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ARTICLE · 06 OCTOBER 2014

B.C. Surface Rights Board Reduces Rent Payable After Landowners Fail To Prove Loss

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The B.C. Surface Rights Board awarded compensation to landowners less than the amount previously offered by the operator.

CanadaEnergy and Natural Resources

In the recent decision of the B.C. Surface Rights Board in Encana Corporation v Perry Burl Piper and Leslie Lancelot Dowd, the Board awarded compensation to landowners less than the amount previously offered by the operator. In doing so, the Board adopted the principles for landowner compensation under the Petroleum and Natural Gas Act articulated earlier this year by the B.C. Supreme Court in Progress Energy Canada Ltd v Salustro, 2014 BCSC 960. As discussed in a previous post, Progress clarified that the onus is on the landowner in a rent review hearing to adduce evidence of ongoing prospective loss.

In Encana, the landowners sought an increase in the amount of rent payable by Encana for surface access in relation to the operation of several gas wells and pipelines. Drawing from Progress, the Board maintained as follows:

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