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ORLEN Group 2016 Integrated Report

II nagroda specjalna w kategorii Raport Zintegrowany | Najlepszy raport on-line

Product responsibility

Capitals:  

We seek to consistently reduce the energy consumption of the ORLEN Group’s production units, thus fostering operational excellence.

1. RAW AND OTHER MATERIALS USED IN PRODUCTION

 In its refining and petrochemical operations, the Group processes various raw materials and semi-finished products. However, crude oil is the principal raw material for production. Among other inputs are biocomponents and other chemicals.

Table: Materials used in 2016

Non-renewable feedstock [tone]
  PKN ORLEN ORLEN Lietuva Unipetrol
Crude oil 15129586 9323 372 5421666
Other feedstock 1006848 508966 1322317
Renewable feedstock [tone]
  PKN ORLEN ORLEN Lietuva Unipetrol
Biocomponents 723 636 75 480 215 081

TABLE: CRUDE OIL CONSUMPTION

Crude oil consumption
  2014 2015 2016 Crude share in total feedstock
PKN ORLEN 14.28 15.67 15.13 86%
ORLEN Lietuva 7.50 8.49 9.32 94%
Unipetrol 5.13 6.50 5.42 83%

Crude oil, a non-renewable resource, is purchased for all ORLEN Group refineries as part of an integrated procurement process handled by PKN ORLEN, which purchases oil from external suppliers.

Other materials used in our plants include natural gas, biocomponents and semi-finished products, exchanged mainly between the refinery and the petrochemical plants (they are not primary feedstock).

2. RECYCLED MATERIALS USED AS INPUT MATERIALS

The ORLEN Group recycles effluents and reuses water. Recycling involves recovering and reprocessing of waste materials to obtain raw materials for the same or other applications. By reusing waste materials, Group companies reduce consumption of new raw materials, which enhances process efficiency and helps protect natural resources.

Recovery and reuse of waste materials also reduce the overall amount of generated waste. Reusing energy materials and energy carriers is part of efficient energy management. The principal goal of the recycling activities is to maximise the amount of reused materials, with a minimum energy spending on their processing.

In 2016, PKN ORLEN’s Płock Production Plant recovered 0.03% of slops in the wastewater treatment process and reprocessed them in the distillation unit. Moreover, 21% of treated wastewater was used to produce industrial water and water for fire-fighting purposes.

Waste raw materials and heat were also reused at other ORLEN Group companies.

3. PRODUCT AND SERVICE LABELLING

Obligations of the ORLEN Group companies to provide information on the potential hazards associated with specific products by using special signs and labels originate from international and EU laws. The scope and division of responsibilities of the ORLEN Group companies are defined in internal regulations.

The key tool used to determine the required type of labelling is safety data sheets, prepared in accordance with the EU REACH regulation. Safety data sheets contain information on product labelling based on the CLP classification and warning stickers related to hazards involved in transport (if required).

Safety data sheets are mainly a source of information on products used for industrial and professional applications. In the case of products marketed directly for use by general consumers, such information is provided by ORLEN Group companies by appropriate labelling of product packaging.

Labels on product packaging compliant with CLP regulation contain, in addition to pictograms, standard hazard statements and precautionary statements.

Given the wide range of applications for ORLEN Group products, labels on product packaging also meet detailed requirements provided for in specific legal provisions applicable to detergents, fertilizers, etc.

As the requirement to communicate hazards and safe use instructions are imposed by law, the signs included in safety data sheets and on product packaging are checked for regulatory compliance by competent state authorities (such as the State Sanitary Inspection (SANEPID) or the National Labour Inspectorate).

 

4. BENZENE, LEAD AND SULFUR CONTENT IN FUELS

TABLE: Benzene, lead and sulfur content in liquid fuels, by company

PKN ORLEN S.A.

  Average content in 2016 Basis of regulatory requirements
Commercial name Sulfur Benzene Lead  
Petrol
Regulatory quality requirements max. 10.0 max. 1.00 max. 5.0  
Unit mg/kg % (V/V) mg/l  
EuroSuper 95 9,0 0,68 <2,5 The Minister of Economy’s Regulation of October 9th 2015 on quality requirements for liquid fuels (Dz.U. of October 25th 2015, item 1680) and PN-EN 228:2013-04/Ap3:2016-06 standard: ‘Automotive fuels. Unleaded petrol. Requirements and test methods’

Difference between the 2016 average and the required standard

1,0 0,32 >2,5

Difference between the averages for 2015 and 2016

0,2 -0,01 >2,5
Eurosuper 95 with Ethanol and ETBE content 8,8 0,58 <2,5

Difference between the 2016 average and the required standard

1,2 0,42 >2,5

Difference between the averages for 2015 and 2016

0,2 0,01 >2,5
Super Plus 98 with Ethanol and ETBE content 8,2 0,52 <2,5

Difference between the 2016 average and the required standard

1,8 0,48 >2,5

Difference between the averages for 2015 and 2016

0,2 -0,07 >2,5
VERVA 98 with Ethanol and ETBE content 7,6 0,51 2,5

Difference between the 2016 average and the required standard

2,4 0,49 >2,5

Difference between the averages for 2015 and 2016

-0,4 -0,08 >2,5
Diesel oil            
Regulatory quality requirements max. 10.0 nlp nlp  
Unit mg/kg  
Ekodiesel Ultra 7,4 nm nm The Minister of Economy’s Regulation of October 9th 2015 on quality requirements for liquid fuels (Dz.U. of October 25th 2015, item 1680) and PN-EN 590:2013-12 standard: ‘Automotive fuels. Diesel oil. Requirements and test methods’

Difference between the 2016 average and the required standard

2,6

Difference between the averages for 2015 and 2016

-0,5
Class 2 Ekodeisel Ultra 6,7 nm nm

Difference between the 2016 average and the required standard

3,3

Difference between the averages for 2015 and 2016

-0,8
Verva ON 8,5 nm nm

Difference between the 2016 average and the required standard

1,5

Difference between the averages for 2015 and 2016

-0,5
Fuel oil            
Regulatory quality requirements max. 0.1 nlp nlp  
Unit % (m/m)  
Ekoterm Plus fuel oil 0,1 nm nm The Minister of Economy's Regulation of December 1st 2016 on quality requirements related to sulfur content in oils as well as types of installations and conditions in which heavy fuel oils are to be used (Dz.U. of December 14th 2017, item 2008) and PN-C-96024:2001 standard ‘Petroleum products. − Fuel oils’

Difference between the 2016 average and the required standard

0,0

Difference between the averages for 2015 and 2016

0,0
Regulatory quality requirements max. 3.5 nlp nlp  
Unit % (m/m)  
OOC3 2,0 nm nm The Minister of Economy's Regulation of October 22nd 2015 on requirements for sulfur content in marine fuel, including measurement method (Dz.U. of 2015, item 1665) and PN-C-96024:2001 standard ‘Petroleum products. Fuel oils’

Difference between the 2016 average and the required standard

1,5

Difference between the averages for 2015 and 2016

-0,1
Aviation turbine fuel            
Regulatory quality requirements max. 0.30 nlp nlp  
Unit % (m/m)  
Jet A-1 0,04 nm nm In-house standard ZN-ORLEN-18 ‘Aviation turbine fuel Jet A-1’, detailed requirements consistent with Aviation Fuel Quality Requirements for Jointly Operated Systems – AFQRJOS, Product Specifications Bulletin, Bulletin 96. Aviation Fuel Quality Requirements, Issue October 29th 2016. Joint Inspection Group (JIG), containing requirements listed in: a) UK Defence Standard, British Ministry of Defence, Defence Standard 91-091 (DEF STAN 91-091), Issue 9 October 3rd 2016. 'Turbine Fuel, Aviation Kerosene Type, Jet A-1. NATO Code: F-35', Join Service Designation: AVTUR; and b) ASTM D 1655-16a Standard Specification for Aviation Turbine Fuels.

Difference between the 2016 average and the required standard

0,26

Difference between the averages for 2015 and 2016

-0,02
 

ORLEN  POŁUDNIE

  Average content in 2016 Basis of regulatory requirements
Commercial name Sulfur Benzene Lead  
Regulatory quality requirements max. 10.0 nlp nlp  
Unit mg/kg  
Biodiesel RME/FAME (B100) 5,46 nm nm The Minister of Economy’s Regulation of January 22nd 2009 on quality requirements for liquid biofuels (Dz.U. of 2009, No. 18, item 98), the Minister of Economy’s Regulation on quality requirements for biocomponents, as well as methods of testing biocomponent quality and taking biocomponent samples (Dz.U. of December 17th 2010, item), the Minister of Economy’s Regulation of May 14th 2015 amending the regulation on quality requirements for biocomponents, as well as methods of testing biocomponent quality and taking biocomponent samples (Dz.U. of June 11th 2015, item 780) and PN-EN 14214+A1:2014-04/AC:2014-11 standard ‘Automotive fuels. Fatty acid methyl esters (FAME) for compression-ignition (Diesel) engines. Requirements and test methods’

Difference between the 2016 average and the required standard

4,54

Difference between the averages for 2015 and 2016

1,1
 

ORLEN Lietuva

  Average content in 2016 Basis of regulatory requirements
Commercial name Sulfur Benzene Lead  
Petrol
Regulatory quality requirements max. 10.0 max. 15.0 max. 1.00 max. 5.0  
Unit mg/kg mg/kg % (V/V) mg/l  
US92 gasoline 13,23 0,90 nm US specification (Colonial pipeline company section 3,4 quality assurance)

Difference between the 2016 average and the required standard

1,77 0,10

Difference between the averages for 2015 and 2016

0,37 0,09
A92 gasoline 6,97 0,84 < 2,5 In-house standard ORLEN Lietuva ĮST 166451720-3:2009 ‘Automotive fuels. Basic unleaded petrol for compounding with bioethanol. Requirements and test methods’

Difference between the 2016 average and the required standard

3,03 0,16 >2,5

Difference between the averages for 2015 and 2016

-1,24 0,04 >2,5
95 gasoline 6,92 0,81 < 2,5 EN 228:2012 ‘Automotive. Unleaded petrol. Requirements and test method' − Lithuanian standard LST EN:2013 'Automobiliniai degalai. Bešvinis benzinas. Reikalavimai ir tyrimo metodai'

Difference between the 2016 average and the required standard

3,08 0,19 >2,5

Difference between the averages for 2015 and 2016

-0,38 -0,02 >2,5
95 Bio gasoline 6,78 0,90 < 2,5

Difference between the 2016 average and the required standard

3,22 0,10 >2,5

Difference between the averages for 2015 and 2016

-0,01 0,00 >2,5
98 Gasoline 5,38 0,88 < 2,5

Difference between the 2016 average and the required standard

4,62 0,12 >2,5

Difference between the averages for 2015 and 2016

0,30 -0,06 >2,5
Diesel oil            
Regulatory quality requirements max. 1,000 max. 10.0 nlp nlp  
Unit mg/kg mg/kg  
Marine gasoil 800 nm nm LST ISO 8217:2012 'Petroleum products. Fuels (class F). Specifications of marine fuels'

Difference between the 2016 average and the required standard

200,00

Difference between the averages for 2015 and 2016

-100
Arctic diesel 6,76 nm nm EN 590:2013/AC:2014 'Automotive fuels. Diesel. Requirements and test methods' − Lithuanian standard LST EN 590:2014/AC:2014 'Automobiliniai degalai. Dyzelinas. Reikalavimai ir tyrimo metodai'

Difference between the 2016 average and the required standard

3,24

Difference between the averages for 2015 and 2016

0,52
Diesel F 7,34 nm nm

Difference between the 2016 average and the required standard

2,66

Difference between the averages for 2015 and 2016

0,37
Diesel E 7,05 nm nm

Difference between the 2016 average and the required standard

2,95

Difference between the averages for 2015 and 2016

-0,51
Diesel C 6,54 nm nm

Difference between the 2016 average and the required standard

3,46

Difference between the averages for 2015 and 2016

-1,57
Diesel E BIO 7,43 nm nm

Difference between the 2016 average and the required standard

2,57

Difference between the averages for 2015 and 2016

1,43
Diesel C BIO 6,59 nm nm

Difference between the 2016 average and the required standard

3,41

Difference between the averages for 2015 and 2016

-1,40
Heating Oil 6,98 nm nm

Difference between the 2016 average and the required standard

3,02

Difference between the averages for 2015 and 2016

0,76
Diesel Agro 7,15 nm nm

Difference between the 2016 average and the required standard

2,85

Difference between the averages for 2015 and 2016

0,50
Fuel oil            
Regulatory quality requirements max. 30,000 nlp nlp  
Unit mg/kg  
Fuel oil 24 300   nm nm According to agreement with customer.

Difference between the 2016 average and the required standard

5 700

Difference between the averages for 2015 and 2016

1 300
Aviation turbine fuel            
Regulatory quality requirements max. 0.30 nlp nlp  
Unit % (m/m)  
JET A-1 0,02 nm nm ASTM D 1655-16 'Standard Specification for Aviation Turbine Fuels'

Difference between the 2016 average and the required standard

0,29

Difference between the averages for 2015 and 2016

-0,01
 

Česká Rafinérská a.s.

  Average content in 2016 Basis of regulatory requirements
Commercial name Sulfur Benzene Lead  
Petrol
Regulatory quality requirements max. 10.0 max. 1.00 max. 5.0  
Unit mg/kg % (V/V) mg/l  
Natural 95 Super (BIO-E5) 3,8 0,75 0,0 ČSN-EN 228:2013 (65 6505) ‘Motorová paliwa. Bezolovnaté automobilové benziny.Technické požadavky a metody zkoušeni’ (‘Automotive. Unleaded petrol. Requirements and test method’)

Difference between the 2016 average and the required standard

6,2 0,25 5,0

Difference between the averages for 2015 and 2016

0,6 0,03 0,0
Natural 95 Super (BIO-E10) 4,1 0,77 0,0

Difference between the 2016 average and the required standard

5,9 0,23 5,0

Difference between the averages for 2015 and 2016

1,0 0,03 0,0
Natural 95 Super (BioETBE-exp.) 3,8 0,77 0,0

Difference between the 2016 average and the required standard

6,2 0,23 5,0

Difference between the averages for 2015 and 2016

0,6 0,06 0,0
Natural 95 Preblend without biocomponents bioalcohol (NBP - preblend) 4,4 0,77 0,0

Difference between the 2016 average and the required standard

5,6 0,23 5,0

Difference between the averages for 2015 and 2016

1,6 -0,01
Diesel oil            
Regulatory quality requirements max. 10 nlp nlp  
Unit mg/kg  
Motorová nafta třídy B, D, F (MN tř. B,D,F - NBF - preblend) 7,3 nm nm ČSN EN 590 (65 6506) ‘Motorová paliva. Motorové nafty. Technické požadavky a metody zkoušení' (‘Automotive. Diesel. Requirements and test method’)

Difference between the 2016 average and the required standard

2,7

Difference between the averages for 2015 and 2016

-0,3
Motorová nafta třídy 2 (NBF B0) 3,2 nm nm

Difference between the 2016 average and the required standard

6,8

Difference between the averages for 2015 and 2016

-0,8
NM třída B,D,F (NBF-preblend) 7,2 nm nm

Difference between the 2016 average and the required standard

2,8

Difference between the averages for 2015 and 2016

-0,9
Fuel oil            
Regulatory quality requirements max. 1,000.0 min. 0.1 max. 1.0  
Unit mg/kg % (m/m) % (m/m)  
ETO 8,3 nm nm In-house standard PN 10 CRC ‘Topný olej extralehký (TOEL, ETO) Technické požadavky a metody zkoušení’

Difference between the 2016 average and the required standard

991,70

Difference between the averages for 2015 and 2016

0,3
TOT R2 vysokosirný 2,6     ČSN 65 7991:2003/Z1:2005 'Ropné výrobky. Topné oleje. Technické požadavky’

Difference between the 2016 average and the required standard

2,5

Difference between the averages for 2015 and 2016

0,0
TOT R2 málosirný 1,0 nm nm ČSN 65 7991:2003/Z1:2005 'Ropné výrobky. Topné oleje. Technické požadavky’

Difference between the 2016 average and the required standard

0,0

Difference between the averages for 2015 and 2016

0,0
Aviation turbine fuel     0,0      
Regulatory quality requirements max. 0.30 nlp nlp  
Unit % (m/m)  
JET A-1 0,09 nm nm Aviation Fuel Quality Requirements for Jointly Operated Systems – AFQRJOS, Product Specifications Bulletin, Bulletin 96. Aviation Fuel Quality Requirements, Issue October 29th 2016. Joint Inspection Group (JIG)

Difference between the 2016 average and the required standard

0,21

Difference between the averages for 2015 and 2016

0,05

 All types of liquid fuels that are finished (final/commercial) produced and marketed by PKN ORLEN and the ORLEN Group companies meet the legal, regulatory and regulatory requirements for benzene, lead and sulfur content. More information is available at www.orlen.pl/EN/ForBusiness/Pages/default.aspx.

VOLUMES OF BIOFUELS PRODUCED AND PURCHASED MEETING THE SUSTAINABILITY CRITERIA

In order to protect the environment, and in view of the national requirements to ensure a minimum share of biofuels in transport, the ORLEN Group used over 699 thousand tonnes of methyl esters and more than 225 thousand tonnes of bioethanol.

All biofuels used by the ORLEN Group in all its markets met the sustainability criteria specified in the RES Directive and Fuel Quality Directive.

TABLE. VOLUMES OF BIOFUELS PRODUCED AND PURCHASED MET THE SUSTAINABILITY CRITERIA

Biofuels [t] Poland Czech Republic Lithuania TOTAL

Fatty acid methyl esters

543 887 115 789 39 408 699 084
Bioethanol 175 811 40 487 8 795 225 092

 

Biofuels [m3] Poland Czech Republic Lithuania TOTAL

Fatty acid methyl esters

609 813 131 131 44 630 785 574
Bioetanol 226 042 51 184 11 119 228 345

* The purchased volumes of biocomponents was used to blend fuels for the Czech, German and other markets
**The volumes include biofuels produced by ORLEN Południe.

5. MANAGEMENT APPROACH IN THE AREA OF ENERGY

Our strategy for the Energy area is to create value through operational synergies with the Refining and Petrochemical business of the Downstream sector. In 2016, the ORLEN Group reduced its energy intensity by nearly 1pp (yoy).

The key focus is on developing modern industrial cogeneration as a source of electricity and heat for production assets, as well as the pursuit of new projects based on innovative technologies, including Renewable Energy Sources. At the ORLEN Group, we are committed to continuous efforts towards operational excellence in such areas as production process optimisation, distribution losses and the improved efficiency of process units. Our strategic vision in the Energy area is to transform the ORLEN Group from an energy consumer to an energy producer. All activities required to achieve the stated objectives are carried out with due regard for the environment and local communities.

Key projects in the Energy area:

In 2016, the energy saving measures led to the following reductions in energy consumption:

The savings were calculated based on data from PKN ORLEN, Unipetrol and ORLEN Lietuva. The main criterion in selecting the reporting companies was their business materiality for the Energy area. The figures comprise the Energy area exclusively, i.e. CHP and CCGT units.

Table: Energy consumption    
electricity consumption MWh 513 751
heat consumption GJ 6 641566
electricity sold MWh 2 346373
heat sold GJ 31 694348
electricity consumption GJ 1 849504
heat consumption GJ 6 641566
electricity sold GJ 8 446944
heat sold GJ 31 694348
Total consumption GJ 48 632362

The table sets forth companies with the highest consumption and production figures (PKN ORLEN, ANWIL, Unipetrol, ORLEN Lietuva). The figures exclusively comprise the Energy area, i.e. CHP and CCGT units.


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