The “tension” of energy needs and climate concerns was recently on display. A June 10, 2022, press release from the Office of the Minister of Environment and Climate Change regarding Canadian Environment Week read, “As the celebrations for Canadian Environment Week end, we are reminded that we have only one Earth. From the Torngat Mountains on the Labrador Peninsula to Haida Gwaii on the Pacific Ocean, from Point Pelee in Lake Erie to Grasslands National Park in Saskatchewan all the way to Iqaluit in Nunavut, Canada makes a signature contribution to the health and biodiversity of the planet. When we protect the environment in Canada, we make the world a better place.”
Certainly, the Minister of Environment and Climate Change, Steven Guilbeault, supports reducing Anthropogenic Greenhouse Gas (GHG) emissions. In May 2022, he stated “From devastating wildfires to floods, extreme weather in 2021 drove home the urgency of climate action and ambition. Not only do we need to cut the emissions that cause climate change, we need to ensure our communities and our economy are prepared for this new reality. That is exactly what our government is focused on delivering.”
Rising Gasoline Prices
The long-term goal of reducing GHG emissions are intersecting with immediate pocketbook concerns about the effect of rapidly rising gasoline prices. These rising prices affect all Canadians who drive internal combustion engine automobiles. As of June 6, 2022, the average price of gasoline across Canada passed the two-dollar-per-litre mark. Some are suggesting this is temporary and once the post-pandemic supply chain is in order we will see a more “normal” pricing. Others are concerned that a prolonged war in Ukraine will drag out the higher costs. The real-world impact (changes in consumer decisions/purchases/travel/work) of these high fuel costs is yet to be seen.
It’s not likely that the immediate energy squeeze felt by Canadians is behind the recent approval of an offshore oil project (it takes months if not years for projects to get approved). However, the new offshore oil project will likely polarize those focused on energy with environmental groups.
Offshore Oil Project Approved
The Federal Government has given its stamp of approval on the Bay du Nord project in the Atlantic (~ 500 kilometres offshore from Newfoundland and Labrador).
A $12 billion offshore oil project was recently approved (Image by Keri Jackson from Pixabay).
According to an April 6th release from Reuters, “The Canadian government on Wednesday approved a $12 billion offshore oil project proposed by Norway’s Equinor ASA (EQNR.OL), after an environmental assessment concluded it would not cause significant adverse effects.” The project will involve building a floating platform to drill to obtain an estimated resource of 300 million barrels of light crude oil in the Atlantic Ocean.
In speaking with reporters about the approved project that may produce crude by 2028, Mr. Guibeault said, “We accept the conclusions of the Impact Assessment Agency of Canada on the Bay du Nord project.”
Mr. Guilbeault also said the decision was difficult to make but pointed out that the project is subject to 137 conditions, including one that the project would have to meet net-zero emissions by 2050 (See Federal government approves controversial Bay du Nord oil project).
The CEO of the Newfoundland and Labrador Oil and Gas Corporation (aka OilCo) said there may be three or four more similar oilfields that could be developed in the region.
The environmental law group Ecojustice has launched a lawsuit against the federal government in hopes of overturning the Bay du Nord oil project.
$15 Million Fine
Finally, a note on environmental enforcement. An environmental violation that began over a decade ago was recently settled. The incident occurred at the Mont-Wright mining complex in Fermont, Quebec, from May 25, 2011, to May 14, 2013.
According to the Government of Canada, “On March 6, 2013, the ECCC Enforcement Branch opened an investigation into a November 2012 dike rupture at the Mont-Wright mining complex. The investigation also covered 33 (unauthorized) deposits out of the normal course of events of toxic substances made in water frequented by fish between May 25, 2011 and May 14, 2013, in violation of subsection 36(3) of the Fisheries Act. The criminal investigation resulted in the filing of charges on July 19, 2017.”
Charged in the release were partners in the mining operations, ArcelorMittal Canada Inc. and 7623704 Canada Inc. According to the news release, the investigation by ECCC also revealed that ArcelorMittal Canada Inc. had not declared all the results of its effluent monitoring tests, as required by the Metal Mining and Effluent Regulations.
In the end, ArcelorMittal Canada Inc. was fined $14,400,000 and 7623704 Canada Inc. was fined $600,000.
Experienced Environmental Help
Dragun can help you with environmental issues you may be facing including site assessments and remediation, Excess Soil, Record of Site Conditions, Permit to Take Water, and more.
If you would like to have a confidential discussion regarding your environmental project/concern, contact Christopher Paré, P.Geo. at 519-948-7300, Ext. 114.
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