18th Jun 2007 07:00
BHP Billiton PLC18 June 2007 18 June 2007 Number 17/07 BHP BILLITON LAUNCHES REVISED CLIMATE CHANGE POLICY BHP Billiton today outlined its new four-pronged approach to climate change. In its revised Climate Change Policy, BHP Billiton said it believed acceleratedaction was required to stabilise greenhouse gas concentrations in the atmosphereat levels guided by the research of the Intergovernmental Panel on ClimateChange. The policy states that BHP Billiton "will take action within our ownbusinesses and work with governments, industry and other stakeholders to addressthis global challenge and find lasting solutions consistent with our goal ofzero harm". The four action areas identified in the policy are: • Understanding emissions from the full life-cycle of our products. • Improving the management of energy and greenhouse gas emissions across our businesses. • Committing US$300 million over the next five years to support low emissions technology development, internal energy excellence projects and encourage emissions abatement by our employees and our local communities. • Using our technical capacity and our experience to assist governments and other stakeholders on the design of effective and equitable climate change policies including market-based mechanisms such as emissions trading. Chief Executive Officer, Chip Goodyear, said BHP Billiton acknowledged that therisks of climate change associated with increasing greenhouse gas concentrationsin the atmosphere must be addressed. "BHP Billiton has recognised that our company, as well as society generally,must make real behavioural changes and accelerate technological progress if weare to achieve a meaningful reduction in energy use and greenhouse gasemissions. "Our policy is about trying to play our part as best we can and encouragingthose we work with to do the same," he said. The policy includes new targets to reduce the energy and greenhouse intensity ofour products by a further 13 per cent and 6 per cent respectively by 2012. Itbuilds on our previous achievements, which include a 12 per cent improvement inour greenhouse intensity over the period 1996 - 2000. "We are on track to exceed our current target of a further 5 per centimprovement by the end of this financial year. We have also contributedsignificantly to research and development in clean coal technologies, includinggeosequestration, and have implemented several related programs across thebusiness," Mr Goodyear said. "As a leader in the natural resources industry we have an important role inmeeting the world's growing energy and resources needs. At the same time, wehave an equally important role in minimising the impact of our activities on theglobal environment and supporting our customers' efforts to do the same", hesaid. BHP Billiton's Climate Change policy is attached. Further information on BHP Billiton can be found on our Internet site:www.bhpbilliton.com Australia United KingdomSamantha Evans, Media Relations Mark Lidiard, Investor & Media RelationsTel: +61 3 9609 2898 Mobile: +61 400 693 915 Tel: +44 20 7802 4156 Mobile: +44 7769 934 942email: [email protected] email: [email protected] Jane Belcher, Investor Relations Illtud Harri, Media RelationsTel: +61 3 9609 3952 Mobile: +61 417 031 653 Tel: +44 20 7802 4195 Mobile: +44 7920 237 246email: [email protected] email: [email protected] United States South AfricaTracey Whitehead, Investor & Media Relations Alison Gilbert, Investor RelationsTel: US +1 713 599 6100 or UK +44 20 7802 4031 Tel: SA +27 11 376 2121 or UK +44 20 7802 4183Mobile: +44 7917 648 093 Mobile: +44 7769 936 227email: [email protected] email: [email protected] BHP Billiton Limited ABN 49 004 028 077 BHP Billiton Plc Registration number 3196209Registered in Australia Registered in England and WalesRegistered Office: Level 27, 180 Lonsdale Street Melbourne Registered Office: Neathouse Place London SW1V 1BHVictoria 3000 United KingdomTelephone +61 1300 554 757 Facsimile +61 3 9609 3015 Telephone +44 20 7802 4000 Facsimile +44 20 7802 4111 The BHP Billiton Group is headquartered in Australia BHP BILLITON CLIMATE CHANGE POLICY OVERVIEW BHP Billiton believes that the risks of climate change associated withincreasing greenhouse gas concentrations in the atmosphere need to be addressedthrough accelerated action. The actions should aim to stabilise concentrationsat levels guided by the research of the United Nations Intergovernmental Panelon Climate Change. Behavioural change, innovation and technological progressare necessary to achieve stabilisation in a manner consistent with meetingnatural resource and energy needs. Building on our earlier efforts, we willtake action within our own businesses and work with governments, industry andother stakeholders to address this global challenge and find lasting solutionsconsistent with our goal of Zero Harm. Our actions focus on four areas: 1. Understanding emissions from the full life-cycle of our products. 2. Improving the management of energy and greenhouse gas emissions across our businesses. 3. Committing US$300 million over the next five years to support low emissions technology development, internal energy excellence projects and encourage emissions abatement by our employees and our local communities. 4. Using our technical capacity and our experience to assist governments and other stakeholders on the design of effective and equitable climate change policies including market-based mechanisms such as emissions trading. BHP BILLITON'S ACTION PLAN 1. Increase understanding of life cycle emissions of our products It is essential that we understand the sources, scope and extent of greenhousegas emissions associated with our activities: O We will continue transparent public reporting of our emission profile, including our emissions from production activities, the use of our fossil fuel products by our customers, and the actions we undertake to manage and mitigate emissions. O We will work with experts to improve our understanding of the full life cycle of our products and strategies for effectively reducing greenhouse gas emissions from their production and use. 2. Improve management of energy and greenhouse gas emissions fromproduction Some of our businesses are among the most energy efficient in the world. Webuild on this leading practice within the Group, using external standards ofexcellence, to continually improve energy and greenhouse gas management at oursites. Emissions abatement and energy saving considerations are built into ourdecision-making processes, through: O Business excellence - Our business excellence systems promote and share leading practice and innovation in energy and operational efficiency to deliver savings in emissions and costs. O Group targets - We have set energy and greenhouse gas emissions intensity reduction targets of 13 and 6 per cent respectively for the Group over the period 2006-2012. O Site based plans and targets - Every site is required to have a greenhouse gas and energy management plan, including targets that are incorporated into their business plans with associated monitoring and reporting. O Carbon pricing - We require carbon pricing sensitivity analysis to be undertaken in capital decisions on assets of US$100 million or more or those that emit greater than 100,000 tonnes of CO2 equivalent per annum. O Market trading - We trade emissions reduction instruments as a means of managing our emissions exposure and assisting our customers to manage their emission exposures. O Project-based emissions reductions - We will continue to pursue external projects and other opportunities that deliver tangible reductions in greenhouse gas emissions and generate credits. 3. Working collaboratively with customers, communities and employees to reduceemissions and support internal emissions reduction projects, we will commitUS$300 million over the period 2008-12 to: O Support industry research, development and demonstration of low emissions technologies including collaborative research dedicated to accelerating the commercial uptake of technologies such as carbon capture and geosequestration. O Provide capital funding for internal energy projects with a greenhouse gas emissions reduction component that might not otherwise be competitive within our normal capital allocation processes. O Support the efforts of our employees and our local communities to reduce their emissions. 4. Progressing climate change policy within our sphere of influence Policy makers have a particularly important role in encouraging actions by allstakeholders and ensuring a fair distribution of the costs of emissionsreduction. BHP Billiton is working with governments and other stakeholders onthe development of policies that provide the necessary incentives and tools foreffective, equitable abatement, including: O Policies aimed at accelerating the cost effective reduction of emissions. O Support for market-based mechanisms, provided that the measures are efficient, broad-based (geographically and cross-industry sectors) and are progressively introduced. Chip GoodyearChief Executive Officer June 2007 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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