Sask. economic tribunal to review Ottawa’s new oil and gas cap rules
The Saskatchewan government is taking issue with some new federal regulations affecting the oil and gas industry.
Monday morning at the Saskatoon cabinet office, provincial Justice Minister Bronwyn Eyre and Minister of Energy and Resources Jim Reiter announced the government’s decision to refer recently announced federal regulations regarding an oil and gas emissions cap and with new regulations regarding methane to the Saskatchewan Economic Impact Assessment Tribunal.
The tribunal, which was created as part of the Saskatchewan First Act, will be charged with examining the potential economic effect of the new regulations.
Eyre said the new measures were imposed with no consultation. The province’s position is that the federal government is intruding on provincial jurisdiction, specifically in the areas of natural resources and power generation, she added.
“Constitutionally, it’s our position that the federal government can impose neither of these measures on Saskatchewan.”
Eyre said the province can use the findings of the tribunal as evidence in court. When it comes to responding to the new regulations, a range of ideas are being looked at, she added.
“We are laying the groundwork, we are gathering all facts, all evidence and considering all options.”
Taking questions from media, Eyre stressed the government is against the new regulations for fear of what they might mean for the province’s economy and not because of political partisanship.
“I can’t think of anything more fundamental to our well-being going forward as a province, than identifying things that harm our ability to invest in things for the province.”
Eyre defended her government’s environmental record, specifically highlighting reductions of methane emissions. When questioned about the many conflicts the Sask. Party government has had with the federal Liberal government, she said on issues like the oil and gas emissions cap and the new methane regulations, the province does not stand alone.
“We’re seeing that now across the country and across party lines.”
Michael Milani, the chairperson of the Saskatchewan Economic Assessment Tribunal, said the tribunal aims to supply Eyre with a full report by September and will seek as much relevant information as possible.
Milani said the tribunal will look for people with the proper experience and expertise to make a determination.
“No decision has yet been made on the actual panel members.”
Milani stressed the tribunal’s focus will be on possible economic effects and not the constitutionality of the new regulations.
He defended the tribunal’s independence, saying its findings will not be shaped in any way by the fact that it is funded by the provincial government.
“Whatever our report is, whatever (a) report says or doesn’t say has no effect on the funding.”
Referrals to the tribunal come through an order-in-council from the office of the lieutenant-governor, which creates separation from the relevant ministers, he added.
He does not believe appearing at the media conference alongside the two government ministers sent a negative message, he said.
“I would say with great respect, that the optics are not of concern to me; it has no effect on the independence of the tribunal.”