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Sanjay Choudhary Chief Technology and Sustainability Officer

Neha Bhandari – Mgr Sustainability

LIFE CYCLE MANAGEMENT

TATA CHEMICALS

Workshop on Life Cycle Assessment

CII – Godrej GBC

8 November 2013, Pune

Tata Chemicals- Mission, Vision & Values

Vision We shall be amongst premier chemical companies by:

- Leveraging Science to deliver new and innovative offerings

- Enhancing value to our customers

- Delivering Superior Returns to our shareholders

- Leading in corporate sustainability

- Nurturing innovation, learning through diversity and team work

amongst employees

Mission Serving Society through Science

Values Integrity, Safety, Excellence, Care & Innovation

Babrala Mithapur Haldia

TCNA, USA TCE, UK TCML Kenya

British Salt, UK Rallis, India OUR OPERATIONS

Tata Chemicals - Power of One

Chemicals are Essential to human life

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We Offer

Living Industry Farm Essentials

And aims to “Serve society through Science”

Our Product Portfolio

Tata Chemicals' vast array of products – chemicals, fertilizers and consumer products –

find application in several diverse industries.

Agriculture

Animal Nutrition

Construction

Consumer Products

Glass

By maintaining the highest quality standards and sustainable practices in its operations,

Tata Chemicals not only touches lives across the planet, it also enhances the quality of

living.

Product Applications

Metals

Pharmaceuticals

Safety and Environment

Soaps and Detergents

Textile and Leathers

Embedding Sustainability

Environmental stewardship, Economic value and Social capital – A Life Cycle Approach

Evolution of Life Cycle Assessment

• Developed in the late 1960s/early 1970s

• Evolved from “eco-profiles” to current 4 basic, interdependent

stages of an LCA:

• Goal and Scope

• Inventory Analysis

• Impact Assessment

• Interpretation

Source: ICCA

Input

Resources – Material (Organic / Inorganic) & Energy Resources (fossil / renewable)

Human Resource – Actions of People

Economic Resource – Equipment, Machines

By-products

Output

Environmental Social Economic

Air Emission Human Capital Creation Subsidy / Trade Certificate

Water discharge Community Development Taxes, Cess

Waste Injury / Illness Compensations

Life Cycle Management

By-products

Life Cycle Management

Key Features for Life Cycle Assessment

Life Cycle Assessment Goal

Determine the goal - Sustainable consumption & production, Product Stewardship, Green Procurement, Greening of Supply Chain,

Environmental Designs, etc.

Key attributes Based on the boundaries, determine the most appropriate environmental attributes for your operations and products

Chemical life cycle management data base build up and carry out impact analysis based on key attributes

Life Cycle Boundaries

Determine the most appropriate operational & product life cycle boundaries (value chain) to include in the environmental footprint

Inventory & Impact Analysis

Life Cycle Assessment Goal

Expand from the traditional focus on manufacturing to collaborative approach to

improve product performance (environmental, economic, social aspects) in all

phases of the product life cycle

Goal

Life Cycle Boundaries and Possible Impacts

Full Life Cycle Select Boundaries as per Goal & Scope

Few of the Possible Impacts

Global Warming Potential Ozone Depletion Acidification rain Water Footprint & w/w/ impact Eutrophication

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Boundaries for Key Products

Living

Essential –

e.g. Salt

Solar

evaporated

brine

Vacuum

evaporated

Salt

Raw

Material

Manufacturing

Packaging

Centre /

CFA

3rd party

packaging

>98%

through Rail

Transportation

Institutional

Sale

Housewife

Retailer

Stockist

Distributor

Supply Chain

Partners

Customer

Energy

Sources Suppliers

UPSTREAM

IN-STREAM

DOWNSTREAM

Production

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Boundaries for Key Products

Limestone

– captive Soda Ash

Raw Material

Manufacturing

Channel

Partners

Rail

Supply Chain Partners

Customer

Solar Salt -

captive

Energy

Sources

Suppliers

Limestone

Road

Sili

ca

Lim

esto

ne

Culle

t

So

da

Ash

UPSTREAM

IN-STREAM

DOWNSTREAM

Industry

Essential –

e.g. Soda Ash

Trona

Glass

Industry

Container Glass

Housing

End-user

En

d o

f L

ife

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Boundaries for Key Products

Limestone

– captive Soda Ash

Raw Material

Manufacturing

Channel

Partners

Rail

Supply Chain Partners

Customer

Solar Salt -

captive

Energy

Sources

Suppliers

Limestone

Road

Fats

& O

ils

Ab

rasiv

e

Ch

ela

tin

g

Age

nts

So

da

Ash

UPSTREAM

IN-STREAM

DOWNSTREAM

Industry

Essential –

e.g. Soda Ash

Trona

Detergent

Industry

Institution &

Household

End-user

End of Life

Sewers / STP /

Water body

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Life Cycle Boundaries for Key Products

Ammonia

Raw Material

Manufacturing

TKS Rail

Household

Gate-to-

Gate Supply Chain Partners

Urea

Suppliers

Natural Gas

Road

Consumer Products

BHA

Dealer

Retailer

Customer

Farmer

Se

ed

Wate

r

Pe

sticid

es

Mic

ron

utr

ien

ts

So

il co

nd

itio

ner

Agri-produce

Post Harvest Processing

Food &

Beverage

industry

Institutions

Intermediate

supply chain

Farm

Essential –

e.g. Urea

Boundary Selection for LCA of Fertilizers

Life Cycle Assessment

“Cradle-to-Gate” Life Cycle Assessment is completed for Salt, Soda Ash, Cement manufacturing

at Mithapur, Urea Manufacturing at Babrala and DAP/NPK manufacturing at Haldia using GaBi

Software

Material Balance – Hot Spot

Design Actual

Total fuel flow 137.8 Gcal/hr

Heat recovered by 12 Gcal/hr

combustion air

Heat carried by 82 Gcal/hr

Reformed gas

Heat recovered 56 Gcal/hr

in combustion zone

Stack losses 9.5 Gcal/hr

Radiation losses 0 2.25 Gcal/hr

Loss diagram of Reformer

Energy intensive processes / equipmentsEnergy input Process Energy output

Gcal/hr Gcal/hr

P C stripping Heat input to PCS Losses to cooling water

975.44 863.624062

Pre-heated DMW

764.61

Process condensate

778.05

975.44 2406.286

Compression work

0.21

LP extraction

0.26524

HP steam Turbine condensate

Process air compressor0.1539 0.0000483

Losses to cooling water

(surfacecondenser)

0.24

Losses to cooling water

(interstage cooler)

0.21

0.1539 0.9252883

Water balance

P C Stripper

Air Compressor

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Key Attributes, Inventory & Impact Analysis

Impact

Assessment

Cost / Risk Assessment

(Externalities)

Impact Categories

Global warming potential

Eutrophication potential

Acidification potential

Photochemical ozone creation

potential

Ozone Depletion Potential

Freshwater Ecotoxicity Potential

Terrestrial Ecotoxicity Potential

Human Toxicity Potential

Natural Capital Externalities

Climate Change

Water Pollution

Air Pollution

Land Use Impact

Responsible Care

GPS Risk Assessment

Other Externalities

Human Capital

Social Capital

Categories

GHG emissions

NH3, P, F

PM, CO, VOCs, NH3, SO2,

NOx,

Solid Waste

Emission /

Discharge

Assessment

Materials/

component

supplier(s)

Product

manufacturer

Consumer(s)/

user(s)End-of-life actor(s)

Economic system = boundaries of LCC

Costs Costs Costs Costs

Revenues Revenues Revenues Revenues

Final disposal

(externalities)

Resources

(externalities)

Social and natural system:

boundaries of social and environmental assessment

Externalities Externalities

Externalities

ExternalitiesExternalities

Externalities Externalities Externalities

Costs

Rev. Rev.Rev.

CostsCosts

e.g., fuel tax (externality that is (partially) internalized)

e.g., PAT (will be (partially) internalized)

Source: Rebitzer, G.; Hunkeler, D.: Life Cycle Costing in LCM.

International Journal of LCA 8 (5), 2003, p. 253

Lifecycle Impact Assessment & Lifecycle Costing

Environmental Impact - Sample Results

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Product A Product B Product C

Natural Capital Externalities (Cost of

Environmental Impact) – Sample Results

0

20

40

60

80

100

Natural Capital Externality for Product D

Waste

Water Pollutant

Air Pollutant

Land Use

Water Footprint

Climate Change

Cradle to In-Gate

• Sourcing high quality limestone

• Import of high calorific value coal and explore fuel switch

• Usage of pet-coke (refinery by-product) with sulphur capture

• Solar Salt as raw material

In-Gate to Out-Gate

• Co-gen power plant for efficient power and steam generation

• Zero ground water use by using sea water and desalinated RO water

• Utilize effluent solids as input material in cement plant

• Renewable energy: Wind and Solar

Out-Gate to Customer

• Bulker movement

• Partner with customer to minimize impact of life cycle

• Packaging recycle

• Use of bio-degradble packaging

Our Efforts - Life & Industry Essentials

Critical Aspects TCL Practices

Protect natural water

bodies

• No waste discharge from mines to water bodies

• Chemicals not used in mining

• No water use during extraction

• No beneficiation.

Ecology and Culture • Mithapur Salt and Limestone operations adhere to all Ecologically

Sensitive Zones regulations

Environmental protection • No environmental protection issues except for those limestone mines

around which eco-sensitive zones have been declared

Community engagement • Community engagement is important for TCL

• Two formal Not-For-Profits: The Magadi Foundation and TCSRD

Lifecycle Analysis and

recycling

• Lake Magadi and Mithapur Salt Pans are naturally renewable

• Continuous focus on recycling and use of mine wastes

Mine Safety, Health and

Hygiene

• “Target Zero Injury” programme (best practice)

• Mining operations recognised for excellence in safety

Responsible Mining

Unique Sustainable Model at Mithapur

Our Efforts – Farm Essentials

Cradle-to-Gate-in

• Phasing out of Naphtha and sourcing Natural Gas for Urea production

• Inputs for Process Design for Babrala-2 future expansion for low energy.

• Integrated operations

Gate-to-Customer (B2F)

• Rail, Road distribution optimization for reducing transport related impact

• Tata Kisan Sansar for Agri-Services to farmers

• R&D facility Centre for Agriculture Technology

• Introduction of R&D based product Paras Farmoola, crop and soil specific Customized fertilizer for efficient uptake and better yield

Gate-to-Gate

• Efficient co-gen energy sys.

• Urea production is benchmark for energy and water consumption, effluent treated at source and used for horticulture purpose

• CDM projects to reduce GHG emissions

• Long term Asset Management Plan for efficient operations

Sustainable Agriculture – Farm to Food

Ca Cl Mg P K Cu S Zn Fe Na Fl I Se

Ca Cl Mg P K Cu S Zn B Fe Na Fl I Se

N P K S Ca Mg

Zn B Mn Cu Mo Cl

Nutrient Bank

Soil

FYM

TataChem Crop Nutrition (NPK)

Partner in IMACID Morrocco

Phosacid

CPB-Pulses, Animal Feeds

TATACHEM –RALLIS Farm

Protection Chemicals

TATACHEM –RALLIS -

Metahelix - Seeds

BIOFUELSS

CAT-Center For

Agritechnology

Agri-Services Tata Kisan Sansar

Tata Kisan Sansar provides a range of innovative and unique services to farmers through a dedicated team of

Krishi Preraks and Agronomists on the field, giving them that extra edge over traditional farming practices.

BASIC SERVICES

Soil Testing - for selection of proper nutrient

Agri advisory - On field addressal of various problems faced in crop cultivation

Farmer Training - Bringing the latest knowledge to farmers on various aspects of agriculture helps to

update the existing formidable knowledge base of the farming populace

PREMIUM SERVICES

Foliar Application Services - controlled and supervised application through TKS agronomists to

ensures a bumper yield while maintaining the soil health of the farmer’s field and which is customized

according to crop.

Farmer Engagement Program - complete real time analysis of the entire farming practices with

customized interventions for select members, with a tracking of incremental benefits over successive

seasons.

D A B : Diagnose - Analyze - Benefit - quick effective solutions for various crop production issues

which goes into a compendium of knowledge for future use with increased efficiency.

• Infotech solutions from TCS

• Telecom Solutions

• Design solutions from Tata Elxsi

• Consumer Intimacy

• Sustainability Plan

• R&D and innovation

• Packaging: Build consortium to innovate on Sustainability

• Mining: Collaborate on Sustainable practices

Our Customers

Collaborating Towards Sustainable Future

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Value Chain Partnership

Supplier Sustainability

Guidelines

Partnering with

Customers

Responsible Care & Global

Product Strategy

Public Commitments and

Participation in Public Forum for Learning & Sharing

GRI-G3 - Corporate

Sustainability

Reporting

TERI-CoRE-

BCSD

Global

Roundtable on

Climate Change

CII- Mission on

Sustainable

Growth Responsible Care

FICCI - Water

Mission

UN Global Compact,

Global Compact

Network, India

CDP IFA Product

Stewardship

Corporate Commitment / Signatory –

Global

Reporting Signatory

Corporate Commitment / Signatory –

National

Alkali Manufacturers’

Association of India

Fertilizer

Association of

India

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Sustainability Response Matrix

Tomorrow

Today

External Internal

Clean/Green Tech Develop new competencies

Pursue innovation

Bottom of the Pyramid Meet unmet needs

Raise the base of the pyramid

Product Stewardship Lower product life cycle impact

Increase transparency/accountability

Pollution Prevention Minimise wastes

Enhance resource productivity

Aligned to Sustainable Enterprise Model of Stuart L Hart

Responsible

Care

Sustainable

Growth

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Integrating LCM in Strategy Planning & ERM

SUSTAINABILITY

Life Cycle Management & Stakeholder Valuation

Tata Protocol for

Corporate Social

Responsibility

Resource

Conservation &

Pollution Prevention

Value Chain

Management, Joint

Business Development

OHSAS 18001, PSM,

Emergency

Preparedness

ISO 14001, Water

footprint, Carbon

footprint, LCA

ISO 9001, Stage & Gate

evaluation for new

products

Tata Business Excellence Model, Responsible Care & Global Product Strategy,

Periodic internal / external audits, Stakeholder Reporting

Man

ag

em

en

t L

evel

Objective

Strategies

Sys

tem

s &

To

ols

Social Dimension Environmental Dimension Economic Dimension

Thank You