{"operation":"document","citation":"CPF 120181012M","title":"EASTERN SHORE NATURAL GAS CO — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2018-05-14","effective_on":null,"summary":"CLOSED notice of amendment citing 192.605(b)(1), 192.605(b)(6), 192.605(b)(7), 192.7(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-120181012m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-120181012m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-120181012m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/120181012M","body":"Notice of Amendment involving EASTERN SHORE NATURAL GAS CO. PHMSA's enforcement data identifies the cited regulations as 192.605(b)(1),  192.605(b)(6),  192.605(b)(7),  192.7(a). The case was opened on 2018-05-14 and is reported as closed as of 2018-07-31. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n120181012M_Closure Letter_07312018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120181012M/120181012M_Closure%20Letter_07312018.pdf\n\n120181012M_Closure Letter_07312018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120181012M/120181012M_Closure%20Letter_07312018_text.pdf\n\n120181012M_Notice of Amendment_05142018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120181012M/120181012M_Notice%20of%20Amendment_05142018.pdf\n\n120181012M_Notice of Amendment_05142018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120181012M/120181012M_Notice%20of%20Amendment_05142018_text.pdf\n\n120181012M_Operator Response to Notice_06122018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120181012M/120181012M_Operator%20Response%20to%20Notice_06122018.pdf\n\n120181012M_Closure Letter_07312018_text.pdf\n\nOVERNIGHT EXPRESS DELIVERY\nJuly 31, 2018\nMr. Steven Thompson\nSenior Vice President\nEastern Shore Natural Gas Company\n500 Energy Lane, Suite 200\nDover, DE 19901\nCPF 1-2018-1012M\nDear Mr. Thompson:\nBetween May 15, 2017 and June 22, 2017, a representative from the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to chapter 601 of 49 United States Code,\nconducted an on-site pipeline safety inspection of Eastern Shore Natural Gas Company’s\nprocedures for its pipeline facilities in Delaware, Maryland, and Pennsylvania. As a result of the\ninspection, Eastern Shore Natural Gas Company was issued a Notice of Amendment (NOA) on\nMay 14, 2018, which proposed amendment of your procedures.\nEastern Shore Natural Gas Company submitted its amended procedures on June 12, 2018. My staff\nreviewed the amended procedures, and it appears that the inadequacies outlined in this NOA have\nbeen corrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you\nfor your cooperation.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\n\n120181012M_Notice of Amendment_05142018_text.pdf\n\nNOTICE OF AMENDMENT\nOVERNIGHT EXPRESS DELIVERY\nMay 14, 2018\nMr. Steven Thompson\nSenior Vice President\nEastern Shore Natural Gas Company\n1110 Forrest Avenue, Suite 201\nDover, DE 19904\nCPF 1-2018-1012M\nDear Mr. Thompson:\nFrom May 15, 2017 to June 22, 2017, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected\nEastern Shore Natural Gas Company’s (ESNG) procedures for its pipeline system in Delaware,\nMaryland and Pennsylvania.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nESNG’s plans or procedures, as described below:\n1. § 192.605 Procedural manual for operations, maintenance, and emergencies.\n…\n(b) Maintenance and normal operations. The manual required by paragraph (a) of this\nsection must include procedures for the following, if applicable, to provide safety\nduring maintenance and operations.\n…\n(7) Starting, operating and shutting down gas compressor units.\nESNG’s procedural manual for operations, maintenance and emergencies was inadequate.\nSpecifically, ESNG’s procedures for the inspection and testing of compressor station emergency\nshutdown system (ESD) were inadequate.\n\n\n\nCPF 1-2018-1012M\nDuring the inspection, the PHMSA inspector reviewed records for annual performance testing at\nDelaware City and Bridgeville stations. The records produced for examination did not show all of\nthe elements of a successful ESD system performance test. They demonstrated that ESNG\nconducted individual device tests over multiple days with the control panel in test mode. The\nrecords noted that the control loop for the panel key SESD (System Emergency Shut Down) was\nactivated. There was no indication in the records provided that any one trigger device was used to\nconduct a full system ESD performance test, in which the fire gates were observed to be fully\nclosed and the station piping blown down. Subsequently, ESNG’s procedures for ESD testing were\nrequested.\nThe effective procedure provided for the time frame of records reviewed during the inspection was\nESNG’s O&M Manual, Compressor Station Operating and Maintenance Procedures, Sections\n530-532. These procedures were inadequate in that they did not provide any detailed steps required\nto perform a full system ESD performance test.\nESNG also provided a draft of a new procedure, Emergency Shut-Down (ESD) Test Procedure,\ndated November 10, 2017, which addresses the stand-alone ESD system performance testing. The\ndraft incorporated the detailed elements of a test, but did not adopt the specific code language\nregarding the frequency of the testing, that is, “…at intervals not exceeding 15 months, but at least\nonce each calendar year…”\n2. § 192.605 Procedural manual for operations, maintenance, and emergencies.\n…\n(b) Maintenance and normal operations. The manual required by paragraph (a) of this\nsection must include procedures for the following, if applicable, to provide safety\nduring maintenance and operations.\n(1) Operating, maintaining, and repairing the pipeline in accordance with each of the\nrequirements of this subpart and subpart M of this part.\nESNG’s procedural manual for operations, maintenance and emergencies was inadequate.\nSpecifically, ESNG’s procedure for inspection and testing of relief devices failed to include\nadequate guidance regarding test frequency and devices subject to testing in accordance with\n§ 192.731.\nSection 192.731 states:\n“Compressor stations: Inspection and testing of relief devices.\n(a) Except for rupture discs, each pressure relieving device in a compressor station must be\ninspected and tested in accordance with §§192.739 and 192.743, and must be operated periodically\nto determine that it opens at the correct set pressure.”\nDuring the inspection, the PHMSA inspector requested ESNG’s procedure for the inspection and\ntesting of compressor station unit override switches. On July 18, 2017, ESNG provided\n2 manufacturer’s calibration procedures for Rosemount and Bristol-Babcock pressure transducers.\n120181012M_Notice of Amendment_05142018_text Page 2 of 5\n\n\n\nCPF 1-2018-1012M\nESNG did not provide any Operations and Maintenance manual (O&M) procedures associated\nwith the inspection and testing at that time.\nThese manufacturer’s procedures for inspection and testing of the compressor station pressure\ntransducers for the unit override switches were inadequate, in that they did not specify the\nfrequency of the tests, or provide provisions for testing to verify the correct set pressure for the\nunit override switches that are subject to the test.\nIn a response to a follow-up email from the PHMSA inspector, ESNG provided a draft of a new\nprocedure, Pressure Transmitter Performance Test Procedure, dated November 10, 2017, which\naddressed the pressure transmitter performance testing. The draft incorporated some of the detailed\nelements of a test, but did not present sufficient detailed steps to describe both calibration and\nperformance testing of the device. In addition, the new procedure specified a performance test\ninterval, “annually”, but did not adopt the specific code language regarding the frequency of the\ntesting, that is, “…at intervals not exceeding 15 months, but at least once each calendar year…”\nESNG also provided a draft of a new procedure, SCADA Override Test Procedure, dated\nNovember 10, 2017, which addressed suction pressure settings and discharge pressure and\ntemperature settings. In regard to the interval for testing pressure relief devices, the revised\nprocedure specified an annual test interval, but did not adopt the specific code language regarding\nthe frequency of the testing, that is, “…at intervals not exceeding 15 months, but at least once each\ncalendar year…”\n3. § 192.605 Procedural manual for operations, maintenance, and emergencies.\n…\n(b) Maintenance and normal operations. The manual required by paragraph (a) of this\nsection must include procedures for the following, if applicable, to provide safety\nduring maintenance and operations.\n(6) Maintaining compressor stations, including provisions for isolating units or\nsections of pipe and for purging before returning to service.\nESNG’s procedures for maintaining compressor stations were inadequate. Specifically, ESNG’s\nprocedures for performance testing of the gas detection and alarm systems failed to verify that the\nsystem functions to register a visual and audible alarm when the gas concentration reaches 25% of\nthe lower explosive limit.\nDuring the inspection, the PHMSA inspector requested the procedure as part of the review of the\nrecords for this compliance item. ESNG provided a procedure for the inspection and testing of the\nfire system, including the gas detection devices. The procedure did not provide adequate detail for\nthe testing of fixed gas detectors and alarms.\nIn response to a follow-up email from the PHMSA inspector, ESNG provided a draft of a new\nprocedure, Fire Panel Inspection Procedure, dated November 10, 2017, which addressed the fire\npanel system performance testing, including the fixed gas detectors. The draft incorporated the\ndetailed elements of a test, but did not adopt specific language to verify the functionality of the\ndevices at gas concentrations exceeding 25% LEL.\n120181012M_Notice of Amendment_05142018_text Page 3 of 5\n\n\n\nCPF 1-2018-1012M\n4. § 192.7 What documents are incorporated by reference partly or wholly in this part?\n(a) This part prescribes standards, or portions thereof, incorporated by reference into\nthis part with the approval of the Director of the Federal Register in 5 U.S.C. 552(a)\nand 1 CFR part 51. The materials listed in this section have the full force of law. To\nenforce any edition other than that specified in this section, PHMSA must publish a\nnotice of change in the Federal Register.\nESNG failed to have a provision in its Integrity Management Plan that specifically addresses non-\nmandatory language (should/shall) from the standards, and that adopts the language as mandatory\nfor purposes of implementing the regulation.\nDuring the inspection, the PHMSA inspector reviewed ESNG’s Integrity Management Plan (IM\nPlan). There was not a specific section in ESNG’s IM Plan that incorporates the appropriate\neditions of ASME B31.8S or NACE SP0502 by reference.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in Compliance\nProceedings. Please refer to this document and note the response options. Be advised that all\nmaterial you submit in response to this enforcement action is subject to being made publicly\navailable. If you believe that any portion of your responsive material qualifies for confidential\ntreatment under 5 U.S.C. 552(b), along with the complete original document you must provide a\nsecond copy of the document with the portions you believe qualify for confidential treatment\nredacted and an explanation of why you believe the redacted information qualifies for confidential\ntreatment under 5 U.S.C. 552(b).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, revised\nprocedures, or a request for a hearing under §190.211. If you do not respond within 30 days of\nreceipt of this Notice, this constitutes a waiver of your right to contest the allegations in this Notice\nand authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in this Notice\nwithout further notice to you and to issue an Order Directing Amendment. If your plans or\nprocedures are found inadequate as alleged in this Notice, you may be ordered to amend your plans\nor procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not contesting this\nNotice, we propose that you submit your amended procedures to my office within 60 days of\nreceipt of this Notice. This period may be extended by written request for good cause. Once the\ninadequacies identified herein have been addressed in your amended procedures, this enforcement\naction will be closed.\nIt is requested (not mandated) that Eastern Shore Natural Gas Company maintain documentation\nof the safety improvement costs associated with fulfilling this Notice of Amendment\n(preparation/revision of plans, procedures) and submit the total to Robert Burrough, Director,\nPHMSA Eastern Region, 820 Bear Tavern Road, Suite 103, West Trenton, NJ 08628. Please refer\nto CPF 1-2018-1012M on each document you submit, and whenever possible provide a signed\nPDF copy in electronic format. Smaller files may be emailed to robert.burrough@dot.gov. Larger\nfiles should be sent on a CD accompanied by the original paper copy to the Eastern Region Office.\n120181012M_Notice of Amendment_05142018_text Page 4 of 5\n\n\n\nCPF 1-2018-1012M\nAdditionally, if you choose to respond to this (or any other case), please ensure that any response\nletter pertains solely to one CPF case number.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\n120181012M_Notice of Amendment_05142018_text Page 5 of 5","truncated":false,"body_characters":13623}