The most widely read magazine for Canadian lawyers
Issue link: https://digital.canadianlawyermag.com/i/50809
REGIONAL WRAP-UP WEST ents in the renewable energy and fuels sector for some time, but as the sector grows, a more specialized approach is required, creating a new practice area. Under Bennett Jones LLP's energy New fuel for the fire S everal large firms in Calgary have been providing services to both their existing and new cli- group, this practice area includes trad- itional oil and gas as well as renewable energy and fuels, and evolved from the firm's oil and gas group. Bennett Jones currently has more than 20 lawyers work- ing in the new energy group. "A lot of the structures we see for renewable deals are similar to traditional oil and gas deals. It's different project inputs and outputs, but the issues around allocating financial and project risks and rewards are the same," says Patrick T. Maguire, a partner and co- leader of the group. The firm provided services to Teck Resources Ltd., a partner in Suncor Energy Inc.'s Wintering Hills Wind Power Project and ATCO Group of Companies' hydro- electric generation projects. However, Maguire notes that Bennett Jones has done a fair amount of work on renewable energy projects that have not yet taken off. "Many technically attractive renewable energy and fuels projects are just not economic- ally viable yet in Alberta. The renewable energy and fuels practice area is growing and is an increasingly important part of Alberta's economy. We will continue to work with our clients in this area and help them facilitate their renewable energy and fuels projects," says Maguire. Fraser Milner Casgrain LLP's renew- able energy group has been around for more than a decade but was only for- malized in 2006. The firm currently has three lawyers practising renewable energy law in Calgary and two in Edmonton. "The wind, solar, and small hydro sec- tor has been around for a while, but the renewable fuels sector is relatively new in Canada. Renewable energy technology is changing, the regulations are changing, and lawyers are still learning as they need to understand the context of this new sec- tor to be effective for our clients. We are involved in a great variety of renewable energy projects each year," says John C. Goetz, a partner and co-lead of FMC's climate change group. FMC is currently working on the Alberta Carbon Trunk Line project in central Alberta; a wind project for a Spanish developer in Medicine Hat; and wind power first got its start in Alberta. With six partners dedicated to this area, the firm is currently working with some of the largest power companies in Alberta and some large oil and gas companies with renewable investments. "The renewable energy and fuels practice area will continue to carry on. I don't think this area grew as much as some people believed it would because John C. Goetz, partner and co-lead for FMC's climate change group. Alan Harvie, partner and chairman of Macleod Dixon's environmental law practice group. a building energy-efficiency project for a major building controls company. Goetz says because many renewable energy and fuels projects and technologies are not economic right now without government stimulus, this sector will not be pervasive until the technologies mature to the point that they are more cost effective. However, he says: "This is a critical area going into the future, especially in Alberta, and I sus- pect this practice area will rival traditional oil and gas in the next 10 to 20 years as it is required for the future exploitation of Alberta's resources." Under Macleod Dixon LLP's energy and resources group, the firm has been providing services to the renewable energy and fuels sector since the late 1980s, when 12 A U GUST 2011 www. CANADIAN Lawyermag.com Patrick T. Maguire, partner and co-leader of the Bennett Jones energy group. of competitive fuel sources with better economics, such as natural gas, and that non-renewable energy is being put first," says Alan Harvie, a partner and chair- man of its environmental law practice group. "As well, in Alberta, there is no provincial subsidy for renewable energy projects so these projects can't compete with traditional oil and gas or oilsands projects and won't be able to for a long time. In Alberta, we need a much higher carbon price to compete without sub- sidies, and although Alberta is the only province in Canada that has a carbon price, it is very low." — DIANE L.M. COOK dianecook@shaw.ca