Vanheede Environment Group – Sustainability report 2021-2022

Towards a circular world in a sustainable way

Sustainability report

2021-2022

Preface

Agility in turbulent times An energy crisis, a war, skyrocketing inflation: these days, no-one can predict what future the economy has in store for us. And with the COVID-19 pandemic still fresh in our memories, we face yet another set of unexpected challenges. Ongoing political turmoil further underlines the urgent need to reduce our reliance on scarce natural resources and on fuels such as oil and gas. The time has come to take action through circular systems and the transition to more renewable sources of energy.

Now more than ever, our philosophy of ‘Towards a circular world, in a sustainable way’ is proving to be the right one. As a fully committed partner in the circular economy, we have for years focused on optimising the separation of diverse streams of materials so they can be recycled efficiently and reused as new resources. We have recently invested in projects focusing on separation at source and elsewhere, with the intention of redirecting even more streams away from incineration. We have also become net producers of green electricity, and we have even recently begun to contribute locally produced green gas to the natural gas network.

2

For us, everything revolves around our customers. To help them meet today’s challenges, we are committed to automating and digitalising as many tasks as possible, to improving efficiency and to embracing innovation.

David Vanheede, CEO Vanheede Environment Group

To ensure that we can continue to rise to the challenges that come our way, we have reorganised Vanheede into nine robust Business Units. After all, when structures are simple, the focus is always clear. We are now confident of becoming a stronger group that is ready to meet the future!

Sustainability report 1.036.436 tonnes waste treated

2.353

waste streams

1,86 waste streams per customer

579.717 tonnes new raw materials

45.929 MWh green energy produced for 13.123 households

Chapter 1

Key figures 2021

857

employees

95,94%

recycling and valorisation

183.636 kEUR

consolidated turnover

3

Impact awareness, targeted solutions Environmental technologies are central to our approach to major e­ nvironmental challenges such as climate change, diminishing natural resources and the loss of biodiversity.

Vanheede aims to effect a shift in thinking about how we deal with waste and promote a transition to a circular economy.

4

Caroline Vanheede, Executive Director Environmental Services

We offer our customers the most efficient solutions for tasks areas including waste management, material management, green energy and environmental protection. Our approach is based on quality, professionalism and innovation and represents added value for every stakeholder involved To assess our impact, we compared our five values – the Vanheede DNA – to the UN’s framework of Sustainable Development Goals (SDGs). We evaluated our performance based on our potential for maximising our contribution to creating a circular world and minimising our operational impact. A broad context analysis and survey among our stakeholders brought forth fresh insights in early 2021.

From more than 140 sustainability challenges, we selected the nine themes that are the most relevant for what we do and why we do it.

rc u

ay w ble a n ai t s

Chapter 1

Our values How?

What?

PLANET Limited environmental impact

PASSION Innovation of processes and products

Sustainability report

a

su

ld

in

Tow ard sa

.ci

r la

r o .w

Digitisation and automation

Carbon and energy efficiency

Maximum valorisation of materials in the circular economy

Sustainable mobility

5

PRIDE Customer loyalty

Ethical and honest business practices

PEOPLE Concern for people

PROFIT Sustainable growth

Training and development for our employees Zero accidents

We innovate so that we can look ahead and remain relevant in a challenging, rapidly changing world. We also innovate to create fertile ground for new ideas.

Dieter Grimmelprez, COO & Head of R&D strategy

Statistics

6

’19

’20

’21

-

154

172

Vanheede employees directly involved in innovati ve projects ’19

’20

’21

27

34

41

FTEs in R&D

Sustainability report

SDG’s Innovation is like a flywheel: it needs to be set in motion. The first few revolutions may take some effort, but once you find the rhythm that suits your business, it becomes easier to maintain momentum. Innovation contributes to resilient infrastructure, inclusive and sustainable industrial development, and even more innovation.

Our values WE REALIZE DREAMS

PASSION in our projects Innovation for ongoing improvement Stricter regulations for mixed business waste collection

32 32 33

More efficient maintenance processes

34

Digital documents for waste transportation

We are committed to our work!

pag.

Artificial intelligence scans waste and identifies recyclable materials

Connecting through technology

Our business culture is one of creativity, entrepreneurship, digitalisation and innovation, and has enabled us to forge solid and lasting partnerships

Chapter 1

35 35

7

Vanheede constantly aims to achieve the highest possible recycling percentages.

We play a key role in the development of the circular economy by transforming waste streams of every kind into secondary resources and energy.

Maxime Vanheede, Business Development Manager

Statistics

8

’19

94,21

’20

’21

94,62 95,94

recycling & valorisation (%) ’19

’20

’21

42

35

46

million kWh of green energy generated ’19

’20

’21

1,6

1,76

1,86

Waste streams per customer (Benchmark 2020 sector: 1,49) ’19

’20

’21

5,21

5,6

5,65

Average EURONORM of our truck fleet

Sustainability report

SDG’s Awareness of how to handle waste and materials with a minimum negative impact on the environment is of essential importance for the shift to a lowcarbon and circular economy.

Our values WE CONTRIBUTE TO A BETTER WORLD

PLANET in our projects The European Green Deal and Fit for 55

pag.

36

Reducing our CO2 footprint and making it measurable

36

Moving into the future with sustainable logistics

37

Encouraging diversity

38

Design for Recycling

38

Scaling up the Plastic Switch

39

Working towards a circular earnings model for mixed business waste

40

Organic waste recovery

41

AlterCoal®, decarbonisation in heavy industry

42

LIFE SMART a project for climate-neutral steel

We give materials a second lease of life at our sites, an approach that has a positive impact on the climate and our environment for benefits both today and in the future

Chapter 1

42

AlterPlast, high-grade plastic recycling

43

Injecting gas into the natural gas network together with ORES

43

We respect the environment!

9

Human energy is a scarce resource.

Sustainable investment in people through, for example, appropriate training and a safe working environment is fundamental to the further growth of our company.

Evelyne Decrans, Executive Director Recycling

Statistics

10

’19

’20

’21

7,4

5,19

4,62

% employee growth ’19

’20

’21

770

810

857

’19

’20

’21

-

-

19

employees

Employee Net Promotor Score (eNPS)

Sustainability report

SDG’s The Vanheede compass is our guiding principle for creating an inspiring working environment in which the wellbeing of our personnel is a central focus. Providing meaningful work with an eye to the future, a commitment to training and development, and a guarantee of safe and healthy working conditions helps us keep people committed and motivated.

Our values WE ARE A FAMILY BUSINESS

PEOPLE in our projects Investing in our employees’ growth and fulfilment Our employees are ambassadors who bring us … new employees

pag.

44 45

Social dialogue as the driving force of sustainable relations

45

Well-being and commitment during the pandemic

46

Women in recycling

48

Truck Driver Appreciation Day

49

QESH is now HSE

Health, safety and welfare are our top priorities.

We recognise talent and encourage personal and professional growth, treating our staff with respect.

Chapter 1

People are important to us!

49

11

We rely on a state-of-the-art business infrastructure that is adapted to the needs of today and tomorrow. This extends to logistics and processing activities.

Kristof Titeux, Infrastructure Manager

Statistics

12

’19

’20

’21

16,81

13,68

11,6

% investment budget in relation to consolidated turnover ’19

’20

’21

9,77

8,34

7,59

% R&D budget with regard to consolidated turnover

Sustainability report

Chapter 1

Our values

SDG’s Our long-term vision is aimed at business continuity.

Profitability and a healthy financial policy constitute the oxygen for entrepreneurship that enables us to maintain our focus on sustainable partnerships.

WE ARE WORKING TOWARDS A SUSTAINABLE FUTURE

PROFIT in our projects

Future-facing investment in infrastructure

pag.

50

New headquarters for Special Waste Management in the port of Roeselare 50

Every one of us can make a difference – for stakeholders, for the company and for ourselves.

Profit is the oxygen that enables us to invest, innovate and organise as efficiently as possibly.

Major transformations at the Rumbeke site

51

New logistics site in Asse

52

Sustainable storage facility for wood in Messancy

52

Val’Up, a special kind of cooperation in the world of recycling

53

We think in terms of win-win-win!

13

We are rightly proud of the efforts that each of our employees makes on a daily basis. Thanks to transparent communication, our passion for our work and the wealth of expertise present among our personnel, we are able to offer customers outstanding service.

Justine Vanheede Personal Assistant Commercial Director

Statistics

14

’19

’20

’21

31

35

37

Net Promotor Score (NPS) ’19

’20

’21

84

84

86

General customer satisfaction rate ’19

’20

’21

-

4,5/5

4,5/5

Trustpilot TrustScore ’19

’20

’21

-

-

1,79/5

Customer Effort Score (CES) The lower, the better

Sustainability report

Chapter 1

Our values

SDG’s Loyal partnerships are based on trust. Common interests, ethical conduct and integrity ensure that we can always look each other in the eye.

WE ARE ALL PROUD AMBASSADORS OF OUR COMPANY

PRIDE in our projects

We fulfil our ambitions by working transparently, remaining faithful to our values. Each of us is a proud ambassador of our company.

pag.

Focusing on improving customer relations brings results

54

Vanheede and Golazo join hands for a sporting challenge

55

Outstanding service, even in exceptional circumstances

56

Ethical data management

56

Committing to diversity and inclusion

57

We are proud of what we do!

15

Recognition for our efforts Certification in...

• • • •

Quality Environment Security Corporate social responsibility • Strategy

Not only our purpose and value-driven strategy, but also the engagement, flexibility and passion of each of our 860 employees makes us a sustainable company that’s ready for the future. A big thank you to our people for dedicating yourselves to our beautiful company every day.

David Vanheede, CEO Vanheede Environment Group

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About Vanheede Antwerp

Who is

Asse

Vanheede Environment Group?

Genk

Ghent

Chapter 2

Bruges

(Oostkamp)

Vanheede Environment Group is a sector leader in the management of regular, special and hazardous waste in the Benelux region and northern France. For our customers in Belgium, France, the Netherlands, Germany, Luxembourg and the United Kingdom, we work constantly to determine the best destinations and most sustainable solutions for their waste products.

Roeselare

(Rumbeke)

Wervik

(Geluwe)

Paris

Lille

(Marquette-lez-Lille)

Wanze

Lens

(Vinalmont)

(Billy-Berclau)

Besides offering an extremely extensive range of waste collection services, Vanheede Environment group also has a wealth of experience in sorting and processing waste and in valorisation technologies. With our pro-active approach to waste processing, we are a true pioneer in the circular economy.

Luxemburg

Mouscron

(Rodange)

(Dottignies)

Mons

(Quévy)

Arlon

(Messancy)

BRUSSEL Head office

Logistcs centres

Recycling companies

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1

Raising awareness Forging partnerships

2

18

Our vision

Our mission

Towards a circular world in a sustainable way

As a sustainable business, Vanheede Environment Group is committed to being a fullyfledged partner in the circular economy.

Our business model

integrated waste management

5 6

3

Collecting and separating waste

4

Recycling waste

Sale of recycled materials

Extracting non-recyclable waste

About Vanheede

Chapter 2

Our business model 1

Raising awareness among specific customer groups helps us highlight the importance of efficient and environmentally responsible waste management.

The emphasis is on sorting at the source, which enables us to extract the highest quality raw materials.

3

Collecting waste includes hazardous* and non-hazardous waste, with a focus on industrial waste.

Separating waste and transport to processing sites. * All types, with the exclusion of explosives, animal remains and radioactive waste

5 Sale of recycled materials to waste processors, manufacturing businesses and other customers.

2

Forging partnerships Fulfilling our role of linking the essential elements of the value chain - source materials, producers and consumers - in order to help close material cycles and detect opportunities and potential problems more quickly.

4

Recycling waste R&D & innovation are geared to achieving the highest possible degree of recycling as well as the extraction of high-quality materials and products.

6 Extracting non-recyclable waste. Non-recyclable materials are delivered to processors for further treatment. Some nonrecyclable waste can be landfilled for the purpose of energy recovery.

Vanheede is committed to the concept of integrated waste management in a circular system. We are active across the entire value chain, from collection, sorting and separation of waste to processing, recycling and disposal. All of these activities take place in an environmental group composed of nine Business Units (see pag 20 - 21).

We offer our customers the most efficient solutions for tasks areas including waste management, material management, green energy and environmental protection. Our approach is based on quality, professionalism and innovation and represents added value for every stakeholder involved.

Being a sustainable business means reducing our negative impact on the environment to a minimum and maximising our positive impact while achieving the best possible results for our customers, employees, subcontractors, suppliers, stakeholders and governing body, as well as government, banks and insurance companies, local residents, media and others.

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Special waste Management

Household waste Collection

Commercial & Industrial waste Management

Nine strong Business Units

Material Recovery Facilities

20 Renewable Energies

Plastic Recycling

Organics Recycling Landfilling Chemical Recycling

About Vanheede As a family-run business, we are 100% committed to investment in circular systems.

We think along actively with our customers, using an innovative approach to offer our customers engineered products and solutions that fulfil their precise requirements.

Evelyne Decrans, Executive Director Recycling

We have opted to restructure our company into nine mutually supportive Business Units. This will enable us to stay resilient in a world in which the balance between economy and ecology is becoming more important than ever: towards a circular economy.

Caroline Vanheede, Executive Director Environmental Services

Chapter 2

Ready for the future Next year Vanheede Environment Group will celebrate its 55th year in business. Throughout those years we have continuously enlarged the scope of our activities from collection to recycling, and from a single type of waste to more than 2,300 different types. With our activities distributed across our various sites and in local and cross-border regions, we aim to provide plenty of scope for continued development now and in the future.

Nine Business Units A strong business unit requires firm leadership, clear vision, an eye for innovation and a steady focus. Last year we had 13 Business Units, which mainly functioned as administrative entities. Together with a group of experts, we examined each unit in turn to identify ways to make them simpler and stronger. Thanks to this strategic exercise, we established that nine strong Business Units would be the optimum outcome.

Preparing for the future First and foremost, a business consisting of nine Business Units and staffed by 850 motivated employees needs to be efficiently organised. Defining the nine Business Units was the first step. We will continue on this path by further refining our management structure, support services, site exploitation processes, products and services, and innovation programme.

21

Sustainability as the basis for all our activitie Innovation

2

3

Reliability 1

Local presence, international activities 4

How we make a difference

22 Your one-stop- 5 shop for waste management

9

6

Efficient waste management and high scores for customer satisfaction

High-quality products with low impact

8 7

Maximum recycling guarantee

Our own sorting and processing facilities

About Vanheede

Chapter 2

Our strengths -1

Reliability

For over 50 years we have nurtured our reputation for providing careful, attentive and reliable service and flexibility to our loyal customer base.

2

Sustainability as the basis for all our activities

Transforming waste streams into secondary raw materials and energy is a sustainable activity in itself. In our view, it is just as important that it takes place sustainably. Our five values - passion, planet, people, profit, pride - are the leading considerations in everything we do.

3

Innovation

With our own R&D service, we have a wealth of expertise with regard to the design and engineering of sorting and waste processing sites, which we apply to ensuring that they are as CO2 neutral as possible.

4

Local presence, international activities

We deliberately take a global approach, but with a regional focus. This pertains both to processing options as well as to our policies to ensure that our services and activities are in compliance with local laws and regulations.

5

Your one-stop-shop for waste management

Whatever sector they are active in, our customers can rely on us for every aspect of waste management, from garbage bags and dustbins to dumpsters and roll-packers, and from signage and waste coaching to reporting.

6

Efficient waste management and high scores for customer satisfaction

We help our customers manage their own waste efficiently by equipping them with a range of tools, from signage to our myVanheede customer portal and Vanheede Plus app. This makes it easy for them to monitor and organise their requirements in a user-friendly way, whether they need to keep track of one location or hundreds.

7

Maximum recycling guarantee

Our material recovery division determines the appropriate sustainable destination for every type of material we collect, whether processing is carried out by own companies or externally. One important factor we always consider is the distance from the source to the destination.

8

Our own sorting and processing facilities

We continually invest in our own sorting and processing activities for mixed business waste, organic materials, plastic and high calorific waste. We guarantee transparency in the value chain for the waste we collect, and act as a partner to many other collection services in the circular economy.

9

High-quality products with low impact

We have in-house expertise and technology for converting waste materials into high-quality products for use as secondary raw materials and/or alternative fuels for industrial use.

23

Our culture: our invaluable strength Vanheede Environment Group has its own unique character and culture that have been at the heart of the company since 1968. The values of that era are still reflected in the way we do business today, and they are anchored in our strategic policy.

24

These values also form the basis for Vanheede’s corporate culture, which serves as a guiding principle for all of our current and future employees. We communicate our values to everyone and ensure that everyone understands them, but above all we live by them.

Not only do they provide the oxygen for our corporate culture, they also inform all of our decisions and activities.

Vanheede’s business culture has evolved organically. As a result, our strategies are sustainable, as are our core values and our corporate culture. In a family business like ours, people truly listen to each other, regardless of seniority or position. Our values have evolved thanks to a tradition of listening and observation, and on the basis of considered decision-making. The true power of our culture can be found in the understanding that management and employees demonstrate for each other. Our values have shifted more towards the foreground since our company was founded, and our employees and other stakeholders have steadily contributed to their development. We take every opportunity that arises to bolster our corporate culture.

Giving things time At Vanheede, we are proud of our outstanding projects. To make sure that we carry them out sustainably and with the best intentions, we like to take our time. Stopping to reflect gives us time to evaluate risks and opportunities, but also to consider the context of what we are doing, and to ask: is this what the family would want? Is it in line with the identity of the family and the company, which has been going strong for more than half a century? At Vanheede, we are not afraid to give things time.

This goes for our employees too: they are entitled to time to adjust and to challenge themselves. We appreciate that people have a range of different competences, capacities and ways of thinking, and we encourage them to exchange ideas.

Emphasis on informal management EAnother characteristic of our corporate culture is informal management.

Both the family and the management teams do not take decisions solely on the basis of ‘either-or’ reasoning, habit and numbers, but instead dare to trust their intuition and experience. In everything it does, the Vanheede family thinks about the long-term effects, and it wants all of its employees to find meaning in their work.

Working in a family business like Vanheede means acting like a family: we greet each other, we are all on a firstname basis with each other, we smile and we share things. Everyone has a place of their own, with all of our strengths and weaknesses. Each of our employees has their own ideas and emotions, and we encourage everyone to share as many innovative ideas as they like.

GREEN and YELLOW

About Vanheede

culture

Chapter 2

Culture and strategy Sustainable to the core

strategy

Our strong corporate culture is a catalyst for the successful implementation of our strategy.

Being a sustainable business means reducing our impact on the environment to a minimum while achieving the best possible results for all of our stakeholders. Acting with a large degree of autonomy, we embrace a forward-looking and sustainable approach to business. Not only is this a huge source of motivation, it also drives innovation.

While our core activities are inextricably connected to sustainability, our continuous ambition to improve our processes is something that sets us apart.

“Towards a circular world, in a sustainable way”.

Innovation for the marketplace

Customer focus through outstanding processes

We are deeply committed to innovation, as it enables us to cope with two of the major challenges we face: · Increasing threats to the climate and the environment.

We aim to exert a positive impact in a circular world. · A rapidly changing world.

We aim to offer a consistently flexible response to developments in technology, legislation, customer expectations, user-friendliness and other areas. We aspire to remain relevant, sustainably.

We are able to achieve the greatest impact thanks to our loyal customers.

And this is precisely why we prioritise our contact with our customers: so that we can pro-actively address their questions and needs and respond in a way that meets their expectations.

Outstanding processes ensure that we work as efficiently as possible. But our customer-focused approach means that we look even further than our own processes. With the help of the latest digital technologies, we align our operations as closely as possible with our customers’s processes, always aiming to provide maximum added value.

sustainable Innovation

the colours of our DNA

customerfocused

25

Five innovation programmes that make our strategy work

1

Circular Materials

Closing the waste-to-product cycle by generating high-quality recovered materials.

2

Intelligent Supply Chain

Flexibility at your service.

culture

Towards a .circular. world in a sustainable way

strategy & innovation

26 Vanheede’s five innovation programmes are the motors that keep the company going. They bring focus and they guide us in our decision-making. By bringing together the people in our company who have specialist expertise in these priority areas, we are creating fertile ground in which new ideas can evolve and grow.

We overhauled how we organise innovation and R&D and that move is bearing fruit. With improved project management and steering involving essential key performance indicators such as time, scope and budget, our staff can count on even better support during the project development phase.

Rediscover, manage and transform our business in a new data-driven way with a customer-centric spirit.

3

Venturi

4

Carbon Smart Economy

Gaining insight into our climate footprint and working towards climate-neutral business practices.

5

Infra­ structural Develop­ ment

A state-of-the-art business infrastructure focused on the needs of today and tomorrow.

About Vanheede

Chapter 2

Strategy and innovation Innovation and R&D are central to Vanheede’s operations and they are the motor behind the implementation of our strategy and corporate vision: “Towards a circular world, in a sustainable way”.

S

Sustainability across the board innovation­­ programme 1 Circular Materials

Two innovation programmes will help us as we move towards a circular world by collecting, sorting, recycling and valorising waste, and thus contributing to the circular economy.

2 Intelligent Supply Chain 3 Venturi

Three innovation programmes will help us keep our impact on the environment and our surroundings down to a minimum, with an eye to looking at the future in a sustainable way.

4 Carbon- Smart Economy 5 Infra­structural Development

Quality across the board The quality of our products

The quality of our processes

The quality of our service

The more materials we aim to recycle, the purer the recycled product needs to be if it is to be re-used to create new products or replace fossil fuels. Quality control, separation at source and automated material recuperation enable us to divert even more waste streams from incinerators.

Quality is an essential element in our processes and procedures, but it is also part of the control procedures that enable us to meet our own strict standards. As Vanheede has continued to grow, so has the need for enhanced process management, further digitisation, and more uniformity in our support processes.

Our new strategic management office will support our businesses processes by mapping out, implementing and following up on recommendations for improving processes and quality.

To keep our customers satisfied, we have to consistently offer top-quality products and services. This is an area in which our aim is to distinguish ourselves from other companies, even more than we do now.

27

Biobox washing line Unpacking line

Solar energy Storage of nonhazardous waste

Logistic area

28

Water treatment

There are three Business Units operating at our Quévy site: • Commercial & Industrial Waste Management • Organics Recycling • Renewable Energies

Chapter 3

Wood pre-treatment

Digestate

Fermentation

Wind energy

29

Gas injection

Our projects

Collaboration with Westlandia for sorting WEEE and recovering valuable materials Slowly but surely, our earth’s precious natural resources are being depleted. So why not recover as many valuable materials from discarded products as we can? Known as urban mining, this approach has countless advantages: it helps create new jobs; it is environmentally responsible, cost-efficient and a hedge against fluctuating prices for natural resources; it alleviates pressure on vulnerable miners and ecosystems; and it reduces inflows of money into conflict zones.

30

Everywhere in the world, including here in Belgium, all kinds of discarded equipment is waiting for repurposing. Research by Recupel revealed that no fewer than 51 million electronic products languish unused in Belgian homes, sheds and garages. Known as waste electrical and electronic equipment (WEEE), these items contain hard plastics and ferrous and non-ferrous metals, but also silver, gold and palladium. Optimum recovery of these materials from WEEE can contribute to the shift from a throw-away mindset to a circular economy.

In collaboration with the sheltered work organisation Westlandia, in Ypres, Vanheede set up a service for the sorting and recycling of electrical and electronic waste such as computers and servers, printers, mobile phones and heaters.

Our projects

Chapter 3

In the spotlight

A win-win partnership Westlandia is gaining new expertise in circular economics, while at the same time providing work for people with special employment needs. And Vanheede’s options for repurposing these valuable materials are increasing thanks to optimum separation and sorting.

Vanheede has also worked with other organisations for sheltered work: Manus (Antwerp), Bewel (Genk) and Mariasteen (Hooglede) have all helped with the dismantling of various products. Other projects with Westlandia have involved unpacking expired medications, dismantling KeyKegs (reusable beer kegs used for festivals), and now sorting WEEE.

We learn more about the materials every day.

We are always looking for ways to repurpose the materials that come in, rather than simply discarding them.

Kurt Van Brabandt, Business Unit Manager Special Waste

“Sorting WEEE is a repetitive manual activity that is a great fit for the people in our sheltered work environment. For strategic reasons, we will continue to focus strongly on expanding circular work in the coming years as part of our partnership with Vanheede Environment Group.”

Xavier Sohier, manager for sales & operational planning Westlandia

31

Innovation for ongoing improvement 32

When it comes to innovation, we have plenty of ideas to work with.

For 2022 alone, more than 160 project proposals emerged from across the entire company. During the course of the year, 85 of the most relevant projects and proposals were worked out in detail. Monitoring and course adjustment continue to take place where needed, which means we can continuously respond to new insights. To ensure we achieve our ambitious goals in this area, 2022 will see a shift to a more intense degree of efficiency in project management, not only with regard to technical aspects such as project management and engineering, but equally so with regard to personnel issues such as change management.

Stricter regulations for mixed business waste collection The Flemish Regulation for Sustainable Management of Recycling and Waste (Vlaams Reglement voor duurzaam beheer van Materialen kringlopen en Afvalstoffen - Vlarema 8) took effect on 1 September 2021. While the obligation to separate 24 waste streams by type is not new, the regulation does include penalties for inappropriate sorting. This means that, from now own, producers of mixed business waste must ensure that even less recyclable material ends up among their mixed waste. Waste collectors are required by law to check for non-compliant materials among mixed business waste, and to register and report them.

Our customers’ mixed business waste still contains too much recyclable material, often consisting of plastic foil, plastic, metal and drinks packaging (PMD), plastic packing straps, expanded polystyrene (EPS), paper, cardboard and wood. We must do everything we can to keep these materials out of incinerators.

Additionally, legally binding limits will be introduced for collectors of mixed business waste destined for processing by incineration on its own or in combination with other waste streams. These parameters will become even more stringent as of 1 January 2023. A zero-tolerance policy already applies to the collection of hazardous waste.

Our projects

PASSION

Venturi

Artificial intelligence scans waste and identifies recyclable materials

Since 2021, Vanheede has been running a trial project in which artificial intelligence is used to identify materials that should not be discarded among mixed business waste. The process involves a smart camera installed in dustcarts which fully scans all waste emptied into their troughs.

Chapter 3

Ideally, artificial intelligence should be capable of identifying and correctly distinguishing waste materials every time. By doing so, the system can record the percentages of materials such as foils, cans, paper and cardboard that come out of each emptied wheelie bin.

Why use artificial intelligence?

• To comply with regulations. Non-compliances need to be reported not only to the customer, but also to the government.

• To help customers sort waste more accurately. The better we are able to register non-compliances, the better we can communicate with customers and offer them tailor-made solutions.

• To divert more recyclable waste materials from incineration. This is yet another step closer to a circular world.

• To make inspection more effective. Having a camera in the trough enables a more thorough inspection of mixed business waste than is possible by simply visually inspecting the top layer of material in the bin.

• To improve uniformity of acceptance. The system helps ease the burden on drivers to determine what kind of waste is present in the bin.

• To provide customers with photographic evidence of sorting errors.

In turn, this will enable us to improve our selective waste collection at source.

This technology is scheduled for a further roll-out in 2022-2023.

33

Venturi

More efficient maintenance processes

34

In 2021, we worked hard on a project for the development of a computerised maintenance management system (CMMS), looking for ways to transition to uniform and paperless procedures for maintaining our production lines and operating resources across the group as a whole. The phased roll-out of the new maintenance system began with Dottignies and Quévy (2021), followed by Rumbeke (2022). The new system brings many advantages, including: • more effective monitoring of all assets, from installations to buildings and inventories; • better insight into malfunctions and appropriate solutions; • enhanced efficiency, with personnel able to resolve malfunctions using a smartphone or tablet; • clearer communication with and between the technical service, various departments, suppliers and employees.

On the way to maintenance 4.0!

The CMMS will help us ensure that our services work together efficiently, even in multi-disciplinary formats, and that everyone knows what to do and when to do it.

The next step will be to introduce 5S methodology into maintenance services. 5S is a tried and tested organisational standard for the work floor that will enable us to immediately detect irregularities in any of our 700 machines, 2,000 interventions and more than 4,000 parts, and thus avoid wasting resources.

Our projects In all of our various AI projects, we aim to make the best possible use of human AI. In practice, this means that the human factor is leading, and that the purpose of technology is to provide people with a maximum degree of supportn.

Cédric Dhaene, R&D Coördinator

True digital transformation starts with a ‘digital first’ approach to process design, in which human expertise is put to maximum use where it can offer real added value.

Chapter 3

PASSION

Olivier Knockaert, Chief Information Officer

Connecting through technology Technology and comprehensive digitisation can teach us new things every day. This is why we are actively committed to the ongoing development of platforms for reliable, user-friendly information architecture. In turn, these can serve as a basis for the further development of other tools such the myVanheede customer portal and Vanheede Plus app, as well as links to our customers’ own systems.

Each of these solutions can offer insights into how our customers think and work, and what they want.

Building on the continuous feedback that we receive, we can refine solutions further in order to offer users new options that better meet their needs.

At the same time, comprehensive digitisation leads to a more efficient organisation and, by extension, results in satisfied employees and customers. Information-driven processes uncover opportunities for further optimisation that will enable us to sharpen our focus on creating added value for customers. This could involve anything from better round-the-clock availability to smart containers and optimal collection processes, to name just a few areas.

Digital documents for waste transportation Flemish regulations governing the sustainable management of waste and recyclable materials (Vlarema 8) include the requirement that all identification forms must be submitted digitally as from 1 January 2023. By extension, businesses are required to have the necessary systems in place to ensure compliance. This development will not only make administration processes much simpler, but it will help drivers work more efficiently, as they will no longer need to visit the Vanheede premises to collect the documents needed for their daily routes. Vanheede has

already rolled out a pilot project in collaboration with Denuo, the federation of businesses in the sector.

Undoubtedly, Vanheede will be a driving force in efforts to convince all of its customers and processing partners to effect a full transition to this digital documentation system.

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Carbon Smart Economy

Reducing our CO2 footprint and making it measurable The European Green Deal and Fit for 55

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To meet the challenge of combating climate change, the European Commission has drawn up a European “Green Deal”. The aim of the Green Deal is to make the European Union the first climate-neutral continent in the world by 2050.

With the Fit for 55 scheme as the running thread, Europe is committing to a minimum 55% cut in greenhouse gases by 2030 compared to 1990 levels. Fit for 55 also works as part of the United Nations’ 17 Sustainable Development Goals (SDGs), more specifically Goal 13 which aims to take measures to tackle climate change.

As a sustainable company, Vanheede Environment Group does its part to fight climate change (SDG 13). That is why, in addition to having our main business activities all follow the sustainable model, we have set up an innovation programme called Carbon-Smart Economy. This is made up of four sub-programmes designed to identify the main sources of greenhouse gas emissions within the group so we can take concrete steps to reduce them as much as we can in transport and in our processes and, where they can’t be avoided, to offset them by producing renewable energy.

The aim of the CO2-modelling innovation sub-programme is to create a model that can calculate the carbon impact of business activities within Vanheede Environment Group. This model should enable us to determine the group’s carbon footprint and measure changes over time via a dashboard. Once the benchmark measurement has been determined, we can set goals and develop concrete plans for action (2023).

In the meantime, we continue to expand our knowledge in this area and to analyse the various methodologies that are available. To ensure that we all bring the same level of expertise to the launch of the project, the entire project group is taking, and all project group members have completed, a number of EcoVadis training modules on greenhouse gas

emissions. A survey revealed that 80% of our customers are keen to quantify the degree to which effective waste sorting enables them to reduce their CO2 emissions. This tells us that it is time for a second project in the near future: providing customers with accurate reporting on their environmental impact.

Our projects trucks

cars

office buildings

our own waste materials

recycling plant

wind mill

solar panels

Moving into the future with sustainable logistics

Chapter 3

PLANET

We keep a close eye on developments in the logistics sector a transition to supertrucks. At 25m long rather than 18m, and, with today’s rising fuel prices, increasingly congested and with a load capacity of 60 rather than 40 tonnes, these roads and shortage of drivers, the challenges we face are trucks offer a more environmentally friendly alternative complex. Our fleet consists mainly where regulations allow their use. of EURO-5 and EURO-6 trucks, In the future, the introduction of a Compared to traditional transpor­ which lead the way in reducing three-axle trailer will also increase tation by road, each boatload of toxic emissions. Vanheede has load capacity from 44 to 48 tonnes. frequently embraced a pioneewaste that Vanheede Alternative The advantages of combined ring role in the testing of new waste collection, for example of Fuels transports represents a technologies designed to lower plastic, are increasingly recogCO2 reduction of 72% per ton emissions, enhance mobility and nised. By using a single truck to of AlterCoal. improve traffic safety, to name make multiple collections on an just a few areas. For instance, we Maxime Vanheede industrial estate, for example, or introduced our first hybrid truck in Business Development Manager by cooperating with another com2012, and we have replaced mirpany to empty bins for both their rors with cameras for better, safer customers and our own on a sinmonitoring of situations alongside gle journey, we can cut our CO2 and behind our trucks. emissions and contribute to reducing road traffic. In the We are also investigating the effectiveness of alternative course of 2022 we will also be rolling out a trial project in fuels such as biodiesel, natural gas and hydrogen with which waste is transported by boat - yet another way to regard to range, weight, safety (for example, when used to reduce the number of trucks on the road. transport hazardous waste) and other factors. For day-today movements across long distances, we are working on

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Every year, the bees produce a jar of honey, made on-site, for each member of the Messancy team.

Other than being a delicious treat, this is a way of contributing to the good health of staff.

Encouraging biodiversity

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Vanheede is doing all it can to protect ecosystems and animal species at its plants so that our business activity and protecting biodiversity can go hand in hand. Here are four concrete examples: A beehive has been set up at the Messancy logistics site. Two ponds provide water for birds and bees.

Cats are the preferred solution to control the population of rats and other vermin. The site is protected and bordered by thorny hedges

Thierry Maréchal Director/Area Manager Luxemburg

which provide habitats for animals.

Nesting boxes dotted around the site afford shelter for small birds.

At the Geluwe site, not only does the “Flaxpark” offer the perfect environment for staff to relax and improve their well-being, it also plays an important role in species conservation. The trees, fallow land and wild flowers ensure plenty of pollen and nectar to the delight of birds and insects.

little bittern

By gradually converting the Rumbeke landfill into a nature zone, Vanheede intends to create new habitats that will attract rare bird and animal species such as the little bittern, whose return would be the sign of a successful nature reserve.

Following a change to the area plan at the Quévy-le-Grand site, Vanheede has committed to offset the few hectares that will be turned into an industrial zone. For example, hedges and fruit trees will be planted in neighbouring localities and ditches will be created to prevent mud reaching roads. So Vanheede is joining with local authorities to create biodiversity zones in various places.

Design for Recycling Starting with the development phase of their products, we work with our customers on the concept of design for recycling: helping them re-use their own recycled materials at the end of their original lifespan and thus close the material cycle. Vanheede is happy to share its expertise when it comes to how decision-making in the development phase impacts later options for recycling, as well as how to increase the percentage of recycled materials in a given design.

Our projects

PLANET

Intelligent Supply Chain

Scaling up the Plastic Switch The Plastic Switch has two aims.

One is to reduce the volume of selectively collected plastics in adherence with Belgian regulations (Vlarema). At the same time, we also want to provide the market with a logistically feasible solution by collecting the various separate elements together, thus reducing costs and logistical impact as much as possible.

Chapter 3

From trial project to scalable solution In consultation with Valipac and Fost Plus, we selected 500 customers in the Roeselare region and carefully monitored the contents of their residual waste bins over a two-week period. We detected non-compliance with recycling guidelines in the waste of no fewer than 40%. These

customers received a starter pack from us consisting of separate bags for six different kinds of plastic (PMD, mixed foils, natural foils, hard plastics, EPS and strapping). Ultimately, 30% of our customers took part in the trial project. The bags of sorted plastics were collected during PMD collection and sorted at our sorting centres.

Plenty of people were willing to take part in the trial project, and it became clear that customers were interested in realistic solutions that would help them comply with regulations. The trial project was scaled up in 2021 to include East and West Flanders, and in 2022 it will go even further, covering every region in Belgium.

39 PMC-container

Clear films

Mixed films

Plastic straps

EPS (polystyrene, styrofoam)

Hard plastics

Working towards a circular earnings model for mixed business waste If we are to reduce the total amount of waste we have to deal with, then by 2030 we will need to be recycling at least an additional 50% of mixed household and business waste.

This means reducing the amount of mixed waste and investing in additional recycling capacity. To this end, in 2015 the government introduced an implementation plan for “house-

hold waste and comparable industrial waste”, the terms of which call for a 15% reduction of mixed business waste in the period from 2013 to 2022. A number of measures will bring this goal within reach: • Increasing the number of separate collection streams from 21 to 24 by 1 January 2024; • Continuing to place a strong emphasis on the responsibilities of waste producers; • Mandatory visual inspection of mixed business waste to detect inadequate separation.

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A new implementation plan for household waste and comparable industrial waste is currently in development, and existing goals are expected to become more ambitious.

This intention is reflected in the draft Flemish government agreement for 2019-2024, which calls for a maximisation of the circular economy and a phased discontinuation of waste incineration. While incineration is still permitted, the aim is to achieve the highest possible energy returns while keeping emissions as low as possible.

Other factors that determine incineration capacity include technological developments, the geographical distribution of incinerators and mobility. In addition, the Flemish Climate Policy Plan for 2021-2030 stipulates that by 2030, greenhouse emissions

Acceptance procedures are increasingly important. We need to ensure that material that does not belong in the mixed waste stream is collected appropriately and kept out of incinerators. This way, we can reduce the volume of residual waste and increase recycling percentages. A subsequent challenge will be the processing of contaminated and complex materials to ensure the highest value returns for recycling at a realistic scale for each customer. This is an area in which Vanheede can really offer added value.

Pieter Vierstraete, Material recovery manager

from waste incineration in Flanders must be reduced by nearly 25%.

The European Green Deal calls for a reduction of no less than 50%. If the Flemish government tightens restrictions further in response to pressure from Europe, the limits set out in the implementation plan will change accordingly.

Sorting analysis reveals the presence of recyclable material in 30% to 40% of mixed business waste by volume.

This means there is plenty of potential for reducing this waste. But businesses face obstacles that prevent them from adhering to guidelines for the separation of waste*. * (Source: Voka paper june 2020, Bedrijfsafval efficiënt sorteren. Naar een circulair verdienmodel)

Our projects

PLANET

In short, there are three main factors at work: The volume and complexity of waste categories that are subject to mandatory separation.

Waste is seldom homogenous. When sorting items that are coloured, printed or coated, for example, it is easy for personnel to make mistakes even if they are properly trained.

1

Lack of space for collection of multiple separate waste categories.

A Voka survey of more than 200 businesses revealed that the average company produces 11 categories of waste that are subject to mandatory separation. Each type must be sorted and stored separately, which is often impossible for technical reasons.

2

3 The high price of selective sorting.

The driving principle behind the circular economy is the transformation of waste into an economically valuable material. With regard to many waste categories, two factors have stood in the way of success. First, businesses have no control over processing factors such as the price of the primary resource, the quality of the material and the market for materials produced through recycling. Second, volumes are often too small to achieve break-even returns.

Solutions Vanheede is committed to developing solutions to address these obstacles so as to accelerate the evolution of the circular economy. Investment in automated material recuperation and the identification of high-value markets for recycled products can ease the pressure caused by mandatory on-site sorting and enable the combined collection of dry, non-hazardous ­categories in a single bin. With this development in mind, a brand-new sorting line is already under construction at our site in Rumbeke.

Chapter 3

Organic waste recovery The European Union aims to limit the proportion of organic waste in residual waste, on the one hand by reducing food wastage by half, and on the other by requiring that all EU countries are selectively collecting and recycling organic waste by 31 December 2023. With this deadline approaching, we have expanded the processing capacity at our site in Quévy so that biogas - produced through the anaerobic digestion of organic waste - can be converted into electricity or injected into the natural gas network. The initial capacity of 120,000 tonnes was increased in July 2022 to 150,000 tonnes.. We will also be redesigning the site to achieve a better through-flow, with the aim of enabling automatic acceptance and loading in the processing line, improving safety. This activity will take place in a building of over 900 m².

The biogas plant at the Quévy site (see also pages 28-29)

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Circular Materials

Circular Materials

42

AlterCoal®, decarbonisation in heavy industry Demand continues to grow exponentially for alternative feedstocks that can replace fossil fuels such as natural coal, oil and gas. The European Green Deal is accelerating the general trend towards reducing the CO2 footprint and transitioning away from fossil fuels. Calls to make Europe self-sufficient in this area are growing ever more urgent.

It is in the interests of Vanheede’s customers in heavy industry, such as the refining, steel, cement and chalk sectors, to follow this trend. Tariffs for carbon emissions, which are regulated by the European Emissions Trading System (EU ETS), have proven an effective measure for encouraging carbon-intensive sectors to ramp up decarbonisation. But since they still rely largely on fossil feedstocks such as coal, oil and gas to produce their products, these fuels are necessary to their chemical production processes. For example, oil is used as both a raw material and a fuel in the production of plastics.

Replacing a highly stable feedstock such as coal is challenging, because it entails a very fine balance between caloric value and chemical composition. With 25 years of experience in this market, Vanheede brings a wealth of expertise to the table. We can create an optimal mix of mechanical, non-recyclable waste streams based on the end customer’s needs regarding chemical composition (for example, by volume of residual ash or chlorine) as well as physical characteristics (such as size).

Heavy industrial processes require high temperatures to bring about chemical reactions. With AlterCoal®, Vanheede offers a solution that is both circular and sustainable, with waste usefully repurposed as a source material for chemical recycling.

LIFE SMART: a project for climate-neutral steel ArcelorMittal has set itself the goal of reducing its CO2 emissions by 35% in 2030 (compared to a 2018 baseline) and, in line with the ambitions of the European Green Deal, achieving climate neutrality by 2050. Its LIFE SMART (SteelMaking with Alternative ReducTants) project, launched in 2020 in cooperation with Vanheede Alternative Fuels, Ghent University and the CRM Group, is a major step towards reaching these goals.

Steel production requires reducing agents to transform iron ore into molten metal. The LIFE SMART project enables ArcelorMittal to replace fossil fuel carbon reducing agents, such as coal, with waste-based agents. Vanheede Environment Group will provide ArcelorMittal with AlterCoal® pellets, which are composed of industrial waste products and non-recyclable plastics with a high carbon content. Ghent

University and the CRM Group have specialist expertise in the area of high-temperature processes, which they will apply to developing the LIFE SMART product to chemically recycle AlterCoal® pellets. These will replace reducing agents as a source of energy, keeping coal and coke out of the smelting ovens.

EUROPA With the support of the European commision The LIFE SMART project has received funding from the LIFE Programme of the European Union.

Our projects

PLANET

Carbon Smart Economy

Injecting gas into the natural gas network together with ORES

AlterPlast, high-grade plastic recycling As part of our ambition to ensure a circular life cycle for as many materials as possible, we introduced a new production line for processing post-industrial and post-consumer plastics. After thorough pre-treatment, during which materials are reduced in size, washed and sorted according to type and colour, we are able to process them to the highest possible degree. The better the materials are sorted, the more widely and profitably they can be marketed.

At our Quévy site, our bio-methane installation transforms organic materials into biogas consisting of methane and CO2. In turn, a co-generation turbine uses biogas to generate sustainable electricity and heat.

The biogas generator and biomethane installation came on line in June 2021, at which point we became the second-largest installation for transforming biogas into a fuel that is equivalent in quality to natural gas.

This new facility generates 700 Nm³ of biomethane per hour for injection into the natural gas network, a cycle that represents the production and utilisation of not only green electricity and heat, but also green gas.

Since operations began, we have contributed 1.8 million Nm3 of gas to the network. The installation’s annual capacity is 5.3 million Nm³ The average family uses about 1,250m³ of gas annually. With an annual production capacity of 5.3 million Nm³, we can provide green gas for 4,200 families.

Chapter 3

Vanheede Biomass Solutions contributes to a reduced-carbon economy by: 1. developing high-yield processing solutions for food waste 2. providing an alternative means of generating electricity without fossil fuels (decarbonisation of electricity) 3. producing biomethane as an alternative to extracting and importing natural gas (decarbonisation of gas) 4. using digestate on almost 2000 hectares of fields as an alternative to synthetic fertilisers.

The carbon footprint of biomethane is one tenth of that of natural gas, and it produces less particulate matter during incineration.

In the coming years we will be exploring additional energy recuperation methods, such as producing bio-renewable CO2 for use in industry and food production or producing hydrogen from methane.

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Career fulfilment is an important matter. In order to attract and retain the best talents and enable the company to continue to grow, there is now a very real need to invest in the skills and well-being of members of staff by offering them variety of training courses.

Lien Ghesquière, Training Coordinator

Investing in our employees’ growth and fulfilment 44

Since the waste management world is constantly evolving and technology has become considerably more complex in recent years, the need has arisen for a training policy to ensure staff knowledge and skills keep up with the changing reality of their jobs. In order to set up a training policy, we need a clear structure that pays particular attention to how and what knowledge should be acquired.

This is a project that will be rolled out in several steps, but the foundations for it have already been laid.

In developing a training policy to run over several years, Vanheede Environment Group also wants to contribute to its staff’s well-being and job satisfaction. In the past, what people were most proud of was spending their entire career with the same employer. It’s no secret that nowadays, younger generations no longer aspire to that.

So rolling out a training policy should also enable us to hold on to talented colleagues by satisfying their expectations in terms of personal growth and development.

As a sustainable employer, Vanheede Environment Group offers those wanting to increase their knowledge or climb the ladder the chance to take courses and attend conferences and workshops that enable them to realise their potential.

Drawing up a training policy also enables Vanheede Environment Group to continue to grow thanks to these talents who offer the company their expertise day after day.

Our projects

Our employees are ambassadors who bring us … new employees At Vanheede, we are convinced that engagement is the foundation of a strong corporate culture. The more employees we can involve in everything we do, and the more we can make them feel they belong, the more wiling our personnel will be to serve as ambassadors for our organisation.

With this in mind, we began assessing our Employee Net Promoter Score (eNPS) in 2021. In that year,

our score was 19 on a scale ranging from -100 to 100, a positive result for an initial survey.

We hope to gradually improve our score by taking our employees’ feedback to heart. Our ultimate goal is to have even more satisfied employees who will be happy to recommend us to their friends.

Chapter 3

PEOPLE At Vanheede, we consider social dialogue a cornerstone on which to build and maintain sustainable, long-lasting relations with our colleagues. Thanks to collective bargaining, we are able to establish positive and constructive relations with the various bodies representing staff.

Wim Cannaert, HR-manager

Social dialogue as the driving force of sustainable relations Effective, open communication between employer and employees is extremely important for good cooperation. Together with all the employee representatives for both manual and office workers, we have consistently succeeded in communicating with company leaders in order to solve problems and improve work situations. Examples include the introduction of flexible working hours, hospitalisation insurance for the entire workforce, and a supplement during the COVID-19 pandemic.

Martine Dumont, ACV Puls

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Well-being and commitment during the pandemic

46

Although the health situation again delayed our safety ambitions for the year 2021, we have done everything possible to prevent hazardous conditions in the workplace, focusing in particular on awareness. The safety of every employee remains a core concern for us.

Accident prevention measures include training and informing staff.

Training raises their awareness about the risks involved in certain tasks and teaches them the right reflexes in specific situations. As for information, it enables us to communicate on and convey essential information about staying safe. Information must come not only from the safety steering committee,

Our projects

Chapter 3

PEOPLE We registered 91 work­ place accidents in 2021

Safety First on World Safety Day

That was 91 too many. Compared to other companies in our sector, our performance in this area is lagging.

Looking at our health and safety scores for each of our separate activities, we also score consistently lower than average in comparison to similar divisions. One consolation is that the accidents that occurred in 2021 were less severe than those of previous years.

To evaluate our health and safety performance, we measure two factors: severity and frequency.

28 April 2022 was World Day for Safety and Health at Work. Belgian Waste-to-Energy is a group of 14 Belgian waste processing companies that transform household and comparable industrial waste into energy.

All of its members participated in the joint project ‘Safety First’, which focused on safety in and around the waste-tipping hall. This project took place in collaboration with Denuo, the Belgian federation for the waste and recycling sector. Vanheede played an active role on the day, the aim of which was to raise awareness of the vital importance of safe behaviour in the workplace.

Severity rate (Sr)

Frequency rate (Fr)

Sectorbenchmark 2020 (NACE2 - code 38): 0,72

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55,83

’16 ’17 ’18 ’19 ’20 ’21 65,78

0,47

1,18

1,07

0,77

1,31

’16 ’17 ’18 ’19 ’20 ’21

0,93

• Safeguard our employees’ health and safety during a pandemic • Investigate the causes of accidents in the workplace in more detail • 2022 action plan for safety: · Carry out specific safety activities with a focus on separate groups of employees (workers, drivers, administrative personnel, maintenance staff). Our main priority will be to eliminate the underlying causes of the accidents that occurred in 2021 · Increase employees’ involvement in and responsibility for security-conscious behaviour, working together with the Health and Safety Committee

58,42

Aims for 2022

68,07

injury and upset, and they often have knock-on effects not only for those involved, but also for their families.

Consequently, we do everything we can to prevent dangerous situations at work and to increase safety awareness. This is a responsibility that we all share, and it requires us all to remain alert, as this is the only way we will achieve our aim of eliminating accidents altogether.

45,52

but also from those on the ground who have to deal with potentially hazardous situations directly.

It is only by involving a great many colleagues at every level and by relying on the vigilance of each one of us that we will manage to reduce the number of hazardous situations.

There is still a long way to go, but we’re working on this together.

In order to reduce the number of workplace accidents, we have drawn up an annual action plan and are looking at several important areas in terms of safety: Accidents in the workplace can cause

Sectorbenchmark 2020 (NACE2 - code 38): 20,43

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Women in recycling Is the Belgian waste and recycling sector an all-male environment?

Not if you ask us. Vanheede’s hiring processes are gender neutral, which means that our main concern is a person’s skills and experience rather than whether they are a man or a woman. By joining forces with Women in Recycling, Vanheede aims to contribute to inclusivity and gender equality across society.

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As chairperson of Women in Recycling, launched by the association of Belgian recyclers (Denuo), Caroline Vanheede is committed to bringing more women into a sector that is all too often considered to be a man’s world.

Our projects

Truck Driver Appreciation Day We believe that our hard-working truck drivers are entitled to some recognition for their efforts, and that is why we support Truck Driver Appreciation Day.

Actually, though, we appreciate our drivers every single day. That is why we are pleased to employ them in a financially healthy company, surrounded by plenty of enthusiastic colleagues. Autonomy and personal growth are encouraged, and the attractive salary we offer is another excellent reason for people to join us. We believe in investing in our employees and offer a range of training opportunities. When we hire someone, it is not just to do a job but to build a career.

Chapter 3

PEOPLE We deliberately prioritise health and safety above our core focus, which is the environment. The health and safety of our employees requires and deserves our attention. ‘Mission zero accidents’ must continue to be a firm resolution.

After all, the best foundation for any business is to have a healthy work­ force working in safe, pleasant conditions.

Koen Vandenbroucke, HSE Manager

QESH is now HSE On 1 January 2022, we changed the name of our support service for Quality, Environment, Safety and Health (QESH) to Health, Safety and Environment (HSE). Our intention with this change was to underline our focus on environmental and safety issues.

While we remain committed to the ‘Q’ for quality, this will be integrated into the Business Units more than was previously the case.

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Future-facing investment in infrastructure Our innovation programme for infrastructure development is geared towards ensuring state-of-theart business infrastructure that will stand the test of time. This programme will enable our Business Units to optimise and expand their current capacity and to develop new activities.

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Innovation and modernisation are central to our logistics and processing activities. For this reason, we rely on a per-site masterplan to set out the concrete requirements, plans and wish lists of each of our business units, as well as the symbiotic relationships between them. Translating innovation into concrete developments requires action points, which Vanheede formulates in its underlying strategy programmes. In the area of infrastructure development, these programmes are more specifically oriented towards optimum organisation of a site in every sense of the word. Additionally, they place the focus on the management, buffering and containment of various water flows at sites. Other major themes include developing biodiversity, preventing and managing the risk of fire and explosions, guaranteeing safe and healthy indoor working conditions, limiting unacceptable odour and dust levels, and creating the working environment of the future.

Infra­ structural Develop­ ment

New headquarters for Special Waste Management in the port of Roeselare

We never stop growing, and neither do our ambitions. To ensure we will have plenty of room to grow in the future, we are currently investing in a new site at the Roeselare Haven Zuid industrial estate on the Roeselare-Leie canal. Within three years, our colleagues at Special Waste Management in Rumbeke will move into a brand-new logistics complex close to the Roeselare Haven motorway exit and the Roeselare-Leie canal. Both the VES offices and the logistics activities will move to this new location.

As we did at our new Antwerp office, we are using a range of sustainable techniques and materials at this new site. OYO Architects has designed a 3,000m² energy-efficient office complex in which the needs of the occupants are the prime concern.

The building will have plenty of natural light and meet all building energy performance (EPB) requirements.

Moreover, it will be a modern facility.

Not only will it have flexible spaces, it will also include facilities such as changing rooms with showers for all workers and drivers, as well as showers for office staff, since we aim to encourage them to bike to work.

There will be ample cafeteria spaces, training areas and, most exciting of all, a recreational space.

Our projects Infra­ structural Develop­ ment

Chapter 3

PROFIT

Major transformations at the Rumbeke site

Building work is scheduled to begin in early 2023 for completion in late 2024, when VES will be able to transfer all of its activities to Roeselare Haven Zuid.

Following the introduction of the new Vlarema 8 legislation, requiring companies to reduce the percentage of recyclable material in their residual waste, Vanheede invested in a new Material Recovery Facility (MRF) sorting line at the Rumbeke site. Thanks to this investment, we have also been able to reorganise the entire site to optimise mobility: from the arrival of trucks to their departure, including in the holding zone, with one-way traffic, and a badge system. The truck holding area has also been reorganised in a sustainable way. In accordance with the regulations, a buffer reservoir has been built to avoid flooding. A catch reser-

voir (240 m³) will also be installed so that rainwater can be reused in toilet blocks and for washing trucks.

We are also studying the possibility of reusing rainwater to reduce dust in the MRF hall. A well-being green zone has been created so employees can make the most of the outdoors during their breaks.

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Infra­ structural Develop­ ment

New logistics site in Asse

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We are proud to announce our expansion into a new logistical site in Mollem (Asse), thanks to the acquisition of the paper and cardboard recycling company Ets. Herman Thomé & Fils. The location of the site will enable us to optimise our services in the Brussels region.

The company was transformed into Vanheede Recycling Center. Generating an average annual turnover of 1 to 1.5 million euros, Vanheede Recycling Center currently employs three people; they will bear responsibility for the continuity of the existing activities.

Infra­ structural Develop­ ment

Sustainable storage facility for wood in Messancy In anticipation of an expansion of activities involving wood, we opened a brandnew wood storage facility at our Messancy site for the storage of up to 25,000m³ of wood chips. The walls of the structure are made entirely of recycled material: a smart mix of fragments of concrete, ceramic, glass, brick and similar products.

This is a perfect example of circular construction.

Our projects

Circular Materials

From left to right: Jacques Gobert, David Vanheede, Laurent Dupont, Caroline Decamps, Elio Di Rupo, Nathalie Halbot, Philippe Tychon, Wim Geens

Chapter 3

PROFIT

Val’Up, a special kind of cooperation in the world of recycling Val’Up is a waste sorting centre bringing together the IDEA (Central Hainaut) and IPALLE (Wallonia, Picardy and South Hainaut) intercommunal associations as well as two private bodies specialising in environmental materials: the SUEZ group and the VANHEEDE group.

The new Val’Up sorting centre in the Ghlin-Baudour zone, operational since the beginning of 2022, is innovative and scalable because it can

adapt to sorting instructions being expanded. The industrial tool can sort new types of plastics (7-14 different fractions), while continuing

to sort the usual PMD streams. Its processing capacity is +/- 5,000 blue bags per hour, that’s 50,000 tonnes of extended PMD sorted per year.

Val’Up also stands out in terms of sustainability and safety.

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Focusing on improving customer relations brings results Our annual customer satisfaction survey is a very important instrument. Not only does it help us understand how our customers perceive us, it also provides feedback that we can use to improve our services as much as possible. The challenging events of recent years have again demonstrated the crucial importance of providing a flexible service, and this is something that we intend to continue doing as we move into the future.

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Digital services enhance satisfaction On top of a general customer satisfaction score of 4.3 out of 5, the survey revealed a number of interesting

insights. Customers who use the myVanheede customer portal and the Vanheede Plus app are more satisfied with our general level of service than those who do not yet use these tools.

Our customers are our best ambassadors To determine our net promotor score, we asked our customers how likely it was that they would recommend us to friends or colleagues. On a scale from 1 to 10, they responded as follows:

• 8% said 0 - 6 • 47% said 7 - 8 • 45% said 9 - 10 Based on these responses, our net promotor score is 37 - two points higher than last year’s score! This means that we have loyal customers who are ambassadors for our business and who consider us as a valuable partner.

A comprehensive Vanheede experience improves convenience for users The Customer Effort Score measures the quality of our interaction with our customers. So we asked them what lengths they have to go to in order to have their request dealt with. Although our products and services are sometimes complex, we want to become the most transparent and user-friendly company in the field by making waste management as accessible as possible.

Customers opting for the full Vanheede experience, via the myVanheede client portal and the Vanheede Plus app, indicated they needed to make very little effort to have their requests dealt with (CES: 1.79/5*). The lower the score, the easier it is to do business with our company.

Our projects

PRIDE

Testimonials complete the customer experience Today more than ever, people demand transparency.

Realistic reviews are one source of information on which they can base informed decisions. Starting in 2021, Vanheede has responded to this trend in the B2B context by inviting customers to provide reviews on the online customer review platform Trustpilot. Concretely, the platform provides a real-time reflection of customer satisfaction by representing review scores as a measurable result on a star scale from 1 to 5 - the TrustScore.

Since joining the Trustpilot platform, Vanheede has achieved a score of 4.5 out of 5 stars: the ’excellent’ category. This is an unambiguous signal of our customers’ confidence in us, and will be noted both by us and by potential new customers.

Chapter 3

Vanheede and Golazo join hands for a sporting challenge Golazo sports organises around 280 sporting events each year in Belgium, with annual running and cycling events drawing up to 430,000 participants. In 2017, Golazo asked to use our Antwerp site as the starting point for its Haven Challenge. Our staff helped make the event a success, and some 10 of our employees also took part in the race. Golazo and Vanheede first became acquainted when we were both recognised as Best Managed Companies, and from then on we began to explore opportunities for long-term cooperation.

Win-win-win Part of this long-term cooperation entails publicity, for example when Vanheede joined as a partner in the X2O Bathrooms Trophy. This series of eight popular bike rally competitions ensured good visibility and helped make our name more familiar to more people. We were also happy to be associated with a healthy sporting activity that reflects our own flexibility, agility and determination.

In addition, Vanheede takes care of sustainable waste management at all of Golazo’s events in Belgium.

The advantage for Golazo is that it can count on a national partner with a single point of contact, both for support and for reporting that clearly proves that our contribution really does make its events more sustainable. During the COVID-19 pandemic, virtually all waste recovered during such events was necessarily non-recyclable, but today we are able to collect more and more categories selectively.

Lastly, we are keen to stress that Vanheede has always been a proponent of a healthy mind in a healthy body. That being the case, we are pleased to say that all of our employees can participate in any Golazo sporting event at a greatly reduced fee. So no more excuses: 2022 is the year for everyone to get some exercise! Proceeds from all registrations are donated to charitable causes through our Benefit Box.

55

Outstanding service, even in exceptional circumstances July 2021 brought unusually severe flooding to southern Belgium, particularly in the provinces of Luik and Namen. To help people cope with the effects, the various Vanheede sites quickly organised a chain of solidarity among themselves in order to raise a rapid response to the massive call for large containers. Many of our customers needed these containers to dispose of the

56

waste that the floods brought to their own premises, but they also needed to make them available to the general public. Vanheede Environment Group also helped municipalities manage waste streams for those affected by the flooding.

In the days following the crisis, we faced unimaginable commercial and operational pressure. Thanks to the impressive dedication of Vanheede’s employees, we were able to cope with a volume of mixed business waste that we had never before imagined: 45% more than normal, or around 1,000 tonnes in two months.

Maël Briguet, Logistics Manager Wanze This photo of a chapel container shows the power of the flood.

The container drifted almost one kilometre down the Vesdre until it hit the pillar of a bridge.

Ethical data management To guarantee the security of our data systems and to safeguard the privacy of our customers and employees, we continually invest in state-ofthe-art IT systems. In choosing these systems, our leading focus is the concept of privacy and security by design. Additionally, our information systems regularly undergo third-party auditing. Furthermore, we make constant efforts to raise risk awareness among employees by providing ongoing training and testing.

Committing to diversity and inclusion Vanheede makes every effort to ensure equal opportunities for all and promote professional diversity and inclusion, both in regards to managing human resources and in employee relations. With its diversity and inclusion policy, Vanheede Environment Group aims to offer each and every employee a working environment in which sex equality

and cultural, ethnic, linguistic and social diversity etc. are respected.

We are convinced of the benefits of diversity within the group and consider differences an advantage for the company, not a reason for exclusion.

Our projects

Chapter 3

PRIDE

57

Our values in practice Jean-Marc Delecroix Head of the weekend team, Vanheede Plastic Recycling

58

Jean-Marc Delecroix began in September 2013 as a forklift truck driver in the sorting area at the Rumbeke site. He now heads the weekend team and enjoys ensuring it is running smoothly and passing on his experience to new workers.

Curious by nature, he knows the ins and outs of his role like no-one else and can turn his hand to pretty much anything: from repai-

ring machines to using the press, not forgetting driving forklift trucks and lorries, etc.

And he doesn’t intend to stop there!

Asked about how he saw his future, Jean-Marc admitted he’d like to climb a few more rungs of the ladder.

Our projects I am incredibly grateful to Vanheede for having opened so many doors to me and having had so much faith in me. I try to give of my best every day to repay them for all they have done for me.

Chapter 3

Values work

PASSION

PLANET

PEOPLE

PROFIT

PRIDE

When we compare the state of waste when it arrives at the centre – all jumbled up – and when it leaves – neatly sorted into waste streams – it is pretty impressive and gratifying to think that we contributed to that. I feel like I’m making a difference in my own way.

We play a major role in recycling, something which has now become vital. More and more meticulous sorting means we no longer have to send so much waste that could have been recycled to the incinerator.

Above all, I like the contact with the workers. I can lend a hand if they’re struggling with something or simply help them improve their performance.

Although I take work very seriously, I like to lighten the mood. I know how important it is to praise my team after a long, hard day, or when I see they’ve really given their all.

The faith Vanheede has in me is reciprocal. This is reflected in my work on a daily basis: I make it a point of honour to do my job to the best of my ability and to leave my work station immaculate at the end of the day, so that those coming in after me can start their shift in the best possible conditions.

I am proud to have made the role of team leader and to have acquired so much knowledge. I am also very proud to say I work in recycling because it’s my way of contributing to a better world by avoiding pollution.

59

Balance sheet

60

The consolidated balance sheet for the year 2021 closed with a balance sheet total of € 150.628K. The book value of tangible fixed assets increased in 2021. Investments for the financial year amount to €21,299K. Important achievements in this were the purchase of a plot of land (Messancy), the construction of a semi-open storage facility (Messancy), the expansion of the pellet production line (Dottignies), the completion of the water buffer basin (Rumbeke; started in 2020), the construction of a new office complex (Antwerp; development of fixed assets), as well as annual investments in receptacles, rolling stock and machinery. With respect to accounting policies, there were no modifications compared to the previous year.

Amounts falling due within one year rose in comparison with 2020 due to increased turnover.

Available liquid assets amount to €15,116K. The liquidity level is 1.18, which is sufficient to meet all obligations in the short term.

Capital increased due to the positive result of the financial year (see info under ‘profit and loss account’). Provisions for risks and charges consist mainly of the established reserve for the post-completion phase of our landfill site.

In terms of debt, both long-term and short-term financial debts are stable (long-term financial debt decreasing, short-term financial debt increasing).

Outstanding debts owed to financial institutions decreased, in contrast to a significant increase in trade debts, a situation that is mainly an effect of payable investment invoices as per 31 December 2021.

Vanheede Environment Group’s solvency ratio has increased and is very healthy at 46,79%. This takes into account the subordinated long-term ‘DACAR’ (family holding of the Vanheede family) loan of €22.4M that is added to the capital.

Jan Minne - CFO

About our results

Sustainable growth

Chapter 4

Financial section

Long-term investments The innovation drive at Vanheede is very strong. Every new technology also entails important investments that have to be feasible, highly-performing and profitable.

The financial management therefore requires the monitoring of quite a lot of parameters: gross margin, operating profit, solvency, profitability, … The financial figures are reported for each legal entity and finally consolidated.

2021

Consolidated balance sheet (in KEUR) ASSETS

2021

2020

LIABILITIES

2021

2020

Intangible fixed assets

3.602

4.771

Capital

3.353

3.353

Tangible fixed assets

83.365

79.122

Consolidated reserves

44.724

34.872

Financial fixed assets

3.863

3.861

OWN CAPITAL

48.077

38.225

90.830

87.754

5.336

4.981

50

650

0

0

5.385

3.542

5.336

4.981

Amounts falling due within one year

38.718

34.731

Debts falling due after more than one year

44.683

49.962

Liquid assets

15.116

13.191

Debts falling due within one year

50.504

45.735

529

518

2.028

1.483

CURRENT ASSETS

59.798

52.632

97.215

97.180

TOTAL OF ASSETS

150.628

140.386

150.628

140.386

FIXED ASSETS Amounts falling due after more than one year Stocks

Accruals and deferred income

Provisions for risks and charges Deferred taxes PROVISIONS, DEFERRED TAXES

Accruals and deferred income DEBTS TOTAL OF LIABILITIES

Key figures The annual accounts for the 2021 financial year (1 January 2021 to 31 December 2021) of Vanheede Environment Group nv and its subsidiaries, as well as the consolidated annual account, can be consulted free of charge at the Central Balance Sheet Office of the National Bank of Belgium. A brief overview of these accounts is provided in this sustainability report.

61

Profit and loss account

62

Non-consolidated turnover over the year 2021 increased by 15% compared to the previous year, rising from €187,553K to €215,686K. Consolidated turnover increased Annual amortisation of the consoliby about 14.70% to €183,636K. The dation of goodwill (at a rate of 5%) gross margin decreased (in % of turis stated separately under ‘consonover) compared to the previous lidation as amortisation of consoliyear, falling from around 64% to just dation differences’ and amounts to over 62%. In absolute terms, the €1,056K. gross margin increased by more than Amortisation on intangible and tangi€11.33M, a rise of 11% compared to ble fixed assets increased modestly. the year 2020.

Depreciation is increasing, mainly Other operating income decreased due to the funds reserved for the from €2,255K to €1,616K due to post-completion maintenance phase decreases in various subsidies. of the landfill.

Expenses for services and diverse Financial income decreased and the goods (code 61) rose by over 17.5%. financial expenses increased compaThe highest increases concerned red to the previous financial year. fuels, energy and various training Exceptional income and expenses expenses incurred in preparation remain limited and mainly concern of investments due to take place in capital gains and losses on the realiupcoming years. Wage expenses sation of fixed assets. (code 62) rose, but at a lower rate The consolidated EBITDA of Vanthan turnover. Other running expenheede Environment Group increased ses (code 64) remained stable. Perin absolute terms, by €1.18M comcentually, EBITDA fell from 20.54% pared to the previous financial year. as a proportion of turnover in 2020 De EBIT rose modestly by €429K. to 18.55% in 2021, but in absolute Taxes increased compared to the terms it increased from €32.88M to previous financial year. €34.07M. The consolidated profit and loss account as per 31 December 2021 closed with a consolidated profit of €10,789K.

Geconsolideerde resultatenrekening (in KEUR) 2021

2020

183.636

160.118

-124

218

1.616

2.255

185.128

162.591

Purchases and subcontracts

69.026

57.183

Services and diverse goods

39.630

33.620

Remunerations and social expenses

40.172

36.756

Amortisations

17.121

16.882

341

-176

Other operating expenses

2.241

2.146

Amortisations of consolidation differences

1.056

1.056

169.587

147.467

15.541

15.124

357

419

1.188

960

14.710

14.583

Exceptional income

236

193

Exceptional income

90

28

14.856

14.748

21

-7

4.088

3.606

10.789

11.135

Turnover Changes in stocks/ produced fixed assets Other operating income OPERATING INCOME

Depreciations and provisions

OPERATING EXPENSES OPERATING PROFIT (LOSS) Financial income Financial expenses PROFIT/LOSS FROM ORDINARY ACTIVITIES

PROFIT/LOSS OVER THE FINANCIAL YEAR BEFORE TAXES Withdrawals Taxes CONSOLIDATED PROFIT/LOSS

24.618 20.000

Subordinated ‘DACAR’ loan*

22.400

25.000

Corrected own capital

70.477

63.225

Balance sheet total

150.628

140.386

Solvency ratio

46,79%

45,04%

1,18

Liquidity ratio

1,15

15

13,48% 13,65%

200.000

172.038

187.009

9,45%

6

2

8,47%

5,65% 3,71% 2,25%

2017

2021

2020

2019

2018

2017

215.686

EBITDA evolution of EBITDA (in % of the consolidated turnover

EBIT evolution of EBIT (in % of the consolidated turnover)

20

30.000

156.625

2018

2019

2020

2021

The non-consolidated turnover of the year 2021 has increased by 15% compared to last year; i.e. from K€ 187,009 to K€ 215.686

Amortisations evolution of amortisations (in KEUR) excluding amortisations consolidation goodwill

2021

2020

19.837

2019

16.390

2018

15.309

2017

25.000

15.000

2021

5

14.157

2020

50.000

12.709

2018

10

11.401

2017

75.000

28.898 29.320

16.882 17.121

15

100.000

2019

125.000

2017

10 8

15,73%

5

225.000

142.630

18,55%

Turnover evolution of turnover (in KEUR)

4

Non-consolidated profit and loss account (in KEUR)

175.000

20,54%

20

10

See explanation page 60 - balance sheet

150.000

Investments evolution of investments (in KEUR)

2021

38.225

2021

48.077

2020

Own capital

50.000

5.000

2020

11.135

2019

10.789

2019

Net result

2018

32.888

2018

34.059

100.000

2017

EBITDA

160.118 146.413 135.907 125.082

10.000

2021

160.118

2019

183.636

Turnover

15.660

15.000

2018

2020

150.000

17.847

2017

2021

183.636

21.907 21.299

2020

Summary of consolidated profit and loss account (in KEUR)

Operational cash flow evolution of operational cash flow (in KEUR)

63

PASSION PLANET

Process and product innovation

# FTE R&D % R&D budget against consolidated turnover

Maximum material valorisation

Tonnage of processed waste Tonnage of new raw materials % recycling and valorisation of collected material (recycling, sorting, fermentation, composting, physical-chemical treatment, co-processing, incineration with valorisation) % elimination of collected material (incineration with elimination, landfilling)

Sustainable energy

# kWh production of green energy # households provided with energy by this

2019

2020

27 9

34 7,32

923.415 583.492* 94,21

904.844 507.889 94,62

2021

unit.

41 numb. % 7,59

1.036.426 579.718 95,94

ton ton %

5,79

5,38

4,06

%

41.939.228

35.410.175

45.929.497

kWh

11.983

10.117

13.123 numb.

Source of energy production 33.617.366

26.931.218

39.128.709

kWh

Landfill gas

4.801.253

2.717.878

2.119.505

kWh

Wind energy

3.298.053

5.556.836

4.530.704

kWh

Solar energy

222.556

204.243

150.579

kWh

18.768.368

20.485.487

20.732.877

kWh

70.674

76.136

69.084

aant.

Biomass (biogas, electricity, heat)

64

# kWh electricity consumption # green certificates

5,37

4,92

4,82

lit.

# kWh energy consumption/tonnes of sorted plastics

60

64

62

kWh

# kWh energy consumption/tonnes of produced alternative fuel

81

85

52

kWh

444

339

273

kWh

37

38,97

41

kWh

5,33

5,6

5,65

74,54 25,46

72,65 27,35

72,46 27,54

%

29.544

52.681

45.414

m3

58,27 3

58,27 3

# litres of diesel consumption/tonnes of waste

# kWh energy consumption/tonnes of recycled plastics Average emission standard truck fleet

Reduction of air emissions Closing the water cycle

% tap water % rainwater # m3 purified water (recycling) % paved surface

Increasing soil quality

# soil investigations # bodemonderzoeken

%

% 58.27 numb.

1

About our results

Chapter 4

Measuring points PEOPLE

Attractive employer

% growth collaborators # fixed collaborators # collaborators Per region

100% 75%

0,8 5,8 37,2

Luxemburg France Wallonia

Per age 45,8

> 45

Per language 51

French

56,2

Flanders

25%

42,4

30 - 45

11,8

< 30

e-NPS Severity rate Frequency rate

PROFIT

Sustainable growth

EBITDA Net result Balance sheet total Corrected own capital Solvency ratio Liquidity ratio Non-consolidated turnover Consolidated turnover

PRIDE

Customer loyalty

19,7 80,3

50%

Zero accidents

Per gender

% customer satisfaction NPS score Trustpilot score Customer Effort Score

49

Female Male

219

2020

2021

unit.

7,39 666 770

5,19 714 810

4.62 747 857

numb.

Per type of employment 9,2

Part-time

90,8

Full-time

Dutch

% numb.

Per category 38,6

Drivers

34,2

Employees

27,2

Labourors

1,07 65,78

1,18 55,83

19 0,47 53

23.025 5.081 132.020 54.328 41,15 1,11 172.926 146.413

32.888 11.135 140.387 63.225 45,04 1,15 187.009 160.118

34.059 10.789 150.628 70.477 46.79 1,18 215.686 183.636

keur

84 31 -

84 35 4,5/5 -

86 37 4,5/5 1,79/5

%

Eg Fg

keur keur keur % keur keur

65

Balancing stakeholder and company interests

66

To identify the focal points of our strategy for a sustainable future, we took a six-step approach:

1.

An internal brainstorming session aimed at addressing key questions:

2.

Identification of challenges that are also ‘material’ aspects

3.

Expansion to include a number of external stakeholders

• What added value does Vanheede represent? Where does Vanheede make a difference, whether for itself as a business or for its partners and customers, society, or the environment?

• For which social and other trends and challenges does Vanheede hope to contribute solutions?

Brainstorming provided us with a longlist of relevant topics that we measured against the CSR sector passport for environmental companies compiled by our sector federation, Denuo, as well as sustainability reports issued by colleagues in our sector in Belgium and elsewhere.

These are issues that are important factors in Vanheede’s long-term strategy but also with regard to meeting the expectations of our stakeholders.

To clarify who our stakeholders are, their interests, their impact on our operations and the extent to which they support our organisational goals, we used stakeholder mapping and took account of the following criteria: • what is this stakeholder’s impact/ influence on Vanheede?

• what are this stakeholder’s interests vis-à-vis Vanheede?

Our primary concern was to identify stakeholder interests for a number of internal stakeholders. Some of our partners and managers shared their insights and challenges for the future.

In 2015 we expanded this approach to include a number of external stakeholders. With the help of the CSR think tank, we decided to extend our investigation beyond the international GRI reference framework for sustainability reporting, and also look at how we could contribute to the UN’s Sustainable Development Goals (SDGs). The fresh perspectives that think tank members provided regarding entrepreneurship and the potential opportunities and challenges that lie before us proved to be of real added value.

Shareholders

Shareholders

Board of Directors

Customers Employees

4.

Transition to GRI standards

Government

Customers

In 2016 and 2017 we shifted from GRI G4 directives to GRI standards for our reporting.

Employees Board of Directors Government

About our results

Chapter 4

Sustainability report: approach 5.

In-depth interviews with selected essential stakeholders In 2018, Vanheede’s 50th anniversary seemed like the perfect moment at which to conduct in-depth interviews with selected essential stakeholders to discuss sustainability issues that are relevant for us. We collected their insights in the ‘about tomorrow’ section of our 2017-2018 sustainability report. Apart from this, we submitted the Vanheede sustainability policy to Master of Business Administration and Commercial sciences students at the Brussels campus of KULeuven, who carried out a thorough analysis in the scope of their study subject Corporate Social Responsibility (lecturer: Anouk Van de Meulebroecke).

6.

The big Vanheede stakeholder survey The big Vanheede stakeholder survey In our rapidly changing society, the interests and expectations of our stakeholders are also subject to change. To gain a better understanding of current market dynamics and apply them to our sustainability strategy, we opened up a broad dialogue with our stakeholders in 2020-2021.

Methodology: 1. We compiled a long list of 100 socially relevant questions pertaining to the domain of our work.

2. We conducted an in-company dialogue to identify the 25 most relevant questions pertaining to the waste collection and waste processing sector, and then assessed their importance.

3. We conducted a dialogue with internal and external parties to assess the relevance of the 25 most important themes.

4. We compared our own interests with those of our stakeholders in order to compile a materials matrix.

In 2021, a context analysis and a survey of our stakeholders revealed important new insights. We selected the nine themes that we found most relevant for what we do and why.

Scope and approach This 17th sustainability report covers all activities of the Vanheede Environment Group nv (registered office: Beekstraat 25, 1080 Brussels, Belgium) in Belgium, Luxembourg and France. The report pertains to results in the year 2021 and is prepared according to GRI standards: Core option.

As a family business, Vanheede recognises the importance of reporting annually on its sustainable business practices and results.

Previous sustainability reports are available at www.vanheede.com/en/corporatesustainability/ CEO David Vanheede is a permanent member of the Board of Directors (Vamastine bv), along with commercial director Caroline Vanheede (Vanica bv) and director Claudette Descamps (Imdaca nv). They receive advice from an advisory committee consisting of an external expert, Karel Gielen, and an internal expert, Evelyne Vanheede-Decrans.

67

GRI-standard reference (page)

68

GRI 102 General disclosures 1. Organizational profile 102-1 Name of the organization 102-2 Primary brands, products and/or services 102-3 Location of the organization’s headquarters 102-4 Number of countries where the organization operates 102-5 Ownership and legal form 102-6 Markets served 102-7 Scale of the organization 102-8 Workforce 102-9 Describe the supply chain 102-10 Significant changes during the reporting period regarding the organization and its supply chain 102-11 Describe which way the precautionary principle is applied 102-12 Externally developed CSR charters, principles or other initiatives subscribed by the organization 102-13 Memberships of associations, where the organization exercises functions, provides financial contributions or considers its membership a strategic instrument 2. Strategy 102-14 A statement from the Board of Directors about the relevance of sustainable development for the organization and its strategy 3. Ethics and integrity 102-16 A description of the organization’s values, principles, standards, and norms of behavior 4. Governance 102-18 Governance structure

* www.vanheede.com/en/corporate-sustainability/

Cover, 71 18-21 67 17 71 17 3 65 18-19 20-21, 49 16, 24-25 4-5, 16 *

2

4-15, 24-25

67

GRI-standard reference (page) 5. Stakeholders engagement 102-40 List of relevant stakeholder groups engaged by the organization 102-41 Percentage of employees covered by a collective bargaining agreement 102-42 Basis for identifying and selecting stakeholders with whom to engage 102-43 Approach to stakeholder engagement, including frequency of engagement by type and by stakeholder group 102-44 Most important feedback from stakeholders and how the organization has responded to that 6. Reporting method 102-45 Operational structure, report boundaries 102-46 Explanation of the process for defining the report content and implementation of reporting principles 102-47 List of material topics 102-48 Restatements, if any, of information given in previous reports 102-49 Significant changes in reporting compared to previous reporting periods 102-50 Reporting period 102-51 Date of most recent report 102-52 Reporting cycle 102-53 Contact point for questions regarding the report or its contents 102-54 Reporting in accordance with GRI standards 102-55 GRI content index 102-56 External assurance

19, 66 65 66 45, 54, 66

45, 54

67 4-15, 24-27, 66-67 5 nvt 20-21, 49 67 67 67 67 67 68 16

About our results

Chapter 4

GRI-index GRI-standard reference (page) Material topics Economic Economic performances 103 Management approach 201-1 Direct economic value generated and distributed Environment Material 103 Management approach 301-1 Gebruikte materialen naar gewicht of volume Energy 103 Management approach 302-1 Energy (consumption / production) within the organization 302-1 Energy intensity Water 303-1 Totale wateronttrekking per bron 303-3 Water recycled and reused Biodiversity 103 Management approach Emissions 103 Management approach Effluents and Waste 103 Management approach

60-63 61-63

28-43 64 36 64 64 64 64 38 36-37, 42-43 64

GRI-standard reference (page) Social Employment 103 Management approach 401-1 New employee hires and employee turnover Health and safety 103 Management approach 403-2 Types of injury, occupational diseases, lost days and absenteeism figures, and number of work-related fatalities by region and by gender Training and education 103 Management approach 404-1 Average number of training hours per employee per year Diversity and equal opportunity 103 Management approach 405-1 Diversity of governance bodies and employees Local communities 103 Management approach

45-46 10 47, 55 47

44

57 57 55

69

An ever-growing and diverse HR team for a company in full expansion

70

Edition: VANHEEDE ENVIRONMENT GROUP nv Dullaardstraat 11, 8940 Geluwe www.vanheede.com Responsible editor Kim Delvoye: p.a. Dullaardstraat 11, 8940 Geluwe

Photography Audrey-Laure Verhost, Dirk Devlieger, © Shutterstock

Contact Kim Delvoye, Marketing & Communication Manager You can send your reaction regarding this edition to kim.delvoye@vanheede.com

CSR expertise and counselling © slidingdoors

Special thanks to Audrey-Laure Verhost, Marketing & Communication Assistant

Print Zquadra

Concept and realisation © www.magelaan.be

71

Sustainable waste management: are you ready?

As a pioneer in sustainability, for over 50 years Vanheede Environment Group has been the ideal waste processing partner for businesses committed to social responsibility. We look forward to transforming your waste into materials that are new and useful, and we are always happy to advise you on how your waste streams can be recycled or Tell us about repurposed using your waste, another valorisation method. and we will

transform it!