Climate Change Data

FUJAIRAH CEMENT INDUSTRIES (P.J.S.C)

Climate Impact & Sustainability Data (2020, 2022, 2023)

Reporting Period: 2020

Environmental Metrics

ESG Focus Areas

  • Climate protection and CO2 management
  • Responsible use of energy and materials
  • Employee Health and Safety
  • Emissions monitoring and reporting
  • Local impacts on land and communities

Environmental Achievements

  • Reduced dependency on electricity supplied by Federal Electricity & Water Authority (FEWA) by 1.64%
  • Used waste materials like used carbon dust, used bag filters, wooden waste, and waste tires as alternative fuel
  • Green Belt Development (Tree Plantation) in FCI & Camp Accommodations: 25,000 AED invested
  • DUSTEX Spray on Quarry Roads to control Fugitive Emissions: 150,000 AED invested

Social Achievements

  • Conducted 11 PCR swab tests for employees during July-December 2020 in response to the COVID-19 outbreak
  • Administered COVID-19 vaccine to over 93% of employees
  • Invested 1,975,000 AED in cash support to National Public Benefit Organizations and organizing National Festivals
  • Provided training opportunities for university students
  • Provided cement to assist low-income citizens

Governance Achievements

  • Obtained ISO-9001:2015 Re-certification on Quality Management System
  • Obtained ISO-14001:2014 Re-certification on Environmental Management System
  • Implementing ISO-17025:2017, Laboratory Management System

Climate Goals & Targets

Environmental Challenges

  • COVID-19 pandemic
  • Flash flooding damaging roads
Mitigation Strategies
  • PCR testing and vaccination of employees
  • Road repairs in Taween Quarry Road (1,800,000 AED invested)
  • Massive sterilization in the factory and camp accommodation
  • Employee compliance with COVID-19 safety rules

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks
  • Flash flooding

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:700 Gg of CO2 per annum
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:19.77% (WHR)
Total Energy Consumption:19960 MWh (direct) , 179360 MWh (indirect)
Water Consumption:1000 m3/day
Waste Generated:Not disclosed
Carbon Intensity:0.310 kg CO2/ton of clinker

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Reduced greenhouse gas emissions to 0.310 kg carbon dioxide per ton of clinker.
  • Replaced 10% of coal with carbon dust waste from the aluminum industry as alternative fuel.
  • Developed a green belt in the quarry area and planted nearly 15,000 trees.

Social Achievements

  • Provided training programs for employees in various professional disciplines.
  • Supported low-income individuals with cement for home maintenance.
  • Sponsored the Eleventh World Conference on Urban Environment 2022.

Governance Achievements

  • Prohibits CEO from serving as board chair.
  • 91% of board seats occupied by independent board members.
  • All employees certified compliance with prevention of corruption policy.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Replace 40% of coal consumption with RDF by 2023.

Environmental Challenges

  • High coal consumption leading to greenhouse gas emissions.
  • Dust emissions from quarry operations.
  • Flash flooding damaging quarry roads.
Mitigation Strategies
  • Using alternative fuels (RDF, carbon dust, waste materials).
  • Developing green belts and spraying roads with dust suppressants.
  • Investing in road repairs after flash floods (225,000 AED).

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier code of conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Flash flooding
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: UN Sustainable Development Goals (SDGs)

Certifications: ISO 14001:2015, ISO 45001:2018

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:1818 Gg CO2e/year
Renewable Energy Share:19.71%

ESG Focus Areas

  • Environmental Stewardship & Decarbonization
  • Resource Recycling and Circular Economy
  • Corporate Governance & Risk Management
  • Employee Diversity and Benefits
  • Society Inclusion & Common Good

Environmental Achievements

  • Reduced Greenhouse Gas emissions to 1818 Gg of CO2 per annum (0.910 kg of CO2 per ton of clinker)
  • 19.71% of total power requirement generated by Waste Heat Recovery Project
  • 10.7% reduction in A4 sheet usage
  • 10.84% utilization of Alternate Raw Material/Fuel
  • Planted more than 15,000 climate-resilient plants, reducing GHG emissions by 325.25 tons
  • Reduced Cement mill consumption to 40 kW/hr/ton

Social Achievements

  • Supported Emiratization by giving preference to local people
  • Provided various employee benefits including life insurance, workman compensation, medical insurance, retirement benefits, and recreation facilities
  • Average Injury Rate of 2.08 with no fatalities
  • Distributed Iftar meals for fasting people
  • Provided upskilling of UAE Nationals/Engineering Graduates
  • Supported schools, social clubs, art and cultural clubs, and various community development initiatives

Governance Achievements

  • One woman representation in the Board of Directors
  • All employees certified compliance with the prevention of corruption policy
  • Implemented information security management mechanism in line with ISO-27001:2013
  • Signed an agreement with ThyssenKrupp Polysius to decarbonize the cement plant

Climate Goals & Targets

Long-term Goals:
  • UAE Net Zero by 2050 Strategy

Environmental Challenges

  • Higher production costs due to rising coal and fuel prices
  • Accumulated losses of AED 130,520,723
  • Current liabilities exceeded current assets by AED 304,875,684
  • Failure to meet certain financial covenants on bank borrowings
Mitigation Strategies
  • Increased cement rate in local and international markets
  • Exploring new markets outside the UAE to maximize capacity utilization
  • Ceased operations of a subsidiary
  • Offsetting losses against voluntary reserve
  • Implementing state-of-the-art technology to enhance waste utilization and reduce fossil fuel consumption

Supply Chain Management

Responsible Procurement
  • Sustainable supplier management
  • Local and green procurement policy

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products
  • Waste Heat Recovery
  • Hybrid Solar Power Plant
  • RDF (Refused Derived Fuel) Project
  • Carbon Capture Project