Environmental Performance 2008

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Environmental Performance

Novo Nordisk accounts for its environmental performance as part of its non-financial statements.

Below is an overview of the top-level key indicators for monitoring of Novo Nordisk's environmental performance in 2008 as well as other strategic initiatives.

Top-level performance indicators

Eco Intensity Ratio

In 2006, the Eco Productivity Index (EPI) was replaced by a new key performance indicator to measure water and energy efficiency relative to production; the Eco Intensity Ratio (EIR). EIR is reported in the Annual Report for the two business areas Diabetes care and Biopharmaceuticals. The long-term EIR target for 2006–2010 is a 2% reduction in water and energy consumption relative to production on average per year, which corresponds to a reduction of almost 10% for all four EIR indicators. To get the best foundation for the EIR, the target is based on a bottom-up process where production has given its best estimates for water and energy consumption and related these to the forecasted production. The EIR targets are implemented in the Balanced Score card for Novo Nordisk.

In 2008, the EIRWater and EIREnergy improved for both Diabetes care and Bio pharmaceuticals. The EIR for water improved by 25% for Diabetes care and by 10% for Biopharmaceuticals. Likewise, the EIR for energy improved by 22% and 8% for Diabetes care and Biopharmaceuticals respectively.

Compliance

Ensuring compliance with legal requirements on environmental issues is a high priority for Novo Nordisk. A continued preventative focus on compliance with environmental regulation is beginning to show results. In 2008, the number of accidental releases decreased by 13% to a total of 91 of which 66 were releases of cooling agents such as HCFCs, HFCs and ammonia. This decreasing number reflects particular efforts focused on cooling equipment, which were initiated in 2007 and intensified in 2008. This focus has resulted in improved knowledge of what causes the releases, and hence which preventive actions to implement. However, in the same period, the number of breaches of regulatory limit values increased by 27% from 22 in 2007 to 28. The main reason being, that 21 out of the 28 breaches were related to pH in wastewater. Compared to last year this is an increase of 31% due to changes in the wastewater treatment. Focus will be increased on pH in wastewater in 2009.

There were no accidental releases of GMOs in 2008.

All incidents have been reported to the authorities. Novo Nordisk has together with the authorities assessed that breaches of regulatory limit values and accidental releases have had no or only minor impact on the external environment.

Survey of legal compliance 2008

The 2010 target of a 50% reduction in the number of breaches of regulatory limit values compared to 2005 is progressing according to plan with an 84% reduction. The long-term target to avoid breaches of regulatory limit values and accidental releases altogether has however not been met yet. Preventive measures are long-term efforts, consisting of training of key employees, risk assessment of production sites and technical solutions to mitigate these risks.

In 2009 and the following years, there will be continued focus on compliance and preventive measures, which can further reduce the number of breaches and help curb the curve of accidental releases.

Resources

The consumption of water and energy both decreased from 2007 to 2008. Energy decreased with 9% and water consumption with 17%. The decrease is partly due to changes in production at our plant in Kalundborg, our cLEAN® programme as well as realisation of energy and water saving projects.

The performance is as expected.

The consumption of materials decreased by 13%. This decrease is as expected and was mainly due to production optimisations at site Kalundborg in Denmark.

Wastewater

The total volume of wastewater decreased by 8% from 2007 to 2008 as expected. In the same period, the discharged quantity of COD increased from 813 tons to 891 tons, corresponding to a 10 % increase primarily due to an extraordinary discharge of ethanol and glucose from a pilot plant in Bagsværd in Denmark. The quantity of nitrogen decreased from 107 tons to 95 tons, corresponding to a 11% decrease as expected. The discharged quantity of phosphorus was increased from 14 tons to 15 tons, corresponding to an increase of 7% primarily due to changes in production at site Chartres in France.

Waste

In 2008, there was an increase in the total waste of 16% compared to 2007. This was due to an increase in the quantity of hazardous waste of 2% and an increase in the quantity of non-hazardous waste of 23%. The recycling percentage increased to 51%, from 38% in 2007.

The 2% increase in hazardous waste was mainly due to an increase in contaminated soil and organic compounds. The relative amounts of ethanol waste and medicine waste were reduced.

The increase in non-hazardous waste can be explained by an increase in quantity of gland residue and quantity of wastewater. The wastewater is sent for special treatment at a hazardous waste treatment facility due to precautionary reasons. There was a decrease in non-hazardous waste for incineration and landfill.

Notes
*) 99.6% with energy recovery (in previous years this figure was 98%).
**) Ethanol recycled in for example biogas or wastewater treatment plants.
***) Incinerated at combined heat and power plants or at plants for special treatment of hazardous waste with energy recovery.

Complaints

In 2008, we have received 7 complaints over nuisances from our production facilities, a minor increase from 2007 where six complaints were received. The complaints concern odour from a waste container, noise from a defect stirrer and from construction works. All complaints concern three Danish sites.

Corrective actions have as far as possible been implemented to reduce the nuisance and minimize the risk of reoccurrence.

Emissions to air

Novo Nordisk’s total energy consumption decreased by 9% in 2008, which translates into a similar 9% decrease in the energy-related emissions of CO2 from 236,000 tons in 2007 to 215,000 tons in 2008. The decrease in CO2 was primarily due to decreased emissions from the production site in Kalundborg due to changes in production, process optimisations as well as realisation of energy saving projects. The annual CO2 emission is now close to the 2004 baseline year, only 2% above, and Novo Nordisk is confident that the ambitious 10% absolute reduction target will be met in 2014. This will as planned happen through a continued effort in our cLEAN programme and secondly our intensive energy saving programme. This energy saving programme has until now resulted in an estimated 20,000 tons reduction in the CO2 emission. Thirdly, green electricity from the off shore wind turbine park at Horns Rev II in Denmark will give substantial reductions, starting in the end of 2009.

Emissions to air of organic solvents increased from 81 tons in 2007 to 93 tons in 2008, an increase of 15%, which was primarily due to increase in emissions of acetone and isopropanol. The organic solvents consist of ethanol (68%), isopropanol (16%) and acetone (16%).

See Climate change for more information on our approach to climate change challenge.

See here for definitions of the various indicators.
See detailed environmental date 2008 for site further site data.

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