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SUSTAINABLE ISSUE 04/15

B U S I N E S S

M A G A Z I N E

JAMAICAN EDITION

IN ASSOCIATION WITH THE JAMAICA BAUXITE INSTITUTE

NORANDA

JAMAICA

BAUXITE PARTNERS LIMITED

RUSAL ALPART

JAMALCO HON. PHILLIP PAULWELL Minister of Science, Technology, Energy and Mining, Jamaica.

ALSO FEATURED THIS ISSUE

UNIVERSITY OF THE WEST INDIES • CARILEC

S U S TA I N I N G T O M O R R O W. T O D AY


SUSTAINABLE

B U S I N E S S

M A G A Z I N E

SUSTAINING TOMORROW. TODAY www.sustainablebusinessmagazine.net


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Sustainable Business Magazine is committed to promoting sustainable printing. This magazine is printed on Forest Stewardship Council certified material and manufactured using environmentally sustainable procedures. All lithographic printer inks used are vegetable-based.

SBM Media Ltd Norwich Enterprise Centre, 4B Guildhall Hill, Norwich, Norfolk, NR2 1JH, United Kingdom • T: +44 (0)1603 516519 Email: info@sustainablebusinessmagazine.net www.sustainablebusinessmagazine.net Editor: Fiona FitzGerald Contributing Editor: Parris Lyew-Ayee Assistant Editors: Thomas Massey George Newell Profile Writers: Michael Anjos Marcos Bonnano Jack Griggs-Smith Esther Read Guest Contributor: Phillip Paulwell Web Administrator: Steve Phipps

CONTENTS ISSUE 04/15

Welcome to a special edition of Sustainable Business Magazine, focusing on the work of companies and organizations in Jamaica. Sustainable Business Magazine aims to spread awareness of the values of sustainability, as well as the brilliant ways in which organizations continue to meet challenges and champion corporate social responsibility. We have worked with Parris Lyew-Ayee, Executive Director of the Jamaican Bauxite Institute, to produce an edition which particularly focuses on the progress being made by the Jamaican bauxite mining industry. In an in-depth Q&A, Mr. Phillip Paulwell, Minister of Science, Technology, Energy, and Mining, and Member of Parliament for the constituency of Kingston East and Port Royal, explains how the Jamaican government is supporting sustainable development of the Jamaican bauxite industry and is working to secure a more sustainable future. An article on the Jamaica Bauxite Institute provides an overview of the Jamaican mining industry and details how the institute continues to work towards a more environmentally and socially sustainable industry. The article is based on an interview with Parris Lyew-Ayee, and provides a perfect introduction to a series of articles on the bauxite companies currently operating in Jamaica. Our first bauxite company article focuses on Noranda Jamaica Bauxite Partners Ltd. The article is based on an interview with Noranda executive Pansy Johnson, who spoke to us about how they are factoring sustainability, the environment, and community into their business. For the second article we spoke to Antonio Melo, Managing Director of Jamalco, about how they are contributing to a more sustainable Jamaican mining industry. Finally, Julian Keane, Public Relations Officer for RUSAL Alpart, spoke to us about how they are investing sustainably and building relationships with local communities.

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Jamaica: A Sustainable Business Profile

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Q&A Hon. Phillip Paulwell Minister of Science, Technology, Energy and Mining, Jamaica

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Jamaica Bauxite Institute (JBI)

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Noranda Jamaica Bauxite Partners Ltd. (NJBP)

22

Jamalco

28

RUSAL Alpart

36

University of the West Indies (UWI)

42

CARILEC

46

Advertisers Index

Also in this edition, Dr. David Smith, Coordinator of the Institute for Sustainable Development at the University of the West Indies, explains how they are promoting sustainability throughout the region, while Allison Jean, Executive Director of CARILEC, speaks to us about how they are working with their members to build a more sustainable Caribbean energy industry. We hope that you find this issue both interesting and inspiring. Thank you for reading. Š SBM Media Ltd 2015. No part of this publication may be reproduced in any form for any purpose, other than short sections for the purpose of review, without prior consent of the publisher.

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JAMAICA BUSINESS PROFILE

JAMAICA IS SUCCESSFULLY REDUCING ITS RELIANCE ON IMPORTS.

JAMAICA A SUSTAINABLE BUSINESS PROFILE There’s a lot of good news for Jamaica. Like other small island developing states (SIDS), it has been grappling with an array of sustainability challenges, from public debt, to unemployment (and the resulting high crime rate), to infrastructural damage from natural disasters and environmental damage from industry; but Jamaica is facing up to these challenges, through a combination of government intervention, social investment by responsible businesses, and the hard work and tremendous accomplishments of individual Jamaicans in their communities. In the World Bank’s 2015 Doing Business rankings, Jamaica achieved the highest rank in the Caribbean, leaping forward 27 places to 58th among 189 2 | SUSTAINABLE BUSINESS MAGAZINE

economies worldwide. As a result of ambitious policy changes, the country’s long-time debt-to-GDP imbalance is projected to finally fall, effective community policing efforts have led to a drop in crime, Jamaican tourism continues to grow, and the vital bauxite and alumina industry is resuming production, bringing with it thousands of jobs. In the midst of all these positive indicators, what does the framework for business and sustainability in Jamaica look like today? Jamaica’s economy is largely determined by its physical landscape. The mountainous center of the island houses minerals like bauxite and gypsum, the sunlight-receiving alluvial plains to


the south are ideal for sugarcane cultivation, and the U.S.-facing, attractive beaches along the north coast provide the bulk of the tourist revenue which makes up an increasing proportion of Jamaica’s GDP. The one key resource Jamaica lacks is fossil fuels, and its absence has defined Jamaica’s slow economic growth for decades. POWERING AN ISLAND Jamaica has no deposits of coal, petroleum, or natural gas. Historically, almost all Jamaican electricity has been produced through the burning of costly, imported oil, which has left the country vulnerable to price increases. Refined and crude oil make up a huge 32% of Jamaican imports. Furthermore, inefficient Jamaican energy infrastructure wastes over half of this imported energy. Issues with affordability and reliability have long been turn-offs for Jamaican businesses. However, this is all set to change. A stream of new policies have enshrined the principle of energy efficiency into concrete objectives, and new partnerships with the United States and other Caribbean nations are set to reduce Jamaica’s energy costs, improving coverage and reliability. Jamaica has had some recent success with solar, hydroelectric, and wind power, and these renewables make up a steadily growing percentage of its supply. Its greatest renewable energy resource however, may come from an unlikely sphere.

SWEET HARVEST When Jamaica was a British colony, its sugarcane production made it “the best jewel in the British diadem”, exporting 22% of the world’s sugar. The alluvial plains in the island’s south offer the ideal environment for sugarcane cultivation, and the strong tropical sun means more sucrose in the cane juice. Sugarcane remains by far Jamaica’s biggest crop; but this colonial holdover comes with some challenges. Large-scale commercial plantations grow sugarcane under a system of monoculture, and profits don’t necessarily make their way to the local communities. Nor is Jamaican sugar the trade behemoth it once was. Agriculture makes up a steadily declining percentage of Jamaica’s overall GDP (6.7% in 2012), though almost 20% of Jamaican jobs continue to be agricultural. Jamaica’s food import bill is now US$1 billion a year, partly a consequence of Jamaican tastes shifting towards an American-style diet heavy on processed food, but also an inevitable by-product of a country which produces no grains in significant quantities. However, Jamaica is successfully reducing its reliance on imports. After the world food price crisis of 2007-9, the government began a national initiative called “Eat What We Grow, Grow What We Eat”. In the years since, Jamaica has increased its consumption of home-grown potatoes and cut down on imports. Furthermore, as Jamaica’s sugar exports have declined, the country has seen a surSUSTAINABLE BUSINESS MAGAZINE

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JAMAICA BUSINESS PROFILE

KEY STATS

Source: https://www.cia.gov/library/publications/the-world-factbook/geos/jm.html

JAMAICA SIZE: Island 10,991 km2 EXCLUSIVE ECONOMIC ZONE: 235,000 km2 GOVERNANCE: Constitutional Monarchy HDI/IHDI: 0.715/0.579 POPULATION: 2.93 million LABOR FORCE: 1.3 million LANGUAGE: Jamaican Patois, English. GDP (PPP): US$ 24.28 billion PER PERSON: US$ 8,700

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$

Capital: Kingston

PRINCIPAL ECONOMIC PARTNERS: • United States • Venezuela • Canada • Trinidad and Tobago PRINCIPAL INDUSTRIES: Tourism, bauxite/alumina, agriculture, manufacturing, services.

prising uptick in non-traditional exports like yam, papaya, ackee, and sweet potato. These kinds of crops, unlike sugar cane, are typically grown in small-scale, mixed farms. The island’s agricultural future may lie in the production of these crops, grown in a way that preserves the fertility of the soil and the prosperity of the farming communities. What of sugar? For a long time, sugarcane processing in Jamaica has been powered by the burning of bagasse (the fiber which is left over after sugar-containing juice has been extracted from the cane), and now sugar producers, in collaboration with the Jamaican government, have begun to lay down the infrastructure to sell excess energy generated through this process to the national grid, and to construct biomass power plants. In the long term, it will even become possible for Jamaica to process bagasse into fuel ethanol, producing cleaner, truly home-grown energy. WEALTH OF THE EARTH Bauxite and alumina bring in a substantial portion of Jamaica’s foreign exchange. Jamaican bauxite is the second largest export in the Caribbean Community (CARICOM), after Trinidad and Tobago’s petroleum, and it is Jamaica’s most highly-paid economic sector. Bauxite was discovered on the island in the 1940s, as a


TOURISM CONTRIBUTES INDIRECTLY TO APPROXIMATELY A QUARTER OF JOBS, AND REPRESENTS A GOOD EARNER FOR MANY ENTREPRENEURIAL JAMAICANS.

consequence of greater demand for aluminum prompted by World War II. In 2008, Jamaica was the world’s sixth largest producer of bauxite, producing 14.6 million tons per year, 7.1% of total world production. As a result of the world economic downturn, many of the mines had to shut down, but Jamaica’s bauxite production is kicking into gear once more. Mining in Jamaica has brought with it particular sustainability problems, particularly deforestation, as well as some harmful by-products. However, Jamaican companies, in collaboration with government regulators, are working to control environmental hazards, to reclaim mined-out land for local agriculture, and to work with communities to employ locally and to contribute to infrastructure development. As the Gleaner notes: “The industry landscape across St Elizabeth, St Ann, Manchester, Clarendon, and St Catherine is literally dotted with schools, colleges, play fields, community centers, clinics, roads, skills centers, businesses, housing estates, and water stations that all bear the stamp of bauxite development assistance”. WELCOME VISITORS Tourism brings particular sustainability challenges for the island. All-inclusive vacation packages prevent wealth from being passed on to local Jamaicans. Around 30% of tourist spending ‘leaks’ abroad as

goods and services are imported, and the industry’s environmental impacts threaten to harm the island’s tourist-attracting natural beauty. This industry, however, is an economic powerhouse for Jamaica. From April 2013 to March 2014, Jamaica welcomed over two million visitors, plus an additional one and a quarter million from cruise ships, bringing in more than US$2.1 billion. Tourism contributes indirectly to approximately a quarter of jobs, and represents a good earner for many entrepreneurial Jamaicans. The industry was one of the few in Jamaica which was barely affected by the global economic downturn. Furthermore, the World Travel and Tourism Council projects Jamaican tourism will rise from 27.2% of GDP in 2014 to 37.5% in 2025. What’s more, Jamaica is increasingly taking a lead on controlling environmental damage since Hurricane Sandy in 2012. The Jamaican government continues to expand environmental initiatives to protect the coasts, sustainable eco- and agro-tourism is growing, and small- and medium-size hotels particularly are seeing increasing numbers of guests, as are informal rental spaces found through the accommodations website Airbnb. In short, if Jamaica can combine inexpensive, clean energy with home-grown food and the prosperity brought in by responsibly-managed industries like sugar, mining, and tourism, this tropical island can count on a bright, and sustainable, future. c SUSTAINABLE BUSINESS MAGAZINE

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Q&A PHILLIP PAULWELL

Hon. Phillip Paulwell Minister of Science, Technology, Energy and Mining, Jamaica.

How are you supporting sustainable development of the Jamaican bauxite industry? The Ministry is supporting sustainability within the bauxite and alumina sector through a range of mechanisms, including the following: 1. Mandatory rehabilitation of mined lands, consistent with the requirements of the Mining Act, Quarries Control Act and other relevant legislations, policies and guidelines, within three (3) years after mining of a pit has been completed. All companies are required to observe this stipulation, which provides for the levying of a US$2,500.00 fine for each year that a hectare of mined land remains un-rehabilitated. In addition, the Mining Act provides for a fine of US$25,000.00 per hectare to be levied on any company in the event that the GOJ is forced to rehabilitate any area left un-rehabilitated after three years. As the mentioned rates and fines associated with the rehabilitation of mined lands were set over twelve (12) years ago, there is consideration for an upward adjustment to the related costs over the period. 2. Ensuring that the companies employ appropriate technologies in managing the waste (red-mud) produced during the alumina processing operation. This includes research into the harnessing of rare earth minerals and increasing the amount of caustic soda recovered from the waste. It also includes improving the dry-stacking method employed in storing the red mud. 3. Requiring the mining companies to transition mined lands into agricultural development, forestry, and using re-profiled and lined pits for water catchment (rain water harvesting) and storage. When rain water is harvested, it is provided to farmers to facilitate increased agricultural output and to residents for domestic and other uses. 4. Funding of the Bauxite Community Development Programme (BCDP from some of the financial resources obtained from the sector. Thissupports sustainable livelihoods within bauxite-bearing and alumina-impacted communities. The BCDP provides for the provision of financial grants to support the funding of small/community-scale investment projects – agricultural, value-added agriculture, green6 | SUSTAINABLE BUSINESS MAGAZINE

house farming; construction , expansion, and renovation of buildings, roads and other infrastructure, including schools, community centres, health centres, hospitals, etc.; education and training; agricultural services and technology, etc. 5. General investment of the Government of Jamaica’s (GOJ) proceeds from the bauxite and alumina sector into all areas of national development to facilitate increased economic development, improved standard of livings, better infrastructure, and a reduction in the national debt. 6. Increasing the size of the country’s bauxite reserves, especially through a constant mineral exploration programme and a rigid blending regime in which rich and lower quality ores are blended to provide an acceptable feed for the plants and customers. In addition, the Ministry is employing measures to optimize the companies’ use of bauxite. How are you ensuring local communities feel the benefits of a successful mining industry? The Government of Jamaica (GOJ) is pursuing this objective in a number of ways, including: i. Ensuring that the BCDP is funded by the sector. Particularly through the ‘Community Councils’ in the bauxite mining and alumina processing areas (host communities), residents are encouraged to directly and indirectly provide products and services to the mining companies. Through the BCDP, investment projects in agriculture, agri-business, and other areas are funded so as to help provide employment for and improve the livelihood of residents. ii. Impressing upon the bauxite and alumina companies the significance of pursuing a focused policy of good social and corporate governance, which assist community development. iii. Encouraging the companies to employ competent residents from the host communities. This includes contracting local persons to provide various services, including haulage of bauxite. Local haulage contractors have employed hundreds of trucks (on-road heavy haulage units) and other pieces of equipment in


mining and transporting bauxite. Currently, local contractors provide mining and haulage services for the three operating bauxite and alumina operations. How do you make sure that the concerns of local people are taken into account by both companies and the government? The Ministry seeks to ensure that the concerns of residents in host communities are heard and actioned through a variety of media, including the following: i. Direct support to the Bauxite Community Councils (BCC), particularly in the areas of effective and proper governance and maintenance of the BCCs. Through the JBI, leaders and members of the BCCs are trained in effective governance and members of the JBI, the Mines and Geology Division (MGD), and the Ministry are in regular attendance at BCC meetings to hear their concerns and to interface with various stakeholders so as to address said concerns. ii. Community monitoring and interaction by the JBI. This includes participation in meetings of the Citizens Associations, discussions with heads of educational institutions, farmers groups, NGOs, and other Community Based Organisations (CBOs). iii. Monitoring of the bauxite and alumina works by the MGD and direct response to concerns raised by citizens. iv. Regular meetings of the Bauxite Lands Land Titling Committee (BLLTC), which includes representatives of all the bauxite and alumina companies. Chaired by my Minister of State, the BLLTC meets quarterly to take reports from the companies and bring solutions to problems impeding their progress in completing subdivisions for resettling residents whose lands they have bought for mining or other purposes. The BLLTC seeks to accelerate the speed at which this process can be completed by ensuring that all GOJ entities impacting the process give it priority attention. The companies are also strongly encouraged by the GOJ to prioritize this activity. Apart from new houses, where agreed, persons who sell their lands to the companies are provided with land titles for the new parcels that they have been given. How are you encouraging research and innovation? GOJ policies encourage the bauxite and alumina companies to pursue research and innovation, which will advance all facets of the bauxite and alumina sector. The JBI was established to pursue research into the processing of Jamaican bauxite and to work with other local entities in various areas of research and innovation relevant to the sector. Consideration is being given to allowing the bauxite and alumina companies financial incentives to pursue relevant research and innovation, which improve their efficiencies, competitiveness and profitability. The JBI, MGD, and the Forestry Department (FD) are funded, in part, to pursue research in the area of land rehabilitation, including the development and introduction of plant species that thrive on rehabilitated lands, bind the soil and facilitate rapid and full revegetation of the rehabilitated areas. To support the wider economy, the GOJ has revitalized the National Commission on Science and Technology (NCST). In 2012 the Ministry introduced the Annual National Science and Innovation Awards (ANSIA), which give national recognition to scientists and in-

novators in various disciplines and areas of the economy. The ANSIA has become very competitive and includes a ‘Young Scientist Award’ to help promote science, engineering, and innovation among young persons. Within the technology portfolio, various programmes and projects specifically geared towards innovation and entrepreneurship are being pursued. These include Kingstoon, Kingstoon Animation Festival, Digital Jam, and Start-up Jamaica. How are you promoting renewable energy? The development of the country’s renewable energy potential is a major policy objective. Both the National Energy Policy (NEP) and the draft National Minerals Policy (NMP) promote the development and use of renewables. A primary target of the NEP is to have renewables providing 20% of the country’s energy demand by 2030. This includes electricity and fuel for vehicles. Approximately 80MW of wind and solar power are currently being installed by three companies. This capacity is slated to be commissioned and added to the national grid by the end of 2016. The 20MW solar farm will be the first in Jamaica, and the largest in the Caribbean. What is the outlook for energy and mining in Jamaica? The outlook is positive. In excess of 270MW of new capacity, including gas and renewables are to be added to the grid within three years. Additionally, a minimum of 80 MW of new capacity is to be completed by two of the three alumina companies within the next three years. I am seeking to ensure that this figure is doubled as the largest of the country’s alumina plants needs to install at least 60MW of power so as to help improve its efficiency and reduce its production cost. The expectation is for the refurbishing and reopening of the country’s largest alumina plant by the end of the fourth quarter of 2016, improved competitiveness of the country’s alumina plants, continued growth within the Industrial Minerals Sector, especially the Limestone Sub-sector, increased exploration for gold and copper and the opening of a gold-copper mine in the near future. What achievements are you especially proud of? I am particularly proud of the following: i. The injection of new capital and the introduction of a new investor in the JAMALCO Bauxite and Alumina Works. The new investor, Noble, has set about upgrading various systems within the bauxite mining and alumina refining chain, including building additional generating capacity to ensure self-sufficiency in its electricity and steam demand. ii. The current and planned construction of new generation capacity, which will help to reduce electricity cost and promote economic development within the wider economy. iii. The introduction of ‘net billing’, which has helped households and small commercial operations generating up to 1 MW, to provide their own renewable energy solution and sell the excess to the Jamaica Public Service Company (JPSCo). iv. The overhauling of the legislative framework governing the energy sector, which includes the new Electricity Policy, etc. v. Parliament’s passage of amendments to the Quarries Control Act. c SUSTAINABLE BUSINESS MAGAZINE

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JAMAICA BAUXITE INSTITUTE

JAMAICAN BAUXITE Sustainable Business Magazine talks to Parris Lyew-Ayee, Executive Director of the Jamaica Bauxite Institute. Written by Jack Griggs-Smith. The existence of Bauxite in Jamaica was first reported in the 1860s when the presence of large quantities of red earth, terra rossa, was discovered. In 1942 an extensive study revealed that these alumina and iron rich deposits, known as bauxite, were widespread throughout Jamaica. Early trials, however, had environmental impacts and as operations continued they impinged upon local communities. The industry was not only facing environmental

issues, but also social ones. Despite these early teething problems, mining operations continued and in 1976 the Jamaica Bauxite Institute (JBI) was formed with the aim of overseeing the bauxite and alumina industry. Its key objectives were to centralize and coordinate the activities of several government agencies in the bauxite sector, and to establish plans for the regulation of the industry to meet local and international standards. In April 1994, a Memorandum of Understanding was signed between the JBI and the National Environment and Planning Agency (NEPA), delegating responsibility for the environmental management of the bauxite/alumina industry, and the mitigation of impacts on the environment, to the JBI. ENVIRONMENTAL ISSUES There are many environmental issues associated with the bauxite industry. These

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include water and air contamination, as well as waste disposal. Disposing of red mud, the waste product generated during the production of aluminum, can be particularly difficult because its alkalinity makes it environmentally hazardous. Finding ways to dispose of red mud safely and effectively remains an important issue for the bauxite mining industry. “Bauxite is a major source of revenue for the country,” explains Parris Lyew-Ayee, Executive Director of the JBI. “Unlike in many other countries, the bauxite is distributed over about two thirds of the country, all within close proximity of communities. This creates strong competition for land and poses the dilemma of how the bauxite can be mined and extracted without causing problems for the local communities, especially when much of the bauxite operations take place in areas where up to 70% of the population is below the poverty line.”


Even before the existence of environmental agencies and regulations, the JBI recognized that for the bauxite and alumina operations to operate in harmony with the rest of the country, they would have to adhere to good international standards regarding noise pollution, air pollution, and especially water pollution. “We recognized very early, before environmental issues became fashionable, that certain precautions

needed to be put in place to protect the health and safety of local communities.” The JBI works in collaboration with other agencies and is proactive in ensuring that the Jamaican bauxite industry has minimal or no adverse impact upon the environment. This has been achieved by ensuring compliance with local standards and regulations through a regular and effective monitoring programme, and by conduct-

ing regular reviews on the environmental performance of the industry and instituting the necessary corrective actions. This has encouraged research and development aimed at identifying new technologies for minimizing waste and creating a cleaner, more efficient production process, while fostering and maintaining a harmonious relationship with local communities. Mr. Lyew-Ayee explains that the industry has implemented new environmentally friendly mud disposal techniques. “One thing that is very important for us is the disposal of red mud. We recognized how disastrous it was in the early mining operations, and the core of what we do at the JBI is to be pro-active in the prevention of future dangers.” The new techniques involve dry and thick mud stacking; a process in which thin layers of mud are spread on sloping beds to drain and evaporate to a high solid content. They are designed to maintain zero discharge from the plant to the environment. HIGH STANDARDS The JBI, in collaboration with relevant government agencies, conducts regular site visits and performs environmental reviews of each company. At these reviews, performance data is evaluated and the sites

FINDING WAYS TO DISPOSE OF RED MUD SAFELY AND EFFECTIVELY REMAINS AN IMPORTANT ISSUE FOR THE BAUXITE MINING INDUSTRY.

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JAMAICA BAUXITE INSTITUTE

are inspected by monitoring programs to guarantee that standards are met. These programs ensure that not only is sodium concentration in the water closely monitored at various points around all the alumina facilities, but also that the pH, hardness, alkalinity, sulphate, nitrate, conductivity, chloride, and total dissolved solids are taken into consideration. Around each alumina facility several monitoring points including domestic water and monitor wells are sampled monthly and surface water bodies are analyzed, in some cases on a weekly basis. In addition to routine water quality monitoring, special hydro-geological studies were done to define the extent of any sodium contamination of ground water resources, and as a result it has been confirmed that

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domestic water supply is not being affected by bauxite and alumina operations. Ambient concentrations of atmospheric gaseous emissions from the stacks at the alumina plants are also monitored on a regular basis. These include sulphur dioxide, nitrogen oxides, ozone, and carbon monoxide. Ambient levels of these gases are determined by continuous samplers, which are placed within communities surrounding the respective alumina plants. These samplers are placed in areas found within the predominant wind direction as well as the opposite upwind direction. To date, the respective NEPA standards for these gases have not been exceeded. The JBI also conducts reviews of waste management; monitoring environmental spills and incidents, and creating

action plans to identify and address areas of concern. Outside of these reviews regular site visits and spot checks are also made to all the various facilities including bauxite mining areas, alumina plants, and ports. As well as implementing these monitoring programs, the JBI actively participates in monthly meetings held with various community councils at the respective locations. These meetings help provide education and agricultural skills training. “We formed community councils, made up of representatives from the companies and from members of parliament, in order to allow them to voice their concerns about the operations,� explains Mr. Lyew-Ayee. “We want to make sure that there is peace between the communities and the companies, and over


the last seventeen years we have largely succeeded in helping the local communities to help themselves. Since we started more than 500,000 people have benefited from these programs. We have something like 300 projects in the 150 communities we work in.” A POSITIVE LEGACY It is very important to the JBI that land can be used to the benefit of local communities once mining operations have finished. Rehabilitation of land is achieved through reclamation, this refers to the activities

necessary to reshape and re-soil the mined out pit according to government guidelines which have been developed with industry input to ensure acceptable restoration standards. Reclamation is achieved almost entirely by planting the reclaimed areas with pasture grasses, followed by inspection and certification to ensure that the land is suitable for commercial agriculture or can be made available to tenant farmers. This allows crops to flourish and thereby sustains further industry. “The bauxite development program is something I am extremely proud

of,” says Mr. Lyew-Ayee. “Before it started we had weekly, if not daily, demonstrations and we knew that at its heart it was a social problem not an environmental problem. In the past there were companies telling us to dump our red mud at sea, but this was something I was against. The red mud is a resource for the future. Our red mud has 60% iron and contains many valuable minerals, and last year we were successful in extracting these elements. This means that waste material that was once lost can now be used a resource for the future.” c

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NORANDA JAMAICA BAUXITE PARTNERS LTD

NORANDA JAMAICA BAUXITE PARTNERS LTD. HAS THE CAPACITY TO MINE IN EXCESS OF 5 MILLION TONS OF BAUXITE PER YEAR.

SHIPPING.

INVESTING IN THE COMMUNITY Sustainable Business Magazine speaks to Pansy Johnson, an executive of Noranda Jamaica Bauxite Partners Ltd., about how they’re factoring sustainability, the environment, and community into their business. Written by Esther Read.

As of 2011, Noranda Jamaica Bauxite Partners Ltd. (NJBP), operated by Noranda Bauxite Limited (NBL), has the capacity to mine in excess of 5 million tons of bauxite 12 | SUSTAINABLE BUSINESS MAGAZINE

per year. This represents a significant contribution to a section of the global mining industry which extracts the raw material needed to produce a large amount of the

world’s aluminum. The majority of NJBP’s customers are located on the U.S. Gulf Coast. The company began mining bauxite on the north coast of St. Ann, Jamaica, in


LOADED BAUXITE TRAIN ARRIVES AT THE PLANT.

MINED OUT LAND REHABILITATED AS CITRUS GROVE.

1967. Starting as Kaiser Aluminum Corporation’s mining company, they remained Kaiser Bauxite Company for 37 years. For five years the company operated as St. Ann Bauxite Limited before Noranda Aluminum Holdings purchased shares formerly owned by their joint venture partner Century Aluminum in September 2009. These shares gave Noranda Jamaica Bauxite Partners Ltd., the managing partner, a 49% ownership in the facility. The remaining 51% is held by the government of Jamaica. When Noranda acquired their shares many global markets were still being affected by recession and the subsequent decline of the industry. Within an environment that was making it increasingly difficult to prosper, NJBP managed to go from strength to strength. Despite the global economic

MINED OUT LAND USED FOR RESETTLEMENT HOUSING.

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NORANDA JAMAICA BAUXITE PARTNERS LTD

“ONE OF OUR GREATEST IMPACTS IS IN THE RECLAMATION OF OUR MINED OUT PITS, SOMETHING THAT HAS BEEN ONGOING SINCE NORANDA TOOK OVER THE OPERATION OF THE FACILITY.”

slump NJBP took measures to increase their mining capacity and in 2015 they are now continuing to develop and expand. In an interview with Noranda executive Pansy Johnson, Sustainable Business Magazine learns about the efforts being made by NJBP to regulate their interactions with PRODUCTION AND LOADING.

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their local communities, thereby ensuring positive impacts of their operations through their various improvement programs. On top of monitoring their sustainability metrics and the adoption of lower impact fuel, NJBP has won awards for supporting numerous educational schemes and grants

which open avenues and promote societal growth. It seems NJBP recognizes the great importance of having an active social consciousness, as well as sustainable business procedures, in an industry so closely linked to the surrounding land and its citizens. “What we aim to do is make sure

GREEN HOUSE CLUSTER IN MINING AREA ON REHABILITATED PIT.


PRODUCTION, UNLOADING FROM TRUCKS TO RAILROAD CARS.

we continue these good things and make them better,” states Ms. Johnson. “We are expanding production and we want to do so while controlling our impact.” ENVIRONMENTAL SOLUTIONS As a fundamental part of its daily operations and in tandem with its strong focus on safety, Noranda practices and promotes responsible environmental behaviour. To complement its internal reporting protocol NJBP adopted the use of standardized global reporting techniques in 2012 to produce formalized annual report targets measuring key metrics such as electricity, solid and hazardous waste, greenhouse gasses (GHG), and fuel. These reports enable their Sustainable Leadership Team to oversee sustainability progress. Achievable goals, such as the reduction of waste stream and improving

the use of energy efficient systems to reduce carbon emissions, are helping NJBP evolve and improve each year. Long term projects such as water harvesting, solar lighting, LED lighting, ultra-low Sulphur fuel, and waste recycling/reuse (they currently recycle plastic bottles and reuse waste oil) are also underway. “We have, at this point, switched to ultra-low Sulphur fuel for all of our automotive vehicles,” explains Ms. Johnson. “Also

the aim is to reduce our fuel usage by 10% over the next two years. Currently the Drying plant uses about 200,000 oil barrels (bbls) at our current level of production. We expect to take that down by 20,000 bbls per year”. NJBP has dedicated a great deal of time towards finding innovative methods to control the water used to minimize dust emissions. To augment the shrouds used to cover the shuttle that releases ore into the

RAIN WATER COLLECTION POND USED FOR IRRIGATION.

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Portside Towing Limited Portside Towing Limited (“Portside”) is a privately own Jamaican company involved in providing tug and towing services primarily to ships docking and undocking in Jamaica’s ports. Portside is located at 102-112 Water Lane Newport East Kingston CSO. The company began its operations in 1992 and its owners consist of experienced Marine Pilots who have successfully managed the business over the years. The harbour tugs sector, like shipping, is a global and borderless enterprise. Ship owners and charterers will continue to benefit from tug assistance during manoeuvring and when in distress, requiring emergency assistance for towage, salvaging, search and rescue, firefighting and pollution control. Our fleet of five tugs ranges in capacities from 1,200 to 4,500 horse power. This mix will allow Portside Towing to adequately service the nine out ports, the Port of Kingston when required, and accept engagements for international assignments.

Our main focus is to provide a high quality service at a competitive price. Success will be measured by our clients continuing to choose us, because of their belief in our ability to meet or exceed their expectations of service. Mission

Portside Towing’s mission is to provide timely marine support solutions to ship owners, charterers and terminal operators, becoming their safety partner for efficient and reliable tug service geared towards reducing the vessel’s stay in port and protecting the customer’s investment. Portside is dedicated to providing a high quality service to all our shipping agents by developing successful relationships with them, our staff members, and other stakeholders within the shipping industry. We will continue to respect the interest and goals of each of the parties with whom we do business. In order to implement our strategic goals, we are focused on developing the following tools: • Effective communication systems between ship agents/terminal operators and Portside Towing, and between tug captains and pilots. • Setting deployment schedules that can be met. • Hiring and retaining reliable, Tug Captains. • Understanding what the customers are trying to achieve, and helping them to reduce the vessel’s stay in port and protect their investment. • Knowledgeable, friendly staff that can meet the shipping agents needs and circumstances.

• Services to meet or exceed the expectations of our clients, that are affordable and of the highest quality. • Efficient service delivery with minimum wait times. • Continuously reviewing and expanding our service offering as we believe customer service and competitive pricing is the cornerstone of our success. • Employee welfare is equally important to our success. We will continue to treat our employees fairly with the utmost respect and endeavour to ensure our employees feel a part of the success of Portside.

Portside Towing’s currently provides vessel assistance for docking and undocking manoeuvres on the north and south coast ports of Jamaica. Towing of vessels in distress in or outside Jamaican waters, Portside operate in the following ports:

PORTLAND BIGHT • PORT KAISER • MONTEGO BAY • OCHO RIOS DISCOVERY BAY {PORT RHODES} • PORT ANTONIO • FALMOUTH • RIO BUENO 16 | SUSTAINABLE BUSINESS MAGAZINE


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email: operations@hasjamaica.com • www.hasjamaica.com SUSTAINABLE BUSINESS MAGAZINE

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NORANDA JAMAICA BAUXITE PARTNERS LTD It should be noted that NJBP’s environmental and sustainability work began before they started standardized reporting of their sustainability metrics. “One of our greatest impacts is in the reclamation of our mined out pits, something that has been ongoing since Noranda took over the operation of the facility,” says Ms. Johnson. “The facility is current engaged in reclamation activity, the intent being to reclaim these mined out areas and return them to productive farming as quickly as possible Currently ninety percent of all reclaimed lands are used for agriculture, mainly pasture and cash crops with the remaining ten percent for housing.”

holds of the ships, they are testing a dry fogging system to eliminate dust from the loading process. They are also expanding the use of lined ponds to collect rainwater run-off for the wetting of mining roads in order to control dusting. The company

YOUNG NETBALLERS AT NORANDA.

has made significant strides and does not appear to be curbing their efforts to search for new dust-minimizing techniques; a recycling program which would use the process water from the operations is currently being considered.

EMPLOYEE MENTORING STUDENTS.

COMMUNITY MINDED NJBP dedicates a lot of time and resources to fostering education and training within their local community. They offer education scholarships, set up sports competitions and mini leagues, donate computer labs, and are partners with the Jamaica Foundation for Lifelong Learning, a national organization dedicated to improving adult literacy. Two community skills training centers, one at Discovery Bay, their plant site and the other at Water Valley, the mining area,

NORANDA ENTERPRISE START-UP.

CRICKET COMPETITION AT NORANDA (PORT RHOADES SPORTS CLUB).

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Brecheen Pipe and Steel Brecheen Pipe and Steel is one of America’s leading suppliers, supporting the bauxite industries in America and Jamaica. We strive to give our partners the quality service and products that they deserve. We have been an integral supplier to the bauxite mining industries in Jamaica and support the supply chain needed to keep this sustainable industry moving forward.

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NORANDA JAMAICA BAUXITE PARTNERS LTD NORANDA JAMAICA INDEPENDENCE SCHOLARSHIP AWARDEES AT KING’S HOUSE WITH JAMAICA’S GOVERNOR GENERAL SIR PATRICK ALLEN (CENTRE), ST. ANN CUSTOS RADCLIFFE WALTERS 5TH LEFT, LADY ALLEN (7TH LEFT) AND NORANDA’S PANSY JOHNSON (8TH LEFT).

THEIR CONTRIBUTIONS TO COMMUNITIES AND THE ECONOMY ARE HELPING TO BUILD A MORE SUSTAINABLE JAMAICA.

have been built and equipped by the company. Training courses in mechanics, welding, information technology, and electrical skills are offered with some 45 community residents in attendance at any one time. “I call our involvement in schools ‘the other side of mining’,“ says Ms. Johnson. “The company does a lot in terms of improving the physical plants of schools. We put computer labs and bathrooms in place and we put playfields in place. We use our heavy equipment to put playfields in schools and we assist with the fencing and securing of their areas. We allocate significant sums to the academic side of things, and give over 150 scholarships and bursaries each year. We also built, support, and sponsor what we call a ‘basic school’ [Water Valley Basic School] in Jamaica, which is at the pre-primary level.” This dedication to social responsibility allows NJBP to interact with the local community on a special level. With the development of the Noranda Jamaica Bauxite Partners Community Councils, the company 20 | SUSTAINABLE BUSINESS MAGAZINE

maintains constructive communication, and open dialogue about any issues, between themselves and communities in their operating area. The Community Councils are a joint effort by the company, the Jamaica Bauxite Institute, community groups, and other government agencies. They operate like NGOs and establish mutual understanding, trust, and support between NJBP and their neighboring communities. The councils created the GetStart program, which is dedicated to the development of micro enterprise and has already been

responsible for 95 new projects. “We are focusing a lot on income generating projects,” explains Ms. Johnson. “Our mining operations fall within a fairly low income area which is heavily agricultural, and so a lot of our projects lean towards agriculture. One of the initiatives that we are involved in, and which we are pretty proud of, is a greenhouse project which was started some years ago.” This impressive project was initially set up in conjunction with the Jamaica Bauxite Institute (JBI) and with the assistance of the American Agency for


NORANDA LEADERSHIP MEETING WITH COMMUNITY COUNCIL.

International Development (USAID). “Three pilot greenhouses were initially constructed and a mined-out pit used to capture rain water to provide the necessary irrigation. These greenhouses were then handed over to farmers who resided in the area. The project started with 3 and today it has grown to 49 greenhouses. It has transformed the lives of these farmers.” NJBP have taken it a step further and are now working with

a government agency, the Jamaica Social Investment Fund, and the JBI, to finance another 3 prototypes which will be set up in Tobloski, Watt Town, and Nine Miles. Each of these prototypes can accommodate 20 greenhouses, so by the end of this year the entire project will have donated 120 greenhouses to local farmers and schools. Farmers also receive assistance to increase crops and livestock on restored lands

H.S. Fabrication & Maintenance Services

We Specialize in the following: • Welding & Metal Fabrication • Painting • Civil Construction • Metal Fencing

• Electrical Installation & Maintenance • Plumbing Services • Boom Truck Rental

through the company’s normal agricultural assistance program. Noranda’s agriculture and income-generating programs impact hundreds of families in the mining area. With many progressive and life-changing initiatives in place, Noranda Jamaica Bauxite Partners Ltd. is striving to be adaptable and up-to-date. Their contributions to communities and the economy are helping to build a more sustainable Jamaica. c COMMUNITY GREENHOUSE BUILT BY NORANDA.

CONTACT US Call: 670-0379 • Lime: 399-8617 Digicel: 360-8702 • Fax: 670-0411 Main Street, Discovery Bay, St. Ann Email: hsservices@cwjamaica.com

SUSTAINABLE BUSINESS MAGAZINE

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JAMALCO THE ALUNINA SHIP IS BEING LOADED AT JAMALCO’S ROCKY POINT PORT.

NEW VALUES, NEW MISSION Sustainable Business Magazine speaks to Antonio Melo, Chief Executive Officer of Jamalco, about how they are contributing to a more sustainable Jamaican mining industry. In December 2014, mining and alumina export company Jamalco was taken over by Noble Group and became an independent entity for the first time in its 55 year history. Bolstered by the support of its new owners, the Jamaican company is looking to build 22 | SUSTAINABLE BUSINESS MAGAZINE

on the pioneering successes of its past in order to forge a brand new future for itself as a stand-alone business. CEO Antonio Melo eagerly discusses how Alcoa and the Jamaican government provided Jamalco a strong foundation in business, as well

as social and environmental responsibility, demonstrating that mining can be a sustainable industry too. “Jamalco began in 1959 as Alcoa Minerals of Jamaica with the main objective of exporting bauxite to its US alumina


refineries,” explains Mr. Melo. “In 1972, the alumina refinery was commissioned with a production capacity of 500,000 tons per year. In 1976 the company became a joint venture between Alcoa and the Jamaican government with an equity ratio of 94% to Alcoa and 6% to the Government and formally assumed the name Jamalco. The ownership structure changed in 1988 when the Government gained a 50% share. Through these developments, the alumina refinery itself has undergone changes. The last one, in 2007, expanded production

to 1.416 million tons per year. In 2007 the shareholding changed again, with Clarendon Alumina Production (CAP) taking on 45% of the equity. Alcoa sold their 55% share to Noble Group in December 2014.” INNOVATIONAL AND PIONEERING Under the management of Alcoa, Jamalco became a leading name in Jamaica by introducing a host of environmentally and socially transformative initiatives. Perhaps the most significant of these is the Rope Conveyor System (RopeCon®), a 3.4 kilometer LAND CERTIFICATION.

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JAMALCO

JAMALCO BECAME A LEADING NAME IN JAMAICA BY INTRODUCING A HOST OF ENVIRONMENTALLY AND SOCIALLY TRANSFORMATIVE INITIATIVES.

conveyor belt that transports mined bauxite from its source in Mount Oliphant, South Manchester, to the company’s St. Jago loading port. Built in the year 2008 and costing approximately $32 million U.S. Dollars, it has enabled the elimination of 1200 truck journeys per day and an estimated 160,000 metric tons of carbon dioxide emissions. During operation the conveyor even generates 1.2

kilowatts of electricity. On top of being silent and not emitting any dust, its path is hidden amongst the landscape, thereby negating any impact on its surrounding environment whilst transporting the 3.2 million metric tons of bauxite it moves annually. It is the only project of its kind within the Bauxite industry either nationally or internationally and this feat of German engineering was recog-

nized by the Jamaican Institute of Engineers in 2012 with a Best Project award. The RopeCon® is only the most spectacular example from a broad array of environmental initiatives. One of Jamalco’s largest capital expenditures is on the company’s residue storage areas for its plant. Money is spent ensuring they remain safe, secure, and appropriately modern. The bauxite plant is an advanced site fitted with numerous quality monitoring wells to ensure operation at optimal standards. Monitors for water quality, air quality, and dust emissions are located throughout the premises and it is one of the primary tasks of the company’s Environmental Department to review them on a weekly or monthly basis. There is also a strong land reclamation and rehabilitation program in operation. Once mines have come to the end of their life, Jamalco returns the area to its original state or, in the rare case that this is not possible, returns it to as close to its original state as possible. EFFICIENCY “It is very important to note that Jamalco is in a commodity business, and in a commodity business the most important factor is production cost,” says Mr. Melo, who

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goes on to explain why efficiency within the plant is important both environmentally and economically. “Because the market sets the price for our product, only the lowest cost producers survive and it is up to us to reduce outgoings whilst increasing production levels so as to meet this requirement. This means efficiency with both raw materials and energy consumption. To do this we focus on three areas. The first is improving process efficiency, which means doing more with less. Beginning during our ownership by Alcoa we have been working with our Centre of Excellence to optimize our raw materials consumption and at present we can claim to be the most energy efficient plant in Jamaica. Second is maintenance. With 95% of our equipment imported it is crucial that we maintain high levels of reliability throughout our plant, and enhanced process efficiency is a pleasant by-product of this. Third is people development: It is impossible to run a good business without good people. We hire the best people available as well as investing in personnel development through programs such as academic scholarships. These three areas are crucial to our business success.”

SOCIAL LICENCE When Alcoa sold its share of Jamalco to Noble Group, the company used the changeover as an opportunity to reassess and revise its outlook. When employees and the leadership team were brought

together, the value of community arose as one of the most important factors determining future success. This was intended to consolidate the company’s social licence to operate. Since 2008, the company’s social responsibility framework

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JAMALCO

JAMALCO IS ALSO ACTIVELY WORKING TO REDUCE UNEMPLOYMENT AND IMPROVE COMMUNITY INFRASTRUCTURE IN JAMAICA.

has been driven by a six pillar model: Capacity building, alternative economic opportunities, social renewal, voluntarism, civic partnerships, and charity. The schol-

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arship program under which hundreds of community youths receive assistance to attend primary, secondary and tertiary institutions is one of the most important

elements of the capacity building pillar. Leaderships and skills training programs are also offered through schools to promote positive social values. Development of human capital remains one of the most crucial company commitments for longterm success. Jamalco is also actively working to reduce unemployment and improve community infrastructure in Jamaica through its social renewal and alternative economic opportunity initiatives. They provide youths with a revolving fund for micro-businesses, enabling young entrepreneurs to get off the ground and potentially reinvigorate both themselves and their communities. It is also an explicit Jamalco policy to employ only locals for unskilled positions. “Even our biggest mining contractor is an entirely local community-based organization,� Mr. Melo adds.


Alcoa will remain the managing partner as part of the transition towards becoming a fully independent entity. Despite this, Mr. Melo and other senior executives are very much looking at what they can do now to build on the incredible success already established. “We used to be a plant that belonged to a big network but now we are moving towards a future of our own. Our

vision is to be the best alumina producer in Jamaica whilst improving the lives of our host community. What is needed is a definitive energy solution to put us into the first quartile of the cost curve and working on that is now our primary objective. We’re now a new company with new values and a new mission, and the route is there to begin a long and successful story.” c

The strength of Jamalco’s business is built on an ability to operate efficiently whilst embedding themselves into the local community, as illustrated during the global financial crisis. “During that time, Jamalco was one of the few plants in Jamaica that did not shut down,” says Mr. Melo. “Though it was tough, we made it through thanks to the outstanding work of everybody involved in the company. We are very proud of this. We are also very proud of the opportunities given to hundreds if not thousands of poor Jamaicans through our programs, helping them to improve their lives and their communities.” ONWARD AND UPWARD Though Noble Group now owns a majority share in Jamalco, with CAP remaining the smaller partner, Alcoa continues to play an important role: For the next three years, SUSTAINABLE BUSINESS MAGAZINE

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RUSAL ALPART

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INVESTING IN THE FUTURE Sustainable Business Magazine speaks to Julian Keane, Public Relations Officer for RUSAL Alpart, about sustainable investment and building relationships with local communities. Written by George Newell.

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RUSAL ALPART MINING OPERATIONS IN ESSEX VALLEY, ST. ELIZABETH.

RUSAL Alpart (Alumina Partners of Jamaica) is a production complex in Nain, Jamaica, which operates bauxite mines and an alumina refinery. When Alpart started production in 1968, it had an annual capacity of 860,000 metric tons of alumina per year; by 2009, the complex had almost doubled its capacity to 1.65 million metric tons of smelter-grade alumina and 4.9 million tons of bauxite per year. Due to falling prices for alumina and a rise in the cost of the heavy fuel oil used by

the complex, Alpart was temporarily forced to shut down operations in 2009. Alpart has now resumed its mining activities and this is partly thanks to parent company UC RUSAL’s embrace of a cheaper, and more environmentally-friendly, fuel for the facility: Natural gas. ENERGY SOLUTIONS Ore extraction and refining requires large amounts of energy, which makes it all the more challenging for bauxite mining com-

HON. PHILLIP PAULWELL (LEFT) ADDRESSING THE MEMBERS OF STAFF OF RUSAL ALPART JAMAICA AT THE COMPANY’S PORT (PORT KAISER) AS THE PORT IS BEING WORKED ON FOR THE SHIPMENT OF BAUXITE.

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panies to operate sustainably. A 140 MW power plant will be built adjacent to the refinery at Alpart, from which Alpart will receive the steam and thus; enabling a more cost efficient operations. “By the end of 2017, the facility will have been upgraded from heavy fuel oil to a natural-gas-based energy solution,” explains Public Relations Officer for RUSAL Alpart, Julian Keane. And the natural gas that Alpart will use? “We’re seriously considering ethane,” Mr. Keane says.


Ethane is one of the Natural Gas Liquids (NGLs) which are extracted from natural gas before it is graded pipeline-quality. Other NGLs include propane, butane, and isobutene, but it is ethane which makes up the largest non-methane proportion of natural gas. In the past, ethane has typically been used as a petrochemical feedstock to produce ethylene, which is widely used for plastics production. However, due to greater United States shale gas exploration and the drop in world oil prices, ethane is currently at a surplus and RUSAL Alpart will be at the forefront of using this abundant by-product as a cost-effective fuel which produces fewer emissions than heavy oil or coal.

Alpart will not be keeping all the fuel benefits to themselves. “We will benefit from this initiative through the utilization of the steam generated from the power plant as well as the economies of scale from this major initiative,” says Mr. Keane. “Not only will the refinery be benefitting from the energy solution, but so will Jamaica as a whole.” Petroleum sources generated 95% of Jamaica’s electricity in 2008 and fuel diversification is a top priority for the island nation. New renewable energy projects are currently underway along the south coast and with an ethane-fired power plant, RUSAL Alpart will be making a significant contribution towards the national goal of cost-effective, cleaner energy.

ENVIRONMENTAL TRANSPARENCY UC RUSAL has consistently demonstrated a commitment to reducing the environmental impact of their facilities and this culture is apparent at Alpart. “UC RUSAL has environmental standards which are even more advanced than the Jamaican regulations,” Mr. Keane explains. “We have to meet or exceed these, as well as the local regulations. As for the regulators themselves, we meet often with them to allow assessments and audits.” For Alpart, it doesn’t stop there. Jamaican regulators are also invited to community meetings in Alpart’s operating area. “They’re not only hearing it from the company,” Mr. Keane says, “in addition, they can hear from our communities that we’re doing

BAUXITE BEING TRUCKED TO RUSAL ALPART JAMAICA PORT (PORT KAISER) FOR EXPORT.

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RUSAL ALPART schemes. These Alpart-provided greenhouses will give local communities a different way to produce food. “It’s about the sustainability of agriculture in our area and across the country,” Mr. Keane says. “We’re looking at 40 people who are directly involved in greenhouse production, and then there comes their families and other people who will be assisting them in that.”

what we say we’ve been doing.” Alpart’s impressive environmental standards have served as an example for other industries across Jamaica. “They’re replicating what we’re doing,” says Mr. Keane. “The quarrying industry in Jamaica, for example, is adapting the techniques we use.” INVESTING IN AGRICULTURE RUSAL Alpart’s dedication to sustainable development doesn’t just extend to energy. Investment in local communities is a vital part of the company’s long-term commitment to Jamaica. While operations at Alpart were suspended, the company nonetheless distributed J$3 million in agricultural assistance to local farmers, including vouchers and equipment. Now

Alpart is a vital participant in a J$200 million hi-tech farming project funded by the Jamaican Social Investment Fund and the Jamaica Bauxite Institute. Mined-out pits have been converted into water harvesting dams, around which satellite greenhouses have been established. “There are eight such projects over the four bauxite plants,” Mr. Keane explains. “That’s 160 greenhouses around the different harvesting ponds across Jamaica.” These projects are a welcome investment in small-scale agriculture for a country which currently depends heavily on imported food. The world food price crisis of 2007-8 hit Caribbean nations hard: Jamaica endured a drastic rise in the price of food, and is now pursuing various food security

COMMUNITY DEDICATION These greenhouses only scratch the surface of Alpart’s commitment to local communities. Alpart collaborates with community councils representing the 75 local communities in its operating area, and meets with them each month to share concerns and to develop sustainable plans for the communities. These plans begin with employment. The company directly or indirectly employs between 2,000 and 2,500 local people. “The people you see coming to work are from your community or a neighboring community,” Mr. Keane explains, “so people feel a sense of belonging to the whole process. Our influence extends out into the community to facilitate the progress and the development of small businesses within our operating area.” Even after Alpart temporarily suspended operations in 2009, the company continued to give employment to 550 local people on a rotational basis to assist with services like cleaning, descaling of equipment, landscaping,

DR. HUGH LAMBERT, DEVELOPMENT SPECIALIST, JAMAICA BAUXITE INSTITUTE OUTLINES THE OBJECTIVES OF THE ROSE HILL GREENHOUSE PROJECT TO A TOURING PARTY AT THE LAUNCH OF THE PROJECT. (L-R) JULIAN KEANE, PUBLIC RELATIONS OFFICER, ALPART, MR. CLARENCE OSBORNE, PROJECT COORDINATOR, JAMAICA BAUXITE INSTITUTE, HON. MICHAEL PEART, MEMBER OF PARLIAMENT, SOUTH MANCHESTER, MR. OMAR SWEENEY, MANAGING DIRECTOR OF THE JAMAICA SOCIAL INVESTMENT FUND, DR. PARIS LYEW-AYEE, EXECUTIVE DIRECTOR , JAMAICA BAUXITE INSTITUTE, HON. JULIAN J. ROBINSON, STATE MINISTER IN THE MINISTRY OF SCIENCE, TECHNOLOGY, ENERGY AND MINING, DR. RICHARD HARRISON, CHAIRMAN RADA & MRS. BRENDA RAMSAY, MAYOR OF MANDEVILLE.

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COMPETITIVE RACING BY PRIMARY SCHOOL & ALL AGE SCHOOL STUDENTS AT THE RUSAL ALPART JAMAICA ESSEX VALLEY SPORTS COUNCIL ATHLETICS MEET.

TO ALPART, INVESTING IN SOCIAL SUSTAINABILITY ULTIMATELY MAKES GOOD BUSINESS SENSE.

and janitorial work. During this caretaking process, the councils fulfilled another role within the community. “Whatever funds the community council earns goes back directly into community projects,” Mr. Keane says. “To date, we have done 110 community projects. These projects range from the rehabilitation of our primary schools and secondary schools to police

stations, fire stations, and health clinics. All these public institutions are within our operating communities.” From improved electricity outlets and air-conditioners to roof and building repairs and fencing, the list of development projects Alpart’s community councils have successfully implemented for public buildings is inspiring and impressive.

To Alpart, investing in social sustainability ultimately makes good business sense. “Our employees have kids that are going to these primary and secondary schools,” Mr. Keane says. “Essentially, it’s a win-win situation for both community and company. When you form such a partnership with your communities, it’s the best insurance that any organization could have.” c

Brecheen Pipe and Steel Brecheen Pipe and Steel uses technology and teamwork needed to make our company sustainable in today’s competitive market. We believe strong partnerships are necessary to keep all businesses moving in the right direction. Brecheen Pipe and Steel is a vital building block increasing sustainability in today’s bauxite industry, we believe supplying quality products leads to less downtime and increased profitability for our partners.

mcintoshconstruction@cwjamaica.com

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UNIVERSITY OF THE WEST INDIES

SUSTAINABLE

ISLANDS Dr. David Smith, Coordinator of the Institute for Sustainable Development at the University of the West Indies, explains how they’re promoting sustainability throughout the region. Written by Thomas Massey.

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Since being established in 1948, the University of the West Indies (UWI) has expanded well beyond the original Mona campus in Jamaica. “I think it’s very important to understand that the University of the West Indies is different from most universities in that it has campuses in several different countries,” explains Dr. David Smith, Coordinator of the Institute for Sustainable Development (ISD) at UWI. “There are campuses in Jamaica, Barbados, and Trinidad and Tobago. To put that in perspective, the distance between the Mona Campus in Jamaica and the Saint Augustine Campus in Trinidad and Tobago is something like 1200 miles.” Despite the logistical problems that naturally accompany successful international expansion, UWI has continued to implement initiatives that ensure that operations are sustainable and environmentally responsible.

THE INSTITUTE FOR SUSTAINABLE DEVELOPMENT In order to aid Caribbean nations in addressing vital environmental and economic concerns, UWI established the Institute for Sustainable Development in 2006. Communication is vitally important to the university, particularly due to its unique international nature and because issues are constantly changing. Ensuring good communication is a key part of Dr. Smith’s role as coordinator of the ISD. “The role of coordinator in the ISD basically entails making sure people are communicating with each other. If there is the possibility of people being able to work together then they must take advantage of it. My role is to create synergies. I build networks and opportunities within the university, as well as collaborating externally with other universities and even governments.” SUSTAINABLE BUSINESS MAGAZINE

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UNIVERSITY OF THE WEST INDIES

The ISD consists of many departments whose research has addressed issues including disaster risks from natural hazards, waste management and recycling, economic valuation of natural resources, and environmental risks to ecosystems. Research provides UWI, as well as government bodies, with vital information that amongst other things can help prepare Caribbean nations for natural disasters such as the tropical storms that many of them see on an annual basis. THE UNIVERSITY CONSORTIUM OF SMALL ISLAND STATES Dr. Smith explains that the work of the UWI and ISD has been expanded thanks to the establishment of the University Consortium

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of Small Island States (UCSIS). “We have a group of seven universities at the moment, who have come together to highlight research and teaching on issues that affect small island states. The consortium includes the University of Malta, the University of Las Palmas in Spain, the University of the Virgin Islands, the University of Mauritius, the University of the Seychelles, and the University of the South Pacific. Between us we work on issues that are of importance, not just in terms of research interests, but also in terms of development imperatives for small island states, in particular, Caribbean states.” The long-term aim of the UCSIS is to “enhance graduate education institutions in Small Island States by facilitating the development

of the capacity needed to implement the Barbados Program of Action.” The Barbados Program of Action (BPOA) is the popular name of the United Nations Programme of Action on the Sustainable Development of Small Island Developing States. The program aims to address the specific needs of small island states by outlining strategies to mitigate environmental and economic vulnerabilities. The program recognizes that island states often face unique challenges that set them apart from other nations and has therefore allocated them special recognition as Small Island Developing States (SIDS). Members of the consortium, including UWI, implement and support teaching and research that may help SIDS prosper in the future. Important issues include climate change and sea level rise, energy resources, freshwater resources, land resources, tourism resources, biodiversity resources, culture, health, management of waste, science and technology, transport and communication, coastal and marine resources, natural hazards and environmental disasters, national and regional enabling environments, implementation of the SIDS program of action,


“WE HAVE A GROUP OF SEVEN UNIVERSITIES AT THE MOMENT, WHO HAVE COME TOGETHER TO HIGHLIGHT RESEARCH AND TEACHING ON ISSUES THAT AFFECT SMALL ISLAND STATES.”

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UNIVERSITY OF THE WEST INDIES

THIS COLLECTIVE RESEARCH EFFORT PROMOTES SUSTAINABLE BEHAVIOR AND WILL HOPEFULLY ENSURE A PROSPEROUS FUTURE FOR MANY SMALL ISLAND STATES.

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knowledge management and information for decision making, sustainable capacity development and education for sustainable development. This collective research effort promotes sustainable behavior and will hopefully ensure a prosperous future for many small island states. A PROSPEROUS AND SUSTAINABLE FUTURE The majority of the action that UWI has taken to combat sustainability issues has involved significant collaboration. Communication between the university and its affiliates has been a vital part of ensuring the successful implementation of ambitious initiatives. UWI continues to concentrate on creating an effective long distance learning environment while collaborating with suppliers to improve energy efficiency and assisting governments of SIDS in trying to guarantee a prosperous and

sustainable future. Dr. Smith is clear that this remains the main aim of UWI’s collaborative efforts, and he explains that a new initiative is helping to make it a reality. “At the beginning of May we launched the Caribbean Chapter of the Sustainable Development Solutions Network, a network of universities and practitioners. There was already a global Sustainable Development Solutions Network with chapters in Amazonia, the Sahel, South and Southeast Asia, the Mediterranean and Australia. The point of this network is to pull together all of the universities, all the wisdom we can get from people working on sustainable development, and to come up with practical solutions for sustainable development problems. It’s really about trying to make sure that your politicians, your policy makers, the people who are actually running countries, have access to solutions for the problems they face.” c SUSTAINABLE BUSINESS MAGAZINE

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CARILEC

CARILEC’S OVERALL MEMBERSHIP HAS CONTINUED TO GROW AND NEW MEMBERS CONTINUE TO BRING NEW GOALS AND FRESH CHALLENGES.

CARIBBEAN ENERGY

Sustainable Business Magazine talks to Allison Jean, Executive Director of CARILEC, about building a more sustainable Caribbean energy industry. Written by Michael Anjos.

CARILEC HEADQUARTERS BUILDING IN SAINT LUCIA.

42 | SUSTAINABLE BUSINESS MAGAZINE

In 2014, the Caribbean Electric Utility Services Corporation (CARILEC) celebrated its 25th anniversary. An association of electric utilities, suppliers, manufacturers, and other stakeholders operating in the Caribbean energy industry, CARILEC has come a long way since being established in 1989. Having originally boasted 9 members, CARILEC now has 35 Utility Members and over 70 Associate and Affiliate Members operating throughout the Caribbean.

While CARILEC’s 35 core utility members rarely change, associate and affiliate members come and go regularly. Despite this, CARILEC’s overall membership has continued to grow and new members continue to bring new goals and fresh challenges. “These associate and affiliate members are service providers or suppliers in the energy sector,” explains Executive Director Allison Jean. “With the emergence of renewable energy in recent times we are seeing a


TRAINEES AT A TECHNICAL TRAINING PROGRAMME.

secretariat, which is located in Saint Lucia, serves as a liaison or a conduit between and among our various members,” explains Ms. Jean. “Every year we also put on at least 4 conferences to discuss topical issues, also with the aim of building capacity, encouraging greater communication and collaboration among our members.” PROMOTING CHANGE The conferences organized by CARILEC each year are an essential part of their efforts to encourage innovation and support for renewable energy in the Caribbean utilities sector. CARILEC has a number of upcoming

SOLAR PARK ST THOMAS.

conferences scheduled for 2015, including the Engineering and Occupational Health & Safety Conference which will be held in Nassau in the Bahamas in July, and their final conference of the year which will be in Guadeloupe and will specifically focus on renewable energy. CARILEC recently held their Chief Executive Officers and Finance Conference in Punta Cana in the Dominican Republic. They took the opportunity to hold a private caucus of the utility company members, also in addition to an associate member caucus. These afforded members the chance to share information about opportunities and

ALLISON JEAN, EXECUTIVE DIRECTOR OF CARILEC AT SOLAR PROJECT IN BONAIRE.

number of companies that are involved in some way in renewable energy, so the shape of CARILEC is changing a bit. We welcome the new members and we believe that as the sector continues to evolve we will see a somewhat different landscape for CARILEC.” MISSION STATEMENT As an association of utility companies and service providers, CARILEC’s mission is to provide networking opportunities and to advocate for their members in the interest of the sector. CARILEC is determined to make sure that members can rely on each other for support when necessary. CARILEC acts as a medium between their various members in the hope that successful communication will allow utility companies to cooperate and support each other. “The SUSTAINABLE BUSINESS MAGAZINE

| 43


CARILEC TRAINEES ON A TECHNICAL TOUR.

challenges they face, as well as to discuss ways in which they can assist each other. In March CARILEC also hosted their Human Resource Management and Corporate Communication Symposium in Belize. The event allowed human resources managers and public relations professionals from various utility companies to gather and discuss a number of contemporary issues facing the energy sector. CARILEC prides itself on facilitating a constant exchange of ideas and believes

that open conversation about sustainability is critical in an ever-changing industry which faces real and complicated challenges such as climate change. “It’s not necessarily promoting only, but also sensitization because it’s a reality,” explains Ms. Jean. “Renewable energy is available and as we progress it’s becoming cheaper and we’re looking at renewable energy as an alternative to the use of fossil fuels, however we know for a fact that we may not necessarily be able to achieve a full penetration of renewable,

especially as some of the resources that we have are mainly solar, wind, and water in some cases. For some utilities that have the capacity to have a stronger base load like geothermal all of that is being discussed and promoted.” DISASTER RELIEF CARILEC membership comes with many benefits. One of the most interesting and potentially important is the support provided by coordinated disaster relief. All CARI-

SPEED NETWORKING AMONG ASSOCIATE MEMBERS AND UTILITIES.

HR PR CONFERENCE IN SAINT LUCIA.

44 | SUSTAINABLE BUSINESS MAGAZINE


LINEMAN TRAINING.

PARTICIPANTS AT ENGINEERING CONFERENCE.

TRAINEES ON A TECHNICAL TOUR OF POWER PLANT.

LEC utility companies contribute to a disaster fund that is set up to provide support in the event of any major disasters such as a hurricane. As most of the Caribbean is prone to hurricanes, it is particularly important for utility companies to know that support is available in case of emergency. This support is something that CARILEC has actually coordinated on their members’ behalf. “Last year we provided support to Bermuda and Anguilla,” explains Ms. Jean. “In the case of Bermuda, the country was RECOGNIZING FOUNDING DIRECTORS AT 25 ANNIVERSARY WITH CHAIRMAN OF CARILEC, THORNLEY MYERS.

struck by tropical storm Fay and hurricane Gonzalo in the space of a week, so most of the infrastructure was damaged and a number of our utility members reached out to them and provided support so that they were able to restore the island by the following week.” The relief and support provided to disaster-hit utility companies not only displays CARILEC’s dedication to their members, but also helps explain why organizations such as CARILEC are so keen RECOGNIZING FOUNDING DIRECTORS AT 25 ANNIVERSARY WITH CHAIRMAN OF CARILEC, THORNLEY MYERS.

to promote and facilitate greener energy throughout the Caribbean. Environmental sustainability is of vital importance in disaster prone regions, where poor management can lead to less resilient communities and ecosystems. This is as true in the Caribbean as it is in many other areas of the world. CARILEC is leading by example as they demonstrate that cooperation between companies throughout the entire region is leading to a more successful, resilient, and sustainable Caribbean energy industry. c EXECUTIVE DIRECTOR ALLISON JEAN AND VICE CHAIRMAN HUGO HODGE.

SUSTAINABLE BUSINESS MAGAZINE

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ADVERTISERS INDEX B B&J Equipment Rental Ltd. Brecheen Pipe & Steel Co. LLC.

P17 Back

M Maritime & Transport Services Ltd. McIntosh Construction Ltd.

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C Conrad Douglas & Associates Limited P25

N Northrock Enterprises, LLC.

D Delta Supply Co. Ltd.

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S SOL Petroleum Jamaica Spatial Innovision Limited

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T Trevor Dunkley & Co. Ltd.

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H H.S. Fabrication & Maintenance Services P21 Hose Assembly and Supply Limited P17

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Sustainable Business Magazine  

Issue 04/15

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