PUBLIC SERVICE COMMISSION OF WISCONSIN
Revision of Wisconsin Administrative Code Chapter PSC 135 Gas Safety to Adopt Updates to the Federal Gas Pipeline Safety Code | 1-AC-255 |
Clearinghouse Rule No. 21-049
The statement of scope for this rule, SS 075-20, was approved by the Governor on June 5, 2020, published in Register No. 774A3 on June 15, 2020, and approved by the Commission on September 17, 2020. This rule was approved by the Governor on November 24, 2021. ORDER ADOPTING FINAL RULES
This is an Order of the Public Service Commission of Wisconsin proposing to repeal PSC 135.055, 135.163 (1) (Note), 135.753; amend PSC 135.019 (1), 135.163 (1), 135.457, 135.505, 135.614, 135.621 (1), 135.713, 135.723, 135.727, 135.747; renumber and amend PSC 135.204, 135.321, 135.720; create PSC 135.019 (5), relating to the adoption of federal pipeline safety regulations.
ANALYSIS PREPARED BY
THE PUBLIC SERVICE COMMISSION OF WISCONSIN
A. Text of Rule
The proposed rule text is provided in Appendix A to this Order.
B. Statute Interpreted
This rule interprets Wis. Stat. § 196.745. Pursuant to the Commission’s contract with the U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety, this rule interprets the federal pipeline safety regulations (49 CFR Parts 190 to 199). C. Statutory Authority and Explanation of Authority
This rulemaking is authorized under Wis. Stat. §§ 196.02 (1) and (3), 196.745 (1) (a), and 227.11 (2). Wisconsin Stat. § 196.02 (1) authorizes the Commission to do all things necessary and convenient to its jurisdiction. Wisconsin Stat. § 196.02 (3) grants the Commission specific authority to promulgate rules. Wisconsin Stat. § 196.745 (1) (a) grants the Commission specific authority to adopt rules requiring that the construction and operation of gas facilities be done in a reasonably adequate and safe manner. Wisconsin Stat. § 227.11 authorizes agencies to promulgate administrative rules. D. Related Statutes or Rules
The federal pipeline safety statutes are found in 49 USC Parts 60101 to 60141. The federal pipeline safety regulations may be found in 49 CFR Parts 190 to 199. Under an agreement with the U.S. Department of Transportation, PHMSA Office of Pipeline Safety, the Commission enforces the federal pipeline safety regulations for Wisconsin’s natural gas pipeline operators, primarily public utilities. Under this agreement, the Commission has the authority to make additions to the federal code that are more stringent than the federal standards. Wisconsin Admin. Code ch. PSC 134 relates to gas service standards and has some requirements concerning safe interactions between pipeline operators and their customers. E. Plain Language Analysis
Since 1968 the Commission has incorporated and adopted updates to the federal pipeline safety code in Wis. Admin. Code ch. PSC 135. This rulemaking revises Wis. Admin. Code ch. PSC 135 to incorporate updates to the federal pipeline safety code since the last revision to Wis. Admin. Code ch. PSC 135 took effect. An existing agreement with the U.S. Department of Transportation, Office of Pipeline Safety, authorizes the Commission to enforce federal natural gas pipeline safety requirements as set out in the Code of Federal Regulations, 49 CFR Parts 192, 193, and 199. As part of this agreement, the Commission adopts the federal pipeline safety code in Wis. Admin. Code § PSC 135.019. Wisconsin Admin. Code § PSC 135.019 currently adopts the federal code as it exists through October 1, 2017. Since that date, PHMSA updated the federal code with respect to plastic piping systems, onshore gas transmission pipelines, underground storage facilities, and gas pipeline regulatory reform necessary to enhance pipeline safety by adopting innovative technologies and best practices. These proposed revisions adopt the federal code through March 21, 2021. Amendments to the federal code related to plastic piping systems include: (1) increasing the design factor of polyethylene pipe; (2) increasing the maximum pressure and diameter for Polyamide-11 pipe and components; (3) allowing the use of Polyamide-12 pipe and components; (4) new standards for risers; (5) more stringent standards for plastic fittings and joints; (6) stronger mechanical fitting requirements; (7) the incorporation by reference of certain new or updated consensus standards for pipe, fittings, and other components; (8) the qualifications for personnel joining and installing plastic pipe. Amendments to ch. PSC 135 that coincide with these revisions to federal code related to plastic piping systems include renumbering and amending PSC 135.204, 135.321, and 135.720. Amendments to the federal code related to onshore gas transmission pipelines include: (1) integrity management requirements, focused on the actions an operator must take to reconfirm the maximum allowable operating pressure of previously untested natural gas transmission pipelines and pipelines lacking certain material or operational records; (2) the periodic assessment of pipelines in populated areas not designated as “high consequence areas;” (3) the reporting of exceedances of maximum allowable operating pressure; (4) the consideration of seismicity as a risk factor in integrity management; (5) safety features on in-line inspection launchers and receivers; (6) a 6-month grace period for 7-calendar-year integrity management reassessment intervals; and (7) related recordkeeping provisions.
Amendments to the federal code related to underground natural gas storage facilities include: (1) incorporation by reference of American Petroleum Institute (API) Recommended Practices; (2) requirements to implement integrity management programs; (3) risk management for salt caverns; (4) narrowing the scope of reportable events and changes at facilities; (5) revising the definition of an “underground natural gas storage facility;” and (6) changing the name of the reporting portal.
Amendments to the federal code related to gas pipeline regulatory reform include: (1) inspection of farm taps, (2) exempting master meter operators from distribution integrity management requirements, (3) revision of reporting requirements for mechanical fitting failures, (4) increasing the monetary threshold for incident reporting, (5) clarifying that operators may remotely inspect rectifiers, (6) revision of atmospheric corrosion monitoring requirements, (7) improve alignment with updated plastic pipe standards, (8) align pressure vessel test factor requirements with industry standards, (9) revision of welding process requirements to align with welder requalification requirements, and (10) allow for pre‑testing of fabricated units and short segments of steel pipe prior to installation on pipelines with lower‑stress operating conditions.
Adoption of the latest changes to the federal code will: (1) keep the state standards for gas safety up to date with national industry trends, (2) allow the Commission to enforce these standards in Wisconsin, and (3) maintain the Commission’s compliance with its agreement with the U.S. Government to enforce these standards in exchange for reimbursement of program costs.
Safety related updates to ch. PSC 135 include: (1) amending and renumbering PSC 135.457, 135.505, 135.713, 135.727, and 135.747 to coincide with previous revisions to the federal code; (2) amending PSC 135.163 (1) and repealing PSC 135.163 (1) (Note) which both reference a repealed chapter, (3) clarifying the required interval for utility leak detection surveys in PSC 135.723; (4) removing and modifying PSC 135.055, 135.621 (1), and 135.753 that refer to old technology no longer in use, including the Bessemer process and the grandfathered use of cast iron pipe; and (5) requiring gas operators to file construction standards prior to construction in PSC 135.019 (5). F. Summary of, and Comparison with, Existing or Proposed Federal Statutes and Regulations
As this is the adoption of the federal regulations, the pipeline safety standards in Wis. Admin. Code ch. PSC 135 are the same as the federal regulations. The federal pipeline safety statutes and regulations are found in 49 USC Parts 60101 to 60141 and 49 CFR Parts 190 to 199. G. Comparison with Similar Rules in Adjacent States
All states, including Michigan, Iowa, Illinois, and Minnesota, adopt the federal pipeline safety regulations.
H. Summary of Factual Data and Analytical Methodologies Used and How Any Related Findings Support the Regulatory Approach Chosen
No factual data or methodologies were relied upon. The rule changes adopt the federal pipeline safety regulations into Wis. Admin. Code ch. PSC 135. I. Analysis and Supporting Documents Used to Determine the Effect on Small Business or in Preparation of an Economic Impact Report
The Commission’s fiscal estimate and economic impact analysis determined that the proposed rules will not have an economic effect on small businesses. The Commission sought input from all gas utilities, Wisconsin Utilities Association, Utility Workers’ Coalition, and the National Federation of Independent Businesses.
J. Effect on Small Business (initial regulatory flexibility analysis)
