Fuel and energy are key factors of Pilmico’s feed production process. Great amounts of heat and steam are required to create high-quality products. Bunker fuel is the most common fuel resource; unfortunately, it is also non-renewable.

In an effort to reduce consumption, beginning November of 2016 Pilmico began using rice husks, a by-product of rice mills from rice production, as an alternative to bunker fuel. Also anchored on the Aboitiz Group’s program, Race to Reduce, Pilmico used this as an avenue to be green while also lessening the costs of production.

On its first year of implementation, Pilmico was able to save almost half of its bunker fuel use which continued on until 2018, where fuel savings increased further by another 26 percent.

Through this the company’s production process has seen a significant improvement, cutting fuel use by more than 60 percent.

This improvement is only one of Pilmico’s sustainability efforts. In 2008, Pilmico’s swine farm facility in Tarlac also constructed and introduced a biogas system that converts hogs’ waste into fuel for generators, making their farms partially self-sufficient for its electricity requirement.

Through efforts like this, it shows how Pilmico continually looks for innovative ways to operate the business for the better. Pilmico advances business and communities by finding solutions that create an impact not just on the company but to the community and environment, as well.

Originally posted by: Daily Tribune

Frequently Asked Questions

What broader principle does Pilmico’s sustainability approach reflect?
Pilmico’s sustainability innovations share a common logic: finding value in what others consider waste. Rice husks discarded by rice mills and pig waste generated by farm operations both become fuel inputs through Pilmico’s programs. This circular economy approach reduces environmental impact, lowers input costs, and creates operational efficiency simultaneously. It reflects the Aboitiz Group’s stated commitment to finding solutions that create impact not just for the company but for the community and environment as a whole.

What problem with bunker fuel prompted Pilmico to seek an alternative fuel source?
Bunker fuel — the most commonly used industrial fuel for generating heat and steam in feed production — is derived from petroleum and is therefore a non-renewable resource subject to price volatility and increasing environmental scrutiny. For Pilmico’s feed milling operations, which require large and continuous amounts of heat and steam, dependence on bunker fuel represented both an ongoing cost burden and a sustainability liability inconsistent with the Aboitiz Group’s Race to Reduce environmental program.

What is rice husk and why was it a viable alternative to bunker fuel for Pilmico?
Rice husk is the outer shell of the rice grain — a by-product produced in large quantities by rice mills during processing. In the Philippines, where rice production is a major agricultural activity, rice husks are generated in abundance but are frequently discarded or underutilized. As a biomass fuel, rice husks have meaningful calorific value when burned, making them capable of generating the heat and steam required for feed production. Their availability as an agricultural by-product also makes them cost-competitive against petroleum-based alternatives.

What were the measurable results of Pilmico’s rice husk fuel program in its first year?
When Pilmico began using rice husks as an alternative fuel source in November 2016, the first year of implementation saw bunker fuel use cut by almost half. This initial 50% reduction was itself substantial, but continued implementation through 2018 pushed cumulative fuel savings even further — with an additional 26% reduction by the end of 2018. The combined effect was a total reduction in fuel use of more than 60%, representing both a dramatic environmental improvement and a significant operational cost saving.

What other sustainability innovation does Pilmico operate alongside the rice husk program?
Since 2008, Pilmico’s swine farm facility in Tarlac has operated a biogas system that converts pig waste into fuel for electrical generators. This system makes the farm partially self-sufficient for its electricity needs by transforming a waste disposal problem into an energy production asset. Together with the rice husk fuel substitution program, these innovations demonstrate a multi-front sustainability strategy: reducing external fuel dependency while converting operational by-products into productive resources.