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Alberta First Nation taking province to court over alleged oilsands cleanup failures​on April 3, 2025 at 11:00 am

A northern Alberta First Nation is taking the province to court, citing its alleged failure to properly fund oilsands cleanups. Read More

​The Athabasca Chipewyan First Nation said its trust in the Alberta Energy Regulator and oilsands companies was destroyed after wastewater leaks in 2022 and 2023 it says were covered up   

The Athabasca Chipewyan First Nation said its trust in the Alberta Energy Regulator and oilsands companies was destroyed after wastewater leaks in 2022 and 2023 it says were covered up

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A northern Alberta First Nation is taking the province to court, citing its alleged failure to properly fund oilsands cleanups.

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The Athabasca Chipewyan First Nation (ACFN) argues the Alberta government has failed to follow results of a 2022 review of its Mine Financial Security Program (MFSP) after auditors twice found serious flaws in how it ensures oilsands are cleaned up.

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“Without a properly funded program, industry will be able to walk away from their leases — leaving the mess behind for First Nations communities to live with,” ACFN Acting Chief Hazel Mercredi said in a press release.

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“This is something that all Albertans should care about because it is an expense that will fall to taxpayers after industry has finished extracting billions of dollars in revenue — leaving you with the bill.”

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Named in the legal action is the Minister of Environment and Protected Areas Rebecca Schulz and the director of Environment and Protected Areas.

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The ACFN has long contended the oilsands have negatively impacted the environment on their traditional lands, harming wildlife, water quality and the health of their people.

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The First Nation said its trust in the Alberta Energy Regulator (AER) and oilsands companies was destroyed after wastewater leaks in 2022 and 2023 it says were covered up.

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Last year, they sued the AER, alleging negligence and breach of trust in failing to inform them of the leaks.

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And now, following reviews by the province’s auditor general in 2015 and 2021 that identified flaws in the MFSP, the First Nation and its allies say the program overstated the asset value of oilsands operators while underestimating the cost of their liabilities.

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They also contend the MFSP fails to incentivize oilsands remediation and doesn’t take into account potential changes to energy markets that could adversely impact companies’ ability to pay for cleanup.

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When the province amended the MFSP last fall, it did so “without addressing the fundamental issues with the program or substantively responding to ACFN’s concerns,” said the First Nation.

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It’s the government’s duty, they said, to properly consult with impact stakeholders and share information but “instead, the Crown demonstrated a persistent pattern of obfuscation, delay, and failure to answer questions during the MFSP Review, which has frustrated the purpose of its solemn promises and places it in breach of the duty of diligent implementation,” states the First Nation’s application for judicial review.

 

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