SCG Named among Top 50 Outstanding FIEs, Honored as Pioneer in ESG Practices

At the 2023 Golden Dragon Awards, SCG was recognized as a Top 50 exceptional Foreign Invested Enterprises (FIEs) in Vietnam and honored as a “Pioneer in ESG Practices”. Co-hosted by the Ministry of Foreign Affairs, VnEconomy - Vietnam Economic Times, and the Da Nang City People's Committee. This recognition reflects SCG's commitment to ESG practices and contribution to Vietnam's sustainable development journey towards green growth.

“During the last three decades of our operation in Vietnam, SCG has always been striving to contribute to the local economy and society. This recognition is an encouragement for us to keep on our passion for better, and to play an active role in the sustainable development of Vietnam. As such, it is also an honor for SCG to be recognized as a “Pioneer in ESG practices”. ESG (Environmental - Social - Governance) strategy is our core direction amidst global disruption, to remain sustainable and resilient to create shared values for all stakeholders. We believe this strategy will continue to be the compass for SCG and the business community to navigate through challenges, into a prosperous future for all.”, said Mr. Praween Wirotpan, General Director of SCG Vietnam.

Since its inception in Vietnam, SCG has contributed to enhancing Vietnam’s economic growth through its business excellence in three primary areas: Cement-Building Materials (CBM), Chemicals (SCGC), and Packaging (SCGP). The company's subsidiaries have not only provided products and services that cater to the market's dynamic demand, but also contributed significantly to the local economy by implementing ESG for business. SCG's flagship project Long Son Petrochemical Complex (LSP), a subsidiary of SCGC, is currently underway and aims to begin commercial operations this year. This long-term investment hopes to create a springboard for the petrochemical industry in Vietnam by lessening the need of importing and increasing product competitiveness and improving the quality of life for people in Vietnam.    

As a “Pioneer in ESG Practices”, SCG and its subsidiaries have been thoroughly applying ESG strategy in operations, following the ESG 4 Plus framework that the group rolled out in 2021. The framework focuses on “Set Net Zero – Go Green – Reduce Inequality – Embrace Collaboration” and harnessing good governance operations.

SCG's commitment to the ESG framework is evident in the incorporation of advanced green technologies and innovations into their business operations. Samples of ESG practices recently were the implementation of the Solvent Recycling System across all factories of Tin Thanh Packaging Joint Stock Company - BATICO, member of SCGP, which reduces external waste solvent disposal and reuses recycled solvents in production. The CBM business is also advancing cement products to Greenchoice standards. Those products apply the Waste Heat Recovery (WHR) system and utilize emissions generated from production, helping to reduce 72,000 tons of CO2/year, replacing clinker in fly ash cement production reduces 43,000 tons of CO2 per year. At LSP, the complex is designed using advanced environmentally friendly technology. One of highlight examples is the first enclosed ground flare (EGF) in Vietnam. This system combusts excess gas inside the chamber cleanly and efficiently by eliminating smoke and minimizing noise and visible flame compared to the conventional elevated flare system. Besides, at LSP complex, we have preserved 24.3 ha of mangrove plantation, which can help absorb 418 tons of carbon dioxide per year.

Moreover, the company also fosters collaborations across sectors in Vietnam toward a green goal. SCG was amongst the first enterprises to join hands with the Ministry of Natural Resources and Environment (MONRE) in Vietnam to kick off the National Action Plan on Circular Economy, as well as being a member of Public Private Collaboration (PPC) towards Circular Economy in plastic waste management in Vietnam together with MONRE, SCGC, DOW Vietnam and Unilever Vietnam to put the country’s aim for Net Zero emissions into action. It also pioneers educating and engage local youngsters in ESG actions via exciting campaigns such as ESG Idea Pitching Contest, SCGP Packaging Speak Out “Packaging Design Contest by SCGP”

Besides, SCG is making a relentless effort to improve the lives of communities where it operates. The corporate’s flagship program SCG Sharing the Dream scholarship has given educational opportunities to more than 5000 students nationwide across 15 years. Various projects have been undertaken at different localities during Covid-19 and beyond, to ensure the well-being and livelihood of the communities.

The multi-dimensional efforts of SCG serve as a prime example for other businesses to devise long-term strategies and strive to promote sustainable values, paving the way for a shared prosperous future.

Van Luong (Vietnam Business Forum)