RC Management - RC (the Environment, Safety, and Health) - Society - Responsibility to Our Stakeholders - CSR Report 2012 - JSR Corporation

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CSR Report 2012

RC Management

What is RC?

RC logo

RC is an abbreviation for Responsible Care™. Responsible Care (RC) refers to autonomous management activities aimed at carrying out and improving policies relating to safety, health, and the environment as part of a company's public commitment in its management policy. It is based on the principles of self-determination and self-responsibility on the part of the company involved in producing and handling chemical substances, and covers the lifecycle of chemical substances – from development and production to distribution, use and disposal.

Environment and Safety Management Policy

JSR developed the following promotional areas with reference to "Management Policies – Responsibility to Our Stakeholders" and the Japan Chemical Industry Association's (JCIA) basic policies on the environment and safety. We create concrete activity plans and promote Responsible Care activities based on these areas.

Management Policies – Responsibility to Our Stakeholders

Promotional Areas and Policy

1. Undertake product development in consideration of safety and the environment
When developing new products, JSR evaluates the environmental, safety and health impact at every stage from research and development to manufacture, transport, use and disposal, and makes utmost efforts to provide products that put into consideration such evaluations.
2. Provide safety and environmental information related to products
JSR sets in place a system for management of product-related safety and environmental information and furnishes Material Safety Data Sheets (MSDS) and yellow cards to customers, transporters and others as necessary.
3. Preserve the environment and assure safety for local residents
JSR takes a positive approach in its measures for preserving the local environment, facility safety, and protection against major earthquakes, taking into consideration the impact its business activities have on the environment. JSR's objective is to earn even greater trust at its business locations.
4. Reduce environmental impact
JSR conducts studies on the environmental impact of chemical substances and works toward the systematic reduction of emissions. JSR engages in thorough efforts to reduce sources of emissions, reuse materials, and recycle resources in order to lessen environmental impact.
5. Assure safety and environmental preservation in international operations
JSR makes every effort to ensure that environmental and safety standards are observed at each operating base outside Japan. JSR cooperates with cross-border transfers of technology in these fields and strictly adheres to the regulations of Japan and other nations.
6. Ensure employee health and safety
Constantly at work on advanced evaluation of safety matters related to chemical substances and their handling, JSR is dedicated to improving operations and facilities, and to creating a healthy and safe workplace environment.

Environment and Safety Advancement Structure

Environment and Safety Advancement Structure

JSR Signs Declaration Supporting RC Global Charter

Declaration of support for RC Global Charter

The Responsible Care (RC) Global Charter is a voluntary activity policy adopted by the International Council of Chemical Associations (ICCA) and shared by the chemical industry to enhance and reinforce RC activities around the world. JSR subscribes to this activity policy and signed a declaration supporting the RC Global Charter in October 2008. By signing the declaration, JSR has committed itself to making even greater contributions to health, safety, and environmental preservation not just in Japan, but around the world.


ISO Certificate Acquired

By 1999, all JSR plants had acquired ISO 14001 certification, an Environment Management System that supports environmental management. Together with the ISO 9001 Quality Management System, we will continue to receive regular audits by the authority concerned to maintain ISO 14001 and ISO 9001, and will strive to improve our systems for protecting the environment and product quality. All plants successfully passed regular audits again in FY2012 (April 1, 2011 to March 31, 2012).

The Environmental and Safety Internal Audits

Audit by the president-led auditing team (Chiba Plant)

JSR's head office annually conducts internal audits of the plants and research center, with the president as head of the auditing team. We also audit our business sites approved for high-pressure gas-related operations as well as our approval inspection management department to confirm that approval criteria are being met.
In FY2012, audits were conducted on improvement activities at four business sites (including plants and nine local Group companies), with the following four areas of focus for environmental and safety goals.

(1) Confirm what kinds of security control and disaster prevention measures have been taken in the workplace in case of emergency, including a large-scale earthquake, and check whether the measures have been made known to everyone in the workplace and whether emergency drills are being carried out on a regular basis.

(2) Confirm whether active verbal communication (a communication habit commenced in the previous year), basic actions and personal efforts to improve are being carried out by all employees, both new and experienced, to be more aware of safety, and whether the effects of such efforts are being assessed appropriately.

(3) Confirm whether the targets, issues and strategies of environmental and energy-related activity plans based on the E2 Initiative™ have been made clear and whether the steady implementation of the plans are being pursued.

(4) With regard to environmental and safety activities of Group companies, confirm whether appropriate measures against obsolete facilities and equipment are being taken, and whether electrical systems in particular are being inspected, maintained and improved in a systematic and appropriate manner.

We implement measures to improve issues raised by the audits to further raise environmental and safety levels. In addition, each business site conducts its own environmental and safety internal audits on a regular annual basis.

Environmental/Safety Audits in all Group Companies

Auditing an overseas Group company

At JSR, we implement environmental and safety audits at all of our Group companies in Japan who are involved in production, transportation, and engineering processes in order to achieve integrated "Responsible Care" activities. We audited four business sites of four companies during FY2012, and provided them with assistance for raising the level of their environmental and safety activities based on the unique circumstances of their business.
We also perform audits of overseas Group companies, having started audits of nine companies in FY2006. We verify the environmental and safety activities and challenges of each company within the context of local laws and culture and advise them on ways to achieve higher performance levels. In FY2012, we audited Elastomix (Thailand) Co.,Ltd. We will continue to implement environmental and safety audits of our overseas Group companies to ensure environmental and safety levels.

Environment Merit Award

To further encourage environmental protection activities, we created the Environment Merit Award for people who have made an important contribution to environmental protection through any of a range activities that include environmental product and technology development, environmental impact reductions, and assisting local communities with environment-related issues. Nine-teen employees received this award for four areas of excellence in FY2012.

Environment Merit Award
Case Description
Yokkaichi Plant Reduced environmental impact by introducing a gas turbine cogeneration system Reduced CO2 emissions by introducing a LNG-fueled gas turbine cogeneration system
Promoted proper management/disposal of industrial waste Established a new management system, including development of on-site survey sheets that are useful in selecting industrial waste disposers
Chiba Plant Established safe operation technology for a flare system Brought marked improvement to safe operation of a flare system by developing and implementing a flare control program
Kashima Plant Measures to prevent the temperature rise of secondary effluent Took measures to prevent the rise of plant effluent temperature during the summer

Legal Compliance

When environmental and safety laws are adopted, enacted, or amended, the head office distributes information to each business site to keep them fully informed. JSR employees and personnel seconded to group companies can view environmental and safety information at any time using the Group intranet.


RC explanatory briefings at the Yokkaichi Plant

RC Explanatory Briefings

JSR is using RC explanatory briefings to promote the company's responsible care activities among all employees. Every year, the JSR director responsible for these activities and others managers travel to all plants to explain RC. JSR uses such opportunities to share the results of its activities and future issues.


Raising Environmental Consciousness and Ensuring Safety in Global Business

ICETT training (Yokkaichi Plant)

Cooperation for the International Center for Environmental Technology Transfer

We have provided cooperation and support to the International Center for Environmental Technology Transfer (ICETT) since its inception, in fostering environmental and safety engineers from around the world.


Implementation Status of Training for Foreign Engineers
FY No. of trainings (times) No. of participants (persons) Content of training
1992-2010 59 521 Air/water quality management technology, industrial waste disposal/management technology, odor control technology, environmental management systems, responsible
2012 4 32 (8 countries)
Total 62 553

Environmental Accounting

■ JSR Independent Accounting

JSR introduced environmental accounting in FY2000 with the following two objectives
1. To strive to quantify the amount of resources invested into the environment and implement healthy measures for the environment.
2. To publish environmental accounting and increase corporate transparency.

■ Aggregation Scope

JSR head office, Yokkaichi Plant, Chiba Plant, Kashima Plant and Research Laboratories

■ Target Period

April 1, 2011 - March 31, 2012

■ Unit

Million yen

Underlying Assumptions regarding Aggregation and Calculation
1. While costs were mainly calculated based on actual results, some expenses were calculated based on underlying assumptions.
2. While costs were mainly calculated based on actual results, some expenses were calculated based on underlying assumptions.

Environmental Protection Costs

(Unit: million yen)
Category Details of implementation
(figures in parentheses are in million yen)
Investment*1 Expense
FY2011 FY2012 FY2011 FY2012
(1) Business area costs 231 447 4,035 4,211
Breakdown (1)-1
Pollution prevention costs
Investments: Reduction of toxic atmospheric pollutants and measures to prevent atmospheric pollution (83), water pollution control measures (54), measures to prevent odors (74), etc.
Expenses: Operation maintenance cost, depreciation expenses, etc.
(levy for the atmospheric pollution (833), water quality (679), odor (265), etc.)
(119)*2 (212) (1,914) (1,850)
(1)-2
Global environmental protection costs
Investments: On-site power generation (43), energy-saving measures (53), etc.
Expenses: Operational maintenance cost, depreciation expenses, etc. (own power generation (941), energy saving (57))
(59) (95) (921) (1,010)
(1)-3
Resource circulation costs
Investments: Industrial waste treatment (86)
Expenses: Operational maintenance cost, depreciation expenses, etc.
(industrial waste treatment (772), industrial waste recycling (515), resource saving (24), etc.
(52) (140) (1,200) (1,351)
(2) Upstream/downstream costs 2 0 0 0
(3) Management activity costs Investments: Analysis equipment (105), etc.
Expenses: Personnel expenses for environmental response organization (173), work to analyze environmental impact (95), sustain ISO14001 (94), and ongoing greening activities (74), etc.
16 105 441 467
(4) Research and development costs Expenses: Development of environmentally considerate products (1253), registration of new chemical substances (149), development of technologies to reduce environmental impact (6), etc. 0 0 1,516 1,408
(5) Social activity costs Expenses: Donations and support of organizations engaged in environmental conservation (41) 0 0 41 42
Total 248 552 6,033 6,128

*1 Refers to the amount of the orders placed
*2 Figures in parentheses indicate breakdowns of the totals

Item Cost (million yen)
FY2011 FY2012
Total amount of investments for the period*1 9,500 8,700
Total amount of research and development costs for the period 15,500 15,900

*1 Refers to the amount of the orders placed
Note: In FY2012, capital investment increased due to active efforts to update existing environmental facilities. Operating expenses for environmental facilities were roughly the same as in FY2011.

Environmental Protection Effects

(Unit: million yen)
Effect Index Unit FY2011 FY2012 Year-on-year improvement*3 Related information
Environmental effects related to resources used in business activites Energy use (crude oil equivalent) kℓ 261,230 258,960 -2,270 For more information
Use of resources designated under PRTR law ton 925,000 859,000 -66,000 For more information
Water resource use m3 15,033,000 14,877,000 -156,000 For more information
Environmental protection effects related to environmental impact and waste discharged from business activities CO2 emissions ton 704,700 660,200 -44,500 For more information
SOx emissions ton 55 30 -25 For more information
NOx emissions ton 413 394 -19 For more information
PRTR substance emissions ton 330 400 70 For more information
Wastewater m3 11,285,000 11,300,000 15,000 For more information
COD emissions ton 454 446 -8 For more information
Total nitrogen emissions ton 148 151 3 For more information
Total phosphorus emissions ton 0.4 0.4 0 For more information
Waste materials from plants ton 25,305 25,458 153 For more information
Waste materials from plants disposed of by landfill ton 6.9 4.0 -3 For more information
Offsite recycling ratio % 93 92 -1 For more information
PRTR materials transported ton 1,518 1,847 329 For more information
Other environmental effects Products transported million ton-kilometer 479 473 -6 For more information
CO2 emissions during transport ton 22,100 22,200 100 For more information
Environmental complaints (odor, noise, vibration) cases 0 0 0 For more information

*3 Improvement from the previous years has not been corrected in terms of the production volume

Economical Effects of Environmental Protection Measures*4

(Unit: million yen)
Effect (for one year) Benefit
FY2011 FY2012
Cost reduction By saving energy 207 140
By saving resources 235 285
By treating waste on-site 247 44
Total 689 469

*4 The economical effects of energy saving and resource saving compared to the previous year

Consolidated Accounting for Group Companies

(Unit: million yen)
Investments Expenses Benefit
FY2011 FY2012 FY2011 FY2012 FY2011 FY2012
JSR 248 552 6,033 6,128 689 469
Total of 13 Group companies 1,156 203 2,065 2,301 358 324
Total 1,404 755 8,098 8,429 1,047 793

Development of New Environmental Protection Technologies

Amount of Capital Investment

Investment

JSR makes continuous investments in the environment and safety. Investments made in FY2012 reached 1.13 billion yen. This consisted of investments in plant and facilities aimed at various environmental improvements such as energy-saving equipment, and safety improvements such as full-scale anti-seismic measures. JSR will continue to make ambitious investments to maintain and improve the environmental, safety, and health aspects of operations in accordance with its medium-term capital investment plan.

Main Areas of Environmental & Safety Capital Investment
(Year in parentheses is investment year)

  • Large-scale, natural gas-fired turbine cogeneration system (FY2010)
  • Full-scale anti-seismic measures for facilities (FY1996-2012)
  • Ground flare installation (FY2000, FY2008)
  • Renovation of sludge dehydrator and upgrading efficiency (FY2001)
  • Facilities to reduce hazardous atmospheric pollutants (FY1999-2008)
    (dichloromethane solvent recovery facilities, 1,3-Butadiene treatment facility, incinerators for dry synthetic rubber dry exhaust, etc.)
  • Augmented comprehensive facilities to treat wastewater (FY2006, FY2008)

Development of New Environmental Protection Technologies

Guided by the company's environmental concept that "technological breakthroughs enhance environmental protection," JSR, led by its Process Development Center, is actively engaged in the development of new technologies to promote environmental protection. The following are recent themes in technological development approached by JSR. We deploy technologies as they are developed.

Main Areas of Environmental & Safety Capital Investment

    1. Development of Energy-saving Processes
  • Computer-assisted optimization of heat recovery (pinch technology)
  • Computer-assisted optimization of energy use in control systems
  • Energy-saving through changes in heat recovery and solvent types across multiple plants
  • 2. Other Measures to Reduce Environmental Impact
  • Development of solution polymerization manufacturing facilities and a new solvent recovery process (to reduce atmospheric emissions of hydrocarbons)
  • Development of synthetic rubber manufacturing facilities and dry exhaust systems (to reduce odors near plants and hydrocarbon emissions into the atmosphere)
  • Development of polymerization technologies to combat total nitrogen emissions (measures to prevent eutrophication of ocean waters)
  • Development of environmental technology through more effective use of microbes (to reduce odors near plants and to improve the quality of wastewater)
  • Incineration technology for dry synthetic rubber dry exhaust (measures for harmful atmospheric pollutants)

Improving the Local Environment

Dried-synthetic rubber waste incinerator (Kashima Plant)

JSR values the opinions of local residents and considers high transparency of plant operations to be the key to improving the local environment. With this in mind, we have strived to improve the local environment by implementing monitoring and tours of environmental equipment at regular intervals. In FY2007 and 2008, we installed equipment to incinerate dry synthetic rubber dry exhaust at the Yokkaichi, Kashima, and Chiba plants to prevent foul odors*5. In FY2009, a ground flare was installed at the Yokkaichi Plant to prevent noise and flashes, and as a result there were no environmental complaints between FY2009 and FY2012. We will continue to strive to maintain our basic policy of improving the local environment.
*5 Burning dry exhaust also reduces VOC emissions

Improvement Initiatives

Odor: Emissions incinerator
Noise: Ground flare

Trends in Number of Environmental Complaints

Supplying Environmentally-friendly Products

JSR has set goals for raising the percentage of its products that are environmentally friendly. In order to incorporate environmentally-considerate design into product development, JSR had previously established an environmentally-friendly products category. In FY2010 JSR revised the types of environmentally-friendly products as follows:
(1) Non-fossil-fuel-derived; (2) energy saving; (3) renewable energies; (4) reduce, reuse, recycle; and (5) non-harmful substances. Going forward, JSR is committed to contributing to the preservation of the environment by developing and supplying environmentally-friendly products.

List of Major Environmental and Safety Awards

JSR was recognized for its leadership on the environment and safety with the following awards.

1979 Kashima Plant Japan Chemical Industry Association (JCIA) Safety Award
1982 Yokkaichi Plant Japan Chemical Industry Association (JCIA) Safety Award
1986 Chiba Plant Minister of International Trade and Industry Outstanding High-Pressure Gas Plant
1989 Yokkaichi Plant Minister of International Trade and Industry Outstanding High-Pressure Gas Plant
1991 Chiba Plant Minister of Labor Progress Award (in the safety category)
1992 Kashima Plant Minister of International Trade and Industry Outstanding High-Pressure Gas Plant
1993 Yokkaichi Plant Director-General, Fire Defense Agency Fire Defense Award
1993 Kashima Plant Minister of Labor Progress Award (in the safety category)
1994 Chiba Plant Director-General, Fire Defense Agency Fire Defense Award
1994 Kashima Plant Director-General, Fire Defense Agency Fire Defense Award
1995 Chiba Plant Minister of Labor Award for Excellence
1995 Kashima Plant Minister of Labor Award for Effort
1999 Chiba Plant Japan Chemical Industry Association (JCIA) Safety Award
2002 Chiba Plant Minister of Health, Labor and Welfare Award for Effort
2003 Yokkaichi Plant Chubu Bureau of Trade, Economy and Industry Award for Excellent Energy Management Plant (Thermal Sector)
2006 Tsukuba Research Laboratories Director-General, Fire Defense Agency Fire Defense Award
2010 Chiba Plant Japan Chemical Industry Association (JCIA) Award for Safety Excellence
2012 Yokkaichi Plant Japan Chemical Industry Association (JCIA) Most Excellence Award for Safety

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CSR Report 2012