Norgips Sustainability report 2021/2022 (ENG)

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The environmental goals that give results

How to make the construction industry more sustainable

Lessons and predictions

Norgips Sustainability report

SUSTAINABILITY REPORT 2021/2022

2021/2022

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The most important competitive gain in the construction industry is efficiency.

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BÆREKRAFTSMAGASIN 2022


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The Nail It-system allows for fast as lightning assembly of inner walls. norgips.no/nail-it-indoor

SUSTAINABILITY REPORT2022 BÆREKRAFTSMAGASIN 2021/2022

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LEADER Bildetekst: Porro el mo dolenducima dolene coria nosam entota pellatem. Sectem aligend ipides solessum quodioratqui doluptis am nis eatium autem lab inturerae mintium eosa aut aut ma

Leading the way

VISSTE DU DETTE OM GIPS?

DA AMERIKANEREN STEPHEN KELLEY patenterte den første moderne gipsplaten i 1908, tenkte han neppe på hvorvidt det han hadde laget var et miljøvennlig og bærekraftig produkt. På den tiden handlet boligbygging først og fremst om å beskytte seg fra en lunefull natur. Ingen så noen grunn til å tenke over at vårt aller viktigste hjem, faktisk er jorda selv. Gipsplatene våre avgir ikke skadelige gasser eller partikler, og er ikke farlige å jobbe med. Fordi platene har god evne til å oppta og avgi varme og fuktighet, bidrar de til et godt inneklima. Så selv om Kelley i 1908 ikke visste om det da, skapte han med andre ord et produkt som er for fremtiden – på mer enn én måte.

Manufacturers of building materials bear a strong responsibility to stop global climate change by 2030. As one of GIPSENS SIRKULÆRE LIV the Nordic region's largest producers of gypsum boards, Gips er et naturprodukt og man regner med at det finnes over 2000 increased sustainability is gips high Norgips’ agenda. milliarder tonn somon naturlige forekomster. For å lage gipsplater

trenger man gips, vann og kartong. Kartongen som brukes i vår produksjon av gipsplater er resirkulert. 20 prosent av gipsråstoffet vi bruker, kommer fra gipsplater som allerede har under construction. should become leaders on OUR COLLEAGUES IN NORGIPS g jort sinfaced tjeneste, several og challenges resten av råstoffet in sources er industrigips fra Tyskland.We Ved minimizing waste and are going to use many 2020 and 2021. The pandemic å brukeinfluenced industrigips the slipper wholevienterå ta ut naturgips og sparer daand bådeleftovers råvarer og issue in the coming years. prise, from production totransportvei client services – som and ig along jen sparer with the miljøetresources for store on COthis 2-utlipp. Our goal to reduce the use of resources within construextraordinary measures taken for our employees, the global supply of materials really ROM put FORaLIVET strain on the industry. ction is also reflected in our efforts to limit the amount of material sent tofuktighet construction Nevertheless, we have managed Gipsplater to maintain har også high den unike delivery egenskapen at that den is opptar fra facilities. Norgips is aldeveloping products and systems for more efficicapacity and ensure highomgivelsene quality of og ourreduserer productssvingninger during ways i relativ fuktighetnew i rommet. Gipsent uses of materials. We are focused on premium products the whole period. We haveplatene also managed bidrar også to fulfill til å utjevne our plans temperatursvingninger. make premises better to den live in, at the same time we concerning serious sustainability Platene goals. har evne til å lagre varme og that når temperaturen synker frigir Through cooperation and den lagrede clear ambitions varmen. to live up to reduce assembling time, amend ergonomics and minimize usegode of resources. We til will continue the EU’s sustainability goals, Og Norgips husk – will for åstand få gleden first av in de linemange egenskapene gips, er det to work in this direction in 2022. g jøres riktig, blant annet with these aims. Our internal viktig work at overflatebehandlingen has given us possibiliav gipsplatene At Norgips we, believe in creating a space for living – a ties to reduce the use ofved energy, å bruke packaging maling som andikke transport har for tett malingsflim. Gipsplatene trenger will bepusses filledmed withgipseverything life has to offer. – all in correspondence with å puste. the Istedenfor EU’s sustainability maling, kan goals. noen avspace våre that produkter Through continuous close puss, cooperation, we have managed The rooms we help to build are safe and tenable. Which to increase the number of recycled materials in our produ- without dangerous substances protects against fire in all ction annually. Today, we take the leading position in the stages of usage until they one day are recycled to create new rooms. circular use of gypsum waste as a raw material.

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REDUCED WASTE from construction sites is one of the clear development directions the market has seen since 2021. In cooperation with JM Norge, Norgips has started a unique project that includes active work on the optimal use of re-

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TO CONTINUOUSLY REACH our high sustainability goals, we have high ambitions for recycling, innovation, collaboration and digitization. Ambitions we will take with us as we continue to create new, durable rooms in 2022.

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SUSTAINABILITY REPORT 2021/2022


INDE X

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23 Circular cooperation Our plasterboards have always been low on carbon prints, but we are still continuously working on making this process even better.

6 Joint efforts for the environment Five big actors, with Norgrips at the front, joined efforts to create more sustainable transport via Drammen port.

Clear environmental goals give results Read more about the goals Norgips strives towards, and the results we have already reached due to these efforts.

8 The goal is to make the construction sites waste-free Setting its goal towards total reduction of gypsum waste, Betonmast and Norgips started their project together in Landåsjordene in Asker.

How we’ll make the construction industry greener We use our experience to increase sustainability throughout the construction industry. Emissions reduced by more than 4221 tons CO2 in 2021 Three measures that helped to reduce emissions in 2021.

14 Did you know this about gypsum? The recipe for plasterboard is simple - all that is needed is plaster, cardboard, and water. But the result is environmentally friendly, circular and creates good spaces.

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30 18 Three lessons and three predictions Bjørn C. Ottersen, Hilde Kristin Herud and Ole Reidar Warp take a glance back at 2021 - and give us their predictions The greenest hospital in Norway 20 for the coming year. Even since opening in 2017, the LHL hospital in Gardermoen has served as a model project because of its unique use of energy, internal climate and architecture.

SUSTAINABILITY REPORT 2021/2022

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CIRCULAR COOPERATION There is no limit to the number of times plaster can be recycled. Gypsum boards have always had a good environmental profile, but the work continues in order to further improve the process and the impression. Norgips collaborates with Norsk Gjenvinning and New West Gypsum Recycling - who together own Den Sirkulære Gipsfabrikken in Holmestrand. Our partners have gone from being waste suppliers to delivering raw materials. The circular collaboration exceeded 100,000 tonnes of gypsum at the end of 2020 - which constitutes 20 percent of the raw material in the gypsum boards Norgips produces.

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SUSTAINABILITY REPORT 2021/2022


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TAG RESULTS

Clear environmental goals give results Through structured work with both our own environmental goals and the UN's sustainability goals, we can now point to clear improvements in the organization's environmental performance. Learn more about the goals we work after and the results they generate.

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RESULTS

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The main principle of the circular economy is that we should avoid throwing out resources, and that principle stands strong in Norgips. – We who are responsible for the production of building materials must make sure to produce as energy efficient as possible, and make products with a long shelf life, so that we avoid overconsumption, explains Hilde Hilde Kristin Herud, CEO in Norgips. The UN’s sustainability goal is a common working plan for the whole world to fight poverty, inequality and to stop climate change by 2030. These sustainability goals were approved in 2015. We have chosen four of these UN goals for combination with our own environmental goals. These goals are: «8. Work and growth of economy», «11. Sustainable cities and society», «12. Responsible consumption and production» and, finally, «17. Cooperation to reach these goals». – Sustainability goal 17 is the most important goal for us. . We will reach impressive results in cooperation with other companies in Knauf-group, Norsk Gjenvinning, JM, working groups in Byggevareindustrien and others with whom we work closely to find good solutions for the future, tells Herud. We think that sustainable growth should become the ground for any commercial enterprise, and

SUSTAINABILITY REPORT 2021/2022

1 Frank Gulliksen, QSHE-/Compliance Leader in Norgips. 2 UN’s sustainability goal is a common working plan for the whole world to fight poverty, inequality and to stop climate change by 2030. 3 Hilde Kristin Herud, CEO in Norgips.

we want to contribute to future, safe, durable and sustainable buildings. – We in Norgips will deliver high quality products that have a long shelf life and can be recycled when the time comes. WILL BE SOLUTION FOR THE FUTURE

Norgips own environmental goals – waste-free construction sites, transportation by railway and recycling – closely correspond to the sustainability goals set by UN. –We work with waste-free construction sites to meet market demands for builders, entrepreneurs and future TEK that, as we envisage, will set the requirement of maximum 25 kg of waste per constructed square meter, explains Herud, and adds that Norgips wants to stay at the front end of this development and has begun cooperation with JM for this. – We have concluded an agreement where JM contributes as the «demanding client» in the best meaning of this word, and as our partner. For now, the focus is on emission from production, but in future, we, in Norgips, believe that the actors will be measured by the whole value chain, from withdrawal of raw materials until the final delivered product and further inn to the circular value chain.

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2020

The last diesel truck was changed by the electric truck, so that per 31.12.20 only three loaders are driven by fossil fuel (diesel) at the factory. For the moment, there is no available technology that would allow us to use an electro-driven option instead.

2019 »

– We consider transport to play a big role in the emission problem, that’s why we have chosen railway transportation as one of our environmental goals, explains Herud. The last environmental goal Herud reckons as one of the most important measures Norgips efforts and will continue to work in the future on recycling in cooperation with Norsk Gjenvinning. – Materials that can be included in the circular models and can be reused, will become our future solution. THIS INITIATIVE HAS REACHED ITS RESULTS

Since 2009 we have actively and continuously worked for an increase of sustainability of plasterboard and other gypsum items of production. When Frank Gulliksen, QSHE-/Compliance Leader in Norgips, presented in the beginning of 2022 The Environmental Review from 2014 until 2021, it clearly showed us that the initiative has reached its results. – If we summarize all accomplished investments and improvements, we will see that practically all environmental outputs have seen considerable enhancement in this period, explains Gulliksen. The Environmental Review for 2021 shows historical perspective for most of the spheres since 2014 to compare the figures and the graphics

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A new agreement with New West Gypsym Recycling/Norsk Gjenvinning (NWG/ NG) was signed for receipt of wreck and delivery of recycled gypsum.

2018

The new drying oven made according to the BAT-principle for use of the best available technology was installed. The positive result you can see in the environmental review for 2018 in energy section.

2012 Norgips started to use liquefied natural gas (LNG) instead of butan gas as a primary energy source. The result was a decrease in the use of gas per square meter of the produced item and considerable reduction of greenhouse gas emission like NOX, CO and CO₂.

for the last eight years. Gulliksen is especially proud for the fact that greenhouse gas emissions per square meter of a plasterboard have been reduced by 16%. – We are also very satisfied that we have managed to include almost 20% of recycled gypsum products in our production. This is definitely in line with the principle of the circular economy and the UN’s sustainability goal 12 to avoid throwing out resources but try to recycle and reuse them as much as possible. A WIN-WIN SITUATION

During the last years, we at Norgips have invested a lot into the reduction of emissions into the environment. We have asked Gulliksen what initiatives that Norgips has undertaken in 2021 and he is especially proud of, and he has answered «you don’t have space in this journal for all of them». – But if I need to choose only one, I can name the way Norgips as an organisation has managed to lift environment and sustainability issues up to become a question that concerns everything in our activity. Focus on the protection of the environment and on sustainability is a win-win situation for all the parties involved: for us in Norgips as the producer, for the clients who use our products and not least for the whole environment and society.

SUSTAINABILITY REPORT 2021/2022


RESULTS

In 2021 we tested several promising small scale pilot projects like Waste-free construction sites (you can read more about them on page 26), reduced use of plastic packaging and the increased amount of railway transportation instead of roads (you can read more about it on page 22). For now, this last initiative has resulted in 1300 less trucks on Norwegian roads. WE DON’T REST ON OUR LAURELS

The environmental review shows considerable improvements in all sectors, but we don’t rest on our laurels. – In 2022 we will increase recycling volume, move an even bigger part of transportation only by railway and sea, and evaluate future sources of energy and digitalise all environmental data together with other actors in the Construction Industry, explains CEO in Norgips Hilde Kristin Herud. The Quality, Safety, Health & Environment-manager also speaks about further follow-up and development of the waste-free construction sites; she explains that this project is extremely important for the future. If the company gets the investment it needs, this project can turn into a big-scale production. – Besides, it will be very interesting to follow up the part-projects at the factory that will further decrease emissions into the environment and

SUSTAINABILITY REPORT 2021/2022

Norgips has closely cooperated with Greencarrier, CargoNet, DSV Road and Drammen harbour to substantially boost sustainable transportation through Drammen harbor. On the picture you see Director of Drammen harbour Einar Olsen and CEO in Norgips Hilde Kristin Herud.

reduce the use of energy. For example, we set a goal for us to reduce greenhouse gas emissions by 55% by 2030 and we will search for alternative, fossil-free energy sources for plasterboard production, tells Gulliksen. Soon we also expect the new legal regulation that will define requirements concerning the environment and sustainability. The EU’s taxonomy requirements will be considered as the document that sets criteria for all new investments starting from 2022. – Besides, the new Transparency law (Åpenhetsloven) will pertain from 1st of July 2022. This law will set further requirements to companies like ours concerning compliance with the UN’s sustainability goals and following global requirement for human rights within the supply chain and between businesses. CEO Hilde Kristin Herud clearly understands the importance of structural work on their own environmental goals as well as the UN’s sustainability goals. – These goals have set our work in a clear direction and all employees in our company – from the administrative staff to sales, logistics and production – all are which united to lift this burden together. I really appreciate it.

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TAG KE Y NUMBERS

KEY NUMBERS FROM ENVIRONMENT REVIEW 2021

334 %

increased use of recycled gypsum from 2018 until 2021

20 %

recycled gypsum in production in 2021

ALL

our vehicles will be electric in 2022

We moved logistics from the roads onto the sea and saved approximately

221 tons CO2 in 2021

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From 2014 until 2021 greenhouse gas emissions per square meter of plasterboard have been reduced by

16 %

49,5 tons of recycled gypsum delivered from Norsk Gjenvinning in 2021

1446

trucks have been taken off the road in 2021 due to close cooperation with Drammen harbour

We moved logistics from the roads onto the railway and saved approximatly

4000 tons

CO2 i 2021

We reduced CO₂ emissions per square meter by

30 % since 2011

SUSTAINABILITY REPORT 2021/2022


norgips.no/ultraboard

The ultimate plasterboard Robust & screw-solid

SUSTAIN AND SUSTAINABILIT Y

When using 5 mm tree screw, you can estimate direct horizontal traction up to 23 kg on a one-layer Ultraboard 13, and up to 50 kg when using a 2-layer Ultraboard 13.

SUSTAINABILITY REPORT 2021/2022

Ultra Board can sustain a heavy burden, and it is made of an exceptional material that is endlessly recyclable. It provides a strong, robust and, moreover, screw-solid plasterboard – produced of natural gypsum and 100% recyclable cardboard. 13


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This is how we will make the construction industry greener 14

SUSTAINABILITY REPORT 2021/2022


NORGIP S IS LE ADING THE WAY

By these efficient environmental measures, Norgips managed to reduce CO₂-emissions by almost 30 percent. Now we will use this experience to make the whole construction branch greener.

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t Norgips, we are proud of being one of the leading suppliers of construction materials in Norway and Sweden, and part of the environmental challenge, tells purchasing director for Norgips, Jan Sæterdal. – Even though plasterboards are environmentally friendly by themselves, some CO₂ still enters the atmosphere during production. In the last ten years, we have tried to reduce emissions. Now we finally have the results and these efforts were not in vain BIGGER REDUCTION, EVEN BIGGER AMBITIONS

It is not easy to make green adjustments in a big production facility. However, because of more environmentally friendly production and transportation, lower use of plaster, due to electrification and recycling, we have reduced our CO₂ footprint per square meter by more than 30 per cent since 2011. The most impressive results have been gained by investment in the new drying machine that cost 135 mln in 2018. This machine uses less energy and dries the plasterboards faster, so that emissions from production decreases drastically. We have already implemented many measures, but our ambitions are still very high. – Our goal is to become CO₂-neutral and contribute to making our construction branch more sustainable in the future. We want to be the most progressive actor in our branch, tells CEO in Norgips Hilde Herud.

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NORGIPS GOES TO THE FRONT END

SUSTAINABILITY MEASURES: Plastic: h Annual reduction by approximately 14 tons of plastic by decreasing thickness and increasing quality of stretch-film.

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It was evident for Herud that Norgips should roll its leaves and put strong efforts to reach the ambitious sustainability goals by 2030. – We want to be a good role model and show that it is possible to grow and to save the environment at the same time. Since 2018 we have reduced usage of plastic by more than 14 tons per year and we have changed all our vehicles to electric ones, she tells. WILL MAKE THE BRANCH GREENER

Now we will use our knowledge to make the whole industry greener. – The Construction branch falls behind concerning both sustainability and digitalisation. Not so long ago we still received our orders by fax, tells smiling Sæterdal. Even though the construction branch is not progressive, our experience shows that the awareness of sustainability and the desire to move towards greener production has increased. – A lot of actors try to make amendments and take their social responsibilities seriously. Administration of construction companies and executives have increased their focus on the environment and they have finally realised that the requirements on the amount of waste at the construction sites should be reduced. These measures will make big changes, says Sæterdal.

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Transportation and logistics: h Product delivery is now made by railway instead of semi-trailer. CO₂ emission reduced by approximately 4000 tons, 1300 trucks removed from the roads. h Raw material delivery now happens by sea freight instead of semi-trailers. CO₂ emissions reduced by ca. 221 tons, and 146 trucks removed from the roads. h New efforts on moving more goods by railway and sea. h All trucks are electric. Production: h By using new drying machines and other efficient environmentally friendly equipment, Norgips has managed to reduce CO₂ emissions per produced m3 by approximately 30 % since 2011. h 20 % of all produced plasterboards come from recycled gypsum from Holmestrand, New West.

THE WANT TO PROHIBIT DUMPING

Even though plasterboards are environmentally friendly by themselves, the main problem is that only a very small part of them are being recycled. Only in Norway around 80 000 tons of gypsum waste appears annually. As there are no good solutions to this problem, this waste from the construction sites often goes directly into garbage boxes. This gypsum waste has a strong negative effect on the environment by pollution of air, ground water, not considering the inefficient use of resources. Norgips endeavors to change it. – We simply want a landfill ban on gypsum. – There is a real problem that it is cheaper to throw out gypsum than to recycle it. We will try actively to increase the volume of recycled gypsum in the years to come that we will use to produce new plasterboards. Gypsum is a material that can be recycled endlessly and according to Sæterdal, it has strong potential in the new circular economy whose aim is the multiple reuses of resources. REDUCTION OF 1446 TRUCKS

New Norgips plasterboards include around 20% of recycled gypsum received from Norsk Avfall. Recycling factory in Holmestrand. The

SUSTAINABILITY REPORT 2021/2022


NORGIPS GOES TO THE FRONT END

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rest of the raw material – industry gypsum from Germany – is the waste material from the production of coal that would not be used otherwise. – We use 33 000 tons of recycled gypsum, that helps us to avoid importing more industry gypsum from Germany. We save both on raw materials and transport methods, and that saves the environment by reducing the amount of CO₂ emissions, - tells Sæterdal. During the last years Norgips has also made some initiatives for environment-friendly transportation both for raw materials and final products. Together with five other actors we have undertaken a common aim towards sustainable transportation through Drammen harbour. Using boats and railway we have taken out 1446 trucks from the road and reduced emis-

12 From old to new drying machine. The new drying oven was installed in 2018 and is built according to the BAT-principle for use of the best available technology. 3 Norgips has launched a system where the platers are combined with a nail gun and plasterboards are independent of wall studs. This is the way to reduce waste. It is also possible to use offcuts to splice the plates that also helps to reduce the amount of waste.

We want to achieve direct prohibition of gypsum dumping

sions of CO₂ by 4221 this year. INVESTMENT IN THE COMMUNITY

Norgips's CEO is proud of the demanding work that has become the basis for the company’s investment into a more sustainable industry. – The measures we have undertaken and will undertake in the coming years contribute strongly into reduction of emissions and to greener business. I hope that they also set the clear agenda for the whole branch, - tells Herud. She thinks that Norgips can contribute to society with knowledge and competence of the most sustainable products and solutions, so that architects, entrepreneurs, craftsmen, and private consumers have all possible information to make the right decisions considering constructions for their building. – As I see it, we all want sustainable, comfortable, and functional buildings. And to reach this goal we need to work together and share awareness and the knowledge that we have.

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– JAN SÆTERDAL

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SUSTAINABLE TRANSPORTATION

Sitat itatem reperunt am eos tium enimaiorpore am, tatia dolenis secessu net volorit.

REDUCED EMISSION BY MORE THAN 4221 TONS CO₂ IN 2021

– NAVN NAVNESEN

FAKTA

Tiantibus sequaeptatum vellandiatur si bea voluptam etur most, invel inim quiaestenda dia prat exerios autem rae vendis rerror rem fugitis cienden ientis es id eaqui velique eturibu sandiandisim quiduntibus explit et aborest autem eationem qui et quo THE SECTOR OF BUILDING AND CONSTRUCTION is volora now qui nus use of railway and sea freight has increased. et, verionse plaborecae responsible for large amount of gas emissions that comes At first, we focused on changing transportation ways here nonem et.

By avoiding semi-trailers and using mostly railway and sea freight for transportation of goods and raw materials, we have drastically reduced CO₂ emissions. And we are only just starting, - tells the logistics manager in Norgips.

both from machines and production. Being one of the leain Norway, and that was very successful. ding construction material suppliers, Norgips wantsTransport: to move This step alone resulted in the reduction of CO₂ emissiforward as a model. That’s why we have worked hardh for al- varerons Flyttet til overall by 4000 tons in 2021 and took 1300 trucks off kunde fra semitrailer most ten years to reduce our footprint on the environment. Norwegian roads. til bane. – Sustainability stays strong in our agenda. It is not only im- Har redusert – Not only has it significantly reduced our emissions but 2 med ca. 4000 portant for the environment, but it is important for ourCO clients also brought some other benefits. Transportation through tonn, og fjernet 1300 and for us as a company. We see many benefits from focusing Drammen harbour has given us flexibility concerning deparlastebiler fra veien. on sustainability – besides, it increases our efficiency, tells turefratime of the train because of the short distance from the h Flyttet råvarer Joachim Olsen, responsible for transport in Norgips. semitrailer til factory. båt. Railway transportation is also more efficient, and in Here are three steps that have resulted in reducingHar emisredusertmany CO2 cases, we manage to deliver the goods faster than bemed ca. 221fore, tonn,-ogtells director for transportation and adds: sions in 2021. fjernet 146 lastebiler – We are only starting. We began this change in summer fra veien. 2020 and have slowly but surely increased railway transporSTEP 1: MOVED TRANSPORT FROM ROADS ONTO THE RAILWAY h Det jobbes aktivt During the last years, we have made several important tation. for å flytte mer godsIn 2022 we have set a goal on the further increase of steps that have resulted in drastic reduction of CO₂over emisrailway på bane og båt.transportation – from 9 up to 12 percent. sions. The most efficient has been a change in transportah Alle trucker er elektrifisert. tion, where the use of semi-trailers has been reduced and

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SUSTAINABLE TRANSPORTATION

3,5%

REMOVED 1486 SEMITRAILERS FROM THE NORWEGIAN ROADS

FROM ROAD TO RAILWAY: REDUCTION BY 4000 TONS CO₂ PER YEAR

GRIP 2: CHANGED IMPORT FROM ROADS TO SEA

Aside from taking out many trucks from Norwegian roads, we have also changed transportation of imported raw materials from abroad. – Instead of bringing cardboard from Germany by road, we have a signed cooperation agreement with Greencarrier about transporting these raw materials directly into the harbor of Drammen. This means 186 less trailer-tours from Germany to Drammen per year, - tells Olsen. This grip saves environment by 221 tons of CO₂ per year. GRIP 3: NEW TOOLS FOR PLANNING AND MEASURING

The third measure that has been important for us, is the implementation of digital tools and transportation planning systems for planning and evaluation. – An essential way to make our transport greener, has been to implement a system named Kinver. It helps us to evaluate our grips and performance, and to assure us that we make the right choices.

SUSTAINABILITY REPORT 2021/2022

FROM ROAD TO SEA: REDUCTION BY 221 TONS CO₂ PER YEAR

3,5 PERCENT INCREASED TONNAGE (SHIPPING CAPACITY) PER VEHICLE

Bildetekst: Porro el mo dolenducima dolene coria nosam entota pellatem. Sectem aligend ipides solessum quodioratqui doluptis am nis eatium Another tool that has had an extended green effect isminthe autem lab inturerae one that allows us to plan transportation efficiently, tiummore eosa aut aut ma -

explains transportation manager. This grip has resulted in increased tonnage, and shipping capacity, per vehicle by as much as 3,5 percent. WHAT IS THE NEXT GREEN GRIP?

Although we have achieved a lot in our activity as a green role model for the branch, the work is far from over. Olsen reveals that Norgips has already started to work out new measures. – At the moment, we work on implementing tractor units which operate on biogas fuel. The units will start regular traffic from Norgips and deliver from two to three gypsum loads a day to the region of Eastern Norway. We hope to get the vehicle in operation by May 2022. Being produced by remaining organic materials, biogas is already a part of the circuit, so a biogas vehicle is not going to add any additional CO₂ – unlike the ones that use fossil fuels.

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INNOVATIVE SOLUTIONS

Norway’s greenest hospital LHL-hospital at Gardermoen bears little resemblance to a traditional hospital. Since it was opened in 2017, the building has become a perfect example of a project combining energy, climate and architecture. 20

HOW SHOULD YOU GO FORWARD when you are working on the construction of a brandnew hospital for lung and heart disease? Inger Molne and other architects at the Nordic Office of Architecture asked this question when they got assigned to design a new hospital for LHL Patient organisation at Gardermoen. – There are of course many functional considerations which must be considered regarding hospital operations, but we would add other criteria as well. Therefore, we worked to create a comfortable atmosphere that reflected relaxing rather than “hospital”. Almost like the feeling you would get at a hotel, tells Molne. – The idea was the choice of materials, large window apertures opening towards surrounding natural landscapes, and plenty of light. INNOVATIVE SOLUTIONS

There are several reasons why LHL-hospital has been so often discussed since it was opened in 2017. In 2018, the hospital was selected in nomination «The building of the year” during

SUSTAINABILITY REPORT 2021/2022


INNOVATIVE SOLUTIONS

- Architecture days in Oslo, who dubbed the building “Norway’s greenest hospital”. The project is considerably inspired by a passive house concept that is reflected in active sun shading and space determinate ventilation systems. During the construction period, the building was heated by biomass energy. This solution enabled them to reduce CO₂-emissions aligned with the ones of 400 diesel vehicles within a year. The building has also been praised for its cosy atmosphere and utmost focus on patients’ comfort. – A significant number of patients are undergoing rehabilitation therapy and are in the hospital for a longer time. This makes it extremely important to get nature into the mix and integrate the hospital into the outdoor recreation areas, - tells Molne. At Norgips, we are proud to be the main vendor for LHL-hospital and have delivered all plasterboards, both interior and exterior, as well as Aquapanel interior, bendable and water- and

SUSTAINABILITY SUSTAINABILITY REPORT REPORT 2021/2022 2021/2022

moisture resistant board, for utilisation at dry and wet indoor premises. ORIENTATION POINT

This nearly 29.000 sq. meter building consists of a central part with an atrium, side wings with a hotel for patients, and surgical facilities. In total, the building has 1749 premises designated for 13 surgical facilities, 35 premises for out-patient clinics and 237 standard hospital beds. Additionally, there are both therapy rooms, rehabilitation facilities, a swimming pool, a kitchen, and a restaurant. – We are very satisfied with our decision to design the central part with atrium. It acts as the orientation point you are comfortable to return to, - says Molne. – Patients and employees seem also to be delighted with the building. We have received much positive feedback about the good atmosphere we have managed to create.

Bildetekst: Porro el mo dolenducima dolene The building has alsocoria nosam entota pellatem. been praised for its Sectem aligend ipides cosy atmosphere and solessum quodioratqui utmost patients’ doluptisfocus am nisoneatium comfort. autem lab inturerae mintium eosa aut aut ma

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SUSTAINABLE TRANSPORTATION Norgips factory is located near Drammen harbour, where containers with final products are now being loaded for further railway transportation.

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SUSTAINABLE TRANSPORTATION

Collective environmental input

In 2021, Norgips lead four other big players in an effort for more sustainable transport via Drammen port.

SUSTAINABILITY SUSTAINABILITY REPORT REPORT 2021/2022 2021/2022

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SUSTAINABLE TRANSPORTATION

THE FACTS The result of transportation changes: h 1300 semitrailers transported by railway from Holmen decrease CO₂ emissions by 4000 tons and reduce heavy traffic on the Norwegian roads. h 186 fewer trailer trips allow eco-innovation decreasing CO₂ by as much as 221 tons annually

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reviously, paper for plasterboards for Norgips, was transported by railway from Germany to Malmö in Sweden and then carried by trucks to the factory in Drammen. However, in 2021, we, in cooperation with logistic company Greencarrier, chose to perform a significant transformation. From now on the containers are shipped by sea straight into Drammen harbour. Greencarrier has also provided access to the warehouse facilities at Holmen, where 3900 tons paper (annual volume) can by temporarily stored until it goes into production at the factory. Final products, plasterboards, and steel sections, are transported a short distance to the harbour at Holmen, where semi-trailers with products are loaded for further railway transportation. The whole process is possible due to unique mutual environmental cooperation between carriers Greencarrier, CargoNet, DSV Road and Drammen harbour. DOUBLE ENVIRONMENTAL EFFECT

1 New loading equipment as well as lift spreader for loading semitrailers to the rail carriages..

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Due to the investments in new equipment, it is now possible to lift semitrailers from vehicles owned by DSV Roads and move them to CargoNet’s railway carriages at Holmet before further transportation. – By using sea freight and railway though Drammen harbour instead of road, we achieved double the environmental effect. Temporarily keeping raw materials here at Holmen, allows us to spare lots of space in the factory, - tells CEO at Norgips, Hilde Kristin Herud. – We started this already in 2020 when 300 to 400 trailers were heading to Alnabru and then reloaded the products over to the railway, while now Greencarrier, CargoNet and DVS Road have implemented similar solution here in Drammen. It means that we triplicate this way of transportation. Now we are ready to transport as many as 1300 semitrailers by rail from Holmen. Our solution reduces CO₂ by 4000 tons and relieves pressure on heavy traffic roads

through the Drammen and Oslo region, - says managing director at Norgips, Herud. EMISSIONS REDUCED BY 221 TONS CO₂

Procurement manager at Norgips, Jan Sæterdal, informs that the new transportation route for raw materials between Germany and Drammen have resulted in 186 fewer trailer trips with Norgips’ paper. – Thereby, our annual eco-innovation savings reach up to 221 tons CO₂, only due to shortsea-agreement with Greencarrier. We are satisfied with the solution, because Greencarrier, DSV Road, CargoNet and Drammen harbour have enabled us to use more sustainable transport of our raw materials and final products, - says Sæterdal. GREENCARRIER INVESTS IN SUSTAINABILITY

Branch manager at Greencarrier, Terje Alm, confirms that the company has invested time and money in the new solution. The company with 800 employees for which 200 are in Norway, is the important carrier and shipper on both national and international levels and operates by sea- aircraft, vehicles and railway. – We have invested over a million crones into equipment to set up this solution in Drammen. Our investment covers new loading equipment as well as a combined lift spreader for loading semitrailers to the railway carriages, - tells Alm. He is confident that from now on, more vendors and carriers are going to take advantage of this sustainable solution. IMPORTANT FOR CARGONET AND DSV

– Having found the solution here, in Drammen, means a lot to us. At the same time, we are pleased to see that such a significant and large-scale actor as Norgips, choose to commit to sustainable transport by sea and rail, - says sales- and marketing manager at CargoNet, Knut Brunstad, responsible for railway transportation of semitrailers with Norgips’ products. Previously , DSV Road transported Norgips’ products by trailers to Alnabru where the pro-

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We are pleased to see that such a significant and large-scale actor as Norgips, chose to commit to sustainable transport by sea and railway – KNUT BRUNSTAD

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ducts were loaded to railway. The company, which has over 56.000 employees, offers worldwide transportation by both sea, air, road, and railway. – For us, it is engaging and important to be able to implement this sustainable solution also here, in the city. What makes us extra motivated is that all actors have been extremely positive in this experience. The harbour of Drammen has also demonstrated a progressive and solution-oriented attitude. I could not expect anything else but more product vendors moving on with this opportunity, - says administrative director at DSV Roads AS Norway, Rune Berg Stiansen.

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2 From left to right: Director of Drammen harbour Einar Olsen, CEO at Norgips Hilde Kristin Herud, branch manager at Greencarrier Terje Alm, administrative manager at DSV Road AS Norway Rune Berg Stiansen and sales- and marketing manager at CargoNet Knut Brunstad. 3 At Norgips we are now transporting paper from Germany directly to Drammen harbour by sea routes.

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WA S TE M ATERIAL S ON THE CONS TRUC TION SITE

Waste volume on construction sites must be reduced. Aiming to minimise gypsum waste, Betonmast and Norgips cooperate on creating a solution for the reduction of volume of waste on a construction site at Landåsjordene next to Asker.

Our purpose is waste-free construction sites

– THERE WILL BE SET UP REQUIREMENTS FOR DEVELOPERS and they will transfer them furt-

her to the contractor, and so further, through the whole food chain. Those who are not joining the fun, are not going to be considered in the future, - explains Torbjørn Boman, project manager at Betonmast, one of the biggest construction companies in Norway. On the construction site of a new project of Selvaag, at Landеsjordene near Asker city centre, waste reduction is a significant focus area. It concerns both the construction process and life cycle of the raised buildings. – I have reviewed our history of the waste dating back to 2012, and 50 percent of the garbage consists of wood and gypsum. Therefore, it seemed natural to start a pilot project in cooperation with Norgips to find solutions allowing us to reduce the volume of waste, explains Boman, and adds: – The suppliers of the construction materials are going to play an important role in future. STARTED WASTE REDUCTION

For Selvaag Bolig Betonmast builds at Land-

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SUSTAINABILITY REPORT 2021/2022


WA S TE M ATERIAL S ON THE CONS TRUC TION SITE

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åsjordene 14 block constructions with 187 apartments. The first ones were ready to be accommodated in the fourth quarter of 2021, while the remaining apartments will be completed during 2022. For starting the pilot project, the building structure was divided into different categories. It gave us an opportunity to deal with one of them at a time. – Firstly, we evaluated the outer walls and the process itself from the design phase to the completed building, - explains Boman. Thor Guttormsen, project engineer at Norgips and BIM-coordinator at Betonmast Boligbygg, and Haakon Kravik, BIM-coordinator at Betonmast Boligbygg, tell that they performed a so-called pre-cut, when gypsum and steel studs were crosscut on an earlier stage of the project. Meanwhile, they developed an assembly plan for the building. – Our purpose is waste-free construction sites, but we had to start with those where waste volume is already reduced. If one really aims to get waste-free, the process should obviously start as early as in the project development phase, - explains Kravik.

SUSTAINABILITY REPORT 2021/2022

Thor Guttormsen, project engineer at Norgips, and Haakon Kravik, BIM-coordinator at Betonmast Boligbygg on the construction site of Selvaag’s new buildings.

FUTURE RESOURCE RECYCLING

In the future, the team expects to have a software for creating ID for each component of the building, so they have a complete view of all available resources. – In this regard, the complete building may be seen as a warehouse full of resources, which will be recycled after further dismantling or reconstruction. We develop a view of resources hidden in the building. Thor Guttormsen at Norgips is impressed by the Betonmast’s capacity to innovate and furthermore, contribute. – We observe large variations depending on a type of the project and on actual performance capacities with solutions available today. We have had a productive cooperation where we together explored and evaluated solutions, which resulted in waste reduction – and alongside allowed us to shorten assembly time. The key was to benefit each other. I would call it a successful interplay!

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GYPSUM To produce plasterboards one needs only gypsum, water, and paperboards, but the result is both environment-friendly, circular, and creates comfortable space.

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SUSTAINABILITY REPORT 2021/2022


GYPSUM

DID YOU KNOW THIS ABOUT GYPSUM? WHEN AMERICAN STEPHEN KELLEY took out a patent for the first modern plasterboard in 1908, he could hardly imagine that his innovation would be an environment-friendly and sustainable product. Back then, residential construction was aimed to protect from unpredictable weather. No one saw any reason to consider the earth to be our most important home. Our plasterboards do not emit any toxic gas or particles, and they are not dangerous to deal with. Since the plasterboards have good capacity to induct and give off heat and humidity, they contribute to a comfortable indoor environment. So, though Kelley did not know that in 1908, he, however, created a product for the future – and in more than one way. GYPSUM’S CIRCULAR LIFE

Gypsum is a natural product, and natural gypsum deposits are considered to contain over 2000 bln tons of gypsum. To produce a plasterboard one only needs gypsum, water, and paperboards. Cardboard used for our production of plasterboards is recyclable. 20 percent of raw gypsum that we exploit comes from plasterboards that have already played their role. The rest of raw materials are industrial gypsum from Germany. By using industrial gypsum, we avoid exploiting natural gypsum and both save raw materials and shorten transportation routes – which, again, minimises CO₂ emissions. ROOMS FOR LIFE

Plasterboards have a unique capacity to induct humidity from the surroundings and reduce considerable drops in relative in the premises. Also, plasterboards contribute to even out temperature fluctuations. The plates have the ability to store heat that is released when the temperature drops. To obtain many of advantages of gypsum It is important that the surface treatment of the gypsum boards is done correctly, among other things by using paints that do not have too dense paint flicker as the plasterboard needs to breathe. As an alternative to paint, some of our products may be sanded with gypsum.

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SUSTAINABILITY SUSTAINABILITY REPORT REPORT 2021/2022 2021/2022

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LESSONS AND PREDIC TIONS

We are going to contribute as eagerly as in 2021 We are going to contribute as eagerly as in 2021. 2021 became a year marked by optimising processes, green logistics and much learning. Here, Supply Chain Director Bjørn C. Ottersen, CEO Hilde Kristin Herud, and Production Manager Ole Reidar Warp look back at 2021 – and share their predictions for the coming year.

Ole Reidar Warp, Production Manager

– WE ARE GOING TO GROW IN RECYCLING LESSON FROM 2021

Like the most others, our operation production activities have been influenced by the pandemic. It caused several challenges; however, it gave us also several possibilities. During the last years, Norgips has made substantial investments in new equipment, and in 2021, we were given enough time and comfort to learn to experience it. Our production has grown as never before; besides, we could focus on optimisation processes. Therefore, the past year taught us many lessons. To name a few, we have learned how to save energy during plasterboard pro-

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duction, and we have learned to produce more and reduce manufacturing defects. We were relieved from the necessity to purchase plasterboards from other suppliers to meet the demand and managed to minimise our transportation impact on the environment. One of the significant lessons is that now we can recycle plasterboards repeatedly. The volume of recycled materials in production increased from 33 000 tons in 2020 up to 47 500 tons in 2021. PREDICTION FOR 2022

I have been working here for 36 years and all the years were exciting and full of remarkable events. For 2022, I predict that we are going to grow even bigger at recycling. Our purpose is to increase the volume of recycled gypsum from Norsk Gjenvinning from 47 000 tons up to 55 000 tons – and we could receive more. By using recycled gypsum, we avoid exploiting natural gypsum and reduce transportation. In 2022, we are still going to keep a daily focus on savings and smaller projects. By giving attention to people, development, and organisation, we will stabilize our new production level we set in 2021, regarding both volume and quality. To achieve our goals to become a circular and more sustainable gypsum manufacturer, we fully depend on our employees.

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LESSONS AND PREDIC TIONS

Hilde Kristin Herud, CEO

– WE WILL MANAGE A LOT, IF WE REALLY WANT! LESSON FROM 2021

Our world is unpredictable! We really tasted it in 2021. Although we set clear purposes for our activities in the past year and which projects, we should prioritise, we had to handle one more year with Covid-restrictions and struggle for raw materials which we have never experienced before. Moreover, the demand was extraordinarily high, so our daily operative tasks required more than we were used to. Meanwhile, we managed to perform on sustainable goals we had set for ourselves that year – something we are proud of. We increased the recirculation level, started a new pilot project “zero-waste construction sites”, moved transportation of raw materials to boats, increased transportations by railway, and conducted further work on digitalisation – we must admit, we are quite satisfied with all these steps. Our lesson learned is that we managed more than we thought. And we should dare to keep contributing even though the global picture is constantly changing. PREDICTION FOR 2022

In the coming year, we will be probably dominated by the ongoing energy crisis in our industry. Expenditure patterns have recently changed so considerably, that it will affect innovation, marked prices and, most obviously, desire to make investments. In the meantime, environmental awareness among consumers and professional actors will increase, and they will set stricter requirements to us as suppliers. Therefore, development activities must be continued, despite marked turbulence. We should consider lessons from 2021, contribute with the same enthusiasm, and show the same performance capacity. I guess Norgips will benefit from sustainable activities we initiated several years ago. In this regard, we are already prepared to deliver sustainable products, packaging, and logistic solutions. We are also ready to meet future demands to digitalise all documentation.

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Bjørn C. Ottersen, Supply Chain Director

– PEOPLE ARE STILL OUR MOST ESSENTIAL RESOURCE LESSON FROM 2021

Looking at the global supply chain, 2021 has been one of the most challenging years in history. We have faced capacity deficits both of raw materials, employees, and materials, and with pandemic on the top it has been challenging to keep market leading performance. However, 2021 delivered a lot of positive achievements. When it comes to sustainable logistics, we at Norgips have started a long-term strategic development. We found a smarter way to improve transportation for our deliveries and to use truck capacity. Moreover, we noticed that the market would join us in our contributions within transportation by sustainable railway routes. Focus on greener logistics by sea allowed us to decrease our CO₂ footprint in the past year. 2021 has taught us importance of an initiative team with relevant qualifications. People are still our most essential resource, and we should be grateful to them for highly performed greenery logistics on such an unstable logistics market. PREDICTION FOR 2022

2022 is going to be affected by capacity challenges, but with increased focus on the environment and zero-waste construction sites, as well as centralisation and digitalisation of logistics. I think we are going to see the results of investments made within the green change, and readiness to finance sustainable solutions. We at Norgips will remain transparent regarding our solutions, and together with our customers we will develop a logistics program that will help us to increase profitability. We have had long discussions about digital transformation, but I assume in 2022 we will push on logistics digitalisation. Digital devices will allow us to identify risks, provide predictability and calculate our carbon footprint. All this opens the door for optimisation of incoming and outgoing logistics – and moreover – minimising volume of waste in the construction industry to increase recycling levels at the production stage.

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Norgips.Norge.AS |

Customer service +47 33 78 48 10 ordre@norgips.com

Postal and invoicing address Postboks 655, Strømsø 3003 Drammen

norgips_norge

Factory visiting address Svelvikveien 625 3060 Svelvik

Administration Torgeir Vraas Plass 4 3044 Drammen


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