Thank you, Mr. Chairman.
It's my turn to thank you for affording me the opportunity to come and talk about the activities of the Canadian Environmental Assessment Agency.
This is a very interesting time for the Agency. As you have no doubt already noted, our budget has sharply increased. In my preliminary remarks, I plan to focus on three points. First, I want to provide some brief background on the federal environmental assessment process. Second, I will describe how new funding proposed for 2008-2009 is leading to a transformation of our Agency. Finally, I would like to look ahead to the 2010 review of the Canadian Environmental Assessment Act.
First, very briefly, here is some context on environmental assessment. In the simplest terms, EA is a process to predict and evaluate possible environmental effects and then to propose measures to mitigate those adverse effects. Making changes to the design of a project before construction starts is a cost-effective way to protect the environment and the health of Canadians.
Our legislation, CEAA, applies to proposed projects where a federal authority—a department, agency, or crown corporation—has a decision to make as the proponent of the project, as a source of funding for the project, as the land manager, or as the regulator for the project. It is a self-assessment process, and this means the federal body that has the decision-making authority in relation to the project is also responsible for ensuring that the EA is conducted.
The types of projects that are assessed under our system, some 7,000 to 8,000 per year, range from relatively benign projects such as a hiking trail in a national park to much more complex and controversial projects, like a nuclear reactor, for example.
Projects will undergo a screening, a comprehensive study, or a panel review, depending on the potential for significant effects and public concern.
Within this self assessment process, our Agency provides advice and training. We coordinate the assessment of larger projects and support independent review panels appointed by the Minister of the Environment. We also work closely with provinces so that a single EA meets the legal requirements of both jurisdictions.
Turning now to our proposed spending, the 2008-09 main estimates propose a net increase of $17.9 million, for a total spending of $34.5 million, which is slightly more than double our previous budget. This significant increase is due to the following factors.
First, under the government's initiative to improve the performance of the regulatory system for major resource projects, the agency will now lead the EAs of most of these projects on behalf of the responsible departments.
Second, a surge of investment in the resource sector means that additional scientific and technical capacity is required, including support for more review panels. Adding capacity and shifting primary responsibility for delivery of the process from multiple departments to the agency is intended to improve the timeliness and the predictability and to ensure high-quality information for decision-makers.
Finally, where the agency manages an EA, it will also assume the very challenging role of coordinating consultations with aboriginal groups and communities about potential impacts of proposed projects on their rights and interests.
Now how will the transformation that I referred to earlier occur? In practical terms, this new funding means we will be able to recruit and retain additional scientific and technical staff, primarily in our six regional offices across the country. That means an increase in our staff of between 90 and 100 new employees. That's significant growth.
In addition, with this capacity, our Agency will play a more prominent leadership role in managing specific EAs, something that environmental and industry stakeholders have been recommending for years.
It should also be noted that, as part of our transformation, there is an increased emphasis on tracking, measuring and reporting performance.
Finally, I'll say just a few words about statutory review. The act is scheduled for review in 2010 by a parliamentary committee, a requirement coming out of amendments that followed the previous five-year review in 2003. Everything we learned from our continuing efforts to improve the timeliness, predictability, and quality of the EA process will serve to inform this review.
Thank you, Mr. Chairman. I welcome questions.