ENVIRONMENTAL performance in 2012

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1 ENVIRONMENTAL performance in 2 UPM Caledonian

2 UPM leads the integration of bio and forest industries into a new, sustainable and innovation-driven future. Our products are made of renewable raw materials and are recyclable. UPM consists of three Business Groups: Energy and pulp, Paper, and Engineered materials. The Group employs around 22, people. UPM is present in 67 countries and have production units in 17 countries. UPM s annual sales exceed EUR billion. UPM s shares are listed on the Helsinki stock exchange. UPM The Biofore Company UPM Caledonian UPM s Caledonian mill is situated in Irvine on the West Coast of Scotland approx. 5 kilometres southwest of Glasgow. In production since April 1989 the Caledonian mill is capable of producing 28, tonnes of lightweight coated paper (LWC) for printing magazines, catalogues, brochures. The mill has a Biomass Combined Heat and Power (CHP) plant, a single paper machine line, a debarking plant, a pressurised groundwood (PGW) mechanical pulp mill and a primary effl uent treatment plant. Effl uent is then treated further in the neighbouring Municipal Waste Water Treatment Plant operated by Scottish Water. Environmental issues are an integral part of everyday operations. Targets are set as part of our annual planning process with our key environmental aspects and impacts idenfied through our regulatory and business requirements to demonstrate continuous improvement. These are followed closely through the year. Our objective is to produce attractive and competitive paper with the lowest possible overall environmental impact. Through open communication we actively provide our customers, employees, environmental authorities, as well as our local community with information on environmental issues and knowledge of the mills operations. UPM Corporate ENVIRONMENTAL statement 2 UPM pulp and paper mills UPM Caledonian Environmental Performance 2 is a supplement to the Corporate Environmental Statement of UPM s pulp and paper mills (available at and provides mill-specific environmental performance data and trends for the year 2. The annually updated mill supplements and the UPM Corporate Environmental Statement together form the joint EMAS Statement of UPM Corporation. The next Corporate Environmental Statement and also this supplement will be published in 214. Production capacity up to 28, tonnes of paper Personnel 295 Products Coated Magazine Papers: UPM Cote UPM Ultra UPM Ultra Silk Certificates Quality Management System ISO 91 Environmental Management System ISO 141 Occupational Health and Safety Management System OHSAS 181 PEFC Chain of Custody (Programme for the Endorsement of Forest Certifi cation schemes) FSC Chain of Custody and PEFC Chain of Custody (CoC) The certifi cates can be found at > Responsibility > Principles and Performance > Certifi cate Finder. Environmental labels European Union Ecolabel FI//1 PEFC/ UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2

3 Environmental year 2 This Report gives information on the Mill s environmental performance and covers the most signifi cant environmental impacts emissions to Air and Water; Waste and Material consumption. During 2 the mill reported two ELV failures to SEPA. There was one breach in emission to air of CO (carbon monoxide). This was as an unexpected consequence of the introduction of new cleaning technology within the boiler. This new technology using induced pressure waves was intended to clean areas of the boiler whilst still in operation. Unfortunately, during the cleaning operation the CO limit was breached. This was attributed to higher volumes of air entering the boiler when a furnace door was open for an extended period during the cleaning operation. The second reportable breach concerned a failure of the total suspended solids limit per ton of LWC produced. This occurred during a period of operational diffi culties within the pressurised groundwood screening and cleaning plant. During this time the mill had diffi culties controlling the effl uent solids which resulted in the failures. Some minor operative investments have since taken place to remove the operational problems encountered. These should ensure better control of the plant and reduce the potential for high solids impacting the operation of the effl u- ent plant. UPM Caledonian continues to operate according to its Pollution Prevention and Control (PPC) Permit. Our Annual Compliance assessment by SEPA was judged to be Broadly Compliant. This takes our performance against Environmental Limit Conditions and Environmental Management Conditions into account. The Broadly Compliant assessment highlights that SEPA believe there are still several areas for improvement. These areas include our performance against our ELV targets and in compliance with the reporting requirements of our PPC permit. UPM introduced its Clean Run program in 2 to all sites with the objective to improve environmental performance. Caledonian reported 13 failures against our Clean Run targets in 2, these include the two PPC failures mentioned above the others were attributable to effl uent control against our agreement with Scottish Water for suspended solids, COD and BOD. Caledonian was audited by the Clean Run team in October 2. The main fi ndings of the Audit team are summarized in the bullet points below. The number of Category 3 Clean Run Deviations are not an accurate or complete refl ection of the mills overall environmental performance. General appearance and housekeeping at the mill is excellent, giving a good overall impression of current environment management. The scope of environmental management is compliance based rather than beyond-compliance There is an immediate and long term need to assess all options for treatment of mill effl uent to reduce deviations and future costs. Risk Assessment could be taken to the next level, from Assessment of Signifi cant Aspects to HAZOP The above comments will be refl ected in the Mill Plans going forward. UPM Caledonian will continue to focus on improving our compliance with both PPC and local WWTP objectives and will continually strive to reduce the impact of our operations to the environment. Gordon Mitchell, General Manager UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2 3

4 Air Over the last two years there has been a marginal increase in emissions to air for several parameters which is primarily attributed to increasing operating rates of the boiler. There was only one failure in the emissions to air in 2 which required reporting to SEPA which occurred in April. The breach concerned the CO ELV and occurred during a period of cleaning using a new technique called Pressure Wave Technology which would have had the benefi t of cleaning areas of the boiler while being fully operational. This technique utilises balloons infl ated with an explosive mixture and inserted into the area to be cleaned and the remote ignition causes a pressure wave which should dislodge any build-up of material. During this trial we had diffi culty in closing the furnace doors which in effect allowed excess oxygen to enter the furnace which contributed to elevated CO emissions. There has been a marginal increase in both oxides of Nitrogen and Sulphur which is primarily due to a higher operating rate in 2. There has been a decrease in the fossil carbon dioxide emissions in comparison to 2, which can partially be attributed to the operation of the auxiliary boiler. In 2 the auxiliary boiler would be left in a standby status during periods of non-operation to ensure a seamless transition in the event of any failures of the CHP boiler. In 2 this practice ceased and the auxiliary boiler was ignited from cold during which there were no issues with these start-ups when the auxiliary boiler was required. This in essence contributed to higher carbon dioxide emissions in 2 due to more natural gas use. FOSSIL CARBON DIOXIDE, CO 2 1, t/a SULPHUR DIOXIDE, SO 2 t/a NITROGEN OXIDES, NO X t/a DUST t/a UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2

5 Water and Effl uent Waste Fresh water is a vital component in the paper production process and is constantly monitored and measured. Optimisation is a key factor to minimise fresh water intake and to ensure the minimum quantity is discharged as effl uent. Excellent progress was made in 2 with a signifi cant reduction of 99k tonnes of fresh water used. On a similar note the volume of effl uent discharged to the municipal effl uent treatment works decreased for the third consecutive year. June 2 was a diffi cult period for managing the effl uent total suspended solids with several incidences of suspended solid levels being above the required levels of the agreement with our water supplier and resulted in a breach of our PPC limit which required reporting to SEPA. The operation of the fi ltrate system within the PGW process was the contributory factor to the higher effl uent solids. Modifi - cations have been made to the process to minimise future occurrences. A great emphasis on operations continued in 2 to the PGW bleaching process to ensure the control of COD and a positive improvement can be seen in the daily COD tonnes leaving site in the effl u- ent stream. Overall improvements in the total suspended solids and the BOD were evident in 2 in comparison to 2. Waste continues to be an area of focus with great emphasis placed on re-use and recovery. This is especially important for the boiler ash which is currently being reused for liquid remediation in third party waste treatment facilities. Unfortunately the waste to landfi ll increased in 2 as a result of two failures within the sanitary effl uent system which resulted in the waste during these periods leaving site via tanker over our weighbridge. BIOLOGICAL OXYGEN DEMAND, BOD 5 t/a CHEMICAL OXYGEN DEMAND, COD mg/l SOLID WASTE BDt/a 25 2, , 6 15, 4 8, 2 5 4, Landfill Ash Recovered/ Recycled TOTAL SUSPENDED SOLIDS, TSS EFFLUENT PH mg/l Limit value Upper and lower limit UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2 5

6 Environmental parameters 2 The fi gures related to production as well as raw material and energy consumption are published as aggregated fi gures on group level in the UPM Corporate Environmental Statement. Production capacity Paper 28, t Raw materials Energy Emissions to air Biogenic Fuels Fossil Fuels Electricity Sulphur Dioxide, SO X Nitrogen Dioxide, NO X Carbon Dioxide (fossil) Carbon Dioxide (biogenic) Dust See UPM Corporate Environmental Statement for more information 95% 5% See UPM Corporate Environmental Statement for more information 84 t 386 t,797 t 373,984 t 3.7 t Water intake Fresh Water 3,641,548 m 3 Discharges to water Waste* Size of mill area * Dry weight (or including moisture) Chemical Oxygen Demand Total Suspended Solids Effl uent Volume Landfi ll Materials Recycled Materials Recovered Materials (includes Ash) Hazardous Waste 4,73 t 37 t 3,159,4 m³ 8 t 585 t 13,641 t 889 t 33.1 ha The CHP plant which was commissioned in 29 has had a major impact on fossil fuel emissions. The plant produces all of the mills heat requirements and a significant proportion of the mills electricity requirements. 6 UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2

7 Performance against targets in 2 TARGET ACHIEVEMENT COMMENTS Implement UPM Clean Run strategy Observe, Prevent, Act Continuous environmental improvement Yes Clean run implemented during 2 with UPM audit in October. Areas identifi ed for improvement. disappointing year with 13 clean run deviations reported in 2, 7 of which were attributed to suspended solids control of the effl uent system. All reporting requirements as required by PPC fulfi lled Yes Some minor reporting errors were highlighted, however, these were clerical rather than factual errors Develop a fuel supply profi le to comply with emissions to air with in the CHP plant Investigate and plan for the combustion of increased levels of recycled fuels Effl uent system review investigate the re-use of clean water streams within the CHP plant to reduce the volume of effl uent requiring treatment. Yes Partial Yes Excellent year for compliance with emissions to air compliance. One instance of a CO breach in April which was attributed to a new wave technology cleaning system Detailed desk analysis carried out on the fuel mix scenarios and request for variation to permit submitted to SEPA in 2. Not fully implemented in 2, discussions ongoing with further progress in 213 expected. Investigation complete. Trial carried out with re-use of the CHP turbine and boiler blow down effl uent streams within the paper machine area. This was not successful due to fi lter blockages. Environmental Targets 213 Key Areas of Focus Figures in brackets represent (Target 213/actual 2) Reduce Clean Run Category 3 breaches by 5% (< 7/13) No Clean Run Category 4 breaches (/) No Breaches of PPC conditions (/2) Improve SEPA OPA assessment (Good/Broadly compliant) VALIDATION STATEMENT The Environmental Data to be contributed to the group environmental statement 2, has been validated to all the pertinent requirements of the regulation 21/29EEC. The EMS and the programme are in place and have been seen to comply with Annex I. Environmental review and Audits have been conducted in accordance with Annex I & III. The data and Information in the contribution is reliable and adequately covers all significant and relevant environmental aspects. REG.NO. FI - 58 Richard Edmond BSI Environmental Specialist Client Manager Strategic Delivery UK EMAS Verifier Registration No. UK-V-2. UPM CALEDONIAN, ENVIRONMENTAL PERFORMANCE IN 2 7

8 UPM Caledonian UPM (UK) Ltd, Meadowhead Road, Irvine, Ayshire KA 5AT Scotland, UK Tel. +44 () Fax +44 () /213

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