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What Is an Energy Audit–And Why You Should Do One
Want to reach your sustainability goals, improve your energy efficiency, and save money? An energy audit can help you better understand your energy usage and issues—and identify opportunities to create energy efficiencies, reduce your carbon footprint, and positively impact your stakeholders.
What Is an Energy Audit?
An energy audit is a key part of energy management. Energy management involves monitoring and controlling energy consumption across an organization to save energy, save money, and protect people and the environment. Energy management should be part of any organization’s overall strategy. An energy audit helps determine energy usage and opportunities for efficiency projects at your facility, building, or process. The overarching goal of an energy audit is ultimately to reduce energy consumption and improve efficiency without impacting work processes or products.
Types of Energy Audits
An energy audit can take a range of forms depending on how detailed and extensive it needs to be:
- Preliminary Analysis: Review bill, conduct energy usage trending.
- Treasure Hunt: Conduct a group exercise walking around identifying obvious wastes.
- General Audit: Analyze specific systems, conduct detailed inspection.
- Comprehensive Audit: In addition to the areas covered above, may include longer term monitoring and mechanical/electrical/civil engineering reviews.
- Ongoing Audit: Long-term monitoring of efficiency systems, scheduling retro-commissioning.

General Energy Audit Process
In general, the energy audit process comprises several steps and activities that culminate in final recommendations to improve energy performance and efficiency.
The pre-audit is a desktop review that helps to identify energy consumption patterns, including the energy “hogs” and peak usage trends (i.e., the hours of the day during which demand for electricity is the highest). It consists of the following activities:
- Review utility bill for demand charges, power usage, load factor.
- Demand charges are fees applied based on the highest amount of power drawn during any interval during the billing period. Demand charges can comprise a significant proportion of commercial customers’ bills.
- Load factor is a measure of the utilization rate or efficiency of electrical energy usage. It is an indicator of how efficiently energy is being utilized.
- Review equipment repair and occupant complaint logs.
- Review past audit results.
- Discuss with management internal goals, financial criteria, upgrades, and future plans.
The site visit allows the auditor to observe facility operations and assess how systems are operating in practice. It comprises activities such as the following:
- Conducting interviews with operators, key decision-makers, and other plant staff.
- Collecting data, including facility data, nameplate data, forms, and logs.
- Performing a site walkthrough/tour to review:
- Site development.
- Building envelope.
- BTUs of boiler/HVAC, compressors, refrigeration, large equipment, etc.
- Building exterior (e.g., roof plan, outdoor lighting, exterior equipment).
- Taking measurements (i.e., combustion, lighting, temperature, ultrasonic).
After collecting the pre-audit documentation and site visit observations, the auditor is able to then perform a detailed analysis of energy performance. This analysis involves calculating the following:
- Energy usage, including baseload and peak energy, adjusted for weather, occupancy, and production.
- Energy costs, including accurate application of rates, time of use applications, seasonal applications, utility bill ratchet.
- Energy efficiency measures (EEMs), including material and installation, disposal, engineering design, permits and fees, and rebates and incentives.
The final report provides an action plan highlighting short-term (i.e., low-hanging fruit) opportunities, long-term budgeted improvements, and company goals. It should also reference site management, potential future problems, and testing programs that can all impact energy programs and operations.

Impacting People, Planet, and Profit
Energy audits directly impact the three Ps of the triple bottom line:
People. The United Nations has identified climate change as the number one threat to human societies. Brown energy releases can substantially impact air quality and have significant negative impacts on human health. Creating energy efficiencies and reducing the use of non-renewable energy is key to mitigating this threat. Beyond the human health threat, improved EEMs can improve employee satisfaction and, subsequently, create a corporate culture shift that embraces sustainability. For example, optimized lighting, ventilation controls, and incentives for driving electric vehicles may lead to healthier and happier employees and improved retention.
Planet. In its simplest terms, reducing energy usage helps reduce carbon footprint and mitigate the impacts of global warming. For example:
- Fossil fuels are a finite resource. Reliance on them leads to the destruction of protected ecosystems and habitat. Lower energy demand decreases the need for power generation and the use of fossil fuels.
- Energy audits identify ways to reduce energy use. This, in turn, reduces air emissions and global pollution levels. The equation is simple: the less energy you use, the fewer carbon emissions you produce.
- Beyond energy efficiencies, energy audits also identify waste. Eliminating these waste streams prevents unnecessary landfill use and contributes to environmental sustainability.
Profit. The Carbon Trust estimates that most businesses can cut their energy costs by at least 10% (often by 20%) with simple actions that offer a quick return on investment. Operating more efficiently reduces energy consumption, which equates to significant savings on utility bills. This is particularly important as energy costs reach all-time highs. In addition, organizations that consume significant amounts of energy are at greater risk of being impacted by energy price increases or supply shortages. When an organization can reduce its demand for energy, it also reduces the risks associated with an energy shortage. Having greater control over energy consumption creates resiliency against energy price fluctuations.
Return on Investment
Once you have a comprehensive understanding of how energy is being consumed, it becomes possible to identify inefficiencies and opportunities for improvement, whether related to behavior (e.g., asking employees to turn off lights every night), technology (e.g., implementing integrated building management systems), or process (e.g., increasing operations during off-peak hours).
Energy audits may identify the following opportunities to reduce costs:
- Reducing operational inefficiencies, including continual running of motors, unoccupied spaces (light sensors), compressed air leaks, and others.
- Implementing EEMs, such as monitoring systems for malfunctions, insulating hot/cold water piping, implementing efficient lighting, and ensuring heat recovery.
- Optimizing building systems, including ventilation systems, lighting control systems, insulation, efficient windows, green roofs, etc.
- Identifying financial incentives, rebates, and demand response programs.
Energy Audit Best Practices
To get the most out of an energy audit, it takes time, data, budget, and buy-in. The following can help ensure your audit is successful and provides return on investment:
- Start small, plan ahead. Select the right type of audit based on the resources (i.e., time, financial, personnel) you have available. You can scale up your efforts over time.
- Set clear objectives. Identify what your organization wants to get out of the audit. Consider the 3 Ps—people, planet, and profit—and be open-minded. It may be about energy savings and cost reduction, but it also may be about meeting sustainability goals, creating a culture change, or retaining and attracting employees.
- Gather data. Review utility bills. Trend energy consumption. Assess building specifications.
- Enlist audit expertise. Engage the right auditors with the right qualifications. A Certified Energy Manager (CEM) and someone with an engineering background can add a depth of expertise to help identify concerns and opportunities beyond the “low-hanging fruit”.
- Conduct routine inspections and assessments. Update your maintenance program to include steam trap surveys, compressed air leak inspections, duct cleaning, and other routine inspections. These routine inspections allow for early detection of costly issues, and predictive maintenance can help reduce downtime and expand equipment life.
- Conduct routine measurement and verification. Just because you have implemented a system, process, or equipment does not mean that it is functioning as intended. Assess your EEMs regularly to ensure they are achieving the desired results.
- Engage your stakeholders. Include management staff, employees, and other decision-makers in your efforts. Engaging these stakeholders in creating solutions can help create buy-in and a culture change that makes energy efficiency and sustainability a way of doing business.

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EHS: 2024 Trends on Tap
According to a December 2023 press release, the Environmental Protection Agency (EPA) moved further and faster than ever before to deliver on its mission and protect human health and the environment in 2023. These actions—in addition to other trends in business efficiency, employee safety, and sustainability—have given rise to several new (and some ongoing) challenges and opportunities in environment, health, and safety (EHS). As a new year begins, it is important that companies understand their obligations, assess potential impacts, and prioritize efforts to ensure ongoing compliance and business performance.
Here are some of the top EHS trends KTL is keeping watch on in 2024—and some guidance to help you as you set your EHS strategy for the new year.
New OSHA Reporting Requirements
The Occupational Safety and Health Administration (OSHA) is focused on increasing transparency regarding workplace injuries with its new reporting requirements, which are effective as of January 1, 2024. The Administration is requiring organizations with more than 100 employees in certain high-risk industries to electronically submit information from OSHA Forms 300 and 301 to OSHA annually. In addition, certain high-hazard industries are now required to submit case-specific information. The data is intended to allow employers, employees, customers, the public, and other stakeholders to make more informed decisions about workplace health and safety. The deadline to submit information via the Injury Tracking Application is March 2, 2024.
Guidance: Maintaining robust occupational health and safety and incident records becomes even more important with these enhanced reporting requirements. Information technology (IT) tools, such as KTL’s OSHA 300 PowerApp with its comprehensive intake form tailored to OSHA 300 and OSHA 300A requirements, make it easier to collect, search, and analyze data—and maintain OSHA compliance. Using a digital format helps ensure no crucial data points are missed and makes it easy to filter, search, and analyze records and data to offer deeper insights into safety performance.
Climate Change and Environmental, Social, and Governance (ESG) Standards
In March 2022, the U.S. Securities and Exchange Commission (SEC) issued a proposed ESG Disclosures Rule that would require companies to 1) disclose how they are dealing with oversight and governance of climate-related risks; 2) identify any material climate-related risks and articulate their impacts on financial performance; and 3) provide comprehensive reporting of Scope 1, 2, and 3 greenhouse gas (GHG) emissions.
Leading the way, California passed its Climate Corporate Data Accountability Act (SB 253) and Climate-Related Financial Risk Act (SB 261) in 2023 to address the physical, human, and financial risks associated with climate change by requiring companies publicly disclose GHG emissions and climate change threats. Thousands of organizations that do business in California will now have to provide carbon emissions data by 2026—and companies across the country need to be prepared to follow suit.
Guidance: If it isn’t happening already, facilities need to start gathering emissions data, develop and implement a system to track GHG emissions, and create an action plan for climate disclosure. Accurate carbon accounting and energy management will allow companies to gain a deeper understanding of their emissions profiles and implement changes to improve energy efficiency and sustainability. If managed appropriately, these new disclosure requirements can provide a significant opportunity for companies to demonstrate a commitment to corporate social responsibility and improve brand reputation.
EPA Regulatory Enforcement
According to EPA, enforcement has been revitalized. We saw this trend pick up in 2023 with significant investments being made to enforce compliance with the nation’s environmental laws, including $213 million for civil enforcement efforts, $148 million for compliance monitoring efforts, and $69 million for criminal enforcement efforts. The past year has brought increases in onsite inspections, new criminal investigations, civil settlements, and cleanup enforcement. In 2024, EPA intends to continue its enforcement path, holding environmental violators and responsible parties accountable.
Guidance: Facility audits and assessments offer a systematic, objective tool to assess compliance across the workplace and to identify any opportunities for improvement before they become findings in an EPA inspection. These audits can also present an opportunity for organizational learning and development, particularly related to non-conformances. Conduct a gap assessment to evaluate whether processes and systems are functioning as intended, and then implement corrective and preventive actions to ensure compliance, particularly at the time of inspection. Look at the big picture and consider changes in production and business operations that may also change compliance requirements.
Per- and Polyfluoroalkyl Substances (PFAS)
EPA continues to make significant contributions in research and regulations, according to the PFAS Strategic Roadmap, to confront the human health and environmental risks of PFAS. In October 2023, the Agency finalized two new rules to improve reporting on PFAS. This January, EPA finalized a rule to prevent inactive PFAS from reentering commerce and added seven additional PFAS to Toxics Release Inventory (TRI) reporting. The Food and Drug Administration (FDA) is further working to understand and limit PFAS in food and food packaging.
Guidance: It is important for facilities to have a good understanding of PFAS and PFAS-containing chemicals used onsite, as reporting requirements now apply regardless of the quantity used. Implementing a chemical inventory management system that documents and manages PFAS data can make reporting more efficient and help ensure the facility meets these new requirements. Proper usage strategies, a comprehensive environmental management system (EMS), and a forward-thinking Emergency Response Plan will also remain vital tools for companies potentially dealing with PFAS to effectively manage the associated risks.
Environmental Justice (EJ)
The focus on EJ remains a top priority for the Biden Administration. In November 2023, EPA announced the largest single investment in EJ history, funded by President Biden’s Inflation Reduction Act. The Community Change Grants build on Biden’s Justice40 Initiative and will provide approximately $2 billion in funding for community-driven projects that deploy clean energy, strengthen climate resilience, and build capacity to manage environmental and climate justice challenges. EPA also launched the EJ Thriving Communities Grantmaking Program to expand its technical assistance and project grants for communities, as well as the EJScreen screening and mapping tool, which provides EPA with a consistent approach for combining environmental and demographic socioeconomic indicators.
Guidance: Take the time to understand the communities where you operate—be informed, be prepared, and be proactive. Establish organization priorities and goals and commit the appropriate resources to address EJ concerns. With EPA focused on more regulations, more enforcement, and improved climate change and EJ, environmental management needs to play an integral role in company strategy.
Chemical Safety
EPA is working to strengthen chemical safety with the long-awaited implementation of the 2016 amendments to the Toxic Substances Control Act (TSCA). In addition, the Agency has advanced rules to better protect communities from harmful chemicals like TCE and methylene chloride. These rulemakings align with Goal 7 of the FY 2022-2026 EPA Strategic Plan to ensure the safety of chemicals for people and the environment.
Guidance: Facilities need to have a good understanding of chemicals used onsite so they can take action now to phase out any regulated chemicals (e.g., TCE), as the phaseout period will be quick. Take an inventory of onsite chemicals to determine what chemicals the facility manufactures, distributes, and/or uses. For many chemicals, safer alternatives may be available to eliminate the use of banned chemicals. Be aware of compliance deadlines as you make the transition.
Other Issues to Watch
The following OSHA issues also ones to watch in 2024:
- OSHA Hazard Communications Standard (HCS): In 2021, OSHA proposed to modify the HCS to maintain conformity with the United Nations Globally Harmonized System (GHS) revision 7, align certain provisions with Canadian and other U.S. agencies, and address issues with the 2012 HCS. The proposed updates are intended to increase worker protections and reduce the incidence of chemical-related occupational illnesses and injuries by improving the information on labels and safety data sheets (SDS) for hazardous chemicals. The Agency expects to release finalized changes to the HCS in early 2024.
- OSHA Emergency Response Standard: OSHA has released an unofficial version of its new Emergency Response Proposed Rule and anticipates publication in the Federal Register in January 2024. The proposed rule would replace OSHA’s existing Fire Brigades Standard (29 CFR 1910.156), which covers only a subset of emergency responders. The proposed Rule provides basic workplace protection for workers who respond to emergencies as part of their regularly assigned duties (e.g., fire departments, emergency medical service, and technical search and rescue).
- OSHA National Emphasis Program (NEP) on Warehousing and Distribution Center Operations: Effective July 13, 2023, OSHA announced an NEP for inspections at warehousing and distribution centers, mail/postal processing and distribution centers, and other high-risk retail establishments. The comprehensive safety inspections will focus on workplace hazards common to those industries, including powered industrial vehicle operations, material handling/storage, walking-working surfaces, means of egress, and fire protection.
Set Your Goals for 2024
There is a common need across industry to manage emerging EHS risks with solutions that also provide transparency, security, and sustainability. Heightened EPA enforcement, new OSHA reporting requirements, and pending SEC requirements for ESG are necessitating solutions to help manage business and EHS requirements—and that will continue in 2024.
KTL suggests completing the following early in 2024:
- Get senior leadership commitment. Even with the best EHS personnel, the organization and its EHS system will only be as good as the top leadership and what is important to them.
- Conduct a comprehensive gap assessment to ensure you are meeting the requirements of all applicable EHS regulations, particularly given new environmental, health and safety, and ESG requirements. Think critically about what you have and how overlapping requirements may apply (e.g., your chemical inventory may uncover requirements for air permitting, waste management, Tier II report, etc.). This assessment should be the starting place for understanding your regulatory obligations and current compliance status.
- Seek third-party oversight. Having external experts periodically look inside your company provides an objective view of operations, helps you to prepare for audits, and allows you to implement corrective/preventive actions that ensure compliance. An outside expert can often provide the “big picture” view of what you have vs. what you need; how your plans, programs, and requirements intersect; and how you can best comply.
- Create an integrated management system (e.g., ISO 9001/14001/45001) by finding commonalities between the standards and leveraging pieces of each to develop a reliable system that works for your organization.
- Leverage IT solutions—whether to inventory chemicals and GHG emissions, track OSHA performance, or manage compliance requirements. Technology advancements can help create significant business efficiencies.

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EPA Regulatory Alert: Enhanced PFAS Reporting
Per- and polyfluoroalkyl substances (PFAS) are a group of manmade chemicals that have been manufactured and used in a variety of industries since the 1940s. PFAS are often referred to as “forever chemicals”. They are very persistent in the environment and the human body, where they bioaccumulate in blood and organs over time. Most PFAS exposure comes through ingesting food and water that becomes contaminated with PFAS when it migrates into soil, water, and air during use and/or disposal. Studies show that exposure to PFAS may be linked to harmful health effects in humans and animals.
The Environmental Protection Agency (EPA) has taken a number of actions to tackle PFAS contamination, including the development of a PFAS Strategic Roadmap to confront the human health and environmental risks of PFAS. In October 2023, the Agency finalized two new rules to improve reporting on PFAS.
TRI Reporting Requirements
The Toxic Release Inventory (TRI) tracks the management of certain toxic chemicals that may pose a threat to human health and the environment. U.S. facilities in different industry sectors must report annually how much of each chemical is released to the environment and/or managed through recycling, energy recovery, and treatment.
EPA’s new rule designates PFAS as chemicals of special concern for TRI reporting purposes and, correspondingly, eliminates the exemption that allowed facilities to avoid reporting information on PFAS when those chemicals were in small concentrations (i.e., under 100 pounds). However, PFAS are often used at low concentrations in many products. By removing this exemption, covered industry sectors and federal facilities that use any of the 189 TRI-listed PFAS will have to disclose any quantity of PFAS they manage or release into the environment.
By eliminating the de minimus exemption, EPA will receive more comprehensive data on PFAS, including quantities of chemicals released into the environment or managed as waste, to support more informed decision-making.
TSCA Reporting and Recordkeeping Requirements
EPA also published a final rule under the Toxic Substances Control Act (TSCA) that will require any entity that has manufactured or imported PFAS in any year since 2011 to report information on its uses, production volumes, disposal, exposures, and hazards.
Specifically, these facilities will have 18 months following the effective date of the rule to report the following data to EPA for each PFAS chemical substance or mixture:
- Covered common/trade name, chemical identity, and molecular structure.
- Category(ies) of use.
- Total amount manufactured or processed, amounts for each category of use, and estimates of the respective proposed amounts.
- Descriptions of byproducts resulting from manufacture, processing, use, or disposal.
- Information regarding environmental and health effects.
- Number of individuals exposed and reasonable estimates of the number of individuals who will be exposed in their workplace and the duration of exposure.
- Manner or method of disposal.
This rule is intended to help EPA better characterize the sources and quantities of manufactured PFAS in the U.S. by creating the largest-ever dataset of PFAS manufactured and used in the U.S.
How This Impacts You/What You Need to Do
Federal and state initiatives and regulations to manage PFAS are rapidly growing. KTL does not see the challenges associated with PFAS going away any time soon. If anything, we anticipate more facilities will be directly impacted by mitigation efforts and regulatory action to support EPA’s PFAS Strategic Roadmap, such as those outlined above.
It is important for facilities to have a good understanding of PFAS and PFAS-containing chemicals used onsite, as reporting requirements now apply regardless of the quantity used. Implementing a chemical inventory management system that documents and manages PFAS data can make reporting more efficient and help ensure the facility meets these new requirements. Proper usage strategies, a comprehensive environmental management system (EMS), and a forward-thinking Emergency Response Plan will also remain vital tools for companies potentially dealing with PFAS to effectively manage the associated risks.

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EPA Regulatory Alert: Ban on TCE
Trichloroethylene (TCE) is an extremely toxic chemical used in cleaning and furniture care products, degreasers, brake cleaners, and tire repair sealants, amongst other uses. TCE is commonly found at Superfund sites as a contaminant in soil and groundwater. It is known to cause liver cancer, kidney cancer, and non-Hodgkin’s lymphoma, as well as damage to the central nervous system, immune system, reproductive organs, and fetal health. Environmental and human health risks are present with even very small concentrations of TCE.
Proposed Rule
On October 23, 2023, EPA issued a proposed rule under the Toxic Substances Control Act (TSCA) to ban the manufacture, processing, distribution, and use of TCE to prevent soil and groundwater contamination and protect the public from the associated health risks. This proposal aligns with President Biden’s Cancer Moonshot approach to end cancer and advances the Administration’s commitment to environmental justice.
EPA’s proposed TCE ban would phase out the manufacturing, processing, distribution, and use of TCE over the course of one year. For uses where a longer transition timeframe is necessary (e.g., critical Federal Agency uses, battery separators, manufacture of certain refrigerants), EPA is proposing stringent worker protections to reduce exposure while phasing out TCE.
How This Impacts You/What You Need to Do
It is important for facilities to have a good understanding of chemicals used onsite and to start taking action now to phase out any TCE, as the one-year phaseout period will be quick. Facilities should:
- Inventory Chemicals: Take an inventory of onsite chemicals to determine whether the facility manufactures, distributes, and/or uses any TCE. Consult safety data sheets (SDS) for ingredients. TCE can be referred to as trichlor, trike, or tri and may be sold under a variety of trade names. TCE is identified by its Chemical Abstract Service (CAS) Number: 79-01-6.
- Identify Alternatives: For most uses of TCE as a solvent, safer alternatives are already available. EPA’s Safer Choice Program provides a list of solvents (including degreasers) identified as “safer” alternatives. The University of Massachusetts Toxics Use Reduction Institute (TURI) also has an extensive database of safer alternatives to TCE (and other toxic solvents and cleaners) used for degreasing purposes.
- Make the Transition: The best way to prevent TCE from entering the environment is to eliminate its use in facility operations (i.e., source reduction). Follow EPA’s Pollution Prevention (P2) approach to implement cleaning and degreasing modifications, such as switching to aqueous and less toxic cleaning solvents, adopting other mechanical cleaning techniques, or substituting equipment.
- Dispose Correctly: TCE waste can be characterized in a few ways depending on what it is and how it is used (or not used). TCE waste should be properly characterized and managed at a permitted disposal facility—most likely an incinerator.

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EPA Regulatory Alert: TSCA Risk Evaluation Process
The Environmental Protection Agency’s (EPA) Toxic Substances Control Act (TSCA) (modified in 2016 by the Frank R. Lautenberg Chemical Safety Act) requires EPA to conduct a risk evaluation to determine whether a chemical substance presents an unreasonable risk to health or the environment under the conditions of use.
On October 19, 2023, EPA proposed a new rule to strengthen its process for conducting these risk evaluations under TSCA. The rule is intended to:
- Ensure EPA’s processes better align with the provisions of the law.
- Support more robust evaluations that account for all risks.
- Provide a foundation for protecting workers and communities from toxic chemicals with more protective rules for workers and communities.
TSCA Background
The TSCA inventory is a list of all existing chemical substances manufactured, processed, or imported in the U.S. The current inventory contains 86,718 chemicals, of which 42,242 are active in U.S. commerce. EPA evaluates existing and new chemicals for the inventory:
- Existing chemicals: EPA prioritizes existing chemicals on the list and selects chemicals to determine if the risk is reasonable or unreasonable. If the risk is unreasonable, EPA will impose restrictions to eliminate the risk. The list of ongoing and completed evaluations is available online.
- New chemicals: Any chemical that is not currently on the inventory is considered a “new chemical substance.” Anyone who plans to manufacture or import a new chemical substance for a non-exempt commercial purpose must provide EPA with a Premanufacture Notice (PMN) at least 90 days before initiating the activity. During the notice review period, EPA will review the PMN and determine if the chemical presents unreasonable risk(s) to human health or the environment.
Proposed Provisions
The new proposed rule aims to strengthen EPA’s process for conducting its TSCA chemical risk evaluations. EPA initially finalized a risk evaluation framework rule in 2017; however, it was quickly challenged in Court. The October 2023 proposed rule addresses the Court’s revisions and adds provisions requiring that risk evaluations:
- Consider the disproportionate harms facing overburdened communities, including multiple exposure pathways to the same chemical and combined risks from multiple chemicals.
- Be comprehensive and not exclude conditions of use or exposure pathways.
- Consider risks to workers.
- Use best available science.
- Provide a single determination of whether the chemical presents unreasonable risk, rather than multiple determinations based on individual chemical uses.
- Ensure transparency through updated risk evaluation documents.
- Better align manufacturer-requested risk evaluations with EPA-initiated risk evaluations.
While many of these changes were announced in 2021 and have been incorporated into TSCA risk evaluations over the past two years, they have not been finalized in the Code of Federal Regulations. Doing so will help ensure more certainty regarding the process for conducting TSCA risk evaluations moving forward.
How This Impacts You/What You Need to Do
This rulemaking aligns with Goal 7 of the FY 2022-2026 EPA Strategic Plan to ensure the safety of chemicals for people and the environment. That Plan focuses on strengthening EPA’s ability to successfully implement TSCA with appropriate resources to complete EPA-initiated chemical risk evaluations and risk management actions.
- If you manufacture or import chemicals, determine if the chemical is on the TSCA inventory.
- If you manufacture or import a chemical that is not on the inventory, complete a PMN at least 90 days before initiating the activity.
EPA will conduct a risk evaluation to determine the risk(s) the chemical poses to human health or the environment. Under the proposed rule, these evaluations will be more robust to account for all risks to better protect workers and communities from toxic chemicals.

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Environmental Non-Conformances: Knowledge Is Power
Audits offer a systematic, objective tool to assess compliance across the workplace and to identify any opportunities for improvement. Audits can also present an opportunity for organizational learning and development, particularly related to non-conformances. In many cases, non-conformances are not a result of intentionally ignoring the requirements; rather, they can often be attributed to not fully understanding compliance requirements.
KTL has identified three areas where our environmental auditors repeatedly identify non-conformances that stem from lack of knowledge or understanding—and what companies need to know to eliminate them.
Waste Handling
Do you know your generator status? If a facility does not accurately determine its generator status, it will likely have waste handling non-conformances during an audit.
Generator status is determined by the volume of hazardous waste the facility generates per month and accumulates onsite. There are three categories of generators:
- Very Small Quantity Generator (VSQG)
- Small Quantity Generator (SQGs)
- Large Quantity Generator (LQG)
Determining which category a facility falls into is key to understanding which requirements apply and, subsequently, maintaining compliance. How much waste does the facility generate? How much waste does the facility accumulate? What types of risks does this waste present? This information will dictate whether the facility is a VSQG, SQG, or LQG.
Hazardous waste generator status should be registered with the Environmental Protection Agency (EPA) and/or state environmental agency. Generator status can be verified in the EPA’s Enforcement and Compliance History Online (ECHO) database. If the information is incorrect, the facility will need to complete Form 8700-12 to ensure generator status is correct, as VSQGs, SQGs, and LQGs have some different requirements due to their potential impacts on the environment. From there, the facility should identify the applicable regulatory requirements and train staff on their responsibilities to avoid non-conformances.
Chemical Spillage
Any facility that generates waste needs to determine what waste is hazardous. In the event of a spill, it is critical that the facility can characterize whether the spill cleanup is hazardous or nonhazardous, as that will dictate the appropriate response. If a waste determination/characterization has been completed, this can typically be determined from the chemical’s Safety Data Sheet (SDS).
Emergency preparedness is another element of compliance when it comes to a spill. Facilities need to make sure supplies are appropriate for any spill that could potentially occur. For example, if a forklift battery leaks, that is an acid spill. The facility spill kit should contain baking soda to neutralize the acid.
Universal Waste
EPA regulates a class of waste referred to as universal waste. Universal wastes are hazardous in their composition but can be recycled. Under EPA’s definition, the following are the current universal waste streams:
- Batteries (Li, Ni-Cd, Ag, Hg)
- Mercury-containing equipment (MCE)
- Electric lamps
- Cathode ray tubes (in electronics)
- Pesticides (recalled or farmer-generated)
- Non-empty aerosol cans (in some states)
- Others, as determined by state-specific regulations
EPA regulators have focused on these waste streams as a source of penalty for the past decade. Failure to collect, label, store, and recycle universal waste properly is one of the most frequent citations issued. Although not as complex as the requirements for proper hazardous waste management, universal waste has nuances that a generator must be aware of to properly meet the regulatory requirements.
Universal waste doesn’t “count” against generator status. It does not have to be manifested but generally requires specific labeling language (e.g., universal waste lamp, universal waste battery). Universal waste must also be stored in closed, intact containers. Universal waste can only be kept onsite for one year, so these containers should be dated when the first waste is added as a best practice or a log/schedule should be maintained of dates. A mail-back program for universal waste may be an appropriate consideration for generators of small quantities of universal waste to comply with disposal regulations.
Remedy for Compliance
Many of the non-conformances found in these three areas can be relatively simply remedied—or avoided altogether by making sure facilities educate and train impacted staff on how to:
- Inventory, characterize, and quantify wastes.
- Determine/verify generator status.
- Identify applicable federal and state regulatory requirements based on the above. States may have additional rules provided they are at least as stringent as the federal requirements.
- Implement the appropriate procedures, programs, systems, and training to eliminate non-conformances.

KTL to Present at MECC 2023 on Energy Audits & Compliance Management Systems
KTL is excited to be joining the 2023 Midwest Environmental Compliance Conference (MECC) in Overland Park, Kansas, September 26-27, 20023 as a featured presenter. MECC takes a fresh, regional approach to the increasingly difficult task of environmental compliance, permitting, enforcement, and other critical environmental issues that impact Midwest facilities and institutions.
KTL’s presentions are part of the workshop’s technical agenda:
What is an energy audit—and why you should do one
September 26, 2023 | 12:30 pm | Coulter Wood, CEM, CPEA, Senior Consultant
Want to reach your sustainability goals, improve your energy efficiency, and save money? Learn what an energy audit is, how it can help you better understand your energy usage and issues, and how you can leverage your audit to identify opportunities to create energy efficiencies and reduce your carbon footprint.
The big secret: you already have the software you need to manage EHS programs
September 27, 2023 | 9:35 am | Joe Tell, Principal
Implementing software to manage EHS compliance sounds expensive, but it doesn’t have to be—not when most companies already have the software they need. See how to leverage the Microsoft Power Platform® to elevate EHS and effectively manage compliance documentation and data.

Integrated Emergency Response Plans
The most effective way to respond to an emergency is to properly plan for it before it happens. That’s precisely why so many federal, state, and municipal laws and regulations require many facilities to develop and implement some sort of Emergency Response Plan (ERP).
Effective Emergency Response
An ERP is intended to outline the steps an organization needs to take in an emergency—and after—to protect workers’ health and safety, the environment, the surrounding community, and the business itself. The requirements developed by various agencies are important, as they establish the components that must be included in an ERP to comply with regulations and respond effectively.
Most ERPs contain the same basic information. However, it can get complicated when a facility is subject to more than one regulation requiring an ERP, because even though the various regulations share many similarities, they also contain important differences (e.g., command structures, training requirements, equipment needs, operating protocols). Often, facilities end up creating a different ERP to respond to the different regulatory requirements. In an actual emergency, this can create inconsistencies or, worse yet, an implementation nightmare trying to figure out which ERP to follow.
Importance of Integration
The solution lies in integration. For example, consider an integrated management system that allows organizations to align standards, find common management system components (e.g., terminology, policies, objectives, processes, resources), and add measurable and recognizable business value. The same can be done with the various ERPs required within a facility.
It shouldn’t come as a surprise that in 1996, the U.S. National Response Team (NRT) published initial guidance for consolidating multiple ERPs into one core document. The Integrated Contingency Plan (ICP or One Plan) is a single, unified ERP intended to help organizations comply with the various emergency response requirements of the Environmental Protection Agency (EPA), U.S. Coast Guard, Occupational Safety and Health Administration (OSHA), Department of Transportation (DOT), and Department of Interior (DOI). The ICP Guidance does not change any of the existing requirements of the regulations it covers; rather, it provides a format for consolidating, organizing, and presenting the required emergency response information.
While the ICP does not currently incorporate all federal regulations addressing emergency response, it does establish a basic framework for organizations to pull in ERPs for any applicable regulations. And the benefits of doing so are many:
- Streamlined planning process. A single document simplifies the planning, development, and maintenance process. When plans are integrated, it minimizes duplication of effort, eliminates discrepancies and inconsistencies, and helps the organization identify and fill in gaps.
- Improved emergency response. It is much easier—and faster—for emergency responders and employees to navigate one plan rather than multiple separate ones. One plan allows for a single command structure with defined roles rather than potentially conflicting responsibilities. This all allows responders to act quickly and decisively to minimize potential disruption to the organization and public.
- Greater compliance. An integrated ERP provides improved visibility to all parts of the organization’s emergency response and helps reveal gaps that could prove costly and/or dangerous. This is especially important for organizations that must comply with several regulations.
- Potential cost savings. Streamlined and simplified planning reduces the resources required to build the plan. An integrated ERP may also help eliminate regulatory fines and minimize the need for and associated costs of emergency response/cleanup efforts.
Find Your Format
The goal of an integrated ERP is not to create new requirements but to consolidate existing concepts into a single functional plan structure. Regardless of what the plan looks like, it should start with:
- An assessment of the facility’s vulnerabilities to various emergency situations.
- An understanding of the various applicable emergency planning laws and regulations to determine which specific requirements must be incorporated. For example, food emergency response has different implications that must be integrated, particularly when it comes to recovery. A food production facility that is ordered or otherwise required to cease operations during an emergency may not reopen until authorization has been granted by the regulatory authority. Food facilities also have strict guidelines to follow for salvaging, reconditioning, and/or discarding product.
With this understanding, the ERP should then comprise step-by-step guidelines for addressing the most significant emergency situations. The core plan should be straightforward and concise and outline fundamental response procedures. More detailed information can be included in the annex. Most ERPs should include the following basic elements:
- Facility information. Consolidate common elements required in various plans, including site description, statement of purpose, scope, drawings, maps, roster of emergency response personnel, emergency response equipment, key contacts for plan development and maintenance, etc.
- Steps to initiate, conduct, and terminate a response. Outline essential response actions and notification procedures, with references to the annex for more detailed information. Provide concise and specific information that is time-critical in the earliest stages of the response and a framework to guide responders through key steps to deliver an effective response.
- Designated emergency responders. Develop a single command structure for all types of emergencies. Assign qualified, high-level individuals who are familiar with emergency procedures to fill emergency roles. In addition, list the appropriate authorities for specific emergencies, as well as their contact information.
- Evacuation plan/routes and rally points. Clearly mark evacuation routes and identify rally points where employees should meet upon exiting. Do not allow employees to leave designated rally points until it has been documented they have safely left the building.
- Data and information backup technology. Develop provisions for data backup to secondary/off-site systems, as well as alternate options for communications and power.
- Designated plan for communication. Outline who is communicating what, when they are communicating it, and how it is being communicated. This includes internal communication, as well as communication to customers/clients/suppliers/vendors that may be impacted, the media, and the appropriate regulatory authorities.
- Supporting materials. The annex should provide detailed support information based on the procedures outlined in the core plan and required regulatory compliance documentation. Importantly, facilities should create a table that cross-references individual regulatory requirements with the plan to ensure there are no gaps and to demonstrate compliance.
Ensuring Success
The goal of emergency response planning is to minimize impacts to the environment and workers’ health and safety, as well as disruptions to operations. An integrated ERP has the potential to significantly reduce the number of decisions required to respond in an emergency, eliminate confusion and disagreement regarding roles and responsibilities, and enable a timelier, more coordinated response.
That all being said, an integrated ERP will only be effective if it is thoroughly and consistently communicated to all employees. These best practices will help ensure that the integrated ERP functions not only on paper, but also in practice:
- Periodic training is vital to ensure employees understand the ERP and are fully aware of emergency response procedures. It is especially important in an integrated ERP that first responders are trained to handle all potential emergencies rather than more narrowly trained on response for a single regulation.
- Routine drills significantly improve understanding of the ERP, clarify employee roles, test procedures to ensure they work, and diminish confusion during an emergency.
- Posting an abbreviated version of the ERP throughout the plant provides easy access to all employees if an emergency occurs. This summary version of the ERP should highlight the most vital information for quick response: recognized hazards, high-level emergency procedures, evacuation routes, and key contacts.

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Earth Day 2023: Invest in Our Planet
Every year on April 22, Earth Day celebrates the birth of the modern environmental movement. The very first Earth Day—spearheaded by Senator Gaylord Nelson in 1970—led to the creation of the U.S. Environmental Protection Agency (EPA) and the passage of new environmental laws, including the National Environmental Education Act, the Occupational Safety and Health Act, and the Clean Air Act.
While the early Earth Days concentrated on enacting legislation to clean up environmental concerns, Earth Day today is largely focused on what we can do to sustain our planet for future generations…
Creating a Green Future
The EARTHDAY.ORG 2023 theme picks up from last year—”Invest in Our Planet”—and is focused on engaging governments, institutions, businesses, and citizens to do their part: everyone accounted for, everyone accountable. According to Kathleen Rogers, President of EARTHDAY.ORG, “Businesses, governments, and civil society are equally responsible for taking action against the climate crisis and lighting the spark to accelerate change towards a green, prosperous, and equitable future.”
Government Initiatives
Governments around the globe have enacted many significant green policy initiatives, yet nearly every country in the world is not on track to meet greenhouse gas (GHG) neutrality by 2050, according to EARTHDAY.ORG.
The EPA released its most recent EPA Perspective: 5 Ways EPA is Protecting People and the Planet in honor of Earth Day. The Agency cites the following key areas the U.S. government is concentrating on to positively impact our planet:
- Tackling the climate crisis with the urgency it demands, including technology standards for cars and trucks and funding for local governments to cut climate pollution.
- Confronting longstanding environmental injustices and inequities, through investments in EPA’s environmental justice (EJ) initiatives to fund and support programs to reduce pollution and improve public health, particularly in historically underserved communities.
- Improving air quality in neighborhoods across the country with several action to cut harmful air pollution and smog from power plants and industrial facilities.
- Ensuring clean water for all families through President Biden’s Investing in America agenda, which invests billions in rebuilding our nation’s water infrastructure, and by proposing the first-ever legal limits for PFAS in drinking water.
- Building a healthier future, from the Clean School Bus Program to accelerate a zero-emission transportation future, to starting new cleanup projects at 22 Superfund sites.
What You Can Do
Governments, businesses, and citizens are all essential in taking action to overcome the climate crisis. When it comes to your organization, EARTHDAY.ORG suggests, “Businesses, inventors, and financial markets must drive value for their institutions and society through green innovation and practices. Like other economic revolutions, the private sector has the power to drive the most significant change, with both the necessary scale and speed.”
Change starts with action. Learn more about how you can be part of Earth Day every day.

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Energy Management: Reviewing Your Utility Bill
Energy monitoring is a key first step in effective energy management, as it allows organizations to understand their energy consumption patterns and identify routine waste in the process. Reviewing utility bills is a basic initial action that can offer significant insights into how an organization consumes energy and what opportunities may exist for immediate and longer-term savings.
Uncovering Opportunities
Working with a Certified Energy Manager (CEM) to review and analyze a 12-month history of utility data for both electricity and natural gas can help identify peak demand, load profile, taxes, and historic trends in usage. This information can be used, in turn, to calculate savings on efficiency measures and projects based on utility costs. Such opportunities may include the following:
Tariff Review
A utility tariff governs how an energy provider (electric or natural gas) charges the customer for their electricity and natural gas usage. Utilities set out the rates, terms, and conditions of service in these tariffs. Electricity tariffs can vary widely by location and provider, hence the importance of reviewing the organization’s current tariff with its energy provider.
After reviewing utility bills and preparing a profile of energy usage, it is possible to compare the current tariff with other available tariffs to determine if there is a more cost-effective way to purchase energy. The utility may conduct these tariff reviews on your behalf; however, a second opinion can often identify savings opportunities to take advantage of the way a tariff may be structured. For example, a portion of the total utility bill is typically determined by actual demand and structure of the tariff. Where demand charges are nearing 50% of the bill, there are often opportunities for cost savings, including:
- Shifting production to take advantage of lower rates in off-peak hours or seasons.
- Staggering startups to reduce instantaneous demand.
Tax Exemption
If you are paying the full taxes on your electricity and natural gas, your organization may be eligible for a tax exemption depending on where the facility is located. The tax exemption typically applies to energy (gas or electric) that is used to manufacture saleable goods. Tax exemptions often apply to 75% to 99% of the facility’s total utility tax burden.
To receive the exemption, an energy tax study is required to determine how much energy at the facility is used in the manufacture of saleable goods (i.e., any processes that modify the product) versus the energy used for ancillary operation (e.g., warehousing, welfare spaces, lighting). Typically, these studies must be renewed when significant changes occur at the facility to impact load or every three years, whichever is soonest (depending on state-specific rules). The value of the tax emption can vary greatly depending on facility size.
Energy Costs in the Open Market
Energy costs (gas and electric) can be compared against known market rates to determine whether there may be an opportunity for cheaper supply on the open market. The map below shows which states have a deregulated energy market. Any operations in these states may be able to find partnerships with third-party energy suppliers for cost savings.
Utility bills are just a starting point. The more data that can be reviewed and analyzed—and the more detailed it is—the easier it is to identify cost- and energy-saving opportunities within operations.
KTL has experience reviewing utility bills and helping organizations of all sizes identify energy consumption patterns and energy efficiency solutions. Please contact us for assistance in meeting your energy, environmental, and sustainability objectives.