Scania annual report 2004

ENVIRONMENTAL ECONOMICS
Efforts to improve conservation of resources and reduce emissions and discharges
are cost-effective and benefit the environment. Every year, Scania
follows up its raw material and chemical consumption use, as well as energy
and water use, measured against Group-wide environmental targets.
Environment and economics
During 2004, Scania’s costs for raw materials,
chemicals, energy and water totalled
about SEK 2,048 m., equivalent to 3.6
percent of Scania’s sales.
Emissions of carbon dioxide from
Scania’s production plants totalled 74,000
tonnes. In relation to Scania’s sales, this
represented 1.3 g/SEK. Emissions per
vehicle produced declined compared to
the year before. Efforts to reduce climateaffecting
emissions occur with the support
of Scania’s position on the climate issue.
This position and a detailed account of
environmental performance in the production
organisation can be found on Scania’s
website, www.scania.com.
Environmental investments
The conventional definition of an environmental
investment is an investment carried
out only for environmental reasons and
aimed at reducing external environmental
impact. This definition follows, among
other things, the European Commission’s
recommendations on voluntary environmental
reporting.
An investment is usually motivated by
several different reasons, of which environmental
impact may be one. Scania prefers
to take the environment directly into
account when making investments, instead
of subsequently working with filters
and separate purification units.
With the investment strategy that
Scania has chosen, the effect in terms of
environmental improvement per krona of
spending is good. This means that Scania
does not regard large environmental investments
according to the conventional
definition as goals in themselves. During
2004, Scania’s investments in production
facilities totalled SEK 2,372 m. Of this,
SEK 14.4 m. was classified as environmental
investments.
Soil inventories and clean-up
Orientation studies and risk assessments
of soil and groundwater contamination
have been completed at all production
facilities.
In Meppel, the Netherlands, most
groundwater pollution that has been detected
has been cleaned up. The task is
expected to continue for at least another
year. In Falun, Sweden, 30 tonnes of soil
were removed and decontaminated due to
an emulsion leakage. Preventive measures
were also undertaken. In Slupsk, Poland,
200 tonnes of oil-polluted soil were removed
and decontaminated; this task is
continuing.
Environmental risk management
Scania’s risk management focuses on
preventive measures to protect employees
and the company’s overall assets. Procedures
for managing the risks of environmental
hazards are integrated in the company’s
other risk management work.
Operating permits
The operations at Scania’s production
facilities around the world have permits
that comply with national legislation. The
environmental impact from these facilities
consists mainly of emissions to air, discharges
to water, waste products and
noise. In addition to legal requirements
and the conditions included in the permits,
there are also internal requirements and
rules for these operations.
Production volume at the Falun, Sweden
plant is within the framework of the
existing permit. The authorities are examining
an application for expanded operations
and are expected to complete this
task during 2005.
Since 2004, operations in Katrineholm,
Sweden, have no longer required a permit,
since they have mainly been moved elsewhere.
After soil inventories that showed
no significant disruptions, the property
was sold.
Scania has applied for a permit for the
new paintshop in Meppel, the Netherlands,
which is scheduled to go into service
in 2007/2008.
The Scania production unit in São
Paulo, Brazil is in the process of renewing
its permit. The new permit is expected to
be ready in 2005.
During 2004 there were no violations
of the existing permit conditions. No incidents
occurred that caused significant
environmental impact or led to major
clean-up expenses.
Environmentally related costs as a
proportion of Scania’s sales
Transport services, SEK 1,660 m.
Raw material, SEK 1,690 m.
Energy, SEK 207 m.
Chemicals, SEK 144 m.
Water, SEK 7 m.
Achieving environmental targets
in production
Most of Scania’s environmental performance
targets for its production units were
set for 2004. The efforts of the past five years
have yielded good results, even though
the targets have not been entirely fulfilled.
As Scania’s environmental work has
reached a greater degree of maturity, it has
proved increasingly difficult to improve conservation
of resources and reduce emissions
and discharges. Continuous improvements
are an important part of environmental
work. Meanwhile, it is in conjunction
with new investments and renovations
that major improvements are achieved.
Future efforts will focus more clearly on
individual issues. This will allow resources
to be localised where they can be expected
to yield the greatest results. Continued
improvement work will focus primarily on
energy. The target is to reduce energy use
per vehicle, given comparable production
volume and the existing production
structure. This shall be achieved through
continuous improvements and local
energy surveys, followed up by efficiencyimproving
projects.
FACTS ABOUT SCANIA • SCANIA ANNUAL REPORT 2004 44