by Robert Newton, CEO, Energy Pipelines CRC
The major challenge facing the Energy Pipelines Cooperative Research Centre (CRC) was to provide the Australian pipeline industry with the technology necessary to extend the life of the existing ageing natural gas transmission network, as well as build the new networks necessary to support increased demand for natural gas with the transmission of new fluids, such as CO2.
The small, but highly dedicated, bid team submitted their proposal in March 2009 and the then-Minister for Industry subsequently advised in August the bid had been successful, meaning the real work of establishing the CRC was to begin.
The organisation was established in late 2009 and was operational by early 2010. The management team, led by Valerie Linton and supported by a strong and supportive board, coordinated the establishment of the governance structures for the research and education programs.
The senior industry specialists who helped establish the Energy Pipelines CRC took on lead industry advisor roles, with support from other key industry advisors and quality researchers. The four programs established were:
- Research Program 1 – More efficient use of materials for energy pipelines
- Research Program 2 – Extension of safe operating life of new and existing energy pipelines
- Research Program 3 – Advanced design and construction of energy pipelines
- Research Program 4 – Public safety and security of supply of energy pipelines.
The educational activities were designed to support each of the research programs. There have been several challenges over the 10 years of the Energy Pipelines CRC, most significantly the cessation of the Australian linepipe manufacturing and coating sectors in 2011–12 and the downturn in oil and gas prices in 2014–15.
However, rather than restricting the CRC, these challenges opened up new opportunities for further research activities. Major highlights over the past nine years have included:
- more than 100 projects undertaken
- more than 280 research reports and industry guidelines delivered
- outcomes disseminated through more than 200 national and international industry conference and seminar presentations
- substantial input provided into updates to international and Australian industry Standards, in particular the Australian pipeline industry standard AS 2885
- new pipeline design models and software developed and implemented, including software for fracture control and gas dispersion
- new devices and technologies developed, including corrosion protection survey system; coating and cathodic protection survey tool for horizontally directional drilled pipelines; and, prediction-based decision support framework for energy pipeline integrity management
- establishment of the National Facility for Pipeline Coating Assessment at Deakin University
- 25 higher degree research students and 57 research fellows/postdoctoral researchers trained and actively involved in the research activities.
In addition to the above, the Energy Pipelines CRC gained parity at the Joint Technical Meetings (JTMs), with researchers associated with the organisation delivering one-third of the presentations at the past three JTMs. This representation is recognition from North America and Europe of the advances in the quality of research undertaken by the CRC.
Also, the expertise gained has been used in other non-CRC funded activities with the successful delivery of projects related to CO2 pipeline research. Industry and researcher engagement has been high and, as part of its obligations under the Commonwealth Grant Agreement, the organisation was required to account for staff and non-staff in-kind provided by those involved in its activities.
The target levels were ambitious, but I am pleased to advise we have managed to substantially exceed those targets, with more than 80 industry advisors actively engaged in supporting the research undertaken.
The Commonwealth Funding Agreement also specified the number and content of milestones to be achieved over the life of the CRC. This was initially set at 351, consisting of 217 output milestones and 134 utilisation milestones.
The agreement was not fixed for the term of the CRC and did allow for approved amendments. Prior to the 2013 review of the Energy Pipelines CRC’s activities (fourth year review), management, industry advisors and lead researchers reviewed the milestone schedules and recommended some minor edits to take into account changes in the pipeline industry and new research activities proposed.
The budgeted milestone numbers were reduced slightly to 338 to June 2019. These changes were subsequently approved by the Commonwealth.
Not all of the CRC’s research was as successful as we would have liked, but we estimate that we will achieve 330 of the agreed milestones. Four of the outstanding milestones relate to the weld metal hydrogen assisted cold cracking series of projects; three of the other four relate to delays in graduation and subsequent employment of PhD students.
The Commonwealth Government and our industry partners recognise that research progress cannot be guaranteed, despite the best endeavours of all parties. While some projects have not achieved their original goals, the CRC has achieved other research activities not planned at the start, including research associated with plastic and composite pipes, subsea pipelines and non-CRC funded projects, such as those on CO2 pipelines.
Changes to the CRC Program, announced by the government in 2015, meant that Energy Pipelines CRC could not undertake a rebid; however, the industry identified new industry challenges and the management team was successful in bidding for the Future Fuels CRC, which was launched in mid-2018.
Given that CRC funding ceases from 30 June 2019, it was necessary for the board and management to consider the appropriate transitioning of the Energy Pipelines CRC.
The board has recommended that, upon completion of its 2019 reporting requirements to the government and to its members, the assets of Energy Pipelines CRC be transferred to Future Fuels CRC before the organisation is formally wound up.
The reports and guidelines from the Energy Pipelines CRC will remain available to researchers and industry for a period of time through the members’ area of the legacy website which can still be accessed at www.epcrc.com.au
The conclusion of Energy Pipelines CRC should not reduce the commitment to industry led pipeline research. The CRC mechanism is but one way of supporting research activities.
With ongoing investment in research and development, our industry will stay strong and continue to lead the rest of the world in safety and innovation. It is vital that we not give this position away lightly.
I thank all those involved in the formation of Energy Pipelines CRC, particularly Leigh Fletcher, Phil Venton, Peter Tuft, Max Kimber and Valerie Linton. Thank you also to Ankie Larsson and Peter Heffernan for their work in establishing the company.
Valerie’s leadership over the first six years of the Energy Pipelines CRC has been the key reason for our success. Finally, thank you to the Energy Pipelines CRC staff: Klaas, Matt, Fari, Lyndal, David for his term as CEO, and to the board and committee members past and present.
Thanks also to the industry advisors and researchers that have given their time to make Energy Pipelines CRC so successful.
This article was featured in the July edition of The Australian Pipeliner. To view the magazine on your PC, Mac, tablet, or mobile device, click here.
If you have a project you would like featured in The Australian Pipeliner contact Managing Editor David Convery at dconvery@gs-press.com.au