ARCHIVED - Canadian Environmental Assessment Agency

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Overview

In this section:

• Minister's Message
• Management Representation Statement
• Summary Information
• Agency Operating Environment and Challenges
• Stakeholders and Partners
• Link to the Government of Canada Outcome Areas

 

Minister's Message

I am pleased to present the Performance Report of the Canadian Environmental Assessment Agency for the period ending March 31, 2008. This report describes the Agency's key accomplishments for the 2007-2008 fiscal year.

The Agency's mandate is to support high-quality environmental assessments that contribute to informed decision making. In delivering this mandate, the Agency has three overarching priorities: improving integration of the environmental assessment process; assuming a more active leadership role in federal environmental assessment; and building the capacity to deliver on its responsibilities.

During the reporting period, the Agency continued to promote more effective and efficient environmental assessments, and better coordination with other departments and jurisdictions. As a result of commitments in Budget 2007 and the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, the Agency was given additional funding to undertake new roles and responsibilities. During 2007-2008, the Agency, therefore, devoted significant attention to activities necessary to fulfill its part in this multi-departmental initiative.

The Canadian Environmental Assessment Agency will continue to provide leadership to support and promote high-quality environmental assessments that safeguard our environment, while allowing for strong economic growth in Canada.

It gives me great pleasure, therefore, to submit the 2007-2008 Performance Report for the Agency.

 

_____________________________________________

Jim Prentice, P.C., M.P.

Canada's Environment Minister and
Minister for the Canadian Environmental Assessment Agency

 

Management Representation Statement

I submit for tabling in Parliament, the 2007-2008 Departmental Performance Report for the Canadian Environmental Assessment Agency.

This document has been prepared based on the reporting principles contained in the Guide for the Preparation of Part III of the 2007-2008 Estimates: Reports on Plans and Priorities and Departmental Performance Reports.

• It adheres to the specific reporting requirements outlined in the Treasury Board Secretariat guidance;
• It is based on the department's approved Strategic Outcome and Program Activity Architecture that were approved by the Treasury Board;
• It presents consistent, comprehensive, balanced and reliable information;
• It provides a basis of accountability for the results achieved with the resources and authorities entrusted to it; and
• It reports finances based on approved numbers from the Estimates and the Public Accounts of Canada.

 

______________________________

Peter Sylvester

President

 

Summary Information

Reason for Existence

The Canadian Environmental Assessment Agency (the Agency) provides leadership and serves as the centre of expertise for the federal environmental assessment (EA) process. The Agency's mandate is to provide Canadians with high-quality environmental assessments that contribute to informed decision making in support of sustainable development.

One strategic outcome defines the work of the Agency: "Environmental assessment is an integral part of program and policy decision making." The Agency's program activity is "efficient and effective environmental assessment." This work is achieved through two key programs:

• providing leadership and expert advice in support of environmental assessment; and
• developing, maintaining and improving the federal environmental assessment framework while building and clarifying linkages with other environmental assessment and regulatory frameworks, such as provincial review processes.

Led by the President, who reports directly to the Minister of the Environment, the Agency delivers its mandate within the framework of the following instruments:

• the Canadian Environmental Assessment Act (the Act) and its accompanying regulations;
• the Canada-wide Accord on Environmental Harmonization and bilateral agreements with provincial governments that establish arrangements for cooperative environmental assessments; and
• international agreements containing environmental assessment provisions to which Canada is a party, principally the United Nations Economic Commission for Europe Convention on Environmental Impact Assessment in a Transboundary Context.

The Cabinet Directive on Implementing the Canadian Environmental Assessment Act reinforces the key facilitation role of the Agency in the administration of the Act and in encouraging the application of federal environmental assessments in a manner that supports the timely, predictable and efficient preparation of high-quality environmental assessments.

Through the federal Regulatory Improvement Initiative, and consistent with the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, the Agency assumed new responsibilities for managing EAs and coordinating Crown consultation with Aboriginal groups for major resource projects.

The Agency also promotes strategic environmental assessment by providing training and guidance to federal authorities on the application of the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals.

The President of the Agency has been designated by order-in-council as the federal administrator of the environmental and social protection regimes set out in chapters 22 and 23 of the 1975 James Bay and Northern Quebec Agreement.

Financial Resources ($000s)

Planned Spending	Total Authorities	Actual Spending
16,540	25,133	18,277

Human Resources (FTEs)

Planned	Actual	Difference
155	141	14

Status on Performance

Strategic Outcome Environmental assessment is an integral part of program and policy decision making.
Program Activity Efficient and effective environmental assessment.
Expected Results Environmental assessment:   a) Processes are well coordinated across the federal government and with other jurisdictions;   b) Expertise and operational capacity is maintained and enhanced, and the role of stakeholders and decision makers is supported; and   c) Practices are improved, and increasingly effective mitigation measures are implemented.
Priority	Type	Performance Status	Planned Spending ($000s)	Actual Spending ($000s)
No. 1 Build a framework for more integrated environmental assessments.	Ongoing	Ongoing	4,135	4,569
No. 2 Assume a more active leadership role in federal environmental assessment.	Ongoing	Partially Met	9,097	10,052
No. 3 Build the capacity to deliver on existing and new responsibilities.	Ongoing	Partially Met	3,308	3,656
		Total	16,540	18,277

 

Priority No. 1: Build a framework for more integrated environmental assessments

One of the Agency's priorities is to develop, maintain and improve the federal environmental assessment framework, while building new and strengthening existing linkages with other environmental assessment and regulatory frameworks. This priority was addressed through such tools and approaches as legislative and regulatory development, policy instruments and processes, class screenings, EA cooperation mechanisms, research and development, and quality assurance.

The Agency provided funding, advice and administrative support to federal departments for the development of class screening reports to promote and streamline the EA process for routine projects. It also continued to fund research and development aimed at helping the federal government improve the practice of environmental assessment in a relevant, credible and efficient manner, and encourage innovation and excellence. The first quality assurance report, on the subject of federal screenings under the Canadian Environmental Assessment Act, was published in December 2007.

Working in close collaboration with the Major Projects Management Office, recently established within Natural Resources Canada, the Agency contributed to efforts to strengthen coordination of EAs federally, to integrate EA into the federal regulatory process more effectively and, in support of a "one-window" approach, to integrate Aboriginal consultation into the EA process for major resource projects.

The Agency continued to provide advice to Indian and Northern Affairs Canada on the development of EA regimes under comprehensive land claims and self-government agreements. The Agency also participated actively in the development of EA provisions for legislation governing economic sector activities on First Nations lands.

During the reporting period, the Agency also pursued the following regulatory improvements:

• The new Exclusion List Regulations, 2007, which exempt certain projects with insignificant environmental effects, came into force in May 2007.
• New Port Authority Environmental Assessment Regulations that will replace the existing Canada Port Authority Environmental Assessment Regulations were drafted. The new Regulations are needed to reflect changes made to the Canadian Environmental Assessment Act in 2003. The draft Regulations are expected to be submitted for publication in the Canada Gazette, Part I, in fall 2008.
• Regulatory initiatives were pursued to add provisions of the International Boundary Waters Treaty Act and the International Bridges and Tunnels Act as triggers for environmental assessment. Public consultations were held, and legal drafting was started. The proposed amendments are expected to be submitted for publication in the Canada Gazette, Part I, in fall 2008.
• A proposal was developed for public consultation to update the order for cost recovery for management of review panels.

In addition, the Agency developed a framework for review of the four key regulations under the Act. They are the Law List Regulations, the Inclusion List Regulations, the Exclusion List Regulations, 2007, and the Comprehensive Study List Regulations. The framework will guide the ongoing review of the four key regulations within the current legislative structure. To this end, the framework provides guidance on how to identify a specific element of a regulation (e.g. a particular type of project listed in the Comprehensive Study List Regulations) as a candidate for regulatory review and possible amendment, the criteria for consideration and the factors that will be used to prioritize candidates.

In Canada, responsibility for the environment is shared between the federal, provincial and territorial governments. Building a framework for more integrated environmental assessment depends on effective coordination between the different levels of government. The Agency has been working closely with its counterpart provincial and territorial organizations through the Canadian Council of Ministers of the Environment (CCME) to explore ways of strengthening EA coordination. The Agency co-chairs a task group under the CCME that, by the end of 2008, is to identify and recommend options to coordinate provincial/territorial and federal EA processes more effectively.

A multi-stakeholder advisory committee, chaired by the Agency and composed of representatives from industry, environmental groups, Aboriginal organizations, provinces and federal departments, continued to provide advice on various policy and regulatory initiatives, including preparations for the 2010 review of the Canadian Environmental Assessment Act.

Priority No. 2: Assume a more active leadership role in federal environmental assessment

The Agency exercises a leadership role by providing support to review panels and, in its capacity as Federal Environmental Assessment Coordinator (FEAC), by helping to coordinate activities for comprehensive studies and multi-jurisdictional screenings. Throughout 2007-2008, the Agency worked in conjunction with other federal departments and agencies to develop and implement a more streamlined, predictable and efficient EA process within the overall regulatory regime. Under the resulting Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, the Agency assumed new responsibilities for managing the EA process for major resource projects and integrating Crown consultations with Aboriginal groups and peoples into these processes. In support of this initiative, the Agency has been administering a fund, allocated pursuant to a recent Federal Court of Appeal decision, to allow for meaningful consultation and engagement of Aboriginal interests. As well, the Agency has been working closely with the Major Projects Management Office, recently established within Natural Resources Canada to oversee the regulatory process for major resource projects.

Building on the internal policy for Aboriginal consultation developed last year, the Agency continued to establish operational frameworks within which the Aboriginal consultation policy can be delivered. These frameworks are the cornerstone for future engagement with Aboriginal peoples throughout the EA process. The Cabinet Directive formalizes the Agency's enhanced responsibility for Aboriginal consultation. In anticipation of this new role, the Agency has been developing training packages and best practices for EA consultation with Aboriginal communities.

The Interim Approach for Determining Scope of Project for Major Development Proposals with Specific Regulatory Triggers under the Canadian Environmental Assessment Act, December 2006 (Interim Approach to Scoping), introduced in the previous year, aims to reduce the potential for delay and provide clarity for participants in the EA process. The Interim Approach to Scoping aims to facilitate consistency and timeliness for a type of scoping decision that, historically, has tended to be difficult and time-consuming. Establishing a set of criteria and standards for a common approach to scoping promotes the consistent interpretation and application of the principles. The Agency continued to promote and communicate the Interim Approach during the reporting period. Senior management of Environmental Assessment Project Committee member departments have signalled their continued support of the Interim Approach to Scoping.

During the 2007-2008 fiscal year, the Agency also continued to deliver training courses to assist federal partners and other stakeholders in complying with the Canadian Environmental Assessment Act, to encourage the application of tools and skills, and ultimately to enhance implementation of best practices in the delivery of high-quality environmental assessments. Over the past fiscal year, the Agency delivered 47 formal training sessions to 780 participants across Canada.

The Agency recognizes the need for specialized knowledge and skills, and its own leadership role in ensuring high-quality environmental assessments. The Environmental Assessment Recruitment and Development Program pilot, launched as a collaborative Agency/interdepartmental initiative in 2007, entered its second year in the spring of 2008.

Priority No. 3: Build the capacity to deliver on existing and new responsibilities

To move ahead on the first two priorities, while meeting existing responsibilities for coordination, guidance and support for environmental assessments, the Agency has worked actively to develop its internal capacity and manage its talent.

During the review period, the Agency worked with other departments to fulfill the Budget 2007 commitment to streamline the regulatory regime for large natural resource projects, including the EA process and Aboriginal consultation. Budget 2007 provided funding to add staff in key regulatory departments and agencies to increase the predictability and timeliness of project review.

The Agency reviewed and updated its Human Resources (HR) Plan, which sets out a strategy for an organizational design for a transformed Agency, as well as capacity building for the period 2007-2009, to accommodate the influx of new financial and human resources. Given its anticipated growth, the Agency established a new organizational structure in February 2008. This was an important step toward building the Agency's capacity to deliver on new responsibilities, while fostering excellence and maximizing efficiency and effectiveness.

The Agency recognizes that learning and career development are valuable incentives and that commitment and productivity are enhanced when employee and Agency objectives are aligned. The Agency worked to achieve this alignment through the implementation of elements of the revised HR Plan, including an effective performance management program, personal learning plans, mentoring and succession planning programs. By investing in building a sustainable workforce, developing employees' skills and knowledge, the Agency will increase capacity among existing and new employees and enhance its retention rate. In January 2008, the Agency approved a comprehensive learning and development strategy to address short-term needs in support of the organizational transformation.

 

Agency Operating Environment and Challenges

Protecting the environment, while building a strong economy and improving the quality of life for Canadians, is a daily challenge. Environmental assessment responds to this challenge by ensuring that environmental effects are considered before decisions are taken that allow projects to proceed.

Under the Canadian Environmental Assesment Act, federal departments and agencies must undertake an environmental assessment before they begin a project; provide financial assistance to enable a project to be carried out; sell, lease or otherwise transfer control or administration of land to enable a project to be undertaken; or issue certain permits or authorizations to allow a project to proceed. During the reporting period, nearly 7,000 EAs were initiated under the Act. Since 1995 (the year the Act came into effect), almost 80,000 assessments have been initiated.

Projects subject to environmental assessment or policies, plans or programs subject to strategic environmental assessment often raise important issues associated with socio-economic development, environmental protection, Aboriginal interests and federal-provincial/territorial relations. Environmental assessment must continually adapt to emerging trends, new scientific methods and insights, and evolving public expectations.

The following provides an overview of the issues and challenges the Agency faces in delivering its key programs.

Shared Environmental Management Responsibility

Under the Canadian Constitution, responsibility for environmental management is an area of shared jurisdiction among various levels of government. To minimize duplication and delays, the Agency works with provinces and territories to foster greater cooperation in environmental assessment and promote the consistent, predictable and timely application of environmental assessment across Canada. This shared environmental management responsibility is realized by implementing or renewing bilateral agreements, and by working with provinces and territories to improve the coordinated delivery of environmental assessment.

The Agency is a co-chair of an EA task group under the Canadian Council of Ministers of the Environment that focuses on improved EA management. This group is to identify and recommend options to streamline EAs for projects subject to provincial/territorial and federal EA legislation.

Integrating Competing Interests

Projects subject to environmental assessment often give rise to many sensitive issues related to development, community and public expectations, environmental protection, Aboriginal interests and federal-provincial relations. Projects can often be complex and those involved can have competing interests. It is an ongoing challenge to integrate these interests, maintain productive relationships, meet the expectations of Canadians and deliver high-quality assessments in a timely and predictable manner.

Strength of the Canadian Economy

The number of environmental assessments required pursuant to the Act is, in large part, a function of the strength of our economy. In the last year, the expansion of the Canadian economy has led to an increase in major projects subject to review under the Act. The delivery of timely and effective environmental assessments in the face of this increased activity is an ongoing challenge.

Meaningful Involvement of Aboriginal Peoples

The recognition of Aboriginal self-government and the development of land claim agreements are reshaping environmental assessment across Canada. The Agency has worked with Aboriginal groups and Indian and Northern Affairs Canada to ensure that EA regimes developed under these comprehensive land claims, self-government agreements and economic sector arrangements meet key environmental assessment requirements and take specific Aboriginal interests into account.

The Supreme Court of Canada has established that the Crown — at the federal and provincial levels — may have a legal duty to consult, and possibly accommodate, Aboriginal peoples where it contemplates conduct that may adversely impact potential or established Aboriginal or treaty rights.

The Agency worked with other departments to develop new policies, processes, procedures and guidance materials to integrate Aboriginal Crown consultations into the process of environmental assessment and regulatory approval for major resource projects. The Agency also provided participant funding to Aboriginal peoples and groups, which enabled them to take part in public consultations associated with review panels and comprehensive studies.

Improved Federal Policy Development

The Agency is a strong advocate for the application of strategic environmental assessment (SEA) as a tool to support integrated decision making. Since the implementation of the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, federal departments have increasingly recognized the value of this tool in helping to promote sustainable development.

International Community

International partnerships give Canada the opportunity to share environmental assessment expertise and, at the same time, access current research in other countries. Keeping in step with the environmental initiatives of international organizations also helps to ensure the competitive position of Canadian exporters.

Canada's international environmental assessment responsibilities must respect foreign policy and trade practices, and ensure consistency with the processes of other countries and organizations. As a party to the United Nations Economic Commission for Europe Convention on Environmental Impact Assessment in a Transboundary Context, Canada is required to meet its obligations under the Convention.

 

Stakeholders and Partners

The Agency works with a wide range of stakeholders and develops partnerships to promote sound EA practices in Canada and abroad. In support of this work, the Agency maintains and supports several mechanisms for receiving advice and consulting stakeholders and partners, notably the Minister's multi-stakeholder Regulatory Advisory Committee, the federal Senior Management Committee on Environmental Assessment and the federal-provincial/territorial Environmental Assessment Administrators Committee. As well, the Agency is developing new approaches to engage Aboriginal peoples.

Central to the Agency's mandate is providing all proponents with a timely and predictable process, and access to both the tools and the necessary information to understand their role in supporting compliance with the Act. In accordance with the general thrust of the Cabinet Directive on Implementing the Canadian Environmental Assessment Act, the Agency, with the help of federal departments and agencies, will ensure that proponents have sufficient information to help them prepare project descriptions that contain sufficient information to determine the need for a federal environmental assessment and, when required, to initiate its efficient conduct.

The Agency includes the following among its stakeholders and partners.

Federal Departments, Agencies and Crown Corporations

The Agency assisted federal departments, agencies and Crown corporations in meeting their obligations under the Canadian Environmental Assessment Act and relevant regulations, as well as the Cabinet Directive on Implementing the Canadian Environmental Assessment Act and the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals. One of the major initiatives this year was assisting in the development of the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects and the subsequent Memorandum of Understanding. These instruments assign to the Agency the lead role in integrating consultation and engagement with Aboriginal peoples in the environmental assessments that the Agency leads.

Through its operational policies, guidance and training, the Agency improves the way environmental assessment is conducted at the federal level. In addition, the Agency works closely with federal departments and agencies on comprehensive studies, and provides administrative and technical support to review panels.

Provincial and Territorial Governments

Constitutionally, environmental management is an area of jurisdiction shared by various levels of government. The Agency worked with provincial and territorial governments to minimize duplication and delays by bringing about greater cooperation in EAs of major projects. It continued to implement existing federal-provincial EA cooperation agreements, and worked with provincial and territorial governments on a broad range of EA issues.

Aboriginal Peoples

The Agency has provided advice to Indian and Northern Affairs Canada to ensure that the EA regimes developed and implemented pursuant to comprehensive land claims agreements, self-government agreements and devolution initiatives are consistent with the requirements of the Act and can be coordinated with existing EA regimes.

The Agency actively participated in a senior level, interdepartmental, policy working group, which was tasked with developing interim guidance and policy for federal departments on the legal duty to consult with Aboriginal peoples.

The Agency also worked with other departments to develop new interim policies, processes, procedures and guidance materials to integrate Crown consultations with Aboriginal peoples into the process of environmental assessment and regulatory approval for major resource projects.

In particular, the Agency contributed significantly to the development of: documents that outlined the roles and responsibilities of the federal departments and agencies and how they will work together to satisfy consultation objectives to integrate Aboriginal consultation into the regulatory process; procedures for carrying out these objectives, including the creation of a records-management approach; and the development of milestones for tracking and reporting on Aboriginal consultation activities.

Industry/Proponents

Central to the Agency's mandate is giving all proponents, including the federal government, access to the tools and guidance needed to provide complete information on projects and their potential adverse environmental effects, to support the timely and predictable administration of the Act. With the new responsibilities established for the Agency under the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, proponents from both the private and public sectors will benefit from a more certain and timely environmental assessment process.

Public and Non-Governmental Organizations

The Agency encouraged public participation and worked with stakeholders to reconcile diverging interests, while maintaining productive relationships and promoting high-quality environmental assessments to meet the expectations of Canadians. The Agency provided participant funding to individuals and non-profit organizations, including Aboriginal peoples and groups, which enabled them to take part in the public consultations associated with review panels and comprehensive studies. With the new responsibilities established under the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, the Agency will assume a larger role in funding participation by Aboriginal peoples in environmental assessments, while continuing to provide funding to individuals and non-profit organizations. The Agency also worked with multi-stakeholder groups, including NGOs, to develop further guidance on meaningful public participation in the federal EA process.

 

Link to the Government of Canada Outcome Areas

The whole-of-government framework provides a structured logic model for the Agency to map its contribution to a set of high-level Government of Canada strategic outcomes. These outcomes promote long-term benefits to Canadians and are grouped in three broad policy areas (see chart below).

The central role of the Government of Canada is to improve the well-being of its citizens, and a sustainable economy is essential to attain that outcome. Success depends on the reconciliation of environmental considerations with economic growth. The Agency has played a pivotal role in providing Canadians with high-quality environmental assessments, which have contributed to informed decision making in support of the Government of Canada's role in promoting and fostering sustainable economic growth.

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