When SS Electroplating Company started the electroplating operations in a residential location in Bengaluru, it received a notice from the pollution Control Board to install the effluent treatment plant within 15 days, failing which they would seal the plant. The Director of the company collected the information that it would cost about 10,00,000 to buy an effluent treatment plant, an area of about 600 sq.feet to install it over a period of 2-3 months, & running cost of about 40,000 per month for the purchase of material like costic soda & others. The effluent contained nickel, synide, cromium, cadminum & zinc, which were to be treated separately using different chemicals. After effluent liquid of about 800 litres per day was treated, the sludge was to be dried, packed, stored & dumped in a government notified place. The entire process would not only cost substantial amount, but also would need additional area of about 600-700 sq. feet  The company gathered information that some of the competitors outsourced the effluent treatment to government approved agencies, who collected the effluent liquid from these chemical & electroplating factories, & treated ( or neutralized) the chemicals at their effluent treatment plants. These agencies charged 10 to 15 per litre for the treatment of effluent liquid, depending on the type of chemicals. The cost of outsourcing was considered much higher compared to in-house effluent treatment plant. However, SS Electroplating Company, like many other chemical & electroplating factories did not have additional area for the installation of effluent treatment plant. The Director was aware that the liquid waste from the factory would have harmful effects on the surrounding residential area. He also could not violate the Government regulation on environment control. The director had very little time – two weeks – to decide & act.  If you were the Director of the company, what would you do & why?  Should all companies in this industry come up together as to save cost. Provide your suggestions

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When SS Electroplating Company started the electroplating operations in a residential location in Bengaluru, it received a notice from the pollution Control Board to install the effluent treatment plant within 15 days, failing which they would seal the plant. The Director of the company collected the information that it would cost about 10,00,000 to buy an effluent treatment plant, an area of about 600 sq.feet to install it over a period of 2-3 months, & running cost of about 40,000 per month for the purchase of material like costic soda & others. The effluent contained nickel, synide, cromium, cadminum & zinc, which were to be treated separately using different chemicals. After effluent liquid of about 800 litres per day was treated, the sludge was to be dried, packed, stored & dumped in a government notified place. The entire process would not only cost substantial amount, but also would need additional area of about 600-700 sq. feet 

The company gathered information that some of the competitors outsourced the effluent treatment to government approved agencies, who collected the effluent liquid from these chemical & electroplating factories, & treated ( or neutralized) the chemicals at their effluent treatment plants. These agencies charged 10 to 15 per litre for the treatment of effluent liquid, depending on the type of chemicals. The cost of outsourcing was considered much higher compared to in-house effluent treatment plant. However, SS Electroplating Company, like many other chemical & electroplating factories did not have additional area for the installation of effluent treatment plant. The Director was aware that the liquid waste from the factory would have harmful effects on the surrounding residential area. He also could not violate the Government regulation on environment control. The director had very little time – two weeks – to decide & act. 

  1. If you were the Director of the company, what would you do & why? 
  2. Should all companies in this industry come up together as to save cost. Provide your suggestions
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