Employer released mine wastewater into the Smoky River
The Alberta Energy Regulator (AER) has fined CST Coal Canada Limited $22,000 for breaching environmental regulations.
The employer committed the violations in 2022.
According to the AER’s decision, untreated mine wastewater overflowed from CST’s pump house facility on Dec. 29, 2022 due to a frozen bypass line and a malfunctioning high-level alarm caused by material buildup on a sensor. The overflow lasted nearly three hours before being contained.
The wastewater entered the Smoky River, resulting in elevated levels of total suspended solids and metals, which exceeded provincial guidelines.
The regulator classified this violation as “major,” citing the environmental risks associated with the unauthorized release of untreated wastewater. The AER assessed a base penalty of $3,500 for this incident and added $1,000 due to compliance concerns.
On top of that, CST was also fined for failing to immediately report the incident, as required under Alberta’s Environmental Protection and Enhancement Act (EPEA).
While the company became aware of the release on Dec. 29, 2022, it did not notify the AER until Jan. 2, 2023, according to the regulator.
The AER imposed a $17,500 penalty for this delay, describing it as “major” due to the importance of timely reporting for regulatory oversight.
“CST failed to report a contravention of its approval as required by the approval, and the contravention was a release of mine wastewater into the environment,” said Jon Keeler, director for Field Operations East, Oil Sands Mining, at AER, in the decision.
The AER also highlighted CST’s lack of proper procedures and training for monitoring the control room system, which contributed to the incident. “CST did not have specific written procedures or training documents in place for the control room monitoring system on the date of the incident,” Keeler noted..
CST’s argument
CST argued in a written submission that the penalties were excessive and inconsistent with AER precedent, claiming similar reporting delays are often addressed with warning letters. The company also cited its cooperation with the investigation and steps taken to prevent similar occurrences.
However, the AER rejected these arguments, maintaining that the circumstances warranted the penalties imposed.
“Following approval conditions is a cornerstone of the regulatory scheme. In particular, following EPEA approval conditions is essential in preventing or mitigating impacts to the environment,” Keeler said.
The total penalty includes $21,000 in base assessments and a $1,000 variance for compliance factors. The final decision, issued by AER Director of Field Operations Jon Keeler on December 16, 2024, is available on the AER’s website.