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Environmental Management Sustainability Report 2006 |
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Report: Air Emission Problems at Steelworks |
1. Introduction |
Recently, several problems were discovered at Kakogawa Works and Kobe Works. Air emissions were found to have exceeded statutory limits, data was inappropriately handled, and boiler breakdowns were not reported as they should have been. These lapses put us in violation of the Air Pollution Control Law and the Electricity Utilities Industry Law. They had a negative impact not only on the residents living near the works but also on the local governments of Hyogo Prefecture and Kakogawa, and everywhere in Japan. They also damaged the confidence that people have in us. To ensure that similar incidents do not recur, we established a task force headed by the president to conduct an in-house investigation. The following report outlines the results of that investigation, including a description of the main problems, their cause, and the countermeasures that were subsequently adopted. |
2. Problems That Occurred |
2.1. Kakogawa Works | |
(1) Emissions That Exceeded Limits Set by the Air Pollution Control Law, and Inappropriate Handling of Data After examining data covering a combined total of approximately 310,000 hours of in-house power generating boiler operation and about 160,000 hours of steelmaking equipment operation, Kobe Steel discovered that legal limits for sulfur oxide (SOx) and nitrogen oxide (NOx) either had been exceeded, or might have been exceeded. (Incomplete charts and other gaps in the data make it impossible to know for certain in some cases.) It should be noted, however, that total NOx and SOx emissions from the steelworks were still below the limits set by pollution prevention agreements signed between the Kobe Steel Group and the city and prefectural governments. (2) Unreported Breakdowns of In-House Power Generating Equipment, and Failure to Perform Safety Inspections Of the total number of malfunction incidents that occurred in in-house power generating equipment from 2001 through 2004, 12 were not reported as required to the Ministry of Economy, Trade and Industry's Nuclear and Industrial Safety Agency. According to in-house safety inspection documents, nearly all of these incidents were recorded falsely as "temporary shut-down for electric power adjustment." Subsequent investigation also revealed that at five power generating facilities, no safety inspection was conducted at all.
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2.2 Kobe Steel Works | |
(1) Excessive NOx Emissions from the Boilers and Interrupted Telemeter Transmission When the No. 2 boiler was started up again and data transmission had been re-initiated after regular maintenance had been completed, transmission was interrupted again and data that showed excessive NOx emissions were deleted. (2) Excessive NOx Emissions at a Rolling Mill and Inappropriate Handling of Data A logic program had been introduced that deleted data in cases where there were unusually high levels of oxygen or when converted NOx values exceeded standard emission limits. |
3. Causes |
Environmental data had been mishandled for many years with the under awareness of some managers. Although Kobe Steel has adopted business policies that give priority to environmental conservation and corporate compliance, in actual practice production was given priority over environmental protection. There were also inadequacies in the in-house monitoring system, which should have prevented compliance violations. We recognize that these lapses were not due to individual employees, but rather stem from the fault of the internal control system. |
4. Measures to Prevent Recurrence |
(1) Measures Concerning Company Organization and Administration | |
To strengthen our environmental control system, we have increased the number of personnel in environmental administration both in the head office and at our various operating locations. As part of this effort, we have established a new Environmental Control & Plant Safety Department in Kakogawa Works. The environmental control system places top priority on environmental protection, with the executive in charge of environmental issues at Kobe Steel given authority to halt operations at any operating location if deemed necessary. Environmental control departments in each operating location are authorized to halt operations at manufacturing facilities if deemed necessary. To ensure that environmental measurement data remain transparent, environmental administration in the head office will be able to view measurement data directly, and the data from Kakogawa Works and Kobe Works will be made available to local authorities and the public at large. We will also expand our educational programs for all employees regarding environmental protection and compliance. To ensure that these measures are steadily implemented, we have established a new Environmental Administration Committee. Comprised of experts from both inside and outside the company, this Committee is in charge of formulating and implementing measures for the environment and related safety assurance, reviewing the status of environmental administration, and reporting to and advising the Board of Directors.
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