Implementation Analysis of Corporate Social Responsibility (CSR) in Alleviating Poverty at Oil-Rig Location (Case study in Rahayu Village, Soko Sub-District, Tuban Regency)

In: Asian journal of humanities and social studies: AJHSS, Band 6, Heft 4

Abstract

Oil and gas sectors have become important elements in the economy of Indonesia . The question now is, what can be done by private owned company which has the advantage of very large exploration to overcome poverty? Can corporate social responsibility programs or Corporate Social Responsibility ( CSR ) become one important solution in reducing poverty? Joint Operating Body Pertamina Petrochina East Java (JOB-PPEJ) JOB P-PEJ operational activities gave rise to the Flare (fire hot) which directly impact on the environment override Rahayu village, the site of its formation. Therefore, it is the duty of the company to carry out CSR programs through the estate as a form of social and environmental responsibility especially in Rahayu village in order to realize sustainable development in the village. In this study , researchers used a type of descriptive research methods with qualitative approach. In conclusion, 1) The implementation of CSR programs in the JOB - PPEJ had already a positive impact or benefit to society in particular Rahayu Village. 2) CSR programs aimed at tackling the problem of poverty is not a top priority. So that the rural poor have not been so feel real economic impact on their lives. 3) The success implementation of CSR program JOB - PPEJ is influenced by several supporting and inhibiting factors. The supporting factors to the success implementation of CSR programs in improving the economic standard RTSM around oil drilling sites are the amount of funds allocated by the company for these and other programs that will be implemented . While the factors that hinder the CSR program in improving the economic standard RTSM around oil drilling sites is the lack of proper coordination between the company, the village and the poor.