Safe and Sustainable Chemical Transport Jos Verlinden Director

Safe and Sustainable Chemical Transport Jos Verlinden, Director Transport & Logistics ITC Round table, Geneva 1 March 2011 1

Who is Cefic? European Chemical Industry Council: http: //www. cefic. org/ Cefic is the voice of the European chemical industry based in Brussels Cefic represents 27, 000 chemical companies that produce 29% of the world chemical products and employ over 1. 2 million people Staff & network: 150 staff 4000 industry experts from companies & federations • Horizontal Programmes, Strategy Implementation Groups and Issue Teams • 150 Sector Groups Members 28 national federations in Europe 50 major international companies 450 business company members CEFIC was founded in 1972 2

Responsible Care Voluntary initiative of the global Chemical Industry « Responsible Care is the world-wide chemical industry’s commitment to continuous improvement in all aspects of Health, Safety and Environment performance of its products and processes and to openess in communication about its activities and achievements. » 3 3

Responsible Care Ø 53 National RC Schemes aligned to the ICCA Responsible Care Global Charter Ø Core Principles: 1. Improve the safety, health and environmental performance 2. Use resources efficiently and minimise waste 3. Report openly on achievements and difficulties 4. Engage in dialogue with stakeholders, in particular with the local communities who live and work around our sites 5. Cooperate with regulators and set standards that go beyond regulations 6. Provide help and advice to foster the responsible management of chemicals throughout the value chain 4

RC Partnerships: Transport & Distribution ECTA: European RC Programme for chemical transport companies FECC: European RC Programme for chemical distribution companies Passing Responsible Care on along the chemical supply chain 5

Responsible Care in Chemical Logistics Challenges in managing HSE in chemical logistics • Off-site activity in the public domain with high visibility • Hazardous goods • Outsourced to external service providers • Complex supply chains • Many different parties involved / many interfaces • Little control on external factors • Security threats • Accidents can have a major impact Transport and logistics are activities where chemical companies are very vulnerable 6

Viareggio - 29 June 2009 7 7

Cefic Logistics: Vision, Mission & Objectives Vision Mission The chemical industry is managing its supply chains in such a way that it is at the forefront of logistics development, safety and sustainability, offering a competitive edge in the global environment. Identify and prioritise key logistics opportunities and challenges for the chemical industry, and it develops and steers a strategy and action programme to address these, taking into account legal, political and company boundaries. Main Objectives • Advocate the chemical industries’ position • Develop and promote industry best practices on cost effective, safe, secure and sustainable logistics, supporting the chemical industries’ RC Programme • Develop and manage systems and tools for member companies to improve their safety standards and performance 8

Main Cefic achievements to date Best Practice Guidelines Ø Behaviour Based Safety (BBS) Ø Logistics performance reporting SQAS A world class assessment system for LSP’s: Advocacy Ø Dangerous goods regulations Ø European transport policy Ø Driver shortage Ø 6 SQAS modules Ø Cargo securing Ø Driver waiting times Ø 70 accredited assessors Ø Vehicle weights (44 T) Ø Transport equipment Ø 3, 000 assessments Ø Security of transport Ø 16, 000 consultations Ø Transperanto 9

Cefic Advocacy International Regulations for the Transport of Dangerous Goods It is Cefic’s objective to ensure that the regulations stay in line with best industry practice, avoiding overregulation. Cefic promotes international and intermodal harmonisation of the regulations. 10

SQAS A system to evaluate the quality, safety, security and the environmental performance of Logistic Service Providers and Distributors in a uniform manner by single standardised assessments carried out by independent inspectors Common industry questionnaires Training, accreditation and quality monitoring of assessors Electronic database of assessment reports SQAS Service Group of chemical companies Drives continuous improvement of standards Cost effective: single evaluation instead of individual company assessments 11

SQAS Coverage Cefic (Land / Europe) CDI (Marine / Global) Logistics Chain CDI-M (Ship inspections) CDI-T (Bulk Terminals) Transport Service Tank Cleaning Station Rail Carrier Packed Warehouses CDI-mpc (marine packed Cargo) Ships Shipping Line Container Freight Station Chemical Distributor (ESAD-II) Freight Forwarder Tank Container Operator Port Agency Transfer Terminal (sea) Inland waterways / Barges (EBIS) 12

Number of SQAS assessments 444 450 413 401 400 350 312 295 300 305 243 250 204 201 200 150 131 129 111 91 100 50 165 164 28 0 5 0 0 6 0 22 6 0 5 10 7 17 30 111 96 83 24 11 131 95 66 38 35 6 17 43 9 7 14 2008 2009 2010 0 2001 2002 2003 TRANSPORT 2004 2005 CLEANING 2006 RAIL 2007 WAREHOUSE ESAD 13