Risk Management

WELCOME

Why Focus on MAHAC Process Industry  Complexity

of Reactions  Diversity and spread  Domino/Cascade effects-Offsite  High Inventories, Nature of materials  Severity of impact

Benefits-from Chemical Spectrum  Audio

Cassettes  Bubble gum  Cooking Gas  Detergents  Fertilisers  Leather chemicals  Masking tapes

Paints Perfumes Petrochemicals Pharmaceuticals Plastics Semiconductors Tyres

Activity Flow Chart-Project conception        

Engineering Design Technology Options/Selection Layout Planning /Layout Construction Trial Runs Stabilisation Perfecting Operation Validation

Hazards  Every

activity has an element of Hazard  Hazard leads to Risk  Risk Leads to Consequence  Consequence impacts vary  Weather/Environment factors influence gravity  Safe guards and Controls mitigate/ minimise impact

Risk Analysis  Since

Hazard is inherent, Risk analysis is essential  Broadly there are 5-steps to Risk Analysis

“HSE UK Leaflet”-ADAPT TO SPECIFIC NEED “Step 1  Identify the hazards Step 2  Decide who might be harmed and how Step 3  Evaluate the risks and decide on precautions Step 4  Record your findings and implement them Step 5  Review your assessment and update if necessary”

Step 1-Hazard Identification General applicable  Raw Material Pipe/ Tanker receipt  Pump Transfer  Storage  Line out to Production Block

Hazard Sources-Illustrated examples  Equipment

related  Process related  Controls related  Natural causes  Security related issues:-Arson, Vandalism, IEDs

Piping  Leaks

from Valves  Flanges, Gaskets, Drains/Vents  Disconnection of Earthing/Bonding  Fatigue /Metallurgical failures

Tanker truck       

Excess pressure build up in the tanker Improper earthing/bonding Leakage/spill Hot parts of the truck Run downs and Spread Physical impacts Movement during loading

Pumps  Seal/gland  Electrical

leaks

Panels =Sparking /arcing/flashovers  Loss of integrity of FLP fittings  Short circuit

Storage     

Containment failure Leaks/Overflow in Tank area Storage Nozzle/Pipe connection leaks Instantaneous release of liquid/Vapour Continuous release of liquid/Vapour

Production/Process  Equipment  Reactors,

Exchangers, Boilers, Hot Oil systems, Chillers,Centrifuges, Dryers, Scrubbers, etc

Raw Material        

Combustible Flammable Explosive Toxic Corrrosive Spontaneous igniting Reactive Incompatible etc

Reactions  Hydroforming  Catalytic

cracking  Polymerisation  High pressure Synthesis  Hydrogenation  Halogenation  Grignard, Fridel Kraft, Amination etc

Process Parameters  Pressure  Temperature  Flow  Level  Monitoring

& Measurement

Results  Equipment

+ Materials+ Reactions+ Process parameters= Products/Bye products  Material Balance  Un-reacted wastes  Recovery, Recycle, Reuse, Reduce  Scrubbing, Treatment, Transfer, Emit

Deviations Leads to Risk. Design Changes without evaluation Operational  Failure

of Utilities or Cooling system  Scrubbing system failures,  Malfunction /Failure of Process Controls  Parameter deviations

Incident -Consequences  Fire  Explosion  Toxic

release

Step-2 Consequences- Who might be harmed  People  Environment  Equipment  Materials

Incident--What it Means         

Property Damage /Personnel harm Plant Start-up Delays Restricted Output Downtime Repairs Cost Insurance Costs Public Reaction Societal impact Economic Impact

Related Consequences  Legal  Statutory  Insurance  Public

Liability

Desirable Approach  Avoid

Major  Manage Medium  Live with Low risk  Treat, Tolerate, Transfer, Terminate  ALARP  ALASA  Within Permissible Limits

Step-3 Basis—Risk Analysis  Structured

& Relevant  Qualitative & Quantitative  Adopt applicable methodology  CCPS AIChE publication, HSE- UK,  US EPA, European Directives  Risk Templates used by Accreditation agencies and such

Hazard Analysis Typical Applications Activity Technique  Design PHA  Detailed Engineering Fault Tree / Event Tree Analysis  Construction / Startup Checklist/Safety Review  Pilot Plant Operation / HAZOP  Routine Operation

Hazard Analysis (Contd)  Decommissioning

What–If, Checklist Analysis  Expansion HAZOP/Relative Ranking  R&D What – If  Incident Investigation What– If / FMEA / HRA

Step-4 Considerations for Impact Derivations  On

Site risk tabulation  Hazmat Inventory volumes  Hazard ratings-NFPA,  Maximum Credible Scenarios shortlist  Weather factors, Environmental risk  Exposure factors--Acute/Chronic

Step 5 -Impact estimation/ Assessment Review F

& E and Mond Indexing  TLV/PEL/TEEL/ERPG references  BMPPD values estimation  AMPPD values estimation  Software derivations  Recording Risk Impact  Assessing Protection & Controls

Protection & Controls  Design

/Layout integrated  Management controls  Process Safety Management  Operational Controls  Procedural Controls  Administrative Controls  Emergency combat protection

Design & Layout  Codes

& Standards  Regulatory specifications  Demographical considerations  Domino/Cascade effects  Land use zoning aspects  Later additions

Management Controls  Setting

Objectives & Goals  Legal Register compliance  Audits—Internal, Multi-Disciplinary, External , Statutory  Audit follow through  Activity Planners  Performance Review

Good Audits

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Clarity in Scope definition Standards referenced Audit methodology—LPRM Specialist- Core competency,No rigid formats, No boundaries, Out of the Box approach, Bare all/ Tell all Partners/ Benchmark Facilitators-Reputation driven. Pre-audit survey/information input Physical visit—Opening meeting, Site co-ordinators, Physical tour, Interaction, Documents review, Audit notes, Draft sum-up, Closing meeting, Focus area identification, Action plan Roadmap, Final report

AUDIT CHECKLIST REFERENCES  BIS

14489  5-STAR  ISRS  OHSAS  DUPONT SYSTEMS  DOW CHECKLIST  PSM

Document Management  Design,

Installation, Operation, Final Qualification acceptance criteria  Maintenance and History cards  Inspection and Condition monitoring trends

People Management  Training  NEST,STOP,

CARE  Participative forums  Self- Regulating mindset  Beyond Compliance

Process Safety Management  Process

Safety Information  Process Hazard Analysis  Standard Operating Procedures  Training  Contractor control  Pre-start up safety review  Mechanical Integrity

PSM Contd  Non-routine

work authorisations  Management of Change  Investigation of incidents  Emergency Preparedness  Compliance audit  Employee participation

Operational Controls        

Built in Equipment Safeguards LOPA SIL Instrument Controls-Alarm/Trip/Interlock Remote ESD DCS PLC SCADA

Procedural Controls  SOPs  WI  Checklists  Permits

to Work

Change Management/Equipment Management

Featured in Link http://www.pdfcoke.com/doc/ 20319667/Safety-in-Chemical-andHydrocarbon-process-IndustryChange-Management

Change Management-Key aspects     

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Change involves thinking holistically Change may necessitate downtime Interruption due to incidents can affect safety of personnel and Business economics. Each change review should be situation specific. General references cannot displace internal Multi-disciplinary review and validation. Yet changes can become necessary to continually improve Safety, Health & Environment

Preparedness  Despite

all this and the inescapable Human Error factor it is essential to be well prepared to handle Emergencies to Control, Contain incidents with Nil or Minimal consequential damage

Emergency handling  Site

specific Emergency Preparedness Plan  Drills—Site/Process Specific  Evaluation template for Drills  Inclusion of Natural perils scenarios—Storm, Building Collapse  Security related –IED, Arson, Terrorism, Malicious damage, Riots

SHE Management 

Technology selection, Design Safeguards, Layout form a key triangle in Facility Construction.

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Process/Protection controls, Condition monitoring, Site Audits, form the triangle for smooth operations.

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Management Controls, Standard Operating Procedures, Training, form the key 3 Administrative measures.

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Regulations, Codes and Standards and Third party Audits complete the key elements for successful Management of SHE.

Systematic Analysis/Approach  

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Avoids GUESS “Going Unorganised Eliminating Systematic Study” Enables Focus on Realistic, Practical, Attainable solutions balancing EHS/Business activities Risk Management Plan can be tailored integrating Regulatory needs/EHS Plan/Business Economics. Lends greater credibility to justify implementation costs of Safeguards

Company Benefits  Good

corporate citizen  Reputation management  Cost effectiveness  Continual improvement  Cause focused /Not consequence centric  Proactive Vs Reactive  Rework avoid

Abbreviations List -AL               

AIChE ALARP ALASA AMC AMPPD BIS BMPPD CARE CCA CCPS DCS EHS ERPG ESD ETA

American Institute of Chemical Engineers As Low As Reasonably Practical As Low As Societal Acceptable Annual Maintenance Contract Actual Maximum Probable Property Damage Bureau of Indian Standards Base Maximum Probable Property Damage Constant Accident Reduction Efforts Cause Consequence Analysis Centre for Chemical Process Safety Distributed Control System Environment, Health & Safety Emergency Response Planning Guideline Emergency Safety Device Event Tree Analysis

AL              

F&E FLP FMEA FRLS FTA HAZOP HR HRA HSE ID IDLH IED IP ISRS

Fire & Explosion Flameproof Failure Mode and Effects Analysis Fire Resistant Low Smoke Fault Tree Analysis Hazard Operability Heat Resistant Human Reliability Analysis Health & Safety Executive Identity Immediately Dangerous to Life & Health Improvised Explosive Devices Ingress Protection International Safety Rating System

AL              

LOP LOPA LPRM MAHAC MOC MTBF MTO NDT NEST NFPA O&M OEM OHSAS OSEP

Loss of Profit Layer of Protection Analysis Loss Prevention Risk Management Major Accident Hazard Category Material of Construction Mean Time Between Failure Material Transfer Order Non Destructive Testing New Employee Safety Training National Fire Protection Agency Operation & Maintenance Original Equipment Manufacturer Occupational Health and Safety Assessment Series On Site Emergency Plan

AL               

P & ID PDCA PEL PEME PHA PLC PM PSM R&D RCA SCADA SHE SIL SOP STOP

Piping & Instrumentation Diagram Plan, Develop, Check and Act Permissible Exposure Limit People, Environment, Materials, Equipment Process Hazard Analysis Programme Logic Control Preventive Maintenance Process Safety Management Research & Development Root Cause Analysis Supervisory Control and Data Acquisition Safety, Health & Environment Safety Integrity Level Standard Operating Procedure Safety Training Observation Program

AL TEEL  TLV  US EPA  WI  ZH Source credits: 

Temporary Emergency Exposure Limit Threshold Limit Value United States Environment Protection Agency Work Instructions Zero Halogen CCPS, HSE -UK,US- EPA, SCAPA,CFR-1910 DuPont, Dow Publications,Dow F &EI Practical Experiences Professional contributions Interactions with Chemical Industry,OEMs.