{"operation":"document","citation":"CPF 320185007M","title":"VANTAGE PIPELINE US LP — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2018-07-03","effective_on":null,"summary":"CLOSED notice of amendment citing 195.402(c)(12), 195.402(c)(3), 195.402(e)(2), 195.428(a), 195.440(c), 195.446(b)(1), 195.446(h)(1), 195.452(f)(1), 195.501(b), 195.573(a)(2).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320185007m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320185007m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320185007m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320185007M","body":"Notice of Amendment involving VANTAGE PIPELINE US LP. PHMSA's enforcement data identifies the cited regulations as 195.402(c)(12),  195.402(c)(3),  195.402(e)(2),  195.428(a),  195.440(c),  195.446(b)(1),  195.446(h)(1),  195.452(f)(1),  195.501(b),  195.573(a)(2). The case was opened on 2018-07-03 and is reported as closed as of 2018-08-20. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320185007M_Closure Letter_08202018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320185007M/320185007M_Closure%20Letter_08202018.pdf\n\n320185007M_Closure Letter_08202018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320185007M/320185007M_Closure%20Letter_08202018_text.pdf\n\n320185007M_Notice of Amendment_07032018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320185007M/320185007M_Notice%20of%20Amendment_07032018.pdf\n\n320185007M_Notice of Amendment_07032018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320185007M/320185007M_Notice%20of%20Amendment_07032018_text.pdf\n\n320185007M_Operator Response to Notice_08022018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320185007M/320185007M_Operator%20Response%20to%20Notice_08022018.pdf\n\n320185007M_Closure Letter_08202018_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nAugust 20, 2018\nWilliam C. Mitchell\nVice President, General Counsel and Assistant Corporate Secretary\nNova Chemicals, Inc. (dba Vantage Pipeline)\nc/o 1000 7 Ave S.W.\nP.O. Box 2518 Station M\nCalgary, AB T2P 5C6\nAttention: General Counsel\nCPF 3-2018-5007M\nDear Mr. Mitchell:\nFrom October – November 2016, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code (U.S.C.)\ninspected your Vantage pipeline procedures, records and field assets in Joffre, Alberta,\nCanada, and North Dakota. As a result of the inspection, Nova Chemical (dba Vantage\nPipeline) was issued a Notice of Amendment on July 3, 2018, identifying eight (8)\ninadequacies found within Nova Chemical’s plans or procedures. Six (6) of the inadequacies\nhad been amended and items 1 and 3 still needed to be addressed.\nOn August 2, 2018, Nova Chemicals responded to the Notice and stated that on November 1,\n2017, they ceased operatorship of the Vantage Pipeline and with respect to items 1 and 3 their\nprocedures are no longer applicable. They refered to the current operator, Pembina, to address\nthese items.\nAlso, on August 2, 2018, Pembina responded to the Notice in an email with a letter attached to\nthe Director. The letter related that correspondence from Pembina on May 31, 2017,\naddressed Item 1. A review of this correspondence and a revised version of Nova Chemicals\nPublic Awareness Program satisfactorily met the requirement of Item 1. The letter also\nincluded Pembina’s Procedure # 20.13 regarding testing and calibrating the overpressure\nprotection to their pipeline at the Hess Tioga Plant. This procedure satisfies the amendment\nrequirement of Item 3.\nThis letter is to inform you that no further action is necessary and the case is now closed.\nThank you for your cooperation in this matter.\n\n\n\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\nc: Mr. John De-La-Mare\nVice President, Conventional Pipelines\nPembina / Vantage Pipeline US LP\n4000, 585 8th Avenue S.W.\nCalgary, Alberta\nT2P 1G1\nMs. Melissa Lundy\nAdvisor, Operating Management System\nPembina Pipeline Corporation\n4000, 585 8th Avenue S.W\nCalgary, Alberta\nT2P 1G1\n2\n\n320185007M_Notice of Amendment_07032018_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJuly 3, 2018\nMr. Arnel Santos, Senior VP Operations\nNova Chemicals (dba Vantage Pipeline)\nP.O. Box 2518\nCalgary, Alberta\nT2P 5C6\nCPF 3-2018-5007M\nDear Mr. Santos:\nFrom October – November, 2016, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected\nNova Chemicals Vantage pipeline procedures for operations, maintenance, public awareness,\noperator qualifications, integrity management and control room management in Joffre,\nAlberta, Canada.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nNova Chemical’s plans or procedures, as described below:\n1. §195.402 Procedural manual for operations, maintenance, and emergencies\n(c) Maintenance and normal operations. The manual required by paragraph (a)\nof this section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n\n\n\n2. (12) Establishing and maintaining liaison with fire, police, and other\nappropriate public officials to learn the responsibility and resources of\neach government organization that may respond to a hazardous liquid or\npipeline emergency and acquaint the officials with the operator's ability in\nresponding to a hazardous liquid or carbon dioxide pipeline emergency\nand means of communication.\n§195.440 Public awareness\n(c) The operator must follow the general program recommendations, including\nbaseline and supplemental requirements of API RP 1162, unless the operator\nprovides justification in its program or procedural manual as to why compliance\nwith all or certain provisions of the recommended practice is not practicable and\nnot necessary for safety.\nAPI RP 1162 4.3.4 Liaison with Emergency Officials\nInformation should describe the ongoing relationship between the\noperator and local emergency response officials to help prevent incidents\nand assure preparedness for emergencies.\nNeither Nova’s operating and maintenance procedures nor their public awareness\nprocedures addressed how they will conduct liaison activities with emergency\nofficials. Nova or its current operator Pembina must amend its operating and\nmaintenance and public awareness procedures to address conducting liaison activities\nwith emergency officials.\n§195.402 Procedural manual for operations, maintenance, and emergencies\n(e) Emergencies. The manual required by paragraph (a) of this section must\ninclude procedures for the following to provide safety when an emergency\ncondition occurs;\n(2) Prompt and effective response to a notice of each type emergency,\nincluding fire or explosion occurring near or directly involving a pipeline\nfacility, accidental release of hazardous liquid or carbon dioxide from a\npipeline facility, operational failure causing a hazardous condition, and\nnatural disaster affecting pipeline facilities.\n2\n\n\n\nNova’s procedures did not address specific emergency response procedures for fire,\nexplosion, operational failure and natural disaster. Nova amended this procedure and\nsubmitted it to PHMSA in March 2017, which was found satisfactory. No further\naction needs to be taken regarding this item.\n3. §195.402 Procedural manual for operations, maintenance, and emergencies\n(c) Maintenance and normal operations. The manual required by paragraph (a)\nof this section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(3) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\n§195.428 Overpressure safety devices and overfill protection systems\n(a) Except as provided in paragraph (b) of this section, each operator shall, at\nintervals not exceeding 15 months, but at least once each calendar year, or in the\ncase of pipelines used to carry highly volatile liquids, at intervals not to exceed 7½\nmonths, but at least twice each calendar year, inspect and test each pressure\nlimiting device, relief valve, pressure regulator, or other item of pressure control\nequipment to determine that it is functioning properly, is in good mechanical\ncondition, and is adequate from the standpoint of capacity and reliability of\noperation for the service in which it is used.\nNova’s procedures did not address the testing of overpressure safety devices. On the\nVantage system, Hess owns the overpressure protection device protecting the Vantage\npipeline. Nova or its current operator Pembina must develop a procedure for the\ntesting of this device since it affects the Vantage pipeline.\n4. §195.446 Control room management\n(b) Roles and responsibilities. Each operator must define the roles and\nresponsibilities of a controller during normal, abnormal, and emergency\noperating conditions. To provide for a controller's prompt and appropriate\nresponse to operating conditions, an operator must define each of the following:\n(1) A controller's authority and responsibility to make decisions and take\nactions during normal operations;\nNova’s procedures did not define the roles and responsibilities to assure that only\nqualified individuals may assume control at any console via protocols such as:\nSCADA login passwords and/or controlled access to the control room. Nova does not\n3\n\n\n\nrequire controllers to login and there is no controlled access to the control room since\nthe control room is manned 24/7 so console is never left unattended. Pembina now\noperates the Vantage Pipeline and has moved its CRM to its Sherwood Park Centre.\nPembina informed PHMSA on March 9, 2018 of its procedures and that its center has\ncontrolled access to the room(s) and consoles are password protected. No further\naction needs to be taken regarding this item.\n5. §195.446 Control room management\n(h) Training. Each operator must establish a controller training program and\nreview the training program content to identify potential improvements at least\nonce each calendar year, but at intervals not to exceed 15 months. An operator's\nprogram must provide for training each controller to carry out the roles and\nresponsibilities defined by the operator. In addition, the training program must\ninclude the following elements:\n(1) Responding to abnormal operating conditions likely to occur\nsimultaneously or in sequence;\nNova’s procedures did not address developing abnormal operating conditions likely to\noccur simultaneously or in sequence or subsequent training of controllers in these\nconditions. Nova amended this procedure and submitted it to PHMSA on August 31,\n2017, which was found satisfactory. No further action needs to be taken regarding this\nitem.\n6. §195.452 Pipeline integrity management in high consequence areas\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(1) A process for identifying which pipeline segments could affect a high\nconsequence area;\nNova’s procedures did not address the technical justification for the buffer zone\naround HCAs, do not address using the air dispersion model to identify could affect\nHCAs and do not address rationale for not including leak detection response time,\noperator response time and volume between isolation valves in the air dispersion\nmodel. Nova amended this procedure and submitted it to PHMSA April 2017, which\nwas found satisfactory. No further action needs to be taken regarding this item.\n4\n\n\n\n7. §195.501 Scope\n(b) For the purpose of this subpart, a covered task is an activity, identified by the\noperator, that:\n(1) Is performed on a pipeline facility;\n(2) Is an operations or maintenance task;\n(3) Is performed as a requirement of this part; and\n(4) Affects the operation or integrity of the pipeline.\nNova’s covered task list did not identify the following tasks which meet the four-part test\nand are performed on its facilities:\n Purging\n Flaring\n Nitrogen purging\n Pipe fitting such as cutting pipe, threading pipe, bending and connecting tubing,\nconnecting flanges.\n Composite sleeve installation,\n Relief valve installation, inspection and maintenance,\n Overpressure protection inspection and maintenance.\n Maintain/repair relief valves\n Inspect, test, and calibrate relief valves\n Maintain/repair pressure limiting devices\n Inspect, test, and calibrate pressure limiting devices\n Inspect, test, and calibrate pressure switches\nPembina currently operates the Vantage Pipeline and has submitted its Operator\nQualification Covered Task list to PHMSA which includes all of the tasks above. No\nfurther action needs to be taken regarding this item.\n8. §195.573 What must I do to monitor external corrosion control?\n(a) Protected pipelines. You must do the following to determine whether cathodic\nprotection required by this subpart complies with § 195.571:\n(2) Identify not more than 2 years after cathodic protection is installed, the\ncircumstances in which a close-interval survey or comparable technology is\npracticable and necessary to accomplish the objectives of paragraph 10.1.1.3 of\nNACE SP 0169 (incorporated by reference, see § 195.3).\n5\n\n\n\nNova’s procedures did not address the criteria for when a close interval survey will be\nconducted. Nova amended this procedure and submitted it to PHMSA on August 31,\n2017, which was found satisfactory. No further action needs to be taken regarding this\nitem.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed\nas part of this Notice is a document entitled Response Options for Pipeline Operators in\nCompliance Proceedings. Please refer to this document and note the response options. Be\nadvised that all material you submit in response to this enforcement action is subject to being\nmade publicly available. If you believe that any portion of your responsive material qualifies\nfor confidential treatment under 5 U.S.C. 552(b), along with the complete original document\nyou must provide a second copy of the document with the portions you believe qualify for\nconfidential treatment redacted and an explanation of why you believe the redacted\ninformation qualifies for confidential treatment 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\nof receipt of this Notice, this constitutes a waiver of your right to contest the allegations in this\nNotice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged\nin this Notice without further notice to you and to issue an Order Directing Amendment. If\nyour plans or procedures are found inadequate as alleged in this Notice, you may be ordered to\namend your plans or procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are\nnot contesting this Notice, we propose that you submit your amended procedures to my office\nwithin [number of days] days of receipt of this Notice. This period may be extended by\nwritten request for good cause. Once the inadequacies identified herein have been addressed\nin your amended procedures, this enforcement action will be closed.\nIt is requested (not mandated) that Nova or Pembina maintain documentation of the safety\nimprovement costs associated with fulfilling this Notice of Amendment (preparation/revision\nof plans, procedures) and submit the total to Allan C. Beshore, Director, Central Region,\nPipeline and Hazardous Materials Safety Administration. In correspondence concerning this\nmatter, please refer to CPF 3-2018-5007M and, for each document you submit, please\nprovide a copy in electronic format whenever possible.\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\n6\n\n\n\ncc: Mr. John De-La-Mare\nVice President, Conventional Pipelines\nPembina / Vantage Pipeline US LP\n4000, 585 8th Avenue S.W.\nCalgary, Alberta\nT2P 1G1\nMs. Melissa Lundy\nAdvisor, Operating Management System\nPembina Pipeline Corporation\n4000, 585 8th Avenue S.W\nCalgary, Alberta\nT2P 1G1\n7","truncated":false,"body_characters":16216}