PHMSA’s Inspection and Enforcement Priorities
Today PHMSA released a memo to its pipeline safety staff outlining its inspection and enforcement priorities. These priorities were developed through analysis of incident and accident data, inspection and investigation findings, and input from staff and other stakeholders. The memo also encourages state agencies to follow these priorities to the same extent as PHMSA inspectors. The memo tells PHMSA staff to focus on the following five areas:
Incidents and Accidents – Focusing on regulations that prevent/minimize incidents and accidents like Integrity Management Programs (IMPs) for gas transmission and distribution, compliance with incident and accident reporting, and failure investigations. This also includes focusing on new regulations arising from significant incidents and accidents including rules regarding rupture mitigation valves, verification of pipeline materials, reconfirmation of Maximum Allowable Operating Pressure (MAOP), and Underground Natural Gas Storage (UNGS).
High and Moderate Consequence Areas – Focusing on IMP for gas transmission and distribution as well as IMP for hazardous liquids and CO2 lines. This also includes focusing on Moderate Consequence Area (MCA) requirements for gas, Type A and C gas gathering lines with buildings intended for human occupancy in the potential impact radius, and regulations associated with liquid non-rural and regulated rural gathering lines.
Control Room Management and Leak Detection – Focusing on Control Room Management and Leak Detection requirements for gas and liquid, specifically written procedures for operations, maintenance, and emergencies. Especially focusing on restoring operations after an incident or accident, including cyber-related events.
Damage Prevention – Focusing on the effectiveness of damage prevention programs specifically on the integration of information from various sources as well as effectiveness of the plan and targeted operator outreach to areas with high third-party damage rates
Transactions and Due Diligence – Focusing on the transfer of compliance records and bringing awareness to integrity issues and deadlines when pipelines are bought and sold between operators. PHMSA notes that any open enforcement orders remain applicable to the asset and therefore transfer to the buyers in the transaction process. Also, PHMSA should ensure that procedures are integrated, and that transactions are reported in a timely manner.
The memo also encourages inspectors to limit their inspection, investigation, and enforcement activities to matters “that are clearly subject to PHMSA’s jurisdiction under the [Pipeline Safety Act] PSA and Federal pipeline safety standards without relying on unduly broad, novel, or strained applications of the law or regulations.”
It is unclear what concrete steps, targeted inspections, or other activities will result from this memo. Elemental will continue to monitor PHMSA activities and publications to determine how operators ought to proceed.
Contact Elemental Compliance for assistance with inspection strategy going forward, questions on this memo, and to keep your pipeline safety programs up to speed with the rapidly changing regulatory landscape. Also consider signing up for our Regulatory Compliance Newsletter on our website where we provide real time updates on PHMSA and state pipeline safety activities straight to your email. Sign up at https://www.elementalcompliance.com/about.