Semen Baturaja Encourages New Renewable Energy Transition Through Utilization of AFR

BATURAJA – PT Semen Baturaja Tbk (SMBR) as a subsidiary of PT Semen Indonesia (Persero) Tbk (SIG) continues to demonstrate its commitment to supporting the transition to New and Renewable Energy (EBT) through the utilization of Alternative Fuel & Raw Material (AFR).

Alternative fuels and raw materials utilized by SMBR include sludge oil, spent bleaching earth, used oil, used majun, used diapers, and used insulation. “Utilization of this material not only contributes to reducing industrial waste and environmental impacts, but also increases energy efficiency in the cement production process,” said SMBR Vice President of Corporate Secretary Hari Liandu.

Throughout 2024, SMBR managed to utilize 9,401 tons of AFR, an increase of 41% compared to 2023 which reached 6,661 tons. With this effort, SMBR has succeeded in increasing the Thermal Substitution Rate (TSR) value to 3.18%, exceeding the company’s target of 2.63%. This achievement confirms SMBR’s commitment to reducing dependence on fossil fuels while supporting the decarbonization target of the cement industry in Indonesia.

“We continue to develop innovations in the use of alternative fuels to reduce carbon emissions and support the national energy transition program,” he added.

SMBR’s steps in utilizing AFR are in line with government policies in accelerating the energy transition and supporting the achievement of Net Zero Emission (NZE) by 2060, and in line with the Sustainable Development Goals (SDGs), especially in terms of clean and affordable energy, responsible consumption and production, and action on climate change.

In addition, this effort is also part of the company’s strategy in reducing dependence on fossil fuels while accelerating the use of more environmentally friendly energy.

“The transition to clean energy is not only an industrial need, but also a shared responsibility in preserving the environment,” he added.

In the future, SMBR will also utilize biomass as an alternative energy source. One of the initiatives is planting red calliandra trees which will later be managed into wood pellets as a source of green energy for the cement industry. “Currently, the company has planted 1,500 red calliandra trees as an initial step in implementing green energy,” Hari concluded. (*)