B.C. sets water rules for coalbed methane

The British Columbia government is eager to see coalbed methane enter the commercial phase, but not at any price.

It has banned the surface discharge of water from coalbed methane operations, heading off one of the most sensitive aspects of the sector among environmentalists.

Other measures will require reinjections of produced water to occur below domestic water aquifers; the use of the most advanced technology and practices that are commercially viable to minimize land and aesthetic disturbances; and full involvement of local communities and First Nations in all aspects of coalbed methane development.

Energy Minister Richard Neufeld left no doubt that the water reinjection order is not open for debate, noting that the industry was involved in some of the discussions leading up to the British Columbia government’s announcement that it plans to reduce greenhouse gas emissions by at least 33 percent below current levels by 2020.

B.C. has yet to join Alberta in commercial production from coalbed methane wells, but the province currently has 134 test wells. For the industry the key unanswered question is how much it will cost to meet the province’s standards and whether that will allow coalbed methane to be competitive. That will have to wait for the details.

—Gary Park