1. Ronald Six Senior Utility Consultant Loss Control Division AEGIS Insurance Services, Inc. 201/417-2487 RonaldSix@aegislimited.com Western Regional Gas Conference Western Regional Gas Conference 2007 2007 Effective Leakage Management Effective Leakage Management

2. A E G I S A ssociated E EE E lectric G GG G as I II I nsurance S SS S ervices

3. Utility Mutual Insurance Company (member owned) Formed in 1975 by 22 gas utilities Electric Utilities began joining in 1977 490 members – 95% utilities and related energy AEGIS Background Information

4. Gas leaks are a part of our business and it is how you manage them that depends on whether you are making sound business decisions. Remember, they are not going to fix themselves and they will get bigger.

5. Detect Pinpoint Repair

6. Reasons We Conduct Gas Leakage Surveys Public Safety Federal & state requirements Reduce unaccountable loss Overview of the system Reduce operating costs Public image

7. (a) Each operator of a distribution system shall conduct periodic leakage surveys in accordance with this section. (b) The type and scope of the leakage control survey must be determined by the nature of the operations and the local conditions, but must meet the following minimum requirements: CFR 49 192.723 Distribution System: Leakage Surveys

8. System Review Annual –Business district/Critical Areas –Public buildings Scheduled Rotation –Residential –Steel CP Protected –Plastic pipe –Bare Steel-Unprotected areas

9. Special Surveys Cast iron High leak frequency areas Construction areas Blasting areas Pre-paving Other

10. Surface Sampling Survey Methods Mobil (HFI or OMD) Portable (HFI or Laser) Remember: The above methods are search tools The leak must be verified & classified

11. Equipment Needed To Conduct A Leakage Detection Survey Surface sampling detector (HFI) other approved instruments Combustible gas indicator Probe bar Maps/pipe locator Leakage detection forms Calibration/verification equipment Trained operator

12. Identifying Gas Leaks By Vegetation Damage Visual vegetation damage indications should still be taught as part of the leak survey process. Vegetation is a keen indicator and it is becoming a lost art.

13. Evolution Mobile Leak Detection

14. OMD™ O ptical M ethane D etector

15. Portable Hydrogen Flame Ionization (HFI) Instruments Search tool Visual and audible indication of gas concentrations in ppm Indications must be confirmed with a Combustible Gas Indicator (CGI)

16. Remote Methane Leak Detector Tunable diode laser absorption spectroscopy Tunable diode laser absorption spectroscopy Laser Laser Infrared Infrared Green sight Green sight Methane only Methane only absorbs portion of light absorbs portion of light Ppm-m Ppm-m Range – 100 feet Range – 100 feet Through windows Through windows

17. Are you conducting a “leakage control survey” or a “controlled leakage survey”?

18. Factors To Consider When Conducting The Survey Line pressure Line location Soil moisture Type of cover Wind conditions Instrument Operator High vs. low Maps, pipe locator Wet, dry, frost Paved vs. grass Calm vs. windy Calibrated Observant

19. Surface Sampling Indications Must Be Confirmed No matter the degree of sophistication, all surface sample indications must be confirmed and classified with CGI and probe bar.

20. Audits of Leak Surveys Audits of the leak surveys should be performed to verify that the leaks are being detected. Audits should also include the comparison of the leaks generated by the public vs. leaks detected by the leakage detection survey. It is critical that the survey is detecting all hazardous leaks as well as those of economic importance. Annual checks of transmission line Class Areas, Public Buildings/Critical Areas and Survey Types i.e. mobile vs. portable should be conducted and updated as necessary.

21. GPTC Guidelines Leak Classification The following establishes a criteria by which leakage indications of flammable gas can be graded and controlled. When evaluating any gas leak indication, the initial step is to determine the perimeter of the leak area. When this perimeter extends to a building wall, the investigation should continue into the building.

22. GPTC Guidelines Grade 1 Definition A leak that represents and existing or probable hazard to persons or property, and requires immediate repair or continuous action until the conditions are no longer hazardous.

23. 30% Gas @ Foundation Wall 90% Gas @ Curb Concrete Sidewalk 8” CI UP OLD MAIN STREET #400#402#404

24. 20% Gas In Telephone Manhole 6” Steel UP ASH STREET CURB LINE

25. GPTC Guidelines Grade 2 Definition A leak that is recognized as being non-hazardous at the time of detection, but justifies scheduled repair based on probable future hazard. GPTC rechecked every 6 months.

26. GPTC Guidelines Grade 3 Definition A leak that is non-hazardous at the time of detection and can be reasonably expected to remain non-hazardous. GPTC rechecked once each year.

27. Is not an exact science. It is a developed skill which is learned and perfected through your mistakes and your successes. Pinpointing

28. Centering = Where is the gas? Pinpointing = Where is the leak? The leak must be centered before it is pinpointed

29. S AVE A NOTHER M ISSED E XCAVATION

30. Consistency = Success SAME Exact location of main, services etc. SAME size of test hole (aeration is the key) SAME depth of test hole (must be consistent) SAME location of test holes (same side of main) SAME instrument use (consistency in testing)

31. 8” Steel UP CWP Service Line 40% 35% 45% 0%15% 50% 45%10%0% Maple Street 60% Gas 15% Gas Curb

32. Using The Soil Purger In The Pinpointing Process Purge from a hole where you know that the leak is not Plug holes near purge point Dense soil or moisture – time the purge/purge each hole Use it only when all other methods have failed

33. Audits of Pinpointing & Repair Grade 1 leaks-you must be absolutely sure that the conditions that got you there are no longer present when you leave. Auditing hit to miss ratios i.e. “dry holes”. Are the leaks being pinpointed by a dedicated pinpointing crew or are they being pinpointed by the crew making the repair? Are rechecks of repairs being performed?

34. Odor complaint investigations …begin with a call

35. An odor complaint call should be considered a Grade 1 leak… until proven otherwise.

36. The Key Is Listening Not every call is a gas emergency Listen to the customer and ask questions in order to gather the information needed

37. Where is the odor? How long smelled? How strong is the odor? Can you hear anything? Anyone moved recently? Any plumbing done? Any construction in area? = At gas range vs. throughout = For a week vs. just noticed it = Barely smell vs. making me sick = No vs. hissing sound = No vs. apartment next door moved = No vs. husband just installed range = No vs. backhoe digging out front Is It Static Or Dynamic?

38. Auditing Call Center Programs Are all odor complaints being dispatched immediately? Are they being dispatched to the proper personnel? Are pertinent times i.e. call received, dispatched, arrival, makesafe being recorded and tracked? Is proper information being forwarded to the First Responder?

39. Remember: The Job Is Not Completed Until all paperwork/documentation is completed: –Neatly –Thoroughly –Accurately You may do everything right, but you may be judged by what is or is not documented

40. Our main job is not finding & fixing leaks Our main job is public safety

41. AEGIS Insurance Services, Inc. AEGIS Insurance Services, Inc. Thank You Please visit our website @ aegislink.com