Why Harper's shot at PNCIMA also hit Enbridge in the foot
Late last week (Thursday, September 8
th), the Canadian government, after working for almost a decade to develop a plan to manage BC’s North Coast, known as the
Pacific North Coast Integrated Marine Area Plan (PNCIMA),
suddenly announced that it is withdrawing from an agreement which would
ensure adequate funding to complete the plan by December 2012.
Prime
Minister Harper’s government
apparently had concerns that PNCIMA (if completed),
“could be used to rally opposition to Calgary-based Enbridge Inc.'s
proposed $5.5 billion Northern Gateway pipeline….”, but ironically the
government’s heavy-handed blocking of this process could give new legal
arguments to the Coastal First Nations opposing the Enbridge Pipeline,
heightening uncertainty for the Pipeline’s potential investors.
The Coastal First Nations and Enbridge
The
First Nations that have lived on the North and Central Coast for time
immemorial have been making themselves heard, asserting their rights
over their traditional lands and waters.
The most high profile recent example of this was the Great Bear Initiative, in which the Coastal First Nations negotiated new environmental and economic initiatives for the Great Bear Rainforest (North and Central Coast) Region. The landmark agreement was supported by five forest companies, environmental organizations, and, in 2006, the provincial government. These negotiations, with funding from several major Foundations, and from the provincial and federal governments, led to the creation of the Coast Opportunities Fund,
to “support sustainable economic development and conservation
management in the Central Coast, North Coast and Haida Gwaii areas of
coastal British Columbia.”
But the Coastal First Nations have been among the most vocal
opponents of oil tanker traffic on BC’s North Coast, and the Enbridge
Pipeline which would bring the oil for the tankers to the coast.
Recognizing that the pipeline would punch right through the heart of the
Great Bear Rainforest, and that the tankers would pose an oil spill
risk to each of their territories, the Coastal First Nations on March
23, 2010 declared:
As Nations of the Central and North Pacific Coast and
Haida Gwaii, it is our custom to share our wealth and live in harmony
with the broader human community. However, we will not bear the risk to
these lands and waters caused by the proposed Enbridge Northern Gateway
pipeline and crude oil tanker traffic. …
Therefore, in upholding our ancestral laws, rights and
responsibilities, we declare that oil tankers carrying crude oil from
the Alberta Tar Sands will not be allowed to transit our lands and
waters.
A federal government decision to allow the Enbridge
Northern Gateway Pipeline project and related tanker traffic, contrary
to the Coastal First Nations declaration, would infringe on their
constitutionally-protected Aboriginal Title and Rights and breach
Canada’s international law obligations. The Coastal First Nations
Declaration opens any company who facilitates the transportation of Tar
Sands crude oil through Coastal First Nations territories to potential
enforcement action grounded in these nations’ respective laws and
customs. Furthermore, the large number of impacted nations, the strength
of opposition to the project, and weaknesses in the Crown’s proposed
review process create a volatile legal situation and a high probability
of litigation by one or more First Nations that could delay or
potentially derail the project.
Litigation by any of the Coastal First Nation against the Enbridge
Pipeline could pose a serious problem for Enbridge and its Northern
Gateway Project. Because of First Nations title and rights that are
protected by Canada’s constitution, the federal government has a duty to
“act honourably” and to consult and accommodate First Nations who have a
“credible but unproven claim” of rights that may be adversely affected
by a government decision (such as approving the Enbridge Northern
Gateway Pipeline project and related tanker traffic.)
As a result, anything that the federal government does in relation
to consultations with the Coastal First Nations about tanker traffic and
the Enbridge Pipeline that might be considered “dishonourable” creates
legal uncertainty and problems for Enbridge. So was the decision to
withdraw from the current PNCIMA funding arrangement “dishonourable?”
PNCIMA and the Coastal First Nations
In 1997 Canada enacted the Oceans Act, which required the federal government to develop a strategy to protect our oceans, which it did five years later, in 2002.
It also required the federal Minister of Fisheries and Oceans to
collaborate with provincial governments and affected aboriginal
organizations, coastal communities and other affected people to develop Integrated Management Plans for areas within Canada’s Oceans.
The government quickly identified 5 regions in which it would develop Integrated Management Plans, which were confirmed in its 2005 Ocean Action Strategy. The Pacific North Coast region was the only region identified for BC’s Coast. The Action Strategy explains:
Integrated Management Planning is at the heart of new,
modern oceans governance and management. Integrated management is a
comprehensive way of planning and managing human activities so that they
do not conflict with one another and so that all factors are considered
for the conservation and sustainable use of marine resources and shared
use of oceans spaces. … The implementation of Integrated Management
Planning for Phase I of the Oceans Action Plan is focused in five
priority areas….
Despite the commitment to prioritize the Pacific North Coast,
progress was initially slow. However, in 2008, following up on the
land-based protection achieved for the Central Coast through the Great
Bear Initiative, the federal government
signed a Memorandum of Understanding with the Coastal First Nations and other First Nations agreeing to work together on the development of the PNCIMA. This agreement was
applauded by environmental organizations.
The provincial government subsequently joined the process as well,
appointing a representative to the PNCIMA Steering Committee.
As a result of this memorandum, and in keeping with the collaborative approach contemplated by Canada’s Oceans Act, the PNCIMA Steering Committee and its planning process
includes representatives of the Canadian and B.C. governments, as well
as several First Nations organizations, and is co-chaired by federal
government and Coastal First Nations. A wide range of stakeholders,
including one seat for the conservation sector, provide input and
consensus based advice on an Integrated Oceans Advisory Committee,
but do not determine the outcomes of the PNCIMA process. Enbridge has
itself participated on the Integrated Oceans Advisory Committee, along
with representatives of the fish farming, commercial fishing, renewable
energy, recreational fishing and tourism industries, and even sponsored
an early workshop in the PNCIMA process.
In short, PNCIMA is created by the federal government, managed
jointly by the federal and provincial governments and First Nations, but
with efforts being made to involve a wide range of stakeholders.
Because the PNCIMA is co-chaired by a federal government staff-member,
and requires sign-off from the government, it was unlikely to have
resulted in a complete ban on oil tanker traffic, although it might have
placed restrictions on marine travel, or otherwise provided protection
for the coast from shipping impacts.
However, progress was slow, in part due to the limits of federal
funding available for the process. Fisheries and Oceans Canada spent $6
million on the initiative between 2002 and 2010, but it was not
sufficient to complete the plan. In November 2010, the PNCIMA Steering
Committee (which, keep in mind, is co-chaired by a federal government
employee) announced that the Gordon and Betty Moore Foundation
had agreed to provide up to $8.3 million of funding to allow the PNCIMA
plan to be completed by December 2012. These funds were to be used to:
“enhance stakeholder engagement, support information gathering and
build technical and administrative capacity for the PNCIMA initiative.”
As PNCIMA explained:
In recognition of increasingly complex
ocean management challenges, governments are looking to new and
innovative models to achieve their objectives. Both federal and
provincial governments are encouraging collaboration and partnering, and
have seen success in these arrangements. One example in British
Columbia is the charitable funding provided to the Coast Opportunity Funds
in support of economic development and conservation initiatives on BC’s
central coast. Charitable funding has also contributed to the success
of other oceans planning initiatives such as the Massachusetts Oceans Partnership and California Marine Life Protection Act Initiative.
A series of FAQs on PNCIMA’s website
explained, carefully, why the Moore Foundation’s funding was
appropriate, and why it would not influence the outcome of the PNCIMA
process.
And now, less than a year after accepting these funds, and a little
more than a year before the PNCIMA plan was to have been completed, the
federal government has decided to walk away from the agreement.
The federal government apparently still intends to deliver a final
integrated management plan for the Pacific North Coast by December 2012,
but it is difficult to see how, absent a massive increase in federal
government funding to complete the process, this could be accomplished.
The environmental groups involved in the process
report their understanding that the resulting PNCIMA process will be dramatically scaled back, with far less detail and protection provided under the final plan:
… the Prime Minister’s decision to pull out of the
funding agreement kills any opportunity to build a marine plan that
conserves the ecosystem and builds the economy in PNCIMA. More
specifically:
- There will no longer be working groups, a marine technical analysis
team, regional forums, capacity grants for stakeholders, workshops or
technical and administrative support for the plan.
- The new PNCIMA work plan will contain a high level [Ecosystem Based
Management] framework that will regulate activities that are allowed to
occur within PNCIMA, but this … plan will not contain a spatial plan or a
network of [Marine Protected Areas]. The creation of this plan will
rely upon one staff member within DFO and no other funds for stakeholder
engagement. …
- One of the most important aspects of the PNCIMA process was the
integrated nature of the planning that would allow for the integration
of uses, spatially and with regard to cumulative impacts and
ecologically and biologically significant areas. This integration will
not happen; instead, there will be layers of planning happening
separately at a regional (PNCIMA) and sub-regional (B.C. and First
Nation) levels. There will be no funding to integrate these plans.
Until now, the government has been engaged in what appears to be a
very thorough and honourable process to engage with the Coastal First
Nations on how BC’s North Coast should be managed. It was a process
that could have credibly addressed many of the Coastal First Nations
concerns about a host of marine-based issues, from fishing to marine
transport, including addressing the risks associated with oil tanker
traffic. Instead of this consultative process, the federal government
has unilaterally adopted a scaled back planning process, with limited
budget, which will accomplish none of that. The government did not
consult or even give advance word to First Nations before it made its
rash decision.
The PNCIMA was not, of course, exclusively focused on Enbridge’s
proposed project and the resulting oil tanker traffic. The federal
government would doubtless protest that the current environmental
assessment of the Enbridge Pipelines (by the Joint Review Panel) will
provide for adequate consultation. However:
- PNCIMA, unlike the Enbridge review panel, puts First Nations at the
same table as other governments as decision-makers at a strategic level.
As the Supreme Court of Canada stated in the leading decision of Haida Nation v. British Columbia (Minister of Forests),
it is critical to consult with First Nations at the level of strategic
planning for the use of natural resources where such decisions will have
potentially serious impacts on Aboriginal Title and Rights.
- The Enbridge-specific review panel doesn’t provide nearly the same
kind of funding for stakeholder engagement, information gathering and
other capacity, and will not do the kind of forward-looking, integrated
planning work that was at the heart of PNCIMA. It is not, and it is not
designed or intended to be, a strategic-level planning process. First
Nations are nowhere near being decision-makers in the federal process to
review Enbridge.
- As West Coast wrote in 2009, we do not think that the federal government’s consultation on Enbridge is consistent with its legal duties.
On the whole, it seems pretty clear that PNCIMA was the more useful,
and more collaborative, consultation process for the future use of the
coast, from the perspective of the Coastal First Nations. PNCIMA is
about precisely the type of collaborative, strategic level planning that
is supposed to be at the heart of government consultations with First
Nations. Less than a year after the federal government agreed to, and
in fact defended, the infusion of significant new financial resources to
move the process along, the decision by Prime Minister Harper’s
government has completely upended the process.
Comments on the risk to Enbridge
According to the Vancouver Sun the federal government has withdrawn
from the funding arrangement precisely because of fears that the PNCIMA
would impact the Enbridge Pipeline and resulting tanker traffic. At a
minimum, the PNCIMA was a rigorous process that the federal government
could have argued helped to satisfy its duty to consult with the Coastal
First Nations in respect to tanker traffic.
If the federal government had concerns about accepting Foundation
funding to move the PNCIMA process forward, it should have said so in
2010 when it agreed to accept this funding. To flip-flop now, slightly
more than a year before the process was supposed to wrap up, leaves the
PNCIMA process without the funding that the government has acknowledged
is required for a thorough planning process. It is also a slap in the
face for the Coastal First Nations, the BC government, environmental
organizations and industry stakeholders who have worked on this process
for years.
Prime Minister Harper’s government may have believed that it was
helping Enbridge and its Northern Gateway Pipelines by withdrawing from
this funding agreement. But the resulting uncertainty, and the
appearance that the federal government has acted less than honourably
towards the Coastal First Nations, may well cause Enbridge huge legal
head-aches in the future.
Release: 15 September, 2011
by Andrew Gage, Staff Lawyer
Photos courtesy of Andrew S. Wright / www.cold-coast.com