Place and date in 14 pt Arial Italic

L’IMPACT ENVIRONNEMENTAL

DANS LE SECTEUR VERRIERDepartment name in 14 pt Arial Bold

SUSTAINABLE DEVELOPEMENT, A NEW CHALLENGE FOR THE CRYSTAL GLASS INDUSTRY

XV ICF TECHNICAL EXCHANGE CONFERENCE

Arques/St Omer, 11-14 October 2003

Guy Tackels

guy.tackels@saint-gobain.com

CONTENTS

Crystal Glass industry and Sustainable Development

European legislation and IPPC Directive

Climate Change and CO2 Emission Trading

Sustainable Development

- First definition in Brundtland report (1987) :> “A development which meets the needs of the present

without compromising the ability of future generations to meet their own needs”

-More poetic definition: > “We do not inherit this world from our ancestors, we

borrow it from our children”

Sustainable development : some concrete links to enrich the economic approach by environmental and social concernsDevelopment of tools able to measure the environmental impact of industry : ecologic print, carbon balance, exchanges efficiency,…

R&D for GHG reduction and energy saving

Ethical involvement of industry

Ecologic design and industrial ecology (lightening)

Decoupling economic growth and use of non renewable resources

Decoupling economic growth and use of energy

Waste management and recycling (cullet recycling)

Etc…

European legislation IPPC Directive (Integrated Pollution Prevention and Control)> BAT (Best Available Techniques)> BREF (BAT REFerence Document)

NEC Directive (National Emission Ceilings) :

multi-pollutants and multi-effects SOx, NOx, NMVOC, NH3

Acidification, eutrophication, tropospheric ozone

To be revised in 2004. In practice, strong pressure to reduce pollution in 2010.

European legislation (2)

Directive on air quality (dust, SO2, NOx, Pb) and daughter directive relating to heavy metals (arsenic, cadmium, mercury, nickel) and PAH

EU Chemical policy (REACH)

Directive on packaging and packaging waste

Health and safety (OEL for lead in air/blood, noise and vibrations, crystalline silica, use of Boron,…)

Emission Trading (to be developed in next section)

Etc…

CRYSTAL GLASS and ENVIRONMENT: IPPC Implementation

Size of sites can be very diverse. Some installations are below the threshold level of IPPC (20 t/j)

Some BAT’s described in the BREF are not applicable to Domestic and Crystal Glass.

Specificities: Special glass, use of lead, oxidation by nitrates, acid polishing (F),

Emission concentration can be high but flow is generally low

IPPC BAT Reference levels for Domestic and Crystal Glass (1)

Dust : 5-30 mg/Nm3

Bag filters and Electrostatic Precipitators Electric melting (Lead crystal)

NOx : 500-700 mg/Nm3 (target) Primary measures Electric furnaces Oxy-fuel furnaces Secondary measures difficult to apply (SCR, SNCR,

Reburning) Special attention to nitrates (1500 mg/Nm3)

IPPC BAT Reference levels for Domestic and Crystal Glass (2)

SOx : 200-500 mg/Nm3 (gas), 500-1300 mg/Nm3 (oil firing) Choice of fuel (oil, gas, mixed fuel) Action on sulphate when used Acid gas treatments Recycling, elimination or valorisation of dust issued

from acid gases treatments

Cost of reducing NOx, dust and acid gas according to Glass BREF

0

2

4

6

8

10

12

14

16

50 100 300 450 600

Pull in tons per day

Eu

ro p

er t

on

of

mo

lten

gla

ss

Low-NOx Combustion

SCR

SNCR

Reburning & 3R

Oxy-Fuel

SCR+filter

Filter+acid gas treatment

CLIMATE CHANGEClimate Change : a reality?

Global consensus that climate change is a significant threat to the world and “that the changes are mostly due to human activities”(IPCC)

Evidence that “climate changes are occurring”and that costs associated to damages are considerable

Consensus that precaution is needed

Some EU member states (F, D, UK, S) have politically committed to reduction targets of up to 60% until 2050 (50% in France)

Kyoto Protocol is a modest step; the ultimate agreement to achieve long term targets still needs to be designed

CLIMATE CHANGE

Six greenhouse gases : CO2, CH4, N2O, HFC, PFC, SF6

In the glass industry, only CO2 is concerned

The rules at world level (Protocols)

Kyoto protocol on Greenhouse effect> Ratified by EU and countries of EU> Flexibility mechanisms ( Emission trading,

Joint Implementation, Clean Development Mechanism)

> GHG reduction target in 2010 :• European Union : -8% of 1990 level• At Member State level : burden-sharing

agreement

Burden-Sharing Agreement for GHGMember State GHG evolution for 1990-2010

period

Belgium - 7,5%

France 0

Germany - 21%

Ireland + 13%

Italy - 6,5%

Netherlands - 6%

Portugal + 27%

Spain + 15 %

Sweden + 4%

United Kingdom

- 12,5%

Kyoto Protocol and EU Legislation« Emission Trading » Directive on exchanges of greenhouse gases emission allowances Adopted by EU Parliament on 2 July 2003 and

accepted by the Council on 22 July 2003Will apply on 1st January 2005NPA : Allowances must be fixed and accepted

by the Commission on 31 March 2004Threshold value for glass industry : 20 t/d of

melted glass per installation i.e. less than 10.000 tonnes of CO2 per year

Process emissions included

How does ET reduce costs :First case : no Emission Trading

Source A Source B Total

Current emissions

50 000 t 100 000 t 150 000 t

Required reduction 10%

5 000 t 10 000 t 15 000 t

Absolute target 45 000 t 90 000 t 135 000 t

Cost per ton 2 €/t 5 €/t

Compliance cost with conventional

regulation

10 000 € 50 000 € 60 000 €

Second case : With Emission TradingSource A Source B Total

Allowance allocation 45 000 t 90 000 t 135 000 t

Real reduction

implemented

10 000 t 5 000 t 15 000 t

Reduction cost with ET 20 000 € 25 000 € 45 000 €Allowance sold 5 000 t none

Allowance purchased none 5 000 tAllowance Price 3,5 €/t 3,5 €/t

Revenue from sale or

Cost of purchasing

17 500 € 17 500 €

Compliance cost 2 500 €

i.o.10 000 €

42 500 €

i.o. 50 000 €

45 000 €

i.o. 60 000 €

Forms of emission trading

A « Cap and Trade » programme typically establishes an absolute limit on total emissions in a given period and distributes allowances equal to the limit prior to the start of the period. Key point : allowances allocation (free or by auction)

« Baseline and credit » typically define a baseline that varies with output and issue credits at the end of the period if a participant’s actual emissions are below its baseline.

REPORTING and VERIFICATION

Emission data

All the data will be treated in the same way. An Excel programme has been developed at European level (CPIV). The method is inspired from the method used by the cement industry in the scope of WBCSD and GHG Protocol Initiative.

30 Glass production 1990 1991 199231 Glass production (glass available for sale) t / y 500000 510000 52000032 Glass output (melted glass) t / y 600000 610000 59000033 Calculated production yield percentage % 83% 84% 88%34 Glass cullet recycled ( internal + external ) t / y 115000 112500 9400035 Calculated glass cullet percentage % 19% 18% 16%36 Internal cullet recycled t / y 100000 110000 9000037 External cullet recycled t / y 15000 2500 400038 New glass output (melted glass - glass cullet recycled) t / y 485000 497500 49600039 -

40 Glass raw materials producing CO2 (dry weight) 1990 1991 199241 Limestone t / y 5000 0 041b chemical purity of limestone % - - -42 Dolomite t / y 70000 0 042b chemical purity of dolomite % - - -43 Sodium Carbonate t / y 9000 0 043b chemical purity of sodium carbonate % - - -44 Coal t / y 10 0 044b chemical purity of coal % - - -45 Other raw material 1 t / y 0 0 045b chemical purity of raw material Other raw material 1 % - - -46 Other raw material 2 t / y 0 0 046b chemical purity of raw material Other raw material 2 % - - -47 Other raw material 3 t / y 0 0 047b chemical purity of raw material Other raw material 3 % - - -48 Other raw material 4 t / y 0 0 048b chemical purity of raw material Other raw material 4 % - - -49 Batch (not already accounted for in Items 41 to 48) t / y 400000 614198 61234649b chemical purity of Batch (not already accounted for in Items 41 to 48) % - - -

49-tot CO2 emissions from raw materials t CO2 /y 115361 116698 116346

CO2 REPORTING

CONCLUSIONS

The BREF document is considered as a good document and the Domestic and Crystal glass sector made a good work to take into account their specificities.

However, in the near future, IPPC directive will influence strongly the local environmental constraints. Tighter regulations will apply.

Today, we observe that implementation is not homogeneous across Europe and we recommend to defend carefully the interests of Domestic and Crystal glass sector at national and local level

Conclusions (2)Climate Change is now a reality

The reduction of CO2 emissions is already a political target in many member states of EU. Commitments to reduction targets of up to 60% until 2050.

The flexibility mechanisms (ET) are only tools to reduce the costs. However, in practice, it can be foreseen that energy and CO2 related costs will increase substantially in the future

Crystal glass installations are not always submitted to the ET directive but everybody will have to reduce CO2 emissions. For instance obligation of means in France.

Due to low absolute CO2 emissions level, the cost of trading could be high.

Conclusions (3)Short term CO2 reductions are very limited for economic and technical reasons.

Energy savings and CO2 reductions are already permanent concerns in glass manufacture. From now, top priority must be given to this matter

Double financial burden imposed to industry : Costs of CO2 emission reduction

Increased energy costs generated by the system

A last word on Life Cycle Analysis of glass productsGlass, for some applications, allows substantial energy savings or CO2 reductions.

> Low Emissivity glazing

> Mineral wools

> Reinforcement applications ( cars, wind power)

Using glass products, CO2 reduction potential is very big. Far bigger than the emissions required for the total glass industry production.

What about Crystal Glass Industry?

A last word…Crystal Glass belongs to what is often called the 4th pillar of the SUSTAINABLE DEVELOPMENT :

ART and CULTURE

A sustainable world can’t exist without

CRYSTAL !