Message from President & CEO Yasuo Inubushi:
I would like to report our findings on compliance irregularities with regard to air emissions exceeding the statutory limits, the improper handling of data, and the non-reporting of boiler accidents at two steelworks.
First, I wish to express my sincere regret over what happened and offer my deepest
apology for betraying the trust of many people including community residents,
the authorities and other stakeholders.
Kobe Steel will make company-wide, concerted efforts to restore the public's trust
by thoroughly investigating the cause and taking steps so that similar incidents
do no happen again.
The following are the details of the findings:
Kobe Steel, Ltd. uncovered in an internal investigation the following irregularities
at Kakogawa Works:
 |
* At the in-house power generation plant,
nitrogen oxide (NOx) and sulfur oxide (SOx) emissions had exceeded the statutory
limits set for equipment stipulated under the Air Pollution Control Law.
*Environmental continuous measurement data had been handled improperly.
* Boiler equipment accidents had not been reported.
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It was also found in the investigation that Kobe Works had similar problems of
exceeding emission limits and the improper handling of data.
These incidents, which violate Japan's Air Pollution Control Law, Electricity
Utilities Industry Law and other regulations, have led to a loss of trust between
Kobe Steel and the community, relevant agencies and other stakeholders. Kobe Steel
expresses its deep regret and apologizes for these incidents.
Kobe Steel will place its full effort into finding the causes and preventing further
occurrences.
The incidents that have been identified are as follows:
Kakogawa Works
1.Emissions exceeded the limits et forth in the Air Pollution Control Law.
1.1.Boilers for in-house power generation
NOx: 11 hours, SOx: 22 hours
(Note: Measurement records of seven boilers covered the past five years
and a cumulative 590,000 hours. Although full records were not kept, it
is possible that SOx emissions could have exceeded the emission limit by 590 hours.)
1.2.Steel production facilities
NOx: 96 hours (blooming mill)
SOx: 1 hour (pellet plant)
(Note: Measurement records covered the past three years and a cumulative 220,000 hours.)
2. Improper handling of environmental continuous measurement data
Data exceeding the emission limits of the Air Pollution Control Law and other
regulations had not been fully recorded or had been altered.
3. Number of times the in-house power generation plant did not undergo safety
inspections by an outside authority after internal inspection: 5
4. Twelve incidents of equipment accidents at the in-house power generation plant
were not reported to the outside authority. Internal records on those incidents
were not recorded as equipment accidents, but were attributed to other reasons.
Kobe Works
1.Emissions exceeded the limits set forth in the Air Pollution Control Law.
1.1.Boilers for in-house power generation
NOx: 2 hours
(Note: Measurement records of four boilers covered the past five years and
a cumulative total of 270,000 hours.)
1.2.Steel production equipment
NOx: 20 hours (At soaking pits and heating furnaces: total of 3)
(Note: Measurement records for the soaking pits and heating furnaces covered
the past three years and a cumulative total of 110,000 hours.)
2. Improper handling of environmental continuous measurement data
Data exceeding the emission limits of the Air Pollution Control Law and other
regulations had not been fully recorded.
Timeline of Events to Date
1. Since April 2004, Kakogawa Works had frequent equipment accidents. In March
2006, the Kinki Branch of the Chubu Kinki Industrial Safety and Inspection Department
in the Nuclear and Industrial Safety Agency, which is under the Ministry of Economy,
Trade and Industry (METI), conducted an on-site inspection on safety management.
In April, the Department issued a written warning to Kobe Steel.
2. After receiving the warning, Kobe Steel conducted its own internal inspection
on safety management. At the same time, Kobe Steel reviewed compliance with
the law and the abovementioned incidents were uncovered.
3. After verifying the incidents, Kobe Steel reported them to the Kinki Branch
of the Chubu Kinki Industrial Safety and Inspection Department, Hyogo Prefecture,
Kobe City, and Kakogawa City.
4. On May 15 and 16, the Kinki Branch of the Chubu Kinki Industrial Safety
and Inspection Department made an on-site inspection of Kakogawa Works. In the
near future, the Department will make a similar inspection of Kobe Works.
5. Today, May 22, Hyogo Prefecture and Kakogawa City made an on-site inspection
of Kakogawa Works, while Kobe City made an on-site inspection of Kobe Works.
6. Today, May 22, Hyogo Prefecture instructed Kobe Steel to submit a "Report
on the Air Pollution Control Law and Agreement on Pollution Prevention."
Kobe City instructed Kobe Steel to submit a "Report on Smoke and Soot Measurement
Data from Smoke and Soot-emitting Facilities."
At present, at the steelworks Kobe Steel is implementing corrective measures
including lowering warning-alert levels, reviewing operational standards, stopping
equipment before environmental standards are breached, and strengthening internal
education on compliance. At the same time, Kobe Steel has organized a task force
headed by President Yasuo Inubushi and intends to place its full effort into
conducting a thorough investigation and implement drastic measures to regain
the trust of its stakeholders.
Kobe Steel extends its heartfelt apologies for the trouble and concern it has
caused.
Omission of Periodic Safety Inspection at In-house Power
Generation Plant, Kakogawa Works
| Equipment |
Statutory In-house
Inspection Ended |
Validity Period of
Inspection Ended |
| No. 4 boiler (in-house power
generation) |
Jan. 13, 2006 |
Feb. 12, 2006 |
| No. 4 turbine (in-house power
generation) |
Jan. 13, 2006 |
Feb. 12, 2006 |
| No. 5 boiler (in-house power
generation) |
Feb. 23, 2006 |
Mar. 22, 2006 |
| No. 1 blast furnace top gas
turbine |
Mar. 31, 2005 |
Apr. 30, 2005 |
| No. 2 blast furnace top gas
turbine |
Apr. 18, 2005 |
May 17, 2005 |
Non-reporting of equipment accidents at In-house Power Generation
Plant, Kakogawa Works
| Equipment |
No. of unreported incidents |
| No. 3 boiler (in-house power generation |
1 |
| No. 4 boiler (in-house power generation |
3 |
| No. 6 boiler (in-house power generation |
8 |
| Total |
12 |
Period: Since April 2001
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