Government peppered with questions in legislature about oil project in Lubicon

Friends of the Lubicon
PO Box 444 Stn D,
Etobicoke ON M9A 4X4
Tel: (416) 763-7500
Email: fol (at) tao (dot) ca
www.lubicon.ca

April 29, 2005

Over the past couple of weeks Liberal Members of the Alberta Legislature have been peppering Alberta government officials with questions about the proposed Deep Well Oil and Gas project on Lubicon Traditional Territory.

Environment Critic David Swann and Sustainable Resource Development Critic Bill Bonko have repeatedly asked the government why Deep Well Oil and Gas was able to proceed with levelling trees in Lubicon Territory without ever having applied for a well license from the Alberta Energy and Utilities Board as required under the Alberta regulatory procedure.

Alberta Premier Ralph Klein responded that "they just can't go in holus-bolus and start to raze the forests and drill."

Alberta Environment Minister Guy Boutilier promised "swift action, immediate action" to deal with violations of Alberta regulatory processes and that "the principles set forth by this government will be followed to the letter and to the law".

Sounds good.

But Alberta Energy Minister Greg Melchin then admitted that "with respect to the well application [required under Alberta regulations] ... [it has] yet to come forward" for Deep Well's proposed project - even though the letter and the law both require that the companies apply for and receive a well license before they begin to "raze the forests and drill".

Liberal Environment Critic David Swann quite rightly asked "How can the Minister assure Albertans that proper environmental protection exists when oil and gas companies are allowed to destroy natural areas without license or approval."

He asked "Given that illegal oil and gas development is occurring presently near Sawn Lake in violation of the public trust, will the Premier please explain to Albertans why this is allowed to happen?"

Sustainable Resource Development Critic Bill Bonko asked "Since Guide 56, schedule 4 [of the Alberta Energy and Utilities Board Regulations] states that consultation with the affected land stakeholders is required prior to development, why, then, were the Lubicon not notified about the loss of their traplines and hunting grounds?"

Good questions.

One might also ask why companies are allowed to exploit resources in unceded aboriginal lands when rights to those lands and resources are still subject to negotiations.

The Alberta government has promised to report back to the Legislature on the situation.

Copies of these exchanges are attached below for your information.

 


 

Alberta Liberal Opposition

The Official Opposition of Alberta
201 Legislature Annex
Edmonton, AB T5K 1E4
Tel: (780) 427-2292 Fax: (780) 427-3697
Website: www.liberalopposition.com

Monday April 18, 2005

Oil Well Drilling on Crown Land

Dr. Swann: Thank you, Mr. Speaker. Albertans are under the illusion that their government is in control of resource extraction and honours principles of environmental protection. In recent months, however, extensive land clearing for oil and gas activity on contested Crown lands has been allowed to take place without the companies seeking prior approval from government or consultation with the affected Lubicon communities. I have pictures here that I’ll table later. To the Minister of Energy: given that the minister stated that companies are merely following standard procedure, how are issues of public trust addressed when a company is essentially allowed to bulldoze public land without approval from the EUB?

Mr. Melchin: Mr. Speaker, it’s not without the awareness of the EUB. What has to yet happen is the EUB has to – when they come forward for an application of drilling for that well, that has to yet go forward at that stage. That’s the next part of the process.

Dr. Swann: To the Minister of Environment: how can the minister assure Albertans that proper environmental protection exists when oil and gas companies are allowed to destroy natural areas without licence or approval?

Mr. Boutilier: Mr. Speaker, I want to first and foremost say, as I have said in this House many times in the past, that ensuring environment protection principles are always in place to protect the environment no matter what stakeholder is using the rich and valuable resource that Albertans own – and Albertans own the resource, no one else. Pertaining to the specific issue that the hon. member mentions, I can assure this House and the hon. member that all environmental principles will continue to be met based on the framework we have established. Pertaining to any that are licensed or unlicensed, I will also suggest that the EUB and the Minister of Energy will ensure that due diligence is taking place to ensure that they are licensed relative to the work that they do.

Dr. Swann: Again to the Minister of Environment: will the minister stop the unlicensed destruction taking place on this Crown land, publicly owned land, until a proper assessment is completed?

Mr. Boutilier: Mr. Speaker, I can assure this hon. member and every member of this Assembly and all Albertans that are listening and watching at home that the environment protection framework and principles that we have to ensure sound environmental principles, also pertaining to stakeholder work that is done in this province, the principles set forth by this government, will be followed to the letter and to the law.

 


Alberta Liberal Opposition

The Official Opposition of Alberta
201 Legislature Annex
Edmonton, AB T5K 1E4
Tel: (780) 427-2292 Fax: (780) 427-3697
Website: www.liberalopposition.com

Tuesday April 19, 2005

Oil Well Drilling on Crown Land

Dr. Swann: Thank you, Mr. Speaker. Recent resource development on public land near Sawn Lake, Alberta, without proper approvals confirms what many Albertans already know, that the oil and gas industry calls the shots on resource extraction in Alberta. Neither the Minister of Environment nor the Minister of Energy, charged with regulating this industry, has indicated that anything unusual has occurred. Therefore, my first question is to the Premier. Do oil and gas companies require any prior government approval before trees are cleared, water reservoirs affected, and ecosystems irrevocably altered?

Mr. Klein: Mr. Speaker, the answer is yes. Certainly, they just can’t go in holus-bolus and start to raze the forests and drill. There are lots of regulatory processes to go through. Turning to another issue, the preamble by the hon. Member for Edmonton-Manning, the $45 million to . . . [interjections]

Dr. Swann: Supplementary to the Premier: given that illegal oil and gas development is occurring presently near Sawn Lake in violation of the public trust, will the Premier please explain to Albertans why this is allowed to happen?

Mr. Klein: Mr. Speaker, the situation, as I understand it, is under review. It’s being investigated. I’ll have the hon. Minister of Environment respond.

Mr. Boutilier: I would offer to the hon. member that if he is aware of any illegal activity that is in violation of Alberta law, Alberta regulation, I’d ask him and encourage him to please provide me with that. We will take swift action, immediate action, continuing to protect the environment that Albertans truly do value here in this province.

Dr. Swann: I’ll be tabling more pictures today, Mr. Speaker, on that case.

Again to the Premier: will the Premier take steps to restore public confidence in our regulatory bodies by stopping development and fining the offending companies?

Mr. Klein: Well, Mr. Speaker, I don’t know the situation well enough to stop the project, but I will assure the hon. member that all rules and regulations must be met relative to drilling activities and the removal of trees. Of course, the Minister of Aboriginal Affairs and Northern Development is working on a framework agreement relative to the development of traditional hunting grounds. Perhaps she would wish to respond.

 


Alberta Liberal Opposition

The Official Opposition of Alberta
201 Legislature Annex
Edmonton, AB T5K 1E4
Tel: (780) 427-2292 Fax: (780) 427-3697
Website: www.liberalopposition.com

Wednesday April 20, 2005

Oil Well Drilling on Crown Land

Mr. Bonko: Thank you, Mr. Speaker. Current oil field development on disputed Crown lands in northern Alberta illustrates the lack of direct input Albertans have in ensuring long-term sustainability in the province’s natural areas and economic potential. My question to the Minister of Sustainable Resource Development: before a surface disposition licence was issued to companies involved in oil and gas development at Sawn Lake, did the minister think it necessary to initiate an environmental impact assessment or bother consulting with affected communities?

Mr. Coutts: Mr. Speaker, I’m not familiar with the exact incident that the hon. member has brought forward, but I’ll certainly look into it. It sounds to me that it might be something the EUB might be having approval of, and maybe the hon. Minister of Energy might be able to supplement.

Mr. Bonko: Mr. Speaker, what, if any, public consultations are completed before a licence is given to clear an area the size of half a township?

Mr. Coutts: Again, Mr. Speaker, I believe that when it comes to clearing sites, that’s part of the application process to the EUB.

Mr. Bonko: To the same minister: does the minister consider the shoot first and ask questions later approach to be a responsible sustainable practice in developing long-term integrated land management policy?

Mr. Coutts: Mr. Speaker, there are processes in this province that have proven themselves for almost 60 years on how approvals are given for development in oil and gas and certainly in forestry, and those processes are followed. I will certainly take this question under advisement and get the details. Thank you.


Alberta Liberal Opposition

The Official Opposition of Alberta
201 Legislature Annex
Edmonton, AB T5K 1E4
Tel: (780) 427-2292 Fax: (780) 427-3697
Website: www.liberalopposition.com

Thursday April 21, 2005

Oil Well Drilling on Crown Land

Mr. Bonko: All right. Thank you, Mr. Speaker. The second clause of the EUB’s Guide 56 well site application states that consultation with affected land stakeholders is required prior to clearing land. In addition, according to the EUB’s Informational Letter 2001-5, section 11, clearly prohibits "preparatory or incidental" operations before a well licence can be issued. Rules have been broken. Albertans want answers. My question to the Minister of Energy: why did the government say that all the proper procedures have been followed by oil and gas companies operating at Sawn Lake when this was obviously not the case?

Mr. Melchin: Mr. Speaker, with respect to this clearing in particular, information we received at the time is that the mineral rights have been granted, the surface rights leases have been granted, so those permits have been in place. With respect to the well application we said at that time also that the well application licence was yet to come forward. We are going to continue, and we have been, as ministries, the three departments in particular, working cooperatively on this to ensure that all rules in place have been followed. If not, we will continue to enforce the appropriate standards.

The Speaker: The hon. member.

Mr. Bonko: Thank you, Mr. Speaker. Since Guide 56, schedule 4, states that consultation with the affected land stakeholders is required prior to development, why, then, were the Lubicon not notified about the loss of their traplines and hunting grounds?

Mr. Melchin: Mr. Speaker, we’d be more than happy, in particular if it comes into traplines and so forth, to gather that information and complete facts surrounding the issue and report in due course.

Mr. Bonko: My final supplemental to the same minister: can the minister table these documents completed by all companies operating at Sawn Lake, proving that all the steps, including the EUB’s Guide 56, were met?

Mr. Melchin: Mr. Speaker, I think it is important that the EUB does act in making sure that all the rules and requirements are met; likewise among our various departments with SRD. We’ll be happy to report complete aspects of the details of this case.

 


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