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HEINEKEN Malaysia Wins UNGCMYB Award for Water Resilience

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During the UN Global Compact Network Malaysia and Brunei (UNGCMYB) Forward Faster Sustainability Awards 2023 (Photo: Heineken)

Brewer was also Finalist in the Climate Action category at UNGCMYB’s Forward Faster Sustainability Awards 2023

Heineken Malaysia Berhad (HEINEKEN Malaysia) has been recognised for its exceptional leadership in building resilience for water-related challenges at the recent UN Global Compact Network Malaysia and Brunei (UNGCMYB) Forward Faster Sustainability Awards 2023. Emerging victorious in the Water Resilience category, the recognition acknowledged the brewer’s progress made under the Towards Healthy Watersheds programme.

This win extends the company’s track record as a member of UNGCMYB, having won two awards in 2022 for the UN SDG benchmarks of “Net-positive water impact in water-stressed basins” and “Zero waste to landfill and incineration”. 

Receiving the award, Roland Bala, HEINEKEN Malaysia’s Managing Director said, “It is an honour for us to be recognised two years in a row as a champion for our efforts in water conservation. Guided by HEINEKEN’s Brew a Better World sustainability strategy, our team has designed and implemented initiatives that focus on improving the way we use and protect water as a key resource for our business. We also continue our collaboration with government agencies, civil society, and local communities to conserve our watersheds, which are the precious sources of water. We cannot do this alone and hope to inspire more companies and organisations to care for our watersheds.”

The Towards Healthy Watersheds programme is a key part of the company’s Brew a Better World sustainability strategy. In its 2030 roadmap, the brewer strengthens its environmental responsibility by setting clear ambitions towards clean, safe, and sustainable watersheds, involving a three-pronged approach – Water Efficiency, Water Circularity, and Water Balancing.

Water Efficiency: HEINEKEN Malaysia targets to reduce its average water usage to 2.6 hectolitre per hectolitre of beer produced by 2030. Key initiatives include reducing the amount of water used in production by upgrading machines and utilities, reducing wastage and leakages, and exploring innovations in cleaning technology processes. As of 2022, the brewer reduced its water consumption to 3.45 hl/hl, recording a reduction of 5 per cent versus 2021 and 20 per cent versus its 2014 baseline.

Water Circularity: HEINEKEN Malaysia treats 100 per cent of its wastewater, ensuring that water used is maximised through recovery, reuse, and recycling. The brewer achieved this by monitoring and tracking its effluent discharge as well as ensuring that all its wastewater is treated above the standards of the Department of Environment. The brewery is also equipped with a wastewater treatment plant with a capacity of 780 million litres per year. As a result, the brewer recorded zero non-compliance relating to wastewater standards and regulations in 2022. The company is also exploring methods to increase the recovery and reuse of treated wastewater for non-potable purposes, including general cleaning and gardening activities at the Sungei Way Brewery.

Water Balancing: For every 1 litre of water used in its products, HEINEKEN Malaysia targets to balance 1.5 litres of water through conservation initiatives in the watershed. Since 2020, the company has exceeded its water balancing targets annually, recording an achievement of 203% of the balancing target in 2022. HEINEKEN Malaysia’s approach to water stewardship goes beyond internal management, with a commitment to support water security beyond its brewery walls. The WATER Project (Working Actively Through Education & Rehabilitation), which is carried out through a collaboration between the company’s corporate responsibility arm, SPARK Foundation, and environmental NGO, Global Environment Centre, focuses on key projects that include:

  • Rehabilitation and conservation of Sungai Way to maintain water quality at Class III.
  • A 305-metre clay dyke at the Raja Musa Forest Reserve, that prevents forest fires and contributes to the sustainability of Sungai Selangor. 
  • Reforestation to rehabilitate degraded peatland and increase the water table in the Raja Musa Forest Reserve.
  • Rainwater harvesting systems for 23 communities in Selangor, reducing dependence on treated water for non-potable uses.

In 2023, HEINEKEN Malaysia announced a new commitment to invest a further RM6 (USD1.2) million across eight years until 2030 in its water stewardship projects. This is aimed at enabling greater awareness and action by bringing together different stakeholders to focus on a common goal to safeguard the health of watersheds in the Klang Valley.

Our water conservation journey started 16 years ago in 2007, with the humble beginnings of engaging our surrounding communities to rehabilitate Sungai Way. Since then, we have channelled close to RM15 (USD3.2) million to grow the initiative and enabled programmes that reached more than 30,000 people in communities that continue to play a role in protecting our rivers. We are committed to delivering our Brew a Better World ambitions and we are humbled to receive these awards as a recognition of the significant effort and progress we are making.

Renuka Indrarajah, HEINEKEN Malaysia’s Corporate Affairs & Legal Director

HEINEKEN Malaysia was also a Finalist in the Climate Action category; in recognition of the progress, it is making on the journey towards realising its Net Zero ambitions. As of 2022, the brewer has reduced Scope 1 & 2 emissions by 49 per cent compared with its 2018 baseline. During the year, the company’s Sungei Way Brewery transitioned to 100 per cent renewable electricity, continued its zero waste to landfill status by recycling and upcycling 100 per cent of waste from production, and is working on installing on-site solar energy systems that will replace approximately 15 per cent of its annual electricity consumption.