A Message from the CEO
During 2015 we continued to create long term economic value while caring for our people, our communities and our environment, achieving double digit earnings growth amid challenging market conditions. We remain committed to operating in a manner which acknowledges and proactively manages those issues which are most material to the long term sustainability of our business, the environment and the communities in which we operate.
Safety remains our number one priority at IPL. The tragic fatality that occurred in May this year is a stark reminder of the vital importance of our relentless drive to Zero Harm. Immediately following the tragedy, a safety stand down was held across all our sites globally in order to focus every employee on identifying and understanding the fatal risks and controls in our workplace. Despite an overall reduction in safety incidents across the business, as evidenced by the Company’s TRIFR to Sept 30 2015 decreasing from 0.97 to 0.67, we still have a long way to go. We have a strong belief that injuries and illnesses are preventable and we are committed to eliminating these avoidable outcomes.
During 2015, construction of the 800,000 tonne per annum ammonia plant remained on track and on budget for production in the third quarter of 2016, with sustainable development in mind. The safety target for the total project was to achieve a TRIFR of 1.05. Over three million man hours have been worked to date and the current TRIFR is 0.33. Locating the development on an existing brownfield site has avoided any land clearing and when operational, the Louisiana ammonia plant will apply the industry’s leading technology and will be among the most energy efficient plants of its kind in the world. The plant will also use the best available Selective Catalyst Reduction technology to reduce emissions of nitrogen oxides by up to 98% and will source its cooling water sustainably from the plentiful supply of the Mississippi River.
Diversity remained a focus during 2015 and our key achievements were:
• maintaining a 2% Indigenous Employment target across our Australian businesses;
• endorsement of the Incitec Pivot Australian Indigenous Reconciliation Action Plan by the IPL Board and by Reconciliation Australia; and
• extension of ‘My Potential’, a pilot program specifically designed to assist women to progress into leadership roles, across Australia and the Americas.
Energy efficiency and reducing waste and water use continue to be key parts of our environmental focus. Energy, particularly gas used as a feedstock for our manufacturing operations, is a major cost in our business and we continue to manage our supply into the future. The continued rollout of BEx, our lean based business improvement program, is helping to build a strong culture of continuous improvement across the IPL Group, including areas which impact on the environment and resource efficiency.
For the second year, this Online Sustainability Report supplements the short form Sustainability Report in our Annual Report. Our objective is to meet the needs of our diverse stakeholder group in an efficient and effective manner. I invite you to read it and welcome any feedback you may have.
Managing Director & CEO