Climate Change Data

Environmental Metrics

ESG Focus Areas

• Personal, process, transportation and product safety
• Greenhouse gases and air emissions
• Business ethics
• Product sustainability

Environmental Achievements

• Received the Minister's Award for Environmental Excellence from the Ontario Ministry of Environment and Climate Change for work to transition the Corunna facility from oil-based to primarily ethane-based feedstock, resulting in significant reductions in emissions of sulfur dioxide and nitrogen oxides and carbon dioxide.
• Achieved zero NARs (non-accident releases) for the third consecutive year and for five out of the past six years.
• Opened the NOVA Chemicals Community Nature Trail around our Joffre Site to the public.

Social Achievements

• Achieved an overall engagement score of 87 percent in the employee survey.
• Launched the 1NOVA Program to standardize processes across locations.
• Invested more than $2.3 million to support community organizations; over 1,000 employees volunteered 6,800 hours.

Governance Achievements

• Adopted an anti-corruption policy.
• Updated the Code of Conduct training course.
• Reviewed 80 matters related to ethics and compliance.

Climate Goals & Targets

Environmental Challenges

• Contractor fatality at the Joffre Site.
• Did not meet desired safety performance for employee injury rates.
• Defining the implications of upcoming more stringent air emissions regulations.
• Understanding water scarcity and advancing the dialogue on responsible water use management.
• Broadening our perspective of potential improvements in our operations, feedstocks and products, as a result of recent climate change regulations.
• Meeting increasingly complex regulatory processes and associated stakeholder consultation, to support operations and growth.
• Supporting the higher level of interactions required during expansion construction projects.
• Adopting stricter global regulations for chemical registration and for end uses (e.g., food contact).
• Implementing and leveraging our investment in systems to manage product safety information.

Mitigation Strategies

• Launched the 1NOVA Program.
• Established a task force of experts to investigate the incident and implement learnings, resulting in a new company-wide crane and hoisting standard.
• Established a Crane and Hoisting Council.
• Updating the RCMS (Responsible Care Management System) to ensure company-wide standards and procedures.
• Established a Greenhouse Gas Steering Team.
• Good Neighbor Strategy to proactively identify opportunities and issues related to construction in our manufacturing sites.
• Developed a testing protocol for products coming from the new production line at our Joffre, Alberta site.
• Providing product safety information to more than 1,000 stakeholders.

Supply Chain Management

Supplier Audits: Three internal and three external audits of loading processes in 2016; third-party motor carrier evaluations at five carrier locations in 2016.

Responsible Procurement

• Responsible Care Outreach program
• Suppliers and raw materials are checked for compliance with chemical control regulations, quality, Responsible Care and integrity expectations, and trade compliance.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G4 Sustainability Reporting Guidelines – Core Option

Sustainable Products & Innovation

• All-polyethylene multilayer film structure design for stand-up pouches (fully recyclable).

Awards & Recognition

• Ontario Ministry of Environment and Climate Change 2016 Minister's Award for Environmental Excellence

Environmental Metrics

ESG Focus Areas

• Plastics Circular Economy
• Sustainability Citizenship
• Climate Care
• Sustainability in Operations

Environmental Achievements

• Reduced GHG intensity by 4 percent in the last five years
• Reduced GHG emissions by 110,000 tonnes of CO2e through two projects (furnace revamp and equipment improvement)
• Diverted more than 18,000 tonnes of waste from landfill (54% of company-wide waste)
• 30 percent reduction in VOC emissions from 2018 levels at the Moore site
• NOX emissions reduced by approximately 120 tonnes per year at Joffre site

Social Achievements

• Achieved lowest recordable injury rate in 10 years
• Launched six Life Saving Rules to improve safety
• Employees volunteered more than 6,000 hours
• Developed a new Inclusion and Diversity Strategy

Governance Achievements

• Integrated multiple Responsible Care Councils into eight functional Strategy Teams
• Began transitioning all facilities to RC14001 management system
• Implemented a new ethics and compliance incident management system

Climate Goals & Targets

Environmental Challenges

• Increased absolute GHG emissions due to increased production
• Climate-related risks (extreme weather events)
• Regulatory changes related to carbon pricing (Canada and US)
• Water scarcity in different regions

Mitigation Strategies

• Developed a strategic GHG management framework with decision-making tool and carbon pricing in capital planning
• Adjusted corporate risk register to reflect increased risk of extreme weather events
• Set an internal price on carbon for project decision-making
• Developing a company-wide water strategy to identify opportunities to improve water use

Supply Chain Management

Responsible Procurement

• Internal and third-party screening of suppliers
• Responsible Care Outreach Program

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events, floods, severe weather storms, drought conditions

Transition Risks

• Regulatory changes related to carbon pricing

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: RC14001 (two US facilities)

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 14 (Life Below Water)

Initiatives related to GHG emissions reduction, plastics circular economy, and ocean health

Sustainable Products & Innovation

• Seven new PE resins designed for multiple recycling cycles

Environmental Metrics

ESG Focus Areas

• Plastics Circular Economy
• Climate Care
• Inclusion and Diversity

Environmental Achievements

• 20,582 KG OF WASTE diverted from the landfill as of November (includes 187 KG of face coverings, 3,430 KG of refundables, and 16,970 KG of recyclables/organics)
• Rethink Recycling initiative launched, resulting in NOVA’s December 2021 Nature Award for Outstanding Sustainability Success
• Successful Operation Clean Sweep® campaign with employee and contractor pledges to prevent resin pellet, flake and powder loss
• Nearly 15,000 seedlings planted in 23 years (800 in 2021)

Social Achievements

• Successful United Way campaign raising $677,000 for United Way Central Alberta
• $160,000 presented to the United Way Central Alberta and $25,000 to the Red Deer Food Bank through the COVID Recovery Fund
• 14 leaders, nine employees and two retirees volunteered in the United Way Day of Caring™ Program
• Various community support initiatives including Red Deer River Clean-up, Great Canadian Shoreline Clean-up, and support for youth groups

Governance Achievements

• First-ever Climate Conference held in late August with 44 leaders providing input on Climate Care strategy
• Publication of the 2020 Environmental, Social, and Governance (ESG) Report

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting in-person events and activities
• Supply chain disruptions (implied)

Mitigation Strategies

• Modified activities to comply with COVID protocols (virtual events, controlled in-person events)
• Work from home policy for non-site-critical employees

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• NOVA’s December 2021 Nature Award

Environmental Metrics

ESG Focus Areas

• Plastics circular economy
• Climate care
• Inclusion and diversity

Environmental Achievements

• Advanced the plastics circular economy by increasing the market for recycled plastic and the recyclability of plastics. We entered new collaboration agreements, shipped railcar quantities of recycled polyethylene (rPE) resin and introduced next-generation moisture barrier resin, that expands the recyclability of food packaging applications.
• Changed the trajectory of our carbon emissions by identifying renewable energy; carbon capture, utilization, and storage (CCUS); clean hydrogen; and game-changing technology as key solutions to reducing our carbon footprint.

Social Achievements

• Created our first-ever employee Inclusion and Diversity Council as part of our Inclusion and Diversity Strategy.
• Achieved strong safety performance with a 0.27 combined employee and contractor recordable injury rate.

Governance Achievements

• Received a Silver Rating by EcoVadis®, placing us in the top 15 percent of companies in our industry assessed by EcoVadis.
• Developed a Supplier Code of Conduct outlining expectations of suppliers in areas such as human rights, health and safety, environment, and more.

Climate Goals & Targets

Environmental Challenges

• Challenges in our supply chain from the pandemic, weather events, and energy market dynamics

Mitigation Strategies

• Delivered sector-leading business results and improved safety performance because of the collaboration and resilience of our employees and partners throughout our ecosystem.

Supply Chain Management

Supplier Audits: Using EcoVadis and ISNetworld® software to assess and score the sustainability performance and management systems of our key supply partners.

Responsible Procurement

• Supplier Code of Conduct
• Sustainable Procurement Policy
• Business Partner Due Diligence Program

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Changing temperatures
• Water availability

Transition Risks

• Regulatory changes related to carbon pricing
• Net-zero carbon commitments
• Paris Agreement

Opportunities

• Demand for lower-carbon products
• Demand for recycled products
• Attention to hydrogen

Reporting Standards

Frameworks Used: GRI Standards (Core level), UN Sustainable Development Goals (SDGs), Sustainability Accounting Standards Board® (SASB) Standards

Certifications: RC14001 (US sites)

Third-party Assurance: Dillon (Canadian assets’ 2021 GHG emissions data for regulatory purposes)

Sustainable Products & Innovation

• Ready-to-recycle resins
• rPE resins
• Next-generation moisture barrier resin

Awards & Recognition

• Silver Rating by EcoVadis®

Environmental Metrics

ESG Focus Areas

• Circular Economy
• Decarbonization
• Sustainability

Environmental Achievements

• Building a mechanical recycling facility in Connersville, Indiana to recycle plastic film.

Social Achievements

• Creating approximately 125 full-time local jobs in Connersville.

Governance Achievements

• Released its first ESG report in 2022, including TCFD aligned disclosures.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: TCFD

Sustainable Products & Innovation

• Recycled polyethylene