ADS Biodiversity Policy

Purpose 

Advanced Drainage Systems, Inc. ("ADS” or the “Company”) is committed to sustaining biodiversity by progressing and safeguarding nature’s diverse range of species, ecosystems, and genetic diversity through efforts that help maintain the natural balance of the planet's living systems. 

ADS recognizes human activities have directly caused ecological degradation and a significant decrease in biological diversity, resulting in negative environmental, economic, and social consequences that require amelioration and can be diminished through collective and conscious effort.  

The purpose of this policy is to serve as a comprehensive outline for implementing the conservation and advancement of biodiversity into ADS’ operations. All direct and indirect stakeholders of ADS may use this policy as a reference guide or to gain insight on how ADS is actively promoting biodiversity. The goal of this policy is to contribute to ADS’ sustainable business approach without compromising the entirety of ecosystems and organisms that are or may be affected by ADS operations.  

Already an established leader in the recycling industry, ADS has taken measures to expand its commitment to sustainability in additional areas. ADS is a signatory to the United Nations Global Compact and thus adheres to the seventeen Sustainable Development Goals (SDG) outlined by the United Nations (UN) when applicable. The objectives outlined in this policy are aligned with several SDGs1. 

Additionally, in fiscal 2022, ADS established 10-year goals to guide its efforts towards sustainability and social responsibility. These goals advance ADS’ commitment to sustainable growth and business practices by increasing transparency, reducing environmental impact, and implementing responsible operation management practices. Overall, complying with the UNs 17 SDGs and progressing toward our 10-year goals will help ADS advance its positive impact towards biodiversity.  

Scope 

This policy applies to all facilities and entities that are wholly owned or operated by ADS, including joint ventures where ADS is the controlling partner or owns more than 50% of the venture.  

The objectives outlined in this policy shall be upheld by all ADS employees, officers, and directors of ADS and its controlled affiliates worldwide. Additionally, individuals or entities who conduct business on behalf of an ADS or one of its affiliates, such as agents, consultants, and business partners, are also accountable for complying with this policy.  

 Objectives of Policy 

The following objectives are being implemented by ADS to uphold its commitment to preserve biodiversity. These objectives apply to all owned and operated facilities.  

1. Make business decisions that are responsible, well-informed, and avoid negative impacts to biodiversity.  

2. Encourage equitable and effective participation and communication from local communities.  

3. Adhere to Global Reporting Initiative (GRI) and UN Convention on Biological Diversity – Conference of the Parties (COP) biodiversity standards. 

4. Although ADS do not extract natural resources, ensure end of life waste management is thorough to avoid impacting surrounding biodiversity. 

5. Monitor and mitigate impacts on native species.  

6. Manage and offset negative impacts left in the environment. 

7. Conserve water consumption in areas of water scarcity.  

8. Avoid negative impacts on protected areas to preserve the cultural, biological, and ecological value in the area. 

9. On a set frequency, assess the impacts of ADS activity on natural capital, including wildlife, flora, and fauna.  

10. Avoid activity on areas of high biodiversity values as defined in the National Biodiversity Strategies and Action Plans (NBSAPs) prepared under the United Nations Convention on Biological Diversity.  

11. Uphold commitment to recycling and promoting the circular economy.  

12. Safeguard the availability and quality of freshwater resources and ecosystems. 

High Risk Summary  

ADS recognizes the risks that manufacturers pose on biodiversity. ADS operates in water scarce areas, areas threatened by forest canopy and habitat loss, and extreme weather events. ADS also recognizes the risks that climate change and decreasing global biodiversity poses on ADS’s operations and manufacturing processes, including extreme weather events, extreme heat, water quality issues, and more. ADS will uphold the referenced objectives and safe biodiversity practices to limit the negative impact ADS has on biodiversity and mitigate the negative impacts of global climate change and threatened biodiversity has on ADS’s operations.  

Definitions 

ADS:  

Advanced Drainage Systems Inc. is the leading manufacturer if innovative stormwater and onsite septic solutions.  

United Nations Global Compact: 

A voluntary initiative launched by the United Nations to encourage businesses and organizations to adopt sustainable and socially responsible policies and practices. The Global Compact is based on ten principles in the areas of human rights, labor, environment, and anti-corruption. 

Biodiversity:  

Biodiversity is the variety of organisms around Earth’s natural environment.  

Conference of the Parties (COP):  

A conference made up of global governments and organizations that come together and respond to global issues and needs. https://unfccc.int/process/bodies/supreme-bodies/conference-of-the-parties-cop  

Global Reporting Initiative (GRI):  

An international reporting system that assists businesses, governments, and organizations in analyzing and communicating their impact on environmental issues such as climate change and greenhouse gas emissions. https://www.globalreporting.org/  

Natural Capital:  

The world’s culmination of natural assets such as geology, soil, organisms, air, and water. This natural capital makes up Earth’s ecosystem services.