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Guidance Note

Notification and registration


of a major hazard facility
Advice for operators of dangerous goods sites with guidance on notification
and registration.
March 2011

1. Introduction 1 If, after reviewing the notification, WorkSafe concludes that


the facility is an MHF, the facility will be registered as an
1.1 Important points for successful  1 MHF. Registration is an interim status after WorkSafe
notification and registration concludes that the site is an MHF. This gives the facility
time to develop a Safety Case and apply for a licence
1.2 Concepts of notification and registration  2
to operate an MHF.
1.3 Key definitions  2 This guidance note provides advice on the process of
2. The process  2 notification and registration, as required under the MHF
regulations (parts 5.2 and 6.2 of the OHS Regulations).
2.1 When do I need to notify?  2 The details of the requirements are set out in the
compliance list on page 6.
2.2 What information do I need to provide  4
in the notification? This guidance is mainly for the person or persons
responsible for safety compliance at dangerous goods sites
2.3 What obligations result from registration? 5 which may become a registered MHF. It should also help
interested stakeholders understand what the notification
2.4 Time frame s 5 and registration process achieves.
3. Compliance checklist  6
1.1 Important points for successful
4. Appendix  7 notification and registration
The following is critical to successful notification
and registration:
• prompt notification by operators of existing facilities
1 Introduction when above the MHF threshold quantity for Schedule
9 materials
The major hazard facility parts of the Occupational Health
and Safety Regulations 2007 (OHS Regulations) set out • timely notification by operators intending to operate
legal duties for control of risks from operating a major an MHF that it will be above the MHF threshold.
hazard facility (MHF). They apply to the operator of a This enables a Safety Case to be prepared by the
facility who is the employer with management or control operator, reviewed by WorkSafe and the facility licensed
of the facility. • inclusion and clear presentation of all necessary
information required by WorkSafe eg information
To ensure all MHFs are properly identified, the MHF
required for accuracy checks and preliminary
regulations require operators of dangerous goods sites
assessments
to notify in certain circumstances. Notification is when
an organisation or person informs WorkSafe Victoria • consistency with any other type of notification required
that they intend to operate an MHF (which may be under by WorkSafe
construction or a modification of an existing site) or the • reference to evidence such as long term operating
type and quantity of materials at their dangerous goods site records to justify quantities used in calculations.
exceeds 10% of the major hazard threshold in the MHF
regulations. These thresholds are set out in Schedule 9 of
the OHS Regulations, Materials at Major Hazard Facilities
(and their threshold quantity) .

GUI0122/01/02.11
Guidance Note Notification and registration
of a major hazard facility

1.2 Concepts of notification 1.3 Key definitions


and registration Major hazard facility licence: Means a licence
The following concepts will assist operators to understand to operate an MHF.
the process of notification and registration: Notification: The process of providing information
• A person intending to operate an MHF may notify to WorkSafe by a facility in accordance with reg 5.2.27
WorkSafe to have the facility registered. The timing or reg 6.2.22.
of the notification should be dictated by the level of
Registered major hazard facility: An MHF registered
information available and when operations are to start.
under part 6.2 of the OHS Regulations.
In all cases, notification and registration should be
before the quantities of materials listed in Schedule 9 Registration: The process by which a facility becomes
exceed the threshold. a registered MHF.
• An operator of a facility where material quantities Operator: In relation to an MHF, the employer who has
exceed 10% of the threshold, but do not exceed 100%, management or control of the facility.
must notify WorkSafe as soon as the 10% value is
exceeded. This notification will enable WorkSafe to More information on key terms is found in other MHF
consider if the facility may be determined to be an guidance available from the WorkSafe website and
MHF or may only be required to comply with dangerous in the definitions of the OHS Regulations (reg 1.1.5).
goods (DG) laws. WorkSafe may determine a site is
an MHF if it holds less than the threshold quantities 2. The process
but there are circumstances associated with the facility
or its surroundings that increase the potential for a 2.1 When do I need to notify?
high consequence major incident (see guidance note Operators already storing and handling large quantities
– Determination process for a major hazard facility) of dangerous goods and materials with highly hazardous
• Operators of facilities with 10% or less of the properties must notify WorkSafe.
threshold quantity do not need to notify and have
The main parts in the process of notification are:
no MHF obligations.
• evaluating quantities of relevant substances
• The operator of a facility must review operations to find
at the facility
out if there is a need to notify. All Schedule 9 materials
present or likely to be at the facility must be considered • informing WorkSafe if the total quantity exceeds
both individually and in aggregation to determine if there 10% of the threshold ratio
is a need to notify. • providing WorkSafe with a range of further information
• The operator needs to calculate the aggregate quantity specified in the MHF regulations.
of Schedule 9 materials and provide certain information The first step is a comparison of quantities of certain
with the notification. This document provides guidance specific materials that are ‘present or likely to be present’
on the calculations and the information WorkSafe (see the Appendix for more information on this term)
expects with a notification. at  the facility with the relevant threshold amounts.
• Registration provides a transition period for reaching These are the materials and threshold amounts listed
compliance with the MHF regulations. Otherwise, and defined in Schedule 9.
immediate and full compliance would be needed. Where only one of the relevant substances is present, the
• Registration starts on the date that WorkSafe maximum likely quantity of that substance should simply be
confirms that a facility is above threshold or divided by the corresponding threshold amount. If the ratio
is greater than 1.0 (or 100%), the facility is an MHF. Where
determines that a facility will be an MHF even
two or more of the Schedule 9 materials are present, the
if it is below the threshold.
fraction of the threshold should be calculated for each
• Registration expires after 30 months. It is possible material and the values summed. If the aggregate exceeds
for WorkSafe to nominate an expiry date of less than 1.0, the facility is an MHF. Examples showing how these
30 months for registration if it has some reason to do calculations are done are in the Appendix.
so. However, in practice most registrations have been
allowed to continue for 30 months. The process of notification and subsequent registration
differs according to the result of these calculations and the
facility’s status (existing or intended). The process is shown
in Figure 2.1. There are three scenarios:

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Guidance Note Notification and registration
of a major hazard facility

Scenario 1 Scenario 2
An operator intends to operate a facility Schedule 9 materials are present or likely
where Schedule 9 materials will exceed to be present at an existing facility in
the threshold. quantities exceeding 10% but less than
This would apply to: 100% of the threshold.
(a) an existing facility that is to be modified to be In this situation, the operator must notify ‘within 30 days
above the threshold, or of becoming aware (or within 30 days of when they
should reasonably have been or become aware) of the
(b) a facility currently in design/construction that
circumstances giving rise to the obligation to notify’
is expected to be above the threshold.
(reg 5.2.27). For new or expanded facilities, this could be
In this scenario, the operator may notify WorkSafe when operations start above the 10% aggregate quantity.
(reg 6.2.22) and WorkSafe will register the facility.
This enables WorkSafe to identify facilities that could
It is expected that persons intending to operate an MHF be determined to be an MHF. WorkSafe must follow
will notify early so a licence can be granted before the the process specified by reg 5.2.29 and reg 5.2.30 to
Schedule 9 materials at the facility exceed threshold. Any determine a facility. Alternatively, WorkSafe may decide
person who intends to operate an MHF should therefore not to determine a facility is an MHF and instead administer
consider the time frames and decide when it is appropriate other compliance provisions depending on the hazards
to notify and be registered as an intended facility. at the facility.
WorkSafe may make allowance when the lead time to
becoming an MHF is short, such as where an existing Scenario 3
dangerous goods warehouse or storage yard is to increase A facility does not have to notify because the
the quantities of Schedule 9 materials being held. However, quantities of Schedule 9 materials are less
operators intending to operate an MHF should discuss than or equal to 10% of the MHF threshold.
timing with WorkSafe as early as possible. If this situation changes and the operator does not notify
for registration, WorkSafe could require the operator
For further guidance on WorkSafe’s approach for intending
to cease operation or remove Schedule 9 materials
operators of MHFs see the guidance note – Information
from the site.
for persons intending to operators of MHF.

Figure 2.1 – Flow diagram for notification and registration

1.(a) Facility where Schedule Operator must notify as soon


9 materials are above 100% as quantities exceed 100%.
Duties under the
of threshold. Facility registered MHF regulations
as an MHF. apply to the MHF.
1.(b) Facility will be above Operator may notify at any
100% of the threshold when time, but an early notification
modification or construction is advisable. Determined to
is complete. be an MHF

2. Facility where Schedule 9 Operator must have notified


WorkSafe determines
materials are between 10% and when quantities first exceeded
if facility is an MHF.
100% of the threshold. 10%.
Not determined to
be an MHF
WorkSafe becomes aware by other means.

3. Facility does not exceed No requirement to notify No further duties


10% of the MHF threshold. WorkSafe. under part 5.2.

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Guidance Note Notification and registration
of a major hazard facility

2.2 What information do I need to is required for a petroleum or chemical processing facility
provide in the notification? handling a wide range of materials and less for a simple
warehouse or other facility handling fewer materials.
Reg 5.2.28 and 6.2.23 list information needed in a
notification to WorkSafe (see Table 3.1 for details and Before submitting a notification the operator should
guidance). The notification must be in writing and carefully define the facility’s boundary because this has
provided to WorkSafe’s Hazard Management Division a significant impact on the information required. Particular
by email (mhunit@worksafe.vic.gov.au), fax (9641 1201) features that could influence the requirement include
or post (PO Box 4306, Melbourne 3001). joint ownership, satellite locations, sites separated by
roads and legal site boundaries. This can be discussed
The amount of information required at notification will
with WorkSafe.
vary according to the facility. In general, more information

Table 2.1 – Information required under the MHF regulations for notification

Information required WorkSafe guidance

Reg 6.2.23(a)

• full corporate name, trading name, ACN, nature of business, A simple description of operations is sufficient as long as
registered address and relevant place of business, or it includes those involving Schedule 9 materials and other
• if the operator is a person rather than a corporation, the person’s dangerous goods. Examples might be ‘tank storage and road
full name, nature of the person’s business, residential address, tanker loading of the following goods’ or ‘manufacture of AAA
nature of business and business address; by the BBB process, using CCC as a feedstock’. Cover all
• the location or proposed location of the facility; processes including intermediate, by-product, ancillary and
• a brief description of the nature of the facility, including general waste streams as well as main processes. Text may be
site activities and production and auxiliary processes involving supplemented by diagrams such as layout drawings,
Schedule 9 materials; dangerous goods manifests/plans and process flow diagrams.

• the number of employees; and ‘Employees’ includes independent contractors and their
workers. State the split by day/night shift, by location on the
facility and by worker group.

• a description of the land use and activities of occupancy Include information on land use types (eg heavy/light industry,
in the area surrounding the facility. agriculture, residential, utilities, roads and railways). Define the
nearest residential neighbours, and other sensitive land uses
such as schools, hospitals and other sites where hazardous
substances may be present (in particular, if there are other
MHFs). State the nearest residential location and sensitive
land uses (eg schools, hospitals etc).

Reg 6.2.23(b)

i) the quantity of each Schedule 9 material present or likely State the appropriate quantity for all and link data to site plans
to be present; and other related information. The Appendix provides advice
on identifying materials, what must be included and what may
be excluded and estimating the correct quantity.
Compare the quantities estimated with the corresponding
thresholds, individually and in aggregate. The Appendix also
gives advice on this. State the estimated overall percentage
or fraction of threshold reached in total.
ii) the name and such further information as is necessary to clearly Include the UN number for each material, its proper shipping
identify each Schedule 9 material present or likely to be present; name, its dangerous goods class and Packing Group
(including any Subsidiary Class and concentration in any
carrier material). Properly define any materials that do not
have a unique UN number.

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Guidance Note Notification and registration
of a major hazard facility

iii) details of the information and method used to determine the Provide all assumptions, methods and supporting data for the
percentage of the threshold quantity of the materials present calculation of quantities. The Appendix has guidance on the
or likely to be present; and calculation of relevant quantities where the actual amount may
be variable. In general, the operator should use maximum
capacity values. Other information that may be required
includes the sources of toxicity data and the way in which
the 2% cut-off has been applied (ie the basis for determining
that a quantity is ‘isolated’). See the Appendix for information
on the 2% rule.

iv) the names and quantities of any dangerous goods, which are Certain hazardous materials are not included in Schedule 9
not Schedule 9 materials, that could increase the likelihood but may contribute to a major incident. An example may be
or severity of a major incident occurring. a combustible liquid that by itself would not lead to a major
incident, but if involved in a fire caused by a more highly
flammable substance may increase the consequences of
that incident.

Notification for intending facilities outline is in the guidance note – Safety Case outline.
Notification under reg 6.2.22 should include information on Operators should contact the assigned Safety Case Officer
the nature of the modifications or the stage in the design as soon as possible to discuss their specific circumstances
or construction process giving rise to the notification. and needs after registration.

For example, if the facility is at the early design stage, Registration as an MHF does not exempt a facility from
plans of the facility may not be available and the number duties and obligations under other safety laws including
of employees and the types/amounts of materials may not DG laws and other parts of OHS legislation, unless certain
be accurately known. The information may include design exemptions are allowed. Such exemptions would have to
options under consideration, indications of the number of comply with the requirements of the other legislation.
personnel and estimates of the quantities of materials likely
to be present. However, notification will often occur after 2.4 Time frames
design decisions have been made. The notification should While notification must be done within 30 days of MHF
also indicate the date the facility should be operating as operators being aware they are at 10% of the threshold,
an MHF and commissioning activities involving Schedule there is no specific time frame for notification by persons
9 materials. who intend to operate an MHF in the future.
The key time frame and milestones for the operator
2.3 What obligations result from of a registered MHF are:
registration? • Division 3 of the MHF regulations (Safety duties
Following registration, WorkSafe will inform the operator of operators). The operator has 30 months from
of the MHF in writing that the facility has been registered registration (or earlier if WorkSafe specifies)
as an MHF and assign a Safety Case officer. to achieve full compliance in relation to safety
WorkSafe will also inform the operator of any other management, identification of major incidents/hazards,
information it considers relevant. This may include the Safety Assessment, control measures and emergency
name of other facilities WorkSafe considers the operator planning. In the interim, compliance must be ‘so far
should coordinate with during preparation of the Safety as is reasonably practicable’.
Case (see reg 5.2.16 and the guidance note – Coordination • Division 4 (Safety Case). The Safety Case must be
between major hazard facilities for more information). submitted to WorkSafe at least six months in advance
of the 30 month deadline. This is to allow WorkSafe
Registered MHFs need only comply with the MHF
to review the Safety Case and make comment and for
regulations ‘so far as is reasonably practicable’ (reg 5.2.2)
the operator to make any necessary revisions before
during preparation of the Safety Case. This provides
registration expires.
a transition period before full compliance is necessary.
• Division 5 (Consulting, informing, training and
After registration, an operator has 90 days to prepare and instructing) and division 6 (Duties of employees)must
submit to WorkSafe an outline for the development of a be complied with to the same extent as division 3,
Safety Case (reg 5.2.33). Guidance on the Safety Case

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Guidance Note Notification and registration
of a major hazard facility

ie ‘so far as is reasonably practicable’ for the first 30


months after commencement and then fully thereafter.
• division 10 (Protection of property). The same time scale
as division 3.
The time scales for the notification and registration process
are shown in Figure 2.2 below.

Figure 2.2 – Time scales for notification and registration (months from commencement)

Activity 1 2 4 24 30 Beyond

Notification

Registration

Safety Case planning

Develop Safety Case Up to 24

WorkSafe reviews Safety Case

MHF licence

MHF duties apply ‘So far as is reasonably practicable’ fully

The maximum time-line for an intended MHF is shown. WorkSafe may specify less than 30 months to expiry of registration.

3. Compliance checklist
The following checklist lists the main requirements under MHF regulations relating to notification and registration.
Table 3.1 – MHF regulations relating to notification and registration

Section Requirement

Reg 6.2.22 A person who intends to operate an MHF may notify WorkSafe to obtain registration. This includes persons
who operate an existing facility that is below the major hazard threshold but intend to alter the facility such that
it would be above the threshold. This also includes persons designing or constructing a facility that, once
operating, will be an MHF.

Reg 5.2.27 An operator of a facility above 10% of the major hazard threshold, but below the threshold, must notify
WorkSafe within 30 days of becoming aware of the circumstances giving rise to the requirement to notify,
or within 30 days of when they should reasonably have become aware.

Reg 5.2.28 The notification must be in writing and contain the information listed in this reg.

Reg 6.2.24 WorkSafe will register as MHFs any facilities that may notify under reg 6.2.22. It will also register any facility
that notified under reg 5.2.27 that WorkSafe subsequently determined to be an MHF.

Reg 5.2.34 A person must not operate an MHF unless it is licensed under part 6.1 or is registered under part 6.2
of the MHF regulations.

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Guidance Note Notification and registration
of a major hazard facility

4. Appendix However, other sources of information in addition to the


ADG Code should also be consulted, for example:
Guidance on assessing quantities • Table 2 includes the categories ‘toxic’ and ‘very
of materials toxic’, which are defined in Table 3. These generally
Operators need to assess the quantities of Schedule 9 correspond to Packing Groups II and I but there are
materials present or likely to be present at their MHF. exceptions. In this case refer to toxicity levels listed
Quantities need to be assessed, both individually and in in the Designated List of Hazardous Substances which
aggregation, against the major hazard threshold amounts. is part of Safe Work Australia’s online Hazardous
Information System (http://hsis.ascc.gov.au/).
The guidance and examples below explain:
• Some materials are too hazardous to transport.
• how to identify hazardous materials and their The ADG Code lists them but does not include detailed
corresponding thresholds data on them. In these cases, refer to the material
• what should be considered for quantities ‘present safety data sheets (MSDS) and laboratory test data.
or likely to be present’ • The ADG Code may not include all mixtures of materials.
• the manner in which quantities should be aggregated. In this situation refer to information in MSDS and
laboratory test data.
Identifying materials
The MHF’s dangerous goods manifest, required under Quantity and exclusions
Dangerous Goods (Storage and Handling) Regulations The MHF regulations require the comparison of the
2000, is a starting point for identifying Schedule 9 maximum quantities of Schedule 9 materials present
materials on the site. However, some Schedule 9 materials or likely to be present with the major hazard threshold
are not classified as dangerous goods eg uninhibited to determine if a facility is an MHF. This is defined
ethylene oxide and other ‘goods too dangerous to in reg 5.2.3.
transport’. A check should be made to ensure all relevant
materials are included in the assessment. What does ‘maximum capacity’ mean?
Schedule 9 divides materials into two groups – specific For chemical storage facilities, the quantity would include
materials (Table 1) and general categories (Table 2) – the combined ‘maximum capacity’ of all storage tanks
and shows the major hazard threshold for each entry. (see example next page), vessels, containers etc.
Where a material listed in Table 1 also falls into one Maximum capacity means 100% full rather than
of the general categories in Table 2, the data in Table 1 at the maximum working fill level.
takes precedence.
For process plants there may be circumstances where it is
Table 1 lists the major hazard threshold of specific not possible for individual vessels to be 100% full or for all
materials against the name and UN number of the material. vessels to be 100% full at the same time. An example of
the latter would be a typical refrigeration system where
Table 2 helps determine the category of general materials
it is not possible for all suction side knock out drums and
for calculating the major hazards threshold eg is it
the accumulator on the discharge side of the compressor
flammable and what is its Packing Group and flash point?
to be 100% full. Where less than 100% capacity has to
Some materials may have properties corresponding to
be used in the calculations, the operator should indicate
two or more of the categories in Table 2 (eg oxidising and
this method of calculation in the information provided with
toxic) in which case the lowest relevant threshold applies.
the notification.
Additional data on properties may be required to determine
the category for some materials. Refer to the ADG Code Calculations of quantity should also account for the
which lists the Class, Packing Group and HazChem Code densities of liquids and gases in storage or process
for all designated dangerous goods. equipment which vary according to pressure and
temperature. Where vapour spaces above the liquid in
process equipment (eg in vacuum distillation columns,
flash drums, condensers and refrigeration systems) and
other such spaces cannot become filled with liquid, these
spaces should be assessed on the quantity of vapour.

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Guidance Note Notification and registration
of a major hazard facility

Maximum storage tank capacity When may quantities be excluded?


A dangerous goods facility basing its calculation on the Materials may be excluded from the assessment if they
maximum tank storage capacity may exceed the threshold are held for ‘intermediate temporary storage, while in transit
and be an MHF even if the quantity on-site has never been by road or rail’. This generally applies to materials present
known to exceed the threshold. An example would be a less than 48 hours. This allows for situations where there
tank terminal with four 15,000 tonne tanks that are able to is a roadside transport parking area or similar or road/rail
contain petrol or diesel. Petrol has a major hazard threshold terminal where goods may be held for short periods before
of 50,000 tonne but diesel is not a Schedule 9 material. loading or after unloading. Materials are also excluded if
The theoretical maximum petrol storage capacity (60,000 they are transiting a facility by road/rail while other goods
tonne) exceeds the major hazard threshold, making this are being loaded onto or unloaded from a vehicle.
facility an MHF, even if only three tanks (45,000 tonne)
While materials stored for short period are not included
normally have petrol in them at any time but there is
in the calculation of the aggregate threshold quantity
nothing to stop the fourth tank from being used to store
for notification, these materials must be included in the
petrol instead of diesel. This is because the quantity used
subsequent hazard identification, Safety Assessment
in the calculation needs to be consistent with any materials
and emergency planning as well as being included
present or likely to be present at the site, eg the fourth tank
in the Safety Case.
could also be filled with petrol at some point even though
this may not be usual practice. This exclusion does not apply to facilities where the
aggregate quantity of materials stored for short periods
However, basing the calculation on the maximum storage
remains significant for extended periods eg a major
capacity may be unrealistic where the facility has a large
warehouse. However, it may be possible to average the
warehouse or open storage yard, only small parts of
aggregate quantity of materials present for short periods
which are used for the storage of Schedule 9 materials.
to show the aggregate quality is below the major hazard
In this case the operator may choose to justify a maximum
threshold. The operator would need to provide data
quantity ‘present or likely to be present’ that is less than
collected over an extended period as part of notification
the theoretical capacity. This would have to be justified
to determine if the storage facility is an MHF. Another
by referring to long term operating records, the business
situation that should be included is where there are a
plan and operating procedures and be consistent with
number of tankers usually parked overnight. While any
the additional duty to notify under DG laws.
individual tanker may be in transit, overall the inventory
on site usually has the equivalent of X tankers as well.
Facilities holding a range of materials
The table 4.1 has examples of what particular inclusions/
Many facilities hold a range of Schedule 9 materials.
exclusions apply to the definition of ‘present or likely
The range of materials present may vary with some
to be present’.
materials in constant quantities, some present continuously
(but in different quantities depending on the operation) and
others present intermittently. In such cases, the calculation
should be based on the highest aggregate quantity
present or likely to be present at one time.
For example, long term operating records show that a
facility normally stores 500 tonne of X and 200 tonne
of Y, but for short periods may store 500 tonne of X, 50
tonne of Y and 200 tonne of Z. The aggregate must be
calculated for the two phases separately, and the higher
value will apply. If a facility is above the 10% level, then
all of the materials must be reported in the notification.

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Guidance Note Notification and registration
of a major hazard facility

Table 4.1 – Inclusions and exclusions applying to ‘present or likely to be present’

Inclusions Exclusions

Materials that have been unloaded or waiting to be unloaded from Materials that have been unloaded or waiting to be unloaded
ships, road or rail at a facility and where these or other Schedule 9 from ships, road or rail at a facility and where Schedule 9
materials are present for extended periods. materials are only present occasionally and are for
‘intermediate temporary storage while in transit by road
and rail’.
Materials on ships berthed alongside the facility.
Materials on road/rail vehicles outside a facility,
even if waiting to enter the facility.

Materials loaded on or will be unloaded from road/rail vehicles Materials on road/rail vehicles inside a facility that were
inside a facility and are not for ‘intermediate temporary storage loaded elsewhere and are not to be unloaded at the facility
while in transit by road or rail’. unless the vehicle remains at the facility for more than
48 hours (ie the vehicle is ‘de facto’ storage).

Materials contained in a facility’s pipelines. Materials in pipelines that are connected to, terminate at,
These materials could escape from pipelines connected to, or cross a facility and cannot escape onto the facility when
terminating at, or crossing a facility. This includes the contents relevant flow rate, detection and isolation factors are taken
at least up to the first off-site emergency isolation valve on each into account.
section, plus any contents that could flow out before isolation.
Factors to take into consideration include detection time,
flow rate and time to isolation.

Maximum quantity when loading Figure 4.1 – Ship unloading

or unloading ships
The maximum quantity for a wharf where ships are
unloaded and loaded with materials is the maximum Ship
amount of material that is present on the land-based facility
at any one time, not the total amount unloaded/loaded over
the entire shipping process.
In the example below (Figure 4.1) a ship is unloading 6000
tonne of LPG into 20 tonne road tankers. The maximum Unloading
quantity is the maximum amount loaded onto tankers that B Road
tanker
may be present within the facility at any time. Therefore,
while tankers A and B are full and tanker C is empty
Road
(awaiting loading), the maximum quantity is 60 tonne tanker

(tanker C would only be excluded if ‘gas free’). As the C

threshold for LPG is 200 tonne this would mean the facility
tanker
Road

A
would have to notify under reg 5.2.27 (greater than 10% Wharf facility
of threshold) but would not have to notify as an MHF (reg
6.2.22) even though 6000 tonne in total were unloaded.

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Guidance Note Notification and registration
of a major hazard facility

Excluding isolated quantities – Calculating aggregation


the ‘less than 2%’ rule If a facility stores, handles or processes a number
An exclusion also applies to ‘isolated quantities of less of different Schedule 9 materials, the operator must apply
than 2% of the individual threshold’. This allows materials the following aggregation formula to the quantities present
to be excluded if held in quantities sufficiently small and or likely to be present:
separated from other more significant quantities. This quantity of material X quantity of material Y ...
ensures any incident involving the quantity cannot affect + + = total
other quantities of the same or different material whatever threshold of material X threshold of material Y ...
their size. ‘Isolation’ means: If the aggregate total exceeds 1.0, the facility is an MHF.
• The distance between the isolated quantity and other If the total exceeds 0.1, WorkSafe may determine the
quantities is greater than the maximum effect radius facility to be an MHF. If the total is less than 0.1, the MHF
of an incident involving the isolated quantity or there regulations do not apply.
is a barrier between the quantities.
Note – the calculation should be performed for the range
• The release of an isolated quantity from equipment in a and maximum likely quantity of Schedule 9 materials
process is isolated during process shutdown so that the present concurrently. It is not necessary to aggregate
release is limited to that isolated quantity at that location. quantities of materials that vary from time to time.
This requires that the shutdown is automatic, rapid and
isolates the equipment from other materials Examples of calculating aggregates
in the system.
Depending on the nature of the material, storage may Example 1
be sufficiently isolated if in a separate compound, behind A facility stores 10 tonne of hydrogen and 180 tonne
a fire-rated barrier or in a transport container. of flammable liquids. The major hazard threshold quantities
During notification, operators should justify why isolated for the two materials are 50 tonne and 200 tonne
quantities have been excluded from aggregation. While respectively. Because the facility stores two types of
the MHF regulations allow this, major incidents could still material but each is below the corresponding threshold,
happen. Operators of an MHF must consider the potential the aggregation formula must be applied:
for incidents involving isolated materials. 10 / 50 + 180 / 200 = 0.2 + 0.9 = 1.1

Exclusions apply only to the evaluation of the aggregate Since the total is more than 1.0, the facility is defined as
quantity. If a facility is an MHF despite these exclusions, an MHF. The operator must notify WorkSafe and the facility
then the requirements of the MHF regulations apply to will be registered.
ALL Schedule 9 materials that can cause or contribute
to a major incident, including those excluded from the Example 2
threshold calculations. A facility handles 10 tonne of acrylonitrile (threshold 200
tonne) and 40 tonne of ethylene oxide (threshold 50
tonne). The aggregation formula is:
10 / 200 + 40 / 50 = 0.05 + 0.8 = 0.85

Since the total is less than 1.0, the facility is not classified
as an MHF. The operator still needs to notify WorkSafe
because the total exceeds 0.1 (10%), and WorkSafe may
determine the facility to be an MHF.

Example 3
A facility consists of two storage areas (A and B) which
from time to time hold five Schedule 9 substances plus
a range (up to 50 tonne) of other dangerous goods
as shown in Table 4.2.

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Guidance Note Notification and registration
of a major hazard facility

Table 4.2 – An example of calculating aggregates

Storage area (tonne) Schedule 9


Material Inventory/
threshold
threshold
A B (tonne)
Acrolein Up to 2 Up to 2 200 0.02

Sodium chlorate Up to 8 Up to 8 200 0.08

Formaldehyde Up to 2 Up to 10 50 0.24

LPG Up to 2 Up to 2 200 0.02

Methyl isocyanate Up to 0.1 None 0.15 0.67

Other (not Schedule 9) Up to 20 Up to 30 N/A 0.0

Total – – – 1.03

This facility would automatically be an MHF (aggregate • Aggregate quantity is sometimes below 10%,
greater than 1.0) unless there was a good reason why sometimes above – the operator must notify WorkSafe
some of the quantities could not be present at the same unless the materials are in intermediate, temporary
time (eg sodium chlorate is only in one storage area at a storage while in transit.
time). Excluding one quantity reduces the aggregate to See the next section for examples for facilities with
below 1.0 but the operator would need to demonstrate isolated small quantities.
robust procedures to control risk.
If the facility is an MHF, the up to 50 tonne of Facilities with isolated small quantities –
miscellaneous dangerous goods stored at the facility less than 2% rule
would need to be considered in all assessments in the
Safety Case. Example 1
A facility has two large tanks containing a total of 195
Results from applying the aggregation rule tonne of LPG and two small tanks each containing four
There are a number of possible results for facilities storing tonne of LPG (see Figure 4.2).
a range of materials: Both small tanks can be excluded under the 2% rule
• Aggregate quantity is always above 100% – because each tank is:
the operator must notify WorkSafe and WorkSafe • 2% of the facility’s threshold quantity (200 tonne)
will register the facility as an MHF. • segregated from each other and therefore can be
• Aggregate quantity is always between 10% and considered separately
100% – the operator must notify WorkSafe. WorkSafe • located where it cannot initiate a major incident.
may determine the facility is an MHF and will register The result is that, even though the total quantity of LPG
it if required. is 203 tonne, the relevant quantity is only 195 tonne.
• Aggregate quantity is always below 10% – no need Therefore the facility is not automatically an MHF. The
to notify. operator must still notify WorkSafe because the quantity
• Aggregate quantity is sometimes below 100%, is greater than 10% of the threshold and WorkSafe may
sometimes above – the facility meets the definition determine the facility to be an MHF. In the notification,
of an MHF and the operator must notify WorkSafe. the operator should justify exclusion of the two small
The decision to register it as an MHF will be based tanks from the aggregation.
on a range of factors including the average and
maximum aggregates.

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Guidance Note Notification and registration
of a major hazard facility

Figure 4.2 – Example 1 of a facility with isolated small quantities Example 3


A facility has a tank containing 18 tonne of LPG and a
4 tonne
of LPG
small tank containing four tonne of LPG (see Figure 4.4).
The small tank comprises 2% of the threshold (200 tonne)
195 tonne
Distance sufficient that but its location means that the small tank cannot cause a
4 tonne store cannot Structure
of LPG
affect 195 tonne store major incident on it own. The 2% rule applies. The result
is that even though the total quantity of LPG is 202 tonne,
the relevant quantity is only 18 tonne. The facility does
4 tonne
Not to scale
of LPG not need to notify WorkSafe since the aggregate quantity
is less than 10% of the threshold.
Figure 4.4 – Example 3 of a facility with isolated small quantities
Example 2
A facility has two large tanks containing 198 tonne
4 tonne
of LPG and a small tank containing four tonne of of LPG
LPG (see Figure 4.3).
While the small tank is 2% of the facility’s threshold 18 tonne
of LPG
(200 tonne), it is located where it may initiate a major
incident involving the large tanks. The 2% rule does not
apply and the four tonne tank must be included in the
threshold. Since the total amount of LPG is 202 tonne, Not to scale

compared with the threshold of 200 tonne, the facility


is an MHF. The operator must notify WorkSafe and the Example 4
facility will be registered as an MHF. A facility has four inventories at or below 2% of the
Figure 4.3 – Example 2 of a facility with isolated small quantities corresponding threshold – two stores of acrolein and the
two stores of LPG (see Table 4.3). If each of these is
isolated from all other items, the aggregate will be below
100%. If three of them are isolated the aggregate will be
100%. The facility would not be an MHF in either situation
4 tonne
but determination could apply. If only two of the small
198 tonne
of LPG of LPG quantities can be isolated, the facility would be an MHF.

Not to scale

Table 4.3 – An example of a facility with small quantities

Material Storage area (tonne) Schedule 9 Inventory/


A B threshold threshold

Acrolein Up to 2 Up to 2 200 0.02

Sodium chlorate Up to 8 Up to 8 200 0.08

Formaldehyde Up to 2 Up to 10 50 0.24

LPG Up to 2 Up to 2 200 0.02

Methyl isocyanate Up to 0.1 None 0.15 0.67

Other (not Schedule 9) Up to 20 Up to 30 N/A 0.0

Total – – – 1.03

12
Guidance Note Notification and registration
of a major hazard facility

Note: The information presented in this Guidance Note is intended for


Further information general use only. It should not be viewed as a definitive guide to the law,
and should be read in conjunction with the Occupational Health and
Contact the WorkSafe Victoria Advisory Service Safety Regulations 2007. Whilst every effort has been made to ensure
on 1800 136 089 or go to worksafe.vic.gov.au the accuracy and completeness of the Guidance Note, the advice
contained herein may not apply in every circumstance. Accordingly, the
Victorian WorkCover Authority cannot be held responsible, and extends
Related WorkSafe publications no warranties as to the suitability of the information for any particular
purpose or actions taken by third parties as a result of information
Guidance note – Determination process for a major contained in the Guidance Note.
hazard facility
Guidance note – Information for persons intending
to operate an MHF
Guidance note – Coordination between major
hazard facilities

On 18 June 2017, the Occupational Health and Safety Regulations 2017 (OHS Regulations 2017)
replaced the Occupational Health and Safety Regulations 2007 (OHS Regulations 2007), which
expired on this date. This publication has not yet been updated to reflect the changes
introduced by the OHS Regulations 2017 and should not be relied upon as a substitute for
legal advice.

Information on the key changes introduced by the OHS 2017 Regulations can be found in the
guidance titled Occupational Health and Safety Regulations 2017: Summary of changes - available
at https://www.worksafe.vic.gov.au/__data/assets/pdf_file/0011/207659/ISBN-OHS-regulations-
summary-of-changes-2017-04.pdf. However, this guidance document contains material of a general
nature only and is not to be used as a substitute for obtaining legal advice.

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