According to Prathamesh Panchal, director of business development in the Safety Department at SGS, traditional approaches centered on individual component certification are increasingly insufficient for today’s offshore operating environments.
“Offshore hazardous location requirements are shifting from component-level compliance to system-level risk management as platforms incorporate electrification, battery systems and digitally enabled equipment,” Panchal told Offshore in a pre-OTC interview.
Historically, HazLoc compliance focused on passive protection methods such as explosion‑proof enclosures and intrinsic safety circuits applied to conventional oil and gas equipment. Today’s offshore projects, however, often include battery energy storage systems, power electronics, wireless instrumentation and software‑controlled devices operating in classified areas.
“These technologies introduce dynamic electrical, thermal and software-driven risks that are not always addressed by traditional certification approaches,” he continued.
While international and regional standards remain robust, applying them has become more complex. Certification now requires greater emphasis on system interactions, operating modes, fault scenarios and life-cycle changes, he explained, rather than relying solely on individual device certificates.
One area of concern is the growing use of sensors, cameras and other low‑power digital devices offshore. Panchal said these systems are often underestimated from a risk perspective, even though they can still present ignition hazards if not properly evaluated for the classified area.
Battery-related hazards are another emerging challenge.
“Battery systems introduce new failure modes, including thermal runaway, internal short circuits, off‑gassing and abnormal heat generation,” he said, adding that these risks are sometimes assessed using standards developed for traditional oil and gas equipment rather than energy storage technologies.
SGS also sees recurring gaps between certified design intent and real‑world installation offshore. Common issues include field modifications that invalidate certification, incorrect cable glands or conduit seals, underestimated thermal effects, and system integration blind spots when individually certified components are assembled into larger power or process systems.
“From a certification standpoint, the biggest issue we encounter in offshore energy projects is the gap between what was certified and what is installed,” Panchal said.
To reduce rework, delays and operational risk, he emphasized the importance of earlier engagement—shifting HazLoc compliance upstream into design, testing and construction phases rather than treating it as a late‑stage verification exercise.
“As offshore energy systems become more electrified and digitally integrated, HazLoc compliance is increasingly about engineering integrity across the full operating envelope, from design and installation through operations, modification and long-term maintenance,” Panchal concluded.
Offshore is an offocial media partner of the 2026 Offshore Technology Conference (OTC), taking place in Houston this week. SGS is exhibiting at OTC booth 3000.
