Alberta Energy Regulator to hold Rocky Mountain coal hearings despite legal challenge

Alberta's energy regulator will go ahead with hearings on coal exploration in the Rocky Mountains despite concerns about the legality of the applications from the province's top court.

"While we have the discretion to grant an adjournment, we are not persuaded that doing so in this case is appropriate," the Alberta Energy Regulator said Friday in a letter to the Municipal District of Ranchland, which had asked for the adjournment.

Ranchland wanted an adjournment for public hearings on applications from Northback Holdings for coal exploration in the Crowsnest Pass area. It said the hearings should wait until the Alberta Appeal Court rules on whether those applications were legally accepted.

Ranchland argued the court's decision may invalidate the applications, rendering hearings on them a waste of time.

The Australian-owned company is trying to develop a coal mine at the site in southwest Alberta area despite the fact the same project, under a different company name, has previously failed to pass an environmental review.

As well, the Alberta government has issued an order blocking coal development in the Rockies.

But in November 2023, Energy Minister Brian Jean wrote the Alberta Energy Regulator suggesting Northback's applications be accepted.

He said because the project had previously come before regulators, it should be considered an "advanced project" and exempt from the order.

The regulator then accepted Northback's three applications.

In accepting Ranchland's appeal application, the court said it needs to weigh Ranchland's argument that a project, once rejected by a regulatory body, no longer exists and can't be considered advanced.

The court also said the regulator may have placed too much weight on Jean's letter.

But on Friday, the regulator said an undetermined delay until court proceedings were complete would be inefficient.

"We should proceed to consider the applications in a fair, prompt and efficient manner," the letter says. "We would not be doing that if we attempt to 'peer into a crystal ball' and halt our process because of something that might occur in the future.

"The requested adjournment, which would likely result in a lengthy delay, would make this proceeding less efficient."

A representative of Ranchland declined to comment, saying the municipality will focus its efforts on the appeal. No date has been set for it.

The company has been pressing for the hearings to be held as soon as possible.