GOKONGWEI-LED Universal Robina Corp. (URC) and Holcim Philippines have partnered with the local government of Obando, Bulacan, to promote a program that diverts non-recyclable plastics to fuel cement production.

"This new agreement, with Obando as a key partner, aims to further drive community-based waste diversion efforts," URC President and Chief Executive Officer Irwin Lee said.

URC has been working with Holcim, through its waste management arm Geocycle Philippines, in the last three years for the processing of waste plastic.

Non-recyclable plastics are converted into alternative fuels for the cement kiln at Holcim's Misamis Oriental plant.

"We hope to replicate it in other towns and cities to amplify the impact of what we set out to do three years ago," Lee said.

The agreement provides incentives for Obando's Material Recovery Facility (MRF) workers based on the volume of waste they successfully divert for co-processing.

Obando Mayor Ding Valeda said the agreement is a "symbol of collective action and hope of all stakeholders for a cleaner and safer community."

"Through this collaboration, we expect to improve our programs on solid waste management and give better opportunities for our community to be part of the solution," he added.

Holcim chief sustainability officer Samuel Manlosa Jr. said that the agreement supported the company's sustainability goals.

URC shares rose by P1.50 to close at P103 each on Monday.