Petroleum (Natural Gas)(Storage) Rules, 2019

The Petroleum (Natural Gas)(Storage) Rules, 2019 govern activities related to natural gas storage in Mainland Tanzania. The Rules address gas leaks and gas releases in the following ways:

• Scope: The Rules expressly address natural gas leakage, defining it to mean “a non-expected release of gas from a processing plant or other containment into a living area or any other area that can create a potentially dangerous situation”. In addition, the Rules also govern “incidents” that are defined to mean inter alia “an event that involves a release of gas from a gas leakage that results in … unintentional estimated gas loss of three million cubic feet or more”. 
• Gas leakage: In terms of the Rules, a licensee is required to ensure at all times that it is capable of responding to a gas leak. In the event of a gas leak, the licensee is required to take all necessary steps as per good industry practices and the Emergency Response Plan to remedy the situation and in case of failure to do so, comply with any orders that the Energy and Water Utilities Regulatory Authority (EWURA) may issue to remedy the situation. A failure to comply with the orders of the EWURA constitutes an offense punishable with imprisonment and fines. In addition, the Rules require that the licensee prepare and maintain a manual containing procedures for effective leakage management and ensure that it is capable of adequately responding to gas leakages. 
• Unintentional gas release: In case of an “incident”, i.e. an unintentional estimated gas loss of three million cubic feet or more, the licensee is required to inform the EWURA as soon as practicable and not later than one hour after the occurrence and submit a detailed report (including the steps taken or proposed to be taken to remedy or eliminate or minimize the hazard) within stipulated time. 
• Emergency Response Plan: The Rules require licensees to prepare and maintain an emergency response plan in accordance with good industrial practice that must include inter alia response actions for specific incidents, procedures for accessing essential safety and environmental information, and all reasonably practicable steps to ensure safety and environmental protection. The the EWURA is to take into consideration the licensee’s Emergency Response Plan in making a decision to grant or refuse a license to operate a gas storage facility.

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