Realities of Environmental Assessment for E&P Projects in the North

2. (The Realities of….)Current Environmental Assessment for E&P Projects in the NorthFar North Oil and Gas ConferenceCalgary, AlbertaOctober 1, 2002

3. Northern Gas to Southern Markets

4. Introduction The Ten Lessons What is at stake? • A Northern Frontier • A Sacred Homeland • A Wellspring of Aboriginal Culture

5. Introduction What are the rewards? • Economic growth and diversification • Improved infrastructure (roads, airports, facilities) • Improved services (education, health, social) • Billions of dollars of resource revenue and profits

6. Introduction ARE WE ALL TALKING ABOUT THE SAME THING? At a Calgary conference in 2001, deliberations on the ‘where’ and ‘how’ of petroleum exploration and production in the north and potential changes to a place that is not home, but from which fortunes could be made. At a similar Fort Simpson conference and gathering, people talking about whether to allow changes to their homeland to take place, and whether making a fortune is a good thing. Sunny Munroe, Editor – FNOGR (Spring 2002)

7. Introduction I COULD TALK ABOUT……… • Traditional environmental assessment practice • Generally well understood and manageable • Unique aspects for northern projects • Aspects where particular uncertainties remain

8. Presentation Outline I’D LIKE TO TALK ABOUT………. • Incorporating Climate Change into Environmental Assessment • Socio-economic, Political and Cultural challenges • Harmonization of the Approval Processes • Meaningful Local and Community Participation • Comprehensive Integration of Approval Application • Data Management for Public Accessibility

9. Incorporating Climate Change into EA • Complex nature of interactions – historic and current knowledge, predictions, and hypotheses • A review of EA’s since 1988 (IPCC) – few address CC adequately • Inconsistent approach to incorporating CC • Uncertainty is rarely dealt with • Next phase – alternate approaches After Bower and Murphy 2002

10. Incorporating Climate Change into EA The Ten Lessons • Distinguishing between historical and observational data • Lack of precision and certainty in data and predictions • Differences between GCM and project needs – CC is larger than individual projects • Lack of policy or guideline to incorporate CC • Lack of private sector capacity – knowledge transfer from research and academia After Lee 2002

11. Socio-economic, Political and Cultural Realities The Ten Lessons • Capacity building – northern skills – local education facilities • Inadequacy of heath care systems and facilities • Increasing infrastructure needs (airports, roads, municipal facilities) • Increased domestic violence, drug and alcohol abuse, and crime • Labour – skilled and non-skilled – new skills and traditional skills

12. Socio-economic, Political and Cultural Realities The Ten Lessons • Social family and community disruptions • Modern value systems vs. traditional principles that are spiritually based • The political reality – 19 members – 11 official languages – no political parties • Devolution – the process has begun – Ottawa, GNWT and the Aboriginal Summit • Political self government can facilitate economic self-sufficiency

13. Approval Process Harmonization The Ten Lessons • More a question of governance vs. the development plan? • Evolution of authority from and to local and aboriginal governments • Legislative tools include CEAA, IFA, MVEIRB, NEB and many others • Necessity will compel all the interests of government and regulators to work together • Substantial effort put into a Cooperation Plan

14. Approval Process Harmonization The Ten Lessons “A coordinated effort amongst key regulatory bodies is critical if the Northwest Territories is called on to address a natural gas pipeline application in the near future………I am pleased that the Cooperation Plan is now complete, and wish to acknowledge the significant effort that went into this plan and encourage the chairs to continue their work in implementing the plan.” Minister Nault, June 2002 at YK presentation of Final Cooperation Plan

15. Approval Process Harmonization The Ten Lessons • Talks are underway to develop agreements to give effect to the plan • Inuvialuit and the Federal Minister of Environment • MVEIRB, Inuvialuit and the Federal Minister of Environment • Regulatory agencies with public hearing and permitting functions • Add specific details to the framework • Roles and responsibilities of the agencies

16. Approval Process Harmonization The Ten Lessons • Preparation of Consolidated Information Requirements, and Plan for Public Involvement • Consolidated information requirements available on the web at • www.neb-one.gc.ca • Anticipated additional releases of series of announcements regarding commitments made in the Preparation Phase in the next week or so.

17. Meaningful Participation of Local People and their Communities The Ten Lessons • Berger reported that this was not a debate about a pipeline and development – but a debate about the future of the people • 10 years to settle land claims and introduce the processes and institutions to address development • 25 years later – many land claims are settled – not all – many processes and institutions • Now a question of connection or disconnection of governance and development plans

18. Meaningful Participation of Local People and their Communities The Ten Lessons • Not everyone is on board - unsettled land claims • A concern for the potential for uncontrolled development, erosion of traditional economy, and loss of traditional ways of life • Development of this must acknowledge the human scale of the needs of northerners • Settlement and claims address these issues • Impacts and Benefits Agreements (IBA)

19. Meaningful Participation of Local People and their Communities The Ten Lessons • How development will proceed, provide a financial stake, influence who gets the work • Local community partnerships with experienced corporations • Full partnerships – equity participation • Aboriginal Pipeline Group (APG) – a first – representing 30 NWT Aboriginal groups

20. Meaningful Participation of Local People and their Communities The Ten Lessons • Complex, innovative, and forward thinking strategies for involvement • Big investment – with potential for big returns • Calculated & acceptable risks – business decisions • Partnerships not driven solely by financial aspects – education, training, employment, direct and indirect business opportunity

21. Comprehensive Integration of Application for Approval The Ten Lessons • standardization of Terms of Reference (TofR) • Many different disciplines – engineering, socio-economic, environmental – crossover and woven together • Bringing together the scope and boundaries of the assessment process • Cross-discipline integration – biodiversity, cumulative effects, socio-economic, human health • Cross-referencing regulatory requirements

22. Data Management for Public Accessibility The Ten Lessons • Data sets collected by different groups • Filings by different proponents • Filings for different development phases • Technological advances in data retrieval, integration, management, and dissemination • Public data registries

23. Summary EA for EP Projects in the North The Ten Lessons • Established traditional EA standards, processes, expectations • Uncertainty for less traditional aspects of EA • It can be done – it can be done right Premier Kakfwi September 2002

24. peter.jalkotzy@ieg.ca