Chinchaga Liquids Station: Derwin Doll checking relief valve.

"Our challenge on these fronts is to ensure that measurement and reporting under the Stewardship Initiative is consistent and implemented across the membership."

CONTINUOUS IMPROVEMENT

OUR INDUSTRY'S PERFORMANCE

The cornerstone of Stewardship is our commitment to continuous improvement. As an industry, we strive to continuously improve our performance in the areas of environmental, health & safety and social responsibility. We challenge ourselves to reduce our emissions and our footprint on the land and water, reduce the number of safety incidents among our workforce and improve the ways in which we communicate and engage the public and our stakeholders.

To this end, we continued to improve our performance on a number of fronts during 2006:

Sulphur recovery rates were the highest since reporting began in 1999;
Benzene emissions from glycol dehydrators demonstrated a 25 percent reduction from 2001 volumes;
The total number of pipeline releases per 1,000 km has continued to decline since 2001;
Total Recordable Injury Frequency and Lost Time Injury Frequency of our workers are at their lowest since Stewardship reporting began in 1999.

However, we also recognize areas where performance improvements have not been supported by the data, or areas where we lack the necessary data to make such interpretations.

For example, solution and total gas flaring numbers increased last year. While this spike was attributable to start-up operations at projects such as oil sands and offshore projects that are outside of day-to-day operations, it demonstrates the broad range of challenges industry faces in reducing total emissions.

In other situations the data may not tell the entire story. We may see total volumes released from pipeline spills increasing; however, a large portion of that can be contributed to fresh water that may be harmless to the environment.

Improvements in areas such as greenhouse gas emissions and water consumption are even more difficult to measure, as we are still developing the guidance necessary for our industry to accurately measure and report performance. Currently, these indicators are provided on a voluntary basis and are not indicative of the performance of our industry as a whole.

2008 will mark the first year that members will report on two new social indicators. We will collect information on employee training and community investments so that we may better assess our social performance.

Our challenge on these fronts is to ensure that measurement and reporting under the Stewardship Initiative is consistent and implemented across our membership. As the Stewardship Initiative evolves and matures, so too will our ability to more accurately assess our performance in these important areas.

THE STEWARDSHIP VISION

In the fall of 2006, the Board of Governors directed CAPP to develop a long-term strategic plan for Stewardship. Throughout 2007, CAPP, its members, and our Stewardship Advisory Group developed our vision of how the Stewardship initiative will evolve over the next five to ten years. Areas such as data quality and validation, greater transparency to our stakeholders, and increased integration of Stewardship principles amongst our members were considered. Within CAPP, the vision has been discussed and approved by key committees and groups and will be taken to the Board of Governors for approval during the first quarter of 2008.

Continuous improvement speaks not only to our industry's performance, but also to the Stewardship initiative and the philosophy behind it. Since its inception in 1999, we have looked for ways to better integrate Stewardship within our day-to-day operations, so that our stakeholders continue to recognize its value. Notable steps taken toward improvement during the past year included:

The development of the long-term vision for Stewardship;
The review of current metrics (both for relevancy and data quality) by the Stewardship Benchmarking Task Group;
The completion (through Enform) and endorsement of the Canadian Upstream Petroleum Industry Alcohol and Drug Policy Model, and the Guide to Safe Work: Fatigue Management.

During 2007, the Benchmarking Task Group began reviewing the current Stewardship metrics with the goal of improving both the relevancy and quality of the data submitted by our members. From this work, a number of recommendations will be presented to the Board of Governors in early 2008, with respect to removing, adding or modifying existing metrics. In 2008, this work will continue with the goal of improving guidance and data quality on key metrics.

2007 was a monumental year and a leap forward for our industry, with the completion of the Canadian Upstream Petroleum Industry Alcohol and Drug Policy Model. CAPP, through Enform, worked with the other Canadian upstream petroleum industry associations and completed work on the Model. The Model sets an industry standard that our members can adopt and modify as needed to fit within their own organization. Similarly, CAPP participated in the revision of the Guide to Safe Work for Fatigue Management, and hosted a number of successful workshops throughout western Canada.

During the past year, we saw improvements in our performance in many areas, while in others we have started to take the necessary steps so that we can more effectively measure and make positive progress. During 2008, we anticipate that this performance trend will continue, and will help to make the Stewardship Initiative one that lives up to the principle of continuous improvement.

HUSKY ENERGY WHITE ROSE DIVERSITY

Strength in Diversity

Early in the planning stages of its White Rose project, Husky Energy recognized that an opportunity isn't great unless it's great for everyone.

Five years ago, Husky embraced employment diversity and inclusivity at White Rose through the creation of the White Rose Diversity Program. The program seeks to share and promote opportunities available at the project to groups that might not otherwise be aware of them.

Since the plan's inception, Husky has hosted annual Diversity Workshops aimed at exchanging ideas about encouraging diversity in the workforce. Husky also supports and participates in the "Techsploration" program run by the Women in Resource Development Committee, a group dedicated to opening up non-traditional job opportunities to young women. Husky employees act as mentors, providing personal and professional proof that the offshore oil and gas industry can deliver rewarding job and career opportunities.

Husky has also actively sought to improve the workplace representation of women, Aboriginals and the physically disabled by designing job forums and seminars that highlight potential career options in the industry.

Husky's foresight at White Rose has resulted in increased workplace diversity since the program's implementation, and a number of Husky's contractors are now using Husky's model to develop their own programs.