Health, Safety, Security and Environment (HSSE) Management System Guidelines

Transcription

1 Health, Safety, Security and Environment (HSSE)

2 NON-CREATION OF LEGAL LIABILITY ASCOPE Members are participating in this arrangement in good faith and do not intend to create any legal obligation or liability in the participation. No ASCOPE Members shall have any claim or recourse in the event another Member failed to fulfill any arrangement made under this document.

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5 Contents Page I. INTRODUCTION 4 1. Background 4 2. Purpose and Scope 6 3. Overview Health, Safety, Security and Environment 7 Management System Model II. EXECUTIVE SUMMARY OF THE HSSE MS MODEL 8 III. GUIDELINES Leadership Accountability Commitment 11 2a. Policy 11 2b. Objectives, Targets and Business Planning Planning 13 3a. Risk Assessment and Management 13 3b. Legal and Other Requirements 14 3c. Merger, Acquisition and Divestment 14 3d. Product Stewardship Implementation 15 4a. Facility Design, Construction and Commissioning 15 4b. Operation Controls 16 4c. Asset Integrity 17 4d. Contractors and Suppliers 18 4e. Management of Change 18 4f. Emergency and Crisis Management Review 20 5a. Incident investigation 20 5b. Key Performance Indicators 21 5c. Inspections and Audits 21 5d. Management Review 21 2

6 Contents Page 6. Organizational Capability 22 6a. Resources, Roles and Responsibilities 22 6b. Competency and Training Stakeholders Engagement 24 7a. HSSE Interventions 24 7b. Internal Communications 25 7c. External Communications Information Technology 26 8a. Documentation and Recordkeeping 26 8b. Information Solutions 27 IV. APPENDICES 28 Appendix 1 DEFINITIONS 28 3

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8 As a result of this initiative, this MS Guidelines have been finalized and endorsed by ASCOPE members in order to provide consistent framework on HSSE management for national oil and gas companies across the ASEAN region. 5

9 2. Purpose and Scope The define a set of minimum requirements for oil and gas companies operating in ASEAN countries. The Guidelines will act as a framework to provide order and consistency for HSSE management in ASCOPE. Conformance with these guidelines will help ASCOPE members to: Systematically identify and manage key HSSE risks; Improve product yield (less resources consumed and waste/pollution generated on a normalized production basis), and reduce direct and indirect costs of incidents; Create new commercial opportunities and enhance ASCOPE member s reputation; and Gain and maintain a social license to operate and grow, and build better relationships with neighboring communities, governments, NGOs and other key stakeholders. The scope of these guidelines covers all operational aspects and activities that have the potential to affect, positively or negatively, the health, safety, and security of people or the environment. They cover the entire life cycle of operations, from exploration, planning and development through to operation, closure, and decommissioning. In addition, the HSSE help us manage our operations in an environmentally and socially responsible manner, while allowing for flexibility and innovation at the business and facility levels. The guidelines are designed to ensure that effective processes are in place to identify and manage HSSE risks and achieve ongoing performance improvement. 6

10 3. Overview Health, Safety, Security and Environment Management System Model The HSSE were developed based on the review of HSSE Management System documents provided from the ASCOPE members and the validation of HSSE Management System elements during the workshop. The Guidelines provide a framework which can be integrated across ASCOPE member s organizations to ensure common standard and improve the effectiveness of HSSE management. The Guidelines describe the main structures and elements to carry out its HSSE policy, manage HSSE risks and impacts, comply with applicable legal requirements, and continuously improve HSSE performance. The Guidelines are organized in the framework illustrated in Figure 1. They comprise of 8 elements, 23 sub-elements and 129 discrete requirements, applicable throughout the company s entire value chain (Investment, Design and Construction, and Decommissioning). The key elements of HSSE are described in Section II and the details of each element are described in Section III of this document. Figure 1. Management System Model 7

11 II. EXECUTIVE SUMMARY OF THE HSSE MS MODEL The Guidelines describe HSSE Management System as illustrated in Figure 1 for setting and implementing company policy and objectives on health, safety, security, and environment. Key elements of the HSSE MS are shown in the table below. HSSE Element Leadership Accountability Commitment Planning Implementation Review Intent Management s commitment to the policy and HSSE performance is visible to all employees, helping to build/reinforce the HSSE culture and drive program implementation. HSSE commitments from Top Management to guide day-to-day behaviors and decision-making in order to drive continual improvement in performance HSSE regulatory requirements understood and HSSE risks reduced to as low as reasonably practicable. HSSE risks, liabilities and impacts considered as part of asset merger, acquisition or divestment and throughout product life-cycle Management through design, construction, commissioning, operation and decommissioning under the operation control including suppliers and contractors; maintenance and emergency preparedness and responses in order to mitigate the HSSE impacts Performance monitoring and improvement detail the requirements to implement HSSE performance monitoring and auditing; corrective and preventive actions; sharing of lessons learned and best practices including the establishment of HSSE goals and targets to drive continual improvement in HSSE performance 8

12 HSSE Element Organizational Capability Stakeholders Engagement Information Technology Intent Organization of resources to build and maintain the company s capability to manage HSSE issues by defining roles, responsibilities, accountabilities and competencies of resources to support effective HSSE management Culture and communications continuously foster HSSE engagement; model the HSSE behavior and culture; communicate internally and externally to interested stakeholders Management of HSSE documentation, record and information to assess and manage risks and to monitor and evaluate HSSE performance 9

13 III. GUIDELINES 1. Leadership Accountability Management s commitment to the policy and HSSE performance is visible to all employees, helping to build/reinforce the HSSE culture and drive program implementation. Be familiar with the HSSE Management System Framework Incorporate HSSE programs and performance in routine management meetings Allocate adequate resources to implement policy and supporting management systems Set performance improvement goals and drive implementation of defined action plans Participate in HSSE initiatives (e.g. training, inspections, corrective action follow-up from audits and incident investigations) Issue periodic communications that demonstrate their commitment to HSSE performance Provide coaching and support to other management and staff in implementing HSSE programs Model behaviors that support the HSSE performance improvement and hold others accountable to do the same Recognize, reinforce and reward HSSE innovation, initiatives, desired behaviors and outcome. 10

14 2. Commitment 2a. Policy HSSE commitments are defined by Top Management and understood to guide day-to-day behaviors and decision-making. Issue corporate HSSE policy signed off by Top Management of the organization Define the organization s HSSE policy and ensure that it: is appropriate and specific to organization activities and their effects on HSSE; includes a commitment to comply with all applicable HSSE legal requirements and with other HSSE requirements to which the organization subscribes; provides the framework for setting and reviewing HSSE objectives and targets for continual improvement in HSSE performance; and is recognized with equivalent importance as the organization s other policies and objectives. Communicate policy to all employees so that its intent is understood Make policy available to external stakeholders Review and update the policy periodically to ensure that they remain relevant and appropriate to the organization 11

15 2b. Objectives, Targets and Business Planning HSSE objectives and targets are established to drive continual improvement in performance. Develop objectives and measurable goals to improve HSSE performance; taking into consideration the policy, past performance, risks and opportunities, industry benchmarks, interests of stakeholders and business realities Develop action plans to achieve the defined goals, including specifying responsibilities, timeframe and resource requirements Incorporate the goal-setting and action planning process in the business planning process, so they are aligned with the business, endorsed by management and appropriately resourced 12

16 3. Planning 3a. Risk Assessment and Management HSSE aspects are identified and associated risks are assessed based on the controls in place, and actions are taken to mitigate risks to a level as low as reasonably practicable (ALARP). Identify and document HSSE aspects associated with the entire project lifecycle, including potential impacts to employees, contractors, community and the environment as well as potential impact to the organization from emerging HSSE trends, considering discrete equipment and tasks, as well as interfaces between and across them Identify and document the controls in place to manage identified HSSE aspects Assess risk and determine whether risk is acceptable Implement actions to mitigate unacceptable risk and reduce risk to a level that is as low as reasonably practicable Ensure risk assessments are carried out by competent individuals (including external Subject Matter Experts as needed) Review risk assessment at least annually and update as needed Conduct risk assessments per the Management of Change requirements 13

17 3b. Legal and Other Requirements Applicable laws, regulations and other relevant HSSE requirements are identified, accessible, understood and complied with. Identify and document applicable laws, regulations, compliance requirements, standards, guidelines and other commitments made to stakeholders Define actions required to comply with identified requirements, and assign and communicate actions to responsible employees and contractors Incorporate compliance actions into a HSSE activity calendar or similar tracking tool to track completion of compliance actions Monitor changes to compliance requirements on an ongoing basis or at least annually and incorporate new requirements into the compliance management process Track emerging issues and legal requirements that may impact the business and operations, and participate in the formulation of proposed laws and regulations where strategically relevant, according to HSSE risks 3c. Merger, Acquisition and Divestment HSSE due diligence is conducted as part of assets mergers or acquisition or divestment. Conduct HSSE due diligence prior to acquiring, merging or divesting assets and incorporate management of identified HSSE risks and liabilities into the transaction Phase in HSSE policies and standards into newly acquired assets as soon as practicable 3d. Product Stewardship The lifecycle HSSE impacts associated with products are understood, minimized and managed. Identify, assess and manage significant safety, health and environmental risks across the lifecycle (including raw material production and transportation, manufacturing, storage, distribution, transportation, use, recycling, potential release and disposal) of the company s products Incorporate personal and public health and safety and environmental considerations into the design of company products and services Communicate the HSSE aspects and associated safe use and disposal practices to potential customers Provide mechanisms for customers to provide feedback on products and services so they can be incorporated into future designs Promote product stewardship practices with third parties, including suppliers, distributors, transporters, customers and other direct product recipients 14

18 4. Implementation 4a. Facility Design, Construction and Commissioning Environmental, social and health impact assessment is conducted and associated HSSE risks are managed through design, approval, construction, commissioning and decommissioning. Identify, assess, mitigate and manage potentially significant aspects and impacts to human health and the environment associated with existing operations and new projects. Incorporate assessment of potential HSSE impacts, risks and opportunities in design reviews throughout the project development process (e.g. conceptual design, detailed design, prior to construction) and modify designs as needed to ensure regulatory compliance and mitigate potential adverse impacts to people and the environment Address potential risks and liabilities associated with the ultimate decommissioning of new facilities during the design stage Identify and document equipment and systems that are critical to regulatory compliance and effective management of HSSE risks in a critical equipment register. The register should at minimum include all critical equipment, codes and applicable standards, design function (including operating limits), a unique identification, required performance standards (e.g. minimum reliability), and maintenance requirements 15

19 Review and approve the critical equipment register by the designated authority. Deviation from the approved codes, standards, or design function, is permitted after the review and approval by the designated authority Incorporate management of HSSE risks into the construction management plan Apply the HSSE management system framework during the construction phase (e.g. training, inspections, operating procedures, incident management) Conduct pre-startup review on all new or previously idled facilities to ensure regulatory compliance and effective management of HSSE risks 4b. Operation Controls HSSE programs and documented procedures are in place for managing HSSE risks. Operating Procedures Develop and apply operating procedures and supporting work instructions (including design data and operating limits) to address regulated HSSE aspects and other potentially significant HSSE risks for normal and abnormal conditions (including planned start-up and shutdown) Implement specific procedures to address emergency start-up and shutdown Conduct pre-startup review on all modified or previously idled facilities to ensure regulatory compliance and effective management of HSSE risks Monitor operating criteria and implementation of operational controls to anticipate and prevent non-compliance to HSSE regulations and standards and adverse impacts Train employees and contractors on relevant operating procedures so they are effectively implemented Security Promote security awareness and cautions to the security environment Cooperate with community and external resources to gain intelligence to protect people, asset, operation and reputation from threats Develop and implement risk-based Security Management Plan to address potential security threats to the business Integrate security management plans with related plans for emergency management, business continuity and information protection 16

20 Occupational Health Establish appropriate occupational hygiene and medical surveillance processes that include procedures for identification and control of workplace exposures Establish program for ongoing health monitoring and surveillance of affected personnel Establish occupational health education process to reinforce personal and facility hygiene to control workplace exposure and transmission of infectious diseases Safety Implement permit-to-work procedures to address all tasks Implement written job or task safety analysis process (JSA) to identify, eliminate or mitigate potential hazards prior to conducting work Establish hazardous materials communication process to manage and communicate hazards Implement powered motor vehicle safety procedures which include specifications on safety features and equipment requirements, training and competency of operator, vehicle standard operating procedures, maintenance and inspections Environment Identify and define environmental footprints (e.g. resource use, emissions, discharges, climate change) of the operations through detailed environmental assessment Establish and achieve targets that promote efficient use of resources and include reducing and preventing pollution Enhance biodiversity protection and management plan by understanding ecological values and land-use aspects in investment, operational and closure activities 4c. Asset Integrity All plant and equipment are operated and maintained to sustain asset integrity and prevent incidents. Identify and document equipment, including operating equipment, control equipment and measurement devices, critical to achieving commitments defined by HSSE Policy Establish approval process for procurement, installation and modification of critical equipment Conduct maintenance on the critical equipment, consistent with design specifications and to keep the equipment running in proper operating condition Ensure the critical equipment that fails or is not operating properly receives immediate repair and is verified prior to use as required Document, maintain and analyze records of equipment performance to anticipate and address performance issues 17

21 4d. Contractors and Suppliers The management of HSSE risks associated with goods and services provided by contractors and suppliers is carried out to minimize any adverse HSSE consequences. Identify and assess HSSE risks associated with goods and services provided by contractors and suppliers prior to contractual arrangements being established, taking into account their HSSE management programs and previous performances Identify and assess HSSE risks associated with goods and services provided by contractors and suppliers prior to contractual arrangements being established, taking into account their HSSE management programs and previous performances Incorporate HSSE performance requirements into the selection of contractors and suppliers Establish and enforce contracts that address potential HSSE liability and responsibility for contractors and suppliers on a risk basis, including consequences for failing to comply with contract or regulatory obligations Make relevant contractors and suppliers, including their employees and associated subcontractors, aware of HSSE risks, associated controls, procedures and standards relevant to their work Contractors and suppliers provide information on the aspects associated with their equipment, products and services, prior to delivery or commencement of works, and whenever changes occur Monitor and report contractor and supplier activities and performance relative to the HSSE provisions in the contracts established 4e. Management of Change Changes are identified and managed to ensure that risks arising from these changes remain at an acceptable level. Implement and maintain a documented change management process that defines the level of risk assessment required to assess the potential HSSE impacts from both permanent and temporary changes to the plant and equipment, land use, materials/chemicals, operational and business processes, regulatory requirements and standards, resources and organization Conduct risk assessments of proposed changes, considering potential implications for HSSE performance; and ensure competent staff are involved in the risk assessment Agree on modifications to existing controls or other actions to mitigate HSSE risks prior to authorizing the change 18

22 Obtain all new permits or necessary modifications to existing regulatory permits and implement actions to mitigate risks and ensure compliance prior to implementing the change. Document the changes made, including maintenance of as built drawings and new or modified procedures Communicate these changes to relevant personnel 4f. Emergency and Crisis Management Plans and procedures are in place to effectively respond to emergency situations. Identify emergency scenarios, including credible worst case and establish emergency preparedness and response plans and procedures to mitigate HSSE and associated business impacts Implement and maintain crisis communications plans to inform stakeholders in the event of an actual emergency Organize and train local response teams, deploy and maintain appropriate response equipment, and maintain coordination with external response organizations in line with established plans Conduct emergency and crisis management exercises including preparedness, response and recovery at least annually Respond to actual emergency scenarios in a manner that prevents or mitigates adverse HSSE impacts Review and modify emergency preparedness and response plans and procedures based on lessons learned from exercises and responses to actual emergencies 19

23 5. Review 5a. Incident investigation HSSE incidents are reported, investigated and analyzed. Corrective and preventive actions are taken and learning shared. Take immediate actions to mitigate the impact of an incident Report incidents (spills, permit violation, injuries, fires, complaints, property damage, etc.) in a timely manner Conduct investigations to identify the root causes and contributing factors to determine where improvements in the systems, processes, practices and procedures are required. Incident investigations should be carried out by competent individuals and at a level commensurate with the actual or potential magnitude of impact Develop and implement corrective and preventive actions to reduce the likelihood of a recurrence Track completion of corrective and preventive actions through closure and report to line management Analyze incident trends and take proactive measures to reduce incident frequency and severity Share lessons learned from incidents with relevant stakeholders 20

24 5b. Key Performance Indicators HSSE key performance indicators are established and tracked to drive continual improvement in performance. Define specific indicators to measure HSSE performance, including leading and lagging indicators; indicators should reflect applicable legal requirement, impacts, risks and business priorities Track and report performance indicators to line management and to the corporate HSSE reporting program Take corrective actions to address adverse trends in performance as appropriate 5c. Inspections and Audits HSSE performance and systems are audited to assess conformance and drive continual improvement. Implement inspection programs to identify and prevent potential non-compliance with legal and other HSSE requirements on a day-to-day basis Conduct internal and external audits against relevant HSSE laws, regulations, other HSSE requirements, and HSSE MS requirements by competent and independent persons Communicate results of inspections and audits to responsible line management Implement corrective and preventive actions to address the immediate and root causes of the inspection and audit findings Track completion of corrective and preventive actions through closure Analyze inspection and audit results and take proactive measures to improve compliance performance 5d. Management Review Overall HSSE program and performance are reviewed by senior management to ensure it is achieving the desired outcomes in a cost-effective manner. Conduct formal review on the adequacy and effectiveness of HSSE management standards, programs and performance at least on an annual basis. Information reviewed includes audit results (including internal and external audits), incident reports, objectives and targets, and relevant views from stakeholders Develop and implement improvement actions based the results of the management reviews 21

25 6. Organizational Capability 6a. Resources, Roles and Responsibilities Sufficient resources are provided to support effective HSSE management, the implementation and the maintenance of HSSE management standards. HSSE roles and responsibilities of employees and contractors are defined, documented, communicated, and kept up-to-date. Allocate adequate resources essential to implement policy and support management systems, including established goals and action plans. Resources include human resources and specialized skills, organizational infrastructure, technology and financial resources Implement best available technology reasonably achievable Define, document and communicate HSSE roles so they are clearly understood by responsible individuals, including HSSE management representative(s) who is responsible for facilitating the ongoing implementation of the HSSE management standards Hold responsible individuals accountable for carrying out their roles and achieving the desired results through performance appraisal and incentive compensation processes where appropriate 22

26 Cascade accountability down from senior management to first line supervisors and operators Establish consequence management processes (e.g., for gross negligence or intentional harm) 6b. Competency and Training Process is in place to ensure that employees and contractors are competent to conduct their activities and behave in a responsible manner. Establish HSSE competencies and training required for all positions Incorporate HSSE competencies, awareness, behaviors and performance in the hiring and promotion processes (including all levels of operations/line management) Provide HSSE leadership training to all managers Implement training programs consistent with the training needs defined, ensuring all staff are competent to effectively carry out assigned responsibilities 23

27 7. Stakeholders Engagement 7a. HSSE Interventions HSSE behavior and culture is built and continuously improved through workforce engagement. Establish appropriate HSSE intervention techniques and programs (e.g. authority to stop unsafe work, coaching-based interventions, rights to refuse unsafe work assignment, in-field hazard recognition) to enhance and promote HSSE behavior and culture Emphasize employee responsibility to identify, report and correct unsafe and unsecured conditions and behaviors Establish rewarding scheme to support and promote good HSSE behaviors 24

28 7b. Internal Communications Effective, transparent and open communication and engagement is maintained with employees and contractors. Implement communication programs and two-way engagement, covering topics such as the HSSE policy, aspects and controls, performance accomplishments and opportunities for improvement, to increase awareness and promote innovation and continuous improvement Share best practices, knowledge and lessons learned within the organization Establish a mechanism that allows employees and contractors to suggest improvement opportunities and report HSSE concerns anonymously and without fear of reprisal 7c. External Communications Mechanisms are in place to engage with and communicate HSSE programs and performance to external interested parties. Identify, prioritize and map external stakeholders and their key concerns and expectations Establish stakeholder engagement plan with high priority stakeholders to address potential HSSE related concerns Implement a process to document and respond to external inquiries regarding HSSE performance; including from regulators, neighbors, customers, investors, business partners and other stakeholders Adopt international standards to communicate HSSE programs and performance to external interested stakeholders 25

29 8. Information Technology 8a. Documentation and Recordkeeping An effective management system is in place to manage HSSE document and record essential to assess and manage risks. Establish and maintain documentation that describes the core elements of HSSE management standards and their interaction, including indexes or maps that provide direction to related documents Maintain current process flow charts and piping and instrumentation diagrams, information on the potential aspects of materials involved in the process, including documents pertinent for sound operation and maintenance of process Implement document and record management procedures to ensure current versions of information and data are readily available, obsolete versions are removed and to control confidential information Maintain readily available records that demonstrate regulatory compliance and conformance to the requirements of these management standards 26

30 8b. Information Solutions Standardized, automated reporting processes are in place to generate reports for monitoring and evaluating HSSE performance. Provide efficient enterprise-wide IT systems, as appropriate, to address HSSE management (e.g. data management, auditing/assessment results and corrective and preventive measures, incident reporting) 27

31 IV. APPENDICES Appendix 1 Definitions As low as reasonably practicable (ALARP) To reduce a risk to a level as low as reasonably practicable involves balancing reduction in risk against the time, trouble, difficulty and cost of achieving it. This level represents the point, objectively assessed, at which the time, trouble, difficulty and cost of further reduction measures become unreasonably disproportionate to the additional risk reduction obtained. Audit Systematic, independent and documented process for obtaining audit evidence and evaluating it objectively to determine the extent of which audit criteria set by the organization are fulfilled. The audit criteria may include HSSE regulatory requirements, management system procedures, management standards, etc. Change A deviation, permanent, temporary, or incremental, from a currently established baseline, or anything that is or may be substituted for something else. This includes changes to personnel, processes, systems, plant and equipment, technology, documents, risks, legislation, commitments, obligations, other requirements, and external environmental, physical and social factors affecting or affected by the organization. Continual improvement A process of enhancing performance and management systems, not necessarily in all areas simultaneously. Corrective action An action implemented to eliminate the cause of a non-conformance or incident in order to prevent recurrence. The corrective action is commensurate with the magnitude of the non-conformance or incident. Crisis communication Many of the expected harmful individual and community behaviors can be mitigated with effective crisis and emergency risk communication. The practitioner must anticipate what mental stresses the population will be experiencing and apply appropriate risk communication strategies to attempt to manage these stresses in the population. Risk communication is a fully legitimate tool of response and recovery just like any other resource applied to the disaster. It is not an attempt at mass mental therapy. It is a reasoned and mature communication approach to the selection of message, messenger, and method of delivery. 28

32 Critical equipment A piece of equipment or a structure whose failure, or not performing to design specification, has the potential to result in a Major Accident Event (e.g. fatality, serious environmental effects, including impairment of ecosystem function, ongoing significant social issues, significant adverse attention from national media or non-government organizations (NGO), or loss of license to operate). Emergency scenario An abnormal occurrence that can pose a threat to the safety or health of employees, customers, local communities, or which can cause damage to assets or the environment. Goal A long-term strategic position that has been established that must be attained to satisfactorily manage an HSSE issue. Guidelines Minimum requirements for ASCOPE members and form the basis for the development and application of HSSE management systems at all levels of companies. Hazard Source, situation, or act with a potential for harm in terms of human injury or ill health, or a combination of these. Also hazards, in these Management Standards, include an element of an organization s activities or products or services that can interact with the environment. Incident Work related event (s) during which injury, illness, or fatality actually occurred (i.e. accident), or could have occurred (i.e. close call/near miss). Inspection A comprehensive survey of all or part of a workplace in order to detect HSSE hazards. Inspections are normally performed during the regular work hours of the agency, except as special circumstances may require. Inspections do not include routine workplace surveillance of occupational health conditions. Lagging indicator A measurement of the impact of organization s activities, particularly when things go wrong. Leading indicator A measurement of inputs to performance (i.e. those things that are managed in order to prevent things going wrong). It indicates the effectiveness of the management system and the degree of its implementation. Management of change A systematic process for addressing HSSE risks arising from proposed change(s). 29

33 Management system Management processes and documentation that collectively provide a systematic framework for ensuring that tasks are performed correctly, consistently and effectively to achieve a specified outcome and to drive continual improvement in HSSE performance. A systematic approach to management requires: an assessment of what needs to be done; planning to achieve the objective; implementation of the plan; and review of performance in meeting the set objective. A management system also considers employees and contractors, and resource and documentation requirements. Non-compliance Failure, act or state of not complying with regulatory requirements and other HSSE requirements the organization subscribes to. Preventive action An action implemented to prevent the occurrence of a potential non-conformance or incident. The preventive action is commensurate with the severity of the potential non-conformance or incident. Project development process Conceptual design, detailed design, prior to construction. Record A document that shows what kinds of activities are being performed or what kind of results is being achieved. It is always documented and provides evidence about the past. Risk The risk of an activity/product/service is the product of likelihood of an impact on the HSSE of people, the environment, the community or property, and the severity of that impact. A significant risk is a risk that results in or has the potential to result in a significant HSSE impact. Risk assessment The systematic evaluation of the degree of risk posed by an activity or operation. The process of using the results of risk analysis to rank and/or compare them with acceptable risk criteria or goals. Stakeholder Any person or group that may be affected financially or by safety, health, environment aspects and community performance from the company or its operations. Stakeholders may include: employees, contractors, suppliers, the Board of Directors, shareholders, investment analysts, lending and other financial institutions, governments and government departments, neighbors of our operations and minority groups. 30

34 Subject Matter Expert Subject Matter Expert or SME is a competent individual having a combination of attributes such as knowledge, skills, abilities and attitudes providing adequate assurance of successful performance on a particular subject. SME can be in-house personnel or external resources. 31

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36 Published by : PTT Public Company Limited (Head office) 555 Vibhavadi Rangsit Rd., Chatuchak, Bangkok THAILAND