Petroleum Inspectorate Overview

Introduction

The Petroleum Inspectorate is a very small department, consisting of three employees. It is closely associated with the Planning Department, but directly under the Ministry of District Administration, Planning, Agriculture and Housing. The Chief Petroleum Inspector is Mr. Gary McTaggart and his understudy is Mr. Desmond Ebanks, with 19 and 11 years respectively in the petroleum industry.

The Petroleum Inspectorate was established in 2003 to ensure that sound industry codes of practice were adopted; to ensure that safety and environmental management systems are effectively developed and implemented; and to play a vital role in ensuring proper emergency planning and coordination.

The primary responsibility and objective of the Petroleum Inspectorate is to assess whether the petroleum and compressed gas industries are adequately managing their obligations to safeguard environment, health, and safety through regular inspections of bulk storage terminals, service stations, marinas, utility companies, LPG facilities, compressed air facilities, industrial and wholesale tanks and vehicles transporting petroleum. The Petroleum Inspectorate is also a member of the Emergency Response and Marine Spill Response Team and as such investigate reports of accident and spillage.

Last but importantly the Petroleum Inspectorate is a statutory consultancy for all planning applications involving fixed installations designed for storage of petroleum products.

History of the Petroleum Inspectorate and Enabling Legislation

In response to several concerns raised during a 1994 review of government insurance and risk management programs, a full appraisal was conducted of all petroleum fuels storage handling activities on the Cayman Islands. The technical appraisal fundamentally reviewed compliance with recognized and accepted Codes and Standards, and development and implementation of management systems to ensure safe and environmentally responsible operation. The Technical appraisal recommended that Government should hire a Chief Petroleum Inspector which was carried out in early 2003.

In 2003 “The Dangerous Substances Handling and Storage Law, 2003” was enacted, replacing the Petroleum Handling and Storage Law.  Section 10 (5) of the law directs that the CPI be guided by Building and 1997 Fire Codes, and such other regulations, codes, and standards as the CPI deems appropriate. 

The 1997 Fire Code refers to the United States 1994 Standard Fire Prevention Code and incorporates by reference in Chapter 3 most codes that regulate the general petroleum industry such as NFPA, API, ASME, ASTM, CGA and UL for example. All of these codes, either wholly or in part, are incorporated in the Law here in the Cayman Islands.