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Committed to Sustainable Partnerships

Cement Australia: Committed to Sustainable Partnerships

Introduction

Cement Australia is the leading
integrated manufacturer of cementitious
products in Australia. The company holds
47% of the Australian market, and is an
acknowledged leader in the national
industry. Our international shareholding
provides leading global support on the
full range of related technical,
environmental and sustainability issues
confronting the industry.
Cement Australia has the commitment
and capacity to drive worthwhile
sustainable outcomes in cement
manufacture and sustainable materials,
and particularly in relation to resource
conservation and management.

Our Global Links
Our strong links with global cement
players provides us with real advantages
including:
• Global benchmarking of our operations;
• Access to the latest in cement
processing technology; and
• Links to the World Business Council for
Sustainable Development through our
parent companies, Holcim and
HeidelbergCement which provides,
amongst a half a dozen sustainability
initiatives, an international focus on
greenhouse issues, emissions reporting,
and resource sustainability.

Our Operations
Cement Australia has an annual turnover
of nearly one billion dollars, through
4.8 million tonnes of cement sales per
annum, and sales of lime products, fly ash
and slag. We employ approximately 1,100
employees – largely in regional Australia.
We operate from three major integrated
clinker and cement manufacturing
operations, the largest of which is our
Fishermans Landing operation near
Gladstone, as well as some twenty-two
facilities providing the support and logistics
necessary to supply such a geographically
diverse market as Australia. Cement
Australia’s subsidiary Geocycle, a
specialised waste management company,
is an important component in effecting
our sustainability strategy.
Cement is a vital commodity for the
Australian economy, not only as a critical
component of any infrastructure
development program, but increasingly in
resource recovery and reuse innovation –
in both cases providing significant
economic and social benefits.
Its relatively low value and independence
from unique geological raw materials, as
well as its critical importance for the built
environment, means that only very few
countries do not maintain a viable and
strategically important domestic cement
manufacturing industry.

“Cement Australia has the commitment and capacity to drive worthwhile
sustainable outcomes in cement manufacture and sustainable materials,
and particularly in relation to resource conservation and management.”

Cement Australia: Committed to Sustainable Partnerships

Cement Australia: A Sustainable Business

Our Objectives

Our Strategy

While still a relatively young company,
Cement Australia has embarked on its
own journey to understand what
sustainability means, and what our
approach to sustainability might look like.

Sustainable Performance
This element focuses on the financial
performance of Cement Australia,
but also recognises the importance of
actively reviewing and improving the
way the business achieves this.

As a commercial entity, there is clearly
an imperative that we be financially
successful. But we understand that our
longer-term financial success can only
be achieved by embracing a broader
view of sustainability. We don’t believe
that one can exist, in the longer term,
without the other.
So our overarching objective is that
Cement Australia develops into a
sustainable business that delivers on
financial, social and environmental
commitments today, all the while
ensuring our long-term capability
to do this in the future.
This objective must, and does, link with
our company vision – “to be the leader
in cement in Australia”
In order to achieve and maintain this
vision, and with a view to achieving a
sustainable future, we believe that there
are three core inter-related elements,
which must be managed in parallel:

Sustainable Partnerships
We recognise the importance as well
as the breadth of the stakeholders in
our company. Our relationships with
our shareholders, our customers, our
regulatory authorities, our neighbours
and our employees must also be
sustainable. They must have a long-term
focus, and they must be developed as
partnerships – not simply as fleeting
transactions or one-way communications.
As one example of this, Cement Australia
maintains community liaison groups at all
of its major operations and we believe
that these are essential to providing an
accessible public face to the community
as well as enabling proactive
management of community issues.
Sustainable Practices
We build from the more traditional
safety, health and environment focus
to include resource conservation as
well as an understanding of the
collaborative role that industry must
play with society to address critical
issues such as climate change.
Our sustainability strategy focuses on
delivering in each of these areas and can
be summarised opposite.

Cement Australia: Committed to Sustainable Partnerships

Our Sustainability Strategy
Sustainable Business
In order to achieve and maintain our vision of being the leader
in cement in Australia, we must manage three core interrelated
elements in parallel.
SUSTAINABLE
PERFORMANCE
We must deliver excellent financial results to our
shareholders consistently over the long term.
This is achieved through continuous business
improvement activity.

We must build a business that supports and
improves the lives of everyone we interact with.
We respect the people and organisations we work
with and have a role to play in building the
community that supports us.

SUSTAINABLE
PRACTICES
We must ensure our actions do not cause harm
to people or the environment and we reduce our
consumption of natural resources. We must also
work closely with authorities and industry to form
collaborative solutions to global issues.

SUSTAINABLE
FUTURE

LONG TERM VIEW

SUSTAINABLE
PARTNERSHIPS

Cement Australia: Committed to Sustainable Partnerships

So how does this strategy
manifest itself in practice?
Sustainable Performance
“Sustainable Performance”, results in
an increasing focus on integrating
sustainability issues into our financial
planning and budgeting processes.
Within this element, we include a strong
business improvement program and
annual plant performance reviews as
key ways of achieving continuous
improvement. Similarly, human resources
development, particularly within a
relatively small and specialised industry
sector goes hand-in-hand with a
sustainability objective.

Sustainable Partnerships
We have a strong history of ongoing
engagement through community liaison
groups. It is also important that our
regulators understand the vagaries of
cement manufacture, as much as we
understand regulatory processes and
practice.

Our employees are our most important
partnership. Gone are the days when
employees, at the precise moment they
walked through the workplace gate,
delegated responsibility for safety,
environmental performance and
corporate governance to their employer.
We now see new generations of
employees that actively care about the
sustainability performance of their
employer, and are also keen to be
involved in whatever way they can.

Sustainable Practices
Focus areas for “Sustainable Practices”
include our management of safety, health,
environment and compliance, with a
particular focus in recent times on
improved water management and
greenhouse gas emissions management.
Cement Australia is particularly active in
the area of resource conservation, and is
one of the largest material recyclers in
Australia

“Our employees are our most important partnership. We now see new
generations of employees that actively care about the sustainability
performance of their employer, and are also keen to be involved in
whatever way they can.”

Cement Australia: Committed to Sustainable Partnerships

Case Study
Sustainable Partnerships: Case Study
Since the 2003 acquisition of the Railton plant
in Tasmania, Cement Australia has consistently
demonstrated its determination to meet its
obligations to those employees affected by the
manufacture of asbestos sheeting at the site
between 1947 and 1986.
As a company with a commitment to zero harm
and providing a safe working environment for
our employees, we are treating this issue with
the utmost priority. Recognising the
importance of this issue, we have quickly
established a proactive and comprehensive
response to it. Our response operates on a
number of levels:
• Quickly resolving claims as they are made;
• Investing in an accelerated program of
removing or completely isolating all asbestos
at the site.

• Ensuring all employees understand and
implement safe work practices, particularly
in relation to asbestos;
• Encouraging any former employee with a
concern to contact us immediately and
providing these employees with assistance
and information;
• Keeping the community informed through
regular community consultation meetings,
by providing a contact point for information
within our organisation and by ensuring
safety and education materials are available;
• Conducting a detailed study into the level of
occupation exposure during the period of
manufacture to help us better understand the
issue and frame our response accordingly.
The following chart illustrates the spend
commitment associated with this program.

$Million

Asbestos Removal cumulative spend
9
8
7
6
5
4
3
2
1
2000

2001
Actual

2002

2003

2004

2005

2006

Forecast/Fin Plan

2007

2008

2009

2010

2011

2012

2013

2014

“Cement Australia’s approach to greenhouse gas abatement begins at a
grassroots level: with our people; through our operational processes;
through a focus on research and development; as well as by sharing our
knowledge and skills across all of the communities in which we operate.”


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