HID Programme : Operational Policy and Standards - major hazards

• Objectives
• Description of Programme/Activity
• Case for Programme/Workblock
• Managing Delivery

PART 1: OBJECTIVES

(What we are trying to achieve)

Outcomes and Targets

Operational standards work contributes mainly to:

• the PSA targets for Major Hazards; and
• HSC/E's Strategic Programme on Major hazards.

Key HID outcomes are:

• Best practice permissioning and allied processes introduced by April 2006;
• Societal risks from COMAH establishments identified & regulatory framework developed by April 2005;
• LUP mitigation aspects developed to meet finalised SR policy;
• Major accident process safety management guidance introduced by April 2005;
• European major hazards and land use planning developments influenced over the period ahead;
• Implementation of the Fundamental Review of Land Use Planning (IFRLUP) completed by April 2006.

Key Sector outcomes are:

• Multi-agency COMAH competent authority strategic programme introduced to target loss of containment prevention;
• Intelligence led strategic programme implemented to address hydrocarbon releases on offshore installations;
• Strategies and systems developed for assessing the risks from continuing liberalisation of the gas industry, including Transco proposals to sell off distribution networks;
• A strategy for assessment of the risks and verification of standards at Ammonium Nitrate & Explosives sites implemented;
• Health and safety standards maintained through support to industry in the shrinking deep coalmines sector;
• Diving fatalities reduced through targeted guidance and intervention.

PART 2: DESCRIPTION OF PROGRAMME/ACTIVITY

(How we plan to meet the above objectives)

Outline Description of Activity/Programme

Given the primary nature of HID's core business of regulating high hazard industries, the major focus of operational policy including sector activity is in support of major accident prevention and mitigation of safety aspects of maintenance of energy supply in these industry sectors; chemical manufacturing and downstream oil, offshore oil and gas, gas and pipelines, explosives, mining and diving.

Policy and Approach

To ensure consistent, effective policy that is commonly understood, HID's Operational Policy functions in OPU and Sectors work closely with stakeholders, Europe, and the COMAH Competent Authority. These teams also develop and maintain systems, strategies and supporting guidance.

Similarly through the operational policy function and HID's Sectors we contribute to national and international developments to ensure operational experience is considered in the development of legislative policy and standards development by working closely with FOD, HID, Policy Group, DTI and other countries.

Many of the permissioning regime issues, operational policy, technical, and managerial aspects are similar and have common players requiring similar approaches. Hence, where synergies exist HID operates to directorate wide core business processes, standards and guidance.

We recognise the importance of six sectors where policy, operational policy, and operational benefits accrue from modest resourcing enabling the unique knowledge from these sectors to be brought to bear across & within HID's/HSE's activities.

For IFRLUP, a Project Initiation Document (PID) has been drawn up which sets out the 13 key outputs which will deliver this Project. These can be broadly split into Project Definitions (e.g. producing the PID), Technical (e.g. reviewing MSDU methodology) and Devolution (e.g. production of IT/software and communicating with external stakeholders).

Resource Allocation

Following the creation of HID in January 2000 business reviews examined the case for operational policy & the sector support arrangements, and established the current structures with appropriate resources (Later significantly reduced as part of APE and other cuts). The outcome of these reviews were subsequently found to be in accord with the strategic objectives and principles for sectors contained in HSE Board paper B/03/024 which was agreed in April 2003 as part of the HSE Change programme.

7.5% of HID's resources are put to this work stream.

PART 3: CASE FOR PROGRAMME/WORKBLOCK

(Why this?)

Programme Drivers

These activities are mandatory under the following regulations:

• Gas Safety (Management) Regulations (GSMR);
• 1996 Pipeline Safety Regulations 1996 (on and offshore) (PSR);
• These are part of a regulatory package supporting liberalisation of the gas supply market. The GSMR regulations deal with the safe management of the flow of gas through the network, PSR is concerned with pipeline integrity;
• Control of Major Accident Hazards (COMAH) 1999;
• The PSR regulations are also used to help ensure the integrity and safe operation of offshore pipelines, and complement the Offshore Installations (Safety Case) regulations 1992 (SCR) in this regard;
• Land Use Planning is addressed in The Planning (Control of Major Accident Hazards) Regulations 1999;

The Fundamental Review of Land Use Planning seeks to effectively devolve Land Use Planning work to local planning authorities, streamlining the process and allowing local authorities to access HSE advice directly through codified guidance. It is a business efficiency project, completion of which will allow HSE to divert resources from this activity to other important areas of work.

Why it works

The HSE Change programme has examined the general role and benefits of operational policy including sector work. These are equally valid for HID's operational policy and sector capacity. Numbers of reviews have recognised the value of having an operational intelligence/guidance function closely allied to the front-line work which it supports.

The HSE board has endorsed the functions and arrangements for these activities in support of operational activities and policy developments. HSE board papers; B/02/039 September 2002, B/03/003 January 2003 and B/03/024 April 2003.

HID's business re-engineering proposals and the HID Integrated Business Model were accepted in HID MB papers; 00/44 December 2000, 01/25 July 2001, 02/46 October 2002.

The risks being addressed

This programme addresses all Major Hazard Risks.

Scope to increase or reduce this work

Any increase in sector resources would most likely be targeted at programmes to; improve the contribution of off-site emergency planning & information to the public in mitigating the consequences of major accidents in support of UK Government civil contingencies enhancements post September the 11th, address major accident risks not subject to statutory duties or below the current trigger thresholds for permissioning regulation, at none major hazard but high hazard industries, and to enable a greater contribution to HSE's programmes other than major hazards. These areas are currently subject to Cinderella resourcing and of increasing concern as the length and scale of unsupported activity continues.

Cuts in sector resources would bite into support for high business risk major hazard permissioning areas. The Directorate's core business. Dropping most aspects of this work would expose HSE to criticism in the event of a major accident, on the scale seen in the Railway sector, and in some cases place HSE in breach of EU Directive duties.

Evidence and assumptions

These activities have been subject to close scrutiny and ongoing reviews, which have established their efficacy in meeting HID's and HSE's aims and objectives in line with the HSE Change programme. HSE's strategy is that our role should be limited to where it has the skills and expertise to best deliver outcomes. This workstream is one of these instances. It also supports the goal of 'not having a risk free society but one where risk is properly appreciated, understood and managed.'

Current work with policy group on revised offshore regulations is the outcome of one of the aforementioned reviews.

We assume no major changes to the regulatory environment.

No major structural or organisational changes within HID/HSE.

No diminution in resources allocated to the workstream.

PART 4: MANAGING DELIVERY

(How HID will manage this programme)

The main business risks:

The division has responsibility for the management of the following major business risks:

• Enforcement processes;
• Lack of robust, consistent enforcement processes and decisions for:
  • inspection;
  • investigation;
  • permissioning;
  • formal enforcement.
• Major incident response:
  • failure to respond appropriately to major incidents / civil emergencies;
  • inappropriate response;
  • no response.
• Key operational outputs:
  • failure to achieve key operational outputs/outcomes;
  • poor customer relationships;
  • poor 'customer' relationship management, on operational issues.

Regular progress reports are provided to the DDG via Operations Policy Division.

All of the activities in this workstream would be put at risk by:

• insufficient internal resources to deliver the programme (staff, experience, T&S, training and development);
• significant changes in HSE's regulatory and/or advisory role;
• insufficient external (other unit/division/directorate) resources to contribute to programme development;
• continuing priorities/pressures for 'front line' activity at the expense of 'enabling' functions;
• changing IT/IS systems impacting the availability/aptness of information analysis which supports the programme;
• new and conflicting priorities.

Control Measures

A business risk management strategy supported by CD4 is in place. All business risks are identified, evaluated, prioritised, documented and monitored. Risk owners are appointed to ensure appropriate counter-measures are effectively deployed, and routine reporting arrangements ensure the visibility of risk and provide the means for demonstrating effective control.

For IFRLUP, the Project is run using HID adapted PRINCE methodology and managed by a Project Management Board. This is made up of a mixture of HSE senior managers and key external stakeholders (e.g. the Scottish Executive, ODPM and the Local Authorities). PRINCE uses a series of control mechanisms to ensure that the project is kept on track e.g. a risk log lists the likely risks to the project and is reviewed and updated before PMB meetings.

Inputs: Resource requirements and costs

Approximately 48 staff years are directed to Operational Policy on Major Hazards at an estimated cost of 2,242,800 (1,988,090 and 254,710 GAE).

Sources of funding:

Funded from HID resources.

Engagement with Stakeholders

International; through the OECD and other organisations shape future agendas & standards by sharing UK experience and good practice. Working directly with individual countries to share knowledge & experience and where possible jointly developing solutions to common problems.

European Union; promote consistency across Europe by sharing operating experience through COMAH CCA meetings, Land Use Planning TWG5, and the Mutual Joint Visit programme. Liaison in developing UK/Europe pipeline interconnector treaties.

National; work with industry and various associated committees to improve gearing of impact through common understanding and joint agendas. Support the COMAH Competent Authority to ensure a seamless oversight of dutyholders and the provision of a single source of guidance, also to sustain effective and efficient multi working in safety report assessment.

Programme Plan

The programme detail is put together from HID's OG Core operating plan - resources are allocated to it at Unit level.

Accountabilities

This programme is allocated to the Core workstream (along with Enforcement, Investigation, Guidance, Information and Advice).

HID is responsible for delivering this contribution to HSE's Core Programme. Heads of Division (primarily CD for business and technical support work) are responsible for delivery of their contributions to the HID programme.

Outputs and Deliverables

The programme is formed from a combination of directorate wide and sector specific priorities in support of HSE/HID business requirements. These include:

Directorate wide Operational Policy:

• Working with industry (across all HID sectors) to improve gearing of impact through common understanding and joint agendas, in particular promoting best practice in major accident hazards management.
• Developing or contributing to new policy, guidance, and regulations, in particular 'COMAH review & revision', ALARP, and the Offshore Safety Regulations with appropriate stakeholder engagement.
• Business improvement through ensuring efficacy, accessibility, & quality of key business processes and maintenance of guidance, manuals etc (e.g. SCHAM and SRAM). Seeking opportunities for process convergence where possible.
• Undertaking the Societal risk identification project for COMAH installations and support to SR developments on LUP to sustain HSC decisions.
• The continued development of tools, techniques, information and guidance, e.g. to support enforcement benchmarks, embed ALARP principles.
• Develop process safety management systems for major accident prevention and manage the HSE/OG SMS project.
• Promoting consistency across Europe by sharing operating expertise through EU fora and working with individual countries on joint problem solving.
• Support on quality standards and procedures for the full range of HID operations.
• Influencing European Land Use Planning developments through membership of TWG5.
• Promoting, where possible with external stakeholders, development of standards which address off-site risk control and management.
• Development of an internal technical guidance architecture, promoting a focusing of technical guidance on loss of containment prevention, development and maintenance of HID's interface with stakeholders via HSE's website.

Land Use Planning:

The IFRLUP project implements the SPD led Fundamental Review of Land Use Planning and is a "spend to save" project. The Project will review the criteria and methodology used for setting Major Hazards Land Use Planning Consultation Distances; will further codify its advice to the Local Planning Authorities (LPAs) and will then devolve this codified advice to the LPAs so that they can deal with the vast majority of planning applications. Over time this will free up HSE/HID staff to concentrate on other key COMAH functions.

The Project is also helping to develop HSE/C's policy on the use of Societal Risk in Land Use Planning.

Chemicals and downstream oil:

• Support to the COMAH Competent Authority to ensure a seamless oversight of dutyholders and the provision of a single source of guidance.
• In conjunction with Competent Authority partners and Policy Group, developing a strategic onshore major hazards programme and sustaining the arrangements to enable effective and efficient multi agency working in safety report assessment and verification inspection, and extending the Refinery Intervention Strategy to other major hazard sectors to contribute to the major hazard PSA target and compliance with UK/EU law in support of public protection.
• Support to HID's major hazard programmes, e.g. the identification of hazardous substances loss of containment root causes to help development of a suite of projects and guidance to reduce DOs and mitigate their consequences.
• Mapping of major hazard sites with off-site risks and contributing to the development of a national risk picture for communication to OGDs and stakeholders.

Offshore Oil and Gas:

• Development and support of strategic work programme for offshore major hazards, including projects to ensure the industry manages the process of demolition of redundant offshore installations safely, and that the safety critical elements of installation and plant integrity are maintained as the infrastructure ages.
• Support to policy group in the development of a new legislative package.
• Working with stakeholders offshore to improve gearing of impact through common understanding and joint agendas (via Industry Advisory Committee, technical committees etc), and support of the "step change in safety" programme, the DTI sponsored PILOT programme.
• Provision of operational support to the sector, including sector specific legislative guidance, enforcement policies, technical and process support.

Gas and Pipelines:

• Maintaining fit for purpose processes for assessing the risks of major accident hazard pipelines on and offshore, the safety impact of liberalisation of the gas supply industry, and the risks from iron gas distribution networks.
• Working with industry, OGDs and other stakeholders to maintain and where appropriate improve security of gas supply through various processes including the GSMR safety case regime and the Government's Gas and Electricity Emergency Committee.
• Working with FOD, OSD, Gas and Pipelines Policy sections, Ofgem, DTI, and other countries on treaty, legislative, policy, and standards developments at national and international levels bringing operational experience to bear to achieve best practicable outcomes. Managing research where this feeds into the above.

Explosives:

• In conjunction with the Competent Authority partners & Policy Group sustaining the arrangements to enable effective and efficient multi agency working in safety report assessment & verification inspection at COMAH Explosives & Ammonium Nitrate sites.
• Working with stakeholders through the Explosives Industry Forum to identify issues and develop solutions to changes associated with the rationalisation of the explosives industry, the safety implications of new technology, and the inexperience of new entrant SME's. In particular jointly developing guidance on; decontamination of sites, safe disposal of explosives, protective measures for working areas, and storage of fireworks.
• In conjunction with Policy Group & stakeholders to establish arrangements & guidance arising from extending legislation to MOD activities and potential adjustments to the legal status of some installations.
• Provision of support to Local Authorities on technical, legal and use aspects of fireworks.
• Working with stakeholders, including: supporting colleagues engaged in UN developments on the classification of fireworks, contributing to a four country research project into safety of bulk storage of fireworks, engagement with the cross Government liaison group to improve co-ordination of intelligence on fireworks to support more effective targeting of resources, working with DEFRA, Policy Group and stakeholders to develop new sets of regulations & guidance on Ammonium Nitrate.

Mines:

• Support the Coal Authority in its licensing and surface hazards roles and providing advice to the Mines Qualifications Board.
• Engagement with stakeholders, e.g. to develop and implement the new legislative packages, (Fire & Explosion and Inhalable Dust); through the DMIAC, TUs, and the Association representing non-coal mining employers (MAUK) to sustain communication, share knowledge and good practice, and jointly developing standards & guidance, and through the EU standing committee which is replacing the Safety and Health Commission for Mining & other Extractive Industries.
• Development of a strategic intervention project to address the rising incidence of reportable occurrences of fires in deep mines.

Diving:

• Working with stakeholders, e.g. the recreational (at work) diving industry to develop guidance and information with a direct aim of reducing fatalities to members of the public, with the Ministry of Defence to re-establish a robust and effective diving safety management system, with the diving industry to develop guidance on diving in polluted waters, with European and international government representatives to ensure the continuing development of common worldwide diver competence, and contributing to the work of the European Diving Technology Committee in developing 'common platforms' within Europe.
• Technical advice and support, e.g. contributing to the development of European and national standards that impact on diving, commissioning of research projects looking at: the long term health impact of diving; the contribution of diving equipment design and failure modes to diver fatalities; and ways to further reduce incidents of decompression, completion of the diving technical guidance suite to support offshore installation safety case assessment, supporting a review with Policy Group and EMAS, of the Diving at Work Regulations and Approved Codes of Practice, providing support to Local Authority Environmental Health Officers and Trading Standards Officers on legal and technical aspects of diving including the safe use of diving equipment, and providing expert knowledge of diving to Policy Group and to other Government departments whose activities interface with the diving industry.

Evaluation and review

The major hazards programme of work has been subject to considerable scrutiny from a variety of external and internal bodies. HID is contributing to the Evaluation Committee's programme in respect of the relatively new COMAH regime, with first stage evaluation already reported. Current work with policy Group on revised offshore regulations is the outcome of one of these reviews.

New programmes/projects routinely include proportionate evaluation.

All programmes are subject to scrutiny by internal and external stakeholders. Developing and amending policy and guidance is a highly collaborative process, with stakeholder input being actively encouraged.

The IFRLUP Project will be the subject of a Post Implementation Review. There is also a Product within the Project called 'Aftercare'. The primary function of this is to provide technical support to the Local Planning Authorities (LPAs) in the early days after the LUP work has been devolved. However a secondary purpose will be to monitor success of the devolution process and to check the quality of the LPA decision making.