Our Performance
We are pleased to have made noteworthy progress in FY2020 towards the reduction of our reliance on non-renewable energy sources. In the coming years, we will see meaningful improvement to our net energy consumption as we implement greater use of solar energy and biomass machines across all entities within the Group.
Looking ahead, we remain determined to further expand our efforts in harnessing renewable energy and improving our energy conservation as we continue to keep an eye on new methods and technologies that will enable us to reduce power consumption and increase energy efficiency.
GCB’S ENERGY CONSUMPTION BY ENTITY IN 2020 Energy Consumed (x105 kWh) /
Entity GCCM ACI GCBCM GCBCS Total
Electricity 313 338 208 0.048 859.048
Gas 209 542 325 N/A 1076
Steam 20 N/A N/A N/A 20
Solar energy 7 N/A N/A N/A 7
Steam generated from cocoa shells and saw dust
115 N/A N/A N/A 115
950 752
944
333 279
371
0
271
377
GCBCM ACI GCCM
EFFLUENTS & WASTE
A MINDFUL APPROACH TO WASTE MANAGEMENT Why It Matters
As a global industry leader specialising in the processing of raw materials in high volumes, it is inevitable that our operations generate by-products and waste. How we manage these effluents and waste, however, is entirely within our control and plays a fundamental role in our sustainability as a responsible organisation. GCB is thus extensively committed towards mitigating any negative impacts caused by our business activities and has established practices that extend beyond the requirements for regulatory compliance.
Sustainable waste management processes have been initiated across the entire operations of the Group, generating the twin outcomes of reducing the overall waste produced from our business activities as well as greatly minimising the environmental impact of any waste that we do produce.
How We Approach It
At the fundamental level, our approach towards effluents and waste prioritises full compliance towards all relevant statutory bodies overseeing waste management in the regions where we operate. In Malaysia, this includes adherence to the Environment Quality (Industrial Effluent) Regulations 2009 (Standard A) and the conditions stipulated within said regulation’s Fifth Schedule, while in Indonesia, we remain fully compliant with regulations specified within PERMENLHK-05-2014 ref 47 and PP22-2021.
Our commitment towards responsible wastewater management is further underscored by the establishment of specialised water treatment facilities within the factories of all subsidiaries covered in this sustainability report. The main function of these facilities is to remove contaminants from wastewater so that the effluent can be returned to nature’s water cycle with an acceptable impact on the environment.
A Safety Officer or Health, Safety and Environment (HSE) representative is charged with ensuring the ongoing effectiveness of this process. Treated wastewater is monitored daily with the use of a barometer and monthly reports on the results of daily quality checks are submitted to relevant local authorities, such as the Department of Environment (DOE).
The scheduled waste that we produce, which is mainly comprised of sludge, hydraulic oil and mixed oil, is managed by a qualified and competent person appointed within each entity. Such waste is collected and stored at a safe and segregated location, with access to this storage restricted to a designated person-in-charge, i.e., Safety Officer or HSE representative.
For our operations in Malaysia and Indonesia, such disposal is initiated via online platforms (for e.g., through the Electronic Scheduled Waste Information System by DOE) in order to be responsibly carried out by contractors licensed by the environmental authorities.
In concurrence with the above activities, GCB also stringently advocates responsible recycling practices amongst employees through the provision of designated collection areas for recyclable items such as cartons, papers, scrap metals and plastic.
A supervisor is assigned to oversee this process and ensure maximum compliance at each of our operating premise.
Our Performance
Conscientiously driven by our underlying objective to mitigate any negative impact to the environment caused by our operational activities, GCB remains attentive towards the increasing adoption of best practices in managing the waste we produce.
SUSTAINABILITY REPORT (CONT’D)
We aim to continually enhance our effluent treatment processes and waste recycling initiatives, while keeping an eye open for additional measures that can be undertaken to improve our performance year after year.
44
163
43
26 31
130
H A Z A R D O U S W A S TE N O N - H A Z A R D O U S W A S TE
TOTAL WASTE TREATED AND DISPOSED OF IN 2020 (MT)
GCCM ACI GCBCM
2.6%
8.9%
32.4%
1.2%
27.4%
27.5%
BREAKDOWN OF HAZARDOUS WASTE BY TREATMENT OR DISPOSAL METHOD (%)
Reuse Recycling Composng Recovery On-site Storage Disposed
2.6% 8.9%
32.4%
1.2%
27.4%
27.5%
BREAKDOWN OF HAZARDOUS WASTE BY TREATMENT OR DISPOSAL METHOD (%)
Reuse Recycling Composng Recovery On-site Storage Disposed
* The abovementioned performance data excludes GCBCS as the subsidiary is involved in the business segment of trading cocoa beans, cocoa-derived food ingredients and cocoa products.
2846
92
4741
G C C M A C I G C B C M
VOLUME OF TREATED WATER DISCHARGED (M3)
11.4%
9.6%
79.0%
BREAKDOWN OF NON-HAZARDOUS WASTE BY TREATMENT OR DISPOSAL METHOD (%)
Recycling Landfilling Disposed of
SUSTAINABILITY REPORT (CONT’D)
ENVIRONMENTAL COMPLIANCE
UPHOLDING RIGOROUS ENVIRONMENTAL COMPLIANCE Why It Matters
Our efforts to promote environmental sustainability, while inspired by our belief in maintaining a healthy planet for future generations, are fundamentally reinforced by a commitment towards upholding rigorous compliance with environmental regulations in the regions where we operate. Our ongoing capacity to maintain compliance bolsters our integrity as a responsible organisation and empowers us to meet our business objectives.
As a global cocoa market leader, GCB further recognises our obligation to ensure strict adherence to the highest standards and best practices that set an appropriate benchmark for the industry. We will therefore continue to adopt a proactive approach in identifying and addressing environmental matters, while implementing the necessary measures to meet and surpass the expectations of both regulatory authorities as well as our valued stakeholders.
How We Approach It
In maintaining an exemplary approach to environmental compliance, GCB is guided by an overarching Environmental Policy that extends across all subsidiaries and entails the key commitments of the Group together with our fundamental initiatives to address them.
Monitoring of compliance is undertaken within all aspects of our operations to ensure constant adherence with local environmental rules and regulations, specifically the Environment Quality Act 1974 in Malaysia and Law No. 32/2009 on Environmental Protection and Management in Indonesia. Depending on the entity, responsibility for the monitoring will be assumed by the HSE Committee or appointed Safety Officer.
Various key compliance initiatives were carried out in FY2020, including air emission and stack emission monitoring, weekly lab testing of water quality (with monthly reports sent to the DOE), annual boundary noise assessment and annual (or biannual, depending on the entity) ambient air quality inspections. All these key initiatives are to ensure that our practices and by-product from our operations stay in compliant with applicable regulations whist ensuring as well that such initiatives bring wider value to our environmentally conscious objectives.
Our Performance
In FY2020, GCB maintained its unrelenting commitment in ensuring that all entities and operational units within the Group meet or surpass the necessary environmental related regulations, undertake strict compliance monitoring and continue to adopt relevant and beneficial eco-conscious initiatives. Our dedication ensured that there were no significant non-compliance concerns for all entities within this reporting period.
Only two minor incidences were recorded during FY2020, leading to a small RM4,000 fine for accidental spillage by GCCM and a penalty in the form of a warning or counselling, along with a fine of IDR 1,000,000 for ACI.
EMPLOYMENT
FOSTERING AN ENVIRONMENT WHERE TALENT FLOURISHES Why It Matters
Our ability to continue our growth and expansion into new markets and business segments rests first and foremost on our most valuable asset - our people. Their collective knowledge of industry trends and deep understanding of our processes drives a culture of innovation and continual improvement within GCB, forming the basis for business sustainability in the long run.
As a progressive and socially responsible organisation, we are aligned with collective bargaining agreements and stringently adhere to employment practices that promote diversity and inclusion. This fosters a meritocratic environment where achievement is fairly rewarded and equal opportunities for professional development are provided. Ultimately, as our global footprint continues to expand, our reputation as a progressive and equitable employer will allow us to attract and retain talent that can maximise the potential of the opportunities our presence offers.
How We Approach It
Being a good employer is about more than having the right intentions. While we firmly believe that fair employment practices lead to favourable business outcomes, this can only occur in reality when the practices in question are enshrined at a structural level.
In making this a reality, our Human Resource & Admin Department governs all employer-employee dealings across the entities covered in this reporting. The department is responsible for overseeing all matters relating to employee (such as general welfare, remuneration, benefits, training and other related areas) and applying procedures that ensure decisions are made objectively and without any element of discrimination. From there, the department also monitors and reports on key employment-related performance such as employee turnover rate and leave utilisation in monthly meetings. Recognising that the relationship between employer and employee is two-way in nature, GCB’s Employee Handbook and Code of Conduct outlines the principal guidelines that employees must adhere and practice in any circumstances. In this area, our Human Resource & Admin Department play a key role by ensuring that awareness, guidance and updates are regularly disseminated across to the employees through refresher courses and suitable training programmes.
Besides, we also strive to stay abreast and in line with best practices on employee entitlements and benefits. Prevailing market requirements and standards are regularly monitored, and our policies are adapted to adhere to the specific requirements of each country where we operate. We constantly aim to provide the same benefits to contract and intern-level employee as we do to our entire permanent workforce wherever possible.
Furthermore, we place specific emphasis on supporting the needs of new parents among our employees. Maternity leave of between 60 – 90 days (depending on the respective entity) and paternity leave of 2 days are provided to all parents within our workforce, while all our factories have designated nursing rooms and reserved car parks for pregnant women. As we continue to benchmark ourselves and seek for improvements, the conduct of monthly performance review on matters relating to our employees is carried out with such objective.
We are equally cognisant of the importance of giving our employees a formal avenue to build an interactive relationship as well as a platform to discuss and relay any concerns related to their daily working affairs. In Malaysia, this is carried out through the Sports Recreational Welfare Club (SRWC) which, apart from organising sports and welfare activities to promote healthy lifestyles and team bonding, also meet once a month to discuss any employee welfare issues and propose action items to be elevated to the attention of management. In Indonesia, a similar workers’ committee, i.e., BIPARTIT, plays this important role.
SUSTAINABILITY REPORT (CONT’D)
In instances where employees feel that anonymous disclosure of a particular issue is required (for example, if the issue involves the employee’s immediate superior), our well-established grievance procedures and whistleblowing channel are adequately in place and open for all to access. All grievances are dealt with confidentially by the Human Resource & Admin Department and are escalated to the relevant senior management team, Audit Committee or the Board when necessary. This structure is to ensure that all issues are adequately addressed with priority and rectified with the best course of actions.
For 2020, in recognising on the complexities that have arisen as a result of the COVID-19 pandemic, special measures were adopted across the Group to safeguard our employees and their interests. Aside from committing to undertaking no pay cuts for the duration of the pandemic, employees required to work on-site were provided with an allocation of free meals, free masks and daily allowance, in addition to shortened working hours. Employees working from home, on the other hand, were offered internet bill reimbursement as compensation for the additional connectivity requirements placed upon them.
Our Performance
Unforeseen upheaval in the global business landscape during the year in review meant that we fell short of our aim of maintaining an overall employee turnover rate of 10% or less. Nevertheless, our continued efforts to enhance our employment practices will allow us to strike a balance between immediate business success and long-term employee- oriented achievements in due course.
553
358
205
5
101 112 129
1 89
159
72
1
G C C M A C I G C B CM G C B CS