KUALA LUMPUR: British American Tobacco (Malaysia) Bhd (BATM) has achieved carbon neutrality for its Johor Bahru factory, reaffirming its commitment to net-zero emissions by 2050.

The company received the certification under PAS 2060, the internationally recognised carbon neutrality specification, from December 1, 2020, to November 30, 2021.

BATM commercial marketing director Bryce Green said climate action could be the foundation for a new era of innovative potential, job creation, and economic growth.

"We are proud to officially launch our solar power system today, which is a testament to our passion for all stakeholders, and key to our achievement of carbon neutrality status.

"This global certification follows years of reductions made at every stage of our supply chain and is part of a clear ambition that we have set for ourselves in reducing emissions across all our business units," he said in a recent statement.

BATM announced the milestone today during the launch of the factory's solar power system.

The solar power system, which was fully installed in May 2022, will generate some 103megawatt-hour (Mwh) of energy annually, powering approximately 60 per cent of the factory annually.

The solar power system will generate savings of nearly RM1 million over 20 years.

The main contributors to BATM's greenhouse gas emissions are its factory, fleet, and electricity usage.

In 2021, BATM reduced total carbon emissions by 10.5 per cent compared to the previous year, mainly due to various initiatives, including restructuring its business model and energy-saving campaigns.

BATM operations director Remeena Prabhakaran said the company is focused on and committed to achieving net-zero emissions by 2050.

"Structures and processes are in place to conduct robust reviews on initiatives pertaining to the environment's key performance indicators," she said.