Circular Economy

Why It Matters
 
Rising concerns over plastic pollution are driving global momentum towards a circular economy, alongside stricter regulations on plastics and packaging. As an integrated chemical producer, PCG is dedicated to driving the transition from a linear to a circular model, prioritising sustainability at every step. Our initiative in this area is essential for alignment with global and national policies and promoting environmental responsibility.
 
On top of this, we are also actively exploring other opportunities for lower-carbon solution and carbon dioxide utilisation as well as bio-based chemicals as an alternative to fossil based products, guided by our enhanced sustainable portfolio.
 
 
Our Approach
 
We continue to pursue innovative and collaborative solutions via our New Plastic Economy (NPE) agenda, focusing on four workstreams – infrastructure, innovation, education and clean-up. These are executed via strategic partnerships and collaborations with various stakeholders, including waste management concessionaires, recyclers, technology providers and the communities where we operate. Through these initiatives, we strive to improve the recyclability of plastic materials and regenerate end-of-life plastic into valuable materials.
 
PCG is also a member of The Plastics Sustainability Working Group, which provides a strong platform to collectively tackle plastic waste issues in Malaysia together with government agencies, industry and non-governmental organisations. 
Innovation

Innovation

Transforming plastic waste into high-quality circular polymers through partnerships with technology providers, while collaborating with customers on sustainable product innovations.
Infrastructure

Infrastructure

PCG collaborated with waste management companies to unlock the value of Malaysia’s plastic waste ecosystem. We partnered with feedstock suppliers and pre-treatment tollers to fast-track the development of innovative waste recovery and segregation technologies. These initiatives not only support capital projects, but also play a crucial role in tackling plastic pollution.
Education

Education

Impart knowledge and education on plastic to address misconception and promote change in behaviour and culture.
 
We do this via our Plastic, Sustainability & You Education (PSYE) initiative, as well as Be Green, our flagship social impact programme (PSYE and Be Green are covered more here).
 
Primary School

The Plastic, Environment and You in Bahasa Malaysia

The Plastic, Environment and You in English

The Plastic, Environment and You in Mandarin

The Plastic, Environment and You in Tamil

 
Secondary School

The Plastic, Sustainability and You in Bahasa Malaysia

The Plastic, Sustainability and You in English

Clean-up

Clean-up

Enhance awareness of caring for the environment through reduce, reuse, and recycle (3R) education, social impact activities and campaigns.
 
How We Provide Value
01
Circular Solutions
 
  • We introduced Akestra™, a high performance, safe and sustainable alternative to conventional plastic which enhances the heat resistance characteristics of recycled PET, increases recycled material content and promotes circularity.

    Akestra™ is endorsed by the Tray Circularity Evaluation Platform (TCEP) of PETCORE Europe’s Technical Committee. It is also aligned with the US FDA and EU standards for secure and environmentally responsible circular packaging.
     
  • Launched Pevalen™ Pro 100, an ISCC PLUS certified, non-phthalate plasticiser made from 100% renewable carbon, setting a new industry benchmark by delivering a fully renewable, high-performance solution for flexible Polyvinyl Chloride (PVC) without compromising on performance and safety.
     
  • Perstorp commissioned its ISCC PLUS certified plant in Sayakha, India, which was officially inaugurated on 20 February 2024. This facility is set to produce 40,000 metric tonnes of Pentaerythritol and 26,000 metric tonnes of calcium formate annually. This includes the renewable-based, ISCC PLUS certified Voxtar™, all manufactured using renewable raw materials and hybrid electricity sources.
     
  • Introduced Emfinity®, a bio-based emollient for personal care.
     
  • BRB reduced its carbon footprint by using recyclable polyethylene terephthalate (rPET) liners as packaging labels.
     
  • CSL Silicone's sustainable practices, which includes recycled silicone oil into their formulation as well as replacing wax paper for label supplier with recyclable terephthalate (rPET) lining, They also reuse their intermediate bulk containers (IBC) or drums for product packaging.
02
Circular Operations
 
  • Initiated internal and external collaborations to improve the recovery of recyclable materials through our internal 3R programme involving PCG operating units
     
  • Continued current efforts to reduce plastic waste during manufacturing though participation in global plastics industry’s Operation Clean Sweep initiative
Together.
Harnessing Potential.
PETRONAS Chemicals Group Berhad Sustainability Report 2024
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