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A viable society. A need. An idea. 36,000 professionals. Energy. Cooperation. Materials. Determination. Pushing boundaries. Respect. Nature. Courage. 100 years. Thinking ahead.

REG.NO. UK- 000085

Hydro Polymers

Public Environment Statement 2006

Reporting on 2005 performance Hydro Polymers Newton Aycliffe United Kingdom


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Contents

03 Introduction 04 Environmental Policy 05 Environmental Programme 06 Who are we? Company history > What is on our site? > Schools Initiatives 08 PVC Products What do we make? 10 Operating Standards Performance > Training of Employees > Legislation > Emergency Procedures > Local Community 16 Significant Environmental Aspects Emissions to Air > Emissions to Water > Waste > Land Protection > Water Usage > Energy Usage > Noise > External Complaints > Transport 34 Environmental Management System Aycliffe Community Survey > Awards > Prosecutions 37 Independant Verification 38 Glossary of Terms


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Introduction Hydro Polymers at Newton Aycliffe in the United Kingdom has an environmental management system and its environmental performance is reported on to the public in accordance with the European Community Eco-Management and Audit Scheme.

This is a public statement prepared as part of Hydro Polymers Limited's (HPL) continuing participation in the Eco-Management and Audit Scheme (EMAS).

It is our intention to continue to publish statements of HPL’s environmental performance on an annual basis, with the next statement being published by the end of April 2007.

The aim of this statement is to provide concise information regarding the details of the environmental aspects associated with the activities of HPL in a manner that is understandable to the public and in accordance with the European Community Eco-Management and Audit Scheme. This requires that the statement has been validated by an independent and accredited verifier, as detailed on page 37. We trust that you find this Environmental Statement informative and welcome hearing all views you may have of our operations or indeed this statement. If you would like to visit the site, HPL welcomes visitors and arrangements can be made by contacting our Communications Manager at the address shown on the back of this publication.

Dr Bill Wood, Site Director.


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Hydro Polymers Ltd Environmental Policy

Hydro Polymers Limited is committed to the prevention of pollution, to the continual improvement in environmental management and performance and to maintaining acceptance of all of our operations and activities by our trading partners, employees and the local community. We shall achieve this by the implementation of an environmental management system which will include:

> Applying sound environmental practices in all our operations and activities. > Employing best available and economic techniques for the measurement and control of emissions and wastes and for the optimal use of resources. > Maintaining all necessary authorisations and approvals from the authorities. > Setting and reviewing environmental objectives and targets.

> Training employees to ensure that they are fully competent to control the activities for which they are responsible. > Promoting this Environment Policy to trading partners, and seeking their active participation in achieving its objectives. > Initiating and supporting educational programmes which will enhance environmental understanding of the chemical industry and its products.

> Making information on our environmental performance publicly available, anticipating and responding to concerns regarding our activities, and encouraging dialogue with all interested parties.

Dr Bill Wood, Site Director Hydro Polymers Limited


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Environmental Programme

The important programmes in 2005 were: 1. Complete Resins IPPC applications. Achieved. 2. Reduce Primary Specific Energy from 4.2 GJ/tonne to 4.11 GJ/tonne. Not achieved due to lower production output than planned and outage of a CHP unit at the beginning of the year. The target was based relative to a higher annual production output than we actually achieved. The target value adjusted for actual production output would have been 4.49 GJ/tonne and

thereby would have been achieved. 3. Reduce site-specific waste from 2.96 to 2.7 kg/tonne. Achieved - target exceeded. 4. Reduce fugitive VCM emissions. Achieved. 5. Complete development of the methodology for reporting on VCM fenceline monitoring. Ongoing. 6. Hold gains for the remaining significant aspects. Achieved in part

The Important programmes for 2006 include:

4. Reduce compounds scrap levels from manufacturing to 0.58%.

1. Submit Resins IPPC application.

5. Reduce fugitive VCM emissions.

2. Reduce Primary Specific Energy to 4.11 GT/Tonne of PVC (based on 395KT output).

6. Reduce specific water use and hence minimize effluent volume.

3. Continue to reduce site-specific waste by 5% per year.

7. Hold the gains for the remaining significant aspects.


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Who are we?

Hydro Polymers Ltd (HPL) is part of the Hydro Polymers Sector of Norsk Hydro a.s.a, Norway's second largest publicly quoted company and amongst the top 100 in Europe. Hydro, whose ownership is shared between the Norwegian government, company employees and the public, is a major producer of oil and gas, aluminium, PVC and caustic soda.

The Polymers Sector has production sites in Norway, Sweden and the UK that are all EMAS accredited. In the UK, Hydro Polymers has its plant at Newton Aycliffe, near Darlington, Co. Durham, and has been in operation since the establishment of Newton Aycliffe Industrial Park in the 1940s. In 2005 Hydro celebrated its one-hundredth birthday. Hydro acquired the Aycliffe site in 1982 and has progressively restructured and developed its operations so that HPL is now a leader in the manufacture of PVC. The site now employs approximately 400 full-time employees, many of whom are residents of the Newton Aycliffe and nearby Darlington areas. The site generated operating revenue of approximately ÂŁ 179 million in 2005.


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What’s on our site? The main activities at the Newton Aycliffe site include:

> Manufacture of a range of PVC resins for both extrusion and injection moulding processes > Manufacture of a large range of PVC compounds > Engineering; including chemical, process electrical and mechanical > Skilled Maintenance; including a comprehensive, documented planned and preventative system covering all aspects of plant operations > Storage of raw materials and finished products > Logistics; including sourcing of raw materials, planning of manufacture and customer supply > Energy; through the generation of steam and electricity from oil and gas. > Total Quality Management throughout the company > Commercial, financial and administrative support > Information Technology > Development & Technical Support

The site occupies c.160 acres of land. Approximately one third of this land comprises industrial activities, one third is devoted to leisure activities (including a fishing lake and nine hole golf course) and the remaining third comprises woodland and scrub areas. Within this area, HPL is maintaining wildlife through the implementation of a biodiversity management plan. Schools Initiatives During 2005, in addition to the now annual visit by chemistry teachers from across the UK organised by the Royal Society of Chemists, HPL continued a programme of visits from local schools developed in conjunction with the Chemicals Industry Education Initiative, with a visit structure designed to fit in with National Curriculum key stage science work. Children from St Bernadettes, St Patricks, North Road Primary, St Thomas Moores, Heighington Primary and Skerne Park Primary all enjoyed the highly interactive new visit format developed during 2004. Outside the plant, HPL donated ‘bat boxes’ to Greenfield Community Arts biodiversity project and, at a more senior level, hosted visits from St Leonards Roman Catholic school, Woodham Technical College and a group of Round Table members.

As part of an exciting 60th anniversary of VE Day project, with funding from a National Lottery ‘Home front’ grant, HPL worked in partnership with Greenfield Community Arts Centre to stage an open day at the site attended by over 80 former ‘Aycliffe Angels’ (the female munitions workers who worked in the ammunition factory that occupied HPL’s site during the second world war) and their families. The day proved a huge success, gaining extensive media coverage throughout the region. Students from Greenfield have gone on to produce a DVD remembering and celebrating the work of ‘The Aycliffe Angels’, which will form part of a key stage history unit for primary schools throughout the area. Towards the end of 2005, HPL Aycliffe even hosted a visit from Norwegian students from the International School in Porsgrunn. They were visiting the region to play in an international schools football tournament and were interested to view the plant. Their interest being that the raw materials used at HPL are produced in a petrochemical plant from their own home town in Norway.


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PVC Products

HPL carries out two main operations on site; one producing polyvinyl chloride (PVC) resin, the other producing PVC compounds. HPL is one of two UK companies producing PVC. The company's operations in the PVC supply chain are detailed opposite.


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PVC Products

PVC Resin PVC resin (or polymer) is a white, fairly inert powder produced by a process known as suspension polymerisation. The main starting ingredient is vinyl chloride monomer (VCM) which is a liquefied gas produced from 43% ethylene (derived from oil/gas) and 57% chlorine (derived from salt). VCM is manufactured in Norway and transported by ship to Teesport, and then, by road tanker to Newton Aycliffe. VCM is polymerised into PVC in a pressurised autoclave containing water. During this process, VCM molecules are joined together in long chains and the liquefied gas is transformed into solid

material (PVC resin). The resin is then dried, sieved and packaged. About one third of this resin is used on site to make PVC compounds and the remainder is sold to customers for conversion into PVC products. PVC Compounds PVC resin is mixed with other ingredients and processed under temperature and pressure by a compounding operation to make an intermediate product known as PVC compound, this can be in the form of granules or small dice. There are no chemical reactions involved in compounding. By using a diverse range of additives, PVC

can be made tough and rigid, or soft and flexible. It can be transparent or opaque, white, black or coloured. HPL's finished products are sold as either powders or pellets to industrial customers. These granules or powder blends are then processed by our customers into numerous useful applications that can be found in many household, medical, commercial and industrial products. These are as diverse as pipes, ducting, window frames, wire and cable insulation, blood tubing and blood bags, containers, automotive components and domestic and business equipment parts.

Recycled PVC Hydro Polymers produces recycled PVC compound under the trade name of EcoVin®. This compound has been manufactured from industrial PVC waste that would otherwise have gone to landfill. This is part of Hydro Polymers’ wider sustainable development strategy. During 2005 Hydro Polymers processed nearly 1037 tonnes of EcoVin®.

Chlorine

Additives Polymerisation Aids

EDC

VCM

PVC

PVC compound

Melt Processing & Fabrication PVC products in use

Disposal Options

Ethylene Mechanical Recycling HPL Operations in the PVC Supply Chain


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Operating Standards

Since 2000 the overall level of production (resins and compounds) has increased by around 7%. There have been some variations between the ratio of resin and compound volumes (See Figure 1 for details).


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Operating Standards

Training of Employees The training and development of HPL staff is a major factor in the control of environmental affairs. HPL employs full time training personnel to ensure that all employees have the skills to perform their functions. The company has been accredited to the Investors in People (IIP) Standard since 1992, a recognition of the excellence of our training systems. During 2004 HPL was re-accredited to the new IIP Standard. Specific environmental awareness training is given to new employees, or in the case of the introduction of new processes, to existing employees, in order to conform to the requirements of the internationally recognised Environmental Management Standard, ISO 14001 and our Integrated Pollution Control (IPC) and Integrated Pollution Prevention Control (IPPC) authorisations.

Annual Process Production Tonnes 300000 250000 200000 150000 100000 50000 0

2000

2001

2002

2003

2004

Resins Compounds

Figure 1 - Annual production conversion rates

2005


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Operating Standards

Legislation The two main manufacturing processes, PVC resin manufacture and PVC compound manufacture, are both authorised by the Environment Agency (EA). During 2005 our compounds operations were operated in accordance with the new IPPC permit (CP3033BW) whilst our resin operations continued to operate under the earlier IPC permit. (AK4583)


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Operating Standards

Because of storage of the liquid gas vinyl chloride monomer (VCM) which is used as the main ingredient in the polymer manufacture, the site is also brought within the Control of Major Accident Hazards (COMAH) Regulations (see Emergency Procedures over page). HPL is subject to this legislation primarily because of the storage and handling of VCM. From a flammability perspective VCM is similar in hazard to butane gas used in camping stoves or blow-torches. Like butane, it is transported and used as a liquefied gas under pressure. Supplies of VCM travel from Norway in a liquefied gas sea tanker

to be unloaded in bulk-storage at Seal Sands, Teesside. After a careful examination of the risk involved in various forms of transport, HPL has chosen to employ a company specialising in liquid gas transport, to bring the VCM from Seal Sands to Aycliffe in road tankers. The major hazard associated with our compounds operation concerns the handling of lead and antimony salts which are minor components of some PVC compounds, which improve the heat stability and fire performance of the finished material.


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Operating Standards


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Operating Standards

Lead and antimony salts used within compounds are handled in a powder or granular form. Significant exposure to lead can cause severe health problems, including nerve and kidney damage, and medical surveillance checks are routinely performed on our workforce. There are no chemical reactions involved in PVC compounding, and no liquid effluent produced, but control measures must be taken to minimise any emissions of dust. Under Hydro Polymers’ sustainability strategy we are reducing our dependency on lead with the introduction of alternatives that have a lower environmental footprint. Hydro Polymers’ application under the emission-trading scheme was approved until December 2007. Hydro Polymers was also actively involved in the preparation of an industry response to the draft new regulations on chemicals known as REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals). These regulations are likely to enter into force in 2007.

Emergency Procedures

Local Community

Legal requirements are strict for all chemical companies. The COMAH regulations impose particularly stringent requirements. These regulations were introduced to:

If, despite all these measures, a major emergency were to occur, people and the environment would be safeguarded by the implementation of on and off-site emergency plans. Our local community has been provided with a fact sheet that details what you should do in the unlikely event of an emergency.

(i) Prevent major accidents arising from industrial activities (ii) Limit the effects of such accidents on people and on the environment (iii) Demonstrate control measures to prevent and limit major accidents. HPL continued to work closely with the Health and Safety Executive (HSE) providing additional information to demonstrate that controls are in place to further reduce risk of a major accident.

If you would like to receive a copy of this leaflet then please write to the Communications Manager at the address shown on the reverse of this publication. During May a joint major exercise involving the emergency services and HPL personnel was held. The aim of this emergency exercise is to test the validity and performance aspects of our On-Site Emergency Plan.


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Significant Environmental Aspects

HPL assessed its activities in terms of its impact on the environment through the implementation of its ISO14001 Environmental Management System. This was achieved by rating the hazards on the site against the likelihood of such a hazard becoming out of control, and then comparing that scenario against the consequences of the effects under emergency conditions. This methodology is available on request by writing to the Site Safety Health & Environment Manager at the address featured on the back of this report. The most significant aspects are listed below: Emissions to air > Water vapour > HCFCs > Fuel gases > Lead and Antimony salts to air > Dust to air

Emissions to water > Organochlorines (VCM, EDC) > Dissolved matter in water (COD) > Solids in water

Waste > Special > Non-special

Land protection Water usage Energy usage Noise Transport


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Emissions to Air

VCM Emissions to air

Average VCM at plant fenceline

g/tonne of resin produced

Âľg/m3

14

70

12

60

10

50

8

40

6

30

4

20

2

10

0

2000

2001

2002

2003

2004

2005

0

2000

2001

2002

2003

2004

2005

Figure 2 - VCM - emissions to air

Figure 3 - Average VCM at plant fenceline

Emissions to Air

monitored. Prolonged exposure to high concentrations of VCM has been shown to cause serious health problems, including liver damage. Regular air monitoring and medical surveillance checks confirm that our workforce is well protected from any risk. VCM is not persistent in the environment and is rapidly broken down in the atmosphere.

The following sections describe how HPL is managing the main environmental aspects and those that have been identified for further continuous improvement. Our most important improvement programmes are summarised under the Environmental Programme Water Vapour The most visual environmental aspect in relation to the HPL site is water vapour. Water is an essential medium for PVC resin manufacture. The conversion process of changing VCM to PVC is known as polymerisation and is carried out in hot water. Consequently, large volumes of water are driven off in the form of steam from the driers. On cold days, this steam rapidly condenses and can be seen as plumes of water vapour cloud rising from the drier stacks. Water is also used for process cooling. This water is recycled and is itself cooled by evaporation. Water vapour can be seen rising from our cooling towers. VOCs - VCM All potential emissions of vinyl chloride monomer (VCM) are controlled and

HPL employs industry standard "stripping" and absorption technology to control VCM emissions. Gas chromatography and mass spectrometry are used to continually measure VCM concentrations around the site and in exhaust stacks, and our emission figures not only meet legislative requirements but have generally remained at a consistently low level (see Figure 2 for details). In addition to exhaust stack emissions, HPL also monitors fugitive and fenceline emissions. Fugitive emissions have to be estimated and are those emissions that arise from pipes joined by flanges etc. To measure these emissions there is a European procedure that has been agreed across the industry by the European Council of Vinyl Manufacturers (ECVM). During 2005 Hydro Polymers made further improvements to

reduce the amount of fugitive emissions from our plants and the total emission was estimated to be 8.5 tonnes. During 2004 higher levels of VCM measurements were recorded at the plant fenceline compared to previous years’ reporting. Extensive laboratory work was undertaken in 2005 to develop the methodologies for sampling and measurement. In addition, an external laboratory was engaged to perform comparative tests and continue the routine plant fenceline monitoring measurements. During 2005 the average VCM measurement at the fenceline was similar to those values prior to 2004 (see Figure 3 for details). Whilst the easy conclusion could be that our estimates for 2004 were exaggerated, our belief is that the measurements in 2004 were correct and the likely reason for the higher reading could be due to differences in the testing methodologies used. In order to maintain consistency Hydro Polymers will continue to undertake measurements by the External environmental consultant who has expertise in environmental monitoring.


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Emissions to Air Boiler House Emissions Sulphur dioxide

Nitrogen oxides

Carbon dioxide

Tonnes

Tonnes

Tonnes 59000 58000 57000

14

135

56000

12

130

55000

10

125

54000

8

120

53000

6

115

52000

4

110

51000

2

105

50000

0

100

2000

2001

2002

2003

2004

2005

49000

2000

2001

2002

2003

2004

2005

2000

2001

2002

2003

2004

2005

Figure 4a - Sulphur dioxide

Figure 4b - Nitrogen oxides

Figure 4c - Carbon dioxide

Fuel Gas Emissions (CO2, NOx, SO2)

Dust Emissions

During 2005 Hydro Polymers burnt some fuel oil as an alternative to natural gas for economic reasons. This resulted in a relatively small emission of SO2.

All potential dust emissions from the plants are controlled and monitored. Filtration and wet scrubbing systems are used to ensure that emissions are within legislative limits.

based on these metals in its overall lead phase out strategy, so too have the estimates of emissions to air. Hence the very low levels released during 2005 - see Figure 6 for details.

Both NOx and CO2 emissions were similar to previous years’ reporting.

Emissions of non-toxic PVC resin dust from our drier stacks have increased during 2005 compared to previous years – see Figure 5. This is due in part to the water reduction programme on two of our resin plants. The other reason is under investigation but it is thought to be due to reduced airflows through the drier on another plant.

CO2 Reporting Carbon Dioxide (CO2) is the predominant greenhouse gas and the main emissions from our site are associated with the generation of steam and electricity especially for the manufacture of PVC resins. Taking estimates of carbon dioxide emissions from all sources (including power stations) specific values, associated with production were calculated to be: Resin = 281kg/tonne and Compounds = 85kg/tonne

The handling of lead and antimony salts as minor components in the compounding process means that additional monitoring is required in this area. During 2004 Hydro Polymers has been holding the gains made from an earlier improvement target by continuing to reverse the higher emissions observed during 2002. During 2005 the Environment Agency agreed to a proposed change of calculation to take into account the proportion of formulations containing lead and antimony. Since Hydro Polymers has reduced the number of formulations

HCFCs Hydrochlorofluorocarbons are used as refrigerants in several chilling units around the site. The number of these units has steadily grown. The refrigerant used is R22, a standard product used in most domestic refrigerators. These refrigerants are contained in closed systems. HPL has had an ongoing target of eliminating the negative trend in emissions of HCFCs. Following completion of remedial action there have been no further emissions during 2005 – see Figure 7.


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Emissions to Air

Dust in air (Resins)

Dust in air (Compounds)

Refrigerant Losses

Tonnes

kg

kg Lead

Antimony

** Antimony and lead quantity calculated by formula agreed with EA for the worst possible case. * Revised calculation using more realistic data regarding emissions.

1800

8 7

20

1400

6

1600

1200 15

5 4

1000 800

10

3 2

600 400

5

1

200

0 2000

2001

2002

2003

2004

Figure 5 - Resins particulate emissions to air

2005

0

2000** 2001** 2002** 2003** 2004** 2005*

Figure 6 - Compounds hazardous particulate emissions to air

0

2000

2001

2002

Figure 7 - Refrigerant Losses

2003

2004

2005


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Emissions to Water

The water effluent, which is recovered from the centrifuging stage of the resin manufacturing process, contains traces of by-products. This effluent has to be treated before it can be released into the environment. Consequently the effluent is piped directly to Newton Aycliffe Sewerage Works for treatment. Before leaving the site the water is routinely monitored for contaminants listed opposite.

Average VCM concentration in water mg/l 2

1

0 2000

2001

2002

Figure 8a - VCM to water

2003

2004

2005


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Emissions to Water

Annual EDC in water

Average suspended solids in water

kg

mg/l

Average COD in water mg/l * new method of reporting measured as a total quantity in water

14

140

350

12

120

300

10

100

250

8

80

200

6

60

150

4

40

100

2

20

50

0

0 2000

2001

2002

2003

2004

2005

Figure 8b - Total EDC emissions to water

VCM in Water VCM is recovered from the process water through waste-water stripping columns. During 2005 a major new investment was completed resulting in the installation of a new stripping column on our PVC resin plant. This column provides the technology to further reduce residual VCM in the PVC resin and the recovered VCM is then reused in the process. However trace amounts of VCM are still contained in the water and Figure 8a illustrates that HPL is maintaining levels at an annual level well below 1 mg/litre based on a flow weighted monthly average. This is also well below adopted authorised limits originally suggested by HPL to the EA. When released into water VCM does not react, it does not accumulate in aquatic organisms and it is not absorbed into sediments. In the presence of sunlight and photosensitizers VCM decomposes rapidly. EDC (1,2-dichloroethane) to Water Ethylene dichloride (EDC) is a contaminant in the VCM feedstock and is routinely monitored in the effluent stream, since it tends to remain in water after polymerisation. It is relatively stable when

0 2000

2001

2002

2003

2004

2005

2000

2001

2002

2003

2004

2005*

Figure 9 - Average suspended solids to water

Figure 10 - Average COD in water

dispersed in water, but evaporates rapidly to air where it is destroyed by reaction with air in sunlight. It is unlikely to accumulate in the environment and there is no evidence of its accumulation in plant or animal life. It has low toxicity to aquatic animals but is toxic to microorganisms. In addition EDC is a list 1 substance (under the Dangerous Substances Directive 1976/464/EEC) and is considered a priority list substance under a developing European Water Framework Directive.

see Figure 9 for details. This has been partly due to the settling pits not being emptied on a regular basis compared to previous years thereby allowing higher solids to water.

The total yearly emission of EDC to water is shown in Figure 8b. HPL continues to work with our VCM supplier to minimise this contamination. Solids to Water Before being sent for biological treatment at the sewerage works, liquid effluent from the PVC resin manufacturing process is fed through settling pits. This allows most of any PVC resin in the water to separate out. However, some fine solid particles are not removed by this process and remain in the effluent. Whilst there has been a relatively steady downward trend from 2000 to 2002, from 2003 to 2005 the levels have increased -

Dissolved Matter in Water (COD) The term Chemical Oxygen Demand (COD) is a measure of the amount of substances in the water that are susceptible to oxidation by a chemical oxidising agent. COD is largely determined by the amount of dissolved carbon compounds. It provides some indication of the chemical contamination of water insofar as releases with high levels can result in depletion of oxygen in the water. The average weighted COD value for 2000 to 2004 is shown in Figure 10. The level reported in 2005 is higher than the result in 2004. This is due to a changed method of analysis to meet the requirements of the sewerage works trade effluent consents. "Total" COD is now measured rather than "settled COD" that has historically been used to calculate effluent treatment charges. Values for total COD are higher than for settled COD.


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Waste (excluding releases)

Waste from our processes is disposed of by registered contractors. Most of our waste is considered "non-special", and consists mainly of discarded raw materials packaging - see Figure 11a and 11b for details of total and specific quantities. HPL is committed to reducing this waste through improvements in packaging and delivery systems and through recycling.


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Waste (excluding releases)

Non-special waste

Specific non-special waste

Special waste

Tonnes

kg/tonne

Tonnes 50

4.5

45

1600

4

40

1400

3.5

35

1200

3

30

1000

2.5

25

800

2

20

600

1.5

15

400

1

10

200

0.5

5

0

0

2000

2001

2002

2003

2004

2005

0 2000

2001

2002

2003

Figure 11a - Non-special waste

Figure 11b - Specific non-special waste

There has been a small but continuous reduction in this waste since 2000. This has predominantly been achieved through the increased use of returnable, bulk and reusable packaging of raw materials.

Packaging Waste

Figures 12a and 12b highlight "Special waste" which includes contaminated packaging and oily rags. Waste lubricating oils continue to be recovered via an oil recovery firm.

2004

2000

2005

To meet our recycling obligations under the Packaging Waste Regulations, HPL is registered under Toddpak Packaging Compliance who is our new provider of the compliance scheme. The amount of packaging supplied into the market by HPL further declined during 2005. The continued use of Flexible Intermediate Bulk Containers (FIBC) combined with bulk deliveries and the reuse of wooden pallets has significantly contributed towards this improvement.

2001

2002

2003

2004

2005

Figure 12a - Special waste

Specific special waste g/tonne

140 120 100 80 60 40 20 0

2000

2001

2002

2003

2004

2005

Figure 12b - Specific special waste

Packaging supplied into market by HPL Wood Plastic Paper

Pack/fill/sell Tonnes 3500 3000 2500 2000 1500 1000 500 0 2000

2001

2002

2003

2004

2005

Figure 13 - Packaging supplied into market by HPL


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Land Protection

The UK Eco-efficiency Code of Practice specifically references that action will be taken to demonstrate that there is no evidence of harm arising from concentrations of any pollutants associated with the manufacture of VCM and PVC arising from ongoing manufacturing processes.


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Land Protection

This has been demonstrated primarily from circumstantial evidence through containment standards through our ISO 14001 Environmental Management System including our Environmental Assessment Reporting System. Elements of the COMAH regulations have also helped to demonstrate adequate control in the event of a major spillage. With regard to the protection of the ground from ongoing activities then in addition to handling vinyl chloride, HPL handles smaller quantities of other materials. These are stored on the Newton Aycliffe site and transported around it. These materials vary greatly in amount and nature. The largest liquid additives are stored in tanks that are located on concrete pads and protected by walls (bunds), so that even if a tank ruptured, the spilled liquid would be contained in the bund. During 2005 a new formalised system of inspection of bunds was introduced as an additional measure to protect against land pollution. In normal use liquids are transferred from the tanks through sealed pipework systems. For buildings where smaller quantities of liquids are stored in containers, such as drums, we

have containment pits at the entrances so that liquids cannot run into surface drains. Emptied containers and waste skips are stored on hard, impervious ground, usually concrete. Our raw materials and finished product are held in bulk systems, or in soundly contained packages. Trained people handle them. The largest stores of solids are silos containing inert materials (PVC resin and chalk). Small quantities of solids and powders are stored in sound containers under cover, so that they do not blow onto unmade ground, or permit rain to fall on them and leach any potentially harmful materials into groundwater. For any mishap while moving small quantities, spill kits are strategically placed around the site. Specific staff at HPL are trained in cleaning up minor spills and making the appropriate disposal of the collected material. Ground status (stains etc.) is reviewed as part of the ongoing Environmental Management System.


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Water Usage


27

The resin production process is the major user of water. The amount of water purchased for the total site is shown in Figure 14. During 2004 and 2005 there was a reduction in water consumption compared to previous

years. This has been attributed to various improvement programmes as well as a slight decrease in the overall production volume of PVC resin.

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As stated previously, water is essential to our operations at Aycliffe and is used throughout the manufacture of PVC, whether as a medium for polymerisation, or in cooling or heating as steam.

Cubic metres 1600000 1400000 1200000 1000000 800000 600000 400000 200000 0 2000

2001

Figure 14 - Water Purchased

2002

2003

2004

2005


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Energy Usage

HPL is a signatory to the UK Chemical Industries Association (CIA) Climate Change Agreement. Formulae have been agreed that reflect true energy usage to calculate Specific Energy based on actual production volumes. Using these formulae HPL has achieved their Specific Energy target for 2005

Specific primary energy use

Specific delivered energy use

GJ/tonne of all products

GJ/tonne of all products

5

5

4

4

3

3

2

2

1

1 0

0 2000

2001

2002

2003

Figure 15 - Primary energy use

2004

2005

2000

2001

2002

Figure 16 - Delivered energy

2003

2004

2005


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Under the EU Emissions Trading Scheme, HPL is granted an allocation of CO2 emission that the site is deemed to need to operate. As part of the CIA Climate Change Agreement, HPL has elected to opt out of the EU scheme. This means that our energy target is calculated using CIA rather than EU formulae. The agreement ends on 31/12/07.

Figure 15 describes the specific primary energy for the site including purchased gas and electricity. This is based on HPL’s meter readings. During 2004 and 2005 we obtained slightly lower efficiency compared to 2003. This was due to a combination of raw material supply shortfall and the reduced availability of our CHP unit. HPL is committed to reducing primary specific energy usage to 4.11 GJ/tonne by the end of 2006.

Figure 16 describes the amount of gas and electricity purchased with no correction factor. This is also based on HPL’s meter readings. The slight rise in the specific delivered energy in 2005 was due to marginally slower operating conditions associated with feedstock supply.


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Noise

External noise surveys were conducted up to 2000 as shown in Table 1 opposite. There have been no new surveys conducted since then primarily because there has been no significant change in plant configurations or operating practices. Throughout 2005 internal routine weekly noise surveys undertaken by HPL staff have continued to show no significant

change. Due to the installation of both new process plant equipment and two wind turbines, HPL plans to undertake a noise survey by an outside consultant during 2006.


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External complaints

There was one complaint regarding PVC dust from a contracted tanker. The dust had not been removed from the top of the tanker before leaving the site. Once departed, this dust blew off onto several cars departing from our neighbour’s site. An investigation and corrective action has been taken to prevent a reoccurrence.

Table 1. Date

Nov 1996

Feb 1998

Oct 1999

Background noise level, dB(A), Leq

34

30

<37*

30

Rating Level, dB(A), Leq

35*

39

37

39

* factory inaudible against background noise.

The results recorded in the nearest residential area of School Aycliffe.

Oct 2000


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Transport


In 2005 there have been a number of transport improvements including the following:

With the installation of a tanker cleaning station on HPLâ&#x20AC;&#x2122;s site, the need to run tankers to Stockton for cleaning has almost been eliminated, saving on each round-trip approximately 50 miles transportation. The fuel saving estimate for one year is approximately 664 gallons (assuming 93 cleans per annum). For the transport of PVC resin the percentage transported by bulk increased to 98% of sold resin. The transport of this resin has also seen increased payloads with the move to 44 tonne tankers including Mobsils (mobile silos). For the UK market, resin tanker loads averaged 26.3 tonnes for 2003 and this increased to 27.2 tonnes in 2004, and as a result of the new tractor units the tonnage increased slightly further in 2005 to 27.33 tonnes. There are additional plans to further increase the average.

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For UK mainland packed transport or tautliner transport, HPL continued the cooperation with other Hydro UK companies using the same haulier, which have; reduced dead miles (empty vehicles), deployed best practice and increased payloads. The average load size was 18.6 tonnes in 2003, increasing to 18.8 tonnes in 2004 and slightly lower average of 18.7 tonnes for 2005. This is largely as a result of customers placing orders for slightly smaller quantities. HPLâ&#x20AC;&#x2122;s VCM tanker fleet has successively been upgraded over a four-year period with new and stretched 44 tonne tankers. The average load size for all deliveries has increased from 23.9 tonnes in 1999 to 26.36 tonnes in 2005. This average will be increased further in 2006 when the last remaining 40 tonne tanker is replaced with the higher capacity.


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Environmental Management System

This has been introduced to meet the requirements of the international standard ISO 14001. HPL's environmental policy was established, taking legislative requirements and assessment of our activities into account. A system for rating environmental aspects has been adopted; this enables HPL to prioritise improvement activities, thus providing an environmental programme that encompasses projects, developments and technical innovation. The management system includes communications, training, accident and incident prevention, and emergency plans. Both the management system and the results it produces are subject to internal checking by managers independent of the areas involved. These audits and reviews have been set on a yearly cycle.

The system and its performance are regularly checked by BSI as a condition of the companyâ&#x20AC;&#x2122;s ISO 14001 certification.


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Aycliffe Community Survey

During the summer we published and distributed a full colour Hydro Polymers newsletter to every household in the Newton Aycliffe area. This newsletter was produced in response to the findings of the 2004 Aycliffe community survey, and the preference expressed by the majority of the sample for some kind of printed information on HPL’s activities to be sent to residents once a year. This was followed up by a second comprehensive community attitude and awareness survey. Once again the research was undertaken by a third party research organisation. Doorstep interviews were conducted with 201 householders in specified areas around the site following the structure established in 2004. This allowed us to compare and contrast the findings from both years. The findings, with a different set of respondents to those interviewed the previous year, confirmed that Hydro Polymers is well known and enjoys a very positive reputation in the local community.

The importance of maintaining the ongoing school visit programme was underlined by the fact that there is still a need to increase knowledge and understanding especially, though not exclusively, among families with children. Responses indicated once again that in terms of information on HPL’s operations, ongoing articles in the local press supplemented annually by some kind of annual information leaflet/magazine distributed locally, meets the communities information needs very well. HPL’s decision to supply a set of recycled plastic benches for a picnic area in Newton Aycliffe and to sponsor an arts project based on the use of recycled materials by Greenfield Community Arts college at the end of the year, was endorsed by the survey’s finding that, as in 2004, the Aycliffe community is very committed to the benefits of recycling waste.


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Awards

Hydro Polymers was a finalist and runner-up in the 2005 Chemical Industry Association Sustainable Development Award. Hydro Polymers Ltd was a 2005 finalist representing the Polymers Sector in the Norsk Hydro Presidents Safety Award.

Prosecutions HPL has not had any prosecutions or prohibitions nor are there any pending prosecutions.


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Environmental Certification

For 2005, Aycliffe, Rafnes and Stenungsund plants were all certified to ISO14001 and all held EMAS registration.

Independent Verification â&#x20AC;&#x153;This statement has been validated by Thomas Moss of BSI, who are accredited for EMAS verification with the registration reference UK-V-0002. The validation was completed on the 3rd May 2006.â&#x20AC;?

Signed Thomas W. Moss (Lead Verifier)

Dated: 11/04/2006 Next Statement: On or before 30th April 2007


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Glossary of terms

Biodiversity

The variety of plant and animal life.

CHP

Combined Heat and Power Unit - this is a cleaner technique of producing steam and electricity from natural gas rather than from oil or coal

CO2

Carbon dioxide. This gas has a greenhouse effect, leading to global warming.

COD

Chemical oxygen demand - this is a laboratory test that mimics the way substances react with oxygen in water. Excessive removal of oxygen from rivers and streams harms water-born life.

COMAH

Control of Major Accident Hazard Regulations

dB(A) Leq

Decibels - a measure of noise

Delivered energy

Energy taken across the site boundary.

DEFRA

Department of the Environment, Food and Rural Affairs

EA

Environment Agency

EDC

Ethylene dichloride (also known as 1,2 dichloroethane)

EAL

Environmental Assessment Limit

FIBC

Flexible Intermediate Bulk Container

GJ

Gigajoule - a measure of energy.

GVW

Gross Vehicle Weight

HCFC

Hydrochlorofluorocarbons - are refrigerant gases and are used in domestic refrigerator systems. They are ozone depleters.

HSE

Health & Safety Executive

HPL

Hydro Polymers Ltd


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Glossary of terms

IPC

Integrated Pollution Control

IPPC

Integrated Pollution Prevention and Control

MEL

Maximum exposure limit. These limits are set by Health & Safety regulations.

mg/l

Milligrammes per litre. For water one mg/l is one part per million.

NOx

Oxides of nitrogen. This group of chemical species contains one that acts as a greenhouse gas, one that will contribute to acid rain and another which, in very sunny countries, causes smog.

OSPARCOM

Oslo and Paris Convention for the Prevention of Marine Pollution

Primary energy specific

This is an amount of energy corrected for the inefficiency of the UK Electrical Generation Industry using a factor defined by DEFRA per tonne

Specific

Data expressed as a proportion of annual production tonnage.

SPVC

Suspension Poly(vinyl chloride)

SO2

Sulphur dioxide. This gas can cause direct harm to plants and animals. It can develop into species that contributes to acid rain.

TEQ

Toxic Equivalent Quotient

TQM

Total Quality Management

VCM

Vinyl chloride monomer

VOC

Volatile organic compounds. Common general examples would be petrol, solvents and perfumes.


Hydro is a Fortune 500 energy and materials supplier with 33,000 employees in 40 countries. We are a leading offshore producer of oil and gas, the worldâ&#x20AC;&#x2122;s third largest aluminium supplier, a major European PVC producer and a leader in the development of renewable energy sources. Our mission is to strengthen the viability of the customers and communities we serve.

Hydro Polymers Limited Newton Aycliffe County Durham DL5 6EA England, UK Tel: +44 (0) 1325 300555 Fax: +44 (0) 1325 300215 www.hydropolymers.com

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Emas Report  

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