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On September 7, 2023, the Pipeline and Hazardous Materials Safety Administration (PHMSA or the
Agency) published in the Federal Register a Notice of Proposed Rulemaking (NPRM) titled, “Pipeline
Safety: Safety of Gas Distribution and Other Pipeline Safety Initiatives.” The NPRM implements
provisions from the Leonel Rondon Pipeline Safety Act – part of the Protecting Our Infrastructure of
Pipelines and Enhancing Safety (PIPES) Act of 2020 – as well as a National Transportation Safety Board
(NTSB) recommendation issued in response to an incident that occurred on a gas distribution pipeline
system in Massachusetts’ Merrimack Valley on September 13, 2018.
PHMSA proposes to revise certain pipeline safety regulations in 49 C.F.R. Parts 191, 192, and 198.
While the NPRM focuses largely on gas distribution pipelines, PHMSA also proposes changes that
would apply to all Part 192 regulated pipelines, including gas transmission and gathering pipelines.
Finally, PHMSA proposes to apply annual reporting requirements to small liquified petroleum gas
(LPG) operators.
On August 24, 2022, the Pipeline and Hazardous Materials Safety Administration (PHMSA) published a new final rule for onshore gas transmission pipelines (the Rule). The Rule marks the completion of a three-phase rulemaking process, commonly referred to as the Gas Mega Rule, that began more than a decade ago. While this part of the Gas Mega Rule is commonly known as the “Repair Rule,” there are numerous other safety provisions that are included in the new regulation that should not be overlooked. The Rule amends or adds various provisions in 49 C.F.R. Part 192 and will become effective on May 24, 2023.
Babst Calland and its affiliated Alternative Legal Service Provider, Solvaire, announce the availability of PIPES TRACKER™– the most comprehensive and easy-to-use pipeline safety regulatory database search and tracking tool available on the market today. Now, pipeline operators finally have an easy way to search and track enforcement cases issued by the Pipeline and Hazardous Materials Safety Administration (PHMSA).
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On April 8, 2022, the Pipeline and Hazardous Materials Safety Administration (PHMSA) published a final rule in the Federal Register introducing new valve installation and rupture detection requirements for certain onshore gas, hazardous liquid, and carbon dioxide pipelines (the Final Rule). PHMSA issued the Final Rule in response to National Transportation Safety Board recommendations and congressional mandates from the Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011 (2011 PIPES Act), as well as related studies prepared by the Government Accountability Office and Oak Ridge National Laboratories. Below is a summary of the key changes that the Final Rule makes to PHMSA’s regulations.
Legal and Regulatory Perspectives for the U.S. Energy Industry – Babst Calland
The Babst Calland Report represents the timely collective perspectives of Babst Calland’s multidisciplinary team of energy attorneys relevant to the interests of our clients. Topics range from the industry’s business outlook, regulatory rulemaking and enforcement to developments in climate change, pipeline safety and litigation trends, as well as important updates in the oil and gas, coal, and renewable energy sectors. This edition also features commentary from Senator Joe Manchin (D-WV), Chairman of the U.S. Senate Energy and Natural Resources Committee, who spoke with Babst Calland energy clients at a special briefing on June 25, 2021. A link to the webinar recording is available in the introduction of the Report, which is linked below:
Pipeline Safety Alert – Babst Calland
On November 2, 2021, the Pipeline and Hazardous Materials Safety Administration (PHMSA) released a pre-publication version of its final rule for onshore gas gathering lines. The final rule, which represents the culmination of a decade-long rulemaking process, amends 49 C.F.R. Parts 191 and 192 by establishing new safety standards and reporting requirements for previously unregulated onshore gas gathering lines. Access below a summary of the significant items from the new federal regulations published by Babst Calland:
Pipeline Safety Alert – Babst Calland
On July 15, 2021, the Pennsylvania Public Utilities Commission (PA PUC) issued a Notice of Proposed Rulemaking Order (NOPR) proposing to change the regulations applicable to public utilities that transport petroleum products and other hazardous liquids in Pennsylvania. The NOPR follows an Advanced Notice of Proposed Rulemaking (ANOPR) that the PA PUC published on June 29, 2019, seeking comments on an expanded regulatory framework for hazardous liquid public utilities. The proposed regulations go beyond the minimum federal pipeline safety regulations in 49 C.F.R. Part 195 and would impose significant new requirements on public utilities in Pennsylvania.
— Access below a summary of the significant items from the proposed regulations published by Babst Calland. Public utilities in Pennsylvania that transport hazardous liquids should carefully review the proposed regulations, the potential impact to their operations, and provide comments to the PA PUC accordingly. Comments will be due 60 days from the date the NOPR is published in the Pennsylvania Bulletin.
Pipeliners Podcast (Episode 164)
Attorney Keith Coyle discusses with Russel Treat how U.S. pipeline policy was shaped during the four years under the Trump administration and how pipeline policy might be affected under the Biden administration.
Pipeline Safety Alert – Babst Calland
On January 11, 2021, PHMSA published a Final Rule amending the gas pipeline safety regulations at 49 C.F.R. Parts 191 and 192. Adopted as part of the Trump administration’s efforts to reduce or eliminate unnecessary regulatory burdens, PHMSA estimates that the Final Rule will result in approximately $130 million in annualized cost savings for pipeline operators. Although the effective date of the Final Rule is March 12, 2021, the Agency provided a deferred compliance date of October 1, 2021, for the new amendments. Additional information about the Final Rule is provided in this Alert.
Pipeline Safety Alert – Babst Calland
On December 27, 2020, President Trump signed the Protecting Our Infrastructure of Pipelines and Enhancing Safety Act of 2020 (2020 PIPES Act) into law, completing a multi-year effort to reauthorize the nation’s federal pipeline safety program. The 2020 PIPES Act authorizes general funding for the Pipeline and Hazardous Materials Safety Administration’s (PHMSA) pipeline safety program through fiscal year 2023 and makes other important changes to the Pipeline Safety Act. The task of implementing these provisions will fall on the incoming administration of President-Elect Joseph R. Biden. Babst Calland provides additional information about the 2020 PIPES Act in this client alert.
Pipeline Safety Alert – Babst Calland
On December 21, 2020, the U.S. Congress passed the Protecting our Infrastructure of Pipelines and Enhancing Safety Act of 2020 (the Act) as part of a larger year-end spending and COVID-19 relief package. The Act reauthorizes the federal pipeline safety program through September 30, 2023, and establishes annual funding levels for the 2021, 2022, and 2023 fiscal years. The Act also makes other important changes to the federal pipeline safety laws administered by the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA or the Agency).
Pipeline Safety Alert (Babst Calland)
On October 14, 2020 PHMSA proposed to amend the federal gas pipeline safety regulations and reporting requirements to allow operators to apply integrity management (IM) principles to certain gas transmission line segments that experience class location changes. Comments on the NPRM are due December 14, 2020. After the public comment period closes, the Agency will consider the information provided and decide whether to present the NPRM to the Gas Pipeline Advisory Committee (GPAC) for consideration.
KDKA (CBS Pittsburgh)
KDKA spoke with Attorney Joe Reinhart, co-chair of Energy and Natural Resources Group of Babst Calland, about The 2020 Babst Calland Report and the state of the oil and gas industry.
Think About Energy (Video)
The natural gas industry has afforded the Appalachian Basin with economic and environmental benefits for over a decade. As the technologies continue to evolve, the industry has been at the forefront of implementing best management practices, best in class equipment, increased transparency, and environmental excellence.
The 2020 Babst Calland Report–The U.S. Oil & Gas Industry: Federal, State, Local Challenges & Opportunities; Legal and Regulatory Perspective for Producers and Midstream Operators covers topics ranging from the industry’s business outlook, regulatory enforcement and rule-making to developments in pipeline safety and litigation trends, Babst Calland says, adding that its attorneys’ collective legal experience and perspectives on these and related business developments are highlighted in the report.
Hart energy
As the November election draws closer, Babst Calland’s Kevin Garber and Jean Mosites analyze the stance of major party candidates on key environmental issues and what the oil and gas industry can anticipate, depending on the victors.
Environmental Alert (Babst Calland)
The U.S. Army Corps of Engineers recently pre-published a proposed rule to issue and modify its Nationwide Permits (NWPs) aimed at clarifying and reducing the regulatory burden associated with certain authorized activities.
Pipeline Safety Alert (Babst Calland)
On July 24, 2020, PHMSA published a Final Rule allowing railroads to transport liquefied natural gas (LNG) in modified DOT-113C120W (DOT-113) railcars designed to hold cryogenic flammable liquids. The rulemaking attracted significant attention from industry eager to meet increased natural gas demand, safety organizations such as the National Transportation Safety Board that raised concerns about transporting LNG, and from environmental groups.
Energy & Natural Resources Alert (Babst Calland)
The U.S. Forest Service may grant permission for a natural gas pipeline to go underneath the Appalachian Trail, so says the United States Supreme Court in an opinion released on June 15, 2020.
Pipeline Safety Alert (Babst Calland)
On June 9, 2020, PHMSA proposed amendments to the gas pipeline safety regulations at 49 C.F.R. Parts 191 and 192. The purpose of the NPRM is to ease regulatory burdens identified through internal agency review, petitions for rulemaking, and public comments. The proposed amendments are estimated to result in approximately $129 to $132 million in annualized cost savings, with the largest cost savings due to amendments related to farm taps and atmospheric corrosion inspections.
The PIOGA Press (by Keith Coyle and Ashleigh Krick)
On April 20, PHMSA published a request for comments on proposed frequently asked questions (FAQs) for the regulation of farm taps under 49 C.F.R. Parts 191 and 192.
Environmental Alert (Babst Calland)
Repercussions of a Montana District Court’s vacatur of the U.S. Army Corps of Engineers Nationwide Permit (NWP) 12 continue to unfold. NWP 12 is widely utilized by pipeline developers, other energy project proponents, and utilities to authorize certain stream and wetland crossings, and any resulting discharge of dredged or fill material into waters of the United States under Section 404 of the Clean Water Act (CWA).
Pipeline Safety Alert (Babst Calland)
On April 16, 2020, PHMSA released a Notice of Proposed Rulemaking to amend the facility response planning, reporting, and external corrosion control requirements for hazardous liquids pipelines in 49 C.F.R. Parts 194 and 195. PHMSA also proposes modifications to the inspection and investigation requirements in Part 190 which would impact all regulated operators (hazardous liquid, natural gas, underground natural gas storage, and LNG). PHMSA’s proposal is intended to reduce regulatory burdens, as identified in internal agency reviews and stakeholder comments collected in 2017.
Transportation Safety Alert (Babst Calland)
In response to the COVID-19 pandemic, U.S. DOT agencies that regulate the surface transportation of hazardous materials have extended several forms of relief. PHMSA waived some HazMat training requirements, delayed some equipment recertifications, provided guidance for complying with existing shipping paper rules while practicing safe social distancing, and adopted a temporary enforcement policy for transporting alcohol-based sanitizer.
Pipeline Safety Alert (Babst Calland)
On February 12, 2020, PHMSA released a final rule establishing new safety standards and reporting requirements for underground natural gas storage (UNGS) facilities. The Final Rule modifies regulations that PHMSA previously established in an interim final rule (IFR) to address a congressional mandate in the Protecting Our Infrastructure of Pipelines and Enhancing Safety Act of 2016 (PIPES Act).
Pipeline Safety Alert (Babst Calland)
On February 6, 2020, PHMSA published a notice of proposed rulemaking containing new valve installation and minimum rupture detection standards for gas and hazardous liquid pipelines. The NPRM would require the installation of automatic shutoff valves (ASV), remote-control valves (RCV), or equivalent technology, on certain gas transmission and hazardous liquid pipelines. The NPRM also contains proposed requirements for rupture detection and mitigation, including provisions for improving emergency response and conducting failure investigations and analyses.
Pipeliners Podcast (Episode 116)
Attorney Keith Coyle discusses the new Underground Gas Storage Rule published by PHMSA in January on the Pipeliners Podcast with Russel Treat.
Pipeliners Podcast (Episode 97)
Attorney Keith Coyle discusses the new PHMSA final pipeline safety rules on the Pipeliners Podcast with Russel Treat. Find the application to your role in pipeline operations.
Testimony of Keith J. Coyle, Esq.
Pennsylvania State Senate Environmental Resources & Energy Committee
Consumer Protection & Professional Licensure Committee
Attorney Keith Coyle confirmed in a testimony during a joint Senate committee hearing on March, 20 2018 that “pipelines are the safest and most reliable means of transporting the nation’s energy products.” Keith chairs the Marcellus Shale Coalition’s Pipeline Safety Workgroup and served on Governor Wolf’s Pipeline Infrastructure Task Force.
Pipeliners Podcast (Episode 151)
Keith Coyle reports his takeaways from the recent GPAC/LPAC committee meetings on the proposed PHMSA rulemaking, Valve Installation and Minimum Rupture Detection Standards.
AGA 7, AGA 9 & AGA 11: refer to the various types of linear meters (turbine, ultrasonic, and Coriolis, respectively) used for custody-transfer measurement applications to calculate oil and gas volumes.
API 1102: gives primary emphasis to provisions for public safety under conditions normally encountered in the pipeline industry. This Recommended Practice covers the design, installation, inspection, and testing required to ensure safe crossings of steel pipelines under railroads and highways.
API 1109: gives primary emphasis to provisions for public safety under conditions normally encountered in the pipeline industry. This Recommended Practice covers the design, installation, inspection, and testing required to ensure safe crossings of steel pipelines under railroads and highways.
API 1111: sets criteria for the design, construction, testing, operation, and maintenance of offshore steel pipelines utilized in the production, production support, or transportation of hydrocarbons; that is, the movement by pipeline of hydrocarbon liquids, gases, and mixtures of these hydrocarbons with water. This Recommended Practice may also be utilized for water injection pipelines offshore.
API 1113: assists SCADA system designers in identifying issues relevant to the development or redevelopment of a control center.
API 1114: provides basic guidance on the design and development of new solution-mined underground storage facilities. This Recommended Practice is based on the accumulated knowledge and experience of geologists, engineers, and other personnel in the petroleum industry.
API 1115: provides the functional recommendations for salt cavern facilities used for liquid hydrocarbon storage service and covers facility geomechanical assessments, cavern well design and drilling, and solution mining techniques and operations, including monitoring and maintenance practices.
API 1130: a recommended practice published by the American Petroleum Institute and incorporated by reference into the U.S. pipeline regulations in 49 CFR 195.134 and 49 CFR 195.444 for how pipeline operators should design, operate, and maintain their computational pipeline monitoring (CPM) systems. This is a critical document for any pipeline operator with CPM-based pipeline leak detection.
API 1133: applies to new and existing hydrocarbon pipelines that transport gas and hazardous liquids. This Recommended Practice is intended to apply to onshore waterways and coastal zones that may be susceptible to hydrotechnical hazards. An onshore waterway is any man-made or natural channel through which water flows. Coastal zones extend offshore to a water depth of 15 ft and extend inland to include those areas of land influenced by tidal action, storm surge, back water flooding, and other coastal hazards.
API 1149: defines the requirements for using computational models to evaluate uncertainties in a pipeline that affect leak detectability.
API 1160: provides a process within a management system framework for operators to assess potential risks and make day-to-day decisions. Through effective integrity management, pipeline operators can significantly reduce the likelihood of an incident and adverse effects on the public, employees, and the environment.
API 1161: provides guidance for developing and maintaining an Operator Qualification (OQ) program compliant with OQ regulations.
API 1162: provides guidance and recommendations to pipeline operators for the development and implementation of enhanced public awareness programs. This Recommended Practice addresses various elements of such programs, including the intended audiences, the kinds of information to be communicated, frequencies and methodologies for communicating the information, and evaluation of the programs for effectiveness.
API 1163: overs the use of in-line inspection (ILI) systems for onshore and offshore gas and hazardous liquid pipelines. This includes, but is not limited to, tethered, self-propelled, or free-flowing systems for detecting metal loss, cracks, mechanical damage, pipeline geometries, and pipeline location or mapping, The standard applies to both existing and developing technologies.
API 1164: outlines SCADA cybersecurity processes that could take years to implement correctly depending on the complexity of the SCADA system.
API 1165: refers to the Recommended Practice for Pipeline SCADA Displays. This standard outlines the best practices for designing and implementing displays that are used by controllers to evaluate information available in all operating conditions.
API 1166: gives primary emphasis to provisions for public safety under conditions normally encountered in the pipeline industry. This Recommended Practice covers the design, installation, inspection, and testing required to ensure safe crossings of steel pipelines under railroads and highways.
API 1167: a recommendation from PHMSA for rationalizing alarms in the control room. Rationalizing alarms means reviewing each alarm in the SCADA system and capturing the cause of the alarm, bad instrumentation or bad actors, and the operating condition.
API 1168: a Control Room Management guideline that outlines shift handover (SHO) requirements and adequate information in the control room.
API 1169: outlines the Pipeline Construction Inspection Certification requirements. The qualification requirements for API 1169 are based on a combination of the number of years of experience acquired within the last 20 years, plus education, and in some cases, other certifications.
API 1170: provides the functional recommendations for facilities that use natural gas storage service, including monitoring and maintenance practices.
API 1171: recommends that operators manage the integrity of natural gas storage in depleted oil and gas reservoirs. This recommended practice includes monitoring and maintenance.
API 1172: assists all parties to safely manage construction activities of new or modified facilities parallel to existing underground transmission pipelines.
API 1173: established the framework for operators to implement Pipeline Safety Management Systems (SMS). A significant part of this recommended practice is a training and competency aspect.
API 1174: provides to operators of onshore hazardous liquid pipelines a framework that promotes the continual improvement of emergency planning and response processes, including identification and mitigation of associated risks and implementation of changes from lessons learned. This Recommended Practice assists the operator in preparing for a safe, timely, and effective response to a pipeline emergency.
API 1175: a recommended practice published by the American Petroleum Institute addressing how pipeline operators should maintain their leak detection program. The goal of the standard is to have the best leak detection system possible by always looking for continuous improvements to the individual LDS components achieving operational buy-in with the culture, strategies, KPIs, and testing.
API 1176: enhances pipeline integrity by providing a comprehensive guide on how to predict and prevent pipeline failures due to cracking.
API 1177: provides a framework for a quality management system (QMS) for onshore pipeline construction.
API 1178: provides instruction on data integration that supplements other API pipeline integrity documents, specifically API RP 1160, Managing System Integrity for Hazardous Liquid Pipelines for Integrity Management.
API 1179: provides guidelines related to hydrostatic testing as a tool for integrity management in gas and liquids pipelines. This Technical Report specifically focuses on program design and key parameters for consideration in hydrostatic test programs, as well as potential detrimental effects of hydrostatic testing.
API 14.3 & AGA 3: describe the design and installation parameters for measurement of fluid flow using orifice meters and other devices, and provide a reference for engineering equations, uncertainty estimations, construction and installation requirements, and standardized implementation recommendations for the calculation of flow rate through orifice meters.
API 21.1: describes the minimum specifications for electronic gas measurement systems used in the measurement and recording of flow parameters for custody transfer applications utilizing industry recognized primary measurement devices.
API 2200: discusses guidelines for safe practices while repairing in-service pipelines for hazardous liquids. This Recommended Practice addresses the needs for qualified personnel and advanced planning (including site assessment) to facilitate safe overall repair activities.
API 4.5: covers the use of displacement, turbine, and ultrasonic meters as master meters.
API 4.8: provides information for operating meter provers on single-phase liquid hydrocarbons. It is intended as a reference manual for operating proving systems.
FERC Order 636: issued in 1992 to relax service requirements on pipeline firms and gave customers greater purchasing flexibility by separating gas sales from transportation. The order also extended transportation to include storage and allowed end-users with firm transport contracts to sell unused capacity.
GPA 2166: recommends the procedures for obtaining samples from flowing natural gas streams that represent the composition of the vapor phase portion of the system to be analyzed.
Mega Rule: a set of new pipeline safety standards issued by PHMSA in October 2019 that brings 500,000 miles of pipeline under federal jurisdiction to ensure the safe transport of gas product.
PHSMA Rule 49 CFR 192: pertains to the transportation of natural and other gas by pipeline.
PHSMA Rule 49 CFR 195: pertains to the transportation of hazardous liquids by pipeline.
Pipeline Safety Act of 2017: allowed the Department of Transportation (DOT) to amend a federal regulation for how to respond to oil spills, calling for PHMSA to consult with the EPA in the event of an oil spill reaching major bodies of water.
PIPES Act of 2016: a public law that was introduced by the U.S. Congress to protect the infrastructure of pipelines and provide enhanced safety in pipeline transportation. The PIPES Act defines the minimum safety standards for underground natural gas storage facilities and imposes a user fee for entities that operate underground storage facilities.
Underground Gas Storage Rule: published in the Federal Register an interim final rule (IFR) that revises the Federal pipeline safety regulations to address critical safety issues related to downhole facilities, including wells, wellbore tubing, and casing, at underground natural gas storage facilities.