Implementation Of Corporate Social Responsibility By PT Asia Forestama Raya In Rumbai Pesisir District Of Pekanbaru City Based On Regional Regulation Of Riau Province #6 OF 2012

Suhendro, Suhendro (2019) Implementation Of Corporate Social Responsibility By PT Asia Forestama Raya In Rumbai Pesisir District Of Pekanbaru City Based On Regional Regulation Of Riau Province #6 OF 2012. Russian Journal of Agricultural and Socio-Economic Sciences (RJOAS), 9 (93). pp. 274-284. ISSN 2226-1184

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Abstract

Article 11 of Regional Regulation of Riau Province Number 6 of 2012 stated that the corporate social responsibility could be implemented in the fields of education, health, infrastructure, sports and culture, social and religion, environmental preservation, community economic enterprises, empowerment of indigenous peoples, as well as other fields that bring significant impacts on improving the quality of society. This research focuses on two problems namely(1) How is the implementation of corporate social responsibility of PT Asia Forestama Raya in improving the economy of the community based on Regional Regulation of Riau Province Number 6 of 2012? (2) What are the obstacles in the implementation and how are the efforts to overcome these obstacles? This research employed socio-legal research method. The results of this research indicated that PT Asia Forestama Raya did not implement corporate social responsibility to empower the economy of the community in the District of Rumbai Pesisir, Pekanbaru City. Based on the company’s point of view, the obstacles in the implementation were the unstable financial condition of PT Asia Forestama Raya which made them fail to implement a community economic empowerment program for three years. From the point of view of the community, the obstacle was the lack of knowledge regarding Regional Regulation of Riau Province Number 6 of 2012. Further, the government had not implemented adequate supervision of the corporate social responsibility implementation by PT Asia Forestama Raya. Efforts to overcome these obstacles were based on Article 32 of Regional Regulation of Riau Province Number 6 of 2012 which stated that if PT Asia Forestama Raya did not implement corporate social responsibility, then the company may be subject to administrative sanctions in the form of written warnings from the Pekanbaru City Government as well as restrictions on business activities, suspension of business licenses, and revocation of business licenses.

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