Administrative Monetary Penalties Regulations (National Energy Board) (SOR/2013-138)

Regulations are current to 2017-11-20 and last amended on 2016-06-19. Previous Versions

Administrative Monetary Penalties Regulations (National Energy Board)

SOR/2013-138

NATIONAL ENERGY BOARD ACT

Registration 2013-06-18

Administrative Monetary Penalties Regulations (National Energy Board)

P.C. 2013-825 2013-06-18

The National Energy Board, pursuant to section 134Footnote a of the National Energy Board ActFootnote b, makes the annexed Administrative Monetary Penalties Regulations (National Energy Board).

Calgary, May 17, 2013

SHERI YOUNG
Secretary of the National Energy Board

His Excellency the Governor General in Council, on the recommendation of the Minister of Natural Resources, pursuant to section 134Footnote a of the National Energy Board ActFootnote b, approves the annexed Administrative Monetary Penalties Regulations (National Energy Board), made by the National Energy Board on May 17, 2013.

Interpretation

Definition of Act

 In these Regulations, Act means the National Energy Board Act.

Designated Provisions

Marginal note:Provisions of the Act or regulations
  •  (1) The contravention of a provision of the Act or any of its regulations that is set out in column 1 of Schedule 1 is designated as a violation that may be proceeded with in accordance with sections 134 to 154 of the Act.

  • Marginal note:Orders and decisions

    (2) The contravention of any order or decision made under the Act is designated as a violation that may be proceeded with in accordance with sections 134 to 154 of the Act.

  • Marginal note:Terms and conditions

    (3) The failure to comply with any term or condition of any certificate, licence, permit, leave or exemption that is granted under the Act is designated as a violation that may be proceeded with in accordance with sections 134 to 154 of the Act.

  • Marginal note:Discrepancy

    (4) In the event of a discrepancy between the short-form descriptions in Schedule 1 and the provision to which it pertains, the provision prevails.

Classification

Marginal note:Provisions
  •  (1) The violation of a provision that is set out in column 1 of Schedule 1 is classified as a Type A or Type B violation as set out in column 3 of that Schedule.

  • Marginal note:Orders, decisions, terms or conditions

    (2) The contravention of an order or decision referred to in subsection 2(2) or the failure to comply with a term or condition referred to in subsection 2(3) is a Type B violation.

Penalties

Marginal note:Penalty
  •  (1) The penalty for a violation is the amount set out in column 2 or 3 of Schedule 2 that corresponds to the type of violation, the total gravity value set out in column 1 and whether the violation was committed by an individual or a person other than an individual.

  • Marginal note:Determination of final gravity level

    (2) The total gravity value in respect of a violation is to be established by considering each of the criteria in column 1 of the table to this section, by ascribing to each criterion an appropriate gravity value, having regard to the circumstances of the violation, from those set out in column 2 and by adding the values obtained.

    Table

    ItemColumn 1Column 2
    CriteriaEffect on Gravity Value
    1Whether the person who committed the violation has other violations in the previous 7 years0 to +2
    2Whether the person derived any competitive or economic benefit from the violation0 to +2
    3Whether the person made reasonable efforts to mitigate or reverse the violation’s effects–2 to +2
    4Whether there was negligence on the part of the person who committed the violation0 to +2
    5Whether the person provided all reasonable assistance to the Board with respect to the violation–2 to +2
    6Whether the person, after becoming aware of the violation, promptly reported the violation to the Board–2 to +2
    7Whether the person has taken any steps to prevent recurrence of the violation–2 to +2
    8For type B violations, whether the violation was primarily a reporting or record-keeping requirement failure–2 to 0
    9Whether there are any other aggravating factors in relation to the risk of harm to people or the environment0 to +3

Service of Documents

Marginal note:Manner of service
  •  (1) The service of a document required or authorized under section 139, 144 or 147 of the Act is to be made by

    • (a) in the case of an individual,

      • (i) leaving a copy of it with the individual,

      • (ii) leaving a copy of it with someone who appears to be an adult member of the same household at the individual’s last known address or usual place of residence, or

      • (iii) sending a copy of it by registered mail, courier, fax or other electronic means to the individual’s last known address or usual place of residence; and

    • (b) in the case of a person other than an individual,

      • (i) leaving a copy of it at the person’s head office or place of business with an officer or other individual who appears to manage or be in control of the head office or place of business,

      • (ii) sending a copy of it by registered mail, courier or fax to the person’s head office or place of business, or

      • (iii) sending a copy of it by electronic means other than by fax to any individual referred to in subparagraph (i).

  • Marginal note:Deemed service

    (2) A document — other than a document that is personally served — is considered to be served

    • (a) in the case of a copy that is left with an adult referred to in subparagraph (1)(a)(ii), on the day on which the document is left with the adult;

    • (b) in the case of a copy that is sent by registered mail or courier, on the tenth day after the date indicated in the receipt issued by the postal or courier service; and

    • (c) in the case of a copy sent by fax or other electronic means, on the day on which it is transmitted.

Coming into Force

Marginal note:S.C. 2012, c. 19

Footnote * These Regulations come into force on the day on which section 98 of the Jobs, Growth and Long-term Prosperity Act comes into force, but if they are registered after that day, they come into force on the day on which they are registered.

SCHEDULE 1(Subsections 2(1) and (4) and subsection 3(1))Violations

PART 1

National Energy Board Act

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
129(1)Construction or operation of a pipeline by a person other than a companyType B
230(1)Operation of a pipeline without a certificate and leave to openType B
331(a)Construction of a pipeline without a certificateType B
431(c)Construction of a pipeline without an approved plan, profile and book of referenceType B
545(1)Failure to submit for approval a plan, profile and book of referenceType B
647(1)Opening a pipeline or section of pipeline for transmission without leaveType B
751Failure to provide assistanceType B
858.1Construction or operation of an international power line without a permit or certificateType B
958.26(a)Construction of an international or interprovincial power line without approval of a plan, profile and book of referenceType B
1058.29(1)Construction or operation of an interprovincial or international power line without leaveType B
1158.31(1)Construction of a facility or excavation without leaveType B
1258.31(2)Failure to obtain required leaveType B
1358.34(1)Abandonment of a designated international power line or interprovincial power line without leaveType B
1474(1)Failure to obtain required leaveType B
1575Failure to do as little damage as possible in exercising the powers granted and to compensate for damageType B
1681(1)Failure to obtain required leaveType B
17108(1)Construction of a pipeline without certificate or orderType B
18109Construction or operation of a pipeline without a certificate or orderType B
19112(1)Unauthorized construction of a facility or engaging in an unauthorized activity that causes a ground disturbance in a prescribed areaType B
20112(2)Operation of a vehicle or mobile equipment across a pipeline in contravention of subsection 112(2) of the ActType B

PART 2

National Energy Board Onshore Pipeline Regulations

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
14Failure to ensure that a pipeline is designed, constructed, operated or abandoned as prescribedType B
25.1(1)Failure to submit prescribed documents for approvalType B
36Failure to design, construct, operate or abandon as prescribedType B
46.1Failure to establish, implement and maintain a management system as prescribedType B
56.2(1)Failure to appoint an accountable officer and to ensure that the management system is established, implemented and maintained as prescribedType B
66.2(2)Failure to notify the Board as prescribedType A
76.2(3)Failure to ensure that the accountable officer has authority as prescribedType B
86.3(1)Failure to establish policies and goals as prescribedType B
96.3(2)Failure to base the management system on established policies and goals as prescribedType B
106.3(3)Failure of the accountable officer to prepare and communicate a policy statement as prescribedType B
116.4Failure to have an organizational structure as prescribedType B
126.5Failure to establish, develop, implement, maintain and document processes as prescribedType B
136.6Failure to complete an annual report and submit a statement as prescribedType B
149Failure to develop detailed designs of a pipeline, and to submit them when requiredType B
1510(1)Failure to develop a documented risk assessment as prescribedType B
1610(2)Failure to submit a documented risk assessment to the Board when required to do soType A
1711Failure to design and equip a station as prescribedType B
1812Failure to equip a compressor station or pump station with an alternate source of power as prescribedType B
1913Failure to locate, service or design a storage facility as prescribedType B
2014Failure to develop prescribed specifications, and to submit them to the Board when requiredType B
2115Failure to develop a quality assurance program as prescribedType B
2216Failure to develop a joining program as prescribed, and to submit it to the Board when requiredType B
2317Failure to examine each joint as prescribedType B
2418Failure to contract for services as prescribedType B
2519(a)Failure to ensure that the construction activities do not create a hazard to the public or the environmentType B
2619(b)Failure to inform persons of safety practices and procedures as prescribedType B
2720(1)Failure to develop a construction safety manual and to submit it to the BoardType B
2820(1.1)Failure to set out responsibilities as prescribedType B
2920(2)Failure to keep a copy of the construction safety manual or relevant parts of it as prescribedType B
3021Failure to restore the right-of-way and temporary work areas of a pipeline as prescribedType B
3122Failure to ensure that there is no undue interference with the use of a utility or private road during the construction of a pipelineType B
3223Failure to develop a pressure testing program as prescribed, and to submit it to the Board when requiredType B
3324Conducting a pressure test without required permitsType B
3425Failure to perform pressure testing as prescribedType B
3526Failure to minimize the number of welds that are not pressure-tested as prescribedType B
3627Failure to develop, regularly review and update as required operation and maintenance manuals as prescribed and to submit them to the Board when requiredType B
3728Failure to inform persons of practices and procedures and to make available to them the relevant portion of operation and maintenance manuals as prescribedType B
3829Failure to contract for services as prescribedType B
3930(a)Failure to take reasonable steps to ensure that maintenance activities do not create a hazard to the public or the environmentType B
4030(b)Failure to take reasonable steps to inform persons of safety and environmental protection practices and procedures as prescribedType B
4131(1)Failure to develop a maintenance safety manual and to submit it to the Board when requiredType B
4231(1.1)Failure to set out responsibilities as prescribedType B
4331(2)Failure to keep a copy of the maintenance safety manual or the relevant parts of it as prescribedType B
4432(1)Failure to develop, implement and maintain an emergency management program as prescribedType B
4532(1.1)Failure to develop, regularly review and update an emergency procedures manualType B
4632(2)Failure to submit to the Board the emergency procedures manual and any updatesType A
4733Failure to establish and maintain liaison as prescribed, and failure to consult as prescribedType B
4834Failure to inform persons who may be associated with an emergency response activity as prescribedType B
4935Failure to develop a continuing education program as prescribedType B
5036(a)Failure to maintain communication facilities as prescribedType B
5136(b)Failure to periodically test instruments and equipment as prescribedType B
5236(c)Failure to continually record as prescribedType B
5336(d)Failure to clearly mark valves as prescribedType B
5436(e)Failure to clearly mark valves as prescribedType B
5536(f)Failure to post signage as prescribedType B
5637Failure to develop and implement a pipeline control system as prescribedType B
5738(1)Performing welding on a liquid-filled pipeline other than as prescribedType B
5838(2)Failure to treat weld as a temporary installation and replace that installation with a permanent one as soon as is practicableType B
5938(3)Failure to submit specifications, procedures and results for approval as prescribedType B
6039Failure to develop a surveillance and monitoring program as prescribedType B
6140Failure to develop, implement and maintain an integrity management program as prescribedType B
6241(1)Failure to document the particulars of a defect on a pipeline as prescribedType B
6341(2)Failure to submit the documentation in 41(1) when requiredType A
6442Failure to submit a proposed plan as prescribedType B
6543Failure to submit an application for a change or increase as prescribedType B
6644Failure to submit an application for proposed deactivation as prescribedType B
6745Failure to submit an application for reactivation as prescribedType B
6845.1Failure to submit an application for decommissioning as prescribedType B
6946Failure to develop and implement a training program as prescribedType B
7047Failure to develop, implement and maintain a safety management program as prescribedType B
7147.1Failure to develop, implement and maintain a security management program as prescribedType B
71.147.2Failure to develop, implement and maintain a damage prevention program as prescribedType B
7248Failure to develop, implement and maintain an environmental protection program as prescribedType B
7351(a)Failure to notify as prescribedType A
7451(b)Failure to submit to the Board on request a crossing report as prescribedType A
7552(1)Failure to notify and submit a report to the Board as prescribedType A
7653(1)Failure to conduct inspections and audits as prescribedType B
7753(2)Failure to document the audit as prescribedType B
7854(1)Failure to inspect the construction of a pipeline as prescribedType B
7954(2)Performance of an inspection by a person who does not have sufficient expertise, knowledge and training to competently carry out the inspectionType B
8055Failure to conduct and document audits as prescribedType B
8156Failure to retain records as prescribedType A

PART 3

National Energy Board Processing Plant Regulations

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
14(1)Failure to ensure that the company’s processing plant is designed, constructed, operated or abandoned as prescribedType B
25Failure to ensure that the company’s processing plant is designed, constructed, operated or abandoned as prescribedType B
39Failure to develop and submit to the Board the prescribed programType B
410Failure to develop, implement and maintain quality control and quality assurance programs as prescribedType B
511Failure to conduct a risk analysis as prescribedType B
612Failure to ensure that employees have required knowledge and trainingType B
713Failure to develop and implement a safety program as prescribedType B
814Failure to develop and implement an environmental protection program as prescribedType B
915Failure to contract for services as prescribedType B
1016Failure to develop, implement and maintain detailed designs of its processing plantType B
1117Failure to ensure that a processing plant is equipped with an emergency power sourceType B
1218Failure to ensure that each tank, bullet, sphere or other container is designed, constructed and maintained as prescribedType B
1319Failure to ensure that process equipment and flammable vapour sources are separated as prescribedType B
1420Failure to ensure that process vessels and equipment are vented as prescribedType B
1521Failure to equip all flare headers as prescribedType B
1622Failure to ensure reliable fire suppression systems as prescribedType B
1723Failure to equip a processing plant with systems as prescribedType B
1824Failure to equip a processing plant with alarm devices as prescribedType B
1925Failure to ensure that all pressure-relief piping and systems are designed and constructed as prescribedType B
2026(a)Failure to ensure construction does not create a detriment or hazard as prescribedType B
2126(b)Failure to inform persons at the construction site as prescribedType B
2226(c)Failure to inform persons on the work site as prescribedType B
2327(1)Failure to develop, implement and submit a construction safety manualType B
2427(2)Failure to keep a copy of the construction safety manual at the processing plant as prescribedType B
2528(1)Failure to ensure direct supervision of pressure tests as prescribedType B
2628(2)Failure to ensure the independence of the test supervisor as prescribedType B
2728(3)Failure to date and sign recordsType B
2829Failure of the company to develop and implement a non-destructive weld examination program as prescribedType B
2930(1)(a)Failure to develop, implement, regularly review and update operations manuals as prescribedType B
3030(1)(b)Failure to keep a copy of the operations manuals as prescribedType B
3130(2)Failure to ensure that the operations manuals contain the prescribed proceduresType B
3231(2)Failure to develop and implement a safe-work permit system as prescribedType B
3332Failure to ensure that a processing plant is staffed as prescribedType B
3433(a)Failure to ensure maintenance activities do not create a detriment or hazard as prescribedType B
3533(b)Failure to inform persons at a maintenance site as prescribedType B
3634Operation of equipment with a hazard-detection alarm or shutdown device bypassed or rendered inoperableType B
3735(a)Failure to develop, implement, regularly review and update an emergency procedures manualType B
3835(b)Failure to submit the emergency procedures manual as prescribedType A
3935(c)Failure to submit updates as prescribedType A
4036Failure to establish and maintain liaison as prescribed and failure to consult as prescribedType B
4137Failure to inform persons who may be associated with an emergency response activity as prescribedType B
4238Failure to develop and implement a continuing educational program as prescribedType B
4339(a)Failure to maintain communication facilities as prescribedType B
4439(b)Failure to retain incident data as prescribedType B
4539(c)Failure to clearly mark valves as prescribedType B
4639(d)Failure to post signage as prescribedType B
4739(e)Failure to post signage as prescribedType B
4840(a)Failure to test hazard-detection devices as prescribedType B
4940(b)Failure to document and maintain prescribed recordsType B
5041Failure to develop and implement a processing plant integrity program as prescribedType B
5142Failure to notify of plant deactivation as prescribedType A
5243.1Failure to submit an application for decommissioning as prescribedType B
5344Failure to develop and implement a training program as prescribedType B
5445Failure to ensure visitors are made familiar with the safety program as prescribedType B
5546Failure to provide immediate notice of any incident and to submit prescribed reportsType B
5647(a)Failure to notify of any hazard as prescribedType A
5747(b)Failure to provide a report as prescribedType B
5848Failure to report burning as prescribedType A
5949(1.1)Failure to notify as prescribedType A
6050Failure to prepare and keep current a report as prescribedType B
6151Failure to regularly conduct balance analysis as prescribedType B
6252(1)Failure to conduct audits and inspections as prescribedType B
6352(2)Failure to document an audit as prescribedType B
6453Failure to inspect as prescribedType B
6554Failure to annually audit the competency of all employees as prescribedType B
6655Failure to develop, implement and maintain a record retention and handling programType A

PART 4

National Energy Board Pipeline Damage Prevention Regulations — Authorizations

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
13Failure to make a locate request as prescribedType B
24Failure to inform all persons as prescribedType A
37(3)Failure to comply with any of the prescribed measures when undertaking the construction of a facilityType B
48Failure to meet any of the obligations that relate to a facilityType B
59(2)Failure to comply with any of the prescribed measures with respect to the construction of an overhead lineType B
610(3)Failure to comply with any of the prescribed measures with respect to an activity that causes a ground disturbance within the prescribed areaType B

PART 5

National Energy Board Pipeline Damage Prevention Regulations — Obligations of Pipeline Companies

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
12Failure to be a member of a one-call centre when one exists within the geographical area where the pipeline company operates its pipelineType B
23(1)Failure to inform the person that made a request within 10 working days after receiving a requestType A
34Failure to provide information and all reasonable assistance as prescribedType B
45Failure to send comments to the Board as prescribedType A
56(1)(a)Failure to inform, in writing, as prescribedType B
66(1)(b)Failure to mark location of a pipe as prescribedType B
76(1)(c)Failure to provide information as prescribedType B
87Failure to identify and notify of locations as prescribedType B
98(a)Failure to carry out inspections that are necessary as prescribedType B
108(b)Failure to inspect all exposed pipe prior to backfilling as prescribedType B
119(1)Failure to notify the facility’s owner in writing of any deterioration as prescribedType B
129(2)Failure to notify the Board in writing as prescribedType A
1310(2)Failure to notify the Board in writing of a suspension of consentType A
1411Failure to report to the Board as prescribedType A
1512Failure to keep records as prescribedType A
1613Failure to make records and all other materials available to officers of the Board and other authorized persons and give them assistance as necessary to inspect the records as prescribedType B
1714Failure to provide a list as prescribedType A
1815Failure to develop and maintain guidelines as prescribed and to make them publicType B

PART 6

Power Line Crossing Regulations

ItemColumn 1Column 2Column 3
ProvisionShort-form DescriptionClassification
13Failure to construct a facility or excavate as prescribed or failure to obtain leaveType B
24Failure to construct a power line as prescribed or failure to obtain leaveType B
  • SOR/2016-135, ss. 1 to 3.

SCHEDULE 2(Subsection 4(1))

Penalties

ItemColumn 1Column 2Column 3
Gravity LevelType A ViolationType B Violation
IndividualAny Other PersonIndividualAny Other Person
1–3 or less$250$1,000$1,000$4,000
2–2$595$2,375$4,000$16,000
3–1$990$3,750$7,000$28,000
40$1,365$5,025$10,000$40,000
51$1,740$6,300$13,000$52,000
62$2,115$7,575$16,000$64,000
73$2,490$8,850$19,000$76,000
84$2,865$10,125$22,000$88,000
95 or more$3,000$12,000$25,000$100,000

RELATED PROVISIONS

  • — SOR/2016-135, s. 4

    • 4 For the purposes of paragraph 11(2)(a) of the Statutory Instruments Act, these Regulations apply before they are published in the Canada Gazette.

Date modified: