[Federal Register Volume 71, Number 4 (Friday, January 6, 2006)]
[Notices]
[Pages 977-979]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-110]


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DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

[Docket No. PHMSA-05-23447]


Pipeline Safety: Reconsideration of Natural Gas Pipeline Maximum 
Allowable Operating Pressure for Class Locations

AGENCY: Pipeline and Hazardous Materials Safety Administration, DOT.

ACTION: Notice of meeting; call for papers.

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SUMMARY: On March 21, 2006, the Pipeline and Hazardous Materials Safety 
Administration (PHMSA) will hold a public meeting to discuss raising 
the allowable operating pressure on certain natural gas transmission 
pipelines. Pipelines are the energy highways of the Nation that provide 
the most efficient means to transport vast volumes of natural gas on 
which we depend. Raising the maximum allowable operating pressures 
(MAOP) for natural gas pipelines would allow more gas to flow through 
these pipelines. This notice is designed to announce a public meeting 
and to invite papers on relevant technical subjects.
    Over the past 20 years, there has been a drastic improvement in 
technology pertaining to materials, metallurgy, controls, operations, 
and maintenance of the pipeline network. Based on these and other 
advances, PHMSA believes that certain pipelines in certain locations 
could be safely and reliably operated above the operating pressure 
established in current Federal pipeline safety regulation.
    There are three categories of pipelines that could realize an 
immediate benefit from such an increase in the MAOP: the proposed 
Alaska Natural Gas Transmission System; new natural gas pipelines that 
are being certificated by the Federal Energy Regulatory Commission; and 
pipelines constructed since 1980 with line pipe of known metallurgical 
and mechanical properties.
    This meeting provides the pipeline industry, Federal and State 
regulators, and interested members of the public an opportunity to 
share their knowledge and experience about the impact of increasing the 
MAOP to increase pipeline efficiency. Individuals that would like to 
make presentations should notify the individual listed under FOR 
FURTHER INFORMATION CONTACT by February 7, 2006, and submit papers at 
this meeting.

ADDRESSES: The March 21, 2006, meeting will be held at the Hyatt 
Regency Reston Hotel, 1800 Presidents Street, Reston, VA 20190. The 
telephone number for reservations at the Hyatt Regency Reston Hotel is 
(703) 709-1234. The hotel will post the particular meeting room the day 
of the meeting.

FOR FURTHER INFORMATION CONTACT: Mr. Joy Kadnar, Director, Engineering 
and Emergency Support at (202) 366-4595 or [email protected] about the 
subject matter in this notice.

SUPPLEMENTARY INFORMATION: 

Introduction

    Pipeline operators continually explore ways to reduce the cost of 
new pipelines, or increase the efficiency of existing pipelines, 
without affecting reliability and safety. One way to achieve cost 
reductions is to use high-grade line pipe and employ new welding 
methods. Another method to increase cost-effectiveness and to make the 
pipeline more efficient is to operate pipelines at higher stress 
levels.
    International pipeline regulations generally limit design stresses 
to 72% specified minimum yield strength (SMYS). Under highly selective 
conditions, some pipelines in the United States and Canada operate at 
hoop stresses up to 80% SMYS. Notwithstanding, the current United 
States Code of Federal Pipeline Safety Regulations (CFR) (49 CFR part 
192) limits the stress to 72% SMYS for Class 1 locations, while Canada 
limits it to 80%. There are a lot of other countries considering 
operating at higher levels. Therefore, PHMSA believes it is appropriate 
to explore the reliability and integrity implications of operating 
pipelines at stress levels above 72%

[[Page 978]]

SMYS, but not to exceed 80% SMYS for Class 1 locations.
    The benefits of an increase in MAOP for natural gas pipelines are 
tremendous, mainly because of the increase in capacity and fuel 
efficiency. For new pipelines operated at a higher MAOP, operators 
might realize an initial cost savings, primarily in materials. A 
capacity increase in existing pipelines will have an auxiliary benefit 
by avoiding the construction of new pipelines or costly modifications 
that have the potential to damage the environment. Historical problems 
associated with seam failures are non-existent with new materials. Most 
new pipelines have been configured to accept inline inspection tools to 
monitor the pipeline's condition. Pipeline operators have improved 
their ability to manage internal corrosion. By allowing pipeline 
companies to safely increase the MAOP of existing pipelines that meet 
certain criteria, they could avoid new construction that can impact the 
environment.
    Research by the Pipeline Research Council International concluded 
that pipeline operations can be safe and reliable at stress levels of 
up to 80% SMYS if the pipeline has well-established metallurgical 
properties and can be managed to protect it against known threats, such 
as corrosion and mechanical damage. Additionally, independent studies 
demonstrate the benefits of risk and reliability-based principles that 
strengthen safety.

Background

    The class location regulations require that pipelines routed 
through areas with higher local population density operate at lower 
pressures. This is intended to provide an extra safety margin in those 
areas.
    The gas transmission integrity management program addresses 
protections in high consequence areas. The cost-benefit analysis 
included in the final rule noted that a significant benefit to 
implementing integrity management is reduced cost to the pipeline 
industry for ensuring safety in populated areas along pipelines. 
Improved knowledge of pipeline integrity provides a technical basis for 
considering alternatives to regulation, for example whether to replace 
pipe or to reduce operating stresses in pipelines when population near 
them increases, (i.e., when the class location increases to either 
Class 2 from Class 1 or to Class 3 from Class 2). A class location 
change results from new construction near a pipeline segment and unless 
a waiver is granted triggers a requirement that the MAOP be confirmed 
or revised.
    On June 24, 2004, PHMSA issued criteria for granting class location 
waivers based on integrity management principles. The criteria provide 
information and guidance to pipeline operators concerning the specific 
pipe design and operating parameters within which PHMSA is likely to 
consider a class location waiver application to be consistent with 
pipeline safety. Class location waivers that are granted allow a 
pipeline operator to perform alternative risk control activities based 
on the principles and requirements of the integrity management program 
in lieu of pipe replacement or pressure reduction. These waivers allow 
operators to continue to operate pipelines at existing hoop stresses 
although the MAOP is no longer commensurate with the class location 
requirements.

Specified Minimum Yield Strength

    In the early 1950s, the American Standards Association's (ASA) 
pipeline committee developed ASA Standard B31.8 and the concept of 
basing design stress on a percentage of the specified minimum yield 
strength (SMYS). The committee determined that 72% SMYS was an 
acceptable design factor. Thereafter, PHMSA incorporated this standard 
by reference into its pipeline regulations. In the late 1980s, ASME 
International (ASME) revisited the SMYS issue and determined that 
pipelines could operate safely at up to 80% SMYS. The committee then 
modified ASME B31.8 to include that provision.
    The United States Federal pipeline safety regulations allow a 
maximum operating pressure of 72% SMYS. The Canadian regulations allow 
a maximum operating pressure of 80% SMYS. Currently, there are 
pipelines in the United States that have been ``grandfathered'' to 
operate at an MAOP above 72% SMYS. PHMSA statistics show that these 
pipelines have an equivalent safety record when compared with pipelines 
that operate according to the design factors in the pipeline safety 
regulations. Further, the pipeline safety regulations already allow 
pipelines to continue to operate at the original design factor when the 
class location increases by one Class, providing certain criteria are 
met. For example, a pipeline in a Class 2 location is allowed to 
continue operating at 60% of SMYS when it changes to a Class 3.

Preliminary Meeting Agenda

    The public meeting will examine policies and technical issues that 
are central to understanding and improving pipeline safety. While 
providing opportunities for improved efficiency, the meeting will 
highlight contributed papers and studies and will provide opportunities 
to discuss and exchange views.
    The agenda for this meeting will include discussion on:
     Existing pipelines operating above 72% SMYS.
     Evolution of the 72% SMYS ceiling.
     Class Location.
     Regulatory Requirements in the United States, Canada, and 
the United Kingdom.
     Engineering and Technical Considerations for 80% SMYS 
Operation.
     Waiver requests submitted to PHMSA. See DOT Docket 
Numbers: PHMSA-05-23448, and PHMSA-05-23387.
    During the meeting, PHMSA would like participants to discuss their 
views on the MAOP and any experience they have had operating pipelines 
beyond 72% SMYS. PHMSA also would like participants to provide 
information on reliability and how moving beyond 72% SMYS would impact 
pipeline safety.

Call for Papers

    We invite papers to address reasons why PHMSA should or should not 
provide relief from the class location requirements to pipelines that 
meet certain stringent operating criteria. PHMSA is interested in 
engineering and technical considerations. Papers may discuss the impact 
on public safety, the environment, the economy, and the State pipeline 
programs. All papers, whether presented at the public meeting or not, 
will be included in the public docket. PHMSA solicits papers on 
relevant policy and technical topics in the following areas:
     The impact of operating pipelines at pressures greater 
than 72% SMYS.
     The impact on pipeline threats at 80% SMYS operation.
     The role of ongoing integrity assessment in managing the 
safety of pipelines designed to operate at pressures up to 80% SMYS.
     The benefits of 80% SMYS operation on natural gas 
commodity movements and energy flows.
     A qualitative assessment of the pipeline capacity increase 
across the grid that could result from such pressure uprating.
     A comparison of failure histories, national and 
international, of pipelines operating up to 72% SMYS versus those 
operating above 72% SMYS.
     Regulatory harmonization between the United States and 
Canada.
     Role of initial hydrostatic testing for initial design 
integrity validation.

[[Page 979]]

     Review of pipe robustness and resistance to excavation 
damage.
     Impact on fatigue life of pipelines operating up to 80% 
SMYS.
     Fracture control design parameters for 80% SMYS operation.
     Evaluation of integrity re-assessment intervals for 80% 
SMYS operation.
     Optimization of conditioning, monitoring, and mitigation 
programs for 80% SMYS operation.
     Review of existing compressor station equipment relative 
to 80% SMYS operation.
     Review of operations and controls for 80% SMYS.
     Emerging approaches for reliability analysis, integrity 
management, and risk analysis in high stress pipelines.
     Line pipe characteristics and flaws that preclude 
pipelines from higher operating stresses.
    Authors must submit abstracts of their papers in 250 words or less 
to the docket by February 7, 2006. PHMSA will notify authors by 
February 14, 2006, whether their papers were accepted for presentation 
at the meeting. Each author of an accepted paper will have the choice 
of providing either a short paper (6-10 pages) or an extended abstract 
(3-5 pages) that will be due before the public meeting.
    You may submit papers or comments by mail or deliver them to the 
Dockets Facility, U.S. Department of Transportation, Room PL-401, 400 
Seventh Street, SW., Washington, DC 20590-0001. The Dockets Facility is 
open from 9 a.m. to 5 p.m., Monday through Friday, except Federal 
holidays. You also may submit papers or comments to the docket 
electronically by logging onto the following Internet Web address: 
http://dms.dot.gov. Click on ``Help & Information'' for instructions on 
how to file a document electronically. All papers or comments should 
reference docket number PHMSA-05-23447. Anyone who would like 
confirmation of mailed papers or comments must include a self-addressed 
stamped postcard.
    Privacy Act Statement: Anyone may search the electronic form of all 
comments received for any of our dockets. You may review DOT's complete 
Privacy Act Statement in the Federal Register published on April 11, 
2000 (65 FR 19477) or you may visit http://dms.dot.gov.
    Information on Services for Individuals With Disabilities: For 
information on facilities or services for individuals with 
disabilities, or to request special assistance at the meeting, please 
contact Cheryl Whetsel at (202) 366-4431 by March 6, 2006.

    Authority: 49 U.S.C. 60102 and 60133.

    Issued in Washington, DC, on December 30, 2005.
Stacey L. Gerard,
Associate Administrator for Pipeline Safety.
[FR Doc. 06-110 Filed 1-5-06; 8:45 am]
BILLING CODE 4910-60-P