$9,000 fine for coal mine leak into Alberta river a 'slap on the wrist,' critics say

A $9,000 fine levied against a coal company for releasing mine-contaminated wastewater into a northwestern Alberta river is a weak reprimand for the toxic leak, critics say.

CST Canada Coal Limited was sanctioned this week by the Alberta Energy Regulator for an incident in the spring of 2023 when 1.1 million litres of tailings escaped into the Smoky River, a major tributary of the Peace River.

Wastewater from CST metallurgical coal mine near Grande Cache, about 430 kilometres northwest of Edmonton, spilled from the site, sending harmful plumes of fine tailings into the river.

The company was sanctioned under the Environmental Protection and Enhancement Act for allowing the release to occur and for failing to immediately report the spill to the provincial regulator.

NDP MLA Marlin Schmidt, who previously served as the party's environment critic, said the regulator needs to issue more substantial fines, especially for repeat offenders such as CST.

Operators who fail to meet environmental obligations should face increased scrutiny and escalating fines, Schmidt said.

"I can't see that this is going to be an effective enforcement tool," he said. "It's not an effective deterrent for the companies and it's an extremely expensive process for the Alberta Energy Regulator.

"There's no benefit here to engaging in these piddling half measures."

Last year, the AER fined the operator $22,000 for spilling untreated mine wastewater into the Smoky River in December 2022. 

The company has not commented on the latest penalty.

In a brief statement to CBC, the AER said penalties are calculated within a legislative framework that "aims for consistency, transparency, and deterrence."

Tara Russell, program director with the Canadian Parks and Wilderness Society's northern Alberta chapter, said CST's track record raises serious concerns about its ability to manage mine waste.

She described the $9,000 fine as a "slap on the wrist." 

Russell said the penalty will undermine public trust in the industry and the provincial regulator, and will do little to incentivize the company to better protect the environment.