Regulators use of standards

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Regulators use of standards

• Neftegazstandart conference,
• 9-11 September 2009, Kazan
• Alf Reidar Johansen
• OGP Standards Manager

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Introduction

• This presentation reflects the current situation
  of national regulators' reference and use of
  standards in their regulatory documents.
• Particular focus on offshore petroleum industry
  and standards for materials, equipment, systems
  and structures.
• This presentation is based on a draft OGP report
  that analyzes the documents prepared by the
  regulators themselves.
• ) Assumed to be published fall 2009 and freely
  available at www.ogp.org.uk.

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Standards place in the package
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Regulators covered

• Canada, represented by
• Canadian Nova Scotia Offshore Petroleum Board
  (CNSOPB)
• Canadian Newfoundland Offshore Petroleum Board
  (CNOPB)
• Danish Energy Agency (DEA) Denmark
• Department of Labour (DoL), New Zealand
• Ministero dello Sviluppo Economico (MES), Italy
• National Agency of Petroleum, Natural Gas and
  Biofuels (ANP), Brazil
• National Offshore Petroleum Safety Authority
  (NOPSA), Australia
• Oil Industry Safety Directorate (OISD), India
• Petroleum Safety Authority (PSA), Norway
• State Supervision of Mines (SODM), The
  Netherlands
• UK Health and Safety Executive (HSE), UK
• United States represented by
• US Coast Guard (USCG)
• US Minerals Management Service (US MMS).

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Areas examined
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Purpose of OGP Report

• Provide for better understanding of use of
  national, regional, international and industry
  standards in the regulatory documents
• provide a good basis for OGP interactions with
  the relevant regulators and in particular the IRF
• provide relevant background material for the
  prioritization of international standards work
• provide a better basis for the evaluation of
  OGPs position on development and use of
  international standards. Ref. OGP Report No. 381,
  April 2007
• provide a benchmark on regulators' use of
  standards.

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Numerous types of regulatory documents

• Acts
• Law
• Decree
• Regulations
• Executive orders
• Directives
• Amendments to Acts and Regulations

• Guidelines
• Management practices
• Standards
• Rules
• Guidance Notes
• Code of Practices
• Memoranda
• Interpretations.

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Regulators references to standards
1.348 references in total
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Summary of references by Standards
Development Organisations
NORSOK
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Summary of references by regulators analyzed

• 1.348 references to standards in total
• 1.142 of these references are to different,
  individual standard titles.
• From more than 60 different standards development
  organisations around the globe.
• Of the 1.142 different standards, as many as 989
  or 87 are referenced by one regulator only.
• Only 13 of the standards to be referenced by two
  or more regulators.
• Note Russia not included and China has no
  specific references to standards in their
  regulatory documents.

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Number of standards referenced by individual
regulator
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Category of standards referenced by individual
regulator
13
Standards mostly referenced

• API Spec 6A Wellhead and Christmas Tree
  Equipment
• IMO Mobile Offshore Drilling Units (MODU) Code
• API RP 14B Subsurface Safety Valve Systems
• API Spec 17J Unbonded Flexible Pipe
• IEC 60331-11 Fire resisting characteristics of
  electric cables
• API RP 14C Basic Surface Safety Systems
• API RP 521 Pressure-Relieving and Depressuring
  Systems
• API Spec 14A Subsurface safety valves
• NFPA 13 Installation of sprinkler systems.
• ANSI/ASME VIII-1 Pressure Vessels
• NACE MR 01-75 Standard Material Requirements,
  Metals for Sulfide Stress Cracking and Stress
  Corrosion Cracking Resistance in Sour Oilfield
  Environments
• ) also available as ISO/TC 67 standard

By 5
By 4 regulators
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Duplicating standards for pipelines
transportation systems

• ANSI/ASME B31.4 Liquid Transportation Systems for
  Hydrocarbons
• ANSI/ASME B31.8 Gas Transmission and Distribution
  Piping Systems
• API RP 1102 Pipelines Crossing Railroads and
  Highways
• API RP 1111 Offshore Hydrocarbon Pipelines
• CAN/CSA-Z184-92, Gas Pipeline Systems
• CAN/CSA-Z187-M87 Offshore Pipelines (replaced by
  Z662-07)
• DNV OS-F101 Submarine Pipeline Systems
• EN 14161 Pipeline Transportation Systems
  (Adoption of ISO 13623)
• ISO 13623 Pipeline transportation systems
• NEN 3650 Requirements for pipeline systems
• NZS 5223 High Pressure Gas and Petroleum Liquids
  Pipelines
• PD 8010-2 Code of practice for pipelines Subsea
  pipelines

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Country of origin of standards referenced
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Region of origin of referenced standards
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Oil gas industry can influence
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Summary so far

• References to industry standards (44) dominates,
  then to national standards (35) and finally
  international standards (21).
• Regional origin of standards is 40 from SDOs in
  NS America, 24 from Europe, 21 are
  international standards and 15 emanates from
  SDOs in India and Australasia.
• API standards are dominating with 225 references,
  including 49 API MPMS standards.
• ISO has delivered 152 of the standards, including
  59 from the work of ISO/TC 67.

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Sharing and single references Canada and US
regulators
20
Sharing and single references Denmark, Norway
and UK regulators
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Other observations

• Many standards referenced cover the same subject
  and duplicate each other.
• E.g. offshore structures and pipelines.
• Mix of references to dated (e.g. Norway, US) and
  undated revisions.
• Referenced standards appear to be voluntary in
  most of the regulatory regimes.
• Other technical solutions can be opted for
  provided proof of compliance can be documented.

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Conclusions

• Standards play an important role in the
  regulators definition of the desired safety level
  of oil and gas installations they regulate.
• The diversity of references provides a challenge
  for international operators.
• Duplication of standards should be looked into
  for harmonization.
• The oil and gas industry is able to directly
  influence the content of 380 of the standards
  listed in this report and therefore is largely
  responsible for their development and
  maintenance.

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Conclusions cont.

• There is a significant increase in the reference
  to international standards and a sharp decrease
  in references to national standards compared with
  PETROL96.
• However, with the figure of only 21 references
  to international standards by the regulators, it
  is evident
  there is still a lot of
  work to be done.

Global Standards Used Locally Worldwide
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Questions?

• Alf Reidar Johansen
• OGP Standards Manager
• Email arj_at_ogp.org.uk
• Mobile [phone]