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Nestle Philippines adds biomass energy facility to cut manufacturing emissions towards net zero

Nestle Philippines is deepening its transition to lower-emission operations by integrating a biomass energy facility into its manufacturing processes, as the Philippine arm of the Swiss food giant advances its long-term net zero commitment, The Manila Times reported.

Nestle Philippines Chairman and Chief Executive Officer Mauricio Alarcon said the company’s domestic operations are already powered entirely by renewable electricity sourced from hydroelectric and geothermal energy, covering its manufacturing sites, administrative offices, and distribution centres across the country. The new biomass facility at Cabuyao, Laguna will extend this further by addressing emissions from the production floor itself.

Alarcon said the facility will power the spray-drying process used in milk production, which he described as one of the company’s most energy-intensive operations. “The integration of the facility in operations will contribute to reducing greenhouse gas emissions from manufacturing operations toward net zero,” he said.

The biomass plant uses locally sourced agricultural waste as fuel, which the company said reduces reliance on conventional energy sources while strengthening supply chain linkages with local farming communities. Nestle said the system complements its existing use of renewable electricity and supports its broader decarbonisation strategy.

Alarcon said the initiative reflected a shift from sustainability as a standalone commitment to full operational integration. “Treating sustainability as a core business imperative enables us to sharpen our competitive edge while advancing our net zero targets,” he said.

Beyond energy, the company cited ongoing work on circular packaging, waste reduction, and responsible sourcing, including the use of 100 per cent responsibly sourced green coffee beans.

Nestle Philippines first announced its local net zero commitment in 2020, aligned with its global target of achieving net zero emissions by 2050.

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