Responsible Resource Development April 17, 2012. Context Government focussed on responsible development of Canada’s natural resources to create jobs and.

Responsible Resource Development

April 17, 2012

Context

• Government focussed on responsible development of Canada’s natural resources to create jobs and growth

• Over next 10 years, over 500 resource projects worth more than $500 billion could come on stream

• Major projects subject to long delays and complex, duplicative regulatory system

• Effective review process needed to deliver economic benefits while maintaining high environmental standards

• Global opportunity to capitalize on resource development in period of global economic uncertainty

• Dynamic emerging Asian markets must replace declining traditional markets

System-wide challenges requirea comprehensive solution

• Legislation, regulation and policy governing major project reviews must operate as a cohesive system

• Challenges are well known:– Lack of timeliness, predictability and process certainty– Inconsistent approaches to Aboriginal consultation – Diffuse accountability– Duplication of federal and provincial processes– Insufficient follow-up and enforcement

• Comprehensive approach required to address system-wide challenges

Why Changing the System Makes Sense: Small projects

• Small, routine projects that pose little or no risk to the environment get caught up in regulatory net

• Examples:– Installing a stand-by generator– Replacing a culvert– Paving a parking lot

Why Changing the System Makes Sense: Major Projects

• Delays in assessing Major projects cost jobs and growth

• Examples:

– Enbridge pipeline: 2 year federal delay after National Energy Board approval

– Potash export terminal: 10 month federal delay in starting the review

Actions building toward a clear goal

• Economic Action Plan 2012 allocates $165 million over two years to support responsible resource development, including strengthening tanker safety, pipeline safety and Aboriginal consultations

• Goal is federal-provincial cooperation…moving towards ‘one project, one review’ process within a clearly defined period

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

Responsible Resource

Development(Budget 2012)

Action Plan to Improve Northern

Regulatory Regimes

(2010)

Budget Implementation

Act

(2010)

Next Step

One project, one review

process

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

Budget Implementation

Act

(2010)

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

Action Plan to Improve Northern

Regulatory Regimes

(2010)

Budget Implementation

Act

(2010)

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

One project, one review

process

Action Plan to Improve Northern

Regulatory Regimes

(2010)

Budget Implementation

Act

(2010)

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

Next Step

One project, one review

process

Action Plan to Improve Northern

Regulatory Regimes

(2010)

Budget Implementation

Act

(2010)

Major Projects Management

Office

(2007)

Accelerating Infrastructur

e (2009)

Objectives of the Plan for Responsible Resource Development

• More predictable and timely reviews

• Reduce duplication for project reviews

• Strengthen environmental protection

• Enhance consultations with Aboriginal groups

Make Reviews More Predictable and Timely

Consolidate responsibility for EAs with CEAA, NEB and CNSC

Fixed beginning-to-end timelines Panel Reviews: 24 months NEB Reviews: 18 months Standard EAs: 12 months

Legally-binding timelines for permitting processes

Clearly defined information requirements

Enhance authorities to ensure timelines are met

Clarify accountability for decision-making on major pipeline projects

Reduce Duplication for Project Reviews

• Substitution or equivalency with provincial processes as long as they meet the requirements of the Canadian Environmental Assessment Act

• Enable equivalency of Fisheries Act regulations with provincial laws or regulations that meet or exceed federal standards

• Make it possible for a province or the NEB or CNSC to issue authorizations under the Fisheries Act

• No longer require joint review panels for projects regulated by the NEB and the CNSC

Strengthen Environmental Protection

• Focus EAs on major projects

• Strengthen enforcement and compliance provisions

• Authorize financial penalties

• New funding to strengthen pipeline and marine safety

• Expand use of Regional EAs

Enhancing Consultations with Aboriginal Peoples

• Better integrate Aboriginal consultations into the review process

• Provide funding to support consultations with Aboriginal peoples

• Designate a lead Crown consultation coordinator for each project

• Establish consultation agreements and protocols with provinces/territories and Aboriginal groups

• Continue to ensure the Crown fulfills its legal obligations

Further details on the Plan for Responsible Resource Development

available at:

www.actionplan.gc.ca