Risk Management at NIPIGAS

Integration of HSE into the Risk Management System of an EPC Contractor

The specifics of implementing large construction projects require a comprehensive approach to risk management. Alexander Kobzev, Head of Health, Safety and Environment at NIPIGAS, shares his experience in integrating HSE processes into the overall risk management system of a company operating under the EPC (Engineering, Procurement, Construction) model.

The speaker emphasizes that in project activities, HSE risks do not exist in isolation. They are an integral part of the production process, from the design stage to the commissioning of the facility. Separating occupational safety from construction itself is impractical, as safety is embedded at every stage of project implementation.

Contractual and Operational Risks in Construction

The presentation details the division of risks into contractual and operational. Contractual risks are related to the project economics and the requirements of clients and creditors. For example, during the construction of the Amur Gas Processing Plant (AGPP), international creditors required an assessment of the impact of socially significant and environmental aspects on the region, as this directly affected the success of the investments.

Operational risks cover all stages of the EPC model:

• Engineering: Risks are embedded as early as the formation of the technical and commercial proposal (TCP). HAZID and HAZOP methodologies are applied to identify hazards and assess the operability of future installations.
• Equipment Supply (Logistics): Timely delivery is critical. Delays force the reallocation of thousands of workers to other tasks, creating new risks of injury and financial losses.
• Construction: The most complex and hazardous stage, requiring continuous monitoring and prompt response to changes.

Three Lines of Defense and Adaptation to Megaproject Conditions

For effective risk management, NIPIGAS has built a system of three lines of defense:

• First line — workers who face risks daily at their workplaces.
• Second line — functional departments (risk management, compliance, HSE) providing methodological support and control.
• Third line — internal and external audits, including certification to international standards (e.g., ISO 45001) involving independent experts.

Using the AGPP as an example, the speaker shows how the company adapted to difficult conditions: the pandemic, changes in logistics, and a shortage of qualified personnel. One of the key tools was brainstorming, which allows for quickly finding solutions in non-standard situations. An electronic permit-to-work system was also implemented, which demonstrated high efficiency after two years of testing.

Personnel Training as a Risk Reduction Tool

Special attention is paid to working with contractors and personnel training. On the AGPP project, the company faced low worker qualifications and a language barrier. To solve this problem, training centers were established at shift camps, where workers were trained in safe work practices (working at heights, excavation work) and improved their skills while waiting for migration clearance.

In addition, a training program for line engineering and technical personnel (foremen, supervisors) was implemented from among the most experienced workers to reduce the burden on managers and ensure high-quality safety control on site.

What you will learn from this webinar:

• How to integrate HSE processes into the overall risk management system of an EPC contractor?
• How to manage contractual and operational risks on large construction projects?
• What tools help adapt to changes and unforeseen situations on megaprojects?
• How to organize effective training for a multinational workforce amid a personnel shortage?
• How does the implementation of electronic permits-to-work improve safety when performing high-risk work?