The second question, I believe, comes to the business of sea lice resistance. Just as a brief explanation, what will happen with any animal that is regularly exposed to a pesticide--or in a plant case, to an herbicide--is the regular exposure can cause tolerance to build.
We have seen that situation develop elsewhere in the world with respect to a chemical that's called SLICE. SLICE, for those of you who are not aware, is applied to farm fish in feed. It's mixed in with the feed pellets and it's ingested by the animal. It's a neurotoxin, so when a louse attaches to the side of a salmon, it attacks the nervous system of the louse and causes it to essentially become immobilized and fall off. If continuous exposure to SLICE occurs, we have seen lice develop tolerance to that.
We have absolutely no evidence of that whatsoever in British Columbia. We know that this is one of the latest suggestions that has come forward. We have looked into that situation, which has been profiled frequently on the web. But it's not just that.
SLICE is not applied with enough regularity and enough intensity in British Columbia for lice around it to develop resistance, at least as we have seen. We are not aware of any situation anywhere else in the world, and we have asked. I have spent time talking to my counterparts, particularly in Norway, Scotland, Ireland, and Chile, about this issue, and we know that if you.... You would never want something to develop tolerance, but if you were looking for tolerant situations, the level and frequency of exposure would have to be orders of magnitude higher than it is in British Columbia.
So we have not seen tolerance to SLICE develop in B.C. We don't think it's there. We know that there are others who do, and we have tests that are under way as we speak. I wish I could share the information, but it's not finished yet. However, we're not aware of SLICE tolerance building in B.C. right now. We don't think that's an issue there.
Do you want me to just continue with your third one? Relationship to the inquiry, we've covered that a little bit. But certainly one of the items in the terms of reference of the commission of inquiry is to look at the potential impact of aquaculture on salmon populations. At this point, as I mentioned earlier, the regulation process will need to continue in order to respond to the court deadline. So the inquiry will not have any effect on that timeline.
Obviously the government will want to wait to see what the advice and the guidance coming from the commission is and respond to it in due course. I don't know what it will be, so obviously I can't tell you how we would potentially respond as a department, never mind what the broader government response would be.
I can tell you that in terms of going forward with federal management in the industry, we don't foresee any massive policy shifts on December 19, at two in the morning, two hours after we take over, so to speak. The government is not going to proceed in a reckless manner in any kind of way, shape, or form. So I think that we will see a steady and measured approach, and when the results of the inquiry come to the government, insofar as they deal with aquaculture, the government will treat them when we have them.
I have one final quick comment on closed containment, which you asked a question about as well. Part of our take on this is that salmon farmers are in the business to make money. If closed containment is a way to more efficiently produce fish with lower social licence costs, if you will, lower opposition, and a financial return, they'll go there themselves. They don't need the government to tell them that. They will figure out the most cost-effective way to produce their product, to sell it at market, and to make a profit. So if it appears that this is the technology that really does hold the future, I believe that the industry will go there.
To some degree the government is doing what it can to support the exploration of different technologies, to help the industry prove them out, to share some of the risk around some of them. There are things like the sustainable development technology fund and other things.
So by all means the federal government, and I believe the province as well, is committed to fostering the study and development of that technology. If it proves to be the way of the future, then we'll see that's the way it will go. But I think the industry will go there predominantly of its own accord if that's the way that makes the most financial and economic and environmental sense.