Tags: Community Outreach Mechanical Integrity Process Safety Management Regulation
PHMSA has out for comment, draft document information, that clarifies its jurisdiction in relation to OSHA for Midstream Processing Facilities.
On November 4, 2020, the Pipeline and Hazardous Materials Safety Administration (PHMSA) issued draft guidance on jurisdictional overlap with the Occupational Safety and Health Administration (OSHA) on "Midstream Processing Facilities". The draft notification document was issued to help clear up where PHMSA's jurisdiction ends and OHSA's begins. Up until this announcement, the term "Midstream Processing Facility" has not been defined in any Pipeline Safety Laws or the PHMSA and/or OSHA regulations.
The principal question for companies in these sectors to ponder was whether these facilities fell under the OHSA, Process Safety Management regulation. Without the above definition the confusion has been mainly predicated on in the CFR 1910.119, "Process safety management of highly hazardous chemicals", applicability requirement:
"1910.119(a)
Application.
1910.119(a)(1)
This section applies to the following:
1910.119(a)(1)(i)
A process which involves a chemical at or above the specified threshold quantities listed in appendix A to this section;
1910.119(a)(1)(ii)
A process which involves a Category 1 flammable gas (as defined in 1910.1200(c)) or a flammable liquid with a flashpoint below 100 °F (37.8 °C) on site in one location, in a quantity of 10,000 pounds (4535.9 kg) or more except for:
1910.119(a)(1)(ii)(A)
Hydrocarbon fuels used solely for workplace consumption as a fuel (e.g., propane used for comfort heating, gasoline for vehicle refueling), if such fuels are not a part of a process containing another highly hazardous chemical covered by this standard;
1910.119(a)(1)(ii)(B)
Flammable liquids with a flashpoint below 100 °F (37.8 °C) stored in atmospheric tanks or transferred which are kept below their normal boiling point without benefit of chilling or refrigeration.
1910.119(a)(2)
This section does not apply to:
1910.119(a)(2)(i)
Retail facilities;
1910.119(a)(2)(ii)
Oil or gas well drilling or servicing operations; or,
1910.119(a)(2)(ii)
Normally unoccupied remote facilities."
The case about applicability mainly boils down to the interpretation of three subclauses above:
A company's interpretation of these subclauses and the OSHA and PHMSA regulations requires them to pick which regulation to follow. From the operator's point of view, this creates a possible regulatory liability based on the company's choice or requires the company to try to satisfy both regulations creating confusion and extra cost.
As an acknowledgement of the problem, the year 2014 saw the formation of a "Working Group" whose purpose for "Midstream Processing Facilities" was to:
The "Working Group" found that:
Therefore, they drafted seven frequently asked questions (FAQs) and answers and submitted them to PHMSA. After review, PHSMA has now put out an announcement draft document for comment that contains the FAQs and additional information, such as the definition for "Midstream Processing Facilities":
The clarifications of and the definition for "Midstream Processing Facilities" in the document are:
"For the purposes of this guidance document, a "midstream processing facility" is a processing facility that receives products being transported by PHMSA-jurisdictional pipelines and reinjects those products for continued transportation by pipeline. In other words, a midstream processing facility is a processing facility with piping or storage that is engaged in the transportation of gas or hazardous liquids by pipeline, and is therefore a pipeline facility subject to PHMSA jurisdiction. The pipeline systems within or associated with midstream processing facilities may be subject to regulation by one or more Federal agencies, depending on the facility's purpose and configuration. PHMSA regulates the safety of transportation related pipeline systems associated with midstream processing facilities in 49 CFR parts 190–199, while OSHA regulates safety within midstream processing facilities using the Process Safety Management (PSM) regulations (29 CFR 1910.119)."
The deadline for comments for the draft was January 4, 2021. As Asset Optimization Consultants, Inc. (AOC) is not an operating company, we do not take sides but try to help our clients comply with all federal, state, and local regulations. We believe this draft clarification from PHMSA will help operating company's make decisions about compliance that will make their facilities safer. If you are not aware of this new development, please go to the link above or see the following source or contact us:
Innovative technology that allows quick, efficient extraction of data into a knowledge-centric world
Key parameters and mitigating actions for variables that may dramatically affect the intended design life of your asset
What is Risk Based Inspection?
What if my training needs are not listed here?
What are your goals for RBI? How will you measure your success? How will you sustain that success?
Asset Integrity Management - how you perform at the plant level affects those goals set at the board room
A look at how RBI adds value whether you are just starting out or transitioning from a traditional methodology.
A case study presenting the methods used to calculate qualitative risk for a critical refrigeration system and the results of the assessment.
How RBI, DMR, and IOW programs can be used to manage reliability of Ethane crackers.
The benefits of utilizing risk-based methodologies for the inspection programs of often overlooked utilities systems
A 26-Year-Old Gulf Coast Chemical Plant Saves over $15 Million in Related Inspection Activities.
Our experts consider why organizations implement RBI, common challenges, and strengths of an RBI champion.
Refrigeration system owner/users who are maintaining their assets as prescribed may be unaware of the damage mechanisms that could affect the reliability of their assets and safety of their personnel.
Organizations that have commercial refrigeration facilities need to be aware of new OSHA Process Safety Management (PSM) regulations.
Things are always changing. Including your risk profile.
130,000 BPD Refinery Implements RBMI Program and projects a $63 Million savings over 10 years.
Comments
There are no comments for this article.