Preserving Canada’s Economic Prosperity Act
Bill 12 has passed to give the province the ability to restrict the export of crude oil, natural gas and refined fuels, if necessary.
Status: Bill 12 passed May 16
Ministry responsible: Energy
Alberta has recently emerged from one of the deepest recessions in its history. After significant gains in 2017, the province's economy is forecast to experience broad-based growth in 2018 and beyond.
To ensure this growth occurs, it's imperative that Albertans receive maximum value for the province's natural energy resources.
Bill 12: Preserving Canada's Economic Prosperity Act has been passed to achieve this goal.
The act gives the government authority to require companies to obtain a licence before exporting energy products from Alberta via pipeline, rail or truck, including:
- natural gas
- crude oil
- refined fuels, such as gasoline, diesel and jet fuel
Export licences would be required for every company only if the energy minister determines it’s in the public interest to ensure:
- adequate pipeline capacity is available to maximize the return on resources
- supply is maintained for Alberta's needs, now and into the future
Licences may be issued for lower amounts than what was previously being exported. Further details on the application process would be included in the forthcoming regulations.
Imports of products into Alberta are not currently subject to any restrictions.
Fact sheet: Preserving Canada's economic prosperity (PDF, 51 KB)
If enacted, anyone who fails to comply with the act, its regulations or a term or condition of a licence may face fines up to:
- $10 million per day for companies
- $1 million per day for individuals
Preliminary discussions have been held with stakeholders during the development of this legislation. We are committed to working closely with affected stakeholders throughout the implementation of the act, if it is enacted.
We recognize the importance of the oil and gas sector, both as an economic driver and as an employer of thousands of Albertans. The effective implementation of the act is an important step to defend Alberta’s workers, our economy and our progress on climate change.
Bill 12 will come into force upon proclamation.
Preserving Canada's economic prosperity (April 16, 2018)