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CEMEX UK 2009 Sustainable Development Report

CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

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Page 1: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

CEMEX UK2009 Sustainable Development Report

Page 2: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

Welcome to the second biennial sustainable development report for cemeX uK. 2009 was a mixed year; but despite the continued contraction of the economy our profitability improved, and we celebrated some real triumphs.

cemex uK plays a key role in creating and maintaining britain’s built environment. we are one of the uK’s largest building materials companies and our products, including aggregates, cement and concrete, are part of the fabric of a sustainable britain. but, we recognise that our business has consequences for people and the environment. this, our second biennial report, covering the period from January 2008 to december 2009, records our progress in balancing these impacts with the need to build a more sustainable future. since our last report two years ago, the focus on a more sustainable future has been integrated further into our business model, and accountability has been an increasing part of our licence to operate.

our approach to sustainability and our WorKforcewe see it as a moral obligation to help bring about a low carbon economy, and we work with partners to deliver the Government’s climate change agenda through the durable, flood- and fire-resistant, and thermal properties of concrete. our vision is of a successful, sustainable cemex that makes a positive contribution to people and the environment.

we also recognise our duty to our employees, contractors, and people who come into contact with our business. it is with sadness that we report that cemex uK suffered four fatalities in 2008-2009. work-related incidents are preventable, and it should be the right of every employee to go home

unharmed at the end of a working day. this is why cemex has set a target of achieving zero injuries as quickly as possible.

our sustainability performancewhile demand for our products declined through 2008 and 2009, we improved our profitability by focusing on efficiencies and cost control. we continued to raise employee awareness of sustainability issues as reported on page 14, and reduced our environmental impacts through key investments.

among our key achievements was the 59% reduction in environmental incidents from 2008 to 2009. we reduced co

2 per tonne of product by nearly 10%, and were among the first in the industry to become certified to the building research establishment (bre) framework standard for the responsible sourcing of construction products (bes 6001) for our 230 readymixed concrete plants. our use of alternative fuels rose by 30%.

major investments in 2008 included a £14 million new tunnel at taffs well in wales to take lorries off local roads (see page 20); while in 2009, a new £49 million cement grinding and blending plant was commissioned at tilbury in essex. this was the largest investment in the uK cement industry for five years, and boasts sea, river and rail connections to minimise environmental impact. tilbury plant also uses by-products from other industries to make cements.

2009 sustainable development report

Gonzalo Galindo, uK president.

Page 3: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

in 2009, we began a two-year partnership with the royal society for the protection of birds (rspb).an rspb advisor is helping us develop a national biodiversity strategy, and providing specialistadvice and assistance with restoration plans for the company’s many quarries.

reportinG standardswe are bringing our uK report into line with the Global reporting initiative (Gri) G3 principles to help readers compare our performance with that of other companies. Gri is the most widely-used sustainability reporting framework in the world, and measures and reports economic, environmental and social performance. this year, we applied the Gri indicators to this report and had them checked by an independent, external specialist; it met Gri’s level b. cemex’s global report meets Gri’s level a+, and we hope to move our uK report towards this level in the coming years.

outlooKall our operational areas have firm sustainability targets in place, to ensure we are on course to achieve Government targets and make it easy for our customers to deliver on theirs.

the uK was the first country in the world to legislate in respect of climate change. the climate change act, adopted in 2008, requires greenhouse gas emissions to be reduced by 34% by 2020, and 80% by 2050, compared to 1990 levels. this, combined with the Government‘s strategy for

sustainable construction, sets out a number of sustainability challenges that we are committed to achieving. we have continuous dialogue with Government departments including the department for energy and climate change, the department for environment, food and rural affairs, and the department for business innovation and skills, to ensure we strike the right balance between taking action and remaining competitive.

we expect 2010 to be another challenging year for cemex in the uK, both in economic terms and in the momentum of sustainable development for our business. but despite slow economic growth, sustainable business practices are vital to building a better world for future generations and will also ensure our company’s long-term success.

Gonzalo GalindouK president

contents 2 our business

7 our marKetplace improving efficiency of production and logistics developing new products and services

11 our people engaging employees

15 our environmental commitment reducing emissions managing and controlling impacts

19 our social commitment transparent stakeholder communications contributing to sustainable communities

23 Key performance indicators

1

59%reduction in environmental incidents (see above)

10%reduction in co2 per tonne of product (see page 16)

11%reduction in water use by the readymixed concrete division (see page 18)

30%increase in alternative fuels (see page 17)

200%increase in recycled aggregates (see page 17)

20

40

60

80

100

120

140

Jan 08

Feb 08

Mar 08

Apr 0

8

May 0

8

Jun 08

Jul 0

8

Aug 0

8

Sep 08

Oct 08

Nov 0

8

Dec 0

8

Jan 09

Feb 09

Mar 09

Apr 0

9

May 0

9

Jun 09

Jul 0

9

Aug 0

9

Sep 09

Oct 09

Nov 0

9

Dec 0

9

Rolling 12-month average environmental incidents

0

Page 4: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

cemeX uK is a leadinG provider of materials to the buildinG industry. we supply aGGreGates, cement and readymixed concrete; screeds, mortars and asphalt; and concrete products includinG blocKs, pavinG, roof tiles and railway sleepers.

starting out in 1906 as a local cement producer in mexico, cemex today is one of the largest building materials suppliers in the world. we produce, distribute and market cement, readymixed concrete, aggregates and related products to customers in more than 50 countries, and employ nearly 50,000 people worldwide.

cemeX uKin the uK the company dates back to 1930, when ready mixed concrete established the country’s first readymixed concrete plant. later renamed rmc Group, the company was acquired by cemex in 2005.

the uK is the fourth largest operation in the cemex network, with annual sales of £1 billion, and approximately 3,800 people spread across nearly 400 sites nationwide. we have five business divisions, cement, asphalt, readymixed concrete, aggregates and building products. we hold leading positions in aggregates, cement and readymixed concrete. we also provide screeds, mortars, asphalt and concrete products, including blocks, paving, roof tiles and railway sleepers.

in line with the goals of cemex globally, cemex uK aims to serve the needs of customers and shareholders, and become the world’s most efficient and profitable building materials company, through collaboration, integrity and leadership.

2009 marKet conditionsbritain’s economy finally clawed its way out of its deepest recession since the 1930s in the fourth quarter of 2009. this ended six consecutive quarters of contraction, which saw the economy shrink by around 6%.

construction has been one of the sectors worst hit by the economic downturn. despite the improved end to the year for the economy as a whole, construction output fell by more than 12% in 2009 – the largest fall in a single year since records began in 1955. office and other commercial projects were hardest hit. however, private house building has started to recover, with new builds in 2010 expected to be slightly higher than in 2009.

cemex uK maintained its market position in these challenging conditions, although there was a significant decline in the demand for building products generally. our uK sales declined by 19%, while volumes reduced by around 19% for aggregates and cement, and 25% for readymixed concrete, compared to 2008.

notwithstanding this decline and intense pressure on prices, cemex improved its profitability through a close focus on sustainability, cost control and operational efficiency.

the construction products association, of which cemex is a member, predicts a further decline for the sector of 3% in output for 2010, with the first tentative signs of recovery not expected until 2011.

OUR bUsiness

2 2009 sustainable development report

above: the channel tunnel rail link.

Page 5: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

in 2010 therefore we expect a fall in capital spending for construction, making further volume declines likely. we do not foresee a recovery until 2011, and so plan to maintain our focus on improving our service to customers while controlling costs and expenses.

Governance cemex is committed to the highest standards of corporate governance. a uK senior management team, including the sustainability and health and safety directors, meets weekly and is responsible for day-to-day decision making and compliance with uK laws and regulations. this team, reports on a regional basis into the cemex western europe and cemex europe, middle east, africa & asia regions. these are overseen by cemex’s international management team and board of directors, responsible for the overall operation of the company.

we ensure governance at every level, from the international board of directors to country operations, and we regard ethical behaviour as key to our success. employees are expected to comply with our code of ethics, which provides guidance on behaviour to do with conflicts of interest, confidentiality, employee relations, the environment, external stakeholders, legal and financial compliance, company property and workplace health and safety.

reGulatory environmentthe past two years have seen a dramatic acceleration of environmental regulation generally, and for construction specifically. with the climate change act of 2008, the uK became the first country in the world to have a legally binding framework to cut carbon emissions. also in 2008, the Government published its sustainable construction strategy, outlining specific commitments by industry and Government to take the sustainable construction agenda forward. the uK will be the first country to have zero-carbon homes as a legal requirement from 2016, and it is likely this will extend to other buildings in 2019.

in the uK, initiatives which encourage the use of products with low environmental impact and which perform well during their lifecycle are being widely implemented. the code for sustainable homes, and the bre environmental assessment method – the most widely used assessment methodology for buildings – are changing the face of construction.

the mandatory carbon reduction commitment energy efficiency scheme begins in april 2010. this is a step change in moving towards a lower carbon economy in the uK. for cemex uK, this means that all operational sites will be set up to monitor and account for their carbon footprint, with a view to reducing it over time.

during 2009, we followed the development of the bribery act due to be introduced in 2010, and which will help drive fair business dealings and trade transparency in our industry.

in 2009 cemex welcomed the introduction of the marine & coastal access act and the continued commitment from the uK Government to improve the way in which the marine environment is planned, managed, regulated and protected. cemex remains highly supportive of an approach that is able to define and deliver a ‘licence to operate’ for all marine activities and uses, guided by a long-term, integrated marine policy statement founded on the principles of sustainable development. this should offer benefits to our business and to the environment.

from a marine aggregate operators perspective, a more consistent, strategic approach will provide us with greater certainty when planning, consenting and managing operations – both now and into the future.

since we operate in the european union, cemex uK is also required to comply with the eu emissions trading system (eu ets), a ‘cap and trade’ scheme that includes the cement industry. it operates by allocating and trading greenhouse gas emissions allowances throughout europe, and forms a key part of the uK’s efforts to deliver on its domestic goal of

our business 3

• 3,800 people across 400 sites

• Sales £1 billion per year

• Profitability improved despite falling demand

Management structure

VPAggregatesand Asphalt

VP Readymix and

mortars

VP Commercial,logistics and

building products

VPCement

Operations

UK President

Western EuropePresident

EMEAAPresident

Chairmanand CEO

VPHuman Resources

and Legal

VPStrategicPlanning

DirectorCommunicationsand Public Affairs

Page 6: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

reducing co2 emissions by 20% (from 1990 levels) by 2010. we are currently looking forward to phase three of the scheme, which begins in 2013 and runs to the end of 2020. in order to prevent carbon leakage – where carbon dioxide emissions increase abroad because of emissions reductions in the host country, in this case resulting from the uK’s climate policies – the eu has drafted a list of vulnerable sectors, which includes cement. those on the list will qualify for some free allocations, and the final decision on how this will be implemented will be made at the end of 2010.

cemex works closely with its regulators and takes a proactive approach to consultation and lobbying on key issues, through direct dialogue, and by working through its memberships of associations such as the cbi, the construction products association and the mineral products association.

we are committed to meeting the challenge of climate change, and, as part of the prince of wales’ corporate leaders Group on climate change, cemex signed up to the copenhagen communiqué on climate change in 2009. as a major contributor to the uK and eu economies, the company is supportive of market-based mechanisms such as the eu ets. however, our uK cement manufacturing base is a potential candidate for carbon leakage. we therefore believe it is important to promote greater efficiency by incentivising companies like cemex to invest in alternative fuels, or close inefficient plants. this will promote the reduction of emissions, and create the right business climate for investment in sustainable technologies.

our sustainability approachpart of our vision is for a successful, sustainable cemex that makes a positive contribution to people and the environment. we are therefore committed to taking a leading role in sustainable construction, by helping to deliver a built environment that is profitable, socially responsible and functions within environmental limits. please see diagram above, for our priorities in this area. in line with the uK Government and industry’s joint strategy for sustainable construction, this means providing sustainably sourced materials; reducing greenhouse gas emissions; protecting natural resources; enhancing the environment and creating sustainable communities.

4 2009 sustainable development report

improvinG efficiency of

production and loGistics

developinG neW produ

cts

and services

contr

ibutinG to sustainable

communities

tran

spar

ent

staK

ehol

der

com

mu

nica

tion

s

controllinG impacts manaGinG and

reducinG emissions en

GaGinG

empl

oyee

s

redu

ce fu

el u

sage

act as good neighbours

regeneration, restoration

and landscaping

engagement and education

programmes

Shape future

sustainability policyobtain permissions

create demand for sustainable products

increase use of

waste-derived fuels

Lower

depe

nden

ce

on fo

ssil fu

els

redu

ce c

o 2 an

d du

stIn

depe

nden

t acc

redi

ted

man

agem

ent s

yste

ms

Stat

e-of

-the

-art

con

trol

sys

tem

s

targ

eted

rese

arch

and

deve

lopm

ent

incr

ease

use

of r

ail a

nd s

ea

redu

ce ro

ad co

nges

tion

reduce use of

natural resources

reduce energy use

Recycle by-productsfrom other industries

increase understandingand involvement

Generate new ideas

Increase compliance and

safer working

Sustainability wheel

this diagram summarises CemeX uK’s sustainability priorities. in this report we set out our progress in 2009 in these areas.

IMPACT REDUCTION

SMARTWORLD

TOGETHER

COM

PETI

TIVE

NESS

STAKEHOLDER OUTREACH

Page 7: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

building products are essential for the development of sustainable communities, and cemex plays a key role in creating and maintaining britain’s built environment, including homes, hospitals, offices, schools and infrastructure.

we know that the production and use of our materials have consequences for people and the environment. achieving the right balance between the benefits and impacts of our operations is a constant challenge. we focus on three key areas:1 ensuring we remain competitive by improving

operational excellence and efficiency, and maintaining high ethical standards to achieve long-term growth

2 reducing impact, including noise, dust and emissions, to provide a healthy place to work and to manage land use responsibly

3 developing and maintaining stakeholder dialogue to promote understanding and secure our continued licence to operate.

our staKeholderswe define our stakeholders as the people who influence or are affected by our business. they include our people (employees and their families); site neighbours (local people, government, health agencies, conservation bodies and pressure groups); business partners; and society at large (the european union, Government, regulators, academia and the media).

we communicate with these groups via our website, company information (reports, website, newsletters, news releases and interviews), open days, site visits, liaison and focus groups, lobbying, and community and educational programmes.

in 2009, cemex uK commissioned an independent qualitative survey of opinions from our key stakeholders on the construction industry’s response to the challenges of climate change and achieving sustainable development. the survey made special

our business 5

sustainable production at tilbury

our new cement grinding and blending plant at the port of tilbury in essex, opened in 2009 and demonstrates our strong commitment to sustainable construction.

the £49 million investment was the largest in the uK cement industry for five years. as the only cement plant in south east england, tilbury halts the decline of cement manufacturing in this cement-hungry region. it provides a local supply to the region’s market, and helps meet the sustainable construction targets of major projects such as the thames Gateway.the tilbury facility marks a step-change in the industry by producing blended cements in purpose-built, factory-controlled conditions – ensuring quality control and product consistency, and the safety of our 25-strong work force. it also delivers environmental benefits:• tilbury products are based on cement clinker, ground and

blended with by-products from other industries to make

cements. reducing the amount of clinker in the blend

means every tonne of clinker goes further, lessening the overall impact of its manufacture.

• the plant boasts the first vertical cement mill in the country, which uses 20-40% less energy than traditional horizontal mills. the mill, together with the blended cement capabilities, shipping, barge and rail loading facilities, further reduces the plant’s carbon footprint per tonne of finished product.

the plant was opened by the then parliamentary under secretary of state for Communities and local Government, shahid malik, who said: “CemeX’s decision to base its low-carbon, sustainable plant in tilbury will provide jobs and allow the company to reduce its carbon footprint even further by making use of the Gateway’s water and rail transport links.”

above: shahid malik at the opening with CEMEX UK president, Gonzalo Galindo (left), and cemeX emeaa president Juan romero (right).

Page 8: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

6 2009 sustainable development report

reference to heavy building materials, and the company’s current standing as a responsible partner. the survey sample included customers representing major uK construction companies, and stakeholders comprising not-for-profit organisations, lobby groups, government departments and local politicians.

the findings suggest that the heavy building sector, including cemex, is only now starting to catch up with the rest of industry. the respondents gave cemex uK a middle-ranking position, although the company’s role in using alternative fuels was cited as a positive step. our policy on biodiversity was also viewed positively, although some sources commented on the dangers of being seen to ‘try too hard’, which could potentially be misconstrued as ‘greenwash’.

this research is helping to guide our sustainability strategy.

manaGinG sustainabilitystrategy, target-setting and the day-to-day management of sustainability priorities are co-ordinated with business leaders and operational staff by the sustainability director for cemex uK. he is supported by a team of 10, and works with both the uK and regional senior management teams to review and improve performance. the sustainability team is responsible for strategy, issues to do with the company’s licence to operate, legal compliance, training, carbon management and an environmental management system that integrates sustainability issues into local operations and business systems.

in 2009, the sustainability director was instrumental in accelerating the sustainability agenda in the industry as well as at cemex. he chairs both the uK sustainable concrete forum, which reported on sustainability strategy and targets for the first time in 2009, and the mineral products association environmental management Group, which defines environmental management strategy and guides members on policy.

uK key performance indicators are integrated with the global initiatives identified and monitored by the corporate sustainability steering committee, which reports directly to the cemex ceo.

over the past two years we have been improving the quality and quantity of our data on a wide range of indicators, with short- and longer-term targets.

we established targets for each of our five business divisions, and these have become integral to our responsible sourcing approach (see page 7). while we have many common targets between business areas, there are two significant external factors we still need to include. for our cement business, the environment agency’s cement sector plan produces a framework, which is mirrored by our targets. for the other four divisions, the uK Government’s strategy for sustainable construction forms the principal structure and timeline to which we intend to adhere.

above: the east london line.

Page 9: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

2009 saW a siGnificant decline in the demand for buildinG products Generally. but despite a reduction in sales and volumes, cemex uK maintained its marKet position – supported by our commitment to sustainability.

cemex operates three cement plants in the uK, one of which is a grinding facility, with a combined cement capacity of 2.8 million tonnes per annum. the company also operates six cement import terminals, 232 readymixed concrete plants and 59 aggregates quarries. cemex uK also provides screeds, mortar, asphalt, surfacing and concrete products.

our products and customersduring 2009, we continued to sell cement in both bulk and bags. the bulk cement was primarily sold for use in readymixed concrete, and to concrete block and precast product customers; while our bagged cements were mainly sold to builders’ merchants.

our readymixed concrete was mainly sold to contractors for use in schools, hospitals, housing and commercial building projects.

our uK aggregates sales included sand and gravel, limestone and hard rock. in 2009, a proportion of our aggregates were obtained from marine sources along the uK coast. most of our aggregates were used by our own readymixed concrete, asphalt, concrete block and precast operations, but we also sold aggregates to major contractors for use in buildings and infrastructure projects.

our building products plants produce concrete products, including blocks, paving and roof tiles. we are also the uK’s biggest manufacturer of concrete railway sleepers.

sustainable constructionbuilding products are essential for the development of sustainable communities. cemex’s aggregates and cement are vital ingredients in concrete, and offer significant sustainability benefits in construction projects – especially in terms of the life cycle of buildings and structures. moreover, concrete products are energy efficient and offer good thermal properties. in the face of climate change, the thermal mass of concrete is efficient in reducing the energy needed for heating and cooling.

concrete is also a durable product that offers resilience to flooding – another potential consequence of climate change. its energy-efficient qualities will play a crucial part in helping to deliver the Government’s zero-carbon homes agenda.

OUR MaRketplace

our marKetplaCe 7

3cement plants

232readymixed concrete plants

59aggregate quarries

39asphalt sites

17building products plants

6 import terminals

cemeX uK sites (as of 31 december 2009)

Above: driver Terry Dixon delivers cement from Rugby in Warwickshire.

Page 10: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

8 2009 sustainable development report

improvinG efficiency of production and loGistics

productionthe production of building materials, particularly cement, is energy intensive. Quarrying is dependent on heavy machinery, while cement-making requires 24-hour kiln operations at 2,000 degrees celsius. distribution has further impact, given that cemex uK transports more than 30 million tonnes of materials a year by road, rail, river and sea.

in 2009, cemex uK established sustainability targets for most areas of the business to reduce our impacts and improve the efficiency of production (see pages 23-29). these targets cover environmental and quality management; health and safety; waste minimisation; carbon reduction; energy efficiency and reduced water; skills; site stewardship; and community relations.

major production achievements for 2009 include:• an 11% reduction in water use within the

readymixed concrete division• a reduction of nearly 10% in carbon emissions

overall• a reduction of around 8% in carbon emissions

per tonne of cement. these reductions are per tonne of product, and so reflect real improvements which cannot be attributed to the economic downturn and reduced activity and outputs.

logisticstransportation and fuel are major contributors to co

2 emissions, and proportionately large expenses for the business. for both reasons, therefore, improving our distribution efficiency is a key priority. here are measures we took to achieve this in 2009.• following training, cemex uK drivers achieved

an increase of nearly one extra mile to the gallon, resulting in fuels savings of around £130,000, and co2 savings of approximately 350 tonnes; similar to the annual co2 emissions of 140 cars.

• cemex uK was the first company in the industry to introduce an electronic proof of delivery, similar to those used by parcel delivery operators, as the sole proof of delivery for cement customers. the handheld computer device, carried by more than 250 cement drivers who make around 60,000 deliveries per annum, replaced the traditional paper-based system and ensures that customers receive the right product. the system is already

delivering driver and operational efficiencies that equate to cost savings – as well as the environmental benefits of replacing the six sheets of paper per load previously required.

• we trialled iso-veyors, a flexible alternative to traditional silos. iso-veyors store 28 tonnes of material in cylinders, which can then be transported by any combination of road, rail or ship. we use them to transport pulverised-fuel ash from west burton power station via rail to tilbury for blended cement production. this saves an estimated 600,000 road miles and 720 tonnes of co

2 per year.• emissions from rail freight per tonne transported

are a fifth of those produced by road transport. as part of our strategy to make all grades of aggregates available by rail and water, we replaced over 18 million lorry miles with rail transportation last year. 60% of materials in and out of our biggest quarry at dove holes in derbyshire are now transported by rail; and 12% of total aggregates movements were made by rail in 2009, up 20% since 2007.

• using rail also helps reduce traffic congestion. amongst the highest impact initiatives was a new rail siding opened in the centre of sheffield, to handle over 200,000 tonnes of aggregates per year. this represents a five-fold increase over last year in the amount of cemex limestone transported to the city from dove holes. at least four new routes are at the planning stage and will open in 2010.

• over the past two years, cemex has refurbished the 40-year old, 57-mile pipeline which carries chalk slurry from the Kensworth Quarry in bedfordshire to rugby in warwickshire. this saves up to 400 lorry movements per day.

neW products and services according to the world business council for sustainable development, buildings are responsible for about 40% of energy use worldwide. however, the concrete industry sustainability performance report 2009 states that 90% of this energy is used during the lifetime operation of the building, rather than initial construction. concrete buildings can improve energy efficiency and last for decades with little or no maintenance, if properly designed and constructed.

with support from our Global center for technology and innovation in biel, switzerland, and our

• Record sales in cemeX floors attributed to iso 14001 accreditation

• 11% reduction in water use in Readymixed concrete

• 10% reduction in carbon emissions overall

Page 11: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

technical laboratory in southam, warwickshire, we are committed to making innovative and sustainable products and services for customers; to reducing our use of natural resources; and to the recycling of products. below we set out key innovations in 2009.

new services• Global warming is linked to the amount of co2

and other greenhouse gases emitted into the atmosphere. to inform customers about the amount of carbon generated in our production processes, cemex launched its own carbon calculator for use with customers in 2009. the calculator measures the natural resources consumed and their carbon footprint throughout cemex’s supply chain. this allows us to work with customers to change elements within the chain to achieve target footprints and reduce environmental impact.

• cemex uK’s readymixed concrete division has received independent certification to the building research establishment (bre) framework standard for the responsible sourcing of construction

products – bes 6001 (see case study above). • to minimise distribution, and as part of a

more localised approach, cemex introduced readymix2go – a service for customers who require small loads of readymixed concrete.

• as part of our ‘reduce and reuse’ strategy, we introduced a pallet retrieval scheme, the first of its kind in the cement industry. under the scheme, we recover as many of the 250,000 cemex pallets distributed annually to builders’ merchants as possible (see case study on page 10).

New productswe launched a new concrete roof tile, derwent ii, from our russell roof tiles range. being 10% lighter than the original derwent tile, it is easier for the builder to fit onto dry-fix systems, where no mortar is required. the environmental benefits include fewer raw materials in production, and greater efficiency in transportation, since more tiles can be transported per pallet load.

our marKetplaCe 9

recoGnition for responsible sourcinG

in 2009, CemeX uK’s readymixed concrete division was certified to the building research establishment (bre) Framework standard for the responsible sourcing of Construction products – bes6001. CemeX is among the first in the industry to meet the standard, which covers more than 230 of our sites across the country.

this certification means that all readymixed concrete supplied by CemeX uK is now responsibly sourced, to an independently verified standard that addresses the social, economic and environmental impacts across the entire supply chain. the certification also allows for traceability of the product, to ensure all areas within the supply chain operate to high standards.

to meet the standard, our readymixed concrete products were assessed in terms of quality, organisational governance, supply chain management and environmental and social impact.

bre, which provides research and testing services for all aspects of the built environment, launched the bes6001 standard in 2008 to provide a level playing field for the sustainability of construction products, and provide recognition for suppliers embracing genuine sustainability.

according to Group Head of environment for balfour beatty, Jonathan Garrett, certifications such as these are increasingly important in satisfying the sustainable construction marketplace: “We are pleased that all of CemeX’s readymixed concrete operations have now have been certified to this standard. as a customer of CemeX products, we have assurance that the company’s production and supply chain are operating ethically and responsibly.”

above: delivering materials by barge on the River Severn.

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10 2009 sustainable development report

readyflowtm is a new concrete block permeable paver that can be used as an integral part of a sustainable urban drainage system (suds), an increasingly popular solution to excessive surface water caused by rain and flooding in the uK. surface water passes through voids in the block design into a sub-grade or drainage system, where it can be effectively managed. use of readyflowtm with suds allows a specified amount of water to be retained and then discharged in a controlled manner. this leads to reduced rainfall reaching sewers; cleaner rivers and streams; less pollution; improved ground water levels; and more water and air for plant and tree roots. the block itself is made from blended cements, reducing its carbon footprint by up to 40%.

Reducing energy useas part of our effort to reduce the use of water and fuel in 2009, around 500 employees were engaged in an energy day initiative (see case study on page 13). by changing behaviour and adopting more considerate use of equipment, employees are starting to demonstrate how fuel usage and fuel replacement costs can be reduced.

Recycling by-products from other industries blended cements, which make use of by-products from other industries and reduce the requirement to quarry materials, are made in factory-controlled conditions at our new tilbury cement plant. this is located just 25 miles from london, and is well-positioned to serve local construction projects.

the basis for the products made at tilbury is cement clinker, which is ground to a powder and blended with gypsum, fly ash or slag to make cements for use in building or infrastructure projects (see case study on page 5).

outlooKproduct innovation will continue in 2010, and the certification of the building research establishment (bre) framework standard for the responsible sourcing of construction products – bes6001 will be extended to all areas of the business, including cemex uK’s aggregates, cement and building products divisions. cemex is also working with the carbon trust to become the world’s first company to launch certified carbon labelling for cement.

pallet return scheme

more than 10 million bags of CemeX cement are sold every year and transported on pallets. CemeX uK now has 20% of its cement pallets returned under a retrieval scheme launched in 2008.

the scheme, the first of its kind in the industry, aims to recover as many as possible of the 250,000 CemeX pallets distributed annually to about 600 different builders’ merchant outlets. the alternative is for the pallets to be thrown away or shredded.

the simple but effective system recovers the pallets, which are reconditioned and recycled back into the system, minimising waste and offering a valuable service to customers. For builders merchants, with land scarce for

storage and landfill charges increasing, the scheme relieves them of the financial and physical burden of disposal.

nigel Haslop, Commercial manager for ridgeons builders merchants, explains: “at ridgeons we are looking to do as much as we can to reduce our impact on the environment, so when CemeX offered to collect our pallets and put them back into the supply chain, it was an offer not to be refused. as well as reducing our packaging waste, it saves on skip costs and keeps the yard clear of unwanted pallets.”

the recovery operation is run in conjunction with european logistics management, which collects the pallets and makes any necessary repairs before returning them to CemeX ready for new bagged cement deliveries.

Above: the pallet return scheme is the first of its kind in the industry.

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our people 11

We rely on the commitment and enerGy of all our people to help us achieve our sustainability Goals. cemex’s view is that everyone’s actions add up, and that it is the duty of all to maKe a positive contribution to the welfare of the communities, environment and marKetplace in which we operate.

we place great emphasis on our values, which form the basis of how we run our operations internationally and domestically. we strive for excellence by developing long-term relationships built on trust and achieved through collaboration, integrity and leadership.

we recognise, too, the inherent hazards of our business and our duty to ensure our operations are safe. sadly, cemex uK experienced four deaths in the period 2008-2009. this is unacceptable, and in 2009 we ran a number of initiatives aimed at ensuring our business is safe and healthy (see below).

our WorKforceduring this reporting period we experienced the worst recession in the uK in 60 years. this has had an impact on everyone at cemex uK.

at the end of 2009, cemex employed 3,800 people across 400 sites, a reduction of 689 employees from 2008. we also saw the closure or temporary suspension of operations at a number of locations as market demand contracted. in making these decisions, we complied with uK employment law and ensured that we respected the rights of every individual concerned. our employee turnover rate was 12%.

despite these challenges, we aim to increase diversity, and in 2009, 41 nationalities were represented in our workforce. 12% of employees were women, of whom 15% were at managerial level.

safety, health and WellbeinGsadly, cemex uK experienced four fatalities in 2008 and 2009. in 2008 a cemex employee was involved in a fatal incident at rugby and a contractor was killed by an overturned dumper truck. in 2009, there was a fatality on a company site involving a contractor, and a road traffic accident involving a truck operated by a contract haulier. this is not acceptable, and ensuring that our operations are safe and healthy for all employees, contractors and site neighbours is an absolute priority.

in 2009 we ran a number of initiatives towards achieving this goal:• safety essentials: 12 fundamental principles

intended to help eliminate the most serious and common workplace injuries. all employees were asked to sign up to the safety essentials as part of our continuing effort to achieve the highest possible safety standards.

• workshops were attended by over 400 managers to support them in improving their personal health and safety leadership skills. in addition, specialist courses on incident investigation and a better understanding for root cause analysis techniques were rolled out across the operations.

OUR PEOPLE

above: woodland management at Stanwell Quarry.

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• driver safety workshops: held for 700 hundred truckmixer drivers, including the independent readymixed concrete haulier fleet.

• haulage health and safety seminars: involved approximately 50 representatives from contract haulage companies used by the business, to share good practice and techniques for improving safety standards. according to ben Kent, sales manager for r J holbrook transport: “this training provided good guidelines on best practice and how to implement it, and stressed the importance of influencing current drivers. we felt part of the team and must play our part in keeping safe, not just for a day, but forever.”

• health essentials campaigns: running throughout the year, these campaigns included practical tips on how to maintain a healthy heart; safeguard your back; eating and drinking wisely; and general wellbeing.

• free health checks and influenza vaccinations for all employees. 55% took up the offer of free health checks and 9% were vaccinated.

lost-time injuriescemex saw a 19% drop in employee lost-time injuries over the year.

responsibilities to our employees

Human resources policiesunder our equal opportunities policy, cemex employees have the right to be treated equally, and with dignity and respect, by their colleagues. we are committed to providing a working environment free from harassment or intimidation.

ethical behaviour is key to our success, and employees are expected to comply with the cemex code of ethics, which provides guidance on behaviour to do with conflicts of interest, confidentiality, employee relations, the environment, external stakeholders, legal and financial compliance, company property, and workplace health and safety.

employees are encouraged to report grievances and breaches of the code. in 2009 there were 26 complaints from employees, the majority of which have since been resolved.

Benefitsin 2009 the company launched cemex rewards, a cashback and discounts scheme for employees with savings on cemex products and more than 1,500 retailers in an effort to help us attract and retain talent.

Training and developmenta well-trained workforce is essential. during 2009, we provided an average of 21 hours of training per employee. we continued to develop skills using a variety of channels, including on-the-job training and online learning. 15 employees took degree courses, another 115 took national vocational Qualifications and 2,094 took online learning courses.

12 2009 sustainable development report

Lost-time injury statistics

10

20

30

40

50

41

16

2006

18

13

2007

16

10

2008

13

6

2009

0

Employees Contractors

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our people 13

measurinG employee enGaGementone measure of employee engagement in sustainability programmes is how far their understanding and involvement has improved. according to the latest engagement survey findings, cemex uK employees are now a more engaged and committed team than ever. overall engagement level was 75% in 2009 – an increase of 11% since 2007 (no survey was carried out in 2008).

further findings:• 74% of employees who responded to the survey

enjoy working at cemex (up 14% since 2007)• 71% are proud to work for the company (up 17%

since 2007).

while these improvements are encouraging, there are a number of concerns to be addressed around trust and integrity, and becoming a more caring company. a national action plan saw the introduction of cemex rewards (see page 11) and will see the

launch of a volunteering scheme in 2010. this was complemented by local action plans to address areas of particular concern.

ideabankanother measure of engagement is employees’ motivation to generate new ideas. Good ideas play an essential role in securing the future of our business, and in 2009 cemex launched the ideabank, where employees are encouraged to deposit good ideas around key business priorities and share best practice. the ideas are assessed by an expert committee with members from across the business.

over the year, employees deposited 103 ideas; two have already been implemented, and 11 will be put into practice in 2010. shift electrician paul wilson, for instance, suggested a simple software modification that would turn off eight motors when not in use. this saves fossil fuels and emissions, and makes annual cost savings of around £30,000.

enerGy days

Halkyn Quarry in north Wales played host to a series of energy days, in which 140 quarry managers, assistants and operations managers found themselves urged to maintain an “’ate Campaign”! in other words, if it oscillates, rotates, reciprocates, vibrates, elevates, or excavates, there is energy to be saved.

the initiative was developed in partnership with major suppliers, including HpC, brammer, Finning uK, and premier pump, to demonstrate how making minor adjustments to operating processes and improving behavioural practices saves fuel and replacement costs.

CemeX representatives from around the country were split into small groups to identify where savings could be made from better use of equipment and plant. multiplied across the company, the ideas could result in major reductions in both expenditure and carbon footprint.

all participants came away with energy reduction targets and action plans to ensure effective follow-up. managers were also tasked with engaging their site teams in the drive to achieve and maintain efficient energy management. in a spin-off event, 350 mobile plant operators attended an eco driver training day, to help reduce fuel consumption further.

robert powell, Finning’s strategic account manager, said: “the energy days have identified a number of improvement opportunities that we can jointly approach to help manage our cost base and demonstrate sustainability.”

according to Halkyn Quarry manager michael ripley, “it was interesting that although there was a diverse spread of suppliers, their messages linked into common themes – including the correct selection and use of equipment, and effective maintenance.”

Above: Halkyn Quarry played host to Energy Days for 140 staff.

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engaging with the wider worldcemex employees supported numerous good causes in 2009, which included: • raising £2,438 to support the philippine victims of

the typhoon ondoy, some of whom were cemex colleagues

• raising £2,500 for red nose day through sponsored events, with matched funding from the cemex uK foundation

• collecting thousands of used stamps towards the rspb’s ‘save the albatross’ campaign.

outlooKin 2010, key priorities relate to improving employee engagement. local area engagement action plans will be complemented by national initiatives, including a potential share ownership scheme, employee volunteering, a strategic review of our rewards and recognition programmes, and the opportunity for people to experience other work areas.

we will also be focusing on training and development and reviewing our recruitment requirements in preparation for a potential upturn in the market.

the extensive work we have done in areas such as health and safety leadership and contract haulier rationalisation should allow us to maintain the continuous improvement in health and safety performance. we will continue to build on these and will roll out the third phase of our health and safety leadership programme and target initiatives that maximise employee engagement. the safety essentials will continue to be a core focus, with the aim being to embed the “look after yourself....look after each other” mantra throughout the workforce.

we will review our contractor selection and on site management practices and look to audit and coach some of our main business partners. we will also continue initiatives relating to large goods vehicle driver safety, such as cyclist safety events, in conjunction with the metropolitan police. we intend to harness this success and enthusiasm and apply it to improving driver safety among our business car users in 2010. through our trade body associations and customer base, we also plan to share with smes some of the experience and good practices we have identified.

14 2009 sustainable development report

aWard-WinninG commitment to safety

CemeX uK’s logistics aggregates Western region employees scooped three CemeX Health and safety awards in 2009, following their record three years without a lost-time injury.

the team used an innovative approach to changing people’s ingrained habits, resulting in a cultural step-change that encourages people to stop and think before carrying out routine tasks.

at a special lunch hosted by uK president Gonzalo Galindo for employees in Wick, bristol, the team was presented with awards for being CemeX’s winner in the uK, as winning theeurope, middle east, africa, asia and australia regionaward, and overall CemeX Global safety awards. as part of

the ceremony, the team was also presented with a sword, which has been awarded on an annual basis since 1966 in recognition of the best overall health and safety performance by a CemeX uK business unit.

the team was also recognised for its universal training and induction, whether of employees, agency or contract drivers; and its comprehensive programme of initiatives that include unplanned fleet audits; safety improvement groups to share best practice; bespoke campaigns around high-risk trends; and monthly site visits by senior management. in 2009, CemeX was also presented with 15 awards in recognition of its health and safety performance by the royal society for the prevention of accidents.

above, from left to right: regional logistics manager simon thorne, uK president Gonzalo Galindo, area logistics manager mike fowler, logistics Operations Director aggregates rick sheehan and vice president commercial, logistics & building products Graham russell.

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our environmental Commitment 15

cemeX uK uses many natural resources, such as enerGy, raw materials and water, in the production of our buildinG materials. we recoGnise the need to balance our business reQuirements with our environmental impact.

OUR ENVIRONMENTAL COMMITMENT

Good environmental management is critical to our own and our customers’ long-term business success. cemex uK is therefore committed to complying with legal environmental requirements, codes of practice and industry guidelines, and on improving on them where possible. we also consider the environmental implications of our decisions at all levels.

Key environmental impactsour most significant impacts are energy use, water consumption, emissions to air, generation of waste, and noise from transport and operations. the ecological and visual effects of our land use also require management control. our environmental management system contains procedures and guidance for business areas to manage all of these impacts, along with any specific issues arising from individual site aspect and impact assessments. we also take account of feedback from community complaints or liaison group members.

if improvements or failures are identified during internal monitoring and audit processes, we raise actions which are logged on a tracking system to ensure timely close-out. overdue actions are monitored monthly by executive teams.

in 2009, cemex’s investment in environmental improvements totalled nearly £7 million. these include:• dust abatement and emissions monitoring

equipment

• filter upgrades• alternative fuels feeding systems• the construction of a new eastern bank

and diversion to the river erewash in nottinghamshire.

the number of environmental incidents declined by 59% from 2008 to 2009.

in 2009, regrettably, cemex was fined £20,000 by the environment agency, for a dust release at rugby plant in 2007. cemex apologised to the people affected, and has since worked with the regulator on an action plan to prevent a recurrence.

measurinG and controllinG impactsall our businesses use software systems such as our ‘environmental footprint tracker’ to record energy, co2, waste and water. by measuring them through certified management systems, we have been able to benchmark best practice and set reduction targets, see pages 23-29. this data covers all permanent and continuous operations, and co2 data relating to transport includes our owned and operated fleet of trucks, but excludes contractor vehicles.

above: cluster manager Paul Shepherd in front of recycled aggregates stockpile at Gorton plant in lancashire.

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16 2009 sustainable development report

reducinG emissionsco2 is the most significant greenhouse gas for our company, based on the emissions that arise from cement production and transportation to construction sites.

since 1990, cemex uK has reduced its co2 emissions by more than 46% (17.5% per tonne of product). in 2008, we exceeded the industry target of improving specific energy consumption by 26.6% over 1990 levels, by recording an actual reduction level of 31.5%. in 2009, we reduced co2 per tonne of product by 10%.

alternative fuels and materialsKey to reducing co2 emissions has been the 154% increase in the use of alternative fuels to part-replace fossil fuels in the cement manufacturing process since 2007 (up 30% since 2008). in 2009 we extended alternative fuels use to other areas of the business:• the asphalt business now uses 40% clean fuel

oil, derived from waste oils, in asphalt production • rugby cement plant, which introduced

alternative fuels in 2007, has permission from the environment agency to use 65% alternative fuels, including chipped tyres and

• south ferriby plant, which introduced alternative fuels in 2002, has permission to use 85% alternative fuels, including secondary liquid fuel and climafuel.

in 2009, the use of alternative fuels also led to a further reduction in emissions such as oxides of nitrogen, which declined by 32% per tonne of product compared to 2008 (52% since we last reported in 2007); and sulphur dioxide, which declined by 35% per tonne of product compared to 2008 (48% since 2007). these figures meet the 2010 and 2015 industry targets well ahead of schedule.

climafuelclimafuel is derived from household and commercial waste that would otherwise go to landfill. it is a solid, non-hazardous fuel that produces lower emissions than fossil fuels – up to 20% less nitrogen oxide in particular.

during 2009, cemex uK used more than 100,000 tonnes of climafuel (up 22% from 2008), produced from approximately 200,000 tonnes of waste that would otherwise have gone to landfill. based on the biomass content of the fuel, the use of alternative fuels also saved over 160,000 tonnes of co

2, equivalent to that produced by around 64,000 cars in a year.

we are delighted, therefore, that warwickshire’s regulatory (planning) committee has given us permission to develop a climafuel manufacturing plant next to our cement plant in rugby. the climafuel manufacturing plant will receive non-recyclable, residual household and commercial waste, and transform it into a sustainable ‘green’ fuel. the new plant will be able to produce up to 250,000 tonnes of climafuel per annum, thereby potentially diverting the equivalent of up to 75% of warwickshire’s future waste from landfill, turning it into a valuable fuel to heat the cement kiln at rugby plant.

cemex will begin to develop the plant, which it is estimated will cost £50 million and create 25 full-time jobs, in conjunction with the waste recycling Group, once an operating permit from the environment agency has been granted. Waste-derived fuelswith the opening of the tilbury plant (see page 5), cemex has increased the use of by-products from other industries, such as fly ash, as a component in factory-blended cements. this can lower the embodied co

2 of a concrete mix by up to 40%.

in 2009, we increased our alternative raw materials substitution rate to 4.4% from 2.9% in 2008. we also reduced our clinker-to-cement ratio by 4% in 2009, to minimise raw materials use. energy requirements for clinker production and non-cement process consumption also declined by 4% from 2008 to 2009.

Recycled aggregatesthere was an exceptional increase in supply of recycled aggregates in 2009, which rose by 200% compared to 2008.

cemex gained permission from local authorities to quarry for a further 24 million tonnes of aggregates reserves. with this permission comes responsibility for effective land management and the conservation of biodiversity, essential elements for a sustainable society. we carefully plan our quarrying activities to ensure that we protect biodiversity throughout the lifecycle of the site. this process includes environmental impact assessments and public consultations.

• £7 million investment in environmental improvements

• Environmental incidents fell by 59%

• CO2 emissions reduced by 31%

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our environmental Commitment 17

biodiversityactivities such as quarrying have a direct impact on the land. we work with partners and agencies to ensure that we minimise the negative and optimise the positive effects of our operations.

Biodoversity partners birdlife international is a global network of non-governmental conservation organisations, and a leading authority on the status and conservation of birds and their habitats. in 2007, cemex and birdlife international signed a global memorandum of understanding. as part of our collaboration, birdlife international supports us in refining our biodiversity-related strategies, policies and practices,

and provides advice on implementing conservation projects at operational sites.

to help us assess the biodiversity risks and opportunities associated with our operations, we jointly conducted a biodiversity scoping study that mapped all cemex quarry sites worldwide and their proximity to key biodiversity areas in 2009. of the cemex uK cement and aggregates sites mapped, 42 were identified as high priority biodiversity areas, with opportunities for management improvements.

in 2009, cemex uK partnered with birdlife’s uK partner, the royal society for the protection of birds (rspb), to accelerate the development of cemex’s biodiversity strategy at a local level. this strengthens

Specific energy consumptiontotal 2009

Specific energy consumptionother businesses 2009

Water consumptiontotal 2009

cementother businesses

asphaltreadymixed concreteaggregatesbuilding products

cementasphaltreadymixed concreteaggregatesbuilding products

Energy and resource use

co2 emissionstotal 2009

co2 emissionsother businesses 2009

total wastetotal 2009

cementother businesses

asphaltreadymixed concreteaggregatesbuilding products

cementasphaltreadymixed concreteaggregatesbuilding products

cement Asphalt Readymixed concrete aggregates Building products

2009 2008 % 2009 2008 % 2009 2008 % 2009 2008 % 2009 2008 %

specific energy consumption (kWh/t) 920.000 1,195.000 23.0 116.289 110.689 -5.1 4.400 4.070 -8.1 10.890 11.070 1.6 15.780 20.560 23.2

Water consumption (m3/t) 0.082 0.045 -82.2 0.020 0.019 -2.8 0.222 0.249 10.8 0.383 0.289 -32.5 0.081 0.082 2.6

total waste (kg/t) 39.000 40.000 2.5 7.860 8.480 7.3 18.400 28.000 34.3 0.390 0.660 40.9 14.400 17.100 15.8

Co2 emissions (kg/t) 810.178 879.691 7.9 32.640 31.434 -3.8 2.360 1.902 -24.1 3.430 3.600 4.7 5.970 7.140 16.4

uK business total 2009 2008 %

specific energy consumption (kWh/t) 165.000 171.000 3.5

Water consumption (m3/t) 0.240 0.189 -27.0

total waste (kg/t) 7.810 7.180 -8.8

Co2 emissions (kg/t) 47.510 52.670 9.8

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our longstanding involvement with the rspb, which spans several decades at former quarry sites such as denge Quarry in Kent. the new partnership also brought the appointment of a dedicated rspb advisor, who is helping us develop our national biodiversity strategy and advising on quarry restoration plans.

the rspb’s director of conservation, dr mark avery said “high quality restoration of mineral sites offers an effective way to create huge areas of wildlife habitat. cemex’s network of quarries has the potential to make a real difference. this is positive conservation in action.”

outlooKin 2010, cemex uK with the support from the rspb will be launching its biodiversity strategy. cemex and rspb believe that this type of partnership is unique and shows the way forward for industry and the private sector in working with specialist conservation bodies.

in addition, we will be extending our responsible sourcing certification across the business and seeking to improve the scores associated with it. following from this we will extend our communications with construction supply chain stakeholders to understand better the marketplace trends and expectations over the coming years, and ensure that our strategies embrace these important and fast-moving developments.

while further work is being carried out to reduce co2 and other emissions, a long-term solution could rest with carbon capture and storage (ccs) for our cement industry. cemex is currently undertaking research into ccs technology, which is expected to take some years to develop. we will be working on a number of programmes to ensure our business can continue to flourish in an increasingly carbon constrained economy. this includes linking the value of our products to a low carbon society.

we will be focusing on implementing and complying with a host of new legislation. the carbon reduction commitment energy efficiency scheme, potential extension of the european union emissions trading scheme coverage, and the water act and mining waste directive will require considerable effort to implement across a business with so many sites. nevertheless, we will continue to embrace and support new legislation and will contribute to consultations to ensure we achieve a balance between practicality and the desired results in our company and across the industry.

in 2010 four new rail routes are planned, including routes from neath to railheads at washwood heath in birmingham and bletchley near milton Keynes. the increase in rail is part of a national strategy to make all grades of aggregates available by rail or water throughout the cemex network.

18 2009 sustainable development report

plant sets alternative fuels record

in april 2009, south Ferriby Cement plant in north lincolnshire replaced over 74% of the fuel used to heat its cement kiln with fuels made from wastes. this is a new record for the plant, and possibly the uK, where the cement industry average is 19.4%. emissions such as oxides of nitrogen and sulphur dioxide have declined by 20% and 43% respectively since alternative fuels were introduced in 2002.

Cement-making is energy intensive and involves heating kilns to at least 1400 degrees Celsius. increasing the use of alternative fuels made from waste is therefore key to saving fossil fuels for future generations.

south Ferriby uses secondary liquid fuels, made from unrecyclable industrial liquid wastes such as paint, thinners, inks and varnishes; and Climafuel, which is made from household residual and commercial waste that would otherwise go to landfill. in 2009, 240,000 tonnes of waste were used to make cement at our plants in south Ferriby and rugby – which in turn saved over 190,000 tonnes of Co2.

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our soCial Commitment 19

we do this through local engagement, and by minimising impacts such as emissions, dust, noise and traffic on local people. Good stewardship, and the restoration and returning of land to good use once operations have been completed, are also responsibilities we take seriously. we view maintaining positive community relationships as part of our ‘licence to operate’.

transparent staKeholder communications cemex uK carries out environmental impact assessments as a requisite part of the planning process for new projects (seven in 2008 and eight in 2009). in the case of cement and aggregates applications, these assessments also include a social impact assessment. we also consult with local people and relevant organisations when planning developments such as new plants, quarries, extensions and upgrades, to balance the supply of building materials with the effects on local communities. in 2009, cemex uK carried out public consultations on four project applications.

a good example of consultation in practice is the new tunnel at our taffs well Quarry near cardiff, which was officially opened last year by Jane davidson, the then minister for environment, sustainability and housing, welsh assembly.

the 200-metre, two-lane tunnel was designed and built following consultation with the local community. it takes

all lorries and operational traffic off the minor roads running alongside the quarry or through the nearby village of pentyrch, onto the major road network.

cemex’s community engagement is facilitated by our community affairs manager and estate managers and led by the company’s quarry managers and plant directors. it is guided by the principles of inclusiveness, transparency, independence, commitment, accessibility and accountability.

in line with the company’s target to put in place community advisory panels at all major cement and aggregates operations, we now have 24 formal panels, which meet regularly. in rugby, cemex has been working with the environment council, the environment agency and a range of key stakeholders to develop an innovative and more effective engagement model, due to be implemented in 2010. this replaces the rugby community cement forum, after it became clear that the forum failed to achieve a genuine line of communication between cemex and local people.

cemex has an open-door policy, and during 2009 the company received more than 500 visitors to its plants and quarries. as part of the europe-wide heritage open days initiative to celebrate coventry and warwickshire’s rich history and culture, local visitors enjoyed a tour of rugby cement plant. a proactive engagement programme also meant that cemex representatives visited many schools and community groups.

buildinG products are essential in creatinG sustainable communities. cemex aims to be a Good neiGhbour and develop stronG relationships with the communities, orGanisations and local authorities around our operations.

OUR SOCIALCOmmItment

above, from left to right: cemeX uK president Gonzalo Galindo, cemeX uK vice president for Aggregates & Asphalt Lex Russell, the then environment minister for Wales Jane davidson, cemeX uK director of southern aggregates matthew Wild and Operations Area Manager dave Goodman at the Taffs Well tunnel opening.

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20 2009 sustainable development report

Community feedback in Rugby

Do you believe that the companydoes its best to be a good neighbour? 18%

40%

18%

21%

3%

strongly agree agree disagree strongly disagree blank

Do you believe that the company has improved its efforts to be a good neighbour?

19%

43%

15%

20%

3%

Do you believe that CEMEX makes an important contribution to the local community?

16%

40%23%

18%

3% Do you believe that CEMEX makes an important contribution to the local economy?

22%

47%

16%

13%2%

Corporate giving

year CEMEX Community Fund cemeX uK foundation

2008 £197,000 £135,000

2009 £60,000 £125,000

contributinG to sustainable communities

Regeneration, restoration and landscapingamong key restoration schemes completed in 2009 were two cemex angling sites: chertsey lake in surrey, a former quarry that has been restored to create a 12-acre lake; and little moulsham lake in hampshire, which holds the current record for british crucian carp (4lb 9ozs 9drams). cemex angling, which dates back to the 1960s and today is the uK’s largest commercial angling organisation, has 60,000 members and offers over 70 fish-filled lakes and 20 stretches of river, with disabled access.

two of our sites (bush farm in essex and attenborough nature reserve in nottinghamshire) were shortlisted for the 40th anniversary of the mineral products association showcase 2009 restoration awards. in addition, swanton morley Quarry in norfolk, where sensitive restoration was carried out and a series of lakes created in a special area of conservation, was recognised as an outstanding site. several of the lakes are now owned

and managed by the norfolk fly fishing association and dereham & district angling club. the area is also of archaeological importance, as the largest roman-british burial area in norfolk was discovered there.

acting as good neighboursthrough the cemex uK foundation, our corporate giving channel, cemex invested £125,000 in not-for-profit projects during 2009. projects supported included schemes to improve local air, land and water quality and to help educate people about cemex, as well as matched funding.

over the year, the foundation received 179 requests, 110 of which were granted. among them were:• matched funding for 31 employee charitable

fundraising events• the rspb partnership (see page 17)• a three-year agreement with butterfly

conservation to protect habitats of the small blue butterfly at five cemex sites in warwickshire

• a project with Groundwork Kent & medway for year 4 pupils at st peter’s church of england primary school to investigate their local aylesford quarry.

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our soCial Commitment 21

donations included:• concrete for a special needs educational room at

mona land allotments in burton• funding for a mountain ranger at halkyn Quarry • support and placements for a secondary school

engineering education scheme• a bicycle to rugby police, for their community

support officers patrol.

also in 2009:• £60,000 was granted to environmental and

community projects near cemex’s operational sites via the cemex community fund, which administers a proportion of the company’s landfill tax

• £222,000 was donated by the rugby Group benevolent fund, which has close links to cemex, towards community and charitable projects close to the company’s cement sites

• cemex supported a range of not-for-profit organisations through projects and corporate memberships, to further its corporate social responsibility agenda. these not-for-profit organisations include:

– the associate parliamentary corporate responsibility Group: promotes debate about and understanding of corporate responsibility

– business in the community: mobilizes business for good

– canning house: promotes cultural and political understanding between britain and the spanish- and portuguese-speaking world

– environmental protection uK: informs debate on air quality, climate change, land quality and noise policy and practice

– Groundwork: environmental regeneration charity – proskills’ digit/buildit: seeks to familiarise

students with the minerals and building industries

– rspb: works to secure a healthy environment for birds and all wildlife

– the Green organisation: dedicated to environmental best practice around the world

– wildlife trusts: dedicated to conserving the full range of the uK’s habitats and species.

safer cyclinG

every year, around 16,000 cyclists are killed or injured in road accidents. since 2003, CemeX has led a campaign to address the safety of vulnerable road users. We’ve also added more safety features to over 450 vehicles in our own fleet, and to the 2,500 haulier contractor vehicles we use every month.

the additional safety features include: • Warning signs• proximity sensors that trigger an audible warning• video cameras to cover blind spots• side under-run bars on tippers to prevent cyclists falling

under the vehicle• additional mirrors and cameras to cover blind spots.

CemeX also provides continuous training for its team of drivers, to create awareness of the situations and risks associated with cyclists and pedestrians.

in 2009, CemeX linked up with police forces and local authorities across the country during national Cycling Week,

and advised more than 1,200 cyclists on how to stay safe around large vehicles. a readymixed concrete lorry and an aggregates tipper, kitted out with the extra safety features, were placed in central locations in York, bristol, Cambridge, manchester and london. visitors were able to enter the cab to check the visibility for themselves and learn from the driver how safety may be improved.

Following Cycling safety Week, CemeX also worked with the metropolitan police on a number of Cyclist awareness days, one of which was held outside st paul’s Cathedral. in the week before the event, officers ticketed around 500 cyclists for traffic infringements. Cyclists who came along to the awareness day had their fine waived. metropolitan police inspector Graham Horwood said: “the use of your two vehicles was an essential part of our day, and without your continued support, getting our message across would be significantly more difficult.”

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outlooKcemex uK will continue its work with the communities that are touched by its business. we see it as vital to the sustainable future of our business to maintain and improve dialogue and build trust with the communities within which we live and work.

our goal is to minimise our operational impact on the environment and local communities, to preserve the health and safety of local people, to facilitate consultation on new developments and to minimise sources of complaint.

we recognise that a mix of financial contributions, as well as actual involvement with time, skills and donations in kind, are all beneficial when investing in charities and our communities. internally, we will therefore be building on the payroll scheme launched last year, by introducing employee volunteering in partnership with the rspb in 2010. this will include the opportunity for employees to extend their existing work with charitable organisations, as well as corporate volunteering events across the country.

externally, we plan to maintain our community investment programme in local projects that improve land, air and water quality, and continue the corporate partnerships we have with not-for-profit organisations whose work relates to our business activities.

we will keep up our active visiting programme, including open days at a number of our plants. we are working with Groundwork medway & Kent and Groundwork Greater nottingham to raise awareness of our operations and build long-term relationships with schools close to some of our sites.

22 2009 sustainable development report

GroundWorK

Year 4 pupils from st peter’s Church of england primary school in aylesford had great fun – and learned a lot about their area – in a project to investigate their local CemeX quarry. the project was run by Groundwork Kent & medway, an environmental charity, and made possible by funding from the CemeX uK Foundation.

a key part of the project was a visit to the CemeX aylesford quarry, a working quarry that processes up to 1,000 tonnes of sand a day. the class was given a full health and safety briefing before visiting the site, then saw all stages of the sand quarrying process, from initial extraction by dredger, through to washing, sorting and drying, before the sand is bagged.

the pupils enjoyed watching the machinery at work close-up. but the highlight was when they had the opportunity to look for fossils in the clay and unearthed some ammonites and belemnites.

michael Hinson, aylesford Quarry manager, said “We were delighted to show the pupils round the site. Quarries give communities valuable materials to build schools, hospitals and roads, and even provide ingredients for toothpaste and china clay. but they are working areas and can be dangerous, which is why we wear protective clothing all the time. it was an opportunity to show the children the dangers there are and why they shouldn’t use the quarry as a playground.”

above: attenborough Quarry Supervisor Ricky Amatt sieving gravel with youngsters Travis Nixon and olivia selkin from college house Junior school.

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KeY perFormanCe indiCators 23

cement

the folloWinG paGes detail our current performance and tarGets on a number of Key sustainability principles. we have carefully considered indicators of particular interest to staKeholders and also those relatinG to climate chanGe leGislation, our cement sector plan with the environment aGency and the Government’s strateGy for sustainable construction.

Key performance indicators

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 100% 100% 100% management systems by certified ems

Waste minimisation 1.2 Kg of cKd/bypass dust to landfill kg per tonne produced rugby 2.14 7.50 7.00 as a proportion of production output south ferriby 25.54

emissions 1.3 number of successful prosecutions number per annum 0 0 0 (excluding CO2) per annum

1.3a dust emissions to air per tonne Kg/tonne pce rugby 0.02 0.13 0.10 of pc manufactured south ferriby 0.25 0.13 0.10 tilbury new plant 0.13 0.10

1.3b nox emissions to air per tonne Kg/tonne pce rugby 0.86 2.20 2.00 of pc manufactured south ferriby 1.45 2.20 2.00 tilbury n/a n/a n/a

1.3c sox emissions to air per tonne Kg/tonne pce rugby 0.04 1.10 1.10 of pc manufactured south ferriby 1.80 1.10 1.10 tilbury n/a n/a n/a

Quality & performance 1.4 % of production sites covered % of production sites 100% 100% 100% by a uKas certified 9001 (and absolute number quality management system compared to total) (equivalent)

Energy efficiency 2.1 energy used in production as a kwh per tonne 1,195.78 1,235 n/a proportion of production output

as a result please note that the indicators and targets differ between products. you may also observe that we are already exceeding some of our targets in the cement sector plan, particularly due to our success in alternative fuels substitution. we aim to update these tables annually to show the progress we are making, and to publish revised annual targets beyond 2012. we report by business division, but have separated out our ash targets (part of the cement division) since we have responsible sourcing certification specifically for this product (see page 29).

Above: Readypave permeable paving manufactured at northfleet.

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24 2009 sustainable development report

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target co2 emissions 2.2 co2 emissions as a proportion kg co2 per tonne rugby 810.9 800 775 (production) of production output – directly south ferriby 801.9 from plant

2.2 co2 emissions as a proportion kg co2 per tonne rugby 271.3 244 225 of production output – from south ferriby 279.6 combustion of fossil fuels

2.2 co2 emissions as a proportion kg co2 per tonne rugby 483.1 500 490 of production output – from south ferriby 478.6 calcination of raw materials

2.2(ii) indirect co2 emissions kg co2 per tonne 0.06 n/a n/a

co2 emissions 2.3a average delivery distance km per tonne road 126.85 127.21(transport) travelled per tonne (from – cemex budget factory gate to customer) rail 0 0

water 450 450

2.3b tonnes moved split by three tonnes moved road 2,193,686 2,066,998 n/a modes: road, rail, inland barge by each mode – cemex budget

rail 0 n/a n/a

water 131,066 136,500 n/a – cemex budget

2.3c average load for each mode tonnes per load road 28.05 28.2 n/a by mode – cemex target

rail 0 0 n/a

water 3,542.32 3,500 n/a – cemex budget

2.3d co2 emissions as a proportion kg co2 per tonne road 3.99 4.12 n/a of production output per mode – cemex target

rail 0 0 n/a

water 4.35 4.40 n/a – cemex budget

2.3e average delivery distance travelled kg per tonne road 27.84 n/a n/a per tonne constituent materials (from factory gate to customer) rail 0.65 n/a n/a

water 0.05 n/a n/a

Materials efficiency 3.1a mass diverted from the waste Kg/tonne pce rugby 30.50 25 30 stream for use fuel as a % of south ferriby 19.60 25 30 total energy use tilbury n/a n/a n/a

3.1b % of additional cementitious Kg/tonne pce n/a n/a n/a materials used as a proportion of total cementitious used

3.1c recycled/secondary aggregate use Kg/tonne pce n/a n/a n/a as a proportion of total aggregate use

3.1d % of waste derived and recovered % rugby 1.8 7.0 11.0 material as a proportion of total south ferriby 6.0 7.0 11.0 raw material used in the tilbury new plant 7.0 11.0 manufacture of cement

Water 3.2a mains water use as a proportion litres per tonne rugby 21.4 no target no target of production output south ferriby 23.9 no target no target tilbury new plant no target no target

3.2b controlled groundwater use as a litres per tonne rugby 0 no target no target proportion of production output south ferriby 69.5 no target no target tilbury 0 no target no target

Site stewardship 3.3a proportion of existing quarries that % 100% 100% have restoration plans.

3.3b proportion of sites that have or are % 100% 100% linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries for direct number per 1,000,000 2.90 3.05 1.52 employees per 1,000,000 worked hours worked

Employment & skills 4.2a % of employees covered by uKas number employed 100% n/a n/a certified iso9001/ iso 14001/ ohsas 18001 systems (training & competence sections)

4.2b % of employees covered by an % of employees covered 100% 100% 100% environmental and health and by uKas 9001/14001 safety management system systems following the principles of iso 14001 and ohsas 18001

Local community 4.3 % of relevant production sites with % of relevant production 100% 100% 100% community liaison activities sites (and absolute number (supplemented by 1.3) compared to total)

cement continued

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KeY perFormanCe indiCators 25

asphalt

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 61% 76% 100% management systems by certified ems

Waste minimisation 1.2 Kg of waste to landfill as a kg per tonne produced 7.86 7.60 7.10 proportion of production output

emissions 1.3 number of enforcement notices, number per annum 0 0 0 (excluding CO2) formal cautions and successful prosecutions per annum

Quality & performance 1.4 % of production sites covered % of production sites 100% maintain 100% maintain 100% by a uKas certified 9001 (and absolute number quality management system compared to total)

Energy efficiency 2.1 energy used in production as a kwh per tonne (total) 116.29 110.00 105.00 proportion of production output

co2 emissions 2.2 co2 emissions as a proportion kg co2 per tonne 32.64 31.00 29.40 (production) of production output – directly per mode from plant

co2 emissions 2.3a average delivery distance km per tonne road 38.23 maximise logistics efficiency to be reviewed(transport) travelled per tonne (from to decrease fuel consumption factory gate to customer) to 7.75mpg

rail n/a n/a n/a

water n/a n/a n/a

2.3b tonnes moved split by three tonnes moved road 1,925,460 maximise logistics efficiency to be reviewed modes: road, rail, inland barge by each mode to decrease fuel consumption to 7.75mpg

rail n/a n/a n/a

water n/a n/a n/a

2.3c average load for each mode tonnes per load road 16.80 maximise logistics efficiency to be reviewed by mode to decrease fuel consumption to 7.75mpg

rail n/a n/a n/a

water n/a n/a n/a

2.3d co2 emissions as a proportion kg co2 per tonne road 2.31 5.3% reduction in co2 to be reviewed of production output per mode (2.19 Kg/tonne)

rail n/a n/a n/a

water n/a n/a n/a

2.3e co2 emissions per tonne for kg co2 per tonne road 4.96 5% reduction to be reviewed incoming materials per mode

rail n/a n/a n/a

water n/a n/a n/a

Materials efficiency 3.1a mass diverted from the waste Kg/tonne n/a n/a n/a stream for use as a % of total energy use

3.1b % of additional cementitious Kg/tonne n/a n/a n/a materials used as a proportion of total cementitious used

3.1c recycled/secondary aggregate use Kg/tonne 1.35% 1.40% 1.5% as a proportion of total aggregate use

3.1d % of waste derived and recovered % n/a n/a n/a material as a proportion of total raw material used in the manufacture of cement

Water 3.2a mains water use as a proportion litres per tonne n/a n/a n/a of production output

3.2b controlled groundwater use as a litres per tonne n/a n/a n/a proportion of production output

Site stewardship 3.3a proportion of existing quarries that % n/a n/a n/a have restoration plans.

3.3b proportion of sites that have or are % n/a n/a n/a linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries per 1,000,000 lti’s per 1,000,000 hours 3.30 0 0 hours worked (direct employee only) worked (direct employees only)

Employment & skills 4.2a % of employees covered by uKas % of employees 100% maintain 100% maintain 100% certified iso9001/ iso 14001/ ohsas 18001 systems (training & competence sections)

4.2b % of employees covered by an % of employees covered 100% maintain 100% maintain 100% environmental and health and covered by uKas safety management system 9001/14001 systems following the principles of iso 14001 and ohsas 18001

Local community 4.3 % of relevant production sites with % of relevant production 7% establish as establish as community liaison activities sites (and absolute relevant relevant (supplemented by 1.3) number compared to total)

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readymiXed concrete

26 2009 sustainable development report

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 32% 75% 100% management systems by certified ems

Waste minimisation 1.2 Kg of waste to landfill as a kg per m3 18.4 12.2 9.0 proportion of production output

emissions 1.3 number of convictions for air number per annum 0 0 0 (excluding CO2) and water emissions per annum

Quality & performance 1.4 % of production sites covered % of production sites 100% of brmca 100% 100% by a uKas certified 9001 (and absolute number quality management system compared to total)

Energy efficiency 2.1 energy used in production as a kwh per m3 4.4 4.2 4.0 proportion of production output

co2 emissions 2.2 co2 emissions as a proportion kg co2 per m3 2.36 2.26 2.15 (production) of production output

co2 emissions 2.3a average delivery distance km per tonne 10.8km/m³ n/a n/a(transport) travelled per tonne/m3 (from (and km per m3) factory gate to customer)

2.3b tonnes or m3 moved split by three tonnes moved by each 100% road n/a n/a modes: road, rail, inland barge mode (and m³ moved by each mode)

2.3c average load for each mode tonnes per load 5.44m³ n/a n/a (and m³ per load) by mode

2.3d co2 emissions as a proportion kg co2 per tonne per 0.95 0.87 0.8 of production output mode (and kg co2 per m³)

Materials efficiency 3.1b % of additional cementitious % 38% 38% 38% materials (GGbs, fly ash, etc) as a proportion of total cementitious materials used

3.1c recycled/ secondary aggregates as % 0.13% 0.25% 0.30% a proportion of total aggregates used

Water 3.2a mains water use as a proportion litres per tonne 193.5 litres/m³ 140 litres/m³ 130 litres/m³ of production output and litres per m³

3.2b controlled groundwater use as a litres per tonne 29.3 29.3 29.3 proportion of production output and litres per m³

Site stewardship 3.3a proportion of existing quarries that % n/a n/a n/a have restoration plans.

3.3b proportion of sites that have or are % n/a n/a n/a linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries per 1,000,000 lti’s per 1,000,000 hours 0.5 0 0 hours worked (direct employee only) worked (direct employees only)

Employment & skills 4.2a % of employees covered by uKas % of employees 100% maintain 100% maintain 100% certified iso9001/ iso 14001/ ohsas 18001 systems (training & competence sections)

4.2b % of employees covered by uKas % of employees covered 100% maintain 100% maintain 100% certified iso9001/ iso 14001/ by uKas 9001/14001 ohsas 18001 systems (training systems & competence sections)

Local community 4.3 % of relevant production sites with % of relevant production 0% 0% 0% community liaison activities sites (and absolute number (supplemented by 1.3) compared to total)

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KeY perFormanCe indiCators 27

aGGreGates

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 51% 70% 100% management systems by certified ems

Waste minimisation 1.2 Kg of waste to landfill as a kg per tonne 0.39 0.9 0.85 proportion of production output

emissions 1.3 number of convictions for air number per annum 0 0 0 (excluding CO2) and water emissions per annum

Quality & performance 1.4 % of production sites covered % of production sites 11.2 20 30 by a uKas certified 9001 (and absolute number quality management system compared to total)

Energy efficiency 2.1 energy used in production as a kwh per tonne 10.89 10.8 10.4 proportion of production output

co2 emissions 2.2 co2 emissions as a proportion kg co2 per tonne 3.43 3.4 3.3 (production) of production output

co2 emissions 2.3a average delivery distance km per tonne road 44.40 review logistical solutions, to be reviewed(transport) travelled per tonne (from consder targets for 2012 factory gate to customer)

rail 0.06 review logistical solutions, to be reviewed consder targets for 2012

water 0.29 review logistical solutions, to be reviewed consder targets for 2012

2.3b tonnes moved split by three tonnes moved road 12,340,712 review logistical solutions to be reviewed modes: road, rail, inland barge by each mode consder targets for 2012

rail 1,765,072.39 review logistical solutions, to be reviewed consder targets for 2012

water 216,519.00 review logistical solutions, to be reviewed consder targets for 2012

2.3c average load for each mode tonnes per load road 22.09 review logistical solutions to be reviewed by mode consder targets for 2012

rail 1,697.18 review logistical solutions, to be reviewed consder targets for 2012

water 3,231.63 review logistical solutions, to be reviewed consder targets for 2012

2.3d co2 emissions as a proportion kg co2 per tonne road 2.03 decrease fuel consumption to be reviewed of production output per mode to 7.75 mpG = 5.3% reduction in co2

rail 0.46 review logistical solutions, to be reviewed consder targets for 2012

water 10.19 review logistical solutions, to be reviewed consder targets for 2012

2.3e co2 emissions per tonne for kg co2 per tonne n/a – all incoming material are produced on site, transpotation from the incoming materials per mode dig to the plant is included in 2.1. transport to depots is included in 2.3a, 2.3b, 2.3c , 2.3d

Materials efficiency 3.1d proportion of raw material % 0.17% maintain current maintain current comprising of material diverted levels levels from the waste stream

Water 3.2a mains water use as a proportion litres per tonne 75 improve data improve data of production output

3.2b controlled groundwater use as a litres per tonne 308.51 improve data improve data proportion of production output

Site stewardship 3.3a proportion of existing quarries that % 97% 100% 100% have restoration plans.

3.3b proportion of sites that have or are % 16% 40% 100% linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries per 1,000,000 lost time injuries per 1.2 0 0 direct employee hours per year 1,000,000 hours worked (direct employees only)

Employment & skills 4.2a % of employees covered by uKas % of employees 74% of aggs division n/a linked to 4.2b certified iso9001/ iso 14001/ covered by uKas ohsas 18001 systems (training 9001/14001 systems & competence sections)

4.2b % of employees covered by an % of employees covered 100% 100% 100% environmental and health and by environmental and safety management system health and safety manage- following the principles of ment system following the iso 14001 and ohsas 18001 principles of iso 14001 and ohsas 18001

Local community 4.3 % of relevant production sites with % of relevant production 100% relevant sites establish as establish as community liaison activities sites (and absolute number (71%) (22 site) relevant relevant (supplemented by 1.3) compared to total)

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buildinG products

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 100% maintain 100% maintain 100% management systems by certified ems

Waste minimisation 1.2 Kg of waste to landfill as a kg per tonne produced 1.51 maintain current maintain current proportion of production output level level

emissions 1.3 number of enforcement notices, number per annum 0 0 0 (excluding CO2) formal cautions and successful prosecutions per annum

Quality & performance 1.4 % of production sites covered % of production sites 100% maintain 100% maintain 100% by a uKas certified 9001 (and absolute number quality management system compared to total)

Energy efficiency 2.1 energy used in production as a kwh per tonne (total) 15.78 maintain current maintain current proportion of production output level level

co2 emissions 2.2 co2 emissions as a proportion kg co2 per tonne 5.97 maintain current maintain current (production) of production output per mode level level

co2 emissions 2.3a average delivery distance km per tonne road 39.92 42.93 review logistical (transport) travelled per tonne (from solutions, review factory gate to customer) targets for 2012

rail collect n/a n/a

water n/a n/a n/a

2.3b tonnes moved split by three tonnes moved road 1,742,821 907,232 review logistical modes: road, rail, inland barge by each mode solutions, review targets for 2012

rail 104817 n/a n/a

water n/a n/a n/a

2.3c average load for each mode tonnes per load road 23.30 23.64 review logistical by mode solutions, review targets for 2012

rail collect n/a n/a

water n/a n/a n/a

2.3d co2 emissions as a proportion kg co2 per tonne road 1.73 1.76 review logistical of production output per mode solutions, review targets for 2012

rail collect n/a n/a

water n/a n/a n/a

2.3e co2 emissions per tonne for kg co2 per tonne road 2.27 4% reduction in co2 review logistical incoming materials per mode – target 2.18 Kg co2 / tonne solutions, review targets for 2012

rail 0.00004 n/a n/a

water 0.029 n/a n/a

Materials efficiency 3.1a mass diverted from the waste Kg/tonne n/a n/a n/a stream for use as a % of total energy use

3.1b % of additional cementitious % 8.76% 9.00% 10.00% materials used as a proportion of total cementitious used

3.1c recycled/secondary aggregate use % 4.32% 5.00% 7.50% as a proportion of total aggregate use

3.1d % of waste derived and recovered % n/a n/a n/a material as a proportion of total raw material used in the manufacture of cement

Water 3.2a mains water use as a proportion litres per tonne 74.4 improve data improve data of production output

3.2b controlled groundwater use as a litres per tonne 6.08 improve data improve data proportion of production output

Site stewardship 3.3a proportion of existing quarries that % n/a n/a n/a have restoration plans.

3.3b proportion of sites that have or are % n/a n/a n/a linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries per 1,000,000 lti’s per 1,000,000 hours 2.2 0 0 hours worked (direct employee only) worked (direct employees only)

Employment & skills 4.2a % of employees covered by uKas % of employees 100% maintain 100% maintain 100% certified iso9001/ iso 14001/ ohsas 18001 systems (training & competence sections)

4.2b % of employees covered by an % of employees covered 100% maintain 100% maintain 100% environmental and health and covered by uKas safety management system 9001/14001 systems following the principles of iso 14001 and ohsas 18001

Local community 4.3 % of relevant production sites with % of relevant production 100% establish as establish as community liaison activities sites (and absolute relevant relevant (supplemented by 1.3) number compared to total)

28 2009 sustainable development report

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ash

Sustainability Performance indicators Unit of expression CEMEX UK CEMEX UK CEMEX UKprinciples current level 2010 target 2012 target environmental 1.1 % of production sites covered % of production sites 100% 100% 100% management systems by certified ems

Waste minimisation 1.2 Kg of waste to landfill as a kg per tonne produced 0.00 0.00 0.00 proportion of production output

emissions 1.3 number of enforcement notices, number per annum 0.00 0.00 0.00 (excluding CO2) formal cautions and successful prosecutions per annum

Quality & performance 1.4 % of production sites covered % of production sites 100% 100% 100% by a uKas certified 9001 (and absolute number quality management system compared to total)

Energy efficiency 2.1 energy used in production as a kwh per tonne (total) 7.38 linked to 2.2 linked to 2.2 proportion of production output

co2 emissions 2.2 co2 emissions as a proportion kg co2 per tonne 3.96 maintain current maintain current (production) of production output per mode level level

co2 emissions 2.3a average delivery distance km per tonne road 190.13 none set review logistical (transport) travelled per tonne (from solutions, review factory gate to customer) targets for 2012

rail 74.00 n/a n/a

water n/a n/a n/a

2.3b tonnes moved split by three tonnes moved road 238,367 none set review logistical modes: road, rail, inland barge by each mode solutions, review targets for 2012

rail 8,973 n/a n/a

water n/a n/a n/a

2.3c average load for each mode tonnes per load road 27.68 none set review logistical by mode solutions, review targets for 2012

rail 897.3 n/a n/a

water n/a n/a n/a

2.3d co2 emissions as a proportion kg co2 per tonne road 3.65 none set review logistical of production output per mode solutions, review targets for 2012

rail 1.00 n/a n/a

water n/a n/a n/a

2.3e average delivery distance travelled km per tonne road n/a n/a n/a per tonne for constituent materials

rail n/a n/a n/a

water n/a n/a n/a

Materials efficiency 3.1a mass diverted from the waste Kg/tonne 0.00 n/a n/a stream for use as a % of total energy use

3.1b % of additional cementitious Kg/tonne n/a n/a n/a materials used as a proportion of total cementitious used

3.1c recycled/secondary aggregate use Kg/tonne n/a n/a n/a as a proportion of total aggregate use

3.1d % of waste derived and recovered % 100% 100% 100% material as a proportion of total raw material used in the manufacture of cement

Water 3.2a mains water use as a proportion litres per tonne 0.00 0.00 0.00 of production output

3.2b controlled groundwater use as a litres per tonne 0.00 0.00 0.00 proportion of production output

Site stewardship 3.3a proportion of existing quarries that % n/a n/a n/a have restoration plans.

3.3b proportion of sites that have or are % n/a n/a n/a linked to, biodiversity action plans.

Health & safety 4.1 lost time injuries for direct number per 1,000,000 0 0 0 employees per 1,000,000 worked hours worked

Employment & skills 4.2a % of employees covered by uKas % of employees covered 100% n/a n/a certified iso9001/ iso 14001/ covered by uKas ohsas 18001 systems (training 9001/14001 systems & competence sections)

4.2b % of employees covered by an % of employees covered 100% 100% 100% environmental and health and by environmental and health safety management system and safety management following the principles of system following the iso 14001 and ohsas 18001 principles of iso 14001 and ohsas 18001

Local community 4.3 % of relevant production sites with % of relevant production 100% – all at 100% 100% community liaison activities sites (and absolute power station level (supplemented by 1.3) number compared to total)

front cover image – Kevin Groombridge, environment manager for south Ferriby cement plant, with Climafuel, an alternative fuel made from residual household and commercial waste that cannot be recycled. Copy – marit meyer-bell and andrew spencer. editing – Falcon Windsor. design – mark noad design. printing – beacon press. Paper – naturalis smooth recycled.

Page 32: CEMEX UK 2009 Sustainable Development Report · Welcome to the second biennial sustainable development report for cemeX uK. ... 2 2009 sustainable development report ... and for construction

cemeX uKcemex house, coldharbour lane, thorpe, surrey tw20 8td

telephone 0800 667 827 www.cemex.co.uk

evaluation of the cemeX 2009 sustainable development report

the independent evaluation of the content of the cemex 2009 sustainable development report concludes that the scope of contents meets application level b according to the Global reporting initiative (Gri) G3 sustainability reporting Guidelines. this evaluation has not considered the accuracy of the report and its content and should not be considered to be an external assurance statement.

in my opinion, the report represents a comprehensive overview of cemex uK and an open expression of the state of the business in what has been a very challenging period for the sector.

three elements of the report stand out for me: the work being undertaken to develop and deliver sustainable heavy construction materials; the progress in improving the logistics side of the operations; and the forging of a sound relationship with the royal society for the protection of birds (rspb) which is already delivering returns for biodiversity.

there are areas for improvement in the future and these should include: a clearer connection between targets and performance; greater coverage in the area of employees and employment; and improved reporting of sustainability benefits arising from successful initiatives.

overall the report shows that great strides have been made in the past four years – since the first report – and the intention to move towards full external verification is a testament to the commitment of the business towards sustainable development reporting.

this evaluation was completed on 14 June 2010 and performed by dr. ben vivian, director, vivian partnership.