2012 Annual Report MOOMBA TO ADELAIDE NATURAL GAS …energymining.sa.gov.au/__data/assets/pdf_file/0010/248725/2012_PL_1... · two gas turbine powered centrifugal compressor packages

2012 Annual Report

MOOMBA TO ADELAIDE NATURAL GAS

PIPELINE

Pipeline Licence 1

Document Number S-1-101-AR-G-013

2012 PL1 Annual Report

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TABLE OF CONTENTS

1 PURPOSE ........................................................................................................................................ 4

2 SCOPE ............................................................................................................................................. 4

3 TECHNICAL INFORMATION ........................................................................................................... 4

4 OPERATIONAL & MAINTENANCE ACTIVITIES - 2012 ............................................................... 10

5 INCIDENT REPORTING ................................................................................................................ 23

6 LAND MANAGEMENT ................................................................................................................... 27

7 ENVIRONMENTAL MANAGEMENT ............................................................................................. 27

8 EMERGENCY RESPONSE ........................................................................................................... 28

9 REGULATORY COMPLIANCE ...................................................................................................... 29

10 HAZARD IDENTIFICATION AND RISK ASSESSMENT ............................................................... 30

11 MANAGEMENT SYSTEM AUDITS ............................................................................................... 31

12 REPORTS ISSUED DURING THE 2012 LICENCE YEAR ........................................................... 32

13 VOLUME OF PRODUCT TRANSPORTED ................................................................................... 32

14 PROPOSED OPERATIONAL ACTIVITIES FOR 2013 .................................................................. 32

15 STATEMENT OF EXPENDITURE ................................................................................................. 33

16 KEY PERFORMANCE INDICATORS ............................................................................................ 33

17 CONCLUSION ............................................................................................................................... 34

Appendix A – SEO Assessment of Declared Objectives ....................................................................... 35


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LIST OF ABBREVIATIONS

AFD Axial Flaw Detection ALARP As Low As Reasonably Practical AS2832 Australian Standard 2832 Part 1 – Cathodic Protection – Pipes and Cables AS2885 Australian Standard 2885 Pipelines - Gas and Liquid Petroleum AVT Accuracy Verification Test CDP Corrosion Detection Pig CFS Country Fire Service CMMS Computerized Maintenance Management System (MAXIMO) CP Cathodic Protection CPU Cathodic Protection Unit CS 1-7 Compressor stations 1, 2, 3, 5, 6 & 7 Cu/CuSO4 Copper/Copper Sulphate DCGV Direct Current Voltage Gradient DNV Det Norske Veritas EGP Electronic Geometry Pig EMS Environmental Management System ERE Emergency Response Exercise ESD Emergency Shut Down GEA Gas Engine Alternator GPS Geographical Positioning System GUF Gas unaccounted for HAZOP Hazard Operability HELM Heritage, Environment and Land Management HSE Health, Safety and Environment ILI In line Inspection KP Kilometre Point LMS Land Management System MAPS Moomba to Adelaide Pipeline System MFS Metropolitan Fire Service MLV Mainline Valve PIRSA Primary Industries and Resources of South Australia PL1 Pipeline Licence 1 POMS Pipeline Operating Management System RCD Residual Current Device ROW Right of Way RTU Remote Terminal Unit SCADA Supervisory Control and Data Acquisition SEO Statement of Environmental Objectives SES State Emergency Service SMS Safety Management System SRB Sulphate Reducing Bacteria SWER Single Wire Earth Return TI Torrens Island Power Station TJ Tera Joule UHF Ultra High Frequency VHF Very High Frequency


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1 PURPOSE

This report is submitted in accordance with the requirements of Pipeline Licence 1 and the South Australian Petroleum and Geothermal Energy Regulations 2000.

2 SCOPE

The Moomba to Adelaide natural gas transmission pipeline system is owned, operated and maintained by Epic Energy. This report reviews operations carried out during 2012 and the intended operations for 2013. In accordance with the Petroleum and Geothermal Energy Regulations a performance assessment is also provided with regard to the Statement of Environmental Objectives PL 1.

3 TECHNICAL INFORMATION

Table 1 summarizes the technical aspects of the Moomba to Adelaide natural gas transportation pipeline and Figure 1 shows the pipeline location and layout.

Table 1 - Moomba to Adelaide pipeline technical data [PL 1]

Date Constructed 1967 / 68

Date Commissioned 1969

Length 781km

External Diameter 559mm

Wall Thickness:- - Normal - Special Crossings (rivers, roads etc.) - MLV

7.92 mm 9.50mm 9.50mm

Pipe Grade API 5L X52

MAOP Moomba - KP731 KP731 – Torrens Island

Voluntary reduction to 6500 kPa Voluntary reduction to 6100 kPa

Coating Plicoflex Tape

Depth of cover Nominal 750 mm 1200mm at road, rail and creek crossings

Main Line Valves Cameron Ball valves (30 in total)

Actuators (Remote activation) Shafer gas over oil valve actuators(11 in total)

Actuators (Local activation) 19 Manual gear type operators

Fluid Natural Gas

Mainline Compressor & scraper stations 4 compressor stations installed on mainline. Each site has two gas turbine powered centrifugal compressor packages.

Lateral compressor stations 2 compressor units installed on the lateral pipelines located at Whyte Yarcowie and Wasleys

Meter Stations 29

Corrosion Protection Impressed current CP system 116 transformer rectifier units installed

SCADA system Digital microwave link from Moomba to Adelaide with VHF radio coverage for voice communication

Table 2 summarizes the technical aspects of the laterals and looping systems on the mainline pipeline system.


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Table 2 – Laterals and Looping on Mainline

(Refer to key below)

Item A B C D E F G H I

Date Constructed 2000 1986 1972 1975-1976 1974 1984 1969 2000 2001

Date Commissioned

2000 1986 1972 1976 1974 1984 1969 2000 2002

Length (Kms) CS1 5.2 km , CS2 10 km, CS3 13.3 km, CS 4 6 km ( Total 34.4 km)

42 1.9 77.8 15 5.5 38.7

River – 0.855 Km ,

Land – 1.007 Km

114.3

External Diameter (mm)

600 508 88.9 168.3 88.9 219.1 219 356 219

Fluid Natural Gas Natural Gas Natural Gas Natural Gas Natural Gas

Natural Gas

Natural Gas Natural Gas Natural

Gas

Wall Thickness (mm)

Loops 1 to 3 – 7.14, Loop 4 – 8.74

9.0 4.78 4.37 4.78 4.77 4.78 7.1 4.00 & 4.78

Pipe Grade API 5L X65 API 5L X60 ASTM A53 Gr B ASTM A53 Gr B

ASTM A53 Gr B

API 5L X42 API 5L X42 API 5L X52 API 5L

X42

MAOP ( Kpa) Loops 1 to 3 7322 , Loop 4 8740

7322 690 8240 7322 7322 7322 9600 9930

Coating

FBE FBE Armathene Pilcoflex PVC Yellow Jacket FBE Pilcoflex

PVC

River – 400 micron, FBE

plus powercrete, land – 400

micron

Yellow jacket

Main Line Valves 6 3 1 1

Actuators (Remote activation)

4

Actuators (Local activation)

Two manual gear type actuators

Compressor stations

1 (Wasley) 1 (Whyte Yarcowie)

Meter Stations 5 1 1 1 1 3 1 1


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Table 2 – Laterals and Looping on Mainline (cont’d)

(Refer to key below)

Item J K L M N O P Q R S

Date Constructed 1998 1970-71 1969 1988-1989 1988-1989 1972 1988-1989 2001 1972 2001

Date Commissioned

1998 1971 1969 1989 1989 1972 1989 2002 1972 2001

Length (Kms) River – 0.852 , Land 1-

1.31, Land 2 – 0.188

1.3 1.2 5.5 87.8 1.6 11.5 0.14 0.35

0.74

External Diameter (mm)

River – 273.1 , Land 1-

273.1, Land 2 – 219.1

323.9 323.9 114.3 219.1 114.3 114.3 219 89 219

Fluid Natural Gas

Natural Gas

Natural Gas Natural Gas Natural

Gas Natural Gas Natural Gas

Natural Gas

Natural Gas Natural

Gas

Wall Thickness (mm)

River – 6.4 , Land 1-

9.2, Land 2 – 4.0

9.53 9.53

4.1 to KP 5.43, 4.8

KP 5.43 to Port

Bonython

4.3 4.78 4.3 8.2 4.78 8.2

Pipe Grade API 5L X42 API 5L X42 API 5L X42 API 5L X42 API 5L X52

ASTM A53 Gr B

API 5L X52 API 5L X42 ASTM A53

Gr B API 5L

X42

MAOP (Kpa) 10000 2067 7322 7322 10130 1379 10130 7322 1379 7322

Coating River FBE concrete coated, Land

Yellow Jacket

Yellow Jacket

Double wrap coal tar epoxy concrete coated

Polyken 2 layer tape


Armathene


25 mm concrete coating at crossings

Yellow jacket

Armahene Yellow jacket

Main Line Valves 4 1 1

Actuators (Remote activation)

Actuators (Local activation)


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Compressor stations

Meter Stations 1 2 1 1 3 1 1 1

Key:

A – Main pipeline loop sections B – Wasley to Adelaide Loop Line C - Peterborough Lateral D - Port Pirie Lateral

E – Burra lateral F- Mintaro Lateral G – Angaston Lateral H – Pelican Point Lateral

I – Amcor lateral J – Osborne Lateral K- Dry Creek Lateral L – Taperoo Lateral

M - Port Bonython Lateral N - Whyalla Lateral O- Nuroppta Lateral P – Whyalla Lateral Loop

Q- Quarantine Lateral R- Tarac Lateral S – Hallett Lateral


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Figure 1 - Moomba to Adelaide Pipeline System


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4 OPERATIONAL & MAINTENANCE ACTIVITIES - 2012

4.1 Risk Management Review

A five yearly SMS review for the MAP and laterals was carried out in 2012 as per the requirements of AS2885 (refer to Epic document number S-1-101-RAE-G-004). This workshop review did not identify any significant threats that had not been identified in previous workshops, nor did it identify any significant shortcomings in the controls required to be applied in accordance with AS 2885. Notwithstanding, the workshop identified and prioritised a number of actions that need to be completed to demonstrate ALARP. These actions generally relate to strengthening existing procedures to further mitigate horizontal directional drilling and rabbit ripping threats. High priority actions were raised for:

Assessing the threat of installation of communications cables by plough, and better understanding

the likely depth of installation and whether the pipeline can resist penetration from a cable plough

Continuing to develop Fracture Control Plans (including critical defect length calculations and energy

release rate calculations) for all laterals

Reviewing and strengthening the landowner, stakeholder and contractor liaison program addressing

in particular the pipeline safety awareness associated with blasting, HDD and vertical boring

activities

Epic Energy maintains a risk assessment action item register, and is working through the total of 94 action items raised in the workshop.

4.2 Training

Epic Energy is committed to developing the skills of all employees and contractors to meet the operational and technical needs of its business. During 2012 staff training was conducted in-house using a number of techniques which included training courses developed specifically for Epic Energy and delivered using self paced modules or as a group presentation using either a training service provider or suitably skilled Epic Energy staff In addition to internal training, staff attended a range of external courses, conferences and seminars selected to further enhance their knowledge of the natural gas and liquid hydrocarbon pipeline transmission industry. The range of training staff attended during 2012 included;

A Grade Electrical Worker's Licence

B Grade Electrical Worker's Licence

2. Bridge and Gantry Crane

4WD Operate Light Vehicle PMASUP236A

Allen Bradley PLC5 - Maintenance and Trouble Shooting

Allison Turbine Controls - Operation & Maintenance Training course

Amcor Glass Induction

APIA Annual Conference

AS 2885.3 Pipelines Gas & Liquid Petroleum - O & M

Asbestos Training

AVT Testing

Backhoe Front-end Loader >= 2L Engine LB

Basic Fire Training

Basic Hazop Training

BHP One Steel Whyalla Induction

Blue Card Course in General Safety Induction (Construction Industry) 30215 QLD


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Bobcat Licence

Business Writing Skills

Catepillar Gas engines Basic service training

Caterpillar Adem 3 System & Diagnostics

Cathodic Protection Advanced

Certificate IV in Assessment & Workplace Training - BSZ40198

CGR Software Training

Chainsaw - Basic Operations & Maintenance

ChemAlert Public Training Course

Chemical Use and You

Class C Drivers Licence Validity

Clock Spring Sleeves Installation

Combustion Basics

Compressor Station Gas Systems Training

Compressor Station Shafer Operator Training

Confined Space Awareness

Confined Spaces AS/NZS 2865

Control & Operation of Centrifugal Gas Compressors

Control Operation & Design of Reciprocating Gas Compressors

Control Valves - Instrumentation Modules

ControlLogix Fundamentals

Corrosion Control Introduction (BL)

Corrosion Protection

CPR & LVR

Crane Operator Certificate of Competency CV HIAB

Crane Slewing Mobile Crane <=20T C2

Cranes - Truck Mounted

Creating a Safe Workplace

Crisis Manager Role

Cultural Heritage

Dangerous Goods Transport - Road

Dial Before You Dig - Epic Energy Processes

Diploma OH&S

Dogging Certificate DG

Drug and Alcohol policy

Dry Creek Induction On Line

EEHA Installation and Maintenance

Elevated Work Platform WP

Emergency Equipment - Familiarisation

Emergency Pipeline Exercise - SA

Emergency Pipeline Exercise - South East

Emergency Pipeline Repairs

Emergency Response

Emergency Response - Site coordinator

Enerflex Natural Gas Engine- Reciprocating Compressor Training

Environmental Induction - On line

Epic Field introduction and Familiarazation

Equal Employment Opportunity, Discrimination, Harassment & Bullying 2010

ESM Engine System Management

Excavation of Pipelines

Excel - Best Practice Essentials

Excel Advanced

Excel Intermediate

Excel Introduction

External Visual Inspection - Pressure Vessels & Pipes

Fatigue & Stress Management

Finance for Non Finance Managers


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Fire Safety Certificate

Fisher Control Valve Operation & Maintenance

Fisher Farris PSV Safety Relief Valves Ops & Maintenance

Fisher ROC Operation/Maintenance

Food Safety

Forklift Operator Certificate of Competency LF

Front-end Loader Engine >2L LL

FTA Association

Gas Chromatograph Operation & Maintenance - Basic

Gas Chromatograph Operation & Maintenance - Intermediate

Gas Detection - Santos (Epic SA)

Gas Engine Maintenance WAUKESHA

Gas Turbine Inspection & Maintenance

GIS & GBM

Greening Australia

Hazard And Incident Reporting

Hazard Area Installation & Maintenance

Hazard Identification and Control

Hazardous Materials (MSDS)

HAZOP Leader

Health & Safety Representative Level 1 - SA

Health & Safety Representative Training Course

Health and Safety Representative Level 2 - SA

Heat Stress - Santos (Epic SA & Qld)

Hot Tap & Stopple Plugging Equipment Training

Hot Tap & Stopple Training

Hot-Tapping of Pipelines, Practices and Procedures

How to Effectively Manage Multiple Locations

HR Class Licence - Heavy Rigid 8t-9t

Human Resources Induction

Hydrocarbon Properties & Principles

ICam - Incident investigation

Incident Commander

Industrial Type B Appliance training

Introduction To Gas Pipelines

Introduction to Pigging

Introduction to Public Relations

Introduction to Turbine Engines

Isolation - SSOW

JHA - SSoW

Land Access Code & Cultural Heritage

Lubrication

Maintenance Planning Course

Manual Handling

MAP Gas Engine Alternator Ops

Maximo 7.1

Mercury Awareness

Microsoft Project - Introduction

MR Class Licence - Medium Rigid

Natural Gas Engine & Compressor Training

Natural Gas Filtration Introduction

NEBOSH International Technical Certificate in Oil & Gas Operational Safety

Nipping Problems in the bud and complaint handling

Odorant Station Operation

Operations Field Induction On Line

Osborne - Regulator & Meter Station Familiarisation

Outdoor Safety


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Over Pressure/Relief Valve Systems

Pelican Point Power Limited Induction - SA Zone 4

Penrice Induction Online

Permit to Work - SSOW

Personal Protective Equipment

Personnel Movement Tracking

Pipe Location - General Epic Module

Pipeline Compression Basics

Pipeline Integrity Risk Management

Pipeline Surveillance

Pipeline Voice Communications

PLC - Advanced

PLC Basics - Instrumentation Modules

Pole Top Rescue Training course and Ladder Use

Power Tool Safety

Powerpoint - Intermediate

Preventing Discrimination & Harassment

Principles of Flow Measurement

Professional Presentations

Project Management

Reciprocating compressor Training

Rehabilitation & Return to Work Coordinator

Responsible Officer

Restricted Electrical Workers Licence (NREL)

Rigging - Intermediate RI

Rigging -Basic RB

SCADA and Control Systems Basics

Security Awareness

Senior First Aid + SA

Service Safety Inspection & Testing of Electrical Equipment 30239QLD

Snake awareness

Solar Gas Turbine & Centrifugal Gas Compressors

Solar Turbines Operation & Maintenance Course - NPS

STTM Reporting Procedure

Sunsmart - Working Safely in the Sun

Swagelok training

SWER Training

Test & Tag Training

The Atmosphere & Working With Gases

Third Party Works

Time Management

Trade Certificate

TRU Energy Torrens Island Induction

Ultrasonic Flow Measurement

Valve Training

Water Bath Heater Operation

Waukesha Gas Engine Technology

Welding Inspection for Pipeline Systems

White Card - National OHS Common Industry Induction

Work in accordance with an issued permit

Working at Heights - Awareness

Working in Remote Locations

Workzone Traffic Management

X-Info & GBM(gps) Training

Xinfo Connect - Land Management System


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4.3 Operations & Maintenance Activities

Epic Energy operates and maintains the MAPS natural gas transmission pipeline and its associated facilities in accordance with AS2885.3 and other relevant standards. All Preventative, Corrective and Reactive maintenance can be identified in Epic Energy’s CMMS and are scheduled by this system which generates work orders for maintenance staff to complete. Some of the key items in the maintenance schedule include:

Daily road patrols on the main line and the looped section of the line in the Adelaide metropolitan area from Two Wells to Torrens Island power station

Fortnightly road patrols from Wasleys to Torrens Island power station and the Angaston lateral

Monthly road patrols from CS5 to Wasleys as well as the Whyte Yarcowie to Port Pirie, Whyalla, Port Bonython, Burra, Peterborough, and Hallet lateral pipelines.

Quarterly patrols of the mainline from Moomba to CS5

4 weekly aerial patrols in the metropolitan area

Quarterly aerial patrols from Adelaide to CS4 including the loop line and the Whyte Yarcowie to Whyalla lateral

Two monthly CP system transformer rectifier unit inspections

Six monthly CP system full line surveys

DCVG surveys

Six monthly inspection and servicing of all portable fire extinguishers

Six monthly mechanical inspections, operational checks & servicing of equipment at all MLV and scraper station sites

Six monthly Pig vessel maintenance and checks

Quarterly, six monthly and annual compressor and meter station servicing covering: - pressure reduction regulators - relief valves, - Isolation valves and their associated actuators, - Filter changes. (Generally based on condition) - SCADA system pressure, flow and temperature instrumentation calibration - un-interruptible power supply and battery maintenance - fire and natural gas detection equipment testing and calibration - Pressure vessel inspections (using suitably accredited external contractors) at all facilities

associated with the Moomba to Adelaide natural gas pipeline system including the Dry Creek maintenance depot.

- Compressor and meter station emergency shutdown system testing. - Calibration of all compressor station gas turbine or gas fueled reciprocating engine powered

process compressor package control systems including testing of all safety shutdown devices - Compressor station power generation equipment engine control system calibrations and testing of

all safety shutdowns - Routine electrical hazardous area equipment inspections and maintenance. - Routine electrical appliance and equipment testing with timings as per the relevant Australian

standards - Routine hours based compressor station GEA servicing - Routine hours based compressor station process compressor package maintenance.

Annual communications system mast maintenance.

Annual communications system un-interruptible power supply and battery maintenance

Annual communications system VHF and microwave bearer checks and tests

Routine meter station custody transfer equipment AVT calibrations and checks with frequencies determined by the relevant contracts.

A description of the Operations and Maintenance activities for 2012 is provided below.

4.3.1 Patrol Activities

All road and aerial patrols scheduled by the CMMS were completed in 2012. The road and aerial patrols ensure that the following pipeline activities are addressed:


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Signage is clearly visible, in suitable condition and maintaining pipeline line of sight. Any issues not addressed during the patrol are fed back into the CMMS and repairs are affected as soon as is practically possible.

there are no unauthorized activities occurring along the pipeline route or at any of the facilities

restoration of any soil erosion due to wind and water is reported, scheduled and addressed

there are no leaks occurring at any of the pipeline facilities or along the pipeline route

all sites are secure, kept clean, neat and tidy

Items including above ground pipe coating condition, fences, gates, padlocks, signage, fire extinguishers, weeding and other housekeeping activities are addressed at all of the facilities associated with the pipeline system.

During the 2012 surveillance activities, several areas of erosion caused by heavy rains and flooding affecting ROW access and pipeline depth of cover. While none of these items resulted in any damage to the pipeline, immediate action was required on each occasion to rectify the problems and retain the pipeline integrity. Extensive ROW grading and repairs were carried out including the repair of the Strezleki Creek crossing at KP100 to allow light vehicles to pass. The pipeline that was exposed at KP414 as a result of river flooding in 2011 was followed up in 2012, immediate repairs were undertaken and a feed study was completed to lower the pipe. An external consultant was engaged to provide permanent repair strategies and solutions for this site. The report has been submitted and currently under review with permanent repairs to be budgeted and carried out in 2013/14 pending approval. The section of pipeline at Wilpenna Creek was flood damaged. As a result the site was excavated, sandblasted and the pipeline recoated. Depth of cover was reinstated and the gabian mater was replaced to aid in slowing erosion. The pipeline, at KP524 that was exposed and had the depth of cover restored in 2011 as a result of heavy rains and flooding had the culverts extended during 2012 due to further flood damage late in 2011. Depth of cover was reinstated between KP90 and KP164.4 throughout 2012. This is in accordance with the areas identified in the depth of cover project from 2007. Three unauthorised third party activities within the pipeline easement were detected by patrolling officer during routine surveillance in 2012. Refer to Section 5: Incident Reporting for further detail. 4.3.2 Pipeline Integrity 4.3.2.1 MAPS Corrosion Anomaly Remediation Program Epic Energy engaged Rosen to run an intelligent Inline Inspection (ILI) program of the MAP mainline system including the Wasleys Loop Line and Wasleys to Torrens Island line, starting in 2008 and was completed in early 2011. As shown in Table 1 below, in 2008 a standard Corrosion Detection Pig (CDP) was run through all sections of the MAP mainline system including the Wasley’s loop line and Wasleys to Torrens Island line. By taking into consideration the pigging tool accuracy and the verification digs, a higher resolution Axial Flaw Detection (AFD) pig was run through all the sections of the pipe except for Wasleys loop line in the period 2009 to 2011.


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Table 1 – 2008 to 2011 Pigging History

Pipeline Section 2008 2009 2010 2011

Moomba to CS1 CDP AFD

CS1 to CS2 CDP AFD

CS2 to CS3 CDP AFD

CS3 to CS4 CDP AFD

CS4 to CS5 CDP AFD

CS5 to CS6 CDP AFD

CS6 to Wasleys CDP AFD

Wasleys to Torrens Island CDP AFD

Wasleys Loop Line CDP

During 2012 a total of 12 anomalies were inspected, repaired and refurbished as a result of the Rosen intelligent pigging data assessment. The anomalies are listed below: CS1 – CS2 = 5 CS2 – CS3 = 1 CS3 – CS4 = 5 CS4 – CS5 = 1 In conjunction with data from a corrosion growth study commissioned in 2011, the information was used to further prioritise anomalies in a more conservative model. Further developments of the corrosion growth study were done in 2012 and the result will be used for prioritization of dig ups in 2013-15. This equates to approximately 100m of pipeline excavated, inspected, repaired and coating refurbished. A total of 9 clock springs were installed as type A repairs for the defects. All priority defects from the pigging reports have been assessed and repaired. Currently there are no anomalies with ERF>=0.99 and wall loss of 60% or more in the pipeline. Further assessments of the ILI data will be carried out in 2013, continuing to correlate data from the 2011/12 corrosion growth studies. 4.3.2.2 Meter Station\ Project Work A new gas chromatograph has been procured for the Pelican Point meter station to address reliability issues with the current equipment that was installed in 2000. The unit has been factory acceptance tested and will be installed early in 2013. Existing Daniel flow computers at Angaston and Beverley meter stations were upgraded to new Fisher ROC models as part of an ongoing program to phase out the existing Daniel units that have reached the end of their manufacturer’s supported life. A third flow computer earmarked for Mintaro meter station has been built and delivered to the Dry Creek depot for programming and installation in early 2013. Orders were also issued for the replacement of meters at Osborne Whyalla BHP CoGen meter stations, with equipment anticipated to be received in early 2013. A third party audit of hazardous area compliance was carried out at the Gepps Cross/Dry Creek meter station. The main action arising from the audit was the requirement to relocate the gas chromatograph out of the control room. This will be done in early 2013 as a capital enhancement project. As part of the audit, a review and update of the site piping and instrumentation diagrams was also carried out. Other continuous improvement works carried out on electrical equipment in hazardous areas included replacing electric valve actuators at Gepps Cross and Taperoo meter stations, and updating site drawings. The earthing and lightning protection system at Taperoo meter station was also upgraded, with new zinc earth electrodes and an extensive system of buried cabling installed to ensure the earthing system, including step and touch protection, meets relevant Australian standards. Zinc earth electrodes have been chosen to ensure maximum compatibility with the site CP system. Investigations on the existing earthing and lightning system were also finalised for the Angaston meter station, to allow works to progress at this site in 2013.


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In support of development of a possible meter station distribution board upgrade program, site audits were undertaken at all meter stations. Overall, the audit found that all existing switchboards have facilities to allow locking out in accordance with Epic Energy isolation procedures. Also, all switchboard boxes are in good condition and only some internal antiquated breakers and chassis will need replacement. Two high priority sites were identified as requiring upgrade works in early 2013:

1. Burra meter station had an incident in 2012 where the ROC flow computer was damaged by either lightning or power surge event. Investigation shows there is currently no surge protection. A new distribution board will be designed and installed with surge protection and a battery compartment. Additionally, it is proposed to upgrade the existing antiquated ROC312 flow computer panel and shed.

2. Bungama meter station also requires a new distribution panel with surge protection and replacement of the antiquated ROC312 flow computer.

Other notable proposed works will be to install a lockable main switch at Amcor meter station to allow for

safe isolation, and to upgrade the distribution board internals at Torrens Island meter station. Gepps Cross

and Elizabeth meter station distribution boards also require internal replacements.

4.3.2.3 Compressor Station Project Work Accommodation upgrades were carried out at compressor stations 1 and 4, which included the refurbishment of all bedrooms, ensuites, messing and recreational facilities. An electrical system audit was also carried out for the CS2 accommodation facilities. Issues to be addressed were installation of RCDs on some socket outlets, some missing test tags on portable appliances, and minor housekeeping improvements. All actions are being addressed by the maintenance team As part of ongoing earthing and lightning protection system upgrades, CS3 and CS6 were progressed, with the installation of zinc earth electrodes and an extensive system of buried cabling to ensure the earthing system, including step and touch protection, meets relevant Australian standards. Zinc earth electrodes have been chosen to ensure maximum compatibility with the sites’ CP systems. Lightning protection has been included as a part of the overall earthing system design. As part of compressor station power distribution upgrades, CS6 was assessed and a scope of work and bill of materials were developed. The installation of new distribution boards will take place in 2013. Epic Energy continued upgrading electrical equipment contained within the compressor station electrical hazardous areas. Works included installation of solenoid valves for the high pressure fuel skid, Unit B valving, unit flow meters and various transmitters at CS1, CS3 and CS6. A third party audit of hazard area compliance was also carried out at CS6 in late 2012. A comprehensive report was provided, which includes a range of recommendations, remedial works and document/drawing updates to ensure that instruments in hazardous areas and their installations comply with the latest Australian Standards. Completion of the recommended works at CS6 will then create a benchmark by which all other MAPS compressor stations will be assessed and addressed if required. Epic Energy continued the progressive upgrade of the MAPS B unit (Allison 501KC5 turbine and Ingersoll Rand GT22 compressor) control system, this year upgrading CS1B to the same modern PLC based control system as previously installed at CS6 and CS3 in 2010 and 2011 respectively. The upgrades included replacing all of the package pressure sensing devices with pressure transmitters which along with the PLC control system provides increased site visibility, historical trending and troubleshooting capabilities. The two Allison units at CS4 are the final two remaining packages to need their antiquated control systems upgraded. As a follow up to the Unit B control system upgrade work at CS6 in 2010 and CS1 in 2012, new motor control centres were installed at CS6 and CS1 in 2012. CS3 Unit B vibration system was also upgraded from the -18V DC vibration system to a new -24V DC system. CS6 and CS1 vibration sensors are pending mechanical installation, but the electrical equipment and cabling are present. Epic Energy also continued at CS1, CS2 and CS4 in 2012 with the rolling upgrade and replacement program of the gas powered power generation equipment. At CS1 and CS2, new control systems were fitted to the existing GEA units to provide enhanced reliability and inter-unit operability. At CS4, a new GEA was installed. A 135kVA Caterpillar G3406 from the mothballed CS5 was transported to Adelaide for a major


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overhaul before returning to CS4 for installation and commissioning to replace the antiquated third GEA unit (Waukesha H2475G) at the site. Electrical upgrades to compressor station systems and facilities have seen the installation of new station batteries and battery chargers at CS1 and CS3 in 2012.Obsolete starter motors for B units were also replaced at CS3 and CS6. Procurement of equipment for MAPS compressor station fire and gas system upgrades was completed in 2012. HIMA ethernet cards and updated PLC software will now allow remote trouble shooting; installation and testing will take place in 2013. All insulators on the SWER line from KP9.4 to KP62 were replaced with an enhanced material type to improve immunity against lightning induced damage. The design of an AC mitigation earthing system due to a new high voltage cable crossing at Bluff wind farm near Hallet has been developed and approved. The proposed earthing system installation has been scheduled for 2013. Excavation and inspection of anomalies highlighted by a 2011 DCVG survey was completed at CS6 in 2012. A total of eight (8) locations were dug up, inspected and re-coated as part of a pilot program for station pipe work refurbishment program. No corrosion activity of concern was found at any of the locations inspected. Further work will be carried out in the remaining stations during 2013-15.

4.3.3 Cathodic Protection The following routine planned maintenance tasks and projects were completed in 2012 for the MAPS mainline and the associated laterals. As per the plan, a total of six (6) CP ground beds were replaced on the MAP in 2012 to increase the pipeline CP system’s performance. Further 9 locations have been identified for replacement during 2013-14. As part of the ongoing TRU replacement program based on an audit of system performance across the period 2009 to 2011, a new modular TR design has been developed by the engineering team in conjunction with a manufacturer. The new design has improved reliability and reduced maintenance requirements. 21 new TRs have been installed during 2011/12 as planned. Additionally, 3 new solar sites have been installed at KP359, KP370 and KP381. A detailed survey of all solar units was carried out in August 2012, resulting in full reinstatement of these units and recommendations for further improvements. Some of these recommendations were addressed in October 2012 with the installation of 3 new battery banks, including the Caltowie site on the Port Pirie lateral. All these upgrades have contributed to an important increase in CP reliability and compliance with AS2832. Further upgrades will be completed in 2013/14, including:

- Installation of 9-off new ground beds. - Completion of an internal review, by an independent third party, of the MAPS CP system to

determine feasibility of initial design and recommendations for further enhancements. - CIPS of Moomba-CS4 section to obtain detail of levels of protection - Natural potential surveys to determine compliance with alternative compliance criteria in

AS2832. - Other upgrades to equipment as required.

4.3.3.1 MAP Mainline Cathodic Protection pipe to soil ON/OFF potential surveys for the MAP mainline from Moomba to Torrens Island were carried out during August and December 2012. Over these two surveys there was an increase in protection levels on the main line from 60% to 70% to AS2832 850mV criteria, based on a total of 650 test points. Work is currently underway to carry out natural potential surveys in order to determine compliance with 100mV criteria based on AS2832. Significant work was done in 2012 with installation of TRs, replacement of ground beds as well as remediation of solar sites for improving protection levels on the MAP, which has been achieved and


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continues to be on the increase. Further investigations will be carried out in 2013 to determine the most effective way to manage such a large CP system. Epic has further approved an increase to the technical resources within the integrity team, including 4 back-to-back CP technicians in order to ensure that cathodic protection levels are maintained to the required levels. 4.3.3.2 Wasleys Loop Line ON/OFF potential surveys for the Wasley Loop were carried out during July 2012 and December 2012. Survey results indicates that the pipeline is satisfactory protected. 4.3.3.3 MAP Loops ON potential surveys only are possible on the loop pipelines because they are protected by magnesium anodes. A survey was conducted during in September 2012, indicating satisfactory protection levels on the CS1, CS2, CS3 and CS4 loops. 4.3.3.4 Peterborough Lateral ON potential survey for the Peterborough Lateral was carried out in February 2012. Survey results indicate that the pipeline is satisfactorily protected. 4.3.3.5 Port Pirie Lateral The September 2011 CP survey reported low protection levels in the Port Pirie pipeline. Battery bank at KP 31.4 (Caltowie) was replaced, which in addition to upgrades completed in 2011 has improved protection levels as per survey commenced in November 2012, to be re-visited in 1Q13. 4.3.3.6 Burra Lateral ON/OFF potential surveys for the Burra Lateral were carried out in February 2012 and October 2012, showing appropriate protection levels. 4.3.3.7 Mintaro Lateral ON potential surveys conducted during February 2012 and October 2012 indicated that the pipeline is satisfactorily protected. 4.3.3.8 Angaston Lateral ON/OFF potential surveys for the Angaston Lateral were carried out in December 2011 and September 2012. Apart from some minor issues with capability to adjust outputs on some TRs (which have been resolved) protection levels were found as appropriate. 4.3.3.9 Pelican Point Lateral ON potential surveys was carried out in January 2012 and July 2012. These surveys indicated that the pipeline is satisfactorily protected. 4.3.3.10 Osborne Lateral ON potential surveys were carried out in January 2012 and July 2012. These surveys indicated that the pipeline is satisfactorily protected. 4.3.3.11 Dry Creek Lateral ON/OFF potential surveys were carried out in January 2012 and July 2012. The surveys indicated that the pipeline is satisfactorily protected. 4.3.3.12 Taperoo Lateral ON/OFF potential surveys were carried out in January 2012 and July 2012. The surveys indicated that the


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pipeline is satisfactorily protected. 4.3.3.13 Port Bonython Lateral ON/OFF potential surveys were carried out in November 2011 and December 2012. The surveys indicated that pipeline is satisfactorily protected. 4.3.3.14 Whyalla Lateral ON/OFF potential surveys were carried out in November 2011 and December 2012, including the gulf section. The surveys indicated that pipeline is satisfactorily protected. 4.3.3.15 Nuriootpa Lateral ON/OFF potential surveys were carried out in December 2011 and August 2012. These surveys indicated that pipeline is satisfactorily protected. 4.3.3.16 Quarantine Lateral ON potential surveys were carried out in January 2012 and July 2012. These surveys indicated that the pipeline is satisfactorily protected. 4.3.3.17 Hallett Lateral ON potential surveys were carried out in February 2012 and October 2012. These surveys indicated that the pipeline is satisfactorily protected. 4.3.3.18 Tarac Lateral ON/OFF potential surveys were carried out in December 2011 and August 2012. These surveys indicated that pipeline is satisfactorily protected. 4.3.3.19 Summary In conclusion, the “Off” and “On” potentials from the surveys indicate that the MAPS Lateral pipelines are satisfactorily protected. Epic is working towards improving the reliability of power supply and performance of the cathodic protection units for the main pipeline system. Further a number of new cathodic ground beds will be installed in 2013 as part of Epic’s ongoing asset replacement programs. 4.3.4 Electrical and Instrumentation Routine mainline valve, meter and compressor station pressure and temperature transmitter calibrations were completed at all pipeline facilities verifying that the inputs to the SCADA system were within the specified tolerances for the installed devices, thus ensuring that the control of the natural gas transportation process was within the design parameters at all times. Routine meter and compressor station emergency and safety shutdown checks were conducted as per the maintenance schedule to ensure these functions are operational and fit for purpose. Generally these systems are failsafe, and any malfunctions trigger the shutdowns. Testing ensures the mechanical devices that perform the valve closures and other functions are operational. Maintaining these systems as part of a regular testing regime guarantees their operation in the event of an emergency. Routine process compressor package control system instrumentation and emergency shutdown checks were carried out, verifying that the machinery control stays within the original equipment manufacturers design parameters at all times, and that the information supplied to the pipeline SCADA system is accurate and within the measuring devices tolerance range. All process compressor emergency shutdown functions were tested to ensure that in the event they are needed to operate, the correct action occurs and the machinery is brought to a safe condition as per the original equipment manufacturers design.


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Routine meter and compressor station fire and gas detection equipment maintenance and tests were conducted to meet statutory requirements and allow the identification of faulty components ensuring the system operates correctly. Routine maintenance of the power generation equipment and distribution system, including the testing and calibration of instruments associated with this equipment, were completed as per the maintenance schedule to ensure a reliable supply of AC power at compressor stations. Generation of AC power at remote compressor stations is a key element in the process of transporting natural gas through the pipeline system, given it must be available twenty four hours a day, three hundred and sixty five days a year; equipment reliability is of key concern to the maintenance effort. Routine maintenance of the uninterruptible power supply system has been completed to ensure that compressor and meter station batteries, and their associated chargers, are in a serviceable condition. Battery cells are assessed annually, with a charge and discharge regime, identifying remaining service life to prevent unexpected failures. Programmed routine maintenance of SWER and HT reticulation systems was completed to ensure operability and reliability. Maintenance includes the inspection of pole top insulators, high and low voltage earthing grids, pole footings, removal, cleaning and greasing of all line taps and take offs etc All meter and compressor station site electrical equipment was routinely inspected and maintained in accordance with Australian Standards to ensure any defective items are identified and reported via the CMMS and repaired in a timely manner. A meter at the one steel facility in Whyalla was replaced with a rotatable spare due to a failure occurring in the gas pickup. This failure did not result in any supply or integrity issues. A flow computer upgrade was completed at Angaston in Q4 of 2012 as part of Epics ongoing replacement strategy of ageing equipment. Meter station process gas custody transfer metering equipment is tested and calibrated as per the contracts between Epic Energy and their customers. All AVT’s were completed during 2012 with no significant anomalies being identified. Electrical faults and a fire & gas alarm fault resulted in four compressor station ESDs during 2012, all issues were addressed with only minor delays in unit and station operability and no restriction to supply. 4.3.5 Communications All pipeline facilities control and monitoring functions are communicated to the central control system located in Melbourne Victoria via a microwave link that runs parallel to the buried pipeline system from Moomba to Peterborough and then via the Telstra Next G system network. In addition to the microwave equipment, a VHF radio link to allow voice communications between staff and the control centre is also supported by the communications system. The communications link is essential for the safe monitoring and control of the pipeline and the following range of maintenance activities were carried out to ensure the system provides a high level of availability and reliability:

Three and six monthly maintenance tasks associated with the communications system uninterruptible power supply batteries and their associated charging system.

Three monthly radio shack electrical equipment and appliance maintenance.

Six monthly routine air conditioning equipment maintenance.

Twelve monthly Microwave bearer and VHF communications system maintenance. 4.3.6 Mechanical Routine mainline valve and scraper station maintenance was completed, including valve sealing integrity checks, stem and ball seal greasing, valve operational checks and valve actuator serviceability checks. Scraper trap door seals were inspected and traps were assessed for leakage.


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All pipeline, meter station and compressor station routine pressure regulator and over pressure protection devices were tested in accordance with the relevant Australian Standard and the Preventative Maintenance schedule. All compressor station power generation equipment is serviced at 1000 hourly intervals to ensure high reliability and availability levels, achieving original equipment supplier recommended major overhauls timeframes without any premature failures being experienced. All compressor station process compressor package equipment has varying service requirement levels, dependent upon operating hours. Typically filter changes and package walk-around type inspections occur at 1000 hour intervals with major strip downs inspections occurring at 4000 hour intervals. Service intervals at these levels ensure maximum availability and reliability levels are achieved. All scheduled servicing for the process compressor package equipment occurred within the specified timeframes during 2012. In 2012 the following material maintenance tasks were completed at compressor stations:

Connecting rod bolts were replaced on the Wasley’s Caterpillar compressor in accordance with CAT

issued maintenance bulletins.

Ancillary equipment, such as pipe supports, pipe ground entry points, valves and pigging facilities, are routinely inspected as part of the facilities inspections or as a part of mechanical maintenance routines. Routine and on condition meter and compressor station process gas filter changes were completed as required. Minor mechanical maintenance tasks identified during routine site work along the pipeline are prioritized, entered into the CMMS with work orders issued for the rectification of these faults. The AL5000 diaphragm type meter at Freeling was replaced during 2012 with rotary type meters to ensure better accuracy and reliability. The Rotary meter had to be removed and the AL5000 was reinstated due to reliability issues with the rotary meter. Before this meter can be replaced at the meter station will require an engineering review. A minor leak was picked discovered at Torrens Island meter station in July. As a result the site was excavated in the affected area. The leak was located and the instrument tube pipework was isolated and removed from service. Varying levels of sulphur deposition were found throughout 2012 at some of the metropolitan meter stations. All components affected were removed, cleaned and re instated or replaced with rotatable spares. One shut in occurred at Frost Rd meter station in May because of this issue and this was reported to DMITRE. In addition the above breakdown faults and routine activities above, maintenance staff have investigated and solved numerous corrective maintenance issues identified as a result of the routine activities that arise during day to day operation of the pipeline system. These issues are considered minor in nature and resulted pose no problem to daily operation and supply. 4.3.7 Pigging Operations A cleaning pigging and intelligent pig was run in the Angaston lateral during 2012. No issues were identified as a result of this 4.3.8 Leak Detection Epic Energy operated all of its pipeline assets using the Telvent OASyS DNA 7.4 SCADA system. The communications paths from field to SCADA host have been upgraded and improved by using Next-G and UltraG I.P. with the Telstra DDPL and PAPL systems being decommissioned. Improvements in the communications fault reporting on SCADA have been achieved with the development of a new communications monitoring system. The system is able to display the specific link or equipment failure; this also includes the ability to “ping” sites to determine whether the cause is through Epic Energy or external party service devices. Incorporated into the SCADA is the Pipeline Leak Monitoring System (PLMS) that provides real time leak detection capability based on line-pack inventory, flows in and out of the system, gas quality and pressure


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and temperature rate changes. This allows the pipeline duty controller to instantly identify any anomalies that may be occurring and take appropriate actions. The control centre staff can, if required, isolate the pipeline remotely using any one of 15 out of 36 mainline valves (including the Wasleys to Adelaide loop line) isolating sections of the pipeline to minimize any leakage should the need arise. These valves are routinely tested to ensure operability. The PLMS is augmented by maintenance activities along the pipeline which would assist identification of pipeline leakage, and ensuring the appropriate resources are mobilized to address any issue in a timely manner. In addition to the field maintenance staff activities, the pipeline operations group and senior maintenance staff carry out a daily check of the hourly line balance to ensure no significant leakage is occurring on the pipeline system, with the ability to mobilize staff to inspect any site where issues are encountered. The control centre staff also performs daily gas balancing of all accountable gas sources and has a procedure to follow if gas unaccounted for (GUF) falls outside accepted limits. 5 INCIDENT REPORTING During 2012 there were 4 reportable incidents on the pipeline system pursuant to Regulation 32 of the “South Australian Petroleum and Geothermal Energy Regulations 2000”. All incidents have been investigated to identify the root cause and possible improvement opportunities to Epic Energy procedures. All actions that are raised following the investigation are tracked to ensure their timely completion before the incident is considered to be closed out. A summary of the incidents raised in 2012 is provided in Table 3.


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Table 3 Reportable Incidents for 2012

Description of incident Root Cause Preventive measures

Pipeline encroachment.

An encroachment on the pipeline easement had occurred at KP 635 on the 3

rd February whilst the

landowner was digging fence post holes. No contact was made with the pipeline.

The root cause category in this instance is communication. The property owner neglected to advise Epic of digging activities in the vicinity of the pipeline as instructed through pipeline awareness activities and landowner contacts.

Epic Energy reminder the property owner of the risks presented when working in the vicinity of the pipeline and the correct notification requirements. A follow up letter reinforcing the process for working within the pipeline easement and the risks involved was sent to the property owner. Pipeline warning signage at the property location was reviewed and replaced.

Pipeline encroachment.

On the 31st May, an Epic Energy FMO detected an

unauthorized encroachment on the Whyalla lateral within the One Steel plant, where contractors were performing excavation for civil works.

The property owner had identified the foreign crossing but believed it was one of their own assets.

The root cause category in this instance is Risk Management -Inadequacy of the risk review or assessment of the activity (e.g. JHA, PTW, HAZAN/HAZOP1) carried out prior to the activity. An appropriate risk assessment by One Steel would have identified the appropriate procedures require to perform this task, including notifying the owner of foreign crossings.

One Steel has been reminded of the correct protocol when undertaking pipeline crossing works. A Pipeline Awareness presentation has been made to key One Steel staff. The One Steel internal incident investigation also included a number of preventative measures that were implemented to avoid a re-occurrence

Pipeline defect repairs.

Epic completed the annual pipeline dig up program from April to June 2012.

A total of 13 digs were undertaken at various locations to verify data obtained from the Rosen ILI pig run using an AFD (Axial Flaw Detection) tool

Monitoring / maintenance The MAP was constructed in 1969, the defect were indentified during intelligent pigging as part of Epic’s preventative maintenance program. Geometry and metal loss defects can be attributed to a number of factors including susceptibility of the steel, moisture of the soil, soil chemistry, quality of coating and variable stress and age of the pipeline.

Pipeline repairs were undertaken by fitting clock spring repair sleeves at 6 locations along the pipeline. This is considered to be a suitable repair method to ensure the integrity of the pipeline at the locations involved for the remaining life of the pipeline. DMITRE were notified of the work in an incident report dated the 8

th June 2012.

Pipeline encroachment

On 17 December, an Epic FMO conducting a daily pipeline patrol observed works taking place in close proximity to the Dry Creek lateral. The Epic FMO stopped works until the site was safe and work continued. The FMO remained on site to supervise

The root cause category in this instance is communication. The site supervisor who had completed all the DBYD applications and had met Epic on site had not communicated all Epic’s requirements to the contractor undertaking the works and was also not present during the works.

SA Water staff has been reminded of the correct protocol when undertaking works near our pipeline. A Pipeline Awareness presentation has been made to key personnel at SA Water and contracting company who undertook the works.


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6 LAND MANAGEMENT 6.1 Land Owner Liaisons There are approximately 580 landholders along the Moomba to Adelaide Pipeline system. Every landowner on the pipeline was visited during 2012 and a questionnaire was completed as part of each visit. The questionnaire is centered on confirming contact details, current and proposed land use, awareness of the pipeline location and landowner responsibilities with respect to works in the pipeline vicinity. As part of Epic Energy’s continuous improvement program for pipeline awareness, landowners were posted a letter and postcard during the year containing information covering pipeline and easement safety and their responsibilities as landowners. An Epic Energy year 2013 calendar reminding the landowner of pipeline safety was also forwarded in December 2012. 6.2 Pipeline Safety Awareness Epic Energy conducts a Community Awareness Program, which entails holding awareness meetings with communities, Councils, government departments, utilities, emergency services and contractors along the pipeline route. Fifty-Three (53) of these meeting were held with services in close proximity or associated directly with the Moomba – Adelaide Pipeline. The presentations focus on the general properties of the high pressure gas transported, the process of gas transmission by pipeline, location of the high pressure gas pipeline in the regions concerned, correct procedures when working within pipeline easements, pipeline threats and dealing with emergency situations. (Note:-This presentation is tailored to the specific audience and where appropriate Epic Energy will discuss the difference between Liquids Hydrocarbon and natural gas transportation as both pipeline systems exist in a number of areas within South Australia.) 6.3 Pipeline Location and Referral Services Epic Energy provides a free service to locate any pipeline that they own or operate on behalf of third parties. This service is primarily used by other companies and third parties carrying out civil works in the vicinity of the pipelines. Up until 17 December 2012 Epic Energy received and attended five hundred and sixteen (516) enquiries via the free call 1100 “Dial Before You Dig” asset referral service in relation to third party activity in the vicinity of the Moomba to Adelaide Pipeline. During 2012 there were three identified third party unauthorised activities/encroachments within the pipeline, one along the main pipeline, one on the Dry Creek lateral and the other along the Whyalla lateral. 7 ENVIRONMENTAL MANAGEMENT Control documentation and training Environmental procedures and work instructions continue to be reviewed and updated as necessary. In early 2012, the online environmental training module was completed and implemented. This induction provides an overview of environmental risks, control measures and responsibilities. All Epic Energy employees and contractors entering the field are required to complete the training. Environmental protection Soil erosion and subsidence management: A 2.5km low depth of cover between KP89.7 and KP164.4 was indentified and cover was restored to min. 750mm. A washout which has existed previously at the upstream bank at KP525 occurred again this year. A gabion wall was constructed along the northern side of creek bank and armor rocks were placed on the creek bed as an erosion control measure. The ROW at Strzelecki Creek was heavily eroded from flooding in 2011. Extensive reinstatement work was carried out at this section. Washdown bay A washdown bay was designed, procured and installed at Compressor Station 1 to allow for the cleaning of


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vehicles and machinery in a designated area. This assists with prevention of weed spread and soil contamination. African Rue Epic Energy closely monitors African Rue and has an effective control strategy in place including:

Restriction of vehicle and machinery access into infested areas;

Signage to allow for easy identification of infested areas; and

A herbicide spray program along the easement conduced annually; and

Monitoring of the infested sites. Monitoring A soil and groundwater survey was completed on the MAP in 2012. The program was extensive, covering all sites from Compressor Station 1 to Compressor Station 7 and the Gepps Cross Meter Station. The main aims of the infestation were to:

Assess the status of soils, ground and bore water;

Assess the potential risk to humans and the environment from any soil, ground or bore water

contamination detected at the site; and

Determine the requirements, if any, for further investigation and/or remediation work if the risks

were determine to be unacceptable.

Results of the survey demonstrate that there has been no gross contamination, however ongoing monitoring is recommended to ensure there is no minor leaking. Cultural Heritage No new cultural heritage sites have been identified on the MAPS in 2012. Audit An audit of the Peterborough Depot was conducted in November. The audit involved a review against the Statement of Environmental Objectives and a soil assessment. The Audit Report is yet to be provided to Epic Energy. Risk A review of the environmental risk register was conducted in January 2012. A systematic approach was taken to reviewing existing environmental risks and updating the risk register. The risk assessment included the following steps:

Reviewing and updating the aspects, impacts, ratings and control measures in the existing

environmental risk register;

Determining progress made against recommendations in the environmental risk register; and

Documenting new activities and associated aspects, impacts, ratings, control measures and residual

risk as required.

Appendix A contains the “Assessment of Declared Objectives” completed for the Moomba – Adelaide Pipeline system. 8 EMERGENCY RESPONSE

The Petroleum and Geothermal Energy Regulations require that an Emergency Response Exercise is to be conducted on the Moomba – Adelaide Pipeline (MAP) once every two years, and that a set of Emergency Response procedures is to be developed and maintained. These procedures are detailed in Epic Energy’s “Emergency Response Manual”.

Epic Energy and South East Australia Gas Pty Ltd (SEA Gas) carried out a joint desk top emergency response exercise “Exercise Vulcan” on the 23

rd June 2012 and forwarded a report to DMITRE on the 1

st

August 2012. The exercise was carried out in accordance with “The Regulations Under the Petroleum & Geothermal Energy Act 2000 “and the requirements of Pipeline License No1. An emergency drill is required every two years to test emergency procedures and a report is to be submitted to the regulator (DMITRE.) within 60 days of the drill. Exercise Vulcan was a collaborative desktop exercise between South East Australia Gas Pty Ltd and Epic Energy, held on 21 June 2012. The exercise was also attended by representatives from the Department for


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Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) – Petroleum and Geothermal Energy Group, Office of the Technical Regulator (OTR) and APA Group.

The exercise was designed to identify the impact to Adelaide’s gas supply from a pipeline failure due to unauthorized third party activities, which affected both the Moomba to Adelaide natural gas transmission pipeline (MAP) and the Port Campbell to Adelaide natural gas transmission pipeline (PCA).

The exercise was prefaced with an overview of:

emergency response, incident management and incident control criteria;

exercise preamble, aims and objectives;

National and international security intelligence status;

PCA and MAP operating status; and

Exercise weather.

The incident site was located to the north of Adelaide where the PCA and MAP cross each other with minimal vertical separation. The failure of the PCA as a result of unauthorised third party activities resulted in heat damage to the MAP, requiring independent isolation of each pipeline.

The exercise highlighted that both SEA Gas and Epic Energy were capable of jointly responding and managing an incident which simultaneously impacted both pipelines. The importance of ongoing communication and coordination between SEA Gas and Epic Energy, including coordinated media management in consultation with emergency services and statutory authorities was identified as being critical to the effective management of the incident and post recovery repair.

Effective initial incident site response; joint assessment of isolation, repair and recovery strategies; and sharing repair equipment and resources, were identified as common areas that would lead to improved response and repair strategies being developed.

Overall the exercise successfully attained the stated aims and objectives and provided a basis for improved emergency coordination between SEA Gas and Epic Energy, there were 10 recommended actions as a result of the exercise which have been reviewed and auctioned appropriately.

Three (3) additional emergency response drills were conducted by Epic Energy during 2012 to further enhance the skills of its employees. Although the drills were not directly related to PL1, the employees that participated were the same employees that would respond to an emergency incident related to PL1.

9 REGULATORY COMPLIANCE Epic Energy ensures that design, manufacture, construction, operation, maintenance and testing of all appropriate facilities is carried out in accordance with the relevant Acts of Parliament, licence conditions and the requirements of AS2885. Epic Energy attends quarterly compliance meetings with DMITRE, where operational regulatory compliance is discussed in an open manner. Changes in legislation are tracked and communicated through a legal compliance committee which meets on a monthly basis. Epic Energy maintains a compliance database, Safety Wise, which tracks legislative compliance throughout the organisation. Obligations are assigned to responsible staff, who must supply evidence that the obligation has been satisfied within a specified time period. Epic Energy is not aware of any regulatory non compliance for this pipeline, and believes it is fulfilling its obligations in relation to the following requirements:

The Petroleum & Geothermal Energy Act & Regulations 2000

Pipeline Licence (PL1)

The Statement of Environmental Objectives Epic Energy maintains an action tracking system for improvements to its systems, which is fully traceable through to close out of individual items. Significant items are reported through to DMITRE, and would be raised at the quarterly compliance meetings


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held between DMITRE and Epic Energy. There have not been any significant regulatory compliance issues during this reporting period. 10 HAZARD IDENTIFICATION AND RISK ASSESSMENT Overview of Risk Management Epic Energy South Australia (EESA) is currently establishing Safety Procedures specific to its operations, subsequent to the acquisition of the larger Epic Energy brand late in 2012. The EESA manages risk through a combination of a Risk Management Framework and a Safety Management System (SMS) which operate on the philosophy that risk is minimised through:

a) Ensuring personnel carrying out EESA operations are trained and competent;

b) Ensuring EESA operations are conducted in accordance with procedures that are safe and have

been approved by competent personnel; and

c) Proactively identifying and resolving hazards in EESA operations.

Epic Energy has implemented a framework to identify and control hazards that could result in Risk to EESA objectives and the safety of personnel. The Risk Management Manual (RMM) describes the Risk Management framework within Epic Energy and outlines the methodology of how risk is managed within Epic Energy. Additionally, it ensures that EESA meets its responsibilities under the standards and applicable laws governed by the following:

a) Epic Energy’s pipeline license obligations, which require meeting the obligations of State based

pipeline specific legislation;

b) Relevant Australian Standards, particularly the AS2885 suite (for Pipeline Operations) and AS/NZS

ISO 31000 (the International Standard for Risk Management); and

Safety Specific Hazard Management

EESA Safety Management is based around the philosophy of identifying and resolving Hazards to reduce safety risk to personnel and the public. Within the wider Risk Management framework, there is a safety – specific risk framework, designed to identify and resolve (mitigate) hazards that may result in a Safety Risk. Hazards in EESA operations that may result in safety risk can arise from:

a) Direct WHS issues in the working environment (i.e. slips, trips, and falls);

b) Issues arising from the technical realm (i.e. maintenance or engineering system issues); and

c) Issues arising from interaction with third parties (i.e. land stakeholder management).

As a result, EESA safety hazards are classified as either:

a) Safety;

b) Technical; and

c) LA&E.

Structure and Responsibility

A committee structure ensures that the relevant skills and expertise are available to resolve hazards of each classification. An online Risk Management Database (named Corporate Governance Risk (CGR)) is used as a tool to manage all hazards and their risks, and maintain an effective audit trail of actions taken to mitigate risks. The committee structure is depicted below.


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Corporate Governance

Committee

WHS Corporate

Committee

Field WHS

Committee

Technical Risk

Committee

(TRC)

LA & E Committee

(LAEC)

1. Chairperson - Manager – Corporate Services

2. Chief Executive Officer

3. Manager Maintenance

4. Engineering Services

5. Chair – Field WHS Committee

6. Chair – TRC

7. Chair – LAEC

Advisors – WHS Advisor (Secretary)

Risk Engineer

1. Chairperson – Elected Representative

2. MAPS A HSR

3. MAPS A Team Leader

4. MAPS B HSR

5. MAPS B Team Leader

6. METRO Day Crew HSR

7. METRO Day Crew Team Leader

8. TSCC Team Leader

9. Principle Engineer

Advisors – WHS Advisor (Secretary)

Risk Engineer

1. Chairperson – Principal Engineer

2. Team Leader Integrity

3. Team Leader Pipeline Control

4. Mechanical Engineer

5. E&I Engineer

6. Manager Engineering Services

7. Manager Corporate Services

Advisors – WHS Advisor

Risk Engineer (Secretary)

1. Chairperson – Regulatory and Gov Affairs

2. Pipeline and Environmental Awareness

Officer

3. GIS and Pipeline Awareness Officer

4. Manager Maintenance

5. Manager Corporate Services

4. Advisors – WHS Advisor

Risk Engineer (Secretary)

Safety

Slips, Trips Falls

Technical Integrity

3rd PartyEnvironmental

Risk ID Activities

- Brainstorming;

- 5 yrly AS2885;

- SMS;

- Environmental studies;

- etc.

HAZID

- Hazard Cards.

- Audits.

- Incident

Investigations.

Hazard

Hazard

Hazard

Risk

Risk

Risk

Cause

Cause

Cause

Action

Action Action

Risk / Hazard

Management Database

Commercial Opportunities

Organisational Risk

Regulatory Risk

1. Chairperson - Chief Executive Officer

2. Manager – Maintenance;

3. Manager – HR;

4. Manager – Engineering (proposed);

5. Manager – Corporate Services (proposed);

6. Manager – Commercial.

Meeting Frequency

1. Corporate Governance Committee (CGC) – Quarterly.

2. WHS Corporate Committee – Quarterly (Prior to CGC).

3. All Risk Committees – Bi Monthly. (All medium to high risks reviewed

every meeting, all low risks reviewed twice a year).

11 MANAGEMENT SYSTEM AUDITS

11.1 Health and Safety Audits A complete external audit of the Safety Management System, including all 16 standards, was completed during 2012. Overall the audit found that Epic Energy has in place:

applicable health, safety and environmental requirements were in compliance with statutory and Safety

Case Requirements

clearly defined roles and responsibilities documented within the Safety Management System

a comprehensive Occupational Health and Safety Management (SMS) systems and

That the Epic Energy SMS is being appropriately implemented

The audit found 4 non-conformances being noted by the auditor and 31 recommendations for improvement. Epic will review the recommendations and implement an improvement plan for short term and long term priorities.

11.2 Management Audit Epic Energy completed a number of management audits during the year. These were a combination of Epic’s internal audit program and external audits by industry experts initiated by Epic Energy. The following topic areas were subject to audit during 2012;

Safety Critical Device Audit

SWER Maintenance Plan Audit

Vehicle Driving Audits

Life Saver Control Audits

Drawing Audits for TSCC and Wasleys

Personnel Tracking Movement Audits


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Aerial Surveillance Audit

Peterborough Depot Soils & Samples Audit

Compliance with NGERS Reporting

Aviation Audits

AS 2885.3 Readiness Review

Review of STTM Compliance Systems

The auditing program offers the opportunity to identify and promote continual improvement within Epic Energy and completion of these audits is recognized as a key performance indicator by the board of directors.

12 REPORTS ISSUED DURING THE 2012 LICENCE YEAR The following reports were generated for the PL1 in 2012:

2011 Pipeline Licence #1 Moomba - Adelaide Pipeline Annual Report

Epic Energy Moomba – Adelaide Gas Pipeline Cathodic protection System Audit

Epic Energy Cathodic protection review

Archaeological survey of five locations intended for pipeline corrosion mitigation works, Moomba to

Adelaide gas pipeline, flinders ranges, northern south Australia

Archaeological survey of two locations intended for pipeline corrosion mitigation works

Work area clearance of the two proposed anode bed locations on the map at kp16.6 and KP77.1

and the Moomba compression facility

2012 Dig up reports (15) from CS1 – CS5

Operations and maintenance gas venting report

Epic energy workplace health and safety glossary of terms

Epic energy sms audit tool

Frost road meter station shut in incident investigation report

Epic energy 08'' gas pipeline Wasleys Offtake - Angaston meter station CDP survey

Environmental risk register review report

Corporate workplace health & safety annual business plan 2012 January monthly report

Corporate workplace health & safety annual business plan 2012 February monthly report

Epic Energy's perspective on the pacific gas and electric company's gas transmission pipeline

rupture and fire in San Bruno

APIA pipeline operator's group activity report (October 2011 to April 2012)

High voltage reticulation and transmission system safety, reliability, maintenance and technical

Management plan audit

Integrity management plan Moomba to Adelaide pipeline system (maps)

Moomba to Adelaide Gas Transmission Pipeline fracture control plan

Angaston later ac interference near Freeling report

Wasleys to Torrens island gas loop pipeline fracture control plan

In addition to this quarterly meetings were held with DMITRE and Epic Energy management throughout 2012.

13 VOLUME OF PRODUCT TRANSPORTED Approximately 41,716 TJ of product was transported through the MAPS in 2012. 14 PROPOSED OPERATIONAL ACTIVITIES FOR 2013 During 2013 the following activities are proposed for the MAPS pipeline:

Complete all scheduled routine maintenance activities and corrective maintenance identified.

CP ground bed and transformer CPU replacement program.

Continue with MAP Defect Excavation/Repair Program.


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Whyte Yarcowie compressor engine overhaul.

Compressor station control system upgrade.

Compressor station tee rectification program. 15 STATEMENT OF EXPENDITURE Expenditure on the MAPS and laterals associated with PL1 for 2012 is commercial in confidence. 16 KEY PERFORMANCE INDICATORS The following key performance indicators have previously been established to monitor performance of operations and maintenance activities on the MAPS. Outlined below are the KPI results for 2012.

2012 Target

2012 Actual

2012 Comment

Cathodic Protection

Percentage of the pipeline protected to AS2832

100% 86.2%

average

Whilst not meeting the target, this result is based upon the available test points that could be accessed and read during the year. Compliance figure for MAPS based on total TPs is 70%, although work is ongoing to confirm full compliance with 100mV criteria in AS2832. As discussed in the report extensive work has been undertaken in the CP area specially on MAPS to improve the overall achievements in 2013.

Third Party Incident

Number of times pipeline is damaged

0 0 No damage occurred to the pipeline during the reporting period. Target achieved

Number of near misses (digging within 1m of pipeline)

0 1

There were one near misses identified during the reporting period. Target achieved Refer to section 5 – Incident reporting

Unauthorized activity on the pipeline easement

4 2

There were two reported unauthorized easement activities during the reporting period. Refer to section 5 – Incident reporting

Exposure of pipeline due to washout and wind erosion

0 2

The pipeline cover was eroded exposing the pipeline at two separate locations due to extensive rains and flooding. Refer to section 4.3.1 Patrol Activities

Unplanned gas release

Number of relief valve / vent discharges

<3 3

Three uncontrolled gas emissions occurred during 2012, all releases were considered minor with volumes considered not a reportable incident.

CS6 ESD – due to an electrical fault

CS3 Station due to an electrical

CS6 ESD due to protective system shut down due to exhaust gas

Number of pipeline leaks greater than 200m

3 / Hr

0 0 Target achieved

SCADA and Leak Detection

Reliability of SCADA and Leak 99.% 99.2% Target achieved in 2012.


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Detection System

Environmental

Number of oil or other uncontrolled hydrocarbon releases

<2 0 No reported oil/hydrocarbon spills were recorded during this reporting period.

Earth Tremor Surveillance

Vehicular surveillance immediately after an earth tremor or flood

100% 100%

Additional patrols were required on several occasions after heavy rains and flooding to access the pipeline and easement. The patrols were conducted as soon as vehicle access was available to each area.

17 CONCLUSION The maintenance and inspection program carried out on the MAPS in 2012 confirms the pipeline is in sound condition and is capable of operating safely within the current operating paramet


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Appendix A – SEO Assessment of Declared Objectives


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ASSESSMENT OF DECLARED OBJECTIVES Objectives and Assessment Criteria

1

OBJECTIVE GOAL Measure/how OBJECTIVE ACHIEVED

OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

1. To avoid unnecessary disturbance to 3

rd

party infrastructure, landholders or land use

1.1 To minimize disturbance or damage to infrastructure / land use and remediate where disturbance cannot be avoided

Incident report.

Records of communications with adjacent landholders / 3rd party prior to and during maintenance work.

Landholder contact records database.

Photo points or inspection reports, specifically to look at: removal of waste products, re-instatement of soil profiles, adequate re-contouring of surface profile, return of land use.

Where disturbance is unavoidable or accidental, infrastructure or land use is restored to the satisfaction of the landholder or to undisturbed condition. Duration of disturbance does not exceed agreed timeframe.

Yes

During 2012 a number of excavations were carried out to support the Epic Energy maintenance program. All excavations were carried out with prior approvals and clearances with all works performed in accordance with Epic Energy’s approved work procedures. Disturbed land is remediated in accordance with Epic’s Excavation Procedure.

1.2 To minimize disturbance to landholders

Records of communications with adjacent landholders / 3rd party prior to and during maintenance work.

Landholder contact records database.

Landholder activities not restricted as a result of pipeline activities.

Completed land disturbance checklist.

No reasonable landholder complaints. Landholder activities not restricted or disturbed as a result of pipeline activities unless by prior arrangement.

Yes

There were no reported landowner complaints during 2012, minimal disturbance to landholders and all prior approval and clearances obtained.

Assessment criteria have been developed to be “black and white”. Professional judgement is required to assess whether non-compliance is minor or major. It is necessary to ensure that adequate

information is available to enable this judgement to be made.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

2. To maintain soil stability / integrity

2.1 To remediate erosion as a result of pipeline operations in a timely manner

Timed photo points or annual land survey, specifically to look at evidence of erosion, subsidence, vegetation loss on easement & compare to adjacent land.

Inspections undertaken as part of regular patrols, following specific works, following significant storm events.

Preventative measures implemented and monitored in susceptible areas.

The extent of soil erosion on the easement was consistent with surrounding land

No

Several erosion locations were identified on the MAP in 2012. These were all reinstated to minimize pipeline exposure. Refer to Section 7 for further information.

2.2 To prevent soil inversion

Annual land survey to look for soil discoloration, success of vegetation return as an indicator.

Disturbance checklist signed off to indicate top soil/subsoil is stockpiled separately and soil profiles appropriately reinstated following the re-instatement of works/excavations.

Vegetation cover is consistent with surrounding land. No evidence of subsoil on surface (colour). Landholder signoff.

Yes

In accordance with Epic Energy’s Soil Erosion and Excavation Procedure, soil profiles are reinstated to restore the original environment pre disturbance.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

3. To maintain native vegetation cover on the easement

3.1 To maintain re-growth of native vegetation on the easement to be consistent with surrounding area

Annual land survey to look for evidence of disturbance to vegetation on easement (apart from access tracks).

Disturbance checklist (including timed photos) signed off to indicate adequate steps undertaken to facilitate re-growth.

Follow-up rehabilitation work was undertaken where natural regeneration was inadequate.

Species abundance and distribution on the easement was consistent with the surrounding area. Note: assessment of the consistency with surrounding areas will take into account that re-growth is a time and rainfall dependent process.

Yes

Following land disturbance, soil is returned to the original profile and cut vegetation is spread over the area to facilitate regrowth. This ensures the condition of native vegetation is consistent with the surrounding vegetation.

3.2 To minimize additional clearing of native vegetation as part of operational activities

Annual land survey to look for evidence of disturbance to vegetation on easement (apart from access tracks).

Use of Disturbance checklist and photo points before, during & after any excavation or land disturbance activity.

Vegetation trimmed rather than cleared where possible.

Consideration of sensitive vegetation during vegetation trimming and / or clearing activities.

Vegetation clearing within the easement or on land adjacent to the easement is limited to previously disturbed areas or areas assessed to be of low sensitivity, unless prior regulatory approval obtained.

Yes

Excavations during 2012 were carried out in areas of the pipeline where there is little or no vegetation and therefore it is considered the impact had by these excavations was minimal.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

3.3 To ensure maintenance activities are planned and conducted in a manner that minimizes impacts on native fauna

Use of Disturbance checklist and photo points before, during & after any excavation or land disturbance activity.

In event of pipeline repair, open trenches are monitored daily and not left open for more than 72 hours.

Vegetation clearing within the easement or on land adjacent to the easement is limited to previously disturbed areas or areas assessed to be of low sensitivity, unless prior regulatory approval obtained.

Yes

Routine maintenance activities during 2012 had no impact on native fauna.

3.4 To minimize disturbance of marine habitats

Only undertake non-interference maintenance activities in the marine habitat.

Obtain regulatory approval prior to undertaking disturbance in marine habitat (contact should be initially made with DMITRE during the planning process).

Use of Disturbance checklist and photo points before, during & after any excavation or marine disturbance activity.

No ‘interference’ activities undertaken in the marine habitat unless prior regulatory approval obtained.

Yes

No interference activities were undertaken in the marine environments through which the pipeline transits.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

4. To prevent the spread of weeds and pathogens

4.1 To ensure that weeds and pathogens are controlled at a level that is at least consistent with adjacent land

Regular patrols undertaken to look for evidence of weeds on easement and adjacent land (if weeds on easement but not adjacent land must implement control to prevent spread).

Records of outbreaks found, weed control activities and photo monitoring of significant outbreaks.

Vehicle wash down register.

Where appropriate, closure of ROW access road.

The presence of weeds and pathogens on the easement was consistent with or better than adjacent land. No new outbreak or spread of weeds reported.

Yes

The presence of weeds and pathogens on the easement are consistent with the adjacent land. Epic Energy has a management program in place for African Rue which occupies the area between CS6 and CS4. Please refer to Section 7 for more information on Epic’s management of this weed.

5. To minimize the impact of the pipeline operations on surface water resources

5.1 To maintain current surface drainage patterns

Regular patrols and annual survey undertaken to look for evidence of erosion, abnormal vegetation growth or death.

Observations also to be undertaken following significant storm events.

Use of Disturbance checklist and photo points before, during & after excavations, CP installation, construction activities, etc.

For excavations, surface drainage profiles restored. For existing easement, drainage is maintained to pre-existing conditions or better.

Yes

There has been no impact to surface water sources from operational activities in 2012.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

6. To avoid land or water contamination

6.1 To prevent spills occurring, and if they occur minimise their impact

Evidence of soil discoloration, vegetation or fauna death during patrols. Incident / Spill reports. Use of spill protection methods where work is completed within or adjacent to environmentally sensitive areas. Containment of all hazardous substances and liquid waste in appropriate vessels. Prevention program including pigging, intelligent pigging and pipe maintenance.

No evidence of any spills or leaks to areas not designated to contain spills.

In the event of a spill, the spill was:

Reported Contained Cleaned-up, and Cause investigated and

corrective and/or preventative action implemented.

Compliance with relevant sections of the Environment Protection Act.

Yes

No spills were recorded in 2012.

6.2 To remediate and monitor areas of known contamination arising from pipeline operations

Incident / Spill reports. Active remediation methods implemented where it is determined that contamination is spreading or level of contamination is not decreasing. Use of groundwater monitoring bores. Use of soil farms for remediation.

Contamination confined to known area.

Level of contamination continually decreasing, ultimately to meet EPA guidelines.

Yes

A soil and groundwater survey was conducted at all MAP compressor stations in 2012. There is no known contamination from operational activities. Please refer to Section 7 for more information.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

6.3 To prevent the spread of contamination where the easement intersects known contaminated sites

Use of Disturbance checklist and photo points before, during & after excavations, CP installation, construction activities, etc. Identification of contaminated sites along easement and establishment of monitoring points.

No evidence of movement of contaminated material along easement (i.e. vegetation death, soil discolouration, subsidence).

Yes

As there are no contaminated sites the movement of contaminated material is not known to have occurred.

6.4 To ensure that rubbish and waste material is disposed of in an appropriate manner.

Regular patrols or annual survey undertaken to look for evidence of rubbish, spills (soil discoloration). Waste disposal records, chemical manifests. Appropriately licensed contractors used for any hazardous waste disposal and records are maintained for all hazardous waste disposal. Use of Disturbance checklist and photo points before, during & after excavations, CP installation, construction activities, etc.

No evidence of rubbish or litter on easement or at facilities.

No evidence that waste material is not contained and disposed of in accordance with Epic approved procedures.

Yes

All waste is managed according to Epic’s Waste Management Procedure.

Hazardous waste is collected and disposed of by a licensed carrier.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

6.5 To prevent impacts as a result of hydro test water and waste water (water bath heaters and wash down water) disposal

Water disposed of in a manner that prevented discharge or runoff to watercourses or environmentally sensitive areas. Water discharged onto stable ground, with no evidence of erosion as a result of discharge. Records on source of water and discharge method/location. Testing of water quality prior to release/disposal of waste water. Inspection of water disposal sites for evidence of water entering a watercourse or environmentally sensitive area.

No evidence of impacts to soil, water and vegetation as a result of water disposal (i.e. soil erosion, dead vegetation, water discoloration).

Yes

There were no operational requirements to dispose of waste water during the reporting period.

6.6 To ensure the safe and appropriate disposal of grey water (sullage, sewage)

Compliance with the relevant local government regulations or relevant health and sanitation regulations.

No evidence of non-compliance with local or state government regulations.

Yes

All waste water at Epic Energy’s facilities is disposed of in accordance with the Waste Management Procedure (via a licensed carrier).

7. To minimise the risk to public health and safety

7.1 To adequately protect public safety during normal operations

Job Hazard Analysis. Records of Annual Reports, Fitness for Purpose Reports, Risk Assessments and inspections. Records (including above) demonstrating compliance to AS2885.

No injuries or incidents involving the public.

Demonstrated compliance with AS 2885.

Emergency procedures implemented and personnel trained.

Yes

Established safe systems of work including the use of approved work instructions and procedures, job hazard analysis, permit to work and experienced staff all contributes to Epic Energy meeting this objective



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

7.2 To adequately protect public safety during maintenance

Job Hazard Analysis’. Records of communications with adjacent landholder prior to & during maintenance work including advice of the nature and schedule of maintenance activities. Use of signage or bunting to identify all potentially hazardous areas. Adequate implementation of traffic management practices. Records of regular emergency response training for employees and review of procedures. Incident Reports.

No injuries or incidents involving the public.


Yes

As per comments in 7.1

7.3 To avoid fires associated with pipeline maintenance activities

Incident reports. Records of regular fire safety and emergency response training for all operations personnel and review of procedures. Established procedures for minimizing fire risk during maintenance.

No pipeline related fires.


Yes

In 2012 there was one spot fire incident on the easement at KP79.9 which was easily controlled using fire extinguishers. An Incident Report was produced.

Epic Energy has a Bushfire Management Procedure in place which describes preventative and response measures.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

7.4 To prevent unauthorised activity on the easement that may adversely impact on the pipeline integrity

Inspection / Patrol reports and records. Comprehensive landholder liaison program and records of communications with landholders. Community education program implemented in Regional areas. ‘Dial before you dig’ number available and widely advertised. Clear identification of the pipeline by signs installed in accordance with AS2885. All reports of unauthorized activity are reported and investigated.

No unauthorised activity on the easement that has the potential to impact on the pipeline integrity.

No

During 2012 there was an encroachment on the pipeline at KP635 where works had been performed without Epic’s knowledge. This was investigated internally and additional preventative measures put in place.

A further encroachment occurred on the Dry Creek Lateral where works were being undertaken without appropriate supervision. This matter was investigated and further Pipeline Awareness presentations were provided.

8. Minimise impact of emergency situations

8.1 To minimise the impact as a result of an emergency situation or incident

Incident reports. Emergency response trials (carried out at least annually) and associated documentation. Records of regular emergency response training for all personnel and review of procedures. Link between ER exercises and Risk assessment.

Emergency response procedures are effectively implemented in the event of an emergency.

Emergency response exercises are aligned with credible threats and consequences identified in the risk assessment.

Yes

No emergency situations have been recorded or managed during this reporting period.

Emergency response is practiced on a regular basis.



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

8.2 To restore any damage that may occur as a result of an emergency situation

Refer to previous criteria (Objective 1, 2, 3 & 6).

Refer to previous criteria (Objective 1, 2, 3 & 6).

Yes

No emergency situations have been recorded or managed during this reporting period.

9. To minimise noise due to operations

9.1 To ensure operations comply with noise standards

Incident reports. Monitoring results, where deemed necessary (e.g. frequent complaints).

Operational activities comply with noise regulations, under the Environment Protection Act 1993.

No complaints received.

Yes

While the operation of the pipeline compression equipment contributes to the overall background noise levels, all sites meet statutory requirements for noise pollution.

Maintenance activities performed during the reporting period did not contribute to any increased noise levels.

10. To minimise atmospheric emissions

10.1 To eliminate uncontrolled atmospheric emissions

Incident reports.

No, uncontrolled atmospheric emission.

No

Three uncontrolled gas releases occurred during 2012. These releases were not serious or reportable incidents.

10.2 To minimise the generation of dust.

Incident reports. Compliance with EMS Procedures (vehicle movement, dust suppression, etc).

No complaints received.

No dust related injuries recorded.

Yes

No dust complaints were received in 2012. Epic undertakes dust remediation measures should this be required.

11. To adequately protect cultural heritage sites and values

11.1 To ensure that identified cultural sites are not disturbed

Consultation with relevant heritage groups if operations occurring outside known surveyed areas. Surveys / Cultural heritage monitoring before / during

No impact to known sites.

Any new sites identified are recorded in Land Management System and reported to appropriate authority.

Yes

Epic Energy has a Cultural Heritage Procedure and Work Instruction which describes the process and considerations that apply to the management of cultural heritage sites on



OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

during operations and maintenance

excavations. Records of site locations on operations GIS. Use of Disturbance checklist prior to undertaking maintenance works. Site examined for cultural heritage material prior to work involving off-easement disturbance or in an area of archaeological potential or in an area identified as being of known medium to high archaeological sensitivity.

or in the vicinity of Epic’s pipeline easements, access tracks and associated facilities.

Prior to conducting any land disturbance, all areas are surveyed to identify whether cultural sites are present or not. No new sites were identified in 2012.

Documents

2012 Annual Report MOOMBA TO ADELAIDE NATURAL GAS …energymining.sa.gov.au/__data/assets/pdf_file/0010/248725/2012_PL_1... · two gas turbine powered centrifugal compressor packages