Gas Pipelines Regulations 2014


Tasmanian Crest
Gas Pipelines Regulations 2014

I, the Lieutenant-Governor in and over the State of Tasmania and its Dependencies in the Commonwealth of Australia, acting with the advice of the Executive Council, make the following regulations under the Gas Pipelines Act 2000 .

18 June 2014

A. M. BLOW

Lieutenant-Governor

By His Excellency's Command,

MATTHEW GROOM

Minister for Energy

PART 1 - Preliminary

1.   Short title

These regulations may be cited as the Gas Pipelines Regulations 2014 .

2.   Commencement

These regulations take effect on 30 June 2014.

3.   Interpretation

In these regulations, unless the contrary intention appears –
Act means the Gas Pipelines Act 2000 ;
AS 2885 means AS 2885, Pipelines – Gas and liquid petroleum, published by the Standards Association of Australia, as in force from time to time (including any code or standard having effect under that standard);
AS/NZS 4801 means AS/NZS 4801, Occupational health and safety management systems – Specification with guidance for use, published jointly by the Standards Association of Australia and the Standards Association of New Zealand, as in force from time to time (including any code or standard having effect under that standard);
AS/NZS ISO 31000 means AS/NZS ISO 31000, Risk management – Principles and guidelines, published jointly by the Standards Association of Australia and the Standards Association of New Zealand, as in force from time to time (including any code or standard having effect under that standard);
facility safety case means a safety case or revised safety case for a pipeline facility that is accepted or provisionally accepted under Division 3 of Part 3 of the Act;
licensee means the holder of a pipeline licence.
PART 2 - Application for Pipeline Licence

4.   Application for licence to construct or operate pipeline

(1)  For the purposes of section 11(1)(f) and section 11(2)(b) of the Act in so far as that section applies to a pipeline licence to construct or operate a pipeline, the prescribed fee is 5 000 fee units in each case.
(2)  Before the transmission of gas for the purposes of sale may be undertaken, an applicant for the relevant pipeline licence and the Director of Gas Safety must both comply with the requirements specified in Schedule 3 relevant to the construction, commissioning and operation of the pipeline.

5.   Application for licence to construct or operate pipeline facility

For the purposes of section 11(1)(f) and section 11(2)(b) of the Act in so far as that section applies to a pipeline licence to construct or operate a pipeline facility, the prescribed fee is 5 000 fee units in each case.
PART 3 - Safe Operation of Regulated Activities

6.   Records of regulated activities

(1)  In this regulation –
relevant records means records –
(a) required to be maintained under section 33 of the Act; or
(b) required to be produced under section 76 of the Act.
(2)  The licensee must make copies of relevant records available if requested to do so under the Act –
(a) as soon as practicable during the following times:
(i) in the case of emergency on, or in respect of, the pipeline or pipeline facility, at any time (including night-time) on any day;
(ii) in any other case, during normal business hours on any day, other than a Saturday, a Sunday or a statutory holiday; and
(b) either at the place where the relevant records are maintained or, by agreement with the person making the request for the relevant records, at any other place or by means of electronic transmission.
(3)  For the purpose of enabling relevant records to be made available in accordance with this regulation, the licensee must –
(a) notify the Director of Gas Safety, in writing, of a telephone number within Australia at which a request may be made in accordance with this regulation and notify the Director, in writing, as soon as practicable of any change in that telephone number; and
(b) ensure that arrangements are in place for calls made for the purpose of this regulation to be received and acted on at that number, at any time (including night-time) on any day.

Penalty:  Fine not exceeding 30 penalty units.

PART 4 - Safety Requirements for Pipelines

7.   Prescribed standards and codes for pipeline

For the purposes of section 46 and sections 47(1) , (3) and 49(1) of the Act, the standards and codes specified in Schedule 1 are prescribed.
PART 5 - Contents of Facility Safety Case

8.   Core matters to be specified in facility safety case

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must include –
(a) a description of the pipeline facility in accordance with subregulation (2) ; and
(b) a formal safety assessment in accordance with subregulation (3) ; and
(c) a safety management system in accordance with subregulation (4) .
(2)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must include a description of the pipeline facility that –
(a) includes the method of operation and the layout and design features that are complementary to the control measures identified as a result of a formal safety assessment; and
(b) provides for all control measures to be used for the pipeline facility; and
(c) is consistent with the formal safety assessment, referred to in subregulation (3) , in respect of the pipeline facility.
(3)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must include a formal safety assessment in respect of the pipeline facility that contains –
(a) an identification of all hazards having the potential to cause an incident; and
(b) a detailed and systematic assessment of risk, in accordance with AS/NZS ISO 31000, including the likelihood and consequences of an incident; and
(c) a description of technical and other measures undertaken, or to be undertaken, to reduce the level of risk to as low as reasonably practicable; and
(d) a description of technical and other measures implemented, or to be implemented, to assess and minimise the likelihood and consequences of an incident; and
(e) a description of the design and layout of equipment and hardware, including the use of protective devices, so as to ensure that the risks to persons involved with the pipeline facility are reduced to a level as low as reasonably practicable.
(4)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must include a description of the safety management system for the pipeline facility that is to be implemented or proposed to be implemented, in accordance with AS/NZS 4801, and provides for –
(a) activities that will, or are likely to, take place at, or in connection with, the pipeline facility; and
(b) the regular and systematic identification of hazards related to the pipeline facility; and
(c) the regular and systematic assessment of –
(i) the likelihood of the occurrence, during normal or emergency situations, of injury or damage associated with those hazards; and
(ii) the likely nature of such injury or damage; and
(d) as far as reasonably practicable, the elimination or reduction of risks to any person which may arise from the pipeline facility and, in particular –
(i) risks arising during evacuation, escape and rescue in case of emergency; and
(ii) risks to persons involved with the pipeline facility; and
(e) where the facility safety case identifies inspection and maintenance of, and testing programs for, equipment and hardware as integral to the control of those risks, the requisite inspection, maintenance and testing programs; and
(f) criteria and information demonstrating that other risks to the safety of the pipeline facility and to persons at it have been reduced to a level as low as reasonably practicable; and
(g) communications systems that, in the event of an emergency, are adequate for communication –
(i) within a facility; and
(ii) with any other facility which may be affected by the emergency; and
(iii) with the relevant fire authorities and emergency service authorities; and
(iv) any remote or isolated persons who may be affected by, or exposed to, conditions existing at the pipeline facility; and
(h) any other information that is reasonably necessary to demonstrate that the safety management system meets the requirements of these regulations and AS/NZS 4801; and
(i) performance standards applicable to the safety management system.

9.   Additional matters to be specified in facility safety case

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify the systems of monitoring, auditing and reviewing the implementation of the safety policies, procedures and performance standards specified in the facility safety case, so as to demonstrate the methods of –
(a) ensuring the ongoing effectiveness of those systems by –
(i) continual and systematic identification of deficiencies in those systems; and
(ii) continual and systematic improvement of those systems; and
(b) implementing the safety management system specified in the facility safety case.
(2)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must adequately specify all relevant standards to be applied in the design, construction, installation, commissioning and operation of the pipeline facility or plant, equipment and hardware used on, or in connection with, the pipeline facility.
(3)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify an office or position at the pipeline facility, the occupant of which, while on duty –
(a) is in charge of the pipeline facility; and
(b) is responsible for the safe operation of the pipeline facility.
(4)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must describe the means of ensuring, as far as reasonably practicable, that –
(a) the office or position referred to in subregulation (3) is continuously occupied while the pipeline facility is in operation; and
(b) the person for the time being in occupation of that office or position is competent, by reason of having the necessary skills, training and ability, to perform the functions of a person in charge of the pipeline facility; and
(c) the identity (by reference to office or position) of the person in charge of the pipeline facility can at all times be readily ascertained, from a notice displayed in accordance with subregulation (6) , by any person actually at the pipeline facility; and
(d) the identity (by reference to office or position) of the person responsible for giving effect to the facility safety case, and for any revision of the facility safety case which may be necessary or expedient from time to time, can at all times be readily ascertained.
(5)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must describe the means of ensuring that, at all times –
(a) there is in place a command structure that applies in the event of any emergency; and
(b) the command structure and identity of all persons involved are clearly set out in a notice displayed in accordance with subregulation (6) .
(6)  For the purposes of subregulation (4)(c) and subregulation (5)(b) , a notice must be –
(a) prominently displayed at the pipeline facility; and
(b) easily legible.
(7)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must provide for the communications systems of the pipeline facility to be –
(a) adequate to handle a likely emergency at, or relating to, the pipeline facility and the operation requirements of the pipeline facility; and
(b) protected so as to be capable of operation in an emergency to the extent specified by the risk assessment relating to the pipeline facility.
(8)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must provide that each employer or employee working at, or in connection with, the pipeline facility is to be competent, by reason of having the necessary skills, training and ability –
(a) to undertake –
(i) in normal operating conditions; and
(ii) in abnormal or emergency conditions; and
(iii) during any changes to or modifications of the pipeline facility –
the tasks, both routine and non-routine, that may reasonably be allocated to him or her; and
(b) to respond and react appropriately, and at the level reasonably required of him or her, during an emergency.

10.   Certain documents must be retained

The licensee of a pipeline facility must keep, in the manner and for the period specified in the facility safety case in force for the pipeline facility, documents required by the facility safety case to be kept, including in particular the following documents:
(a) the facility safety case in force for the pipeline facility;
(b) any revisions of the facility safety case;
(c) any written audit reports of the facility safety case;
(d) a copy of all information given by the operator of the pipeline facility to the Director of Gas Safety for the purposes of the Act.

11.   Permit-to-work system for safe performance of various activities

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must provide for the licensee of the pipeline facility to establish and maintain, in accordance with subregulation (2) , a documented system of coordinating and controlling the safe performance of all work activities of persons at the pipeline facility, including in particular –
(a) welding and other hot-work; and
(b) cold-work (including physical isolation); and
(c) electrical work (including electrical isolation); and
(d) entry into, and working in, a confined space; and
(e) procedures for working over water.
(2)  The system referred to in subregulation (1) must –
(a) form part of the safety management system specified in the facility safety case in force for the pipeline facility; and
(b) identify the persons having responsibility to authorise and supervise work; and
(c) ensure that all persons carrying out work at the pipeline facility are competent in the application of the system referred to in subregulation (1) .

12.   Involvement of employees

(1)  The licensee of a pipeline facility must demonstrate to the reasonable satisfaction of the Director of Gas Safety that –
(a) in the development or revision of the facility safety case in respect of the pipeline facility, there has been effective consultation with, and participation by, each class of persons involved with the pipeline facility, including in particular relevant employees; and
(b) the facility safety case in respect of the pipeline facility provides adequately for effective consultation with, and effective participation by, those classes of persons so that they are able to arrive at informed opinions about the risks and hazards to which they may be exposed at the pipeline facility.
(2)  In this regulation, a reference to relevant employees is taken to be a reference to employees who are –
(a) identifiable before the facility safety case in respect of the pipeline facility is developed; and
(b) working, or likely to be working, at the relevant pipeline facility.

13.   Design, construction, installation, maintenance and modification

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify an effective means of ensuring the adequacy of design, construction, installation, maintenance and modification of the pipeline facility, including its structural integrity.
(2)  In particular, the facility safety case in respect of a pipeline facility must, in respect of the design, construction, installation, maintenance and modification of the pipeline facility, provide for –
(a) adequate means of inventory isolation and pressure relief in the event of an emergency; and
(b) adequate means of gaining access for servicing and maintenance of the pipeline facility and machinery and other equipment at the pipeline facility; and
(c) adequate means of maintaining the structural integrity of the pipeline facility; and
(d) taking into account the results of the formal safety assessment, relating to the pipeline facility, referred to in regulation 8(1)(b) .

14.   Medical and pharmaceutical supplies and services

For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify the medical and pharmaceutical supplies and services, sufficient for an emergency situation, that must be maintained at, or in respect of, the pipeline facility.

15.   Machinery and equipment

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify the equipment required at the pipeline facility (including processing equipment, machinery and electrical and instrumentation systems) that relates to, or may affect, the safety of the pipeline facility.
(2)  Each piece of equipment kept at a pipeline facility in accordance with the facility safety case in respect of the pipeline facility must be fit for its function or use –
(a) in normal operating conditions; and
(b) to the extent that it is intended to function, or be used, in an emergency.

16.   Evacuation, escape and rescue

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must contain, or refer to, an evacuation and escape analysis in relation to the pipeline facility that specifies adequate routes for evacuation and escape in the event of an emergency.
(2)  For the purposes of subregulation (1) , the facility safety case, in its evacuation and escape analysis, must specify –
(a) appropriate evacuation and escape analyses, and strategies for the control of evacuation and escape procedures; and
(b) the position or office of the person responsible for implementing and supervising procedures in the event of an emergency.
(3)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify, in its evacuation and escape analysis, that the pipeline facility is to have or contain amenities of the following kinds for the evacuation and escape of persons at the pipeline facility in the event of an emergency:
(a) suitable evacuation and escape routes that are, as far as reasonably practicable, to be kept freely passable at all times;
(b) in respect of any route that is not freely passable, suitable alternative arrangements;
(c) suitable equipment for evacuation and escape;
(d) suitable means of escape for use in the event of an emergency.

17.   Measures concerning fire and explosion hazards

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must contain a fire risk analysis specifying –
(a) likely fire or explosion hazards to the pipeline facility; and
(b) measures for detecting those hazards; and
(c) measures for eliminating or reducing those hazards.
(2)  In particular, the fire risk analysis specified in subregulation (1) must consider –
(a) the incorporation into the pipeline facility of both automatic and manual systems for the detection, control and extinguishment of –
(i) outbreaks of fire; and
(ii) leaks or escapes of gas; and
(b) the means of isolating and safely storing hazardous substances, such as fuel, explosives and chemicals, that are used or stored at the pipeline facility; and
(c) an analysis of evacuation and escape measures for use in the event of fire or explosion at the pipeline facility.
(3)  The design, construction, installation, maintenance, alteration, amendment or extension of the pipeline facility must take into account the results of the fire risk analysis specified in subregulation (1) .
(4)  A facility safety case in respect of a pipeline facility must provide for each person, who is at the pipeline facility when an escape drill or a fire drill is held at the pipeline facility, to take part in the drill.

18.   Control systems

For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify adequate provision for the pipeline facility, in the event of an emergency, in respect of –
(a) back-up power supply; and
(b) lighting; and
(c) alarm systems; and
(d) emergency shut-down systems.

19.   Emergency preparedness

(1)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify a response plan designed to provide for possible emergencies, the risk of which has been identified by a formal safety assessment in accordance with regulation 8(3) or a safety management system in accordance with regulation 8(4) .
(2)  The response plan must –
(a) ensure the safety of persons likely to be at the pipeline facility at the time of the emergency; and
(b) specify the performance standards that it applies.
(3)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must specify adequate provision for escape drill exercises and fire drill exercises by persons at the pipeline facility.
(4)  In particular, those exercises must ensure that those persons will be trained to function in the event of emergency with an adequate degree of knowledge, preparedness and confidence concerning the relevant emergency procedures.
(5)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a pipeline facility must provide for the licensee of the pipeline facility to ensure, as far as reasonably practicable, that escape drill exercises and fire drill exercises are held in accordance with the facility safety case relating to the pipeline facility.
(6)  For the purposes of section 59(2) of the Act, a facility safety case in respect of a mobile pipeline facility must also specify systems that are adequate to –
(a) shut down or disconnect, in the event of emergency, all operations at the pipeline facility that could adversely affect the safety of the pipeline facility; and
(b) give appropriate audible and visible warnings of the shutting down or disconnecting of those operations.

20.   Compliance with standards and codes

For the purposes of section 59 of the Act, the prescribed standards and codes with which the licensee must demonstrate compliance are specified in Schedule 2 .
PART 6 - Miscellaneous

21.   Transmission of gas for commissioning

For the purpose of commissioning a pipeline, an applicant for a pipeline licence may only transmit gas through the pipeline in accordance with any relevant directions given by the Regulator or the Director of Gas Safety.

22.   Rate for penalty interest

For the purposes of section 14(2)(a) of the Act, the prescribed rate for penalty interest is a rate equal to the Commonwealth official ten-year government bond rate as published by the Reserve Bank of Australia on the last business day of the months of March, June, September and December of each year plus 50% of that rate.

23.   Appeal from decision on administrative review

(1)  An appeal to the Minister under section 83 of the Act in relation to an administrative review is to –
(a) be made, in writing, within 14 days after the day on which the applicant is notified of the decision on the relevant administrative review; and
(b) specify the reasons for the appeal.
(2)  The Minister may extend the period referred to in subregulation (1) for making an appeal.
(3)  The Minister must, by notice served on the appellant, notify the appellant of –
(a) the decision made in relation to the appeal; and
(b) the findings on material questions of fact in relation to the appeal; and
(c) the evidence or other material on which the findings are based; and
(d) the reasons for the decision made in relation to the appeal.

24.   Prescribed depth

For the purposes of section 90(2) of the Act, the prescribed depth is 30 centimetres.

25.   Information as to location of pipeline

(1)  A licensee must provide a means to enable members of the public to readily obtain information as to the exact location of the pipeline constructed or operated by the licensee.

Penalty:  Fine not exceeding 50 penalty units.

(2)  A licensee is not guilty of an offence under subregulation (1) if the required information is available from the telephone number 1100 or from the following website:

http://www.1100.com.au

SCHEDULE 1 - Standards and Codes applicable to pipelines

Regulation 7

Purpose

Standard

Structures

AS/NZS 1170.0, Structural design actions – General principles

 

AS/NZS 1170.1, Structural design actions – Permanent, imposed and other actions

 

AS/NZS 1170.2, Structural design actions – Wind actions

 

AS/NZS 1170.3, Structural design actions – Snow and ice actions

 

AS 1170.4, Structural design actions – Earthquake actions in Australia

 

AS 4100, Steel structures

Pressure vessels

AS 1210, Pressure vessels

 

AS 3788, Pressure equipment – In-service inspection

 

AS 4343, Pressure equipment – Hazard levels

Pressure piping

AS 4041, Pressure piping

 

AS/NZS 4645.2, Gas distribution networks – Steel pipe systems

 

AS 2885, Pipelines – Gas and liquid petroleum

 

ASME B31.3, Process piping

 

CSA Z662, Oil and gas pipeline systems

Hazardous areas

AS/NZS 60079.10.1, Explosive atmospheres – Classification of areas – Explosive gas atmospheres

 

AS 2865, Confined spaces

Cathodic protection

AS 2832.1, Cathodic protection of metals – Pipes and cables

 

AS 2832.2, Cathodic protection of metals – Compact buried structures

Electrical

AS/NZS 1020, The control of undesirable static electricity

 

AS/NZS 3000, Electrical installations

 

AS/NZS 4853, Electrical safety on metallic pipelines

Risk management

AS/NZS 3931, Risk analysis of technological systems – Application guide

 

AS/NZS 4801, Occupational health and safety management systems – Specification with guidance for use

 

AS/NZS ISO 31000, Risk management – Principles and guidelines

SCHEDULE 2 - Standards and Codes applicable to pipeline facilities

Regulation 20

Facility safety case consideration

Standard or code

Pipelines

AS 2885, Pipelines – Gas and liquid petroleum

 

AS/NZS 4645.2, Gas distribution networks – Steel pipe systems

 

ASME B31.8, Gas transmission and distribution piping systems

Pressure piping

AS 4041, Pressure piping

 

ASME B31.1, Power piping

 

ASME B31.3, Process piping

Pressure systems

API 521, Guide for pressure-relieving and depressurising systems

Pressure vessels

AS 1210, Pressure vessels

 

AS 1271, Safety valves, other valves, liquid level gauges, and other fittings for boilers and unfired pressure vessels

 

AS 2971, Serially produced pressure vessels

Electrical

AS/NZS 3000, Electrical installations

 

AS/NZS 60079.14, Explosive atmospheres – Electrical installations design, selection and erection

 

AS/NZS 60079.17, Explosive atmospheres – Electrical installations inspection and maintenance

Risk management

AS/NZS 3931, Risk analysis of technological systems – Application guide

 

AS/NZS 4801, Occupational health and safety management systems – Specification with guidance for use

 

AS/NZS ISO 31000, Risk management – Principles and guidelines

SCHEDULE 3 - Procedure before construction, commissioning or operation of pipeline

Regulation 4(2)

1.   In the following table –
Director means the Director of Gas Safety;
rehabilitate, in respect of land in or on which a pipeline is constructed, means recontour and profile the land to its condition existing before the construction of the pipeline but does not include revegetate.

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Displayed and numbered in accordance with the Rules Publication Act 1953.

Notified in the Gazette on 25 June 2014

These regulations are administered in the Department of Infrastructure, Energy and Resources.