C282 - Tranz Rail Ltd - Wellington Region

Summary
Tranz Rail Ltd has a pro-active environmental strategy that aims to minimise the effects of its operation on the environment. Recycling systems have been set up for all the major waste materials and cleaner production work is also being undertaken in: the cleaning area, where chemicals with reduced environmental impact are used. 15-20% savings have been made in power consumption.

Business Profile
Tranz Rail Ltd is the leading transport provider of rail, shipping and truck services in New Zealand. The company owns and operates rail track and stock throughout the country. Two main workshops repair, maintain and refurbish locomotives and carriages, one in Dunedin and the other in Lower Hutt. The Lower Hutt workshop employs about 250 people (mid-1997) to service, clean, repair and refurbish locomotives and carriages. The company has undergone a series of restructuring and downsizing operations in the previous 5 years, reducing numbers working on the Lower Hutt site by over 90%.

Type of Project
Energy efficiency; good housekeeping; material recycling and substitution; process modification; reduction in use of hazardous substances; waste reduction; workplace reform.

Reasons for Project
Cost savings; improved environmental performance; waste management efficiency.

The Project

Recycling Programme
The Tranz Rail Hutt site achieved a solid waste reduction (by volume) of 65-70% in a series of stages over 14 months:-

• Trial recycling scheme introduced in May 1996, initially taking paper and cardboard from three key areas. Half a tonne of cardboard was collected in the first month. This was in addition to traditional recycling of metal.
• June 1996 - two main recycling stations were set up in Plant One, taking separated paper, cardboard, cans & glass. Waste is emptied into 1.5m3 bins, but by the end of July 1996, the number of these in Plant One had been reduced from thirteen to six.
• By January 1997, Plant Two was operating a similar recycling system, reducing waste generation still further.
• A new solid waste collection contract came into operation in March 1997. Tranz Rail's waste disposal costs are now approx. $7.50 per m3. Previously they stood at approx. $14 per m3.

Specially designed lifting gear, using the plants' cranes and pulleys, empties wheelie bins into the main collection bins. Research into improved collection bins for the 32 teams is on-going, including bins made from recycled plastic.

The combination of a new recycling operation and re-negotiation of the disposal contract has brought cost savings of approximately 80%, or almost $50,000 per annum in waste disposal. Recycling non-ferrous as well as scrap metal generates around $1m per annum. Costs of setting up the recycling system to mid-July 1997 were $23 000. This was paid off in the first year of operation.

Cleaning Systems
Parts are cleaned at a central site where hazardous chemicals are being phased out, waste products are being reduced, and energy and water are being used more efficiently as part of Tranz Rail's environmental improvement programme.

Until recently, a toxic phenolic product was used to clean parts in the workshop. This was contained in 20,000 litre tanks and had a limited lifespan, requiring problematic disposal. A number of alternative systems were tested, including baking ovens and caustic cleaning chemicals before one was settled on. The strongly alkaline product selected is relatively easy to use, has a much lower impact on the environment than its predecessor and does not compromise worker health & safety to the same extent. It is also reusable in a wide range of secondary cleaning applications.

An oil separation system is used to clean wastewater, which is re-circulated through a water blasting unit. This unit benefits from the water containing low concentrations of cleaning solution, reducing the need for added product. It has also been retrofitted with an applicator which enables the operator to use exactly the amount of cleaner needed and has been designed to minimise energy use by utilising waste heat. 75% less cleaning solution is used as a result and the time taken to clean parts has been reduced.

A number of cleaning machines have been bought new or relocated/repaired for use in the cleaning area. These use a combination of hot water and hot alkaline cleaning solution (another product selected for its reduced environmental impact). The lifespan of these solutions has been extended to the extent that sludge removal is only required once or twice a year. Previously, disposal occurred monthly.

Each locomotive can be cleaned for $800 less than previously (without taking into account the reduction in time spent or energy consumed).

Energy
Efficiency Capacitors have been installed to increase power efficiency for all workshops on site. These store electrical energy and allow better control in its release for operations. Power factor ratings have increased from about 0.7 to over 0.9, giving cost savings of 15-20% throughout the site.

For additional information contact:

Wayne Johns, Recycle & Disposal Store Co-ordinator Tranz Rail Hutt Private Bag Wellington Phone: (04) 498 2086 Fax: (04) 498 3157

Kirsty Ferguson, Environmental Manager Tranz Rail Wellington Private Bag Wellington Phone: (04) 498 2089 Fax: (04) 498 2039