Ammonium Nitrate

Ammonium Nitrate

Ammonium Nitrate Control Guide

These Notes are for guidance only. They represent a brief summary of existing knowledge at the time of their preparation, and are not complete. They are provided as general information only and do not take into account your particular circumstances.

Up to date and more detailed information should be sought from the relevant State authority.

Summary

Security Sensitive Ammonium Nitrate, in particular Calcium Ammonium Nitrate, will result in more rigorous control of these fertilizers in terms of purchase, transparent and storage. Below is a guidance note produced by Incitec Pivot outlining the controls required by farmers over the next 6 months to meet the new government requirements.

This issue has been brought about by the use of ammonium nitrate as explosive and threat to national security.

SSAN Storage and Transport Notes

Legislation is to be enacted over the coming months controlling the sale and use of security sensitive ammonium nitrate based fertilisers. The date of commencement will vary from state to state, but all are expected to have the licensing system in place by autumn 2005. The legislation will ensure that only people with a legitimate need will be permitted to purchase and use these products. They will also ensure persons of security concern can not purchase security sensitive fertilisers, and that they are stored, handled and transported safely and securely.

These Notes are for guidance only. They represent a brief summary of existing knowledge at the time of their preparation, and are not complete. They are provided as general information only and do not take into account your particular circumstances. Up to date and more detailed information should be sought from the relevant State authority.

What is SSAN?

SSAN stands for Security Sensitive Ammonium Nitrate.

Any product that contains more than 45% ammonium nitrate, excluding solutions, is classified as SSAN. Class 1 explosives are also excluded, as they are already regulated by other legislation.

Which Incitec Pivot Products are classified as SSAN?

Cal-Am, which contains approximately 80% ammonium nitrate, is an SSAN product. So too are a number of blends that contain either Nitram or Cal-Am. These are:

N-Sure (Ammonium Sulfate Nitrate) in not an SSAN product, as it contains less than the critical figure of 45% ammonium nitrate.

EASY N (UAN) is not a SSAN product as it is a solution.

Are other solid fertilisers likely to be subject to similar security controls?

A small number of other fertilisers may be considered for tighter government control.

However, there are unlikely to be any decisions made for some time on which fertilisers, if any, need to be controlled and if so, whether they should be subject to the same degree of control as SSAN products. In due course the Commonwealth and state and territory governments will undertake consultation with industry groups and stakeholders in relation to these other fertilisers.

Will there be a minimum quantity below which the legislation will not apply?

No. The proposed regulations will apply to SSAN in any quantity.

Who needs to be licensed to handle SSAN?

Any person who is responsible for, or involved in the unsupervised transport, storage, handling or application of SSAN must be licensed.

These people will need to be authorised under licence to have unsupervised access to SSAN and will require a:

• police check, and a
• motivated violence (PMV) check.

If businesses arrange their storage and handling procedures so that only one or two people have unsupervised access to SSAN, then only these people will need to undertake the above checking to become ‘authorised’. Other workers requiring access to SSAN can be under the supervision of these authorised persons and will not require checks. SSAN must not be supplied to anyone who is not licensed to receive it.

What is a Security Plan?

SSAN must be kept secure from:

• theft,
• unexplained loss,
• sabotage,
• unauthorised access.

To obtain a licence to transport or store SSAN, a security plan must be submitted to the regulatory authority for approval. The licence to store may also authorise the purchase and sale of SSAN, or use, depending on the nature of the business.

A security risk assessment is a necessary preamble to developing a security plan. This assessment will describe existing security measures and examine the level and type of security risks to your particular business. You should consider whether current security arrangements leave the SSAN vulnerable to theft or sabotage, and consider security improvements appropriate to manage the assessed risk.

The Security Plan will provide information to the regulatory authority about how security requirements will be met. It will have three main elements:

• personnel management;
• site security; and
• procedures.

What are the Minimum Security Requirements for Storage of SSAN?

These will vary with the location and risk. As a guide, minimal requirements are:

• SSAN must be stored in a locked facility/container or be under constant surveillance;
• Bulk Bags or Intermediate Bulk Containers (IBCs) may be stored in the open provided that:

The IBCs are sealed so that theft of product is easily detectable; and - A security fence is in place that as a minimum meets the Australian Standard AS 1725.

The chain wire fence must be at least 2.45 metres high, be galvanised or plastic coated with both selvedges twisted and barbed, and capped with three rows of barbed wire at 150mm spacings. IBCs should not be stored within 3 metres of the fence.

• There must be procedures for controlling access to the storage place;
• There must be procedures for checking and authorising persons with unsupervised access to SSAN, including:
  • designating a responsible person to maintain the security plan,
  • training of staff on the security plan procedures,
  • ensuring people with unsupervised access to SSAN have had police and security checks;
• Record keeping to reconcile incoming and outgoing quantities of SSAN and to ensure that SSAN is obtained from a licensed person and removed by an authorised person; and
• Procedures for reporting to authorities any loss, theft, attempted theft or any other security incident involving SSAN.

What are the Minimum Security Requirements for Transport of SSAN?

The minimum security requirements for transport of SSAN are:

• Designating a responsible person to maintain the security plan. In the case of a company or other entity, training, audits and ongoing maintenance of the plan must be confirmed regularly by the owners and senior officers;
• Procedures for checking and authorising drivers;
• Ensuring that SSAN is secure for the duration of the entire journey. As a minimum, SSAN must be transported in a locked or sealed container or vessel or be under constant surveillance by an authorised driver or crew member.
• The carrier must ensure that any site used for loading or temporarily storing SSAN during the loading or transport process is secure. A secure location is one that is identified in the Security Plan and includes an area that has, as a minimum, a security fence around it, lockable gates and access controls.
• Procedures for reporting to authorities any loss, theft, attempted theft or any other security incident involving SSAN.

When will the legislation take effect?

The States have either enacted or are presently planning to enact the necessary legislation, and will implement it over the coming months. Once this is done, applicants will be able to apply for a license.

There will be a transition period for people to obtain a licence and introduce the necessary security measures. At the end of this transition period, which is likely to be June 2005 in most states, the legislation will be strictly applied. In short no licence, no supply. As it may take several months for the necessary approvals and security checks, license applications should be made sooner rather than later.

What interim security measures should be taken?

SSAN products should be stored and transported in as secure a way as possible.

Agents and Dealers should:

• Know their customers, and only supply SSAN to those for whom full address and contact details are recorded.
• Ask new customers to open an account, and ask for and record photo identification details, e.g. drivers licence.
• For all transactions, record the date, total quantity, number and size of bags, and anticipated use. SSAN should only be supplied if you are satisfied that it is for genuine agricultural use. If you are not sure, you can refuse a sale.

The following signs may indicate a suspicious buyer:

• New customer.
• Not from the local area.
• Does not want product delivered.
• Insists on paying cash.
• Will not supply adequate identification.
• Is nervous or impatient.
• Has little knowledge of fertilisers or agriculture, e.g.
  • Vague about the quantity required
  • Vague about use.
  • Purchasing out of season.
  • Not interested in alternatives, and insists on SSAN.

Farmers should be on the lookout for suspicious behaviour and circumstances.

Suspicious incidents or purchase attempts can be reported on the 24 hour National Security Hotline (1800 123 400).

Which State Departments will be responsible for Licensing?

The States will administer licensing arrangements and different Departments may be involved. The intent of the legislation, however, will be the same, so that there will be a uniform national approach. The state and territory agencies administering the licensing system, with expected start dates, are listed below.

QLD: 1 November 2004

Chief Inspector of Explosives
Department of Natural Resources and Mines;
Phone 32371386
Fax. 32354395|
Email explosives@nrm.qld.gov.au
Website www.nrm.qld.gov.au/mines/explosives

Incitec Pivot Limited
PO Box 1322L
MelbourneVic 3001
Phone 03 8695 4400
www.incitecpivot.com.au