Two reports on offshore petroleum safety regulation were released at the 9th Meeting of the Ministerial Council on Mineral and Petroleum Resources (MCMPR) in Darwin today by the Minister for Resources and Energy, Martin Ferguson AM MP.
Better Practice and the Effectiveness of NOPSA and Marine Issues arise from the joint Western Australian-Australian Government inquiry into the regulatory regime and performance of the regulators following the rupture and explosion of a gas pipeline on Varanus Island on 3 June 2008 and two maritime safety incidents later that year. These reports investigate the role of the National Offshore Petroleum Safety Authority (NOPSA), and the regulatory interface between NOPSA and the Australian Maritime Safety Authority (AMSA).
The main findings and recommendations are:
- There are potential gaps in maritime OHS and regulatory coverage and less than optimal interface between NOPSA and AMSA, which need to be addressed.
- NOPSA's authority should extend to the nearest valve on the mainland above the shore crossing.
- The safety case regime should continue but the requirement for implementation of the safety case should be provided for within the Act.
- Risk assessment processes need improvement.
- Better compliance tools are needed.
- Assessment of safety culture should be provided for.
- NOPSA needs higher resourcing levels.
- Environmental requirements should not be imposed after safety assessments and need to ensure there is no increase in safety risk.
- There is a role for an independent national safety investigation capacity.
Minister Ferguson said: "The MCMPR is absolutely committed to a safety regime for Australia's offshore petroleum industry that is world's best practice.
"With respect to marine issues, I am pleased to say the Australian Government has already announced a re-write of the Navigation Act 1912, as recommended by the Inquiry. The Inquiry panel consulted closely with government agencies, industry, and the maritime unions and I thank them for their cooperation and support of the Inquiry.
"While the Inquiry found the safety case regime remains the most appropriate policy basis for regulating offshore petroleum safety, it also found that implementation can be improved. The MCMPR will consult with the industry and respond to the detailed findings and recommendations of the Inquiry by the end of November 2009 with a view to introducing appropriate legislative amendments in early 2010."
The reports can be downloaded from www.ret.gov.au/offshorepetroleumsafety.
The MCMPR meeting also agreed to commit $6.45 million over four years to the implementation of the National Mine Safety Framework ($3.3 million from the Australian Government and $3.15 million from the states and Northern Territory governments). The funding will deliver a nationally-consistent OHS regime for the Australian mining industry.
Minister Ferguson said: "While Australia has historically had one of the safest mining industries in the world, there have been far too many serious incidents over the last few years. The MCMPR unanimously agrees that safety performance must be improved urgently. Through the National Mine Safety Framework, Australian governments will work together - and with industry - to improve the safety and regulatory regime for Australia mine sites.
"Consistent safety regimes across Australia will improve safety while also reducing training costs and increasing mine worker mobility, allowing them to move between jurisdictions for employment. At a time of economic uncertainty, flexibility like this will make it easier for Australian mine workers to remain employed for longer."