Hydrocarbons | Not compensation, a “confiscation”, according to the AEQ

(Quebec) The Legault government is preparing to let between 45 and 200 billion deposits sleep in its basement by renouncing the exploitation of hydrocarbons in Quebec, denounces the Association de l’énergie du Québec, which brings together companies oil and gas.

Updated yesterday at 7:02 p.m.

Patrice Bergeron
The Canadian Press

This figure seems “outlandish” however, in the opinion of an expert from Laval University, according to whom it is common to make “extremely inflated” claims.

In its brief, the AEQ also opposes the compensation of 100 million proposed by the government, which it associates rather with “confiscation”.

The AEQ appeared on Tuesday on the first day of consultations on Bill 21, which aims to put an end to hydrocarbon research and exploitation activities in Quebec, by compensating companies.

New technology

The president of the AEQ, Éric Tétrault, assures that a new technology makes it possible to extract oil and gas from Quebec in a cleaner and safer way.

It is a natural gas “almost without emission” of greenhouse gases (GHG), he assured.

“The bill condemns Quebec to importing all its natural gas for a very long time, creating three times more emissions (of greenhouse gases). It does not solve anything from the point of view of global emissions and from the point of view of the environment. »

Mr. Tétrault asks that a pilot project be authorized, and does not “request a penny” from the Treasury.

The Minister of Natural Resources, Jonatan Julien, asked why during all these years no one has been able to profitably exploit these resources that the AEQ promises.

“A single exploitable discovery, 34 barrels a day, and you are talking about billions? asked the minister.

“Quebec has considerable reserves,” replied the president of the AEQ, adding that the “authorizations have not been given to the government” to exploit them.

The president of the AEQ argued that it is because the authorities have never allowed the companies to do their job.

Millions and billions

According to Mr. Tétrault, compensation of $500 million on investments made over the past thirty years “approaches the truth”.

But in addition, the billions of dollars that are also claimed, “an approximate figure”, correspond to all the profits that have been lost for thirty years.

“I sense a certain amount of aggressiveness,” said Liberal opposition spokesman Pierre Arcand of the demands contained in the AEQ brief.

MNA Manon Massé, from Québec solidaire, protested against the compensation demanded by the companies.

The PQ MP for Jonquière, Sylvain Gaudreault, also singled out the association, whose real name in the register of companies is Petroleum and Gas Association.

“That says a lot, it’s like someone is ashamed of their true nature. »

Compensation

An expert from Laval University, Richard Ouellet, explained that under international rules, companies must be compensated.

“Trying not to compensate anyone seems utopian to me,” said the professor in court.

At the same time, it is common to see “extremely inflated requests”, he added.

Regarding the billions invoked by the AEQ, “the figure seems to me far-fetched”.

He added that “if it was the jackpot, you had to tell us before”.

For its part, the Quebec Center for Environmental Law (CQDE) maintains that it is “legitimate” not to compensate the industry, but takes note of the Legault government’s desire to compensate companies for their expenses.

“We welcome the desire for the most minimal and predictable compensation possible, with guidelines that are well integrated into a law,” said Ms.and Anne-Sophie Doré, from the CQDE, in her testimony.

She added that compensation does not, however, eliminate the risk of litigation.


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