TECHNICAL GUIDELINE DOCUMENT

ENVIRONMENTAL AND SOCIAL COMPLIANCE

ASSURANCE STANDARD

NEOM-NEV-TGD-701 Rev 01.00, November 2021

©NEOM [2021]. All rights reserved.

Document history

Revision code Description of changes Purpose of issue Date

Issue for
Rev 01.00 First Issue 14.11.2021
Implementation

Document approval

Prepared by Reviewed by Approved by

Name Noel Woods Bevan Van Blommestein Damien Trinder

Senior Assurance (Acting) Chief Environmental

Job Title Senior Assurance Specialist
Manager Officer

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1. Introduction

The Environmental and Social Compliance Assurance Standard details both the Assurance
Program that will be used by NEOM to assess Contractors’ environmental performance and
adherence to regulatory, contractual and project requirements , which are also known as
Compliance Obligations; and also the means by which shortfalls in meeting compliance
obligations are recorded and managed.

The Environmental and Social Compliance Assurance Standard defines how NEOM inspects
and audits Contractors for compliance. The outcomes of the Inspection and Audit Program may
result in further engagement by NEOM with the Contractor, and/or enforcement action.

NEOM’s enforcement powers are progressive in nature and designed to facilitate interaction
and cooperation with the Contractor in the first instance and to proactively encourage
compliance.

2. Purpose

The overall purpose of the Inspection and Audit Program detailed in this standard is to measure
compliance with applicable requirements and to identify w here shortfalls in meeting Compliance
Obligations exist. This is achieved through acquiring objective evidence, that each Contractor
is complying with applicable Compliance Obligations.

Performance Management processes have been developed to address Inspec tion and Audit
compliance shortfalls.

3. Scope

The Environmental and Social Compliance Assurance Standard considers the Plan-Do-Check-
Act (PDCA) cycle to differentiate between audits and inspections. At a high level, inspections
are a “do” and audits are a “check”. In general terms, inspections are physical examinations of
construction sites and work locations, systems and parts of systems and hardware, for the
purposes of assessing the integrity, and/or operation of these systems. Where physical controls
are lacking or ineffective in mitigating environmental risks and impacts, the measures and
mechanisms detailed in the Environmental and Social Performance Management Procedure
shall be used to return Contractors to compliance.

Audits are based on examination of records, reports and other documented evidence produced
or generated by Contractor relating to, for example, environmental performance, the
Environmental and Social Management System, environment performance and monitoring
reports. Where compliance obligation shortfalls are identified, the Environmental Non -
Conformance Procedure shall be used to return Contractors to compliance.

4. Structure

The document is structured into four parts according to the environmental and social assurance
compliance mechanisms applicable for NEOM:

• Part A - NEOM Construction Environmental Inspection Procedure

• Part B - NEOM Environmental & Social Performance Management Procedure
• Part C - NEOM Environmental & Social Management System Audit Procedure
• Part D - NEOM Environmental Non-Conformance Procedure

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 PART A

ENVIRONMENTAL PROCEDURE
CONSTRUCTION ENVIRONMENTAL INSPECTION
PROCEDURE

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Contents

1. INTRODUCTION ...................................................................................................................... 6
2. PURPOSE ................................................................................................................................ 6
3. SCOPE ..................................................................................................................................... 6
4. ROLES AND RESPONSIBILITIES .......................................................................................... 6
5. PROCEDURE........................................................................................................................... 7
5.1. Inspection Documents .............................................................................................................. 7
5.1.1. Construction Environmental Inspection Schedule .................................................................... 7
5.1.2. NEOM Construction Environmental Inspection Checklist ........................................................ 7
5.1.3. NEOM Construction Environmental Inspection Report ............................................................ 7
5.2. Phases of Construction Environmental Inspection Process .................................................... 8
5.2.1 Phase 1 – Pre-inspection ......................................................................................................... 8
5.2.2 Phase 2 - Day of the Inspection ............................................................................................... 8
5.2.3 Phase 3 – Post – Inspection ..................................................................................................... 9
5.2.3.1 Environmental Inspection Checklist ....................................................................................... 10
5.2.3.2 Distribution of Environmental Inspection Checklist ................................................................ 10
5.2.3.3 Environmental Inspection Report ........................................................................................... 10
6. RELATED DOCUMENTS ...................................................................................................... 13
7. APPENDICES ........................................................................................................................ 13
APPENDIX A. GUIDELINE FOR CARRYING OUT ENVIRONMENTAL INSPECTIONS ................... 14
APPENDIX B. GUIDELINE FOR COMPLETING THE ENVIRONMENTAL INSPECTION
CHECKLIST ........................................................................................................................... 16
APPENDIX C. GUIDELINE FOR COMPLETING THE ENVIRONMENTAL INSPECTION REPORT 18
APPENDIX D.TEXT FOR DISTRIBUTION OF INSPECTION REPORT DOCUMENTS VIA
EMAIL .................................................................................................................................... 22
APPENDIX E. TEXT FOR DISTRIBUTION OF INSPECTION REPORT DOCUMENTS VIA ACONEX
................................................................................................................................................ 23
APPENDIX F. NEOM CONSTRUCTION ENVIRONMENTAL INSPECTION CHECKLIST TEMPLATE
................................................................................................................................................ 24
APPENDIX G. NEOM CONSTRUCTION ENVIRONMENTAL INSPECTION REPORT TEMPLATE. 26
APPENDIX H. CONSTRUCTION ENVIRONMENTAL INSPECTIONS SCHEDULE TEMPLATE ..... 30

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1. Introduction

Environmental inspections are an important proactive tool for ensuring that contractors working in
NEOM comply with NEOM’s Environmental requirements and the requirements of the Contractors
Environmental and Social Management Plan (ESMP). Inspections provide an opportunity to assess the
environmental performance of contractors working in NEOM and, by extension, the compliance
performance of NEOM itself. This procedure outlines the NEOM Construction Environmental inspection
program.

2. Purpose

The purpose of this procedure is to provide guidance to Employer in the execution of the Construction
Environmental Inspection Program. The Construction Environmental Inspection Program has been
developed to:

1. Ensure that standards of environmental control, as specified in NEOM-NEV-TGD-702 NEOM

Environmental and Social Codes of Practice - Construction (ECP-C) are being implemented across
NEOM projects
2. Assess Contractors performance against the requirements of NEOM-NEV-TGD-702
3. Compile a detailed Construction Environmental Inspection Report, which contains Inspection key
performance indicators (KPI’s) against which the Contractors overall environmental performance
can be assessed.

3. Scope

This procedure describes the process by which Construction Environmental Inspections are conducted.
This procedure is applicable to all contractors involved in construction activities at all NEOM locations.

Appended to this procedure are the following related forms:

• NEOM-NEV-TGD-701_FRM01 NEOM Construction Environmental Inspection

Checklist

• NEOM-NEV-TGD-701_FRM02 NEOM Construction Environmental Inspection

Report Form

4. Roles and Responsibilities

1. Employer

a. Employer shall ensure that all necessary resources are provided in the execution of the
requirements of the Construction Environmental Inspection Program.
b. Employer is responsible for the execution of the construction environmental inspection
process.
c. Employer is responsible for ensuring that the required members of the inspection party are
invited to the scheduled Construction Environmental Inspection.
d. Employer is responsible for ensuring that the Environmental Inspection Checklist and the
Environmental Inspection Report is compiled accurately, comprehensively and within the
agreed timeframes.
e. Employer is responsible for leading the inspection party and ensuring that the environmental
inspection is conducted to the level of detail required to obtain a comprehensive assessment
of the environmental performance of a contractor site.

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 f. Employer is responsible for the distribution of Construction Environmental Inspection Reports
and Checklists to project stakeholders via Aconex.

2. Contractors

a. Contractors shall fully facilitate the Construction Environmental Inspection Program, providing
access to all areas, applicable documentation and facilities to which access is reasonably
expected and required to obtain a comprehensive overview of site environmental risks.
b. Contractors shall provide adequate means of transportation to the inspection party, where
required, when access to site on foot is not reasonably practicable, based on spatial or
climatologically conditions.

5. Procedure

5.1. Inspection Documents

5.1.1.Construction Environmental Inspection Schedule

1. Prior to the commencement of each Gregorian calendar month, EMPLOYER will compile a
Monthly Construction Environmental Inspection Schedule.
2. NEOM Construction Environmental Inspections shall be conducted on a weekly basis or at
a frequency established by NEV.
3. The schedule shall, prior to distribution, be shared with NEV for review and approval.
4. Following approval, EMPLOYER shall distribute the approved Monthly Construction
Environmental Inspection schedule to relevant project Contractors and to NEV.

5.1.2.NEOM Construction Environmental Inspection Checklist

1. The NEOM Construction Environmental Inspection Checklist consists of a detailed

question set which assesses full, partial or non-compliance against the twelve (12)
categories of thematic environmental requirements.
2. The checklist is a concise summary of the key requirements of NEOM Code of Practice –
Construction. Scores of 10 (full compliance), 5 (partial compliance) and 0 (non-
compliance) are assigned to each checklist question.
3. When completed, the checklist will generate an overall % Compliance Score, which is a
Key Performance Indicator (KPI) metric of contractor environmental performance.
4. NEOM Construction Environmental Inspection Checklist Template is provided in Appendix
F of this procedure.

5.1.3.NEOM Construction Environmental Inspection Report

1. The Construction Environmental Inspection Report is a summary of all observed

conditions on site that either present an environmental risk and/or which are not in full
compliance with the requirements of NEOM-NEV-TGD-702.
2. Any site condition that is in partial-compliance or non-compliance with applicable
requirements, should be identified by the inspection party and detailed in the
environmental inspection report. The report makes provision for the following information
to be detailed:
a. Observed condition which is not in full compliance with the requirements of
NEOM-NEV-TGD-702;
b. Corrective action required to rectify the observed condition;
c. Photograph of the observed condition;

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 d. Potential risk (High / Medium / Low);
e. Date which the observed condition was identified by the inspection party;
f. Status of the observed condition.
3. NEOM Construction Environmental Inspection Report Template is provided in Appendix G
of this procedure.

5.2. Phases of Construction Environmental Inspection Process

There are 3 phases associated with each NEOM Construction Environmental Inspection:

• Pre-Inspection Phase
• Inspection Phase
• Post-inspection Phase

5.2.1 Phase 1 – Pre-inspection

In advance of the inspection, the following actions shall be followed:

1. EMPLOYER shall send a Construction Environmental Inspection Outlook Calendar

invitation to the Environmental Inspection Party Members. The scheduled date of the
Environmental Inspection shall correlate to the date specified on the Monthly Construction
Environmental Inspection Schedule;
2. The Environmental Inspection Party Members which shall be invited shall include:
a. Contractor Environmental Manager;
b. EMPLOYER Environmental Personnel assigned to that particular Contractor site;
c. Proponent responsible for that particular Contractor site
d. NEV representative assigned for that particular Contractor site.
3. Inspections shall commence at the scheduled time, unless otherwise agreed in advance
by all inspection party members. Any changes to the scheduled time must be
communicated at least 24 hours in advance to all inspection party members;
4. EMPLOYER shall be responsible for ensuring that an adequate amount of time is
allocated for the inspection. The amount of time required should be based on previous
suitable time allocation for inspection of the same contractor site. Please note that as the
project progresses, the increased complexity of the site may require extra time to be
allocated for the inspection, to ensure that the adequate time is allocated for detailed
inspections;
5. The date of the inspection on the calendar invitation should correspond to the date
provided on the Monthly Construction Environmental Inspection Schedule;
6. Calendar invitations shall be distributed at least 5 days in advance of the inspection date;
7. EMPLOYER, as leader of the Environmental Inspection Party, is responsible for ensuring
access is available to all areas of the site and for recording findings and observations.
EMPLOYER shall therefore ensure that, in advance of the inspection, suitable
transportation, PPE, camera, notebook and relevant documents are available for use on
the day.

5.2.2 Phase 2 - Day of the Inspection

On the day of the inspection, the following actions shall be followed:

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 1. The Environmental Inspection Party convenes at the time specified on the Outlook
Calendar invitation;
2. The Environmental Inspection Party will normally convene in the Contractor Environmental
Manager’s Office, unless an alternative meeting point has been agreed in advance of the
inspection and communicated to all Construction Environmental Inspection Party
members;
3. Each Construction Environmental Inspection Party member must be provided with and
have a copy of the most recent environmental inspection report for that particular
Contractor site;
4. Included in the inspection report is the NEOM Construction Environmental Inspection
Checklist. The checklist is a concise summary of NEOM-NEV-TGD-702. The Construction
Environmental Inspection Party should set out to seek work or conditions on site, which
allow each question in the checklist question set to be assessed and verified. Site
conditions which are in partial-compliance or non-compliance with applicable checklist
items, should be identified by the inspection party and reflected in the environmental
inspection checklist and environmental inspection report;
5. The inspection shall normally follow an established route, which allows inspection party
members to review previously documented items which appear on the inspection report.
The established route should also include areas and activities known to present common
construction environmental hazards and risks;
6. The EMPLOYER shall lead the inspection and must be accompanied at all times by the
other Environmental Inspection Party members;
7. The Environmental Inspection Party must check each item which is documented on the
report, and to determine the current ‘status’ of each item. This is done by assessing
whether previously identified observations have been ‘closed’ – i.e., the condition has
been rectified to the satisfaction of inspection party members and in compliance with
NEOM ECP-C. If not ‘closed’ the observation is considered ‘not completed’, meaning the
issue persists on site and has yet to be resolved or rectified to meet the requirements;
8. Where an item has been deemed ‘closed’ PMC shall annotate ‘CL’ in the row relating to
that item (please refer to Appendix C);
9. Where an item has been deemed ‘Not Completed’ PMC shall annotate ‘NC’ in the row
relating to that item (please refer to Appendix C);
10. During the process of verification of the ‘status’ of previously documented environmental
issues, the inspection party should also be examining areas and activities known to
present common construction environmental hazards and risks;
11. Any site condition observed which is not fully compliant (and that is not documented on the
current report) must be identified, discussed, and noted by the Environmental Inspection
Party members.
12. EMPLOYER shall ensure that newly identified non-compliances are photographed, made
note of, and documented in the environmental inspection report which is one of the outputs
of the monthly environmental inspection.

5.2.3 Phase 3 – Post – Inspection

Following the inspection, two documents shall be compiled by EMPLOYER:

• Construction Environmental Inspection Checklist, and

• Construction Environmental Inspection Report

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 5.2.3.1 Environmental Inspection Checklist
1. The EMPLOYER who led the environmental inspection shall be responsible for compiling the
Construction Environmental Inspection Checklist.
2. When populating an Environmental Inspection Checklist, EMPLOYER shall start with a blank
checklist. This is essential to avoiding unintentional bias which can result in inflated
compliance scores.
3. EMPLOYER shall complete the checklist as soon as possible following the inspection and
before another inspection takes place.
4. EMPLOYER shall ensure to answer and score all questions fairly and based on what was
observed – giving a balanced approach to what was observed.

5.2.3.2 Distribution of Environmental Inspection Checklist

1. The On completion of the Construction Environmental Inspection Checklist, the EMPLOYER

shall save the document using the file name format – ‘Construction Environmental Inspection
Checklist-Project Name-YYMMDD’ (Project Name should be amended to reflect the project
site which the inspection checklist relates to. YYMMDD should be amended to reflect the
date, using the specified format – for example, 4th July 2020, would be represented as
200704)
2. The Construction Environmental Inspection Checklist contains data that can be analysed to
identify and highlight actual and/or emergent trends of non-compliance. Proponent reserves
the right to request EMPLOYER provide this data, in a format defined by Proponent, within
reasonable timeframes.

5.2.3.3 Environmental Inspection Report

1. The Environmental Inspection Report consists of several sections:

a. Section 1 – Inspection Overview (Cover Page)
b. Section 2 – Inspection Observations

2. EMPLOYER who conducted the construction environmental inspection shall compile

the Construction Environmental Inspection Report.
3. The Construction Environmental Inspection Report contains details of non-compliant
environmental conditions observed on site and describes the corrective action
required by the contractor to rectify the observed condition and to achieve
compliance. Corrective actions must be very prescriptive in informing the contractor
to do. If the instructed corrective action is not specific, there is a risk that corrective
actions are not effective in mitigating the observed condition and that effort and
resources applied have been wasted. This has the potential to have a deleterious
effect on relations with Contractors.
4. The Construction Environmental Inspection Report is considered a ‘rolling-document’
– it is a ‘live’ record of all non-compliant observations (both current and historical) that
the Contractor must address to achieve compliance with NEOM environmental
requirements. When non-compliant conditions have been rectified and verified as
such during a follow-up inspection, the report shall be updated to identify what has
been ‘Completed’.

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 5. Instructed corrective actions should be a single action – avoid the use of double /
triple corrective actions. The same observation may require a two-fold or three-fold
corrective action. If required, repeat the observation in the report but linked to a
different instructed corrective action. Examples are provided in Figure 1 and Figure 2
below.
6. It is suggested that the Construction Environmental Inspection Report be completed
using the steps described in Appendix C.

Figure 1 – Avoid double / triple corrective actions

Figure 2 – Repeat the observation, but linked to a different instructed corrective action

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Figure 3 – Construction Environmental Report Cover Page

5.2.3.4 Completed Environmental Inspection Reports

1. On completion of the Construction Environmental Inspection Report, EMPLOYER

shall save the document using the file name format – ‘Construction Environmental
Inspection Report - Project Name-YYMMDD’ (Project Name should be amended to
reflect the project site which the inspection checklist relates to. YYMMDD should be
amended to reflect the date, using the specified format – for example, 4th July 2020,
would be represented as 200704)
2. EMPLOYER shall merge the Construction Environmental Inspection Report and the
Construction Environmental Inspection Checklist into a single pdf file, which shall be
formally communicated with the contractor, NEV and relevant project stakeholders via
Aconex.
3. NEV reserve the right to request EMPLOYER to, prior to distribution of the report,
provide a draft copy of the report to Proponent for review and comment.
4. EMPLOYER shall ensure that the environmental inspection report is compiled,
reviewed, finalized, and distributed to project stakeholder via Aconex before COB of
48-hours following the inspection date.
5. EMPLOYER shall co-ordinate with Document Control personnel to ensure that
Inspection Report Documents are uploaded onto Aconex and submitted to relevant
parties as per project requirements. The text of a cover letter for Aconex submittals
are included in Appendix E.

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 6. The Contractor shall address any non-compliances reported in the inspection report
prior to the follow-up inspection.
7. EMPLOYER shall provide a weekly summary of inspection scores for all project sites
to NEV for use in NEOM corporate reporting and data analysis.

6. Related Documents

1. NEOM-NEV-TGD-702-NEOM Environmental and Social Codes of Practice - Construction (ECP-

C)
2. NEOM-NEV-TGD-701_FRM01 NEOM Construction Environmental Inspection Checklist
3. Environmental Inspection Report
4. NEOM-NEV-TGD-701_FRM02 NEOM Construction Environmental Inspection Report Form

7. Appendices

1. Appendix A – Guideline for Carrying out Environmental Inspections

2. Appendix B – Guideline for Completing the Environmental Inspection Checklist
3. Appendix C – Guideline for Completing the Environmental Inspection Report
4. Appendix D – Text for distribution of Inspection Report Documents via email
5. Appendix E – Text for distribution of Inspection Report Documents via Aconex
6. Appendix F - Construction Environmental Inspections Forms (F1 & F2)
7. Appendix G - Construction Environmental Inspections Schedule Template

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 Appendix A. Guideline for Carrying out Environmental Inspections

NEOM Construction Environmental Inspections – Guidelines for EMPLOYER

1 NEOM Construction Environmental Inspections are one of the most effective tools available to
NEOM for managing project risks, measuring contractor performance, and changing project
behaviours.
2 How persons conduct environmental inspections is both a direct reflection on those persons as
Environmental Professionals and on the importance of environment performance held by NEOM.
The approach to conducting and managing inspection sends direct signals to the Contractor.
Should wrong signals be sent, the Contractor will not respond to the inspection process in the
desired way. If, however, the right signals are sent, we condition the Contractor to understand
that environmental risk management is a serious topic that requires serious effort and
commitment.
3 The right inspection signals include:
• Being professional – be on time; be authoritative; lead the inspection; hold firm on NEOM’s
environmental value; accept nothing less than excellence;
• Being thorough – identify all issues; examine the issues in detail;
• Being fair – Recognise and praise genuine effort;
• Aim for perfection – by failing to push the Contractors to higher levels of performance, we will
fail to achieve ‘world-class’ standards; by not insisting on perfection, we are complicit in
accepting mediocre standards; Contractor and/or Regional limitations shall not be accepted
as excuses for inaction or poor performance.
4 NEOM believe in managing all environmental risks, and by doing so prevent the conditions which
facilitate the occurrence of extensive and/or cumulative risks. In managing all environmental risks,
we are engaging in a program of transformative change intended to change established mindsets
and methods by conditioning Contractors to consider environmental outcomes in the execution of
their works.

By focusing on: We prevent the occurrence of:

Individual risks Cumulative risks and impacts
Active risks Latent risks and impacts
Localised risks Extensive risks / impacts
Immediate risks Future risks / impacts

5 When identifying issues and assigning corrective actions, the focus should be on system fixes,
not point fixes. Look deeply into the issues on site and encourage implementation of holistic
solutions (system fixes) to site problems.

Before the Inspection

1. Arrive on time for the inspection to ensure that the inspection commences on time.
2. Be prepared – have a notebook and pen, camera, copy of the previous inspection report.

Start of Inspection
1. Opening Comments to the inspection party
a. Mention previous compliance score, previous closure rate and previous critical issues
b. Ensure that all inspection party members have copies of the report on their person
c. Commence the site inspection

2. Manage the Inspection Party

a. Decide the route of the inspection
b. Lead the inspection party and set the pace

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 c. All inspection party members should stay with the group – no splitting off; keep the
inspection party together
3. Be familiar with the Checklist Contents
a. Plan to see at least one example of everything on site that appears on the checklist – try
to verify as many of the checklist questions as possible.
b. Verify checklist questions against facilities and conditions observed on site
4. Check the status (closed / not completed) of items contained in the reports as you see them
a. Communicate the status of each item on the report during the inspection (e.g., “number 3
is closed”; “number 8 is not completed”)
b. Where items are deemed ‘Not Completed’, explain to the inspection party why it is
deemed so, and what they must do to rectify the problem to meet the applicable
requirement.
5. Find new non-compliant observations throughout the site
a. Do this by examining the site in detail
b. When non-compliant conditions are observed, explain the issue to the inspection party
c. Probe why Contractor controls are missing / not applied controls – this is key to
implementing system fixes, rather than point fixes
6. Conduct the inspection in accordance with the ‘Inspection Cardinal Rules’.

Inspection Cardinal Rules

1. Boots in every location

a. Visit all areas on foot
b. Get up close to the issues
c. Re-visit every issue detailed in the report as a minimum
d. Visit known risk locations every time
2. Optimize energy / time expenditure
a. While waiting for containers to be opened, look at something nearby
b. Avoid walking back on your tracks – see new locations
3. Look beyond the obvious
a. Under covers / inside bins / inside boxes / inside shipping containers / behind sheds /
over the hill / inside sediment tanks
4. Keep the contractor honest
a. Ask questions, then verify their response to the question
b. Examine the site in great detail
5. Representative sampling
a. Check a random sample, then next inspection check a different random sample
6. Avoid debate / don’t accept excuses
a. Our word is final, don’t get drawn into debate
b. Aim for perfection

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 Appendix B. Guideline for Completing the Environmental Inspection
Checklist
1 The Construction Environmental Inspection Checklist is an Excel document which consists of 2
sections.
2 Section 1 is the “Header”. The Header contains information relating to the date of inspection, the
Contractor site being inspected, date of inspection, those who were part of the inspection party
and the name of the person completing the checklist
3 Section 2 is the “Environmental Compliance Check Items”. This section consists of a question set
covering 11 thematic topics.

Section 1 of the Environmental Inspection Checklist

1 Section 1 of the Checklist must be completed in the following manner:

Figure 1
2 Contract Name & Number (A, Figure 1) - input Contract Name / Contract Number.
3 Contractor Name (B, Figure 1) - input the name of the Contractor executing the project.
4 Date of Inspection (C, Figure 1) - input the date that the inspection was completed on. The date
format shall by DD Month (full month name) YYYY.
5 Accompanied by (D, Figure 1) - input the names and companies of the inspection party members
who were present during the inspection.
6 Report By: (E, Figure 1) – input the full name of the person completing the checklist, with first
name, followed by family name.

Section 2 of the Environmental Inspection Checklist

1 The checklist consists of a series of questions, against which the construction site shall be
assessed. The checklist is a summary of the requirements specified in NEOM Environmental
Code of Practice – Construction.
2 For each checklist question, the EMPLOYER must assign a score of 10 (for full compliance), 5
(for partial compliance) or 0 (for little or no compliance). Guidelines for application of scoring is
provided below.
3 Items on the checklist which are not relevant should be marked as NA. Please note – DO NOT
place N/A, N-A or N.A. on the checklist – only NA will be suitable and allow the formula to
calculate correctly.
4 The majority of ‘cells’ on the checklist are ‘locked’. The only cells which are not locked are those
within which the scores for each individual question are entered. The content of locked cells
cannot and should not be changed.
5 Each section of the checklist (there are 11 sections in total) will automatically total.
6 Having inputted all of the scores to applicable questions and inputted all the ‘NA’ to non-
applicable questions, a ‘Final Score’ is automatically computed on page 1 of the checklist.
7 The ‘Summary Table’ on the checklist automatically calculates the percentage score of each
individual section and the ‘Final Score’
8 Refer to Figure 2 for further information on the structure of Section 2 of the Construction
Environmental Inspection Checklist.

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Figure 2

Guidelines for application of Environmental Inspection Checklist scores

1. Start from Zero
a. For each checklist item, apply the following thought process:
i. Does this question score a 0?
ii. If No, does this question score a 5?
iii. If No, does this question score a 10?
iv. If No, assign a score of 5.

2. Consider compliance factors and considerations, by applying the following thought process:

Considerations when assigning Checklist Scores Score 0 Score 5 Score 10

1 Does the observed condition(s) undermine Somewhat Does not
Undermines
NEOM’s environmental values? undermines undermine
2 Is the source of the environmental issue Significant Somewhat
Insignificant
significant? source significant
3 Are site engineering controls / managerial controls Controls are Controls are Controls are
lacking? lacking piecemeal effective
4 Is the contractor in full control of site conditions? Partial
Little control Full control
control
5 Is improvement required in relation to the site Significant Some No
condition(s)? improvement improvement improvement
6 How many times was the non-compliant Multiple Some
Exception to
condition(s) observed? observations observations
7 Is the observed condition(s) in compliance with
No Partial Yes
NEOM requirements?
8 What is the contractor’s approach to managing
Inactive Reactive Proactive
non-compliant site condition(s)?

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 Appendix C. Guideline for Completing the Environmental Inspection
Report
Step 1
1. Go to Section 1 of the Environmental Inspection Report (Figure 4).
2. Input the Report Number (for example NED-EA-CV-TAM-00X). NED relates to NEOM
Environment Department; EA relates to Execution & Assurance (a division within NEON
Environment Department), CV relates to an acronym for the project name (in this case
Construction Village), TAM relates to the first 3 letters of the Contractor name (in this case
Tamimi), 00X relates to a 3-digit sequential number which indicates how many reports have been
issued.
3. The date shall be inputted as per the specified format – dd Month yyyy.
4. Input the Contractors full name.
5. The inspection start time and end time should be inputted as per the specified format (24hr) –
HH.MM hrs.
6. Input the Project Title.
7. Input the duration (in hours) that it took to complete the inspection.
8. Input the name of the person who led the inspection and created the report.
9. Input the name of the company who employs the person who created the report.
10. Input Inspection Party attendee names – name and title of each person who attended the
inspection. Persons who were not present for the duration of the inspection should not be
included. Where a person was not present to represent their organisation, input ‘Did not attend’
into the relevant row.

Figure 4

Step 2
1. During the site inspection, EMPLOYER will use a hard copy of the Environmental Inspection
Report (that was generated as a result of the previous inspection) to mark which items have been
closed and which items are deemed not completed.
2. Delete all the rows on the report with the status ‘Closed’.
3. Update, if necessary, the status column of all the remaining observations on the report to one of
the two following statuses:
a. Not Complete – where the required action detailed on the report has not been completed
to the satisfaction of the inspection party. Input ‘Not Completed’ in the status column and
infill the cell with colour red

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 b. Closed – where the required action detailed on the report has been completed to the
satisfaction of the inspection party and the environmental risk posed by the non-compliant
condition previously observed has been mitigated. Input ‘Closed’ in the status column and
infill the cell with colour green. ‘Closed’ rows should further indicated as such by marking
the text in the observation and corrective action columns as struck through.
4. Insert new rows where required in the report and input the details of newly observed
environmental non-compliances noted during the inspection.
5. All observations on the report must be listed in the order in which they were observed. New rows
should be inserted at appropriate locations to reflect the order in which observations were
observed.
6. In the ‘Observation’ column, EMPLOYER shall input a short description what was observed
during the inspection. (As indicated in Figure 5) EMPLOYER is reminded to be factual and to
avoid the use of subjective and personal descriptive words and phrases.
7. In the ‘Required Corrective Action’ column, EMPLOYER shall input a short description of the
corrective action required from the Contractor to rectify the non-compliance observed (As
indicated in Figure 5).
8. For each new observation input the risk rating, the date that the new observation was made, and
identify the status as ‘New Observation’.
9. Each new observation should have an accompanying single photograph which accurately depicts
the observed non-compliance and, if applicable, the risk presented.
10. Photographs should be representative of the general condition of the project observed during the
inspection.
11. Photographs should be date and time stamped.
12. EMPLOYER shall ensure that photographs that were not taken during the inspection
(photographs taken in advance or following the inspections) are not included in the report.

Figure 5

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Step 3
1. Go to ‘Critical Issues Observed’ section of page 1.
2. Delete the previous ‘Critical Items’ documented. These comments relate to the previous
inspection.
3. Update critical issues. List the 3 most critical issues observed during the inspection. These should
be numerically listed in order of criticality (#1 – most critical, #2 – next most critical, etc). The
critical issues should document what was observed on site – actual or emergent risks that, if
realized, will jeopardize NEOM’s environmental values. The critical issues should be the absolute
need to know, headline environmental risks that if, gone unchecked, pose the greatest risk to the
project.
Step 4
1. Go to ‘Report Content / Summary’ section on page 1.
2. Quantify inspection observations – by inputting into the table the following details:
a. Number of current inspection observations (new observations noted during the
inspection);
b. Number of previous Inspection Observations Not observed (those that could not be
checked during the inspection);
c. Number of previous Inspection Observations Not Completed;
d. Number of Previous Inspection Observations Closed. This should also be expressed as a
%;
e. Number of Previous Inspection Observations Not Completed. This should also be
expressed as a %.

Figure 6

Step 5
1. Go to ‘Environmental Compliance Score’ graph.
2. Update the graph as indicated in Figure 7.
3. Go to ‘Follow-Up Status – Closure Rate (%)’ graph.
4. Update the graph as indicated in Figure 7.

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Figure 7

Step 6
1. Go to the final page of the report.
2. In the table titled ‘Report Generated By’ input the following details:
a. Name of the person having completed the report;
b. Company employing the person who has completed the report;
c. Signature of the person who completed the report;
d. Date that the report was completed.

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 Appendix D. Text for distribution of Inspection Report Documents via
email

The Dear XXX,

Please find attached a copy of the report following an Environmental Inspection undertaken by the
PMC on the project name on the DD MM YYYY.

The project-site has achieved a score of XX% for environmental compliance.

The report consists of 2 parts, namely:

1. Environmental Inspection Report – outlines the non-compliances noted during the inspection,
along with supporting photographs and required corrective actions which must be
implemented; and
2. Environmental Inspection Checklist – outlines the criteria used during the inspection, and the
total compliance score for the project site.

Contractor’s Name shall ensure that all environmental issues detailed in the inspection report are
addressed within the specified timeframe.

Should you require any further information regarding this subject, please feel free to contact NEOM
Environment.

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 Appendix E. Text for distribution of Inspection Report Documents via
Aconex

Attention : Name – Project Manager

Project : Project Name
Subject : XXProject Name Environmental Inspection – Contractor’s Name – Date of inspection

Dear Sir,

Please find attached a copy of the report following an Environmental Inspection undertaken by the
PMC on the project name on the DD MM YYYY.

The project-site has achieved a score of XX% for environmental compliance.

The report consists of 2 parts, namely:

1. Environmental Inspection Report – outlines the non-compliances noted during the inspection,
along with supporting photographs and required corrective actions which must be
implemented; and
2. Environmental Inspection Checklist – outlines the criteria used during the inspection, and the
total compliance score for the project site.

Should you require any further information regarding this subject, please feel free to contact NEOM
Environment.

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 Appendix F. NEOM Construction Environmental Inspection
Checklist Template

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 NEOM Environment
Construction Environmental Inspection Checklist
SECTION 1 - HEADER
Contract Name & #:
SCORING GUIDE:
Contractor Name:
Full Compliance = 10
Partial Compliance = 5
Date of Inspection:
Non Compliant = 0
Not Applicable = NA
Report by: (NA not included in computations)

Accompanied by:
Rev09
SECTION 2 - ENVIRONMENTAL ASSURANCE CHECK ITEMS
1 Air Emissions Score 8 Fuel and Chemical Management Score
1.1 Are emissions from generators/vehicles/equipment clear and free from dark vapours? 8.1 Bulk Fuel Storage
1.2 Is unnecessary operation of engines while equipment/vehicles are stationary prevented? 8.1.1 Are site fabricated bulk fuel storage tanks prohibited on site?
1.3 Do the movements of vehicles/equipment on site adhere to the site speed limit? 8.1.2 Do bulk fuel storage tanks reside within concrete bunds which are free of damage/defects?
1.4 Are vehicle routes kept sufficiently damp with water for the volumes of vehicular movements? 8.1.3 Has a bunded refuelling apron been installed, within which fuel transfers take place?
1.5 Is airborne dust around loading / unloading areas and activities prevented? 8.1.4 Is a spill kit, adequate for stored volumes, available at the bulk fuel storage area?
1.6 Are stockpiles actively managed (covered/dampened) to prevent airborne dust? 8.1.5 Is fuel dispensed from the bulk fuel storage tanks using an automatic refuelling nozzle?
Score Per Section 0 8.1.6 Are fuel hoses used for fuel transfers intact and free from damage?
2 Nuisance Control Score 8.2 HAZMAT Chemical Storage
2.1 Are nuisance noise levels, which effect sensitive receptors, prevented on site? 8.2.1 Are all containers in the HAZMAT chemical store placed within secondary containment?
2.2 Are all generators encased in integrated acoustic housing, which doors remain closed? 8.2.2 Is a chemical spill kit available at the HAZMAT chemical store?
2.3 Is the site free of presence of vermin/pests (rats, flies, cats, dogs)? 8.2.3 Are MSDS's available for ALL chemicals in storage?
2.4 Are materials which attract vermin (food waste, accumulated water) adequately controlled? 8.2.4 Is an updated chemical inventory available and displayed within the HAZMAT chemical store?
2.5 Are nuisance odours prevented on site? 8.2.5 Are ALL containers stacked less than 1.5m in height?
2.6 Is track-out of sediment onto publicly used roads prevented? 8.2.6 Is the HAZMAT chemical store free of volatile organic compounds (VOC's)?
2.7 Are wheel wash facilities/rumble grids provided on site to eliminate track-out? 8.3 Work-front Storage of Chemical and Hydrocarbon Containers
Score Per Section 0 8.3.1 Do all chemical/hydrocarbon containers at point of use reside within spill trays?
3 Resources / Materials Score 8.3.2 Are all chemical/hydrocarbon stored in their original, clearly labelled containers?
3.1 Are construction materials protected from damage/deterioration? 8.3.3 Are leaking/defective chemical/hydrocarbon containers promptly removed off site?
3.2 Are powdered materials stored/managed in a manner which prevents wastage? 8.3.4 Are manufactured funnels available and used for chemical / fuel transfers?
3.3 Are energy conservation practices promoted and observed on site? Score Per Section 0
3.4 Is the mixing of mortar/cement on bare ground prevented? 9 Spill Management Score
3.5 Is plastic sheeting used at concrete transfer points? 9.1 Are chemical/hydrocarbon spills to bare ground prevented?
3.6 Is excess concrete beneficially reused on site, to avoid it becoming waste? 9.2 Are soils contaminated by chemical/hydrocarbon spills immediately cleaned?
3.7 Is concrete wash-out on site prevented? 9.3 Is chemical/hydrocarbon transfer equipment and methodology acceptable?
Score Per Section 0 9.4 Is secondary containment (spill trays/concrete bunds) of adequate size and free of spills?
4 Waste Management Score 9.5 Do all spill kits have a spill kit checklist available, completed monthly?
4.1 Is the site free of litter? 9.6 Are details of emergency spill response teams displayed at all spill sensitive locations?
4.2 Is all waste on site containerised at all times? 9.7 Are spill warning signs/awareness material displayed at all spill sensitive locations?
4.3 Are bins/waste containers suitable for the types of waste being generated at work locations? Score Per Section 0
4.4 Are all bins clearly labelled, with lids that remain closed? 10 Welfare / Laydown Score
4.5 Is overfilling of bins/waste containers prevented? 10.1 Generator
4.6 Is a dedicated central waste storage location (CWSL) provided for the site? 10.1.1 Do all site generators reside within concrete bunds?
4.7 Is the dedicated CWSL clearly identified with suitable signage? 10.1.2 Is the generators concrete bund in good condition/free of holes?
4.8 Are there a sufficient number of skips provided at the CWSL? 10.1.3 Are spill kits available at all generator locations on site?
4.9 Is all waste at the CWSL stored in skips and prevented from being stored on the ground? 10.1.4 Do the spill kits at generator locations have adequate contents?
4.10 Is the CWSL sited a sufficient distance from sensitive receptors? 10.2 Toilet Facilities
4.11 Is waste segregated into the correct dedicated skips/containers at the CWSL? 10.2.1 Are the toilet facilities on site free of leaks?
4.12 Are skips/containers which contain light-weight material covered with a net? 10.2.2 Is the wastewater storage tank linked to the toilet facilities tank in good condition?
4.13 Is overfilling of skips/containers prevented? 10.2.3 Does the wastewater storage tank have a securely fitting lid attached?
Hazardous Waste 10.2.4 Are spills and unplanned releases of wastewater prevented?
4.14 Is a HAZWASTE Storage Facility (HWSF) provided? 10.3 Mess hall
4.15 Are stored quantities of hazardous waste suitable for the capacity of the HWSF? 10.3.1 Does the mess hall have food waste bins with lids that close?
4.16 Is general waste bins/skips/containers free of chemical/contaminated/hazardous waste? 10.3.2 Is the mess hall cleaned to prevent the attraction of vermin and pests?
4.17 Are liquid hazardous wastes stored in closed top/lidded containers? 10.3.3 Is pest control at the mess hall available and effective?
4.18 Are all liquid hazardous waste containers provided with secondary containment/spill trays? 10.4 Awareness Material
4.19 Are contaminated soils resulting from spills stored in the HWSF? 10.4.1 Is there a dedicated environmental notice board at locations where works congregate?
Score Per Section 0 10.4.2 Are environmental awareness material displayed on the environmental noticeboard?
5 Earthworks & Soil Score Score Per Section 0
5.1 Are site and earthworks boundaries clearly marked/identified and being adhered to? 11 Ecology / Conservation Score
5.2 Are stockpiles sited in location(s) which do not pose risks to sensitive receptors? 11.1 Terrestrial Conservation
5.3 Are soil erosion measures in place at required location(s) and effective? 11.1.1 Are protected nests/burrows/fauna habitats fenced off?
Score Per Section 0 11.1.2 Are exclusion zones around nests/burrows/fauna habitats installed and observed?
6 Water Resources and Dewatering Score 11.1.3 Are terrestrial fauna fatalities prevented?
6.1 Is water waste generated as a result of defective equipment / systems, prevented? 11.1.4 Is appropriate signage erected at protected nests/burrows/fauna habitats?
6.2 Is water waste generated as a result of unwanted behaviours by workers, prevented? 11.1.5 Are protected plants/vegetation/flora habitats fenced off?
6.3 Is wastewater piped to and stored in storage tanks prior to disposal? 11.1.6 Are exclusion zones around plants/vegetation/flora habitats installed and observed?
6.4 Are wastewater storage tanks sited within concrete secondary containment? 11.1.7 Are heritage/high value ecological sites protected and exclusion zones observed?
6.5 Is pools/accumulation of stagnant water on site prevented? 11.2 Marine Conservation
6.6 Are water resources adequately protected from pollution risks? 11.2.1 Is nearshore/floating/benthic marine litter prevented?
6.7 Are hazardous/chemical materials stored min 50 metres away from water bodies? 11.2.2 Are marine fauna fatalities prevented?
Dewatering 11.2.3 Are marine environments unaffected by project activities?
6.8 Do all dewatering wells have well casings installed? 11.2.4 Are coastal systems unaffected by project activities?
6.9 Do all dewatering booster pumps sit within a spill tray? 11.2.5 Are pollution risks to the marine adequately controlled by distance/barriers?
6.1 Is dewatering equipment free from defects/operating efficiently? 11.2.6 Are vessel/equipment movement risks in the marine environment adequately controlled?
6.11 Are dewatering hose clamps/connections free of damage, well maintained and free of leaks? Score Per Section 0
6.12 Are all dewatering hoses clearly identified with a unique labelling system? 12 Landform/Topography Preservation Score
6.13 Is localized flooding/unplanned release of water prevented? 12.1 Are landform and topograpy modifications outside approved work boundaries prevented?
6.14 Are sediment tanks free of silt and of adequate capacity for throughput volumes of water? 12.2 Is material extraction, infilling and stockpiling restricted to approved locations?
6.15 Are sediment lagoons effective in removing suspended sediment from the water? 12.3 Is blasting activities restricted to approved locations?
Score Per Section 0 12.4 Is blasting activities controlled to minimise impacts from fly rock and projectiles?
7 Vehicle and Equipment Management Score Score Per Section 0
7.1 Are site temporary roads demarcated, graded/stabilised and used for all movements? SUMMARY:
7.2 Is Vehicle / Equipment on site in a good state of repair and suitable for the tasks? 1 Air Emissions 0%
7.3 Are spill trays clean & free of litter/sediment? 2 Nuisance Control 0%
7.4 Are all vehicles and equipment free of hydrocarbon leaks? 3 Resources / Materials 0%
7.5 Are hydraulic hoses free of damage/excessive wear and tear? 4 Waste Management 0%
7.6 Is maintenance conducted in a bunded maintenance workshop with impervious flooring? 5 Earthworks & Soil 0%
Score Per Section 0 6 Water Resource and Dewatering 0%
7 Vehicle and Equipment Management 0%
8 Fuel and Chemical Management 0%
9 Spill Management 0%
10 Welfare / Laydown 0%
11 Ecology / Conservation 0%
12 Landform/Topography Preservation 0%
Final Score 0%

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 Appendix G. NEOM Construction Environmental Inspection
Report Template

DOCUMENT CODE : NEOM-NEV-TGD-701 REVISION CODE: 01.00 PAGE 26 OF 74

 CONSTRUCTION ENVIRONMENTAL INSPECTION REPORT

INSPECTION OVERVIEW
Report Number: Date:
Contractor: Start Time:
Project Title: Duration:
Report by (name): Report by (company):
Project Stakeholder Name & Company
Name:
Attendance

NEOM
PMC Name:
Contractor Env Manager Name:
Contractor (Others) Name:

Critical Issues Observed:

Critical
Summary of Critical Environmental Issues Observed
Issue #
1
Rank in order of
criticality

Summary of Inspection Observations & Follow-up:

# Report Content / Summary # %

1 New observations identified during this inspection
2 Reported observations not inspected / verified during this inspection
3 Inspection Observations Closed during this inspection
4 Inspection Observations verified as not completed during this inspection
*Note – All open and current observations must be closed within one week of the date of this report.

Environmental Compliance Score Follow-Up Status - Closure Rate (%)

24%

32%

68%

76%

Compliant Non-Compliant Observations Closed Observations Not completed

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 CONSTRUCTION ENVIRONMENTAL INSPECTION REPORT

Observed Conditions and Required Corrections

Action Required to Address Non-
# Details of Observations Made Photo of Observation

(Current; Closed; Not Completed)

(High / Medium / Low)
compliance

(Day. Month. Year)

Date Observed
Potential

Status
Inser
t
• Record all actual and potential environmental issues observed during the inspection • Describe the action that is required to address the non-compliant condition observed • Insert a representative photo of the non-compliant condition
sequ
• Observations should appear on the report in the chronological order in which they were observed on site • Actions should be specific – avoid inputting multiple actions against a single observation observed.
entia
• Observations may require multiple actions to address the non-compliant condition. In such cases, repeat the • Where an action has been completed to the satisfaction of the inspection lead, strike- • In the photo, capture where environmental impact has
l
observation, but with a different ‘Action Required’ to rectify the observed condition through to indicate that the action has been closed occurred where applicable
num
ber

Inspection Observations

Area 1

DD Month YYYY
Not Completed
Corrective actions required to

Low
1. Observation details / description rectify the non-compliant
observation

Current Observation
04 February 2020
Absence of wood dust collection during Provide plastic sheeting, etc. to

Low
2. table saw operations collect wood dust

Current Observation
04 February 2020
Chemical container at point of use Ensure all chemical containers (at

Low
3. without containment / drip tray point of use) have drip trays

28 January 2020
Corrective actions required to

Medium

Closed
4. Observation details / description rectify the non-compliant
observation

28 January 2020

Food waste should not be left

Closed
Low

5. Food waste litter near to food waste skip unattended to prevent dogs and
vermin, remove waste litter

Area 2

6.

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 CONSTRUCTION ENVIRONMENTAL INSPECTION REPORT

Potential Description Potential Failure Consequence example Response

Immediate and/or Direct Environmental Impact; Potential for adverse environmental
High impact
Immediate
Latent and/or Indirect Environmental Impact; Potential for adverse environmental impact
Medium and unwanted conditions exist which may affect projects reputation
1 working day

Low System improvement / Minor environmental impacts 5 working days

Positive N/A Implement project-wide

Report Generated
Signature Report Date:
by:

Distribution (Attendees +):

NEOM Contractor

1. Paul Marshall, NEOM • Contractor Environmental Manager

2. Damien Trinder, NEOM • Contractor HSE Manager
3. Noel Woods, NEOM • Contractor Project Manager
4. Projects Team, NEOM

Note:
• The ‘Closure Rate’ is a measure of Contractors ability to successfully address previously identified observations and conditions.
• The Closure Rate is calculated as follows:
o Total number of observations made during the previous inspection = A
o Total number of observations made during the previous inspection not observed during the current inspection = B
o Total number of observations successfully completed = C
o Total number of observations which have not been completed as observed during the current inspection = D
o (A - B) = E
o C / E x 100 = Closure Rate (Closed)
o D / E x 100 = Closure Rate (Not Completed)
• Previous observations on the report which have been assigned a “Closed Status” are highlighted as such and will be deleted from the next report for the
same location. This allows for all location specific observations to be tracked to closure.

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 CONSTRUCTION ENVIRONMENTAL INSPECTION REPORT

Appendix H. Construction Environmental Inspections Schedule Template

DOCUMENT CODE : NEOM-NEV-TGD-701_FRM02 REVISION CODE: 01.00 PAGE 30 OF 74

 PART B

ENVIRONMENTAL PROCEDURE

ENVIRONMENTAL AND SOCIAL PERFORMANCE MANAGEMENT

PROCEDURE

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©NEOM [2021]. All rights reserved.

Contents

1. INTRODUCTION .....................................................................................................................33
2. PURPOSE ...............................................................................................................................33
3. SCOPE ....................................................................................................................................33
4. ROLES AND RESPONSIBILITIES .........................................................................................33
5. PROCEDURE..........................................................................................................................33
5.1. NEOM Approach to Environmental Performance Management ............................................ 34
5.2. Performance Management Measures and Models ................................................................ 34
5.2.1. Targeted Performance Model ................................................................................................. 34
5.2.2. Escalation Performance Model .............................................................................................. 34
5.3. Performance Measurement Procedure .................................................................................. 35
5.4. Performance Management Mechanism ................................................................................. 35
5.4.1. Improvement Notice (IN) ........................................................................................................ 35
5.4.2. Prohibition Notice (PN) ........................................................................................................... 36
5.4.3. Stop Work Notice (SWN) ........................................................................................................ 36
RELATED DOCUMENTS .......................................................................................................37
APPENDICES .........................................................................................................................38
APPENDIX A. TARGETED MODEL SUMMARY..................................................................................38
APPENDIX B. ESCALATION MODEL SUMMARY ..............................................................................39
APPENDIX C. PERFORMANCE MANAGEMENT FLOWCHART .......................................................40
APPENDIX D. ENVIRONMENTAL IMPROVEMENT NOTICE .............................................................41
APPENDIX E. ENVIRONMENTAL PERFORMANCE MANAGEMENT REGISTER ............................43
APPENDIX F. ENVIRONMENTAL PROHIBITION NOTICE .................................................................45

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1. Introduction

This Environmental and Social Performance Management Procedure has been developed to manage
Contractor environmental performance and to change norms of construction industry environmental
stewardship by encouraging changes in behaviour and attitude towards environmental compliance.
Contractor performance deficiencies present risk to desired environmental outcomes and to NEOM’s
environmental vision and values.

2. Purpose

This procedure describes the process by which EMPLOYER manages Contractor’s environmental and
social performance. This process allows performance deficiencies to be identified and addressed in a
structured manner.

3. Scope

This procedure is applicable to Contractors appointed by EMPLOYER to execute construction works.

Contractors, acting in the role of main Contractor, shall be responsible for the environmental
performance of sub-contractors, associated facilities and service providers linked to the Construction
project.

Appended to this procedure are the following related forms:

• NEOM-NEV-TGD-701_FRM08 - NEOM Environmental Improvement Notice (IN), Appendix D

• NEOM-NEV-TGD-701_FRM06 - NEOM Environmental Prohibition Notice, Appendix F(PN)

4. Roles and Responsibilities

1. Contractor Project Manager

a. Overall responsibility for Environmental Performance
b. Ensure adherence to the Environmental Performance Procedure
c. Ensure all documentation is completed relating to the Environmental Performance
Procedure (Notices, Reports etc) is completed in a timely manner

2. Contractor Environmental Manager

a. Assign responsible individuals for Environmental Performance Management
b. Review completed reports
c. Monitor issued Improvement and Prohibition Notices to ensure their timely close out.
d. Maintain the performance management register of Notices, NCRs, and Observations
e. Schedule follow up actions where significant issues are raised
f. Include significant issues raised during audits in the Monthly Environmental Report

3. EMPLOYER
a. Administration and implementation of the Environmental Performance Management
System

4. NEOM Environment (NEV)

a. Monitors contractor environmental performance through Environmental performance
metrics reported by PMC and independent site validation

5. Procedure

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5.1 NEOM Approach to Environmental Performance Management

1. Contractors have a number of environmental compliance obligations, which include:

a. Contractual Requirements such as provision of staff, execution of studies, provision of
documents;
b. Environmental obligations included in contractually required Management Plans such as
implementation of agreed control measures, execution of monitoring programs, and
environmental reporting;
c. Environmental deliverables from contractually required adoption of management systems
such as implementation of systems, implementation and maintenance of an effective
management system.
2. The Contractor’s implementation of the control and management measures associated with the
above listed compliance obligations is monitored by EMPLOYER and NEV. This is done by using
quantitative and qualitative performance data derived from a number of assurance tools including
environmental inspections, environmental audits, environmental incidents and day-to-day project
over-sight and supervision.
3. Environmental performance management describes a series of performance assessment and
evaluation tools. Where performance issues are identified, performance management tools shall
be applied to realign contractor’s performance with NEOM Environmental requirements.

5.2. Performance Management Measures and Models

1. When deficiencies in Contractor environmental performance are identified, Environmental

Performance Management process will be applied by the EMPLOYER.
2. In applying the Environmental Performance Management an early decision process must be
applied:
a. What performance management model will be used?
b. What performance management mechanism will be applied?
3. There are two types of performance management models:
a. Targeted performance model
b. Escalation performance model

5.2.1.Targeted Performance Model

This model allows for the targeted and immediate application of a selected mechanisms to situations
and circumstances that, based on their risk profile, require immediate action. The mechanism applied
shall be commensurate with the risk presented.

5.2.2.Escalation Performance Model

1. This model allows performance management mechanisms to be applied where escalation is
required in a time-bound sequential manner. Should the risk profile of a situation, circumstance or
event change during the escalation process, a higher level of mechanism can be applied if
necessary.
2. There are three types of performance mechanism
a. Improvement Notices (INs)
b. Prohibition Notices (PNs)
c. Stop Work Notices (SWNs)
3. The intent of these performance mechanisms is to develop, instigate, record, communicate and
manage a program of change, required, and to return the Contractor to compliance and
acceptable performance which in turn mitigates environmental risks. Environmental Performance
Management mechanisms are described below.

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5.3. Performance Measurement Procedure

1. The environmental performance of the Contractor is monitored and reported by the Proponent and
their Representatives.
2. Performance is assessed against the Contractor’s environmental compliance obligations as well
as legal compliance.
3. The following section describe the six elements that are used by the EMPLOYER to monitor
Contractors’ Environmental Performance:

Measurement of Contractors
What is assessed Performance Metric
Performance
Daily Site Inspections Site conditions / work activities Observational Data

Environmental Inspections Environmental controls Observational data

Performance Metrics

Environmental Incidents Causes and impacts of Investigation data

incidents

EMS Auditing Employers Requirements / Performance Metrics

Management Systems

Environmental Monitoring Monitoring changes in baseline Monitoring data

conditions

Contractor Reporting Resource consumption / System metrics

generation

5.4. Performance Management Mechanism

1. To manage the performance of Contractors, the proponent may issue the following mechanism(s):
a. Improvement Notices (INs);
b. Prohibition Notices (PNs);
c. Stop Work Notices (SWNs);

5.4.1.Improvement Notice (IN)

An Improvement Notice (IN) is issued when Corrective and Preventive Actions are not completed and
observed non-compliances or environmental limit exceedances are continuing. The specific details of
the non-compliance, which NEOM Standard or CEMP control has been contravened, actions to be
implemented and timeframes for completion will all be detailed in the IN.

Targeted Model

1. An IN will be triggered when Metrics and KPIs emanating from Weekly Inspections, EMS Audits are
deemed to trigger the need for an IN, or when environmental monitoring data indicates that
environmental standards (NEOM Standards or KSA Environmental standards) are exceeded.
2. EMPLOYER or NEV shall issue an IN using NEOM Environment Improvement Notice template
(NEOM-NEV-TGD-701_FRM03).
3. The IN shall be formally communicated to the EMPLOYER and the Contractor Project Manager.
4. EMPLOYER shall log the IN in a Central Performance Management Register.
5. The Contractor must implement the corrective actions stipulated in the IN within the timeframe
stated.

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6. EMPLOYER shall review efficacy of corrective actions implemented by Contractor and where
deemed suitable shall update the Central Performance Management Register to reflect closure of
IN.

Escalation Model

7. An Improvement Notice is the first step in the Escalation process. Should the contractor fail to
implement the actions stipulated in the IN within the timeframe, the issue shall be escalated by
transferring it into a higher-level mechanism (Prohibition Notice).

5.4.2.Prohibition Notice (PN)

A Prohibition Notice (PN) prohibits the Contractor from carrying out an activity in a specified way until
NEOM is satisfied it has been changed, to ensure environmental risk and imminence of or actual
moderate harm are reduced sufficiently. The NEOM Prohibition Notice Report Template is used for PNs.
The specific grounds for the issuance of the PN will be detailed in the PN.

Targeted Model

1. A PN will be directly triggered when a site observation of a specific activity or imminence of harm
than that of an IN, is identified. A PN may also directly triggered when Metrics and KPIs emanating
from Weekly Inspections, EMS Audits relating to a specific activity are deemed to trigger the need
for a PN, or when environmental monitoring data indicates that environmental standards are
exceeded by a particular activity.
2. The issuance of a PN will be authorized by the EMPLOYER. EMPLOYER or NEV shall issue the
PN using NEOM Environment Prohibition Notice template (NEOM-NEV-TGD-701_FRM05).
3. The PN shall be communicated to the same group as for an IN along with the NEOM Sector Chief
Executive Officer and Contractor Project Director.
4. The Contractor must immediately stop the prohibited activity and implement actions stipulated in
the PN, or by means of changing his approach to reduce the risks and imminence of harm to the
environment to an agreed acceptable level set out in a Remedial Plan, as agreed with NEOM, within
the timeframe stated in the PN.
5. EMPLOYER shall log the PN in a Central Performance Management Register.
6. EMPLOYER shall review efficacy of corrective actions implemented by Contractor and if deemed
suitable shall update the Central Performance Management Register to reflect closure of PN.

Escalation Model

7. A Prohibition Notice (PN) is issued when an Improvement Notice is not adhered to and observed
non-compliances or environmental limit exceedances are continuing beyond the timeframe stated
in the IN. Should the contractor fail to implement the actions stipulated in the PN within the
timeframe, the issue shall be escalated by transferring it into a higher-level mechanism (Stop Work
Notice).

5.4.3.Stop Work Notice (SWN)

Targeted Model

1. A Stop Work Notice (SWN) mandates either that all works on the Project must cease temporarily
until NEOM is satisfied that the issue has been resolved, or that all works deemed to be causing a
particular unacceptable level of risk or imminence of harm to the environment must cease.
2. The Contractor must immediately stop the works as per the SWN and develop and submit an
Investigation Report and Remedial Plan for approval by NEV before implementing the activities
detailed therein. The Report and Plan should ensure the risks and imminence of harm to the

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 environment are brought down to an acceptable level, and as agreed with NEOM be implemented
to their satisfaction, with each step in line with the timeframe stated in the SWN.
3. The issuance of a SWN will be authorized by the EMPLOYER and communicated to the same group
as for an PN along with the NEOM Chief Executive Officer and NEOM Chief Projects Officer.

Escalation Model

4. A SWN is issued when a Prohibition Notice is not adhered to and observed non-compliances or
environmental limit exceedances are continuing. Should the contractor fail to implement the actions
stipulated in the SWN within the timeframe, the issue shall be escalated by transferring it into a
higher-level mechanism.

6. Related Documents

1. NEOM-NEV-TGD-701 NEOM Environment Non-Conformance Procedure Part D

2. NEOM-NEV-TGD-701_FRM03 NEOM Environment Improvement Notice
3. NEOM-NEV-TGD-701_FRM04 NEOM Environmental Performance Management Register
4. NEOM-NEV-TGD-701_FRM05 NEOM Environment Prohibition Notice

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 7. Appendices

Appendix A. Targeted Model Summary

Performance Code Trigger Issuance Communicated Contractor Timeframe Consequence

Measurement (NEOM) to Action and of Exceedance
Mechanism Timeframe of timeframe
Improvement IN Poor Inspection Proponent Proponent PM As per Contractor to Prohibition
Notice Metrics or KPIs Assurance EMPLOYER Notice remediate Notice
Exceedance of Senior PM remarks
environmental Manager Contractor PM within one
standards / audit period
Limits
Continuation of
EMS & Non-
compliance
Prohibition PN Specific Activities Projects Above plus: As per Contractor to Stop Work
Notice leading to Director Prop CEO Notice or remediate Notice /
unacceptable Contractor PD agreed remarks Temporary
risks or Remedial within one Revoke of
imminence of Plan week Permit
harm
Stop Work SWN Works leading to Proponent Above plus: As per Contractor to Revoke of
Notice / unacceptable CEO CPO agreed adhere to Permit by the
Temporary risks or CEO Remedial timeframe relevant
Revoke of imminence of Plan specified in authorities.
Permit harm, requiring the stop
cessation of work notice
specific works or
temporary
Revoke of Permit
Investigation IR/RP Receiving a NEOM Above plus: As per Contractor to Revoke of
Report / SWN ENV CPO agreed adhere to Permit by the
Remedial Plan CEO Remedial timeframe relevant
Plan specified in authorities.
the stop
work notice

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 Appendix B. Escalation Model Summary

Performance Code Escalation Issuance Communicated Contractor Consequence

Measurement (NEOM) to Action of
Mechanism Exceedance
of timeframe
Improvement IN First step Proponent Proponent PM - Prohibition
Notice in the Assurance EMPLOYER Notice
Escalation Senior PM
process Manager Contractor PM
Prohibition PN Non- Projects Above plus: As per IN Temporary
Notice compliance Director Prop CEO Revoke of
continues Contractor PD Permit
beyond the
timeframe
stated in
the IN
Stop Work SWN Non- Proponent Above plus: As per PN Revoke of
Notice / compliance CEO CPO Permit
Temporary continues CEO relevant
Revoke of beyond the authorities
Permit timeframe
stated in
the PN

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 Appendix C. Performance Management Flowchart

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 Appendix D. Environmental Improvement Notice

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NEOM ENVIRONMENTAL MANAGEMENT SYSTEM
Environmental Improvement Notice

ENVIRONMENTAL IMPROVEMENT NOTICE (IN)

An Improvement Notice is issued when the following occurs:
• Corrective and Preventive Actions for Observations from Weekly Inspections
• Environmental monitoring standard limit exceedances are continuing.
• Non-compliance with a NEOM Standard or CEMP section / control.
• When low scoring KPIs from Inspections persist.

PART A – Improvement Notice Details (Completed by NEOM Environment)

Reference # Contractor
Date Project Title
Time Location

PART B – Reason for Improvement Notice (Completed by NEOM Environment)

Reason for issuing the IN Details of the Non-compliance:
Non-compliant condition on site not addressed ☐
Recurring non-compliant conditions on site ☐
Exceedance in permissible emissions limit ☐
Recurring KPI scores below required standard ☐
Other (specify below) ☐

Numbers / dates of referenced documents or reports

PART C – Actions and Timeframe Required for Improvement Notice Closure (Completed by NEOM Environment)
Actions to be implemented for the Improvement Notice to be closed: Timeframe for Completion

24 hours ☐

48 hours ☐

72 hours ☐

7 calendar days ☐
NOTE: If the actions in PART C are not effective or not completed on time, the issue will be escalated as per NEOM’s Performance
Management Procedure, up to and including a Stop Work Notice.
PART D – Required Contractor Submission (Completed by NEOM Environment)
After implementing the actions detailed in Part C within the specified timeframes, Contractor shall, with 48 hours, respond in writing to
this Improvement Notice describing the actions taken with supporting evidence of implementation (photos, documents, reports, etc). If
timely and effective implementation occurs with submission of supporting documents within 48 hours, NEOM will complete PART F of this
form and re-issue it to the Contractor, closing the improvement Notice.
PART E – Improvement Notice Issuance (NEOM) PART F – Improvement Notice Closure (NEOM)
Name Name

Position Position

Signature Signature

Stamp Stamp

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 Appendix E. Environmental Performance Management
Register

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 Appendix F. Environmental Prohibition Notice

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NEOM ENVIRONMENTAL MANAGEMENT SYSTEM
Environmental Prohibition Notice

ENVIRONMENTAL PROHIBITION NOTICE (PN)

A Prohibition Notice is issued when:
• Actions to Close an Improvement Notice (IN) are not effective or timely.
• Persistent Class B Environmental Incidents occur.
• If an activity causes the following: Environmental monitoring standard limit exceedances; Non-compliance with a NEOM Standard or CEMP section / control.

PART A – Prohibition Notice Details (Completed by NEOM Environment)

Reference # Contractor
Date Project Title
Time Location

PART B – Reason for Prohibition Notice (Completed by NEOM Environment)

Reason for issuing the PN Details of the Non-compliance, and Activity Prohibited:
Ineffective or untimely Action for Closure of an IN ☐
Repeat Class B (Non-reportable) Env Incidents ☐
Non-compliant Activity on site ☐
Activity causing exceedance of permissible limits ☐
Other (specify below) ☐

Numbers / dates of referenced documents, reports or IN

PART C – Rectification Plan for Prohibition Notice Closure (Completed by Contractor)

The Contractor must submit a Rectification Plan to NEOM Environment within 48 hours of this Notice which describes how the conditions set out in PART B
will be amended to achieve the below Environmental Outcome (e.g., emissions to be brought back within limits, specific Non-Compliance rectified) within
the timeframe stated below.

Environmental Outcome required for the Prohibition Notice to be closed Timeframe for Completion

48 hours ☐

72 hours ☐

96 hours ☐

7 calendar days ☐
NOTE: If the Rectification Plan in PART C is not sufficient or is not implemented effectively or in time, the issue will be escalated as per NEOM’s
Performance Management Procedure, up to and including a Stop Work Notice.

PART D – Required Contractor Submission

After implementing the actions detailed in the Rectification Plan within the specified timeframes, Contractor shall, with 48 hours, submit in writing a
Completion Report describing the actions taken with supporting evidence of implementation (photos, documents, reports, etc) and achievement of the
Environmental Outcome. If timely and effective implementation occurs with submission of supporting documents within 48 hours, NEOM will complete
PART F of this form and re-issue it to the Contractor, closing the Prohibition Notice.

PART E – Prohibition Notice Issuance (NEOM) PART F – Prohibition Notice Closure (NEOM)
Name Name
Position Position
Signature Signature
Stamp Stamp

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 PART C

ENVIRONMENTAL PROCEDURE

ENVIRONMENTAL & SOCIAL MANAGEMENT SYSTEM AUDIT

PROCEDURE

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Contents

1. INTRODUCTION .................................................................................................................... 33
2. PURPOSE .............................................................................................................................. 33
3. SCOPE ................................................................................................................................... 33
4. ROLES AND RESPONSIBILITIES ........................................................................................ 33
5. PROCEDURE......................................................................................................................... 33
5.1 NEOM Approach to Environmental Performance Management ............................................34
5.2. Performance Management Measures and Models ................................................................34
5.3. Performance Measurement Procedure ..................................................................................35
5.4. Performance Management Mechanism .................................................................................35
6. RELATED DOCUMENTS ...................................................................................................... 37
7. APPENDICES ........................................................................................................................ 38
5.1. Environmental and Social Management System (EMS) Audits Procedure ...........................50
5.1.1. PHASE 1 – PRE-AUDIT ........................................................................................................ 50
5.1.2. PHASE 2 - DAY OF THE AUDIT ........................................................................................... 51
5.1.3. PHASE 3 - POST-AUDIT ....................................................................................................... 52
5.2. Compliance Obligation Audit Procedure ................................................................................52
5.2.1. PHASE 1 – PRE-AUDIT ........................................................................................................ 52
5.2.2. PHASE 2 - DAY OF THE AUDIT ........................................................................................... 53
5.2.3. PHASE 3 – POST AUDIT ...................................................................................................... 53
APPENDIX A. NEOM CONSTRUCTION ENVIRONMENTAL MANAGEMENT SYSTEM (EMS)
AUDIT GUIDELINES.............................................................................................................. 55
APPENDIX B. GUIDELINE FOR COMPLETING EMS AUDIT CHECKLIST .................................. 56
APPENDIX C. GUIDELINES FOR APPLICATION OF EMS AUDIT CHECKLIST SCORES ......... 57
APPENDIX D. NEOM ENVIRONMENT AND SOCIAL MANAGEMENT SYSTEM (EMS) AUDIT
CHECKLIST ........................................................................................................................... 58
APPENDIX E. NEOM CONSTRUCTION ENVIRONMENTAL AUDIT REPORT ............................. 62

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1. Introduction

Environmental auditing is carried out on a variety of management activities to check on existing

practices evaluate a company's environmental performance to, providing a 'snap-shot' of looking at
what is happening at that point in time in an organisation.

EMPLOYER conduct audits of Contractors to check their documents and records to determine
compliance against standards and regulations. During the audit, procedures and management systems
documents and records of environmental relevance are examined to ensure that robust processes are
in place.

2. Purpose

This procedure has been developed to describe the process by the EMPLOYER conducts scheduled
Environmental Audits of Contractors at NEOM.

3. Scope

This procedure relates to all Environmental and Social Management System (EMS) Audits and
Compliance Obligation Audits conducted by and on behalf of NEOM Proponents.

Appended to this procedure are the following related forms:

• NEOM Environmental Management System (EMS) Audit Checklist, Appendix D

• NEOM Construction Environmental Audit Report, Appendix E

4. Roles and Responsibilities

1. EMPLOYER
a. EMPLOYER to request in writing that Proponent nominate a Lead Auditor.
b. EMPLOYER, in consultation with Proponent, to set the Audit Schedule and send to
Contractor as per the requirements in section 6 below.
2. Contractor
a. Facilitate and host the audit team by ensuring the appropriate facilities are provided within
which to conduct the audit.
b. Ensure that all documentation and source information is available and provided to the audit
team on request.
3. The full description of Audit roles and responsibilities are given throughout sections 5 Procedure
and 6 Related Documents.

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5. Procedure

There are 3 phases associated with each NEOM Environmental Audit:

a. Phase 1 - Pre-Audit (Prior to Audit Date)
i.The EMPLOYER shall send an Audit Outlook Calendar invitation to the Audit Party
Members
b. Phase 2 - Day of Audit
i. The Audit Party convenes, and the scheduled audit is conducted
ii. EMPLOYER or NEV shall perform the lead auditor function for the audit
c. Phase 3 - Post-Audit
i. Compilation of the Audit Checklist
ii. Compilation of the Audit Report
iii. Distribution of Audit Checklist and Audit Report to Contractor and NEOM

5.1. Environmental and Social Management System (EMS) Audits Procedure

5.1.1.Phase 1 – Pre-Audit
In advance of the audit, the following actions shall be followed:

1. An EMS audit schedule shall be maintained for the project. EMPLOYER shall be responsible for
generating and maintaining the audit schedule. The EMS audit schedule shall, prior to distribution,
be shared with NEV for review and approval. EMPLOYER shall distribute the approved Monthly
Construction Environmental Audit schedule to relevant project Contractors, NEOM Proponent and
NEV.
2. The following principles shall be applied when compiling the Audit Schedule:
a. The first EMS of any Contractor’s project shall be conducted not later than 100 days after
contract award
b. From the date of the first formal EMS audit of a Contractor’s project, Audits will be
conducted thereafter on a six-monthly basis.
3. EMPLOYER shall send an EMS Audit Outlook Calendar invitation to the EMS Audit Party Members.
The scheduled date of the EMS Audit shall correlate to the date specified on the Monthly
Construction EMS Audit Schedule, which is prepared by EMPLOYER. Contractors shall be given a
minimum of 2 weeks advanced notification of a scheduled audit. A copy of the EMS Audit Checklist
should be attached to the calendar invitation.
4. The date of the EMS Audit on the calendar invitation should correspond to the date provided on the
Monthly Construction EMS Audit Schedule.
5. Calendar invitations shall be distributed at least 2 weeks in advance of the audit date.
6. The EMS Audit Party Members which shall be invited shall include:
a. Contractor Environmental Manager
b. EMPLOYER Environmental Manager (or designate) assigned to that particular Contractor
Site
c. NEV personnel assigned to the Contractor site
d. Proponent assigned to that particular Contractor Site.
7. Audits shall commence at the scheduled time, unless otherwise agreed in advance by all Audit
party members. Any changes to the scheduled time must be communicated at least 24 hours in
advance to all audit party members.
8. Contractor Environmental Manager, as the auditee, is responsible for ensuring access is available
to all documents and records detailed on the EMS Audit Checklist and requested by the Auditors.
Contractor Environmental Manager EMPLOYER shall therefore ensure that, in advance of the
audit, all documents, records and files are presented to the audit party in an orderly and systematic
manner.

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 5.1.2. Phase 2 - Day of the Audit
1. The EMS Audit Party shall convene at the time specified on the Outlook Calendar invitation.
2. In advance of the audit, the Contractor Environmental Manager shall inform the audit party of the
location of the audit. Normally this shall be a suitably sized meeting room or conference room.
Contractor shall ensure that the facilities provided to the audit party are suitable to allow for an
effective audit to be conducted.
3. The Contractor Environmental Manager shall arrange for all files, records, and documents to be
available in the meeting room prior to the arrival of the audit party. The records should be filed and
stored in an ordered a nd systematic way for ease of retrieval and review.
4. An opening meeting will be conducted. The opening meeting, chaired by the Lead Auditor
(EMPLOYER or NEV), should address the below points:
a. Welcome Auditees
b. Introduce Audit team members and their roles.
c. Outline reason for and scope of the Audit.
d. Explain that the Audit process adds value and promotes improvements.
e. Confirm with auditees that documents required by the EMS Audit Checklist are available
for review.
f. Describe communication channels on how the audit will be conducted and reported
g. Outline arrangements for Closing Meeting (time, location, attendees).
5. The NEOM Construction Environmental and Social Management System (EMS) Audit Checklist is
used to assess full, partial or non-compliance against thematic environmental management system
requirements.
6. The Audit Checklist is a concise summary of the key document and record requirements of NEOM
Environment. Scores of 10 (full compliance), 5 (partial compliance) and 0 (non-compliance) are
assigned to each checklist item. A full guide on how the EMS Audit Checklist should be filled is
given in Appendix C of this procedure. The checklist will generate an overall % Audit Score, which
is a Key Performance Indicator (KPI) metric of contractor environmental performance.
7. The audit shall be conducted following the EMS Audit checklist. The purpose of the Audit is to
ascertain levels of compliance with NEOM Environment and contractual requirements. The Lead
Auditor, in assessing compliance with a checklist item, has the latitude to pose supplementary but
related questions to the auditee. At all times, the compliance status shall be determined based on
the documented evidence provided during the audit. Documents and records not available at the
time of the audit shall not be considered when determining compliance status. Auditees shall
cooperate with the Lead Auditor and provide all documentary evidence requested.
8. The Lead Auditor will complete the EMS Audit checklist as the audit progresses.
9. The Lead Auditor shall take detailed notes during the audit. Refer to NEOM Construction EMS Audit
Guidelines provided in Appendix A.
10. At the end of the audit, and before the closing meeting is conducted, the Lead Auditor shall provide
a copy of the hand-written audit checklist to the auditee and invite discussion on the rational for
scores provided.
11. A closing meeting shall be conducted. The opening meeting, chaired by the Lead Auditor, should
address the below points:
a. Record attendees and thank those present
b. Present findings
c. Explain any Non-conformances (citing the specific section of the checklist which the non-
conformance relates to)
d. Provide a summary/ overview of the whole Audit.
e. Provide details of how and when the Audit Close-out Report is to be submitted to
Consultant / PMC.
f. Invite discussion / questions
g. Draw the meeting to a close.

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 5.1.3.Phase 3 - Post-Audit
The EMPLOYER Lead Auditor shall complete the EMS Audit Report in accordance with NEOM
Construction EMS Audit Guidelines provided in Appendix A.

1. On completion of the Construction EMS Audit Report, the EMPLOYER shall save the document
using the file name format – ‘Construction Environmental Management System Audit Report -
Project Name-YYMMDD’ (Project Name should be amended to reflect the project site which the
EMS Audit checklist relates to. YYMMDD should be amended to reflect the date, using the specified
format – for example, 4th July 2019, would be represented as 190704)
2. The NEOM Construction Environmental Audit Report is a summary of Audit findings.
3. Audit findings can be categorised as following:
a. Category 1 – Non-conformance - Breaches of legislation, significant deviation from client /
project requirements, and non-compliances which pose significant operational /
reputational risk to the client / contractor.
b. Category 2 – Improvement Opportunity - Suggestions for improvements to process /
documents / records based international best practice.
c. For each Category 1 non-conformance reported, the Contractor must raise a Non-
Conformance Report (NCR) to manage the change process required to achieve
compliance with NEOM requirements.
4. The EMS Audit Report contains data that can be analysed to identify and highlight actual and/or
emergent trends of non-compliance. NEV reserve the right to request EMPLOYER provide this
data, in a format defined by Proponent, within reasonable timeframes.
5. EMPLOYER shall ensure that the EMS Audit report is compiled, reviewed, finalized, and emailed
to Proponent personnel before COB of the third calendar day following the Audit.
6. Proponent personnel assigned to that construction site will review the document and, where
necessary, provide comments in a report, which must be addressed by the EMPLOYER prior to
distribution of the report. EMPLOYER shall co-ordinate closely until the report is to a standard
where is can be submitted to the Contractor.
7. EMPLOYER shall email the Construction Environmental Management System Audit Documents –
EMS Audit Report and Checklist – to the Contractor. EMPLOYER shall co-ordinate with Document
Control personnel to ensure that Inspection Report Documents are uploaded onto Aconex and
submitted to relevant parties as per project requirements.
8. Contractor shall submit a close out action plan to EMPLOYER with 7 days of receipt of the audit
report. The close out action plan shall provide proposed corrective actions for each Non-
conformance along with proposed dates for implementation of the corrective action.
9. Contractor shall ensure, that for each Category 1 Non-Conformance reported, raise a Contractor
NCR (Non-Conformance Report). The Contractors NCR is a mechanism for contractor change
management.
10. The Contractor shall address the non-compliances from the Audit as per the proposed close out
action plan. The contractor shall provide EMPLOYER with the close out evidence once all corrective
actions have been implemented.
11. EMPLOYER shall review the close out evidence to verify and validate that all audit findings have
been closed.

5.2. Compliance Obligation Audit Procedure

5.2.1.Phase 1 – Pre-Audit
1. The contractor shall develop a compliance obligation register for the project site based on the
Environmental Permit/Accord Compliance obligations.
2. Contractor shall provide a copy of the project Compliance Obligation register to EMPLOYER for
review and approval.

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3. A compliance obligation audit schedule shall be maintained for the project. EMPLOYER shall be
responsible for generating and maintaining the audit schedule. The Compliance obligation audit
schedule shall, prior to distribution, be shared with NEV for review and approval.
4. EMPLOYER shall send a Compliance Obligation Audit Outlook Calendar invitation to the Audit
Party Members. The Compliance Obligation Audit Party Members include:
a. Contractor Environmental Manager
b. NEV Execution and Assurance personnel assigned to the Contractor site
c. Proponent assigned to that particular Contractor Site.

5.2.2.Phase 2 - Day of the Audit

1. The Compliance Obligation Audit Party shall convene at the time specified on the Outlook Calendar
invitation.
2. The purpose of the Audit is to evaluate the project’s compliance to legal obligations as detailed in
the Environmental Permit / Accord conditions.
3. The project specific compliance obligation register shall be used as an audit checklist.
4. The Lead Auditor will complete the Audit checklist as the audit progresses and take detailed notes
during the audit.
5. The EMPLOYER shall evaluate non-compliances and identify those which need to be to be
escalated through the NEOM Performance Management Process as described in NEOM-NEV-
TGD-701 Environmental & Social Compliance Assurance Standard.
6. At the end of the audit, A closing meeting shall be conducted, which is chaired by the Lead Auditor.
The following points shall be addressed in the closing meeting:

a. Provide a summary/ overview of the whole Audit.

b. Present findings
c. Explain any Non-compliances (citing the specific section of the checklist which the non-
compliance relates to) and identify non-compliances that shall be escalated through the
NEOM Performance Management Process as described in NEOM-NEV-TGD-701
Environmental & Social Compliance Assurance Standard.
d. Provide guidance of how and when the Audit Close-out Report is to be submitted to
Contractor.
e. Invite discussion / questions

5.2.3.Phase 3 – Post Audit

1. The EMPLOYER Lead Auditor shall ensure that the Compliance Obligation Audit report is
compiled, finalized, and emailed to Proponent personnel before COB of the third calendar day
following the Audit.
2. A copy of the audit report shall be submitted to NEV for review and where necessary, NEV shall
provide comments which must be addressed by the PEC / PMC prior to distribution of the report.
3. EMPLOYER shall prepare Performance Management reports in accordance with NEOM
Performance Management Process as described in NEOM-NEV-TGD-701 Environmental &
Social Compliance Assurance Standard.
4. EMPLOYER shall email the completed Compliance Obligation Audit Report, Checklist and
Performance Management Reports to the Contractor. EMPLOYER shall co-ordinate with
Document Control personnel to ensure that the reports is uploaded onto Aconex and submitted to
relevant parties as per project requirements.
5. Contractor shall submit a close out action plan to EMPLOYER with 7 days of receipt of the audit
report. The close out action plan shall provide proposed corrective actions for each Non-
conformance along with proposed dates for implementation of the corrective action.
6. The Contractor shall address the non-compliances from the Audit as per the proposed close out
action plan. The contractor shall provide EMPLOYER with the close out evidence once all
corrective actions have been implemented.
7. EMPLOYER shall review the close out evidence to verify and validate that all audit findings have
been closed.

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6. Related Documents

1. NEOM-NEV-TGD-701_FRM06 NEOM Environmental Management System (EMS) Audit Checklist

2. NEOM-NEV-TGD-701_TMP01 NEOM Construction Environmental Audit Report
3. NEOM-NEV-TGD-701 NEOM Environmental & Social Compliance Assurance Standard Part B

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7. Appendices

Appendix A. NEOM Construction Environmental Management System

(EMS) Audit Guidelines

Audit Principles and Techniques

1. Ethical conduct
a. Auditors shall demonstrate their professionalism, employing confidentiality and discretion
in their duties. They also shall demonstrate integrity in their work and to develop trust with
auditees.
2. Fair presentation
a. The auditor shall report truthfully and accurately. This will include the elaboration of
difficulties encountered during the audit.
3. Due professional care
a. The auditors shall demonstrate care in their work. This should reflect the trust placed in
them by the auditee.
4. Independence
a. Auditors shall be entirely objective and ensure that only audit evidence influences the audit
findings.
5. Evidence-based approach
a. Audit evidence must be verifiable and deliver reliable and reproducible audit conclusions.

Auditor Guidelines

In general, Auditors shall:

1. Apply Audit principles, procedures, and techniques

2. Plan, organise and conduct auditing effectively, within agreed time schedules
3. Show awareness of the organisation’s environmental policy, activities, and objectives
4. Recognise and prioritise issues of significance
5. Gather and verify information and data through interviews, observation, documents, and records
6. Use appropriate sampling techniques for auditing
7. Prepare audit reports and communicate effectively.

In executing their Audit duties, Auditors shall be:

1. Ethical — fair, truthful, sincere, honest, and discreet

2. Open-minded — willing to consider alternative ideas or points of view
3. Diplomatic — tactful in dealing with people
4. Observant — actively aware of physical surroundings and activities
5. Perceptive — instinctively aware of and able to understand situations
6. Versatile — adjusts readily to different situations
7. Tenacious — persistent, focused on achieving objectives
8. Decisive — reaches timely conclusions based on logical reasoning and analysis
9. Self-reliant — acts and functions independently while interacting effectively with others
10. Culturally sensitive - observant and respectful to the culture of the auditee.

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 Appendix B. Guideline for completing EMS Audit Checklist

The EMS Audit Checklist is an excel document which consists of 2 parts:

1. Part 1 is the “Header”. The Header contains information relating to the date of the Audit, the
Contractor site being audited, date of audit, those who were part of the audit and the name of the
person completing the checklist.
2. Part 2 is the “Audit Check Items”. This section consists of a total of 10 question topics.

PART 1 of the EMS Audit Checklist

Section 1 of the Checklist must be completed in the following manner:

A. EMS Reference (A, Figure 1) – input EMS Reference Number

B. Date of Audit (B, Figure 1) – input self-explanatory. The date format shall by DD Month (full month
name) YYYY.
C. Date of Previous Audit (C, Figure 1) - input self-explanatory. The date format shall by DD Month
(full month name) YYYY.
D. Audit Type (D, Figure 1) – EMS Audit.
E. Auditor (E, Figure 1) – input the full name of the person completing the Audit, with first name,
followed by family name.
F. Organisation (F, Figure 1) – input the name of the Contractor executing the project.
G. Contract number (G, Figure 1) – input the Contract number from the contract documentation.
H. Location (H, Figure 1) – input the location / region and any site reference of the project e.g., NIC 3.
I. Auditee (I, Figure 1) – input the full name of the individual leading the audit for the Contractor, with
first name, followed by family name.
J. Attention of (J, Figure 1) – input the full name of the individual to whom the Audit Report and
Checklist will be issued, with first name, followed by family name.

PART 2 of the EMS Audit Checklist

A. The checklist consists of a series of questions, against which the EMS shall be assessed. The
checklist is a summary of the requirements specified in NEOM EMS Template.
B. See Appendix C for guidance on how to score the questions, 0, 5 or 10
C. Items on the checklist which are not relevant should be marked as NA. Please note – Do not place
N/A, N-A or N.A. on the checklist – only NA will be suitable and allow the formula to calculate
correctly.
D. The majority of ‘cells’ on the checklist are ‘locked’. The only cells which are not locked are those
within which the scores for each individual question are entered. The content of locked cells cannot
and should not be changed.
E. Each section of the checklist (there are 10 sections in total) will automatically total.
F. Having inputted all of the scores to applicable questions and inputted all the ‘NA’ to non-applicable
questions, a ‘Final Score’ is automatically computed on page 1 of the checklist.
G. The ‘Summary Table’ on the checklist automatically calculates the percentage score of each
individual section and the ‘Final Score’
H. Refer to Appendix D for the EMS Audit Checklist.

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 Appendix C. Guidelines for application of EMS Audit Checklist scores

1. Start from Zero

a. For each checklist item, apply the following thought process:
i. Does this question score a 0?
ii. If No, does this question score a 5?
iii. If No, does this question score a 10?
iv. If No, assign a score of 5.
2. Consider EMS element completeness, coverage, and effectiveness by applying the following
thought process:

Considerations when assigning Checklist Scores Score 0 Score 5 Score 10

9 Are the EMS elements viewed documented fully? Insufficiently Somewhat Fully
documented documented documented
10 Do the EMS elements viewed cover the project’s
No Partial Yes
activities?
11 Are the EMS elements usable / useful on the Insufficiently Somewhat
Fully useful
ground where applicable? useful useful
12 Is improvement required in relation to the EMS Significant Some No
element? improvement improvement improvement
13 Is the EMS element in compliance with NEOM’s
No Partial Yes
EMS template requirements?
14 What is the contractor’s approach to maintaining /
Inactive Reactive Proactive
improving the current EMS elements?

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 Appendix D. NEOM Environment and Social Management System (EMS)
Audit Checklist

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 Appendix E. NEOM Construction Environmental Audit Report

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 CONSTRUCTION ENVIRONMENTAL AUDIT REPORT

AUDIT OVERVIEW
Report Number Date
Contractor Start Time
Project Title Duration
Report by (name): Report by (company):
Project Stakeholder Name
Attendance

NEOM Name:
PMC Name:
Contractor Env Manager Name:
Contractor (Others) Name:

Summary of EMS Performance

# Topic % 10
1 Previous EMS Audit Follow up
9
2 EMS Manual
8
3 Environmental Documents
4 Training 7
5 Resources 6
6.1 Waste Management
5
6.2 Resource Consumption
6.3 Maintenance Records 4
7.1 Environmental Inspections 3
7.2 Dust Monitoring
2
7.3 Noise Monitoring
8 Evaluation 1
Environmental Incidents / 0
9 Investigations 31-05-2016
10 Emergency Preparedness
CAT1 CAT2
Total

Date(s) of EMS Audit(s) # of CAT-1 # of CAT-2

Note Add additional row as required.

List audit dates (top-to-bottom) in reverse chronological order (most recent audit dates at the top of the table)

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 CONSTRUCTION ENVIRONMENTAL AUDIT REPORT

1. AUDITOR AIDE-MEMOIRE

• Conduct Opening Meeting

• Attendees to sign Opening Meeting Attendance Register
• Conduct Audit in accordance with NEOM Environment Audit Procedure
• Conduct Closing Meeting
• Attendees to sign Closing Meeting Attendance Register

Opening Meeting (should cover the below items (taking no longer than 10 • Close-out Meeting (should cover the below items (taking no longer than 10
minutes)): minutes)):

• Record attendees and thank those present.

• Welcome Auditees
• Present findings
• Introduce Audit team members and their roles.
• Explain any Non-conformances (citing the specific section of the checklist which
• Outline reason for and scope of the audit.
the non-conformance relates to)
• Explain that the audit process adds value and promotes improvements.
• Provide a summary/ overview of the whole audit.
• Confirm with auditees that documents required by the EMS Audit Checklist are
• Provide details of how and when the audit close-out report is to be submitted to
available for review.
PMCM.
• Describe communication channels on how the audit will be conducted and reported
• Invite discussion / questions
• Outline arrangements for Closing Meeting (time, location, attendees).
• Draw the meeting to a close.

DEFINITIONS
CAT-1 - Non-Conformance
Breaches of legislation, significant deviation from client / project requirements, and non-compliances which pose significant operational /
reputational risk to the client / contractor.
CAT-2 – Improvement Opportunity.
Suggestions for improvements to process / documents / records based international best practice or on the auditor’s experience.

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 CONSTRUCTION ENVIRONMENTAL AUDIT REPORT
2. AUDIT FINDINGS

• In the table below, detail non-conformances / opportunities for improvement observed during the audit
• Add additional rows as required
• For each CAT-1 non-conformance identified, the contractor must provide a detailed Non-Conformance Action Report (Template in Section 6)
• In the table below, add additional row as required.
• Previous EMS Audit Findings should remain on the table below. Most recent EMS Audit Findings should be listed at the top of the table.
• Please list all CAT-1 findings (Non-Conformances), followed by CAT-2 findings (Improvement Opportunity)
Date of Audit CAT-1 or
(dd.mm.yy) Checklist # CAT-2 Describe Non-conformance / Improvement Opportunity

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 CONSTRUCTION ENVIRONMENTAL AUDIT REPORT
3. SUPPORTING DOCUMENTATION
• For each Non-conformance, the auditor shall ensure that suitable supporting documentation is attached as an appendix to this report.
• For each supporting document, use the table below to list supporting documents.
• Note – Add additional row as required.
# Document Description Doc Reference #

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 CONSTRUCTION ENVIRONMENTAL AUDIT REPORT
4. AUDIT CLOSE-OUT REPORT
• This section is completed by Contractor.
• Please complete the table below and return to PMCM within 21 days of the date of the audit.
• A close-out report is only required for CAT-1 Non-conformance (CAT-2 do not need to be included)
• For each CAT-1 non-conformance detailed in Section 4, the contractor will provide details of how each non-conformance will be addressed to achieve compliance with applicable requirements.
• Please provide details of planned actions, timeframes, and person responsible in the columns below.
• These close-out actions will be checked on site during inspections and during the next scheduled EMS audits.
• Note – Add additional row as required.
Checklist
# What Action will be implemented? By when? Who is responsible?

Signature Block

Signed by Contractor Environmental Manager Date Signed by Contractor Project Manager Date

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 PART D

ENVIRONMENTAL PROCEDURE

ENVIRONMENTAL NON-CONFORMANCE PROCEDURE

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Contents

1. INTRODUCTION .................................................................................................................... 49
2. PURPOSE .............................................................................................................................. 49
3. SCOPE ................................................................................................................................... 49
4. ROLES AND RESPONSIBILITIES ........................................................................................ 49
5. PROCEDURE......................................................................................................................... 50
6. RELATED DOCUMENTS ...................................................................................................... 54
7. APPENDICES ........................................................................................................................ 55
1. INTRODUCTION .................................................................................................................... 70
2. PURPOSE .............................................................................................................................. 70
3. SCOPE ................................................................................................................................... 70
4. ROLES AND RESPONSIBILITIES ........................................................................................ 70
5. PROCEDURE......................................................................................................................... 70
5.1. Identifying and reporting of the environmental non-conformance ..........................................70
5.2. Step 1 – EMPLOYER Issue a Non-conformance Report .......................................................71
5.3. Step 2 – Contractors describes corrective action they will implement ...................................71
5.4. Step 3 – EMPLOYER review the proposed corrective actions ..............................................71
5.5. Step 4 – Contractor implements the proposed corrective actions Environmental Manager ..71
5.6. Step 5 – Reviewing the effectiveness of the corrective actions and close-out ......................72
6. RELATED DOCUMENTS ...................................................................................................... 72
7. APPENDICES ........................................................................................................................ 73
APPENDIX A. NEOM ENVIRONMENT NON-CONFORMANCE REPORT..................................... 73

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 1. Introduction

The NEOM Environment non-conformance process is primarily applied where deviations are found to
have occurred in relation to Contractor’s fulfilment of Employers Requirements or where management
systems failures have occurred. It is also used where implementation of a change management
process is required to return Contractors management practices to compliance.

2. Purpose

The purpose of this procedure is to define the process by the EMPLOYER identifies, report and record
environmental non‐conformances. The procedure also describes the process by which appropriate
corrective actions are taken to rectify identified non-conformances, while preventing their reoccurrence
in the future.

3. Scope

The NEOM Environment non-conformance process is applicable to all NEOM projects and to NEOM
Sectors, Consultants and Contractors.

Appended to this procedure are the following related forms:

• NEOM-NEV-TGD-701_FRM07 - NEOM Environment Non-Conformance Report, Appendix A

4. Roles and Responsibilities

1. EMPLOYER is responsible for:

a. Ensuring that this procedure is applied to circumstances where non-conforming practices
and conditions occur. Ensuring that corrective actions arising as a result of non-
conformances are correctly identified and are effective in rectifying the non-conforming
practices and/or conditions.
b. Review of effectiveness of corrective actions implemented.
c. Recording the non-conformance in the appropriate master register.
d. Reporting and interpreting non-conformance data to identify trends.

2. Contractors is responsible for:

a. Contractors shall develop, implement, and maintain their own Non-conformance and
Corrective Action Procedure and process, intended to reflect the requirements of this
procedure and to deliver effective change management.
b. Contractors shall Identify, report, and record all environmental non-conformity that result in
an impact or have a potential negative impact to the environment, using the NEOM Non-
conformance report form (NEOM-NEV-TGD-701_FRM07). Appendix Form D1.
c. The contractor’s Environmental Manager shall be responsible for ensuring that any
corrective action required from the contractor is adequately implemented.

5. Procedure

5.1. Identifying and reporting of the environmental non-conformance

1. Environmental non-conformances can be identified directly and indirectly through:

a. Audit findings
b. Breaches of environmental accord conditions of approval

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 c. Breaches of legislation
d. Breach of Employer Requirements, Schedule E
e. Systemic failures which require implementation of a change management process

2. When a non-conformance with NEOM Environmental requirements or any relevant legislation is

identified, the following steps shall be initiated:

▪ Step 1 EMPLOYER Issue a Non-Conformance Report (NCR)

▪ Step 2 Contractor shall describe on the NCR what action they will take to
address the non-conformance and return the form to the Proponent
▪ Step 3 EMPLOYER will review the proposed corrective actions and, if
proposed actions are suitable, provide an approval.
▪ Step 4 Contractor implements the proposed corrective actions to address the
non-conformance.
▪ Step 5 EMPLOYER review efficacy of corrective actions implemented.

5.2. Step 1 – EMPLOYER Issue a Non-conformance Report

1. Where a non-conformance has been identified, EMPLOYER shall initially advise the relevant
Contractor and shall issue a Non-conformance Report (NCR) (NEOM-NEV-TGD-701_FRM07 –
Appendix A) to the Contractor.
2. The following information about the non-compliances shall be recorded within the NCR Form:
a. Description of the non-conformance,
b. The event that gave rise to the issuance of the NCR – audit; observation; etc,
c. Supporting documentation related to the non-conformance.
3. EMPLOYER shall log the NCR in the Performance Management Register.

5.3. Step 2 – Contractors describes corrective action they will implement

1. On receipt of the NCR, the Contractor will complete section 2 of the NCR form.
2. The Contractor will develop and document a Change Management Action Plan (CMAP) which
describes the following:
a. What corrective actions will be taken by the contractor to address the non-conformance,
b. Who will be responsible for the corrective actions,
c. By when the corrective actions will be completed.
d. Contractors shall be aware that multiple corrective actions may be required to address the
non-conformance.
3. Contractor should consider the details provided in Section 2 of the NCR form the basis of a change
management action plan (CMAP), the implementation of which will deliver the required change to
address the non-conformance.

5.4. Step 3 – EMPLOYER review the proposed corrective actions

1. Upon receiving the returned NCR form with the proposed corrective action(s) detailed, EMPLOYER
shall review it to confirm and verify that:
a. It addresses all the identified problems of the non-conformance;
b. The time frames are suitable and acceptable; and
c. All the required tasks/actions are assigned to the correct person.
2. Once EMPLOYER is satisfied with the proposed corrective action, an approval shall be provided to
the Contractor to start with implementation process to address the identified non-conformance.

5.5. Step 4 – Contractor implements the proposed corrective actions Environmental

Manager

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1. Upon receiving EMPLOYER approval of the proposed corrective actions, the Contractor shall
immediately communicate the change management action plan (CMAP) and the rationale behind
it to its key staff and responsible parties.
2. The change management process can be implemented using the steps below as a framework
reference
a. Diagnose - Understand the current situation and what needs to change
b. Design - Establish clarity on what is to be achieved and how
c. Execute - Execute the plan, supported by relevant teams
d. Learn and Sustain - Ensure the change is sustained and continuously improved
3. The Contractor shall provide a written communication channels where parties in the change
management can give regular feedback while the corrective actions are being implemented
4. Ensure that records of all actions being implemented throughout all of the change management
process steps are documented for audit purposes by NEOM Environment.

5.6. Step 5 – Reviewing the effectiveness of the corrective actions and close-out

1. EMPLOYER and NEV shall undertake a review to verify and assess the effectiveness of the
corrective action implemented by the Contractor after a pre-determined period of time.
2. On the successful closure of the non‐conformance, the Non‐Conformance Report shall be signed
off by EMPLOYER and the performance management register shall be updated to reflect closure
of non-conformance.
3. If the non‐conformance persists or gaps identified after the implementation of corrective action,
Proponent shall apply performance management and/or commercial mechanisms such as applying
penalties or withholding payment to address the non-compliant condition.

6. Related Documents

1. NEOM-NEV-TGD-701_FRM07 NEOM Environment Non-Conformance Report

2. NEOM-NEV-PRC-704_FRM02 NEOM Environmental Incident Investigation Report Form
3. NEOM-NEV-PRC-704_FRM03 NEOM Environmental Incident Root Cause Analysis Tool –
EIRCAT

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 7. Appendices

Appendix A. NEOM Environment Non-Conformance Report

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 NEOM Environment Non-Conformance Report

Section 1 – Completed by NCR Originator – Summary of Non-Conformance

NCR # Date
Project Name Contractor
Raised by Position
Issue which has
triggered NCR

Supporting
Documentation

Section 2 - Completed by Responsible Manager, Contractor

Note – Section 2 must be completed within 48 hours of receipt and returned to the NCR Originator
Describe the tasks that must be completed to address the non-conformance (what will be done). There is normally more than one task
associated with addressing a non-conformance. Describe who is responsible and the timeframe for completing the task.
# Corrective Action Task – What will be done By whom By when

Date: Approved by:

Section 3 - Review of Corrective Action by NCR Originator

Corrective Action Review Check Yes / No Comment

Is proposed corrective action acceptable?
Is implementation timeframe acceptable?
Is implementation assigned to correct
person?

General Comments:

Section 4 – Completed by NCR Originator – NCR Close-out

Close-out Check Yes / No Comment

Has the NCR issue been successfully resolved?
Can the NCR be closed?
Date: Approved by:

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