On Oct. 13, the Pipeline and Hazardous Materials Safety
Administration (PHMSA) published a proposed rule governing liquid
pipeline safety, 49 CFR Part 195. According to PHMSA, the proposed
rule was prompted by recent hazardous liquid pipeline accidents.
The resulting National Transportation Safety Board (NTSB) reports
recommended the need to revise and update hazardous liquid pipeline
regulations. Similarly, the Government Accounting Office issued a
2012 recommendation concerning hazardous liquid and gas gathering
pipelines.
Based upon these calls for increased pipeline safety, the
proposed rule first expands reporting requirements to all liquid
gravity and gathering pipelines. Gravity lines are currently exempt
from PHMSA regulations. PHMSA estimates that at most five operators
will be affected by a new requirement to submit annual
safety-related condition and incident reports. A more significant
impact on pipeline operators is expected to result from
