Natural gas facility aimed at protected farmland

Terry McLeod had a rodeo dream.

Back in 2013 the rancher tried to start a rodeo on his farmland near Fort St. John, but his plan to change the zoning was rejected because the land is protected as part of the Agricultural Land Reserve (ALR).

McLeod eventually sold the land to AltaGas and moved to Alberta to build his rodeo.

Now he finds out that AltaGas is applying to build a natural gas facility on that same land.

Rules confuse rancher

McLeod is confused: How can protected farmland, deemed too precious for a rodeo grounds, be a potential site for an oil and gas processing facility? 

"I was trying to build a rodeo. It wasn't like I was trying to build a ... gas plant or something," McLeod said.

Any non-agricultural uses in ALR land need to be approved by the Agricultural Land Commission. McLeod argued that a rodeo promotes agriculture. When that argument failed, he applied to have the land taken out of the reserve. That application was rejected.

• B.C. Interior's farmland opened to development under ALR changes
• Fort St. John rodeo grounds built despite ALC ruling

Now, Calgary-based AltaGas is eyeing the same land for a facility to process 20,000 barrels of propane, butane, and natural gas condensate every day.

'Our application is substantially different'

Despite the apparent non-farming uses proposed for the land, AltaGas believes their proposal will be accepted where McLeod's wasn't.

"Our application is substantially different than the previous one because the previous application was requesting that the land be removed from the Agricultural Land Reserve, whereas we are asking for a non-farm use of the land while it remains in the ALR," wrote AltaGas spokesperson Sandra Semple in a statement to the CBC.

As to why they think the Agricultural Land Commission will accept their proposal, it turns out that doesn't really matter.

Because AltaGas is involved in the oil and gas business, the Agricultural Land Commission has no jurisdiction over them.

No jurisdiction

Instead, it is the BC Oil and Gas Commission that has to give approval and their approval, if given, would mean AltaGas can use ALR land.

"The Commission has a delegation agreement with the Agricultural Land Commission that gives the Commission authority to permit oil and gas activities in the Agricultural Land Reserve," wrote BC Oil and Gas Commission spokesperson Graham Currie.

"Oil and gas activities are considered temporary, non-farm uses in the ALR. Land must be reclaimed to its pre-development agricultural condition when no longer required for an oil or gas activity."

AltaGas has not made a formal application with the Oil and Gas Commission, but according to a brochure, the company plans to begin construction on a facility midway through 2016, and begin operations in 2017.

Frustrating process

AltaGas' proposal has Terry McLeod shaking his head.

He said he was so frustrated by the ALR process in 2013 that he left the province entirely for Alberta, where he now lives.

He sold the Fort St. John land to AltaGas and built a rodeo grounds on his current property.

"I weighed the balance. I could either ... deal with the political whatever-you-want-to-call-it… or they could pay me the money and I walk away. I walked away," he said.

McLeod says he wishes AltaGas luck in using the land he once owned.

To hear the full story, click on the audio labelled: Protected farmland could be used for natural gas facility