BHP Billiton Firm’s Environmental Management System

Federal and State Legislative Requirements required for ISO 14001

For this task, the environmental management system of the company BHP Billiton is considered.

In general, Australia has adopted the International Standard for Environmental Management Systems (EMS) AS/NZS ISO 14001. Although this standard is not mandatory for any organization, there are a number of Australian companies and public sector agencies that are adopting EMS. There are different objectives of adopting the EMS. Some of the companies adopt the system because they feel EMS is likely to improve the potential for doing international business. Some other companies find it as a logical way of managing the environmental implications of their business or activities, and few others consider EMS to facilitate them to excel in their environmental performance. An environmental management system is defined by the International Organization for Standardization (ISO) as “the part of the overall management system that includes organizational structure, planning activities, responsibilities, practices, procedures, processes and resources for developing, implementing, achieving, reviewing and maintaining the environmental policy” (Standards Australia, 1996).

With regard to the environmental management system of BHP Billiton, there are various legislative and other requirements prescribed by the federal and state laws for practising EMS. BHP Billiton has to ensure that

1. It has the knowledge of the environmental legislative requirements applicable to the organization
2. it has established the measures and mechanisms to ensure that the organization would be able to comply with the legislative and other requirements
3. it has the mechanisms in place to measure and monitor any deviation from compliance, and it has instituted corrective mechanisms to address the deviations
4. it has fully functioning reporting mechanisms in place when BHP Billiton is required to make reports to government authorities on environmental aspects

There are a number of procedures, documents and/or records prescribed by the federal and state legislation for BHP Billiton to follow. Some of the procedures include:

• identifying environmental aspects and determining the significance of different aspects
• creating awareness about the environmental issues
• controlling the documents under the regulations of the standard
• identifying, maintaining and disposing of environmental records.

The documentation relates to the framing of an environmental policy, objectives and targets and formulating environmental programmes and preparing the EMS manual and procedures for operational control and emergency plans. The regulations also provide for the maintenance of a number of records pertaining to the adoption of EMS. In accordance with these requirements, BHP Billiton has prepared an elaborate environmental policy to be adopted by all its subsidiaries, associates and subcontractors operating in various locations throughout the world. In addition, BHP Billiton also circulates its environmental policies to all its associates and subcontractors to enable them to follow the required standards strictly and effectively.

Stakeholders and Requirements of Stakeholders

The stakeholders and their requirements are indicated below:

1. Government
   • Requirements
     1. Ensuring maintenance of a pollution-free environment and sustaining the environment
     2. Meeting the international requirements of environmental standards
2. Shareholders
   • Requirements
     1. Increased returns on investments
     2. Maintain a high market reputation for the organization
3. Organizations
   • Requirements
     1. Provide the opportunity for an environmentally friendly atmosphere
     2. Meeting the social responsibility towards the community
4. Vendors
   • Requirements
     1. Ensuring a pollution-free product and environment
     2. Sufficient order and prompt payment
5. Employees
   • Requirements
     1. Fair working conditions
     2. Ensuring career progression

Processes and Sub-Processes

1. Land Stewardship
   • Sub Processes
     1. Controlling the land under mining
     2. Caring for the natural habitats
2. Bio-diversity
   • Sub Processes
     1. Respect local biodiversity
     2. Plan and deliver responsible sites
3. Mineral and non-mineral waste
   • Sub Processes
     1. Efficient waste management programmes
     2. Caring for the natural habitats in the vicinity of mining sites
4. Closure and Areas under Management
   • Sub Processes
     1. Proper closure programmes for used mines
     2. Programmes for rehabilitation
5. Water Management
   • Sub Processes
     1. Reduction in Emissions and Wastes
     2. Recycling and Reuse of water wastes

Main Processes and Environmental Aspects

1. Land Stewardship
   1. Selection of proper sites for mining
   2. Caring for habitats near the mining sites
   3. Controlling the land under mining
   4. Safety aspects of mining workers
   5. Efficient waste management programmes
2. Closure and Areas under Management
   1. Environmental Aspects
   2. Management of mineral and non-mineral wastes
   3. Management of emissions and water wastes
   4. Proper closure programmes for used mines
   5. Programmes for rehabilitation of the used mines
   6. Caring for the natural habitats near the closed mines

Environmental Impacts of the Main Processes

1. Land Stewardship
   • Environmental Impacts
     1. Land Degradation
     2. Fragmentation of land
     3. Disruption of soil
     4. Contamination of soil
     5. Soil erosion
2. Closure and areas under management
   • Environmental Impacts
     1. Waste rock disposal
     2. Abandoned facilities at the surface
     3. Physical de-stability of roads and water sources
     4. Bioaccumulation in the food chain
     5. Health issues due to hazardous wastes

Objectives for Environmental Aspects

Environmental Targets

The environmental targets concerning the environmental objectives listed above are:

1. Controlling and minimizing the environmental pollution resulting from the mining activities
2. Ensuring regular and efficient disposal of mineral and non-mineral wastes
3. Implementing policies to prevent damages to the land
4. Implementing policies to prevent damages to water sources
5. Strategically deciding the location of mines to minimize the adverse environmental impact on the natural habitats
6. Instituting necessary safety measures protecting the mining workers
7. Establishing safety policies and procedures and ensuring the strict adherence of these policies and procedures
8. Ensuring the used mine sites are properly closed
9. Preventing potential damages to the environment by the used mining sites
10. Preventing alteration to groundwater tables

Environmental Actions

1. Controlling the environmental pollution from mining activities

• Locating proper mining sites
• Reviewing the environmental impacts on the proposed mining sites

2. Ensuring regular and efficient waste disposal

• Constructing proper waste disposal facilities
• Periodic refuse disposal

3. Implementing policies for preventing damage to land

• Identifying and avoiding the potential damages from land fragmentation
• Implementing action for avoiding soil erosion

4. Implementing policies for preventing damages to water sources

• Identifying and avoiding potential damages to water resources
• Implementing action for avoiding contamination to river water

5. Strategically deciding the location of mines to avoid adverse impacts to natural habitats

• Review of the suitability of mining sites
• Assessing the impact on natural habitats near the proposed mining sites

6. Instituting safety measures for mining workers

• Studying the mining worker safety aspects
• Training workers to follow safety procedures

7. Establishing safety policies and procedures

• Setting environmental protection goals
• Devising policies to achieve the environmental protection goals

8. Ensuring proper closure of used mines

• Removal of waste rocks and other debris from used sites
• Planning for smoothing the surface around closed mines

9. Preventing potential damages to the environment by the used mining sites

• Planning for rehabilitation of used mine sites
• Removing the abandoned site equipment and other materials

10. Preventing alteration to groundwater tables

• Studying the impact of mining on the groundwater table
• Monitoring alteration to groundwater tables regularly

Methods to Monitor the Progress of the Implementation of Environmental Actions

The first step to solve the environmental issues is to become aware of such issues. Although the organizations need not necessarily approach the environmental issues in a formal manner, regular and scheduled meetings may be considered as a good way to track the progress of the implementation of the environmental actions. There are many methods organizations use to control and monitor the progress of environmental actions. What is important is that the organizations should find a proper method that works well in achieving the environmental objectives by instituting proper environmental actions. Since environmental commitments are subject to changes over time, the organizations have to revise and improve their knowledge and experience in protecting the environment and the connected issues. The organizations also have to change their methods of controlling the progress of the implementation of environmental actions depending on the changes in their environmental commitments.

Some of the methods for effective monitoring of the progress of the environmental actions are:

1. The organizations should initiate a periodic audit of the follow up of all environmental policies and procedures
2. They may also document the progress of the implementation of the environmental actions in the annual reports and identify the scope for further improvements
3. Another method to ensure the monitoring the progress of the environmental actions by the organizations is to set Key Performance Indicators (KPIs) for all the proposed environmental actions, with an analysis of the data to monitor the progress of the implementation
4. Identifying and setting definite objectives and goals and reviewing the policies and procedures of operation to get the desired results is one of the successful methods to monitor the progress of the implementation
5. The organizations may conduct periodic surveys among different stakeholders to obtain feedback on the implementation to speed up the actions in the required areas.