QAFAC Sustainability Report 2021

Sustainability
report 2021
Preserving the future

through sustainability
QAFAC Sustainability Report 2021
His Highness Sheikh Tamim bin Hamad Al Thani His Highness Sheikh Hamad bin Khalifa Al Thani
Amir of the State of Qatar Father Amir

GRI 102-45, GRI 102-46, GRI 102-49, GRI 102-50, GRI 102-51, GRI 102-52, GRI 102-53, GRI 102-54, GRI 102-56, GRI 102-6
About Our
Reporting framework Reporting topic boundaries
Report
This report has been prepared in accordance with This report covers information and data related to our
the GRI Standards: Core option. This report also activities in Qatar, including our Head Office, Methanol
references the Sustainability Accounting Standards plant, utility facility, and Methyl-tert-butyl-ether (MTBE)
Board (SASB) Oil and Gas Sector Standard, the plant. Our products’ sales and transportation are not
International Petroleum Industry Environmental included in our reporting boundary. The international
Conservation Association (IPIECA), and Qatar sales of our products are handled by Qatar Chemical
Qatar Fuel Additives Company Stock Exchange (QSE) Environmental Social and and Petrochemical Marketing and Distribution
(QAFAC) is delighted to share insights Governance (ESG) Guidance. Company Q.J.S.C. (Muntajat), while our domestic sales
on its performance across economic, in Qatar are to Gulf Formaldehyde Company Q.S.C., a
environmental, and social topics of Furthermore, this report highlights our role in subsidiary of Qatar Fertilizer Company (QAFCO) and
material importance to the organization supporting the national government and the larger QatarEnergy. Data from contractors and suppliers are
and its valued stakeholders in the eleventh society to achieve the United Nations Sustainable not included in this report unless otherwise stated.
year of sustainability reporting. Development Goals (UN SDGs) and the Qatar
National Vision (QNV) 2030.
In line with our previous sustainability reports and Data collection and
the most recent 2020 QAFAC Sustainability Report, reporting approach
this 2021 sustainability report discloses our annual Information covered
sustainability performance for the calendar year The information and data disclosed in this report
from 1 January 2021 to 31 December 2021. This report covers the management approach and have been gathered from relevant functional
performance on material topics to our business and departments in accordance with the GRI reporting
our stakeholders. For more details on our material framework, SASB, GPCA, IPIECA, and Industries Qatar
Let us hear from you
and other important topics, please refer to page 31. (IQ) guidelines. Wherever relevant in the report, we
Sustainability reporting is an ongoing and evolving Additionally, this report highlights our key initiatives have specified our approach for data collection,
process. We welcome your feedback on the contents of and achievements in the reporting period, which calculation methodologies, and assumptions, if
this report as well as on our approach to reporting at: enabled us to enhance our performance on the any. QAFAC’s greenhouse gas (GHG) emissions,
material topics. as reported in the Environment Chapter, are
Telephone: +974 4476 6777/4477 3400
Fax: +974 4477 3555
substantiated by a QatarEnergy-appointed verifier.
Email: [email protected] The report has not been subjected to external
assurance. However, the data and information
presented have been subjected to an interactive
review process to identify any potential inaccuracies
and ensure reliability.

Introduction Our Safety
6 70
Introducing our Report 7 Health and Safety 73

About QAFAC 12
QAFAC at a Glance 19
Contents
Our Growth Our People
34 90
Economic Performance 37 Human Rights and Labor Standards 97

Innovation and R&D (including Digitalization) 39 Employee Attraction, Retention, and Engagement 98
Operational Reliability and Business Continuity 43 Learning and Development 102
Sustainable Supply Chain Management 46 Diversity and Equal Opportunity 105
Product Responsibility 48 Community Engagement and Investment 107
Qatarization 108
Our Environment
50 GRI Content Index 110

Glossary of Abbreviations 116
Resource Efficiency 53
Climate Change 55
Waste 63
Water 66
Biodiversity 69
Introduction Our Growth Our Environment Our Safety Our People
Introduction
This chapter provides an introduction
to QAFAC and its integral association
as a key member of the QatarEnergy
family and the energy sector of the
State of Qatar.
Introducing Our Report
About QAFAC
QAFAC at a Glance
QAFAC Sustainability Report 2021 6

Introducing Our Report

Our 2021 Key Performance Highlights and Achievements
GROWTH ENVIRONMENT SAFETY PEOPLE
Successfully commissioned
100% Methanol Regenerate Gas Scrubber
No LTI and TRI
319 Employees
plant reliability during the reporting period
(RGS) Unit in October 2021
Achieved the second

highest annual production Energy intensity -
record in our Methanol 14.57 GJ/ton of
Zero fatalities during the 7.8% Female
reporting period employees
plant with a total of production
1,114,593 MT
GHG intensity - Occupational Health &

Attained 120.27% of the
targeted annual production 0.67 TCO2e/ton
Safety system and culture 30.4% Qatarization
rewarded with RoSPA (increase from 30% in 2020)
for Methanol of production silver award
63% of our total supplier

contribution spent on local 44.7% reduction in Zero heat stress incidents 39 trainees
suppliers flaring off-spec gases for 10 consecutive years and interns
Enhancement of Key milestone achievements Maintained ISO 45001

QAFAC Digitalization in strengthening GHG occupational health and 6,262.1
Strategy
emissions management safety management system Training hours
system certification

GRI 102-14
Message from
our Chairman
I am pleased to introduce QAFAC’s 2021 Sustainability
Report, marking eleven years of our commitment
to disclosing QAFAC’s sustainability performance.
As Qatar gears up for the 2022 FIFA World Cup, the
topic of sustainability has garnered international
attention. The State of Qatar is continually striving to
promote sustainability through its commitments to
achieve a carbon-neutral event. This has resulted in
wide ranging government plans and sustainability
strategies and commitments by corporations,
that are increasingly environmentally conscious of
present and future.
2021 has marked a year of remarkable changes

and renewed commitments for the State of Qatar.
The renaming of the Ministry of Municipality and
Environment (MME) to the Ministry of Environment
and Climate Change (MoECC), coupled with the
release of Qatar National Environment and Climate
Change Strategy (QNE) by the MoECC has set a
defined pathway to sustainable transformation of
Sheikh Thani Bin Thamer Al-Thani Qatar’s environmental landscape.

Global efforts to tackle climate change have “Our sustainability-enabled corporate strategy is what
strengthened in the past year, this is supported by
the multilateral dialogue at COP26 that emphasized
underpins our success as a business today.”
the urgency to curb the disruptions caused by
climate change. The State of Qatar, under the able corporate strategy aims to achieve economic market innovations. By studying the global supply,
and visionary leadership of the Amir of State, is a development that is both environmentally and global demand drivers and the pricing trends for
nation that commits to responsible development. socially conscious. MTBE whilst accounting for the market impact of
COVID-19, the study assisted us in aligning with
QAFAC is proud to play a role in building long-term From an environmental standpoint, our focus to QatarEnergy - a set of recommendations that can
sustainable growth in the chemicals sector as well transparently track and report our greenhouse gas guide the development of a roadmap for optimum
as creating shared value for all our stakeholders. (GHG) emissions remains firm in 2021, and QAFAC utilization and the strategic navigation of changes
QAFAC is focused on producing petrochemical has continued to implement the internationally and challenges in the gasoline market arising today,
products in a responsible manner – primarily recognized GHG Accounting and Reporting (A&R) and in the years until 2030 and beyond.
Methanol and MTBE and this demonstrates our program.
commitment to actively contributing to sustainable The petrochemical industry has shown great
development, in alignment with the objectives of the In addition to our efforts to promote and implement growth resilience especially in its recovery from
Qatar National Vision 2030 and the United Nation’s environmentally friendly business practices, we are the pandemic, and the future of the industry
Sustainable Development Goals. keen to ensure that our workforce is healthy and is promising. As a steadily growing field, the
safe. Workforce health and safety management is petrochemicals industry is well positioned to be
This reporting year, QAFAC showed remarkable one of QAFAC’s key priorities, and the absence of any a driving force in the promotion of global energy
resilience in the face of significant challenges, and work-related fatalities or lost time injuries during 2021 security and environmental protection. QAFAC
this resilience is testimony to the collective efforts is a proud affirmation of this commitment. places this opportunity to promote real change
of our people who are united in shared values at a high regard and maintains its commitment
and goals. QAFAC’s refreshed corporate strategy In this new era of challenges categorized by to undertake economic development with a
sets strategic targets to achieve business and change and with uncertain global situations, we are sustainable mindset.
operational excellence. confident in our ability to adapt and to succeed. Our
value-driven strategies have helped us to remain Lastly, I would like to express my gratitude to the
This is enabled by various sustainability levers that focused on our main objectives in delivering value true agents of success and drivers of excellence
aim to address the challenges of climate change, for our shareholders. at QAFAC – our very own leadership team, Board
such as resource efficiency, business continuity, members and employees, who help us realize
diversity & equal opportunity, and many others. We conducted a study to understand the outlook our mission and uphold our values, and to our
By staying well-informed on global trends and for the continued use of MTBE with our existing contractors and business partners, who share our
addressing the needs of our community, QAFAC’s customer base and adapt our business to future journey towards a more sustainable future.

GRI 102-14
Message from
our Chief
Executive Officer
It gives me immense pleasure in presenting QAFAC’s
11th annual sustainability report. Through this report,
we communicate QAFAC’s sustainability journey and
demonstrate our commitment to the environment
and socio-economic development of Qatar. As we
publish this report, there is a myriad of challenges
impacting businesses across geographies. The after
effects of the pandemic and the global economic
challenges are influenced by more demands placed
on climate change requirements. This has an impact
on the social and economic well-being of most
operating assets in the State of Qatar.
QAFAC continued to uphold its values and to meet

the targets throughout 2021. This year has proven to
be another solid period of operational excellence,
environmentally conscious growth, socially driven
Ahmed Abdulqader Al-Ahmed action focused on our workforce, and increased

digitalization.

QAFAC’s mission is “to its business aligned to the goals of environmental We are focused on the development of national
preservation. Initiatives to influence our footprint on human resources by placing great emphasis on the
produce high quality the environment in a positive manner include the development of a new generation of professionals
Carbon Dioxide Recovery Unit, the Selective Non- that will lead QAFAC into a successful future. QAFAC
Methanol, MTBE and other Catalytic Reduction Unit in our methanol reformer has achieved 30.4% Qatarization in 2021.
derivatives by developing our and the Near-Zero Liquid Discharge (N-ZLD) project,
which is currently under construction. QAFAC has a set of values, code of conduct and
talent, fostering our culture of life saving rules which are the foundation of how
excellence, and maintaining QAFAC is also upgrading its Jetty product loading we operate. These values encourage professional
system which enhance safety and limit the emission conduct that prioritizes the compliance to workplace
the highest HSSE standard. of vapors thereby reducing the environmental ethics and culture, QAFAC believes in a fair, tolerant,
We create value for all our pollution from ship loading activities. and equitable work environment that puts its people
first.
stakeholders and contribute to We have successfully completed the construction
Qatar National Vision 2030.” and commissioning of the Regenerate Gas Scrubber Increased Digitalization
(RGS) Unit in the last quarter of 2021. QAFAC is
monitoring the RGS unit to evaluate the performance We have implemented several digital initiatives
Operational Excellence & against desired targets. RGS project is reducing and projects during the year, thereby constantly
Environmentally Conscious Growth flare emissions and minimizing the consumption of increasing the efficiency of our operations,
natural gas. optimizing our costs, while also reducing our
Driven by our persistent efforts to improve the negative impacts on the environment and society.
efficiency and reliability of our plants, QAFAC’s Socially Driven Action Focused on As we look to the future, we are optimistic in our
operational performance has witnessed a period of Workforce and Nationalization ability to continue advancing our sustainability
increased productivity and profitability during 2021. initiatives alongside the State of Qatar’s National
Our plant reliability figures in 2021 stood at 100% for Despite all the challenges we have faced during Vision for 2030 and the United Nations Sustainable
our methanol plants and 88.64% for our MTBE plants, the past two years of pandemic, we have never Development Goals (UNSDGs).
allowing us to achieve an annual production of taken our eyes off the need to operate safely as well
1,114,593 tons of methanol and 487,031 tons of MTBE. as to protect and preserve the environment. Our I am confident that we will continue to thrive in
commitment to achieving world-class Health, Safety, the petrochemical industry and actively shape a
QAFAC’s focus on environmental protection Security and Environmental (HSSE) performance is sustainable and prosperous present and future for
and implementation of environmentally friendly demonstrated by our consistent and predictable our company, the State of Qatar, and its people.
initiatives is a significant driver of responsible and safety performance. At the time of publishing this We are pleased to present our annual sustainability
environmentally responsible production methods. report, QAFAC has successfully achieved 18 million report to provide our readers with an insight on
QAFAC has maintained its commitment to conduct safe working hours without any lost time injuries. QAFAC’s 2021 sustainability performance.

About QAFAC
GRI 102-1, GRI 102-2, GRI 102-3, GRI 102-4, GRI 102-5, GRI 102-7
Our Profile Methanol is a highly versatile chemical building

Methanol block, used to produce a multitude of everyday
Qatar Fuel Additives Company (QAFAC) was consumer and industrial items. These items include:
• Commodity product
established as a joint venture in 1991 and began
• QAFAC plant is designed to produce
operations in 1999. QAFAC’s ownership currently
2,950 MTPD/Year
rests with Industries Qatar (IQ), OPIC Middle East • Fundamental chemical building block
Corp., International Octane L.L.C, and LCY Middle used for the production of many products Plastics Adhesives Resins
East Corporation. We are headquartered in Doha, • Used as an additive for transportation
Qatar, while our manufacturing plant is located in and marine fuel
Mesaieed Industrial City (MIC), Qatar. • Used in the marine, automotive, and
electricity sectors
QAFAC is a critical component of Qatar’s Glues LCD TV Computer Screens
downstream value chain, manufacturing two

commercial natural gas derivatives. Our integrated
facility uses Natural Gas and Butane to produce
Methanol and Methyl-tert-butyl-ether (MTBE). The Silicone Windshield Propane
input Natural Gas is sourced from QatarEnergy. washer fluid
MTBE
Additionally, pentane is produced as a by-product.
Our finished Methanol and MTBE products are • Specialty Product
marketed by Muntajat, which has exclusive rights • QAFAC plant is designed to produce
to purchase, market, distribute and sell specified 1,830 MTPD/Year Furniture Carpeting Plywood Subfloors
regulated chemical and petrochemical products • Used as a emissions reducing additive

in gasoline for the state of Qatar and
produced in the State of Qatar, both internationally
customers around the globe
and domestically.
Vaccines & Other Pharmaceuticals

GRI 102-6
Additionally, methanol is also used in an increasing

number of energy-related applications.
As global demand for clean energy

and concerns for preserving the
environment are rising, methanol
has emerged as one of the choices
for a clean, sustainable
transportation fuel
alternative for the future
(vehicle fuel, marine fuel, etc.).
Whether used in a blended application with

gasoline or on its own as a substitute for
diesel or gasoline.
On the other hand, MTBE is widely used as a fuel

additive. For example, MTBE mixed with motor 2021 Methanol Sales (%)
Methanol is an economically gasoline reduces the tail gas emissions generated Rest of Asia 49.7%
viable alternative-energy by motor vehicles. The addition of MTBE provides a
Asia 26.5%
solution that can provide fuel positive impact on the environmental foot print of
diversity and reduce emissions
America 9.2%
gasoline.
like sulphur oxide (SOx) and nitrogen Europe 8.7%
oxide (NOx). QAFAC’s domestic sales contribute to the earnings Middle East 5.6%
of QAFAC and its shareholders. We meet the MTBE

needs for the entirety of domestic gasoline sold
in the State of Qatar. Our Methanol is supplied to
It can also be produced
from 2021 MTBE Sales (%)
Gulf Formaldehyde Company Q.S.C, a subsidiary
renewable resources
of Qatar Fertilizer Company (QAFCO), to produce Rest of Asia 2.1%
like biomass, landfill gas, and CO2,
Formaldehyde. Beyond Qatar, our footprint is in the
which are aimed at reducing the Asia 41.9%
Middle East, Americas, Europe, and Asia markets. The
carbon footprint of the methanol America 3.3%
geographic sales distribution is represented in the
production process.
figures on the right. Europe 5.3%
Middle East 47%

GRI 102-16
To produce high-quality Methanol, MTBE,

and other derivatives by developing our
Be a leading producer of Methanol & talent, fostering our culture of excellence
MTBE recognized for our reliability and and maintaining the highest HSSE
Vision the quality of our products.

Mission standards. We create value for all our
stakeholders and contribute to Qatar
National Vision 2030.
QAFAC’s Values
Safety People Excellence Integrity Responsibility
“We ensure safety in “We care about people.” “We strive for continuous “Focus on performance, “We care deeply for the
everything we do.” improvement in all deliver what we promise. environment and all the
dimensions.” Clear objectives.” communities we impact.”
We place the highest We promote trust, respect, We always seek to We govern our actions We commit to operate in
priority on health empowerment and enhance our processes by honesty, ethics, a sustainable and socially
and safety of all teamwork to leverage our and systems to achieve transparency and fairness. responsible manner.
the employees, the collective strengths. greater efficiency,
contractors, their families productivity and
and the communities performance.
around us. We strive for
incident free workplace.

Our Shareholders
A joint stock company registered and A wholly-owned subsidiary of Overseas

incorporated in the State of Qatar as a
Industries Qatar OPIC Middle East Petroleum and Investment Corporation,
Qatari Shareholding Company (Q.S.C.C). (IQ) Corp. (OMEC) which in turn is beneficially owned by the
50% 20%
In 2003, QatarEnergy transferred the entire CPC Corporation of Taiwan (CPC). CPC
shareholding in QAFAC to IQ, owned 51% is a state-owned enterprise involved in
by QatarEnergy. QatarEnergy is the state- exploring, refining, storing, and distributing
owned corporation of Qatar, engaged in all oil and natural gas and manufacturing
phases of the hydrocarbon industry in Qatar petrochemical raw materials.
and abroad, including the exploration and
production of oil and gas, and in downstream
industries such as QAFAC.
A wholly-owned subsidiary of LCY Investments

Corp., which is, in turn, a wholly-owned
A DUTCO Group of Companies member with subsidiary of the LCY Chemical Corp. (LCY),
interests in civil, mechanical, and electrical founded in 1965 and committed to science
engineering, manufacturing, hospitality, innovations for a sustainable future. The product
real estate, oil, and gas production, and the portfolio of LCY includes synthetic rubber
renewable energy sector, both in the UAE and performance plastics, electronic-grade
and Globally. IOL was established to develop chemicals, bioscience, and methanol and
International LCY Middle East
business opportunities worldwide in the rapidly solvents. LCY operates with integrity, teamwork,
Octane LLC (IOLLC) Corp. (LCYMEC)
growing MTBE and methanol markets. IOL was innovation, and accountability and has
the developer of the QAFAC project jointly with
QatarEnergy. 15% 15% footprints across Asia, North America, and the
Middle East.

GRI 102-13
Our Memberships and Associations
The Royal Society for the Prevention of Accidents (RoSPA)

RoSPA is a registered British charity established in 1916 with the objective of saving lives and preventing accidents
that can cause life-changing injuries.
The Gulf Petrochemicals and Chemicals Association (GPCA)

GPCA represents the downstream hydrocarbon industry in the Arabian Gulf. The association manages six working
committees – Plastics, Supply Chain, Fertilizers, International Trade, Research and Innovation, and Responsible Care
– and organizes six world-class events each year.
Mary Kay O’Connor Process Safety Center (MKOPSC)

The Center’s mission is to promote safety as second nature for organizations around the world with goals to
prevent future incidents. In addition, the Center also develops safer processes, equipment, procedures and
management strategies to minimize losses within the processing industry.
Methanol Institute (MI)

Methanol Institute is a global trade association for the methanol industry representing the world’s leading
methanol producers, distributors and technology companies. The mission of the Methanol Institute is to serve
and provide cost-effective value to its members.
Asian Clean Fuels Association (ACFA)

ACFA is a non-profit organization established in 2000 and works closely with fuel policymakers, regulators and
stakeholders in the fuel industry to promote and advance the use of cleaner transport fuels based on principles
of sound science, cost efficiency and sustainability of the environment.

GRI 102-2, GRI 102-9
Our Value Chain

The QAFAC plant is designed to produce 2950 MTPD of Methanol and 1830 MTPD of MTBE.
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Note: This diagram is for illustrative purposes only and does not necessarily
reflect the exact layout of the plant or shape of the equipment

Our Journey
Launching
of Energy
Management
System (EnMS),
Near Zero Liquid
Chinese Petroleum Signing Discharge (NZLD)
Corporation and ceremony for and Regenerate
Lee Chang Yung Carbon Dioxide Gas Scrubbing
Chemical Industry Recovery Plant (RGS) projects
Corporation,
both of Taiwan Commissioning
of Selective Safe completion
Emiri decree became EPC contract Launching
Non-Catalytic of RGS
issued shareholders awarded to of Carbon
of QAFAC Reduction
establishing Chiyoda Dioxide QAFAC Strategy
(SNCR) unit
QAFAC as a Recovery Refresh
company Plant
Completion
of Lost-Time Completion of
Injury (LTI) free eighteen million
turnaround safe man hours
1991 1992 1993 1995 1997 1999 2012 2014 2015 2018 2019 2020 2021
Implementation
Project Licensor
of GHG
Agreement
Accounting
signed with Reaching three
& Reporting
Universal Oil million-man
program
Products (UOP) hours without
and Jacobs Lost-Time
Successful
Basic Engineering Engineering Incident (LTI)
completion of
initiated sixteen million
designed AEF safe working
MTBE and hours without LTI
Celanese Official Achieving ten
methanol plants inauguration million safe
in Edmonton of QAFAC man hours

QAFAC at a Glance
GRI 102-18
Corporate Governance
The Board of Directors (BoD) is the ultimate governing Organization Structure
body overseeing and supporting our executive Board of Directors
management in monitoring legal and statutory
compliance, establishing internal controls, and
managing risks. The Board also approves the strategic Chief Executive Officer
direction, plans and priorities for the Company and
monitors the performance against strategic business
plans. This is achieved through a monthly reporting
Legal Manager Internal Auditor
system, monthly meetings with BoD representatives,
BoD and the Audit Risk Committee (ARC).
QAFAC’s Board of Directors is comprised of the

Chairman, Vice-Chairman, Chief Executive Officer
Chief Financial Chief Administration Chief Corporate Chief Operating
(CEO) and five other directors with representation Officer Officer Officer Officer
from all shareholders. Every year, the Board holds an
annual meeting (AGM) with shareholders referred
to as an Ordinary General Assembly (OGA), which Finance Manager Facility and Support Procurement Senior Technical
Services Manager Manager Manager
is a legal requirement for organizations, as per the
Companies Law. Concerning the remuneration
policies, the members of the BoD are entitled to obtain Senior Management
HR Manager
Corporate Planning Senior Maintenance
Accountant Manager Manager
an annual remuneration, which is approved by a
shareholders’ resolution at the yearly OGA.
Senior Production
Senior IT Manager
Manager
QAFAC’s Corporate Governance Manual is undergoing
revisions and updates primarily to incorporate the
upcoming changes in the Article of Association and Health, Safety, Security &
Environment Manager
thereafter will be tabled for approval by QAFAC’s
shareholders and BoD.

Our Directors GRI 102-18, GRI 405-1
Sheikh Thani Bin Thamer Al-Thani

Chairman
Rashid Mohd Al-Fehaidi Ahmed Abdulqader Al-Ahmed

Vice-Chairman Director and Chief Executive Officer
Abdulaziz Bowei Lee Tariq Baker

Huei-Jane Liao Chin-Jung Hsu
Khalil Al-Meer Director, Director,
Director, (OMEC) Director, (OMEC)
Director, (IQ) (LCYMEC) (IOLLC )
Leadership Team
Ahmed Abdulqader Al-Ahmed

Chief Executive Officer
Khalifa
Sultan Anwar Khalid Dave
Al-Sowaidi
Al-Enazi Al-Enazi Al-Mannai Samaroo
Chief
Chief Operating Chief Finance Chief Corporate Legal
Administration
Officer Officer Officer Manager
Officer

GRI 102-11, GRI 102-15, GRI 102-16
Strategy and Risk Management

QAFAC has effectively managed to navigate
2021, emphasizing leadership economics,
operational safety, reliability, and fulfilling all
customer requirements. To ensure preparedness
and contingency planning, we maintain an
open outlook toward the dynamism of markets
and ever evolving consumer preferences.
Further, we engage with Muntajat for any new
requirements from our customers. Our affirmation
and commitment to meeting the needs of our
customers are deeply rooted in the Company’s
values and principles. This has been proven by our
ability, in recent years, to navigate the restraints
imposed due to the global pandemic and an
emerging positive environmental footprint caused
by our focused initiatives and projects discussed in
the upcoming sections of the report.
QAFAC’s corporate strategy activities are driven

and delivered in alignment with the guidance set
forth by the following policies and procedures, the
applicability of which is further explored through
the course of this section:
1. QatarEnergy Alignment
2. QAFAC Management Guidance
3. QAFAC Risk Management
4. QAFAC Operational Excellence

QAFAC’s Corporate Strategy department operational, and organizational performance The refreshed corporate strategy focuses on three
championed a corporate strategy refresh exercise assessment and analyzed external market trends strategic priorities: Leadership Economics, Growth
in 2019 (referred to as the Project ‘Advance’); to and developments. The renewed strategy has duly Engines, and Sustainability. It encompasses our
realign with QAFAC’s value system, evolving markets, considered the internal and external ecosystem, internal strengths and capabilities to produce high-
and the business environment. With the help of an organizational culture, and several stakeholder quality Methanol and MTBE by optimizing the process
external party, we conducted a thorough financial, perspectives. parameters steadily and sustainably. These strategic
priorities are achieved with the help of clearly
defined strategic objectives, which are tracked,
and monitored using appropriate key performance
• Launch of Project Advance to refresh QAFAC’s corporate strategy. indicators (KPIs). These KPIs are distributed amongst
2019 • Approval of strategy by QAFAC management, QatarEnergy management the relevant departments, requiring monthly
and the Board members. reporting by the concerned department (e.g.,
HSSE, Production, Technical, IT, etc.). The strategic
review calendar is both a quarterly and an annual
cycle, wherein QAFAC’s Chief Executive Officer
(CEO) together with Executive Leadership Team
2020 • Planned strategy roll-out deferred (to 2021) due to the onset of COVID-19.
(ELT) preserves the oversight and authority on the
performance against established KPIs. As a definite
result of this timely and accurate tracking and review
of strategic KPIs, QAFAC’s performance and progress
• Strategy roll-out completed through virtual off-sites, i.e., exclusive in achieving its strategic priorities are projected to
one-on-one meetings with all departments at QAFAC to communicate
2021 the refreshed corporate strategy. Discussions included brainstorming on
strengthen for the foreseeable future.
implementation of risks and mitigation plans.
• Strategy implementation, monitoring and reporting.

2022 • Focus on recognizing and communicating employee and program success,
instilling a sense of pride amongst QAFAC workforce.

Qafac’s Strategy, Vision and Mission GRI 102-16
QAFAC
Vision
Be a leading producer of Methanol & MTBE recognized for our reliability and the quality of our products.
Mission
To produce high quality Methanol, MTBE and other derivatives by developing our talent, fostering our culture of excellence and
maintaining the highest HSE standards. We create value for all our stakeholders and contribute to Qatar National Vision 2030.
Double down on core products profitability Prepare for new

LEADERSHIP ECONOMICS GROWTH ENGINES
Continue exploring de-bottlenecking and prepare for potential

to Play
Where
Optimize production volume for Methanol & MTBE

brownfield plant expansion for Methanol & MTBE
Achieve business excellence to optimize efficiency and quality
Screen Methanol derivatives portfolio
Develop technical &

How to Win
Continue to market intelligence Explore

Maintain high plant Explore technical
Strategic Priorities
improve efficiency Enhance cost with support of by-products

availability and ideas to optimize/
of operations, synergies with QatarEnergy & Muntajat synergies with the
reliability in the de-bottleneck the
project execution QatarEnergy (Includes Methanol rest of QatarEnergy
most economical plant within current
and support system derivatives and system
way constraints
alternative production
functions e.g., H2, CO2
route for Methanol)
Prepare for long-term

SUSTAINABILITY
ENABLERS
High Performance Boost digitalization Support shaping

Sustain top quartile Strive for excellence Strengthen
Organization, focus on talent to become a regulations
Health and Safety in environmental stakeholder
management, Qatarization ‘reference’ in our impacting our
performance protection alignment
and succession planning industry products

Global and Regional Market Study on MTBE
MTBE’s usage as an additive in fuels has been Outcomes The value generated
widespread. However, while the demand for The outcomes of the study and embedded The value generated for QAFAC and QatarEnergy
MTBE from the perspective of domestic and recommendations are expected to guide QAFAC’s has a direct impact on our deliverables towards
regional markets is easier to predict and quantify, management and QatarEnergy in developing a QNV 2030.
the instruments and externalities affecting its roadmap for optimum utilization of the feedstock
demand, growth, or decline in the global markets allocation. Further, it will aid QAFAC in strategically Way Forward
pose challenges. The effects of the clean energy navigating the changes and challenges in the QAFAC is currently reviewing the study’s outcomes
transition, growing penetration of electric vehicles, gasoline market in the future and beyond 2030 and assessing the path forward and action
and impacts specific to the transportation sector by mandating resilient solutions and further plans to materialize the recommendations in the
needed further analysis. Given the lack of clarity introspection into the production process. study in consultation with QatarEnergy and other
around the market outlook for MTBE, QAFAC opted stakeholders.
to engage a professional consultancy in 2021
to conduct a market study for this fuel additive.
Executed under the directive of QAFAC’s ELT the
company wanted to understand the outlook
for its products related to sectors beyond the
immediate influence of QAFAC, QatarEnergy, and
our stakeholders. The market analysis will help
lay the foundation for better utilization of QAFAC
assets for maximizing shareholder value.
About the study

The study provided an overview of the global
supply for MTBE, the global demand drivers, and
the COVID-19 impact on the market. Additionally,
the study presented an assessment of the
regional market for MTBE, providing insights for
QAFAC on crude oil, butane, LPG, methanol, and
MTBE pricing trends for the near future (till 2030).

GRI 102-15
The repertoire of the projects discussed throughout Our guiding framework for risk management is the ISO 31000:2009 Enterprise Risk Management (ERM) framework.
this report is envisioned, planned, executed, Under the guidance of this management system, we have identified eight major risk categories to ensure their
implemented, and commissioned through a proper management and minimization of consequences, presented below.
collaborative approach. The synergy amongst
QAFAC’s departments has been a cornerstone of
the organization’s success over the years. With
Financial Risk Legal Risk Human Resource Risk
the corporate strategy refresh, QAFAC refreshed
its approach to inter-organizational collaboration,
• Poor cash flow management • Litigation or loss incurred due • Inability to attract the right
with key departments working closely to shape the
• Unfavorable market variables to negligence in compliance talent
strategy implementation. The following committees
(low profitable product mix) with contracts, laws and • Poor employee retention
were introduced in 2021, each serving an exclusive
regulations • Poor knowledge transfer
purpose and objective to enable seamless
operations at QAFAC:
Reputational Risk Health and Safety Risk Energy Performance Risk
1. Supply Chain Optimization Advisory Committee
2. Digitalization Committee • Constraints on the execution • Failure to implement a robust • QAFAC is currently
of strategic initiatives system to proactively identify undergoing the
In addition to the corporate strategy refresh of 2019, • Lack of responsiveness to hazards to prevent incidents or implementation of
the organizational structure had undergone minor industry changes injuries ISO 50001:2018 Energy
reshuffling of departments. One such structural • Inability to sustain or grow • Failure to manage the integrity Management System. Energy
change had been the apt integration of corporate with profitable business of safe operating systems and performance risks shall be
planning, corporate risk management, and operations processes to ensure a safe and defined upon the complete
corporate strategy departments. Risk management • Failure to meet customers’ healthy work environment implementation of EnMS.
is a critical component of our business performance, demands leading to • Failure to implement an effective
and this reshuffle ensures a streamlined approach reputational loss system to manage the safety of
to integrating the enterprise risks into corporate the environment Operational Risk
planning and vice-versa. This acts as an addition
to our constant efforts to eliminate uncertainty • Poor management of asset
Information and Technology Risk integrity
surrounding QAFAC’s strategic objectives, business
strategy plans, and operational effectiveness. • Ineffective reliability and
• Ineffective IT infrastructure • Ineffective IT systems to meet maintainability to sustain
to manage hardware and business demands plant availability
software failures, viruses, • Interruption of raw materials
malicious and cyber attacks

GRI 102-15
Further, QAFAC has taken cognizance of external • ISO 9001:2015 Quality Management System of the checks and balances required to recalibrate
global events, such as the pandemic, push to • ISO 14001:2015 Environmental Management System our operations and business objectives. Hence,
decarbonization, geopolitical shifts, etc., and has • ISO 45001:2018 Occupational Health and Safety all QAFAC’s management systems and processes
initiated a review to understand the mixed impacts Management System undergo an independent review by QAFAC’s
of such events on our business environment. This • ISO/IEC 27001:2013 Information Security Internal Audit function, which provides independent
exercise would involve a thorough review and Management System assurance of our business operations. The Internal
evaluation of the current risk landscape, QAFAC’s risk • ISO 22301:2012 Business Continuity Management Audit department maintains its independence
appetite, and risk management processes within System from QAFAC’s organizational management, directly
the company to ensure business sustainability and reporting to QAFAC’s Chief Executive Officer (CEO)
resiliency. Through 2021, QAFAC successfully maintained all the and subsequently to the Board of Directors (BoD).
ISO certifications. We aim to undergo a certification As mandated by the ISO standard requirements,
Not limiting the management of our technical, of selected management systems in 2022. We periodic internal audits are met and complied with.
operational, and business excellence to just the understand that establishing a management
Enterprise Risk Management (ERM) System, we system is only one of the many activities that lead We take pride in the absence of material audit
have standardized our operations successfully to comprehensive and powerful outcomes. One findings with respect to legal non-compliance.
and reliably to meet the stringent requirements of such crucial component remains feedback or
several ISO certifications, including: grievance management, which is representative

GRI 102-16, GRI 102-17
Ethics and Culture

The culture at QAFAC is driven by our core and update by departments of applicable Policies QAFAC senior management is already involved
values of Safety, People, Excellence, Integrity, and and Procedures. The Committee will provide a review in the process via review of the CoC policies
Responsibility. The values collectively emphasize and endorsement process for organizational level and interviews geared towards understanding
our stewardship towards ensuring we attain holistic Policies and Procedures that require CEO’s approval QAFAC’s unique culture and identification of key
excellence displaying an absolute commitment and before being adopted in the Company. The new risks, this eventual roll-out will ensure the CoC
integrity towards carrying out safe operations, our CoC will be rolled out within QAFAC with the help of becomes ingrained in the hearts and minds of all
people, and our environment. We continuously strive a carefully curated Launch Plan, incorporating the QAFAC employees. Further, the new CoC policies
to embed QAFAC values in every decision, carefully most effective roll-out strategy tailored for QAFAC. also require compliance from all persons and
assessing the alignment of outcomes to our mission This plan is expected to cover training programs, entities doing business with QAFAC, i.e., the CoC will
and corporate ambitions. videos, awareness and “Go-Live” campaigns, therefore, be applicable to QAFAC’s contractors.
culminating with employee townhall(s). As the
In 2021, QAFAC has chartered new paths, scripted
renewed possibilities, and is on a trajectory to
internalize its organizational culture in print through
a new Code of Conduct (CoC). QAFAC is currently
guided by our Code of Ethical Conduct and Conflict
of Interest policies and further, an employee
handbook “Guide to the QAFAC Code of Ethical
Conduct”. In this reporting year, QAFAC’s Legal
department, with the support of QAFAC’s Executive
Leadership Team (ELT), has undertaken the colossal
task of finalising the new Code of Conduct (CoC)
comprising a total of 19 policies, listed below. These
policies are principally aligned with QatarEnergy
and are being developed with their guidance. As
per the accepted protocols at QAFAC, the policies
are currently undergoing a review by the Policies &
Procedures Committee (PPC), followed subsequently
by QAFAC Management sign-off, and are expected
to be formalized and implemented by the Q4 of
2022. The PPC facilitates the formulation, planning

GRI 205-3, GRI 102-17

The revised Code of Conduct consists of the following 19 policies:
Human Rights Policy Occupational Health and Safety Policy Anti-Fraud Policy
Environment Policy Respectful Workplace Policy Anti-Money Laundering Policy
Climate Change Policy Stakeholder Engagement Policy Asset Protection Policy
Confidential Information Policy Speaking Up Policy Regulatory Compliance Policy
Privacy of Personnel Information Policy Conflict of Interest Policy Trade Compliance Policy
Competition Policy Sustainability Policy
External Communication and

Anti-Bribery Policy
Disclosure Policy
In the suite of policies alluded to above, there are establish our commitment towards human rights While QAFAC does not include human rights
several components that reinforce our formal are in the process of formalization. Anti-corruption provisions within the contracts or maintain a
commitment to ethical business standards. QAFAC and anti-bribery policies, while they already exist, binding criterion addressing human rights risks, we
has been an organization with humanitarian values are being further enhanced. However, QAFAC maintain a credible oversight. However, with respect
that permeate the strongest and unexpected has never come across human rights concerns to contractual provisions, QAFAC explicitly focuses
challenges. We advocated and adopted a human within its value chain. Similarly, there have been and includes HSSE obligations required from the
rights perspective in every activity that was no incidents in relation to forced or compulsory contractor. Violation of these terms can lead to
carried out within our premises, while remaining labour, discrimination on the basis on gender, potential termination of the contract or suspension
unconstrained by the cusp of a written policy that race, ethnicity, etc., in QAFAC in 2021 or since the of the contractor, under general rights of termination
mandates human rights’ thinking and inclusion. We establishment of the organization. Further, there provisions. These rights of termination, not limited
have constantly strived to uphold our commitment have been no observed incidents of corruption in the to HSSE obligations, could also be enforced, and
to remain an ethical business and shall continue to reporting year. extended to cases where forced or compulsory
do so. Our “People” value requires us to care about labour are observed within the contractor
people. We are now strengthening this commitment These principles of ethical treatment are organization.
by recognizing its importance in print. Policies that unquestionably extended to include our contractors.

GRI 102-16
Sustainability at QAFAC
In the 2020 reporting year, we resolved to implement
the QAFAC sustainability framework and strategy,
which had been meticulously built based on our
2018 2021
corporate values, strategic commitments and further,
in alignment with QAFAC’s material topics.
Qatar National Vision 2030
The renewed strategy has defined a pillar on
sustainability - “Prepare for long-term sustainability”.
The objectives established under this pillar enable
QAFAC to streamline its approach towards Human Social
Development Development
sustainability. We are directed efforts and resources
to align the Company’s operations and activities to
QAFAC’s Sustainability
address the six sustainability enablers, while aiming to Strategic
Values initiatives along
improve and recalibrate our sustainability priorities to Economic Environmental
Development Development
with streamlined
Framework
achieve the broader business goals. performance
monitoring
QAFAC is developing a Sustainability Policy, (KPIs and targets)
establishing its commitment to sustainable growth for furthering
Sustainable sustainability
and generating stakeholder value. This policy is Material Topics Development Goals agenda
being aligned with QatarEnergy’s sustainability
policy. We are also working on the development of a
Sustainability Framework, encompassing the strategic
KPIs established at business-level.
In addition, our core team members track the

progress of KPIs related to adaptation of sustainability
practices about our sector, and its impacts on the
production of Methanol and MTBE. Furthermore,
we also receive communication from industry
associations such as QatarEnergy and Industries Driven by our Creating value for
Qatar on sustainability best practices and new strategic objectives all our stakeholders
techniques. This information is circulated internally to
implement new practices wherever applicable.

GRI 102-42, GRI 102-43
Stakeholder Engagement and

Materiality Assessment
A proactive, clear, transparent, and responsive

culture form the foundation of our relationships with
all our stakeholders. QAFAC recognizes the need
for a healthy synergy amongst its stakeholders,
both upstream (suppliers, investors, etc.) and
downstream (customers, communities, etc.). This
need for establishing synergistic relationships is
being reinforced by QAFAC’s upcoming Stakeholder
Engagement Policy. The policy is aimed at creating
trust-based relationships by engaging with our
people, business partners, governments, civil society,
educational institutions, and local communities.
It also describes our commitment to engaging
with identified stakeholders, communicating our
expectations, and defining minimum compliance
requirements. By applying these stakeholder
engagement principles and commitments
alongside the sustainability reporting framework
requirements, we will strengthen our internal and
external communication on sustainability matters.
QAFAC will continue to remain active, accountable,
aspirational, and responsible towards our
stakeholders.

GRI 102-40
Stakeholder Focus Areas Channels of Engagement

• QNV 2030 • Meetings with government entities
• Development of national talent • Partnerships with government entities
State of Qatar and
• Qatarization • Conferences and exhibitions
Regulatory Bodies
• Compliance with regulations • Performance reports to regulatory bodies
• Annual sustainability report
• Maintenance of safe and reliable operations • Monthly meetings with shareholder representatives
• Process efficiency • Quarterly meetings
Shareholders • Financial returns • Shareholder market presentations
• Reputation • Board meetings
• Participation in local economic and social development • Annual sustainability report
• Responsible business practices • Interaction with employees and their families
• Minimal environmental impacts • Educational awareness sessions
Local Community • Employment opportunities • Public reports
• Safe operations • Career fairs
• Development of national talent
• Health and safety • HSSE Newsletter
• Competitive pay and benefits • Regular departmental/team meetings
• Continuous career development • Employee satisfaction surveys
Employees • Open and transparent • Email communications
• Communications • QAFAC newsletter
• Supportive • Annual sustainability report
• Management
• Transparency • Annual Sustainability Report (Online Version)

Media
• Health and safety • Press Releases (as needed)
• Reliable, timely supplies of methanol and MTBE • Contracts and agreements

• Supply chain management • Offtake requirements (issued by Muntajat)
• Service excellence • Meetings with Muntajat
Customers and Muntajat
• Quality products • Conference and exhibitions
• Customer feedback surveys
• Memberships in industry associations
• Fair contract bidding/awarding • Contractual arrangements and bidding
• Timely payments • Conferences and exhibitions
Contractors and Suppliers
• Good working conditions • Third-party endorsement
• Medical screening for contractors
• Responsive communications • Presentations/Briefings

Non-Governmental Organizations
• Support to local NGOs • Meetings

GRI 102-42, GRI 102-43, GRI 102-44, GRI 102-47
With respect to our materiality assessment process QAFAC has reviewed the outcomes of the materiality refresh exercise and provided inputs to validate the
involving the identification and prioritization materiality matrix. As part of this management validation, the materiality matrix shown below has been
of QAFAC’s material topics, we conducted a approved to be representative of QAFAC’s material sustainability topics for 2021.
comprehensive materiality assessment in 2020, with
the stakeholder groups that can substantially and
Environment Social Economic
potentially impact or be impacted by our business
decisions, activities, and operations. This reporting
year 2021, we carried out a materiality refresh, which
entailed a series of tasks, fundamentally maintaining
the materiality matrix of 2020, we accounted for the
Influence on Stakeholder Assessments and Decisions Related to QAFAC

following externalities in the refresh exercise: Health and safety
Climate change Resource efficiency Anti-corruption

1. Global megatrends affecting the sustainability/ Business continuity
ESG landscape Economic performance
Sustainability in the supply chain
2. Trends affecting the Oil & Gas sector
Learning and development Waste
3. QAFAC’s internal growth trajectory in 2021 Water Human rights
4. QAFAC’s future business plans and growth Innovation and Diversity and equal opportunity and labor
prospective R&D (incl. digitalization) standards
Internal and external stakeholders’ inputs Product responsibility
Employee engagement, attraction, and retention
This materiality refresh exercise resulted in the Biodiversity Community engagement

following developments to QAFAC’s 2021 Materiality and investment
Matrix: Qatarization
1. Amalgamation of Energy and Emissions topics

into Climate Change - maintaining the integrity
and cognizance of the relationship between
energy and emissions management.
2. Amalgamation of Process Safety and
Occupational Health & Safety into Health and
Safety - encompassing the aspects of workforce
and contractor health and safety, reliability and
process safety, asset integrity and associated
Impact on QAFAC and on the Economy, Environment, and Society
health & safety matters.

Our Continued Resilience Through COVID-19

The impacts of COVID-19 across our operations delays in the delivery, caused due to COVID-19, collaborated with the Ministry of Public Health and
cascaded into 2021. The State of Qatar witnessed of several environment monitoring devices for QatarEnergy to create a set of COVID-19 standards
the third wave of COVID-19, the effects of which have installation within its data centers and IT server for employee health and safety measures. Two sub-
had impacts on the activities of our organization. rooms. committees were formed by the crisis management
For instance, QAFAC’s Health, Safety, Security and team: Human Resources and Business Continuity.
Environment (HSSE) department tackled issues Despite these challenges, QAFAC’s leadership and The HR crisis management team (led by the CEO)
pertaining to the implementation of COVID-19 employees have tirelessly worked towards ensuring handled employee and contractor visas and
precautionary measures, restriction on in-person business continuity with an enhanced adaptability logistics during the lockdown. Our employees have
training and meetings resulting to manage day- and resilience. The continued support and updates continued to adapt to the rapid transformation
to-day operations. Further, delays in procurement initiated by QAFAC’s IT department continued to of traditional business practices. In the reporting
of goods due to supply chain disruptions had ensure smooth functioning of our operations. There year, our response teams continued to monitor the
considerable impacts on the timeline of the have been improvements in the IT infrastructure changing landscape of the pandemic and ensured
implementation of several initiatives. For instance, in 2021 pertaining to aspects of remote support. effective communication and guidance to QAFAC
QAFAC’s IT department is currently experiencing Further, in 2020, our crisis management team employees.

Our Growth
This chapter discusses QAFAC’s
commitments to matters concerning
its economic performance and
business continuity matters. Using the
following material topics as guidance,
our management and performance is
disclosed on the key focus areas.
Economic Performance
Innovation and R&D (including Digitalization)
Operational Reliability and Business Continuity
Sustainable Supply Chain Management
Product Responsibility

Introduction
The global petrochemical industry is facing many
challenges in addition to the COVID-19 pandemic
which continues to affect all industries around the
world. The main challenge that has been affecting
our industry for the past years is the volatility in oil
and gas prices. Additionally, there is an increase in
demand for alternative energy resources that are
cleaner with less negative environmental impacts.
Despite these challenges, we maintained our

resilience and strength during the reporting year as
we continued with our transformational activities,
including optimization of operations and processes
and adoption of technology and automation.
Our goal is to achieve business excellence and In addition, our Quality Management System, which Our Operational Excellence (OE) Program which
continuity in addition to sustainable growth in line continues to be ISO 9001:2015 certified in 2021, was launched in 2015 continues to play a vital role
with the Qatar National Vision (QNV) 2030 through enables us to continuously identify, control, measure in strengthening our leading position in the market
continued focus on generating shared value, and improve our core business processes; thus, of Methanol and MTBE production. Through this
enhancing our operational reliability and efficiency, achieving process efficiency and high profitability. program, we continue to enhance our performance
increasing our supply chain’s resilience, and It also aids our efforts in developing a quality-driven and plant reliability and efficiency by adopting
investing in innovation and digitalization. culture across the organization and achieving leading tools and practices. The program also
customer satisfaction through delivering high- entails a performance monitoring system to track
Project “Advance”, which was launched in 2019, quality products. our production performance.
supports our journey towards sustainable growth
through a proactive strategy refresh encompassing To ensure we are meeting our commitments, we On the other hand, we monitor our financial
newly defined strategic priorities which aim to continuously monitor and manage our performance, performance, plant reliability, maintenance,
optimize our Methanol and MTBE production adopt advanced operations and equipment, and production, product quality and customer
volumes, while meeting our various stakeholders’ encourage innovation, ownership, accountability, satisfaction through our Key Performance Indicators
needs and expectations. and self-improvement within the whole organization. (KPIs) that were established in 2019.

The steps we are taking towards economic growth towards this ambition are outlined in this chapter, year, we have realigned our economic priorities
arise from our strategic priority of striving for which provides a brief description of the approach, through a materiality refresh exercise as stated in
“business excellence and continuity” to prepare framework, drivers, and actions towards QAFAC’s the preceding sections of this sustainability report, to
QAFAC for long-term sustainability. Hence, our efforts material topics with direct economic impacts. This arrive at the following 2021 material topics:
Aligning our Material Topics to our Strategic Priorities and to Global and National Reporting Frameworks, Goals and Targets
Alignment to Global and National Reporting Frameworks, Goals and Targets Key Enabler to Our
Strategic Priority
Material Topic
“Prepare for Long-term
QNV 2030 UN SDGs GRI QSE Sustainability”
Economic
development • High performing
organization, focus on
Social QSE E 2, talent management,
Product Responsibility GRI 416
development S 14 Qatarization and
succession planning
Environmental
development • Strengthen stakeholder
alignment
GRI 416-2,
Operational Reliability Economic GRI 417-2, • Support shaping
-
and Business Continuity development GRI 417-3, regulations impacting
GRI 417-1 our products
• Boost digitalization to
Economic become a ‘reference’ in
Economic Performance GRI 201 -
development our industry
Economic
development
GRI 204,
Sustainability in the Social
GRI 308, QSE S 22
Supply Chain development
GRI 414
Environmental
development
Economic
Innovation and R&D development
(including - -
Digitalization) Social
development

Economic Performance
GRI 201
financial controls in place, to govern our activities.

The Internal Financial Control Framework is
monitored by our Internal Audit Department, and it is
developed in compliance with applicable laws and
regulations. It is also aligned with leading practices,
such as The Committee of Sponsoring Organizations
of the Treadway Commission (COSO) Internal
Control Framework, allowing us to achieve financial
reporting reliability.
By the 15th of December of each financial year, our

CFO distributes the approved annual budget to the
respective departments. The Finance Department
develops the annual departmental budgets in line
with our Cost Optimization Policy and Strategy.
It is important for QAFAC, as a Qatari organization, to our processes and operations, driving productivity, The latter was established as a requirement by
ensure sound economic performance to contribute and adopting new technology and automation. QatarEnergy and it is aligned with the organization’s
to achieving a prosperous local economy in line strategy and mandate on cost optimization. Through
with the fourth pillar of the Qatar National Vision The Chief Financial Officer (CFO) at QAFAC drives our strategy, we are committed to reach 10%
2030. This reflects our commitment to enhance our Cost Optimization Policy, which is developed to Controllable Cost by 2023.
the development of a competitive and diversified govern our financial performance metrics, targets,
economy capable of meeting the needs of its and practices and to guide the Finance department We implemented various cost saving measures
people and securing a high standard of living for throughout its optimization exercise. The CFO also driven by the Cost Optimization Policy. As a result
them. assists in setting the annual targets and relevant Key of these measures, in 2021, we were able optimize
Performance Indicators (KPIs) for QAFAC’s economic Capital and Operating expenditures in comparison
Although we were facing several challenges in 2021 performance including revenues, operating profits, to the set budget.
due to fluctuations in oil and gas prices and the liabilities, and expenses.
repercussions of the COVID-19 pandemic, yet we
were able to sustain our resilience and strength The CFO also ensures the compliance of our
and increase our revenues through our continuous Finance department with the Internal Financial
operations. This was only possible through optimizing Control Framework and ensures there are adequate

GRI 201
To regulate our budgets and spending, monthly

budget meetings are held with all departments to Our Economic Contribution (USD ‘000)
analyze the actual vs budget and decide on the
appropriate measures in case of existing deviations KPIs 2017 2018 2019 2020 2021
between the actual and planned budgets.
Direct Economic Value Generated
We measure, track, and monitor our economic Revenues 671,683 777,856 531,604 361,633 658,428
performance using our existing Finance
Economic Value Distributed
Management System. It is an integrated software
solution that helps our management in taking Operating Costs 415,857 456,696 378,651 345,969 407,462
strategic decisions and it allows us to determine
our budgets, forecasts, taxes, cash flows and Employee Wages and Benefits 58,472 64,575 69,684 64,069 61,769
investments at QAFAC. This system also facilitates Payments to Providers of Capital* - - - - -
our annual financial reporting process which is
aligned to the International Financial Reporting Payments to Government(s) 64,300 91,150 31,000 15,000 53,000
Standards (IFRS) issued by the International *Confidential
Accounting Standards Board (IASB). To ensure
transparency and credibility of our reported financial
performance, we seek the assistance of an external Community Investment
auditor each year to perform an independent
assurance on our annual financial statements. KPIs 2017 2018 2019 2020 2021
Community Investment (USD)* 312,209 307,086 28,553 146,000 3,160

All of these practices, combined with directed
leadership, shared values and a culture that
emphasizes accountability for control and effective
communication, institute our internal control For 2021, we had set a reasonable target of USD 266 Although we are committed to contributing to the
system. This internal control system is continuously million in revenues and we successfully exceeded socio-economic development of the community
monitored in order to identify, assess, and mitigate it by 147% and achieved an 82% increase in our in which we operate, the COVID-19 protocols and
any rising risks in a timely manner. revenues in comparison to 2020 with a total of governmental regulations have posed several
approximately USD 658 million. The primary reason challenges for us to fulfill this commitment.
for this increase in our 2021 revenues is attributed
to a favorable selling price of Methanol and MTBE
during this year.
*Community investment data for 2017, 2018 and 2019 have been restated in this report.

Innovation and R&D (including Digitalization)

In our 2020 sustainability report, we disclosed our the nature of cybersecurity threats, information QAFAC built a Cybersecurity roadmap in alignment
intentions, aspirations, and ongoing groundwork security, control mechanisms and other related with QATAR 2022 Cybersecurity framework to achieve
to establish a sound Information Technology (IT) elements. Whereas the relationship with the certain objectives, which have been successfully
infrastructure that would enable QAFAC to embark Supreme Committee is limited to an alignment with executed and achieved in 2021. An example is
on a journey of digital enablement. QAFAC has its cybersecurity framework. provided in the case study.
made noteworthy progress in the arena of digital
systems and their application to QAFAC’s operations.
While we did encounter several challenges due to
flexible working modules and COVID-19 disruptions, Cybersecurity Skills Upgraded by QAFAC InfoSec Team
we managed to implement our digitalization
projects as intended.
QAFAC’s IT department had been invited by the Supreme Committee of Delivery and Legacy to attend a
Our ambition to deliver on QAFAC’s strategic training program on Cybercrime Prevention.
commitment to “Boost digitalization to become
a ‘reference’ in our industry”, is the driving force About the training The value generated
behind QAFAC’s digital transformation journey and The training aims at enhancing the cybersecurity Enhancement of knowledge and confidence of
our IT department has a crucial role to play in this competencies of Qatar, in preparation for the QAFAC’s IT administrators, while cementing their
endeavor. Our IT department ensures tactical and FIFA 2022 World Cup, being hosted in Qatar. The contribution in enabling the business, managing
systemic support to the core business functions. The modules involved within the training program risk, and operating efficiently.
IT protocols and procedures at QAFAC are aligned to were:
the National Cybersecurity Agency, Ministry of Interior Way Forward
(MoI), State of Qatar and the Qatar Cybersecurity 1. CyberCrime Prevention ONLINE Foundation Cybersecurity is one of the most important
Framework, established by the Supreme Committee Course aspects of the fast-paced growing digital world.
of Delivery and Legacy. The MoI helps in identifying 2. CyberCrime Prevention Manage L2 Course The threats posed by it are hard to deny, hence
any cybersecurity threats to QAFAC and therefore, 3. CyberCrime Prevention Respond L2 Course QAFAC considers it crucial to adopt a continuous
countering them. QAFAC and MoI have a continuous 4. CyberCrime Prevention Manage L3 Course improvement and learning process in tackling
feedback system, wherein, both parties exchange cybersecurity threats.
information on the organization’s exposure to and

As mentioned in the previous sections, QAFAC is

Strategic Targets Performance
ISO 27001: 2013 Information System Management Category KPI
Priorities in 2021 in 2021
System (ISMS) certified. Our IT department
Number of Digital Projects in pre-
collaborates closely with Business Continuity
feasibility study phase with completed 8 9
management (BCM) and the corporate risk Digital pre-feasibility assessments
management teams to simulate the risk Projects
management processes- to ensure IT risks are Funneling Number of Digital Projects in the final
Boost implementation phase/successful 4 6
represented and reflected as strategic KPIs. launch
digitalization
to become a
Financial
In 2021, QAFAC introduced a set of digital KPIs to reference in
Performance Project Capex Actual Utilization/Project
achieve the objectives set forth by the strategic our industry 5% 0
of Digital Capex allocation (%) = Variance
priority ‘Boost digitalization to become a reference in Initiatives
our industry’. The table presented below highlights
the KPIs defined by the IT department in alignment Conferences/ Number of digital conferences/
4 19
Tech Fairs technology fairs attended
with regulatory and business requirements:

In 2021, several initiatives and projects have been undertaken by the IT department in collaboration with other QAFAC departments. Some notable achievements in the
realm of QAFAC’s information technology processes are provided below. The key initiatives are further elaborated and presented as in the relevant sections of the report:
IT Infrastructure
Enhancement to security software of QAFAC Migration to cloud-based systems to enable seamless information exchange
and storage, reduction in manual intervention, physical and local data storage,
reduction in paper consumption, etc.
IT Applications
Development of Document Management System (DMS) Development of Personal Development Program (PDP)
The DMS is a centralized document management system which is aimed Implementation of HSSE BBS Dashboard
at providing access of QAFAC’s documents and procedures to all QAFAC HSSE BBS Dashboards & Reports – These are HSSE data dashboards, which
employees with different level of authorization. The system is used for provide the option to set goals and track the progress towards QAFAC’s HSSE
storing, organizing, and maintaining the Company’s documents and data goals. During the process of working towards these goals, the dashboard
in a confidential and efficient manner. The DMS is being used widely across can provide useful information and feedback to optimize and adapt certain
the Company providing a powerful tool for fast data access and retrieval. strategies in order to achieve the set objectives. It provides visibility, improves
Additionally, aiding in management decision making. decision making, saves time and resources.
Implementation of Predictive Category Management POC (Tawteen initiative)

The project provides a comprehensive and complete solution, enabling the
streamlining and management of QAFAC’s organizational data. This allows
QAFAC to classify its corporate spending based on defined categories. The users
would be able to analyze the data, derive the product pricing, lead times and
other factors to strengthen the buyer’s negotiation power, improve planning
accuracy and efficiency while maintaining supply assurance with reduced
expedite costs.
Expected Value
• Duplicate Elimination
• Reduction of Inventory Hoarding Costs
• Contract Compliance
• Reduction on Procurement and Operational Costs
• Improved Vendor Analysis
• Reduction of Inventory Hoarding Costs
• Reduction on Procurement and Operational Costs

point. With the help of these sensors, QAFAC’s

IT infrastructure team is now able to have a
historical graph of all the mentioned environmental
parameters and at the same time, it is integrated
with IT Network Monitoring Tools for notification and
alerting in case of a sudden rise of temperature
which will bring an impact to IT equipment. Along
with that, there is also a flood monitoring sensor
that is placed in the nearby air-conditioned unit in
the Operation Building data center room to detect if
there are any water leaks and will alert the IT team
to take further action if there is any water problem in
Data Center.
Moving forward, we will continue to expand our

digitalization efforts across multiple functions
including production, maintenance, procurement,
health and safety and other departments through
task automations, wearables that involve devices,
We also implemented Advanced Process Control Transformation Committee in late 2021. This such as smart watches which allow our employees
(APC) at our MTBE plant to achieve operational committee is a collaborative taskforce comprising to share and view company data.
excellence and cost optimization through the technical leads representing all the departments
digitalization. This helped us in reducing our at QAFAC. While the activities and discussions of the Additionally, we plan to adopt the Internet of Things
energy and butane consumption and enhancing committee have begun, it is due to be formalized (IoT) which enables us to transform any device
our production volumes by reducing fluctuations and endorsed by the management in 2022, i.e., the into a smart solution through a simple internet
affecting plant operations. Since 2016, the APC with committee’s delivery and other obligations would be connectivity for the sole purpose of efficiency
its three controllers allowed us to achieve smoother formally institutionalized in 2022. of operations. For example, we plan to connect
plant operations, process deviation alarms our products with our data monitoring system to
reduction, production improvements and steam Moreover, the IT department is also joining the transmit the product’s performance data in real-
savings. energy efficiency efforts at QAFAC by procuring time.
smart environment monitoring devices for QAFAC’s
For QAFAC’s digitalization initiatives, 2022 looks data centers and server rooms. These devices
optimistic with significant initiatives lined up for are installed to monitor three key environmental
implementation. QAFAC has established a Digital parameters - temperature, humidity, and dew

Operational Reliability and

GRI 416, GRI 417
Business Continuity
As the pandemic continued in 2021, the unforeseen
circumstances remained a challenge for our
business as we tried to ensure our business
continuity through maintaining high plant availability
and reliability throughout the year, in order to
meet our customers’ needs and expectations.
We continued with our previous adjustments
that we have implemented at the beginning of
the pandemic and ensured the availability of
adequate manpower by implementing permanent
adjustments to the working shift (having fewer
working days with longer hours). This helped
us ensure efficient continuity of our operations
while abiding with the pandemic protocols and
regulations.
Our Operational Excellence (OE) Program which

was launched in 2015 continues to play a vital role
in strengthening our leading position in the market
of Methanol and MTBE production. Through this
program, we continue to enhance our performance At QAFAC, we maintain our strong operational inspection approach in place that provides dynamic
and plant reliability and efficiency by adopting reliability and efficiency by continuously monitoring and planned inspection and maintenance activities,
leading tools and practices. The program also our assets to avoid preventable failures- through enabling us to deliver value by mitigating risks
entails a performance monitoring system to track the assistance of a combination of rigorous systems caused by unplanned operational interruptions.
our production performance. and procedures. For example, we have a risk-based

targets, and improvement options, we hold

production dashboard meetings on a daily and
a monthly basis. Additionally, we held a critique
meeting, chaired by the Chief Operations Officer and
attended by key employees and senior managers,
to evaluate our production procedures, operations,
and areas of improvements. This meeting ensures
our continuous communication of our strategic
initiatives within QAFAC.
In 2018, we introduced an Operator Training

Simulator (OTS), that allows us to utilize real time
scenarios generated by our dynamic state of-the-
art simulator for QAFAC’s Methanol and MTBE plants;
thus, enhancing our plant reliability. This provided our
plant operators with regular trainings and enhanced
Additionally, we have a Mechanical and Quality to identify and resolve matters affecting our MIQA their competencies through scenarios that range
Assurance (MIQA) Manual in place to guide us program’s effectiveness, provide and arrange, if from normal operations to upset conditions similar
through our equipment reliability assessments needed, for MIQA related trainings and guidance to our real plant operations. The OTS serves as the
including installation, maintenance, and asset to our site employees, establish and report to means to achieve our commitment to reduce any
improvements according to each equipment design management all MIQA KPIs, audit the program, and operational interruptions caused by manpower,
specifications. We also have a comprehensive ensure appropriate tracking and documentation for thus, enhancing our plant reliability and efficiency,
set of sub procedures that monitor our alignment all recommendations resulted from the MIQA audits. generating higher production levels and delivering
with the manual while performing tasks relevant sound Health, Safety, Security and Environmental
to our Reliability Department, including managing We have an internal management system in place (HSSE) performance.
of process management safety critical equipment to manage our production performance where it
and associated tasks. Our MIQA committee was supports us, through dashboards, in monitoring, Our annual KPIs on plant reliability drive us to
established in 2019 consisting of all QAFAC’s tracking, and reviewing our performance data establish ongoing targets and conduct annual
function heads to ensure the implementation of the improvements at all operational levels in addition reliability assessments for both of our Methanol and
MIQA Manual and its associated procedures. The to initiating improvement actions when needed. To MTBE plants to perform comparison between our set
committee is also associated with a sub-committee discuss and review our production performance, targets and our actual performance.

We ensure execution of our major projects within

the budgeted time and cost in order to improve QAFAC’s Production Performance
our operational efficiency. Our objective is aligned
1,114,593
with QatarEnergy guidance which encourages
1,091,340
1,067,020
1,067,232
automation of time-consuming processes and
932,331
deployment of cost saving measures. Additionally,
we established specific KPIs to measure and
674,982
698,211
578,080
manage the manufacturing productivity and
505,756
487,031
efficiency of our operations. These KPIs include
equipment efficiency, consumption rates and quality
adherence. This will allow us to achieve our goal in
2023 with 10% reduction in our controllable costs.
12,288
11,433
2,899
8,715
Tons
3,782
We plan to undertake benchmarking studies against
best practices on operational costs, specifically, 2017 2018 2019 2020 2021
maintenance and procurement costs in order to
identify improvement areas across our operations. Methanol Production MTBE Production Pentane Production
As a result of our reliability efficiency efforts, our

Methanol production reached 1,114,593 MT in 2021, our
second highest annual Methanol production (design
capacity of 2,950 MT/day of US Federal Grade AA
Methanol), which is 120.27% of our internal target for
production and about 4.2% increase compared to
2020.
MTBE production reached 487,031 MT (design

capacity of approximately 1,830 MT of MTBE/
day), which was a slight decrease in production,
attributed to plant shutdown.

Sustainable Supply Chain Management

GRI 204, GRI 414
Supply chain management plays a vital role in

maximizing our customer value and maintaining
our success. To create a positive impact, especially
during the challenging circumstances of the
pandemic, we adopted supply chain sustainability
where we optimize our supply chain operations,
reduce our related costs, realize market and
economic value, boost customer service and
achieve a competitive advantage over our business
rivals by generating positive risk management
capabilities.
Our commitment to environmental and social

responsibility through our value chain is depicted
through our Procurement Policy which guides us
through achieving a sustainable supply chain. When
we make any procurement decision, our policy We achieve the implementation of our Procurement We improve our supply chain performance,
prioritizes the following: Policy our Supplier Performance Evaluation value and savings and leverage opportunities
Procedure which enables us to assess our suppliers for consolidation and contingency development,
• Contractors and suppliers with high social, and contractors through a systematic approach, through the development of an advanced
environmental, and economic standards and considering their technical and commercial automated, Vendor Categorization System, in 2018,
practices. capabilities, ISO certifications such as ISO 9001, ISO which allows us to categorize the active vendors
• Local goods and services; thus, encouraging local 14001 and ISO 45001, and their relationships with according to the similarity of their offerings and the
economic development and enhancing local Qatari companies in the oil and gas industry. The interrelation of their goods and services.
skills and expertise. results of this assessment lead us to identify the
high performing suppliers that gain priority and a Our Procurement Department focuses on dealing
competitive advantage over their peers. Eventually, with local suppliers to ensure our alignment with
we select our suppliers and contractors based on the Economic Development Pillar of QNV 2030,
the DIFOTIC criteria (Delivered in Full and On Time thus contributing to the economic development
and Invoiced Correctly). of our local communities. This is depicted in our
Procurement Policy as well, where it emphasizes on

GRI 204-1
dealing with Qatari companies, Qatari nationals or In 2021, we paid a total of USD 44.19 million to our 2019 planned shutdown and several unplanned
companies controlled by the latter as a preference. suppliers and contractors for their goods, products shutdowns in 2020, where these shutdowns
If the cost provided by Qatari companies or and services which is 3.2% more than what we paid demanded some maintenance activities and
nationals does not exceed a margin of more than in 2020. On contractors, we spent USD 22.13 million contractor involvement. On local suppliers, we spent
10% of the cost provided by non-Qatari companies which is 25% more than that spent in 2020. This USD 13.86 million, contributing to 63% of total supplier
or nationals, we engage with the former supplier or increase is believed to be due to the clearance contribution.
contractor as a preference. of pending payments that have accrued from
Our Procurement Department also manages,

records, monitors, and tracks all supply chain
related data including payments to suppliers, Procurement Contributions
contractors, and local suppliers. To reduce our costs
29,511
26,984
in procurement, we follow an official tendering
24,984
24,762
25,185
process where tenders are floated either by QAFAC
22,065
22,128
or in collaboration with QatarEnergy as part of the
18,539
17,637
Tawteen initiative. Examples include, security service
15,598
14,882
13,864
13,882
agreements, Personal Protective Equipment (PPE)
purchases, etc.
7,836
6,836
Additionally, we continue to reduce our costs by
being part of the Ta’win Synergy Development USD ‘000
Program. The program started in 2017 in
collaboration with QatarEnergy subsidiaries, 2017 2018 2019 2020 2021
including Qatar Chemical Company (Q-Chem),
Total Amount Paid to Contractors Total Amount Paid to Suppliers Total Amount Paid to Local Suppliers
Qatar Aluminum (QATALUM), Qatar Fertilizer
Company (QAFCO), Qatar Steel and Qatar
Petrochemical Company (QAPCO). It focuses on
large aggregate orders across companies for
preferential pricing, thus, achieving a sustainable Procurement Contributions
and efficient supply chain.
2017 2018 2019 2020 2021
Locally based Suppliers (%) 61 61 51 43 31

GRI 416, GRI 417
At QAFAC, we produce our Methanol from natural MTBE (Methyl tert-Butyl Ether) is a colorless,
gas supplied by QatarEnergy which is then reacted flammable liquid used as a common gasoline
with steam in the reformer unit to produce the additive. MTBE has a low production cost and
synthesis gas, converting it to Methanol through good blending characteristics, thus, using it most
the Methanol synthesis reaction. We attain our commonly as an oxygenate to gasoline to improve
99.9% purity by sending our Methanol stream to the air quality4.
distillation section of our Methanol plant. Our pure
Methanol is either sold or used to produce MTBE at At QAFAC, we produce our MTBE from butane
our MTBE plant. Methanol can also be produced from supplied by QatarEnergy which is then converted to
different types of liquid and solid biomass such as, isobutane through the isomerization reaction. The
agricultural residues and farming waste2. isobutane produced undergoes a dehydrogenation
process, producing isobutene that is essential
Methanol is also an emerging renewable for MTBE synthesis. The isobutene is then reacted
energy source as it is a clean and sustainable with Methanol that was already produced at our
biodegradable fuel that creates a positive Methanol plant to obtain our MTBE.
At QAFAC, we produce Methanol and MTBE as our environmental impact. It contributes to reducing
two main petrochemical products. These two emissions including those of Greenhouse Gas (GHG) Since our products are essential for many industries
products have a wide variety of applications and are and Nitrogen Oxide, and in eliminating Sulfur Oxide and many of our daily products, we ensure their
essential ingredients in different industries. and Particulate Matter emissions. Due to this fact, alignment to the highest standards of quality, health,
the world is considering Methanol as an alternative safety, and environmental protection, thus, reducing
Methanol is a clear, water-soluble liquid chemical
1
fuel for ships and vehicles. China is one of these our negative impact at all aspects and at all stages
used in the production of a variety of our daily countries that is considering the development of production.
products including plastics, LCD TV, adhesives, of Methanol vehicles in its industrial green
glues, computer screens, furniture, vaccines, development plan where it plans to replace the Our Quality Management System (which is
pharmaceuticals, cosmetics, fuels, and paints. It fossil fuel vehicles with the clean-burning Methanol ISO 9001:2015 certified) assures our product quality
is an energy source in different sectors including vehicles3. through regular comprehensive checks on products
automotive, electricity and marine sectors. to ensure we meet our customer needs and the
regulatory requirements; thus, achieving the highest
standards of quality.
1
Methanol Institute (https://www.methanol.org)
2
Green Fuels for Shipping (https://pubs.acs.org/doi/10.1021/cen-10008-cover)
3
‘Two sessions’ 2022: Carbon neutrality high on agenda as delegates offer proposals on new energy vehicles, green AI and blue carbon | South China Morning Post (scmp.com)
4
Chapter13 MTBE (epa.gov)

GRI 416
Additionally, our Material Safety Data Sheets (MSDS), To ensure safe production and highest quality In 2021, we did not face any incidents of non-
which are developed in line with the United Nations standards are achieved, we continuously implement compliance with regulations and voluntary codes
Globally Harmonized System of Classification and several measures through our production processes. concerning the health and safety impacts of our
Labelling of Chemicals (GHS), assist us in ensuring For example, in our Methanol production process, products.
the highest standards of safety when it comes we select the suitable coal gasifiers and optimize
to materials/products handling. The MSDS are process conditions such as the temperature We also intend to develop technical and market
publicly available on our website to be used by our and pressure- which we monitor and control to intelligence with the support of QatarEnergy and
customers and people who handle, transport, and obtain high conversion and high product quality. Muntajat where we will explore market potential
use our products. Additionally, we label our pipes and valves and of prioritizing brownfield expansions for Methanol
indicate the flow direction and store our production derivatives including Methyl methacrylate (MMA)
These MSDS inform our people and customers above-ground in tank farms to avoid static and Acetic Acid. We are keen on investing in
about our products’ safety information including discharges hazards. this initiative due to brownfield expansion’s
potential hazards and appropriate control measures environmental mitigation and cost efficiency as we
that can be adopted such as using the dedicated In 2021, we upgraded our IA/UA compressors in our would purchase or lease existing facilities opposed
emergency hotlines. Additionally, the MSDS include Methanol production process to obtain addition 20% to the critical economic and environmental costs
information about the product’s physical and of air capacity. We also replaced the annular plate that would be suffered in building a new facility.
chemical properties to ensure the safe handling and and CP system of the tanks TK-3102-C and TK-3101-B. From a product responsibility aspect, we are eager
storing of the product and the correct identification Additionally, we reviewed and revised the Methanol to invest in MMA specifically due to its positive
of potential hazards and first aid measures. The utility and Standard Operating Procedures. environmental impact and high recyclability.
MSDS describe the appropriate measures to be
taken in case of skin or eye contact with the product,
inhale or digestion of the product, and firefighting
measures to be taken in case of fire caused by any
of the products.
Additionally, we conduct Health, Safety and

Environmental (HSE) impact assessments for our
products to mitigate our HSE impacts and protect
our people and customers who handle, transport,
and use our products. These assessments allow
us also to identify any potential hazards and the
required measures to be taken in case of exposure
in addition to first aid measures.

Our
Environment
environmental impacts: energy and
emissions, resources and utilities.
Using the following material topics
as guidance, our management and
performance is disclosed on the key
focus areas.
Resource Efficiency
Climate Change
Waste
Water
Biodiversity

Introduction
In the past couple of years, dialogue on climate In addition to the existing frameworks for Qatar’s scrutiny to action the requirements established by
change has garnered immense traction, highlighting sustainable development, the government released QNE, as the strategy is currently being implemented
the increasing adversity and frequency of negative the Qatar National Environment and Climate for the upstream Oil & Gas companies in Qatar.
climate change impacts; being felt across regions. Change Strategy (QNE) in 2021, providing a strategic However, QAFAC has received a directive to enhance
The simplification of climate change impacts, risks, framework reflecting Qatar’s long-term sustainability its capabilities gradually to meet QNE’s compliance
vulnerabilities, etc., are transitioning into common ambitions and strengthening the urgency to respond requirements in eventuality. In consideration of
knowledge at a gradual, yet impactful pace. A effectively to the climate crisis. The QNE details the these developments, we are being proactive and
series of 2021 events such as the release of IPCC nation’s commitment to tackle climate change by consistently adding further definition to QAFAC’s
Sixth Assessment Report (AR) on Physical Risks in diversifying the economy, building capabilities, and environmental management. For instance, as
September 2021, the Glasgow Climate Pact at COP26 optimising the use of natural resources, categorized described in the upcoming ‘Climate Change’
summit held in November 2021 and the more recent under the five broad focus areas: GHG Emissions section, we are focused on strengthening out GHG
IPCC Sixth AR on climate change adaptation have and Air Quality, Biodiversity, Water, Circular Economy Accounting and Reporting processes for robust GHG
collectively played a crucial role in underpinning the & Waste Management, Land Use. QAFAC, being a inventories and monitoring, as a crucial step towards
severity and urgency of climate change transition. downstream company, is not under an immediate emissions reduction.
The recent IPCC publication on Climate Change

2022: Impacts, Adaptation and Vulnerability, provided
insights on energy system transitions, which carry
relevance and significance to the industry QAFAC
operates in. Mega-disruptions to the energy sector
are the de facto solutions to climate change,
believed to enhance the feasibility of adaptation
options available to industries. Amongst these
solutions are- infrastructure resilience, reliable power
systems and efficient water use for existing and new
energy generation systems. Qatar’s abundance in
fossil fuels and its dependency on energy revenues
place a strategic importance in implementing these
solutions and internalizing the effects of climate
change.

We are motivated to transition into an of our employees, partners, and all external Hence, our efforts towards this ambition are outlined
environmentally conscious and responsible stakeholders. QAFAC’s Environmental Policy is in this environmental chapter, which provides a brief
company within the State of Qatar and in order aligned to our Climate Change and Sustainability description of the approach, framework, drivers, and
to translate this into a commitment, we have Policies and is expected to be published by end of actions towards each environmental material topic.
developed the QAFAC Environment policy, 2022 or earlier 2023. This year, we have realigned our environmental
highlighting our role as a responsible steward of priorities through a materiality refresh exercise as
Qatar’s natural resources. This policy sets out our The steps we are taking towards environmental stated in the preceding sections of this sustainability
commitments towards protecting our natural stewardship arise from our strategic priority of report, to arrive at the following 2021 material topics:
resources and complying with the associated striving for “excellence in environmental protection”
regulations, while considering the best interests to prepare QAFAC for long-term sustainability.
Strategic Priority
Material Topic
Resource Efficiency GRI 301 - • Strive for excellence

in environmental
protection
GRI 302, • Boost ‘digitalization’ to
Climate Change QSE E1-E7
GRI 305 set a benchmark in our
industry
Waste GRI 306 QSE E9

Environmental
development
Water GRI 303 QSE E8
Biodiversity GRI 304 -

Resource Efficiency
GRI 301
The disruptions in supply and demand of energy fossil fuel sources, such as natural gas, it is vital a broader understanding towards the positive
resource availability and accessibility for the for energy-intensive industries to continuously impacts of efficient resource utilization. We have
chemicals industry have been of geopolitical recalibrate and reorient. The introduction and been able to implement projects and initiatives
prominence for several decades. Considering the seamless integration of circular economy or with co-benefits like optimized resource utilization,
increasingly scalable and potentially equalizing circularity principles with resource efficiency for example, Regenerate Gas Scrubber technology,
power of renewable energies with traditional principles have helped companies in gaining further discussed in the subjective sections.
QAFAC is committed to diversifying its energy mix

and ensuring an optimal utilization of its natural
resources. Currently, there are no existing policies
and strategies that guide QAFAC in achieving
resource efficiency. However, considering the
topic’s material importance, we aim to develop and
establish guidance efficient and effective use of
resources, which guide our day-to-day operations.
In QAFAC’s case, the production of Methanol and

MTBE uses Natural Gas and Butane as primary raw
materials. Natural gas utilization at QAFAC has
dual purpose - as process feed for conversion into
Methanol and MTBE, as well as fuel gas (comprising
of natural gas and other fuels, further discussed in
the Climate Change section). QAFAC’s sole natural
gas provider is QatarEnergy, also the field Butane is
procured from QatarEnergy.

GRI 301-1
As we have reported last year, QatarEnergy, in

collaboration with its partners located in the
manufacturing hub of the Mesaieed Industrial City
(MIC) has launched the Integrated Gas Supply to
Mesaieed Industrial City (MIC) Consumers (IGSMC)
project, with an objective to ensure uninterruptable
natural gas supply to all QatarEnergy customers
in MIC, including QAFAC. In addition to ensuring an
uninterrupted supply, this project would eliminate
the systemic inefficiencies of logistics, transportation,
consumption measurement, losses of material, etc.
By placing emphasis on the need for integrated,
efficient, and optimized instrumentation systems,
QatarEnergy and the participating companies can
collectively establish concrete monitoring systems
for key resource management and associated Materials Used by Weight
redundancies. One such highlight of the IGSMC
879,968
868,833
855,004
863,145
project is its advanced ultrasonic flow metering
752,519
installation, which ensures safe and accurate
633,489
measurements of the gas flow, while eliminating
618,662
605,192
610,751
526,093
506,050
515,265
the need for frequent cleaning since it has no
433,769
moving parts. It also allows for frequent calibration
368,640
353,728
or proving as well. This project is an improvement
of existing method of resource and cost estimation 863,145
using pressure differential flowmeters, which are
Material
prone to inefficacies. IGSMC supports our efforts to Consumption (MT)
ensure continued operations and meet production
targets, which eventually contribute towards 2017 2018 2019 2020 2021
meeting our customers’ needs, enhancing our
reputation, and retaining our market capitalization. Total Natural Gas (Feed + Fuel for energy generation) Butane
In 2021, QAFAC has erected the tie-in line to the main Natural Gas as Process Feed Linear (Butane)
network. The project is aimed to be completed in
2022.

Climate Change
GRI 302-1, GRI 302-3, GRI 305, IQ-3, IQ-4, IQ-5, IQ-7, GPCA
the damaging potential of our raw materials, A foundational step QAFAC has taken towards better
as well as our finished products. We constantly energy symbiosis, is to design and implement an
strive to manage our responsibility associated organization-wise ISO 50001: Energy Management
with harnessing efficient and effective process system (EnMS). We have reported the progress
controls with direct and (or) indirect impacts on of implementation of the energy management
QAFAC’s energy consumption to subsequently standard in the 2020 sustainability report. While
result in managing our environmental footprint. the project is in its final stages of completion
Our long-term goal is to invest in technologies and and has made considerable progress in terms of
performance management processes that make development and modification of relevant policies
our production processes as green and efficient as and procedures, such as the Energy Management
possible. (EnMS) Guidebook, Energy Planning and Review,
Energy Management Improvement.
The management of topics like energy and
emissions follows a thoroughly collaborative and In addition, as part of QAFAC’s corporate policy
coordinated approach at QAFAC. Under the aegis refresh, we are currently developing a Climate
of QAFAC’s Technical department and the Health, Change policy, in alignment with QatarEnergy’s
Safety, Security and Environment (HSSE) department, climate change policy commitments. This
the responsibilities for managing the topics of policy highlights QAFAC’s commitment to being
In 2021, we have revised our approach to managing energy and emissions are distributed. While the a responsible steward in combating the risks
the elements of energy and emissions. This is sponsorship and implementation of QAFAC’s many of climate change. The policy is outlining the
reflected in the 2021 materiality refresh wherein; our projects may lie with the Projects, Technical and (or) principles informing QAFAC’s approach, defining the
Energy and Emissions material topics have been Production departments, the aspects of monitoring, commitment to minimum compliance requirements,
consolidated into one topic of importance: Climate managing, evaluating, and reporting of these and to all stakeholders - employees, partners, local
Change. We acknowledge and comprehend the projects rest with the HSSE department. A symbiotic communities, and the world at large - as well as
deeply interrelated nature of energy reduction relationship amongst each of QAFAC’s departments identifying the actions that we are taking to build
translating into emissions reduction. Considering has been established in a robust manner which resilience as an organization in the face of climate
the nature and intrinsic energy potential of allows for successful outcomes of energy and change. It is aligned to QAFAC’s Sustainability and
hydrocarbons which QAFAC handles, we remain emissions initiatives. Several such examples have Environment Policies and supports the goals of the
cognizant of the energy considerations and been provided throughout this section. Paris Agreement.

GRI 302-1, GRI 302-3
In 2021, we have achieved a remarkable addition

to QAFAC’s energy mix. By virtue of the process
optimization projects undertaken by QAFAC, we Total Energy Consumption
were able to add two new sources of energy, viz.,
23,844,215
23,835,319
23,336,293
22,952,923
22,980,107
22,978,129
22,469,816
MTBE Net Gas and MTBE PSA Tail gas, into our energy
22,122,161
20,640,914
19,874,445
mix, already comprising of natural gas, MTBE off-
gases, MTBE Butamer scrubber off gas, purge gas
and diesel. The MTBE Net Gas and MTBE PSA Tail gas
are a result of the Regenerate Gas Scrubber (RGS)
- QAFAC aims to further study the fuel potential
attributes of these in the upcoming years. The
direct energy generation by virtue of fuels is 96% of
23,336,293
855,968
QAFAC’s energy mix, whereas the remaining 4% is
766,469
882,396
866,477
864,108
from electricity supplied by Qatar General Electricity GJ
and Water Corporation (KAHRAMAA). Further, the
regenerated gas is used as a fuel in the major 2017 2018 2019 2020 2021
combustion units, i.e., methanol reformer and boiler.
Direct Energy Consumption (Natural Gas, Diesel, Total Direct and Indirect Energy Consumption
There has been a minor increase of 2% in the Purge Gas and Off Gases Used As Fuel) Linear (Total Direct and Indirect Energy Consumption)
QAFAC’s energy consumption from 2020 to 2021. Indirect Energy
Considering the metric of energy intensity provides

us with a more representative comparison
of QAFAC’s energy consumption, through its Delving deeper into QAFAC’s energy mix and its
normalization against the annual production, Energy Intensity emissions’ implications, we present a detailed
we find the metric to be stable between 14.61 GJ per case study of the successful commissioning of the
ton of production to 14.57 GJ per ton of production, Regenerant Gas Scrubber (RGS) unit, which has led
14.57
14.61
with no effective or absolute change between 2020 to the recycling of the MTBE regenerant gas, thus,
13.69
13.67
and 2021 reporting years. generating the MTBE Net gas fuel as a result and
13.32
contributing to a reduction in flaring. For the last two

14.57 months of the 2021 reporting year, we have been
GJ/Ton Production able to add to the fuel sources. We aim to explore
the true potential of the project and its favorable
2017 2018 2019 2020 2021 outcomes in 2022.
Financial Year

Regenerant Gas Scrubber Unit
Regenerant Gas Scrubber Unit was commissioned in the last quarter of 2021. The purpose of installing RGS unit in the existing Oleflex unit of MTBE Plant is to remove H2S
gas from Reactor Effluent Driers (RED) Regenerate gas (In the Oleflex unit of MTBE plant) by passing through circulating caustic scrubber and use regenerate gas as fuel
in the existing gas network.
About the project

The Regenerant gas scrubber aids in the removal
of H2S gas from the regenerant gas, which is
LP Condensate
typically used to regenerate the reactor effluent
driers in the Oleflex Unit. The Regenerant effluent’s Caustic
H2S concentration lies between the range of Regeneration gas Scrubber
100 - 3000 mole ppm1. In the scrubber, the H2S from existing R.E.D. System
is absorbed in 10% caustic solution, that further regeneration cooler
R.E.D.
• Caustic Scrubber
Scrubber To existing
converts H2S to sodium di-sulphide (Na2S) and regeneration
scrubber OffGas
Off Gas fuel gas
trim
sodium sulphide (NaHS). These products from • Caustic K.O.D.
K.O.D. system
cooler
the scrubber typically contain <1 ppm of H2S circulation
and is water saturated. A Caustic Oil Removal pump
Package is provided in the scrubber’s caustic • Water Circ.
pump
circulation system, to separate the entrained
R.E.D. • Condensate
hydrocarbon from an aqueous stream of spent Spent
regeneration cooler Caustic To road tanker
caustic, further reducing the concentration of K.O.D.
• Caustic heater Storage
entrained hydrocarbon from 100 - 5000 wppm2 to (existing)
• Caustic oil
<20 wppm. Once the spent caustic reaches 80% removal
concentration in the final products, it is dumped • Water break
in batches and sent to spent caustic storage tank
tank, following which the solution is pumped to
trucks for disposal. 10% Fresh Caustic
1
Parts per million (unit of mass concentration)
2
Weight parts per million (unit of mass concentration)

Regenerant Gas Scrubber Unit
Outcomes
RGS Unit has enabled QAFAC to reduce the
amount of gas flaring and recover regenerate
net gas, which is suitable for reusing as fuel in the
fuel network. The table presented below provides
a comparison of the MTBE plant’s flaring figures
with and without RGS unit.
The value generated

This RGS project is expected to deliver emissions
reduction and minimise the consumption of
natural gas in the fuel mix.
Way Forward
As the project has been commissioned in
October 2021, QAFAC is steadily monitoring and
operationalizing the RGS unit to evaluate the
performance against desired targets of flaring
reduction and use of Hydrogen as a fuel gas.
MTBE Plant Flare Reduction with RGS Unit
Flaring/
month Flaring reduction with RGS
without RGS
Quantity Quantity Reduction (%)
1,845 MT 1,265 MT 68.5%
532 MMSCF 390 MMSCF 73.3%

GRI 305-1, GRI 305-2

With respect to flaring off-spec gases, which
are released or flared are processed in the
RGS unit. We continue to monitor the data and
incorporate effective management techniques. Total GHG Emissions
1,158,530
Operationalization of the RGS unit in 2021, led to a
1,074,062
1,064,425
1,038,378
45% reduction in the flaring of off-spec gases.
997,227
979,987
958,599
951,033
892,860
862,325
Flaring of Off-Spec Gases
1,074,064
104,367
115,463
172
117,662
113,392
120,152
158 162
155
MTCO2e
95 95
2017 2018 2019 2020 2021
MMSCM
Direct GHG Emissions (Scope 1) Total GHG Emissions

2017 2018 2019 2020 2021 Indirect GHG Emissions (Scope 2) Linear (Total GHG Emissions)
Financial Year
Having discussed the energy attributes at QAFAC recommendations provided by global regulatory the performance of GHG and air emissions. In
broadly for the reporting year 2021, we, therefore bodies and associations with insights into gas flaring addition, from an emissions reduction perspective,
continue to explore and establish the links of and venting practices in the gas industry . QAFAC has a Carbon Dioxide Recovery (CDR) unit,
energy consumption to the resultant atmospheric commissioned in 2014. This unit effectively reduces
emissions. With the help of the RGS Unit, we are QAFAC is cautiously driven by several regional the GHG emissions by capturing carbon dioxide
able to reduce our flaring emissions and meet the and national forces to obtain a gradual decline and converting it to Methanol within the production
compliance requirements established by regulatory in our Greenhouse Gas (GHG) emissions. To process. This operation is not limited to emissions
authorities such as MoECC (for maintaining our ensure better monitoring, tracking and verification reduction, but further, to optimized resource usage,
Consent to Operate (CTO)) and controlling entities of our data, we have established a set of Key elimination of product or resource loss, depicting
such as Industries Qatar and QatarEnergy’s Flaring Performance Indicators (KPIs) consolidated into an excellence in manufacturing processes. In 2021,
Reduction Strategy. Further, we are in a position to a dashboard, which allows for real-time data QAFAC has successfully captured 175,122 metric tons
align ourselves with the broader frameworks and monitoring and improves reporting practices on of carbon dioxide and converted it into Methanol.

Greenhouse Gas (GHG) Accounting & Reporting (A&R)
In 2020, we enacted the QatarEnergy directive to implement a Greenhouse Gas (GHG) Accounting & Reporting (A&R) program, which is aligned to QatarEnergy’s
approved GHG Accounting and Reporting Procedure. This follows the European Union (EU) and Intergovernmental Panel on Climate Change (IPCC) guidelines to
ensure accurate emissions’ reporting. QAFAC has made immense progress on this project in 2021, receiving high accolade and commendation from QatarEnergy.
About the project

With the support of third-party vendor and QAFAC’s own
IT infrastructure, a Data Integration and Automation GHG Scope-1 Emissions Inventory Inventory of Scope-2 Emissions
Application (DIA) software, had been implemented Verification Certificate Verification Certificate
by QAFAC. This project has successfully established

the integrated management system for GHG A&R. The
software application communicates constantly with the
plant information (PI) and Uniformance process history
database (PHD) system and lab information management
systems (LIMS). In 2021, we enhanced this program by
setting a comprehensive mechanism with calibration
systems, equipment, protocols, monitoring, and certification
programs for GHG accounting, reporting and verification
processes.
Outcomes
A high degree of automation had been achieved in
emissions data management with the help of this software.
The value generated

Strengthening of GHG monitoring and measurement
tools with a direct net positive effect on GHG emissions
management and reduction.
Way Forward
Continue to strengthen our emissions management
systems in alignment with QAFAC’s Climate Change policy
commitments.

GRI 305-1, GRI 305-2

Greenhouse Gas (GHG) Accounting & Reporting (A&R)
Categories of GHG Emissions
CO2 SF6 CH4 N2O HFCs PFCs
Production
of Purchased
Materials
Employee
Business Travel
Waste Disposal
Contractor
Purchased Owned Vehicles
Company
Electricity for
Operations Outsourced
Own Use Activities
Product Use
SCOPE 1 SCOPE 2 SCOPE 3

DIRECT INDIRECT INDIRECT
Note: QAFAC reports only Scope 1 (CO2, CH4, N2O) and Scope 2 emissions.

GRI 305-4, GRI 305-7
In the reporting year 2021, there was no significant NOX limits has led to a stable operating system for pandemic. In addition to the projects and systems
difference in QAFAC’s direct and indirect emissions air emissions at QAFAC. As per the directive, the presented above, QAFAC has taken steps to curb
compared to 2020. This is also reflected by the annual NOX levels of an entity have to be limited at the release of fugitive Volatile Organic Compounds
stable GHG intensity figure at 0.67 MTCO2e per 125 mg/Nm . The installation of new analyzers further
3
(VOCs) and Hazardous Air Pollutants (HAPs). The
ton of production. The trend outlines the gradual enhanced the emission monitoring for the SNCR adopted approach to achieve these reductions
stability QAFAC is re-attaining, in light of the negative unit. The below mentioned data provides an insight is through the Leak Detection and Repair (LDAR)
consequences of COVID-19. into the NOx emissions reduction since 2019. A vast program following QatarEnergy guidelines and in
reduction of approximately 58% in emissions has accordance with US EPA Method 21. In 2021, QAFAC
In addition to GHG inventory development and been recorded in a three-year period, owing to the started Methane emissions monitoring through LDAR
emissions reduction motive, QAFAC tackles the NOx emissions plummeting from approximately 260- program wherein the Toxic Vapor analysers (TVA)
release of harmful and toxic air emissions with a 280 mg/Nm3 to around 110-125 mg/Nm3. However, and Optical Gas imaging camera (OGI) will be used
high level of importance. The commissioning of the there has been a 12% increase in NOx emissions from for carrying our LDAR activities. Activities related to
selective non-catalytic reduction (SNCR) system 2020 to 2021, primarily due to some planned and/ site monitoring of are scheduled for 2022.
in 2019, to meet the MoECC’s directive to maintain or unplanned shutdowns in 2020, a result of the
Commissioning of SNCR and Reduction in NOx Emissions GHG Intensity
291.0
269.0
254.0 0.68
237.0 0.67
241.0
204.0 0.67 0.56 0.56

0.54
TCO2e/Ton of
Production
NOx
130.0
125.7 124.0 123.4 125.6
119.3 117.7
112.5 2017 2018 2019 2020 2021
125.6 100.9 100.6
Financial Year
mg/Nm3
1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th
2018 Quarters 2019 Quarters 2020 Quarters 2021 Quarters
Indicates emissions before SNCR commissioning Indicates emissions after SNCR commissioning

Waste
GRI 306-2, GRI 306-3, GRI 306-5, IQ-8, IQ -9, GPCA
Hazardous waste Non-hazardous waste We recognize that the engagement of contractors

is insufficient in ensuring responsible waste
• Spent catalysts management practices. Hence, we strengthened the
• Spent resin targets of our existing KPIs and introduced new KPI(s)
• Domestic waste
• Spent salt and targets at departmental and executive levels to
• Electronic waste
• Oily sludge ensure continuous improvement and compliance
(100% recycled)
• Activated carbon to the operational requirements established by the
• Spent oil filters MoECC. Examples of waste disposal- related KPIs are:
The performance against these KPIs and parameters

To ensure safe disposal of QAFAC’s waste are tracked through our HSE dashboards. Under
streams, we engage efficient waste management the ownership of QAFAC’s HSSE department, the
contractors; third parties who would ensure further KPI related to the “Retention of hazardous waste in
responsibility for the handling, transportation, and QAFAC storage to be under 90 days (%)”, had been
disposal of different types of waste, which include introduced as a new KPI for implementation and
hazardous waste, general waste, electronic waste, tracking in 2022 and forward.
incinerable waste and medical waste.
QAFAC recognizes the importance and the necessity

to ensure responsible waste management to Enabler: Strive for Excellence in Environmental Protection
align with QNV 2030 and other national strategic
objectives, such as the QNE. While waste generation Category KPI 2021 Target 2022 Target
continues to remain a material issue for 2021, Collection of waste
our waste disposal processes have seen some Waste Disposal/Spills materials for recycling 250 100
improvements the past few year. By virtue of (%)
QAFAC’s operations, we generate large amounts of Retention of hazardous
hazardous and non-hazardous wastes, which have waste in QAFAC storage - 100
the potential to cause detrimental environmental to be under 90 days (%)*
impacts. Our waste composition is represented Significant spills (#) 0 0
below: *New KPI

GRI 306-3, GRI 306-5
QAFAC has witnessed a staggering 81% increase in

Total Waste Generation the total waste generation. The reasons for this are
attributed to a partial unplanned shutdown, that has
increased the quantity of waste. In addition, QAFAC’s
2,735
RGS plant commission in October 2021 has
contributed to the increase in incinerable waste
quantity.
1,401
1,344
1,334
The table provided below provides further insight into
1,012
868
873
QAFAC’s waste disposal pathways:
825
744
811
1,344
388
356
332
289
301
Tons
Nature
Disposal
of Waste Type of Waste
2017 2018 2019 2020 2021 Pathway
Stream
Total Waste Generated Total Hazardous Waste Total Non-hazardous Waste Sent to Mesaieed
Industrial City
Industrial
(MIC) Hazardous
waste
Waste Treatment
Center
Total Waste by Disposal Method
Incineration
Hazardous
via waste
waste Amine waste
management
1,358
contractor
1,171
Recycling
via waste
Oil waste
management
contractor
700
485
503
Non- Recycling
Domestic
hazardous via waste
348
337
327
waste,
301
260
261
recyclable management
E-waste
122
waste contractor
83
65
62
56
48
32
27
16
2017 2018 2019 2020 2021
Incineration MIC Hazardous Waste Treatment Center Recycling Direct Landfilling

GRI 306-1, GRI 306-2, GRI 306-3, GRI 306-4
Back in 2019, QAFAC’s HSSE department and the Further, upon evaluation of QAFAC’s environmental
Environment section launched the Recyclable Waste improvements in 2021, we recognize the holistic impact
Management Program. In 2020, this program was on our environment to be positive, as depicted below.
further enhanced by placing several color-coded
recyclable waste bins in the buildings for collection
of empty plastic water bottles, aluminum cans Trees Air Pollution
and paper. Each bin has four compartments with
different color codes. Each color corresponds to a
specific waste category as stated below:
• Yellow: For plastic bottles (e.g., water bottles)

• Red: For aluminum cans (e.g., beverage cans) 11.21 39.54 lbs.
• Blue: For paper
• Green: For non-hazardous general waste
Landfill Space Oil
Type of Waste Weight (Kg)
Paper/Carton 659
Plastic Bottles 63
2.90 m3 371.72 gal.

Aluminum Cans 47
Total 769
The recyclable waste is collected and stored in Energy Water

respective storage bins placed outside the buildings.
An approved contractor collects the waste on call
basis, which is then handed over to the recycling
facilities for recycling of plastic, aluminum, and
paper. Accordingly, monthly reports are submitted
by the contractors to QAFAC. There have been 3,657.76 KW 9,613 gal.
no significant activities that occurred in 2021 with
regards to this non-hazardous waste recycling
project.

Water
GRI 303-1, GRI 303-2, GRI 303-4, GRI 303-5
Operating within one of the highest water-stressed however, our upcoming Environment policy outlines In 2021, there was a noticeable reduction of
regions comes with a set of challenges, Qatar is broad commitments towards water management. A approximately 22% of total water consumed
located in an arid climate and suffers from acute broad policy commitment includes the development compared to 2020. Our purchased water quantities
water stress round the year. The nation has no rivers of solutions to conserve freshwater resources and have reduced 27% while our generated water
or lakes, and the primary sources of freshwater restore ecological balance in marine environments quantities fluctuated at 13% between 2020 and 2021.
are rainfall and ground water. Hence, to meet the to protect the essential resources. Hence, as part of
country’s water needs, the use of desalinated water our ongoing efforts towards water management, Similarly, there has been 45% reduction in the
is prevalent. we closely monitor our water consumption with quantity of water recovered and reused from CDR
the help of key performance indicators included plant in 2021, due to unenforceable reasons.
QAFAC purchases the water from Qatar General in our corporate scorecard and reviewed against
Electricity and Water Corporation (KAHRAMAA) objectives and targets.
and self-generates a portion of the remainder in
the Carbon Dioxide Recycling (CDR) plant, which
also recycles the recovered water vapor from flue
gases. QAFAC’s water usage is for the following main Distribution of Freshwater Consumed
purposes:
300,293
225,307
• Steam generation for process requirements
• Energy driver and non-contact coolant for
275,590
109,758
mechanical equipment 782,531 803,204 670,578 60,654
• Use of treated recycled wastewater from our 644,066
sanitary wastewater treatment plant for irrigation 558,890
Quantity of Water 1,088,820 1,076,111 1,075,961
purpose 1,021,352
Consumed (m3)
• Use of water for water in offices 742,860
2017 2018 2019 2020 2021

To ensure a balanced approach to water Financial Year
management at QAFAC, we have integrated
water efficient measures into our environmental Freshwater used, purchased Freshwater used, company generated
management approach. Water is currently not Water recovered and reused from CDR plant
governed by any written policy within QAFAC;

GRI 303-1, GRI 303-2, GRI 303-4
While QAFAC has witnessed a material decrease

in water consumption, an increase in wastewater
generation has been observed, although not of high
significance or intervals. In 2020, QAFAC discharged
a total of 526,699 m3 of wastewater, which was 3.4%
higher in comparison to the previous year. Further
in 2021, we observed the wastewater generation
and discharge to have increased by 5% from 2020
levels to reach a quantity of 555,353 m3 owing
to a multitude of reasons ranging from meter
malfunction to process-related changes.
The effluents released as a result of QAFAC’s

operations are categorized as:
1. Oily wastewater
2. Process wastewater
3. Demineralized wastewater Wastewater Generated Water Discharge
4. Sanitary wastewater
283,554
547,956
555,353
268,938
277,813
266,937
271,799
529,694
270,142
262,757
509,569
526,699
252,487
257,081
257,761
In terms of our processes to ensure safe wastewater
or effluent discharge, we ensure a large proportion
of our wastewater is recycled. For the past five years,
we have been consistently recycling approximately 555,353
Quantity of
51% of the wastewater being generated at QAFAC. Wastewater
Quantity of
This recycled water is used for irrigation purposes in Wastewater (m3) Discharge (m3)
our designate Greenbelt area.
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Financial Year Financial Year
Total wastewater generated, including Water discharged, including non-contact

non-contact cooling water cooling water
Recycled wastewater discharged to the Green Belt
Linear (Total wastewater generated,
including non-contact cooling water)

GRI 303-1
Near Zero Liquid Discharge (N-ZLD) Plant
About the study Due to the pandemic, several operational delays

The N-ZLD plant is equipped with systems to and geopolitical conditions were witnessed
treat the process wastewater streams (i.e., oily during the past 2 years, pushing the estimated
wastewater, process wastewater and demineralized completion timeline to 2024. As part of the
wastewater) and upgrade them to potable water project handover, our employees will undergo
standards. The plant is equipped with advanced training and awareness on the new systems
automation and is being implemented in three and technology.
phases, following the format of Phase 1 Selecting the
technology provider with its scope of supply. QAFAC Outcomes
awarded SUEZ Water Technology & Solutions for The N-ZLD plant, once fully operational,
QAFAC’s effluents discharge has a detrimental the supply of technology and its related skids and will recover approximately 85% of QAFAC’s
impact on the environment, if unregulated. As equipments. This phase of the project is ongoing wastewater for utilization as makeup water in
a response to this, the N-ZLD project had been and expected to be completed in early part of our demineralization plant. The remaining 15%,
initiated to manage the disposal pathways and 2023. Phase 2 involve the detailed engineering to which is mainly brine water, after treatment will
quality of effluents such as, oily wastewater, prepare the invitation to bid (ITB), tendering & award be rejected to the sea.
water, process wastewater and water, the PCIC (Procurement, Construction, Installation
demineralized wastewater, etc. QAFAC has and Commissioning) contract. It includes the pre- The value generated
conceived the N-ZLD plant in compliance with requisite documentation checklists, approvals, and Energy Efficient and circular processes
the requirements of Ministry of Environment and permits, such as the Construction Environment with minimal impacts on land and marine
Climate Change (MoECC) and the State of Qatar. Management Plan (CEMP). The CEMP, for instance, ecosystems. Additional benefits of process
is carried out by a third party and approved by efficiency and resource reduction through
The objective of the project is to promote water the Ministry of Environment and Climate Change automation.
conservation as well as gain commercial benefit (MoECC). The CEMP includes manpower planning,
by utilizing the treated effluent, resulting in a waste generation, impacts to groundwater tables, Way Forward
substantial annual saving of 604,440 m3 and etc. and permits like Consent to Construct (CTC) The project construction will begin after
69 m3/hour load of water sourced from and Consent to Operate (CTO). Phase 3 involve successful award of construction contract. The
KAHRAMAA. executing and completing the project through the N-ZLD plant is expected to be fully operational
PCIC contract. by the end of 2024.

Biodiversity
GRI 304-2
The State of Qatar has been a party to the In addition, the ongoing Environmental Impact pose a considerable impact on the environment
Convention on Biological Diversity (CBD) since 1996 Assessment (EIA) of the Mesaieed Industrial City through effluent discharge, help QAFAC in sound
and has been a party to the subsequent Cartagena (MIC) would aid us in taking the first steps towards decision-making and preparedness.
and Nagoya protocols, by accession. The nation has understanding the current state and urgency
established a Qatar National Biodiversity Strategy for preservation of biodiversity elements in our Moreover, with existing initiatives like the tree
Action Plan (NBSAF), covering seven goals and operating environment. Similarly, performing the plantation drive, we relocated a few trees in 2021.
associated targets proposed to be achieved by Construction Environmental Management Plan We aim to expand the scope of such projects in the
2025. The implications and actions for QAFAC could (CEMP) and related assessments like the benthic future.
be significant from a marine biodiversity perspective. studies, hydrodynamic modellings for projects that
Hence, we added provisions for biodiversity
management in our upcoming Environment policy,
committing to the protection, mitigation, and
investment to minimize impact on biodiversity.
With the material significance of biodiversity
established at QAFAC through our 2021 materiality
refresh exercise, we aim to explore the issue with
greater seriousness in the upcoming years to meet
our stakeholders’ expectations and achieve an
alignment with the anticipated national biodiversity
targets.
Currently, our responsibility towards biodiversity

is well-reflected in our chemical handling and
transportation safety. QAFAC has a history of zero
spills, unfalteringly driven by our constant endeavor
for safety excellence. Further, in the suite of current
initiatives and projects convened by QAFAC, our
N-ZLD project’s anticipated outcomes include
environmental benefits, primarily, the reduction in
disposal of effluents into the marine waterbodies.

Our Safety
its health and safety impacts:
occupational health & safety, process
safety and emergency preparedness.
Using the following material topics
as guidance, our management and
focus areas.
Health and Safety

Introduction
At QAFAC, personal health and safety is an
indispensable part of the business. The health and
safety of our people, as well as the safety of our
operations are of utmost importance and priority,
especially when faced with new challenges such
as the COVID-19 pandemic. A challenging situation
like the COVID-19 pandemic, calls for more robust
and sustainable health and safety systems. As a
responsible organization, we seek to ensure that
our employees, contractors, visitors, customers, and
shareholders can work and collaborate in a safe and
healthy environment with zero-harm.
During the reporting year, QAFAC implemented

many measures to prevent the spread of the
pandemic and protect our employees and
contractors. Some of the measures implemented
include establishing protocols to manage individual
health and safety (e.g., social distancing, wearing
face masks, sanitizing, etc.), promoting virtual
meetings wherever possible, with supporting
infrastructure, changing shift timing, close
monitoring of vaccination schedule, entry restrictions
to authorized work areas, granting work-from-home
and other flexible working setups. With respect to
contractors and employees availing QAFAC’s bus
transportation, we ensured access to hand sanitizers
and adhered to social distancing protocols in the
seating arrangements. Additionally, we stringently
followed all COVID-19 guidelines and protocols as
instructed by the government entities like the Ministry
of Public Health (MoPH) and closely followed the
instructions of QatarEnergy.

Our health and safety principles are formulated in

line with international frameworks and standards
such as the Environment, Health, and Safety
(EHS) Program of the Organization for Economic
Co-operation and Development (OECD), the
Occupational Safety and Health Convention and
its accompanying recommendations by the
International Labor Organization (ILO), and the safety
standards of the American Petroleum Institute (API).
In addition to following international standards

and best practices, we also pay close attention
to national health and safety provisions. These
include Qatar’s Labor Law, the policies of its National
Committee of Occupational Health and Safety within
the Ministry of Administrative Development, Labor
and Social Affairs, and the social development pillar
of the Qatar National Vision (QNV) 2030.
This section outlines our performance during the reporting period on health and safety (occupational health
and safety and process safety) and emergency preparedness. Our approach to managing our performance
on these topics is disclosed in line with the GRI Standards.
Strategic Priority
Material Topic
• Sustain top quartile

health and safety
GRI 403, performance
Health and Safety QSE S14,15
Social GRI OG 13 • Boost ‘digitalization’ to
development become a reference in
our industry

Health and Safety

GRI 403-1
Our health and safety priorities align with our Our leadership is diligent and committed to sound
corporate visions, mission, values, and overall and efficient health and safety governance at the
strategy. organizational level. We hold meetings on health
and safety at various organizational levels. The
Our Corporate Alignment to HSE Central Committee (Level 1) meetings are held
Our Health and Safety Priorities quarterly and are chaired by our Chief Executive
Officer (CEO). The meetings cover topics such
as our performance and challenges related to
Vision environment, occupational health & safety, trainings
conducted, security systems, and process safety.
• Being recognized for our reliability
The Level 2 meetings chaired by our Chief Operating
Officer (COO) are held on a bimonthly basis and
have participation from managers and operational
safety heads. Lastly, each QAFAC department has its
Mission own monthly safety committee (Level 3) meetings,
Our leadership has always given utmost importance • Maintaining the highest chaired by the respective department’s manager.
to the health and safety of our workforce, which HSSE standard These exclusive meetings are a forum to discuss key
includes both employees and contractors. As a safety topics such as safety incidents, major projects
testimony to that, QAFAC has achieved 18 million with health and safety concerns and current health
safe working hours without LTI for our employees and safety performance.
and contractors by 27 January 2022. Our approach Values
to safety includes identifying possible risks, • Safety: We ensure safety Furthermore, the importance given to health and
implementing measures to prevent the same and in everything we do safety aspects by the leadership is evident in the
educating our workforce with targeted and carefully formation of different committees which overlook
designed health & safety and process safety various facets of health and safety governance. For
programs. QAFAC’s approach and principles toward instance, the Management of Change Committee
health and safety are captured in our Quality, Health,
Strategy and Quality Assurance Committee contribute to
Safety and Environment (QHSE) policy. It is a guiding • Approach to winning in the market: embedding health and safety aspects into everyday
maintaining high plant
document for our workforce on any matters that are practices, and the Process Safety Management
• Key enablers to our long-term
related to health and safety issues. sustainability: sustaining top quartile (PSM) Central Committee oversees process safety
health and safety performance matters.

GRI 403-5
Our leadership took due care in mitigating the risks QAFAC interacts and collaborates on various health Along with the HSSE principles, QAFAC implements
arising from the outbreak of the COVID-19 pandemic and safety topics with other companies in the oil nine Life-Saving Rules. These simple and powerful
at the worksite and ensured that QAFAC employees and gas sector within the State of Qatar, for example Life-Saving Rules establish QAFAC’s intention to
and contractors are vaccinated. At the end of the QatarEnergy and companies within Mesaieed protect personnel against life threatening injury/
second dose vaccination drive, 95% of QAFAC staff Industrial City (MIC). These collaborations provide a illness and life-threatening accidents. Willful
and 100% of long-term and permanent contractors knowledge sharing platform where valuable insights negligence of these rules will lead to disciplinary
were vaccinated. Under the guidance of Crisis and lessons learned can be circulated, benefiting action and may result in employment termination.
Management Committee, we monitored the number all members, and assisting in their commitments to
of infected cases and adopted strategies to curb various health and safety requirements. To sustain excellent health and safety culture,
the spread of infection. Management introduced continuous learning is imperative. Hence at QAFAC,
various measures to ensure employee safety which QAFAC is a leading producer of MTBE and Methanol, we provide our employees with internal and external
include: and the majority of health and safety related trainings covering diverse topics to improve their
aspects are associated with the production of these knowledge and awareness in the domain of health
• Shifted to virtual meetings instead of physical chemicals. As we have the responsibility to drive and safety. In 2021, we have provided our employees
meeting health, safety, and reliability at the industry level, we with 4,134 training hours with 97% achievement.
• Changed to 12-hour shift patterns to ensure are an active member of the Gulf Petrochemicals
availability of staff at all times and Chemicals Association (GPCA) and a sponsor
• Issued laptop and other required resources for of the Mary Kay O’Connor Process Safety Center
virtual meeting and work-from-home setups of Texas A&M in Qatar. GPCA is the voice of the Total Number of Health and Safety
• Provided work-from-home facility to many chemical industry in the Arabian Gulf and being part Internal and External Training Hours
employees of the GPCA helps us through learning from other
• Coordinated vaccination schedules for member companies and sharing best practices in
employees and their family members regard to process safety. As a member of GPCA, we
• Regularly monitored contractor’s vaccination are also part of the GPCA Process Safety Task Force 4,090 44
drives Committee.
• Continuously monitored the workplace and Year 2021
rest areas to ensure compliance with COVID-19 To uphold the highest health and safety standards
protocols at QAFAC, we have developed QAFAC’s Health,
• Encouraged adherence to social distancing Safety, Security and Environment (HSSE) principles as 3,000 3,300 3,600 3,900 4,200
requirements while travelling an additional commitment to our HSSE excellence.
External Training Internal Training
• Facilitated regular follow-ups to employees by the The HSSE principles provide an HSSE platform and
Occupational Health Nursing (OHN) team foundation for all systems and activities at QAFAC.
• Restricted and limited unnecessary external office
visits

GRI 403-5
HSSE Training Conducted in 2021
Training
Training Name Type Description
Hours
Build the capacity of emergency responders and improve their preparedness, technical skills, making better
ERT Training Internal 576
coordination while performing emergency management and response effectively.
Confined Space Entry Provide the necessary knowledge of the hazards for working in confined spaces, safe use of tools and
Internal 26
Program equipment, control of hazards and understanding the emergency procedure.
Permit to Work Explain the purpose of permits to work within QAFAC and what type of high-risk activities may require them,
Internal 536
(Awareness) roles, and responsibilities of PTW key personnel and explain Job Hazard Analysis (JHA).
Permit to Work Refresh the knowledge and understanding of the Permit to Work system in QAFAC and responsibilities when
Internal 206
(Refresher) issuing and receiving permits.
Refresh the knowledge and understand Heat Stress, identify symptoms of Heat Stress, actions to take if
Heat Stress Awareness Internal 158
employee or co-worker suffers from Heat Stress and know how to prevent or minimize the effects.
Emergency Response Procedure is designed to provide an understanding of the planning and preparation of
Emergency Response emergency response plans within QAFAC. Determine any gaps as the Emergency Response Team move through
Internal 36
Plan Awareness the course. Participants will collaborate in small groups to analyze scenarios using incident videos and case
studies and apply critical thinking skills for prevention and to respond to emergencies
Radiation Protection The objectives of this training course are to ensure participant gain detailed information and competency for
External 40
Officer (RPO) safely managing radioactive sources and materials in the workplace.
Gain the required knowledge and understanding of the hazards and properties of H2S, and appropriate
Hydrogen Sulfide emergency response actions to take should an H2S related incident arise. Also provide participants greater
(H2S) and Breathing External awareness and profound understanding for the practical use of BA especially for all personnel who are at risk 04
Apparatus (BA) from H2S and other toxic gas or for employees who may need to work in an immediately dangerous to life or
health atmospheres.
Safety Induction (DVD) Provide new employees with an overview of QAFAC work health, safety and environment principles, emergency
Internal 23
Employees/Trainees response and QAFAC Lifesaving rules that will encourage them to work more safely.
Safety Induction (DVD) Provide new contractors/vendors with an overview of QAFAC work health, safety and environment principles,
Internal 2,243
Contractors emergency response and QAFAC Lifesaving rules that will encourage them to work more safely.
Root Cause Analysis The main objective of this Root Cause Analysis Training is to empower professionals with in-depth knowledge
Internal 12
(RCA) and understanding of root cause analysis.
The Behavior Based Safety course is designed to help participants understand the science and research behind
Behavior Based Safety
Internal organizational behavior management and apply these principles to their own worksites, preventing accidents 230
(BBS)
and injuries.
Energy Control Energy Control (ECP-LOTO) training is a part of energy control program to avoid accidental release of energy
Internal 44
(ECP-LOTO) during tie ups with existing systems and maintenance activities.

To assess our performance in health and safety performance. Based on the periodic monitoring and plans are discussed. During these meetings, QAFAC
management and to translate our commitments review of contractor safety performance, the Board representative presents their findings, lessons
to quantifiable insights, our leadership established develops contractor safety improvement strategies learned, trainings/training needs, observations, etc.
multiple key performance indicators (KPIs) and set with action plans to enhance their health and safety on contractor’s health and safety performance.
respective targets. The prominent three KPIs that performance. QAFAC has initiated regular meetings/ In addition to this, half yearly meetings are held
are continuously tracked and monitored by the interactions with contractors to discuss safety issues amongst the contractor’s top management and
management with zero-target are Total Recordable and relevant trainings. This involves the participation QAFAC’s top management. These meetings are
Case Frequency (TRCF), Lost Time Injury Frequency of contractors in emergency exercises, reward and chaired by the CEO and COO of QAFAC alternatively
(LTIF) and Process Safety Total Incident Rate (PSTIR). recognition programs, safety and health campaigns, and discuss high-level performance reviews
To monitor our HSSE performance, leadership has and a weekly safety moment to be conducted at the and associated topics. Lastly, our contractor
established performance information dashboards beginning of every meeting. management program ensures that HSE clauses are
at the executive level that provide monthly included in our tenders and submitted proposals to
performance information and thus helping to focus We also have a structured contractor management ensure that all people working with QAFAC conform
on improvement areas, identifying best practices, program governed by QAFAC leadership. Daily to our health and safety standards.
etc. and monthly contractor management meetings
are held wherein challenges, advice and action
As a recognition to our excellent HSSE performance,
we participated in the Royal Society for the
Prevention of Accidents (RoSPA) UK award
competition 2021 and we are proud to mention that
we won the prestigious RoSPA silver award for the
second time in a row. This achievement highlights
the kind of importance given to health and safety by
QAFAC’s leadership.
At QAFAC, we consider contractor safety to be

on par with employee safety, and we make no
distinction between the health and safety standards
and protocols that we use to oversee both
employees and contractors’ safety performance. We
continue to maintain the Contractor Safety Board,
an initiative started in 2018 to visibly demonstrate
our collaborative management commitment
to encourage and improve contractor safety

During the COVID-19 outbreak, we have taken Furthermore, we continued to conduct meetings
prominent measures to manage contractor health as part of the contractor management program to
and safety and we continue to follow appropriate share COVID-19 updates, new guidelines, awareness,
COVID-19 protocols for our contractors. As part of our and precautions.
continued response to the pandemic, we ensured
the implementation of the measures we undertook We continued to enforce protocols wherein, if any
in 2020 -as required- to manage our contractors’ contractor was identified as a positive case of
health and safety. For example, we continued to COVID-19, they were required to quarantine and
implement the ‘COVID-19 guidelines for contractors’ submit medical reports for having completed the
with protocols for worker camps and provided treatment until becoming COVID-19 negative. In
awareness trainings on the precaution and safety addition, our QAFAC nurses also conducted follow
measures to every contractor engaged with QAFAC. up discussions about the health conditions as well
We also communicated with various contractor as checked the medical certificates before the
management entities to ensure that QAFAC’s contractors resume their duty to ensure the safety of
guidelines as well as the protocols from QatarEnergy our entire workforce.
and the directions from MoPH were followed.
During lockdowns, we also faced challenges in QAFAC’s achievements and milestones related to
We also implemented several initiatives to manage managing the health of some of our contractors health and safety are the result of prominent and
contractors’ health and safety at our facilities, who were critical to our business operations. effective involvement of our leadership in overall
including checking the status on the EHTERAZ Therefore, we closely coordinated with QatarEnergy health and safety management. Our leadership
app before they enter the plant, temperature to transfer these business-critical contractors to comprehends that health and safety management
checks, minimal staffing of contractors (including the safe concession camps in Mesaieed Industrial is a continuous journey and thus requires us to
authorizing only one focal person to enter the City (MIC) that were managed and controlled remain focused, vigilant, and compliant to ensure
buildings in order to obtain the permits and avoid by QatarEnergy. The concession camps were zero harm to our people at all times.
frequent entries), provision of soaps and sanitizers sanitized regularly and administered with stringent
at all prominent locations, sanitization of contractor controls and measures including frequent medical
fleet and ensuring only 50% occupancy in the buses, assistance and temperature checkups to manage
etc. the contractor health and safety.

GRI 403-1, GRI 403-4, GRI 403-6
Occupational Health and Safety

At QAFAC, we prioritize the health and safety of After launching ‘HSSE kickoff meeting’ program
our employees and contractors. Our occupational last year to engage contractors with QAFAC, we
health and safety management system, as well as have upgraded our HSSE observation program,
our ‘Bill of Safety Rights and Duties,’ ensure effective and included HSSE criteria for the selection of
actions and preventive measures are implemented. contractors. The objective of the HSSE kickoff
meeting program is to ensure contractors are
We have successfully transitioned from OHSAS 18001 prepared in advance for any safety requirement,
to the ISO 45001 occupational health and safety thus avoiding safety violations. We also conduct
standard in 2020 and upgraded our systems and periodic meetings with contractor safety officers
procedures. In the process, we developed new and discuss HSSE concerns, safety focus areas,
procedures and updated several exiting procedures planned work and any other safety-related issues
to comply with the requirements of the ISO 45001 that require attention.
standard.
We also conduct regular audits on our occupational
Additionally, our procedures for safe operations and health and safety management system through
excavation are in place, including the establishment annual internal and external audits for the
of responsibilities and safety requirements for purpose of affirming the sound implementation
excavation activities such as working in several of our protocols. QAFAC’s internal audit function
types of soil, conducting deep excavation pursuits, is co-sourced with an external service provider
side wall collapse, falling of person or equipment, and reports to the Audit and Risk Committee, a
shoring, etc. Furthermore, aligning with QatarEnergy subcommittee of the QAFAC Board of Directors. In
requirements, we have mandated a Smart 2021, our internal audits focused on enhancing our
Watch Policy that prohibits non-intrinsically safe capabilities for ISO recertification and an external
smartwatches and earbuds in the plant and process surveillance audit by TUV for ISO recertification.
areas, as these may be sources of ignition that may During these audits, zero legal non-compliance was
pose hazardous risks to our people and plants. identified.

GRI 403-1, GRI 403-4, GRI 403-6
We have implemented a comprehensive Hazard Despite the existence of our HIRA process and other per month. As part of this program, we have set a
Identification and Risk Analysis (HIRA) process, safety measures, our workers might still encounter target for us to achieve a total of 950 observations
along with a well-established risk database, to additional hazards and unexpected risks on-site. We in 2022 (by both employees and contractors) in
identify and manage any associated risks. Risk therefore encourage all our workers to report any order to continue to work on enhancing our safety
analyses are reviewed periodically by our risk unsafe conditions through our HSSE observations performance and embedding a culture of safety
owners, and a dynamic risk assessment is carried program. In 2021, we had a total of 908 HSSE across the workforce.
out consistently, where elimination, substitution, observations recorded – 326 by employees and 582
and engineering control measures are emphasized. by contractors. On average, we had 75 observations
HSSE Observation 2021
123
109 112
90 92
88
80
72
66 64 67
61
55 54
47 46 49 45 48 44
43 41 43
39 36
29 27 25
24 21
19 19
14 12 13
9
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Employees Contractors Total

GRI 403-9
Safety Performance Statistics
Indicator 2017 2018 2019 2020 2021
Number of employee fatalities 0 0 0 0 0
Number of contractor fatalities 0 0 0 0 0
Employee lost time injuries 0 0 0 0 0
Contractor lost time injuries 0 0 0 0 0
Employee total recordable injuries 0 0 1 0 0
Contractor total recordable injuries 1 1 2 1 0
Employee occupational illnesses 0 0 0 0 0
During the reporting period, a total of approximately 1.4 million working hours were completed by our Our comprehensive Heat Stress Management
employees and contractors. Program, along with our well-defined safe working
principles, help us manage and mitigate heat stress
related incidents throughout the summer months.
Work Hours for Employees and Contractors
3,470,748
As part of this program, we regularly perform

fatigue checks. Moreover, our contractors undergo
2,803,548
Heat Stress trainings, which cover topics such as

identifying symptoms of heat stress and taking
necessary safety precautions. One of QAFAC’s key
1,568,392
achievements include zero heat stress incidents in

1,432,462
1,445,272
1,207,308
2021, similar to previous years.

1,041,240
922,200
904,230
764,469
667,200
528,232
523,072
527,152
442,839
We have always strived to bring changes in safety

1,445,272 culture through introducing various HSE programs,
and consistently upgrading them.
2017 2018 2019 2020 2021
Total Employees Contractors

GRI 403-3
Occupational Health Program

We execute our Occupational Health Program
through QatarEnergy clinic. Each QAFAC
1,506
employee undergoes regular medical Fatigue Assessment
checkups wherein, employees above 50
years of age undergo annual consultations,
employees between 40 and 50 years undergo
bi-annual medical checkups, and those under
40 years undergo a medical check-up once
every three years. The fire crew undergoes
Clinic Visits (Non-occupational)
783
periodic medical consultation with physical
medical tests to assess their fitness.
In addition to the COVID-19 Vaccination

Facemask Distributed
67,818
Program conducted in 2021, QAFAC organized pcs.
several health awareness campaigns:
1. Heat Stress Management Program

2. Managing Stress During Pandemic
Hand Sanitizer Consumed (Approx.)
250
3. Prevent the Spread of Flu
liters
4. Eye Health
5. Diabetes
Periodic Medical Consultation (PMC) 246

Actual Number of 243 (98%) plans

Process Safety
QAFAC is a producer of Methanol and MTBE, and
“Operating Excel
we are mindful of the process safety incidents due ieving l en
ce
ch “
to our operations and nature of products and their A
impacts on our workforce, the larger environment,
ology
Audit
Techn s
and society. Accordingly, we are aware of our
Proces
responsibility to operate our plants safely and in a
fe du ing
tic &
ing
es
reliable manner.
Pl esp
En nin nse
ac s
Sa oce rat
Pr re
an o
er g
R
gy &
Pr pe
O
QAFAC initiated the AMAN program a few years
ago, embarking on a journey to implement a Ma
n TE nt
comprehensive Process Safety Management of agem C e me -
Ch g ge
Per ang ent na
(PSM) Program to improve employee and process son e - Ma Chan logy
H
ne of hno
NO
safety performance to World-Class levels. The l
Tec
PERSONNEL
LO
primary goal of the AMAN Program was to ensure
G
that each one of QAFAC’s employees will go home
Management
Y
Incident Process
safely to their families. We are committed to ensure
Investigation & Leadership & Hazards
continued incident-free operation by enhancing the Reporting Analysis
capabilities and strengthening the process safety
Commitments
culture of the entire organization.
tor
t r ac Q
As uali
n &
In recognizing the crucial role of governance and Co fety nce su t
ran y
Sa ma ES
management of PSM at QAFAC, the oversight of rfo
r
I LITI ce
process safety matters lie with the HSSE Central
Pe FAC
Pre afe ws
an &
Committee central committee, chaired by our
ce
-S ty
rm ng
S
Re
of Ch ment
CEO. The committee also establishes process
tar
rfo ini
Mech rity
vie
Facilit ge
Pe Tra
tup
Integ
safety guidelines, and recommends process safety
ies
an
ge
trainings for personnel on-site. The committee
anica
Mana
also audits the performance in all the essential
elements of PSM, to ensure continual improvement
l
in our safety systems and performance. In 2021, Ac
hie ce“
ving le n
“Operating Excel
we constituted an integrated structure for process
safety management, aligning closely to the health
and safety protocols at QAFAC.

QAFAC PSM Integrated Governance Structure
HSE Central Committee (Level 1)
HSSE Central Committee to HSSE Level-2 HSE Central Committee to

Committee Meeting Department Safety Meetings
HSSE Level-2 Committee to
• PSM & HSE Expectations • Sub-committee HSSE Central Committee • HSSE Expectations and • High potential incidents /
and principles objectives, duties principles near-misses
• Strategy/Objectives/ (charter) & action plan • Monthly HSSE progress • Objectives & Goals • Resolutions /
action plan approvals Agreements/decisions
• HSSE/PSM Guidelines • HSSE strategy/action
• Allocated resources plan to be implemented by
• HSSE/PSM Performance • Review of HSSE/PSM Departments
KPI’s performance • Safety Performance KPI’s
• HSSE Training
recommendation for site
personnel
HSSE Level-2 Committee Meeting HSSE Level-2 Committee Meeting
• HSSE/PSM improvement
recommendations
HSSE Level-2 Committee Sub-committees to HSSE Department Safety Meetings

to PSM Sub-committees Level-2 Committee
• Resolutions and
• Sub-committee
proposals on guidelines
objectives, duties Department Safety Meetings to HSE Central Committee
and procedures as per
(charter) & action plan
sub-committee charter
approvals • Monthly progress report: • Other unresolved
• Monthly progress
• Allocated resources Performance vs Action department issues
reports: Sub-committee
Performance KPIs Plans requiring central
• Unresolved barriers / committee attention /
• Budget/Resource support
Requests issues requiring central
committee support • Proposal for permanent
• Department Safety or temporary working
Performance KPI’s groups
PSM Sub-Committees
• Department high
potential incidents /
Procedures (SOP+SWP) PSI/PHA near-misses
Incident Investigation miqa
Note: The presented QAFAC PSM Integrated Governance Structure (HSSE Central
Committee Structure) has come into effect in 2022, during the preparation of this report.
GRI 403-2
As members of QatarEnergy’s process safety of injuries. QAFAC had completed a cycle of 18 PSM
committee under the QatarEnergy Risk Management elements that were audited on a three-year cycle.
Forum, all PSM matters are discussed, including any 2021 had been the first such completion of a full Detailed Investigation of Incidents
relevant directives and mandates from QatarEnergy. cycle. and Root Cause Analysis (RCA)
We set annual targets, review implementation of the

PSM, and discuss any significant incidents including In case of an incident, priority is always given to
causes, outcomes, mitigation actions and lessons human life. Our emergency pre-plans enumerate 16 16
learned - as part of the committee proceedings. emergency response systems and provide
information on data regarding the type of PPE
Our integrated HSSE and PSM procedures and (Personal Protection Equipment) equipment used,
3 3
process safety information management any associated hazards, the response of Hazardous
procedure help provide a directive to manage PSM Materials (HAZMATs), and environmental clean-ups.
implementation. Moreover, our Process Hazard Our Mechanical Integrity and Quality Assurance 2020 2021
Analysis (PHA) standard and sub-procedures (MIQA) manual guides our practices in managing
RCA Recommended RCA Completed
provide comprehensive requirements for process Safety Critical Equipment (SCE) and
implementing our process hazard analysis program. associated critical tasks. QAFAC also follows the
This program comprises of several techniques OHSA 1910.119 Management of Highly Hazardous
to evaluate and control hazards and risk levels Chemicals model to analyze safety practices,
respective to the process operations, which further identify gaps, and implement recommended Process Safety Total Incident Rate
helps us in assessing the suitability and effectiveness process safety improvements that will help achieve
of the current safety barriers. These procedures also excellence in HSSE practices.
indicate whether additional barriers or risk mitigation
measures are needed. QAFAC employs a PSM system audit procedure
and a suite of protocols that ensure tracking
Additionally, our incident management module, and monitoring of process safety requirements.
safety management system, incident investigation Simultaneously, we also maintain several programs
module, and the SAP system help to provide that support us in upholding excellence in reliability 0 0 0 0 0 0
guidance with regards to process safety. Through and process safety. As part of our PSM, we also
those, we identify trends with our HSSE data, conduct detailed investigation of incidents (RCA) 2017 2018 2019 2020 2021
including insights to the types of injuries and number related to equipment and processes.

GRI 403-2, OG-13
In 2021, there were no cases of Tier-1 and Tier-2

process safety incidents. Our process safety incident
rate (PSTIR) for Tier-1 and Tier-2 remained zero as BBS Safe Acts Vs Unsafe Acts Corrected
per the set target. Our Behavioral-Based Safety
(BBS) program, which is an integral part of QAFAC’s
6,752
entire safety culture, aim to motivate employees to
work safely, rectify unsafe acts and behaviors, and
advise employees on safer ways to perform a job.
2,956
In view of this, we have committed BBS procedures
838
in place that create a systematic approach to
548
433
130
addressing any unsafe acts in the workplace, where
a dedicated observer will conduct a BBS observation 2019 2020 2021
of a personnel carrying out a task and will engage
with those personnel to discuss acts that are safe At risk behaviours corrected at site
and unsafe, practices or conditions, and whether Safe acts observed at site
those can be planned. During the year 2021, we
observed 6,752 safe acts and 838 at-risk acts that
were corrected, at site.
Key Highlights for Process Safety Management (PSM) in 2021:
QAFAC completed a cycle of 18 PSM

Alignment with MIC PSM
elements audited on a three-year cycle. 2021
strategy completed
had been the first completion of a full cycle.
Zero Tier-1 or Tier-2 incidents MTBE - PHA planning completed
PSM sub-committee meetings Achieved RoSPA Silver Award for

completed on schedule HSSE System Audit

GRI 403-7
Emergency Preparedness
To protect our workforce, the environment we
operate in, and our business operations, an effective
emergency preparedness and management
framework is integral and crucial to our safe
operations. We continuously seek to mitigate
anticipated and unanticipated risks, including those
that arise from external sources such as natural
disasters and accidents resulting from activities
such as hydrocarbon spills. We employ every
measure to ensure that we can respond to those
risks effectively through our dynamic emergency
response plans.
We update our emergency plans and develop

new plans to brace and respond to any critical
situation, whenever there are major changes in
work processes or equipment. This readiness is
a part of our approach to emergency response
management.
We display our responsibility and leadership fire engines. This ensures the readiness of all consequences, and measures taken into
towards emergency preparedness management members in case of an emergency. We also retain consideration available resources and other external
through our effective participation in several membership in the MIC Emergency Response Forum, mutual assistance. As the safety hazards are
relevant committees. We are part of QatarEnergy’s which meets quarterly to strategically plan for dynamic, QAFAC revised its emergency pre-plans
Emergency Preparedness Committee, which emergency response within the MIC community and based on the changes in hazards and ensured that
provides mutual aid and assistance for emergencies industrial areas. all emergency response personnel are trained and
that affect any industries within MIC. As members familiar with all relevant scenarios.
of this committee, we are required to share any Our emergency pre-plans help us in preparing
information about resources, equipment, and for any emergencies by covering all scenarios,

GRI 403-7
The pre-plans include, but not limited to, the following types and level of emergency:
The Boiling Liquid Expanding Fire Hazards explosion type Chemical spills of hazardous
Vapor Explosion (BLEVE) type such as generation of toxic solids and liquids
combustion products
Based on these pre-plans, we had conducted

Gas leaks that are flammable, Emergencies pertaining to Natural disasters, including 12 emergency exercises to hone the skills of our
toxic, pressurized or structural failures of buildings, floods, earthquakes, storms,
refrigerated liquids plants and other operating storm tides emergency responders to diligently respond to any
facilities such unforeseen situation. These exercises included
a Tier-2 level exercise which required (external)
assistance from Port Authority and QatarEnergy
emergency response team. QAFAC understands the
necessity of having skilled emergency responders
to manage safety incidents and will therefore
implement further exercises in the future.
Events caused from high Other subversive activities Medical emergencies

impacts, such as collision including bomb threats,
between vehicles or during vandalism, sabotage, etc.
transportation

Tier-2 Emergency Exercise - QAFAC and MIC
About the study readiness. Observers were appointed at the Outcomes

A Tier-2 exercise was undertaken in November emergency scene to observe the actions taken by From the emergency exercise performed
2021 with mutual aid from Port Authority and the Emergency Response Team (ERT) members emerged some areas of improvement relating to
QatarEnergy QAFAC Jetty. The primary objective and MIC team during the emergency exercise. non-availability of proper radio communication
of this activity was to test the responders’ ability The members were required to comment on the with Port authorities and emergency team and
and preparedness to respond effectively to response actions taken, and critically identify relating to the vehicle staging area at the Jetty.
an emergency scenario related to Hazardous areas of improvement. The exercise simulated The identified problem areas were communicated
Materials (HAZMAT). The joint exercises serve to methanol leak during loading and the associated to the relevant teams with specific action items to
sustain and reinforce emergency response casualties to the workers caused by gas be addressed and resolved.
inhalation.

On behalf of QAFAC, QatarEnergy and Ras Laffan

Port authorities undertook an emergency response
program, through which in 2021, the teams
conducted a ship fire rescue exercise (which is
classified as Tier-2) and scheduled a rescue exercise
to take place in 2022. These exercises aim to obtain
uniformity in emergency preparedness with the
manufacturing plants located in Mesaieed Industrial
City (MIC), Ras Laffan and Offshore services. The
program also constituted delivering a number of
trainings that comply with National Fire Protection
Association (NFPA).
In addition, in 2020, we completed two projects

as part of our QAFAC Support Services Amenities
(QSSA) initiative. The QSSA project encompasses
the extension of fire water network hydrants,
commissioning of an eco-friendly security/ amenity Our plants have strategically placed toxic and Besides our plants, we also extend our emergency
building for staff and visitors and the development combustible gas detectors to ensure the detection controls to our nearby buildings, as part of our
of a petrochemical laboratory building. The of any leaks, and if the detectors are activated, the extensive measures for emergency preparedness.
purpose of the Firewater Network Extension project panel indicates the exact location of the activated We have gas detectors at our buildings, inspected
is to provide the firewater coverage to the QAFAC detector prompting our fire-fighting team to respond quarterly by an external third party to ensure their
warehouses, scrap yard, cylinder yard, contractors’ effectively. We also have cameras on-site that enable functionality.
area, and the entire support services area through any of the emergency responders to see the area
provision of hydrants, firehose boxes and complete that needs support and comprehend the emergency QAFAC shall strive to continually uphold its
cathodic protection (CP) system. In 2021, QAFAC has faster. Additionally, manual call-points are located commitments to strengthen and upgrade its health
initiated processes to obtain the final completion throughout the plants that can be activated physically and safety practices. Aligning our actions with
certificate and the approval of General Directorate by anyone, and all operators and technicians also our strategic direction, we aim to leverage digital
of Civil Defence, State of Qatar to begin occupying carry radios to alert the control room personnel in case transformation as a key enabler to operate in a
the buildings. of an emergency. socially responsible manner. Please refer page 41 for
some of our digitalization initiatives.

Our People
our key stakeholders: contractors,
employees and communities. Using
the following material topics as
guidance, our management and
identified focus areas.
Human Rights and Labor Standards
Employee Attraction, Retention, and Engagement
Learning and Development
Diversity and Equal Opportunity
Community Engagement and Investment
Qatarization

Strategic Priority
Material Topic
Human rights and QSE S 16, • High Performing

GRI 409 Organization, focus on
labor standards 17, 18
talent management,
Qatarization and
succession planning
Employee engagement, GRI 401 QSE S 10, • Boost ‘digitalization’ to
attraction, and retention GRI 404-1 11, 12 become a reference in
our industry
Human • Strengthen stakeholder

development alignment
Learning and
GRI 404 QSE S 13
development
Diversity and equal

GRI 405 QSE S 19
opportunity
Community
engagement and GRI 413 QSE S 21
investment Social
development
Qatarization - QSE S 20
Human
development

QAFAC’s corporate culture is defined by our leaders QAFAC’s Corporate Values

who lead by example, adopting the company values
and encouraging colleagues to do the same. We
We place the highest priority on health and
conduct business in an ethical manner, ensure “We ensure safety in safety of all the employees, the contractors,
Safety everything we do”
safety of people, promote trust, foster mutual their families and the communities around us.
respect and empowerment, and continuously We strive for incident free workplace.
improve our processes.
In a continuous effort to embody our values, we

strive to make our business a wonderful place to “We care We promote trust, respect, empowerment and
People about people” teamwork to leverage our collective strengths.
work – everyday. We intend to foster an attractive
and rewarding environment by offering exciting
opportunities and wide-ranging careers. Every
aspect of how we treat our employees is rooted
in our desire to carve a purpose and value to an
“We strive for
individual’s professional life, reflected through our We always seek to enhance our processes
Excellence continuous and systems to achieve greater efficiency,
diverse and inclusive workforce. While we recognize improvement in productivity and performance.
the importance of our employee’s satisfaction, all dimensions”
we are cognizant of the fact that this can happen
only at the outset of healthy and lively workforce.
The health and well-being of our employees, “Focus on
including our contractors, is our priority. We respect performance, deliver We govern our actions by honesty, ethics,
Integrity transparency and fairness.
and encourage all our employees and value their what we promise.
potential and contribution regardless of race, Clear objectives.”
ethnicity, gender, national origin, religion, gender
identity, sexual orientation, age, and different
abilities, leaving no one behind. “We care deeply for
the environment and We commit to operate in a sustainable and
We made significant progress in 2021, organizing
Responsibility all the communities socially responsible manner.
various initiatives that create a more structured and
we impact”
inclusive employee engagement environment.

We have committed to contribute to various national our employees to play an equally important role in This section provides insights on our sustainability
and international objectives on sustainability such making sustainable business decisions. performance during the reporting period,
as the Qatar National Vision (QNV) 2030’s social We also understand that our activities have potential focusing on the material topics such as employee
development goals, the United Nations Sustainable social, cultural, environmental, and human rights engagement, attraction, and retention, Qatarization,
Development Goals (UN SDGs). To promote decent impacts. To make a positive contribution to the human rights and labor standards, diversity, and
work for all our men and women employees while social and economic wellbeing of the communities equal opportunity, learning and development
protecting their human rights, we have adopted the where we operate, it requires long-term partnerships and community engagement and investment.
guidelines of the International Labor Organization based on respect, transparency, and trust. Our We undertook a materiality refresh in 2021 in
(ILO). While QAFAC is not subject to Qatar’s Labor actions and approach to community engagement, consideration of the broader sustainability trends
Law, we are guided by its principles as a minimum social investment, cultural heritage, and working with impacting us and our industry at large. This analysis
and we go beyond the legal requirements to locals are governed by our commitment. helped us identify an additional topic of importance
create an ethical environment for empowering which is human rights and labor standards.

GRI 102-41
We are cognizant of the fact that Companies earn Our employees are encouraged to live by our values policies on Work Schedule and Diversity are also
the trust of their stakeholders by operating with and voice their concerns in relation to personnel included in this as interdependent set of policies.
high standards of business ethics. We conduct administration, equality, and diversity. Our HR Additionally, it also has sections on discipline
business in an ethical and principle-based manner. Policy guides us on matters pertaining to human and scheme for rapid reporting and resolution of
QAFAC is committed to developing a workplace that resources and holds all components of policies grievances. To address employees’ concerns, we
encourages learning inclusion, diversity, and and procedures in relation to human resources’ have a grievance mechanism and a progressive
well- being for all employees. The leadership at management, including the Employee Relations problem resolution procedure which form a part
QAFAC values its employees’ trust above everything Policy. Developed in accordance with the Qatar of our Personnel Policy Manual. Employees are
else and ensures every employee is respected, labor law, QAFAC’s Employee Relations Policy is urged to speak up on issues of unfair handling,
valued, and encouraged to make their fullest the go-to resource for employee management including unscrupulous employment, workplace
contribution. related practices, prospects, and rights of all QAFAC discrimination, sexual harassment, concerns about
employees. The purpose of the policy is to ensure wages as well as other relevant issues without fear
We have various policies and mechanisms in place that the relationship between employees and of retaliation. The high-level resolution process is
for ensuring transparency in governance. Each management is in harmony and cooperation and depicted in the figure below. In the 2021 reporting
policy elaborates the expectations from QAFAC’s that there is mutual respect and consideration in period, no such concerns were raised.
employees and required compliance towards achieving the common goals of the Company. The
ensuring fair treatment of all employees and
prevention of workplace discrimination. We
abide by our Ethical Code of Conduct, covering a Escalation Level
wide range of topics related to anti-bribery, conflict
of interest, fraud, corruption, and compliance. An
annual declaration on Ethical Code of Conduct
is provided by all our employees, signifying their
compliance towards the code. However, as part of
Immediate Manager Department head HR Manager or
our policy revamp, we are developing standalone
deals with the in case of no CEO in case of no
policies, such as: Respectful Workplace Policy, grievance resolution resolution
Anti-Bribery Policy, Anti-Fraud Policy, and
Anti-Money Laundering Policy.

To manage our workforce, QAFAC has formed separate policies, committees, and divisions, each with a specific At QAFAC, we systematically manage our workforce
role to fulfil commitments towards our people. The detailed responsibility of each is highlighted below. performance data using a robust digital system
which allows our Personnel Administration division
to monitor and manage our staff performance
Workforce Management under QAFAC Leadership and KPIs. The division is also responsible for
handling many other vital functions such as talent
acquisition, onboarding, employee relations, labor
law compliance, record keeping, compensation and
Committees DIVISIONS
handling specific performance issues.
Managed by the Personnel Administration

Conflict of Interest Committee Policy and Compensation Division department, the SAP Fiori Mobile application
Responsible for compliance with Responsible for employee’s allows our employees to access all work-related
our ethical standards performance reviews procedures such as leave applications, pay slips,
training, work mails, employee lookup, team
Training and Nationalization Division
calendar and other useful work items through their
Employee Management Committee Responsible for employees leadership
mobile phones, easing the challenges arising from
Responsible for structured programs, trainings and awareness
our employees working from home. In addition
communication process with to the administrative work streams, technical
employees to discuss employee- Personnel Administrations Division
applications such as Behavioral Based Safety
related conditions Responsible for the recruitment
(BBS) program can also be accessed for data
management. For enhanced dissemination of
Training and Nationalization Division
Policies and Procedures Committee information, strengthening teamwork and enriching
Responsible for identifying any gaps
Responsible for reviewing and companywide processes, QAFAC uses the Manarah2
in current competencies and how to
updating company policies application which serves as the company’s intranet,
elevate those in collaboration
enabling unified access to the company’s policies
Performance Management Division and procedures, employees’ profiles, and QAFAC’s
Responsible for maintaining a highly most recent developments.
skilled workforce

GRI 102-8
Another initiative aimed towards digitalization existing IT infrastructure for seamless flexible working
and personnel management is the use of SAP experience. Please refer the section Digitalization on QAFAC’s Headcount
Human Capital Module (HCM) by the Personnel page 39 for further information on this.
Administration department. This module helps with
crucial data related to human resources such as We hire permanent as well as temporary employees
salaries, grades, demographics, reports, employee depending on business requirements. In 2021, our 334 332
327 328
performance management and other relevant total workforce had a headcount of 319 including 319
personal information. We ensure that privacy and both types of employment. The 3% decrease in
confidentiality of such information is maintained headcount is attributed to cases of retirement,
at the highest level. Additionally, following our manpower optimization steps. The Mesaieed Plant at 319
learnings from the pandemic, we implemented an Mesaieed Industrial City (MIC) serves as the center
expanded our Flexible work scheme, empowering of our operations where the majority of QAFAC’s 2017 2018 2019 2020 2021
employees to have more flexibility in how and where workforce is located, while the corporate office in
they work. In 2021, QAFAC’s Information technology Doha constitutes the remainder of our workforce-
team has made further improvements to the the Corporate and support teams.
Workforce by Employment Level Workforce by Nationality
300 302 299 291 281 236 241 240 233

223
91 93 92 95 96
27 28
10 17 10 22 10 23 10 10
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Senior Management Middle Management Staff Expatriates Qataris

Human Rights and Labor Standards

GRI 409-1, GRI 412-1
We ensure that all our employees and contractors beliefs; to comply with applicable human rights In addition, we take the responsibility to protect
are treated fairly, and all their rights are preserved. laws; to not work with business partners involved in and promote human rights by aligning to a
We also perform regular audits on our contractors’ human trafficking or forced labor; and to provide number of international frameworks such as the
premises to ensure compliance with human rights. safe, healthy, and secure working conditions. The International Labor Organization (ILO) and the
organizational culture at QAFAC has an underlying United Nations, which promote decent work for all
A standalone human rights policy is undergoing norm of respecting human rights. Several women and men. With respect to human rights
development as part of the 19 policies mentioned occurrences in the past are proof that QAFAC is a and labor management, we are proud to mention
in the earlier sections of the report. The policy is compassionate organization, built on a strong ethos that there have been no incidents or grievances
inspired by the Universal Declaration of Human of respecting lives and futures. We ensure that every in relation to human rights issues, discrimination
Rights and guided by the constitution of Qatar. individual present on our premises remain satisfied against employees as well as forced or compulsory
The policy reinforces our commitment to treat and in good mental health. Owning to the hazardous labor during the reporting year and ever since the
those working for and with us, fairly and with nature of its operations, it is highly important for establishment of our organization.
dignity and respect; to not discriminate based on every employee and worker to stay mindful and alert
race, age, disability, gender, political or religious at all times.

Employee Attraction, Retention,

GRI 401-1, GRI 401-2
and Engagement
At QAFAC, we strive to focus on growth and talent that includes three shifts for a period of 8 hours Talent Acquisition and Retention Policies at QAFAC
development where each employee is provided over a consecutive period of 6-days a week. But
safe, secure, and engaging work environment. the pandemic in 2020 brought about a shift in our
Recruitment Policy
Everyone is valued, uplifted, and advanced in their working styles and the shifts were altered in line with
careers. government restrictions. The new shift timings we
Allowances and Benefits Policy
have adopted in 2021 are listed below.
Improved talent management elements have
Employee Relations Policy
helped us to achieve this by identifying gaps in
current training initiatives and employee’s skill sets, Work Schedules (2021)
learning and development programs, engagement, Talent and Career Progression Policy
Shift Timing
and retention mechanisms, altogether resulting in
attraction of new pool of talent. To be at par with our 8 Hours daily -
General Shift Training policy
5 days a week
competitors, employees are offered on job trainings,
vocational trainings, and skill development, which 12 Hours
results in current employees’ improvement as well Shift Work (4 consecutive days End of Service Policy
work and 4 days off )
as retention to satisfy company needs.
To attract a diverse set of employees we have

Recruitment, Placement and Selection Policy. This
policy highlights our commitment to maintain and
retain diversity at our workplace. We also have the
Talent and Career Progression Policy which ensures
that right talent is selected for the right job.
Our Work Schedule Policy is the guidance document

for all work shift related matters and is in line with
Qatar Labor Law. Originally, our shifts used to be
divided into two types: firstly, the general shift
that includes 8-hours of work over a consecutive
period of 5-days a week and the shift schedule

GRI 401-1, GRI 401-2
To provide opportunities to young minds, we roll out During 2021, we were able to confirm 2 of Most of our employee turnover is amongst the
a graduate engineering program each year, which our developees as fulltime employees. age group of 51-60 which can be related to the
was first introduced in 2015. Each year, the program retirement age of our employees. For employees
receives a proactive participation and numerous To enhance workforce retention, we emphasize ending their tenure at QAFAC, company deploys
resumes in our human capital database. Under on appreciating our employees. We also have bonus- scheme as a token of appreciation
this program, students from Qatari universities join programs in place that provide employee benefits for their committed period in the organization.
QAFAC and are exposed across multiple production amongst others, such as: Aforementioned is a part of the End of Service
and maintenance functions. During this period, Policy, where employees are benefitted with bonus
they learn from the finest minds in the industry and calculated based over their total years of service to
are exposed to cutting-edge technologies. Upon the company.
successful program completion, the graduates may
even be hired by QAFAC as permanent employees. engagement rewards ANNUAL training &
The graduate/developee works with QAFAC for a activities awards development
programs
brief period and gains work experience and derives
an overall understanding of the industry and
QAFAC’s role in the value chain.
New Employee Hires by Age New Employee Hires by Gender
5 5 9 9
8
4 4 7
3 3 3 3
2 2 2 2 2 2 4
1 1 2 2
1 1
0 0 0 0 0
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
18-30 31-40 41-50 51-60 Female Male

GRI 401-1
New Employee Hires by Employment Level Employee Turnover
10
34
8
7
6 6
13
11 10 10
2 7
1 1 1 1 3.3 3 4
0 0 0 0 0 2.1
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Turnover rate (%) Total number of employees

Senior Management Middle Management Staff
who left the organization
Employee Turnover by Employment Level Employee Turnover by Gender
31
31
11
10 10 13
11 10
5 6
1 1 1 0 1 2 2 3
0 0 0 1 0 0 0
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Senior Management Middle Management Staff Female Male

GRI 401-1
QAFAC takes due care in providing opportunities

Employee Turnover by Age towards employee engagement as part of its
18 employee retention efforts. Celebrating Qatar
National Day is one among such activities which not
14
only invoke the national pride but also contribute to
preserving the country’s culture and heritage.
7 7 7
6 6 Commitment, loyalty, and dedication are always
3 3
recognized and rewarded at QAFAC. We appreciate
2 2 2 2 2 2
1 1 our long serving employees through our Annual Long
0 0 0
Service Awards program, employees are rewarded
2017 2018 2019 2020 2021 on completion of 5, 10, 15 and 20 years of their
service.
18-30 31-40 41-50 51-60
To ensure a seamless business continuity it is

a business imperative to have a progressive
succession plan for all critical roles. Over 40% of
In 2021, the event was QAFAC’s workforce is above the age of 50 years,
conducted virtually, wherein hence our succession plan program focuses to
a total of 22 employees revamp our succession planning strategies across
were awarded for their long all divisions. We work effectively on the identification
service to QAFAC. of prime senior roles that can pose a significant
risk to our business, that will not be easy to fill
quickly through external hiring. The program helps
the organization to forecast the retirement of a
large section of workforce over the coming years
and prepare accordingly. We follow a systematic
approach for selecting motivated and talented
individuals suitable for development and through
this program, we strive to develop their capabilities
for the identified critical roles in succession planning.

Learning and Development

GRI 404-1, GRI 404-2
The training policy depicts the training programs, Disparities among current training initiatives and
materials and hours required to accomplish the employee skill sets are identified by the training
organization’s objectives throughout the year. This need assessment performed by the Personal
policy helps employees to build the right skill sets, Administration Division and this marks the starting
expand their knowledge, become competitive and point for our training development process.
ultimately contribute to the company’s success. Training need assessments help in bridging the
gap between the current and desired employee
The policy also supports the employees by offering performance, aided by the development of various
a range of development and training programs to training programs. Training and Nationalization
choose from. Eight new policies were introduced division monitors and manages the training
under learning and development department in programs and ensures that employees complete
2020, addressing topics such as: their designated trainings in alignment with their
competency development requirement. Upon
completion of the training, a Training Feedback
To ensure continuous learning of our employees we Grade form is filled by employees. This assists in the
Succession
invest in their growth development and enhanced Progression evaluation of the effectiveness of our training
Planning
for Qataris
competencies. Throughout an employee’s career, programs and in identifying the necessary changes
QAFAC supports them in their personal and required for improvement of the overall program.
professional development through providing We support employees with their career growth
Internship Talent Career
training, diplomas, graduation programs and Programs Progression as well as nominate them for newer and higher
employee engagement activities. roles. Our Talent and Career Progression Program
and Shadowing Program are aimed at preparing
Personal
Additionally, we have policies for professional Training Development them for future roles. We also ensure that employee
development under Learning and Development Processes & Program performance and career development reviews and
Procedures for Qatari
Department, one such policy is the training policy. Developees interactions are organized periodically.

GRI 404-1, GRI 404-2
Our e-learning platform called ‘Percipio’, which Personnel Development Plan (PDP)
was launched in 2020 is a one-stop solution for all
learning related requirements within QAFAC. This
virtual learning platform has helped in accelerating The automation and simplification of several
learning during the COVID-19 pandemic. We also tasks has enriched the experience of QAFAC
use e-learning platforms such as Adobe Captivate, employees further, by reducing the required
Phishme & National Agency trainings for creating manual effort. The listed features are reflected
awareness on sustainability topics. as the updates to the PDP program execution:
As part of continuous training efforts during the • Defining task templates for positions
year and despite the challenges of COVID-19, • Assigning task templates to respective
we provided a total of 6,262.1 hours of training developees (PDP)
to all QAFAC employees while the training hours • Developee self-review and acceptance
per employee averaged at 19.6 hours in 2021 as • Department review & approval
compared to 15.1 hours in 2020. Personnel Development Program is a career • HR learning & development review & approval
development program that is designed to
improve the skills and abilities of the developees
Our Learning and Development Department which can help them achieve greater success in The value generated
received the Alumni Awards Qatar 2020-21, which targeted position in a structured manner. The nature of developments encourages and
celebrate the outstanding achievements of alumnus motivate QAFAC employees to engage and
who pursued an education in the UK and showcases About the project have a focused approach towards building their
the impact and value of a UK higher education. QAFAC’s IT department has developed a digital careers.
The awards are organized by the patronage of Her platform on SAP to define, monitor, improve and
Majesty’s Foreign Affairs- British Embassy and were review personnel development program which is Way Forward
presented as a token of appreciation for QAFAC’s led by HR learning & development division. QAFAC will continue to explore the available
constant support to the academic community in avenues to ensure its employees remain
Qatar. Outcomes satisfied, exuberant, and prepared to develop
The digitized platform has enhanced the their careers at the Company.
applicability and merit of this PDP program.

GRI 404-1, GRI 404-2
Training Hours Total Cost of Training
2,087,520
33,162
33,162
1,987,960
412,170
457,749
412,170
6,262
6,728
6,437
151,860
6,262 (USD)
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Average Hours of Training per Employee Average Cost of Training per Employee
105.6
99.9
6,208
6,079
4,397
4,397
4,397
1,845
20.6
19.6
19.6
19.3
(USD)
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021

Diversity and Equal Opportunity

GRI 405-1
We aim to have a diverse workforce with people We believe in promoting a progressive and inclusive to explore new ideas and bring improved
of different cultural backgrounds, employable age work culture that encourages everyone to grow. perspectives to day-to-day work. We believe that
groups, gender, religion, race, and nationalities We are guided by the ambition to build a high embracing diversity, inclusion and a global mindset
working together towards the common goals of performing organization by offering competitive is a key enabler of our success as an organization.
the company. We look for individuals who are not benefits, developing policies that protect employees,
just the best fit but who also bring a unique value while maintaining a diverse workplace and ensuring
proposition, skills, and technical knowhow into the the satisfaction of our employees. That commitment
organization. is even stronger today as we encourage employees

GRI 405-1
Our Diversity Policy has guided us to identify Policy warrants that all employees are provided
programs that recognize and nurture a diverse and equal opportunities, enjoy benefits, are treated, and
inclusive workforce. These efforts include programs compensated fairly and are always protected from
and policies that promote equity and inclusion, discrimination, harassment, and abuse.
training, and career development opportunities for
women as well as address the challenge of youth During the past couple of years, improving gender
unemployment through the different initiatives diversity has been a focus area for QAFAC. We
we have put in place. We also believe additional have taken several initiatives to empower our
improvements are necessary and attainable to female employees and make sure that diversity
drive further innovation and success. We intend to and inclusion are components of all the decisions
enable our employees to bring their unique selves we make. As of 2021, female employees account
to work each day, to allow them to stay motivated for 7.8% of our total staff and middle management
and continuously contribute to the success of our workforce, which we plan to increase in the coming
organization. Additionally, our Employee Relations years.
Policy, along with the Allowances and Benefits
Workforce by Age Group Workforce by Gender

128
116 119
108
104 100 104
94
87 303 308 305 299
79 294
77 74 76
70
63
55 52
43 45 41
24 26 27 29 25
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
18-30 31-40 41-50 51-60 Female Male

Community Engagement
GRI 102-12, GRI 413-1
and Investment
We understand that our responsibility further extends
towards contributing positively to Qatari society and
address the needs of the local communities that
we operate in. To support our commitment to the
Qatar National Vision (QNV) 2030 and take active
steps towards sustainability and well-being of our
community, we have a long standing Corporate
Social Responsibility (CSR) policy and a CSR
Committee which guides and drive our contributions
to the local communities.
The main objective of our Corporate Social QAFAC also organizes educational presentations
Responsibility Committee is to screen CSR initiatives and trainings at community level to spread
Community Investment by Focus Area (%)
under our four core objectives to support our local information on waste management and
community, i.e., Health, Education, Environmental guidance on how local communities can practice
21
awareness, and Sports. The CSR committee screens environmentally sustainable living.
all the proposals which falls under QAFAC’s CSR
41
objectives to check if they can be aligned with 3 Due to uncertainty and pandemic, the social
QNV 2030 and UN SDGs to address the needs of all investment target was set lower than previous
8
segments of society. Upon close examination of the years, however, QAFAC is committed to continue its
proposals, priority is given to those with the highest contributions in a manner that positively impact the
potential to improve lives within the communities. community. We expect to exceed the current target
27
in the coming years.
Our community investment in the reporting year
Educational Initiatives Environmental Initiatives
is lower compared to 2020, however, QAFAC is
Safety Initiatives Health Initiatives
dedicated towards helping the local community
Other
even after experiencing two challenging years
consecutively due to COVID-19 pandemic.

Qatarization
Qatarization is a government initiative devised to To promote and track our Qatarization efforts, we
increase the number of Qatari citizens employed have an internal Qatarization Committee headed Developing Qatari Talent
in public and private sectors. While the expatriate by our CEO and consisting of senior management
population has rapidly grown since the late 20th representatives. Our Qatarization plans include Number of Qatari students sponsored to
study in universities abroad
century, the Qatari population has increased conducting annual career fairs to attract Qatari
only at a marginal rate. Therefore, as a means to high school and university students to join QAFAC. To 11
6
2
decrease dependence on foreign labor, the Qatari improve the effectiveness of our Qatarization efforts, 5
2
government has heavily prioritized Qatarization in various training programs are designed that aid in NA
recent years. increasing Qataris in the workforce and enhance 2017 2018 2019 2020 2021
local employment in line with UN SDG 8 – Decent
In line with our commitment to the Qatar National Work and Economic Growth. Our Training and
Vision (QNV) 2030, we provide job opportunities for Nationalization division monitors and manages the Number of Qatari students sponsored to
Qatari nationals, which backs our growth, and helps training programs for increasing the participation study in universities and technical schools
in the State of Qatar
in the preservation of our cultural identity as a Qatari of Qataris in the workforce. In 2021, we provided 39
organization. trainees an opportunity to join us and learn from our 6
5
4
0
experienced team of professionals.
NA 0
QAFAC has commitment towards
2017 2018 2019 2020 2021
sustaining a growing base of Qatari
employees by maintaining an
annual average Qatarization rate Number of QAFAC employees supported to
complete their education
of approximately 28% for the past
31
several years.
QAFAC is committed towards sustaining a growing 16

11
base of Qatari employees by maintaining an annual
5
5
average Qatarization rate of approximately 28% for
NA
the past several years.
2017 2018 2019 2020 2021

We further deploy our digital technologies a provided 2 developees with a fulltime employment
selection of SAP systems to ensure that our prospect at QAFAC. Also, in 2021 through our Field
Qatarization metrics are updated and monitored Development Program, we supported 32 developees.
against our Qatarization objectives. This digital
system is operated by our HR department and tracks In 2021, there was a 0.1 percent increase in the
parameters like total number of national employees, Qatarization rate, moving from 30% to 30.1% in 2021.
national trainees, and the required Qataris to be Due to our Qatarization initiatives in 2021, out of
employed to reach our objectives. total workforce of 319 employees, Qatari nationals
constituted 96 employees of our workforce. A total
In 2021, we provided support to 7 young Qatari of 73% of QAFAC’s senior management positions are
students pursuing higher education at national and held by national talent.
foreign educational institutions. After completion, we
Number of Interns and Trainees Supported Qatarization Our National and Expatriate Workforce
236 241 240 233 223

42 30 30.4
39 27.8 27.8 27.7
30.4
22 93 95 96
20 91 92
39 NA
(%)
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021
Expatriates Qatari Nationals

GRI Content Index

GRI 102-55
This report has been prepared in accordance with the GRI Standards: core option, and the table below
provides a reference for GRI content in the report. For the Materiality Disclosures Service, GRI Services reviewed
that the GRI content index is clearly presented and the references for Disclosures 102-40 to 102-49 align with
appropriate sections in the body of the report. For the SDG Mapping Service, GRI Services reviewed that the
GRI disclosures included in the content index are appropriately mapped against the SDGs. The services were
performed on the English version of the report.
Page and/or Sustainable Page and/or Sustainable

GRI Standard Disclosure GRI Standard Disclosure
Direct Answers Development Goal Direct Answers Development Goal
GRI 101: Foundation GRI 102: General 102-13 Memberships of 16

GRI 101 does not include any disclosures
2016 Disclosures 2016 associations
General Disclosures 102-14 Statement from senior 8, 10
decision-maker
GRI 102: General 102-1 Name of the 12
Disclosures 2016 organization 102-15 Key impacts, risks and 21, 25-26
opportunities
102-2 Activities, brands, 12, 17
products and services 102-16 Values, principles, 14, 21, 23, 27, 29 SDG 16
standards, and norms of
102-3 Location of 12 behavior
headquarters
102-17 Mechanisms for advice 27-28 SDG 16
102-4 Location of operations 12 and concerns about ethics
102-5 Ownership and legal 12 102-18 Governance structure 19-20
form
102-40 List of stakeholder 31
102-6 Markets served 4, 13 groups
102-7 Scale of the 12 102-41 Collective bargaining 94 SDG 8
organization agreements
102-8 Information on 96 SDG 8, SDG 10 102-42 Identifying and 30, 32
employees and other workers selecting stakeholders
102-9 Supply chain 16-17 102-43 Approach to 30, 32
stakeholder engagement
102-10 Significant changes
to the organization and its 102-44 Key topics and 32
supply chain concerns raised
102-11 Precautionary principle 21 102-45 Entities included in 4
or approach the consolidated financial
statements
102-12 External initiatives 107

GRI 102-55

GRI 102: General 102-46 Defining report 4 Sustainability in Supply Chain

Disclosures 2016 content and topic Boundaries
GRI 103: Management 103-1 Explanation of the 46-47
102-47 List of material topics 32 Approach 2016 material topic and its
boundary
102-48 Restatements of 38
information 103-2 The management 46-47
approach and its
102-49 Changes in reporting 4 components
102-50 Reporting period 4 103-3 Evaluation of the 46-47
management approach
102-51 Date of most recent 4
report GRI 204: Procurement 204-1 Proportion of spending 47 SDG 8
Practices 2016 on local suppliers
102-52 Reporting cycle 4
Anti-Corruption
102-53 Contact point for 4
questions regarding the GRI 103: Management 103-1 Explanation of the 27-28
report Approach 2016 material topic and its
boundary
102-54 Claims of reporting 4
in accordance with GRI 103-2 The management 27-28
Standards approach and its
components
102-55 GRI content index 110, 111-117
103-3 Evaluation of the 27-28
102-56 External assurance This report management approach
has not been
externally GRI 205: Anti- 205-3: Confirmed incidents of 28 SG 16
assured. Corruption 2016 corruption and actions taken
Material Topics Operational Reliability
Economic Performance GRI 103: Management 103-1 Explanation of the 43-45
Approach 2016 material topic and its
GRI 103: Management 103-1 Explanation of the 37-38 boundary
Approach 2016 material topic and its
boundary 103-2 The management 43-45
approach and its
103-2 The management 37-38 components
approach and its
components 103-3 Evaluation of the 43-45
management approach
management approach Disclosure: KPI Plant Reliability of Methanol 43-45 SDG 8, SDG 9
and MTBE
GRI 201: Economic 201-1 Direct economic value 38 SDG 8, SDG 9
Performance 2016 generated and distributed

GRI 102-55

Business Continuity Water Stewardship
GRI 103: Management 103-1 Explanation of the 43-45 GRI 103: Management 103-1 Explanation of the 66-68
Approach 2016 material topic and its Approach 2016 material topic and its
boundary boundary
103-2 The management 43-45 103-2 The management 66-68

approach and its approach and its
components components
103-3 Evaluation of the 43-45 103-3 Evaluation of the 66-68

management approach management approach
Disclosure: KPI Development of a BCM 26, 43 SDG 8, SDG 9 GRI 303: Water and 303-1 Interactions with water 66-68 SDG 6, SDG 12
strategy including De- Effluents 2018 as a shared resource
escalation and Re-escalation
plan 303-2 Management of water 66-67 SDG 6
discharge related impacts
Materials
303-4 Water discharge 66-67 SDG 6
GRI 103: Management 103-1 Explanation of the 53-54
Approach 2016 material topic and its 303-5 Water consumption 66 SDG 6
boundary
Biodiversity
103-2 The management 53-54
approach and its GRI 103: Management 103-1 Explanation of the
components Approach 2016 material topic and its 69
boundary
management approach 103-2 The management
approach and its 69
GRI 301: Materials 2016 301-1 Materials used by 54 SDG 8, SDG 12 components
weight or volume
103-3 Evaluation of the
69
Energy management approach
GRI 103: Management 103-1 Explanation of the 55-56 GRI 304: Biodiversity 304-2 Significant impacts SDG 6, SDG 14, SDG
Approach 2016 material topic and its 2016 of activities, products and 69 15
boundary services on biodiversity
103-2 The management 55-56 Emissions

approach and its
components GRI 103: Management 103-1 Explanation of the
Approach 2016 material topic and its 59
103-3 Evaluation of the 55-56 boundary
management approach
103-2 The management
GRI 302: Energy 2016 302-1 Energy consumption 55-56 SDG 7, SDG 8, SDG approach and its 59
within the organization 12, SDG13 components
302-3 Energy intensity 55-56 SDG 7, SDG 8, SDG 103-3 Evaluation of the
59
12, SDG 13 management approach

GRI 102-55

GRI 305: Emissions 305-1 Direct (Scope 1) GHG SDG 3, SDG 12, SDG Supplier Environmental Assessment
59, 61
2016 emissions 13, SDG 14, SDG 15
GRI 103: Management 103-1 Explanation of the
305-2 Energy indirect (Scope SDG 3, SDG 12, SDG Approach 2016 material topic and its 46-47
59, 61
2) GHG emissions 13, SDG 14, SDG 15 boundary
305-4 GHG emissions SDG 13, SDG 14, 103-2 The management
62
intensity SDG 15 approach and its 46-47
components
305-7 Nitrogen oxides (NOx),
SDG 3, SDG 12, SDG
Sulfur Oxides (SOX), and other 62 103-3 Evaluation of the
14, SDG 15 46-47
significant air emissions management approach
Waste Management Employee Engagement Attraction and Retention
GRI 103: Management 103-1 Explanation of the GRI 103: Management 103-1 Explanation of the
Approach 2016 material topic and its 63-65 Approach 2016 material topic and its 98-101
boundary boundary
103-2 The management 103-2 The management

approach and its 63-65 approach and its 98-101
components components
103-3 Evaluation of the 103-3 Evaluation of the

63-65 98-101
management approach management approach
GRI 306: Waste 2020 306-1: Waste generation and GRI 401: Employment 401-1 New employee hires and
SDG 3, SDG 6, SDG 11, 98-101 SDG 5, SDG 8, SDG 10
significant waste-related 65 2016 employee turnover
SDG 12
impacts
401-2 Benefits provided to
306-2: Management of full-time employees that are
SDG 3, SDG 6, SDG 8, 98-99 SDG 3, SDG 5, SDG 8
significant waste-related 63-65 not provided to temporary or
SDG 11, SDG 12
impacts part-time employees
SDG 3, SDG 6, SDG 11, Occupational Health and Safety

306-3 Waste generated 63-65
SDG 12, SDG 15
306-4: Waste diverted from Approach 2016 material topic and its 78-80
65 SDG 3, SDG 11, SDG 12
disposal boundary
306-5: Waste directed to SDG 3, SDG6, SDG 11, 103-2 The management
63-64
disposal SDG 12, SDG 15 approach and its 78-80
components

78-80
management approach

GRI 102-55

GRI 403: Occupational 403-1 Occupational health Learning and Development

Health and Safety and safety management 73, 78-79 SDG 8
2018 system GRI 103: Management 103-1 Explanation of the
Approach 2016 material topic and its 102-103
403-2 Hazard identification, boundary
risk assessment, and incident 84-85 SDG 8
investigation 103-2 The management
approach and its 102-103
403-3 Occupational health components
81 SDG 8
services
102-103
403-4 Worker participation, management approach
consultation and
communication on 78-79 SDG 8, SDG 16 GRI 404: Training and 404-1 Average hours
SDG 4, SDG 5, SDG 8,
occupational health and Education 2016 of training per year per 102-104
SDG 10
safety employee
403-5 Worker training on 404-2 Programs for

occupational health and 74-75 SDG 8 upgrading employee skills
102-104 SDG 8
safety and transition assistance
programs
403-6 Promotion of worker
78-79 SDG 3 Diversity and Equal Opportunity
health
403-7 Prevention and GRI 103: Management 103-1 Explanation of the

mitigation of occupational Approach 2016 material topic and its 105-106
health and safety impacts 86-87 SDG 8 boundary
directly linked by business
relationships 103-2 The management
403-9 Work-related injuries 80 SDG 3, SDG 8, SDG 16 components
Process Safety 103-3 Evaluation of the

105-106
management approach
Approach 2016 material topic and its 82-85 GRI 405: Diversity and
405-1 Diversity of governance
boundary Equal Opportunity 20, 105-106 SDG 5, SDG 8
bodies and employees
2016
approach and its 82-85 Human Rights and Labor Standards
components
103-3 Evaluation of the Approach 2016 material topic and its 97
82-85 boundary
management approach
GRI Oil & Gas Sector OG-13 Number of Tier-1 103-2 The management
85 SDG 3, SDG 9 approach and its 97
Disclosure process safety events
components
OG-13 Number of Tier-2
85 SDG 3, SDG 9 103-3 Evaluation of the
process safety events 97
management approach

GRI 102-55
Page and/or Sustainable

GRI Standard Disclosure
Direct Answers Development Goal

Approach 2016 material topic and its 48-49
boundary

components

48-49
management approach
GRI 416: Customer 416-1 Assessment of the

Health and Safety health and safety impacts
48-49
2016 of product and service
categories
416-2 Incidents of non-

compliance concerning the
48-49 SDG 16
health and safety impacts of
products and services

Glossary of Abbreviations
Abbreviations Long Form Abbreviations Long Form
A&M Texas A&M University CV Curriculum Vitae
A&R Accounting and Reporting DCS Distributed Control System
ACFA Asian Clean Fuels Association DIFOTIC Delivered in Full and On Time, and Invoiced Correctly
AEF Alberta Envirofuels Inc EHS Environment, Health and Safety
AGT Authorized Gas Tester EMS Environmental Management System
AI Artificial Intelligence EnMS Energy Management System
APC Advanced Process Control EPC Engineering, Procurement and Construction
API American Petroleum Institute EPCA The European Petrochemical Association
AR Accounting and Reporting ERM Enterprise Risk Management
BA Breathing Apparatus ERP Enterprise Resource Planning
BBS Behavioral Based Safety ERT Emergency Response Team
BMI Body Mass Index ESG Environmental, Social, and Governance
CA Competent Authority EU European Union
CAER Community Awareness and Emergency Response FSO Fire and Safety Operators
CAM Center of Advanced Materials GDP Gross Domestic Product
CAO Chief Administration Officer GHG Greenhouse Gas
CDR Carbon Dioxide Recovery GHS Globally Harmonized System of classification and labelling of chemicals
CEO Chief Executive Officer GJ Giga Joule
CFO Chief Financial Officer GPCA The Gulf Petrochemicals and Chemicals Association
CH3OH Methanol GRI Global Reporting Initiative
COO Chief Operating Officer GWP Global Warming Potential
The Committee of Sponsoring Organizations of the Treadway HCM Human Capital Management
COSO
Commission
HIRA Hazard Identification and Risk Analysis
CPC Chinese Petroleum Corporation
HPO High Performance Organization
CPO Chief Procurement Officer
HR Human Resources
CSE Confined Space Entry
HSE Health, Safety, and Environment
CSR Corporate Social Responsibility

HSSE Health, Safety, Security and Environment LTI Lost time injuries
IASB International Accounting Standards Board LTIF Lost Time Injury Frequency
IFRS International Financial Reporting Standards MERI Minimum Essential Receiving Inspection
IGSMC Integrated Gas Supply to Mesaieed Consumers MESD Maritime Energy and Sustainable Development
ILO International Labour Organization MI Methanol Institute
IMO International Maritime Organization MIC Mesaieed Industrial City
IOLLC International Octane LLC MIQA Mechanical Integrity and Quality Assurance
IOT Internet of Things MKOPSC Mary Kay O’Connor Process Safety Center
IPCC Intergovernmental Panel on Climate Change MMA Methyl methacrylate
International Petroleum Industry Environmental Conservation MME Ministry of Municipality and Environment
IPIECA
Association
MMSCM Million Metric Standard Cubic Meters
IQ Industries Qatar
MOPH Ministry of Public Health
ISMS Information Security Management System
MRR Monitoring and Reporting Regulation
ISO International Organization for Standardization
MSDS Material Safety Data Sheets
IT Information Technology
MT Metric Ton
ITB Invitation to Bid
MTBE Methyl-Tertiary-Butyl-Ether
JHA Job Hazard Analysis
MTPD Metric Tons Per Day
JV Joint Venture
N/A Not Applicable (Not Available)
KAHRAMAA Qatar General Electricity and Water Corporation
NIA National Information Assurance
KPI Key Performance Indicators
NFPA National Fire Protection Association
L&D Learning and Development
NZLD Near Zero Liquid Discharge
LCA Life Cycle Assessment
O&G Oil and Gas
L.L.C Limited Liability Company
OE Operational Excellence
LCYMEC LCY Middle East Corp.
OECD Organisation for Economic Co-operation and Development
LDAR Leak Detection and Repair
OEE Overall Equipment Efficiency
LIMS Lab Information Management Systems
OGI Optical Gas Imaging
LMS Learning Management System
OHS Occupational Health and Safety
LOPC Loss of Primary Containment
OMEC OPIC Middle East Corp.
LTA Lost-Time Accident

OPIC OPIC Middle East Corp. QNV Qatar National Vision
OSHA Occupational Safety and Health Administration QP Qatar Petroleum
OTS Operator Training Simulator QSE Qatar Stock Exchange
PAGA Public Address and General Announcement QSSA QAFAC Support Services Area
PCIC Procurement, Construction, Installation and Commissioning RCA Root Cause Analysis
PDP Personal Development Program RGS Regenerate Gas Scrubbing
PHA Process Hazard Analysis SAP Systems, Applications, and Products
PHD Uniformance Process History Database SASB Sustainability Accounting Standards Board
PII Process Safety Institute SCE Safety Critical Equipment
PHS Process Hazard Analysis SDG Sustainable Development Goals
PI Plant Information SNCR Selective Non-Catalytic Reduction
PLC Programmable Logic Controller TA Turnaround
PM Particulate Matter TRCF Total Recordable Case Frequency
PMC Periodic Medical Check-Ups TVA Toxic Vapor Analyzer
PMS Performance Management System UAE United Arab Emirates
PPE Personal Protective Equipment UK United Kingdom
PPM Parts Per Million UN United Nations
PSA Pressure Swing Adsorption UNFCCC United Nations Framework Convention on Climate Change
PSM Process Safety Management UOP Universal Oil Products
PSTIR Process Safety Total Incident Rate US United States
PTW Permit To Work US EPA United States Environmental Protection Agency
QCDD Qatar Civil Defense Department USD United States Dollar
Qatar Chemical and Petrochemical Marketing and Distribution VDI Virtual Desktop Infrastructure
Q.P.J.S.C.
Company
VOC Volatile Organic Compounds
QAFAC Qatar Fuel Additives Company
WAH Work At Height
QAFCO Qatar Fertiliser Company
WHB Waste Heat Boilers
QAPCO Qatar Petrochemical Company
WHO World Health Organization
QHSE Quality, Health, Safety and Environmental

QAFAC HEAD OFFICE T: +974 4476 6777
13th Floor, Tower 2, The Gate F: +974 4477 3555
P.O. Box 22700, Doha, Qatar E: [email protected]
www.qafac.com.qa

QAFAC Sustainability Report 2021 - Final

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Sustainability

Preserving the future

QAFAC Sustainability Report 2021

Introducing our Report 7 Health and Safety 73

Our Growth Our People

Economic Performance 37 Human Rights and Labor Standards 97

50 GRI Content Index 110

Introducing Our Report

QAFAC Sustainability Report 2021 6

Introducing Our Report

GROWTH ENVIRONMENT SAFETY PEOPLE

Achieved the second

GHG intensity - Occupational Health &

63% of our total supplier

Enhancement of Key milestone achievements Maintained ISO 45001

QAFAC Sustainability Report 2021 7

2021 has marked a year of remarkable changes

Sheikh Thani Bin Thamer Al-Thani Qatar’s environmental landscape.

QAFAC Sustainability Report 2021 8

QAFAC Sustainability Report 2021 9

QAFAC continued to uphold its values and to meet

Ahmed Abdulqader Al-Ahmed action focused on our workforce, and increased

QAFAC Sustainability Report 2021 10

QAFAC Sustainability Report 2021 11

Our Profile Methanol is a highly versatile chemical building

downstream value chain, manufacturing two

regulated chemical and petrochemical products • Used as a emissions reducing additive

Vaccines & Other Pharmaceuticals

QAFAC Sustainability Report 2021 12

Additionally, methanol is also used in an increasing

As global demand for clean energy

Whether used in a blended application with

On the other hand, MTBE is widely used as a fuel

of QAFAC and its shareholders. We meet the MTBE

Middle East 47%

QAFAC Sustainability Report 2021 13

To produce high-quality Methanol, MTBE,

Vision the quality of our products.

Safety People Excellence Integrity Responsibility

QAFAC Sustainability Report 2021 14

A joint stock company registered and A wholly-owned subsidiary of Overseas

A wholly-owned subsidiary of LCY Investments

QAFAC Sustainability Report 2021 15

Our Memberships and Associations

The Royal Society for the Prevention of Accidents (RoSPA)

The Gulf Petrochemicals and Chemicals Association (GPCA)

Mary Kay O’Connor Process Safety Center (MKOPSC)

Methanol Institute (MI)

Asian Clean Fuels Association (ACFA)

QAFAC Sustainability Report 2021 16

GRI 102-2, GRI 102-9

Our Value Chain

QAFAC Sustainability Report 2021 17

QAFAC Sustainability Report 2021 18

QAFAC’s Board of Directors is comprised of the

QAFAC Sustainability Report 2021 19

Our Directors GRI 102-18, GRI 405-1