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The Corporate Safety Policy, adopted in 2006, effectively brings a new culture and hierarchy in corporate health and safety that provides a consistent, clear and proactive framework for managing our increased risk potential when expanding business horizons and for strengthening our ongoing working systems and practices.

The underlying safety strategy aligns with the dual goals of the Policy, which are, to maintain a climate of safety awareness and to employ management systems that promote continuous improvement in safety performance across the organisation. The Policy clearly articulates safety to include both occupational and public health and assures the consistent deployment of safety approaches to achieve the Safety Policy intent.


Safety Governance

The Corporate Safety Committee is the supervisory working group comprising the existing Operations Safety Committee plus three new divisional safety committees - Property, China and International Business and Rail Projects Construction.

Under the supervision of the Corporate Safety Committee, an annual Safety Plan is formulated and enacted. Both qualitative and quantitative targets are established. Performance against targets and other relevant information are fed on a continuous basis directly to the Committee for analysis, action and reporting. Under the Safety Plan, 'fit for purpose' management systems, training programmes and accountability structures manage the health and safety issues specific to the businesses disciplines and the corporate divisions that run them.


Staff

In respect to employees, the Corporate Safety Policy encompasses a broad spectrum of issues relevant to workplace tasks, the environment, and services. These issues are identified and monitored with recommended actions implemented and managed under the Integrated Management System (IMS). Safety programmes are executed principally through the Corporate Safety Plan which details the areas, targets and objectives, and how safety is to be managed across the organisation. The programmes engage relevant divisional and functional staff outlining specific goals to be achieved and profiles the team members to take the ownership role in achieving the objectives. Individual divisions also employ their own mechanisms such as the Property Division's safety manuals to monitor and control systems and the day to day safety operations on site.

Our record for staff safety on the operating railway in 2006 has again performed well against targets with zero fatalities amongst staff and a low 0.63 loss-time injury frequency rate against the base 200,000 man-hours worked.


Passengers and Customers

Safety is stringently enforced and monitored at all points of the customer's interaction with our services. Within the framework of the IMS, annual targets under the directive of the Corporate Safety Committee are set out for all divisions. These targets are expressed in the corporate-wide twelve safety objectives with the additional 13 Customer Service Pledges specific to rail operations. In 2006 our safety record maintained a high standard with no passenger fatalities in large part due to the completion of the platform screen doors retrofit programme.

Participation in the annual CoMET survey provides valuable benchmarking opportunity for international safety standards for rail operations. We have consistently ranked on average amongst the top three in safety performance of participating metros world-wide. Our Property Division works under an industry and business case specific set of standards aligning to the OHSAS 18001 international standards for occupational health and safety. In addition to the twelve safety objectives, a set of service pledges covering security, cleaning and maintenance caters to the needs for our retail customers, commercial and residential tenants and our property management staff. Two IFC, a prestigious commercial complex, obtained the OHSAS 18001 accreditation in 2005 and commits us to stringent international codes in health and safety for all users of the building. Safety extends beyond people to the environment of our rail operations, shopping malls, commercial properties and related customer services. Station indoor and rail car air quality, temperature and ventilation controls, escalator access, platform screen doors, convenient pedestrian walkways/interchanges and other features mindful of user needs provide for a comfortable, safe and healthy environment for our passengers, retail patrons and the broader community which use our facilities. In 2006, we introduced the application of Nano-Silver-Titanium Dioxide Coating (NSTDC) to commonly passenger-touched areas within the MTR system to reduce the spread of communicable diseases.

Contractors

Site safety is a priority risk to our business demanding stringent standards and monitoring processes for our contractors and their on-site operations. We set our own targets that are captured by the Enterprise Risk Management process, and structure contractual obligations that demand more than compliance to local regulations. Site safety is monitored regularly through inspections, contractor meetings, timely accident reporting and follow up procedures. We take a hands-on role in safety for those properties developed by our joint venture partners. The master Control Document details expected safety best practices. We employ a site manager seconded from our Operations Division to work with our partners on a daily basis and appoint an independent health and safety engineer to ensure safety is properly practiced and to the standards stipulated.