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ARTICLE · 08 MAY 2018

Oil Embargo: Alberta's Preserving Canada's Economic Prosperity Act

Bill 12 will not require an export licence for exporting crude bitumen or diluted bitumen.

CanadaEnergy and Natural Resources

As part of Alberta's dispute with British Columbia over the expansion of Kinder Morgan's Trans Mountain Pipeline Expansion Project, Alberta has introduced into the legislature Bill 12: Preserving Canada's Economic Prosperity Act. Bill 12's purpose is to give Alberta the power to control the export of any quantity of crude oil (other than crude bitumen), natural gas (including gas products and field condensate) or refined fuels (gasoline, diesel, aviation fuel and locomotive fuel) from Alberta to any other province or state.

If enacted and brought into force, the minister of energy may by order designate that any person or class of persons must obtain an export licence in order to export oil, natural gas or refined fuels. If export licences are required, Alberta could then presumably refuse to issue them to persons intending to export crude oil, natural gas or refined fuels to B.C. or issue licences with terms and conditions limiting the ability to move

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