Sustainable Development Categories

Moving Towards a Circular Economy

01 Power Up in PIC


A. Cogeneration Puts Heat to Work



Conversion of exhaust waste heat from power generation into an average of 1,800 tph of steam to run the steam turbines and for process purposes.


The Pengerang Cogeneration Plant (PCP) harnesses exhaust waste heat from power generation and turns it into steam for heating and process purposes.

One of the largest and most efficient gas-based cogeneration plants in Southeast Asia, PCP has installed capacities of 1,729 MW of power and 3,200 tph of steam. Using natural gas, a relatively clean fuel, PCP powers the entire PIC complex and provides reliable and continuous supply of steam to the process plants, with an additional 600 MW of power being sold to the National Grid.


B. CO Boilers Recycle Waste Heat


  • Generation of 326.7 tph HP steam for process use, while meeting gas emission levels.
  • Reduction of CO2 emissions by about 1.3 million tonnes a year.


PIC’s two CO Boilers are an essential component of the Residual Fluid Catalytic Cracker (RFCC) which cracks hydro-treated atmospheric residue into feedstock for the Steam Cracker.

The boilers, each weighing about 2,000 tonnes, convert carbon monoxide in flue gases into carbon dioxide and use the heat generated to transform waste heat into steam for process heating and to power turbines. In doing so, they cut down CO2 emissions by about 1.3 million tonnes a year, one of the largest contributors to Scope 1 emission reduction in PIC. Treated flue gases are safely released to the atmosphere. The steam is supplied to steam systems at the Refinery and Steam Cracker plants.


C. Harnessing Energy From Excess Steam



Generation of 288 MWh of power in a year via the STG, equivalent to over 23,000 tonnes of CO2e emission avoidance.


In line with PETRONAS' commitment to achieve Net Zero Carbon by 2050, facilities in PIC shoot for the highest levels of energy efficiency possible.

The Complex has added a Steam Turbine Generator (STG), featuring a Baker Hughes fully condensing turbine which has the capability to recycle excess steam from the LP steam header, converting it into electrical power. During normal operations, it can convert 100 tons per house of LP steam into 14 MW of electricity. In periods of low LP steam usage, it pushes the limits to transform 140 tons per hour of steam into 19.2 MW of power.



02 Every Drop Counts


A. Preserving PIC Waters


At PIC, water is a crucial commodity. Through our sustainable water management operation, we optimise water consumption efficiency and minimise the environmental impact of its treatment.


B. PAMER: Ensuring Reliable Supply


Raw water supply of:
  • 230 MLD of water supply to PIC
  • 30 MLD of water supply to public users in Johor, including strategies during the dry season


PIC initiated the Project Air Mentah RAPID (PAMER) to ensure a reliable and sustainable water supply.

It was Malaysia's largest raw water scheme built for the oil and gas industry, featuring water wastage prevention to secure water supply in collaboration with the State government.


C. Best Management Practices in Water Treatment Operation



Treatment of 255 MLD water for process use, power and steam generation, cooling water and effluent treatment.


PIC Raw Water Treatment Plant (RWTP) is built as a complete water recycling facility where all effluent goes back into the system for further treatment. The plant has one treatment train to recycle stormwater, demineralised water and filter backwash.


D. Going Beyond Local Compliance



Safe discharge and regulatory-compliant of treated wastewater into the environment.


Our centralised effluent treatment plant complies with the Malaysian and International Finance Corporation (IFC) discharge quality standards.

We adopt the segregation at source for incoming effluent to optimise the treatment, especially on chemical consumption.

In addition, we are exploring the potential of zero liquid discharge for the effluent to support business growth and increase water demand.


E. All Water Worth Saving



288,000 m3 in stormwater ponds for backup fire water during an emergency and as recycled water.


The abundant rainfall in PIC allows rainwater harvesting in retention ponds to reuse and recycle water. Our 4.5 km main stormwater (MSTW) drainage system acts as the backbone and is designed with collection arteries to collect stormwater into the ponds.


Power Up Naturally

01 Solar Power Lights The Way



Boosting up power with renewable energy through installations of solar panels in PIC and reducing carbon footprint.


PIC is boosting its power supply through green energy, harnessing power from the sun. Solar panels and inverters are installed on the rooftops at Pengerang Cogeneration Plant (207kWp), at Main Gate entrances (105kWp), and 450 solar-powered street lights (190kWh). 


02 Renewable Energy in the Future


Reduction of greenhouse gas emissions by an estimated 23,060 tonnes annually, shrinking PIC’s carbon footprint.

The Solar Project is among the first of PIC's Green Energy initiatives to be rolled out, with Phase 1 involves rooftop and ground mounted solar panels totalling 49 MWp in capacity. It is expected to begin operation in Q4 2022.

Solar Phase 1 project is aligned with PETRONAS' 3-Pronged Growth Strategy to step out into new energy with the supply of 49MWp solar energy for PIC's self consumption.

Floating solar installations and wind power are being explored for the near future.


PIC Growth Projects

01 Solar Project Boosts Green Energy in PIC




Reduction of greenhouse gas emissions by an estimated 23,060 tonnes annually, shrinking PIC’s carbon footprint.



The PIC Solar Project is among the first of the Complex’s Green Energy initiatives to be rolled out, with installations of up to 400 MWp capacities, planned for the next five years in collaboration with the PETRONAS Gas & New Energy (GNE) division.

Phase 1 of the Solar Project received PRPC Board endorsement in August 2020 and is expected to begin operations in Q4 2021. It involves rooftop and ground mounted solar panels totalling 49 MWp in capacity, to be installed in PIC and at the PAMER raw water supply facility. Floating solar installations at PAMER are also being explored for the near future.


CO2 Emissions

01 Reducing CO2 Emissions



Avoiding 3.6 mtCO2e emissions through technology selection.


Right from its blueprint, we explore new technologies and innovations to ensure sustainable growth and operations in PIC.

Technology options focus on reducing direct emissions to reduce carbon footprints, such as recovering waste heat for steam generation at our cogeneration plant and CO boiler.   



Uplifting Communities, Transforming Lives

#ForPengerang seeks to make a positive social impact by improving the socio-economic well-being of various communities in Pengerang by nurturing the development of cooperatives, entrepreneurs, skills and capabilities.

This overarching initiative includes various community development, education outreach, livelihood restoration, environmental protection and conservation programmes as well as income generation.


01 Nurturing Cooperatives, Expanding Small Businesses



The cooperatives collectively generated more than RM10.8 million revenue from 2019 until 2021 even during the times of the pandemic.


The cooperatives in PIC that are jointly developed through #ForPengerang initiatives are KOJAYA, KOLEPAU, KOPEJA, KOPETRI and KOBERA.

Many small businesses in the area supply and service PIC via the cooperatives and have benefited from the initiative. During the construction phase of PIC, local pasar malam or night market vendors at PIC generated a total revenue of RM19.5 million from 2017 to 2019.

KOLEPAU who ventured into landscaping was responsible in the greening of PIC by planting and caring for trees in PIC.


02 Mussel Farming Restores Livelihood



Installation of 50,000 mussel breeding traplines at Kampung Kuala Masai. Harvest gathered from the pilot project is forecast to provide additional income of RM200 per month per farmer.


This is a three-year green mussel aquaculture pilot project in Kampung Kuala Masai, which aims to restore and enhance the livelihoods of around 100 Orang Seletar fisherfolk through mussel farming.

The project is a joint effort among PETRONAS, PRefChem, the Department of Orang Asli Development, the Fisheries Development Authority of Malaysia, the Johor Department of Fisheries, the Malaysian Institute of Policy and Nutrition, and Universiti Putra Malaysia. To date, 30,000 collector traplines have been installed in Kampung Kuala Masai for mussel breeding.


03 Mangrove Planting, Developing New Skills



21,000 trees 21,000
5.5 acres Reforestation of mangrove degraded area
26 local villagers Job created (3 years)
112.4 tCO2e Carbon sequestration


A joint project between PRPC and Pengerang Terminals (Two) Sdn Bhd to plant mangrove trees in Pulau Tanjung Surat over three years from 2021 to 2023. The project aims to create economic opportunities for the local villagers as well as to have a positive environmental impact.


04 Local Community Upskilling



Total revenue of RM19.5 million from 2017 to 2019 for the PIC pasar malam vendors.


Coming Soon


Biodiversity and Natural Resources

01 Meet Our Neighbours



The PIC Biodiversity Monitoring survey conducted in July 2020 identified the following wildlife:

  1. Avifauna
    Total of 57 species, with 45 species of Protected & Totally Protected wildlife.
  2. Fauna
    Total of 9 mammalian, 3 amphibian and 6 reptilian species; with 1 Totally Protected species, 5 Protected Species, and 1 Endangered Species under IUCN.
  3. Flora
    62 flora species were identified.


There is now a greater demand for the business community to play a bigger role in Biodiversity and Ecosystem Services (BES) management and conservation.

In response to this, PIC conducts periodic marine and terrestrial ecology monitoring surveys in the vicinity of our operations, where we identified several wildlife species around PIC classified as "Protected" and "Totally Protected" under Malaysian and international laws. Therefore, hunting or keeping them as pets and taking or keeping parts or derivatives of any protected species is strictly prohibited.

PIC is the home of the "Endangered" dusky leaf monkeys, noted for their bright orange fur as babies [under the International Union for Conservation of Nature (IUCN) Red List].

PIC is also a sanctuary for migratory birds recording up to 57 species with 45 species classified as "Protected" & "Totally Protected".

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