Introduction

Vision and Strategy

Profile

Governance and Management Systems

Economic Performance Indicators

Environmental Performance Indicators

Additional Environmental Performance Indicators

Social Performance Indicators

GRI Indicator BHP Billiton
2004 HSEC Report
Section		 BHP Billiton
2004 HSEC Report
Sub-section		 Reference in Full Report
Governance and Management Systems
3.1 Governance structure of the organisation, including major committees under the Board of Directors that are responsible for setting strategy and for oversight of the organisation Sustainability at BHP Billiton Governance
  • 2nd paragraph: ‘Our approach to corporate governance is detailed in the Corporate governance section on our website (see www.bhpbilliton.com/bb/aboutUs/ governance.jsp) and also within our financial Annual Report (see www.bhpbilliton.com/bb/investorCentre/ annualReports.jsp).’
Governance – HSEC governance – Structure and responsibilities
  • 2nd paragraph: ‘... the Company’s peak HSE governance body is the HSE Committee, which is a subcommittee of the Board.’
  • Diagram – ‘HSEC organisation structure’.
Governance – HSEC governance – Structure and responsibilities – HSE Committee of the Board membership
  • Provides photographs and details on the background/skills/experience of each member of this Committee.
Governance – HSE governance – Policy, standards and systems – Global Ethics Panel
  • 1st paragraph: ‘The Global Ethics Panel comprises business representatives and corporate representatives from relevant functional areas (i.e., Group Audit Services, Human Resources and Legal) and two external representatives.’
3.2 Percentage of the Board of Directors that are independent, non-executive Directors Sustainability at BHP Billiton Governance – HSEC governance – Structure and responsibilities
  • 2nd paragraph: ‘Current membership of the Committee comprises two executive Directors; a non-executive Director (who is Committee Chair); the Vice President Health, Safety and Environment (HSE); and recognised international experts in the fields of health, safety and the environment.’
Governance – HSEC governance – Structure and responsibilities – HSE Committee of the Board membership
  • Provides photographs and details on the background/ skills/experience of each member of this Committee.
3.3 Process for determining the expertise Board members need to guide the strategic direction of the organisation, including issues related to environmental and social risks and opportunities Sustainability at BHP Billiton Governance – HSEC governance – Structure and responsibilities
  • 2nd paragraph: ‘... recognised international experts in the fields of health, safety and the environment.’
  • 2nd paragraph: ‘The non-executive Director member is proposed by the Chair of the BHP Billiton Board and approved by the Directors.’
  • 3rd paragraph: ‘For further detail on how the HSE Committee functions, see their Terms of Reference (www.bhpbilliton/bbContentRepository/AboutUs/ Governance/HSETermsofReference.pdf).’
3.4 Board level processes for overseeing the organisation’s identification and management of economic, environmental, and social risks and opportunities Performance at a Glance Executive summary
  • 5th paragraph: ‘To help us better understand and manage HSEC risks that are critical to our business, risk registers are in place and being maintained at all sites and at Customer Sector Group and Corporate levels of the Company, in line with our HSEC target. Work was also undertaken during the year to better align HSEC risk assessment processes with our Enterprise-Wide Risk Management processes to improve the efficiency of assessments.’
  • 4th paragraph outlines the continued implementation of Fatal Risk Protocols towards the achievement of ‘Zero Harm.’
Sustainability at BHP Billiton Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • ‘Standard 3 – Risk and Change Management. Intent: HSEC hazards are identified and associated risks assessed, classified, documented and managed.’
  • References to company risk also appear in other HSEC Management Standards, e.g., ‘Standard 10 – Operations and Maintenance. Intent: All plant and equipment is operated, maintained, inspected and tested using systems and procedures that manage HSEC risks.’
  • 10th paragraph: ‘To ensure that our HSEC (including human rights) management requirements are embedded into significant investment decisions, we have established an investment process that covers a range of investment types ...’
Governance – HSEC governance – Policy, standards and systems – Risk management
  • Outlines the ‘Enterprise-Wide Risk Management (EWRM) strategy’.
Policy in Action – Case Studies Safety
  • Case Study No. 7 – ‘Implementation of Fatal Risk Control Protocols under way at all our operations’.
3.5 Linkage between executive compensation and achievement of the organisation’s financial and non-financial goals (e.g. environmental performance, labour practices) Sustainability at BHP Billiton Governance – HSEC governance – Structure and responsibilities
  • 1st paragraph: ‘Executive remuneration is also directly linked to the financial and non-financial performance of the Company. Non-financial performance indicators include health, safety, environment and community targets.’
3.6 Organisational structure and key individuals responsible for oversight, implementation, and audit of economic, environmental, social, and related policies Sustainability at BHP Billiton Governance – HSEC governance – Structure and responsibilities
  • Diagram – ‘HSEC organisation structure’.
Governance – HSEC governance – Structure and responsibilities – HSE Committee of the Board membership
  • Provides photographs and details on the background/ skills/experience of each member of this Committee.
3.7 Mission and values statements, internally developed codes of conduct or principles, and policies relevant to economic, environmental and social performance, and the status of implementation Sustainability at BHP Billiton Our approach to sustainable development – The business case
  • Diagram – ‘BHP Billiton sustainability value add’ outlines those aspects that the organisation needs to manage well in order to deliver key outcomes.
Sustainability challenges – Greenhouse gas emissions
  • Highlights the ‘Climate Change Position Statement’, available on the BHP Billiton website.
Governance – HSEC governance – Policy, standards and systems
  • 1st paragraph highlights that ‘Central to our business is our Company Charter, which states our overriding commitment to health, safety, environmental responsibility and sustainable development.’
  • 2nd paragraph: ‘Working Responsibly at BHP Billiton: Our Health, Safety, Environment and Community Policy’: ‘... providing the framework for our commitment to sustainable development and our aspiration towards Zero Harm.’
Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • ‘HSEC Management Standards’.
Governance – HSEC governance – Policy, standards and systems - Business conduct
  • ‘BHP Billiton Guide to Business Conduct’.
3.8 Mechanisms for shareholders to provide recommendations or direction to the Board of Directors About this Report Transparency and feedback
  • 4th paragraph: ‘Your comments on the contents of our HSEC Report would be greatly appreciated and can be noted on the Feedback Form.’
Sustainability at BHP Billiton Part of the global community – Our stakeholders
  • Shareholder engagement methods are outlined in the third row of table – ‘BHP Billiton’s stakeholder relationships’.
Feedback form

 
  • ‘Feedback Form’.
3.9 Basis for the identification and selection of major stakeholders Sustainability at BHP Billiton Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • ‘Standard 7 – Communication, Consultation and Participation’.
Part of the global community – Our stakeholders
  • 1st paragraph: ‘Key stakeholders are generally identified as people who are adversely or positively impacted by our operations, those who have an interest in what we do or those who have an influence on what we do.’
  • Diagram – ‘BHP Billiton stakeholders’ shows the key stakeholder groups identified.
  • Table – ‘BHP Billiton’s stakeholder relationships’ details the key stakeholder groups, who they represent, their interests and concerns and how BHP Billiton engages them.
Performance Summaries Community – Community performance – Community relations
  • 1st paragraph: ‘... 98 per cent of the sites required to have community relations plans in place now have operational plans ...’
Policy in Action – Case Studies Community
  • Case Study No. 22 – ‘Illawarra Coal develops process to address community issues and improve communication with stakeholders’.
  • Case Study No. 29 – ‘Cerro Colorado incorporates community participation and consultation into project planning’.
Socio-economic
  • Case Study No. 32 – ‘Mozal assists growth and development of local suppliers through collaboration and capacity-building programs’.
3.10 Approaches to stakeholder consultation reported in terms of frequency of consultations by type and by stakeholder group Sustainability at BHP Billiton Part of the global community – Our stakeholders
  • Table – ‘BHP Billiton’s stakeholder relationships’ details the key stakeholder groups, who they represent, their interests and concerns and how BHP Billiton engages them.
Part of the global community – Dialogue
  • Outlines the numerous processes in place across the business to encourage dialogue with stakeholders and to utilise outcomes. These include ‘Forum on Corporate Responsibility’, ‘Employees and contractors’, ‘Local communities’, ‘Report dialogue’, ‘Public policy’ and ‘Socially responsible investors’.
Part of the global community – Building global links
  • Covers BHP Billiton’s involvement in the International Council on Mining and Metals, UN Global Compact, the GRI and the World Business Council for Sustainable Development.
Policy in Action – Case Studies Community
  • Community case studies illustrate BHP Billiton’s substantial level of stakeholder consultation at its facilities.

 

 

BHP Billiton Comment: Due to the large array of stakeholders, it is impractical to report details of all consultations by frequency and type.
3.11 & 3.12 Type of information generated by stakeholder consultations and its use Sustainability at BHP Billiton Part of the global community – Our stakeholders

 Part of the global community – Dialogue
  • Table – ‘BHP Billiton’s stakeholder relationships’ details the interests and concerns of stakeholder groups, i.e., the information from stakeholder consultation and its use.
  • Outlines the key information that is obtained via processes in place across the business. These include ‘Forum on Corporate Responsibility’, ‘Employees and contractors’, ‘Local communities’, ‘Report dialogue’, ‘Public policy’ and ‘Socially responsible investors’.
Performance Summaries Community
  • The Report outlines how information is obtained via BHP Billiton’s participation in the ‘Oxfam Community Aid Abroad Corporate Community Leadership Program’, the ‘Employee Matched Giving Program’, Indigenous culture and heritage initiatives, the ‘Community Relations Network’ and Corporate foundations.
Policy in Action – Case Studies Community
  • Case Study No. 22 – ‘Illawarra Coal develops process to address community issues and improve communication with stakeholders’.
  • Case Study No. 23 – ‘Antimina’s support of environmental committees provides key lessons about the community consultation process’.
  • Case Study No. 25 – ‘Dialogue Table meetings provide a forum for resolving community issues at Tintaya’.
  • Case Study No. 29 – ‘Cerro Colorado incorporates community participation and consultation into project planning’.
3.13 How the precautionary principle is addressed (i.e. approach to risk management) Sustainability at BHP Billiton Governance – HSEC governance – Policy, standards and systems – Risk management
  • 1st paragraph: ‘Supporting the risk basis of the Management Standards is our Enterprise-Wide Risk Management (EWRM) strategy, which is embedding risk management processes into all our critical business systems, allowing us to adopt a precautionary approach to business management.’
Policy in Action – Case Studies Safety
  • Case Study No. 7 – ‘Implementation of Fatal Risk Control Protocols under way at all our operations’.
3.14 Voluntary charters or other initiatives Performance at a Glance Executive summary
  • 13th paragraph: ‘... progress assessment against the principles contained in the United Nations Global Compact.’
  • 16th paragraph: ‘This Full HSEC Report was prepared in accordance with the Global Reporting (GRI) Initiative 2002 Sustainability Reporting Guidelines.’
Sustainability at BHP Billiton

 
  • 10th paragraph: ‘Mining, Minerals and Sustainable Development (MMSD) Strategy.’
Part of the global community – Dialogue – Socially responsible investors
  • ‘FTSE4Good Index’.
  • ‘Dow Jones Sustainability Index’.
  • ‘Business in the Community – Corporate Responsibility Index’.
  • ‘Business in the Environment Index’.
  • ‘Corp Rate’.
  • ‘Johannesburg Stock Exchange SRI Index’.
  • ‘Carbon Disclosure Project’.
Part of the global community – Building global links
  • 3rd paragraph: ‘The major externally developed voluntary initiatives that we are involved in ...’
  • ‘Global Compact progress assessment’ table.
  • ‘Global Reporting Initiative’.
  • ‘World Business Council for Sustainable Development’.
Performance Summaries Management systems – Audit and self-assessment
  • 5th paragraph.
Policy in Action – Case Studies Health

Socio-economic
  • Case Study No. 2 – ‘Medicines for Malaria Venture aims to develop effective, affordable anti-malarial drugs’.
  • Case Study No. 36 – ‘Mining Certification Evaluation Project adopts draft criteria for certification and protocol for mine audits’.
3.15 Industry and business associations memberships Performance at a Glance Executive summary
  • 12th paragraph: ‘During the year, we have been active in the International Council on Mining and Metals (ICMM) work program.’
Sustainability at BHP Billiton Part of the global community – International Council on Mining and Metals
  • 1st paragraph: ‘We have continued to be active in the work program of the International Council on Mining and Metals (ICMM) ...’
  • Final row of table – ‘BHP Billiton’s stakeholder relationships’ details ‘Industry Associations’.
Part of the global community – Building global links
  • 2nd paragraph.
3.16 Polices and systems for managing upstream and downstream impacts Performance at a Glance HSEC targets scorecard
  • Product Stewardship – ‘Life Cycle Assessments prepared for all major BHP Billiton minerals products by 30 June 2004 (incorporating participation in industry programs as appropriate.’
Sustainability at BHP Billiton Our approach to sustainable development – The business case
  • Diagram – ‘BHP Billiton sustainability value add’ – ‘If we get the management of these right’ – ‘Product Stewardship’.
Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • ‘Standard 11 – Suppliers, Contractors and Partners’ and ‘Standard 12 – Product Stewardship’.
Part of the global community – Our stakeholders
  • ‘Suppliers’ row in table – ‘BHP Billiton’s stakeholder relationships’.
Performance Summaries Environment – Environmental performance – Resource use
  • ‘Supply chain management’.
3.17 Approach to managing indirect impacts Performance at a Glance HSEC targets scorecard
  • Product Stewardship – ‘Life Cycle Assessments prepared for all major BHP Billiton minerals products by 30 June 2004 (incorporating participation in industry programs as appropriate).’
Sustainability at BHP Billiton Our approach to sustainable development – The business case
  • ‘BHP Billiton sustainability value add’ – ‘If we get the management of these right’ – ‘Product Stewardship’.
Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • ‘Standard 11 – Suppliers, Contractors and Partners’ and ‘Standard 12 – Product Stewardship’.
Part of the global community – Our stakeholders
  • ‘Suppliers’ row in table – ‘BHP Billiton’s stakeholder relationships’.
Performance Summaries Environment – Environmental performance – Resource use
  • ‘Supply chain management’.
3.18 Major decisions on operational changes About Us

 
  • 8th paragraph: ‘During the year, there were no mergers or acquisitions that have materially affected our results. The only site that was closed during the year was our Selbaie zinc and copper operation located in Canada.’
Basis of Reporting Data collection and basis
  • 3rd paragraph: ‘The Report identifies where information has been provided to facilitate year-to-year comparison of our performance without BHP Steel, which commenced trading on the Australian Stock Exchange as a separate listed company in July 2002.’
3.19 Programs and procedures relating to sustainable development performance Performance at a Glance HSEC targets scorecard
  • Provides details on programs and procedures undertaken by BHP Billiton at a Company-wide level to manage sustainable development, or HSEC, performance.
Sustainability at BHP Billiton

 
  • Provides details on programs and procedures to address key sustainability challenges and improve performance.
Sustainability at BHP Billiton Governance – HSEC governance – Policy, standards and systems – HSEC Management Standards
  • Provides details on programs and procedures to address HSEC performance.
  • All Standards, but in particular ‘Standard 4 – Planning, Goals and Targets’ and ‘Standard 15 – Monitoring, Audit and Review’.
Performance Summaries Management systems
  • ‘Audit and self-assessment’.
Throughout the Report

 
  • The bulk of the Report describes and discusses the programs and procedures that BHP Billiton has in place to manage its sustainable development, or HSEC, performance.
3.20 Certification pertaining to management systems Sustainability at BHP Billiton Governance – HSEC governance – Policy, standards and systems – Hierarchy of systems and documents
  • 2nd paragraph: ‘... we have achieved our target for ISO 14001 certification of our environmental management systems at all of our major operating sites.’ OHSAS 18001 for safety management systems and ISO 9000 for quality management are also mentioned.
Performance Summaries Management systems – Background
  • 1st paragraph: ‘The objectives of the Standards are to: ... provide a risk-based HSEC management system framework, broadly consistent with international standards, such as ISO 14001, OHSAS 18001 and SA 8000.’
Environment – Environmental management
  • ‘Environmental management systems’.

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