Community Development and Empowerment Program

Implementing social responsibility, also known as Corporate Social Responsibility (CSR), is the company's operational responsibility for the company's decisions taken. Companies are faced with obstacles, disturbances and constraints in the form of the emergence of conflicts. In reality, companies can operate optimally and sustainably if supported by a conducive atmosphere both from the internal and external environment.  This description emphasizes more on the external of the company related to the conducive atmosphere. The implementation of CSR can potentially be an effort to obtain a license to operate from the local community, as well as part of the company's risk management to reduce or avoid social conflict. In addition, CSR also has the potential to give the company a distinctive, good, and ethical image in the eyes of the public; and can create customer loyalty.

Corporate Social Responsibility or PPM has become a new obligation of business standards that must be met (ISO 26000 on Social Responsibility) so that the demands of the business world become increasingly clear on the importance of CSR programs for the sustainability of company operations. National and Aceh Provincial regulations related to corporate social responsibility, CSR or PPM are based on Law No. 11/2006 on the Government of Aceh, which is specifically regulated in Article 159 of the LoGA which states the obligation for mining companies to prepare community development funds. In addition, there are also other legal products that serve as the basis for the implementation of corporate social responsibility, such as Law No. 40/2007 and Government Regulation No. 47/2012 on Social and Environmental Responsibility (CSR). In Article 1 paragraph 3 of Law Number 40 of 2007 concerning Limited Liability Companies, the limitation of TJSL is: "the company's commitment to participate in sustainable economic development in order to improve the quality of life and the environment that is beneficial, both for the company itself, the local community, and society in general". The legal basis for PT Mifa Bersaudara's CSR implementation refers to the following regulations:

• Law Number 11 of 2006 on the Government of Aceh;
• Law Number 26 of 2007 on Spatial Planning;
• Law Number 40 of 2007 on Limited Liability Companies;
• Law Number 4 of 2009 on Minerals and Coal;
• Law Number 11 of 2009 on Social Welfare;
• Government Regulations number 23 of 2010 on the Implementation of Mineral and Coal Mining Business Activities (Articles 106 - 109, Article 111);
• Government Regulations number 55 of 2010 on the Guidance and Supervision of the Implementation of Mineral and Coal Mining Business Management;
• Government Regulations number 47 of 2012 on Social and Environmental Responsibility of Limited Liability Companies;
• Regulations of the Minister of Energy and Mineral Resources Number 13 of 2016 on Organization and Work Procedures of the Ministry of Energy and Mineral Resources;
• Regulations of the Minister of Energy and Mineral Resources Number 41 of 2016 concerning Community Development and Empowerment in Mineral and Coal Mining Business Activities;
• Qanun Number 11 of 2013 on Social Welfare;
• West Aceh Qanun Number 10 of 2015 on Corporate Social and Environmental Responsibility;
• Aceh Qanun Number 12 of 2002 on general mining, petroleum and natural gas, CHAPTER XIV on Partnership and Community Development. (Article 28, Article 29, Article 30);