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Success – BASF‘s Approach to Sustainability in Customer Interaction

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Success – BASFs Approach to Sustainability in Customer Interaction European Chemical Regions Network (ECRN) 29./ Ludwigshafen Dr. Uwe Gauglitz.

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1 Success – BASF‘s Approach to Sustainability in Customer Interaction
European Chemical Regions Network (ECRN) 29./ Ludwigshafen Dr. Uwe Gauglitz

2 The Four Strategic BASF Guidelines for Long-term Success
Earn a premium on our cost of capital Help our customers to be more successful Form the best team in the industry Ensure sustainable development

3 Responsible Care®: Part of Corporate Goals
BASF assumes responsibility for safety, health and environment beyond what is required by legal regulations. The company asserts its claim to maintain and help shape the political background conditions that secure competitiveness. As the world’s leading chemical company, BASF sees itself as having a special responsibility to implement international strategies and standards within its own company. BASF`s environmental balance reflects the success of intelligent energy and waste disposal concepts that reduce CO2 emissions and conserve resources.

4 One of the key challenges of Responsible Care® is…
…the promotion of RC goals within the whole value chain

5 Success – Adding Value through Sustainability
Success bundles BASF‘s Responsible Care® expertise in the fields of sustainability management, health, safety, and environment. This expertise is based on decades of own strategic and operational experience, as well as more than 350 projects with customers and suppliers. Together with our products, we offer that expertise to our customers and suppliers.

6 The goal of Success We want to…
increase and spread sustainable development beyond our internal activities. help our customers to be more successful. create enduring customer partnerships by working together for sustainable development. Provide an additional differentiation factor and new market opportunities … create business value for both parties: a win-win situation

7 Success Service areas PROCESS: “We assist you in optimizing your processes” Waste Management Wastewater Treatment Energy Consultancy Health and Safety at the Workplace Emergency Response PRODUCT: “We analyze your product potential“ Environmental trace analysis REACH Consultancy Hazardous Substance Management Toxicology and Ecology The Eco-Efficiency Label STRATEGY: “We support your strategies“ Sustainability Management Eco-Efficiency Analysis Energy Efficiency Climate Protection

8 Examples of customer partnership projects
Environmentally friendly wastewater treatment Eco-efficient milk packaging Reduction of odour nuisance Need A client from the automotive industry introduced a new coating process which caused an additional liters of wastewater per day. Need A dairy producer is looking for the most ecological and profitable milk packaging solution. Need An Italian customer was faced with massive complaints from neighbours and the authorities about an odour nuisance arising from his plant. Our Contribution BASF‘s eco-efficiency analysis contributed to the political decision to exclude certain plastic containers from the deposit system. Our Contribution The BASF wastewater experts developed a system to solve the problem - as a result the automobile manufacturer could switch to the new coating process as scheduled. Our Contribution With BASF’s support technical and organizational improvements could be identified and implemented. The odour was eliminated and good relations with neighbours and authorities were restored.

9 Conclusions Potential for further Success
0,2 Conclusions Potential for further Success More than 350 projects since the beginning of the Initiative Broader customer interaction We spend more time with our customers and suppliers with a non product price related topic… better understanding of our customers and suppliers Promotion of Responsible Care® Strive the promotion of Responsible Care® through the value chain and translate it into business opportunities

10 Contact information BASF Aktiengesellschaft Success-Info-Point D Ludwigshafen Telephone: Fax: Web:

11 What are the main service areas within Success?
Product Safety/ Chemical Policy, REACH Experimental Toxicology and Ecology Emissions, Ambient Air Concentrations, Environmental Analysis Waste Management Soil Protection and Ground Water Pollution Wastewater Energy Generation, Energy Conservation Emergency Response Distribution Safety Authorizations, Statutory Regulations Safety, Health at the Workplace Sustainability

12 0,2 The REACH Approach

13 REACH The new EU chemicals regulation for the Registration, Evaluation and Authorisation of Chemicals (REACH) came into force on June 1st 2007 REACH applies to all companies manufacturing, importing or using chemicals.

14 The REACH System Registration Known substances Evaluation
Objective: Registration of all existing substances on the market  1 t/a (approx ) within 11 years Used substances >= 1 t/a Known substances Evaluation Evaluation of the data by the central agency and national authorities Technical dossier for  10 t/a: Chemical Safety Reports Registration *CMR: carcinogenic, mutagenic, reprotoxic *vPvB: very persistent, very bioaccumulative *PBT: persistent, bioaccumulative, toxic *endocrine disruptors: influencing the hormonal system Authorisation Authorisation for special uses of CMR 1+2*, PBT*, vPvB* and other substances “of similar concern” (e. g. endocrine disruptors)*

15 Authorisation / Restriction
Timelines of REACH 1 June 2008- 30 Nov 2008 1000 t/a, CMR 1+2 ( 1 t/a), R50-53 ( 100 t/a) Registr Evaluation Entry into force End of „Phase-in“ Pre-registration >/= 100 t/a Registration Evaluation Registration >/= 1 t/a Registration Registration Eval. Authorisation / Restriction 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

16 REACH services for customers as: manufacturers or importers
If the customer is a manufacturer or importer of chemicals within the EU, all substances must first be preregistered, then registered. Applications of certain substances require authorisation. Our offer Information Assessment of current situation Preregistration Registration Authorisation Examination of available documents e. g. safety data sheets Testing Assessment Drawing up of the chemical safety report Drawing up of authorisation documents Implementation of a socio-economic analysis

17 REACH services for customers as: downstream users
As a downstream user of chemicals in the EU, it is usually sufficient to verify whether your use is covered in the extended safety data sheet. You must also adhere to the risk reduction measures described there (e. g. protective equipment, local exhaust ventilation) Our offer Assessment of current situation The downstream user decides whether he …. informs his supplier for assessing the use and including it in the safety data sheet; Communication with supplier and training if necessary Assistance for the supplier with fulfilling his REACH obligations or …. would like the use to be assessed independently of the supplier; Assessment of uses Support when communicating with authorities

18 The Success - Team Dr. Uwe Gauglitz Head of Success Services
Dr. Andreas Kicherer Success Team Leader Annette Kunde Head of Business Model Development (BMD) Dr. Ana Alba Pérez Management Success Services Dr. Susanne Demharter Marketing REACH Services Eva Kratzer Business Model Develop. Anne Haunhorst Business Model Develop. Monika Schreiber-Dünges Management Success Services Peter Kölsch Marketing REACH Services Tanja Dreyer Success-Info-Point

19 Success provides BASF‘s EHS experts for external customers
Business Unit A Production site 2 Service service service Production site 1 Business Unit B customer service service service Success-team Administration, offer Coordination Experts EHS-Functional Unit

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