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Office in Bogotá, Colombia Address: Calle 100 No 19-54. Piso 12 Phone: (57) (1) 595-5555 www.cerrejon.com comunica@cerrejon.com
This is the twelfth time a sustainability report (hereinafter, IS 2016 or Report) has been drafted, and we have been publishing it annually and consecutively since 2005 to provide information about our financial, social, and environmental performance. It includes the management and information about the companies
Standards and level of compliance: The complete report on
Carbones del Cerrejón Limited and Cerrejón Zona
which this summary was based was prepared according to the
Norte S.A. (both hereinafter Cerrejón), within the
standards of the Global Reporting Initiative (GRI), Core option.
period between January 1 and December 31 of 2016.
Consolidation: Cerrejón’s Division of Corporate Affairs and Communications.
We have provided the corresponding explanation in each section when modifications have been made to any indicator’s formula or basis of calculation, in terms of the
External consultant: PricewaterhouseCoopers A.G. – PwC and Semana Sostenible.
information included in previous reports. There are no changes in the Report’s scope compared to the previous year.
Independent external verification: Deloitte & Touche, following
Corporate name: Carbones del Cerrejón Limited. A 100%
international standard ISAE3000, in line with our commitment
privately owned foreign company domiciled in Anguilla,
(coming from the most senior levels of the organization) of
British West Indies. Cerrejón Zona Norte S.A. A 100%
guaranteeing the traceability and reliability of information.
Colombian partnership with its main domicile in Bogotá.
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003
Three decades of operation
T
hirty years ago, we started
we have managed to position Cerrejón
pursuing a dream possible
and Colombia as one of the main
Sustainability Report is available
thanks to the work of more than
suppliers of thermal coal in the world.
for reference at our website
15,800 people who have constructed
After three decades, with more than
The complete version of the
www.cerrejon.com. This executive
one of the largest coal operations in
650 million tonnes of coal exports, and
summary version was prepared
the country. This demonstrates the
after supporting the education of more
to extend the scope of what we
opportunity that this mineral represents
than 12,000 young people in the country,
consider to be the most relevant
for the Colombian economy, which
and contributing $6.6 billion dollars
information and lessons from 2016
is today the second national export
in taxes and royalties over the past 15
regarding our stakeholders.
product. We have been operating
years, we shall continue participating
for three decades thanks to these
in La Guajira’s development, leaving
thousands of individuals who have
established capabilities as a legacy
participated throughout our history, and
of our contribution to this region. RESPONSIBLE MINING � 2016
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A M E S S A G E F R O M t h e c eo
W
e made the decision this year to present the Letter from the CEO in video format as
a result of the interview held between Semana Sostenible and Roberto Junguito Pombo, President of Cerrejón, conducted in Bogotá in June of 2017. We invite you to watch the interview at our website (www.cerrejon.com), where we also offer some key points worth highlighting from that conversation.
2016, A YEAR OF CHALLENGES AND OPP ORTUNITIES Two events were fundamental among the great challenges of this reporting period: the impacts caused by the El Niño phenomenon and the volatility of international coal prices. While enduring the first one, Cerrejón maintained its programs, together with different partners, directed towards supporting the community with solutions for water supply in the region. On the other hand, the company’s efficiency and competitiveness were improved to ensure its sustainability while facing the lowest prices in the last 12 years, thanks to joint efforts between employees, contractors, and management. The creation of the Guajira 360° Think Tank this year, in partnership with Promigas, the Chamber of Commerce of La Guajira, and Fundesarrollo, can also be highlighted. This is an important step in contributing the most robust technical resources so that La Guajira 2 0 1 6 � W W W. C E R R E J O N . C O M
can plan the region’s future, covering its current reality and its needs. Also worth highlighting is the progress on a project with the participation of several different sectors, led by TRUST, which could become the strategic cornerstone of La Guajira in future. Cerrejón also advanced with projects that seek to ensure the competitiveness and continuity of its business, among them La Puente Pit extension works, beginning of operations at Annex Pit, and the execution of infrastructure plans to procure the required assets and maintain its operation during the approved concession period up until 2034.
FACING DEBATES Cerrejón is proof that responsible mining is absolutely compatible with environmental protection, while overseeing resources and waste is part of the company’s DNA. The direct impact that was expected from the time the company started operating, as well as the measures adopted more than 25 years ago to be able to rehabilitate land disturbed by mining, are signs that development and environmental stewardship can be compatible when environmental management is a foundational pillar. Experience in the promotion of tourism, particularly through the Waya Guajira Hotel, and the agricultural
projects in some of the operation’s 3,674 hectares of rehabilitated land (cumulative to the end of 2016) shows that, in the case of large-scale openpit mining, it is possible to combine other economic activities with the exploitation of mineral resources. The polarisation of organizations ideologically opposed to mining has affected the credibility of mining companies. Cerrejón has determined that one way of confronting this challenge is to open its operation to third-party informed validators, with total transparency, who can be a source of credible information after learning the details.
THE FUTURE OF MINING AND OF CERREJÓN Colombia has very important resources that are fundamental for the country’s development. Cerrejón has proved, in practice, that this economic activity is compatible with agriculture and tourism, which can be a driving force for local economies and the development of its area of influence. The company has become directly involved in contributing to the region’s prosperity under the premise that, if things go well for the region, it goes well for the business. One of the hubs of Cerrejón’s social management efforts has focused on increasing local competencies to access greater
005
Roberto Junguito, CEO
employment opportunities and
regions. Today, close to 250,000
abundant, known and stable source
income with different economic
people depend directly on the
of energy at competitive prices.
activities, aimed at leaving behind
sector and close to 900,000 people
present and future capacities
are also linked to the industry.
installed in the region. In this way, we
In terms of climate change,
For the use of coal to be viable and sustainable, an investment in technology is required to
seek to promote the sustainability
development and investment in
increase efficiency and decrease
and empowerment of communities
renewable energy is an important
emissions. There are even options
to generate the transformations
option, but certain technical
such as capturing coal emissions
required to narrow the social gap.
challenges, such as connection,
underground to prevent them from
stability, and storage still must
getting into the environment, and
conflict the private’s sector’s role in
be resolved. Considering that the
therefore technological innovation
this peace-time construction period,
International Energy Agency calculates
in electrical power generation plants
is the opportunity to maintain the
that close to 40% more energy will
may have important advantages
best working conditions, especially
be required from now until the year
compared to marginal increases
in the country’s rural areas. Mining
2040 (based on current consumption),
in renewable energy sources. It
is carried out in most of the country
and that currently close to 1.2 billion
has been demonstrated that high-
and, operates with the highest
people have no access to electrical
end coal-based plants that use
working standards. Therefore it will
power worldwide, coal will continue
advanced technology would be
continue to be a source of worthy
to be an essential component of the
as environmentally friendly as a
and stable employment in the
energy basket because it is a reliable,
renewable energy project with a
Furthermore, in terms of post-
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similar investment and would generate
Unfortunately, this is an easily questioned
Ranchería River, and is used both for
about four times more energy.
activity and the challenge is for people
consumption by our 12,000 collaborators
to really get to know the facts and
(employees and contractors), as well
information about what Cerrejón does.
as for distribution to communities.
CHALLENGES AND STRATEGIC VISION Cerrejón’s main challenge is the way
From the region’s point of view, the
Additionally, in 2016, Cerrejón
main challenge is water management
contributed to the creation of two
in which it contributes, in an increasingly
and access. Therefore, Cerrejón has
strategic initiatives, the hydrogeological
effective way, to the development
a commitment to make efficient and
model of La Guajira in partnership with
of La Guajira and its communities.
responsible use of this resource, supports
the Colombian Geological Service,
Contributions in the past have not
initiatives to conserve water resources in
and the design of the Water Research
necessarily brought about changes in
the department, and participates in the
Centre project (Winka), together with
the local economic and social reality
construction of medium-term and long-
the Ministry of Education, the Governor’s
and, therefore, its purpose is to continue
term solutions for accessing this resource. Office, and the University of La Guajira.
leveraging sustainable and replicable projects with a high regional impact. Another challenge is to continue
In our operations, 93% of the water
Their purpose is to generate capacities
used is industrial, not suitable for human
that make it possible to address future
or animal consumption, or agricultural
challenges related to water in the region.
use, coming from rainwater and coal
Moreover, in terms of external
to adequately inform and participate
seam dewatering. The remaining
conditions, today we see an important
in the technical debate on mining.
7% is high-quality, mainly from the
challenge in Colombia due to the unstable rules of the game for the private sector, including the mining sector, which considerably affects the capacity to maintain and attract investment. When taxes change, rulings vary, or when new obligations are created for companies (even if related to responsibilities with the State), this translates into an environment of uncertainty for investors and sends a negative signal to the international community.
Carolina Urrutia, Director of Semana Sostenible, interview with Roberto Junguito, CEO of Cerrejón.
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O U R M AT E R I A L I T Y A N A LY S I S To define the most relevant issues
(DJSI and FTSE4Good), and an image
dialogue with 50 representatives
to be included in the Report, we have
and reputation study carried out by
from our workforce, contractors,
taken into account their importance
the National Consultancy Centre
journalists, communities, and local
to our stakeholders and those we
(Centro Nacional de Consultoría)
authorities, conducted on March 2 of
consider basic to our management.
between November and December
2017, as well as a survey applied to 15
For this reporting period, we updated
of 2015, among many others. To this
of our company’s senior management.
material matters in these three phases.
analysis, we added press reviews,
The result of this process was the
Identification: consultation of
actions regarding engagement actions,
identification of the 14 material topics
sources of information. In this first
and the most relevant material issues
addressed throughout this Report.
phase, we reviewed key documents that
in the latest sustainability reports.
allow us to understand the context of
From this information, we
Cerrejón’s operations, including a study
identified the most common and
performed for Cerrejón by TRUST, the
relevant elements, obtaining a list of
criteria established in sustainability
30 key items that we proceeded to
indices regarding sector performance
prioritize and validate in an open RESPONSIBLE MINING � 2016
MATERIALITY As a result of a materiality analysis, we identified whether each item had been perceived by stakeholders as a positive or negative impact generated by our operation, as a risk, as an opportunity, and/or whether it should be subject to accountability. IMPACT (POSITIVE OR NEGATIVE)
RISK
ACCOUNTABILITY
OPPORTUNITY
MATERIAL ISSUES
SINCE THE SUSTAINABILITY REPORT 2015
M ateriality p r o c e s s COMPREHENSIVE WATER MANAGEMENT
1- Access to water in the region
009
THE VALUE OF MINING FOR LA GUAJIRA
8- Improvement of quality of life of communities in the area of influence 9- Engagement with the community of La Guajira 10- Company role during the post-conflict period
2- Efficient and responsible use of water in the operation
COMMITMENT TO BIODIVERSITY IN LA GUAJIRA
3- Stewardship and conservation of biodiversity
ACTIONS TO ENSURE AIR QUALITY
4- Air-quality management
COMMITMENT WITH WORK IN LA GUAJIRA
11- Safe and healthy work environment MANAGEMENT OF OUR OPERATIONAL IMPACTS
5- Commitment to human rights 6- Respect for the right to prior consultation of ethnic communities
12-Increase in the local workforce and local supplies 13- Strengthening suppliers and generation of production chains in the region
OUR MINE CLOSURE PLAN
14- Mine closure plan
7- Engagement and respect for the rights of indigenous communities RESPONSIBLE MINING � 2016
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O U R R I S K A N D I M PA CT MANAGEMENT Cerrejón’s risk management has been developed following the standards
ENGAGEMENT WITH STAKEHOLDERS
Development (OECD) document for due diligence in engagement
defined in ISO 31000, based on the
To settle on common aims and
identification, analysis, evaluation,
determine rules in this territory, dialogue
individuals or groups that are or can be
and treatment of risks performed for
is the best means of engagement. At
impacted directly or indirectly by our
each area of the company, including
Cerrejón, dialogue is how we get to know
operation or by the programs we run.
both operational and associated
spokespeople, as well as the different
In this regard, we work to
strategic processes, characterizing
sectors and groups interested in our
maintain engagement mechanisms
them according to the impact that
management. It aids us in understanding
with the purpose of sustaining two-
their materialization would generate.
their perceptions, expectations, and
way, transparent communication,
with stakeholders, defining them as
interests, and enables us to determine
as well as determining their needs
critical controls are designed and
with them the best way to carry out
and expectations with regards to
applied to reduce the probability of
our operations so that they are useful
our management. Thus, we are
occurrence of an event or its impact.
to both the country and the region.
committed to exploring ways that
Once identified and analysed,
Subsequently, these are tested
At Cerrejón, we identify our
allow us an even more fluid and
taking into account pre-established
stakeholders based on the Organization
higher-quality dialogue, especially
performance standards and the creation
for Economic Co-operation and
with the stakeholders in La Guajira.
of action plans for their follow-up. The main aspects we evaluate are related to health, safety, environment, communities, legal, financial and reputational issues. Our risk management process is ensured through regular reviews and its results are reported to our shareholders, emphasizing the most significant risks to the business. These issues are part of the annual audit we receive from them. In this context of risk management, our reference is the principle of precaution, to avoid risks in our operation that, if materialized, could cause irreversible damage to our stakeholders or the environment, even if there is no scientific certainty.
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3,000 people have participated in our Integrated Basin Management Program.
S U S TA I N A B I L I T Y R E P O R T / INTEGRITY AND ETHICS
011 02
Integrity and Ethics
Cerrejón Visitors Centre.
A
t Cerrejón, bribery and corruption are unacceptable. Our zero-tolerance policy against these practices is in line with the highest international standards in ethics and transparency. To achieve this, we resort to constant innovation and absolute clarity and example on our senior management. There are no excuses for corruption, which is so costly to a country.
Our main tools to ensure compliance with our standards of
CORP ORATE GOVERNANCE
to any interested party or persons
For us, it is fundamental to have principles, rules, and mechanisms that regulate the interaction of key company decision-making bodies. Therefore, our shareholders (Anglo American, BHP, and Glencore) have issued our CEO’s office a mandate to achieve expected results and a definition of
associated with our business.
the correct way to achieve them.
ethics and integrity are our corporate governance, our policies and conduct guidelines and, of course, constant monitoring of compliance, as well as anti-corruption management and reporting channels available
RESPONSIBLE MINING � 2016
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Committed to working with
WE HAVE BEEN PIONEERS IN HAVING AN ANTI-CORRUPTION WORK
integrity, we have 19 mandatory policies
STRUCTURE SINCE THE BEGINNING OF THE OPERATION. TEN
applicable to our operation in Colombia,
AREAS OF CERREJÓN, WHICH CORRESPONDS TO 100% OF THOSE
including all our employees and the
IDENTIFIED AS VULNERABLE WITH REGARDS TO CORRUPTION
organizations which we work with. In
ISSUES, WERE ANALYSED FROM THE RISKS PERSPECTIVE IN JULY
the current context, these measures
AND AUGUST OF 2016.
are particularly relevant and we are aware that any lack of transparency or unethical behaviour undermines the value of economic activities in all sectors.
a plan for training, reviewing, and
that, through the area committee,
endorsing high-risk due diligence.
the required actions are taken when
In anticipation of the directives of the Central Government, our Anti-
deviations from the policies and conduct guidelines are evident.
MANAGEMENT OF CONFLICTS OF INTEREST
Corruption Program was implemented in 2013. Therefore, measures such as the
for reporting irregularities so that any
Any business relationship that Cerrejón
one established by the Superintendency
employee, contractor, or third party
establishes with third parties, including
of Companies (Superintendencia
may, anonymously or confidentially,
contracting and donations, may bring
de Sociedades) that has forced
report irregularities regarding our
about conflicts of interest that endanger
companies with characteristics similar
Ethics Policies, Conflicts of Interest,
the independence of the decisions we
to those of Cerrejón to have an anti-
Fraud Control, and Anti-Corruption
make.
corruption program in place as of
Guidelines, among others.
For this reason, we perform due
2017 (implemented as of March 30
diligence in order to identify possible
of 2017), had already existed in our
conflicts of interest with government
company for more than three years.
employees or with third parties before
Annually, we perform a corruption
Our website has several channels
CERREJÓN: AN OPEN-DOOR OPERATION
entering into an employment or
risk analysis of each of the Cerrejón
Every year, more than 15,000 people,
contractual relationship. In addition, we
areas in order to identify which of them
including communities, authorities,
carry out a declaration of conflicts of
are vulnerable and to initiate a training
non-governmental organizations, news
interest applied every two years, in which
plan to prevent any risk of corruption.
media, tourists, students, and others,
every professional employee must report
We have been pioneers in
visit our operations to learn at first-hand
situations that could constitute a conflict
implementing an anti-corruption work
about our mining and our social and
in the pursuance of their activities.
structure since the beginning of the
environmental practices. All of them
operation. Ten areas of Cerrejón, which
are received in our Wopushüwa Visitors
to report any potential conflict as
corresponds to 100% of those identified
Centre by guides who are experts in
soon as it is identified to ensure
as vulnerable with regards to corruption
the extraction of coal and lead them
timely and relevant action.
issues, were analysed from the risks
on a tour that includes the operational
perspective in July and August of 2016.
area and the areas undergoing land
All our employees are required
rehabilitation, a pioneer program
ANTI-CORRUPTION MANAGEMENT
in the country in tropical dry forest conservation.
Anti-corruption management is led by
CHANNELS FOR REP ORTING IRREGULARITIES
our Legal Department’s Compliance
Internal Control is the area responsible
addition to being a reflection of our
Office, which ensures that we carry out
for managing the channels for
commitment to transparency in our
prevention processes through the Anti-
reporting irregularities, conducting the
processes, is part of a commitment
Corruption Program, which contains
necessary investigations, and ensuring
to promote tourism in the region.
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The Visitors Centre, in
S U S TA I N A B I L I T Y R E P O R T /
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OUR COMMITMENT TO THE ENVIRONMENT
03
Our Commitment to the Environment
A
t CerrejĂłn, we are convinced
the effectiveness of control systems and
in danger of extinction), and we do
that respect for the environment
compliance with Colombian regulations.
everything necessary to keep air
is one of the fundamental
We are aware of the importance
quality within the levels established
elements of any successful business
of the stewardship and efficient use of
strategy and, even more so, in the
natural resources and the protection
mining industry. Our environmental
and conservation of the biodiversity
resources, accompanied by ongoing
management policy and model focus
in the area where we operate, for
monitoring of our performance,
on the minimization of environmental
the benefit of both our neighbouring
represent our contribution to
impacts through the timely identification
communities and the region in general.
environmental sustainability and
and evaluation of them, and of the
Consequently, we enact
respective establishment of measures
comprehensive water management
for their prevention, mitigation,
(a vital resource for La Guajira), we
and compensation, much like the
work towards the conservation of
implementation of oversight and
native fauna and flora (especially
monitoring systems in order to verify
those declared to be threatened or
by national regulations. Adequate management of these
protection in the department.
COMPREHENSIVE WATER MANAGEMENT Since we are a mining company that operates in a semi-arid
RESPONSIBLE MINING ďż˝ 2016
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area, we have a clear need and
programs in which we take care of
We continually receive visits from
commitment to making responsible
every detail of our production process;
environmental authorities, NGOs,
use of water and contributing to the
focus on river basins through programs
auditors, government entities, clients,
search for supply solutions for the
for the conservation and protection
investors, journalists, and members
most vulnerable communities.
of water sources; and participation
of neighbouring communities to learn
in water-access solutions in
about, see evidence of, and evaluate
nature very complex. The climate
neighbouring communities through
our responsible management of this
conditions of extreme droughts and
the implementation of initiatives
important resource in our region.
high levels of evaporation (which in
organized among the parties.
Water access in La Guajira is by
many cases double the rainfall levels),
Additionally, in order to achieve
At Cerrejón, we are committed to transparency in our use and
especially in the medium and high
a greater impact with our actions,
management of this vital resource
areas of the department, are realities
we have established partnerships
and to continuous improvement in
that make water access difficult.
with private companies, national
its use. The uncertainty presented
Climatic variability in recent years,
and local governments, civil society,
by climate change only guarantees
with a tendency for extreme droughts,
and especially with communities
us that this issue will increasingly be
has accentuated the scarcity of water
in order to identify solutions for the
a major challenge, so that beyond
in La Guajira. Among other impacts,
development and well-being of the
the harmless signals we must jointly
this fact has been reflected in the
region, which in turn aim to contribute
build solutions to the real threats.
lesser availability of this resource in
to the attainment of the United Nations
surface and underground sources.
Sustainable Development Goals.
This is precisely the situation in the
According to the National Water
EFFICIENT WATER USE WITHIN OUR OPERATIONS
Ranchería River basin, the main body
Study (completed in 2014 by the
of water in La Guajira and an essential
IDEAM), the peninsula is one of the most
water resource for its inhabitants
vulnerable areas faced with climate
and for activities such as agriculture,
variability, especially due to the fact
accordance with the permits and licenses
livestock farming, and mining.
Water Collection At Cerrejón we collect water in
that it has a tropical dry ecosystem.
granted by the Regional Autonomous
Furthermore, the geographic
The department is one of the regions
Corporation, Corpoguajira.
dispersion of indigenous communities,
with the greatest water deficit in the
which represent more than 40% of the
country and, due to its aridity index,
of water, 93% of which corresponded
Guajiran population and inhabit ranch
is in the “high shortfall” category.
to sources considered to be low quality
settlements (rancherías), are scattered
If we add to this the serious flooding
In 2016, we collected 13,528,558 m3
(12,580,840 m3) and 7% to high-quality
in isolated pockets of rural areas in the
that took place in 2010, caused by the
sources (947,718 m3). The low-quality
department, mainly in the medium and
extreme La Niña phenomenon, and
water is used mainly for dust control
high areas, where the greatest difficulties
the extreme drought in 2015, which
on the mine’s roadways, in accordance
exist for accessing water resources.
resulted from the prolonged El Niño
with our Comprehensive Environmental
phenomenon, we can understand
Management Plan.
counts. That is why we implement
that we are not unaffected by climate
This water, which is not suitable
comprehensive water management
change. In fact, given its impact on
for human consumption,
focused on three fundamental
La Guajira, we need integrated water
animal consumption, or for crop
pillars: efficient water use inside our
management. Our water management
irrigation, mainly comes from:
operations through conservation
model is becoming increasingly known.
•• Runoff: 10,851,347 m3 (86%). It is
At Cerrejón, every drop of water
obtained from rainwater that WE ARE COMMITTED TO MAKING RESPONSIBLE USE OF WATER AND
comes into contact with waste
CONTRIBUTING TO THE SEARCH FOR SUPPLY SOLUTIONS FOR THE
material and coal and drains toward
MOST VULNERABLE COMMUNITIES.
the interior of the mine pits.
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015
•• Coal seam dewatering: 910,724 m3 (7%). Water contained within coal seams. It has a high salt content like
CHART 1
P R O D U C T I O N A C T I V I T I E S T H AT M A K E U S E O F L I C E N S E D WAT E R F R O M T H E R A N C H E R Í A R I V E R
chlorides and sulfates typical of coal. •• Sea: 818,769 m3 (7%). In Puerto Bolívar, 96% of the water used for the
MINING ACTIVITIES 1.8 %
operation and human consumption of our workers and the community comes from the sea and is previously treated in our desalination plant. The water designated as high quality is mainly used for the human
DOMESTIC 5.7 %
LIVESTOCK FARMING 6%
consumption of our employees and contractors and for distribution to neighbouring communities. This water comes from the Ranchería River and its aquifer and is quantified
AGRICULTURE 86.5 % Source: Corpoguajira 2012 Resolution 1725
through flow metres at the water outlets of the bodies of water and in These waters were mainly discharged
water management, sustainable
(after treatment) into the Ranchería
production systems, ecosystemic
in the total amount of water collected
River (90%) and the other four
connectivity, and water governance.
compared to 2015. Specifically in relation
bodies of water that are part of its
to the collection of high-quality water,
catchment basin, in accordance with
which was reduced by 31%, mainly
the permits granted by environmental
accounted by measures adopted for
authorities and in compliance with
leak and pressure control in the water
existing environmental regulations.
the wells located in the aquifer. In 2016 we achieved a 25% reduction
SOLUTIONS FOR ACCESS TO WATER IN NEIGHBOURING COMMUNITIES We are promoting the
distribution system. The reduction
implementation of suitable
in the collection of low-quality water
CATCHMENT BASIN PROTECTION
technologies, skills strengthening,
which decreased the need for water for dust control in the operation.
Through our Comprehensive Water
management. Since 2014, when the
Management, we seek to quantify
drought emergency was decreed in
is due mainly to the rainy season,
and comprehensive participatory
the social, cultural, ancestral,
La Guajira, we have distributed more
DISCHARGES
economic, and environmental
than 70 million litres of water to more
Even though water collection decreased
value of water in the region.
than 20,000 people in communities
with respect to 2015, discharge volumes
On this front, our management started
neighbouring our operations.
increased in 2016 due to the high levels
by defining production and water
of rainfall recorded that year, rising from
stress areas, which were determined
windmill-driven water pumps that
35,264 m3 to 2,189,685 m3.
with river basin users. With this input,
represent an availability of 3.2
we are designing catchment basin
million litres of water per day, and
are of three types: industrial (87%),
conservation programs consisting
we have distributed more than 1,640
mining (13%), and domestic (0.2%).
of four sub-components: integrated
tanks for proper water storage.
These authorized discharges
We have made 79 repairs to
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CHART 2
C AT C H M E N T B A S I N P R O T E C T I O N
INTEGRATED WATER MANAGEMENT
• Improvement of water supply
• Catchment basin conservation
• Water collection and storage: - reservoirs - tanks - pools • Distribution systems: irrigation • Water disinfection
• Seedling production
SUSTAINABLE PRODUCTION SYSTEMS
ECOSYSTEM CONNECTIVITY
• Buffering and replanting of springs and bodies of water
• Property planning • Cleaner production systems • Organic fertilizer • Vermiculture • Home vegetable gardens • Silvopasture systems • Hedges
• Training of forestry guards • Training in basic sanitation and hygiene
GOVERNANCE
• Local coordinating committees • Micro-basin committees
One of the initiatives that we considered in order to support the department during its crisis consisted of
CHART 3
S O L U T I O N S F O R A C C E S S T O WAT E R IN NEIGHBOURING COMMUNITIES COMPREHENSIVE PARTICIPATORY MANAGEMENT Organization of: • Organizational framework • Operation and maintenance framework • Financial framework • Plans
using the company’s available resources and putting them at the service of the region. The Water Train was put into operation, an initiative in which we use a mining train tanker railcar with an 89,000 litre storage capacity modified to transport drinking water. The railcar, when it arrives at distribution points, unloads the water into water tankers that finally transport this resource to strategic points identified together
SKILL STRENGTHENING
PHYSICAL ACCESS
Training in: • Systems maintenance and operation • Sanitation and hygiene • Community organization • Project management
with communities in order to reduce distribution and displacement times.
SUITABLE TECHNOLOGIES Implementation of actions for: • Collection • Storage • Distribution • Treatment
2 0 1 6 � W W W. C E R R E J O N . C O M
017
COMMITMENT TO GUAJIRAN BIODIVERSITY
B
ecause of its ecosystem value, at Cerrejón we seek a sustainable interaction between wild species and our operations, evaluating our impacts, including the connectivity of ecosystems and wildlife relocation programs, applying measures of protection, compensation and conservation of threatened species. In the area where our operation and its surrounding areas are located, we find different groups of peccaries, deer, howler monkeys, birds and reptiles. In the last two years we have witnessed the permanent presence of jaguars.
These animals are at the top of the food chain throughout the South American continent and, although they are currently extinct in much of the Americas, the Cerrejón area is the connection point between animal and plant populations of the eastern plains and the Amazon with the rest of the Colombian Caribbean population and those of Central America. This high supply of resources in the vicinity of the mining project is mainly a result of our conservation, protection, and compensation programs focused on conservation activities that we carry
out in and around the operations in two main categories: (1) protection and education against poaching and other activities that threaten species, and (2) the rehabilitation of land, which produces meadows. Deer come to these areas, which in turn attract jaguars.
PROTECTED AREA The valley of the Ranchería River is historically affected by different land uses, resulting in very highly fragmented species and landscape.
We have released to the ocean more than 6,400 sea turtles. RESPONSIBLE MINING � 2016
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As a result, the presence of some species such as deer and felines has DECLARED
become unfeasible in much of the
PROTECTED AREA
territory. The connectivity of forest
• Integrated Management
patches found in the Cerrejón valley
District of the lower
is of vital importance for national and
Ranchería River basin
international conservation protocols.
with 32,443 hectares
In order to promote the
in the municipalities
conservation of these valuable
of Riohacha, Manaure,
ecosystems, we have participated
Maicao, and Albania.
in the construction of the strategy
• Bahía Portete National Nature Park with 14,079 hectares in the municipality of Uribia.
for protected areas of the region with Conservation International, Caribbean Environmental Heritage, and Corpoguajira, and we have participated actively in the studies and delimitation of
• Montes de Oca protected
regional protected areas. This strategy
forest reserve with
includes four declared protected areas
12,000 hectares in the
R E S U LT S O F T H E WILDLIFE REFUGE CENTRE IN 2016
4,182 rescued animals
412
rehabilitated animals
315
animals aided
and two in the process of declaration.
areas. This centre plays a key role in
municipalities of Maicao,
In our Wildlife Refuge Centre,
raising community awareness and
Albania, and Hatonuevo.
we have treated more than 11,000
discouraging the illegal sale of wild
• Integrated Management
animals since 2007, with the highest
animals. Here we carry out rescues,
levels in 2012 and 2014 associated
monitoring, and rehabilitation, mainly
with the intervention of new mining
of reptiles, birds, and mammals.
District of the Ranchería River delta with 3,601 hectares in the municipalities of Manaure and Riohacha.
CO N S E R VAT I O N O F S E A T U R T L E S
A R E A S I N P R OC E SS OF PROTECTION D E C L A R AT I O N • Mushaisa area with 313 hectares in the municipality of Albania.
Since 2007, we have voluntarily run a sea turtle conservation project in the Alta Guajira with the community of Bahía Hondita, which has allowed the release to the sea of more than 6,400 sea turtles. This program has the support and supervision of Corpoguajira, Conservation International, and the National Navy. To date, 2.3 km of beaches are conserved in
• Aguasblancas - Santa
optimal conditions for the nesting of sea turtles. In Bahía Hondita, an
Helena Area with
indigenous community made up of 107 families, the conservation efforts
1,651 hectares in the
of the species have made it possible to protect nests and release juvenile
municipalities of Albania
turtles. Participating communities recognize the benefits of protecting
and Hatonuevo.
sea turtles, including increasing tourism and developing new projects that generate employment surrounding the conservation of turtles.
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019
LAND REHABILITATION AND FORESTRY COMPENSATION The Land Rehabilitation program that we have operated for over 27
L A N D R E H A B I L I TAT I O N P R O C E S S
years has managed to rehabilitate 3,674 hectares, corresponding to 96% of the areas where we have completed operations. We have also planted 1.6 million trees of 40 native species belonging to the tropical dry forest biome, among which the following are endangered species: verawood, yellow poui, Aspidosperma, ebony, Panama redwood, and monkey pot. This is a pioneering program in the country and has become a benchmark for the national and
2
1 PRE-MINING
Land survey and wildlife relocation
LAND REMOVAL Deforestation, removal and preservation of edaphic materials
4
3 CO A L M I N I N G
L A N D D E V E L OP M E N T
Waste rock removal and coal extraction
Land reconfiguration and formation of new soil
international mining industry. It was the result of a combination of science, technology, experience, and traditional knowledge that we started from the beginning of our operations, convinced of the importance and necessity of land conservation. Through this program, we succeeded in transforming an area disturbed by mining into a forest area with a stable and productive environment that allows the establishment, maintenance, and succession of native flora and fauna species. These rehabilitated lands are
5 LAND S TA B I L I Z AT I O N
Protection, genesis, organization, and structural development
6 REVEGETATION Ecological diversification
interconnected with regional ecosystems as providers of goods and services. Thanks to the reconstruction of these habitats, we have seen the return of wildlife species that have been spontaneously established and
7
conserved, such as gray brockets,
POS T - M I N I N G
collared anteaters, oncillas, red-
Mature forests, protected areas for conservation
footed sliders, American kestrels, and significant populations of birds, insects, amphibians, and reptiles.
IN 2016, WE REhabilitated 113.7 HECTARES RESPONSIBLE MINING ďż˝ 2016
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We take care of air quality
We have an Air Quality Monitoring Network composed of 18 stations throughout the operations (mine, railway, and port) to verify the effectiveness of the implemented controls, and it is one of the largest networks of its kind in the country. In BogotĂĄ,
One of the main impacts of our activity is the generation of particulate matter (dust), so we undertake different
according to the District Environment Department, the Air Quality Monitoring Network in the city is composed of 13 fixed stations and a mobile station.
control actions throughout our operations.
E mi s s i o n S o ur c e s
Transport of waste rock, coal, or topsoil in trucks accounts for 60% to 65% of the emissions in this activity
Loading and unloading of removed materials
Wind erosion of areas without vegetation cover
Stacking, crushing, or reclaming coal
Topsoil removal for exploitation of mining areas
Spontaneous coal combustion in exposed areas
Drilling and blasting of waste rock
Coal loading into ships
Coal Coal transportation transportation by conveyor by train belts
I M P L E M E N T E D CO N T R O L S M ine
Addition of a biodegradable dust suppressant to keep roads wetted and compacted longer
Dispersion model, prior evaluation of the operation impact on air quality
Continual irrigation of roads with low-water quality, not suitable for human or animal consumption, nor crop irrigation High-flow sprinklers for coal piles
Personnel to control self-combustion of coal seams
Covered conveyor belts
Water sprinkler systems and dust collectors in coal hoppers
Impact sprinklers for loading and unloading areas
The water used in the control measures is of low quality, not suitable for human or animal consumption, nor crop irrigation. It comes from dewatering of coal seams and from rainwater.
R ailway L ine
Program of inspection and regular cleaning of the railway tracks to remove fallen material Wetting (water + dust suppressant), compaction, and levelling of wagon loads
P o rt
Direct loading to ships since 1985, pioneers in Colombia
Addition of water in the coal stacking and reclamation system
Covered conveyor belts
Fog cannons and spray systems
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Continual watering of roads with seawater
021
FOLLOW UP
provide feedback to the operations
mitigation plan that would increase
The results are regularly reported to
when it is necessary to implement
particle emissions controls in the port
the relevant environmental authorities,
even more rigorous control actions.
operation, particularly those related to
Corpoguajira, and the Ministry of
The concentrations of particulate
sedimentable dust.
the Environment and Sustainable
matter in the air are below the limits
On August 30, the Corporation raised
Development in the Air Quality
established by the Colombian standard
the suspension after verifying the
Information System (SISAIRE) and
through Resolution 610 of 2010,
cleanliness of the sites indicated and the
Environmental Compliance Reports
established in order to preserve the good
implementation of additional measures
(ICA, its acronym in Spanish).
quality of the environment, renewable
for emission control proposed by the
natural resources, and human health.
company, including, but not limited to:
In addition, as an early warning strategy for our operations, a system
increased frequency of road cleaning, increased number of water cannons
air-quality trends is installed in the
PREVENTIVE MEASURE IN PUERTO BOLÍVAR
mining area. This system allows us to
On August 26 of 2016, Corpoguajira
to increase control of wind dispersion
detect potential high dust levels, which
issued a preventive measure ordering
of coal particles in coal piles, as well
is verified by monitoring stations in
the suspension of transportation and
as strengthening engagement and
real time located at the boundaries
loading operations in Puerto Bolívar
disclosure of these measures with our
of our operations. This way we can
while establishing and executing a
neighbouring communities.
for forecasting climate conditions and
to cover the coal piles in port, barrier
Fog cannons and sprinkler systems. RESPONSIBLE MINING � 2016
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Impact Management in our Operation
F
or our company, it is essential
line, and Puerto BolĂvar), including
Environmental Management Plan can
to recognize the impacts of our
interviews, visits, and focus groups with
be mentioned as real or verified: the
operation and the potential
communities in the area of influence,
alteration of the landscape, affection
impact on stakeholders, including
local authorities, social organizations,
of the quiet of communities in the area
those on human rights, in order to
and contractor companies.
of influence and the right to road safety
establish timely and relevant measures
Based on the results obtained
to prevent, mitigate and, where
in this study, we have identified a
necessary, compensate for them.
series of real and perceived impacts by our stakeholders, which shall
COMMITMENT TO HUMAN RIGHTS
be shared with them in 2017.
Study on risks and impacts to human rights
identified by the study are: payment
Following social standards defining
Among the positive impacts of royalties, programs for institutional reinforcement, development of
in communities near the railroad line, striking animals on the railroad line, and the generation of expectations in the Wayuu population during hiring processes. Although these impacts were taken into consideration in the Environmental Management Plan, the risk and impact studies recommended within the due diligence processes
due diligence processes on human
infrastructure, improving educational
rights, in 2016, the TRUST consultancy
levels of stakeholders, access by
seek to institute regular reviews of the
company independently conducted
neighbouring communities to
identified impacts and the effectiveness
for us the second study on risks and
drinking water, and generation
of management measures. To that end,
impacts on human rights. This study
of jobs, amongst others.
we shall work on an action plan that
encompassed 100% of our integrated operation (the mine, the railroad 2 0 1 6 ďż˝ W W W. C E R R E J O N . C O M
Among the adverse impacts included in the Comprehensive
reinforces the appropriate management measures for the prevention, mitigation,
023
RESPECT FOR THE RIGHTS OF INDIGENOUS COMMUNITIES AND PROMOTING THEIR WELLBEING, QUALITY OF LIFE, AND CULTURAL LEGACY ARE FUNDAMENTAL IN OUR ENGAGEMENT. and definition of possible compensations to these impacts whenever necessary. Among the perceived impacts,
animals which, coupled with the work with private surveillance companies to implement mitigation and prevention
•• Prior consultation before initiating a project. •• Undertaking the consultation without exerting pressure. •• Submitting information in a timely and efficient manner. •• Clearly and transparently
the ones identified where: affection
measures, has reduced the number
communicating the
of the housing units near the mining
of complaints due to this reason.
potential impacts. •• Undertaking the consultation
operation and the health of communities
CONNECTING AND RESPECTING THE RIGHTS OF INDIGENOUS COMMUNITIES
•• Being willing to listen and integrate
COMPLAINTS OFFICE
Respect for the rights of indigenous
Principle 2 Transparent engagement
In 2009, we were invited by the
communities and promoting their
with all stakeholders.
Corporate Social Responsibility Initiative
welfare, quality of life, and cultural
Principle 3. Drafting the
of Harvard University´s Kennedy School
legacy are fundamental in our
consultation in accordance to
of Government to pilot the remediation
engagement. Therefore, our human
the impacts of each project.
guidelines for the framework on
rights policy pays special attention to
Principle 4. Respecting the role and
business and human rights entitled
the rights of vulnerable people with
independence of each one of the
“Protect, respect and remedy”, defined
an emphasis on ethnic groups, and
participating public institutions.
by John Ruggie, a special representative
we are committed to complying with
Principle 5. Evaluating the impacts
for the United Nations at the time.
international guidelines such as the
of projects on indigenous culture,
in Cerrejón´s area of influence, and restrictions to the use of water resources.
We were one of the five companies
in good faith. proposals made by the community.
Social and Environmental Performance
territory, and autonomy.
in the world to be invited to participate
Standards of the International
Principle 6. Approaching the
in this pilot project. Those guidelines
Finance Corporation (IFC), especially
consultation through intercultural
sought to make the corporate
in regards to Performance Standard
dialogue, respecting the culture, values,
mechanisms for addressing complaints
No. 7 on indigenous peoples.
traditions, and customs of communities. Principle 7. Ensuring the legitimate
on impacts and possible human
PRIOR CONSULTATIONS WITH ETHNIC COMMUNITIES
participation of communities
predictable, equitable, compatible and transparent, and dialogue-based as a
We have a team and budget allocated
acknowledging their autonomy.
learning resource. At Cerrejón, we have
to the operation in indigenous
Principle 8. Surrounding the
applied three additional guidelines
communities. Along these lines, we
process with guarantees:
in our complaint model: it must be
conducted prior consultation processes
•• Permanent participation
proportional, culturally appropriate,
before undertaking any projects
and offer the proper protection.
that could impact the rights of these
•• Timely and complete information.
rights breaches legitimate, accessible,
and their authorities and
by oversight agencies.
In 2016, there were 274 complaints
communities to protect their cultural,
•• Setting aside sufficient time for
registered in our office, more than 80%
social, and economic integrity and to
consultations and reflection.
of which were related to the collision
guarantee their right to participate.
with animals on the railroad line. To
•• Processing claim mechanisms or complaints.
working jointly with neighbouring
PRINCIPLES FOR RESP ONDING TO THE PRIOR CONSULTATION
communities in installing fences
Principle 1. Compliance with the laws,
and time schedules with the
permitting the controlled passage of
standards, and jurisprudence in force.
communities involved.
prevent these events, we have been
•• Training in the knowledge of rights. •• Agreeing on stages, methodology,
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•• Enabling access to information by
CHART 4
affect their identity, traditions, customs, territory, and culture.
using the Wayuu ethnic language. Principle 9. Participating in the evaluation of the intervention by third
PRELIMINARY CONSULTATION
Two hundred and fifty-four (254) cases were reported in 2016, 234 of which
parties, their role and mandate.
corresponded to collisions with animals
Once the competent agency certifies
on the railroad line. These are the
the presence of a community in our area of influence, we proceed to coordinate and prepare the consultation, which has three stages (see Chart 4). As an example of this, on December 14 of 2016, we formalized the following
Presentation of the legal framework of the prior consultation.
the framework of the requests in the second and third orders of Ruling T-256 of 2015 issued by the Constitutional Court:
Definition of the methodology and time schedule for the consultation process.
decided to carry out the
PRIOR CONSULTATION
•• An acknowledgement of impacts Start-up.
according to the impacts
was drafted for each family.
the families with the Colombian
a community from environmental impacts that may affect them due to
through any preventive or corrective
challenges it represents. Its end goal is to transfer a community from its original living site to an agreed destination.
Organizing meetings to draft agreements.
•• A study was conducted on the health status and conditions of all
Resettlements are carried out to protect
resort measure due to the enormous Impacts analysis and identification workshop and drafting of management measures.
identified for each family. •• An individual family life project
for their timely reporting of events.
practice. This takes place as a last
in the matrix of recognized impacts. measures were established
coordination with operational areas
generated cannot be mitigated
according to the variables identified •• Compensation and management
practices, the construction of fences
mining activities, when the impacts
resettlement individually. classified by family was made
to strengthen responsible grazing
RESET TLEMENTS AND P OSTRESET TLEMENTS
prior, free, and informed consent on the proposed resettlement.
plans, which include, amongst other
to control the passage of animals, and
•• The community expressed its
•• The community autonomously
years thanks to the applied correction actions, dialogue with the communities
Presentation of the project which is the subject of the consultation.
agreements with the communities of Patilla and Chancleta, attained within
lowest results reported in the past four
Beyond changing the location of a home or community, we know it is a challenge to preserve its social
Formalizing agreements.
fabric and relationship with the natural surroundings. Therefore, the resettlement process is participatory
Pneumology Foundation.
and involves the entire community in drafting an action plan following
COMPLAINTS ASSOCIATED TO THE RIGHTS OF INDIGENOUS COMMUNITIES AND MEASURES ADOPTED
FOLLOW-UP ON AGREEMENTS
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International Finance Corporation (IFC). By accompanying the relocated families, complying with the obligations we have acquired, and establishing
Incidents relating to indigenous rights are deemed to be those that
the guidelines of the World Bank´s
Finalizing the consultation.
good relations with neighbouring
025
communities, our responsible
in their educational institutions with
engagement seeks to enhance the
a view to improved possibilities in
understanding with the government of
quality of life of the people who
accessing higher education.
Barrancas to work on the connection
have participated in this process.
We also signed a memorandum of
of the resettlements of Roche, Patilla, Chancleta, and Las Casitas to municipal
STATUS OF RESET TLEMENTS
EDUCATIONAL AID PROGRAM
According to the engagement we
A total of 93 people received
have carried out with the families
educational aid to finance their
a water conduction line from the
from five communities since 2009,
tuition and maintenance regarding
Ranchería River intake to the property
we hereby present our advances in
technical, technological, and
owned by the community of Tamaquito I I
2016 on the signing of agreements,
professional studies in any national
to supply its agricultural projects.
relocations, and fulfillment of our
institution. By 2016, 55 members from
commitments. This information is
resettled families had completed
available in the full version of this
their studies with this program.
aqueduct and sewer systems in order to promote their long-term sustainability. In addition, we will construct
INFRASTRUCTURE
report. It is important to mention that
We established a new model of
the locations allocated to the families
engagement with each community through their Community Action
in La Guajira. In 2016, relocations
COMPREHENSIVE WATER STRATEGY FOR RESET TLED COMMUNITIES
were conducted with the communities
In 2016, the intake built in the Ranchería
organization to carry out the repairs of
of Las Casitas, Chancleta, and Patilla.
River was used to supply the production
the community homes at the new site
projects of all the communities and
and repair three family homes in Roche.
for human consumption in Roche,
The public property of the resettlements
Patilla, Chancleta, and Las Casitas.
(educational headquarters, community
with signed resettlement agreements are in the municipality of Barrancas
EDUCATIONAL STRENGTHENING PROGRAM In 2016, 279 students from the five
Boards. The community of Patilla signed an agreement with us for its
Tamaquito II has its own water
centres, electrical infrastructure,
resettled communities were enrolled
treatment system. In addition, we
among others) was handed over
in this program, which succeeded in
implemented a strategy to optimize the
to the government of Barrancas.
reducing school failure rates from
water system for human consumption
5% in 2015 to 3.6% in 2016. Academic
through the following actions:
competency tests also improved,
•• Rehabilitation of the potable water
increasing 8.3 points in the areas of
treatment plant that supplies Roche,
Mathematics and Language compared
Patilla, Chancleta, and Las Casitas.
to 2015. This program was implemented
•• Cleaning and repair of leaks
through the Socya operator to develop
from home and public mains.
skills and abilities in children and young
•• Substitution of the Tamaquito II
people of school age. The goal is for them to reach high levels of performance
drinking water treatment plant. •• Campaigns for the good use of water.
THE RESETTLEMENT PROCESS IS PARTICIPATORY AND INVOLVES THE COMMUNITY. WE KNOW THAT IT IS A CHALLENGE TO PRESERVE THEIR SOCIAL FABRIC AND THE RELATIONSHIP WITH THEIR NATURAL ENVIRONMENT.
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The value of mining for La Guajira OUR SOCIAL APPROACH This chapter gathers some stories of the path we have pursued for several years with our social performance strategy focused on the identification, prevention, mitigation, and compensation of operational impacts, coupled with voluntary work for social investment. Our vision is to promote engagement with the communities neighbouring our operations and contribute to improve quality of life in the region. The strengthening of this strategy is constant in order to improve the effective management of our impacts. We focus our contribution to the development of La Guajira through
More than 900 women, including employees and contractors, are associated with our operation.
investments in projects and initiatives on three key fronts for the region: water,
that to reduce development gaps, we
group of students (selected based on
capacity building, and contribution to
must continue to direct our efforts to
the best academic results in the Saber
progress through the implementation
building alliances between different
tests) will graduate in 2022. We have
of high-impact projects, all through
sectors to provide sustainable solutions
also contributed to the education of
a constructive and meaningful
in relation to access and conservation
12,000 young children of our employees
dialogue with our stakeholders.
of water, and the development of
in the course of our operation. It is our
institutional and community capabilities.
desire that they be the ones who return
We have contributed on various
WHAT DOES IT MEAN FOR US TO BE A PART OF THE GUAJIRAN COMMUNITY? As a company, we are convinced
to the region to contribute with their
educational fronts since education
knowledge and experiences, and lead
is the main element identified by the
a true transformation processes.
Colombian government since 1996 as
In 2012, we created the Institution
a source of development for the future
of Technical Studies (TecnoGuajira),
that we have a great opportunity to
of our nation. How can the private
in which 705 Guajirans have received
contribute to the region’s progress
sector contribute to the creation of skills
training. Its purpose is to strengthen
through our mining activity, even
that constitute capital to empower
skills to be used in the various
though we know that it is a huge
people to take control of their future?
production chains of the mining
challenge to reduce gaps in coverage and inequality in La Guajira.
One example: in the past 12 years,
business and, since 2016, in activities
we have given scholarships to 187 young
such as tourism and hotel services,
Guajirans to support their professional
sectors identified as having the
have followed a path that has taught
studies at the university and in the career
greatest potential to be drivers of
us many lessons. Today we believe
of their choice. The latest cohort of this
diversification in the regional economy.
Over 30 years of operation, we
2 0 1 6 ďż˝ W W W. C E R R E J O N . C O M
027
WE HAVE CONTRIBUTED TO THE TRAINING OF 12,000
is why our commitment to the future
YOUNG PEOPLE, CHILDREN OF OUR EMPLOYEES,
of La Guajira is based on promoting
IN THE COURSE OF OUR OPERATION.
projects that contribute to reducing development gaps, where the State,
Since 2008 we have cooperated
believe that with these actions (aimed to
private sector, non-governmental
with regional and local authorities in
leave installed capacity in the region) we
organizations, and communities
technical training and methodologies to
will contribute to the future to be built.
join forces to devise, structure, and
generate capabilities in the planning and
execute comprehensive plans that
execution of public resources. Part of this
will allow the region to promote its
and the structuring of projects that fulfil
HOW CAN WE CONTRIBUTE TO THE CHALLENGES FACED BY LA GUAJIRA?
community goals and the improvement
Our lessons learned have led us
process has emphasized the preparation and oversight of development plans
development in the medium term. Regarding water and in order to make better use of the groundwater sources, we worked with the Colombian
to understand that our viability and
Geological Service and Corpoguajira
sustainability is linked to that of the
in producing a hydrogeological
Experimental Farm, located 10 km from
region. Although, since the start of
model that will allow us to identify
Uribia (km 64 La Mina road to Puerto
our operation we have developed
the potential of groundwater supply
Bolívar), in which traditional seeding
social programs for the benefit of
and demand. This will be aligned with
activities of the Wayuu culture are shared
neighbouring communities, we have
a Water Research Centre (Winka), a
and implemented to preserve ancestral
understood that our role should be to
project in partnership with the Ceiba
knowledge of indigenous communities.
become one of the main partners for
Foundation, the Central Government, the
This program also contributes to
the department’s sustainable progress.
University of La Guajira, and the Ministry
the development of food security
The knowledge we have of La
of the population’s quality of life. A project that fills us with pride is the
of Education, which aims to create
alternatives that can be replicated at
Guajira and our management capacity
installed capacity for water resource
different scales in the region. In addition,
have the potential to attract greater
management in the department.
we seek to strengthen the production
attention from various sectors, which will
and marketing of handicrafts. This
facilitate the implementation of projects
ourselves as partners in the principal
art is one of the economic activities
that leverage the department’s social
development initiatives in the region
characteristic of the Wayuu culture and
and economic progress. Our experience
that create new businesses in the
tradition. We assist these traditional
in La Guajira and the knowledge gained
production chain and contribute to the
craftspeople through innovation
from dialogues with communities and
strengthening of various sectors such as
processes for the development of
diverse cultural, indigenous, peasants,
tourism, based on the cultural, ethnic,
new production lines and technical
and Afro-Colombian groups make us
scenic, and mineral wealth of La Guajira.
advisory services in marketing and
think that, while strengthening aspects of
formalization of their businesses.
development such as the business fabric,
2013, when the consortium conformed by
Furthermore, we have aligned
That was the case in December of
we must meet the most basic needs in
Cerrejón, Abacus, Contempo, Inversor,
strengthening productive inclusion,
the region: access to water, connectivity,
and EGSA opened the first four-star
which involves an effort to contribute to
and public services. We are aware
hotel in the department, the Hotel Waya
the growth of our suppliers and other
that our operation and management
Guajira. Operated by OxoHotel, it is
companies in the region so that they
are part of the solution and we are
located 1 1/2 hours away from Riohacha
can gain ground in other markets and
committed to achieving the greatest
Airport and has welcomed over 50,000
activities. We also promote training in
possible positive impact. However, we
guests since it opened. Seventy percent
basic labour skills to facilitate the hiring
recognize that the needs of La Guajira
(70%) of its employees are natives of
of unskilled labour in different industries
are a national problem that transcend
the municipality of Albania, where the
and the development of enterprises. We
our capacities and responsibilities. That
hotel is located, and 54% of its suppliers
Finally, we are committed to
RESPONSIBLE MINING � 2016
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/ s u stainabilit y report T h e va l u e o f m i n i n g f o r L a G u a j i r a
come from the region. In addition, the
prospective agenda for La Guajira as
permits the building of a local critical
DesQbre Guajira Museum is now under
consolidating the economic model
mass that influences economic and
construction. Through the museum,
for the department with a diverse
social development. We are convinced
we are looking to open new spaces of
variety of competitive and sustainable
that, with the partnerships that we have
knowledge about the history, culture,
sectors. Other goals include building
established, we will be able to develop
and biodiversity of the department,
an educational model that strengthens
projects with a significant positive
together with geological and fossil
human resources in the region, taking
impact on the region that will translate
discoveries of major importance that will
advantage of the multicultural heritage
to greater well-being and progress
attract the attention of both national and
of La Guajira and its geo-strategic
for the people. We are working with
foreign visitors. To this tourism cluster
location, and efficiency in the public
the support of more than 60 partners
(which we want to further strengthen)
administrative policy structure.
and want to continue expanding that
must be added the Wopushüwa Visitors
In line with the above and the
number, looking to establish strategic
Centre, which receives over 15,000 people
goal of re-thinking La Guajira, we
annually who learn at first hand about
also took part in setting up the Centro
our mining process, and social and
de Estudios Regionales Guajira 360°
and maintained engagement with our
environmental programs. In a different
(Guajira 360° Regional Studies Centre)
neighbouring communities, over 100%
vein, we are taking part with other
in 2016. The first think tank focused on
of the area covered by our integrated
regional organizations in an exercise
development of this region, which was
operation (mine, railway, and port),
looking to the future and conceiving of
created in partnership with Promigas
in partnership with state bodies and
the La Guajira we want over the next
and support from Fundesarrollo and
other civil organizations, always
ten years in political, economic, social,
La Guajira Chamber of Commerce.
bearing in mind the issues identified
and cultural terms. Led by TRUST, this exercise has identified the goals of the
The Centre’s goal is to create reliable and relevant technical information that
Waya Guajira Hotel.
2 0 1 6 � W W W. C E R R E J O N . C O M
alliances working to bolster La Guajira. We have carried out programs
as relevant for these communities.
S U S TA I N A B I L I T Y R E P O R T /
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C ommitment to providing j obs in L a G ua j ira
06
Commitment to providing jobs in La Guajira
I
n all our hiring practices, whether
among others, the percentage of
direct employees, contractors, or
commitment to local contracts in La
providers of goods and services, we
Guajira purchases is largely assumed
prioritize individuals and organizations
by international companies.
with links to La Guajira, as detailed in the
Empowered. We own our results, trust in others, and work as a team. Awareness of self-protection. We are committed to watching out for our safety and health, promoting a
profiles required by the operation, and
balance between work and personal life.
their ability to absorb the commercial
CULTURAL AT TRIBUTES
supplies and workforce available in
Following a strategic planning session
the region. This enables us to create
involving the different areas of the
local employment, optimize and
company, we managed to identify five
WORKERS AND CONTRACTORS
strengthen economic development,
attributes that we want the company
At the end of 2016, we had 5,925 direct
and contribute to improving the quality
to be recognized for. We will be able
employees and 5,889 contractors at
of life of department residents.
to overcome the internal and external
the mine, Puerto Bolívar and Bogotá.
challenges the organization faces with them. These attributes form part of a
SUPP ORT IN THE LABOUR MARKET FOR LA GUAJIRA
cultural change process and should
HEALTH AND SAFETY
constitute the DNA of the company,
All Cerrejón employees are linked
We hold ourselves to standards and
what we want and need as the essence
to a Similar Exposure Group (SEG).
criteria of fairness and diversity in the
of our way of doing things and to
These groups are categorized by
selection, recruitment, and promotion
address the diverse situations we will
occupational exposure, taking into
of workers based on merit, on equal
face. We create value. We look after
account international technical
terms, giving priority to personnel from
Cerrejón’s resources as if they were
reference points. Considering the very
La Guajira. With this goal in mind, we
our own, propose and carry out ideas
nature of some industrial operations,
conduct continual review processes to
to achieve the best possible results in
some employees may be subjected to
identify candidates who are suitable for
all company areas, for the purpose
conditions of greater risk than others.
the required positions and we ensure
of doing even better and achieving
That is why Cerrejón designs different
individuals from La Guajira are involved
maximum productivity.
technical oversight actions to reduce
in our selection processes. The same process happens with
Capable of change. We are always
exposure. Examples include redesigning
evolving and adapt to the particular
processes, maintenance of mining
the contracts that are needed. We
circumstances of the company, region,
equipment cabins, wetting down roads,
give priority to companies from the
and country in order to overcome
and process automation, to name a
region, always provided that they
challenges and to be sustainable.
few. Additionally, ongoing training that
Flexible and simple. We
increases awareness of self-protection
meet the conditions required for the goods or services involved. Given
make our processes easier, make
amongst workers is a permanent fixture.
the specific nature of some supplies
decisions, and act to reach higher
This includes providing workers with
necessary for the operation, like tyres,
and achieve better results.
the best elements for their personal
mining equipment, and diesel fuel,
protection, both qualitatively and RESPONSIBLE MINING � 2016
030 06
/ s u stainabilit y report Co m m i t m e n t to p r ov i d i n g j o b s i n L a G ua j i r a
quantitatively. Cerrejón also conducts ongoing medical monitoring of all employees according to the risk level in each of the company’s SEGs. This enables the early detection of any change in health status and in turn
strengthening their professional careers,
or external conditions that could create
improving their quality of life based on
some danger can also be programmed.
the benefits created by Cerrejón, and
That allows us to verify that the person
offering suitable working conditions
does possess the required skills, and
with fair compensation for their labour.
especially that these individuals apply the different procedures set up on how
triggers the creation of immediate actions for both individuals and groups in response. In 2016, 4,091 workers were
to act safely in the event of emergencies.
TRAINING AND DEVELOPMENT Ongoing training and evaluation
performing tasks whose nature
enable us to count on individuals with
entailed greater exposure to the risk
the necessary skills to perform their job
of occupational diseases related to
safely and efficiently.
their operation due to being subjected
Due to the accident in 2015
ENGAGEMENT WITH OUR WORKERS We have two trade unions at Cerrejón, Sintracerrejón and Sintracarbón, with 4,068 employees
to levels of industrial noise exposure
when one of our colleagues died, we
affiliated. In 2016, we signed a new
above permissible limits. Fifty (50)
implemented several educational
collective bargaining agreement with
workers were exposed to particulate
activities in 2016 related to building
both unions following negotiating
matter with silica contents.
up the skills of our workers. We
sessions based on dialogue and mutual
increased the number of training
agreement amongst the parties. As
hours by 7% over the last year.
a company, we make a tremendous
These employees, as well as those exposed to lower levels, benefited from all the aforementioned oversight and monitoring actions. In this vein, we are developing
Using new technologies to support
effort to maintain and increase the
educational processes is becoming
earnings of our workers in the midst
more important every day throughout
of the sustained drop in coal prices. 26.8% of the provisions included
technical projects for oversight of
the world. They optimize the use of
occupational risks in several company
resources, incorporate elements
in the collective work agreement
areas. For the first time, we offered a
associated with handling emergencies,
with both trade unions concern
diploma course in Hygiene for Non-
and offer the company and employees
health and safety issues.
Hygienists and 31 chief engineers were
flexibility in performing their processes.
Our workforce is made up of
Cerrejón has two simulators with
93% men and 7% women. That is
(WHS), strengthening their abilities
fully updated software so that we can
why the percentage of affiliated,
in the hygiene and oversight areas.
offer training in the safe operation of
covered but non-affiliated, and
some of our heavy equipment, including
uncovered women is less for both
the 240-ton CAT trucks, Hitachi EX
collective bargaining agreements.
qualified in Workplace Health and Safety
RESP ONSIBLE AND TRANSPARENT MANAGEMENT WITH OUR WORKERS
5500 shovels, and D11 tractor, among
Management with our workers is
the surrounding area to be simulated
centred around maintaining an
down to the last detail, and program the
ongoing, transparent two-way dialogue,
kind of situations people may face while
offering comprehensive development
operating that equipment in the mine
through training programs focused on
area. Unpredicted equipment failures
others. We also have a kit for driving lightweight equipment than enables
CREATING JOBS: IN 2016, 74% OF THE NEW HIRES WERE OF PEOPLE NATIVE TO THE REGION.
2 0 1 6 � W W W. C E R R E J O N . C O M
S U S TA I N A B I L I T Y R E P O R T /
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OUR MINE-CLOSURE PLAN
07
Our Mine-Closure Plan
W
ith our Mine Closure Plan
requirements defined by the National
That exercise grouped sensitive
(MCP), we are committed to
Environmental Licensing Authority (ANLA;
closure elements and included the
the planning and definition
Resolution 263 of 2015). Additionally,
activities required into three areas:
of the actions required for the gradual,
we have adopted the good practices
•• Physical. Infrastructure
systematic process of closing the mine, in
of our shareholder Anglo American for
compliance with all legal requirements,
developing and updating our MCP.
and voluntarily following recognized
We are following a cycle of planning
and installations. •• Social. Affected parties and stakeholders. •• Biological. Fauna, flora,
international practices for the purpose
to close the mine in phases, carrying
of closing, preventing, or compensating
out the actions by stages based on the
for any socio-environmental liabilities
useful life cycle of the mine, and the
Additionally, an analysis of risks during
derived from our operation.
expiration of the mining contracts.
the closure and post-closure stage
Currently, Colombia does not have
soil, and surface water.
was included, as well as identifying potential oversight and monitoring
or legal framework for regulating the
UPDATING THE CLOSURE PLAN
mine closures. Our legal requirements for
In 2016, we updated our preliminary
measures were included in the plans
closure are drawn from the contracts for
closure plan with different areas
of action for closing the mine.
the mining operation, the Comprehensive
of the company taking part and
Environmental Management Plan
an international consultant with
currently in force, and the environmental
recognized experience in the subject.
a single dedicated piece of legislation
measures to be implemented. The
RESPONSIBLE MINING � 2016