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Safety and sustainability in the chemical supply chain Craig Thomson | Associate Director the-ncec.com/emergencyresponse

Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

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Page 1: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Safety and sustainability in the chemical supply chain

Craig Thomson | Associate Director

the-ncec.com/emergencyresponse

Page 2: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Four quadrants of emergency response

Compliance

How will Brexit affect your supply chain?

Risk Management

Sustainability

What next?

Tools to help

Agenda

Page 3: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

NCEC – the four quadrants of emergency responseFour quadrants of emergency response

Page 4: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

NCEC in numbers

• 45 years

• 8,000 calls

• 550 companies

• Multiple languages

• 24/7 operations

Page 5: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Perspectives on emergency response

Compliance

Risk Management

Sustainability

Page 6: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

What are the regulations?

Page 7: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

China

• Local telephone number

• Mandarin language response

• 24/7 availability

• Dedicated emergency response team

• Physically answered in China

• China’s National Registration Centre for

Chemicals (NRCC)

Page 8: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

European poison centres

Appointed

body

Poison

centre

Poison

centre

Poison

centre

Notifier

Page 9: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Poison centres and emergency numbers

• Medical advice only (often only to medical

professionals)

• In-country number only (no cross-border/global

support)

• No chemical spill advice

• No multilingual capability

• 24hr operations and resilience capability is varied

• Best practice:

• Two numbers on SDS section 1.4 / in-country numbers

• One emergency response number on transport docs, labels,

etc.

Page 10: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

How will Brexit affect your supply chain?

Page 11: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Perspectives on emergency response

Compliance

Risk Management

Sustainability

Page 12: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Risk

Page 13: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Risk – what do you see?

Chemical

exposure

Damage to

assets

Cost of

recovery

Damage to

shipment

Missed

delivery

Supply

chain

confidence

Impact on

reputation

Non-

compliance

Injury to

driver

Risk to

public

Pollution to

a stream

Pollution to

land

Page 14: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Risk – reputational risks

Source credit: https://www.latimes.com/cgnews-parts-of-maryland-city-under-shelter-after-hazmat-incident-20150530-story.html

Page 15: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Risk – “We are too good to be affected”

“The set procedures we have in place for

handling dangerous goods shipments, are

stringent enough to prevent significant

damage. In the unlikely event of a DG

shipment being damaged, all staff involved

with the handling have rigorous training and

sufficient equipment to deal with the incident.”

Page 16: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

16

ROI – cost of an incident

• Accidents at work cost UK $14 billion a year

• 2010/11 – 175 people killed at work

• 200,000 reportable injuries (each >3 days off

work)

• Major injuries: fractures, amputations,

chemical burns, loss of consciousness

Page 17: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

ROI – cost of doing nothing

4 x fire trucks for 6 hours = $7,608

12 hours public health agency time = $1,551

36 hours of plant shut down = $277,080

Clean up contractor = $18,472

Fine = $38,483

Legal costs = $10,776

TOTAL = $353,970

Page 18: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

ROI – cost of a farm incident

Somerset – 2 Feb 2012. Firefighters battled the blaze for seven

hours to prevent the fire from spreading to two other barns

containing 25 tonnes of chemical fertiliser and one tonne of

grain.

2 x fire appliances for 3 hours = $1,879

12 hours of environmental agency time = $1,533

Clean up contractor (6 hours) = $9,120

Fine = $38,000

Legal costs = $11,400

TOTAL = $61,932

Page 19: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

ROI – placing a value on mitigation

Health benefits $3,072,601

• Health service savings $10,024

• Reduction in lost work days or days lost through restricted activity $8,132

• Reduction of 1 fatality (road, site, home, etc.) $2,493,947

• Reduction in 2 serious medical issues $560,499

Time savings $1,112,395

• Reduction in time spent by emergency services $205,636

• Reduction in time roads closed or heavily congested $906,758

Environmental benefits $103,122

• Avoided Environment Agency involvement 10% of spills, traffic incidents and fires it would normally need

to attend

$2,764

• One case of serious aquatic damage avoided $100,358

Total $4,288,119

Page 20: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Perspectives on emergency response

Compliance

Risk Management

Sustainability

Page 21: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Best practice – why is it required?

• Providing a benchmark against

which to measure

• Raising standards across

industry

• Educating supply chain

Page 22: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Best practice – cefic role

Page 23: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

cefic Guidelines

• Level 1 (telephone-based) emergency

response should be available at any time when

an emergency occurs.

• The Level 1 system must have the ability to

receive calls in the local language, and English.

• The caller’s connection to an emergency

response expert should be performed as

quickly as reasonably possible.

Page 24: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

cefic Guidelines

• The Level 1 responder must have access to

appropriate information and networks in order to

seek additional support.

• Operatives should have a qualification that is

sufficient to give them expert knowledge and

understanding of chemicals.

• Experienced in handling emergencies and can

provide full advice to a variety of incidents, which

should be proportional.

Page 25: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

cefic Guidelines

• The Level 1 responder should have sufficient

training and experience to equip them with the

practical elements of responding to an incident.

• Level 1 responders should have awareness of

the different regulatory regimes affecting the

transport and supply of chemicals.

Page 26: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

What next?

✓ Check your compliance (including poison

centres)

✓ Revisit your supply chain risks

✓ Health check your risk management

performance

✓ Check your emergency response systems

measures up

Page 27: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Global 24/7 telephone

emergency response

helpline

Business case for

emergency

response

Global regulatory

requirements

Tools to help

Visit: the-ncec.com/resources

Guidelines for level 1

chemical emergency

response

Page 28: Safety and sustainability in the chemical supply chain€¦ · ROI –cost of a farm incident Somerset –2 Feb 2012.Firefighters battled the blaze for seven hours to prevent the

Contact me

E: [email protected]

T: +44 (0)1235 753 068

W: www.the-ncec.comCraig Thomson

Associate Director