ENVIRONMENTAL RISK MANAGEMENT AUTHORITY
DECISION
26 September 2008
Application Code
HSC08016
Application Type
To import or manufacture a hazardous substance in containment
under Section 31 of the Hazardous Substances and New
Organisms Act 1996 (“the Act”)
Applicant
Toyota New Zealand Ltd
Purpose of the Application
To manufacture into containment E85 as a racing fuel for the
Toyota Racing Series.
Date Application Received
20 August 2008
Consideration Date
25 September 2008
Considered by
Johanne Spring, Acting Chief Executive of ERMA New Zealand
1 Summary of Decision
1.1
The application to manufacture E85 is approved with controls in accordance with
the relevant provisions of the Act and the HSNO (Methodology) Order 1998 (“the
Methodology”).
1.2
The substance has been given the following unique identifier for the ERMA New
Zealand Hazardous Substances Register:
E85
2 Legislative criteria for application
2.1
The application was lodged pursuant to section 31. The decision was determined in
accordance with section 32, taking into account additional matters to be considered
in that section and matters specified under Part II of the Act and the provisions of
Part III of the Third Schedule of the Act. Unless otherwise stated, references to
section numbers in this decision refer to sections of the Act.
2.2
Consideration of the application followed the relevant provisions of the
Methodology. Unless otherwise stated, references to clauses in this decision refer
to clauses of the Methodology.
3 Application process
3.1
The application was formally received on 20 August 2008.
3.2
Project Team:
3.3
Jo Prankerd
Advisor (Hazardous Substances)
Noel McCardle
Senior Advisor (Hazardous Substances)
The applicant supplied the following document:

3.4
the application.
The following government departments were advised of the receipt of the
application (in accordance with clause 2(2)(e)) and given the opportunity to
comment:

the Ministry of Health;

the Department of Labour (Workplace Group).
3.5
No responses were received.
3.6
The applicant was provided with a copy of the proposed controls for E85 and given
the opportunity to comment on them. The comments provided were taken into
account in the setting of the controls.
4 Consideration
Sequence of the consideration
4.1
This application was considered by the Acting Chief Executive of ERMA New
Zealand under delegated powers from the Authority (section 19(2)(e)).
4.2
In accordance with section 32, the approach adopted when considering this
application was to confirm whether the application was for one of the purposes
specified in section 30, to identify and assess the risks and to determine whether the
substance could be adequately contained by controls to provide for each of the
matters specified in Part III of the Third Schedule of the Act.
Purpose of the application
4.3
The purpose of the application is to manufacture into containment E85 as a racing
fuel for the Toyota Racing Series to be held at various race tracks around New
Zealand. The Toyota Racing Series is an annual series of events run over the
summer motor racing season in New Zealand for a total of 7-8 meets each year.
The E85 race fuel will be restricted to use by the race teams that participate in the
Toyota Racing Series only.
ERMA New Zealand Decision: Application HSC08016
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4.4
This is a repeat containment application, following the containment approval
(HSC000290) for the Toyota Racing Series held in New Zealand for the 2007
motor racing season.
4.5
E85 is a mixture of anhydrous ethanol and petrol with the proportion of ethanol no
less than 70% and no greater than 90% by volume. The substance is an approximate
mix of 85% ethanol and 15% petrol by volume.
4.6
E85 is used as an automotive fuel available at public (retail) and private refuelling
stations in the United States and across Europe. The race cars used in the Toyota
Racing Series are specially modified to operate on an E85 fuel and will be the only
vehicles to use the E85 fuel in New Zealand.
4.7
The purpose of this application does not fall into any of the defined purposes listed
under section 30. However, section 30(d) provides for containment applications to
be made for “such other purposes as the Authority thinks fit”.
4.8
The meaning of subsection (d) must be interpreted in light of the subsections
surrounding it. Section 30(a) through (c) inclusive provide for importation in
containment for use as an analytical standard, for research and development
purposes, in an emergency and where the hazardous substance is to be exported.
4.9
These sections do not envisage importation or manufacture for recreational
purposes such as Toyota New Zealand Ltd is proposing under the current
application.
4.10
In considering whether the current application fits under section 30(d), the project
team considered the guidance provided in the Authority’s Interpretations and
Explanations of Key Concepts Protocol.1 According to the Protocol, the Authority
will interpret section 30(d) to include any purpose with the following
characteristics:
4.11
1

the purpose for which the substance is to be used is inherently consistent with
the application of containment i.e. it would be inconsistent with the purpose for
the substance to be released out of a contained situation; and/or

the use of the substance for the purpose is time limited, and all quantities of the
substance will after that period of time be either destroyed or held in secure
containment until an application for release is approved.
The project team notes that:

the purpose for which the substance is to be used is as fuel for the Toyota
Racing Series and this is consistent with the requirement for the substance to be
kept in a contained situation as it will only be available to race competitors;

the quantity of fuel being imported or manufactured is specified and limited to
that needed for the Toyota Racing Series events; and
ERMA New Zealand Policy Series: Protocol 3, May 2006, ER-PR-03-18 05/06
ERMA New Zealand Decision: Application HSC08016
Page 3 of 13

4.12
at the completion of the Toyota Racing Series, the primary purpose for using
the substance elapses however any remaining E85 may be retained by Toyota
New Zealand for use in Toyota Racing Series race car and engine testing over
the winter months.
Accordingly, the project team considers that the purpose of this application meets
the criteria set out in the Protocol and it can therefore be considered as falling
within the scope of section 30(d) as being for a purpose that the Authority “thinks
fit”.
Lifecycle
4.13
E85 will be manufactured specifically for use by the competitors in the Toyota
Racing Series in New Zealand. The Toyota Racing Series starts on 7 November
2008 and finishes on 19 April 2009.
4.14
The E85 fuel used in the Toyota Racing Series events will be manufactured in small
batches at around 10000 litres per batch. E85 will be prepared by blending ethanol
with unleaded petrol which will be supplied by Shell New Zealand from the normal
unleaded petrol fuel supply available in New Zealand. Blending will occur at APS
Specialty Chemicals, Wynyard Wharf, Auckland. The volume of E85 expected to
be required for the Toyota Racing Series events is between 20000 and 30000 litres
per annum.
4.15
After blending the fuel will be tested to verify the product quality and then filled
into 200 litre approved drums. The 200 litre drums will be transported by road (by a
Shell freight forwarder who is an approved company to transport flammable class
3.1 liquids) to the various Toyota Racing Series event race tracks. A maximum of
2000 litres of E85 will be transported to each Toyota Racing Series event. The
drums will be received at the site by the Toyota Racing Series approved handler.
4.16
The fuel at the circuit will be stored in 200 litre drums in a designated area (stored
under cover in a shipping container). This container will be sealed and locked
when unattended. The fuel will be under the control of an approved handler and
will only be supplied to the approved Toyota Racing Series competitors.
4.17
The E85 fuel will be stored and dispensed from one central point at each circuit.
Each race circuit in the Toyota Racing Series will have a designated area within
which all fuel including the fuel dispensing apparatus will be enclosed. This area is
remote from normal public access. The drums are stored in a shipping container
until they are required and individual drums would be opened for fuel dispensing
only when required. Dispensing would occur from this location, directly into
approved 20 L capacity containers to be taken back to the team pits.
4.18
E85 will be dispensed under appropriate control, by an approved handler into the
Toyota Racing Series vehicles at the race track. The race cars will only be driven
on race tracks designated for use in MotorSport New Zealand’s premier motor
racing Championship events. The Toyota Racing Series race cars, that will be the
only vehicles to use the E85 fuel, are specially modified to operate on an E85 fuel.
ERMA New Zealand Decision: Application HSC08016
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This will ensure that the vehicle fuel system and engine components are suitable for
use with E85 fuels.
4.19
At the conclusion of a race meeting any remaining fuel will be retained by Toyota
New Zealand for Toyota Racing Series race car and engine testing over the winter
months. As no more than 30000 litres of E85 will be required for the Toyota
Racing Series, this will ensure that only a minimal amount of E85 will be left at the
end of the race season. Empty drums will be collected from the race venue and sent
to a drum recycler for reprocessing and cleaning.
Hazardous properties
4.20
The project team notes that a containment application only requires sufficient
understanding of the hazardous properties to ensure that any risks can be managed
by the containment controls.
4.21
The applicant has assessed the available information and has identified that E85 is
highly flammable. The substance may also be an acute toxicant via inhalation, oral
and dermal routes, a skin and eye irritant and a suspected human carcinogen.
Additionally, E85 may be an aquatic ecotoxicant.
4.22
The project team has reviewed the applicant’s hazard information and considers
that it is sufficient to describe the hazards associated with the substance to ensure
that any risks can be managed by the containment controls.
5 Containment and controls
5.1
E85 is intended for use in a specific motor sport event series and will not be
available for general sale.
5.2
The project team considers that the controls that apply to E85 should be those that
apply to petrol with additional controls being imposed that restrict the availability
of E85.
5.3
The following risk assessment is based on these controls being in place.
Identification and evaluation of the significant risks of the substance in
containment
5.4
Like petrol, E85 is a highly flammable (3.1A) hydrocarbon substance and the major
risks associated with the use of the substance are associated with its high
flammability. There is potential for unintended ignition of the substance at any
stage of the lifecycle. However, with the controls in place, the risks associated with
the high flammability of the substance are considered low.
5.5
The risk to human health posed by E85 is considered to be high without controls in
place. This risk is considered to be equivalent to that of petrol. The project team
considers that, with the controls in place the risk will be reduced and note that the
ERMA New Zealand Decision: Application HSC08016
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use of the substance will be restricted to race competitors minimising general public
exposure.
5.6
If released from containment, the substance has the potential to result in adverse
effects on aquatic ecosystems. Due to the high ethanol content, the substance
would dispose readily in water leading to a greater dispersion of the hydrocarbon
fraction in water than would occur with conventional petrol. To address this area of
risk, the substance has been restricted from containment in stationary container
systems (tanks) and, in particular, from underground tanks. The project team
considers that, with the proposed controls in place, risks to the environment will be
reduced to a level where they are considered to be insignificant to low.
5.7
Similarly, because of the nature of the containment and controls, the risk posed to
the relationship of Māori and their culture and traditions with their ancestral lands,
water, sites, waahi tapu, valued flora and fauna and other taonga is considered to be
insignificant to low.
Overall evaluation
5.8
The project team has evaluated the adequacy of the containment arrangements
proposed by the applicant and the controls listed in Appendix 1, and notes that these
cover the matters set out in Part III of the Third Schedule of the Act, being:

to limit the likelihood of escape of any contained hazardous substances or
contamination by hazardous substances;

to exclude organisms from a facility;

to exclude unauthorized people from the facility;

to prevent unintended release of the substances by experimenters working
with the substances;

to control the effects of any accidental release of the substances;

inspection and monitoring requirements; and

qualifications required of the person responsible for implementing the
controls.
5.9
The project team is satisfied that, with adherence to the controls listed in Appendix
1 and those controls in place under other legislation, E85 can be adequately
contained.
6 Decision
6.1
I have considered this application made under section 31 and, pursuant to section
32, I am satisfied that this application is for a purpose that fits the criteria of section
30(d).
6.2
Having considered the risks associated with the lifecycle of E85, I am satisfied that
the controls imposed, including those in place under other legislation, will result in
the substance being adequately contained.
6.3
In accordance with clause 36(2)(b), I record that, in reaching this conclusion, I have
applied the criteria specified in section 32.
ERMA New Zealand Decision: Application HSC08016
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6.4
I have also applied the following criteria in the Methodology:

clause 9 – equivalent of sections 5, 6 and 8;

clause 11 – characteristics of substances;

clause 21 – the decision accords with the requirements of the Act and
regulations;

clause 22 – the evaluation of risks – relevant considerations;

clause 24 – the use of recognised risk identification, assessment, evaluation
and management techniques.
6.5
The application to import into containment the hazardous substance, E85 is thus
approved pursuant to section 32, with controls as set out in Appendix 1.
Johanne Spring
Date: 26 September 2008
Acting Chief Executive of ERMA New Zealand
ERMA New Zealand Approval Code:
ERMA New Zealand Decision: Application HSC08016
HSC000341
Page 7 of 13
Appendix 1: List of controls that apply to E85
General
1.
E85 shall only be manufactured within the confines of APS Specialty Chemicals at Wynyard
Wharf, Auckland, where it will be stored in 200 litre drums. E85 must not be stored in fixed
aboveground or underground stationary container systems.
2.
E85 is only to be used as a fuel in the Toyota Racing Series and is not to be offered for
general sale or supply.
3.
Refuelling of vehicles will be conducted only at locations approved and authorised by the
Toyota Racing Series organiser and will be conducted by Toyota Racing Series approved
personnel and using Toyota Racing Series approved equipment.
4.
Vehicles shall only be refuelled directly from the drums containing E85.
5.
Vehicle refuelling sites shall be chosen so as to prevent the substance entering any surface
water or groundwater system in the event of a spillage.
6.
Any accidental spillage of E85 shall be contained and prevented from entering waterways.
Refuelling sites used shall have spill containment facilities.
7.
If for any reason a breach of containment occurs, the Toyota Racing Series Race Director (in
the case of a breach occurring at a race event) or Shell New Zealand (in the case of a breach
occurring at the blending/storage facility) shall notify the Department of Labour and ERMA
New Zealand within 24 hours of the breach being detected. It is suggested that if a breach in
containment results in contamination of a waterway, the relevant iwi authorities be advised.
8.
At the end of the Toyota Racing Series the empty drums shall be recycled into general fuel
handling use.
9.
Surplus E85 remaining at the end of the race series shall be retained by Toyota New Zealand
for use only in Toyota Racing Series race car and Toyota Racing Series race engine testing
over the winter months. These controls will apply to the retained E85.
10. A record shall be kept of all use of the substance. This record shall cover the amount of E85
manufactured, stored at various storage areas, and used in vehicles for the duration of the
Toyota Racing Series events.
11. The Authority or its authorised agent or properly authorised enforcement officers, may
inspect the facilities at any reasonable time.
12. The maximum total quantity of E85 that shall be manufactured under this approval is 30000
L.
13. This approval remains in place for one year from the date of this decision.
ERMA New Zealand Decision: Application HSC08016
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14. The controls relating to adverse effects of unintended ignition of class 2 and class 3.1
hazardous substances, set out in Schedule 10 of the Hazardous Substances (Dangerous
Goods and Scheduled Toxic Substances) Transfer Notice (New Zealand Gazette Issue No.
35, 26 March 2004, Issue Number 35) as amended, shall apply to this substance,
notwithstanding clause 1 of the schedule.
15. The following regulations apply to E85 with the variations as shown in Table A1.1
-
Hazardous Substances (Classes 1 to 5 Control Regulations) Regulations 2001;
Hazardous Substances (Classes 6, 8, and 9 Controls) Regulations 2001;
Hazardous Substances (Identification) Regulations 2001;
Hazardous Substances (Packaging) Regulations 2001;
Hazardous Substances (Disposal) Regulations 2001;
Hazardous Substances (Emergency Management) Regulations 2001; and
Hazardous Substances and New Organisms (Personnel Qualifications) Regulations 2001.
Table A1.1 Controls on E85
Regulation
Topic
Variation
Hazardous Substances (Classes 1 to 5 Control Regulations) Regulations 2001
7
General test certification
requirements for all class 1 to 5
substances.
8
General public transportation
E85 is not permitted to be carried on passenger service
restrictions and requirements
vehicles.
for all class 1 to 5 substances.
55
General limits on flammable
Where E85 is present at a place for longer than 2
substances
hours, and in a quantity that exceeds 50 L it must be
held at a hazardous substance location or transit depot,
as appropriate.
56
Approved handler requirements The trigger quantity for E85 is 100 litres.
58-59
Requirements for hazardous
atmosphere zones for class
2.1.1, class 2.1.2 and class 3.1
substances.
The trigger quantity for E85 is:
 100 litres (closed container)
 25 litres (filling)
 5 litres (open occasionally)
 1 litre (if in open container for continuous
use)
60-70
Requirements to reduce the
likelihood of unintended
ignition of class 2.1.1, class
2.1.2 and class 3.1 substances.
76
Segregation of incompatible
substances.
Requirement to establish a
hazardous substance location if
flammable substances are
With respect to regulation 61, subclauses (3), (4), and
(5) do not apply to a vehicle at the dispensing unit of a
refuelling outlet if, when E85 is being delivered to the
fuel tank of the vehicle,—
(1) the engine of the vehicle is turned off; and
(2) no source of ignition is brought within 3 metres
of the fuel tank of the vehicle (this includes smoking
and the use of cell phones).
Classes incompatible with E85 are classes 1, 2, 3.2, 4,
5.
The person in charge of a place where E85 is located
must establish in that place 1 or more hazardous
substance locations where E85 is to be situated if E85
77-78
ERMA New Zealand Decision: Application HSC08016
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Regulation
Topic
present.
81
Test certification requirements
for facilities where class 2.1.1,
2.1.2 or 3.1 substances are
present
Variation
is present –
(a) in a quantity exceeding 50 L; and
(b) for a period exceeding 2 hours.
These requirements are triggered by a quantity of E85
exceeding 50 L.
This regulation does not apply to a person in charge of
a hazardous substance location where E85 is stored in
total quantities of less than 2,000 litres, and the
proposed or actual duration of the storage is for a
continuous period of less than 14 days, if the fuel –
(a) is stored in one or more secure containers, each
individual container with a capacity of less than
250 litres; and
(b) the container or containers comply with
regulation 11 and Schedule 2 of the Hazardous
Substances (Packaging) Regulations 2001; and
(c) is situated at a distance not less than 15 metres
from any area of high intensity land use or area of
regular habitation; and
(d) is situated either in the open or in a well ventilated
building; and
(e) is in a compound or located so that any spillage of
the fuel will not endanger any building, or flow
into any stream, lake or natural water.
Regulation 81 applies to E85 as if the following new
subclause was inserted:
83
Controls on transit depots
where flammable substances
are present
(h) the requirements of Schedule 10 (Controls relating
to the adverse effects of unintended ignition of class 2
and class 3.1 hazardous substances) of the Hazardous
Substances (Dangerous Goods and Scheduled Toxic
Substances) Transfer Notice 2004 are complied with.
Transit depots are places designed to hold E85 (in
containers that remain unopened) for a period of up to
three days, but for periods that are more than 2 hours.
The trigger quantity for E85 is 50 litres.
Hazardous Substances (Classes 6, 8 and 9 Controls) Regulations 2001
11-27
Limiting exposure to toxic
The following TELs are adopted for E85:
substances
Benzene
TELAir
= 10 µg/m3
TELWater
= 10 µg/L
Toluene
TELAir
TELWater
ERMA New Zealand Decision: Application HSC08016
= 400 µg/m3
= 800 µg/L
Page 10 of 13
Regulation
Topic
29, 30
Controlling exposure in places
of work
Variation
Xylene
TELAir
= 870 µg/m3
TELWater
= 600 µg/L
The following WESs are adopted for E85:
Benzene
5 ppm (16 mg/m3) (TWA)
Ethyl benzene 100 ppm (434 mg/m3) (TWA)
125 ppm (543 mg/m3) (STEL)
Toluene
50 ppm (188 mg/m3) (TWA)
Xylene (o-, m-, p-isomers)
50 ppm (217 mg/m3) (TWA)
7
Requirements for equipment
used to handle hazardous
substances
32-45
Limiting exposure to ecotoxic
substances
The following EELs are adopted for components of
E85:
Benzene -2000 µg/L (ANZECC 80% level of
protection (2002))
Toluene -330 µg/L (interim ANZECC 80% level of
protection (2002))
o-Xylene -640 µg/L (ANZECC 80% level of
protection (2002))
m/p-Xylene -340 µg/L (ANZECC 80% level of
protection (2002))
Hazardous Substances (Identification) Regulations 2001
6, 7, 32-35,
General identification
36 (1)-(7)
requirements.
9
11
14
18
20
22
25
27
29-31
Priority identifiers for ecotoxic
substances.
Priority identifiers for
flammable substances.
Priority identifiers for certain
toxic substances.
Secondary identifiers for all
hazardous substances.
Secondary identifiers for
ecotoxic substances.
Secondary identifiers for
flammable substances.
Secondary identifiers for toxic
substances.
Use of Concentration Ranges.
Alternative information in
certain cases
Regulation 30 – Substances in
multiple packaging
Regulation 31 – Alternative
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Regulation
Topic
Variation
information when substances
are imported.
37-39, 47-50 Documentation required in
These requirements are triggered by a quantity of E85
places of work.
exceeding 5 L.
41
Specific documentation
requirements for ecotoxic
substances.
43
Specific documentation
requirements for flammable
substances.
46
Specific documentation
requirements for toxic
substances.
51-52
Duties of persons in charge of
These requirements are triggered by a quantity of E85
places with respect to signage.
exceeding 250 L.
Hazardous Substances (Packaging) Regulations 2001
5, 6, 7 (1), 8 General packaging
requirements.
9, 11, 19, 21 Packaging requirements for
substances packed in limited
quantities.
Schedule 2
The tests in Schedule 2
correlate to the packaging
requirements of UN Packing
Group II (UN PGII).
Schedule 4
This schedule describes the
(minimum) packaging
requirements that must be
complied with for this
substance.
Hazardous Substances (Disposal) Regulations 2001
6, 8, 9
Disposal requirements.
Surplus E85 remaining at the end of the race series
shall be returned to and retained by Toyota New
Zealand for use only in Toyota Racing Series race car
and Toyota Racing Series race engine testing over the
winter months.
10
Disposal requirements for
packages.
11, 12
Disposal information
These requirements are triggered by a quantity of E85
requirements.
exceeding 1 L.
13, 14
Disposal documentation
These requirements are triggered by a quantity of E85
requirements.
exceeding 5 L.
Hazardous Substances (Emergency Management) Regulations 2001
6, 7, 9-11
Level 1 emergency
The trigger quantity for E85 is 1 litre.
management information:
General requirements.
8(c)
Additional information
The trigger quantity for E85 is 1 litre.
requirements for flammable
substances.
Emergency management information is strongly
recommended to be included on all the labelling of
hand-carried containers that may be used to transport
the substance.
8(e)
Information requirements for
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Regulation
8(f)
12-16, 18-20
17
21-24
25-34
32-41
Topic
toxic substances.
Information requirements for
ecotoxic substances.
Level 2 emergency
management information
requirements.
Specific documentation
requirements for flammable
and oxidising substances and
organic peroxides.
Fire extinguishers.
Level 3 emergency
management requirements –
emergency response plans.
Level 3 emergency
management requirements –
secondary containment.
42
Variation
These requirements are triggered by a quantity of E85
exceeding 5 L.
These regulations do not apply to a place where there
is stored E85 in total quantities of less than 2000 L
contained in secure containers, each individual
container with a capacity of less than 250 litres,
located so that any spillage will not endanger any
building, or flow into any stream, lake or natural water
and where the proposed or actual duration is for a
continuous period of less than 14 days.
These regulations do not apply to a place where there
is stored E85 in total quantities of less than 2000 L
contained in secure containers, each individual
container with a capacity of less than 250 litres,
located so that any spillage will not endanger any
building, or flow into any stream, lake or natural water
and where the proposed or actual duration is for a
continuous period of less than 14 days.
These requirements are triggered by a quantity of E85
exceeding 250 L.
Level 3 emergency
management requirements –
signage.
Hazardous Substances and New Organisms (Personnel Qualification) Regulations 2001
4-6
Approved Handler requirements.
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