In a significant move towards sustainability, Vinamilk, Vietnam's largest dairy company, is setting ambitious targets in its green energy transition strategy. During a ministerial discussion at the P4G Conference, Lê Hoàng Minh, Vinamilk's Production Executive Director and head of the Net Zero project, shared insights on the company's commitment to sustainable practices.
"As the largest dairy enterprise in Vietnam, our green transitions are not only aimed at achieving our sustainable development goals but also at influencing other businesses, stakeholders, and the dairy industry across the country," said Minh. He emphasized the importance of specific practices such as energy saving and converting to clean energy in production, which can create a substantial impact.
At Vinamilk's farms, the company has implemented a range of initiatives, including rooftop solar panels and biogas recycling systems to save energy. Waste from dairy cows is transformed into resources such as biogas and organic fertilizer, which are reused on the farms and provided to cooperating farmers. This circular economy approach is central to Vinamilk's sustainability strategy.
In addition to energy solutions, Minh advocates for the application of international standards in sustainable development, such as Global GAP, European Organic standards, ISO 50001, and PAS 2060:2014. He highlights the necessity of building a database to accurately assess carbon emissions and footprints, allowing for transparent and effective emission reduction strategies.
Vinamilk has set clear goals to cut emissions by 15% by 2027 and 55% by 2035, with an ultimate aim of achieving Net Zero by 2050. To support these ambitious targets, the company is collaborating with the Science Based Targets Initiative (SBTi) to establish detailed, scientifically grounded methods for implementation.
In 2023, Vinamilk received international carbon neutrality certification (PAS 2060:2014) for three of its units, which include two factories and one farm. Looking ahead, the company plans to complete ISO 14068 certification by May 2025, which will further enhance its carbon neutrality efforts.
Vinamilk is also the first Vietnamese dairy company to support the global Net Zero initiative in the dairy sector, known as the Pathway to Dairy Net Zero 2050. This initiative aims to unite dairy businesses worldwide towards common sustainability goals.
Currently, Vinamilk operates 13 factories utilizing renewable energy sources, including solar, biomass, and compressed natural gas (CNG). Impressively, green energy accounts for over 88.8% of the energy used in production. Each of these facilities adheres to stringent energy management standards.
A prime example of Vinamilk's commitment to sustainable practices is the Siêu nhà máy sữa Việt Nam, located in Bình Dương. This state-of-the-art facility employs advanced technology and green energy solutions to minimize energy consumption and reduce environmental impact.
At the Siêu nhà máy, energy consumption is reduced by 60% through the use of LGV robots for transporting goods instead of traditional forklifts. The facility also boasts four smart warehouses, which cut energy use by 70% compared to conventional storage models. With a production capacity of 800 million liters annually—equivalent to over 12 million 180ml milk boxes daily—the Siêu nhà máy is already carbon neutral, thanks to its proactive emission reduction strategies rather than relying solely on offsets.
Vinamilk's efforts extend beyond mere compliance; the company applies nearly 20 international management systems across its operations to ensure that its products meet rigorous food safety standards while also adhering to sustainable development principles.
The company is actively collaborating with leading consultants and experts in sustainable dairy development, both domestically and internationally, to craft the most suitable solutions for Vietnam's unique conditions.
As a result of these initiatives, Vinamilk has maintained a high ranking in the Top 10 Sustainable Development Enterprises for nine consecutive years. This recognition highlights the company's ongoing commitment to integrating sustainability into its core operations and contributing positively to the dairy industry in Vietnam.
In summary, Vinamilk's green transition strategy is not only a corporate responsibility but also a pivotal influence on the broader dairy sector in Vietnam. By setting ambitious emission reduction targets and implementing cutting-edge technologies, Vinamilk is paving the way for a sustainable future in dairy production.