A Spatial Analysis of the Impact of Oil and Natural Gas Infrastructure On
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A Spatial Analysis of the Impact of Oil and Natural Gas Infrastructure on Farmland in the Peace River Valley of British Columbia: Is the Delegation Agreement Making a Difference? by Katie Eistetter B.A., University of British Columbia, 2013 THESIS SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF ARTS IN NATURAL RESOURCE AND ENVIRONMENTAL STUDIES UNIVERSITY OF NORTHERN BRITISH COLUMBIA August 2019 ©Katie Eistetter, 2019 Abstract With the continuous expansion of the oil and natural gas fields, there is growing concern regarding the impacts of oil and natural gas activities on the agricultural land base in northeast British Columbia. The Agricultural Land Commission (ALC) and Oil and Gas Commission (OGC) entered a binding contract, called the Delegation Agreement (DA), in an attempt to manage oil and gas activities on ALR lands and streamline the land use application process. However, with increasing activities in the region, too much prominence has been given to oil and gas development and not enough to farmland protection, which is the fundamental mandate of the Agricultural Land Commission Act (ALCA). Therefore, the purpose of this research is to evaluate the effectiveness of the Delegation Agreement pursuant to the mandate of the ALCA, and furthermore, determine the extent to which the DA is minimizing the impacts of oil and gas activities on ALR land and pursuing farmland protection. Through a spatial analysis using Geographical Information Systems (GIS), this research aims to function as a foundational tool and inform policy and decision makers in land use planning decisions. The results of this research indicate that while the DA does help streamline the application process and conserve some of the limited resources of the ALC, it is ineffective in achieving farmland protection, under the mandate of the ALCA. Results revealed that, overall, the appendices of the DA do not minimize the impacts of oil and gas activities on ALR land, but rather prioritize oil and gas development and hinders farmland protection. Keywords: agricultural land use planning, farmland protection, oil and natural gas, plan evaluation, Agricultural Land Reserve (ALR), Delegation Agreement (DA) 2 Table of Contents Chapter 1 .......................................................................................................................................... 10 INTRODUCTION .............................................................................................................................. 10 1.1 Research Questions ..........................................................................................................................14 1.1.1 Question One ........................................................................................................................................................ 15 1.1.2 Question Two ....................................................................................................................................................... 15 1.2 The Study Area ............................................................................................................................16 1.2.1 History of Development, Planning, and Site Characteristics ....................................................... 23 Chapter 2 .......................................................................................................................................... 25 LEGISLATIVE FRAMEWORKS FOR LAND USE PLANNING .................................................... 25 2.1. AgricuLturaL Land Use PLanning in British CoLumbia ........................................................25 2.2. AgricuLturaL Land Use PLanning in the South Peace, BC ...................................................28 2.3. BC OiL and Gas Commission ......................................................................................................30 2.3.1 The Delegation Agreement................................................................................................................................ 31 2.3.1.1 Goals and Objectives of the Delegation Agreement ................................................................................ 32 2.3.1.1 Applications to the OGC for Permission for Non-Farm Use................................................................. 34 2.3.1.2 The Application Process – OGC as Delegated Authority ........................................................................ 35 2.3.1.3 Appendix I: Activities Exempted from the Requirement of an Application for Non-Farm Use .................................................................................................................................................................................................. 36 2.3.1.4 Appendix II: Guidelines for Minimizing Impacts...................................................................................... 40 2.3.1.5 Guidelines for Planning Oil and Gas and Ancillary Activities on ALR Lands ................................. 41 2.4 Surface Rights and MineraL Rights in British CoLumbia .......................................................42 2.4.1 BC Surface Rights Board............................................................................................................................ 43 2.5 AgricuLturaL Land Use PLanning in Alberta ................................................................................44 2.6 AgricuLturaL Land Use PLanning in Grande Prairie County, AB ..........................................48 2.7 Alberta Energy ReguLator (AER) ...................................................................................................51 2.7.1 AER Directive 056: Energy Development Applications and Schedules .................................... 52 2.7.2 Application Requirements for Activities Within the Boundary of a Regional Plan ............ 54 2.7.3 Land Use Without Regional Land Use Plans ........................................................................................... 58 2.7.4 Outline of Schedules under Directive 056 ................................................................................................. 58 2.7.5 Participant Involvement .................................................................................................................................... 60 2.8 Surface Rights and Mineral Rights in ALberta .....................................................................61 2.8.1 Alberta Surface Rights Board ....................................................................................................................... 62 2.9 The NationaL Energy Board ............................................................................................................63 2.10 OveraLL Comparison of Two Regions .........................................................................................65 Chapter 3 .......................................................................................................................................... 66 LITERATURE REVIEW ................................................................................................................... 66 3.1 PLan EvaLuation and EvaLuative Approaches.............................................................................66 3.1.1 Implementation (Effectiveness) ..................................................................................................................... 67 3.2 Methods Used to Measure PLan Effectiveness ...........................................................................68 2.2.1 Assessing Land Cover and Census Data...................................................................................................... 69 3.2.2 Assessing Soil Quality Data (Land Data) .................................................................................................... 71 3.2.3 GIS as a Method of Evaluating Plan Effectiveness ................................................................................. 71 3.3 A Review of Methods Used to Measure FarmLand Conversion ............................................74 3 3.4 Geographic Information Systems (GIS) AppLications in NaturaL Resource Management .......................................................................................................................................................................76 3.5 Literature Review Discussion .......................................................................................................78 Chapter 4 .......................................................................................................................................... 80 METHODS ......................................................................................................................................... 80 4.1. OveraLL Approach .............................................................................................................................80 4.2 Data CoLLection ..................................................................................................................................81 4.2.1 Grande Prairie County No. 1, Alberta .......................................................................................................... 81 4.2.2. South Peace, British Columbia ....................................................................................................................... 82 4.3 Data Preparation ..............................................................................................................................83