Sinochem International (600500. SH) released its 2019 Sustainability Report on June 5, World Environment Day. The Report highlights the company's commitment to green development with significant results in environmental performance in 2019.
According to the Report, in 2019, Sinochem International invested RMB 556 million in environmental protection. Several energy and emissions indexes showed a sharp year-on-year decline. Compared to the previous year, industrial energy consumption decreased by 45,700 tons of standard coal, electricity usage decreased by 1.82 million kWh, natural gas usage went down by 34,500m3, and steam consumption fell by 629,000 tons. 1.9476 million tons of industrial water was saved, nitrogen oxide emissions fell by 280 tons, sulfur dioxide emissions declined by 102 tons and wastewater discharge dropped by 422,000 tons.
"Sinochem is one of the largest Chinese chemical enterprises. We need to continuously review our current development modes from a higher perspective along with higher set of standards and goals in mind," said Liu Hongsheng, General Manager of Sinochem International. "We must resolutely practice 'green development', take initiatives to shoulder social responsibility and to realize sustainability. It's part of a company's core competitiveness, and is the only way Chinese chemical enterprises can achieve high-quality development."
Sinochem International works to promote the recycling of resources and reduce energy consumption and emissions. Through strict production management, technical improvement of facilities, and development of green processes, Sinochem International aims to build green plants to realize clean production and contribute to a circular economy.
Take subordinate factory Ruixiang as an example. In 2019, its sales revenue and profits substantially grew and at the same time it achieved good environmental results. The energy consumption per RMB 10,000 output value was down 4.1% from the year before, and ammonia nitrogen emissions, sulfur dioxide emissions and nitrogen oxide emissions decreased 1.77%, 33.69% and 24.1% year-on-year respectively. Ruixiang was awarded the "2019 Green Petrochemical Plant" by China Petroleum and Chemical Industy Federation.
Sinochem's achievements in CSR management have been recognized by third-party CSR assessment agency. In 2019, Sinochem International won the EcoVadis CSR Bronze Medal rating – its total review scores ranked among the top 30% in the industry. Sinochem International's Sennics Tongling Plant obtained 99/100 in the Together for Sustainability (TfS) review. Sennics' Shandong and Tai'an Plants have successively been certified for SA8000 Social Accountability Certification.