Aggregate and Petroleum Resources
Statute Law Amendment Act, 1996
EXPLANATORY NOTE
The Bill makes substantial changes to the Aggregate Resources Act and the Petroleum Resources Act, as well as consequential amendments to the Mining Act and the Ontario Energy Board Act.
In keeping with the Government's restructuring agenda, regulatory processes are streamlined and some areas of program delivery are transferred from the Ministry of Natural Resources to client industries.
The following are some of the principal changes made to the Aggregate Resources Act:
1. The Minister of Natural Resources is authorized to create the Aggregate Resources Trust, whose purposes are outlined in section 6.1. Funds for rehabilitation, currently held in special purpose accounts of the Consolidated Revenue Fund, are transferred to the Trust. The Trust will also receive licence and permit fees, rehabilitation security payments and special payments from licensees and permittees. Specified portions of the fees it collects are paid to the province and to municipalities.
2. The Minister's powers and duties under Part III (Wayside Permits) and Part V (Aggregate Permits) may be delegated to staff of the Ministry of Transportation.
3. Various matters related to applications and industry standards, currently dealt with in the Act itself, will be moved into the regulations.
4. Provisions relating to aggregate permits and to procedures for licence and permit applications are rewritten.
5. The limitation period for prosecutions is increased to five years.
The following are some of the principal changes made to thePetroleum Resources Act:
1. The Act is expanded to deal with salt solution mining, previously governed by the Mining Act (which continues to govern other methods of salt mining). The title of the Act is changed to Oil, Gas and Salt Resources Act.
2. The Minister is authorized to create the Oil, Gas and Salt Resources Trust, whose purposes are outlined in section 16 of the Act.
3. Jurisdiction over appeals and referrals and power to order compulsory pooling and unitization are conferred on the Mining and Lands Commissioner.
4. Maximum fines for offences are increased and the limitation period for prosecutions is increased to five years.
5. Provisions governing licences and permits for wells are rewritten.
6. Inspectors are authorized to make a variety of compliance orders. The Minister is authorized to certify other persons to examine works and wells.
Bill 521996
An Act to promote Resource Development, Conservation and
Environmental Protection Through the Streamlining of Regulatory
Processes and the Enhancement of Compliance Measures in the
Aggregate and Petroleum Industries
Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:
PART I
AGGREGATE RESOURCES ACT
1. (1) The definition of "established pit or quarry" in subsection 1 (1) of the Aggregate Resources Act is repealed and the following substituted:
"established pit or quarry" means,
(a) a pit or quarry from which a substantial amount of aggregate has been removed within the two-year period before the part of Ontario in which the pit or quarry is located was designated under subsection 5 (2), or
(b) land that was leased under the Mining Act throughout the two-year period before the part of Ontario in which the land is located was designated under subsection 5 (2). ("puits d'extraction établi ou carrière établie")
(2) The definition of "inspector" in subsection 1 (1) of the Act is repealed and the following substituted:
"inspector" means an inspector designated under section 4. ("inspecteur")
(3) The definition of "pit" in subsection 1 (1) of the Act is amended by striking out "or other work" in the sixth line and substituting "or structure".
(4) The definition of "public authority" in subsection 1 (1) of the Act is amended by striking out "the Crown" in the first line and substituting "the Crown or an agent of the Crown".
(5) The definition of "quarry" in subsection 1 (1) of the Act is amended by striking out "or other work" in the sixth line and substituting "or structure".
(6) Subsection 1 (2) of the Act is repealed and the following substituted:
Abandoned pits and quarries
(2) For the purposes of this Act, a pit or quarry for which no licence or wayside permit is in force shall be deemed to be abandoned.
2. Subsection 4 (1) of the Act is repealed and the following substituted:
Designation of inspectors
(1) The Minister may designate in writing any person as an inspector for the purposes of this Act.
3. (1) Clause 5 (1) (b) of the Act is repealed.
(2) Subsection 5 (3) of the Act is repealed.
4. Part I of the Act is amended by adding the following section:
Aggregate Resources Trust
6.1 (1) The Minister may establish in writing a trust to be known in English as the Aggregate Resources Trust and in French as Fonds des ressources en agrégats.
Terms of Trust
(2) The Trust shall provide for the following matters, on such terms and conditions as may be specified by the Minister:
1. The rehabilitation of land for which a licence or permit has been revoked and for which final rehabilitation has not been completed.
2. The rehabilitation of abandoned pits and quarries, including surveys and studies respecting their location and condition.
3. Research on aggregate resource management, including rehabilitation.
4. Payments to the Crown in right of Ontario and to regional municipalities, counties and local municipalities in accordance with the regulations.
Trustee
(3) The Minister may appoint a person who is not employed by the Crown as trustee of the Trust and may provide for the trustee's remuneration from the funds of the trust.
Not part of C.R.F.
(4) Money received or held by the Trust does not form part of the Consolidated Revenue Fund.
Right of entry for rehabilitation
(5) If a licence or permit has been revoked and final rehabilitation of the land to which it relates has not been completed, agents of the Trust are entitled to enter the land to carry out such rehabilitation as the trustee considers necessary.
Rehabilitation expenses
(6) Any amount spent by the Trust on the rehabilitation of land is a debt due to the Trust by the most recent licensee or permittee, as the case may be.
Annual report
(7) The Trust shall report annually to the Minister on the financial affairs of the Trust.
Tabling of report
(8) The Minister shall submit the report to the Lieutenant Governor in Council and shall table the report in the Legislative Assembly.
Other reports
(9) The Trust shall provide the Minister with such other reports and information as he or she may request.
Transfer from former rehabilitation security accounts
(10) On the day section 4 of the Aggregate and Petroleum Resources Statute Law Amendment Act, 1996 comes into force, all money held in an account described in section 52 of this Act, as it read immediately before the coming into force of section 4, is transferred to the Trust.
Refund
(11) On or before the first anniversary of the coming into force of section 4 of the Aggregate and Petroleum Resources Statute Law Amendment Act, 1996, the Trust shall refund to the person in whose name the account was held such amount as the Minister may direct.
5. Subsections 7 (2), (3) and (4) of the Act are repealed and the following substituted:
Application for licence
(2) Any person may apply to the Minister,
(a) for a Class A licence to remove more than 20,000 tonnes of aggregate annually from a pit or quarry; or
(b) for a Class B licence to remove 20,000 tonnes or less of aggregate annually from a pit or quarry.
Application fee
(3) The Minister may establish and charge a fee for each application under subsection (2).
6. (1) Subsections 8 (1), (2) and (3) of the Act are repealed and the following substituted:
Site plans for licences
(1) Every application for a licence shall include a site plan in accordance with the regulations.
(2) Subsections 8 (5) and (6) of the Act are repealed.
7. Subsection 9 (1) of the Act is repealed and the following substituted:
Report for Class A licences
(1) Every application for a Class A licence shall include a report in accordance with the regulations.
8. Section 11 of the Act is repealed and the following substituted:
Procedure
11. (1) If an application for a licence complies with this Act and the regulations, the Minister shall require the applicant to comply with the prescribed notification and consultation procedures.
Completion of notification procedures
(2) The applicant shall notify the Minister when the prescribed notification procedures are complete.
Objections
(3) Any person may, during the prescribed consultation procedures, notify the applicant and the Minister in writing of an objection to the application.
Resolution of objections
(4) During the prescribed consultation procedures, the applicant shall attempt to resolve the objections.
Referral to Board
(5) The Minister may refer the application and any objections to the Board for a hearing, and may direct that the Board shall determine only the issues specified in the referral.
Parties
(6) The parties to the hearing are the applicant, the persons who made the objections, the Minister and such other persons as are specified by the Board.
Combined hearing
(7) The Board may consider, at the same hearing, an application for an amendment to any relevant planning matter referred to the Board under the Planning Act and an application and objections referred to the Board under subsection (5).
Powers of Board
(8) The following rules apply if an application is referred to the Board:
1. The Board may hold a hearing and direct the Minister to issue the licence subject to the prescribed conditions, and may recommend additional conditions to which the licence should be subject.
2. The Board may hold a hearing and direct the Minister to refuse to issue the licence.
3. If the Board is of the opinion that an objection referred to it is not made in good faith, is frivolous or vexatious, or is made only for the purpose of delay, the Board may, without holding a hearing, on its own initiative or on a party's motion, refuse to consider the objection. If consideration of all the objections referred to the Board in connection with an application is refused in this way, the Board may direct the Minister to issue the licence subject to the prescribed conditions.
Decision by Minister
(9) If an application is not referred to the Board under this section, the Minister shall decide whether to issue or refuse to issue the licence.
Refusal by Minister
(10) If the Minister refuses to issue a licence under subsection (9), he or she shall forthwith serve notice of the refusal, including reasons, on the applicant.
Entitlement to hearing
(11) An applicant who is served with a notice under subsection (10) is entitled to a hearing by the Board if the applicant, within 30 days after being served, serves the Minister with a notice that a hearing is required.
Hearing
(12) Within 30 days after being served with notice that a hearing is required, the Minister shall refer the matter to the Board for a hearing.
Parties
(13) The parties to the hearing are the applicant, the Minister and such other persons as are specified by the Board.
Application of subs. (8)
(14) Subsection (8), except paragraph 3, applies to a proceeding before the Board under subsection (12).
No petition or review
(15) Sections 43 and 95 of the Ontario Municipal Board Act and section 21.2 of the Statutory Powers Procedure Act do not apply to an order or decision of the Board under this section.
9. (1) Section 12 of the Act is amended by striking out the portion before clause (a) and substituting the following:
12. (1) In considering whether a licence should be issued or refused, the Minister or the Board, as the case may be, shall have regard to,
. . . . .
(2) Clause 12 (j) of the Act is repealed and the following substituted:
(j) the applicant's history of compliance with this Act and the regulations, if a licence or permit has previously been issued to the applicant under this Act or a predecessor of this Act; and
. . . . .
10. The Act is amended by adding the following sections:
Zoning by-laws
12.1 (1) No licence shall be issued unless the site complies with all relevant zoning by-laws.
If compliance in doubt
(2) If the Minister is in doubt as to whether there is compliance with a zoning by-law, he or she may serve on the applicant a notice to that effect.
Application to General Division
(3) An applicant who is served with notice is entitled, within 30 days after being served, to make an application to the Ontario Court (General Division) for a judgment declaring that there is compliance with the zoning by-law.
Copies to municipalities
12.2 If a licence is issued, the licensee shall serve a copy of the licence and a copy of the final site plan on the clerk ofeach regional municipality, county and local municipality in which the site is located.
11. Sections 13 and 14 of the Act are repealed and the following substituted:
Conditions
13. (1) When a licence is issued, the Minister may include in the licence such conditions as he or she considers necessary.
Changes of conditions
(2) The Minister may, at any time, add a condition to a licence or rescind or vary a condition of a licence.
Notice of change
(3) If the Minister proposes to add a condition to a licence after its issue or to rescind or vary a condition of a licence, he or she shall forthwith serve notice of the proposal, including reasons,
(a) on the licensee; and
(b) if, in the opinion of the Minister, the matter is of importance and it is appropriate to do so, on the clerk of each regional municipality, county and local municipality in which the site is located.
No action until 30 days elapsed
(4) A licensee and any municipality served with notice under subsection (3) may provide the Minister with comments within 30 days after service of the notice and the Minister shall take no action until the 30 days have elapsed.
Exception
(5) The Minister may take the proposed action before the 30 days have elapsed if comments have been received from all persons notified and if the licensee waives the right under subsection (6) to require a hearing.
Entitlement to hearing
(6) A licensee who is served with a notice under subsection (3) is entitled to a hearing by the Board if the licensee, within 30 days after being served, serves the Minister with a notice that a hearing is required.
Hearing
(7) Within 30 days after being served with notice that a hearing is required, the Minister shall refer the matter to the Board for a hearing.
Parties
(8) The parties to the hearing are the licensee, the Minister and such other persons as are specified by the Board.
Powers of Board
(9) The Board may direct the Minister to carry out, vary or rescind his or her proposal.
No petition or review
(10) Sections 43 and 95 of the Ontario Municipal Board Act and section 21.2 of the Statutory Powers Procedure Act do not apply to an order or decision of the Board under this section.
Where no hearing
(11) If the licensee does not require a hearing under subsection (6), the Minister may carry out the proposal.
Annual licence fee
14. (1) Every licensee shall pay an annual licence fee in the prescribed amount within the prescribed time.
Payments to Trust
(2) The annual licence fee shall be paid to the Aggregate Resources Trust.
12. The Act is amended by adding the following section:
Annual compliance report
15.1 (1) Every licensee shall, in accordance with the regulations, submit an annual report to the Minister for the purpose of assessing the licensee's compliance with this Act, the regulations, the site plan and the conditions of the licence.
Retention of reports
(2) During the term of the licence, the licensee shall retain a copy of every report submitted under this section.
Examination
(3) Any person may examine an annual compliance report during the Ministry's normal office hours and, on payment of such fee as may be established by the Minister, the person is entitled to a copy of the report.
13. Section 16 of the Act is repealed and the following substituted:
Amendment of site plans
16. (1) The Minister may, at any time, require a licensee to amend the site plan.
Same
(2) A licensee may amend the site plan at any time, after obtaining the Minister's written approval.
Same
(3) The Minister may require any amended site plan to be prepared under the direction of and certified by a person referred to in subsection 8 (4).
Application fee
(4) The Minister may establish and charge fees for applications for approval under subsection (2).
Notice
(5) If the Minister proposes to require the amendment of a site plan or proposes to approve the amendment of a site plan, he or she shall forthwith serve notice of the proposal, including reasons,
(a) on the licensee; and
(b) if, in the opinion of the Minister, the matter is of importance and it is appropriate to do so, on the clerk of each regional municipality, county and local municipality in which the site is located.
No action until 30 days elapsed
(6) A licensee and any municipality served with notice under subsection (5) may provide the Minister with comments within 30 days after service of the notice and the Minister shall take no action until the 30 days have elapsed.
Exception
(7) The Minister may take the proposed action before the 30 days have elapsed if comments have been received from all persons notified and, in the case of a proposal to require the amendment of a site plan, if the licensee waives the right under subsection (8) to require a hearing.
Entitlement to hearing
(8) A licensee who is served with notice under subsection (5) of a proposal to require the amendment of a site plan is entitled to a hearing by the Board if the licensee, within 30 days after being served, serves the Minister with a notice that a hearing is required.
Hearing
(9) Within 30 days after being served with notice that a hearing is required, the Minister shall refer the matter to the Board for a hearing.
Parties
(10) The parties to the hearing are the licensee, the Minister and such other persons as are specified by the Board.
Powers of Board
(11) The Board may direct the Minister to carry out, vary or rescind his or her proposal.
No petition or review
(12) Sections 43 and 95 of the Ontario Municipal Board Act and section 21.2 of the Statutory Powers Procedure Act do not apply to an order or decision of the Board under this section.
Where no hearing
(13) If the licensee does not require a hearing under subsection (8), the Minister may carry out the proposal.
14. Section 17 of the Act is repealed.
15. Section 18 of the Act is repealed and the following substituted:
Transfer of licence
18. (1) On application, the Minister may transfer a licence.
Fee
(2) The Minister may establish a fee for each application under subsection (1).
Consent
(3) If the applicant is the licensee or has the licensee's consent to the transfer, the following rules apply:
1. The Minister may transfer the licence.
2. If the Minister proposes to refuse the transfer, he or she shall forthwith serve notice of the proposal on the applicant (and on the licensee, if they are different persons), with reasons.
No consent
(4) If the applicant does not have the licensee's consent to the transfer, the following rules apply:
1. If the Minister proposes to transfer the licence, he or she shall forthwith serve notice of the proposal on the licensee, with reasons.
2. If the Minister proposes to refuse the transfer, he or she shall forthwith serve notice of the proposal on the applicant, with reasons.
Entitlement to hearing
(5) An applicant or licensee who is served with notice under subsection (3) or (4) is entitled to a hearing by the Board if the applicant or licensee, within 30 days after being served, serves the Minister with a notice that a hearing is required.
Hearing
(6) Within 30 days after being served with notice that a hearing is required, the Minister shall refer the matter to the Board for a hearing.
Parties
(7) The parties to the hearing are the applicant, the licensee, the Minister and such other persons as the Board specifies.
Powers of Board
(8) The Board may direct the Minister to carry out or rescind his or her proposal.
No petition or review
(9) Sections 43 and 95 of the Ontario Municipal Board Act and section 21.2 of the Statutory Powers Procedure Act do not apply to an order or decision of the Board under this section.
If no hearing required
(10) If no hearing is required under subsection (5), the Minister may carry out the proposal.
Notice after transfer
(11) When the Minister transfers a licence, the person to whom it was transferred shall serve notice of the transfer on the clerk of each regional municipality, county and local municipality in which the site is located.
16. Section 19 of the Act is repealed and the following substituted:
Surrender of licence
19. The Minister may accept the surrender of a licence on being satisfied that the licensee's annual licence fees and rehabilitation security payments, and special payments if applicable, have been paid and that rehabilitation has been performed in accordance with this Act, the regulations, the site plan, if any, and the conditions of the licence.
17. Sections 20 and 21 of the Act are repealed and the following substituted:
Revocation of licence
20. (1) The Minister may revoke a licence for any contravention of this Act, the regulations, the site plan or the conditions of the licence.
Advance notice
(2) The Minister shall not revoke a licence unless, at least 90 days before the licence is revoked, the Minister serves on the licensee notice of the intention to revoke the licence.
Notice to licensee
(3) When the Minister revokes a licence, he or she shall forthwith serve notice of the revocation, including reasons, on the licensee.
Entitlement to hearing
(4) A licensee who is served with a notice under subsection (3) is entitled to a hearing by the Board if the licensee, within 30 days after being served, serves the Minister with a notice that a hearing is required.
Application
(5) Subsection (4) does not apply if the licence is being revoked because of a contravention of subsection 14 (1).
Hearing
(6) Within 30 days after being served with notice that a hearing is required, the Minister shall refer the matter to the Board for a hearing.
Parties
(7) The parties to the hearing are the licensee, the Minister and such other persons as are specified by the Board.
Powers of Board
(8) The Board may confirm the revocation of the licence or direct the Minister to rescind the revocation.
No petition or review
(9) Sections 43 and 95 of the Ontario Municipal Board Act and section 21.2 of the Statutory Powers Procedure Act do not apply to an order or decision of the Board under this section.
18. (1) Subsection 22 (1) of the Act is amended by striking out "not exceeding six months" in the second and third lines.
(2) The French version of subsection 22 (1) of the Act is amended by striking out "infraction" in the third line and substituting "contravention".
(3) Subsection 22 (4) of the Act is amended by striking out "subsections 20 (3), (5) and (6) apply" in the last two lines and substituting "section 20 applies".
19. (1) Subsection 23 (1) of the Act is amended by striking out "on a form provided by the Minister" in the seventh line.
(2) Subclause 23 (3) (a) (ii) of the Act is amended by striking out "an urgent project" in the first line and substituting "a project".
(3) Subsection 23 (6) of the Act is repealed and the following substituted:
Procedure
(6) If an application for a wayside permit complies with this Act and the regulations, the Minister shall require the applicant to comply with the prescribed notification and consultation procedures.
20. Section 24 of the Act is repealed.
21. Subsections 25 (1) and (2) of the Act are repealed and the following substituted:
Site plans for wayside permits
(1) The site plan accompanying an application for a wayside permit shall be in accordance with the regulations.
22. Subsection 27 (1) of the Act is repealed and the following substituted:
Permits prevail over zoning by-laws
(1) The Minister may in his or her discretion issue a wayside permit even if the location of the site contravenes a zoning by-law; in that case, the by-law does not apply to the site while the permit is in force.
23. Section 28 of the Act is repealed and the following substituted:
Copies to municipalities
28. If a wayside permit is issued, the permittee shall serve a copy of the permit and a copy of the final site plan on the clerk of each regional municipality, county and local municipality in which the site is located.
24. Subsection 30 (1) of the Act is repealed and the following substituted:
Conditions
(1) When a wayside permit is issued, the Minister may include in it such conditions as he or she considers necessary.
25. The Act is amended by adding the following section:
Fee
31.1 (1) The holder of a wayside permit shall pay the prescribed fee within such time as may be specified by the Minister.
Payment to Trust
(2) The fee shall be paid to the Aggregate Resources Trust.
26. (1) The French version of subsection 32 (1) of the Act is amended by striking out "infraction" in the fourth line and substituting "contravention".
(2) Subsection 32 (3) of the Act is repealed.
27. The Act is amended by adding the following section to Part III:
Delegation
32.1 (1) The Minister may authorize any employee or class of employees of the Ministry of Transportation to exercise any power or perform any duty that is granted to or vested in the Minister under this Part.
Limitations
(2) The Minister may limit an authorization made under subsection (1) in such manner as he or she considers advisable.
28. Part IV of the Act is repealed.
29. (1) Subsection 34 (4) of the Act is amended by striking out "on a form provided by the Minister" in the second line.
(2) Section 34 of the Act is amended by adding the following subsections:
Application fee
(4.1) The Minister may establish and charge a fee for each application under subsection (4).
Waiver of fee
(4.2) The Minister may waive the requirement to pay an application fee.
(3) Section 34 of the Act is amended by adding the following subsections:
Site with more than one pit or quarry
(6) An aggregate permit may apply to an area of land where aggregate is to be excavated from more than one pit or quarry.
Exemption
(7) Subsection (1) does not apply in respect of land that is subject to a resource management plan or similar document under another Act administered by the Minister, if the person,
(a) is exempted from subsection (1) by the Minister; or
(b) belongs to a class of persons exempted from subsection (1) by the regulations.
Same
(8) A person who is exempted from subsection (1) by subsection (7) shall operate the pit or quarry in accordance with the regulations.
30. Section 35 of the Act is repealed.
31. Subsections 36 (1) to (8) of the Act are repealed and the following substituted:
Site plan
(1) Every application for an aggregate permit shall include a site plan in accordance with the regulations.
Additional information
(2) The Minister may require an applicant for an aggregate permit to furnish additional information in such form and manner as is considered necessary, and, until the information is furnished, further consideration of the application may be refused.
32. The Act is amended by adding the following section:
Limitation
36.1 No aggregate permit shall be issued for sand and gravel if the sand and gravel has been included in a placer mining claim under the Mining Act, unless the non-aggregate mineral has been removed from the placer deposit.
33. Subsections 37 (1), (2), (3), (4) and (5) of the Act are repealed and the following substituted:
Conditions
(1) When an aggregate permit is issued, the Minister may include in the permit such conditions as the Minister considers necessary.
34. The Act is amended by adding the following section:
Annual permit fee
37.1 (1) Every holder of an aggregate permit shall pay an annual permit fee in the prescribed amount within the prescribed time.
Payments to Trust
(2) The annual permit fee shall be paid to the Aggregate Resources Trust.
Waiver of fee
(3) The Minister may waive the requirement to pay an annual permit fee.
35. Section 39 of the Act is repealed.
36. The Act is amended by adding the following section:
Annual compliance report
40.1 (1) Every holder of an aggregate permit shall, in accordance with the regulations, submit an annual report to the Minister for the purpose of assessing the permittee's compliance with this Act, the regulations, the site plan and the conditions of the permit.
Retention of reports
(2) The permittee shall retain a copy of every report submitted under this section during the term of the permit.
Examination
(3) Any person may examine an annual compliance report during the Ministry's normal office hours and, on payment of such fee as may be established by the Minister, the person is entitled to a copy of the report.
37. Section 41 of the Act is repealed and the following substituted:
Transfer of permit
41. On application and on payment of such fee as may be established by the Minister, the Minister may transfer an aggregate permit.
Surrender of permit
41.1 The Minister may accept the surrender of an aggregate permit on being satisfied that the permittee's annual aggregate permit fees and rehabilitation security payments, and special payments if applicable, have been paid and that the rehabilitation has been performed in accordance with this Act, the regulations, the site plan, if any, and the conditions of the permit.
38. (1) Clauses 42 (a) and (b) of the Act are repealed and the following substituted:
(a) refuse to issue an aggregate permit;
(b) refuse to transfer an aggregate permit; or
. . . . .
(2) The French version of clause 42 (d) of the Act is amended by striking out "la cession" in the first and second lines and substituting "le transfert".
39. (1) Clauses 43 (1) (c) and (d) of the Act are repealed.
(2) Subsection 43 (2) of the Act is amended by striking out "clause (1) (a), (b) or (c)" in the second line and substituting "clause (1) (a) or (b)".
(3) Subsection 43 (3) of the Act is amended by striking out "clause (1) (d), (e) or (f)" in the second line and substituting "clause (1) (e) or (f)".
(4) Subsection 43 (4) of the Act is amended by striking out "clause (1) (d), (e) or (f)" in the second line and substituting "clause (1) (e) or (f)".
40. Section 44 of the Act is amended by adding the following subsection:
Application
(1.1) Subsection (1) does not apply if the permit is being revoked because of the contravention of section 37.1 or subsection 46 (2).
41. (1) Subsection 45 (1) of the Act is amended by striking out "not exceeding six months" in the second and third lines.
(2) The French version of clause 45 (1) (a) of the Act is amended by striking out "infraction" in the first line and substituting "contravention".
42. (1) Subsection 46 (3) of the Act is repealed and the following substituted:
Deposit
(3) The Minister may require an aggregate permittee to make a deposit, in an amount determined by the Minister, for the payment of any royalty that is due or that may become due under subsection (1).
(2) Subsection 46 (4) of the Act is amended by striking out "from any security given under subsection (3) or" in the third and fourth lines.
43. The Act is amended by adding the following section to Part V:
Delegation
46.1 (1) The Minister may authorize any employee or class of employees of the Ministry of Transportation to exercise any power or perform any duty that is granted to or vested in the Minister under this Part.
Limitations
(2) The Minister may limit an authorization made under subsection (1) in such manner as he or she considers advisable.
44. Subsection 48 (2) of the Act is repealed and the following substituted:
Minister's order requiring progressive rehabilitation
(2) On being satisfied that a licensee or permittee has not performed adequate progressive rehabilitation on the site, the Minister may order the licensee or permittee, as the case may be, to perform within a specified period of time such progressive rehabilitation as the Minister considers necessary and the licensee or permittee shall comply with the order.
45. Sections 50, 51, 52, 53 and 54 of the Act are repealed and the following substituted:
Rehabilitation security payments
50. (1) Licensees and permittees shall make rehabilitation security payments in the prescribed amounts and within the prescribed times.
Newly designated lands, special payments
(2) When a regulation is made under subsection 5 (2) designating a part of Ontario that was not previously designated, the Lieutenant Governor in Council may, by a regulation made at the same time as the regulation under subsection 5 (2), require the holders of licences and permits relating to sites in the newly designated area to make special payments, in the prescribed amounts and within the prescribed times, in addition to their rehabilitation security payments.
Payments to Trust
(3) Rehabilitation security payments and special payments shall be paid to the Aggregate Resources Trust.
46. Subsection 55 (2) of the Act is repealed.
47. Section 57 of the Act is amended by adding the following subsection:
Application
(1.1) Subsection (1) does not apply if the person is authorized by subsection 34 (7) to operate the pit or quarry without an aggregate permit.
48. The French version of subsection 58 (1) of the Act is amended by inserting "prévue" after "infraction" in the second line.
49. The Act is amended by adding the following section to Part VII:
Limitation period
59.1 A proceeding in respect of an offence under section 57 shall not be commenced more than five years after the date on which the offence was, or is alleged to have been, committed.
50. Part VIII of the Act is repealed.
51. (1) Subsection 64 (1) of the Act is amended by striking out "registered mail" in the fourth line and substituting "regular lettermail".
(2) Subsection 64 (2) of the Act is amended by striking out "registered mail" in the first line and substituting "regular lettermail".
52. Section 66 of the Act is amended by adding the following subsections:
No requirement for development permit under Planning Act
(5) A requirement for a development permit imposed by a development permit system established under subsection 70.2 (1) of the Planning Act does not apply to a site for which a licence or permit has been issued under this Act.
Retroactivity
(6) Subsection (5) applies even if the development permit system came into effect before the coming into force of section 50 of the Aggregate and Petroleum Resources Statute Law Amendment Act, 1996.
53. (1) Clauses 67 (d), (e) and (f) of the Act are repealed and the following substituted:
(d) governing applications for licences and permits, including their contents, form and preparation;
(e) governing site plans, including their contents, form and preparation;
(f) governing reports under subsection 9 (1), including their contents, form and preparation;
(f.1) prescribing notification and consultation procedures associated with applications for the issuance or transfer of licences or permits;
(f.2) prescribing conditions that apply to licences or permits;
(f.3) prescribing the amounts or the method of determining the amounts of annual licence fees, wayside permit fees, annual permit fees, rehabilitation security payments and special payments, and prescribing the times within which they shall be paid;
(f.4) requiring interest to be paid on any amount required to be paid under this Act that is not paid or is not paid within the required time, and prescribing the rate of interest;
(f.5) requiring and governing the payment to the Crown in right of Ontario and to regional municipalities, counties and local municipalities of specified portions of the annual licence fees, wayside permit fees and annual permit fees paid to the Aggregate Resources Trust, and specifying the portions.
(2) Clause 67 (h) of the Act is repealed and the following substituted:
(h) prescribing the percentage of the total of the annual licence fees and wayside permit fees collected that may be allocated to the purposes of rehabilitation and research, as described in paragraphs 1, 2 and 3 of subsection 6.1 (2);
(h.1) exempting a class or classes of persons from subsection 34 (1).
(3) Clauses 67 (l) and (n) of the Act are repealed.
(4) Section 67 of the Act is amended by adding the following clause:
(o.1) governing annual compliance reports required by sections 15.1 and 40.1, including their contents, form, preparation and submission.
(5) Clause 67 (q) of the Act is repealed.
(6) Section 67 of the Act is amended by adding the following subsection:
General or particular
(2) A regulation made under this section may be general or particular in its application.
54. Section 70 of the Act is repealed.
55. (1) Subsection 71 (4) of the Act is repealed and the following substituted:
Right to operate for limited period without licence
(4) Despite subsection 57 (1), a person who applies for a licence during the six-month period following the day of the designation under subsection 5 (2) may operate an established pit or quarry without a licence,
(a) if the Minister does not serve a notice on the applicant under subsection 12.1 (2), until the licence is issued or refused or until the 12-month period following the day of the designation expires, whichever occurs first;
(b) if the Minister serves a notice on the applicant under subsection 12.1 (2), until the licence is issued or refused.
(2) Subsection 71 (6), as amended by the Statutes of Ontario, 1993, chapter 27, Sched., and subsections 71 (7) and (8) of the Act are repealed and the following substituted:
Site plans
(6) The licensee shall serve on the Minister copies of the site plan referred to in section 8 within six months after the Minister serves a demand for the copies on the licensee.
Application
(7) Despite subsection (1), section 9, subsections 11 (1) to (8) and 11 (10) to (15), and section 12 do not apply to an application made under subsection (4).
Same
(8) Despite subsection (1), subsections 11 (1) to (8) and 11 (10) to (15) do not apply to an application for an established pit or quarry made during the two-year period that follows the day of the designation.
PART II
PETROLEUM RESOURCES ACT
56. The title of the Petroleum Resources Act is repealed and the following substituted:
OIL, GAS AND SALT RESOURCES ACT
57. (1) Section 1 of the Act, as amended by the Statutes of Ontario, 1994, chapter 27, section 131, is further amended by adding the following definition:
"Commissioner" means the Mining and Lands Commissioner appointed under the Ministry of Natural Resources Act. ("commissaire")
(2) The definition of "gas" in section 1 of the Act is repealed and the following substituted:
"gas" means a mixture containing hydrocarbons that is located in or recovered from an underground reservoir and that is gaseous at the temperature and pressure under which its volume is measured or estimated. ("gaz")
(3) The definitions of "oil" and "operator" in section 1 of the Act are repealed and the following substituted:
"oil" means a mixture containing hydrocarbons that is located in or recovered from an underground reservoir, or recovered in processing, and that is liquid at the temperature and pressure under which its volume is measured or estimated; ("pétrole")
"oil field fluid" means,
(a) anything that has been used as a well drilling fluid, and
(b) formation water that is recovered from a well; ("fluide de champ pétrolifère")
"operator" means, in respect of a work,
(a) the person who has the right as lessee, sub-lessee, assignee or owner to operate the work and the person who has the control or management of the operation of the work, or
(b) if there is no person described in clause (a), the owner of the land on which the work is situated. ("exploitant")
(4) Section 1 of the Act, as amended by the Statutes of Ontario, 1994, chapter 27, section 131, is further amended by adding the following definition:
"solution mining" means the extraction of salt from a geological formation by the injection of water and the recovery of the salt in solution through a well. ("exploitation par dissolution")
(5) The definitions of "well" and "work" in section 1 of the Act are repealed and the following substituted:
"well" means a hole drilled into a geological formation of Cambrian or more recent age for the purpose of,
(a) oil or gas exploration or production,
(b) the storage of oil, gas or other hydrocarbons in a geological formation,
(c) the disposal of oil field fluid in a geological formation,
(d) solution mining, or
(e) geological evaluation or testing; ("puits")
"work" means a well or any pipeline or other structure or equipment that is used in association with a well. ("ouvrage")
(6) Section 1 of the Act, as amended by the Statutes of Ontario, 1994, chapter 27, section 131, is further amended by adding the following subsections:
Oil or gas, determination by Minister
(2) In cases where doubt exists, the Minister may, in his or her absolute discretion, determine whether a substance is oil or gas.
Powers and duties of Commissioner
(3) Part VI of the Mining Act applies, with necessary modifications, to the exercise of the Commissioner's powers and the performance of his or her duties under this Act.
58. Subsection 2 (1) of the Act is repealed and the following substituted:
Appointment of inspectors
(1) The Minister may appoint inspectors for the purpose of this Act and the regulations.
59. Subsection 3 (1) of the Act is amended by adding the following clause:
(c.1) require the operator of a work to make such examinations, tests or inquiries as may be necessary to ascertain whether this Act and the regulations are being complied with, and to report to the inspector on the examinations, tests and inquiries in such form as the inspector may specify.
60. Subsection 4 (3) of the Act is repealed and the following substituted:
Refusal to produce records or make examinations
(3) No person shall neglect or refuse to,
(a) produce a licence, permit, drawing, specification, record or report as required by an inspector under clause 3 (1) (c); or
(b) make an examination, test or inquiry, or report on an examination, test or inquiry, as required by an inspector under clause 3 (1) (c.1).
61. Subsections 7 (6), (7) and (8) of the Act are repealed.
62. The Act is amended by adding the following sections:
Requirement to plug well
7.0.1 An inspector may order the operator of a well to plug the well within such time as the inspector considers appropriate, if,
(a) the inspector is of the opinion that the well represents a hazard to the public or to the environment; or
(b) all activities relating to the well have been suspended for more than 12 months.
Appeal from inspector
7.0.2 (1) Any person who considers himself, herself or itself aggrieved by a decision or order of an inspector made under section 7 or 7.0.1 may appeal to the Minister within 30 days after the decision or order is made.
Minister's designee
(2) The appeal shall be heard and disposed of promptly, by the Minister's designee.
Same
(3) For the purposes of this section, the Minister may designate one or more individuals or a board, agency or commission.
Same
(4) If the Minister designates two individuals, they shall act unanimously; if the Minister designates three or more, a majority of them may act.
Grounds
(5) The Minister's designee may require the grounds for appeal to be in writing before hearing the appeal.
Operation of order pending appeal
(6) The bringing of the appeal does not affect the operation of the decision or order appealed from pending disposition of the appeal.
Powers
(7) The Minister's designee may substitute the designee's findings or opinions for those of the inspector who made the decision or order appealed from, and may rescind or affirm the decision or order or make a new one in substitution; the designee's decision or order stands in place of and has the same effect as the inspector's decision or order.
Non-application of S.P.P.A.
(8) The Statutory Powers Procedure Act does not apply to appeals under this section.
Guidelines
(9) The Minister may establish guidelines with respect to appeals under this section.
63. Sections 8 and 9 of the Act are repealed and the following substituted:
Joining of interests
8. (1) The Commissioner may, by order,
(a) require the joining of the various interests within a spacing unit for the purpose of drilling or operating a well and the apportioning of the costs and benefits of such drilling or operation; or
(b) require and regulate the joining of the various interests within a field or pool for the purpose of drilling or operating wells, the designation of management and the apportioning of the costs and benefits of such drilling or operation.
Unitization order prevails
(2) An order under clause (1) (b) prevails over an order made under section 7.1 and a regulation made under clause 17 (1) (e.1) or (e.2).
64. Section 10 of the Act is repealed and the following substituted:
Licence for well activities
10. (1) No person shall drill, operate, deepen, alter or enter a well, or engage in any other activity on or in a well, except in accordance with a licence.
No purchase without licence
(2) No person shall purchase or accept delivery of oil or gas produced from a well unless the well is subject to a licence.
Transfer of well or licence
10.1 (1) No person shall transfer ownership of a well or of any licence relating to a well without the Minister's written consent.
Appeal to Commissioner
(2) A person who considers himself, herself or itself aggrieved by the Minister's refusal of consent to a transfer under subsection (1) may appeal it to the Commissioner.
Hearing
(3) The Commissioner shall hold a hearing into the matter and report to the Minister on it.
Plugging by previous owner
(4) If, at any time after ownership of a well is transferred, an order to plug the well is made under section 7.0.1 but is not complied with, an inspector may require a previous owner to plug the well at the previous owner's expense.
65. Section 11 of the Act is repealed and the following substituted:
Permit required for injection project
11. (1) No person shall inject oil, gas, water or another substance into a geological formation in connection with a project for enhancing oil or gas recovery unless the person is the holder of a permit for the purpose.
Referral to Board
(2) If the point of injection proposed in an application for a permit under subsection (1) is within 1.6 kilometres of an area designated as a gas storage area under the Ontario Energy Board Act, the Minister shall refer the application to the Board for a report.
Hearing
(3) The Board may hold a hearing, but is not required to do so, before reporting to the Minister.
Exception
(4) Subsection (1) does not prohibit the injection of gas for storage in an area designated as a gas storage area under the Ontario Energy Board Act.
66. (1) Subsection 13 (1) of the Act is amended by striking out "Board" in the twelfth line and in the thirteenth line and substituting in each case "Commissioner".
(2) Subsection 13 (2) of the Act is repealed and the following substituted:
Changes to terms and conditions
(2) The Minister may amend, suspend or revoke any term, condition, duty or liability imposed on a licence or permit under this section or may impose an additional term, condition, duty or liability, but before doing so the Minister may, and if requested by the holder of the licence or permit shall, refer the matter to the Commissioner, in which case the Commissioner shall hold a hearing and report to the Minister on it.
67. Sections 14, 15 and 16 of the Act are repealed and the following substituted:
Refusal, suspension or cancellation of licence
14. (1) If a person's act or failure to act is an offence under section 19, the Minister may refuse to grant a licence or permit or may suspend or cancel a licence or permit, but before doing so the Minister may refer the matter to the Commissioner, in which case the Commissioner shall report to the Minister on it.
Application to Commissioner
(2) If the Minister does not refer the matter to the Commissioner, any person who considers himself, herself or itself aggrieved may apply to the Commissioner for a hearing, in which case the Commissioner shall hold a hearing and report to the Minister.
Copy of report
15. If the Commissioner submits a report to the Minister pursuant to section 13 or 14, the Commissioner shall send a copy of the report to each of the parties within 10 days after the report is submitted to the Minister.
Trust fund
16. (1) The Minister may establish in writing a trust to be known in English as the Oil, Gas and Salt Resources Trust and in French as Fonds des ressources en pétrole, en gaz et en sel.
Terms of Trust
(2) The Trust shall provide for the following matters, on such terms and conditions as may be specified by the Minister:
1. The funding of information management relating to oil, gas and salt resources.
2. The funding of research, surveys and laboratory facilities and operations relating to,
i. oil or gas exploration, drilling or production,
ii. the storage of oil, gas and other hydrocarbons in geological formations,
iii. the disposal of oil field fluid in geological formations, and
iv. solution mining.
3. Such other matters as may be specified by the Minister.
Trustee
(3) The Minister may appoint a person who is not employed by the Crown as trustee of the Trust, and may provide for the trustee's remuneration from the funds of the Trust.
Payments to Trust
(4) The holder of a licence or permit shall pay the prescribed amounts to the Trust within the prescribed times.
Not part of C.R.F.
(5) Money received or held by the Trust does not form part of the Consolidated Revenue Fund.
Annual report
(6) The Trust shall report annually to the Minister on the financial affairs of the Trust.
Tabling of report
(7) The Minister shall submit the report to the Lieutenant Governor in Council and shall table the report in the Legislative Assembly.
Other reports
(8) The Trust shall provide the Minister with such other reports and information as he or she may request.
68. (1) Clauses 17 (1) (b) and (c) of the Act are repealed and the following substituted:
(b) prescribing areas where drilling wells is prohibited;
(c) prescribing areas or geological formations where one or more of the following are prohibited:
1. Oil or gas production.
2. Storage of oil, gas or other hydrocarbons.
3. Injection of oil, gas, water or other substances into a geological formation in connection with a project for enhancing oil or gas recovery.
4. Disposal of oil field fluid.
5. Solution mining.
(2) Subsection 17 (1) of the Act, as amended by the Statutes of Ontario, 1994, chapter 27, section 131, is further amended by adding the following clause:
(e.3) governing orders under section 8.
(3) Clauses 17 (1) (f), (g), (h), (i) and (j) of the Act are repealed and the following substituted:
(f) governing the methods, equipment and materials to be used in drilling, completing, operating, servicing or plugging wells;
(g) requiring operators to preserve drilling and production samples and cores and to furnish them to persons specified by the regulations;
(h) requiring operators to register works with the Ministry, to maintain records relating to the works and to provide the Ministry with reports, returns and other information in such form and manner as the Minister may specify;
(i) requiring dry or unplugged wells to be plugged or replugged, and prescribing the methods, equipment and materials to be used in plugging or replugging wells;
(j) governing the design, construction, use, operation, abandonment and removal of works, including the methods, materials and equipment used;
(k) requiring the examination of works by persons who belong to prescribed classes and have the prescribed evidence of the Minister's approval for the purposes of examinations of works, and prescribing the times or intervals at which and the manner in which the examinations are to be carried out;
(l) governing solution mining activities and the use and abandonment of salt caverns created by those activities.
(4) Clauses 17 (2) (d), (e), (f), (g) and (h) of the Act are repealed and the following substituted:
(d) prescribing tags and providing for their use;
(e) governing liability insurance required by operators and governing other financial assurances to be provided by operators;
(f) prescribing the amounts or the method of determining the amounts to be paid to the Oil, Gas and Salt Resources Trust and prescribing the times within which the amounts shall be paid.
69. The Act is amended by adding the following section:
Application fees
17.1 (1) The Minister may establish and charge a fee for applications under this Act.
Forms
(2) The Minister may approve forms for the purposes of this Act and provide for their use.
70. Section 19 of the Act is repealed and the following substituted:
Offences
19. (1) No person shall,
(a) contravene or fail to comply with an order of an inspector or the Commissioner;
(b) knowingly make a false statement or provide false information in a document or other form of communication required under this Act or the regulations;
(c) fail to carry out the instructions of an inspector;
(d) unlawfully tamper or interfere with a work or part of a work;
(e) waste, lose or dispose of oil, gas or other hydrocarbons, oil field fluid or brine produced in solution mining, or cause or permit its waste, loss or disposal, in a manner that results in,
(i) a hazard to public safety, or
(ii) pollution of the natural environment as defined in the Environmental Protection Act; or
(f) wilfully delay or obstruct an inspector in the execution of his or her duties under this Act.
Penalty
(2) A person who contravenes subsection (1) or contravenes or fails to comply with any other provision of this Act or any provision of a regulation is guilty of an offence and, on conviction, is liable to a fine of not less than $1,000 and not more than $500,000, or to imprisonment for a term of not more than one year, or to both.
Increased penalty
(3) The maximum fine provided by subsection (2) may be increased by an amount equal to the amount of the monetary benefit that was acquired by or that accrued to the person as a result of the offence.
Limitation period
(4) A proceeding in respect of an offence under this Act shall not be commenced more than five years after the date on which it was, or is alleged to have been, committed.
PART III
AMENDMENTS TO OTHER ACTS
Mining Act
71. Section 154 of the Mining Act is repealed.
Ontario Energy Board Act
72. (1) Subsection 23 (1) of the Ontario Energy Board Act is repealed and the following substituted:
Referral to Board of application for well licence
(1) The Minister shall refer to the Board every application for the granting of a licence relating to a well in a designated gas storage area, and the Board shall report to the Minister on it.
Hearing
(1.1) The Board may hold a hearing before reporting to the Minister if the applicant does not have authority to store gas in the area or, in the opinion of the Board, the special circumstances of the case require a hearing.
(2) Section 23 of the Act is amended by adding the following subsection:
Minister's decision
(2.1) The Minister shall grant or refuse to grant the licence in accordance with the report.
(3) Clauses 24 (b) and (c) of the Act are repealed.
PART IV
TRANSITION, COMMENCEMENT AND SHORT TITLE
Transition; applications under Aggregate Resources Act
73. (1) An application for a licence or permit made to the Minister of Natural Resources under the Aggregate Resources Act before section 5 of this Act comes into force shall be dealt with in accordance with the Aggregate Resources Act as it read immediately before section 5 of this Act came into force.
Same; wayside permits, personal aggregate permits
(2) A wayside permit or personal aggregate permit issued under the Aggregate Resources Act before section 30 of this Act comes into force expires in accordance with the Aggregate Resources Act as it read immediately before section 30 of this Act came into force.
Same; public authority aggregate permits
(3) A public authority aggregate permit issued under the Aggregate Resources Act before section 30 of this Act comes into force expires on the earlier of the following dates:
1. The date the permit would have expired under the Aggregate Resources Act as it read immediately before section 30 of this Act came into force.
2. The first anniversary of the coming into force of section 30 of this Act.
Same; commercial aggregate permits
(4) A commercial aggregate permit issued under the Aggregate Resources Act before section 30 of this Act comes into force shall be deemed not to contain an expiry date.
Transition; Petroleum Resources Act
74. (1) A valid permit to bore, drill or deepen a well granted under the Petroleum Resources Act before section 64 of this Act comes into force shall be deemed to be a licence relating to the well granted under the Oil, Gas and Salt Resources Act.
Same
(2) Section 10 of the Oil, Gas and Salt Resources Act does not apply to the operator of an unplugged well that was drilled before the coming into force of section 64 and without a permit issued under the Petroleum Resources Act, until the first anniversary of the coming into force of section 64.
Same
(3) An operator described in subsection (2) who does not obtain a licence relating to the well under the Oil, Gas and Salt Resources Act on or before the first anniversary of the coming into force of section 64 shall be deemed to be in contravention of section 10 of that Act.
Same
(4) In this section, "operator" and "well" have the same meaning as in the Oil, Gas and Salt Resources Act.
Transition; Mining Act
75. (1) A valid permit relating to a well and issued under section 154 of the Mining Act before section 71 of this Act comes into force shall be deemed to be a licence relating to the well granted under the Oil, Gas and Salt Resources Act.
Same
(2) Section 10 of the Oil, Gas and Salt Resources Act does not apply to the operator of an unplugged well that was drilled before the coming into force of section 71 and without a permit issued under section 154 of the Mining Act, until the first anniversary of the coming into force of section 71.
Same
(3) An operator described in subsection (2) who does not obtain a licence relating to the well under the Oil, Gas and Salt Resources Act on or before the first anniversary of the coming into force of section 71 shall be deemed to be in contravention of section 10 of that Act.
Same
(4) In this section, "operator" and "well" have the same meaning as in the Oil, Gas and Salt Resources Act.
Commencement
76. This Act comes into force on a day to be named by proclamation of the Lieutenant Governor.
Short title
77. The short title of this Act is the Aggregate and Petroleum Resources Statute Law Amendment Act, 1996.