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Sustainability report 2013


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Contents Facts about the mill. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Preface. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Products. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Production process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Environmental impacts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Other environmental activities. . . . . . . . . . . . . . . . . . . . . . . . Employees. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Working environment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Corporate Social Responsibility, CSR . . . . . . . . . . . . . . . . . . . Materials balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Input and output of materials . . . . . . . . . . . . . . . . . . . . . . . . Water balance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Energy balance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Glossary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Verification. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 5 6 7 8 9 - 10 11 12 13 14 15 - 20 21 - 25 27 33 35

Skjern Papirfabrik

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Facts about the mill Production site Skjern Papirfabrik A/S

The verification does not include issues concerning working environment.

Location Birkvej 14, DK-6900 Skjern

Environmental legislation Environmental Protection Act Danish Statutory Order on Sludge Danish Statutory Order on Waste Chemical Substances and Products Act REACH Various authorisations and others

Environmental approval Skjern Papirfabrik’s latest review of the environmental approval is from 2000. The environmental approval is under review. Supervising Authority The Danish Environmental Protection Agency Aarhus Industry/NACE code 21.12 – Production of paper and paperboard 17.12 – Production of paper pulp Accreditet verification Det Norske Veritas Business Assurance AS, verification No. DK-V-6001

Period covered 1/1-2013 to 31/12-2013 Date of issue April 1, 2014 Next sustainability report Early April, 2015 General information on the production site The mill’s land register is classified as an industrial area, which on all sides borders on residential areas and housing districts. Therefore, the environmental approval includes a number of noise requirements to prevent unnecessary inconvenience for the mill’s neighbours. Skjern Papirfabrik A/S is located close to the Skjern River, from which water is being abstracted. The mill has its own waste­ water treatment plant for processing of wastewater, before it is discharged to the recipient. Changes at the production site After the establishment of heat pumps in December 2012 Skjern Papirfabrik has during the entire 2013 exploited the waste heat from the drying section of the paper production for the production of district heating to the benefit of the Skjern City residents. Last autumn the cleaning process in the pulp section was reconstructed, which means that the waste fraction reject to soil improvement was removed. This fraction is now recirculated back to other cleansing units to get a larger fibre utilisation.

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Preface Based on the actual figures for the past year of 2013 we must state that expectations for the year have not quite been met. Several factors have an influence, but the primary deviations must be attributed to significant larger changes of the market than originally expected. Considering the general performance of the paper industry we cannot on the other hand be quite unsatisfied with the result as a whole. The mill has to a great extent used resources to improve the environmental external impacts even more, concurrently with a targeted effort for »cementing« the company’s green and quality related image on the market. With still another year behind it is time for most people to take stock of what was expected versus what was realised. The year, as regards the growth on SP’s established markets, can almost be described as two different halves. During the first 6 months the expected trend and progress followed, whereas the second half of the year was accompanied by turbulence and a larger replacement of players than is usually seen in this market. In my information about the development and steps in the internal sectors I want to start with a follow-up of a project mentioned previously - the heat pump project. During 2013 we produced 37,600 MWh of district heating for the city of Skjern, corresponding to approx. 48 % of the city’s total needs for heating. Thus the project fully lived up to expectations. Another follow-up lies in the replacement of the last existing gaspowered trucks with electric-powered ones, which reduced emissions and noise both internally and externally. Furthermore, Skjern Papirfabrik made a CSR policy, as we want to visualise and appear as a social responsible corporation. As part of this policy the mill also joined the UN Global Compact, which supports human rights and opposes forced and child labour, and disassociates themselves from corruption.

Another positive effect on the external environment is a con­ siderable decrease in the use of auxiliary materials to advance production. The decrease is due to both a change of the product mix and an increased focus on the use of adhesive for the individual qualities. A reconstruction of the cleaning part of the material preparation led to a significant decrease of the waste and reject quantities from this section. A more intensive quality control related to the FSC agreement also contributed to the lower quantity of waste. As part of our search for environmental improvements we went into a close dialogue with Ringkøbing Skjern Forsyning in the second half of the year with a view to changing the mill’s industrial wastewater. Going forward it will be reasonable to have the mill´s industrial wastewater treated in municipal wastewater treatment plant, which has the necessary capacity. Expected transition is after July, 2014. Furthermore, the financial and environmental aspects of converting the existing natural gas-heated boiler into a chip-based one are being investigated.

Jørgen Thomsen CEO

To meet the growing environmental requirements from the industry the mill has been FSC® certified, which will among other things requires traceability and the use of fibres from responsible sources

Skjern Papirfabrik

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Products Skjern Papirfabrik A/S is an order producing company. The production is mainly cardboard, paperboard and paper, which are delivered as semi-manufactures for further processing at our customers. More than 90 % of the production is exported. All products are made in a close cooperation with the customers, and we are constantly working on optimisation and further development. The individual products are produced due to the individual customer’s needs. Only recycled paper is used in the production, which operates around the clock, 350 days a year. The paper primarily comes from Danish, Norwegian and German collections.

Sheets Primarily used as interlevers between various products. In addition, a number of special products are produced with custom requirements for the physical properties of the paperboard. It is possible to manufacture products with a grammage between 90 and 450 g/m2. The max. width of the end product is 290 cm. As from 2013 it is possible to have FSC-certified products from Skjern Papirfabrik A/S.

Skjern Papirfabrik’s products can be divided into four main groups: Core board Narrow-cut reels that are used for winding into cardboard tubes for kitchen paper, toilet paper reels and cardboard tubes for foil, carpets, etc. Bookbinder’s board Large reels that are mainly used as paperboard in ring binders and book jackets and as the back sides of puzzle pieces. Grey board Used as insert board for gift wrapping paper, massive cardboard for the corrugated cardboard industry, and board for special products. Photo: Inventory of end products for pallets

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Production process

Flowchart

Various types of waste paper are used for the production of recycled paper, primarily collected in Denmark

The produced paper is continuously checked for moisture, thickness, weight, etc.

The waste paper is transported to a pulper filled with water, where the paper fibres are finely orinded and suspended in water to obtain a suitable texture. The paper mass is then called pulp.

Converting The finished paper is converted on the rewinder for finished products in the form of large reels, or smaller reels for further processing at the mill.

The pulp is mechanically purified by passing it through various purification processes.

During the finishing process it is possible to produce sheets and narrow-cut reels, so-called ”core board”.

After adding auxiliary materials the pulp is carried over to a wire section, where the pulp is evenly spread over an ”endless” belt. The pulp mass is drained off in the wet end, whereafter the paper is pressed between rollers and dried. Photo: Paper machine

Photo: Rolling machine

Skjern Papirfabrik

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Environmental impacts In connection with the paper production there are several environmental impacts, which can be divided into direct and indirect ones, respectively. The direct impacts arise as a direct result of the production. Skjern Papirfabrik A/S is constantly working to limit these as much as possible. The indirect environmental impacts are not directly affected by the production, but primarily consist of the transportation of raw materials and end products and environmental impacts caused by the collection of waste paper, the production of auxiliary materials and the disposal of products at the end user. The most significant environmental impacts have been evaluated on the basis of permits, legislation, and the largest possible potential impacts on the external and the local environments.

For Skjern Papirfabrik A/S the most significant environmental impacts are energy consumption, consumption of auxiliary materials, water consumption, discharge of purified wastewater and reject handling. In return the CO2-emissions are reduced by approx. 7,700 tonnes a year in connection with the heating up of Skjern City, as a consequence of the utilisation of waste heat for the production of district heating. In the company’s environmental survey it has been estimated that it is not relevant to perform an assessment of biodiversity. Follow-up There is an ongoing control of the consumption and emissions for significant environmental impacts. In the management system there are procedures describing which registrations must be made for each individual environmental condition.

Photo: Mood picture from Skjern River

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Other environmental activities Since 1994 Skjern Papirfabrik A/S has established principles and guidelines for the mill’s environmental work in the form of an environmental policy.

Environmental policy In accordance with business and management objectives and approach Skjern Papirfabrik A/S will strive to minimise the strain on the surrounding environment as much as possible. This is achieved by using raw materials and energy in the best possible way, and by reducing emissions produced from the mill’s processes. Skjern Papirfabrik A/S wants to reduce environmental strain by: • Open communication about the environmental impacts related to the company’s processes and products • Making sure that employees act in an environmentally responsible way, and comply with internal and external rules • Positive cooperation with supervisory authorities •  Encouraging our suppliers to provide environmentally friendly raw materials, products and services • Complying with relevant legislation and other requirements that the company has endorsed

• Ongoing environmental improvements, regardless of the fact that the regulatory requirements have already been met • Environmental assessment of new projects • Encouraging employees to participate in preventive environmental work • Making sure that external craftsmen and contractors are aware of and comply with the company’s environmental directions • Ensuring that the buyers of the company’s products are informed of environmental considerations in connection with the manufacture, use and disposal of the company’s products. The company will publish its environmental policy in the annual Sustainability Report, which can be found on Skjern Papirfabrik’s home page.

Photo: Recycling waste paper

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Other environmental activities The environmental management system The environmental management system of Skjern Papirfabrik A/S has been compiled to cover the following standards: ISO 14001 (environment), EMAS (environment), ISO 50001 (energy management, ISO 9001 (quality), OHSAS 18001 (working environment) and FSC. The environmental management system was developed in the electronic system Sherlock Web, which is an internet based docu­ment management system.

(continued)

Other environmental initiatives in 2013 In 2012 the replacing of gas trucks with electric trucks started. During 2013 a further replacement of gas and diesel-powered trucks with electric trucks was made. Skjern Papirfabrik A/S has in 2013 joined the UN Global Compacts principles, that commit the members to show social and environmental responsibility.

In addition to the electronic system management manuals have been placed at relevant spots everywhere in the company, in order to facilitate access to the policies and procedures. The environmental management system is checked by internal audits, as well as an annual external audit. Skjern Papirfabrik A/S has an internal audit group consisting af six employees. Four of the members of the group are exchanged every year, so that the mill workers will learn as much about the management system as possible. Internal auditors’ reports are presented to and approved by the management.

Photo: Electric-powered truck in the process of retrieving end products

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Employees

2009

2010

2011

2012

2013

Average number of employees:

71

68

69

68

71

Men (%)

90

90

90

90

89

Women (%)

10

10

10

10

11

Average age of the employees (years)

48

49

49

49

49

0-3 years employment in %

21

18

17

16

18

4-6 years employment in %

10

10

10

13

13

More than 6 years employment in %

69

72

73

71

69

14.5

15.3

15.2

14.8

14.4

4

1.5

7

4.4

5.6

Seniority

Average seniority (years) Employee turnover in (%) Seniority table

Development of the composition of employees The mill has 71 employees with the following composition: • 4 skilled metalworkers • 2 automation mechanics • 50 blue-collar workers • 15 white-collar workers The average seniority is very high and equals 2012 levels. At Skjern Papirfabrik A/S there is a natural replacement of employees who retire or take advantage of early retirement benefits. By the end of 2013 13.9 % of the employees were over 60. This will also cause a natural replacement of the staff in the years to come. Despite this the annual replacement in 2013 was only 5.6 % of the workforce. Employees of other nationalities constitute 8.3 % of the labour force today. The gender distribution has been almost constant during recent years. This is due to the fact that there are currently no women employed in production, only in the administrative and cleaning departments.

Photo: Metal workers by their machines

Skjern Papirfabrik

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Working environment The health and safety of the employees is primarily safeguarded by the management and the working environment organisation, consisting of 6 working environment representatives, 3 foremen and the working environment manager. All members attend compulsory working environment training, when entering the committee, and all members are involved in the daily working environment activities. In 2013 there were no accidents that required more than one day’s absence.

In May we carried through an evacuation exercise at the mill with participation of the fire brigade. In connection with the implementation of a quality optimisation project a reject sorting unit was taken off, and that reduced the total noise nuisance. Proposals from the company’s workplace assessment survey give a current rise to improvements. A hygiene policy has been introduced, to meet customer demands in this field.

Work accidents 200 180 160 140 120 100 80 60 40 20 0

The label below was used to celebrate the 12 months’ of work without accidents.

2009

2010

2011

2012

2013

It is seen from the above graph that generally there has been a decline in the number of accidents with more than one day’s absence and in accidents per milliion hours. It is exceptional that in 2013 there were no accidents that required any absence. On a monitor the number of days since latest accident may be followed. In 2013 one of the major health & safety initiatives was the purchase of electric-powered trucks. This has resulted in signi­ ficantly improved indoor climate, as the exhaust from the former gas and diesel-powered trucks was eliminated. It also resulted in a lower noise nuisance, something that we focus on with regard to safety, as it may now be difficult to hear a truck nearby.

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Photo: Red wine for all employees


Social responsibility, CSR Skjern Papirfabrik A/S has in 2013 prepared a CSR policy to focus even more on the mill’s social responsibility. Skjern Papirfabrik has also in 2013 joined the UN Global compacts principles as a member.

CSR policy Social responsibility is a fundamental element for us as an organisation to appear as a legitimate and responsible company within the industry. These day it is an international expectation that companies include social responsibility in their activities. At Skjern Papirfa­ brik A/S we are convinced that it also gives us benefits in our business to focus on environmental protection, employee development, health and safety, and other aspects of social responsibility.

Skjern Papirfabrik wants to comply with the 10 Global Compact basic principles by: • supporting and respecting human rights • sustaining freedom of association and acknowledge the right to collective negotiations • dissociating ourselves from forced labour • dissociating ourselves from child labour • avoiding discrimination when it comes to conditions of employment • being environmental responsible • opposing all kinds of corruption, such as blackmail and bribe

Other CSR initiatives in 2013 Skjern Papirfabrik A/S was FSC® certified in 2013, which will among other things put demands on traceability and the use of fibres from responsible sources.

Skjern Papirfabrik wants to show Corporate Social Responsibility by: • complying with existing laws in all respects •  demonstrating transparency and an accommodating attitude also in social areas • being open for conducted tours for amongst others educational centres, associations and other interested parties • supporting association’s work in local community • making as much effort as possible to employ local craftsmen and contractors to do external jobs • demonstrate zero tolerance for corruption • demanding fair competition and fair trade with customers and suppliers Skjern Papirfabrik’s marked-related advantages are to be found in the supply of good products and services, and never in unethical and illegal sales promotion. Skjern Papirfabrik joined the UN Global Compact as a natural continuation of the company’s activities as a legitimate and responsible company and player on the international markets.

Photo: Skjern Papirfabrik seen from the outside

Skjern Papirfabrik

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Materials balance CO2 emission due to incineration of natural gas, auto gas and diesel 14,364 tonnes of CO2 Evaporation of water 63,507 m3

Recycled paper 61,011 tons DM

Finished products 60,937 tonnes DM

Energy 93,151 MWh

Water 383,350 m3

Auxiliary materials 853 tonnes

District heating sales 37,600 MWh

Water 446,856 m3

Waste/reject 1,901 tonnes DM

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Input and output of materials

Recycled paper 61,011 tonnes DM

Finished products 60,937 tonnes DM

Auxiliary materials - Production 680 tonnes - Wastewater treatment plant 161 tonnes - Maintenance 12 tonnes

Waste/reject - Waste reject 327.0 tonnes DM - Reject for soil improvement 122.0 tonnes DM - Combustion 1,110.0 tonnes DM - Wastewater sludge 301.7 tonnes DM - Suspended solids 11.7 tonnes DM - Hazardous waste 0.9 tonnes - Metal for recycling 27.3 tonnes

Paper raw materials The diagram below shows the ratio between the consumption of paper raw materials and the production of finished products.

The diagram below shows the specific consumption of paper raw materials compared to the produced quantity of finished products. Specific paper raw materials consumption

66000

1,10

Paper tonnes of dry matter per year

64000

1,05

62000 60000

1,00

58000 56000

0,95

54000 52000 50000

0,90 2009

2010

2011

2012

2009

2010

2011

2012

2013

2013

Fluctuations can be ascribed to variations in moisture content and the amount of impurities in the raw materials.

The specific consumption is very constant, lying at around 1.00, which is very common when manufacturing 100 % recycled paper. Fluctuations can be ascribed to variations in the amount of impurities in the raw materials and uncertainties as to moisture content.

Skjern Papirfabrik

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Input and output of materials Auxiliary materials The vast majority of the auxiliary materials is used for the production of paper, while smaller amounts are used for wastewater treatment and in the maintenance department. The auxiliary materials for production mainly consist of adhesive, starch, and draining products. Some of the auxiliary materials are contained in the end product, while the rest is discharged through the process water to the mill’s wastewater treatment plant. The auxiliary materials for the wastewater treatment plant primarily consist of products for draining sludge, for improving the depositing properties, and providing nutrients for the microorganisms in the wastewater treatment plant. Moreover, in 2013 auxiliary materials were used for last treatment of the purified wastewater. The auxiliary materials for maintenance consist of products used for the operation and maintenance of the production machinery, such as oil, grease and cleaning agents.

Auxiliary materials in relation to produced quantity of paper kg/tonnes DM

(continued)

We have seen a considerable increase in the use of auxiliary materials at the wastewater treatment plant, primarily due to a larger consumption of nutrients for the microorganisms and the use of auxiliary materials for the last treatment of the purified wastewater.

A, B and C substances The guidelines on environmentally harmful substances in industrial wastewater from the Danish Environmental Protection Agency operate within three categories: A, B and C substances. A-substances are undesirable substances that ought to be replaced or reduced to a minimum. As far as B-substances are concerned there are guidelines for marginal values, and the substances ought to be regulated by the use of the best technology available. C-substances are regarded as unproblematic. The distribution in percentages of the total consumption of auxi­liary materials can be seen in the figure below:

2013

14 12 10 8 6 4 2 0

2009

2010

2011

2012

2013

The table shows the distribution of auxiliary materials compared to quantity produced. In 2013 a smaller quantity of auxi­ liary materials was used for production. This is due to changes of the production mix, resulting in a much smaller consumption of adhesives than in 2012. The consumption of adhesives decreased by approx. 25 % in 2013.

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The distribution in percentages of the auxiliary materials consumption from the individual categories is at the same level as the consumption in 2012.

Goals for 2014 A closing down of the wastewater treatment plant is anticipated to be in August 2014, and therefore a decrease of auxiliary materials consumption for the wastewater treatment plant of 40 %, compared to 2013, is expected.


Input and output of materials Waste/reject Waste and reject from Skjern Papirfabrik A/S mainly consist of discarded impurities from paper raw materials containing a number of non-usable materials, such as plastic, paper clips, glass, fabrik remnants, etc. These residual products are discarded through several cleaning units.

Waste and reject quantities in tonnes DM

(continued)

After a reconstruction of the cleaning part of the pulper section in autumn 2013 this fraction has been discontinued, as one of the purposes was a larger reutilisation of fibres. Furthermore, a larger quantity of combustible waste must be anticipated, as a result of the recycling of reject to soil improvement.

Waste and reject compared to produced quantities of paper kg/tonnes DM 40

2500 2000 1500

20 1000 500 0

2009

2010

2011

2012

2013

The term waste reject covers waste from the pulper, which primarily contains metal and plastic. The waste reject is sent for further processing, where the metal parts are sorted out and recycled, and the combustible waste is utilised. The term reject for soil improvement is a waste product primari足 ly consisting of paper fibres mixed with a minor part of styropor and plastic. This waste fraction is transported to controlled composting, before it is used for soil improvement.

0

2009

2010

2011

2012

2013

It is clear that all waste fractions have a downward trend compared to 2013. This is due to variations in the volume of waste included with raw materials, and to product changes. It is evident that the quantity of waste per tonne of paper has decreased in 2013. It cannot be denied that there might be a positive connection between lower quantities of waste and larger focus on raw materials as a result of the FSC certification in 2013.

Goals for 2014 Our goal is to bring down the total specific quantity of waste, as we expect a better fibre utilisation in consequence of the reconstruction of cleaning units in the pulper section.

Skjern Papirfabrik

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Skjern Papirfabrik

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Input and output of materials

(continued)

Analyses results for wastewater sludge 2013 Marginal values versus measured values Measured mg/kg dry matter

Marginal value mg/kg dry matter

Measured mg/kg total phosphorus

Marginal value mg/ kg total phosphorus

Chromium

7.1

100

Zinc

102

4,000

31

1,000

<0.5

0.8

<66

100

Lead

8.4

120

1,105

10,000

Nickel

7.3

30

961

2,500

0.12

0.8

16

200

DEHP

1.1

50

LAS

660

1300

NPE

0.60

10

0.074

3

Copper Cadmium

Mercury

Sum PAH Analyses results for wastewater sludge

The above table shows the content of heavy metals and other environmentally harmful substances in wastewater sludge from the millâ&#x20AC;&#x2122;s wastewater treatment plant in 2013. The measurements have been performed at an accredited laboratory. There is a general downward trend in the content of heavy metals in the wastewater sludge. However there has been a substantial increase in the contend of LAS. It has not been possible to trace the source of the very heightened content. Subsequently, a new analyses was made, which showed a lower content of LAS in the sludge. The sludge still complies with all requirements in the Danish Statutory Order on Sludge, attachment 2, by a good margin. The sludge from the wastewater treatment plant at Skjern Papirfabrik A/S was in 2013 used only for soil improvement purposes.

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The areas where sludge was used in 2013 are shown in the overview below, where the energy forest (willows) are part of the millâ&#x20AC;&#x2122;s own grounds.

Use of sludge

Farm land Own energy forest Depository Total quantity of sludge distributed

Quantity of dry matter in tonnes Year 2012

Year 2013

329.8

287.2

8.4

14.5

0

0

338.2

301.7

Use of wastewater sludge

Sludge production for 2013 is significantly lower than sludge production in 2012. This is primarily due to occasionally lower strain on the wastewater treatment plant, because part of the wastewater is diverted to purification by the local authorities, because consumption of adhesives went down, and because the total production was lower in 2013.


Water balance Evaporation 63,507 m3

Sanitary wastewater 470 m3

Municipal water 14,926 m3

Wastewater discharge into the river Ganer Ă&#x2026; 354,256 m3

Water in raw materials 10,180 m3

Water in finished products 4,587 m3

River water 421,750 m3

Wastewater diverted to Skjern Wastewater Treatment Plant 10,631 m3

Water in waste 6,406 m3

Wastewater used for irrigation 7,000 m3

Notes on specification of volumes Municipal water

Consumption is measured

Water in raw materials

Decided based on measurements of random sampling

River water

Consumption is measured

Evaporation

There is some uncertainty as to the volume of evaporated water, since the volume is solely calculated on the basis of material balance of the water

Water in waste (reject and sludge)

Decided based on measurements of random sampling

Waste reject

Evaluation, as the material is not suitable for sampling

Sanitary waste water

Discharge is measured

Discharge to recipient

Discharge is measured

Diverted to Skjern Wastewater Treatment Plant

Calculated on the basis of flow curves at the wastewater treatment plant

Wastewater for irrigation

Estimated consumption based on days with irrigation

Water in finished products

Calculated/measured (7% water content)

Skjern Papirfabrik

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Water balance

(continued)

Water intake The water that abstracted taken from the river Skjern Ă&#x2026; is led through sand filters in the millâ&#x20AC;&#x2122;s own waterworks. Impurities are filtered in the sand filters before use in production.

Water intake and wastewater discharge measured in m3 600000 500000

The sand filters are back flushed with river water when needed, which is then led to the depositing basin. The water phase is then led back over the sand filters. The majority of the water pumped from the river is used through the spray pipes on the paper machine. Afterwards, the recirculation of the process water is started, as the river water is recycled about 15-20 times before being discharged to the wastewater treatment plant. The process water is filtered in Vargo filters in order to retain fibres. In 2013 421,750 m3 of river water was used from the river Skjern Ă&#x2026;. The abstraction permit is for 600,000 m3 per year. In 2013 there was a significantly smaller consumption of river water than in 2012.

400000 300000 200000 100000 0

2009

2010

2011

2012

2013

The decrease is due to the use of condensate from the heat pump system as a substitute for part of the river water. Discharge of wastewater has incresed during the same period, due to the fact that condensate from the heat pumps has during the remaining part of the year been led to the wastewater treatment plant.

Photo: Laboratory

Water consumption per produced tonne of paper measured in m3/tonne of paper 10 8 6 4 2 0

2009

2010

2011

2012

2013

The above figure shows that the specific water consumption in 2013 is the same as in 2012, both years showing 7.33 m3/ tonne DM finished product.

Goals for 2014 A decrease as to water intake of 5 % must be anticipated in 2014, as a result of more recycling of condensate water from the heat pump system instead of the river water.

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Water balance

(continued)

Description of the wastewater treatment plant The wastewater treatment plant is a 2-step active sludge plant, where the wastewater goes through a biological purification before being discharged to the recipient. The purification process is carried out in the following way: Filtered wastewater from production is carried to the wastewater treatment plant through a plate heat exchanger, which adjusts the temperature to the desired set point. Nitrogen, phosphorus and chalk are added so that the biological process can develop optimally. The wastewater is combined with biomass in the first aeration tank, where the sludge is aerated with air-jet aerators that are controlled by on-going oxygen measurements. The waste water is subsequently carried away to a sedimentation basin where purified wastewater and sludge are separated. The pre-treated waste water is led to another aeration tank with biomass. A floor aeration is implemented, guided by continuous oxygen measurements. Chalk is added to the aeration tank in order to improve the sedimentation properties of the sludge. For periods of time also iron sulphate will be added to the biological process.

After approx. 2 days in the wastewater treatment plant the water is transferred to the consolidation tank where the treated wastewater is separated from the sludge. For periods of time subsequent polishing with aluminium product will be made, when needed. The treated wastewater is discharged into the river Ganer Ă&#x2026;, which is drained into the river Skjern Ă&#x2026; via the lake Hestholm Sø.

Wastewater sludge from the wastewater treatment plant is concentrated in sludge concentration tanks and pressed before being used for soil improvement purposes.

Photo: Clarification tank at the wastewater treatment plant

Skjern Papirfabrik

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Water balance

(continued)

Discharge from wastewater treatment plant Total volume of discharge from Skjern Papirfabrik A/S in 2013 from own wastewater treatment plant. Calculations carried out by Skjern Papirfabrik on the basis of analyses from accredited laboratories.

Required value

Control value **

COD

75 mg/l*

78.2 mg/l

BOD

15 mg/l

7.1 mg/l

TOT N

8 mg/l

3.5 mg/l

TOT P

0,5 mg/l

0.21 mg/l

SS

25 mg/l

20.1 mg/l

Glossary: COD: Chemical oxygen consumption BOD: Biological Oxygen Consumption (5 days) COD and BOD are both indicators of the content of organic matter in wastewater TOT N: Total content of nitrogen TOT P: Total content of phosphorus SS: Suspended solids in the wastewater * Required values are under consideration by supervising authorities ** Statistical statement of measured values acc. to the calculation programme DS 2399

Calculated discharge data from wastewater treatment plant

The above table shows the calculated control values for wastewater discharge from Skjern Papirfabrikâ&#x20AC;&#x2122;s own wastewater treatment plant. It is evident that the COD emissions have exceeded the required value.

In 2013 we saw an increase of the calculated control value for SS, compared to 2012. This is mainly due to one single analysis showing very high content of SS, affecting the results for the year considerably, as accredited measurements of SS are made only six times a year.

For a longer period of time it has not been possible to constantly comply with the required value for COD. There has been a close dialogue with the supervising authorities (The Danish Environmental Protection Agency Aarhus) on the issue. Skjern Papirfabrikâ&#x20AC;&#x2122;s discharge is far below the BAT values for COD discharge that apply to similar paper mills. Required BAT-value for COD-discharge is 1.5 kg COD/T DM finished product. Apart from the COD requirement Skjern Papirfabrik A/S has met the other required values by a fine margin. In 2013 there has been a marked improvement on COD compared to 2012. The goal for reduction of the specific COD discharge from 0.63 kg COD/T DM finished product in 2012 to 0.61 kg COD/T DM finished product in 2013 was reached. The main reason for the significant improvement of the COD is an ongoing control of filamentous bacteria, less strain on the wastewater treatment plant during periods of reduced operations, less consumption of adhesives in production and the use of precipitant as polishing for SS and COD many times in 2013.

Page 24

Photo: Microscoping of sludge


Water balance

(continued)

Discharge related to BAT The following diagrams show Skjern Papirfabrik’s discharge from the wastewater treatment plant in 2013. All parameters are established in relation to BAT values, which specify expected gain values for the industry by using the best available technology. Skjern Papirfabrik belongs to the group of integrated paper mills using recycled paper without bleaching.

The specific discharge values in the below diagram are calculated in kg discharge from the wastewater treatment plant per tonne of finished products. In general there has been a positive development over the years. However, the value for SS was increased in 2013. Specific discharge from the wastewater treatment plant kg/T DM finished product 0,9 0,8

Discharge related to BAT

0,7 0,6

kg / tonnes finished products

0,20

0,5 0,4

0,15

0,3 0,2 0,1

0,10

0,0

0,00

SS BAT

Tot N

2010

COD

BI5

2011

2012

2013

SS

TOT N

TOT P

Tot P

Skjern Papirfabrik’s discharge

Discharge related to BAT 2,0 kg / tonnes finished products

2009

0,05

Comments on goals and action plan for 2013 The goal for 2013 was an improvement of the treatment efficiency compared to 2012, and a 3 % reduction of the specific COD discharge to under 0.61 kg COD/tonne of DM finished products. The treatment efficiency has improved from 92.3 mg COD/l in 2012 to 78.2 mg COD/l in 2013. COD discharge corresponds to an improvement of the specific discharge from 0.63 kg COD/ tonne of DM finished products to 0.61 kg COD/tonne of finished products. Thus the goal for a 3 % reduction of the specific discharge has been reached.

1,5 1,0 0,5 0,0

COD BAT

BOD

Skjern Papirfabrik’s discharge

As will be seen from the diagrams above the discharge from Skjern Papirfabrik’s wastewater treatment plant is far below applicable BAT values for wastewater treatment for comparable paper production, except from value for SS that in 2013 is 20 % higher than the BAT value. This is primarily due to one single very high value measured during a period with operational problems and reduced discharge from the wastewater treatment plant.

Goals 2014 Treatment at our own wastewater treatment plant only until August 1, 2014, from which date wastewater will be led to treatment by the local authorities. Therefore, the objectives apply to the months, where our own treatment plant is in operation. The goal is to reduce COD discharge by another 2 % during 2014, measured in kg COD/tonne DM of finished products.

Skjern Papirfabrik

Page 25


Page 26


Energy balance Air emissions* - CO2 14,364 tonnes - SO2 0 tonnes - NOx 7.3 tonnes Electricity for paper production 19,054,737 kWh Electricity for heat production 4,654,427 kWh District heating sales 37,600 MWh

Natural gas 6,313,020 Nm3 Auto diesel 48,668 L Auto gas 17,884 kg *Relevant emissions according to environmental mapping

Notes on specifications of volumes Electricity, natural gas and oil

Measured, consumed amount

CO2 and NOx

Calculated on the basis of emission factors from the homepage of the Danish Energy Agency and key figures provided by Force

Auto diesel and auto gas

Purchased quantity

Use of energy Natural gas: Used for steam production in boilers Electricity: Used for electric motors, pumps, agitators, ventilators, etc. Auto diesel: Used for loader tractors and a large truck Autogas: Used for trucks As we made a large change to electric-powered trucks by the end of 2013 we anticipate a considerable decrease of the consumption of auto diesel and auto gas in 2014.

District heating sales Since 2010 there has been a small production of district heating from a flue gas boiler. Since december 2012 we produced a large quantity of district heating based on surplus heat from the drying unit of the paper machine. We use heat pumps to get the temperature at the desired level.

Skjern Papirfabrik

Page 27


Energy balance

(continued)

Energy related investments in 2013 During 2013 the focus has been on the running-in and operation of a heat pump facility that recycles waste heat from the paper drying process. The heat is then converted to district heating, which is allocated to the local district heating company. The performance of the facility has proven to live up to expectations. Based on the operating data for 2013 there has been a production of 32,019 MWh of district heating with an average annual COP factor of 6.9. The facility has been expanded with a pipe connection from the existing heat recovery system based on waste heat from the steam production. This means that a total of 37,600 MWh of district heating has been supplied to the Skjern city net during 2013. This corresponds to approx. 48 % of Skjern City’s total needs of district heating. During the 4 hottest summer months Skjern Papirfa­ brik can supply the entire need of district heating. The mill’s heating facility has in 2013 been converted from steam unit heaters to a water-based system based on waste heat from the new heat pump facility. In addition we invested in an improvement of the purifying process in the pulper section. This should give a better fibre utilisation and a better quality of the end product. This will not mean direct saving of energy, but can contribute to reduce discarded tonnes due to deviations as to quality parameters. At the same time the waste fraction reject to soil improvement is discontinued.

Goals and results for energy 2013 Goals and results are described in the following table: Goals and results specific consumption Spec. gas consumption Specific electricity consumption

Goals on 31/12 2013

Result on 31/12 2013

95.1 nm3/ gross ton

96.3 nm3/ gross ton

274.7 kWh/ gross ton

290.8 kWh/ gross ton

The above example shows that the goals for specific energy consumption were not reached. There is an excess gas consumption of 1.2 nm3/gross ton, equivalent to 1.3 %, and electricity consumption of 16.1 kWh/gross ton, equivalent to almost 5.9 %. The explanation for the excess gas consumption can primarily be found in a lower annual tonnage, increasing the specific energy consumption. Moreover, the development with more specialty products with high drying needs, but with a low tonnage return, continued in 2013. Despite the above factors the profitability of these products is satisfactory, which is why they were selected for the product palette. The excess in specific electricity consumption is explained in part by the installation of a larger exhaust fan from the drying section. This is part of the new heat pump project, which, with the installation of its new air/water exchanger, requires a higher fan capacity. The extra consumption of the fan corresponds to approx. 3 % of the total energy consumption.

Photo: Drying unit of the paper machine

Page 28


Energy balance

(continued)

In addition, a larger pulper motor was installed in the pulper section by the end of 2012 to achieve a higher tear capacity. This also influenced the energy consumption in 2013, where the effect was fully distinct.

According to key figures from the Danish Energy Agency one average citizen in Denmark will cause an emission of approx. 7.9 tonnes of CO2 per year. Thus the above saving corresponds to approx. 12 % of the individual CO2 emission.

By achieving a total district heating production of 37,600 MWh Skjern Fjernvarme has been saved an equivalent production of district heating. This corresponds to a total CO2 saving of 7,687 tonnes CO2 for the production of district heating in the Skjern City.

Development in energy consumption The following four diagrams show the development in energy for the last 5 years, both the specific consumption and total consumption in electricity and gas, respectively.

With approx. 78,000 inhabitants in Skjern City this corresponds to an average saving of approx. 1 tonne of CO2 per citizen per year.

After a number of years with strongly decreasing key figures the curve has changed. This partly illustrates that the â&#x20AC;&#x153;lightâ&#x20AC;? energy gains have been taken, and is partly a result of the fact that products have changed from simple types to more specialised ones.

Development in electricity compared to goal kWh/gross tonne

Development in gas compared to goal Nm3/gross tonne

300

120

290

110

280 100 270 90

260 250

2009

2010

2011

Goal

2012

2013

80

2009

2010

2011

Goal

Realised

2012

2013

Realised

Specific energy consumption, kWh/gross tonne

Total energy consumption, MWh 100000

1600 1400

80000

1200 1000

60000

800 40000

600 400

20000 0

200 2009 Total gas

2010

2011 Total electricity

2012

2013 Total energy

0

2009 Gas

2010

2011 Electricity

2012

2013 Total energy

Skjern Papirfabrik

Page 29


Energy balance

(continued)

Development in air emissions There has been a slight increase in specific air emissions. The reason can be found in the specific gas consumption having inreased.

Specific C02 emissions

Specific S02 emissions

Specific NOx emissions

2009

240.8 kg/tons DM

0.0 kg/tons DM

0.7 kg/tons DM

2010

237.2 kg/tons DM

0.0 kg/tons DM

0.121 kg/tons DM

2011

228.6 kg/tons DM

0.0 kg/tons DM

0.117 kg/tons DM

2012

233.5 kg/tons DM

0.0 kg/tons DM

0.119 kg/tons DM

2013

236.6 kg/tons DM

0.0 kg/tons DM

0.120 kg/tons DM

Goals and action plans 2014 The specific energy goal for 2014 was selected taking into account the previously mentiond conditions concerning changes in the product mix to more drying-intensive products. In future these are expected to become a permanent part of the product range. Wastewater treatment plant is expected to be closed during last half of 2014, which will have a positive influence on the energy consumption. In 2014 the reconstruction of the millâ&#x20AC;&#x2122;s heating system continues. Next step is from electrical panels to a water-based system based on waste heat from the heat pump facility. In addition we must add in an increased electricity consumption for charging of the electric-powered trucks. In 2014 we will look into the possibilities of optimising operations of the exhaust from the drying section of the paper machine.

Page 30

We expect an increased allocation of district heating from the heat pumps of approx. 1,000 MWh in 2014. The goal for electricity is a saving of approx. 115,000 kWh as a result of the optimisation of operations as to exhaustion, and the reconstruction of the heating facility. The goal for gas is to maintain the realised gas consumption for 2014.


Energy balance

(continued)

Painting 13: Painting given to Skjern Papirfabrik A/S in connection with the initialisation of heat pumps The painting symbolises the cooperation between Skjern Papirfabrik A/S and Skjern Fjernvarme

Skjern Papirfabrik

Page 31


Photo: Metal workers

Page 32


Glossary Accredited Approved Active sludge

Biological wastewater treatment with bacteria

Audit

Accountants going through materials

Workplace evaluation

Workplace assessment

BAT

Best Available Technique, criteria set out in BREF document

BOD

Biological oxygen demand in the course of 5 days, also called BI5

COD

Chemical Oxygen Demand in wastewater

COP factor

Efficiency (Coefficient of performance)

CO2

Carbon dioxide

DEHP

Oil-based chemical substance, primarily used for softening plastic products

DM Dry Matter Emissions

Emissions in air of e.g. NOx and CO2

FSC

Certification based on the use of wood fibres from responsible sources

Required value

Conditions in the environmental approval

LAS

Hazardous substances, mostly derived from soap

NOx

Nitrogen oxide

NPE

Hazardous substances, mostly derived from soap

PAH

Polycyclic aromatic hydrocarbons, often referred to as tar

RGV

Flue gas heat exchanger

SO2

Sulphur dioxide

SCADA system Computerised monitoring and management of the operations of the wastewater treatment plant, boiler house and heat pump system SS

Suspended solids from wastewater

Skjern Papirfabrik

Page 33


Photo: Sheet cutter

Photo: Raw material storage room

Page 34


Verification

Skjern Papirfabrik

Page 35


www.skjernpaper.com

Tryk på Strandbygaard.dk 96 800 700 / Svanemærket trykkeri 541-751 / FSC ® C048834

Birkvej 14 DK-6900 Skjern Tel.: +45 9735 1155 Fax: +45 9735 0909 E-mail: skjernpaper@skjernpaper.com

Sustainability report 2013  

for Skjern Papirfabrik A/S

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