Sustainability

Sustainability & Alumina

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

Sustainable development and growth is fundamental to AWAC, and we recognise our joint venture partner, Alcoa, as a world leader in corporate sustainable development.

Sustainability approach

Alumina Limited’s role is to support AWAC to achieve best practice in environment, safety, community and financial performance through strong, collaborative and informed governance.

We do this through:

discussing and agreeing AWAC’s long-term strategies and objectives with managing partner Alcoa
supporting the policies and practices that Alcoa implement in AWAC to ensure sustainable operations
reviewing reports of non-compliances on human rights, environmental, labour or anti-corruption grounds..

Alumina Limited’s Board uses this knowledge to assess any potential risks and opportunities for shareholders from AWAC’s sustainability performance. We do this at through using our own risk assessment processes that are reviewed and updated through the Audit Committee.

Alumina Limited’s operations

Alumina Limited is also committed to sound corporate and social policies within our business activities and strategy, the results of which are included throughout this report. Our activities are informed and guided by our Sustainability Policy.

Supporting Alcoa’s Sustainability Roadmaps and Scorecards

In 2010 Alcoa developed its sustainability approach to include Sustainability Scorecards for every site, so that performance is reported quarterly against targets and key indicators. This initiative will be implemented during 2011, supported by the business unit Roadmaps that identify any gaps in sustainability management at local levels.

We endorse this approach, which will embed sustainability deeper into AWAC and its everyday activities.

Sustainability challenges

AWAC is a resource intensive business that brings with it sustainability challenges.

While generating substantial economic and social benefits, we are mindful of the need to balance these activities with responsible environmental stewardship to minimise negative impacts on local environments and neighbouring communities. In 2010 some of the major sustainability challenges for AWAC were:

Clean energy sources for an energy intensive business in an increasingly carbon constrained world
Bauxite residue and storages
Carbon emission reductions.

Sustainability commitments

Alumina Limited’s commitments for improving sustainability performance include:

Increasing the prominence of sustainability in Alumina Board deliberations and risk assessments through widening the charter of the audit committee.
Supporting Alcoa’s approach to drive sustainability practice throughout the operations using Sustainability Scorecard and Business unit Roadmap initiatives

Continue to investigate opportunities for new technologies for reducing greenhouse gas emissions and developing cleaner energy sources for discussion with Alcoa.