Occupational health and safety

Human Health and Safety

Challenges, Risks, and Impacts

In 2023, the relief of the COVID-19 pandemic shifted the operations and lifestyle of employees and contractors to the “Now Normal”. However, the surveillance and preventive measure on the spread of the COVID-19 have been consistently maintained. In alignment with the business plan, Thaioil Group is now expanding the production capacity through several projects, such as the Clean Fuel Project (CFP), currently transitioning from the construction phase to the commissioning and start-up of refining units. These developments have presented challenges, prompting Thaioil Group to review and enhance safety control measures to ensure business continuity without any major incidents that could lead to business disruptions.

Commitments and Targets

Thaioil Group is committed to establish the foundation for management systems for both personal safety and process safety through the establishment of Thaioil Group Quality, Security, Safety, Occupational Health, Environment, and Energy Management Policy (QSHE) to prevent, control, and reduce impacts that may occur in normal and abnormal operations, and emergency situations for both current and future business expansion. The Company also supports and protects employees and suppliers from operational risks by considering relevant rules, regulations, and standard requirements. The target goal is to position the Company as a "No Harm, No Leak, Goal Zero” company. 

Targets

Indicator 2023 Target 2030 Long-term Target

Maturity Level

Reach Maturity Level 4

Maturity Level 4.5

Total Recordable Work-related Injury Rate (TRIR) for all workers (employees and contractors)

Top 10% of companies in oil and gas industry (by IOGP criteria) 0.10 cases per million hours worked
Process Safety Event (PSE) Tier-1 Zero incidents Zero incidents

Management Approach and Performance 

1. Worker’s  Health and Safety Management

Management Approach

Thaioil Group manages occupational health and safety through the establishment of Thaioil Group Quality, Security, Safety, Occupational Health, Environment, and Energy Management Policy (QSHE Policy). The policy is used as a framework to drive and strengthen Thaioil Group towards continuous QSHE excellence and sustainably. The Company has integrated the management system as follows:

  • 1. Quality management system aligned with ISO 9001: 2016 standard
  • 2. Environmental management system aligned with ISO 14001: 2016 standard
  • 3. Occupational health and safety management system aligned with BS OSHAS 18001: 2011 standard
  • 4. Occupational health and safety management system aligned with ISO 45001: 2018 standard
  • 5. Integrated Management Systems (IMS)
  • 6. Management system for the competence of testing laboratories aligned with ISO/IEC 17025: 2018 standard
  • 7. Corporate social responsibility standard aligned with ISO 26000 standard for CSR – DIW Project
  • 8. Information security management system aligned with ISO/IEC 27001: 2013 standard
  • 9. Energy management system aligned with ISO 50001: 2019 standard
  • 10. Operational Excellence Management System (OEMS)
  • 11. Process safety management system

At present, Thaioil Group adheres to the Operational Excellence to Business Excellence (O2Bx) strategy with the goal to become a world-class refinery after commissioning of the CFP project. Safety is deemed to be one of the main pillars that must be developed and elevated. The All SAFE White Green Principles were adopted to develop and raise operational safety awareness and leadership. The definitions of All SAFE White Green are listed as follows:

ALL All employees and contractors
S Standards of works
A Awareness on hazards and risk assessments
F Full compliance on work standards with proper site supervision
E Ensure continuous improvement
White Drug Free
Green Environmental impact mitigation
No Harm Organization without injury
No Leak Free from leaks of hydrocarbons or hazardous chemicals from primary containment

Thaioil Group has a specific function to control and implement the work plan. The Company has established the Safety, Occupational Health, and Working Environment Committee, in which more than 50% of the members are representatives of operational-level employees (excluding the committee chair). The committee requires at least one monthly meeting to share updates and monitor the progress of current performance and plans for future operations.

Role of Safety, Occupational Health, and Working Environment Committee

  • • Review policies and plans related to occupational health and safety.
  • • Determine target related to safety, occupational health, and working environment.
  • • Develop a 5-year master plan by prioritization and integration of the action plans with quantified targets to address those associated risks.
  • • Performance monitoring, evaluating, and reporting of progress in reducing/ preventing safety, health issues and associated risks related action items against targets.
  • • Report and provide recommendations to improve performance and maintain compliance with occupational health and safety regulations and standards in order to ensure the safety of all employees, subcontractors, and any other individual visiting onsite.
  • • Promote and support the organization of occupational health and safety-related activities.
  • • Conduct audits of occupational health and safety at operation areas and inspect statistics related to incidents in the area of operations at least once every month.

Occupational Health and Safety Initiatives and Programs

In 2023, the key performance of Thaioil Group on occupational health and safety are as follows:

Operational Excellence to Business Excellence (O2Bx) Strategy

  • • Adjusted the O2Bx strategy to become a world-class refinery and reviewed the corporate safety targets to align with the new strategy – No Harm, No Leak, Goal Zero.
  • • Revisited the 5-year Occupational Health, Safety, Emergency and Crisis Management Plan to align with the internal and external environment, risks, the new strategic plans, and new corporate targets.
  • • Assigned the management executives to present case studies and significant safety issues from both internal and external sources at the monthly Board Meeting to continuously develop and improve Company’s safety measures.
  • • Organized an on-site visit with the CEO and President and the management executives during normal operations, maintenance downtime, and construction period to encourage the workers, demonstrate commitments on safe working conditions, and be the safety role model.

Occupational Health and Safety Risk Assessment

  • • Reviewed the identification and assessment of risks and hazards assessment that may cause major incidents. The Company identified the control and preventive measures, with constant monitoring for effectiveness. This also involved safety inspections, performance analysis, and provision of the corrective and preventive actions to avoid recurrence for employees and contractors. The safety performance was reviewed monthly and monitored by the management executives.
  • • Assessed risks and hazards assessment with high severity and reviewed safety control and preventive measures. The proactive plans and measures on safety and security were established at different levels (defense in depth), covering all high severity risks and hazards, especially chemical spills. The emergency drill of each emergency level was conducted and further developed towards the crisis management level together with external parties and local governments. This process helps prevent and mitigate business impacts, ensuring that Thaioil Group can consistently manage and maintain severe risks at acceptable levels.
  • • Reviewed major accident event profiles to be aligned with the risks. The Company also reviewed and conducted emergency and crisis drills, as well as the emergency response plan, according to international best practices. Moreover, the improvements were made to the Emergency Control Center to ensure it is up-to-date and more efficient.
  • • Reviewed accident and incident management practices to cover every incident type, such work-related injuries, occupational illnesses, near-miss events, and other incidents including incidents in production processes. The Company also conducted severity and risk assessment through the Risk Assessment Matrix to select the appropriate investigating team and method based on the incident’s severity and risk level. To avoid recurrence, the root cause and appropriate preventative measures were implemented.

Safety Management Improvements

  • • Reviewed Permit to Work System, especially the work permits related to heat and ignition (Hot Work). Additionally, all relevant checklists were reviewed to ensure alignment with international best practices.
  • • Conducted safety maturity assessment. In 2023, the Company scored 4.16 out of a total of 5.00 points. Thaioil Group prepared the Safety Culture Development Plan in 2023 to build awareness for employees and contractors towards an accident-free organization.
  • • Reviewed Permit to Work Inspection by the Area Operation Officers and Safety Audit team to ensure that the practices are aligned with the requirements specified in the permits.
  • • Conducted the evaluation of Health Performance Indicators based on the standards of International Association of Oil and Gas Producers (IOGP). In 2023, the Company scored 3.85 out of a total of 4.00 points. The Company commits to improve the development plan for management systems in line with criteria and requirements of the IOGP.
  • • Enhanced contractor safety management to align with international best practices and conducted annual contractor safety performance evaluation by the third party. The evaluation covered safety management system and operational performance to evaluate the contractor. The contractor can be categorized by a color code, including green, yellow, and red. This code serves as the criteria for deciding whether the Company should continue doing business with contractors or not. In the case that the contractors categorized in the low level (yellow and red), the Company will allow them to present corrective action plan to remedy the identified issues to comply with requirements within a specific timeframe. In 2023, the Company has updated the “Contract SSHE Bidding and Close Out Evaluation”.
  • • Reviewed safety practices for activities or tasks with accident risks, such as heavy lifting with crane, scaffolding, or electric device utilizing within the refinery area. Additionally, the Company conducted training and communicated to relevant employees and contractors to ensure compliance with the requirements.
  • • Upgraded notification systems on abnormal or emergency situations for emergency personnel and relevant officers through SMS systems that will promptly notify relevant parties to provide the emergency response efficiently and on a timely manner.
  • • Upgraded notification protocols for extreme weather, specifically thunderstorms within a 5-kilometer radius. This is to alert employees to prepare and implement specified safety measures. It also involves notifying emergency response teams for a prompt response in the event of a fire, particularly around the rim seal fire.
  • • Reviewed Pre-Incident Plan at levels 1 and 2 to align with international situations and standards, conducted drills as planned to prepare an effective response in emergency situations. In 2023, the Company developed the pre-incident plan at level 2 to support the new production unit of CFP project.
  • • Reviewed Emergency and Crisis Management Manual and prepared the emergency response plan to cover environmental and community emergencies. This aims to prepare for CFP project, which is expected to undergo commissioning and start-up in the future. 

Safety Knowledge Sharing and Engagement

  • • Enhanced knowledge, capabilities, and skills of employees and contractors through a safety training center to provide knowledge on safety theory and practice. the Company also evaluated the capability of the employees and contractors, who performed safety-related tasks, and had a continuous Permit to Work System from the previous year. Meanwhile, the roles in emergency and crisis management were also assessed through the Competency Assurance System.
  • • Upgraded safety culture in the workplace through Behavior Based Safety (BBS) training program. The BBS training course was designed to train the targeted employees (Train for the Trainers) in order to disseminate knowledge and act as role models for the other employees and contractors. Consequently, safety behavior will be observed, and the operation will be halted, particularly when unsafe conditions arise.
  • • Provided training on the Permit to Work System and Clearance Certificate Signatory for those who are involved in performing duties in the work permit system.
  • • Organized the “30-60-90 Days with No Harm, No Leak” to strongly emphasize and simulate employees and contractors, raising awareness of safety in the workplace. The goal is to achieve zero Medical Treatment Case (MTC).
  • • Organized Thaioil Group QSHE Day 2023 to promote the safety culture for the employees and contractors by awarding and certifying those who have outstanding 2023 QSHE performance. The Company also organized exhibition booths to provide employees and contractors with safety knowledge and awareness.
  • • Incorporated Line of Fire into the 12 Life Saving Rule in accordance with the International Association of Oil & Gas Producers (IOGP) guideline.
  • • Raised awareness of potential hazards, such as the line of fire, and strictly ensured compliance with the 12 life-saving rules. The Company also encouraged workers to submit Potential Incident Report (PIR), emphasizing the significance of unsafe act and condition as specified in the pre-incident prevention measure.
  • • Developed a Contractor Training Matrix to ensure that contractors, who perform the work in operational areas of Thaioil Group, have the suitable knowledge and skills relevant to their job positions.
  • • Conducted training and knowledge sharing on safety, occupational health, and workplace environment for new employees and contractors. This aims to build awareness of basic risks and hazards in Thaioil Group’s operational areas, to recognize and understand the safety measures, and to mitigate risks in operations. The training courses include basic safety in refinery, basic firefighting, safety in confined space, and first aid.
  • • Conducted specific safety knowledge training for employees and contractors to improve operational effectiveness, ensure safety, and comply with safety requirements. For instance, Authorized Engineer/Authorized Gas Safety Inspector (AE/AGSI) course, Clearance Certificate Signatory course, Authorized Gas Tester course, and electricity safety course.
  • • Thaioil Group consistently prioritizes on a proactive strategy. The Company elevated the Management Walk and Talk activity to GEMBA Walk. The management executives conducted a site visit to inspect key activities by engaging in conversations with specific questions. This aims to create mutual understandings and to recommend safety practices in the activities that may pose risks on personal and process safety. The QSHE Rollout activity has been consistently organized with a focus on providing more accessibility. In addition, the campaign to raise awareness about quality, security, safety, and the environment for workers in all operational areas has been expanded to include all operational areas and encourage worker engagement. Moreover, Thaioil Group has applied appropriate management systems to achieve the sustainable development. The performance of such activities is regularly reported and discussed with the management executives for resolutions. Likewise, the annual management review is performed to determine improvement areas and develop annual plans, along with the regular communication with the employees to ensure effective and impactful practices.

The Responses to COVID-19 Pandemic Situation

  • • Implemented the COVID-19 surveillance plan covering 3 phases. In Phase 0, or no infected cases, the prevention and surveillance measure will be emphasized. Phase 1 begins when there are suspected or infected cases in Thaioil Group but no impacts on business operations. The Company will then focus on controlling and limiting the spread of the virus. Phase 2 refers to the large number of infected cases in Thaioil Group and creating impacts on business operations. In this case, Thaioil Group will focus on relieving and recovering while the Emergency Control and Business Continuity Center will be activated.

Performances 2023

In 2023, while the Company was engaged in the Clean Fuel Project Constructions Phase, an accident occurred during the Post Weld Heat Treatment (PWHT) operation, resulting in severe injury to one of the contractors. The injured contractor received initial first aid at the accident site immediately by the Company’s occupational health physician team and was promptly transported to the nearest hospital for further medical treatment. Unfortunately, the contractor passed away later at the hospital. The Company took this accident seriously, halted the construction project temporarily, and appointed a committee comprising specialized experts to investigate the cause of the accident and implement preventive measures to avoid recurrence. Additionally, a systematic lesson learned sharing initiative was conducted for all relevant parties involved.

2. Process Safety Management System

Management Approach

Process safety is one of the components in the Safety Pillar identified in strategic plans towards business excellence that requires continuous development and improvement. The main goal is to maintain business continuity without a Loss of Primary Containment (LOPC) or Process Safety Event (PSE) that could result in fatalities, asset loss, environmental impacts, and reputational damage. Thus, the Process Safety Management (PSM) has become a key success that drives and strengthens the capability of the Company to achieve the No Harm, No Leak, Goal Zero target and excellent and world-class process safety performance.

Since 2018, the Company has established the Technical Safety Function to develop and improve process safety management to meet the international standards of the Occupational Safety and Health Administration (OSHA). The proactive risk management is emphasized to prevent severe incidents. This allows Thaioil Group to conduct sustainable business and become a safe organization throughout the value chain.

Process Safety Initiatives and Programs

In 2023, Thaioil Group implemented process safety activities in accordance with international standards and best practices as follows:

  • • Reviewed the current status of process safety management against the OSHA standard and international best practices. 
  • • Reviewed the 5-year process safety plan to develop and improve process safety management system in alignment with international best practices. 
  • • Reviewed and improved Safety Critical Equipment (SCE) to be aligned with Mechanical Integrity requirements, as one of the components of the PSM and PTT Group management.
  • • Improved the Management of Change (MOC) in the production process to align with international best practices. This helps prevent incidents and reduce the impacts that may arise from changes or adjustments of production process. The Company reviewed other aspects such as risk analysis, preventive measures, and engineering design. Also, the technical reviews were conducted by specialists before the improvement. After the improvement, the mechanism would be tested before an actual operation. Furthermore, the Company determined both proactive and reactive MOC KPIs. The steering committee and operational committee were established to drive and support the Company in achieving the set targets.
  • • Developed and improved the MOC management system, particularly the process of management review and approval of changes. Also, the e-MOC system were developed in accordance with the process of reviewing and approval of changes.
  • • Developed and improved the Technical Authority (TA) System in accordance with international best practices to adopt in the MOC process. The purpose is to ensure that every change in the manufacturing process is systematically reviewed and approved by technical experts. Also, functions related to such changes can work safely and sustainably. In 2023, the Company conducted the Technical Authority training and knowledge & skills assessment of TA (TA2 and TA3) to improve the management of change systems.
  • • Reviewed and communicated the risks, controls and preventive measures for severe hazards that may occur in the production processes, such as product tank, incinerators, wastewater treatment unit, and Single Buoy Mooring (SBM 1 and 2) through Hazard Effect Management Process (HEMP). This aims to ensure the efficiency and effectiveness of the designed preventive measures or installed safety equipment that can always control risks at an acceptable level.
  • • Improved the 10 Process Safety Fundamental in the production processes in accordance with the practices of the PTT Group.
  • • Strengthened process safety awareness through 10 Process Safety Fundamentals and Process Safety Management and Barrier Thinking. Moreover, the management executives conducted a site visit or “GEMBA Walk” to inspect key activities by making conversations with specific questions. This focuses on providing recommendations and creating understanding of the activities that pose personal and process risks. 
  • • Inspected process safety through designated inspection plans and checklists, reporting, monitoring and corrective actions, and systematic performance analysis. 
  • • Developed the Process Safety Competency Development Matrix in alignment with the approach by the Community of Expert (COE), covering key roles in process safety management. In addition, the Company conducted training and knowledge & capability assessment based on determined criteria. This ensures that employees are equipped with process safety knowledge, competency, and skills that are suitable for their assigned roles, leading to excellence in sustainable process safety performance.
  • • Developed and improved the Pre-Startup Safety Review (PSSR) process, including the safety protocol and PSSR checklist, to align with international best practices and to build readiness for the Clean Fuel Project that will be commissioning and start up in the future.
  • • Encouraged the employees and contractors to learn from incidents and international best practices. The acquired knowledge will then be reviewed and applied to improve the process safety and emergency incident management of the Company. This will prevent severe incidents and enhance organizational emergency and crisis management to reach international standards.
  • • Raised awareness and prevented hydrocarbon or hazardous chemical leakage from main containers, or Loss of Primary Containment (LOPC) Prevention. The Company reviewed and enhanced management process and LOPC chain to cover reporting, investigating, analysing, and learning from previous LOPC incidents. Proactive management and prevention, such as Corrosion Under Insulation inspection, Flange assurance, and Gasket control, were also revisited. Moreover, the Company established the steering committee to drive and support the LOPC Prevention Project towards achieving the safety targets.
  • • Organized the Reliability Walkabout Campaign to raise awareness for workers in the operational areas. The campaign focused on finding the potential source or equipment that may have a leakage of inflammable or chemical substances in primary containment or production processes (LOPC).
  • • Conducted the Process Safety Knowledge Training Matrix for employees and contractors to ensure that all employees and workers who work in the operational areas of Thaioil Group have adequate knowledge and skills.

Performances 2023

In 2023, there was one case of inflammable or chemical substance leakage from primary containment or production process, resulting in severe impact (Tier-1) in accordance with API 754. This incident accounted for 0.04 event per million hours worked, falling short of the 2023 target of zero event per million hours worked. Thaioil Group has investigated the root causes of the incident to resolve them and prevent future occurrences. The investigation results indicated that the detection system and responsible authorities could detect the event at its origin and quickly bring it under control. Consequently, the production process was not interrupted.

 

Update : February 2024

Component of Occupational Health, Safety and Working Environment Committee

Thaioil committee of Occupational Safety, Health and Environment is responsible for the operation and management of all staff. People are safe in the workplace. With prescribed rules, regulations and procedures for the safe handling and with protective equipment as well as training provided to employees to have a better understanding of the work.  All performances are continuously monitored and there will be a review of the results.

The Safety Committee consists of the following members

1 Employer representative who is chairman of the board.

4 members of the Representative Commander.

1 Safety Officer as Director and Secretary.
5 Employee representatives (representing 50 percent of the board), handling the election of action.

Thaioil define the security policy as procedures and practice including the regulation of individuals (Blue Book, Section 11, which is a guide that was signed between the organization and the Department of Labor). This is a responsibility of all employees to follow procedures and guidelines set forth during work and to report to the commander for the event with the potential to cause an accident or harm or damage.

 

 

Promoting good health for employees
 

In order to promote good health among its employees, Thaioil puts an emphasis on being proactive by utilizing health risk assessment, which is part of the occupational health and safety standards. The process involves determining the consequences of being exposed to different substances, examining the risk factors, monitoring employees’ health conditions, and assessing their potential risks. Such an assessment should be conducted regularly so as to protect the company’s employees. In addition, monitoring of other contagious diseases, such as avian influenza, is vital. Information on how to protect oneself against such diseases should be provided to employees, especially those who have to work in an area where they may come into contact with certain diseases, for instance, employees who have to travel abroad.


Hearing Conservation Program

There has been no report on employees’ suffering from hearing loss resulting from work at the company.  Nonetheless, to preempt possible cases of noise-induced hearing loss (NIHL), the company has launched a campaign titled Hearing Conservation Program. This program comprises procedures to measure, analyze, and map the noise sources within the company (Noise Contour Map). Warning signs are posted in the areas with noises at the level below 80 dB (A), and employees and contractors are encouraged to wear hearing protection while working in those areas. Moreover, hearing tests are administered in order to detect any potential cases of hearing loss at an early stage, and this is believed to help reduce the risk of NIHL development in the future.


Office Ergonomic

Since the company’s staff members have to work in front of computers continuously for an extended period of time, their health conditions may be affected, which, in turn, may impact upon their performance. Risk assessment has been conducted with the help from health professionals, and their feedbacks regarding office equipment and break times have been incorporated into the company’s plan to create a safe work environment for its staff. With employees’ good physical and mental health, Thaioil can operate in an efficient manner. Because of this health assessment program, for 53 years, there have been no reported incidents of employees suffering from illnesses that result from the operation.

Fit for Work

Group recognizes the importance of preparing the body fitness for the workers so they are ready for operation (Fit for Work). Workers operated with risk, such as working on high places. Health care of employees include being given medical treatment, but without the need to look after diseases such as hypertension, diabetes and heart disease, as well as employees who are obese or with high Body Mass Index (BMI) exceeding the standard from which their care can reduce the risk of accidents due to health problems.

Transportation safety

Thaioil Group’s transportation is operated under PTT Group Road Safety Management System which comprises safety management, driver management, a safety checklist report prior product delivery, and monitoring system to ensure punctuality transportation time and regulations in order to reduce safety risk.