Implementation of IPPC and its application to

sectors in different industrial scales

– Experience of Czech Republic

Jan Slavík, IPPC Unit - MoE of Czech Republic

Workshop on the Directive 96/61/EC (2008/1/EC) concerning Integrated Pollution Prevention and Control

(IPPC)

Ankara, 05-06 November 2009

Content1. IPPC implementation in Czech Republic

1.1. Elementary principles 1.2. Situation of industry before implementation1.3. New legislation1.4. Institutional set-up1.5. Permitting

2. Cooperation with industry

2.1. Cooperation in implementation2.2. Industry in system of information exchange and preparation of legislation2.3. Subsidies for application of BAT and emerging techniques

3. Impact on Industry

3.1. Administrative impacts3.2. Economical and Environmental Impacts

4. Conclusion

1. IPPC implementation in Czech Republic

1.1. Elementary principles

Integration an IPPC Permit replaced several permits in the field of air, water protection and waste.

New permit Every existing IPPC Installation had to obtain the new permit and went throught full scale permitting process.

Subsidiarity Permitting itself is done on regional level, regional authorities are supported on central level by MoE and CENIA (expert agency).

Individual approach Every permit is a result of individual permitting and its binding conditions are unique (taking into account the scale

of production, technical characteristics of technology and local situation). However, minimal requirements have to be respected.

Dialogue with operator Permit conditions are the result of dialogue among operator, state institutions and general public.

Access to information All permits and relevant documents from permitting as well as BREF documents (in Czech) are available on the Internet without any restriction

Application of BAT The permit should ensure that operation of installation is in line with relevant BAT requirements.

1.2. Situation of industry before implementation

2. Production and processing of metals

13%

4. Chemical industry13%

6. Other activities (intensive rearing)

27%

5. Waste management16%

3. Mineral industry6%

6. Other activities (remaining)

12% 1. Energy industries13%

• The Czech Republic is highly industrialized country

• About 1500 IPPC Permits represents most of our important industry (almost all Annex I activities)

• The most of permits is granted to small and medium sized enterprises.

• Industry generates about 30 % of GDP.

• Industry gives about 40% jobs within national economy

Structure of industry covered by IPPCD (according to Annex I)

1.2. Situation of industry before implementation

Structure of employment in the civil sector 2002 CZ

Services55%

Industry40%

Agriculture5%

Structure of employment in the civil sector 2002 EU 15

Services68%

Agriculture4%

Industry 28%

1.3. New legislation• IPPCD was implemented by the new legal act (IPPC Act) – in force from 1 January

2003

• Old legislation (separate acts on waste, air protection, water protection) is still valid

– They are used as minimum requirement for setting binding conditions according to the IPPC Act.

– Separate permits (for waste, air and water) are replaced by the IPPC permit.

• For new installations IPPC Permit is given after Environmental Impact Assasment (EIA) and before Building Permit.

EIA -› IPPC -› Building Permit

• Same procedure for all activities, all industial scales and new and existing installations.

• Same and binding form of application for all activities, all operators and new and existing installations.

• Industrial scale is reflected in permitting itself – every installation is permitted individually, extend of requirements reflects: industrial scale of operator, economical situation and impacts on Environment.

• Length of the procedure is from 117 – 185 days.

1.3. New legislation• Act No. 76/ 2002 Coll. on integrated pollution prevention and control,

on the integrated pollution register and on amendment to some laws (the Act on integrated prevention)

Transposition of IPPCD, institutional set-up, process set-up, relationship to other acts in the field of environmental protection.

Act includes: DefinitionsProcedure of permittingContent of application and permitObligations of the OperatorExecution of the Public Administration (role of

authorities)Fines etc.

• Decree No. 554/2002 Coll. establishing the specimen of the application for integrated permit, the scope and method of filling in of the application.

Decree includes: Detailed and binding rules on structure of applicationGuidance and examples for operatorOne structure for all kind of activities.

• Decree No. 63/2003 Coll. the concept and range of exchanging the best available techniques information

Establishing on a national level rules for the exchange of information on Best Available Techniques (including the role of industry in this process).

1.4. Institutional set-up• REGION – permitting authority

Region is the highest-level administrative unit. There are thirteen regions and one capital city of Prague with regional status

Average region: about 700 000 inhabitantsabout 120 IPPC Permitsabout 2 - 5 officers responsible for the IPPC agendavery often strong representation of one branch of industry

(chemistry, production of metals, intensive rearing)

1.4. Institutional set-up• REGIONS - permitting authority

- inspection of IPPC installations

• CZECH ENVIRONMENTAL INSPECTORATE

- statement on application in permitting process - inspection of IPPC installations in relation with environment

• REGIONAL PUBLIC HEALTH AUTHORITIES

- statement on application in permitting process - inspection of IPPC installations in relation with public heath

• CENIA - Czech Environmental Information Agency

- expert support of permitting authority (technical experts)- statement on application in permitting process (BAT)

• MINISTRY OF ENVIRONMENT

- supreme state supervision and the central body of state in IPPC- appealing authority- expert support of permitting authority (legal experts)

• MINISTRIES OF INDUSTRY AND TRADE, AGRICULTURE AND HEALH

- organisation of information exchange of BAT- statement on appeal

Operator of Installation Application for Integrated Permits Regional Authority

For 30 days

in 8 days

Forwarding the Application Disclosure of brief summary

CENIA (BAT assasment)

Relevant Administrative

Authorities

General Public

Sign in of other

Participants

Participants in Procedure

in 20 + 7 days

Affected State

in 45 days for CENIA, otherwise 30 days

in 45 days from receiving statemens

Statements Regional Authority Disclosure of Statement of CENIA (BAT)

Oral Discussion of Application

Decision on Application Disclosure of DecisionAppeal against the Decision

1.5. Permitting

2. Cooperation with industry

2.1. Cooperation in implementation

In period 1999 – 2007 IPPC and BAT issues were systematically consulted with representants of industry.

Proposals of the industry were very often useful but not always acceptable – They were not compatible with requirements of IPPCD and other EU legislations.

Series of workshops and consultations – IPPC principles (permitting) and BAT implementations

– Workshops based on regional approach (organized by Regions)

– Workshops for particular industrial activity (organized by ministry of agriculture, industry and trade, environment, CENIA)

– Workshops organized by specialized industrial associations (Association of Chemical Industry, Association for the District Heating, Czech Cement Association…)

Special attention was given to smaller scale activities (e.g. intensive rearing): due to economical situation operators has limited possibility use assistance of expert companies. Ministry of agriculture organized workshops on regional level, printed manuals on application especially in particular activity. Manuals on BAT in intensive rearing.

2.1. Cooperation in implementation

Communication between industries concerns and state administration

Activities of relevant ministries during industrial and agricultural exhibitions and convention, advertising in relevant magazines

Publications on IPPC

Articles in technical and agricultural magazines

2.1. Cooperation in implementation

IPPC on Internet

The internet is used as the most accessible source of information on IPPC and BAT for operators, general publics and state administration.

Web page on permitting and administration

– Information on legislation and administrative procedures– Fulfill requirements on accessibility of certain documents

from permitting to general public– Operator can use the page to check progress in permitting– Complete database of permits and their changes– Source of data for reporting to EU institutions

www.env.cz/ippc

Web page on BAT

– BREFs in English and Czech– Other publications on BAT (more specific – focused

on BAT applicable in CZ)– Internet forum for national technical working group– Other relevant news and information

www.ippc.cz

2.2. Industry in system of information exchange

and preparation of legislation

Activities of national technical working groups

Active national technical working group significantly support successful implementation of BATs in relevant industry.

– Organized and financed by relevant ministry. – Information on BAT in particular branch of industry. – Translation of BREF into Czech language.– BAT and IPPC manuals for particular activity.– Cooperation on preparation of preparation of BREF on EU level.

Testing round of permitting procedures

During process of drafting of national IPPC legislation

Cooperation of:

– industry concerned (food production, chemistry, intensive rearing),– research institution (BAT application),– state administration (regions, ministries).

Twinning projects on IPPC with participation of Germany, United Kingdom and Netherlands included also participation of industry.

2.3. Subsidies for application of BAT and emerging

techniques• Operators of IPPC installations has possibility to obtain subsidies and grants

on application of advanced techniques for environmental protection

• Operational Programme Environment

Available 4,92 mld. € from European Union + 0,87 mld. € from public resources.

Sources: Cohesion Fund (85%) and European Regional Development Fund (15%).

Relevant period 2007 – 2013.

2000 supported projects so far (in all areas of environmental protection).

One of the priorities is reduction of industrial emissions (mainly by application of advanced BATs in IPPC installations) and applied research in BAT:

– The renovation or installation of technologies for reduction of industrial pollution.

– Advanced monitoring systems. – BAT centres – research units focused on testing of BAT and emerging

techniques with emphasis on their applicability in national conditions, validation of their parameters and on informing operators on BAT (usually as part of technical university or research institution).

2.3. Subsidies for application of BAT and emerging

techniques• Extend of support

The maximum level of subsidies is 90% of relevant expenses.

Subsidies must not interfere with economic competition.

Subsidies can be granted only in „assisted areas“.

For standard enterprise is subsidy limited to 30 – 40 % of relevant expenses.

The limit of subsidy can be further increase for:

- small enterprise (employ fewer than 50 persons and which have an annual turnover not exceeding EUR 10 million) to additional 20%.

- medium size enterprise (employ fewer than 250 persons and which have an annual turnover not exceeding EUR 50 million) to additional 10%.

„De minimis“exception

Certain enterprises can apply for „de minimis“exception – 90 % of relevant expendes (smaller projects limited by 500 000 EUR).

Applicable till 2010.

3. Impact on Industry

3.1. Administrative Impacts• Permitting

Preparation of application for a permit.

– Mandatory form.– Can be done by operator or expert company.– Including proposal for binding operating conditions (BAT based).

Administrative Fee - Granting a permit.

• Change in operation

Planned changes are announced to permitting authority.

If the change is not find substantial permitting authority just change the permit to be in line with new situation.

If the change is find substantial the procedure is in general same as in permiting (its extent can be limited).

• Operation

– Evaluation of compliance with the conditions of the integrated permit (report)

– Keeping records of information on compliance– Notification of all unusual situations, accidents at the installation

and accidental releases of pollutants

3.1. Administrative Impacts

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3.1. Administrative Impacts

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3.1. Administrative Impacts• Advantages of IPPC for operators

One permit instead of several single-media permits and documents

Improved transparency of requirements and binding conditions. Integrated permit replaced the following:

- Air protection permit (emission limits) including binding operating regulations - Water protection permit including accident rules (water protection)- Waste handling permit- Permit for extracting of groundwater- Permit for discharching of wastewater- Noise requirements- Energy efficiency requirements (Energy audit conclusions)

One contact point instead of several institutions

Better communication with state administration. Regional authority (IPPC Unit) replaced the following:

– Water basin authority– Municipality– Czech Environmental Inspection– Regional Hygiene Authority– Various departments and units of Regional authority

3.1. Administrative Impacts• Advantages of IPPC for operators

Individual Permitting

– Operator can proposed its operating conditions– Individual conditions taking account operators history, its technical characteristics,

economical aspects, scale of production and impact on environment (Minimum requirements have to be always respected)

Significant reduction of administrative burden – change of permit

If the announced change is find not heaving significant negative effects on human beings or the environment the authority just change the permit to be in line with new situation.

• Disadvantages of IPPC permitting (from point of view of operators)

- Administrative burden (new permitting)- Possibility of new requirements (investments) beyond „minimum requirements“.

This requirements can be based on:

a) Problems with environmental quality standard.b) Insufficient compliance with BAT (without proper justification).

- Uncertainties related to public participation of process (NGOs)

3.2. Economical and Environmental Impacts

• Bigger scale industry (e.g. Energy, metal and chemical industry)

BAT requirements

Problem to identify investments to BAT and standard modernisation

– Most of modern technologies has BAT parameters.– BAT in existing installation is set on individual basis (technical and local

characteristics)

In case of serious and unjustified incompliance with BAT

– Mandatory schedule for modernisation is part of the permit (transition from mercury cell technology in chlorine-alkali industry).

– The schedule takes, among other things, into account economical situation of an operator.

Communication with operators shows that BAT requirements don't represent significant economical burden

Environmental quality standards

In case that an IPPC installation significantly decrease local environmental quality standards below legal requirements permitting authority may set binding conditions far beyond BAT and minimum requirements (e.g. Emission ceilings for certain pollutants). It may represent significant economical burden or reduction of production.

3.2. Economical and Environmental Impacts

• Smaller and medium scale industry (e.g. intensive rearing)

Expenses in relationship with administration of permitting were reduced by workshops and manuals prepared by state administration (Operators could prepare application by themselves and not use expert companies).

Although Application and permitting procedure was the same as for the bigger scale industry, scale of activity and its impact on Environment was taken into account.

In BAT requirements was taken into account if they allows implementation under economically and technically viable conditions and if they are applicable in local conditions of the Czech Republic.

From changes related to IPPC was beneficial especially for small and medium size enterprises:

a) improved transparency of legal requirements,b) simplification of communication with state administration,c) reduction of administrative burden related to change of permits.

4. Conclusion• Same rules for all industrial scales and all activities proved viable

and successful.

• Individual permitting takes into account all relevant aspect of production, including industrial scale. However, minimum requirements and impact on Environment have to be respected.

• For successful implementation operators have to be informed in advance on new requirements and BATs.

• IPPC improved transparency binding requirements for operator (one permit instead of several documents) and communication with state administration (one contact point – Region).

• IPPC legislation did not significantly increase administrative burden on operators.

• Economic impacts with relation to BAT requirements are extremely hard to identify – from series of consultations with operators seems acceptable.

• Intensive communication with industry and permitting authorities is necessary for identification of possible problems in particular sector.

• Identified problems can be solved mostly by other then legal changes (assistance to problematic group of operators – workshops, manuals, subsidies).

Thank you for your attention!

Contact Jan Slavik

Ministry of Environment of Czech RepublicIPPC UnitVršovická 65

100 10 Praha 10

Phone: +420-2-6712-2808Fax: +420-2-6712-6808E-mail: jan.slavik@env.cz