Compliance Verification Activity Report: CV2122-160 - Trans-Northern Pipelines Inc.

Overview

Compliance verification activity type: Field Inspection

Team:

• Inspector 2391
• Inspector 2474

Regulated company: Trans-Northern Pipelines Inc.

Operating company: Trans-Northern Pipelines Inc.

Province(s) / Territory(s):

• Ontario

Discipline(s):

• Damage Prevention

Related events:

• UX2020-015
• OM2022-036
• DPR2022-065

Rationale and scope:

Verify compliance to the requirements contained within the Onshore Pipeline Regulations (OPR) and the CER Damage Prevention Regulations - Obligations of Pipeline Companies (DPR-Obligations) with a focus on third party oversight procedures. Field inspection included document review and site inspection of active third party ground disturbance activity and right-of-way (RoW).

Compliance tool(s) used:

• Information Request (IR) (1)
• Notice of Non-compliance (NNC) (2)

Facility details

Facilities:

• Mainline
• Clarkson to Toronto Airport Loop

Facility Types

• Pipeline
• Pipeline right of way (ROW)

Life-cycle Phases

• Operations

Regulatory requirements

Regulatory requirements that apply to this activity:

• Canadian Energy Regulator Act (CERA)
• Canadian Energy Regulator Act (CERA)
• Canadian Energy Regulator Pipeline Damage Prevention Regulations – Authorizations
• Canadian Energy Regulator Pipeline Damage Prevention Regulations – Obligations of Pipeline Companies
• National Energy Board Act (NEBA)
• Onshore Pipeline Regulations (OPR)
• Standards
• CSA Z662-19 - Oil and Gas Pipeline Systems

Observations (no outstanding follow-up required)

Observation 1 - Damage Prevention Program Pre-Inspection IR

Discipline: Damage Prevention

Categories:

• Damage Prevention Program
• Manage and Mitigate

Facility:

• Mainline (Pipeline)

Observations:

In preparation for the planned field inspection and to assist with document review, the CER IOs require information pertaining to the Trans Northern Pipeline Inc. (TNPI) Damage Prevention Program as required pursuant to section 47.2 of the OPR. 

Compliance tool used: Information Request (IR)

Regulatory requirement:

• Onshore Pipeline Regulations (OPR)

Relevant section(s):

• • 47.2 A company shall develop, implement and maintain a damage prevention program that anticipates, prevents, manages and mitigates damage to its pipeline and meets the requirements set out in section 16 of the National Energy Board Pipeline Damage Prevention Regulations — Obligations of Pipeline Companies.

Company action required:

Due date: 2021-09-22

Date closed: 2022-06-09
Note: the date closed is the date that the inspector completed their review of the company corrective actions for adequacy and determined that no further actions are required.

Reason closed: Requirement met

Compliance achieved: Yes

Observation 2 - General Observations

Date & time of visit: 2022-06-01 08:00

Discipline: Damage Prevention

Categories:

• Pipeline Identification
• Signs
• Watercourses
• Locate Markings
• Ground Disturbance
• Authorization and Consent
• Facility
• Authorization and Consent

Facility:

• Mainline (Pipeline)

Observations:

1) Oversight of 3rd Party excavation for new manhole installation (MH4) and RoW observations near Credit River 

CER IOs accompanied TNPI representatives on the Credit River Crossing Worksite (West) from location of Manhole #4:

• Company started orientation and Job Safety Analysis by informing IOs about the hazards of the worksite such as heavy moving machinery and uneven ground cover.
• IOs were on site to observe work done around an existing manhole, including installation of new Manhole #4, to accommodate a highway bridge twining project led by Ellis Don and Coco Paving (joint venture) across the Credit River near Mississauga. The work that was being performed during the inspection was in the prescribed area of TNPI’s 20-inch and 10-inch jet-fuel refined products lines operating at maximum operating Pressure of 820 psi. 
• The walls on either side of the worksite access road were dug out from limestone, heading downward towards the embankment of the Credit River. IOs were informed that the walls were sprayed with cement (wire meshed) to a thickness of about 2 or 3 inches and meant to support ground on either side of a access road leading to the Credit River.
• IOs asked TNPI field representatives if the Credit River was a navigable waterway. Company responded by explaining that is was listed as “Navigable Non-Commercial”. IO observed a kayaker navigating said waterway.
• IOs observed the ROW was well-vegetated and there was no evidence of erosion.
• Company indicated that it uses “Utilocate” software to digitally track/support daily work activity such as locates and other locate specific inventory, consent forms, signature panes/tracking.
• IOs observed a piece/sampling of the 10-inch deactivated pipe laid on the edge of the access road which was filled with cement. Company field staff explained that the pipe running from the lower section of the access road down to and across the Credit River had been filled as such to accommodate the MOT/Ellis Don twinning project. 
• IOs observed excavation being done by contractor around Manhole #4. A greywater pipe was exposed during the digging process. IOs observed how company staff dealt/interacted with the contractor as the greywater pipe was closer to the existing manhole than expected and as a result the new Manhole #4 could not be installed without potential alterations of the already-approved plans.
• TNPI shared with IOs the digitalized consent process requirements/documentation for the work being performed on the pipeline right-of-way (ROW) where the 10-inch and 20-inch pipe was located.
• IOs observed how pipeline markers were only present on the west side/bank of the Credit River. Company explained that signage was installed on both side of Credit River before, but signage on the west bank had been displaced by spring ice flow. TNPI indicated that this issue had been recorded and that signage was slated to be replaced but delayed by request by Ellis Don as the area is environmentally sensitive. Signage up the slope was present but not visible due to excessive vegetation. Company explained it was in talks with Ellis Don to access environmentally sensitive area to initiate corrective action/brushing. Exact timelines for correcting signage deficiency could not be provided at the time of the inspection as the project is still ongoing and needs are to be re-evaluated at the end of the project.
• Pipeline markers were observed under the existing Credit River bridge. TNPI representatives mentioned that this was in place to identify the recently decommissioned pipeline as both the 10-inch and 20-inch pipelines had to be relocated to accommodate the bridge twinning project. 

2) Site visit of TNPI pipelines crossing the Canadian Pacific (CP) railway tracks and ROW along Haines Road in Mississauga, ON

• IOs observed ROW of residential and commercial properties where company stated that locates and consent were performed which included a Tim Horton’s Franchisee, the St John’s Dixie Cemetery, and a new construction off Cedar Creek Lane and Haines Dundas Street.  
• The pipeline and ROW in and around roadwork area had been located and marked with yellow and pink paint on the ground.
• TNPI representatives shared with IOs their public awareness best-practices, how landowners were contacted, and at what frequency.
• IOs observed pipeline identification signage issues at the CP railway tracks crossing. The observations details have been captured in a separate observation in this report.
• IOs observed missing signage along private roadway located at 2491 Haines Road. Company could not confirm that it had written signage placement procedures nor explain why there was no signage present. The lack of signage on either side of the roadway is a non-compliance under CSA Z662-19 10.5.3.1 vi). The details of this non-compliance have been captured in a separate observation in this report
• IO prompted TNPI staff on how they monitored transferred of deeds and changes to land ownership to reach out to new landowners. Company staff explained that those activities are managed by TNPI's Land team, with support from third-party contractors as needed.  

• On location, IOs observed gravel driveway with signage advertising the name of a landscaping contractor. TNPI indicated that this was the contractor that worked on the driveway and that the work had been paused until a crossing agreement is in place. 
• TNPI representatives explained that the depth of cover over the 10-inch refined fuels pipeline at this location is 1.5m.
• IOs observed that the pipe was marked with yellow paint and the ROW with pink paint. Wooden stakes were also present indicating location of integrity dig (OM2022-036) on the 10” refined fuel pipeline. IO’s also observed various locate markings of adjacent facilitaties such as a grey water line, electrical, and local gas distributor.
• Pipeline markers were present on both sides of the street.

Compliance tool used: No compliance tool used

Observation 3 - NNC DPR-O Section 12 - Content of Records in the Context of 3rd Party Ground Disturbance Activity within Restricted Zone

Date & time of visit: 2022-06-01 09:30

Discipline: Damage Prevention

Categories:

• Monitoring and Reporting
• Records

Facility:

• Mainline (Pipeline)

Observations:

CER Inspection Officers (CER IOs) reviewed documents (digital copies) associated with the 3rd party bridge construction project near the Trans-Northern Pipeline Inc. (TNPI) pipelines, including:

• 30 May 2022 Inspection Report  
• 28 April 2022 Inspection Report for installation of manhole #5 and backfilling
• 6 May 2022 Inspection Report for installation of sanitary line
• Crossing Construction Permit issued by TNPI on 16 August 2021 for proposed water/sewer work

Compliance tool used: Notice of Non-compliance (NNC)

Regulatory requirement:

• Canadian Energy Regulator Pipeline Damage Prevention Regulations – Obligations of Pipeline Companies

Relevant section(s):

• Facilities and ground disturbances - Content of records 12 (2) The records must include, for each facility or each activity that causes a ground disturbance, as the case may be, (g) a statement of whether the person that carried out the construction or the person that engaged in an activity that caused a ground disturbance has complied with the measures set out in the Canadian Energy Regulator Pipeline Damage Prevention Regulations – Authorizations.

Company action required:

TNPI is required to provide a corrective and preventative action (CAPA) plan detailing how the company will address the deficiencies noted in this observation as it relates to the content of records in the context of a 3rd party construction or facility construction within the restricted zone. Please include an estimated date for implementation.

Due date: 2022-08-05

Date closed: 2022-08-09
Note: the date closed is the date that the inspector completed their review of the company corrective actions for adequacy and determined that no further actions are required.

Reason closed: Requirement met

Compliance achieved: Yes

Observation 4 - Signage Deficiencies at Railway Crossing on Haines Road (Mississauga, ON)

Date & time of visit: 2022-06-02 10:00

Discipline: Damage Prevention

Categories:

• Pipeline Identification
• Signs
• Railway and Road RoW

Facility:

• Mainline (Pipeline)

Observations:

CER IOs accompanied TNPI representatives to the location of previous unauthorized activity (UA) file UX2020-015 where the company had reported a UA linking CP Rail to a contravention of the CER Damage Prevention Regulations. At this location, the 10-inch pipeline (Clarkson to Toronto Airport Loop) crosses the railway track on the west side of Haines Road and the 20-inch pipeline (Mainline) crosses the railway tracks on the east side of Haines Road. The following deficiencies were observed by the IOs:

• Signage missing at the railway crossing on the west side of Haines Road (where 10-inch pipeline is buried), south of the railway tracks. ​​​​IOs were informed that a work order (#242888) for the missing signage had already been entered in TNPI’s digital work order system for corrective action at a later time. This was considered by the IOs as a valid approach in addressing this non-compliance to CSA Z662 clause 10.5.3.4 and as such, no notice of non-compliance was issued.
• Signage was present on the east side of Haines Road (where the 20-inch pipeline is buried) at the railway crossing location on both sides of the railway tracks, but the pipeline marker on the south side of the railway tracks was not visible from the tracks due to being obstructed by overgrown vegetation. CER IOs discussed this signage deficiency with the TNPI representatives as pipeline identification signage must be present at railway rights-of-way in accordance with CSA Z662 Clause 10.5.3.4 as well as be visible from the tracks, and signage must be maintained to ensure legibility and visibility in accordance with CSA Z662 clause 10.5.3.9. TNPI representatives were able to confirm that the overgrown vegetation was to be addressed by the end of September as part of the company's ongoing vegetation management and brushing plan. Therefore, the CER IOs did not issue a notice of non-compliance given that the company had already identified the deficiency and had a plan for corrective action. 

Compliance tool used: No compliance tool used

Observation 5 - NNC Signage Missing on Private Roadway at 2491 Haines Road

Date & time of visit: 2022-06-02 10:29

Discipline: Damage Prevention

Categories:

• Pipeline Identification
• Signs

Facility:

• Clarkson to Toronto Airport Loop (Pipeline)

Observations:

CER IOs observed missing signage along a private roadway with fencing on both sides located at 2491 Haines Road in Mississauga, ON. When CER IOs prompted TNPI representatives about the their sign placement strategy for different types of roadways, CER IOs were informed that the company defers to Canadian Standards Association (CSA) Z662 for Oil and Gas Pipeline Systems.

CER IOs determined that the lack of signage on either side of the roadway is a non-compliance under CSA Z662-19 Clauses 10.5.3.1 (a) and (b) vi), required by paragraph 4(1)d) of Canadian Energy Regulator Onshore Pipeline Regulations (OPR). A notice of non-compliance was therefore issued.

Compliance tool used: Notice of Non-compliance (NNC)

Regulatory requirement:

• CSA Z662-19 - Oil and Gas Pipeline Systems

Relevant section(s):

• Pipeline Identification 10.5.3.1 Signs shall be installed to identify the presence of pipelines to reduce the possibilities of damage and interference. Such signs shall be posted along pipeline rights-of-way, as applicable, as follows: a) at railway and road rights-of-way. b) vi) other anticipated third-party activity.

Company action required:

TNPI is required to install pipeline identification signage on the roadway identified by this observation and to submit confirmation of completion (e.g., picture).
 

Due date: 2022-08-05

Date closed: 2022-08-09
Note: the date closed is the date that the inspector completed their review of the company corrective actions for adequacy and determined that no further actions are required.

Reason closed: Requirement met

Compliance achieved: Yes

Observations (company follow-up required)

Identified non-compliances to company plans or procedures are non-compliances either to: