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Chemicals, Energy & Fertilisers

Wesfarmers Chemicals, Energy & Fertilisers (WesCEF) operates chemicals, energy and fertiliser businesses that service Australian and overseas markets.

We have operations around Australia across 30 locations and employ nearly 1,300 people nationally. Our revenue this year was $1.8 billion. We also have a 50 per cent interest in an ammonium nitrate facility in Queensland (QNP), but we do not operate that business and it is not included in this report.

Material issues

  • Safety
  • Meeting customer needs
  • Community support
  • Operating responsibly
  • Environmental stewardship

Continual improvement in operating our businesses safely

WesCEF’s safety identity - Safe Person, Safe Process, Safe Place - continues to support safety leadership, grow our safety culture and improve our risk awareness to choose safer behaviours.

This year, our total recordable injury frequency rate (TRIFR) reduced by 47 per cent from the previous year to 5.1. This follows a 27 per cent reduction in TRIFR achieved in the previous year. Our lost time injury frequency rate reduced by 48 per cent to 1.6 after a 39 per cent reduction last year.

The safe operation of our facilities remains a priority with a range of process safety awareness initiatives rolled out this year, including the establishment of process safety leaders across the business, the introduction of additional process safety key performance indicators, and the completion of several complex risk assessments.

Ensuring the safe use of our products is also extremely important. For this reason, product information is available on our businesses’ websites.  

This year, we fitted GPS tracking devices to our CSBP Fertilisers Area Managers’ cars to help understand their activity and reduce their risk. Read more about this initiative here.

Safety performance

5.1

total recordable injury frequency rate
2015   5.1
2014   9.51
2013   13.0
2012   17.11
2011   15.81
1Last year's TRIFR has been restated due to maturation of data

 

 

Investing in training and technology to meet the needs of our farming customers

CSBP has a long and proud history of partnering with the Western Australian agricultural sector to support the growth, development and long-term sustainability of the state’s farming community.

We recognise that our success is intrinsically linked to the success of our customers. As such, our focus remains on the delivery of innovative solutions, services, great customer service and locally developed fertiliser products that are formulated for Western Australian conditions based on ongoing field research. We continue to invest in training to ensure the delivery of high quality advice to our customers, as well as the latest technology to drive efficient fertiliser use.

 

During the year, CSBP Fertilisers launched its Sampling Pro app. Farmers and soil sampling contractors can download the online tool from Apple’s App Store. It has the ability to send soil and plant sample information electronically to our Bibra Lake laboratory, record global positioning system coordinates of the sample site and match sample bags with the information collected using a built-in barcode scanner. The app aims to streamline and enhance business processes for our customers; providing efficiencies in reducing the time spent filling out manual forms and minimising the risk of errors. Click here for further information about the app.

 

Supporting the communities in which we operate

During the year, we provided support to a range of community organisations to the value of $431,469. This support included sponsorships of the Clontarf Foundation, the Salvation Army and the WACA Regional Junior Cricket Program. We also supported our employees in their participation in the Chevron City to Surf for Activ, the Telethon Freeway Bike Hike for Asthma, Movember in support of men’s health, and Wear Purple to Work Day to raise funds for Breast Cancer Care WA.

WesCEF is also pleased to support the communities in which we operate through training and development opportunities at our Kwinana-based facilities, provided through the Kwinana Industries Council Education Development Program and SMYL, a registered training organisation.

 

Community contributions

465,109

$
Direct
2015   431,469
2014   499,692
2013   510,000
2012   490,000
2011   290,000
Indirect
2015   33,640
2014   29,642
2013   30,000
2012   0
2011   0

Meeting our regulatory requirements

WesCEF continued its focus on regulatory compliance throughout the year, building on its already strong internal reporting culture. During the year, there were 27 occasions where environmental licence conditions were either exceeded or environmental regulatory requirements not fully met. None of these recorded events resulted in any material environmental harm, injury, prosecution or fine. See here for additional detail on these events.

Delivering sodium cyanide responsibly across borders

Australian Gold Reagents (AGR), the management company of CSBP’s sodium cyanide manufacturing joint venture with Coogee Chemicals, has been exporting sodium cyanide internationally since 2002.

Sodium cyanide deliveries, particularly into new international markets, require months of planning, including conducting initial transport route surveys to identify hazards and ensure adequate controls are in place to mitigate risk; hosting driver and safety team training, including emergency response exercises; and preparing tailored, comprehensive transport management plans and emergency response guides.

As a result of this planning, and AGR’s commitment to safety, the first shipment of products into a new market, Guyana has been successful and led to ongoing supply.

Continue to reduce greenhouse gas emissions and improve energy efficiency

WesCEF continued to reduce its greenhouse gas emissions this year, which included a full year operating our third nitric acid plant. Nitrous oxide abatement technology installed in CSBP’s nitric acid plants at Kwinana delivered an average 94 per cent total nitrous oxide abatement during the year (a two per cent improvement on last year), equivalent to 1,110,069 tonnes of greenhouse gas.

As a result, WesCEF’s scope one and two greenhouse gas emissions this year were estimated at 760,690 tonnes of CO2e. In addition, scope three emissions associated with our electricity, natural gas, liquid fuels and waste were estimated to be 85,133 tonnes CO2e. The total was 845,823 tonnes CO2e compared with 921,919 tonnes CO2e last year.

WesCEF’s long-term commitment to energy efficiency projects has grown to encompass monitoring of plant performance against newly created internal targets and broader idea generation and capture. The program has expanded to include utilities to encourage the sustainable use of energy and water.

Water saving initiatives at CSBP Kwinana have included optimisation of water usage on existing cooling towers across the multi-production plant site to avoid purchase of additional water being required for new facilities, including the Ammonium Nitrate Expansion Project, as well as ongoing investigations into projects to reuse water at the site.

Greenhouse gas emissions

761

tonnes CO2e: '000
2015   761
2014   826
2013   874
2012   1,494
2011   1,876

Energy use

14.1

petajoules
2015   14.1
2014   14.9
2013   14.8
2012   14.7
2011   18.3

2015-16 priorities

Building on last year, this year’s sustainability actions and targets are:

  • Make the year-on-year improvements in safety performance achieved in recent years sustainable using the Safe Person, Safe Process, Safe Place philosophy;
  • Grow the number of women in leadership roles, and the number of Indigenous employees;
  • Develop Supplier Relationship Management frameworks and apply to major goods and services contracts;
  • Increase the focus on sustainable supply processes overall;
  • Continue to invest in communities in areas relevant to our operations and commercial activities;
  • Maintain relationships with key regulators and industry associations to facilitate input into legislation guidelines and industry best practice;
  • Support water security issues associated with climate change and implement actions identified in business Water Efficiency Management Plans;
  • Ensure capability of senior leadership to manage governance risk by training in competition and consumer law, anti-bribery, health, safety and environment legislation and continuous disclosure; and
  • Build positive stakeholder perception through targeted and quality stakeholder engagement, timely information, open dialogue and good corporate citizenship.

GRI Reference: G4-DMA, G4-12, G4-EN33