Oilsands tailings ponds to be limited by new rules, Alberta says

New rules will curtail the size oftailings ponds and limit water use from the Athabasca River in Alberta'soilsands, saysEnvironment and Sustainable Resource Development Minister Kyle Fawcett.

Industry must improve its management of wastes, Fawcettsaid in a news conference Friday.

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Fawcettsaid the Tailings Management Framework will:

• limitthe amount oftailingsthat can be accumulated,
• pushcompanies to invest in technology to reduce tailings
• establishthresholds to identify when companies must actto prevent harm to the environment,
• requirecompanies to post financial security to deal with potential remediation issues and
• ensuretailings are treated and reclaimed throughout the life of the projectand are ready-to-reclaim within 10 years of the end-of-mine-life of that project.

Fawcettacknowledgedthat the plan depends on companies coming up withsolutions that don't yet exist.

"Technology unlocked the oilsands," he said. "It will be keyto finding the long-term, effective solutions to tailings pondsmanagement."

The 220 square kilometres of tailings a toxic mix of water,silt, leftover bitumen and solvents have long been one of theindustry's toughest environmental challenges. Separating the water from the contaminants on a scale big enough to meet the need remainsa challenge.

The framework isthe second time the government has tried to create rulesaroundtailingscleanup.

The first attempt in 2009 were soon delayedwhen companies were unable to meet the regulations.

The framework was met with guarded optimism by industry watchdogs.

The PembinaInstitute described the plan as a step forward by offering preliminary guidance to industry, said analystErin Flanagan.

The frameworks objective is encouraging but it will only be effective if matched with clear implementation and enforcement mechanisms," she said. "The AER(Alberta Energy Regulator) must set firm limits and hold industry to account for existing and future tailings waste.

Fawcett alsoannounceda Surface Water Quantity Management Framework which he says willlimit how much water can be taken from the Athabasca River byoilsandscompaniesby:

• limiting the amountof water used during low-flow periods,

• setting water withdrawal limits for all oilsands operators, and

• maintaining an adequate quantity of water for Aboriginal river navigation and pursuit of traditional activities.

"These are dramatic cutbacks for all operators, but they are essential in protecting the lower Athabasca," he said.