Evidence of meeting #2 for Subcommittee of the Standing Committee on Finance on Bill C-38 in the 41st Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was environmental.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Jayson Myers  President and CEO, Canadian Manufacturers and Exporters - Ontario Division
Christopher Smillie  Senior Advisor, Government Relations and Public Affairs, Building and Construction Trades Department, AFL-CIO, Canadian Office
David Collyer  President, Canadian Association of Petroleum Producers
Denise Carpenter  President and Chief Executive Officer, Canadian Nuclear Association
Terry Rees  Executive Director, Federation of Ontario Cottagers' Associations
Peter Meisenheimer  Executive Director, Ontario Commercial Fisheries' Association
Ward Prystay  Principal, Environmental Services, Stantec Consulting Ltd., Canadian Construction Association
Pierre Gratton  President and Chief Executive Officer, Mining Association of Canada
Ray Orb  Vice-President, Saskatchewan Association of Rural Municipalities

10:15 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

You said the provincial and federal assessments are synchronized, and....

10:15 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

I apologize, but I suggest you read our brief. We actually explicitly called for—

10:15 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

I did, sir, and I thank you for that.

10:15 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

We actually explicitly called for equivalency, and we've been advocating equivalency for several years now.

10:15 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

The Canadian Environmental Assessment Agency would be able to exempt a designated project from even going through the assessment process.

What are you comments on that, please?

10:15 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

We have serious doubts that it would ever apply to a mine. We fully expect every mine to be subject to an environmental assessment. Whether it's substituted to a provincial government or not, it will be reviewed. We fully expect that and accept it as part of our responsibility.

10:15 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

Since you've brought up equivalency, I'm wondering whether you could tell me which federal laws are stronger than provincial laws.

10:15 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

It can vary. There are a number of provincial water quality standards, for example, that are more stringent than the federal. But I think in this particular case you're talking about environmental assessments, so let's look at this.

The notion of equivalency, which we had recommended—

10:15 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

Actually, I'm going to do what Mr. Julian did, with respect. I am going to move on.

Are you aware whether any assessments of the adequacy of the environmental assessment process in each province and territory have been conducted and what the costs are to each of the provinces and territories?

10:20 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

In the history of federal-provincial assessment, there has only been one mining project on which the two governments disagreed. In every other case, both assessments came to the exact same conclusion, which begs the question as to whether it's really necessary to have two reviews or whether you can't find a way for one level of government—

10:20 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

With respect, that wasn't the question.

10:20 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

—either the province or the federal government, to undertake it.

10:20 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

With respect, that wasn't the question.

The question is, are you aware whether any assessments of the adequacy of the environmental assessment process in each province and territory have been conducted, and what are the costs to each of the provinces and territories, please?

10:20 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

What are the costs to each province and territory? No, I can't say that I'm aware of that. I don't understand the purpose of the question either.

10:20 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

Are you aware whether there's been an assessment of the adequacy of the environmental assessment process in each province and territory? If you want to look at equivalency, this matters profoundly.

10:20 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

Yes, and I think our provincial and federal governments can come to an understanding on whether, for example, the Quebec environmental assessment system, le BAPE, which is considered to be one of the strongest in the country, can cover off assessments of mining projects.

10:20 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

So you're not aware of any—

10:20 p.m.

Conservative

The Chair Conservative Blaine Calkins

Thank you, Ms. Duncan. Unfortunately, your seven-minute round has expired.

Ms. Ambler, you have up to five minutes, please.

10:20 p.m.

Conservative

Stella Ambler Conservative Mississauga South, ON

Thank you, Mr. Chair.

And thank you to our guests for being here tonight.

One of our earlier witnesses mentioned, to quote him, that “...young people are...building a life on these projects”. He was talking about oil sands projects specifically. He talked about some of these projects that are going forward, or that could be going forward, as “50-year jobs”, for which young people are currently training.

Mr. Prystay, as an organization representing contractors, how do delays in project approvals affect these young people? As well, how do they affect your stakeholders?

10:20 p.m.

Principal, Environmental Services, Stantec Consulting Ltd., Canadian Construction Association

Ward Prystay

CCA members are able to take advantage of construction opportunities after projects have been able to complete their environmental assessment and permitting processes. If there are delays in those processes, there's no opportunity to start work.

10:20 p.m.

Conservative

Stella Ambler Conservative Mississauga South, ON

That's fairly simple, but a good answer. Thank you.

What is the value of investment on offer for construction related to responsible resource development?

10:20 p.m.

Principal, Environmental Services, Stantec Consulting Ltd., Canadian Construction Association

Ward Prystay

Canada has recently become a global provider of natural resources and energy. A recent study released by PricewaterhouseCoopers has forecast that Canada's construction market will become the world's fifth largest by 2020, primarily on the strength of global demands for energy and natural resources. Only the United States, China, India, and Japan will rank higher. Some feel that Canada may even surpass Japan.

Canadians rely on foreign investments to fund these projects and bring the capital necessary for construction of these facilities. To secure these dollars, Canada really needs to provide investors with regulatory certainty. We expect that the proposed reforms will ensure that Canada is well placed to take advantage of this, with more than $500 billion in major economic projects in Canada in the next 10 years.

10:20 p.m.

Conservative

Stella Ambler Conservative Mississauga South, ON

Thank you.

Mr. Gratton, as part of the statutory review of the Canadian Environmental Assessment Act, the environment committee heard examples, such as the park bench that needed an environmental assessment under the old process.

Do you think the new approach in Bill C-38 is more balanced? If so, what effect do you think it will have on the environmental assessment process?

10:20 p.m.

President and Chief Executive Officer, Mining Association of Canada

Pierre Gratton

The Auditor General, in her 2008 review of the Canadian Environmental Assessment Act, concluded that the government was not able to demonstrate that the screening level was reviewed and had provided Canadians with any environmental benefit. That was largely the impetus behind the changes to clear out those lower-level screenings that take up a lot of time but don't actually protect the environment.

That being said, none of our projects are subject to screenings, so we didn't have an opinion and had no direct interest in whether they were eliminated or not.

We did see value from a government savings point of view. If you had fewer people doing screenings, you might have people available to do major reviews, which is where our projects fall.

10:25 p.m.

Conservative

Stella Ambler Conservative Mississauga South, ON

Do you think a two-year time limit is reasonable for large projects for panel reviews?