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Oil and Gas Alert – January 2021

ALERT – OIL AND GAS

Safety provisions related to Risk Studies and Contingency Plans are amended and complementary measures are established 

By Board Resolution No.036-2020-EM, published in the Official Gazette El Peruano, on January 3, 2021, safety provisions related to Risk Studies and Contingency Plans are amended and complementary safety measures to be taken into account in the development of hydrocarbon activities are established, being the most important the following:

1. The definitions of Risk Study and Contingency Plan contained in the Glossary, Acronyms and Abbreviations of the Hydrocarbons Subsector, adopted by Supreme Decree No. 032-2002-EM and in the Safety Regulation for Hydrocarbon Activities, adopted by Supreme Decree No. 043-2007-EM, are amended to “Safety Risk Study” and “Emergency Response Plan”, respectively; and it is provided that such definitions shall be considered in all regulations and procedures of the hydrocarbons subsector that refer to Risk Studies and Contingency Plans.

2. The regulation applicable to the “Safety Risk Study” and “Emergency Response Plan” is amended, establishing that the authorized companies must have both instruments covering their activities and that have been drawn up in accordance with the guidelines to be established by the DGH within 30 working days from the publication in El Peruano of the regulation under analysis.

OSINERGMIN shall determine the form and timing of the submission of both instruments, within 30 working days from the day following the publication in El Peruano of the publication of the DGH indicated in the previous paragraph. Likewise, it is established that OSINERGMIN shall issue a favorable opinion of the “Safety Risk Study” and “Emergency Response Plan” within 30 working days from their submission, from which the information contained therein shall be binding on OSINERGMIN.

3. It is provided that access to hydrocarbon operating areas is restricted, due to the risk and vulnerability of their activities and to safeguard the integrity and safety of people, therefore authorized companies may restrict the access of people and vehicles in their areas of operation.

4. Article 38 of the LPG Commercialization Regulation, adopted by Supreme Decree No. 01-94-EM, is amended in order to establish that the scale that the Bottling Plants must count, must have a readability of up to 100 grams, in the case of containers with a nominal net content of 45 kg.

5. Section 14 of Article 73 of the Safety Regulations for LPG Installations and Transportation, adopted by Supreme Decree No. 27-94-EM, is amended to establish that the certification that fire water system pumps must have, must be issued by a product certification entity accredited by INACAL or a foreign accreditation body, or homologous to it, signatory of one of the Mutual Recognition Agreements of the International Accreditation Forum – IAF (International Accreditation Forum), the International Laboratory Accreditation Corporation – ILAC (International Laboratory Accreditation Cooperation) or the Inter American Accreditation Cooperation – IAAC (Inter American Accreditation Cooperation).

6. The regulation under analysis shall enter into force within 60 working days from its publication in the Official Gazette El Peruano, except for the provisions of paragraphs 4 and 5 of this alert and the following provisions:

a) Compliance with the provisions of Supreme Decree No. 052-93-EM:

It is provided that the owners of Refineries and Supply Plants that pre-existed the provisions established in the Safety Regulations for Hydrocarbon Storage, adopted by Supreme Decree No. 052-93-EM, which have not adapted their facilities to said regulations, whether or not they have availed themselves of the provisions of Supreme Decree No. 017-2013-EM, may submit adaptation schedules to OSINERGMIN.

b) Compliance with the provisions of Supreme Decree No. 081-2007-EM:

It is provided that pipeline operators that have not adapted their facilities to the provisions of the Hydrocarbon Transportation Regulations for Pipelines, adopted by Supreme Decree No. 081-2007-EM, having or not availed themselves of the provisions of Ministerial Resolution No. 453-2016-MEM/DM, may submit adaptation schedules to OSINERGMIN, within 60 working days from the publication in the Official Gazette El Peruano of the regulation under analysis.

c) Provisions for the design and execution of projects, maintenance and operation in the hydrocarbons subsector:

It is established that for hydrocarbon activities, OSINERGMIN may adopt, at the request of an interested company, the application of alternative and/or compensatory measures to those provided for in the regulations adopted by Supreme Decree No. 051-93-EM, N° 052-93-EM, No. 081-2007-EM and No. 043-2007-EM, related to international industry practices, which guarantee the purpose of such provisions and grant equal or higher degree of safety for the facilities and/or operations.

Any query on the matter may be cleared by Dr. Jorge Pérez-Taiman (jpereztaiman@estudiorodrigo.com), Jenny Caldas (jcaldas@estudiorodrigo.com) and/or Carolina Noriega (cnoriega@estudiorodrigo.com).