The life and health of each employee of Gazprom is an overriding priority for the Company. Activities aimed at ensuring safe labour conditions, protecting lives and health of employees, elimination or mitigation of fire, emergencies and accident risks at hazardous production facilities, establishing the process safety culture and improvement of the process safety management structure is based upon the Integrated System of Process Safety Management at PJSC Gazprom (hereinafter — the ISPSM).
In order to ensure the uniform approaches to occupational safety, industrial and fire safety across all Gazprom Group entities, PJSC Gazprom’s Occupational, Industrial and Fire Safety Policy was approved. It sets forth the key goals of the Company:
- Establish safe labour conditions and protect lives and health of the employees;
- Mitigate the risk of accidents and incidents at hazardous production facilities;
- Ensure fire safety.
The ISPSM establishes the uniform procedure for arranging the works in order to ensure healthy and safe labour conditions. The organizational perimeter(1) of the ISPSM (hereinafter — the ISPSM’s Perimeter) is PJSC Gazprom, its main gas exploration, production, processing, transportation and underground storage subsidiaries, as well as the subsidiaries enabling operation of the UGSS of Russia. The total headcount of the companies included in the ISPSM’s Perimeter is about 319,000 people.
(1) The list of the companies within the ISPSM’s Perimeter is provided in Appendix.
PJSC Gazprom established the following occupational, industrial and fire safety targets for 2018:
- Protect lives and health of the employees of PJSC Gazprom and its subsidiaries (gas segment);
- Improve efficiency of the operational control of compliance with occupational and industrial safety requirements;
- Reduce workplace mortality due to cardio-vascular diseases;
- Ensure safe operation of hazardous production facilities;
- Ensure compliance with the fire safety requirements at the facilities of PJSC Gazprom and subsidiaries (gas segment).
Occupational, industrial and fire safety objectives were achieved at 106 subsidiaries, 6 subsidiaries failed to do that. At companies that failed to achieve occupational, industrial and fire safety objectives, the incentive variable part of the remuneration was introduced. It is governed by the Methodology for Assessing Delivery of Occupational, Industrial and Fire Safety Objectives at PJSC Gazprom Subsidiaries and Entities approved by PJSC Gazprom Executive Order No. 196 dated April 23, 2018.
PJSC Gazprom developed and implemented the programs aimed at achieving the set objectives. All subsidiaries carry out the programs aimed at improving the labour conditions and the action plans to ensure industrial safety at hazardous industrial facilities (HIF).
Gazprom Energoholding companies defined their occupational safety targets for 2018. Their progress and efficiency of the activities implemented were monitored on a quarterly basis; the Reliability Committees of the Boards of Directors of such companies reviewed and evaluated the activities aimed at reducing the injury rates and establishing safe labour conditions. The key targets achieved are zero fatalities during the reporting year, as well as 3% reduction of the serious injury rate vs the previous reporting year.
Gazprom Neftekhim Salavat set the following occupational safety targets in 2018:
- zero employee fatalities due to injuries,
- no breaches identified by the state supervisory bodies that were not identified previously in course of multi-tier control,
- 5% reduction of workplace mortality due to cardio-vascular diseases.
All stated targets were achieved.
In order to improve the Integrated System of Process Safety Management, PJSC Gazprom Industrial Safety Management System Development Strategy until 2020 has been developed and is currently implemented. Pursuant to the Strategy, the following priority development areas are implemented:
- Commitment and leadership;
- Staff motivation;
- Safety communications development;
- Incidents and micro injuries investigation;
- Occupational and industrial safety risks management.
In accordance with the Strategy:
- The Schedule of ISO 45001:2018 International Standard Requirements Implementation at PJSC Gazprom was developed;
- The PJSC Gazprom’s Program for the Development of Leadership Skills of Executives in Process Safety was drafted;
- Practical workshops were held for the Company executives as related to leadership in process safety;
- The Company is engaged in international cooperation with foreign oil and gas companies aimed at sharing process safety practices and process safety management systems improvement;
- Recommendations on engaging PJSC Gazprom employees in establishing healthy and safe labour conditions were developed;
- Corporate requirements to visual information (Gazprom Organization STO Standard 18000.2-007-2018 PJSC Gazprom Uniform Occupational and Industrial Safety Management System. Procedure for Using Safety Signage and other Visuals on Hazards at PJSC Gazprom Facilities) were established;
- The Company worked on improving the corporate control of compliance with the process safety requirements at PJSC Gazprom facilities;
- Internal assurance of pre-design and design documents was performed to establish compliance with PJSC Gazprom process safety requirements.
In 2014, the Integrated System of Process Safety Management of PJSC Gazprom was certified as compliant with requirements of the OHSAS 18001:2007 international standard. In 2018, Certification Association Russian Register (International Certification Network, IQNet) performed the Integrated System of Process Safety Management compliance audit in accordance with that standard. The certification scope covered natural gas, gas condensate and crude oil production, treatment, transportation, processing, distribution and storage.
The list of entities with their Integrated System of Process Safety Management certified is expanding annually. As of December 31, 2018, PJSC Gazprom Administration and 56 subsidiaries were certified.
Information on certification of the process safety management system at PJSC Gazprom subsidiaries by lines of business is provided in Appendix
Since 2016, the Gazprom Group is switching from OHSAS 18001 standard to ISO 45001 international standard. OHSAS 18001 Compliance Certificates will also be effective till the end of the transition period. The management system shall be re-certified in Q4 2020.
An important component of the Gazprom Group's industrial safety system development is efficient corporate control of compliance with the legal industrial safety requirements at the Gazprom Group based upon implementation of the modern organizational approaches and information technologies.
The corporate control is based upon the professional accountability principles stipulating direct liability of the persons performing corporate control for completeness, accuracy and timeliness of performing the planned control activities.
Gazprom corporate control is in compliance with the established requirements of the effective legislation of the Russian Federation as related to industrial safety and the local regulations of the Company, which is evidenced by the declining dynamics of the number of incidents at Gazprom facilities and is in line with the Integrated System of Process Safety Management continuous improvement requirements aimed at improving the process safety performance.
Gazprom Neft operates a vertically integrated industrial and environmental safety, occupational safety and civil defence management system developed in accordance with the ISO 14001, ISO 9001 international standards’ requirements. PJSC Gazprom Neft activities are structured in accordance with the corporateIndustrial, Fire, Transport, Environmental Safety, Occupational Health, and Civil Defense Policy, and are coordinated at the Corporate Center level by the Process Safety Department. The Industrial, Occupational and Environmental Safety Council was established at Gazprom Neft Group.
At Gazprom Energoholding, occupational and industrial safety management is in compliance with the requirement of the Russian legislation and effective regulations. The general directors of the generating and heat supplying assets are responsible for compliance with such requirements, and activities are coordinated by the Chief Engineers of the companies and branches — power plants. Gazprom Energoholding occupational and industrial safety management system was developed and implemented in accordance with the requirements of OHSAS 18001:2007 standard.
At Gazprom Neftekhim Salavat, the Deputy Director General — Chief Engineer is in charge of the general management of occupational, industrial and fire safety system operation. Methodological guidelines are provided by the Environmental and Occupational Safety Department.
Occupational safety matters are covered by the Occupational Health section of the General Collective Agreement of PJSC Gazprom and its subsidiaries. The key occupational safety aspects formalized in the collective agreements are:
- Notification of the employees of the outcomes of the special assessment of the labour conditions and operations control, the existing health risk, activities carried out in order to improve labour conditions, benefits and compensations for work with harmful and/ or hazardous production factors;
- Regular control of the labour conditions and occupational safety status;
- Ensuring timely issue of protective clothing, protective footwear and other personal and collective protective equipment to the employees based on the outcomes of the special assessment of labour conditions carried out in compliance with the procedure stipulated in the effective legislation;
- Ensuring timely issue of detergents and decontaminants;
- Ensuring timely mandatory initial and regular medical check-ups (examinations) at the expense of the employer and in compliance with the effective regulations of the Russian Federation;
- Formalization of the benefits and guarantees in case of health damage and disability.
Gazprom Trade Union work inspectors and public labour inspectors (6,108 inspectors) control compliance with the labour legislation and other regulations containing labour law provisions, discharge of the collective agreements and labour protection agreements. Work Safety Protection Committees (Commissions) were established at all Gazprom Group entities operating in accordance with the legislation of the Russian Federation, pursuant to Article 218 of the RF Labour Code. Representatives of the employer and the elected body of the primary trade union organization are included in them on a parity basis.
Occupational health and safety committees and commissions are established at Gazprom Energoholding group companies. They function both at the companies’ level and at the level of branches and organizational units (power plants). The chairman of the occupational health and safety committee at Gazprom Energoholding group companies is the chief engineer of the company, and at the branch level the occupational health and safety commissions are chaired by the director or the chief engineer of the branch. The activities of occupational health and safety committees (commissions) are governed by the approved Regulation on the Occupational health and safety Committee (Commission). Representatives of the employer and the elective body of the primary trade union organization or another body representing the workers are included in the committee (commission)(1).
At Gazprom Neftekhim Salavat, the official joint labour protection commission (the Health and Safety Committee) was established; it consists of the representatives of the management and the employees who are represented by the public labour inspectors and representatives of the trade union committees. Therefore, 100% employees are represented at that Committee.
(1) The regulations on occupational health and safety committees (commissions) were enacted by the following by-laws of the companies:
— PJSC Mosenergo Executive Order No. 139 dated May 06, 2015;
— PJSC TGC-1 Executive Order No. 131 dated September 15, 2014;
— PJSC MOEK Executive Order No. П-280/18 dated August 23, 2018.
At PJSC OGK-2, the commissions were established at the branch (power plant) level.
PJSC Gazprom systemic work aimed at creating safe labour conditions resulted in a lower number of incidents, injuries and occupational diseased at the companies included in the ISPSM’s Perimeter.
Over 10 years, the number of injured at production sites became 2.6 times lower (in 2009, there were 230 people injured), the number of fatalities became 8 times lower (in 2009, there were 24 fatalities).
In 2018, there were 89 people injured at the companies included in the ISPSM’s Perimeter, including 3 fatalities.
Traffic accidents (47% of the total number of injured) and falls on the same-level surface (34% of the total number of injured) became the key injury risks.
Gazprom took steps to mitigate those risks: a set of activities was defined in order to reduce the number of traffic accidents (traffic safety requirements were established for the contractor organizations, all stages of control were regulated — from planning the trips, approving the vehicles for the trips, vehicles speed and drivers’ work and rest time monitoring to returning the vehicles to the parking space).
|Companies included in the Integrated System of Process Safety Management Perimeter|
|Gazprom Neft Group|
|Gazprom Neftekhim Salavat|
Information on the number of injuries and fatalities broken down by gender and by regions is provided in Appendix
The special labour conditions assessment (SLCA) is carried out at the companies included in the Integrated System of Process Safety Management Perimeter in accordance with the schedules updated annually. Based on its outcomes, the labour conditions classes are established, and activities aimed at the employees’ labour conditions improvement are developed and implemented.
In 2018, SLCA covered 33,885 workplaces.
In 2013 — 2019, the number of workplaces with harmful and hazardous labour conditions declined from 38.0% to 14.3% due to implementation of the activities aimed at labour conditions improvement at the companies included in the Integrated System of Process Safety Management Perimeter.
The key occupational risks, as related to occupational hazards affecting the employees, remain vibroacoustic factors (noise, vibration) and hardworking process.
In order to improve the labour conditions and make them healthier, the companies included in the Integrated System of Process Safety Management Perimeter carried out 6,000 activities in 2018 for the total amount of RUB 510 million, and labour conditions were improved for 12,300 employees.
In order to reduce the content of harmful substances in the working areas air, the companies included in the Integrated System of Process Safety Management Perimeter continued the following activities:
- Repair of the buildings and constructions at the production facilities;
- Procurement, installation and repair of the ventilation equipment;
- Maintenance of ventilation equipment and dust and gas collectors;
- Procurement and maintenance of the personal warning devices detecting hazardous and harmful chemicals, etc.
The following activities were carried out in order to eliminate noise:
- Equipment upgrading, including installation of pressure snubbers in the pressure control units;
- Applying noise-proof coating in the area of the safety relief valves beyond the pressure control units;
- Equipment repair and upgrading at GCUs.
|Number of workplaces, units||20,794||10,362||759||25||0|
|Number of employees, persons||42,151||27,546||2,460||53||0|
At Gazprom Neft Group, the SLCA identified 5,200 workplaces referred to Hazard Class 3 and 40 workplaces referred to Hazard Class 4. At those workplaces, there are harmful and hazardous factors affecting the injury rates and the occupational diseases risk. In 2018, over 380 activities were implemented and as a result 82 workplaces were referred to a safer class. Labour conditions were improved for 254 employees.
At Gazprom Energoholding, 5,332 workplaces with harmful labour conditions were identified in 2018 with 13,907 employees working there. Due to the annual activities aimed at labour conditions improvement, there are no workplaces with hazardous labour conditions at Gazprom Energoholding, and the number of workplaces with harmful labour conditions declines steadily. The key occupational hazards are noise and microclimate at the production facilities.
At Gazprom Neftekhim Salavat, SLCA was carried out in 2018 at all newly created workplaces.
|Acceptable labour conditions, Class 2.0||4,967||275||104|
|Harmful labour conditions, Class 3.1||452||21||4|
|Harmful labour conditions, Class 3.2||164||41||70|
Proceeding from the SLCA outcomes, the commission developed the Lists of Recommendations for Labour Conditions Improvement and the appropriate activities are carried out in a timely manner.
Reduction of the number of accidents and incidents at the HIFs is one of the key Gazprom commitments as related to industrial safety.
Over the past 5 years, the number of accidents and incidents at the hazardous industrial facilities declined at the companies included in the organizational perimeter of the Integrated System of Process Safety Management (Gazprom Group gas business) from 56 in 2014 to 16 in 2018. No injuries resulting from accidents and incidents at the HIFs were registered in 2018.
The Gazprom Group carries out the following activities in order to contain and eliminate the consequences of accidents at the HIFs:
- Own emergency rescue services (teams), as well as volunteer emergency rescue teams are established and operated;
- Contracts are concluded with professional accident rescue services or professional emergencyresponse teams to provide services (perform the works) to ensure well blowout, gas, fire, industrial and occupational safety and to perform scheduled gas hazardous works and repair and maintenance works;
- Engineering systems for control and prevention of potential accidents, and alert, monitoring and communication systems are set up;
- Standards for emergency materials and equipment stock are developed and implemented, financial provisions are created for containing and eliminating the consequences of accidents;
- Training facilities are set up and upgraded in order to train employees to respond to emergencies, in particular, using modern technical training aids, and to practice the relevant skills (computer simulators, training areas).
Information on the Gazprom Group's occupational and industrial safety expenses is provided in Appendix
In 2018, 1,069 technogenic events (1 accident and 1,068 incidents) occurred at Gazprom Neft HIFs.
Programs aimed at industrial safety, labour conditions and employees’ health protection are carried out at Gazprom Neft.
During the reporting year, 99 technogenic events (0 accidents and 99 incidents) occurred at Gazprom Energoholding HIFs.
In 2018, no accidents were permitted, and 9 incidents were registered at Gazprom Neftekhim Salavat facilities.
In 2018, PJSC Gazprom fire safety activities covered the following:
- Fire safety system improvement in accordance with the requirements set forth in clause 5 of Federal Law No. 123-FZ dated July 22, 2008 Technical Regulations for Fire Safety Requirements;
- Development and implementation of the activities aimed at reducing the number of fires and accidents at PJSC Gazprom facilities;
- Improvement of activities of the emergency rescue services and fire departments protecting PJSC Gazprom facilities against fires;
- Ensuring fire safety of PJSC Gazprom facilities located at forestry lands and in the areas adjacent to forests in accordance with the Fire Prevention Rules of the Russian Federation and the Rules of Fire Safety in Forests.
Activities of the emergency rescue services, and fire departments are organized at PJSC Gazprom facilities in compliance with industrial and fire safety requirements. Their activities are improved continuously by the Standardization Technical Committees and Ministry for Emergency Situations (EMERCOM) of Russia task forces.
In 2018, PJSC Gazprom held 50 events in accordance with the Fire Safety Organizational and Technological Activities Plan for 2018 (RD 03-240 dated December 28, 2017). Based on their outcomes, the Fire Safety Organizational and Technological Activities Plan for 2019 (RD 03-255 dated December 27, 2018) was developed.
PJSC Gazprom participates in drafting the documents on fire safety technical regulation. The Company consistently monitors development of the new fire safety regulations and amendments of the effective fire safety regulations. Under the public hearings procedures, 93 relevant draft documents were considered over three years (2016–2018).
In January 2018, PJSC Gazprom became the member of Fire Safety Standardization Technical Committee TC 274 pursuant to Rosstandard Order No. 159 dated January 30, 2018.
Gazprom Neft held 52 fire drills in 2018. In 2018, 2 fires occurred (in 2017 — 2, in 2016 — 3, in 2015 — 4).
At Gazprom Energoholding, the activities were scheduled in accordance with Gazprom Energoholding LLC Civil Defence, Emergencies Prevention and Liquidation, and Fire Safety Plan for 2018, as well as the action plans of its companies.
Fire exercises and drills held during the reporting year:
- PJSC Mosenergo held 154 fire drills, including 15 drills held jointly with the State Fire-Fighting Service of the Ministry for Emergency Situations (EMERCOM) of Russia and using its resources.
- PJSC OGK-2 held 25 fire drills.
- PJSC MOEK held 45 drills practicing employees evacuation from the buildings in case of fire in collaboration with the emergency response services of Moscow.
Gazprom Neftekhim Salavat held 28 fire drills involving the emergency response teams, Medservice LLC, corporate security services, the Fire Safety Unit of Maintenance, Fire and Occupational Safety Department of Gazprom Neftekhim Salavat LLC. In 2018, 1,697 employees participated in the basic fire safety trainings held at specialized educational facilities. During the reporting year, 3,803 breaches were identified in course of fire safety inspections, 3,279 breaches were eliminated, and elimination of the remaining breaches is in progress. No fires were registered at Gazprom Neftekhim Salavat facilities in 2018.
Safety of Gazprom facilities operation depends to a large extent upon contractor organizations that provide services to and carry out repair and construction works on behalf of the Group.
Gazprom requires that the suppliers and contractors strictly adhere to the established occupational, industrial and fire safety standard and procedures while performing the works at Gazprom facilities. During the bidding and procurement procedures stage, the participants are checked for availability of the documents certifying their compliance with industrial and occupational safety requirements. The contractor companies that fail to meet the said criteria are not admitted to bidding and procurement procedures.
Prevention of accidents and workplace injuries is one of the key terms for collaboration with contractors. The contractor organizations are notified of and advised on the Integrated System of Process Safety Management requirements, the identified risks and changes affecting the safety during the introductory briefings, as well as when the work permits (safe work permits, clearance certificates) are issued. Representatives of the contractor organizations are invited to PJSC Gazprom meetings and workshops on implementation of the process safety policy, process safety culture improvement and the management leadership skills development.
|Gazprom subsidiaries enabling operation of the Unified Gas Supply System||Contractor organizations performing the works at the Gazprom Group's facilities|
Information on accidents at contractor organizations engaged at Gazprom Neftekhim Salavat LLC facilities is provided in Appendix
In case of the Gazprom Group gas business subsidiaries, the contractor organizations involved in production, transportation, storage and processing are mainly Gazprom gas business subsidiaries supporting operation of the gas supply and distribution system. They include, in particular, the companies performing overhauls, construction, engineering and survey activities, supplying energy resources and providing motor and railway transportation and specialized machinery and equipment.
In 2018, the Company developed and approved PJSC Gazprom Management Process Safety Leadership Skills Development Program. The purpose of the program is to promote the process safety culture and demonstrate personal commitment of the management at all levels to achieving the goals of PJSC Gazprom Occupational, Industrial and Fire Safety Policy.
Gazprom Neft continued implementation of the 3-year special-purpose process safety educational program. Over 29,000 Gazprom Neft employees and over 13,000 employees of the contractor organizations participated in the trainings.
Gazprom Energoholding implements the Safe Operations Culture Project aimed at improving the performance of the occupational safety management system as related to organization of continuous monitoring and identifying the risks arising in course of operations, establishing safe labour conditions and building employees’ awareness of workplace safety matters. Employees participate in trainings in accordance with Gazprom Energoholding proprietary Energy of Safety program and in Job-Order / Permit-to-Work System trainings.
No special-purpose projects or educational programs are carried out by Gazprom Neftekhim Salavat.
The Company subsidiaries are acclaimed at the national level for their strong occupational safety performance. In 2018, 10 of them received diplomas and awards of the Ministry of Energy of the Russian Federation in different nominations of the contest for the best socially-oriented oil and gas company.
In addition, in the reporting year, Gazprom Transgaz Volgograd LLC was awarded the diploma as the best socially oriented oil and gas company in Personal Protective Equipment, Healthcare, Medical and Preventive Treatment Services category.