Latest news with #EnergyRegulator

CBC
4 days ago
- General
- CBC
Appeal launched by CNRL in tailings pond bird deaths rejected by Alberta regulator
Social Sharing Canadian Natural Resources Ltd. has lost its appeal against a $278,000 fine it faced for the death of hundreds of birds at a northern Alberta mine. Alberta Energy Regulator confirmed its administrative penalty against the Calgary-based oilsands operator for failing to destroy an island that formed inside one of its tailings ponds, in a decision issued last week. The penalty stems from a 2022 incident at CNRL's Horizon mine, about 60 kilometres north of Fort McMurray, Alta., when hundreds of gulls were coated with bitumen and died. The regulator dismissed the company's claims that the fine should be reduced and reaffirmed that the major oilsands operator had failed in its regulatory duty to protect birds from the bitumen-contaminated waters. The incident is among a string of high-profile bird deaths in the vast expanse of tailings ponds within Alberta's oilsands, incidents that have prompted rigid regulatory measures aimed at protecting bird species from their toxic waters. The incident happened in spring of 2022 when workers discovered birds on the island in an area known as Tar River Valley on the north side of the Horizon mine. The island had taken shape the previous spring, at the centre of a tailings pond, and re-emerged the following year. Despite hazing attempts by CNRL staff, the small stretch of land soon became a nesting site for colonies of birds. By May 21, 2022, CNRL workers counted a single Canada goose nest and 271 California gull nests along its beaches. The emergence of the island and the presence of nests were reported to the regulator in June, but the regulator was told that there was no immediate threat to the birds. Within weeks, the regulator was informed of the first deaths. On July 12, the company discovered about 60 to 70 oiled California gull chicks on site. By the end of summer, more than 400 California gulls died from exposure to the contaminated water. The situation continued until Aug. 4, when the surviving chicks, which had hatched in the tailings pond, were old enough to fly away. The island was destroyed that September. A contested timeline CNRL was convicted last year of a single count under the Environmental Protection and Enhancement Act. The contravention against CNRL had been deemed "major" due to the length of time the company left wildlife exposed to the danger and the company's lack of due diligence in responding to the problems. The operator launched an appeal in February, a legal claim that contested the timeline of the contravention. The Calgary-based operator took responsibility for the bird deaths but took issue with how the penalty had been calculated. CNRL argued the fine should be reduced to $46,750. The company's argument was based on a narrow interpretation of Section 155 of the Environmental Protection and Enhancement Act. Lawyers for the company contended that a violation only occurred on the 13 days when birds were actually found oiled, not the 76 days from when the nests were first discovered. CNRL also argued that portions of the penalty were beyond the two-year statue of limitations for such charges. The AER hearing panel rejected the company's appeal, writing that it was "not convinced" by the company's legal arguments. AER said the contravention was a continuous one. The panel found that Section 155 is intended to be interpreted broadly, meaning the contravention began when CNRL failed to ensure the hazardous substance would not come into contact with wildlife, not just when the contact occurred. The panel also ruled that the penalty was issued within the two-year limitation period, as the contravention continued until the last day the birds were present. Ultimately, the panel concluded that the penalty was appropriate and dismissed the appeal. The regulator noted that the fine had already been reduced in earlier conversations with company officials, based on efforts CNRL had made to mitigate similar incidents in the future. "We are not persuaded that the circumstances of this contravention, including response actions taken by Canadian Natural, merit further reductions to the penalty," the decision reads. "We believe that the re-emergence of the island in 2022 and Canadian Natural's failure to remove it before birds nested on it in May 2022 were the key elements of this contravention, as indicated in the notice of administrative penalty, and that this stands against any further reduction of the penalty. "The penalty is appropriate and should not be changed."


Bloomberg
30-06-2025
- Business
- Bloomberg
Major Canadian Oil Site Vents Most Gas Since 2021 Due to Wildfire
Cenovus Energy Inc.'s Christina Lake oil-sands site vented the most natural gas in more than four years into the atmosphere when a wildfire forced an emergency shutdown of the facility in May. Christina Lake released the equivalent of 151,511 cubic feet a day of climate-warming gas in May, up from less than 5,000 cubic feet a day in April, Alberta Energy Regulator data show. The amount vented was the most for any month since January 2021. The monthly increase in venting was the most for any facility in Alberta and only eight other sites, all of which primarily produce gas rather than oil, released more in total.


Daily Maverick
18-06-2025
- Business
- Daily Maverick
Nelson Mandela Bay seesaws on rates as council battles to pass 2025/26 budget
The Nelson Mandela Bay Council will, again, try to pass the budget on Wednesday and while smaller increases in tariffs for water and sanitation were promised by mayor Babalwa Lobishe last Thursday, it wasn't included in the draft budget. However, by 5pm on Tuesday, a circular indicating that there were conditions to the reduced water and sanitation rates arrived with councillors. The Nelson Mandela Bay metro's council will again try on Wednesday to approve the budget for the 2025/26 financial year. Last Thursday, during the council meeting, Mayor Babalwa Lobishe promised a 0.5% reduction in the proposed increases for water and sewage. But in the draft budget received by councillors on Tuesday, it looked like the increase was again set at 5.5% and not at the promised 5%. But last Thursday night, a circular was signed by Nosipho Xhego, the executive director of corporate services in the metro, stating that the proposed reduced increase can only be put into operation if councillors agreed to scrap the city's scarce skills allowance and also agree to an overtime policy based on regulated thresholds. The circular states that the municipality currently does not have an overtime policy, and also pays more than the regulated thresholds, and implementing these could save R22-million in the current financial year. Other increases remain unchanged, including an increase in property rates by 5%. The proposed increase in electricity prices stands at 12.8%, which is 0.6% higher than the Eskom price. The electricity department is running at a loss of more than a billion and is spending more money on buying electricity than what it makes selling it – because of theft and meter tampering. Allowing this increase, however, is not a decision that can be taken by council though, as it falls within the mandate of the National Energy Regulator. In 2022, the Nelson Mandela Bay Business Chamber successfully applied for an order from the Eastern Cape Division of the High Court in Gqeberha, indicating that Nersa must link price increases to a cost of supply and also was not allowed to pass on municipal inefficiencies to the consumer. Werner Senekal from the Democratic Alliance, the official opposition in the metro, said the budget's projections were off and it was based on a 76% collection rate while the average collection rate is 72%. He added that the Integrated Development Plan, setting out ward-based priorities and the budget, also was not in lockstep. By law, the budget must be passed by 1 July, otherwise the metro's council can be dissolved. In the latest circular sent on Tuesday afternoon, officials admitted that there must be better planning and also mechanisms in place to include ward councillors in decision-making around ward budgets. The money allocated to ward budgets in the revised budget, in comparison to last week, has increased by just over R44-million and, in comparison to the first draft budget in April, has increased by R452-million. Ward 1 and 2 in the metro, both in need of critical electrical infrastructure work, both received R4.8-million and R2-million more in their capital budgets. Ward 16, which includes a large section of the metro's manufacturing industry, received a R14-million boost in the new budget.


Globe and Mail
27-05-2025
- Business
- Globe and Mail
Alberta oil levy too low to cover orphan well costs, report claims
A new report is warning the annual levy charged to Alberta oil companies to fund the cleanup of orphaned oil and gas wells remains too low to keep up with the rate of surrendering. The report, written by former University of Calgary Public Interest Law Clinic lawyer Drew Yewchuk, says this year's levy rate combined with low rates in previous years is leading to an estimated funding shortfall of $1.2-billion. The levy funds the Orphan Well Association, a non-profit entity overseen by industry and regulator officials and tasked with reclaiming wells that are orphaned when oil and gas companies go bankrupt. The association says it currently has more than 3,700 wells on its books that need to be decommissioned and reclaimed, which could cost more than $860-million. Yewchuk's report says the $144-million in levies the Alberta Energy Regulator recently approved to be collected this fiscal year continues the trend of underfunding for the Orphan Well Association. Since the association will also need to repay more than $300-million in federal and provincial government loans over the next 10 years, Yewchuk says Alberta's orphan well situation will only get further out of hand. A spokesperson for the energy regulator says it hasn't seen the report and was unable to comment on it.
Yahoo
26-05-2025
- Business
- Yahoo
Alberta Energy Regulator penalizes Tamarack Valley Energy Ltd. for contraventions
CALGARY, AB, May 26, 2025 (GLOBE NEWSWIRE) -- The Alberta Energy Regulator (AER) has issued an administrative penalty to Tamarack Valley Energy Ltd. for contravening the Oil and Gas Conservation Rules. A copy of the decision is on the AER's Compliance Dashboard. Following an investigation by the AER, it was determined that between May 11, 2022, and August 8, 2022, at Tamarack's facilities near Jarvie, Alta., Tamarack contravened section 12.030(2) of the Oil and Gas Conservation Rules. The company failed to keep original recordings of production measurements, which are essential to verify production data and for accurate volumetric reporting. Consequently, a $25 500 administrative penalty was imposed on Tamarack. An administrative penalty is one of many compliance and enforcement tools the AER can use when companies do not comply with the regulatory requirements. For more information on the AER's investigation enforcement processes, please see the Investigations webpage on the Alberta Energy Regulator The AER provides for the safe, efficient, orderly, and environmentally responsible development of energy and mineral resources in Alberta through our regulatory activities. For more information visit Contact Email: media@ | Media line: 1-855-474-6356 Connect with AER X | LinkedIn| Facebook CONTACT: AER Media Alberta Energy Regulator 1-855-297-474-6356 media@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data