Some minor amendments to the Dormancy and Shutdown Regulation (DSR) has been approved by the BC Energy Regulator's Board of Directors.
EFFECTIVE DATE: Dec. 18, 2020
The Regulator’s Board of Directors, pursuant to the Oil and Gas Activities Act (OGAA), has approved some minor amendments to the Dormancy and Shutdown Regulation (DSR).
The amendments are summarized below.
- Annual Work Plans and Annual Reports must now be submitted to the Regulator in the form and manner specified by the Regulator. As per INDB 2020-25 all Annual Work Plans and Annual Reports must be submitted to the Regulator via the eSubmission online portal.
- Sites where the well permit has been cancelled, declared spent, or expired, are now defined as former sites. Former sites are now included with the DSR and permit holders are required to include them in their closure activities. Work completed at former sites will count towards a permit holder's percent targets as set out in sections 15-18 of the DSR, as applicable.
Regarding point two above, former sites are more commonly referred to as sites that were “built but never drilled,” or sites that were “cancelled with surface disturbance.” These cancelled, spent, or expired permits did not fall within the definition of dormant site. As a result, permit holders and former permit holders would not get credit for completing closure work at these sites under the DSR. The inclusion of these sites within the amended DSR as “former sites” ensures permit holders get credit for completing closure work at all sites within their portfolio. It also continues to ensure all permit holders responsibly bring their oil and gas activities to regulatory closure within a reasonable time.
If you have any questions regarding this Industry Bulletin, please contact:
Jenny Biem
Director, Regulatory Affairs
BC Energy Regulator
250-419-4416
Matt Edgar
Manager, Closure
BC Energy Regulator
250-794-5354