Internal technical harmonization strategy in the field of gas distribution

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2 Internal technical harmonization strategy in the field of gas distribution Jairo Soto Rey Standardization and Design of the Grid Gas Natural Fenosa 10th European Forum Gas th June 2012, Dresden, Germany 2

3 Index 1. Gas Natural Fenosa 2. Some keys in gas distribution 3. Vision of Gas Natural Fenosa 4. Some Examples 3

4 Gas Natural Fenosa

5 Gas Natural Fenosa Gas Natural Fenosa is one of the leading multinational companies in the gas and electricity sector. The company operates in more than 24 countries, and has about 20 million customers and 15.8 GW of installed power. MEXICO Gas Distribution Electricity Generation GUATEMALA Electricity Distribution NICARAGUA Electricity Distribution COSTA RICA Electricity Generation PANAMÁ Electricity generation and distribution COLOMBIA Gas and Electricity Distribution REPÚBLICA DOMINICANA Electricity Generation PORTUGAL Gas and Electricity Sales PUERTO RICO Electricity Generation Regasification BRASIL Gas Distribution MARRUECOS Gas Transmission ESPAÑA Gas and Electricity Distribution Electricity Generation Regasification Up & Midstream FRANCIA Gas Sales ITALIA Gas Distribution Regasification OMÁN Gas Sales BÉLGICA Gas Sales LUXEMBURGO Gas Sales MOLDAVIA Electricity Distribution EGIPTO Gas Liquefaction CHILE Electricity Generation ANGOLA Projects KENYA Electricity Generation ARGENTINA Gas Distribution SUDÁFRICA Coal mining AUSTRALIA Electricity Generation 5

6 Presence in gas distribution , , , , , ,172 Length of network (km) Customers (M PS) Gas distributed (GWh) 395,840 6

7 Some keys in gas distribution 7

8 Some keys in gas distribution What is expected from a DSO? To Build infrastructures To Maintain To Operate To Ensure availability and safety of assets at medium and long term BUT The basic characteristics of natural gas distribution systems can vary in every country regarding: -technical and economic regulations, -common industry practices, - kind and age of the infrastructures -and O&M models. 8

9 Some keys in gas distribution Same focus, different realities 9

10 Some keys in gas distribution Common circumstances Distribution processes have particular characteristics that allow a high degree of harmonization, homogenization and continuous improvement. Common compliance with international standards of materials and devices Few types of activities, and very repetitive. Sometimes facilities have failures in design, manufacture or installation. Ongoing concerns are: interference with other services and third-party damages. Quality of service is very sensitive to operation and maintenance of systems and facilities. High degree of coincidence in local regulations. 10

11 Vision of Gas Natural Fenosa 11

12 Vision of Gas Natural Fenosa What are we looking for? Be a world-wide Distribution System Operator Unifying criteria, rules and specifications Applying best practices Innovating and improving the processes continuously Guaranteeing the quality and the environment care With best-in-class processes Unifying IT and Management Systems 12

13 Vision of Gas Natural Fenosa The goal is to improve with a balance of cost, risk and performance, but how? In 2009 the Distribution Technical Directions was created (natural gas and electricity), in order to improvements. harmonize processes and implement in Mission: Ensure harmonized politics, standards and procedures to build and O&M. Capture and implementation of the best practices to improve quality, safety and efficiency of business processes. Support to application and revision of technical regulations in each country. Represent to GNF in international forums and coordinate the regional presence

14 Vision of Gas Natural Fenosa Technical Directions in GNF Their role is essential for the creation of value in the Group and to achieve the planned objectives Harmonization of Technical Processes Unification of Criteria, Rules and Specifications Best Practices Model of Infrastructure Development and Construction Supervision Model of Maintenance and Emergency Attention Model of Quality Assurance New Technical Normative Model for Gas Distribution Elaboration of Unified Technical Criteria Development of Global Purchase Material Specifications Benchmarking New Model of Training for Technical Processes Integrity Management Program Centralization of Common and Shared Services 14

15 Some Examples 15

16 Some Examples Focus on Zero Defects Goal: to ensure zero defects in critical activities regarding safety (construction, commissioning, etc) GNF has a Integrated management System according to standards ISO 9001, ISO and OHSAS External References Corporate Criteria + Mission, Corporate Vision Responsability Values Policy Policies and Governance Code of Ethics 16

17 Some Examples Focus on Zero Defects Ongoing efforts in personnel training to new staff and retraining. Special care to verify training quality. 17

18 Some Examples Mobilizing the workforce Gas Natural Fenosa has developed some mobile solutions to optimize the activities of maintenance, operations and others during the last few years. 18

19 Some Examples Mobilizing the workforce Two of latest projects (Argos and Telesupervision) have been developed as solutions to manage the construction process and ensure the integrity of assets before their commissioning. 19

20 Some Examples Remote monitoring of cathodic protection systems System for continuous measurement of the most significant electrical parameters. Measurements are transmitted by data logger to the central database. The objective is to replace field measures and verifications, providing more information (daily measurements instead of monthly ones) and at the same time reducing maintenance costs. 20

21 Some Examples Managing Integrity An Integrity Management Program was established in order to guarantee the safety along the life s cycle of assets, through: - on-site inspections - assessment procedures, - preventive actions and - risk mitigation measures. Root Cause Analysis Integrity Assessment Integrity Management Risk Assessment Preventive and Corrective Maintenance 21

22 Some Examples Managing Integrity. A risk-based approach Inside Integrity Management System, risk assessment is the most important part of the program with two main areas: - third-party damages and - corrosion. In the GNF risk management approach, not only overall risk profiles are considered for each pipeline, but also a scoring system to evaluate the third-party works in the vicinity of the pipes. With this system, it has been established different levels of surveillance and actions. Segmentation Assessment Weighting Score RR = P i x C j RR: Relative Risk P i : Assignated score for the threat i in each segment. C j : Assignated score for consequence j in each segment 22

23 Questions? 23

24 Esta presentación es propiedad de Gas Natural Fenosa. Tanto su contenido temático como diseño gráfico es para uso exclusivo de su personal. Copyright Gas Natural SDG, S.A. 24