Pipeline Financial Requirements Regulations

Marginal note:Requirements of pooled fund

• 5 (1) For the purposes of subsection 48.14(1) of the Act,

  • (a) a pooled fund must be located in Canada and must be used solely for the purpose of meeting the financial requirements imposed under the Act;

  • (b) a pooled fund must be administered by a representative of the participants that has been approved by the Board;

  • (c) the terms on which a pooled fund is to be administered, and any changes to those terms, must be approved by the Board;

  • (d) subject to paragraph (e), the minimum amount of a pooled fund that must be readily accessible is $250,000,000; and

  • (e) if the minimum amount of readily accessible financial resources falls below $250,000,000, the amount must be restored to that level within 10 business days after the day on which it falls below the minimum.

• Marginal note:Administrator of the pooled fund

  (2) The administrator of a pooled fund must

  • (a) no later than April 30 of each year, provide the Board with audited financial statements and evidence demonstrating that readily accessible financial resources in the fund have been maintained in accordance with paragraphs (1)(d) and (e);

  • (b) notify the Board within one business day after the day on which any of the following changes occurs:

    • (i) the addition of a participant to, or the withdrawal of a participant from, the fund,

    • (ii) a reduction in the amount of readily accessible financial resources in the fund, other than a reduction attributable to an interest charge, a banking fee or any other fee or expense that is related to the administration of the fund and authorized under its terms; and

  • (c) provide the Board with the telephone number, email address and mailing address of a contact person.