Administrative Guidance

President Trump signed another Executive Order (EO) on January 30, 2017, entitled Reducing Regulation and Controlling Regulatory Costs. The new EO, applicable to the entire Executive Branch, including all federal administrative agencies, makes a straightforward directive: “…for every one new regulation issued, at least two prior regulations be identified for elimination.” The Order goes on to state that the costs associated with any new regulations may not exceed the savings realized by repealing at least two prior regulations (“the total incremental cost of all new regulations…shall be no greater than zero.”).
Continue Reading New Executive Order Requires Agencies to Withdraw 2 Regulations for Every 1 Proposed

On the first day of the new Trump Administration, Chief of Staff Reince Priebus issued a Memorandum to the heads of all Executive Departments and Agencies, requesting that all federal agencies suspend transmittal of any new proposed or final rules to the Office of the Federal Register (OFR) until the new Administration’s Agency appointees have an opportunity to review such proposals. The Memo also asks all agencies to “immediately withdraw” any proposed or final regulations that have been sent to the OFR but not yet published in the Federal Register (there is always at least a several day delay between the time that new rules are sent to OFR and then published in the Federal Register). In addition, the Memo requests that Agencies postpone the effective date (by at least 60 days) of any rules that have been published in the Federal Register but have not yet become effective.

Continue Reading Regulatory Freeze issued by New Administration

Citing concerns that intrastate and small gas transmission pipeline operators may not be accurately identifying high consequence areas (HCAs) as part of their integrity management programs (IMP), PHMSA issued yet another advisory to the industry on December 12, 2016.  In its seventh advisory issued this year, PHMSA explains the need for further guidance on the methodology based on recent inspections as well as a Safety Recommendation issued by the National Transportation Safety Board (NTSB) in 2015 (NTSB Recommendation P-15-06, issued in conjunction with the Board’s Safety Study of implementation of gas transmission integrity management rules).

Continue Reading Concerns about HCA Identification Methods Prompts Advisory

PHMSA has rescheduled the public meetings of the Gas Pipeline Advisory Committee (GPAC) for January 11-12, 2017.  The purpose of these meetings is to discuss PHMSA’s proposed gas mega rule and the underlying regulatory analysis.  The meetings were previously scheduled for December 7-8, 2016, but have been rescheduled based on the availability of committee members and resources.

Continue Reading GPAC Public Meetings to Discuss PHMSA Gas Rule Rescheduled

On October 11, 2016, PHMSA released a Policy Statement notifying owners and operators of oil and gas pipelines that it is finally making its civil penalty framework publicly accessible, and that respondents may now request proposed civil penalty calculations in enforcement actions.
Continue Reading Pipelines Subject to Higher Penalties under New PHMSA Civil Penalty Policy

PHMSA issued an advisory to operators regarding the applicability of its safety regulations to idled, inactive and abandoned pipe. Congress directed PHMSA to issue such an advisory in the recent PIPES Act of 2016, in response to several high profile incidents involving idled pipe.
Continue Reading Pipe Subject to Safety Regulations Until Formally Abandoned: PHMSA Advisory

A recent PHMSA Advisory Bulletin warns the pipeline industry about Corrosion Under Insulation (CUI), which is frequently used on pipe transporting heavy crude oil.  Such products are often heated for more efficient transport, thus the pipe is wrapped with foam insulation over the coating, and then further covered with a tape wrap over the insulation.  The crude oil release from a Plains All American pipeline near Santa Barbara in May of 2015 used such thermal insulation, and the government’s investigation following that release prompted this Advisory from PHMSA.

Continue Reading Advisory Bulletin Warns About Corrosion Under Insulation

The ongoing leak of methane from Southern California Natural Gas Company’s Aliso Canyon/Porter Ranch underground storage field near Los Angeles has drawn national attention to underground natural gas storage, triggering regulatory and legislative efforts to regulate these facilities at federal and state levels.
Continue Reading Another Step Closer to Federal Regulation of Underground Storage

PHMSA has again released an advisory to pipeline operators on the potential for damage to pipeline facilities caused by severe flooding, as well as actions operators should consider taking to ensure the integrity of pipelines in the event of flooding, river scour, and river channel migration.  The advisory is essentially identical to advisories PHMSA has issued on the same topic in July 2013 and April 2015 (see previous posts on these advisories from 2013 and 2015), reflecting a tendency of the Agency to issue such guidance cyclically.

Continue Reading Advisory Regarding Damage to Pipeline from Flooding Re-Issued