The Site Rehabilitation Program – which provides grant funding to oil field service companies to do closure work on oil and gas sites in Alberta – launched on May 1, 2020. It is vital in achieving one of government’s top priorities, by helping get thousands of Albertans back to work. This program is expected to generate almost 5,300 direct jobs and lead to indirect employment – and economic benefits – across the province, as other businesses will benefit from the increased closure work occurring in many rural areas across the province.
Tens of thousands of applications have been received and staff are working diligently to review all applications, evaluate project contracts, and process grant funding payments in order to get as many Albertans back to work as soon as possible.
We are in the process of notifying successful and unsuccessful applicants of the status of their grant application. Applicants who are not successful are encouraged to apply in coming application periods, where $800 million is still to be awarded through the program.
Application and project status
- 35,758 completed applications have been submitted
- 35,758 applications have been processed
- $64.6 million in grant funding has been approved and is being allocated to 140 Alberta-based companies
- This funding will lead to the creation of approximately 469,834 work hours, as estimated by oil field services companies in their applications
*These statistics will be updated every Friday.
Application review process
To review each application, government staff takes the following steps:
- the application is reviewed and its information evaluated and confirmed
- the proposed closure work is assessed to ensure it meets program and application period guidelines and criteria
- the project contract is assessed, to ensure it meets all legal and program requirements
- if the application or its contract does not meet program requirements, the application will be declined and a notification – along with the reason the application was unsuccessful – will be prepared and sent to the company
- if the application and contract does meet all requirements, the company will be notified that their application for a grant has been approved
- if the application is approved, a grant agreement is prepared and sent to the company to sign
- once the agreement has been signed by the company and returned, the first grant instalment is processed for payment
In the event a company has submitted multiple applications, the department will provide individual decisions on each application.
Since the program launched, additional staff resources have been redirected to review applications and approximately 1,000 applications are being reviewed every day. Government is also working on system upgrades that will make the application review process more efficient in future application periods.
In order for applications to be approved, they must be complete, clear and accurate. They must meet all eligibility requirements and include a valid and unconditional signed contract. If an application has been denied, it is generally for one of 4 reasons:
- the application was incomplete or missing information
- the contract contained “subject to” clauses
- the proposed work or site was not eligible for the program
Companies that have not been approved for a grant will be notified and provided with the reason their application was not successful, allowing them to avoid the same issue in future applications.
Companies that have not been approved for a grant are invited to apply to future grant application periods. There is still up to $800 million in funding available and lots of work left to be done.