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Our Sustainability:

OUR ENVIRONMENT

Environmental Health and Safety ("EHS")

AfroCentric formally reviewed its goals in terms of employee safety as well as the environment, which led to the official rebranding of its health and safety logo, now incorporating its environmental strategy.

The role that environmental sustainability plays in positioning the AfroCentric Group to deliver efficient and affordable healthcare is key to the organisation, hence the integration of the word “environment” into its strategy and policy. South Africa announced in October 2011 in the National Climate Change Response White Paper, that SA companies emitting more than 100 000 tons of CO2e per year will be expected to submit mandatory GHG reports to the Department of the Environment. These levels of emissions may be adjusted downwards as it is significantly higher than that of most other countries. The next area of impact is the potential financial impact on business. South Africa announced that it will implement a carbon tax in 2015; this will in effect move GHG emissions from the arena of social responsibility into one that will have a direct financial impact on business.

AfroCentric is proud to report that it concluded its first Greenhouse gas inventory for the Group and that it is recognising the importance of climate change to creating sustainable healthcare. This corporate inventory will assist AfroCentric to consider climate change in its internal business decisions and adopt a low-carbon growth strategy, necessitated to ensure the realisation of its vision.

Comparison of AfroCentric’s F2012/2013 and F2013/2014 largest contributors per scope

Scope 1: Direct GHG emissions occur from GHG sources that are owned such as the emissions from the combustion of diesel and generators, for backup power.

Scope 2: Energy indirect GHG emissions are from the use of electricity which was generated in power stations.

Scope 3: Other indirect GHG emissions as a result of a combination of employee commuting, business air travel and waste. From the GHG inventory calculation it is apparent that emissions from electricity consumption (scope 2) is by far the largest emissions source and therefore also offers the greatest mitigation potential. For this very reason, AfroCentric has significantly invested in two of its major branches, namely Cape Town and Florida, and had state-of-the-art air-conditioner management systems installed. The most recent installation is currently in test phase in Cape Town and promises to yield significant returns, similar to what AfroCentric experienced in Florida (electricity savings to the value of more than R1 million over the period).

For the second consecutive year, AHL delivered an excellent safety performance for the period and managed to reduce its TRIR to 1.8 compared to 3.45 for the same period in 2012. Lost day cases reduced by 66% and medically treatable cases by 30%. New initiatives included the finalisation and implementation of a new induction programme and video for employees, visitors and contractors which takes on-site risk management and awareness to a new level. The significant reduction in the organisation's TRIR performance supports its strategy of continuous awareness and drive, in terms of its very comprehensive and unique EHS policy. The organisation is also very fortunate to have a dedicated EHS specialist on board that drives compliance on a national basis and recently qualified as an OSHAS 18001 International Lead Auditor, one of very few in the country.

Recycling

A third fully fledged recycling facility was added to AfroCentric’s recycling portfolio during this period and a fourth is in process of being opened at its Durban Branch. The initiative increased monitored recycled waste by 42% or 41 tons for the period.

Facilities

AfroCentric is well-positioned for growth in terms of its facilities (19 branches) and national footprint and currently occupies 45 000 square metres of space. Its flexible and well-managed Facilities Department has executed numerous complex projects whilst maintaining its responsibility to the environment and all associated stakeholders.

One such project was the revamp of an entire new office park in 2014, in order to consolidate 650 employees into one location. This was done to create more efficiency and to ensure only the best in terms of service delivery to our clients. The multi-million rand project was executed timeously and with great quality.

AfroCentric in recent times relocated and upgraded no less than five of its outlying walk-in branches. The new and improved locations/investments will ensure a renewed customer-centric experience for our multi-schemed organisation and clients, and promises to be the best in the market. Child-friendly play areas have been added into the standard scope of branches.