Biodiversity Action at Holcim Canada

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Strength. Performance. Passion. Biodiversity Action at Holcim Canada Global Partnership for Business and Biodiversity, Montreal, Oct 2, 2013 Short title, Department, Date yymmdd, Classification 2012Holcim 2013 (Canada) Holcim (Canada) Inc. Inc.

Why Biodiversity Matters to Holcim As a resource intensive business, biodiversity conservation is important to long term resource strategy Public pressure Accountability Regulations/Requirements Efficient use of limited resources is good business practice Businesses can contribute to conservation through their activities 2

Holcim in Canada 2 Cement Plants Joliette and Mississauga. Dufferin (ON) Demix (QC) Concrete Plants Aggregates (quarries/pits) Asphalt Plants Construction 3

Concrete is also essential to Society s shift to a Green Economy Urban densification Wind Power Hydroelectricity Nuclear Green Roofs Public Transport Even Solar Energy

To meet this growing demand, We will need to build smart, sustainable buildings and homes Concrete buildings require up to 40% less energy to operate than similar wooden structures Richardsville Elementary Bowling Green, KY First Net-zero school in the US Building materials represent less than 10% of the total GHG emissions over the life of a building Concrete home 5

REHABILITATION OF PITS AND QUARRIES Worldwide Holcim operations cover 138,000 ha (3,000 ha in Canada). Only 30% of this land is used as part of our operations Number of sites : 547 Sites in natural setting: 22% Sites in agricultural setting: 54% Sites in commercial/industrial setting 13% Sites in residential areas 7% Sites with local ENGO partnerships: 19% Sites with biodiversity monitoring: 20% One goal of the BMS is to demonstrate the value of rehabilitation through a science based approach. Sites with an existing quarry rehabilitation plan: 86% Sites with completed environmental and social assessment: 55% BMS will be integrated into the site rehabilitation plans. Sites with significative biodiversity value: 34% Implement best management rehabilitation practices including progressive Number of sites rehabilitation with Biodiversity to restore, maintain and Action improve biodiversity. Plans: 29% In Canada 4/20 have BAP (5 are in a natural setting, 10 agricultural) Level of biodiversity established will require monitoring and creating objectives and targets through development of KPIs. DFA Millcreek Progressive Rehabilitation Progressive Rehabilitation Dufferin, Millcreek, ON DFA Acton Phase 2 Progressive Rehabilitation 12 6

The first priority for Holcim has been to minimize our dependence upon non-renewable resources former terminals at Pearson Airport Holcim Canada (Dufferin and Demix) continues to be a leader in the use of recycled aggregates in replacement for natural stone and the use of residual materials in the replacement for fuels and raw materials 7

The public, in general, is unaware of the positive long term ecological impacts of our operations Going from this 8

The public, in general, is unaware of the positive long term ecological impacts of our operations to this! To this 9

A well managed quarry generally results in improved biodiversity compared to its previous land use (in Canada) Farmlands (low biodiversity)

A well managed quarry generally results in improved biodiversity compared to its previous land use (in Canada) Second Growth Forest (moderate biodiversity)

A well managed quarry generally results in improved biodiversity compared to its previous land use (in Canada) Biodiversity Rich Rehabilitated Quarry

Aggregate operations located in dense urban areas may also result in important biodiversity gains

Other suburban quarries in Greater Montreal Area 14

Shallow Aquatic Community

Open Cliff Community

Old Field

Poplar/Sumac

Integrated Biodiversity Management System developed in partnership with IUCN Biodiversity Management System Planning Cycle Pre-ESIA Opportunity Feasibility Study Study ESIA Site Biodiversity Management Operational Cycle Quarry Rehabilitation Biodiversity Handbook (living library): Supporting Information, additional resources Avoid Risk Seize opportunities

All sites are classified according to their biodiversity importance and potential impacts of operations 20

The interventions are also adjusted to take into account local biodiversity needs 21

Biodiversity is more than managing protected species Understanding ecosystem services Provisioning Goods or products produced by ecosystems Regulating Natural processes regulated by ecosystems Cultural Non-material benefits obtained from ecosystems 22

Holcim has been involved in the testing of ecosystem valuation tools Ripon Quarry, UK (Aggregate Industries) 23

Present value Summary of the Ecosystem Valuation assessment in Ripon Value of ecosystem service - benefits and costs of supply 1,600,000 BENEFIT COST 1,400,000 1,415,917 1,200,000 1,000,000 800,000 721,761 600,000 400,000 356,330 200,000 224,079 117,598 0 Flood storag 4,702 Carbon sequest ration Biodiversit Recreation 58,819 Restoration Aftercare costs Value of ecosystem service benefits and costs Value of lost food production 24

Important benefits were obtained through the construction of a lake and wetlands Aggregate Industries Ripon, UK Benefits Habitat: 1.4 million Recreation: 350,000 Flood control: 224,000 Climate change: 4,700 Rehabilitation and monitoring costs were not significative Ecosystem improvements were achieved at a reasonable cost The greatest economic impact is generally observed where original land use had marginal biodiversity value 25

Holcim is leading industry in developing sustainable standards and practices

What has Holcim been doing in Canada Peregrine Falcons are found at a number of our sites

Manmade falcon nests installed to prevent nesting in active areas at the Mirabel Quarry 28

Bank Swallows, Dedicated nesting area at active quarry Bank swallows face significant habitat loss due to urbanization 29

30

Biodiversity Action also occurs at Holcim concrete plants 31

Where it is not possible to avoid impacts, compensation projects are undertaken to preserve specific species 32

Partnering with local schools is an important part of our biodiversity actions and sustainability approach 33

Biodiversity protection is totally compatible with all our operations

Creating a positive lasting impact on biodiversity benefits our local communities and the environment 35