MAKING MORE Shanks Group plc FROM Corporate Responsibility Report 2014 Overview  Shanks Group plc  Corporate Responsibility Report 2014 2 Overview In this report

Shanks Group Overview Case studies plc is a leading Highlighting our vision, our Clearing the air at Improving site An electronic strategy and our progress our ATM facility traffic safety nose for odours international towards our targets Degassing ships at ATM to Tackling the highest risk The hi-tech way of detecting reduce emissions p11 of serious traffic accidents odour and improving sustainable  Key facts and figures p3 on site p23 community relations p32  Our vision p4 ‘Reverse osmosis’ waste reduces emissions Above and beyond Managing an  Our strategy p5 Rewarding and celebrating emergency and in Canada employees who go above management  Group Chief Improving emissions control and beyond p27 getting back to Executive’s statement p6 to reduce odour p12 business as normal business  A better approach to Making music from Getting back to business waste managment p8 Switched on to after a disaster through recycled waste good management p36 We meet the growing need  Progress towards lock-off safety Making more from waste with to manage waste without our targets p9 Communicating the safety a musical twist p31 message on lock-off p22 damaging the environment Sections 1 2 3 4 5 Sustainability Health and Our Community Sustainable and the safety people relations management environment systems

How we are contributing to Thanks to safety We are giving our people What we are doing to How our management sustainability, engaging initiatives throughout the tools, training and engage, inform and educate systems are helping us with stakeholders and Shanks, we have achieved support they need to our local communities and to meet our corporate protecting the environment a significant reduction perform to the highest ensure we work in harmony responsibility objectives across our operations p10 in our accident rate p19 possible standards p24 with them p28 p33

 Front cover: A truck from our Solid Waste Division transports waste in the Overview  Shanks Group plc  Corporate Responsibility Report 2014 3 Overview

Key facts and figures Revenue by division3 £m Environment Health and safety Financial performance

Overall recycling and recovery rate Total potential avoided carbon emissions Reduction in reportable accident rate Chart 1: Revenue by division 23% £m Total 50% £636m 6% 23% 82% 1.26m 19 % 21% tonnes CO2 equivalent Complaints received from our Total 50% 6% Total waste handled Total energy generated neighbours reduced by £636m

˜ Solid Waste Benelux 21% ˜ ˜ Organics 8.08m 10 6. 4 33% ˜ UK Municipal tonnes ‘000 MWh

Total materials recovered Waste derived fuels produced and sold Total employees ˜ Solid Waste Benelux ˜ Hazardous Waste ˜ Organics +˜ UK14.0 Municipal % 6.64m 750 3,912 Increase in profit before tax tonnes ‘000 tonnes in four countries

Table 1: Detailed figures Operating division Benelux Solid Waste Hazardous Waste Organics UK Municipal Group 1 £ Number of employees 2209 810 72 821 3912 30.2m Underlying profit before tax Active operating centres 46 13 6 20 85 Operating centres with recycling/recovery 34 2 6 20 62 Operational sites 3 0 0 2 5 Collection and transport lorries 688 125 0 45 858 Tonnes waste handled (million tonnes) 4.05 2.11 0.69 1.23 8.08 Tonnes materials recovered (million tonnes) 3.09 2.02 0.66 0.87 6.64 Overall recycling and recovery rate 76% 96% 96% 71% 82% Total energy generated (000’ megawatt hours) 58.0 0 38.9 9.5 106.4

1. Number of employees may vary from that quoted in Shanks Annual Report as the result of including discontinued activities in CR reporting. Overview  Shanks Group plc  Corporate Responsibility Report 2014 4 Overview

Our vision We strive to be the Leading Provider Sustainable leading provider of Defined as high market share and Providing effective alternatives sustainable waste with clear competitive advantages. to landfill and mass . management solutions in our Our target markets vision Target Markets

We aim to achieve our goals by Combining technologies to make Markets with high sustainable leveraging our unique position in valuable products from waste. growth drivers and potential for the waste management cycle. high recycling rates. Shanks uses a range of sustainable and cost-effective technologies to make valuable products from what is thrown away and generate increasing returns for our shareholders. We produce green energy, recovered fuel, recycled commodities and organic fertiliser.

Our solutions Where we operate Our people Benelux UK Canada                         Reduce greenhouse Produce Treat contaminated             gas emissions green energy waste 63 20 2 operating sites operating sites operating sites            

 Our operations in the Benelux Our Municipal Division We process organic waste

 comprise the Solid, Hazardous provides recycling and waste using tunnel composting    and Organics Divisions management services to local The Netherlands authorities in the UK, creating fuel Recycle Provide highly Produce Reduce untreatable for green energy production commodities specialised recovered fuel waste residues to a   industrial cleaning minimum UK Canada Overview  Shanks Group plc  Corporate Responsibility Report 2014 5 Overview

Solid Waste Hazardous Organics UK Municipal Benelux Waste

Improve the profitability of Broaden the scope of our Expand the Organics footprint Grow the UK Municipal long-term Our strategy Solid Waste Benelux Hazardous Waste business in target geographies contract business Our Solid Waste business is focused Our Hazardous Waste business delivers Our strong market position and We are well-placed to grow in the Our overarching in the Benelux region where it is a superior returns through its symbiotic experience in the Netherlands, UK PFI market with established clear market leader with the scale range of treatments and operational combined with our unique business contracts, together with over £200m strategy of “making and position to win. Our strategy is excellence. We are building on this model (design, build, own and operate), capital committed to projects in more from waste” focused on returning this business profitable base by investing in more provides us with distinct competitive construction. We will deliver continued to previous profitability levels. treatment capacity. In parallel, we will edge which we will leverage to expand improvements with our operational remains consistent and We continue to drive cost efficiency expand the range of waste inputs that in target markets. We will expand our contracts and will profitably ramp the core pillars of this through the structural cost programme, we treat with our existing assets and will North American footprint by delivering up newly commissioned assets. increasing route density, and delivering broaden our commercial coverage in proven solutions that meet the Our medium-term growth will be strategy are focused on new procurement and continuous international markets. emerging diversion requirements of underpinned by the successful generating profitable improvement initiatives. We are that market as well as successfully construction of significant new investing in optimising our ramp up new UK assets and develop sustainable waste management growth in each of our commercial effectiveness to take co-processing with Dutch A-brand infrastructure. Our expanding PFI four distinct markets advantage of market opportunities customers. operations have high recycling and and have also streamlined the recovery levels. portfolio to increase returns.

Group While we are increasingly clear about the actions needed to deliver growth in each division, we will strategy continue to deliver value by leveraging our Group capabilities and scale. At a strategic level, our four divisional strategies remain underpinned by two key Group strategies that span all of our businesses.

Develop world-class capabilities in a cohesive Group culture Actively manage the Group’s portfolio This strategy comprises the introduction of enhanced capabilities of commercial We are actively managing our portfolio of assets to improve the quality of our effectiveness, continuous improvement and talent development. It also includes earnings and the return on capital employed. In particular, we have sold the leveraging of our many deep skills between Divisions. For example, the skills underperforming assets that lack the long-term capability to generate attractive of our Netherlands Organics and UK Municipal businesses are combining to bid returns. Overall, we are focused on deploying capital in areas where we are for contracts in Canada, while our Shanks Total Care initiative creates a unique confident of sustainable advantage, attractive returns and higher growth. commercial proposition in the Netherlands. And, we are doing this while improving our recycling and recovery rate, increasing the carbon avoidance benefit we provide and reducing the number of accidents our employees suffer. Overview  Shanks Group plc  Corporate Responsibility Report 2014 6 Overview

 Our ATM facility in the Netherlands delivers sustainable waste management solutions

Group Chief // Our dedication Executive’s to health and safety statement has helped us to reduce our already Looking after our employees, protecting the environment and low accident rate engaging with our neighbouring significantly// communities enables us to work safely and efficiently, and gives us our licence to operate

At Shanks, we live and breathe corporate the accident rate across the business by 19%. Our directors and senior managers have played responsibility. It is not only about a desire to do This means that we have achieved our five-year their part in sharing best practice on safety too. the right thing. Looking after our employees, accident reduction target one year early. Together they have made more than 150 safety protecting the environment and engaging with leadership visits to sites in the past 12 months. our neighbouring communities enables us to These safety successes are a tribute to the These visits demonstrate our commitment to work safely and efficiently, and gives us our efforts of everyone at Shanks who has good safety performance and have on many licence to operate. embraced a culture of safe working. To occasions identified poor conditions or reinforce this safety culture, we launched our practices that have been corrected. Accident rate achieves a record successful Group Safety Award for the second low target a year early year running. The award attracted 34 entries, We have promoted a major traffic safety Health and safety is top of our agenda. up by 10 on the previous year. The winner initiative that has led to more than 1,000 We work in a high-risk industry, but we are was ‘Reducing the odds with LOTO’ (lock-out/ improvements in traffic safety across minimising the risk of accidents by giving our tag-out), a communications campaign created our operations. It is no coincidence that people the support, training and equipment by the Belgian Solid Waste team. The traffic-related accidents fell by more than they need to work safely. I am pleased to report campaign engagingly promotes the life-saving a quarter over the year. Peter Dilnot a significant improvement in our employee importance of effective ‘lock-off’ procedures Group Chief accident rate over the year, particularly in our that disable equipment before maintenance or Executive Belgian operations. As a whole, we improved cleaning is carried out. Overview  Shanks Group plc  Corporate Responsibility Report 2014 7 Overview

Group Chief Executive’s statement continued

Digester tanks producing biogas  at our Amsterdam AD facility

We will continue to build on these Netherlands has also resulted in our ATM with the communities around us. Our successes and drive health and safety site playing a leading role in the more Group Corporate Responsibility Committee improvements throughout 2014/15. The environmentally appropriate treatment of conducted a major stakeholder exercise in next 12 months will see us implement the contaminated old road surface materials. 2013/14 to assess how our stakeholders second stage of our traffic safety initiative. We also expect to be able to offer a view us and find out what’s important to We also plan to enhance our near miss and compelling solution to Canadian them. The findings will be used to inform hazard reporting systems and improve our municipalities as they address the pressing the way we approach issues and fire safety performance. need to increase the diversion of organic communicate with local residents in waste from landfill, while our new PFI the future. // Effectively dealing with Environmental Sustainability assets under construction at Barnsley, is in our DNA Doncaster and Rotherham (BDR) and By continuing to put corporate eight million tonnes of By “Making More from Waste”, Shanks is Wakefield will achieve high diversion rates responsibility at the heart of everything we delivering sustainability for its customers, for these municipalities. do, we are well equipped to grow our waste is essential for the its partners, the company itself and the business in a manner that benefits all our wider community. Our unique range of All of the additional capacity that we have stakeholders, while creating value for our communities that we serve // technologies and industry-leading recycling brought on-line in the past year, including shareholders in 2014 and beyond. rates allow our customers to achieve their our new (AD) facility at sustainability goals. Westcott Park, enhances our capacity for recycling and recovery. For example, in the Netherlands we have invested in new collection equipment to Working hard to engage local com- help Albert Heijn further reduce their munities carbon footprint. Effectively dealing with eight million tonnes of waste is essential for the communities The Dutch Government has indicated that we serve, but can inevitably cause Peter Dilnot a desire to increase recycling rates prior local inconvenience, for example additional Group Chief Executive to incineration. This is Shanks’ core heavy traffic. Wherever we operate, we business. A lobbying campaign in the work hard to develop good relationships Overview  Shanks Group plc  Corporate Responsibility Report 2014 8 Overview

Our core activities

A better Input Sort Produce Dispose Collect or Sort waste into specific recyclates Produce valuable products from Dispose of receive waste. and streams for treatment. segregated waste streams. remaining waste. approach What is it? to waste management Mechanical Chemical Magnetic Recycled Recycled Organic plastics paper fertiliser 5% We aim to be the leading provider of We will collect only Typically only 5% when it is necessary Bulk Manual Filtration Green Recovered Recycled of what we collect sustainable waste activity Our to secure volume. energy fuel aggregates goes into landfill. management solutions in our target markets £ £ £ £ £ £ £ by making more from the things that society Customers pay us to Our sorting and processing facilities are We extract recyclates and make in-demand Any waste we cannot take waste that they an operating cost to Shanks Group. products from the waste we collect, which recycle creates an throws away Revenue stream do not want. other customers pay us for. operating cost.

We are committed to helping society reduce its recycling and recovery rates in the industry operations to 1.3 million tonnes by 2015 and carbon emissions. We do this by converting the and enable our customers to reach their have invested in new capacity to achieve this. waste that would otherwise have gone to sustainability targets. These include sorting We measure how much carbon is avoided as landfill or mass incineration into useful products and recycling, mechanical biological a result of the recyclate materials produced, such as green energy, recycled materials, treatment, anaerobic digestion, in-vessel the green electricity generated and the alternative fuels and nutrient-rich . composting and hazardous . waste-derived fuels we supply.

This sustainable waste management approach By recycling and recovering waste, we lift the Our commitment to sustainability is confirmed avoids greenhouse gas emissions, raw material carbon burden associated with using raw by external and independent measures. use and non-renewable energy production, materials and non-renewable energy. The We are listed in the FTSE4Good Index and and provides sustainable benefits to our waste-derived fuels we produce provide a in 2013 we won the PLC ‘Achievement in partners, customers and the wider community. carbon benefit by displacing fossil fuels. Sustainability’ award.

We operate a range of processes and We have set ourselves a target of increasing technologies to achieve the highest the carbon avoidance benefit produced by our Overview  Shanks Group plc  Corporate Responsibility Report 2014 9 Overview

Recycling and recovery rate have improved compared to 2012/13. Much of last year. A Group-wide ‘Action on Safety’ Progress towards We have improved our recycling and recovery this increase has been the result of enhanced initiative was led by senior managers, and a rate to 82%, so achieving our five-year key target sales and production of waste derived fuels. good deal of time was spent on safety audits of 80% one year early. This improvement has We are confident that we are well positioned and improvements across our operations. our targets been the result of our continued commitment to to increase our carbon avoidance further to recycling and recovery over disposal. During meet our 2015 target in the coming year. Among the changes we introduced was a Four years ago we set 2013 we sold our last UK commercial landfill site traffic safety initiative across our sites that and divested ourselves of our UK commercial Accident rate helped to reduce traffic accidents by a quarter ourselves three five-year key operations, which had relatively low recycling Demonstrating our commitment to the safety and we once again held the Group Safety corporate responsibility targets and recovery rates. In addition, we have taken of our people, we hit our target of cutting our Awards to engage our people with health and more waste into our ATM facility, which already more than three days absence accident rate safety issues. to be achieved by 2015. These has a class-leading recovery rate. by 25% a year ahead of schedule. This is an important milestone and has been made We operate in a high-risk sector but Shanks targets reflect our commitment Carbon avoidance possible by the efforts of everyone in the Group. has one of the lowest reported accident rates to recycling and recovery, the We have also increased the level of carbon in the industry. Nevertheless, we won’t be avoidance our operations provide for society This year’s success has been achieved through satisfied until we eliminate accidents from environment and the safety to 1.26 million tonnes. We are on track to meet a relentless focus on safety, which saw the our facilities altogether. of our people our five-year target of 1.3 million tonnes and accident rate fall by 19%, following an 8% drop

Chart 1: Overall recycling and Chart 2: Carbon avoidance Chart 3: Reportable accident rate1 recovery rate % waste handled tonnes m per 100,000 employees 2015 – FIVE-YEAR TARGET 80 2015 – FIVE-YEAR TARGET 1.30 2015 – FIVE-YEAR TARGET 2300 2014 82 2014 1.26 2014 1950 2013 78 2013 1.21 2013 2400 2012 78 2012 1.28 2012 2600 2011 77 2011 1.18 2011 3000 2010 74 2010 0.74 2010 3100

1. Accidents resulting in more than 3 days’ absence 1. Sustainability and the environment Sustainability Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 11 the environment

Case study Sustainability fter transporting Netherlands extracts the facility’s capacity from some materials, vapours produced during 3,000 to 7,500 cubic CLEARING THE A ships need to ship degassing and treats metres per hour and de-gas to vent vapours them to prevent the expanded the number of AIR AT OUR from their storage tanks. release of hydrocarbons waterside connection This process can result to the atmosphere. To points available for ships. in the release of enhance the benefits of ATM FACILITY hydrocarbons into the its degassing treatment “We plan to continue this atmosphere, posing operations, ATM recently expansion in the future  ATM provides sustainable potential environmental expanded its capacity. with the installation of waste management solutions for hazardous waste impacts and possible two additional flame odour issues for those Jacques de Jong, Shanks arrestors, so providing living nearby. Hazardous Waste Division an environmental and Compliance Director, safety benefit.” One of our operations says: “We have already at our ATM facility in the grown our degassing

3,000 – 7,500m3 per hour – our expansion of degassing capacity at ATM  In addition to degassing, much of the waste received at ATM arrives by ship Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 12 the environment

Case study Sustainability Shanks facility in facilities over waste Canada is testing disposal, but we still seek ‘REVERSE OSMOSIS’ A innovative ‘reverse to control such emissions. osmosis’ technology to The reverse osmosis REDUCES EMISSIONS enhance the effectiveness equipment installed at of ‘scrubbers’ used to Shanks cleans reduce emissions into the the water used in the IN CANADA atmosphere. The Shanks scrubbers, making them Organics in-vessel more effective and better composting (IVC, also at extracting VOCs. This called tunnel composting) is a class-leading use facility near London, of technology for IVC Ontario, already has plants and confirms our extensive environmental commitment to sustainable control equipment technologies and including ‘scrubbers’. reducing our potential environmental impacts. Greener technologies certainly have environmental benefits, but even the best may still generate some level of emissions into the 690 environment. IVC can thousand tonnes of waste handled result in the emission at our Organics Division sites of volatile organic compounds (VOCs) into the atmosphere. This impact is more than 96% compensated for by the Recycling and recovery rate benefit provided by IVC achieved by these sites

 Organic waste treatment reduces disposal to landfill and produces electricity and fertiliser Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 13 the environment

Contributing to sustainability Sustainability We take the things that society throws away and convert them into something useful that can help us protect our environment

We deliver sustainable waste management By using such technology to convert waste In the past year we began building a waste solutions rather than simply disposal into useful products, we are helping to reduce treatment facility that will handle the rubbish because they reduce society’s reliance on society’s carbon emissions, but we want to do thrown away by 156,000 households in 70% non-renewable resources. We do this by more. In the past year we sold our last UK Wakefield. It will push the local authority’s Group recycling and recovery rate in 2008/09 harnessing innovative technologies that make commercial landfill site and all of the new landfill diversion rate close to 90%, making fuel more from waste. capacity that we brought on-line is dedicated for a nearby power station and generating to making more from waste. enough green energy to power around Our Biocel facility in Flevoland in the 3,000 homes. Netherlands, for example, is one of only a few We continue to invest in equipment to treat such plants in the world. Its dry anaerobic greater quantities in the future. For example, During 2013/14 we recycled and recovered 82% Group recycling and digestion process is unusual in being able to we are developing state-of-the-art sustainable 82% of the eight million tonnes of waste that recovery rate in 2013/14 handle, alongside other organics, solid waste waste management facilities for Barnsley, was handled at the Group’s sites. We sent just such as nappies, which are notoriously difficult Doncaster and Rotherham (BDR) councils 1.16 million tonnes to landfill and 0.23 million to break down and treat safely. It converts and we have planning permission for a new tonnes for incineration. waste into compost and clean energy. site in Derby.

Table 1: Recycling and recovery rates1 Benelux Solid Waste Hazardous Waste Organics UK Municipal Group Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 Total waste handled at Shanks sites (million tonnes) 3.93 4.05 1.71 2.11 0.68 0.69 1.51 1.23 7.83 8.08 Amount of materials recovered from waste stream (million tonnes) 3.00 3.09 1.62 2.02 0.66 0.66 0.81 0.87 6.09 6.64 Proportion of total waste handled recovered from waste stream (%) 76% 76% 96% 96% 98% 96% 54% 71%2 78% 82% Tonnes of waste handled sent for landfill disposal (million tonnes)3 0.35 0.86 – – – 0.03 0.64 0.27 0.99 1.16 Tonnes of waste handled sent for incineration disposal (million tonnes)3 0.58 0.10 0.06 0.05 0.01 0.002 0.06 0.08 0.71 0.23

1. Data is for waste handled at Shanks sites and does not include simply collected and taken to third-party sites. 2. Large increase in recycling and recovery rate mainly the result of: Sale of last commercial landfill site in April 2013; sale of commercial waste operations in December 2013; and increased sales of waste derived fuels. 3. Data may not total as the result of rounding. Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 14 the environment

Emissions and avoidance Sustainability Sustainability and carbon CO2 intensity ratios performance highlights Our greenhouse gas emissions and avoidance intensity ratios demonstrate our progress Our carbon footprint shows our greenhouse gas (GHG) towards both reducing our emissions and emissions and the carbon avoidance benefit our sustainable improving the carbon avoidance benefit of our operations. waste management activities provide for society Graph 1: Carbon emission and avoidance intensity ratios Avoidance/emissions as a ratio of revenue in GBP Table 1: Emissions from our activities 1.86 2014 2013 2014 0.91 CO2 equivalent CO2 equivalent 1 1 1.81 Source (‘000 tonnes) (‘000 tonnes) 2013 0.87 Process-based emissions 1.70 Emissions from anaerobic digestion 14 19 2012 0.81 Emissions from composting 41 45 1.65 Emissions from hazardous waste treatment 258 255 2011 0.99 Emissions from landfill 105 115 1.13 Emissions from mechanical biological treatment (MBT) 18 2010 22 0.96 Transport-based emissions 2009 0.94 Fuel used by waste transport vehicles 70 61 0.99 Business travel (cars, trains, flights, etc.) 4 4 ˜ GHG avoidance/revenue Energy-use emissions ˜ GHG emissions as CO2 equivalents/revenue Electricity used on sites and in offices 46 64 Gas used on sites and in offices 9 9 Fuel used on sites and in offices for plant and equipment/heating2 24 20 Total emissions from significant sources 589 614 The emissions we avoided for society by our activities 642 Renewable energy generated 44 36 thousand tonnes of carbon avoided in 2008/09 Waste derived fuels produced and sold3 652 750 Materials separated for re-use/recycling (some re-used directly, others undergo re-processing by third parties)3 518 474 Total potential avoided emissions 1214 1260

1. Figures rounded to nearest 1,000 tonnes. 2. Includes heat use on site for Shanks Hazardous Waste. 1.26 3. Change in balance between waste derived fuels and recycling data is mainly the result of restructuring in the UK. million tonnes of carbon avoided in 2013/14 Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 15 the environment

Our advanced technologies Sustainability

 Waste derived fuels replace Technology is the key to sustainable waste management fossil fuels in manufacturing and and we use a range depending on the type of waste energy production processes and the wishes of our customers

Sorting centres, Mechanical, Anaerobic digestion In-vessel composting Hazardous waste materials recycling biological treatment (AD) facilities (IVC) facilities (specialist treatment facilities (MRFs) and (MBT) facilities processes) recycling facilities

Sorting centres and recycling facilities MBT facilities take residual waste AD plants (also called tunnel composting) IVC plants take materials with a higher Our main hazardous waste treatment take mixed or partially separated waste and extract residual recycled material. take organic waste, such as food waste, organic content, such as residual facility is located in the Netherlands. It uses and sort it into individual components, The waste is then shredded and dried and turn it into fertilisers. They also domestic waste, and compost it to thermal and other treatments to destroy such as paper, card, plastics, metals, etc. to produce a waste-derived fuel, such generate green electricity from the produce a fertiliser. the hazardous components of waste such as solid recovered fuel (SRF) which can resulting gases. as paints and contaminated soils. Recycling: be used in power production and IVC facilities: • Displaces non-renewable, raw industrial processes. AD facilities: • Provide an alternative to artificial, Specialised hazardous materials in product manufacture • Provide an alternative to artificial chemical fertilisers waste treatment: MBT: and chemical fertilisers • Destroys the hazardous properties • Provides a carbon avoidance benefit • Divert organic waste from landfill, • Displaces fossil fuels in power of waste, preventing their release compared to raw materials • Produce green electricity that offers thereby reducing methane emissions production and industrial into the environment a carbon avoidance benefit • Diverts waste from landfill and other processes, providing a carbon • Provides a safe alternative to disposal methods avoidance benefit and reducing • Divert organic waste from landfill, less suitable waste management use of non-renewable fuels thereby reducing methane emissions technologies • Diverts waste from landfill and other disposal methods Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 16 the environment

Engaging with stakeholders Sustainability In 2013/14 we undertook a major exercise to Stakeholder understand what is important to our stakeholders materiality matrix so that we can provide the information they want High 1 Overseas human rights – complicity in poor human rights activities

2 Overseas human rights – due diligence This Corporate Responsibility (CR) report experience of the Shanks Group Corporate of business partner activities complies with Global Reporting Initiative (GRI) Responsibility Committee. It confirmed our 3 Employee working conditions guidelines. From next year these will change belief that sustainability and environmental to place significantly more emphasis on issues are very high on many stakeholders’ 12 4 Employee relations and communication 10 stakeholder engagement. That is only right agendas. 5 Employee civil rights because we have a responsibility to ensure 7 6 Employee and others’ health and safety 1 2 our CR reporting is relevant to all of our The possibility of environmental pollution, 16 9 6 3 7 Fraud and bribery governance stakeholders, from our local communities to community nuisance and potential health 14 17 4 11 13 employees, customers and shareholders. effects were also important to our 5 8 8 Financial governance stakeholders. We understand people’s 15 9 Sustainability and carbon issues

Although the changes don’t come into effect concerns over such issues and seek to be 10 Environmental regulation compliance until next year, we are already preparing for transparent about our activities and and potential pollution incidents them and, during 2013/14, we conducted performance. Although we provide information 11 Community education and culture a study of what our stakeholders really think on these issues in this report, we will look 12 Community nuisance and potential health of us and what they believe is important – again at how we report on them in the light of effects on third parties from our activities and how that compares with the way we the exercise. Stakeholder score of materiality Low 13 Service continuity view ourselves. Shanks score of materiality The results of this study will enable us to put 14 Product liability It was a major undertaking and information together our 2015 Corporate Responsibility Key 15 Data protection was gathered from a range of sources through Report in line with the wishes and needs Positions of blue circles indicate level of importance of issue for 16 Fair practice – anti-corruption stakeholder surveys and the knowledge and of stakeholders. stakeholders (vertical axis) compared with Shanks’ view of their importance (horizontal axis). 17 Fair practice – fair competition Numbers in circles correspond to issue areas noted to the right.

Vertical white lines show range of stakeholder materiality scores – some stakeholders will value an issue very differently to others. Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 17 the environment

Environmental performance highlights Sustainability We use advanced waste management technologies to deliver a sustainability benefit, but if we use more electricity, fuel and water 9 than the resource and carbon benefit produced, then sustainability Number of landfill sites operated by will be compromised. Therefore, our resource and energy use is Shanks in 2008/09 a key performance indicator

Carbon and energy use data needs careful interpretation. Only using energy consumption data in isolation can result in unwanted 5 effects. For example, a landfill site uses far less electricity than a recycling plant. We must also consider the carbon benefit of recycling Number of landfill sites so that we see the complete picture. This is a complex area and we welcome comments and questions on our carbon data. operated by Shanks in 2013/14

Table 1: Wider environmental indicators: Resources and consumption

Benelux Solid Waste Hazardous Waste Organics UK Municipal Group Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 Electricity consumption (’000 KWh) 41154 39477 52887 54958 20669 21419 24139 30604 138849 146458 3 3759 926 12 46632 51329 Gas used at sites and offices (m ) 4503 868 21 25180 3 30572 Fuel use at sites and offices (’000 litres)1 5053 3869 410 548 874 802 1365 1241 7702 6460 Fuel used in waste vehicles (’000 litres) 18697 15362 3078 2743 – 0 2738 2244 24513 20349 Total electricity generated (MWh) 58660 57951 – – 35665 38972 21543 9455 115868 106378 Water used at sites – potable water (’000 m3)2 80 79 139 117 8 32 47 39 274 267 Water used at sites – surface water (’000 m3)2 18 29 3842 3149 – – – – 3860 3178 Water used at sites – groundwater (’000 m3)2 48 47 – – 9 12 – – 57 59 Water used at sites – rain water (’000 m3)2 36 36 20 21 24 – 0.5 0.5 80.5 57.5 Water used at sites – grey water (’000 m3)2 83 84 613 690 81 65 – – 777 839 1. Diesel fuel used (mainly for heavy mobile or static plant). 2. Data rounded to nearest 1,000 m3. 3. Reduction the result of sale of Peckfield Landfill in April 2013, which had electricity generation. Sustainability and  Shanks Group plc  Corporate Responsibility Report 2014 18 the environment

Environmental performance highlights Sustainability

To make the resources data Graph 3: Fuel use at sites and offices Graph 6: Water used at sites 3 presented in the table on Group, ’000 litres Group, 000’ m page 17 more accessible, 2014 6460 2014 267  Efficient and well-managed Group totals are given here 2013 7702 2013 274 operations use less resources as graphs 2014 3178 Graph 1: Electricity consumption Graph 4: Fuel used in waste vehicles 2013 3860 Group, 000’ KWh Group, ’000 litres 2014 146458 2014 20349 2014 59

2013 138849 2013 24513 2013 57

2014 57.5 Graph 2: Gas used at sites and offices Graph 5: Total electricity generated 2013 80.5 Group, m3 Group, MWh 2014 30572 2014 106378 2014 839

2013 51329 2013 115868 2013 777

Key: n Potable water n Rain water n Surface water n Grey water n Groundwater 2. Health and safety Health and safety Health and  Shanks Group plc  Corporate Responsibility Report 2014 20 safety

Health and safety in a high-risk industry

We achieved a highly Health and safety significant 19% reduction in our accident rate in 2013/14 as we continued to embed our safety culture and introduce new initiatives to keep our people safe  The safety of our employees is our top priority

We operate in a high-risk industry with accident practice and to put processes and initiatives in All core safety improvements and initiatives rates that are comparable to the construction place to ensure the safety of all our people. have been captured in a Group Health & Safety and agricultural sectors. The health and safety Action Plan. This plan is developed and of our people is our top priority. Since inception, the Committee has actioned by the Group Health & Safety introduced a range of innovations and Committee, which tracks the outcomes. Our Although our accident rate is low, for the guidelines relating to common standards focus in 2013/14 was on traffic management. waste management industry, we cannot be on non-permanent worker induction, the This will continue in 2014/15, plus initiatives on complacent and we strive to improve our use of mobile telephones and personal fire prevention and improving our safety culture performance by investing in training and entertainment devices, traffic and pedestrian through employee engagement. ensuring our people have the support and segregation and performance reporting. equipment they need. We comply with both We also operate a communications cascade regulatory and tough internal standards and for all of our safety professionals. constantly reinforce the need for safety awareness with our employees. Our Group Health & Safety Award is now an important event in the Shanks calendar and Our Group Health & Safety Committee was set our focus on health and safety is helping us to up to develop our safety culture. It meets six highlight best practice and spread it across times a year to discuss health and safety best the Group. Health and  Shanks Group plc  Corporate Responsibility Report 2014 21 safety

How we performed Graph 1: Long-term more serious Graph 2: Lost time accident frequency, severity rate We were delighted that the accident rate employee accident performance and more serious accident rates  across our facilities fell by 19% in 2013/14, >3 day accident rate 2012-2014 Key to terms used in enabling us to achieve our five-year target a 2014 1950 health and safety data, year ahead of schedule. The improvements 450 tables and graphs were led by our Belgium operations but were 2013 2400 spread across the Group. 400 All graphs and tables: more serious accident rate – any injury to 2012 2600 an employee which results in more 350 than three days’ absence from work This is evidence that the safety culture being (note – sometimes called reportable 2011 3000 accidents, although definition is nurtured by our Group Health & Safety internal and not regulatory).

300 Health and safety Committee is taking root. Our Group Safety 2010 3100 All graphs and tables: LTA (lost Award attracted 34 entries and was won by time accident) injury – any injury to an 2009 3300 250 employee which results in at least one a communications campaign created by our day’s absence from work. solid waste operations in , which 2008 2700 200 Table 1 and graph 1: more serious shares knowledge of lock-off procedures. and LTA accident rates – total accident figures do not allow adequate 2007 2900 150 comparisons to be made over time Everyone at Shanks has played a part in the as employee numbers can, and do, change. The accident rates quoted are improvement and our directors and senior 2006 3100 per 100,000 employees which provide 100 a truer measure of performance. managers have made more than 150 visits to 2005 3800 sites to provide leadership on safety issues. Graph 2 – LTA frequency: number 50 of lost time employee accidents per Our traffic safety initiative alone has led to more 100,000 days worked. This data is 2004 3600 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar presented on a rolling 12 month basis. than 1,000 detail improvements and reduced 2012 2013 2014 traffic-related accidents over the year by more 2003 4200 Graph 2 – incident severity rate: average number of days lost per lost than a quarter. time employee accident. This data is 2002 5000 Key: presented on a rolling 12 month basis. n Lost time incident frequency n Incident severity rate n >3 day accident rate In the coming months, we will be introducing Graph 2 – >3 day accident rate: as above, but at a rate of 10,000 the second phase of this traffic safety initiative, employees to allow comparison with with the aim of cutting traffic accidents even LTA and severity rates on one graph. further. We are also improving our near miss and hazard reporting systems so that these can be included in our performance reports. Table 1: Employee accident performance1 2013 2014 We will also be striving to deliver improvements Number of Number Number of Number in our fire safety performance through a set of Total number LTA more serious More serious of fatal Total number more serious More serious of fatal of LTA rate accidents accident rate accidents of LTA LTA rate accidents accident rate accidents common fire management standards and Benelux Solid Waste 85 3700 76 3300 0 58 2950 55 2700 0 enhanced fire risk management surveys. Hazardous Waste 5 650 5 650 0 4 500 4 500 0 Organics 3 4300 0 0 0 4 5550 1 1400 0 UK Municipal 29 3200 17 1850 0 45 5500 12 1450 0 Group 122 3000 98 2400 0 111 3100 72 1950 0

1. See key right for accident type and rate definitions. Health and  Shanks Group plc  Corporate Responsibility Report 2014 22 safety

communications Vlaanderen NV (Gent, and engagement Kortemark and Roeselare) A campaign to and Wood Products NV promote the correct use (Wielsbeke and Bree) got of lock-off procedures won together to share knowledge the Shanks 2014 Group and improve their Safety Award. communication of lock-off procedures. The campaign Accidents resulting from by Solid Waste – Belgium Health and safety failures in lock-off with included a range of plant and equipment are communication tools, from an ongoing risk at our posters and reminders to sites. Investigations into clear training processes this type of incident often and checks. reveal that a lock-off procedure was in place, Geoff Smallwood, Group but that employees either Health and Safety and ignored it or did not follow Risk Manager, says: “This the procedure correctly. winning entry shows the importance of employee To ensure all employees communication, engagement are fully aware of the risks and training in ensuring and what to do, Shanks lock-off is effective.”

Case study

SWITCHED ON TO // This winning entry shows the importance of employee LOCK-OFF SAFETY engagement and training //

 Training and communication are critical to good lock-off Health and  Shanks Group plc  Corporate Responsibility Report 2014 23 safety

e made more management sites are than 1,000 caused by traffic – more Case study W individual than double any other improvements to traffic specific cause such as safety across Shanks sites machinery accidents in 2013 as a result of our or falls. traffic safety initiative. IMPROVING Geoff Smallwood, Group The initiative required Health and Safety and every Shanks site to Risk Manager, says: conduct an in-depth “Our initiative quantifiably SITE TRAFFIC assessment of traffic improved our site traffic Health and safety safety and to identify safety, but there is still opportunities for more that we can do. Traffic improvement. Our safety is an area of SAFETY divisional safety leads ceaseless improvement tracked the quality and for us and one we will never implementation of be satisfied with until we identified actions to have zero accidents.” ensure their effectiveness. We launched a second It is estimated that more wave of traffic safety than 20% of all fatal assessments in accidents at waste March 2014.

// Our initiative quantifiably improved our site traffic safety, but there is still more that we can do //

 Traffic is the most common cause of fatal accidents on waste management sites 3. Our people Our people Our  Shanks Group plc  Corporate Responsibility Report 2014 25 people

Our people are the cornerstone of our business. Realigning our organisation Having the right people in place – and ensuring In the last 12 months we have implemented Our values, they are supported, developed and motivated significant organisational changes to align our – is crucial to our success. It is through them business with changing market and customer culture and people that we deliver value to our customers, engage demands, as well as make us more effective with our local communities, and generate and efficient. These changes have included: Our people are passionate about returns for our shareholders. what they do and the way they do • Creating Shared Service Centres (SSCs) in Today, we have more than 3,500 employees Belgium and the Netherlands to improve and things, and that’s what makes them working across the Group. We aim to provide all centralise our common support functions our key asset of them with what they need to perform to their maximum potential in a safe and inspiring place • Exiting the UK solid waste market and to work. We strive to communicate and engage reshaping the UK business as the effectively with them through multiple channels. UK Municipal Division, including the We also dedicate significant effort to supporting appointment of Managing Director, our people as we change the shape of our Peter Eglinton business to meet customer and market needs. • Encouraging cross-divisional mentoring and The Board and Group Executive Committee collaboration to improve knowledge-sharing

are determined to achieve Shanks’ goals at and delivering together Our people pace and to outperform in our markets. To do this, we have identified four levers where we will • Fostering cross-divisional excellence focus organisational and leadership effort: in finance, health and safety, environmental, communications, • Refresh and embed our values as we drive HR and other support functions the business forward Engaging and supporting our people • Realign our organisation to meet changing We recently launched our first Group-wide market and customer demands employee survey, called Pulse. This survey allows us to gain an accurate picture of our • Engage and support our people to thrive employees’ perspectives on many aspects through change of our business. It also identifies specific areas where we can work together to improve • Improve the development and recruitment performance and engagement at all levels of talent of the organisation.

 Baled recycled product awaiting off-take Our  Shanks Group plc  Corporate Responsibility Report 2014 26 people

Over the year, we have developed improved our existing performance and develop our Attracting, retaining and Our Group-wide performance and communication channels to ensure our people safety culture. The Committee meets six developing top talent development review (PDR) system are knowledgeable about our business and times a year to discuss health and safety best We want to attract, grow and retain strong empowers our people to manage their industry, and also feel informed and supported practice and to put procedures in place to people who have excellent skills and live our own performance and development. in what they do. These channels include: ensure that all of our people are correctly values. Over the year, we have hired high-quality The system supports our people with trained and able to work in a safe environment. talent and have also developed high-potential coaching from their line managers to • Our Group-wide internal magazine The launch of our Group Health & Safety managers into broader new roles. We have also review performance, set objectives and Shanks Matters Award in February 2013 continued its invested in apprenticeships and graduate create development opportunities through success in 2014. trainee schemes across the business. on-the-job coaching and formal training plans. • The SpeakUp whistle-blowing service, which allows our employees to report any wrong-doing in the workplace in a completely confidential manner Table 1: People performance • The launch of our Group-wide collaboration Benelux Solid Waste Hazardous Waste Organics UK Municipal6 Group tool called ConnectUs, which will dramatically Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 improve communication, skills and knowledge Total number of permanent employees1 2285 2209 749 810 77 72 900 821 4011 3912 sharing, and overall productivity Number of operational employees 1789 1662 490 519 47 45 556 497 2882 2723

Number of administration, support, etc. employees 496 547 259 291 30 27 344 324 1129 1189 Our people In addition, we continue to do all we can to Number of male permanent employees4 1939 1930 644 697 63 59 738 457 3384 3143 ensure our people are able to work in a safe Number of female permanent employees4 346 246 105 115 14 13 162 123 627 497 environment. The Group Health & Safety Number male statutory directors2,4,5 – – – – – – – – –7 34 Committee was set up in 2012 to challenge Number statutory female directors2,4,5 – – – – – – – – –7 2 Number male senior executives/directors3,4,5 – – – – – – – – –7 7 Number female senior executives/directors3,4,5 – – – – – – – – –7 3 Number of full-time permanent employees 2132 2044 661 718 66 62 880 794 3739 3618 Number of part-time permanent employees 153 165 88 92 11 10 20 27 272 294 Permanent employee turnover (% replacement) 8 9 6 6 18 16 23 648 11 208 Average number of years service 10 10 10 10 3 4 6 6 9 9 Number of training days per permanent employee 1.4 1.2 8.0 9.3 2.9 3.0 3.0 3.1 3.5 3.3 Number of non-permanent employees (full time equivalents) 211 177 82 128 14 10 130 153 437 468 Number of cases of discrimination against employees – – – – – – – – – – % of employees covered by joint management / worker safety consultation committees 84 84 100 100 100 100 85 100 88 91

// We have invested in 1. Divisional employee numbers are by divisional reporting line and may vary from those contained in Shanks Annual Report and Accounts. 2. Statutory directors only as listed in company data given. apprenticeships and 3. Other senior executives/directors such as divisional MD direct reports. Note – not including statutory directors noted in the lines above to avoid double-counting. 4. Male and female splits are as at year-end for reporting rules reasons, whereas total employee figures are averages – that is male and female splits may not total to average number of employees. 5. Director and senior executive data only given as Group totals. graduate trainee schemes 6. Includes Group central services. 7. Data not collected on a consistent basis for 2013. across the business // 8. Figure affected by the sale of UK commercial waste sites in December 2013. Our  Shanks Group plc  Corporate Responsibility Report 2014 27 people

ven in a workplace to resolve a problem, full of remarkable assisting other teams or E people, some just always being willing to stand out. These are the help and go the extra mile; people who go above and any employee is eligible for beyond their everyday the award. work to accomplish impressive results. At To further our recognition Shanks, we recognise initiatives, we also those achievements and launched the Teamwork reward the efforts of those Award. Teamwork is one who, on behalf of all of us, of our newly launched core go above and beyond. values and is an integral part of our business. The Above and Beyond The award recognises Award is a Group-wide cross-divisional working initiative which was and demonstrates that launched in 2013 to teamwork enables us to recognise these people. be stronger together.

The Group Executive Our people Committee selects an The winners of these employee from each awards are the workplace division to win the leaders that we look sought-after award. up to, no matter what Whether that is helping their role.

Case study

ABOVE AND // The award demonstrates that teamwork enables us to BEYOND be stronger together //

 Going above and beyond to provide excellent customer service 4. Community relations Community relations Community  Shanks Group plc  Corporate Responsibility Report 2014 29 relations

Being part of the community We work closely with our local communities and strive to be transparent, flexible and a good neighbour

 We work in the community and strive to work with the community

Although our activities have significant We believe that we have a responsibility to the performance measures. We seek to address advantages for society in terms of carbon communities where we operate, but excellent any concerns through an open discussion avoidance and resource use, the advanced community relations are also critical to our and to explain the sustainability benefit of technologies and processes we operate are business. All of our facilities have a permit to our operations.

relatively new and we must, therefore, engage, operate that requires us to consult with the Community relations inform and educate those living closest to our public and remain open to scrutiny. If we did We firmly believe that our activities are both facilities. not engage with local people, it could ultimately safe and support a general desire within have a detrimental effect on our ability to do society to handle waste sustainably. We That is why, for example, an education centre business and to generate wider sustainable recognise, however, that some neighbours will be included within our new South Kirkby benefits through our activities. may have concerns. By talking to them and treatment facility in the UK, which is currently understanding their point of view, we can // Our community neighbours under construction and will treat up to 230,000 Therefore, our community neighbours across address issues and modify our processes tonnes of a year. The all of our sites are key stakeholders. Their voice where necessary. across all of our sites are centre will teach local children what we do with has weight and we consider the nature of their key stakeholders // the things they throw away. comments and those of regulators as critical Community  Shanks Group plc  Corporate Responsibility Report 2014 30 relations

How we performed We continue to monitor comments from // The comments and residents around our facilities to ensure that we can take action to deal with any nuisance that complaints that we receive are may cause them concern. The comments and complaints that we receive are reported widely reported widely within Shanks // within Shanks, including to our Group Executive Committee and Group Board.

33% reduction in complaints  Making blocks from recycled materials received from our – so saving on resource use neighbours

Table 1: environmental complaints

Environmental complaints received by Shanks sites Solid Waste Benelux Hazardous Waste Organics UK Municipal Group Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 Number of environmental complaints received1 112 41 174 125 153 64 59 106 498 336 Average number of complaints per site 2.6 0.9 13 10 26 10.7 1.5 5.3 4.8 4.0 (out of total number of sites)

1. Includes all complaints (both those substantiated and those not substantiated). Community relations

Table 2: environmental compliance  We remain keen to engage with Compliance performance Solid Waste Benelux Hazardous Waste Organics UK Municipal Group the public and have a dedicated Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 1 2 3 community corporate responsibility Number of environmental convictions and fines 1 3 0 0 0 0 0 1 1 4 email address: 1. Data is for convictions (where the Group goes to court) and significant administrative fines (such as those that can be received in Belgium and the Netherlands). 2. Synopsis of fines: €24,000 relating to dust nuisance at a Shanks Wood Products site, €2,400 relating to paperwork issues regarding a consignment of compost and €2,000 also relating to [email protected] paperwork regarding a waste consignment. 3. Administrative fine of €1,200 relating to incorrect paperwork associated with a consignment of waste. Community  Shanks Group plc  Corporate Responsibility Report 2014 31 relations

n early 2013, Shanks The funding from Shanks was contacted by an enabled several members I organisation called of the orchestra to travel to PYMWYMIC (Put Your Amsterdam to showcase Money Where Your Mouth their talent at a concert. Is Community) about The promotion of the supporting an orchestra orchestra at the concert with a difference. has since lead to the orchestra returning to The Landfill Harmonic Amsterdam on invitation Orchestra is a talented of the Prince Claus Fund. group of young people The orchestra performed from Paraguay who play in front of Prinses Beatrix, musical instruments made the former Queen of from waste. Growing up in the Netherlands. The a village built on a landfill orchestra has been site, the locals decided to awarded a Prince Claus make instruments from the Award for their efforts in rubbish surrounding them; discovering innovative in essence, making more ways of collaboration from waste! using local resources.

Incredible craftsmanship and innovation has gone

into the creation of these Community relations instruments. Violins and cellos have been made  from oil drums, flutes You can watch a short film have been made from showcasing the work of the Case study water pipes, and guitars Landfill Harmonic Orchestra here: have been crafted from http://vimeo.com/52129103 MAKING MUSIC FROM packing crates. RECYCLED WASTE

 Making more from waste musically Community  Shanks Group plc  Corporate Responsibility Report 2014 32 relations

Case study

he number of out manually – a trained assess its severity, the environmental person sniffing to identify e-noses can also track AN ELECTRONIC T complaints our sites odours and their severity. where it came from. An receive from their At our ATM plant, we are odour may have come neighbours has reduced replacing this subjective from the direction of NOSE FOR over time. Of those method with electronic ATM, but if it was present remaining, more than technology in the form upwind of the site then 80% relate to odours. of e-noses. its original source was The accurate assessment elsewhere. ODOURS of these odours is critical Twenty-eight e-noses have to our good community been installed on and E-noses have already relations. around the industrial area identified odours from where ATM is located. ship degassing in the Until recently, odour Besides being able to area near to ATM as a assessment was carried identify an odour and local issue. Community relations

 Good odour data allows us to improve our already high level of control 5. Sustainable management systems Sustainable management Sustainable  Shanks Group plc  Corporate Responsibility Report 2014 34 management

Managing our corporate responsibility performance Effective systems enable us to operate more efficiently and safely

 Waste is sorted on site in preparation for recycling and recovery

A framework of management systems at each We are also included in high-profile of our facilities encourages continuous benchmarking and independently assessed improvement and helps us to maximise schemes, such as the FTSE4Good index and rates and maintain high the Carbon Disclosure Project. We engage standards of health and safety. They also proactively with such bodies to ensure the ensure that our employees are treated ethically specific issues facing waste management and that we address any concerns raised by companies are taken into account within local communities. their ratings. // Robust management Robust management systems are also crucial Outside such assessments we participate systems are crucial to to our business because our customers actively with clients and regulators. For sometimes insist that these systems receive example, our Reym operation was nominated our business // international accreditation. Most of our sites for a Golden Best Practice award in Shell’s have achieved these accreditations in areas CASOS safety scheme, and Shanks UK’s Sustainable management such as environmental management, health approach to safety leadership features in a and safety, and quality. best practice case study on the British Health and Safety Executive’s website. Sustainable  Shanks Group plc  Corporate Responsibility Report 2014 35 management

How we performed Table 1: formal management systems performance We measure our performance in this area on the number of management systems Number of sites accredited to formal accreditations that our operations hold. During management systems standards Solid Waste Benelux Hazardous Waste Organics UK Municipal1 Group the year, sites across the Group held a total of Indicator 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 238 accreditations. We have given more detail IS0 14001/EMAS 31 29 16 17 – – 39 20 86 66 about this in the adjacent table. ISO 9001 34 34 14 15 5 4 39 20 92 73 OSHAS 18001 6 6 15 16 – – 39 20 60 42 SCC/VCA 21 19 14 15 – – – – 35 34 Other 13 11 10 12 3 3 – – 26 26

1. UK Municipal data affected by sale of commercial waste sites in late 2013  Key to terms used in management systems table

ISO 14001/EMAS: international environmental management standards.

ISO 9001: international quality standard.

OHSAS 18001: international health and safety standard.

SCC/VCA: national health and safety standards.

Other: national and international 238 accreditations relating to activities total accreditations on such as tank cleaning and sites across the Group composting standards. Sustainable management

 External accreditations assure us of the quality of our management systems Sustainable  Shanks Group plc  Corporate Responsibility Report 2014 36 management

Case study MANAGING AN EMERGENCY AND GETTING BACK TO BUSINESS AS NORMAL

o matter what diverted to other sites. precautions we Once the fire had been N take, sometimes extinguished, Vliko’s things don’t go to plan. management utilised the In these situations, how expertise of other parts of we react to an emergency the Shanks Group to get is critical. In August 2013, back to business as a fire broke out at our Vliko quickly as possible. site in the Netherlands. The likely cause of the fire This quick and effective was a hot object in waste management meant Vliko received. The site suffered was able to receive waste significant damage, with again only seven days after two out of four waste halls the fire started. Customers destroyed and the loss of didn’t suffer, and diverted much recycling equipment. waste was managed largely by other Shanks Prompt action by site sites in the region. management meant that none of the site’s waste Sustainable management collection vehicles were damaged and customers’ waste continued to be collected as usual and  Vliko – working as usual despite suffering a fire Sustainable  Shanks Group plc  Corporate Responsibility Report 2014 37 management

Corporate responsibility framework Our senior Corporate Responsibility specialists drive improvements and provide expert advice to our Group Executive Committee

 Our CR and Health & Safety Committees visit our sites routinely to assess operations

Our Corporate Responsibility (CR), Health provide independent commentary on our // Segregating pedestrians & Safety, and Risk committees monitor our CR and health and safety standards as well sustainability strategy and the way we do as defining performance improvements. and vehicles has played an business. They are comprised of senior sector and technical specialists whose role Our Health & Safety Committee, for example, important part in reducing is to drive improvements in these areas. formulated a Group-wide traffic safety programme aimed at segregating pedestrians our accident rate // The committees report to the Group Executive and vehicles, which has played an important Sustainable management Committee on CR, health and safety and risk part in reducing our site traffic accident rate performance monitoring, reporting, policy by 25%. formulation, and communications. They also Sustainable  Shanks Group plc  Corporate Responsibility Report 2014 38 management

Our Corporate Governance reporting management framework Committee site visits 2013/14 Each year our CR and Health & Safety Committees visit a series of sites, providing an opportunity for our most senior environmental and health and safety professionals to see first hand how policies are being implemented on Shanks Group plc a local level. Board This process allows them to talk face-to-face with employees who have responsibility for Audit Remuneration Nomination Principal Board on-site practices. Structured reports from these Committees visits are distributed widely across the Group, including to the Group Executive Committee Group Executive Executive and Group Board. Committee Management The visits cross geographies and divisions Corporate Health Specialist Risk to provide a holistic view of the situation. In Responsibility* and Safety* Committees addition, some committee members visit sites separately throughout the year. Divisional Operating Management Divisions The committees’ 2013/14 programme included *Additional reporting line to Group Board the following formal site visits:

• Vliko recycling facility, the Netherlands

• Kluivers recycling facility, the Netherlands

• Seraing recycling facility, Belgium

• Liege household collections operation, Belgium

• Westcott anaerobic digestion facility, UK Sustainable management Further  Shanks Group plc  Corporate Responsibility Report 2014 39 information WANT TO KNOW MORE?

More about our Want to see Want to know how we Want to know about our Want to know more about Want to learn CR performance detailed data? calculate CR data? reporting and GRI? our strategy and financial more about our Our CR Report is one of many This report offers a summary Our CR indicators document The performance data and performance? operations? resources that we make of our performance. Our defines what we measure and narrative in our CR Report and Our Annual Report provides As well as Group documents, available to describe our Group website provides how these measurements are other published information is more information on Shanks some of our operating divisions approach and performance divisional level information and calculated. It also describes based on the requirements of Group, including our vision, produce their own reports. around sustainability. Other more detail on all aspects of the rules that we define and the Global Reporting Initiative strategy, operations, people, These documents can be detailed information is our CR performance. See our follow in our reporting. Our (GRI). Our response to risk, and financial performance. viewed at the divisional web available through our Group full CR data document using CR indicators document is GRI can be viewed using Annual Reports and other addresses shown in the website, and questions or the link below. available using the link below. the link below. corporate information can be contacts section of this report. issues can be raised using the viewed using the link below. details provided in the contacts section of this report or by using our CR information email address:

[email protected]  www.shanksplc.com/our-responsibilities/cr-reports  www.shanksplc.com/investor-centre

Do you have a comment or question on our CR Report or associated activities?  Please contact us at [email protected]. If you do not have access to email please refer to the details at the end of this report. Further  Shanks Group plc  Corporate Responsibility Report 2014 40 information

CONTACTS

Further information about Principal offices our operations, CR Reports and other publications can be Corporate Head Office Netherlands Solid Waste Division Belgium Solid Waste Division Shanks Group plc Shanks Nederland B.V Shanks Belgium obtained from our website: Dunedin House Lindeboomseweg 15 Corporate Village www.shanksplc.com Auckland Park, Mount Farm 3828 NG Hoogland Leonardo Da Vincilaan, 2 Milton Keynes The Netherlands 1935 Zaventem Buckinghamshire MK1 1BU Tel: 00 31 (0) 332 050 200 Belgium For information about our Tel: 00 44 (0) 1908 650580 Fax: 00 31 (0) 332 050 211 Tel: 00 32 (0) 247 710 00 Fax: 00 44 (0) 1908 650651 website: www.shanks.nl Fax: 00 32 (0) 272 124 54 divisional operations please website: www.shanksplc.com email: [email protected] website: www.shanks.be refer to the contacts opposite email: [email protected] email: [email protected] Hazardous Waste Division Registered Office Shanks Hazardous Waste Organics Division Shanks Group plc Computerweg 12D Orgaworld Nederland B.V 16 Charlotte Square Postbus 1545 Pettelaarpark 101 Edinburgh 3821 AB Amersfoort 5201 GB ‘s- Hertogenbosch EH2 4DF Tel: 00 33 455 88 90 The Netherlands Registered in Fax: 00 33 456 25 81 Tel: 00 31 (0)73 687 26 00 No. SC077438 website: Fax: 00 31 (0)73 687 26 09 www.shankshazardouswaste.com website: www.orgaworld.nl UK Municipal Division email: [email protected] email: [email protected] Shanks Waste Management Limited Dunedin House Auckland Park, Mount Farm Milton Keynes Buckinghamshire MK1 1BU Tel: 00 44 (0) 1908 650650 Sustainable management Fax: 00 44 (0) 1908 650699 website: www.shanksmunicipal.co.uk email: [email protected]