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Environment and System of Waste Treatment

Usage of Raw Material or Auxiliary Materials for Production

The raw material or auxiliary materials utilized by the Company are:

  • Raw Material: Seamless Green Pipe, Steel Coil, Plastic Resin
  • Auxiliary material: Thinner, Paint, Insert, Coolant, Delta Forge, Dope

Though the main raw material is classified as eco-product, the Company has made policies of only accepting auxiliary or supporting materials not in the category Carcinogenic, Mutagenic, Reprotoxic (CMR) and replace the supporting material with more environment friendly and safe to people and community.

Utilize Environment Friendly of Energy and Efficiently

To realize the commitment in the usage of environmentally friendly energy, the Company has replaced the usage of fuel oil with natural gas as the main source of energy for all lines of productions and Power House. Since 2005 and up till now the Company is in the process of replacing environmentally friendly refrigerant for its Air Conditioners.

The Company has made policies on energy and committed to ensure that every activity always consider the safety of environment and energy in an effective and healthy way by minimizing the usage at source (energy and water) and by reducing the emission of green house gas.

The Company has decided to reduce the intensity in the usage of energy to 20% in the year 2020.

To achieve the target all parties must always remember and consider the aspects of energy usage on each and every activity to be taken.

The Company’s production is based on orders, so that the products produced vary from year to year. This is very closely related to the consumption of energy at times it can be very efficient while others not efficient. Other factor is the design of machineries of production where it can be very efficient if it compatible to the design and inefficient if it is incompatible.

At present the Company is still using the un-renewable source of energy of natural gas tu fulfill the needs of production process due to economic and practical reasons. However, the Company is in the process of using renewable energy, solar cell, for lighting in the pipes storage.

To reduce the usage of natural gas for Generator for electricity the Company has implemented the following policies:

  • Use capacitor bank
  • Install inverter to the motor drivers of production
  • Socialize and implementation to the employees for:
    • Increase the AC temperature to 25 Deg C
    • Reduce number of AC in the Over Capacity Rooms
  • Usage of natural light
  • Replace bulbs with energy saving from Tube Luminescent to LED bulbs in steps
  • Replace spot lights in the final inspection coupling and pipes with LED bulbs which only need quarter of energy compared to existing light
  • Use the solar cell light in the areas where electricity is hard to install
  • Replace ordinary AC with inverter AC
  • Manage the quality of electricity
  • Accelerate the time of start-stop with Single Minute Exchange Die (SMED)

As to reduce the usage of natural gas in the furnacem the Company has done the following actions:

  • Increase the efficiency of production by using refractory ceramic in the hardening and tempering of heat treatment facility
  • Close the door of the furnace and install software to simulate orders

To save the consumption of fuel oil, some initiatives done include the followings:

  • Optimise operational of loaders and forklift
  • Test of pick each heavy equipment
  • Manage the distribution of filling of fuel oil to the heavy equipment

To ensure that the efficiency system is carried out properly and as expected, therefore energy audit is done by third party energy auditor who have more competent and experience in the audit energy and the last energy audit was done is 2012 and will re-audit in 2015.

Water Conservation

The Company’s strategic plans to achieve the target related to the conservation of water up till 2020.

In carrying out the operation, the majority of water is used for the production among others:

  • Spraying of the pipes from the furnace in quenching and descalling process;
  • The process of NDT and Hydrotest;
  • Process of surface treatment of pipes and couplings;
  • Cleaning of pipes.

In maintaining the water supply level and reserving the environment, especially of source of water, the Company carried out water conservation program through a few activities such as:

  • Utilizing rain water for quenching and descalling of pipe from the furnace;
  • Use closed loop system for quenching in Heat Treatment process;
  • Recycling water in the NDT process and hydrotest.

The Company also manages waste water treatment from the process of surface treatment (phosphate and electroplating) with the facility of IPAL (Installation of Waste Water Treatment). The IPAL water process capacity is 9 m3 per day. The main objective of this water treatment is to reduce the waste the existence of waste in the water but also to reduce the usage of volume of water from the industrial estate to water the plants and reuse and recycle waste water to become reusable water for other purposes.

Through the steps above, the Company participated to maintain and preserve water source to be used according to the strict environment preservation scheme. The Company continuously monitors the quality of waste water from the processes and return it to the ground/general water reservoir, there is no certain parameters of measurement quality standard of the treatment.

The effort of 3R (Reduce, Reuse, Recycle) program carried out by the Company needs certain amount of fund. The return on investment will take some time. Due to the Company has commitment to preserve environment the infrastructure of using rain water project will still be continued.

Reducing Water Pollution

The intensity of the waste fluid increased due to additional of waste fluid from the penetrant. The process of water treatment in IPAL uses a certain amount of chemicals so that if the cost is compared to the result, it is unfeasible. However, the Company committed to process the waste water treatment project even though the cost is high.

Reducing Air Pollution

The activity of reducing air pollution is carried out by the Company to conserve the ozone layer. Though the actual calculation of the potential emission of gas which effect the ozone is not calculated accurately from the activity of Company’s production, yet the Company is making effort to reduce emission of gas which may destroy the ozone. The concrete effort of the Company to reduce green house effect of global warming are :

  • To increase the efficiency of productivity through heat treatment of pipes, refractory ceramic is used for the hardening furnace and tempering in 2011;
  • Converted source of energy from fuel oil to natural gas since 2005;
  • Installation of scrubber to the electroplating chimney to reduce air pollution;
  • Monitor the source of gas emission at 17 locations of production in every 6 months and mobile gas emission every yea;.
  • Stop burning rubbish in open air;
  • Carried out reducing green house gas
    • Planting oliana, mango and angsana trees proven to minimise the air pollution and absorb the CO
    • Use user friendly of refrigerant

The approach used to take samples in determining net calorific value and carbon content, the Company measured the data from the chemical composition of natural gas supplied from PGN on a periodic basis.

Hazardous Waste Treatment System

There are a few programs that the Company is under taking as one of the commitment to reducing the impact of hazardous waste to the environment:

  • Installation of Waste Water Treatment plant (IPAL)

IPAL program is made to reduce the impact of waste fluid from the phospating and electroplating. The fluid produced from the IPAL process before passing to the drain it is treated by the Company to ensure that the water meets the requirement of existing environmental specifications. The test result is checked every month where the measurement is done by a third party taking samples directly from the locations.

  • Closed drain system

At present the Company is constructing the close drain system on the second phase which will separate the rain water and domestic waste water and waste fluid from the production. Domestic waste water and waste fluid from the production will pass through close drain system to the water treatment plant.

  • Providing temporary storage for hazardous waste

The collection of hazardous waste from the production is collected on a daily basis by HSE team and store in 2 temporary storages which have been approved by Bapedalda Batam. The waste information is recorded and report to the related departments in the Company on the status of hazardous waste as a reference to make any further action.

Reports of waste treatment will be compiled by the Company to make collective data reporting and submit to the Government as PROPER report on a 3-monthly basis and to UKP/UPL every 6 month.

  • The Company will intensify the waste treatment process by using advanced technology Biocleaner to process waste fluid from the production to improve the quality standards of domestic waste fluid. On 2014, technology Biocleaner still build processing to implemented on 2015.

Certification in Environment

The Company has obtained the certification of Environmental System Management (SML) ISO 14001:2004. This system of management concentrates on:

  • Reduction of polluting the environment;
  • Minimise complaints from the communities;
  • Improve efficiency of the processes;
  • Complying to the regulations;
  • Improve the performance of the management/moral of working;
  • Improve the satisfaction of the consumer and increase in sales.

To support the SML above, the Company has also obtained the certification of OHSAS 18001:2007 and SMK3 for K3 System Management and certification of ISO 9001:2008 for Quality System Management. Application of the above management systems has a great impact to the performance of the Company towards the environment, health and safety and quality of products being produced. With these achievements, in 2014, the Company has been awarded as participation in environmental day 2014 from BAPEDALDA Batam and PROPER Blue in 2014 from the Ministry of Environment and Re-certification of ISO 14001:2004 from the SGS Jakarta.