Supreme Court to decide on handling of abandoned oil wells

The Supreme Court of Canada will hear an appeal over a ruling that could allow energy companies to walk away from cleaning up abandoned oil wells

The Supreme Court of Canada says it will hear an appeal from Alberta’s energy regulator over a ruling that could allow energy companies to walk away from cleaning up abandoned oil wells and affect industrial sites across the country.

In May 2016, an Alberta Queen’s Bench judge ruled in favour of the bankruptcy trustee of Redwater Energy Corp., saying proceeds from the sale of assets from bankrupt energy companies should go first to creditors, not to cleaning up the mess from the company’s operations.

Redwater’s trustee and its lender wanted to sell off the company’s remaining producing wells to pay creditors, arguing a bankruptcy trustee is free to pick and choose from among the company’s assets and disclaim unproductive oil and gas wells.

Related: Politicians criticize Trudeau’s reaction to critics of Energy East demise

Disclaimed wells would be abandoned and left to the Orphan Well Association, an industry-funded and government-backed group, to clean up.

In a split decision last April, Alberta’s Appeal Court backed the original judge, saying federal bankruptcy law takes precedence over provincial environmental rules.

As usual, the Supreme Court gave no reasons for agreeing to hear the appeal.

The Canadian Press

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Two positive COVID-19 cases at Oliver farm

The risk of exposure to the general public related to this farm is considered to be low

Oliver Town Hall closed to public as staffer shows COVID-19 symptoms

One staff member at Oliver Town Hall is being tested for coronavirus

UPDATED: Interior Health to add 495 long-term seniors care beds

Nelson, Kelowna, Kamloops, Vernon and Penticton to receive new facilities

Women stage protest outside town hall to preserve Glenview Park

Two Princeton women spent several days, over the past two weeks, protesting… Continue reading

B.C. records 62 new COVID-19 cases, two deaths since Friday

Province has just over 200 active cases

Summerland approves solar project

Despite community opposition, council voted 4-3 for Cartwright Mountain location

Police search for suspect in assault on woman in downtown Kelowna

Kelowna police received a report a woman had been assaulted by an unknown man on July 12

Hotel rooms for B.C. homeless too hasty, NDP government told

Businesses forced out, but crime goes down, minister says

Wage subsidy will be extended until December amid post-COVID reopening: Trudeau

Trudeau said the extension will ‘give greater certainty and support to businesses’

B.C. government prepares for COVID-19 economic recovery efforts

New measures after July consultation, Carole James says

Horoscopes for the week of July 13

Weekly horoscopes by Morgan Fava

Police keep eye on motorbike gang in Kelowna for poker run

The Throttle Lockers Motorcycle Club Poker Run was to have taken place on July 11

Prohibited driver ticketed after rollover on Highway 1 near Salmon Arm

Jeep Cherokee hit rock face before rolling multiple times

Most Read