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Compliance Glossary Term

Api 579

API 579 (Fitness-For-Service) is an industry standard used to assess whether ageing or damaged equipment is safe to keep operating. Subcontractors may be required to support or comply with these assessments during inspection and maintenance scopes. Understanding it helps when working alongside integrity engineers on pressure vessels, piping, and tanks.

Related Terms

Lockout/tagout

Compliance

A mandatory safety procedure requiring workers to isolate and de-energise equipment before servicing or maintenance begins. Subcontractors must follow the site owner's LOTO programme and hold current training documentation. Non-compliance can result in removal from site and contract termination.

Near Miss

Compliance

An unplanned event that did not result in injury or damage but had the potential to do so. Subcontractors are typically required to report near misses to the prime contractor or site owner. Failing to report can jeopardise your safety record and standing on site.

Classification (aggregate)

Compliance

A method of grouping all subcontractor invoices or costs together to assess total contract value or spending thresholds. Owners and primes use aggregate classification to trigger compliance requirements, audit rights, or tiered pricing terms. Subcontractors should track cumulative billing carefully, as crossing thresholds can change contract obligations.

Contractor Certification

Compliance

Formal verification that a subcontractor meets a client's safety, technical, or insurance standards before being awarded work. Most major operators require active certification through third-party registries such as ISNetworld or Avetta. Lapsed certification can result in immediate removal from approved vendor lists.

Approved Vendor List

Compliance

A client- or prime contractor-maintained registry of pre-qualified suppliers and subcontractors eligible to bid on work. Getting onto an AVL often requires submitting safety records, insurance, and certifications in advance. Without AVL status, subcontractors are typically blocked from receiving purchase orders or contracts.

Heat Illness

Compliance

A range of conditions caused by overexposure to heat, from heat cramps and exhaustion to life-threatening heat stroke. Subcontractors working outdoor or industrial sites must monitor crew members and follow site heat stress protocols. Failing to manage heat illness risks can trigger regulatory violations and project shutdowns.

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