Best Practices of Environmental Management in Korean Companies November 2001.

Best Practices of Environmental Management in Korean Companies

November 2001

Samsung’s Environmental Policy

Declaration of Samsung’s Green Management Charter

Guidelines of Samsung’s Green Management

5 Tasks for Samsung’s Green Management

3

Declaration of Samsung’s Green Management Charter - 1996. 5

Improving the quality of life while safeguarding the environment

through corporate activities that respect human and nature

Recognizing environment, health and safety as prior factors in corporate

management

Running the Green Management Committee and expanding Green

Movement

4

Complying with international laws and agreements, and seeking continual i

mprovement through stringent internal standards

Saving resource and energy and minimizing waste generation in all process

Realizing an ideal business place by improving the corporate environment

Implementing an open environmental management

Maintaining mutual relationship with and supporting collaborative compan

ies

Contributing to local communities and preserving the natural environment

Guidelines of Samsung’s Green Management

5

5 Tasks for Samsung’s Green Management

Greening of products

Greening of Processes

Greening of Management

Greening ofWorkplaces

Greening of Local Communities

Product Stewardship

Realizing Zero Emission

Embodying 3 No’s Workplaces

Operating Green Partnership

Publishing Report on Green Management

Contribute to nation through policy &

Technology Development

Samsung’s Energy Management

Declaration of Samsung’s Energy Management -

1997. 6

Detailed Tasks for Implementation

7

Declaration of Samsung’s Energy Management

Contributing to sustainable development by conservation and wiser

utilization of energy resource.

Taking the initiative in enhancing international competitiveness by

reflecting increased energy efficiency into management activities

Expanding the SEE21 (Sam Energy Efficiency 21) Movement as a

movement towards higher resource productivity in the 21st century

8

Detailed Tasks for Implementation

Category Detailed Tasks for Implementation

Business

Management

Energy and CO2 basic units to reach those of advanced countries, and development of energy saving campaigns

ProcessOptimizing energy efficiency through promoting investment in facilities and establishing energy management system

ProductSupply less energy-consuming products, acquire higher ranking in energy consumption, receive environmental marks

Research &

Development

Increase synergy effect of energy related research, and research and investment in CO2 reduction

Physical Distribution,

Publicity

Strengthen the function of information on transportation and physical distribution, and replace lighting apparatus tools to energy efficient ones.

Community

Service

Provide energy inspection and support energy reduction of collaborative companies, expand energy saving movement through the ESCO project, and spread movement of reducing traffic

Establishment of Environmental Management System(EMS)

Maintain dominant position in industrial competitiveness through environmental certifications

Enhance corporate value through publicizing environmental management performance

Accomplish environmental management through internal audits

Implement environmental management through EIA

Special training for self-management of workplace

10

Environmental Certification

Samsung’s workplaces are implementing environmental management

throughout business activities such as organization, products and

services. Gaining recognition of such efforts, Samsung is maintaining a

dominant position in industrial competitiveness, not only through

international environmental standards, but also by being designated as

an environmentally-friendly company.

11

15

45

9

12

5

12

0

2

4

6

8

10

12

14

16

Electronicsindustry

MechanicalIndustry

Chemical Industry Others

Num

ber

of

Cer

tifica

tions

ISO 14001 : 33

Environmentally FriendlyWorkplaces : 20

Status on Environmentally Certified Samsung Workplaces

Maintain competitiveness in the industrial sector

12

Publicizing Environmental Management Performances

Publishment of

Environmental Report

- Samsung Electronics Co.

- Samsung SDI

- Samsung Electric

Mechanics Co.

- Samsung Corning

- Samsung Heavy Industry

Publishment of Best

Green Management

Practices

4 publishment on best

practices of Green

Management(since 1997)

Case Studies of Samsung Case Studies of Samsung

Electronics CoElectronics Co. Improving its environmentally- friendly image by acting as one of the sponsors for the Sydney Olympics

● Maintain confidentrelationship withinterest parties

● Environmentalmanagementperformanceand publicity

13

Accomplishment of Environmental Management through Internal Audits

Implementing environmental audits by internal auditors. To improve

problems while operating the environmental management system, such

auditors are being trained with educational programs organized with

external organizations such as the government and ISO 14001

certification agencies.

14

Case Studies of Samsung Electronics, Gi-heung Plant Pre-establishing (environmental audit) in accordance with the introduction o

f ISO 14001 and environmental management system, as well as enhancing and establishing environmental management of each division

Enhancing the quality of auditors through internal audit training and sharing information

Identifying the correspondence between the current stream of business affairs and environmental management system and evaluating the effectiveness to achieve the targets

Establishing ISO 14001 and providing a system to prepare for post-inspections

Raising employees awareness on environmental management and motiving direct participation in environmental management system

15

Environmental Audit Items of Samsung Electronics, Gi-heung Plant

Implementing and managing environmental management system

Achieving the targets of Green Management 2001

Managing pollution discharging facilities and hazardous chemicals

Controlling and managing waste generation, etc

16

Achievements and Results of Yearly Audits

391

215

75

0

50100

150

200250

300

350400

450

1997 1998 1999

Num

ber of Cases

Audit DaysNumber of casesNumber of Auditors

Results

● Continually decrease the number of cases● Accomplish self environmental management● Establish EMS by awarding the best division● Raise employee awareness for voluntary participation● Maintain continual improvement of the environmental through feedbacks

17

Environmental Impact Assessment

Implementing environmental management at the origin through

environmental impact assessment

Enhancing the company’s impression as an environmentally-friendly

company by implementing environmental impact assessment

Preventing any possible pollution accidents in advance, by coping with

environmentally-related problems within business places

18

Case Studies of Samsung SDI, Suwon Plant

Cases in implementing environmental impact assessment

For Chemicals For Management of Product Facilities

- Using new chemicals

- Changing existing chemical to other

type of a chemical that is used more

than 10 kg per month due to

technological/quality or the amount

used from the environmental impact

assessment results

- Using more than 15% for pilot-use

- Building new discharge facilities

- Altering discharge facilities

- Moving discharge facilities

- Shutting down discharge facilities

19

Results

Performances in Environmental Impact Assessment

0

20

40

60

80

100

120

1997 1998 1999

Num

ber of Cases

Concentration of organic substances in final effluence :40 ~ 80 mg/l → Maintain below10mg/l

Before

● Arbitrary substitution of chemicals by the manufacturing division → Pollutants (cause unknown) increase in wastewater treatment facility → Unable to manage the change in input concentration of organic substance in the effluence

After

● Manufacturing division makes request for EIA when replacing cleansing solution → Use of solution unaccepted → Prevent in advance, exceeding the BOD and COD criteria in wastewater treatment● Improve the process of existing discharge facilities to reduce chemical use and treat organic substances in final effluence

20

Professional Training for Self-Management of Business Places Complying with environmental laws and preventing accidents through

environmental education of employees and collaborative companies

based on environmental and company regulations

Promote continual environmental awareness of employees through basic

and special training

21

Training on Improving Environmental Analysis

Training 1000 employees per year with 18 courses in total, including

training to improve environmental analysis

60

8289 91

0

20

40

60

80

100

1996 1997 1998 1999

Trends in Improving Environmental Analysis (Samsung’s average)

Accuracy (points)

Maintain the level of environmental analysis to those of national licensed agencies Prevent pollution through precise analysis results Samsung Electronics Gi-Heung Plant, Samsung Corning Suwon Plant, Samsung Fine Chemicals etc: improvement of environmental analysis equivalent to the level of national licensed agencies Samsung’s average: 91 points

Korea Research Institute of Standards and Science (100points)

22

Development of Training Manuals to Establish Environmental Safety - Samsung Corning’s Kumi Plant

Love and Happiness

Environmental

Preservation : How

Pleasant workplace

through safety

Manual

Employees'Family

EHS Manager

Employees,Partner

Trainee

Letter Requests on

Safety and Health

Case studies on

pollution, Q&A

Experiences of

employees and

partners

Contents Resuls

○ Establish EHS in

workplace

○ Acquire knowledge on

environmental safety and

technology

○ Guarantee transparency in

environmental management

Development of Environmentally-friendly ProductsEstablish a basis to strengthen product competitiveness through LCA

Develop environmentally-friendly products by DfE

Increase customer satisfaction through recycled packaging

Promote green marketing by environmental lable

Strengthen competitiveness through developing green products and services

Consider environmental factors in the disposal stage of products

24

Strengthening Product Competitiveness through LCA

Conduct assessment on electric appliances (microwave ovens, air conditioners, refrigerators, CTV, monitors, washing machines) since 1995, mainly focusing on Samsung products

Develop a software (SPEED) to identify major environmental aspects of products and construct the database

Present implementation results to international workshops and academic societies SETAC(Society of Environmental Toxicology and Chemistry), Society

of Life Cycle Assessment, Society of Environmental Engineering

Environmental cost analysis on semiconductors (1997~1998)

Basis provided to improve environmental aspects of products and to prepare for environmental labeling programs

25

Example of LCA on Electric Appliances – Samsung Electric, Suwon Plant Identify major environmental aspects of products and establish a database

Product design that considers the assembly, disassembly and recycling of products, and application of DFE(Design For Environment)

Classification Year Contents Products

Introductory stage

1995~1996

Examine LCA methodologyBuild database Microwave oven

Application stage (primary)

1997 Establish LCA methodologyBuild additional database

TV, monitor, refrigerator,

washing machine

Application stage (secondary)

1998 Develop LCA software for designersBuild database for parts of appliance

PC, semiconductors,

DRAM

System building stage

1999~ 2000

Upgrade LCA software for designersEstablish optimal designing process for environmentally-friendly products

Laser printer, vacuum cleaner

26

Example of LCA Software Development – Samsung Electronics, Suwon Plant

Develop software to overcome the demerits of LCA (time required) and support envi

ronmentally-friendly designing of products

Promote the development of environmentally-friendly products through environmen

tal assessment in accordance with LCA on products and parts, linked with BOM(Bill

of Materials) used in product development

Properties of the Software

Convenient to use, prompt assessment, offers simple results and various analyzing m

ethods

Provides the basis to promote environmental improvement in workplaces and proces

s

27

Case Study of Analyzing Environmental Cost Based on LCA - Samsung Electronics, Gi-Hung Plant Implementation

Results

Identify the ratio of

environmental treatment cost to

production cost

Decide the priority of investment

for the environment

Efficient use of personnel to

invest for and improve the

environment

Research production line products and selection of target products

Research on production amount according to products and progress according to process

Collect data related to the unit cost of raw materials and sub-materials

Establish the logic through calculation according to products, facilities and organization

Collect data on costs related to treating wastewater, air and waste

Connection between and calculation of inventory analysis data and cost data

Calculate environmental cost

28

Developing Environmentally-friendly Products through DfE

Example of DfE Application – Samsung Electronics, Suwon Plant

DfE applied to washing machines, TVs, refrigerators(1995), microwave

ovens(1996), vacuum cleaners(1997), and monitors(1998), and currently

extending DfE application to other products as well.

The concept of DfE is also introduced in mobile phones and VCRs

Reduction of material use through designing more compact mobile pho

nes (reducing weight by 78% and dimension by 47%)

Planning to link with the CAD system and integrate the DfE concept int

o product design as an essential tool

29

Trends in designing compact mobile phones

Dimension(mm)

Weight (g) Contribute to Extending

Product Sales

199

145130

105

700

246

15989

0

50

100

150

200

250

1989 1993 1996 1999

0

100

200

300

400

500

600

700

800

30

Development of Recycled Packaging Material

Enhance customer satisfaction through developing recycled packaging material

Samsung Corning’s Example of developing green packaging material Development of ABS material and fully automated packaging facility

(for CRT24"~29“ types)

Management Effects Environmental Effects

Personnel: 48 employees ↓Expenses: 8 hundred million won↓ (as of 1997)

Amount of CARTON BOX used: 7,500 tons/year ↓Amount of styrofoam used: 465 tons/year ↓ Number of wooden PALLET used: 160,000/year ↓

31

Example of OPEN TYPE packaging – Samsung Electronics, Suwon Pla

nt

Packaging box of air conditioners changed to “Open Type” by covering

the top and bottom parts of the product

Tangible Effects Intangible Effects

Reducing the use of packaging material:117g↓Reducing shock absorbing material: 30% ↓

Safe handling by open-type packaging

32

Environmental Lable

Promote Green Marketing through Receiving Environmental Marks

Demonstrate that environmental factors contribute to enhancing the

brand and product image

Demonstrate that environmentally-friendly products contribute to

increasing sales

Occupy a vantage point in new markets

33

Labels Products Description

Energy Star All Monitors Approved by the US Environmental Protection Agency(EPA)

VDE Energy Label Drum-type washing machine

Passed the Energy Saving Test run by a European assessment agency, VDE (Ve

rband der Elektrotechnik)

Korean Energy-saving Marks

Computers, monitors,facsimile machines, pri

nters, TVs, VTRs

Provided to energy-saving products by the authority

European Environmental Marks Monitors Blue Angel (Germany), Nordic Swan,

TCO 99 (Sweden)

Korean Environmental Marks Refrigerators, printers Nonuse of CFCs, energy-saving

products, etc

Status of Environmental Labels Granted to Samsung Electronics Co.

34

Examples of Sales Increase through Environmental Marks – Samsung Electronics

Examples ProductsNumber of Products

Sold Sales Amount (1000$)

Bank of Sweden 15 “ LCD Monitor 5000 4000

Copenhagen Airport 15 “ LCD Monitor 400 300

Swedish broadcasting corporation

15 “, 17” LCD Monitor 300 300

Swedish national communications

corporation15 “ LCD Monitor 1500 1500

Total 7200 6100

Build a stronger brand image worldwide through receiving European marks

Contribute to enhancing marketing strategy in advanced countries (Sweden, Germany)

35

Development of Green Products and Services

Improve customer satisfaction by considering the environment and energy

in the process of product design, and occupy market share by actively

adopting to international environmental regulations

Energy-saving products

Develop energy saving TVs(0 W electric consumption during standby)

Develop high-efficient refrigerating system

Develop environmentally-friendly air conditioners that save electricity

Products using environmentally-friendly refrigerants

Develop air conditioners and refrigerators that use alternative refrigerants

(that are non-ozone-depleting)

Offer environmentally-friendly services

Operate green card systems in hotel rooms

36

Example of Energy-saving Products- Samsung Electronics

Example of products using environmentally-friendly refrigerant – Samsung Electronics Technology(using substances that are non-ozone-depleting and are harmless to gl

obal warming)

HFC-134a, highly efficient R600a compressor, highly efficient cyclopentane in insulation foam blowing

Gaining favorable reputation from international non-governmental organizations such as the Green Peace, (as a sponsor of the Sydney Olympics)

Products Technology Energy Saved

Less energy-consuming TVs

SPS(Samsung Power Switch)

No energy consumed during standby, energy saving reduced by 30%

Energy-saving refrigerators

High efficiency refrigerating system More than 20% saved

Energy-saving air conditioners Microscopic heat converter Energy efficiency 2 5%↑∼

37

Example of environmentally-friendly services – Shilla Hotel, Cheju Perform environmental protection activities jointly with customers, by introducing Green

Cards that record the intention of hotel guests to reuse bed sheets or towels

Strengthen environmentally-friendly corporate image by reducing energy and personnel expense (such as detergent, water and fuel for laundry) through reducing unnecessary laundry

Performance of Green Card System

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

10000

1997 1998 1999

Reduced expenses (million won)

Cards

Used

7.4

16.4

23.2

38

Recovery and Treatment System for Waste Electric Appliances

Realize pleasant and clean ambient environment by recovering and

treating waste electric appliances

Accomplish its social role through realizing life-cycle product

stewardship

1994: “Declaration of Customers’ Right” to recover and treat waste

electric appliances

39

Example of recovery and treatment system for waste electric appliances – Samsung Electronics Established a system for recovering and treating waste electric appliances

(July 1995)

Contract entered with 7 treatment agencies through 21 distribution centers nationwide

Constructed an internal recycling center (April 1998, Asan, ChungNam)

Construction of high-technology recycling center of recycling capacity 16,000 tons/year (27.4 billion won invested in total)

Recovered and recycled 1,170,000 electric appliances and 5,800 tons of styrofoam in 4 years

Preventing environmental problems and maintaining treatment

Reducing and recycling 50% of (the amount of) styrofoam used

40

Performances of the Recycling Center

Leftovers

Valuables

86.883

0

1000

2000

3000

4000

5000

6000

7000

8000

1998 1999

Am

ount

tre

ated

(t)

50

60

70

80

90

100

Rec

yclin

g ra

te(%

)

41

Considering Environmental Aspects in the Disposal Stage

Example of recycling printer cartridges – Samsung Electronics, Kumi Plan

t

Implementation of recovery system through 80 Samsung Electronics servi

ce centers and 1000 agencies nationwide

Built recycling facility in Samsung Electronics’ Kumi Plant

Recycling services initiated in April 1999

Investment amount

50 million won

Tangible Effects

840million won/year

- Reduction of waste treatment expense:

3 million won

- Import substitution effects: 290 million won

- Sales profit: 550 million won

Applying Clean Production Technology

Prevent global warming through substituting and reducing PFCs

Reduce energy use by improving processesReduce NOx emission

Cut down cost through reducing and reusing wastewater

Realize customer satisfaction by reducing the use of hazardous substances

Minimizing waste generation and adding value

43

Substituting and reducing PFCs

Voluntary targets to reduce PFCs: bring down 1997 emission levels 1

0% by 2010 (mutual agreement with the World Semiconductor Council,

WSC)

Replace PFCs used in LCD processes, or reduce the amount through im

proving the processes

Applicable technology: develop alternative substance, improve process,

recovery and recycling

44

Example of substituting and reducing PFCs – Samsung Electronics, Gi-heung Plant Dry etching and CVD process of semiconductors: substitution of PFC (C

2F6, CF4) to C3F8 that has a lower global warming index

Direct Effect

Reducing gas expense: reduced app. 1.4 billion won per year

Reducing the emission of PFCs : reduced by 50% (0.1988 → 0.0933 MMTCE)

Indirect Effect

Establish awareness amongst employees that cleaner process helps cost reduction

Grasp business opportunities through taking a leading role in reducing PFCs

45

Example of substituting and reducing PFCs – Samsung Electronics, Chon-an Pla

nt Improved process to simultaneously operate microwave and RF Cleaning

Reduced PFC discharge by 23% (3,000 kg/year)

Reduced 760 million won per year

Increased productivity as a result of improving facility operation

Changes in PFC Amount and Expense (Samsung Electronics, Chon-an Plant)

12.84

9.84

0

0.5

1

1.5

2

2.5

3

3.5

Before After

Exp

ense

s(m

Won

)

8

9

10

11

12

13

14

Am

ount

Use

d(kg

/y)

Expenses

Amount used

46

Reduction of Energy Use by Improving the Process

Reduce energy use by reusing waste gas, energy-saving management, improving the efficiency of smelting furnaces, and recovering waste heat

Example of reusing waste gas – Samsung BP Chemicals Recover waste gas from each processes and utilize as fuel for waste heat

boilers

Improve environmental problems

Solve problems such as flame, noise and fume from waste gas incinerators due to abnormal operation

Prevent global warming through reducing the emission of carbon dioxide

Steady supply of utilities through diverse source of steam (supply)

47

Performance and Prospects of Price Reduction (million won)

Total of 7.5 billion won of energy expense reducible by 2003

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

Energy Reduced CostEnergy Expenses

-106

1579

18731996

2123

48

Example of saving energy through heat recovery– LG Petrochemical

Replace energy by using waste heat recovered by waste heat recovery

system

More than 5 billion won of energy saved each year

Promoting its position as a leading company in reducing energy

Maintain low EXXON POG (energy use index in petrochemical plants)

Save energy and reduce emission through installing air pre-heater and

recovering waste heat discharged from oil refining processes

Reduced 13.011 TOE of energy per year

49

Example of saving energy through advanced management of oil refining

processes - LG Petrochemical

Pursue both environmental and business achievements of not only energy-

saving but also increasing the yield rate of a high value-added product,

through introducing APC (Advanced Process Control) system in oil-

refining operation systems

Total expense invested: 1.08 billion won

Profit of 3 billion won/year through controlling the distillation

temperature of kerosene and light oil

Profit of 1.64 billion won/year through controlling the flash point

temperature of kerosene

Profit of 430 million won/year through energy reduction

50

Example of saving energy through high-efficient oil cracking process –

LG Petrochemical

Reduced energy use by converting the PRT(Power Recovery Train)

expander from stage2 to stage1, thereby increasing power efficiency

Amount of fuel to produce power reduced: 23,964 TOE/year

Reduced the amount of steam consumed in the regeneration process, by

replacing the amine from DGA to DEA (used to remove COS from

LPG in the cracking process)

Amount of steam reduced: 27,000 tons/year

51

Example of Energy Reduction Management - Samsung SDI Pusan Plant

Convert to energy-saving management (public relations through motto,

website, and internal media)

Energy reduction through improving production facilities

Save energy through high efficiency facilities

Improve processes and facilities that consume more energy (enhance rec

overy of waste heat, etc)

Total reduction of 10.0%, including 16.5% in fuel and 8.3% in electricity

(against 1997 levels)

52

Example of improving smelting furnaces and recovering waste heat - Sam

sung Corning’s Suwon Plant

Recover waste heat from hot cleansing water through thermal exchanger

and reuse to heat water. In addition, waste heat emission from cooler reac

tor is recovered to dry products

Results

Improved combustion efficiency in smelting furnaces

• Use of LNG decreased by 4.1%, waste gas emission by 3.0%, carbon

dioxide emission by 3.0%

Recovery of waste heat

• use of electricity reduced to 70 million/year, use of LNG reduced to

250 million won/year

53

Reducing NOx Emission

Example of NOx reduction - Samsung Corning’s Suwon Plant

Installation of selective non-catalytics reduction (SNCR) De-NOx facility

(1995)

Reduction of potassium nitrate (KNO3) that generates NOx (1996)

Installation of selective catalytics reduction (SCR) De-NOx facility (1997)

Performance in NOx Reduction

Remove NOx, Take active role in preventing global warming

1995~1996 1996 1997~2000

30%33%

90%

54

Reducing VOC Emission through FMS

Example of reducing VOC emission - Samsung Chemicals Establish FMS (Flare Monitoring System)

Monitor PSV values of the flare stack, create database, and integrate management with process operation data

Identify and manage precise cause of flare generation and major flareloss points

Reduction of raw material emission due to decreasing Flareloss (0.5~1tons/hour)

Cost of recovering raw materials by decreasing Flareloss: 560million won/year

Strengthen environmentally-friendly image and win public confidence through safe operation of flare stack

55

Reduction and Reuse of Wastewater

Case study of wastewater recycling through water reuse system - Samsu

ng Electronics, Kumi Plant

Through advanced wastewater treatment, lower wastewater quality to

below 5ppm and replace for toilet use.

Reduce treatment expense by flowing saved and discharged water to se

wage treatment facilities (BOD below 2ppm)

Recover less polluted wastewater (below 4ppm) and reuse as cooling wa

ter and water supply for boilers

56

Reducing cost through waste water recycling

Wastewater Generation and Results of Cost Reduction

Cost reduction of 40 million won per year

0

10

20

30

40

50

60

70

80

90

1997 1998 1999

Waste Water(1000m3/y)"

Cost Reduced(m Won)

57

Example of reusing wastewater using separation membrane facility – Sa

msung Electric, Taejon Plant

Collect less polluted wastewater from processes and introduce to wastew

ater reusing system

Effects

Save wastewater treatment cost: 270 million won/year

Save municipal water treatment cost: 40 million won/year

Secure wastewater treatment capacity: 1,600 ㎥ /day

Additional wastewater treatment facility unnecessary: save 5 billion won

Develop wastewater reuse and treatment technology

Provide other workplaces with technology guidance on waste landfills fa

cilities

58

0

50

100

150

200

250

300

1997 1998 1999 2000.8

m W

on

Reducing wastewater from manufacturing process – Samsung Techwin

Reduce wastewater from the semiconductor lead frame SLF process, thro

ugh developing a facility structure that saves wastewater

Wastewater generation and cost reduction Effects of Wastewater Reduction

Reduction of net manufacturing cost

Reduction of wastewater treatment cost

Reduction of municipal water used

0

100

200

300

400

500

600

700

1997 1998 1999 2000

Was

tewa

ter G

ener

ated

(100

0 t)

Wastew ater GeneratedCost Reduced(m Won)

59

Example of improving water quality through waste caustic soda

treatment facilities - LG Petrochemical

by cracking waste caustic soda at 900 , remove noxious substances, ℃and recycle secondary wastewater as desalted water (cracking 6.5

tons/hour)

Investment expense: 3 billion won

Improvement of final effluence quality and feasibility of treating

various crude oils

Improvement of working environment through removing odor from

wastewater treatment system

60

Example of preventing soil/underground water pollution through installing

RPB in oil tanks – LG Petrochemical

Install RPB (Release Prevention Barrier) in the bottom part of new oil

storing tanks (RPB: highly-concentrated polyethylene)

Investment expense: 3.5 billion won (since 1996)

Prevent pollution of soil or underground water, despite leaks due to

corrosion of oil tank floor

61

Example of reducing industrial water through recycling wastewater – LG Petrochemical Secure source of industrial water supply by installing EDR (Electro D

ialysis Reversal) to prepare for shortage of industrial water

Investment expense: 8.5 billion won(constructed in 1996, operated since 1997)

Replaced app. 30% of industrial water use by recycled municipal water

Expense share of 9 billion won saved for additional wastewater treatment plant in Yeochon industrial zone

1.2 billion won of industrial water expense saved, and 150 million won/year of wastewater treatment expense saved

62

Example of reducing municipal water through maximizing the recovery of

condensed water - LG Petrochemical

Increased recovery of condensed water: to reduce 120 tons of condensed

water leaked, process lines are connected for separate treatment when

vast amount of condensed water is generated

Municipal water reduced: 175,200 tons/year

Unit B condensed water

Unit C condensed water

Unit A condensed water

Loss

Loss

Loss

Unit B condensed water

Unit C condensed water

Unit A condensed water

recovery, reuse

recovery, reuse

recovery, reuse

recovery, reuse

recovery, reuse

recovery, reuse

63

Reducing the Use of Hazardous Substances

Example of improving the efficiency of VOC treatment through heat oxi

dation process – Samsung Electronics, Gi-heung Plant

● Adsorb organic gas with zeolite → highlyconcentrate→ desorb → heat oxidation

● Recover waste heat by using ceramic blockin the heat oxidation system and reusewaste heat to remove VOC → increase heat

recovery by 95% and remove VOC

Description

● Preventative management

→ Realizing a system for appropriate VOC

treatment according to components oforganic gas

● VOC treatment up to 95-100%

● Less expense for operation

→ Operational expenses of pollution reventingfacility cut down by 1.4 billion won

Results

64

Reducing VOC Emission through replacing hazardous detergents -

Samsung Electric, Suwon Plant

Replace MC (Methylene Chloride) with DCD(P-C-P) due to environme

ntal and safety problems

Improvement in terms of hazardousness and environmental safety throu

gh alternative detergents

Contribution to lowering manufacturing cost by reducing more than 10

0 million won/year for detergents

No additional investment expense needed; existing cleansing facilities a

re used despite alternative detergents

65

Enhance eco-efficiency through developing and applying VOC-free

soldering flux - Samsung Electric, Suwon Plant

January 1999: develop clean production technology and select alternati

ve for flux, under industrial-educational cooperation

Reduce hazardousness and risk in terms of environmental safety

Improve quality and productivity and reduce Flux manufacturing time

Non-VOC substances: save investment of 4 billion won in air pollution

prevention facilities and cost of 20 million won/year

Commercialization feasible

66

Minimizing Waste Generation and Adding Value

Example of recycling wastewater sludge - Samsung Corning, Suwon Plant

Recycle wastewater sludge (of similar component to lime) as mineral filler

used for asphalt concrete

Add value to wastewater sludge that accounts for 60% of the total amount

of waste generated

6.9

3.4550

90

0

1

2

3

4

5

6

7

8

Before Recycling After Recycling

Trea

tmen

t C

ost(

100

m W

on/y

)

0

10

20

30

40

50

60

70

80

90

100

Rec

yclin

g R

ate(

%)

Recycling Effect of Wastewater Treatment SludgeEffects

Tangible effects Save 45% of treatment cost (350 million won/year) Improve waste recycling higher than 90% Intangible effects Improve recycling through extending to other workplaces

Environmental Communication

Practice Public Confidence through Local

Environmental Preservation Activities

Continual Environmental Partnership

68

Practice Public Confidence through Local Environmental Preservation Activities

Towards an environmentally-friendly corporate image through active environmental preservation in the local community

Environmental preservation activities in the local community - Samsung Petrochemical’s Ulsan Plant Environmental education for teenagers: lectures on the importance of the

environment

Eco-study tours: select monthly courses where environmental protection is necessary, and organize study tours

River Care Program,“1 sa, 1 hachon” : continual management of the Taehwa River area

Change to an environmentally-friendly corporate image

Inspire environmental awareness in local communities

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Investigation and research activities on local community ecosystems

- Samsung Electronics, Suwon Plant

Conduct research for water quality improvement

Conduct research on the method of developing eco-rivers

Joint management between the local government, related organizations

and NGOs to restore the environment

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Participation in Local Agenda 21 - Samsung Electronics, Gi-heung Plant Promoting project on creating an environmentally-friendly artificial pond under

the title “Green Kyunggi 21,” as part of the “Agenda 21” and “Local Agenda 21”

Feasibility study of location and designing of the artificial pond (public participati

on for ideas and hold seminars and discussion meetings)

Implement construction works and carry out eco-monitoring

Preserve the surrounding natural environment to the utmost

Raise awareness on environmental preservation through expanding projects addre

ssing environmental concerns jointly with local residents

Provide opportunities to experience the nature by creating eco-tour courses

Provide resting places that are well-harmonized with the nature and offer opportu

nities for environmental education

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Saving fireflies – Samsung’s Everland Promote environmental protection by breeding fireflies as pollution ind

ex, in order to protect endangered species, and expand the project nationwide

Procedure: citizens’ survey on organizing firefly T/F teams and public opinion → identify the status of fireflies in Korea → collect fireflies/artificial breeding →publicize firefly breeding and organize events →publish manuals on firefly breeding and transfer technology

Symbolize firefly as the insect of environmental recovery index

Offer concrete direction that the environment should be restored in a manner pleasant to all organisms

Prepare the basis for educational ground for children by succeeding in breeding butterflies as well

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Example of Cyber Educational Programs– Samsung Engineering

Operating nation’s first cyber environmental education program, 「 K

um-Poo 」 in UNITEL, and world’s first environmental education webs

ite for children, 「 e-Gen 」 Organize a cyber environmental expedition program and provide an op

en environmental classroom for children

Establish Samsung’s image as an environmentally-friendly company

Provide information on the environment

Prepare the frame for organizing environmental protection movement o

f children

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Continual Environmental Partnership

Expand various supporting activities related to the environment, such as

green concerts and photograph exhibitions, in order to raise public awar

eness on environmental protection and (the serious state of) pollution

1999 : Supported construction of KAIST Environmental Research Cent

er in Kwangju

1998 : Sponsored Green Concert

1997 : Supported Korea-China Environmental Cooperative Project