Page 60 - AGL Sustainability Report 2011

This is a SEO version of AGL Sustainability Report 2011. Click here to view full version

« Previous Page Table of Contents Next Page »
AGL Energy Limited 58
Organisational safety
HSE Strategy
AGL’s strategy for managing safety is based upon the
premise that all injuries are preventable.
Keeping AGL employees, contractors and the community safe is
essential to the way AGL does business. The AGL Health, Safety
and Environmental (HSE) Strategy provides the framework to drive
change in HSE culture and performance, assisting AGL in achieving
its goal of being a safe and sustainable business.
The HSE Strategy is built on four cornerstones which are:
>> a systematic approach
>> leadership
>> an active HSE culture
>> safe workplaces and equipment.
The HSE Strategy is enabled through the delivery of the
annual HSE Action Plans, and measured through HSE monthly
performance reports.
Systematic approach
AGL’s HSE management system, Life Guard, is based on the
requirements of AS/NZS 4801 (2001): Occupational Health and
Safety Management Systems; and AS/NZS ISO 14001 (2004):
Environmental Management Systems.
Internal and external audits of the Life Guard system facilitate a
culture of continuous improvement. Audit findings are reflected
in both local action plans and improvements to the management
system, strategic direction and safety programs.
In FY2011, external audits of the Life Guard management system
were carried out at 15 AGL sites covering all business units. During
FY2012, AGL will be focusing on developing and implementing
action plans to respond to the auditors’ recommendations. In
particular, these will focus on addressing findings related to high risk
tasks carried out in the Merchant Energy and Upstream Gas business
units, especially with plant and equipment, and consolidating the
documentation of workplace procedures. AGL also conducted a
gap analysis of the AGL HSE Management System compared to
the requirements of the ‘harmonised’ Workplace Health and Safety
Regulations in preparation for enactment of the regulations in
January 2012. Priority areas requiring action to comply with the
new legislation have been identified, and the HSE team are working
with the business units to ensure changes are implemented by
January 2012.
AGL has annual HSE Action Plans in each business unit, tailored
to deliver improvements for specific risk areas. During FY2011
AGL completed 100% of the actions in each HSE Action Plan,
delivering improvements in AGL’s systems for managing the safety
of contractors; Permit to Work procedures; processes for managing
safety and environmental incidents; safety leadership among senior
managers; and risk management.
Strong and dedicated safety leadership is a cornerstone requirement
for achieving a ‘zero-harm’ work environment at AGL. An effective
safety culture requires commitment, accountability and continuous
reinforcement from all levels of management, including the
AGL Board.
The AGL Board and executive team review safety performance
via the monthly Group Performance Report. The Board Safety,
Sustainability and Corporate Responsibility Committee also reviews
safety performance on a quarterly basis, as well as reviewing audit
findings and recommendations, strategic priorities and incident
Following the successful implementation of a HSE Council in the
Merchant Energy business unit in FY2010, a similar group has
been set up in the Upstream Gas business unit to monitor HSE
performance and delivery of HSE Action Plans by management. This
committee consists of 11 management and employee members as
well as representatives from the HSE team.
In FY2011, dedicated safety leadership training was implemented
in the Retail business, Information Systems Group and Corporate
business units to further develop skills in this area. This training was
attended by 43 senior managers. A pilot of safety leadership training
was also delivered in the Merchant Energy business unit. A rollout
of safety leadership training will commence for managers in this
business unit in FY2012.
Active HSE culture
Improving the safety culture at AGL continued to be a focus during
The undertaking of ‘safety and wellbeing conversations’ is an
initiative to encourage leaders to engage directly with employees in
a discussion of safety behaviour, with a view to preventing unsafe
behaviour. Safety and wellbeing conversations are a process of
observing people as they work, and subsequently engaging them in
discussion to reinforce safe and healthy behaviour and to understand
the reasons for, and change, unsafe or unhealthy behaviour. During
FY2011, AGL recorded 842 safety and wellbeing conversations
across the entire business, and trained 64 leaders in the safety and
wellbeing conversation process.
The results of the 2011 AGL Engagement Survey indicate the
importance of safety and safety culture at AGL. The majority of
respondents (89%) agreed that workplace safety and security
was viewed as important at AGL, while 93% stated that they
would speak up if they noticed someone taking shortcuts that
compromised safety.
New employees and contractors are introduced to the safety culture
at AGL through the delivery of induction and HSE management
system (Life Guard) training. AGL’s online induction program was
completed by 513 new employees, transferees and contractors as
at 30 June 2011. There were 150 leaders who completed Life Guard
training during FY2011.
Workplaces and equipment
In addition to managing HSE systems, safety culture and leadership,
the physical risks present in AGL work environments are assessed
and managed continuously.
HSE consultation committees and representatives are an important
link in engaging with employees on matters relating to safety, health
and the environment; and in delivering the HSE Strategy.
During FY2011 AGL continued to consult with employees on
HSE issues with 69 employee representatives on the nine HSE
Committees, covering AGL’s 2,083 employees (headcount basis).
The HSE committees discuss, among other topics, the potential risks
present in workplaces and the safe use of equipment.