By Canadian Press

Oil price spike won’t increase industry cleanup spending: Alberta energy minister

Oct 8, 2021 | 2:35 PM

EDMONTON — Alberta’s energy minister says the current spike in oil prices isn’t enough reason to require the industry to spend more on cleaning up the tens of thousands of abandoned oil and gas wells in the province. 

Sonya Savage says the province’s recently adopted plan to fix the problem, which requires industry to spend $422 million next year and slightly more after that, is a fair and balanced approach. 

She says it takes into account the industry’s current troubles and its expected future growth.

Oil prices have spiked to $80 a barrel and are expected to climb higher.

Some industry analysts have said the profits those prices will generate should help fund the cleanup of nearly 100,000 abandoned wells in Alberta, a project that will cost tens of billions of dollars.

Raiders AGM

Raiders impact on Prince Albert local economy continues to go up: AGM report

3h ago

Court proceedings

'The impact of this trauma will echo for generations': court case surrounding La Ronge woman's death reaches conclusion

Dec 11, 2024

Going Global

P.A.'s Zablocki named to Team Canada for U18 Women's World Championships

Dec 11, 2024

Experts like Sara Hastings-Simon at the University of Calgary’s School of Public Policy say this may be Alberta’s last chance to get the money from industry.

But Savage says current spending requirements will make a meaningful difference and could be increased two years down the road. 

This report by The Canadian Press was first published Oct. 8, 2021.

The Canadian Press