Canada's National Energy Board has canceled hearings originally scheduled in July on four natural gas export applications while it studies environmental assessment rules for export bids.
The decision is the latest action in an expanding battle between environmentalists and industry over exploration and development in Alberta.
The Rocky Mountain Ecosystem Coalition (RMEC) and other environmental groups are challenging current procedures.
RMEC, in cooperation with the Sierra Legal Defence Fund, also filed a suit in the Federal Court of Canada against several export applications. The groups say NEB should consider issues such as the effect of exploration and development when considering export bids.
The Alberta government is opposed to any comprehensive NEB review of industry field operations and claims sole jurisdiction over resources in the province.
Applicants in the canceled hearings are Western Gas Marketing Ltd., Renaissance Energy Ltd., Chevron Canada Resources Ltd., and CanStates Gas Marketing Ltd. The applications involve about 85 MMcfd to be shipped during periods as long as 15 years to customers in Oregon, Nebraska, and Michigan.
In a letter to applicants, NEB said the hearings must be delayed until the environmental procedure issue is resolved.
NEB also delayed sending an endorsement to the federal cabinet for final approval of a number of other export applications. Companies involved include Husky Oil Ltd., Shell Canada Ltd., ProGas Ltd., Western Canada Gas Marketing, and Brooklyn Navy Yard Cogeneration Partners LP.
The question of environmental review for export applications arose last February. That's when the Supreme Court of Canada ruled that NEB was responsible for assessment of the environmental effects of electrical power exports to the U.S. planned by Hydro Quebec.
NEB asked for public comment on what type of environmental assessment would allow it to comply with the Supreme Court ruling.
Meanwhile, RMEC has launched a public campaign against the way the Alberta government handles posting of land available for oil and gas leasing.
RMEC spokesman Mike Sawyer said the public should have the right to review postings in ecologically sensitive areas before acreage is leased. He said this would reduce or eliminate disputes between producers and environmentalists.
Alberta Energy Minister Pat Black said the lease sales will proceed as armed.
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