2013 SEAISI Iron and Steel Sustainability ForumNov 25- 26, 2013, Jakarta

Updates on ASEAN Environmental and Safety Policies and Practices

Indonesia

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Commitment to Climate Change

• Indonesia’s government commits to cut emissions by 26 % in 2020 from ”business as usual” (BAU) levels and by as much as 41 % With international

stepping up investment in renewable energy, such as geothermal power,

changing the status the forest from that of a net emitter sector to a net sink sector by 2030.

• Implementation of REDD Plus.

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Safety initiatives

Safety initiatives Implementation

Internal safety induction course Required for project and new recruits

Annual safety training programs Conducted internally every year

Routine certification for operators and internal safety auditors

Required for relevant personnel, conducted regularly

Safety inspectionsConducted internally regularly involved contractors and third party

Sertification In 2011 has been sertified OHSAS18001

Random inspections Conducted at random time table

Job safety analysisIdentification and verification to ensure proper job safety implementation

Emergency response teamsEmergency response teams are established at company and business unit levels

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LT IFR performance

• Lost Time Injury Frequency Rate (LT IFR) is the number of

lost-time per million hours worked, within 2 x 24 work hours, due to injuries

• Certified OHSAS18001 in year 2011

• Golden Flag Certificate of EHS management system from The Ministry of Manpower and Transmigration since 2000

Awards in safety performance

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Singapore

1. The Inter-Ministerial Committee on Sustainable Development (IMCSD) had formulated a national strategy for Singapore’s sustainable development, including the following key goals :

Energy – Greater efficiency and diversificationreduce energy intensity (per dollar GDP) by 20% from 2005 level by 2020, and by 35% from 2005 levels by 2030.

Greenhouse gas emission - By 2020, Singapore’s Business-As-Usual* (BAU) emissions reach 77.2 million tonnes (MT) and to cut emissions by 7% to 11% below 2020 BAU levels.

Waste – Towards zero landfill. recycling rate from 56% in 2008 to 65% in 2020 and 70% in 2030

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Water – Towards self-sufficiency and greater efficiency reduce total domestic water consumption from 156 litres per capita per day in 2008 to 147 litres per capital per day by 2020, and 140 litres per capita per day by 2030.

Air Quality – Cleaner air reduce the annual mean for ambient fine particulate matter (PM2.5) from 16 µg/m3 in 2008 to 12 µg/m3 by 2020 and maintain it at this level till 2030. The ambient Sulphur dioxide (SO2) levels shall be capped at 15 µg/m3 by 2020 and maintain it at this level till 2030.

2. A national feasibility study ruled out Singapore’s use of nuclear power due to the safety concern continue to monitor new

technologies and develop capabilities in technology and emergency response

3. Businesses are encouraged to adopt an energy management system certified to ISO 500001

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Significant and commendable safety performance

Reduction of overall all workplace risks to lower levels

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Awards & Recognitions WSA’s Safety & Health Excellence Recognition

2011 & 2012

Climate Action STAR certificate awarded by World Steel Association 2012-2013 (5-year member recognition)

National Workplace Safety & Health Council (WSHC) Innovation Award

Green Label Certification

Singapore Environmental Achievement Award – Merit

Excellence in Energy Management Awards 2012

bizSAFE Partner Award

Winners of the Singapore Compact CSR Awards (2012) for the Green Champion category, which recognizes our sustainability efforts in energy and environmental management

Singapore Health Platinum Award 2012

Amongst the major awards received by NSH - World Steel Association Safety Excellence Recognition Award 2012

SINGAPORE COMPACTCSR AWARD

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1. Recast APEX Safety Committee

2. Supervisor Safety Dialogue to drive a bottom up safety movement

3. Operation Night Eagle

4. Ergonomics Task Force

5. Working At Height Task Force

6. Implementation of Road Traffic Safety Management Plan

7. Perimeter Surveillance and Card Access System Designed and Implemented

8. Operational Discipline Self Assessment and Implementation etc.

SAFETY INITIATIVES

Safety, Health and Environment Initiatives

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1. Challenge to allow for the provision of wide buffers between industrial and residential land

2. The Singapore Civil Defence Force has issued a circular under the Fire Safety Act on requirements for safe transport of flammable materials, including hazardous industrial wastes on Singapore roads.

3. The NEA enforces environmental requirements by regular inspections and prosecuting offenders in court

4. Basel Convention on Jan 1996 for Internal storage, handling, use, transport, import, export and disposal of hazardous

industrial waste

Constraint and External Factor

1. The Energy Conservation Act 2012 ,22 April 2013 (applicable to business consuming 54 tera-joules of energy

per year) businesses are required to implement the following energy management practices:

(a) To appoint an energy manager within 30 days of being registered

(b) monitor and report energy use and greenhouse gas emissions to NEA annually (c) submit annual energy efficiency improvement plan to NEA

An energy manager must holds a Singapore Certified Energy Manager (Professional Level) certificate issued by the Institution of Engineers, Singapore.

Legislation

2. The Workplace Safety and Health Act (WSHA) requires the owner, occupier, employer and other stakeholders of a factory or workplace to take reasonably practicable measures to ensure the safety and health of workers and other people that are affected by the work being carried out.

The WSHA also regulates the permissible exposure levels, control and disposal of any toxic or noxious materials, whether solid, liquid or vaporous from any factories or workplaces.

Legislation

The Pollution Control Department (PCD) may require developers of special industries to carry out :

A Quantitative Risk Assessment (QRA) in order to identify and quantify hazards and risks related to the transport, use and storage of hazardous materials

An emergency response plan (ERP) to mitigate all accident scenarios identified in the QRA study

A pollution control study to assess all pollution impact on the environment and recommendation of measures to mitigate such impact.

Policies

The government has set aside $680 million to build new capabilities in Clean Energy and Water Technologies and $20 million Solar Capability Scheme (SCS) to encourages innovative design and integration of solar panels into buildings.

The government had provided funding to support the steel industry in the development of Waste Heat Recovery System (Organic Rankin Cycle) for electricity generation.

Developing better practices focusing on working at height, material handling, positive energy isolation and ergonomics.

Waste minimization towards the target of zero discharge.

Reasearch & Depelopment for Environment / Safety

Using ladle slag as aggregates in precast concrete product and for reclamation use

Monitoring of CO2 Emission and Abatement (MoniCA) Software (developed by Tata Steel R&D)

Reasearch & Depelopment by NatSteel

Vietnam

1. During the period of the 1st 6 months in Vietnam 3,322 labor accidents occurred

323 people killed and 759 people injured

2. VSA has sent petition letter to MoIT and EVN to reject the discrimination against the electric fee applied for steel mills.

requests for the proper timeframe so that steel mills can improve their technologies gradually given that the steel industry is now facing a lot of difficulties due to market down turns.

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Area/industry where the accidents occurred

•Mining - 22,95% of total cases ( 22,22% of total fatalities)

•Construction - 21,31% of total cases (20,63% of total fatalities)

•Electricity/Power supply - 6,56% of total cases ( 6,35% of total fatalities)

•Fabrication - 3,3 % (3,2% of total fatalities)

General Information on the Safety Figure

Accident contributing factors

•Falls from height - 26% of total cases (25% of total fatalities)

•Dropped objects and structure collapse - 20% of total cases (19% of total fatalities)

•Being caught/crushed by rotating equipments - 18% of total cases (17,5% of total fatalities)

•External road - 13,11% 20% of total cases and (12,7% of total fatalities)

•Electrocution - 9,84% of total cases (9,52% of total fatalities)

•Flying objects - 9,84% of total cases (9,52% of total fatalities)

General Information on the Safety Figure

• Due to the negative trends of safety performance countrywide MoLISA is collecting ideas and feedbacks from local companies/businesses to formulate the Safety Law and planned to publish the Safety Law and guideline in the next 3 years

• Due to the power shortage and high CO2 emission from old technology steel mills EVN, DoIT and MoNRE requested all steel mills to put in place the energy management program (5 year plan) and assign Energy Management Officer and may apply higher electricity fees to mills operating old technologies ( Governance audits on annual basis)

Legislation on the Environment & Safety

Activity related to Environmental Issue

• Green Products discussion and application to promote the environment friendly products in steel industry especially roofing & walling

Malaysia

• Green Technology (GT) Road Map

• National Energy Efficiency Master Plan (NEEMP)

• Green Technology Policy

• Incentives for Environmental Management

• Occupational Safety and Health Master Plan for Malaysia 2015 (OSH-MP15)

Environmental / Safety Programmes by Malaysian Government

Enacting the Environment Quality Act – (Act 127 - 1974)

21 Regulations, 2 Rules and 16 Orders

Green Technology Policy

Legislation in Environment

Legislation in Safety and Health

• Factories and Machinery Act 1967 (Revised - 1974) (Known as FMA 1967 or Act 139) Involving The Iron and Steel Industry

• Occupational Safety and Health Act 1994 (Known as OSHA 1994 or Act 514)

• Petroleum Act (Safety Measures) 1984 (Act 302)

Acts implemented by Department of Occupational Safety and Health (DOSH) under the Ministry of Human Resources

1. Investment in new facilities/process to recycle the byproducts for process line by Steel Industries.

to minimize waste and reduce environmental impact.

2. Some non steel industries in Malaysia are collecting waste from Malaysia Steel industries as parts of their raw materials.(With references from advance country like France, America and etc)

3. DOE officers are picking up steel industries as one of their KPI.

4. Steel industries require to employ competent environmental specialist to look at Waste water treatment, gas emission quality and disposal of schedule waste. Report on monthly basis.

Mitigation / Measures on the Environmental Issues

Seminars, forums and conferences to increase the environmental consciousness among publics

the impact of air pollution, ozone layer depletion, greenhouse effect/global warming, acid rain, deforestation, water pollution, land pollution etc.

Among of the involved organisations are :• ENSEARCH (Environmental Management and Research Association of Malaysia)

• CETDEM (Centre for Environment, Technology & Development, Malaysia)

• WMAM (The Waste Management Association of Malaysia)

Environmental activities by NGO

Some steel industries have joint study with environmental facilities provider to extract oil from coolant.

Research and Development

Extract oil

Waste Water Treatment

Boiler Fuel

Coolant

Waste Water Discharge

(with the quality specified in Act 1974 schedule B)

Waste

Philippines

• Proposal of DENR Administrative Order (DAO) establishing the National Ambient Air Quality Guideline Values for PM2.5 ( to include PM2.5 as hazardous air pollutant) The proposed DAO is mandating a more stringent standard of PM2.5 than the current PM10 policy under RA 8749 of the Clean Air Act (CAA) of 1999

• Construction, installation and operation of 2x150MW CFB Coal-Fired Thermal Power Plant in Subic, Zambales The proposed Power Plant project as its perceived environmental effects and alleged non-consultation with the Local Government Units.

Environment Related Issues in Philippines

• The FPI Environment Committee, suggesting the deferment of the proposed DAO until all concerns and hanging issues are finally resolved An FPI-EMB Consultation meeting was conducted on Oct. 2012 at EMB-DENR office.

• The Industry would want to request Philippine Judicial Academy (PHILJA) Chancellor to intervene for industries that might be affected by the misconceptions and misunderstandings of Phillipines laws as against the international commitments.

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Thailand

• Thailand steel demand was predicted to rise approximately 14.7

million ton in 2011, jump by 5% from 2010. It’s expected that

consumption rate would be increased to nearly 20 million tons in

2015

• In 2005, the Pollution Control Department developed the

emission inventory of PCDDs/PCDFs in Thailand. The annual

release from Ferrous and Non-ferrous metal production were

found 19.776 g I-TEQ to air and to 98.77 g I-TEQ residue, which

accounted for 7% and 12.99% of total release respectively.

General Information

• The ASEAN Economic Community (AEC) shall be the goal of

regional economic integration by 2015

• International, green peace, and local NGOs are actively

involved in any development in Thailand especially major

industry projects

• Thailand’s Constitution B.E 2550 (2007) Clause 67 paragraph 2

under human rights subject all projects that might cause

major harmful to communities in term of natural resources,

environment and health to make comprehensive study of EHIA,

to have public participation and to have independent

organization on health and environment review before

permitting

External Factors

• Trend in Waste Management and Recycling Regulations The owner of factory type no. 106, recycling materials shops,

has to obtain permission from Department of Industrial Works before transporting the reuse/recycle materials to iron & steel plants.

• Promotion of Eco-Industrial Town The Ministry of Industry has set the eco industrial projects as

the main policy for the next few years. The projects introduced the waste exchange and waste utilization within and outside the industrial area.

• Promotion of Sustainable Development for Thai Industry This project might enforced the steel plant to use more

environmental sound technology to prevent the environmental impact. Implemented tools using by Thai industry to support sustainable development in the enterprise are include Cleaner Technology (CT), EMS for SME, LCI/LCA, etc.

Policies

• In 2010-2015, Thai government supported by JICA conducts

the development of Pollutant Release and Transfer Register

(PRTR) project to develop the data system to identify the

specific chemical released from sources

Risk communication process to public to gain more trust

from public in chemical management field of plants.

• Since 2003, Thai government agencies, leading by MTEC,

has generated the National Lifecycle Inventory (LCI) for

basic materials and energy

to support steel industry in implementing the eco labeling

program such as carbon footprint, water footprint

Measures on the Environmental Issues

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