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Regulation and Standards

Regulation of transmission pipelines fall into two basic areas regulations that help the
industry ensure the safety of communities and the environment, and the regulation of
transportation charges. In addition, the industry has established or participates in a number of
engineering and scientific committees that help set widely accepted technical standards for
construction and operation of pipelines.
Public and Environmental Safety
All aspects of the life cycle of a pipeline from design and construction to operation and
discontinuation (abandonment) are strictly regulated by a number of regulatory agencies and
government departments. These regulatory agencies and government departments ensure
Canadas pipelines are operated safely, responsibly and in the public interest.
Extensive federal and provincial regulation ensures the safe operation of pipelines in Canada.
Regulators review CEPA member performance though inspections, audits and incident
investigations.
Pipeline systems that cross provincial or international boundaries are regulated by the federal
government, primarily under the authority of the National Energy Board. Pipeline operations
may also be subject to regulations of other federal, provincial or municipal bodies including
Natural Resources Canada, Environment Canada, Fisheries and Oceans Canada, and Transport
Canada, depending on the type and ownership of the land which the pipeline crosses. The
Transportation Safety Board investigates pipeline incidents and makes recommendations for
improvements.
Pipelines which are wholly contained within a province typically fall under that provinces
regulatory jurisdiction.
Technical Standards
Effective standards are an important element of Canadas robust pipeline industry. Regulations
surrounding pipelines are based on rigorous standards developed by Canadian Standards
Association (CSA). In total, there are 11 key standards published by CSA, which cover the
design, construction, operation and maintenance of oil and gas pipeline systems and underground
storage of petroleum products and liquefied natural gas.
When called on to develop a standard, CSA forms a committee composed of volunteer members.
The volunteers are experts selected to represent the various interest groups most likely to be
affected by the standard. The CSA functions as a neutral third party, providing a structure and a
forum for developing the standard. CEPA actively participates in the CSA process to develop
standards to improve pipeline safety.
In the 1990s, CSA merged its four existing oil and gas pipeline standards into one that
encompasses oil and gas transportation systems, distribution systems and offshore aluminum
pipelines. The resulting CSA Standard Z662 Oil and Gas Pipeline Systems, is the only
standard in the world that deals with transportation of both oil and gas specifically. CSA
Standard Z663 Land Use Planning for Pipelines, provides guidance to local authorities,
developers and pipeline operators.
To learn more about pipeline standards go to the Canadian Standards Association.
Pipeline Tolls and Tariffs
Regulators are also involved in establishing pipeline tolls and tariffs. Tolls are the rates changed
by pipeline companies for transporting product through their lines. The toll, along with the other
terms and conditions under which the service of a pipeline company are offered comprise the
tariff. On transmission pipelines transportation tolls are paid by shippers, including oil and gas
producers, brokers, and local distribution companies (LCDs) that transport natural gas through
distribution lines to homes and businesses.
For more information on our regulators, please visit the regulators website

Federal
National Energy Board
Transportation Safety Board
Provincial
BC Oil and Gas Commission
Yukon Environmental and Socio-economic Assessment Board
Northwest Territories Public Utilities Board
Alberta Energy Regulator
Saskatchewan Energy and Resources
Nunavut Impact Review Board
Manitoba Public Utilities Board
Ontario Energy Board
Rgie de lnergie du Qubec
Newfoundland and Labrador Board of Commissioners of Public Utilities
New Brunswick Energy & Utilities Board
Nova Scotia Utility & Review Board
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