Mr. Speaker, I have a Return to Written Question 21-17(5) asked by Mr. Dolynny on October 20, 2014, to the Honourable David Ramsay, Minister of Industry, Tourism and Investment, regarding the regulator of oil and gas operations.

Mr. Dolynny had asked the following questions:

1. At times the regulator is privy to information that

would not be in the public’s best interest to disclose or debate, such as a company’s net profit projects. What mechanisms are in place to ensure that information disclosure will respect the public’s best interest and not place any corporation, agency or other organization at a significant disadvantage, and how will this information be dealt with in response to questions and debates within this House?

The regulator is bound by Section 91 of the Petroleum Resources Act (PRA), which states that information or documentation provided for the purpose of the PRA or the Oil and Gas Operations Act (OGOA) is privileged, with the exception of some areas of permissible disclosure identified in that section. Financial information submitted by a company is privileged under the legislation.

The regulator is also bound by the Access to Information and Protection of Privacy Act (ATIPPA). Where there is a conflict of inconsistency between the provisions of the PRA and the ATIPPA, the PRA provisions are to be followed, per Section 91(11) of the PRA.

The regulator values and strives to achieve transparency and openness with respect to decision-making processes and other regulatory activities. However, as outlined, the regulator is bound by the privilege provisions of Section 91 of the PRA.

2.

How will corporate involvement and development of government programs and strategies, such as the Mineral Development and Economic Opportunities Strategy, continue under this new regime?

The regulator acts as an independent regulatory and decision-making entity and does not participate in the development of government programs and strategies relating to the support of economic development through industry engagement and promotion. These functions are carried out by the Government of the Northwest Territories departments.

3. How will decisions be reached in situations

where the views of departmental advisors differ widely from the oil and gas committee or the Members of the Legislative Assembly?

The regulator, or his delegate, is a statutory decision-maker who can only consider evidence that is put before him in accordance with the requirements of the legislation and the information requirements, guidelines and interpretation notes issued under the Canada Oil and Gas Operations Act prior to April 2, 2014, and carried over under the transitional provisions contained in OGOA.

The regulator has service agreements in place with the National Energy Board and the Alberta Energy Regulator to provide technical expertise and recommendations in support of decision-making. From time to time, the regulator also accesses technical expertise from other regulators.

While the National Energy Board and the Alberta Energy Regulator and others provide technical expertise, decisions are made by the regulator or his delegates, as appropriate.

Due to the confidentiality requirements in the PRA and the need to maintain an arm’s length and independent decision-making process, the regulator does not discuss applications with GNWT departmental officials, MLAs or other stakeholders, including members of the public, except under the limited circumstances provided for in the legislation. The regulator will also not discuss applications under review with Executive Council.

The oil and gas committee identified in OGOA has not been constituted. However, its role is limited to decisions with respect to pooling and unitization, where the committee is empowered to make decisions and issue orders under OGOA that bind the operators in question.

In summary, the regulator is required to consider all information submitted and to make public the reason for decisions. Thank you, Mr. Speaker.