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