SIG Wins ESG Award 2026, Scope 1 Emission Intensity Drops 21 Percent
PT Semen Indonesia (Persero) Tbk (SIG) has won the ESG Award 2026 from the KEHATI Foundation, following its success in reducing Scope 1 greenhouse gas emission intensity by 21 per cent compared to the 2010 baseline. SIG Corporate Secretary Vita Mahreyni stated that the implementation of environmental, social, and governance (ESG) principles is achieved through the use of alternative fuels, cleaner energy, and the development of low-carbon cement. ‘The implementation of ESG principles is the foundation for SIG in running its business operations,’ Vita said in an official statement received in Jakarta on Friday.
The award was presented in the Capital Market sector for the Listed Company category. Minister of Environment/Head of the Environmental Control Agency Mohammad Jumhur Hidayat handed the award to SIG’s Pgs Group Head of Strategic Growth and ESG, Muhammad Taqiyuddin. Throughout 2025, SIG recorded a 24 per cent increase in the use of alternative fuels, reaching 681,000 tonnes. These fuels are derived from industrial waste, biomass, and municipal solid waste processed into refuse-derived fuel (RDF).
Vita explained that the use of alternative fuels is equivalent to reducing coal consumption by up to 467,000 tonnes and pushed the thermal substitution rate (TSR) to 9.77 per cent. The company also utilises solar panels at several operational units and Waste-Heat Recovery Power Generation (WHRPG) technology to convert waste heat from the production process into electricity. These various efforts contributed to the 21 per cent reduction in Scope 1 emission intensity compared to 2010, while Scope 2 emissions fell by 15 per cent compared to the 2019 baseline. Scope 1 covers direct emissions from sources owned or controlled by the company, whereas Scope 2 covers indirect emissions from purchased energy such as electricity.
On the product side, SIG is developing green cement using lower-carbon materials and production processes. The company claims these green cement products have carbon emissions up to 38 per cent lower than conventional cement, while still meeting applicable quality standards. Vita explained that the decarbonisation and ESG efforts are guided by the company’s Sustainability Roadmap 2030, which sets out strategies, indicators, and sustainability targets. ‘To ensure consistent ESG implementation, SIG has a Sustainability Roadmap 2030 that serves as a reference for setting strategies, indicators, and sustainability targets,’ she said.
The ESG Award by KEHATI was initiated by the KEHATI Foundation in 2023 to promote ESG implementation and sustainable investment development. In 2026, the award covers four scopes: Capital Market, Impact Investment, Debt & Project Financing, and Best Facilitator. In addition to this award, SIG recorded a 2025 ESG Rating from Sustainalytics with a Medium Risk predicate and a score of 25. The company also achieved a score of 49 on the S&P Corporate Sustainability Assessment (CSA) and S&P ESG Rating. Vita said the company will continue its efforts to achieve sustainability targets and develop low-carbon building material solutions. ‘All these achievements motivate SIG to further accelerate the sustainability targets set in the Sustainability Roadmap 2030, while strengthening the company’s contribution to realising sustainable development in Indonesia,’ Vita concluded.