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  Sustainability  PDF - 348kb
 
SUSTAINABILITY REPORT  CONTINUED 
 
HEALTH, SAFETY AND ENVIRONMENT
A health, safety and environment (HSE) framework has been implemented throughout the Group. The framework contains policies and standards to support the management of HSE matters and has introduced higher levels of monitoring and reporting of all HSE issues. A strategic focus on HSE key performance indicators (KPI's) ensures that value is derived from the HSE framework. This risk-based approach will be expanded to enhance the opportunities inherent in good HSE management.

All South African companies comply with the requirements of the Occupational Health & Safety Act and, where necessary, the Mines Health & Safety Act. Health & safety audits are conducted regularly and 26% of the operating companies are currently OHSAS 18001 certified.

Environmental policies and standards are in place at each operation and 30% of operating companies have ISO 14001 certification. Where ISO 14001 certification has not yet been attained work is in progress to achieve this. The Group is committed to exceeding the minimum requirements of new and existing environmental legislation. Work is currently underway to ensure that operating companies meet the requirements of the National Framework for Air Quality Management.

The Stop.Think campaign has been launched in all South African operations to improve safety awareness and strive for zero disabling incident in the workplace. This campaign will be extended to health and environmental awareness in the new financial year.

Group reporting of HSE performance is divided into sectors of the business which are comparable in nature and risk. These are:
 
Mining (below ground and high risk)
Construction (above ground and medium risk)
Fixed facility sites (low risk)
 
Fatal Accidents
Regrettably, the Group recorded eleven fatal accidents, all on its South African sites, during the year (2006: ten). Serious accident prevention strategies are being strengthened throughout the group in an effort to eliminate all incidents that might lead to disablement or death. 
 
View operating environments in which the fatal accidents occurred chart
 
SAFETY
The Group's consolidated lost time injury frequency rate (LTIFR) decreased by 35% to 3,01 during the year, in line with the short term target of less than 3. This target was bettered in two quarters during the year. There has been a significant increase in the number of employees under the care of Murray & Roberts management and this is reflected in the decreased fatal injury frequency rate. In line with its commitment to zero harm, the Group will continue to strive for the elimination of all fatal and disabling accidents.

The Group's construction operations outperformed the short term safety targets during all four quarters of the year and were only marginally above the long term target of 1. Additional work is necessary in the mining and fixed facility environments to meet target commitments. Strategies have been implemented to address underperforming operating environments, including increased management focus, benchmarking, establishing of lead indicators and an executive leadership pipeline featuring HSE performance criteria.

All project companies conduct pre-employment and exit medical examinations. Manufacturing businesses carry out annual baseline medical examinations. These assessments cover a full range of occupational exposures, including activity specific issues that could adversely affect the short term and long term health of employees.

All high risk activities are defined within each operating company and specific management action plans are in place to reduce or eliminate identified major hazards. The major health risks identified for each operating environment are: 
 
Lung function disorders from dust exposure - primarily construction 
Fatigue and heat stress - primarily mining 
Repetitive strain and ergonomic injuries - primarily fixed facility sites 
 
View consolidated LTIFR performance for the Group chart
 
OCCUPATIONAL HEALTH
In support of our commitment to zero harm, several manufacturing and project sites have established onsite clinics where full time or part time medical treatments and evaluations are conducted. Other operations offer staff access to nursing or medical assistance on a regular basis.

Preventative and corrective mitigation measures aimed at removing the underlying causes and hazards of all health risks are being evaluated. Training and the use of personal protective equipment (PPE) contribute to a reduction of the impact of health risks.

Noise induced hearing loss (NIHL) continues to pose the greatest risk in all our operations. Plans have been introduced in the operating companies to reduce the incidence of NIHL. These include more frequent audiometric testing, training in the correct use of PPE and early identification of noise zones on project sites. Further work will be undertaken through education and training to reduce the impact of noise on our employees. 
 
HIV/AIDS
A group HIV/Aids policy has been established and sets the framework for detailed policies at each operating company. These are governed by a risk-based approach and minimum standards.

Group and workplace policies instil an environment of non-discrimination, empathy and awareness in order to proactively manage the cause and effects of HIV/Aids. Voluntary testing is promoted in all operations. The families of employees in many operations participate in wellness and awareness programs which include industrial theatre performances, some of which are organised in cooperation with the Department of Health. Employees are provided with relevant information and empowered to seek medical treatment if necessary which is offered by local and community medical centres. 
 
ENVIRONMENT
The major risks identified for each operating environment are: 
 
Dust – Primarily construction
Hydrocarbon spillage – Primarily mining
Air and effluent emissions – Primarily fixed facility sites
 
At operations where hazardous materials are used, appropriate policies and procedures are in place. The Group works with local municipalities and appoints third party service providers and consultants to ensure safe disposal of any hazardous waste materials.

In preparation for the national framework for air quality management, work is being done to ensure that operations fulfil and exceed requirements imposed by the new legislation. This includes setting up regional business forums to discuss the relevant issues and any mitigation measures that may be required.

Project operations comply with all stipulations of the records of decision imposed by environmental impact assessment (EIA) processes. In many instances, Murray & Roberts assists clients with this process and makes use of clients' EIAs to develop its own environmental management plans for individual projects. The group environmental policy requires that operating companies adopt the standards imposed by client management plans, local and national legislation or the Group.

During the year, the environmental performance of Murray & Roberts was deemed acceptable. No major incidents attracting fines or penalties were recorded. There were, however, two incidents that required remediation. Both events were dealt with timeously and facilitated by professional consultants to ensure that the spillages were remediated correctly. Numerous minor spillages were recorded, all of which were handled effectively on site before the situation escalated or any damage to the environment could occur.

There were several other claims in respect of environmental dust and noise pollution. These occurrences are largely restricted to our fixed facility operations but are treated as serious. Capital expenditure plans have been approved to reduce all emissions to acceptable levels. Ongoing communication with the public and affected stakeholders is clear and consistent.

In order to evaluate the impact its activities might contribute to climate change, Murray & Roberts has undertaken to establish the extent of its carbon footprint. As a signatory to the Kyoto protocol, South Africa has committed to investigate and assess alternatives to fossil based energy and the use of products that are more environmentally friendly. This places significant responsibility on organisa - tions to implement solutions that reduce the consequences of their undertakings on released carbon. The methodology and framework is in development and will comply with the World Business Council for Sustainable Development (WBCSD) Greenhouse Gas Protocol. This monitoring and reporting guideline will assist in the measurement of the Group's carbon footprint and the establishment of reasonable and meaningful targets, followed by the introduction of reduction mechanisms with defined objectives to decrease the carbon footprint.

Murray & Roberts occupies an estimated 532 hectares of land other than project sites, the greater portion of which is used for industrial purposes (manufacturing operations), and the balance for office buildings. 
 
 
                          
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