26 27 SUSTAINABLE DEVELOPMENT REPORT 2017 Disclosure Management approach Relevance and boundaries of the Material Issue The major environmental challenges that MYTILINEOS is facing in pursuing its business activity are the following: (1) the rational management of the reserves of mineral and natural resources, (2) energy consumption and control of emissions, (3) the management of waste, with emphasis on the utilisation of bauxite residues, (4) the control of air quality, and (5) the restoration of the natural landscape in exploitable land areas affected by the bauxite mining process and the development of RES plants. Additionally, climate change is one of the major challenges globally. MYTILINEOS acknowledges the importance of carbon dioxide (CO2) emissions and energy consumption, as well as of their impacts on its operational efficiency and overall on sustainable development. The strict adherence to the applicable environmental legislation is a core element of all company’s activities. In this respect, MYTILINEOS applies systematically specific practices aimed at ensuring the continuous improvement of its environmental performance. The company’s general objective is for its processes, services and products to have the minimum possible adverse impact on the environment. Boundaries: The impacts of MYTILINEOS’ activity on the environment are identified both within the boundaries defining the operation of its Business Sectors and subsidiaries, as mentioned in the relevant section on the parameters of this Report, as well as outside these boundaries, affecting key Stakeholder groups such as Local Communities, Customers, Suppliers, Shareholders/Investors, Public authorities and Non- Governmental Organisations. Major risks and relevant risk control practices: Given the environmental impacts referred to above, MYTILINEOS acknowledges the following major risks, which may affect its business goals and against which it has been carrying out, for a number of years, appropriately selected investments in order to significantly reduce the likelihood of their occurrence. These risks are the following: T he purpose of this management approach is to provide specific information and data to all social groups and persons that affect, and are affected by MYTILINEOS’ operation, so that they can understand how the company balances the unavoidable impacts of its business activity on the environment. This management approach also reflects the company’s commitment to regularly invest in initiatives and new technological equipment, as well as in the culture of its people, with the aim of minimising its environmental footprint. Management of the Material issue Environmental management and Climate Change Environmental responsibility is a key element of the Code of Business Conduct, the corporate principles and the Suppliers and Business Partners Code of Conduct of MYTILINEOS. All the company’s Business Sectors apply an ISO 14001 certified Environmental Management System, supported by specific environmental policies by activity sector. 2017 saw the launch, in all the company’s Business Units, of the revision of their environmental management systems in accordance with the new specifications laid down by the ISO 14001:2015 international standard. Moreover, the setting of environmental targets for each Business Sector, the implementation of the company’s measures and principles regarding the protection of the environment, the adherence to the requirements of the laws as a minimum commitment, the continuous assessment and monitoring of all environmental parameters, the cultivation of the employees’ environmental awareness and the harmonious collaboration with the local communities, are key components of MYTILINEOS’ management of environmental issues. To address climate change, the company invests consistently in the improvement of production processes, in new technology installations and in the extension of the use of Natural Gas to all its industrial plants, in order to improve energy efficiency, reduce emissions and optimise the management of waste. In parallel, the systematic application of Best Available Techniques (BATs) in the production process and in the management of waste, in tandemwith the use of more environment-friendly fossil fuels (primarily natural gas), especially in the Metallurgy and Electricity Sectors, are significant factors that contribute to the company’s business growth and drive its commitment to the protection of the environment and to ensuring the sustainable management of natural resources. In each Business Sector, the persons responsible for the environment take steps to ensure correct environmental operations in all industrial plants. GRI 102-11 GRI 103-1 GRI 103-2 GRI 102-15