E SUMMER 2010 New Products Key to Growth for Propane T · T Total propane sales are projected to...

TTotal propane sales are projected

to begin slow annual growth from

2011 to 2020, according to the 2010

Propane Market Outlook, a report

produced by ICF International for

the Propane Education & Research

Council (PERC). The growth will be

caused by two factors: a rebound in

the economy and the introduction of

new propane-fueled products.

For more than a decade, PERC

has supported the development of

propane technology to drive industry

growth. A new report, Propane

Technology Review 2010, highlights

PERC’s recent achievements in

research and development, including

a number of innovative propane-

fueled products that PERC is helping

bring to market.

Generac’s premium generator

set, for instance, is a 6-kilowatt

system that has been optimized for

use in propane hybrid renewable

systems. It will help the industry

tap the growing market for on-site

renewable power generation.

Propane-fueled flame weeders

comply with organic crop farming

standards by using a concentrated

flame to control weeds, helping the

propane industry capture even more

of the 2 million acres of certified

cropland that make up the U.S.

organic farming market.

SUMMER 2010

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KEEPING YoU UP To DATE oN P R o P A N E®

www.propanecouncil.org

New Products Key to Growth for Propane

TThe new PERC Marketer Technology Training Program

introduces marketers to propane-fueled products that

can offset seasonal demand. PERC unveiled the training

program at the National Propane Gas Association’s 2010

Southeastern Convention & International Propane Expo in

Atlanta in April.

The program covers basic installation criteria, energy

efficiency and environmental impact, consumer benefits,

and implementation obstacles for three products —

commercial mowers, tankless water heaters, and irrigation

engines. Each training session lasts about six and a half

hours and features two of the three products.Continues on page 5

Marketer Training Can Help You Promote Promising Products

A propane irrigation engine like this one, on display at the NPGA Southeastern Convention & International Propane Expo in Atlanta in April, can use more than 7,000 gallons of propane in a growing season.

A Generac premium generator set, on display in Atlanta in April.

Continues on page 6

SUMMER 2010 • VolUME 12 • No 12

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Roush Propane F-250, F-350 Pickups Certified for Sale in All 50 States Roush Performance announced

in March that the California Air

Resources Board had granted

certification approval for the Roush

propane-fueled Ford F-250 and F-350

pickups. The CARB certification —

which covers the 2010 Ford F-250

and F-350 models with the 5.4-liter

V-8 engine — means the trucks meet

California’s strict emission standards

and can now be sold and operated in

all 50 states. Several states follow the

CARB emission guidelines, including

Connecticut, Maine, Massachusetts,

New York, oregon, Rhode Island, and

Vermont.

On April 6, the company

announced that the Environmental

Protection Agency certified that

the Roush 2010 E-150, E-250, and

E-350 propane fuel conversion

system meets the federal emission

requirements for new motor vehicles.

The Roush E-series vans can be

sold anywhere in the country, with

the exception of California and

other CARB states. Roush says it is

seeking CARB certification for the

2011 propane-fueled Ford E-150,

E-250, and E-350 passenger and

cargo vans. They are scheduled to

launch in the second quarter of 2010.

Roush Performance developed

its line of propane fleet vehicles

and conversion kits with support

from PERC. For details, visit www.

roushperformance.com/propane or

call 800-59-ROUSH.

CleanFuel USA announced in April

that the Environmental Protection

Agency had certified a propane

engine the company built on a

General Motors 6-liter chassis. The

company says the engine, which it

developed with support from PERC,

is ideal for light-duty fleet vehicles,

including passenger vans, shuttle

buses, walk-in vans, and utility and

service vehicles.

CleanFuel USA said it expects

the engine to be certified by the

California Air Resources Board and

commercially available this summer.

The engine was displayed in a

Collins school bus at the National

Propane Gas Association’s 59th

Annual Southeastern Convention &

International Propane Expo in Atlanta

in April.

The propane engine uses the

patented Icom JTG Technology

and System made by Icom

North America. It offers the same

horsepower, torque, and performance

as the gasoline version of the 6-liter

GM engine yet produces 87 percent

fewer hydrocarbons and 50 percent

fewer toxins, according to CleanFuel

USA. Visit www.cleanfuelusa.com for

details.

Propane Engine from CleanFuel USA Certified by EPA

AmeriGas Takes Delivery of Roush Propane-Fueled F-250 Pickup Jack Roush, left, gives AmeriGas Propane CEO Gene Bissell the keys to a brand-new 2010 propane-fueled F-250 pickup at the Roush Performance vehicle assembly area in Livonia, Mich., on April 22. According to a news release from Roush Performance, the truck is the first of many that AmeriGas plans to add to its fleet.

The NexBus Propane, a Type A school bus from the Collins Bus Corp., features a propane-fueled 6-liter General Motors engine developed by CleanFuel USA and certified by EPA.

California Marketer Becomes Biggest User of Roush Trucks in Western United StatesKamps Propane in Manteca, Calif., has 25 propane-fueled Roush vehicles in service, making the propane marketer the biggest user of Roush propane trucks in the West, according to an April 12 press release from Roush Performance.

SUMMER 2010 • VolUME 12 • No 1 3

A

Propane Market Intelligence: Forecasting Tools for Marketers

As part of its Market Metrics Initiative (MMI), PERC offers

three forward-looking resources that can help you analyze

changing energy markets and identify the trends, the

opportunities, and the challenges that your propane

company will face in 2010 and beyond.

2010 Propane Market OutlookTake a look at how current energy trends are

influencing U.S. propane markets in the 2010 Propane

Market Outlook: Assessment of Key Market Trends,

Threats, and Opportunities Facing the Propane Industry

Through 2020, a report produced by ICF International for

PERC.

The report, which updates the 2009 Propane Market

Outlook, identifies key opportunities and threats facing the

industry and offers a guide to help the industry navigate

through the next decade. PERC President and CEO Roy

Willis calls the report “vitally important” to the propane

industry and adds, “It gives us an unbiased, real-world

view of what the future looks like and … what we, as an

industry, have to do to ensure future growth in the safe,

efficient use of propane as a preferred energy resource.”

According to the 2010 update, the key drivers of

propane demand remain unchanged, but the outlook

for propane demand growth is less positive today than

when the Propane Market Outlook was first released in

July 2009. Oil and propane prices have increased, the

impact of the economic downturn has been more severe

than anticipated, and the projected impacts of energy

conservation and efficiency trends on propane markets

have become more pronounced.

Some key findings in the report:

Total propane sales are projected to decline through •

2010, then begin slow annual growth from 2011 to

2020 because of a rebound in the economy and the

introduction of new propane applications.

Convincing propane customers to add more propane •

appliances could be the easiest way to offset

continuing declines in fuel use per customer.

Propane is expected to become more competitive •

with diesel and distillate fuels.

Markets for internal combustion engines offer long-•

term potential for large growth in propane sales.

Look inside this issue of In Touch for a copy of the

2010 Propane Market Outlook. Download the 2010 update,

the full 2009 report, the regional appendix, or all three at

www.propanecouncil.org/mmi.

County Residential Propane Model Version 3.1

Run the latest

version of the County

Residential Propane

Model, or CRPM, to

assess short-term,

county-by-county

residential propane demand and project long-term

demand forecasts through 2015. This Microsoft Excel-

based application, designed for home or office computer

use, contains recent economic and energy price data and

a current residential propane housing-stock database. Use

the model year-round to calculate per-customer propane

use, estimate high and low propane demand potentials,

and evaluate inventories. Learn more and download at

www.propanecouncil.org/mmi.

Propane Database Forecasting Model Version 6.1Create odorized propane demand forecasts with the

Propane Database Forecasting Model, or PDFM. This

revised, state-level propane-demand forecasting tool

can help you identify propane marketing opportunities

and evaluate the potential impact of usage trends and

marketing programs on propane demand. An Excel-

based application, the PDFM features a historical database

and forecast outlook of odorized propane consumption

for the years 1998 through 2015. The PDFM evaluates

propane demand in multiple end-use markets including

the residential, commercial, agricultural, industrial, portable

cylinder, and internal

combustion engine

sectors. In addition, the

PDFM evaluates trends

in residential propane

households to calculate

the total size of the U.S.

housing market and

propane’s competitive

market share. Learn

more and download at

www.propanecouncil.

org/mmi.


PPropane Reduces Greenhouse Gas EmissionsPropane produces fewer greenhouse gas emissions

per unit of energy than 70 percent of today’s fuel mix

in residential and commercial applications, according

to Propane Reduces Greenhouse Gas Emissions: A

Comparative Analysis, a report prepared by Energetics Inc.

(Columbia, Md.) and published last year by PERC.

The findings show propane’s potential to reduce the

U.S. economy’s carbon footprint. “As we introduce new

propane-fueled equipment in the market,” says PERC

President and CEO Roy Willis, “having this study will be

crucial in communicating the environmental benefits of

propane across a variety of markets.”

The study compares the greenhouse gas emissions

profiles of several fuel sources in 13 applications that

represent well-established propane markets, including

forklifts and residential water heaters, and emerging

propane markets, including desiccant dehumidifiers and

light-duty trucks.

Propane performs especially well in residential

furnaces and dehumidifiers, with emissions levels close

to those of natural gas and lower than the emissions

levels of all other energy sources being studied. Propane

furnaces produce

37 percent fewer

greenhouse gas

emissions than

oil furnaces and

64 percent fewer

greenhouse gas

emissions than

electric baseboard

heating systems.

Propane-fueled

dehumidifiers

produce 66 percent

fewer greenhouse

gas emissions than similar electric dehumidifiers.

Look for a four-page insert about the study in this

issue of In Touch. To get a copy of Propane Reduces

Greenhouse Gas Emissions: A Comparative Analysis,

visit www.propaneresearch.com or get in touch with

PERC’s Brandon Robinson at 202-452-8975 or brandon.

[email protected].

RBackstopping Renewable Energy with PropaneRenewable energy may be popular

in today’s emissions-sensitive

environment, but alternative

resources often provide energy

on an intermittent basis. A white

paper prepared for PERC by John

Siegenthaler, a mechanical engineer

and an expert on home heating

systems, contains how-to information

on using propane as a backup

energy source for renewable energy

systems in today’s homes.

“The versatility and low

environmental impact of propane

make it ideal for enhancing a

wide range of renewable energy

systems,” Siegenthaler writes. The

36-page report is aimed at builders,

remodelers, architects, and HVAC

specialists who want to learn more

about green building strategies and

the importance of selecting a cost-

effective and environment-friendly

backup energy source.

To download the white paper,

Propane-Enhanced Renewable

Energy Systems, visit www.

buildwithpropane.com and choose

Research and Insights under the

Resources tab. For more information

on building with propane-fueled

appliances or propane-enhanced

renewable energy systems, get in

touch with PERC’s Tracy Burleson

at 202-452-8975 or tracy.burleson@

propanecouncil.org.


TPERC Sponsors Farm Energy Data Collection TrainingThe Heart of Iowa Cooperative hosted a farm energy data collection training

program in April at its facilities in Roland, Iowa. Sponsored by PERC and led

by EnSave, a company that specializes in farm energy audits, the program

is designed to train propane marketers to collect energy data from their farm

customers that are interested in making efficiency upgrades to their operation.

Training propane marketers to collect this type of energy data will help

them identify energy deficiencies for their customers and recommend a more

efficient propane solution to the problems they find. Mark Larsen, Rod Meyer,

and Lynn Sheets of the Heart of Iowa Cooperative and Adam Wissink with

Heartland Cooperative all participated in the program and are now certified data

collectors for EnSave.

To request a similar training program in your state or to learn more

about the PERC Farm Energy Data Collection Training program, get in

touch with PERC Director of Agriculture Programs Mark leitman at

[email protected] or 202-452-8975.

Agricultural co-op members get trained to collect farm energy data in April at a PERC-sponsored training session in Roland, Iowa.

T

Propane FEED Program’s 2010 Encore PerformanceTo support its development and commercialization

strategic goal, PERC will continue seeking qualified

farmers to demonstrate new propane technology

through its Propane FEED (Farm Equipment Efficiency

Demonstration) program in 2010. The nationwide program

can save agricultural customers up to $2,500 on select

propane-fueled irrigation engines, mowers, and tankless

water heaters.

PERC has added new incentive levels to cover more

irrigation engine sizes in 2010:

Equipment Incentive Level

Irrigation engine (4 cylinders) $1,500

Irrigation engine (6 cylinders) $2,000

Irrigation engine (8 or more cylinders) $2,500

Mower $2,500

Tankless water heaters (two or more units) $1,000

Irrigation engines, mowers, and tankless water heaters

are also featured in the PERC Marketer Technology

Training Program. See page 1 for details.

To review the Propane FEED fact sheet or replay the

Propane FEED webinar, visit www.propanecouncil.org and

select Agriculture under the Trades tab. Or get in touch

with Neil Caskey of osborn & Barr at 314-236-6907 or

[email protected].

The first training session took place May 25 at the

North Central Propane Convention in lacrosse, Wis. Five

others are scheduled, and more are in the works.

June 16 — Northwest Propane Convention & Expo, Mountain Welches, Ore., mowers and tankless water heaters.

June 21 — New York Propane Gas Association Summer Conference, Rye Brook, N.Y., mowers and tankless water heaters.

June 24 — Pennsylvania Propane Gas Association Annual Meeting, Bedford, Pa., mowers and tankless water heaters.

July 23 — Michigan Propane Gas Association Summer Convention, Thompsonville, Mich., irrigation engines and mowers.

August 10 — Northeast Propane Show, Boxborough, Mass., mowers and tankless water heaters.

For details about the PERC Marketer Technology

Training Program, get in touch with PERC’s director

of industry programs, Maryann Malesardi, at maryann.

[email protected] or 202-452-8975, or visit

www.propanecouncil.org/mtt.

Marketer Training continued from page 1

Rich Tittermary, a trainer with Prime Consulting, introduces the PERC Marketer Technology Training Program at Southeastern.

Propane mowers reduce greenhouse gas emissions by almost 50 percent compared with gasoline models. This model from Ferris was on display at the Southeastern Conventio & International Propane Expo in April.


New Products continued from page 1

AWeb Resources Broaden Heating Study’s ReachAccording to Comparative Analysis

of Residential Heating Systems, most

propane-fueled heating systems

generate considerably lower carbon

dioxide emissions and generally pay

for themselves within three years.

The PERC report evaluates 14

heating systems for new and existing

homes in 16 locations nationwide

based on several measures, including

the systems’ first cost (materials and

installation), operating costs, carbon

dioxide emissions, and simple return

on investment.

In addition to this comprehensive,

downloadable report, there are

several companion online materials

and resources, including regional

executive summary fact sheets, an

online training course, a webinar,

and a web-based video. All of the

resources are available through the

map at www.buildwithpropane.com.

Because costs and fuels vary by

region, the report’s conclusions also

vary by region. To provide a more

focused snapshot, PERC created

three fact sheets — one each for the

Northeast, the Southeast, and the

West and Midwest regions — featuring

an executive summary that presents

the applicable research for that

region.

An online training course,

designed for architects, builders,

remodelers, and other construction

professionals, covers the comparative

heating analysis report’s findings.

Course participants learn how

geography, climate, and system

variables affect overall efficiency and

cost-effectiveness. The American

Institute of Architects has approved

the course, and it meets the

continuing education requirements for

several certificate programs offered

by the National Association of Home

Builders.

All heating analysis study

resources are available at www.

buildwithpropane.com. To download

the report and fact sheets or to view

the webinar, click Research and

Insights under the Resources tab.

To register for the training course,

use the Training tab to reach the

Comparative Analysis link. To view the

video, click Videos under the Media

Library tab.

Tankless Water Heater Training Ad Running in Builder Publications Now

A new print ad promoting

PERC training will run in

several construction industry

publications in 2010. The ad

is part of the builder training

campaign launched earlier this

year (tagline: “Train Right. Build

Better.”). It focuses on helping

construction professionals

understand the array of training

resources available to them

from PERC and at www.

buildwithpropane.com/training.

The new General Motors 6-liter

engine can be fitted in light-duty,

heavy light-duty, and medium-duty

GM trucks and vans. Projections

indicate that annual sales of the

engine could exceed 4,000 vehicles,

generating more than 8 million

gallons of new propane demand

each year.

To learn more about new

propane products and other R&D

successes, download the Propane

Technology Review 2010 from

www.propanetechnology.com. To

request a printed copy, get in touch

with PERC’s Brandon Robinson at

202-452-8975 or brandon.robinson

@propanecouncil.org.


FHazmat Training for Propane EmployeesFederal regulations require employees who handle or

transport hazardous materials to get hazmat training in

the first 90 days of their employment and refresher training

every three years thereafter. Initial OSHA & DOT First

90-Day Employee Hazmat Training, a new e-learning DVD

from PERC, can help you comply with the requirements.

Order copies of Initial OSHA & DOT First 90-Day

Employee Hazmat Training (catalog item 009015) from the

Propane Marketing and Resource Catalog (the Propane

MaRC) or call 866-905-1075.

Learn more about the

latest PERC safety and

training products in the

Safety & Training Highlights

insert in this issue of In

Touch.

Upcoming Meetings of the Propane Education & Research CouncilJuly 15-16 Boulder, Colo. • October 6-7 Baltimore • December 8-9 Houston

Industry Retains Rights to Four Energy Guys Images

In Touch and the Restriction of PERC ActivitiesPublication of In Touch, PERC’s quarterly newsletter,

was temporarily interrupted last year while the Council

reviewed its programs for compliance with a restriction

triggered by a federal propane price analysis. The

newsletter is back for 2010.

On August 7, 2009, PERC learned that the

Commerce Department’s annual propane price

analysis had concluded that the ratio of a five-

year rolling average price index of residential

consumer-grade propane to the composite index

of other residential energy sources exceeded a

threshold mandated under Section 9 of the Propane

Education and Research Act of 1996.

As a result of that finding, PERC is required

under the law to restrict its activities to research

and development, training, and safety matters. In

response to the restriction and other factors, the

Council approved a budget for 2010 that lowered the

assessment rate to four-tenths of a cent per gallon of

odorized propane, effective April 1, 2010. To learn

more about the restriction of PERC activities, visit

www.propanecouncil.org.

PERC has reached an agreement with

Dan Warner (Propane) and John Hemphill

(Electricity) to retain the 2010 usage rights

covering four existing images of the Energy

Guys — three of Propane and one of both

Propane and Electricity. The propane industry

can continue using these images in safety,

training, and research and development

initiatives taking place this year.

Rights for all other Energy Guys materials

— including TV, print, and radio advertisements

— expired December 31, 2009, and those

materials may not be used for any purpose.

Visit www.propanemarc.com (registration

required) and search for Energy Guys to view

the four allowable images for 2010. For details,

get in touch with PERC’s Kate Caskin at 202-

452-8975 or [email protected].

Propane Education & Research Council1140 Connecticut Avenue, NW, Suite 1075Washington, DC 20036

PRST STD

U.S. Postage

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Permit #299

Dulles, VA

AmeriGas Takes Delivery of Propane Pickup Page 2

Propane Reduces Greenhouse Gas Emissions Page 4

New Products Key to Growth Page 1

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SUMMER 2010

Would you like to read about a particular compliance question in

an upcoming newsletter?Send your suggestions to

Stuart Flatow, PERC vice president in charge of safety and training, at [email protected]

or call 202-452-8975.

What Is Comprehensive Safety Analysis 2010?CComprehensive Safety Analysis 2010, a

new program designed to help the Federal

Motor Carrier Safety Administration improve

compliance and enforcement, will begin roll-

ing out nationwide this summer.

The program will track both carriers and

drivers to get a more complete picture of

compliance.

Three Key ElementsCSA 2010 contains three key elements:

a new safety measurement system that will

replace SafeStat, the system the agency

uses now; a new intervention process; and

a new approach to safety fitness determina-

tion.

Safety measurement system. The system

will evaluate carriers and drivers using crash

records and all roadside inspection safety-

based violations in the last two years. It will

assign a weight to each violation based on

its severity and the time of its occurrence.

More recent occurrences count more heav-

ily than those committed two years ago.

Safety performance is based on seven

behavioral analysis safety improvement cat-

egories, or BASICs, each tied to a section of

Title 49 in the Code of Federal Regulations:

Unsafe driving (Parts 392 and 397).•

Fatigued driving, which relates to hours •

of service (Parts 392 and 395).

Driver fitness, which includes medical •

qualifications (Parts 383 and 391).

Controlled substances and alcohol •

violations (Parts 382 and 392).

Vehicle maintenance (Parts 393 and •

396).

Cargo-related, which includes load •

securement and hazardous materials

rules (Parts 392, 393, and 397 and

hazmat regulations).

Crash indicator, which includes •

all Department of Transportation

recordable crashes.

The system will assign carriers a score

and a percentile rating (0 to 100, with 100

being the worst) that compares them with

carriers of similar size or number of inspec-

tions. The SMS will be updated monthly.

Interventions. The agency can take

action against carriers and drivers that are

above the thresholds in any safety cat-

egory. Interventions include warning letters,

increased roadside enforcement, off-site

and on-site investigations, the development

of comprehensive safety plans, and notices

of violation. Interventions are designed to

help the driver or the carrier fix safety prob-

lems.

Safety fitness determination. The agency

will assign a safety fitness determination

after an investigation. On-site investigations

can result in one of three ratings: continue

to operate, marginal, or unfit. The process

for making a safety fitness determination

will be determined by a rulemaking by the

Federal Motor Carrier Safety Administration

later this year.

Continued on page 2

What Is Comprehensive Safety Analysis 2010?

Changes to Hazardous Materials Shipping Paper Information Requirements

OSHA Proposed Rule on the Hazard Communication Standard

Final Rule on Distribution Integrity Management Plan Published

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4

Inside This Issue

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How Does CSA 2010 Affect Drivers?Any time a driver has contact with trained officers —

at a weigh station, at a roadside inspection, at a crash

scene, or during an audit — the officers are gathering

data for the system.

Violations that contribute high points to an overall

score for drivers include jumping an out-of-service order;

driving while ill, fatigued, or under the influence; falsifying

logs; operating over hours; and driving a commercial

vehicle without a commercial driver’s license. Violations

that contribute high points involving vehicles include

defective tires, defective suspension, defective steering,

the failure to display flags or lights on a projecting load,

and failure to secure cargo.

How Can Carriers Prepare Now?Understand the BASICs.•

Check and update their records, such as their Motor •

Carrier Census Form (MCS-150).

Review their inspections violation history over the •

past two years and address those safety problems

now.

Educate their drivers about how their performance •

affects their driving record and the safety rating of

the carrier.

Go to http://csa2010.fmcsa.dot.gov to learn more •

about CSA 2010.

Changes to Hazardous Materials Shipping Paper Information RequirementsTThe Department of Transportation recently changed

its requirements for the display of emergency response

telephone numbers on shipping papers.

The department requires anyone who offers hazard-

ous material for transportation and who has made an

arrangement with an emergency response information

provider to be identified on the shipping paper in clear

association with the emergency response tele-

phone number. If the name of the offeror (the

person who initiates a shipment) is prominently

and clearly listed elsewhere on the shipping

paper, it need not be also listed in association

with the emergency response telephone num-

ber.

The department also requires that any per-

son preparing a subsequent shipping paper

for continued transport of a hazmat shipment

must include the name of the offeror (whether

the original offeror or a subsequent offeror)

who is the actual registrant with the emergency

response information provider. The name of

the original or subsequent offeror or the off-

eror’s contract number with the emergency

response information provider must appear

on the shipping paper. If the original or subse-

quent offeror is not continuing as the registrant with the

emergency response information provider, the person

preparing the subsequent shipping papers must insert

and identify by name its own valid emergency response

telephone number.

The new requirements will take effect October 1,

2010.

Continued from page 1

3

OSHA Proposed Rule on the Hazard Communication StandardTThe Occupational Safety and Health Administration is proposing to modify its existing Hazard Communication

Standard to align with the United Nations Globally Harmonized System of Classification and labeling of Chemicals.

The proposal is designed to improve international commerce by adopting a worldwide chemical hazard com-

munication and container labeling system. Because most propane is produced and consumed in the United

States, the propane industry has little to gain from the proposal.

Proposed modifications to the Hazard Communication Standard include the following:

Revised criteria for classification of chemical hazards. •

Revised labeling provisions that include requirements for use of standardized signal words, pictograms, hazard •

statements, and precautionary statements.

A specified format for safety data sheets.•

Related revisions to definitions of terms used in the •

standard, requirements for employee training on labels and

safety data sheets.

The proposal would require the labeling of propane con-

tainers “extremely flammable gas” instead of “flammable gas.”

There appears to be no technical rationale or substantiation for

adding the word “extremely.” The cost to develop new labels

and modifications to employee training could exceed $60 mil-

lion.

The proposed safety data sheet includes these 16 sections,

all of which are already on the propane safety data sheet:

Identification of the substance or mixture and of the •

supplier.

Hazards identification.•

Composition or information on ingredients.•

First aid measures.•

Firefighting measures.•

Accidental release measures.•

Handling and storage.•

Exposure controls and personal protection.•

Physical and chemical properties.•

Stability and reactivity.•

Toxicological information.•

Ecological information.•

Disposal considerations.•

Transport information.•

Regulatory information.•

Other information, including information on •

preparation and revision of the SDS.

OSHA is reviewing numerous comments to this proposal, including those of the propane industry, and the

agency has not announced a timetable for publication of a final rule.

Regulatory and Code ComplianceDid you know that you can search and download regulations at www.propanesafety.com? The Propane

Regulatory Compliance Program of the Propane Education & Research Council (PERC) compiles all the

regulations from the Department of Transportation, the Occupational Safety & Health Administration, and the

Environmental Protection Agency that apply to propane marketers. The program also trains propane marketers

and their employees on the handling and transporting of propane in accordance with federal regulations. For

details, call PERC’s Maria Passarella at 202-452-8975.


4

Final Rule on Distribution Integrity Management Plan PublishedOOn December 4, the Pipeline and Hazardous

Materials Safety Administration published its final rule on

Distribution Integrity Management Programs. The final

rule applies to jurisdictional propane pipeline operators

and requires them to develop and implement a written

integrity management plan by August 2, 2011.

A jurisdictional propane pipeline system, accord-

ing to 49 CFR Part 192, serves 10 or more customers

from a single supply source, such as a propane tank, or

serves two or more customers if a portion of the system

is located in a public way.

The pipeline agency acknowledged propane indus-

try’s efforts to explain the differences between itself and

the natural gas industry, particularly in the number of

customers served. To that end, the agency established

regulations that were less onerous than those for larger

natural gas utilities and also established and defined

a new term to recognize this distinction. A “small LPG

operator” is “an operator of an LPG distribution pipeline

that serves fewer than 100 customers from a single

source.”

The final requires small LPG operators to develop

and implement written integrity management plans

addressing the following elements:

Knowledge of infrastructure.• Operators need

to know their pipeline infrastructure, including the

pipeline construction materials and the types of

valves and regulations.

Identification of threats.• Operators need to

identify threats to the pipeline, such as corrosion,

natural forces, excavation damage, material failure,

equipment malfunction, and inappropriate operation.

Evaluation and prioritization of risks.• Operators

need to prioritize risks based on the probability of

each threat and the severity of its consequences.

Mitigation of risks.• Operators need to take

measures to mitigate the identified risks and

determine whether risk management techniques or

practices are effective.

Measurement and monitoring of performance.•

Operators need to set performance measures

that address specific risk management practices.

The best performance measures can be counted,

tracked, and monitored.

Periodic evaluation and improvement.•

Operators should review the program at least every

five years, and more frequently if the system is

complex or risk factors change.

Operators must keep for 10 years all records asso-

ciated with the integrity management plan.

The final rule requires that excess flow valves be

installed on any “new or replaced service line serving a

single-family residence after February 12, 2010,” unless

the branch service line does not operate at a pressure

of 10 pounds per square inch gauge or greater through-

out the year. Rather than explicitly exempt propane

operators from this requirement, the agency expects

that the performance criteria specified above will result

in the installation of few excess flow valves. Note that

this is not a retrofit requirement. It applies only to newly

installed or replaced branch service lines.

In the Next Issue of the Propane Marketer Compliance Newsletter:Electronic on-board recorders for hours-of-service compliance.•

Text messaging.•

Bobtail tax.•

Tanker refilling safety advisory.•

HIGHLIGHTS • SUMMER 2010

HighlightsSUMMER 2010

Hazmat Training for Propane IndustryFederal regulations require employees who handle or transport hazard-ous materials to get hazmat training in the first 90 days of their employ-ment and refresher training every three years thereafter.

Initial OSHA & DOT First 90-Day Employee Hazmat Training, a new e-learning DVD from the Propane Education & Research Council (PERC), can help you comply with the requirements while giving your workers quality training.

Among the topics covered in the training:Propane security: personnel security, unauthorized access, en route •security. What to do after a crash involving a propane delivery vehicle.•Materials of trade exemptions.•

Order copies of Initial OSHA & DOT First 90-Day Employee Hazmat

Training (catalog item 009015) online from the Propane Marketing and Resource Catalog (the Propane MaRC) at www.propanemarc.com or by calling 866-905-1075.

Because one size does not fit all when it comes to company practices and procedures in the propane industry, Initial OSHA & DOT First

90-Day Employee Hazmat Training is customizable. The DVD features the Safety & Training Administrative Record System (STARS), a comput-er module designed to help companies customize basic e-learning train-ing courses to include company policies and keep records of employee training.

“STARS allows me to integrate my company policies into training,” said Jeff Shaffer, president of Shaffer’s Bottled Gas in Hooversville, Pa. “And STARS provides an added benefit of being able to document my training.”

The STARS program is a bridge that links training lessons to related company policies and creates an essential partnership that reinforces safety practices. It represents yet another industry advancement in the efficient, comprehensive, and high-quality training of propane industry employees with the goal of maximum safety for our customers, our employees, and the public.

Learn more about STARS by watching the highlight reel on the mini-CD. Put it in your computer’s CD drive and follow the instructions on the screen.

Have questions about STARS, CETP, or any of PERC’s e-learning prod-ucts? Get in touch with PERC’s Courtney Gendron at courtney.gendron @propanecouncil.org or 202-452-8975.

Safety & Training

The propane industry’s safety programs are successful because of the dedicated volunteers who serve on the PERC Safety & Training Advisory Committee and other industry panels. We encourage you to get

involved and help advance the safe use of propane. To learn more, get in touch with PERC Vice President Stuart Flatow at 202-464-8975 or [email protected].


Win Community Support for Bulk Plants with Brochure, PowerPoint Presentation

A new program called “Propane in Your Community” can help you explain the safety and the necessity of propane bulk plants to hom-eowners, business owners, and local government officials. Produced by the Propane Education & Research Council (PERC), the program con-sists of a brochure and a PowerPoint presentation that feature material based on extensive research on the issues and concerns of community members and local governments during the review process for propane storage facility projects. The presentation can be customized to fit your audience and your project.

Copies of the “Propane in Your Community” brochure are available for purchase through the online Propane Marketing and Resource Catalog (the Propane MaRC) at www.propanemarc.com or through the catalog call center at 866-905-1075. Both the brochure and the presentation can be download-ed from www.propanesafety.com.

Static Electricity DVD, Field Evaluation Guide

The newly updated Static Electricity in the Propane Industry, a full-color 28-page booklet, comes with a new video on DVD that explains some of the more technical aspects of static electricity and its dangers.

The video includes footage that depicts static electrical hazards at a propane plant.

Other helpful resources in the booklet include a quiz you can use to gauge how well your employees understand the information in the guide, and a field evaluation guide you can use to identify static dis-charge hazards at your company’s facilities.

Visit the Propane Marketing and Resource Catalog (the Propane MaRC) at www.propanemarc.com or call 866-905-1075 to order a copy of Static Electricity in the

Propane Industry (catalog item 006400).

With the rising demand for underground propane tanks, the industry’s need for informa-tion on how to safeguard those tanks from corrosion has increased. Fortunately, a new Cathodic Protection program is now available for all propane marketers.

The program contains training materials for propane technicians who install residential and small commercial underground ASME tanks and piping. It provides basic knowledge and requirements for the technician to properly and efficiently provide cathodic protection for underground steel ASME tanks and piping from corrosion. The program also includes a quiz with an answer key and a skills evaluation form.

The Cathodic Protection program is available through the Propane Marketing and Resource Catalog, or Propane MaRC, at www.propanemarc.com or 866-905-1075.

CETP: Certified Employee Training ProgramThe propane industry has developed an exciting e-learning program that will increase the availability of propane-related training programs, includ-ing the industry’s successful Certified Employee Training Program, or CETP.

To order any of the CETP E-Learning DVDs — Basic Principles & Practices, Propane Delivery Operations & Cylinder Delivery, and Bobtail Delivery Operations — and the Safety & Training Administrative Record System (STARS), visit the Propane Marketing and Resource Catalog, or Propane MaRC, at www.propanemarc.com, or call customer service toll-free at 866-905-1075.

The Propane MaRC is also your source for CETP textbooks, includ-ing the three completely updated CETP textbooks — Basic Principles & Practices, Propane Delivery Operations & Cylinder Delivery, and Bobtail Delivery Operations. The new textbooks have been updated

according to reflect the guidance in 2008 edition of NFPA 58 Liquefied Petroleum Gas Code and the 2006 edition of NFPA 54 National Fuel Gas Code. The courses have also been streamlined and include separate glos-sary and resource sections, which all provide an enhanced classroom learning experience for students.

Mike Walters of Amerigas (Westlake, Ohio), the immediate past chairman of the PERC Safety & Training Advisory Committee, says, “These new courses represent STAC’s three main criteria — technically sound, easy to deliver, and in a language and style that students can understand.”

Cathodic Protection


Have questions about any of these PERC safety and training resources? Write to Stuart Flatow, PERC’s vice president for safety and training, at [email protected] or call 202-452-8975. Items

can be purchased through the Propane Marketing and Resource Catalog by either visiting www.propanemarc.com or by calling 866-905-1075.

Consumer Safety Education: Any Time, Any Place, at Less CostA suite of 16 elec-tronic modules on con-sumer propane safety is designed to give your customers the safety information they need whenever they want it. Each module is available in English and Spanish, is devoted to a single subject (such as appli-ance maintenance), and takes less than 10 minutes to complete. The modules are based on consumer safety education materials that are available at www.usepropane.com.

Go to www.propanesafety.com to download the modules. Then put them on your company website and feature them in monthly safety tips that you send to your customers by mail or email. Here is a suggested schedule for the coming 12 months.

June: Small Cylinder Transportation & StorageJuly: Can You Smell It?August: What to Do If You Smell GasSeptember: Carbon Monoxide SafetyOctober: Lighting Pilot Lights November: Appliance Maintenance December: Winter Storm PreparationJanuary: Using Space Heaters SafelyFebruary: Running Out of GasMarch: Power OutagesApril: Spring/Summer Weather SafetyMay: Safe Grilling

Consumer SafetyConsumer Safety Radio Announcements: Safe Grilling, Small Cylinder SafetyTwo new kits of radio public service announcements, one about safe grilling and the other about small cylinder safety, have been added to the lineup of consumer safety PSAs from the Propane Education & Research Council (PERC).

Each kit has two 30-second announcements and two 15-second announcements. The announcements can be downloaded from the Propane Marketing and Resource Catalog (the Propane MaRC) at www.propanemarc.com.

Safe Grilling in the Backyard• features safety tips for users of grills and small cylinders.Small Cylinder Safety• offers tips on the safe transporting and storage of propane cylinders.

The new kits join five others that were recently added to the Propane MaRC:

Winter Storm Safety in Northern Climates.•Winter Storm Safety in Southern Climates.•Propane Heating System and Appliances.•Safe Grilling at the Football Stadium.•Safe Grilling at the Race Track.•

Can You Recognize Propane Jurisdictional Systems?Federal and state laws on propane jurisdictional systems can be con-fusing. But a booklet from the Propane Education & Research Council (PERC) — Propane Jurisdictional Systems: A Guide to Understanding

Basic Fundamentals and Requirements — can help propane marketers recognize jurisdictional systems and know the responsibilities of companies that install and service them.

“This document helps to clarify, combine, and cross-reference portions of Part 192 of Title 49 of the Code of Federal

Regulations — and the National Fire Protection Association 58 pamphlet — to provide some real guidance related to jurisdictional systems for the propane industry,” said Randy Warner, director of retail technical operations with Ferrellgas in Liberty, Mo., and chairman of the Jurisdictional System Task Force of the PERC Safety & Training Advisory Committee.

To download a copy of the document in PDF form, visit www.propanesafety.com. Single printed copies are available while supplies last. Send a request to PERC’s Maria Passarella at [email protected]. For more information, get in touch with Stuart Flatow at 202-452-8975 or [email protected].


Propane Emergencies is a 303-page full-color textbook that helps prepare responders to major incidents involv-ing propane and propane delivery vehicles. It was written for firefighters, members of hazardous materials response teams, propane marketers, propane industry product and container specialists, private or emergency response con-tractors, and towing and recovery professionals.

Propane Emergencies has been adopted by 27 state firefighter training agencies. “Our goal is that all state fire academies will adopt the Propane Emergencies program,” says Lyndon Rickards, the safety and training manager with Eastern Propane Gas Inc. in Rochester, N.H., and the chairman of Propane Emergencies subcommittee of the PERC Safety & Training Advisory Committee.

This textbook describes how to safely respond to propane emergencies and covers standards, codes, and regula-tions; physical properties and characteristics of propane; non-bulk and bulk container design and construction features; bulk transportation design and construction fea-tures; bulk plants and bulk storage tanks; general emer-gency response procedures; tactical response guidelines for propane emergencies; product removal; and transfer and recovery operations.

Copies of the third edition of Propane Emergencies are available for purchase through the online Propane Marketing and Resource Catalog (the Propane MaRC) at www.propanemarc.com or through the catalog call center at 866-905-1075. You can also download a digital ver-sion from www.propanesafety.com.

First Responder Safety

Propane Emergencies

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