Pipeline Regulation in Canada

Abstract

Canada has been endowed with an abundance of Hydrocarbon natural resources which started the development of the Canadian pipeline system nearly 60 years ago. Today that system comprises about 585,000 kilometres of pipelines. Fortuitously for pipeline owners and operators, the Federal and pertinent Provincial regulators have adopted, by reference, the national pipeline standard Oil and Gas Pipeline Systems CSA Z662 within their respective regulations thus giving this standard the force of law. In general terms this means that pipelines in Canada are designed, constructed and operated in accordance with the normative requirement of a common standard. However the respective regulatory requirements, of each jurisdiction, are overlaid on the prescriptive elements of Z662 and reflect both the nature of the entities being regulated and the particular philosophical approach taken to regulation. The purpose of this paper is to attempt to describe the main differences to be found across the country and to expand upon the goal oriented approach favoured by the National Energy Board. Further, it will be helpful to also consider the importance of research in the development of standards and regulations.