Evidence of meeting #19 for Natural Resources in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was contract.

A recording is available from Parliament.

On the agenda

Members speaking

Before the committee

Dermarkar  President and Chief Executive Officer, Atomic Energy of Canada Limited
Pagé  Acting Vice President, Indigenous and Stakeholder Relations, Atomic Energy of Canada Limited

11:40 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

The regulations governing nuclear energy are federal.

Mario Simard Bloc Jonquière, QC

Concerning the shipment of waste, I assume you have rules to follow in that regard as well.

11:40 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

I believe that all of the rules are federal rules.

Mario Simard Bloc Jonquière, QC

Is there no communication between you and the Government of Quebec about decommissioning Gentilly? Is there no discussion between you and the Government of Quebec?

11:40 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

I'm going to ask my colleague Ms. Pagé to answer.

11:40 a.m.

Acting Vice President, Indigenous and Stakeholder Relations, Atomic Energy of Canada Limited

Maude-Émilie Pagé

Yes, Mr. Dermarkar is correct in saying that the supervision of all nuclear activities in Canada is regulated by the Canadian Nuclear Safety Commission.

The commission is responsible for ensuring that all nuclear energy-related activities in Canada are carried out safely, including current activities at the Gentilly‑1 site and future Gentilly‑1 decommissioning activities, like shipping nuclear material, which is carried out in collaboration with Transport Canada.

That said, referral organizations can consult their provincial counterparts, depending on the project or the nature of the project. You would have to ask them about their plans for Gentilly‑1.

Mario Simard Bloc Jonquière, QC

Thank you.

11:40 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

I'd like to add something.

The decommissioning is done under licence as well. It is a specific licence that we get from the Canadian Nuclear Safety Commission to do the work. It is very carefully regulated by the Canadian Nuclear Safety Commission.

Mario Simard Bloc Jonquière, QC

In terms of underground waste disposal, a U.S. company called Amentum, which is a member of the consortium, isolates low-level waste in New Mexico in isolation rooms located 660 metres underground.

We are told that this waste is comparable to the waste at Chalk River, yet you're storing it at near surface level. What's the reason for that difference? Are standards in New Mexico higher than standards in Canada?

11:40 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

I don't know how the regulations compare directly, but I expect they would be comparable. Whether an organization decides to dig deep or to do a near-surface disposal facility is really a technical decision. Regardless of the decision taken, you have to follow the same regulations. It is no less safe to build a near-surface disposal facility than it is to build a deep geological facility for low-level waste.

Mario Simard Bloc Jonquière, QC

What basis do you have for saying that it's as safe at near surface level as it is deep underground?

The Chair Liberal Terry Duguid

Please give a quick answer.

11:45 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

These are technical assessments. It comes down to geology. It also comes down to the integrity of the liner and the construction of that facility.

The Chair Liberal Terry Duguid

Thank you.

We're going on to our third round. Thank you, Monsieur Simard.

Mr. Rowe, welcome back. You have five minutes.

11:45 a.m.

Conservative

Jonathan Rowe Conservative Terra Nova—The Peninsulas, NL

Mr. Chair, I'm hoping to cede my time to my colleague Mr. Tochor.

The Chair Liberal Terry Duguid

Okay. That's very generous of you.

You have five minutes.

11:45 a.m.

Conservative

Corey Tochor Conservative Saskatoon—University, SK

Thank you, Mr. Chair.

Here we are today for two hours at this committee. We had a motion on this to ask for some of the documents that I'm going to ask you about. However, the only way we got this two-hour meeting was with the Liberals gutting it, which got rid of the documents we were looking for. It might be a little bit repetitive here. You're saying that the minister or the government had nothing to do with the awarding of the contract. Is that correct?

11:45 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

That is correct.

11:45 a.m.

Conservative

Corey Tochor Conservative Saskatoon—University, SK

Then it was this independent board of AECL that made the decision. Is that correct?

11:45 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

AECL's board approved the decision. That's correct.

11:45 a.m.

Conservative

Corey Tochor Conservative Saskatoon—University, SK

That board was solely appointed by the Liberal government, in an order in council, similar to how you got hired. Is that correct?

11:45 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

To be honest with you, I would need to go back and look at when each of the board members was appointed.

11:45 a.m.

Conservative

Corey Tochor Conservative Saskatoon—University, SK

It's within the last 10 years. We don't have board members who are serving more than 10 years. This was entirely a board composed of Liberal appointees, who awarded our Canadian Nuclear Labs contract for management to an all-American group of companies that the current Prime Minister owns a piece of. The concern we have with this contract is that it didn't have a stipulation for Canadian content in the ownership of companies that are bidding on this.

It replaced the AtkinsRéalis contract that was managing CNL. Was AtkinsRéalis one of the partners of the bid that got to the second-last round but was removed?

11:45 a.m.

President and Chief Executive Officer, Atomic Energy of Canada Limited

Fred Dermarkar

I'm not at liberty to talk about the details of who engaged when.

11:45 a.m.

Conservative

Corey Tochor Conservative Saskatoon—University, SK

This is a part of the documents we were asking for from the Liberal government, and they've been covering this up for weeks—or almost months, now. We believe there is a discrepancy between what they say they're doing and what they're actually doing.

This is another example where this all-American group is taking over our labs and how this should impact and concern all Canadians, especially anyone who has gone through cancer treatment. Medical isotopes are crucial. Some of the breakthroughs we're having in beating cancer are from medical isotopes and procedures that were developed at Chalk River and other institutions.

I'm thinking of McMaster. McMaster relies on some of CNL's work to verify some of their procedures to make medical isotope breakthroughs, which are wonderful. However, now the people managing the lab that is helping McMaster make those breakthroughs are direct competitors from the States.

Were there any concerns, with the current tariff war with the States and the current climate? Did no one from the government reach out to you or any board member saying, “Hold up here. We don't want our secrets controlled by the White House”?