|Environmental Policy of DTEK|
Our DTEK – Our Environmental Responsibility
The preservation of environmental balance is a key factor in the sustainable development of DTEK’s business.
The Company carries out projects on an ongoing basis to improve environmental conditions in the regions where it operates and to protect the environment for future generations. We take every effort to minimize the impact of DTEK’s industrial operations on the environment at all stages of the production process: from coal mining and preparation to power generation and supply. These steps are in full accordance with Ukraine’s initiative to adhere to European standards for environmental protection.
DTEK’s environmental activities are based on the updated Environmental Policy of DTEK (version 2.0) approved by the Chief Executive Officer Maxim Timchenko on 21.12.2012.
The Policy declares:
- the mission of the environmental management system;
- the objectives of the Environmental Policy;
- the principles of the Environmental Policy;
- the organisation of the environmental management processes.
The document sets forth the long-term environmental objectives of the Company:
- to prevent and mitigate any negative impact on the environment;
- to provide a common approach to the environmental protection management at all DTEK’s enterprises based on an up-to-date environmental management system;
- to set up an efficient system to monitor the environmental impact and manage the environmental risks and challenges;
- to ensure the compliance of the equipment and operational processes with the environmental legislation.
DTEK’s environmental objectives have been determined within the framework of the Company’s long-term strategy.
DTEK’s environmental strategy sets out the following priorities:
- implementation and further improvement of the Environmental Management System (EMS) in line with the requirements of ISO 14001:2004 at all of DTEK’s production enterprises
- implementation of environmental programs in the generation sector to comply with the legislative regulations and the requirements of Directive 2001/80/EC
- implementation of environmental programs in the coal production and preparation sector to comply with legislative regulations
- development of JI projects under the Kyoto protocol
- Environmental Management
DTEK pays particular attention to environmental management issues. The Company has a uniform Environmental Management System in place that conforms in full with the requirements of ISO 14001:2004.
The ISO 14001:2004 environmental standard was introduced in 2008-2010. As a result, uniform corporate environmental requirements were developed for the Company, environmental aspects and risks were identified and an efficient Environmental Management System was created. These efforts set up a sound basis for further environmental activities and allowed DTEK to use innovative environmental management methods and improve the environmental performance of DTEK’s enterprises.
The Company’s enterprises were the first in Ukraine’s coal and energy sectors to have their Environmental Management Systems complete certification audits for compliance with the requirements of ISO 14001:2004. So far, fifteen of DTEK’s enterprises have obtained compliance certificates.DTEK’s investments in the project amounted to UAH 4.6 million in 2010 and UAH 2.9 million in 2011.
Kyivenergo has been actively developing and implementing a corporate Environmental Management System since March 2011. A certification audit is planned for 2012.
The Environmental Management System is a part of the corporate governance system and an important element of non-financial risk management. Securing a unified system-based approach to the environmental management at all enterprises has had a positive impact on DTEK’s competitiveness and investment appeal.
Advantages of ISO 14001:2004 implementation:
- creates a basis for systematic environmental activities
- improves environmental performance of enterprises
- draws top managers’ attention to environmental issues
- raises awareness and promotes responsible attitudes toward environment protection and meets the environmental safety requirements for staff
- ensures the effective management of enterprises’ environmental activities according to current legislation
- improves enterprises’ competitiveness and investment appeal
- DTEK’s Investments in Environmental Activities
DTEK invests in upgrading equipment and modernizing technical processes to reduce the negative environmental impact of production activities.
DTEK’s total environmental costs amounted to UAH 1.0 billion in 2007-2011.
DTEK’s environmental costs in 2007-2011, UAH million:
- Wind Energy
DTEK pays special attention to the role of wind energy in its energy business. In the medium-term, DTEK plans to increase electricity output by constructing and commissioning eco-friendly wind power plants. This is one of the most innovated areas of the business areas, which helps to diversify the Company’s activities and raise its market share by introducing new energy sources.
DTEK subsidiary Wind Power coordinates the development of the group’s wind power assets. DTEK’s wind power portfolio is capable of producing approximately 1,200 MW, which is unprecedented both for the Company and Ukraine’s electricity sector in general. DTEK plans to construct and operate wind farms on the coast of the Azov Sea and in Donetsk and Zaporizhya regions.
DTEK started the construction of a 200 MW Botievo wind farm in Zaporizhya region. By 2018, the Company intends to complete the construction of DTEK Priazovskiy wind fark (Botievo, Primorsk and Berdyansk wind farms) with an installed capacity of 700 MW.
- Air Protection
Ukraine’s full-fledged membership in the EU Energy Community requires compliance with Directive 2001/80/ЕС on the limitation of emissions of certain pollutants into the air from the large combustion plants of electricity generation enterprises. DTEK, as the leader in Ukraine’s electricity sector, regards this issue as one of its environmental priorities.
The Company initiated a series of measures to help draft the State Program on the Reduction of Pollutant Emissions from TPPs and CHPPs of Ukraine and to raise financing for its implementation.
A number of joint meetings with representatives from the Ministry of Energy and Coal Industry of Ukraine, NC ECU, DTEK, research institutes and public environmental organizations have been held to discuss compliance with Directive 2001/80/ЕС by the electricity sector enterprises.
Since 2007, the Company has been engaged in retrofitting and upgrading the electric precipitators at the TPPs of DTEK Skhidenergo, DTEK Dniproenergo and DTEK Zakhidenergo to improve their performance.
To reduce sulphur dioxide and nitrogen oxide emissions, Vattenfall (Germany) and NOVERTEC (France) prepared process regulations for the construction of deSOx and deNOx facilities at Zuevskaya and Kurakhovskaya TPPs (DTEK Skhidenergo LLC) in 2011.
The increase in gross emissions is due to higher output by the Company’s generation enterprises
DTEK has studied innovative technologies to reduce anthropogenic emissions of greenhouse gases during the coal combustion process in electricity generation. In May 2011, the Round Table on Carbon Capture and Storage Perspectives in Ukraine took place at DTEK Academy. The event was organized by the International Energy Agency (IEA) and DTEK and supported by the Ministry of Energy and Coal Industry of Ukraine.
DTEK’s enterprises have been successfully implementing JI projects, allowing the Company to reduce its greenhouse gas emissions into the atmosphere.
As a result, verified emission reductions by DTEK Skhidenergo amounted to 3,247 thousand ts of СО2 equivalent in 2006-2011.
In 2011, the Company expects to verify an emission reduction of 270 thousand tons of CO2 equivalent at DTEK Dniproenergo for 2009-2011.
DTEK Mine Komsomolets Donbasa has been implementing a project to modernize its gas drainage system and mine methane utilisation since 2008. Methane utilisation includes running its boiler house on gas instead of coal and the combustion of excesses in flare facilities. These measures allowed for a reduction in greenhouse gas emissions to the atmosphere by 279 thousand ton of CO2 equivalent from 2008 to 2011.
The Stepnaya mine of DTEK Pavlogradugol utilizes mine methane by combusting it in a boiler plant. In 2011, boilers running on solid fuel were fitted with cyclone filters, a second stage treatment.
- Protection and Rational Use of Water Resources
DTEK’s enterprises operate in the regions where water supplies are a major issue. The Company pays particular attention to the protection and rational use of water resources.
The main objective is to reduce the amount of water used for production and household needs. Within the period from 2007 through 2010, the amount of water that the Company used for household purposes decreased by 5,515,900 m3 as a result of overhauls and organizational measures undertaken.
Household water consumption in 2007-2011, ths m3:
- Waste Treatment
DTEK’s production enterprises generate a large amount of bulk waste, mainly rock, ash and slag, in the course of their activities.
DTEK has developed a program dispose of the bulk waste from coal production. This program included conducting a detailed analysis of the current condition of waste dumps, evaluating the risks of waste disposal at the waste dumps until 2030 and making a survey of alternative waste uses. The Company also prepared guidelines for a future coal waste disposal strategy.
The wider use of ash and slag is a key objective for DTEK’s power generation enterprises. To evaluate the prospects of wider ash and slag use by Ukrainian generation companies, DTEK held the Round Table on the Utilization of Coal Combustion Products in 2011. Representatives from the Ministry of Energy and Coal Industry, research and design institutes, cement companies, construction companies, road-building organizations, Ukraine’s major power companies and foreign companies took part in the event. DTEK has held negotiations with and mapped out a plan of cooperation with the Donetsk Regional Administration, Donesk Regional State Environmental Protection Administration and potential consumers of ash and slag to implement joint initiatives for the wider use of ash and slag materials. In addition, a plan for international partnership was outlined jointly with the Polish Coal Combustion Product Union and the Polish-Ukrainian Chamber of Commerce.
- Handling Hazardous Substances and Materials
DTEK is taking efforts to minimize its use of hazardous substances and materials. The Company carried out an inventory of hazardous materials at all of its enterprises and implemented a Regulation on Handling Hazardous Substances and Materials.
In particular, DTEK Energougol ENE organized the utilization of 1.6 tons of worn-out static condensers containing polychlorinated biphenyls.
CHPP-5 of Kyivenergo is currently reconstructing its chemical water treatment system. The installation of a reverse osmosis unit in early 2011 (the first stage of the reconstruction) to produce desalinated water for the boiler units resulted in three times lower consumption of sulphuric acid (down from 178.53 tons in 2010 to 56.46 tons in 2011), five times lower consumption of caustic soda (down from 104.32 tons to 21.29 tons). The second stage of the project was implemented in 2011 and saw the installation of membrane technologies (ultrafiltration and filter press) designed to reduce the production of lime sludge. The total cost of the project amounted to UAH 16.8 million.
- Land Reclamation
DTEK has large coal reserves in the floodplain of the Samara River and its tributaries. Coal production in such conditions involves settling of the land surface, flooding and water-logging. Therefore, the Company pays particular attention to rational land use and the protection of land resources.
Key measures undertaken by DTEK to mitigate the negative consequences of mining processes on the Samara River floodplain include:
In addition to land reclamation, DTEK enterprises replant forests as well. In particular, DTEK Pavlogradugol forested 23 hectares of land in 2011.
- filling in subsided land with rock and covering it with the fertile soil. By using this method, most mines of Pavlogradugol and Pavlogradskaya Coal Enrichment Plant managed to avoid creating waste dumps
- using drainage systems to protect forests and agricultural lands from flooding
- Green Office
DTEK’s corporate center launched a 15-month Green Office Project in October 2011. The project’s implementation will contribute to a reduction of the Company’s environmental impact and promote socially responsible behavior among office employees.
The project priorities are: selective collection and recycling of office waste; measures to promote the rational use of resources (heating, power and water consumption, office paper consumption); the use of eco-friendly products (maximum use of recyclable materials), etc.