United States Environmental Protection Agency Office of the Administrator [Mail Code 1 8O2] EPA 1OO-F-98-O19 September 1998 (http://www. epa.gov) •EPA Project XL: Intel Corporation WHAT IS PROJECT XL? Project XL, which stands for "excellence and Leadership," is a national initiative that tests innovative ways of achieving better and more cost-effective public health and environmental protection. The information and lessons learned from Project XL will be used to assist EPA in redesigning its current regulatory and policy-setting approaches. Project XL encourages testing of cleaner, cheaper, and smarter ways to attain environmental results superior to those achieved under current regulations and policies, in conjunction with greater accountability to stakeholders. Project XL has committed to a goal of 50 pilot projects. Because of it's limited scope, it is vital that each project tests new ideas with the potential for wide application and broad environmental benefits. As of August 1998, 9 pilot experiments are being implemented and twenty additional projects are currently being developed. SUMMARY OF THE INTEL PROJECT Intel's Fab 12 facility, which manufactures semiconductors (computer chips) in Chandler, Arizona, is implementing an Environmental Management Master Plan that includes a facility- wide cap on air emissions to replace individual permit limits for different air emissions sources. Since Intel's products often have a very short life span, any production delays caused by the need for separate permit reviews, can be critical and costly to the company. The Final Project Agreement was signed onNovember 19, 1996. In this agreement, Intel committed to: • Maintaining air emissions for oxides of nitrogen, sulfur dioxide, carbon monoxide, particulate matter, and volatile organic compounds at a level that ensures the current facility, and any other manufacturing facility built at the site, is a "minor" air emissions source, as defined by the Clean Air Act • Using State health-based guidelines to establish enforceable emissions caps for emissions that affect the community adjacent to the facility; in addition, these health-based standards will be used voluntarily to set emissions levels to increase protection for those working in the facility • Reducing water consumption and the generation of solid, non-hazardous chemical, and hazardous waste • Establishing property line setbacks twenty times greater than required by local zoning authorities • Reducing vehicle miles traveled by employees • Participating in equipment donation and training programs Intel is one of the first companies in the country to agree to make all its environmental data publicly available on the Internet as part of a standard reporting mechanism at www.intel.com SUPERIOR ENVIRONMENTAL PERFORMANCE Implementation of Intel's project in Chandler will protect the environment by: • Reducing up to 65 percent of the solid waste and up to 70 percent of the non-hazardous chemical wastes the facility generates by the year 2000 • Recycling up to 65 percent of the fresh city water used at the facility Recycling up to 100 percent of the wastewater used at the facility Balancing limits on hazardous air pollutant emissions with health-based guidelines Page 1 ------- FLEXIBILITY Regulatory flexibility allows Intel to make operational changes without permit review, as long as permit limits are met. The project includes multi-media performance-based permits that specify performance levels for each regulated pollutant to be used at the new facility. This flexibility allows Intel to bring products on line faster, a critical aspect in this "quick-to-market" industry. Results from the first year show that Intel avoided millions of dollars worth of production delays by eliminating 30-50 permit reviews a year. RESULTS ACHIEVED TO DATE Results reported in May 1998 • Reducing up to 63 percent of the solid waste and 48 percent of the non-hazardous chemical wastes • Recycling up to 65 percent of the fresh city water used at the facility • Recycling up to 99 percent of the wastewater used at the facility STAKEHOLDER INVOLVEMENT Intel is working to ensure that stakeholders are involved in the environmental design and impact assessment of its proposal, are kept informed, and have an opportunity to fully participate in project development. Efforts so far have included: • Establishment of a Stakeholder Team to ensure the involvement of national, regional, and local non-governmental organizations as full partners in the project's implementation; this team has met once a quarter to review the project's progress reports. • A massive outreach effort to local citizens (including 25,000 hand-delivered notices) • Annual meeting held with the Stakeholder Team and open to the general public in April 1998; semi-annual meeting planned in October 1998 • The use of Intel and EPA websites to increase the transparency of project development and implementation APPROACHES TO BE TESTED The efficiency of performance-based caps in lieu of pre-construction review The effectiveness of community involvement in decision making as an incentive for improving environmental performance The role of innovative technology (e.g., remote sensing and environmental monitoring) as an incentive for improving environmental performance The value of incorporating non-regulated items into the regulatory permit process CONTACTS FOR ELECTRONIC INFORMATION Regional: Collen McKaughan, Region 9 EPA HQ: Katherine Dawes County: Jo Crumbaker State: Karen Heidel Company: Jim Larsen 520-498-0118 202-260-8394 602-506-6705 602-207-2204 602-715-0206 More information about Project XL is available on the Internet at http://www.epa.gov/ProjectXL, via Project XL's fax-on-demand line at 202-260-8590, or via Project XL's Information Line at 703-934-3239. 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