Corporate Social Responsibility Report FCC Environment CSR

2012

corporate social responsibility REPORT

2012

1. Foreword 3

1.1 Introduction1.2 Highlightsandchallenges

2. environmental commitment 62.1 Carbonmanagement2.2 Carbonimpact2.3 Biodiversity,stewardshipand sustainableresourcemanagement3. people Focus 133.1 Creatingagreatplacetowork3.2 Employeeengagement3.3 WorkingforFCCEnvironment3.4 Attracting,developingandretainingtherightpeople3.5 Keepingpeoplehealthyandsafe

4. Doing the right thing 154.1 Regulatorycompliance4.2 Externallyregisteredmanagementsystems4.3 Policystatements4.4 Communityandsociety4.4.1 Community •AdrenalineAlleycasestudy4.4.2 Biodiversity

5. Forward Thinking 215.1 Developingthecirculareconomy5.2 Environmentalcommitment5.3 Sustainabledevelopment

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CONTENTS

2012wasachallengingyearforthecompanyandattimesrewardingbutwehavenot,andwillnotstrayfromourdeterminationtodeliveronthepromiseswemaketoeachotherandourcustomerseveryday.

Thesepromisesareunderpinnedandnourishedbyourcorevaluesof:EnvironmentalCommitment,PeopleFocus,DoingTheRightThingandForwardThinking.Ourvaluesinformeachandeveryaspectofouractivityandconstitutetheveryfabricofthebusiness.

Ourbusinessisbasedoncustomerrelationships.Inmaintaininganactive,thoughtfulandmeaningfulCSRprogrammewearehelpingtocementandbuildtheserelationshipsforthelongterm.

ThisreportdetailsthebreadthofactivityweatFCCEnvironmentundertakeaspartofourCSRandweareproudtochampionwhatwedoandshareoursuccesses.

paul taylorChiefExecutiveOfficerFCCEnvironment

1 FOREWORD

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Welcome to Fcc environment’s corporate social responsibility (csr) report for 2012.

1.1 INTRODuCTION

FCCEnvironmentprovidesadiverserangeofcost-effectiveandsustainablewasteprocessing,recycling,treatment,disposalandenergyrecoveryservices.

Thecompanyaimstobecomethepartnerofchoiceforlocalauthorities,industrialandcommercialcustomers,andisalreadyakeyplayerwithinthemunicipalwastemanagementsector,withover60localauthorityclientsacrossEngland,WalesandScotland.

FCCEnvironment’sobjectiveistoachievesustainablebusinessgrowththroughtheretentionofexistingcustomersandtowinnewbusinessbyofferingcomplementarywasteprocessingandtreatmenttechnologies.

Despitechallengingeconomiccircumstances,FCCEnvironmentreceived,treated,recycledanddisposedof8.1milliontonnesofhousehold,commercialandindustrialwaste(comparedto8.6millionin2011)aswellasmanagingaround200wastemanagementfacilities.

In2012,FCCEnvironmentreceivedaplanningapprovaltobuildandoperateanenergyfromwaste(EfW)facilityatGreatmoorinBuckinghamshiretotreatupto300,000tonnesofwastewhichcannotberecycled(knownasresidualwaste)eachyear.ThetreatmentofBuckinghamshireCountyCouncil’sresidualwastewillgenerate22MWofelectricity,sufficienttopower36,000homes,savingthecouncilapproximately£150millionover30years.

Also,FCCEnvironment’splantoconstructajointventureEfWfacilityatHartleburyTradingEstate,nearKidderminster,wasgrantedplanningconsentin2012.Thesitecanprocessupto200,000tonnesofmaterialsandwillservicebothHerefordshireandWorcestershireCountyCouncils.TheinvestmentintheseEfWfacilitiesisinlinewith

thecompany’sstrategytodivertwastefromlandfillandsustainablytreatwastewhichcannototherwiseberecycled.

Aswellasdevelopingitsservicesforlocalauthorities,FCCEnvironmentisalsoinvestinginwastemanagementinfrastructuretohelpbusinessesrecyclemoreandreducetheamountofwastesenttolandfill.

Thedevelopmentofthreenewmaterialrecyclingfacilities(MRFs)atBletchleyinBuckinghamshire,SuttonCourtenayinOxfordshireandAlfretoninDerbyshirewasprogressedbythebusinessin2012.Thefacilitiesareduetocomeonlinein2013andwillprocessupto100,000,70,000and80,000tonnesrespectivelytomaximisetheamountofwasterecycledintheseareas.

FCCEnvironmentiscommittedtoworkingwithitslocalauthoritypartnersandcommercialcustomerstocomplywithbothuKandEulegislation,exceedwastemanagementtargetsandderivemaximumvaluefromwaste.

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FCCEnvironmentiscommittedtoworkingwithitslocalauthoritypartnersandcommercialcustomerstoderivemaximumvaluefromwaste.

1.2 HIGHlIGHTSANDCHAllENGES

DespitethechallengesofoperatingintheuK’shighlyregulatedwastemanagementindustryatatimeofsloweconomicgrowth,FCCEnvironmenthasperformedwell.

In2012,WasteRecyclingGroupandFocsaServices(uK),twowellestablishedbusinessesownedbytheglobalinfrastructure,environmentalservicesandenergygroup,FCC,wererebrandedasFCCEnvironmentinavitalsteptowardscreatingamoresustainablebusinessmodel.

ByfocusingonthefourcombinedvaluesofEnvironmentalCommitment;PeopleFocus;DoingtheRightThingandForwardThinking,FCCEnvironmentcontinuestodeliverasustainableandprofitablebusinessthataddsvaluetocustomersandthecommunitiesinwhichwework.OurvisionatFCCEnvironmentistobetheenvironmentalcompanyofchoicebydeliveringchangeforasustainablefuture.

FCCEnvironment’sworktosupportlocalauthoritieshasbeenendorsedinWorcestershirewhereFCCEnvironment’sclient,WychavonDistrictCouncil,hasbeenrecognisedasoneofthebestcouncilsin2012’sCleanBritainAwards.Thelocalauthority,whichisservicedbythecompany’swastemanagementandcleansingteams,wasawardedfivestarsforcleanlinessfollowinganassessmentonlitter,aesthetics,wasteandappearanceofthehighways.

FCCEnvironmenthasworkedinpartnershipwithSuffolkCountyCounciltoincreasewastemanagementoptionsavailabletobusinessesbyopeningthegatesofthecounty’shouseholdwasterecyclingcentrestosmallbusinesses.Afteraninitialtrialattwocentres,theservicehasbeenrolledoutacrossall11sitesandhasbeenadaptedtoallowalargerrangeofmaterialstoberecycledandreused.

Thecompanyiscommittedtohelpingbusinessesrecyclemoreandsavemoneybydivertingwasteawayfromlandfillwhichisheavilytaxed.Forexample,commercialandindustrialcollectionserviceshavebeenimprovedbyFCCEnvironmentinSouthCumbriatohelpbusinessesrecycleover40%moremixedwastein2012than2011.

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In2012,FCCEnvironmentalsoconfirmedthattheproposedManofSteelsculpture,whichembodiesSouthYorkshire’sindustrialpast,willbesitedonitsformerlandfillsiteoverlookingtheM1corridorbetweenRotherhamandSheffield.Thesculptureaimstoencouragenewbusinessinitiativestotheareaandcreateadestinationfortourismandeducation.

environmental commitmentwhichmeansbeingenvironmentallyandsociallyresponsibleintheservicesweprovideandthecommunitiesinwhichwework.

people Focus whichmeansvaluingourpeople,ensuringrewardsandpraiseforajobwelldone,motivatingothersandenjoyingwhatwedo.

Doing the right thing whichmeansbuildingasuccessfulandsecurefuturebybeingcustomerfocusedanddeliveringqualityservices.

Forward thinking whichmeansembracingchangeandpreparingforthefuture.

Fcc environment’s values

2 ENvIRONMENTAlCOMMITMENT

2.1 carbon managementFCCEnvironmentremainscommittedtoreducingcarbonandincreasingenergyefficiencyacrossthewholebusiness.ThiscommitmenthasbeendemonstratedbytheretentionoftheCarbonTrustStandardcertificationin2012aswellastheextensionofthecertification’sscopetocoverallFCCEnvironmentfacilitiesintheuK.

Corporatecarbonreductiontargetsaresetonanannualbasisandfocusonloweringcarbonemissionsfromtheuseofenergywithinthebusiness.In2012,FCCEnvironmentnotonlyachieveditscarbonreductiontargetof2%onceagain,butthistargetwasexceededbyafurther13%reductionincarbonemissionsfromenergyuse.

FCCEnvironment’smostsignificantcarbonimpactresultsfromlandfillingactivities.However,carbonemissionsin2012havefalleninlinewithexpectationsduetothefallingwastetonnagesbeingsenttolandfill.

Emissionsfromelectricityconsumptionaresetoutslightlydifferentlyinthisreportcomparedwithpreviousyearstoreflectthehugeachievementinreducingtheconsumptionofgridelectricity.TheenergyconsumptionfromthegridhasdecreasedsignificantlyduetoimprovedefficiencieswithinourGreenEnergy+division,behaviouralandoperationalchangesaswellasimprovedefficiency.

FCCEnvironment’stransportemissionsfromwastecollectionsandbusinesstravelhaveslightlyincreasedin2012duetocontinuedgrowthandwinningnewcontracts.Therefore,thecompanyisfocusingonimprovingthefuelefficiencyofvehiclesthrougharigorousvehicleservicingandmaintenanceprogrammeinadditiontodrivertrainingwhichincludesenvironmentalawarenessandrouteoptimisation.

FCCEnvironment’savoidedemissionscontinuetogrowasaresultofincreasedmaterialrecyclingandrecoveryrates.Asaresultofourrecyclingactivities,thecompanyhasavoided594,897tCO2ein2012.Furthermore,FCCEnvironment’sgenerationofrenewableenergysavesanadditional727,218tCO2e.

64,650litresofusedcookingoilwerecollectedbylivingFuelsathouseholdwasteandrecyclingcentres(HWRCs)operatedbyFCCEnvironmentacrossEnglandandWalesduring2012.livingFuels,whichrecoversusedcookingoiltogeneratecarbonneutralelectricityandheat,usedthisoiltoproduceasustainablebioliquidcalledlF100withitspatentedrecoveryprocess.TheresultinglF100hasgenerated242,438kWhofgreenelectricityandcontributedtowardstheuKachievingitsrenewableenergytargets.

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FCCEnvironmentnotonlyachievedbutexceededitscarbonreductiontargetin2012.

in line with our continued commitment to managing the reduction of carbon emissions, our approach is similar to previous years:

- ConversionfactorsareagaintakenfromthelatestversionoftheDepartmentfortheEnvironment,FoodandRuralAffairs(Defra)guidelines,wherepossible.lastyear’snumbershavebeenrecalculatedusingtheupdatedfactors.

- Chlorofluorocarbon(CFC)emissionshavebeenestimatedonthesamebasisaslastyearusinganaverageofglobalwarmingpotential(GWP)factorsfromDefra.

- Carbondioxide(CO2)emissionsfrombiogenicsourcesaredeductedfromthetotalemissionsgivinganetfigure.

- WastetoenergycarbonsavingsinthisreportarebasedonDefrafactors.

- Avoidedemissionsfromrecyclingandelectricitygenerationarelistedseparately,asistheestimatedamountofcarbonsequesteredinlandfills(shownasthecarbondioxideequivalent).


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2.2 carbon impactThedatainthefollowingtablereferstocalendaryearreportingperiods.

*landfillgasemissionsmodelledusingGassim**MeasuredtonnageorusagexDefraemissionfactor***Measuredemission****Estimationbasedonassumedwastecomposition

total eMissions tonnes co2 equivalent 2012 2011

scope 1

landfill* CO2 1,685,533 1,638,378

CH4 1,724,909 1,829,582

CFCs 24,162 27,415

Fueluse** Businessuse(Petrol) CO2 177 273

Businessuse(Diesel) CO2 979 753

Transport(Diesel) CO2 15,699 14,319

Gasoil CO2 36,345 37,709

Kerosene CO2 59 53

Gas CO2 167 162

WastetoEnergy*** CO2 201,664 200,528

scope 2

Indirectemissions(electricityuse)**(gridimportstatedinbrackets)

CO244,160

(16,976)43,850(27,637)

Gross eMissions total 3,733,854 3,793,022

landfillCO2(biogenic)* 1,685,533 1,638,378

net eMissions 2,048,321 2,154,644

aVoiDeD eMissions

Recycling** Glass -34,519 -19,492

Paper -98,886 -63,154

Metaltotal -117,314 -8,718

Plastic -21,426 -16,247

Wood -106,350 -160,120

Textiles -82,148 -82,180

WEEEincludingfridges -62,804 -60,249

Organic(mixed) -68,796 -68,796

Other -2,654 -2,248

Wastetoenergy** -21,154 -21,504

sUM -299,637 -399,199

Electricityexports** -727,218 -714,064

total aVoiDeD eMissions -1,343,269 -1,205,657

seQUestration

Carbonsequesteredinlandfill**** 123,992 164,439

2.3 biodiversity, stewardship and sustainable resource management FCCEnvironment’sReclamationandEcologyDepartmentensuresthattheGroupremainscompliantwithwildlifeandbiodiversitylegislationandpolicyframeworkswhilefollowingplanningpermissionconditionsandobligationsunderlegalagreements.Thisalsoinvolveslong-termmonitoringandmanagementofspeciesandhabitatsaswellasthesustainablemanagementoftheresourcesusedthroughrestorationandecologymanagement.

Theteamconsistsofanecologyandconservationmanager,twoecologistscoveringthenorthandsouthoftheuKwhoreporttotheregionalplanningandpermittingmanagers,seniorecologistreportingintothereclamationteamandtwosite-basedstaffmanagingMooreNatureReservenearWarrington,inCheshire.

Thedepartmentisresponsibleforcarryingoutecologicalsurveys,assessmentsofprotectedspeciesandimportanthabitatsinrelationtonewdevelopmentsaswellastheoperationandmanagementoffacilitiesandmitigationsites.AmitigationsiteisanewhabitatcreatedbyFCCEnvironmenttomitigateforthelossofanexistingone.Thenewhabitatisoftenlargerthantheoriginaloneandissubjecttomonitoringforfiveyearstoensureithassuccessfullyreplacedtheprevioussitewiththesuccessfulre-establishmentofwildlife.MitigationandenhancementmeasuresaredevisedbytheteamfollowingtheevaluationoftheimpactofFCCEnvironment’sactivitiesonsurroundingwildlifeandhabitats.

biodiversity Theoverallpolicyfortheprotectionofbiodiversityinvolvestheundertakingofsystematicecologicalinvestigationsandsurveystodeterminethewildlifespeciesandhabitatspresentonsite.Anypotentialimpactsofanyproposeddevelopmentandoperationsonthespeciesandhabitatspresentareidentifiedorpredictedandanalysed.

Biodiversityisencouragedbythesensitivemanagementofwildlifecorridorsandhabitatlinksaswellasadheringtostandardproceduresformanaging,maintainingandavoidingfragmentationofhabitats.Thisisexemplifiedwithinthebusinessbyapprovedmanagementplansforwildlifemitigationandactiverestorationareamanagement.

Forexample,MooreNatureReserve,managedbyFCCEnvironment,comprisesover200acresofwoodland,meadows,lakesandpondswhicharehometoawidevarietyofanimals,birds,plantsandotherwildlife.Thecontinuingsensitivemanagementofthereservehelpstosafeguardrare,threatenedandlegallyprotectedspeciesincludinggreatcrestednewtsandbittern.ThebusinessalsooperatesnearbyArpleylandfillsitewhichisbeingprogressivelyrestoredtoamixofwoodlandandgrassland.

FCCEnvironmenthasasetofstandardguidanceproceduresforspecificmanagementtaskssuchasditchmanagementandre-profiling,pondwork,grasslandmowingandwoodlandpruning.Theseensurethatbestpracticeiscarriedouttominimiseanyadverseimpactandenhancebiodiversitywhenmanagingrestoredareasbyfollowingthemostappropriatemethodologies.

TherestorationoflandisacontinualprocessforFCCEnvironmentandendusesoflandarediverse,rangingfromwoodlandtoenergycrops.Duringthisprocess,FCCEnvironmentengagesthesupportandexpertiseoflocalgroups(suchasBroxtonBarnOwlGroupinGowy),statutorybodies,siteandrestorationmanagersaswellasthelocalcommunity.

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Theobjectivesofsuchrestorationaretoreturnthelandtoasustainableafteruserequiringminimalfuturemaintenanceandprovidealandscapeinkeepingwithsurroundingareas,whetherfornatureconservationorpublicuse.Inaddition,industriallandhasbeenidentifiedforthefurtherplantingofenergycrops.

Mostlandfillrestorationschemesaredesignedtoenhancelocalbiodiversitywhilefunctioningasbothsustainablelandscapesandanenvironmentalcontrolonthelandfillitself.ThepositiveimpactsonincreasedbiodiversitycanbemeasuredbytheoccurrenceofprotectedspeciesorlocalBAPtargetspecies.

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stewardship 2012 2011 2010 2009

No.ofsiteswithhabitatsorspeciesinlocalBAP(BiodiversityActionPlan) 129 122 122 134

No.oftreesplanted 140,476 66,000 52,500 35,000

No.ofwillowforshortrotationcoppice 97,500 120,000 180,000

Areaoflandplantedwithmiscanthusenergycrops(ha) 71 65 6

Areaoflandplantedwithmaize(ha) 20 28

lengthofhedgerowplanted(metres) 3,130 200 400 200

landrestored(ha) 171 80 75 70

Rossett, Wrexham–eighthectaresoftreeswereplantedtorestorewildflowermeadows,woodlandplantingandhedgerowsatalandfillsite.

Brogborough, Bedfordshire–30hectaresofnewtreeswereplantedand47hectaresofmeadowseededaspartofthesecondphaseofthedevelopmentofacountrypark.

Thorington, Suffolk–ecologicalrestorationschemeofasandpitwascompletedtodeliverspecies-richgrassland,woodlandandmeadowsforlowintensitygrazingfollowingamajorearthmovingworksin2011.Inaddition,anumberofpondswerecreatedtosupportthegreatcrestednewtmitigationschemerequiredtoallowthepit’srestoration.

Pennyhill, Worcestershire–workedwiththeWestMidlandsbranchofButterflyConservationtoincreasetheamountofsuitablehabitatforDingySkipperbutterflies,aspeciesinrapiddecline.FCCEnvironmentfundedashreddertocutchipmaterialtocreatethenewhabitatandPennyhillnowholdsthecountry’slargestpopulationofthisparticularspecies.

Gowy, Cheshire–providedlandatGowyWoodlandParkforpupilsfromMickleTraffordvillageSchooltoplant500treesdonatedtoMickleTraffordParishCouncilbytheWoodlandTrust’s‘JubileeTrees’project.

During 2012, Fcc environment restored 171 hectares of land for a diverse range of uses including:

• Woodlandfornatureconservation• Commercialenergycrops• Wildflowermeadows• Grazingorotheragriculturalland• Parklandandopenspacesforthepublic

includingtrees,grassedareasandfootpaths• Wetlandrestoration,ponds,lagoonsandstreams

energy cropsFollowingtrialsin2010,FCCEnvironmentinitiatedathreeyearenergycropprogrammetoplant200hectaresofmiscanthus(elephantgrass)and30hectaresofshortrotationcoppice.Thesecropssupporttheleachatetreatmentdivisionandfacilitatethesustainablelong-termlanduseofclosedsitesasmiscanthuscanbesoldasbiomasstofuellocalpowerstations.

Energycropsareplantedonrestoredareasoflandfillsiteswhicharetraditionallylowgradeagriculturallandandwheresoilsarenotfertileenoughforotheragriculturaluses.FCCEnvironment’sprogrammeispartiallysupportedbyNaturalEnglandgrants,plantinglocallysourcedseedstockandemployinglocalcontractors.

FCCEnvironmentestablished71hectaresofmiscanthusacross10landfillsitesintheuKduring2012.Thisbringstheprogramme’stotalto142hectaresofmiscanthusand25hectaresofshortrotationcoppiceacross20sitesandtheprojectwillbecompletedin2013.

conservationFCCEnvironmentownsoroccupiesanumberofotherdesignatedsitessuchasCountyWildlifeSites(DixPitinOxfordshire),orSitesofBiologicalImportance(GowyinCheshire).Thesesitesalsocomeunderthejurisdictionoftheecologyteamforprotection,conservationandmanagement.

Inaddition,FCCEnvironmentownsandoccupiesanumberofSitesofSpecialScientificInterest(SSSIs)suchasDanesMosslandfillsiteinCheshire,PenyBontlandfillsiteinNorthWalesandtheclosedlandfillsiteatTaddingtoninDerbyshire.SSSIsareaffordedprotectionunderuKlegislationwhichplacessignificantresponsibilityonFCCEnvironmenttoconservetheirhabitat.TheecologyteammanagestheseSSSIsinaccordancewithspecificplansforavarietyofreasons;usuallywherethereisanobligationunderalegalagreementorplanningcondition.

sustainable resource managementWhereverpossible,FCCEnvironmenttransformswasteintouseableresources.

Theprincipalrawmaterialsusedbytherestorationandecologyprocessesincludesoil,aggregates,grassseed,treesandshrubs,plastictreeguardsandfencingmaterials.

Re-usablewasteisalwaysutilisedpriortoimportingvirginmaterials,butspecialisedrestorationrequirementsmaysometimesrequiretheimportofspecificallyquarriedmaterials.TheseformaverysmallpercentageoftheGroup’stotalrequirements.

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Whereverpossible,FCCEnvironmenttransformswasteintouseableresources.

Daneshill, Nottinghamshire–sevenhectaresofmiscanthusandfourhectaresofshortrotationcoppicewereplantedtoproducebiomassforeffluenttreatment.

Bootham Lane, South Yorkshire –ninehectaresofshortrotationcoppicewereplantedtoaideffluenttreatment.

soil FCCEnvironmentsourcesthemajorityofitssoilforrestorationprojectsfromtheconstructionanddemolitionindustry.Inaddition,severalthousandtonnesofourowncompostfromorganicgreenwasteisusedeveryyearassoilconditioner.

Arecentinitiativeutilisescompostfromwasteprocessingplants,knownascompostlikeoutput(ClO),asasoilenhancerforenergycrops.Inaddition,sewagesludgeandpapercrumbisusedforsoilconditioningandcementkilndustforneutralisingacidicsoil.

Grass, trees and shrubsFCCEnvironmentpurchasesthemajorityofgrassseedfromsustainablesourcesintheuKtoensureitsqualityanddiseaseresistance.Initiativestoharvestlocallysourcedwildflowerseedsatasmallnumberofsiteswithspecificseedrequirementshavebeenexplored.

lessgrassseedisplantedwhilestillachievingagoodlevelofgrowthbyutilisingorganicmaterialstoimprovesoilfertilityinplaceofartificialfertilisers.localcontractorsareemployedtocompletetheseedingworkstominimisetheassociatedtravel.

Anumberofthecompany’senergycropsiteshavebeenidentifiedforfutureharvestingofseedtoallowFCCEnvironmenttogenerateitsownseedstock.Forexample,anumberofsiteshavebeenidentifiedtoactasnurseriesformiscanthusseeds.Also,cuttingshavebeensuccessfullytakenfromthecompany’swillowcoppiceplantationsandreplanted.

Themajorityofthecompany’streeandshrubstockarefromsustainablenurseriesintheuKtoensuretheirdiseaseresistanceandquality.FCCEnvironmentappliesacomprehensivemaintenanceprogrammetoensurethatthetreesithasplanteddonotfailduetocompetitionwithweedsorgrass.Thisreducesthenumberoftreesrequiredforreplantingatalaterdate.

Fencing Biodegradable,protectivefencingisusedaroundplantationsratherthanindividualtreeswherepossibletoreducetheuseofplastics.

Woodenpostsfromsustainabletimbersourcesareusedand,onsmallerscaleprojects,amphibianfencingisused.Thisismadefromrecycledscrapliningplasticpreviouslyusedintheengineeringoflandfillsites.Also,speciallymanufacturedsteelfencingusedin2011atThoringtonPitwaslaterre-usedelsewhere.

aggregates MostaggregatesusedbyFCCEnvironmenttoconstructfootpathsarerecycled.Basecoursesaremadefromrecycledcrushedbrickwhilethetopsurfaceismadefromdustfromconcretecrushingprocesses.

In2012,aggregatesfromthecompany’scivicamenitysiteskipswererecycledaswell.Thissupplementsbought-inaggregatesandreducestransportcostsbyusingvehiclesalreadytravellingtositestodeliverrecycledaggregates.

Thereareanumberofinitiativestousewastesandsandclaysaswellasimportinginertwastetoseparateitintosoilsandhardcoreforroadmaintenance.

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FCCEnvironmentusesrecycledmaterialswherepossibleorvirginmaterialsfromsustainablesources.

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examples of material recycling initiatives in 2012:

Darrington landfill, West Yorkshire –100,000tonnesofinertwastewasrecycledtoproducesoilandhardcoretobuildroads.5,000tonnesofcompostwasusedasasoilconditionertocreatetopsoilsforthecompletionofrestorationwork.

Skelbrooke landfill, South Yorkshire –50,000tonnesofsoilwasre-usedfortopsoiltoreturnthesitetoagriculture.

Offham landfill, Kent -70,000tonnesofrecycledsoilwasimportedtoreturnthelandtoagriculturalgrazing.

Bilsthorpe landfill, Nottinghamshire –50,000tonnesofsoilwasrecycledduringtherestorationofthesitetowoodlandandopenspaceforthepublic.

Sutton Courtenay landfill, Oxfordshire –2,000tonnesofcrushedbrickwasreusedtoformfootpathsandbridlewaysintherestorationofthesitetoacountrypark.

Thurcroft landfill, South Yorkshire –5,000tonnesofcementkilndustwasre-usedtotreatacidiccollieryshalebeforethesiteisreturnedtowoodland.

Arlesey landfill, Bedfordshire–60,000tonnesofrecycledsoilwasimportedfortherestorationofthesiteandtoproducehardcorematerialsforroadsandfootpaths.

Bradgate landfill, South Yorkshire –20,000tonnesofsoilwasrecycledtorestoreaformerquarrytowoodlandandwildflowergrassland.

Weldon landfill, Northamptonshire –10,000tonnesofrecycledsoilsand3,000tonnesofcompostlikeoutput(ClO)wereimportedtorestorethesitetowoodland.

ThecompanystrivestomakeFCCEnvironmentagreatplacetoworkforitsemployees.

3 PEOPlEFOCuS

3.1 creating a great place to work people promisesThecompanystrivestomakeFCCEnvironmentagreatplacetoworkforitsemployeesandcreateasenseofbelonging.Employeesarevaluedandtreatedfairlynomatterwhattheydoorwheretheyworkwithinthebusiness.

What has been achieved so farThebusinesscontinuestohaveanexcellentsicknessandabsencerecord,ending2012at1.68%whichreflectsitsproactiveabsencemanagementprogrammes.FCCEnvironment’svoluntaryturnoverratewas6.6%in2012whichisenviableforanyorganisation.

equality and DiversityFCCEnvironmentcontinuestofocusonequalityanddiversityasthisiscentraltodevelopingaworkingenvironmentthatrepresentsthediversepopulationsthecompanyserves.In2012,aseriesoftrainingprogrammeswerelaunchedaboutequalityanddiversityissueswhichallemployeeswererequiredtocomplete.

PeoplefromwithinthecommunitiesinwhichthecompanyoperatescontinuetobeemployedbyFCCEnvironmentaswellasstafffromsociallydisadvantagedgroups.Thebusinessalsohaslinkswitharmedforcesassociationstoattractex-servicepersonneltothewastemanagementandrecyclingindustry.

3.2 employee engagement Beingaresultsorientatedbusiness,employeeengagementcontinuestoplayanintegralroleinFCCEnvironment’sstrategyandsuccess.Anumberofinitiativeshavebeenlaunchedfor

employeesin2012,includingacomprehensiveemployeecommunicationprogrammeaswellaspersonalhealthandwellbeinginitiatives.Careerdevelopmentpathshavealsobeenstrengthenedinordertogiveallemployeesthechancetoimproveandprogresswithinthecompany.

TheannualABCDawardslinkthecompany’svaluesandbehaviourstohighperformancebyrecognisingemployeeswhogoAboveandBeyondtheCallofDuty.

FCCEnvironmentemployeesareencouragedtosharetheirpassion,confidenceandknowledgewiththeircolleaguesbecauseaskilledandmotivatedworkforcehelpstodrivebusinesssuccess.Therefore,aholisticapproachistakentoaddresstheneedsofeachindividual.Thisincludesaccesstoarangeofin-housetrainingprogrammesandotherlearninganddevelopmentopportunities,themajorityofwhichleadtotransferableandaccreditedqualifications.

FCCEnvironmentcontinuestoworkwithpartnerssuchasEuSkillsandtheInstituteoflearningandManagementtomakethemostofalldevelopmentactivityconductedacrossthedivisionsofthecompany.

ThebusinessisworkingwithEuSkillsonanumberofwasteindustryprojectssuchasaCompetenceManagementSystemthatformsthebasisofcompetenciesforalllevelsofjobsinthewasteindustryaswellasanapprenticeshipprogramme.

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FCCEnvironmentemployeesareencouragedtosharetheirpassionandknowledgewiththeircolleagues.

3 PEOPlEFOCuS

3.3 Working for Fcc environment During2012,aprojectwasundertakentoevaluateallstaffjobsintheorganisationanddeviseaconsistentsalarygradingandcompensationpolicy.Thiswasconductedinordertoformalisethepaystructureforstafffromtwodifferentbusinesses.TheoutcomesareduetobeimplementedinApril2013andwillformafairpaystructureandprogressionpathforallemployees.

3.4 attracting, developing and retaining the right people AttractingandretaininghighqualitystaffisapriorityforFCCEnvironmenttoensuresuccessinthefuture.Forthisreason,initiativeshavebeenimplementedtoattractandretaintalent,increasemotivationanddevelopasenseofbelonging.

3.5 Keeping people healthy and safe Thehealth,safetyandwellbeingofemployees,contractorsandvisitorstoFCCEnvironment’sfacilitiesremainattheforefrontofthecompany’sprioritiesandvalues.In2012,akeyfocusareaforthebusinesswastoimprovehealthandsafetyaswellasreducethenumberofaccidentsandinjuries.

Themainsafetykeyperformanceindicator(KPI)forFCCEnvironmentistheReportableIncidenceRate(RIR)per100,000employeesinaccordancewiththeReportingofInjuries,DiseasesandDangerousOccurrencesRegulations(RIDDOR).Thisincludesbothmajorincidentsandincidentsleadingtooverthreedaysabsencefromwork;acommonKPIinthewasteindustry.

During2012,FCCEnvironmentachieveda26.5%reductioninitsRIR(876versus1,192in2011).However,FCCEnvironmentissaddenedtoreportthattwofatalitiesoccurredatoperationalsitesin2012andthedeepestsympathyofeveryonewithinthebusinessisextendedtotherelativesandfriendsofthosewholosttheirlives.BothincidentshavebeeninvestigatedinternallyandexternallybytheHealthandSafetyExecutive(HSE).Actionplanshavebeenimplementedtopreventfurtherincidents.

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2012 target

*RIDDORreportableaccidentsareaccidentswhicharereportabletotheHSE

2011 actual

2,500

1,800

1,600

1,400

1,200

1,000

800

600

400

200

0Jan Feb Mar Apr May Jun July Aug Sept Oct Nov Dec

2011 target2012 actual

company riDDor incidence rate 2012*

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4 DOINGTHERIGHTTHING

4.1 regulatory compliance Akeyobjectiveforthecompanyin2012wastoimprovethelevelofcompliancewithintheregulatedcommunity.FCCEnvironmentmeasuresthislevelofcompliancebyrecordingthenumberofbreachesofEnvironmentAgency(EA)permits.

Initsplan,agreedwiththeEA,thebusinessisworkingtoreducepermitbreachesto1,119incidentsacrossthebusinessby2016.FCCEnvironmentiswellontracktomeetthistarget.

TheEAcategorisesandscoresnon-compliancesinlinewithitsComplianceClassificationScheme(CCS)basedonthepotentialriskposed.BasedonthetotalscorefortheyeareachsiteisbandedfromAtoF,withEandFconsideredpoorlyperforming.

2012 was a successful year for Fcc environment’s ccs scores with the following improvements on 2011’s figures:• 33%reductioninthenumberofbandD,E,F

(poorlyperforming)sites

• 25%reductioninthenumberofCCSscores

• Over25%reductioninthenumberofpermitbreachesfrom1,721to1,287acrossallofitsfacilities

• leachatecompliancetowardstheendof2012reachedahigherlevelthanatanytimeinthecompany’shistory.

32

28

24

20

16

12

8

4

0

2500

200

1500

1000

500

0

Jan Feb Mar Apr May Jun July Aug Sept Oct Nov Dec

Group ccs scores

CC

SC

um

ula

tiv

e

>Ba

nd

Cs

ites

ytd total > band c sites 2011 > band c sites ytd ccs scores 2011 ccs scores with 10% imp

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OneofthekeyenvironmentalaspectsofFCCEnvironment’sactivitiesislandfillgasemissions.TheKPIforlandfillgasemissionsismeasuredasaproportionofthegasmigrationmonitoringpointssampledthatarecompliantandwithingivenlimitswhichindicatestheeffectivenessofcontrolmeasures.TheKPIissetateverylandfillsiteandreportedonamonthlybasis,bothindividuallyandinaggregate.

In2012,theaverageKPIcomplianceforlandfillgasmigrationwas90.8%.

FCCEnvironmentworkswithitspartnersandstakeholderstomaximisetheperformanceofgasextractionsystemswhichformthekeycontrolmeasure.Anothercontrolmeasureinreducinglandfillgasemissionsisthecappingoflandfillsites.In2012,FCCEnvironmentexceededtheentirecappingtargetofafiveyearmanagedprogrammeinthefirstyear.ThiswasagreedwiththeEAin2011aspartofa£207millioninvestmentprogramme.

Inadditiontolandfillgasmigration,leachatelevelsformanotherkeyareawhereimprovementincomplianceisbeingtargeted

toreducethenumberofreportedbreaches.AKPIforleachatelevelsissetateverylandfillsiteandreportedonamonthlybasis,bothindividuallyandacrosstheentirebusiness.leachatecompliancetowardstheendof2012reachedahigherlevelthanatanytimeinthecompany’shistory.

AnotherkeyfocusforFCCEnvironmentin2012wastoreducethefrequencyandlevelofillegalactivity.

OneformalcautionandtwoenforcementnoticeswereissuedbytheEAin2012incomparisontooneformalcautionandsixenforcementnoticesin2011.Foranotheryear,therewerenohealthandsafetyprosecutionsin2012.

However,twoenforcementnoticeswereissuedbytheHealthandSafetyExecutive(HSE),(comparedtoonein2011).Additionally,WRGWasteServiceslimited(partofFCCEnvironment(uK)limited)wasprosecutedon10April2012forallowingdetectableodourstoescapefromtheboundaryofalandfillsitebetween7November2010and16February2011.

statutary notices are identified within the table below:

Finesarepaidincalendaryear,butmayrelatetooffencesinpreviousyears.NB:doesnotincludeanyawardofcosts.

Key performance indicators – regulatory performance 2012 2011 2010 2009 2008 2007 2006

Numberofenforcementnotices(EA/SEPA) 2 6 1 2 7 5 6

Numberofprosecutions(EA/SEPA) 1 1 0 1 2 1 0

Numberofenforcementnotices(HSE) 2 1 0 0 0 1 0

Numberofprosecutions(HSE) 0 0 0 0 0 0 0

prosecutions 2012 2011 2010 2009 2008 2007

Finesforoffences £10,500 £20,000 Nil £8,000 £17,700 £2,500

4.2 externally registered management systems

environmental management systemMitigatingthecompany’simpactonclimatechangeisakeyfocusareaforFCCEnvironmentsoitsperformanceinrelationtopotentialimpactsiscontinuallymonitored.

BSI(BritishStandardsInstitution),SGS(SociétéGénéraledeSurveillance),NQA(NationalQualityAssurance)andBMTRADA(BusinessManagementTimberResearchandDevelopmentAssociation)continuedtoauditFCCEnvironment,WRG,Focsa,DarringtonQuarriesandAllingtonEfWrespectivelyagainsttheISO14001EnvironmentalManagementSystems(EMS)standardin2012.

NofurthersiteswereaddedtothescopeofregistrationforourEMSin2012.

the proportion of operational activities certified to iso 14001 during 2012 is 84% including the following contracts which were added during 2012 and have not yet been certified to iso 14001:

• 10sitesinBuckinghamshire• 2sitesinSouthWales• 14sitesinHertfordshire.Allthesiteswhichwerenotincludedinthe

2012roundofexternalauditshavebeenaddedtothe2013schedule.

internal auditingTheGroupoperatesanIntegratedManagementSystem(IMS)certifiedtoISO9001(qualitymanagement),ISO14001andBSOHSAS18001(healthandsafetymanagement)standards.

128locationswereauditedagainstFCCEnvironment’sIMSstandardand97%ofplannedauditswerecarriedoutin2012.

TheIMSauditsof2012arepartofanon-goingprojectfrom2011toauditalloperationalactivitieswithinFCCEnvironment.Intotal,165operationalactivitieswereauditedin2011and2012.ThefindingsoftheseauditswillbeusedtoprioritiseinternalIMSauditingin2013.

Anynon-conformancesraisedduringinternalauditingarehostedwithinaproprietarydatabasefortracking,closureandreporting.Theprogressinclosureofnon-conformancesisreportedtoseniormanagementonaregularbasis.Improvementsinrecordingnon-conformancesaswellastheirincreasedvisibilityhaveresultedincorrectiveactionsbeingimplementedmorequicklyandtoahigherstandard.

*WasteRecyclingGroupltd(WRG),anFCCEnvironmentcompany,achievedtheCarbonTrustStandardin2010butthisonlycoveredWRGanditssubsidiaries.ThescopeofthestandardwasextendedtoallofFCCEnvironmentin2012.

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standard 2012 2011 2010 2009

NumberofsiteswithanIMScertification

ISO9001ISO14001BSOHSAS18001

2717019

2717026

2717026

241707

NumberofsiteswithRecyclingRegistrationScheme(RRS)accreditation

2011Smallmeadandluton2012Smallmeadonly 1 2 0 0

Company-wideaccreditations

ContractorsHealthandSafetyAssessmentScheme(CHAS)SafeContractorCarbonTrustStandard

1

11

1

10*

1

10*

1

10

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4.3 policy statementsthe major csr policy statements which underpin Fcc environment’s activities include:• HealthandSafetyPolicy• EnvironmentalPolicy• QualityPolicy• CarbonandSustainabilityPolicy• CustomerCarePolicy.

FCCEnvironmentpoliciesareapprovedbytheGroupBoardofDirectorsandareavailableonthewebsite:www.fccenvironment.co.uk

4.4 community and society FCCEnvironmentdistributestaxcreditsfromitslandfilloperationstoWasteRecyclingEnvironmentalltd(WREN),a‘notforprofit’businessthatawardsgrantsforenvironmental,heritageandcommunityprojects.ThisisenabledbythelandfillCommunitiesFundwhichaimstooffsetsomeoftheimpactsoflivingwithin10milesofalandfillsite.

In2012,WRENcommitted£14,677,863offundingto396projectsintotal,contributingtoprojectsworthmorethan£29.5million.

4.4.1 community Wren’s funding in 2012 supported a broad range of projects that will benefit many communities:• 129villagehallsandcommunitycentresare

betterequipped,easiertoaccessormoreefficientthankstomorethan£3.5millionoffunding

• 81playareashavebeenbuiltorrefurbishedwithover£3.1millionoffunding

• 63sportsandrecreationclubs,multi-usegameareas(MuGAs)andskateparkshavebeenboostedbymorethan£2.5milliontohelpkeepcommunitiesfit

• 55parks,naturereservesandopenspaceshavebeenimprovedforvisitorswithover£1.6millionoffunding

• 41churcheshavebeenabletocreatecommunityroomsandspacesthankstomorethan£1.3millionoffunds.

Wren community Funding by project type 2012

CommunityCentresandvillageHalls(£3,554,724)29% ChurchCommunitySpaces(£1,381,609)11%PlayAreas(£3,139,946)25%ParksandOpenSpaces(£894,484)7%CountryParksandNatureReserves(£722,120)6%SkateParks,MuGAsandRecreationGrounds(£1,807,012)15%SportsPavilionsandClubs(£757,301)6%Others(£173,154)1%

projects total (£ million)

CommunityFundingProgramme 373 12.43

BiodiversityActionFund 10 1.66

HeritageFund 13 0.59

case stUDyadrenaline alley

AdrenalineAlleyisanurbansportscentreinCorby,Northamptonshire,whichisrunbyyoungpeopleforyoungpeopleinthearea.

Theindoorskateandbikeparkprovidessafe,secureandsupervisedfacilitiestohelpimprovethelivesofyoungpeoplebyencouraginganactivelifestyleinafunenvironment.

SituatedinanoldchickenfactorytwomilesawayfromFCCEnvironment’slandfillsiteatWeldon,WRENhassupportedAdrenalineAlleysinceitfirstopeneditsdoorsin2006.

Initiallyaskedforfundingtoinstallnewramps,WRENhassinceprovidedmorefundsforfurtherimprovementstothecentreincludingrampsandfoampitsforanewtrainingarea,anewscooteronlyparkareaandanupgradeofthecaféandbistroarea.Theseimprovementshavebeensuccessfulinensuringthesustainabilityofthecentreaswellasincreasingthenumberoflocalyoungpeoplewhousethecentre.

AdrenalineAlleyissopopularthatithasawaitinglistforsessions.Forthisreason,WRENwasapproachedin2012forfurtherfundingtobuildacompetitionandtrainingcoursewhichcandoubleupasaneventarenainasecondbuildingonsite.Thenewareawillbeusedtoprovidemoretrainingsessionsandwetweatherfacilitiesaswellasallowingthecentretohostfestivalsandcompetitionsallyearround.

Todate,WRENhasprovidedmorethan£172,000offundingforprojectstohelpthecentredevelopandexpand.AdrenalineAlleyisnowacknowledgedasoneofthebesturbansportscentresinEurope.

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4.4.2 biodiversityWren’s biodiversity action Fund (baF) will improve nearly 3,300 hectares of land to help safeguard some of the UK’s most precious habitats:

HeritageWREN’sHeritageFundcontinuestosupportGradeIandGradeII*listedbuildingsandin2012alone,itprovidedfundsfortherestorationworksofeightchurchesandfivelistedbuildings.

FormoreinformationaboutprojectsWRENhassupportedorhowtoapplyforthelandfillCommunitiesFund,pleasevisittheWRENwebsite:www.wren.org.uk

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biodiversity action Fund - priority Habitats Funded 2012

OpenMosaicHabitat1300 ha WetWoodland390 halowlandFen110 haCoastalFloodplainGrazingMarsh367 halowlandHeath419 halowlandMeadow281 haReedbed310 halowlandDeciduousWoodland115 ha

5 FORWARDTHINKING

Withtheeverincreasingglobaldemandformaterials,theinnovativemanagementofwasteformaterialsrecoveryandrecyclingoffersauniqueopportunityforFCCEnvironmenttoimprovetheenvironmentalperformanceofitscustomers.Thebusinessismovingtowardsamodelwheresecondarymaterialsaresuppliedratherthanjusttreatingwaste.Thisrequiresafocusonthedevelopmentofnewfacilitiesandservices.

5.1 Developing the circular economy Aspartofaglobalbusiness,FCCEnvironmentfullyrecognisesthattheworldisstrivingforasolutiontotheissueofincreasingdemandforfiniteresourcesandtheneedtotakeactiontomitigateclimatechange.Dwindlingnaturalresourcesandincreasingenergydemandsaredrivingchangefromalinearmodelofcreate–use–disposetoacircularclosed-loopwiththeobjectiveofachievingzerowaste.

Therefore,FCCEnvironmentisleadingthemovetowardsacirculareconomyforthewastemanagementsectorbyrecoveringwastematerialsforfuelandrecyclingmaterialssuchasplastic,paper,glassandmetals.

Asoneofthemarketleadersinrecyclingandrecoveringmunicipalandcommercialwaste,FCCEnvironmentreturnsthousandsoftonnesofvaluableresourcestothesupplychaineveryyeartooffsetthedemandforrawmaterialsandreducetheenvironmentalimpactofsociety.Thebusinessisalsocreatingfuelfromwastewhichcannotberecycledtogenerateelectricityandheatinitsenergyfromwaste(EfW)facilitiesinsteadofusingcarbon-basedfuels.

TheworkFCCEnvironment’sdevelopmentteamwillcontinueduring2013,underpinnedbythecompany’slong-termcommitmenttodevelopasustainablefuture.FCCEnvironmentlooksforwardtodeliveringthebenefitsformanyyearstocomeforthebusiness,customersandthecommunitiesweserve.

5.2 environmental commitmentFCCEnvironmentwillcontinuetodevelopitsintegratedmanagementsystemtomaintainitsISO14001andISO9001accreditationsforenvironmentalmanagementandqualitymanagementaswellasmaximisingtheenvironmentalandsustainableperformanceofthebusiness.

Thecompanywillfurtherdevelopandimplementmeasuresandprojectstoreduceitscarbonfootprintbyatleast2%peryear.Thisapproachunderpinsthecompany’scommitmenttoreduceitsenvironmentalimpact.

5.3 sustainable developmentFCCEnvironmentremainscommittedtothelong-termprotectionoftheenvironmentbydevelopingandresearchingnewsustainablebusinessandoperatingmodelsandpractices.

ThecompanyispartofFCCGroup;oneofEurope’smostadvancedenvironmentalservicescompaniesintheuseanddevelopmentofsustainabletechnologies.FCCGroupalreadyproducesgreenandsustainableenergyforcustomersanditsownbusinessneeds.

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Through2012thefocuswillbetoretaincertificationstandards.

FCCEnvironmentremainscommittedtothelong-termprotectionoftheenvironment.

Corporate Social Responsibility Report FCC Environment CSR

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