Oil and Troubled WatersReform of Provincial Industrial Water Use Policy Urgently Needed, Says Pembina Institute

April 10, 2003

The Pembina Institute today released Oil and Troubled Waters: Reducing the Impact of the Oil and Gas Industry on Alberta's Water Resources. The report shows the need for government to revise its water management policy with respect to the oil and gas and other industries in Alberta.

"Public concern about water shortages resulting from several years of drought coupled with ongoing economic expansion in the province have underscored the need to dramatically improve our conservation of water resources," says Mary Griffiths, Environmental Policy Analyst with the Pembina Institute. "Immediate improvements can and must be made in the way industry, particularly the oil and gas sector, manages and uses water."

At present about one quarter of all fresh groundwater allocations in the province are for enhanced oil recovery, Griffiths says. In this process, water is pumped into the ground and stays there; it is removed from the water cycle.

In many cases it is possible to use saline water from deeper in the Earth's crust, instead of the more immediately available water from rivers and fresh groundwater. Dan Woynillowicz, Environmental Policy Analyst with the Pembina Institute, reports that, "Although exact figures are unavailable, in 2001 less than one third of all water used for oilfield injection was saline."

"The policy that requires companies to look for alternatives to fresh water use must be strengthened. It should apply across the entire province, not only in agricultural areas," Woynillowicz said. "Large volumes of fresh water are being used in northern Alberta, not only to enhance recovery from conventional oil wells but also to produce steam for extracting bitumen."

The report also recommends

  • Public reporting on the actual volumes of fresh and saline water that are used for oilfield injection and other purposes.
  • Revised regulations that apply to the removal of fresh water from coal seams prior to the extraction of coalbed methane gas.
  • A central database for complaints about groundwater, to identify problem areas.
  • More research to determine the groundwater resources and ensure they are not depleted.
  • New legislation to enable the review of industrial licence allocations that predate the current Water Act.

The Pembina Institute has prepared its paper as input into development of the province's Water Strategy. Griffiths says the government's draft report, Water for Life: Alberta's Strategy for Sustainability, is a first step in the right direction. "Given current pressures on water in Alberta, a new water management strategy is urgently needed."

For more information:
Mary Griffiths (780) 433-6675
Dan Woynillowicz (403) 269-3344, ext. 107

The report is available on the Pembina Institute Web site at www.pembina.org.

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