Enhancing Safety in Propane Operations

The National Propane Gas Association (NPGA) is actively engaging with the U.S. Department of Labor to address critical safety concerns related to Process Safety Management (PSM). This safety program, overseen by the Occupational Safety and Health Administration (OSHA), sets stringent requirements for facilities handling over 10,000 pounds of hazardous materials. Propane facilities were previously exempt from PSM regulations due to a retail facility exemption, which allowed businesses selling more than 50% of their propane to end users to bypass these rules.

However, since 2015, changes to this exemption have been under scrutiny. The D.C. Circuit Court of Appeals ruled that OSHA could not alter the exemption without a formal rulemaking process. As a result, NPGA is advocating for a return to the previous exemption or, at the very least, enforcement discretion until new guidelines are finalized.

Propane companies that exceed the 10,000-pound threshold must now navigate a complex regulatory landscape. Facilities facing OSHA enforcement actions due to PSM requirements are encouraged by NPGA to challenge any citations, as current agency guidance might not align with court rulings.

Ensuring compliance with PSM can be challenging, but it’s essential for mitigating the risks associated with handling large quantities of propane. Businesses must stay informed on regulatory updates and consider implementing proactive safety measures to protect their operations.

Information for this article was provided by the National Propane Gas Association (NPGA).