While all Performance Standards are applicable to this investment, IFCs environmental and social due diligence indicates that the investment will have impacts which must be managed in a manner consistent with the following Performance Standards. If IFCs investment proceeds, IFC will periodically review the the project’s ongoing compliance with the Performance Standards

PS 1 – Assessment and Management of Environmental and Social Risks and Impacts
PS 2 - Labor and working conditions
PS 3 - Resource Efficiency and Pollution Prevention
PS 4 – Community Health, Safety and Security
If IFC’s investment proceeds, IFC will periodically review the the project’s ongoing compliance with the Performance Standards

This is a Category B project in accordance with IFC’s Environmental and Social Sustainability Policy. Potential E&S impacts associated with the operation of Topaz’s marine and CSG’s services are limited and can be easily avoided or reduced through mitigation and management measures that readily applied to meet international maritime standards and shipping codes, as well as internationally recognized standards for food safety and quality management systems. Compliance with maritime standards and shipping codes is a pre-requisite for vessels using international ports and harbors around the world. Effective HSSE management is a specific requirement of the Company’s key clients in offshore oil and gas industry. Demonstration of the careful management of HSSE risks, food safety and quality of services is essential for all Renaissance activities. None of Renaissance business groups received fines for non-compliance with local environmental laws and regulations. The Company doesn’t own, lease or manage any land and doesn’t operate facilities located in, or adjacent to, special protected areas and areas of high biodiversity value.

IFC's appraisal considered the environmental and social management planning process and documentation for the project and gaps, if any, between these and IFCs requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period of time, are summarized in the paragraphs that follow and (if applicable) in an agreed Environmental and Social Action Plan (ESAP). Through the implementation of these measures, the project is expected to be designed and operated in accordance with Performance Standards objectives.

Main E&S risks and impacts associated with Renaissance operations include:

Renaissance’s corporate health, safety, social and environmental (HSSE) management system capacity to address E&S impacts and risks associated with core businesses;

Human resources policies;

Labor issues including occupational health and safety performance;

Shipboard pollution control; spill prevention and emergency response;

Waste management; wastewater management;

Adherence to the requirements of the Caspian littoral states including Turkmenistan, Kazakhstan and Azerbaijan on “zero discharge” to the marine environment;

Hazardous materials management;

Food safety including Hazard Assessment and Critical Control Point (HACCP) Principles and ISO 22000 certification; primary supply chain;

Life and Fire Safety (L&FS) provisions for buildings for public access (accommodation, residential, catering facilities)



The Company has presented plans to address environmental and social (E&S) impacts and risks to ensure that the proposed Project will comply with the environmental and social requirements of the international maritime standards, host countries laws and regulations including Caspian littoral states, and IFC’s Performance Standards. The information about how these potential impacts will be addressed by the Company is summarized in the paragraphs that follow.



Environmental and Social Assessment, Identification of Risks and Impacts.

Identification of E&S risks and impacts associated with operation of the existing assets is made on a regular basis in accordance with the corporate and entity-level procedures adopted within the management systems applicable for core businesses.



Topaz has established, maintains and improves continuously the fully integrated Quality, Health& Safety, Social and Environment (QHSSE) management system consistent with ISO 9001, OHSAS 18001 and ISO 14001. The QHSSE management system incorporates entirely the requirements of the International Safety Management (ISM) Code, the International Management Code for the Safe Operation of Ships and for Pollution Prevention that outline necessary steps to ensure maritime safety, prevention of human injury or loss of life and avoidance of damage to the marine environment. QHSSE management systems of all Topaz Marine Caspian operations are ISO 9001 and ISM certified; Topaz Marine Kazakhstan also holds OHSAS 18001 and ISO 14001 certificates.



Contract Services Group has well structured quality and food safety management systems consistent with ISO 9001, Hazard Assessment and Critical Control Point (HACCP) Principles and ISO 22000. Most of CSG entities have been granted ISO 9001, ISO 22000/ HACCP certificates in various combinations.



Policy and Management Programs

Renaissance has established an overarching Health, Safety and Environment Policy defining the environmental and social objectives and principles to achieve sound environmental and social performance. The policy contains Re
naissance commitments to comply with the applicable host countries’ laws and regulations and to apply more stringent standards, where applicable, to be in line with clients’ polices and commitments. Also, Renaissance has subscribed to internationally recognized standards and certification schemes summarized above. Policy and management systems are based on 12 Renaissance Values, of which first two are People, Health& Safety and Environment. Values and the policy are clearly communicated to personnel, clients and stakeholders.



HSSE Plans, annually developed by Topaz and CSG, set up targets, performance indicators and improvement measures that address the identified risks and impacts. Targets include, among others, zero of lost time incidents, reduction of substances hazardous to health through substitution, reduction of waste.



Organizational capacity and competency, training

The Company has established a comprehensive and efficient corporate and entity-level structure for the effective implementation of its HSSE policies and plans. An adequate organizational structure defines clear line and functional responsibilities and authority at the corporate, divisional and local level management. Internal vertical and horizontal communications supports effectively the policy implementation, achievement of objectives and addressing local issues.



Extensive HSE training programs are carried out regularly. General and specific training programs are focused on identified training needs for relevant groups of personnel including vessels crews and shore staff. Training covers various topics specific for marine services: safety of marine operations, oil spill control, fire fighting; and the topics applicable to contractor services including but not limited by workplace safety, life and fire safety, hazardous materials handling based on MSDSs. Programs’ implementation facilitates availability of employees with the knowledge and skills necessary to perform their work, including compliance with the local regulatory requirements.



Monitoring, reporting and review

Health & Safety and Environmental performance of Topaz and CSG is monitored systematically through measurements, where applicable, and the frequentative internal inspections and audits of the Company’s management representatives. Monitoring of HSSE of marine operations, quality and food safety management systems is undertaken by the independent and third party auditors, Flag Administration authorities and relevant authorities of host countries. Corrective actions are developed to address non-conformities; implementation of corrective actions is monitored and documented. Also monitoring of HSE performance is delegated to each employee in accordance with a “Stop Card” adopted and implemented in the Company.



Management leadership and commitment to improvement of HSSE performance is communicated to personnel clearly. Essential internal reports are provided to the Topaz management monthl
y. Topaz and CSG management visits vessels, onshore bases and accommodation facilities and evaluates HSSE performance against established objectives and performance indicators that, among others, include lost time injuries, environmental incidents, near-misses reports, number of HSE training hours provided to personnel, road traffic accidents. Annual external reports available for public cover Renaissance core businesses including HSE data.

The Code of Business Conduct and the Employee Guide to Business Practices applied to all business units worldwide clear communicate the corporate culture values, high ethics standards and commitment to legal compliance.



The key element of the human resources policy is appointment, retention of competent personnel and its continuous development. Human resources procedures outline transparent recruitment, staff selection and training practices to address the Company’s commitments and the requirement of host countries on extensive employment of local staff. Recruitment process ensures selection of qualified and medically fit local personnel through multiple interviews, review of experience records and availability of certificates.



Upon appointment, the employee is given a contract of employment and employee handbook detailing terms & conditions of employment. Initial induction facilitates employee’s familiarization and awareness of responsibilities, disciplinary requirements and rights, conditions of work, promotion and benefits. Regular performance appraisals form the base for promotion, development and retention of qualified professionals. Furthermore, in 2010 Topaz Marine launched the culture survey to collect staff feedback on labor and safety conditions and analyze need for improvements.



The Company enforces the implementation of corporate human resources standards based on equal opportunities, non-discrimination principles and worker rights to participate in trade unions. Local operations adhere to local labor laws of host countries, where the Company operates.



The Company adopted a grievance handling policy and the principles to address grievances in an adequate manner. Concrete ways on how employees could raise their concerns including workplace and labor issues were developed and implemented. Different communication options ensure protection of the confidentiality of the employee, raising concerns other than to immediate supervisors. Key contact persons designated for handing concerns ensure that matters are brought to the appropriate level of management’s attention. A consistent grievance process is available for workers at the time of hire and communicated during the induction-training program. This mechanism provides feedback to those concerned. The employee is secured against any retribution by force of disciplinary actions up to termination to those who threatens with retribution.



Renaissance states that individuals below the age of 18 years are not employed and no forced labor is used at its facilities. CSG purchases 40% of food products from local suppliers. Renaissance reported that the risk of child labor in its primary supply chain is unlikely since child labor is prohibited by labor laws of Oman and the Caspian littoral countries and CSG enforces implementation of local laws.



Occupational Health and Safety (OHS)

Occupational health and safety hazards of local operations are identified and documented du
ring the risk assessment procedures. OHS risks are addressed through development of safety operation procedures; thorough selection of suitably qualified local personnel; assignment of competent advisors and managers delivering best international safety experience specifically to the ship crews and shore personnel. Comprehensive safety training and emergency drills are conducted systematically. Preventive and protective measures for marine operations are developed to meet requirements of the IMO International ISM Code, the International Convention for the Safety of Life at Sea (SOLAS) and local laws.



The Company undertakes employee medical examinations at the time of employment and thereafter repeat the health examinations according to a regular schedule based on the specific workplace conditions.



Incidents in relation to all Company activities, including near misses, are reported to management on a monthly basis. All incidents and near misses are investigated and any non-conformity with procedures recorded and, where necessary to prevent re-occurrence, new corrective actions are implemented. Records for Caspian operations indicated zero lost day incidents in 2009, 2010 and one in 2011.



Consolidated safety performance statistics demonstrated good safety performance in terms of Lost Time Injury Frequency (LTIF) rate of 0.53 in 2010 and 0.44 in 2011 with a slight trend to increase. Safety performance over business sectors in 2011 are the following: Topaz Marine LTIFR is 0.82; and CSG LTIFR is 0.04. Renaissance reported on two fatalities in 2011 over the marine repair job offshore, in the vicinity of a third party incident explosion. All incidents have been investigated thoroughly and improvement measures have been developed to prevent reoccurrence and achieve the Company goal on zero incidents.

Renaissance undertakes feasible efforts to promote and implement pollution prevention and energy efficiency systems and is fully committed to continue work towards efficiency of energy and water consumption.



All vessels operated in the Caspian conform with the International Convention for the Prevention of Pollution from Ships/Vessels (MARPOL) and the specific local requirement on zero discharges to the sea imposed by Kazakhstan, Azerbaijan and Turkmenistan on companies operated in the Caspian Sea according to the Framework Convention for the Protection of the Marine Environment of the Caspian Sea. Compliance with these requirements is closely managed and enforced by Topaz.



Renaissance is strongly committed to the safe and environmentally sound recycling of ships, specifically for those operated in Caspian in spite of fleet operated by the Company is relatively young with average age of approximately 6.5 years. To implement the commitment, the Company will establish an appropriate objective and develop the long-term program consistent with the IMO International Convention for the Safe and Environmentally Sound Recycling of Ships adopted in 2009. Low winter temperatures, shallow waters, water icing for up to five months of the northern Caspian are considered by Topaz in planning and providing its marine support services in Kazakhstan through specific design of ice-strengthened vessels, use of ice-breakers and preparedness of personnel to operate in harsh climate conditions.



CSG employed feasible measures to reduce water consumption at its accommodation facilities and achieved 2.36 m3 of water consumption per person per day. Reportedly, 25% of water consumed by CSG entities in 2011 was recycled. Additionally, the Company considers launching a pilot project for recycling of laundry effluents.



Wastewater and waste management

Specialized companies are contracted for removal, disposal, treatment of wastewaters, wastes, liquid and dry bulk materials in accordance with local regulations. Maintenance and overhaul of vessels operated in the Caspian region are provided by contractors responsible for compliance with local HSE requirements including wastewater and waste management. Moreover, Topaz has developed and implements sophisticated assessment and categorization of its suppliers and contractors to assure their compliance with Topaz QHSE standards. The Company monitors contractors’ QHSE performance and compliance with local regulations through audits.



Liquid and dry bulk cargo (drilling mud, cement compositions, diesel fuel, potable and non-potable water, and chemicals) are transported by PSVs in the special purpose designed tanks tested annually. All ships operated by Topaz are TBT (tributiltin antifouling paints used for vessel’s hull coating) free. A few vessels are included in the special program for graduate replacement of R22 at future scheduled repair periods.



Sewage waters are treated onboard, if the vessel is equipped
by the biological wastewater treatment unit, or collected onboard in tanks and discharged to the port or shore base facilities for further treatment. Solid wastes generated by OSVs are initially collected onboard and disposed to either port facilities or onshore bases.



Wastewaters generated by accommodation and catering facilities go to the on-site or municipal wastewater treatment plants. Water after the treatment is used for irrigation, where applicable. Domestic wastes are segregated, collected, stored temporarily on the special equipped areas and then removed by specialized and licensed contractors. Food and medicine wastes are disposed separately in line with regulations applicable for these types of wastes.



Air emissions, greenhouse gas emissions

Ship’s air emissions of nitrogen oxides and sulfur oxides are controlled through the International Air Pollution Prevention Certification (IAPP) for engines, where applicable. Renaissance has estimated and published greenhouse gas emissions generated by its core businesses in 2011: Marine – 102, 6 tons in carbon dioxide equivalent (CO2 eq.); Engineering – 1,2 tons in CO2eq.; CSG – 2,9 tons in CO2eq.



To ensure safety of personnel and the marine environment the Company employs certified onboard equipment and implements measures for protection against the sour gas (H2S) that potentially may release during the oil production



Emergency preparedness and response

Emergency response procedures address potential predictable emergencies and identify communications, responsibilities and measures for assuring appropriate emergency response from company’s and/or public and port authority emergency response systems. Emergency response plans were available at visited ships, shore facilities and accommodation facilities. Plans document clearly responsibilities and emergency response actions of personnel. Shipboard emergency drills that cover such cases as ship collision, pollution of the marine environment, onboard fire, and confined space rescue are scheduled annually in local operations including Caspian.



Any event associated with negligible impacts on the marine environment is monitored, reported and investigated thoroughly. As a result, the Company’s E&S performance records demonstrate the stable reduction of such events in the Caspian region: from 4 in 2009 to 1 in 2010 in Azerbaijan; and zero events in Kazakhstan in 2010. Successful environmental performance of Topaz Marine in the Caspian region is demonstrated by zero environmental incidents in 2011. Number of incidents reported over Topaz Marine combined operations is below KPI established to achieve in 2011.



Life and Fire Safety

Accommodation facilities are equipped with life and fire (L&FS) means including fire alarm systems, smoke detectors, fire extinguishers, fire hoses hydrants and fire water tanks. Equipment and systems are inspected and tested regularly by the Company’s authorised personnel and the relevant authorities.
Personnel responsible for life and fire safety are provided with special external and internal training.

No local communities are expected to be directly affected by impacts associated with Topaz routine activities. Routine operation of the accommodation facilities also is not associated with significant impacts on community health and safety owing to mitigation measures readily applied by the CSG. Most of CSG entities hold ISO 9001, ISO 22000/ HACCP (Hazard Assessment and Critical Control Point) certificates in various combinations. Implementation of internationally recognized food safety standards contribute to community health through mitigation measures readily applied. CSG implements procedures for its suppliers and requests availability of certificates of conformance with ISO 22000/ HACCP principles. 60% of food products are imported and 40% are purchased from local suppliers. Safety of food products is secured by tests and certificates of the relevant health care authorities.



Security Personnel

Renaissance employs direct workers as security personnel mainly in PAC premises The security personnel are not permitted to carry any firearms in their course of operation. Security policy defines management commitment to ensure safety and security of workplaces including incident investigation and reporting. Security issues are reported at the HSSE meetings monthly.

Annual external reports available for interested parties and public disclose information on Renaissance business operations and general HSE data. Also, essential EHS information is displayed at its website: http://www.renaissance-oman.com. No local communities are expected to be directly affected by impacts associated with Topaz routine activities. Ports/ onshore bases’ special equipped facilities for vessel overhaul, cargo loading and unloading operations are located in industrial zones. Additionally, onshore facilities have adequate access control and safeguard system. ISO 9001 certified entities receive and address inquiries of any interested parties through communication procedures incorporated into the quality management systems.

For more information about the project and local access of documentation, please contact:

Mr. Vishal Goenka
Group Chief Financial Officer
Renaissance Services SAOG
Muttrah, Sultanate of Oman
Tel: +968-24796636
Email: mailto:vishal@tawoos.com

Broad Community Support is not applicable for this project