Contribute to company efficiency and financial performance

202 US$m saved in 2006

 

Environmental costs versus savings | EN5 | STEV8 | STEV35 | STEV58 |						US$m
	2001	2002	2003	2004	2005	2006
Total costs	30	32	35	35	34	35
Energy saving	26	48	69	91	107	129
Water saving	7	11	15	19	22	26
Chemicals saving	21	35	48	64	74	82
Total	54	94	132	174	203	237
Balance (cost saving)	24	62	97	139	179	202
We found a discrepancy in our table last year; we have modified it this year to disclose the relevant data
The method used to create this table 1) we set a baseline using the 1994 model with the assumption that there are no installation enhancements 2) this baseline is projected each year (in relation to the quantities produced) 3) each year, the actual value is compared to this projection 4) the result shows the theoretical benefits due to the installation improvements concerning the savings for energy, water and the use of chemicals.

 

Environmental investments | EN30 | STEV6 |
% of total company investments
Environmental investments: In 2006, our overall capital expenditures have been kept under very strict control, in order to improve our Return On Capital Employed. The projects related to Environment have been reduced or delayed accordingly.

Concrete examples of programs for environmental savings

These 3 key programs -savings in energy, water and chemical- have allowed ST to save a total of 700 US$m in 6 years and over 1 US$B since we launched our environmental initiative. Once identified and recognized by qualified experts, the best environmental practices are deployed in the manufacturing plants.

Eco-efficiency programs have a return on investment within less than 3 years.

During ST’s annual worldwide EHS meeting, each site is requested to present to the whole EHS community its best programs. Some of the environmental programs that were awarded in 2006 are listed below:

Rousset (France) – Rousset 8” Fab ecological design

The 8” manufacturing site has been designed to reach the lowest ecological eco-footprint (today at 0.87). All emissions are treated with state of the art abatement systems (VOC, PFC, dedicated acid and ammonia scrubbers, Point of Use abatement systems for toxics). The industrial waste water treatment plant is designed to abate all potential contaminants at the lowest achievable level (copper, fluoride, phosphorus, ammonium, nitrates, etc.). Energy saving techniques have been systematically selected (mini-environment concept, heat recovery systems on chillers, variable speed drive devices on all motors, etc.).

Ang Mo Kio (Singapore) – Epitaxy scrubbers’ water reclaim system

A new membrane HERO (severse osmosis) system has been developed for saving water and reduces the wastewater discharge flow of AMK5 Epitaxy scrubbers. The system has allowed the site to save 298,000m3 of water, equivalent to a cost saving of 400 US$k.

Catania (Italy) – Fluoride abatement

The site has improved its Fluoride abatement system in order to reach a 6 ppm threshold limit. The new system consists of auto-cleaning filters, fluoride abatement by activated alumina and regeneration by sodium hydroxide.

Kirkop (Malta) – Radiator installation

A radiator (air cooling heat exchanger) was installed to reduce water consumption, chemical and other operating costs on cooling towers. The project’s key benefits are:

• Water recycling ratio reached 80%
• Main water savings: 12,500 US$ per year
• Reduction in electrical power consumption
• Higher efficiency with increase of heat load
• Saving in the use of anti-corrosion chemicals and biocides for cooling towers
• Radiator has very low need for maintenance and repairs

Toa Payoh (Singapore) – Solar powered hydrophonics

‘Hydrophonics’ is the cultivation of plants on clean water supplied with balanced plant nutrients otherwise normally extracted from soil. Basically, the system eliminates soil polluting pesticide chemicals, eliminates polluting farm machineries, conserves naturally occurring soil fertilizers and nutrients and saves 95% of water used to produce equal weight of crops in soil-planted crops. The Toa Payoh ‘hydrophonics’ system produces 500 kg of spinach a year, all donated to charity (e.g. Singapore Red Cross).

Muar (Malaysia) – Use of electrical vacuum

In line with our energy reduction program, Muar set up 4 units of vacuum pumps to replace the compressed air operated vacuums. The project cost of 110 US$k had a payback of 16 months.

Shenzhen (China) – Power use reduction

A project was developed in Shenzhen to reduce power consumption in compressed air. New heat-of-compression type desiccant dryers have replaced former mechanical dryers with a saving equivalent to
2,400 MWh/year.

Ain Sebaa (Morocco) – Compressed air production and use reduction

A complete survey was performed to rationalize the use of compressed air on the site. Different measures were implemented and have generated a 7.5% energy saving and an associate cost reduction of
130 US$k per year.