Environmental Policy

Policy Statement by Louis Denner: Managing Director

We at First National Battery (FNB) are committed to our Environmental Management System. Through effective documentation, implementation and maintenance of our System, we will minimise potential environmental impacts during our battery design, manufacturing, distribution and recycling activities. Accordingly FNB will:
	Do all things practicable to minimise current and potential impacts resulting from our battery manufacturing and related activites, and commit to comply with relevant environmental laws and other requirements, including the lead regulations.
	Produce recyclable products which are safe and reliable in operation and which meet the specifications, safety and quality requirements of our customers.
	Continuously improve our environmental performance by implementing the ISO 14001 Environmental Management System.
	Work in co-operation with our site neighbours, industry, government and local authorities,suppliers and customers to promote responsible environmental care.
	Communicate and maintain environmental awareness including awareness of this policy amongst all FNB employees, and communicate this policy to the public on request.
	Identify and conduct job-specific training for all potential environmental risk areas.
	Set, review and continuously improve environmental objectives and targets for the Company at regular intervals.
	Adhere to all undertakings as stated in this policy, committing all managers and employees to prevention of environmental pollution and the achievement of FNB's environmental objectives and targets.

Recycling has become an extremely important consideration in modern business not only from the recovery of valuable materials but also from an ecological and environmental protection aspect.
International trends are toward motor company's developing recyclable motor vehicles. In Michigan, USA several technicians and engineers are tearing apart brand new cars. This takes place in a laboratory known as the Vehicle Recycling Development Centre. The aim of the centre is to teach automotive companies how to better design cars for easier dismantling by allowing easier access to key parts for future removal. The new trend is to "design for disassembly". The goal is to close the production loop to conceive, develop and build a product with a long term view of how it's components can be refurbished and reused or disposed of safely. This situation gives use to the need and concept of recycling.
An area of concern in South Africa relates to the importation of lead acid batteries. In general, importers do not have the same need to recycle their products as do local manufacturers and thus no apparent necessity for them to ensure the return of redundant batteries. Local producers are therefore much more environmentally friendly. We ensure that so-called scrap batteries are recycled thus displaying our social investment in the future of sound ecological management.
Scrap batteries are processed to the point where the polypropylene components are returned for cleaning, granulating and eventual re-processing. the scrap lead plates, terminals and separators are stockpiled for refining. All electrolyte, which by the time the battery is scrapped, has a low relative density - in fact almost 1.000 - is collected and neutralised before being processed in our effluent plant. The flocculants are disposed of in cake form and dumped in a Class 1 dump whilst the clean water is disposed of into the municipal waste system.
Some of the major benefits of having ones own smelter include:
	Active contribution to positive ecological benefits.
	More control over quality.
	Continuity of supply.
	Relatively high recovery rate of lead from scrap.
	Able to re-process dross and filtered materials.
All these factors are well and good but the lead industry, more than any other, has been subject to adverse publicity regarding environmental problems and legislative pressures to solve them. Anti-pollution controls have been implemented sometimes at a very high cost. Several sets of legislation are in force including Atmospheric Pollution Prevention Act, Occupational Safety and Health Act and the Water Act. Further, as the manufacturer of batteries involves lead we are required to be registered in terms of the manufacturing process and hold all the necessary permits.
Our investment in a smelter has therefore blended well with our commitment to the recycling of batteries. This in only a part of our long term capital expansion programme which, to date, has seen an improvement in production control, product quality and increased production capabilities. Further investments are planned for the next few years which will enable us to position ourselves to take advantage of the growth in the South African economy.