RESPONSIBLE SOURCING PRINCIPLES - June 2021 - Oil Search
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RESPONSIBLE
N
SOURCING PRINCIPLES
June 2021
OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
ABOUT OIL SEARCH’S
RESPONSIBLE SOURCING
PRINCIPLES
Oil Search have a strong track record of partnering with
communities, host governments and other key stakeholders to
enable enduring and tangible positive impacts. We are committed
to a sustainable future as the preferred energy company for all
stakeholders and in this role will deliver low cost, low greenhouse gas
intensity, high value energy that meets society’s needs.
Oil Search has an unwavering commitment to sustainability and being a responsible
development partner, creating shared value for all stakeholders and delivering
positive social and development outcomes. We respect and support the well-
being, dignity and human rights of our employees, contractors and suppliers, the
communities in which we operate and those affected by our operations, including in
our supply chain.
The principles that guide the way Oil Search works are outlined in our Company
Vision, our Values, our Behaviours, our Board approved Policies and are reflected in
the Oil Search Code of Conduct.
Our sustainability commitments are central to our growth and are integrated into our
company strategy with a seven-pillar model.
Together these underpin the Oil Search Responsible Sourcing Principles (RSP),
aimed at setting out the minimum requirements which Oil Search expects all its
suppliers can be reasonably expected to achieve. The RSP applies to all suppliers 1
and does not replace or amend the application of the Oil Search Code of Conduct
or applicable laws. It supplements the Oil Search Code of Conduct and other
policies and is in addition to any specific contracted obligations.
Oil Search seeks to work collaboratively with companies who share a similar
commitment to operating responsibly and will work with suppliers to improve
performance against the RSP as required.
Any questions about Oil Search’s RSP can be directed to
Sustainability@oilsearch.com
7-PILLAR
SUSTAINABILITY MODEL
HEALTH ECONOMIC
CLIMATE ENVIRONMENT COMMUNITY PEOPLE INTEGRITY
& SAFETY SUSTAINABILITY
Responsible Protecting and
delivery of low Working with and enhancing the Trusted and
Respecting Committed to Building a resilient
cost, low GHG strengthening health and safety preferred
our unique doing the right business for our
intensity, Paris communities in of our employees, employer and
environments thing stakeholders
aligned growth which we operate contractors and partner of choice
portfolio communities
Sustainability at the core of all decisions
1. Within the context of this document, the term ‘supplier’ includes all companies and organisations that supply products and/or
services, including vendors, service providers, contractors, or sub-contractors.
01
OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
RESPONSIBILITIES
OF SUPPLIERS
Suppliers undertake to:
– know and respect these RSP, as well as applicable internal Oil Search policies,
standards and procedures;
– provide reasonable access and respond promptly to any Oil Search queries
in relation to the RSP and co-operate with RSP audits which are conducted
by Oil Search;
– complete any actions as agreed, where an investigation, audit or query has
reasonably identified remedial steps to ensure the principles of the RSP are upheld
should be taken;
– notify Oil Search of any information considered relevant regarding the RSP which
could directly or indirectly affect Oil Search legally, economically or reputationally;
– conduct or co-operate in a legitimate investigation and resolution process
that includes ensuring any harm caused to workers or the environment is
remediated; and
– work with their own suppliers or sub-contractors and supply chains to achieve
similar principles and standards to those outlined in the RSP.
02
BREACHES
OF THE RSP
A supplier’s ability to meet the RSP may be considered during Oil Search sourcing
award, purchasing, and contracting decisions.
Supplier non-conformance with the RSP may impact their contractual relationship
with Oil Search.
Oil Search’s Whistleblower Hotline is made available to all suppliers as a mechanism
through which any suspected breaches of the RSP can be reported. These reports
can be made in confidence and anonymously. The Hotline is managed by an
independent third-party and languages other than English are available.
Whistleblower Hotline details include:
– AU: 1800 427 734
– PNG: +675 322 5777
– USA: 1 800 874 9485
– UAE: 8000 61 4643
or visit www.oilsearchhotline.deloitte.com.au
03
OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
SAFETY OIL SEARCH SUPPLIERS:
Safety, health & security
– identify, mitigate, and monitor safety, health and security risks that have the
potential to adversely affect the physical or mental health, safety of employees,
supplier workers or contractors or the community;
– provide and maintain adequate protection for workers from operational hazards,
this includes the provision of personal protective equipment;
– encourage workers and their suppliers to report any accident, injury, illness, or
unsafe condition immediately and to stop work that could be unsafe, so that
appropriate action can be taken; and
– provide safe and clean accommodation that meets the basic needs of the workers
where applicable.
Wellbeing
– encourage participation in programs which positively impact worker
wellbeing and health.
04
SAFETY
05OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
PEOPLE OIL SEARCH SUPPLIERS:
Modern slavery
– ensure no forced or compulsory labour is used; that all work is freely chosen and
access to employee documentation is not withheld;
– ensure all workers are of applicable legal age; and prevent the use of the ‘worst
forms of child labour’ 1.
Remuneration
– ensure fair remuneration and work conditions for all workers.
Freedom of association
– respect worker’s rights to lawfully and peacefully form or join trade unions of their
choosing and to bargain collectively.
Diversity & inclusion
– promote humane treatment and prevent harassment and unfair discrimination; and
– seek to provide and maintain an inclusive workforce which reflects the diversity of
the local community within which they operate.
Privacy
– respect the privacy of employees and customers including as it relates to the
collection, use and protection of personal information.
1. Based on the International Labor Organisation’s definition of ‘worst forms of child labour’ as work that deprives children of their
childhood, their potential, and their dignity. It is work that is mentally or physically dangerous and harmful to children and interferes
with schooling.’
06PEOPLE
07OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
ENVIRONMENT OIL SEARCH SUPPLIERS:
Resources & waste
– conserve natural resources and reduce waste, applying a reduce, reuse, and
recycle management approach.
Emissions
– minimise and responsibly address pollution and contamination, including planned
and unplanned releases to air, water or land, and waste disposal.
Biodiversity
– preserve biodiversity values by maintaining natural areas and minimising residual
impacts to habitats.
08ENVIRONMENT
09OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
COMMUNITY OIL SEARCH SUPPLIERS:
Indigenous & human rights
– promote a culture that upholds the human rights of the communities in which they
operate, particularly indigenous communities.
Supply chain diversity
– seek to support social, economic, and institutional development of communities
by employing, procuring from, and building capacity 1 within local communities
where they operate; and
– seek to source products and services from suppliers who have traditionally been
under-represented, including indigenous-owned businesses, women-owned
business, and other diverse supplier groups.
Social development & investment
– seek to support and supplement the strength and wellbeing of their
local communities, for example through disease prevention or social
awareness programs.
1. i.e. skills transfer, mentorship programs, business advisory services etc.
10COMMUNITY
11OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
INTEGRITY OIL SEARCH SUPPLIERS:
Bribery & corruption
– do not commit or become involved in bribery or corruption of any form, including
facilitation payments.
Conflicts of interest
– ensure individual employee or contract employee activities do not conflict with
their responsibilities to Oil Search, including using Oil Search information and
resources for improper gains;
– do not engage in anti-competitive conduct, including any form of agreement
or understanding with competitors to fix prices, rig bids, allocate customers, or
restrict supply; and
– apply reasonable limits to the value of gifts and expenses that can be given or
received from third parties, including involving government officials.
Grievance mechanisms
– promote a ‘speak up’ culture that does not tolerate retaliation; and
– provide access to an effective 1 mechanism through which stakeholders, including
supplier employees, suppliers, sub-contractors, or business partners, can raise
concerns or grievances relating to unethical, unsafe, or potentially harmful
conduct involving Oil Search activities.
1. Consistent with the UN Guiding Principles for Business and Human Rights criteria for effectiveness.
12INTEGRITY
13OIL SEARCH RESPONSIBLE SOURCING PRINCIPLES 2021
ECONOMIC
SUSTAINABILITY OIL SEARCH SUPPLIERS:
Compliance with laws, regulations, and other obligations
– abide by all applicable laws, regulations, and standards applicable to the goods or
services being provided to Oil Search.
Management & governance
– identify and prioritise their significant social and environmental risks and impacts,
and have in place and maintain appropriate policies, procedures, or systems to
manage, measure and mitigate them; and
– continually improve their performance in their areas of greatest social and
environmental impacts.
Transparency
– publicly disclose and be accountable for their significant social and environmental
impacts and contributions.
Information security
– provide and maintain adequate protection for Oil Search data from cyber threats.
14ECONOMIC SUSTAINABILITY
15www.oilsearch.com
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