Corporate Governance


Good Corporate Governance is absolut in every business activities of MedcoEnergi to increase Company performance in the domestic and global electricity market.

The implementation of Corporate Governance of the highest standards is the commitment of the Board of Commissioners, Board of Directors, and employees of MedcoEnergi and it's subsidiaries. The principles of Good Corporate Governance, namely transparancy, accountability, responsibility, independence, and fairness are ambedded within the corporate values of MedcoEnergi and have become the Corporate Culture of the Company.

 

The implementation of Corporate Governance is one of the primary keys in achieving MedcoEnergi's Vision to become the "Energy Company of Choice" for the investors, shareholders, partners, employees and communities. With the implementation of Corporate Governance of the highest standards, MedcoEnergi has been able to increase its competitiveness and won the trust of various stakeholders, including shareholders, employees, local communities and governments, the central government, and even foreign partners or the governments of other nations in which the Company operates.

In implementing Corporate Governance, MedcoEnergi always ensures the proper management of competent human resources, risk management and its mitigation, prudent financial management, compliance to prevailing laws and regulations, and avoids conflicts of interest.

In line with the commitment of the Board of Commisioners and Board of Directors to continuously enhance the implementation of Corporate Governance of the highest standards, the Company strives to strengthen the function of internal control, among other things by maximizing the roles and duties of committees, in addition to applying the compliance function that is supported by the activities of both internal and external auditors.

In line with the commitment of the Board of Commisioners and Board of Directors to continuously enhance the implementation of Corporate Governance of the highest standards, the Company strives to strengthen the function of internal control, among other things by maximizing the roles and duties of committees, in addition to applying the compliance function that is supported by the activities of both internal and external auditors.

In addition, with the publication of the Guidelines of Good Coporate Governance and Code of Conduct in early 2009, the Board of Commissioners and Board of Directors of MedcoEnegi and subsidiaries continue to foster Good Corporate Governance so that it will be even more embedded in the Corporate Culture of MedcoEnergi. To that end, several internalization programs have been and will continue to be undertaken until the year 2011.

The implementation of Corporate Governance at MedcoEnergi is undertaken pursuant to the Republic of Indonesia Law No. 40 of 2007 on Limited Liability Company, the Republic of Indonesia Law No. 8 of 1995 on the Capital Markets, the Articles of Association of the Company, Regulations of the Indonesian Capital Markets an Financial Institution Supervisory Agency (Bapepam-LK Regulations), Regulations of the Indonesia Stock Exchange (IDX Regulations), and other laws and regulations applicable to MedcoEnergi's businesses. In addition, we also adopt the Principles of Corporate Governance introduced by the Organization for Economic Cooperation and Development (OECD), and the General Guideline on Good Corporate Governance in Indonesia (Indonesian GCG Guideline).