It is also important to highlight that, in the stage of developing products and solutions for customers and their consumers, the premise adopted is the search for innovative and sustainable solutions from the Greenformance platform (read more on Eco-efficient products).

Among the investments in environmental management during 2017, the contributions in automation, such as the one made in Camaçari (BA), with the implementation of the factory's advanced production control system, and the improvements of the facilities in the Brazilian units , such as the elevation of the effluent network from a new configuration that allows to perform visual inspections and periodic preventive maintenance, among other advances.

It is also worth mentioning that Oxiteno works to obtain certification in the new version of 14.001: 2015, environmental management, for all units outside Brazil. In the country, since 2002, the company's Environmental Management System has been certified by ISO 14.001 and, in 2016, Guadalajara, Mexico, was the first international plant to achieve certification. The other two plants in Mexico (Coatzacoalcos and San Juan del Río), as well as the plant in Montevideo, Uruguay, are being prepared for certification. G4-EN27

Oxiteno's three units in Mexico and the Uruguayan plant have been awarded the Roundtable on Sustainable Palm Oil (RSPO) certification, an organization that works to boost the use of palm oil in a sustainable way through a series of actions, such as the adoption of standards. In Brazil, five units are already RSPO-certified: Oxiteno Camaçari, Oleoquímica, Tremembé, Mauá and Suzano (read more about certifications on Management of excellence).

Seeking efficiency

OXITENO SET TARGETS FOR THE MANAGEMENT OF THE MAIN ENVIRONMENTAL IMPACTS OF ITS OPERATION

1 Targets only consider operations in Brazil.

Energy G4-DMA, G4-EN5

Oxiteno had a slight increase in relative energy consumption to 6.6 gigajoules per ton of product. In relation to absolute consumption, there was a proportional increase to the production growth, especially due to the expansion in the glycol manufacture and the ethylene oxide catalyst exchange in Camaçari (BA), which improves reaction efficiency, but, on the other hand, requires increased steam production. The replacement caused a 15% increase in steam consumption in 2017.

Energy optimization is a permanent agenda in Oxiteno's management and operating meetings. Part of the investment made by the company is also aimed at improving energy performance, especially optimizing the steam grid, boilers, furnaces, turbines and the search for cleaner energy alternatives that prove viable for the business. It should be noted that energy consumption is predominantly of thermal origin, so initiatives that involve improvements in energy efficiency also contribute to the reduction of emissions and costs. In the consumption of electric energy with lighting, the use of LED bulbs is increasing, especially in the units of Tremembé and Mauá.

When it comes to the energy consumption of steam by the units, the initiatives to exploit the waste gas of partner companies and neighboring plants of Mauá and Camaçari, currently with the highest levels of consumption, are highlighted. Also noteworthy is the process that allows the use of the hydrogen generated in the production in Triunfo (RS). In Tremembé, the project to replace fuel oil with natural gas, the most used fuel in Oxiteno's plants, is underway.

In 2017, the Camaçari unit (BA), which is the company's largest plant, recorded a record of turbo generator powergeneration (32.5 GWH), a volume corresponding to 20% of the energy consumption of the site. This was the highest absolute annual result in the history of this operation 40% more than in 2016 and represented an economy of R$ 9.7 million, equivalent to the internal energy bill. For 2018, the objective is to perpetuate the operating gains of Camaçari.

ENERGY INTENSITY¹ G4-EN5

Total energy in processes/production (GJ/t product)

¹ Scope: Brazil, Mexico, Venezuela e Uruguay

ENERGY CONSUMPTION WITHIN THE ORGANIZATION (tJ)¹ G4-EN3

1 Scope: Brazil, Mexico, Venezuela e Uruguay

Water and effluents G4-DMA, G4-EN8

The supply area surveyed the water risk of Oxiteno's plants in Brazil, mapping possible measures and actions to ensure the operational continuity of the units. In addition, the area of environment led, together with the process engineering teams of the industrial units, the evaluation of the water balance of each plant, also defining actions for reduction, recovery and direct reuse. There were also studies to evaluate the feasibility of adopting the reuse of industrial effluent after treatment.

Due to a water crisis in the state of Bahia in 2017, all companies were encouraged to reduce consumption. The eco-efficiency efforts of the Camaçari (Brazil) unit reduced water use by 10% in the period. At the Mauá (Brazil) operation, 97% of the water used in the production process comes from reuse.

In Coatzacoalcos (Mexico), US$ 2,631 was invested in a rainwater harvesting project, with a storage capacity of 5 thousand m³ of water used in the cooling tower and with the possibility of reducing water consumption in the rainy season by up to 230 m³ 3.38% of the unit's monthly consumption. The operation can save up to US$ 2.421 between January and September, when the rains are heavier.

Water risks of Oxiteno plants in Brazil were identified, with respective mapping of actions to ensure operational continuity.

TOTAL WATER WITHDRAWAL BY SOURCE (m³) G4-EN8

1 In 2017, the use of groundwater in the Tremembé unit (SP) was resumed, in processes that do not have microbiology problems, such as in the cooling tower.
2 Oleoquímica (Camaçari-BA) only.
3 Aquapolo (Mauá-SP) only.

98% of the water abstracted is returned to the environment – 37% effluent and 61% evaporation

On a consolidated basis, there was an increase in absolute water consumption in the Oxiteno operation proportional to the increase in production and due to the Good Manufacturing Practices (GMP) and the evaporation rates. The plants started to carry out specific cleaning for the sanitization of the equipment and to guarantee the quality of the products. However, the relative consumption was below the previous year. And, of this total consumed, 15% comes from reuse.

RECYCLED AND REUSED WATER¹ G4-EN10

1 Rainwater collected on the roofs and reused effluents from other organizations.
2 Scope: Brazil (Mauá, Mineral Oils and Camaçari)
3 Scope: global.

Considering the total consumption, 98% of the water consumed by Oxiteno returns to the environment, 2% is incorporated into the products. About 60% of this water evaporates during the production process and 37% becomes an industrial effluent – in this case, which amounts to approximately 2.0 million m³,, are treated in their own stations or by specialized companies and return to the environment following the standards established by law. New equipment installed in the Camaçari (BA) unit resulted in a significant reduction of 27 thousand tons in the generation and loss of effluents.

Oxiteno was highlighted by its water management at CDP Water, which recognizes the best companies in the world regarding the management of the use of this resource.

Emissions G4-DMA, G4-EN18

Direct and indirect emission sources are recorded monthly.

Oxiteno maintains a program to monitor and reduce emissions of Greenhouse Gases (GHG) and local pollutants. To manage GHG, all sources of emissions (direct and indirect) and annually verified by third parties are accounted for on a monthly basis. This process has already identified different opportunities for reduction of the total, 19 were prioritized to be more deeply analyzed, eight are already implemented and two projects are underway.

The main sources are steam generation, ethylene oxide production and electricity consumption. For the generation of steam, Oxiteno continues to invest in the adoption of cleaner fuels, in addition to the optimization of the steam mesh and the energy utilization of waste gases from neighboring companies. To reduce emissions in the manufacture of ethylene oxide, the gases produced are destined for other purposes.

In the scope of emissions of local pollutants, Oxiteno conducts an inventory of its emissions and periodic sampling of the sources, according to its emission monitoring plan. It also assesses the impact of its emissions through a dispersion study, having met the legal emission and air quality standards.

520 thousand tons of CO₂e avoided and 8 reduction projects implemented since the beginning of the GHG emission reduction program.

PERFORMANCE

Emissions of Greenhouse Gases (GHG) are directly related to production. There was an increase of approximately 10% of the productive operation in 2017, compared to 2016, leading to an increase in these emissions.

During the year, the generation of approximately 71 thousand tons of CO₂, via partnerships, was avoided for the energetic use of waste gases from the companies neighboring the Mauá and Camaçari plants. Considering the year 2009, at the beginning of the program, so far, 520 thousand tons of CO2 are no longer released into the atmosphere.

Oxiteno also monitors relative indicators, which assess GHG emissions for the total produced. The monitoring showed close values for the years 2016 and 2017 were about 0.49 tons of CO2e per ton of product. G4-EN18

In 2017, the project for the sale of carbon dioxide, the residual product of the ethylene oxide reaction, to White Martins in Camaçari (BA) was followed up. The project began its operation in August 2016, and 24,175 tonnes of carbon dioxide was sent to White Martins in the year. G4-EN15 e G4-EN16

In the plant, an advanced process control system was also installed that provided an increase in the selectivity of the reaction of formation of oxide of ethene. This cutting-edge technology has significantly reduced CO₂ emissions. G4-EN19

Still in Camaçari, a new catalyst was tested, in partnership with a supplier of Oxiteno, which proved selectivity gains, being a new ally in the strategy to reduce CO₂ generation.

All of these actions contributed to the decrease in the variable cost of the Camaçari operation – the largest ethylene oxide and derivatives unit in Latin America, with three plants (read more em in Advances in 2017 support future plan) – with a saving of R$ 12 million baseline compared to the period.

Due to the significance of the Camaçari operation for Oxiteno, the result positively impacts the operations of the company as a whole.

On the other hand, the Mexican units of San Juan del Río and Coatzacoalcos have formally initiated the production of Kosher products, which demand special cleaning in the tanks and greater energy and fuel costs, increasing the emissions in these plants. G4-EN15 e G4-EN16

EMISSION INTENSITY OF GREENHOUSE GASES^1,2 G4-EN18

Relative emissions (tCO₂e/t produced)

1 Scope: Brazil, Mexico, Venezuela e Uruguay
2 The figures presented are different from those presented in previous years due to the verification of the third part of the inventories of Greenhouse Gases, carried out in 2017, considering the Brazil, Mexico, Uruguay and Venezuela units.

EMISSIONS OF GREENHOUSE GASES (tCO₂e) G4-EN15 e G4-EN16

REDUCTION/COMPENSATION OF GREENHOUSE GAS EMISSIONS (GEE)¹ G4-EN19

1 Oxiteno's GHG inventory is verified by a third party company, Green Domus.
2 The figures presented are different from those presented in previous years due to the verification of the third part of the inventories of greenhouse gases, carried out in 2017, considering the Brazil, Mexico, Uruguay and Venezuela units.

Wastes G4-DMA, G4-EN23

Oxiteno has the Zero Landfill Policy for industrial waste (contaminated with chemical products) for more than 16 years. In Brazil, for example, 98% of industrial waste is recycled and 2% incinerated.

Concern about waste management is present from the design of the products, when the possibility of non-generation is evaluated and, in case the waste can not be avoided, a survey is made on possible uses of the waste in other productive processes, reuse or recycling, seeking circular economy. The company uses incineration only when there is no viable alternative.

For waste from aftermarket products, the company prioritizes the sale in bulk and, when in agreement with the customers, uses returnable packaging, which, after being decontaminated, are reused, characterizing a type of reverse logistics.

Oxiteno classifies waste generated in industrial – those that are contaminated with chemicals from the productive processes – and not industrial.

PERFORMANCE

The increase in waste disposal from 2015 to 2017 is due to the inclusion of the Uruguay unit in the indicators, as reported in the previous year.

In Uruguay, there was a significant advance with the disposal of segregated waste, adequately conditioned and stored in the plant since the acquisition and deactivation of the inorganic chromium reduction plant. Continuing the works of waste disposal, the plant has already managed to allocate 48% of this waste stored in plants until 2017 and work continues in 2018; in Uruguay, the waste was destined for landfills, the existing alternative for this type of material. The process follows the requirements of the Uruguayan environmental agency and was qualified via audit by Oxiteno.

There was an increase in the generation of hazardous waste in Tremembé (SP), due to a stoppage of the plant to carry out improvements in the treatment process, mainly in the effluent aeration system. During the shutdown, 141 tons of effluents were destined with waste. Since 2015, Oxiteno has made investments and improvements in its facilities, such as the upgrading of the industrial effluent drainage system; for this reason, there has been an increase in the generation of non-industrial waste from works in recent years.

The site in Camaçari (BA) started to classify as hazardous some waste not considered as such in 2016, which justifies the slight increase in the destination of hazardous waste. The challenge for 2018 is to improve this ratio, although Oxiteno's generation-for-production data are low.

The activity of the Guadalajara plant was the one that contributed the most to the increase of waste generation in Mexico. Using a higher number of raw materials in drums, for the production of esters, the site increased the use of pallets and drums.

44%
of hazardous and non-hazardous waste are recycled or used energetically.

DISPOSAL OF HAZARDOUS WASTE (t) ¹ G4-EN23

1 Waste stored in the Uruguayan plant, since its acquisition and subsequent decommissioning of the chrome plant in the destination process.
2 Treatment of Tremembé effluents in an external station due to ETE shutdown.
3 Industrial waste destined for landfill is exclusive to Uruguay, as commented above. There was an increase in waste recycling and reduction of incineraention.
4 The significant increase in waste generated is linked to the design of obsolete and non-compliant products.

Oxiteno's operations in Brazil: 98% of industrial waste is recycled and 2% incinerated.

The concern with the manenagement of wastes exists since the development of the products, when the possibility of non-generation is evaluated.

DISPOSAL OF NON-HAZARDOUS WASTE¹ (t) G4-EN23

1 Oxiteno has an internal classification of waste: a) industrial - those contaminated with chemicals from the production processes; and (b) non-industrial. There is hazardous and nonhazardous waste in both categories. Industrial wastes are considered to be intrinsic wastes in the production process, such as filter elements, resins, leftover waste, contaminated absorbent material used to contain leaks, contaminated cloths and tows, packaging such as drums, cylinders and IBCs, among others. Non-industrial wastes are those that are not contaminated with process chemicals and waste from administrative areas, tree pruning, organic restaurant waste and recyclable materials in general, among others.
Rmk.: For non-industrial waste, there was a reduction in generation when compared to the previous year, with an increase in the destination for recycling, reducing the destination for incineration and landfill.