Table of Contents

To celebrate the first issue of SeeDs of Shell, here’sa present for the future.

Dig a hole, drop a few seeds, cover with soil, thenwater until the soil is soaked. Say a prayer or make a wish.One day, the air will be cleaner, a tired traveler will findshade, birds will have a home, a flashflood will be avoided,an allergy will be cured. The world will be a better placebecause of you.

The SeeDs of Shell are symbols of Shell’scommitment to Safety, Health, the Environment, andSustainable Development. It measures and chronicles yourinvolvement to your cause.

Whatever seed you sow, the world will reap. Themoment it leaves your hands, life on this planet will never bethe same again.

The SEEDSOF Shell

Grow them in your heart (and in your backyard, too.)

The SeeDs of Shell 2What SD means for Shell 3Defining HSETen Questions, countless insights 4 - 5Sustainable Development 6 - 7

HSE 2005: The Week That Was Health 8 - 9Health 10 - 12Safety 13 - 15Environment 16 - 18Managers’ Talk 19

02 SEEDS of SHELL

Understanding HSE

Worldwide, it is the policyof each Shell company to

• Have a systematicapproach to HSEmanagement designedto ensure compliancewith the law and toachieve continuousperformanceimprovement

• Set targets forimprovement andmeasure, appraise andreport performance

• Require contractors tomanage HSE in linewith this policy

• Require joint venturesunder its operationalcontrol to apply this

Developmentand business viability

• Use material andenergy efficiently toprovide our productsand services

• Develop energyresources, productsand services consistentwith these aims

• Publicly report ourperformance

• Play a leading role inpromoting bestpractice in ourindustries

• Manage HSE matters

Shell aims to have a Health, Safety and Environment (HSE) performance it can be proud of, to earn the confidence ofcustomers, shareholders and society at large, to be a good neighbor and to contribute to the principles of SustainableDevelopment (SD).

Shell companies in the Philippines are among the few entities in the country’s industry that have a full-timeorganization managing the HSE of their businesses nationwide. Commitment and dedicated resources ensure that thecountry’s HSE laws and regulations are strictly complied with and the Shell Group’s rigid HSE standards are upheld.

SEEDS of SHELL 03

• Sustainable Development involves ‘meeting the needs of the present without compromising the ability of futuregenerations to meet their own needs’.

• Sustainable Development is about integrating and balancing economic, environmental and social considerationsinto decision making. It’s about taking a long-term inclusive approach, which in turn demands good governanceand the accountability of institutions.

• For business, Sustainable Development is about working within the economic and regulatory framework set bygovernments to provide the products and services that people want and need in ways that make a positive impacton communities and societies without a long-term negative impact on the world’s ecological systems.

What SD means for Shell

policy and use itsinfluence to promote itin other ventures

• Include HSEperformancein the appraisal of allemployees and rewardaccordingly

In this light, Shellcompanies in thePhilippines have made acommitment to

• Pursue the goal of noharm to people

• Protect the environmentin a manner that isconsistent withSustainable

as any other criticalbusiness activity

• Promote a culture inwhich all Shellemployees share thiscommitment

The three GoldenRules of HSE

You and I

• comply with the law,standards andprocedures

• intervene in unsafe ornon-compliant actions

• respect our neighbors

Ten questions, countless insightsAn interview with Shell Chairman Edgar Chua

1. Why are SD andHSE important toShell?

SD and HSE are ourlicense to operate. Ourperformance on theseareas determines whetherwe can continue to operatein a community. We cannothave operations where weactually do damage to thecommunity or put ouremployees at risk. That’swhy it’s important weactually get it right with SDand HSE.

2. Despite corporateand business issues,why is it importantto make time for SDand HSE?

We don’t really seethem as being separatefrom business issues. SDand HSE are integral partsof how we run thebusiness so we don’t

compartmentalize themfrom the economic orfinancial aspect.

3. So in that case wecannot refer to thebusiness as headand SD and HSE asheart?

We always say it’shearts and minds. Wenow have a campaign inHSE called Hearts andMinds. It’s trying to ensurethat people trulyunderstand the importanceof HSE – that’s the mind

part. The heart part iswhen people becomepassionate about it thatthey become converts.They try to convert othersinto believing the value orimportance of these areas.

4. Has there everbeen a conflictbetween running thebusiness andimplementing SD andHSE?

No, I haven’t seenany conflict. It really is thefoundation of doingbusiness, so in a situationwhere we cannot operatesafely or we cannotprovide security to ourpeople or we cannotprotect the environment,then we simply cannotoperate.

5. Is Shell a betterplace to work in or

04 SEEDS of SHELL

work with becauseof SD and HSE?Why?

Yes, certainly. I’mvery proud to be a part ofthis organization with thecore values of honesty,integrity and respect forpeople. These are thefoundations of ourbusiness principles. Theseare the same values youwould like to teach to yourchildren. This is acompany that is not justlooking for profits. ForShell, there are things

beyond profit, so muchmore.

6. How do SD andHSE make everyShell employee abetter person?

It certainly helps inkeeping the idealism alive.The company is looking atensuring that in itsoperations, all thestakeholders, thecommunity, the employees,the customers are keptsafe. We are looking atsustainable development,

which as described meansmeeting the needs of thepresent withoutcompromising the needsof the future. It reallymeans that everything wedo here, we are justborrowing resources thatmust still be available forthe future.

7. What is the onespecific thing aboutSD and HSE thatmakes you proud?

When we achievedthe zero LTI (Lost Time

Incident) and zero Fatalityin Road Transport. Thatmade me very proudbecause we have manytrucks going arounddelivering products andeven if we have taught ourpeople all the basics ofsafety, there are externalfactors that make it verydifficult. For example,while driving in provincialareas, there are so manytricycles; people are notaware of the trafficregulations. We were notinvolved in any mishapsor delays. To me, that wasvery good.

The other area I feelvery, very proud of is ourinvolvement with GawadKalinga and when I sayinvolvement it’s more thanjust providing funding.When I saw our staffactively involved inbuilding homes, I knewthat this was a specialmoment seeing thesepeople working hand inhand–there was no classdistinction, everyone wasenjoying the work. That tome was a special moment.

8. Shell works with alot of partners. Whatexample is Shellproviding to theseother companies?

One example wouldbe a program called “7Pillars” which we have forour haulers. For ourdealers, we have the“Hearts and Minds”program of Retail. Withour commercial customers,we teach them the properaspects of HSE. In additionto that we are alsoinvolving them in othercorporate socialresponsibility work. We

SEEDS of SHELL 05

have rolled out “Gas mo,Bukas ko” with our dealers.This program providestheir gasoline attendants achance to study in nightschool. With ourcommercial customers, wehave some programs thatwill actually make thembetter citizens in thecommunity they operate in.And then of course weteach our suppliers aboutour own Shell GlobalBusiness Practices. Webelieve that we are doingnot only advocacy, but alsotrying to activelyparticipate with them andbe a partner.

9. If you were to runthe country, whataspect of SD and HSEdo you think itshould adopt thatwould create a majorimpact to society?

There’s the UNMillennium DevelopmentGoals. It is all aboutalleviating poverty by2015. And there are a

number of components:improving the environment,health, providing livelihoodopportunities, makingeducation available. Andthen you don’t say, “Sowhere do I start?” The waywe see it, these are parts ofa circle, wherein whichthey all have to be presentin order to ensure that itbecomes a virtuous circle.For example, even if weprovide livelihood, but theenvironment is polluted, Idon’t think that you willget investors to come.Even if the opportunitiesare there but if it’s not safeto operate, no one will gothere. All of these thingswork together. Whengovernment looks at itspriorities, they should notsay that this is higherpriority, and this is lowerpriority. SustainableDevelopment and HSE arevery important. You do notsacrifice your resourcesright now because youhave short-termrequirements. So it’sreally about meeting the

needs of the presentwithout sacrificing theneeds of the future.

10. SD and HSE arelike seeds waiting tobe planted all overthe place. Manyyears from now,what do you thinkwill be the fruits ofthese trees?

Harvest time iswhen we actually seemuch greater awarenessin our employees, ourbusiness partners, and thecommunity where weoperate. And it’s not justawareness but actuallyinternalizing all of thesethings. Of courseultimately, we hope toinfluence large parts of thecountry in terms ofunderstanding this. Wehelped the Department ofEnergy enhance the retailstandards, to ensure thatthe operations are safe,the communities are notput in any danger, and theenvironment is notthreatened.

Kalinga, and Couples forChrist (CFC) furtherbreathed life to the dreamof families in BarangayLibjo in Batangas to live ina decent shelter.With the generosity andunwavering support ofShell staff across allbusinesses includingexpatriates, Shell in thePhilippines was able toraise the amount ofP1,050,844.90 which willbe used to build housesfor 21 families at the ShellGawad Kalinga (GK)Village.

Located just twokilometers away from theTabangao Refinery, thevillage currently has 14houses built by Shell GKvolunteers. The ShellGawad Kalinga Village ispart of GK’s goal ofGK777, which meansbuilding 700,000 homesin 7,000 communities inseven years. As of May 5,2005, 11,441 homes in467 communities havebeen built.

Project Better Worldtree planting andcoastal clean-up

A coastal clean-upand tree planting activitywas held on June 18,

06 SEEDS of SHELL

Project Malasakit‘Project

Malasakit’ is a ShellEmployee Volunteerismprogram aimed topromote the company’scommitment to SustainableDevelopment among staffand create real benefitsthrough various socialdevelopment projects.Shell companies in thePhilippines CountryChairman Ed Chua led thestaff to participate inProject Malasakit bygiving them opportunitiesto make individualcontributions toward

implementing Shell’score purpose of“helping people

build a betterworld”.

Gawad KalingaThe fourth build

activity of Shell, Gawad

If SustainableDevelopment camewith a manual, theinstructions wouldnot stop at plantingits seeds. It wouldinclude watchingover them, caring,nurturing… untilthey’re fully grown.

Through theyears, Shell haswatched over, caredfor and nurturedcountless SD projects,each one showing itsown promise ofgrowing graciouslyand gratefully,fulfilling expectationsand being of greaterservice to thecommunity.

ED Chua paints a Gawad Kalinga house in Barangay Libjo, Batngas City.

Sustainable Development

SEEDS of SHELL 07

2005 in TabangaoCoastal area and Libjo,Batangas City with some95 people participating.

The project wasspearheaded by ProjectBetter World – aninternational Shellprogram that takesvolunteer Shellemployees to all cornersof the globe and turns asustainable developmentidea into tangible action.It offers great personalbenefits and learningopportunities to thoseinvolved but alsoenhances Shell’s

reputation as a caringinnovator. The groupraked, swept and dugtrash until their respectiveareas were clean. Thisannual activitydemonstrates the variousgroups’ concern for thesea and its coastal area.

At the PilipinasShell PetroleumCorporation (PSPC) ForestPark in Libjo, a total of130 mahogany seedlingswere planted in the pre-dug slots in the area.

Mobile education ofthe street childrenprogram

Pilipinas Shellpledged support toChildhope AsiaPhilippines to its cause ofhelping the street childrenprotect themselves andmotivate them to

eventually give up life onthe streets through the‘education on the streetsprogram’.

Through a monthlyfuel support provided byPilipinas Shell through theShell Prepaid Plus fuel

card, Shell will assistChildhope AsiaPhilippines to power thevan donated by BodyShop Philippines for themobile education of thestreet children.

Childhope Asia is anon-government, non-profit organizationdedicated to protectingand advocating for thecountry’s most defenselessgroup: the street children.

Gas Mo, Bukas KoShell forecourt attendantslike Jonathan Permejo andRichard Tormes of ShellGate Service Station nowhave a chance to a betterlife through the non-formalskills training program ofthe La Salle GreenhillsAdult Night SchoolFoundation Inc (LSGH-ANHS).

Through thepartnership of PilipinasShell Petroleum Corp. andLSGH-ANHS, 50 servicestation employeescomposed mostly offorecourt attendants fromdifferent Shell service

stations in MetroManila willundergo a 6-month training onauto gasmechanic courseas part of theShell ‘Gas Mo,Bukas Ko’program.Not only that the

scholars can perform daywork in their respectiveretail stations, but alsohave a chance to upgradetheir technical skills bystudying at night. PilipinasShell Foundation, Inc.(PSFI) conductedscreening examinationsand interview with theapplicants for the

scholarship funded byPilipinas Shell.

MillenniumDevelopment Goals

The Philippines is asignatory to the year2000 MillenniumDeclaration called theMillennium DevelopmentGoals (MDGs), whichseeks to address issues onHealth, Poverty, Educationand the Environment. Inorder to help the countrymeet the Philippine targetson the MDGs by 2015,the Philippine businesssector is seeking ways toalign its considerablecontributions to socialdevelopment, which hasled to launching of theBusiness & MDGsInitiative. This initiative,composed of 4 Clustersincluding Health,Education, Poverty &Environment, is beingundertaken in partnershipwith the Philippinegovernment and the Officeof the U.N. ResidentCoordinator. The Shellcompanies in thePhilippines (SciP)champions the HealthCluster represented by

Barangay Community Organizer Inday Arendain conducts bloodsmearing for the indigenous people of Sofronio Española.

Shell supports Mobile Education for Street Children by providing monthly fuel assistance toChildhope Asia Philippines.

“The company is looking at ensuring that in itsoperations, all the stakeholders, the community, theemployees, the customers are kept safe.”-Shell Country Chair Edgar Chua

The WeekThat Was:

For one week every year, each member of the Shellfamily gets out of his comfort zone to focus on the biggerworld around him. Fuelled by compassion and inspiration, helives up to the company’s Health, Safety and Environmentvalues by getting involved in countless ways of giving back.

Words are never enough to describe neither passion norparticipation but these honest photographs capture both theheart of the moment and spirit of their commitment.

“12 Little Things Every Filipino Can Do To Help Our Country”by Alexander Ledesma Lacson

1. Follow traffic rules.2. Whenever you buy or pay for anything, always ask

for an official receipt.3. Do not buy smuggled goods. Buy local. Buy Filipino.4. When you talk to others, especially to foreigners,

speak positively of our race and our country.5. Respect your traffic officer soldier and other

public servants.6. Do not litter. Dispose your garbage properly.

Segregate. Recycle. Conserve.7. Support your church (or charitable/

civic organizations)8. During elections, do your solemn duty.9. Pay your employees well.

10. Pay your taxes.11. Adopt a scholar or adopt a poor child.12. Be a good parent. Teach your kids to follow the law

and to love our country.

Do your part to make it better! We can’t wait for someone else todo it for us because it all lies in our hands. No one else is going todo it. Start pointing the finger at yourself. The future is now. Wecan all make it better again, a little at a time.

SciP Country ChairmanEdgar Chua.

The Business andMDG Health Cluster, iscurrently promoting theadoption of the HealthPrograms among thebusiness sector, whichwould help meet theMDG targets. These are,(1) HIV/AIDS in theWorkplace andCommunity Program,(2) ResponsibleParenthood Program,(3) TB-DOTS in theWorkforce andCommunity Program,(4) Kilusan LigtasMalaria Program,(5) SupplementaryFeeding Program, and(6) Leaders for HealthProgram. To date, twoCEO Forums have beenorganized to present theseprograms to the businesssector. As a result, 20companies have signifiedinterest to support theseprograms.

During the CEOforums, various healthissues currently facing thecountry were presented.Business participation inprograms that canpotentially deliver resultsand reach out to a widespectrum of the populationwas encouraged. TheMDG targets for healthdeal with a wide array ofchallenges such asreducing maternal-childmorbidity and mortality,controlling diseases,promoting reproductivehealth for women, andresponsible parenthoodprogram for couples. Aconcrete businessresponse to these MDGtargets for health, includeprograms such asresponsible parenthood,health in the workplace,and the Leaders for Health(LHP).

For more information, log onto: ________

Emergency drill at Limay, Bataan.

Depot Clean-Up in Calapan.

08 SEEDS of SHELL

SD/HSE WEEK 2005 in pictures

Stephen Cruz plants a tree at the Tabangao refinery. Tabangao Refinery contractor Jojo Faytaren donates blood.

Chito Flores leads the fire fighting training at the Tabangao refinery.

Shell teams up with government agencies and the Pandacan localgovernment unit for the Pasig River Clean-Up.

Shell staff builds a home in the Shell Gawad Kalinga Village.

SEEDS of SHELL 09

SHELL HealthMasterplan

1. Protect overall wellbeing 24x a day

2. Strengthen programsthat promote physical,mental and social health7 days/week

3. Continue servingcustomers

Avian Flu CascadeThis program

covered all staff nationwide.The primary objective of theAvian Flu Cascade was toincrease awareness of staffon avian flu and continueto serve its valuedcustomers in the event thatthe country is affected bythe Flu Pandamic.

Lingap sa KalusuganWith the aim of

becoming self-sufficient inhealth and to veer awayfrom too much dependencyon commercial drugs, theLingap sa Kalusugan ngPalawan’s training on

Traditional and AlternativeMedicine was held fromDecember 1, 2004 toJanuary 20, 2005 in southPalawan. The trainingbenefited 306 barangayhealth workers (BHWs)and other care providerswho are being trained tosupport community peoplein eight municipalities onprimary health care.

Health Risk Management Assessment Training conducted for ShellStaff at Mandarin Hotel last Dec. 2005

HSE:

10 SEEDS of SHELL

SEEDS of SHELL 11

Health Management StandardsFour years ago, a ___ of appropriate standards, procedures, and tools were implemented and are now beingapplied, maintained, and embedded into all work systems. Aimed to reduce health risks through application ofcontrol and recovery measures, the Health Management Standards include assurance reviews to confirm extent andquality of implementation among all business units.

The Health Management Standards are:

1. Health RiskAssessment

How risky is risky? Isit really worth it? Are riskskept to as low as possible?To minimize or better yeteliminate the risks we takeeveryday, control andrecovery measures are putin place.

2. Monitoring ofHealth Performanceand IncidentReporting andInvestigation

What work-relatedillnesses have affectedemployees? How havethese illnesses affected thebusiness? How can workconditions be improved tominimize their occurrence?All these incidents andfindings are recorded asTotal ReportableOccupational IllnessFrequency, which willundergo completeinvestigation.

4. Human FactorsEngineering inNewProjects

How usable oruser-friendly are newequipment? How safe arethey for the user? As earlyas the design stage of newfacilities and projects, theyare tested to ensureproper work-related healthconditions.

3. Health ImpactAssessment

How do new projects,major modifications andabandonment of existingprojects affect the healthof the local communityand/or company andcontract workers and theirfamilies? These are allassessed and thoroughlyevaluated before majormoves are implemented.

5. ProductStewardship

What hazards arepoised by themanufacturing, storage,transportation, use anddisposal of products? Arethey putting the lives andsafety of employees atrisk? All the necessaryinformation and advice tominimize risks areprovided to employees,contractors and customers.

6. Fitness to WorkHow fit for duty are

Shell employees? Whatstandards are establishedto assure excellentworking conditions? Howare these standardsapplied where there arecritical occupational healthor safety requirements?This includes managementprogram on Alcohol andSubstance abuse that mayimpair performance.

7. Local HealthFacilities and MedicalEmergency

What services areprovided to endure thatmedical assistance isavailable to those at riskbecause of the nature orlocation of theiremployment? Do theseservices meet companystandards? Medicalemergency response plansare constantly in place andtested regularly to ensurequality and compliance tocompany standards.

12 SEEDS of SHELL

Health Tips for Travelers

When work takes you away from the office or thehome, you put yourself in a health risk as you undergochange in weather and temperature, interact with a lotof people and encounter the stress of being in anunfamiliar location.

The word travel as derived from the French wordtravail, means work. This involves adequatepreparation: you pack the right clothes, arrange theproper transportation and accommodation and ensuringthat you stay strong and healthy away from home andregular medical attention.

Here are some helpful tips that aim to enhanceyour awareness on the principle health hazards oftraveling and provide guidance on how to reduce therisk to health.

Travel in GoodHealth

Visit your doctorbefore a trip. Payattention not only to pre-existing medicalconditions like diabetesand high blood pressure,but also to minor ailmentslike coughs and colds.

This is also a goodtime to have a dentalcheck-up. Dental caremay be limited in thecountry you are visiting.

Travel PreparationsObtain a pre-travel

health advise from yourdoctor. Consult themedical adviser, clinicnurse or company doctor,especially when travellingabroad. They will adviseif there are current healthconcerns in the country orarea you are going to.This may involve amedical screening, avaccination update,advice on malariaprophylaxis andevaluation of actual healthrisks and current medicalproblems in the area.Information about health

care and health facilitiesabroad can also beobtained.

Carry an extrasupply of your medicationand a basic medicaltravel kit that contains thefollowing:• Lomotil or Imodium: Incase of sudden onsetdiarrhea. Not to be usedwhen you have high feveror if your stools containblood. Not for children.

• Antiacids: In case ofindigestion andhyperacidity.

• Paracetamol: To be usedfor pain, e.g. headache,toothache.

• Betadine: To be used oncuts and abrasions toprevent infection. Washfirst with soap and waterand then apply betadine.

• Waterproof plasters

• Insect repellents

• Oral rehydration salts

• Hand sanitizer

• Disposable needles andsyringes (if administrationof a vaccine or other drugby injection is likely. It isimportant to providetravelers carryingmedically advised syringesor other equipment, anddrugs with a medicalcertificate attesting thatthese are being carried forlegitimate medicalpurposes. It is suggestedthat such travelers carry aphysician’s letter)

Refrain fromtraveling to a country orarea with a known diseaseoutbreak. If it cannot behelped, consult yourdoctor for the necessaryvaccinations to counter theacquisition of the disease.

Travel in ComfortWear casual

lightweight clothes andcomfortable shoes ifpossible. Anticipate theweather in yourdestination so you canbring along the properclothing apparel.

Discomfort duringtravel by air is usually dueto dehydration,immobilization and lack ofsleep when crossing timezones (jet lag). Otherdiscomfort may be relatedto changes in cabinpressure. Travel sickness israre in the case of airtravel but if sensitive tomotion sickness it wouldbe wise to carry someanti-sickness drugs,usually antihistamines.Travelers who aresusceptible to motionsickness can minimizesymptoms by choosingseats with the smoothestride (front seat of a car,forward cars of a train,

and the seats over thewings in an airplane),focusing on distant objectsrather than trying to reador look at somethinginside the vehicle,minimizing headmovement, and ifnecessary lying supine.

Travel ClothesWhen traveling

during hot climates, wearsomething light and looseto ensure good ventilation.Underclothing should becotton or cotton mix.Avoid close-weave nylon.

It is advisable toregularly boil, iron, orexpose your underwear tostrong sunlight to ensurethe destruction of anybacteria or fungi. Do notlay your clothes out ongrass or bare ground asinfections and parasitescan be picked up this way.

Long sleeved shirts,long trousers and hats willreduce insect bites. Shirtsshould be tucked in. Oneshould think of this even inmoderate climates asdisease-carrying ticks canbe found in many areas.This should also protectagainst the harmful effectsof ultra violet rays of thesun.

In cold climates,hypothermia and frostbitesare the major risks. Toprevent them, dresswarmly with a hat, scarf,mittens, shirts, or coatsthat are snug at the waist.The outer layer should bewaterproof and windresistant and inside layersof wool, silk orpolypropylene arepreferred to cotton. Thereis an abundance ofexcellent protective

SEEDS of SHELL 13

clothing available; fashionshould not override safety.

Avoid alcohol–itcauses dilation ofperipheral blood vesselsso increasing heat loss.Limit caffeine intake, asthis is a diuretic andincreases the risk ofdehydration, whichaggravates heat loss.Nicotine i.e. smokingconstricts blood vesselsand increases the risk ofcold damage such asfrostbite.

Persistent shiveringis always a signal toreturn indoors.

After TravelingIt is equally

important and advisableto report to the clinicnurse, company doctor, ormedical adviser within 10days after coming backfrom your trip, especiallyif you experience any typeof illness or even a simplecough or colds. You mayhave brought home withyou a virus or diseasefrom your trip.

Awareness andconsciousness of thehealth risks in travelingwill protect you and yourfamily from any ailmentthat may result from yourtrips.

For more travel hints,you may visit Shell HealthServices website at http://sww-shs.shell.com/health/ orhttp://www.cdc.gov/travel/faq.htm.

Everyday, I walk away from our

home without any fear. I know that

while I am away, you are free from

worry, trusting that I will be safe all

day at my job, where every step I

take is measured and calculated so

that absolutely nothing and no one

is harmed. I may be away a lot from

you but here at Shell, not only am I in

good company. I am in good hands.All these have been planned

and implemented with you and me,

and our future in mind. After a long

hard day at work, I always come

home to you safe and sound� every

single night.

DistributionDistributionDistributionDistributionDistribution

Philippines’ JourneyPhilippines’ JourneyPhilippines’ JourneyPhilippines’ JourneyPhilippines’ Journey

towards ZERO RTtowards ZERO RTtowards ZERO RTtowards ZERO RTtowards ZERO RT

FatalityFatalityFatalityFatalityFatalityThe Journey Plan is

a long and painstakingjourney towards attainingan aspiration of ZEROFatality in the course ofdoing the Road Transport(RT) business withinDistribution Philippines.

across “D” Philippines’Terminal and RTOperations nationwide.

Guided by thephilosophy of ”Getting theSystems, Hardware andPeople and movingtowards a clear andagreed goal via a processthat involves planning,doing, assessing andimproving,” its mainobjective is ”to attain a

ZERO Recordable Fatalityperformance,” reachednot once but twice priorto 2005, in 1999 and2003)

And in 2005, “TheAbsolute ZERO(Recordable and non-Recordable) Fatality andLTI year of 2005” wasestablished. Thisremarkable feat wascommended by John

Leadership at all levels

Hollowell, Vice President,Distribution, ShellDownstream Inc:

“On behalf of theGlobal DistributionLeadership Team, I’d liketo express myappreciation to JoeyCutaran, his team and hisextended team of driversfor achieving zero fatalincidents in thePhilippines for the firsttime in 13 years. It isclear that your Heartsand Minds efforts havepaid off!”

Hearts and MindsHearts and MindsHearts and MindsHearts and MindsHearts and MindsHearts and minds is

an approach to improvingsafety performance whichis based on developing agenerative HSE culturewithin a site/organization.

It was initiatedduring the the first quarterof 2005 and is now beingimplemented in varyingstages within PilipinasShell. While different partsof PSPC have differentlevels of safety culture,initiatives and approachare tailored according tothe current state of eachorganization.

Focus GroupDiscussions on HSSE have

been held among selecteddepot staff under ProjectECHO (EnhancedCompliance to HSSE inOperations). H&Mworkshops for all Haulers’safety officers werelikewise started by RoadTransport. Externalstakeholders have alsobeen enjoined toappreciate ourcommitment to safety.

The Safety StandThe Safety StandThe Safety StandThe Safety StandThe Safety Stand

Down InitiativeDown InitiativeDown InitiativeDown InitiativeDown InitiativeThe Safety Stand

Down Initiative waslaunched in July 20,intended to visiblydemonstrate managementcommitment towards“ensuring no one getshurt”, and the primeobjective of preventingwork related injuriesduring the course ofoperations. This specialinvestment of timepromotes the discussion inspecific areas of safety forthe purpose of preventinguntoeard incidents. At apre-determined date andtime, all operations withinDistribution will “downtool” for a period of 20minutes from normal busyroutine tasks. Led by theLone Manager orsupervisor, everyone thenspends some quality timetogether in small workgroups reflecting andreviewing what they cando to ensure safety atwork.

Currently at itsinfancy stage, The SafetyStand Down Initiative is awork-in-progress towardsattaining an HSSE culturalmindset change frombeing a Pathologicalculture to being a more

Proactive stage. Naturally,the ultimate achievementwould be at a Generativeculture wherein businessdecisions won’t beallowed to be takenwithout considering HSSE.

ArrowsArrowsArrowsArrowsArrowsAssessment or Risks

and Responses on Worksitesof Shell (ARROWS) is anaudit of all Shell terminals.Through the years, it hasraised the level of controlshigher driving the depotsto continuously measureup to prevailing HSSEstandards.

Electronic GateElectronic GateElectronic GateElectronic GateElectronic Gate

Access SystemAccess SystemAccess SystemAccess SystemAccess System

(e-Gas)(e-Gas)(e-Gas)(e-Gas)(e-Gas)In March, the

Tabangao Refineryofficially launched theRefinery Electronic GateAccess System (e-Gas).E-gas is a state of the artsecurity system capable ofmonitoring the entry andexit of all staff and visitors,including vehicles, in therefinery. The systemconsists of an electronicsmart card issued to everyperson entering therefinery as well as avehicle electronic tag thatis placed on the windshield of every vehicle.Upon entry or exit at therefinery, whether on footor by car, all persons willbe required to tap theirsmart card in designatedtunstiles and boom gates.

The system will thenrecognize the individualand the vehicle and willallow entry or exit.

The e-Gas systemwill greatly improvesecurity within Tabangao

14 SEEDS of SHELL

Paulo Arias and Geland Gonzalodo leads discussions during the Safety Stand Down at the Tabangao Refinery.

by identifying all peoplewho enter the refinery andby enabling our securityofficers to trace thewhereabouts of a personor develop a history ofwhich parts of the refineryan individual has been. Inaddition to these benefits,the system will alsoimprove the tracking ofworking hours for safetyreporting and thecalculation of the ShellPeople Index.

Emergency CrisisEmergency CrisisEmergency CrisisEmergency CrisisEmergency Crisis

DrillsDrillsDrillsDrillsDrillsIn the SciP-wide

emergency drill conductedin May, in which ShellTabangao Refinery playeda key role, an alert wasraised for “a vesselcarrying condensate ranaground in the MaricabanIslands resulting in therelease of condensate.”Managing the incidentthrough implementationof the oil spill emergencyprocedures was theteam’s task for the day.

Answering callsfrom media, communityand local governmentofficials can be a nerve-wracking experience forstaff not adequatelytrained to handle suchsituation. Communicationand coordination betweenthe Crisis team in ShellHouse as well as theincident team at site waskey to a quick reaction

SEEDS of SHELL 15

and deployment ofWaterbourne IndustrySkills Equipment (WISE)-the industry oil spillequipment. Managing theimpact of oil spill to theenvironment andcommunity (e.g. beachclean-up, loss oflivelihood) was also atask not to be overlooked.

Emergency drillsare scenario based.For each business thereare several scenarios thatare developed based onthe critical processes thatcan happen. These caneither be a threat to:

• People: Emergency drillsrelated accidents involvingShell staff, medicalemergency cases, fires onsite and the need foremergency evacuation

• Asset : Fires, bombthreats and explosions,operational emergenciesand business continuityplan implementation(e.g. what if the entireShell LAN system wasdown for an extended

period, how would shelloperate)

• Environment : Major oilspill to the sea, to theground.

• Reputation : Any majorincident where Shell’sreputation is threatenedwhether or not People,Assets or the Environmentis concerned.

Emergency drillsare done on a regularbasis. The frequency isdictated by the level of riskthat is being managed.For example, for the therefinery, there is a drill ona weekly basis, while forsome office basedbusinesses, the drills aredone every quarter. Theobjective of these drills isto ensure that thecompany is preparedto respond to anyemergency that occurs inthe course of its business.

SCiP Crisis Drill held May 2005.

Electronic Gate Access System launched at the Tabangao refinery.

ENVIRONMENTI see skies of blue…

16 SEEDS of SHELL

Maintaining and protecting the environment is a commitment that runs deep ineveryone at Shell, that’s why every product, service and program is tested and implementedusing the strictest standards.

HSE:

Oil Spill Drill

Shell companies in the Philippines Chairman and President Edgar Chua unveils the La Mesa Ecopark Shell Flower Terrace.

Oil Spill ExerciseIn observance of

the International EarthDay, Commercial Fuelsspearheaded an IndustryOil Spill Exercise in one ofour customer’s pier lastApril 22. Originallyplanned for SouthernPhilippines PowerCorporation (SPPC), it waslater expanded to includethe other oil majors, thePhilippine Coast Guardand Provincial governmentof Sarangani, andattended by SaranganiGov. Miguel Dominguez,DENR-EMB, NPC, andmedia.

SEEDS of SHELL 17

The Department of Environment and Natural Resources (DENR) honors Pilipinas Shell Petroleum Corporation with a Merit Citation onApril 20, 2005 during the First National Summit on the State of Philippine Rivers.

Spill Prevention SlidePack

The Spill PreventionSlide Pack was rolled outto the Depot Managersduring the 3rd quarter of2005. This was followedby a Safety Stand DownInitiative which was heldsimultaneously in all ShellDistribution terminals andworksites to better cascadethe information to asmany Distribution staff aspossible. The initiative waslaunched to avert oil spillsin depot and roadtransport operations.

Clean-up activitiesThese were held in

coordination withcommunities adjacent tothe Depots. PandacanField Sales Office (FSO)embarked on a PasigRiver Clean-Up with

government agencies, thelocal government unit inPandacan and itssurrounding communitiesduring the HSSE week, inpartnership with PilipinasShell Foundation. ThePasig River, one of themost polluted bodies ofwater in the country,serves as passageway formigration to Laguna deBay. It is Shell’scommitment to protect theenvironment that fuels thisdrive.

Dadiangas depotstaff joined the coastalclean-up at the GeneralSantos coastline duringthe 20th InternationalCoastal Clean-up Day inSeptember. Likewise, ShellDepot staff did its share incommunity service duringa street clean-up drive atIligan.

Shell signs the memorandum of agreement together with the ABS-CBN Foundation, Inc. for (Bantay Kalikasan) “Savethe La Mesa Watershed Project.”

18 SEEDS of SHELL

In the workplace• Vehicle-relatedaccidents are a majorcause of fatalities inbusinesses with significantneeds to deliver productsby road, such aspetroleum products andcement.

• Occupational lungdisease, caused primarilyby long-term exposure toirritating agents such asdusts, smoke mists andsprays, is the number onecause of work-relatedillness in the US.

• Falls from heights andelectrical shocks frompoorly or incorrectlyisolated equipment arethe second and third mostcommon causes ofindustrial accidents.

• In Europe, an estimated500 million workdays are

lost every year because ofwork-related healthproblems.

• Stress and depressionare major (largelyundiscussed) factors injob performance. TheWHO estimates that 5.8%of men and 9.5% ofwomen experience adepressive episode in anygiven year.

In the home• Indoor air pollution(IAP) affects more than2 billion peopleworldwide who continueto depend on indoor useof solid fuels for heatingand cooking. It is thefourth largest healththreat to women andchildren (in the world’spoorest countries) afterwater-borne diseases,malnutrition and HIV/AIDS.

• In Bangladesh, between28 and 35 million peopleconsume drinking waterwith naturally elevatedlevels of arsenic, a knowncarcinogen.

• More than one millionpeople, including manychildren, die each year asa result of malaria, carriedby mosquitoes commonlyfound in the tropicalenvironment of manydeveloping countries.There are at least 300million acute cases ofmalaria each year.

In the field• Agricultural chemicalshave significantlyimproved farmlandproductivity and reducedmalnutrition. But thereremain problems withproper use and disposal.

• In 2001, the Ministry ofHealth in Brazil estimatedthat there were 300,000poisonings and 5,000

deaths a year from misuseof agricultural pesticides.The cost to the economywas estimated at US$40million.

• In Africa, there are atleast 50,000 tons ofobsolete pesticide stocksposing potential hazardsto people and groundwater.

On the road• Approximately 1 millionpeople are killed eachyear as a result of motorvehicle accidents. Manymore are injured.

• Road accidents areexpected to be the thirdleading contributor tothe global burden ofdisease and injury by2020.

From “A Healthy Tomorrow”Health Systems Facts and Trendsby the World Business Councilfor Sustainable Development

Save your earth

SEEDS of SHELL ISSUE ONE 2006 15

IDOLName one personal HSE/SD effort of an employee that made you smile/proud.

• Pons Carpio (SPEX HSE Manager) & Daday De Leon’s(Pilipinas Shell Foundation) support andefforts in espousing an ‘Enterprise First mentality’ towards the common objective of promoting SDwithin Shell. –Mylene Santos

• When a staff, while having his own health consultation, realizes and recommends to HealthServices that a peer or colleague will also benefit from the same program. –Dr. Rose Rivera

ICONIf you were to make a campaign for your specific department, who will youchoose as endorser and why?

• Tony Meloto. His work in Gawad Kalinga is the embodiment of genuine concern and care for otherpeople. From this sense of caring, family and brotherhood emanate our concern for Health andSafety as well as our sense of duty to preserve our environment for the benefit of generations tocome. –Paulo Arias

• Pia Cayetano for Environment, Tony Meloto for social development programs. –Mylene Santos

• Manny Pacquiao for health. He is very popular now. –Dr. Rose Rivera

• The Pope, to probably convince more people to follow the HSE Golden Rules not because they aretold to do so by the Supervisors or Managers but rather, they see that there is value in doing so notonly for the business but for their families as well. –Diego Uy

IDEALWhat program do you have now that you think will work for the entire country?

• The ‘Wag Magpasiklab campaign which drives safety in gasoline station. Part of this program is toconvince local authorities to make a difference in their scope of area by enacting municipal/provincial ordinaces that ban unsafe acts in the forecourt (e.g. smoking, using unauthorizedcontainers, straddling the motorbike while filling, engine running and using mobile phone).–Stanford Siy

Managers’ Talk