Alberta auditor probing relationship between energy regulator and not-for-profit centre

Alberta's auditor general could complete its probeof the relationship between Alberta'senergy regulator and ICOREa not-for-profit institute it helped launchbefore summer amid a lawsuit between the organizations.

The Alberta Energy Regulator (AER) was a founding member of theInternational Centre of Regulatory Excellence, or ICORE, which began in 2017 as an independent, not-for-profit institute whereregulators from around the world could train and exchange best practices.

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The AERsaid that year it would offerexpertise in the form of in-kind services provided by its experts, with the new initiativetouted by itsthen-chief executive, Jim Ellis, as "an institute built by regulators for regulators."

The Office of Alberta Auditor-General Doug Wylieis now looking at the relationship between ICOREand the AER.

A spokeswoman for the auditor-general told CBC News that "weare conducting some audit work related to the Alberta Energy Regulator and its relationship with ICORE."

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She said she was unable toshare any specificdetailswhile the auditis underway, norcould she say when the probewill be completed and made public, though it'santicipated it will be completebefore summer.

The job of the auditor general is toexamine and report publicly on the government'smanagement of public resources.

The auditor general's work comes amid a lawsuit launched by the AERagainst ICORE.

In astatement of claim, the AERsays the regulatorand ICOREsigned a memorandum of understanding where the two sides agreedthe AERmay provide in-kindservices to ICORE, for which itwould be compensated.

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The AERlatergranted ICOREan exclusive licence to deliver training courses to third parties.

Now, the AER allegesthatICOREEnergy Services owes it $2.6million inreimbursementfor the development and delivery of training materials.

"Notwithstanding theAER'sdemand for payment,ICOREhas refused or neglected to pay any amount of the [Memorandum of Understanding]Invoice or the LicenceAgreement Invoice," according to the lawsuit filed March 7 at the Court of Queen's Bench in Calgary.

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None of the allegations have been proven in court.A statement of defence had not been filed as of Wednesday.

A spokesman for theAERconfirmed details of thelawsuit, butwould not elaborate as the matter is before the courts.