ENVIRONMENTAL
Water Management
At Masteel, we recognise the critical importance of responsible water management and are deeply committed to mitigating water related risks while ensuring sustainable water withdrawal across our operational sites both at Bukit Raja and Petaling Jaya. Our proactive engagement with key stakeholders including local communities, regulatory bodies, and water management authorities, enables us to address potential concerns and collaboratively develop effective water stewardship strategies.
Our commitment to effective water resource stewardship is clearly outlined in Masteel’s Water Conservation Policy, which serves as a guiding framework for our initiatives to optimise water use, minimise waste, and enhance long-term sustainability. We conduct regular stakeholder consultations to gain valuable insights into local water challenges, assess evolving risks, and identify opportunities for sustainable water use. These engagements reinforce our commitment to environmental responsibility and help us implement best practices that align with both regulatory requirements and community expectations. Transparency remains at the core of our water management strategy. We continuously provide comprehensive updates on our water withdrawal, risk assessments, and mitigation measures annually.
We leverage on advanced tools such as the World Resources Institute’s Aqueduct Water Risk Atlas, which allows us to assess potential water risks across our operations. This enable us to further enhance our risk evaluation capabilities and our analysis confirms that both our Petaling Jaya and Bukit Raja facilities are categorised as low-risk areas, with no water withdrawals or consumption occurring in water-stressed regions.
Despite operating in low-risk water zones, we remain committed to preserving water resources. Our rainwater harvesting system installation at our Bukit Raja site exemplifies our dedication to water conservation. This initiative supports our broader sustainability goals by reducing reliance on municipal water sources and enhancing water efficiency in our operations. In FY2024, Masteel recorded a total water withdrawal of 372,527.88 m3, an increase from 303,603.53 m3 in FY2023. The increase is primarily attributed to the upgrading works at the Bukit Raja facility, which included the addition of a new wastewater treatment plant. This led to higher water usage, particularly during the commissioning phase of the new system. In addition, the increase was also contributed by the rainwater harvesting systems implemented at both Bukit Raja and Petaling Jaya.
In response to this increase, we remains committed to sustainable water management, implementing initiatives such as water recycling, rainwater harvesting, and efficiency upgrades. Masteel will continue optimising water use while balancing operational growth with environmental responsibility guided by our Water Conservation Policy.
Masteel has installed two Rainwater Harvesting Systems (“RHS”) across all our operational sites, including Bukit Raja and Petaling Jaya, as part of our ongoing sustainability initiatives. Implemented in collaboration with our site workers, these systems are designed to efficiently collect and store rainwater to support our daily operations. This initiative helps mitigate the risk of water shortages, ensuring business continuity while reinforcing our commitment to environmental sustainability. These systems are designed to capture and store rainwater, which is then reused primarily for cooling processes in steel production, including product cooling, equipment cooling, and other operational needs. By utilising harvested rainwater, Masteel reduces our dependence on treated water sources, enhances water resource efficiency, and contributes to the broader environmental goals of sustainable manufacturing. This initiative is aligned with Masteel’s commitment to responsible water management and its role in supporting Malaysia’s ESG and circular economy aspirations.
This proactive measure enhances water availability for essential non-industrial uses while reducing dependence on municipal water supplies. Thus, in FY2024, we successfully harvested a total of 14,293.88 m3, comprising 12,718.98 m3 from Petaling Jaya and 1,574.90 m3 from Bukit Raja. Furthermore, we prioritise employee education and awareness programs on water-saving practices in alignment with the Masteel Water Conservation Policy. By fostering a culture of responsible water use, we aim to systematically reduce raw water withdrawal and reinforce the importance of efficient water management.
Our primary water source remains municipal water supplies, and we do not extract water from natural bodies. The only exception is rainwater harvesting, which supplements our water needs while reducing reliance on external sources. The majority of our water usage is dedicated to domestic purposes and cooling processes within our operations. We have optimised our cooling systems by implementing closed-loop water circulation, significantly reducing water withdrawal and improving efficiency to further minimise our overall consumption.
Additionally, we 100% recycle the wastewater generated within our operation for cooling purposes in our machinery and products, which has resulted in zero water discharge since the start of our operations. Before any wastewater is reintegrated into our systems, it undergoes rigorous treatment and strict adherence to local environmental regulations to ensure compliance and sustainability. This closed-loop approach aligns with our commitment to the principles of a circular economy, emphasising waste minimisation and maximum resource efficiency. We are in the process of securing official recognition and certification from the Department of Environment (“DOE”) Malaysia for our 100% recycled wastewater initiative. to further solidify our environmental leadership. As a result of our zero-water discharge approach, no water discharge data has been collected, reinforcing our dedication to water conservation.
We have implemented an advanced wastewater recycling treatment process that seamlessly integrates environmental sustainability with operational efficiency. This state-of-the-art system is designed to minimise water wastage, reduce reliance on external water sources, and ensure compliance with stringent environmental regulations. Our approach is structured around the following key stages, each meticulously designed to optimise water reuse while maintaining high-quality standards in our operations.
Masteel’s unwavering commitment to sustainable water management is further demonstrated by our impeccable compliance record, with zero incidents of non- compliance related to water quality, quantity permits, or regulatory standards. This achievement is a testament to our stringent monitoring systems, continuous improvements in water efficiency, and proactive engagement with environmental regulations. As we move forward, we will continue to explore and implement innovative water-saving technologies, expand our rainwater harvesting capabilities, and enhance employee-driven conservation initiatives. Through these concerted efforts, Masteel remains focused in our mission to protect and preserve this finite and precious resource, ensuring sustainable water management across our operations.