The National Energy Board regulates over 73,000 km of pipelines and 1,400 km of international power lines in Canada. It uses a risk-informed approach to monitor compliance, where the level of monitoring is determined by considering the potential consequences of non-compliance and previous compliance activities. Compliance verification involves planned inspections and audits to ensure safety, environmental protection, and adherence to regulations. Companies must address any issues found and the NEB may take enforcement actions if needed to obtain compliance. Investigations are also conducted to identify root causes of incidents and develop mitigation plans. The NEB works with companies and the public on issues around pipeline operations and maintenance activities.

1. National Energy Board
Danielle Prevost – Engagement Specialist, VRO

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NEB-Regulated Pipelines
• ~73,000 km of pipeline
• ~1,400 km of international
power lines

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Lifecycle Approach and Risk-
Informed Regulation

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Risk-informed Monitoring
• The NEB uses a risk-informed
approach to determine appropriate
compliance verification activities
• This evaluation considers the potential
consequences to people and the
environment and information from
compliance monitoring activities
• A risk-informed approach promotes
focused and efficient use of NEB
resources
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Consequence
Low Moderate High
Probability

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Compliance Verification
Compliance verification is planned and conducted during
construction and operations in the areas of:
 Safety Management
 Integrity Management
 Environmental Protection
 Remediation of contaminated sites
 Long term reclamation
 Security Management
 Emergency Management
 Damage Prevention

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Compliance Verification
Company compliance is assessed against:
• Acts and regulations
• Commitments made during an application process
• Conditions on authorizations and Orders
• Company procedures and plans

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Audits
Purpose
• Determine adequacy of company’s
management system and associated
programs, processes and procedures
Findings
• Companies required to submit and
implement corrective action plans (CAP)
to address and mitigate any findings of
the Board
• NEB uses audit results in compliance
verification planning

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Inspections
An on-site examination & assessment of a company's
activities against:
 regulatory obligations: legislation, regulations, Orders, conditions
and commitments
 established standards
 acceptable industry practice
 Officer's professional judgment
NEB Inspection Officers
 Review documents
 Verify compliance to requirements
 Observe field activities & facility operations
 Work proactively with company to discuss issues and achieve
compliance

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Enforcement
Used to obtain compliance, deter future non-compliance, and prevent harm
by using the most appropriate method available
Enforcement Tools
• Notice of Non-compliance
• Inspection Officer Order/Direction
• Board Order
• Administrative Monetary Penalty
• Revocation of Board authorization
• Prosecution
Inspection Officers have authority to take immediate enforcement action, if
they encounter issues of public safety or environmental protection

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Investigations
Purpose
 To identify root cause and contributing
factors and develop mitigation plans
Results
 Feed into NEB compliance plans
 Share learnings with all stakeholders
 Investigations generally in response to incidents, but not confined to
incidents
 Transportation Safety Board may choose to investigate

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Company’s consultation on Operations and
Maintenance activities
• Notification requirements
• Provide project information
• Hear concerns
• Consider concerns
• Modify O&M plans, where appropriate

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Company’s notification of O&M
activities to the NEB
Companies notify the NEB at least 21 working days prior to the
activity being undertaken when:
• There are unresolved concerns related specifically to the proposed O&M
activity
• Work is in areas where there are: residences, schools, hospitals, prisons,
or other institutions where people routinely congregate in large groups
(more than 50 people)
• Pipe replacement is greater than 100 m (but less than 5 km) in length
• Pressure testing by means other than hydrostatic testing
• Work is within 30 metres of a watercourse

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Responding to concerns from people living and
working around NEB regulated infrastructure
 Confidential Disclosure (Whistleblower Program)
 Issues Resolution Process
 Alternative Dispute Resolution Program
 Adjudicated decision (NEB or NRCAN)
 Information sharing and working group sessions
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