Federal Motor Vehicle Safety Standards; Compressed Natural Gas Fuel Container Integrity

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

49 CFR Part 571

[Docket No. 93-02; Notice 14]

RIN 2127-AF14

Federal Motor Vehicle Safety Standards; Compressed Natural Gas

Fuel Container Integrity

AGENCY: National Highway Traffic Safety Administration (NHTSA),

Department of Transportation (DOT).

ACTION: Final rule, petitions for reconsideration.

-----------------------------------------------------------------------

SUMMARY: In response to petitions for reconsideration, this document

amends certain labeling requirements in Standard No. 304, Compressed

Natural Gas Fuel Container Integrity. Specifically, this document

modifies the labeling requirements with respect to the inspection

interval and deletes reference to certain pamphlets. The amendments

harmonize Standard No. 304 with voluntary industry and international

standards, without any detriment to safety.

DATES: Effective date: The amendment in this document becomes effective

December 2, 1996. Prior to December 2, 1996, a manufacturer is not

required to comply with S7.4(g), which specifies a labeling requirement

regarding container inspections and the appropriate interval between

them.

Petitions for reconsideration: Any petition for reconsideration of

this rule must be received by NHTSA no later than October 21, 1996.

ADDRESSES: Petitions for reconsideration of this rule should refer to

the above mentioned docket number and be submitted to: Administrator,

National Highway Traffic Safety Administration, 400 Seventh Street,

SW., Washington, DC 20590.

FOR FURTHER INFORMATION CONTACT:

For non legal issues: Mr. Charles Hott, National Highway Traffic

Safety Administration, 400 Seventh Street, SW., Washington, DC 20590

(Telephone 202-366-0247).

For legal issues: Mr. Marvin L. Shaw, NCC-20, Rulemaking Division,

Office of Chief Counsel, National Highway Traffic Safety

Administration, 400 Seventh Street, SW., Washington, DC 20590 (202-366-

2992).

SUPPLEMENTARY INFORMATION:

I. Regulatory Background

On September 26, 1994, NHTSA published a final rule establishing

Standard No. 304, Compressed Natural Gas Fuel Container Integrity. (59

FR 49021) In addition to container performance requirements, the

Standard also specifies labeling requirements. Each CNG container

manufacturer must permanently label each of its containers with the

following information: (1) The statement that ``If there is a question

about the proper use, installation, or maintenance of this container,

contact [CNG fuel container manufacturer's name, address, and telephone

number]''; (2) the month and year in which the container was

manufactured;

[[Page 47087]]

(3) the maximum service pressure; and (4) the symbol ``DOT,'' which

represents the manufacturer's certification that the container complies

with all the standard's requirements. Manufacturers have been required

to label each CNG container manufactured on and after March 26, 1995,

with this information.

On November 24, 1995, NHTSA published a final rule that amended

S7.4 of Standard No. 304 to require CNG containers to be labeled with

the following additional information:

(1) The container designation (Type 1, 2, 3, or 4),

(2) The statement ``CNG ONLY,''

(3) The statement: ``This container should be visually inspected

after a motor vehicle accident or fire and at least every 12 months for

damage and deterioration in accordance with the Compressed Gas

Association (CGA) guidelines C-6 and C-6.1 for Type 1 containers and C-

6.2 for Types 2, 3, and 4 containers.''

(4) The statement: ``Do Not Use After ____________,'' inserting the

year that is the 15th year beginning after the year in which the

container is manufactured.

(60 FR 57943)

In that final rule, NHTSA also amended the bonfire test

requirements that evaluate pressure release and announced its decision

to terminate rulemaking about additional performance requirements for

CNG containers that the agency had proposed.

NHTSA received petitions for reconsideration from the American

Automobile Manufacturers Association (AAMA), Ford, Consumers Gas,

Powertech (a research and development laboratory), and CNG container

manufacturers, including NGV Systems, Pressed Steel Tank (PST), and

Lincoln Composites (Lincoln).

The petitioners requested changes to the labeling requirements and

the bonfire test requirements in Standard No. 304. In today's final

rule, the agency responds to issues associated with the labeling of CNG

containers. The agency will respond to the petitions addressing the

bonfire test at a later date. The agency believes that it is

appropriate to respond to the petitions in two separate notices, given

the need to provide guidance to manufacturers attempting to comply with

the September 1, 1996 effective date for the labeling of new CNG

containers.

II. Agency Decision on Container Labeling

A. Inspection Interval

NHTSA stated that a one-year interval for visual inspection of a

container's exterior reduces the possibility that damage caused by

external factors would go undetected, a situation that could lead to

container failure. Among the external factors that can damage a

container are scratches and gouges and exposure to caustic substances

and fluids such as acid, road salt, and gasoline. The agency based this

earlier decision on a NGVC document recommending a one year inspection

interval.1

---------------------------------------------------------------------------

\1\ NGVC is currently redrafting the voluntary industry

standard to specify a 36 month inspection interval.

---------------------------------------------------------------------------

NHTSA received several petitions for reconsideration requesting

that the container inspection interval be every 36 months instead of

every 12 months. Lincoln, Powertech, PST, AAMA, Consumers Gas, and Ford

believed that a 12-month inspection period was inappropriate. Lincoln,

Powertech, PST, and AAMA stated that the soon-to-be-issued updated NGV

standard recommended a 36-month inspection interval. These petitioners

further stated that a 36-month inspection interval is specified in the

Canadian standard and the draft ISO standard.

Consumers Gas stated that it has been operating natural gas powered

vehicles for over ten years and have not had a problem with the

integrity of vehicle containers. It visually inspects its containers

every three years. The company believes that more frequent inspection

would increase the possibility of damaging a container because the

container must be removed from the vehicle for a thorough inspection.

It also believed that an annual inspection would increase the risk of

reducing the environmental coating on the outside of the container.

Consumers Gas was also concerned about the costs associated with

inspecting CNG fuel containers annually.

Powertech stated that all international inspection standards

specify a 36-month interval between inspections. Based on its review of

in-service ruptures of CNG containers since 1974, that company stated

these failures would not have been prevented had a one year visual

inspection been used.

Lincoln stated that its recently completed 12-month inspection

program on 96 CNG vehicles in the Atlanta area showed no indication of

unexpected damage 2 to the CNG fuel containers. Based on this

field experience, Lincoln concluded that a 12-month inspection interval

would provide little safety benefit. Lincoln favored the adoption of a

36-month, 36,000 mile inspection requirement which would harmonize the

U.S. requirement with the requirements of other standard-setting

countries and organizations. Lincoln stated that a 12-month inspection

requirement would not have prevented the two publicized container

failures involving two different GM trucks because, in each case, the

truck's container had sustained damage prior to installation.

---------------------------------------------------------------------------

\2\ Lincoln did not explain what it meant by the phrase

``unexpected damage.''

---------------------------------------------------------------------------

AAMA stated that the 12-month interval for visual inspection

requirement is inconsistent with other CNG container inspection

requirements. That organization requested that the interval be revised

to every 36 months or after an accident or fire for external damage and

deterioration.

PST stated that the inspection interval should be 36-months with

the manufacturer having the option of specifying shorter intervals

based on the design and construction of the container.

Based on the available information, NHTSA has decided to amend S7.4

to require that each CNG container be visually inspected for damage or

deterioration after a motor vehicle accident or fire and at least every

36 months or 36,000 miles, whichever comes first. Among the factors

that can damage a container are scratches and gouges and exposure to

caustic substances and fluids such as acid, road salt, and gasoline.

The agency notes that the new inspection schedule is consistent with

international and industry standards. Based on the comments, the agency

believes that a 12-month, 12,000 mile inspection interval would provide

little safety benefit to the vehicle owners. While visual inspection of

a CNG container may detect some conditions that indicate a potential

failure, the agency agrees with the petitioners that a 12 month, 12,000

mile inspection interval would be excessive. The agency notes that a

12-month inspection interval would not have prevented the two

publicized GM container failures because they were caused by stress

corrosion cracking which is internal to the container and therefore

would not have been identifiable during a visual inspection of the

container's exterior.

B. Inspection Pamphlets

In the November 1995 final rule, NHTSA stated that the regulation

must reference inspection information about the in-use safety of CNG

containers. The agency further stated that the current CGA pamphlets

provide valuable inspection information to help assure

[[Page 47088]]

fuel container safety for Type 1, 2, and 3 containers.

PST and AAMA stated that referencing the CNG pamphlets on the

container label is confusing and not beneficial. PST stated that a

container's label should refer only to those CGA pamphlets that are

relevant to that specific container. For example, a reference to

pamphlet C-6.1 on a steel container could be confusing since that

pamphlet is for aluminum containers. AAMA stated that the inspection

procedures referenced in the pamphlets include inspections, such as

interior and hydrostatic testing, that necessitate the removal of the

CNG containers from the vehicle, and the use of specialized test

equipment and personnel. AAMA stated that such testing is not needed to

conduct a visual inspection, like the one specified by the CNG

container label.

After further analyzing the available information, NHTSA has

decided that it is inappropriate at this time to require reference to

any of the CGA pamphlets on the container's label. As AAMA stated, it

would be difficult for users to comply with the requirements in these

pamphlets which direct an inspector to remove a CNG container. The

agency further agrees with AAMA that the inspection procedures

referenced in the CGA pamphlets may be confusing to a mechanic because

it specifies that the CNG container be inspected by a container tester

registered with the U.S. Department of Transportation or Canadian

Transport Commission. NHTSA notes that the CNG container industry is in

the process of revising the inspection pamphlets to clarify the

reinspection interval for CNG containers used as vehicle fuel tanks.

C. Other Issues

PST stated that the minimum character size for the label should be

reduced to \5/32\ inch because the added wording regarding the

recommended periodic inspection of fuel containers would increase the

label's size. PST stated that there is no functional need for the label

to be legible for distances greater than a few feet. PST stated that

larger labels are more costly and more difficult to apply on a CNG

container, and that a smaller label can more easily conform to the

surface for adhesion.

Lincoln does not agree that the cost of this rulemaking is solely

the cost of the label. That manufacturer stated that the rulemaking's

true cost should reflect the costs of implementing the change from a

36-month to 12-month inspection interval and that this would make this

rulemaking significant.

NHTSA notes that the letter height requirements were addressed in

the final rule published July 24, 1995. In that rulemaking, the agency

changed the letter height requirement from 12.7 mm (0.50 inch) to 6.35

mm (0.25 inch) which was consistent with the comments from Chrysler and

Structural Composite Industries. The agency stated in that rulemaking

that it would be inappropriate to reduce the letter height even more

because the lettering would be too small to be visible at various

locations on CNG vehicles. The agency notes that these issues have

already been addressed in both the July 24, 1995 final rule and in the

November 24, 1995 final rule. Since PST did not provide any new

information on label content or the letter height requirement to

justify a change, NHTSA is not making any change.

NHTSA notes that today's amendment of Standard No. 304 with respect

to the labeling requirement render moot Lincoln's concerns about the

added costs associated with an annual inspection interval.

III. Rulemaking Analyses and Notices

A. Executive Order 12866 (Federal Regulation) and DOT Regulatory

Policies and Procedures

NHTSA has considered the impact of this rulemaking action under

Executive Order 12866 and the Department of Transportation's regulatory

policies and procedures. This rulemaking document was not reviewed

under E.O. 12866, ``Regulatory Planning and Review.'' Further, this

action has been determined to be ``nonsignificant'' under the

Department of Transportation's regulatory policies and procedures. The

agency has not prepared a Final Regulatory Evaluation (FRE) because the

impacts of these amendments are so minimal as not to warrant

preparation of a full regulatory evaluation. The amendments made in

today's final rule are requirements related to the labeling of CNG

vehicles and containers, and as such do not result in significant

increases in cost. In the FRE for Standard No. 304, the agency stated

``The consumer cost for a label on each CNG fuel container certifying

that the container meets the proposed equipment requirements is

estimated to be in the range of $0.06 to $0.11 per label. This includes

the cost of the label plus labor costs for attachment.'' The changes

made by this final rule do not change that estimate.

B. Regulatory Flexibility Act

NHTSA has also considered the effects of this rulemaking action

under the Regulatory Flexibility Act. Based upon the agency's

evaluation, I certify that this rule will not have a significant

economic impact on a substantial number of small entities. As noted

above, the amendments will result in only a very nominal cost increase

resulting from adding the additional labeling information. Further,

information available to the agency indicates that businesses

manufacturing CNG fuel containers are not small businesses.

C. Executive Order 12612 (Federalism)

NHTSA has analyzed this rulemaking action in accordance with the

principles and criteria contained in Executive Order 12612. NHTSA has

determined that the rule will not have sufficient Federalism

implications to warrant the preparation of a Federalism Assessment.

D. National Environmental Policy Act

In accordance with the National Environmental Policy Act of 1969,

NHTSA has considered the environmental impacts of this rule. The agency

has determined that this rule will have no adverse impact on the

quality of the human environment.

E. Civil Justice Reform

This rulemaking does not have any retroactive effect. Under 49

U.S.C. 30103, whenever a Federal motor vehicle safety standard is in

effect, a State may not adopt or maintain a safety standard applicable

to the same aspect of performance which is not identical to the Federal

standard, except to the extent that the State requirement imposes a

higher level of performance and applies only to vehicles procured for

the State's use. 49 U.S.C. 30161 sets forth a procedure for judicial

review of final rules establishing, amending or revoking Federal motor

vehicle safety standards. That section does not require submission of a

petition for reconsideration or other administrative proceedings before

parties may file suit in court.

List of Subjects in 49 CFR Part 571

Imports, Motor vehicle safety, Motor vehicles, Rubber and rubber

products, Tires.

In consideration of the foregoing, the agency is amending Standard

No. 304; Compressed Natural Gas Fuel Container Integrity, part 571 at

Title 49 of the Code of Federal Regulations as follows:

PART 571--[AMENDED]

1. The authority citation for Part 571 continues to read as

follows:

Authority: 49 U.S.C. 322, 30111, 30115, 30117 and 30166;

delegation of authority at 49 CFR 1.50.

[[Page 47089]]

2. Section 571.304 is amended by revising S7.4(g) to read as

follows:

Sec. 571.304 Standard No. 304, Compressed Natural Gas Fuel Container

Integrity.

* * * * *

S7.4 * * *

(g) The statement: ``This container should be visually inspected

after a motor vehicle accident or fire and at least every 36 months or

36,000 miles, whichever comes first, for damage and deterioration.

* * * * *

Issued on: August 30, 1996.

Donald C. Bischoff,

Executive Director.

[FR Doc. 96-22762 Filed 9-5-96; 8:45 am]

BILLING CODE 4910-59-P