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Informational Letter IL 95-7

20 September 1995

SUBDIVISION AND DEVELOPMENT REGULATION REQUIREMENTS FOR REFERRALS TO THE ALBERTA ENERGY AND UTILITIES BOARD (AEUB)

Section 5(l)(g) and section 9 of the new Provincial Subdivision and Development Regulation require that subdivision-approving and development-approving authorities refer applications to the AEUB, if any of the land that is the subject of the application is located within 1.5 kilometres of a sour gas facility. The new regulation allows the AEUB and the municipalities to agree to modest setbacks in certain circumstances. This informational letter will outline some basic guidelines which approving authorities should use to reduce the number of referrals required to be sent to the AEUB.

Energy Resources Conservation Board Interim Directives ID 81-3 and ID 87-2 outline minimum setback requirements between sour oil and gas facilities and surface development which oil and gas operators must meet. Section 2.110(1) of the Oil and Gas Conservation Regulations states that a well, sweet or sour, may not be drilled within 100 metres (m) of a surface improvement. These regulations are strictly enforced by the AEUB to ensure that the public is not exposed to undue risk.

Prior to the new Subdivision and Development Regulation, section 6(1)(j) of the Provincial Subdivision Regulation required that municipal planning authorities refer applications to the AEUB to ensure that similar sour gas setbacks to those in ID 81-3 and ID 87-2 were imposed on proponents wishing to subdivide. In the past, the same rules have not been applied to development where subdivision was not necessary, nor has the standard 100-m restriction been enforced. To afford the public the same level of protection, the Board urges municipal authorities to enforce the setback conditions regardless of whether the land being developed is required to be subdivided or not.

Therefore, the AEUB has requested that the same setbacks which have been imposed on oil and gas operators and on those wishing to subdivide land, also apply to development.

The AEUB understands the concerns of planning authorities to refer development permit applications, however, it is possible to greatly reduce the number of referrals municipal authorities are required to send to the AEUB by following these guidelines:

• The setback distance required between subdivision or development having a density of eight or less dwellings per quarter section and a well is always 100 m regardless of whether the well is sweet or sour. The required setback distance from a sweet or a Level 1 sour pipeline and a development density of eight or less dwellings per quarter section is the distance of the pipeline right-of-way, and from a Level 2 to Level 4 sour pipeline is 100 m. Setbacks from pipelines are measured from the centre line of the pipeline to the edge of the dwelling. The 100-m setback is measured from the wellhead to the edge of the dwelling. As long as a 100-m setback is maintained, there would be no need to refer the application. Only those applications, including subdivision applications, resulting in a greater density of development, establishment of a public facility, or those where a potential conflict exists, will need to be referred.
• Subdivision and development permit applications for infill development unless it has been predetermined that an area is sensitive (eg. N.E. Calgary), will not require referral.

Using these guidelines would eliminate approximately 60 per cent of the referrals currently sent to the AEUB. When an application is referred, AEUB staff will provide the municipal planning authority with the most current sour gas information available. In cases where a possible conflict exists, the oil and gas operator should be contacted to confirm the sour gas level designation of the facilities noted.

AEUB staff have recently streamlined the referral review process. The average turnaround time for processing a referral is 10 days from the date it is received to the date that a response is sent. In special circumstances it is possible to provide a response in much less time.

The AEUB is aware that in some municipalities certain types of development can take place without a permit. The AEUB believes that the municipality must be responsible for ensuring that its ratepayers are notified of the minimum 100-m setback requirement and that encroachment does not take place.

Any questions regarding these guidelines can be directed to the AEUB's Environment Protection Department at 297-3194.

[Original signed by]

F.J. Mink, P.Eng. Board Member