A collaborative approach to safety culture on an oil and gas major capital project
Alignment between the project owner and the power solutions contractor resulted in on-time completion and exceptional safety performance
500+
Days without an LTI
Challenge
The Australian Pacific Liquefied Natural Gas (APLNG) project, valued at $24.7Bn aimed to supply sustainable electricity by providing gas to power stations. This ambitious venture was a collaboration between Origin Energy, Conoco Phillips, and Sinopec. Origin Energy was tasked with providing high voltage electrical infrastructure and power to the gas compressors, including the construction of three temporary power stations in remote locations. To meet these demands, Origin awarded the contract to provide these solutions to Clarke Energy, a multinational specialist in distributed power solutions.
The project presented numerous challenges, including tight timeframes, issues with morale and employee turnover in remote locations, and safety incidents. Origin had high expectations for its contractors to meet the project’s established safety standards and culture. Clarke Energy was enthusiastic to reach that level and embraced JMJ’s Incident and Injury Free™ (IIF™) approach to elevate safety performance.
Solution
Clarke Energy saw the inherent value of having a great safety culture. They appreciated the opportunity to raise standards and learn from others. Both Clarke and Origin Energy recognized that taking a common safety approach would increase the probability of a successful project. Instead of imposing specific processes and procedures that were unique to Origin, the decision was made to adopt JMJ’s best practice IIF safety approach. With JMJ’s guidance, the two companies forged a ‘one team’ safety culture:
- JMJ facilitated workshops on safety culture and alignment for both Origin and Clarke Energy project teams
- A clear structure and process was established to implement new safety approaches across the project
- A safety leadership team was formed with representatives from both parties
- Monthly leadership meetings, which included on-site visits to assess specific concerns, were held
This cohesive, aligned approach allowed the group to work together seamlessly, bringing together client and contractor under a shared project vision and common language for communication.
Client Goals
- Deliver the project on time and safely with no injuries, incidents, or environmental damage
- Raise their existing high safety standards and culture beyond the expectations of Origin
- Build trust and high-performance relationships with the project teams
- Create a lasting safety culture that would continue to evolve the beyond this specific project
The IIF safety approach is a holistic concept that helps in other aspects. Every incident or near miss costs money. With 500 days incident and injury free, it doesn’t take much to see that it probably saved you time and money. It’s good from a business perspective, as well as (most importantly) having everyone stay safe and well.
The knowledge gained, and the cultural change has put us in a better position to win new work, not just with APLNG but with other customers. We actually put forward how we do things, and we mention the IIF safety culture we’ve embraced.
Results
The IIF approach created a successful partnership and understanding between client and contractor and between the project’s leadership and workforce. In a shared and clearly articulated IIF safety culture working together became easier for both organizations. Clarke Energy was able to bring safety standards up to the high expectations of Origin and roll out the IIF program across the organization and divisions. The three power stations were constructed on schedule and with zero safety incidents.
Completed on time
Three power stations built within 500 days
Excellent safety record
Zero recordable incidents or injuries
Improved worker retention
Increased morale meant employee turnover reduced by 100%