Oil sands companies called on to “keep it in the ground” – but Suncor opens new mine near Fort McMurray, deploys driverless trucks

Parkland report big oil coverThe majority of Alberta oil sands production is owned by the five companies: Canadian Natural Resources Limited (CNRL), Suncor Energy, Cenovus Energy, Imperial Oil, and Husky Energy.  What the Paris Agreement Means for Alberta’s Oil Sands Majors, released on January 31 by the Parkland Institute, evaluates what the 2°C  warming limit in the  Paris Agreement means for those “Big Five” –  by assessing their  emissions-reduction disclosures and targets, climate change-related policies, and actions, in light of their “carbon liabilities.” The carbon liabilities are calculated using  three levels for the Social Cost of Carbon, ranging from $50, $100, and $200 per tonne. Even under the most conservative scenario, the carbon liabilities of each corporation are more than their total value, and the combined carbon liabilities of the Big Five ($320 billion) are higher than Alberta’s GDP of $309 billion. Conclusion: “the changes required to remain within the Paris Agreement’s 2°C limit signals a need for concrete, long-term “wind-down” plans to address the challenges and changes resulting from global warming, including the fact that a significant portion of known fossil fuel reserves must remain underground.” What the Paris Agreement Means for Alberta’s Oil Sands Majors was written by Ian Hussey and David Janzen, and published by the Parkland Institute as part of the SSHRC-funded Corporate Mapping Project.  A National Observer article reviewed the report and published responses from the Big Five companies on January 31.

autonomous electric mining truckRather than keeping it in the ground, Suncor Energy announced on January 29 that it is continuing to ramp up production at its Fort Hill oilsands mine, about 90 kilometres north of Fort McMurray.  The next day, Suncor also announced  the beginning of a 6-year phase-in of approximately 150 autonomous electric trucks at numerous locations. The company said it will “continue to work with the union on strategies to minimize workforce impacts,” and that “current plans show that the earliest the company would see a decrease in heavy equipment operator positions at Base Plant operations is 2019.”   Reaction from the local union is here in a notice on the website of Unifor 707A;  Unifor National Office response is here:  “Driverless trucks aren’t the solution for Suncor” .  The National Observer published an interview with a Suncor spokesperson on January 31.  According to”Suncor Energy says driverless trucks will eliminate a net 400 jobs in the oilsands” , Suncor is the first oil sands company to use driverless trucks, and “Suncor’s plan to test the autonomous truck systems was initially criticized by the Unifor union local because of job losses. But Little says Suncor is working with the union to minimize job impacts by retraining workers whose jobs will disappear. The company has been preparing for the switch by hiring its truck drivers, including those at its just−opened Fort Hills mine, on a temporary basis.”

The good news is that  “the era of oil sands mega-projects will likely end with Suncor Energy’s 190,000 barrel-per-day Fort Hills mining project, which started producing this month”, according to an article by Reuters.  The bad news is in the title of that article:  “Why Canada is the next frontier for shale oil” (Jan. 29) . The article extols the strengths of Alberta’s mining industry, and quotes a spokesman for Chevron Corporation who calls the Duvernay and Montney formations in Canada “one of the most promising shale opportunities in North America.”  For a quick summary, read   “Montney, Duvernay Oil and Gas Fields Seize the Momentum from Athabasca Tar Sands/Oil Sands” ( Jan. 31) in the Energy Mix.

Also,  consider the work of Ryan Schultz of the Alberta Geological Survey.  Most recently, he is the lead author of  “Hydraulic fracturing volume is associated with induced earthquake productivity in the Duvernay play”, which  appeared in the journal  Science on January 18 , and which is summarized in the  Calgary Herald  on January 18.  It discusses the complexities of how fracking has caused earthquakes in the area.

Trade unions in the U.K. actively engaged in climate change policy, advocating for environmental representatives

Trade Unions in the UK: Engagement with climate change is a new report, based on research conducted between September 2016 and January 2017 by the Campaign Against Climate Change Trade Union Group . The report asks:  what are the driving forces behind trade union engagement in climate change issues, and what are some of the barriers and difficulties for trade unions?  It summarizes the results of interviews with policy officers and environmental activists from the largest 15 unions in the Trades Union Congress (TUC), as well as two smaller but active unions: Transport and Salaried Staff Association (TSSA) and the Bakers, Food and Allied Workers Union (BFAWU). The report is also based on the results of systematic searches of the unions’ websites and relevant policy documents (with links to key documents).  It reveals an overview of the diversity and context of trade union climate policy, focusing on issues such as environmental representatives, energy supply, airport expansion, fracking and divestment from fossil fuels. The report summarizes the positions on these issues, union by union, but for those who want even more detail, there is a supplementary inventory .

This first-ever report was released in August 2017, and since then, Unison has voted to campaign for pension fund divestment and the TUC adopted an historic motion for public ownership of energy at its September Congress.  Also at the Fringe Meeting of the September Congress, the Campaign Against Climate Change Trade Union Group presented its discussion paper  ‘Another world is possible: jobs and a safe climate‘. And most recently, the U.K. government at long last released its Clean Growth Strategy, to limited union approval.

 

Still advocating for Environmental Rights as Human Rights. Evidence from Alberta, and innovative proposals for Nova Scotia

The Pembina Institute recently compiled three case studies related to energy development in Alberta, in an effort to document the adverse effects on individuals, communities and regions that result from weak environmental laws or regulatory enforcement.  The Environmental Law Centre in  Alberta also  published a series of reports in late 2016, including a module, Substantive Environmental Rights , which discusses environmental rights as a human right. Since 2014, the Blue Dot campaign, led by the David Suzuki Foundation and Ecojustice ,  has been advocating for environmental rights to be enshrined in the Canadian Charter of Human Rights and Freedoms.

Now, from the Pembina Institute comes The Right to a Healthy Environment: Documenting the need for environmental rights in Canada.  It consists of:  Case Study #1:  Individual impacts of intensive hydraulic fracturing activity in rural Alberta   ;  #2 Community impacts of air pollution in urban central Alberta (related to coal-fired electricity plants), and #3 Regional impacts of oilsands development in northern Alberta   (which examines the rights of First Nations).

In Nova Scotia, the Nova Scotia Environmental Rights Working Group of the East Coast Environmental Law Association  released their proposed and innovative  Nova Scotia Environmental Bill of Rights  on April 21 2017.  The bill states that the people “have a right to a healthy and ecologically balanced environment”, and that the “primary responsibility” to protect and conserve that environment falls to the province.  It also states that “there is a history of environmental racism in Nova Scotia that has disproportionately and negatively affected historically marginalized, vulnerable, and economically disadvantaged individuals, groups or communities, particularly Indigenous People and African Nova Scotians”.  The bill is based on the Precautionary Principle, the Polluter Pays Principle, the Non-Regression Principle, the Intergenerational Equity Principle, and the Principle of Environmental Justice and Equity.  Nova Scotians go to the polls in a general election on May 30; a guide to the policy positions of the Liberal, Conservative and NDP parties is here at the CBC website.  According to the Ecology Action Centre in Halifax, the provincial NDP party has pledged to support an Environmental Bill of Rights .

 

 

 

 

Provisions for Clean energy and Oil and gas development in Quebec’s Bill 106

Bill 106, An Act to implement the 2030 Energy Policy and to amend various legislative provisions, passed into law in the Quebec National Assembly in a special session on Saturday Dec. 10.  The Bill establishes Transition energetique Quebec (TEQ),an agency to “support, stimulate and promote energy transition, innovation and efficiency and to coordinate the implementation of all of the programs and measures necessary to achieve the energy targets defined by the Government “.   In addition to the clean energy provisions, Bill 106 also introduces new measures concerning the distribution of “renewable natural gas”, and enacts the Petroleum Resources Act, whose purpose is to “to govern the development of petroleum resources while ensuring the safety of persons and property, environmental protection, and optimal recovery of the resource, in compliance with the greenhouse gas emission reduction targets set by the Government.” The Bill establishes a licence and authorization system for the production and storage of oil,  including a requirement for a guarantee to cover the costs of well closure and site restoration.    The Globe and Mail report, “Quebec paves way for oil, gas exploration with new energy plan”  (Dec. 11) highlights opposition by environmental and citizen groups, and states that the provisions regarding oil and gas could  potentially allow for fracking.

May 2016 News: New Brunswick and Newfoundland extend Fracking bans

New Brunswick’s Minister of  Energy announced an indefinite extension of the province’s fracking ban on May 27, based on the February  report  of its Hydraulic Fracturing Commission,  according to a CBC report  . Similarly, the Newfoundland and Labrador Hydraulic Fracturing Review Panel released its final Report  at the end of May, with a  recommendation that the “pause” on fracking in Western Newfoundland continue.  See the Panel website,   which includes Submissions and Documents , as  well as technical reports as appendices,  which include research into the economic and jobs impacts of fracking, as well as impacts on human health and water resources.

New Brunswick has also released a discussion guide , Building a Stronger New Brunswick Response to Climate Change , in order to to stimulate public input for the Select Committee on Climate Change, constituted in April 2016.  There is no target date yet for its report.