with disabilities consisting of 68% men and 32% women employees. Employees with disabilities who work at TelkomGroup consist of the physically impaired, deaf, blind, and speech impaired who are placed in call center, admin, finance and human capital, sales, teaching, network access, planning and performance, IT platform, and digital business.

Number of Disabled Employees

Description

2023

2022

2021

people

Employee Based on Gender

Men

13

6

3

Women

6

5

3

Total

19

11

6

Employee Based on Age

Age <25 years old

4

2

2

Age range26 - 40 years old

14

8

3

Age> 40 years old

1

1

1

Total

19

11

6

Employee Based on Employment Status

Permanent Employee

19

11

6

Contract Employee

0

0

0

Total

19

11

6

Remark: Target: 0,43% Disabled Employees by 2023 (Realization: 0,39%)

For diversity, especially at the managerial level, we have 4,709 male employees and 2,760 female employees, which are as many as 829 female employees and 1,938 male employees occupy managerial positions.

Number of Employees by Managerial Position and Gender of Telkom [405-1]

Description

2023

2022

2021

Men

Women

Men

Women

Men

Women

Band I

104

18

126

13

126

10

Band II

480

79

549

88

550

79

Band III

1,354

732

1,602

755

1,684

675

Sub Total

1,938

829

2,277

856

2,360

764

Total

2,767

3,133

3,124

Work Time

Telkom provides flexible working arrangements, or what is called Flexible Working Arrangement/FWA, which consists of Working from Anywhere (WFA), Working from Office (WFO), and Hybrid (WFO-WFA). A slightly different term is Working from Anywhere (WFA), which is the implementation of an employee's way of working approved by the superior, consisting of the employee's residence or other location within a 50 km radius from the main office in the work location area.

In accordance with statutory regulations, FWA's working hours are a maximum of eight hours per day, and they are equipped with flexibility in starting work times. The success of FWA is supported by the availability of the HC Super Apps information system, which can be monitored directly by superiors to monitor work productivity and employee discipline.

50


Remuneration [401-2][405-2]

We provide remuneration for all employees using the 3P + 1L principle, namely pay for the person (according to required competencies), pay for the position (according to the level of responsibility and accountability), pay for performance (according to performance in achieving targets, including ESG performance achievements), and pay for location (according to the city of work location). Therefore, employee remuneration at the lowest to senior management level is the same for male and female employees. In accordance with the pay-for-location principle, remuneration refers to the Provincial Minimum Wage (UMP) regulations. The provision of employee remuneration at the lowest level is above the UMP.

Leave Rights

We provide employees with 12 days of annual leave. We also offer parental leave, which includes 7 days of paid paternity leave and 3 months of paid maternity leave for women employees, which can be taken before and after childbirth. Additionally, there is a 45-day leave for performing Hajj, a long leave every 3 years for up to 45 days, and a maximum of 7 days for urgent reasons.

Parental Leaves [401-3]

Description

2023

Men

Women

Employees who are entitled to parental leave

3,902

1,810

Employees taking parental leave

90

174

Employees returning to work after parental leave

90

145

Employee Performance Measurement [404-3]

Every year, employees take part in an individual performance measurement and assessment process. Performance measurement and assessment at Telkom is carried out using 2 (two) methodologies, namely:

1.

Hybrid KPI-OKR, as a method used to calculate Individual Performance Values (NKI) based on the achievement of Objective & Key Results (OKR) in line with the Key Performance Indicator (KPI) unit; And

2.

Competency & Behavior Appraisal (CBA) as a method used to assess the Competency (Leadership and Technical) and Work Behavior of each Employee through Multi-rater Assessment (360º feedback), Supervisor Assessment, Knowledge Test, and other relevant parameters.

The results of the Performance Measurement in the form of Individual Performance Values ​​(NKI), Competency Values, and Work Behavior Values ​​for each employee are used to manage Human Capital such as career, competency development, and giving rewards in the Company.

Pension Program [201-3, 404-2]

The pension program applies to all permanent employees at TelkomGroup. TelkomGroup includes its employees in the Defined Benefit Pension Program (PPMP) for employees who joined Telkom before July 1, 2002, and the Defined Contribution Pension Program (PPIP) for employees who joined after July 1, 2002. These two programs do not apply to Directors.

Employee contribution to the PPMP program is 18% (8.4% before March 2003). Until the end of 2023, Telkom's contribution to PPMP is Rp1,635 billion. Meanwhile, PPIP is managed by the Financial Institution Pension Fund (DPLK), with the provision that the Company's contribution to DPLK is calculated based on a certain percentage of employee salaries. The Company's contribution to PPIP to DPLK for 2023 is Rp50 billion.

Telkom also provides retirement training. The training programs offered are related to psychological, spiritual, and welfare programs according to needs, as well as workshops with functional themes for employees entering retirement. In 2023, there were 687 employees participating in retirement training.

51


Apart from retirement training, 2 batches of financial planning for millennials were also held with 139 employees participating, namely training for employees with a maximum age of 35 years as a form of preparation for retirement readiness from a financial perspective, which cannot be fulfilled instantly (retirement awareness from an financial perspective.

Freedom of Opinion

Telkom guarantees freedom of opinion and association for all employees. Until the end of 2023, there were 5 workers' unions as a forum for aspirations for employees, namely::

1.

Serikat Karyawan Telkom Indonesia (SEKAR TELKOM);

2.

Serikat Pekerja Telkomsel (SEPAKAT);

3.

Serikat Pekerja Infomedia Nusantara (SPIN);

4.

Serikat Pekerja Metra Digital Media (Serikat Pekerja Digital or SPMD); and

5.

Serikat Karyawan Graha Sarana Duta (Serikat Pekerja Graha Sarana Duta or SKATA).

Other media that can be used by employee to express their opinion, criticism, and suggestion to the company, namely e-mail, telephone, message via WhatsApp Chat, and Telegram.

Facilities

We are committed to equality for both female and male employees and disabled and non-disabled employees. Telkom has issued a Respectful Workplace (RWP) policy, which shows the Company's commitment to providing a harmonious, respectful workplace that protects human dignity, free from discrimination, violence, and harassment.

This is also supported by special facilities provided for disabled and female employees so that they can keep their activities within the TelkomGroup environment. Telkom offices are equipped with several facilities to support the work of disabled employees, such as lift access, room entry access, workspace access, roads & parking.

We also provide transfer rights at your request (APS) or job transfer by choice to join and live in the same city as your family without resigning. Apart from that, we also provide several facilities such as child care facilities, namely Telkom Daycare and a lactation room, which support calm work for employees of productive age.

Graphic Graphic

In 2023, Telkom Daycare has become the first daycare facility in Indonesia to be awarded the highest rating of Taman Asuh Ceria Anak (TARA) certification by the Ministry of Women's Empowerment and Child Protection of the Republic of Indonesia (KemenPPPA RI).

52


Employee Competency Development [404-1, 404-2]

Telkom involves its employees in a competency improvement program on an ongoing basis every year. All levels of positions, both female and male employees, can implement this program—increasing competency using e-learning systems. The modules in the e-learning system are regularly updated according to the needs of employees and the Company. Telkom also has a knowledge repository that employees can access to improve the independent learning system.

Apart from that, competency development is also realized in workshops held internally involving external institutions and professionals. Telkom also sends its employees to attend external seminars by government institutions and private parties.

In 2023, Telkom spent Rp186 billion for employee training activities. 5,580 employees participate in various trainings with 1,019,700.80 hours of training a year. The total training hours for the Telkom Parent employee category is 864,573.6 hours and for the Subsidiaries category 154,947.2 hours. The average training hours per employee was recorded at 65.16 hours.

Telkom Employee Training Data Based on Gender [404-1]

Description

2023

2022

2021

Men

Women

Men

Women

Men

Women

Certification Training

549

313

620

334

2,663

1,077

Leadership Development Program

140

51

428

231

430

331

Regular Training

2,870

1,657

7,216

3,886

8,990

4,896

Total

3,559

2,021

8,264

4,451

12,083

6,304

In 2023, Telkom involved the Board of Directors and Board of Commissioners in training related to sustainability aspects, with the topic 5 Bold Moves Upskill and Reskill.

Education Priority Program

Telkom has a scholarship program for its employees who wish to continue their education at the master's and/or doctoral level through the Great People Scholarship Program (GPSP). The company provides this long-term program to retain employees. In 2023, 98 employees continued their education abroad, and no employees continued their education at domestic universities.

Digital Talent Readliness[404-2]

Currently, we are in an era of rapid technological development. Therefore, adequate digital talent is needed in terms of competency and number. Telkom has a Digital Talent Readiness program that develops employees' digital capabilities. Capability development is carried out by developing soft skills related to Digital Mindset and behavior and technical skills through innovation programs, digital project-based, and certification related to digital skill needs. Apart from that, TelkomGroup is also developing a program so digital talent can transfer knowledge. Until the end of 2023, Telkom has digital talent of 4.033 people or 17.18% of total employees. The digital talent figure reaches 109% of the digital talent targeted in 2023, namely 3,700 people. In the future, Telkom is targeting digital talent by 2026 to reach 5,722 people.

Not only internally, Telkom is also trying to encourage the growth of digital talent in Indonesia. Telkom has a digital learning platform that all BUMN, namely Pijar Mahir, can access. This platform is also a form of Telkom's support for the BUMN Ministry's efforts to develop a global standard digital ecosystem and talent within the BUMN environment. Through Pijar Mahir, digital skills can access learning materials through videos, reading materials, quizzes, and others. This collaboration hopes to create 200,000 SOE digital talents by 2024.

53


Digistar

Digistar is another effort from Telkom to prepare digital talent. Digistar forms and develops future digital talent, so they are ready to enter the world of work while closing the gap between the number of digital skills and industry needs. Through the Digistar program, Telkom incubates young talents with big ambitions and extensive knowledge, such as self-growth abilities, leadership, and technical experience, while introducing the work environment at Telkom. Digistar is aimed at students, fresh graduates, and job seekers, with five subprograms, including:

1.Digistar ClassProgram intensive mentoring;
2.Digistar CommunityProgram partnership
3.Digistar InternshipProgram magang
4.Digistar ConnectProgram
5.Digistar StoryKanal

Achievement

Graphic

Implementation of Occupational Safety and Health Management System (OSHMS)

Telkom has an occupational safety and health management system (OSHMS) that covers all (100%) employees, vendors, and stakeholders in operational areas. The implementation of OSHMS refers to Resolution of the Board of Directors No. 37 of 2010 regarding Company Security and Safety Management Policy dated 26 October 2010 (KD No.37/2010). The OSH aspect is also in PKB VIII article 51: "Telkom is obliged to organize occupational safety and health programs in accordance with applicable laws and regulations." Throughout 2023, all regional office areas and telecommunication area offices (Witel) have been certified Golden Flag by the Ministry of Manpower of the Republic of Indonesia. [403-1, 403-8]

Hazard Identification and Incident Reporting [403-2, 403-9, 403-10]

The first step in implementing OSH is identifying high-risk work types. At Telkom, these jobs include:

1.

Work at height;

2.

Work at risk of high voltage;

3.

Work at ground tank;

4.

Work at manhole; and

5.

Work at optical splicing.

54


TelkomGroup identified several Occupational Diseases, including:

Graphic

Graphic

Graphic

Graphic

Physical

Electrocuted, noise, dim lighting and ergonomic factor that can cause physical fatigue, muscle pain, bone deformity, changes in shape due to the position of the chair and table when used do not meet ergonomic requirement.

Infection

Contracted from Corona virus through office or workplace.

Chemical

Daily chemicals (eg: floor cleaners) that can cause skin diseases such as dermatitis, common in GSD colleagues.

Psychological

Lack of work-life balance. Severe and continuous work demands can cause burnout or mentally exhausted.

To mitigate the risk of incidents, Telkom Parent, periodically monitors and evaluates the implementation of OSH. Apart from that, Telkom also has security and safety procedures and guidelines and an extensive operations manual with detailed guidance on security protocols, especially at project and tower sites. Other efforts to mitigate the risk of accident incidents include carrying out Safe Work Readiness Check Lists and Safety Talks, HSE Patrols, and Management Visits. We also ensure that our vendors have OSH certification and comply with applicable laws. [403-7]

The incident reporting mechanism refers to KD No. 37/2010, and anyone who sees unsafe conditions can report it to the Security and Safety Unit at the regional or head office. The following table is data of work accidents during 2023 at Telkom Akses, one of our subsidiaries.

Work Accident Data at Telkom Akses

Category

2023

Lost Time Injuries

90

Fatality

1

Total

91

OSH Facilities [403-3, 403-6]

Telkom also pays attention to employee health at work. Realized by providing health facilities, as stated in the Resolution of the Board of the Director of Human Capital & General Affairs of the Company (Persero) KR.08/PS600/COP-B0012000/2008 regarding Guidelines for Implementing Health Services for Employees and Their Families. The health facilities provided are:

1.

General and dental polyclinic;

2.

Gym;

3.

Lactation room;

4.

Basic life support simulation room; and

5.

Midwifery check-up.

In addition, Telkom has Yayasan Kesehatan (YAKES) or health foundation to manage employee’s health. YAKES is responsible for planning, controlling and maintaining employee’s health, retirees and families, organizing polyclinics in head office, counseling, physical promotive, as well as company hygiene and work safety.

55


Training Related to OSH [403-4, 403-5]

Telkom regularly provides OSH training to employees to reduce the risk of work accidents and increase awareness and skills related to OSH.

OSH Training Data in 2023

Type of Training

Number of Employees

Number of Training Hours

General OSH Expert

65

4

OSH Firefighter Type D

39

3

OSHMS Auditor Certification

14

2

Total

118

9

To increase employee awareness and partner within TelkomGroup environment on the importance of OSH, we always communicate OSH aspect on various occasions. TelkomGroup also seeks to instill OSH into corporate culture. Communication, socialization, and OSH consultation activities are realized through the following programs:

1.

Safety Talk;

2.

Safety Risk Observation Round (SROT);

3.

Check list for working readiness;

4.

Management Visit;

5.

HSE Patrol;

6.

HSE Training;

7.

Manufacture and Installation of HSE Signs;

8.

HSE Team Meeting;

9.

Basic Life Support (BLS); and

10.

Formation of Emergency Response Team.

Employee Feedback Management [406-1]

TelkomGroup provides a channel for employees to offer opinions, suggestions, criticism, and complaints via:

HC Helpdesk

*E-mail-in service hr_helpdesk@telkom.co.id

Phone-in service to number 1500305

GraphicChat-in via WhatsApp to number 08111-900-305

GraphicTelegram @hchelpdesk_bot

HC Wiki

Search engine service to find information about employment and Telkom's human capital policy catalog.

With-U

Counseling services regarding personal issues, performance, and general issues. Employees can schedule the counseling through HC Helpdesk and carry it out via 1on1 video conference.

During 2023, there were 32,346 incoming feedback. Most complaints received are related to Administrative and Service with total 6,438 feedback. Throughout 2023, there are 17 cases of complaints related to violations of the code of ethics that Telkom has processed. Following Telkom's business ethics, we do not tolerate acts of discrimination, harassment, violence, or inappropriate behavior, and we provided strict sanctions to perpetrators of violations.

56


COMMUNITY INVOLVEMENT AND DEVELOPMENT [203-2] [413-1]

Digital Learning Lab

Graphic

Telkom developed the Digital Innovation Learning School program to help schools and students gain internet & computer access, especially in 3T (Frontier, Outermost, Disadvantaged) areas. In 2022, Telkom distributed 435 devices, networks, and applications (DNA) to 435 schools in the 3T area with 15,810 beneficiaries.

Telkom's efforts to help schools and students gain internet & computer access and improve ICT (Technology, Information, and Computer) skills for learning purposes in 3T (Frontier, Outermost and Disadvantaged) areas using IndiHome, Orbit, and Satellite fiber optic technology Mangoesky.

Telkom DigiUp

Graphic

Telkom DigiUp is Telkom's effort to support young talents who are ready to work in the coming years to produce high school/vocational school students nationally/internationally certified in digital competency throughout Indonesia. The DigiUp program includes assistance with national/international standard digital certification for high school/vocational school students, training assistance to increase competency in the digital field, seminar activities, podcasts, tips, and trick series, as well as digital application/platform competency and providing a forum for high school/vocational school student programmers. In 2023, 9,741 high school/vocational school students from 421 schools registered for this program, with 1,000 participants successfully passing certification.

Conservation Education Program

Graphic

The conservation education program is one of Telkom's efforts to tackle the climate crisis in Indonesia. Conservation education supports changes in behavior, attitudes, and ways of thinking, especially those related to managing natural resources, including ecosystems. More than 400 people registered as participants in the Conservation Education Program, and after going through a selection process, 10% of them were selected based on general knowledge and insight regarding conservation, experience, motivation, hopes, and follow-up plans or long-term goals after participating in training activities. This program is integrated and in line with the Sustainable Development Goals (SDGs), especially environmental development pillar Number 13, namely handling climate change or climate action. More than that, the conservation education program is also a concrete action in realizing the target of increasing education, awareness, and human and institutional capacity related to mitigation, adaptation, impact reduction, and early warning of climate change. A total of 97 participants registered from 6 Provinces and 26 Regencies/Cities. In stage I 25 programs were selected, then in stage II 15 programs were selected

Empowerment of Disabled Group in the Context of Increasing Self-Reliance of Vulnerable Communities

Graphic

Telkom supports the empowerment and independence of people with disabilities. In 2023, Telkom assisted 540 people with disabilities in 20  location in the form of educational facilities, skills training, and tools for people with disabilities, including:

1.
I-Chat application for people with deaf and speech disabilities;
2.
Braille computer (including application) for people with visual disabilities;
3.
Props for people with mentally and physically disabled; and
4.
Digital skill training for people with disabilities.

57


Supporting Digital Economic Growth through SME Empowerment

GraphicGraphic

Telkom supports the development and empowerment of MSMEs through programs:

a. Access to capital

Telkom distributes funding to MSEs operating in 7 sectors, namely industry, trade, agriculture, livestock, plantations, fisheries, and services. In 2023, Telkom distributed funding of Rp20 billion through collaboration with BRI.

b. Access to competence

Telkom provides Go Modern and Go Digital guidance, including training, certification, and other development activities through Rumah of SOE spread from Sabang to Merauke. In 2023, there were 906 MSEs receiving incubation/training, halal certification assistance for 1,117 MSEs, a Grant Program for 218,500 packages with 320 MSEs receiving benefits, NIB 4,578 MSEs, and P-IRT 990 MSEs.

c. Access to commerce

Telkom provides Go Online and Go Global guidance, including training and assistance in expanding market reach online and encouraging coached MSEs to participate in national and international scale exhibitions. In 2023, 286 MSEs joined in the national-scale exhibition and 32 MSEs in global ones. Apart from that, Telkom also has MySooltan and PaDi UMKM, which have 2,396 and 2,900 active users.

Telkom also runs a Business Matching program through the PaDi UMKM platform to help MSEs advance to class by bridging MSMEs so they can make transactions with various state-owned companies in the country. PaDi UMKM is also expanding its market network beyond SOE to strengthen the role of MSMEs in an increasingly integrated economic ecosystem.

Support the Realization of Sustainable City

Graphic Graphic

Telkom supports the Government in carrying out equitable infrastructure development. Telkom realized this support through assistance in renovating places of worship, renovating houses, and creating sports facilities and green open spaces. In 2023, the activities carried out are: Program for Renovating Uninhabitable Houses (RTLH) 43 houses for retirees, houses of victims of natural disasters and houses for the elderly and poor, assistance for rehabilitation of places of worship at 48 points in 13 provinces, assistance for building facilities public (roads, bridges, etc.) and green open spaces at 362 points spread across 17 provinces as well as assistance programs for activities/efforts to manage household waste using a recycling and circular economy approach, carried out at 14 points in 7 provinces.

Support for Strengthening Governance System and IT Support

Graphic Graphic

One of the objectives of the Company's TJSL program is to build peace, create equal justice for all parties, and develop strong institutions. Therefore, to improve the governance system and strategic decision-making, including those related to the TJSL program, Telkom is strengthening the governance system with IT support. Telkom uses the TJSL Management Information System (SIM) and utilizes data analytics and decision support systems.

The DigiHeroes program is an effort to overcome the impact of digitalization on children by increasing parents' awareness of the effects of digital transformation on children, providing skills and knowledge to overcome digital transformation, and increasing soft skills in children.

58


Support for Sustainable Development Goals (SDG)


TelkomGroup has mapped support priorities for the SDG following the SDGs compass mechanism. SDG support priorities are aligned with the business sector and the Company's sustainability pillars. A summary of SDG support, targets, and achievements is presented in the following table:

SDGs Indicator Code

Name of SDGs Indicator

Sustainable Projects/Activities/Products/Services

Target in 2023

Achievements in 2023

4

4.a.1 Proportion of schools with access to Internet and computers

Providing internet & computer access in the 3T area by channeling devices , networks, applications (DNA)

400 schools

435 schools

4.4.1(a) Proportion of adolescents (aged 15-24 years) and adults (aged 15-59 years) with skills

information and communication technology (ICT)

Number of adolescents/adults receiving ICT skills training through the Implementation of Digital Skillset Training Programs for Students and Graduates of Vocational (Vocational) and ICT Training for Disability

1,150 participants

1,397 participants

4.c.1 Percentage of qualified teachers by education level

Educator Quality Improvement Training Assistance

1,000 teachers

1,148 teachers

6

6.1.1 Percentage of households using safely managed drinking water services

Clean Water Facility Assistance Program

60 location points

71 location points

6.2.1* Percentage of households using safely managed sanitation services, including handwashing facilities with water and soap

General MCK Provision or Renovation Program

20 location points

78 location points

8

8 .3 .1(a) Percentage of MSME (Micro, Small and Medium Enterprises) access to financial services

BRI Channel Cooperation Program

*) PKS Cooperation effective from November

157 billion

20 billion

8.5.2 Open unemployment rate by sex and group

Age

MSE Business Capacity Building Program through 4GO Coaching

Go Modern : 8,000

Go Modern :8,800

Go Digital :6,000

Go Digital : 7,643

Go Online :1.000

Go Online :1,150

Go Global :15

Go Global :22

UMK Training & Certification

Training: 600

Training: 906

Halal Certification: 300

Halal Certification: 368

NIB/PIRT: 2,000

NIB/PIRT: 2,668

Packaging grant: 100,000

Packaging grants: 152,500

Join the Bazaar/Expo  160

Join Bazaar/Expo: 360

11

11.1.1 Percentage of households with access to adequate and affordable housing

Uninhabitable House Surgery Program (RTLH)

35 houses

44 houses

59


SDGs Indicator Code

Name of SDGs Indicator

Sustainable Projects/Activities/Products/Services

Target in 2023

Achievements in 2023

11.6.1.(b) Number of managed national waste generation

E-Waste Management Program:

-

5 location points

10 location points

12

12.4.2 The amount of B3 waste handled/managed by type of handling

Program Eduvice

210 devices collected

230 devices collected

150 devices managed

225 devices managed

65 devices distributed

71 devices distributed

13

13.3.1(a) Number of formal education units and environmental care and cultured institutions / communities

Synergy of Eco-Conscious Community Programs

30 communities

36 communities

14

14.5.1* Total area of marine protected areas

Coral Reef Planting Program

600 substrate

3,920 substrates

Mangrove Planting Program

35,000 mangrove seedlings

45,500 mangrove seedlings

15

15.2 Improve the implementation of sustainable management of all types of forests, restoring degraded forests

Digital Forest Conservation Program

55 Hectares

62 Hectares

60


Governance: Value-Added Business (Right Governance)

Graphic

CORPORATE GOVERNANCE

In accordance with Capital Market provisions and Law no. 40 of 2007 regarding Limited Liability Companies, Telkom has a governance structure consisting of Main Organs and Supporting Organs, as follows:

Graphic

In carrying out their duties and functions, all corporate governance organs always maintain their integrity and prevent conflicts of interest. The Board of Commissioners and Directors ensures the prevention of conflicts of interest through implementing the principle of transparency. All members of the Board of Commissioners and Directors have no affiliation with other members, whether financial or family. Apart from that, members of the Board of Commissioners and Directors also have no affiliation or conflict of interest with the Controlling Shareholders. Throughout the reporting period, there were no conflicts of interest related to share ownership in suppliers or transactions with conflicts of interest. [2-15]

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STAKEHOLDERS ENGAGEMENT [2-29]

Stakeholders’ concerns and needs are important in influencing company policy and strategy. Telkom communicates actively with stakeholders, maintains mutually beneficial relationships, and strives to meet their expectations. Through close collaboration with stakeholders, Telkom can carry out its operations by paying attention to sustainability principles and broader social responsibility, thereby positively impacting various aspects.

Stakeholders

Engagement Method and Frequency

Main Topics & Concerns

Internal

Shareholders and Investors

Annual General Meeting of Shareholders (GMS), Extraordinary GMS, and quarterly performance explanation.
Investor Conference and/or Non-Deal Roadshow.
Achievement of operational and financial key indicators (KPIs), good corporate governance practices
Business development.

Employee

Periodic meetings with management.
Trainings.
Telkom Workers Union (Sekar).
Employee Complaint Center.
Career path.
Clarity of rights and obligations.
Remuneration and other benefits.
Increased competence.

External

Customer

Customer satisfaction surveys at least once a year.
Customer Complaint Center.
Network connection and coverage.
Ease of complaint resolution.
Data security and confidentiality.
Excellent service.

Government

Bipartite meetings are held at least once a year.
Opinions with the House of Representatives and working visits.
Legal compliance and reporting.
Ethical business practices.

Partners

Direct meetings during auction and procurement contracts, supplier selection and management, supplier performance appraisal, and further procurement processes with frequency as needed.

A fair and transparent procurement process.
Objective selection and evaluation process.
Implementation of work that meets K3 standards.
Administrative procedures.

Community

Deliberation in planning community empowerment activities, implementing activities and supervising program realization.

Harmonious relationship
Positive contribution to economic and social life
Participation in other programs including environmental conservation activities.

Media

Press releases, media gatherings, press conferences, and press briefings are carried out as needed at least once a year.

Accuracy of the object of reporting
Latest information
Transparency of operational, financial and non-financial conditions.

RISK AND CRISIS MANAGEMENT

As a company listed on the New York Stock Exchange (NYSE), Telkom must implement risk management that complies with the Sarbanes-Oxley Act, significantly articles 302 and 404. Based on SOE Ministerial Regulation No. PER-2/MBU/03/2023 regarding Guidelines for Governance and Significant Corporate Activities of State-Owned Enterprises, Telkom, as one of the SOEs, is also required to implement a risk management system. Implementing a risk management system is carried out to fulfill compliance aspects and maintain business continuity so that it runs well.

During 2023, Telkom's risk management system has effectively managed various Telkom business risks to support every policy and process in the TelkomGroup. Telkom uses several risk management tools or information systems, including:

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1.

Generic Tools Enterprise Risk Management Online (ERM Online) whose used by all units to manage the Risk Register.

2.

Specific Tools for specific risk management purposes, for example:

a.

Fraud Management System (FRAMES) application is an early detection system for potential customer and third-party fraud.

b.

The i-Library application is managed by the Service Operation Division and is used to manage the Integrated Management System documentation system.

c.

OSHMS Online application is managed by the Security & Safety Unit to manage health and safety documentation.

Telkom has been running a Business Continuity Management System (BCMS) since 2010 as a commitment to implementing Sustainable Telkom Business Continuity by ensuring confidentiality of information, integrity of data, availability of information, excellent service for customer satisfaction, and excellent IT service in a structured manner according to ISO procedures. 22301:2019, which includes:

1.

Emergency Response Plan: information related to handling disturbances/disasters.

2.

Business Continuity Plan: Information on risk reduction steps, handling the impact of disturbances/disasters, and the recovery process.

3.

Disaster Recovery Plan: Information on recovery steps that focus on critical technological aspects.

Telin, Metranet, Infomedia, Telkomsat, Telkom Property, Telkom Access, Admedika, Dapen Telkom, MD Media, Telkom Infra, and Telkom Sigma ratified regulations relating to Data Governance in accordance with the regulations that have been passed at Telkom, as proof of Telkom's commitment The Group guarantees the protection of privacy and security of personal data with the following policies:

1.

Regulations on Governance

2.

Company Data

3.

Regulation on Corporate Data Control Standards.

4.

Regulation on Enterprise Data Design Management Standards

5.

Regulation on Enterprise Data Operations Management Standards

6.

Regulation on Corporate Data Quality Management Standards

BUSINESS ETHICS AND COMPLIANCE [2-27]

Telkom carries out operational activities under ethical and fair business practices in the telecommunications industry. Our commitment to integrity and transparency is reflected in every aspect of the business, from customer service to interactions with partners and communities. We prioritize compliance with strict regulations and industry standards and pay attention to consumer rights and privacy in every service we offer. TelkomGroup Business Ethics Guidelines are stipulated in Resolution of Board of Directors No. PD.201.01/r.00/PS150/COP-B04000000/2014 regarding Business Ethics in the TelkomGroup Environment. [2-27]

Implementing sustainability principles requires a firm ethical commitment from TelkomGroup and all parties involved in its business chain. The main emphasis in implementing our business ethics includes several crucial aspects, including:

1.

Commitment to Customer

a.

Provide clear and easy-to-understand information about the rights and obligations of the customer before the contract/subscription contract is signed by both parties;

b.

Fulfill the rights of customer in providing service as promised in Service Level Guarantee (SLG);

c.

Provide and manage customer contact media to make it easier for customer to submit complaint, feedback and seek information about product/service.

2.

Commitment to Partner

a.

Provide increased skill, competency and training on product/service, service procedure and service ethics to agent, reseller, installer, and setter in order to provide product knowledge so as to improve service to customer;

b.

The process of procurement of good and service is carried out in a fair, transparent and accountable manner by involving prospective supplier/partner who have a reputation with good classification, in accordance with applicable law and regulation and GCG principles;

63


c.

Mandatory to do selection and evaluation of partner objectively.

3.

Commitment to Competitor

a.

Attempt to obtain information about competitors' businesses are conducted in an honest manner and obtained from legitimate sources;

b.

It is prohibited to obtain competitor information by illegal and unethical ways, such as espionage, wiretapping, and/or theft.

4.

Commitment to Social Community

a.

Build and foster harmonious relationships as well as providing benefits to the community around the company's place of business;

b.

Encourage the emergence of sense of belonging from the community to the company with the aim that the community participates in protecting the company;

c.

Minimize impacts on the environment to the minimum, including but not limited to excavation of cable lines and frequency usage.

5.

Commitment to Employees

a.

Avoid discriminatory practices of employees

b.

MaiMaintaining health, security, safety and comfort of the work environment

Competitive Behavior

In the 5G era, cellular operators must secure wide frequency bandwidth to guarantee optimal service and a promising user experience. The growth of technology and digitalization drives the need for solid and fast networks. Competition in the 5G era is not only about network quality but also includes service range, price, features, strengthening IT systems, and customer support. As a significant player, Telkom is committed to fair business competition, with the principle of prudence in developing products to remain in accordance with business competition regulations. As a leading company in Indonesia, Telkom and its subsidiaries have adopted ethical business competition practices with no record of violations related to monopoly or business competition regulations in the 1999 Business Competition Law. In 2023, no monetary losses resulted from legal processes about Anti-competitive behavior regulations. [206-1] [TC-TL-520a.1]

ANTI-CORRUPTION, ANTI-BRIBERY, AND ANTI-FRAUD POLICIES

TelkomGroup is committed to running a business free from corruption, collusion, and nepotism. The realization of this commitment is reflected in the implementation of anti-fraud policies.

Telkom has established the Anti-Corruption Compliance Function Committee (FKAP) with the aim of jointly reviewing and evaluating the implementation of the Anti-Bribery Management System (ABMS) together with the Board of Directors and Top Management for continuous improvement. ABMS has been implemented in some Class A Witels and Business Units as well as Subsidiaries. Monitoring of ABMS implementation has been conducted through smap.telkom.co.id. [205-1]

FKAP routinely evaluates corruption-related risks in its operations, identifying potential risks in several business areas of the company's units. Telkom does not tolerate corruption, bribery, or fraudulent behavior and will enforce strict sanctions for violators. [205-2]

Our efforts to prevent fraud and corruption are also implemented by requiring the filling out of the State Administrator's Assets Report (LHKPN) for members of the Board of Directors, Commissioners, and employees at Band I-III levels (specifically Head of the Office). In addition, anti-corruption and anti-fraud socialization are routinely carried out, and e-learning on the ABMS based on SNI ISO 37001:2016, which is valid and must be completed by all Telkom Parent employees. Telkom routinely evaluates corruption-related risks in its operations, identifying potential risks in several areas of the company's business units. Telkom has no tolerance for corruption, bribery, or fraudulent behavior and will impose strict sanctions on violators.

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In 2023, we reported corruption incidents involving a subsidiary, PT Telkom Telstra. The alleged corruption case involved 8 people with a total value of Rp 236 billion. Currently, the case process is continuing towards the second stage, which will continue through delegation to enter the trial process. Telkom Parent supports the legal process and firm action regarding this case and strives to increase internal control throughout the TelkomGroup more strictly. The ISO 37001:2016 ABMS Certification obligation is targeted at all direct subsidiaries until 2024 and calls for the management of anti-bribery implementation in affiliated subsidiaries. [205-3]

Whistleblowing System

TelkomGroup consistently upholds business ethical standards and prioritizes transparency in its operations. One implementation of this commitment is through a whistleblowing system (WBS). This system allows anyone to submit complaints regarding internal TelkomGroup problems. During 2023, we received some reports through Integrity Line, namely 184 complaints. From these reports, some 28 were deemed worthy of follow-up by the criteria and procedures set out in the WBS. Further details about this system can be found in our Annual Report.

.

Complaints Data Received by WBS

Description

Total

Information

2023

(Deloitte)

2022

(Deloitte)

2021

Total complaints:

59

44

36

Complaints received

Fulfil the requirements

28

26

0

Complaints feasible to be followed up

Follow-up:

1.
Closed

19

16

0

-

2.
Additional Data

9

9

0

-

3.
Further review according to procedure

0

1

0

-

Remarks:

-Total complaints in the Annual Report 2022 were 129 records consisting of 44 complaint records, as well as 85 records testing complaint channels and additional communications related to complaints.
-In the Annual Report 2023, records of the results of testing the complaint channel and additional communications related to complaints are not counted in the number of complaints.

Systemic Risk Management [201-2] [TC-TL-550a.1, TC-TL-550a.2]

To minimize systemic risk, TelkomGroup continues to monitor technological and district disruption. The disruption we face is caused by natural conditions, such as damage to sea cable infrastructure due to volcanic eruptions and earthquakes in the sea. We also monitor disruption in fiber optic backbone systems from sailing activity, road excavation work, and vandalism, such as copper cable theft, ODC, BTS, and others.

Other causes of disruption come from the migration of new infrastructure/system, the integration process between different systems not running well, and the management of asset protection systems that could be more effective. In response to the impact of climate change on telecommunications infrastructure, TelkomGroup has conducted research that includes evaluating the financial implications of risks and opportunities that may arise due to climate change.

Throughout 2023, we faced 3.811 disruptions to the fiber optic network and 6 disruptions of the wet plant on the submarine cable communication system (SKKL). The following table presents data on fiber optic backbone and SKKL disruption for the past three years.

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Fiber Optic Backbone and Submarine Cable Communication System Disruptions

Description

2023

2022

2021

Total disruptions

Fiber Optic Backbone

3.811

3,927

4,125

Submarine Cable Communication System

a.

Wet Plant*

6

7

6

b.

Dry Plant**

-

-

-

Remarks:

*

Wet plant = OSP (Out Side Plant) are components or devices in Submarine Cable Communication System (SKKL) in the waters/sea consisting of sea optic fiber cable, repeater, equalizer, and branching unit.

**

Dry plant = ISP (In Side Plant) are components or devices in Submarine Cable Communication System (SKKL) in the waters/sea consisting of optic fiber cable, SLTE, DWDM, PFE, and others.

SERVICE CONTINUITY SOLUTION IN CASE OF DISRUPTION [TC-TL-550a.2]

Our commitment to provide the best experience to customer, one of which is manifested in management of service interruption. We have carried out some mitigation to prevent IT network/infrastructure disruption that have an impact on service interruption, namely:

1.

Make risk transfer to insurance company.

2.

Coordination with Asosiasi Kabel Laut Seluruh Indonesia (ASKALSI) and Badan Keamanan Laut (BAKAMLA) to secure submarine cable communication system (SKKL).

3.

Preparation of Disaster Recovery Plan and Crisis Management Team.

4.

Increasing coordination and monitoring of third party work.

5.

Coordination with law enforcement official for operation at a crime-prone location and conduct an environmental development program.

6.

Improve maintenance and improvement of asset protection system (Hydrant, Fire Protection System, APAR, CCTV).

7.

Ensure that backup system function according to standard.

Network Expansion and Telecommunications Access [203-1]

Telkom continues to focus on efforts to build equitable telecommunications infrastructure, especially in 3T areas, to provide inclusive digital solutions for all levels of society. In its spirit of transformation, Telkom introduces digital services and focuses on increasing people's digital literacy to create a comprehensive digital ecosystem. Confidence in the role of digital technology in accelerating economic recovery has encouraged Telkom to expand its digital connectivity throughout the archipelago. Fiber optic network infrastructure reaching 171,654 km, or four times the earth's circumference, has become a concrete step for Telkom. This support is supported by 2 satellites with a total capacity of 109 transponders, which can reach remote areas. This connectivity provides equal opportunities for people in the regions to develop businesses and obtain services that support daily life.

In addition, Telkom continues to support digital inclusion by expanding its telecommunications infrastructure, both domestically and internationally. In 2023, Telin launch the Telin Next Gen Platform (TNeX) to meet global market demand for fast, adaptable, safe, and reliable connectivity. Telin has a vital role in building a global infrastructure that connects data centers in Indonesia to the global network via the Sea Cable Communication System (SKKL).

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Prevention of Consumer-Related Social Risks

Today's society tends to rely on the internet to communicate, use electronic mail (e-mail), and interact on social networks because it is more effective and efficient. However, easy digital access also carries certain risks that need to be considered, such as digital addiction, exposure to non-educative content, and negative impacts on mental health. Telkom pays attention to the consequences of internet use for society and continues campaigning for healthier internet use. TelkomGroup actively blocks internet content related to gambling, pornography, hate speech, fraud, copyright violations, normalization of violence, as well as content that is not in line with Indonesian moral values ​​through the Positive Internet Program. Apart from that, Telkom also provides parental control facilities on the IndiHomeTV service to give control to families in limiting the shows or content they access.

PRIVACY PROTECTION AND DATA SECURITY

Telkom is committed to continuously improving the cyber security and safety of customers, internal companies, suppliers, and business partners' data. In 2023, Telkom established an additional new organization, namely the Telkom Data Protection sub-department as stated in the Company Regulations regarding the Organization of the Corporate Secretary Department dated December 28, 2023 which were ratified by the President Director and Company Regulations regarding the Organization of the Corporate Secretary Sub-Department which were ratified by the Director of Human Capital Management. Throughout 2023, there were no data leakage incidents, and no sanctions, fines or legal processes related to customer privacy. [418-1] [TC-TL-220a.3, TC-TL-230a.1]

Policies and Practices regarding Data Privacy and Security [TC-TL-220a.1, TC-TL-230a.2]

Telkom ensures compliance with external regulations and internal company policies established through Data Governance led by the Director of NITS (Network and IT Solution) which is regulated by the Company.

Some important policies on data privacy and security:

1.

Regulation of the Board of Directors Number PD.404.00/r.00/HK200/COP-CO300000/2022 Year 2022 regarding Guidelines and General Policies of IT Governance which adopt COBIT 2019 IT Governance Framework.

2.

Regulation of the Director of Number PD.406.00/r.00/HK.200/COP-D3000000/2018 year 2018 regarding Information Security Governance which adopts the ISO/IEC 27001:2013 Information Security Management System.

3.

Regulation of the Board of Directors Number PR.404.03/r.01/HK.270/COP-D0031000/2022 year 2022 regarding Data Security Governance (Data Governance) which adopts the DAMA-DMBOK 2nd Edition Data Governance Framework.

4.

Regulation of the Director of Network & IT Solution PR 146/r.00/COP-D003100/2018 year 2018 regarding Information System Access Control Management Standard.

5.

Regulation of the Director of Network & IT Solution S/NITS-ITSG.1/20 regarding TelkomGroup Application Security Verification Standard.

6.

Standards derived from related company regulations, such as IT service process standard, information system access control management standard, information system acquisition process standard, and data control standard.

Telkomsel has also implemented policies related to privacy protection and customer data security with the following policies:

1.

Resolution of the Board of Directors of the Company Number: 007/12.01/PD-00/IV/2018 regarding Information Security Management Policy.

2.

Resolution of the Board of Directors of the Company Number: 008/06.01/PD-00/V/2020 regarding Company Data Policy.

3.

Resolution of the Board of Directors of the Company Number: 022/TC01/PD-00/V/2006 regarding Implementation of Information Technology Business Processes Based on Framework of Information Technology Infrastructure Library (ITIL FRAMEWORK).

4.

IT Management Charter Document Number: ITSM/M02, Document Issue Date: September 25, 2014.

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Customers in the retail segment can access information related to privacy policies via the official website at https://www.telkomsel.com/privacy-policy or contact customer service via email at cs@telkomsel.co.id or telephone number 188.

IndiHome customers can find information regarding privacy terms and conditions on the website https://indihome.co.id/terms and conditions# or contact customer service via the email address customercare@telkom.co.id or telephone number 147. Digital product customers Other TelkomGroups can also find information regarding privacy terms and conditions on their respective product websites.

Monetization Using Customer Personal Data

Telkom ensures the legal use of data and asks for customers' permission or approval (consent) before using their data. This effort ensures that any use of customer personal data is in accordance with applicable provisions in data protection regulations. Telkom is committed to deleting data from customers who have not subscribed after a specified period and not collecting personal data from third parties unless required by law. The minimum period for deleting data refers to the Company's internal regulations, namely the 2022 TelkomGroup Data Operations Management Standards, with provisions for data deletion and retention minimum 3 (three) months in accordance with Government Regulation No. 52 Year 2000 regarding Telecommunications Management.

Data Governance System

The mechanism for implementing data governance in the TelkomGroup environment is a series of activities related to the planning, use, control, protection, and destruction of data assets to be used effectively as material for analysis and decision-making within the TelkomGroup scope. The flow and exchange of confidential data and information, including but not limited to personal data, is carried out with prior approval from the Company's DG and TelkomGroup's DG Council. As a guarantee of the protection of Personal Data, the Chief of Technology Officer determines the appointment of a Data Owner as an Official responsible for the use of data/assets within the Directorate in accordance with his authority. This mechanism involves several aspects, such as consent (including consent from the owner of Personal Data), data architecture, metadata, data control, data quality, cryptography, data access control, and audit trail management, which functions as a guarantee of data protection in data processing activities and maintaining integrity when data in use.

TelkomGroup Data Governance Organization

Graphic

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Telkom Data Governance Committee (Parent)

Graphic

Apart from this approach, Telkom also implements outreach activities and increases awareness regarding the importance of data governance. This is done through a series of outreach programs carried out periodically. By 2023, around 500 employees had received sharing expert insight on data privacy and security as well as outreach, training, and certification activities related to data management, data security, and privacy through training institutions managed by the company.

Internal Audit carries out routine controls/audits of the data governance system throughout all TelkomGroup entities. This Audit assesses compliance with established standards and evaluates the overall performance of the implemented data governance. Telkom also carries out a Governance Maturity Level Data Assessment to help companies determine steps/goals for carrying out the development process and determining optimization.

Customer Data Management for Secondary Purposes [TC-TL-220a.2, TC-TL-220a.4]

In accordance with Law No. 27 of 2022 regarding Personal Data Protection, TelkomGroup implements data processing practices, including data acquisition, processing/analysis, storage, repair/update, dissemination/disclosure and data destruction activities. Telkom does not rent, sell, or provide personal data to third parties for secondary purposes unless approved by the customer or required for legal purposes in accordance with applicable laws and regulations. Handling this practice is in accordance with established internal regulations, such as Compliance & Risk Management Director Regulation.

Telkom Group implements data processing practices, including data acquisition, processing/analysis, storage, repair/update, dissemination/disclosure, and data destruction activities following Law No. 27 Year 2022 regarding Personal Data Protection. Customers will be asked for their consent by products/services that deal directly with customers to obtain legal consent for processing personal data. Furthermore, consent to use customers' personal data will be stored in the Telkom system that manages consent. Telkom, as a Data Controller, ensures that the consent given by customers includes processing by third parties only to improve service quality and provide the best products/services to customers and the wider community. Third parties, such as data processors, have the same responsibilities as data controllers outlined in cooperation contracts to guarantee compliance with personal data protection in personal data processing activities.

So far, in 2023, there was 25 requests from various law enforcement officials in Indonesia tracking the use of IP addresses, call data records and customer data. Apart from law enforcement, there were more than 50 requests from third parties for monetization needs and consulting on Telkom's business development with guaranteed confidentiality of personal data and confidential company data. Every guarantee of confidentiality is carried out through signing a Corporate & Personal non-disclosure agreement (NDA) in accordance with Data Governance policies and Data Control Standards.

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Facing Cyber Security

The rise in cyber threats has become a central focal point in corporate awareness. To deal with the complexity of existing threats, preventive steps have been developed, which involve identifying and mapping potential risks that could arise in the future. These risks include various factors such as a lack of awareness and attention from stakeholders towards information security, the motives behind cyber-attacks that vary from seeking financial gain to reputational sabotage efforts by competitors, as well as weaknesses that may emerge in the technology supply chain, which can pose significant security vulnerabilities.

The company has taken several mitigation steps to overcome these challenges. First, they increased stakeholders' awareness of the urgency and importance of information security in every aspect of company operations. Other preventive measures involve regular evaluation of existing vulnerabilities, periodic penetration tests, and routine daily security checks of a company's IT infrastructure. Apart from that, recommendations were also prepared based on information security management as part of risk mitigation efforts. Close and intensive coordination with related institutions in handling cyber security, such as the National Crypto Cyber ​​Agency, is also carried out routinely.

Not only that, Telkom has also developed a Cyber ​​Security Operation Center (CSOC), which functions as a center for continuous monitoring, detection, and response to information security incidents, operating 24 hours a day, seven days a week. CSOC is designed to anticipate and respond quickly and effectively to various cyber security problems to provide maximum protection and prevent incidents that could disrupt the company's smooth operations.

Increased Employee Awareness of Cyber ​​Security Threats

Telkom has a security awareness program that regularly runs every month and covers various topics. Security awareness is conveyed through internal company media through posters, banners, podcasts, quizzes, webinars, comic strips, and motion videos. Security awareness program materials are reviewed periodically every year by the relevant units so that employees can understand and implement the messages conveyed.

Every year, Mandatory Cyber ​​Security Training is carried out through the digital learning platform, which all Telkom employees must participate in, as well as information security training, which is mandatory for new employees.

Cybersecurity Governance

By policy:

1. PD.406.00/r.00/HK.200/COP-D3000000/2018 406/2018 regarding Information Security Governance

2. PR Director NITS No. 146/r.00/COP-D003100/2018 Information System Access Control Standard

3. Regulation of Director NITS No. S/ NITS-ITSG.1/20 regarding Application Security verification standards

Establishment of a Cyber ​​Security Unit at BoD-1 level in the NITS – OVP Cyber ​​Security directorate and its organization in accordance with PR.202.40/r.20/HK200/COP·A2000000/2021, which consists of Cyber ​​Security Governance, Planning, Program & Risk Management sub-units, Cyber ​​Security Services, Cyber ​​Security Operation Centre and Cyber ​​Security Engineering.

QUALITY AND QUALIFICATION OF PERSONNEL INFORMATION SECURITY SYSTEM

Information security management system at TelkomGroup has been implemented and certified by SNI ISO/IEC 27001:2013. Information security management system certification is one of our efforts to strengthen the security of IT infrastructure from the risk of cyber-attack. In addition, the personnel in charge of cyber security have also been certified. As many as 2,604 employees have been recorded as having at least one type of certification related to information security system.

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These certifications, among others:

1.

Certified Ethical Hacker (CEH)

2.

Certified Ethical Hacker Practical (CEH Practical)

3.

Computer Hacking Forensic Investigator (CHFI)

4.

Certified Information System Auditor (CISA)

5.

Certified Information Security Manager (CISM)

6.

Certified Data Center Specialist (CDCS)

7.

Certified Data Center Professional (CDCP)

8.

Certified Digital Transformation Professional (CDTP)

9.

Certified Information System Security Professional (CISSP)

10.

Cisco Certified CCNA Cyber Ops

11.

Cisco Certified CCNA Security

12.

Certified Risk Management Officer (CRMO)

13.

CompTIA CySA+ Cybersecurity Analyst (CySA+)

14.

COBIT 2019 Foundation (COBIT 2019)

15.

EC-Council Certified Incident Handler (ECIH)

16.

EC-Council Certified Security Analyst (ECSA)

17.

GIAC Certified Forensic Analyst (GCFA)

18.

ITIL 4 Foundation (ITIL 4)

19.

Offensive Security Certified Professional (OSCP)

20.

Certified Risk Management Officer (CRMO)

Information Security Violation

During 2023, Telkom faced threats to servers. Even though it does not threaten or disrupt operations, we still require constant vigilance and monitoring of our information security systems.

Frequency of Cyber Threats

Description

2023

2022

2021

Brute Force Attack to Network Element (attempts)

366,732

9,579

125,949

Longest Duration in DDoS Attacks (minutes)

1,818

6,779

841

Largest Volume Used in DDoS Attacks (Gbps)

199.1

210.7

299.7

Defacement

-

-

-

Remarks:

Brute Force Attack

Process of finding a solution by continuously trying many possible variants of information such as password, deciphered, etc., randomly.

(reference:https://www.cybrary.it/glossary/d-the-glossary/distributed-denial-service-ddos/, https://www.cybrary.it/glossary/d-the-glossary/denial-of-service-attack/)

DDoS Attack

Distributed Denial of Service technique, an attack on a network or a machine to make it available to other or important user, which uses multiple host to carry out the attack.

(reference:https://www.cybrary.it/glossary/b-the-glossary/brute-force-attack/)

Defacement

Alteration or destruction of a Web page or Web site by an unauthorized individual or process, usually a hacker.

(reference:https://www.trendmicro.com/vinfo/us/security/definition/website-defacement)

The Company continues to commit to maintaining vigilance and security of information systems by increasing monitoring and prevention strategies to identify and quickly handle any potential threats to servers, and this is done to ensure system integrity and security are maintained.

Cybersecurity Testing for Vulnerability of Critical Systems

The Company carries out cybersecurity testing of critical systems. The testing is carried out by running a vulnerability assessment and penetration test. Testing is carried out periodically, quarterly, or semesterly. Apart from being carried out internally by the Company, third parties also conduct testing to ensure the objectivity of cyber security test results.

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SUSTAINABLE ECONOMIC VALUE CREATION

Throughout 2023, TelkomGroup recorded positive operational and financial performance. TelkomGroup's revenue reached Rp149,216 billion, experiencing an increase of 1,3% from the previous year, namely Rp147,306 billion. Compared with the RKAP target, business income reached 95,6% of the set target. From the revenue account minus the cost accounts, TelkomGroup managed to record a net profit of Rp24,560 billion, experiencing an increase of 18,3% compared to last year, which was recorded at Rp20,753 billion. This year's net profit reached 95,3% of the RKAP target.

Generated and Distributed Economic Value [201-1]

Description

2023

2022

2021

Rp billion

Income

149,216

147,306

143,210

Net profit

24,560

20,753

24,760

Contribution to Country*

42,217

43,098

49,894

Payment to Investor**

7,954

7,118

7,974

Payment to Creditor

40,071

48,368

48,166

Payment to Supplier and Partner***

53,679

45,559

44,811

Payment to Employee

13,833

13,195

13,660

Remarks:

*

Dividend contribution for 2023 uses the dividend figure for the 2021 Annual General Meeting of Shareholders which was held in 2023. The numbers for 2022 and 2021 are restated using the approach as above and as an improvement to the numbers in the 2022 Sustainability Report which are recorded at 44.007 for 2022 and 48.963 for 2021.

**

Payment to investor include dividend on public shares of the previous financial year paid out for that year.

***

Payment to supplier and partner for direct and indirect operational cost.

From generated economic value 2023, we record economic value distributed to stakeholder involved in TelkomGroup’s value chain. Our tax payment to the government in 2023 amounts to Rp22,850 billion. Realization of salary, benefit, and expenses for employee training amounted to Rp13,833 billion.  

Meanwhile, expenditures for suppliers and partners, including local parties, were recorded at Rp23,447 billion. Apart from being in the form of a community engagement and development program, Telkom's communication and broadband network has helped the community a lot to communicate in working, teaching-learning, and other activities that can provide benefits in the form of a multiplier effect in the digital economy segment. The distribution of economic value to the community is realized through community involvement and development activities with a total value of Rp20 billion. Until now, TelkomGroup has never received an unfavorable report or report of a conflict and potential conflict with the public that is critically related to the impact of product, service, and business processes that are carried out.

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RESPONSIBLE SUPPLY CHAIN [2-6]

One of the ethical business practices is realized from fair and transparent supply chain management. TelkomGroup also carries out supply chain management referring to the Procurement Implementation Guidelines. Each partner must sign an Integrity Pact containing a statement not to be involved in corrupt practices, price collusion, and conflicts of interest during each procurement process.

TelkomGroup Supply Chain

Graphic

We have implemented e-procurement through the SMILE application. The selection stage includes assessing the Quality, Cost, Delivery, and Service (QCDS) aspects. This policy is under Regulation of the Director of Finance and Risk Management regarding Supplier Management Guidelines, which regulates supplier evaluation by considering Quality, Cost, Delivery, and Service (QCDS) aspects. Apart from that, we also assess the ESG aspects of potential partners. We pay special attention to the policies and compliance of prospective partners in fulfilling integrity and socio-environmental elements, such as implementing a code of ethics, respecting human rights, implementing occupational safety and health (K3), and environmental management systems.

After establishing cooperation, Telkom evaluates supplier performance to ensure that a good, sustainable cooperative relationship is established and provides optimal benefits for both parties. The assessment process includes mandatory and optional aspects. This performance evaluation is a mitigation step against potential risks and aims to ensure no fraud or irregularities in the supply chain. The results of this evaluation will determine the risk level of working partners. If the risk is high, we will monitor and re-evaluate the work partner concerned.

In 2023, there was no blacklist action taken against partners who show poor performance based on evaluation results. We also note that no partner experienced termination of employment because they were deemed unable to complete their duties. On the other hand, by implementing the ESG aspect assessment in the TelkomGroup supply chain, we noted that no partners were involved in legal sanctions related to socio-environmental non-compliance.

73


Local Party Engagement [204-1]

The involvement of local parties, including local suppliers, can significantly contribute to supporting economic growth in Indonesia. Telkom is committed to prioritizing local suppliers in meeting the needs for procurement of goods and services and using components produced domestically. Local work partners or suppliers who are domiciled in Indonesia can support TelkomGroup's operations in various regions of the archipelago and help reduce environmental impacts, such as a lower carbon footprint compared to suppliers from abroad. Throughout 2023, Telkom collaborated with 99,01% or 730 local partners of the total 732 working partners, while foreign partners contribute 1%.

Domestic Component Level (TKDN)

As a State-Owned Enterprise (BUMN), TelkomGroup is committed to supporting increasing Domestic Content Levels (TKDN). However, in every procurement process carried out, the use of domestic products by TelkomGroup still considers the quality and economic financial aspects of the goods and services obtained. As of the end of 2023, TelkomGroup's TKDN achievement was recorded at around 37,66% of total Capital Expenditure (CAPEX) spending and 85,32% of total Operational Expenditure (OPEX) spending.

74



MEMBERSHIP IN ASSOCIATION

No.

National

Member

1.

Masyarakat Telematika Indonesia (MASTEL)

Telkom, Telkomsat, TelkomMetra, Infomedia, AdMedika, Mitratel, Telkomsel

2.

Asosiasi Kliring Trafik Telekomunikasi (ASKITEL)

Telkom, Telkomsel

3.

Asosiasi Penyelenggara Jaringan Internet Indonesia (APJII)

Telkom, Telkomsat, TelkomMetra, Telkomsel

4.

Asosiasi Telekomunikasi Seluruh Indonesia (ATSI)

Telkom, Telkomsel

5.

Indonesia Telecommunication Users Group (IDTUG)

Telkom

6.

Asosiasi Penyelenggara Pengiriman Uang Indonesia (APPUI)

Telkom, Finnet, Telkomsel

7.

Asosiasi Sistem Pembayaran Indonesia (ASPI)

Telkom, Finnet, Telkomsel

8.

Asosiasi Penyelenggara SKKL Seluruh Indonesia (ASKALSI)

Telkom

9.

Indonesia Mobile Content Association (IMOCA)

Telkom

10.

Asosiasi Televisi Swasta Indonesia (ATVSI)

Telkom

11.

Asosiasi Satelit Indonesia (ASSI)

Telkom, Telkomsat

12.

Forum Komunikasi Satuan Pengawas Internal (FKSPI)

Telkom

13.

Asosiasi Gabungan Pelaksana Konstruksi Nasional Indonesia (GAPENSI)

Graha Sarana Duta, Telkomsat, Mitratel

14.

Keanggotaan Green Building Council Indonesia (GBCI)

Graha Sarana Duta

15.

Keanggotaan Persatuan Perusahaan Real Estate Indonesia (REI)

Graha Sarana Duta

16.

Asosiasi Gabungan Rekanan Konstruksi Indonesia (GARANSI)

Graha Sarana Duta

17

Asosiasi Badan Usaha Jasa Pengamanan Indonesia (ABUJAPI)

Graha Sarana Duta

18.

Asosiasi Perusahaan Klining Servis Indonesia (APKLINDO)

Graha Sarana Duta

19.

Kamar Dagang dan Industri (KADIN)

Telkom, Graha Sarana Duta, Telkomsat, Infomedia, Nutech, AdMedika, Bosnet, Swadharma Sarana Informatika (SSI)

20.

Asosiasi Perawatan Bangunan Indonesia (APBI)

Graha Sarana Duta

21.

Asosiasi Kontraktor Ketenagalistrikan Indonesia (AKLINDO)

Graha Sarana Duta

22.

Asosiasi Pengelola Gedung Badan Usaha Milik Negara (APG BUMN)

Graha Sarana Duta

23.

Indonesia Cyber Security Forum (ICSF)

Telkom

24.

Asosiasi Inkubator Bisnis Indonesia (AIBI)

Indigo Creative Nation

25.

Asosiasi Perusahaan Nasional Telekomunikasi (APNATEL)

Telkom, Telkom Akses

26.

Asosiasi Perusahaan Teknik Mekanikal Elektrikal (APTEK)

Nutech, Swadharma Sarana Informatika (SSI)

27.

Asosiasi Perusahaan Pengadaan Komputer dan Telematik Indonesia (ASPEKMI)

Nutech, Infomedia, Swadharma Sarana Informatika (SSI), Telkomsat

28.

Asosiasi Pengusaha Indonesia (APINDO)

Infomedia

29.

Asosiasi Bisnis Alih Daya Indonesia (ABADI)

Infomedia

30.

Indonesia Contact Center Association (ICCA)

Infomedia

31.

Asosiasi Cloud Computing Indonesia

Telkomsigma

32.

Asosiasi Data Center Indonesia (IDPRO)

Telkomsigma

33.

Asosiasi PMOI (Project Management Office Professional Indonesia)

Telkomsigma

34.

Asosiasi Badan Usaha Jasa Pengamanan Indonesia (ABUJAPI)

Swadharma Sarana Informatika (SSI)

35.

Asosiasi Perusahaan Jasa Pengolahan Uang Tunai Indonesia (APJATIN)

Swadharma Sarana Informatika (SSI)

36.

Asosiasi Perusahaan dan Konsultan Telematika Indonesia (ASPEKTI)

Swadharma Sarana Informatika (SSI)

37.

Asosiasi Perusahaan Perdagangan Barang Distributor, Keagenan dan Industri (ARDIN)

Swadharma Sarana Informatika (SSI), Telkomsat

38.

Asosiasi Fintech (AFTECH)

Finnet, Telkomsel

39.

Asosiasi E-Commerce Indonesia (idEA)

Finnet

40.

Ikatan Ahli Ekonomi Islam Indonesia (IAEI)

Telkom

41.

Masyarakat Ekonomi Syariah (MES)

Telkom

42.

BUMN Muda

Telkom

43.

Business 20 (B20)

Telkom

44.

Forum Human Capital Indonesia (FHCI)

Telkom

45.

Asosiasi Pengembang Menara Telekomunikasi (ASPIMTEL)

Mitratel

46.

Asosiasi IoT Indonesia (ASIOTI)

Telkomsel

47.

Asosiasi Emiten Indonesia (AEI)

Telkom, Mitratel

48.

Himpunan Jasa Konstruksi Indonesia (HJKI)

Telkom Akses

49.

Ikatan Akuntan Indonesia (IAI)

Telkom

76


No.

National

Member

50.

Indonesia Corporate Secretary Association (ICSA)

Mitratel

51.

Cyber Defense Indonesia (CDEF ID)

Telkom, Telkomsel

No.

International

Member

1.

International Telecommunication Union (ITU)

Telkom

2.

International Telecommunications Satellite Organization (ITSO)

Telkom

3.

International Telecommunications Satellite (INTELSAT)

Telkom

4.

International Marine/Maritime Satellite (INMARSAT)

Telkom

5.

Asia Pacific Telecommunication (APT)

Telkom, Telkomsel

6.

Asia Pacific Economic Cooperation (APECTEL)

Telkom

7.

TM Forum

Telkom, Telkomsel

8.

ASEAN CIO Association (ACIOA)

Telkom

9.

Wireless Broadband Alliance (WBA)

Telkom

10.

The Institute of Certified Management Accountants

Telkom

11.

Asia-Pacific Satellite Communications Council (APSCC)

Telkomsat

12.

Asia Pacific Network Information Centre (APNIC)

Telkomsel

13.

Bridge Alliance

Telkomsel

14.

Global System for Mobile Communications Association (GSMA)

Telkomsel

15.

PMO Global Alliance (PMOGA)

Telkomsigma

16.

Pacific Telecommunications Council (PTC)

Telin

17.

Mobile Ecosystem Forum (MEF)

Telin

18.

International Cable Protection Committee (ICPC)

Telin

19.

The ITW Global Leader's Forum

Telin

20.

Information Systems Audit and Control Association (ISACA) Chapter Indonesia

Telkom

21.

Global Information Assurance Certification (GIAC) Advisory Board

Telkom

22.

International Information System Security Certification Consortium (ISC2)

Telkom

23.

International Association of Privacy Professionals (IAPP)

Telkom

77


GLOSSARY

3P + 1L

Pay for Person (according to the required competencies), Pay for Position (according to the level of responsibility and accountability), Pay for Performance (according to performance in achieving targets), and Pay for Location (according to the city of work location).

Backbone

The main communication network consisting of transmission and switching facilities that connect several network access nodes. The transmission network between node and switching facilities includes microwaves, submarine cables, satellites, optical fibers, and other transmission technologies.

Bandwidth

The capacity of a communication link.

Broadband

Signaling methods that include or handle relatively wide frequency ranges (or bands).

BTS

Base Transceiver Station, equipment that transmits and receives radio telephony signals to and from other telecommunication systems.

CPE

Customer Premises Equipment is a handset, receiver, set-top box or other device used by customers of wireless, fixed or broadband telecommunications services, which are the property of certain network operators and are placed at the customer's location.

Cyberattack

A cyberattack is deliberate of the exploitation of computer systems, technology-dependent enterprises, and networks. Cyberattack use malicious code to alter computer code, logic or data, resulting in disruptive consequences that can compromise data and lead to cybercrimes, such as information and identity theft.

Cyber Security Operation Center

Center for monitoring, detecting, and implementing response to information security incidents.

Dry Plant

ISP (In Side Plant) is a component or device in the Submarine Communication Cable System (SCCS) located in the waters / sea consisting of fiber optic cable, SLTE, DWDM, PFE, etc.

e-Commerce

Electronic Commerce, the buying and selling of products or services over electronic systems such as the internet and other computer networks.

Eduvice

The program was launched as a form of commitment to reducing electronic waste (e-waste).

ESG

Environmental, Social, and Governance is a set of operational standards that refer to three main criteria (environmental, social, and governance) in measuring the sustainability and impact of an investment in a company.

Fiber Optic

Cables that use optical fiber and laser technology where the reflected light representing data is sent through thin glass filaments.

FTTx

Fiber to the “X” is a collective term used to describe a wide selection of broadband network architectures that use fiber optics. One example of this architecture is FTTH or fiber-to-the-home, which is a fiber optic network from an Internet Service Provider (ISP) to a home or business location.

78


Gbps

Gigabits per second is the average number of bits, characters, or blocks per unit of time that moves between devices in the data delivery system. Usually measured in units of bits per second or bytes per second.

GraPARI

Telkomsel customer service center.

GRI

Global Reporting Initiative is an organization that sets internationally accepted Sustainability Reporting standards.

GRI Standards

GRI Standards or Global Reporting Initiative Standards are the highest international standards in preparing sustainability reports that regulate the mechanism of content writing and material disclosure.

IDX

The Indonesia Stock Exchange is one of the institutions in the capital market formed through a merger between the Jakarta Stock Exchange and the Surabaya Stock Exchange.

IoT

The Internet of Things (IoT) is the network of devices, vehicles, and home appliances that contain electronics, software, actuators, and connectivity which allows those things to connect, interact and exchange data.

ISO

The International Organization for Standardization (ISO) is an international standard setting body consisting of representatives from each country's national standardization bodies.

KPPU

The Business Competition Supervisory Commission or KPPU is an independent institution formed to oversee the implementation of Law No. 5 of 1999 regarding Prohibition of Monopolistic Practices and Unfair Business Competition.

LED

Light Emitting Diode is electronic components that can emit monochromatic light when forward voltage is applied.

Mbps

Megabits per second, a measure of speed for digital signal transmission expressed in millions of bits per second.

NPS

Net Promoter Score is a market research metric used by Telkom to find out the latest voice of customers, as input in improving customer experience. Thus, Telkom can ensure that the repairs are carried out correctly and customer satisfaction is well maintained.

NYSE

The New York Stock Exchange (otherwise known as the NYSE) is one of the stock exchanges in the United States where Telkom shares are listed, other than on the Indonesia Stock Exchange.

OJK

Otoritas Jasa Keuangan, or the Indonesian Financial Services Authority, the successor of Bapepam-LK, is an independent institution with authority to regulate and supervise financial services activities in the banking sector, capital market sector as well as non-bank financial industry sector.

OKR

An Objective and Key Results that is a framework in setting, communicating, executing and monitoring the achievement of effective and measurable targets/goals of an organization/company.

PINS

PINS or PT PINS INDONESIA is a company engaged in the trading of Customer Premises Equipment (CPE) and is a subsidiary of Telkom with shares of 100%.

SASB

Sustainability Accounting Standards Board (SASB) provides sustainability accounting standards for use by publicly listed corporations in the U.S. in disclosing material sustainability issues for the benefit of investors and the public.

SCCS

79


Submarine Communication Cable Systems are cables stretched under the sea between stations built on land to deliver telecommunication signals through submarines.

SDG

The Sustainable Development Goals (SDGs) are 17 goals with 169 measurable achievements and deadlines set by the United Nations as the world development agenda for the benefit of humans and planet earth.

Service Assurance

Services that guarantee optimal product performance through meeting certain quality standards to meet customer satisfaction.

Service Delivery

Services to fulfill customer needs in the form of products or solutions from Telkom accompanied by a guarantee of good delivery quality.

SIM Card

Subscriber Identity Module card is a stamp-sized smart card placed on a mobile phone that holds the key to the telecommunication service.

SLA

Service Level Agreement (SLA) which is an agreement between Telkom and customers regarding the level of service quality.

SMILE

Supply Management Information for Logistic Enhancement, an online web application (smile.telkom.co.id) for logistics management that provides solutions in managing work programs/projects in detail and easily.

SOE

State-Owned Enterprise, a government-owned corporation, state owned company, state-owned entity, state enterprise, publicly owned corporation, government business enterprise, or parastatal, a legal entity created by a government to undertake commercial activities on behalf of an owner government.

Switching

An electronic, electrical or mechanical device that opens or closes circuits, completes or stops electrical lines, or selects paths or circuits, used to direct traffic on telecommunications networks.

Wet plant

OSP (Out Side Plant) are components or devices in the Submarine Cable Communication System (SKKL) located in the waters/sea consisting of marine fiber optic cables, repeaters, equalizers, and branching units.

80


ABBREVIATION

Keyword

Description

3T

Tertinggal, Terdepan, Terluar

AI

Artificial Intelligence

AKHLAK

Amanah Kompeten Harmonis Loyal Adaptif Kolaboratif

ASKALSI

Asosiasi Kabel Laut Seluruh Indonesia

BBM

Bahan Bakar Minyak

BCMS

Business Continuity Management System

BLS

Basic Life Support

BTS

Base Transceiver Station

BUMN

Badan Usaha Milik Negara

CBA

Competency & Behavior Appraisal

CDC

Community Development Center

CDI

Customer Dissatisfaction Index

CID

Community Involvement Development

CIQS

Cable Implementation Quality System

CLI

Customer Loyalty Index

CO2

Carbon Dioxide

CPE

Customer Premises Equipment

CSI

Customer Satisfaction Index

CSR

Customer Social Responsibility

CSV

Creating Shared Value

DDoS

Distributed Denial of Service

DaPen

Dana Pensiun Telkom

DNA

Device, Network, Application

DPLK

Dana Pensiun Lembaga Keuangan

DRUPS

Diesel Rotary Uninterruptible Power Supply

Eduvice

Electronic Device Donation for Education

ESG

Environment, Social, and Governance

FWA

Flexible Working Arrangement

Gbps

Giga byte per second

GCG

Good Corporate Governance

GIS

Geographic Information System

GJ

Gigajoule

GraPARI

Graha Pari Sraya

GSD

Graha Sarana Duta

HAM

Hak Asasi Manusia

HR

Human Resource

HSE

Health, Safety, and Environment

ICT

Information & Comunication Technology

IDN

Indonesia Digital Network

IDX

Indonesia Stock Exchange

IEC

International Electrotechnical Commission

ILO

International Labor Organizational

IoT

Internet of Things

ISMS

Information Security Management System

ISO

International Organization for Standardization

ISP

In Side Plant

ITSMS

IT Service Management System

KPPU

Komisi Pengawasan Persaingan Usaha

LED

Light Emitting Diode

LTE

Long Term Evolution

Mbps

Mega bits per second

MSME

Micro Small Medium Enterprise

MTTR

Mean Time to Repair

NPS

Net Promoter Score

NYSE

New York Stock Exchange

OHSAS

Occupational Health and Safety Assessment Series

81


Keyword

Description

OJK

Otoritas Jasa Keuangan

OKR

Objective dan Key Result

OSH

Occupational Safety and Health

OSHMS

Occupational Safety and Health Management System

OSP

Out Side Plant

PAK

Penyakit Akibat Kerja

PD

Peraturan Direksi

PDAM

Perusahaan Daerah Air Minum

PDP

Perlindungan Data Pribadi

PKB

Perjanjian Kerja Bersama

POJK

Peraturan Otoritas Jasa Keuangan

PPIP

Program Pensiun Iuran Pasti

PPMP

Program Pensiun Manfaat Pasti

PR

Peraturan Perusahaan

PUE

Power Usage Effectiveness

QCDS

Quality, Cost, Delivery, dan Service

QMS

Quality Management System

RUPS

Rapat Umum Pemegang Saham

SASB

Sustainability Accounting Standards Board

SDGs

Sustainable Development Goals

SDM

Sumber Daya Manusia

SEKAR

Serikat Karyawan

SEPAKAT

Serikat Pekerja Telkomsel

SKATA

Serikat Karyawan Graha Sarana Duta

SKKL

Sistem Komunikasi Kabel Laut

SLA

Service Level Agreement

SLG

Service Level Guarantee

SMAP

Sistem Manajemen Anti Penyuapan

SMILE

Supply Management and Logictic Enchancement

SNI

Standar Nasional Indonesia

SOE

State-Owned Enterprise

SPIN

Serikat Pekerja Infomedia Nusantara

SPMD

Serikat Pekerja Metra Digital Media

TCU

Telkom Corporate University

TIQA

Telkom Integrated Quality Assurance

TJSL

Tanggung Jawab Sosial dan Lingkungan

TKDN

Tingkat Kandungan Dalam Negeri

TPB

Tujuan Pembangunan Berkelanjutan

UMP

Upah Minimum Provinsi

WBS

Whistleblowing System

WFO

Work From Office

YAKES

Yayasan Kesehatan

82


REFERENCE OF OJK REGULATION NO. 51/POJK.04/2017 AND OJK CIRCULAR LETTER NO. 16/SEOJK.04/2021

No Index

Index Name

Page

Sustainability Strategy

A.1

Elaboration on Sustainability Strategy

25

Summary of Sustainability Aspect Performance

B.1

Economic Aspects

16

B.2

Environmental Aspects

16

B.3

Social Aspects

16

Company Profile

C.1

Vision, Mission, and Values of Sustainability

15

C.2

Company's Address

5

C.3

Enterprise Scale

15-16

C.4

Products, Services, and Business Activities

14

C.5

Membership in Association

21, Appendix

C.6

Significant Changes in Issuers and Public Companies

15

The Board of Directors' Explanation

D.1

The Board of Directors' Explanation

6-13

Sustainability Governance

E.1

Responsible for Implementing Sustainable Finance

23-24

E.2

Competency Development Related to Sustainable Finance

53

E.3

Risk Assessment of the Implementation of Sustainable Finance

28-29

E.4

Relations with Stakeholders

62

E.5

Problems with the Implementation of Sustainable Finance

28-29,

Sustainability Performance

F.1

Sustainable Culture Development Activities

36

Economic Performance

F.2

Comparison of targets to performance of production, portfolio, financing targets or investments, revenue, as well as profit and loss

72

F.3

Comparison of target to performance of portfolio, financing target or investments in financial instruments or projects in line with the implementation of Sustainable Finance

-

Environmental Performance

General Aspect

F.4

Environmental Costs

-

Material Aspect

F.5

Use of Environmentally Friendly Materials

36, 39-41

Energy Aspect

F.6

Amount and Intensity of Energy Used

38-39

F.7

Efforts and Achievements of Energy Efficiency and Use of Renewable Energy

40

Water Aspect

F.8

Water usage

41

Aspects of Biodiversity

F.9

Impacts from Operational Areas that are Near or Located in Conservation Areas or Have Biodiversity

41

F.10

Biodiversity Conservation Efforts

41

Emission Aspect

F.11

Total and Intensity of Emissions Generated by Type

41

F.12

Efforts and Achievements of Emission Reduction Made

36-38

Waste and Effluent Aspects

F.13

Amount of Waste and Effluent Generated by Type

42-43

F.14

Waste and Effluent Management Mechanism

42-43

F.15

Occurring Spills (if any)

Irrelevant

Complaint Aspects Related to the Environment

F.16

Number and Material of Environmental Complaints Received and Resolved

65

83


No Index

Index Name

Page

Social Performance

F.17

Commitment to Provide Services on Equal Products and/or Services to Consumers

44-48

Employment Aspect

F.18

Equal Employment Opportunity

49-50

F.19

Child Labor and Forced Labor

49

F.20

Regional Minimum Wage

51

F.21

Decent and Safe Work Environment

54

F.22

Employee Capability Training and Development

53-54

Community Aspect

F.23

Impact of Operations on Surrounding Communities

57-58

F.24

Community Complaints

65

F.25

Corporate Social Responsibility (CSR)

57-60

Responsibility for Sustainable Product/Service Development

F.26

Innovation and Development of Sustainable Financial Products/Services

Irrelevant

F.27

Products/Services That Have Been Evaluated for Safety for Customers

44

F.28

Product/Service Impact

65-71

F.29

Number of Product Recalls

42

F.30

Customer Satisfaction Survey on Sustainable Financial Products and/or Services

48

Others

G.1

Written Verification from Independent Party (if any)

5

G.2

Feedback Sheet

88

G.3

Responses to Feedback on the Previous Year's Sustainability Report

5

G.4

List of Disclosures in Accordance with Financial Services Authority Regulation No. 51/POJK.03/2017 regarding the Implementation of Sustainable Finance for Financial Services Institutions, Issuers, and Public Companies

83-84

84


GRI CONTENT INDEX

Statement of Use

PT Telkom Indonesia (Persero) Tbk has reported the information cited in this GRI content index for the period January 1 to December 31, 2023 with reference to the GRI Standards.

GRI 1 Used

GRI 1: Foundation 2021

GRI Standard

Indicators

Disclosure

Location

GRI 2: General Disclosures 2021

2-1

Organizational details

14-15

2-2

Entities within the organization’s sustainability reporting

5

2-3

Reporting period, frequency, and contact

5

2-4

Restatements of information

5

2-5

External assurance

5

2-6

Activities, value chain and other business relationships

14-15, 73

2-7

Employees

48

2-8

Workers who are not employees

2-9

Governance structure and composition

23

2-10

Nomination and selection of the highest governance body

2-11

Chair of the highest governance body

23

2-12

Role of the highest governance body in overseeing the management of impacts

23

2-13

Delegation of responsibility for managing impacts

23

2-14

Role of the highest governance body in sustainability reporting

23

2-15

Conflicts of interest

61

2-16

Communication of critical concerns

Annual Report

2-17

Collective knowledge of the highest governance body

Annual Report

2-18

Evaluation of the performance of the highest governance body

Annual Report

2-19

Remuneration policies

Annual Report

2-20

Process to determine remuneration

Annual Report

2-21

Annual total compensation ratio

Annual Report

2-22

Statement on sustainable development strategy

25

2-23

Policy commitments

25, 31

2-24

Embedding policy commitments

25

2-25

Processes to remediate negative impacts

23, 28, 31

2-26

Mechanisms for seeking advice and raising concerns

Annual Report

2-27

Compliance with laws and regulations

25, 62

2-28

Membership associations

21, Appendix

2-29

Approach to stakeholder engagement

62

2-30

Collective bargaining agreements

GRI 3: Material Topics 2021

3-1

Process to determine material topics

26

3-2

List of material topics

26

3-3

Management of material topics

26, 31

GRI 201: Economic Performance 2016

201-1

Direct economic value generated and distributed

72

201-2

Financial implications due to climate change

65

201-3

Defined benefit plan obligations and other retirement plans

51

GRI 203: Indirect Economic Impacts 2016

203-1

Infrastructure investment and services supported

66

203-2

Significant indirect economic impact

57

GRI 204: Procurement Practices 2016

204-1

Proportion of spending on local suppliers

74

GRI 205: Anti-corruption 2016

205-1

Operations assessed for risks related to corruption

64

205-2

Communication and training about anti-corruption policies and procedures

64

205-3

Confirmed incidents of corruption and actions taken

65

85


GRI Standard

Indicators

Disclosure

Location

GRI 206: Anti-competitive Behavior 2016

206-1

Legal actions for anti-competitive behavior, anti-trust, and monopoly practices

64

GRI 302: Energy 2016

302-1

Energy consumption within the organization

38, 40

302-2

Energy consumption outside of the organization

38

302-3

Energy intensity

38

302-4

Reduction of energy consumption

39-40

GRI 303: Water and Effluents 2018

303-5

Water consumption

41

GRI 305: Emissions 2016

305-1

Direct (Scope 1) GHG emissions

41

305-2

Energy indirect (Scope 2) GHG emissions

41

305-5

Reduction of GHG emissions

41

GRI 306: Waste 2020

306-2

Management of significant waste-related impacts

42

306-3

Waste Generated

42

GRI 401: Employment 2016

401-1

New employee hires and employee turnover

49

401-2

Benefits provided to full-time employees that are not provided to temporary or part-time employees

51

401-3

Parental leave

51

GRI 403: Occupational Health and Safety 2018

403-1

Occupational health and safety management system

54

403-2

Hazard identification, risk assessment, and incident investigation

54

403-3

Occupational health service

55

403-4

Worker participation, consultation, and communication on occupational health and safety

56

403-5

Worker training on occupational health and safety

56

403-6

Promotion of worker health

55

403-7

Prevention and mitigation of occupational health and safety impacts linked by business relationships

55

403-8

Workers covered by an occupational health and safety management system

54

403-9

Work-related injuries

54

403-10

Work-related ill health

54

GRI 404: Training and Education 2016

404-1

Average hours of training per year per employee

53

404-2

Programs for upgrading employee skills and transition assistance programs

51, 53

404-3

Percentage of employees receiving regular performance and career development reviews

51

GRI 405: Diversity and Equal Opportunity 2016

405-1

Diversity of governance bodies and employees

50

405-2

Ratio of basic salary and remuneration of women to men

51

GRI 2016 Non-discrimination 2016

406-1

Incidents of discrimination and corrective actions taken

56

GRI 413: Local Communities 2016

413-1

Operations with local community engagement, impact assessments, and development programs

57

GRI 418: Customer Privacy 2016

418-1

Customer complaints related to customer privacy and loss of customer data

67

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SASB INDEX

Telecommunication Industry

Code

Description

Page(s)

Activity Metric

TC-TL-000.A

Number of wireless subscribers

44

TC-TL-000.B

Number of wireline subscribers

44

TC-TL-000.C

Number of broadband subscribers

44

TC-TL-000.D

Network traffic

15, 46

Environmental Footprint of Operations

TC-TL-130a.1

Total energy consumed, percentage grid electricity, percentage renewable energy

40

Data Privacy

TC-TL-220a.1

Description of policies and practices relating to behavioral advertising and customer privacy

67

TC-TL-220a.2

Number of customers whose information is used for secondary purposes

67, 69

TC-TL-220a.3

Total amount of monetary losses as a result of legal proceedings associated with customer privacy

67

TC-TL-220a.4

Number of law enforcement requests for customer information, number of customers whose information was requested, percentage resulting in disclosure

69

Data Security

TC-TL-230a.1

Number of data breaches, percentage involving personally identifiable information (PII) and number of customers affected

67

TC-TL-230a.2

Description of approach to identifying and addressing data security risk, including third-party cybersecurity standards

67

Product end-of-Life Management

TC-TL-440a.1

Materials recovered through take back programs, percentage of recovered materials that are (a) reused, (b) recycled, and (c) landfilled

42

Competitive Behavior & Open Internet

TC-TL-520a.1

Total amount of monetary losses as a result of legal proceedings associated with anti-competitive behavior regulations

64

TC-TL-520a.2

Average actual sustained download speed of owned and commercially associated content and non-associated content

45

TC-TL-520a.3

Description of risks and opportunities associated with net neutrality, paid peering, zero rating, and related practices

-

Managing Systemic Risks from Technology Disruption

TC-TL-550a.1

System average interruption frequency and customer average interruption duration

65

TC-TL-550a.2

Discussion of systems to provide unimpeded service during service interruptions

65-66

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FEEDBACK FORM

FEEDBACK FORM OF PT TELKOM INDONESIA (PERSERO) TBK 2023 SUSTAINABILITY REPORT

Thank you for reading our Sustainability Report. To improve the quality of future Sustainability Report, we want to provide you with feedback by completing the following form:

Questions

1.In your opinion, this Sustainability Report has provided information on various activities implemented by PT Telkom Indonesia (Persero) Tbk.

SA

A

M

D

SD

2.In your opinion, the material in this Sustainability Report includes data and information are easily understood.

SA

A

M

D

SD

3.In your opinion, the material in this Sustainability Report includes data and information are sufficiently complete.

SA

A

M

D

SD

4.In your opinion, the material in this Sustainability Report includes data and information are accountale and can be valid.

SA

A

M

D

SD

Notes:

SA: Strongly Agree A: Agree M: Moderate D:Disagree SD:Strongly Disagree

5.In your opinion, what information do you feel was useful in this Sustainability Report?

a. …………………………………………………………………………………………………………………...........………………………

b. ……………………………………………………………………………………………………………………………………………………

c. …………………………………………………………………………………………………………………………………………………….

6.In your opinion, what information do you feel was not useful in this Sustainability Report?

a. …………………………………………………………………………………………………………………...........………………………

b. ……………………………………………………………………………………………………………………………………………………

c. …………………………………………………………………………………………………………………………………………………….

7.In your opinion, this information in this Sustainability Report is well presented, design, and layout, whit suitable photographs?

a. …………………………………………………………………………………………………………………...........………………………

b. ……………………………………………………………………………………………………………………………………………………

c. …………………………………………………………………………………………………………………………………………………….

8.In your opinion, what information was missing or incomplete and should be included in the future Sustainability Report?

a. …………………………………………………………………………………………………………………...........………………………

b. ……………………………………………………………………………………………………………………………………………………

c. …………………………………………………………………………………………………………………………………………………….

Your Profile

Full name: ………………………………………………………………………

Age and Sex: ............  Yrs M/F (cross the unnecessary ones)

Institution / Company: ………………………………………………………………………………

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NGOPublicOther

Please send back this form to:

Investor Relations

Telkom Landmark Tower Lantai 39

Jl. Jend. Gatot Subroto Kav. 52

Jakarta, 12710, Indonesia

Tel: (62-21) 521 5109

Fax: (62-21) 522 0500

email: investor@telkom.co.id

website: www.telkom.co.id

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