Bill C-49

An Act to amend the Canada—Newfoundland and Labrador Atlantic Accord Implementation Act and the Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act and to make consequential amendments to other Acts

This enactment amends the Canada–Newfoundland and Labrador Atlantic Accord Implementation Act and the Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act to, among other things,
(a) change their titles to the Canada–Newfoundland and Labrador Atlantic Accord Implementation and Offshore Renewable Energy Management Act and the Canada–Nova Scotia Offshore Petroleum Resources Accord Implementation and Offshore Renewable Energy Management Act , respectively;
(b) change the names of the Canada–Newfoundland and Labrador Offshore Petroleum Board and the Canada-Nova Scotia Offshore Petroleum Board to the Canada–Newfoundland and Labrador Offshore Energy Regulator and the Canada–Nova Scotia Offshore Energy Regulator, respectively (“the Regulators”);
(c) establish the Regulators as the regulating bodies for offshore renewable energy projects;
(d) establish a land tenure regime for the issuance of submerged land licences to carry out offshore renewable energy projects, as well as the revenues regime associated with those licences and projects;
(e) establish a ministerial decision-making process respecting the issuance of submerged land licences and the Regulators’ exercise of certain powers or performance of certain duties;
(f) expand the application of the safety and environmental protection regime and its enforcement powers to include offshore renewable energy projects;
(g) provide that the Governor in Council may make regulations to prohibit the commencement or continuation of petroleum resource or renewable energy activities, or the issuance of interests, in respect of any portion of the offshore area that is located in an area that has been or may be identified as an area for environmental or wildlife conservation or protection;
(h) authorize negotiations for the surrender of an interest, the cancellation of an interest if negotiations fail and the granting of compensation to an interest owner for the surrender or cancellation;
(i) establish the regulatory and liability regime for abandoned facilities relating to petroleum-related works or activities or offshore renewable energy projects;
(j) expand the application of the occupational health and safety regime to offshore renewable energy projects;
(k) allow the federal or provincial governments to unilaterally fund certain expenses incurred by the Regulators as a result of specific requests made by that government;
(l) allow new methods to demonstrate the existence of significant hydrocarbon accumulations in a geological feature and limit the duration of future significant discovery licences to 25 years;
(m) provide that the Governor in Council may make regulations to regulate access to offshore infrastructure, including to enforce tolls and tariffs;
(n) establish a new transboundary hydrocarbon management regime to regulate fields or pools that straddle domestic and international administrative boundaries, enabling the implementation of the Canada-France transboundary fields agreement;
(o) remove references to the former Canadian Environmental Assessment Act, 2012 and, to align with the Impact Assessment Act , clarify the role of the Federal and Provincial Ministers and Regulators with respect to the conduct of impact assessments of designated projects as well as regional and strategic assessments; and
(p) specify that the Crown may rely on the Regulators for the purposes of consulting with the Indigenous peoples of Canada and that the Regulators may accommodate adverse impacts to existing Aboriginal and treaty rights recognized and affirmed by section 35 of the Constitution Act, 1982 .
Finally, it makes consequential and terminological amendments to other Acts.

Canada—Newfoundland and Labrador Atlantic Accord Implementation Act

[Stephen Ellis, Conservative, Cumberland—Colchester, NS]

Madam Speaker, when we know that Newfoundland and Labrador have significant reserves of natural gas, it would be folly to continue to allow those things not to develop. It does not stand to reason.

We know that we cannot quickly pivot and allow renewables to be the only source of energy. We know that, whether we like it or not, there is a very good chance that natural gas will continue to be a part of the prosperity of Newfoundland and Labrador.

[The Assistant Deputy Speaker, Carol Hughes]

Before we continue, I want to remind members of a couple of rules of the House, which are that, if they wish to speak, they should stand to be recognized, and if they wish to ask a question or make comments, they need to be in their seat.

[Kody Blois, Liberal, Kings—Hants, NS]

Madam Speaker, on a point of order, I would like to seek unanimous consent to table a document from Premier Houston in relation to a comment that he made on calling on—

[Some hon. members]

No.

[The Assistant Deputy Speaker, Carol Hughes]

It appears that the hon. member did not consult to get unanimous consent. I already hear that there is no unanimous consent.

[Churence Rogers, Liberal, Bonavista—Burin—Trinity, NL]

Madam Speaker, it is certainly an honour for me to stand in the House and speak in support of Bill C-49. It has had a great history behind it, with much debate that took place in the 1950s and 1960s about resources off the coast of Newfoundland and Labrador and Nova Scotia. Typically, as we see in Canada, compromises were made, and the Atlantic accords were put in place to deal with the jurisdiction off Newfoundland and Labrador's coast and followed by Nova Scotia a year later.

The original agreement was, as Newfoundland and Labrador's then premier, Brian Peckford, stated, consistent “with a strong and united Canada”. The day the first of the two accords was signed, the agreement between Newfoundland and Labrador and Canada, the prime minister at the time, the Right Hon. Brian Mulroney, said in his speech, “It is unquestionably an historic Accord, probably the most important agreement reached between Ottawa and St. John's since Newfoundland entered Confederation”.

The House resumed consideration of the motion that Bill C-49, An Act to amend the Canada—Newfoundland and Labrador Atlantic Accord Implementation Act and the Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act and to make consequential amendments to other Acts, be read the second time and referred to a committee.

[Mike Kelloway, Liberal, Parliamentary Secretary to the Minister of Fisheries]

Mr. Speaker, I rise in the House on a matter of great importance for Atlantic Canadians, in particular constituents of Nova Scotia and Newfoundland and Labrador. Today, I am going to speak to Bill C-49, an act to amend the Atlantic accord acts. Introduced by our government this spring, this is a piece of legislation that intends to bring Nova Scotia and Newfoundland and Labrador into the green energy future. More specifically, our government intends to strengthen and modernize the regulations governing their offshore regimes.

As a proud Atlantic Canadian, I can tell members about the importance of safeguarding our unique coastal environment, as well as the importance of creating sustainable economic opportunities at home. This is especially true given the events of the past year in Atlantic Canada.

This last year, we saw a once-in-a-lifetime hurricane, Fiona, followed by an uncontrollable once-in-a-lifetime wildfire, followed by deadly once-in-a-lifetime flooding. This devastating sequence of events is no coincidence. It is the consequence of a climate emergency that has been brewing for decades. It is the consequence of leaders who do not recognize that we must act now to protect our communities.

Atlantic Canadians needed economic growth this year. What they did not need was a significant taxpayer bill for climate disaster cleanups. That is why Bill C-49 would support Canada's clean energy sector to fight the climate crisis. That is why Bill C-49 would unlock the incredible economic potential that lies in the renewable industries within Nova Scotia and Newfoundland and Labrador.

I cannot speak for the official opposition, but my constituents in Cape Breton—Canso sent me here to do my part to make government work for them. The same is true for my government colleagues on this side. We are here to work for all Atlantic Canadians and for all Canadians. With that, our government intends to do the right thing for the economic and environmental future of Atlantic Canadians. I will discuss how this legislation is going to help in that effort.

The world is now looking for cleaner sources of energy, and offshore renewables are becoming a leading contender in that very search. As we look to the future of Canadian energy, offshore renewables have the potential to not only help Canada achieve its net-zero goals, but bolster our energy capacity in sustainable ways. However, current regulations are standing in the way of these very crucial renewable projects. That is why Bill C-49 would remove the red tape that is currently preventing green energy projects from getting under way. In fact, without this legislation, not a single offshore wind project can be built, which is an important fact to note. This fact alone should be sufficient to convey the importance of passing this bill.

The reality of the situation is that if we do not create the regulatory environment that allows these clean energy projects to go forward, then massive private sector opportunity will go elsewhere. In other words, Canada has the opportunity right now to be a leader in the emerging offshore renewable industry. If we do not rise to the occasion and become the leader, another jurisdiction surely will. Our government believes that meeting this moment to chart a new path for Atlantic Canada and indeed all Canadians is here.

However, Bill C-49 is not just about removing red tape. It is also about advancing our commitment toward strengthening our environmental protection. This legislation would ensure that the Government of Canada's MPA protection standard is applied in a manner that respects the joint management framework for the Atlantic offshore. It would also provide the federal minister and provincial officials with the ability to prohibit oil and gas activities in areas that could be important for marine conservation and protection.

This is an incredible step forward in our commitment toward expanding Canada's energy capacities in a responsible and sustainable way. It is also reflective of the great partnership we forged with our stakeholders and provincial counterparts, which has allowed us to work together toward common goals. It is why the governments of Nova Scotia and Newfoundland and Labrador have declared their support for this bill. In fact, the Premier of Newfoundland and Labrador has gone so far as to publicly urge the federal opposition parties to support the passing of Bill C-49. I wish to echo this statement and reiterate to my opposition colleagues that the legislation is indeed critical for the future of Canadian energy. I would say it is critical for economic development in Atlantic Canada writ large.

The Conservatives, and many of them are colleagues of mine, have been talking a lot about common sense, but on this item, they seem to intend to vote against Bill C-49. I do not see the common sense in that. I believe that the magnitude of the opportunity before us is real and that the regulatory framework is strong. It is important for me, as a member of Parliament, to reach across party lines and ask for their support. It is support for Atlantic Canadians and support for coastal communities.

This regulatory framework would indeed provide it to rural communities like mine in Cape Breton—Canso. Historically, in my riding, we have felt left behind in large-scale investments. The large-scale investment that I think can happen here is the best case scenario. It is private sector investment. Eventually, no doubt there will be government support, but this should be led by the private sector, which is so key.

We are partnering with Atlantic Canadians to work on offshore wind and green hydrogen. I think that is fundamentally what common sense is about. It is about working together and working together for the common good. Canada is well positioned to lead, as we all know in this chamber, the clean energy economy, but we need to make the right choices now. That is what Bill C-49 is all about.

With that, there is a simple conclusion that I would like to make here. A vote against Bill C-49 is a vote against unlocking historic economic investments in Atlantic Canada. A vote against Bill C-49 is a vote against bringing good, sustainable jobs to my area, to the Atlantic region. A vote against Bill C-49 is a vote against the premiers of Nova Scotia and Newfoundland and Labrador, with whom we have worked together to bring these projects to life. A vote against Bill C-49 is a vote against putting partisan politics aside for the betterment of our constituents.

I implore each member of this honourable House to vote with us on this legislation. Let us all do the right thing for Atlantic Canada with Atlantic Canada. Let us work to pass Bill C-49.

I am thankful for this opportunity. I look forward to working not only with members on this side of the House but with the opposition to make this legislation a reality.

[Clifford Small, Conservative, Coast of Bays—Central—Notre Dame, NL]

Madam Speaker, I heard the Liberal member, the Parliamentary Secretary to the Minister of Fisheries, Oceans and the Canadian Coast Guard, talk about the Premier of Newfoundland and Labrador and the Premier of Nova Scotia. Those premiers will answer to their electorate if they do the wrong thing by their electorate and by the industries that are going to be impacted either positively or negatively by offshore wind or offshore oil and gas.

There is a little paragraph in the summary of Bill C-49, and if our Liberal members from Atlantic Canada do not have the time to read the bill, they can read this. The bill provides that the Governor in Council, the Prime Minister and his cabinet, can “make regulations to prohibit the commencement or continuation of petroleum resource or renewable energy activities, or the issuance of interests, in respect of any portion of the offshore area that is located in an area that has been or may be identified as an area for environmental or wildlife conservation or protection”. Does the member agree that item (g), referencing proposed section 56 in this bill, could be removed? If so, I would support a bill that takes out—

[The Assistant Deputy Speaker (Mrs. Alexandra Mendès), Alexandra Mendes]

The hon. parliamentary secretary.

[Mike Kelloway, Liberal, Cape Breton—Canso, NS]

Madam Speaker, the member across asked if we read. I can tell him that in Cape Breton, they do teach reading and writing and we are quite good at it.

I will also say this. When we look at this particular bill, it is looking at focusing on greater collaborations. I think the premier and the governing party in Newfoundland and Labrador understand the importance of collaboration and understand working for the benefit of the future, for jobs and for economic development. They understand that.

We can sit here all day and pontificate and throw barbs, as we do from time to time, but we are here as Atlantic Canadians to get people to work, to become economically resilient for our region and to export our energy in Atlantic Canada to Europe.

[Kristina Michaud, Bloc, Avignon—La Mitis—Matane—Matapédia, QC]

Madam Speaker, at the end of his speech, my colleague spoke about the various impacts of voting against Bill C‑49. I wonder whether a vote for Bill C‑49 is a vote for increased oil and gas production in eastern Canada. I think that is a fair question.

I would like to know what my colleague thinks about that.

[Mike Kelloway, Liberal, Cape Breton—Canso, NS]

Madam Speaker, this vote would change the regulatory framework to make renewable opportunities not just words on paper but a reality. For a long time, we have been looking at opportunities to green the grid in Atlantic Canada. This would provide a spoke on the wheel to do that. It would also provide an opportunity for us to become energy resilient as a region and look to offshore wind and green hydrogen to export to the rest of the world.

That is what we as Atlantic Canadians are focusing on. I hope everyone here thinks the same way and votes for this bill.

[Brian Masse, NDP, Windsor West, ON]

Madam Speaker, the Parliamentary Budget Officer recently came to the industry committee and noted that the Trans Mountain pipeline right now is at $22 billion and continues to absorb more public money, which the government does not have a response to for the future, other than just continuing to pay. That is what the Liberals agreed to do. The Liberals also recognized the work of Stellantis and Volkswagen in the $22-billion investment deal for batteries. That is tied to production and labour.

Is the member confident that the renewable energy and non-renewable energy projects and investments are going to be tied to labour and production so that there will be measured hours for persons who are basically paying for this project as subsidies?

[Mike Kelloway, Liberal, Cape Breton—Canso, NS]

Madam Speaker, when we look at this particular bill, it is focused on establishing a regulatory framework and is basically amending the existing act to include offshore wind, hydrogen and renewables. However, I think any economic development opportunity in Atlantic Canada absolutely needs to be tied to set-asides for jobs and working with first nations communities in the Atlantic region.