Cleaner Production Case Study Major players working together Cleaner production involves reducing the consumption of raw materials (including water and energy) and reducing the volume and toxicity of waste and other emissions. Industry: Poultry Project partners The businesses involved in this cleaner production project were: • Baiada Poultry • Cordina Chicken Farms • Inghams Enterprises (Inghams focused on their hatchery operations at Casula in south-western Sydney) • Red Lea Chickens • Steggles Foods/ Bartter Enterprises (Steggles Foods is a further processing poultry producer within Bartter’s processing plant at Beresfield in the Hunter region) • Summertime Chickens. This project was coordinated by Dick Benbow & Associates. With help from an environmental consultancy, six of the largest poultry businesses in NSW formed an industry cluster, meeting together over a two-year period. The group selected six sites: one from each business, with selection based on choosing sites which would benefit most from a cleaner production overhaul, and which would provide the greatest benefits in terms of group learning. A cleaner production team was established for each site. Staff were encouraged to challenge ‘business as usual’ thinking to generate fresh ideas about how to improve performance. Training workshops and site visits were conducted to provide advice on gathering data and identifying cleaner production opportunities. On average, the teams identified 42 initiatives per site, and a wide range of these ideas have been implemented. According to Elaine Dickson of Baiada, the project was ‘a great opportunity to network and learn. This was my first experience of seeing the industry together in this way, and there was good, open communication … we all shared common issues.’ What did they do? Environmental successes This is one of a series of case studies featuring companies that participated in the Department of Environment and Climate Change NSW $5 million ‘Profiting from Cleaner Production’ Industry Partnership Program. NSW companies are discovering that cleaner production not only protects the environment but also reduces operating costs, streamlines processes, boosts profits and improves staff engagement and morale. Working with suppliers Summertime, Cordina and Steggles worked with their suppliers to implement initiatives to reduce packaging. After conducting a trial with a major customer, Summertime replaced non-reusable cardboard cartons used for transporting chicken products with reusable tubs. This has yielded annual savings of over $60,000 and diverted over 38 tonnes of cartons from landfill each year. Cordina replaced product trays that had to be shrink wrap-sealed with top-seal trays, resulting in a 4.5 tonne reduction in packaging used each year. Working with chemical suppliers, Cordina and Red Lea optimised chemical use by improving application methods and switched to environmentally preferred alternatives. This has reduced the toxicity of the wastewater from the cleaning process. Red Lea installed a unit which applies chemicals as foam and controls their application during equipment cleaning, reducing chemicals used in the cleaning process by 20–25%. Composting hatchery waste Land filling of Inghams hatchery waste was expensive, and its liquid content and pick-up timing were causing odour problems in summer. By storing hatchery waste in a silo and removing it for composting each day, Inghams has reduced the risk of odour problems or stormwater contamination. Composting has saved $145, 000 in annual waste disposal costs and diverted 410 tonnes of waste from landfill each year. Reducing water usage By installing meters on water lines and recording daily meter readings, Steggles identified opportunities to save water. For example, a system for cooling gas in an oven exhaust biofilter was identified as a high-use area. Recycled water was being used to cool the air continuously. By fitting an automated valve, water is now used only when the temperature in the biofilter exceeds 80°C. The quantity of wastewater treated on site has reduced by 13. 5 ML a year. Inghams installed flow-restriction trigger nozzles on all cleaning hoses. The nozzles, which are permanently attached to the hoses, restrict the flow rate of water from 13 to 10 L/min while maintaining the appropriate pressure. The nozzles have a trigger mechanism which also helps to reduce water use. Using the new nozzles has cut water usage by approximately 350 kL a year, a 23% reduction. Left: Each flow-restriction hose nozzle saves Inghams 3 L water per minute. Right: Steggles has replaced cardboard cartons with reusable plastic tubs. Front page: Inghams hatchery has saved $145,000 a year in waste disposal costs by composting hatchery waste. Reducing energy consumption Cordina installed variable speed drives on its condensers and implemented an ongoing leak detection and correction program for its compressed air system, saving 292,000 kWh and $32,000 in annual energy costs. Summertime gradually replaced fluorescent lighting ballasts with electronic ballasts, providing an energy saving of approximately 30% and increasing lamp life by 50%. Reducing fuel consumption Cordina installed diesel filters on all company-owned trucks, reducing fuel consumption by 10%. This has a payback period of just a few months and will reduce the quantity of diesel used by 18,000 L per annum. Reducing waste to landfill Several sites use plastic liners for tubs used to transport chicken within the processing facilities. For health reasons the liners are used once, and are then sent to landfill. By targeting high-use areas and improving product handling Baiada now uses half the quantity of liners, with large savings on purchasing and disposal costs. Red Lea is investigating compacting and baling devices, recycling of used tub liners and the use of biodegradable liners. Involving staff Bringing staff together in teams and conducting training workshops had a positive impact on employee enthusiasm and environmental awareness. Before-and-after surveys showed a significant shift in staff attitudes to environmental issues. ‘We tend to assume someone knows all about a particular thing, but they don’t necessarily—each member of our team learnt something. As well as the cost savings there was a real change of culture’ said Julia Seddon, Inghams Environmental Engineer. Benefits for the whole industry By collating its data the group established key performance indicators for the whole industry, so poultry companies can now evaluate environmental performance against industry benchmarks. The group also developed a model Environmental Management Plan (EMP) to provide a framework for integrating ongoing environmental improvement into business processes. Several companies have already used this model to formalise their own site-specific EMPs. ‘The program allowed me to ‘take the blinkers off’ so I could think about the larger picture ... it gave us a practical framework for assessing our efficiency and reducing costs.’ Ian Whitelaw, Casula Hatchery Manager, Inghams. Why did they do it? The group came together to explore common issues and share the challenge of applying cleaner production principles to their operations. What were the environmental and financial benefits? One-off costs Annual savings Annual environmental savings $73,400 Energy and fuel $57,690 efficiency initiatives 440,600 kWh 446 tonnes CO2-e Reduced water consumption and increased water recycling $26,550 29.5 ML water $66,300 7.3 tonnes raw materials $13,560 Reduced raw material wastage $124,600 in addition to Red Lea reducing chemical use by 20–25% Improved waste management $6,200 $208,400 Totals $202,050 449.28 tonnes waste diverted from landfill $374,650 Where to now? More information With the momentum gained through the cluster process, the involvement of these major players will significantly raise industry awareness of cleaner production opportunities. Many of the project’s participants have agreed to continue working together on environmental initiatives. Department of Environment and Climate Change NSW Business Partnerships Section Phone 02 8837 6000 cleanind@environment.nsw.gov.au Published by Department of Environment and Climate Change NSW; 59–61 Goulburn Street, Sydney; Phone: (02) 9995 5000 (switchboard); Fax: (02) 9995 5999; TTY: (02) 9211 4723; Email: info@environment.nsw.gov.au; Website: www.environment.nsw.gov.au; DECC 2007/408; ISSN 1445-2332; October 2007. Printed on recycled paper.