Lynas rare earths processing plant has problems of safety, conflicts of interest

“Section 11 of the law allows the minister to direct regulators toward certain policies and so there’s massive conflict of interest,” said Dr Peter Karamoskos, an Australian nuclear radiologist.

Problems at Lynas factory can cause radioactive leaks, say experts The Malaysian Insider, 24 Nov 13, Prevailing problems in waste management, storage, disposal facility and waste cleaning at the Lynas factory can lead to radioactive leakages if the Australian firm fails to address the issues, said experts t at a seminar in Kuala Lumpur today.

The mining company’s refinery near Kuantan, Pahang, has several problems, which experts said in the event of an accident or carelessness, could harm to residents near the factory.

“The factory has limited storage capacity and the waste is stored in a poor liner system,” said Dr Gerhard Schmidt, a chemist from the Oeko Institute in Germany. Schmidt explained that the institute’s report on the refinery published earlier this year showed that Lynas is using single layer high density polyethylene (HDPE) lining to hold the water leach purification, the by-products of mining industries, in storage.

Meanwhile, its report stated that the “state of the art design would use 2.5mm HDPE and at least two 25cm layers of clay”. The factory was found to use 1mm HDPE and a single 30cm layer of clay. ”One layer isn’t sufficient since these sheets have to be welded on the spot and if its thickness is insufficient or if the sheet was not welded properly, leaks can occur,” Schmidt said in the event hosted by Pertubuhan Solidariti Hijau Kuantan (PSHK), an NGO protesting the factory’s operations.

“I thought after publishing the report Lynas had addressed the four recommendations proposed by the institute but it turned out to be otherwise,” he added………

Experts present pointed out that Lynas has been able to conduct its operations without proper check and balance due to regulatory flaws within the Atomic Energy Licensing Act 1984 and the lack of willpower by enforcement agencies to independently do its job.

“The Act is not up to international standards and it doesn’t take into account aspects of rare earth plants, disposal and safety measures,” said Theivanai. The Act was last amended in 2006, before Lynas began operations this February.

“It doesn’t promote independence of a regulatory body when their boss, a minister, says that the plant is as safe as a soy sauce factory,” Karamoskos added.

In September, Deputy Science Technology and Innovation Minister Datuk Abu Bakar Mohamad Diah had said after visiting the Gebeng plant that he found “the Lynas factory is as safe as a kicap (soy sauce) factory”.

Karamoskos said that recommendations by the International Atomic Energy Agency (IAEA) on disposal of waste in a facility was “clearly not followed in Malaysia” and although Lynas has been doing poorly financially, the law requires for companies to have funds to conduct cleanup operations before it can set up shop.

The company had announced in September that its full year loss had grown to $107.4 million (about RM345 million) for the business year ending June 30, from $102.6 million the year before.

The loss was attributed in part to additional costs required to commission the Malaysian processing plant and the low price of rare earth product in the market has also contributed to the slump.

Despite numerous criticisms toward the risks the plant holds to its nearby residents, Schmidt said that Lynas had kept mum over the institute’s report.

“There has been no official reaction by Lynas to refute our findings. Nothing at all,” said Schmidt.http://www.themalaysianinsider.com/malaysia/article/problems-at-lynas-factory-can-cause-radioactive-leakages-if-no-action-is-ta