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Oil/Gas Pipeline Transmission

Industry Code: 51501

Compulsory
Industry Custom Pricing - ER

This industry describes employer operations that own and/or operate pipelines for the transmission of crude oil or natural gas. Major transmission lines extend from producing regions to the user: refiners, utility companies, petrochemical manufacturers, etc.

Operation Details:

The operator may purchase the oil/gas of other producers or may act as a 'common carrier'; i.e. they do not simply move their own production or product. Depending on the type of product, pipelines will have on-line pumping or compressor stations at various intervals to assist in the movement of the product through the pipeline. Maintenance and repair of these stations may be conducted by the operator.

Contract operators, sometimes referred to as gaugers, are considered part of this industry as a supply of labour specific to the operation of pipelines. Gaugers operate in much the same manner as field production operators engaged by oil and gas producers. They take readings that measures the volume of product entering the transmission line from various producers as well as taking samples to determine the grade of the product. Gaugers may advise the owner of needed repairs, however, do not complete repair work themselves.

Employer may own and operate a pipeline with related equipment, trucks and accessories, and may employ operators, technical staff, labourers, sales/estimators and office/administrative staff.

All employers in this industry are members of Energy Safety Canada (ESC). Safety associations represent the interests of employers and promote workplace safety through education and other initiatives. Improved workplace safety can result in fewer claims and help lower premiums. A portion of premiums collected is allocated to the association to support these initiatives.

Underwriting Considerations:

This industry does not include feeder lines or gathering systems from the well head to gas plants or battery sites. Marketing companies (firms which simply purchase and sell crude oil or natural gas) are classified along with producers in industry 06300. Oil/Gas Producers in industry 6300, when operating their own pipeline, do not require an additional classification.

Industry Custom Pricing: Modified Experience Rating

This industry has chosen to participate in Industry Custom Pricing effective January 1, 2011. For employers participating in the Experience Rating Plan for Large Employers, the following experience rating features will be used in determining their premium rate:

-Maximum discount or surcharge of 60%
-Maximum participation of 100%
-Maximum experience used of 100%
-Participation rate of 1% for every $4000 in premiums

Premium Rate History:

Activities:

Gas Pipeline - operation of
Oil Pipeline - operation of
Pipeline Compressor Stations - Operation of
Pipeline Transmission, Oil and Gas

Rate Group History:

This rate group was established in 1992.

This industry describes employer operations that own and/or operate pipelines for the transmission of crude oil or natural gas. Major transmission lines extend from producing regions to the user: refiners, utility companies, petrochemical manufacturers, etc.

Premium Rate History:

Activities:

Gas Pipeline - operation of
Oil Pipeline - operation of
Pipeline Compressor Stations - Operation of
Pipeline Transmission, Oil and Gas

Operation Details:

The operator may purchase the oil/gas of other producers or may act as a 'common carrier'; i.e. they do not simply move their own production or product. Depending on the type of product, pipelines will have on-line pumping or compressor stations at various intervals to assist in the movement of the product through the pipeline. Maintenance and repair of these stations may be conducted by the operator.

Contract operators, sometimes referred to as gaugers, are considered part of this industry as a supply of labour specific to the operation of pipelines. Gaugers operate in much the same manner as field production operators engaged by oil and gas producers. They take readings that measures the volume of product entering the transmission line from various producers as well as taking samples to determine the grade of the product. Gaugers may advise the owner of needed repairs, however, do not complete repair work themselves.

Employer may own and operate a pipeline with related equipment, trucks and accessories, and may employ operators, technical staff, labourers, sales/estimators and office/administrative staff.

All employers in this industry are members of Energy Safety Canada (ESC). Safety associations represent the interests of employers and promote workplace safety through education and other initiatives. Improved workplace safety can result in fewer claims and help lower premiums. A portion of premiums collected is allocated to the association to support these initiatives.

Underwriting Considerations:

This industry does not include feeder lines or gathering systems from the well head to gas plants or battery sites. Marketing companies (firms which simply purchase and sell crude oil or natural gas) are classified along with producers in industry 06300. Oil/Gas Producers in industry 6300, when operating their own pipeline, do not require an additional classification.

Industry Custom Pricing: Modified Experience Rating

This industry has chosen to participate in Industry Custom Pricing effective January 1, 2011. For employers participating in the Experience Rating Plan for Large Employers, the following experience rating features will be used in determining their premium rate:

-Maximum discount or surcharge of 60%
-Maximum participation of 100%
-Maximum experience used of 100%
-Participation rate of 1% for every $4000 in premiums

Rate Group History:

This rate group was established in 1992.