ARCHIVED - Canadian Environmental Assessment Agency

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Minister's Message

As Minister responsible for the Canadian Environmental Assessment Agency, I am pleased to present the 2010-2011 Report on Plans and Priorities for the Agency.

The Government of Canada recognizes that promoting economic opportunities and protecting the environment are complementary objectives. To that end, the environmental effects of proposed developments, as well as policy, plan and program proposals, are taken into consideration as part of federal decision making. Work is ongoing to improve the efficiency and effectiveness of the environmental assessment process and a parliamentary review of the Canadian Environmental Assessment Act, scheduled to begin in 2010, will provide an opportunity to consider further improvements to federal environmental assessment.

I invite parliamentarians and Canadians to read the 2010-2011 Report on Plans and Priorities to gain a better appreciation of the Canadian Environmental Assessment Agency's direction and mandate.

Section 1: Agency Overview

In this section:

• 1.1 Summary Information
• 1.2 Planning Summary

1.1 Summary Information

Raison d'être

Responsibilities

Led by the President, who reports directly to the Minister of the Environment, the Agency delivers its mandate under the authority of the Canadian Environmental Assessment Act (the Act) and its accompanying regulations and within the framework of the following instruments:

• the Canada-Wide Accord on Environmental Harmonization, including the Sub-Agreement on Environmental Assessment, 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's Convention on Environmental Impact Assessment in a Transboundary Context.

The Agency works with federal authorities on the application of the Cabinet Directive on Implementing the Canadian Environmental Assessment Act and its Memorandum of Understanding. The Agency provides advice and guidance on the Directive's expectations and leads interdepartmental efforts to advance the Directive's goal of delivering high-quality environmental assessments in a predictable, certain, and timely manner.

The Agency is responsible for managing the federal environmental assessment process for most major resource projects and for integrating the Government of Canada's Aboriginal engagement and consultation activities into the environmental assessment process for these projects, as mandated under the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects and its Memorandum of Understanding.

To support efficient and effective consideration of the environmental effects of development proposals, the Agency coordinates federal environmental assessment requirements with those of the provinces and territories. Further, the Agency administers a Participant Funding Program to facilitate public participation and Aboriginal consultation in designated environmental assessments.

Consistent with the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, the Agency also supports the Minister of the Environment in promoting the application of environmental assessment processes in strategic-level decision making by providing training and guidance to federal authorities.

As well, 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.

Strategic Outcome

In order to effectively pursue its mandate, the Agency aims to achieve the following strategic outcome:

Program Activity Architecture

The chart below illustrates the Agency's framework of program activities which contribute to its strategic outcome.

[Program Activity Architecture]

1.2 Planning Summary

Financial Resources

The financial resources table below provides a summary of the total planned spending for the Agency for the next three fiscal years.

Human Resources

The human resources table below provides a summary of the total planned human resources for the Agency for the next three fiscal years.

The above table does not include spending for Internal Services.

Contribution of Priorities to Strategic Outcome

Risk Analysis

Agency Operating Environment and Challenges

Protecting the environment, while continuing to build a strong economy and improving the quality of life of Canadians, is an important challenge. Environmental assessment (EA) responds to this challenge by ensuring that environmental effects are considered before decisions are made to allow policies, plans, programs or projects to proceed.

Under the Act, responsible authorities (federal departments, agencies, and parent Crown corporations) must undertake an EA before: carrying out a project; providing financial assistance to enable a project to be carried out; selling, leasing or otherwise disposing of federal land to enable a project to be undertaken; or issuing certain authorizations to enable a project to go forward.

Projects subject to EA under the Act, and policies, plans and programs subject to strategic environmental assessment (SEA) under the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, often raise important issues associated with socio-economic development, environmental protection, Aboriginal concerns and federal-provincial/territorial cooperation. Environmental assessment must continually adapt to emerging trends, such as changing economic and environmental conditions, new technologies, developments in jurisprudence, and evolving public expectations.

The following provides an overview of the Agency's operating environment, and associated considerations and challenges.

Shared Responsibility for Environmental Management

Under the Canadian Constitution, environmental management is an area of shared responsibility between the federal and provincial governments. To minimize duplication and delays in the conduct of EAs, the Agency works with provinces and territories to bring about greater cooperation and promote the consistent and predictable application of environmental assessment across Canada. These objectives are realized through the implementation of bilateral agreements and project-specific arrangements that seek to meet the environmental assessment requirements of both parties through a single EA.

Competing Interests

Projects subject to environmental assessment often raise sensitive issues related to environmental protection, economic development, community and public expectations, Aboriginal concerns and federal-provincial relations. The projects being assessed can be complex, giving rise to competing interests. In this context, maintaining productive relationships while delivering high-quality assessments that meet the expectations of Canadians in a timely and predictable manner is an ongoing challenge.

Responding to Changes in the Canadian Economy

The number and types of proposed projects subject to the EA process under the Act are in large part a reflection of the state of our economy. The Agency continues to be an active partner in improving the performance of the regulatory system for public infrastructure and major resource projects, in particular with respect to more effective and efficient EAs. An effective, timely, predictable regulatory system which includes high-quality environmental assessments is a key contributor to the establishment of a strong Canadian economy. To that end, the Agency has renewed in its commitment to actively investigate and develop innovative ways to ensure that environmental considerations are taken into account in federal decision making and that federal EA is applied in a way that maximizes benefits to Canadians. Integrating environmental considerations into planning and decision-making processes in a manner that promotes sustainable development will be the focal point of these efforts.

Regulatory Improvement Initiative for Major Resource Projects

The Agency underwent an important restructuring and capacity-building process in order to deliver on its expanded responsibilities under the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects (October 2007) and the associated Memorandum of Understanding. In leading the delivery of environmental assessments for most major resource projects, the Agency will continue to work collaboratively with the Major Projects Management Office and other federal departments to ensure the overall success of this initiative.

Aboriginal Consultation

The Supreme Court of Canada has established that the Crown, both federal and provincial, has the duty to consult, and where appropriate accommodate, Aboriginal groups when it contemplates conduct that may adversely affect potential or established Aboriginal or treaty rights. Through the Memorandum of Understanding to the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects, the Agency will continue to assume responsibility for integrating Aboriginal-Crown consultations into the environmental assessments of major resource projects that it coordinates and will do the same for review panel processes.

Litigation

Litigation in relation to the application of the Act raises issues and challenges for the efficient, consistent and timely delivery of federal environmental assessment. Recent litigation includes two cases before the Supreme Court of Canada related to the federal environmental assessment of mining projects and a challenge in Federal Court to regulations made under the Act. Decisions rendered by the Courts can have significant implications for federal environmental assessment. The Supreme Court of Canada ruled on one of its cases in January 2010 and the ruling has brought significant clarification to key processes under the Canadian Environmental Assessment Act.

International Community

International partnerships give Canada the opportunity to share EA expertise, as well as offering access to the research being undertaken in other countries. Keeping in step with the environmental initiatives of international organizations and other countries also helps to ensure Canada's competitiveness. In this regard, the Agency will continue to develop relationships and maintain productive dialogue with other jurisdictions such as the United States and Australia. In addition, the Agency will continue to monitor Canada's obligations as a party to the United Nations Economic Commission for Europe's Convention on Environmental Impact Assessment in a Transboundary Context.

2010 Review

The 2003 Act to amend the Canadian Environmental Assessment Act requires that a review by Parliamentary Committee of the provisions and operation of the Act begin by June 2010. The Committee must submit a report to Parliament within one year of undertaking the review, including a statement of any changes to the Act that the Committee recommends. The Committee's report will be followed by a government response, which could include proposals for new legislation. An important challenge for the Agency will be to continue to deliver on its current responsibilities in an efficient and effective manner, while undertaking the work necessary to prepare for and participate in the review.

Expenditure Profile

[Expenditure Profile - Spending Trend]

For the 2010-2011 fiscal year, the Agency plans to spend its $29M authority to achieve the expected results of its program activities and contribute to its strategic outcome.

For the 2006-2007 to 2009-2010 periods, total spending includes all Parliamentary appropriation and revenue sources. It also includes carry forward adjustments. For the 2010-2011 to 2012-2013 periods, the total spending corresponds to planned spending and revenues. Supplementary funding and carry forward adjustments are unknown at this point and therefore are not reflected.

As a result of the Budget 2007 initiative to improve Canada's regulatory framework for major resource projects, the Agency has increased its spending trend up to 2011-2012. Funding for the Agency was also approved for review panel support, as well as to address Aboriginal consultations for environmental assessment programs, which are scheduled to sunset by 2009-2010 and 2010-2011 respectively. For 2009-2010 and beyond, the Agency is reflecting its resource profile based on planned appropriations, with and without sunsetting initiatives, for Aboriginal consultations related to environmental assessment processes, as well as to improve performance of the regulatory system for major resource projects.

Voted and Statutory Items

This table illustrates the way in which Parliament approved Agency resources and how funds are allocated.

The decrease in the Main Estimates funding from 2009-2010 to 2010-2011 is due to the sunset of the temporary portion of the funding received for Aboriginal consultations related to environmental assessment processes, as well as the sunset of the funding received for review panel support and an evaluation of the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals.

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