Document pmmRdmMkgJnxqb8L5oVpgejd

THE USE OF PFAS IN CHEMICAL PLANT EQUIPMENT AN INVENTORY STUDY Final Report September 2023 Table of Contents 0011 ExEexceuctuivtieve susmummmarayry 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix Executive Summary (1/4) Background and methodology In May 2023, Cefic contracted Accenture to conduct a thorough mapping of uses of PFAS in chemical industry manufacturing equipment and to investigate the use and the availability of potential alternatives, as well as waste management practices To obtain a quantitative inventory, a detailed list of equipment types used in chemicals plants was compiled. Collaborating with Cefic members, a tailored survey comprising over 600 questions was developed. The objective was to obtain a detailed overview of the presence of PFAS in different equipment types, reasons for their use, where alternatives were available and how long it would take to develop and/ or implement alternatives to PFAS. Via the survey and individual interviews, companies were also asked to describe current waste management systems related to PFAS-containing equipment To complement the quantitative survey and qualitative interviews, advanced analytics were applied, looking into data from business and industry journals, industrial equipment product data, and Material Safety Data Sheets (for PFAS and their potential alternatives). This was followed by an analysis of PFAS-based patents relevant to chemical plants Coverage of the study This report represents 111 Cefic member companies, covering 1421 plants in Europe, who responded to the survey. More than 50 one-on-one interviews with companies, industry associations and chemical equipment suppliers were conducted More than 1 million articles from technical journals and additional sources were screened for PFAS-relevant information In the patent analysis, a total of 166 000 filings within the chemical segments were examined, of which 52 000 were identified as being specifically related to PFAS-based application-focused innovation Executive Summary (2/4) Results Which PFAS are used and in which type of equipment? The findings indicated that the surveyed companies all use most of the equipment listed in the survey In addition, they reported an extensive PFAS usage across their (core) equipment. Seals, coatings and valves were the main PFAS-containing components. This was corroborated by the additional advanced analytics Fluoropolymers (in solid form) were most commonly reported (gaskets, seals), but there were also examples of non- fluoropolymer solids and several PFAS in liquid and gaseous forms. Once again, these findings were further validated by the advanced analytics exercise Why are PFAS used in chemical plants? Performance, due to their unique set of combined properties, and safety requirements are reported as the main factors driving the use of PFAS in equipment Performance of the equipment components is leading, composition of the product is usually less or not known or not specified in the data sheets Properties that are commonly mentioned are chemical resistance, temperature resistance, mechanical strength, low coefficient of friction, non-flammability, water resistance and electrical resistance. It is the unique combination of several of these properties that explains the use of PFAS Executive Summary (3/4) The challenge of substitution The survey and literature research revealed that for some equipment, such as membranes and diaphragms, no alternatives have been identified to date and identifying them will be very challenging due to the required combination of properties Some substitutes have been identified for specific use cases, although many have clear limitations, such as restricted use conditions (temperature limits, less corrosion resistance, lower safety levels,...) Patent analysis revealed that, since 2018, PFAS-based innovation activities have been declining, especially in Europe When reporting on their search for alternatives, study participants noted the following challenges: - The low likelihood of having the same persistence characteristic for alternative materials with similar properties to PFAS, and risk or regrettable substitution - Possibility of a negative impact on safety of future installations and workers - The alternative development process is long, having to go through R&D, testing, client approval, ... - A lack of confidence in the ability of alternatives-based equipment suppliers to provide guarantees for the same level of performance, safety, sustainability by design and fitness for a circular economy - The supply chain not being ready to cope with a sharp increase in demand of their alternatives - Some potential alternatives contain traces of PFAS (voluntarily or involuntarily) In terms of timeline, companies estimate that when technical alternatives have been identified, the timing to replace PFAS-containing equipment is estimated to be above 10 years. This is due to the length of maintenance cycles, plant renewals, investments, validity testing, ... Executive Summary (4/4) PFAS waste management On top of the generic waste management measures employed when equipment reaches its end of life, some companies have reported specific management plans related to PFAS. These include: - Periodic recycling and organized recovery of certain gaseous PFAS - Incineration or recycling of lubricants and greases - Incineration or recycling of solid PFAS, in addition to some remaining landfilling of nonhazardous waste Some companies declared working on additional PFAS-specific waste management plans Impact of the proposal to restrict PFAS on the chemical industry as a PFAS equipment user The chemical industry is highly CAPEX (Capital Expenditure) intensive and operates at high health, safety, security and environmental standards (HSSE). The unique properties of PFAS containing components are essential for these operations If PFAS use is banned in industrial equipment and alternatives are available, companies estimate: - Maintenance expenditure to increase 2 to 3 times versus the baseline - Potential temporary shutdown of plants of 6 months to 2 years, to adapt installations - 20 to 50% of plants will need to be rebuilt, entailing CAPEX requirements - Lost revenues due to client requalification of processes taking from 6 months up to 2 years - Higher CAPEX and increased maintenance cost in new investments Overall, the proposed restriction on the use of PFAS, including within chemical plant equipment, is expected to have serious implications on the operations of existing assets and on decisions to invest in new ones. These impacts range from the total shutdown of manufacturing facilities to the cessation of key strategic materials production, as well as a shift to other geographies for new investments Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix What are PFAS? PFAS are a large group of substances, both polymeric and non- polymeric, containing a Carbon-Fluorine bond Key elements PFAS product tree (simplified)* Derivatives of fluorinated compounds: F F2 HF ClF2C-C-F2Cl CH3CF2Cl CHClF2 Polyfluoroalkyl Substances Per and Polyfluoroalkyl Substances (PFAS) Nonpolymers Perfluoroalkyl Substances Polymers Side-chain fluorinated polymers Fluoropolymers C-F Bond heavily resistant to degradation Polyfluoroalkyl Ether Acids Perfluroalkane Sulfonamido Substances Fluorotelomer Substances Perfluoroalkyl Acids (PFAAs) Perfluoroalkane Sulphonamides (FASAs) Perfluoroalkyl Carboxylic Acids (PFCASs) Perfluoroalkyl Sulfonic Acids (PFSAs) Sources: * SFEI, OECD, Accenture research Perfluoroalkyl Ether Sulfonic Acids (PFESAs) Perfluoroalkyl Ether Carboxylic Acids (PFECAs) Precursor Transformation Pathway Key Potential Precursor Transformation to Terminal PFAS PFCAs PFSAs What was the scope of the study? The study focused exclusively on the use of PFAS in chemical plants equipment Focus of the study The study focused on investigating the presence of PFAS within equipment used in chemical plants and the potential implications of a restriction The production of PFAS as a chemical element was not in the scope of the study In scope Out of scope What was the approach to the study? The report is based on chemical companies' survey responses and interviews, combined with advanced analytical methods* that are text mining and patent analysis, and Accenture's analysis of plant equipment containing PFAS as a key component process Scope of the study Methodology The study aimed to: Identify the equipment containing PFAS in chemical plants Identify the different types of PFAS used in chemical plant equipment and their properties Explore potential alternatives to PFAS in the affected equipment Enquire about best practices related to PFAS management Assess the expected impacts of a ban on the use of PFAS in industrial equipment *Generative artificial intelligence methods Listing of segments of the chemical manufacturing process Development of a survey questionnaire to investigate PFAS uses, including 600+ questions covering 30+ categories of equipment, optimized with Cefic members Survey of 111companies (1421 plants), representing the diverse European chemical industry landscape 50+ interviews conducted with CEFIC members, industries associations and chemical equipment suppliers (joints/gaskets, piping, valves, refrigerant gas, paint/coating, electronics) Use of advanced analytics through text mining, MSDS (Material Safety Data Sheet) analysis and patent analysis What was the approach to the study? Interviews have been conducted with stakeholders from the whole industry to determine the impact of a ban on operations Diversity of interviewee profiles Deep dive interviews Workshops Interviews have been conducted with voluntary chemical industry players, including: - Chemical companies - National associations - Suppliers (joints/gaskets, piping, valves, refrigerant gas, paint/coating, electronics) Focus on - Industry representatives' maturity in PFAS management - Ability of stakeholders to identify PFAS in chemical plant equipment - Waste management programs - existing and/or upcoming Two sets of workshops with ~25 experts of 10 companies to gather data on selected chemical plants and refineries: - Inventory of industrial equipment containing PFAS, their alternatives and emissions, waste and HSE management plans in place - Analysis of operational, economic, social and environmental impact of a PFAS ban Source: Accenture analysis of questionnaire What was the approach to the study? The scope and structure of the survey, specifically created for the study, allowed to capture a picture of PFAS' presence in chemical plants in Europe Divided into various sections o Respondent profile o Company plans regarding PFAS o PFAS usage in chemical plants Process unit equipment - including environmental protection equipment (wastewater treatment, gas purification unit) Safety and protection equipment Power and utilities equipment Other Equipment Other products (greases, lubricants, catalysts, refrigerants, processing/auxiliary aids linked to the equipment) For each usage reason, substitution strategy Several types of questions o Different type of questions, including Yes/No, multiple choice, free text o The multiplicity of question types allowed to gather as much detail and precision as possible for each topic and equipment o Deep dive on each equipment via a loop of several questions Geographical scope o Plants located in Europe (EEA) Source: Accenture questionnaire What was the approach to the study? Article and Material Safety Data Sheet (MSDS) analysis through advanced analytics complemented data from the companies Focus on two types of data Main data sources ARTICLE ANALYSIS Data from Business and Industry journal articles Industrial equipment product data - Factiva data set, from which 833 661 articles were screened from various sources ranging from Chemicals & Chemistry, Coatings World, Specialty Chemicals, Journal of Engineering, etc. - Lexis-Nexis data set, from which 262 407 articles were collected and screened from several sources including Chemistry World.com, Journal of the American Chemical Society, Chemicals Monitor Worldwide, Chemical News and Intelligence, Wiley: Chemistry - A European Journal, etc. Methodology Analysis of articles from 2021/01/01 till 2023/05/10 Each article was screened against a key list of PFAS names (139 names) and chemical equipment names (400 names) Only articles that contained both PFAS names and chemical equipment names were considered for further analysis As a result, 2049 articles come Lexis-Nexis and 4728 articles Factiva were selected and analyzed by GPT-3* to verify PFAS names, and chemical equipment, and to also identify the application of PFAS MSDS ANALYSIS Methodology Chemicals comparison and fact-based mapping of PFAS alternatives Analysis built on all publicly available datasheets and ingestion of the data into a cloud-based analytics tool Comparison of chemicals along all technical parameters available in datasheets, typically 30-50 parameters Establishment of an up-to-date list of relevant PFAS alternatives for specific performance characteristics in chemicals Source: Accenture text mining analysis, *Generative AI language predictive model, Accenture Material Safety Data Sheet analysis What was the approach to the study? Further, an analysis of patents relevant to chemical plants was conducted, focusing on patents filed in relation to PFAS applications from the last two decades Methodology Chemical segments in the 52k priority filings were pinpointed The analysis encompasses patent applications filed between 2010 to 2021 During this time frame, a total of 166K filings within chemical segments have been examined Identifying patents specifically related to application-focused innovation, 52K priority filings have been pinpointed The subsequent segments, which are not relevant within the context, have been excluded: - Agro, Aircraft, Automotive, Batteries, Biotech, CG&S, Chem - Agrochem, Chem - Healthcare, Cosmetics & Toiletries, Cycles, Food & Beverages, Health, Marine & Transport, Mining, Rail & Transport, Space Vehicles, Textile & Leather, Tires, Weapons, Semiconductor Devices Basic Electric Elements & Circuits Layered Products Optics & Photo Engines & Engineering Chem - Organic Polymers Micro/Nano Tech Electric Communication Tech Building & Construction Utilities Cement Storage & Packaging & Handling Chem - Lubricant Printing Plastic Working Physic & Chem Processes Mechanical Shaping & Tools Chem - Paints & Coatings Antennas Additive Manufacturing Light amplification Energy Chem - Explosives Chem - Natural Resins/Waxes Analytics: Measure Glass Total 2,835 2,677 1,897 1,393 1,318 1,317 839 773 764 640 388 387 323 246 115 44 20 11 10 2 Wood & Paper Source: Accenture Research based on DerwentInnovationTM(Clarivate,2023) Source: Accenture Research based on DerwentInnovationTM(Clarivat) e,2023; Analysis based on set 166K patents relevant to chemical equipment filled between 2010 and 2021 8,295 7,550 6,579 6,272 5,435 10,622 51,837 Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix Who responded to the survey? 1421 plants from across Europe were covered, including companies of all sizes - totaling to more than 50 billion in turnover % of respondents having plants in a specific country % of respondents by turnover of the plants covered 53% 31% 28% 35% 32% 30% 27% 26% 16% 13% 10% 8% DE NL ES IT FR BE FI NO SE AU ... Source: Accenture analysis of questionnaire 21% 12% 6% 1% Between 0 and 10 million Between Between 10 million 100 million and 100 and 500 million million Between 500 million and 1 billion More than No 1 billion Knowledge Who responded to the survey? The main sectors of the broad chemical industry participated B.08 : Other mining and quarrying Extraction of salt C.17 : Manufacture of paper and paper products Manufacture of pulp C.21 : Manufacture of basic pharmaceutical products and pharmaceutical preparations Manufacture of basic pharmaceutical products Manufacture of basic pharmaceutical products and pharmaceutical preparations Manufacture of pharmaceutical preparations C.24 : Manufacture of basic metals Aluminum production Lead, zinc and tin production Manufacture of basic precious and other non-ferrous metals C.28 : Manufacture of machinery and equipment Manufacture of fluid power equipment G.46 : Wholesale trade, except of motor vehicles and motorcycles Other specialized wholesale Wholesale of chemical products Wholesale of solid, liquid and gaseous fuels and related products G.47 : Retail trade, except of motor vehicles and motorcycles Retail sale of automotive fuel in specialized stores Source: Accenture analysis of questionnaire C.10 : Manufacture of food products Manufacture of homogenized food preparations and dietetic food Manufacture of other food products C.19 : Manufacture of coke and refined petroleum products Manufacture of coke oven products Manufacture of refined petroleum products C.22 : Manufacture of rubber and plastic products Manufacture of other plastic products Manufacture of other rubber products Manufacture of plastic plates, sheets, tubes and profiles Manufacture of plastics products C.25 : Manufacture of fabricated metal products, except machinery and equipment Forging, pressing, stamping and roll-forming of metal; powder metallurgy Treatment and coating of metals D.35 : Electricity, gas, steam and air conditioning supply Electric power generation, transmission and distribution Manufacture of gas; distribution of gaseous fuels through mains Production of electricity Steam and air conditioning supply H.49 : Land transport and transport via pipelines Transport via pipeline C.13 : Manufacture of textiles Manufacture of non-wovens and articles made from non-wovens, except apparel Manufacture of textiles Preparation and spinning of textile fibers C.20 : Manufacture of chemicals and chemical products Manufacture of basic chemicals, fertilizers and nitrogen compounds, plastics and synthetic rubber in primary forms Manufacture of chemicals and chemical products Manufacture of dyes and pigments Manufacture of explosives Manufacture of fertilizers and nitrogen compounds Manufacture of glues Manufacture of industrial gases Manufacture of man-made fibers Manufacture of other chemical products Manufacture of other chemical products Manufacture of other inorganic basic chemicals Manufacture of other organic basic chemicals Manufacture of paints, varnishes & similar coatings, printing ink & mastics Manufacture of perfumes and toilet preparations Manufacture of pesticides and other agrochemical products Manufacture of plastics in primary forms Manufacture of soap and detergents, cleaning and polishing preparations Manufacture of synthetic rubber in primary forms M.72 : Scientific research and development Research & experimental development on natural sciences & engineering Scientific research and development What were the challenges? Companies of all sizes found it challenging to map uses of PFAS in industrial equipment in a relatively short timeframe Focus on equipment performance Widespread presence of various PFAS in many equipment Equipment and material selection prioritize equipment performance linked to functional specification such as thermal, pressure and chemical compatibility needs Regulatory teams primarily focus on assessing the compliance and safety of raw materials utilized in the production process The diversity of teams, including maintenance teams, within a company due to a high number of plants and their varied locations makes it difficult to centralize knowledge of PFAS presence Involvement of external third parties in equipment placement and maintenance creates a lack of awareness of the constitution of company's industrial assets Multiple and different equipment exist in a chemical plant PFAS are used in a wide range of equipment such as: - Pipes - Valves (Body, Washers & Gaskets) - Pumps (Coating & Gaskets) - Columns - Sensors - Instruments - ... Source: Questionnaire and interviews of chemical companies and suppliers Which equipment was investigated ? Below is an illustration of chemical plant equipment: Process Unit's Equipment Agitators Fans Conveyors Cooling Towers Crushers Pumps Instruments Couplings (Motors) Source: List of illustration in appendix Distillation Towers Dryers Evaporators Fired Heaters Gaskets & Sealings Steam Injectors Heat Exchangers Grinders Crystallizers Mechanical Separators Reactors Refrigeration Systems Piping Valves Vessels Membranes Safety and Protection PPE Power and Utilities Power Supply Other Products Greases Catalysts Firefighting Foams Cables & Wirings Lubricants Refrigerants Which equipment was investigated ? The presence of PFAS components was studied across manufacturing processes Level 1 Process units Safety and protection Agitators Compressors, Turbines, Fans Conveyors Cooling towers Crushers and Grinders Crystallizers Pumps Power & utilities Other products Other equipment Source: Accenture research and analysis Greases Lubricants Level 2 Devices for process control, Instruments Distillation and Absorption towers Dryers Evaporators Fired heaters Gaskets and Sealings Steam injectors and Vacuums Heat exchangers Mechanical separators Motors and Coupling Reactors Refrigeration systems Piping Valves and Accessories PPE Plant safety equipment Power supply Cables and Wirings Catalysts Refrigerants Processing, Auxiliary aids linked to equipment Vessels Other process units Level 3 Gloves, Lab coats, Face masks, Tapes, Sleeves, ... Firefighting foams, ... Which equipment was investigated ? The survey found that the companies surveyed have most of the equipment covered in this study... Presence of equipment in the company Potent. Presence of Yes No knowledge equipment* Process Unit's Equipment Agitators Compressors Turbines Fans Conveyors Cooling towers Process control devices Grinders Crystallizers Device for process analysis Instruments Distillation towers Absorption towers Dryers Evaporators Fired heaters Gaskets and Sealings Gas purification units Heat exchangers Mechanical separators Motors and Couplings Reactors Refrigeration systems Piping Pumps Steam ejectors Vacuum pumps Valves and accessories Vessels Wastewater treatment 97% 1% 95% 3% 76% 4% 95% 3% 94% 2% 93% 0% 100% 0% 79% 2% 70% 7% 97% 1% 97% 2% 88% 2% 86% 5% 94% 3% 89% 4% 87% 6% 99% 0% 86% 7% 96% 2% 90% 4% 99% 0% 96% 0% 95% 4% 99% 0% 100% 0% 86% 9% 98% 1% 99% 0% 98% 0% 94% 2% 98% 98% 81% 98% 96% 93% 100% 81% 77% 98% 99% 90% 91% 98% 93% 93% 99% 93% 98% 94% 99% 96% 99% 99% 100% 95% 99% 99% 98% 96% On average, 95% of the companies have all selected process unit's equipment in their plants Additional types of equipment were listed by companies in the survey: Isolators, hoses, incinerators, filling machines, containers, electrolyzers, membranes, diaphragms, nanofiltration, laboratory equipment, special vehicles *The percentage is based on the number of responses received per question for each equipment, which corresponds to the sum of the percentages of Yes and the percentages of No knowledge. Source: Accenture analysis of questionnaire responses received. In which equipment are PFAS present? ... and that PFAS is contained in nearly all of them PFAS presence in equipment No Yes knowledge Process Unit's Equipment Agitators Compressors Turbines Fans Conveyors Cooling towers Grinders Crystallizers Process control devices Devices for process analysis Instruments Distillation towers Absorbtion towers Dryers Evaporators Fired heaters Gaskets and Sealings Gas purification units 61% 53% 30% 41% 43% 27% 31% 39% 65% 62% 71% 56% 58% 52% 45% 29% 91% 43% 23% 34% 33% 33% 31% 37% 31% 21% 29% 29% 25% 22% 22% 28% 29% 33% 7% 33% Heat exchangers 57% 26% Mechanical separators 53% 26% *Percentage based on the number of response received per question for each equipment Source: Accenture analysis of questionnaire Potent. PFAS* 84% 87% 63% 74% 75% 64% 62% 61% 94% 91% 96% 78% 81% 80% 74% 62% 98% 76% 83% 79% PFAS presence in equipment Motors and couplings Reactors Refrigeration systems Process Unit's Equipment Piping Pumps Steam ejectors Vacuum pumps Valves and accessories Vessels Wastewater treatment Safety & protection PPE Plant Safety Equipment Power & utilities Power Supply Equipment Plants Cable & Wiring Equipment Greases Other products Lubricants Plants Catalysts Refrigerants Processing aids Yes 40% 59% 68% 76% 81% 23% 58% 87% 58% 43% 58% 50% 38% 38% 39% 42% 5% 64% 15% No knowledge 37% 19% 24% 17% 18% 41% 31% 11% 16% 40% 30% 35% 42% 44% 38% 38% 25% 19% 39% Potent. PFAS* 77% 78% 92% 93% 99% 64% 89% 98% 74% 83% 89% 85% 81% 82% 78% 80% 30% 83% 55% In which equipment are PFAS present? Seals, coating and valves are the main PFAS containing components in chemical plant equipment PFAS presence in equipment Process unit's equipment Agitators Compressors Turbines Fans Conveyors Cooling towers Process control devices Grinders Crystallizers Devices for process analysis Instruments Distillation towers Absorbtion towers Dryers Evaporators Fired heaters Gaskets and Sealings Gas purification units Heat exchangers Mechanical separators Seals (Gasket, O-ring) 56% 49% 43% 41% 39% 29% 40% 39% 43% 43% 38% 53% 58% 56% 51% 31% 53% 45% 57% 48% Coating 16% 2% 7% 7% 8% 7% 18% 3% 16% 14% 18% 22% 16% 8% 10% 6% 3% 15% 18% 8% Piping 2% 3% 11% 10% 3% 2% 2% 1% 4% 4% 8% Major equipment components containing PFAS Valves 3% 10% 5% 4% 5% 2% 18% 6% 14% 15% 8% 2% 3% 4% 7% 12% 6% 2% 4% 5% Membranes 2% 4% 11% 11% 1% 6% 2% PFAS presence in equipment Process unit's equipment Safety & protection Power & utilities Other products Motors and couplings Reactors Refrigeration systems Piping Pumps Steam ejectors Vacuum pumps Valves and Accessories Vessels Wastewater treatment PPE Plant Safety Equipment Power Supply Equipment Plants Cable & Wiring Equipment Greases Lubricants Plants Catalysts Refrigerants Processing aids Seals (Gasket, O-ring) 39% 55% 36% 36% 59% 31% 55% 51% 42% 40% 1% 8% 8% 1% 5% 4% Coating 6% 23% 3% 37% 25% 10% 13% 23% 39% 12% 4% 1% 1% 4% Piping 12% 1% 31% 1% 1% 1% 4% 11% 2% 1% 2% Valves 4% 10% 4% 7% 8% 2% 7% 34% 9% 11% 13% 2% Plant safety equipment Firefighting foam Safety valves Source: Accenture analysis of questionnaires Example of components in PPE and Plant safety equipment PPE Gloves Face masks Work clothings (plant) Fire protection Lab coats Membranes 5% 1% 13% 2% 5% 4% 4% 3% 4% In which equipment are PFAS present? Article analysis through advanced analysis confirmed the survey results - below is a sample of the results Chemical Equipment Seals & O-Rings PFAS Name FFKM Membranes PTFE Membranes Cooling Towers PVDF PVDF Heat Exchangers Piping Coating Batteries Pumps Diaphragm Pumps UV reactors Refrigerant gas Valves PTFE, FEP, PVDF PTFE PTFE PVDF ETFE PTFE PTFE R410 PTFE Use FFKM provides exceptional high temperature and high-pressure performance to equipment parts like O-Rings and seals. FFKM can also be used to increase the mean time between failure (MTBF) of a screw spindle pump in a petrochemical plant PTFE is used in TPV membrane modules. PTFE is used as a backbone to suppress the swelling of Nafion component in composite membranes for high temperature PEM fuel cell applications PVDF is used to produce ultrafine hollow fiber membranes for lactic acid extraction PVDF is used to reduce microbiological activity in cooling tower systems. It helps with sunlight resistance and is used in the construction of sodium hypochlorite feed systems to inhibit the growth of algae and bacterial species in cooling towers PTFE, FEP, and PVDF materials can be included in the oleophilic surface of a heat exchanger PTFE is used to form hydrophobic pigs in a method of minimizing the mixing of aqueous-based materials in pipes PTFE coating is used for antifouling purposes in gas-absorption desulfurization PVDF is an indispensable binder for lithium battery cathode materials ETFE is used for a wide range of corrosives and solvents PTFE is used in metering diaphragm pumps because of its chemical resistance PTFE is used in UV reactors as a diffusive surface to increase the UV radiation intensity with water R410 offers high thermal conductivity and high stability A PTFE stem sealing system (V-Pack) is mentioned as a new advanced sealing system for valve stems that removes the need for an elastomer O-ring, making the valve suitable for use with a wide range of chemicals Source: Accenture text mining analysis Which PFAS are present? Predominantly used as a raw material in chemical synthesis, PFAS are mainly found in solid form in industrial equipment, primarily as fluoropolymers Intermediaries PFAS distribution by main category 4 683 267 1 833 314 365 625 21 512 746 Fluoropolymers Fluorotelomer-related compounds Other PFAA precursors and related compounds - perfluoroalkyl ones Per- and polyfluoroalkyl ether-based compounds Perfluoroalkane sulfonyl compounds Perfluoroalkyl phosphate compounds Perfluoroalkyl carbonyl compounds Other PFAA precursors or related compounds - semifluorinated PFAS distribution by state 4 683 333 2 612 Primarily fluoropolymers 1 738 Solid state Liquid state Gaseous state More than 90% of the PFAS are used in gaseous or liquid state -- in terms of substance classification Solid PFAS, mainly fluoropolymers, represent a small portion of the total substances (~5%) -- in terms of substance classification Source: Analysis based on OECD Database, under the following hypotheses: Chain length <5 = Gaseous state ; >20 = Solid state ; 5< & <20 = Liquid state Which PFAS are present? 3 groups of PFAS used in industrial equipment were identified, representing ~50 types of PFAS Identified PFAS substances* Solid State Liquid State Gaseous State Fluoropolymers FKM (Viton, Tecnoflon, Dyneon,...) FFKM (Kalrez, Tecnoflon,...) PTFE (Teflon, Gylon) FEP PFA PVDF (Kynar, Hylar, Solef) ETFE PCTFE ECTFE PFAS compounds PFSA** PFCA** Lubricants/Greases PFAE PFPE PFPAE PTFE (Interflon, Oraflon, Nevastane HD2T) PCTFE (Voltalef) Firefighting foams C6 Foams (SFPM***) PFBA PFOA PFOS PFNA PFBS FK-5-1-12 HCFC HCFC-123 HFC/HFO - Blends R-448A R-449A R-452A R-513A HFC - Blends R-401A R-404A R-407 R-410A HFC HFC-134a HFC-143a HFC-365mfc HFO HFO-1233zd HFO-1234yf HFO-1336mzz R-417A R-422D R-427A R-507 *PFAS list is potentially not exhaustive, the brand names identified are presented in (italic), **PFSA and PFCA are not fluoropolymers, ***Film-forming alcohol-resistant fluor synthetic emulsifier Source: Accenture analysis of questionnaires, Text mining, Interviews of chemical companies and suppliers Which PFAS are present? Fluoropolymers are the main PFAS types in chemical process unit's equipment (1/2) PFAS presence in Process Unit's Equipment PFAS Category* Perfluoroalkyl acids Perfluoroalkane sulfonyl fluorides Perfluoroalkane sulfonamides Perfluoroalkyl iodides Perfluoroalkyl aldehydes F-Gases (HFCs, HFOs, ...) Fluoropolymers** Side-chain fluorinated polymers Perfluoropolyethers Polyfluoroalkane sulfonamido Fluorotelomer-based compounds Poly-fluorinated n-alkanes & alkenes Others Agitators 1 57 3 5 3 2 16 Compressors 1 5 48 3 3 2 2 15 Turbines 1 20 1 1 2 1 6 Fans 2 1 Conveyors 2 1 Cooling towers 2 Process Unit's Equipment Crushers 1 Grinders 2 Crystallizer 1 2 34 32 21 20 17 21 1 2 4 5 1 1 3 3 2 3 1 1 1 1 2 1 1 1 9 7 6 6 5 2 *Frequency for which a specific category of PFAS is mentioned for a specific equipment **Including fluoroelastomers Disclaimers : Representative of European chemical landscape, 100+ companies and 1000+ plants Source: Accenture analysis of questionnaires Process control 2 1 46 2 3 1 2 19 Wastewater Treatment 28 1 1 1 10 Process analysis 2 1 47 1 2 1 2 20 Instruments 2 Absorption towers 2 Distillation towers 1 1 53 36 43 2 1 4 3 2 3 1 1 2 4 1 2 22 11 9 Which PFAS are present? Fluoropolymers are the main PFAS types in chemical process unit's equipment (2/2) PFAS presence in Process Unit's Equipment PFAS Category* Perfluoroalkyl acids Perfluoroalkane sulfonyl fluorides Perfluoroalkane sulfonamides Perfluoroalkyl iodides Perfluoroalkyl aldehydes F-Gases (HFCs, HFOs, ...) Fluoropolymers** Side-chain fluorinated polymers Perfluoropolyethers Polyfluoroalkane sulfonamido Fluorotelomer-based compounds Poly-fluorinated n-alkanes & alkenes Others Dryers 1 1 1 35 1 4 1 3 13 Fired Heaters 1 Gaskets Sealings 2 Evaporators Process Unit's Equipment Gas purify. Heat Mec. Motors & units Exchanger separators Couplings Reactors Vessels 1 1 1 2 2 2 1 1 1 2 2 19 72 32 25 56 35 36 47 46 6 1 3 1 5 2 1 3 5 1 2 3 3 4 5 3 1 3 2 1 2 1 3 2 1 2 2 2 1 3 1 1 2 3 7 33 9 9 21 10 12 16 23 *Frequency for which a specific category of PFAS is mentioned for a specific equipment ** Including fluoroelastomers Disclaimers : Representative of European chemical landscape, 100+ companies and 1000+ plants Source: Accenture analysis of questionnaire Piping 3 1 66 3 5 2 1 30 Pumps 2 1 Steam Ejectors Vacuum pumps 2 Valves 2 1 Other Proc. equip. 3 2 1 72 16 48 68 33 4 3 2 1 5 5 4 3 3 1 3 1 1 3 1 2 1 28 5 13 30 9 Which PFAS are present? PFAS are also found in several other categories of equipment PFAS presence in other equipment PFAS Category* Perfluoroalkyl acids Perfluoroalkane sulfonyl fluorides Perfluoroalkane sulfonamides Perfluoroalkyl iodides Perfluoroalkyl aldehydes F-Gases (HFCs, HFOs, ...) Fluoropolymers** Side-chain fluorinated polymers Perfluoropolyethers Polyfluoroalkane sulfonamido Fluorotelomer-based compounds Poly-fluorinated n-alkanes & alkenes Others Safety and Protection PPE Plant Safety 1 7 1 1 5 30 14 1 1 1 2 1 2 3 3 3 10 16 Power & Utilities Power supply Equip. Plant Cables & Wiring Equip. 1 1 1 1 6 19 23 1 1 1 1 1 3 10 7 *Frequency for which a specific category of PFAS is mentioned for a specific equipment **Including fluorelastomers Disclaimers : Representative of European chemical landscape, 100+ companies and 1000+ plants Source: Accenture analysis of questionnaires Greases 1 18 3 2 10 Lubricants 1 19 5 1 11 Other Products Catalysts 1 Refrigerants Processing aids 1 Others 2 2 49 1 1 2 11 15 1 1 2 1 1 3 10 2 4 Which PFAS are present? Product data analysis through advanced analytics confirmed these findings Data collection* Equipment data was collected on the categories listed below: Category, subcategory Detection - Measurement Flow, pressure and level measurement Temperature and humidity measurement Environment - Health - Safety Air treatment and noise management Personal protective equipment Waste treatment Water treatment Hydraulics - Pneumatics Compressors Filters and separators Hydraulic and pneumatic actuators Pipes, tubes and fittings Pumps Valves Industrial machines and equipment Furnaces and heat treatment Heat exchangers and refrigeration Mixing and dosing Count of equip. classes 33 20 13 38 21 6 2 9 98 11 21 2 22 16 26 49 9 20 20 PFAS type PFA, PTFE, VDF, FFKM, FM200, PFC, ETFE, R134 a, ECTFE, R407 c, R1234 yf, FEP, FKM FKM, PTFE, FFKM, PFC, FEP, PFA, PVDF, ETFE, FTO ECTFE, ETFE, FFKM, FKM, FTI, PFA, PFC, PTFE, PVDF, PVF, SFA PTFE, FFKM, PFC FTO, PTFE ECTFE, FFKM, FTI, PFA, PFC, PTFE, PVDF, SFA, VDF R134 a, PTFE, FFKM, FKM, R407 c ECTFE, ETFE, FEP, FFKM, FKM, PFA, PTFE, PVDF, SFA, VDF FKM, PTFE, PVDF, PTFE, FFKM R134 a, R407 c, PTFE, FEP, PFA, PVDF, FFKM, ETFE, PVF, ECTFE, FKM, PFC ECTFE, ETFE, FEP, FFKM, FKM, FTI, PFA, PTFE, PVDF, SFA, VDF ECTFE, ETFE, FEP, FFKM, FKM, PFA, PFC, PTFE, PVDF, PVF, VDF PVDF, PFA, PTFE, R134 a, R407a, FFKM PTFE, FEP, PVDF, PFA, FFKM, ECTFE, R134 a, R407 a, c, R1234 yf, R452 a ECTFE, ETFE, FEP, FFKM, FKM, FTO, PFA, PFC, PTFE, PVDF Source: Accenture text mining, Equipment data collected from directindustry.com Analysis In total there were 62 427 equipment products identified, with material information Out of those 62k+ products, 11 235 are tagged as chemical equipment Out of those, 62k+ products, 2 571 mentioned PFAS names Out of those 62k+ products, 345 classes of equipment have been analyzed Category, subcategory Materials - Tools - Components Lubricants Semi-finished products Packing - Health - Logistics Conveying Handling and lifting Packing and Packaging Storage Power Transmission - Mechanical Components Actuators and positionning systems Bearing and linear guides Mechanical Transmission Motors and Motor Control Production Machines Forming machines Total Number of Equip. Classes Count of equip. classes 25 10 15 49 13 11 17 8 43 9 8 23 3 10 10 345 PFAS type FFKM, FKM, PTFE, PFPE, PVDF, VDF ETFE, FEP, FFKM, FKM, PFA, PTFE, PVDF, R1234 yf, R134 a FKM, PTFE, FDF PTFE, FFKM, PFC PTFE, FKM, FFKM, PVDF, PCTFE, FEP, PTFE, FKM, ECTFE, FFKM, FEP, ETFE, PFA, PVDF, PTFE, FFKM, PVDF, R134 a, R407 c PTFE, FFKM, SFA, FKM FFKM, PTFE, PFA, PVDF, PVC R134 a, R407 c, PTFE, FEP, PFA, PVDF, FFKM, ETFE, PVF, FKM, PTFE, FEP PTFE, PFC Why are PFAS used? Ensuring performance and health and safety are the main reasons for using equipment containing PFAS 87% 68% 60% 56% 43% 39% 30% Performance (incl. lifetime of equipment) Health, safety & environment Regulations and standards Other Costs Less spare parts management Fewer options reduce mistakes when replacing parts Influential factors in companies' preference for PFAS equipment (% of companies)* *The provided percentage for factor X was calculated by counting the number of companies that indicated "yes" to the X factor among the given options for their equipment (companies could select more than one option). Then, this count was divided by the total number of companies that responded to the question. This provided the percentage of companies that are influenced by the factor X in their preference for PFAS equipment. Source: Accenture analysis of questionnaire Why are PFAS used? Fluoropolymers are the main category of PFAS found in chemical plant equipment because they display a unique set of combined properties Distribution of the sought-after properties in PFAS according to the companies Top three sought-after properties in PFAS Chemical resistance, thermal resistance and mechanical properties (mechanical strength & low friction coefficient) are the most sought-after attributes in PFAS 59% 45% 34% 21% 20% 20% 14% 11% 10% 6% 5% 4% Chemical resistance High resistance to corrosion: Resistance to aggressive products (pH<1) such as nitric acid and chloride acid Chemical inertia: Material that degrades little over time, little product contamination (i.e., no impurities) Thermal resistance Wide operating temperature range: For example, PTFE has a permissible temperature range of [-20-260] C and can withstand high temperatures without degradation Chemical resistance Thermal resistance Mechanical strength Low coefficient of friction Water/moisture resistance Non-flammability Other Electrical resistance* Repellency properties UV-resistance Low surface tension Low vapor pressure** Proportion of companies seeking specific properties in PFAS (% of Companies)*** Mechanical properties High mechanical strength: Can withstand mechanical stress and deformation Low friction coefficient: Non-stick and lubricants properties *Corresponds to the dielectric constant **For Vacuum applications ***The provided average percentage was obtained by computing the ratio of the number of companies expressing interest in property X for equipment Y to the number of companies reporting PFAS-containing equipment Y, across all equipment types. Sources: Interviews of chemical companies, Questionnaire, Desktop research, Accenture analysis Why are PFAS used? PFAS in sealings, pipes and valves in chemical plants are chosen for one or more of these properties (1/3) - Focus on gaskets/sealings Type of gaskets/sealings Static gaskets/sealings Dynamic gaskets/sealings Common functions Types of PFAS present Desired properties Static sealing: Sealing between two parts with no (or very low) relative movement Dynamic sealing: Sealing between two parts with relative rotational and, or translational movement e.g., PTFE, PVDF, PFA, FFKM, FKM, PCTFE, FEP, ECTFE Mechanical resistance: tensile strength and limited swelling Chemical resistance: resistant to chemical attacks Mechanical resistance: high pressure (0 to 750 bar), low fatigue, high tensile strength Thermal resistance: very low and high temperatures (-50 to +300 C) Used when the application goes beyond the limits of traditional lip seals Sources: Eriks, Interviews of chemical companies and suppliers Why are PFAS used? PFAS in sealings, pipes and valves in chemical plants are chosen for one or more of these properties (2/3) - Focus on piping Type of piping Internal coating Solid piping Common functions Transport of highly acid or basic fluids under extreme temperatures Transport of highly acid or basic fluids Types of PFAS present e.g., PTFE, PVDF, PFA, FFKM, FKM, PCTFE, ECTFE Desired properties Chemical resistance: corrosion resistance Thermal resistance: operating temperatures from -50C to +260C * *UL V0 is used to classify the flammability of plastics base on their ignition and combustion characteristics. Sources: Mersen, Tecalemit, Interviews of chemical companies and suppliers Chemical resistance: highly resistant to chemicals, rotproof and mildew-proof Thermal resistance: operating temperatures from -50C to +150C Other properties: insensitive to ultraviolet rays, highly waterproof, non-flammable (UL V0)* Why are PFAS used? PFAS in sealings, pipes and valves in chemical plants are chosen for one or more of these properties (3/3) - Focus on valves Type of valves Common functions Types of PFAS present Desired properties Valves with some PFAS components Control flow of highly acid or basic fluids under extreme temperatures e.g., PTFE (sleeve) Chemical resistance: chemical resistant lining Thermal resistance: -20C < T < 210C Mechanical resistance: vacuum-proof lining PFAS-only valves Control flow of highly acid or basic fluids under extreme temperatures and high purity standards e.g., PVDF (body), FPM (gaskets), PTFE (membrane) Chemical resistance: resistant to acid and basic liquids Thermal resistance: -30C < T < 120C Sources: Az-Armaturen, Sectoriel, Interviews of chemical companies and suppliers Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix The challenge of substitution A timeframe of +10 years will be needed to substitute PFAS in equipment when alternatives are identified, according to companies Timeframe for PFAS replacement 4% 22% 44% 21% 56% of companies are uncertain about the time that would be required to replace PFAS with alternatives Less than 3 years Between 3 to 5 years When companies provided a timeframe for PFAS replacement, they estimate that it would take more than 10 years for 54% of their equipment 56% 54% Between 5 to 10 years More than 10 years Possess timeframe details Uncertain about the timeframe Estimated time needed for equipment replacement (% of equipment) when companies provided a timeframe* *The provided percentage for a substitution strategy per equipment X was calculated by taking the number of "yes" for an equipment X divided by the total of answer for the substitution strategy. Source: Accenture analysis of questionnaires The challenge of substitution The complexity of replacing PFAS in equipment is heightened by the varying combinations of properties sought for each application Pumps Conveyors Gaskets & Sealings 88% 71% 50% 32% 66% 50% 47% 42% 90% 75% 54% 33% Chemical Resistance Thermal Resistance Mechanical strength Low coefficient of friction Chemical Resistance Low coefficient of friction Mechanical strength Thermal Resistance Chemical Resistance Thermal Resistance Mechanical strength Water/Moisture Resistance Refrigeration systems PPE Power Supply Equip. 43% 40% 29% 27% 65% 36% 32% 23% 37% 27% 27% 21% Chemical Resistance Thermal Resistance Mechanical strength Nonflammability Chemical Resistance Water/moisture Resistance Nonflammability Repelleny propreties Electrical Resistance Thermal Resistance Chemical Resistance Nonflammability Top four sought-after properties for six PFAS-containing equipment (% of Companies)* *The provided percentages indicate the number of companies that expressed interest in property X for equipment Y, divided by the number of companies that reported having the respective PFAS-containing equipment Y. Source: Accenture analysis of questionnaires, List of illustrations is in the appendix The challenge of substitution For some equipment, alternatives are not available or viable to date Equipment Membranes & diaphragms for Electrolysis Illustration PFAS PFSA, PTFE (Nafion, Aquivion) Alternatives' limits Some alternatives are banned in Europe (mercury technology, asbestos diaphragms) There is no technical solution to date that can efficiently perform the filtration, the separation and the selectivity Sources: Denora, Interviews of chemical companies and suppliers, Desktop research, Accenture analysis The challenge of substitution Equipment Gaskets Piping PFAS PCTFE, PTFE PTFE PTFE, PFA, PVDF Alternative Metallic (e.g., Nickel) gaskets Graphite or Mica (silicate) gaskets EPDM, NBR** Organic, mineral fibre gaskets TPM (Thermoplastics materials) (HD-PE, PP, U-PVC, C-PVC), SVR FRP (Fiber Reinforced Plastic) Hastelloy Glass lining Alternatives' limits Not suitable for excessive torque tightening Possible contamination issues Lower Chemical resistance (less safety in chemical plants, higher emissions) Sealing level reduced by x(100-1000), shorter life span Lower upper temperature limit and lower chemical resistance Lower upper temperature limit and lower chemical resistance Material heavy weight can induce changes in structural design changes of supports and civil construction Mechanical fragility Enamelled Steel, Nickel, Titanium Mounting constraints, lower resistance to chemical reaction *The list of PFAS and alternatives identified is not exhaustive. **EPDM and NBR have insufficient chemical resistance for chlorine, sulfuric acid and nitric acid. In addition, NBR has insufficient chemical resistance for ammonia Sources: Unique Polymers; sgl carbon; Debrunner Acier, Interviews of chemical companies and suppliers, Desktop research, Accenture analysis The challenge of substitution Equipment Valves Bodies (large components) Valves - Washers* (Intermediate components) Valves - Gaskets Refrigerant Coating PFAS PCTFE PTFE PTFE FKM, PTFE Refrigerant PTFE, PVDF Alternative Vespel Enamelled steel valves, Hastelloy Noble metal grade Polyethylene Alternatives' limits No specific limits identified except high cost Higher friction coefficient and lower sealing capacities, low availability Lower upper temperature limit EPDM Ammonia CO2 Hydrocarbons (e.g., Propane, Isobutane, Butane) PPV, Epoxy, Polyester, Melamine Lower chemical resistance, not suitable for all applications Higher risks due to toxicity, impact on refrigerant auxiliary system design and on energy consumption Much higher-pressure requirements for cooling, impact on refrigerant auxiliary system design and on energy consumption, narrower applicable temperature range, mainly applied in commercial refrigeration Highly flammable gas, impact on refrigerant auxiliary system design and on energy consumption, high GHG impact, mainly applied in commercial refrigeration, temperature of use must not be too high** Lower UV durability, corrosion resistance (e.g., for seaside applications) and resistance regarding high temperatures *The list of PFAS and alternatives identified is not exhaustive **Parts ensuring friction and sliding ***The temperature difference between the desired cooling temperature and the outside temperature should not be too great, this is due to the specific properties of propane as a refrigerant. Sources: Ferguson industrial, Alundong, BuyBestAc, Interviews of chemical companies and suppliers, Desktop research, Accenture analysis The challenge of substitution Some examples of potential alternative materials for specific uses (1/3) - Focus on identified PFAS alternatives by categories Materials in Chemical Equipment Polymers Plastics PVC PEEK PPS PSU Elastomers NBR EPDM Solid State Metals Stainless Steel Nickel Alloys Hastelloy Exotic material (Tantalum, Zirconium, Titanium) Other Materials Glass Ceramics Graphite Liquid State Lubricants, Greases Powder Graphite Molybdenum Foams Hydrocarbons Detergents Siloxanes Proteins Gaseous State Refrigerant Ammonia CO2 Hydrocarbons (e.g., Propane, Isobutane, Butane) For some applications, such as electrolysis membranes, there are no substitutes identified to this date Sources: Questionnaires, Interviews of chemical companies and suppliers, Desktop research, Accenture analysis The challenge of substitution Some examples of potential alternative materials for specific uses (2/3) - Focus on Thermoplastics (other polymers) Symbol Fluoropolymer PTFE PFA PVDF Alternatives PEEK PPS PSU PEI Table 1: List of selected heat-resistant plastics Thermal Resistance Material name Polytetrafluoroe-thylene Perfluoroalkoxy polymer Polyvinylidene fluoride Polyetherketone Polyphenylene sulfide Polysulfone Polyetherimide Max. working T. [C] 260 150 150 250 240 150 170 In terms of working temperatures alone, some alternative plastics can be found for certain PFAS (ASTM 2000, SAEJ20) Heat Resistance* 325 300 FFKM 275 250 225 200 VQM FVQM Fluoroelastomers FKM, TFE-P AEM Figure 1: Elastomer 175 150 EPDM 125 CSM CPE CR ACM HNBR ECO NBR family's plastics rated against heat and oil resistance3 100 IIR 75 SBR NR 50 Not 140 120 100 80 60 40 30 20 10 required The ASTM swelling test for elastomers shows that in the domain of high temperature (>200C), fluoroelastomers are the most suitable materials Oil Resistance, [%] Volume Swell in ASTM No. 3 Oil, 70 hours exposure *Maximum time at which vulcanizates can be aged for 70 hours with changes in tensile strength 30%, elongation -50% and hardness 15points Sources: 1.Design and Manufacturing of Micro-Turbomachinery Components with Application of Heat Resistant Plastics, June 2018. 2.https:, , www.glsciences.com, technique, technique_data, lc, usage_of_hplc_1, column12.html. 3.Choosing the right elastomer for the right application Stahl W, World Pumps, 2006, 481, 2006 Oct, pp 30-33 The challenge of substitution Some examples of potential alternative materials for specific uses (3/3) - Certain materials can withstand high temperatures like PFAS substances Permissible temperature of materials Fluoropolymers Metals PTFE/FEP FFKM ETFE FKM PVDF Hastelloy Stainless Steel* PEEK PPS EPDM PP NBR PVC -185 C -260 C -20 C -50 C -10 C -20 C -20 C -40 C -40 C -30 C 0 C -10 C 0 C 150 C 150 C 100 C 260 C 260 C 250 C 200 C 130 C 100 C 90 C 60 C 400 C 1 000 C Temperature ( C) *Stainless Steel 3 16Ti Sources:. https://burkert.poznan.pl/pdf/tochen.pdf, https://www.haynesintl.com/alloys/alloy-portfol..., https://www.polyfluor.nl/en/materials/peek/ , https://burkert.poznan.pl/pdf/tochen.pdf 3 14:16 Alternatives Plastics The challenge of substitution However, these potential alternatives often do not match all the required properties of PFAS substances (1/2) - When temperature is combined with chemical resistance, potential alternatives are less performant than PFAS Overview of the chemical resistance of materials at 20C and 60C Alternatives Fluoropolymers Metals Plastics Category of substances Substances Temp. [C ] PTFE/FEP PVDF ETFE FFKM Stainless FKM Steel* Hastelloy PP PPS PVC NBR Sulphuric Acid (conc. 98%) 20 + + + + + + + 0 0 0 - 60 + + + + - 0 + 0 - - Strong acids Hydrochloric Acid (conc. 30%) 20 + + + + + - + + + + - 60 + + + + 0 - 0 + + - Nitric Acid (conc. 65%) 20 + + + + 0 + + - - + - 60 + + + + 0 0 0 - - 0 - Sodium Hydroxide (NaOH) (conc. 50%) 20 Strong Bases 6200 Potassium Hydroxide (KOH) (conc. 60%) 60 + 0 + + 0 + + + + + 0 + 0 + + - 0 + + + - + + + + - + + + + + - + + + + - + + + + + - Potassium permanganate (KMnO4) (conc. 20 + + + + + + + + + + 0 Oxidizing 6%) 60 + + + + + + + + + 0 0 Agents Hydrogen peroxide (conc. 20%) 20 + + + + + + + + 0 + 0 60 + + + + 0 + + + 0 - Halogen Compounds Sodium fluoride (conc. 4%) Sodium chlorite (conc. 5%) 20 + + + + + + + + + + + 60 + + + + + 0 + + + + 0 20 + + + + + 0 + + + - + 60 + + + + + - 0 + + 0 Bromine (technically pure) 20 + + + + 0 - + - - + - Aromatic Benzene HydrocarbonsToluene 20 + + + + + + + - + 0 - 20 + + + + 0 + + 0 + - - 60 + + + + 0 + + 0 + - Esters Acetic Methyl Ester (conc.100%) 6200 ++ +- ++ ++ -- ++ ++ ++ ++ -- Ketone Dissobutyl Ketone (conc. TR) 20 + + + + + + + + + - - 60 + + + + - + + + + - Aldehydes Propylene Aldehydes/Butenal/Crotonaldehyde 20 + + + + + + + - + - + Aliphatic Methanol (conc. TR) 20 + + + + 0 + + + + + 0 60 + + + + 0 + + + + 0 - alcohols Ethanol (conc. TR) 20 + + + + + + + + + + 60 + + + + 0 + + + + + *Stainless Steel 316Ti Sources:. https://fluids.fr/_iserv/dlfiles/dl.php?ddl=compatibilite-materiaux-flux.pdf,chemline_chemical_resistance_guide_2015.pdf (everythinginsidethefence.com), https://www.theplasticshop.co.uk/plastic_technical_data_sheets/engineering_plastics_chemical_resistance_guide.pdf, https://burkert.poznan.pl/pdf/tochen.pdf PEEK 0 0 0 + + + + + + + + + + + + + + + EPDM 0 0 + 0 + + + + + + + + + + + 0 + + + + 0 + + Legend + Compatible 0 Lciommitpeadtibility - Not compatible Information not provided The challenge of substitution However, these potential alternatives often do not match all the required properties of PFAS substances (2/2) - Focus on Metals & Glass Comparing the properties of metals and glass with fluoropolymers When compared to fluoropolymers, metals and glass offer lower levels of resistance in terms of chemical resistance and formability Potential alternatives to fluoropolymers Metals (eg. Rare Metals, Alloys, SST) Glass Thermal resistance Equivalent or better Equivalent Mechanical resistance Equivalent or better Worse Chemical resistance Worse or equivalent (eg. Ta) Worse Formability Worse or equivalent (shape creation) Worse Metals and glass rated against corrosion resistance and thermal conductivity* high Thermal conductivity Stainless steel low low Source: *SGL carbon, Desktop research, Accenture analysis Ni alloys , Ti , Zr Glass Corrosion resistance Ta Graphite SiC PTFE high Graphite, SiC (Silicium Carbide) and Tantalum can offer alternatives to PTFE in terms of chemical resistance The brittleness of SiC makes it not ideal for equipment as reactors, agitators or columns The challenge of substitution Participants reported additional challenges when looking into alternatives Safety of future installations Alternatives development Due to their limited use, it is essential to first test the long-term performance of existing alternatives. Some recognized areas of reduced performances include reduced sealing performance, resulting in increased fugitive emissions International design standards for PFAS based equipment are well established in the industry, and standards need to be adapted/developed for alternatives Process potentially lasting several years, requiring: - R&D - Testing - Approval from certifying bodies and clients Alternatives should be sustainable by design and fit for a circular economy which requires time and effort A long guarantee of new products is required by clients (typically spanning around 10 years) Sources: Interviews of chemical companies and suppliers, Accenture analysis Production asset and supply chain adaptation De-bottlenecking production assets: - New sites are to be built from scratch for some materials and equipment (e.g., high nickel alloy or ceramic piping used in niche applications) - Important brownfield modifications on existing installations (e.g., gaskets) Challenges encountered in sourcing potential alternative materials (e.g., Tantalum) Properties of alternative materials To achieve the desired equipment properties, the alternative materials to PFAS will also exhibit persistence, potentially introducing comparable challenges linked to the enduring nature of PFAS PFAS presence in alternative materials, equipment PFAS potentially used to improve performance of alternatives: - Some alternatives are coated with a thin layer of PFAS - PFAS surfactants are used in the production of nonPFAS polymers, identified as theoretical substitutes to PFAS polymers Innovation seems to move away from PFAS Analysis of chemical industry patents filing around PFAS shows that, between 2018-2021, filing has been declining, especially in Europe 20 000 10 000 CAGR +11.6% PFAS USE CAGR-0.4% 3 000 2 000 1 000 0 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Priority filing year Priority_Country Top5 China South Korea Japan United States Other countries Europe -1.7% -10.8% -3.0% -13.8% -11.0% -18.4% -25.6% -12.9% 5.0% 8.4% 4.1% 22.5% -40% -30% -20% -10% 0% 10% 20% 30% CAGR 5y 16-21 Priority Number and CAGR 2y 19-21 Priority Number Abstract USE Global priority filings CAGR 5y 16-21 Priority Number CAGR 2y 19-21 Priority Number Biggest Decline Annual priority filings per priority country, 166K priority filings Number of priority filings - excl non relevant segments CAGR of PFAS use in the past 5y (priority filings) Source: Accenture Research based on Derwent InnovationTM(Clarivat) e,2023; Analysis based on set 166K patents relevant to chemical equipment filed between 2010 and 2021 Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix Current state of equipment waste management Focus on PFAS disposal phase. Typically, these components have been used in captive systems for a long duration PFAS disposal phase Some companies reported specific management plans related to PFAS, including: Periodic recycling and organized recovery of certain gaseous PFAS, with disposal methods such as gas capture with specific treatment Incineration or recycling of lubricants and greases, with storage in special drums Incineration and recycling of solid PFAS, next to some remaining landfilling of non-hazardous waste, mostly following disposal methods like ordinary industrial waste (OIW) disposal Several companies declared that they were working on additional PFAS-specific waste management plans Sources: World Health Organization, Interviews of chemical companies and suppliers, Desktop research, Accenture analysis Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix Impact on companies` results and operations The chemical industry is highly CAPEX intensive and operates on long life cycles and at high HSSE standards Priorities for chemical plant design (based on companies' inventory study) Chemical industry asset intensity Safety management High pressures High temperatures Potential hazardous materials CAPEX 5 to 10% of the revenue Durability management Resistance to corrosion Mechanical stress and fatigue Return on Capital Employed Process optimization Maintenance requirements Maximize production efficiency Minimize energy consumption Asset Replacement Value / Revenue Varying from 50% revenue for formulation business to 180% for high pressure and high intensity businesses EBITDA Varying from 15% to 30% Sources: Interviews of chemical companies and suppliers, Accenture analysis Impact on companies' operations The impact of a potential PFAS ban will depend on the extent and duration of potential derogations - a long lead time is needed to adapt Closure No alternative for core equipment Business case Mothballing R&D to identify alternative technologies (10 yrs. +) Plant transformation Existing Plants Identified alternatives Closure Business case (ROCE) Engineering (6 months - 1 yr.) Plant temporary Closure Plant transformation (6 months - 2 yrs.) Procurement of alternative materials and ramp up of new supply chains (1 - 10 yrs. depending on equipment) Client qualifications (where relevant) New Investments No alternative for core equipment Identified alternatives Investment in alternative locations Business case, feasibility Investment in alternative locations Engineering Procurement Construction A potential ban will halt the production of strategic materials in Europe Sources: Interviews of chemical companies, Accenture analysis Impact on companies' operations The impact of a PFAS ban on the chemical industry would be profound both for existing plants and for new investments* Existing plants (when alternative exists) New investments Increased maintenance expenditure: x [2-3] vs baseline Potential temporary shutdown of a plant to adapt installation with PFAS free alternatives when available: 6 months to 2 years CAPEX requirements to modify plants: 20 to 50% of plants to be rebuilt Client requalification of processes (lost revenue): 6 months to 2 years Higher CAPEX than existing plants: + [15-60]% increase Higher running cost: increased maintenance cost x [2-3] Impact on plant availability** Decision: Transformation of plants or shutdown Timing: Depending on potential derogations and timelines Decision: Go/No go for new plants in Europe Timing: Immediate *The estimation is based on workshops with 10 European companies representing chlorine chemistry, petrochemical/refinery & specialized chemistry segments **Ratio between actual running time of a plant and planned operating time Sources: Accenture analysis Table of Contents 01 Executive summary 02 Background, scope and methodology 03 PFAS: what it is and where it is used 04 PFAS alternatives & challenges 05 PFAS management 06 PFAS ban impact 07 Appendix List of sources of illustrations of chemical plant equipment Process Unit's Equipment Agitator: https://www.flexachem.com/mixing-technology/agitator/ Fans: https://us.firenews.video/culture-and-trends/axial-fans-application-features-and-characteristics/ Conveyor: https://www.albg.eu/en/know-how/conveyor-belt-systems.html Crushers: https://www.beidoou.com/mining/5-types-crushing-equipments-for-sand-and-aggregate-production-line.html Pump: https://fasenergo.com/catalogue/pump-and-compressor-equipment/_systems/modular-process-system-of-the-pump-counting-unit Instruments: https://www.dolangskills.com/product/dlgk-373-process-control-training-system DistillationTower: https://dacworldwide.com/product/distillation-column-model-training/ Dryers: https://www.indiamart.com/proddetail/air-dryers-21698567330.html Evaporators: https://www.indiamart.com/proddetail/chemical-evaporator-machine-2225079288.html Fired Heaters: https://heatmatrixgroup.com/company/customer-reference/refinery-cdu-fired-heater/ Steam injector: https://www.spiraxsarco.com/global/en-GB/products/boiler-controls-and-systems/steam-injectors Heat Exchanger: http://www.cheresources.com/content/articles/heat-transfer/u-in-heat-exchangers Mechanical Separtors: https://www.alfalaval.com/products/separation/centrifugal-separators/separators/separators-for-chemical-andmanufacturing-industries/separators-for-chemical-and-manufacturing-industries/chemical-and-green-chemicals/ Couplings (Motors): https://www.zeushydratech.com/product/dc-nd108b-omt-drive-coupling-motor-half-11kw-42mm-12mm-key/ Chemical reactor : http://www.geodrytech.com/chemical-reactor.html Refrigeration System : https://www.coolingpost.com/features/ammonia-refrigeration-hunts-down-r22/ https://bolz-edel.com/en/chemical-vessel/ Grinders: https://www.mill.com.tw/en/category/Food-Industrial-Chemical-Mills-Grinders-Pulverizers/mills-grinders-pulverizers.html Membranes: https://denora.com/applications/chlor-alkali-processes/Membrane-Technologies.html Gaskets & Sealings: https://denora.com/applications/chlor-alkali-processes/Membrane-Technologies.html Valves: https://www.fergusonindustrial.com/product/metal-seated-ball-valves/ Piping: Tube en PP pour l'industrie M104613 - Debrunner Acifer (d-a.ch) Safety and Protection PPE: https://www.absorbentsonline.com/spill-containment-blog/comparingthe-different-levels-of-protection-for-personal-protective-equipment-ppe/ Firefighting Foam: https://www.chemistryworld.com/news/what-to-do-withvast-stockpiles-of-pfas-laden-firefighting-foam/4016364.article Power and Utilities Power Supply: https://shop.omegascientific.com.au/index.php?route=product/product&prod uct_id=1722 Other Products Grease: https://lubricant-world.com/en/chemical-structure-of-greases-in-anutshell/ Lubricants: https://www.bruker.com/fr/applications/industrial/chemistry/lubricants.html Catalysts: https://medium.com/solvaygroup/catalysts-what-they-are-howthey-work-and-why-we-use-them-e4ca13295bc2 Refrigerant: https://www.britannica.com/science/Freon List of Abbreviations & Acronyms (1/3) ACM AEM AFFF AI ASTM CAGR CAPEX CEFIC CO2 CPE CR CSM EBITDA Polyacrylate Rubber Acrylic Elastomer ECO ECTFE Aqueous Film-Forming Foam EPDM Artificial Intelligence ETFE American Society for Testing and Materials FEP Compound Annual Growth Rate FFKM Capital expenditure FK-5-1-12 European Chemical Industry Council FKM Carbone Dioxide FM200 Chlorinated Polyethylene FTI Polychloroprene Rubber FTO Chlorosulfonated Polyethylene Earnings before interest, taxes, depreciation, and amortization FVQM HCFC Epichlorohydrin Rubber Etylene Chlorotrifluorethylene Ethylene Propylene Diene Monomer Etylene Tetrafluroroetylene Fluorinated Ethylene Propylene Perfluoroelastomer Fire Supressant Fluid Fluoroelastomer HFC-227 ea Fluorotelomer-based technology Fluorine-doped Tin Oxide Fluorosilicone Rubber Hydrochlorofluorocarbons Hydrofluorocarbons HCFC-123 HFC 2,2-Dichloro-1,1,1-trifluoroethane Hydrofluorocarbons HFC-134a 1,1,1,2-Tetrafluoroethane HFC-143a HFC365mfc HFO HFO- 1233 zd HFO1234yf HFO1336mzz HIW 1,1,1-Trifluoroethane 1,1,1,3,3-Pentafluorobutane Hydrofluorolefins 1-Chloro-3,3,3-trifluoropropene 2,3,3,3-Tetrafluoropropene Cis-1,1,1,4,4,4-hexafluoro-2-butene, cisCF3CH=CHCF3 Hazardous Industrial Waste HNBR Hydrogenated Nitrile Butadiene Rubber HSE Health, Safety and Environment HSSE Health, Safety, Security and Environment List of Abbreviations & Acronyms (2/3) IIR IoT MSDS NBR Ni NR OECD OIW PCTFE PEEK PEI PFA PFAE Isobutylene Isoprene Rubber Internet of things Material Safety Data Sheet Nitrile Butadiene Rubber Nickel Natural Rubber Organization for Economic Cooperation and Development Ordinary Industrial Waste Polychlorotrifluoroethylene Polyether Ether Ketone Polyetherimide Perfluoroalkyl Perfluoroalkyl Ether PFAS PFBA PFBS PFC PFCA PFNA PFOA PFOS PFPAE PFPE PFSA pH PP Per and polyfluoroakyl substances Perfluorobutanoic Acid Perfluorobutanesulfonic Acid Perfluorinated Compound Perfluorocarboxylic Acid Perfluorononanoic Acid Perfluorooctanoic Acid Perfluorooctanesulfonic Acid Perfluoropolyakylether Perfluoropolyether Perfluorosulfonic Acid Potential of hydrogen Polypropylene PPE PPS PPV PSU PTFE PVC PVDF R&D R-401A R-404A R-407 R-410A R-417A Personal Protective Equipment Polyphenylene Sulfide Poly(p-phenylene vinylene) Polysulfone Polytetrafluoroethylene Polyvinyl Chloride Polyvinylidene Fluoride Research and development Blend of HCFC-22, HFC-125, and HCFC124 Blend of HFC-125, HFC-143a, and HFC134a Blends of HFC-32, HFC-125, and HFC-134a Blend of HFC-32, and HFC-125 Blend of HFC-125, and HFC-134a List of Abbreviations & Acronyms (3/3) R-422D R-427A R-448A R-449A R-452A R-507 R-513A R-gas ROCE SBR SFA Blend of HFC-125, HFC-134a, and isobutane Blend of HFC-32, HFC-125, HFC-134a and HFC-143a Blend of HFC-32, HFC-125, HFC-134a, HFO-1234yf, and HFO-1234 Blend of HFC-32, HFC-125, HFC-134a, and HFO-1234yf Blend of HFC-32, and HFC-125, and HFO1234yf Blend of HFC-125 and HFC-143a SFPM SiC SST SVR Ta Ti Blend of HFO-1234yf and HFC-134a UL Refrigerant gas UV Return on Capital employed VDF Styrene Butadiene Rubber VQM Semi-Fluorinated Alkane Zr Synthetic Film-forming Multi-purpose Multifoaming Silicon carbide Stainless Steel Stratified glass resin Tantalum Titanium Underwriters Laboratories UltraViolet Vinylidene Fluoride Vinyl Methyl Silicone Zirconium