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Dear Shareholder,

As a leading environmental services provider, we at SembCorp Environmental Management (SembEnviro), see our role as that of providing leadership in meeting the challenges of a sustainable future for the whole SembCorp Industries Group. Strongly committed to environmental care, we work in close partnerships with communities, industries and governments towards the sound management of social, economic and environmental responsibilities. This is referred to as “the triple bottom line”.

Our efforts in promoting resource conservation include:

Teaming up with one of the world’s leading recycling companies – Australia’s VISY Recycling – to set up an automated materials recovery facility (MRF) in Singapore. The MRF sorts and recovers paper, plastics, glass and metals. Since its inception in August 2002, the volume recovered has grown 142 per cent due to the efficiencies at the MRF while achieving a recovery rate of 80 per cent. The facility currently recovers 25 tonnes per shift and is targeting to recover 100 tonnes per shift by the year’s end with Phase Two in place and with growing participation from other recycling collectors who bring their recyclables to the MRF. (Figure 1.0)

SEMBVISY MRF:
VOLUME RECOVERED IN 2002

(Tonnes per month)


Figure 1.0

 
Pioneering the use of environmentally-friendly crates for the storage of recyclables. The household participation rate and volume of recyclables collected have improved in the precincts that we serve.

Investing in a pilot recovery facility to mine construction and demolition waste. Since the start of operations, the volume of construction and demolition waste recovered at the trial plant has grown 30-fold, rising from 310 tonnes in January 2002, when it was first set up, to 9300 tonnes in December 2002. Encouraged by the results, we are now developing a full-fledged 600,000 tonnes per year automated facility which is expected to be ready by mid-2003. (Figure 2.0)

CONSTRUCTION & DEMOLITION WASTE:
VOLUME RECOVERED IN 2002

(Tonnes per month)


Figure 2.0


 

Employing conversion technologies specific to the markets that we operate in. For example, we invested in a joint venture plant with a leading Malaysian conglomerate to convert palm oil waste to green energy. The facility in Malaysia will save 500 tonnes of empty fruit bunches per day from being otherwise disposed of.
 
Working closely with the community and city councils in Australia towards zero waste by progressively reducing the volume of waste disposed of at the landfills.
 
Expanding into industrial biologics – an environmentally friendly liquid waste treatment using micro-organisms.
 
Holding community roadshows and talks in schools and welfare homes to share our 3Rs philosophy “Reduce, Reuse, Recycle”. We are also committed to supporting national events such as Clean and Green Week, sponsored community events with recycling themes such as the Hong Kah North’s Environmental Awareness Programme and the ZhengHua CCC Go Green Family Day, and even jointly attempted to break the Guinness World Record for the longest aluminum can chain with the students of the Singapore Management University.
 
Offering an environmental management scholarship scheme for needy children so that they may realise their full potential and do their bit for the environment and adopting the Jamiyah Children’s Home.
 
Adopting endangered tree frog species at the Singapore Zoological Gardens.

Operationally, we are committed to pursuing a high standard of environmental performance. This commitment is best demonstrated in our certification to international quality standards. Four of our businesses are certified to ISO 9001:2000 standards and two of our medical businesses are certified to ISO 14001 standards. This year, we will be working towards certifying the entire SembEnviro stable of companies to ISO 14001 standards.

At the industry level, we are working closely with the Waste Management Recycling Association of Singapore towards the long- term challenge of sustainable development. The Association was set up in August 2001 to raise the level of professionalism and the image of the industry and its workers. It is presently chaired by SembEnviro.

Environmental enhancement and good businesses can and do co-exist. This is what we at SembCorp Industries hope to show as SembEnviro moves forward towards higher levels of environmental responsiveness and performance.

 

LOH WAI KIEW
President & CEO
SembCorp Environmental Management


 



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