"No Environment, No Paper"
Adhering to the belief of "no environment, no paper", the Group has persistently applied concepts of environmental protection and recycling on various aspects including production technologies and ancillary facilities, in order to embed the concept of environmental protection in the minds of its employees as well as its products.

Win-Win Environment Friendly Policy
Through the execution of its environmental protection systems, the Group has not only saved precious resources and achieved higher operational efficiency, but also significantly reduced the operational risk of non-compliance with environmental laws and regulations, which indeed fosters a win-win situation for the Group and the environment.

Environmental Awards and Certifications
The Group has obtained relevant permits for the disposal of solid waste and the discharge of wastewater and gaseous emission. In recent years, to tighten the monitoring on enterprises, the Environmental Protection Bureau has conducted impromptu inspections in addition to regular visits to ensure that paper manufacturers are in compliance with relevant requirements. The Group has never been charged for material violation of any environmental laws or regulations, or subject to any fine in respect thereof.

During the Year, the Group has successfully passed the energy saving assessment by the Economic and Trade Commission of Guangdong Province and attained a series of energy saving targets. The Taicang base has also passed the annual inspection by the State Ministry of Environmental Protection and has been granted an award under the environmental project fund of the Jiangsu provincial government. Furthermore, the Group's production bases have been granted the honours of Environmental Creditable Enterprise by the Guangdong Environmental Protection Bureau and Taicang Environmental Protection Bureau respectively. The Group's production bases have obtained ISO14001 environmental management certification.

"Energy Conservation and Consumption Reduction" Production Process
The Group has strived to reduce water and electricity consumption and exercised control over the sources of pollutants. As such, we have persisted in the principle of energy conservation from the procurement of paper machines to the choice of lighting facilities for the production plant. Currently, the wastewater produced during the operation of the paper machines can be fully recycled after treatment.

Advanced Wastewater Treatment Facilities
The Group has introduced the anaerobic aerobic two-stage biological treatment, currently the world's most advanced wastewater treatment technology, resulting in water discharge performance exceeding relevant national and local standards. We have also adopted the state-of-the-art automatic programmable logic controller (PLC) systems with an online monitoring system to monitor our wastewater discharge for centralised management. We have adopted additional treatment process for our newly-constructed wastewater treatment facilities which will further reduce the water pollutants through the addition of water purification agents.

		PRC Government approved	ND Paper	Parameter before treatment				Parameter after treatment
Projects	Unit	level	Standards	2006	2007	2008	2009	2006	2007	2008	2009
CODCR	mg/l	≤100	80	2,500	2,500	3,000	3,000	<100	80	80	80
BOD5	mg/l	≤20	20	1,000	1,000	1,300	1,300	<20	10	10	10
SS	mg/l	≤70	30	2,000	2,000	2,800	2,800	<70	28	28	28
PH		6~9	6~9	6~9	6~9	6~9	6~9	6~9	6~9	6~9	6~9

Emission Control
Use of low-grade fuels
The Group has a circulation fluidised bed solid waste incinerator which can effectively use a wide range of low grade fuels, including waste paper pulp, light slag and sewage from the wastewater treatment station. The system is effective and environment friendly with its low emission. The use of low-grade fuels not only greatly reduces waste discharge but also reduces coal consumption and the emission of carbon dioxide.

Methane collection and treatment system
Since 2008, the Group has conducted the technology upgrade for its methane collection and treatment system featuring the addition of a methane desulphurisation unit. With this unit, processed methane will be transmitted to the heat and electricity boiler system as fuel for power generation and an annual reduction of 30,000 tonnes in coal consumption can be achieved after commissioning. The use of methane (mainly methane gas) as resources will contribute to the reduction of greenhouse effect. In addition, the coal-fired power plants in all of our production bases are equipped with particle removal and desulphurisation equipment, and their emission levels are far better than the approved level under the applicable PRC regulatory requirements.

Environment friendly coal storage dome
The Group, being the first among its peers, introduced a fully-automatic and enclosed coal storage dome in its Dongguan and Chongqing production bases. The unique environment friendly design can reduce the amount of dust produced during loading, transportation and storage of coal and improve the working environment.

		PRC Government approved	ND Paper	Parameter before treatment				Parameter after treatment
Projects	Unit	level	Standards	2006	2007	2008	2009	2006	2007	2008	2009
SO2	mg/m3	≤400	100	2,360	2,520	2,800	2,700	<55	60	80	80
Dust	mg/m3	≤50	50	24,600	25,400	25,400	25,400	<29	30	30	30
NOx	mg/m3	≤450	450	-	-	-	-	<356	339	333	330

Solid Wastes Disposal
The Group processes all wastes from paper making with its proprietary environment friendly incinerators. The incinerators apply advanced emission control devices, fabric-bag filters for dust removal and half-dry desulphurization facilities. Monitoring devices are installed for real-time monitoring.

In addition, to enhance our overall utilisation of solid waste, we also incinerate all solid waste for steam production and thereby reduce coal consumption utilising the frame membrane filter drying treatment technique on the sludge produced in sewage treatment after a year's research and development.

Noise Control
All of our paper machines comply with the strict international standards currently enforced in America and Europe for noise control. We have installed noise-insulating enclosures and mufflers to equipment that produces heavy noises, such as double-disc refiners and air compressors. Noise-insulated control rooms are set up in the paper-making plants to prevent staff from working long hours under high noise levels.

Personal noise protection devices are provided. Staff are required to wear personal noise protection devices like earplugs during inspection around the plant.

Human Resource Management
ND Paper is committed to the "people-oriented" management philosophy for its human resource development strategy, providing suitable career development prospects according to the job duties and working experiences of the staff.

Training and Development for Staff
In order to attract and develop potential postgraduates and undergraduates, the Group implements a "management trainee" programme, which aims at enhancing the professional and management skills of selected management trainees through job placements and hands-on professional trainings in various positions and production bases.

In addition, the Group has established an effective mentorship system for new staff which covers corporate culture, job-specific skills and operational safety rules.

The Group formulates career development plans and provides ongoing training opportunities for staff with potentials. MBA and EMBA courses for senior management have been launched in association with the renowned Zhongshan University. Outstanding technical are chosen to receive advanced technical training abroad.

In respect of continuing training, we have in place both management and technical trainings for our staff. These programmes provide strong support and assistance for staff's career development.

Fair Assessment System
The Group has set up a comprehensive promotion and performance assessment system to provide sustainable development opportunities for its staff.

Caring our Staff's Physical and Mental Health

The Group seeks to enhance staff's satisfaction and loyalty to ND Paper through continual improvement to the working environment and living conditions and providing more interactive communications channels. With continuous effort in improving the staff residences, the Group has introduced numerous welfare facilities and organized a variety of cultural and recreational activities so as to provide its staff with some refreshing and relaxing moments after work. The Group attaches great importance to staff communications and interaction. Through regular meetings with new staff and setting up the staff hotline, the Group has established effective channels to interact with staff.

In addition, the Company provides regular body checks to its staff to ensure their health.

The Group has also published our corporate newsletter "The Nine Dragon Community" (《玖龍員工》) which disseminates corporate information regularly and enhance staff's loyalty to ND Paper. Besides, staff communication sessions are being conducted by the staff union on a regular basis to allow staff to voice their opinions and allow the Group to devise effective solutions and improvements, maintaining harmonious relations with its staff.

Remuneration and Benefits
The Company offers competitive remuneration packages and performance-based discretionary bonuses, which are determined by performances at the corporate, team and individual levels, as well as the job duties of individual employees. The Group conducts regular review and revision on staff remuneration in accordance with its remuneration policy to maintain ND Paper's competitiveness in the recruitment market.

Contributions to Society and Fulfilment of Social Responsibilities
Besides actively developing its business, ND Paper also devotes to different kinds of community activities. During the Year, the Group donated RMB10.00 million for earthquake disaster relief in Yushu, Qinghai Province to fulfill its support to the community. In addition, the Group participated in the first "fundraising day for the underprivileged" in Guangdong and committed to donate RMB10.20 million. The Group has also contributed to the society by making donations to local charity groups.

In order to help the out-of-school teenagers in poor regions, the Group fully subsidises about 100 high school dropped-out students in poor regions across the country every year to study at the prestigious academic institutions in China and hires them to relevant positions upon graduation. Such scheme can help to improve the living conditions of those out-of-school teenagers in the long run and also train up talents for ND Paper. The scheme has been organised for over 7 years and over 400 participants have joined ND Paper.