Continuous improvement is driven through Orica's Challenge 2010 SH&E objectives and milestones, which were released in 2004. Challenge 2010 was designed to drive our performance towards achieving our SH&E Policy vision of no injuries to anyone, ever, and to value people and the environment. Challenge 2010 also supports and drives our performance towards achieving our sustainability vision of no harm to people and the environment.

Read our Challenge 2010 SH&E objectives and milestones document for more information.

Our SH&E Management System states that "SH&E objectives and targets, consistent with the Company's SH&E Policy, shall be developed and periodically reviewed for each relevant function and level within the organisation. The development and review of SH&E objectives and targets shall consider:

• Legal and other applicable requirements;
• The Company's significant SH&E hazards and environmental aspects;
• Recent audit findings and incidents;
• Technological options for improvement;
• Financial, operational and business requirements; and
• The views of interested parties."

Orica sites communicate their performance against the Challenge 2010 objectives and milestones on a monthly basis. This information is aggregated centrally and available to all sites on the Company intranet.

Below is a summary of our progress against our Challenge 2010 targets for:

• Safety and Health;
• Community Safety; and
• Environment (also known as Resource and Operational Sustainability).

Target exceeded or ahead of schedule	Target achieved or on track	Target behind schedule

Safety and Health Elements	Challenge 2010 Target	2009 Status	2009 Performance
No worker fatalities	All worker fatalities: 0		4 fatalities reported during 2009
Reduce the recordable injury and illness case rate by >40%	All worker recordable injury and illness case rate: <0.4 (per 200,000 hours)		Our overall recordable case rate reduced to 0.69 in 2009, compared to 0.72 in 2008
Sustained compliance with our health assessment and occupational hygiene programmes	Health assessments completed against plan: >99 per cent		96.8 per cent of health assessments were completed in 2009, compared to 98.2 per cent in 2008
	Hygiene tests completed against plan: >99 per cent		93.1 per cent of hygiene tests were completed in 2009, compared to 95.4 per cent in 2008
	Hygiene tests below the Occupational Exposure Limit (OEL): >99 per cent		98.2 per cent of hygiene tests were below OEL in 2009, compared to 98.1 per cent in 2008

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Community Safety Elements	Challenge 2010 Target	2009 Status	2009 Performance
No distribution incident fatalities	Distribution incident fatalities: 0 (contractor drivers or members of public)		5 distribution incident fatalities in 2009, compared to 7 in 2008
Reduce the number of serious site losses of containment	Number of site losses of containment (Category 2 or higher): <4		3 site losses of containment in 2009, compared to 5 in 2008
Reduce the number of serious distribution incidents involving our products	Number of distribution incidents (Category 2 or higher): <12		43 distribution incidents in 2009, compared to 24 in 2008
No environmental licence non-compliances	Number of environmental licence non-compliances: 0		33 environmental licence non-compliances in 2009, compared to 18 in 2008

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Environment Elements	Challenge 2010 Target	2009 Status	2009 Performance
Energy consumption	Reduction in energy consumption per tonne of production: >15 per cent		12.7 per cent reduction from the 2004 baseline, compared to a 10.9 per cent reduction last year
Greenhouse gas emissions	Reduction in emissions of total carbon dioxide equivalent gases per tonne of production: >35 per cent comprising:		37.2 per cent reduction from the 2004 baseline, compared to a 21.6 per cent reduction last year
	Reduction in emissions of carbon dioxide only per tonne of production: >15 per cent		27.3 per cent reduction from the 2004 baseline, compared to a 20.2 per cent reduction last year
	Reduction in emissions of nitrous  oxide per tonne of production: >50 per cent		41.7 per cent reduction from the 2004 baseline, compared to a 22.0 per cent reduction last year
Water consumption	Reduction in water consumption per tonne of production: >15 per cent		32.2 per cent reduction from the 2004 baseline, compared to a 26.9 per cent reduction last year
Waste generation	Reduction in waste generation per tonne of production: >50 per cent		60.9 per cent reduction from the 2004 baseline, compared to a 55.0 per cent reduction last year

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