Energy and Resources Minister Bronwyn Eyre

The provincial government intends to start “broad consultations” on surface rights legislation at the end of March, according to Energy and Resources Minister Bronwyn Eyre.

In response to a question from delegates during the bear pit session at the Saskatchewan Association of Rural Municipalities (SARM) convention in Regina March 16, Eyre said all stakeholders, including landowners, oil companies and the provincial surface rights board, will be involved.

The consultations are aimed at updating the provincial Surface Rights Acquisition and Compensation Act, which was enacted in 1968 and revised in 1979. The legislation outlines procedures for resource companies to acquire surface rights on privately-owned land; provides for the payment of “equitable compensation” for those rights to the landowner; and lays out requirements for maintenance and reclamation of the land.

During the SARM bear pit  session, a delegate from the RM of Elfros pointed out the legislation is over 50 years old, and farmers have been seeking changes to better protect their interests for many years. He said a promised review of the legislation a few years ago was put on the back burner when oil prices crashed.

“Now that oil prices are back up, and it needs to be updated to protect landowners,” he said.

Eyre responded that the government recognizes the legislation “has been on pause” since 2014.

“The headwinds faced by the energy sector have been pretty ceaseless,” said Eyre. “It’s a matter of timing, and blancing the need to maintain competitiveness of the energy sector with the interests of landowners.

“Oil prices are up right now, but they are still volatile, and companies are still dealing with debt.

“However, we believe that that now is a good time for consultations that include looking at compensation, and suspending rights of entry on certain conditions, when companies haven’t been payingrent for a certain amount of time.

“We’re moving forward on those consultations at the end of the month.”