psm auditing (presentation)

Process Safety ManagementProcess Safety ManagementIntegrating Process Safety into the Santos EHS

Management System2008 National Conference on Major Hazard Facilities

March 2008

Andrew Antony

Manager EHS & Sustainability

2.

4 key stages

• Establishing the right platform

• Defining new standards

• Integrating process safety

• Auditing and monitoring performance

Over the past 5 years Santos has been establishing a process safety management system….

Process Safety ManagementProcess Safety Management

…within a framework that manages environment, health and safety in a consistent manner across the company

3.

2005 2006 2007

Whole of Plant Risk Assessments

Benchmarking

Asset Integrity Management System

PSM standards

Training

Audit program

Process Hazard Analysis

Appointment Lloyds Register

Process safety capability has been improving over time…

…which was formalised through a revision to EHSMS

Santos Process Safety JourneySantos Process Safety Journey

20082002-2004

Moomba Integrity Review

Operations Excellence Forum Established

Procedures Upgrade Appointment

PSM leader & Principal Engineer

4.

A simple definition….A simple definition….

•PSM is used to manage major incident risks

“The application of management systems for the identification, understanding, and control of process

hazards to prevent process related injuries and incidents.”

(CCPS)

5.

4 key stages






6.

• Safety

• Health

• Environment

• Cultural Heritage

• Greenhouse

• Sustainability

• Security

Environment, Health & SafetyEnvironment, Health & SafetySantos has an integrated approach to manage EHS…

….which provides guidance to all employees & contractors

Procedures

Tools, guides & practices

Management Standards

Policy

EHS Hazard standards

Site Procedures

EHSMS assessment

program

7.

Safety SystemsSafety SystemsImplementation of the EHS management system…..

…has delivered consistent, effective safety approaches across all sites and operations

• Annual improvement across all sites – core systems in place

• Most sites now within the continuous improvement zone

• Moving to audits of effectiveness

• Key focus areas – contractor and risk management

EHSMS Management Standard Assessments

0

20

40

60

80

100

Port Bonython

Ballera Plant

Moomba Plant

Eastern QueeslandMereenie

Production CentralD&PE

Common Processes

Mutineer ExeterFairview

Indonesia USA

EHS & Ops Support

Patricia Baleen(%

)

2003 2004 2005 2006 2007

Continuous Improvement Zone

Baseline in 2006

8.

Personnel SafetyPersonnel SafetyDownward trend in injury rates..…

Total Recordable Case Frequency Rate

0

4

8

12

16

20

98 99 00 01 02 03 04 05 06 07

Santos

Key Programs

• Safety leadership & expectations

• Back to basics skills

• Hand & finger injury program

• Hazard awareness skills

• Health & Wellbeing – Drug & Alcohol testing

• Contractor management

• Driving safety

9.

Personnel safetyPersonnel safety

Personnel Safety Hazards & Behaviours

Fatalities

Recordable Cases

First aid cases

Near Misses

• Personnel Safety • low consequence,

• high frequency

• Personnel Safety • low consequence,

• high frequency

10.

Personnel Safety Hazards & Behaviours

Fatalities

Recordable Cases

First aid cases

Near Misses

Process Safety Hazards & Behaviours

Process Safety Exceptions

Loss of containment

High ImpactIncidents

Safety Safety –– Personnel & ProcessPersonnel & Process

Personnel Safety low consequence,high frequency

Personnel Safety low consequence,high frequency

The focus of process safety is to establish systems, standards and behaviours that will prevent catastrophic events

Process Safetyhigh consequence,

low frequency

Process Safetyhigh consequence,

low frequency

Process safety

Centres around loss of containment of hydrocarbons

Has a potential order of magnitude higher consequence than personnel safety incidents

11.

4 key stages






12.

New StandardsNew StandardsProcess safety has formalised existing practices and established new standards….

…..to reduce the risk of loss of containment from plant integrity or system failure resulting in serious injuries or plant damage

Procedures



Policy


Assessment/ Audit

EHSMS• Design & construction

• Hazard analysis

• Integrity

• Maintenance

• Protection Systems

• Procedures & practices

• Fire risk management

13.

“Layers of protection” concept“Layers of protection” concept

Design Basis

Design & Construction

Pre Start-up Review

Operating Procedures & Safety Practices

Maintenance

Integrity Management

Ignition ControlCritical Protection

Systems

Training andCompetency

Risk Assessments

Management System

Management ofChange

Process HazardAnalysis

SAFEOPERATION

MAJORINCIDENT

14.

New StandardsNew Standards14 new standards…..

• Operations Integrity• Design Basis – Facility and Equipment• Facilities Design and Construction• Pre Start-up EHS Review• Structural Integrity• Mechanical Integrity• Ignition Control• Critical Protection Systems• Operating Procedures and Safe Practices• Maintenance• Fire Risk Management• Decommissioning and Abandonment• Management of Personnel Change

15.

4 key stages






16.

IntegrationIntegration

Santos Environment Health and Safety Management System

Process Safety Standards

Health and Safety Standards

Environment Standards

Common EHSMS Standards

New Standards

Amended Standards

17.

IntegrationIntegration17 amended standards….• Legal & Other Obligations• EHS Objectives, Targets & Improvement Plans• Responsibility & Accountability• Training & Competency• Consultation and Communication• Document & Records Management• Hazard Identification, Risk Assessment and Control + Hazard Studies• Contractor and Supplier Management• Operated by Others• Management of Change (MOC)• Acquisition and Divestment of Assets• Emergency Preparedness• Monitoring, Management & Reporting• Incident Investigation • Management System Audit and Assessment• Management Review

18.

2005 2006 2007

Whole of Plant Risk Assessments

Benchmarking

Asset Integrity Management System

PSM standards

Training

Audit program

Process Hazard Analysis

Appointment Lloyds Register

Process safety capability has been improving over time…

…which will be formalised through a revision to EHSMS

Santos Process Safety JourneySantos Process Safety Journey

20082002-2004

Moomba Integrity Review

Operations Excellence Forum Established

Procedures Upgrade Appointment

PSM leader & Principal Engineer

EHSMS Revision

19.

4 key stages




• Auditing & Monitoring performance


20.

AuditingAuditing

…..which cover all EHS areas including process safety

Procedures



Policy


Assessment/ Audit

EHSMS

Santos is currently changing from assessments to audits…….

• Detailed audit protocols

• Audits typically 2-3 weeks

• Audit teams typically 5-6 people covering…

- Process safety

- Personnel safety & health

- Environment

• Moved away from scoring

• Now identify strengths and non conformances

21.

Loss of containment from plant integrity or system failure resulting in a fatality

Loss of containment from plant integrity or system failure resulting in multiple injuries, hospitalisation or significant plant damage

Loss of containment with potential to cause multiple injuries, hospitalisation or significant plant damage

Minor process safety breach, including exceedence of safe operating envelope for temperature, pressure, corrosion or process chemistry, or a critical operating parameter alarm

Significant process safety breach, involving loss of a layer of protection, including loss of mechanical integrity, failure of shutdown system or critical operating limit exceedence

DESCRIPTORS

Fatality

High Impact

Incident

Loss of Containment

Process Safety Exception


Reporting Process Safety EventsReporting Process Safety Events

22.

Reporting Process Safety EventsReporting Process Safety Events

Fatality

High Impact

Incident

Loss of Containment

Process Safety Exception


1. Large release2. Widespread release3. Release requiring site

evacuation

1. Any crack, pinhole, etc, in process piping, leaking or not

2. Ignition sources created (eg, fire, electrical, pyrophric, smoke, etc)

3. Non-compliance to applicable standards (Santos, Australian, International)

4. Permit to work (PTW) breach5. Permit to work (PTW) failure6. Unexpected extreme corrosion7. Valve left open (open port)8. Changes without management

of change (MOC)9. Automatic detection/ protection

system de-activated

1. Permit to work (PTW) breach2. Incorrect tagging3. Inadequate blinds list4. Inadequate critical drawing5. Undesirable and frequent PSV

operation6. Inaccurate or delayed response of

a primary response system7. Changes without management of

change (MOC)8. Non-conformance to standards

23.

Root Case Analysis TrendingRoot Case Analysis Trending

• Hazard & Risk Analysis• Plant Commissioning• Permit to Work• Fire Protection• Management of Change• Operating Procedures• Training & Competency• Plant Design• Inspection & Testing• Maintenance Outcomes

Santos trends process safety events using the following list of controls which appear common across most industry…….

24.

Monthly ReportsMonthly Reports

Process Safety Exceptions by Category - 2007 YTD

22%

14%

20%

11%

12%

9%

5%4% 2%1%

Maintenance Outcomes

Inspection & Testing

Plant Design

Training/Competency

Operating Procedures

Management of Change

Fire Protection

Permit to Work

Commissioning

Hazard & Risk Analysis

Process Safety Exceptions by Site

05

1015202530

Moomba P lantMoomba FieldDullin

ga ri Field

Tirrawarra

FieldBallera Plant

SW Q Field Production

MereenieFairv

iewLytto

n Terminal

Wa llumbilla & SSW ..

Port Bonython

Mutine er E

xe terOyong

Process Safety Exceptions by Category by Month 2007

0

5

10

15

20

25

Jan Feb March April May


Commissioning

Permit to Work

Fire Protection



Training/Competency

Plant Design



Process Safety Loss of Containment Incidents by Category 2007

0

1

2

3

4

5

Jan Feb March April May


Commissioning

Permit to Work

Fire Protection



Training/Competency

Plant Design



Monthly charts have triggered improved reporting…….

25.

BenefitsBenefits• Process Safety is vital part of the on-going management

of Santos facilities and operations

• Process Safety is now integrated into the EHSMS

• For Santos this will mean

- Specific management of process safety risks

- Establishment of new performance indicators to monitor the ongoing management of PSM risks

- Improve definition of specific process safety responsibilities for staff

• This will result in

- Reduced process safety exceptions

- Reduced loss of containment

- Improved management of process safety issues

psm auditing (presentation)

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