Thank you for the opportunity to speak to Bill 15, Oil and Gas Operations Act. The passage of this legislation will be another step towards implementing the Northwest Territories Lands and Resources Devolution Agreement.
The Department of Industry, Tourism and Investment will administer the Government of the Northwest Territories’ new authorities under the Oil and Gas Operations Act.
Under the Devolution Agreement, the GNWT is obligated to substantially mirror Canada’s statutes and regulations that are being repealed or made inapplicable to lands transferring to the GNWT through devolution.
The mirroring exercise means that the new GNWT laws will address the same matters in substantially the same way as federal laws do now.
Mirroring principles limited changes to addressing issues such as outdated language and applying GNWT drafting standards.
Mirrored legislation is a practical first step to ensure a continued delivery of services on April 1, 2014. Mirrored legislation also ensures that there are no gaps or overlaps between GNWT and federal legislation.
The parties to the Devolution Agreement entered into a Protocol for Review of Devolution Legislation. Under this protocol, all parties have had the opportunity to review and comment on this legislation before it was introduced in the Legislative Assembly. We have considered these comments carefully in the preparation of the bill before you. The Oil and Gas Operations Act governs the exploration, production, processing and transportation of oil and gas in the onshore of the Northwest Territories. It does not apply to operations on lands that will be retained by Canada, such as waste sites and the Norman Wells Proven Area. Further, it does not apply to the Enbridge pipeline, which is a transboundary pipeline that will continue to be regulated by the National Energy Board under the National Energy Board Act.
The purpose of the Oil and Gas Operations Act is to promote safety, protection of the environment, the conservation of oil and gas resources, and joint production agreements.
The Oil and Gas Operations Act also empowers the Minister to approve a benefits plan or waive the requirement for such approval.
I would be pleased to answer any questions Members may have. Thank you.