Northern Pipeline Socio-Economic and Environmental Terms and Conditions for Northern British Columbia (SI/81-22)

Highways

52 Foothills shall consult with the government of the Province and the regulatory authorities of the Province having jurisdiction over roads, highways and public utilities in respect of the proposed pipeline construction for the purpose of devising means to avoid any damage to any road, highway or public utility.

Availability of Natural Gas to Communities of Northern British Columbia

53 Foothills shall,

• (a) on a full cost-recovery basis, design and construct lateral pipelines and make arrangements for the supply of natural gas to those industrial and commercial users situated in any franchise area in the Province through which the pipeline passes;

• (b) where a community so requests and if directed by the designated officer, assist that community, on a full cost-recovery basis, in the establishment and operation of a community gas distribution system;

• (c) where a commercial or industrial user of natural gas situated in a remote area in the Province through which the pipeline passes, other than a community, requests Foothills, prior to the approval of the designated officer of the final design of the pipeline, to provide valves and fittings at appropriate points to facilitate the future supply of gas to that user, Foothills shall, on a full cost-recovery basis, install such valves and fittings;

• (d) when directed by the designated officer, provide assistance to any community in the Province situated in the area through which the pipeline passes in determining the number of potential users of natural gas in that community and the economic feasibility of installing natural gas facilities in the community;

• (e) provide information and assistance to any community in the Province situated in the area through which the pipeline passes in

  • (i) the designing of any natural gas distribution system required by that community, and

  • (ii) preparing the required application to the appropriate regulatory authority for such system; and

• (f) when requested by any community in the Province situated in any area through which the pipeline passes, provide advice to that community to ensure that the conversion of any existing equipment and system to natural gas occurs without undue cost and inconvenience.

Social Services

54 Foothills shall cooperate with the government of the Province to minimize the demands placed by Foothills, the employees of Foothills and the employees of its contractors and their subcontractors on those social services provided by the government to residents in the vicinity of the pipeline in order that the level of such services so provided are not reduced.

55 Foothills, in consultation with the government of the Province, shall provide referral counselling to its employees and to the employees of its contractors and their subcontractors.

Surveillance, Inspection and Monitoring

56 Foothills shall ensure the maintenance and availability, for examination at any time by the Agency, of such of its records pertaining to its activities in the Province as may be required by the Agency to determine compliance with this Part.

57 Foothills shall report to the Agency, at such times as may be required by the designated officer, on the measures that have been taken by Foothills in complying with this Part.

• 58 (1) Foothills, when directed by the designated officer, shall undertake special studies of the socio-economic impact of the pipeline.

• (2) Every special study referred to in subsection (1) shall be forwarded to the Agency on its completion.

59 Foothills shall

• (a) establish procedures and allocate resources for the purpose of assessing the effectiveness of its compliance with this Part; and

• (b) on the request of the designated officer, assess the effectiveness of its compliance with this Part and report the assessment to the Agency.

Compensation for Damage to Property

60 Foothills shall be liable for any damage to property directly or indirectly caused by Foothills, a contractor of Foothills or a subcontractor of that contractor in connection with or resulting from its activities in the construction or operation of the pipeline.

61 Where, in the course of construction or operation of the pipeline, any damage is either directly or indirectly caused by Foothills, a contractor of Foothills or a subcontractor of that contractor to any property, other than the property of Foothills, a contractor of Foothills or a subcontractor of that contractor, Foothills shall

• (a) immediately take action to prevent further damage;

• (b) immediately inform the owner of the property of the nature of the damage; and

• (c) arrange, as soon as possible, for

  • (i) compensation,

  • (ii) the repair of the damage, or

  • (iii) the replacement of the damaged property.

62 Foothills shall submit to the designated officer, in a manner determined by him, information in respect of any unresolved matter referred to in paragraph 61(c).

63 Where

• (a) Foothills and a claimant against Foothills fail to agree as to liability or compensation for damage for which the claimant alleges Foothills is responsible, and

• (b) the claimant referred to in paragraph (a) agrees with Foothills

  • (i) to enter into an arbitration submission governed by the provisions of the Arbitration Act (British Columbia), and

  • (ii) that a decision of the arbitrator is binding and conclusive,

Foothills shall enter into such arbitration submission and shall pay all costs of and incidental to any arbitration proceedings pursuant thereto except where the arbitrator determines that the claim is frivolous.

Protection of Recreation Areas and Native Harvesting and Cultural Areas

64 Foothills shall, following consultation with

• (a) the government of the Province,

• (b) the Municipal Council of Fort St. John,

• (c) the Municipal Council of Fort Nelson, and

• (d) the Board of the Peace River — Liard Regional District,

submit to the designated officer for his approval a plan, to be known as the recreation plan, that sets out the manner in which Foothills intends to mitigate the effect of the employees of Foothills and the employees of its contractors and their subcontractors and their dependents on the existing recreational use pattern and recreational activity of the residents, other than the employees of Foothills and the employees of its contractors and their subcontractors and their dependents, of the area through which the pipeline passes and tourists who visit that area.

• 65 (1) Foothills shall, following consultation with the government of the Province, and Indian, Metis and non-status Indian organizations in the Province, submit to the designated officer, in a manner and form satisfactory to him, an inventory that sets out

  • (a) the hunting, trapping and fishing areas used by Indian, Metis or non-status Indian people in the vicinity of the pipeline, and

  • (b) any area of cultural importance to Indian, Metis or non-status Indian people in the vicinity of the pipeline, and

  a resource use analysis of the hunting, trapping and fishing areas.

• (2) The resource use analysis referred to in subsection (1) shall consist of information in respect of the seasonal use of hunting, trapping and fishing areas and statistics as to the number and types of species hunted, trapped or fished.

66 In locating the pipeline or any portion thereof, Foothills shall, following consultation with the government of the Province and Indian, Metis and non-status Indian organizations in the Province, locate the pipeline in a manner that minimizes, to the satisfaction of the designated officer, interference with the hunting, trapping and fishing areas and areas of cultural importance set out in the inventory referred to in section 65.

67 In proposing the construction schedule in respect of the pipeline or any portion thereof, Foothills shall, following consultation with the government of the Province and Indian, Metis and non-status Indian organizations in the Province, propose a schedule that minimizes to the satisfaction of the designated officer,

• (a) any conflict with the seasonal use of hunting, trapping and fishing areas, and

• (b) the disturbance of areas of cultural importance

set out in the inventory referred to in section 65.

68 Foothills shall, following consultation with the government of the Province, submit to the designated officer for his approval a plan, to be known as the traditional resource protection plan, that sets out the manner in which Foothills intends to carry out the provisions of sections 66 and 67.

PART IIEnvironmental Terms and Conditions

General

69 Foothills shall

• (a) plan and construct the pipeline efficiently and expeditiously; and

• (b) minimize to the extent possible any adverse environmental impact.

70 Where, in this Part, Foothills is required to make plans, take measures and implement procedures in respect of the environment, Foothills shall

• (a) incorporate in such plans, measures and procedures those environmental practices ordinarily followed in constructing and operating pipelines in the Province; and

• (b) comply with those standards established under the laws of the Province that are applicable to any pipeline constructed and operated under the laws of the Province except where such standards are inconsistent with the Act, any terms and conditions made thereunder or any other law of Canada.

Terrain, Landscape and Waterbodies

71 Foothills shall, in the planning and construction of the pipeline, minimize, to the satisfaction of the designated officer, any adverse environmental impact on land through which the pipeline passes and on waterbodies or groundwater in the vicinity of the pipeline.

72 Where Foothills proposes a location of the pipeline or a portion thereof to the designated officer for approval, Foothills shall, in a manner satisfactory to the designated officer, take into account the effect, if any, of the construction or operation of the pipeline on the existing or potential uses of any land or waterbody through which the pipeline is proposed to pass.

Permafrost and Frozen Ground

73 Foothills shall, in the construction and operation of the pipeline, take measures satisfactory to the designated officer to minimize to the satisfaction of the designated officer any change in the existing physical or biological conditions arising from the consequences of thaw settlement.

74 Foothills shall inspect, to the satisfaction of the designated officer, the implementation of the measures referred to in section 73 and shall, when requested by the designated officer, monitor to the satisfaction of the designated officer, the effectiveness of those measures.

Drainage, Erosion Control and Revegetation

75 Foothills shall, in the planning and construction of the pipeline, take such measures as are satisfactory to the designated officer to

• (a) minimize disturbance of erosion-sensitive terrain; and

• (b) minimize construction on erosion-sensitive terrain during periods in which erosion is most likely to be initiated.

76 Foothills shall design and implement erosion control measures satisfactory to the designated officer in respect of those areas through which the pipeline passes to minimize any interference with any other use of land or water and to protect the environment.

77 Foothills shall, in the construction and operation of the pipeline, minimize, to the satisfaction of the designated officer, the development of subsurface channels along the pipeline and

• (a) any change in the natural drainage patterns, and

• (b) any increase in the sediment loading in waterbodies

of those areas through which the pipeline passes.

78 Foothills shall implement such measures as are satisfactory to the designated officer to rehabilitate land disturbed by the construction or operation of the pipeline.

79 Foothills shall take measures to revegetate land, other than agricultural land, to the satisfaction of the designated officer, disturbed by the construction or operation of the pipeline in a manner that complements any other measure Foothills takes to control drainage and erosion.

80 Where land is to be rehabilitated pursuant to section 78 or revegetated pursuant to section 79, Foothills shall rehabilitate or revegetate, as the case may be, the land in a manner consistent with present land use practices employed in that portion of the Province through which the pipeline passes and shall give priority to the following objectives:

• (a) the control of erosion and its impacts,

• (b) the protection or enhancement of important wildlife habitat, and

• (c) the restoration of the aesthetic value of the land

and such priority shall be given in the order set out in paragraphs (a) to (c).

81 Where Foothills has backfilled any part of the pipeline under construction, Foothills shall, unless otherwise authorized by the designated officer, commence as soon as practicable but, in any event, within one year of the backfilling, the erosion control measures referred to in section 76, the rehabilitation measures referred to in section 78 and the revegetation measures referred to in section 79.