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Compliance Glossary Term

Competent Person

A worker recognised by a client or regulator as having the training, experience, and authority to identify hazards and direct safe work. Subcontractors are often required to designate a Competent Person on-site before work begins. Failing to do so can result in work stoppages or lost contracts.

Related Terms

Environmental Impact Statement (eis)

Compliance

A formal document assessing a project's environmental effects before work begins. Subcontractors must align their operations with EIS commitments or risk work stoppages. Scope changes that violate EIS conditions can trigger costly regulatory reviews.

NRC (Nuclear Regulatory Commission)

Compliance

A U.S. federal agency that regulates civilian nuclear facilities and materials. Subcontractors working near nuclear sites must meet strict NRC access and safety requirements. Non-compliance can result in immediate removal from site.

Working At Heights

Compliance

Any task performed at an elevation where a fall could cause injury, typically above 3 metres. Subcontractors must hold valid Working at Heights certification and comply with provincial OH&S regulations. Clients often require proof of training before allowing workers on site.

FEMI (Fixed Equipment Mechanical Integrity)

Compliance

A systematic programme ensuring stationary assets like pressure vessels, piping, and heat exchangers remain safe and fit for service. Subcontractors often deliver FEMI work through inspection, NDT, and repair scopes under an owner's integrity management plan. Expect strict documentation requirements and third-party sign-off before returning equipment to service.

Consequential Damages

Compliance

Indirect losses a party claims resulted from a contractor's failure, such as lost production revenue or project delays. Most subcontracts include a mutual waiver clause excluding these claims entirely. Always confirm this waiver is present before signing any field service agreement.

Performance Bond

Compliance

A surety bond guaranteeing a subcontractor will complete work per contract terms. If you default, the bond compensates the prime contractor or owner. Bonding capacity directly affects your ability to bid larger contracts.

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