CSR TRANSFORMATION TOWARD ESG AND ITS CONTRIBUTION TO SDGs IN THE ENERGY TRANSITION ERA

Abstract

The global shift from Corporate Social Responsibility (CSR) toward Environmental, Social, and Governance (ESG) practice, together with Indonesia's commitment to the Just Energy Transition Partnership (JETP), requires state-owned energy enterprises to reframe their community programs beyond charity toward measurable sustainability contribution. This study analyzes the transformation of CSR programs at PT PLN UPDK Bakaru into ESG-based practice, maps program contribution to the Sustainable Development Goals (SDGs), and measures program effectiveness using the Social Return on Investment (SROI) approach. The research employs a sequential explanatory mixed-methods design. Qualitative data are collected through in-depth interviews with company management, program officers, beneficiaries, and community leaders, then analyzed with the Miles-Huberman interactive model. Quantitative analysis maps existing programs into an ESG matrix aligned with the GRI Standards and calculates SROI following the six stages of The SROI Network. The findings demonstrate that reframing UPDK Bakaru's programs within an integrated ESG-SDGs framework reveals significant asymmetry across the three ESG pillars, with the Social pillar dominant and the Environmental and Governance pillars underdeveloped. The SDG mapping identifies strategic gaps on SDG 7 and SDG 13, while the SROI analysis of the Business Capital Assistance program yields a ratio of 1:2.37, indicating positive social return. The study contributes to the CSR-ESG literature in state-owned renewable-energy enterprises and offers a replicable analytical framework for other generation units within the PLN Group.