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Minister's Message

As Minister responsible for the Canadian Environmental Assessment Agency, I am pleased to present the 2011-2012 Report on Plans and Priorities for the Agency.

The Government of Canada recognizes that environmental sustainability is essential to the country's economic and social well-being. To that end, the environmental effects of proposed projects, as well as of policy, plan and program proposals, are taken into consideration as part of federal decision making.

The Canadian Environmental Assessment Agency plays plays an integral role in integrating Canada's environmental goals with its economic and social needs. It does this by providing timely, accurate and comprehensive information on the environmental effects of projects, as well as analysis and advice on how federal environmental assessment can contribute to sustainable development. The parliamentary review of the Canadian Environmental Assessment Act, scheduled to take place in 2011, should provide an opportunity to consider improvements to the government's approach to environmental assessment.

I invite parliamentarians and Canadians to read the 2011-2012 Report on Plans and Priorities to gain a better appreciation of the Canadian Environmental Assessment Agency's priorities and its role in supporting informed decisions.

 

 

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Section 1: Agency Overview

In this section:

• 1.1 Summary Information
• 1.2 Planning Summary

 

1.1 Summary Information

Raison d'être

Responsibilities

Environmental assessment (EA) ensures that the potential environmental effects of policies, plans, programs and projects are identified and considered by federal government authorities before final decisions are made. It supports decisions that protect the environment, while fostering a strong economy and a high quality of life for Canadians.

The Canadian Environmental Assessment Act (the Act) establishes the requirements for the EA of projects, and the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals sets out the EA requirements for those types of decisions. The Canadian Environmental Assessment Agency (the Agency) plays key roles in delivering and supporting assessments under the Act and under the Cabinet Directive.

The Act sets out three main types of EA for proposed projects: screenings, comprehensive studies and assessments by review panels. The Agency advises and assists the Minister of the Environment in establishing review panels and supports panels in their work. The Agency conducts most comprehensive studies and manages screenings for major resource projects. For review panels, and for the comprehensive studies and screenings for which it is responsible, the Agency integrates the Government of Canada's Aboriginal consultation activities into the EA process to the greatest extent possible.

As the centre of expertise on EA within the federal government, the Agency provides advice and guidance across government to assist federal authorities in carrying out their EA responsibilities. The Agency leads interdepartmental efforts to improve the delivery of high-quality EAs in a predictable, certain and timely manner. It works with federal authorities on the application of the Cabinet Directive on Implementing the Canadian Environmental Assessment Act and the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects. The Agency also leads the coordination of federal EA requirements with those of provinces and territories; and administers a participant funding program to facilitate public participation and Aboriginal consultation during comprehensive studies and assessments by review panels.

The Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals establishes a self-assessment process for strategic environmental assessment (SEA). An SEA is required when the implementation of a proposal may result in important environmental effects, either positive or negative, and the proposal is submitted to an individual Minister or Cabinet. Federal departments and agencies are individually responsible for ensuring that the requirements of the Cabinet Directive are met. The Agency supports the Minister of the Environment in promoting the application of the Cabinet Directive and provides training and guidance for federal authorities.

Finally, the Agency has responsibilities under the environmental and social protection regimes set out in sections 22 and 23 of the 1975 James Bay and Northern Quebec Agreement. The President of the Agency is designated by Order in Council as the Federal Administrator of these processes.

The Agency was established in 1994 and is led by the President, who reports directly to the Minister of the Environment. It has its headquarters in Ottawa and regional offices in Halifax, Québec, Toronto, Winnipeg, Edmonton and Vancouver.

The Agency, through its regional offices and with support from Headquarters, plays the lead role in conducting comprehensive studies and managing screenings of major resource projects, including the integration of Aboriginal consultation into those assessments. It works closely with provincial and territorial governments to ensure efficient and timely EAs; provides advice and guidance for project proponents; and makes federal EA accessible to Aboriginal groups and the public by providing information on the process and its application.

The Agency also plays the lead role in advising the Minister on the establishment of review panels; supporting panels once established; and integrating Aboriginal consultation into those assessments. In addition, EAs throughout the country are supported through the Participant Funding Program and the Canadian Environmental Assessment Registry Internet site, which provides public access to documents related to federal EAs. The Agency develops and delivers training and guidance on project EA and SEA; and administers a quality assurance program on the conduct of federal EAs. It also leads policy research and analysis to support implementation of the Act and the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals.

Strategic Outcome

The Agency aims to achieve the following strategic outcome:

The Agency strives to achieve this outcome through delivering key components of federal EA; and by providing advice and support to other federal organizations on the delivery of their federal EA responsibilities.

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.

Financial Resources	2011–2012	2012–2013	2013–2014
($ thousands)	30,007	17,062	17,062

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.

Human Resources	2011–2012	2012–2013	2013–2014
Full-Time Equivalents (FTEs)	242	162	162

The decreases in the above tables are primarily the result of the sunset funding for two key initiatives to improve Canada's regulatory framework for major resource projects and for Aboriginal consultations. There is a significant decrease in funding following fiscal year 2011-2012. One of the initiatives, the major resource projects initiative, is currently the subject of a horizontal evaluation.

Strategic Outcome: Environmental considerations are taken into account in federal government decisions respecting policies, plans, programs and projects	Alignment with Government of Canada Outcomes: Strong economic growth
Performance Indicators	Targets
Percentage of policy, plan and program proposals for consideration by Cabinet that include strategic environmental considerations. Percentage of environmental assessments (EAs) where the Agency is the EA manager or performs the duties of the responsible authority for which the Agency develops and implements a work plan that will lead to the delivery of a high-quality EA.	90% of the Memoranda to Cabinet that require an SEA include strategic environmental considerations. An EA work plan that will lead to the delivery of a high-quality EA is developed and implemented for 100% of project-specific EAs where the Agency is the EA manager or performs the duties of the responsible authority.

Program Activity	Forecast Spending ($ thousands)	Planned Spending ($ thousands)
	2010-2011	2011–2012	2012–2013	2013–2014
Environmental Assessment Development Program	3,661	4,306	3,404	3,404
Environmental Assessment Support Program	18,767	17,692	8,603	8,603
Internal Services	9,622	8,009	5,055	5,055
Total Spending	32,050	30,007	17,062	17,062

Internal Services does not align to Government of Canada Outcomes.

Contribution of Priorities to Strategic Outcome

As a result of the amendments to the Canadian Environmental Assessment Act (the Act) in July 2010, the Agency is responsible for conducting most comprehensive studies. To reflect this new leadership role, the Agency has redefined its operational priorities. Previous priorities, which focused on developing a framework for more integrated EA, playing an active leadership role in federal EA, and building capacity within the Agency, have established a strong foundation. The new priorities will take the Agency forward as a leader in delivering and shaping the future of high-quality federal EA.

Operational Priorities	Type	Description
1. Deliver high-quality environmental assessments of major projects	New	High-quality EAs: provide a thorough description of the environmental effects of a project and measures to mitigate adverse effects; are informed by the participation of the public and Aboriginal groups; and are completed in a timely manner. Consistent with its responsibilities under the Act for review panels and comprehensive studies, and through a Cabinet directive for screenings of major resource projects, the Agency will focus its efforts on delivering high-quality EAs of major projects. This focus reflects the importance of these projects and their potential to significantly affect the environment. In delivering this priority, the Agency will place emphasis on: cooperating with provinces; integrating Aboriginal consultation activities into the process to the greatest extent possible; engaging the public in meaningful ways; developing operational policies, procedures and service standards to guide the delivery of high-quality EAs; providing training, guidance and effective management to support Agency staff in delivering high-quality EAs; maintaining capacity and applying hiring strategies to ensure the Agency has the appropriate skills and competencies to fulfill its role.
2. Build effective relationships with Aboriginal people	New	The Agency integrates consideration of impacts to existing or potential Aboriginal and treaty rights, as well as current use of lands and resources by Aboriginal persons, into the EA process. It also participates in the negotiation and implementation of the EA components of land claim agreements and self-government arrangements. Building relationships with Aboriginal people that encourage and facilitate their active participation in these activities is essential for the successful delivery of the Agency's priorities, including high-quality environmental assessment. To build effective relationships with Aboriginal people, the Agency will focus on: providing training, guidance and management support to staff undertaking Aboriginal consultation; effectively and efficiently making funds available through its Participant Funding Program to assist Aboriginal groups participating in the EA process and associated Aboriginal consultation activities; integrating information on Aboriginal use of lands and resources, and on existing or potential Aboriginal and treaty rights, into the EA; and pursuing outreach activities to provide information on the conduct of federal EAs and associated consultation activities to encourage Aboriginal groups to participate.
3. Play a lead role in shaping the future of federal environmental assessment	New	The Agency recognizes that to remain effective and support sound decisions, the EA system must be responsive to Canada's evolving economic, technological, social and physical environment. To this end, the Agency continually strives to identify how federal EA can better inform and support decision making. The Agency will: work with its federal partners, provinces and territories, Aboriginal groups, stakeholders and other countries to understand emerging issues and trends in EA; define policy direction; develop cooperative EA arrangements; provide guidance on federal EA; develop guidance and tools to strengthen SEA; and pursue legislative, regulatory and policy improvements. The House of Commons Standing Committee on Environment and Sustainable Development is undertaking a review of the Act, with completion expected in 2011. The Agency will contribute to this review as fully as possible and will support the Minister of the Environment in reviewing and responding to the Committee's report.

Risk Analysis

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

Agency Operating Environment and Challenges

Shared Responsibility for Environmental Management

In Canada, responsibility for environmental management, including EA, is shared by the federal, provincial and territorial governments. Aboriginal groups are also assuming greater responsibility for the management of the environment and resources through constitutionally protected modern treaties, such as land claim agreements and self-government agreements. Each jurisdiction has its own EA process and requirements. In order to manage this overlap of responsibilities without duplication, the Act must be administered in a manner that allows the federal process to align with those of partners. In addition, provincial initiatives in areas such as land-use planning help inform options for the future of federal EA. The Agency will work with other jurisdictions and Aboriginal groups to support timely, high-quality EA, which will include working under the Canada-wide Accord on Environmental Harmonization and its Sub-agreement on Environmental Assessment, bilateral agreements, and project-specific arrangements.

Aboriginal Consultation

The Crown, both federal and provincial, has a duty to consult and, where appropriate, accommodate, Aboriginal groups, when it contemplates conduct that may adversely affect potential or established Aboriginal or treaty rights. Potentially affected Aboriginal groups are consulted before the federal government makes decisions about proposed projects. The Agency is responsible for integrating Aboriginal consultation into the EAs that it conducts or manages to the greatest extent possible, which includes collaborating with provincial and territorial partners to share the results of consultation activities. Determining whether the federal Crown's actions will affect potential or established Aboriginal or treaty rights and ensuring that information is considered as part of federal decisions about projects requires the active participation of the Agency, federal departments with decision-making responsibilities, and the potentially affected Aboriginal groups.

Collaboration with Federal Partners

Collaboration among federal departments and the Agency is essential to deliver high-quality EAs. In carrying out its responsibilities for the EAs of major projects, the Agency will seek information and advice from those federal departments that have decision-making responsibilities with respect to the project, as well as from those departments that have expertise in relation to the environmental effects of the project. The effective and timely delivery of high-quality EAs of major projects will depend on the continued availability of expert advice from these departments.

Considering Diverse Interests and Expectations

Major projects often raise complex and controversial issues related to environmental protection, economic development, job creation, community and public expectations, Aboriginal rights and interests, and federal-provincial relations. Interested parties frequently have diverse and potentially conflicting views about projects and their environmental effects. Maintaining open and productive communication with all participants in the EA process can be challenging in this context; however, it is essential in ensuring that EA efficiently addresses the full range of potential environmental effects.

International Community

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

Parliamentary Review of the Canadian Environmental Assessment Act

The 2003 Act to amend the Canadian Environmental Assessment Act requires that a comprehensive review of the Act be undertaken by a parliamentary committee. The conduct of this review was referred to the House of Commons Standing Committee on Environment and Sustainable Development in June 2010. Once the Committee has completed its review, it will report to Parliament on its findings. The Agency will support the Minister of the Environment in reviewing and responding to the Committee's report, while continuing to deliver on its current responsibilities in an efficient and effective manner.

Operating in a Dynamic Context and Responding to Change

EA must be responsive to the dynamic, evolving economic, social, cultural, scientific, policy and legal context in which it takes place. The number, types and locations of projects subject to federal EA vary considerably with changes in the economy. For example, global commodity prices and demand for Canada's natural resources have a strong influence on the number of proposals in the mining and energy sectors. In addition, new types of projects and new technologies are continually being developed.

Knowledge and understanding of the natural environment continue to develop as new information becomes available; for example, in relation to the effects of climate change. However, EA remains a complex undertaking that must address uncertainty in both our understanding of the natural environment and our ability to forecast the changes that may occur in response to a project.

In addition, environmental and resource management objectives continue to evolve, as does the regulatory framework for environmental management, including EA, across the country.

Diverging views on projects and their environmental effects may also lead to litigation and cause shifts in the legal context for EA. For example, two Supreme Court of Canada decisions in 2010 specifically addressed issues pertaining to EA. When litigation is pending, it may cause uncertainty; however, direction from the Courts contributes to clarifying the application of the Act, as well as associated responsibilities, such as Aboriginal consultation. Ultimately, court decisions may affect the way federal EA is conducted.

The Agency must respond to the dynamic nature of the environment within which it operates by ensuring its practices and approaches are as effective as possible; and by continuing to have the right people in the right place at the right time with the tools and support to deliver on its responsibilities.

Expenditure Profile

[Expenditure Profile - Spending Trend]

For the 2011-2012 fiscal year, the Agency plans to spend its $30M authority to achieve the expected results of its program activities and contribute to its strategic outcome.

For the 2007-2008 to 2010-2011 periods, total spending includes all Parliamentary appropriation and revenue sources. It also includes carry-forward adjustments. For the 2011-2012 to 2013-2014 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. The Agency also received funding to integrate Aboriginal consultations into the EAs it manages. Both funding initiatives are scheduled to sunset by 2011-2012. For 2012-2013 and beyond, the Agency is reflecting its resource profile, based on planned appropriations with and without "sunsetting" initiatives for Aboriginal consultations for EA processes and for improved performance of the regulatory system for major resource projects.

Estimates by Vote

Estimates by Vote are presented in the 2011-2012 Main Estimates, which are available here:
http://www.tbs-sct.gc.ca/est-pre/20112012/me-bpd/info/info-eng.asp.

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