Strategy: Strengthen and maintain the environmental aspects of our HSE management system.

AGL’s health, safety, and environmental (HSE) management system, Life Guard, establishes and documents a framework of requirements, policies, standards and guidelines for consistent and continuous improvement in HSE performance. Life Guard incorporates all the elements of the international standard for environmental management systems, AS/NZS/ISO 14001.

The Life Guard management system applies to all sites over which AGL has operational control. This includes the Torrens Island Power Station which has operated under a certified AS/NZS/ISO 14001 Environmental Management System since before AGL’s acquisition of the facility in July 2007.

The environmental aspects of Life Guard assist AGL to proactively manage environmental risks and compliance issues, define environmental responsibilities, and measure and benchmark its environmental performance.  We view this as important to deliver continuous improvement. 

Each year a selection of assets and operations from all business units across the organisation are audited against the requirements of Life Guard, including construction projects and new acquisitions.  Audit findings and recommendations are subsequently reported to the business for action, are integrated back into the business units to improve operations, and are reported to the Board. 

During 2008/09 the following actions were undertaken to strengthen and maintain the HSE management system:

  • We reviewed and restructured the resourcing and responsibilities of our HSE systems personnel. In 2009/10 AGL will recruit two additional people to work on improving our HSE management system across the Company.
  • We reviewed our approach to environmental management and the assignation of responsibilities in the business. The outcome was a significant restructure of the environmental management team to include additional resources, and the review of roles, accountabilities and internal communications.
  • We completed HSE management system audits focusing on critical systems and environmental compliance for all business units. Overall compliance with the environmental criteria was 86%.  Identified strengths relating to environmental management included the retention of monitoring, sampling and testing results and the engagement of specialist consultants for environmental monitoring (at Camden and HC Extractions), and the demonstration of an effective Environmental Management System at Torrens Island Power Station, including the monthly communication of environmental performance to employees and leaders. Areas for improvement included the availability of Environmental Management Plans at all sites, improvements in environmental monitoring at some sites, the implementation of a process for managing environmental complaints and the inclusion of environmental requirements in site inductions.
  • We conducted audits on our newly acquired upstream gas business in Gloucester against our HSE management system requirements. The audit found that site activities and documentation relating to Petroleum Exploration Licence 285 were mainly compliant. However, there were significant gaps between the Environmental Management System used by the previous business owners and the requirements of AGL’s Life Guard system, particularly with regards to the identification and assessment of environmental aspects and impacts. An action plan to integrate the Gloucester Gas Project with AGL’s management system has been developed and the implementation is in progress.
  • We maintained AS/NZS/ISO 14001 certification of the Torrens Island Power Station.
  • We completed audits on our major power generation construction projects, namely the Bogong Hydro Project in Victoria and the Hallett 2 Wind Farm in South Australia.

In 2007/08, AGL identified a need to review our approach to the management of water and biodiversity. During 2008/09 we conducted a review of our impact on the following areas:

  • The natural environment and ecosystems of our operational sites and adjacent areas;
  • Consumption of water as a resource;
  • Emissions to water, including pollutants and thermal releases; and
  • Non-consumptive use of water (i.e. hydro-electric power generation).

The review identified that these aspects are managed in accordance with the following requirements:

  • AGL’s HSE management system, Life Guard;
  • Facility-specific standard operating procedures and manuals; and/or
  • Legal compliance with licences and other agreements or requirements.

During 2009/10, Life Guard audits will include specific focus on the following Standards and Compliance Guides in regards to water and biodiversity:

  • Standard – Environmental Aspects and Impacts
  • Standard – Waste Management and Resource Conservation
  • Compliance Guide - Environmental Impacts
  • Compliance Guide – Ecosystem Protection
  • Compliance Guide – Spill Prevention and Control
  • Compliance Guide – Work on or Near water

The findings of these audits will help us further develop strategies for managing water and biodiversity across the business.

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