agency update: phmsa 2008 western regional gas conference tempe, az august 26, 2008
TRANSCRIPT
Suggested Topics PHMSA – Who’s on 1st, What’s on 2nd• How business is to be done
° PHMSA, NAPSR, NARUC, industry• Energy Picture
° Natural Gas – bridge to cleaner options° Construction boom & problems° Speculation in gas markets?
Regulatory update° DIMP
Comments Received PPDC
Federal Incident Notifications• Terrorist Threat• Intergovernmental Initiatives w/NTSB, DHS, DOE
Discussion Topics for Today
• A Fair Bit on OPS & PHMSA° Who’s on First, What’s on Second
° Goals and Objectives
• Some Stage Setting Comments° Including Some Comments on Energy
• A Macro View of Safety Data° Specific Comments on Role of Data and
Particularly Incident Notification/Reporting
• Quick Survey of Regulatory and Non-Regulatory Initiatives° Emphasis on DIMP
Setting the Stage
• Introductions - PHMSA Leadership° Carl Johnson - Administrator
° Krista Edwards – Deputy Administrator
° Stacey Gerard – Chief Safety Officer
° Jeff Wiese – Associate Administrator
° Bill Gute – Deputy Associate Administrator
° Chris Hoidal – Western Region Director
° 4 Other Regional Directors: S, C, E, and SW
Setting the Stage
• Introductions - PHMSA Directors° RichardSanders–TrainingandQualification
° RogerLittle–DataandInformationTechnology
° ZachBarrett–StatePrograms
° AlanMayberry–Engineering&EmergencySupport
° SteveFischer–ProgramDevelopment
° JoyKadnar–PerformanceandEvaluation
° RodDyck–Enforcement
° JohnGale–RegulatoryProgram
° StanKastanas–DrugandAlcoholPrevention
PHMSA’s Strategic Goals
• Safety (focused on preventing high consequence events)° ProtectingPeopleandtheirCommunitiesbyReducingRiskfromHazardous
MaterialsTransportation–IncludingThroughPipelines
• Environmental Stewardship° ProtectingtheNaturalEnvironmentbyReducingtheRiskofHarmtothe
EnvironmentDuetoTransportationofHazardousMaterials
• Reliability° MaintainandImprovetheReliabilityofSystemsthatDeliverEnergyProducts
andOtherHazardousMaterials
• Global Connectivity° FacilitatingaGlobalTransportationSystemthatPromotesEconomicGrowth
andDevelopment
• Preparedness and Response° ReduceConsequencesofAccidentsWeCan’tPrevent
Our Pipeline Safety Objectives
• ImprovetheOverallIntegrityandReliabilityoftheEnergyPipelineSystemandReduceSystemRisk
• Engage,Lead,andHelpStrengthentheCapabilitiesofOthersWhoShareinAchievingourGoals
• AnticipateFutureNeedsforTransportingEnergyProducts
• EarnstheRespectofOurStakeholdersandthePublic–asaModelSafetyAgency
Setting the Stage
• PHMSA’s General Approach° FocusHeavilyonPerformance
Not Solely on Compliance° DrivePerformanceThroughAttentionto
Pipeline Process People
° Advance“Risk-FocusedandDataDriven” Risk Identification is KEY First Step Need Operator’s Help if All Are to Improve
° Usean“Enterprise”Approach° StrivetobeEngagedandCommunicative° CreateaNucleusforBuildingPartnerships
Setting the Stage
• Current Events and Worries° Heavily Driven by Accidents
Daily by excavation damage» IncreasinglyinsharedROW’s» Constructionboomisworrisome
Periodically, but notably, by corrosion failures» E.g.,Alaska,Louisiana
° Increasingly Driven by Supply Issues° Congressional Attention Keeps us Busy
PIPES Act Mandates Hearings Audits and Recommendations
° Need for Aggressive Workforce Planning and Recruitment
° Safety Culture is Eroding Due to Inattention
Big Picture
43 42 40 38
0102030405060708090
100
Serious Pipeline IncidentsInvolving Death or Injury (1998-2007)
Targets 2006-2009 Actual + 2007 Projected
Proj
ecte
d
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
43 42 40 38
0102030405060708090
100
Serious Pipeline IncidentsInvolving Death or Injury (1998-2007)
Targets 2006-2009 Actual + 2007 Projected
Proj
ecte
d
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
Big Picture
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4Ch
ange
from
198
8 (In
dex =
1)
Pipeline Safety: Context Measures
U.S. population
Energy consumption
Pipeline ton-miles
Serious Pipeline Incidents
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
Chan
ge fr
om 1
988
(Inde
x = 1
)
Pipeline Safety: Context Measures
U.S. population
Energy consumption
Pipeline ton-miles
Serious Pipeline Incidents
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
Big Picture
010
20
30
40
50
60
70
80
Serious Pipeline Incidents by Sector (1998-2007)
Hazardous Liquid
Gas Transmission
Gas Distribution
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
010
20
30
40
50
60
70
80
Serious Pipeline Incidents by Sector (1998-2007)
Hazardous Liquid
Gas Transmission
Gas Distribution
Source: DOT/PHMSA Incident Data, as of Dec. 21, 2007
Current Initiatives
• Optional and Required Studies° Corrosionsynthesisreport
° MechanicalDamagesynthesisreport
° CrossBorderstudy
• Regulatory – Recent and Forthcoming° 80%SMYS/MAOP
° DIMP(**)
° ControlRoomManagement
° GasIM7-yearreassessmentinterval(?)
• Non-Regulatory Emphasis° ExcavationDamagePrevention(**)
Regulatory Update
• Distribution Integrity Management° StatusandUpcomingOutreach
Public Website Web-casts of Key Rule Elements – includes AGA** Support for State Seminars Supplement by Attending Other Stakeholders’
Meetings as Necessary
° CommentCoordination° SpecialTopic:EFV’s° PavingtheWay
NAPSR, GPTC Guidance and other supporting standards, Operator/Industry Efforts, data improvement efforts, etc.
° ThreeIssues:inspectionintervals,PTP,data
What Principles Underlie DIMP?
• DIMP requires operators to better understand and mitigate system risks° Know your systems
° Identify the threats
° Rank risks
° Mitigate the risks
• NPRM does not stipulate specific assessment or mitigation actions,
• In combination with the GPTC Guidance – NPRM provides direction to operators and allows the regulator to investigate internal operator risk management practices
NPRM Structure
• Requires risk-based written IM program including the seven elements
• Requires appropriate mitigation measures, including leak management and enhanced damage prevention
• Requires installation of EFVs• Requirements are high-level, performance-
based - Guidance needed for implementation details
Master Meter and LPG Operators
• Smallest operators; truly different• Already treated differently in 192, particularly for
documentation/reporting• Systems cover compact geographic areas and are
relatively less complex• Excavation damage is often under the operator’s
direct control -----------------------
• Not required to evaluate risk or report results• “Checklist” IM program described in Appendix F
Required Elements
Element “Commercial” Operators
Master Meter / LPG
WrittenProgram Required Simple(checklist)
Knowsystem Relevantfactors Location/material
Identifythreats Thoroughanalysis Checklistapproach
Analyzerisk Required Notrequired
Mitigaterisk Required Required
PerformanceMeasures 7plusthreat-specific Leaksbycause
Review/reviseasneeded
Required Required
ReportPerfMeasures 4measures Notrequired
Guidance
• Needed for a high-level performance rule
• GPTC has developed draft guidance° Several GPTC members here today
• APGA is developing more-specific guidance for small operators
Additional Issues
• Allowing alternate time intervals for certain requirements currently in Part 192
• Plastic Pipe failure reporting
• Consideration of compression coupling failures in the threat analysis
• DIMP programs to include a Prevention Through People (PTP) component
Alternate Time Intervals
• Part 192 includes requirements for some actions at set intervals
• Better risk understanding may tell us that some things should be done less often; some more
• Operators will be able to use their risk analyses to seek regulator approval of alternate intervals for current requirements
Plastic Pipe Failure Reporting
• Each operator must report information on each material failure of plastic pipe (including fittings, couplings, valves and joints) no later than 90 days after failure.
• This information must include, location of the failure, nominal pipe size, material type, nature of failure including any contribution of local pipeline environment, pipe manufacturer, lot number and date of manufacture, and other information that can be found in markings on the failed pipe
Reporting Plastic Pipe Failures
• Operators must report plastic pipe failures in 90 days
• Intended to develop information available to all operators
• PHMSA will be discussing needs with industry groups including PPDC – this week in D.C.
• Need to extend to other materials?
Integrity Management Program
Haz. Liquid IMP
Gas Transmission IMP
Prevention Through People“P T P”
Operator Qualification
Control RoomManagement
DamagePrevention
PublicAwareness
Human FactorNTSB Issues
Drug &Alcohol
Processes (QA/QC)
How?
Pipeline System
Gas Distribution IMP
What is affected?
Prevention (Performance) Through People
DIMP Webcast• Webcast Outline (4.3 hours)
1. Introduction2. BaselineandGoals3. ExecutiveSummary4. SystemDescription(Paul Preketes)5. AGFandDIGIT,EarlierRiskDataAnalysis,
PHMSAReporttoCongressonDIMP,Phase1–Organization(Sue Fleck)&Findings,DevelopingRulesGuide
6. RuleContent(majorityofminutes)7. PHMSAandStatePerspective8. GPTCGuidanceandRelationtoNPRM9. SmallOperators10. ImprovementsPanel(Sue Fleck)11. Q&APanel12. NextSteps
Damage Prevention
• Managing the Risks of Excavation Damage° State Damage Prevention Assistance Program
Gap Analysis Guidance Document
State Damage Prevention Program Grant
Getting Started
° Position on Federal Enforcement
° Common Ground Alliance & Regional Partners
° Technology Improvements to One-Call Process
° One-Call Center Board Leadership
° Pipelines and Informed Planning Alliance
° Mechanical Damage Study
° EDP Technology Development / Deployment