RGT Berhad
Climate Impact & Sustainability Data (2023-07 to 2024-06)
Reporting Period: 2023-07 to 2024-06
Environmental Metrics
Total Carbon Emissions:812 tCO2e (Scope 1: 32, Scope 2: 1707, Scope 3: 162)
Scope 1 Emissions:32 tCO2e
Scope 2 Emissions:1707 tCO2e
Scope 3 Emissions:162 tCO2e
Renewable Energy Share:26%
Total Energy Consumption:3022 MWh
Water Consumption:14 ML
Waste Generated:170 mt
ESG Focus Areas
- Climate Change and Energy Management
- Waste Management
- Water Management and Effluents
- Environmental Compliance
- Supply Chain Management and Procurement Practices
- Local Community Engagement
- Employee Welfare and Engagement
- Diversity and Equal Opportunity
- Human Rights
- Occupational Safety and Health
- Cybersecurity and Data Protection
- Anti-Bribery & Corruption
- Product Quality & Safety
Environmental Achievements
- Reduced Scope 1 GHG emissions by 18% from 33 tCO2e in FYE 2023 to 32 tCO2e in FYE 2024.
- Reduced Scope 2 GHG emissions by 28% from 1,859 tCO2e in FYE 2023 to 1,707 tCO2e in FYE 2024.
- Increased renewable energy share to 26% of total electricity consumption in FYE 2024, generating 771 MWh of solar energy and reducing emissions by 584.19 tCO2e.
- Increased waste diverted from disposal from 114 mt in FYE 2023 to 141 mt in FYE 2024.
- Reduced waste directed to disposal from 23 mt in FYE 2023 to 29 mt in FYE 2024.
Social Achievements
- Maintained employee turnover rate at an average of 0.9% versus a target of 4.0%.
- Provided 10,549 training hours for employees in FYE 2024.
- Organized various employee well-being activities, including sports tournaments, festival celebrations, and community wellness events.
- No substantiated complaints concerning human rights violations.
Governance Achievements
- Implemented a Conflict of Interest Policy on 24 May 2024.
- Maintained a zero-tolerance policy for bribery, fraud, and corruption, complying with the Malaysian Anti-Corruption Commission Act 2009 and 2018.
- No confirmed incidents of corruption.
Climate Goals & Targets
Medium-term Goals:
- Replace remaining conventional bulbs with LED lighting by 2030.
Environmental Challenges
- Weaker performance in the spray painting division resulting in lower production output and higher absorption of fixed overhead costs.
- Economic challenges and higher operating costs.
- Foreign exchange risk due to fluctuations in the US Dollar against the Malaysian Ringgit.
- Global competition from existing and emerging players.
Mitigation Strategies
- Focus on operational efficiency and cost management.
- Use of forward exchange contracts to hedge foreign currency risk.
- Prudent financial policies and continuous review of business activities to improve efficiency.
- Relocation of Keenness Precision Engineering Sdn. Bhd. to a larger factory to increase production capacity.
Supply Chain Management
Supplier Audits: 7 suppliers selected during the review period
Responsible Procurement
- Code of Conduct and Ethics
- Supplier assessment based on competencies, financial standings, and feedback.
- Requirements for basic responsible business practices, including zero tolerance for child labour and slavery.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards, Bursa Securities’s Sustainability Reporting Guidance (3rd Edition) & Toolkits
Certifications: SEDEX Members Ethical Trade Audit (SMETA) 4-Pillar, NSF International Certification, C-TPAT
Third-party Assurance: Talent League Sdn. Bhd.
Awards & Recognition
- Certificate of appreciation from the Human Resource Development Corporation for completing 9,920 training hours in FYE 2023.