Sustainability

Sustainability Policy

1. Introduction

Alumina Limited is committed to the continuous improvement of our business activities and to ensure the long-term sustainability of our investment in AWAC.

Alcoa, the manager of AWAC, has the primary responsibility for developing and implementing a sustainable business framework for AWAC’s worldwide operations. Alcoa’s commitment to sustainability is supported by a range of business systems and operational processes which integrate sustainability into all aspects of AWAC’s business. AWAC’s sustainability framework is designed to ensure profitable, sustainable growth for it’s stakeholders.

Alumina Limited will provide non-financial reporting of the impacts and achievements in sustainable business development initiatives within AWAC, and for Alumina Limited, which demonstrate our commitment to positive environmental, social and community interaction.

2. Sustainability – context for Alumina Limited

The principal sustainability context for Alumina Limited is to ensure that AWAC management integrates sound environmental, social and governance processes alongside sustainable financial performance of the business. Alumina Limited is also committed to sound corporate and social policies within our business activities and strategy.

Alumina’s Values, which define “the way we do things at Alumina”, are integral to underpinning our future prosperity and sustainable business growth.

Personal Commitment – our commitment to health, safety and protecting the environment

Integrity – our word is our commitment to all stakeholders

High Performance - to continuously achieve better performance and outcomes in all that we do

Respect – for others, including the impact on those who are influenced by our activities

Honesty – being open, honest and ethical in our business dealings

Alumina Limited understands the fundamental link between the long-term profitability of the Company and the sustainability of AWAC’s operating performance. Decisions and actions we make today influence future economic, environmental and social outcomes, and impact on long-term profitability and returns for our shareholders.

Sustainable development and growth is fundamental to how AWAC is operated, and Alcoa is a leader in corporate sustainable development. Alumina Limited will use our best efforts to ensure Alcoa maintains this leadership in managing AWAC’s health, safety and environmental performance, AWAC initiatives to lower greenhouse gas emissions, improve energy efficiency, and reduce the environmental impacts of it’s operations.

3. Alumina Limited Sustainability Policy

For both the AWAC partnership, managed by Alcoa, and in Alumina’s business dealings, our ambition is to:

achieve an injury free work environment and promote the health of our employees and of the communities in which we operate
apply high ethical business standards and best practice principles and methods
mitigate risks and regularly update business practices to enhance AWAC’s impact on the environment, it’s employees and for the communities where it operates
ensure AWAC’s efficient use of energy and natural resources
respect the rights and values of the communities where AWAC operates, and strive to achieve challenging targets in social and environmental improvements
meet or exceed AWAC’s emissions and pollution regulation standards, through continuous improvements in technology and operating practices
ensure that rehabilitation programs for AWAC’s mining operations are managed to re-establish the botanical richness and mix of plant species occurring naturally in the local areas
provide open, timely and clear reporting on our performance against goals and targets
engage openly with stakeholders

4. Measurement and Reporting

Reporting of both Alumina and AWAC’s non-financial impacts and our achievements is a key part of our commitment to the principles of sustainable business development.

Progress against key sustainability targets will be measured and performance communicated on a regular basis utilising the following frameworks:

Measurement:

Annually review Alumina’s and AWAC’s performance and progress on key sustainability initiatives
Adopt ASX100 best practice in reporting of GHG emissions, analysis of abatement and energy efficiency initiatives, comprehensive disclosure of environmental and safety performance

Reporting:

Total annual greenhouse gas (GHG) emissions for each AWAC bauxite mine, refinery and smelter, and a consolidated AWAC summary
Carbon Disclosure Project – annual review of carbon emissions, targets, and emissions mitigation initiatives
Alumina’s Sustainability Report – incorporate sustainability performance in our Annual Report and on Alumina’s website

5. Sustainability and Risk Management

Executive Management are required to formally review Alumina’s progress on key initiatives and performance measures relating to sustainability with the Board annually.

Alumina’s Risk Management Framework, which is reviewed bi-annually with the Board, incorporates a matrix for sustainability and environmental risk evaluation relevant to Alumina’s business.

AWAC: A SUSTAINABLE BUSINESS

Sustainable development is a critical component of AWAC's 21st century operating strategy.

Alcoa, who manages Alcoa World Alumina and Chemicals' (AWAC's) day-to-day operations, builds sustainability into their operational practice, planning and development. The goal is to create a business that is valued by society in the future and is positioned for growth.

For more information:

Alcoa Inc

2008 Sustainability Report
2007 Sustainability Report
2006 Sustainability Report
2005 Sustainability Report

Alcoa of Australia

2008 Sustainability Report
2007 Sustainability Report
2006 Sustainability Report