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MSA Announces Investigation into the Bidding Practices of the Balancing Pool

By: Nigel Bankes

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Proceedings and Announcements Commented On: (1) MSA News Release, “MSA has issued a formal notice of investigation to the Balancing Pool related to offer strategies undertaken at PPA units”, September 2, 2020; and (2) AUC Decision 25809-D01-2020, Market Surveillance Administrator, Application to Make Public a Record that Identifies a Market Participant by Name, September 2, 2020

On September 2, 2020, the Market Surveillance Administrator (MSA) announced that it was initiating an investigation into the bidding practices of the Balancing Pool (BP) in relation to the remaining power purchase agreements (PPAs) for which it still has offer control. This follows an earlier MSA investigation into the BP’s bidding practices that resulted in a settlement agreement between the BP and the MSA that was ultimately approved (on the second go-around) by the Alberta Utilities Commission (AUC). For the two AUC decisions see: AUC Decision 23828-D01-2019, Market Surveillance Administrator, Application for Approval of a Settlement Agreement Between the Market Surveillance Administrator and the Balancing Pool, August 1, 2019; and AUC Decision 23828-D02-2020, Market Surveillance Administrator, Application for Approval of a Revised Settlement Agreement Between the Market Surveillance Administrator and the Balancing Pool January 14, 2020. The settlement agreement itself, from October 1, 2019, is posted here (you will need a free AUC account to access).

Exercising the Discretion to Allow Late Family Maintenance and Support Applications

By: Jonnette Watson Hamilton

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Case Commented On: Lamont Estate, 2020 ABQB 449 (CanLII)

A family member has a limited amount of time in which to apply to the Court of Queen’s Bench of Alberta when seeking a greater share of a deceased person’s estate than the share given to them in that person’s will or on intestacy. Under section 89(1) of the Wills and Succession Act, SA 2010, c W-12.2 (WSA), the family member must apply within six months after the grant of probate or administration. Nevertheless, a court may allow a late application for a greater share of any part of the estate not yet distributed: section 89(2). This decision of Justice Nicholas Devlin appears to be the first time that a court has looked at what factors it should consider when exercising its discretion to allow or disallow a late application.

Consent Provisions in Long-Term Relational Contracts

By: Nigel Bankes

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Case Commented On: Apache North Sea Ltd v Ineos FPS Ltd, [2020] EWHC 2081 (Comm)

The drafters of long-term relational contracts often have to deal with the uncertainties of future developments. One technique for doing so is to accord one party to the contract (A) a power to propose some development or other while affording to the other party (B) a power to withhold its consent to the development, but disciplining the consent power by stipulating that B cannot unreasonably withhold its consent. Such provisions have long been common in the landlord and tenant context but they are also common in other commercial contracts, including oil and gas contracts. For a recent Canadian example see IFP Technologies (Canada) Inc v EnCana Midstream and Marketing2017 ABCA 157 (CanLII) and my post on that decision here.

COVID-19 and Masking in Alberta K-12 Schools

By: Shaun Fluker

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Order Commented On: Record of Decision CMOH Order 33-2020

Many parents and their children are excited about the return to K-12 school, but they are also anxious about the potential for a COVID-19 outbreak at their schools. The barrage of information delivered to parents in the past week by schools regarding protocols for COVID-19 probably isn’t helping to ease any feelings of discomfort. Nor are reports that some schools have already delayed the start of classes because of an infection. Now is the time for a voice of authority to give assurance that the Government of Alberta has taken all possible measures to assess and mitigate the risk of contracting COVID-19 in schools. These measures would include the enactment of rules governing a return to school which are clear, organized, justified, and developed in a transparent process. Instead, the Chief Medical Officer of Health (CMOH) and the Premier have been responding to criticism and confusion about the return to school plan, and in particular the rules pertaining to masking and social distancing in Alberta’s K-12 schools. This is a very unfortunate outcome and is raising questions of trust in the CMOH, but it does not come as a surprise to me. I have been following Alberta’s COVID-19 law and policy since the declaration of the public health emergency in March, and I have consistently remarked that CMOH decisions have been plagued with non-transparency and disorganization (see here). This messy approach to lawmaking breeds confusion, and that is exactly what has transpired here. With these thoughts in mind, this post takes a critical look at the back to school rules set out in CMOH Order 33-2020.

Climate Change in Federal Impact Assessment: An Early Look at Two Energy Projects

By: Niall Fink and David V. Wright

PDF Version: Climate Change in Federal Impact Assessment: An Early Look at Two Energy Projects

Documents Commented On: Impact Assessment Act, SC 2019, c 28 s 1; Environment and Climate Change Canada, Final Strategic Assessment on Climate Change (Gatineau: ECCC, 2020)

One year ago, the new Impact Assessment Act, SC 2019, c 28 s 1 (IAA) came into force. With project reviews now proceeding under the IAA, this is an opportune time to reflect on implementation of the new regime so far. This post focuses on one specific dimension: climate change. For the first time since the inception of federal environmental assessment, Canada’s federal project-level assessment statute explicitly requires decision-makers to consider a project’s effects on Canada’s ability to meet its climate change commitments (ss 22(1)(i) and 63(e)). The year has seen this requirement fleshed out through guidance published in the form of the Strategic Assessment of Climate Change (SACC) (see commentary by Professor Wright). This post examines how the new regime’s climate change requirements and guidance have been implemented in two major project-level assessments currently underway: the Suncor Base Mine Extension Project (Suncor Project) and the Gazoduq Project.

We examine the proponents’ submissions and the Impact Assessment Agency of Canada’s (the Agency) process, and identify areas of uncertainty and concern. Overall, we find that the Agency has given proponents significant latitude to sidestep information requirements in preliminary stages of the assessment process. We also find early signals that the impact statement phase will not fully address concerns regarding downstream emissions nor ambiguity in determining a project’s impact on Canada’s ability to reduce emissions. While much remains to be seen in subsequent assessment stages, these weaknesses risk that implementation of the IAA becomes yet another instance of the “implementation gap” that has plagued environmental law for decades (see this article by law professor Dan Farber).

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