gas pipeline safety and damage prevention moderator: dana murphy , commissioner

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Gas Pipeline Safety and Damage Prevention Moderator: DANA MURPHY, Commissioner Oklahoma Corporation Commission Panelists: ANNMARIE ROBERTSON, Senior Program Manager U.S. Department of Transportation and Pipeline and Hazardous Materials Safety Administration DAN TIPTON, Vice President Global Sales, SpreadBoss, a Quanta Services Company MIKE MARRERO, Regional Director United States Infrastructure Corporation (USIC) MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING

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MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING. Gas Pipeline Safety and Damage Prevention Moderator: Dana Murphy , Commissioner Oklahoma Corporation Commission Panelists: Annmarie Robertson , Senior Program Manager - PowerPoint PPT Presentation

TRANSCRIPT

Page 1: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Gas Pipeline Safety and Damage Prevention Moderator: DANA MURPHY, Commissioner

Oklahoma Corporation Commission Panelists: ANNMARIE ROBERTSON, Senior Program Manager

U.S. Department of Transportation and Pipeline and Hazardous Materials Safety Administration

DAN TIPTON, Vice President Global Sales,SpreadBoss, a Quanta Services Company

MIKE MARRERO, Regional DirectorUnited States Infrastructure Corporation (USIC)

RONALD A. BRADLEY, Vice PresidentPECO Energy Company

JOHN T. COLGAN, CommissionerIllinois Commerce Commission

MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

Page 2: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

OPENING COMMENTS BY: ANNMARIE ROBERTSON Senior Program Manager

U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration

- 2 -

Gas Pipeline Safety and Damage PreventionJune 3, 2014

Page 3: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

Background – DOT/PHMSA Message to States

• Call to Action: Secretary of Transportation and PHMSA encourage programs to accelerate the repair, rehabilitation, and replacement of the highest-risk pipeline infrastructure, including – Cast iron mains

– 1960 – 1980 plastic pipe

– Mechanical couplings used for joining and pressure-sealing pipe

– Unprotected bare steel

– Copper pipe

– Older vulnerable pipe, pipe with inadequate records to verify integrity

• Additional messages – safe digging, strong damage prevention, land use around pipelines must be addressed

3

Page 4: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

Aging Infrastructure (% by Decade in USA)

Decade Hazardous Liquid

Gas Transmission

Gas Distribution Main Service

Unknown & <1920 2% ---

1920s 2% 2% --- ---

1930s 3% 4% 6% 3%

1940s 8% 7% 2% 2%

1950s 20% 22% 10% 8%

1960s 21% 23% 17% 13%

1970s 16% 11% 12% 14%

1980s 9% 10% 14% 17%

1990s 11% 11% 21% 22%

2000s 8% 10% 18% 21%4

54%

44%

58%

42%

47%

53%

40%

60%

Page 5: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

Incidents, Inspection results, results driving changes

• Changing environment:– Growing public intolerance

– Vastly increased media attention

– Social media (without editorial control)

– Energy pipelines have graduated to the national stage, many times for the wrong reasons. Demand for accountability and improved safety increasing.

• Moving from a “checkbox” mentality to understanding the health of our pipeline systems by analyzing and understanding data and information and promptly acting to reduce risks. Safety Culture, accountability at leadership level within organization is essential.

5

Page 6: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

A Serious Risk: Excavation Damage

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Page 7: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

U.S. Department of Transportation

Pipeline and Hazardous Materials Safety Administration

Addressing Excavation Damage

• A shared responsibility – Nine Elements are guiding principals

• Multi-faceted

• PHMSA’s Current areas of emphasis include:

– Fair and balanced enforcement (Rulemaking PHMSA-2009-0192-0201 )

– Removing exemptions from state laws (2011 Reauthorization)

– Raising awareness of 811

– Gathering, analyzing and understanding data

– Transparency

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Page 8: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

Gas Pipeline Safety and Damage PreventionJune 3, 2014

OPENING COMMENTS BY: DAN TIPTON

Vice President Global SalesSpreadBoss, a Quanta Services Company

Page 9: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

The Smart Way to Manage, Verify & Document Your Pipe & Materials

Inventory

Pipeline & Materials Life-Cycle Integrity Management System

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Page 10: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

“Traceable, verifiable and accurate recordkeeping…is crucial,”

—PHMSA Administrator Cynthia Quarterman

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Page 11: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

What is SpreadBoss? It’s a revolutionary software and real-time pipeline and materials

tracking, tracing & documentation system that sets a new standard for verification, traceability and compliance

Utilizes the latest bar code technology, RFID or GPS application depending on specific need

Can be used for pipe tracking, tracing & documentation as well as for materials inventory & control (warehousing functions)

Fully compliant with all aspects of capture, storage, retrieval, automation and secure access of all data and documentation via a single database accessed in real time by multiple users

Has been successfully used within the pipeline and utilities markets for over 3 years with positive results 11

Page 12: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

The Need for Traceability and Documenting

Government regulations (Pipeline Safety Act) creating major challenges regarding how to effectively manage regulated documents

However, only about half of industry participants believe they have an effective document management system

New requirements for pipeline operators to provide geospatial and technical data for pipeline components and verify records to ensure they accurately reflect physical and operational characteristics to confirm established maximum allowable operating pressures (MAOPs)

Comes one year after the NTSB issued urgent safety recommendations that pipeline operators use “traceable, verifiable, and complete” records for determining valid MAOPs

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Page 13: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Looking Backward…& Forward

Operators may need backward traceability to identify when a suspect component was installed, inspected, and maintained

Also critical is where and how it was manufactured, tested, received, and stored before installation

Current regulations focus on record keeping for testing, operations, maintenance, and integrity management—but not for component traceability

Operators are now looking at forward traceability to identify all locations where material from the same batch as a “suspect” component is installed or in inventory

Additionally, operators are becoming more proactive in tracing specific pipeline components using specific “DNA” such as heat numbers, mill reports, diameter, coating type etc., to pinpoint the original source of these components, thus providing a complete “end to end” traceability and documentation audit trail for all pipe and materials

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Page 14: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

The SpreadBoss Advantage

TRACEABILITY: See exact location of pipe or materials by different “DNA” criteria whether in transit, storage or in the field

VERIFICATION: Customer knows with 100% certainty the pipe ordered is the pipe received

COMPLIANCE: Checking, locating and documenting pipe for regulation & compliance purposes is now easy & effortless

DOCUMENTATION: Its stand-alone electronic document and image repository features Optical Character Recognition (OCR) technology that captures paper-based data for secure, verified legacy storage, rapid template field searches and records retrieval, and export of original project records 14

Page 15: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

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MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

Gas Pipeline Safety and Damage PreventionJune 3, 2014

OPENING COMMENTS BY:MIKE MARRERO Regional Director

United States Infrastructure Corporation (USIC)

Page 16: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Company Profile

Locating since 1978 Acquired SM&P and Central Locating Service (CLS) ‘08 Acquired Consolidated Utilities Services (CUS) in ’11 Acquired Translore in ‘14 – software, mapping, analytic investment 50 Million locates/yr in 31 states and Alberta 900 utility and telecom service contracts

20% Gas; 10 Million Gas Locates/yr 16

HQ (104)7 Regions Operations

52 Districts Human Resources400 Supervisors Technology IT/GIS

5000 Locators Dispatch45 Trainers Business Development

104 Field Support Positions Fleet, Accounting

FIELD (5600)

We All Own Safety

Page 17: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

2X improvement

Since ‘08

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• Training • Partner vs Vendor• Big Data - Statistical Analysis• Risk Algorithms

Quality

0

0.1

0.2

0.3

0.4

0.5

0.6

2008 2009 2010 2011 2012 2013

Dam

age

Rate

per

1,0

00

Page 18: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Driving to reduce all damages; Not just Locating Practices 18

USIC’s Goal Zero Damage Continuous improvement; Data Driven Historically, we have been focused on 17% of the opportunity – Locating

practices not sufficientLocator’s FaultAve: 12%

Damage Prevention

Source: CGA 2012 DIRT Report

Page 19: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Ticket Volume – Volatility

• By Season• By Day of Week

Variation in Regulations by State

• White Lining – (No requirement to strict)

• Tolerance Zone (12, 18, 24 , 36 inches)

• Life of Ticket (10, 20, 30 days, forever)

• Length of Ticket (500 feet to Unlimited – Entire highways)

• Excavator wait time (48, 72, 120 Hours)

• Exemptions (15 versions)

• Enforcement - Varies Widely

CGA Participation Include All Stakeholders

CGA Publishes Best Practices 19

Challenges

0

20

40

60

80

100

120

140

160Tickets Received Per Day for Muncie Area

Page 20: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Ticket Risk Assessment (TRA) - AlgorithmData VisualizationSub-surface Utility Engineering (SUE)Proactive Response

Notify Utility if we see high risk

Act for Utility if requested

Gas pipeline Watch & Protect GPS point collectionUnlocatable - Response and RepairVac/Ex – Depth and Physical VerificationMeter disconnect / reconnect

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What’s New

USIC will pilot using CNG in our Fleet of 5,000 vehicles

Page 21: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

Gas Pipeline Safety and Damage PreventionJune 3, 2014

OPENING COMMENTS BY: RONALD A. BRADLEY

Vice PresidentPECO Energy Company

Page 22: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

PECO, An Exelon Company

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Gas Delivery OverviewKey Data:• Area (gas franchise): 1,888

square miles

• Gas Customers: 502,000

• 6,745 miles of distribution main

• 31 miles of transmission pipeline

• Peak System Sendout: 809,487 Dth (759,550 Mscf) on January 7, 2014

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Page 23: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Trends in our Territory

23

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Y201

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Y201

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Y201

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Y201

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1

2

3

4

5

6

7

Declining Trend in UG Damages

Hits

/100

0 tic

kets

Janu

ary

Febr

uary

March

April

MayJu

ne July

Augus

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Sept

embe

r

Octob

er

Novem

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Decem

ber

02000400060008000

10000120001400016000

Monthly Volume of Tickets

Tic

ket

Requests

• The industry is improving relative to Underground Gas Damages

• PECO has seen steady improvement

• Contractor awareness is improving

• Challenges with locating early plastic infrastructure

• In our territory, there is a seasonal nature to the flow if ticket requests.

• Volume of calls is lower in winter months and escalates between April and October

Page 24: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

24

24Locating Technologies

Locating Tools ( Currently used at PECO )

• Public and Contractor Awareness

• Gas Line Tracer (Fish wire)

• Electro –Magnetic Locators

– Metrotech / Radio Detection (RD)

• Marker Balls / Marker Ball Locator

• Underground Utility Verification

– Acoustic Sound Locator ( Gas Tracker )

– Ground Penetrating Radar (variety)

– Fiber Optic Camera Insertion

Page 25: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

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25Locating Technologies - Future

Live Line Locator

• Locate plastic mains & services without customer interruptions

Acoustic Pipe Locator

• State of the art acoustic technology

• Does not have to induce signal into gas stream

GIS System

• GPS Coordinate tracking

Data Options

Page 26: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

OPENING COMMENTS BY:COMMISSIONER JOHN T. COLGAN

Illinois Commerce Commission

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MID-AMERICA REGULATORY CONFERENCE

2014 ANNUAL MEETING

Gas Pipeline Safety and Damage PreventionJune 3, 2014

Page 27: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Densely Populated Areas• Enhanced damage prevention activities are necessary

to protect life and property in densely populated areas.

• Urban sprawl results in construction activities near pipelines located in previously unpopulated areas, increasing the risk of third party damage and increasing the consequences associated with those damages.

• Local ordinances may prohibit certain types of markings that can be applied to identify the location of the pipelines. Upscale communities may prohibit the use of indelible paint and permanent pipeline markers.

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Page 28: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Public Awareness Campaigns• An effective public awareness campaign is essential

to an effective damage prevention program. Ensuring that all stakeholders are aware of their role regarding damage prevention is key to the success of the program.

• The Code of Federal Regulations (“CFR”) Part 192.616 requires operators of natural gas pipeline facilities to develop and implement a continuing education program that follows guidance provided in the American Petroleum Institute’s (“API”) Recommended Practice (“RP”) 1162 which is incorporate by reference to the CFR Part 192.

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Page 29: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Public Awareness Campaigns• The operators programs must include provisions to

educate the public, appropriate government organizations, and persons engage in excavation related activities. The information must include: – (1) use of a one-call notification system, – (2) possible hazards associated with unintended

releases from a gas pipeline, – (3) physical indicators that a release has occurred, – (4) steps to be taken to protect the public and, – (5) procedures for reporting such an event.

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Page 30: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Watch and Protect Programs• Watch and Protect programs are implemented to protect critical

infrastructure. One example of such a program includes notification of specific personnel within the organization when notification of planned excavation activity is provided to the utility operator.

• When planned excavation may pose a potential threat to critical infrastructure, such as transmission pipelines, a member of the watch and protect team is dispatched to ensure that the excavator is aware of the pipeline prior to excavating.

• The direct observation results in the excavator using digging methods, such a hand-digging to ensure that no damage occurs.

• The direct observation also allows for inspection of the pipeline for damages during the excavation and after the work has been completed.

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Page 31: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Infrastructure Replacement• Replacement of piping that may be easily damaged

during excavation, such a vintage cast iron, or piping that may be difficult to locate, such as compression coupled steel, can reduce the potential threats posed by excavation.

• To facilitate the replacement, the IL General Assembly passed SB 2266 – Allows for accelerated rate recovery of vintage, or difficult to locate

pipeline infrastructure. – Eligible vintage pipe materials include: cast iron, wrought iron,

ductile iron, unprotected coated steel, unprotected bare steel, mechanically coupled steel, copper and vintage plastics that may be susceptible to failure or difficult to locate using radio frequency locating equipment.

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Page 32: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

Rate Recovery Reporting Requirements • Reporting requirements have been included in the rate

recovery mechanism to allow staff to determine if the replacement is actually resulting in reduced risk.

• The utilities are required to submit annual reports associated with risk reduction metrics such as: the number of emergency calls and response times, the number of difficult to locate service lines replaced, miles of vintage material main replaced, number of vintage material service lines replaced, and third party damages to facilities.

• If the operator is targeting the appropriate facilities, the reporting should demonstrate a reduction of leaks, a reduction in emergency calls due failures and a reduction of damages to the target group pipeline materials.

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Page 33: Gas Pipeline Safety and Damage Prevention      Moderator:   Dana Murphy ,  Commissioner

MID-AMERICA REGULATORY CONFERENCE2014 ANNUAL MEETING

Gas Pipeline Safety and Damage Prevention

Moderator: DANA MURPHY, CommissionerOklahoma Corporation CommissionEmail: [email protected]

Panelists: ANNMARIE ROBERTSON, Senior Program ManagerU.S. Department of Transportation and Pipeline and Hazardous Materials Safety AdministrationEmail: [email protected]

Panelists Con’t: DAN TIPTON, Vice President Global SalesSpreadBoss, A Quanta Services CompanyEmail: [email protected] MARRERO, Regional DirectorUnited States Infrastructure Corporation (USIC)Email: [email protected] A. BRADLEY, Vice PresidentPECO Energy CompanyEmail: [email protected] T. COLGAN, CommissionerIllinois Commerce CommissionEmail: [email protected]