API RP 1175 PIPELINE LEAK DETECTION- PROGRAM MANAGEMENT WORKSHOP APRIL 26 TH AND 27 TH, 2017

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API RP 1175 PIPELINE LEAK DETECTION- PROGRAM MANAGEMENT WORKSHOP APRIL 26 TH AND 27 TH, 2017

PIPELINELEAKDETECTION PROGRAM MANAGEMENT It s Not Enough to have a Leak Detection System It must be designed and installed appropriately for various operating situations and conditions It must be maintained and tuned so it works when needed People must know what to do to properly respond Leaders need to establish effective strategy and supportive culture 2

WHAT IS API RP 1175 LEAK DETECTION PROGRAM MANAGEMENT? Elements: Leak detection culture and strategy Selection of leak detection methods Performance targets, metrics, and KPIs Testing Control Center procedures for recognition and response Alarm management Roles and responsibilities and training Reliability centered maintenance for leak detection equipment Overall performance evaluation of the LDP Management of change Improvement process(es) 3

THE API RP 1175 IMPLEMENTATION JOURNEY December 2015 - Published RP 1175 June 2016 AOPL & API Member Leaders chose to add this to Strategic Plan July 2016 - Formed Implementation Team Nov 2016 Hosted webinar and launched gap assessment tool April 2017 Hosting today s workshop and issuing baseline gap assessment 4

RP 1175 IMPLEMENTATION TEAM RP 1175 Implementation Team: API - Buckeye Pipeline - Chevron Pipe Line - Enbridge - LOOP - Marathon Pipe Line - Phillips 66 Pipeline - TransCanada - Stuart Saulters Rick Bishop Robert Morgan Rick Barlow Donny Chiasson Jason Dalton Doug Sauer Marieli Romero Our View of Implementation Success: Entire industry developing excellent systems, processes, and people to detect and respond to releases promptly! 5

MEASURING PROGRESS FROM LD PROGRAMS KPIs 1. Average spill volume / leak for Crude, Refined Products, and HVLs 2. Industry participation in RP1175 Implementation workshops November 2016 Webinar had 106 participants from 52 companies April 2017 Workshop has 146 registered from 68 companies 3. Industry consolidated gap assessment scores and progress over time 4. Industry s % leak detection from CPM systems (above minimum CPM detection level) 6

RP 1175 IMPLEMENTATION ROAD MAP RP 1175 Implementation Team Goals 1. Help our industry understand and align on the importance of implementing RP 1175 2. Facilitate workshops and webinars to collaborate across pipeline operators on best practices for leak detection and response 3. Measure & communicate industry performance progress to demonstrate industry commitment to leak detection RP 1175 Team 2017 Actions Conducted baseline gap assessment Developed awareness brochure Hosting LD Program Workshop Facilitate best practice sharing webinar(s) Measure industry aggregate KPIs and communicate progress 7

Questions 8

API RP 1175 Pipeline Leak Detection Gap Assessment Marieli Romero TransCanada System Control Quality & Compliance Engineer 1

API RP 1175 IMPLEMENTATION TEAM Purpose: To increase awareness around the API RP 1175 Gap Assessment Tool and to encourage industry members to participate in our implementation efforts Agenda: Why a Gap Assessment? How? Overview of the Gap Assessment Tool (GAT) Industry Preliminary Results Next Steps 2

WHY A GAP ASSESSMENT? Where are you at? You will know where you are at by assessing the gap between your current Leak Detection Program and the components of the API Recommended Practice 1175. You should select a Gap Assessment tool and perform a gap assessment to determine whether all of the components of API RP 1175 are met and documented somewhere in their Leak Detection Program or Management System, but also is part of the company s culture. 3

HOW TO PERFORM A GAP ASSESSMENT? Understand the specific components and obligations of API RP 1175. Evaluate your current Leak Detection Program against all API RP 1175 mandatory requirements in the Primary Requirements section of the GAT provided. Identify where API RP 1175 components and obligations are unmet by current practices and procedures. Determine opportunities to improve your current Leak Detection Program. 4

API RP 1175 GAP ASSESSMENT TOOL Scoring of 1 means that the RP 1175 Requirements are met, documented and part 5 of company s culture, and 100 means that the RP 1175 Requirements are not met or documented.

API RP 1175 IMPLEMENTATION TEAM TARGET All 50 API and AOPL members 97% of Industry Total Barrel Miles (4,5 trillion of 4.6 trillion Barrel Miles) As of April 21 st, 36% of API and AOPL Members sent their GAT results 6

2017 PRELIMINARY GAP ASSESSMENT INDUSTRY RESULTS Component # (RP 1175 Reference) Components Median Mean 4 & 5 Leak Detection Culture and Strategy 45 44 6 Selection of Leak Detection Methods 18 23 7 Performance Targets, Metrics and KPI 50 42 8 Testing 1 12 9 Control Center Procedures, Recognition and Response 6 6 10 Alarm Management 7 14 11 Roles, Responsibilities and Training 25 30 12 Reliability Centered Maintenance for LD Equipment 25 30 13 Overall Performance Evaluation of the LDP 50 57 14 Management of Change 1 10 15 Improvement Process 44 49 Total Gap Score 26 30 36% Participation from API and AOPL Members (As of April 21 st ) 7 The largest the number, The largest the Gap

API RP 1175 INDUSTRY PRELIMINARY RESULTS Median Improvement Process Leak Detection Culture and Strategy 100 75 Selection of Leak Detection Methods Management of Change 50 25 Performance Targets, Metrics and KPI Overall Performance Evaluation of the LDP 0 Testing Reliability Centered Maintenance for LD Equipment Control Center Procedures, Recognition and Response Roles, Responsibilities and Training Alarm Management 8

API RP 1175 IMPLEMENTATION TEAM FOCUS 1. Overall Performance Evaluation of the LDP 2. Improvement Process 3. Performance Targets, Metrics & KPIs 4. Leak Detection Culture & Strategy 9

YOUR HOMEWORK 1. Use the GAT to assess your company s current LDP in 2017 (Deadline extended from March 30 th to June 30 th, 2017) 1. GAT can be found at http://www.pipelinesms.org/wp-content/uploads/2017/04/api-rp-1175-gap- Analysis-Tool-Template.xlsx 2. Anonymously share results with API (email or phone). PipelineLDP@api.org 3. API will protect confidentiality and report aggregate Industry benchmarking progress 2. Prioritize the gaps on risk and importance 3. Develop action plan to close gaps 4. Execute action plans 5. Re-assess Operator s LD Program vs. RP 1175 in 2018 (March 31st, 2018) to measure progress 10

WHY SHOULD YOU DO YOUR HOMEWORK? Improvement Process Leak Detection Culture and Strategy 100 75 Selection of Leak Detection Methods Management of Change 50 25 Performance Targets, Metrics and KPI Overall Performance Evaluation of the LDP 0 Testing Reliability Centered Maintenance for LD Equipment Control Center Procedures, Recognition and Response Roles, Responsibilities and Training Alarm Management 11

API RP 1175 IMPLEMENTATION TEAM LOTTERY IF WE ALL PLAY, WE ALL WIN 12

API RP 1175 CULTURE AND STRATEGY EXECUTIVE PANEL 4:00 5:15

AGENDA Panelist Introductions 1 st Part Topic Discussions (Panelists Only) o Culture (Greg Smith) o Strategy (Dan Nerbonne) o Scalability (Tom Shaw) o Lessons Learned (Jan Hayes) 2 nd Part Questions from the Audience 2

EXECUTIVE PANELISTS Greg Smith President Shell Pipeline Dan Nerbonne Executive V.P. of Ops. & Eng. Plains All American Pipeline Tom Shaw President LOOP LLC 3 Jan Hayes Associate Professor RMIT University