Abandonment Funding Reporting - Letters Of Credit And Surety Bond Amounts (previously Know As Appendix XVI Reporting)

This data set reflects the Abandonment Cost Estimates and the amount being held by the Canada Energy Regulator (CER), in a letter of credit or surety bond (financial instruments) as of 31 December 2025 which are intended to cover the cost of the future abandonment of each company’s pipeline assets. In March 2024, the Commission issued updated Abandonment Cost Estimates to all CER-regulated companies, and companies were directed to update or replace their financial instruments to the future-proofed value of their Abandonment Cost Estimate. The future-proofed amount inflates the cost estimates to 2028 dollars (an increase of 10.4 per cent), the estimated date when the Commission will next review the Abandonment Cost Estimates. The requirement to set aside funds to cover future abandonment costs is a result of the National Energy Board’s Land Matter Consultation Initiative, Stream 3 Pipeline Abandonment – Financial Issues (RH-2-2008), and the subsequent decisions in MH-001-2012, Abandonment Cost Estimates, and MH-001-2013, Set-Aside Mechanism and Collection Mechanism, and subsequent proceedings.

Organization: Canada Energy Regulator | La Régie de l’énergie du Canada

Last modified: 2026-03-23T17:51:47.786609