uk ad & biogas 2016: day two green seminar 7 july
TRANSCRIPT
UK AD & BIOGAS TRADESHOW
6-7 JULY 2016NEC BIRMINGHAM
FINANCE – WHAT FINANCE OPTIONS EXIST FOR NEW AD DEVELOPERS, AND HOW CAN EXISTING PLANTS RE-FINANCECHAIR: RUTH MURRAY, PARTNER HEAD OF ENERGY AND WASTE, ASHFORDS LLP
HITEN SONPAL, HEAD OF SPECIALIST SECTORS, LOMBARD GREEN ENERGY
ANNE LALEMAN, DIRECTOR, ALPHA-FINANCIALS ENVIRONMENTAL
RICHARD BARKER, ADVISER AND INVESTMENT COMMITTEE MEMBER, IONA CAPITAL
FOLLOWED BY OPEN DISCUSSIONPHIL KENT, DIRECTOR, GRAVIS CAPITAL PARTNERS
ASHFORDS LLP Legal advisers to the Energy and Waste Sector
Session Chair – Green Seminar Day 2
Ruth MurrayPartner, Head of Energy and Waste
Ruth is a Projects lawyer and leads teams delivering a range of energy projects including AD, solar and biomass. The team has advised on the successful financial close of numerous AD projects with a capex value in excess of £100million.
[email protected]+44 (0)1392 333857
Finance - what finance options exist for new AD developers, and how can existing plants re-finance?
ASHFORDS LLP Legal advisers to the Energy and Waste Sector
Property risks
Grid connection
Third party rights
Feedstock
Technical due diligence
Financial model assumptionsTechnology Risk
Planning Risk
Offtake solution
Operator
Insurance
Bankabil-ity
Hiten Sonpal Head of Specialist SectorsRenewables | Manufacturing | Agriculture | Commercial Transportation
Lombard, Green Energy Finance
Lombard Green Energy Finance Team
Who are we?
Lombard’s take on Renewables
Dedicated Green Energy Finance Team
Supporting UK SME’s & Mid Corporates in reducing energy costs
Over 1,700 green energy deals transacted in the last 24 months
2015 funding – £102M (2014 – £88M)
Total lending in sector of £0.5bn
Technologies supported for funding
– Wind turbines (on shore)– Anaerobic digestion– Combined heat and power – Air source/ground source heat pumps– LED– Biomass– Solar PV – roof/ground mountedLombard is committed to supporting the green energy market and is looking to continue growing our lending in this sector to support the Corporate and SME markets
Security may be required. Product fees may apply
Lending policies
Serviceability will need to be demonstrated from existing activities
Lombard will include 50% of projected FIT/RHI/ROC for all technologies
Funding can be provided in to an SPV with a cross company guarantee of a trading business which demonstrates serviceability
All associated assets would need to be verified internally by Lombard’s asset management division
Lombard do not usually require land or building security
Security may be required. Product fees may apply
Solar PV Biomass boilers and
CHP
Air Source Heat Pump
Wind Anerobic Digestion
LED Lighting
Term 7 Years
Term7 years
Term7 years
Term 7 Years
Term 7 Years
Term3 Years
Deposit10% + VAT
Deposit10% + VAT
Deposit10% + VAT
Deposit10% + VAT
Deposit10% + VAT
Deposit10% + VAT
Refinance of green energy technologies
For projects originally funded out of cash flow cash could be released to fund other renewable projects or be reinvested in to the core business
For projects funded from VC or expensive asset finance this could be replaced with cheaper Lombard funding
For projects funded against land and building security this security could be released to be used for expansion or working capital etc.
Benefits to the customer
Security may be required. Product fees may apply
Refinance of green energy technologies
No construction risk and early ‘teething’ issues avoided
Actual track record of performance as opposed to projections
Funding assets that are likely to be attracting a higher level of Government incentive (FIT/RHI) than a new project
Benefit to Lombard
Raise up to the lower of NBV or original invoice price less appropriate depreciation
Max term to match that of a new project
Terms
Security may be required. Product fees may apply
For more information
Hiten SonpalHead of Specialist Sectors - LombardRenewables | Manufacturing | Agriculture | Commercial Transportation
Mobile: 07795801414Email: [email protected]
Alpha-Financials Environmental
Where Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error Parasitic incl.
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error Parasitic incl. - 3.75 %
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error Parasitic incl. - 3.75 %
District Heating
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error Parasitic incl. - 3.75 %
District Heating Not included
Alpha-Financials EnvironmentalWhere Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
IRR
Inflation Rate Too low + 1.13 %
Taxation Too high + 0.14 %
RHI error Parasitic incl. - 3.75 %
District Heating Not included + 3.54 %
Alpha-Financials Environmental
Where Environment and Finance Meet
ADBA July 2016 - stand H601www.af-enviro.com
Financing and Refinancing Environment
ADBA Show 7th July 2016
Generating absolute returns from BioEnergy Infrastructure
27
One page ... only … on Iona Capital• Founded in 2011 by an experienced team of renewable
energy, waste industry and private equity specialists.• Focus on Bioenergy sector in lower risk ‘Infrastructure’
projects with unleveraged project returns of circa 13-15% p.a.
• Currently manages c. £200m under management, with funds coming from Local Authority Pension Funds
• Has invested in 14 AD projects – both food waste and farm AD, from 250kW to >3MW equivalent including 4 gas to grid.
• Also invested in Advantage Biogas, O&M provider to the AD industry and 4 other biomass opportunities
… OK … I lied …. there’s two pages
A bit of context ... still a young industry
With patchy, but improving performance
Funders segmentation view
Food waste AD
Farm AD
Small scale Large scale
Owner operator Professionally managed
• Project finance/ new build
• Refinancing• Non-recourse• Recourse• Full finance • Partial finance (e.g.
equipment lease)• ESCO models
Entering an interesting phase• Limited new builds given incentive economics• Food waste AD consolidation phase
• Questions over sustainable operational performance and food waste availability
• Focus on realistic asset pricing – given gate fee impacts• Probably a protracted period
• Farm AD beginning refi phase• EIS/VCT • Post project completion and timing of re-finance• Asset value and loan to value
Funders like ‘good’ counterparties
• Strong business model which is difficult to ’break’ …feedstock supply, quality of earnings etc..
• Proven reputation/ operational track record
• Experience and capability• … and security …
Funding available/ funder types
• Private equity (e.g Iona)• Mezzanine debt • Bank loans (and evolving market with a
focus on refinancing)• Equipment finance• ESCO• Combination of the above …
Conclusion• This is a tricky sector for funders … compared
to others• Focus on what ‘good’ is and means• Its all about track record, performance and a
robust operational model• IRRs, NPVs, DCRs, LTVs and other TLAs reign• Be realistic about your plant, its performance
and hence how much funding will be given, in what form(s) and at what time
37
Gravis Capital Partners LLP
ADBA – AD FinancingJuly 2016
38
Summary – Opportunities and Threats for AD financing
New AD development Re-financing existing AD
Opportunities
Threats
RHI / tariff guarantees;
Direct supply of electricity and / or heat;
Alternative digestate uses?
Capital seeking homes;
Existing accreditations are of value;
Portfolio deals;
Fall in electricity export subsidies;
Food waste availability;
Sustainability criteria;
EIS money no longer available;
Electricity price decreases;
Pricing / leverage expectations;
Operational track record;
Contract structures and counterparties;
39
New AD DevelopmentOpportunities exist subject to the outcome of the RHI consultation, feedstock strategies and / or accessing additional sources of revenue
RHI tariff guarantees are key to providing certainty in a post-consultation world (e.g. risks of closure of the non-domestic scheme);
Highly competitive feedstock markets, in particular food waste in certain geographies. Drives ‘captive’ feedstock strategies;
Access to direct line electricity / heat offtakes allows retail (rather than wholesale) pricing;
Possible longer term opportunities in alternative uses of digestate (e.g. fertiliser products);
Other uses of bi-products of AD process (e.g. CO2 as part of G2G AD)
Primarily equity finance with some ‘higher risk’ debt available at a premium margin. Lack of traditional PF lower cost debt due to scale and risk profile
40
Refinancing existing AD‘Optimising the capital structure in recognition of the particular circumstances of an asset or group of assets’
Certainty of underlying asset cash
flows (capex / opex /
revenues)
High cost
Optimising value through reduced costs and flexibility
Optimising value through
certainty driving capital cost /
structure
Low cost
Firm contracts;
Portfolios;
Operational data;
Effective management;
Competitive advantages;
Availability and type of refinance capital will depend on asset class and scale.
41
Contact information
Philip Kent
020 7850 4773
Gravis Capital Partners LLP
53/54 Grosvenor Street
London W1K 3HU
www.gcpuk.com
Questions and comments from the floor
COST COMPETITIVENESS – IMPROVING OUTPUTS AND REDUCING COSTSCHAIR: OLLIE MORE, MARKET ANALYST, ADBA
JAMES LLOYD, CHIEF EXECUTIVE OFFICER, BIOWATT
WILLIAM HELLER, CHEIF EXECUTIVE, ORGANIC WASTE LOGISTICS
FOLLOWED BY OPEN DISCUSSION
AD cost competitiveness
Can we reach £100/ MWhe by 2020?
2006(smaller scale AD)
2016 2016-2020 reduction required
2020£0
£50
£100
£150
£200
£250
£300
Cost Competitiveness task forceLe
velis
ed c
ost £
/ MW
he (F
OOD
WAS
TE A
D >5
00 k
We)
Yes, if:1. Government action on waste/
feedstock2. Policy certainty and ambition3. Investment in research and
innovation4. Recognition of and training on
digestate5. Public and business knowledge of
AD
But,
• DECC propose setting the AD ‘cost’ at £49/ MWhe (no tariff required)
• DECC propose to pay Hinkley Point C £100/ MWhe
• New gas commissioning in 2019 is estimated to cost £85/ MWhe
SO AD THE CHEAPEST FORM OF ELECTRICITY? OF COURSE NOT.
James Lloyd, chief executive officer, Biowatt
UK AD & BIOGAS 2016 Conference
Prepared by William Heller, Chief ExecutiveOrganic Waste Logistics
6-7 July 2016
Improving Outputs & Reducing Costs
organicwastelogistics.com
It’s all about capacity utilisation!
50
Anaerobic Digestion Marginal Economics (£ per MWH)
Revenues
135
Digestate Disposal (£10/T)
20
Operating Cost (Incremental)
20-35
Marginal Contribution
96
Export Tariff
FIT 86.8
81
48.5
£38-45/Tof input
(Add further £10 if no digestate
cost)
organicwastelogistics.com 51
Significant room to improve!
Capacity Utilisation % (Jan–Mar 2016)
Anaerobic Digestion Plants*+250KW < 1MW
Anaerobic Digestion Plants**+1MW
42
30
28
90+% <67% 67-89%
14
42
44
90+% <67% 67-89%
* 80 Plants ** 43 Plants
Contact
William Heller Chief Executive
M +44(0)7734 130 133E [email protected] www.organicwastelogistics.com
OPERATIONAL PERFORMANCE – WHY ISN’T MY PLANT RUNNING AT 100%CHAIR: ALEXANDER HENDERSON, ORA
DR EMMA BRODRICK, SYSTEMS APPLICATION MANAGER, IMSPEX DIAGNOSTICS
TONY CLUTTEN, PROCESS SALES MANAGER, HUBER TECHNOLOGY
PHIL HOBBS, DIRECTOR, NEW GENERATION BIOGAS
FOLLOWED BY OPEN DISCUSSIONNORBERT ROSSOW, EPRV/FARMGAS COMMUNITY PARTNERS LTD
DR MELANIE HECHT, BIOGAS PROCESS MANAGER, SCHAUMANN BIOENERGY
Questions and comments from the floor
AD PROJECTS – DISPELLING THE MYTHS SURROUNDING LOCAL AD DEVELOPMENTSCHAIR: JOHN QUINTON-BARBER, MANAGING DIRECTOR, SOCIAL COMMUNICATIONS
FOLLOWED BY OPEN DISCUSSION
MANDY STOKER, DIRECTOR, E4 ENVIRONMENT
PETER ELMS, DIRECTOR, ALPACA COMMUNICATIONS
Chair: John Quinton-Barber, Managing Director, Social Communications
Dispelling the myths surrounding local AD developmentsMandy Stoker Director – E4Environment Ltd.
Who are we?• Environmental Consultancy since 2000• Specialise in Planning and permitting of renewable
energies• Implementing certified systems such as EMS,
ISO14001 • Worked on:
• Over 40 AD sites• Roof and ground mounted solar PV
installations• EIA & planning on over 100 onshore and
offshore wind farms & single turbine installations
This Presentation Covers
Reality of the planning system
Myth busting
Planning Application ProcessPre-application Consultation • Environment Agency and Local Planning Authority
Data Collection• FRA, LVA, Ecology, Transport, Noise, Odour . . .
Submission to Local Planning Authority for Validation (2 Months)
Legal Determination Period (2-3 Months)
Approval Conditions
• Do not assume that the planning process will be completed in this time frame, it usually doesn’t.
• Main things that cause delays:– The validation process– The consultation phase – Subjective issues – Anti campaigners who will work tirelessly to discredit the
project
MYTH No.1 The planning process takes 13 weeks
MYTH No. 2 It’s a level playing field for applicant and consultees
There is a process within the planning system that allows anyone that wishes to express an opinion or ask for more information can do so. This is right and fair.
• There are statutory consultees - The reality is some of the statutory consultees do not respond in the time allowed so extra time can be allocated.
• Then letters are sent out to notify the local public - The public’s opinion is often accepted after the deadline and right up to the committee meeting.
• What you see: nothing except a beautiful piece of engineering that can tick an awful lot of box’s
• What others see: a blight on the landscape, increased transport, the immoral use of crops as fuel not food, odours, devaluation of properties, bio aerosols and disease………………………………………..
MYTH No. 3 That everyone clearly sees all the benefits of the development
Councillors have been known to refuse applications on non-material planning grounds, so decisions can, and are overturned by appeal to the planning inspectorate.
MYTH No. 4 That a “No” decision means “No”
Thank you Mandy StokerDirector - E4Environment Ltd
Email: [email protected]: 01743 34 34 03
Address: Hilley Farm, Pentre, Nesscliffe, Shropshire, SY4 1BP
Peter Elms, Director, Alpaca Communications
Questions and comments from the floor
AD PROJECTS – HOW TO SUBMIT A SUCCESSFUL AD BUSINESS PLAN
CHAIR: DR STEPHEN WISE, ASSOCIATE DIRECTOR, AMEC FOSTER WHEELER
FOLLOWED BY OPEN DISCUSSION
BRIAN FARRELL, PARTNER, ENERGY AND WASTE, ASHFORDS
AMAYA-ARIAS GARCIA, TECHNICAL DIRECTOR, GOALS PROJECT MANAGER & ENGINEERING SUPPORT
Chair: Dr Stephen Wise, Associate Director, Amec Foster Wheeler
Brian Farrell, Partner, Energy and Waste, Ashfords
Amaya-Arias Garcia, Technical Director, Goals Project Manager & Engineering Support
Questions and comments from the floor
TRAINING – RAISING COMPETENCE ACROSS THE AD SUPPLY CHAIN
CHAIR: DR JANE GILBERT, DIRECTOR, CARBON CLARITY
FOLLOWED BY OPEN DISCUSSION
MARK HYDE, COMMERCIAL DIRECTOR, WAMITAB
TINA BENFIELD, SENIOR TECHNICAL ADVISOR, CIWM
DAN PURVIS, HEAD OF OPERATIONS, FUTURE BIOGAS
Chair: Dr Jane Gilbert, Director, Carbon Clarity
WAMITAB: Building and maintaining competence in ADMark Hyde, Commercial Director
Who are WAMITAB?
Charitable TrustAwarding Organisation
Industry Training and Advisory Board
PARTNERSHIPS
APPROVED NETWORK OF
PROVIDERS
EMPLOYER CENTRES
Skills development in Anaerobic Digestion
• Qualification: A title or attribute gained in education, through examination or by certification
Vs.
• Training: the action of teaching a person or animal a particular skill or type of behaviour.
CIWM/WAMITAB Operator Competence Scheme
Risk Tiers
PrimaryQualifications
Continuing Competence
Risk Tiers for Anaerobic Digestion
• Anaerobic Digestion falls under MEDIUM RISK
• Risk Tier table based on relative risk taking account of type of activity and type of waste stream ‘handled’
• Agreed with Environmental Regulators, and amended as required.
• Qualifications made of 4, 6 or 12 units.
The New ‘Risk Tier’ Table (Medium)Anaerobic Digestion
WAMITAB Anaerobic Digestion Qualifications Exist
• WAMITAB Level 4 Medium Risk Operator Competence for Anaerobic Digestion (601/8515/6) (MROC5)
• WAMITAB Level 4 Medium Risk Operator Competence for Storage of Digestate (601/8537/5) (MROC6)
• WAMITAB Level 4 Certificate in Waste and Resource Management (601/2388/6) (VRQ, Unit 6b)
How are these qualifications assessed?
• Open entry.
• Suitable for technically competent managers, consultants, site managers and site supervisors.
• Once registered with centre, assessors will visit the site.
• Assessed ‘on the job’.
• Portfolio of evidence.
Alternative: Level 4 Certificate in Waste and Resource Management
• Moves away from observation. Knowledge based
• Assessment: assignments
• Mandatory Units: 5
• Optional Unit (1 specifically for AD):- Managing biological treatment processes (unit 6b)
• Could be seen as more suited for ‘new entrants to the sector’ (academia)
but….
NO formal requirement for Operatives or Supervisors to be qualified, regardless of risk or type and size of
facility….Qualification does exist
WAMITAB Level 2 Diploma for Anaerobic Digestion Operative
Developing the AD Skills Escalator
SITE
….
Employability
Pre-employment
Level 1 Award in Waste and Recycling
Level 1 Award in Reuse & Refurbishment
Operator Level 2 Diploma in….
Supervisor Level 3 Diploma in….
Manager
WAMITAB Medium Risk
Continuing Competence
Gap Exists
AD Entry Level?
Knowledge?
Ambition is to move from a linear economy ….
Future skills needs….
.… to a circular
economy
In summary
Training – raising competence across AD
Tina BenfieldTechnical Manager - CIWM
AD Matrix
Repository for information - live document
Helps to focus needs – wider than direct AD Operations (whole supply chain)
Encourages upskilling/ awareness but development and delivery determined by market forces.
General AD Awareness
H&S Detailed AD process
/ operationTechnical
Competence Plant and
equipmentEnvironmental
MonitoringGas Management BioChemistry
Digestate Management
PAS 110 /ADQP Management Negociation /
communicationPermitting Duty of Care
Economics of Operation
Ongoing Update/ development
Other comments
Procurement include understanding
outputs plus awareness of other
technologies (see General AD
Awareness tab for more details)
not specific to AD other than for
contractual purposes
X X X X X X XAwareness
depending on plans for output use
not specific for AD
Awareness of requirements for tender spec and
evaluation purposes only
(see tab for more details)
awareness (see tab for
more details)
(relevant to initial training requirments)
Sales appreciation of process, how
different feedstock (quantities, waste streams and form) affect process and
outputs. (see General AD
Awareness tab for more details)
not specific to AD unless site based X X X X X X X Awareness if plant is
certified not specific for AD
Awareness of permit requirements
(see tab for more details)
X X
(relevant to initial training requirments)
Regulators
plus awareness of other
technologies (see General AD
Awareness tab for more details)
normal awareness when
visiting sites (including
confinded space awareness)
level of detail will depend on role
Awareness of requirements
CIWM/ WAMITAB able to provide
awareness training on request -
(England and Wales)(via Alan
Owers)
X
understand requirements for
odour, noise, bioaerosol
monitoring plus interpretation of
results etc
X X Awareness for
Animal Health, EA, SEPA, NIEA
not specific for AD
(see tab for more details)
(see tab for more
detai ls)
X
(process best practice, H&S,
regulations, quality
protocols)
Elected Members of Local Councils
plus awareness of other
technologies (see General AD
Awareness tab for more details)
Not specific to AD X X XAwareness of level of
control through permitting
Awareness of opportunities X X X X X X X X
(relevant to
initial training requirments)
Planning Officers plus awareness of other
technologies (see General AD
Awareness tab for more details)
normal awareness when
visiting sites.X X X
Awareness of level of control through
permitting
Awareness of opportunities X X X X X X X
(relevant to
initial training requirments)
WDA / WCA include implications of
collection systems on AD and vice
versa. (see General AD
Awareness tab for more details)
Not specific to AD X X X X X X X X not specific for AD not specific for AD X
(see tab for more details)
X
(relevant to initial training requirments)
Operator – operative level
some ancillary staff may need awareness other = detailed
knowledge/ skills (see General AD
Awareness tab for more details)
(including confined space
training, ATEX, (see Health and
Safety tab for more details)
? Will depend on company structure
See Technical Competence Tab
for details and contacts
safe maintenance of equipment
understand requirements for odour, noise, bio
aerosol monitoring, monitoring of process plus interpretation of
results etc
day to day operational
knowledge subject to expert advise
some knowledge relating to process control and
feedstock
plus
limitations of use of non PAS 110
digestate
may need supervisory skills ?
(see tab for more
details)
(see tab for more
details)X
(process best practice,
H&S, regulations,
quality protocols)
Operator – Management level
X
(see Health and Safety tab for more
details)
(but will depend on actual
hands on role - specific to
organisation)
See Technical
Competence Tab for details and
contacts
safe maintenance of equipment
understand requirements for
odour, noise, bioaerosol monitoring,
monitoring of process plus interpretation of
results etc
day to day operational
knowledge subject to expert advise
some knowledge relating to process control and
feedstock
plus limitations of use
of non PAS 110 digestate (see
tab for more details)
(see tab for more details)
(see tab for more
details)
(process best practice,
H&S, regulations,
quality protocols)
Gas Utilisation
(see General AD
Awareness tab for more details)
ATEX Regulations,
Confined space awareness + ???? (see Health and Safety tab for more details)
X X X
clean up, CHP
generation/ use, biomethanisaion, injection to grid, use in transport
X X X not specific for AD not specific for AD
(see tab for more details)
X
(process best practice,
H&S, regulations,
quality protocols)
Digestate users
(see General AD
Awareness tab for more details)
(see Health and
Safety tab for more details)
X
yes if landspreading
waste under permit See Technical
Competence Tab for details and
contacts
X X X X
plus limitations of use
of non PAS 110 digestate
(see tab for more details)
not specific for AD not specific for AD
(see tab for more details)
X
(process best practice,
H&S, regulations,
quality protocols)
consider content of FACTs training - does it cover use of AD digestate suffi ciently? Include landbank availability allowance tool.
Consultants depends on role - all should have general
awareness of technologies
(see General AD Awareness tab for
more details)
depending on
whether involved in on site activities
(see Health and Safety tab for more details)
depends on role X depends on role depends on role depends on role depends on role depends on role not specific for AD
(see tab for more details)
Awareness (see tab for more
details)
(process best practice,
H&S, regulations,
quality protocols)
Retail
(see General AD
Awareness tab for more details)
not specific to AD X X X X X X
awareness only
plus limitations on use of non PAS 110
digestate (see tab for more
details)
not specific for AD not specific for AD X
(see tab for more details)
X
(relevant to initial training requirments)
Waste Producers (see General AD
Awareness tab for more details)
not specific to AD X X X X X X X X not specific for AD not specific for AD X
(see tab for more details)
X
(relevant to initial training requirments)
Environmental Monitoring
(see General AD Awareness tab for
more details)
(see Health and
Safety tab for more details)
X X X odour, noise,
bioaerosol monitoring etc
X X X X not specific for AD not specific for AD
Awareness of permit requirements re
monitoring (see tab for more
details)
X X
(relevant to initial training requirments)
Public plus awareness of other
technologies (see General AD
Awareness tab for more details)
X X X X X X X X X X X X X X
(relevant to initial training requirments)
Design and build
(see General AD
Awareness tab for more details)
(see Health and
Safety tab for more details)
include understanding of
end use requirements
X X
Understanding of requirments
X Xensure equiptment
fit for purpose (see tab for more
details)
not specific for AD not specific for AD X X
(process best practice,
H&S, regulations,
quality protocols)
Equipment Manufacturing
(see General AD
Awareness tab for more details)
awareness to ensure
appropriate safeguards built in
(see Health and Safety tab for more details)
in so far as understanding
system requirements
X
Engineering (mechanical and
electrical) transferable skills from existing UK Engineering
base
X
Understanding of requirments
X X X not specific for AD not specific for AD X
As waste producer they will need to
understand Duty of Care
(see tab for more details)
X
(relevant to initial training requirments)
ProcurementSales RegulatorsElected membersPlanning OfficersWDA/ WCA Operator – operative levelOperator – management levelGas utilisation
Digestate usersConsultantsRetailWaste producersEnvironmental monitoring PublicDesign and buildEquipment manufactures
AD Training needs matrix – considers whole AD supply chain
General AD awarenessH&SDetailed AD process/ operationTechnical Competence ( holding a permit!)Plant and equipmentEnv monitoringGas managementBiochemistry
Digestate managementPAS 110 / ADQP (PAS 100) Management Negotiation/ communicationsDuty of carePermittingEconomics of operationOngoing update/ development
Looks at a range of ‘needs’
Looks at more than just ‘operation’
Identifies areas for training / awarenessDoesn’t prescribe a ‘syllabus’ or way of delivering/ obtaining knowledge (other than TCM)Open to market developmentLinks to known/ available quals/ schemes where applicable (see additional tabs for details)
Operations - Operative Level
General AD Awareness H&S
Detailed AD process / operation
Technical Competence
Plant and equipment
Environmental Monitoring
Gas Management BioChemistry
Digestate Management
some ancillary staff may need awareness other = detailed
knowledge/ skills (see General AD
Awareness tab for more details)
(including confined
space training,
ATEX, (see Health and Safety
tab for more details)
? Will depend on company structure
See Technical
Competence Tab for
details and contacts
safe maintenance of equipment
understand
requirements for odour, noise, bio
aerosol monitoring,
monitoring of process plus
interpretation of results etc
day to day operational knowledge subject to
expert advise
some knowledge relating to
process control and feedstock
PAS 110 /ADQP Management
Negotiation / communication Permitting Duty of Care
Economics of Operation
Ongoing Update/ development
Other comments
plus limitations of use of non PAS
110 digestate
may need supervisory
skills?
(see tab for
more details)
(see tab for
more details)X
(process best practice, H&S,
regulations, quality
protocols)
Operations – Management level
General AD Awareness H&S
Detailed AD process / operation
Technical Competence
Plant and equipment
Environmental Monitoring
Gas Management BioChemistry
X
(see Health and Safety
tab for more details)
(but will
depend on actual
hands on role -
specific to organisation
)
See
Technical Competenc
e Tab for details and
contacts
safe maintenance of equipment
understand requirements for
odour, noise, bioaerosol monitoring,
monitoring of process plus
interpretation of results etc
day to day operational knowledge subject to
expert advise
some knowledge relating to
process control and feedstock
Digestate Management
PAS 110 /ADQP Management
Negotiation / communication Permitti ng Duty of Care
Economics of Operation
Ongoing Update/ development
Other comments
plus limitations of use of non PAS
110 digestate (see tab for more details)
(see tab for more
details)
(see tab for
more details)
(process best practice, H&S,
regulations, quality
protocols)
Design and Build
General AD Awareness H&S
Detailed AD process / operation
Technical Competence
Plant and equipment
Environmental Monitoring
Gas Management BioChemistry
Digestate Management
(see General AD
Awareness tab for more details)
(see Health and Safety
tab for more details)
include understandi
ng of end use
requirements
X X
Understanding of requirments
X X
PAS 110 /ADQP Management
Negotiation / communication Permitting Duty of Care
Economics of Operation
Ongoing Update/ development
Other comments
ensure equiptment
fit for purpose
(see tab for more details)
not specific for AD
not specific for AD X X
(process best practice, H&S,
regulations, quality
protocols)
Digestate Users
General AD Awareness H&S
Detailed AD process / operation
Technical Competence
Plant and equipment
Environmental Monitoring
Gas Management BioChemistry
Digestate Management
(see General AD
Awareness tab for more details)
(see Health and Safety
tab for more details)
X
yes if landspreadin
g waste under permit
See Technical
Competence Tab for
details and contacts
X X X X
PAS 110 /ADQP Management
Negotiation / communication Permitting Duty of Care
Economics of Operation
Ongoing Update/ development
Other comments
plus limitations of use of non PAS
110 digestate
(see tab for more
details)
not specific for AD
not specific for AD
(see tab for
more details)
X
(process best practice, H&S,
regulations, quality
protocols)
consider content of FACTs training - does it cover use of AD digestate suffi ciently? Include landbank availability allowance tool.
Industry needs to reinforce training / skills development message.Especially where no statutory requirement exists.Benefits of improved staff training
safetyenvironmental/ regulatory impacts costs………………………………………… and many
more
Thank you
ciwm.co.uk
Dan Purvis, Head of Operations, Future Biogas
Questions and comments from the floor
HEALTH AND SAFETY – WHAT HEALTH AND SAFETY PROTOCOLS ARE NEEDED FOR YOUR PLANT?
CHAIR: TERENCE BROWNHILL, BUSINESS DEVELOPMENT MANAGER, CAPITA-PROJEN
FOLLOWED BY OPEN DISCUSSION
ALAN FITZPATRICK, RISK ENGINEER, CAN HARDY
IAN HITCHEN, ROWAN HOUSE
DAN PURVIS, HEAD OF OPERATIONS, FUTURE BIOGAS
JESS ALLEN, ENVIRONMENT & REGULATION MANAGER, ADBA
Chair: Terence Brownhill, Business Development Manager, Capita-PROjEN
BIOGAS
• Power and Renewable Energy• “Keeping Your People Safe and your Plant Insurable”
My Manager says I have an exciting job?
Health & Safety
108108
AGENDA
108
1 A few slides
CNA Policy Wording
• Feedstock Quality to check, any changes notified to insurer
• Foaming• Maintenance• Limit of incorrect BI figures
The MAXIMUM FORESEEABLE LOSS (MFL) which could occur
This is the most extreme loss that might occur that is within the bounds of reasonable possibility. It includes the consequences of the most severe natural peril as well as explosion, fire and breakdown as appropriate. It assumes the failure of emergency services to attend the site and the failure of all control, protection and detection systems. The consequent interruption is assumed to last throughout the indemnity period with no make up assistance in mitigation of the lost income
“
Fire and Explosion
HAZOP hazard and operability study
Separation what distance?
Explosion, ATEX, DSEAR
Gas detection
Construction what materials?
Fire Detection, Alarm
Fire Fighting facilities
Pre-site survey to identify issues
Electrical
Missing Hand railNeed to check safety valve
Separation?
DESIGN Electricity Import and Export Arrangements
• The export and import transformers
are located in the same space, with no
separation, no fire / explosion walls, no
fire protection and no bunding.
• The building is open wood slatted
sides this is very unusual for an oil
cooled transformers room
• This room is a single point of failure for
the whole business in the event of an
incident.
• Prefer oil transformers outside, small
transformer minimum 7.6M
separation / 2 hr fire / explosion wall
Testing Biogas Tanks
Typical Biogas tank note the safety device
Site Survey End of Construction Survey
115
Client states 2 hour fire wallswooden door, cable openings ?
Summary• No Insurance company has to
provide coverage• The premium you pay will
reflect you’re site, attitude to Health & Safety and willingness to Learn
When it comes to business insurance…We can show you more®.
CNA Insurance Company Limited (registered number 950) CNA Switchboard: +44 (0)20 7743 6800 Facsimile: +44 (0)20 7743 6801 Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (number 202777) Hardy (Underwriting Agencies) Limited (registered number 1264271) Hardy Switchboard: +44 (0)20 7105 0382 Facsimile: +44 (0)20 7327 3615 Authorised by the Prudential Regulation Authority
and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (number 204843) CNA Services (UK) Limited (registered number 8836589) CNA Switchboard: +44 (0)20 7743 6800 Facsimile: +44 (0)20 7743 6801 The above companies are all registered in England with their registered office at 20 Fenchurch Street, London, EC3M 3BY. VAT registration number 667557779.
The information contained in this presentation does not represent a complete analysis of the topics presented and is provided for information purposes only. It is not intended as legal advice and no responsibility can be accepted by CNA Hardy for any reliance placed upon it. No representation or warranty, express or implied, is made as to the contents of this presentation, or for the omission of any material from this presentation. Legal advice should always be obtained before applying any information to particular circumstances.
Please remember that only the relevant insurance policy can provide the actual terms, coverages, amounts, conditions and exclusions for an insured. All products may not be available in all countries.
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 118
Profitable Safety
Anaerobic Digestion & Biogas Utilisation Plants & Equipment
Ian Hitchen, BA (Hons), C.Eng, MIET, Director Rowan House Ltd
Copyright basis:This presentation is made for educational purposes only. Some photographs and diagrams are copied herein and text is reproduced within for the purposes of study. These items may not be reproduced for
any other purpose without the written permission of the relevant copyright holder
Overview of Risk Assessment
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 119
Anaerobic Digestion Plants & Equipment
Overview of Risk Assessment
UK Health & Safety Law
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 120
HEALTH and SAFETY at WORK Etc. ACT
Management of Health and Safety (MHSR)Enabling Act for other Safety Regulations (including EU Directives) such as -
Dangerous Substances and Explosive Atmospheres (DSEAR)
Control of Substances Hazardous to Health COSHH
Common theme of Hazard & Risk Assessment
HASWA etc Every employer shall make a suitable and sufficient assessment of the risks to the health & safety of his employees…and of persons not in his employment
MHSR Reg3(1)..suitable & Sufficient assessment of RISK to -Employees
Other Persons
Control of Major Accidents and Hazards (COMAH 2015)
UK Law
Supply of Machinery (safety) Regulations
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 121
Regulations 9 and 10 set out the duties placed on designers. These include the duty to eliminate, reduce or control foreseeable health and safety risks through the design process, such as those that may arise during construction work or in maintaining and using the building once it is built.)
Construction (Design and Management) CDM UK Law
DSEARReg 5 Risk Assessment: Where a dangerous substance is or liable to be present every employer shall assess the risk to workers (and others who may be affected) which may arise because of the presence of dangerous substancesThe risk assessment, where appropriate may be part of a goal orientated approach as required by BS EN 61508 / BS EN 61511 (HazOp)
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 122
Safety and Anaerobic Digestion Plants & Equipment
Overview of Risk Assessment
Safety - Who is Responsible?
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 123
For the plant the employer – the Duty Holder
What about an equipment designer/supplier?
The employee for their own and others safety -
There is a requirement within the UK, (EU) to meet ‘essential ’safety requirements enabling the fixing of the CE mark (Supplier of Machinery Regs., ATEX 95, EMC, Low Voltage, etc.)
What about a supplier of process plant and equipment?
Here there is a combination of responsibilities – the supplier based on the requirements specification and meeting CE. The specification is required from the project team and the operator to ensure equipment is ‘fit for purpose’ meeting all the essential operating and safety requirements.
Construction (Design & Management) Regs., Pressure Equipment Regs, Pressure Systems Safety Regs. Supply of Machinery Regs, DSEAR, PUWER, etc., may apply
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 124
'Duty Holders' are deemed to have the resources and the authority necessary to provide a safety management system and can be held legally accountable following a criminal offence. It is essential for 'Duty Holders' to discharge their responsibilities effectively
The prime responsibility is placed on the Duty Holder – Employers, Directors and Managers
Within the European Union the requirement to minimise risk to people set out in ‘Safety of Workers’ Directives
In the UK those Directives concerned with H&S become Safety Legislation
An important question that must be answered by any plant operator -
Is the operation of this unit and associated machinery ‘SAFE’?
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 125
Safety and Anaerobic Digestion Plants & Equipment
Overview of Risk Assessment
What is Meant by Safe?
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 126
UK Law
'SFAIRP' and 'ALARP' In terms of what they require of duty-holders, HSE considers that duties to ensure health and safety so far as is reasonably practicable ("SFAIRP") and duties to reduce risks as low as is reasonably practicable ("ALARP") call for the same set of tests to be applied.
What is meant by Safe?
The key case from the courts regarding reducing risks as low as reasonably practicable is Edwards v. The National Coal Board (1949) in which the Court of Appeal held that:
… in every case, it is the risk that has to be weighed against the measures necessary to eliminate the risk. The greater the risk, no doubt, the less will be the weight given to the factor of cost. …
Thus, determining that risks have been reduced ALARP involves an assessment of the risk to be avoided, of the sacrifice (in money, time and trouble) involved in taking measures to avoid that risk, and a comparison of the two.
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 127
Various UK legislation uses phrases such as:• ‘So far as is reasonably practicable’• ‘Appropriate arrangements’• ‘All measures necessary’Interpreted (by HSE) to mean
– Reduce risks to as low a level as is reasonably practicable (ALARP)
– (Ref: HSE SPC/Permissioning/12 www.hse.gov.uk)
ALARPRISK UNACCEPTABLE
Broadly ACCEPTABLE
TOLERABLE
TOLERABLE ONLY WHERE FURTHER COST/EFFORT DISPROPORTIONATE FOR THE ADDITIONAL RISK REDUCTION GAINED
Disproportion value depending on the severity of the risk this needs to be demonstrated usually by a Cost Benefit Analysis:
Base Line cost to save a life is circa 2.0E+6 £ (not the value of a life)
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 128
UK Law
The determination of control measures forms part of the statutory risk assessment duty-holders are required to undertake.
Such assessments involve duty-holders identifying the hazards in their workplace,
determining who might be harmed and how;
evaluating the risk from the hazards and
deciding whether the existing control measures are sufficient or
'SFAIRP' and 'ALARP' What is meant by Safe?
whether more should be done
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 129
Safety and Anaerobic Digestion Plants & Equipment
Overview of Risk Assessment
A Key Concept
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 130
Key Concepts HAZARDS:(Temperature, Pressure: Toxic, Flammable, Corrosive)
CONSEQUENCE HARM to People, Environment, Assets
1 in 200 years
1 employee fatality
RISK: 1 Fatality per 200 yrs
(Trips, Slips Fall, Crushing, Electrocution)
Likelihood of consequence
Severity of consequence
RISK reduced to a Corporate value by Identified Risk Reducers
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 131
By safe H&S legislation means that the risk to People is deemed to be ‘TOLERABLE’…. the employer must safeguard "as far as is reasonably practicable" (ALARP) the health, safety and welfare of their employees and others.
1. This requires identification of Hazards 2. Is there a potential to do Harm3. An assessment of how likely they are to occur4. What is the magnitude of the Risk and 5. Is this Risk Tolerable relative to a Target.
Key Concepts
An essential requirement is for the Duty Holder to determine the target risk of harm to people (and environment) that may arise from abnormal operation of a plant unit and to show that these values have been achieved and ALARP over the life time of the plant
People Harm: Injury Serious Recoverable
Injury Serious None Recoverable
A Fatality Several Fatalities
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 132
Concept
Front end design
Project sanction
Main Design & Equipment Specifications: DSEAR Hazardous Areas Defined
Fabrication
ConstructionPre-commissioning (DSEAR Reg.7 Verification):
BS EN 61511 SIF Validation Handover
Operation
Hazard study stage 2
Full HAZOP study FATHazard Review stage 4
Hazard Review stage 5
Final review of completed actionsHazard Review stage 6
Final Design
It is strongly recommended that risk assessments are carried out at the following stages of a project:
Hazard study stage 1
Pre Commissioning
Considerations
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 133
An assessed Risk v Target Values Methodology
BS EN 61511 has several methods
The most useful in a HazOp is a Calibrated Risk matrix
BS EN 61511-1,2&3 :Ed 2 2015Functional safety. Safety instrumented systems for the process industry sector
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 134
Inherent Process Risk
Severity Exposure AvoidanceCol1 Col2 Col3 Col4 Col5 Col6
Rwa1 1 + + + 0 0Pexp1
Rwa2 2 1 1 + + +S1 Rwa1 2 1 1 1 + + Pexp2
Rwa2 3 2 2 1 1 1
Rwa1 2 1 1 1 + +Pexp1
Rwa2 3 2 2 1 1 1S2 Rwa1 3 2 2 2 1 1 Pexp2
Rwa2 4 3 3 2 2 2
Rwa1 3 2 2 2 1 1Pexp1
Rwa2 4 3 3 2 2 2S3 Rwa1 4 3 3 3 2 2 Pexp2
Rwa2 ***** 4 4 3 3 3
Pexp1 ***** 4 4 3 3 3S4 Pexp2 ***** ***** ***** 4 4 4
S1 =
Serious: Slight to moderate pain for 2-7 days. Thereafter some pain/discomfort for several weeks. Some restrictions to work and/or leisure activities for several weeks/months. After 3-4 months return to normal health with no permanent disability.
S2 =
Severe: Permanently incapacitating injury: Moderate to severe pain for 1-4 weeks. Thereafter some pain gradually reducing but may recur when taking part in some activities. Some permanent restrictions to leisure and possibly some work activities.
S3 = one fatality
S4 = up to ten fatalities
Probability of presence in the danger zone: Pexp1Unlikely to be present less than 10% of work periodPexp2May be present, more often than 90% of work period
Probability of risk avoidance Rwa1 a warning with a correct avoidance response Rw2 Ano warning or incorrect avoidance respose
Inherent Process Risk Block: No independent layers of risk reductuin taken into account Col1 Likelihood of Hazard 1 per yr. Col2 Likelihood of Hazard 1 in 5 yrs. Col3 Likelihood of Hazard 1 in 10 yrs. Col4 Likelihood of Hazard 1 in 30 yrs. Col5 Likelihood of Hazard 1in 50 yrs., the hazard might occur but wih a low likelihood within the lifetime of the plant Col6 Likelihood of Hazard 1 in 100 yrs., the hazard might occur but wih a very low likelihood within the lifetime of the plant
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 135
An assessed Risk v Target Values Methodology
Where there is an assessed residual risk then further Independent Risk Reducers Must be provided in order to meet the target values and to enable ALARP to be demonstrated
For reducing risk to people this may be a Safety Instrumented Function, (SIF) with a defined Safety Integrity Level, (SIL)
Where The SIF has a SIL then its design and lifetime maintenance MUST conform to the requirements of BS EN 61511
NOTE: BS EN 61511 is considered as Good Practice for the Management of Functional Safety it is a Plant Life Cycle approach
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 136
It is essential that any Package units are fully specified and that they are included in the Hazard and Operability review and all considerations have recorded responses
A HazOp is Internationally ackowlegleded method:
When facilitated by a good Team Leader at the right phase of a project with a Knowledgeable team it will
SAVE MONEY
By avoiding costly late changes
Project completed on time
Plant commissioned within programme
Plant soon up to Design Production & Quality
AND
A plant that is Safer and Operable throughout its life
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 137
In Summary it is essential that all associated plant unit’s including the integrated packages hazards and associated risk have:
been Identified
And
Reduced to ALARP
That the life time requirements to achieve this legal requirement is communicated to the Duty Holder (plant operator)
Safety and Anaerobic Digestion Plants & Equipment
Overview of Risk Assessment
ROWAN HOUSELTD www.rowanhouse.co.ukSlide 138
HEALTH AND SAFETY: BEST PRACTICE SCHEME FOR AD
JESS ALLANENVIRONMENT AND REGULATION MANAGER
AimsThe Best Practice Scheme aims to help the industry to:
• Improve environmental performance.• Improve safety performance.• Improve operational performance.
These aspects are all inter-linked and the scheme has a strong overall emphasis on risk awareness and management and competence.
To draw together the expertise in the UK AD industry and raise awareness of best practice across the sector.
Steering GroupChaired by Amaya Arias-Garcia (Goals-PME)ADBAChartered Institute of Wastes Management (CIWM) Chartered Institute of Water and Environmental Management (CIWEM)CNA Hardy (insurer)Country Land and Business Association (CLA)Energy Networks Association (ENA)Environmental Services Association (ESA)Institute of Chemical Engineers (IChemE)Jelf (insurance broker)NFUNFU CymruNFU ScotlandRenewable Energy Association (REA)Water UKWRAPZero Waste Scotland
Plus input from regulators: APHA, EA, HSE, NRW, SEPA
Steering Group Conclusions• Priority topics identified included: odour management, containment,
digestate quality, risk management, training and competence.
• Scheme should improve awareness of existing guidance, standards and legislation and make it more accessible.
• Checklists were proposed as a first step towards a certification scheme.
Health and Safety ExecutiveHSE are supportive of the scheme and have attended workshops:
‘It is excellent to see ADBA’s drive to develop a Best Practice scheme for the Anaerobic Digestion industry come to fruition. The extensive industry consultation, particularly with operators, insurers and regulators, really draws in a wide range of knowledge and experience into the scheme. I hope that this guidance, produced by the industry for the industry, will enable small and large companies alike to raise their own health and safety standards and the overall performance of the Anaerobic Digestion industry.’
Rick Brunt, Head of Waste and Recycling at the Health and Safety ExecutiveClick here to see the HSE’s strategy ‘Helping Great Britain Work Well’: http://www.hse.gov.uk/strategy/
Delivery Plan
Step 2: Best Practice Certification Scheme
(July 2017)Develop a certification scheme, informed by the
checklists.
Step 1: Best Practice Checklists (July 2016)Develop a series of Best Practice checklists
which bring together regulations, guidance, standards relating to best practice.
Best Practice Checklists
• Checklist-style guides on key topics identified through industry engagement:
Operational Performance Risk Management Procurement
• Raise awareness of existing guidance, regulations and standards that contribute to best practice.
• Collate guidance to make it more accessible.
• Provide a foundation for a certification scheme.
Risk Management
• Covers identifying and managing risks to:
- Health and safety- Environment
• Explains benefits of effective risk management.
• Promotes instilling risk awareness for all individuals involved in operating a plant, from senior management to site operatives and contractors.
• Encompasses risk management at different stages of an AD project.
• Guide to making procurement decisions for items of plant, equipment or machinery, and services such as maintenance contracts.
• Focuses on ensuring:
- Compliance with legislative requirements- Safety and environmental protection- Suitability for intended purpose- Cost-effectiveness
Procurement
Operational Performance• Focuses on identifying and overcoming barriers to good
performance.
• Features guidance and tips on:
- Monitoring operational performance- Ensuring competence- Managing digester biology- Understanding feedstock- Making the most of digestate
Next Steps• July 2016 – end year
• Will be seeking feedback and actively engaging with individual organisations and working groups.
Test the checklists
• July 2016 – throughout 2017
• Will entail devising suitable assessment criteria, working with UKAS and third party accreditation bodies.
Design the certification
scheme • Intention is to start from summer 2017
• Will be looking for operators to help us pilot the scheme.
Pilot the certification
scheme
Get Involved
• Stakeholder Meeting – this afternoon (15:00, Piazza Suite)• Food Waste Operator Group• Crop Operator Group• Training, Safety and Environment Working Group• Finance Forum• Visit ADBA website• AD & Bioresources News• ADBA events• Get in touch with Jess
Dan Purvis, Head of Operations, Future Biogas
Questions and comments from the floor