TAGS:
Sustainability / Natural Solutions
Chandra Asri has successfully obtained the International Sustainability and Carbon Certification (ISCC).
With the attainment of ISCC, Chandra Asri's facilities are certified to meet the standards for processing bio-feedstock into bio-based products, such as Bio-Propylene, Bio-Ethylene, Bio-Crude C4, and Bio-Pygas.
Creating a Closed-loop System
This accomplishment also supports Chandra Asri's efforts in transitioning towards more sustainable alternative raw material utilization.
Bio-based raw materials have a lower carbon footprint since they come from plants that have absorbed carbon from the atmosphere. This process balances the carbon dioxide released during production with the carbon absorbed during plant growth, resulting in a closed-loop system that reduces greenhouse gas emissions.
ESG & Sustainability director Chandra Asri, Phuping Taweesarp stated, “
By obtaining the ISCC certification, we are confident in exploring opportunities through our bio-feedstock utilization plan as an alternative raw material. This proactive approach aims to limit carbon emissions and reduce our operational impact on the environment. By adopting bio-based raw materials, we create possibilities for downstream chemical industry partners to collaborate with us in developing a green chemical industry ecosystem, thereby fulfilling our sustainability commitments.”
In addition to obtaining the ISCC certification for its bio-based products, Chandra Asri's commitment to sustainability has also had a significant impact on the Company's ESG risk ratings. Over the past year, Chandra Asri has achieved an increase in its MSCI rating from BB to BBB.
Supporting Government's Decarbonization Efforts
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Chandra Asri's efforts to obtain the ISCC certification and improve its ESG ratings affirm our dedication as a business partner who runs business and operations sustainably," Phuping continued.
Chandra Asri had previously explored the potential for a partnership with PT Nippon Shokubai Indonesia (NSI) to maximize asset footprint, core competencies, and technologies capabilities in creating a new green supply chain at the Chandra Asri and NSI plants in Cilegon, including the production of bio-based products.
This partnership will support the Government's decarbonization efforts, Long-Term Low Carbon Climate Resilience (LTS-LCCR) strategy for Indonesia in 2050, and the ambitions of Indonesia's Enhanced Nationally Determined Contribution (ENDC).
It is also aligned with Chandra Asri's Environmental, Social, and Governance (ESG) framework, known as 'R.E.S.P.O.N.S.I.B.L.E' which serves as the company's sustainability strategy in integrating risks and opportunities to create sustainable chemical business practices and infrastructure solutions.
Furthermore, the Company has successfully maintained its status as a 'Low Risk' Company according to Sustainalytics, with a reduction in its ESG risk rating from 17.7 to 16.6. Chandra Asri's stock continues to be listed in the IDX ESG Leaders, as announced by the Indonesia Stock Exchange.
Source: Chandra Asri