FGV Annual Report 2020

GHG Inventory In 2020, FGV has initiated a comprehensive GHG inventory that would identify and capture key emissions from all entities across the group that come directly under FGV’s operational control. FGV’s GHG inventory follows GHG Protocol’s Corporate Accounting and Reporting Standard and is developed based on the 2006 IPCC Guidelines for National Greenhouse Gas Inventories, as well as country-specific data based on the latest journals and publications, where more accurate emission estimations are published. SUSTAINABILITY MATTER: RENEWABLE ENERGY & ENERGY MANAGEMENT FGV has been actively promoting energy management to reduce its operating costs as well as carbon footprint. It includes awareness creation among all employees and establishing procedures for all business sectors to follow. We have collaborated with Universiti Teknologi MARA (UiTM) on various programmes which aim to identify energy-saving initiatives to eliminate wasteful and non-productive energy consumption and to reduce GHG emissions. The programme identified various initiatives that could reduce energy consumption up to 20%. FGV will undertake feasibility studies and detailed cost-benefit analysis before deciding whether to implement the initiatives. Energy Audits FGV conducted energy audits at FKP, MSM, FPM and FGVRI to explore energy savings to be accrued through user behavioural changes and efficient usage of equipment. Based on cost benefit analysis, the management decided on adopting energy saving pyramid approach i.e. from awareness, cost-free investment from low, medium to high cost investment considering the complexity and resources of implementing the initiative. FGV conducted energy audits at various business operations to analyse the energy pattern and utilisation rate. The results showed that FGV can achieve a reduction in energy consumption by up to 20%. However, this would require some heavy investments. Investment decisions on such matters are determined by the energy conservation pyramid, which progresses from the initial awareness creation measures from no cost, low cost, medium cost and culminating in high cost investments. In 2020, we identified several no cost and low-cost initiatives to be implemented across all operations immediately. They include periodic monitoring of energy usage to verify energy supply quality and identify operational improvements that can be made to save energy, for example, sequence of motors and other machinery to optimise energy output. To monitor the implementation of these initiatives, we have established an Energy Committee. 143 Who We Are How We Operate How We Are Governed Additional Information Sustainability Matters Statement & Discussion By Our Leaders