The mechanism of underground steel pipelines destruction by induced alternate currents in defects of waterproofing coat is considered in the article. Experimental assemblies have been developed to define the limit of qualitative change of character of degradation processes in steel under the action of alternate current. The change of processes’ character occurring on boundary “metal – electrolyte” with the increase of applied alternate voltage has been experimentally shown. For voltages more than 30 V the steel destruction becomes intensified by electroerosion phenomena.