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Administrative Penalty

Companies that fail to follow our requirements may face enforcement action, that could include an administrative penalty. The administrative penalty amount depends on the seriousness of the contravention and the effect it has on public safety, the environment, or resource production.

Other factors that may affect the administrative penalty amount include

  • the importance of compliance with the provision to the regulatory scheme;
  • the company’s willfulness or negligence in committing the contravention;
  • any mitigation or limiting of the extent of loss or damage related to the contravention;
  • steps taken by the company to prevent reoccurrence of the contravention;
  • the company’s history of noncompliance with our requirements;
  • the economic benefit, if any, the company derived (or could derive) from the contravention; and
  • any other factor that we consider relevant.

If the contravention lasts more than a day, we can issue a penalty for each day of the contravention. The maximum daily penalty is $5000.

Under the legislation we administer, we are also allowed to assess and collect a separate, one-time amount if it is determined that the company has derived an economic benefit directly or indirectly because of the contravention.

*Please note: this information does not apply to administrative penalties assessed under the Mines and Minerals Act.

Learn about other compliance and enforcement tools that we use to ensure that companies comply with our rules, regulations, and requirements.