In addition, the group plans to halve greenhouse gas (GHG) emissions by 2030 and deliver net zero emissions by 2050.
“The transformation plan we unveiled today is driven by a clear purpose to play our part in building a sustainable future,” says Wong Kim Yin, group president and CEO of Sembcorp.
Sembcorp says that in 2020, its sustainable solutions portfolio contributed to around 40% of the group’s net profit. To meet its target, its renewable energy portfolio is expected to achieve a compound average growth rate (CAGR) of 30%, while its integrated urban solutions portfolio is anticipated to achieve a CAGR of 10%.
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In addition, Sembcorp aims to quadruple its gross installed renewable energy capacity to 10 gigawatts (GW) by 2025, from 2.6GW as of 2020.
For sustainable urban developments, Sembcorp aims to triple its urban business’ land sales to 500 hectares by 2025, compared to 172 hectares recorded in 2020.
Sembcorp also aims to lower carbon emissions, with a target GHG intensity to 0.40 tonnes of carbon dioxide equivalent per MW hour (tCO2e/MWh) by 2025, down from 0.54 tCO2e/MWh in 2020. In addition, the company aims to halve GHG emissions by 2030 (from a 2010 baseline of 5.4 million tCO2e) and deliver net-zero emissions by 2050. Sembcorp also commits to not invest in new coal-fired energy assets.
In line with its strategic plan, Sembcorp reaffirmed its commitment to the UN Sustainable Development Goals (SDGs). Its focus will be SDG 7 (Affordable and Clean Energy) and SDG 13 (Climate Action) where it aims to make meaningful contributions.
Shares in Sembcorp closed flat at $2.13 on May 25.
