The Environment

Nammo has a direct impact on the environment through its production and testing of ordnance products and services, consumption of paper and energy, waste management, procurement and use of transport. All main Nammo sites are certified in accordance with ISO 14001, or they are operated in compliance with similar environmental standards.

The Health, Environment, Safety and Security (HESS) Manager has a clearly defined role and responsibility for preparing and revising policies and instructions, reporting, improving and exchanging experiences. Site managers are responsible for designing and operating HESS policies and procedures at their sites. This includes risk assessments, emergency plans, improvement plans and ensuring that employees have adequate competence and training to perform their job. The site manager is required to immediately report any serious accidents to the HESS Manager and the CEO.

The Nammo HESS directive is the main tool for defining our standards for health, environment, safety and security. The directive shall ensure that the Group’s performance and strategic decisions are in compliance with regulatory requirements, and that neither Nammo employees nor any third party is exposed to unacceptable hazards as a result of activities.

Preventive actions and environmental standards are on the agenda during every audit. The HESS directive requires all sites to update improvement plans and report any non-conformities. All European Nammo sites must comply with the REACH regulations. This means that they must all adhere to the regulations’ requirements and prepare to change any chemicals that are to be phased out. In parallel with this effort, we continuously seek more environmentally friendly solutions in our daily operations.

Nammo operates in the explosives industry and handles energetic materials. Conditions relating to health, environment, safety and security must always have high priority for Nammo’s employees and are constantly on the management agenda. The Group’s policy is evaluated annually. All accidents or near-accidents involving employees are reported and preventive actions are taken. Monthly reports are sent to all sites.

Audits

16 health, environment, safety and security audits were conducted at the sites in 2017. These audits are an annual procedure performed by the HESS Director in the Nammo Group. All sites individually set their annual HESS targets and implement an improvement plan. Newly acquired companies have been prioritized regarding audits to make sure that the HESS level is in conformity with Nammo’s high standard. The HESS audits have been postponed at some off the sites this year but will be on the plan earlier in 2018. Every year there is a selected focus area connected with the HESS audits and in 2017, this was risk analyses relating to operational activities. In general, there is a high HESS standard in Nammo and the findings from the audits were – with a few exceptions – minor.

Security

In 2017, several sites improved general security according to national evaluations of threat in the area. As such, these sites now have a better overview and safer access control. 

The HESS Award for 2016 was announced and celebrated at the Nammo Forum in August 2017. The winner was Nammo Pocal in Pennsylvania, USA, in the Large Caliber Ammunition business unit.

Nammo’s health, environment, safety and security award is presented to one department or site that has contributed positively with great improvements, worked systematically on internal training and proven a high level of reporting with follow-up actions. The objective of the award is to motivate and inspire the employees to create innovative solutions to constantly improve our work within health, environment, safety and security.

The jury commented: "The winner has shown extraordinary courage and perseverance and worked extremely hard. In 2016, Pocal built a brand-new 20 000 ft2 warehouse to provide safer storage. With the growth of the company, the need to tighten security prompted Pocal to implement an access control system to control the safety of both employees and products.

Significant improvements have further been made inside the facility, ranging from a Safety Shoe Program to the development of a new semi-automated production line increasing productivity. Different lift-assisting devices at both Moscow and Scranton locations have reduced the risk of injuries for employees in relation to the previous manual and labor-intensive work."

 

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Nammo Pocal represented by Gary Goodwin, Derek Heppding, Tina Bird and Joe Heppding together with Morten Brandtzæg.

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Tina Bird and HESS Director Sigmund Sofienlund.

The focus area for 2017-2018 is risk analyses. These will be emphasized during the HESS audits and will be on the agenda for the HESS seminar.

Risk analyses relating to the environment are carried out at all sites, and analyses have not uncovered any high risk of severe environmental accidents within Nammo. The sites manage potential risk by preventive work. There is no major concern that climate change will affect our activities at the different locations.

We continuously work to standardize our risk management system, carrying out internal training in conjunction with emergency plans.

Discharges of chemicals from the manufacturing plant for gunpowder in Finland are one of the biggest environmental risks in Nammo due to handling of large amounts of chemicals and acids in tanks. One general concern is that thunderstorms and lightning may increase and represent a threat to production with explosives.

In Nammo, we follow up and measure waste emissions to water and the atmosphere, reduce noise levels and handle other environmental factors in accordance with existing regulations and internal instructions.

We have some environmental challenges in following up historically polluted areas at two sites. This is considered to be under control and is being followed up through internal plans for improvements and in close cooperation with national authorities.

Penalties

One of our sites, Nammo Sweden Karlskoga, received a fine in connection with emissions to water. They were over the limit on explosive content and were fined for reporting this too late.

Greenhouse gas emissions

Direct greenhouse gas (GHG) emissions (scope 1) from combustion of fossil fuels (oil and gas) at our sites is calculated to be about 17 800 tonnes CO2-equivalents in 2017. Indirect GHG emissions from purchased electricity and district heating (scope 2) is calculated to be about 14 900 tonnes CO2-equivalents. (Calculated based on conversion factors for CO2 from electricity per country – source: Defra, 2015 factors. GHG emissions from district heating is calculated based on conversion factors for electricity.

Emissions from business travel by air for flights (scope 3) for the Norwegian part of our organization – representing the majority of travel activity in the Group – is reported from our travel agency to be close to 1 000 tonnes CO2-equivalents in 2017.

Emissions of CO2


 

Energy efficiency measures provide economic and environmental benefits. As such, reducing energy consumption and energy conservation measures are a high priority at all sites. By using alternative energy sources, Nammo has already made significant cost savings.

All sites shall have at least one energy saving project or initiate other good environmental projects  for each factory. This will be followed up on the annual HESS audits.

Reported energy consumption at our production units was about 180 GWh in 2017. Consumption of fossil fuels counted for nearly 40%, purchased electricity 35% and purchased district heating about 25%.

One good example is the achievements at Nammo Vihtavuori.

Nammo Vihtavuori’s energy consumption (electricity and steam for heating/process) in 2017 was 10 percent lower compared to the figures in 2016.

Total energy savings were 4.5 GWh = 4 500 MWh, which is equal to an annual consumption of 250 average individual houses. Even with our relatively low energy unit prices, savings were EUR 180 000 pr. year. The reductions were mainly achieved thanks to new heating pump technology, new linear pressure cutting devices for the district heating (DH) network, adjustments to the DH network, new windows, LED lights, frequency converter installations, etc.

Our forecast is that by 2019 – when all the current new modifications have been operational for a full year and other planned modifications have been completed – our energy consumption will be down by 20 percent compared to 2016, meaning total annual savings of EUR 360 000.

Due to the recovery unit that has now been operational for one full year, our water consumption is approximately 450 000 m3 (-35 percent) lower compared to 2014/2015. We can now also see that the water level in Lake Siikajärvi has increased some 40 cm from its lowest level.


 

 

Total waste generated in 2017 was 9 152 tonnes. Metal waste counted for almost 80 percent. Other sorted fractions, like paper, wood, plastics, summed up to was about 9 percent and non-sorted residual waste was 6 percent. Hazardous waste counted for about 7 percent of the total waste generated.

According to reported figures on waste disposal in 2017, 88 percent of the waste was recycled and 9 percent treated in combustion plants. 


 Waste disposal

 

Waste generated