SCG's green transition effort recognized at the Golden Dragon Awards

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SCG has been consistently recognized by the Golden Dragon Awards for its efforts to embed ESG into operation towards a Net Zero society

SCG ranked among the Top 10 Outstanding FIEs at the Golden Dragon Awards 2023-2024, reaching a new milestone towards sustainable development.
SCG ranked among the Top 10 Outstanding FIEs at the Golden Dragon Awards 2023-2024, reaching a new milestone towards sustainable development.

For the third consecutive year, SCG has won the prestigious Golden Dragon Award 2023-2024, which recognizes 50 outstanding foreign-invested enterprises (FIEs) in Vietnam for their green transformation efforts. The award also marked the first time SCG made its debut in the top 10 outstanding FIEs, as well as underscored how focused SCG is on implementing ESG practices to advance Vietnam’s Net Zero roadmap.

Given that the imperative to address climate change has become more urgent, the Vietnamese government remains resolute in its 2050 Net Zero commitment made at COP26. Accordingly, the government has approved the National Green Growth Strategy 2021–2030 with a vision to 2050, outlining specific goals related to greenhouse gas emission reductions across key areas from transport to agriculture and infrastructure.

Meanwhile, the government is working on its legal framework to attract the green finance required to fund climate change adaptation projects. Last year, the long-awaited Power Development Plan VIII (PDP8) was also issued to facilitate Vietnam’s energy transition, with a target of renewable electricity generation accounting for 31-39%[1] of total generation by 2030.

As the leading sustainable conglomerate in ASEAN, SCG is fully aware of its role in collaborating with Vietnamese policymakers and businesses to achieve common goals. One of the remarkable initiatives is the annual Vietnam Circular Economy Forum, organized by the Ministry of Natural Resources and Environment, SCG, and other key stakeholders.

At the forum, SCG swapped ideas and discussed top-notch ESG strategies aimed at trimming down environmental impact, enhancing social welfare, and bolstering corporate governance. This, in turn, aids in pushing forward Vietnam's Nationally Determined Contribution (NDC) towards achieving the Net Zero target by 2050.

At the enterprise level, SCG has accompanied its subsidiaries to gravely pursue the ESG 4 Plus strategy with a vision to achieve Net Zero emissions and go green. Specifically, in the cement and building materials industry, the installation of waste heat recovery systems at SCG Cement’s factories helps reduce 70,000 tons of CO2 a year.

Likewise, PRIME Group, a subsidiary of SCG, has increasingly sourced green energy from biomass and solar power to run its factories, which significantly slashes greenhouse gas emissions from production.

Another subsidiary, Vina Kraft Paper, under the packaging arm of SCG, has used over 95% of its fibrous raw material intake from recycled or waste paper to produce eco-friendly products, thereby contributing to environmental protection and resource conservation.

Notably, Long Son Petrochemicals (LSP), a subsidiary of SCG Chemicals (SCGC), has invested $100 million in cutting-edge eco-friendly technologies for its integrated petrochemicals complex in Ba Ria-Vung Tau. These include a clean, low-carbon combustion technology for boilers and reactors to ensure clean air.

Meanwhile, a wastewater treatment system is equipped with an online monitoring system to release wastewater in line with standards. Another noteworthy feature is a ground flare and closed-loop system, the first of its kind in Vietnam.

This system does not emit smoke, light, heat, or noise. All of these measures aim to minimize the complex’s environmental impact and carbon footprint throughout all phases of operation.

LSP applied green innovations to minimize environmental impact at every stage of its production process.
LSP applied green innovations to minimize environmental impact at every stage of its production process.

“ESG 4 Plus serves as a framework for SCG and our subsidiaries to seamlessly integrate environmental, social, and governance considerations into our operations, aligning with shared objectives", Mr. Praween Wirotpan, General Director of SCG Vietnam, said.

Thus, we can not only tackle challenges amidst the volatile environment but also play a role in accelerating Vietnam's transition to a low-carbon economy more sustainably”, he added.

As a pioneer in ESG, SCG has a critical role to play in stepping up national collaboration and group action. That’s why SCG not only joins forces with the public and private sectors, or next generations to achieve a shared vision but also mobilizes its subsidiaries to implement ESG 4 Plus changes in every area of their operations, which is also called the “Passion for Inclusive Green Growth" direction of SCG.

These efforts are a strong testament to SCG's commitment to supporting Vietnam to move into a Net Zero society.

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