REFERENCE

REFERENCE

SUSTAINABLE DEVELOPMENT DIAGNOSIS by VEOLIA WATER

VEOLIA, worldwide leader in water & environmental technologies, Pioneer in Sustainable Development strategies, also an important customer of SNF CHINA, is aiming at implementing its Occidental Suppliers selection with Sustainable development criteria. SNF FRANCE has been already audited in 2007. With same evaluation grid & method which is applied in Europe, VEOLIA and its independent auditor has pointed very similar result between SNF FRANCE (77%) & SNF CHINA (74%) Facilities, Operations and Management; about environmental, social & economical dimensions. Thus, SNF CHINA’s sustainable Development score corresponds to a very good score according a high international standard scale. Therefore, SNF CHINA has appeared to VEOLIA as a pioneer of Sustainable Development in China. Here-after interview of VEOLIA about :

Why does Veolia Water address sustainable development with SNF ?

Sustainable development reveals its real value as a transversal subject integrated in business processes to drive progress and continuous improvement. Procurement is a key function in the company and an important component of our sustainable development performance. Firstly the quality of the products and services provided directly impacts upon the quality and reliability of the services that we provide. Secondly by encouraging our suppliers and subcontractors to adhere to the sustainable development principles we value, this creates a knock-on effect and increases the reach of our commitments. Therefore we expect our suppliers to fully abide by our values and to contribute to our sustainability performance. Veolia Water formalised its expectations in its Purchasing and Sustainable Development Charter. As a result sustainable development becomes a major component of our cooperation and long-term relationship with SNF.

Why have SNF China and the Taixing production site in particular, been selected to perform a sustainable development diagnosis ?

Within the framework of the long term partnership agreed between SNF China and Veolia Water Asia-Pacific we believed it was important to address - in detail - sustainable development topics with SNF China. The chemical industry also presents significant environmental and social risks to be controlled. Taixing industrial site is SNF’s main production site that supplies Veolia Water Asia-Pacific.

What have been the main outcomes of the sustainable development diagnosis ?

SNF Taixing showed a very strong interest in assessing its practices with regards to sustainable development and cooperated sincerely with the approach. Through this diagnosis SNF Taixing revealed clear strengths such as conservation of natural resources, strict compliance with local legislation, addressing occupational health and safety issues, good working conditions and social benefits for employees, financial control and considerate customer relationship. The assessment also highlighted opportunities for progress, in particular through further structuring of the environmental and social management systems and strengthening monitoring and reporting channels. A better control of the supply chain and development of purchasing procedures have been suggested to ensure responsible procurement. The results of the diagnosis as well as framework for improvement have been directly discussed with local management.