March 27, 2015
In 2013 a new regulation was enacted to provide the National Energy Board with a new enforcement tool called Administrative Monetary Penalties or AMPs. The application of AMPs focuses on regulatory requirements related to safety of the public and workers, and protection of the environment.
The NEB issued its first AMP in May of 2014. In January of this year the NEB began a policy of publicly publishing AMPs as they are issued – this means that a company receives a penalty notification before it has a chance to question the allegations through the regulator’s review process.
Currently the NEB is taking a much more assertive approach to the use of AMPs and Enbridge has been assessed penalties, as detailed in recent news coverage. Enbridge assesses each AMP to determine whether there are grounds for a review or any additional considerations to present to the Board that may reduce or eliminate the assessed penalty amount. If no grounds for review are determined, Enbridge remits the penalty.
Enbridge continues to strive to construct our facilities to meet all approved conditions and is seeking clarity from the regulator on the imposition of AMPs, and their evolving expectations for industry. In the meantime, we have taken additional steps to scrutinize our projects to ensure that all requirements have been met based on the regulator’s new approach. At Enbridge we take full responsibility to ensure the design of our projects meets or exceed the standards for the protection of the environment and ensuring public safety.