Business

Fuel Management

If you are a Z customer that stores bulk fuel on your site(s), then we both have legal obligations to ensure that fuel is managed safely. It's also really important to us that we do everything we can to ensure the safety of people who deliver and use our fuels and that we are protecting New Zealand's natural environment.

What are Z's responsibilities?

Z needs to be sure that any tanks we deliver fuel into, regardless of whether those tanks belong to you or Z, have the following in order:

  • the right certification
  • a fuel reconciliation is done regularly
  • we provide correct information about our fuel products.

What are your responsibilities?

Each of your locations that have bulk fuel tanks need to ensure they are compliant with their responsibilities. You may also have a fuel supply agreement in place with Z, which will set out additional requirements that you should consider regarding the safe management of fuel. It is critical to us that we are delivering fuel to sites that are compliant with all relevant legal obligations. As such, if you aren't compliant then we reserve the right not to supply you with fuel.

For further detail and information for each area of your responsibilities, please look at the sections below.

 Bulk stock reconciliations

The requirement to complete fuel reconciliations arises under the Hazardous Substances and New Organisms Act 1996 (HSNO). It is also common for councils to stipulate in resource consents that you follow best practice with respect to fuel reconciliations. Please refer to HSNOCOP 13-2 and 45 for full details.

These codes (HSNOCOP 13-2 and 45) require every storage site operator to monitor for product leakage by establishing and operating a sound system of stock reconciliation that identifies stock losses as they occur. Compliance with HSNOCOP 45 is important to ensure early detection of any product leaks. The code explains:

  • how to account for stock
  • how to carry out a pump meter/tank dip reconciliation, and
  • how to compete a reconciliation summary.

Z is committed to ensuring it only delivers to fuel sites that are fully compliant with the legislation. As such, to ensure you are compliant with your obligations, Z requires you to:

  • obtain resource consents, approvals and test certificates for the handling, use and storage of hazardous substances on the premises
  • comply with the conditions of any resource consents/approvals
  • have available the required HSNO Hazardous Location Test Certificates and Stationary Container Test Certificates, and provide Z with copies of such certificates
  • notify the appropriate authorities of any incident involving hazardous substances resulting in serious harm to any person or the environment
  • comply with any other legal requirements regarding the management of hazardous substances at your premises
  • refrain from discharging contaminants into the environment
  • carry out stock reconciliations, in line with requirements, for underground tanks and above ground tanks with underground pipe work
  • keep records of all stock reconciliations
  • notify Z within 24 hours if your reconciliation indicates a sudden loss of product or the trend shows losses or gains that are consistenly more than 0.5%.

Compliance with these requirements is essential for the safe management of fuel. The penalties for not complying with the above requirements can include imprisonment and large fines.

Check out our guide to carrying out a bulk fuel reconciliation to help. We also have a spreadsheet template to record your reconciliations.

 Safety data sheets

Those coming into contact with, or using, fuel products must have access to information about those products. This is important from the perspective of managing fuel safely, and it is also a legal requirement. 

Business operators must provide users of a hazardous product, including fuel products, access to a safety data sheet within 10 minutes. You can check out Z's safety data sheets by visiting z.co.nz/keeping-business-on-the-move/product-safety/fuel-products/.

 HSNO certifications and approved handlers

Certifications of certain equipment are required under the Hazardous Substances and New Organisms Act 1996 (HSNO) legislation. Certifications are carried out by independent test certifiers. 

If Z owns equipment on your site then using our HSNO Test Certifiers, Z will certify the equipment under HSNO and ensure it has the appropriate Stationary Container System Certificate.

If you own the equipment, you will need to arrange for it to be certified under the HSNO requirements. The Environmental Protection Authority website includes a list of registered HSNO Certifiers.

If you store petrol you are responsible for ensuring your site has the appropriate Hazardous Location Test Certificate. A HSNO Test Certifier will be able to advise you on this requirement.

The circumstances where certification is required are as follows:

  • any below ground petroleum or diesel stationary tank with a capacity of more than 250 litres
  • any above ground diesel stationary tank with a capacity of more than 5,000 litres
  • any above ground petrol stationary tank witha  capacity of more than 2,500 litres
  • any above or below ground LPG stationary tank with a capacity of more than 100kg
  • the storage and use of more than 50 litres of petroleum on the premises and 
  • the storage and use of more than 100kg of LPG on the premises

Check out our quick guide diagram to see your requirements at a glance for both petrol and diesel.

Regardless of who is responsible for the certificate, a copy should be available on site. If you wish to obtain a Stationary Container Certificate for any Z owned equipment on your site, please contact Sue: info@envirohaz.co.nz

You may also be required to obtain an Approved Handler Certificate. Approved handler certification qualifies people to handle very hazardous substances safely and to provide guidance and assistance to other people handling the substances. We recommend you consult with a HSNO Certifier or check the WorkSafe NZ website to see whether this is required.

Even if you're not sure who owns a tank or tanks on your site, it still needs certification. Please contact your Z Customer Manager or our Customers Service Centre on 0800 474 355 if you have questions about tank ownership, and together we can determine the appropriate actions to take to ensure the appropriate certification is obtained as soon as possible. 

If you make any modifications to your own fuel storage equipment, or to the product stored in the tank, please notify your HSNO Test Certifier. The change could negate the validity of your HSNO certification and a new certificate may be required.

 Operating requirements for above and below ground fuel storage

The Environmental Protection Authority (EPA) has developed Codes of Practice for the storage of hazardous products. Codes of Practice relevant to the storage of fuel products are as follows:

  • HSNOCOP 13-2 - Management of existing stationary container systems up to 60,000 litres capacity
  • HSNOCOP 44 - Below ground existing stationary systems for petroleum - design and installation
  • HSNOCOP 45 - Below ground stationary container systems for petroleum - operations
  • HSNOCOP 47 - Secondary containment systems.

These Codes of Practice should be consulted to ensure all requirements for the design and installation of new storage systems are covered, and that the operation of these new and existing systems meet all requirements. Requirements for below ground stationary container systems constructed prior to 1 April 2004 are detailed in HSNOCOP 13-2 but the daily management of them may be undertaken in accordance with the provisions of HSNOCOP 45.

Check out Worksafe NZ's website for the Codes of Practice. We recommend you regularly review the Worksafe NZ website for developments.

 Stormwater management and emergency response plans

Under the Resource Management Act 1991 (RMA) you're responsible for any spills on your site. We strongly recommend that you review and have an up to date Stormwater Management Plan.

In addition, a site specific Emergency Response Plan is required for all locations, detailing the response to all likely emergency scenarios. All facets of the Emergency Response Plan must be tested regularly, with the results of the tests to be recorded, identified improvement actions acted upon, and the Emergency Response Plan updated.

Check out the Stormwater and emergency response management (PDF) template we have put together, or have a look at the WorkSafe NZ templates at http://www.business.govt.nz/worksafe/information-guidance/all-guidance-items/hsno/guidance-docs-epa/emergency-procedures-template-pdf

Further help and advice

If you're in any doubt as to your obligations when managing fuel products we recommend that you obtain professional advice from a HSNO Test Certifier as soon as possible. If you have any questions or concerns about bulk fuel storage, contact your Z Customer Manager or our Customer Service Centre on 0800 474 355 and they'll help you out. 

Another great resource to check out is the document WorkSafe NZ has created - "Your Practical Guide - Working Safely with Hazardous Substances", which is a useful guide to HSNO and HSSE requirements relating to hazardous substances. The guide is part of an overall Hazardous Substances toolbox available on the Worksafe NZ website and will provide you with useful information for the safe storage of hazardous products at your site.

 

With bulk fuel facilities on your site, you have a few responsibilities.