Canada–Nova Scotia Offshore Petroleum Resources Accord Implementation and Offshore Renewable Energy Management Act (S.C. 1988, c. 28)

Safety of Works and Activities

Marginal note:Safety — petroleum operations

• 142.2 (1) The Regulator shall, before issuing an authorization for a work or activity referred to in paragraph 142(1)(b), consider the safety of the work or activity by reviewing, in consultation with the Chief Safety Officer, the system as a whole and its components, including its structures, facilities, equipment, operating procedures and personnel.

• Marginal note:Safety — offshore renewable energy operations

  (2) The Regulator shall, before a work or activity referred to in subsection 142.011(1) commences, consider the safety of the work or activity by reviewing, in consultation with the Chief Safety Officer, the system as a whole and its components, including its structures, facilities, equipment, operating procedures and personnel.

Spill-treating Agent

Marginal note:Net environmental benefit

142.21 The Regulator shall not permit the use of a spill-treating agent in an authorization issued under paragraph 142(1)(b) unless the Regulator determines, taking into account any prescribed factors and any factors the Regulator considers appropriate, that the use of the spill-treating agent is likely to achieve a net environmental benefit.

Financial Requirements

Marginal note:Compliance — petroleum

• 142.3 (1) The Regulator shall, before issuing an authorization for a work or activity referred to in paragraph 142(1)(b), ensure that the applicant has complied with the requirements of subsections 167.1(1) or (2) and 168(1) or (1.01) in respect of that work or activity.

• Marginal note:Compliance — offshore renewable energy

  (2) The Regulator shall ensure that an applicant or holder of an authorization under subsection 142.011(1) has, prior to a date determined by regulations or, in the absence of regulations, prior to commencing a work or activity under that authorization, complied with the requirements of subsections 188.2(1) and 188.21(1) in respect of that work or activity.

Development Plan Approval

Marginal note:Approval of general approach of development

• 143 (1) No approval that is

  • (a) applicable to an authorization under paragraph 142(1)(b) to carry on work or activity in relation to developing a pool or field, and

  • (b) prescribed by the regulations for the purposes of this subsection

  shall be granted, except with the consent of both Ministers, unless the Regulator, on application submitted in accordance with subsection (2), has approved a development plan relating to the pool or field pursuant to paragraphs (4)(a) and (b).

• Marginal note:Application and submission of development plan

  (2) For the purposes of subsection (1), an application for the approval of a development plan shall be submitted to the Regulator in the form and containing the information fixed by the Regulator, at such time and in such manner as may be prescribed, together with the proposed development plan in the form and containing the information described in subsection (3).

• Marginal note:Development plan in two parts

  (3) A development plan relating to the proposed development of a pool or field submitted pursuant to this section shall be set out in two parts, containing

  • (a) in Part I, a description of the general approach of developing the pool or field, and in particular, information, in such detail as may be prescribed, with respect to

    • (i) the scope, purpose, location, timing and nature of the proposed development,

    • (ii) the production rate, evaluations of the pool or field, estimated amounts of petroleum proposed to be recovered, reserves, recovery methods, production monitoring procedures, costs and environmental factors in connection with the proposed development, and

    • (iii) the production system and any alternative production systems that could be used for the development of the pool or field; and

  • (b) in Part II, all technical or other information and proposals, as may be prescribed, necessary for a comprehensive review and evaluation of the proposed development.

• Marginal note:Approval of development plan

  (4) After reviewing an application and development plan submitted by any person pursuant to this section the Regulator may, subject to such requirements as the Regulator deems appropriate or as may be prescribed, approve

  • (a) subject to sections 32 to 37, Part I of the development plan; and

  • (b) Part II of the development plan.

• Marginal note:Approval of amendments to plan

  (5) Where a development plan has been approved pursuant to subsection (4), no amendment of Part I or II of the development plan shall be made unless it is approved by the Regulator in accordance with paragraph (4)(a) or (b), as the case may be.

• Marginal note:Application of certain provisions

  (6) Subsections (2) to (5) apply, with such modifications as the circumstances require, with respect to a proposed amendment to a development plan.

• Marginal note:Transboundary pool

  (7) The definitions in section 171 also apply in subsections (8) to (12).

• Marginal note:Approval subject to agreement

  (8) Despite subsection (4), a development plan submitted for approval in respect of a work or activity to be carried out in a transboundary pool that is the subject of a joint exploitation agreement is not to be approved by the Regulator unless the appropriate authority has agreed to its content. The approval of Part I of that development plan is subject to sections 32 to 37 — or in respect of any transboundary pool that extends into the jurisdiction of a foreign government, to the consent of the Federal Minister in consultation with the Provincial Minister — and any requirements that the Regulator and appropriate authority have agreed are appropriate or that may be prescribed.

• Marginal note:Disagreement

  (9) In the case of a disagreement about the content of the plan submitted for approval, or any of the requirements for approval referred to in subsection (8), the Regulator or the appropriate authority — or in respect of any transboundary pool extending into the jurisdiction of a foreign government, the Federal Minister after having consulted the Minister of Foreign Affairs and the Provincial Minister — may refer the matter to an expert in accordance with section 188.16.

• Marginal note:Submissions regarding Part I

  (10) Any submissions to the expert by the Regulator regarding Part I of the development plan are subject to sections 32 to 37. In respect of any transboundary pool extending into the jurisdiction of a foreign government, the submissions are subject to the approval of the Federal Minister in consultation with the Provincial Minister.

• Marginal note:Expert’s decision

  (11) The expert’s decision is deemed to be approval of the plan by the Regulator and approval of Part I of that plan by the Federal Minister and the Provincial Minister, or in the case of any transboundary pool extending into the jurisdiction of a foreign government, by only the Federal Minister.

• Marginal note:Amendment to development plan

  (12) Subsections (7) to (11) apply, with any necessary modifications, to a proposed amendment to a development plan to which a work or activity in a transboundary pool relates or to any requirement to which the approval of the plan is subject.

Declarations

Marginal note:Declaration by applicant — petroleum

• 143.1 (1) No authorization under paragraph 142(1)(b) shall be issued unless the Regulator has received, from the applicant for the authorization, a declaration in the form fixed by the Regulator that states that

  • (a) the equipment and installations that are to be used in the work or activity to be authorized are fit for the purposes for which they are to be used, the operating procedures relating to them are appropriate for those uses, and the personnel who are to be employed in connection with them are qualified and competent for their employment; and

  • (b) the applicant shall ensure, so long as the work or activity that is authorized continues, that the equipment and installations continue to be fit for the purposes for which they are used, the operating procedures continue to be appropriate for those uses, and the personnel continue to be so qualified and competent.

• Marginal note:Declaration by applicant or holder — offshore renewable energy

  (2) An applicant or holder of an authorization under subsection 142.011(1) shall, prior to a date determined by regulations or, in the absence of regulations, by the Regulator, provide the Regulator with a declaration in the form fixed by it that states that

  • (a) the equipment and facilities that are to be used in the work or activity to be authorized are fit for the purposes for which they are to be used, the operating procedures relating to them are appropriate for those uses, and the personnel who are to be employed in connection with them are qualified and competent for their employment; and

  • (b) the applicant or holder shall ensure, so long as the work or activity that is authorized continues, that the equipment and facilities continue to be fit for the purposes for which they are used, the operating procedures continue to be appropriate for those uses, and the personnel continue to be so qualified and competent.

• Marginal note:Changes

  (3) If the equipment, an installation, a facility, the operating procedures or any of the personnel specified in a declaration changes and no longer conforms to the declaration, the holder of the authorization that provided the declaration shall provide the Regulator with a new declaration as soon as the circumstances permit after the change occurs.

• Marginal note:Immunity

  (4) The Regulator or any delegate of the Regulator is not liable to any person by reason only of having issued an authorization in reliance on a declaration made under this section.

Petroleum-related Certificates

Marginal note:Certificate

• 143.2 (1) No authorization under paragraph 142(1)(b) shall be issued with respect to any prescribed equipment or installation, or any equipment or installation of a prescribed class, unless the Regulator has received, from the applicant for the authorization, a certificate issued by a certifying authority in the form fixed by the Regulator.

• Marginal note:Continuing obligation

  (2) The holder of an authorization shall ensure that the certificate referred to in subsection (1) remains in force for so long as the equipment or installation to which the certificate relates is used in the work or activity in respect of which the authorization is issued.

• Marginal note:Contents of certificate

  (3) A certificate referred to in subsection (1) shall state that the equipment or installation in question

  • (a) is fit for the purposes for which it is to be used and may be operated safely without posing a threat to persons or to the environment in the location and for the time set out in the certificate; and

  • (b) is in conformity with all of the requirements and conditions that are imposed for the purposes of this section by subsection 142(4), whether they are imposed by regulation or by the Regulator.

• Marginal note:Validity of certificate

  (4) A certificate referred to in subsection (1) is not valid if the certifying authority

  • (a) has not complied with any prescribed procedure or any procedure that the Regulator may establish; or

  • (b) is a person or an organization that has participated in the design, construction or installation of the equipment or installation in respect of which the certificate is issued, to any extent greater than that prescribed.

• Marginal note:Access

  (5) An applicant shall permit the certifying authority to have access to the equipment and installations in respect of which the certificate is required and to any information that relates to them.

• Definition of certifying authority

  (6) For the purposes of this section, certifying authority has the meaning assigned by the regulations.

• Marginal note:Immunity

  (7) The Regulator or any delegate of the Regulator is not liable to any person by reason only of having issued an authorization in reliance on a certificate issued under this section.

Chief Safety Officer and Chief Conservation Officer

Marginal note:Designation

144 The Regulator may, for the purposes of this Act, designate any person as the Chief Safety Officer and any other person as the Chief Conservation Officer. However, the Chief Executive Officer may not be designated as the Chief Safety Officer.

Statutory Instruments Act

Marginal note:Orders

144.1 For the purposes of this Act, an order made by an operational safety officer, the Chief Safety Officer, a conservation officer, the Chief Conservation Officer, the Committee or a health and safety officer as defined in subsection 210.001(1) is not a statutory instrument as defined in the Statutory Instruments Act.

Extended Formation Flow Tests

Marginal note:Title

• 144.2 (1) Subject to subsection (2), title to petroleum produced during an extended formation flow test vests in the person who conducts the test in accordance with an authorization under paragraph 142(1)(b), with every approval and requirement subject to which such an authorization is issued and with any applicable regulation, whether or not the person has a production licence issued under Part II.

• Marginal note:Conditions

  (2) Title to petroleum referred to in subsection (1) is conditional on compliance with the terms of the authorization, approval or regulation, including the payment of royalties or other payment in lieu of royalties.

• Marginal note:Limitation

  (3) This section applies only in respect of an extended formation flow test that provides significant information for determining the best recovery system for a reservoir or for determining the limits of a reservoir or the productivity of a well producing petroleum from a reservoir and that does not adversely affect the ultimate recovery from a reservoir.

Oil and Gas Committee

Constitution

Marginal note:Oil and Gas Committee

• 145 (1) The Regulator may, for the purposes of this Act and the Provincial Act, establish a committee to be known as the Oil and Gas Committee, consisting of not more than five members, not more than three of whom may be employees in the federal public administration or the public service of the Province.

• Marginal note:Appointment of members and chairperson

  (2) The members of the Committee shall be appointed by the Regulator to hold office for a term of three years, and one member shall be designated as chairperson for such term as may be fixed by the Regulator.

• Marginal note:Re-appointment permitted

  (3) A retiring chairperson or retiring member may be re-appointed to the Committee in the same or another capacity.