BUILDING SUSTAINABLE BUSINESSES FIT FOR A SUSTAINABLE WORLD 40 // WATER MANAGEMENT The need for robust water management systems in an increasingly water scarce world cannot be underestimated. Forecasts predict that in India alone, there will be a 50% gap in demand and supply of water by 2030 and the implications on health, agriculture and industrial operations will be immense. The success of our operations is acutely tied to the access to water as it impacts the full lifecycle of many of our businesses and their supply chains. Understanding, managing and mitigating our water consumption and creating water management practices aligned with international standards is crucial for the Group. Many of our businesses; Pulp & Fibre manufacture, aluminium smelting and associated power generation in particular, are more water intensive than others. Developing our thinking on conservation, efficiency, reuse, capture and storage techniques is critical for us to sustain the changing trends in water management. Water access and scarcity, although a global issue, is best understood and managed within the local contexts of our operations. Our approach to water management Six key steps form the requirements of the Group’s framework documents – water stewardship policy, technical standard and guidance notes. The standard is based on the approach of the Alliance for Water Stewardship (AWS) standard. It shows the actions, criteria and indicators required to manage water at the site level and how water management should be stewarded beyond the boundaries of a site. We have shared the following guidance with our businesses: • Water Recycling and Reuse: to assist managers in identifying opportunities for designing and implementing steps towards integrated management through recycling and reuse of water. • Rainwater Harvesting and Artificial Aquifer Recharge: to help in identifying opportunities for and designing and implementing harvesting systems, often with expert help. • Source Vulnerability Assessment: to present a step-wise approach to assessing vulnerability of a sites water source and to help identify actions for water source protection planning. Implementation of the Water Technical Standard has been supported through the phased launch of our SAQ process. This has enabled businesses to develop a water balance, leading to an understanding of their water risks (physical, regulatory and stakeholder) and working towards the development of risk mitigation plans. Depending on their sector and geographies, our businesses are in various stages of readiness. While some sites are initiating water audits to better understand and learn from their water balance, others are working with experts to conduct hydro- geological studies and identify interventions for their water security. 1. Commitment 2. Water Inventory Water balance data Inventory of water challenges Water conveyance, treatment systems Ongoing - Determining relevance & Engaging Stakeholders Generic Risk Assessment Local Source Vulnerability Assessment Governance Internal actions External Engagement 3. Water Risk Assessment 6. Communicate performance 5. Implement and Monitor WRMP 4. Water Risk Mitigation Plan (WRMP) Internal mitigation plan External mitigation plan Responsible Stewardship OUR APPROACH TO WATER MANAGEMENT