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Alberta auditor general seeks reforms to how province manages oilpatch liabilities

Alberta’s auditor general says the province’s system for managing environmental risks from old oilpatch facilities needs significant improvement.
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A campaign worker steams the wrinkles from a large Alberta flag at an event venue in Calgary, Alta., Tuesday, April 16, 2019. The posting for a new high-level Alberta government job supposed to help the province align with environmental concerns from financial markets seems more about talk than action, observers say. THE CANADIAN PRESS/Jeff McIntosh

Alberta’s auditor general says the province’s system for managing environmental risks from old oilpatch facilities needs significant improvement.

In a report issued today, Doug Wylie says the Alberta Energy Regulator lacks important safeguards to ensure abandoned wells, pipelines and other infrastructure are cleaned up safely.

He says the regulator needs better public reporting and better ways to measure its results.

Wylie recommends that energy companies be given a timeline to clean up their facilities, as is done in other jurisdictions.

He wants to see more emphasis on ensuring adequate security is collected to pay for cleanup.

Neither the province nor the regulator was immediately available to comment on the report’s nine recommendations.