Natural Resources
February 20, 2009Supreme
Court of Canada Dismisses Appeal
The Provincial Government is pleased with the decision
by the Supreme Court of Canada to deny an appeal of the research and
development guidelines for petroleum companies operating in Newfoundland
and Labrador�s offshore oil and gas sector.
"With the increasing activity in the province�s oil
and gas sector, research and development is a critical component that
plays a pivotal role in the future of this industry," said the
Honourable Kathy Dunderdale, Minister of Natural Resources. "With this
court challenge behind us, we look forward to working with our industry
partners, the Canada-Newfoundland and Labrador Offshore Petroleum Board
(CNLOPB) and other key players such as our educational institutions to
identify opportunities for research and development that will support
the sustainable development of the province�s offshore oil and gas
industry."
The Atlantic Accord Acts provide for spending on
research and development, education and training in this province and
authorize CNLOPB to issue guidelines with respect to such spending. The
guidelines require a percentage of capital costs and production phase
revenue from oil and gas projects be expended in the province on these
key areas. The Supreme Court decision provides a sense of certainty that
all offshore operators will undertake an appropriate level of spending
on R&D, education and training.
�The Provincial Government has taken
major steps to strengthen R&D planning and capacity in the province
through initiatives outlined in our Energy Plan as well as through the
creation of the Newfoundland and Labrador Research and Development
Council,� said the Honourable Kathy Dunderdale, Minister of Natural
Resources. �The R&D guidelines complement these major initiatives.�
In its Energy Plan, government committed to the
development of an energy innovation roadmap to guide research and
development investment in the energy sector. This will provide
direction, focus and priority for investment in future energy
technologies. The Newfoundland and Labrador Research and Development
Council is responsible for improving the quality and quantity of R&D
undertaken in the province which includes the development of a
province-wide strategy to initiate targeted R&D growth.
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Media contact:
Tracy Barron
Director of Communications
Department of Natural Resources
709-729-5282
mailto:tracybarron@gov.nl.ca
2009 02 20 11:55 a.m.
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