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Volume 53, No. 19

B.C. Reg. 281/2010

The British Columbia Gazette,

Part II

October 5, 2010

B.C. Reg. 281/2010 , deposited September 24, 2010, pursuant to the OIL AND GAS ACTIVITIES ACT [Sections 111 and 112]. Regulation of the Board of the Oil and Gas Commission, dated September 24, 2010.

The board of the Oil and Gas Commission orders that,

(

a) effective October 4, 2010, the Pipeline Regulation, B.C. Reg. 360/98, and the Sour Pipeline Regulation, B.C. Reg. 359/98, are repealed and the attached Pipeline and Liquefied Natural Gas Facility Regulation, except for

section 7 (1) (

b) and (d), is made, and

(

b) effective October 4, 2011,

section 7 (1) (

b) and (

d) of the attached Pipeline and Liquefied Natural Gas Facility Regulation is brought into force.

— R. JUNGER, Chair, Board of Directors .

PIPELINE AND LIQUEFIED NATURAL

GAS FACILITY REGULATION

Contents

Definitions

Applications for a pipeline permit

Standards

Notices and other submissions

Requirements after construction of pipeline

Pipeline crossings

Integrity management and damage prevention programs

Emergency planning zones and response plans

Deactivation

Reactivation

Obligations on cancellation or cessation of operations

Reports

Record retention

Exemptions

Definitions

(1) In this regulation:

"abandon" , in respect of a pipeline or piping, means permanently to remove from service;

"Act" means the Oil and Gas Activities Act ;

"CSA Z276" means the standard published by the Canadian Standards Association as CSA Z276, Liquefied Natural Gas-Production, Storage and Handling, as amended from time to time;

"CSA Z662" means the standard published by the Canadian Standards Association as CSA Z662, Oil and Gas Pipeline Systems, as amended from time to time;

"LNG facility permit" means a permit that includes permission to operate a liquid natural gas facility;

"LNG facility permit holder" means a permit holder of a LNG facility permit.

Applications for a pipeline permit

2 The following information and records must be submitted on application for a pipeline permit:

(

a) if a fluid containing hydrogen sulphide gas is to be transported in the pipeline,

(

i) the chemical analysis of the gas or fluid to be transported, and

(ii) the expected release volume, expressed at standard conditions of 15° C and 101.3 kPa, of hydrogen sulphide from the pipeline;

(

b) a map clearly showing

(

i) the proposed route of the pipeline,

(ii) if the pipeline is to be constructed on private lands, the boundaries of the land of each land owner,

(iii) surface and environmental features and structures, including stream crossings and lakes, and

(iv) the right of way of a highway, road, railway, underground communication or power line or other pipeline to be crossed or within 500 metres of the proposed pipeline.

Standards

(1) Subject to subsection (2), a pipeline permit holder must not design, construct, operate or maintain any of the following except in accordance with CSA Z662:

(

a) the pipeline that is the subject of the permit;

(

b) a pumping station or compressor station associated with the pipeline;

(

c) an oil storage tank associated with the pipeline.

(2) A pipeline permit holder who constructs a pipeline under agricultural land must ensure the pipeline has a minimum cover of 0.8 metres.

(3) A LNG facility permit holder must not design, construct, operate or maintain a liquefied natural gas facility except in accordance with CSA Z276, unless otherwise specified in this regulation.

Notices and other submissions

(1) A pipeline permit holder and an LNG facility permit holder must notify the commission

(

a) at least 2 days before beginning construction of a pipeline or liquid natural gas facility of its intention to begin construction,

(

b) at least 2 days before beginning a pressure test of a pipeline of its intention to begin testing, and

(

c) before beginning operation of a pipeline or liquid natural gas facility of its intention to begin operation.

(2) A pipeline permit holder must submit to the commission the pipe and component specifications and the as-built drawings for the pipeline within 3 months after completion of construction of a pipeline.

Requirements after construction of pipeline

(1) Before beginning operation of a pipeline, a pipeline permit holder must do all of the following:

(

a) test the pipeline in accordance with CSA Z662;

(

b) inspect and test all control and safety devices to ensure that the devices are in good working order;

(

c) take any other steps reasonably necessary to ensure that the pipeline is safe for use.

(2) A pipeline permit holder must restore, in accordance with subsection (3), the surface of the land disturbed by the construction of a pipeline by

(

a) removing all structures installed to facilitate construction and not required for the operation of the pipeline, and

(

b) stabilizing, contouring, conditioning or reconstructing the surface of the land to the extent reasonable in the circumstances.

(3) Restoration work under subsection (2) must be carried out

(

a) as soon as practicable, considering, without limitation, weather and ground conditions, while construction of the pipeline is underway, and,

(

b) with respect to any restoration work not completed when construction of the pipeline is completed, as soon as practicable after construction of the pipeline is completed.

Pipeline crossings

(1) If a pipeline is being or has been constructed across, along, over or under a public place or the right of way of a highway, road, railway, underground communication or power line or other pipeline, the pipeline permit holder must

(

a) take all reasonable steps so as not to endanger public safety or the environment, and

(

b) restore, to the extent reasonable in the circumstances, any infrastructure damaged or removed during the construction of the pipeline.

(2) A pipeline permit holder must give notice in accordance with subsection (3) before beginning any work of construction, maintenance or repair of a pipeline along, over or under a public place or the right of way of a highway, road, railway, underground communication or power line or other pipeline.

(3) A notice under subsection (2) must

(

a) be given to the owner of or authority responsible for the public place, highway, road, railway, underground communication line, power line or pipeline, and

(

b) subjection to subsection (4), be given at least 5 days before beginning the work, unless the pipeline permit holder and the owner or authority have agreed that the notice is to be provided by another time, in which case the notice must be provided by that other time.

(4) In the case of emergency, work referred to in subsection (1) May be begun immediately after giving notice under subsection (2).

Integrity management and damage prevention programs

(1) A pipeline permit holder must not operate a pipeline approved by the permit unless

(

a) the holder has prepared a pipeline integrity management program for the pipeline that complies with CSA Z662 and Annex N of CSA Z662,

(

b) the holder has prepared a damage prevention program for the purpose of anticipating and preventing damage to the permit holder's pipeline,

(

c) the pipeline is operated in accordance with the pipeline integrity management program and the damage prevention program,

(

d) the holder is a member of BC One Call.

(2) A pipeline permit holder, on the request of an official, must make available to the commission a copy of the pipeline integrity management program required under subsection (1) (

a) or a description of the damage prevention program required under subsection (1) (b).

Emergency planning zones and response plans

8 If fluids to be transported through a pipeline will contain hydrogen sulphide, the pipeline permit holder, before beginning operation, must

(

a) calculate an emergency planning zone,

(

b) prepare an emergency response plan respecting the zone referred to in paragraph (a),

(

c) submit the plan to the commission, and

(

d) in the case of an emergency, respond to the emergency in accordance with the plan.

Deactivation

9 If a pipeline permit holder has not transported fluids through the holder's permitted pipeline or part of a pipeline for 18 consecutive months, the pipeline permit holder must

(

a) submit a plan for resuming the transportation of fluids through the pipeline, or

(

b) deactivate the pipeline or part of the pipeline in accordance with CSA Z662 and notify the commission on completion of the deactivation.

Reactivation

(1) A pipeline permit holder of a deactivated pipeline system May reactivate the pipeline, but must do so in accordance with CSA Z662.

(2) Before reactivating a pipeline, the pipeline permit holder must

(

a) notify the commission of the intention to carry out the reactivation, and

(

b) if the permit or a permission in a permit relating to the deactivated pipeline has been suspended, request that the suspension be rescinded.

Obligations on cancellation or cessation of operations

11 The following requirements are prescribed with respect to a pipeline permit and an LNG facility permit for the purposes of

section 40 (

e) of the Act:

(

a) abandon the pipeline in accordance with CSA Z662;

(

b) do everything referred to in

section 19 (1) (

a) to (

g) of the Environmental Protection and Management Regulation.

Reports

12 A pipeline permit holder and an LNG facility permit holder must maintain records of any spillage and any damage or malfunction likely to cause spillage that could be a risk to public safety or the environment.

Record retention

13 A pipeline permit holder must comply with the record retention requirements set out in CSA Z662 and Annex N of CSA Z662 and an LNG facility permit holder must comply with the record retention requirements set out in CSA Z276.

Exemptions

14 An official May exempt a pipeline permit holder, former pipeline permit holder, LNG facility permit holder or former LNG facility permit holder from complying with one or more provisions of this regulation if the official is satisfied that, in the circumstances,

(

a) compliance with the provision or provisions is not reasonably practicable, or

(

b) the exemption is in the public interest.

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