1. The Cement Sustainability Initiative CSI and Climate Change Michel Picard V.P. Environment Lafarge Cement makers unite against climate change COP11/MOP 1 Montreal, November 2005

2. The Cement Sustainability Initiative A member project under the WBCSD umbrella Initially « Towards a sustainable cement industry »

3. The Cement Sustainability Initiative Initiated 1999 – Lafarge Holcim Cimpor Now 16 companies Incl. 9 world leading cement makers 25 % of global cement volume –More than 50% excl. China Operations in more than 70 countries  Ash Grove Cement (USA)  Cemex (Mexico)  Cimpor (Portugal)  CRH (Ireland)  Gujarat Ambuja (India)  HeidelbergCement (Germany)  Holcim (Switzerland)  Italcementi (Italy)  Lafarge (France)  Cementos Molins (Spain)  Secil (Portugal)  Shree Cement (India)  Siam Cement (Thailand)  Taiheiyo (Japan)  Titan (Greece)  Uniland (Spain)  Votorantim (Brazil)

4. ActionPlanningIndependent Study 1999 - 200220022002 - 2020 Individual implementation Joint projects Communication and outreach + Timeline (1 st phase 2002 – 2007)

5. Joint projects to develop : –guidelines, –best practices, –reporting and monitoring systems Individual company actions –commit to SD –implement guidelines –publish results Summary of the Agenda for Action (2002 –2007) In six key areas - Climate protection - Fuels and raw materials use - Employee health and safety - Emissions reduction - Local impacts on land and communities - Communications and progress reporting

6. CSI framework to deal with Climate Change Individual company actions –Use the protocol –Set emissions targets –Report publicly company results and progress Joint projects –Develop common CO2 accounting and reporting protocol, –Share data on fuel properties, –Develop common KPIs

7. Achievements  Progress report June 2005 Protocol updated 2005 CO2 inventories in 94 % of kilns 3 companies publish targets + report KPI’s developped

8. How we will measure progress Key performance indicators –Number of facilities and percentage using the WBCSD CO2 protocol Guidelines for their emissions inventory, –Company-wide total CO2 emissions (gross and net), tonnes /year –Company-wide gross and net CO2 emissions per tonne of cementitious product

9. Current work Streamlining of Clean Development Mechanism Performance benchmarks Sectoral approach

10. Sectoral approach « A cross border initiative for reducing carbon intensity in a major emitting sector »  Promotion of technology transfer  Realization of equity  Prevention of leakage  Simplifying CDM  Facilitate efforts in developing countries  Prevention of hot air

11. Cement sector A good candidate for sectoral approach Standardized products Single manufacturing process –With a limited number of technologies Agreed measurement protocol Performance well investigated Well documented avenues for progress Technology available worldwide 75 % cement is produced in developing countries CSI willing to investigate concept further

12. Thank you !