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TITLE 16ECONOMIC REGULATION
PART 1RAILROAD COMMISSION OF TEXAS
CHAPTER 3OIL AND GAS DIVISION
RULE §3.66Weather Emergency Preparedness Standards

(a) Applicability.

  (1) In accordance with Texas Natural Resources Code §86.044, this section applies to a gas supply chain facility that is:

    (A) included on the electricity supply chain map created under Texas Utilities Code §38.203; and

    (B) designated as critical in §3.65 of this title, relating to Critical Designation of Natural Gas Infrastructure.

  (2) In accordance with Texas Utilities Code §121.2015, this section applies to a gas pipeline facility that:

    (A) directly serves a natural gas electric generation facility operating solely to provide power to the electric grid for the Electric Reliability Council of Texas (ERCOT) power region or for the ERCOT power region and an adjacent power region; and

    (B) is included on the electricity supply chain map created under Texas Utilities Code §38.203.

(b) Definitions. In this section, the following definitions apply.

  (1) Critical component--Any component, including components on equipment rented or leased from a third party, that is susceptible to weather-related interruptions, such as those caused by freezing temperatures, freezing precipitation, or extreme heat, the occurrence of which is likely to significantly hinder sustained operation of the gas pipeline or gas supply chain facility.

  (2) Gas pipeline facility--A pipeline or pipeline facility regulated by the Commission under Texas Utilities Code Chapter 121.

  (3) Gas supply chain facility--A facility that is:

    (A) used for producing, treating, processing, pressurizing, storing, or transporting natural gas, as well as handling waste produced;

    (B) not primarily used to support liquefied natural gas pretreatment, liquefaction, or regasification facilities in the business of exporting or importing liquefied natural gas to or from foreign countries;

    (C) otherwise regulated by the Commission under Subtitle B of Title 3, Texas Natural Resources Code; and

    (D) not regulated by the Commission under Texas Utilities Code Chapter 121.

  (4) Major weather-related forced stoppage--A weather-related forced stoppage during a weather emergency that is the result of the deliberate disregard of this section or that results in:

    (A) a loss of production exceeding 5,000 Mcf of natural gas per day per oil lease;

    (B) a loss of production exceeding 5,000 Mcf of natural gas per day per gas well;

    (C) a loss of gas processing capacity exceeding 200 MMcf per day;

    (D) a loss of storage withdrawal capacity exceeding 200 MMcf per day; or

    (E) a loss of transportation capacity exceeding 200 MMcf per day.

  (5) Repeated weather-related forced stoppage--When a gas supply chain facility or a gas pipeline facility has more than one major weather-related forced stoppage or weather-related forced stoppage violation within a 12-month period.

  (6) Sustained operation--Safe operation of a gas supply chain facility or a gas pipeline facility such that the facility does not experience a major weather-related forced stoppage or weather-related forced stoppage in production, treating, processing, storage, or transportation of natural gas.

  (7) Weather emergency--Weather conditions such as freezing temperatures, freezing precipitation, or extreme heat in the facility's county or counties that result in an energy emergency as defined by §3.65 of this title. A weather emergency does not include weather conditions that cannot be reasonably mitigated such as tornadoes, floods, or hurricanes.

  (8) Weatherization--The iterative cycle of preparedness for sustained operation during weather emergencies that includes:

    (A) correcting critical component failures that occurred during previous weather emergencies;

    (B) installing equipment to mitigate weather-related operational risks; and

    (C) internal inspection, self-assessment, and implementation of processes to identify, test, and protect critical components.

  (9) Weather-related forced stoppage--An unanticipated and/or unplanned outage in the production, treating, processing, storage, or transportation of natural gas that is caused by weather conditions such as freezing temperatures, freezing precipitation, or extreme heat and occurs during a weather emergency.

(c) Weather emergency preparedness standards for a gas supply chain facility or a gas pipeline facility.

  (1) By December 1st of each year, a gas supply chain facility operator or a gas pipeline facility operator shall implement weather emergency preparation measures intended to:

    (A) ensure the sustained operation of a gas supply chain facility or a gas pipeline facility during a weather emergency; and

    (B) correct known major weather-related forced stoppages and weather-related forced stoppages that prevented sustained operation of a facility because of previous weather emergencies.

  (2) Weather emergency preparation measures required by paragraph (1) of this subsection shall include:

    (A) providing training on weather emergency preparations and operations to relevant operational personnel;

    (B) consideration of the risk to the health and safety of employees and protection of the environment; and

    (C) weatherization of the facility using methods a reasonably prudent operator would take given the type of facility, the age of the facility, the facility's critical components, the facility's location, and weather data for the facility's county or counties such as data developed for the Commission by the state climatologist. The Commission will periodically publish weatherization practices and may include weather data developed for the Commission by the state climatologist.

(d) Weather Emergency Readiness Attestation. By December 1 of each year, an operator of a gas supply chain facility or a gas pipeline facility shall submit to the Commission a Weather Emergency Readiness Attestation that:

  (1) is signed by an authorized representative of the operator entity attesting, under penalties prescribed in Texas Natural Resources Code §91.143, that:

    (A) the operator implemented the required weather emergency preparation measures described in subsection (c) of this section;

    (B) the information and statements made in the Weather Emergency Readiness Attestation are true, correct, and complete to the best of the attestor's knowledge;

    (C) the representative is authorized to sign the attestation on behalf of the operator entity; and

    (D) the Weather Emergency Readiness Attestation was prepared by the authorized representative or under the authorized representative's supervision and direction;

  (2) includes an attachment describing all activities engaged in by the operator to implement the requirements of subsection (c) of this section, including a description of the weatherization methods utilized by the operator to weatherize each type of facility; and

  (3) for the Weather Emergency Readiness Attestation due December 1, 2022, also describes corrective actions taken to mitigate known major weather-related forced stoppages and weather-related forced stoppages that prevented sustained operation of a facility because of previous weather emergencies.

(e) Inspection of gas supply chain facilities and gas pipeline facilities. Beginning December 1, 2022, the Commission will inspect facilities to ensure compliance with this section and will prioritize inspections of oil leases and gas wells producing greater than 5,000 Mcf per day of natural gas and facilities storing, processing, or transporting greater than 200 MMcf per day of natural gas. The Commission will further prioritize inspections in descending order in accordance with a facility's production volume or storage, processing, or transportation capacity.

(f) Notifications and other requirements for gas supply chain facilities and gas pipeline facilities.

  (1) An operator of a gas supply chain facility or a gas pipeline facility that experiences either of the following during a weather emergency shall notify the Commission immediately through the Critical Infrastructure Division's notification portal if the stoppage is not resolved within 24 hours of discovery of the stoppage:

    (A) a weather-related forced stoppage; or

    (B) a forced stoppage caused by a loss of electricity.

Cont'd...

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