GRP’s Investment Towards a Green Future

Climate change and global warming has been the priority of many large-scale businesses globally in recent years, and rightfully so. The global temperature is increasing at an alarming rate due to the significant increment of greenhouse gas emissions in various industries. Carbon dioxide in the atmosphere is at a record high, posing serious climate threats that cannot be underestimated.

While virtually every sector of the global economy contributes to greenhouse gas emissions, the steel industry is, woefully, among the world’s top three biggest producers. Every ton of steel produced in 2018 is reported to emit an average of 1.85 tons of carbon dioxide.

As a critical player in the steel industry, Gunung Raja Paksi (GRP) recognises the need to act on sustainability. Going forward, the organisation strives to achieve Net Zero emissions and lead the way to a greener future.

Path to ‘Net Zero’

‘Net Zero’ is achieved when the amount of GHGs we add to the atmosphere is no more than the amount we deplete. This means being able to produce everything we need to thrive as a species without adding more GHGs to the atmosphere. Achieving this goal will take serious, collective action, but the future of our planet depends on it.

For companies in Indonesia to achieve Net Zero emissions, they must begin utilising:

  • Sustainable mining strategies

  • GHG emissions assessment and mitigations plans

  • Transparent sustainability reports

  • Enhanced recycling & circularity

  • Technologies for very low and zero emissions production of steel & concrete

  • Policies to reduce steel and concrete emissions to very low levels

  • Sustainability performance tracking and reporting

  • Environmental, social, and governance (ESG) strategy development

Taking The Lead to Implement Change

In the urgent push towards sustainability, GRP has begun making even stronger commitments to the environment. In the second quarter of 2021, GRP plans to transition to more transparent management of the company, while kick-starting many new initiatives to make way for more sustainable production of steel.

Over the years, GRP has paid special attention to our carbon footprint, but with the continual threat of climate change, the company will be taking their green initiatives up a notch.

Paving The Way for Other MNCs


Kimin Tanoto, Commissioner of GRP, sees climate change as the biggest threat to humanity. Not only has he shifted the company’s focus to protecting the environment, but he is also actively encouraging other entrepreneurs and businesses in Indonesia to follow the footsteps of GRP.

Some of the key market drivers for climate action that GRP is encouraging other Indonesian businesses to think about include: Policies and regulations, the supply chain, plastic and packaging, protecting diversity and shifting to a low carbon economy to achieve the collective goal of Net Zero emissions.

As stated by Kimin Tanoto, ‘Important changes will continue to be made in the face of bigger challenges in the future’.

S'pore's Gunung Capital to invest $500m to decarbonise asset
credits to