Jakarta, INTI - PT Semen Indonesia (Persero) Tbk. (SIG) continues to accelerate its decarbonization efforts amid industry demands to reduce carbon emissions. SIG Corporate Secretary Vita Mahreyni stated that Environmental, Social, and Governance (ESG) principles have become integral to the company's business strategy and are no longer viewed merely as a means to meet regulatory obligations.
"The application of ESG principles serves as the foundation for SIG's business operations. This commitment stems from the recognition that ESG is not just about regulatory compliance, but represents a future competitive advantage for the company," said Vita in an official statement on Sunday, August 16, 2026.
This commitment is reflected in the reduction of greenhouse gas (GHG) emission intensity achieved by the company. SIG's Scope 1 emission intensity has dropped by 21% compared to the 2010 baseline, while Scope 2 emissions have decreased by 15% compared to the 2019 baseline.
Increased Use of Alternative Fuels
These emission reductions have been driven by various strategies, including increased use of alternative fuels, utilization of renewable energy, waste heat optimization, and the development of low-carbon cement products.
Throughout 2025, SIG's use of alternative fuels rose by 24% to 681,000 tons. This volume is equivalent to a reduction in coal consumption of up to 467,000 tons and contributed to raising the thermal substitution rate (TSR) to 9.77%.
The alternative fuels used by SIG come from diverse sources, ranging from industrial waste and biomass to municipal waste processed into refuse-derived fuel (RDF).
Green Cement Production
SIG also develops green cement with a lower carbon footprint. SIG's green cement products generate up to 38% fewer carbon emissions than conventional cement while still meeting quality standards for their intended applications.
These efforts are considered crucial because the cement industry is both energy-intensive and a significant source of carbon emissions. Consequently, SIG's emission reduction strategy targets not only plant operations but also encompasses product innovation.
Renewable Energy Utilization
SIG is also increasing its use of cleaner energy sources by installing solar panels at several operational units. Additionally, the company employs Waste-Heat Recovery Power Generation (WHRPG) technology to convert waste heat from the production process into electrical energy.
The use of alternative fuels and renewable energy, alongside improved energy efficiency, forms part of SIG’s long-term strategy to reduce its carbon footprint.
To ensure the consistent execution of its sustainability agenda, SIG has established the Sustainability Roadmap 2030 as a framework for defining its sustainability strategies, indicators, and targets. Implementation of the roadmap is overseen by a Sustainability Committee to ensure that ESG aspects are integrated into business management.
“These achievements motivate SIG to continue accelerating the sustainability targets set out in the Sustainability Roadmap 2030,” said Vita.
Conclusion
SIG is accelerating its decarbonization agenda by integrating ESG principles into its long-term business strategy. These efforts have reduced Scope 1 emission intensity by 21% relative to the 2010 baseline and Scope 2 intensity by 15% relative to the 2019 baseline. The emission reductions have been driven by increased use of alternative fuels and the utilization of renewable energy and Waste-Heat Recovery Power Generation (WHRPG) technology.
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