The future arrives

We are declaring a new policy direction – the Alberta Coal Industry Modernization Initiative – which will ban new open-pit mining in the foothills (Eastern Slopes) and keep selenium out of our water through the development of a modern, long-term legislative framework that guides responsible coal mining practices. 

In the first half of 2025, we will engage directly with the coal industry to develop a new, comprehensive coal policy which will be the culmination of work spearheaded by the Coal Policy Committee. 

This coal policy will be centered around protecting water. It will prohibit mountaintop removal coal mining, prevent new open-pit coal mines in the foothills and require that any new mining must use techniques which use best water practices and prevent adding selenium to waterways.

Alberta has an abundance of metallurgical coal which is in-demand worldwide to make steel for millions of end-uses, including passenger vehicles, home appliances, farm and industrial equipment and building materials.

Responsible coal development will create jobs for Albertans and bring new investment to our province. And our new policy will ensure that all Albertans will benefit from increased coal royalties.

Resources

Watch the announcement

Map showing where mountain-top mining and new open-pit coal mines will be prohibited.

A modern policy

Our Coal Industry Modernization Initiative will deliver a modern policy that protects the environment, drives investment in our province, and ensures Albertans are treated fairly by resource industries.

Albertans told us that our coal policies need to be modernized, strengthened and environmentally sound.

We are taking action to address the 2021 Coal Policy Committee’s recommendations to build a long-term legislative and regulatory framework to guide responsible resource development across the province.

Clear and practical regulations have always played a significant role in Alberta’s economic advantage. This new policy will again let rights holders present their plans for coal exploration and development projects to an independent decision maker for consideration. Those decision makers will have a strong coal policy to guide them as they make the best choice for Alberta.

This policy does not allow for unlimited coal development in Alberta’s precious natural spaces. We are delivering on Albertan’s expectations to deliver a 21st century coal policy that industry must conform to if they want to operate in the province.

Strong environmental protections

The protections set out in law and in the 1976 Coal Development Policy for National Parks, provincial Parks, wildland parks, wilderness areas, ecological reserves, and provincial recreation areas will continue.

  • Line icon of a mountain with two clouds and the sun.
    No mountaintop removal

    Mountaintop removal coal mining has not occurred in Alberta, but it will now be specifically prohibited.

  • Line icon of a construction truck
    No new open-pit coal mining in the Eastern Slopes

    No new open pit mines will be approved for the eastern slopes (all 4 Categories of the 1976 Coal Development Policy, subject to any further regulations flowing from land use planning work which is underway).

  • Line icon of a winding river with small trees on the banks.
    No new coal mining proposals without use of best water practices

    All new mining proposals must use techniques which use best water practices and prevent adding selenium into waterways, anywhere in Alberta.

    New proposals will either need to be underground mines or use mining technologies (such as highwall automated underground mining) that move minimal amounts of overburden, to prevent selenium leaching and siltation.

Why coal

Alberta is blessed with an abundance of metallurgical coal to make steel. This coal is not thermal coal, which was mined to generate Alberta’s electricity in the past.

The world needs Alberta's metallurgical coal to fuel economic growth and the transition to renewable energy. For many developing or expanding countries, steel will be an essential global component for infrastructure growth and development, including building solar panel installations and wind farms.

This steel will also return to Alberta in products like passenger vehicles, home appliances, farm and industrial equipment and building materials.

To ensure Albertans are fairly compensated for the development of this important natural resource, we will raise the coal royalty rates significantly on new coal mines.

Working towards change

Industry engagement

We will engage with the coal industry in the first half of 2025 to inform industry of Alberta’s plans to achieve higher standards for coal mining, set new coal royalty amounts and to develop strategies that align with our commitment to balance regulatory improvement and environmental protection with an emphasis on water protection.

Legislative review

After the industry engagement, we will review legislation associated with royalty and tenure authorities, coal resource conservation and operational requirements.

The legislative review and options development will be informed by analysis of Alberta’s coal royalties, economic analysis, stakeholder engagement and analysis and through reviews of other coal producing jurisdictions.

Related initiatives

Public engagement was completed in Fall 2024 for the South Saskatchewan Regional Plan 10-year review and the draft Upper Smoky Sub-Regional Plan. These planning areas overlap portions of the Eastern Slopes that contain high quality coal resources. 

The plans have the potential to set out management direction regarding where and under what conditions coal leasing, exploration and development may be pursued.

How we got here

Coal Policy Committee

The Alberta Coal Industry Modernization Initiative will pick up where the 2021 Coal Policy Committee left off.

More than 30,000 Albertans, from all walks of life and areas of the province, Indigenous and Métis peoples, municipalities and industry stakeholders shared feedback through the work of the Coal Policy Committee.

The committee considered this feedback and created recommendations that will help inform our modernized coal policy. Learn more about the Coal Policy Committee and its recommendations.

1976 Coal Policy

The 1976 Coal Policy is Alberta's current coal policy. It established the 4 land categories that dictate where and how coal leasing, exploration and development can occur.

Alberta coal policy history

  • 2024 | Coal Industry Modernization Initiative

    Alberta's government is reviewing all past policies along with recommendations from the Coal Policy Committee’s 2021 final report to look at coal mining as part of a broader environmental and resource development strategy.

  • 2018 | Livingstone-Porcupine Hills Land Footprint Management Plan

    Established regulated motorized access thresholds for industrial land users and committed to the development of cumulative disturbance thresholds, which would apply to coal proponents when finalized.

    Livingstone-Porcupine Hills Land Footprint Management Plan

  • 2017 | Castle Parks established

    The South Saskatchewan Regional Plan was revised to incorporate both the Castle Provincial Park and the Castle Wildland Provincial Park.

    This resulted in the cancellation of the full extent or portions of 19 Crown coal leases south of the Crowsnest Pass.

  • 2014 | South Saskatchewan Regional Plan

    References the coal policy and integrated resource plans as current policy direction but also called for their review prior to rescission.

    The South Saskatchewan Regional Plan and subsequent revisions also created new conservation areas, which restricted coal leasing, exploration and development opportunities.

  • 2009 | Alberta Land Use Stewardship Act

    Government enacted the Alberta Land Use Stewardship Act to implement the Land Use Framework’s direction to divide the province into 7 new land-use regions and the call for a regional plan in each of these regions.

    The Alberta Land Use Stewardship Act clarifies regional planning process, required contents of plans and provides for plans to have legal force and effect.

  • 1994 | The Whaleback Decision

    The Energy Resources Conservation Board (ERCB) held public hearings on an application to drill an exploratory well in the Whaleback area of the Eastern Slopes, which led to a decision to reject the application and raised questions about Alberta’s evolving approach to development applications. Read decision 2506

    In 2013, the ERCB regulatory functions were assumed by the Alberta Energy Regulator (AER) following the passing of the Responsible Energy Development Act

  • 1985 to 1992 | Integrated resource plans

    Applies the Eastern Slopes plan zoning system at a more precise level across 8 sub-regional and 5 local planning areas.

  • 1977 to 1984 | A Policy for Resource Management of the Eastern Slopes

    Established an 8-zone system to manage land use activities, including coal exploration and development.

    A Policy for Resource Management of the Eastern Slopes

  • 1976 | 1976 Coal Policy

    Established the 4 coal categories to define conditions coal leasing, exploration and development may take place. 

    Coal activities are prohibited in category 1, restricted in categories 2-3 and permitted category 4.

    A coal development policy for Alberta