Canada Oil and Gas Operations Act

Marginal note:Offences

• 60 (1) Every person is guilty of an offence who

  • (a) contravenes this Act or the regulations;

  • (b) produces any oil or gas from a pool or field under the terms of a unit agreement within the meaning of Part II, or any amended unit agreement, before the unit agreement or amended unit agreement is filed with the Chief Conservation Officer;

  • (c) undertakes or carries on a work or activity without an authorization under paragraph 5(1)(b) or without complying with the approvals or requirements of such an authorization; or

  • (d) fails to comply with a direction, requirement or order of a safety officer, the Chief Safety Officer, a conservation officer, the Chief Conservation Officer or an installation manager or with an order of the Committee or the National Energy Board made under this Act.

• Marginal note:Punishment

  (2) Every person who is guilty of an offence under subsection (1) is liable

  • (a) on summary conviction, to a fine not exceeding one hundred thousand dollars or to imprisonment for a term not exceeding one year, or to both; or

  • (b) on conviction on indictment, to a fine not exceeding one million dollars or to imprisonment for a term not exceeding five years, or to both.

• Marginal note:Sentencing principles

  (3) In addition to the principles and factors that the court is otherwise required to consider, including those set out in sections 718.1 to 718.21 of the Criminal Code, the court shall consider the following principles when sentencing a person who is found guilty of an offence under this Act:

  • (a) the amount of the fine should be increased to account for every aggravating factor associated with the offence, including the aggravating factors set out in subsection (4); and

  • (b) the amount of the fine should reflect the gravity of each aggravating factor associated with the offence.

• Marginal note:Aggravating factors

  (4) The aggravating factors are the following:

  • (a) the offence caused harm or risk of harm to human health or safety;

  • (b) the offence caused damage or risk of damage to the environment or to environmental quality;

  • (c) the offence caused damage or risk of damage to any unique, rare, particularly important or vulnerable component of the environment;

  • (d) the damage or harm caused by the offence is extensive, persistent or irreparable;

  • (e) the offender committed the offence intentionally or recklessly;

  • (f) the offender failed to take reasonable steps to prevent the commission of the offence;

  • (g) by committing the offence or failing to take action to prevent its commission, the offender increased their revenue or decreased their costs or intended to increase their revenue or decrease their costs;

  • (h) the offender has a history of non-compliance with federal or provincial legislation that relates to safety or environmental conservation or protection; and

  • (i) after the commission of the offence, the offender

    • (i) attempted to conceal its commission,

    • (ii) failed to take prompt action to prevent, mitigate or remediate its effects, or

    • (iii) failed to take prompt action to reduce the risk of committing similar offences in the future.

• Marginal note:Absence of aggravating factor

  (5) The absence of an aggravating factor set out in subsection (4) is not a mitigating factor.

• Meaning of damage

  (6) For the purposes of paragraphs (4)(b) to (d), damage includes loss of use value and non-use value.

• Marginal note:Reasons

  (7) If the court is satisfied of the existence of one or more of the aggravating factors set out in subsection (4) but decides not to increase the amount of the fine because of that factor, the court shall give reasons for that decision.