United States Coast GuardMarine Safety, Security, and Stewardship 1

U.S. Coast Guard Regulations“Making a difference”

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Jeff LantzDirector, Commercial Regulations & Standards

U.S. Coast Guard

United States Coast GuardMarine Safety, Security, and Stewardship

Why Regulate?• When required by law, to interpret the law, or

to address “compelling public need” (Executive Order 12866: Regulatory Planning and Review)

– Ensure activities of industry in keeping with broader societal objectives: safety, security, environmental protection

– Provide enforceable policies for field– Provide reasoned, consistent, predictable policies

for industry

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United States Coast GuardMarine Safety, Security, and Stewardship

USCG Regulatory Approach• Address risk in cost-effective

manner• Consider economic impacts, with

particular attention to small business impacts

• Build international approaches where possible

• Utilize industry consensus standards

• Integrate regulations with policies to ensure reasoned, consistent enforcement

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AdditionalRequirements

Consensus Standards

International Standards

Industry Voluntary Measures

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United States Coast GuardMarine Safety, Security, and Stewardship 4

TOTE RO/RO Container ShipLNG Retrofit

LNG as Fuel - Interest in the U.S.

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United States Coast GuardMarine Safety, Security, and Stewardship

Gaps in Existing RegulationsThe Current Regulations Do Not address:

• Design and construction of LNG fuel systems.• Operations, training, and general safety for personnel on

vessels where LNG fuel systems are installed.• LNG transfer operations (Current procedures viewed in light

of oil transfers). • Small scale LNG (e.g. bunkering) operations conducted from

vessels and shoreside facilities (Currently viewed in context of large scale cargo transfer).

• Barges transporting LNG in bulk.

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United States Coast GuardMarine Safety, Security, and Stewardship 6

U.S. Coast Guard Policy LettersShort Term Solution to Bridge Gaps:• Develop policy letters to address gaps in

regulations until regulations can be developed.

– Natural gas fuel systems on vessels

• Base policy letters on existing regulations applicable to LNG cargo operations scaling down to fit needs and accomplish safety mission.

• Ensure alignment with ongoing work of leading international organizations (e.g. IMO and ISO).

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United States Coast GuardMarine Safety, Security, and Stewardship 7

U.S. Code of Federal RegulationsLong Term Solution to Close Gaps• Initiate rulemaking project.

– Notice of Proposed Rulemaking– Final Rule

• Use implemented policy to identify any additional areas to be addressed in regulation.

• Incorporate standards and guidance developed by the international community and LNG industry where appropriate.

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CFR

United States Coast GuardMarine Safety, Security, and Stewardship

U.S. Coast Guard LNG Industry AssociationStandards Development

• IMO - International Code of Safety for Ships Using Gases or Other Low-Flashpoint Fuels (IGF Code) • IMO - International Code for the Construction and Equipment of Ships Carrying Liquefied Gases in Bulk

(IGC Code)• ISO - International Guidelines for Bunkering LNG as a Marine Fuel (TC67 WG10)• NFPA 52 - Vehicular Gaseous Fuel Systems Code (updates to Chapter on Marine Vessels)• NFPA 59A - Production, Storage, and Handling of Liquefied Natural Gas (LNG)

Advisory Committees / Interagency & Industry Workgroups• CGHQ Internal Natural Gas Workgroup • Federal LNG Interagency Roundtable (Washington, DC)• CTAC Subcommittee on LNG/CNG as Cargo and Use as Fuel (Federal Advisory Committee)• SIGTTO – LNG Fuel Safety Advisory Group (London, UK)• LNG Fuel Advisory Council (chaired by DNV, Houston)

Other Industry Contacts• Great Lakes Maritime Research Institute• Center for LNG

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United States Coast GuardMarine Safety, Security, and Stewardship

Thank you – Questions?

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Industry Voluntary Measures

International Standards

Consensus Standards

AdditionalRequirements