Nestle accelerates sustainability journey via biomass boiler
Reflecting its strong ESG commitment, Nestle Malaysia has taken a pivotal step towards further reducing its carbon footprint with the start of operation of a biomass boiler servicing the needs of its Chembong factory in Rembau, Negeri Sembilan.
Established in 1993 and expanded in 2019 to meet growing local and regional demand, the Chembong factory is Nestle’s largest Milo plant in the world.
With a 100% Malaysian manufacturing workforce, it is also an important production centre for other key brands such as Kit Kat, Nestle ice cream and Koko Krunch.
Products manufactured there are halal-certified and exported to more than 20 countries worldwide.
The biomass boiler started operations at the end of last year and utilises oil palm empty fruit bunches and palm kernel shell as renewable energy sources.
It replaces fossil fuels to generate steam used for heating processes in its manufacturing operations.
This approach is part of a natural carbon cycle and does not contribute to long-term carbon emissions, making it carbon neutral.
This innovative solution significantly reduces net CO2 emissions compared to fossil fuels and it aids in the reduction of other greenhouse gases.
It is projected to significantly decrease the factory’s greenhouse gas emissions by 14,000 tonnes of CO2e annually, while minimising pollution, reducing landfill waste, and preserving valuable natural resources.
The biomass boiler was developed and installed by Enco Systems Sdn Bhd, a total boiler solutions provider, entailing an investment of RM18 million.
“Driving meaningful change and sustainable development requires a collective effort, with both the public and private sectors playing a role,” Negeri Sembilan Menteri Besar Datuk Seri Utama Aminuddin Harun said.
“As such, I laud forward-thinking companies such as Nestle that are going the extra mile to champion sustainability in their business by taking proactive measures to minimise their carbon footprint.
“This aligns with the state government’s shared values of environmental stewardship and responsible economic growth.”
Nestle Malaysia CEO Juan Aranols said: “We are honoured to celebrate the incredible 30-year journey of our Chembong factory with the official launch of this important sustainability investment.
“This initiative enables us to make significant progress towards our environmental goals, namely the reduction of our carbon footprint as a responsible manufacturer but also allows us to positively impact the Chembong community and honour our commitment to the environment.”