Irish Steel

Irish Steel Limited ,[1] later known as Irish Ispat Limited, was an Irish semi-state company which was involved in steel production primarily from a plant on Haulbowline island in Cork Harbour. Originally founded in 1939, the company and its assets were sold to Ispat International (later known as Mittal Steel Company) (for IR£1) in 1996. The company and its plant closed down in 2001.

Dumping of production materials, including toxic waste, resulted in significant contamination of the Irish Steel plant site, and increased the size of Haulbowline island by 9 ha. Campaigners, including Erin Brockovich, pushed for action by the state,[2][3] and €61m was allocated to clean-up the site and to redevelop it as a park.[4][5] The cleanup and redevelopment project lasted upwards of a decade; from 2011 to 2021.[6]

History

Irish Steel was originally formed as a privately owned firm in 1939, and commenced operations from a steel plant on Haulbowline island, near Cobh in Cork Harbour.[7][8] This company went into receivership in the 1940s,[8] and in 1947 the then Minister for Industry and Commerce, Seán Lemass, established a state-financed company to acquire its assets and "secure 240 jobs".[9][10]

In 1960, the state's involvement was expanded by the Irish Steel Holdings Limited Act 1960, in what Jack Lynch (by then Minister for Industry and Commerce) described as addressing a "gap which would otherwise exist in [Ireland's] industrial capacity".[10] By the late 1960s, Irish Steel was producing approximately one-third of steel used by Irish industry.[11] At its peak, in 1971, the company employed approximately 1,200 people and had increased production to run 24-hours-a-day, seven-days-a-week.[9] In 1981, responsibility for Irish Steel was transferred from the Minister for Industry and Commerce to the Minister for Energy.[12]

In 1972, Edward A. Coleman (the general manager of Irish Steel and a member of a delegation from the Confederation of Irish Industry travelling for discussions with EEC officials in Brussels), was among those killed in the Staines air disaster.[13][14]

A fall in steel prices in Europe during the 1980s led to layoffs at Irish Steel, and the work-force was progressively reduced from 650.[9] The assets of the company were sold to Irish Ispat (a subsidiary of Ispat International), for IR£1, in 1996.[15] Under the terms of the sale agreement, the Haulbowline plant was operated under the condition that "£30 million would be invested in the plant and its 330 jobs would be secured" for at least five years.[9] Shortly after this term ended in 2001, the plant was closed and 450 jobs were lost.[16]

Controversy

Safety

According to a 2005 article in The Irish Times, "Irish Ispat's tenure at Haulbowline was marked by controversy, with the firm failing to invest" as expected under the negotiated takeover agreement.[9] There were several worker deaths between 1999 and 2001, including that of a lab technician who died in a fire.[9] According to an inquest hearing, the plant's administrative block had no sprinklers, fire escapes or fire alarms, and that the "company's fire engine failed to start because of a flat battery".[9] According to other reports, the plant's safety manager had been refused budget for improved fire-safety training.[17]

Closure

The plant was closed, with limited notice, by Ispat International in 2001.[18] At the time of closure, the company had debts of more than €57m.[17][19] Reports of land and asset sales, prior to closure, led to some accusations of "asset-stripping" by the parent company.[20] One such asset disposal, in the months prior to closure, involved the sale of a 30-acre site (for an undisclosed sum) to build a hazardous waste incinerator to the "fury of local residents".[21][22] As of 2002, creditors were still owed over €20m, including over €7m due to former-workers for statutory redundancy and other payments.[23]

Environmental impact

From at least the 1960s, waste materials (including toxic chemicals and steel slag) used in the steel production process were dumped by Irish Steel on the eastern part of Haulbowline island.[7] This dumping site became known as the "East Tip",[24] and was described in later reports as one of Ireland's "worst polluted former industrial sites".[25]

The "East Tip" expanded over several decades to include 650,000 cubic metres of waste, extending eastwards from Haulbowline's naval dockyard.[26][27] The processing waste acted as approximately 22 acre of land reclamation infill,[27][28][29] and the dumped materials reputedly increased Haulbowline island from approximately 60 acres to over 80 acres in size.[30] According to the terms of planning permission, received by Irish Steel in 1981, there were no controls placed on the material that could be dumped or on protections required to prevent leachate into the harbour.[31] By the time of the plant's closure in 2001, radioactive and Chromium 6 contamination was found to have remained in the island's soil.[32][27] Campaigners, including Erin Brockovich,[33][34] requested government action on the contamination issue.[3][35]

As of 2011, it was reported that the contamination at the site had cost the state "more than €50 million — mostly in legal costs".[36] As of 2014, €52 million had been spent on clearing the site, with "a further €40 million [earmarked] to make the site safe".[37] While the Environmental Protection Agency had attributed €15.9m of the projected site cleanup costs to Irish Ispat (formerly Irish Steel), the High Court dismissed a claim by the state to have the company's liquidator cover the cost of making the site environmentally safe.[38] The Irish government was later threatened with legal action by the European Commission, for a failure to meet its obligations under the Waste Framework Directive.[39] In 2016, it was reported that the remediation works budget, of €61m, would not be sufficient to complete the full cleanup and redevelopment project.[5]

The cleanup and redevelopment of the former Irish Steel "East Tip" site took more than a decade to complete, between 2011 (when the work necessary to prepare a waste licence application was discussed) and 2021 (when the site was opened as a park).[6] Haulbowline Island Amenity Park was officially opened in January 2021.[40][41]

References

  1. An tAcht um Ghabháltais Chruach na hÉireann Teoranta (Leasú), 1979 acts.ie, Houses of the Oireachtas, retrieved 4 June 2021^
  2. Brockovich backs Cork residents over waste fears irishtimes.com, Irish Times, 1 July 2008, retrieved 6 June 2021^
  3. Environmental campaigners concerned over Haulbowline Island clean-up irishtimes.com, Irish Times, 10 May 2018, retrieved 6 June 2021^
  4. €61m clean-up of Haulbowline Island behind target and spending irishtimes.com, Irish Times, 9 May 2018, retrieved 3 June 2021^
  5. €61m for Haulbowline 'not enough' to convert old steel plant to public amenity irishexaminer.com, Irish Examiner, 26 August 2016, retrieved 4 June 2021^
  6. Haulbowline Island Remediation Project corkcoco.ie, Cork County Council, retrieved 3 June 2021^
  7. Pictures: A look back at the opening of Irish Steel in Cork Harbour echolive.ie, The Echo, 23 January 2021^
  8. 'This has all been a hush hush job' Irish Examiner, 26 June 2008^
  9. Plant's 62 years spanned boom and bust as economy evolved irishtimes.com, The Irish Times, 22 August 2005^
  10. Irish Steel Limited Bill, 1996 [Seanad]: Second Stage. – Dáil Éireann (27th Dáil) – Wednesday, 3 Apr 1996 – Houses of the Oireachtas oireachtas.ie, Houses of the Oireachtas, 3 April 1996^
  11. Desmond A. Gillmor. The Irish Steel Industry Irish Geography, 1969^
  12. Industry (Transfer of Departmental Administration and Ministerial Functions) Order 1981 19 August 1981, retrieved 3 June 2021^
  13. 1972 Staines air crash recalled The Irish Times, 18 June 1997, retrieved 4 June 2021^
  14. Air Disaster Newsletter Magazine of Irish Shipping Ltd, 1972^
  15. New name as Irish Steel sold for £1 irishtimes.com, The Irish Times, 31 May 1996^
  16. Sean O'Riordan. Announcement 'imminent' on use of Irish Steel site Irish Examiner, 15 June 2011^
  17. Niall Murray. Ispat told of risk but ignored fire funds plea Irish Examiner, 25 July 2002^
  18. Tim Bouquet, Byron Ousey. Cold Steel: Lakshmi Mittal and the Multi-Billion-Dollar Battle for a Global Empire Hachette, 2009^
  19. Dick Hogan. Liquidator put into Ispat as angry creditors meet The Irish Times, 29 June 2001^
  20. Steel plant stripped of assets before closedown independent.ie, Independent News & Media, 31 March 2002^
  21. Cork incinerator approval is just the latest chapter in a long running saga irishtimes.com, Irish Times, 31 May 2018, retrieved 4 June 2021^
  22. £20m Cork landbank originally bought for £1 Sunday Independent, Independent News & Media, 17 June 2001, retrieved 4 June 2021^
  23. Irish Ispat 'breached terms of deal' independent.ie, Independent News & Media, 3 March 2002^
  24. Haulbowline Island East Tip Remediation Project rpsgroup.com, RPS, retrieved 3 June 2021^
  25. 'Premature to open park' on polluted Haulbowline site irishexaminer.com, Irish Examiner, 15 May 2019, retrieved 3 June 2021^
  26. Haulbowline Island East Tip Remediation Works Completed Afloat Magazine, 14 December 2018^
  27. East Tip, Haulbowline Island – Factual Report Cork County Council, March 2012, retrieved 3 June 2021^
  28. EastTip Remediation Project, Haulbowline, Co Cork – Volume 2 – Environmental Impact Statement (EIS) epa.ie, Environmental Protection Agency, October 2013^
  29. Philip Davis. Inspector's Report – East Tip Remediation Project An Bord Pleanála, 18 March 2014, retrieved 5 June 2021^
  30. Your Town – Cork Harbour: Haulbowline Island Passage West Town Council^
  31. State sold Haulbowline steel plant on the basis it was not polluted irishtimes.com, Irish Times, 14 July 2008^
  32. Residents alarmed over toxic dump at former steel mills independent.ie, Irish Independent, 27 June 2008^
  33. Campaign star Erin falls ill on Irish visit Herald.ie, 22 September 2008^
  34. Former Cork toxic dump resembling a 'lunar landscape' transformed into park irishexaminer.com, Irish Examiner, 14 December 2018, retrieved 6 June 2021^
  35. Get answers about toxic waste, Brockovich urges Irish Independent, 1 July 2008^
  36. Ann Cahill. Ireland faces EU fines over toxic dump site Irish Examiner, 14 April 2011^
  37. Hearing into plans for former steel plant in Cork Harbour rte.ie, RTÉ, 19 March 2014, retrieved 4 June 2021^
  38. State loses court case over Irish Ispat site costs irishtimes.com, Irish Times, 29 July 2004, retrieved 3 June 2021^
  39. Tim O'Brien. Haulbowline clean-up will not include all dumps The Irish Times, 22 October 2012^
  40. Haulbowline Island Amenity Park to open this Friday echolive.ie, 14 January 2021, retrieved 3 June 2021^
  41. Award winning public park opens on former toxic dump – Haulbowline Island, Cork Harbour thecork.ie, 15 January 2021, retrieved 3 June 2021^