Jakarta, xx March 2025 – Reducing greenhouse gas (GHG) emissions is one of the key pillars in realizing the Indonesia Emas 2045 vision, with a target of achieving net zero emissions. The government has set a goal to reduce GHG emission intensity by 93.5% by 2045 compared to 2010 levels. To achieve this, several key strategies must be implemented, including accelerating the green economic transformation, developing renewable energy solutions, ensuring sustainable waste management, rehabilitating natural ecosystems, and enhancing human resource capabilities in green technology and sustainable practices. In 2024, Indonesia successfully reduced emissions by 147.61 million tons of CO₂, surpassing the target of 142 million tons of CO₂. This achievement is a testament to Indonesia’s strong commitment to building a greener and more sustainable future.
SCG, a leading regional business, is committed to helping reduce GHG emissions in Indonesia. As a company focused on ESG (Environmental, Social, and Governance) practices, SCG has developed various innovations across products, business operations, and programs that have a significant impact on environmental conservation and sustainability. These efforts are guided by the ESG 4 Plus business principles, which encompass achieving Net Zero, creating green products and industries (Go Green), reducing social inequality (Reduce Inequality), and fostering collaboration (Embrace Collaboration), with fairness and transparency as the foundation of all operations.
Warit Jintanawan, Country Director PT SCG Indonesia stated, “For three decades of operations in Indonesia, SCG has continuously brought innovations in the infrastructure, chemical, and packaging sectors to support sustainable growth. As a strategic market for the company, we prioritize reducing greenhouse gas emissions in Indonesia. With our regional expertise in ESG, we believe that sustainability not only drives business growth, but also creates a positive impact on society.”
SCG‘s Breakthroughs in Driving ESG Growth in Indonesia
In 2024, SCG introduced sustainability-driven business innovations, focusing on solutions that positively impact the environment. From the development of alternative energy sources and eco-friendly products to transition programs toward a low-carbon society, SCG remains committed to driving sustainable change. These initiatives align with the company’s vision of achieving Net Zero by 2050 across all its operational regions. Below are SCG’s key ESG initiatives throughout 2024.
- Increase the Use of Alternative Fuels
SCG continues to innovate in utilizing eco-friendly alternative fuels across its business sectors, including the cement industry. In 2024, SCG successfully increased the use of alternative fuels by 45% for its cement business in Thailand. In Indonesia, SCG has implemented various renewable energy technologies in its operations. Through PT Semen Jawa and PT Tambang Semen Sukabumi, SCG has adopted Alternative Fuel and Alternative Raw Material (AF/AR) technology, utilizing 5,000 tons of alternative materials such as rice husks, sawdust, and wood chips as energy sources. This initiative enables alternative fuels to contribute up to 20% of the plant’s total fuel consumption, aligning with SCG’s commitment to more sustainable operations. Additionally, the company has installed solar panels with a capacity of 1,410 kWp, supplying 2% of the plant’s total electricity needs.
Additionally, SCG is set to launch PT SCG Cleanergy to support Indonesia’s renewable energy transition. As a leading investor and developer of clean energy, SCG Cleanergy introduces innovations such as the Rondo Heat Battery (RHB), which converts solar and wind energy into heat without carbon emissions, and Smart Grid Technology, a clean energy solution for companies with limited resources.
- Prioritizing Environmentally Friendly Products
SCG announced that total revenue from SCG Green Choice products reached 275.6 million baht, accounting for 54% of the company’s total revenue. The sales of these eco-friendly cement products also contributed to a reduction of 950,000 tons of CO₂ emissions. This achievement reflects SCG’s commitment to delivering sustainable products. Through its subsidiary, SCG Distribution and Retail Indonesia, SCG recorded an increase in green cement sales in Indonesia in 2024, driven by its two flagship products: Semen SCG and Bezt Eco Friendly Cement. This growth is supported by innovative eco-friendly products that have been certified with the Green Label by the Green Product Council Indonesia (GPCI) and SCG Green Choice, a global-scale internal certification recognizing products that comply with ISO 14021 standards.
- Empowering Communities with Environmentally Friendly Program
In 2024, SCG successfully empowered 24,543 individuals through various corporate social responsibility (CSR) initiatives, including career development programs, educational assistance, and public health improvements across its operational areas. One of SCG’s flagship programs, SCG Sharing the Dream, is one of the prime examples from the company that plays a key role in empowering Indonesia’s younger generation. Since 2012, SCG has awarded scholarships to 4,460 high school and university students in Indonesia. To date, the company has disbursed over IDR 20,000,000,000 in scholarships, particularly benefiting students residing in its operational areas. With the theme “Green Generation”, SCG awarded scholarships to 410 students in 2024, consisting of 400 high school students and 10 university students. This year, SCG will continue the SCG Sharing the Dream program, reaffirming its commitment to nurturing the nation’s future leaders.
Additionally, the company initiated the Gerakan Desa Berdikari (GESARI) program, a community capacity-building initiative established in 2019. Through this program, SCG supports Micro, Small, and Medium Enterprises (MSMEs) by providing financial assistance, collaborating with local governments and relevant government agencies, offering training, mentorship, as well as business guidance and evaluation. To date, the GESARI program has allocated over IDR 1,700,000,000 to selected MSMEs, positively impacting 684 individuals across Indonesia.
- Hosting an ESG Discussion Forum
SCG successfully hosted an ESG discussion forum through the ESG Symposium 2024, presenting 4 proposals to the Thai government to accelerate the transition toward a low-carbon society. In Indonesia, SCG also organized the ESG Symposium 2024 Indonesia on November 19, 2024, at The St. Regis Jakarta, South Jakarta. Under the theme Inclusive Green Growth for Golden Indonesia, the event welcomed over 600 participants, including government representatives, partners, media, academic institutions, and customers. Through this initiative, SCG aims to provide a collaborative platform for stakeholders to drive economic growth while ensuring environmental and social sustainability, aligning with Indonesia’s Golden Vision 2045 and Net Zero Carbon 2060 targets.
Through all of these breakthroughs, SCG reaffirms its commitment to advancing an ESG framework that supports Indonesia’s vision, particularly in green economic transformation and greenhouse gas (GHG) emission reduction efforts.
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Tentang SCG
SCG merupakan pemimpin bisnis regional dengan lini bisnis utama; Cement & Green Solutions, Smart Living, Decor, Distribution & Retail, Packaging, Chemicals, Cleanergy (Clean Energy), Logistics, Deep Technology & Digital, dan Investment. SCG berupaya menjawab kebutuhan yang beragam dari pelanggan melalui kemitraan kolaboratif dan pengembangan produk, layanan, dan solusi yang inovatif.
SCG memulai operasi bisnis di Indonesia sejak 1992 dengan membuka perdagangan dan secara bertahap mengembangkan investasinya dalam bisnis yang berbeda pada industri semen, bahan bangunan, bahan kimia, dan kemasan. Hingga hari ini, SCG memiliki total 37 perusahaan di seluruh Indonesia dengan lebih dari 7.000 karyawan.
Untuk informasi lebih lanjut, hubungi:
Amanda Utari
Brand and Communications Assistant Manager – PT SCG Indonesia
Phone: +6281110689798, Email: amandadwi@scg.com