Environmental performance agreement for the refractory ceramic fibre industry in Canada

Between His Majesty the King in Right of Canada, as represented by the Minister of the Environment ("Environment and Climate Change Canada" or "ECCC") and companies who manufacture or process refractory ceramic fibres in Canada (“Participating Companies”)

Alternative Format

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Preamble

Whereas the Minister of the Environment and the Minister of Health have concluded that refractory ceramic fibres meet the criteria of toxicity under paragraph 64(c) of the Canadian Environmental Protection Act, 1999 (CEPA) as they may enter the environment in quantities or under conditions that may constitute a danger in Canada to human life or health;

Whereas refractory ceramic fibre (Chemical Abstracts Service [CAS] Number 142844-00-6) is listed in Part 2 of Schedule 1 to CEPA, and, under the Toxic Substances Management Policy, is categorized as a Track 2 substance, thus requiring a life-cycle management approach;

Whereas previous environmental performance agreements with members of the refractory ceramic fibre industry in Canada were signed in 2002, renewed in 2006 with the inclusion of fenceline monitoring limits, and renewed again in 2013;

Whereas the last Environmental Performance Agreement Between Her Majesty the Queen in Right of Canada, as represented by the Minister of the Environment and Members of the Refractory Ceramic Fibre Industry in Canada (“2013 Agreement”) expired in 2018;

Whereas audits conducted by ECCC staff verified that all participating companies had conformed to the 2013 Agreement and air emissions of refractory ceramic fibres were well below the targeted threshold;

Whereas the proposed agreement was posted for public consultation on the Government of Canada website for 30 days from August 22, 2023 to September 21, 2023;

Whereas the participating companies are willing to continue to work with ECCC to prevent the release of refractory ceramic fibres to air above levels that are protective of human health; and

Whereas ECCC recognizes that renewing this new agreement will help ensure continued implementation of industry-wide stewardship;

The parties agree to the following:

1. Purpose

The purpose of this agreement is to prevent or minimize exposure to, and/or releases of refractory ceramic fibres to air above levels that are protective of human health, from facilities where they are manufactured and/or processed.

2. Definitions and abbreviations

In this agreement:

“Facility” means an industrial facility in Canada where refractory ceramic fibres (RCF) are manufactured or processed in a quantity of 10,000 kilograms or more per year and where employees work a total of 20,000 hours or more per year.

“New facility” means a facility that started manufacturing and/or processing RCF that was not verified under the former agreement, or a facility that has relocated its manufacturing and/or processing activities to a new address.

“Participating Company” means a company that owns one or more facilities and whose representative has signed this agreement.

“New company” means a company that, at the time of signing of this agreement, did not exist or did not have any facilities manufacturing and/or processing RCF above the established processing thresholds, and therefore was not participating in the agreement, but that now has such a facility.

“Refractory ceramic fibres” or “RCF” are amorphous man-made vitreous fibres produced from the melting of calcined kaolin clay or a combination of alumina and silica, whose primary market is in high temperature industrial applications e.g. furnace linings, kilns and process heaters, pipe wrapping, welding protection, gaskets, filters, flame retardants, as well as in acoustical insulation. Chemical Abstracts Service Registry Number (CAS RN) 142844‑00‑6.

3. Non-binding agreement

3.1 This agreement represents an understanding between ECCC and participating companies, building on similar agreements signed in 2002, 2006 and 2013. It is not intended to create legally binding obligations and is therefore not legally enforceable.

3.2 This agreement does not preclude participating companies from implementing any other environmental initiatives or measures as they see fit. Adherence to this agreement does not in any way exempt any participating company from complying with any and all applicable laws and regulations.

3.3 This agreement does not preclude the Government of Canada from taking other measures or actions, including making laws, or enforcing the existing laws of the Government of Canada.

3.4 Participating companies agree to participate fully in this agreement and to reduce or prevent release of RCF into the atmosphere as set out in this agreement. If there is still a need to address the potential risk to the environment or human health after this agreement comes to an end, ECCC will look into renewing the agreement or replacing it with another instrument. If no additional action is deemed necessary, it is still strongly encouraged that companies continue to maintain the objectives of this agreement.

3.5 This agreement will apply to the successors and assignees of the Parties.

3.6 New companies may be added to this agreement at any time, whether or not their facilities meet the thresholds established in section 2. The agreement will become effective for the new facilities upon their company’s signature.

3.7 In the event that a company is no longer a party to the agreement, the agreement shall survive and remain in effect for the remaining parties.

4. Duration

4.1 For participating companies, this agreement will be in effect for a 10-year period from the day of signing by ECCC and shall expire on 2024-07-10. For new companies, this agreement will be in effect from the day of signing by their authorized company representative until that same expiry date.

4.2 The term of this agreement may be extended with the written consent of the participating companies and ECCC.

5. Amendment

5.1 This agreement may be amended with the written consent of participating companies and ECCC.

5.2 In the event of national environmental standards being developed in Canada for this toxic substance, this agreement will be re-evaluated to ensure consistency with the standards.

6. Termination

6.1 A participating company may end its participation in this agreement at any time, by providing at least 3 month’s written notice to ECCC of its intention to terminate. The agreement will then remain in effect for the remaining participating companies.

6.2 ECCC may terminate the agreement with all or some of the participating companies by providing at least 3 month’s written notice of its intention to terminate.

6.3 In the event that a participating company no longer owns any facilities that meet the thresholds established in the definition and wishes to withdraw, it shall so inform ECCC and that party’s responsibilities under this agreement shall end. However, the agreement will remain in effect for the remaining participating companies.

7. Performance objectives

The participating company agrees to:

7.1 Maintain emissions at or below the acceptable levels established under this agreement:

7.1.1 The maximum allowed fenceline concentration is 0.05 fibre/cc. The acceptable method for fenceline testing shall be the most recent National Institute for Occupational Safety and Health (NIOSH) Method 7400, Asbestos and Other Fibers by Phase Contrast Microscopy (PCM). The ambient air monitoring equipment will be situated near the boundary of each facility property. The monitoring locations shall be selected to ensure that the maximum potential ground level exposure is measured. In order to capture changing weather, a minimum of 3 samples shall be taken, 2 samples down wind and 1 sample upwind. All sampling will take place during production periods of normal operating capacity.

7.1.2 Measurements of fenceline RCF concentrations will be conducted annually for the duration of this agreement by participating companies, using the testing method stated above, until 3 years of annual testing completed under this agreement or the 2006 agreement have demonstrated that RCF emissions have not exceeded the maximum allowed fenceline concentration limit.

7.1.3 Annual testing will be required if the total quantity of RCF manufactured or processed is greater than the maximum previous annual reported use for the facility under this agreement or the 2006 agreement at the time of previous compliant fenceline monitoring. (“maximum processing threshold”).

7.1.4 Any additions or substantial modifications to the process or control equipment will require measurements of fenceline RCF concentrations within 3 months of such modifications, and results will be included in the annual report.

7.1.5 When testing is invoked via section 7.1.3, or 7.1.4, annual testing requirements in section 7.1.2 will be restarted to demonstrate that RCF emissions do not exceed the maximum allowed fenceline concentration limit.

7.1.6 Measurements that are below the detectable limit will be reported as “ND” for non-detectable and will be reported with the calculated detection limit.

7.1.7 Fenceline concentrations found to be above the maximum allowed concentration specified above will be corrected within 6 months via the installation of adequate controls. Corrective actions will be documented within 3 months.

7.2 Establish, implement and/or maintain specific procedures to ensure that:

7.2.1 pollution control equipment is regularly inspected at a frequency i.e. compatible with the failure rate and life of the filter, not exceeding 4 months,

7.2.2 repairs are undertaken in a timely manner to ensure that the operating efficiency of the pollution control equipment is not significantly impaired,

7.2.3 pollution control equipment is maintained in accordance with the manufacturer's recommendations to ensure the operating efficiency is not significantly impaired.

7.3 Integrate the most recent Product Stewardship Program (PSP) practices approved by the High Temperature Insulating Wools (HTIW) Coalition into the management system used in the manufacturing and marketing of RCF products by:

7.3.1 adopting the key elements of the PSP, which include, but are not limited to, the use of control measures including engineering controls and work practices, worker and end user training, exposure monitoring, product research, design and informed use of consumer products, waste minimization and disposal, and environmental responsibility;

7.3.2 updating their PSP as applicable within 6 months of any revisions to the HTIW Coalition PSP.

8. Retention of records

8.1 The participating company will keep copies of its pollution control equipment inspection, maintenance and corrective action records, and copies of information submitted to ECCC and supporting documents for a period of at least 5 years after the day on which they are made or submitted.

9. Reporting

9.1 The participating company will:

9.1.1 hold an annual management review of RCF pollution control equipment and ensure that all identified corrective actions are being addressed

9.1.2 complete the Refractory Ceramic Fibre Annual Report (Annex 1) as part of the annual management review for every calendar year that they are a party to this agreement and submit it by June 1 of the following year

9.1.3 provide a copy of their PSP, upon request; and

9.1.4 provide any additional information or clarification to support the information submitted or to be verified under this agreement, upon request.

9.2 The above documents will be sent to:

Products Division, Attention: RCF Coordinator
Environment and Climate Change Canada, Government of Canada
351 Boul. Saint-Joseph, Gatineau QC K1A 0H3

Email: Produits-Products@ec.gc.ca, please include “RCF” and your company name in the subject line.

9.3 ECCC may update the reporting template from time to time, as required. Each participating company will be given an opportunity to review and provide comments on updated versions.

9.4 ECCC will review the documents submitted under section 9.1 and will assess progress made under this agreement on an annual basis. ECCC may request additional information from a participating company if necessary to conduct its review and verification.

9.5 ECCC will prepare a draft annual summary of the progress and results. ECCC will provide the participating company with a copy of the draft annual summary of progress and results.

9.6 The participating company will review the draft ECCC summary of its progress and results and provide any comments they may have to ECCC within 30 days of receipt of the summary from ECCC.

9.7 ECCC will post the annual summary of progress and results of participating companies on the Government of Canada’s website at List of environmental performance agreements.

10. Verification

10.1 ECCC will perform a verification audit at each participating facility twice during the time this agreement is in effect (for example in years 4 and 9). New facilities will be subject to a verification audit around the same time as the others but not before 2 years have passed since signing the agreement.

10.2 The participating companies will participate with ECCC to develop and implement an acceptable verifiable audit process and protocol in advance of the planned verification audit.

10.3 ECCC may retain the services of a third party to conduct or assist with the verification audit.

10.4 The participating company agrees to allow ECCC and/or a designated third party site access as required to conduct the verification audit, and, if necessary, to perform fenceline testing for the purpose of confirming if the maximum allowed fenceline concentration is met (using the method specified in section 7 of this agreement).

10.5 ECCC will review the audits and annual reports to determine if the participating company has complied with this agreement.

10.6 The participating company will complete any agreed upon corrective actions identified by the verification team and confirm completion in writing and by providing supporting documentation to ECCC within the agreed timeline as established in the verification protocol.

11. Roles and responsibilities

11.1 The participating company agrees to:

11.1.1 take all necessary actions to achieve and maintain the performance objectives outlined in section 7 of this agreement;

11.1.2 maintain records and provide reports to ECCC pursuant to sections 8 and 9 of this agreement;

11.1.3 collaborate with ECCC officials and/or representatives during the verification process and any fenceline monitoring, including any site-specific occupational health and safety training, and complete any resulting follow up actions within the agreed timeframe; and

11.1.4 advise ECCC on developments within the industry that may inform measures used to manage the risks of RCF.

11.2 ECCC agrees to:

11.2.1 advise on the requirements of the agreement, if required;

11.2.2 monitor progress under this agreement and oversee its administration and evaluate its effectiveness with respect to the objectives;

11.2.3 participate in the verification process as outlined in section 10; and

11.2.4 post annual progress summary reports on the Government of Canada’s website summarizing progress made under this agreement.

12. Acknowledgements and failure to implement

12.1 ECCC agrees to publicly acknowledge accomplishments of the participating company made pursuant to this agreement. The time and manner of any such acknowledgement will be at the discretion of ECCC.

12.2 For companies that meet the criteria outlined under section 2 but do not participate in this agreement, other options, including regulatory options, will be considered.

12.3 This agreement is not intended to prevent the Government of Canada from recommending or taking any legislative, regulatory or other measures necessary for the protection of human health or the environment or any measure that it deems appropriate, and nothing in the agreement may be construed as having such an effect.

12.4 If the objectives and requirements of this agreement are not being met, the Minister may determine if other measures, including regulations, are needed to prevent or reduce adverse impacts of RCFs on human health or the environment. Industry will be provided an opportunity to justify its performance and help identify actions either undertaken or planned to conform to this agreement.

13. Availability of agreement and confidential information

13.1 A copy of this agreement, and related information e.g. status reports, will be made available on the Government of Canada’s website at: List of environmental performance agreements.

13.2 Correspondence with ECCC related this agreement should be sent to ECCC, by electronic mail to Produits-Products@ec.gc.ca. Please include “RCF” in the subject line.

13.3 ECCC agrees to keep confidential and not disclose any confidential information obtained from participating companies under this agreement as set out in sections 313-318 of CEPA. A request for confidentiality from a participating company will specify the information i.e. considered to be confidential and the reason why it should be treated as such.

13.4 Nothing in this agreement shall be interpreted to preclude ECCC from disclosing information that ECCC may be required or ordered to disclose pursuant to any applicable federal laws or court orders, including, the Access to Information Act, R.S. 1985.

14. Signatures

The Parties acknowledge that they have read and accepted all of the provisions of this Agreement.

Signed for His Majesty the King in Right of Canada, as represented by the Minister of the Environment

By: __________________________________

Title: ________________________________

Signature: __________________________

Date (YYYY-MM-DD): ______________

Signed for FibreCast Inc. (Burlington, ON)

By: __________________________________

Title: ________________________________

Signature: __________________________

Date (YYYY-MM-DD): ______________

Signed for Pyrotek Inc. (Drummondville, QC)

By: __________________________________

Title: ________________________________

Signature: __________________________

Date (YYYY-MM-DD): ______________

Signed for Thermal Ceramics, a division of Morgan Advanced Materials (Burlington, ON)

By: __________________________________

Title: ________________________________

Signature: __________________________

Date (YYYY-MM-DD): ______________

Signed for Wolf Steel Ltd. (Barrie, ON)

By: __________________________________

Title: ________________________________

Signature: __________________________

Date (YYYY-MM-DD): ______________

Annex 1: refractory ceramic fibre annual report form

Reminder: complete and submit a copy of this form to Produits-Products@ec.gc.ca by June 1^st following every calendar year that you are a party to this agreement. Please include “RCF” and your company name in the subject line. In accordance with section 13, ECCC agrees not to disclose any confidential information obtained with this form without consent or as may be required by law.

If more space is needed, attach additional documents. If applicable, list the name of each attached document:

__ N/A

__ The following documents are attached as additional parts of this report: ____________________________________________________

1. Reporting year: _______________

2. Company and facility identification

a. Name of participating company:

b. Mailing address:

c. Facility address (if different from above):

d. General email address:

e. General telephone number:

Contact person identification

f. Name of authorized contact person:

g. Title:

h. Telephone:

i. Email:

j. Mailing address: Same as __ Company address above or __ Facility address above

3. Quantity of RCF

3.1 For this reporting year, please provide the quantity of RCF in kilograms:

a. Manufactured:

b. Processed:

4. Fenceline monitoring

4.1 Was fenceline monitoring required, as per section 7.1 of the agreement?

__ No __Yes If yes, please explain and summarize results below.

If yes, is a copy of the Test Report attached?

__ N/A __ Yes __ No If no, please comment.

Summary of monitoring results (if applicable)

Monitoring Date (YYYY-MM-DD):

Monitoring method:

Monitoring location:

RCF Concentration Level (including units). If not detected, specify ND with limit of detection:

4.2 Were any corrective actions required?

__ N/A __ No __ Yes If yes, please list:

Summary of corrective actions (if applicable)

Emission source:

Action date (YYYY-MM-DD):

Corrective action taken:

5. Management review of emission controls

5.1 Management review

a. Has a management review been conducted of the emission controls, as per section 9.1.1 of the agreement?

__ Yes __ No If no, please explain: ___________________________________________________________________________________________

b. Were any corrective actions necessary based on monitoring results?

__ N/A __ No __ Yes If yes, please explain: ___________________________________________________________________________________

c. If corrective actions were necessary, were all required corrective actions identified and implemented?

__ N/A __ Yes __ No If no, please explain: ____________________________________________________________________________________

5.2 Inspections

a. Was there regular inspection, at least every 4 months, of all pollution control equipment, as per section 7.2 of the agreement?

__ Yes __ No If no, please explain: ___________________________________________________________________________________________

b. Were any corrective actions necessary based on equipment inspection?

__ No __ Yes If yes, please explain: __________________________________________________________________________________________

c. If corrective actions were necessary, were all required corrective actions identified and implemented?

__ N/A __ Yes __ No If no, please explain: ___________________________________________________________________________________

5.3 Additional comments: __________________________________________________________________________________________________________

6. Product Stewardship Program

6.1 Has the facility implemented the key elements of the HTIW Product Stewardship Program (PSP), as per section 7.3 of the agreement? Provide a brief description of the elements that were included in your PSP this year as well as the resulting activities, including:

a. Control measures including engineering controls and work practices to minimize exposure