US seeks greater vigilance at LNG facilities after break-in

Washington (Platts)--28Dec2006

The US Department of Transportation has issued an advisory bulletin to
operators of LNG facilities, saying an August incident at a Keyspan LNG
storage site in Lynn, Massachusetts, in which intruders entered the facility
undetected, highlights the need for greater vigilance in security operations.
DOT's Pipeline and Hazardous Materials Safety Administration sent a
letter to all LNG facility operators reminding them of federal safety
requirements and requesting that they take steps to shore up existing safety
measures, according to a notice in the Federal Register.
Specifically, the PHMSA urged operators to: test systems thoroughly to
verify that alarms work and that monitoring devices function as intended;
ensure remotely stationed personnel are properly trained on the security
procedures of each facility that they monitor; determine whether personnel
monitoring security for an LNG plant can realistically respond to security
breaches in a timely manner; update security procedures as needed to provide
effective security at the LNG plant and to incorporate the most relevant
threat information; confirm that remote monitoring station personnel properly
coordinate activities with those parties responsible for LNG plant facility
security; and independently audit LNG plant security or conduct unannounced
tests of security systems, procedures, and personnel.
PHMSA's pipeline safety regulations require operators to implement
security measures that deter intruders. These measures include written
procedures, protective enclosures, security communication, lighting, and
monitoring. Operators must use trained security staff and implement security
measures in "ways that ensure personnel and systems detect trespassers and
respond correctly."
Earlier this month, KeySpan was fined $250,000 by Massachusetts
regulators for a security breach at the Lynn facility, which caused no damage
to the LNG storage tanks, but took the company five days to detect and report.
KeySpan has until January 8 to decide whether to appeal the fine.
Surveillance tapes showed two people cutting the perimeter fence at the
terminal and then climbing atop the LNG storage tank. There was no indication
the break-in was connected to terrorist activity, state and company officials
have said.
The Massachusetts Department of Telecommunications and Energy, which
levied the fine, cited several security violations by the plants security
team, including failure to monitor the site's security system and fence line,
failure to patrol the LNG terminal's grounds and inconsistent training for
security guards. The cost of paying the fine cannot be passed on to
ratepayers, the DTE said.
--Cathy Landry, cathy_landry@platts.com

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