Forewarned is

forearmed.

API Risk-Based Inspection

Software and the Base

Resource Document

API RBI Software, created by

petroleum refinery and chemical plant

owner/ users for owner/users, finds its

basis in API Publication 581, Base

Resource Document – Risk-Based

Inspection. Practical, valuable features

are built into the technology, which is

based on recognized and generally

accepted good engineering practices.

The purposes of the Risk-Based

Inspection Program are summarized as

follows:

a. Screen operating units within a plant

to identify areas of high risk.

b. Estimate a risk value associated with

the operation of each equipment

item in a refinery or chemical

process plant based on a consistent

methodology.

c. Prioritize the equipment based on

the measured risk.

d. Design an appropriate inspection

program.

e. Systematically manage risks

associated with equipment failures.

The RBI method defines the risk

of operating equipment as the

combination of two separate terms:

the consequence of failure and the

likelihood of failure.

Software features include:

• Analysis for pressure vessels, tanks,

piping and pressure relief devices.

• Three levels of analysis from

qualitative > semi-quantitative >

quantitative.

• Automated inspection planning.

• Consequence values expressed in

terms of risk per unit area, risk per

unit area per year, financial risk,

matrix cell location and provide the

options to factor injury, equipment

damage, downtime costs, and toxic,

explosive, fire damage, and environmental

effects into the analysis.

• Consequence models for various

fluids and gases commonly

encountered in the refining,

petrochemical and chemicals

industries.

• Discrete risk values for each piece

of equipment.

• Qualitative risk matrix rankings.

• Financial risk calculation options.

• Data transfer utility to speed up

information entry.

• Expert system damage module

calculators for various specific

corrosion mechanisms (localized

and generalized), various specific

cracking mechanisms, fatigue, creep,

high temperature hydrogen attack,

various embrittlement mechanisms,

etc. These modules are based on

recognized and generally accepted

good engineering practices, i.e., the

latest available industry information

from recognized authoritative

sources.

• Perform “What If” analyses to

consider changes and new

equipment/unit reviews.

• Report capabilities for all risk

scenarios, matrices, risk summaries,

consequence and likelihood basis

reports and inspection plans.

Value through synergy and

consensus

Software licensees also have the

privilege of participating in user group

meetings with industry owner/user

peers where participants share

practical implementation experiences

and chart out the future evolution of

the technology. Over 22 owner/user

companies have participated in and

continue to work in the API RBI review

and development process. Few other

technologies can claim the high level

of quality attained by subjecting the

software to ongoing scrutiny by industry

experts. This assures the best possible

technology and features are available

for practical, effective prioritization of

inspection related resource allocation

and risk management.

API RBI software users may rest

assured that this innovative software

program satisfies the requirements for

RBI technology, as set forth in the

latest editions of API Standards 510

and 570, and Recommended Practice

580, and allows the owner/user to

establish inspection plans as an

alternative to the traditional API 510

or API 570 approach.

Find out how API RBI software

can help to better focus your resource

allocation while lowering risk by

sending an e-mail to rbi@api.org, or by

contacting Greg Alvarado (e-mail:

gcalvarado@equityeng.com) or Lynne

Kaley (e-mail: lckaley@equityeng.com)

at the Equity Engineering Group.

Understanding risk is the first step

toward managing risk.

API Publication 581

Base Resource Document -

Risk-Based Inspection

Commercial losses can be the result of

the failure to understand or manage

risk. But it doesn’t have to be that

way now that API Publication 581 is

available. Finally, there’s a document

that presents a methodology for using

risk as a basis for prioritizing and

managing an inspection program where

equipment items to be inspected are

ranked according to their risk value.

And in most situations, once the

risks have been identified, alternate

opportunities are available to reduce

the risks involved.

In most plants, a large portion of

the total unit risk is concentrated in a

relatively small percentage of the

equipment items. These potential high

risk components may require a greater

degree of attention than others, so

knowing which areas to prioritize

becomes paramount.

API Publication 581 provides a

realistic basis for managing risk

and making informed decisions on

inspection frequency and level of

detail, letting you put your risk

management practices in perspective.

By putting a risk-based inspection

program into place, operating times

and run lengths of process facilities

may increase while improving, or at

least maintaining, the same level of

risk.

If you’ve ever considered a revised

inspection plan but have feared where

to make the changes, consider that

inspection effort costs can be offset by

reducing excessive inspection efforts in

the areas identified as having lower

risk.

The Base Resource Document

includes a qualitative analysis that

allows operating units to be quickly

prioritized for further risk analysis.

The result of the qualitative analysis

positions the unit within a five-by-five

risk matrix, which rates it from lower to

higher risk.

The likelihood analysis is based on a

generic database of failure frequencies

by equipment types which are modified

by two factors that reflect identifiable

differences from “generic” to the

equipment item being studied.

approach to developing an inspection

program, are presented.

Let API Publication 581 be your

start to effective risk management.

By establishing a risk-based inspection

program, you’ll continue to conduct

inspections as defined in your existing

working documents while API Publication

581 guides you through establishing

priorities and frequencies of inspections.

The RBI methodology presented

in API Publication 581 will help you

achieve three main goals:

• First, the program gives you the

capability to define and measure

risk, creating a powerful tool for

managing many of the important

elements of a process plant.

• Second, it allows management

to thoroughly review safety,

environ]mental, and businessinterruption

risks in an integrated,

cost-effective manner.

• And third, it gives you a procedure to

systematically reduce the likelihood

of failures by making better use of

your inspection resources.

An effective, integrated

management tool you can use

to determine risk.

API Publication 581 can help you take

the first crucial step toward instituting

an integrated risk-based management

program. In the past, the focus of risk

assessment has been on-site safetyrelated

issues, but today there is an

ever-increasing awareness for other

types of risk.

• What are the consequences

associated with risks that could

interrupt your business?

• How about the risk of damage to the

environment?

• What is the off-site risk to the

surrounding community?

• Are you effectively identifying

potential risks and are you prepared

to address them?

Defining the answers to these

questions is where the RBI program

outlined in API Publication 581 can

play a critical role. Because API

Publication 581 allows you to factor in

any combination of risks into decisions

concerning when, where, and how to

inspect a process plant, it offers you

the flexibility you need to make logical,

effective choices.

The flexibility you want, the focus

you need.

Due to its flexibility, an RBI program

founded on the principles of API

Publication 581 can be applied on

several levels. Primarily, the document

focuses on the equipment within the

primary pressure boundaries, but can

be expanded to the system level to

include additional equipment such as

instruments, control systems, electrical

distribution, and critical utilities. By

expanding the levels of analyses, you

can improve the payback from your

inspection efforts.

From a cost-effectiveness standpoint,

risk-based inspection can be integrated

with recent industry initiatives and

government regulations such as

API Recommended Practice 750,

Management of Process Hazards,

Process Safety Management (OSHA

29 CFR 1910.119).

Put API Publication 581 to work

today and make the risks you face

what they should be – manageable.

API Publication 581

Base Resource Document – Risk-Based

Inspection

First Edition, May 2000

Hard Copy Only

Product Number C58101

Price: $595.00

CD Only

Product Number C58101CD

Price: $695.00

Hard Copy and CD

Price: $995.00

Software Support, Development

and Marketing

The Equity Engineering Group is the

sole contractor and serves in the

project management role for the

ongoing API RBI User Group Support

and Maintenance as well as the

training program for new users and

worldwide marketing of the software

and technology.

The Equipment Modification

Factor reflects the specific operating

conditions of each item, and the

Management Modification Factor is

based on an evaluation of the facility’s

management practices that affect the

mechanical integrity of the equipment.

The management systems evaluation

tool is based on API guidelines and

is included as a workbook of audit

questions in the Base Resource

Document.

The likelihood analysis includes

a series of technical modules that

assess the effect of specific failure

mechanisms on the probability of

failure. The technical modules serve

four functions:

a. Screen the operation to identify the

active damage mechanisms.

b. Establish a damage rate in the

environment.

c. Quantify the effectiveness of the

inspection program.

d. Calculate the modification factor

to apply to the generic failure

frequency.

The consequences of releasing a

hazardous material are calculated by:

a. Estimating the release rate based

on the developed scenarios.

b. Predicting the outcome.

c. Applying effect models to estimate

the consequences.

Flammable, toxic, environmental

and business interruption effects are

covered in the Risk-Based Inspection

methodology. A Quantitative RBI

Workbook is provided to guide the

user step-by-step through the

calculations for both the likelihood

and consequence analyses.

The likelihood and consequence are

combined to produce an estimate of

risk for each equipment item. The

items can then be ranked based on

the risk calculation, but the likelihood,

consequence, and risk are all stated

separately, identifying the major

contributor to risk.

Guidelines are provided to develop

and modify an inspection program so it

will appropriately manage the risks that

have been identified in the risk calculation

and prioritization steps. A simple

method is presented for categorizing

inspection effectiveness and estimating

the probability that the inspection

plan will identify the true damage state

in a piece of equipment.