The Saskatchewan government has enacted amendments to The Oil and Gas Emissions Management Regulations through Order in Council 68/2024. These changes are aimed at improving emissions management within the oil and gas sector and are intended to advance environmental sustainability and regulatory compliance. The amended regulations, officially titled “The Oil and Gas Emissions Management Amendment Regulations, 2024,” modify the framework for calculating and managing emissions from oil facilities. The adjustments will influence how companies report and mitigate emissions, with a particular focus on flared and vented gases.

One of the key amendments pertains to the calculation of Actual Total Emissions (ATE). The definition of ATE has been refined to reflect different calculations for the years 2020, 2021, and 2022, as opposed to the period from 2023 to 2030. For the earlier years, the ATE formula incorporates both flared gas volume (FV) and vented gas volume (VV), along with their respective emissions factors (EFf for flared gas and EFv for vented gas). However, starting in 2023, the calculation will exclusively consider vented gas volume and its emissions factor, indicating a more streamlined approach to emissions reporting.

Another change involves the amendments to administrative penalties. The revised subsection 10(2) allows the minister to reduce or waive administrative penalties for business associates who demonstrate due diligence in avoiding regulatory contraventions. This provision encourages compliance and proactive measures for mitigating emissions, while also providing companies with a degree of flexibility.

A new section (Section 11) mandates that all business associates submit an emissions reduction plan by January 1, 2024. These plans must detail the measures that will be taken to achieve compliance with the new regulations and meet specified emissions limits. The minister also has the discretion to extend submission deadlines if a business associate provides reasonable grounds for the request and if it aligns with the public interest. If significant changes occur in a business’s operations or if the minister requests it, a new emissions reduction plan must be submitted.

A new Table 2 has been added to the appendix of the regulations, outlining specific emissions intensity limits. This table serves as an essential reference for companies in the oil and gas sector to ensure their operations remain within allowable emissions thresholds.

By refining emissions calculations, introducing flexible compliance measures, and mandating clear emissions reduction plans, the regulations aim to enhance accountability among business associates. This approach attempts to strike a balance between regulatory enforcement and supporting businesses in their transition to more sustainable operations.

Saskatchewan (68/2024) February 23, 2024