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Promulgating a Decree for the detailed regulations on a number of articles of the Petroleum Law

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On July 01, 2023, the Government promulgated Decree 45/2023/ND-CP for the detailed regulations on a number of articles of the Petroleum Law, including regulations on safety in the design, manufacture, construction and operation of petroleum projects.

Specifically, the oil and gas projects must be designed, manufactured and constructed according to the national technical regulations, national standards or international standards, regional standards, or foreign standards widely recognized and applied that complied with the provisions of Vietnamese laws and international treaties to which Vietnam is a member for ensuring the following requirements:

1/ Technology safety.

2/ Construction safety.

3/ Safety on fire and explosion prevention.

4/ The safe areas and corridors.

5/ The regulations on environmental protection.

6/ Withstanding the expected loads during operation and occurring breakdown faults.

7/ Do not create a chain breakdown fault from a single fault.

The design, manufacture, construction, trial running and checking before acceptance of oil and gas projects must be inspected and certified by competent authorities in accordance with the laws, ensuring conformity with the technical regulations, standards announced for applying, complying with the provisions of Vietnamese laws and international treaties to which Vietnam is a member.

Before the trial runs, the contractor must carry out an inspection, and test for each item project and must ensure the emergency response plan, fire prevention, and fighting

are ready to be deployed according to regulations. During the trial run, organizations and individuals must apply the strengthened measures to be ready to respond promptly and effectively to possibly occurring breakdown faults and accidents.

The oil and gas projects can only be put into operation after the results of inspection, verifying and project testing and safety contents for meeting the set requirements.

The oil and gas projects must be operated, maintained, inspected and repaired in accordance with regulations suitable to approved processes, technical regulations and standards. The Contractor must immediately stop activities if such activities can cause danger to people, the environment and the oil and gas projects that cannot be controlled.

All risks must be identified, analyzed, and assessed:

The Decree stated that the contractor must ensure that all risks must be identified, analyzed and assessed for all oil and gas projects, machines, equipment, dangerous chemicals and materials. The results of the risk assessment will be used as input data for the organization to carry out the emergency response.

The risk management includes:

Firstly: The qualitative and quantifying risk assessment for the stages of oil and gas activities as a basis for implementing measures to control and minimize risks and prove that risks are within acceptable lower levels obtained according to national technical regulations.

Secondly: The risk assessment report must be updated every 5 years or when available conversion, major changes in operating technology and organization, in order to create a basis for making safety-related decisions in oil and gas activities.

Thirdly: The contractor must identify specific locations and specific conditions with high risks that need to be interested in safety operation to take mitigating measures. It must be establish and maintain an emergency response system:

The Contractor must establish and maintain an emergency response system to effectively conduct rescue operations when breakdown faults or accidents cause harm to people, the environment, or property. Depending on the severity of the breakdown fault or accident, the contractor must notify the competent authority according to regulations.

Training and rehearsing to handle emergency situations at oil and gas projects must be conducted regularly, ensuring that workers understand and master the procedures for responding to specific emergency situations. Based on the results of the risk assessment determine the form and frequency of training exercises. The results of training and rehearsing must be evaluated and recorded to complete the emergency response plan.

The people who come to oil and gas projects for the first time must be given detailed instructions on the organization of emergency response, safety equipment, and escape routes.

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