Pre-Earthquake, Emergency and Contingency Planning August 2015

Transcription

1 RiskTopics Pre-Earthquake, Emergency and Contingency Planning August 2015 Regions that are regularly exposed to seismic events are well-known, e.g. Japan, New Zealand, Turkey, Western USA, Chile, etc. However, a large number of areas may be at risk even if not in the commonly known earthquake zones. Introduction This Risktopic reviews steps that can be taken by organizations to create facilities that are resistant to the hazards associated with earthquakes. Damage to equipment, machinery and lifelines can occur even at low earthquake magnitudes. Preparedness before the event will contribute significantly to reducing such losses. Discussion Are you exposed? Earthquake exposure can be determined using available, local or national earthquake hazard maps. If a facility shows an increased exposure, it is recommended that a formal earthquake emergency and disaster recovery plan be formulated by the central operative management of the company to help protect the site ( contingency ). Some measures that could be taken in this regard are outlined below and are intended for guidance and reference. They are not meant to be used as a final emergency plan. Many of the topics covered depend on your specific business activity and need to be tailored to your business s needs. Guidance Location selection Avoidance of earthquake exposure begins with location choice. Consider the following when choosing the location of a facility. Avoid building in proximity of known fault zones, along coasts exposed to tsunamis, in terrain prone to landslides, in organic or non-engineered land fill that could suffer significant settlement or liquefaction, etc.

2 Consider proximity to 3rd party exposures when evaluating potential facility location. This includes items such as large natural gas pipelines or petrochemical plants, single access roads, single transportation access points (such as single ports for transport), etc. Pre-event preparation measures The following elements should be covered regularly as a minimum to help mitigate earthquake related losses: structural (loadbearing) elements, secondary (non-load-bearing) elements and organizational aspects (human factor). a) Structural elements: Have the structural designs of your facilities reviewed by a qualified structural engineer. This review should include both older structures and recent construction. Focused evaluation of steel elements, connection points, reinforcement bars, material properties, etc. should also be conducted. If any physical changes to your facilities are planned, complete a full check of the entire structure to ensure compliance with the latest version of the design code. Consider designing to the 475 year return period earthquake level. Consider secondary effects such as local site amplification effects, liquefaction and lateral soil spread, which also need to be considered. Note: Constructing a building earthquake resistant from the planning and design stage typically involves very little additional cost, while retrofitting is often more expensive. b) Non-structural elements Loss statistics from earthquake events over the past 20 years demonstrate that the highest losses arise from nonstructural elements (e.g. contents, equipment, partitions, etc.), such as loss of storage installations, liquid leakage and fire following. This can be put in perspective if one considers that 80% to 90% of the total values (depending on occupancy) comprise non-structural elements. Analyze the stability and anchorage of machinery, storage tanks, installations and stock with the assistance of a qualified structural engineer. Special emphasis should be given to containers and piping containing flammable gases and liquids to ensure adequate design and bracing. Check local standards. Evaluate storage arrangement to reduce potential losses due to inadequate storage arrangements or securement of dangerous installations and goods (especially items that could cause or fuel a fire following earthquake exposures). Design firefighting installations (pumps, water tanks, and piping) to withstand deformations expected during seismic events. Pump rooms should be devoid of false ceilings which could potentially damage pumps. Complete regular tests and inspections of installed seismic protection devices to ensure function and reliability. 2

3 c) Organizational issues Staff safety is the highest priority. Some suggestions for organizational preparation measures to ensure staff safety during and after an event are given below: Ensure that critical processes are equipped with automatic shut-down devices where possible and permitted. These should be installed by qualified personnel and regularly tested. Design and implement safety measures/procedures (e.g. automatic drainage into special pits equipped with firefighting systems) to protect the facility and staff from fires triggered by an earthquake. Create and maintain an emergency response team that is responsible for items such as firefighting equipment checks, first aid training, and internal and external communication. Identify and document contact information for the local post-disaster response authorities in the company s emergency preparedness plans. These agencies will be responsible for assessing the post-event safety of structures, search and rescue, etc. Establish ongoing communication with the local post-disaster response authorities. They can often assist with training, emergency preparedness, and community level post-earthquake aid. Ensure that the emergency response team and the staff understand their responsibilities for: Evacuation procedures, shut-down sequence, etc. Safe escape routes Congregation points such as clearly marked safe zones both indoors and outdoors where employees can assemble in the event of an earthquake. Expected behavior such as, for example, take cover and do not run out during the event. Conduct regular safety drills to ensure that all staff are aware of the appropriate procedures and that all protection measures are functioning properly. Post-earthquake actions Earthquakes typically incapacitate large areas. The top priority of local authorities is rescue and minimization of further loss of life. Local laws may forbid access into any structure until it has been officially controlled and marked as safe. Post-earthquake recovery for your facility involves three stages: assistance of local authorities, access to the site after approval of local authorities, and resumption of operations. For the above reasons, provisions that enable quick recovery after an earthquake are essential. The business contingency plans should include an earthquake scenario that addresses business interruption risks. Also, many plans do not take into account the possibility of a denial of access or loss of means to access facility locations. Please note the following after earthquake actions: Contact the authorities to determine the latest community wide information on infrastructure resources. Utilize the emergency response team to assess and, to the extent possible, ensure that the installed fire protection system is in service to protect against a possible fire. (This includes that all sprinkler and hydrant valves are open and fire water supply is in service. Priority should be given to any damaged fire protection systems to bring them back online.) Prohibit hot work until fire protection is restored. 3

4 a) Assistance After the emergency response team has accounted for all your staff, contact the local authorities through prearranged procedures. Ensure you know which regulatory agencies are responsible for post-earthquake inspection and evaluation, granting clearance/permission to restart operations after a major event. b) Site access and safe shut-down Once the responsible authorities have assessed your site and allowed access a safe shutdown prior to damage, assessment can be conducted. Establish clear shut-down procedures as part of an earthquake scenario. These procedures should include actions such as shutting all piping vales, draining pipelines, securing hazardous material, containing leaking materials, etc. Utilize facility shut down procedures (when access is permitted). This allows for damage inspections. Prepare an inventory of damaged equipment and stock. c) Resumption of operations Once the status of your facility has been established, it is necessary to prioritize repairs and start-up. The contingency plan should contain: Procedures to contact internal and external resources to organize recovery. Prioritized damage assessment targets with the assigned responsibility. Prioritized operational recovery targets based on a realistic assessment of the organization s current resources and the supporting infrastructure. Contact protocols for suppliers (to determine availability of supplies) and customers (to keep them informed of current delivery capabilities). Basic utility assessment process to determine the available resources. This assessment targets key information such as what utilities exist, what can be restored, and expected downtime. It is also key to identify if alternatives are available. Up-to-date contracts or agreements are available with external contractors critical for repairs, salvage and reinstatement (Note, experience has demonstrated that after an earthquake, regional demand for key technical and repair personnel often outstrips demand (e.g. professionals for sprinkler systems, utilities or specialists for heavy machinery or equipment). During recovery operations, companies should guard against overly fast recovery. This can result in neglecting key structural repairs or arrangements for the future and can compromise future earthquake resilience. Please note that after the earthquake is before the next earthquake. After the resumption of operations, it is important to review the contingency plan and implement any lessons learned. Note which parts of the plan have worked well and which need to be updated. 4

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6 rt_preearthquakeemergencycontingencyplanning.docx Zurich Insurance Group Ltd. Mythenquai 2 CH-8022 Zurich Switzerland The information contained in this document has been compiled and obtained from sources believed to be reliable and credible but no representation or warranty, express or implied, is made by Zurich Insurance Group Ltd. or any of its subsidiaries (hereinafter Zurich ) as to their accuracy or completeness. Some of the information contained herein may be time sensitive. Thus, you should consult the most recent referenced material. Information in this document relates to risk engineering / risk services and is intended as a general description of certain types of services available to qualified customers. It is not intended as, and does not give, an overview of insurance coverages, services or programs and it does not revise or amend any existing insurance contract, offer, quote or other documentation. Zurich and its employees do not assume any liability of any kind whatsoever, resulting from the use, or reliance upon any information, material or procedure contained herein. Zurich and its employees do not guarantee particular outcomes and there may be conditions on your premises or within your organization which may not be apparent to us. You are in the best position to understand your business and your organization and to take steps to minimize risk, and we wish to assist you by providing the information and tools to assess your changing risk environment. In the United States of America, risk services are available to qualified customers through Zurich Services Corporation and in Canada through Zurich Risk Services as also in other countries worldwide, risk engineering services are provided by different legal entities affiliated with the Zurich Insurance Group as per the respective country authorization and licensing requirements. 2012/2013/2015 Zurich Insurance Group Ltd.