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Investor Presentaiton

2016 Braskem | Annual Report 90 ▸ Waste Management G4-EN23 For Braskem, the correct management of all generated waste in its production process is essential, and such action is part of the Safety macro objective of the Company's Sustainable Development Strategy. With this focus in mind, among the actions carried out by the Company in 2016, the following stand out: initiatives toward reductions at the source and optimizing internal procedures, creating economic value by transforming waste into by-products, reverse logistics, and actions toward reuse and composting, among others. During the year, 37,334,108 kg of waste considered hazardous and 18,057,602 kg of non-hazardous waste were generated, both with an increase compared to 2015, mainly due to the specific characteristics of the production process and the impacts of seasonal and non-seasonal events, such as unscheduled shutdowns (which may occur due to a power outage, for example), and scheduled shutdowns for maintenance and improvements in plant efficiency. When evaluated according to Braskem's specific eco-efficiency indicators, which considers the generation of waste per ton produced, this value has been steadily declining over the last 15 years, reaching a total reduction of 63% since 2002. Thus, based on this data, in 2016 the index was in line with the established target (2.16 kg/t), but 7.5% higher than the previous year's performance (2.01 kg/t). Reaching the target represented savings for the Company of nearly BRL 600,000. 28 These results do not include the Braskem Idesa unit in Mexico, since the Complex was still starting operations and in the stabilization phase. Beginning in 2017, the unit's generations will be part of the indicator. 5.78 2002 Regarding waste disposal, the values have remained at the same level over the years, with some changes related to the storage of this waste for later disposal, as well as seasonal generation associated with expected events and not specifically related to production. Destination of generated waste (%) 2012 2013 2014 2015 2016 Potential for reuse 55.3% 57.1% 60.6% Reuse Discarded 29.6% 21.7% 26.8% 29.7% 15.1% 21.1% 12.6% 8.5% 61.8% 56,2% 27,3% 16,5% Allocated waste (thousand kg) Recycling 2012 2013 2014 2015 2016 7,737 19,858 7,930 4,628 7,371 Recovery (including 4,165 3,169 5,424 3,975 7,247 energy) Landfill/ Industrial 14,112 11,152 21,493 2,804 9,146 WASTE GENERATION - kg/t landfill -63% On-site storage 474 187 748 1,859 1,303 Incineration 11,552 17,263 20,408 1,713 8,423 Reuse 245 290 238 739 482 2.30 2.28 2.20 2.01 2.16 Composting Underground waste injection Other* 534 306 662 274 475 1,933 8,568 7,960 0 1,931 2012 2013 2014 2015 2016 TOTAL 4,040 9,650 53,936 70,443 5,000 3,700 17,022 64,868 19,692 53,400 Note: In 2016 Braskem Idesa's (Mexico) generations were not recorded, since the Complex was still starting operations and in the stabilization phase. Beginning in 2017, the unit's generations will be part of the indicator. * Other: autoclave; thermal vacuum treatment to remove mercury, co-processing of waste in rotary clinker kilns for the production of cement, soil decontamination through thermal desorption.
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