Canadian Energy Regulator Processing Plant Regulations (SOR/2003-39)

Interpretation

1 The definitions in this section apply in these Regulations.

abandon

abandon means to permanently cease operation such that the cessation results in the discontinuance of service. (cessation d’exploitation)

Act

Act means the Canadian Energy Regulator Act. (Loi)

Commission

Commission means the Commission referred to in subsection 26(1) of the Act. (Commission)

construction

construction includes clearing or grading. (construction)

deactivate

deactivate means to remove temporarily from service. (désactivation)

decommission

decommission means to permanently cease operation such that the cessation does not result in the discontinuance of service. (désaffectation)

environment

environment means the components of the Earth and includes

• (a) air, land and water;

• (b) all layers of the atmosphere;

• (c) all organic and inorganic matter and living organisms; and

• (d) the interacting natural systems that include components referred to in paragraphs (a) to (c). (environnement)

incident

incident means an occurrence that results or could result in a significant adverse effect on property, the environment or the safety of persons. (incident)

operate

operate includes repair, maintain, deactivate, reactivate and decommission. (exploitation)

pressure piping

pressure piping means an assembly of pipes, pipe fittings, valves, safety devices, pumps, compressors and other equipment that is designed for the transport of fluids and is connected to a boiler or pressure vessel. (tuyauterie sous pression)

pressure vessel

pressure vessel means a vessel that is designed for the containment of fluids at internal gauge pressures of more than 103 kPa, has an internal volume of more than 42.5 L and has an internal diameter of more than

• (a) 152 mm, if it is not in water service; or

• (b) 610 mm, if it is in water service. (appareil sous pression)

processing plant

processing plant means a plant used for the processing, extraction or conversion of fluids and all structures located within the boundaries of the plant, including compressors and other structures integral to the transportation of fluids. (usine de traitement)

release

release includes discharge, spray, spill, leak, seep, pour, emit, dump and exhaust. (rejet)

Application

• 2 (1) These Regulations apply in respect of hydrocarbon processing plants that fall within the definition of “pipeline” in section 2 of the Act.

• (2) These Regulations do not apply in respect of

  • (a) well-site facilities; or

  • (b) field facilities.

3 The duties imposed on a company under these Regulations are duties in respect of a processing plant that is designed, constructed, operated or abandoned by the company.

PART 1General

• 4 (1) A company shall ensure that its processing plant is designed, constructed, operated or abandoned in accordance with the provisions of

  • (a) these Regulations; and

  • (b) the Canada Occupational Health and Safety Regulations.

• (2) If there is an inconsistency between these Regulations and the Canada Occupational Health and Safety Regulations, the latter Regulations prevail to the extent of that inconsistency.

5 A company shall ensure that its processing plant is designed, constructed, operated or abandoned in accordance with the designs, specifications, programs, manuals, procedures, measures and plans developed and implemented by the company in accordance with these Regulations.

6 If a company is required by these Regulations to develop a design, specification, program, manual, procedure, measure or plan, the Commission may order amendments to it if they are necessary for safety or environmental reasons or in the public interest.

7 The Commission may order a company to submit to the Commission within a specified period a design, specification, program, manual, procedure, measure, plan or document if

• (a) the company makes an application to the Commission under Part 3 or 6 of the Act; or

• (b) the Commission receives any information that the design, construction, operation or abandonment of the company’s processing plant, or a part of it, is or may cause

  • (i) a detriment to property or to the environment; or

  • (ii) a hazard to the safety of persons.

8 [Repealed, SOR/2013-17, s. 4]

• 9 (1) A company shall develop a program for the design, construction, operation and abandonment of pressure vessels and pressure piping at its processing plant and shall submit the program to the Regulator prior to implementation.

• (2) [Repealed, SOR/2013-17, s. 5]

10 A company shall develop, implement and maintain quality control and quality assurance programs in respect of the design, construction, operation and abandonment of its processing plant.

11 A company shall conduct a risk analysis to determine the spatial separation of sources of ignition from any possible source of flammable vapours.

12 A company shall ensure that its employees at its processing plant have the knowledge and training appropriate to the tasks to which they are assigned.

13 A company shall develop and implement a safety program to anticipate, prevent, manage and mitigate potentially dangerous conditions and exposure to those conditions during all construction, operations and emergency activities.

14 A company shall develop and implement an environmental protection program to anticipate, prevent, manage and mitigate conditions that have a potential to affect the environment significantly and adversely.

• 15 (1) If a company contracts for the provision of services in respect of the construction, operation or abandonment of its processing plant, the company shall

  • (a) inform the contractor of all conditions or features that are special to the construction, operation or abandonment;

  • (b) inform the contractor of all special safety practices and procedures to be followed as a result of those conditions or features;

  • (c) take all reasonable steps to ensure that the construction, operation or abandonment activities are conducted in accordance with the manuals developed under sections 27 and 30; and

  • (d) authorize a person to halt a construction, operation or abandonment activity in circumstances where, in the person’s judgment, the construction, operation or abandonment activity is not being conducted in accordance with the manuals developed under sections 27 and 30 or is creating a hazard to the safety of anyone at the construction, operation or abandonment site.

• (2) The company shall ensure that the person it authorizes under paragraph (1)(d) has sufficient expertise, knowledge and training to carry out competently the obligations set out in that paragraph.

PART 2Design

16 A company shall develop, implement and maintain detailed designs of its processing plant.

17 A company shall ensure that its processing plant is equipped with a source of emergency power.

18 A company shall ensure that each tank, bullet, sphere or other container that contains any fluid, other than fresh water, is designed, constructed and maintained to restrict and contain fluids and to minimize the risk to the safety of persons and to the environment in the event of an unintentional release.

19 A company shall ensure that equipment that has a source of ignition with which gas at explosive levels may come into contact is not located in the same building as any process vessel or other source of flammable vapour, unless

• (a) air intake flues are located outside the building in an area where gas is unlikely to be present;

• (b) relief valves, burst plates and other sources of flammable fluids are vented from the building or discharged to a flare header, or other location that is environmentally safe;

• (c) a specific risk analysis is conducted to determine what active, reactive or passive safety devices should be installed on that equipment and the company installs those devices; and

• (d) the building is cross-ventilated.

20 A company shall ensure that all process vessels and equipment from which any flammable fluid or toxic substance may be released are safely vented to a flare header or to other locations where the protection of the environment and the safety of persons are maintained.

21 A company shall ensure that all flare headers are equipped with a means by which the flame from the flare header is prevented from entering into piping or a vessel from which the flammable vapour is being released.

22 A company shall ensure that hydrocarbon storage vessels or buildings used for the processing of hydrocarbons are equipped with reliable fire suppression systems appropriate to the risk that the vessels or buildings pose to the safety of persons or to the environment if the vessels or buildings catch fire or come into contact with fire.

23 A company shall equip its processing plant with systems that are appropriate to its buildings or structures and that are designed for the detection of

• (a) explosive and flammable gases;

• (b) toxic or noxious gases; and

• (c) fire, the products of combustion or temperature rise.

24 A company shall equip its processing plant with alarm devices that are

• (a) located where they can be heard or seen from all locations within the plant; and

• (b) designed in a manner that will allow a timely warning of danger to be given to persons in the plant or in the vicinity of the plant in order to permit safe evacuation or actions to control the danger.

25 A company shall ensure that all pressure-relief piping and systems are designed and constructed so that an emergency pressure release does not create a detriment to property or to the environment or a hazard to the safety of persons.

PART 3Construction

26 A company shall, during the construction of its processing plant, take all reasonable steps to ensure that

• (a) the construction activities at its processing plant do not create a detriment to property or to the environment or a hazard to the safety of persons that is greater than the detriment or hazard normally associated with identical activities carried on elsewhere in Canada;

• (b) persons at the construction site are informed of the practices and procedures that are to be followed for their safety and for the protection of the environment; and

• (c) persons on the work site are made fully aware of any escalation of risk when, during the final phases of construction, equipment testing and acceptance procedures begin at the processing plant.

• 27 (1) A company shall develop and implement a construction safety manual and shall submit it to the Regulator within the time specified by the Regulator.

• (2) A company shall keep a copy of the construction safety manual or the relevant parts of it at its processing plant, in a location where it is readily accessible to every person engaged in construction at the plant.

PART 4Testing and Examination

• 28 (1) A company shall ensure that each pressure test conducted at its processing plant is performed under its direct supervision or the direct supervision of its agent or mandatary.

• (2) A company shall ensure that the agent or mandatary referred to in subsection (1) is independent of any contractor that conducts the pressure test or any contractor that participated in the fabrication of the work to be tested.

• (3) The company, or the agent or mandatary who supervised the test, shall prepare, date and sign a record of the test.

• 29 (1) A company shall develop and implement a program for the non-destructive examination of welded joints for the purpose of determining their suitability and shall ensure that the program meets the requirements of this section.

• (2) Subject to subsection (3), the program shall include a requirement for the mandatory non-destructive examination of the entire weld volume of all piping welds.

• (3) The program may allow for examination of fewer than all piping welds provided that the program is based on a documented risk analysis.

• (4) If a company proposes to implement a program referred to in subsection (3) or a modification to that program, the company shall submit the program or modification and the risk analysis on which the program or modification is based to the Regulator prior to implementation.

• (5) Visual examination alone is not an accepted form of non-destructive examination for the purposes of this section.

PART 5Operation

• 30 (1) A company shall

  • (a) develop, implement and regularly review and update operations manuals that provide information and procedures to promote safety and environmental protection in the operation of its processing plant,

  • (b) keep a current copy of the operations manuals or the relevant parts of them at its processing plant, in a location where they are readily accessible to every person engaged in operations at the plant.

• (2) A company shall ensure that the operations manuals contain safe-work procedures for all tasks that present risks to the safety of persons or that may be detrimental to the environment.