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“Biodiversity:

Which Challenges for Industry?”

CEMEX case

Armando J. Garcia





September 22-23, 2005

Island of Porquerolles, France

Contents





CEMEX Today



The Cement Industry



CEMEX and Sustainable Development



Biodiversity importance



CEMEX Biodiversity Case



Summary / Opportunities

CEMEX Today





CEMEX is one of the

world’s largest building

material companies,

with global presence in

cement and aggregates

and a leading position

in ready mix concrete.

CEMEX Background

CEMEX Background



• Annual sales of $16 billion US

• Operations in more than 50 countries

across the Americas, Europe, Africa, the

Middle East, and Asia

• World’s leading supplier of ready-mix

concrete and one of the largest

producers of aggregates

• One of the world’s top traders of cement

and clinker

• More than 50,000 employees

worldwide

The Cement Industry

In Regard to the Environment



• Concrete is the second most used

substance in the world besides

water.

• Approximately 1.6 billion metric

tons of cement is produced

annually.

• The Cement Industry is one of the

most capital intensive industries.

• The Cement Industry produces 5%

of the global man-made CO2.

Cement Industry

Some Environmental Impacts



• Dust emissions from quarrying, cement

production, and transport.

• Emissions of carbon dioxide (CO2) and other

gases (NOx, SOx).

• Use of Natural Resources, such as:

– Quarrying of limestone, clay and other raw materials.

– Use of fossil fuels.

• Impacts on biodiversity and landscape

aesthetics.

From: WBCSD/CSI

CEMEX and Sustainable

Development

Sustainable Development Strategy





• Employ cutting-edge technology in our operating

processes to assure energy-efficiency and the

optimized use of raw materials.



• Use the most effective equipment and systems to

protect our neighbors and the environment.



• Promote a culture of Environmental, Health & Safety

awareness both within our company and the

communities we operate in.

CEMEX and Sustainable

Development

The Cement Sustainability Initiative



Joint projects : Individual company

– Guidelines actions:

– Best practices – Implement guidelines

– Reporting and monitoring – Integrate SD practices

systems – Publish data



• Climate protection and CO2 management

• Responsible use of fuels and materials

• Employee Health and Safety

Six key areas: • Emissions reduction

• Local impacts on land and communities

• Reporting and communications

From: WBCSD/CSI

CSI Sustainable Cement

Industry Vision 2020

Cement companies have integrated

sound principles and practices of

Sustainable Development into their

global operations as:



• Innovators in Industrial

Ecology and carbon dioxide

management.

• Attractive employers.

• Building relationships of trust

with the communities and

societies in which they

operate.

From: WBCSD/CSI

Global Biodiversity Importance



• 1992: UN Earth Summit (Rio de Janeiro)

• Urgency to manage more Sustainably Natural Resources

• Convention on Biological Diversity (CBD)

• 2002: World Summit (Johanesburg)

• Identified biodiversity as one of the five priority issues

• Set a global target of achieving a significant reduction in

the current rate of biodiversity loss by 2010.



• 1987 CEMEX in Mexico – Green areas, native plants and

wildlife.

Business and Biodiversity



“There is a business case for

integrating biodiversity into

core management systems:

to manage risks, capitalise

on opportunities and meet

corporate social

responsibilities.”

Biodiversity in CEMEX



CEMEX recognizes the importance of conservation and

management of biodiversity as a business and a social

responsibility issue. We are all part of ecosystems and

ecosystems provide us with important environmental services.

Conservation and management of biodiversity issues are

important and should be part of our considerations in our

decision making process.

At CEMEX we have a three way approach:



• Be a responsible steward of the land we manage.

• The mitigation of biodiversity risks in our operations.

• Proactive leadership and teamwork with partnerships that

enable CEMEX to make a positive contribution to the global

conservation of biodiversity.

CEMEX Biodiversity Case

Elements



• License to operate and grow

– Access to land.





• Full commitment to Cement Sustainability

Initiative

– Task forces, Best practices, Public commitments.





• Corporate Social Responsibility

– Collaboration with NGO’s, Governments, Universities, Local

communities and all stakeholders.

CEMEX Biodiversity

Cases

On Site Biodiversity Projects







• El Yaqui Wildlife Restoration Mexico



• Florida Wetland Research Center United States



• Alicante Agricultural Area Spain



• Attenborough Nature Reserve United Kingdom



• CEMEX Angling – Lakes & Rivers United Kingdom



• Martot Reforestation France

CEMEX Biodiversity

Cases

On Site Biodiversity Projects



El Yaqui Wildlife Restoration Mexico



• Cement plant quarry site.

• The Desert Big Horn Sheep was

at the verge of extintion in

Northern Mexico.

• Quarry land offered a suitable

habitat for sheep reproduction.

• Partnerships with NGO,

Indigenous community, the

National Environmental Agency

and Universities.

• Origin of our National Desert

Big Horn Sheep Restorastion

Program.

CEMEX Biodiversity

Cases

On Site Biodiversity Projects



Florida Wetland Research Center United States



• Operating Quarry near the Everglades.

• First center in the world to focus

specifically on wetlands restoration.

• Quarry land was donated to an

International University.

• Living laboratory for scientists to study

techniques to restore wetlands.

• Helping to protect the US’s largest

wetland system, home to 68 endemic

and threatened species.

CEMEX Biodiversity

Cases On Site Biodiversity Projects

On Site Biodiversity Projects

Alicante Agricultural Area Spain



• Fruit production

was choosen as a

the preferred land

use.

• 120 hectares of

peaches,

nectarines and

plum trees.

• Microclimate, early

harvest.

• Employment to

local communities

• Competitive prices

for produce export.

CEMEX Biodiversity

Cases

On Site Biodiversity Projects



Attenborough Nature Reserve United Kingdom

• Aggregate Quarries.

• Restoration into lakes and

habitat that encourages

waterfowl and other wildlife.

• Leisure: walking, boating,

angling.

• Management in conjunction

with the Nottingham Wildlife

Trust.

• The Trust has active

participation with

conservation programs and

volunteer staff.

CEMEX Biodiversity

CEMEX Biodiversity

Cases

Cases

On Site Biodiversity Projects



CEMEX Angling – Lakes & Rivers United Kingdom

• Began in 1967 – at

completed sand and

gravel pits.

• Lakes with natural

surroundings.

• Fish, birdlife and other

biodiversity.

• Contributes to UK

demand for angling

sites.

• CEMEX owns 64 lakes

and 14 rivers.

CEMEX Biodiversity

CEMEX Biodiversity

CEMEX Biodiversity

Cases

Cases

Cases On Site Biodiversity Projects

On Site Biodiversity Projects



Martot Reforestation France

• Completed quarries used to increase size of original forest area

• Quality reforestation for future needs.

Proactive Partnerships

for protecting Biodiversity



• Sierra Madre

– Conservation Books Program.

– El Carmen Conservation Initiative.

• Conservation International

– Support to Conservation Strategies - Megadiversity,

Hotspots, Wilderness.

– Marine Conservation Center – To protect the Gulf of

California, a highly biodiverse ocean ecosystem.

• Birdlife International

– Memorandum of Understanging to achieve significant

biodiversity gains at local, national and international levels.

– Cross training and sharing of best practices to broaden

business, managerial and environmental perspectives for

both organizations.

Proactive Partnerships

for protecting Biodiversity

Main Benefits







• Access to valuable information and knowledge.

• Dialogue with people from different cultures and

backgrounds.

• Broadened the company's understanding of

biodiversity issues.

• Enhance the reputation and credibility of our company.

• Building trust and respect with government authorities,

communities and other stakeholders.

CEMEX Biodiversity

Cases

Off Site Projects









• CEMEX Conservation Books Worldwide



• Santa Maria Habitat Restoration Model Mexico



• Desert Big Horn Sheep Restoration Program Mexico



• El Carmen Conservation Initiative Mexico - US

CEMEX Conservation

Book Program

Off Site Projects



CEMEX Conservation Books Worldwide



• NGO Partnerships: Sierra

Madre, CI, IUCN, WWF, others.

• Starting in 1993, we have

published a series of 13

conservation books.

• Todate more than 200,000

books published.

• Several books present a

strategy for global Biodiversity

conservation

• Promotes environmental

culture around the world.

Santa Maria

A Working Model

Off Site Projects





The main objective is

to demonstrate how

domestic livestock

and native wildlife can

achieve a sustainable

ecological balance,

and provide a

diversified economy

for ranchers in the

region.

Santa Maria

Habitat Restoration Program

Off Site Projects



The need for a habitat restoration program that could

be applied in the northeastern Mexico region

motivated CEMEX to initiate the Santa Maria Habitat

Restoration Program in 1995.









Depleted land Restored land

Santa Maria

Habitat Restoration Program

Off Site Projects







• The success of Santa

Maria Restoration

Program has grown into

a national initiative.

• Now, CEMEX,

SEMARNAT,

PRONATURA and UNEP

are joining together to

estlabish an international

Habitat Restoration

Training Center.

Desert Big Horn Sheep

Restoration Program

Off Site Projects



Objectives

• Recover the Desert Bighorn

Sheep populations within

their former natural range in

northern Mexico.

• Prepare a sound

conservation plan for the re-

introduction of the sheep.

• Partnerships with

governments, conservation

organizations and wildlife

agencies to restore the

species.

El Carmen

Conservation Initiative

Off Site Projects



• We are being the catalyst

to protect this

international ecological

mega corridor.

• One of the largest and

most biodiverse,

protected areas in North

America.

• A Hotspot and a

Wilderness.

• Partners: Agrupacion

Sierra Madre,

Governments and

Ranchers.

El Carmen

Conservation Initiative

Off Site Projects









CEMEX has both acquired

land and entered into

conservation agreements

with neighboring landowners

for a total area of 95,000

hectares.

El Carmen

Conservation Initiative

Off Site Projects



El Carmen contributes

directly to the practice of

SD and protection of

Biodiversity



• Baseline Inventory

• Developing a long term

management plan

• Habitat restoration

• Wildlife restoration

• Scientific research

• Conservation Partnerships

El Carmen

Conservation Initiative

Off Site Projects



Ranching, mining

and logging

industries heavily

exploited the area

until the first half of

the 20th century.



Now CEMEX is

taking restoration

actions to facilitate

recovery of areas

impacted by human

activities in the

past.

El Carmen

Conservation Initiative

Off Site Projects



One of the most biodiverse ecosytems in

North America Now being protected

Summary / Opportunities



There is a global target to reduce the rate of biodiversity

loss and everyone must join this agenda.

• Our experience in Biodiversity is:

– CEMEX has earned prestige and respect from important

conservaion NGO’s and governments, for what we are doing.

– Biodiversity issues attract more the eye of stakeholders vs.

gray issues.

– Our conservation books are being used by experts in the field

as reference material.

– Good relationships with neigboring communities.

– A key element of our Social Responsibility Philosophy.

• Making strategic alliances with key stakeholders to find

innovative actions for supporting social concerns, is a

business responsibility.

www.cemex.com



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