Compliance Verification Activity Report 1516-499 – NOVA Gas Transmission Ltd.

Type of Compliance Verification Activity: Field Inspection

Activity #: 1516-499
Activity start: 2016-03-01
Activity End: 2016-03-03

Related Activity Numbers:

Inspection Officer Number(s): 2463

Incident #:
Landowner Complaint File #:

Company: NOVA Gas Transmission Ltd. (NGTL)

Facility Name(s): Project: Simonette Lateral Loop and Simonette East Receipt Meter Station Project (the Project)
Meter Facility: Simonette East Receipt Meter Station (Station)
Pipeline: Simonette Latteral Loop (Loop)

Province(s): Alberta

Theme(s): Environmental Protection

Compliance Tools Used: Corrected in field (Corrected Non-Compliance) (2)

Purpose

This activity was undertaken to verify compliance with the following regulatory requirements.

 X  NEB Act

 X  Onshore Pipeline Regulations

 X  CSA Standard Z662 Oil and Gas Pipeline Systems

    Other:

    Electricity Regulations

    Processing Plant Regulations

    Pipeline Crossing Regulations Part I

    Pipeline Crossing Regulations Part II

Regulatory Instrument

- Order XG-N081-028-2015 (the Order)

Observations & Discussion

Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Daily Inspectors Group Meeting Environmental Protection Yes
Observations
- Attended the daily Inspectors Group Meeting lead by TransCanada’s Construction Manager for Loop construction.
- The meeting provides an opportunity for TransCanada Inspectors to bring forward issues from the previous day and share information.
- Updates on the Loop construction activities for the day were generally centered around the hydro-test which had just been completed the previous night and that dewatering would be one of the main activities for the day.
- The group reviewed planned contractor activities, as well as assignments for contractor oversight for the day.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Safety Trailer Environmental Protection Yes
Observations
- Site Specific Emergency Response Plan (SSERP) provided and reviewed.
- Reviewed most recent safety meeting minutes and incident reviews.
- Material Safety Data Sheets (MSDS), and Somerville Safety Manual available and accessible.
- Briefly met with Somerville’s Safety Leader and discussed the scope of the CVA being conducted by NEB Inspection Staff.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Kilometer Post (KP) 0+000 (Valve Site and Staging Area) Environmental Protection Yes
Observations
- Somerville Foreman provided a review of the Field Level Hazard assessment (FLHA) for ongoing activities.
- Observed ongoing backfilling and compaction activities.
- Light Plant with adequately stocked spill kit and secondary containment present.
- Light Plant is grounded and has an a has a fire extinguisher present.
- Ongoing pipeline dewatering from a discharge line into an area ~200 m northwest of the pipeline RoW (forest block cut). Water diffusion measures in place and water flow volume adequately managed with sufficient erosion control measures (geotextile fabric). Side Boom parked anchoring dewatering piping in place.
- TransCanada Representatives discussed dewatering considerations and involvement of Provincial Regulator (Forest Officer) for field level approvals.
- Verified tracked equipment in work area has required stickers identifying equipment was inspected prior to use on RoW and fire extinguishers are present.
- Excavated areas flagged off or fenced off with sufficient and appropriate signage and egress.
- Hotlines staked, and equipment crossings in place.
- Dewatering line ramped over to allow equipment access.
- Rock guard installed around valve station piping being backfilled.
- Soil separation (subsoil & duff layer / organics) and storage in Temporary Work Space (TWS) appropriate.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - RoW from Water Courses / Drainages #1- 5 Environmental Protection Yes
Observations
- Sufficient signage in place to identify water courses and wetland presence within 100 m.
- Appropriate use and installation of erosion controls in riparian areas disturbed.
- Streambed re-establishment includes seeded erosion control blankets staked into place, as well as reinforced and tiered streambed walls with willow staking in place.
- Re-built streambed dimensions, meanders and directions are similar to undisturbed stream areas.
- Clear span bridges in place.
- Sediment control measures (sediment fences) appropriately located and keyed in.
- Soil separation (subsoil & duff layer / organic) and storage in TWS appropriate.
- Hotlines staked, and equipment crossings in place.
- Grubbing and grading setbacks from watercourses maintained.
- Minimal disturbance in riparian areas present.
- Soils from grade cuts, when present, where appropriately separated and stockpiled.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - ~KP 21 +500 Environmental Protection Yes
Observations
- Pipeline tie-in location and excavation adequately fenced off and/or flagged.
- Appropriate access and egress from excavation.
- The pipeline has been installed in a deep trench at this location to cross below hotlines.
- A safe workspace within the trench was observed with a trench box in place.
- Hotlines staked, and equipment crossings in place.
- Signage indicating the secondary grizzly bear habitat present.
- Electrical hazards from overhead power lines identified by signage and limits of approach identified with goal posts and flagging.
- Hoarding and associated heating equipment, from the previous day’s hydro-test, are in the process of being dismantled. An inappropriately stored (unsecured) propane cylinder was re-located by Somerville personnel. Officer notes that this was a temporary situation during demobilization of materials and equipment.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Meter Station Environmental Protection Yes
Observations
- Somerville Foreman provided a review of the FLHA for ongoing activities.
- Observed ongoing backfilling and compaction activities.
- A small diesel portable container was observed near compaction equipment. Somerville personnel immediately moved the canister to secured truck location. Officer notes that canister was temporarily in location for use.
- Excavated area with grade differential adequately fenced.
- Verified tracked equipment in work area has required sticker identifying equipment was inspected prior to use on RoW and fire extinguisher is present.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Water Reservoir Environmental Protection Yes
Observations
- Visited the reservoir to the south of the Meter Station, which was the water source for hydrostatic testing carried out. TransCanada Representatives explained that water from this reservoir, owned and operated by another party, is pumped up into the reservoir from Deep Valley Creek.
- Electrical hazards from overhead power lines at access identified by signage and limits of approach identified with goal posts and flagging.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Deep Valley Creek Valley - Horizontal Directional Drill (HDD) Environmental Protection Yes
Observations
- Observed ongoing mechanical cleanup activities at HDD entry pad location.
- Visited the Deep Valley Creek itself and accessed from the western side of the watercourse.
- Observed locations where water quality monitoring occurred during HDD activities. Monitoring stations were adequately positioned up and down-gradient of the drilling path.
- TransCanada Representatives explained that the HDD was 1.4 km long, and indicated that the pipeline has been installed at ~ 70 m below the bed of the river.
- HDD exit point located on a relatively steep slope (natural slope) on the eastern side of the valley.
- Electrical hazards from overhead power lines identified by signage and limits of approach identified with goal posts and flagging from road access.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-01 Loop - Environmental Documentation Review Environmental Protection Yes
Observations
- Reviewed the Loop environmental information binder. Specifically, review included the following documentation: the NEB Order, Fish Research license, disposition application and amendments, Water Diversion Notification (Water Act).
- Reviewed ‘Watercourse checklist’ documentation.
- Reviewed watercourse monitoring data for the duration of the HDD.
- Reviewed a selection of EI reports covering periods where watercourse crossings were installed.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - Daily Inspectors Group Meeting Environmental Protection Yes
Observations
- Attended the daily Inspectors Group Meeting lead by TransCanada’s Construction Manager for the Loop construction.
- Updates on Loop construction activities included: planned caliper pig run occurring today, crews are conducting coating activities at valve sites. Clean-up and backfilling are ongoing.
- The group reviewed planned contractor activities, as well as assignments for contractor oversight for the day.
- Discussions over expectations for winter access road (Road 200) which is likely to be quite muddy and slick; advised all crews to stay off it any time after 9 am unless necessary and use alternate shoofly access.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - ~KP 17 RoW Near Crossover Valve (accessed from Shoofly #5) Environmental Protection Yes
Observations
Rough (machine) clean-up completed to northeastern side of access.
- Water diversion berm (erosion control measure) present on section of slope.
- Observed ongoing replacement of organics in an area which included mechanical clean-up for listed plant species (rare, sensitive etc.) along the RoW.
- Attempts were made to access a transplanted site of tall blue lettuce, however, the site could not be accessed due to terrain conditions as rough clean-up had already been completed in the area.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - ~KP 15+600 Marion Creek & Wetland Complex, (Watercourse #13) Environmental Protection Yes
Observations
-The pipeline crossing at Marion Creek is situated in a wetland complex which has a meandering creek with defined bed and banks.
- TransCanada Representatives explained that this was the only open cut crossing that was not frozen to bottom, and there had been water flowing during the installation of the crossing which required isolation and pump around for installation of the pipeline.
- Beaver dams are in proximity of trenchline and TransCanada Representatives confirmed that these were breached and beavers trapped in the fall of 2015.
- The Officer is satisfied with preliminary reclamation of creek; slopes stable, shaping and contouring is comparable to upstream and downstream areas of the watercourse.
- Vegetation clearing maintained to a minimum.
- Sufficient signage in place to identify water course within 100 m and no refueling restriction.
- Appropriate use and installation of erosion controls in riparian area including seeded erosion control blankets staked into place.
- Streambed and banks re-establishment, reinforced and tiered stream banks with willow staking in place.
- Vehicle crossing has already been removed.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - ~KP 16+000 Environmental Protection Yes
Observations
- Drainage installed into the pipeline area terminating in a trench plug and running to the adjacent forested area outside of the permanent RoW.
- Drainage piping was buried within a berm, running diagonally between the pipeline and tree line on the northern edge of the RoW. TransCanada
Representatives explained that this field mitigation measures was necessary to provide relief from spring water flowing in/around the buried pipeline to ensure pipeline/surround soil structural integrity.
- Drain outflow has clear water flowing out of it into a remote sump of gravelly material.
- Observed ongoing tracked equipment completing the installation.
- Tracked equipment in work area has required sticker identifying equipment was inspected prior to use on RoW and fire extinguisher is present.
- Observed Somerville personnel removing stakes and flagging as part of ongoing clean-up activities.
- Observed ongoing replacement of soils and trench line crowning.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - ~KP 3+300 to ~KP 9+500 Watercourses/Drainages #5A, #5B, #6 and #8 Environmental Protection Yes
Observations
- Appropriate signage in place to identify watercourses and no refueling within 100 m.
- Adequate use and installation of erosion controls.
- Streambed and banks initial reclamation measure appropriate, including: seeded erosion control blankets staked into place, reinforced and tiered stream bank walls with willow stakings.
- Reclaimed streambed dimensions, meanders and direction are similar to undisturbed stream areas.
- Clear span bridges in place and have appropriate sediment controls.
- Sediment control measures (sediment fences) appropriately located and keyed in.
- Soil separation and storage in TWS and along RoW appropriate.
- Hotlines staked, and equipment crossings in place.
- Grubbing and grading setbacks from watercourses maintained.
- Soils from grade cuts, when present, were appropriately separated and stockpiled.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - ~KP 20+400 to 21+200 Environmental Protection Yes
Observations
- Appropriate signage in place to identify wetland and no refueling within 100 m of watercourse.
- Additional mechanical clean-up remains to be completed in the area although initial soil replacement has occurred.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Simonette East Receipt Meter Station Environmental Protection Yes
Observations
- Met briefly with TransCanada’s Construction Manager (CM) and the Superintendent for Strike, TransCanada’s contractor, at Station’s construction field office (trailer) located on western side of the Pipeline on a Lease Site adjacent to the Station.
- Review of FLHA and brief Safety discussion provided by the CM.
- NEB Inspection Staff, with TransCanada Representatives and accompanied by Strike’s Superintendent visited the Meter Station construction site and associated TWS under TransCanada’s CM guidance.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Work Areas & TWS Environmental Protection Yes
Observations
- Verified tracked equipment in work area has a fire extinguisher with up to date monthly inspection and annual certification tags present as well as an appropriately sized and well stocked spill kits.
- Excavated area with grade differentials adequately fenced.
- Observed ongoing backfilling and compaction activities.
- Meter run buildings nearing completing of installation.
- Housekeeping sufficient in storage area (Sea Can).
- Fuel canisters temporarily stored within secondary containment.
- Utility trailer with light plant adequately grounded.
- Temporary toilets available on site near construction field office.
- Verified fire extinguishers have up to date inspection and certification tags.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Documentation Review Environmental Protection Yes
Observations
- Material Safety Data Sheets (MSDS), hazard assessments, and safe work procedures all present and accessible in the field office.
- The EPP for the Project is also present on site, as well as land permits (DPIs) and other relevant information.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Regulatory Instrument Environmental Protection Yes
Observations
The NEB’s regulatory instrument, Order XG-N081-028-2015 (the Order), issued by the Board on 8 July 2015, the effect of which approved the construction and operation of the Project subject to certain Conditions, was not included with or available on site with other permits, approval, and licenses. For consistancy, at the request of the Officer, the Project Manager for the Station obtained and printed a copy of the Order to include with other regulatory approvals, permits, and licenses.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Equipment Inspected Marker Environmental Protection No
Observations
Both tracked equipment pieces on site do not have Project specific stickers indicating they were clean and free of soil or vegetative debris. Strike Superintendent was able to provide documentation that the equipment was inspected upon arrival and noted to be ‘washed and clean’. Although inspection documentation was provided, this remains in non-compliance to Condition 3 of the Order as observations are inconsistent with the requirement of Clause 7.1.17 of the EPP. The requirements of the EPP are mandatory pursuant to Condition 3 of the Order.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Station - Insufficient Spill Kit Availability Environmental Protection No
Observations
Chemical waste and storage area (trailer) which includes a mounted fuel tank does not have a spill kit present. Spill prevention, containment, and clean-up materials that are suitable for the volume of fuels or oils carried and stored with this trailer is not available on site. The Officer is of the view that spill kits (small sized and available at site) are insufficient as containment, and clean-up materials for the volume of fuels or oils and hazardous materials used. This is noncompliant with Condition 3 of the Order as observations are inconsistent with the requirement of Clause 1.1 (Annex E) and Clause 1.3 (Appendix 1F) of the EPP for the Project. The requirements of the EPP are mandatory pursuant to Condition 3 of the Order.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-02 Loop - Documentation Review Environmental Protection Yes
Observations

Documents reviewed and discussed with TransCanada Representatives included:
- TranCanada, Incident Record # 56059: Spill Release to Environment, Leaking Fuel;
- Golder Associates, Technical Memorandum: Listed Plant Species, dated 23 October 2015;
- CCI, ‘Nova Gas Transmission Ltd: Simonette Lateral Loop NPS24 Sump Site Investigation Summary Report’, dated 30 June 2015.
- Reviewed ‘Watercourse checklist’ documentation for a sample of watercourse crossings.

Upon discussion with TransCanada Representatives, NEB Inspection Staff identified that a diesel spill had occurred at the entry point of the HDD on December 30th 2015. Review of relevant documentation revealed a spill incident described as a ‘slow trickle’ of diesel leaking from a fuel truck over the Christmas holiday to an estimated volume of ~100L in total, according to the internal TransCanada incident report. The leak had occurred on a cleared area (no vegetation) on frozen, snow covered ground. Upon discovery, the impacted snow, as indicated by colour and smell, was removed, as well as soil of an area covering approximately 3 m x 5 m x 0.25 m deep also based on visual and olfactory indicators of hydrocarbons. An incident report was created and the clean-up documented. The Officer notes that this reported spill volume is below provincial reporting thresholds and that Somerville’s response to the spill and associated cleanup measures are sufficient to meet applicable requirements.

The Sump Suitability Report by consulting firm CCI was discussed and reviewed. The soil texture of composite samples between 1 and 4 m are all fine grained (clay content >20%). The water table was not encountered during drilling to a maximum observed depth of 4 m below local ground surface. The CCI report indicates that the location is acceptable for use as a sump. TransCanada Representatives indicated that supplemental test pits were advanced at the intended site before construction of the sumps to confirm fine soil texture throughout the intended soil column depth and the depth to the water table.

The EI also provided documentation of the seed mix used in seeding associated with erosion control matting on reclaimed watercourses. The seed mix consisted of seven native and non-native grass species and seed analysis certificates were available. EI also confirmed approval of seed mix by the local provincial regulator.

Does this observation specifically reference the Canada Labour Code or its regulations? No
Observations & Discussion
Date visited Location Theme Compliance Confirmed
2016-03-03 Loop - Daily Inspectors Group Meeting Environmental Protection Yes
Observations
- Attended the daily Inspectors Group Meeting lead by TransCanada’s Construction Manager for the Loop.
- Updates on Loop pipeline construction activities for the day were discussed.
- Group reviewed planned contractor activities, as well as assignments for contractor oversight for the day.
Does this observation specifically reference the Canada Labour Code or its regulations? No

Compliance Summary

Compliance Summary
Theme Compliance Tools Used Corrective Action Due Date
Environmental Protection Corrected in field (Corrected Non-Compliance) 016-03-03
Date/Time visited Location
2016-03-02 12:00 AM Station - Equipment Inspected Marker
Observations
Both tracked equipment pieces on site do not have Project specific stickers indicating they were clean and free of soil or vegetative debris. Strike Superintendent was able to provide documentation that the equipment was inspected upon arrival and noted to be ‘washed and clean’. Although inspection documentation was provided, this remains in non-compliance to Condition 3 of the Order as observations are inconsistent with the requirement of Clause 7.1.17 of the EPP. The requirements of the EPP are mandatory pursuant to Condition 3 of the Order.
Regulatory Requirements

Condition 3 of the Order states:
NGTL shall implement or cause to be implemented all of the policies, practices, programs, mitigation measures, recommendations, procedures and its commitments for the protection of the environment included in or referred to in its application or in its related submissions.

Clause 7.1.17 of the EPP states:
All equipment must arrive at the Project site clean and free of soil or vegetative debris. Equipment will be inspected by the Environmental Inspector(s), or designate, and if deemed to be in appropriate condition will be identified with a suitable marker or tag. Any equipment that arrives in a dirty condition shall not be allowed on the RoW or at the meter station site until it has been cleaned.

Corrective Action or Request Required
The Officer considers this a Corrected Non-Compliance (CNC) to Condition 3 of the Order, 1516-499 CNC#1, as the Strike’s Superintendent provided confirmation and photographic evidence to the Officer that required stickers had been obtained from TransCanada’s EI and attached to equipment as necessary.
Does this observation specifically reference the Canada Labour Code or its regulations? No
Compliance Summary
Theme Compliance Tools Used Corrective Action Due Date
Environmental Protection Corrected in field (Corrected Non-Compliance) 2016-03-03
Date/Time visited Location
2016-03-02 12:00 AM Station - Insufficient Spill Kit Availability
Observations
Chemical waste and storage area (trailer) which includes a mounted fuel tank does not have a spill kit present. Spill prevention, containment, and clean-up materials that are suitable for the volume of fuels or oils carried and stored with this trailer is not available on site. The Officer is of the view that spill kits (small sized and available at site) are insufficient as containment, and clean-up materials for the volume of fuels or oils and hazardous materials used. This is noncompliant with Condition 3 of the Order as observations are inconsistent with the requirement of Clause 1.1 (Annex E) and Clause 1.3 (Appendix 1F) of the EPP for the Project. The requirements of the EPP are mandatory pursuant to Condition 3 of the Order.
Regulatory Requirements

Condition 3 of the Order states:
NGTL shall implement or cause to be implemented all of the policies, practices, programs, mitigation measures, recommendations, procedures and its commitments for the protection of the environment included in or referred to in its application or in its related submissions.

Clause 8.1.11 EPP states:
8.0 Equipment Refueling and Servicing
Bulk fuel trucks, service vehicles, and pick-up trucks equipped with box-mounted fuel tanks shall carry spill prevention, containment, and clean-up materials that are suitable for the volume of fuels or oils carried. Spill contingency material carried on bulk fuel and service vehicles shall be suitable for use on land and water.

Clause 1.0.1 of Annex E (SPILL CONTINGENCY PLAN) of the EPP states:
1.0 General Measures
The following are standard measures to be adhered to during construction.
1. Appropriate spill equipment will be maintained at all work sites, in accordance with the Waste Management Plan (Appendix 1F). The risk for site-specific spills
will be used to determine the appropriate type of response equipment and suitable location for storage.

Clause 1.3 of Appendix 1F (CHEMICAL AND WASTE MANAGEMENT PLAN) of the EPP states:
1.3 Guiding Principles
The Company is committed to performing its activities in an environmentally responsible manner. The following general guiding principles have been
incorporated into this plan:
• reasonable preventative measures will be taken to avoid the release of wastes and hazardous materials into the environment;
• all waste and hazardous material spills will be reported to the Environmental Inspector and to the appropriate authorities, if warranted;
• all waste and hazardous material spills will be cleaned up promptly and thoroughly;

Corrective Action or Request Required
The Officer considers this a CNC to Condition 3 of the Order, 1516-499 CNC#2, as the Strike’s Superintendent provided confirmation and photographic evidence to the Officer that required and appropriately sized spill kit was brought to site.
Does this observation specifically reference the Canada Labour Code or its regulations? No

This notice reflects the observations of non-compliance with regulatory requirements or company commitments, made by the inspection officer during the compliance verification activity. If the corrective actions identified are implemented by the completion date, the matter is considered resolved. Any unresolved compliance matters will be addressed by the inspection officer and may be referred to NEB enforcement staff.

517 Tenth Avenue SW Calgary, Alberta  T2R 0A8
Telephone: 403-292-4800   Toll Free: 1-800-899-1265

 

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