Complex Contractors Fined $235,000
CCH Australia - 12 July 2002
A joint venture and a
labour-hire firm have been fined $235,000 and ordered to pay $21,000 in costs
after one worker was shocked and burnt, and other workers exposed to health and
safety risks, while digging around live 11,000-volt power cables.
Joint venture companies
Transfield Pty Ltd and Worley Ltd pleaded guilty in the NSW Industrial Relations
Commission in Court Session to breaching section 16 of the NSW Occupational
Health and Safety Act 1983. They were fined on 17 May 2002.
Labour-hire firm Manbead
Pty Ltd pleaded guilty in the NSW Industrial Relations Commission in Court
Session to breaching section 15 of the NSW Occupational Health and Safety Act
1983. It was fined on 18 June 2002.
Transfield and Worley
were charged separately but prosecuted together. Manbead was prosecuted
separately.
Transfield and Worley
formed a joint venture known as TWJV but it wasn't incorporated. TWJV entered
into a Strategic Alliance Agreement with BOC Gases Australia Ltd to design,
procure, construct and precommission a new air separation plant on the site of
an existing, but old, air separation facility at BOC's Port Kembla site.
To prepare for the new
facility, the main 11,000-volt electrical power supply lines required
modification. Some of the buried power cables had to be reconfigured and
replaced.
The site supervisor, Joe
Luczycki, was contracted by TWJV through Interpad Pty Ltd. The three workers he
supervised were contracted through Manbead.
A Work Method Statement
was produced which relied on Energy Australia's Guide to Working on Underground
Cables.
TWJV gave no
consideration to de-energising the cables. The workers were to dig around live
cables. Because the cables were laid years ago their exact placement was
difficult to identify. The workers were given metal implements to excavate.
Management told workers the cables were live.
At about 7:30 am on 30
July 1999, one of the workers, Mark Pinney, was digging in one of the trenches
using a crowbar that had been left lying in the trench the day before. He hit
one of the 11,000-volt power cables causing an earth fault. There was an
explosion and a cloud of smoke.
Mr Pinney was shocked and
received two small burns under his armpits. His two co-workers escaped unharmed.
He was taken to first aid then to Wollongong Hospital for treatment and
monitoring.
The safety vest he was
wearing caught alight during the incident and was left at the site. One hundred
and fifty millimetres of cable on two of the powerlines disintegrated, while a
third powerline sustained damage to its copper wires and part of the insulation
cover came off.
Justice Kavanagh said
accepting that work could be carried out around live powerlines and that the
energy supply need not be interrupted should be challenged and not
"unreservedly adopted by industry".
"Industries working
on or around an electrical supply should not rely on advice from the suppliers
of energy as to safe working methods. Employees should not be required to work
around live supply lines where inevitably they could suffer a serious risk to
their health and safety. Alternative work methods must be considered," he
said.
Justice Kavanagh said the
labour-hire company, Manbead, had no formal safety procedures in place and
failed to have any input into the system of work adopted by TWJV. It just
assumed the TWJV job specification would ensure site safety. It passed the
responsibility for work design and training of its employees to the principal
contractor - TWJV.
Although Manbead told its
workers to complain if there was any danger, there were no independent site
safety standards in which the workers could be instructed to assist them to
recognise work hazards. Manbead presumed its employees were properly trained in
this area.
After the accident,
Transfield reassessed its safety system and introduced a behavioural-approach
model to work with its systems model. Transfield had prior convictions. Worley
also improved its safety systems and expressed sincere contrition. Transfield
was fined $110,000 and Worley $70,000. Both were ordered to pay $7,000 in costs.
After
the accident, Manbead expressed its concern and need to improve its safety
systems but no evidence was provided by 18 June to show that it had happened.
Manbead was fined $55,000.