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ROAD PAVEMENT FORUM FOURTEENTH MEETING – 20 & 21 NOVEMBER 2007 SESSION: TECHNOLOGY IN PRACTICE SESSION SETTING STANDARDS FOR READYMIX AND AGGREGATE SUPPLY. Presented by: Nico Pienaar Director – Aspasa & Sarma. SETTING STANDARDS. Corporate Governance

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ROAD PAVEMENT FORUM

FOURTEENTH MEETING – 20 & 21 NOVEMBER 2007

SESSION: TECHNOLOGY IN PRACTICE SESSION

SETTING STANDARDS FOR READYMIX

AND AGGREGATE SUPPLY

Presented by: Nico Pienaar

Director – Aspasa & Sarma


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SETTING STANDARDS

Corporate Governance

There are some companies that take pride in doing things right.

Corporate Governance is vital to business in South Africa.

High Standards are needed and these include:-

Honesty

Transparency

Integrity

Discipline and

Accountability

King II and the JSE Securities Exchange (SA) Listing requirement are the guidelines.


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ASPASA /SARMA

  • Both Associations contribute to SA industry by subscribing to:-

    “Striving to achieve excellence in ethical and legal conduct throughout the industry”

  • The objectives of the Associations are:

    “To Encourage the sound economic development of the industry”

  • Promote the industry:-

  • Lobby government departments

  • Liaison with other bodies

  • Attend to matters of importance

  • Set standards on - Specifications

    - Safety

    - Improved production

    - Market stats


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ASPASA’S ENVIRONMENTAL POLICY

Aspasa recognises that environmental stewardship of natural

resources serves as the foundation of sustainable development.

Accordingly Aspasa and its members commit their operation to:

  • Optimize the recovery and use of resources

  • Responsible mining and rehabilitation practices

  • Compliance with applicable environmental legislation

  • Provide relevant environmental training and awareness to the employees

  • Integrating environmental management in the day to day management functions

  • Maintain communication channels with authorities, neighbours and other stakeholders

  • Participate in the Aspasa About Face RSA environmental management program.


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ASPASA’S HEALTH AND SAFETY POLICY

ASPASA is fully committed to contribute and co-operate within the quarry

and mining industry in order to provide safety information and systems, to

ensure that no operating condition or situation can ever justify endangering

the life or health of anyone.

ASPASA’S objectives are:

  • Compliance with applicable health and safety legislation

  • Support efforts in improvement to health & safety in the workplace.

  • Promote health and safety training.

  • Assist members in addressing health and safety risks.

  • Maintain communication channels with authorities and affected parties.

  • Participate in the Aspasa health and safety (ISHE) audit program.

  • Integrate health and safety management in the day to day managementfunctions.


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THE STANDARDS

HEALTH AND SAFETY – ASPASA

ASPASA ISHE 18001 – AUDIT

  • Health and Safety program

  • Runs every year

  • Totally new program

  • Focus on prevention of fatalities & injuries

  • Audit looks at risk assessments at quarries, health & welfare of persons, the working environment, etc.

  • The program was originally introduced in 1977 in Gauteng – called the Inland Regional Safety Competition.

  • Program as developed & extensively revised in 1999/2000.

  • In 2006 advanced program was put together to comply to OHSAS & 18001 specifications.

  • Small and big operations are covered and benefit.

  • Includes ISO 14000 and 9000 systems.


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THE STANDARDS

  • Based also on the MHSA

  • Program has:-

    - specific questions

    - measures compliance

    - gives instant results

    - gives an action list to the operation to work from.

    - increases the awareness to members of legislation.

    - raises stand of the industry.

    - addresses issues such as Silicosis & NIHL.

    - is cost effective.

  • Mining industry is under great pressure to attend to health and safety.


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ABOUT FACE RSA - AUDIT

  • This is an environmental audit.

  • Runs every second year.

  • Sets uniform environmental management standards.

  • Mining industry under pressure to act responsible.

  • Aspasa Members are committed.

  • About Face program started in 1993 in South Africa.

  • Great amount of experience has been gained in terms of Environmental standards at quarries.

  • Present program is not only in line with MPRDA, but also in line with ISO standards.


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ABOUT FACE RSA - AUDIT

  • Aspects that are focussed on are:-

    • Environmental Policy

    • Environmental Effects

    • Legal Requirements

    • Training

    • Documentation and control


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NOTE

  • Both above programs are compulsory for Aspasa members.

    - In the past - not compulsory

  • Illegal mining (includes quarries, borrow pits, sand pits) is being focussed on by the DME, Green Scorpions and DEAT.

    3. Often found that guilty parties are big companies in construction industry, municipalities and government departments.


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Who May Join SARMA?

  • Producer Membership

  • Associate Membership

    Producer Members of SARMA shall be bound by the

    following rules:

  • A member will have to be a fully paid up member.

  • A member shall participate in and abide by the rules of SARMA SHREQ Audit Program every year.

  • The rules of the compulsory program as described above will be approved by EXCO.


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SARMA’S SHREQ POLICY

  • Sarma’s vision is to make readymix concrete the construction material of choice;

  • As a service to its members, and indirectly to the public, Sarma promotes and monitors safety, health, road transport, and quality as a fundamental component of the readymix concrete service package;

  • Sarma is committed to maintaining an effective SHREQ program that will monitor membership activities.

  • Sarma’s SHREQ Policy therefore incorporates the issues of:-

  • Monitoring and LOD’s of product quality;

  • Monitoring and control of the accuracy of production equipment


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SARMA’S SHREQ POLICY

  • Monitor and control of all environmental activities and principals;

  • Monitoring and control of all transportation and delivery activities;

  • Monitoring and control of all health and safety activities and principals;

  • The objective is the achievement of member and customer satisfaction consistent with professional standards and ethics, efficiency and effectiveness, in the provision of a value adding service;

  • Sarma SHREQ performance is managed via an independent auditing service that ensures member compliance with the requirements of SANS 878 and other requirements and Sarma will “arbitrate” should there be a problem with quality or related issues.


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Background – Domestic

  • SARMA members produce in the region 80% of the total South African ready mix market.

  • In 2007, SARMA so far audited over 190 plants for Health, Safety and Quality and Transport.


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Some Figures

Metric tons (ready mix)


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SHREQ

Now all in one audit + Road Transport.

  • All SARMA member plants will be audited by an independent auditor. Expecting to audit 210 plants in 2007.

  • Results will be available on the SARMA website as they are audited.

  • All temporary plants – 12 to 18 months projects will be audited.


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Thank you for listening!!

ASPASA / SARMAContact Details:

Tel: +27 11 498-7265

Fax: +27 11 498-7269

E-Mail: npienaar@bullion.org.za

P.O. Box 61809

Marshalltown, 2107

Johannesburg

South Africa

Web: http//www.aspasa.co.za/www.sarma.co.za