Our Approach

Sustainability Strategy


IPL defines Sustainability as ‘the creation of long term economic value whilst caring for our people, our communities and our environment’.  This commitment to Sustainability is driven by the Company’s Values and is core to the way IPL operates its business.


We recognise that sustainable growth requires acknowledging and proactively managing those issues which are most material to the long term sustainability of our business, our environment and the communities in which we operate.



These responsibilities include being a good corporate citizen and operating ethically. They include ensuring good governance in our day-to-day business activities and behaving with honesty and integrity in our interactions with our stakeholders.


In 2010, IPL’s Board and Executive Team approved a sustainability strategy to use ‘sustainability’ as a tool to think more broadly across all aspects of our business. This enabled us to focus on specific sustainable and value creating actions in line with our business objectives. The projects were selected to progress three initial focus areas that we refer to as our ‘Use Less, Get Close, Be Responsible’ agenda.


During 2014 a formal review of the Company’s sustainability performance to date was undertaken and the existing strategy for operational sites was reaffirmed. It was also determined that IPL should seek to influence suppliers to promote alignment with the Company’s corporate values and continue the sustainable development of its supply chain. In 2017 we continued to focus on education, training and awareness to further embed principles of sustainable resource use and environmental best practice across the business, as well as through BEx practices, resulting in a more integrated approach to sustainable practices. 


The Precautionary Principle


The Precautionary Principle advises that when an activity raises threats of harm to the environment or human health, precautionary measures should be taken even if some cause and effect relationships are not fully established scientifically. IPL recognises that there are risks and opportunities associated with climate change, and our risk management procedures associated with these are reported in our CDP response, our 2017 Annual Report under Principal Risks, and under Managing Climate Change in this report. We also seek to mitigate our impact by reducing our energy use and greenhouse gas emissions

Continuous Improvement through BEx

Business Excellence (BEx) is the IPL Business System for continuous and focused improvement. BEx is strongly aligned to IPL’s Corporate Values and has lean thinking at its core. Through BEx there is continuous review, measurement of business performance and improvement of the processes and systems that support sustainable practices.

Content Selection Process

IPL recognises the need to provide focused and accessible disclosures on the issues that are most important to our stakeholders. With this in mind, we conduct a biennial formal materiality assessment to identify and rank the issues that matter most to our stakeholders, and to our business success. The output of the most recent review, conducted in 2017, is shown below as a materiality matrix. ‘Economic Performance’ and ‘Gas Supply’ are addressed in the IPL 2017 Annual Report.  The other top 10 material issues have been used to shape this report and are identified throughout by the  symbol.


Materiality Assessment Process


We identified the stakeholders who have a direct relationship with, or are impacted by, our business. These are listed in column one of the Stakeholder Engagement table below. We reviewed risk registers, sector issues and business communications, and researched publicly available information on sustainability issues in our sector. We also engaged with key stakeholders as detailed in our Stakeholder Engagement table to identify key issues.



Having identified our key stakeholders and a comprehensive list of issues, we then tailored six targeted ‘issue-scoring’ surveys to clarify and prioritise those issues most important to our stakeholders, including: customers; employees; suppliers and business partners; investors and shareholders; and local communities and residents. Issues were also scored by internal IPL stakeholders, and graphed to create the matrix above.



The twelve most material aspects (identified as ‘High’ in the Materiality Matrix above) were assessed against the Scope of our previous reports and significant alignment was found. The impact boundaries of each of these issues was also determined and is included in the Materiality and GRI Aspects table below. This online Report, together with our 2017 Annual Report, our four page 2017 Sustainability Summary and our 2017 Corporate Governance Statement (collectively, our public reporting), addresses each of these material issues to a G4 ‘Core’ level. Content is also included for issues identified as ‘Medium’ on the Materiality Matrix above.



As part of the validation process, our previous year’s reports were reviewed with stakeholder feedback in mind. This report, and relevant stakeholder feedback will also be reviewed as part of the next reporting cycle.


Materiality and GRI Aspects

For the purposes of applying the GRI G4 guidelines, the material issues identified by IPL have been mapped back to the ‘Aspects’ identified in the guidelines. The following table outlines these aspects, as well as whether the primary boundary for each aspect falls within and/or outside the organisation. All aspects have the potential to affect stakeholders outside the organisation secondarily.

General Std
  Specific Standard
Aspect Boundary
GRI Category
-Sub Category
GRI Aspect
SOCIAL - Labor
practices and
decent work
Health and
Within IPL - our employees and contractors
Ethics and 
Within IPL
Outside IPL - all stakeholders we deal with
  ECONOMIC Economic Performance
Within IPL
Outside IPL - our shareholders, investors and employees
Climate Change    ECONOMIC
Economic Performance
Within IPL
Outside IPL - our shareholders, investors and employees
Within IPL - our on-site environments
Outside IPL - the local environments close to our operational and development projects, and, potentially, the broader environment
Energy Use
and GHG Emissions
Outside IPL - customers, communities, and the environment within the countries in which we operate, and globally with respect to climate change
Resource Efficiency   ENVIRONMENTAL Water Within IPL - The WBCSD Water Tool has identified one ammonia manufacturing site in the United States where baseline water stress in the water catchment area is high, and one ammonia manufacturing site and several smaller manufacturing sites in Australia as being located in water catchment areas which may experience water stress in the future (2025).
Outside IPL - the relevant local communities, other local water users and, at Cheyenne, USA, the River Basin management authority (the State Engineer's Office in Wyoming)
of Products
and Services
  ENVIRONMENTAL Products and Services  Outside IPL - the environmental performance of our customers and the impacts on their environments globally
Product and 
Service labeling
Within IPL - our employees and contractors
Outside IPL - our customers, and our external product transporters and handlers globally
Managing Our Workforce   SOCIAL - Labor
practices and
decent work
Training and Education Within IPL - our employees and contractors
Diversity and
Equal Opportunity
Within IPL - our employees and contractors

Employee Engagement       Within IPL - Our employees and contractors
Community Relations  SOCIAL - Society  Local Communities Within IPL
Outside IPL - the local communities in which we operate
Customer Relationships

Within IPL

Outside IPL – our customers globally

Product Quality

      Within IPL
Outside IPL - our customers globally
Gas Supply       Within IPL. This issue is addressed on page 19 of the 2017 IPL Annual Report under 'Risk'