New rules governing coal development in the works

By Rob Vogt


The provincial government has announced it is developing new rules to govern the exploration and development of coal.
The province recently announced the Alberta Coal Industry Modernization Initiative, that will prohibit mountaintop removal mining and ban new open-pit mines in the foothills, while increasing coal royalties.
It was stated this initiative will guide coal mining practices with a goal of ensuring Alberta’s waters are protected from mining contaminants such as selenium.
The province said the initiative also acknowledges the global critical mineral importance of metallurgical coal. Thoughtful coal development will result in increased investment and jobs for Albertans while respecting the existing property rights of freehold mineral rights holders.
It was explained that based on the intent of the 1976 Coal Development Policy and picking up on the coal development work done by the 2021 Coal Policy Committee, the initiative will build a long-term legislative and regulatory framework focused on environmental protections while allowing coal development under some of the most stringent protections in the world.
It was noted the initiative will do away with temporary fixes and half measures and provide a foundation for responsible coal mining for the 21st century.
“Alberta deserves a modern coal policy that balances responsible resource development with strong environmental protections. Our job now is to develop a policy that respects the natural spaces in the foothills and protects water while allowing for responsible coal development that can attract investment and create jobs,” said Brian Jean, minister of energy and minerals.
“Alberta has one of the best environmental management systems in the world. We have strong and effective monitoring and regulatory protections in place to protect our air, water and lands and these safeguards will only get stronger through this initiative,” said Rebecca Schulz, minister of environment and protected areas.
The government said the world needs steelmaking coal to fuel economic growth and greater adoption of alternative energy sources and technologies. Alberta has an abundance of metallurgical coal that can be developed while adhering to world-leading environmental protections. Steel is an essential global component for infrastructure growth and development. This steel will also return to Alberta in products such as passenger vehicles, home appliances, farm and industrial equipment, and building materials.
To ensure Albertans are fairly compensated for the development of this important natural resource, Alberta’s government will be raising the coal royalty rates significantly on new coal mines.
Alberta Energy and Minerals will begin targeted engagement in early 2025 to inform industry of Alberta’s plans for higher standards for coal mining, to set the new coal royalty amounts, and to develop strategies that align with Alberta’s commitment to balance regulatory improvement and environmental protection, with an emphasis on water protection.
From this engagement, new coal regulations and legislation will be drafted for government approval later in 2025.