PHR Pays IDR 80.2 Trillion to the State and Becomes One of the Largest Taxpayers in Indonesia

Source Company Press Release
Company Pertamina
Tags Corporate: Overview/Strategy, Country: Indonesia
Date December 31, 2023

As part of the State-Owned Enterprises (SOE), PT Pertamina Hulu Rokan (PHR), a Sub-holding of  Pertamina in the Sumatra Region focusing on Upstream operations, is committed to enhancing the country's revenue through its operational and production activities. Until 2023, PHR has paid IDR 80.2 trillion to the state, positioning itself as one of the largest tax-paying companies in Indonesia.

Vice President of Finance of PHR, Hendra A Ghifari, mentioned that since its establishment on December 20, 2018, and entrusted to manage the Rokan Working Area (WA) on August 9, 2021, PHR has made total contributions to the state amounting to IDR 80.2 trillion. This contribution reflects PHR's responsibility for its performance in supporting the nation's energy.

"From the beginning, we committed ourselves to conduct responsible business practices, ethical, showcase the company's financial strength, and compliance with tax regulations. This further demonstrates our sound financial management and commitment to good corporate governance," said Hendra.

Hendra added that the contributions to the state include state revenue, Income Tax (PPh) Article 21, PPh Article 23, PPh Article 4 paragraph 2, and PPh Article 15. They also include Value-Added Tax (VAT) for Mandatory Collection, Domestic VAT, Corporate Income Tax, Local Taxes, and Land and Building Tax (PBB). As of 2023, PHR has contributed IDR 80.2 trillion to the state.

In recognition of the tax compliance and responsibility shown through these contributions, PHR has been awarded several accolades by the Ministry of Finance and local governments where PHR operates. Among these, the Tax Award 2023 from the Regional Office of the Directorate General of Taxes Jakarta Special (Kanwil DJP Jaksus) acknowledges PHR's commitment to responsible business practices by being one of the largest tax-paying companies in Indonesia.

At the regional level, PHR received the Tax Award from the Bengkalis Pratama Tax Office for its Participation and Contribution to Supporting Tax Revenue at the Bengkalis Pratama Tax Service Office in 2022 and for Participation and Contribution to the Timely Submission of Individual Taxpayer Annual Income Tax Returns in 2022. PHR Rokan WA also achieved the 1st Best position for Groundwater Tax in 2022 from the Mayor of Dumai.

Moreover, PHR WK Rokan was honored with the Pekanbaru Tax Award 2023 for its contribution to complying with local tax payments and was titled compliant in the Street Lighting Tax category, directly conferred by the Acting Mayor of Pekanbaru, Muflihun.

"We are honored to receive these tax awards. They encourage us to continue delivering the best company performance, which can positively impact the nation's revenue. These awards further strengthen PHR's position as a company consistently fulfilling the country's financial needs, in addition to fulfilling the national energy requirements," explained Hendra.

Vice President of Corporate Communication of Pertamina, Fadjar Djoko Santoso, stated that Pertamina not only provides revenue to the state through dividends but also contributes taxes, as exemplified by PHR, showcasing the company's tax compliance and contribution to the country.

"Pertamina is the largest SOE contributing to the state revenue, comprising taxes, dividends, non-tax state revenue (PNBP), State Share of Crude Oil and/or Condensate, and signature bonuses," said Fadjar.

Pertamina, as a leading company in the energy transition, is committed to supporting the Net Zero Emission 2060 target by continuously promoting programs that directly impact the Sustainable Development Goals (SDGs) achievement. All these efforts align with Environmental, Social, and Governance (ESG) implementation across all Pertamina's business lines and operations.*

Source: EvaluateEnergy® ©2024 EvaluateEnergy Ltd