PIPELINE ACT - Alberta

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Province of AlbertaPIPELINE ACTPIPELINE RULESAlberta Regulation 91/2005With amendments up to and including Alberta Regulation 280/2020Current as of December 10, 2020Office Consolidation Published by Alberta Queen’s PrinterAlberta Queen’s PrinterSuite 700, Park Plaza10611 - 98 AvenueEdmonton, AB T5K 2P7Phone: 780-427-4952Fax: 780-452-0668E-mail: qp@gov.ab.caShop on-line at www.qp.alberta.ca

Copyright and Permission StatementAlberta Queen's Printer holds copyright on behalf of the Government of Albertain right of Her Majesty the Queen for all Government of Alberta legislation.Alberta Queen's Printer permits any person to reproduce Alberta’s statutes andregulations without seeking permission and without charge, provided duediligence is exercised to ensure the accuracy of the materials produced, andCrown copyright is acknowledged in the following format: Alberta Queen's Printer, 20 .**The year of first publication of the legal materials is to be completed.NoteAll persons making use of this consolidation are reminded that it has nolegislative sanction, that amendments have been embodied for convenience ofreference only. The official Statutes and Regulations should be consulted for allpurposes of interpreting and applying the law.

(Consolidated up to 280/2020)ALBERTA REGULATION 91/2005Pipeline ActPIPELINE RULESTable of ContentsPart ption — agentsCompliance with DirectivesNotificationEligibility to hold a licenceApplication for licence to construct and operate pipelineSurvey of right of way boundariesNotice to Regulator of delay or failure to complete licensed workCommencement of constructionOperations, maintenance and integrity management manualsEmergency response plansPart 2Materials and Design910111213141516171819202122Codes and standardsApproval of non-standard materials or methodsPolymeric or fibre-reinforced pipeExemption from standardEmergency shutdown devices and check valvesControl systems in blended gas streamsEquipment pressure ratingsStress level limitationsMaximum noise levelsCasing under highway, road or railwayModifications due to highway, road or railwayMinimum earth coverSurface pipelinesOperating pressure

PIPELINE RULESPart 3Pressure cing pipeline into operationNotice to Regulator of pressure testConditions for pressure testingProtection of persons and propertyReport of leak or breakMaximum length of pipe to be pressure testedRecording pressure test resultsUnsatisfactory testAlternative methods for establishing pipeline integrityPressure testing above 100% SMYSPressure near test head assemblyMinimum test pressureContingency plans for liquid test mediaApproval of gaseous test mediaGases used in testingRelease of gaseous test mediaHydrogen sulphide gas prohibited in test mediumDuration of testPressure testing of vessels or manifoldsRetestPart 4Inspection and Records434445464748495051525354555657Right of way inspectionAdditional inspectionsSurface construction activityNo fees for inspection and supervisionRecords of inspection and supervisionMaterial balance inspectionMaterial balance calculationsShutdown device inspectionMaterials to be provided to RegulatorRecords of dataAnnual inspection for external corrosion mitigationAnnual evaluation for internal corrosion mitigationExemption for lined metallic pipelinesRecords of evaluationNotice of maintenance activity2AR 91/2005

PIPELINE RULESAR 91/2005Part 5Ground Disturbance58596061626364656667Ground disturbance in absence of pipeline right of wayAlberta One-CallPreparation for ground disturbanceErection of temporary fencingApproval of ground disturbanceDuties of licensee and person undertaking ground disturbanceSafety of adjacent pipelineExposing pipelineVehicles crossing pipelineNo fees for ground disturbance activitiesPart 6Warning Signs68697071Pipeline warning signsHVP productGroup pipeline signsIdentification of pipeline installationsPart 7Changes to Pipeline72737475Liner installationLiner installation in sour serviceChange in substance or pressureTesting requirements for change in substance or pressurePart 8Release of Product76777879Report of leak, break or contact damageContainment of leak or breakRepair of leak, break or contact damageIntentional release of gasPart 9Relocation or Alteration of Pipeline orOther Regulator Direction8081Application for direction under section 33 of the ActNotice to Regulator3

Section 1PIPELINE RULESAR 91/2005Part 10Discontinuance, Abandonment, Removal orResumption8282.182.2838485Discontinuance or abandonment of pipelineClosure quotasClosure plansResponsibility for discontinued or abandoned pipelineRemoval of pipelineResumption of pipeline operationPart 11Transitional Provisions, Repeal, Expiry and Cominginto Force86878889TransitionalRepealExpiryComing into forceSchedulesPart 1AdministrationInterpretation1(1) In these Rules,(a) “Act” means the Pipeline Act;(b) “Alberta One-Call” means the non-profit corporationcalled Alberta One-Call that transmits a notification froma person who intends to disturb the ground to its memberswhose buried facilities might be affected by the grounddisturbance;(c) repealed AR 89/2013 s30;(d) “break” means the escape of substance from a pipeline ina manner that immediately impairs the operation of thepipeline;(d.1) “closure” means the phase of the energy resourcedevelopment life cycle that involves the permanent end ofoperations, and includes abandonment and reclamation ofpipelines;4

Section 1PIPELINE RULESAR 91/2005(e) “contact damage” means damage to a pipeline that occursduring a ground disturbance and results in(i) a puncture or crack in the pipeline,(ii) a scratch, gouge, flattening or dent on the pipelinesurface, or(iii) damage to the pipeline’s protective coating thatcompromises the functionality of the coating, withthe exception of minor damages that may occurduring final hand excavation and external cleaning;(f) “corporate emergency response plan” means a generalemergency response plan that applies to all wells,pipelines and facilities of a licensee;(f.1) “Directive 038” means Directive 038: Noise Control;(f.2) “Directive 050” means Directive 050: Drilling WasteManagement;(g) “Directive 056” means Directive 056: EnergyDevelopment Applications and Schedules;(g.1) “Directive 058” means Directive 058: Oilfield WasteManagement Requirements for the Upstream PetroleumIndustry;(h) “Directive 060” means Directive 060: UpstreamPetroleum Industry Flaring Directive;(h.1) “Directive 067” means Directive 67: EligibilityRequirements for Acquiring and Holding Energy Licencesand Approvals;(i) “Directive 071” means Directive 071: EmergencyPreparedness and Response Requirements for theUpstream Petroleum Industry;(i.1) “Directive 077” means Directive 077:Pipelines - Requirements and Reference Tools;(j) “distribution specification gas” means natural gas thatdoes not contain more than an average of 7 milligrams ofhydrogen sulphide gas per cubic metre of natural gas at anabsolute pressure of 101.325 kilopascals at a temperatureof 15 degrees Celsius, equivalent to 5 parts per million;(j.1) “drilling waste” means the mud and cuttings generatedwhile directional drilling for the purpose of pipelineconstruction;5

Section 1PIPELINE RULESAR 91/2005(k) “emergency” means a present or imminent event, outsidethe scope of normal operations, that requires promptco-ordination of resources to protect the health, safety orwelfare of people or to limit damage to property and theenvironment;(l) “emergency response plan” means a comprehensive planto protect the public that includes criteria for assessing anemergency and procedures for mobilizing responsepersonnel and agencies, establishing communications andensuring coordination of the emergency response;(m) “facility surface lease” means the area leased by a licenseefor a well, installation or facility connected to a pipeline,but does not include an access road to the well,installation or facility;(m.1) “flowing water” means water within a creek, stream, river,lake or other body of water except where the water iscompletely frozen to the bed of the body of water;(n) “hand excavation” means excavation of a pipeline or partof a pipeline by hand and includes excavation by water orair jets and, if the pipeline is more than 1.5 metres belowthe surface of the ground, excavation by a combination ofhand and mechanical means in accordance with theprocedure set out in Schedule 3;(o) “HVP product” means hydrocarbons or a hydrocarbonmixture as defined in CSA Z662;(p) repealed AR 48/2012 s2;(q) “leak” means the escape of substance from a pipeline in amanner that does not immediately impair the operation ofthe pipeline;(r) “LVP product” means hydrocarbons or a hydrocarbonmixture as defined in CSA Z662;(s) “occupant” means(i) a person, other than the owner, who is in actualpossession of land,(ii) a person who is shown on a certificate of title or bycontract as having an interest in land,(iii) an operator granted a right of entry as defined in theSurface Rights Act in respect of land pursuant to aright of entry order as defined in that Act,6

Section 1PIPELINE RULESAR 91/2005(iv) in the case of Crown land, a person shown on therecords of the department or other bodyadministering the land as having an interest in theland, or(v) the holder of a permit for a coal mine;(t) “owner” means(i) the person in whose name a certificate of title hasbeen issued pursuant to the Land Titles Act, or(ii) if no certificate of title has been issued, the Crown orother body administering the land;(u) “% SMYS” means the hoop stress level expressed as apercentage of the specified minimum yield strength of thepipe based on nominal wall thickness;(v) “polymeric” means consisting of either thermoplastic orthermoset polymer engineering materials;(v.01) “Regulator” means the Alberta Energy Regulator;(v.02) “Regulator Pipeline Base Map” means the plan producedby the Regulator on a township or smaller area basisshowing pipelines currently licenced under the Act;(v.1) “regulatory authority” means an entity having lawfulauthority respecting the regulation of pipelines in ajurisdiction other than Alberta;(w) “surface construction activity” means construction activitythat is concentrated at the surface of the ground or at adepth of less than 30 centimetres and that does not resultin a reduction of the earth cover over a pipeline to a depththat is less than the cover provided when the pipeline wasinstalled;(x) “surface development” means occupied permanent orpart-time dwellings, publicly used facilities, includingcampgrounds, places of business and any other structuresused by the public on a regular basis;(y) “Uniform Color Code” means the Uniform Color Code setout in the American Public Works Association publicationRecommended Marking Guidelines for UndergroundUtilities.(2) Words and expressions used but not defined in these Ruleshave the meanings assigned to them in the Act and in the codes andstandards referred to in section 9(2).7

Section 1PIPELINE RULESAR 91/2005(3) For the purposes of section 1(1)(e) of the Act, the controlledarea is(a) a strip of land 30 metres wide on each side of the pipeline,measured from the pipe centreline, or(b) the distance from the pipe centreline to the edge of theright of way,whichever is wider.(4) For the purposes of the Act and these Rules, if piping or apipeline that conveys gas, steam or HVP product is containedwholly within the boundary of a facility surface lease or whollywithin the boundaries of adjacent and abutting facility surfaceleases, it is not considered a pipeline.(5) A natural gas pipeline that conveys distribution specificationgas at pressures of 700 kilopascals or less, but that is used for thepurposes of providing fuel or gas in connection with a facility,scheme or other matter authorized under the Oil and GasConservation Act or the Oil Sands Conservation Act is a pipelinewithin the meaning of the Act.(6) For the purposes of section 19 of the Act and these Rules,(a) a licensee who is an individual is resident in a jurisdictionif the individual makes his or her home in and isordinarily present in that jurisdiction, and(b) a licensee that is a corporation is resident in a jurisdictionif a director or officer of the corporation or a personemployed or retained to provide services to thecorporation makes his or her home in that jurisdiction, isordinarily present in that jurisdiction and is authorized to(i) make decisions respecting a licence for a pipelineissued by(A) the regulatory authority in that jurisdiction, or(B) in the case of Alberta, the Regulator,(ii) operate the pipeline, and(iii) implement directions from the regulatory authority,or in the case of Alberta, the Regulator, relating tothe pipeline.(6.1) Where these Rules refers to a directive by its number or titleor both, the reference is to be considered as a reference to that8

Section 1.1PIPELINE RULESAR 91/2005directive as published by the Regulator and amended from time totime.(7) Repealed AR 160/2008 s2.AR 91/2005 2012;89/2013;159/2013,244/2017;258/2020Exemption — agents1.1(1) In this section, “mutual recognition agreement” means avalid and subsisting agreement made between the Minister and aregulatory authority of another jurisdiction for the purpose ofrecognizing substantial regulatory equivalency and enablingreciprocity between Alberta and that jurisdiction.(2) The Regulator may, on application, grant an exemption fromthe requirement under section 19 of the Act to appoint an agent ifthe licensee applying for the exemption(a) is resident in a jurisdiction outside Alberta that is a partyto a mutual recognition agreement and is subject to theauthority of the regulatory authority in that jurisdiction,(b) is in compliance with all applicable legislation in Albertaand in the jurisdiction in which the licensee is resident andall applicable directives, orders, decisions, directions andother instruments of the regulatory authority referred to inclause (a) and of the Regulator,(c) provides evidence satisfactory to the Regulator that thelicensee meets, and during the time the licence is in effectwill continue to meet, the requirements set out insubsection (3), and(d) agrees to attorn to the jurisdiction of Alberta with respectto all matters, obligations and liabilities pertaining tolicences issued by the Regulator.(3) An exemption under subsection (2) is subject to the conditionthat, in substitution for the requirements of section 19(2)(a), (b) and(c) of the Act, the licensee must have(a) sufficient numbers of individuals who are trained andcompetent to(i) carry out work relating to the pipelines for which thelicensee has been granted a licence in compliancewith the requirements of all applicable legislationand all applicable directives, orders, decisions,directions and other instruments of the Regulator,and9

Section 1.2PIPELINE RULESAR 91/2005(ii) respond sufficiently to incidents and emergencies,including, without limitation, leaks and breaks,and(b) representatives at a pipeline site during any construction,testing, maintenance, repair, ground disturbance andabandonment activities at the pipeline site who areauthorized to make decisions respecting all aspects ofthose activities.(4) An exemption under subsection (2) ceases to have effectimmediately on(a) the licensee ceasing to meet a requirement referred to insubsection (2)(a), (b) or (d), or(b) the Regulator determining that it is no longer satisfied thatthe licensee or approval holder meets or will continue tomeet the requirements set out in subsection (3).AR 160/2008 s3;84/2009;221/2012;89/2013Compliance with Directives1.2(1) A licensee shall comply with the requirements of Directive077.(2) Subject to section 79, a licensee shall comply with therequirements of Directive 060.(3) Unless otherwise authorized by the Regulator, a licensee shallmanage drilling waste in accordance with Directive 050 andDirective 058.AR 91/2010 s2;48/2012;78/2012;77/2013;89/2013Notification2(1) Unless otherwise authorized by the Regulator, a licensee whois required to notify the Regulator under these Rules shall send thenotice electronically through the Regulator’s digital datasubmission system.(2) Notwithstanding subsection (1), a licensee who is required tonotify the Regulator of a pipeline leak, break, test failure or contactdamage shall immediately do so by telephoning the appropriateregional field centre of the Regulator.AR 91/2005 s2;89/201310

Section 2.1PIPELINE RULESAR 91/2005Eligibility to hold a licence2.1(1) An applicant must meet the licence eligibility requirementsset out Directive 067 in order to be eligible to hold a licence underthe Act.(2) If an applicant meets the licence eligibility requirements ofDirective 067 to the satisfaction of the Regulator, the Regulatormay grant licence eligibility subject to any restrictions, terms orconditions the Regulator considers appropriate.(3) If an applicant does not meet the licence eligibilityrequirements of Directive 067 to the satisfaction of the Regulator,the Regulator may refuse to grant licence eligibility.(4) The Regulator may revoke or restrict the licence eligibility ofan applicant if the applicant fails to acquire licences under the Actwithin a year of the day of the licence eligibility being granted bythe Regulator.(5) A licensee must continue to meet the licence eligibilityrequirements of Directive 067.(6) The Regulator may restrict a licensee’s eligibility to hold alicence if a licensee does not meet the licence eligibilityrequirements of Directive 067.AR 244/2017 s3Application for licence to construct and operate pipeline3(1) Unless otherwise authorized by the Regulator, an applicationunder Part 4 of the Act for a licence to construct and operate apipeline, including any applicable installation, must be inaccordance with the requirements of Directive 056.(2) Unless otherwise authorized by the Regulator, and in additionto the requirements of subsection (1), for a steam distributionpipeline having an internal aggregate capacity greater than 0.5cubic metres, the licensee shall(a) confirm in its application to the Regulator that it hasregistered the design of the pipeline and any mechanicalcoupling with the Alberta Boilers Safety Association inaccordance with the Design, Construction and Installationof Boilers and Pressure Vessels Regulations (AR 227/75),and(b) obtain all required approvals from the Alberta BoilersSafety Association prior to putting the pipeline intooperation.(3) No application is required11

Section 3PIPELINE RULESAR 91/2005(a) for the replacement of parts of a pipeline or parts of apipeline liner if(i) the length of each individual replacement section isless than 100 metres,(ii) the replacement sections are equivalent to theoriginal material or exceed the requirements andsuitability for purpose of the original material,(iii) the replaced sections of pipeline or pipeline liner areremoved, and(iv) the replacement work is carried out wholly within theexisting right of way;(b) if the pipeline, regardless of length, is contained whollywithin the boundary of a facility surface lease or whollywithin the boundaries of adjoining facility surface leases;(c) for a short-term temporary pipeline in accordance withDirective 056;(d) for a temporary surface pipeline used for the sole purposeof transporting water to or from a facility, scheme or othermatter authorized under the Oil and Gas Conservation Actor the Oil Sands Conservation Act, if all of the followingcriteria are met:(i) the source water has a chloride content of 640milligrams per litre or less;(ii) the source water has an electrical conductivity of 2.0decisiemens per metre or less;(iii) the source water has a pH value between 6.5 and 9.0;(iv) the source water has no hydrocarbon sheen;(v) the source water does not contain any of thefollowing: municipal w

(f.2) “Directive 050” means Directive 050: Drilling Waste Management; (g) “Directive 056” means Directive 056: Energy Development Applications and Schedules; (g.1) “Directive 058” means Directive 058: Oilfield Waste Management Requirements for the Upstream Petroleum Industry; (h) “Directive 060” means Directive 060: Upstream

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