MODEC International, Inc. FPSO
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
TABLE OF CONTENTS 1.0
EXECUTIVE SUMMARY .................................................................................................. 3
2.0
BACKGROUND ................................................................................................................ 3
3.0
BASIS ............................................................................................................................... 3 3.1 REFERENCES ...................................................................................................... 3 3.2 DEFINITIONS........................................................................................................ 3
4.0
HSSE EXPECTATIONS AND PRINCIPLES .................................................................... 4 4.1 HSSE MANAGEMENT SYSTEM .......................................................................... 5 4.2 INCIDENT, NEAR MISS REPORTING AND INVESTIGATION ............................ 5 4.3 DESIGN AND CONSTRUCTION INTEGRITY MANAGEMENT ........................... 5 4.4 ASSESSMENT, ASSURANCE AND IMPROVEMENT ......................................... 6
5.0
COMPANY PERSONNEL ATTENDING SUPPLIER FACILITY ...................................... 6 5.1 DUTY OF CARE.................................................................................................... 6 5.2 WORKSITE INDUCTIONS AND INFORMATION ................................................. 6 5.3 PERSONNEL PROTECTIVE EQUIPMENT (PPE) ............................................... 7 5.4 NON-DESTRUCTIVE TESTING (NDT) SAFETY.................................................. 7 5.5 HYDRO, PNEUMATIC AND LEAK TESTING ....................................................... 7 5.6 SITE INSPECTIONS AND INSTRUCTION TO STOP WORK .............................. 8
6.0
WORKING AT COMPANY SITE ...................................................................................... 8 6.1 POLICY ................................................................................................................. 8 6.2 PERSONNEL PROTECTIVE EQUIPMENT (PPE) ............................................... 8
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MODEC International, Inc. FPSO
1.0
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
EXECUTIVE SUMMARY This document defines Health, Safety, Security, and Environmental (HSSE) Requirements for Suppliers of Equipment and Materials while performing Work for the FPSO Project.
2.0
BACKGROUND Company facilities must meet minimum Industry standards to ensure that quality, safety, HSE, and Operations goals are attained. Standard specifications are used to communicate the minimum standards within the Company as well as to Suppliers and Contractors.
3.0
BASIS HSSE Requirements encompass compliance with all applicable federal, state/provincial, maritime, and local statutes, regulations, enforceable agreements, agency orders, permits, consents, notifications, and contract documents. Supplier shall ensure that such HSSE Requirements are met. The Company shall take any additional precautions necessary to prevent harm to personnel or damage to the environment, property, or the Company reputation.
3.1
REFERENCES
3.1.1
Company Number
Title
None
3.1.2
Client Number
Title
None
3.1.3
Industry Codes, Standards, Rules, and Regulations Number
Title
None
3.2
DEFINITIONS Within the body of this specification, the following definitions apply:
Term
Definition
Client
MODEC Client and/or its assigns.
Facility
Supplier shop and/or any property owned by the Supplier or Supplier’s Subcontractor where any portion of the work will be performed.
Company
MODEC International Inc. and/or its assigns.
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MODEC International, Inc. FPSO Term
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B Definition
MODEC Site
Any worksite operated by the Company or its assigns where the Supplier is required to attend to perform Work. Company Site includes but is not limited to FPSO conversion yard, FPSO integration yard, FPSO installation offshore.
ERP
Emergency Response Plan
FPSO
Floating, Production, Storage, and Offloading Unit
HAZOP
Hazard and Operability Study
HSSE
Health, Safety, Security and Environment
HSSE-MS
Health, Safety, Security and Environmental Management System
MSDS
Material Safety Data Sheets
PO
Purchase Order
PPE
Personnel Protective Equipment
TRM
Technical Requisition for Material
PTW
Permit to Work
Personnel
All personnel performing Services. This includes employees of the Supplier, sub-suppliers or personnel of contractors providing services to the Supplier.
Services
Any service or work performed by Supplier that must be performed to comply with the requisition requirements, or the contract, to procure, design, manufacture and delivery of the work.
Standards
Industry Codes, Standards, Guides, and Recommended Practices referenced in requisition or contract for the Work. Meaning the latest issue or edition in force at the end of Supplier bid validity date or the contract date.
TRM
Technical Requisition of Material means the equipment / material packages issued in the Request for Quotation (RFQ) and Purchase documents.
SDRL
Supplier Data Requirements Listing (SDRL) indicates (i) what information is required (ii) when, (iii) the type of review required, (iv) where the review takes place and (v) requirements for inclusion in other documents.
Supplier
At quote stage: any entity invited to supply a quotation for the equipment and/or any sub contractors thereto. At Purchase stage: any entity contracted for the supply of the equipment and/or any sub contractors thereto. In all cases Supplier is responsible for performance of all Work and will be the single point of contact for all Work related issues. MODEC will not receive information from nor respond directly to subsuppliers.
Work
4.0
Any material or item or service listed in the requisition or contract as being in the Suppliers’ Scope of Supply.
HSSE EXPECTATIONS AND PRINCIPLES COMPANY places prime importance on Health, Safety, Security and Environmental (HSSE) issues and the Supplier is therefore required to observe and comply with the following provisions. COMPANY and CLIENT goals are simply stated – “no incidents, no harm to people and no damage to the environment”.
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MODEC International, Inc. FPSO
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
COMPANY defines HSSE as a line management responsibility, and expects managers to lead and set an example to the workforce under their control. COMPANY will require the Supplier senior managers to take direct responsibility for the HSSE performance of their own workforce and to ensure that equipment and material suppliers, subcontracted construction or fabrication sites and engineering package suppliers are required to accept the same level of responsibility for their own workforce. The following sections outline minimum requirements COMPANY expects Supplier to work to in support of COMPANY and CLIENT goals. COMPANY will work with Supplier to ensure that all of the expectations and their role in delivering against these expectations are clearly understood.
4.1
HSSE MANAGEMENT SYSTEM The Supplier is expected to perform the Work under their prevailing HSSE Management System (HSSE-MS) that clearly defines the HSSE Policy and approach to be taken towards management of HSSE on the Work. The System should ensure that all hazards to the health and safety of Supplier, COMPANY and CLIENT and potential damage to the environment have been systematically identified, assessed and eliminated where possible or are being controlled through formal planning methods and procedures. Where specified by COMPANY in the SDRL, Supplier should submit a current Health, Safety and Environmental Policy signed by their Chairman or equivalent. Supplier shall be responsible for the resources necessary to conduct HSSE management effectively.
4.2
INCIDENT, NEAR MISS REPORTING AND INVESTIGATION The Supplier shall notify COMPANY both orally and in writing immediately after discovering or receiving a report relating to any of the following events that occur from or to the Work: • Any Fatalities •
All Lost Time Injury (Days Away from Work Cases)
•
All property damage or loss incidents to the Work
•
All receipts by Supplier of notice of any alleged violation of any Governmental (National or regional ) HSSE Regulation
COMPANY will reserve the right to conduct its own investigation or participate in Supplier incident investigation depending on the severity of the incident and its impact on COMPANY and the Work.
4.3
DESIGN AND CONSTRUCTION INTEGRITY MANAGEMENT Design and engineering measures critical to the Health, Safety, Environmental or Security performance of the design or construction aspects of the Work are specified in the Technical Requisition for Material (TRM).
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MODEC International, Inc. FPSO
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
COMPANY requires Supplier to comply with normal standards including, but not limited to inspections and performance tests. Suppliers shall be responsible for assuring the integrity of components, materials, equipment and systems supplied as part of the Work including any associated transport operations. At request of COMPANY, Supplier shall ensure co-operation with COMPANY and participate in hazard or safety reviews, HAZOP and other activities and/or provide required technical documentation as prior agreed with COMPANY. Supplier shall demonstrate how the design is managed to ensure safety and environmental protection, especially where sub - Suppliers are involved. Provisions shall be made by Supplier for systems addressing technical integrity and safety to be properly documented, adhered to and understood. Specific documentation shall be in the English language and where specified by COMPANY, correctly translated into the local or third country nationals’ language dependent on the end user of the documentation.
4.4
ASSESSMENT, ASSURANCE AND IMPROVEMENT COMPANY will have the right, but not the obligation, to periodically inspect Work and Facility for the purpose of monitoring compliance with the HSSE requirements specified herein.
5.0
COMPANY PERSONNEL ATTENDING SUPPLIER FACILITY
5.1
DUTY OF CARE COMPANY places prime importance on health, safety, security and environmental (“HSSE”) issues and this includes COMPANY, CLIENT and their agent’s personnel attending Facility for inspections and progress visits and the like. COMPANY requires Supplier to provide safe work environment for COMPANY and CLIENT and their agent’s personnel such that any risk to COMPANY and CLIENT and their agent’s personnel is assessed and reduced by ensuring that safe work practices are implemented as outlined herein.
5.2
WORKSITE INDUCTIONS AND INFORMATION Supplier shall arrange and provide to COMPANY, CLIENT and their agent’s personnel visiting or attending Facility HSE induction orientation prior to access into workshops, fabrication and manufacturing sites. The HSE Induction shall ensure COMPANY, CLIENT and their agent’s personnel are informed of: • Access and security restrictions •
PPE requirements
•
Alarm and emergency response instructions
•
Photography policy
•
Worksite specific HSE requirements
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MODEC International, Inc. FPSO
5.3
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
PERSONNEL PROTECTIVE EQUIPMENT (PPE) Supplier shall arrange and provide to COMPANY, CLIENT and their agent’s personnel visiting or attending Facility the following PPE, in accordance with specific Facility requirements suitable for the working conditions and hazard exposure: • Hard hats •
Respiratory protection equipment
•
Eye protection (safety glasses with side shields, goggles, face shields)
•
Gloves
•
Hearing protection
COMPANY, CLIENT and their agent’s personnel will provide their own safety footwear and coveralls.
5.4
NON-DESTRUCTIVE TESTING (NDT) SAFETY Supplier shall ensure that, where Radio Active Non-Destructive Testing (NDT) will be carried out, the use of the isotopes shall be properly controlled in accordance with prevailing national regulations and standards. Supplier shall provide advance notice to COMPANY personnel witnessing NDT being performed on the Work. This shall include but not be limited to the following information and arrangements: • Area to be radiographed shall be barricaded off, with no work being carried out within the barricade •
5.5
Highly visible signs shall be strategically positioned to ensure all personnel working in the area are made aware of the testing.
HYDRO, PNEUMATIC AND LEAK TESTING Supplier shall provide advance notice to COMPANY personnel witnessing hydro, pneumatic and leak testing being performed on the Work. This shall include but not be limited to the following information and arrangements: • Leak testing with any medium shall be carried out when personnel exposure can be minimized •
Area to be tested shall be barricaded off, with no work being carried out within the barricade
•
Highly visible signs shall be strategically positioned to ensure all personnel working in the area are made aware of the testing.
•
“Whip checks” or similar safety devices shall be used across joints on all high-pressure flexible lines to prevent the lines whipping in the event of the joint failing
•
Systems under test shall be monitored continuously by competent personnel for overpressure and leaks
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MODEC International, Inc. FPSO
5.6
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
•
Oxygen levels shall be monitored where Nitrogen/Helium leak testing or chemical cleaning is carried out
•
Pressure testing shall not be carried out using compressed gas
•
Hot work shall be suspended during hydro testing with any flammable or combustible (oil) fluids
•
Precautions taken when hydro testing fiberglass (GRP or similar) piping
SITE INSPECTIONS AND INSTRUCTION TO STOP WORK COMPANY and their agent’s personnel attending or visiting Facility have the right to inspect the Work as it affects their safety and COMPANY property including Supplier compliance with the HSSE requirements specified herein. Where found, COMPANY reserves the right to submit required corrective actions in writing to Supplier for attention. If COMPANY or their agent’s personnel observe, or are made aware of Supplier performing an activity that is imminently unsafe by failing to comply with COMPANY HSE requirements, COMPANY shall have the right to instruct Supplier to stop the Work immediately. Time lost as a consequence of any such interruption or termination shall not excuse the Supplier from its obligation to deliver the Work on the completion date.
6.0
WORKING AT COMPANY SITE
6.1
POLICY Personnel attending COMPANY Site will be under the HSSE Management System prevailing at that site and COMPANY Site rules, procedures and requirements including but not limited to site access badges and identification, PTW, lockout and tag out, rigging and lifting, working at height. As a minimum HSSE standards at COMPANY Site will be equal to or greater than as specified in Section 4 above. COMPANY will provide or arrange for HSSE orientation to Personnel attending COMPANY Site prior to access into the site.
6.2
PERSONNEL PROTECTIVE EQUIPMENT (PPE) the Company will arrange for Supplier Personnel to be provided with the following PPE for normal industrial exposure: • Hard hats •
Safety glasses with side shields
•
Gloves
•
Ear plugs
Supplier shall arrange and provide to Supplier Personnel attending COMPANY Site additional PPE required for working conditions and hazard exposure of the Work to be 0003-MI20-15S1-0002-B.DOC
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MODEC International, Inc. FPSO
Supplier HSSE Requirements for Equipment and Packages Specification 0003-MI20-15S1-0002, Rev. B
performed, including but not limited to, coveralls, safety footwear, and respiratory protection equipment. Supplier provided PPE suitability and Personnel competence in PPE use will be subject to inspection and monitoring by COMPANY.
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