Risk Based Inspection.

“This training material has been

prepared and submitted by
‘Asian Academy-Pune ’for the
purpose of Knowledge sharing.
This shall be used by RIL for the
purpose of Leaning &
development only.”
Risk Based Inspection

“The information contained in this

presentation is the property of Asian
Academy-Pune. It has been shared with
RIL for the purpose of training within
RIL only. The information should not be
printed, reproduced, copied or
distributed without express permission
from the author.”
 Welcome to 5 days’ course on

API 580: Advanced Knowledge of

Risk Based Inspection

CONDUCTED BY
ASIAN ACADEMY OF PROFESSIONAL TRAINING PUNE.
Reliance L&D Academy, Vadodra.
21-25 Jan 2013
4
WHAT IS RBI ?
 Traditional inspection methods :
- Generally time based
- Often unfocussed and indiscriminate,
- With little relevance to the actual risk of
equipment.

 RBI is based on :
- Assessment of RISK levels,
- Prioritizing the equipments based on risk levels
- Focusing inspection program based on risk
levels.

7
WHY ADOPT RBI ?

1. RBI is based on RISK.

2. A relatively large percentage of the risk is associated with

a small percentage of the equipments,

3. RBI permits the shift of inspection and maintenance

resources to a higher level on the few high-risk items and
to an appropriate level on several low risk items
Thus,establish economic optimum levels of inspection .

8
WHAT IS “RISK” ?
 Risk is the net result of: The Likelihood of Failure
(LOF) and the Consequence of Failure (COF).

Risk = Likelihood of failure x Its consequence

Risk = LOF X COF

 RBI is likely to reduce risk by :

1. Reducing LOF by Suitable inspection and,

2. Reducing COF by risk mitigation methods..

9
Risk Based Inspection
LIKELIHOOD
OF EVENT
X CONSEQUENCE = RISK

IDENTIFY AND QUANTIFY THE RISK:

Risks considered are:

* Safety
* Environmental
* Business

The inspection is planned to reduce the risk based on

the factors creating the risk.

10
GRAPHICAL DISPLAY OF RISK LEVELS

5 Highest Risk
High Risk

4 high Risk
LIKELIHOOD
CATEGORY

2 Medium risk

1 Low Risk

1 2 3 4 5
CONSEQUENCE CATEGORY
11
GRAPICHL DISPLAY OF RISK

12
RISK ASSESSMENT
 Risk assessments can be qualitative or
quantitative.

 Assessments combining features of both (i.e

accuracy of quantitative and simplicity of
qualitative are denoted as semi-quantitative.

 Qualitative answers are often sufficient to

make major decisions.

 Qualitative methods are cumbersome, time

consuming. Semi-quantitative results in
reasonably accepted results with lesser
efforts.
13
EQUAL RISK LINES

Likelihood

RISK=HIGHEST

Risk=MEDIUM
RISK=LOW

1
Consequence
14
RISK ANALYSIS

1) Hazard Identification – Study of Process, environment,

damage mechanism of each item

2) Likelihood Assessment – Inspection method, NDT

Inspection Frequency

3) Consequence Assessment – Type of product-flammable

or toxic, area affected etc.

4) Risk Evaluation and Reporting - Combing LOF & COF

5) Mitigation and improvement – Appropriate & adequate

Inspection,Design improvement

15
 BENEFITS OF RBI

1 - Optimize inspection / maintenance

resources
2 - Increase availability time of certain
processes facilities
3 - Longer operation of certain equipments
and,
4 - Maintaining the same level of risk for the
whole plant

16
THE RBI ASSESSMENT (API 580)

API RP 580 is intended to provide:

• Guidance on developing a Risk Based

inspection (RBI) program in Hydrocarbon
and Chemical process industries.

• It details out:
a. What is RBI
b. What are the key elements of RBI
c. How to implement a RBI program

17
THE RBI ASSESSMENT (API 580)…Contd.

RP 580 is intended to supplement:

API 510: Pressure Vessel Inspection

code,

API 570: Piping Inspection Code and

API 653: Tank Inspection code .

18
THE RBI ASSESSMENT (API 580)…Contd.

The RBI assessment must systematically

evaluate:
• The probability of failure and
• The associated consequence of failure.

The probability of failure assessment

must be based on all forms of deterioration
that could be expected to affect the piece of
equipment.

19
THE RBI ASSESSMENT (API 580)…Contd.

The consequence of failure assessment

must address

safety/health/environment aspects and

Economic standpoint

20
Quantifying “Inspectable”
Risk

RISK = LIKELIHOOD OF EVENT X CONSEQUENCE

Generic Failure Damage Factor Injury ($)

Frequency Env. clean up ($)
Item repair ($)
Damage Adjacent repairs ($)
Inspection
Age Mechanism(s) Downtime ($)
Effectiveness
& Rates
TOTAL ($)

21
Inspection Program Costs
Balancing Risk Exposure and Inspection Costs

EXPENDITURE ON INSPECTION
RISK
OPTIMIZED $ AMOUNT
RISK EXPOSURE ($)

Inspection cost ($)

INSPECTION EFFORT

22
Management of Risk using RBI

Risk with typical inspection program

RISK

Risk using RBI

Uninspectable risk

LEVEL OF INSPECTION ACTIVITY

23
 Three Inspection Programs vs.
Risk

Minimal
R Program

I Current
S Program

K Optimum
Program

Uninspectable
Risk

Inspection Program Resources

24
Where Does RBI Fit Into Our
Current Inspection Practices?
RISK
REDUCTIONS
RISK BASED
PRIORITIZATION INSPECTION
PLANNING

RECORDS INSPECTION
UPDATING EXECUTION

FITNESS
FOR INSPECTION
SERVICE RESULTS
25
Relationship Between Existing &
Developing Documents
Existing Developing

API
750
API - BRD
RISK BASED RBI
API INSPECTION RP
510

MPC
API FITNESS FOR FfS
570 SERVICE RP

API
653
Working Research Working
Documents Documents Documents 26
 PURPOSE AND SCOPE OF API 580

A successfully implemented RBI will

throw up suggestions for:

Developing the appropriate inspection

strategy commensurate with risk.
and/or,
Risk mitigation and Risk-management

27
PURPOSE AND SCOPE OF API 580…Contd.

By providing information on following:

a. Ranking by risk of all the equipments

b. An inspection plan to be employed, e.g:

 Inspection methods
 Extent of inspection
 Timing of inspection ([Link])

c. Suggestions of risk mitigation

d. Expected levels of residual risk

28
RBI BENEFITS AND LIMITATIONS

Benefits:

a. Overall reduction of risk of the plant and

equipment
b. Understanding / Acceptance of current risk
c. RBI helps to identify equipments that may
not require inspection or mitigation
because of acceptable level of risk
d. The inspection and maintenance activities
can be more focused (towards risk) and
also more cost effective.

29
RBI BENEFITS AND LIMITATIONS…Contd.

Limitations:

RBI does not compensate for:

a. Inaccurate/ missing information
b. Inadequate design or faulty installation
c. Operations outside design limits
d. Lack of the qualified persons or sound
engineering judgments.

30
RBI : Continuous improvement tool .

RBI as continuous improvement tool:

• As new data (inspection results) becomes
available, reassessment of RBI program can
be made with a refreshed view of risks.
• It may identify shortcomings in effectiveness
of presently available inspection methods.
• RBI is expected to promote faster
development of more appropriate inspection
technologies.
• Review of present but underutilized
technologies, which may be more effective in
risk assessment.

31
RBI as integrated Management tool:

RBI is a risk assessment and risk-

management tool.
It produces inspection and
maintainance plans to achieve:
• Reliable and safe operation,
• Cost effective inspection and
• Longer process runs for
uninterrupted productivity.

32
 Scope of API 580

 RP 580 is specially targeted at the

application of RBI in hydrocarbon and
chemical process industry.

 API 580 is focused on mechanical

integrity of pressure equipments and
minimizing the risk of loss of
containment due to deterioration.

33
 Scope of API 580…Contd.

RBI complements (not replace):

 Process Hazard Analysis (PHA)

 Hazardous operation (HAZOP)
 Reliability centered Management (RCM)

Which focus on Design, Operation and

Maintenance practices respectively.

34
 Why was RBI developed?

 All pressure equipment contain flaws

Most flaws are innocuous - Don’t
cause problems
 Few flaws cause catastrophic failure
Must find (inspect) those critical
flaws in high risk service – Cost
effectively
 Typically 80% of the risk is associated with
< 20% of the pressure equipment

35
 Types of RBI Analysis

• Level I - Qualitative risk analysis, simple , brief

prioritization of equipment.

• Level II - Semi-quantitative risk analysis,

more detailed prioritization and planning.

• Level III - Quantitative risk analysis, in depth

analysis

36
 Types of RBI Analysis…Contd.

Perform minimum level of analysis necessary

to provide information adequate for
decision making.

Detailed analysis, when not necessary, does

not benefit the decision maker, but also
inappropriately use resources .

37
Risk Assessments: API 580 and 581

API 580 : Recommended Practice that

describes all vital issues to be considered
when implementing a RBI program .

Used as the Standard guideline document

for methods and requirements for RBI.

38
Risk Assessments: API 580 and 581…Contd.

API 581: Base Resource Document that

describes specific step-by step RBI
methodology for oil and gas as well as
Petrochemical Plants.

Used as working document. Contains

detailed work-sheets, graphs, tables, and
other data…all to be used by RBI task force
for actual carrying out specific RBI
implementations.

39
 QUALITATIVE APPOACH – COF

Six factors considered to assess Likelihood Category.

 Equipment Factor (EF) – 15 Points

 Damage Factor (DF) – 20 Points
 Inspection Factor (IF) – 15 Points
 Condition Factor (CCF) – 15 Points
 Process Factor (PF) – 15 Points
 Mech. Design Factor (MDF) – 15 Points

Sum of above six factors establishes overall Likelihood

factor (Part A).

40
 QUALITATIVE APPOACH – COF

Major hazards or the consequences in

Refinery & Petrochemical plants are:

 Fire and Explosion (Part B)

 Toxic Risk (Part C)

Out of the above, (Part B & Part C), higher

Level of consequence is taken as “Overall
Consequence Category”.

41
 Quantitative Approach

Likelihood & consequence analysis gives the risk

in quantified absolute figures i.e.

 In US per year or
 Area affected (Risk Area) in square feet.

The results are used to Develop Inspection

programs to reduce Risk.

42
 Quantitative Approach - contd.

Likelihood Analysis works out failure

frequency considering :

 Generic Failure Frequency

(Global)
 Equipment Modification factor
(Equipment)
 Management system evaluation
factor (Plant)

43
 Quantitative Approach - contd.

Consequence Analysis considers :

 Flammable consequences
 Toxic consequences
 Environmental
consequences
 Business interruption
consequences

44
 QUANTITATIVE RISK ASSESSMENTS

Adjusted Failure frequency (AFF) is calculated by:

AFF = GFF * FD * FM

Where,

GFF = The generic failure frequency.

FD = Damage factor specific

to the mechanical integrity of the
equipment.

FM = Management factor, specific to the

plant.
45
46
47
 Likelihood Analysis

1. Determine Generic Failure Freq.

(Database)

1. Equipment Damage factor

1. Management Evaluation factor is

determined from a score out of 1000
points

48
 SEMI-QUANTITATIVE RBI

 This shortened process (Level II) is an

80/20 version of Level III analysis. and is
expected to produce 80% of the results with
20% of the effort.

 It retains all of the vital aspects of risk

analysis utilized in Level III analysis, but
makes numerous simplifications significantly
reducing the time and effort to collect data
and to conduct an RBI .

49
INSPECTION PROGRAM OPTIMIZATION

 RBI analysis could be an effort to optimize

the inspection program, by obtaining the
lowest risk at the lowest cost.
 Thus, a company may shift its limited
inspection resources away from low risk
equipment (which may be over-inspected)
towards the higher risk equipment (that
may be under-inspected).
 The iso-risk lines help to clearly differentiate
higher risk equipment from lower risk
equipment.

50
RBI Based Inspection Program

It addresses two issues :

 Develop inspection program
and appropriate technique
relevant to type of damage
 Optimize inspection program
commensurate with risk, i.e.
decrease in inspection activity
if no gain in risk reduction
results in high level of
inspection

51
RISK REDUCTION THROUGH INSPECTION

In short, The RBI throws-up:

A prioritization ranking of each piece of
equipment for deciding three different
levels of
inspection activity:
1. A reduced but adequate inspection
plan
2. Continuation of current actual level of
inspection, and
3. Increased but optimized level of
inspection

52
Risk Based Inspection.

Thank You

Please send your feed-back, if any, to

[Link]@[Link]