Energy Resources Conservation Board
Encyclopedia
The Energy Resources Conservation Board (ERCB) is an independent, quasi-judicial agency of the Government of Alberta. It regulates the safe, responsible, and efficient development of Alberta's energy resources: oil, natural gas
, oil sands
, coal, and pipelines. Led by eight Board members, the ERCB's team of engineers, geologists, technicians, economists, and other professionals serve Alberta
ns from thirteen locations across the province.
The ERCB's mission is to ensure that the discovery, development, and delivery of Alberta's energy resources take place in a manner that is fair, responsible and in the public interest.
The ERCB adjudicates and regulates matters related to energy
within Alberta
to ensure that the development, transportation and monitoring of the province's energy resources are in the public interest. The Board provides this assurance of the public interest
through its activities in the application and hearing process, regulation
, monitoring, and surveillance
and enforcement.
The information and knowledge responsibility of the Board includes the collection, storage, analysis, appraisal, dissemination and stakeholder awareness of information. Open access to information develops awareness, understanding and responsible behavior and allows the Board and stakeholders to make informed decisions about energy and utility matters. This responsibility will result in the Board discharging its advisory role with respect to matters under the jurisdiction of the Board.
The Government of Alberta owns about 80 per cent of the province's mineral rights
, such as oil
, natural gas
, coal
, and the oil sands. In other words, most resources are owned by the people of Alberta through their government. While private companies can develop these resources, the ERCB is authorized by the government to protect the public's interest relating to the discovery, development, and delivery of these resources. Regulation is needed so that non-renewable resources
are produced in a safe, responsible, and efficient manner, without waste.
The ERCB also ensures that everyone affected by development has a chance to be heard. When conflicts regarding development remain unresolved between companies and landowners, the ERCB works to settle the issues in a fair and balanced manner.
In 1996, the Alberta Geological Survey
(AGS) joined the ERCB. AGS assists the ERCB by providing data, information, knowledge and advice about the geology
of Alberta.
In October 2008, ERCB was named one of Alberta's Top Employers
by Mediacorp Canada Inc., which was announced by the Calgary Herald
and the Edmonton Journal
.
Regulation is done through two core functions: adjudication and regulation, and information and knowledge. ERCB approval must be given at almost every step of an energy project’s life.
Applications
This branch, made up of three groups, provides a streamlined approach to processing some 40 000 energy development applications each year. The Facilities Group handles project reviews, audits, and approvals related to new or modified oil and gas facilities, such as wells, pipelines, batteries, and gas plants. The Resource Group deals with applications and issues related to development and conservation projects for oil, gas, and coal. The Business Operations and Development Group manages the coordination of administrative support, approvals development, planning, objections, and hearings.
Field Surveillance and Operations
This branch provides technical and operational expertise in the development, application, and enforcement of regulatory requirements for conventional and nonconventional resources. The branch ensures that oil and gas operations are conducted in a safe and responsible manner through incident response, resource conservation, protection of the environment, and industry liability management. Operating from Field Centres across Alberta, field staff inspect construction, operation, and abandonment operations at oil, gas, and oil sands facilities and respond to emergencies and public concerns on a 24-hour basis.
Corporate Support
This branch incorporates several groups. Human Resources provides services and programs to ensure that a competent and committed workforce is in place to achieve ERCB goals and objectives. The Communications Group develops strategic communication, consultation strategies and delivers related media, Web site, and document services to keep staff and stakeholders informed about ERCB activities. Administrative Services provides building, library, and printing services.
Finance
This branch provides revenue and expenditure management and administration of the industry funding levy. In addition, staff coordinate the preparation of the ERCB’s three-year business plan and performance reporting.
Information and Systems Services
This branch is responsible for ERCB information systems, support, and technological infrastructure, with a focus on new ways to deliver electronic commerce. Another core area is the collection and dissemination of energy resource information, including oil and gas production. This information is also used to determine provincial royalties, well records, regulatory publications, maps, and various energy databases.
Law
This branch provides a wide range of legal advice and services to the organization, with a focus on procedural fairness and objectivity. Its responsibilities include application and regulatory policy, hearings, proceedings, related internal and external consultations, and the formulation of energy regulations and legislation. The branch administers intervener funding and leads a key advisory committee that advises the Board on decisions and policy matters.
Geology, Environmental Science, and Economics
This branch maintains an integrated and current inventory of Alberta’s subsurface energy, mineral, and other resources in a geological framework. It provides knowledge, advice, and forecasts about the states of earth-energy resource development in the context of Alberta’s environment, economy, and society. The branch also develops and supports regulatory processes and best practices to conserve earth-energy resources, maintains environmental quality, assures public safety, and guides informed risk taking in regulatory and policy decisions.
Oil Sands
The Oil Sands Branch has overall responsibility for how the ERCB regulates oil sands activities in Alberta. The branch comprises the Mineable Oil Sands Group, which looks after oil sands developments that use mining recovery technology as well as bitumen upgrading, and the In Situ Oil Sands Group, which focuses on developments using recovery technology involving subsurface or in situ recovery methods. Collaborating with other ERCB branches, the Oil Sands Branch takes the lead on processing applications, conducting surveillance and enforcement of approved projects, and carrying out geological assessments as they apply to the oil sands.
The ERCB also plays a vital environmental protection role by reviewing flaring permits, oilfield waste disposal facilities, drilling waste practices, and emergency response plans.
ERCB approval for a facility or project is considered to be routine if an application is complete, there are no landowner objections, and the company applying has met all technical, safety, public consultation, and environmental requirements. The turnaround time for a complete and well-prepared routine application can be as short as one day.
Some projects require input from other government departments. The ERCB passes such applications to Alberta Environment, which handles distribution to other departments. This “one-window” approach means that applicants do not have to go to each government department for individual review and approval. The general rule is that each government department checks that a specific proposal meets its own regulations and standards and then forwards any deficiencies or concerns to the ERCB via Alberta Environment.
Nonroutine applications take more time—weeks, or even months—to process if there are landowner objections, community and environmental concerns, or objections from competing companies. Objections to applications may also be resolved through facilitation, mediation, or negotiated settlements approved by the Board. However, any unresolved matter or objection related to an application may proceed to an ERCB hearing.
ERCB hearings are held when the ERCB receives an objection from a person who may be directly and adversely affected by a proposed project. Applications filed may create community concern or a need for more information; however, these matters are often settled through an Appropriate Dispute Resolution (ADR) process. When matters are settled through ADR or there are no public concerns and objections, there is no need for a hearing. The Board will also dismiss objections if the person does not appear to be directly or adversely affected.
The ERCB mails a Notice of Hearing to inform people and organizations affected by an application about the hearing. The Notice of Hearing may be published in daily and/or weekly newspapers.
Hearing notices are available on the ERCB Web site. Companies involved in large projects usually hold an open house to explain their proposed project, answer citizens’ questions, and address the community’s concerns.
The Notice of Hearing provides interested parties with the following information:
An ERCB hearing follows a formal process to ensure that everyone has a say:
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
, oil sands
Tar sands
Bituminous sands, colloquially known as oil sands or tar sands, are a type of unconventional petroleum deposit. The sands contain naturally occurring mixtures of sand, clay, water, and a dense and extremely viscous form of petroleum technically referred to as bitumen...
, coal, and pipelines. Led by eight Board members, the ERCB's team of engineers, geologists, technicians, economists, and other professionals serve Alberta
Alberta
Alberta is a province of Canada. It had an estimated population of 3.7 million in 2010 making it the most populous of Canada's three prairie provinces...
ns from thirteen locations across the province.
The ERCB's mission is to ensure that the discovery, development, and delivery of Alberta's energy resources take place in a manner that is fair, responsible and in the public interest.
The ERCB adjudicates and regulates matters related to energy
Energy
In physics, energy is an indirectly observed quantity. It is often understood as the ability a physical system has to do work on other physical systems...
within Alberta
Alberta
Alberta is a province of Canada. It had an estimated population of 3.7 million in 2010 making it the most populous of Canada's three prairie provinces...
to ensure that the development, transportation and monitoring of the province's energy resources are in the public interest. The Board provides this assurance of the public interest
Public interest
The public interest refers to the "common well-being" or "general welfare." The public interest is central to policy debates, politics, democracy and the nature of government itself...
through its activities in the application and hearing process, regulation
Regulation
Regulation is administrative legislation that constitutes or constrains rights and allocates responsibilities. It can be distinguished from primary legislation on the one hand and judge-made law on the other...
, monitoring, and surveillance
Surveillance
Surveillance is the monitoring of the behavior, activities, or other changing information, usually of people. It is sometimes done in a surreptitious manner...
and enforcement.
The information and knowledge responsibility of the Board includes the collection, storage, analysis, appraisal, dissemination and stakeholder awareness of information. Open access to information develops awareness, understanding and responsible behavior and allows the Board and stakeholders to make informed decisions about energy and utility matters. This responsibility will result in the Board discharging its advisory role with respect to matters under the jurisdiction of the Board.
The Government of Alberta owns about 80 per cent of the province's mineral rights
Mineral rights
- Mineral estate :Ownership of mineral rights is an estate in real property. Technically it is known as a mineral estate and often referred to as mineral rights...
, such as oil
Oil
An oil is any substance that is liquid at ambient temperatures and does not mix with water but may mix with other oils and organic solvents. This general definition includes vegetable oils, volatile essential oils, petrochemical oils, and synthetic oils....
, natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
, coal
Coal
Coal is a combustible black or brownish-black sedimentary rock usually occurring in rock strata in layers or veins called coal beds or coal seams. The harder forms, such as anthracite coal, can be regarded as metamorphic rock because of later exposure to elevated temperature and pressure...
, and the oil sands. In other words, most resources are owned by the people of Alberta through their government. While private companies can develop these resources, the ERCB is authorized by the government to protect the public's interest relating to the discovery, development, and delivery of these resources. Regulation is needed so that non-renewable resources
Non-renewable resources
A non-renewable resource is a natural resource which cannot be produced, grown, generated, or used on a scale which can sustain its consumption rate, once depleted there is no more available for future needs. Also considered non-renewable are resources that are consumed much faster than nature...
are produced in a safe, responsible, and efficient manner, without waste.
The ERCB also ensures that everyone affected by development has a chance to be heard. When conflicts regarding development remain unresolved between companies and landowners, the ERCB works to settle the issues in a fair and balanced manner.
In 1996, the Alberta Geological Survey
Alberta Geological Survey
Alberta Geological Survey is part of the Energy Resources Conservation Board, a provincial agency of the Government of Alberta. Alberta Geological Survey provides geological information and expertise to government, industry and the public about Alberta’s Earth resources and geological processes for...
(AGS) joined the ERCB. AGS assists the ERCB by providing data, information, knowledge and advice about the geology
Geology
Geology is the science comprising the study of solid Earth, the rocks of which it is composed, and the processes by which it evolves. Geology gives insight into the history of the Earth, as it provides the primary evidence for plate tectonics, the evolutionary history of life, and past climates...
of Alberta.
History
Alberta's first energy regulatory body was created in 1938. A succession of agencies led to the new ERCB being established January 1 2008, as a result of the realignment of the Alberta Energy and Utilities Board (EUB) into the ERCB and the Alberta Utilities Commission. The ERCB also includes the Alberta Geological Survey.In October 2008, ERCB was named one of Alberta's Top Employers
Alberta's Top Employers
Alberta's Top Employers is a competition that recognizes the best workplaces in Alberta. Published annually since October 2005, the designation recognizes the Alberta employers that lead their peers in providing exemplary employee benefits and forward-thinking human resource programs...
by Mediacorp Canada Inc., which was announced by the Calgary Herald
Calgary Herald
The Calgary Herald is a daily newspaper published in the Canadian city of Calgary, Alberta.- History :The paper was first published on August 31, 1883 by Andrew Armour and Thomas Braden as The Calgary Herald, Mining and Ranche Advocate and General Advertiser. It started as a weekly paper with only...
and the Edmonton Journal
Edmonton Journal
The Edmonton Journal is a daily newspaper in Edmonton, Alberta. It is part of the Postmedia Network.-History:The Journal was founded in 1903 by three local businessmen — John Macpherson, Arthur Moore and J.W. Cunningham — as a rival to Alberta's first newspaper, the 23-year-old...
.
Scope
The ERCB regulates the safe, responsible, and efficient development of oil, natural gas, oil sands, and coal, and as well as the pipelines to move the resources to market.Regulation is done through two core functions: adjudication and regulation, and information and knowledge. ERCB approval must be given at almost every step of an energy project’s life.
Governance
To maintain its autonomous structure, the ERCB answers directly to the Executive Council (Cabinet) of Alberta through the Minister of Energy, but it makes its formal decisions independently in accordance with the six statutes it administers.Organization structure
The ERCB is led by a Board of eight people: a Chairman and Board Members. Supporting the Chairman and Board Members are the Executive Committee, and approximately 900 staff who work in eight main branches:Applications
This branch, made up of three groups, provides a streamlined approach to processing some 40 000 energy development applications each year. The Facilities Group handles project reviews, audits, and approvals related to new or modified oil and gas facilities, such as wells, pipelines, batteries, and gas plants. The Resource Group deals with applications and issues related to development and conservation projects for oil, gas, and coal. The Business Operations and Development Group manages the coordination of administrative support, approvals development, planning, objections, and hearings.
Field Surveillance and Operations
This branch provides technical and operational expertise in the development, application, and enforcement of regulatory requirements for conventional and nonconventional resources. The branch ensures that oil and gas operations are conducted in a safe and responsible manner through incident response, resource conservation, protection of the environment, and industry liability management. Operating from Field Centres across Alberta, field staff inspect construction, operation, and abandonment operations at oil, gas, and oil sands facilities and respond to emergencies and public concerns on a 24-hour basis.
Corporate Support
This branch incorporates several groups. Human Resources provides services and programs to ensure that a competent and committed workforce is in place to achieve ERCB goals and objectives. The Communications Group develops strategic communication, consultation strategies and delivers related media, Web site, and document services to keep staff and stakeholders informed about ERCB activities. Administrative Services provides building, library, and printing services.
Finance
This branch provides revenue and expenditure management and administration of the industry funding levy. In addition, staff coordinate the preparation of the ERCB’s three-year business plan and performance reporting.
Information and Systems Services
This branch is responsible for ERCB information systems, support, and technological infrastructure, with a focus on new ways to deliver electronic commerce. Another core area is the collection and dissemination of energy resource information, including oil and gas production. This information is also used to determine provincial royalties, well records, regulatory publications, maps, and various energy databases.
Law
This branch provides a wide range of legal advice and services to the organization, with a focus on procedural fairness and objectivity. Its responsibilities include application and regulatory policy, hearings, proceedings, related internal and external consultations, and the formulation of energy regulations and legislation. The branch administers intervener funding and leads a key advisory committee that advises the Board on decisions and policy matters.
Geology, Environmental Science, and Economics
This branch maintains an integrated and current inventory of Alberta’s subsurface energy, mineral, and other resources in a geological framework. It provides knowledge, advice, and forecasts about the states of earth-energy resource development in the context of Alberta’s environment, economy, and society. The branch also develops and supports regulatory processes and best practices to conserve earth-energy resources, maintains environmental quality, assures public safety, and guides informed risk taking in regulatory and policy decisions.
Oil Sands
The Oil Sands Branch has overall responsibility for how the ERCB regulates oil sands activities in Alberta. The branch comprises the Mineable Oil Sands Group, which looks after oil sands developments that use mining recovery technology as well as bitumen upgrading, and the In Situ Oil Sands Group, which focuses on developments using recovery technology involving subsurface or in situ recovery methods. Collaborating with other ERCB branches, the Oil Sands Branch takes the lead on processing applications, conducting surveillance and enforcement of approved projects, and carrying out geological assessments as they apply to the oil sands.
Energy Applications
An application is a request by a company for ERCB approval—in the form of a licence, order, permit, or approval—for an energy project. Most energy-related projects require ERCB approval. Each year tens of thousands of applications are reviewed and approved by the ERCB.The ERCB also plays a vital environmental protection role by reviewing flaring permits, oilfield waste disposal facilities, drilling waste practices, and emergency response plans.
ERCB approval for a facility or project is considered to be routine if an application is complete, there are no landowner objections, and the company applying has met all technical, safety, public consultation, and environmental requirements. The turnaround time for a complete and well-prepared routine application can be as short as one day.
Some projects require input from other government departments. The ERCB passes such applications to Alberta Environment, which handles distribution to other departments. This “one-window” approach means that applicants do not have to go to each government department for individual review and approval. The general rule is that each government department checks that a specific proposal meets its own regulations and standards and then forwards any deficiencies or concerns to the ERCB via Alberta Environment.
Nonroutine applications take more time—weeks, or even months—to process if there are landowner objections, community and environmental concerns, or objections from competing companies. Objections to applications may also be resolved through facilitation, mediation, or negotiated settlements approved by the Board. However, any unresolved matter or objection related to an application may proceed to an ERCB hearing.
ERCB Hearings
An ERCB hearing is a formal process that provides an important opportunity for different points of view about an energy project to be aired in a fair and orderly forum. A hearing allows for an open, public testing of technical, environmental, social, and economic evidence from those involved. The process ensures that all relevant arguments for and against the energy facility project are heard.ERCB hearings are held when the ERCB receives an objection from a person who may be directly and adversely affected by a proposed project. Applications filed may create community concern or a need for more information; however, these matters are often settled through an Appropriate Dispute Resolution (ADR) process. When matters are settled through ADR or there are no public concerns and objections, there is no need for a hearing. The Board will also dismiss objections if the person does not appear to be directly or adversely affected.
The ERCB mails a Notice of Hearing to inform people and organizations affected by an application about the hearing. The Notice of Hearing may be published in daily and/or weekly newspapers.
Hearing notices are available on the ERCB Web site. Companies involved in large projects usually hold an open house to explain their proposed project, answer citizens’ questions, and address the community’s concerns.
The Notice of Hearing provides interested parties with the following information:
- date, time, and location of the hearing,
- application number and nature of the application,
- a contact for the company that filed the application,
- ERCB information,
- the due date for filing objections or interventions, and
- a statement that all material relating to the proceeding is subject to Alberta’s Freedom of Information and Protection of Privacy legislation.
An ERCB hearing follows a formal process to ensure that everyone has a say:
- Opening Remarks: The panel chair explains the purpose of the hearing and introduces the members of the panel and all ERCB staff in the room. Then participants in the hearing register an appearance, coming forward and introducing themselves.
- Preliminary Matters: Procedural and legal matters are presented, such as adjournment requests or the scheduling of a specific witness at a particular time.
- Applicant (Application): The applicant presents its case and may question its own witnesses. Then interveners, ERCB staff, and the Board panel may cross-examine those witnesses. Once cross-examinations are complete, the applicant may question the witnesses again to clarify any issues that arose.
- Interveners: Interveners next present their cases in the same order they registered. After the intervener gives direct evidence, the lawyer for the applicant may cross-examine, followed by the other interveners who wish to cross-examine. ERCB staff and panel members may then cross-examine the intervener. Following cross-examination, the intervener is entitled to clarify any matters that arose.
- Rebuttal Evidence by Applicant: Once the above process is complete with all the interveners and their witnesses, the applicant may submit additional evidence to address new points raised by interveners' evidence.
- Final Argument or Summation: Each participant may provide an explanation of what he or she believes are the important aspects of the issues involved and what decisions they feel the panel should make. The applicant may respond to interveners' arguments.
- Closing of Hearing: The panel chair announces the hearing is completed and that the decision of the panel and the reasons for it will be given at a later date.