GROUP CAPITAL DIVISION Majuba Rail Project Clarification meeting Insert image here Marcel Meso Date: 04 Feb 2016 Time: 09h30 Venue: UCG

06 May INTRODUCTION Purpose The objective of this presentation is to provide the environmental requirements for Contractors and Sub-contractors undertaking work for or on behalf of Eskom. The contractor and sub-contractors doing work for or on behalf of Eskom shall ensure sustainable management (Avoid/or minimise environmental damage )of the environment during construction The contractor shall when working on Transnet servitude comply with Transnet requirements and when working on Eskom servitude comply with all legal and other requirements that Eskom subscribes to.

06 May All work carried out on the Site is subject to the requirements specified in SHE specification for this contract More and above, but not limited to, the contractor shall comply to the following legislation : NEMA -National Environmental Management Act (Act 107 of 1998) National Water Act 1998, Act 36 of 1998 National waste Act 2008, Act 59 of 2008 National Heritage Resource Act 25 of 1999 Conservation of Agricultural Resources act, act 43 of 1983 Eskom’s environmental Standards and Procedures Local By-Laws ISO 14001:2004, as well as Eskom MRPs licenses and permits Statutory Requirements

06 May Current licences and permits governing Majuba Rail Project

Executing Environmental Management 5 We Connect the Environment to everything we do We communicate to help people connect, commit, comply, develop the competence and act in a consistent manner We attain the level of commitment we need to make this happen & clearly define what we commit to We ensure compliance is a non-negotiable We develop the required levels of competent resources to deliver on our commitment We deliberately create the level of consistency we require through our approach, actions and decisions Ensuring that we have a cycle of continuous improvement, tracking and monitoring of this environmental strategy through the development of appropriate KPA’s, KPI’s and pro-active assurance processes Connection CommitmentComplianceCompetenceConsistency Communication Continuous improvement 06 May 2015

6 Expectations 1/3 1. Connecting environmental management to all activities which could impact on the environment. Personalizing caring for the environment.(Aspect register and associated operational procedures) Management must be demonstrating this commitment Forward thinking, not just what is important during construction 2. Attaining Commitment to ZERO harm – zero harm to people and the environment ZERO environmental incidents; and Pro-active environmental management practices 3. Making Compliance a minimum standard which is non-negotiable Full compliance to current and future license and legislative requirements Zero legal contraventions No findings in audits No findings during “Green scorpion” visits

06 May Expectations 2/3 4. Ensuring that we have an optimal environmental organization structure resourced with the required Competencies to deliver on the mandate Appoint competent personnel 5. Communicating environmental management and how to achieve ZERO harm in a manner that entrenches and re-enforces the ZERO Harm Value, best practice and world class practices (training and awareness 6. Consistency of actions, ensuring that there is consistency across, that decisions taken are implemented and lead to the pro-active protection of the environment Support with regard to statutory requirements and associated business cases on time Supporting operational requirements when making decision during construction 7. Ensuring that we have a cycle of Continuous improvement, tracking and monitoring in environmental management

Expectations 3/3 The following permits/agreements will be required Water use The Contractor shall use the authorised water extraction point used by the project and shall record quantities taken on a daily basis. Should the contractor use any additional source, agreements for such points should be in place. Waste disposal permit The Contractor shall ensure that all waste arising from his construction activities is promptly managed as per (NEMWA 59 of 2008), Waste disposal permit and SDCs to be submitted to Eskom Provide lidded and clearly colour coded waste bins for different types of waste(e.g. yellow for general waste, red for hazardous and green for recyclables) Ablution facilities Waste disposal permit for chemical toilets (Sewage), Provide Adequate and suitable sanitary facilities appropriate to the workforce size 06 May 20158

SHE File index The contractor shall prior commencement of work, submit a SHE file containing the following operational procedures as minimum; Such procedures/MS can include but not limited to; Site establishment(including approved site layout plan and agreements), Waste management plan, Dust and Noise control, Handling of Hazardous Chemical Substances, Access Control, Incident management, Emergency preparedness and response, SHE Induction training notes, The required permits Copies of applicable local by-laws 06 May 20159

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