Responsible Care® An Introduction Alan J. Izzard Vice Chairman RCC / VP Corporate HSE - Borouge

What is Responsible Care® 1.Chemical industry’s unique Global Initiative that drives continuous improvement in health, safety, security and environmental (HSSE) performance. 2.Transparent communication with interested parties (i.e. stakeholders) about its activities to improve perception and respond to concerns of the industry. 3.Embraces the development and application of sustainable chemistry, helping our industry contribute to sustainable development while allowing us to meet the world’s growing need for essential chemicals and the products those chemicals make possible. 4.First developed in Canada by the Canadian Chemical Producers Association in International Council of Chemical Associations (ICCA) provides oversight for the program globally. 6.Today it is implemented by chemical federations and their member companies in 57 nations. 57 nations 7.Not a one-time activity. It will evolve over time to meet the changing expectations of the industry and its stakeholders. No end point! 2Responsible Care- An Introduction

Responsible Care® Global Charter ADOPT GLOBAL RESPONSIBLE Care® CORE PRINCIPLESCORE PRINCIPLES 1 IMPLEMENT FUNDAMENTAL FEATURES OF NATIONAL RESPONSIBLE Care® PROGRAMMES 2 COMMIT TO ADVANCING SUSTAINABLE DEVELOPMENT 3 CONTINUOUSLY IMPROVE AND REPORT PERFORMANCE 4 ENHANCE THE MANAGEMENT OF CHEMICAL PRODUCTS WORLDWIDE – PRODUCT STEWARDSHIP 5 CHAMPION AND FACILITATE THE EXTENSION OF RESPONSIBLE Care® ALONG THE CHEMICAL INDUSTRY’S VALUE CHAIN 6 ACTIVELY SUPPORT NATIONAL AND GLOBAL RESPONSIBLE Care® GOVERNANCE PROCESSES 7 ADDRESS STAKEHOLDER EXPECTATIONS ABOUT CHEMICAL INDUSTRY ACTIVITIES AND PRODUCTS 8 PROVIDE APPROPRIATE RESOURCES TO EFFECTIVELY IMPLEMENT RESPONSIBLE Care® 9 Global Charter Global Charter 3Responsible Care- An Introduction

GPCA Responsible Care® Program 1.GPCA adopted Responsible Care ® in December 2009 to improve regional EHS & Security performance and general perception of the chemical industry in the Gulf. 2.Initiative run by Responsible Care ® Committee:  Chaired by a Board Member (Mr. Abdulrahman Jawahery – President GPIC)  19 Members representing a blend of Full and Associate Members  Quarterly Meetings Held / Sub – Committee /Task Force Solutions 3.Main objective is to align with ICCA Responsible Care ® initiatives and to develop programs for implementation within Member Companies and the GCC Region. 4.Programs being developed with the cooperation of American Chemistry Council (ACC) and European Chemistry Council (CEFIC). Signed MOUs’ CEFIC ACC 4Responsible Care- An Introduction

Responsible Care® - Framework Member Company 1 Member Company 5Responsible Care- An Introduction

Technical Codes underpin RC14001 certification Process Safety Distribution Environment Protection Security Health & Safety Product Stewardship CAER 6Responsible Care- An Introduction ISO RC 14001

Responsible Care® Achievements in the GCC

GPCA - Responsible Care® Key Achievements 8Responsible Care- An Introduction Member Company CEO’s signed commitment to Responsible Care® GPCA recognized as most progressive region in Responsible Care® Codes of Management Practices, managed by Sub-Committee Strategic plan developed EHS Metrics established (21 Total), managed by Sub-CommitteeMetrics Task Forces established for Contractor EHS Competency and Industrial Waste Technical Workshops (Typically 3 per year); - Codes of Management Practices - Fugitive Emissions - Asset Integrity - Global Product Strategy - Distribution - EHS Metrics etc. GCC recognized as most progressive region in Responsible Care®

GPCA - Responsible Care® Future Plan 9Responsible Care- An Introduction Establishment of Supply Chain Safety and Quality Assessment System (SQAS) Renewable Energy Strategy Development Processes for Long Range Research Initiatives Study to establish Regional Consultancy / Audit Support Establish Lessons Learned and Codes of Management Practice Best Practice Library Establish Regional Responsible Care® Coordinator networks

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Responsible Care® GPCA – Guiding Principles 11Responsible Care- An Introduction Responsible Care® is the global chemical industry’s health, safety, security and environment initiative that drives continuous improvement in performance. Responsible Care® is both an ethic and a commitment seeking to build confidence and trust in an industry that is essential for sustainability. These objectives are achieved by implementing the following guiding principles: To lead our companies in ethical ways that increases the benefits to society by protecting our people, environment and community. To design and operate our facilities in a safe, secure and environmentally sound manner. To instill a culture throughout all levels of our organizations to continually identify, reduce and manage occupational and process safety risks. To steward our products and services through each life cycle stages in order to protect people and the environment. To promote pollution prevention, minimization of wastes and conservation of energy and other critical resources. To counsel customers and stakeholders on the safe use, transportation and disposal of chemical products. To work with Governments, Agencies and Associations at all levels in the development of effective and efficient health, safety, security and environmental laws and industry standards. To recognize, respect and respond to community concerns about our products and operations. To extend knowledge by conducting or supporting research on the health, safety and environmental effects of our products and waste material management. To measure performance, openly report and make continual progress towards our goal of eliminating accidents, injuries or harm to human health and the environment from our products and operations. To seek continual improvement in our integrated Responsible Care Management System ® to address health, safety, security and environment performance. To promote the principles and practices of Responsible Care by sharing experiences and offering assistance to others who produce, handle, use, transport or dispose of chemicals. H.E. Mohammed Al-Mady Chairman-GPCA Dr. Abdulwahab Al-Sadoun Secretary General-GPCA Mr. Abdulrahman Al-Jawahery Chairman Responsible Care Committee-GPCA

Responsible Care® Business Benefits Benefits of Adopting RC 2.Compliance Assurance GPCA’s Responsible Care® Program and the management system will help member companies improve and sustain regulatory compliance 3.Return on Investment Responsible Care® can yield many business benefits important to senior management. Implementation can focus on improving performance in HSSE through lower emissions, less waste, fewer injuries, more secure facilities and operations, and lower operating costs. 1.Financial Marketplace Recognition. Socially Responsible Investing (SRI) indexes have been taking notice of Responsible Care® companies. For example, the FTSE4Good Index (managed by the Financial Times and the London Stock Exchange) noted significant overlap between Responsible Care® requirements and FTSE4Good environmental criteria, in addition to the strong possibility of streamlined inclusion on the FTSE4Good index through Responsible Care® implementation 4.Gaining efficiencies There are many efficiencies to be gained by taking advantage of existing management systems rather than creating new ones. By benchmarking against or adopting a Responsible Care® Management System®, Companies could realize significant benefits by streamlining current management systems utilizing existing resources. 12Responsible Care- An Introduction

Responsible Care® Business Benefits Benefits of Adopting RC 6.Improved Community Relations The Responsible Care® certification process can encourage and even improve successful communications and strengthen ties with facility communities and other stakeholders. 7.Competitive advantage Responsible Care® certified facilities will find themselves with a competitive advantage over non-certified facilities. Responsible Care® certification represents superior environmental, health, safety, security, product stewardship, and value chain performance, combined with robust community outreach - a combination not provided by ISO certification. 5.Risk and Liability Reduction Responsible Care® can be very helpful in giving confidence to management that processes, methods, and practices are in place to assure compliance, and to identify and address HSSE risks and liabilities in a proactive and sustainable manner. 8.Customer Expectations Reliable management systems are increasingly demanded by a company’s customer network, and are common in the global market place. Responsible Care® certification provides customers with the assurance that a company has met these expectations across the Supply Chain. 13Responsible Care- An Introduction

Community Awareness and Emergency Response Goal is to assure emergency preparedness and to foster community right-to-know through openness and community dialogue. Community outreach program Protect employees and communities Openly communicates relevant, useful information responsive to the public's questions and concerns about health, safety, security, and the environment CAER Stakeholders – Person or persons impacted or potentially impacted by the organization’s operations. These may include employees, stockholders, neighbors, emergency responders, other industries, competitors, commercial partners, public at large, NGOs, regulators, and anyone else with a personal stake in the organization’s operations Interested Party – Person or group, inside or outside the workplace, concerned with or affected by the HSSE performance By assuring that the facility has an emergency response program to respond rapidly and effectively to emergencies. 14Responsible Care- An Introduction

1.Code is designed to achieve ongoing reductions in the amount of all contaminants and pollutants released to the air, water, and land from member company facilities. 2.Code is also designed to achieve ongoing reductions in the amount of wastes generated at facilities by: i.Establishing long-term, substantial downward trend in the amount of wastes generated and contaminants and pollutants released. ii.Quantitative reduction goals to be established for giving priority to those pollutants, contaminants and wastes of highest health and environmental concern. 3.Code also includes practices that address the broader waste management issues beyond source reduction and other waste and release reduction efforts. 15Responsible Care- An Introduction Environment Protection

Process Safety 1.Code is designed to prevent fires, explosions and accidental chemical releases. 2.Code comprises a series of management practices that reflect this goal. 3.Practices are based on the principle that facilities will be safe if they are designed according to sound engineering practices, built, operated and maintained properly and periodically reviewed for conformance. 4.Code is divided into the following four elements: Management leadership, Technology, Facilities and Personnel. 5.Collectively, the Practices encompass process safety from the design stage through operation, maintenance and training. 6.The scope of this Code includes manufacturing, processing, handling and on-site storage of chemicals. 16Responsible Care- An Introduction

Distribution 1.Purpose is to reduce the risk of harm posed by the distribution of chemicals (including waste) to the general public (carrier, distributor, contractor, chemical industry employees and to the environment). 2.Code encompasses risk management, compliance review and training, carrier safety, safe handling and storage as well as emergency preparedness. 3.Code applies to all modes of transportation (road, rail, sea, air and pipeline). 4.Distribution activities include storage, handling, transfer and repacking while chemicals are in transit between member companies and their suppliers / customers. 5.Code encourages the development of new technologies and methods to improve chemical distribution safety 17Responsible Care- An Introduction

Employee Health and Safety 1.Goal is to protect and promote the health and safety of people working at or visiting member company work sites. 2.Code provides a multidisciplinary means to:  Health and safety management;  Identify and assess hazards;  Prevent unsafe acts and conditions;  Maintain and improve employee health and safety;  Foster communication on health and safety issues. 18Responsible Care- An Introduction

Product Stewardship 1.Purpose is to make health, safety and environmental protection an integral part of: i.Designing, ii.Manufacturing, iii.Marketing, iv.Distributing, v.Using, recycling and disposing of our products 2.Code provides guidance as well as a means to measure continuous improvement in the practice of product stewardship. 3.Code covers all stages of a product's life cycle. 4.Code recognizes that each company must exercise independent judgment and discretion to successfully apply the Code to its products, customers and business. 19Responsible Care- An Introduction

Product Stewardship across the Value Chain BUSINESS Awareness of Hazards & Risks of Products Product Stewardship

Security 1.Purpose is to help protect people, property, products, processes, information and information systems by enhancing security, including security against potential terrorist attack, throughout the chemical industry value chain. 2.The chemical industry value chain encompasses company activities associated with the design, procurement, manufacturing, marketing, distribution, transportation, customer support, use, recycle and disposal of our products. 3.Code is designed to help companies achieve continuous improvement in security performance using a risk-based approach to identify, assess and address: i.Vulnerabilities, ii.Prevent or mitigate incidents, iii.Enhance training and response capabilities, and iv.Maintain and improve relationships with key stakeholders 21Responsible Care- An Introduction