The goals of the current regulatory review are to identify changes required to achieve the provincial target for a 75 per cent reduction in methane emissions from the oil and gas sector by 2030, make progress towards near elimination of methane emission by 2035 and achieve equivalent reductions to the proposed federal regulations, as applied to the oil and gas sector in B.C.

This review focuses on the reductions that can be achieved by regulation under the Energy Resource Activities Act and does not address reductions that may be achieved through other acts, policies or programs. As draft federal regulations have not been published, the regulatory development process will initially focus on achieving provincial goals and will consider federal regulations once they are published in the Canada Gazette, Part I.

Any new or revised provisions will build on the existing legislative and regulatory framework under the Energy Resource Activities Act for reducing methane emissions including:

• Drilling and Production Regulation,
• Oil and Gas Processing Facility Regulation,
• Pipeline Regulation,
• Liquified Natural Gas Regulation,
• Investigations Regulation, and
• Applicable guidance documents (such as the Flaring and Venting Guideline and the Fugitive Emissions Guideline).

The BCER’s objective for this review is to deliver a regulation that ensures activities are undertaken in a manner that protects public safety, safeguards the environment, supports meaningful reconciliation and advances the public interest and contributes to B.C.’s economy.

Phase 1 Engagement Feedback Received

The British Columbia Energy Regulator (BCER) conducted early engagement with stakeholders and Indigenous Nations to gather feedback and obtain technical input into amending regulations to achieve the 75 per cent reduction of methane emissions by 2030, relative to 2014 levels.

The BCER received 17 submissions in response to Phase One of our engagement from Indigenous Nations, regulated companies, environmental organizations, industry associations and other interested parties.

The common themes we heard include:

• New vs. existing facilities: For new facilities, set more stringent standards for new equipment as compared to existing operations. For existing facilities, provide flexibility for permit holders to assess and identify the best opportunities for methane abatement.
• Source-by-source approach and intermittent activities: There is general support for setting more stringent emission limits, continuing to promote operational work practices that enable efficient leak detection and repair while ensuring regulation of methane emission limits is informed by continued research; and recognizes effects or similar regulations in neighbouring jurisdictions.
• Alignment: To achieve a coordinated and effective framework for reducing methane emissions. Governments at varying levels within Canada must work to ensure intersecting policy and programs are working in synergy.
• Regulatory options: Enable considerations for safety, operational, technical, economic, and other practical constraints when setting emission limits, and conservation or destruction options for methane emissions.

This document highlights the technical and broader policy feedback received during early engagement.

Phase 2 Engagement Feedback

A draft regulatory policy for amendments to the Drilling and Production Regulation (DPR) was developed based on consideration of:

• Feedback from consultation
• Results of emissions modeling
• Available research and emissions data
• Discussions with Environment and Climate Change Canada on federal regulatory development
• Alignment with the Province’s CleanBC 2030 and 2035 emissions reduction targets
• Experience regulating methane emissions

Phase 2 engagement on the regulatory policy took place from June to November 2023 with First Nations, regulated companies, environmental non-governmental organizations and industry associations. The BCER received eight submissions in response from regulated companies, environmental organizations and industry associations.

Common themes we heard:

• General support from industry on all aspects of the proposed regulations
• Non-industry stated policy targets timeline should be accelerated to achieve near elimination of methane emissions by 2030 and consider more stringent regulatory proposals from other jurisdictions
• Requested clarity on definitions
• Concerns around technical and economic feasibility
• Ensure regulations are not an administrative burden

This table summarizes the technical and broader feedback received during the Phase 2 engagement. The content of the table has been condensed to include comments and suggestions from more detailed documents received by the BCER. The table reflects feedback relevant to the DPR regulatory review. Each bullet represents a comment from a particular stakeholder. Comments related to other aspects of methane policy have been shared with respective ministries for consideration.

You can find the policy presentation here.