IMPLEMENTATION GUIDE FOR THE PHOENIX AGREEMENT

Transcription

1 IMPLEMENTATION GUIDE FOR THE PHOENIX AGREEMENT API-EI Agreement for Joint Development, Publication and Maintenance of Petroleum Measurement Standards Introduction This guide has been written to provide detailed guidance on how each organization shall cooperate in the implementation of the Phoenix Agreement, which provides for joint development, publication and maintenance of petroleum measurement standards by API and EI. For the purposes of this Guide, the term "standard" covers the documents listed in the API Procedures for Standards Development (e.g. standards, recommended practices, technical reports etc.). It is not the intent of the agreement or this guide to alter the basic structure, membership arrangements or balloting procedures of either organization. Communication and cooperation will be primarily on three levels: 1. Programme management: A new Joint Committee comprising members of the existing API Committee on Petroleum Measurement (COPM) and EI Hydrocarbon Management Committee (HMC) who will review and manage the work programme. 2. Programme development: API-EI Joint Work Groups who will produce the required standards. 3. Programme administration: The budget process and joint publishing agreements will be administered by the appropriate staff of each organization in consultation with the Joint Committee. Work at subcommittee level in both organizations will continue as before. This guide briefly describes current working procedures and outlines how these will be linked to enable joint working. Procedures 1. General Unless stated elsewhere in this document, the procedures used for standards development by the Joint Committee and any API-EI Joint Work Groups shall be the API Procedures for Standards Development. 1

2 The Joint Committee and any API-EI Joint Work Groups shall comply strictly with U.S. and EU antitrust laws. Participants shall not provide any documents, data, or information if the use of such material by API and EI in a standard would infringe upon the rights of any third parties in the information including, but not limited to, copyrights, patents, trade secrets, trademarks, publicity and privacy. Participants shall immediately notify API and EI if a participant determines that any information that is contained in a final or draft API/EI standard would violate the rights of third parties if published by API or EI, or if used by a third party. As a general rule, patents the use of which would be required for compliance with that standard should not be included in API/EI standards. These types of patents may, in exceptional circumstances, be included in API/EI standards refer to the API Procedures for Standards Development for further guidance. 2. Committee Membership and Officer Duties 2.1 Joint Committee The Joint Committee will comprise members of the: API COPM Executive Committee, plus at the discretion of the COPM chairman, 3-5 other COPM voting members who are corporate members of API that are not already represented on the Executive Committee, and EI HMC chairman and chairmen of the EI HMC subcommittees, plus at the discretion of the HMC chairman, 3-5 other HMC voting members who are corporate member of EI. Chairmanship will be a rotating position, alternating between the chairman of COPM and the chairman of HMC. The term of office will be 2 years. The vice chairman of the Joint Committee will be the chairman of the alternate Institute's committee. 2.2 Subcommittees API COPM Main Committee and Subcommittee membership requirements shall follow the criteria laid out in the COPM Policies and Procedures Manual (the "Blue Book"). EI HMC and HM subcommittee membership is as determined by the Energy Institute. 2.3 Joint Work Groups Work Group membership shall be open to all parties that have a direct and material interest in the subject of the standard in question. However, continued membership will be dependent upon active participation. It is anticipated that the majority of members will come from the API and EI subcommittees. However, both API and EI will invite relevant experts from outside their organizations to participate (e.g. oil companies not currently represented, manufacturers and regulatory bodies, along with increased participation from countries and regions not currently represented). International experts will be included in work groups wherever possible in order for joint API/EI standards to be developed with a global perspective and to facilitate adoption by ISO of the documents produced. Where possible, chairmen will be representatives of oil companies or oil industry operating companies (the Joint Committee shall determine whether to approve an exception) and it is recommended that the chairman and vice chairman should be from API COPM and EI HMC (one from each organization). If a joint project is API-led (see 3.1), API COPM shall have the right of first refusal in appointing a chairman to the joint work group, and vice versa if the project is EI-led. 2

3 The duties of the chairman are to manage the development of the standard (or project) by organizing meetings of the Joint Work Group, arranging drafting effort, etc. The chairman will report progress to the relevant COPM and HM subcommittee. The chairman is also responsible for resolving comments following ballots and achieving consensus within the Joint Work Group. The vice-chairman has an important role in organizing support within the Joint Work Group from his or her organization, acting as a contact, and assisting the chairman with arrangements for meetings. The vice chair will also act as chair if required. The chairman and vice-chairman shall guide the activities of the Joint Work Group consistent with its responsibilities, and shall be responsible for ensuring that the activities under their jurisdiction are organized and progressing in a manner that is compliant with this Implementation Guide. 3. Identification and Approval of Work Items 3.1 New Standards API COPM will continue to use the Standards Resource and Research Request Form and the process given in the API Procedures for Standards Development and the COPM Policies and Procedures Manual. EI HM subcommittees will provide similar project request forms to HMC. New work items may also be proposed by ISO members (see Annex A). All work items will be reviewed by the Joint Committee (see Section 2. above). The Joint Committee will determine whether the project should be a joint API/EI project (some standards may be developed for specific regulatory purposes within one particular country or region and therefore may not be suitable for joint development). If agreed that the project should be a joint project, the Joint Committee shall also determine whether it is API or EI led. Projects may be approved, rejected or deferred, depending on the workload of the relevant COPM and HM subcommittees, the technical justification provided, and an assessment of industry needs. Rejection of a project does not prevent either organization from issuing their own standard on the topic. Projects which are approved will be referred back to the relevant API or EI subcommittee (depending whether the project is API or EI led) for progress through a Joint Work Group. New standards will be produced as API/EI documents. Such standards may then be considered by members of the relevant ISO measurement committee for possible adoption as an ISO standard via the fast-track procedure (see Annex A). 3.2 Review and Revision of Existing Standards API COPM will continue to use the procedures given in the API Procedures for Standards Development and the COPM Policies and Procedures Manual. EI standards which are due for renewal will be reviewed by the HMC. All API COPM and EI HMC standards which are due for review will be considered by the Joint Committee with a view to producing new joint API/EI standards wherever possible. Review dates will frequently be out of step and, depending on technical considerations and workload, the Joint Committee may recommend reaffirmation of either an API or EI standard for a short period, pending development of a new joint document. However, where there is an important technical justification, the Joint Committee may recommend early revision of either API or EI standards into a new joint document. 3

4 4. Standards Development 4.1 General Standards will be developed within the API/EI Joint Work Groups. Innovation is encouraged and standards will reflect proven industry practices, incorporating new technology when reasonable proof of fitness is available. In carrying out their work, Joint Work Groups will take into account all relevant existing standards; API, EI, ISO, etc. If published standards are distributed to the Joint Work Group as reference documents, it shall be noted that these are copyright documents and may only be used by the recipient for the purpose of review and comment when participating in related API standards development activities. All other rights are reserved. Work Group chairmen will work to obtain consensus amongst group members. Consensus is established when substantial agreement has been reached. Substantial agreement means more than simple majority but not necessarily unanimity. 4.2 Standards Format Standards will be prepared following the format introduced in API in 2005 for joint API/EI documents. This is designed so that standards can be readily accepted as ISO standards if ISO members wish to do so. 4.3 Final Drafts and Comment Resolution Final drafts of standards prepared by the Joint Work Groups will, with the concurrence of the appropriate subcommittee chairman, be submitted to API and EI staff for simultaneous balloting by API COPM and EI HM subcommittees. Ballot results will be forward by the API and EI staff to the Work Group chairman (and copied to the appropriate subcommittee chairmen) for review/comment resolution. If no negative votes or comments have been submitted during the ballot, the results are sent for information only. Editorial changes may be incorporated into the document without further balloting. Editorial changes are changes that correct errors or inconsistencies in a manuscript. Ultimately API and EI staff (usually the secretaries to COPM and HMC) will together determine whether changes are editorial or technical. Technical (substantive) changes to the document made as a result of comment resolution will require those changes to be reballoted within the COPM and HM subcommittees. Substantive changes are changes that affect the meaning or intent of a standard. Following successful balloting and comment resolution, completed documents will be submitted to the Joint Committee for final review and approval. This review shall take no longer than 3 weeks. 5. Balloting API COPM will continue to use the API Procedures for Standards Development and the procedures given in the COPM Policies and Procedures Manual. EI will continue to use current balloting procedures which operate at HM subcommittee level (one or more committees may be involved). All negative votes and comments will be reviewed and resolved by the Joint Work Group chairman in consultation with the Work Group members. Where resolution is not possible, the matter in question will be put to the Joint Committee who will decide the issue. If consensus cannot be achieved within the Joint Committee, either organization can independently issue their own version of the standard. 4

5 6. Budget Process 6.1 Administration Additional administration requirements for API/EI staff will be limited to secretarial support for the Joint Committee (minute taking and distribution). The Secretary to the Joint Committee will either be an API or EI staff member, the position rotating to follow the Chairman's affiliation. More extensive secretarial support will be provided as presently by each organization through their existing staff who will be the primary contact points for document distribution, balloting issues, etc. 6.2 Standards Preparation Standards preparation under the Phoenix Agreement should not involve either organization in significant additional expenditure. In order to share the workload, primary editorial work will be undertaken by the organization which leads the work (see 3.1). Work on other standards, such as revisions resulting from ISO standards (see Annex A), will be split between the two organizations as evenly as possible. Where possible, Work Groups will undertake their own drafting work. Where it is necessary to employ consultants for drafting work this will be subject to tender. Costs will be submitted to the Joint Committee for approval and will be shared jointly between the API and the EI, pending availability of funds. 6.3 Technical Development Projects Technical development projects in support of standards are currently undertaken independently by both organizations. Projects will be reviewed by the Joint Committee with a view to cooperation and cost sharing. This will be determined on a case-by-case basis. EI funding for specific projects is derived directly from interested sponsor companies who may also be represented through API funding. 6.4 Reprogramming of Funds Where projects are jointly funded by both organizations, any reprogramming of funds shall be authorized by the Joint Committee. 7. Publishing Agreements API and EI legal reviews of the final draft of the API/EI standard will take place within the time frame agreed by both API and EI for publication. Final editorial work will be divided between the staff of the API and EI editorial groups, depending on the standard and whether the project was API or EI led (see 3.1). However, although one group will take the primary role in carrying out the final editorial work, the other group will carry out an editorial review prior to publication to ensure that any individual in-house requirements are met. Comments on proofs shall be submitted to API and EI staff within one month of the proofs being made available. A number of joint API/EI publishing agreements have already been developed. Publishing agreements for new joint standards will be developed on a case-by-case basis. The respective members of the Joint Committee will advise API and EI Publications Departments of standards in development through API/EI staff. 5

6 8. Appeals and Interpretations Disputes with regard to balloted documents will be considered by the Joint Committee. Competing suppliers or manufacturers of the product or service that is the subject of the dispute shall not participate in the process. Any person having a material interest in an API standards action shall have the right to bring a timely appeal. Appeals shall be dealt with in accordance with the procedures given in the API Procedures for Standards Development. Requests for interpretations of API/EI standards shall be processed in accordance with Section 8 of the API COPM Policies and Procedures Manual. Staff will consult with the API Office of General Counsel and the Joint Committee, but there shall be no consultation with competing suppliers or manufacturers of the product or services to which the standard applies or might apply. Official responses will be issued by API staff following consultation with EI staff. Written correspondence from legal counsel from either organization shall not be distributed without the express permission of staff from both organizations. 9. Withdrawal of Standards Withdrawal of standards shall be carried out in accordance with the API Procedures for Standards Development and will normally be actioned by the Joint Committee following recommendations from COPM or HM subcommittees. Where either the API or EI staff perceive a need to withdraw a joint API/EI standard this will, again, normally be actioned through the Joint Committee who will consult with the relevant subcommittee(s). Following discussion by the Joint Committee and relevant subcommittees an API/EI standard may either be withdrawn by both organizations, or disjointed to become either an API or EI standard. In exceptional circumstances, API or EI may decide to disjoint a standard and withdraw it as an API or EI standard without reference to standards committees. Wherever feasible, API or EI staff will notify the staff of the other organization prior to disjointing a standard and withdrawing it as an API or EI standard. 10. Meetings and Document Distribution 10.1 Meetings of the Joint Committee A Joint Committee meeting will be held at least twice a year and more frequently if required. Web/teleconference meetings are recommended, but it is suggested that al least one face-to-face meeting is held per year at a mutually agreed upon location which is convenient for the majority of attendees. If meetings are carried out via teleconference, it is strongly recommended for members to congregate in as few locations as possible (e.g. one location in the USA and the other in the UK) in order to facilitate management of the meeting. 6

7 10.2 Meetings of Joint Work Groups The Joint Work Group chairman sets the time, duration, place, and frequency of meetings with the concurrence of the Joint Committee chairman. To expedite the development of standards, Joint Work Group chairmen are encouraged to conduct Joint Work Group business between biennial API COPM meetings. Business may be conducted by conference call, web meetings, through the mail, or by holding face to face meetings (when necessary and acceptable to appropriate members). If meetings are carried out via teleconference, it is strongly recommended for members to congregate in as few locations as possible (e.g. one location in the USA and the other in the UK) in order to facilitate management of the meeting. API and EI staff at the request of the Joint Work Group chairman shall issue a written announcement for each meeting. The Joint Committee shall be advised of all meetings Meetings of Subcommittee Executive Committees Where appropriate for consultative purposes regarding API/EI projects, a COPM subcommittee chairman may invite the EI HMC chairman or their designate (although this individual shall not be a consultant) to attend an executive committee meeting of the COPM subcommittee. The COPM subcommittee chairman will determine whether it is appropriate for the EI HMC chairman or their designate to attend all or part of the executive meeting. 11. Third Party Standards Development Organizations A number of existing petroleum measurement standards have been developed, maintained and published in cooperation with other organizations (e.g. ASTM, GPA). Where existing standards are already joined in this way, the Joint Committee will endeavour to reach agreement with the third party for full cooperation in revision work through Joint Work Groups as described above. Publication agreements vary widely between standards and any new arrangements will have to be negotiated on a case-by-case basis. 7

8 Annex A Suggested mechanisms for interface between API/EI and ISO A.1 Communication Communications between the API/EI Joint Committee and ISO committees should be carried out via the Secretariat of the Joint Committee and the Secretariat of the appropriate ISO committee or subcommittee (e.g. ISO/TC 28, ISO/TC 30, ISO/TC 193 etc.). A.2 New Standards Details of all approved API/EI projects will be sent to the Secretary of the appropriate ISO/TC 28 measurement subcommittee for distribution, and will include an invitation for international participants to become members of the API/EI Joint Work Groups. All with capability for technical contributions are welcome, although membership is limited to active participants only. ISO members may wish for experts from their country to be nominated through their national standard body in order to facilitate coordination with, for example, any national committees. However, it is noted that, in accordance with the ISO Directives, "experts act in a personal capacity and not as the official representatives of the ISO members or liaison organization by which they have been appointed". ISO members, through the ISO/TC 28 measurement subcommittees, are invited to submit new projects to the API/EI Joint Committee to be considered for development through API/EI Joint Work Groups as described above. These may be projects which were approved for development via the ISO new work item ballot process (i.e. were approved by a simple majority of P-members voting) but did not fulfill the requirement for 5 P-members to nominate experts, or projects which have not obtained sufficient support from the ISO P-members but which merit additional consideration. ISO members will be advised of the API-EI Joint Committee decision on such proposals as soon as possible. As noted in Section 3.1, new standards developed by API/EI Joint Work Groups will be published as API/EI standards. Such standards may then be considered by members of the relevant ISO measurement committee for possible adoption as an ISO standard by submission for vote as a final draft International Standard via the fast-track procedure (see Clause F.2 of ISO/IEC Directives Part 1 Fifth Edition, 2004). A.3 Revision of Existing Standards When an ISO standard is under systematic review and the results indicate the standard should be revised, but experts have not been nominated by 5 ISO P-members to carry out this work, ISO measurement committees are invited to submit this revision work to the API/EI Joint Committee to be considered for development through an API/EI Joint Work Group with a view to developing a joint API/EI standard. Such standards could then be considered by the ISO committee for possible adoption as a new edition of the ISO standard via the fast-track procedure. As noted in Section 4, API/EI Joint Work Groups will in any case take into consideration all existing relevant documents when developing or revising standards in order to fulfill industry's requirement to reduce duplication of effort and technical differences, and eliminate duplicative standards. If an API/EI standard has been adopted by ISO, ISO members (through the ISO committee secretariat) shall be informed if API/EI are proposing that the standard should be revised or withdrawn. Where an API/EI/ISO standard is revised, the revision will be issued as an API/EI standard for possible subsequent re-adoption by ISO. 8