Waste Management Overview

Tom Quinn, EHS Manager, Masonite IrelandEnterprise Ireland – Thursday 3rd April 2003

AgendaCompany BackgroundWaste Issue and the Business Risk Key Challenges & Issues for the Business?“Delivering Change at a large Business Site” ?Masonites response - Waste Management StrategyDesign for the Environment & Integrated Waste PlansIdentify Critical Success FactorsFuture Trends and Plans

Masonite IrelandLocated outside Carrick on Shannon, Co. LeitrimCommenced operations in 1997Cumulative investment of €150 million€15 million Investment in Environmental ControlsA unique, integrated, global building products companyLargest manufacturer & merchandiser of doors in the worldOne of the largest stand-alone manufacturing facilities in Ire.Located on 100 acre site with 15 acres under roof300 Employees – operating to World Class Manufacturing Std.Capable of producing 21m door panels per yearFully automated, state-of-the-art manufacturing facility

Environmental – Key FactsEPA – Integrated Pollution Control Licenced Operation

Environmental System is modelled on the ISO 14,001 EMS

Currently implementing ISO 9001:2000 Standard

Significant Investment in environmental control technologies

Environmental Team to implement EMS

Environmental issues are a key priority for the Business

Developed strong links with the Community

Good relationship with the Regulators

Active in assessing and addressing Environmental Risk and/or liability to the business

BUSINESS GOALBUSINESS GOAL

020406080

100120140160180200220240260

1997 2000 2005 2010 2015

Shareholder Value

Volume

IncidentsInjuriesIllnessWaste

Drivers Stakeholders

Product Design

PackagingEco DesignMaterial InputsLCA

Legislation(Society)

Legislation(Society)

Capacity(Infrastructure)

Capacity(Infrastructure)

Cost(Market)

Cost(Market)

Process Optimisation

Infor.Exchange

EMS

EmployeesCommunityContractorsSuppliersRegulators

WasteProcess controlsEquipmentMaterials

Key ChallengesLegislative and Regulatory Compliance FrameworkInfrastructural DeficienciesRising costs and loss of competivenessLegal, Financial and Environmental LiabilityIncreasing growth and waste productionImplementation of National & Regional Waste PlansCorporate ResponsibilitiesImplications for Inward Investment Emerging Regulations (IPPC, Protection of the Env. Bill)Delivering an Effective Waste StrategyChanging Attitudes and Culture – Behavioural IssuesLack of Leadership on the issueNo defined Road Map

Reduction in Number of Landfill

0

50

100

150

200

250

300

350

1985 1990 1995 2000 2005 2010

300

20

9550

PROPOSED WASTE MANAGEMENT STRUCTURE IN IRELAND

Producer Responsibility UnitAdvise on Enforcement

&Producer Responsibility

Core Prevention Steering Group &Core Prevention Team

National WastePrevention Programme

EPAWaste Licensing

Research

Local AuthoritiesProvision of Service

& Infrastructure

Recycling Consultative ForumAdvise

onRecycling

Market Development GroupMarket

DevelopmentProgramme

National Waste Management BoardCo-ordination, Monitoring

Review, AdviceEducation & Awareness

DOELGNational Policy Regulation &

Funding

“Delivering Change – Our Approach”

Where and how do waste streams arise?

What are their quantitative characteristics?

What raw material resources are being wasted?

What are the full costs of treatment/ disposal?

Are there obvious reduction or recycling opportunities?

Waste Management – Key Aspects

REPAK

Packaging

ClassificationEWC & HWL

NHWMP

Hazardous

LA Plans

Non-Haz

WM Planning

Registers

Permits &Licences

Facilities

Collection permits

C1's & TFS

Movement

Labels &Packaging

Storage

Management

WM Licencing& Control

WMA 1996

Policy & StrategyCompany Policy and Management CommittmentResources and StructureAnalyse our Business modelAssessment of our Supply Chain & Process

Suppliers Manufacturing Customer Quantify the problem, and Measure/ Track ProgressAwareness and Training ProgrammeImplementation planTime Frame and Cost/ Benefit assessment

Starting Out – Information Gathering

Design Information:Process flow/ Equipment lists/ O & M manuals, etc

Environmental Information:Waste manifests/ emission inventories/ audit reports

Raw material/ production information:MSDS/ material inventories/ production records

Economic Information:Raw material costs/ waste disposal costs/ labour costs

0

1000

2000

3000

4000

5000

6000

7000

1997 1998 1999 2000 2001 2002 2003Proj

Ton

nes

0

10

20

30

40

50

60

70

Ton

nes/

mm

sf

Was te generated tonnes /mmsf

Waste Generation – 1997 – 2003

WASTE BREAKOUT 2002

Landfill30%

Hazardous2%

Recycled68%

WASTE GENERATED: 4329 TONNESWASTE GENERATED: 4329 TONNES

0

5 0 0

1 0 0 0

1 5 0 0

2 0 0 0

2 5 0 0

3 0 0 0

3 5 0 0

1997 1998 1999 2000 2001 2002 2003 proj

Ton

nes

Effl u e n t s l u dge W oodch i p s cre e n i n g s Pape r/C boardM e ta l W ood/pa l l e ts G l as sPl as ti c O i l Fl u o re s ce n t l i gh t bu l bsB atte ri e s C om pu te r was te T on e r cartri dge sO i l fi l te rs C O D vi a l s

Waste Recycled – 1997 – 2003

200180

150

102

54484852

110102

0306090

120150180210240270300330360390

1997 1998 1999 2000 2001 Q 1,2002

Q2,2002

Q42002

2003 2004proj

Was

te d

ispo

sal c

osts

in E

uros

LANDFILL COST EURO/ TONNE

Waste Costs - 2002

349,098

19,690

36,077

101,031

192,300

COST (€)

N/A4329Total

N/AN/AMiscellaneous

122953Recycled

107494Haz

1501282Non Haz

COST/ T (€)TONNESTYPE

Cost Avoidance: €442,950

Non Hazardous Waste

Landfill

General Waste

Ash

Paint Filters Landfill

Paint Sludge

Incineration –Finland

Chemical Store

Disposal route

Labelled Drum

Hazardous Wastes

Recycled Waste

Effluent Sludge

Woodchip Screenings

Recyclable Wastes

Paper/Cardboard

Glass

Plastic

Scrap Metal

Wood Waste

Toner Cartridges

Old Batteries

Fluorescent Tubes

Waste Oils

“Delivering Change – Our Approach”

Integrated approach to Waste ManagementInput Changes:

Purchasing practices/ Green procurement/ Criteria Chemical Impact Review and MSDS ReviewEHS approvals for changes to process and equipmentEnvironmental review and approval for Capital InvestmentMaterial substitution

Product Changes:Review to product and product compositionCustomer requirementsPackaging requirementsEnergy and waste minimisation

“Delivering Change – Our Approach”Integrated approach to Waste Management

Technology Changes:Process/ equipment/ automation/ operational settingsProcess flow diagrams/ Clean technology

Operating Practices:Procedural measuresLoss prevention and Yeild improvementManagement practicesWaste segregationMaterial handling systemsProduction scheduling and product runs

“Delivering Change – Our Approach”Integrated approach to Waste Management

Use, Reuse and Reclamation:Return to suppliersTake back from customersProcess and reclaim on-siteIncorporate waste/ by-product back into the process – product recoveryWaste to energy

Waste - Training

Training of employees is vital.

Training in operation of systems & EHS awareness training is mandatory on-site

Variety of training courses.

All certification training is tracked and reported to management regurarly.

Waste/ Environmental Awareness Week

Pollution Prevention Team

Cross Department Team Team meeting every other monthFocus on implementation of the EMPSeek out opportunities to reduce waste Implement improvement measures in their Dept.Role of this team is to provide programmes which operations people sustain and developIntegration of EMP into the business

Waste ManagementDay to Day System

Dedicated bins with segregation as the key objective

ACHIEVEMENTS – SUCCESS FACTORSImplemented an Integrated Waste Management ProgrammeEngaged the Employees in the Waste Minimisation DriveReduced Waste on-site by 66% per unit productionRecycled 68% of waste generated in 2002Segregation process and Mindset of employees is Key FactorCost avoidance of €442,950 in 2002Conduct regular Audits of Contractors Recognised at National and EU level for performance to dateCompliance with Regulations & manage liabilityPartnership with the Community and RegulatorsImpact on Local Environment has been reduced

Standards of ExcellenceAward Year

Safety: National Irish Safety Organisation (NISO) 2001“Best New Entrant” – Occupational Healthand Safety Awards.The Ministerial Millennium Health & Safety 2001“Special Merit Award” for innovative Healthand Safety Projects.HSA Good Neighbour Scheme Company 1998, ’99,

’00, ’01.Environmental:

Winners of IBEC National EnvironmentalAward for Industry (EU Sponsored Scheme)“Overall Winner – Clean Technologies” 2002

Nominated for the 2002 European EnvironmentalAwards for Industry (October 2002)“Process Award for Sustainable Development” 2002

PROJECT BENEFITS“Redesign of paint coating process resulting in

environmental and economic benefits”Invested in new coating (spray) boothsConverted to alternative coating materials

Increased coating efficiency & raw material conversion rateReduction in waste paint and wastewater generationElimination of major air emission exhaust pointDecommissioning of air abatement systemReduction in air monitoringReduction in man-hours required to clean the boothsElimination of Gas Fired Infra red Ovens Reduction in energy consumption

Total Cost Savings of Project €3.17 M

CONCLUSIONSCosts of waste mgt. likely to continue to increase in the short termLandfill Tax, reduction in Capacity & Transport – will lead to further cost increaseBan on specified waste to landfill being enforcedBusiness should adopt a clean technology mindset – use of less haazardous materialsBenchmarking of system – cost/ technologies/ National/ EU levelAddressing variance in waste disposal & recycling costs across the CountryNeed to treat all waste producers equally in terms of waste charges – Polluter PaysFurther reduction in the number of landfillsGovernment to ensure that a modern, efficient & effective waste infrastructure is put in place Need to see the full implementation of the Regional Waste Management plansWould like to see greater competition in provision of waste servicesPay per weight for wasteNeed to see significant investment in the waste management infrastructureNeed to challenge the Regulatory and Judicial timeframe for the development of facilities

Optimisation of in-house waste reduction & recovery best option