Natural Resources Committee on Nov. 4th, 2010

[The Chair, Conservative, Leon Benoit]

Yes.

[Roger Pomerleau, Bloc, Drummond, QC]

All right. My question is for you, Mr. McCurdy. I really appreciated your presentation, especially the way you expressed your thinking. At the end-- and this was a good summary of your position, which I share-- you stated that environmental safety should not be sacrificed on the altar of energy security. I believe this is an excellent summary of the issue and of the way we should look for a solution.

You know that the government of Quebec has imposed a multiyear moratorium on "Old Harry" to make sure that the possible impacts of drilling in that area be fully studied, since this is not an offshore area. It is a completely different environment. For example, we know that in case of a spill, oil would not be dispersed as easily as in the ocean and that it would stay there for quite some time. We also know that the marine wildlife is not the same as in the ocean. It may be more concentrated and more complex. I believe the government acted wisely in imposing a moratorium to have enough time to study closely the potential impacts, especially for the people of the Magdalen Islands.

What do you think of this moratorium? Do you think it is wise to take a bit more time to study the potential impacts?

[The Chair, Conservative, Leon Benoit]

Could I get a fairly brief response, please?

[Earle McCurdy]

It's hard to fix it once the problem has happened. If there's a lesson out of the gulf.... The CEO of Exxon told the congressional committee they weren't prepared for that event, and if you're not prepared for an event, the development shouldn't take place beforehand. To wait and to be reasonably assured of what the consequences will be seems prudent to me.

[The Chair, Conservative, Leon Benoit]

Thank you very much. Merci, Monsieur Pomerleau.

We go now to Mr. Cullen. You have up to seven minutes, please.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Thank you, everyone, for being here.

Mr. Corey, under the government's definition of energy security, are renewables considered part of that package?

[Mark Corey]

Mr. Chair, that is an important part of our overall energy strategy. When you look at the approach the government has had to energy development, energy supply, and energy policy, renewables play an important role. I don't have the numbers here, but the government has put billions of dollars into the renewables sector over the past number of years in all areas--wind, solar....

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

I have a quick question on that. Do you consider carbon capture a renewable? Does the government classify it as renewable?

[Mark Corey]

Technically, I'd have to look into that--

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Do you mind? I've been curious about it for some time.

[Mark Corey]

Okay.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

With regard to the NEB review that's going on right now, are you familiar with the motion that was passed in the House of Commons this past spring?

[Mark Corey]

Yes.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

It was for the government to conduct...a thorough review and revision of all relevant federal laws, regulations and policies regarding the development of unconventional sources of oil and gas....

And it goes on. You're familiar with this. Is the NEB doing that review right now?

[Mark Corey]

Mr. Chair, I'll ask Mr. Labonté to answer that.

[The Chair, Conservative, Leon Benoit]

Go ahead, please, Mr. Labonté.

[Jeff Labonté]

Thank you for the question.

I think it's fair to say that NRCan is committed to responsible, safe, and sustainable development of natural resources.

The context for the policy environment around this particular motion and element certainly has a lot of different considerations and circumstances. It's a fairly complicated area, with quite a few different aspects, and it certainly needs to take into account regional issues; issues about the environment issues of the north, the east coast, and the west coast; and certainly recognition of, and respect for, provincial jurisdiction with respect to the development of natural resources.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Am I to take it from your answer that you're doing that review?

[Jeff Labonté]

I think it's fair to say a number of different elements and aspects of different reviews going on around the country address a number of important points. The NEB is looking at the review of the Arctic offshore drilling. You heard earlier that Newfoundland and Labrador are doing a response and a review of offshore drilling on the east coast--

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Labonté, it was a very direct question, a very simple one. Is the NEB doing that review right now? I know about these other reviews. The committee is familiar with them.

Are you doing that review?

[Jeff Labonté]

Mr. Chair, to return to the point, it's a fairly complicated area. There are a number of different aspects to the policy environment, and certainly there are a number of different reviews under way throughout the country, all interested in the same aspect, which is to ensure that we have a robust regulatory regime that can provide safe, responsible, and sustainable development of natural resources.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

When questioned about this in the House, the minister said that in response to the motion passed unanimously by the House of Commons, the NEB is doing this review. I've asked you three times now if the NEB is doing this review. The answer from the NEB is no. We asked them very explicitly.

It's just yes or no. I understand there are other reviews going on. Is Natural Resources Canada doing a broad review? You can say yes or no--it's okay--but don't tell me about all the other reviews. I just want to know if you guys are doing it. That's all I'm asking. It's very simple.

[Jeff Labonté]

I think if you look at all the policy aspects related to the motion, there are quite a few different elements and areas related to this. They involve a lot of complexity. They involve a lot of federal-provincial jurisdiction. They involve regional variations, environmental circumstances, and circumstances that are different in a very diverse country.

Looking at a number of the different elements, they certainly address, in terms of a number of reviews.... There are, I think, over about 10 or 12 going on throughout the country.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Just to be clear, the Minister of Natural Resources, when asked about this specific question in the House of Commons, said that the NEB is doing it. The NEB is not doing it.

I can't get an explicit answer from Natural Resources officials today, which is disappointing. It's perfectly fine to say no. We're just trying to find this out.

I have a question for you, Mr. Corey, about leases in the Arctic. As part of the lease, is the company committed to drill? Is it not part of their contract to make a commitment to actually perform some exploratory drilling when they acquire a lease?

[Mark Corey]

The answer is yes.