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This excerpt taken from the ICI 20-F filed Apr 1, 2005. Regulation, safety, health and the environment
ICIs businesses are subject to the normal regulatory framework applicable to a specialty products and paints company, notably various health, safety and environmental rules both at national and local levels in each of the jurisdictions in which it operates. The scope and severity of such laws vary across the different businesses and according to the jurisdiction concerned. The various manufacturing processes that are operated require consents and licences including relevant emission permits. The Group requires full compliance by its businesses with all relevant Safety, Health and Environment (SHE) laws and regulations in each jurisdiction in which it operates. Its businesses also voluntarily conform to international and national codes of best practice appropriate to their business. ICI attaches great importance to safety and health, to reducing any adverse environmental impact of its activities, year-on-year and to developing products and services with improved environmental features. ICIs policy is to improve its SHE performance continuously and to have in place quantitative measures to monitor progress. For these reasons, since 1991 ICI has published 5-year improvement targets for SHE. The current set, Challenge 2005, was published in 2001 to be achieved by the end of the year 2005. Challenge 2005 focuses on the effects of the Groups activities on climate change, air, land, water, and other potential impacts. Targets include reducing environmental burden in specific categories, a commitment to improve energy efficiency per tonne of production by a further 5% of the 2000 base level, and on further reducing,
ICI ANNUAL REPORT AND ACCOUNTS 2004
by 50%, employee and contractor injuries and illnesses from the 2000 outturn. ICI developed the measurement of environmental burden in 1995 in order to take account not just of the quantity of an emission but its potential impact on the environment. It uses the environmental burden methodology to help prioritise actions for further performance improvement. ICI maintains its focus on SHE and, in the fourth year of Challenge 2005, is on plan to meet the majority of its objectives and has actions in place to address those areas that are behind target. Full details are published in the Sustainability Report and on our website, www.ici.com. ICIs performance in 2004 is currently being verified by Enviros Consulting Ltd, and the detailed performance results and verification statement will be published on the website. During 2004, there were eleven instances of breaches of safety, health, environmental or product regulations which resulted in prosecutions or fines totalling £40,000. Each was investigated and appropriate action taken. The main process by which the Group manages SHE issues and seeks to meet its objectives is the Responsible Care Management System (RCMS). This sets out standards along with guidelines, training, auditing and procedures for reviewing and reporting performance, all of which are essential to continuous improvement. The system covers operations on site as well as security, product stewardship and community relations. RCMS has been independently verified by Lloyds Register Quality Assurance Limited as complying with the US and UK Responsible Care Codes, the certifiable international standards for environmental and Occupational Health and Safety management systems, ISO 14001 and OHSAS18001, and the ICC (International Chamber of Commerce) Business Charter for Sustainable Development. ICI works to manage and minimise the risks associated with the condition of the soil and groundwater on its sites and has developed further procedures to enable the ranking of priorities for management attention. ICI is engaged in research aimed at developing and implementing more cost effective environmental remediation technologies, some of which is being done in collaboration with other companies and academic institutes. The raw materials which the Groups businesses use and the products that they produce are subject to demanding regulations concerning product safety in all parts of the world. These regulations, which also cover product testing and risk assessment requirements, are subject to review and revision, as is currently happening in Europe with the proposed REACH (Registration, Evaluation and Authorisation of Chemicals) regulations. The Group is assessing the potential impact of these proposals on its businesses and will ensure compliance when the new European Union regulations come into force. There is a growing pressure from legislators, customers and the general public to reduce the environmental and health impacts of products throughout their life cycle. ICI is responding to this by ensuring that each business has a Product Stewardship programme in place. This voluntary programme embraces, through best business practices, product regulatory requirements, societal pressures, reducing the risk of harm to people and the environment, and ICI aims to provide the relevant information to enable correct use and disposal of products. Anticipating external pressures and concerns and providing speedy, innovative solutions with lower environmental and societal impact is becoming a key aspect of sustaining competitive advantage. ICI recognises these pressures and is responding with the introduction of new processes, products and services that improve the efficiency of use of raw materials and utilities and reduce adverse effects. Processes are in place for regular reviews of environmental liabilities, and provisions were established by 31 December 2004 in accordance with the accounting policy described in the Group financial statements on page 59. Although there can be no guarantees, management believes that, within the existing legislative framework and taking account of the provisions already established, the cost of addressing currently identified environmental obligations (as ICI currently views these obligations) is unlikely to have a material adverse effect on its financial position or results of operations.
This excerpt taken from the ICI 6-K filed Mar 16, 2005. Regulation, safety, health and the environment
ICIs businesses are subject to the normal regulatory framework applicable to a specialty products and paints company, notably various health, safety and environmental rules both at national and local levels in each of the jurisdictions in which it operates. The scope and severity of such laws vary across the different businesses and according to the jurisdiction concerned. The various manufacturing processes that are operated require consents and licences including relevant emission permits. The Group requires full compliance by its businesses with all relevant Safety, Health and Environment (SHE) laws and regulations in each jurisdiction in which it operates. Its businesses also voluntarily conform to international and national codes of best practice appropriate to their business. ICI attaches great importance to safety and health, to reducing any adverse environmental impact of its activities, year-on-year and to developing products and services with improved environmental features. ICIs policy is to improve its SHE performance continuously and to have in place quantitative measures to monitor progress. For these reasons, since 1991 ICI has published 5-year improvement targets for SHE. The current set, Challenge 2005, was published in 2001 to be achieved by the end of the year 2005. Challenge 2005 focuses on the effects of the Groups activities on climate change, air, land, water, and other potential impacts. Targets include reducing environmental burden in specific categories, a commitment to improve energy efficiency per tonne of production by a further 5% of the 2000 base level, and on further reducing,
ICI ANNUAL REPORT AND ACCOUNTS 2004
by 50%, employee and contractor injuries and illnesses from the 2000 outturn. ICI developed the measurement of environmental burden in 1995 in order to take account not just of the quantity of an emission but its potential impact on the environment. It uses the environmental burden methodology to help prioritise actions for further performance improvement. ICI maintains its focus on SHE and, in the fourth year of Challenge 2005, is on plan to meet the majority of its objectives and has actions in place to address those areas that are behind target. Full details are published in the Sustainability Report and on our website, www.ici.com. ICIs performance in 2004 is currently being verified by Enviros Consulting Ltd, and the detailed performance results and verification statement will be published on the website. During 2004, there were eleven instances of breaches of safety, health, environmental or product regulations which resulted in prosecutions or fines totalling £40,000. Each was investigated and appropriate action taken. The main process by which the Group manages SHE issues and seeks to meet its objectives is the Responsible Care Management System (RCMS). This sets out standards along with guidelines, training, auditing and procedures for reviewing and reporting performance, all of which are essential to continuous improvement. The system covers operations on site as well as security, product stewardship and community relations. RCMS has been independently verified by Lloyds Register Quality Assurance Limited as complying with the US and UK Responsible Care Codes, the certifiable international standards for environmental and Occupational Health and Safety management systems, ISO 14001 and OHSAS18001, and the ICC (International Chamber of Commerce) Business Charter for Sustainable Development. ICI works to manage and minimise the risks associated with the condition of the soil and groundwater on its sites and has developed further procedures to enable the ranking of priorities for management attention. ICI is engaged in research aimed at developing and implementing more cost effective environmental remediation technologies, some of which is being done in collaboration with other companies and academic institutes. The raw materials which the Groups businesses use and the products that they produce are subject to demanding regulations concerning product safety in all parts of the world. These regulations, which also cover product testing and risk assessment requirements, are subject to review and revision, as is currently happening in Europe with the proposed REACH (Registration, Evaluation and Authorisation of Chemicals) regulations. The Group is assessing the potential impact of these proposals on its businesses and will ensure compliance when the new European Union regulations come into force. There is a growing pressure from legislators, customers and the general public to reduce the environmental and health impacts of products throughout their life cycle. ICI is responding to this by ensuring that each business has a Product Stewardship programme in place. This voluntary programme embraces, through best business practices, product regulatory requirements, societal pressures, reducing the risk of harm to people and the environment, and ICI aims to provide the relevant information to enable correct use and disposal of products. Anticipating external pressures and concerns and providing speedy, innovative solutions with lower environmental and societal impact is becoming a key aspect of sustaining competitive advantage. ICI recognises these pressures and is responding with the introduction of new processes, products and services that improve the efficiency of use of raw materials and utilities and reduce adverse effects. Processes are in place for regular reviews of environmental liabilities, and provisions were established by 31 December 2004 in accordance with the accounting policy described in the Group financial statements on page 59. Although there can be no guarantees, management believes that, within the existing legislative framework and taking account of the provisions already established, the cost of addressing currently identified environmental obligations (as ICI currently views these obligations) is unlikely to have a material adverse effect on its financial position or results of operations.
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