20151208 hydrocarbon training cyprus - regulators session

1

Dutch hydrocarbon sector and

role of regulation and standardization

Jarno Dakhorst & Willem van der Wal

Regulators session hydrocarbon sector | Cleopatra Hotel, Nicosia | 8 December 2015

Outline

• Organization of NEN

• Introduction into standardization

• Overview of oil and gas standardization and standards

• Golden triangle

2 Regulators session hydrocarbon sector | Cleopatra Hotel, Nicosia | 8 December 2015

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ORGANIZATION

OF NEN


NEN in brief

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• Private, independent not-profit-organisation founded in 1916

• Our core values:

― Honest: we strive to set up long-term relationships

― Professional: we strive to attain the highest standard

― Cementing: we share each other's knowledge, qualities and networks

― Service-focused: we keep our promises

• About 270 employees

• Over 5 250 active members in standardization

• Over 33 000 standards in portfolio [4% Dutch, 45%

European and 51% global standards]

• Turnover of 36 M€ [2014]


NEN’s activities (1)

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• Standards development:

― Development of national standards (NEN, NTA, NPR)

― Mirror committees for CEN, CENELEC, ISO and IEC technical

committees for which a Dutch interest exists

― Secretariat for several CEN, CENELEC, ISO and IEC

technical committees (e.g. ISO/TC 67 and CEN/TC 12)

• Standards publishing:

― Sales of standards

― Supporting documents and web tools

• Standards services:

― Training

― Events


NEN’s activities (3)

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• Standards related activities:

― Standardization requests (mandates)

― (Pre-)standardization research

(e.g. Horizon 2020 projects)

― Scheme management and registers

(e.g. ISO 55001)

― Self declarations (e.g. ISO 26000)

― Management of hazardous substances

publication series (i.e. guidelines for

authorities in permitting process)

― Project management


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INTRODUCTION INTO

STANDARDIZATION


Introduction into standardization –

What are standards?

Standards…

• … are documents with agreements on products,

services and systems

• ... are designed for voluntary use

• ... contribute to:

― (inter)national strength of competition

― innovation

― health, safety and environment

― image

• ... are in accordance with WTO



Why standardization?

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Overcoming trade barriers

Vision ISO/TC 67

(oil & gas):



What is standardization?

Standardization …

• … is an open process => all parties concerned invited

to participate for broad support

• … is developing agreements based on consensus =>

no sustained opposition

• … is transparent => agreements are publicly

available for comments and use

• … takes place on three levels:

― national (e.g. NEN, CYS)

― regional (e.g. CEN, GSO)

― international (e.g. ISO, IEC)


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OVERVIEW OF OIL AND GAS

STANDARDIZATION AND STANDARDS

© Lot Bakker | LOT of Illustrations

http://lotofillustrations.com/


Overview of oil and gas standardization

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Materials, equipment and

offshore structures

CEN/TC 12

CEN/TC 234

National mirror committees

ECISS

CEN/TC 282

Simplified representation

ISO/TC 67

ISO/TC 118/

SC1

IEC/TC 18

CLC/TC 18X

Electrical installations of

ships and of mobile and

fixed offshore units


ISO/TC 67 – Title and scope

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• Title:

― Materials, equipment and offshore structures for the

petroleum, petrochemical and natural gas industries

• Scope:

― Standardization of the materials, equipment and offshore

structures used in the drilling, production, transport by

pipelines and processing of liquid and gaseous hydrocarbons

within the petroleum, petrochemical and natural gas

industries.

Excluded: aspects of offshore structures subject to IMO

requirements (ISO/TC 8).


ISO/TC 67 – Goals

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• Prepare standards required by the industry

• Prepare standards that are adopted worldwide by

bodies such as ABNT (Brazil), API (USA), CEN

(Europe), GOST R (Russian Federation), GSO (Gulf

Region) and SAC (China)

• Prepare standards that are recognized by regulators

• Publish standards that enable companies to minimize

their specifications

• Deliver standards to the target dates on the agreed

work programme


ISO/TC 67 – Deliverables

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SOURCE: IOGP | Poster can be downloaded from www.iogp.org/international-standards


ISO/TC 67 – Post-industry events action plan

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After Montara and Macondo events:

• Ad hoc group created in October 2010

• Work programme established in March 2011

• Ad hoc group transformed to task force to follow

recommendations and monitor progress of

developing/revising identified standards

• Disassociation of API from ISO in 2012 impacts

execution of work programme

• Half yearly progress reporting: during ISO/TC 67/MC

and ISO/TC 67 plenary meetings

• Final report circulated in March 2015


CEN/TC 12 – Title and scope

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• Title:

― Materials, equipment and offshore structures for the petroleum,

petrochemical and natural gas industries

• Scope:

― Similar to ISO/TC 67, excluding gas infrastructure from the input

of gas into the on‐shore transmission network up to the inlet

connection of gas appliances (covered by CEN/TC 234) and

installations and equipment for LNG (covered by CEN/TC 282).

• Secretariat provided by NEN and CYS


CEN/TC 12 – Mode of operation

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• Standards are usually developed under Vienna

Agreement in ISO/TC 67 working groups, with active

participation of experts from at least 3 European

countries.

• One of European experts is 'European Project Leader'

(EPL) and checks that both environmental and

regulatory issues are taken into account.

• After publication by ISO, standards are adopted in

Europe as EN ISO (and with that as national standard).

• This development process is coherent with CEN/TC

12’s motto “Global standards used locally worldwide”


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GOLDEN TRIANGLE


Relationship between regulation,

standardization and certification

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One way to

demonstrate

is applying

standards

Regulator has

confidence in

value of certificate

to demonstrate

compliance with

law

Third party

conformity

assessment

increases

credibility

Operator has to

comply with legal

requirements


Case 1 – Directive 2013/30/EU (1)

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Directive 2013/30/EU on safety of offshore oil and gas

operations and amending Directive 2004/35/EC:

“To ensure safety in design and continuous safe operations, the industry is required to follow the best practices defined in authoritative standards and guidance. […] Having due regard to the established priorities the preparation of new or improved standards and guidance should be commissioned without delay.”

“At Union level, it is important that technical standards are complemented by a corresponding legal framework of product safety legislation and that such standards apply to all offshore installations in offshore waters of Member States, and not just non-mobile production installations. The Commission should therefore undertake further analysis of the product safety standards applicable to offshore oil and gas operations.”


Case 1 – Directive 2013/30/EU (2)

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• European Commission is aiming at harmonised

standards for machinery used in drilling and well

intervention operations in offshore oil and gas industry.

• For this purpose, the European Commission intends to

submit a revised standardization request (formerly

known as mandate), after rejecting of a previous

standardization request by CEN/BT, also based on

recommendations by CEN/TC 12.


Oil and gas standardization and regulation

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European

Commission

Dutch

government NEN

Mandates

Standards

Standards

Laws

Regulation

Laws

Directives

Legislation Standardization

NC 310008

Standards

WTO ISO

CEN

Vienna

agreement

TC 12

TC 67

E.g. 2013/30/EU

No barriers to trade

E.g.

Mining

Act

Draft mandate

offshore oil &

gas industry


Case 2 – NTA 8120 (1)

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• SSM/SodM:

― inspector safety of gas networks and integrity and safety of

installations under Mining Act

― grid operators must have an operating safety management

system (SMS) from 2011

― voluntary agreement with requirements to SMS

• Grid operators:

― mostly integrated network companies (electricity and gas)

― also need for quality management system


Case 2 – NTA 8120 (2)

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• Result:

― voluntary agreement on asset management (with focus on

safety, quality and capacity)

― willingness of participation of (currently named) ACM as

supervisor for Electricity and Gas Act

First edition of NTA 8120 was published in 2009; the second edition in 2014 (also

in English) to align with ISO 55001,

integrate security and better distinct

requirements from recommendations


Case 2 – NTA 8120 (3)

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• All parties involved developed certification scheme

linked to NTA 8120

• Certification scheme operational since 2011

• Nearly all grid operators are certified for NTA 8120

• Next step to bring NTA 8120 certification under

accreditation (together with ISO 55001 certification)

• With this certificate grid operators demonstrate to

comply with NTA 8120 requirements and in this way

with parts of legislation => inspector can change way of

supervising to system surveillance


From golden triangle to diamond

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Working with accredited

conformity assessment

bodies further increases

confident in value

certificate


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THANK YOU FOR YOUR

ATTENTION

[email protected]

+31 6 33 334 671 or +31 15 2 690 245

@jarnodakhorst

https://nl.linkedin.com/in/jarnodakhorst


20151208 hydrocarbon training cyprus - regulators session

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