The evolution of Hillside Aluminium’s reports reflect changes in environmental thinking in recent years. The company introduced annual environmental reports in the late 1990s and these have expanded, since 2001, into annual sustainability reports that encompass economic, environmental and social impacts over which Hillside has direct control and influence.
The judges of Greening the Future-Investing in the Environment 2003 awarded Hillside first prize in the Best Sustainability Report category because ‘it stands out in a field of good sustainability reports entered in the competition”. The company entered its Sustainability Report for 2001/2002.
The judges praised Hillside’s report for its integrated approach to human resources, economics and environmental issues; for being easily accessible and readable; and for being honest and transparent.
‘Hillside assisted in the establishment of environmental standards years ago. These are the high standards by which they are now measuring themselves. Their report provides a detailed, honest evaluation of compliance with these standards,” said the judges.
Hillside is a primary aluminium smelter that produces more than 500 kilotons of the metal a year. The smelter was established in 1995 in Richards Bay, KwaZulu-Natal, and is owned by BHP Billiton.
The sustainability report is an attractive, glossy publication aimed at readers in government departments, NGOs, interested and affected parties and Hillside visitors.
It includes a background of the company, as well as economic, environmental and social reports backed by comprehensive data.
The structure and language of the report is clear and accessible to readers without specialist knowledge.
The fact that the report clearly outlines the failures as well as the successes of the company against its projected targets impressed the judges. The report was audited by Deloitte & Touche.
Key to the effectiveness of the report is the emphasis on the ‘triple bottom line” of profitability, environmental awareness and community development, as well as its positive communication with stakeholders and the workforce.
‘A well-rounded stakeholder process is involved. The quality of engagement with interested and affected parties is impressive,” said the judges.
The company has set up a health, safety, environment and quality (HSEQ) management model. All policies regarding sustainability are initiated at a management level. The policies then go through a planning stage, which involves target setting and risk assessment.
Central to the monitoring and management of the various facets of the organisation is a ‘balanced score card”. This system is used to monitor key performance indicators as well as issues of HSEQ.
With regard to environmental issues, the score card and monthly reports allow the company to monitor its air emissions and water effluent. The sustainability report is honest about the potential environmental risks of its activities.
Oxides of sulphur and fluoride emissions can be damaging to the environment and to human health. Hillside says its projects have remained within the restrictions of the Atmospheric Pollution Prevention Act, and the monitoring of SO2 levels is conducted on an ongoing basis by the Richards Bay Clean Air Association.
Hillside has taken part in a process hosted by the International Aluminium Institute to establish a greenhouse gas protocol. It is committed to reducing greenhouse gas emissions by 5% by 2007. One of the failures acknowledged in the report were high emissions of perfluorocarbon, which has a significant effect on global warming.
The report says the company has attempted to reduce its water consumption through recycling, but has experienced problems with a high degree of fluoride in its processed water.
To ensure the safety of employees, the company runs a programme to avoid and assess health risks through team discussion and planning. The programme has a strong slant on HIV/Aids awareness and related issues.
The sustainability report emphasises the need for open communication with stakeholders like the Richards Bay Clear Air Association, the Zululand Chamber of Business and ratepayers’ associations.
The company runs regular feedback sessions with interested and affected parties, resulting in the drafting of an agreement of priority environmental concerns.
When it comes to procurement, Hillside has introduced a ‘vendor assessment” system. Local suppliers are evaluated in terms of the International Standards Organisation criteria and all contracts must have an HSEQ evaluation.
Reflecting these and other achievements alongside the failures and projections of the company assists in making Hillside’s report, sub-titled Taking Responsibility: Economic, Environment and Social Review, a credible record.