Our commitment to improving energy efficiency and reducing greenhouse gas emissions

Our strategy focuses on reducing greenhouse gas emissions and improving energy efficiency; contributing towards public policy development; and investing in zero and low emission technology research, development and deployment. Working with partners is an integral part of our approach. 

By the end of 2006, climate change teams were in place at all operations with the exception of Rio Tinto Aluminium Yarwun.  These teams drive operational improvements onsite, and work to increase knowledge and understanding of climate change and energy efficiency amongst employees. 

We completed energy management audits at Rio Tinto Aluminium Weipa, Rio Tinto Aluminium Bell Bay and New Zealand Aluminium Smelters Limited (NZAS) during 2006 to identify opportunities to  improve the way we use energy. An audit for Boyne Smelters Limited was completed in 2002. The outcomes from these reports will form the basis of future improvement plans.

Throughout the year, we also undertook a number of projects as part of our business improvement programme to save energy usage onsite. For example, in 2006 Rio Tinto Aluminium Weipa identified  opportunities to reduce energy consumption by five per cent. This project is expected to reduce the electrical output of the power station in 2007 and save 2,520 tonnes of carbon dioxide equivalents (CO2-e).

We use energy in the form of fuels, carbon anodes and purchased electricity and measure it in petajoules (PJ=1015 joules) or gigajoules (109 joules). We increased production throughout the year which in turn led to an increase in the amount of energy used. Our efficiency was impacted by process instability at some operations.

Our greenhouse gas emissions also increased in line with production. We measure greenhouse gas emissions in millions of tonnes of CO2-e. Emissions are generated by using fuels onsite, consuming carbon anodes, producing perfluorocarbons, clearing land and generating and purchasing electricity. The majority of emissions were generated by Boyne Smelters Limited in 2006. We include the emissions from the electricity we purchase and the smelter sources electricity from the coal fired Gladstone Power Station.

To deliver our climate change strategy we are looking for innovative opportunities to reduce our emissions and the associated business risk. In 2007, we will build on the success of our partnership with The Carbon Pool Pty Ltd and seek other projects which we can undertake to identify potential offsets. We will also continue to undertake business improvement projects to reduce emissions and improve energy efficiency. With the recent creation of a Chief Technologist position at Rio Tinto Aluminium, from 2007 onwards we will also have a greater focus on developing technology as the cornerstone of our climate
change strategy.

As the profile of climate change grows within our organisation in line with community expectations, we will continue to look for ways that we can contribute towards solving this global challenge.