At Merck, we strive to conduct our business in ways that help protect and preserve the environment. Worldwide, our manufacturing facilities monitor environmental events such as reportable spills, releases and permit deviations, notices of violations or violations of consent agreements, environmental incidents resulting in fines or that have a significant impact on our communities, and any permit violations. We have taken proactive steps to improve energy efficiency, reduce releases and transfers of toxic chemicals, develop greener manufacturing processes and otherwise reduce our environmental impact worldwide.
Examples of our recent environmental performance are provided below.
Environmental Events from Manufacturing Operations
Merck experienced 46 events that were the subject of a notice of violation or reportable to environmental agencies in 2006. Reportable events for the period 2004 to 2006 have decreased by 29%.
Remediation
Merck operates sites around the world that are subject to a variety of permit and regulatory requirements. Past industrial and waste management practices at some of these sites, though lawful and acceptable under standards at the time, have resulted in the need for environmental remediation today. We recognize our responsibilities in this area, and have instituted investigations and projects to ensure that aggressive and appropriate clean-up actions are pursued. In the United States, we also are involved in a number of Superfund (or Comprehensive Environmental Response, Compensation and Liability Act) proceedings, as well as other remediation actions under other federal and state statutes.
Our 2006 expenditures for remediation and environmental liabilities were $12.6 million. We project an estimated $94.2 million for the period 2007 through 2011.
We use many forums, such as community advisory panels and public meetings, to work with our communities to better understand and respond to their concerns. This has been especially effective in ensuring that our actions for site cleanup are consistent with a community's plans for growth and development.
Superfund Amendments & Reauthorization Act (SARA) Releases and Transfers No Longer Reported
Merck has achieved its goal of reducing by 90% the release and transfer of SARA chemicals globally from a 1988 baseline of greater than 9,500 metric tons. Merck achieved its goal by the end of 1995 and has continued to maintain this performance in subsequent years.
Global Releases of Nitrogen Oxides (NOx), Sulfur Oxides (SOx) and Volatile Organic Compounds (VOC) from Operations
In 2006, Merck generated 778 metric tons of NOx, VOC, and SOx air emissions. Over the period 2004 to 2006, NOx emissions have decreased by 40%, VOC emissions decreased by 20% and SOx emissions decreased by 31%.
Hazardous Waste
In accordance with our policy of preserving and protecting the environment, we strive to minimize and manage the waste we produce. Merck uses a definition of hazardous waste that applies to our global operations.
In 2006, the company generated 62,400 metric tons of hazardous/special waste from its operations. Hazardous waste trends for the past three years are noted below.
Products and Services
Merck assesses the potential environmental effects of its products and has adopted practices to assure that any such discharge from our facilities is minimized and will not result in risks to human health or the environment. We are an active member of the Pharmaceutical Research and Manufacturers of America's (PhRMA) Pharmaceuticals in the Environment Task Force, which is working to understand the potential significance of pharmaceuticals in the environment related to human health and ecosystems.
Merck has developed guidance for patients concerning disposal of unused prescription medicines.
Safety and Environmental Fines
In accordance with our safety and environmental policies, we are committed to conducting our business safely and in an environmentally responsible manner, thus ensuring compliance with the letter and spirit of all applicable and relevant environmental and safety laws. Despite these efforts, Merck paid fines in 2006 of $10,652 for three environmental violations and $1,975 for two safety citations (one of these safety citations was issued in 2005 and settled in 2006 for $1,000). A summary of the environmental fines paid for the past three years appears below:
In December 2003, the Virginia Department of Environmental Quality (VADEQ) issued a Notice of Violation to the Company's Elkton, VA, facility for air permit limit exceedances reported by the facility as a result of performance testing of a process train. The Company has settled this matter in 2005 with VADEQ by agreeing to make $3.1 million in capital improvements at the site, to pay VADEQ a $200,000 fine, and to perform a Supplemental Environmental Project for $300,000.
On December 21, 2005, the Company settled claims brought by the NJ Department of Environmental Protection for alleged damages to natural resources at four New Jersey Merck remediation sites. In the settlement, the Company agreed to pay $2.38 million, donate 10 acres of land adjacent to the Rahway River, and fund a $30,000 restoration project in the Passaic River watershed for groundwater contamination found at the Company’s sites.
Federal and state environmental authorities have been investigating the release on June 13, 2006 of potassium thiocyanate from our West Point, PA facility that resulted in a fishkill. Merck and those agencies are currently engaged in negotiating settlement of the government claims and Merck's liability; it is expected that the resulting settlement will include payment of penalties and supplemental environmental projects designated by the agencies, as well as remedial actions to improve the site's wastewater collection facilities.
Safety and Environmental Audits
Merck's Safety and Environmental Protection audit program is based on three key elements: self-assessment audits, corporate audits and management oversight. Each facility is required to conduct self-assessment audits of their programs and operations on an ongoing basis. Corporate audits are conducted routinely, with their frequency based on the size and complexity of the facility being audited. Reports and action plans are submitted to Merck’s senior management for control and follow-up.
To learn more about Merck's commitment to the environment, click on the links below:
