Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act

Marginal note:Adjustment payment

• 247 (1) Subject to this section, the Federal Minister may, on behalf of Her Majesty in right of Canada, pay an amount to Her Majesty in right of the Province equal to seventy-five per cent of the deemed profit in respect of a project.

• Marginal note:Threshold rate of return required

  (2) No payment shall be made pursuant to subsection (1) in respect of a project unless the Provincial Minister demonstrates to the satisfaction of the Federal Minister that had Her Majesty in right of the Province been able to acquire a portion of a Crown share in a field pursuant to section 17 of the former Act the rate of return in respect of that project that would have been obtained on behalf of Her Majesty in right of the Province, calculated in the manner prescribed, would have been equal to or greater than the threshold rate of return.

• Marginal note:Reduction for fiscal incentives

  (3) The aggregate amount of payments made pursuant to subsection (1) in respect of any project shall be reduced by the aggregate amount of fiscal incentives received in respect of the project, determined in the manner prescribed.

• Marginal note:Time of payments

  (4) A payment made pursuant to subsection (1) shall be made annually, not later than six months after the end of each fiscal year.

• Marginal note:Exception

  (5) Where the per capita fiscal capacity of the Province in respect of any fiscal year is equal to or greater than the national average per capita fiscal capacity in respect of that fiscal year, no payment shall be made pursuant to subsection (1) in respect of that fiscal year.

• Marginal note:Idem

  (6) No payment shall be made pursuant to subsection (1) prior to the attainment of the offshore revenue threshold.