AER says $260-billion energy cleanup estimate given by exec ‘highly unlikely’

CALGARY- The Alberta Energy Regulator says it doesn’t agree with a presentation given by a senior executive earlier this year that pegged the cost of cleaning up after the oil and gas industry at $260 billion.

The AER currently calculates the sector’s accumulated environmental liability at $58.65 billion.

The $260-billion figure comes from speaking notes for a presentation in February by Robert Wadsworth, vice-president of closure and liability, as first reported by the National Observer.

In a graphic illustrated by a huge cartoon bag of money, the presentation estimates Alberta’s liabilities at $130 billion for mining projects, $100 billion for conventional oil and gas and steam-driven oilsands, and $30 billion for pipelines.