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BETTER MILL INITIATIVE, PHASE ONE RESULTS Condensed Report Concrete Progress Toward Improving the Sustainability Performance of Textile Wet Processing in the Fashion Supply Chain in China

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Page 1: Better Mill initiative, Phase One results...engages in textile dyeing, printing and finishing. in BMi, 22 improvements were implemented, including water and energy saving, heat recovery,

Better Mill initiative, Phase One resultsCondensed Report

Concrete Progress toward improving the sustainability Performance of textile Wet Processing in the Fashion supply Chain in China

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2 BetterMillInitiative,PhaseOneResults

COntents

1 executive summary 3

2 Programme Description 4

2.1 Background&Context 42.2 ProgrammeObjectives 52.3 ProgrammeDesign 5

2.3.1 Roles 52.3.2 Approach 52.3.3 Contents 62.3.4 Delivery 62.3.5 Monitoring 7

3 results 8

4 lessons learned 10

5 Conclusions 11

appendix 1: Benefits of Best Practices 12

www.textiles-solidaridad.org

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BetterMillInitiative,PhaseOneResults 3

1 exeCutive suMMary

MillsanddyehousesacrossChinaarestrugglingtobalanceeconomicrealitieswithincreasingpressurefromconsumers,brands,campaigngroups,andthegovernmenttoproduceapparelinamoresociallyandenvironmentallyrespectfulway.However,thesegoalsdonotneedtobeseenascompeting;inreality,economicbenefitswithintextilewetprocessingcanbeachievedhand-in-handwithsustainabilityimprovements.Infact,thetransitiontowardsmoresustainableproductionandagreenersupplychainisanimperativeiftheindustryistostaycompetitive.

ThisbriefreportsummarisesresultsfromthefirstphaseoftheBetterMillInitiative(BMI)launchedinChina.Theseshowthatsavingmoneyandresourcesarecomplementarygoals.

TheBMIprogrammeempowersmillsandfactoriesengagedinwetprocessingtoreducetheirresourceuse,increasetheirefficiency,andultimatelysavemoneywhileimprovingthesustainabilityprofileoftheindustry.

Thekeyareastackledwithintheprogrammeincluderesourceefficiency,waste,emissionstowaterandair,chemicalmanagement,workplacehealthandsafety,andsocialawareness.

TailoredsupportprovidedbySolidaridadandateamoftechnicalexpertsensuresthateachmillisabletoidentifyandproperlyaddressitsownmostpressingchallenges.Simultaneously,grouplearningandpeersupportprovidesasenseofcommunity,aswellasaforumtodiscusschallenges,shareknowledge,andcelebratesuccesses.Adefinedsix-stepapproachenablesparticipantstobuildaclearroadmap,andtoseewheretheyareontheirjourneythroughouttheprogramme.

about BMi

the Better Mill initiative, launched in 2013, was initially a collaboration between solidaridad and h&M. Other brands have since associated with our effort, including C&a, Primark, new look, Bestseller and tommy hilfiger. the programme focuses on improving the textile wet processing industry in China, with particular emphasis on the yangtze and Pearl river Deltas.

We do so by teaming up with experts to address challenges related to the conservation of water and energy, improved chemical management, and better control of pollution. We evaluate best and better practices and encourage implementation to improve business-as-usual. While this directly benefits the environment and local communities, it also offers an enormous opportunity for the participating mills - nominated by associated brands - to gain new insight into how to measurably improve their performance.

the mill support in the programme is implemented in three phases reaching a total of 43 mills.

Participating mills learned that changes do not need to be expensive or difficult to be impactful, and within the first 15 months of this two-and-a-half year programme, they collectively achieved savings in resources equalling:

2,600,000 tons of water

28,000 tons of coal

5,400,000 Kwh of energy

4,000 tons of chemicals

40,000,000 rMB (over 5.5 m Euro)

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4 BetterMillInitiative,PhaseOneResults

2 PrOgraMMe DesCriPtiOn

2.1 BaCKgrOunD & COntext

Chinanowleadstheworldinapparelmanufacturing,buttherapidgrowthoftheindustryhasn’tcomewithoutaprice.In2013,China’sapparelindustrywasreportedtoberesponsiblefor2.15billiontonsofwastewaterayear—withasmuchas85%ofthatstemmingfromdyeingandprintingprocesses.Energyconsumptionfromtheseprocessesisalsoalarming,withratesapproachingthreetofivetimestheenergyrequirementsofmillsinmoredevelopedcountries.China’sapparelindustryisresponsibleforaconsiderablepartofindustrialairpollutionnationwide.Overrecentyears,publicdemandandgovernmentalactionhasaddedtothegrowingmomentumtoaddresstheseissues,contributingtothesenseofurgencyfeltbyallpartiesthroughoutthevaluechain.Campaignorganizationsarecontinuingtohighlightboththeenvironmentalandsocialimpactsrelatedtowaterconsumption,airemissions,hazardouschemicaluse,andunsafeworkingconditions.

TheChinesegovernmenthasbeguntakingaggressivestepstocurbbothwaterandairemissionsfromthetextileindustry,andmanysmalltomedium-sizedbusinessesinChinaarestrugglingtostayontopofnewlegalrequirements.

Pioneeringbrandsarerealizingtheroletheycanplaytoturnthesestatisticsaround,andtheyarelookingforwaystosupporttheirsupplychainpartnersinaddressingthese

concernswhilemaintainingChina’scompetitivepositionintheglobalmarketplace.However,theyarestrugglingtoidentifyandinfluencetheirpartnersfurtherdowninthesupplychainwheretheneedforthisactionisoftenthegreatest.

Againstthisbackdrop,BMIwasdevelopedbySolidaridadinpartnershipwithH&Masaresult-orientedprogrammeaimingtoimprovethesustainabilityperformanceoftextilewetprocessinginthefashionsupplychaininChina.Theprogrammeempowersparticipantstoachievemeasurableimprovementsfromasustainabilityperspective,whileanalyzingthereturnoninvestment.

BMIpartnerbrandsincludeH&M,C&A,Primark,NewLook,TommyHilfiger,andBestseller.TechnicalexpertswereprovidedbyHuntsman,STS,andZhejiangUniversity.

BMIwasdesignedasa2.5yearprogramme,startinginmid-2013.Resultsofthefirst16partnermillsincludetheimplementationof268improvementmeasures,contributingtosubstantialprogressinareassuchasresourceefficiency,chemicalmanagementandworkplace,healthandsafety,andindicatingthattheapproachoftheprogrammeiseffective,impactful,andscalable.

2.2 PrOgraMMe OBjeCtives

TheoverallobjectiveoftheprogrammeistoimprovethesustainabilityperformanceoftextilewetprocessinginthefashionsupplychaininChina.Throughacombinationoftrainingworkshopsandon-sitetechnicalsupportforMill 15 M15 is a textile mill

established in May 2003 that dyes and prints various types of chemical fiber and blended fabrics for women's clothing.

it is a small-sized mill with 100 employees. in BMi, Mill 15 implemented 23 improvement actions in relation to water, energy and pollutant reduction. in order to meet the environmental legal requirements of local government, three flue gas purification devices were installed on the setting machines with pollutant removal efficiency of 80%, and an oil recover rate of more than 90%. the implemented improvement actions have translated into annual savings of 2,041 tons of standard coal and 38,000 tons of water. it also reduced 3,378 tons of carbon dioxide and 90 tons of COD emission.

Mill 3 was established in july 1992. it is a medium-sized mill with 300 employees and engages in textile dyeing, printing and finishing. in

BMi, 22 improvements were implemented, including water and energy saving, heat recovery, water reuse, wastewater and flue gas treatment, improving rFt and installation of precise weighing instruments. these improvements resulted in an annual saving of 140,000 kWh of electricity and 410 tons of standard coal. a total of 709 tons of carbon dioxide emission and 200 tons of COD emission were reduced.

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BetterMillInitiative,PhaseOneResults 5

participatingmills,theprogrammeaimsto:• Introduceeffectiveapproachesandmethodsfor

achievingmeasurableimprovementinenergysaving,watersaving,resourceconservation,reducedpollution,chemicalmanagement,andrelatedproductionprocessoptimization.Inaddition,participatingmillsaresupportedinaddressingspecificproblemsencounteredinthesethematicareas.

• Alignthesupportofferedwithmajorglobalsustainabilityinitiatives,suchastheSustainableApparelCoalition’sHiggIndexandtheJointRoadmaptowardsZeroDischargeofHazardousChemicalscoalition.

• Shareinternationalandnationalgoodandbestpracticesfromthetextiledyeingandfinishingsector.

Additionally,inlinewithSolidaridad’scommitmenttofosteringamind-setofcontinuousimprovement,participatingmillsareempoweredtobuildtheirinternalcapacityaswellastoimplementaneffectiveinternalmanagementsystemthatsupportsprogresstowardsustainability.

Throughcommunicationandstakeholderengagement,bestpracticesandcasestudiesarecollectedandsharedtoencouragereplicationinChina’stextilesector.

2.3 PrOgraMMe Design

2.3.1 roles

TheBMIprogrammeisdesignedtocapitalizeonthedifferentskills,knowledge,andleverageofthevariouspartiesinvolved.

Partnerbrandsareresponsibleforengagingsuitablemills,supportingtheevaluationprocess,andanalysingopportunitiesforsocialimprovement.

Solidaridadleadsthedevelopmentanddeliveryoftrainingworkshopsandmeetings,supportsbaselineassessments,engagessubjectmatterexperts,coordinatestechnical

supportonsite,andmanagesmonitoringandevaluationofactionsthatareimplemented.Partnermillscommittoparticipatinginthetrainingsandmeetingsbysendingtherightrepresentatives,delegatingtheproperhumanandfinancialresources,selectingandimplementingappropriateimprovementmeasures,andcommunicatingprogress.

2.3.2 approach

Keepinginmindtheskillsetsinvolvedthroughthevariouspartners,astandard15monthapproachwasdevelopedbySolidaridadChina,whichencompassedthefollowingsteps:1. Baselineassessment:Inanonsitebaselineassessment,

followingaself-assessment,thestatusquowithregardstotheinternalmanagementsystem,performanceandareasforimprovementinrelationtotheBMIthematicareaswasidentified.

2. Potentialrecommendations:BMIexpertsidentifypotentialimprovementoptionstogetherwithfactorypersonnel,takingintoaccountsocial,environmental,andeconomicreturns.

“the trainings and on-site technical support on resource efficiency are useful. implementing such improvements makes cost saving possible.”

Mill 4 is a private textile mill established in October 2003 that dyes knitted fabrics. it is a large-sized mill with 600 employees. in BMi, 18

improvements were implemented mostly focused on electricity and steam savings and wastewater and flue gas treatment. these improvements reduced annual electricity consumption of 360,000 kWh and 362 tons of standard coal. the mill also reduced 679 tons of carbon dioxide emission, 289 tons of COD emission as well as 4 tons of sulfur dioxide emission.

“the joint expertise of businesses and ngOs is the main requirement for improvement of the supply chain, from field to fashion.”

janet Mensink,Int.ProgrammeCoordinatorCotton&TextilesatSolidaridad

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6 BetterMillInitiative,PhaseOneResults

3. Actionplandevelopment:Partnermillsprioritizerecommendationsanddeveloptheiractionplanforimplementation.

4. Resourceallocation:Withinthepartnermills,resourcesincludingpeople,equipment,facilities,timelinesandbudgetsarealigned.

5. Implementation:Theinternalteamineachmilltakestheleadinimplementingtheactionplan.Solidaridad'sBMIteamisavailableforsupportwhenchallengesareencountered.

6. Tracking:Progressismonitoredandevaluated,withaneyetowardcapturinglessonslearnedtoenableotherstosucceed.

Inparallel,thepartnermillsandbrandsareofferedtrainingandknowledgeexchangethroughworkshopsonallthematicareas,providingconcreteadviceandgoodpracticeexampleswhichsupportstheminenhancinginternalcapacityandsuccessfullyimplementingtheactionplans.

2.3.3 Contents

BMIfocusesonthesevenkeysustainabilityareasrelatedtotextilewetprocessing:1. Watermanagement2. Energymanagement3. Wastewater4. Airemissions5. Solidwaste6. Chemicalmanagement7. Occupationalhealthandsafety

Fromabroaderperspective,theprogrammealsoengageskeyindustrystakeholderstoimproveaccesstoresourcesandsupportpositivechangesatapolicylevel.

2.3.4 Delivery

DeliveryoftheBMIprogrammebeginswiththeindividualbaselineassessments,followedbytrainingworkshopstoaddressidentifiedneeds,thenindividualon-andoff-sitesupport,andfinally,networkmeetingstoallowfordiscussionandevaluation.

Duringthebaselineassessments,severalconsistentchallengesemergedthatshapedthedirectionofthe

Mill 6 is a private textile mill established in april 1990 that mainly dyes knitted fabrics. it is a medium-sized mill with 350 employees. in

BMi, 25 improvements were implemented with great achievements especially in water and energy savings, reducing the discharge of wastewater and flue gas, reducing carbon emission, use of clean energy, and better chemicals management. these improvements led to annual saving of 1,203 tons of standard coal, 12,000 tons of water and 5 tons of chemicals. it also reduced 1,992 tons of carbon dioxide emission.

networkmeetings

Onsite/offsitesupport

trainingworkshops

Baselineassessment

Continuous improvement

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BetterMillInitiative,PhaseOneResults 7

programmedelivery.Examplesofsomeofthesefindingsincludethefollowing:

• Certification does not always equal effective implementation, particularly relating to chemical management.Manyparticipatingmillshavecertificationsinplacefortheirmanagementsystems,butimplementationonaday-to-daylevelcanoftenbeimproved,particularlyintheareaofchemicalmanagement.

• social performance within the second tier requires more attention.Examplesofareasforimprovementrelatetooccupationalhealthandsafety,workinghours,contracts,andhealthchecksforjuvenileworkers.

• access to the higg index Facility Module tool was restrictedduetotechnicalchallengesinChinain2013/early2014.OnlineuseoftheHiggIndexwasachallengewhichmadethetooldifficulttouseinbaselining.

• Mills needed support on both information disclosure and crisis management;Knowingwhattocommunicateandwhentocommunicateitremainsachallenge,particularlywhenunderpressure.

2.3.5 Monitoring

Monitoringiskeytounderstandingandmaximizingimpact.Datawasgatheredtwiceduringtheprogramme,bothbeforeandafterimplementationofimprovementmeasures.Datagatheringmethodologyincludedobservation,informalmonitoring,sitevisits,andoff-sitefollowupsbytechnicalexpertsaswellastheSolidaridadChinateam.

snapshot of key achievements in the first 15 months

• 16 mills engaged• 7 topics addressed• 268 improvement measures

completed• 70% of improvements cost around

7k euro or less• 80% of improvements have payback

times of less than 2 years• 2.6m tons of water saved

Mill 7 M07 is a private textile mill established in December 2002 that mainly manufactures middle and high grade knitted fabrics. it is a large-sized

mill with 600 employees. in BMi, the mill implemented 19 improvements including water and energy savings, wastewater and flue gas treatment, carbon dioxide emission reduction, and better chemicals management. these improvements resulted in a total saving of 60.15 tons of standard coal and 3 tons of chemicals. it also reduced 99.6 tons of carbon dioxide emission, 723 tons of COD emission and 25.6 tons of sulfur dioxide emission.

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8 BetterMillInitiative,PhaseOneResults

3 results

Thefirstphaseoftheprogrammespurred16millstoimplement268improvementmeasuresacrosstheseventargetedtopicsofwaterandenergyconsumption,wastewater,airemissions,solidwaste,chemicalmanagementandoccupationalhealthandsafety.

Overall,withinthefirst15monthstheprogramme,thefirstbatchof16millsachievedthefollowingsavings:

Lookinginaggregate1,theaverageimprovementinwaterconsumptionwas7.63%.Thelargestsavingsachievedwasa42%reductioninwaterconsumptionbyamillthatupgradeditseffluenttreatmentplantandinstalledmoreefficientlowliquor-ratiodyeingmachinery.

Theaverageimprovementinenergyconsumptionwas4.41%.Onetop-performingmillachievedareductionof11.83%,largelyduetoinstallinghighefficiencysteamtrapsandinsulatingpipesandmachinery.Paybacktimewaslessthanhalfayear.

1 Inthecalculationoftheaverages,the2millsthatwereintheprocessofrelocationhavenotbeentakenintoaccount.

2,600,000tonsofwater

Averagewatersavingof7.63% withtopfivemills.

Reducingwaterconsumptionby 22%

4,000tonsofchemicals

Mainlycausticsodareclamation

28,000tonsofcoal

40,000,000¥(over5.5meuro)costsaving

TotalinvestmentofRMB167million

5,400,000kwh

Averageenergysavingof4.41%withtopfivemills.

Reducingenergyconsumptionby 7.45%

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BetterMillInitiative,PhaseOneResults 9

Additionally,thereweresomepowerfulfindingsthatemergedthroughoutthefirstphaseoftheprogramme,suchasthoseincludedbelow:

1 Mills don’t need to invest a lot to achieve impact

Nearly70%oftheimprovementmeasuresrequiredaninvestmentoflessthanRMB50,000,orabout7,300Euro.

2 Mills don’t need to wait a long time to see the return on their investment

Nearly80%oftheinvestmentshaveapaybackperiodoflessthantwoyears.

3 Plenty of low hanging fruits to pick

Improvementopportunitieswereoverwhelminglyfoundatthemanagementlevel(45%)andfacilitylevel(23%)asillustratedinthegraph.Particularlyintheinitialstagesengagement,BMIfocusesonsupportingpartnermillstoensuregoodhousekeepingpracticesandeffectiveinternalsystemsasabasisforcontinuousimprovement.Thisisreflectedbythetypeofimprovementsimplemented.

4 Key impact areas prioritized by partner mills focused on addressing energy consumption and chemical management

Acomparisonoftypesofimprovementsimplementedbypartnermills,initiallyreflectstheincreasingattentionforchemicalmanagementinthetextilesectorcombinedwiththescopeforimprovementinthisareaidentifiedinBMI.Chemicalmanagementimprovementsdon’tneedtobecomplicatedbutlayanessentialfoundationforavoidinghazards.Examplesincludegatheringup-to-dateMSDSs,developingachemicalinventorylist,andimprovingchemicalstoragemethods.Secondly,energymanagement,anareawithoftenaclearreturnoninvestment,isnotsurprisinglyanotherkeyareaprioritizedbyourpartnermills.

Raw Materials andEnergy

Management5%

Process Control 3%Process 3%

Product 1%

16%

23%

45%

4% Staff

Waste

Facility

Percentage of actons by 8 key factors

Percentage of actions by investment category

Percentage of actions by payback period

High>500,000 RMB

Medium50,000 – 500,000 RMB

Low<50,000 RMB

N/A

18%

15%62%

5%

<1 = 50%

1˜2 = 27%

>5 =5%

4˜5 =2%

3˜4 =6%

2˜3 =10%

Payback period (years) for investments made

Raw Materials andEnergy

Management5%

Process Control 3%Process 3%

Product 1%

16%

23%

45%

4% Staff

Waste

Facility

Percentage of actons by 8 key factors

Percentage of actions by investment category

Percentage of actions by payback period

High>500,000 RMB

Medium50,000 – 500,000 RMB

Low<50,000 RMB

N/A

18%

15%62%

5%

<1 = 50%

1˜2 = 27%

>5 =5%

4˜5 =2%

3˜4 =6%

2˜3 =10%

investments per investment category

Raw Materials andEnergy

Management5%

Process Control 3%Process 3%

Product 1%

16%

23%

45%

4% Staff

Waste

Facility

Percentage of actons by 8 key factors

Percentage of actions by investment category

Percentage of actions by payback period

High>500,000 RMB

Medium50,000 – 500,000 RMB

Low<50,000 RMB

N/A

18%

15%62%

5%

<1 = 50%

1˜2 = 27%

>5 =5%

4˜5 =2%

3˜4 =6%

2˜3 =10%

improvement activities per category

Percentage of actions by themes

Water consumption8%

36%

37%

Energy consumption

Chemicalmanagement

Solid waste2%

Waste water7%

Air emissions5%

Workplace health & safety 5%

improvement activities per sustainability theme

BetterMillInitiative,PhaseOneResults 9

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10 BetterMillInitiative,PhaseOneResults

4 lessOns learneD

Throughouttheprogramme,keyobservationsandlessonsweregatheredinordertoadjusttheprogrammeinrealtime,andtoofferinsightonthebestwaytoproceedinfuturephasesoftheprogramme.Somekeylearningsincludethefollowing:

1. relocation takes a toll on resource efficiency SomeoftheBMIpartnermillswereintheprocessofrelocatingtoadifferentgeographicalarea.Thesemillshaveshownlessthanaverageimprovementsorsometimesevenincreasesinwaterand/orenergyconsumption.Notsurprisingly,millmanagementisreluctanttoinvestinimplementingimprovementsinthefacilitythatwillbesoonclosed.ThosemillsthatshowedanincreaseinenergyandwaterconsumptionwereinthetimepriortotherelocationalsosufferingfromverysuboptimalproductionvolumesmakingproductionlessefficientthanatthestartofBMI.Whetherthelearningsfromtrainingsandexpertadvicehavebeentakenintoaccountinsettingupthenewfacilityissomethingwehavenotbeenabletomonitorwithintheprogramme.

2. self-assessment tools need to be easily accessible and identified as adding value Onlythreeofthe16millswereabletocompletetheHiggFacilityEnvironmentalModuleSelf-Assessmentduetolimitedaccesstothetool.ThiswasinparttheresultoftheslowperformanceoftheonlinetoolinChinain2013duetofirewallissues–whichwerelargelyresolvedin2014.Millswerealsonoteasilyconvincedoftheaddedvalueofcompletingtheself-assessment,whichhighlightedachallengetotheprogrammedesignaimingtouseHigginthebaseliningprocess.TechnicalimprovementsoftheHigg,theintroductionofverification,butmostimportantly,industryadoptionandrecognitionbybrandsandretailersarelikelytostrengthentheaddedvalueofHigg–particularlyforourtargetgroupoftier2suppliers.

3. Mill management must be committed to the programme in order to secure financial and human resources Additionally,itisimportanttoinvolvestaffatalllevels,andtodevelopanintegratedincentivemechanismtomotivateandrewardthosewhoworktowardpositivechange.

4. Mills must have an internal coordinator who is empowered to make decisions and implement changes

Withoutaleaderwhoisauthorisedtoimplementimprovementsinsidethemill,progressisslowanddifficult.

5. Mill engagement must include a commitment to send the right people to trainings Insomecases,millssentrepresentativeswhowerenotcloselyinvolvedwiththetopicsbeingaddressed.Thislimiteddiscussionandexchangeamongpeers,andreducedthelikelihoodoffollow-upactiononthetopicsdiscussed.

6. Brands must be engaged in the process to show mills their commitment to sustainability Brandscanbeadrivingforceforpositivechangebylinkingsustainabilityperformancewithsourcingdecisions.Millsnominatedbybrandscloselyinvolvedintheprojectmademoreprogressonaverage.

Goingforward,theprofileofan“ideal”participantwouldincludethefollowingcharacteristics:

1. Millhasdirectrelationshipswithbrands,notjustwithintermediariesoratleastthebrandiscloselyinvolvedintheselectionprocess.

2. Millhasastrongwillingnesstoimproveresourceefficiencyandchemicalmanagement.

3. Millisnotlistedintherelocationplanofanylocalgovernment.

“BMi really accelerates cleaner production in textile manufacturing.”

Felix Ockborn, EnvironmentalSustainabilityCoordinator-Water

“experts have a profound understanding of the production process, equipments and legal requirements. they are able to provide practical solutions and suggestions based on the mills’ specific needs.”

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BetterMillInitiative,PhaseOneResults 11

5 COnClusiOns

Individualmillsfaceindividualchallenges,andtheirsuccesswithinaprogrammesuchastheBetterMillInitiativewillvarybasedfactorssuchasstartingpoint,willingnessandcapacitytoinvestfinancially,abilitytocopewithchange,qualityofrelationshipswithbrands,andcommitmenttotheoverallgoalsoftheprogramme.Tailoringtheapproachtoeachmill’sparticularsituation–especiallyduringtheon-sitesupportphases–wasakeycontributortothesuccessoftheprogramme.

Greatersuccesscouldhavebeenachievedbyselectingmillswithmorecommitmentandmoreoperationalstability,andthesefactorswillbefront-of-mindinthenextphasesoftheprogramme.

However,thisinitialphasehasachievedsignificantimpact,suchasconcretesavingsinwaterandenergyandimprovedaccesstosafeenvironmentsforworkers.

Additionally,theseearlysuccesseshavemadethecasethatwhengettingstartedwithcleanerproduction,changedoesn’tneedtobeexpensive,difficult,orlong-termtobeimpactful,andthatachievingsustainableproductioncanleadtoeconomicbenefitsalongsideenvironmentalbenefits.

TheeconomicbenefitsachievedthroughBMIarekeytoensuringthespiritofcontinuousimprovement,creatingenthusiasmforsustainableproductionandallowingthesectortoworktowardmeetingtheincreasingsustainabilityexpectationsoftheChinesegovernment,brands,retailersandthecommunityinwhichthemillsoperate.

Solidaridadisencouragedtoseethatmillsarerecognizingthesebenefitsalready.BMImillsofthefirstphasecontinuetoidentifyandimplementfurtherimprovementsevenafterthedirectsupportofBMIhasconcluded.

top improvement recommendations:

1. reclaim caustic soda 2. install energy efficient steam traps3. recycle cooling water and

condensate4. install water efficient dyeing

machines.

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12 BetterMillInitiative,PhaseOneResults

APPENDIx1: BeneFits OF Best PraCtiCes

This Appendix shows examples of measures implemented by BMI partner mills with a brief explanation and impact.

Best practice 1 automatic dyestuff storage and weighing systemAnautomaticdyestuffstorageandweighingsystemenablescontrolledstorageofdifferentdyestuffsanddirectdeliveryofthedyestuffintodyeingmachinerywithoutmanualhandling.Thisreducesmanualerroraswellasexposuretohazardouschemicals.

Semi-automatic dyestuff weighing system

total investment rMB 308,000

Dyestuff saving 13.57 t/a out of annual dyestuff use of 13.57 t/a (10%)

annual cost saving rMB 203,600 yuan

Payback period 23 months

Best practice 2installation of water efficient dyeing machines Inordertoimprovewaterefficiency,atotalofRMB4,000,000Yuanwasinvestedbyonemilltoinstallnewdyeingmachinesthatrequirelesswaterforthesameamountoffabric.Comparedtotheoldones(liquorratio1:10),thenewequipmenthasarelativelylowliquorratioof1:5,whichresultsinannualwaterandsteamsavingsof64,000tonsand1,318tons,respectively.

Dyeing machine with low liquid ratio

total investment rMB 4,000,000 yuan (~590.000 euro)

steam saving 1,318 t/a

Water saving 64,000 t/a

annual cost saving rMB 625,000 yuan

Payback period 32 months

Facts and figures

Facts and figures

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BetterMillInitiative,PhaseOneResults 13

Best practice 3electric motor upgradingATYJx250M-4permanentmagnetsynchronousmotor(55kW,efficiency95%)isusedinheatconductingoilboilers.ComparedtotheoldY280S-2(75kW,efficiency92%)asynchronousmotor,itsefficiencyincreasedby3%andthemotorratedpowerdecreasedby26.7%,whichresultedinelectricitysavingof137,900kWh.Atthesametime,theoccupationalhealthandsafetysituationimprovedsignificantlyduetolessnoisenuisance.

total investment rMB 22,000 yuan (~3.250 euro)

electricity saving 137,900 kWh/a

annual cost saving rMB 111,700 yuan (~16.500 euro)

Payback period 3 months

Best practice 4installation of energy efficient steam traps Oldsteamtrapsareknowntohavehighsteamleakage(>10%),andrequirefrequentrepairandmaintenance.AtotalofRMB800,000Yuan(~118,000Euro)wasinvestedtoinstallenergy-efficientsteamtrapsoneachdryingcylinderinordertominimizesteamleakageandtorecyclethecondensategenerated.Itiscalculatedthatatotalof16,000tonsperyearofsteamcanbesaved,and80,000tonsofcondensaterecycled.

Energy efficient steam traps on drying cylinder

total investment rMB 800,000 yuan

steam saving 16,000 t/a

Water saving 80,000 t/a

annual cost saving rMB 3,000,000 yuan

Payback period 4 months

Facts and figures

Facts and figures

Permanent magnet synchronous motor

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14 BetterMillInitiative,PhaseOneResults

Best practice 5Caustic soda reclamationAtotalofRMB1,200,000Yuan(~Euro177,000)wasinvestedtoinstallcausticsodareclamationequipmentwithamoreefficientsteam-waterratioof1:4,whichresultedinsteamsavingsof5,000t/a,andanincreaseinrecycledwaterof24,000t/a.Inaddition,atotalof7,200t/aofcausticsodawasreclaimed,whichnotonlyimprovestheresourceefficiency,butalsosignificantlyreducesthepollutionloadofwastewatergoingtothetreatmentplant.TheimplementationresultedinannualcostsavingofRMB913,000Yuan,withapaybackperiodof20months.

Caustic soda reclamation equipment

total investment rMB 1,200,000 yuan

steam saving 5,000t/a

Water saving 24,000 t/a

Caustic soda saving 2,160 t/a

annual cost saving rMB 913,000 yuan

Payback period 20 months

Best practice 6installation of online moisture monitorInoneoftheBMIpartnermills,onlinemoisturemonitorswereinstalled.Theseonlinemonitorsallowforcontinuousmonitoringoftheremainingmoisturecontentinfabricduringthedryingprocessandadjuststhesteamsupplyautomatically.Itnotonlyhelpstoreducesteamconsumptionofupto10%~40%,butalsotoavoidmanualerrorscausedbyoperators,thusreducingtherejectrateofproducts.ItiscalculatedthatthetotalinvestmentofRMB440,000,willresultinannualsteamsavingsof7,920tons,andareductionoftheannualsteamcostsofRMB1,420,000.

total investment rMB 440,000 yuan

steam saving 7,920 t/a

annual cost saving rMB 1,420,000 yuan

Payback period 5 months

Online moisture monitor

Facts and figures

Facts and figures

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BetterMillInitiative,PhaseOneResults 15

Best practice 7recycling of cooling water and condensateCoolingwaterandcondensategeneratedfromthedyeingprocesscanbecollectedandstoredinawell-insulatedstoragetank,andthenreusedinthewashingprocess.Reuseofsuchwaterthathasatemperatureof60˚notonlyreducesfreshwaterconsumption,butalsoincreasesthetemperatureoffreshwaterandreducessteamconsumption.Itwascalculatedthatsuchaninstallationresultedinanannualreductionofsteamconsumptionupto2,931t/a,andwatersavingof64,000t/a.TheinvestmentofRMB500,000Yuan(~74,000Euro)translatesintoacostsavingofRMB630,500Yuanperyear(~93,000Euro).

total investment rMB 500,000 yuan

steam saving 2,931 t/a

Water saving 64,000 t/a

Cost saving rMB 630,000 yuan

Payback period 1 year

Best practice 8improving chemical managementInBMI,specialattentionispaidtochemicalmanagement.Improvementsonchemicalstorageareimplemented.Forexample,standardoperationingprocedureshavebeendeveloped;dyestuffarestoredinstainlesssteelcontainerswithclearlabelsandareplacedonwoodenpalletstokeepawayfrommoisturewhichwillaffecttheaccuracyofchemicalweighing.Inaddition,unauthorizedworkersarerestrictedfromenteringthewarehouse.Dyestuffaremeasuredstrictlyaccordingtotheprocessrecipestoavoidunnecessarywasteofchemicals.

total investment rMB 20,000 yuan

Chemical saving 3 t/a

Cost saving rMB 150,000 yuan

Payback period 1 month

Storage of cooling water and condensate for reuse

Facts and figures

Facts and figures

Chemical storage before and after improvement

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16 BetterMillInitiative,PhaseOneResults

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regional expertise Centre, Chinaroom 208, Miyang Plaza, yong'an Dongli, Chaoyang District, Beijing, China 100022phone: +86 10 6708 9110e-mail: [email protected]

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