Marketing and Operation (LPG & POL) Section

Marketing & Operations (MO)

Marketing Operation group commenced functioning in 1986 i.e. Since inception of Oil Industry Safety Directorate under the Ministry of Petroleum & Natural Gas.

Marketing Operations involve management of the supply chain ensuring that the petroleum production is met on time at the most optimum placement cost all across the country while maintaining the highest standards of safety.   Towards this end, supply chain nodes had been set up to link the refineries with the consumption centres via multi-modal transport systems like Pipelines, Railway Tank Wagons and Road Tank Trucks.   These nodes include Terminal / Depots, Aviation Fuelling Stations, LPG Bottling Plants, Lube Blending / Small Can Filling Plants, Port based Import/ Export facility, Refrigerated LPG storage facilities etc. These locations receive products / inputs in bulk through the transport mode/s mentioned above; keep them in safe custody and transfer them to market friendly packages through specially designed filling systems. Most of these nodes are equipped with automated systems ensuring fail-safe, efficient and user-friendly operations.

The typical operating blocks of POL installations are:

1. Tank Farm
2. Cross Country Pipeline custody transfer point
3. Tank Wagon / Tank Truck Loading / Unloading Facilities
4. Product Pump House/ Air Compressor House
5. Fire Pump House, Fire Hydrant & other firefighting facilities
6. Quality Control Lab.
7. Electrical systems including Incoming, Distribution, Lightning protection and PMCC
8. Control Room for TFMS, LRCS (in case of automated locations), S&D functions and ERP systems
9. Cathodic Protection systems
10. Storm water drainage / Effluent collection, treatment, OWS and disposal system.
11. Vapour Recovery Systems

Similarly, the typical operating blocks of LPG Bottling Plants are:

1. Bulk Storage Vessels
2. Cross Country Pipeline custody transfer point
3. LPG Bulk Tank Wagon / Tank Truck loading/ unloading facilities
4. Cylinder Filling Shed
5. Cylinder Storage Shed
6. Product Pump / Compressor and air compressor house
7. Cylinder evacuation & Valve change facility
8. Fire Pump House, Fire Hydrant & other firefighting facilities
9. Electrical systems including Incoming, Distribution and PMCC
10. Storm water drainage / Effluent collection, treatment and disposal system.
11. Control room with HC detection and Fire alarm annunciation system
12. Cathodic protection systems

Key differentiating features of Marketing Operations systems (as against Refineries) are:

1. Operation in discrete shifts (as opposed to 24X7 operating style of Refineries / Pipelines)
2. Variation in workload in tune with market demand.
3. Ingress of third-party vehicles & personnel and engagement of contractors’ labour all through the working shifts, thereby increasing process variability.
4. Unavailability of regular employees in non-working shifts.
5. Human habitation in proximity of the locations with nominal buffer space. 
6. Absence of active source of ignition within location’s licensed area.

Various activities are carried out by this group viz. Safety Audits (ESA/SSA/PCSA), standard development and revision, Investigation of accident/incident and Knowledge dissemination to maintain high degree of safety in the Oil Industry.

Out of all the Standards (STD)/ Guidelines (GDN)/ Recommended Practices (RP) of OISD, the following critically pertain to marketing operations; the list, needless to mention, is only indicative and not exhaustive. Critical issues covered in other relevant OISD STD/GDN/RPs e.g. OISD-STD-105 (Work Permit), OISD-STD-110 (Static Electricity), OISD-GDN-115 (Fire Fighting Equipment), OISD-STD-118 (Layout), OISD-STD-137 (Insp. of Elec. Equipment), OISD-STD-142 (Insp. of firefighting Equipment), OISD-STD-145 (Internal Safety Audit), OISD-STD-178 (Management of Change), OISD-GDN-206 (Safety Management System) remain applicable for marketing operations as well (in addition to other type of locations included in the scope of the said standards). Users are strongly advised to refer to ALL, repeat, ALL OISD Standards / Guidelines / Recommended practice before arriving at any conclusion.

Standards pertaining to Marketing operations:

A.   Design, Layout & Operating Practices

B. Training 

C. Safety & Fire Protection

D. Maintenance & Inspection:

E. Other Applicable Standards

The important documents referred to in the context of safety in Marketing Operations locations include:

•  HIRA Study report – findings and implementation.
•  PESO approved drawings
•  Emergency Response & Disaster Management Plans.

Although the overall status of all OISD STD/ GDN /RPs are advisory in nature, 9 OISD Standards (indicated below) had become mandatory in Marketing Operations area by virtue of having been included in the following statutory regulations:

•   Petroleum Rules, 2002
•   Gas Cylinder Rules, 2016
•   Static & Mobile Pressure Vessels (Unfired) Rules, 2016

List of 6 Nos. Standards included in Petroleum Rules, 2002

List of 2 Nos. Standards included in Gas Cylinder Rules, 2016

Standard included in The Mobile Pressure Vessels (Unfired) Rules, 2016.