Climate Change Policy

Rio Tinto recognises that addressing the climate change challenge will require significant research and development (R&D), capital investments and behaviour changes in global energy, transport, land management, industrial, community and infrastructure systems. By further developing and deploying low emissions aluminium production, Rio Tinto is actively contributing to the climate change solution and managing its business to enhance long term shareholder value.

Rio Tinto acknowledges that activities of people and companies are causing an increase in greenhouse gases (GHG); which is, in turn, altering the earth’s climate. This has made climate change one of the most pressing challenges of our time.

Committed to addressing climate changeThe aluminium industry generates approximately one per cent of global GHG emissions in the integrated production of aluminium products. Aluminium also reduces GHG emissions through its properties as one of the world’s lightest, strongest and most recyclable materials.

As the global leader in the aluminium industry, we at Rio Tinto Alcan are committed to working with employees and stakeholders to promote greater energy efficiency and reduce GHG emissions. We are doing this through the development and sale of the industry’s cleanest production technology and by working with our customers to promote aluminium applications as a means to reduce emissions.

Our climate change vision

At Rio Tinto Alcan, we strive to maintain our position as the industry leader by strengthening our competitive advantage with respect to climate change.

We are making this vision a reality by:

• Developing innovative, climate-friendly technologies, processes and products that increase energy efficiency and reduce emissions – not only our own, but those of our customers

• Engaging with our employees, governments and other stakeholders to promote credible and responsible solutions

• Promoting aluminium as a material of choice

Our commitmentsAt Rio Tinto Alcan, we will address climate change issues through:

Rigorous GHG emissions management• By identifying and tracking key GHG metrics

• By continuing to improve our energy and GHG efficiencies

• By prioritising low emissions energy sources for our existing and future operations

• By continuing to integrate emissions as a key business driver into our project evaluation and R&D processes

Innovative approaches with our stakeholders• By working with energy providers and stakeholders to

reduce our indirect emissions and pursuing new carbon offset opportunities

• By working to design the lowest emissions intensity refineries and smelters for the future

• By working with governments, non-governmental organisations and concerned international bodies to further our understanding of the climate change challenge and promote responsible GHG reduction policies

• By working with our customers to further the use of aluminium as a material of choice

Engagement with our employees and communities• By engaging with our employees to reduce their carbon

footprint both at home and at work

• By communicating Rio Tinto Alcan’s commitments and actions

Our beliefsAt Rio Tinto Alcan, we believe that:

• Climate change solutions must ultimately be global and involve all major emitters

• Cross-government action is essential to ensuring a successful approach

• The development and use of best performing technology is a key part of the solution

• Innovative thinking and partnerships are needed to accelerate progress

• Absolute reductions are the ultimate objective and that, for the aluminium industry, intensity reductions are an effective means of achieving this goal

• Well-structured emissions trading protocols provide useful market signals to emission reduction efforts

• Recognition of early action can encourage further progress

• Aluminium, with its significant recycling and life cycle benefits, is a meaningful part of the solution

Richard B. Evans, chief executive, Rio Tinto Alcan September 2008