GAS QUALITY STANDARD - SYSTEM INJECTION POINTS

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GAS QUALITY STANDARD - SYSTEM INJECTION POINTS PREPARED BY: Gas Metering and Settlements DOCUMENT NO: 224150 VERSION NO: 1 FINAL Approved for distribution and use:... T. Grimwade General Manager, Market Operations Date: Au~ra!ion 1:rergt,l,.. 11.'Jr kflt Orw:::tor ltd Al>N?A on (ll( ) ~;7 NP/v' 50tJT..J W/,LES cu::"-islj'n) S0U11-1 t\l.~rr/,u,\ VICTCR/\ TAS,\ \ANI/\

Disclaimer (a) (b) (c) (d) (e) Purpose This document has been prepared by the Australian Energy Market Operator Limited (AEMO) for the purpose of complying with clause 287 of the National Gas Rules (Rules). Supplementary Information This document might also contain information the publication of which is not required by the Rules. Such information is included for information purposes only, does not constitute legal or business advice, and should not be relied on as a substitute for obtaining detailed advice about the National Gas Law, the Rules, or any other relevant laws, codes, rules, procedures or policies or any aspect of the gas market, or the gas industry. While AEMO has used due care and skill in the production of this document, neither AEMO, nor any of its employees, agents and consultants make any representation or warranty as to the accuracy, reliability, completeness, currency or suitability for particular purposes of the information in this document. Limitation of Liability To the extent permitted by law, AEMO and its advisers, consultants and other contributors to this document (or their respective associated companies, businesses, partners, directors, officers or employees) shall not be liable for any errors, omissions, defects or misrepresentations in the information contained in this document or for any loss or damage suffered by persons who use or rely on this information (including by reason of negligence, negligent misstatement or otherwise). If any law prohibits the exclusion of such liability, AEMO s liability is limited, at AEMO s option, to the re-supply of the information, provided that this limitation is permitted by law and is fair and reasonable. This document does not cover all gas quality parameters, and expert advice should be sought in relation to supply contracts. AEMO may amend its standards, guidelines, policies and procedures from time to time. Users should check the AEMO website www.aemo.com.au to confirm the status of any copies held. 2010 - All rights reserved. Gas Quality Data Not Confidential Energy Safe Victoria Any Gas Quality data obtained byaemo or in Gas Quality reports presented to AEMO is not confidential and may be made available to Energy Safe Victoria. Notes to this version This is the approved AEMO Gas Quality Standard which supersedes the specification contained in version 7 of the AEMO Gas Quality Guidelines. This specification is based on the requirements of the Gas Safety (Gas Quality) Regulations 2007. LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 I

Table of Contents 1. INTRODUCTION... 3 2. DEFINITIONS... 3 3. AEMO GAS QUALITY STANDARD... 3 4. EXPLANATORY SCHEDULE... 5 WATER CONTENT:... 5 OBJECTIONABLE CONSTITUENTS:... 5 GAS ODORIZATION:... 6 MERCAPTAN SULPHUR:... 7 TEMPERATURE MIN:... 7 5. REFERENCE AND READING LIST... 7 LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 II

1. INTRODUCTION Rule 287 of the National Gas Rules (NGR) provides for AEMO to approve, in relation to a system injection point, a gas quality standard that is different from the prescribed specifications. This document describes AEMO s gas quality standard applicable to all system injection points. 2. DEFINITIONS AS 4564 Australian Standard Specification for general purpose natural gas, as published from time to time. Bq - Becquerel - Number of nucleus decays per second in a given quantity of radioactive substance. Gas Quality Regulations means the Gas Safety (Gas Quality) Regulations 2007 (as amended). Gas quality specifications as described in the NGR: In respect of a system injection point: (a) the prescribed specifications; or (b) such other gas quality standard as AEMO may approve in respect of the system injection point pursuant to Rule 287 of the NGR. NGR the National Gas Rules Prescribed specifications The gas specifications prescribed by the Gas Quality Regulations. THT - Tetrahydrothiophene - A cyclic sulphide used in gas odorisation. TBM - Tertiary Butyl Mercaptan A mercaptan used in gas odorisation. 3. AEMO GAS QUALITY STANDARD AEMO s gas quality standard incorporates: (a) The requirements of the Gas Safety (Gas Quality) Regulations 2007 (the prescribed specification) and, (b) AEMO s requirements as outlined below. LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 PAGE 3

This document provides clarifications to the requirements of the Gas Quality Regulations. Where there is conflict between this standard and the Gas Quality Regulations, the Gas Quality Regulations take precedence to the extent of and to resolve that conflict. Table 1: AEMO Gas Quality Standard To be read in conjunction with the Gas Quality Regulations and the attached explanatory schedule. PARAMETER/CHARACTERISTIC GAS QUALITY STANDARD LIMIT Required by Gas Safety (Gas Quality) Regulations 2007 Wobbe Index Max 52.0 MJ/m 3 Wobbe Index Min 46.0 MJ/m 3 Oxygen Max 0.2 mol% Hydrogen Sulphide Max 5.7 mg/m 3 Total Sulphur Max (including odorant) 50 mg/m 3 Water Dewpoint at Maximum Transmission Pressure Max 0 C Water content of gas Max (Based on 15,000 kpa) 73 mg/m 3 Hydrocarbon Dewpoint Max Total Inerts Max (including Oxygen) Objectionable Constituents Max 2.0 C at 3500 kpa gauge 7.0 mol% Nil Gas Odorisation Odorisation at rates between 7 and 14 mg/m 3 of a 70/30 blend of THT/TBM Required by AEMO Mercaptan Sulphur Max 5.0 mg/m 3 Temperature Max Temperature Min 50 C 2 C Where a parameter is expressed as per cubic meter (/m 3 ) this refers to a cubic meter at standard conditions of 101.325 kpa absolute and 15 C. Unless otherwise specified, pressures are gauge pressures. LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 PAGE 4

4. EXPLANATORY SCHEDULE Water Content: For the purposes of gas injected at a system injection point, the relevant transmission pressure for determining water dewpoint is deemed to be 15,000 kpa. For typical natural gas compositions, a 0 C dewpoint at 15,000 kpa corresponds to a water content of 73 mg/m 3, and AEMO uses this as the basis for this gas quality standard. Objectionable Constituents: The requirement under the Gas Quality Regulations is, stated in AS 4564 as follows: The gas shall not contain (a) materials, dust, and other solid or liquid matter, waxes, gums, gum forming constituents, and unsaturated or aromatic hydrocarbons to an extent which might cause damage to, or interference with the proper operation of, pipes, meters, regulators, control systems, equipment or appliances; (b) unsaturated or aromatic hydrocarbons to an extent which causes unacceptable sooting; (c) other substances that cause damage to, or problems in operation of, pipelines or appliances or that cause the products of combustion to be toxic, or hazardous to health, other than substances that are usually found in natural gas combustion products. Examples of what level of objectionable constituent considers is at the extent which might cause damage or be a hazard to health are listed below: Compressor oil: 20 ml/tj The limit specified is based on the Queensland Petroleum and Gas (Production and Safety) Regulation 2004. The limit is an acknowledgment that, whilst undesirable, it is almost inevitable that some lubricating oil will escape from filters and coalescers downstream from reciprocating compressors. The limit is intended to restrict oil accumulation to manageable quantities and provide guidance for the design of oil separation equipment at compressor facilities. Elemental Sulphur: 1.0 μg/m 3 Elemental sulphur vapour concentration should be below 1.0 μg/m 3 (approx 1x10-4 ppmv) to ensure that there will be no deposition of elemental sulphur above 2 C. The elemental sulphur formation and deposition process is extremely complicated and depends on a LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 PAGE 5

number of contributing factors. The limit is based on elemental sulphur equilibrium data published as part of elemental sulphur deposition studies by Dr. D. Pack (Curtin University). Mercury: 1.0 μg/m 3 Mercury is hazardous to human health if ingested, absorbed through the skin or via the lungs. Mercury can also cause liquid metal embrittlement and subsequent failure of aluminium alloys under pressure. The NOHSC (National Occupational Health & Safety Commission) time weighted average (8hr day for 5 days a week) occupational health exposure is 25 μg/m 3 in air. Mercury removal equipment for natural gas is quoted as being able to get down to 0.1 μg/m 3 from inlet concentrations of 25-50 μg/m 3. The atmospheric concentration (depending on location) is generally around 0.02 μg/m 3 (but higher in some industrial centres). The figure of 1 μg/m 3 in natural gas will not add significantly to the background level in a house or factory, is technically feasible and well below the occupational health exposure level after dilution during combustion. Radioactivity: 600 Bq/m 3 Radioactivity has not been significant in Victorian gases. The limits indicated are in line with Western Australian practice and provide guidance for the development of future gas sources and interstate gas transfers. Any radioactivity in natural gas is due primarily to radon. The limit of 600 Bq/m 3 is such that the products of combustion will create radioactivity levels below the exposure monitoring limit set by the Australian Radiation Protection and Nuclear Safety Agency of 200 Bq/m 3 and will not add significantly to the background level in a house or factory. The average concentration of radon in Australian homes is about 12 Bq/m 3. Gas Odorization: The Gas Quality Regulations require that; gas must - (a) have an odour which is distinctive and unpleasant; and (b) have an odour level that is discernible at one-fifth of the lower explosive limit of the gas. The preferred gas odorization is by way of a blend of 70% THT and 30% TBM injected into the gas stream at a rate of 7 mg/m 3 of gas. This gas odorization regime has traditionally been considered adequate to meet the requirements of the Gas Quality Regulations. LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 PAGE 6

The preference is based on what has been used in the past, the odour of which is familiar to the community. Other odorant blends and injection rates are acceptable if they meet the requirements of the Gas Qulaity Regulations. Odorant injection rates in the range of 7 to 14 mg/m 3 of gas are acceptable; rates up to 23 mg/m 3 (usually limited-term associated with conditioning new pipelines) are acceptable provided the injection is such that they do not create nuisance leak reporting. Mercaptan Sulphur: This mercaptan sulphur level relates to the smell of gas before odorant is added. It is based upon the level which is likely to impact upon odorisation levels. Mercaptan sulphur is continuously measured only if initial measurements indicate that significant levels of mercaptan sulphur are present in the gas-producing geological formations. Temperature Min: The minimum temperature limit is based upon the maximum hydrocarbon dewpoint limit temperature. 5. REFERENCE AND READING LIST AS 4564-2005 - "Specification for general purpose natural gas" Gas Safety (Gas Quality) Regulations 2007 AEMO Gas Quality Guidelines and references therein. LAST PRINTED 22/07/2010 9:55:00 AM 224150-1 PAGE 7