The Green Pioneer: Heineken Vietnam’s Journey to Net Zero and Beyond

HEINEKEN Vietnam is committed to a just energy transition and is taking significant steps towards renewable energy and circular economy practices. In terms of production (Scopes 1 & 2), the company is utilizing 99% renewable energy, with biomass providing heat energy and Energy Attribute Certificates (EACs) from recognized solar projects in Vietnam ensuring all its electricity needs. Notably, in 2023, Heineken®, one of HEINEKEN Vietnam’s premium brands, celebrated its 150th anniversary by achieving 100% renewable energy production in the country, following in the footsteps of the Netherlands and Brazil. Looking ahead, HEINEKEN Vietnam aims to explore more comprehensive renewable energy solutions, such as direct power purchase agreements (DPPAs) and rooftop solar systems, to align with the government’s sustainability goals.

HEINEKEN Vietnam has also embraced circular economy principles in its production processes, achieving zero waste to landfill across all its breweries. All by-products and waste materials are recycled, reused, or upcycled into higher-value products for different value chains. Spent grains and yeast are utilized as animal feed, while sludge from wastewater treatment is processed into fertilizer and clean soil. Additionally, the Vung Tau brewery harnesses biogas from wastewater treatment as a heat source for beer brewing.

Thanks to these efforts in 2023, HEINEKEN Vietnam has achieved a remarkable 93% reduction in CO2 emissions compared to 2018, marking a significant milestone in its journey towards net-zero production ambitions by 2030.

In the value chain (Scope 3), which accounts for over 90% of HEINEKEN Vietnam’s emissions, the company is actively collaborating with and supporting its suppliers to develop emission reduction roadmaps, adopt circular economy practices, and implement initiatives for efficient resource use and extraction. During the recent Sustainable Business Forum 2024 on September 10, 2024, Mr. Nguyen Huu Hoang, Head of Sustainability at HEINEKEN, shared that the company is assisting its significant emission suppliers in the packaging sector to establish science-based emission reduction targets and plans. HEINEKEN Vietnam also boasts impressive packaging reuse rates, with 97% for glass bottles and 99% for plastic kegs.

For aluminum cans and cardboard boxes, HEINEKEN Vietnam is collaborating with suppliers and recyclers on closed-loop recycling projects, aiming for a circular packaging model and increased recycled content in its packaging. The company is also optimizing and innovating its cold storage and warehousing processes, exclusively using low-emission coolers and electric forklifts.

While HEINEKEN Vietnam has made remarkable strides, challenges remain in the journey towards realizing its net-zero ambition across the entire value chain by 2040. These include limited access to renewable energy sources for partner companies and insufficient recycling infrastructure in Vietnam, despite the implementation of the EPR mechanism. Leveraging its extensive international experience, HEINEKEN Vietnam is dedicated to collaborating with the government and local businesses to overcome these hurdles, unlock the potential of renewable energy and the circular economy in Vietnam, accelerate the net-zero transition, and build a better future for the country.