Indigenous and Northern Affairs Committee on Oct. 15th, 2018

[Don Rusnak, Thunder Bay—Rainy River, Lib.]

Thank you for presenting today.

I, like Ms. Blaney, am very curious. One of my curiosities is in terms of transmission projects. Marco was talking about the long-term, generational connection projects. Are there many of those projects contemplated or included in the framework that's being developed, either through the Department of Northern Affairs or NRCan, or any of the other departments that are here today? You're saying there's an all-of-government approach.

[Marco Presutti]

I'm not sure if I'm the best person to speak to the Arctic policy framework. Is that what you're referring to?

[Don Rusnak]

Yes.

[Marco Presutti]

I don't think that's the case.

I don't know if one of my colleagues would want to mention that.

[Wayne Walsh]

I'm not sure I understand your question.

[Don Rusnak]

There are a couple of different options for getting electricity into the communities. Most of the communities in the Arctic region operate on diesel generators. Some communities, in and around my riding, operate on diesel generators.

I know that recently—not in my riding, but just outside of my riding—there was an announcement of a GRIDLINK project, in the range of about $1.6 billion. I wonder if it's economically responsible to connect communities to transmission grids that are so far away, rather than investing in.... I get what Marco is saying, that there needs to be a mix of renewables—either wind turbine energy or solar energy—and perhaps natural gas, LNG, or diesel.

In the Arctic policy framework, are there grid connections that are contemplated?

[Wayne Walsh]

The short answer is yes. The long answer is that what our partners have been telling us is “Local solutions to local challenges and problems”—where grid connections make sense, but not necessarily grid connections. Some of the projects we've heard.... Some of the potential for a grid connection into Nunavut, for example, is through Churchill, so this is an opportunity where it might make sense to extend the transmission line from Churchill into Nunavut.

The Government of the Northwest Territories, right now, is very keen on its Taltson electric project. It's looking to expand that. That's a locally produced source of energy that it's looking to transmit to the larger population centres, and even into the diamond mines, up into Nunavut in the central Arctic.

I guess the answer is, where it makes sense, in terms of whether there is potential for local production, potential for building hydro facilities in the north. You're right that the sentiment, generally, is that it's very expensive, if not prohibitive, to try to link the south to the north. There will be some cases where we're looking at reducing reliance on diesel.

One thing we noted, and we've heard this consistently, is that Alaska is one of the largest producers of renewable energy in the United States. If they can do it in their Arctic, what are some of the lessons learned that we can do? My colleague pointed out, quite rightly, that we'll probably never get away from diesel. We'll probably need diesel as a backup, but if there are ways of reducing it, that's something to look at.

The other thing that wasn't mentioned but we heard it a lot in our engagement was looking at the potential of waste management. Again, it's more cutting-edge technology. Some of the Nordic countries are burning waste to produce energy. We have landfill issues across the Arctic. Is that an untapped resource, for example? There are lots of different innovative ways to look at things.

[Don Rusnak]

That's what I'm getting at. I think we need to be innovative.

One of the questions rolling through my head had to do with the Arctic policy framework and looking at providing energy and all the other things these communities need in terms of transportation, food supply and housing. The cost is absolutely enormous. I'm from northern Ontario, and I know our costs are huge on their own, but I spent a bit of time in the Northwest Territories, and in the Arctic it's hugely expensive to do anything.

It's almost a cart-before-the-horse situation. You want NRCan to help communities develop their resources in a responsible way, with the full participation of the indigenous communities, in order to help pay for the services that are needed in the north. In my riding, especially in the western part of my riding, a lot of the indigenous communities want to participate fully in the economy, but they want to do it in their own way. They want to do it with some say in how the project is managed and developed through its whole life cycle.

I know the departments are respecting the communities in the development of the framework, but what has NRCan been doing with the indigenous communities in terms of developing capacity? What programs are available and what support is there for communities that want to get involved in resource development?

[Marco Presutti]

As I mentioned earlier, what we did with the design of this particular program was to carve out a certain amount of money to try to target communities where there is a capacity issue. We recognize that not all communities are at the same level, and we want to have projects across the country. We want to hit communities where there are socio-economic benefits, so we are working with those particular communities. We have also designed the program so that we don't have just one intake process for proposals at the beginning. There's a continuum.

[The Chair, Liberal, MaryAnn Mihychuk]

Thank you.

We'll move on to MP Arnold Viersen.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Thank you, Madam Chair.

Thank you to our guests for being here today.

Coming from Alberta, I know that infrastructure kind of follows resource development. People discover resources, and they want to get there. This brings the roads. Once the roads are there, they need Internet access, so they get Internet, and then similarly the power lines come down.

Do you have any breakdown on the potential resources that are out there? The oil sands in Alberta, for instance, contain $3 trillion worth of assets. Do you have any idea what kinds of assets we have sitting in the north, and where they're located at this point? I know that in Alberta, from the 1970s to the middle of the 1990s, they were doing seismic, so they have a picture of what's under the ground for the entire province. Do we have anything like that for the north, for oil and gas, minerals, copper, and diamonds?

[Daniel Lebel]

I guess your question has two aspects to it: what's the ultimate resource that lies underground, and what's the potential of that resource overall. In the last decade, through the Geological Survey of Canada, we've been mapping the north to a level of knowledge where we can see the areas of greatest potential, but we haven't reached the point where we can actually evaluate that resource, with some exceptions.

We have good assessments offshore that we have conducted for the purpose of marine conservation targets, so we have a good sense of the potential in the offshore basins, less onshore. The same goes for minerals. Through geomapping, we have a good sense of the areas with the greatest potential for minerals. As we wrap up this program in the next two years, we will provide syntheses of the various areas we have been covering across the north, and from these syntheses you will be able to see what we call “haystacks”—the areas of highest potential, wherein you might find some “needles”. That's generally the shape of things we have in terms of potential.

Separate from that, we have an excellent map of the various mines that are producing in the north and the various stages of the projects that exist. This has been produced as part of our minerals and metals plan. We have the various stages of development of these projects, including environmental assessment stages, and we could share that with you as well.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Forgive me for my ignorance, but with the Arctic zone that we're talking about, is there any logging that can happen in that region? When you get past the tree line, is that the cut-off of the region, of what we consider the Arctic zone, or is there logging that's happening out there as well?

[Daniel Lebel]

We have some forested area in the north, including the Yukon, but it's not exactly matching the Arctic circle. As for the definition of the north, there are some forested areas out there. We could produce a map that shows that distinction.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Is it being developed at all?

[Daniel Lebel]

I'd have to ask my colleagues from the forestry sector about that. I cannot answer this.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Okay. I'll leave that alone.

Do you have any idea what the resource value is up there, in terms of minerals and oil and gas?

[Daniel Lebel]

We have a map that shows how much has been developed in the south, relative to the north, and the value of the resource. There are hundreds of billions of dollars in the south, while in the north it's in the tens of billions.

When you look at the geology of Canada, the potential for the north looks just as promising as it is in the south. A large part of the Canadian Shield lies in the north. We see very good projects that are under development. For instance, Agnico Eagle has two mines on the west side of Hudson Bay, and they're investing upwards of $5 billion in infrastructure to build roads. They have some plans for making a microgrid up there, as well as supporting the communities with thousands of jobs. There's quite a bit that can be developed from these one or two mines, in this case, but there's other potential in the area.

The challenge is to find the right substance for development. There's some potential for other substances, but they are not economical, in the sense that if you don't have infrastructure to get to them, they are likely to stay in the ground. Our stakeholders have been saying that they need some support from the federal government to build some of this infrastructure.

[The Chair, Liberal, MaryAnn Mihychuk]

Thank you.

That's a good place to end. That ends this round.

We'll take a short recess to change the panel.

Thank you very much for coming out. We really appreciate your participation. You're going to be providing us with some information, so we look forward to that.

[The Chair, Liberal, MaryAnn Mihychuk]

Let's get started.

The first panel was fascinating. We ran out of time, so I'm sure that's going to happen again. We want to get all the information you have and include it, so our recommendation that goes to Parliament will be fulsome and creative and provide some solutions to the people who are searching for this type of infrastructure.

Welcome to our committee.

Do we have a five-minute deal with these panellists, too? Yes, okay.

We will get started. First is the Department of Transport. I should have asked you the question about how many isolated communities there are, but you can help NRCan with that.

Thank you for coming. Craig, please go ahead.

[Craig Hutton, Director General, Strategic Policy, Department of Transport]

Thank you, Madam Chair, for this opportunity to address the committee about transportation infrastructure in Canada's north. I am pleased to be here today along with my colleague Marie-Claude Petit, Director General, Transportation Infrastructure Programs.

It's no surprise that transportation is a lifeline for northern communities and an essential enabler for economic development, including resource development projects. At the same time, transportation infrastructure is expensive to build and maintain due to the challenging Arctic environment. As a result, basic infrastructure is limited in the region, making it difficult, time-consuming and expensive to move passengers and goods in and out of northern communities.

The north is unique, compared to the rest of Canada. However, we must also recognize that each territory is significantly different from the others. For instance, Yukon relies most on its highways and roads network connecting the region to the Northwest Territories, southern Canada and Alaska. The Northwest Territories in turn depends on a variety of modes, including air transport and a system of ice roads and barging operations, whereas Nunavut is reliant mainly on sealift operations and air transport.

In 2016, Transport Canada introduced Transportation 2030, a strategic plan for the future of transportation in Canada. The plan is aimed at improving the performance of the transportation system, including in the North. One of the commitments made in the plan is to work with territorial governments, Indigenous peoples and communities in the North to address transportation infrastructure needs and help the local system adapt to climate change.

To this end, in July 2017, the government launched the national trade corridors fund as a merit-based funding program with $2 billion to invest in projects that strengthen the efficiency and resilience of trade and transportation corridors, including in the north.

Within the fund, up to $400 million is being committed to supporting trade and transportation infrastructure investments in Canada's three territories. This dedicated allotment recognizes that transportation infrastructure needs in Canada's north are varied and distinct, and that critical transportation investments have the potential to create new social and economic opportunities for residents.

For example, in June of this year we announced an investment of $102.5 million in the Government of Northwest Territories' Mackenzie Valley Highway project. This represents 73% of the estimated costs associated with this project. In fact, this investment is one of the biggest ones we have made to date through the national trade corridors fund. This funding will support several key phases of the Mackenzie Valley Highway project. The ultimate goal of this project is to build an all-weather road that will connect communities and development sites along this corridor.

Transport Canada is developing a multimodal Arctic transportation policy framework to better position the department to address the needs of northerners. This framework will support greater coherence in departmental actions related to policy, investment and regulatory measures that support a strengthened transportation system and improved social and economic opportunities in the region. This framework will be aligned with the new federal Arctic policy framework being led by Crown-Indigenous Relations and Northern Affairs.

In fact, Transport Canada has been closely involved in the development of the Arctic and northern policy framework. One of its main themes is comprehensive Arctic infrastructure. This theme prioritizes new foundational initiatives such as transportation infrastructure, which affects the daily lives of Northerners both socially and economically.

I would like to take a moment to highlight a couple of other initiatives under way at Transport Canada that will have a positive impact on transportation infrastructure and operations in Canada's north.

Announced in 2016, the oceans protection plan is the largest investment made to protect Canada's marine environment, with a $1.5-billion investment over five years. The oceans protection plan is being carried out in partnership with first nations, Inuit and Métis, and in close collaboration with the scientific community, the marine industry, provincial and territorial governments, and other stakeholders.

Some investments to date include search and rescue boats, marine training facilities, and investments in basic marine infrastructure to improve safety. While the latter initiative is primarily intended to support basic infrastructure such as fencing, lighting and mooring bollards in northern communities, I should highlight that approval in principle for funding a project for four double-hulled barges in the Northwest Territories was recently announced, on October 13.

Lastly, I would like to tell you about a relevant study that Transport Canada has recently undertaken.

The 2019 northern transportation systems assessment will provide data to help deepen our understanding of the multimodal transportation infrastructure that will be required to support growing demand in the territorial North over the next 20 years. Findings from the study are expected in winter 2020.

Thank you.

I welcome your questions.

[The Chair, Liberal, MaryAnn Mihychuk]

Thank you.

We're going to move on to the Department of Fisheries of Oceans, with Gregory Lick.

Please go ahead.

[Gregory Lick, Director General, Canadian Coast Guard, Department of Fisheries and Oceans]

Good afternoon, Madam Chair and committee members.

It is my honour to be here today and have the opportunity to provide you with an appreciation of the Canadian Coast Guard's important activities in the Arctic, and particularly those that impact the peoples of the north.

I'm proud to say that the Canadian Coast Guard is a nationally and internationally recognized symbol of security and protection for people who navigate our waters.

Our work has a direct and visible impact on the economic, environmental and physical health of northerners. Our expert crews aboard the icebreaking fleet ensure safe navigation through ice, which ensures that critical supplies and goods get to communities and that ships transiting the Arctic get through safely.

Our system of aids to navigation ensures that mariners have a safe waterway to follow.

In Iqaluit during the navigation season, our professional marine communications and traffic services officers identify, monitor and control vessel traffic and assure mariners of a communication link in times of distress.

Our ever-evolving system of environmental protection equipment, located in strategic locations across the Arctic, defends the Arctic's sensitive ecosystems.

However, we can't do this alone. Our marine safety, security and environmental protection systems involve:

strong partnerships with indigenous peoples and communities;

effective regulations from our federal partners to prevent damaging events;

a robust, layered approach to search and rescue, particularly with our partners, the Canadian Armed Forces and the Canadian Coast Guard Auxiliary; a strong operational partnership with the Royal Canadian Navy, as it brings new capabilities to the Arctic with the Arctic and offshore patrol ships or the Harry DeWolf class;

a recognition that Arctic countries must all come together when significant events strain a single country's resources.

As the Coast Guard has learned through decades of collaboration with our northern partners, the people who live in Canada's Arctic have a deep understanding of the sea. Their survival—and surely Canada's future success in the Arctic—depends on that understanding. We are fully committed to engaging with indigenous partners and stakeholders to ensure safe and secure marine shipping in the Arctic that respects the cultural and environmental significance of the north.

The demand for our presence continues to increase as the shipping season extends due to climate change. To that end, we are investing in the Arctic, including vessel identification and monitoring systems, on-water capabilities, new search and rescue assets, and environmental protection equipment.

Thanks to the oceans protection plan, we're extending the Arctic season for our icebreakers. Most southern Canadians aren't aware that the hulls of the commercial vessels plying our northern waters aren't ice-strengthened and that these vessels can't deliver their cargo without the aid of Coast Guard icebreakers.

In these seas, our icebreakers are the snowplows of the North.

The following are some examples of our improvements to marine safety in the region.

Sixteen community-based Canadian Coast Guard Auxiliary units are active at this time, with over 350 auxiliary members and 25 vessels. Those numbers will increase in 2019 and in future years.

To improve data and voice communication capacity within the Coast Guard's Arctic footprint, 22 satellite modems have been purchased to replace antiquated and inefficient models.

Network equipment at the Iqaluit marine communications and traffic services centre will also be replaced in December to further modernize the network and ensure improved reliability and resiliency.

On June 28, we opened a seasonal inshore rescue boat station in Rankin Inlet, crewed by Inuit youth. I had the privilege to meet some of these incredibly competent youth during their work to support the G7 summit in June of this year and saw how valuable their contribution is.

Interest in the Arctic continues to rise as changing climate conditions are making the Canadian Arctic more accessible for marine traffic and economic development.

This access due to changing ice conditions does not always mean less risk, as harder, more dangerous multi-year ice travels down into the southern Arctic waters. Our various layers of marine safety and environmental protection systems are meeting this challenge through new investments.

Our commitment to supporting the Arctic is part of our heritage, and we remain steadfast in that commitment for the future.

Thank you, Madam Chair, for this opportunity. I'd be happy to provide you with any further details on our Arctic programs you require.

[The Chair, Liberal, MaryAnn Mihychuk]

Thank you.

Our final presenters are from the Department of the Environment: Chris Derksen and Dilhari Fernando.

Please go ahead.

[Dilhari Fernando, Director General, Policy, Planning and Partnerships Directorate, Meteorological Service of Canada, Department of the Environment]

Thank you, Madam Chair.

Thank you for the opportunity to present before you today to inform the committee's study of critical northern infrastructure projects and regional strategies from the perspective of environmental observations and monitoring.

My name is Dilhari Fernando, and I'm a Director General with the Meteorological Service of Canada and Environment and Climate Change Canada. My colleague Chris Derksen is a research scientist with the science and technology branch of the department.

Environment and Climate Change Canada informs Canadians about protecting and conserving our natural heritage and ensuring a clean, safe and sustainable environment for present and future generations. Our programs focus on minimizing threats to Canadians and their environment from pollution; equipping Canadians to make informed decisions on weather, water and climate conditions; and conserving and restoring Canada's natural environment.

Environment and Climate Change Canada is a science-based department. The department operates a vast and diverse array of infrastructure in the north and in the Arctic to gather environmental data and undertake research to support the delivery of departmental services and to provide important data and information to support the work of many others, including other federal departments and agencies, other levels of government, academia, the private sector and the global community.

In addition to buildings used for research, storage and staff accommodation, the department is the steward of a vast range of specialized observing infrastructure that we use to collect environmental data such as precipitation, air pressure, air quality, etc. This data is used for the production of weather forecasts and warnings, climate information and services, ice services, and long-term records of climate conditions.

In the case of the Eureka installation at Ellesmere Island in Nunavut, Environment and Climate Change Canada is also the principal steward of the runway, which is essential for aircraft landings and is a critical access point for federal and other visiting scientists.

Let me provide some details. The Meteorological Service of Canada is the authoritative source for weather, water quantity, air quality and ice information and services. We provide a broad range of services, including issuing public weather forecasts and alerts for approximately 90 communities in the north; monitoring sea ice floes and issuing marine forecasts, advisories and warnings; maintaining long-term records of ice and climate conditions; and collecting information on water levels and flows in Canada's major water basins, including those that flow into the Arctic Ocean.

To provide these services, we operate national monitoring networks to provide information about past and present conditions of the atmosphere, climate, water and ice. Specific to the north and the Arctic, we operate approximately 137 automated weather stations, 21 volunteer-run weather stations, 93 aviation monitoring stations, 16 upper-air operations, 11 lightning detection stations, 13 climate monitoring stations, 34 drifting buoys, one satellite receiving station and 233 hydrometric stations.

Environment and Climate Change Canada also conducts a range of research and monitoring in Canada's north and Arctic to generate important information to help us understand the unique and changing nature of northern ecosystems. As part of this work, we conduct science that leads to improved understanding of how and why Canada's climate is changing and what future climate conditions are projected. Surface observations, satellite data and climate models are fundamental to this sort of research.

The department operates a variety of science and technology facilities and programs in Canada's Arctic, including four permanent High Arctic multi-purpose research stations located at Eureka, Resolute, Alert and Iqaluit. Environment and Climate Change Canada is the primary steward at Eureka, located in Nunavut. Data gathered at Eureka is important for weather modelling and weather forecasting and is shared globally. Eureka is also a key location for acquiring High Arctic observations to support other important science and research programs.

As the steward of this infrastructure, we are responsible for overseeing and maintaining all the associated infrastructure on the site, including the runway, the buildings and the energy generation facility, and for ensuring safe living conditions, such as potable water and sanitation for departmental staff, DND staff and visiting scientists.

I would also like to bring your attention to Alert, at the northern tip of Ellesmere Island. Located about 700 kilometres from the North Pole, this is the northernmost inhabited place in the world. Alert is also an important location for upper-air observations, which are critical for weather forecasting, both in the north and in the south, and it is the sentinel site for climate and greenhouse gas observations.

Given the important and unique features of sites such as Eureka and Alert, it is important to note that infrastructure in the Arctic and in the north faces unique operational challenges and is subject to significantly higher operational costs and risks. Remote location, long periods of darkness, and severe weather require that these facilities be fully self-contained for power, water and sanitation. Air is the principal means to bring in supplies and people, which underscores the importance of year-round, safe runways. We also need specialized equipment in remote areas, with design features that allow this equipment to operate in the unique northern and Arctic climate, such as in extreme cold, and have resilience to things such as wildlife. Solutions that are viable in the south, such as solar power, are not always easily transferrable to the north.

In terms of the effects of climate change on infrastructure in the north, the special report recently released by the Intergovernmental Panel on Climate Change, or the IPCC, entitled “Global Warming of 1.5°C”, indicated that human activities are estimated to have caused approximately 1°C of global warming so far. The report also noted that vulnerable regions, including the Arctic, experience warming two to three times higher than the global average.

Over the past 40 years, changes over the north and the Arctic include loss of snow cover and sea ice, and changes to permafrost. These changes are consistent with those observed in other northern regions, including Alaska, northern Europe and Russia. There is evidence from climate model simulations that these observed changes in the Arctic and in northern Canada will continue in the coming decades.

There are important factors when considering the possible effects of climate change on infrastructure in the Arctic. Key points to consider include the following: Virtually all of the Canadian north is underlain by permafrost, and the integrity of many northern ecosystems and built infrastructure is dependent on the stability of the permafrost; permafrost is undergoing rapid change, which could threaten the structural stability and functional capability of existing infrastructure; changing coastlines and the loss of sea ice further increase the risk of flooding from rising sea levels and storm surges in some areas.

In conclusion, Environment and Climate Change Canada relies on a wide range of infrastructure across the north to gather important environmental observations for use in the delivery of key services such as weather forecasting and for research on issues such as climate change impacts in the north. Ensuring adequate density, distribution and life-cycle management of infrastructure in the north to enable observations and research is particularly challenging given Canada's vast and remote landscape. This underscores the importance of project management, adaptation to innovative technologies, and the identification and mitigation of risks as we move forward.

Thank you very much.