DEFINITIONS OF ENVIRONMENTAL AUDIT

Various definitions of EA are available. Some of them are as follows:

(i) A systematic objective method of reviewing management systems & controls and verifying
whether environmental standards, regulatory, company and good industry standards, are being
met (M/s Arthur D. Little, USA, EA Consultants)
(ii) A systematic examination of performance to ensure compliance with requirements during
the operational phase of industrial activity including the following components:
- Full management commitment
- Audit team objectivity
- Professional competence
- Well-defined and systematic approach
- Written reports
- Quality assurance
- Follow-up
(Adopted from International Chamber of Commerce- position paper on environmental
auditing November 29, 1988)
Environmental Audit is typically a combination of: (1) Pollution Audit, (2) the
Pollution Prevention or Waste Minimization Audit and (iii) Environmental
Management Systems Audit.







The Objectives
The scope and nature of each audit varies according to the objectives of the audit and
the character of business being reviewed or examined. Broadly, the objective may fall
in one of the following categories:
1. Identification of actual and potential risk and liabilities
2. Ensuring whether the plant operations are in line with the Company's
requirement and adopting good management practices.
3. Determining whether the management and control systems are functioning to
assure n compliance, and
4. To determine compliance with statutory and regulatory bodies' requirements.

The Advantages
The advantages of EA to the pursuing industry are as broad as the audit objective. The
prime and obvious advantage of the audit is to help in safeguarding the environment
and to assist in compliance with the regulatory requirement. This action reduces
exposure to litigation. Furthermore, independent verification of audit team provides
timely warning against the issues needing immediate attention and potential further
problems.
Normally, the advantages of Audit vary from situation to situation as listed below:
1. Increasing employee awareness of Environmental laws, regulations and
standards
2. Finding out the potential cost saving areas within the plant including waste
minimization / resource recovery possibilities
3. Better exchange of data between group related to operation and management
4. Helping management to take decisions in relation to plant modification or
alteration
5. Ensuring better relation with the regulatory authorities by way of meeting
regulatory requirement.
6. Providing an info-base which can be used in emergent conditions and
validating its potential

Range of Audit Objectives:
1. Identify and Document:
compliance status
compliance discrepancies
National laws and regulations
Company policies and procedures
shortcomings at sites
Pattern of deficiencies that may emerge over time
Effectiveness of the compliance management system
2. Improve Overall Environmental Performance:
Reduce or restrict problems that can interfere with normal business
activities
Provide an incentive to formalize procedures
Improve housekeeping
Avoid recurring problems
3. Better Understanding and Interpretation of:
Legal requirements
Company policies and guidelines
Compliance problems
Cost-effective measures that should be taken to achieve compliance
Reinforcing the site's need for additional resources
4. Increase the Overall Level of Environmental Awareness
Demonstrate management commitment to environmental issues
5. Accelerate Overall Development of EMS :
Identify important lessons learned
Modify systems
Share information
Encourage formulation of more formal procedures and standards for
measuring environmental performance
Develop a database of information on environmental performance which
can used in other management functions
6. Improve the Environmental Risk Management Systems:
Identify conditions that may have an adverse impact on the company

Audit Methodology
The Audit activities are carried out in three phases namely Pre-Audit, On-site and
Post- Audit activities.
Pre-audit Activities:
Scheduling the audit
Selecting the audit team
Gathering and reviewing background information
Planning the audit
Preparations
On-site Activities:
Interviewing site personnel
inspecting the site, the operations and equipment
Reviewing administrative and operating records and documents
Post-audit Activities:
Preparing and distributing the audit report
Determining potential solutions and preparing recommendations
Assigning responsibility for corrective action and establishing timescales
Implementing corrective action
Conducting follow-up to the action plan

Five stop audit approach:
Adoption of such an approach by the industry is extremely important to prove its
effectivity.
The on-site audit activities must follow a standard approach ensuring a systematic and
rigorous review. This approach is typically based on the following five steps:
Understanding Environmental Management Systems (EMS)
Assessing strengths and Weaknesses of EMS
Gathering Audit Evidence
Evaluating Audit Results
Reporting Audit Findings
EA in Developed Countries, broadly contains assessment and verification of existing
environmental related systems and procedures etc. Typically these audits are
completed in 'One Week' duration at site. It identifies Exceptions or Deficiencies and
Strengths in the EMS and recommendations to overcome these exceptions.


ENVIRONMENTAL AUDIT SCENARIO IN INDIA
EA in India is different from that in Developed Countries in terms of Objectives,
Scope, Coverage and Methodology.
The EA in India is named it Environmental Statement (ES), which ii a part of the EA.
The aim of the ES of an audit it to facilitate supervision and, at the same time, gain
information on the measures required to be taken by the concerned unit as regards
compliance with the company's Internal policies and with the regulations in force The
ES should enable units to take comprehensive look at (1) their industrial operations
and facilities, (2) understanding of the material flows, (3) focus on areas where waste
reduction if possible and, (4) consequently saving In Input costs.