A mandatory safety procedure requiring subcontractors to physically lock and label energy sources before servicing equipment. It prevents accidental startup during maintenance work. Site operators often require proof of worker LOTO certification before mobilisation.
LOTO (Lockout/tagout)
Related Terms
Hazmat-Permitted Storage
ComplianceDesignated facilities licenced to store hazardous materials such as fuel, chemicals, or drilling fluids under strict regulatory approval. Subcontractors must verify their storage sites hold valid permits before mobilising hazardous goods to a worksite. Non-compliance can trigger project shutdowns, fines, or loss of contract eligibility.
Prequalification
ComplianceA vetting process where operators assess a subcontractor's safety record, insurance, and certifications before awarding work. Companies must pass prequalification to be added to an approved vendor list. Failing or lapsing can disqualify a subcontractor from bidding on projects entirely.
Fixed Ladder Safety System
ComplianceA fall-arrest assembly attached to a fixed ladder, typically including a rail or cable that a climber's harness connects to. Required on ladders exceeding specified heights at most oil and gas and construction sites. Subcontractors must verify worker training and compatible harness equipment before mobilising to sites with these systems.
OFAC (Office of Foreign Assets Control)
ComplianceA U.S. Treasury agency that enforces sanctions against designated countries, companies, and individuals. Subcontractors must screen clients and vendors against OFAC lists before accepting contracts or payments. Working with a sanctioned party can result in severe fines and contract termination.
Flaring
ComplianceThe controlled burning of excess natural gas at a wellsite or facility. Subcontractors working on-site must follow strict flaring protocols, as ignition hazards affect work permits and safety zones. Flaring activity can also trigger regulatory hold points that delay field operations.
Approved Vendor List
ComplianceA 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.
Latest Compliance News
OSHA Targets November Proposal to Revisit Computer-Based LOTO Controls
OSHA lists a lockout/tagout update (RIN 1218-AD00) with a November 2026 target for a proposed rule on computer-based controls. The current 29 CFR 1910.147 requirements still apply.
9 days agoIndustryYour LOTO Procedures Are Probably Already Wrong — Here's Why
Lockout/tagout procedure drift is a growing liability for industrial facilities and the subcontractors who work in them. OSHA ranked control of hazardous energy fourth on its FY2025 most-cited standards list, with 2,177 violations — and the root cause isn't lack of training.
5 months agoComplianceRed Seal $5,000 Completion Bonus Portal Opens Nov. 16
Canadian journeypersons certified in a Red Seal trade on or after April 1, 2025 can apply for a $5,000 federal bonus starting Nov. 16, 2026. Here is what employers should prepare now.
2 days agoComplianceTraffic Exposure Was the Top Hazard on Caltrans LA Tunnel Relighting
On Aldridge Electric's I-405/I-105 tunnel relighting in Los Angeles, traffic breaches drove the safety plan. Here is what electrical and traffic control subs can take from it before bidding live-traffic work.
4 days agoRelated Guides
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Compliance GuideOSHA Citations on Multi-Employer Worksites: What Subcontractors Need to Know
Learn how OSHA's multi-employer citation policy works, why subcontractors get cited for hazards they didn't create, and how to protect your company on operator-controlled job sites.
Compliance GuideHow to Read and Negotiate an Oilfield Master Service Agreement (MSA): A Subcontractor's Guide
Learn which MSA clauses actually matter for oilfield subcontractors: indemnity, insurance, payment terms, and change orders. Know what you're signing.
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