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ARTICLE · 27 OCTOBER 2021

Regulatory Changes To Saskatchewan Pipeline Development And Energy Industry Incentive Programs

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The Government of Saskatchewan has recently implemented a number of regulatory changes to assist energy projects.

CanadaEnergy and Natural Resources

The Government of Saskatchewan has recently implemented a number of regulatory changes to assist energy projects. These changes further expand and refine the Ministry of Energy and Resources 2019 Petroleum Innovation Incentive Program (PIIP or SPII) and the 2020 Oil Infrastructure Investment Program (OIIP). Additionally, the programs now go beyond oil and gas to include carbon dioxide projects and helium projects.

The OIIP program is intended to provide royalty/freehold production tax credits to qualifying projects. The Ministry will approve a project for the OIIP where they believe that the project provides new pipeline capacity in the province, and the project has invested at least $10 million in eligible costs. As a result of recent amendments, the OIIP program now applies to carbon dioxide pipeline projects, in addition to oil, gas, helium and chemical fertilizer facility projects.

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