The Baseline Reduction Opportunity Assessment program will provide the information and data to support project evaluation and enable participation in available provincial and federal initiatives to incent methane emissions reduction projects.

The Program enabled Alberta’s oil & gas operators to:

  • obtain a detailed inventory of methane emitting equipment, along with all other equipment on site

  • identify and quantify methane emissions sources, vents, and leaks

  • report on projects needed to comply with the provincial methane emissions requirements and on cost-effective project opportunities that go beyond provincial reduction requirements

  • demonstrate economic value of the reductions

  • identify next steps to support moving forward on projects, including various provincial and federal incentive programs

Program Results

Latest Program Updates

PROGRAM FUNDS: On Jan. 26, 2022, the Government of Alberta announced a further $5 million of the TIER fund has been allocated to the BROA Program, for a total of $15 million in funding, in response to high industry interest and Program uptake.

PROGRAM ELIGIBILITY: BROA eligibility has been extended such that there is no longer a production limit. This means that companies with production greater than 60,000 barrels of oil equivalent per day (BOE/d) in Alberta, as well as midstream companies with no reported production will now be eligible to participate in BROA. All other eligibility criteria remain the same.

PROGRAM TIMELINE FOR PROJECT APPROVAL: Project approvals for BROA will continue until September 30, 2022 (extended from June 30), or until funds are reserved in full, beyond which no project approvals will be granted. NOTE THAT FUNDS ARE VERY LIMITED AND ARE BEING SHARED BETWEEN THE MTIP AND BROA PROGRAMS ON A FIRST COME, FIRST SERVED BASIS. Project applications should be submitted for approval well in advance of this date to allow sufficient time for application review and approval.

PROGRAM TIMELINE FOR PROJECT COMPLETION: All approved BROA projects must be completed by March 31, 2023 (extended from December 31, 2022). Note that absolutely no extensions will be granted beyond this date.

 FAQs

  • Eligible applicants for the BROA Program include upstream operators/facilities within Alberta’s conventional oil and gas sector that meet the following criteria:

    * Facilities must be subject to Section 8 requirements set out under Alberta Energy Regulator (AER) Directive 060; and

    * Operator organizations must not be in a state of insolvency, arrears, or undergoing, or intending to enter, a sale of business contract involving the facility in which funding is being requested

    * Operator organization must have good standing in taxes and other regulatory obligations which will be verified across government ministries

  • For the BRO Assessment Program, conventional oil and gas facility means:

    * (i) a facility for extracting, from an underground geological deposit or reservoir, gas, oil or primary bitumen,;

    * (ii) a facility for processing gas,;

    * (iii) a facility for the primary processing of oil or primary bitumen,;

    * (iv) a facility for disposing of waste, in an underground geological formation, resulting from an activity described in subclauses (i) to (iii),;

    * (v) a facility for transporting, in a pipeline, gas, oil or primary bitumen, but does not include any facility that constitutes a distribution system for the distribution of gas within a community to ultimate consumers; and

    * (vi) a facility for storing gas, oil or primary bitumen in the course of the gas, oil or primary bitumen being transported by a facility included in the definition in subclause (v).

  • The total incentive amount available for a project is up to 80% of eligible project expenses, with total cap of $200,000 per operator for all approved projects combined. The total incentive amount will be pre-approved, based on the service provider quote approved in the application submission.

    Incentives will be paid to the service provider at two milestones; 50% of the pre-approved incentive (up to 40% of total eligible project costs within the operator cap) will be paid upon data submission and approval. The remainder will be adjusted to reflect actual costs as provided in the final invoice at project completion and will be paid to the service provider upon project completion submission and approval. The operator is responsible for paying the remaining project costs not paid for by the program (at minimum 20% of total project costs). The final report will be withheld by the program until the operator provides proof that the balance has been approved for payment.

    There is an allowance of 10% increase for the final invoice amount; an increase greater than 10% must be previously approved by the BROA Program Team or will otherwise need to be covered by the operator. The operator total cap of $200,000 also applies to any increase in the final invoice amount.

  • Eligible costs include, but are not limited to: costs associated with device and equipment inventory development, leak detection, extended flow and gas composition analysis, travel expenses, report completion, and any office-based work preparation or coordination. A full list of eligible and ineligible costs is available in section 5.3.3 in the BROA Program Guide on the program webpage.

    Please note that rental equipment including OGI cameras, other necessary leak detection and field measurement equipment are now eligible project costs. However the purchase of equipment is still ineligible.

    Costs incurred prior to project approval are ineligible for BROA Program funding.

  • Carbon Connect International initially received a $10 million grant from the Government of Alberta’s Technology Innovation and Emissions Reduction (TIER) Fund to support the Baseline and Reduction Opportunity Assessment Program. In response to high industry interest and Program uptake, on January 26, 2022, the Provincial Government announced a further $5 million had been allocated, for a total of $15 million in funding. The TIER fund is collected through industry payments that are a compliance option under the TIER regulation. The TIER fund is being reinvested by the Government of Alberta into programs that will bring investment to Alberta and continue to build on Alberta’s strong record on environmental, social, and governance matters.

  • A pre-qualified service provider or an operator can submit an application. All service providers must have their qualifications verified to ensure they are eligible to complete the work required. The service providers quotation of work to be completed must be approved by the operator, and the operator is responsible for any costs not covered by the BROA Program. It is the service provider’s responsibility to follow all the operator’s safety and operational protocols. See the Service Provider Qualification Requirements document on the BROA Program Webpage for more information on service provider qualification.

  • No, inactive, suspended, shut-in wells and inactive facilities are not eligible for BRO Assessment Program incentives. Eligibility for the program requires being regulated under Section 8 of AER Directive 060.

  • There are three types of assessments eligible for incentives through the BROA Program.

    1. Device and equipment inventory: The assessment includes identification of all equipment types, the device manufacturer, model and serial number, detailed specifications of the equipment and associated photos of the equipment and nameplates.

    2. Leak detection: Only eligible for funding through the BRO Assessment Program in conjunction with a device and equipment inventory, this assessment will identify and quantify fugitive emission rates and inform operators of leak repair and equipment installation opportunities. Please note that only conventional leak detection methods (not requiring permission from the AER) are eligible; altFEMP methods are not eligible.

    3. Extended flow and gas composition analysis: This assessment will provide an operator with the baseline volume and flow rates as well as detailed chemical speciation analyses of a vent source. Justification for the need of this survey type will be required with the project application.

    For more information about the assessment types and requirements please see the BROA Program Guide posted on the BROA Program webpage.

  • The data collected will provide an up to date list of equipment at each facility, quantify vent rates where applicable, and identify opportunities for emissions reduction projects. The following equipment will be included in facility inventory:

    * Pneumatic Instruments

    * Pneumatic Pumps

    * Glycol Dehydrator

    * Tank

    * Separator

    * Well head

    * Compressor

    * Combustion Equipment

    * Flares

    Fugitive emission sources will only be recorded as part of the leak detection survey which is only eligible in conjunction with a device and equipment inventory assessment.

  • BROA Program funding will be awarded on a first come, first served basis. NOTE THAT FUNDS ARE LIMITED AND ARE BEING SHARED BETWEEN THE MTIP AND BROA PROGRAMS.

    Please note that projects will not be approved past September 30, 2022 (extended from June 30, 2022), or until funds are reserved in full, and all projects must be completed by March 31, 2023 (extended from December 31, 2022) – no extension will be granted beyond March 31, 2023.

  • Yes, data must be collected following the requirements outlined in Directive 060. Please note that alternative collection methods which require permission from the AER are not eligible through the BRO Assessment Program.

  • Yes, as long as the operator meets eligibility requirements.

  • There is no maximum amount per facility, but there is a limit of $200,000 per operator for all projects combined. The operator may determine the complexity, size of the facilities and number of facilities within the operator budget limit. Operators are able to submit multiple projects within the per-operator cap.

  • No, only third-party service providers meeting the Service Provider verification requirements are eligible to perform the BRO Assessment.

  • Yes, operators must select which service provider they would like to complete their facility assessment(s). If an operator selects a third-party who is not pre-qualified under the BROA Assessment Program for the type of assessment to be performed, the third-party must submit the required documents for the service provider qualification verification and be approved by Carbon Connect International as a service provider for the type of assessment in the BRO Assessment Program. For submission requirements to become a BRO Assessment Program qualified service provider, see the Service Provider Qualification Requirements document on the BRO Assessment Program webpage.

  • The operator is the owner of the data. The Terms and Conditions outline the access to data the operator is granting through its participation in the program to CCI and the Government of Alberta and its assigned authority. A third-party service provider, including the service provider that conducts the BROA does not have any rights to the data without the permission of the operator.

  • There is no specified time limit to complete the project, however, all projects must be completed by March 31, 2023 (extended from December 31, 2022). As part of the BROA application, you will have provided a schedule in the application and that should be adhered to. If the project completion date changes, the BRO Assessment Program must be notified. No extensions will be granted beyond March 31, 2023.

  • Yes. Emissions Reduction Fund (ERF) allows you to stack funding from other sources up to 90% of the project cost. Please read the ERF Applicant Guide for a full list of requirements and eligibility information.

  • Yes, the BROA Program supports the identification of opportunities for emissions reduction projects and will help support access to other incentive programs, including but not limited to, the Methane Technology Implementation Program (MTIP), Natural Resources Canada Emissions Reduction Fund, and Carbon Offsets. The operator maximums between the BROA Program and MTIP are independent of each other.

  • There is an allowance of 10% increase for the final invoice amount; an increase greater than 10% must be approved by the BRO Assessment Program Team. If the final invoice amount is lower than the pre-approved amount, then the incentive value will be adjusted to the final invoice amount. If 50% of the pre-approved incentive is greater than the final invoice amount, the difference between the amount paid and the amount on the final invoice must be returned.

  • Midstream operators with no production are now eligible for the program.

  • All documents and information submitted through the CCI Portal will be stored for 5 years from the project completion date in a secured location. Individual data will be confidential and will not be shared outside of Carbon Connect International, except for when required by the Government of Alberta, its assignee, or upon the written request of the operator. Data will be subject to relevant privacy and transparency legislation. Raw or aggregate data may be used in a manner such that the participant is unidentifiable, including being provided to the Alberta Energy Regulator to help improve emissions and economic modeling in Alberta.

    The data collected through the BROA Program may be later added to a centralized data repository where access to the data may be available to the public based on specified clearance requiring consent by the data owner.

  • No, once the final report is accepted, no further reporting relating to the BRO Assessment Program is required.

  • Justification for the need of an extended flow and gas composition analysis survey will be required with the submission of a BRO Assessment Project application. Fund stacking for both programs cannot exceed 100% of total eligible project costs.

  • Only sites in Alberta are eligible.

  • Yes, project approval deadline is September 30, 2022 (extended from June 30), or until funds are reserved in full. No projects will be approved beyond this date. All projects must be completed by March 31, 2023 (extended from December 31, 2022) – absolutely no extensions will be given beyond this date.

  • A final report will be completed by the service provider. The report will be submitted to the program for review and approval. Once approved, the report will be withheld from the operator until proof of payment approval for the remainder of the service provider invoice is submitted. The report and the raw data will then be given to the operator.

    Report requirements are listed in the BROA Program Guide. For device and equipment inventory assessments and leak detection surveys, the BROA Inventory Report Template is available in the BROA Docs/Templates tab on the CCI Portal.

  • For service providers to be able to participate in the BROA Program, they must first go through a pre-qualification. Service Provider Qualification Requirements for the submission can be found on the BROA Program webpage.

  • After an operator has completed a facility assessment as part of the BRO Assessment Program and they have received their final report and raw data, the operator’s name and contact information will be posted on the BRO Assessment Program page on the Carbon Connect International website as a program participant. Offset developers are able to contact the operators directly to discuss projects suitable to generate offset credits. Operators may share BRO Assessment data with offset project developers directly, or request CCI to share data with the offset developer on their behalf.

  • After an operator has completed a facility assessment as part of the BRO Assessment Program and they have received their final report and raw data, the operator’s name and contact information will be posted on the BRO Assessment Program page on the Carbon Connect International website as a program participant. Equipment distributors are able to contact the operators directly to discuss how their product could meet methane reduction needs at the operator’s facility.

  • If the previous assessment was acquired since 2019, the previously acquired data can be used, but must be provided in the BROA CSV format. Any gaps need to be addressed so that all BROA data points identified as “required” are included in the submission.

    If the previous assessment was acquired prior to 2019, the previously acquired data cannot be used; a full inventory should be completed as part of a BROA project.