Sustainability Report 2021

Occupational safety

Why is this important?

The focus on safety is core to our industry and is part of OMV Petrom recruitment, promotion and individual performance management processes. OMV Petrom is part of a high-risk industry, where flammable and toxic substances are present in our facilities with a potential fatality risk for our employees, contractors and neighbors.

Our commitment

Our Strategic commitment is to have Zero work related fatalities and to stabilize Lost Time Injury Rate below 0.30.

OMV Petrom aims to adhere to the highest standards to provide its employees and contractors with a safe workplace. Our Safety Management System is based on the HSSE Policy, the HSSE Directive, and corporate regulations such as HSSE Risk Management, Occupational Safety Management, Contractor HSSE Management, Management of Hazardous Substances, Personnel Transportation, Reporting, Investigation, and Classification of Incidents, which provide the framework for safety management. Our corporate regulations are sustained by divisional procedures and standards as well as by specific local work instructions where required.

We measure

We have established KPIs for monitoring our safety performance, reviewed on a quarterly basis by our Central Safety Steering Committee and based on which results, actions for improvement are defined and implemented. Safety KPIs are monitored at division, business unit and operational site levels.

We act

Our HSSE Policy clearly states: “The long-term business success of OMV Petrom depends on our ability to continually improve the quality of our activities while protecting people, environment, assets and reputation. Therefore, Health, Safety, Security, Environment (HSSE) are integral parts of our business.” 

Risk management is an important part of our occupational safety system. Risk assessments are done/ included in different processes, such as:

  • Workplace risk assessment – an evaluation reviewed when work conditions are changed, or accidents are taking place, the process being required both by legislation and by the internal Risk Management Standard;
  • The Permit to Work System – a formally documented process used to authorize and manage works identified as significantly hazardous by making sure all the safety measures are in place before work starts. The Permit to Work system is supported by further operational requirements and together they constitute the Safe Systems of Work (e.g., lifting operations, electrical and mechanical isolations, excavations, working at heights, simultaneous operations, etc.). The main part of the system is Job Safety Analysis or task risk assessment which must be conducted though the verbal authorization (e.g., routine job) or based on a written Permit (e.g., non-routine job). The JSA splits the job in phases and for each phase hazards and associated control measures are identified. JSA content is discussed during the Toolbox Talk prior to start working. The Chief of the working group coordinates the discussion.
  • Management of Change (MoC) – a process applied whenever a change is introduced that could have negative or positive consequence for: human (health & safety), environment, quality and customers, financial and asset loss, reputation and media attention, and compliance (external and internal).
  • Journey Management – an assessment done before a trip; template and requirements mentioned in the Group Standard “Personnel Transportation”
  • HSSE risk of contracts – a risk assessment done in the planning phase of a contracting process; the assessment is related to the level of HSSE risks associated with the contracted activities, determining if the services have high, medium or low HSSE risks.

In our risk management process, hazards are identified, risks are assessed and mitigation measures for risk reduction are established and implemented.

All our contracts have the specific requirement that contractors need to apply similar HSSE management qualification and management to their (sub) contractors, according to Group Standard “Contractor HSSE Management”.

We check

The ISO 45001:2018 Certification covers 49% of our employees in all OMV Petrom Business Divisions.
Important risks and the respective mitigation measures are evaluated and monitored within the EWRM process, documented in a Group-wide database (Active Risk Management System), and reported to top management twice a year or on an ad-hoc basis whenever issues arise. Senior management is directly involved in the review of risks identified as a top priority. Sites are audited regularly based on a Group HSSE audit program, as well as at divisional levels, including audits to contractors. Inspections and site visits are performed on a regular basis by operational HSSE organization, focus areas for 2021 being compliance to the Permit to Work requirements, correctness of the Job Safety Analysis, topics discussed during our Toolbox Talk.

We train

The training process is defined in the Group Standard “HSSE Awareness and Competencies” (the revised regulation being issued in November 2021). In the new standard, the HSSE requirements, including safety, are defined for different categories of employees. The training matrices at divisional levels are in the development phase, training being delivered based on the operational needs, and all staff is required to be familiar with the HSSE Policy, internal HSSE regulations and relevant legislation. OMV Petrom employees at all levels are regularly trained on their roles and responsibilities. Important topics of our trainings and dialogues are the safety alerts and lessons learned. The process regulating the issuing of safety alerts and lessons learned is part of our Reporting, Investigation and Classification of Incidents Standard.

Focus on Contractors Safety: The safety of our contractors is just as important as the safety of our own employees. For this reason, we have established processes that require contractors to work according to our standards. Our Contractor HSSE Management Process begins when we issue the scope of work with information about HSSE requirements and the HSSE Key Performance Indicators (KPIs), continues through the tender stage with the HSSE evaluation and capability audit, if needed. Before work begins at the site, we reinforce our expectations and requirements during kick-off meetings, HSSE induction, site specific trainings, and other joint meetings. We monitor our working contractors by way of audits (39 in 2021), inspections, joint HSSE or safety walks, service quality meetings, forums, and workshops. We revised our Group Standard “Contractor HSSE Management” in 2021, and these training sessions will continue in 2022.

All our employees and contractors receive regular safety training on-site, as well as our visitors.

We plan

In the HSSE Plan 2022, we have defined the safety focus areas as well as the main activities and goals. Those were cascaded to the operational sites and together we established the steps for achieving our targets. In 2022, our safety focus areas are:

  • Contractors Management
  • Process Safety
  • Safety Culture
Our key actions on occupational safety

Our Safety Culture

During 2021, we continued to consolidate the driving change phase of the Safety Culture program at operational sites level through the defined specific activities: quarterly local safety committees (management teams meetings for discussing the safety performance, safety programs development, safety issues, etc.) and working groups (local employees from various disciplines assigned to improve a safety topic/area). Examples of working groups topics include: slips, trips, falls, work permit, stop work, pressure tests, risks assessment, work conditions improvement. 

We focused our efforts towards bringing safety closer to the hearts and minds of our colleagues by having an open dialogue during HSSE walk-around and safety walks, which promotes understanding of the challenges in the operating fields and increases trust between the workforce and management. To check our progress, a third-party assessment was performed, and the results showed an evolution of our organization in comparison with the previous assessment in 2018. The assessment recommendations were included in mid-term action plans, which will be implemented in the next few years.

 

All employees and contractors were encouraged to bring to the attention of line management unsafe conditions and behaviors. In 2021 we continued already well anchored practices for good safety behavior acknowledgement like the “Report of the Month”, used to raise improvement opportunities and bigger events during Safety Day, where our Board Members are recognizing and rewarding good practices and results, such as: The best performance in safety, The best demonstration of safety leadership, Reporting & Sharing Lessons Learned, The best Process Safety project, The best & most valuable safety initiative. Moreover, kicking this off at the very end of 2020, we introduced the Procedure HSSE Motivational Management, aiming to harmonize and formalize the process of recognition, rewarding and consequences management throughout the entire company.

Contractors Management

We conducted an internal audit on contractor management with a focus on the existing processes for managing the activity of subcontractors. The audit included also the HSSE aspects of these activities and involved a big group of employees who have important roles in managing HSSE during a contract lifecycle, like Contract Owners, Contract Holders, Procurement and HSSE representatives. The improvement opportunities identified during the audit supported the decision to start a new project, which is stirred by OMV Procurement and involves representatives from the two divisions of OMV Petrom, technicians and HSSE as well. The action plan resulted from the initial analysis will start the implementation in 2022, with OMV Petrom as pilot.

Our Head Quarter Projects included:

  • HSSE Passport – through HSSE training for contractors and the „Archibus On Site Control” application we ensure that contractors working in Petrom locations received basic safety awareness training and they are qualified for the job, verified via a unique identification card: over 6500 Upstream and Downstream-Petrobrazi contractors held cards in 2021
  • HSSE Review together with Upstream HSSE – Quarterly analysis of HSSE performance of contractors on site and discussions about results during the Local Safety Committees and Contract Holder – HSSE Forum in Upstream (New in 2021). Two forums were organized, and the initiative will be extended in 2022 to Downstream, by involving divisional representatives in the analysis and experience sharing
  • HSSE File has been developed to define and test an IT application registering and connecting the sources of HSSE info during a contract lifecycle. The aim is to provide a permanent information source about the HSSE activity during a contract and to create in parallel a HSSE profile of the contractor and sub-contractors involved.

Our projects at operational level included:

  • Dedicated “Stewards” for contractor’s monitoring, in Petrobrazi Refinery Falck (firefighting) contractor supported the observation of other contractors’ activity on site, reports, failures and wrong HSSE behavior
  • In 2021, we started a project to improve the visibility of the Filling Station employees. All filling stations forecourt employees are to be equipped with high visibility vests (antistatic), all FS partners and as well to contractors were subject of awareness raising campaign regarding the importance of using the correct LPG personal protective equipment
  • The Self-unloading project (the driver unloads himself the fuel) was continued in 2021, being implemented in 191 Filling Stations.

In our Non-Operated Assets:

  • Safety campaigns were conducted in 2021 to address the gaps identified during the Third-Party Audits and internal needs, with topics as: Lifting operations; Preventing shortcuts; Leadership and commitment; Environmental aspects awareness and incidents reporting; LOTO-extended isolation. Actions were implemented to reduce the H2S concertation in the flow stream
  • Hazard Hunt campaign was organized in Workover & Drilling sites (rigs, WO installations), aiming at identification of hazards and assessment of the risks and their reporting process, with the involvement of employees. In addition, training and supervision were performed on sites to increase awareness of employees and contractors on how to react in case of an emergency.

 

For strengthening our collaboration with Contractors, services quality meetings were organized, during those the safety performance was analyzed, and opportunities for improvement established.

Transportation

In the field of Road Safety, important steps were taken in 2021 to maintain and strengthen our internal road safety tools. We updated our Internal Framework, – including a review and roll out of the IVMS Standard in accordance with the latest organizational change, GDPR requirements, and introduction of COVID 19 measures with focus on personnel transport.

Our Enhanced IVMS solution covers:

  • Roll out over the entire OMV Petrom fleet
  • Training of all roles (IVMS coordinators, HSSE) on new platform Dynamics & GDPR
  • Additional features available in the IVMS reports (incl. seatbelt misconduct recognition, Mobile IOS/Android app’s available, performance quick Dashboards) for all solution users

In Downstream Oil, Logistic area upgraded the HSSE contractual annex with ambitious road safety best practice requirements for fuel transport contractors, which was based on findings and recommendations from previous audits and incident investigations.

 

We also established at Corporate level a cross divisional Transportation Safety Task Force with a primary goal to assess and align our Road Safety expectations, then further roll out in a consistent approach for all high risk-high impact transportation contracts in line with our internal policy and industry best practice IOGP, starting in 2022.

Audits of all transport contractors and subcontractors from Workover & Drilling Business Unit were performed in order to verify how the OMV Petrom rules and regulations are implemented in their management system.

Other projects:

JSA library – our Job Safety Analysis (JSA) is the main component of the Permit to Work Procedure and it is used as a technique that focuses on job phases identifying hazards and risks associated to the work to be performed. The generic JSA library is a solution that enables the job Performer (employee or contractor) to easily and quickly access an electronic library with information in templates accessible using laptops, tablets or smart phones either in the offices or on the working sites.

As we mentioned above, training sessions were delivered based on our operational needs:

  • Webinars organized for persons with roles and responsibilities (employees and contractors) in Upstream as required by the “Permit to Work” process (23 sessions, 300 participants)
  • E-learning on “Hazards Associated to H2S” for Upstream frontline staff, on “Dropped Objects” for Upstream and Downstream frontline staff, on “Slips, trips, falls” for OMV Petrom employees, white collar and blue collar, Motivational Management and cross divisional workshops for Motivational Management (663 participants completed the e-learning and 205 people attended the workshops);
  • Training for Contract Holders, Procurement, HSSE and employees involved in management of HSSE in contracts”: “Contractor (HSSE) management within the Source-to-contract process – trainings done together with Procurement (99 participants);

The above trainings were provided in addition to periodical legally required trainings, and included internal procedures and work instructions, alerts and lessons learned from incidents, life-saving rules.

Results (KPI, other indicators)

Unfortunately, we have not been able to sustainably eliminate all fatal incidents involving our contractors, 2 fatalities were recorded for Contractor employees

Combined Petrom Group LTIR value for YTD 2021 (0.28) is above IOGP LTIR benchmarking for 2020 (0.22)

TRIR 2021 = 0.53 (below IOGP benchmark 2020 = 0.70)

49% of our employees in all OMV Petrom Business Divisions are certified on ISO 45001

30 formal joint health and safety committees (meetings on quarterly basis) comprising management and employees representatives were organized in OMV Petrom.

4,200 employees have been trained in health and safety

Progress

Keeping employees and contractors safe is our top priority. We aim to do no harm to people and to have no leaks across our operations. We refer to this as our Zero work fatal incidents commitment. We expect everyone working for OMV Petrom company to intervene and stop work that may appear unsafe. We investigate incidents and aim to learn from them, sharing findings to improve safety performance across our industry. All company employees and contractors must meet our safety standards and requirements, which have helped us make significant progress in preventing serious incidents, including many potential fatalities, ever since they were launched in 2009. However, two fatalities occurred at contractors working on behalf of OMV Petrom in 2021, which is an increase versus previous years. We were deeply saddened by the loss of life and are determined to learn from what happened. Therefore, total number of LTIs increased by 70% vs 2020 (due to very low base effect).

Outlook

In 2022 we will continue the journey for safety culture development through a series of activities, such as:

  • Follow up on DuPont safety culture assessments by establishing action plan for OMV Petrom based on identified commonalities and specific action plans for operational sites in accordance with their needs
  • Improve open reporting culture (Launching of the project through road show and visuals; open dialogue on the topic during HSSE Walks; pilot workshops with employees/supervisors for identifying the barriers for a better reporting as well as and ways for improving the area)
  • Keep the high commitment with the good practice of safety committees’ meetings
  • Increase transparency and applicability of HSSE Motivational Management
    • Procedure optimization based on learnings of a first-year duration since publication, experience and know-how exchange from Downstream business towards Upstream business, aiming to enhance and fit working frame for Upstream contractor related approach on HSSE Motivational Management
    • further implementation verification through site observation visits
    • continue rewarding of safety related behavior during Safety Day and get deeper involvement of top and middle management for promoting HSSE motivation as a tool aiming to ease the safety culture journey towards its maturity.

For Contractor Management enhancement, the HSSE File will be populated and maintained during a contract lifecycle. Subcontractors Management will be improved in the project led by Procurement, with the participation of relevant functions from operation, aiming the identification of processes to be improved for influencing the contractors to better manage the HSSE aspects of their service suppliers that are involved in Petrom’s activity.  

Another project envisioned is the Electronic individual training booklet, to link the database of trainings performed on the online platform My Success Factors to an electronic signatures flow and access card.

We plan to improve our road safety performance in 2022 through actions established by our dedicated task force.