Chemicals - Pipeline

• Petroleum Act 1998

This Act repeals the Petroleum and Submarine Pipelines Act, 1975 under which Pipeline Works Authorisations (PWA) and Discharges Consents were previously issued by consolidating the requirements with other oil and gas legislation.

• Offshore Chemicals Regulations 2002
• Offshore Chemicals (Amendment) Regulations 2011 (pdf file)

These Regulations apply to any pipeline chemical discharge. The DISCON1 has been superseded by the PON15C.

Amendments to the Offshore Chemicals Regulations 2002, made under Schedule 2 of the Offshore Petroleum Activities (Oil Pollution Prevention and Control) Regulations 2005 (OPPC) increase the powers of DECC inspectors to investigate non-compliances and risk of significant pollution from chemical discharges, including the issue of prohibition or enforcement notices.

The amendment regulations came into force on 30 March 2011 and clarify the status of accidental releases and the reporting procedure for PON1s. See Pending Legislation for a description of key changes to the legislation.

• EC Regulation 1907/2006 (REACH) as amended
• The REACH Enforcement Regulations 2008

REACH is a new European Community Regulation on chemicals and their safe use (EC 1907/2006). It deals with the Registration, Evaluation, Authorisation and Restriction of Chemical substances. The new law entered into force on 1 June 2007.  REACH requirements will be phased in over a period of 11 years (see Performance Standards)

The EC REACH Regulations are directly applicable in the UK, however the REACH Enforcement Regulations 2008 provide the regulatory framework for REACH in the UK. The UK REACH Regulations apply to all offshore installations but not ships. DECC has issued an Advisory Note on Offshore Application of REACH.

• Convention on the Protection of the Marine Environment of the North East Atlantic 1992 (OSPAR Convention)
• OSPAR Guidelines for Completing the Harmonised Offshore Chemical Notification Format (HOCNF).
• OSPAR Recommendation 2006/3 on Environmental Goals for the Discharge by the Offshore Industry of Chemicals that Are, or Which Contain Substances Identified as Candidates for Substitution (see Pending Legislation)
• OSPAR Recommendation 2005/2 on Environmental Goals for the Discharge by the Offshore Industry of Chemicals that Are, or Contain Added Substances, Listed in the OSPAR 2004 List of Chemicals for Priority Action (see Pending Legislation)
• OSPAR Recommendation 2000/2 on a harmonised mandatory control system for the use and reduction of the discharge of offshore chemicals as amended by OSPAR Decision 2005/1
• OSPAR Recommendation 2010/3 on a Harmonised Offshore Chemical Notification Format (HOCNF)
• OSPAR Recommendation 2010/4 on a Harmonised Pre-Screening Scheme for Offshore Chemicals
• OSPAR Guidelines (2010-5) for Completing the HOCNF
• Previous Offshore Chemical Notification Scheme (OCNS)
• EC Regulation 850/2004 on Persistent Organic Pollutants

• The Persistent Organic Pollutants Regulations 2007

These Regulations control the production and use of certain persistant organic pollutants (e.g. PCBs and PAHs). Requirements include controls on use and waste handling/disposal of products containing such components. Controls on use/discharge will be managed through the existing CEFAS registration scheme under the Offshore Chemical Regulations 2002.

• DECC Guidance Notes on the Offshore Chemicals Regulations (March 2011)

Note: revisions to these new guidance notes are not yet incorporated in this website, and will be included at the next quarterly review.

• DECC Advisory Note on Offshore Application of REACH (February 2011 - Version 5)
• REACH Guidance available on ECHA Website
• In addition, the HSE has a very comprehensive website providing guidance on REACH - the website is accessible from: http://www.hse.gov.uk/reach/index.htm.

The Petroleum Act, 1998 requires an application to be made to the Secretary of State for a Pipelines Works Authorisation to construct and use a submarine pipeline on the United Kingdom Continental Shelf.

Although some information on chemicals may still included in the PWA application, use and discharge of chemicals is now covered by the Offshore Chemicals Regulations 2002 and a separate permit application is required.

Application must be made using a PON15C. 

Note: A PON15C is a multi function consent application document and may be used to include information required for the following consents as well as a Chemical Permit application if so desired:

• EIA Direction under the EIA Regulations (1999) - See Offshore EIA;
• Consent to Locate under Section 4 of the Coast Protection Act 1949 - See Navigational Interference;
• Deposits to Sea licence under Part II of the Food and Environmental Protection Act (FEPA) or the Petroleum Act 1998 - see Pipeline Stabilisation;
• Disturance Assessment of European Protected Species under the Offshore Marine Conservation (Natural Habitats &c) Regulations 2007 - see Geological Survey.

PON15s must be submitted electronically to DECC via the UK Oil Portal. Operators will need to be registered with DECC for access to the Portal.

To set up a UK Oil Portal Account, contact the DECC OED Environmental Management Team at ukop@decc.gsi.gov.uk

Any problems with PON15 submission contact the DECC OED EMT by email at emt@decc.gsi.gov.uk

At least 28 days prior to operation.

Consultations with FRS or CEFAS will be made by DECC.

Operators will need to assess the risks to the environment, which might arise from their particular chemicals use and discharge. For some chemicals e.g. those on the OSPAR PLONOR list, assessment will be straightforward. Others will require a formal process of risk assessment, such as can be done using available risk assessment protocols such as the Osborne Adams calculation. In this process, the predicted environmental concentration (PEC), determined from a knowledge of individual substance or product chemistry and the conditions of use, is compared with the Predicted No-effect Concentration (PNEC) determined from toxicity tests conducted to agreed protocols. This allows more informed assessments of risk to local sensitivities to be made in particular use and/or discharge scenarios. 

Term permit for the discharge of chemicals from pipelines impose the following general duties:

• Chemical concentrations measured at the point of discharge must not exceed the concentrations specified in the permit;
• Chemicals can only be discharged at the specified coordinates (latitude / longitude);
• The discharge rate and volume of chemicals from the pipeline should not exceed the amounts stated within the permit;
• The chemicals can only be discharged at the water depth stated within the permit.

UK National Plan for the phase-out of substances identified as candidates for substitution - in line with OSPAR Recommendation 2006/3

The full text of the current UK National Plan for phase out can be found on the CEFAS website

OSPAR Recommendation 2006/3 requires that as soon as is practicable and not later than 1 January 2017, Contracting Parties to OSPAR should have phased out the discharge of offshore chemicals that are, or which contain substances, identified as candidates for substitution except for those chemicals where despite considerable efforts, it can be demonstrated that this is not feasible due to technical or safety reasons. Demonstration of those reasons should include a description of those efforts.

Having considered the requirements of OSPAR Recomendation 2006/3, the UK has decided to base its National Plan for the prioritisation of phase-out on the following criteria:

• Perceived difficulty of phase out;
• Securing the replacement of candidates for substitution in preference to eliminating operational discharges to the marine environment.
• Prioritisation based on the persistence, bioaccumlation and toxicological properties of the chemical.

The UK National Plan also incorporates justification of continued use and/or discharge as an additional element: for those substances where replacement and/or eliminating discharges to the marine environment is not currently feasible, offshore operators or their chemical suppliers will annually be required to:

• Confirm the efforts made to phase out the use and/or discharge of the candidates for substitution;
• Confirm the nature and timing of planned research and development studies or trials to supplement those efforts conform whether any measures have been taken to reduce the use and/or discahrge of the candidate for substitution; and
• Confirm the technical and/or safety issues that make it necessary to continue use and/or discharge of the candidate for substitution.

UK National Plan level criteria and interim target dates are (See the full text of the UK National Plan (pdf file) on the CEFAS website for definitions of persistence, bioaccumulating and toxicity):

• Level 1 (highest priority)
  • Organic substances that are highly persistent, bioaccumulating and toxic
  • Chemicals to be replaced; or discharges to the marine environment to be eliminated or continued use and/or discharge to be formally justified by end December 2010.
• Level 2
  • Moderately persistent, bioaccumulating and toxic or
  • Highly persistent and bioaccumulating; or
  • Highly persistent and toxic chemicals
  • To be replaced, or discharges to the marine environment eliinated, or continued use and/or discharge to be formally justified by end December 2012.
• Level 3
  • Moderately persistent and bioaccumulating; or
  • Moderately persistent and toxic; or
  • Bioaccumulating and toxic chemicals
  • To be repelaced, or discharges to the marine environment eliminated and/or discharge formally justified by end December 2014.
• Level 4 (lowest priority)
  • Highly persistent organic substances; or
  • Inorganic substances with toxicity <1mg/l
  • Chemicals to be replaced, or discharges to the marine environment eliminated, or continued use and/or discharge to be formally justified by end December 2016.

EC Regulation 1907/2006 (REACH)

REACH deals with the Registration, Evaluation, Authorisation and Restriction of Chemical substances.

The aim of REACH is to improve the protection of human health and the environment through the better and earlier identification of the intrinsic properties of chemical substances. At the same time, innovative capability and competitiveness of the EU chemicals industry should be enhanced. The benefits of the REACH system will come gradually, as more and more substances are phased into REACH.

The HSE is the UK Competent Authority for REACH and is working closely with Defra plus other Government departments and Agencies on the policy / enforcement aspects. HSE enforces maritime Health and Safety Regulations which apply to offshore installations.

To ensure a consistent regime, the offshore enforcement of REACH will be carried out by those who are familiar with enforcement requirements in similar circumstances to that required by REACH. Therefore, HSE and DECC will enforce offshore the aspects of REACH relating to health / safety and environmental protection - using their respective onshore administrative procedures and offshore inspectors to check compliance with the relevant provisions. In this regard, DECC sits on the REACH Enforcement Liaison Group (established by the HSE) to ensure that a proportionate and consistent method of enforcement is adopted.

From an offshore environmental protection perspective, the OSPAR HMCS and REACH requirements will run in parallel, with the HMCS approach to controlling offshore chemicals being appropriately harmonised with the provisions of the EU Regulation.

Accordingly, the UK REACH Enforcement Regulations contain certain provisions from, and makes references to, the OCR so effectively OCR (and hence the HMCS) will be the mechanism for supporting the application of the environmental protection elements of REACH to offshore installations. It should, however, be noted that DECC’s regulatory regime for offshore chemicals does not extend to Scottish controlled waters and therefore, in so far as this area is concerned, REACH will be enforced by an authorised body (i.e. SEPA) on behalf of the Scottish Executive.

REACH provisions will be phased-in over 11 years. Companies can find explanations of REACH in the guidance documents and can address themselves to a number of helpdesks. Also see Guidance Notes.

Appendix 1 of the DECC Guidance Notes on Reach addresses Specific REACH issues pertaining to the offshore sector.

A Timetable of REACH Implementation is available on the DECC Website.

It is likely that monitoring / sampling requirements will be imposed, but if they are this will be a part of the conditions attached to the Chemical Term Permit or Works Authorisation.

Chemical Use and Discharge

Reports should be made on pipeline chemicals as required using the EEMS PermPipe form from the EEMS website.

Annual Progress Reports on Substitution Chemicals

Previously progress reports on substitution chemicals have only been requested for production chemicals (PON15D). This reporting requirement is now extended to term permits. A reporting template can be downloaded from the DECC website. Reporting includes summary of chemicals replaced, summary of chemicals still to be replaced and justification for continued use and/or discharge.

Chemical Use and Discharge

Reports need to be made electronically on the EEMS website after each pipeline operation. 

DECC will use EEMS reports to cross check against permit conditions to ensure compliance. 

Annual Progress Reports on Substitution Chemicals

Reports need to be submitted to DECC Environmental Management Team by email to emt@decc.gsi.gov.uk

Chemical Use and Discharge - EEMS reports to be submitted 28 days after operation completion.

Annual progress reports are required to be submitted on or before the 28 February of each calendar year.

DECC Permit Condition Non-Compliance Notification Form is to be used for reporting any identified non-compliances against Chemical Permit conditions issued under the provisions of the Offshore Chemical Regulations 2002.

Examples of these may include, but not be limited to: identified over use of chemicals or use and/or discharge of chemicals not included on the permit. In addition the form may be used to notify DECC of any other applicable notifications specifically as required by the chemical permit conditions as appropriate.

Variations to chemical permits should be made before exceeding permit limits. Emergency approval of chemical use and/or discharge can be obtained out of normal office hours by contacting DECC Duty Officer - ask to be connected to the On-Call Response Office (Offshore Environmental Inspectorate). Guidance on emergency approval can be found in the Guidance Notes.

If a variation is not in place before the unpermitted use or discharge occurs, a non-compliance notification form should be submitted. It is an offence not to submit a non-compliance report if required.

At any reasonable time (or, in a situation which in his opinion may give rise to a risk of significant pollution to the environment as a result of the use or discharge from an offshore source of an offshore chemical, at any time) the inspector may board any offshore installation to undertake inspections and investigations.

The DECC Environmental Inspectorate Enforcement Policy sets out the general principles that Inspectors shall follow in relation to enforcement including prosecution.

DECC, if of the opinion that the OCR 2002 Regulations have been contravened, may issue an enforcement notice. This will specify the matters that constitute or are likely to constitute a contravention, steps required to rectify the matter and the time period within which these steps must be undertaken. If an enforcement notice is not addressed, DECC may take action itself and recover reasonable costs back from the operator.

If DECC is of the opinion that the operation of an offshore installation involves an imminent risk of serious pollution as a consequence of any discharge of chemical, DECC may serve a prohibition notice. This will specify the pollution risk, the steps required to remove it and the time period, and may withdraw a permit wholly or in part until the prohibition notice is withdrawn.

A person is guilty of an offence if he:

(a) Uses or discharges any offshore chemical in the relevant area without a permit;

(b) Uses or discharges any offshore chemical in breach of the terms of any condition attached to any permit;

(c) Is seen by an inspector to use or discharge of an offshore chemical that involves a serious and imminent risk of pollution;

(d) Fails to supply any information required to be supplied by virtue of the terms of any permit granted under these Regulations;

(e) Knowingly or recklessly makes a statement which he knows to be false or misleading in a material particular where such a statement:

(i) Is made in connection with or for the purposes of, any application for a permit, the renewal of a permit or the variation of a permit; or

(ii) Is made for the purposes of satisfying any requirement under these Regulations for the supply of information to the Secretary of State or an inspector appointed pursuant to regulation 16;

(f) Willfully obstructs an inspector; or

(g) Without reasonable excuse fails to comply with an obligation imposed in pursuance of the regulations or prevents another person from complying with such a requirement.

Not applicable as permits are issued for a specified permit. DECC must be notified of any pipeline installation/commissioning schedule changes.

If the permit expiry date is likely to be exceeded, a variation should be submitted in order to extend the permit, at least 2 weeks prior to the due date.

Permit holders applying for an emergency variation should telephone the DECC out of hours contact. These details will be passed to the DECC on-call Environmental Inspector who will contact the permit holder to further discuss the emergency variation request.

Following a review of the chemical permitting procedures, DECC now require that all emergency chemical variation requests are made in writing following the initial contact telephone call. The DECC on-call Environmental Inspector will email a data request by email, with completed questions returned by email. Following a review of the request a written response granting or approving the variation will be sent by return of email.

The applicant must subsequently formally vary the PON15 permit within 2 working days of the emergency contact.

For more information see DECC Environmental Alert 004/2009

Applications need to be made to DECC for a variation in the terms and conditions of a permit if there is any increase in the use and discharge of chemicals or changes in the chemicals used. All applications need to be considered by DECC and FRS (CEFAS in England and Wales).

Update - change to PON15 made after the application but before approval has been given.

Variation - change to PON15 made after approval has been given.

Application for a variation or update should be made by clearly amending the previously submitted PON15C.

A variation or update cannot be submitted once a Term Permit has expired, and a new application must be submitted.

If submitting a variation, all sections should be completed describing any changes in chemical usage relating to the new works. Variations will be dealt with by DECC as quickly as possible, but 28 days should be allowed for the assessment of any significant changes.

Note - a variation cannot be submitted once a Term Permit has expired, and a new application must be submitted.

Pipeline discharges cannot be calculated using the CHARM calculator, however CEFAS has developed a methodology for the calculation of PEC: PNEC for pipeline hydro test chemicals and is described in the DECC Additional Guidance. This is not a definitive method and DECC will consider alternative risk assessment methods/models when presented with the appropriate scientific justification.

UK/Norway Median Line

Where a pipeline crosses the UK/Norway boundary, the provisions of the Framework Agreement between UK and Norway, which was signed in April 2005, will apply. A summary of the main points can be found on DECC website, including a link to the full text of the agreement.