Innovation

Holcim Philippines has spearheaded transformative initiatives in sustainable construction, leveraging innovation across various fronts to drive significant environmental and societal impact. Central to its strategy is the comprehensive decarbonization of operations, achieved through a blend of efficiency enhancements, adoption of alternative fuels, integration of renewable energy sources, and development of low-carbon cement formulations. This strategic approach has led to a commendable reduction in Holcim's carbon footprint by over 20% and set a new standard for sustainable practices within the industry.

Another successful initiative is the 'Build Better With Less' program, which promotes efficient building practices to minimize waste and optimize material use. When I asked Don Carreon, the communications manager of Holcim, about the best outcomes he has observed from these sustainable initiatives, he mentioned, 'Our programs have helped us improve the environmental footprint of operations, contribute to uplifting lives of communities, and also raised business performance.' By encouraging environmentally friendly construction techniques, Holcim Philippines supports builders in enhancing project efficiency while reducing environmental impact.

Furthermore, Holcim Philippines advocates circular construction principles by repurposing construction demolition materials as alternative resources. This initiative aligns with global sustainability goals by closing resource loops and conserving natural resources, marking a significant stride towards a circular economy in construction. Don also said, 'The interest in our perspective shows that key stakeholders value our vision on these matters. Leveraging our local expertise and the combined experience of Group companies across Holcim worldwide, we can positively drive the discussion towards sustainability and circularity in construction.'

Building a Sustainable Future

Inspiration

These innovations have earned Holcim Philippines recognition for its leadership in environmental stewardship and sustainable business practices, "Our plants have similarly received recognition from local governments and regional authorities for contributions to social and economic development and environment stewardship," Don Carreon asserted, following our conversation, he said, "We have also received a number of rewards for our sustainability performance, such as the 2023 Europa Awards for Digitalization for Sustainability and Water Resource Management by the European Chamber of Commerce of the Philippines (ECCP) and Wise Water Choice Award from the National Water Resources Board (NWRB)."

To achieve Net Zero by 2050, Holcim Philippines remains steadfast in its commitment to integrating sustainability into all facets of its business operations. With a vision to become the foremost partner for sustainable construction solutions, Holcim Philippines aims to solidify low-carbon and circular construction practices as industry norms, driving continued innovation and setting benchmarks for sustainable development in the Philippines and beyond. "We have a number of programs to engage our people and partners on the benefits of sustainability. Internally, we have set sustainability targets to measure our progress in achieving key goals and signal to our people our seriousness in improving in this area," when asked about how Holcim Philippines communicates sustainability benefits to its stakeholders.

Holcim has also launched internal education initiatives to demonstrate to employees how sustainability benefits the company, partners, society, and the environment. One important project is the Builders of Progress Ambassadors program, which entails educating a few staff members per site to understand sustainability better and serve as effective advocates for this goal. "In order to inform the general public and important groups about our work, our company is also active on traditional and social media, as well as in public speaking forums," Don Carreon shared. To emphasize the advantages of sustainable construction, various teams in Holcim are also interacting with stakeholders, such as government representatives and building industry specialists.

Overall impact

In its relentless pursuit of sustainability, Holcim Philippines achieved significant milestones in 2018. These include the development of low-carbon blended cement blocks, a substantial 20% reduction in carbon footprint, a 70% decrease in water usage, and using more qualified wastes as alternative fuels and raw materials in cement manufacturing. These achievements underscore the company's dedication to sustainability and its tangible progress in reducing environmental impact.

The business has also increased its interactions with academic institutions, government agencies, business associations, and the general public to emphasize the importance of its sustainability offer and the need for additional partners to hasten the shift. Supporting the use of locally produced low-carbon mixed cement and building demolition materials in Philippine construction is one of the objectives of these engagements. "As far as the reputational impact, our company is increasingly being asked to share insights on sustainability and decarbonization in the Philippines by a number of public and private organizations." Don Carreon said. Holcim has established several private and public sector partnerships to accelerate the achievement of their goals, "For example, we already have 71 local government partners on waste management, enabling us to highlight the value of circularity on waste reduction and resource conservation," he added.

Business benefit

Holcim Philippines' dedication to leading the way in sustainable construction methods aligns with environmental stewardship and greatly enhances its commercial activities. As a result of its sustainability focus, its market position has been reinforced, and operational efficiency has increased, yielding observable business benefits.

Holcim Philippines has taken proactive steps to reduce the risks connected with environmental restrictions and the effects of climate change by adopting low-carbon and circular construction processes. The company has established itself as a leader in environmental compliance and sustainability within the construction materials industry thanks to its 20% decrease in carbon footprint, which was made possible by innovations like low-carbon mixed cement variations. This progressive strategy future-proofs its operations and draws partners and consumers who share its values, increasing its market share and competitiveness.

Further, Holcim's focus on sustainability has improved supply chain operational efficiency. "Building with recycled materials and implementing "Build Better With Less" initiatives are the two examples of initiatives that have maximized our resource use and decreased waste. It helped improve profitability and reduce costs for the business," Don Carreon mentioned. Furthermore, Holcim Philippines reduces operational risks related to water shortages and strengthens resource resilience by drastically reducing water usage and striving to become water-positive by 2030.

Social and environmental benefit

"Our goal is to help the country decarbonize the building and construction industry. In five years, we hope that low-carbon and circular construction will be the norm and Holcim Philippines is the partner of choice in making this happen."

When asked about the key factors that enabled the success of these sustainable practices, Don Carreon expressed that companies are being pushed to enhance their sustainability initiatives in response to the growing global drive for policies and customer preferences, "But one important motivator is the solid internal management support for promoting sustainability," he said. With my follow-up question, how does he think Holcim Philippines can ensure that these sustainable practices continue to grow and evolve? He immediately said, "There is a recognition that it does not only make business sense given the efficiency and innovation benefits, but it's also the right thing to do." He told me that with all of these, sustainability will become the standard, and businesses that choose not to adopt it will do so at their peril.

Regarding carbon emissions, Holcim's ultimate aim is to Net Zero. Don Carreon said every business must have a Net Zero transition plan with verified objectives, activities, forward-looking investments in carbon capture, utilization, and storage (CCUS), and a carbon trading mechanism. "This helps businesses and companies balance their operations with concrete projects and actions that benefit people and the environment." He added. Don also said these systems are equitable and benefit the environment and business without requiring trade-offs. Finding the most negligible negative impact while maintaining a company's ability to be lucrative and competitive is the essence of sustainability; otherwise, what use is having a profitable company on the verge of collapse? "When combined, these elements have the power to bring about a great deal of value and change in the promotion of corporate responsibility, sustainability, and circularity," Don Carreon shared.

Interview

Don Gil Carreon, Communications Manager