Alberta Unveils New Rules for Wind and Solar Energy Projects, Lifting Moratorium

Alberta's government has enacted a new Code of Practice for Solar and Wind Renewable Energy Operations, effective May 31. This code, along with accompanying reclamation security guidelines from the Alberta Utilities Commission (AUC), aims to regulate the development and operation of renewable energy projects, particularly concerning agricultural land protection and financial assurances for site reclamation.

Key Takeaways

• New regulations aim to balance renewable energy development with agricultural land preservation.

• Projects now require registration with Alberta Environment and Protected Areas (AEPA).

• Mandatory reclamation security is required, with options to provide it to the government or landowners.

• Specific percentages for reclamation security are outlined, increasing over the project's lifespan.

• Conservation and reclamation plans are mandated, including topsoil management and revegetation.

New Regulations for Renewable Energy Projects

The new Code of Practice, established under the Conservation and Reclamation Regulation, introduces a framework for solar and wind energy operations. This follows a previous moratorium on such projects and emphasizes enhanced protections for agricultural farmland. The regulations require all project proponents, for both proposed and existing projects, to register with AEPA.

Registration and Security Requirements

Project proponents must submit a registration application to AEPA, which includes a conservation and reclamation report, site assessments, and spatial maps. A crucial component is the provision of reclamation security. Proponents have the choice to post this security with the Government (AEPA) or directly with the landowner(s).

When providing security to the Government, proponents must submit a security estimate. For new projects, 30% of the estimated reclamation cost is required initially, increasing to 60% after 15 years. Existing projects require 15% initially, also rising to 60% after 15 years.

Alternatively, security can be provided to landowners. In this case, a declaration must be submitted to AEPA, confirming the security has been provided and deemed adequate by the AUC. For landowner-held security, 40% of the reclamation cost estimate is required upfront, increasing to 70% after 15 years. The AUC will evaluate the adequacy of landowner-held security based on specific criteria.

Conservation and Reclamation Obligations

The Code mandates that project proponents develop and adhere to a conservation and reclamation plan. This includes salvaging topsoil and subsoil before construction and ensuring the land is reclaimed to its original state at the end of the project's life. Reclamation activities must conform to the plan, including backfilling, grading, contouring, replacing soil materials, and revegetating the site with approved seed mixes. Developers must use salvaged topsoil and subsoil for reclamation, with exceptions requiring landowner consent and suitability assessments.

Project Transfers, Reporting, and Record-Keeping

Transfer of project ownership requires AEPA's written consent. Operators must report any contraventions of the Code to AEPA and the project proponent within seven days. Furthermore, proponents are required to maintain operating records for a minimum of five years after a reclamation certificate is issued, including documentation related to conservation plans, site assessments, and landowner approvals.

Sources

• Alberta releases new code of practice for solar and wind renewable energy operations | Canada | Global lawfirm, Norton Rose Fulbright.

• Alberta’s new renewable energy rules lift moratorium but offer ‘little immediate clarity’, Canada's National Observer.