Twelve more companies are being awarded royalty credits under the 2011 Infrastructure Royalty Credit Program that should lead to more jobs and business opportunities in northeast B.C.
30 new infrastructure projects will be involved and the Ministry of Energy and Mines says 120 million dollars in credits will go to upgraded roads and pipelines, improveed access to underdeveloped areas and increases in year-round production activities.
Under the program, projects are awarded credits following a Request for Applications and careful evaluation of their potential economic benefits to the province.
Industry then funds the entire cost of each project, but the companies involved can apply for credits of up to 50 per cent of the construction costs, which are then applied against the royalties the companies pay to the province.
In this case, 49 applications, involving a total request of about 527 million dollars in estimated construction costs, were submitted for review to the ministry.
Since its inception in 2004, the program has reportedly led to road based development and new pipeline projects accounting for more than one billion dollars in capital investment, and about five billion in private-sector drilling and other investment activities.