Monitoring and evaluation of follow-up of the implementation

1 93 Commissioners concerned. The result of performance evaluation is a tool of assessment as well enchancement of the Board of Commissioners effectiveness.. G. SUPPORTING ORGAN OF THE BOARD OF COMMISSIONERS

1. Committees of The Board of Commissioners

In carrying out the supervisory task and advisory functions, the Board of Commissioners is obliged to form an Audit Committee and other committees. 193 The established Committees have duties relating to the supervisory function of Board of Commissioners which includes but not limited to the aspect of the internal control system, remuneration and nomination functions for the Board of Directors and Board of Commissioners, the application of risk management and implementation of principles of good corporate governance in accordance with the regulations.

a. The Audit Committee

The Audit Committee works collectively in carrying out their duties to assist the Board of Commissioners. The Audit Committee is independent, either in the executing their duties or in reporting, and is directly responsible to the Board of Commissioners. 194 Duties of the Audit Committee: 195 1 Assisting the Board of Commissioners to ensure the effectiveness of internal control systems and the effectiveness of the implementation of the tasks of the External Auditor and the Internal Auditor. 2 Assessing the implementation of the activities and results of audits either by the Internal Auditor IA or by the External Auditor, therefore any non-standard implementation and reporting can be avoided. 193 Regulation of the Minister of SOE No. PER-12MBU2012 Article 2 194 Regulation of the Minister of SOE No. PER-12MBU2012 Article 1 195 Regulation of the Minister of SOE No. PER-12MBU2012 Article 13 93 CHAPTER I INTRODUCTION CHAPTER II BOARD OF DIRECT ORS BOD CHAPTER III BOARD OF COMISSIONERS BOC CHAPTER IV ACTIVITY AMONG COMP ANY’S ORGAN CHAPTER V CLOSING 1 94 3 Providing recommendations on the improvement of the Companys management control system and its implementation. 4 Ensuring there has been a satisfactory evaluation of procedures on any information released by the Company, including brochures, periodic financial statements, projections forecasts and other financial innovation. 5 Identifying matters which require the attention of the Board of Commissioners. 6 Carrying out other tasks assigned by the Board of Commissioners as long as it is still within the scope of duties and responsibilities of the Board of Commissioners under the provisions of the prevailing legislation. The Audit Committee also has the task of reviewing the proposed candidates of the External Auditor submitted by the Company, who has met the criteria as established by the Company and submitted to the GMOS. Further arrangements related to provisions of Audit Committee are listed in the Audit Committee Charter.

b. Risk Management, Investment Good Corporate Governance Committee

The Risk Management, Investment Good Corporate Governance Committee RMIG is established by the Board of Commissioners as the embodiment of the establislhment of other committees under the Board of Commissioners. Duties of RMIG Committee: 1 Perform evaluation, supervision, and providing recommendations towards the development, the policy, and the implementation of the Company’s Risk Management, especially the Company’s priority risk. 2 Perform evaluation, supervision, and providing recommendations towards strategic policy, planning and realization of the Company investment that exceeds certain value or considered to have strategic value for the Company. 94