Corporate Responsibility Report 2007

Our commitment to reducing our environmental footprint is for the long term - with new targets to improve our resource efficiency and plans to go carbon neutral through investment in renewable energy.

WHERE WE'VE BEEN 1999-2006	KEY ACHIEVEMENTS 2007	FUTURE PRIORITIES
Began measuring energy, water and paper consumption in 2004 Introduced Environment Management System in 2005 First participated in Carbon Disclosure Project in 2004 Set two-year environmental footprint targets in 2005 Developed Sustainable Procurement Policy in 2005	Announced plans to become carbon neutral by 2009 Met or exceeded two-year energy, paper and carbon emissions targets Began construction of our new environmentally friendly office building Member of Climate Disclosure Leaders Index for second consecutive year	Release an updated Environment Charter Meet new environmental footprint targets Expand supply chain assessment framework for top suppliers by 50% Expand reporting on our supply chain to include human rights and OH&S performance measures

Our Environment Charter sets out our approach to assessing and managing the environmental issues in our business from the environmental impact of our operations and products and services to the indirect impact we have through the activities of our clients and suppliers.

This year we reviewed our Environment Charter to ensure it remains relevant to the current environmental challenges facing society and our business.

Feedback internally and externally was that the Charter could be more distinctive to ANZ's approach and specific about what we see as the most important environmental issues facing our business.

Our impact on the environment is largely indirect, and our public commitments should focus on ensuring we make responsible business decisions and assist clients and suppliers to improve their response to environmental issues. We are also taking an innovative approach to becoming carbon neutral by investing in renewable energy sources. The commitments in our Charter should reflect these priorities.

We were encouraged to include our environmental footprint targets in the Charter, to make the commitments more meaningful and measurable. Stakeholders also saw the value in making a senior ANZ executive publicly accountable for the delivery of results, to show we are genuine and maintain momentum internally.

Finally, we were reminded of the importance of our people in achieving our environmental objectives. Committed staff can help us reduce our environmental impact and are our most valuable public advocates. It is therefore vital for them to understand the issues that apply to ANZ, and how we are responding to them.

This year we developed an online training course for staff outlining our public targets to reduce our footprint and how they can help and collaborated with WWF Australia to launch an intranet site containing news and views on environmental issues facing ANZ. So far over 1,000 ANZ employees have signed up to receive a regular e-bulletin containing news and views about environmental issues.

We will release a revised Environment Charter by early 2008, incorporating this and other feedback we have received during the review.

ENVIRONMENTAL RESULTS FOR 2007
ASPECT	AUSTRALIA		NZ
	2007	CHANGE 06-07	2007	CHANGE 06-07
Electricity (MWh per FTE)	6.89	-1.5%	5.59	-1.9%
Paper consumption (tonnes) per FTE	0.20	19.3%	0.17	-2.9%
Water consumed (kL) per FTE	14.43	-6.9%	Not measured	Not measured
Greenhouse gas emissions (tonnes co2-e) per FTE*	8.58	-8.5%	1.39	0%