SAFETY and SECURITY CONCEPTSin Chemicals Management

Caner Zanbak, PhDEnvironmental Advisor, Turkish Chemical Manufacturers Association

XXIV Congress of Chemists and Technologists of MacedoniaSociety of Chemists and Technologists of Macedonia

11-14 September, 2016Ohrid, Macedonia

and

Private/Public Partnership

in Chemical Supply Chain Security

Plenary Lecture PL-5

CHEMICAL INDUSTRY

Chemicals:

In as much as they are

VITAL for human life,

They carry

INHERENT RISKS for human life

and environment

- Ignitable / Explosive- Corrosive, - Reactive,- Toxic/Carcinogenic

Therefore, SPECIAL CARE is a ‘‘must do’’ in Management of CHEMICALS...• SAFE• SECURE

SAFETY SECURITY

PROTECTION from INJURY/LOSS

Occuring due to:• Negligence, • Lack of knowledge/training,• Poor design/maintenance,• Poor management, ....

of PEOPLE (Insider)

Caused by:

• Deliberate Actions(to circumvent Safety Procedures)

of PEOPLE (Insider/Outsider)

Safety : protection from injury or loss by circumstance, accident, or negligence.(a matter of injury/health and material/equipment loss)

Security : protection from injury or loss caused by deliberate action. (a matter of control, procedure, protection of property, access control)

The difference is in the ‘‘intent of the people’’.

SAFETY and SECURITY CONCEPTS

The terms SAFETY and SECURITY in different languages

Macedonian/Serbian

Bezbednost Bezbednost (Безбедност)

SAFE: безбедан (bezbedan)

SECURE: безбедна (bezbedna)Сигурен (segurin - Macedon) Сецуре (Secure), осигурати

(osigurati)

Albanian Siguri Siguri

• Bulk chemicals : Produced usually with highly optimized continuous processes, in very large quantities, to a relatively low price.

SECURITY Concerns

- explosive chemicals (TNT, explosive bolts, bullets, blasting caps, and fireworks).

- potentially explosive chemicals (PECs) - that may oxidize, decompose, polymerize, become

contaminated, dry out or destabilize and subsequently become explosive /ignitable when subjected to heat, light, friction or mechanical shock - peroxidizable compounds

Chemical Products

SAFETY Concerns (even under no deliberate MISCONDUCT/INTENTIONS):

- Ignitability / Explosivity, - corrosivity, - Reactivity- toxicity

(Under POTENTIAL DELIBERATE ACTIONS):

• Fine chemicals : Produced in small quantities, at a high cost, for special low-volume technical applications

• Research chemicals : Produced individually for research, relatively in very low quantities - very high unit costs.

S

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CHEMICALS : (as Commodity Materials)

• Produced• Packaged, Stored

• Shipped to Traders• Stored / Stocked• (repackaged &) Sold to End-users

• Shipped to Distributers • Stored / Stocked

• Shipped to End-Users • Stored / Stocked• Processing Goods (waste)

• Stored/Stocked

• Shipped to GOODS-Users • Stored / Stocked• Used (waste)

Custodial Cycle of Chemicals

PRODUCER

END-USER(Manufacturer )

Chemicals

SUPPLY-CHAIN

Goods CONSUMER

S

A

F

E

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1

PRODUCER

END-USER(Manufacturer )

SUPPLY-CHAIN

CONSUMER

SAFETY and SECURITY MANAGEMENT CONCEPTS in Chemicals Management

S

A

F

E

T

Y

1

Management Systems:• ISO 9000• ISO 14000• OHSAS 18000• ......

S

E

C

U

R

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T

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2

Management Systems:• ISO/EIC 27001

information security

• ISO IEC 17799Section 7: Physical and Environmental Security

and also, there are :• CODIFIED REGULATIONS on Human Health, Environmental Protection and Safety

• International CONVENTIONS to Promote/Enhance Security (by means of Prohibition)

• International AGGREEMENTS to Regulate Safety of Chemicals (ADR, IMO, RID, ...)

• NATIONAL CODIFIED REGULATIONS (laws/regulations…)• Ministries of Health, Environment, Labor, Trade (customs), Interior, ……..

• International CONVENTIONS (OPCW, UNFCC, … Conventions, ….. )

• Intra/Inter-national AGGREEMENTS (EU Acquies, REACH, ADR, IMO, RID, ...)

LEGAL REQUIREMENTS – Industry STANDARDs – RESPONSIBLE CARE©

(COMPLIANCE vs FULFILLMENT)

• INTERNATIONAL INDUSTRY STANDARDS / INITIATIVES

+

Chemicals can be managed in SAFE and SECURE manner in the hands of trained professionals,HOWEVER,

Chemicals are also prone to EXHIBIT their HAZARDOUS/DANGEROUS behaviour under:

• CRIMINAL / DELIBERATE ACTIONS of othersor

• Negligence and Lack of knowledge/training of people• Poor design/maintenance, poor management, .... of facilities

SAFETY can be achieved with Good Management Practices (appropriate

technology, management and procedures, human behaviour, training,... / legal aspects, risk management, risk modelling, risk assessment, risk communication, business continuity planning, safety performance management, economic aspects, reliability engineering, learning from accidents, etc. ).

Likelyhood of Deliberate Actions (theft/sabotage/terrorist attack) is smaller for facilities with increased SECURITY Measures (increased awareness in

management practices – tracking/recording/reporting, improved surveillance/physical barriers/security personnel, .....).

THEREFORE,

Adding SECURITY aspects into RESPONSIBLE CARE© (Good Management Practices)is VITAL for Responsible Chemicals Management…..

Apparently, there are regional/country level variations in implementation of SAFETYand SECURITY procedures in Chemicals Management Practices.

In this Regard,

Challenges for Developing Countries lie in IMPROVEMENT of Safety and Security PRACTICES/PROCEDURES by :

• Increased Awareness and Comprehension of RISKS (technical & Security),

• Investment in Infrastructures/Services,

• Effective Regulatory Environment and Enforcement

In Summary:

Responsible Care© Initiative helps ‘’to incorporate’’ SAFETY and SECURITY concepts into Chemicals Management

(*) 1: Practices Well established - - 5: Disregarded/Poor Practice

In my opinion, Relative Level of SAFETY and SECURITY Implementation in the World

Yes....., but,

along with SECURITY !!!

- SAFETY FIRST -

along with SECURITY !!!

SAFETY FIRST

Also, applicable to Chemicals Management

Looks GOOD; but, SAFETY against earthquake ?!

HAZARDOUS(Dangerous)

WHY ?

To WHAT? HOW ?

Safety

Toxicity

Carcinogenity

Infectiousness

Technical Properties (Features)

Receiving Media(Air, Water, Soil

• Human health

Surroundings(Physical)

• Living Quarters

• Flora• Fauna }Diversity, Quality

• EXPOSURE

Direct Impact

• Poisoning

• Genetic Disorder

• Infection• .....

• Physical Damage

Indirect

via

FoodChain

• DOSAGE

ENVIRONMENTAL RISK (HAZARD)

EVALUATION

ACUTE RISK (HAZARD) EVALUATION for CHEMICALS

SECURITY MANAGEMENT Logic

SECURITY

HAZARD

WHY ?Safety

Toxicity

Technical Properties(IED, CW Precursors)

To WHAT?

Receiving Media(Air, Water, Soil)

• Human health

Surroundings(Physical harm)

• Living Quarters

HOW ?

Direct Impact

• Poisoning• …..

• Physical Damage

Indirect

via

Food Chain

1. AVAILABILITY(Accesability)

2. QUANTITY

1. WHY is it a SECURITY concern?Safety (explosive, oxidizer, etc)

Toxicity (acute)

Technical Properties(IED, CW Precursors)

2. To WHAT is it a SECURITY concern? Receiving Media(Air, Water, Soil)

Surroundings(Physical harm)

• Living Quarters - Human health

3. HOW is it a SECURITY concern? Direct Impact

• Poisoning, …..• Physical Damage

Indirect

via Food Chain

SECURITY MANAGEMENT

ACUTE RISK (HAZARD) for a CHEMICAL

4. AVAILABILITY(Accesability)

5. QUANTITYSECURITY MANAGEMENT

• Prevent• Control• Deter

CHEMICAL SECURITY

Challenges:• Prevent (planning)• Deter (special enforcement)• Control (take measures for access)

against• THEFT• MISUSE• SABOTAGE

International Cooperations:

• nonproliferation treaties and programs such as the Chemical Weapons Convention, the

Australia Group, the Cooperative Threat Reduction Program, and the Nonproliferation

and Disarmament Fund has helped to deny terrorists access to some of the world’s most

dangerous chemical weapons.

• Counterproliferation activities, such as the Proliferation Security Initiative, by improving

government’s ability to stop chemical shipments of concern.

• Consequence management preparedness activities carried out bilaterally or through

multilateral entities such as NATO’s Euro-Atlantic Disaster Response Coordination Center

have contributed to mitigating chemical terrorism risk.

Despite all the international efforts, diverse nature of the industrial chemical supply chain

presents special challenges to the nonproliferation, counterproliferation, and consequence

management efforts.

However,

of CHEMICALS}

INDUSTRY and the REGULATORY Environment

Technical

STANDARDS:- International

- National

LEGAL TOOLS (Enforcement):- International Agreements

- National Laws

- Directives/Regulations,.....

VoluntaryINITIATIVES (International)

NationalSector - specific

COVENANTS

example:

RESPONSIBLE CARE©of the CHEMICAL INDUSTRY

(Legally Recognizable/Recognized)

(Legally Recognized)

examples:

ISO 9000, ISO 14000OHSAS 18000......

• CODIFIED REGULATIONS on (laws/regulations…)

• International CONVENTIONS (by means of Prohibition)

• International AGGREEMENTS (ADR, IMO, RID, ...)

• NATIONAL Level

• INTERNATIONAL Level}

ADMINISTRATION – MANAGEMENT TOOLS

SUPPLY CHAIN: Network of organizations and business process for• procurement of materials, • rendering/manufacturing and• distributionof raw/intermediate materials and finished goods to the customers/end users….

SUPPLY CHAIN MANAGEMENT:

Process involving optimization of • information exchange and flow of materials/goods between:

• suppliers, • distributers and• delivery logistics systems…

CHEMICAL

SECURITY

GOVERNMENT AUTHORITIES: • National Interest/Needs• Duties/taxation• Safety• Security-Law Enforcement

PRIVATE SECTOR: • Availability of Chemicals• Marketing Network• Safety• Security - Protection

ISSUES in PRIVATE/PUBLIC PARTNERSHIP in CHEMICALS MANAGEMENT

QUESTIONS:

CHEMICAL SECURITYMacro-level Administration/Management Issues

GOVERNMENT AUTHORITIES: • National Interest/Needs• Duties/taxation• Safety• Security-Law Enforcement

PRIVATE SECTOR: • Availability of Chemicals• Marketing Network• Safety• Security - Protection

Common objective: • Prevent• Control• Deter

• THEFT• MISUSE• SABOTAGE

against

Q 1 - Can THESE PARTIES (Public and Private Sector) COOPERATE ?

Q 2 – HOW?

Q 3 – What IS NEEDED to INITIATE such a cooperation?

CHEMICALS}GOVERNMENT AUTHORITIES: • National Interest/Needs• Duties/taxation• Safety• Security-Law Enforcement

PRIVATE SECTOR: • Availability of Chemicals• Marketing Network• Safety• Security - Protection

Strict Controls/bansmay CAUSE Competitiveness

CONCERNS

International Council of Chemical Trade Associations (ICCTA)'s objectives are to:

• represent chemical traders and distributors on key issues with international bodies;• identify topics of importance and facilitate information sharing on positions and developments;• set priorities in order to focus resources on prime critical issues;

• promote the spirit, principals and practices of Responsible Care and Responsible Distribution world-wide;

• promote international free trade and fair competition within the framework of the World Trade Organisation(WTO);

• exchange knowledge and best practices; also to discuss problems of an international dimension relating to chemical distribution and trade.

SUPPLY-CHAIN DISTRIBUTION of CHEMICALS

• Special Care/Handling• Special Warehousing

• Shelf-life, Fire Hazard Protection

• Theft & Sabotage

SAFETY

SECURITY

Industry Initiatives - Chemical Distribution/Trade Associations

Partnership Aggreements – Chemical Manufacturers & Chemical DistributorsIn Europe - European Association of Chemical Distributors (FECC) andEuropean Chemical Industry Council (Cefic)

In America - the National Association of Chemical Distributors (NACD) and theAmerican Chemistry Council (ACC)

Responsible Care / Responsible Distribution - Voluntary Initiatives

Incorporate SAFETY and (recently) SECURITY aspects of Chemicals Management

RESPONSIBLE CARE©

INTERNATIONAL STANDARDSINTERNATIONAL STANDARDS

SA

8000

INTERNATIONAL STANDARDS

OHSAS

18000

ISA

2000ISO

14000EMAS

ISO

9000

Public Awareness and

Emergency ResponseProcess Safety

Emploee Safety

and Health

Environmental

Protection

Product

DistributionProduct Stewardship

CODES

SAFETY ISSUESHEALTHENVIRONMENTALPROTECTION

PRODUCTSTEWARDSHIP

+ SECURITY CODE

RESPONSIBLE CARE© & STANDARDS

A voluntary Industry Initiative on ‘‘Integrated Management of Environment, Health and Safety’’

Management Practices - As a guiding principle, the following seven management practices should

be taken into account:

1. Leadership CommitmentSenior leadership commitment - The chemical industry’s commitment to Responsible Care and security starts at the top.

2. Risk AnalysisA risk-based approach to design an appropriate security plan. Periodical analysis of threats, vulnerabilities, likelihood and consequences using adequate methodologies.

3. Implementation of Security MeasuresDevelopment and implementation of security measures commensurate with the risks.

European Responsible Care® Security Code

http://www.cefic.org/Documents/ResponsibleCare/Feuillet%20RC_SecurityCode_V4.pdf

4. Training, Guidance and InformationTraining, guidance for and information of employees, contractors, service providers and supply chain partners as appropriate to enhance security awareness..

5. Communications, Dialogue and Information ExchangeCommunications, dialogue and information exchange on appropriate security issues with stakeholders such as employees, contractors, communities, customers, suppliers, service providers and government officials and agencies balanced with safeguards for sensitive information.

6. Response to Security Threats and IncidentsEvaluation, response, reporting and communication of security threats and security incidents as appropriate and corrective action for security incidents including ‘near misses’.

7. Audits, Verification and Continuous ImprovementThe commitment to security calls on companies to seek continuous monitoring of all security processes.Companies will periodically review their security programs, processes and measures to affirm those which are in place and will take corrective action as necessary.

Cybersecurity

• Recognize that protecting information and information systems is a critical component of a sound security management system

• Assess cybersecurity vulnerabilities and implement enhancements

• Incorporate cybersecurity into training, drills and guidance, and all aspects of a Plan-Do-Check-Act security system

• Take steps to protect against intrusion into facility systems and the diversion of products

Facility Security

• Conduct comprehensive vulnerability assessments (SVA) using methods approved by national security experts

• Develop, implement and continually improve facility security measures under a strict timeline

• Document security management programs, processes, and procedures

Transportation Security

• Conduct vulnerability assessments throughout the value chain and implement security measures, including additional screening of transportation providers

• Coordinate security training and response plans with road, rail, and waterway partners

• Restrict access to transportation facilities

• Work with carriers and customers to monitor shipments in transit

Core Elements of ACC’s Responsible Care® Security Code:

http://www.americanchemistry.com/Policy/Security/Chemical-Security-Fact-Sheet.pdf

• The World Chemical Industry’s Responsible Care Security Code require companies

to assess vulnerability of their facilities, develop and implement plans to mitigate suchvulnerabilities, and verify that the necessary security measures have been implemented.

• The global insurance industry, can also play important role in mitigating chemical

security risks in the supply chain of the chemical industry and their suppliers/partners.

Public-Private Partnerships – for Chemical Security matters

• Specialized risk assessment firms, along with the research arms of insurance

brokerage firms, are enhancing the ability of insurance underwriters to price and transfer risk, which in turn, leads to incentives to avoid high risk behavior.

• In chemicals supply chain partners, including financial services, establishment of a private sector

initiative to support national government efforts by setting-up a cyberspace

system to track certain chemicals shipment records and pass such information on to law

enforcement for appropriate action, if necessary.

• Building a shared-responsibility/authority partnership between law

enforcement and the private sector at domestic and international levels may enhance

implementation of Chemical Security Plans.

The chemical infrastructure worldwide is mostly owned by the private sector. Therefore,

• the private sector can/should play a central role in mitigating the risk of chemical

security concerns.

• in all of the countries, the regulatory set-ups for chemicals management are in place

and the government institutions are ‘‘the AUTHORITIES’’ (as defined by the

Laws…..); however,

• voluntary public-private partnerships are needed to help minimize the

environmental and security risks of chemicals through market-based incentives to

complement the regulatory approaches through:.

Public-Private Partnerships – for Chemical Security matters

In Summary:

• Information sharing with governments

• Work with shippers, carriers and governments on supply chain security

• Community Awareness

• Training of Emergency Responders

QUESTIONS

to answer:Q 1 - Can Public and Private Sector COOPERATE in my country ?

Q 2 – HOW?

Q 3 – What IS NEEDED to INITIATE such a cooperation?

Please keep in mind that:

• There is no ‘‘NO one-model’’ for PPP in Chemicals Security Management

that will fit to all of the countries.

Q 1 - Can Public and Private Sector COOPERATE in my country ?

Q 2 – HOW?

Q 4 – What IS NEEDED to INITIATE such a cooperation?

With the following questions, we can initiate an approach to develop a NATIONAL PPP Model for Macedonia:

Q 3 – Who are the appropriate/applicable actors (Government Institutions/Private Entities)

for such a cooperation?

Public-Private Partnerships – for Chemical Security matters

Thank you for your Attention……

SAFETY AND SECURITY CONCEPTS in CHEMICALS MANAGEMENT

and PRIVATE/PUBLIC PARTNERSHIP

in CHEMICAL SUPPLY CHAIN SECURITY

Caner Zanbak, PhD

Environmental Advisor, Turkish Chemical Manufacturers Association, Istanbul, Turkey caner.zanbak@tksd.org.tr

SYNOPSIS

Chemicals are integral matters of all components of environmental media, from air, soil and rocks and also they are the necessities for human

survival/sustainability of life and development. Chemicals are also present in the nature, from gases in the atmosphere to water, inorganic and

organic natural resources and plants and living species. In addition to their use in natural forms, numerous kinds of chemicals are produced

synthetically for use in our daily lives.

On the other hand, in as much as they are vital for human life, chemicals do carry inherent risks for human life and environment quality which

require special safety management practices to minimize their risks to the workers, users and environmental media.

From the industry point of view, chemicals are specialty commodities that require special management administration to protect information on

process know-how, trade secrets, assure safety in handling and transportation/storage along with physical protection against theft and

misuse/sabotage threats.

Safety is a term defining the measures to take precautions and measures to protect subjects from the negative effects of potentially harmful

events, while Security covers the physical measures to assure application of safety measures from misconduct or willful intervention of others.

Therefore, “unsecured safety measures” do not necessarily serve the purpose.

Security risk assessment for management of chemicals is also based on the similar logic used for general risk evaluations incorporating

intentional intervention (theft or sabotage)of outsiders. Chemical security also incorporates the means and ways of chemicals distribution

throughout the supply-chain. Therefore, on a macro scale, security of chemicals require Private/Public Partnership in order to minimize potential

harm of public as they are delivered and stored until they reach the intended end-user.

There are several international and many national conventions/agreements on proper management of chemicals and industry initiatives.

Private/Public Partnerships at country level are encouraged to enhance implementation of chemical security. During the last decade,

Responsible Care® initiative of the world chemical industry is promoting the Security concept.

In this presentation, distinction between Safety and Security concepts will be reviewed and importance of Security to compliment Safety

practices for management of chemicals and challenges of promoting the Security concept along with the Private/Public Partnership issues for

the developing countries will be discussed.

Caner ZANBAK, PhD

Dr. Zanbak, a 1971 graduate of Istanbul Technical University, has completed his Ph.D. at the University ofIllinois at Champaign-Urbana, USA. His academic experience includes Istanbul Technical University until 1981,Kent State University, Ohio, South Dakota School of Mines, Rapid City, South Dakota as an associate professorand at Illinois Institute of Technology, Chicago, Illinois as an adjunct full professor until 1994.

Dr. Zanbak has worked as an associate of Woodward-Clyde Consultants (WCC) to assist USEPA and numerousindustry facilities on hazardous waste management, remedial investigations, feasibility studies and remedialdesign for Superfund projects and geotechnical projects during the 1984-1994 period.

Dr. Zanbak is the principal author of “Hazardous Waste Management” section of the National EnvironmentalAction Plan coordinated by the Turkish State Planning Organization and the “1998-Report on EnvironmentalNon-Tariff Trade Barriers and an Action Plan for Turkey” and “2010-Harmonization Issues on EuropeanUnion Environmental Legislation” reports prepared for the Turkish Businessman’s Association (TUSIAD). Hehas taken an active role in preparation of the “2002-Sustainable Development – Business Community andIndustry”, Johannesburg (Rio+10) Conference Country Report for Turkey, prepared by the CEVKO Foundation.

Since 1994, Dr. Zanbak is the coordinator of the Responsible Care Program of the Turkish ChemicalManufacturers Association currently working on the RC Security Code Implementation in Turkey.

He regularly teaches graduate and undergraduate courses on Environmental Impact Assessment, EnvironmentalManagement and Hazardous Waste Management Courses at various universities in Istanbul.

Currently, he is a standing member of the following organizations:

• Environmental Advisor, Turkish Chemical Manufacturers Association• Environmental Coordinator, Turkish Miners Association• Vice-Chairman, Env. Affairs Committee, Istanbul Chamber of Industry• ABET Accreditation Advisory Panel Member of ITU Faculty of Mines• MUDEK Accreditation Evaluator of Engineering Programs in Turkey• Vice-President of the Balkan Environmental Association (B.EN.A.)

e-mail : caner.zanbak@tksd.org.tr , czanbak@tnn.net