Climate Change Data

Arab Potash Company (APC)

Climate Impact & Sustainability Data (2020, 2021, 2022, 2023)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:466,758.00 tCO2e
Scope 1 Emissions:451,754.40 tCO2e
Scope 2 Emissions:15,003.60 tCO2e
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:8,418,647.04 GJ
Water Consumption:326,485,582 m3
Waste Generated:4,462.5 metric tons
Carbon Intensity:172.90 kg CO2e/metric ton KCl

ESG Focus Areas

  • Economic Performance
  • Environmental Management
  • Social Responsibility
  • Governance

Environmental Achievements

  • Zero incidents of environmental non-compliance
  • Reduced energy intensity by 5% compared to 2019
  • Reduced emissions intensity by 6.5% compared to 2019
  • Reduced water withdrawal intensity by 9% compared to 2019

Social Achievements

  • Zero cases of discrimination for the second consecutive year
  • JOD 30 million donation to local communities to lessen the repercussions of the COVID-19 pandemic
  • Reduced employee turnover rate by 4% compared to 2019
  • Reduced recordable work-related injury rate by 6% compared to 2019

Governance Achievements

  • Received ISO 45001 certificate for occupational health and safety management
  • Implemented several policies recommended by the Corporate Governance Committee
  • Established several management committees to oversee various aspects of sustainability

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Implement a 10-year Energy Strategy
  • Implement a 10-year Water Strategy
Short-term Goals:
  • Complete rehabilitation works for Dikes 1, 5, and 18 by 2021
  • Increase reservoirs’ storage capacities by an additional 44% in 2021

Environmental Challenges

  • COVID-19 pandemic and associated lockdowns and restrictions
  • Water scarcity in Jordan
  • Increased global supply of potash compared to demand
  • Decline in the net selling price of potash
Mitigation Strategies
  • Developed a robust Management Response Plan (MRP) to navigate the challenges of the COVID-19 pandemic
  • Developed a 10-year Water Strategy to reduce water consumption
  • Implemented cost optimization measures to offset the decline in potash prices
  • Expanded sales to new markets and customer segments

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier evaluation process considering safety and environmental requirements

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: ‘Core’ option

Certifications: ISO 14001:2015, ISO 45001:2018, ISO 9001:2015, ISO 50001:2018

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Alignment with UN SDGs mentioned, but specific goals and explanations are not detailed.

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • King Abdullah II ibn Al Hussein Order for Distinction of the First Degree
  • IFA Gold Award for Excellence (three consecutive years)
  • IFA Industry Stewardship Champion

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:369,979.95 tCO2e/year
Scope 1 Emissions:354,975.68 tCO2e/year
Scope 2 Emissions:15,004.28 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:6,723,622.55 GJ/year
Water Consumption:321,689,404 m3/year
Waste Generated:3,337 tons/year
Carbon Intensity:144.35 kg CO2 eq/mt KCl

ESG Focus Areas

  • Economic Performance
  • Environmental Stewardship
  • People Centricity

Environmental Achievements

  • Zero non-compliance incidents in the past 3 years
  • 22% decrease in energy intensity compared to 2019
  • 22% reduction in emissions intensity compared to 2019
  • 10% water reduction in water withdrawal compared to 2019
  • 25% reduction in waste generation compared to 2019
  • Increased reservoir storage capacity by 44% to 160,000 m3

Social Achievements

  • Received OHS Excellence Award
  • Achieved zero fatalities for 5 years in a row
  • Decreased Lost Time Injury rate by 52% compared to 2020
  • Delivered health and safety training for 317 employees and achieved 1000+ training participation record for internal trainings
  • Delivered safety awareness courses for more than 5,100 contractor workers in 2022 (13% increase compared to 2020)
  • JOD 5,000,000 invested in CSR initiatives in 2021
  • Increased female employee retention by 20% compared to 2020 and 2019
  • Delivered local community trainings for more than 100 participants across 30 key topics

Governance Achievements

  • No reports on governance violations in 2021
  • 96% of Board goals achieved, 100% of Board Committees goals achieved in 2021

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Electrify APC’s solar ponds by 2026
  • Increase potash production capacity by 34%
Short-term Goals:
  • Fully rehabilitate perimeter dikes by 2022

Environmental Challenges

  • Supply chain disruptions due to the COVID-19 pandemic
  • Increased costs of shipping and logistics
  • Increased demand for basic commodities
  • Global manpower shortages
  • Inefficiencies in streamlining logistics
  • Water scarcity
Mitigation Strategies
  • Implemented a Management Response Plan (MRP) to address COVID-19 risks
  • Improved supply chain logistics to optimize shipping and transportation
  • Increased production to meet global demand
  • Developed a water strategy to rationalize water consumption and diversify water resources
  • Rehabilitation and reinforcement of perimeter dikes to reduce seepage
  • Upgrades to wastewater treatment units to enhance treated water usage

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier Code of Conduct
  • Supplier evaluation process considering safety and environmental requirements
  • E-supplier portal

Climate-Related Risks & Opportunities

Physical Risks
  • Water scarcity
Transition Risks
  • Not disclosed
Opportunities
  • Development of energy-efficient products
  • Diversification of energy sources

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards - Core option

Certifications: ISO 14001:2015, ISO 45001:2018, ISO 17025:2017, ISO 9001:2015, ISO 50001:2018, IFA Protect and Sustain certified, Jordan Quality Certificate (JQM), AQIS protocol compliant, SNI compliant

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Red standard potash

Awards & Recognition

  • King Abdullah II Ibn Al Hussein Order for Distinction
  • IFA Product Stewards Excellence Gold Award
  • OHS Excellence Award
  • Best Jordanian product in the chemical and plastic industries sector

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:405,460.7 tCO2e/year
Scope 1 Emissions:382,864.9 tCO2e/year
Scope 2 Emissions:22,595.8 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:7,227,311.90 GJ/year
Water Consumption:13,022,483 m3/year
Waste Generated:4,772.7 tons/year
Carbon Intensity:151.07 kg CO2 eq/metric tonnes KCl

ESG Focus Areas

  • Environmental Stewardship
  • People Centricity
  • Thriving Future

Environmental Achievements

  • Reduced energy intensity by 20% compared to 2019.
  • Reduced emission intensity by 18% compared to 2019.
  • Reduced water withdrawal by 7% compared to 2019.
  • Increased water reservoir capacity by 44%.

Social Achievements

  • 25% decline in Lost Time Injury rate compared to 2020.
  • JOD 7 million invested in CSR initiatives.
  • 18,499 hours of collective training provided to employees.
  • Zero discrimination incidents recorded in 2022.

Governance Achievements

  • Zero governance violations reported in 2022.
  • 98% of Board goals achieved.
  • 100% of Board Committees goals achieved in 2021.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • High price of electricity and scarcity of water.
  • Fluctuations in fertilizer prices due to global conflicts and economic pressures.
  • Supply chain disruptions.
  • Vulnerability to natural disasters (floods, earthquakes).
Mitigation Strategies
  • Implemented measures to ensure efficient and reliable energy supply (natural gas, HRSG, emergency generator).
  • Developed a water strategy including drilling new wells, increasing storage capacity, and utilizing alternative water sources.
  • Implemented business continuity plan.
  • Developed an administrative response plan with a comprehensive evaluation model.
  • Ongoing dike maintenance and reinforcement.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier Code of Conduct
  • Supplier evaluation process considering safety and environmental requirements
  • Online supplier registration portal
  • I-sourcing system for automated bidding.

Climate-Related Risks & Opportunities

Physical Risks
  • Flooding
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: GRI 2021 Sustainability Reporting Standards, UN SDGs, Amman Stock Exchange Guidance on Sustainability Reporting

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, ISO 50001:2018, ISO 17025:2017

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • 2022 IFA Green Leaf Award (2nd place)
  • 2022 IFA Industry Stewardship Champion label

Reporting Period: 2023

Environmental Metrics

Waste Generated:6,783 tons/year
Carbon Intensity:151 kg CO2e/metric tonne of KCl

ESG Focus Areas

  • Environmental Stewardship
  • People Centricity
  • Robust Governance

Environmental Achievements

  • 18% decrease in overall emissions intensity compared to 2019 baseline
  • 4.4% decrease in specific water consumption compared to 2022 despite increased production
  • Initiated licensing for 50 MWp solar plant wheeling project
  • Installed 0.587 MWp solar system
  • Reduced energy intensity by 22% compared to 2019 baseline
  • Maintained zero environmental non-compliance incidents for five years

Social Achievements

  • 92% employee satisfaction rate
  • 54% reduction in Lost Time Injury rate compared to 2022
  • 20,654 hours of employee training
  • JOD 7 million invested in CSR initiatives
  • 430 university scholarships overseen

Governance Achievements

  • Zero instances of reported governance violations
  • Established a dedicated Sustainability Unit
  • Awarded Silver Medal by EcoVadis

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Achieve significant increase in renewable energy share by 2030
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Global supply chain disruptions due to the Russian-Ukrainian war and tensions in the Red Sea
  • Volatility in fertilizer prices leading to a 40% decrease in potash sales value compared to 2022
  • Water scarcity in Jordan
  • High energy costs in Jordan
Mitigation Strategies
  • Revised procurement manual to include leading industry practices and ethical and environmental considerations
  • Expanded footprint by establishing a representative office in Brazil
  • Developed alternative sourcing strategies for maritime shipping through the Red Sea
  • Implemented measures to manage water consumption, including automation of water stations and installation of a surface water collection system
  • Developed strategies to mitigate energy costs and boost sustainability, including feasibility studies for renewable energy sources

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct
  • Procurement Policy
  • Revised procurement manuals
  • Procurement Annual Plan
  • I-Supplier Portal
  • I-Sourcing System

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI 2021 Sustainability Reporting Standards, UN SDGs, Amman Stock Exchange (ASE) Guidance on Sustainability Reporting

Certifications: ISO 9001:2015, ISO 45001:2018, ISO 14001:2015, ISO 50001:2018, ISO 17025:2017

Sustainable Products & Innovation

  • Biodegradable water preservatives

Awards & Recognition

  • Silver Medal by EcoVadis