Category: Environmental Page 4 of 59

The Mature Asset Strategy for Alberta’s Oil and Gas Closure Liability Crisis: Where there is Smoke [and Mirrors], there is Fire

The Alberta government is poised yet again to change its policy direction for addressing the crisis of unfunded closure liabilities in the conventional oil and gas sector. The current yet-to-be-fully-implemented Liability Management Framework (LMF) was announced – to considerable fanfare – just five years ago, in what seemed like an exchange for $1 billion in federal COVID funding to be applied towards closure work on inactive and orphaned facilities. Now that this federal money has been spent (although $137 million was curiously not spent and had to be returned), and Alberta’s inactive well inventory appears to once again be growing, it is apparently time to abandon the LMF for a ‘new’ policy direction that, if nothing else, will once again delay actually dealing with the problem: enter the Mature Asset Strategy (MAS).

First Five Building Canada Act Projects of National Interest (PONIs): Hot to Trot, or All for Naught?

By David V Wright

On September 25, 2025

In Energy, Environmental, Indigenous, Natural Resources

By: David V. Wright

Matter Commented On: Building Canada Act, SC 2025, c 2, s 4

PDF Version: First Five Building Canada Act Projects of National Interest (PONIs): Hot to Trot, or All for Naught?

After months of speculation (see e.g. here), the first list of projects of national interest (PONIs) under the new Building Canada Act (BCA), SC 2025, c 2, s 4 was recently released by the federal government. So, now what? This post explores where these projects sit in the new BCA process and the legal paths ahead. Discussion is framed around several key legal questions that bring to the surface some of the complexities that will arise during implementation of the new regime. This builds on the previous ABlawg post that discussed and commented upon the basic structure of the BCA.

CEO of the Alberta Energy Regulator Denies Public Hearing Rights on a Coal Application

By Nigel Bankes

On September 15, 2025

In Administrative Law, Environmental, Natural Resources

By: Nigel Bankes and Shaun Fluker

Decisions Commented On: AER Panel Decision (July 23, 2025 – Proceeding 449) and AER Reconsideration Decision (August 21, 2015)

PDF Version: CEO of the Alberta Energy Regulator Denies Public Hearing Rights on a Coal Application

This post comments on a recent interlocutory proceeding at the Alberta Energy Regulator (AER or Regulator) concerning a motion by Summit Coal Inc. (Summit) to cancel a scheduled public hearing on its coal mine project application. The basis for the motion was that all the directly and adversely affected persons who initially opposed the application, had subsequently withdrawn their opposition. Accordingly, Summit submitted there was no longer a need for a public hearing to consider the application. The AER panel assigned to the hearing dismissed Summit’s motion on July 23, ruling that the hearing should proceed because two ENGOs with full participation status in the hearing remain opposed to the application. On August 21 the AER’s Chief Executive Officer (CEO) Rob Morgan issued a reconsideration decision that reversed the panel’s ruling and cancelled the public hearing. Two novel questions of law under the Responsible Energy Development Act, SA 2012, c R-17.3 (REDA) arise from these decisions: (1) as a matter of law does the CEO have the authority to vary or reverse a decision of a panel of a hearing commissioners seized with an application to the AER and (2) what is the legal significance of being “directly and adversely affected” for the purposes of a hearing on an application before the AER.

Luciano Lliuya vs. RWE AG: Corporate Climate Liability Through the Lens of the Polluter Pays Principle

By Flavia Vieira de Castro

On August 19, 2025

In Environmental

By: Flavia Vieira de Castro

Case Commented On: Luciano Lliuya v RWE AG (2025) Hamm Higher Regional Court, 5 U 15/17 OLG Hamm / Case No. 2 O 285/15 Essen Regional Court (see here for an unofficial translation of the decision)

PDF Version: Luciano Lliuya vs. RWE AG: Corporate Climate Liability Through the Lens of the Polluter Pays Principle

This post briefly examines the recent and long-awaited decision rendered by the German Higher Regional Court of Hamm in the Lliuya case. This judicial decision is the first to recognize the potential liability of a large greenhouse gas (GHG) emitter from the energy sector for actual climate-related risks. The decision could have significant practical implications for other large GHG emitters, which have contributed to the climate crisis over the last decades while profiting from their polluting activities. The Lliuya decision signals that legal accountability of carbon majors for the climate-related damage is increasingly likely, and large GHG emitters – not only in Germany but also here in Canada and elsewhere – should consider factoring the risk of legal liability into their business models in the future.

The Orphan Well Association Annual Report 2024/2025: The Sequoia Settlement Hits the Orphan Inventory

By Drew Yewchuk

On August 18, 2025

In Energy, Environmental, Oil & Gas

By: Drew Yewchuk

Matter Commented On: Orphan Well Association Annual Report 2024/2025

PDF Version: The Orphan Well Association Annual Report 2024/2025: The Sequoia Settlement Hits the Orphan Inventory

On July 15, 2025 the Orphan Well Association (OWA) released their Annual Report for 2024/2025. OWA annual reports provide insight into Alberta’s orphan oil and gas site problem and the pace at which the problem is being addressed (see the ABlawgs on past OWA annual reports: 2022/2023 and 2023/2024). The OWA annual report is separate from the Alberta Energy Regulator (AER)’s annual liability management performance reports, which ABlawg covered for 2022 and 2023. This blog summarizes the current state and foreseeable future of Alberta’s current orphan oil and gas site problem.