Israel Chemicals Ltd. Corporate2 Responsibility010 Report ICL Corporate Responsibility Report 2010 4 5 Table of Contents From the Chairman and CEO ......................... 6 Climate Change and Global Warming ...............54 Environmental Aspects .................................. 58 Goals and achievements in sustainability .....8 Raw Materials ...................................................58 Organizational profile ................................ 12 Energy Consumption ........................................ 66 The Corporation ............................................... 16 Water Consumption ......................................... 68 Products for people ........................................... 24 Wastewater Treatment ......................................69 Markets and sales .............................................26 Air Quality ........................................................ 70 Company structure and ownership ................... 26 Waste ............................................................... 74 Corporate governance ......................................29 Environmental Management .............................76 Financial information ........................................ 34 Environmental Safety ........................................ 78 Corporate responsibility management ........ 36 Social Aspects ................................................. 80 Corporate responsibility policy: guidelines .........37 Work environment ............................................81 Transparency and dialogue with stakeholders ....38 Safety and health ............................................. 85 Corporate culture and Code of Ethics ............... 39 Contribution to the Community ........................88 Industrial Sustainability ................................. 42 About the Report ........................................... 96 Opportunities and Challenges ...........................44 Summary of Performance .............................. 97 Long-term Planning and Precautionary GRI Index ........................................................ 98 Measures .......................................................... 44 Product Stewardship and Responsible Care .......45 Implementing Environmental, Safety and Health Criteria in Product Development ....................... 47 Responsibility in the Value Chain - Voluntary Emissions Control Action Program (VECAP) .......49 Integrated Industry ............................................ 51 REACH - Regulations on Chemicals and Their Safe Use ........................................................... 52 ICL Corporate Responsibility Report 2010 Letter from the Chairman and CEO environmental responsibility in all activities, acquisitions and product development. Acquisitions in the field of fertilizers and specialty fertilizers are enabling us to offer farmers around the world better and more environmentally compatible solutions for increasing and improving global agricultural production, contributing to an enhanced food supply for the world’s growing population. Nir Gilad Akiva Mozes ICL Industrial Products’ acquisition of the world’s largest The last decade has provided ICL with an opportunity phosphorus-based flame retardants manufacturer to learn new ways of thinking and to improve our broadened the range of solutions that it offers to performance. Over this time, our awareness of corporate protect human life and the environment against fire responsibility has evolved, resulting in an expansion and burn incidents. of our strategies in the areas of contributing to the community and protecting the environment. As this ICL Industrial Products has also expanded its product ® CSR report demonstrates, we have internalized an range with the Merquel series solutions. These products approach that integrates commitment and action provide a solution for the polluting mercury emitted from on a daily basis to benefit the environment and the coal fired power stations, a further demonstration of society in which we live. product development that benefits people, and makes a significant contribution to the environment. With a strong belief that monitoring and accountability are necessary for progress, we took upon ourselves This activity, together with others under development, the ongoing task of measuring our Corporate Social reflects ICL’s vision to develop products using sustainable Responsibility, and reporting the results regarding green principles and to pursue environmental responsibility a broad number of parameters as transparently as and product stewardship, from development, through possible. production and until the end of the product life cycle. ICL has also acquired a company whose core operation The first level includes strategy, planning and infrastructure. is water purification for both drinking and industrial Implementation of this level required us to develop use. In this way, ICL contributes to purification of water systems for gathering and analyzing environmental and sources, making them safe for millions of people around social data, in addition to existing financial systems. the world to drink, particularly for disadvantaged These tools enabled us to implement a multi-year populations in developing and third world countries. process of identifying, mapping and addressing social, environmental and economic risks as the basis for All this is not by chance, but rather a reflection of a determining strategy and long-term planning. Today, planned organizational strategy of which we are proud, our social and environmental impacts are also measured and through which we are ensuring that we - our and managed as a unit within the corporation. employees and managers together - will continue in this direction in the coming years. Over the last few years, ICL has significantly expanded its international operations, including the acquisition The second level of corporate responsibility is execution of companies that are enabling ICL to establish itself and change in practice. Over the last three years, ICL as one of the world’s leading companies in its field. has invested over one billion shekels in carrying out The Company has set performance targets for itself our significant environmental improvements. No other that reflect a strategy which emphasizes social and company in Israel has invested so heavily in this field. This 6 7 immense investment has enabled ICL employees and near the Ramat Hovav, Sdom and Rotem plants. This managers to act simultaneously in several areas: energy dialogue has contributed greatly to our understanding, systems were upgraded to reduce their environmental internalization and change in approach to the main impact by tens of percent; manufacturing processes concerns raised by local residents. This report, our most were reengineered to reuse by-products previously comprehensive prepared to date, is a further expression considered to be waste but now used as resources in of our acceptance of the need to maintain an open, production; new and advanced equipment was installed relevant and effective dialogue with all groups that have in a range of plants; new procedures were enacted; an interest in our operations, from civil, environmental and additional safety measures were adopted. and social organizations through each and every one of the Company’s suppliers, customers and employees. The Company’s strategic change, together with its considerable investment in the environmental sector, We hope that this report will serve as a source of has made ICL one of the leading and most advanced quantitative and qualitative information and as a basis companies in social and environmental responsibility. for the many discussions that take place every day in our For example, this year for the first time in Israel, we are plants, among our employees and managers, with the voluntarily reporting the Company’s carbon footprint general public and groups interested in our operations, as part of a broader process that includes mapping with planning and standardization bodies, and among the carbon footprint of the Company’s plants and the various media. Indeed, the very process of preparing products. Rotem Amfert Negev was awarded Product the report served as a basis for this dialogue. Stewardship Certification and rated “Outstanding” by If in the past, potential investors requested only financial the International Fertilizer Association (IFA), the first information, today many are also interested in an analysis fertilizer company in the world to be so honored. of the Company’s environmental and social performance. In addition, we have initiated a unique process to certify ICL Over the past two years, several analysts that specialize facilities as “Green Plants”. As there is no Israeli standard in ethical investments have used information about for this, the Company has formulated and adopted an corporate responsibility published by ICL. In addition, internal standard for this purpose. we have provided another tool for ethical investors: we are reporting on carbon and water issues through None of the processes described above could have been the international Carbon Disclosure Project (CDP) for carried out without the commitment and responsibility of the second consecutive year. the Company’s human capital, namely its managers and employees. We are proud of their willingness, diligence Due to growing indications that we are facing a period and commitment to this process and the great effort of significant global economic, social and environmental invested in improved