The Alberta Energy Regulator (AER) says it will collect $45 million to fund the province’s Orphan Well Association (OWA) budget for 2018/19.
This is up 50 percent from the 2017/18 budget of $30 million, announced in February 2017.
“Albertans should never have to pay for wells, facilities, or pipelines to be properly decommissioned and the land returned to an equivalent state. To facilitate this decommissioning, we issued the 2018/19 Orphan Fund Levy today,” the AER stated on Twitter on Monday afternoon.
The AER will allocate the year’s orphan fund levy among licensees and approval holders included within the Licensee Liability Rating and Oilfield Waste Liability programs based on the April 2018 monthly assessment.