assured 2010
Performance Report

Ecology


Bayer places great importance on protecting the environment and using natural resources responsibly. We use our expertise and experience both to develop innovative products that help protect the environment, nature and the climate and to optimize technologies and processes.
Modern technology to generate clean water: Simone Schnell (left) and Jürgen Schiefers from Currenta examine a water sample at the wastewater treatment plant, which was prepared with the help of innovative cascade biology.
The fact that we committed to the Responsible Care™ initiative [ 130 ] of the chemical industry at an early stage underlines our intention to continually improve product lines and production processes. In doing this, we rely on our efficient HSE management systems, which control the implementation of our environmental protection measures. We have reported in detail on the impact that our company’s activities have on the environment for over 30 years. The Bayer Sustainable Development Policy [ 131 ]  also sets out the framework for our environmental action.

Targets

Climate protection (target 2020)

  • Reduce specific greenhouse gas emissions in the Group by 35% (direct and indirect emissions in relation to manufactured sales volume in metric tons) between 2005 and 2020

Process and plant safety (target 2015)

  • Implement the Bayer-wide initiative to increase process and plant safety; dedicated process and plant safety training for 40,000 employees worldwide by the end of 2012

Emissions (target 2015)

  • Reduce other relevant emissions (ozone-depleting substances - 70%, volatile organic compounds - 50%)

Waste (target 2015)

  • Reduce specific hazardous waste from production to 2.5% in relation to manufactured sales volume

Use of materials and energy

In view of rising raw material and energy prices, material and energy efficiency, together with innovation in processes and products, are crucial factors in competition. Bayer applies new strategies throughout the Group to optimize the efficient use of resources, reduce emissions and avoid waste.
Production-specific procurement and production are organized on a decentralized basis in the subgroups in light of the diverse nature of Bayer’s business activities. Detailed information on the use of raw materials, auxiliaries and supplies for the respective subgroup can be found on page 53f. of the Annual Report 2010. If it makes sense from a technical, economic and ecological viewpoint, we favor the use of renewable raw materials [ @132 ] [ 133 ], although this still does not play a major part in terms of our total raw material consumption.
In order to analyze the use of resources such as energy, water and raw materials in its entirety and identify measures to minimize consumption, Bayer has launched another lighthouse project under its Sustainability Program [ 134 ] in the form of the Resource Efficiency Check. This tool enables us to identify possibilities for process-oriented optimization to increase yields and in recycling, the utilization of by-products and wastewater or waste air treatment. The Resource Efficiency Check was performed in pilot projects at Bayer MaterialScience and Bayer CropScience in 2010.
The use of materials and energy and the level of emissions are determined to a great extent by the manufactured sales volume. This is a reference figure which we use to measure the efficiency of energy and resources.
In 2010, Bayer increased the manufactured sales volume by around 20 percent compared with the previous year, partly thanks to the global economic recovery.
14_Energy consumption and manufactured sales volume
20062007200820092010
Absolute energy consumption (petajoules)80.585.382.877.385.7
Manufactured sales volume (million metric tons)10.110.610.08.710.4
The Group’s energy consumption rose by only 10.8 percent year-on-year to 85.7 petajoules. This can be explained to a great extent by better utilization of capacity at the plants. To calculate energy use for the Group as a whole, we record consumption figures at our production sites. Sites used purely for administrative purposes account for only about 1 percent of the Group’s energy use.
The chart indicating energy use at the Bayer Group shows the use of primary energy such as natural gas, coal and other energy sources as the starting point for our own energy generation. Primary energy conversion amounts to 51,632 terajoules. Additional steam from waste heat and procured electricity and steam add up to a total energy volume of 86,305 terajoules. After deduction of refrigeration energy sold to third parties, this results in total energy consumption of 85,710 terajoules (85.7 petajoules) for Bayer in 2010.

Air emissions

We report greenhouse gas emissions in accordance with the Greenhouse Gas Protocol (GHG Protocol [ 135 ]). This involves presenting emissions over prior years in a portfolio-adjusted format in accordance with the financial control approach of the GHG Protocol. Direct emissions increased by about 5 percent year-on-year, compared with an approximately 20 percent increase in production. This disconnection from the production volume was achieved through improvements to technical processes and higher utilization of capacity at the plants.
Our own power plants are responsible for a large proportion of the direct greenhouse gas emissions. As we also supply energy to third parties, a reduction in energy use at Bayer’s production plants does not necessarily lead to a proportional drop in our direct greenhouse gas emissions.

16_Greenhouse gas emissions* (million metric tons of CO2 equivalents)

20062007200820092010Target 2020
Direct greenhouse gas emissions**5.715.595.094.574.80
Indirect greenhouse gas emissions***3.673.713.573.533.70
Total greenhouse gas emissions9.389.308.668.108.50
Specific greenhouse gas emissions
(metric tons of CO2 equivalents per metric ton of product)
0.79**** - 35%

* Portfolio-adjusted in accordance with the GHG Protocol
** In 2010, 82.0 percent of greenhouse gas emissions were CO2 emissions, 17.6 percent were N2O emissions, approx. 0.3 percent were partially fluorinated hydrocarbons and 0.1 percent was methane.
*** Typically, CO2 in incineration processes accounts for over 99 percent of all greenhouse gas emissions. Therefore, when determining indirect emissions, our calculations are limited to CO2.
**** Based on 2005 figures. The presentation of greenhouse gas emissions is portfolio-adjusted, with no portfolio adjustment of production volumes; emissions reported for Currenta attributable to the provision of energy to other companies, and at BMS the by-products sodium hydroxide solution and hydrochloric acid generated during production are not included in the production volume as they will occur in much smaller amounts in the future, thanks to measures aimed at enhancing energy efficiency. Trade products are also not included.

The total of direct and indirect greenhouse gases rose by only 4.9 percent year-on-year in 2010, while the manufactured sales volume grew by around 20 percent.

17_Greenhouse gas emissions for subgroups and service companies 
(total direct and indirect emissions in million metric tons of CO2 equivalents)

20062007200820092010Target 2020*
Bayer MaterialScience5.945.555.064.835.24
Bayer HealthCare0.580.570.560.550.540.53 - 10%
Bayer CropScience1.151.181.201.091.091.03 - 15%
Others**0.020.020.020.020.02
Currenta***1.691.981.821.621.62
Specific greenhouse gas emissions for Bayer MaterialScience
(metric tons of CO2 equivalents per metric ton of product)****
1.141.010.991.090.960.70 - 40%

* Portfolio-adjusted, based on 2005 figures
** Total greenhouse gas emissions for Bayer Technology Services and Bayer Business Services
*** The emissions reported for Currenta are attributable to the provision of energy to other companies at the Chempark sites.
**** The by-products sodium hydroxide solution and hydrochloric acid generated during production are not included in the production volume as they will occur in much smaller amounts in the future, thanks to measures aimed at enhancing energy efficiency. Trade products are also not included. Internal studies at BMS have revealed that in previous years selected polycarbonate materials (so-called compounds) were not included in the calculation, because this would seemingly have led to double counting. On closer inspection this proved to be incorrect. For this reason these materials have been included retrospectively in the annual BMS product volumes calculated.

Bayer MaterialScience was able to cut CO2 equivalents at a nitric acid plant in Caojing, China, by more than 50 percent through the catalytic reduction of the nitrous oxide emissions generated there.

News

Nitrous oxide emissions significantly reduced

Nitrous oxide is particularly harmful to the climate: its impact in terms of global warming is over 300 times that of carbon dioxide. In the Bayer Group, this greenhouse gas is generated in the manufacture of nitric acid, an important chemical raw material. Modernization of facilities at the three production sites is significantly reducing emissions of nitrous oxide. Thanks to a new process, Bayer can reduce nitrous oxide emissions at the Dormagen site by up to 99 percent, thus preventing a further 220,000 metric tons of CO2 equivalents per year – approximately the same amount as emitted by 100,000 cars covering a distance of 15,000 kilometers per year. Through the installation of a secondary catalyst at the Caojing site in China, nitrous oxide emissions could be reduced there by around 50 percent. Nitrous oxide emissions should also be significantly lowered in the nitric acid plant in Baytown, United States, through a secondary catalyst installed in the second half of 2010.
Another example is an innovative, climate-friendly chlorine production process developed by Bayer together with its partners. This process – oxygen depolarized cathode technology based on sodium chloride, a lighthouse project under the Bayer Sustainability Program – will in the future allow energy consumption in chlorine production to be reduced by 30 percent. In 2011, Bayer plans to bring a plant on stream in Germany that will use this process and have an initial capacity of 20,000 metric tons per year. Emissions of CO2 equivalents are expected to decrease by 250,000 metric tons by 2020 as a result of this process.
Currenta is cutting its CO2 emissions as part of its climate program “Energy Efficiency Class A++” – for example achieving reductions of 30,000 metric tons each year through the modernization of the Chempark Dormagen site’s central thermal waste air incineration plant, which was completed in March.

Emissions trading

Bayer is currently involved in emissions trading throughout the E.U. with 11 plants and approximately 2.5 million metric tons of CO2. In the first trading period (2005 -2007), Bayer was able to operate its own power plants under the emission rights allocated, without having to purchase large numbers of additional allowances.
Emissions trading has remained an important issue for Bayer during the second trading period from 2008 to 2012: the allocation rules that are currently in force take into account the environmentally friendly energy generation at our combined heat and power plants. However, the new E.U. emissions trading directive stipulates that from 2013 the industry will also have to purchase allowances for electricity generation. For chemical plants, the allocation of allowances will be based on stringent benchmarks. Although the burden is set to be reduced significantly through the regulations planned by the European Commission for so-called at-risk sectors, we must expect further cost increases from 2013.

Further emissions

Emissions of ozone-depleting substances (ODS emissions) increased by around 19 percent to 20.8 metric tons in 2010. For the first time in many years we were unable in 2010 to achieve our target of keeping volumes of ozone-depleting substances to below 20.0 metric tons. Two individual incidents at two major production sites were mainly responsible for this. A temporary leak in the cooling circulation system at the Bayer MaterialScience site in Baytown, United States, led to the liberation of cooling gases with ODS potential. And at the Bayer CropScience site in Dormagen, Germany, ozone-damaging substances were emitted into the atmosphere also owing to a temporary leak. However, 73 percent of our total ODS emissions occur at the Bayer CropScience site in Vapi, India. Through the optimization of processes and additional technical measures in waste air treatment, we aim to reduce our ODS emissions there in particular in the future. In our new program of targets we have declared it our goal to reduce ODS emissions by 70 percent through 2015.
18_Emissions of ozone-depleting substances* 
20062007200820092010Target 2010Target 2015**
ODS in metric tons p.a.13.114.717.117.520.820.06.2 - 70%

* In CFC-11 equivalents
** Target to be achieved by 2015 based on 2010 figures

The volume of volatile organic compounds (VOC) fell by about 2 percent compared with the previous year. Over 70 percent of the Group’s VOC emissions are generated at the Bayer CropScience site in Vapi, India. A project for the construction of waste air treatment plants is in the planning phase. By 2015, we hope to significantly reduce VOC emissions with this measure. The BCS production plant in Roussillon, France, recorded a significant reduction thanks to the installation of a new waste air incineration plant. Production processes were changed at the Bayer HealthCare site in Orizaba, Mexico, which led to a 38 percent reduction in VOC emissions at the site. The specific VOC emissions for the Group as a whole were reduced to 0.2436 kg per metric ton of sales product. We have thus met the objective set in the 2006+ program [ 136 ].
19_VOC emissions
20062007200820092010Target 2010Target 2015*
VOC in 1,000 metric tons p.a.2.862.873.162.592.54
VOC in kg per metric ton of sales product0.28320.27080.31600.29790.2436
0.25
0.1218 -50%

* Target to be achieved by 2015 based on 2010 figures

Compared to the previous year, other important emissions such as carbon monoxide and sulfur oxides fell slightly in 2010, namely by 77 and 855 metric tons respectively, despite an increase in production volumes. We saw a rise in the volume of nitrogen oxides, caused by increased production activities at our major production sites. The volume of particulate matter in 2010 was around 203 metric tons worldwide, 17 metric tons less than in the previous year (220 metric tons).
20_Other important air emissions (1,000 metric tons p.a.)
20062007200820092010
CO2.22.01.71.41.4
NOx4.04.03.93.53.7
SOx3.83.63.22.82.7
Particulates0.20.20.20.20.2

Use of water and emissions into water

Water is essential for sustaining life. By developing and supporting solutions for the efficient and economical use of water, Bayer is helping to conserve this important resource. This applies both to the company’s own production activities and to the development of products, for example for agriculture (Focus Issue Nutrition).

Responsible water usage

Since the end of 2008, Bayer has supported the CEO Water Mandate [ @137 ], an initiative of the UN Global Compact. A list of examples of efficient use of water attests to our systematic commitment to sustainable water usage in the 2010 reporting year. In addition, we took part in the Water Disclosure Project [ 138 ] carried out for the first time in 2010 by the Carbon Disclosure Project. 137 institutional investors asked 302 of the world’s biggest companies to disclose details of their water management along with opportunities and risks identified in connection with the use of water.
All three Bayer subgroups have implemented systems and standards that meet their specific challenges with regard to water usage. In its Water Protection Directive, Bayer HealthCare commits itself to using water responsibly. Bayer CropScience has also committed itself to conserving water and to sustainable use, while Bayer MaterialScience regulates, among other aspects, the efficient use of water in its HSEQ policy.

Water consumption

Consumption of water rose year-on-year by 16.5 percent. In relation to the growth in production volume of around 20 percent, specific water consumption has fallen slightly, however. The absolute rise is largely due to an increase in the volume of once-through cooling water owing to increased production at the BMS sites in Brunsbüttel and Leverkusen (both Germany) and Antwerp, Belgium. In addition, a temporary leak in the cooling water system at the BCS site in Institute, United States, had an impact on the rise in the volume of water used.

Usage of water

85 percent of the water used by Bayer is cooling water (this figure includes losses due to evaporation). This water is only heated and does not come into contact with products. It is therefore possible to return this water to the water cycle without any further treatment in accordance with the official permit specifications. In our production activities, we aim to use water several times and to recycle it. Water is already recycled and reused at 35 sites, e.g. in closed cooling cycles, through the reuse of treated wastewater or the recirculation of steam condensates as process water. A total of 14 million cubic meters of water were reused in the year under review.
22_Net water intake by source
20062007200820092010
Water consumption (million m² per year)442447439407474
– Proportion from surface water (percent)5357585871
– Proportion from boreholes/springs (percent)3532323225
– Proportion from public drinking water supplies (percent)22113
– Proportion from other sources, generally rainwater (percent)99991*

* Through optimized accounting of water use, water consumption from other sources for 2010 was assigned to the actual sources in most cases.

Discharge of water

Following an increase in the volume of wastewater in the previous year, this was reduced by approximately 9 percent in the period under review. Of the 69 million cubic meters generated, 54 million were treated as wastewater in wastewater treatment plants. We were thus able for the Group as a whole to increase the proportion of wastewater purified in a wastewater treatment plant from 67 percent in the previous year to over 78 percent. Wastewater that is not treated is also subject to strict monitoring and assessment before it is discharged into disposal channels.
23_Volume of wastewater
20062007200820092010
Volume of wastewater in million m³7880687669
24_Emissions into water (absolute)
20062007200820092010Target 2010
Phosphorus (1,000 metric tons p.a.)0.810.990.780.740.09
Nitrogen (1,000 metric tons p.a.)0.730.680.670.640.49
Nitrogen (kg per metric ton of sales product)0.07230.06420.06690.07370.0474
0.0536
TOC* (1,000 metric tons p.a. of organically bound carbon)1.491.771.591.351.42
TOC (kg per metric ton of sales product)0.1470.1670.1590.1550.136
0.138
Heavy metals (metric tons p.a.)8.08.910.49.011.4
Inorganic salts (1,000 metric tons p.a.)843825812726866
COD** – chemical oxygen demand
(1,000 metric tons p.a.)
4.475.314.774.054.26

* Total organic carbon
** Calculated value based on TOC figures (TOC x 3 = COD)

Emissions into water

Bayer aims to keep its emissions into water as low as possible. Through process optimization in the production of Makrolon™ in Baytown, United States, we were able to completely avoid phosphorus emissions in the form of phosphate in 2010. This equates to a reduction of 88 percent across the Group. At the site in Berkeley, United States, the closure of one area of production significantly reduced the volume of phosphoric acid required there for the neutralization of wastewater.
Nitrogen emissions fell by around 23 percent year-on-year. Given the increase in the volume of sales product produced, the specific nitrogen volume improved to 0.0474 kg per metric ton of the volume of sales product produced, which was well below the target for 2010 of 0.0536 kg per metric ton. A considerable volume of nitrogen is released in the production of an insecticide at the site in Institute, United States. As these production activities were suspended for six months, there was a corresponding drop in volumes in 2010. The figure for the Leverkusen site was reduced as the method for determining the nitrogen preload of the volume of water used was improved. The figures for emissions of total organic carbon (TOC) rose year-on-year by around 5.2 percent in the period under review. Owing to the increase in the volume of sales product produced, the specific volume of TOC dropped to 0.136 kg per metric ton of sales product. The objective for 2010 has thus been met in full. The reason for the increase in TOC is the growth in production at the BMS sites in Dormagen, Germany; Caojing, China; and New Martinsville, United States. However, factors that were not linked to the economy, such as structural demolition work at individual sites, also had an impact on the increased figure for TOC.

Dialogue

Bayer supports Pittsburgh at the UN Environment Day

Neben Greg Babe, CEO Bayer Corporation, nahmen Elisabeth Guilbaud-Cox, Deputy Director, UNEP North America, Dan Onorato, Chief Executive, Allegheny County und Luke Ravenstahl, Mayor of Pittsburgh (v. l.) am UN-Weltumwelttag teil.Zoom image
Neben Greg Babe, CEO Bayer Corporation, nahmen Elisabeth Guilbaud-Cox, Deputy Director, UNEP North America, Dan Onorato, Chief Executive, Allegheny County und Luke Ravenstahl, Mayor of Pittsburgh (v. l.) am UN-Weltumwelttag teil.
On the basis of its longstanding global partnership with the United Nations Environment Programme (UNEP), Bayer supported the city of Pittsburgh in its successful organization of the World Environment Day in North America in June 2010. The Group was involved in the planning and coordination of the individual events to which politicians, environmental experts, top managers, organizations and citizens from all over the world were invited. “Pittsburgh really does demonstrate what cities around the world can do and how important it is in our own backyard to take steps to make the environment and where you live into a place that’s healthy,” said Amy Fraenkel from UNEP. UNEP also praised Bayer’s support and willingness to assume corporate social responsibility, citing it as proof that the collaboration between the two organizations can move the environmental agenda forward.
Heavy metal emissions rose to 11.4 metric tons compared with the previous year. This increase is mainly due to the growth in production at the BMS sites in Brunsbüttel and Leverkusen, Germany. We also developed our monitoring and reporting, so that it is now also possible to record heavy metal levels in the central wastewater treatment plant at the Krefeld-Uerdingen site and heavy metal levels in wastewater that does not have to be treated. Work on components containing zinc led to additional zinc emissions in the wastewater discharged at the Brunsbüttel site.
The increase of 19.3 percent in emissions of inorganic salts was primarily due to increasing production activities, particularly at the BMS site in Caojing, China.
One specific example of our wastewater management is the modernization of the treatment plant in Leverkusen-Bürrig by our service company Currenta. Following a six-year period of modernization, the €18 million project was completed on schedule in mid-November 2010. The communal wastewater treatment plant is now one of the most modern industrial treatment plants in Germany. The breakdown of nitrogen in the wastewater is improved by more than 40 percent and more efficient wastewater treatment is possible.

Waste and recycling

In order to minimize the consumption of materials and the volume of waste, Bayer attempts to reuse materials or to transfer them to other processes where this is technically feasible and makes good economic sense, in addition to reducing waste.

Waste generation and disposal

The total volume of waste generated fell by around 12 percent in 2010. Less demolition work and the completion of renovation projects meant that the volume of hazardous construction waste was substantially reduced in 2010, which is reflected in the reduction in the generation of hazardous waste. In contrast, the volume of hazardous waste from production, which represents a portion of the hazardous waste generated, increased as a result of growth in production activities.
25_Waste generated*
20062007200820092010Target
2010
Target 2015
Total waste generated (1,000 metric tons p.a.)6499281,077914807
– Hazardous waste generated** (1,000 metric tons p.a.)336342365375354
– of which hazardous waste from production
(1,000 metric tons p.a.)
234275305302325
Specific volume of hazardous production waste
(percent)
2.322.593.053.473.122.52.5

* Only waste generated by Bayer
** Definition of hazardous waste in accordance with the local laws in each instance

However, the specific volume of hazardous waste from production fell significantly. Nevertheless, we were unable to meet our Group target of a specific value of 2.5 percent of waste per metric ton of sales product. Since 2007 it has not been possible to achieve this specific value. With the acquisition of Schering, Bayer HealthCare Pharmaceuticals, at that time, active ingredient production expanded considerably. This generates volumes of waste that are relatively high in relation to the production volume. We have included this reduction target in our new Targets 2015 program.
The total volume of waste disposed of fell further in 2010. This also applies to the volume of waste removed to landfill. Within the various means of disposal, there was a further shift towards the incineration and recycling of waste, in line with the previous year’s trend.
26_Waste disposed of according to means of disposal
20062007200820092010
Total volume of waste disposed of*
(1,000 metric tons p.a.)
6549311,061918809
– Proportion removed to landfill (percent)4448454032
– Proportion incinerated (percent)3226242836
– Proportion recycled (percent)2223283131
Waste that cannot definitively be categorized according to one of the above disposal methods (percent)33311

* Bayer serves as a certified waste disposal plant operator at various sites. At these locations, Bayer disposes not only of its own waste but also of waste from third parties (companies not belonging to the Bayer Group). There is therefore a somewhat larger amount of waste disposed of than Bayer has generated itself.

The proportion of hazardous and non-hazardous waste removed to landfill dropped to 32 percent in 2010.
27_Hazardous waste* disposed of according to means of disposal
20062007200820092010
Total volume of hazardous waste disposed of
(1,000 metric tons p.a.)
336342365375354
– Volume landfilled (1,000 metric tons p.a.)134101818956
– Volume incinerated/recycled (1,000 metric tons p.a.)202241284286298

* Only waste generated by Bayer

Recycling at Bayer

Throughout the Group, we encourage extensive recycling. However, this is not possible for a large proportion of our end products, owing to legal requirements, particularly for pharmaceuticals and crop protection agents. In the year under review, we continued to look for new opportunities for recycling, within the framework of legal regulations.
Bayer MaterialScience (BMS) also collaborates with other industry representatives to develop recycling solutions, taking on the role of mediator between customers and specialist recycling companies. The system for taking back transportation bags from customers in Thailand has been improved: after use, the bags are cleaned of the chemicals that have been transported in them in a special process and are then reused. In this way, 77,123 new transportation bags have been saved since 2007. The Global Sideline Business Department at BMS is working to recycle a range of facilities and tools that are no longer needed but that are still in working order, instead of disposing of them. BMS has sold a total of 66 tangible assets, such as polyurethane dosing systems, to third parties worldwide. In addition, 7,156 metric tons of scrap metal have been returned to the system. A further example of eco-efficiency is a new technology for coloring synthetic resin granules, which BMS uses as a raw material in the manufacture of plastic products. This makes it possible to reduce the amount of waste granules generated by up to a quarter.
Currenta has applied for a patent for a new pretreatment process for electronic scrap. The special thermal pretreatment system allows up to 99 percent of precious metals such as gold, silver and copper to be recovered from old computer circuit boards or mobile phones.

Protection of biodiversity

The United Nations declared 2010 to be the Year of Biodiversity. Bayer is explicitly committed to the goals of the Convention on Biological Diversity (CBD) [ 139 ], which was adopted as an international standard at the UN Earth Summit in Rio de Janeiro in 1992.
For Bayer CropScience, protecting biodiversity and conserving natural ecosystems form the basis for sustainable agriculture. Bayer CropScience’s strategy encompasses research and development activities, solutions for improving plant health, assistance in tackling invasive species and measures to promote integrated crop management. Our own position on biodiversity [ 140 ] governs our obligation to maintain and increase the diversity of species [ @141 ]. We have published details of the biodiversity projects of Bayer CropScience and other specific examples of our commitment to the protection of species [ @141 ] on the Internet.
As a member of the German Association of Research-Based Pharmaceutical Companies (VFA) [ 142 ], Bayer HealthCare also supports the Association’s position on the UN Convention on Biological Diversity. In its search for potential active ingredients, Bayer HealthCare concentrates on the chemical synthesis of substances using state-of-the-art technologies in medicinal, combinatorial and computational chemistry. All work that could enable global access to natural substance sources is scrupulously reviewed in advance by Bayer in accordance with the Rio Convention. Bayer HealthCare is not specifically working on research into drug products derived from natural substances at present. While the drug we market as Glucobay is obtained from the soil bacterium Actinoplanes by a biotechnological process, it is not considered a scarce natural substance, as it is present universally in the soil.
By comparing our global Site Register with nature reserves of international relevance (Asean Heritage, Barcelona Convention, UNESCO-MAB Biosphere Reserve, Wetlands of International Importance – Ramsar List and World Heritage Convention), we have ascertained that none of our production sites are adjacent to a nature reserve. Through an internal approval procedure, we also exclude the possibility that new production sites are set up in areas that are protected by statutory requirements of the countries concerned with respect to natural characteristics, biodiversity or similar factors. In every case, the stipulated minimum distances to protected areas are complied with. In order to limit the total area of land use at our production sites, we are committed to land recycling, for example by renaturizing unused sites in the Chempark locations.

Management systems for the implementation of our HSEQ targets

Bayer’s objective is to achieve an appropriate and uniform standard of HSEQ (health, safety, environmental protection and quality) throughout the Bayer Group and to steadily improve it. To meet this goal, the company has established HSEQ management systems in all subgroups and service companies that are based on recognized international standards and are regularly reviewed and updated. In 2010, more than 90 percent of all Bayer production sites had an internal HSE management system, i.e. one that is audited by Bayer.
The boards of management/executive boards of the respective subgroups and service companies and the corresponding line organizations bear operational responsibility for HSEQ. Through continuous updating and development of HSEQ directives and through internal audits, each organizational unit ensures that its HSEQ management systems meet the specific requirements. The Bayer Group also regularly conducts internal observer audits at the subgroups.

International standards and certifications

In the year under review, we amended the audit of the extent to which our business activities are covered by HSE management systems and adjusted the presentation of results to the customary convention in the industry. We will no longer present the coverage purely in relation to the number of externally certified sites, but will instead use the scope of our activities as a reference figure, which is essentially reflected in the production volume and energy consumption.
According to this, over 60 percent of our activities (in terms of production volumes and/or energy consumption) takes place at sites that are certified or validated externally in accordance with internationally recognized regulations, such as the environmental management standard ISO 14001, the European environmental management regulation EMAS or the occupational safety standard OHSAS 18001. As part of our adopted certification concept, we are planning to increase our coverage with internationally certified HSE management systems to over 80 percent in the next few years.
28_Certifications 
Certifications to internationally recognized regulations and internal Bayer audits 2010Certified to ISO 14001 / Validated to EMAS standardsHSE management systems based on other external standards*Certified to OHSAS 18001Bayer-audited HSE management systems
Percentage of our operations (with respect to production volume and/or energy consumption) at certified or validated Bayer sites 6238992

* RCMS (Responsible Care Management System) in the United States or Industria Limpia (clean industry) in Mexico

All subgroups and service companies have industry-specific international quality management systems such as to ISO 9001 or GMP (Good Manufacturing Practice). The subgroups have additional systems and standards that address product-specific requirements. More information on certifications [ 143 ] can be found on the Internet.

Initiative for plant and process safety

In 2010, Bayer launched a Group-wide process and plant safety initiative to sharpen the focus of our commitment to safety. The aim of the measures is to develop the culture of safety and safety standards at the plants and in the laboratories and to drive forward the status of safety technology.
The most important principles and related organizational structures were set forth in the Group Directive on Process and Plant Safety. Adjustments to the organization were made in 2010 and the first measures, including special training programs, were implemented. By 2012, around 40,000 employees worldwide are to receive targeted training in process and plant safety. The first Process and Plant Safety Symposium was held in October 2010 and was attended by 100 Bayer experts from 14 countries. The idea was to promote collaboration across all subgroups and countries in process and plant safety.

Environmental incidents and transport accidents

Unfortunately, even our extensive safety precautions and training procedures cannot entirely prevent environmental or transport incidents from occurring. In accordance with our internal voluntary commitment, we report any leakage of substances with a high hazard potential from a quantity of 100 kilograms. For reasons of clarity, we have consolidated the classification system of “Level 1” and “Level 2” incidents that we used in previous years into a joint category. The minimum trigger level for reporting obligations has been maintained.
Bayer uses the term “environmental incidents” to cover incidents at plants operated by Bayer resulting in the release of substances into the environment. Factors that influence reporting obligations include, in particular, the quantity and nature of the substance, the amount of damage caused and any consequences for residents. Under “transport accidents,” we record incidents involving our own chemical transport services and those commissioned and paid for by us, in accordance with stipulated criteria. These include leakage of the load, graded according to the volume and dangerous goods class, personal injury and blocked transport routes.

News

New Bayer Safety Council boosts safety

The Bayer Safety Council set up by the Bayer Board of Management has met for the first time. “The purpose of the new council is to further boost the high safety standard at our company,” said Bayer CEO Dr. Marijn Dekkers, who was a guest at the first meeting. The council is made up of representatives from the subgroups and service companies on the Community Board for Technology, Innovation and Environment under the chairmanship of Dr. Wolfgang Plischke, the member of the Bayer Board of Management responsible for Innovation, Technology and Environment. Key topics addressed by the Safety Council include occupational safety, process and plant safety, and transport safety. “Safety is the top priority at Bayer,” said Plischke. He explained that the Group has achieved significant improvements in occupational safety over the past five years and has exceeded the targets it set itself. Plischke also revealed that Bayer had set even more ambitious targets for the entire Group for the period to 2015 and was launching a new project to further improve the already excellent level of transport safety.
The initiatives and programs introduced have proved justified and will be continued with renewed vigor. The focal points for 2011 are process and plant safety and the first Group-wide Bayer Global Safety Day, which will take place on September 13.
In 2010, we recorded seven environmental incidents that were reportable in accordance with Group specifications and eight transport accidents. One incident was assigned to both categories in accordance with our criteria. All incidents were analyzed and appropriate measures initiated.
29_Environmental incidents  (number p.a.)
20062007200820092010
839137
30_Transport accidents according to means of transport  (number p.a.)
20062007200820092010
Road69886
Rail31121
Inland waterways00001
Sea00100
Air00000
Pipeline00000
Total91010108
We have also listed and commented on other incidents that were observed and reported by stakeholders [ @145 ] on the Internet.
Table 30 shows the development of figures for transport accidents, broken down according to means of transport. In total, around one million transport movements took place in 2010.
Safety is the utmost priority for us. That also applies to the transport of goods, particularly in the case of hazardous materials. This includes safety issues [ @144 ] along the entire value chain, from the selection of transport systems and logistics service providers to loading, the actual transport [ 144 ] and unloading. Details are set out in a directive on transport safety. Individual examples of how subgroups use their initiatives to tackle specific safety issues in a targeted way have been compiled on the Internet.
Environmental incidents and transport accidents in 2010
Personal injuries
Environmental incidents in 2010
Currenta, Leverkusen, Germany, January 7, 2010:
In the storage area, a large number of containers caught fire over an area of approx. 300 m².
Very large volume of smoke produced.
no
Bayer MaterialScience, Dormagen, Germany, August 30, 2010:
Brief release of vapors containing phosgene triggered an ammonia vapor wall for safety reasons.
Approximately 700 kg of ammonia was released.
no
Bayer CropScience, Institute, United States, October 12, 2010:
Hydrochloric acid vapors escaped during cleaning work on a tank.
Approximately 1.3 metric tons of the gas was released into the atmosphere.
no
Bayer CropScience, Institute, United States, October 20, 2010:
Wastewater from treatment (5.5 metric tons of a process wastewater solution containing 20 percent sodium hydroxide solution) with a high pH from the manufacture of crop protection agents was accidentally discharged into the cooling water system during cleaning work on a tank and from there entered the Kanawha River.
no
Bayer MaterialScience, Baytown, United States, November 8, 2010 :
TDA leak from a discharge port on a goods wagon.
A large quantity of toluene diamine leaked out, which was disposed of correctly. 5 kg of the substance entered the soil.
no
Bayer HealthCare, La Trinidad, Venezuela, November 22, 2010:
An electrical short circuit caused materials stored in a basement to ignite. Fire with smoke.
no
Environmental incidents in 2010 that were also transport accidents
Bayer CropScience, Kansas City, United States, June 7, 2010:
Traffic accident during transportation of dangerous goods by a carrier commissioned by Bayer.
The freight (2,000 kg of flubendiamide) was destroyed by the fire that followed.
no
Transport accidents in 2010
Bayer MaterialScience, Pickering, Canada, March 30, 2010:
Derailment of a rail tank truck loaded with a BMS product (MDI). No personal injuries or environmental damage resulted.
no
Bayer MaterialScience, Brunsbüttel, Germany, June 23, 2010:
Traffic accident during transportation of dangerous goods by a carrier commissioned by Bayer.
No damage or leakage of product.
no
Bayer CropScience, Rome, Italy, July 20, 2010:
A passenger car caused a traffic accident involving a heavy goods vehicle commissioned by Bayer, which resulted in the death of the driver of the car. No leakage of product.
yes
Bayer MaterialScience, Leverkusen, Germany, August 20, 2010:
The driver of a dangerous goods vehicle suffered a heart attack and survived. The collision caused one injury and a small amount of resin solution leaked out.
yes
Bayer MaterialScience, Kaohsiung, Taiwan, August 27, 2010:
Leak during transportation of a container with discharge of 420 kg of a polyalcohol.
no
Bayer MaterialScience, Brunsbüttel, Germany, September 29, 2010:
Gradual discharge of a total of around 600 kg of sulfuric acid at a ship loading/unloading station over a long period.
Cause: a leak in the pipework.
no
Bayer MaterialScience, Durban, South Africa, November 17, 2010:
A passenger car collided with a dangerous goods vehicle. No leakage of product.
no
Last updated: May 17, 2011

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