Liability Management

The AER works collaboratively with government and industry stakeholders to develop and implement appropriate liability management programs for all energy sectors regulated by the AER. The AER recognizes its responsibility to Albertans to protect the public from significant potential environmental issues and costs associated with abandonment and decommissioning of those sites that have been involved in petroleum resource recovery by ensuring licensees and owners are responsible for proper abandonment and decommissioning.

Strategies

  • Develop mechanisms to ensure regular, open, and transparent reporting of all abandonment and decommissioning liabilities for energy sectors regulated by the AER.
  • Develop appropriate regulatory requirements to ensure the licensee will be responsible for abandonment and decommissioning liabilities.
  • Promote and advocate progressive liability management from licensees and approval holders.
  • Ensure liability management programs are current.
  • Screen licence or approval transfers to assess the risk posed to the orphan well program and collect whatever financial security might be required.
  • Expand licence liability monitoring capabilities to include all sectors regulated by the AER.

NOTE: The AER held an industry information session on June 19, 2015 to help licensees understand the impacts of the 2015 LLR changes and discuss available options for managing their deemed liabilities. The presentation can be viewed here.

Questions regarding these sessions should be directed to LiabilityManagement@aer.ca.