ESG as Key to Sustainability: Opening a Door to a New World and Solving Global Crises
Publish On 22, Mar 2022 | ESG as Key to Sustainability: Opening a Door to a New World and Solving Global Crises
In an age where sustainability is paramount, the concept of ESG, consisting of E – Environmental, S – Social, and G – Governance, has been extensively applied to organizational management and business operations, and it is something that SCG Chemicals (SCGC) has been advancing through its policies and actions through the years.
With the cooperation of all sectors, ESG contributes to SCGC’s efforts towards becoming a “Chemicals Business for Sustainability” and can lead to sustainable results, reflected through its innovative products, services, and solutions developed to meet the needs of consumers and industries as well as the emphasis it has placed on the environment.
All Around Plastics had the pleasure of interviewing Mr. Tanawong Areeratchakul, Chief Executive Officer and President of SCG Chemicals, who shared with us SCGC’s ESG-led visions, perspectives, and journey that would advance the organization, Thailand, and the world on the path towards sustainability.
Q: How Vital is ESG to Business Operations at Present and in the Future?
Mr. Tanawong: We can clearly see impacts of environmental problems on the global level today, such as climate emergency or dwindling natural resources. A host of problems we experience in our day-to-day lives, such as pollutions and other social issues, also illustrate that these issues are undeniably connected to our daily routines.
While SCGC is a business, it is part of society, and we have been continuously advancing the concept of ESG through various policies and projects to create economic, social, and environmental sustainability. Such efforts also reflect business practices guided by corporate governance, transparency, and consideration of impacts on relevant parties. ESG has enabled us to drive the organization while also making this world a better place to live in.
Q: What are SCGC’s ESG Policies or Action Plans?
Mr. Tanawong: SCGC strives to become a “Chemicals Business for Sustainability” that drives ESG through eco-friendly innovations in products, services, and solutions.
Beginning with E – Environmental, we utilize our innovation expertise as a tool in develop products, services, and solutions that not only meet the needs of both consumers and industries but are also environmentally friendly. A case in point is our key product SCGC GREEN POLYMER™, which provides four areas of solutions: Reduce, Recyclable, Recycle, and Renewable. For Reduce, we take into account upstream production in designing plastic resin and incorporate manufacturing technology that reduces material consumption while retaining, if not enhancing, all the functionalities of the product. As for Recyclable, we think further ahead to the end-of-life stage of our plastic products, which must be recyclable into plastic resin again or into feedstock for petrochemicals business. This is also considered our Recycle solutions. Lastly, for Renewable, we utilize natural materials in production to reduce the greenhouse gases released to the environment.
Furthermore, digital technology has been adopted to reduce energy consumption, which not only answers business needs and align with global trends but also caters to eco-conscious customers.
As for S – Social, we value all our personnel, who play a vital role in pushing the organization forward. To this end, we ensure that all of our employees see the goals and directions in advancing ESG and the organization. Co-existence with communities is also crucial. SCGC seeks to foster mutual growth with communities and support projects beneficial to communities and society at large, such as the KoomKah web application, which aids local waste banks, and the Milk Pouch for a Greener World Program, in which young students learn that the milk pouches they drink out of can be transformed into products that can be made use of again.
Lastly, with respect to G – Governance, SCGC has always upheld the principle of transparency and will continue to so.
Q: In addition to ESG, are there other factors that will simultaneous advance both business development and a sustainable world?
Mr. Tanawong: I believe that collaboration between various sectors, including government agencies, private businesses, and organizations, is critical. With concerted efforts, they will be able to create a ripple, bring projects to life, and produce tangible results quickly and efficiently.
At SCGC, we are ready to advance ESG in cooperation with other organizations. We believe that collaboration will be beneficial to both the country and environmental conservation. We all share the same goal, which is to leave a better world for the next generations. It is thus our generation’s responsibility to establish plans and policies and harness our existing expertise to develop a business model that takes into account economic, social, and environmental concerns. While this may be challenging as the key to sustainable business practices for each organization may differ, the result will be worth the effort, and as such, it is necessary for everyone, particularly people in the business sector, to be conscious of their responsibility of passing on sustainability to society and the world.