Bill C-69 (Historical)

An Act to enact the Impact Assessment Act and the Canadian Energy Regulator Act, to amend the Navigation Protection Act and to make consequential amendments to other Acts

Part 1 enacts the Impact Assessment Act and repeals the Canadian Environmental Assessment Act, 2012. Among other things, the Impact Assessment Act
(a) names the Impact Assessment Agency of Canada as the authority responsible for impact assessments;
(b) provides for a process for assessing the environmental, health, social and economic effects of designated projects with a view to preventing certain adverse effects and fostering sustainability;
(c) prohibits proponents, subject to certain conditions, from carrying out a designated project if the designated project is likely to cause certain environmental, health, social or economic effects, unless the Minister of the Environment or Governor in Council determines that those effects are in the public interest, taking into account the impacts on the rights of the Indigenous peoples of Canada, all effects that may be caused by the carrying out of the project, the extent to which the project contributes to sustainability and other factors;
(d) establishes a planning phase for a possible impact assessment of a designated project, which includes requirements to cooperate with and consult certain persons and entities and requirements with respect to public participation;
(e) authorizes the Minister to refer an impact assessment of a designated project to a review panel if he or she considers it in the public interest to do so, and requires that an impact assessment be referred to a review panel if the designated project includes physical activities that are regulated under the Nuclear Safety and Control Act, the Canadian Energy Regulator Act, the Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act and the Canada–Newfoundland and Labrador Atlantic Accord Implementation Act;
(f) establishes time limits with respect to the planning phase, to impact assessments and to certain decisions, in order to ensure that impact assessments are conducted in a timely manner;
(g) provides for public participation and for funding to allow the public to participate in a meaningful manner;
(h) sets out the factors to be taken into account in conducting an impact assessment, including the impacts on the rights of the Indigenous peoples of Canada;
(i) provides for cooperation with certain jurisdictions, including Indigenous governing bodies, through the delegation of any part of an impact assessment, the joint establishment of a review panel or the substitution of another process for the impact assessment;
(j) provides for transparency in decision-making by requiring that the scientific and other information taken into account in an impact assessment, as well as the reasons for decisions, be made available to the public through a registry that is accessible via the Internet;
(k) provides that the Minister may set conditions, including with respect to mitigation measures, that must be implemented by the proponent of a designated project;
(l) provides for the assessment of cumulative effects of existing or future activities in a specific region through regional assessments and of federal policies, plans and programs, and of issues, that are relevant to the impact assessment of designated projects through strategic assessments; and
(m) sets out requirements for an assessment of environmental effects of non-designated projects that are on federal lands or that are to be carried out outside Canada.
Part 2 enacts the Canadian Energy Regulator Act, which establishes the Canadian Energy Regulator and sets out its composition, mandate and powers. The role of the Regulator is to regulate the exploitation, development and transportation of energy within Parliament’s jurisdiction.
The Canadian Energy Regulator Act, among other things,
(a) provides for the establishment of a Commission that is responsible for the adjudicative functions of the Regulator;
(b) ensures the safety and security of persons, energy facilities and abandoned facilities and the protection of property and the environment;
(c) provides for the regulation of pipelines, abandoned pipelines, and traffic, tolls and tariffs relating to the transmission of oil or gas through pipelines;
(d) provides for the regulation of international power lines and certain interprovincial power lines;
(e) provides for the regulation of renewable energy projects and power lines in Canada’s offshore;
(f) provides for the regulation of access to lands;
(g) provides for the regulation of the exportation of oil, gas and electricity and the interprovincial oil and gas trade; and
(h) sets out the process the Commission must follow before making, amending or revoking a declaration of a significant discovery or a commercial discovery under the Canada Oil and Gas Operations Act and the process for appealing a decision made by the Chief Conservation Officer or the Chief Safety Officer under that Act.
Part 2 also repeals the National Energy Board Act.
Part 3 amends the Navigation Protection Act to, among other things,
(a) rename it the Canadian Navigable Waters Act;
(b) provide a comprehensive definition of navigable water;
(c) require that, when making a decision under that Act, the Minister must consider any adverse effects that the decision may have on the rights of the Indigenous peoples of Canada;
(d) require that an owner apply for an approval for a major work in any navigable water if the work may interfere with navigation;
(e)  set out the factors that the Minister must consider when deciding whether to issue an approval;
(f) provide a process for addressing navigation-related concerns when an owner proposes to carry out a work in navigable waters that are not listed in the schedule;
(g) provide the Minister with powers to address obstructions in any navigable water;
(h) amend the criteria and process for adding a reference to a navigable water to the schedule;
(i) require that the Minister establish a registry; and
(j) provide for new measures for the administration and enforcement of the Act.
Part 4 makes consequential amendments to Acts of Parliament and regulations.

Impact Assessment Act

[Robert Sopuck, Conservative, Dauphin—Swan River—Neepawa, MB]

Mr. Speaker, I was on the fisheries committee and the environment committee, where we asked witness after witness if they could detail in quantitative ways how the legislation in 2012 affected the environment. Not a single witness could provide any proof that the changes we made in 2012 had any effect on the environment. As we say back home, the Liberal and NDP comments about our legislation are simply wind and rabbit tracks and nothing else.

I want to ask my colleague how our government improved the economic situation in Canada with our changes to environmental legislation.

[Jacques Gourde, Conservative, Lévis—Lotbinière, QC]

Mr. Speaker, I thank my colleague for his question. He is absolutely right. We, on this side of the House, did our job when we were in government. We improved Canada's economic situation while reducing greenhouse gas emissions. As soon as we return to power, we will continue that work, which is being bungled at present.

[Deb Schulte, Liberal, King—Vaughan, ON]

Mr. Speaker, I am pleased to speak today in support of Bill C-69. As chair of the Standing Committee on Environment and Sustainable Development, I found it a privilege to be able to study this bill and report it back to the House with important amendments. These amendments were developed after listening to over 55 witnesses and receiving over 150 briefs from NGOs, indigenous peoples, unions, experts, and industry representatives. The amendments adopted were to bring more predictability, transparent decision-making, clarity on expectations, and timely reviews.

Our government is committed to regaining public trust in the review of projects and to getting Canada's resources to market. That is what this bill will do.

Since 2012, we have seen that weaker rules have hurt Canada's economy and our environment. Without public trust and support, projects cannot move forward and investment is put at risk. This bill would result in better rules to govern major project reviews, helping ensure that Canadians can benefit from over $500 billion in major resource projects planned over the next decade. It would provide predictable, timely project reviews to encourage investment. At the same time, it would ensure that our environment is protected and that we can meet our commitments to reduce carbon pollution and transition to a clean-growth economy.

Engagement with industry as well as with indigenous peoples, provinces and territories, stakeholders, and Canadians has been instrumental in the development of this bill. Over 14 months leading up to its introduction, the government heard from companies about what they need to keep good projects moving forward. Since then, the government has continued to stay engaged with companies, indigenous peoples, and stakeholders. Consistently, companies have told us that they need certainty about the process, about what is required and when, and about how decisions on project approvals are made. Bill C-69 would provide that certainty.

To begin with, one agency, the new impact assessment agency of Canada, would act as a federal lead for all major project reviews. This will result in reviews that are more consistent and more predictable. We have consulted with Canadians on the criteria that will form the basis for a revised project list, which will provide clarity on how our new rules will apply.

Through a new early planning and engagement phase, companies would be able to identify and address issues early on, before an impact assessment begins. The bill provides clarity on the scope and outputs of this new phase. It would result in tailored impact statement guidelines that reflect factors and requirements relevant to the project, as well as a co-operation plan, an indigenous engagement and partnership plan, a public participation plan, and, if required, a permitting plan.

Details on these products will be set out in regulations, which the government is consulting on now, and which would come into force at the same time as the impact assessment act. The early planning stage would define requirements and clarify expectations so that companies would know what was expected of them, and when. It would help them design and plan their projects and more effectively engage indigenous peoples, stakeholders, and local communities.

The minister would also be able to inform companies early on if a project is likely to have negative impacts, without stopping the process. This would give companies an earlier opportunity to decide whether to continue with an impact assessment.

Bill C-69 would ensure that companies know in advance what would be considered in a project review and in decision-making. Reviews would take into account not just environmental impacts, but also social, economic, and health effects, as well as impacts on indigenous peoples and their rights.

This bill would also provide strong transparency measures so that proponents are informed about key decisions, as well as the reasons behind them. That includes, for example, decisions to extend the timeline for a review or to refer a final decision on a project to cabinet.

When final decisions are made on whether a project will go ahead, the proponent would be informed of the reasons for the decision and would be assured that all key factors were appropriately considered.

Bill C-69 would also respond to what we have heard from industry by providing more timely assessments. Our better rules would include stricter timeline management, with shorter timelines for assessments. Specifically, timelines for agency-led reviews would be reduced from 365 to 300 days; panel reviews would be shortened from 720 days to a maximum of 600 days; and, in addition, panel reviews for designated projects reviewed in collaboration with a federal life-cycle regulator would be shortened to 300 days, with the option to allow the minister to set the timeline up to a maximum of 600 days if warranted, based on the project's complexity. As well, timelines for non-designated projects reviewed by life-cycle regulators would be shortened from 450 to 300 days.

Regulations would require clear rules around when timelines could be paused. When there is a decision to extend a timeline, the proponent would need to be informed about the reasons why.

I would like to briefly mention how Bill C-69 would support one project, one review, and how this would contribute to our goal of getting our resources to market. The bill would provide for joint reviews and substitution, in which a review process led by another jurisdiction would fulfill the requirement for a federal review. Those provisions would help promote co-operation with provinces and territories, reduce red tape, and prevent duplication. We are also increasing opportunities for partnership with indigenous peoples and for indigenous governing bodies to take on key responsibilities. That could include taking the lead on assessments through the bill's substitution provisions.

Our government has heard from industry how important it is for Bill C-69 to provide a smooth transition between the current assessment regime and the new regime. Transition provisions must be clear and predictable to encourage investment and keep good projects moving forward. Bill C-69 would provide that clarity by setting out objective criteria to identify projects that would continue to be reviewed under CEAA 2012, giving companies the option to opt into the new process, and confirming that no one would go back to the starting line.

I would just like to emphasize that as a result of the committee's work, Bill C-69 now includes stronger transparency provisions that would benefit proponents and provide more certainty and consistency across the legislation. For example, assessment reports would be required to incorporate a broader range of information, including a summary of comments received, recommendations on mitigation measures and follow-up, and the agency's rationale and conclusions. Public comments would have to be made available on the Internet, and information posted online would need to be maintained so that it could be accessed over time.

The standing committee also addressed feedback from industry that some smaller projects with federal life-cycle regulators, such as offshore renewable energy projects, could face longer reviews than they do now. The amendments address this by establishing a new timeline of 300 days for reviews of projects with a life-cycle regulator, with the possibility of setting the timeline to a maximum of 600 days, if warranted.

Complementing the existing provisions to support timeliness, the amended bill would set a clear 45-day timeline for establishing a review panel. The committee's amendments would clarify that public comments must be provided during a time period specified by the agency, so that meaningful participation would be ensured and balanced with the need for timely assessments.

The standing committee further advanced the objective of one project, one review. As a result of the committee's amendments, integrated review panels involving federal regulators would also be able to include other jurisdictions, making it possible to have just one assessment that meets all of the requirements. Finally, the standing committee responded to feedback from companies by making the bill's transitional provisions even clearer.

To conclude, the bill responds to what we have heard from companies, providing clarity on expectations and requirements, predictable timely reviews, and transparent decision-making. By rebuilding public trust, it would encourage investment and help create new jobs and opportunities for Canadians.

[Joël Godin, Conservative, Portneuf—Jacques-Cartier, QC]

Mr. Speaker, first, I would like to thank my colleague from King—Vaughan, who is a very generous and extraordinary individual. She does excellent work as the chair of the Standing Committee on Environment and Sustainable Development. I wanted to acknowledge that and thank her for it.

[Some hon. members]

Hear, hear!

[Joël Godin, Conservative, Portneuf—Jacques-Cartier, QC]

Members are right to applaud, Mr. Speaker. She does great work, but as I mentioned earlier, the process was expedited. I am not entirely convinced that, as parliamentarians, we did an excellent job, that our work was thorough and effective, and that it will really remedy the problems with the bill from 2012. I must say that I heard an expert in committee, a professor from Dalhousie University, suggest that we scrap this bill and start from scratch. I am not sure we were effective enough.

Could my colleague answer this question. Could we have been more effective and taken the time needed to, once again, really make the environment a priority?

[Deb Schulte, Liberal, King—Vaughan, ON]

Mr. Speaker, I thank my colleague for being so generous with his comments. I too really appreciate the work he does at committee. Generally, we have a very co-operative and collaborative approach. Lately, it has been a little rockier, but, overall, some amazing work has been done at committee and I appreciate his work greatly.

When it comes to the process, I know that my colleague will acknowledge that there was a lot of interest in this bill and that as a result, we invited a tremendous number of people from across the country. Indigenous groups, industry groups, union groups, specialists, and NGOs were very interested in speaking to us. We set a criterion for how to assess which groups would come. We chose those that speak for the country and then asked everyone else identified by the committee, more than 150 witnesses, to provide briefs. We went through those individually and brought forward over 400 amendments, which we discussed and voted on.

I specifically asked the committee many times to provide more time by extending the hours and days of consideration, and that was refused, so I think we did a pretty thorough job.

[Rachel Blaney, NDP, North Island—Powell River, BC]

Mr. Speaker, one of the realities in my riding of North Island—Powell River is just how much people care about the environment. We live in an amazing and beautiful area and need to know that the environment will be protected, because it means jobs and the well-being of indigenous communities, families, and people in the community.

One of the concerns I heard again and again, and continue to hear, is that there is a lack of trust and faith in the process. During the election campaign, the Liberal platform stated, “We will end the practice of having federal Ministers interfere in the environmental assessment process.” However, we know that in clause 17 of Bill C-69, we see the very opposite.

I would like the member to explain to me why the environment minister will still have a lot of power to make decisions. If we looking at a process that is going to meet the scientific evidence, and that is how decisions are going to be made, why is it that the minister will still have this incredible power and how will that allow communities to trust the process? When I talk to people in my riding, this just raises the concern again.

[Deb Schulte, Liberal, King—Vaughan, ON]

Mr. Speaker, that is a good question.

As we have already heard from some members today, the bill will strengthen some fundamentals. The amendments sought to provide certainty, respect for indigenous rights, clarity, and to restore trust.

The other issue I want to touch on is science. We wanted to make sure that there was a clear commitment to science. Science will inform the work that is being done. At the end of the process, we need to be accountable as members and accountable to the people of Canada. We have heard many times that science is important and has to be the basis of decisions, and if the minister is going to intervene, she will have to explain why she does what she does. That was not done before. We have put measures in the bill to make sure that if the minister and cabinet make a decision, they will have to justify why they made it. This strengthens and improves what we have today, for sure.

[Cheryl Gallant, Conservative, Renfrew—Nipissing—Pembroke, ON]

Mr. Speaker, as the member of Parliament for Renfrew—Nipissing—Pembroke, I am pleased to be given this opportunity, on the eve of the Ontario provincial election, to deliver a warning to voters about Bill C-69 about why they need to elect a majority Doug Ford Conservative government.

While there are many aspects of this government legislation that I find objectionable, the greatest cause for concern is the politicization of the Canadian energy board. The decision to move from a fact-based, scientific decision-making process to one based on greed is a regressive move that Ontario electricity ratepayers are all too familiar with.

Whereas under the previous Conservative government Canadians had an environmental and regulatory system that commanded the confidence of all Canadians, the Liberal strategy to invoke a culture war to deflect from the true fallacy of what is being proposed can only end badly for all Canadians.

Under the Conservatives, the National Energy Board was an arm's-length regulatory agency in the way the Ontario Energy Board used to be. The decision by the Toronto Liberal Party to stack the Ontario Energy Board with political appointees, which is similar to what is being proposed federally in Bill C-69, has resulted in the highest electricity prices in North America. Energy poverty in this province has become the new normal, particularly among seniors, anyone on a fixed income, and the working poor.

What is so very unfortunate is the support given by the NDP for these same failed energy policies, failed policies that are being repeated at the federal level in misguided legislation like Bill C-69, which we are discussing today.

Let me be clear: There is a direct link between the failed policies of Kathleen Wynne and the NDP, which supports those same policies. The direct link is Gerald Butts, the Prime Minister's principal assistant. He is the most powerful unelected, unaccountable, technocrat in Ottawa today. He is in the same position he held in Toronto when he set up the greedy policies that have resulted in Ontario being the most indebted subnational government in the world today.

As for the green hustle, anytime anyone questioned the “Greed” Energy Act, the environment was used as an excuse, with zero facts to back up the claim.

For the benefit of all Canadians watching this debate, I encourage voters in Ontario to go to the Global News website for stories from June 1, and watch its investigative story exposing the corruption that has reduced Ontario to a have-not province.

Global News obtained 4,000 pages of internal emails and documents from the now-defunct Ontario Power Authority showing billions of dollars in unnecessary spending that could have been avoided had the government followed the early advice of the Ontario Power Authority, which was tasked with designing many of Ontario's energy policies. In fact, according to Global News, when it comes to the FIT and microFIT programs, which are a key component of the province's greed energy act, documents show that decisions made by the Liberal government in 2009 and 2010, when Liberal Party insider Gerald Butts was in Toronto, as well as design flaws in the programs themselves, put Ontario on a collision course with rising electricity costs.

Brady Yauch, an economist and executive director at the Consumer Policy Institute, independently reviewed all 4,000 pages of documents and shared his views with Global News. According to the director of the Consumer Policy Institute, “The province hijacked the [FIT and Micro-FIT] programs from the very expert agencies it established to handle these types of technical, complicated energy policies. Worse still, [the Liberal Party ignored]...concerns of those experts [about] overpaying [electricity] generators.” Mr. Yauch observed, “That’s very concerning, because now you have a political electricity system, as opposed to one that’s based on economics or cost-effectiveness.”

This is what Bill C-69, the federal legislation we have before us now, will do at the federal level.

Further quoting Global News, the man responsible for designing the FIT and microFIT programs, Jim MacDougall, also said that the government “ignored” expert advice that could have saved Ontarians billions of dollars in greed energy spending. So much for fact-based, scientific decision-making. The Liberal Party refused to answer specific questions about the FIT and microFIT programs in relation to the Global story.

As Global News reported, “Independent Electricity System Operator (IESO), which merged with the Ontario Power Authority in 2015, also refused to answer specific questions about design and implementation of” the failed programs. “Instead, it provided a written statement to [Global News] saying the OPA 'worked closely'” with its political masters “to make sure that the programs met the government's 'broader economic and environmental policy objectives.'”

On October 1, 2009, the OPA started receiving applications through the renewable energy programs it was directed to create. Unlike the main program, designed for large-scale commercial projects, such as big solar farms, industrial wind turbine installations, and hydroelectric dams, the microFIT program was supposedly “created so homeowners could put a solar panel on their roofs to 'offset' electricity use and lower hydro bills.”

The Global News report continues:

What ended up happening, however, is the [Ontario Power Authority] was quickly overwhelmed by the number of Micro-FIT applications it received.

Electricity bills started to skyrocket.

By mid-November, about six weeks after the program was launched, emails show the [Ontario Power Authority] was worried some applicants were “gaming” the system—meaning that people were submitting multiple applications for small solar projects on the same property, which, though technically not against the rules, violated the “spirit” of the program.

“Aggregators”, as they became known, submitted hundreds of Micro-FIT applications with plans to set up solar panels on “vacant lots” or on farmers' fields. This was a problem, because Micro-FIT contracts were to pay nearly double what large solar projects received.

And because the cost of building larger projects was significantly lower than what a homeowner might pay to put a solar panel on a roof, aggregators received higher government payouts than the...OPA initially intended.

One of the worst abusers of the greed energy program was the Ontario president of the Liberal Party of Canada, Mike Crawley. His company received a contract that guaranteed $66,000 a day for 20 years, or $475 million over the life of the contract. During the bidding process, he even had the nerve to send out an email encouraging various other parties to attend an infamous pay-to-play soirée, at $5,000 a pop. Liberal Party—

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Mr. Speaker, I am rising on a point of order. I know the member for Renfrew—Nipissing—Pembroke is very entertaining, and I hate to interrupt the flow of the narrative, but it has nothing to do with Bill C-69.

[The Assistant Deputy Speaker, Anthony Rota]

I want to thank the hon. member for her point of order, but normally what happens is I leave it to the individual members to come to it. I am sure the hon. member will bring it around to tie into what we are talking about.

The hon. member.

[Cheryl Gallant, Conservative, Renfrew—Nipissing—Pembroke, ON]

Mr. Speaker, the $475 million payout for the solar panel company he was with was even more astounding when we consider the fact that most of the power electricity consumers are forced to pay for from that contract is sold at a loss to American border states.

People gaming the system could have been avoided. However, this is what happens when a regulatory body is stacked with partisan political appointees, which is what Bill C-69 would do.

Consumer watchdog Brady Yauch said this was a big mistake and that the OPA was ignoring the issue of aggregators. How many billions of dollars the greed energy policy actually ends up costing us remains to be seen.

The email said:

It's one thing to keep...government in the loop with changes and issues. But it's another thing to take direction from government—especially on very detailed programs.

These are technical issues that the government does not fully understand

Mr. MacDougall said,

Like I said, I no longer know where the lines are between [the Ontario Power Authority] and government.

I think the government didn't trust the OPA to launch and roll out this program as aggressively as they wanted us to.

When we would give advice they would consider it, but they would make their own decisions and largely ignore some of the key policy recommendations that we were trying to put into place.

The Global News article continued, “The government refused to answer specific questions about whether the policy advice was being ignored.”

If government members want to understand why Kathleen Wynne conceded the election to Doug Ford last weekend, they should heed the Global News story I have been quoting from. The parallel is the pipeline debacle that is unfolding as I speak. There is real anger in Ontario over the mismanagement of Ontario—

[The Assistant Deputy Speaker, Anthony Rota]

Questions and comments, the hon. member for Lac-Saint-Louis.

[Francis Scarpaleggia, Liberal, Lac-Saint-Louis, QC]

Mr. Speaker, I am so pleased that the previous Harper government never made any political appointments, nor tried to tell institutions like the Supreme Court what to do.

The bill talks about streamlining the process, creating a one-project, one-review model, allowing for equivalency with provinces to eliminate duplication. It would allow companies greater certainty and would permit companies to save money by being able to plan better, because they would know what was expected of them. I wonder if the hon. member does not think those are good things, from a business point of view.

Second, we know that the northern gateway pipeline failed in the court because the process did not properly consult indigenous peoples. This bill would allow for greater consultation. Would that not make those projects more court-proof?