Egon
Epic Contributor
I have exactly the same problem. Too small a compressor. The one I have has served me well though. During our last hot days it run for 8 hours straight for a few days when I was scaling rust and painting. 
I thought i read somewhere that OSHA doesent allow PVC? Are you guys sure that the plastic airlines in your workplaces are REGULAR PVC and not Nylon, or something else (IE: air approved ABS)?
The are so many alternatives now, it makes no sense at all to use PVC.
Regardless of material used, there are a couple of things to keep in mind. This may be common knowledge. If so, I apologize for stating something that is obvious. Both points concern moisture in the pipes.
First of all, the horizontal runs around your walls should not be exactly horizontal. It should have a slight fall away from the compressor, with the last drop being vertically downward with a drain valve at the bottom. By falling away from the compressor, any moisture that accumulates in the pipe will drain to the low end. You can crack the valve open ever so often to blow the moisture out of the pipe(s).
The second point concerns the individual drops themselves. Wherever you "TEE" into the pipe to make a connection point, the Tee should be pointing upward. This will prevent any water accumulation from getting in the connection for your air tools and allow the moisture to flow to the low end of the main pipe. For this reason, my main pipes are run around the shop at about waist level. I Tee upward, with each connection pipe having 3 female quick connectors.
Good advice, and I suspect water in the lines is more of a problem in humid states. I get so little water in the lines that whatever is in the system gets drained out of the tank; but I do have drain valves on my drops wherever possible.
Copper is great for air but your insurance agent won't like it. Have a fire and solder melts and you have compressed air feeding the fire. This is also a second reason they don't like PVC besides the exploding factor.
Black iron is the only thing they don't frown on around here. I never asked how they felt about the Garage Pack aluminum stuff with the easy assemble fittings.
When PVC fails it fractures into semi-sharp fragments which are propelled throughout your shop by the compressed air. PVC is not rated for air pressure for this reason. They can be big pieces and propelled quite fast.