Conducting a Compliance Audit - Assignment Example

Conducting a compliance audit Grade (Oct. 27th, Conducting a compliance audit Air Quality Regulations The Air Quality Regulations are applicable in the chemical processing plant’s case owing to the fact that; the application of boilers in the plant that use natural gas and the possession of the oil fuel-powered fleet of vehicles that are used for transporting finished product entails emissions to the air. According to the Air Quality Regulations, a processing plant must adhere to the principles of ambient air quality as provided under this regulation (NSC, 2014). This regulation provides the sulphur content acceptable in oil fuel used for vehicles and machineries of a manufacturing plant, as well as the ground level concentration for oils and gases. In this respect, the following questions would be necessary to determine the compliance of the chemical processing plant with the requirements of the Air Quality Regulations: What is the ground level concentrations of the natural gas used to power the boilers? How does the chemical plant obtain the fuel oil used to fuel its fleet of vehicles used in delivery of finished good? What is the volatility vapor pressure for the motor gasoline used by the plants; vehicle fleet? What is the procedure of measuring the vapor pressure of the gasoline used to fuel the plant’s vehicle fleet? What is the sulphur content of the fuel oil used to fuel the plant’s fleet of vehicles? Does it exceed 2.2 by mass? 2. Asbestos Waste Management Regulations The Asbestos Waste Management Regulations defines asbestos as “waste dangerous goods” (NSC, 2014). This regulation provides that no person shall store asbestos waste that is generated, other than the approved asbestos storage facility (NSC, 2014). Further, the removal of the asbestos from a manufacturing facility is required to follow a laid down procedure of handling and transport, under this regulation. Thus, the Asbestos Waste Management Regulations is applicable in the Chemical processing plant’s case, since it is involved in the production, handling and transport of hazardous waste. To determine compliance, the relevant questions include: How is the hazardous waste packaged before transporting to the waste disposal facility? How is the hazardous waste stored before it is finally transported to the waste disposal facility? Does the plant have protective gear and respiratory equipment for the hazardous waste handlers? What is your procedure for handling and transport of the hazardous waste from the manufacturing facility to the disposal facility? Is the hazardous waste disposal facility where you ship the waste approved? 3. Dangerous Goods Management Regulations According to the Dangerous Goods Management Regulations, no person should attempt to dilute or adulterate the dangerous waste products of a manufacturing plant (NSC, 2014). Further, this regulation offers that the dangerous goods or the dangerous waste should not be stored or transported in incompatible materials or containers. Further, the portable container for transporting the dangerous goods or waste should be approved under the requirements of transporting goods regulation of the Act (Environment Act, 2012). Thus, the applicable questions are: How is the hazardous waste material handled from its production to storage? Is the hazardous waste material subjected to any treatment before it is transported to the waste disposal facility? What types of containers are used for transporting the hazardous waste or any dangerous good to or from the chemical processing plant? Have the transport containers for the hazardous waste and goods to and from the plant been approved? What are the 40,000 litre tanks used to store chemicals in the plant made of? 4. Environmental Emergency Regulations The Environmental Emergency Regulations defines ‘environmental emergency’ as the “release or the impending release” of a harmful substance, while the emergency area is defined as the habitat that has been affected by the release of the harmful substance (NSC, 2014). Thus, the Environmental Emergency Regulations are applicable in this case to determine compliance, and the relevant questions include: Has this manufacturing facility ever experienced a release of harmful chemicals to the environment? Is there an impending likelihood of harmful chemicals being released to the environment? What is the procedure for handling such harmful chemical release by the manufacturing plant when it occurred or in case it occurs? What is the procedure for reporting the harmful chemical release to the relevant authorities when it occurred or in case it occurs? What are the emergency response units that the manufacturing plant can contact in case of such harmful substance release? 5. Greenhouse Gas Emissions Regulations A facility, under the Greenhouse Gas Emissions Regulations, is defined as a building, a structure or a generation unit that is likely to emit greenhouse gases in the process of its operations (NSC, 2014). In this respect, the chemical manufacturing plant is befitting the definition of a facility under this regulation, while it is involved in gaseous emissions through the manufacturing operations, making the Greenhouse Gas Emissions Regulations applicable in the chemical manufacturing compliance audit. The relevant questions include: Does the manufacturing plant generate power from renewable energy such as the sun or wind? Does the manufacturing plant have a system of measuring green gases emission from its operations? What is the volume of carbon dioxide emitted by the manufacturing plant in a calendar year? What measures are established by the facility owners to reduce green house gas emissions? Does the manufacturing plant maintain an annual report of the facility green gas emissions? 6. Ozone Layer Protection Regulations According to the Ozone Layer Protection Regulations, an ‘Ozone depleting substance’ refers to a gaseous substance exposed to the air, which is capable of reducing the oxygen volume of the Ozone, thus exposing the environment oxygen shortage (Environment Act, 2012). Thus, the regulations offer that no individual/facility shall be engaged in the release of ozone layer depleting substances (NSC, 2014). Owing to the fact that the manufacturing plant is a facility that emits gases into the air, then it suits the definition of a facility under this regulation, making the Ozone Layer Protection Regulations applicable for the audit compliance assessment. The relevance questions are: What type of gases does the chemical manufacturing plant emit to the environment? How does the plant dispose used and depreciated equipment? Does the manufacturing plant have a procedure of recovering ozone-depleting substances before disposing the used and depreciated equipments? Does the chemical manufacturing plant have a recycling program for used products? Does the chemical manufacturing plant install equipments that do not have ozone-layer depleting substance labels? 7. PCB Management Regulations Under the PCB Management Regulations, ‘PCB Equipment’ is defined as the equipment that may consist of any form of liquid, solid or gaseous PCB elements, including transformers and capacitors (NSC, 2014). It is for this reason that the PCB Management Regulations becomes applicable for the compliance audit assessment of the manufacturing plant, since it has a transformer that was installed in 1986. The relevant questions are: How does the chemical manufacturing plant handle and stored the transformer wastes? Does the plant dilute, mix or adulterate the transformer wastes? Is yes, has the relevant approval been obtained? Does the plant dispose the transformer wastes consisting of PCB like any other waste from the manufacturing operations? Is the storage rooms for the transformer products and related wastes controlled for entry? What type of material is used in the construction of the floor of the storage room where the transformer products and wastes are stored? 8. Pesticide Regulations The Pesticide Regulations provides that no one shall store or sell commercial class of pesticides, unless the person has obtained a valid certificate (Environment Act, 2012). Thus considering the fact that the chemical manufacturing plant is a commercial entity dealing with chemicals, the Pesticide Regulations applies for the compliance audit assessment, where the relevant questions are: What type of chemicals does the plant manufacture? What type of certification has the chemical manufacturing plant obtained? Has the owner of the manufacturing plant undertaken the relevant chemical exams and obtained the relevant grade? Does the manufacturing plant have a supervisory system for chemical applicators? Do the employees of the plant have the relevant chemical qualification certifications? 9. Petroleum Management Regulations The Petroleum Management Regulations provides that any form of underground tank storage that exceeds 2000 litres and any aboveground 4000 litres storage tank should be registered under the Underwriters Laboratories of Canada (ULC) (NSC, 2014). This regulation is applicable for compliance audit of the chemical manufacturing plant, since the plant has 4000 litre storage tank. The relevant compliance questions are: What material is used to manufacture the 4000 Litre storage tank for the chemical manufacturing plant? Is the storage tank of the chemical manufacturing plant underground or aboveground? Is the storage tank registered under the Underwriters Laboratories of Canada (ULC)? Does the storage tank have the relevant quality tag or label from the manufacturer? Has the chemical manufacturing plant been altered? If yes, was the alteration reported to the ULC for relevant inspection and supervisory action? 10. Solid Waste-Resource Management Regulations According to the Solid Waste-Resource Management Regulations, no person should release litter into the environment, unless it is done in the designated litter dumping area (NSC, 2014). Thus, since the chemical manufacturing plant must produce litter through its manufacturing operations, the regulation is applicable for the compliance audit assessment with the following questions: How does the chemical manufacturing plant dispose its litter? Does the plant have designated litter dumping containers? Does the manufacturing plant bury its litter or disposed it on a municipality designated area? What is the management littering policy of the chemical manufacturing plant? How does the plant place its advertisement flyers, posters or other print advertisements? 11. Used Oil Regulations The Used Oil Regulations provides that no person should sell, use or transfer used oil to any person or entity that is not a used oil collector a used oil return facility (NSC, 2014). Considering the fact that the chemical manufacturing plant uses oil fuel for powering its fleet of transport vehicles and for manufacturing machinery, the Used Oil Regulations is applicable for compliance audit under the following questions: How does the chemical manufacturing plant treat its used oil? Is the used oil for the manufacturing plant sold? If yes, to whom? Is the used oil subjected to laboratory examination for oil contamination? Does the manufacturing plant obtain certificate for the laboratory examination of its used oil? Does the manufacturing plant keep records of the used oil sold, the date of the sale, the volumes and the entity to whom the oil is sold? References Environment Act. (2012, October 1). Chapter 1 of the acts of 1994-95. Halifax: House of Assembly. Nova Scotia Canada (NSC). (2014, October 28). Nova Scotia Environment Act: List of Regulations by Act (A-L). Web. October 31, 2014. < http://novascotia.ca/just/regulations/rxaa-l.htm#env> Read More