Building CSR profile the right way in Sabah


Petroliam Nasional or Petronas received billions of net profit every year. Just the first quarter of 2011, Petronas net profit jumped 48.6% to RM21.7 billion for the first quarter ended on June 30 from RM14.6 billion last year.

So now Petronas got loads of money, what do they do with the profit?

Well, a big part of it are sent to the federal government, granted that they have already given Sabah state government the 5% profit beforehand. They also using the profit to engage in CSR activities.

CSR or Corporate Social Responsibility is an expression used to describe what some see as a company’s obligation to be sensitive to the needs of all of the stakeholders in its business operations. Each and every company had their main focus area in CSR, leveraging their social investments aligned with their business strategies.In getting the image of a socially responsible corporate, Petronas had their specific programme, one of it most notably to me, the Petronas Scholarship Award.

This award was meant to establish a distinct & sustainable contribution in the area of Education & Capability Building. This goes certain people who meet the desired criteria for it. Other CSR include Educational Outreach, Sponshrship & Donations for community, environment, health etc. The latest CSR activity by Petronas was done in Labuan; according to the news, Petronas commited RM53,000 for turtle conservation at Pulau Kuraman, one of three islands gazetted as a marine park.

In a recent news report by BERNAMA, Sabah Assistant Minister of Youth and Sports Datuk Jahid Jahim, has urged Petronas to enhance and intensify its CSR programme, in an angle that can help the hardcore poor in the state. I strongly agreed to what he said, instead giving help in terms of education and conservation, they must also look into the plight of our local people.

Those who are homeless, jobless and lack the neccessary basic amenities are the ones who really needed help. By focusing the hardcore poor local people as their CSR main target, it can benefit them both. Petronas can boost their image by being known sensitive to issues of people in the state of Sabah, and the hardcore poor people get their deserved help.


This is what I hope Petronas would look into, starting off with the Sabah Oil and Gas Terminal (SOGT), being built in Kimanis. These days I’ve been keen to know the latest updates on Oil & Gas industry in Sabah, hoping that one day all of local Sabahan get out completely from poverty and relinquish the title “poorest state in Malaysia”.






Obviously, Petronas’ commercial presence helps provide business opportunities for the people in Sabah ~ Datuk Jahid Jahim to BERNAMA

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4 Responses

  1. Rose Ragai says:

    I am working as an CSR Officer. But still, i am confused what is actually CSR in Malaysia? What is the real approach of CSR internationally?

    Giving away donations in terms of money, infrastructure and other material things? Or more to the ground roots?

    "Teach them how to fish rather than give them the fish?" The survivorship in the modernization?

    I don't have all the answers because i am getting confused and now i am not sure which and what to believe?

  2. Rungitom says:

    Hi Rose,

    "Teach me how to fish" is the best words. How would you describe the best way of one company practicing CSR? I'm keen to know from your point of view.

  3. Anonymous says:

    ok… good for the govt to ask companies like petronas to help the poor. lots of companies are helping the poor in sabah, lots of NGOs and charities.

    but since when is it Petronas' and other NGOs' responsibility to look after the poor in Sabah? Isn't it the governments?

    they are already helping in education and environment… so where's our thanks to those efforts?

  4. Rungitom says:

    Since they raked out all of our resources thanks to the Petroleum Development Act (PDA) 1974, it is very fair that they give some appreciation back to the locals. Enough with the education sponsorship, only a few will get the benefit. Giving support in terms of job opportunity and local company support in Vendor Development Programme (VDP)

    Government can do the same thing, but with CSR, they can focus on certain groups and deliver help efficiently, correct me if I'm wrong, but that is how I see it.

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