The National Energy Board is auditing TransCanada Corp.'s natural gas pipeline inspection procedures after an employee raised concerns the company was breaking its own rules as well as those of regulators.
"The board is concerned by TransCanada's non-compliance with NEB regulations, as well as its own internal management systems and procedures," the watchdog wrote in a letter on its website.
The letter was addressed to Dan King, vice president of engineering, and copied to CEO Russ Girling and Don Wishart, executive vice president of operations and major projects.
The employee, who no longer works at TransCanada, approached the board in May with concerns of "regulatory noncompliance," which the NEB then investigated and discussed with the company.
Many of the allegations - which the board says did not pose immediate threats to the safety of people or the environment - have been verified by an internal audit undertaken by TransCanada.
Many of the concerns related to non-destructive testing inspections of new natural gas pipelines in Alberta before they were approved for service, said TransCanada spokesman Grady Semmens.
Measures to fix the problems have been completed, or are in the process of being implemented, the NEB said.
But the board is nonetheless conducting its own audit to find out whether TransCanada is still breaking the rules and to determine any "corrective actions that may be required."
"We're just going in there to verify what they found in their audit and verify what they're implementing is adequate and meets the board's standards," said Taylor.
There's no set timeline for how long the audit will take. "With any in-depth review, the National Energy Board takes the time required to do a thorough evaluation," said Taylor, adding findings will be made public.
Among other things, the NEB's audit will look at:
? Confirmation that TransCanada's welding inspections and non-destructive examination practices meet NEB requirements.
? Whether changes to TransCanada's internal engineering guidelines meet NEB requirements.
? The remediation measures TransCanada has undertaken based on its internal audit.
? Whether its revised inspection processes meet requirements in the Onshore Pipelines Regulations, 1999.
? The adequacy of a new training program for inspectors.
? The job description of the new quality assurance/quality control manager.
