Regulations Respecting Reduction in the Release of Methane and Certain Volatile Organic Compounds (Upstream Oil and Gas Sector) (SOR/2018-66)

Marginal note:Records

25 A record must be made that indicates

• (a) all of the readings from a continuous measuring device and each reading taken using a flow meter;

• (b) the flow rate over each period during which measurements were taken for each determination of the value of G and O;

• (c) the dates, time and duration of each of those periods;

• (d) the production parameters during each of those periods and the 48 hours before each of those periods begins; and

• (e) whether the type of equipment used to take each measurement was a continuous measuring device or a flow meter and its make and model.

Venting Limit

Marginal note:15 000 standard m³ per year

• 26 (1) An upstream oil and gas facility must not vent more than 15 000 standard m³ of hydrocarbon gas during a year.

• Marginal note:Excluded volumes

  (2) The volumes of hydrocarbon gas vented that arose from the following activities are excluded from the determination of the volume vented for the purpose of subsection (1):

  • (a) liquids unloading, that is, the removal of accumulated liquids from a gas well;

  • (b) a blowdown, that is, the temporary depressurization of equipment or pipelines;

  • (c) glycol dehydration, that is, the use of a liquid desiccant system to remove water from natural gas or natural gas liquids;

  • (d) the use of a pneumatic controller, pneumatic pump or compressor;

  • (e) the start-up and shutdown of equipment;

  • (f) well completion; and

  • (g) venting in order to avoid serious risk to human health or safety arising from an emergency situation.

• Marginal note:Non-application of subsection (1)

  (3) Subsection (1) does not apply in respect of a facility, as of a given month, if the combined volume of hydrocarbon gas that was vented or destroyed at, or delivered from, the facility was less than 40 000 standard m³ for the 12 consecutive months before that given month.

• Marginal note:Re-application of subsection (1)

  (4) Despite subsection (3), subsection (1) does apply in respect of a facility referred to in subsection (3), as of a subsequent month, if the combined volume of hydrocarbon gas that was vented or destroyed at, or delivered from, the facility was equal to or greater than 40 000 standard m³ for the 12 consecutive months before that subsequent month.

Marginal note:Records — volumes of hydrocarbon gas

27 For each month that an upstream oil and gas facility operates, a record, with supporting documents, must be made that indicates

• (a) the volume of hydrocarbon gas that was vented, expressed in standard m³;

• (b) the volume of hydrocarbon gas vented that arose from the activities referred to in each of paragraphs 26(2)(a) to (g);

• (c) the volume of hydrocarbon gas destroyed at the facility, expressed in standard m³; and

• (d) the volume of hydrocarbon gas delivered from the facility, expressed in standard m³.

Leak Detection and Repair Program

Establishment of Program

Marginal note:Non-application to certain equipment components

• 28 (1) Sections 29 to 36 do not apply in respect of

  • (a) an equipment component used on a wellhead at a site at which there is no other wellhead or equipment except for gathering pipelines or a meter connected to the wellhead;

  • (b) a pair of isolation valves on a transmission pipeline if no other equipment is located on the segment of the pipeline that may be isolated by closing the valves; and

  • (c) an equipment component used at an upstream oil and gas facility whose inspection would pose a serious risk to human health or safety.

• Marginal note:Record

  (2) A record must be made that indicates whether an equipment component is an equipment component referred to in any of paragraphs (1)(a) to (c).

Marginal note:Regulatory or alternative LDAR programs

• 29 (1) An operator for a facility must — in order to limit fugitive emissions containing hydrocarbon gas from equipment components at the facility — establish and carry out at the facility

  • (a) a regulatory leak detection and repair program that satisfies the requirements of sections 30 to 33; or

  • (b) an alternative leak detection and repair program referred to in subsection 35(1) that results in at most the same quantity of those fugitive emissions as would result from a regulatory program referred to in paragraph (a), as demonstrated in a record, with supporting documents, made by the operator before the program is established and, at least once per year and at least 90 days after a previous demonstration, while the program is being carried out.

• Marginal note:Notice to Minister

  (2) An operator for a facility that establishes a leak detection and repair program referred to in paragraph (1)(b) must, without delay, notify the Minister to that effect.

Regulatory LDAR Programs

Marginal note:Obligation to inspect

• 30 (1) An equipment component at an upstream oil and gas facility must be inspected, during the periods referred to in subsection (3), for the release of hydrocarbons by means of an eligible leak detection instrument.

• Marginal note:Eligible leak detection instruments

  (2) The following leak detection instruments are eligible:

  • (a) a portable monitoring instrument if it

    • (i) meets the specifications set out in Section 6 of EPA Method 21,

    • (ii) is operated in accordance with the requirements of Section 8.3 of EPA Method 21 to the extent that those requirements are consistent with its manufacturer’s recommendations,

    • (iii) is calibrated in accordance with Sections 7, 8.1, 8.2 and 10 of EPA Method 21 before it is used, for each day on which it is used, and

    • (iv) undergoes a calibration drift assessment after its last use on each of those days in accordance with the requirements set out in Section 60.485a(b)(2) of Subpart VVa, entitled Standards of Performance for Equipment Leaks of VOC in the Synthetic Organic Chemicals Manufacturing Industry for which Construction, Reconstruction, or Modification Commenced After November 7, 2006, in Part 60 of Title 40, Chapter I of the Code of Federal Regulations of the United States; and

  • (b) an optical gas-imaging instrument if it is capable of imaging gas that is

    • (i) in the spectral range for the compound of highest concentration in the hydrocarbon gas to be measured,

    • (ii) half methane and half propane at a total concentration of at most 500 ppmv and at a flow rate of at least 60 g/h leaking from an orifice that is 0.635 cm in diameter, and

    • (iii) at the viewing distance determined in accordance with the requirements of the alternative work practice of the Environmental Protection Agency of the United States set out in Sections 60.18(h)(7)(i)(2)(i) to (v) of Section 60.18, entitled General control device and work practice requirements, in Part 60 of Title 40, Chapter I of the Code of Federal Regulations of the United States.

• Marginal note:Period for inspections

  (3) The period for inspections is as follows:

  • (a) for the first inspection, on or before the later of May 1, 2020 and the day that occurs 60 days after the day on which production at the facility first began; and

  • (b) for subsequent inspections, at least three times per year and at least 60 days after a previous inspection.

• Marginal note:Operation and maintenance

  (4) An eligible leak detection instrument must be operated and maintained in accordance with the recommendations, if any, of its manufacturer.

• Marginal note:Training

  (5) The inspection must be conducted by an individual who, not more than five years before the inspection, has received training in

  • (a) the operation and maintenance, in accordance with subsection (4), of eligible leak detection instruments; and

  • (b) the calibration requirements set out in subparagraphs (2)(a)(iii) and (iv), if an eligible portable monitoring instrument is used.

Marginal note:Leaks

• 31 (1) A release of hydrocarbons from an equipment component is a leak if

  • (a) the release consists of at least 500 ppmv of hydrocarbons, as determined by an inspection conducted by means of an eligible portable monitoring instrument in accordance with EPA Method 21; or

  • (b) the release is detected

    • (i) during an inspection conducted by means of an eligible optical gas-imaging instrument, or

    • (ii) by means of an auditory method, an olfactory method or a visual method, including the observation of the dripping of hydrocarbon liquids from the equipment component.

• Marginal note:Release not considered a leak

  (2) A release that is detected under paragraph (1)(b) is no longer considered to be a leak if the equipment component undergoes an inspection conducted by means of an eligible portable monitoring instrument in accordance with EPA Method 21 and the release is determined to consist of less than 500 ppmv of hydrocarbons.

Marginal note:Period for repair

• 32 (1) A leak from an equipment component that is detected, whether as a result of an inspection or otherwise, must be repaired

  • (a) if the repair can be carried out while the equipment component is operating, within 30 days after the day on which it was detected; and

  • (b) in any other case, within the period before the end of the next planned shutdown unless that period is extended under section 33.

• Marginal note:Next planned shutdown

  (2) The next planned shutdown must be scheduled not later than the date on which the estimated volume of hydrocarbon gas, expressed in standard m³, that, beginning from the day on which the leak is detected, would if no repairs are made be emitted from the leaking equipment component in question and from all other equipment components that are also leaking as of that day is equal to the volume of hydrocarbon gas, expressed in standard m³, that would be emitted due to purging of hydrocarbon gas from equipment components in order to carry out the repair.

• Marginal note:Repair

  (3) A leak in an equipment component is considered to be repaired if the release is determined to consist of less than 500 ppmv of hydrocarbons based on an inspection of the equipment component by means of an eligible portable monitoring instrument in accordance with EPA Method 21 that is capable of measuring hydrocarbon concentrations in ppmv.

Marginal note:Extension up to six months for repair

• 33 (1) An operator for an upstream oil and gas facility that must repair an equipment component on or before the end of a period referred to in paragraph 32(1)(b) may, not later than 45 days before the end of the period, apply to the Minister to extend the period for up to six months.

• Marginal note:Granting of extension

  (2) The Minister must grant the application and extend the period for up to six months if the application contains the information set out in Schedule 1 and

  • (a) documents that establish that, as of the making of the application, there are reasonable grounds to conclude that it is not technically feasible to complete the repair of the equipment component before the end of the next planned shutdown;

  • (b) documents that establish that the applicant has a plan to repair the equipment component that sets out

    • (i) the expected date for the completion of the repair,

    • (ii) the steps to be taken to ensure completion of the repair on or before that date,

    • (iii) a justification, with supporting documents, for the belief that that date is the earliest feasible date to complete the repair, and

    • (iv) measures to be taken to minimize, if not eliminate, any harmful effect on the environment or human health from the emission of hydrocarbon gas before the completion of the repair; and

  • (c) a statement that the implementation of the plan is to begin within 30 days after the day on which the extension is granted.

• Marginal note:Renewal

  (3) The period granted under subsection (2) may be further extended by application made under subsection (1). At most two applications for a further extension may be made.

• Marginal note:Refusal of application

  (4) The Minister must refuse the application if the Minister has reasonable grounds to believe that the applicant has provided false or misleading information in the application.