ab - Klaipėdos Kartonas

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AB “KLAIPEDOS KARTONAS”

1898-2009

ENVIRONMENTAL REPORT

2009

AB “KLAIPEDOS KARTONAS”

The company “Klaipedos kartonas”, functioning for more than a hundred years, is currently the largest cardboard producer and waste paper processor, as well as the only producer of raw goffered cardboard in the Baltic states.

The Company expands its activities every year and occupies leading positions in the Baltic

Region. In the year 2009 the turnover of Public

Limited “Klaipėdos kartonas” reached 63 million litas.

The sales outside Lithuania account for more than 60 % of the whole turnover.

Manufactured products are exported to many countries – Ukraine, Poland, Latvia, Estonia and other.

Structure of sales 2009

Estonia

Latvia

4%

7%

Sri Lanka

5%

Poland

17%

Other

4%

Romania

2%

Ukraine

24%

Lithuania

34%

Russia

3%

The company is situated in the Klaipeda port. Profile of the company is closely linked to environmental protection. All production of the company is produced from secondary material – waste paper. Every ton of waste paper saves 15 trees, 30 m 3 of water, and 500 kg of oil.

Nemuno g.2, LT-5800 Klaipėda

Tel. (8-46) 39 56 01, faks. (8-46) 39 56 00

El.paštas: info@kartonas.lt

http: www.kartonas.lt

AB „Klaipedos kartonas“ Evironmental report 2009

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PRODUCTION

The main product of "Klaipedos kartonas'' is testliner and fluting - a raw material for production of corrugated cardboard. mechanic, automatics and wastewater treatment, logistics departments, laboratory.

Sins July of 2007, a new honeycomb line is operating succesfully and producing honeycomb filling. Cardboard honeycomb filling is widely used:

 In the furniture industry;

 In the construction industry (for inside doors, plasterboard constructions, wall panels, exhibition stands);

 For packaging;

 In production of pallets

The main part of our production is manufactured by the "Inverform" type machine of the English company "Beloit Walmsley". This allows 100 000 thousand tones of testliner and fluting to be produced in the company in one year.

Production (honeycom b), t.m 2

6473 6592

7000

6000

5000

4000

3000

Production (testliner and fluting), t

2000

1042

120000 98885

1000

100000

69801

8860893541 87133

0

80000

70181

2007 2008 2009

60000

57524

46472

40000

20000

0

2001 2002 2003 2004 2005 2006 2007 2008 2009

The company consists of the following main production units:

 Waste paper processing workshop

 Cardboard workshop

 Cardboard production workshop

JSC “Klaipedos kartonas” also has energy,

MANAGEMENT SYSTEMS,

AB „Klaipedos kartonas“ Evironmental report 2009

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CERTIFICATES

In 2001, the company implemented quality management system in accordance to the standard ISO 9001.

The company has implemented and certified the environment protection management system in accordance to the standard ISO 9001in

September 2004. The certification was carried out by audit company KEMA from the Netherlands.

Since 2003 the independent international laboratory

Isega

awarded the company with the certificate, which ensures and certifies safe and nonhazardous use of the products for packaging of foodstuffs.

In December of 2007, the environmental management system was successfully recertified for three years. set objectives for continuous reduction of this impact.

 Commits to involve every employee and those working on behalf of the company in the environmental management activities; to inform about such activities all interested parties; to integrate environmental protection issues in training programmes for employees.

TOP MANAGEMENT OF THE COMPANY TAKES RESPONSIBILITY

FOR IMPLEMEMTATION OF THIS POLICY

ENVIRONMENTAL IMPACT,

ENVIRONMENTAL MANAGEMENT SYSTEM

Although only raw materials are used in the process of production, some cardboard production operations have a negative impact on the environment. Environmental aspects and their impact on the environment are identified in each workshop and division. Obtained information is collected, analyzed, assessed and then significant

In May of 2009 honeycomb production is environmental aspects are identified.

In order to reduce the negative impact on the environment, each year the company management establishes specific objectives for improvement of the Company’s environmental protection and appoints curators in charge of implementation of such objectives. Curators in charge of implementation of objectives prepare certified for FSC (Forest Stewardship Council)

Chain-of-Custody. Certificate based on FSC-STD-

40-004, certificate Registration Code – SW-COC-

004078.

ENVIRONMENTAL POLICY

AB “Klaipedos kartonas” produces row material for corrugated cardboard, cardboard products and provides the supply services is situated on the shore of Curonian lagoon close to the city centre. Therefore, company is determined plans for implementation of environmental protection objectives, where measures, actions, terms and responsibility for implementation thereof are provided for. Curators prepare half-year reports on the implementation of objectives and report to the general director during management review.

ENVIRONMENTAL PERMIT

According to the activity carried out, the

Company must have an integrated pollution to operate in a environmentally friendly way.

Top management of the company commits to comply with environmental legal and other requirements and:

 Aims for continuous improvement of environmental performance by reducing any negative impact to the environment from the company’s activities by application of integrated quality and environmental management procedures.

 Commits rationally use water and energy resources by application of modern production technologies and ensuring high quality of production.

 Commits to apply pollution prevention principles in all activities.

 Commits to monitor environmental impact and to prevention and control permit (IPPC).

IPPC permit was issued on 21 December

2005. The permit of 19 November 2007 has been renewed, with an effective date from 1 January

2008. The permit has been corrected on 19

November 2009.

IPPC permit has been approved by the

Environment Quality Division of Klaipėda City

Municipality Administration.

Following the IPPC permit, the Company executes the control of wastewater and surface water, the control of stationary sources of air pollution, and performs the monitoring of ground water.

AB „Klaipedos kartonas“ Evironmental report 2009

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ENVIRONMENTAL ASPECTS

Water consumption

The company consumes large quantities of water in the production process.

Tfe fresh water is taken from Curonian

Lagoon and used in the paper machine for low and high pressure sprays in pressfelts, for web trim cut jets, for bottom and top wires cleaning sprays, for condensate cooling.

The company is continuously looking for ways to use natural resources in a more rational manner.

In May 2002 a new floater for cleaning white water from BM was installed. After treatment he clarrified white water was reused for more technological purposes and we can to save fresh water from Curonian Lagoon well.

In 2003 on the board mashine was installed the new high pressure oscillating sprays system for forming wires and pressfelts.

After the modernization of waste paper pulp fine screening department in 2004 the closed circulating water system has been renovated as well. Circling water cleaned in floater is used in sprayers system with maximum efficiency.

Water consumption m3/t production increased by reduced amounts of production in

2009.

Water consumption, t.m

3

3000

2733

Water consumption per ton production, m

3

2500 1863 80

2000

59

1031

808 759

724

60

1500

1000

769

637 608

40

32

500 20

15

10 9 7,8 7,3 8,7

8,0

0

0

2001 2002 2003 2004 2005 2006 2007 2008 2009

2001 2002 2003 2004 2005 2006 2007 2008 2009

Consumption of electric energy and steam

The main user of energy is board machine with large flow of pulp and water, specifical dewatering elements for formed paper web and drying cylinders to dry the paper. Here are a lot of big vacuum pumps, stock and water pumps which use electric energy and a lot of drying cylinders

After modernization and transfer of waste paper pulp fine screening department to cardboard production engine-room in 2004 the energy consumption for 1 ton of production has been which use steam.

The big consumption of electric energy is used to prepare recycled pulp in the pulp preparation plant.

In 2002 was started a new full automatizated boiler house with two boilers firm Viessmann. Boiler house is maintained by Company “Ukmergės energija”.

They are more ecological, more saving and decreased.

In 2005, the renovation of the transformer plant in the process water pump house; of the cardboard department stock preparation department was completed, including replacement of the old lamps with new and more efficient ones.

To improve energy resources monitoring, potable water accounting system was installed in the stock preparation department in 2005. more efficiently as old boilers. As fuel is used gas.

For saving electric energy and steam in the company were mounted regulators of power, special sinchronical motors for compensation reactive power and frequency converters or stock pumps. Some old vacuum pumps were changed into the new more effective pumps and the steam, condensate, pulp lines were insulated.

In order to reduce consumption of electrical power in 2006, 5 electric motors were replaced by the more efficient ones.

In 2005-2006 repair of insulation of all the pipelines (steam, condensate, water supply) in the trestlework was carried out, new insulation was installed on the containers of accumulative wastepaper mass.

In 2005 to 2006, KGM heat ventilation recuperation systems were renovated in the

AB „Klaipedos kartonas“ Evironmental report 2009

5

company. Through a more efficient utilisation of the humid-hot air heat released from the drying oven, the process of drying of paper belt has been enhanced in the drying room, steam consumption reduced by heating the air supplied to the room.

By virtue of these renovations an economy of heat and electric power has been reached and consumption of gas has been reduced. It was calculated that CO

2 release into the atmosphere would decrease by 43 tons.

Reconstructed steam heads and siphons

Picture of a boiler

Consumption rates of water, electricity and steam for production of 1 ton of product conform to

In 2007, 23 steam heads and siphons of the upper cylinders of the drying groups of cardboard workshops No. 1 and No. 2 have been reconstructed into stationary ones.

Wastewater the parameters of the best available techniques

(BAT) in the paper industry.

Wastewater of the company is treated in the biological wastewater treatment facility. Sludge generated in this process is stored in 24 fields.

3 types of wastewater are generated in the company: household, surface (storm water) and productions. All wastewater is treated in the waste water treatment facility constructed 14 km away from Klaipeda.

In 2002-2003, mechanical treatment equipment has been reconstructed and biological treatment introduced. This enabled to treat wastewater in accordance to environmental requirements and to reduce significantly pollution to the Curonian lagoon. accomplished for 480 000 LTL in 2007.

In order to improve the operation of the aerotank, worn diffusers are constantly replaced in NVC; part of the diffusers is fixed.

The effectiveness of cleaning sinking materials in waste water was 96% in 2005 - 2009, BDS7 –

99 %.

The Company’s wastewater treatment indicators conform to the parameters of the best available techniques (BAT) in the paper industry.

SM pollution pe r ton production

0,25

0,20

0,15

0,10

The biological cleaning equipment has been rebuilt in

2004 and primary decanter has been connected to reach the stability of waste water cleaning process.In 2005, the effluent collection chamber in Dumpiai was renovated.

In order to ensure a stable and reliable operation of wastewater lines, preventive repair works of the pressure wastewater line were

0,05

0,00

0,03

2004

0,02

2005

SM fact.

0,03

2006

0,02

2007

BAT min

0,02

2008

0,02

2009

BAT max

AB „Klaipedos kartonas“ Evironmental report 2009

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BDS7 pollution pe r ton production

0,20

0,15

0,10

0,05

0,00

0,10

0,09

0,08 0,08

0,06

0,07

2004 2005

BDS7 fact.

2006 2007

BAT min

2008 2009

BAT max

Use of chemical agents

Variety of chemical agents, substances and preparations are used in the paperboard manufacturing process including starch, glue, dyestuffs - which give required mechanical properties to the cardboard.

Other chemical substances – coagulants, flocculants, fertilizers, antiseptic substances – are used for wastewater treatment, for flushing of piping and equipment, and for reduction of odours.

All the chemical substances are used according to the approved and authorised technological regulations, process procedures and operating instructions in compliance with the requirements referred to in Safety Data sheets.

Consumtion of chemical substance

14,4%

0,8%

3,1%

2009

2,5%

0,2%

2,4% 76,6%

A new automatic flocculant dosage equipment of the firm Kemira was launched into operation in

November 2006

Emissions into air

In 2005-2006, at the initiative of the company,

Klaipėda Public Health Centre (KVSC) made identification and monitoring of air pollutants in the ambient air and working environment.

At the end of 2006, stocktaking of the company’s air pollutant emissions was performed.

It was determined that such pollutants include ethanol, hydrogen sulphide, acrolein, acetic acid, ammoniac, formaldehyde, solid particles and other compounds into ambient air are emitted.

The company has actively worked in the area of solution of the issues related to odour formation and reduction. Various chemical methods were applied, cooperation with related foreign companies developed. The Buckman company equipment for dosage of chemicals designed for odour reduction was installed and launched in June 2006. Thus, the odour problems are being successfully solved in the company.

Starch

Coagulants

Dyestuffs

Other chemical substances

Glue

Flocculants

Antiseptic substances

Consum tion of chem ical substance per ton production

70,0

65,0

60,0

55,0

50,0

45,0

62,6

64,1

60,4

50,0

2006 2007 2008 2009

The company successfully applies organizational and technical measures that enable reduction of chemical impact on humans and environment.

The Buckman company equipment for dosage of chemicals

In 2008 stocktaking of the company’s air pollutant emissions was performed newly.

AB „Klaipedos kartonas“ Evironmental report 2009

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The Company's laboratory performs the monitoring of air pollutants emitted to the environment according to the approved program.

In 2007, a new device was purchased – a gas analyzer for measurement of air pollution.

WASTE

Waste handling is of a great importance for the company. All waste is sorted with the aim to recycle it.

Waste categories

Waste drying equipment

Vanex

in waste paper fine screening department

In November 2005 the dewatering line

(screw press, transporters and magnetic separator) was installed and launched for rejects after waste paper repulping and coarse screening. Dryness of the waste disposed increased from 23 % to 50 %.

Costs for the disposed waste decreased.

The waste dewatering process is further being optimized in order to achieve higher dryness of waste.

8000

6000

4000

2000

0

787

4789

18

2786

716

3961

617

731

504

395

5240

6183 6589 5618

50

16

929 1667

26

323

30

370

29

237

437

4105

5

199

2003 2004 2005 2006 2007 2008 2009

Sludge

Waste to landfills

Hazardous w aste

Waste to recovery

The company has agreements with specialized companies which have license to handle hazardous waste.

Paper and cardboard sorting waste are disposed in the dump. It makes about 95 % of all the waste disposed in the dump.

In order to decrease transported amount of paper and cardboard sorting waste and to increase the recycling, Vanex waste drying equipment has been installed in waste-paper fine screening department in 2004.

Dewatering equipment in waste paper repulping and coarse screening department

The company is actively developing sorting methods of waste paper and cardboard, and ways of usage of sewage sludge; further researches are carried out to find the most suitable methods of wastepaper recycling process waste handling.

It was suggested to use waste paper and cardboard sorting waste in production of concrete blocks and thermo insulation boards; sewage sludge could be used in production of ceramic blocks and bricks. The decisions were not accepted due to lack of economic ground.

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In 2005 a laboratory-based experiment of compost produced from silt and wastepaper grading waste was conducted in cooperation with the Lithuanian Institute of Agriculture.

In 2006 production tests were conducted at the company “Medienos plaušas”, by using fine size sorting waste for production of boards.

“Medienos plaušas” refused to use the waste because of presence of polystyrene admixtures.

recycled pulp rejects. The contract for pressing the bales was signed with UAB „Švaros diena“.

The sewage sludge is stored in the yard.

However, such handling of sewage sludge does not meet the requirements of the company.

Based on Swedish experience, in June

2005 in Dumpiai cultivation of fast growing willows for power facilities was begun. The willow plantation site is fertilized with silt thereby

Composting of sludge and rejects after waste-paper fine screening under outdoor conditions in Dumpiai was commenced in the summer of 2006 and accomplished at the end of

2007. The Lithuanian Institute of Agriculture assessed samples of the compost good. Since

2009 sludge and rejects after fine screening are compposting in the handling yard in Dumpiai.

The waste generated by the company were offered for use in production of UAB solving its removal problem. Willows as wood fuel

(biofuel) is suitable for use in heat supply boiler houses.

Two experimental lots (0,75 and 0,8 ha) were planted and are cultivated in 2005-2006.

At the end of 2006, a long-term contract was concluded for planting of 10 ha area with willows, for fertilization using the wastewater treatment sludge. In 2007, the sludge was taken away, spread across the soil and ploughed in . On springtime 2008 th 5 ha area was planted with willows.

“Tauragės keramika” brick composition, by replacing currently used sawdust with fine screening waste products.

Samples of waste have been presented to road constructors – “Lemninkainen”, “Šiaulių keliai”, and to the producer of insulation materials “Ekorem”.

In 2007, a study on the rough cutting of rejects after waste paper coarse screening was conducted, planning to incinerate it when a regional thermofication boiler-house is built.

During the opening new Klaipeda dump in

2007 was demonstrated the process for covering the surface of dump by film of fine screening waste and special polimers. At 2008 the study for using this film in the dump with UAB “Švaros investicijos” was finished but decision was not taking.

In 2008 th was signed on the intention protocol and in 2009 - preliminary contract with

UAB “Fortum Klaipeda” for supplying the production waste of our mill (course screening) in the new cogeneration power station in 2013.

For this purpose were prepared all environmental procedural for pressing and handling the bales of

Willows after 4 months

COMPLAINTS, INCIDENTS

In 2006 (April) two complaints of odour nuisance from resident citizens were received. An order from Klaipėda Regional Environment

Protection Department (KRAAD) was given to perform premature stocktaking of air pollution sources.

In 2006 occurred one incident causing an adverse impact on the environment, namely, in

October, during preventive inspection, wastewater started to ooze through depressurizing valve seal in the pressurized wastewater line (outside the company’s limits); repairing works were executed successfully and minimal quantity of wastewater flowed to the grassland.

Wastewater didn’t fall into watercourse.

The company was ordered to pay money penalty for the damage caused to the environment.

AB „Klaipedos kartonas“ Evironmental report 2009

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In October of 2007, at the time of major repairs, when the wastewater line was being fixed, an unpleasant odour was felt for some time, in respect of which the residents expressed their discontent. According to the data of the Klaipėda

Public Health Centre, the air pollution norms were not exceeded.

In order to prevent similar situations in the future,

the Plan of Measures for Prevention of

Unpleasant Odours

has been prepared and is implemented.

In 2008 and in 2009 complaints from citizens were not received.

OTHER ENVIRONMENTAL MEASURES

Seeking to improve the company’s image in

2005, the head office of the company was renovated by fully renewing the facade facing

Minijos Street.

Management System

for the integration of the

Company’s objectives and courses of action in the environmental protection policy.

Report on stocktaking of ambient air pollution sources and pollutant emissions, Potential breakdown hazards and risk analysis, and

Emergency response plan for elimination of possible accidents were prepared in 2006.

The company is continuously conducting underground water monitoring in the Effluent

Treatment Plant in Dumpiai. Based on the monitoring results, the economic processes have no impact on the underground hydrosphere.

In June 2006 Helsinki Commission (HELCOM) deleted AB “Klaipėdos kartonas” of Hot Spots from the list of the Baltic Sea’s. Reason to delete - wastewater treatment efficiency has been improved and it resulted in compliance with environmental standarts; modernization of waste water treatment process for the local area and biological waste water treatment process is completed; automated steam boiler-house was built; environmental management system (ISO 14001) and quality management system (ISO 9001) have been introduced.

In 2007, the Company participated in the competition

Achievements in the Environmental

the

Company’s objectives and courses of action in the environmental protection policy.

The

Environmental

Protection

organized by the Ministry of Environment of the

Republic of Lithuania. The Company became the winner in the nomination

Best

AB „Klaipedos kartonas“ Evironmental report 2009

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In September the Company supported the international school ecological festival Baltic Week

2007.

In the months of November and December in

2007, in Klaipėda city schools, the Company organized a waste-paper collection campaign

Let’s

Spare Nature,

the purpose of which was to enhance the environmental consciousness of the youth. 42 tons of waste-paper was collected during the campaign.

The same cammpaign was done in

October 2009 – was collected 30 t of waste-paper.

In March 2008 our company was Zone of

Responsible Action named and delivered special sticker. This fact was published in the newspaper

“Verslo žinios”. The Zone of Responsible Action means all personal of company in the all territory are responsibly behaviouring for sorting and using

the waste of production. We are invited and all quests our mill to join with this action.

There were the Open Day of company in 13-14 th of May. A lot of citizen, the members from different agency of municipality, environmental department and from neighbor companies was participated two days in the mill. The particular information about technological processes, answers of environmental questions and interesting excursions were represented in this Day.

ENVIRONMENTAL PROGRAMME 2010

The company’s priority objectives in 2010 - reduction and saving of energy resources.

The company will hope maximum to use the rejects of recycled pulp instead handling it in the landfields.

Engineer-ecologist

Rita Liakstutytė

2010 02

AB „Klaipedos kartonas“ Evironmental report 2009

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