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Safety

f6e5a82eefd84c4d8c798edb5f8a655bThe petroleum & petrochemical industry is a high-risk industry, facing HSE challenges in every aspect of production and operation. Safety is one of the basic requirements to ensure the rapid development of our business and the health of our staff. We put safety at the top of our agenda and integrate it in our operations and the entire industry chain. We also launch the "Safety and Environmental Protection Year" campaign on a yearly basis, focusing on human-centered safety principles. 

Operational Safety

Based on the requirements specified in national laws and regulations, and according to our operational safety requirements, we have developed more than 10 management systems including Safety Prohibition, Management of Operational Safety Accidents and Management of Rewards for Reporting Risks. Five standards are issued including Grading Rules for Major Danger Sources. We have also strengthened supervision and management of safety and environmental protection performance at major fields and sectors, including well control, maintenance of oil refining units, pipeline engineering and offshore operations.

To emphasize safety management responsibility, we compiled and implemented a series of new regulations, includingManagement Procedures of Operational Safety and Environment Accountability,Risk Control Measures for Operational Safety, Guidance on HSE Responsibilities at CNPC Headquarters, and Implementation Rules for HSE Performance Reviews, etc. In 2015, we amended the Management Provisions on Operational Safety, Management Provisions on Environmental Protection, and Guidance on HSE Responsibilities at CNPC Headquarters in line with recent amendments to China’s Production Safety Law and the Environmental Protection Law. We also trained and evaluated relevant management people and employees accordingly. To ensure operational compliance, we emphasized HSE accountability, enhanced HSE inspection and acceptance management in construction projects, and took corrective measures for violations.

CNPC investigates potential risks to safety, and strengthens the control of risks at their source. Focusing on operational improvement, we established a risk control mechanism, which is composed of risk classification, full responsibility coverage, and integrated solutions. We also defined major risks, including eight safety risks and six environmental risks. We pay special attentions to the supervision of safety at key units and operations, such as marine operations. We strictly implement offshore petroleum operation licensing, license registration and job qualification certification systems, take effective safety measures to protect offshore operations from typhoons and storms, and make great efforts to remove major hidden risks such as sparks from flaring, and the accumulation of light crude components in cargo tanks. In addition, we allocated dedicated funds to identifying and correcting hidden safety risks related to pipelines intersecting with each other or subject to surface load, and facilities subject to corrosion and aging.

We upgrade the investigation and treatment of accidents without casualties to the highest-level, and establish effective channels for accident and incident reporting. Meanwhile, we review and address safety issues in relation to oil and gas pipelines. A pipeline safety supervision platform has been in place to enable the uploading and tracking of pipeline information, hazard data, corrective measures and follow-up actions.

Emergency Response

CNPC pays particular attention to forecasting, early warning, and rapid response in our emergency response system, which is distinguished by a unified leadership, but with cross-functional responsibility and coordination. To improve our emergency response system, we revise the emergency response plan for pipeline operation and organize filing and on-site review of the emergency response plans of our affiliated companies.

To boast our capacity in handling various kinds of emergency response force supported by five bases specialized in firefighting, hazardous chemicals, long-distance oil/gas pipelines, and well control and offshore emergency rescue are better organized. CNPC well control emergency response center has been designated by the State Council as the Guanghan Base for oil/gas field rescue nationwide. To strengthen coordination and cooperation in oil spill response, we have established an integrated emergency response mechanism together with Sinopec and CNOOC for resource sharing and joint response in spill emergency and fire prevention, and the development and promotion of spill response technology. We also sign agreements with the maritime authorities of Hebei, Liaoning and Tianjin to implement an offshore emergency rescue coordination mechanism.

In 2013, in Chad, we immediately initiated the emergency response system after a mud pit pollution accident, and cleaned up residual oil and restored the ecological environment at the well site. We also hired a professional environmental protection company to continuously monitor well-site soil and ground water. In the meantime, we looked into the management process and responsibility implementation, and amended our environmental protection regulations according to Chad’s laws and international standards, in order to avoid the reoccurrence of similar environmental pollution accidents.

In 2015, our emergency response system was improved and three professional rescue centers were completed for well control, pipelines, and offshore operations respectively. We formulated the Measures on Work Safety Emergency Management and Five Rules on Strengthening Emergency Response, revised the Emergency Response Plans, and launched a pilot program on the application of an emergency response card for all grassroots posts.

In 2016, the company improved its emergency plan at the headquarters level, conducted emergency drills, and strengthened emergency training. All our subsidiaries were equipped with site emergency plan and emergency card. Substantial progresses were made in regional emergency interaction and emergency materials layout.

In 2017, we urged our subsidiaries to revise their emergency plan, continued to promote the application of the site handling plan and emergency response card at the grassroots level. As a result, our emergency plan system was continuously improved. We organized the desktop maneuver of "emergency disasters in Myanmar-China Pipeline Project (Chinese Section)". Some of our subsidiaries including Southwest Pipeline and Yunnan Petrochemical carried out emergency drills. We promoted the building of the national base for hazardous chemicals emergency rescue and training. The construction of the emergency response center and the establishment of locations for supplying emergency materials and equipment for oil-spill were in orderly progress, and our capacity of emergency response and rescue was further enhanced.

Hazardous Chemicals Management

We implement unified management over the production, operation, packaging, storage, transportation, use and disposal of hazardous chemicals. In response to the explosion accident in Tianjin at the hazardous goods warehouse of Ruihai Logistics Company on August 12, 2015, we actively participated in the emergency rescue and cleanup of hazardous chemicals, and drew lessons from the accident. We conducted work safety inspection and targeted rectification of hazardous chemicals and inflammables and explosives, in order to timely rectify and screen out problems and hidden risks.

In 2017, we carried out a comprehensive survey on basic information on hazardous chemicals and established an information platform on hazardous chemical safety supervision. We issued the Implementation Plan for Comprehensive Management of Hazardous Chemical Safety , established and improved hazardous chemicals management systems, organized centralized training for key personnel in charge of hazardous chemicals enterprises, and operated the information platform for comprehensive regulation of hazardous chemicals, so as to keep improving our safety management of hazardous chemicals.

Supply Chain Safety

We incorporate suppliers and contractors into our safety management system and conduct whole-process management on their entry, selection, training, application, evaluation and assessment, in order to prevent and reduce accidents caused by suppliers and contractors.

supplychain

Contractors are our partners in our production and operation activities. We attach great importance to their safety, and have incorporated contractors' safety into our HSE management system, based on the principle that “the bidding party is in charge of supervision, and the employer takes the responsibility". These help us to ensure personnel safety of our overseas staff and safe operations of our domestic and overseas businesses. We work to bring HSE management of contractors into the HSE management system and increase safety training for contractors as well as communication and coordination to raise their safety awareness and management expertise.

Road Traffic Safety

We strengthen the traffic safety system construction and continued to promote the formulation of the vehicle management system which integrates monitoring, control and scheduling functions. The system has been implemented at 12 subsidiaries including Liaohe Oilfield Company and CNPC Transportation Company, which enable us to implement dynamic real-time vehicle safety management and control, and thus effectively prevented major traffic accidents.

Overseas Security

Personnel safety has always been an overriding priority in our overseas operations. We steadily promote social security management systems, continuously enhance emergency response capabilities, and eliminate security-related fatal incidents.

CNPC places a high premium on the HSE management of overseas projects and the building of overseas emergency rescue and anti-terror systems. We have strengthened our risk assessment of production safety, and established and improved an early warning mechanism.

On February 21, 2011, the situation in Libya deteriorated badly. In response, we launched our emergency response plan immediately. Thanks to our prompt decisions and careful organization, 392 employees in Libya were gathered and evacuated smoothly within six days. At the same time, we took the initiative to help 146 employees from Chinese companies and overseas Chinese to evacuate from Libya. In 2015, we effectively responded to the impact of threats including the Civil War in South Sudan, the “Boko Haram” threat in Niger, and terrorists in Afghanistan, and contributed to the improvement of the overseas security management level.

In 2017, we kept improving security management system to increase its relevance, practicality and operability, strengthened supervision and inspection of the security management system's operational efficiency, and conducted security management system review of overseas projects, and continuously strengthened anti-terrorism security training for overseas employees to improve their emergency response capabilities. More than 17,000 employees were trained at 281 training sessions in 2017. There were no fatalities in our overseas projects concerning social security throughout the year.