CHEVRON CANADA LIMITED CONTRACTOR HEALTH, ENVIRONMENTAL AND SAFETY CONTRACT ADDENDUM

Transcription

1 CHEVRON CANADA LIMITED CONTRACTOR HEALTH, ENVIRONMENTAL AND SAFETY CONTRACT ADDENDUM CONTRACTOR shall comply with the following Independent Contractor Health, Environmental and Safety Contract Guidelines when performing work for Chevron Canada Limited (herein after termed as COMPANY). These guidelines are to be considered as minimum standards. These guidelines are intended to supplement, not replace, CONTRACTOR's safety program. It is the CONTRACTOR's responsibility to develop and implement a program to assure workplace health, environmental and safety protection appropriate to the work to be performed and to ensure compliance with all applicable health, environmental and safety laws, regulations, rules and standards. By providing these guidelines, COMPANY does not make and shall not be deemed to have made any undertaking, representation or warranty whatsoever (whether express or implied) to CONTRACTOR or any other party. Except with respect to liability which cannot be excluded or restricted under applicable law, neither COMPANY nor any of its employees, officers, representatives or affiliates shall in any way be liable to CONTRACTOR or any other person in connection with these guidelines or their implementation (including, under or in connection with any procedure, plan, analysis or document agreed to or required to be agreed to between COMPANY and CONTRACTOR or approved or required to be approved by COMPANY pursuant to these guidelines). CONTRACTOR is solely responsible for performing work in a manner which protects the health, environment and safety of people and property. These guidelines and CONTRACTOR'S compliance with these guidelines shall not alter CONTRACTOR'S status as an independent CONTRACTOR and shall not prejudice or diminish in any way CONTRACTOR'S liability and indemnity under the Agreement or otherwise. CONTRACTOR agrees that COMPANY does not have any obligation to monitor or enforce CONTRACTOR s performance of any health, environmental or safety guideline or requirement Responsibility for Compliance 1.01 CONTRACTOR shall communicate these guidelines, as well as any other health, environmental and safety requirements provided by COMPANY, to all of its employees, subcontractors, and the employees of its subcontractors. Additionally, CONTRACTOR shall ensure that all such employees and subcontractors are made aware of the content of the guidelines and any other requirements prior to beginning work. CONTRACTOR shall maintain written documentation of its fulfillment of this responsibility CONTRACTOR shall comply with all applicable health, environmental and safety laws, regulations, rules, and standards applicable to the performance of work for COMPANY and any other requirements specified by COMPANY in connection with the performance of work for COMPANY CONTRACTOR shall also require its subcontractors to comply with such health, environmental and safety laws, rules, regulations and standards applicable to the performance of work for COMPANY and any other requirements specified by COMPANY in connection with the work for COMPANY. CONTRACTOR shall be responsible for ensuring such compliance by its subcontractors Prior to the commencement of any work activity, CONTRACTOR shall provide COMPANY with the names of its qualified representative(s) and those of its subcontractors who will be responsible for health, environmental and safety protection at the job site(s) CONTRACTOR shall have in place a comprehensive Health, Environmental and Safety (HES) program with a strong focus on continuous performance improvement. At any time and from time to time, COMPANY may require CONTRACTOR to furnish COMPANY with a copy of CONTRACTOR s HES program together with complete details concerning the implementation of such program. COMPANY shall have the right to verify CONTRACTOR s HES program. The guidelines herein are intended to supplement, not replace, CONTRACTOR s HES program, for which CONTRACTOR remains responsible Health, Environmental and Safety Protection 2.01 Prior to the performance of work on property owned or occupied by COMPANY or otherwise leased or licensed by COMPANY from any third party ( COMPANY property ) or which involves COMPANY employees or Joint Ventures where the COMPANY is in operational control, COMPANY will inform CONTRACTOR if a project-specific health, environmental and safety plan ( HES Plan ) is required, the scope of the HES Plan, and the required submission date to COMPANY If required by COMPANY, CONTRACTOR shall submit a HES Plan to COMPANY for review. The Plan shall describe the health, environmental and safety issues and risks

2 associated with the work, and CONTRACTOR's and its subcontractors' safety and environmental programs in place to address these issues CONTRACTOR's HES Plan shall be based on, and comply with, applicable laws, regulations, rules and standards, relevant COMPANY policy and operating procedures, and relevant industry best practices Prior to starting work, if requested by COMPANY, CONTRACTOR s on-site manager shall participate in a safety and environmental protection orientation with a designated COMPANY representative Prior to starting work, a COMPANY representative may (but COMPANY is under no obligation to, except as is required in 2.06) review CONTRACTOR's HES Plan and either accept it, or return it to CONTRACTOR with notice of deficiencies If an HES Plan is required by COMPANY, CONTRACTOR shall not start work without an HES Plan that has been accepted by COMPANY Prior to starting work that is characterized by the HES Plan as medium or high risk, CONTRACTOR must develop a Job Loss Analysis (JLA) or an equivalent for the job. The equivalent of a JLA that may already be used by a CONTRACTOR includes (but is not limited to) a Job Safety Analysis (JSA), Job Hazards Analysis, or a Job Task Analysis. The JLA (or its equivalent) must always be made site specific capturing the additional potential hazards which are specific to that particular site and job. Development of the JLA (or its equivalent) includes the following (i) careful study and recording of each step of a job, (ii) identify existing and/or potential equipment, environmental, or action-generated job hazards, and (iii) determine the best way to perform the job to reduce or eliminate hazards. The completed site specific JLA (or its equivalent) developed by the Contractor or subcontractor must be reviewed and if approved shall be signed and dated by the responsible representative of the CONTRACTOR or subcontractor. The contents of the JLA (or its equivalent) shall be communicated to and fully understood by all persons who will participate in the performance of the work. CONTRACTOR shall, upon COMPANY request, furnish COMPANY with a copy of each JLA (or its equivalent) and documentation showing that the JLA (or its equivalent) has been communicated to and fully understood by all workers CONTRACTOR shall have in place a Behavioral Based Safety program and/or fully participate in any Behavioral Based Safety Process that is in place at a COMPANY owned or COMPANY operated facility [ e.g. LPS (Loss Prevention System)] Entrance to Property 3.01 COMPANY will advise CONTRACTOR of any security requirements related to travel to COMPANY facilities and to performing work on COMPANY premises. CONTRACTOR and its subcontractors shall comply with all security requirements CONTRACTOR and its subcontractors shall ensure that only those persons having authorized business in connection with the Contract are allowed on the work site Traffic and Vehicles 4.01 All CONTRACTOR and subcontractor traffic on COMPANY property shall observe the posted speed limit, or if not posted, a safe speed in light of existing conditions and shall follow any other safe driving practices as may be established by COMPANY CONTRACTOR and its subcontractors shall ensure that all vehicles, cranes and rigging, vessels, and equipment they provide are maintained in safe operating condition and that operators are properly qualified, licensed and/or certified CONTRACTOR and subcontractor-provided vehicles shall be equipped with appropriate seat belts for driver and passengers. CONTRACTOR and its subcontractors shall ensure that vehicle seat belts are always used CONTRACTOR and subcontractors shall not use a cell phone, whether hand-held or hands-free, while driving or operating heavy equipment. In addition, CONTRACTORS and subcontractors are discouraged from and to the maximum extent possible shall avoid, engaging in other forms of "multi-tasking" such as the use of two-way radios and pagers, eating, or taking notes while operating a motor vehicle. This policy applies when on COMPANY property or when using a COMPANY-owned or leased vehicle, rental vehicle, or CONTRACTOR or personal vehicle or while engaged in the operation of heavy equipment while performing the work Smoking 5.01 Smoking is permissible only in designated areas. Smoking is prohibited in all areas containing crude oil or fuel storage, gas processing and compression equipment, and separation or treating equipment COMPANY shall have the right to order persons observed smoking in unauthorized areas to cease smoking, or to leave such area Smoking is prohibited in COMPANY-provided aircraft Matches and Lighters

3 "Strike anywhere" matches and plastic disposable lighters shall not be carried or used in areas designated as hazardous. Safety matches are preferred, but facility or work site rules shall apply and control in case of conflict Work Permits 7.01 If the CONTRACTOR or its subcontractors perform any non-routine work at a Chevron Owned or operated facility they must have the relevant work permit form or forms (e.g. General Work Permit, Hot Work Form or Confined Space Entry Form ) issued by an authorized Permit Issuer who has been approved by the COMPANY. CONTRACTOR and its subcontractors shall have in place and follow a written work permitting process, or in the case of those COMPANY facilities that have their own work permit process in place the CONTRACTOR and subcontractors shall follow the COMPANY facility s work permit process which shall cover permit requirements for general work, and or hot work, and or confined space entry. The CONTRACTOR and or its subcontractors shall determine the type of work permit or work permit forms required for the requested job tasks and shall make a request for the necessary work permit or permits to the relevant authorized Permit Issuer. The CONTRACTOR and its subcontractors employees shall obtain from the authorized Permit Issuer the necessary work permit forms required to perform the work being requested. It is the Permit Issuer s responsibility to determine if gas testing is required to be performed and if so the types of gas test required performed and recorded on the appropriate work permit or permit forms. At the minimum whenever gas testing is required the Authorized Gas Tester must test for and record on the appropriate work permit or permits the % Oxygen (O2) and % LEL (Lower Explosive Limit). Additional testing that may also be determined required by the Permit Issuer include but are not limited to testing for Carbon Monoxide, Hydrogen Sulfide (H2S), benzene, and or total hydrocarbons, 7.02 If the work requested by the CONTRACTOR and its subcontractors will involve hot work or will present an ignition source then a Hot Work Form (permit) must be completed in addition to any other work permit form or forms required by the COMPANY (e.g. a General Work Permit is often required to be issued in addition to a Hot Work Form at many COMPANY Facilities). In all cases, whenever a Hot Work Form is determined required an Authorized Gas Tester must perform gas testing (at the minimum) for % Oxygen and % LEL (Lower Explosive Limit) and the results recorded on the Hot Work Form. The % Oxygen at the point being sampled must always be at or greater than 16% in order to ensure the accuracy of the % LEL reading. A Hot Work Form (permit) shall only be issued if the gas test results indicate 0% LEL. At no time shall hot work be allowed to be performed or the hot work allowed to be continued if the % Oxygen at the point being sampled falls below 16% or should the LEL be greater than 0%. (Refer to item 8.00 Hot Work) A Confined Space Entry Form must be completed and issued if requested work will involve entry into any type of confined space as defined by the COMPANY S SWP (Safe Work Practice) Process. The Confined Space Entry Form shall be issued in addition to any other work permit form or forms required by the COMPANY for work requested to be performed inside the confined space. Before any Confined Space Entry Form (permit) can be issued gas testing must be performed by an Authorized Gas Tester and the results recorded on the Confined Space Entry Form. Gas test results must be within the Company s acceptable ranges for entry. (Refer to item concerning Confined Space) CONTRACTOR and its subcontractors shall ensure that all energy sources to a piece of equipment to be worked on are isolated (lock-out / tag-out) prior to the issuing of any type of work permit form or forms to allow work to be performed on equipment or machinery (refer to item 9.01 concerning Lock-out & Tag-out requirements) Self-permitting by Contractors shall only be allowed performed at remote COMPANY job sites (e.g. Retail/C&I remote sites) where there are no COMPANY Permit Issuers and or Gas Testers present and where it is not feasible to have such Company Employee s on site. Only CONTRACTORS who have been assessed and been certified by COMPANY that they have been determined to have the qualifications and experience to perform selfpermitting may do so at remote COMPANY job sites If certified to perform self-permitting, CONTRACTORS must provide adequate gas detection equipment to perform gas testing at remote job sites with a permit system in place. The gas detector (or detectors if work is to be performed at more than one remoter job site) must have been properly calibrated by the manufacturer. CONTRACTOR is required to conduct bump testing of its gas test instruments at the frequency specified by the COMPANY. The CONTRACTOR shall also at the minimum complete a field calibration check of their gas test instruments once per month. Results of both the bump test and field calibration are to be recorded and these records maintained by the CONTRACTOR If certified to self permit, CONTRACTOR must have an adequate number of trained Permit Issuers and Authorized Gas Testers employed to be present and adequately

4 cover permitting at all remote COMPANY sites with a permit system in place. CONTRACTOR S Permit Issuers and Authorized Gas Testers must first have accessed and approved by the COMPANY to perform their respective task before being allowed to perform permit issuing and or gas testing at any remote COMPANY job site At any COMPANY facility (e.g. Terminals, depots, etc) with a permit system in place, the CONTRACTOR and subcontractors must follow that facility s permitting process and related procedures. Self-permitting by a CONTRACTOR is not allowed at such facilities CONTRACTOR and its subcontractors shall fully comply with all appropriate safety requirements related to work at height (work at or above 2 meters (6 feet) which shall include, but is not limited to personal fall protection. Where a COMPANY S facility has in place work at height program the CONTRACTOR shall follow the COMPANY S program Before a work crew may start any permitted work the responsible CONTRACTOR S representative (e.g. normally this is the Permit Holder who signed the work permit) shall conduct a Safety Briefing with all the work crew in attendance, The items covered during the Safety Briefing shall be documented on a Safety Briefing Form which is to be signed by the attendees. This Safety Briefing Form shall be returned to the Permit Issuer with the relevant work permit for retention Hot Work 8.01 CONTRACTORS are responsible for ensuring that all hot work is performed in a safe manor and with a Hot Work Permit Form having been properly completed and issued by a COMPANY approved Permit Issuer as well as other work permit form or forms required by the COMPANY (e.g. a General Work Permit is normally required issued in addition to a Hot Work Form ) CONTRACTOR and subcontractors must have a sufficient number of trained Fire Watch personnel who fully understand their duties and responsibilities as a fire watch. CONTRACTOR shall assign no other additional duties to Fire Watch personnel Equipment Isolation (Lock-out/Tag-out) 9.01 CONTRACTOR shall have in place a written Lock-out/Tag-out Program that specifies procedures for workers to properly isolate and secure all power sources prior to performing maintenance or service on equipment. Types of power to be isolated include electrical, pneumatic, hydraulic, thermal, chemical and all forms of potential stored energy. Where a COMPANY S facility has in place a Lock-out Tag-out Program the CONTRACTOR shall follow the COMPANY S Lock-out & Tag-out Program Confined Space Contractors are responsible for ensuring that any confined space entry work is performed in a safe manner and with the appropriate work permit forms required for work inside the confined space having been completed and issued by a COMPANY approved Permit Issuer. In addition to the Confined Space Entry Form any other work permit form or forms required by the COMPANY must be completed (e.g. a General Work Permit is normally required issued in addition to the Confined Space Entry Form and if hot work is required then a Hot Work Form must also be completed as well. Under no circumstances shall the CONTRACTOR or its subcontractors allow any worker to enter into a permit-required confined space without a properly completed Confined Space Entry Form (permit) having been issued by an Authorized Permit Issuer. There must always be a trained Entry Watch present and the Confined Space Entry Form posted at the point of entry before anyone can enter into the confined space. Confined spaces include, but are not limited to, storage tanks, process vessels, mud tanks, rig cellars, and open-top spaces such as excavations, pits, etc when the depth of such open top spaces is at or greater than 1.5 Meters (5 feet). This shall include external floating roof tank when the tank s floating roof is at or greater than a depth of 1.5 meters (5 feet) In the case of storage tanks or other fully enclosed vessels the Confined Space Entry Form (permit) shall be required to be countersigned by a Permit Approver in addition to the authorized Permit Issuer s signature The CONTRACTOR shall ensure the CONTRACTOR and any subcontractor s employees required to work inside a confined space have successfully completed training on confined space entry before beginning work CONTRACTOR and its subcontractors required to perform work inside a confined space must have in place an emergency rescue plan, as well as ensuring that adequate rescue equipment and trained rescue personnel are available should an emergency rescue be required CONTRACTOR shall be responsible for ensuring that whenever confined space entry is required that an adequate number of Entry Watch are provided who are trained and fully understand the duties of an Entry Watch. CONTRACTOR shall not assign any additional duties to a person assigned as the Entry Watch of a confined space. 11:00 Pressure Testing

5 11.01 CONTRACTOR and its subcontractors shall not test pipes or pressure vessels using compressed air or gas or service fluid, except after prior approval from COMPANY Explosives and Hazardous Materials If CONTRACTOR or its subcontractors propose to use explosives in performance of the work, they shall provide COMPANY with written notification regarding the proposed use, storage and handling of such explosives prior to the start of the blasting operations, and shall ensure that the blaster is properly qualified for the type of work being done CONTRACTOR and its subcontractors shall ensure the safe and environmentally sound storage, transportation, identification, security and handling of hazardous materials used in performance of the work CONTRACTOR and its subcontractors shall maintain Material Safety Data Sheets (MSDS) for all chemicals and other hazardous materials used in performance of the work, and shall perform all work consistent with the use specifications and other information in such MSDS. MSDS sheets related to the work shall accompany chemicals and other hazardous materials and shall be accessible to CONTRACTOR and subcontractor employees at all times Fire Protection CONTRACTOR and its subcontractors shall take all reasonable precautions to prevent fires CONTRACTOR and its subcontractors shall dispose of paper, rags, trash, and other combustible materials only in safe containers CONTRACTOR and its subcontractors shall transport and store flammable liquids, such as gasoline, kerosene, and fuel oil, in industry-approved metal containers designed specifically for handling these liquids. Such flammable liquids shall be stored away from possible sources of ignition CONTRACTOR and its subcontractors shall not alter or tamper with fire protection equipment or render it inaccessible CONTRACTOR and its subcontractors shall not open or close hydrants or main water valves except after prior notice and approval of the appropriate COMPANY representative or in the case of an emergency CONTRACTOR and its subcontractors shall immediately report to designated COMPANY personnel any leak or indication of gas around piping or vessels. CONTRACTOR and its subcontractors shall assure that all "hot work" and or confined space entry work in the area ceases immediately on the discovery of the hazard and the appropriate COMPANY representative is immediately notified of the situation CONTRACTOR and its subcontractors shall use for cleaning purposes only cleaning solvents that have a high flash point (above 140 o F, or 60 o C) and are non-toxic CONTRACTOR and its subcontractors shall be responsible for the safety and fire protection training of their employees CONTRACTOR and its subcontractors shall provide their own fire protection equipment unless otherwise agreed with COMPANY in writing CONTRACTOR and its subcontractors shall shut down internal combustion engines before they are refueled, except where the refueling point is sufficiently remote from the engine to allow safe refueling In case of fire, CONTRACTOR and subcontractor personnel in the area shall immediately take all practical measures to protect the safety of all personnel and to extinguish the fire. The first priority shall be the safety of all personnel. CONTRACTOR or subcontractor shall notify the COMPANY representative of the fire as soon as possible In case of fire, CONTRACTOR and its subcontractors shall shut down all equipment and remove it from the fire location if feasible and shall clear access routes Motors, compressors, pumps, and other equipment are permitted inside tank dike areas only in accordance with COMPANY hot work permit procedures Medical Aid CONTRACTOR and its subcontractors shall provide their own first aid personnel, equipment, and supplies unless otherwise agreed by COMPANY in writing. Such first aid personnel, equipment, and supplies shall be appropriate to the nature of the work, the work environment, and the number of Contractor personnel working on the task Personal Protective Equipment (PPE) CONTRACTOR and subcontractor s employees must at all times comply with the local COMPANY facility s specific PPE requirements wherever entering the facility CONTRACTOR and subcontractor personnel on the job site shall wear appropriate personal protective equipment, including but not limited to, fall protection, steel-toed safety shoes, hard hats, safety glasses (with side shields, if required by local policy) and additional personal protective equipment (e.g. Fire Retardant Clothing, hearing protection, respiratory protection, face shields, hand protection) as may be required by the nature of the work and/or as specified by regulations or COMPANY. CONTRACTOR

6 and its subcontractors shall pay for and provide such equipment unless otherwise agreed by COMPANY in writing. CONTRACTOR and its subcontractors shall post signs specifying where personal protective equipment use is required. CONTRACTOR shall ensure their personnel are adequately trained in the use of required PPE and shall on request provide the COMPANY with the relevant training records All personal protective equipment shall be used and maintained by CONTRACTOR and its subcontractors in accordance with manufacturer recommendations CONTRACTOR shall provide appropriate fall protection rescue equipment and personnel trained in its use Housekeeping CONTRACTOR and its subcontractors shall maintain good housekeeping at all times and shall keep all working areas clean and free of obstructions. Tripping hazards shall be clearly identified and marked CONTRACTOR and its subcontractors shall keep access to all emergency exits clear at all times Incident Reporting CONTRACTOR and its subcontractors shall promptly and accurately report all on-the-job accidents/injuries/operational Illness to the proper governmental authorities, where required, and to the appropriate COMPANY representative in accordance with COMPANY s Incident Reporting requirements. CONTRACTOR shall report and document all potential hazards, unsafe conditions, and unsafe acts through a near-miss program. All near-miss reports shall be provided to the appropriate COMPANY representative CONTRACTOR and its subcontractors shall immediately report all incidents to COMPANY and confirm the report in writing within twenty-four (24) hours after the incident occurs. This includes fatalities, injuries, fires, releases of hazardous substances, motor vehicle accidents, and damages to COMPANY equipment CONTRACTOR and its subcontractors shall maintain and file required accident forms pursuant to COMPANY procedures or as required by laws, regulations, rules, standards or other legally binding policy interpretation or pronouncement of a legal jurisdiction or authority CONTRACTOR and its subcontractors shall promptly send to the appropriate COMPANY representative copies of all governmental health, environmental or safety citations against or involving CONTRACTOR or its subcontractors while performing the work CONTRACTOR and its subcontractors shall provide written summaries of all incidents affecting safety and spills to the COMPANY safety representative monthly, unless otherwise specified by COMPANY. CONTRACTOR shall have personnel trained to perform a Root Cause Analysis ( RCA ). At COMPANY s request CONTRACTOR shall commence a RCA within three (3) days after the occurrence of an incident and provide a copy to COMPANY CONTRACTOR and or its subcontractor shall participate in when and as requested in any COMPANY initiated Incident Investigation Environmental Protection CONTRACTOR and its subcontractors shall prevent spills or releases of oil or chemical substances on land, water or air. Pollution prevention shall be a routine part of CONTRACTOR s and its subcontractors business and work activities CONTRACTOR and its subcontractors shall exercise all appropriate care to protect and preserve the environment, including flora, fauna and other natural resources or assets at any location where the work is performed. CONTRACTOR and its subcontractors shall minimize and mitigate unavoidable impacts to the local environment CONTRACTOR and its subcontractors shall assess the environmental hazards of materials and supplies used in conjunction with the work and shall use substitute materials presenting less risk whenever practicable CONTRACTOR and its subcontractors shall keep properly dispose of accumulated rubbish and waste materials. CONTRACTOR and its subcontractors shall start site cleanup and remediation immediately upon completion of work at that site. CONTRACTOR shall keep the work site in a good state of house-keeping Unless otherwise approved by an authorized COMPANY representative, CONTRACTOR and its subcontractors shall prohibit their employees from hunting, disturbing, or capturing native birds, fish or other animals in the vicinity of the work site CONTRACTOR and its subcontractors shall not remove trees and vegetation to an extent greater than is necessary for the work, as determined by COMPANY or in accordance with the applicable permit. Whenever reasonably feasible and acceptable to the COMPANY, CONTRACTOR and its subcontractors shall stockpile topsoil for subsequent use in site restoration CONTRACTOR and its subcontractors shall use only above-ground steel tanks that are properly grounded as fuel storage tanks. CONTRACTOR and its subcontractors shall

7 assure that loading and drainage connections to fuel storage tanks are either plugged or locked in the closed position when not in use, and that fuel dispensing nozzles are selfclosing All onshore, above-ground fuel, oil and chemical storage tanks used by CONTRACTOR or its subcontractors shall have secondary containment with a capacity of one hundred ten percent (110%) of the capacity of the largest single tank. Secondary containment impounds may have a drain connection for removal of storm water, provided the drain discharge is normally plugged or equipped with a valve normally locked closed. In those areas must be addressed by Federal, Provincial, or Local spill prevention, control and countermeasures plans, CONTRACTOR is expected to comply with those requirements CONTRACTOR and its subcontractors shall not discharge any foreign substances including (but not be limited to) oil, solvents, chemicals to water bodies or onto land, unless specifically allowed for in a permit issued by the responsible governmental agency and authorized by COMPANY CONTRACTOR and its subcontractors shall protect fossils and antiquities found at job sites from damage or disturbance. CONTRACTOR and its subcontractors shall report their location to COMPANY and cease work at that location pending further instructions Miscellaneous CONTRACTOR shall ensure full compliance with COMPANY s Drug and Alcohol Policy which is an exhibit to this Contract CONTRACTOR and its subcontractors shall assure that compressed gas cylinders are secured in place on a regular cart or chained to a support in an upright position, that all cylinders not in use are protected with protective valve caps, and that compressed oxygen and flammable gases are not stored together or near combustible materials, but stored in accordance with facility safety procedures No firearms, ammunition, or deadly weapons are permitted on COMPANY property or at work sites where COMPANY employees are involved, except as may be authorized by COMPANY for security purposes to ensure adequate protection of property and employees All CONTRACTOR- and subcontractor-provided safety equipment shall be properly maintained and operable in accordance with manufacturer's instructions and legal regulations CONTRACTOR and its subcontractors shall provide employees properly trained and qualified to perform the work and to properly use all applicable safety and environmental protection equipment Upon completion of work, CONTRACTOR and its subcontractors shall review the site to determine that hazards related to the work site have been removed, except as authorized by COMPANY CONTRACTOR shall implement a Preventative Maintenance (PM) Program that identifies and prioritizes maintenance for all safety critical items (e.g. some typical examples of safety related items requiring a PM program would include but is not be limited to hydraulic lifts, cranes, rigging, forklifts, fall protection devices, respiratory protection equipment, fire extinguishers, etc) COMPANY representatives shall have the right, at any time, to require CONTRACTOR and its subcontractors to remove and bar from the work site any personnel whose conduct could jeopardize the safety of any person or operation Suspension of the Work Both COMPANY and CONTRACTOR shall have the right to stop work by CONTRACTOR or its subcontractors at any time the work environment or CONTRACTOR or its subcontractor activities or practices may be imminently hazardous to persons, property, or the environment COMPANY S Stop Work Authority procedure shall be in place and followed at all job sites by CONTRACTOR and or subcontractor whenever the CONTRACTOR and or subcontractor perform work for the COMPANY. It is the responsibility of the CONTRACTOR and or subcontractors to instruct their employees during a required prejob safety briefing on Stop Work Authority Barricades and Scaffolding CONTRACTOR and its subcontractors shall assure that work areas including (but not be limited to) ditches, holes, excavations, overhead work are properly barricaded and where appropriate provided with warning signage and/or warning lights All scaffolding erected by the CONTRACTOR and or subcontractors shall be required to be regularly inspected and approved for use by a qualified CONTRACTOR employee. The CONTRACTOR and or subcontractor shall have in place and use an approved tagging system to indicate the erected scaffolding is approved for use by personnel.

8 21.03 CONTRACTOR shall fully comply with all applicable requirements of the COMPANY facility whenever the work requires the installation of barricades or the erection and or dismantling of scaffolding Short Service Employees (SSE) A short service employee is an individual who has been employed by the CONTRACTOR or subcontractor or has move from one position to another position within a set period of time to be to be agreed to by the COMPANY and CONTRACTOR. In all such cases it shall remain the responsibility of the COMPANY to agree to and set the appropriate period of time a CONTRACTOR or subcontractor s employee shall be considered as an SSE. For example, a COMPANY SBU may assess the minimum time a CONTRACTOR or subcontractor employee is to be considered an SSE be set at 2 months or as high as 6 months No one person crew may be staffed by an SSE. Only one SSE is allowed on a 2-4 person crew and on crews of 5 persons or more no more than 20% may be SSE s. CONTRACTOR shall notify COMPANY of any SSE s on its crews. A qualified mentor must be assigned to each SSE to monitor the SSE s job performance. Exceptions to the SSE policy may be made only with COMPANY s prior approval Reporting CONTRACTOR shall be required complete the CHESM Performance Questionnaire upon request by the Company. CONTRACTOR shall undergo an HES System Review at the request of the COMPANY. During the performance of any contracted work the CONTRACTOR and its subcontractors shall participate in Work in Progress Field Inspections when and as requested by the applicable COMPANY representative. At the end of the contract or at the minimum once per year, the CONTRACTOR shall be required undergo a Periodic Performance Review to be conducted by the COMPANY Within ten (10) days after the end of each calendar month, CONTRACTOR shall provide the COMPANY with a report of the total man-hours worked during the preceding month and incidents that occurred Training CONTRACTOR and subcontractor personnel shall be fully trained in compliance with appropriate health, environmental and safety training laws, regulations, rules and standards of all governmental or regulatory agencies having jurisdiction at the work site. Training shall cover potentially dangerous conditions, safe work practices and procedures, and the use and maintenance of personal protective equipment. CONTRACTOR and its subcontractors shall inform their employees of the training required to perform tasks and ensure that their employees shall not perform any job for which specific training is required until such training is successfully completed. All training shall be documented. Upon COMPANY s request, CONTRACTOR and its subcontractors shall provide the COMPANY with proof required training by employees have been successfully completed and or being properly maintained.