According to Globeandmail.com -> Peakoil.com :
Calgary — Alberta will overcome the difficult challenges facing oil sands development, the head of the provincial energy regulator says.
“I firmly believe this will be very well organized and deliberately planned on the part of everybody to ensure this resource is extracted properly. We will make sure of that, because as an organization we can’t stand by and see it done otherwise,” Neil McCrank, chairman of the Alberta Energy and Utilities Board, said in an interview.
In November and December, the board approved two new oil sands projects but both times warned that rapid expansion of the oil sands was reaching a critical point.
With roughly $100-billion of work planned for the region over the next decade, problems are everywhere in Fort McMurray, from a severe housing shortage that has made the remote city one of Canada’s most expensive to extremely stressed health care facilities.
Ed Stelmach, the province’s new Premier, gave a speech in the city last week and cited some “statistics we’re not proud of” — the region has three times as many motor vehicle accidents per capita as the rest of Alberta and four times as many cases of sexually transmitted diseases.
In November, the energy board approved an expansion of Suncor Energy Inc.’s operations but took the unusual step of calling on the provincial government to address the problems, saying there was a “short window of opportunity” to improve infrastructure, from highways to hospitals.
In December, the board, in a joint decision with the federal government, approved Shell Canada Ltd.’s expansion plans but made a long list of recommendations to politicians and civil servants in Edmonton and Ottawa. The decision called the challenges facing Fort McMurray and the environment “critical,” suggesting other development applications for the oil sands could face higher hurdles.
“With each oil sands project, the growing demands and the absence of sustainable long-term solutions must weigh more heavily in the determination of the public interest,” a summary of the decision stated.
Mr. McCrank said he is confident the provincial government will respond appropriately. “They pay very close attention,” said Mr. McCrank, who has been chair of the regulator since 1998 and is likely stepping down within the next year.
“When this board makes specific recommendations, I’ve never seen the government not respond in some fashion. Now, they have their own issues to deal with — they have to prioritize what they’re dealing with — but they will pay close attention to recommendations from this board, and always have.”
He wouldn’t elaborate on what a “short window of opportunity” specifically meant.
“I can’t give you any more than what the board says in its decision and it said there was a short window of opportunity. I have to leave it at that.”
Proposed oil sands projects faced opposition from various groups last year, including the Regional Municipality of Wood Buffalo, home of the oil sands. Mayor Melissa Blake in November said Imperial Oil Ltd.’s Kearl oil sands proposal should be delayed so the region can catch up with development, repeating calls she made earlier in the year.
A decision on Kearl is expected in March.
Last year, former premier Ralph Klein admitted that “there wasn’t a plan” to deal with unprecedented growth in the oil sands, saying one was in development.
Mr. Stelmach has said dealing with growth is a top priority but hasn’t provided any details since becoming Premier in December.
Mr. McCrank said that despite the challenges, Albertans shouldn’t worry.
“The public should be confident … that their interest is well protected while this development is occurring, and that there won’t be anything happening that is not in the public interest,” he said.
-Looks like Canada Oil Sands is currently in rapid expansion and causing some concerns…this article however did not specify any energy problems from the oil sands. Do search for Oil Sands development and you will realised that the oil extraction process requires high amount of natural gas to extract the oil from the oil sand and water mixture. The high cost of natural gas will eventually make this operation not that profitable in the long run if oil price continue to plummet ….but the oil traders will be aware of it and stock up huge reserve when the oil began to be in higher demand later. Money shall be made…but consumer will suffer if there is any disruption of supply….
Well, oil fields had long been abandoned previously because their water cut % is too high and cost too much to extract to be profitable. Will Canada Oil Fields suffer the same fate? Not likely with high USA demand just beside Canada…will Oil Sands continue to produce oil until it totally run out?
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