Pipeline – Abandonment

AltaGas Holdings Inc. on behalf of AltaGas Pipeline Partnership (“AltaGas”) applied to the NEB (the “Application”) requesting leave to abandon the John Lake Pipelines.

In its application AltaGas proposed to abandon in-place approximately 2.80 km of the North John Lake Pipeline and 2.40 km of the South John Lake Pipeline (the “Pipelines”) located within Onion Lake Cree Nation’s (“OLCN”) Reserve Land.

The Pipelines to be abandoned are located approximately 60 km east of Elk Point, Alberta.

AltaGas proposed to abandon the Pipelines in-place. Once the abandonment activities are completed, AltaGas will maintain the easement for the abandoned Pipelines.

Environmental Impact

The Project was not subject to the requirement of an Environmental Assessment under Canadian Environmental Assessment Act, 2012 as it is not a designated project under that Act.

AltaGas submitted that the Pipelines’ right-of-way (RoW) are located entirely on Crown land, and that abandonment activities will be carried out entirely within AltaGas’ existing RoWs. AltaGas stated that the land use in proximity to the RoWs is primarily oil and gas activity with no additional land access being required for abandonment activities.

The NEB noted that previously disturbed lands provide only limited wildlife habitat. All the proposed abandonment work is to take place along the existing disturbed AltaGas Right of RoW.

AltaGas requested that it be permitted to file its Environmental Protection Plan (“EPP”) after the commencement of work. The NEB denied AltaGas’ request, noting that the purpose of the EPP is to communicate AltaGas’ Project-specific environmental protection commitments, procedures, and mitigation measures during abandonment activities. Accordingly, the NEB directed AltaGas to file the EPP prior to commencing abandonment activities.

The NEB determined that, subject to the conditions contained in the NEB order approving the application, carrying out the abandonment of the Pipelines is not likely to cause significant environmental and socio-economic effects.

Public Consultation

The NEB noted that AltaGas did not initiate consultation with potentially affected persons or groups until after it filed the Application.

However, the NEB determined that ultimately, anyone potentially affected by the Project was given notice of the Project and had the opportunity to voice their concerns to AltaGas or the NEB.

The NEB held that the consultation program was appropriate for the scale of the Project.

Aboriginal Matters

The NEB noted concerns raised by OLCN related to contamination of lands arising from the proposal to abandon the Pipelines in-place. Although AltaGas submitted that there is no known contamination on the RoWs, the NEB considered it necessary to include a condition to provide assurance that any contamination (historic or unknown) would be identified and reported before AltaGas commences abandonment activities.

OLCN also submitted that appropriate reclamation standards, outcomes, and methodology should be developed in conjunction with OLCN. OLCN submitted that the abandonment and reclamation plans should include community-based monitoring informed by Indigenous knowledge.

In a subsequent letter from OLCN to the NEB, OLCN stated that it had discussed the Project with AltaGas, and based on those discussions and the mitigation options agreed to by AltaGas, OLCN did not object to the Project.

with the implementation of AltaGas’ mitigation measures and the inclusion of the NEB’s conditions, the NEB found that any potential Project impacts on Aboriginal groups were likely to be minimal. To facilitate continued consultation efforts between AltaGas and OLCN, the NEB included conditions to that effect. Specifically, conditions of the Project’s approval included requirements that AltaGas:

(a) confirm that a copy of the Phase I ESA has been provided to OLCN (as part of Condition 4);

(b) confirm that the results of the Phase II ESA, or a statement indicating that it was not required, has been provided to OLCN (as part of Condition 5);

(c) if the results of the Phase II ESA identify that remediation is required, to file a Remediation Action Plan, including summaries on consultations with OLCN. In its summaries, AltaGas must provide a description and justification for how it has incorporated the results of its consultation, including any recommendations from OLCN into the Plan;

(d) provide OLCN a copy of AltaGas’ plan describing participation by OLCN in monitoring of Abandonment Activities for the Project (as part of Condition 7); and

(e) confirm that a copy of the Post-Abandonment Report has been provided to OLCN (as part of Condition 8).

Decision

The NEB concluded that subject to the conditions set out in the Order, approving the Application was in the public interest. The NEB therefore granted AltaGas leave to abandon the Pipelines.