Supply chain management
There is a growing awareness that our responsibilities extend beyond the front door of our own organisation. In 2005, for example, Nuon decided not to use palm oil as a biomass fuel. However, supply chain management (i.e. measures to ensure that the whole chain 'from the source of the fuel to the power switch' complies with our standards) is still in its infancy.
Purchasing of fuels
Fuels are purchased and traded on the world market, where a lot of intermediate trading also takes place. Nuon buys its coal, for example, in countries such as Australia, South Africa, Canada and Colombia. As well as purchasing for our own power stations, we are also active in coal trading.
We see improving working conditions in coal mines as part of a wider debate about the origins of raw materials. We are in favour of a joint approach by the European energy companies to this issue because, by combining forces, we will have greater impact.
Purchasing contracts
Nuon is working with all its suppliers (more than 7,000 in total) to agree standards and policy on safety and working conditions, human rights, corruption, transparency and the environment. These agreements will cover issues ranging from raw materials and materials used for maintenance to cables, temporary employees, catering and office equipment