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Gas Pipeline Safety and Damage Prevention Moderator: D ANA M URPHY, Commissioner Oklahoma Corporation Commission Panelists: A NNMARIE R OBERTSON, Senior.

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Presentation on theme: "Gas Pipeline Safety and Damage Prevention Moderator: D ANA M URPHY, Commissioner Oklahoma Corporation Commission Panelists: A NNMARIE R OBERTSON, Senior."— Presentation transcript:

1 Gas Pipeline Safety and Damage Prevention Moderator: D ANA M URPHY, Commissioner Oklahoma Corporation Commission Panelists: A NNMARIE R OBERTSON, Senior Program Manager U.S. Department of Transportation and Pipeline and Hazardous Materials Safety Administration D AN T IPTON, Vice President Global Sales, SpreadBoss, a Quanta Services Company M IKE M ARRERO, Regional Director United States Infrastructure Corporation (USIC) R ONALD A. B RADLEY, Vice President PECO Energy Company J OHN T. C OLGAN, Commissioner Illinois Commerce Commission MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING

2 U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING O PENING C OMMENTS BY : A NNMARIE R OBERTSON Senior Program Manager U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration Gas Pipeline Safety and Damage Prevention June 3, 2014

3 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

4 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% s2% s3%4%6%3% 1940s8%7%2% 1950s20%22%10%8% 1960s21%23%17%13% 1970s16%11%12%14% 1980s9%10%14%17% 1990s11% 21%22% 2000s8%10%18%21% 4 54% 44% 58% 42% 47% 53% 40% 60%

5 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

6 U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration A Serious Risk: Excavation Damage 6

7 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 ) –Removing exemptions from state laws (2011 Reauthorization) –Raising awareness of 811 –Gathering, analyzing and understanding data –Transparency 7

8 MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING Gas Pipeline Safety and Damage Prevention June 3, 2014 O PENING C OMMENTS BY : D AN T IPTON Vice President Global Sales SpreadBoss, a Quanta Services Company

9 The Smart Way to Manage, Verify & Document Your Pipe & Materials Inventory Pipeline & Materials Life-Cycle Integrity Management System 9

10 “Traceable, verifiable and accurate recordkeeping… is crucial,” —PHMSA Administrator Cynthia Quarterman 10

11 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

12 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 12

13 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 13

14 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

15 15 MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING Gas Pipeline Safety and Damage Prevention June 3, 2014 O PENING C OMMENTS BY : M IKE M ARRERO Regional Director United States Infrastructure Corporation (USIC)

16 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

17 2X improvement Since ‘08 17 Training Partner vs Vendor Big Data - Statistical Analysis Risk Algorithms Quality

18 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 sufficient Damage Prevention Source: CGA 2012 DIRT Report

19 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

20 Ticket Risk Assessment (TRA) - Algorithm Data Visualization Sub-surface Utility Engineering (SUE) Proactive Response Notify Utility if we see high risk Act for Utility if requested Gas pipeline Watch & Protect GPS point collection Unlocatable - Response and Repair Vac/Ex – Depth and Physical Verification Meter disconnect / reconnect 20 What’s New USIC will pilot using CNG in our Fleet of 5,000 vehicles

21 MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING Gas Pipeline Safety and Damage Prevention June 3, 2014 O PENING C OMMENTS BY : R ONALD A. B RADLEY Vice President PECO Energy Company

22 PECO, An Exelon Company 22 Gas Delivery Overview Key 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,

23 Trends in our Territory 23 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

24 24 Locating 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

25 25 Locating 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

26 O PENING C OMMENTS BY : C OMMISSIONER J OHN T. C OLGAN Illinois Commerce Commission 26 MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING Gas Pipeline Safety and Damage Prevention June 3, 2014

27 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. 27

28 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 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

29 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. 29

30 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. 30

31 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. 31

32 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. 32

33 MID-AMERICA REGULATORY CONFERENCE 2014 ANNUAL MEETING Gas Pipeline Safety and Damage Prevention Moderator: D ANA M URPHY, Commissioner Oklahoma Corporation Commission Panelists: A NNMARIE R OBERTSON, Senior Program Manager U.S. Department of Transportation and Pipeline and Hazardous Materials Safety Administration Panelists Con’t: D AN T IPTON, Vice President Global Sales SpreadBoss, A Quanta Services Company M IKE M ARRERO, Regional Director United States Infrastructure Corporation (USIC) R ONALD A. B RADLEY, Vice President PECO Energy Company J OHN T. C OLGAN, Commissioner Illinois Commerce Commission


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