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SUSTAINING PERFORMANCE - ENVIRONMENT,
HEALTH AND SAFETY REVIEW
International Power takes its responsibility
to the environment seriously. Our corporate policy (right) demonstrates
this commitment.
In our business of electricity generation,
the main potential environmental issues are emissions to air, water
and land. We aim to limit these emissions within strictly defined
levels, always ensuring compliance with government regulations in
the countries in which we operate. Environment, health and safety
(EH&S) management is wholly-integrated within International Power's
business management processes. EH&S performance is reviewed alongside
financial and engineering performance. EH&S audits are carried out
as part of the combined compliance audit process together with financial,
technical and other operational reviews.
Assessing and minimising environmental risks take place early
in our business planning cycle - either during the project development
stage or when we review potential additions to our portfolio of
operational plant. When building or upgrading plant, we use modern,
low emission equipment. We operate plants using environmental management
systems such as ISO 14001, the international standard for such systems,
to ensure good environmental controls and performance. This is done
alongside continual improvements in plant efficiency, thereby reducing
emissions for each unit of electricity generated.
All existing ISO 14001 certificates were retained during the review
period. In Australia, ISO 14001 certification was gained in 2001
by Pelican Point and Synergen.
Health and safety is a paramount management priority, although
the forms of management systems and controls vary around the world.
Several of our plants have been awarded Royal Society for the Prevention
of Accidents (RoSPA) Gold Awards - for example Deeside and Rugeley
in the UK and HUBCO in Pakistan.
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ENVIRONMENT - CORPORATE
POLICY
Protection of our world environment
is the responsibility of everyone. International Power recognises
its responsibilities and has an important role to play both
in protecting our environment today and in moving towards
a sustainable future. To support these aims, International
Power will:
- minimise environmental impact
by balancing the environmental, social and economic factors
of sustainable development
- implement and maintain effective
environmental management systems
- seek to constantly improve our
environmental performance and set appropriate objectives
and targets
- ensure all staff are fully aware,
properly trained and motivated to conduct their activities
in an environmentally responsible manner
- work with our customers, partners
and suppliers to make the best use of natural resources
- work constructively with our
neighbours and local communities where we operate
- ensure compliance with all relevant
environmental regulations
- regularly review and report
on our environmental performance.
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During 2001 we reviewed our corporate management of health and
safety. The reporting of EH&S issues is part of the Company's regular
performance reporting and review process. Where we have shared or
joint ownership of a plant, we seek to ensure good EH&S performance
through board membership of the asset-owning company. We always
aim to develop good relationships with our neighbours and strive
to play a constructive role in the local communities where we operate
around the world. In the following regional summaries, we illustrate
some of the EH&S and other community highlights for 2001.
Throughout North America we have developed and implemented an
environmental management system (EMS). This EMS, designed around
the ISO 14001 methodology of continuous improvement, establishes
a framework for managing environmental affairs throughout the business
cycle including development (greenfield and potential acquisition),
construction, commissioning and operations.
Throughout the course of our construction programme, we have maintained
an excellent safety record at our Bellingham, Blackstone, Hays and
Midlothian sites. Careful health and safety management has resulted
in very low lost-time accidents records at all these project facilities.
In fact, the Occupational Safety and Health Administration (OSHA)
reportable and lost-time incident rates for each of these facilities
are well below the US national average of 8.8 and 3.3, respectively.
Several of our facilities reported zero lost-time accidents while
working well over 1 million man-hours during 2001.
Blackstone and Bellingham received environmental recognition from
the US Environmental Protection Agency for their use of Best Available
Control Technology (BACT). Blackstone and Bellingham's low emission
rates may enable regulators to lower the BACT oxides of nitrogen
(NOx) emission rate standard in the US.
Hays and Midlothian energy facilities have been very pro-active
in the state of Texas in lowering air emissions. Hays and Midlothian
provided a source for the Texas regulator (the Texas Natural Resource
Conservation Commission) to promote lowering the BACT standard for
NOx emissions from power generation projects in the state of Texas.
During the air permitting phase, Hays and Midlothian voluntarily
lowered their respective NOx emissions limits to almost half the
level prevailing at the time.
At Hazelwood the upgrade programme for the precipitator, which
removes dust from the flue gas emissions, is now half completed,
and continues on schedule.
An innovative and best practice greenhouse gas reduction programme
was produced by the federal government's Australian Greenhouse Office
(AGO) with assistance from the generation efficiency standards (GES),
which Hazelwood has adopted. While the GES programme is voluntary,
a legally binding five-year deed of agreement was also signed.
The mine at Hazelwood has continued its pioneering work in the
use of rare and endangered Australian native grasses in the rehabilitation
of the former overburden dump, thus increasing the local extent
and biodiversity of native grasses. The total number of 'viro cells'
planted by hand to date is just over one million. A total of four
hectares of land was rehabilitated during 2001. There were a total
of 23,585 indigenous trees planted in 2001, including 2,135 in the
former overburden dump, 20,250 in the new wetlands and 1,200 as
screening for mine expansion.
Construction work was completed on three wetland sites designed
to replace those affected by expansion of the mine. In addition
to the tree planting scheme, mud, tree root balls and woody debris,
including biota, were transferred from the existing wetlands to
the new sites to preserve biodiversity. This is believed to be the
first time such a project has been undertaken. The wetlands were
naturally filled to design level by heavy rainfall in April.
As part of the mine expansion, extensive field works have been
conducted in association with interested groups and the local Koorie
community to search for, identify and analyse indigenous sites.
Some 1,623 artefacts have been found within the area of the first
phase mine development. Protocols are in place in the event of further
discoveries. Extensive field works have also been undertaken, regarding
the history of settlers from Europe in association with interested
groups and local residents, to obtain and satisfy the consents for
the mine expansion project.
The Hazelwood safety management system (SMS) was certified in
July 2001 to the recent Australian standard AS 4801.
Pelican Point power station and Synergen were audited in 2001
to ensure compliance with the Electricity Association of Australia's
(ESAA) Code of Environmental Practice and concluded that environmental
management, resource management, sustainable development and social
responsibility direction are in line with the policies and principles
of the ESAA's Code. Pelican Point and Synergen have voluntarily
signed a Greenhouse Challenge Co-operative Agreement with the Australian
federal government in developing greenhouse gas minimisation programmes.
An active ecological restoration programme, including revegetation
of land owned by Pelican Point, has been implemented. To date, approximately
70,000 native seedlings endemic to the local and regional area have
been planted.
A dedicated education centre for the local and regional community
was officially opened in November 2001. It is designed to increase
awareness and knowledge of the station through active and practical
programmes.
Synergen has successfully implemented the requirements of its
environmental licence and 'environmental compliance agreement' with
the EPA. The carefully planned maintenance programme at Synergen
ensured that 2001 resulted in no state or federal EPA infringement
notices or fines, and no environmental incidents.
EOP has won two prestigious awards highlighting its commitment
to high standards of EH&S management. In 2001, EOP was voted the
most admired company in the Czech energy sector for the year 2000,
according to a poll organised by the Czech Top 100 Association.
The assessment was made by top managers from leading Czech companies,
on the basis of selected key criteria, including environmental approach
and local community programmes.
In April 2001, EOP was awarded the Health, Safety and Environment
Award 2000, organized by Business Leaders Forum, the partner of
The Prince of Wales International Business Leaders Forum.
Deeside continues to perform very well in all aspects of EH&S.
To help improve their already excellent record, Deeside staff have
been studying the performance of other world class organisations
such as Du Pont. This work has led to new initiatives which are
detailed on Deeside's own website at www.deesidepower.com.
The 1,000 MW coal-fired plant at Rugeley was acquired in July
2001. To improve the environmental performance we have commenced
planning work to install flue gas desulphurisation (FGD) equipment.
FGD reduces the amount of sulphur dioxide (SO2) released to the
atmosphere by over 90%. Rugeley has an environment centre with classroom,
nature trails and other resources used by local schools. Rugeley
has an excellent track record extending back over 30 years.
Pego continues to perform well in EH&S and retained both ISO 14001
certification and Eco-management and Audit Scheme (EMAS) registration
in 2001 (in 2000 it was the first plant in Portugal to achieve this).
To improve the environmental performance and in preparation for
the new Large Combustion Plant Directive, we have started planning
work to install SO2 and NOx emissions reduction equipment.
We continue to further develop and implement our health and safety
management system to the requirements of OHSAS 18001. We have been
awarded the RoSPA Gold Award for the fifth consecutive year.
At Marmara power station, work has continued to reduce the impact
the station has on the local community - for example, a noise barrier
has been built to reduce the impact the main cooling water screening
plant has on local housing.
The station arranges regular educational visits from local technical
schools and provides information packages and escorted tours of
the station and is currently taking six school children from local
technical schools for work experience in various departments within
the station.
HUBCO continues to comply with World Bank environmental guidelines.
As part of compliance assurance, oxides of sulphur (SOx) and NOx
levels are checked by air quality monitoring devices at twelve different
sites, located up to 15 km from the station.
Kot Addu continues to meet the Pakistani National Environmental
Quality Standards in respect of all its emissions. Plans to improve
the management of liquid waste from the station are being progressed
with a view to meeting future, more stringent emission standards.
We successfully concluded the first full year of operation in
Thailand. This was achieved with zero lost-time accidents and no
environmental incidents. The focus in 2002 is to achieve ISO 14001.
Thai National Power (TNP) has established a community support
programme which targets, local health issues, local education and
local community projects.
Our active health and safety policy covers all our operations
in Thailand. We have also supported a drugs prevention programme
in the local factories.
Further information is available at our
website - www.ipplc.com.

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