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ComplianceGlossary Term

Corrective Action Plan

A formal document a subcontractor submits after a safety incident, audit failure, or contract non-compliance. It outlines specific steps, responsible parties, and deadlines to fix the identified problem. Clients or prime contractors often require approval before field work can resume.

Related Terms

Re-Qualify

Compliance

The process of renewing or repeating required safety, technical, or vendor approvals after they have lapsed or been revoked. Operators and prime contractors may require subcontractors to re-qualify before awarding new work. Failing to re-qualify on time can result in removal from approved vendor lists.

Hazard Elimination

Compliance

The highest level of hazard control, where a risk is completely removed from the worksite rather than managed. For subcontractors, this may mean redesigning a task or substituting dangerous equipment before mobilising crews. It is the preferred first step in any hierarchy of controls review.

Lockout

Compliance

A safety procedure requiring energy sources on equipment to be physically isolated and locked before maintenance work begins. Subcontractors must follow site-specific lockout procedures or risk removal from the worksite. Verify your crew holds valid lockout/tagout certification before mobilising.

Brackish Water

Compliance

Water with salinity between fresh water and seawater, commonly encountered during drilling or site dewatering operations. Subcontractors must handle it as a controlled substance — improper disposal can trigger environmental violations and project shutdowns. Verify disposal protocols with the prime contractor before mobilising.

Pre-Qualification

Compliance

A vetting process where operators assess a subcontractor's safety record, insurance, and certifications before awarding work. Companies must meet minimum standards to be added to an approved vendor list. Failing pre-qualification means being locked out of bidding opportunities entirely.

Methane Emissions Rule

Compliance

A federal or provincial regulation requiring oil and gas operators to detect and reduce methane leaks from equipment and facilities. Subcontractors performing work on wellsites, pipelines, or processing equipment may need to meet specific leak detection and repair (LDAR) standards. Non-compliance can result in fines or disqualification from operator contracts.

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