As one of the vital economic drivers of the provincial economy, the energy industry is key to the viability of every Alberta community.
Providing billions of dollars in funding for hospitals, schools and other critical infrastructure, the industry makes it possible for Albertans to enjoy one of the highest standards of living anywhere in Canada.
In rural Alberta, the industry provides thousands of good paying jobs, including in the construction and maintenance of production facilities.
There’s no question that without the revenue generated by the energy industry Alberta would be a much less prosperous place.
Unfortunately, one of the downsides of the energy industry has been the abandonment of some oil and gas facilities over the years, including in rural central Alberta.
Whether by companies that have gone bankrupt or companies that have simply walked away from their cleanup responsibilities, the end result has sometimes been very significant environmental degradation and vast taxpayer cost.
It is estimated that the total cost of cleaning up all the orphan wells in Canada, many of which are in Alberta, will grow to more than $1.1 billion by 2025, with the number of such wells already exceeding 8,000.
Mountain View County council recently passed a motion calling on the Minister of Alberta Energy to support the development of a policy requiring a reclamation-recycling program for all Alberta Utilities Commission-approved projects to deal with reclamation and/or recycling obligations at the conclusion of a project’s useful life.
“The county is concerned that without firm policy requiring reclamation and appropriate securities, renewable energy projects will require similar future programs, funded by taxpayers, as the Orphan Well Association,” the county said.
At the same time, the Rural Municipalities of Alberta is seeking government support to establish a method of ensuring there is funding in place for abandoned wind and solar energy projects.
The Alberta government should take immediate action to ensure and guarantee that taxpayers are not on the hook for future energy project cleanup costs.
Dan Singleton is an editor with the Albertan.
