Assessing SDG-Aligned CSR Programs for Community Welfare Empowerment: Evidence from Indonesia’s Oil and Gas Sector Bengkalis Regency

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Bengkalis— Bengkalis Oil and Gas CSR Aligned with SDGs, but Impact Remains Uneven. Research conducted by Rinto and Emerita Siti Naaishah Hambali from the Islamic University of Malaysia, and Dr. Hainnur Aqma Rahim from the Mara Technology University. This article was published in the International Journal of Management Analytics (IJMA), Vol. 4 No. 1, January 2026.

The research conducted by Rinto, Emerita, and Dr. Hainur Aqma Rahim revealed that corporate social responsibility (CSR) programs in the oil and gas sector in Bengkalis Regency, Riau, are considered to be aligned with the Sustainable Development Goals (SDGs), but their implementation still faces challenges in terms of sustainability and equitable distribution of benefits.

Why Bengkalis Matters

Bengkalis Regency is one of Indonesia’s major oil-producing areas. The oil and gas industry plays a significant role in the local economy and contributes substantially to regional revenue. However, strong industrial activity has not automatically translated into better living standards for local communities.

Socio-economic data show persistent challenges such as poverty, inequality, unemployment, and environmental vulnerability. At the same time, energy companies have implemented various CSR initiatives in education, health, economic empowerment, and environmental protection. The key question is whether these programs truly match local development priorities and contribute meaningfully to sustainable development.

Main Findings: Strong Alignment, Weak Institutionalization

The study shows a shared understanding among corporate actors, academics, and civil society that SDGs have become the main reference framework for CSR design and implementation in Bengkalis.

PHR’s CSR programs mainly focus on:

Clean water and sanitation facilities
Health services and stunting prevention
Educational support
MSME empowerment
Vocational training
Environmental initiatives

Conceptually, CSR is no longer viewed merely as charity. Instead, it is increasingly framed as a strategic tool for creating shared value between companies, local governments, and communities.

However, the researchers identified several persistent weaknesses:

Unequal distribution of program benefits
Limited long-term sustainability
Weak impact-based evaluation systems
Insufficient multi-stakeholder coordination

Rinto and his colleagues argue that CSR–SDG integration in the oil and gas sector is still transitional. Although strategic orientation exists, it has not been fully embedded in governance systems, performance indicators, and institutional accountability mechanisms.

Aligning CSR with Regional Development Plans

Further analysis shows that Bengkalis’ development strategy operates under two main planning frameworks:

RPJMD 2025–2029 (Medium-Term Development Plan)
RPJPD 2025–2045 (Long-Term Development Plan)

The RPJMD prioritizes social capacity building, especially in health, education, and partnerships. Meanwhile, the RPJPD focuses on long-term structural transformation, including environmental sustainability, infrastructure, governance, and economic diversification.

For oil and gas companies, this means CSR should not function independently. Instead, social programs must be synchronized with both medium- and long-term regional development priorities.

According to the study, effective CSR in Bengkalis requires three essential conditions:

Locally grounded planning aligned with SDG targets
Robust monitoring and evaluation systems
Inclusive collaboration among companies, governments, academics, and communities

Without these elements, CSR risks becoming administrative compliance or reputation management rather than a genuine empowerment instrument.

Broader Implications for Indonesia’s Energy Sector

The findings are relevant for other extractive regions across Indonesia. Oil, gas, and mining operations often face social conflict and environmental pressure. Aligning CSR with SDGs and public policy frameworks can strengthen companies’ social license to operate and improve institutional legitimacy.

From a broader perspective, the study calls for a fundamental shift in how CSR is practiced in the extractive sector: from symbolic compliance toward impact-based and sustainability-oriented governance.

The integrated CSR–SDG model examined in Bengkalis may serve as a reference for other resource-rich regions seeking to balance economic growth with social justice and environmental protection.

Author Profile

Rinto_Universitas Islam Malaysia
Emerita Siti Naaishah Hambali_Universitas Islam Malaysia
DR Hainnur Aqma Rahim_Universitas Teknologi Mara

Research Source

Rinto, Hambali, E. S. N., & Rahim, H. A. (2026). The Role of SDG-Oriented CSR in Strengthening Community Welfare in Bengkalis Regency. International Journal of Management Analytics (IJMA), Vol. 4 No. 1

DOI:https://doi.org/10.59890/ijma.v4i1.304 URL: https://dmimultitechpublisher.my.id/index.php/ijma