SMGR Cuts Coal by 467,000 Tonnes, Alternative Fuel Usage Surges 24 Percent
JAKARTA, KOMPAS.com – PT Semen Indonesia (Persero) Tbk (SMGR) recorded a significant increase in the utilisation of alternative fuels throughout 2025, in line with the company’s efforts to strengthen a more environmentally friendly energy transition.
The alternative fuels used come from industrial waste, biomass, to urban waste processed into refuse-derived fuel (RDF). Throughout last year, its utilisation surged 24 percent to 681,000 tonnes, equivalent to a reduction in coal consumption by up to 467,000 tonnes.
SMGR Corporate Secretary, Vita Mahreyni, said the increase also drove the thermal substitution rate up to 9.77 percent.
According to her, this step is part of the company’s commitment to preserving the environment through the implementation of integrated Environmental, Social, and Governance (ESG) principles in its business strategy.
“Through various strategic initiatives, SIG (SMGR) proves that sustainability performance can run in tandem with business performance, even strengthening the company’s operational resilience,” Vita said in a press release on Monday (27/4/2026).
On the other hand, SMGR also expanded the use of clean energy through the installation of solar panels at various operational units and the utilisation of Waste-Heat Recovery Power Generation (WHRPG) technology to convert waste heat into electricity.
These efforts contributed to a decrease in GHG emission intensity. Recorded, Scope 1 emissions fell 21 percent compared to the 2010 baseline, while Scope 2 emissions dropped 15 percent compared to the 2019 baseline.
In the mining sector, the company also implements sustainable practices through post-mining land reclamation. Up to 2025, the company has reclaimed 628 hectares of land spread across various operational areas.
This commitment received recognition from the government through six PROPER Hijau 2025 awards from the Ministry of Environment and Forestry, achieved by several cement plants operated by SMGR and its subsidiaries.
Going forward, SIG affirms it will continue to accelerate the transformation of the building materials industry through a more efficient, innovative approach that is responsible to the environment.