How the BC Energy Regulator oversees energy resources in British Columbia

The British Columbia Energy Regulator (BCER) oversees pipelines, clean energy, and other energy activities in the province. With a focus on safety and fairness, this government regulator helps protect the people, the environment, and the province’s energy resources.

But how crucial is the role of the BCER when it comes to energy projects, especially for regulated companies? This article answers this question and more, so read on to learn about this important regulator on the west coast.

What is the BC Energy Regulator?

The BC Energy Regulator is a government agency that oversees energy activities in British Columbia. This includes projects involved in the following resources:

• oil and gas
• liquefied natural gas
• hydrogen
• ammonia
• methanol
• carbon capture and storage
• geothermal energy

In 1998, the Energy Resource Activities Act (ERAA) renamed the Oil and Gas Commission to the BC Energy Regulator. The BCER ensures that energy activities follow the rules to protect the people and the environment and support the province’s economy.

The BCER is a Crown corporation owned by the provincial government, but it operates at arm’s length. While it reports to the Minister of Energy and Climate Solutions, the BCER functions independently.

The BCER’s job is to make sure energy projects are safe, fair, and managed in a way that benefits everyone in the province. This regulatory authority covers the full life cycle of energy projects, from exploration and development, through operation (e.g., pipeline transportation), to reclamation and decommissioning.

Aside from regulating energy projects, the BCER works with Indigenous communities, supports low-carbon energy, and oversees compliance with provincial energy rules.

Watch this video to learn about the BC Energy Regulator:

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What does the BC Energy Regulator do?

Under the ERAA, the BC Energy Regulator’s purpose is mainly to regulate energy resource activities in the province in a manner that:

• protects public safety and the environment
• supports reconciliation with Indigenous people
• supports the province’s transition to low-carbon energy
• conserves energy resources
• fosters economic development

These energy resource activities include:

• exploration or development of:
  • petroleum or natural gas, including its production, gathering, processing, storage, and disposal
  • storage reservoirs, including its use
  • carbon dioxide or a prescribed substance, whether in relation to another energy resource activity or not
• construction or operation of a facility for/of:
  • petroleum or natural gas
  • manufacturing of hydrogen, ammonia, or methanol
  • converting natural gas into organic compounds
  • petroleum refinery
  • pipelines

This means that any activity that concerns the resources mentioned above will be under the regulation of the BCER. The BCER also has the following responsibilities:

Administers several laws of BC

Aside from the ERAA, the BCER administers other provincial legislation related to energy projects, including:

• Environmental Management Act
• Forest Act
• Heritage Conservation Act
• Land Act
• Oil and Gas Activities Act
• Water Sustainability Act

Regulation of energy activities

The BCER is involved in several processes throughout the life cycle of an energy resource activity. Here’s how the BCER regulates these activities:

• approve applications: companies must apply to the BCER for permits to explore, develop, produce, or market an energy resource
• conduct consultations: before issuing a permit, the BCER consults affected First Nations, in addition to consultations conducted by the company
• compliance with application requirements: the BCER reviews whether the company has complied with the consultation and notification requirements for the affected First Nations, landowners, and rights holders
• protect the environment: from approval to decommissioning, the BCER regulates air discharges and methane emissions, protects wildlife, and ensures sustainable water use

This video shows how the BCER regulates water use in oil and gas activities:

Want to learn more about how the BCER regulates energy resources in the province? Consult the Lexpert-ranked best energy lawyers for electricity in BC.

Incident response

The BC Energy Regulator defines incidents as events outside the scope of normal energy resource operations. Below are examples of these incidents, which can be classified according to their severity:

• loss, damage, or failure of on-site equipment or infrastructure
• liquid spill or gas release, either confined or beyond the activity’s site
• vandalism or security incidents in the activity’s facility

To prevent these incidents, the BCER requires companies to develop and maintain their Emergency Preparedness and Response Programs (EPRPs). However, when an incident does happen, companies must report it to the BCER, depending on its severity:

• minor incidents: reported within 24 hours
• other incidents: reported within one hour, and affected First Nations must be notified

The BCER conducts investigations and post-incident reviews after an incident has been addressed.

Who are the officials of the BC Energy Regulator?

The ERAA states that the BC Energy Regulator shall be governed by a Board of Directors, which is composed of five to seven members. They are all appointed by the BC government, including the Board Chair. This Board reports to the Minister of Energy and Climate Solutions.

Aside from the Board, the BCER is led by the Commissioner and Chief Executive Officer (CEO). The Board sets policy and direction to fulfill the goals and standards set by the BC government, while the Commissioner and CEO manage the BCER’s day-to-day operations.

What are the steps to engage with the BC Energy Regulator?

Companies would have to deal with the BC Energy Regulator when they’re starting an energy resource activity and when there are concerns regarding compliance. Affected communities, such as First Nations and local residents, can come to the BCER in many ways, depending on their concerns.

With the help of an energy lawyer, companies or the public can take the following steps when engaging with the BCER:

When starting an energy resource activity

• After complying with the consultation and notification requirements, the applicant-company will:
  • upload the spatial data and the application requirements in BCER’s Application Management System (AMS)
  • pay the application fee
• The BCER will:
  • review the application
  • conduct its own consultations with the affected First Nations and communities

When inquiring about an energy activity

There are several reasons that the public can come to the BCER, and its steps will depend on their concern:

• inquiries and concerns: the public can directly call the BCER whether it is about a general inquiry or when reporting about an emergency and incident
• making an FOIPPA request: anyone can request copies of records that may be released by the BCER under BC’s Freedom of Information and Protection of Privacy Act (FOIPPA)

How can lawyers help when dealing with the BC Energy Regulator?

There are several ways that energy lawyers can help companies deal with the BC Energy Regulator, such as:

• advising about the requirements for permits, compliance, and safety
• representing the client, responding to the BCER’s questions, and working to resolve incidents
• guiding the client on consultations that comply with BC laws
• briefing the client about its post-operation responsibilities (e.g., reclamation stage)
• checking if the client qualifies for exemptions under BCER regulations

In short, lawyers can help before, during, and after operating an energy resource activity in BC. They can also help to prevent incidents and find remedies if issues arise.

BC Energy Regulator: Oversight of energy projects in British Columbia

The BC Energy Regulator’s work includes ensuring energy projects support communities, protect the environment, and comply with provincial laws. For companies and communities, understanding the regulator’s role is important for compliance. For further clarification or legal advice, consult a BC-based energy lawyer.

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