SOCIAL
Corporate Social Responsibility
At Masteel, we are deeply committed to making a meaningful impact on society through our comprehensive Corporate Social Responsibility (“CSR”) program, which focuses on sustainable and inclusive community development. Our continuous dedicated efforts culminated in a substantial contribution of RM100,000.00 to the Ti-Ratana Welfare Society in 2024, a charitable organisation established on 9 February 1994, under the Registrar of Societies Act, and officiated on 21 June 1997. Today, this foundation serves as a sanctuary for individuals in need, providing shelter, education, and care to the needy of all ages, regardless of race and creed. There have a total of six programmes catering for various needs such as Light Up Children, Light Up Elderly Folks, Light Up Women, Light Up Community, Light Up Health and Light Up Handicap. Their mission is to foster a happy and healthy society through compassionate community service. In alignment with our commitment to upholding international human rights standards, Masteel supports the “Light Up Children” program which is a core initiative of the Ti- Ratana Welfare Society. It is dedicated to enhancing child welfare and educational support. We firmly believe that every child has the right to education on an equal opportunity basis, as outlined in the United Nations Convention on the Rights of the Child (UNCRC). Through our annual contributions and active employee participation, we aim to support children’s rights, ensure their access to basic necessities, and help close the gaps in inequality. Furthermore, we aim to make a positive and lasting impact on the lives of more than 500 individuals across these critical sectors. By addressing the unique needs of these demographics, we contribute to the well-being and development of the communities we serve.
Our commitment goes beyond financial support, emphasising active employee involvement. In FY2024, Masteel dedicated around 950 hours to CSR programs through employee participation in volunteer and outreach activities. This hands-on engagement strengthens community ties and helps us better understand and address local needs. Partnering with organisations like the Ti-Ratana Welfare Society, we remain committed to driving meaningful social impact in particularly in upholding children’s rights and promoting equal access to opportunities for all.
In FY2024, Masteel expanded our CSR initiatives by collaborating with policy institutions to promote sustainable practices, particularly in carbon emissions reduction. Demonstrating this commitment, Masteel sponsored the Institute for Democracy and Economic Affairs (IDEAS) with RM200,350.00 to support the development of the policy paper titled “Asserting Climate Change Leadership in ASEAN: Carbon Pricing for the Malaysian Steel Industry.”
This paper was officially launched on 30 April 2024 at the Park Royal Collection Kuala Lumpur and till now it has been downloaded by 2,351 from public audiences. The IDEAS report addresses the pressing issue of greenhouse gas (GHG) emissions within Malaysia’s steel sector, which is projected to potentially triple by 2030 if unmitigated. It emphasises the critical need for immediate interventions to align the industry with sustainability objectives. As an effective strategy to curb emissions and guide the steel industry towards a more sustainable future is through the implementation of carbon pricing mechanisms which is the central recommendation of this report. Recognising the steel sector’s significant role in Malaysia’s economy, Masteel’s sponsorship aims to elevate national and governmental awareness regarding the industry’s substantial emissions. By advocating for actionable solutions, such as those proposed in the IDEAS report, Masteel seeks to support Malaysia’s climate commitments and facilitate the transition to a low-carbon economy. This initiative reflects Masteel’s dedication to fostering sustainable development and underscores the importance of industry collaboration in addressing environmental challenges.
Masteel has contributed RM131,500.00 to support an impactful environmental awareness initiative in collaboration with the Malaysian Green Technology and Climate Change Corporation (“MGTC”) in 2024. This initiative was launched by MGTC on 22 February 2024 and focuses on educating the public about carbon emissions through the creation of a 1-tonne CO2 cube, a physical representation designed to help communities visualise the actual volume of one metric ton of carbon dioxide emissions.
Serving as an educational hub, the CO2 cube provides valuable insights into the environmental impact of daily activities and emphasises the importance of responsible living in addressing climate change. This initiative impacted over 1,000,000 visitors in 2024 and encourages individuals and businesses to take meaningful steps towards emission reduction and sustainable practices by offering a tangible understanding of carbon emissions.
This collaboration underscores our strong commitment to public education on climate action and we aim to raise awareness on how to prevent and reduce carbon emissions. This is aligning with Malaysia’s national ambition of achieving net-zero carbon emissions by 2050. This contribution further reinforces our dedication to environmental stewardship and fostering a sustainable future for generations to come.
Masteel Sustainability Grants
As part of Masteel’s commitment to sustainability, innovation, and corporate social responsibility (“CSR”), we have initiated the Masteel Sustainability Grants, evolving from our Memorandum of Understanding (“MoU”) with Universiti Tunku Abdul Rahman (“UTAR”) in 2023. This initiative is designed to support university academicians in researching Carbon Capture, Utilisation, and Storage (“CCUS”) which is a critical technology in the global effort to reduce carbon emissions and transition to a low- carbon economy to achieve net-zero carbon by 2050.
The Masteel Sustainability Grants play a multifaceted role in driving knowledge transfer, talent development, and industry-relevant research, benefiting not only the steel manufacturing sector but also government bodies, the community, and global sustainability efforts. By fostering collaboration between academia and industry, the program provides financial and technical support to researchers, enabling them to explore innovative CCUS solutions that can be practically applied to industrial operations, policy frameworks, and environmental management strategies.
Additionally, this initiative contributes to talent development by nurturing the next generation of experts in decarbonisation technologies, equipping students and researchers with the skills to tackle real-world sustainability challenges. We ensures that young professionals gain hands-on experience in industrial sustainability practices, strengthening the pipeline of skilled talent for Malaysia’s green economy through internships, research collaborations, and industry engagements.
As part of our broader CSR commitment, Masteel sees this grant as an opportunity to bridge the gap between academia, industry, and policy-making, ensuring that scientific advancements in CCUS are effectively translated into industry practices and regulatory frameworks. This initiative aligns with national and international climate goals, reinforcing Malaysia’s position as a leader in sustainable industrial transformation while contributing to global decarbonization efforts. We remain dedicated to driving impactful research, fostering industry-academia partnerships, and empowering future talent, ensuring that our knowledge-sharing initiatives create long-term value for industry, government, and society as a whole through the Masteel Sustainability Grants.
Masteel Green Initiatives
In 2024, Masteel continues its commitment to sustainability, embarking on a transformative journey with impactful green initiatives aimed at reducing our environmental footprint and driving positive change for a more sustainable and healthier future.
CONTINUOUS CASTING MACHINE
Masteel’s Bukit Raja Rolling Mill Plant optimised our process by eliminating the electric induction heater for billet reheating and instead directly charging billets from the Continuous Casting Machine (“CCM”), utilising residual heat. This improvement enhances energy efficiency, reduces operational costs, and supports Masteel’s commitment to sustainable manufacturing.
CSI PLATFORM
Masteel is proud to be among the first 100 subscribers to the Centralised Sustainability Intelligence (“CSI”) platform under Bursa Malaysia. This platform is used to monitor our carbon footprint together with our suppliers and contractors.
MASTEEL SUSTAINABILITY GRANTS
Building on the Memorandum of Understanding (“MoU”) signed with UTAR in 2023, Masteel has initiated the Masteel Sustainability Grants to support academic research and talent development in Carbon Capture, Utilisation, and Storage (“CCUS”). This initiative underscores Masteel’s commitment to fostering innovation and collaboration with academia, enabling researchers to explore cutting-edge CCUS technologies that contribute to decarbonisation and sustainable industrial practices. By investing in university led research, Masteel aims to drive scientific advancements, industry adoption, and the development of skilled professionals in the transition to a low- carbon future.
BUILT A 1-TONNE CO2 CUBE AT MGTC
Masteel has constructed a 1 tonne of CO2 Cube at the MGTC compound to raise public awareness about the environmental impact of a metric tonne of carbon dioxide emissions. Officially launched by MGTC on 22 February 2024, this initiative underscores the critical role of individual and collective choices in safeguarding our planet’s health. The Carbon Cube stands as a powerful and tangible reminder of the pressing need for concerted efforts to reduce carbon emissions and combat climate change.
SPONSORSHIP OF IDEAS RESEARCH PAPER ON CARBON PRICING IN MALAYSIA
Masteel has sponsored the Institute for Democracy and Economic Affairs (“IDEAS”) to launch the research paper “Asserting Climate Change Leadership in ASEAN: Carbon Pricing for the Malaysian Steel Industry,” unveiled on 30 April 2024 at Park Royal Collection Kuala Lumpur. The paper underscores the urgent need to address GHG emissions within the steel industry, emphasizing carbon pricing as a key solution to mitigate emissions and guide the sector towards sustainability. As the steel sector is crucial to Malaysia’s economy, this sponsorship by Masteel aims to raise national and governmental awareness of the industry’s high emissions and advocate for actionable solutions to support Malaysia’s climate commitments and transition to a low-carbon economy.
VOLUNTARY CARBON MARKET
We actively participated in the Voluntary Carbon Market exchange facilitated by Bursa Carbon Exchange, where our efforts culminated in a successful engagement and the securing of a prosperous auction outcome. By actively engaging in this market, we contribute to environmental sustainability and underscore our commitment to carbon reduction initiatives. This achievement reinforces our dedication to responsible business practices and aligns with our broader commitment to mitigating climate change.
MEMORANDUM OF COLLABORATION (“MOC”)
Masteel has entered into an MOC with Bursa Malaysia Information Sdn Bhd, marking the initiation of a strategic partnership. The collaboration is centered around conducting a Proof of Concept (“POC”) for both the Sustainability Reporting Platform and the Sustainability Financing Platform. This joint effort signifies a significant step towards enhancing sustainability practices within our operations and underscores our commitment to advancing responsible business practices and furthering our contributions to the realm of sustainability.
RAINWATER HARVESTING PROJECT
Masteel has taken proactive measures to reduce water withdrawal by implementing a rainwater harvesting system at both our Bukit Raja and Petaling Jaya plant. This initiative underscores our commitment to sustainable practices and environmental stewardship. By harnessing rainwater, we not only decrease our reliance on traditional water sources but also minimize our environmental footprint. This investment in water conservation aligns with our broader mission to operate responsibly and mitigate our impact on the environment.
HYDROPONIC VERTICAL FARMING
Masteel implements hydroponic vertical farming at the Bukit Raja plant since 2022. This sustainable practice promotes eco- friendly vegetable growth, reduces greenhouse gases, and enhances biodiversity without disturbing land surfaces. It aligns with Masteel’s commitment to ESG principles and promotes healthy eating habits among staff. Vegetables harvested are distributed to staff for free as part of corporate social responsibility initiatives.