Category: Energy Page 3 of 52

Decision Commented On: Ranchland (Municipal District No 66) v Alberta Energy Regulator, 2024 ABCA 309 (CanLII)

PDF Version: Court of Appeal Grants Permission to Appeal Another AER Coal Decision

While my recent coal posts (e.g. here and here) have focused on the efforts of Benga/Northback to resurrect (literally bring back from the dead) its Grassy Mountain Project, it is important to acknowledge that the coal policy decisions (the “flip/flop”) of the Kenney and Smith governments have triggered other litigation. Some of that litigation involves claims to compensation for alleged regulatory takings or constructive expropriation (see Cabin Ridge Project Limited v Alberta, 2024 ABKB 189 (CanLII)) but the case that is the subject of this post deals with other issues – reclamation and opaque AER decision-making.

The Liabilities Go Up and the Security Stays the Same: The Oilsands Mine Financial Security Program in 2024

By Drew Yewchuk

On October 4, 2024

In Energy, Oil & Gas

By: Drew Yewchuk and Martin Olszynski

Documents Commented on: Mine Financial Security Program – Security and Liability (2024); Annual Mine Financial Security Program Submissions 2024 Submissions for 2023 Reporting Year

PDF Version: The Liabilities Go Up and the Security Stays the Same: The Oilsands Mine Financial Security Program in 2024

This is our annual update post in response to the Alberta Energy Regulator (AER) posting the annual submissions for the Mine Financial Security Program (MFSP). The MFSP is ostensibly Alberta’s system for obtaining financial security for the closure of oilsands and coal mines. See last year’s post here, and a lengthy discussion of the problems with the MFSP in our 2023 paper coauthored with Andrew Leach, “Not Fit for Purpose: Oil Sands Mines and Alberta’s Mine Financial Security Program”.

Administrative Penalties at the Alberta Energy Regulator: Regulatory Penalties for the Kearl Oilsands Leak

By Drew Yewchuk

On September 4, 2024

In Administrative Law, Energy, Oil & Gas

By: Drew Yewchuk

Decisions Commented On: AER Notice of Administrative Penalty 202408-009, AER Administrative Sanction 202408-010, and AER News Release 2024-08-22

PDF Version: Administrative Penalties at the Alberta Energy Regulator: Regulatory Penalties for the Kearl Oilsands Leak

On August 22, 2024, the Alberta Energy Regulator (AER) issued notice of administrative penalty 202408-009 (penalty decision) and administrative sanction 202408-010 (administrative sanction) (together, the ‘enforcement decisions’) imposing terms and conditions to Imperial Oil Resources Limited (Imperial Oil). The AER also issued a news release about these two enforcement actions. This post assesses the AER’s enforcement decisions and the justifications provided for them.

Taking Stock of the Grassy Mountain Litigation, Part 2, August 2024

By Nigel Bankes

On August 28, 2024

In Energy

By: Nigel Bankes

PDF Version: Taking Stock of the Grassy Mountain Litigation, Part 2, August 2024

Cases and decisions commented on: (1) AER Panel Decision on Stay Motion Filed by the Municipal District of Ranchland No. 66 (Stay Application) August 9, 2024, and (2) Municipal District of Ranchland No. 66 v Alberta Energy Regulator, 2024 ABCA 274 (CanLII) (PTA Application) August 22, 2024

This ABlawg post is an update to a post from earlier this year: “Taking Stock of The Grassy Mountain Litigation as of February 2024”. In that post, I traced the litigation commenced by Benga and its corporate successor Northback following the June 2021 report and decision of the Joint Review Panel to reject the Grassy Mountain Project exercising authority as the Alberta Energy Regulator (AER). That litigation involved cases in the Federal Court and Alberta’s Court of Appeal and Court of King’s Bench. The Alberta Court of Appeal litigation came to an end in 2022 when the Supreme Court of Canada denied a further leave to appeal. The Federal Court cases are still ongoing, as is the King’s Bench matter, as well as allied litigation brought by First Nations in both Federal Court and in King’s Bench. I refer the reader to my February 2024 post for details on these case as well as the necessary links and references.

The Alberta Energy Regulator’s Planned Timelines for Orphan, Inactive, and Decommissioned Oil and Gas Infrastructure

By Drew Yewchuk

On August 16, 2024

In Energy, Oil & Gas

By: Drew Yewchuk

Regulatory Memo Commented On: Orphan Well Association Annual Report 2023/2024 and AER Bulletin 2024-19, Industry-Wide Closure Spend Requirement for 2025

PDF Version: The Alberta Energy Regulator’s Planned Timelines for Orphan, Inactive, and Decommissioned Oil and Gas Infrastructure

In the past few weeks, the Orphan Well Association (OWA) released their 2023/2024 annual report and the Alberta Energy Regulator (AER) announced the 2025 closure spend requirement. This post assesses the OWA’s plan for the closure of the orphan inventory and the AER’s plan for closure of inactive and decommissioned infrastructure. When does the AER plan for the OWA to complete the closure of the orphan inventory and when does the AER plan for industry to finish decommissioning and reclaiming (or posting security for) Alberta’s inactive and decommissioned oil and gas infrastructure? Target closure dates can be determined by extrapolating from the current orphan fund levy and the closure spend requirement and the estimated total costs of closure.