RC Management - RC (the Environment, Safety, and Health) - Society - CSR Report 2013 - JSR Corporation

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CSR Report 2013

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 (SDS) 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 CharterDeclaration 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 FY2013 (April 1, 2012 to March 31, 2013).
At Tsukuba Research Laboratories, the environment and safety management structure was rebuilt following the establishment of JSR Life Sciences Corporation and the reorganization of the laboratories of the JSR Group, and as part of this reconstruction, efforts are currently being made to obtain ISO 14001 certification.

The Environmental and Safety Internal Audits

internal audit conductedAn environmental and safety internal audit conducted by the Head Office staff
(Kashima Plant)

JSR's Head Office conducts annual internal audits of its plants and research laboratories, with the president acting as head of the auditing team. We also audit our business sites that have been approved by the government for high-pressure gas operations as well as our approval inspection management department to ensure that both the department and the sites observe government approval requirements.
In FY2013, audits were conducted at four business sites (that not only included the inside of each plant but also 10 Group companies located close to the plants) with particular focus placed on the four areas specified below to ensure that improvement activities are being conducted at each site to achieve their environmental and safety goals.

(1) Confirm that potential risks (unexpected reactions, etc.) that may result in an explosions, fires, leakage, and other severe accidents during operations to deal with problems, emergency shutdowns, or other nonstationary work are identified, and that proper measures can be taken to mitigate these risks.

(2) Confirm that hazards are identified and that countermeasures are taken as part of the activities to prevent industrial accidents. Also, confirm that the staff in charge of these activities as well as the administrator maintain sufficient communication and actively adopt new ideas.

(3) Confirm that the E2 Initiative and other activities to reduce our environmental impact, such as discharge to the air, wastewater, and industrial waste, are progressing according to plans at each workplace and advancing steadfastly to solve issues of concern.

(4) Confirm that the process, from gathering information on security, disaster prevention, and safety and health from various sources to sharing it across the JSR Group and implementing countermeasures and follow-up, is established properly and to a sufficient degree at each Group company.

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

An audit at an overseas Group companyAn audit at an overseas Group company (Elastomix (Foshan) Co., Ltd.)

At JSR, we implement environmental and safety audits at all of our Group companies in Japan that 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 FY2013, 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 since 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 FY2013, we implemented a briefing on CSR at Elastomix (Foshan) Co., Ltd. at the same time we audited this company. This was our first attempt at combining briefing and auditing, with the aim of ensuring dissemination of CSR throughout the JSR Group. We will continue to carry out environmental and safety audits of our overseas Group companies to enhance their 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 reduction, and assisting local communities with environment-related issues. Eight employees received this award for three areas of excellence in FY2013.

Environment Merit Award
Case Description
Yokkaichi Plant Reduced environmental impact from the emulsion polymerization rubber finishing process through implementing measures such as hermetic sealing of the overall process Emissions of styrene, a specified odor substance, were reduced to one fifth their previous level through the implementation of measures such as hermetic sealing of the emulsion polymerization rubber finishing process.
Yokkaichi Plant Established a way to reduce NOx emissions when starting coal-fired boilers. A burning method used when starting coal-fired boilers was reviewed and optimized through reduced fuel sulfur content, and based on analysis of data accumulated over 20 years, a reduction in NOx concentration in the gas produced by the boilers by up to a half was achieved.
Chiba Plant Reduced emissions of volatile organic compounds (VOCs) from laboratories using a solvent recovery system. All emissions of VOCs generated in laboratories, which had previously been discharged to the air, began to be recovered using a solvent recovery system.

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 & CSR Explanatory Briefings

RC & CSR explanatory briefingRC & CSR explanatory briefing
(Kashima Plant)

JSR organizes RC explanatory briefings to promote the company's responsible care activities to all employees. Every year, the RC officer and other managers visit each plant to report the results of RC activities and share upcoming issues. In FY2013, we modified the briefing to a combined RC and CSR explanatory briefing in order to report on CSR activities as well.


Raising Environmental Consciousness and Ensuring Safety in Global Business

Cooperation with the International Center for Environmental Technology Transfer

ICETT trainingICETT training (Yokkaichi Plant)

We have provided cooperation and support to the International Center for Environmental Technology Transfer (ICETT), a Public Interest Incorporated Foundation, since its inception, assisting the development of 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
1992-2012 63 552 Air/water quality management technology, industrial waste disposal/management technology, odor control technology, environmental management systems, responsible
2013 1 13 (10 countries)
Total 64 565

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 (including JSR Life Sciences Corporation)

■ Target Period

April 1, 2012 - March 31, 2013

■ 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 millions of yen)
Investment*1 Expense
FY2012 FY2013 FY2012 FY2013
(1) Business area costs 447 739 4,211 4,621
Breakdown (1)-1
Pollution prevention costs
Investments: Reduction of toxic atmospheric pollutants and measures to prevent atmospheric pollution (56), water pollution control measures (46), measures to prevent odors (65), etc.
Expenses: Operation maintenance cost, depreciation expenses, etc.
(levy for the atmospheric pollution (824), water quality (703), odor (270), etc.)
(212)*2 (167)*2 (1,850)*2 (1,870)*2
(1)-2
Global environmental protection costs
Investments: On-site power generation (65), energy-saving measures (401)
Expenses: Operational maintenance cost, depreciation expenses (own power generation (1,021), energy saving (59)), etc.
(95)*2 (466)*2 (1,010)*2 (1,089)*2
(1)-3
Resource circulation costs
Investments: Industrial waste treatment (55), etc.
Expenses: Industrial waste treatment (1,120), resource saving (123), industrial waste recycling (501), etc.
(140)*2 (106)*2 (1,351)*2 (1,662)*2
(2) Upstream/downstream costs 0 0 0 0
(3) Management activity costs Investments: Analysis equipment (153), etc.
Expenses: Personnel expenses for environmental management activities (162), environmental impact analysis (85), maintenance of ISO 14001 (59), greening and preservation (63), etc.
105 167 467 438
(4) Research and development costs Expenses: Development of environmentally considerate products (1,357), registration of new chemical substances (144), development of technologies to reduce environmental impact (2), etc. 0 0 1,408 1,504
(5) Social activity costs Expenses: Environmental activities (19), support for ICETT (16), JSR’s burden charge for environmental groups (7), etc. 0 0 42 43
Total 552 906 6,128 6,606

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

Item Cost (million yen)
FY2012 FY2013
Total amount of investments for the period*3 8,700 9,300
Total amount of research and development costs for the period 15,900 16,500

*3 Refers to the amount of the orders placed
Note: The total amount of investments in FY2013 increased due to the implementation of large projects to combat global warming and promote energy conservation. The amount of expenses also rose due to increased costs for industrial waste treatment.

Environmental Protection Effects

(Unit: million yen)
Effect Index Unit FY2012 FY2013 Year-on-year improvement*4 Related information
Environmental effects related to resources used in business activites Energy use (crude oil equivalent) kℓ 259,000 275,400 16,400 For more information
Use of resources designated under PRTR law tons 858,600 964,600 106,000 For more information
Water resource use Thousand square meters 14,877 15,200 323 For more information
Environmental protection effects related to environmental impact and waste discharged from business activities CO2 emissions tons 660,200 706,200 46,000 For more information
SOx emissions tons 30 27 -3 For more information
NOx emissions tons 394 415 21 For more information
PRTR substance emissions tons 405 303 -102 For more information
Wastewater Thousand square meters 11,300 11,891 591 For more information
COD emissions tons 446 463 17 For more information
Total nitrogen emissions tons 151 145 -6 For more information
Total phosphorus emissions tons 0.4 0.4 0 For more information
Waste materials from plants tons 25,458 23,791 -1,667 For more information
Waste recycled offsite tons 23,546 21,739 -1,807 For more information
Reduced volume of waste treated offsite tons 1,908 2,045 137 For more information
Waste materials from plants disposed of by landfill tons 4.0 7.0 3.0 For more information
PRTR materials transported tons 1,847 2,451 604 For more information
Other environmental effects Products transported million ton-kilometer 473 471 -2 For more information
CO2 emissions during transport tons 22,200 21,900 -300 For more information
Environmental complaints (odor, noise, vibration) cases 0 0 0 For more information

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

Economical Effects of Environmental Protection Measures*5

(Unit: million yen)
Effect (for one year) Benefit
FY2012 FY2013
Cost reduction By saving energy 140 386
By saving resources 285 215
By treating waste on-site 44 0
Total 469 601

*5 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
FY2012 FY2013 FY2012 FY2013 FY2012 FY2013
JSR 552 906 6,128 6,606 469 601
Total of 14 Group companies 203 110 2,301 2,334 324 362
Total 755 1,016 8,429 8,940 793 963

Development of New Environmental Protection Technologies

Amount of Capital Investment

Investment

JSR makes continuous investments in the environment and safety. Investments made in FY2013 reached 1.65 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)
  • Sludge dryer system (FY2013)

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)
  • Installation of a sludge dryer system (to reduce CO2 emissions and promote effective utilization of waste)

Improving the Local Environment

Dried-synthetic rubber waste incineratorDried-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*6. 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 from FY2009 to FY2013. We will continue to strive to maintain our basic policy of improving the local environment.
*6 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 facilitate the incorporation of environmentally-considerate design into product development, JSR defined environmentally-friendly products in FY2010 and classified them into the following five categories:
(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 (in the safety category)
1995 Kashima Plant Minister of Labor Award for Effort (in the safety category)
1999 Chiba Plant Japan Chemical Industry Association (JCIA) Safety Award
2002 Chiba Plant Minister of Health, Labor and Welfare Award for Effort (in the health category)
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 2013