OUR BUSINESSES: TODAY AND TOMORROW
ENVIRONMENT AND SAFETY
GOVERNANCE
STAKEHOLDER ENGAGEMENT
In 2021, sustainability priorities were integrated into key company systems, including capital guidelines, Health, Safety and Environmental Management System (HSEMS) assessment, new hire orientations and asset acquisitions. We operate in a highly regulated industry and comply with the many local, state and federal regulations that affect our operations, including those concerning air emissions, water effluent and solid waste-handling. We strive to eliminate environmental events, and we work to prevent releases of hydrocarbons or chemicals. Our Health, Safety and Environment (HSE) policy defines our commitment to protecting our employees, contractors, customers and communities while achieving our goals for growth, returns and distributions. We integrate our health, occupational safety, process safety and environmental stewardship principles throughout our businesses, with a commitment to continuous improvement that minimizes our potential impact on our neighbors and the environment. We also consult with stakeholders on environmental issues.
Health, Safety and Environmental Management Our HSE policy is the foundation for our HSEMS. The HSEMS creates environmental awareness internally and is the framework for consistently monitoring our environmental performance and ensuring our operations minimize their impact on the environment. Our HSEMS guides our entire workforce, including labor and management, experienced workers, new hires, contractors and subcontractors. It provides the framework to reduce risks and improve performance while establishing a continuous improvement process for policy implementation, leadership expectations and core values. This focus on operating excellence facilitates HSE performance and compliance with key standards, procedures and guidelines. Our rules apply to all business units and are often stricter than regulatory requirements. Core standards include reporting, metrics, crisis management, emergency response, due diligence, incident investigation, risk assessment and corporate auditing. Our rigorous auditing protocols enable us to assess our performance and progress frequently. On-site inspections are conducted by both third-party auditors and Phillips 66 internal auditors trained to recognize health and safety best practices. All deviations are investigated and corrected. All Phillips 66 sites have HSE controls and practices, along with HSE management and staff dedicated to excellence and risk mitigation. Our Senior Vice President of HSE and Projects has direct responsibility for the HSEMS and reports directly to our Chief Executive Officer. HSE considerations are embedded into every task and business decision. Our business units have internally audited multiyear plans for environmental improvement. Our dynamic "Plan-Do-Assess-Adjust" approach allows our HSEMS to be proactive in making adjustments to drive environmental progress. Ferndale Refinery FERNDALE, WA
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PHILLIPS 66 2022 SUSTAINABILITY REPORT