Professional Documents
Culture Documents
sustainability is
important to Boral
Rod Pearse, CEO & Managing Director Citi Sustainability Conference 20 May 2008
Rod Pearse
July 2003
2
Focusing on sustainability makes good business sense -
business continuity, operating costs and revenue growth
ENVIRONMENT
OUR PEOPLE Energy / GHG emissions
Employee health & safety Water
Contractor health & safety Waste / recycling
Training & development Biodiversity
Recognition & rewards Raw materials
Stakeholder engagement
Resourcing for growth
COMMUNITY
SUPPLY CHAIN
Community partnerships
Customers
Community liaison / engagement
Suppliers
Public engagement
Sustainable products
ASIA:
USA:
92 sites
110 sites Plasterboard*
Bricks
Korea
Clay roof tiles
Thailand
Concrete roof tiles*
China (east)
Flyash
Indonesia
Concrete & Quarries AUSTRALIA: Malaysia
(Colorado & Oklahoma)
514 sites The Philippines
Cement Bricks Vietnam
Concrete Masonry Concrete & Quarries
A total of 716 operating sites Quarries Roof tiles Indonesia
(excluding distribution) Asphalt Plasterboard Thailand
across 11 countries** Windows Timber
* 50%-owned joint venture ** includes Trinidad and Mexico
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Our People
A lack of focus on health & safety has tragic and costly consequences;
proactive health management delivers measurable benefits
Employee Employee Boral’s BWell program
LTIFR* % Hours Lost
Over 6,000 voluntary health
assessments undertaken since
2004
Globally recognised as a best
practice program
6
Energy use and
greenhouse gas emissions
We understand our energy use and GHG emissions; this is critically
important as mandatory reporting and emissions trading approaches
GHG emissions in cement*
tCO2-e/tonne of cementitious material sold
3.70 million tonnes CO2-e emitted
in FY2007, down 1.6% on a
comparative year-on-year basis Indirect emissions
Fuel emissions
Cement emissions represent Process emissions
~60% of Boral’s total, and have
reduced by 14% per tonne since
1990
30
0
0 0
0
2.25m 2000
0.46m 0.43m 0.41m .12m.03 4000 3.70m tonne
m
CO2-e emissions (tonnes)
*Boral’s operating divisions are Cement; Australian Construction Materials (ACM); Clay & Concrete Products (C&C); Plasterboard; Timber; USA.
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Boral’s abatement cost curve is based on a portfolio of
emission reduction initiatives
Alternative Fuels
Eg. cement alternate
fuels, US brick alternate
fuels & gasification
Energy Efficiency
Eg. kiln & vehicle efficiencies
through plant upgrades / Alternative Materials
reconfigurations Eg. addition of
IRR (%) FOR ILLUSTRATIVE
PURPOSES minerals in cement
Plasterboard energy efficiency
US Bricks Landfill gas- Union City
Alternative New Plants x & y
Fuels WP- Alt Fuels
GNG Agitators
landfill gas
Landfill gas- Terre Haute
Putrescible Bricks kiln gas
Waste (C&CP) efficiency (C&CP)
Alt fuel Timber
(C&CP)
Carbon Capture & Storage
Carbon Sinks Abatement Potential New technologies required
Eg. Timber for longer-term solutions
plantation strategy Eg. algae bio-sequestration
Renewable Energy
Eg. landfill gas to replace
NG; Boral landfill / gas
generation project
Exporting renewable Pioneering the use of CNG Using landfill gas to fuel
energy to the national grid in concrete agitators brick kiln at Union City
Deer Park generates 9-10% lower greenhouse Landfill gas replaces ~33%
~9,000MWh each year of gas emissions of kiln’s fossil fuels with
renewable energy from Over 50% reduction in methane gas from landfill
landfill gas (equivalent to engine noise Landfill gas is expected to
supplying 1,000 homes) Lower cartage costs with supply 60% of the kiln’s
Expect to double in FY08 fuel costs falling by over 60% energy requirements
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Water
2.93 billion litres of mains water used FY2007 Mains water consumption by division
in FY2007, steady on a comparative
year-on-year basis but 24% down 14%
Australian Construction
since FY2005 50% Materials
3%
Cement
Concrete production uses ~40% of Clay & Concrete
11%
Boral’s water; Boral Concrete has Products
Plasterboard
delivered a 20% reduction in mains
6% Timber
water since FY2005 through onsite
USA
capture and recycling
16%
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Water
12
Waste
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We are enhancing the sustainability of our products & operations to assist our
customers to achieve their sustainability goals and to enhance our revenues
Timber Terracotta roof tiles Hancock Plywood
• Australian hardwood from sustainably • enhanced thermal performance • from renewable & sustainable
managed forests • all production tile waste on site plantations
• SilkwoodTM uses three times less hardwood is recycled or re-used • 100% use of resource
than traditional flooring
Masonry blocks and pavers
Windows • Boral FireLight™ contain 75% by-
• innovative designs (orientation/ product & 5% recycled concrete
glazing) to reduce heat gain & loss
Fly ash (EnviroAgg®) and
Plasterboard slag (Slagment)
• low embodied energy lightweight • 100% re-used by-products
construction
• 100% recycled paper liner Concrete
Clay bricks • featuring a range of alternate
mix designs that utilise recycled
• excellent thermal properties for
aggregates, cementitious waste,
energy-efficient construction
Asphalt and Boral recycling road base recycled & treated water
• reusable & recyclable
• LoNoise Asphalt for heavily trafficked roads produced from
granulated recycled tyres
• recycled aggregates from materials including crushed concrete,
re-used in concrete and asphalt
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Community Engagement
Community engagement is critical for business continuity; we need to
understand the views of our stakeholders in our day-to-day operations and
development plans and our stakeholders need to understand our priorities
Key issues
Dust
Noise
Transport
Development plans
Alternate fuels
Communications
Community liaison
meetings
Site visits / open days
Letter box drops
Website updates
Newsletters
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We assess our sustainability performance
using the Boral Sustainability Diagnostic Tool
20 Elements of the Boral Sustainability Diagnostic Tool (BSDT)
Sustainability management Social responsibility
Scope of commitment Community relations and engagement
Management systems – quality, health, safety Business ethics and corporate governance
and environment External relations and communications
Accountability and performance management Environment
Budgeting and financial management Land protection, remediation and
Risk management – new business, plant and rehabilitation
equipment Environment and ecosystem protection
Compliance review and reporting Waste and resource management, recycling
Continuous improvement and re-use
Supply chain management Energy conservation and climate change
Strategic sourcing and supply chain Water conservation, extraction and protection
Sales and marketing
Human resources
Communications, awareness and training
Employee and labour relations
Health, safety and wellbeing
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1.09
ACM Divisi on (Na tional) 1.8
ACM Vic/Ta s 1.4
Metro Concrete Vi c 1.3
Metro Quarries Vic 1.7
Transport Vic 1.7
Asphalt Vic 1.7
Res ourc es Country Vic 1.4
Res ourc es Tas 1.4
Asphalt NSW 2.1
Country Con & Qua NSW 1.2
Conc rete Me tro NSW 0.9
Transport NSW 1.1
Metro Quarries NSW 1.8
ACM NSW Concrite 0.8
2001 scores
1.2
2007 target
Brick s East Qld 1.3
Brick s East Vic 1.5
Midland Brick Company 2.0
Mas onry Qld 2.1
Mas onry NSW 1.8 1.56
Plasterboard Qld 1.9
Plasterboard Vic 1.4
Plasterboard NSW/ACT 1.5
Plasterboard W A 1.5 1.59
Ti mber National 2.0
Boral Hancock Plywood 1.4
Aust. Construction
Ti mber Hardwood 0.9
Ti mber SEPL NSW 1.5 1.46
Boral Industries Inc 1.7
Brick s, West and Mid South Re gion 1.9
Boral Brick s, East Regi on 2.0
Boral Brick s, Southeast Region 1.9
US Tile 2.0
Boral Materials Technology Inc 1.6 1.83
Average Level 1.4 1.4 1.6 1.7 1.5 1.5 1.1 1.6 1.5 1.5 1.3 1.9 2.1 1.2 1.7 1.9 1.7 1.6 1.5 1.3 1.55
Materials 2001
BSSDT Element # 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2.1 2.2 2.3 3.1 3.2 3.3 4.1 4.2 5.1 5.2 5.3 5.4 5.5 Level Div.
Boral Lt d (Corporate) 1.9 1.90
Cement
ACM Regional NSW 2.2
ACM Dev Business Unit ( QEU) 2.1
Asp halt NSW 1.7
Concrite NSW 2.0
Count ry Co ncrete & Quarries NSW 1.7
Metro Con crete NSW 2.1
Metro Quarries & Recycling NSW 2.1
Tran sp ort NSW 2.1
ACM Regional Qld 2.0
ACM Count ry Qld 1.7
Asp halt Qld 2.2
Metro Con crete Qld 1.7
Metro Quarries Qld 1.9
Metro T ransport Qld 1.8
ACM SA/NT 2.0
ACM Regional Vic/Tas 2.5
Asp halt Vic 2.2
Count ry Co ncrete & Quarries Vic 2.0
Products
Windows National 2.03 2.28
Bricks East NSW 2.2
Bricks East Qld 2.2
Bricks East Vic 2.0
Mason ry NSW 1.8
Mason ry Qld 1.8
Mason ry Vic 2.2
Mason ry & Roof ing SA 1.8
Midland Brick Co mpan y 2.3
Roofin g NSW 2.0
Roofin g Qld 2.0
Tiles Vic 1.8 2.00
Plasterboard NSW/ACT 2.4
Plasterboard SA 2.0
Plasterboard Qld 2.3
Plasterboard Vic 2.2
Plasterboard WA 1.9 2.16
Boral Hancock Plywood 2.3
Timber Hardwoo d 2.2
Plasterboard
Timber SEPL NSW 2.0 2.13
USA - Bricks West 2.0
USA - Bricks Sout heast 2.1
USA - BMTI 1.8
USA - Bricks East 2.1
USA - US Tile 2.1 2.01
Average Level 2.0 2.0 2.1 2.1 2.0 2.1 1.8 2.0 2.5 2.2 1.9 2.2 2.4 1.8 2.2 2.3 1.9 2.1 1.8 1.8 2.06
2003
Timber
BSSDT Element # 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2.1 2.2 3.1 3.2 3.3 4.1 4.2 4.3 5.1 5.2 5.3 5.4 5.5 Level Div.
Boral Ltd (Corporate) 2.50
Procurement 2.22 2.36
ACM Dev Bu siness Unit (QEU) 2.63
Asphalt NSW 2.50
Concrite NSW 2.33
Country Concrete & Quarries NSW 2.60
Metro Concrete NSW 2.28
Metro Quarries (& Recycling?) NSW 2.58
Transport NSW 2.38
ACM Co untry Qld 2.68
ACM Asphalt Qld 2.70
ACM Transport Q ld 2.20
ACM SEQ Quarries 2.65
ACM SEQ Co ncrete 2.65
ACM Resources SA 2.63
Asphalt Vic 2.58
Country Concrete & Quarries Vic 1.88
Metro Concrete Vic 2.85
Metro Quarries Vic 2.70
Resources Tas 2.33
USA
ACM Regional WA 1.95 2.48
BCSC NSW - Berrima, Maldo n 3.08
BCSC Flyash NSW 2.88
BCSC Minerals Galong & Marulan NSW 2.55
BCSC Waurn Ponds Vic 3.08
Formwork & Scaffolding 2.48
Window s National 2.60
De Martin & Gasparini 2.45 2.73
Bricks East NSW 2.55
Bricks East Qld 2.88
Bricks East Vic 2.83
Masonry NSW 2.90
Masonry Qld 2.98
Masonry Vic 2.83
Masonry & Roof ing SA ( C & C Central) 2.93
Midland Brick Company 2.95
Roofing NSW 2.78
Roofing Qld 3.08
Tiles Vic 2.75 2.81*
Plasterboard NSW/ACT 3.00
Plasterboard SA 2.70
Plasterboard Q ld 2.93
Boral average
Plasterboard Vic 2.68
Plasterboard WA 2.80 2.82
Boral Hancock Plywood 3.00
Timber Hardwood 2.75
Timber SEPL NSW 2.70 2.82
USA - Bricks 2.38
USA - Boral Bricks Direct & Logistics 2.24
USA - BMTI 2.61
USA - US Tile 2.38 2.40
Average Level 2.80 2.60 2.79 2.75 2.72 2.87 2.25 2.71 2.78 2.68 2.72 2.76 2.45 2.72 2.72 2.65 2.47 2.62 2.32 2.35 2.63
2005
0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0
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QUESTIONS
APPENDIX
Boral’s sustainability journey
1990 Policy formulation / review
Management Guidelines
Site surveys, reviews, plans
Prioritised corporate audits / action plans
Professional development program
Promotion of local management systems
development
1995 2007
Succession planning 2004
2000
Enhanced corporate reporting 1999
1997
Training at all levels
Acquisition / divestment audits Boral Sustainability Diagnostic Tool (BSDT)
Management Guidelines
BSSDT Element # 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2.1 2.2 3.1 3.2 3.3 4.1 4.2 4.3 5.1 5.2 5.3 5.4 5.5 Level Div.
Boral Lt d (C orporate) 2.50
Procurement 2.22 2.36
ACM Dev Business Unit ( QEU) 2.63
Asphal t N SW 2.50
Concrit e N SW 2.33
Count ry Concrete & Quarries N SW 2.60
Met ro C oncrete NSW 2.28
Met ro Q uarries ( & R ecycl ing?) NSW 2.58
Tra ns port NSW 2.38
ACM Country Qld 2.68
ACM Asphalt Ql d 2.70
2000
ACM Transport Qld 2.20
ACM SEQ Quarri es 2.65
ACM SEQ Concrete
L evel
2.65
BSSDT Element # 1 .1 1 .2 1.3 1.4 1.5 1.6 1.7 2.1 2.2 2.3 3.1 3.2 3.3 4.1 4.2 5.1 5.2 5.3 5.4 5 .5 Div.
ACM Resources S A 2.63
Bora l Ltd ( Corpora te) 1 .9 1 .9 0
ACM Regional NSW
Asphal t Vi c
2 .2 2.58
2007
Formwork & Scaf folding
C,Q&T M etro Ql d 1.2
Window s N ati onal 2.03
Plast erboard Qld 2 .2 8 2.93
Asphal t Qld 1.8
Brick s Ea st NSW 2 .2
Plast erboard Vic 2.68
CMG Country Qld Brick s Ea st Qld
1.7 2 .2
Plast erboard WA 2.80 2.82
ACM Regi onal SA 1.7
Boral Hancock2Plywood
.0
Brick s Ea st Vic
3.00
ACM Regi onal WA Masonry NSW 1.2 1.47 1 .8
2.3 Ti mber Hardwood 2.75
Cement (National) Masonry Ql d 1 .8
Ti mber SEPL N SW 2.70 2.82
BCSC Ash NSW Masonry Vic 0.9 2 .2
Masonry & Roofing SA 2.5
USA - Bricks
1 .8 2.38
BCSC Vi c
Midland Brick Compa ny 1.5
USA - Boral Bricks
2 .3 Di rect & Logistics 2.24
BCSC NSW
Roof ing NSW USA - BMTI 2 .0 2.61
BCSC Maldo n NSW 1.6
Roof ing Qld USA - US Ti le 2 .0 2.38 2.40
BCSC Berri ma NSW Tiles Vic
2.0 1 .8 2 .0 0
Wi ndows Nation al Plas te rboard NSW/ACT 1.2 2 .4 Average Level 2.80 2.60 2.79 2.75 2.72 2.87 2.25 2.71 2.78 2.68 2.72 2.76 2.45 2.72 2.72 2.65 2.47 2.62 2.32 2.35 2.63
S caffoldi ng Natio nal 1.3 1.65 2 .0
2005
Plas te rboard SA
C&C Di vi sional Plas te rboard Qld 1.1 2 .3
Roofing National Plas te rboard Vic 1.3 2 .2
1 .9 2 .1 6
2003
Boral Hancock Pl ywood
Ti mber Hardwood 0.9
Ti mber S EP L NSW 1.5 1.46
Boral Industries Inc 1.7
Bricks, West and Mi d S outh Regi on 1.9
Boral Bri cks, East Regio n 2.0
Boral Bri cks, Southeast Region 1.9
US Til e 2.0
Boral Material s Technol ogy Inc 1.6 1.83
BWell Program
Average Level 1.4 1.4 1.6 1.7 1.5 1.5 1.1 1.6 1.5 1.5 1.3 1.9 2.1 1.2 1.7 1.9 1.7 1.6 1.5 1.3 1.55
2001
Indigenous workplace program
2005 Sustainability Reports
Sustainability reporting / carbon disclosure
project
2007+ Climate Change Technical Working Group
(incl. Greenhouse targets / processes) 2007
2006
2005
2004
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22
Boral is being recognised as an industry leader
Member of the FTSE4Good Index
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