Order AK-001-2021 pursuant to Section 109 of the Canadian Energy Regulator Act

INSPECTION OFFICER ORDER NO. AK-001-2021

IN THE MATTER OF THE CANADIAN ENERGY REGULATOR ACT (CER Act),
AN ORDER UNDER SECTION 109

NAME OF PERSON(S)/COMPANY TO WHOM THIS ORDER IS DIRECTED

Information not available, Manager Environment & Technical, Twin Rivers Paper Company (TRPC), is employed by TRPC at 27 Rice Street Edmundson, New Brunswick E3V 1S9, conducting work associated with the regulated pipelines.

On or about 23 August 2021 at 10:00 AM (MT) the undersigned Canada Energy Regulator inspection officer conducted a virtual compliance verification activity (the Implementation Assessment (IA) meeting). The IA meeting was conducted via Microsoft Teams.

RELEVANT FACTS

TRPC holds a Certificate of Public Convenience and Necessity, no. CPTC-1982-02, dated 12 October 1982 (Certificate). Pursuant to clause 6 of this Certificate, the Applicant shall maintain the process lines in safe and sound working order.

From January to September 2021, TRPC reported seven incidents:

  • INC2021-001, Release of Groundwood White Water from the 20” groundwood stock line on 2021-01-03.
  • INC2021-042 Release of Groundwood White Water from the 20” groundwood white water return line on 2021-03-09
  • INC2021-043 Release of Sulfite Pulp Slurry from the 14" bleached stock line on 2021-03-15
  • INC2021-044 Release of Sulfite Pulp Slurry from the 14" bleached stock line on 2021-03-15
  • INC2021-090 Release of Sulfite Pulp Slurry from the 14" bleached stock line on 2021-06-26
  • INC2021-112 Release of Bleached White Water from the 20” bleached white water return line on 2021-07-28. This incident was due to failure of a vacuum breaker.
  • INC2021-128 Release of Groundwood White Water from the 20” groundwood white water return line on 2021-09-06

Due to the number of incidents that have occurred to date since January 2021, the inspection officer has reasonable grounds to believe that TRPC is not adequately inspecting and maintaining the process lines in safe and sound working order, as required by the Certificate, based on the following:

  • 1. As indicated in the incident reports filed by TRPC, four of these incidents have released fluids into the Madawaska River, which in turn flows into the St. John River within 300 m downstream of the releases. During one of these incidents in 2021, groundwood white water was determined, using toxicity testing, to be toxic to aquatic crustaceans (Daphnia magna) and rainbow trout (Oncorynchus mykiss) (INC2021-042). Released fluid also entered an adjacent flea market covering the basement floor with several inches of pulp slurry (INC2021-044).
  • 2. Prior to the IA meeting, TRPC provided a failure analysis report (Report No. ENG/21/J10684R1) performed on pipe samples from three underground pipe failures. The report stated that extensive internal and external graphitic corrosion was observed on cast iron samples with significant reduction of the remaining wall and sample embrittlement leading to brittle fracture. Extensive localized wall thinning and perforations were observed on the ductile cast iron sample.
  • 3. During the IA meeting, TRPC advised that all pipe body leaks in the past seven years occurred on cast iron and ductile cast iron pipes. Filed incident reports indicated that the 2021 leaks were the result of operational upsets with pressure surges below maximum or peak operating pressures.
  • 4. During the IA meeting, TRPC discussed an inspection planned for October 2021, during a facility shutdown. The proposed intent of the inspection is to collect test samples of selected pipeline segments for inspection. CER staff expressed concerns that the collected samples will not be representative of the entire pipeline segments. Specifically, those segments not inspected thoroughly may be compromised and could lead to further releases.
  • 5. The October shutdown is expected to be 5-6 days long, which may limit the amount and substance of the inspection work that can be completed within this timeframe. TRPC indicated during the IA meeting that the scheduled inspection is preliminary and designed to provide the best information during the time constraints and allow for further planning.

TRPC further indicated during the IA meeting that it also plans to replace limited, but not all, pipeline segments during the planned shutdown. These pipe segments are not included under Specified Measure b).

GROUNDS FOR MAKING ORDER

Pursuant to section 94 of the CER Act, the holder of a certificate or permit must take all reasonable care to ensure the safety and security of persons, the safety and security of regulated facilities and abandoned facilities, and the protection of property and the environment.

Pursuant to Clause 6 of Certificate of Public Convenience and Necessity, no. CPTC-1982-02, dated 12 October 1982, the Applicant shall maintain the process lines in safe and sound working order.Footnote 1

Based on the facts references herein, the inspection officer has reasonable grounds to believe that there is or is likely to be a contravention of Parts 2 to 5 or section 335 of the Canadian Energy Regulator Act (CER Act), or for a purpose referred to in subsection 102(2) CER Act, the inspection officer may, by order, direct a person to

  • a. stop doing something that is in contravention of Parts 2 to 5 or section 335 or cause it to be stopped;
  • b. take any measure that is necessary in order to comply with Parts 2 to 5 or section 335 or mitigate the effects of non-compliance;
  • c. stop doing something that may cause a hazard to the safety or security of persons, or damage to property or the environment or cause it to be stopped; or
  • d. take any measure that is necessary to prevent or mitigate the hazard to the safety or security of persons or damage to property or the environment.

MEASURES TO BE TAKEN

Twin Rivers Paper Company is ORDERED pursuant to subsections 109(1) and 109(2) of the CER Act to:

  •  X Take measures specified as per (b) and (d) above
  •     Stop doing something as per (a) and (c) above
  •     Suspend work associated with a facility, including a regulated facility, abandoned facility or ground disturbance until the hazardous or detrimental situation has been remedied to the satisfaction of an inspection officer or the order is stayed or rescinded

Specified MeasuresFootnote 2

  • a) In addition to the planned October shut down, inspections, and pipe segment replacements, TRPC is to submit to the inspection officer, for review, no later than 30 November 2021, a plan for all pipe segments not replaced during the October shutdown as identified in b) below. The plan must include a timeline for inspections for the entirety of the pipe segments or a timeline for replacement.Footnote 3 As per the Certificate, the plan must also include measures on how TRPC will maintain the pipe segments in a safe and sound working order at all times.
  • b) Following the implementation of the plan described in a), TRPC must demonstrate and report to the CER that the pipe segments identified in i) to ix) below are maintained in safe and sound working order:
    • i) the three 1959 cast iron pulp stock lines (segments I) underneath the St. John River, as per TRPC drawings D-21-3373 and D-21-3377 and as per the understanding that the 14” and 20” diameter bleached stock lines are in parallel and identical in materials;
    • ii) the three 1993 ductile cast iron pulp stock lines (segments V), as per TRPC drawings D-21-3373 and D-21-3377 and as per the understanding that the 14” and 20” diameter bleached stock lines are in parallel and identical in materials;
    • iii) the two 1970 cast iron bleached stock lines (segments IX), as per TRPC drawing D-21-3377 and as per the understanding that the 14” and 20” diameter bleached stock lines are in parallel and identical in materials;
    • iv) the two 1980 304 SS white water return lines (segments I) crossing the International Bridge, as per TRPC drawings D-21-3374 and D-21-3378;
    • v) the 1970 cast iron bleached white water return line (segment IV), as per TRPC drawing D-21-3378;
    • vi) the 1976 ductile iron bleached white water return line (segment VII), as per TRPC drawing D-21-3378;
    • vii) the 1988 ductile iron groundwood white water return line (segment II), as per TRPC drawing D-21-3374;
    • viii) the 1993 ductile iron groundwood white water return line (segment IV), as per TRPC drawing D-21-3374;
    • ix) the 1988 ductile iron groundwood white water return line (segment VI), as per TRPC drawing D-21-3374.

EFFECTIVE DATE OF THE ORDER

This inspection officer order takes effect immediately on 08 October 2021 at the time of delivery of the order to the person/company to whom it is directed. Nothing in this order must be construed as reducing, increasing, or otherwise affecting what may be required of the person/company to whom it directed to comply with all applicable legislative or legal requirements.

COMPLIANCE WITH THIS INSPECTION OFFICER ORDER IS MANDATORY

Failure to comply with an inspection officer order issued under section 109 of the CER Act is an offence under section 112 of the CER Act.

Inspection Officer
Inspection Officer Information not available Information not available
__________________________________
Signature
IO Designation Number
08/10/2021
Information not available
__________________________________
Name (printed)
Date
210-517 10 Ave SW, Calgary AB  T2R 0A8

Please note that in compliance with the CER’s Enforcement Policy, this Order will be posted on the CER’s website.

CVA or Incident #: CV2122-293

Date modified: