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Environmental impact assessment : effects on corporate mega-project planning Olynyk, John Murray 1984

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ENVIRONMENTAL IMPACT ASSESSMENT: EFFECTS ON CORPORATE MEGA-PROJECT PLANNING by JOHN MURRAY OLYNYK B . S c , U n i v e r s i t y Of A l b e r t a , 1979 A THESIS SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF SCIENCE i n THE FACULTY OF GRADUATE STUDIES S c h o o l Of Community And R e g i o n a l P l a n n i n g We a c c e p t t h i s t h e s i s as c o n f o r m i n g t o t h e ^ec/hrrnTed s t a n d a r d THE UNIVERSITY OF BRITISH COLUMBIA May 1984 © John M u r r a y O l y n y k , 1984 In p r e s e n t i n g t h i s t h e s i s i n p a r t i a l f u l f i l m e n t of t h e r e q u i r e m e n t s f o r an a d v a n c e d d e g r e e a t t h e U n i v e r s i t y of B r i t i s h C o l u m b i a , I a g r e e t h a t t h e L i b r a r y s h a l l make i t f r e e l y a v a i l a b l e f o r r e f e r e n c e and s t u d y . I f u r t h e r a g r e e t h a t p e r m i s s i o n f o r e x t e n s i v e c o p y i n g o f t h i s t h e s i s f o r s c h o l a r l y p u r p o s e s may be g r a n t e d by t h e Head o f my D epartment o r by h i s o r h e r r e p r e s e n t a t i v e s . I t i s u n d e r s t o o d t h a t c o p y i n g o r p u b l i c a t i o n o f t h i s t h e s i s f o r f i n a n c i a l g a i n s h a l l not be a l l o w e d w i t h o u t my w r i t t e n p e r m i s s i o n . S c h o o l Of Community And R e g i o n a l P l a n n i n g The U n i v e r s i t y o f B r i t i s h C o l u m b i a 2075 Wesbrook P l a c e V a n c o u v e r , Canada V6T 1W5 D a t e : May 1 9 8 4 i i ABSTRACT E n v i r o n m e n t a l impact a s s e s s m e n t (EIA) i s i n t e n d e d t o be a means of i n c r e a s i n g t h e l e v e l of c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s i n p l a n n i n g and d e c i s i o n - m a k i n g . The u l t i m a t e o b j e c t i v e o f EIA i s t o p r e v e n t n e e d l e s s h a r m f u l e n v i r o n m e n t a l change r e s u l t i n g f r o m human d e v e l o p m e n t a c t i v i t y . EIA, t h e r e f o r e , i s a government r e v i e w p r o c e s s aimed a t d e v e l o p m e n t p r o p o s a l s from b o t h t h e p u b l i c and t h e p r i v a t e s e c t o r s . T h i s s t u d y examines how t h e e x i s t e n c e o f EIA r e q u i r e m e n t s has a f f e c t e d p r o j e c t p l a n n i n g by p r i v a t e c o r p o r a t i o n s i n v o l v e d i n l a r g e - s c a l e r e s o u r c e d e v e l o p m e n t s . Two c u r r e n t r e s o u r c e d e v e l o p m e n t s i n Canada a r e t h e B e a u f o r t Sea H y d r o c a r b o n D e velopment and t h e N o r t h e a s t C o a l D e v e l o p m e n t . The EIA p r o c e s s e s b e i n g a p p l i e d t o t h e s e d e v e l o p m e n t s a r e , r e s p e c t i v e l y , t h e f e d e r a l E n v i r o n m e n t a l A s s e s s m e n t and Review P r o c e s s (EARP) and t h e B r i t i s h C o l u m b i a C o a l G u i d e l i n e s Review P r o c e s s (CGRP). W h i l e t h e p r o p o n e n t s of t h e two d e v e l o p m e n t s a r e g i v e n t h e r e s p o n s i b i l i t y f o r p r o v i d i n g t h e i n f o r m a t i o n upon w h i c h t h e E I A ' s a r e b a s e d , t h e y must a l s o b e a r a l a r g e p r o p o r t i o n o f t h e c o s t s of t h e EIA p r o c e s s e s . The EIA r e q u i r e m e n t s had l i m i t e d p o s i t i v e and n e g a t i v e e f f e c t s on t h e p r o p o n e n t s ' p r o j e c t p l a n n i n g . The p r o p o n e n t s o f t h e B e a u f o r t d e v e l o p m e n t f e e l t h a t t h e p u b l i c r e v i e w phase of EARP has n o t c o n t r i b u t e d s u b s t a n t i a l l y t o t h e q u a l i t y of t h e i r p r o j e c t p l a n n i n g and d e s i g n . T h i s t h e y a t t r i b u t e t o t h e i r n o r m a l h i g h s t a n d a r d s f o r p l a n n i n g and d e s i g n work, and a l s o t o t h e c o n s i d e r a b l e o v e r l a p and d u p l i c a t i o n i n t h e e x i s t i n g e n v i r o n m e n t a l r e g u l a t o r y r e g i m e . The main b e n e f i t s o f EARP were i i i c h a r a c t e r i z e d as c o m m u n i t y - r e l a t i o n s and c o r p o r a t e image b e n e f i t s . The EIA s t a g e of t h e CGRP d i d l e a d t o a s m a l l number of c h a n g e s b e i n g made t o p r o j e c t d e s i g n s and p l a n s . However, t h e s e c o u l d not be a t t r i b u t e d s o l e l y t o t h e EIA, as t h e y may have been made t o f a c i l i t a t e n e g o t i a t i o n of s t a t u t o r y p e r m i t s and a p p r o v a l s i n t h e p o s t - E I A s t a g e . N e i t h e r d e v e l o p m e n t has been d e l a y e d by t h e EIA r e q u i r e m e n t s . The s t r o n g government s u p p o r t f o r the N o r t h e a s t C o a l D e velopment was d e m o n s t r a t e d by V i c t o r i a ' s d e c i s i o n t o a l l o w c o n s t r u c t i o n t o p r o c e e d b e f o r e EIA a p p r o v a l was g r a n t e d . T h i s was n e c e s s a r y t o meet t i g h t p r o j e c t d e a d l i n e s . EARP has not d e l a y e d t h e B e a u f o r t d e v e l o p m e n t b e c a u s e , t o d a t e , i n s u f f i c i e n t r e s e r v e s o f o i l have been p r o v e d f o r t h e p r o p o s a l t o be c o m m e r c i a l l y v i a b l e . B e c a u s e EIA i s not t r e a t e d i n i s o l a t i o n from t h e p r o p o n e n t s * p r o j e c t p l a n n i n g , o n l y rough e s t i m a t e s of t h e a d d i t i o n a l c o s t s of EIA were a v a i l a b l e . W h i l e t h e s e c o s t s were e s t i m a t e d i n t h e m i l l i o n s of d o l l a r s , t h e y r e p r e s e n t o n l y a s m a l l p r o p o r t i o n of o v e r a l l d e v e l o p m e n t c o s t s . I t was not p o s s i b l e t o d e t e r m i n e whether more e f f i c i e n t r e v i e w s c o u l d have r e d u c e d t h e s e c o s t s . C o m p a r i s o n o f t h e p u b l i c and p r i v a t e b e n e f i t s of t h e EIA p r o c e s s e s was not a t t e m p t e d due t o d i f f i c u l t i e s i n i d e n t i f y i n g and q u a n t i f y i n g t h o s e b e n e f i t s . The two E I A p r o c e s s e s d i d n o t a p p e a r t o be an i n t e g r a l p a r t of t h e p r o p o n e n t s ' p r o j e c t p l a n n i n g p r o c e s s e s . EARP and t h e CGRP a r e d e s i g n e d t o meet t h e g o v e r n m e n t s ' d e c i s i o n - m a k i n g r e q u i r e m e n t s , as o p p o s e d t o i n d u s t r y ' s p l a n n i n g r e q u i r e m e n t s . They a r e n o t , t h e r e f o r e , s t r u c t u r e d s u c h t h a t t h e y c o n t r i b u t e i v d i r e c t l y t o i n d u s t r y ' s e n v i r o n m e n t a l p l a n n i n g n e e d s . In f a c t , t h e d e g r e e o f i n t e g r a t i o n of EIA i n t o t h e p r o p o n e n t s ' p l a n n i n g p r o c e s s does not n e c e s s a r i l y r e f l e c t t h e i r l e v e l of c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s . The p r o p o n e n t s ' n o r m a l p r o j e c t p l a n n i n g p r a c t i c e s a p p e a r t o a d d r e s s t h e same c o n c e r n s t h a t EIA i s i n t e n d e d t o a d d r e s s , p a r t l y due t o c o r p o r a t e p o l i c y and p a r t l y t o meet t h e r e q u i r e m e n t s of o t h e r government r e g u l a t i o n . D e s p i t e t h i s , EIA i s a n e c e s s a r y component of t h e p r e s e n t p r o j e c t r e v i e w and r e g u l a t o r y p r o c e s s . EIA p r o c e s s e s p r o v i d e i n f o r m a t i o n f o r government d e c i s i o n - m a k i n g , and a r e i m p o r t a n t means by w h i c h t h e government and t h e p u b l i c a t t e m p t t o e n s u r e t h a t i n d u s t r y a d e q u a t e l y c o n s i d e r s e n v i r o n m e n t a l f a c t o r s i n p r o j e c t p l a n n i n g . However, s t e p s s h o u l d be t a k e n by government t o i n t e g r a t e EIA and e n v i r o n m e n t a l r e g u l a t i o n i n t o an o n g o i n g p r o c e s s of impact management, o p e r a t i n g t h r o u g h a l l s t a g e s of r e s o u r c e d e v e l o p m e n t . i V TABLE OF CONTENTS ABSTRACT i i L I S T OF TABLES v i i L I S T OF FIGURES v i i i ACKNOWLEDGEMENTS i x CHAPTER 1 - ENVIRONMENTAL IMPACT ASSESSMENT AND CORPORATE PLANNING 1 1.1 - R e s e a r c h F o c u s 1 1.2 - R e s e a r c h O b j e c t i v e s 1 1.3 - EIA, P r o j e c t P l a n n i n g and D e c i s i o n - M a k i n g : T h e o r e t i c a l R e l a t i o n s h i p s 2 1.4 - EIA, P r o j e c t P l a n n i n g and I n d u s t r y 6 1 . 5 - Methods 10 CHAPTER 2 - THE FEDERAL AND BRITISH COLUMBIA EIA PROCESSES 12 2.1 - The B r i t i s h C o l u m b i a E n v i r o n m e n t and Land Use Committee's G u i d e l i n e s f o r C o a l Development 12 2.1.1 - The C o a l G u i d e l i n e s i n T h e o r y 13 2.1.2 - The C o a l G u i d e l i n e s : P e r c e i v e d P r o b l e m s 20 2.1.3 - The C o a l G u i d e l i n e s : Summary 22 2.2 - The F e d e r a l E n v i r o n m e n t a l A s s e s s m e n t and Review P r o c e s s 24 2.2.1 - EARP i n T h e o r y 24 2.2.2 - EARP: P e r c e i v e d P r o b l e m s 30 2.2.3 - EARP: Summary 36 2.3 - Summary 3 7 CHAPTER 3 - TWO NORTHERN MEGA-PROJECTS 40 3.1 - The B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n P r o p o s a l 40 3.2 - The N o r t h e a s t C o a l D e velopment 52 3.3 - Summary 61 CHAPTER 4 - INDUSTRY AND ENVIRONMENTAL IMPACT ASSESSMENT ... 63 4.1 - I n t r o d u c t i o n 63 4.1.1 - Why S h o u l d I n d u s t r y Use EIA? 63 4.1.2 - How S h o u l d I n d u s t r y Respond? 66 4.2 - I n d u s t r y ' s R e s p o n s e s t o E n v i r o n m e n t a l I s s u e s .... 69 4.2.1 - Dome, E s s o and G u l f 69 4.2.2 - D e n i s o n and Teck 72 4.2.3 - Summary 75 4.3 - Dome, E s s o , G u l f and t h e B e a u f o r t Sea EARP 77 4.3.1 - E f f e c t s of EARP: P r o j e c t D e l a y s 79 4.3.2 - E f f e c t s of EARP: A d d i t i o n a l C o s t s 85 4.3.3 - E f f e c t s of EARP: B e n e f i t s 88 4.3.4 - I n t e g r a t i o n of EARP i n t o P r o j e c t P l a n n i n g , 90 v i 4.3.5 - EARP: P r o b l e m A r e a s and P o s s i b l e Improvements 93 4.3.5.1 - The Need f o r EARP 93 4.3.5.2 - The "One-Shot" A p p r o a c h t o Impact A s s e s s m e n t 95 4.3.5.3 - EIS G u i d e l i n e s 98 4.3.5.4 - P a n e l I n d e p e n d e n c e 101 4.3.6 - Summary 103 4.4 - D e n i s o n , Teck and t h e C o a l G u i d e l i n e s Review P r o c e s s 106 4.4.1 - D e l a y s due t o t h e CGRP 106 4.4.2 - A d d i t i o n a l C o s t s due t o t h e CGRP 113 4.4.3 - B e n e f i t s from t h e CGRP 115 4.4.4 - I n t e g r a t i o n o f t h e CGRP i n t o P r o j e c t P l a n n i n g 116 4.4.5 - CGRP: P r o b l e m A r e a s and P o s s i b l e Improvements 120 4.4.5.1 - The "One-Shot" A p p r o a c h t o EIA 120 4.4.5.2 - I n e x p e r i e n c e d Government R e v i e w e r s 121 4.4.6 - Summary 125 4.5 - C h a p t e r Summary 127 CHAPTER 5 - OVERVIEW AND IMPROVEMENTS 131 5.1 - E f f e c t s of EIA on P r i v a t e - S e c t o r P r o j e c t P l a n n i n g 131 5.2 - P r o b l e m s i n t h e P r e s e n t System 132 5.3 - An Improved A r r a n g e m e n t 134 REFERENCES 141 v i i L I S T OF TABLES T a b l e Page 3.1 - Key Government A p p r o v a l s f o r B e a u f o r t D e v e l o p m e n t .... 46 3.2 - P r o v i n c i a l L e g i s l a t i o n A p p l i c a b l e t o C o a l D e v e l o p m e n t s i n B r i t i s h C o l u m b i a 57 4.1 - B e a u f o r t Sea EARP C h r o n o l o g y o f E v e n t s 81 4.2 - C h r o n o l o g y of B u l l m o o s e P r o j e c t Review 108 4.4 - C h r o n o l o g y of Q u i n t e t t e P r o j e c t Review 110 v i i i L I S T OF FIGURES F i g u r e Page 2.1 - S c h e m a t i c D i a g r a m of t h e C o a l G u i d e l i n e s Review P r o c e s s 15 2.2 - C o a l Development A s s e s s m e n t P r o c e d u r e 19 2.3 - S c h e m a t i c D i a g r a m of t h e F e d e r a l E n v i r o n m e n t a l A s s e s s m e n t and Review P r o c e s s 27 3.1 - L o c a t i o n of t h e B e a u f o r t Sea H y d r o c a r b o n D evelopment 41 3.2 - L o c a t i o n of t h e N o r t h e a s t C o a l Development 53 4.1 - B e a u f o r t Sea P r o p o n e n t s ' EIS Management S t r u c t u r e 78 i x ACKNOWLEDGEMENTS I am v e r y g r a t e f u l t o my a d v i s o r s , Dr. W i l l i a m E . Rees and Dr . Andrew R. Thompson, f o r t h e i r e n c o u r a g e m e n t , a d v i c e and c o n s t r u c t i v e c r i t i c i s m of t h i s t h e s i s . I would l i k e t o s i n c e r e l y t h a n k R i c k Hoos, Ed P e s s a h and H a r r y Palmer of Dome, John B a t t e k e o f E s s o , Bob M o r r i s o n of G u l f , J i m R o b e r t s o n of T e c k , B r u c e S w i t z e r o f D e n i s o n , Dave M a r s h a l l and P a u l S c o t t o f FEARO, and Ray Crook of t h e B.C. C o a l G u i d e l i n e s S t e e r i n g Committee, f o r p r o v i d i n g much of t h e i n f o r m a t i o n upon w h i c h t h i s s t u d y was b a s e d . Thanks a r e a l s o e x t e n d e d t o a l l t h o s e n ot m e n t i o n e d above whose i n t e r e s t , a d v i c e and comments i m p r o v e d t h e q u a l i t y of t h i s s t u d y . The r e s e a r c h was s u p p o r t e d i n p a r t by f u n d i n g from t h e Donner C a n a d i a n F o u n d a t i o n and FEARO, f o r w h i c h I am most g r a t e f u l . F i n a l l y , I would l i k e t o thank my f r i e n d s i n t h e P l a n n i n g program, w i t h o u t whose e n j o y a b l e company t h i s t h e s i s would have been f i n i s h e d i n h a l f t h e t i m e . 1 CHAPTER j_ - ENVIRONMENTAL IMPACT ASSESSMENT AND CORPORATE PLANNING 1.1 ^ R e s e a r c h F o c u s The p u r p o s e of t h i s s t u d y i s t o d e t e r m i n e i f , and how, t h e e x i s t e n c e o f e n v i r o n m e n t a l impact a s s e s s m e n t (EIA) r e q u i r e m e n t s has a f f e c t e d p r o j e c t p l a n n i n g by p r i v a t e c o r p o r a t i o n s i n v o l v e d i n l a r g e - s c a l e r e s o u r c e d e v e l o p m e n t p r o j e c t s . The s t u d y f o c u s s e s on two n o r t h e r n m e g a - p r o j e c t s : t h e B e a u f o r t Sea H y d r o c a r b o n Development i n t h e w e s t e r n A r c t i c ; and t h e N o r t h e a s t C o a l Development i n n o r t h e a s t e r n B r i t i s h C o l u m b i a . 1.2 - R e s e a r c h O b j e c t i v e s The s p e c i f i c o b j e c t i v e s of t h i s s t u d y a r e : • t o i d e n t i f y t h e g o a l s and o b j e c t i v e s f o r EIA i n t h e p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s . • t o d e s c r i b e t h e n a t u r e and r o l e of EIA i n p l a n n i n g and d e c i s i o n - m a k i n g f o r two m e g a - p r o j e c t s . • t o document t h e e f f e c t s of e x i s t i n g EIA r e q u i r e m e n t s on t h e p r o p o n e n t s ' p l a n n i n g f o r t h e s e m e g a - p r o j e c t s , and i n d u s t r y ' s a t t i t u d e s t o w a r d s E I A . • t o e v a l u a t e i n d u s t r y ' s use o f EIA, b a s e d upon c r i t e r i a r e q u i r e d f o r EIA t o be e f f e c t i v e . • t o i d e n t i f y p r o b l e m s p o s e d by EIA, as w e l l a s means of i m p r o v i n g t h e c o s t - e f f e c t i v e n e s s of EIA w h i l e m a i n t a i n i n g or i m p r o v i n g i t s e f f i c a c y . 2 1.3 ^ EIA, P r o j e c t P l a n n i n g And Dec i s i o n - m a k i n q : T h e o r e t i c a l  R e l a t i o n s h i p s EIA i s a g e n e r i c t e r m f o r a p r o c e s s " d e s i g n e d t o i d e n t i f y t h e e n v i r o n m e n t a l e f f e c t s of a p r o p o s e d a c t i o n and p r e d i c t t h e i r m a g n i t u d e , t o i n t e r p r e t and e v a l u a t e t h e s e c o n s e q u e n c e s i n t e r m s of s o c i a l s i g n i f i c a n c e and t o communicate t h o s e f i n d i n g s t o r e l e v a n t d e c i s i o n - m a k e r s " (Rees, 1976:52). Armour (1977) i d e n t i f i e d two " f u n d a m e n t a l p u r p o s e s of EIA:" 1 To a s s i s t i n making a d e c i s i o n about whether or not t o p r o c e e d w i t h a p r o p o s e d c o u r s e of a c t i o n and how t o p r o c e e d , so as 2 To p r e v e n t or m i n i m i z e a d v e r s e e n v i r o n m e n t a l change (p. 1 0 ) . The o r i g i n s of EIA l i e i n t h e e n v i r o n m e n t a l i s s u e s of t h e l a t e 1960's. At t h a t t i m e p u b l i c a t t e n t i o n was f o c u s s e d on p e r c e i v e d e n v i r o n m e n t a l c r i s e s c a u s e d by human a c t i v i t i e s - most n o t a b l y , t h e h i g h l y v i s i b l e p o l l u t i o n c a u s e d by a r a s h of c o a s t a l o i l s p i l l s . A new e c o l o g i c a l a w a reness l e d t o demands t h a t t h e impact of human d e v e l o p m e n t a c t i v i t i e s on t h e n a t u r a l e n v i r o n m e n t be c o n s i d e r e d i n t h e d e c i s i o n - m a k i n g p r o c e s s ( S c h i n d l e r , 1976). But t h i s p u b l i c demand was o n l y one f a c t o r b e h i n d t h e i n t r o d u c t i o n of EIA. O ' R i o r d a n and S e w e l l (1981) i d e n t i f i e d f o u r f a c t o r s : t h e g r o w i n g s c a l e and impact of r e s o u r c e d e v e l o p m e n t s ; p o o r c o o r d i n a t i o n among r e g u l a t o r y a g e n c i e s ; t h e f a i l u r e t o c o n s i d e r e n v i r o n m e n t a l and s o c i a l f a c t o r s i n p r o j e c t a p p r a i s a l ; and i n c r e a s e d p u b l i c a w a r e n e s s and p r o t e s t . The f i r s t i n s t i t u t i o n a l r e s p o n s e t o t h e s e p r e s s u r e s o c c u r r e d i n t h e U n i t e d S t a t e s , i n t h e form of t h e N a t i o n a l E n v i r o n m e n t a l P o l i c y A c t (NEPA) of 1969 ( s i g n e d i n t o law J a n u a r y 3 1, 1970). As r e s o u r c e p r o j e c t a s s e s s m e n t s h i s t o r i c a l l y c o n s i d e r e d o n l y l e g a l i t y , t e c h n i c a l f e a s i b i l i t y and economic f e a s i b i l i t y ( S e w e l l , 1981), NEPA b r o k e new g r o u n d , p l a c i n g " e n v i r o n m e n t a l c o n c e r n s on a p a r w i t h t e c h n o l o g i c and ec o n o m i c c o n s i d e r a t i o n s " ( D i t t o n , 1973). The C a n a d i a n r e s p o n s e came a l m o s t f o u r y e a r s l a t e r , when t h e f e d e r a l E n v i r o n m e n t a l A s s e s s m e n t and Review P r o c e s s (EARP) was c r e a t e d by a c a b i n e t d i r e c t i v e on December 20, 1973 (Canada. F e d e r a l E n v i r o n m e n t a l A s s e s s m e n t Review O f f i c e , 1979). In B r i t i s h C o l u m b i a , t h e E n v i r o n m e n t and Land Use A c t of 1971 had e s t a b l i s h e d a c a b i n e t c o m m i t t e e , t h e E n v i r o n m e n t and Land Use Committee (ELUC), t o e n s u r e t h a t e n v i r o n m e n t a l f a c t o r s were c o n s i d e r e d i n t h e d e v e l o p m e n t a p p r o v a l p r o c e s s ( O ' R i o r d a n , 1981). S u b s e q u e n t l y , a r e v i e w p r o c e s s f o r c o a l d e v e l o p m e n t s i n B r i t i s h C o l u m b i a was c r e a t e d i n t h e 1976 " G u i d e l i n e s f o r C o a l D e v e l o p m e n t " ( B r i t i s h C o l u m b i a . ELUC, 1976). I t i s of n o t e t h a t b o t h t h e f e d e r a l and t h e B r i t i s h C o l u m b i a n r e v i e w s a r e a d m i n i s t r a t i v e r e v i e w p r o c e s s e s , i n c o n t r a s t t o t h e A m e r i c a n l e g i s l a t i o n . T h i s r e f l e c t s t h e h e s i t a n c y of C a n a d i a n o f f i c i a l s t o implement an EIA p r o c e s s w h i c h , i t was f e a r e d , would l e a d t o l i t i g a t i o n w h i c h would t i e many p r o p o s a l s up i n l e n g t h y , e x p e n s i v e c o u r t c a s e s , and r e d u c e t h e a b i l i t y o f t h e EIA p r o c e s s t o be a d a p t e d t o meet c h a n g i n g r e v i e w r e q u i r e m e n t s ( R e e s , 1979b). As EIA r e q u i r e m e n t s were e s t a b l i s h e d i n v a r i o u s j u r i s d i c t i o n s , d i f f e r i n g v i e w s of t h e r e l a t i o n s h i p between EIA, p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g became a p p a r e n t . Andrews (1973) d i s t i n g u i s h e d t h r e e v i e w s . F i r s t , some view EIA as s i m p l y 4 a new " a p p r o v a l " t o be o b t a i n e d - o t h e r w i s e u n r e l a t e d t o t h e p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s . H e re, EI A c o n s i s t s s o l e l y o f p r o d u c i n g , and r e c e i v i n g a p p r o v a l f o r , a document - t h e e n v i r o n m e n t a l impact s t a t e m e n t ( E I S ) . A s e c o n d view a r t i c u l a t e d by Andrews i s t h a t of EIA as a s u p p l e m e n t a r y s o u r c e o f i n f o r m a t i o n f o r p l a n n i n g and d e c i s i o n -m a k i n g . As m e n t i o n e d a b o v e , p r o j e c t a p p r a i s a l s h i s t o r i c a l l y had c o n s i d e r e d o n l y l e g a l i t y and t e c h n i c a l and e c o n o m i c f e a s i b i l i t y . H e re ( t h e p r o b l e m h a v i n g been d e f i n e d as a l a c k of i n f o r m a t i o n on e n v i r o n m e n t a l i m p a c t s ) , EIA i s seen as a f o u r t h f a c t o r i n t h e p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s - s e p a r a t e from, but c o m p l e m e n t a r y t o , t h e f i r s t t h r e e . T h i s v i e w , Andrews s u g g e s t s , i s t h a t h e l d by most f e d e r a l ( U n i t e d S t a t e s ) a g e n c i e s . The t h i r d view of EIA i s t h a t of "a new t h o u g h t p r o c e s s f o r p r e d i c t i n g t h e c o n s e q u e n c e s of a l t e r n a t i v e a c t i o n s " (Andrews, 1973 :198) . H e r e , e x i s t i n g p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s e s a r e c o n s i d e r e d i n a d e q u a t e f o r t a k i n g e n v i r o n m e n t a l f a c t o r s i n t o a c c o u n t . The p e r c e i v e d s o l u t i o n i s "a new c o n c e p t of p l a n n i n g a n a l y s i s " whose p u r p o s e " i s t o p e r m i t more i n f o r m e d c h o i c e ... among a range o f a l t e r n a t i v e a c t i o n s [ i n c l u d i n g t h e no-a c t i o n a l t e r n a t i v e ] " (Andrews, 1973:198). T h i s view s h i f t s t h e e m p h a s i s " f r o m t h e i m p a c t s t u d y t o t h e i m p a c t a s s e s s m e n t p r o c e s s " (Armour, 1979:45). T h e r e f o r e , t h e p r o c e s s c o n s i d e r s t r a d e - o f f s between i m p a c t s , and can become more p o l i t i c a l t h a n t e c h n i c a l o r s c i e n t i f i c . W h i l e i m p a c t m i t i g a t i o n i s t h e c o n c e r n of t h e s e c o n d v i e w , t h i s t h i r d v i e w of EIA i s c o n c e r n e d as much w i t h t h e need f o r a p r o p o s e d p r o j e c t as w i t h i t s e f f e c t s . The r e l a t i o n s h i p between EIA, p l a n n i n g and d e c i s i o n - m a k i n g 5 i s a l s o a f u n c t i o n o f t h e s t a g e i n t h e p l a n n i n g p r o c e s s a t w h i c h c o n s i d e r a t i o n o f e n v i r o n m e n t a l e f f e c t s b e g i n s . Most s t u d i e s a g r e e t h a t f o r EIA t o be e f f e c t i v e , i t must o c c u r e a r l y i n t h e p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s : " . . . t h e p r o p e r t i m e f o r d e t a i l e d c o n s i d e r a t i o n of t h e e n v i r o n m e n t a l and r e l a t e d s o c i a l a s p e c t s of new p r o p o s a l s i s v e r y e a r l y i n t h e i r f o r m u l a t i o n , i n p a r a l l e l w i t h , and i n t e g r a t e d i n t o , t h e e n g i n e e r i n g and economic a s s e s s m e n t s " (Munn, 1979:7). T h i s c o n d i t i o n i s n e c e s s a r y b e c a u s e t h e b a s i c p r o p e r t i e s of p r o j e c t s o r p rograms a r e d e c i d e d v e r y e a r l y i n t h e d e s i g n phase ( H o l l i n g , 1978). A s e c o n d , c l o s e l y r e l a t e d , c o n d i t i o n f o r e f f e c t i v e EIA i s t h a t t h e EIA p r o c e s s must be an i n t e g r a l component of p l a n n i n g and d e c i s i o n - m a k i n g (Munn, 1979). G l a d w i n and R o y s t o n s t a t e t h a t " t h i s i s n e c e s s a r y b e c a u s e d e c i s i o n p o i n t s , i n v o l v i n g a b a l a n c e of e n v i r o n m e n t a l and n o n - e n v i r o n m e n t a l f a c t o r s , a r e s c a t t e r e d from t h e v e r y b e g i n n i n g t o t h e v e r y end o f t h e p l a n n i n g p r o c e s s " ( 1 9 7 5 : 1 9 4 ) . A c c o r d i n g t o t h e s e a u t h o r s , an i n t e g r a t e d EIA p r o c e s s i s a l s o b e s t a b l e t o cope w i t h t h e e v o l u t i o n a r y n a t u r e of p r o j e c t p l a n n i n g and d e s i g n . In t h e c o n t e x t of t h i s s t u d y , t h e s e two c o n d i t i o n s f o r e f f e c t i v e n e s s of EIA c a n be a p p l i e d t o t h e p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s e s of government and t o t h o s e of p r i v a t e i n d u s t r y . As w i l l be d i s c u s s e d f u r t h e r i n t h e n e x t s e c t i o n ( 1 . 4 ) , t h e p r i v a t e s e c t o r i s r e s p o n s i b l e f o r a s u b s t a n t i a l p o r t i o n of p r o j e c t p l a n n i n g and a s s e s s m e n t d e c i s i o n s . T h e r e f o r e , i t i s i m p o r t a n t t o c o n s i d e r t h e s e two e f f e c t i v e n e s s c r i t e r i a i n an a n a l y s i s o f t h e i r p r o j e c t p l a n n i n g p r o c e s s e s . A b r i e f d i s c u s s i o n o f key t e r m s and p h r a s e s may be u s e f u l 6 a t t h i s p o i n t . In t h i s s t u d y , t h e p h r a s e s " p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s " and " p l a n n i n g and d e c i s i o n - m a k i n g " w i l l o f t e n be u s e d . P l a n n i n g has been d e f i n e d as p r o v i d i n g d i r e c t i o n - " t h e p r e p a r a t i o n f o r p u r p o s e f u l a c t i o n " ( L a n g , 1977:65). H e r e , " p l a n n i n g " ( o r , a l t e r n a t i v e l y , " p r o j e c t p l a n n i n g " ) w i l l be u s e d t o d e n o t e t h e p r o c e s s of d e v e l o p i n g a p r o p o s e d a c t i o n (a r e s o u r c e d e v e l o p m e n t p r o j e c t ) f r o m t h e c o n c e p t u a l s t a g e t o t h e p o i n t o f i m p l e m e n t a t i o n . The p l a n n i n g p r o c e s s c a n , of c o u r s e , a l s o be v i s u a l i z e d as a s e r i e s o f d e c i s i o n s w h i c h e v e n t u a l l y r e s u l t s i n t h e s e l e c t i o n of an a p p r o p r i a t e a c t i o n ( t h a t i s , t h e f i n a l p r o j e c t d e s i g n ) . T h e s e d e c i s i o n s a r e made by i n d u s t r y and by government. In t h i s s t u d y , t h e r e a r e two key d e c i s i o n p o i n t s . One i s t h e d e c i s i o n t o submit a p r o p o s a l t o a d e t a i l e d EIA, and t h e o t h e r i s t h e d e c i s i o n - i n - p r i n c i p l e on whether or not t h e p r o p o s a l s h o u l d be a l l o w e d t o be i m p l e m e n t e d . In Canada, t h e s e two key d e c i s i o n s a r e made by government, n o t i n d u s t r y (See C h a p t e r 2 ) . So i t c a n be seen t h a t d e c i s i o n - m a k i n g i s an i n h e r e n t component of p l a n n i n g , and v i c e v e r s a . A c c o r d i n g l y , t h e p h r a s e " p l a n n i n g and d e c i s i o n - m a k i n g " w i l l be u s e d t o d e n o t e t h i s r e l a t i o n s h i p . 1.4 - EIA, P r o j e c t P l a n n i n g And I n d u s t r y I n d u s t r y c u r r e n t l y p l a y s a l e a d i n g r o l e i n p l a n n i n g f o r r e s o u r c e d e v e l o p m e n t . In t h e p a s t , even l a r g e - s c a l e p r o j e c t s had been c o n s i d e r e d " i n n o c e n t u n t i l p r o v e n g u i l t y " ( P e t e r s o n e_t a l . , 1974:23). The go v e r n m e n t ' s r o l e was t h a t o f t h e r e g u l a t o r d e c i d i n g whether i n d u s t r y ' s a c t i o n s were o f " n e t b e n e f i t " ( u s u a l l y meaning e c o n o m i c b e n e f i t ) t o s o c i e t y . However, as 7 p u b l i c a w a r e n e s s of t h e e n v i r o n m e n t became more s o p h i s t i c a t e d , t h i s r e l a t i o n s h i p between government and i n d u s t r y was q u e s t i o n e d : " L a r g e - s c a l e i n t e r v e n t i o n s i n t h e e n v i r o n m e n t [had] begun t o be v i e w e d a s k a n c e , as t h o u g h p e r h a p s t h e y should' be r e g a r d e d as g u i l t y u n t i l p r o v e n i n n o c e n t " ( P e t e r s o n e_t a l . , 1974:23). One change i n t h e a p p r o a c h t o p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g , a s s o c i a t e d w i t h t h e i n t r o d u c t i o n of EIA, was s h i f t i n g " t h e b u r d e n of p r o o f t o t h e p r o p o n e n t o f a p r o p o s a l by r e q u i r i n g an a p r i o r i a c c o u n t o f t h e e n v i r o n m e n t a l a c c e p t a b i l i t y of t h e p r o p o s a l . . . " (Armour, 1977:9). The e f f e c t of t h i s p h i l o s o p h i c a l s h i f t i s c l e a r : t h e p r o j e c t p r o p o n e n t (which c o u l d be a p r i v a t e company or a government d e p a r t m e n t o r agency) must now p r o v e i n a d vance t h a t t h e p r o p o s e d a c t i o n s h o u l d be a l l o w e d t o p r o c e e d ; i n s t e a d of t h e government, as r e g u l a t o r , p r o v i n g t h a t t h e p r o p o s a l s h o u l d not p r o c e e d . T h i s s u b t l e but i m p o r t a n t s h i f t has had a n o t h e r s i g n i f i c a n t c o n s e q u e n c e . S h i f t i n g t h e b u r d e n of p r o o f t o t h e p r o p o n e n t has a l s o p l a c e d much of t h e p l a n n i n g and d e c i s i o n - m a k i n g r e s p o n s i b i l i t y i n t o t h e p r o p o n e n t ' s hands. T h i s i s r e i n f o r c e d , t o an e x t e n t , by t h e " p o l l u t e r p a y s " p r i n c i p l e w h i c h u n d e r l i e s most e n v i r o n m e n t a l r e g u l a t i o n t h e o r y . B r o a d l y s t a t e d , t h i s p r i n c i p l e r e q u i r e s t h a t t h e p r o p o n e n t ( o r t h e " p o l l u t e r " ) must pay t h e c o s t s o f any i m p a c t - m i t i g a t i o n m e asures deemed n e c e s s a r y by g o vernment. T h e r e f o r e , as t h e p o l l u t e r f o o t s t h e b i l l f o r p o l l u t i o n a b a tement e q u i p m e n t , so must t h e r e s o u r c e d e v e l o p m e n t p r o p o n e n t f o o t t h e b i l l f o r E I A . As a c o n s e q u e n c e , t h e p r o p o n e n t s o f t h e p r o j e c t s b e i n g 8 examined i n t h i s s t u d y must u n d e r w r i t e c e r t a i n c o s t s of a p p l y i n g t h e r e l e v a n t EIA p r o c e s s . However, t h e p r o p o n e n t s a r e a l s o g i v e n t h e r e s p o n s i b i l i t y f o r p r e p a r i n g t h e E I S , t y p i c a l l y u nder g u i d e l i n e s s e t by government. The EIS i s t h e "main i n s t r u m e n t of EIA" (Armour, 1977:10), c o n t a i n i n g i n f o r m a t i o n upon w h i c h i m p o r t a n t d e c i s i o n s a r e made. T h e r e f o r e , government d e c i s i o n -makers a r e r e l y i n g on i n f o r m a t i o n g a t h e r e d , i n t e r p r e t e d and p r e s e n t e d by t h e p r o p o n e n t s o f a p r o j e c t . I t i s not u n d u l y c y n i c a l t o n o t e t h a t t h e o p p o r t u n i t y , a t l e a s t , e x i s t s f o r t h e p r o p o n e n t t o e x e r c i s e some d i s c r e t i o n o v e r t h e i n f o r m a t i o n and i n t e r p r e t a t i o n s p r e s e n t e d i n t h e E I S . And, a l t h o u g h t h e EIS i s r e v i e w e d f o r d e f i c i e n c i e s , t h e a b i l i t y of t i m e - and b u d g e t -c o n s t r a i n e d government p e r s o n n e l t o su b m i t t h e EIS t o a d e t a i l e d , c o m p r e h e n s i v e , r e v i e w of d a t a and i n t e r p r e t a t i o n s i s l i m i t e d ( L i v i n g s t o n , 1981). As a r e s u l t , i t must be a c k n o w l e d g e d t h a t a l a r g e p r o p o r t i o n o f p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g o c c u r s h i d d e n from g o v e r n m e n t ' s v i e w . The u l t i m a t e e f f e c t of t h i s i s n o t c l e a r , b u t t h e i m p o r t a n t p o i n t i s t h a t i n d u s t r y p l a y s a p o w e r f u l r o l e i n d e t e r m i n i n g t h e e f f e c t i v e n e s s o f an EIA p r o c e s s and, c o n s e q u e n t l y , i n d e t e r m i n i n g t h e f i n a l impact of r e s o u r c e d e v e l o p m e n t on t h e e n v i r o n m e n t . I n d u s t r y ' s power c a n be m a g n i f i e d when government p o l i c i e s and p r o g r a m s a r e n o t s u f f i c i e n t l y s o p h i s t i c a t e d t o d e a l w i t h t h e added p r e s s u r e s of new r e s o u r c e d e v e l o p m e n t i n i t i a t i v e s . F o r example, i n t h e t e r r i t o r i e s , " . . . t h e r e has been no s i g n i f i c a n t e f f o r t t o i n t e g r a t e t h e s e p o l i c y a r e a s [ o f e n v i r o n m e n t a l p r o t e c t i o n and n o r t h e r n e conomic d e v e l o p m e n t ] t o g u i d e d e c i s i o n -9 making i n s p e c i f i c c i r c u m s t a n c e s o r i n p a r t i c u l a r d e v e l o p m e n t r e g i o n s " (Rees, I 9 8 l a : 3 6 9 ) . I n d e e d , t h e p a s s i v e r o l e o f government i n t h e n o r t h i s e x e m p l i f i e d by t h e G u i d e l i n e s f o r t h e B e a u f o r t Sea E I S , w h i c h ask i n d u s t r y t o assume t h e r e s p o n s i b i l i t y o f n o r t h e r n d e v e l o p m e n t p l a n n e r s , by d e s c r i b i n g p r o p o s e d n o r t h e r n d e v e l o p m e n t p a t t e r n s f o r t h e n e x t 20 y e a r s (Canada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , 1982a). In s u c h a s i t u a t i o n , t h e d i s c r e t i o n (and t h e r e f o r e t h e power) of i n d u s t r y i s i n c r e a s e d , a s government a g e n c i e s have no c l e a r i n d i c a t i o n o f government p o l i c i e s and p r i o r i t i e s a g a i n s t w h i c h t o e v a l u a t e p r e d i c t e d e f f e c t s of r e s o u r c e d e v e l o p m e n t s . T h i s s u g g e s t s , t h e n , t h a t i f we hope t o r e a l i z e b o t h r e s o u r c e d e v e l o p m e n t (and t h e a s s o c i a t e d e conomic b e n e f i t s ) and w i s e use o f t h e n a t u r a l e n v i r o n m e n t , we r e a l l y c o u l d end up d e p e n d i n g on t h e e f f o r t s and a b i l i t i e s o f i n d u s t r y f o r b o t h . The way i n d u s t r y v i e w s EIA becomes c r i t i c a l l y i m p o r t a n t . I f t h e p r i v a t e s e c t o r v i e w s EIA m e r e l y as a n o t h e r n e c e s s a r y a p p r o v a l , and u s e s o n l y t h e minimum e f f o r t r e q u i r e d , t h e p o t e n t i a l e f f e c t i v e n e s s o f EIA a t p r o t e c t i n g t h e e n v i r o n m e n t c o u l d be r e d u c e d . On t h e o t h e r hand, i n d u s t r y may do more t h a n n e c e s s a r y t o r e c e i v e government a p p r o v a l . The o b v i o u s q u e s t i o n t h e n i s , "Why s h o u l d t h e y ? " F o r t h e s e r e a s o n s , t h i s s t u d y a t t e m p t s t o document i n d u s t r y ' s p e r c e p t i o n s o f t h e EIA r e q u i r e m e n t s f o r two key p r o j e c t s , and t o d e t e r m i n e how and why e a c h company r e s p o n d s t o t h o s e r e q u i r e m e n t s . C l a r i f y i n g and u n d e r s t a n d i n g t h e r e l a t i o n s h i p between i n d u s t r y and EIA w i l l a l l o w government p o l i c y - m a k e r s t o r e f i n e e x i s t i n g EIA p r o c e s s e s i n a manner w h i c h 10 i s s e n s i t i v e t o t h e needs and c o n s t r a i n t s o f b o t h i n d u s t r y and soc i e t y . 1 . 5 - Methods B a c k g r o u n d i n f o r m a t i o n on EIA and t h e two c a s e s t u d i e s e xamined i n t h i s s t u d y was o b t a i n e d from a r e v i e w o f r e l e v a n t l i t e r a t u r e and from i n t e r v i e w s and c o r r e s p o n d e n c e w i t h p e r s o n s i n v o l v e d . The i n f o r m a t i o n on t h e e f f e c t s of EIA on p r o j e c t p l a n n i n g was g a t h e r e d t h r o u g h i n t e r v i e w s and c o r r e s p o n d e n c e w i t h i n d u s t r y and government r e p r e s e n t a t i v e s . The r e s p o n d e n t s were g i v e n t h e o p p o r t u n i t y t o r e v i e w an e a r l y d r a f t of t h i s s t u d y , t o e n s u r e t h a t t h e i n f o r m a t i o n t h e y s u p p l i e d had been p r e s e n t e d a c c u r a t e l y . The s u b j e c t i v e n a t u r e o f much o f t h e a n a l y s i s c o n t a i n e d i n t h i s s t u d y s h o u l d be r e c o g n i z e d i n a d v a n c e . R e s p o n d e n t s were g e n e r a l l y u n a b l e t o p r o v i d e w r i t t e n d o c u m e n t a t i o n t o s u p p o r t t h e i n f o r m a t i o n t h e y s u p p l i e d . In some i n s t a n c e s , r e s p o n d e n t s were u n w i l l i n g t o t a l k "on t h e r e c o r d , " as t h e y f e l t i t c o u l d a d v e r s e l y a f f e c t t h e i r p r e s e n t o r f u t u r e d e a l i n g s w i t h g overnment. As a r e s u l t , one s h o u l d n ot a c c e p t t h e i n f o r m a t i o n s u p p l i e d by t h e r e s p o n d e n t s as b e i n g t o t a l l y o b j e c t i v e . T h i s i s not a major c o n c e r n , however, as t h e p e r c e i v e d e f f e c t s of EIA a r e a r g u a b l y a s i m p o r t a n t as t h e a c t u a l e f f e c t s , i f i n d e e d t h e r e i s any d i f f e r e n c e . On f i r s t r e a d i n g , t h i s s t u d y may a p p e a r t o be b i a s e d t o w a r d what some would c o n s i d e r " i n d u s t r y ' s p o s i t i o n . " In p a r t , t h i s i s b e c a u s e t h e s t u d y a t t e m p t s t o p r e s e n t how t h e p r i v a t e s e c t o r v i e w s and u s e s E I A . T h e r e f o r e , t h e p r i m a r y e m p h a s i s i s on t h e 11 i n f o r m a t i o n p r o v i d e d by i n d u s t r y . T h i s i n f o r m a t i o n i s examined i n t h e b r o a d e r c o n t e x t o f t h e g o v e r n m e n t s ' r o l e s and i n t e r e s t s , and t h o s e of t h e p u b l i c , but t h o s e p e r s p e c t i v e s were not g i v e n e q u a l e m p h a s i s . F o r example, w h i l e i t was r e c o g n i z e d t h a t EIA i s b e n e f i c i a l t o government d e c i s i o n - m a k i n g and t o t h e p u b l i c g o a l of e n v i r o n m e n t a l p r o t e c t i o n , no a t t e m p t was made t o q u a n t i f y t h o s e b e n e f i t s f o r c o m p a r i s o n a g a i n s t t h e c o s t s E I A imposes on i n d u s t r y . T h i s s t u d y e m p h a s i z e s i n d u s t r y ' s v i e w p o i n t , but i t i s not k n o w i n g l y b i a s e d t o w a r d t h a t p e r s p e c t i v e . 12 CHAPTER 2 - THE FEDERAL AND BRITISH COLUMBIA EIA PROCESSES As d i s c u s s e d i n t h e f i r s t c h a p t e r , C a n a d i a n j u r i s d i c t i o n s began t o implement EIA r e q u i r e m e n t s i n p r o j e c t r e v i e w s i n t h e e a r l y and mid-1970's. The f e d e r a l EARP, e s t a b l i s h e d i n 1973, and t h e B r i t i s h C o l u m b i a E n v i r o n m e n t and Land Use Committee's " G u i d e l i n e s f o r C o a l D e v e l o p m e n t , " i s s u e d i n 1976, a r e s i m i l a r i n s e v e r a l ways. B o t h r e v i e w p r o c e s s e s a r e c o o r d i n a t e d by s p e c i a l l y - d e s i g n a t e d l e a d a g e n c i e s ; b o t h r e q u i r e t h e p r e p a r a t i o n of an E I S ; i n b o t h - p r o c e s s e s p u b l i c i n v o l v e m e n t i s d i s c r e t i o n a r y ; and b o t h a r e b a s e d on a d m i n i s t r a t i v e p o l i c y r a t h e r t h a n s p e c i f i c EIA l e g i s l a t i o n (Couch, 1982). However, t h e r e a r e i m p o r t a n t d i f f e r e n c e s as w e l l . 2. 1 2. T n e B r i t i s h C o l u m b i a E n v i ronment And Land Use Committee' s  G u i d e l i n e s F o r C o a l Development The B r i t i s h C o l u m b i a E n v i r o n m e n t and Land Use A c t of 1971 (RSBC 1979, c.110) e s t a b l i s h e d t h e E n v i r o n m e n t and Land Use Committee (ELUC), a committee c o n s i s t i n g of p r o v i n c i a l M i n i s t e r s " r e p r e s e n t i n g a range of r e s o u r c e c o n c e r n s e n c o m p a s s i n g d e v e l o p m e n t , t h e p r o v i s i o n o f s o c i a l s e r v i c e s , and t h e p r o t e c t i o n o f t h e n a t u r a l e n v i r o n m e n t " ( O ' R i o r d a n , 1981:95). The A c t gave ELUC t h e power t o " e n s u r e t h a t a l l a s p e c t s of p r e s e r v a t i o n and m a i n t e n a n c e of t h e n a t u r a l e n v i r o n m e n t a r e f u l l y c o n s i d e r e d i n t h e a d m i n i s t r a t i o n of l a n d use and r e s o u r c e d e v e l o p m e n t commensurate w i t h a maximum b e n e f i c i a l l a n d u s e , and m i n i m i z e and p r e v e n t waste of s u c h r e s o u r c e s , and d e s p o l i a t i o n of t h e e n v i r o n m e n t o c c a s i o n e d t h e r e b y " ( s . 3 ( b ) ) . The Committee, c h a i r e d by t h e M i n i s t e r of t h e E n v i r o n m e n t , 1 3 i s s a i d t o be a u n i q u e i n s t i t u t i o n a l a r r a n g e m e n t i n Canada; r e s u l t i n g i n a " l e s s a d v e r s a r i a l forum f o r d e c i s i o n - m a k i n g " ( O ' R i o r d a n , 1981:95). One of ELUC's i m p o r t a n t f u n c t i o n s has been t h e p r e p a r a t i o n of g u i d e l i n e s f o r p r o j e c t a s s e s s m e n t s . In 1976, ELUC's G u i d e l i n e s f o r C o a l Development were i s s u e d , p u r s u a n t t o t h e E n v i r o n m e n t and Land Use A c t , " t o e n s u r e t h a t a r a t i o n a l a p p r o a c h • t o managing l a n d use, e n v i r o n m e n t a l and community i m p a c t s i s u n d e r t a k e n p r i o r t o f i n a l d e c i s i o n s on c o a l and r e l a t e d d e v e l o p m e n t s b e i n g made" ( B r i t i s h C o l u m b i a ELUC, 1976 : 3 ) . 2.1.1 2 The C o a l G u i d e l i n e s i n T h e o r y The C o a l G u i d e l i n e s r e p r e s e n t an a t t e m p t t o r e c o n c i l e i n d u s t r y ' s p r o j e c t p l a n n i n g needs w i t h t h e go v e r n m e n t ' s r e s p o n s i b i l i t y t o d e t e r m i n e t h a t c o a l d e v e l o p m e n t s w i l l be of b e n e f i t t o t h e p r o v i n c e : "The G u i d e l i n e s s e t f o r t h p r o c e d u r e s f o r d e v e l o p e r s t o c o o r d i n a t e t h e i r p r o j e c t p l a n n i n g w i t h a s t a g e d , s t r e a m l i n e d a s s e s s m e n t of t h e e n v i r o n m e n t a l , s o c i a l and economic i m p a c t s of a p r o p o s e d p r o j e c t , w h i c h may u l t i m a t e l y l e a d t o f u l f i l l i n g r e g u l a t o r y r e q u i r e m e n t s under e x i s t i n g s t a t u t e s " ( C o u c h , 1982:11). The r e v i e w p r o c e s s i s a d m i n i s t e r e d by t h e BC M i n i s t r y o f E n e r g y , M i n e s and P e t r o l e u m R e s o u r c e s ( B r i t i s h C o l u m b i a M i n i s t r y of I n d u s t r y and S m a l l B u s i n e s s D e v e l o p m e n t , 1 n . d . a ) , and c o o r d i n a t e d by t h e C o a l G u i d e l i n e s S t e e r i n g Committee ( c o m p r i s e d of r e p r e s e n t a t i v e s of key government m i n i s t r i e s ) (BC ELUC, 1976). The G u i d e l i n e s d e t a i l an a s s e s s m e n t p r o c e s s w h i c h 1 C i t e d h e r e a f t e r a s "BC MISBD." 14 " s y s t e m a t i c a l l y moves from a g e n e r a l o v e r v i e w of t h e p r o j e c t t o more s p e c i f i c impact a s s e s s m e n t s and management p r o p o s a l s " (BC ELUC, 1976:4). The G u i d e l i n e s a r e not s o l e l y "an EIA p r o c e s s " : t h e y a r e a p r o c e s s w h i c h i n c o r p o r a t e s impact a s s e s s m e n t as one s t e p i n t a k i n g a c o a l mine p r o p o s a l from t h e c o n c e p t u a l s t a g e t o p r o d u c t i o n . The p r o c e s s i s i n i t i a t e d when t h e d e v e l o p e r s u b m i t s a p r o s p e c t u s , w h i c h o u t l i n e s t h e p r o p o s e d e x p l o r a t i o n and m i n i n g programs (See F i g u r e 2 . 1 ) . The p u r p o s e of t h i s p r o s p e c t u s i s t o b r i n g t h e p r o j e c t p r o p o s a l t o t h e g o v e r n m e n t ' s a t t e n t i o n "as e a r l y as p o s s i b l e i n t h e d e v e l o p e r ' s p l a n n i n g p r o c e s s t o g i v e Government a g e n c i e s maximum l e a d t i m e " t o r e v i e w and augment a v a i l a b l e d a t a (BC ELUC, 1976:6). A f t e r t h e p r o s p e c t u s i s r e v i e w e d by government a g e n c i e s , t h e d e v e l o p e r i s i n f o r m e d i f f u r t h e r s t u d y i s r e q u i r e d b e f o r e t h e p r o j e c t may p r o c e e d (Couch, 1982). S c r e e n i n g c r i t e r i a f o r t h i s d e c i s i o n i n c l u d e t h e s c a l e o f t h e p r o j e c t , s i g n i f i c a n c e and c o m p l e x i t y of p o t e n t i a l e n v i r o n m e n t a l and s o c i a l i m p a c t s , and t h e d e g r e e of " p u b l i c i n t e r e s t " ( O ' R i o r d a n , 1981). A f t e r r e v i e w of t h e p r o s p e c t u s , t h e p r o c e s s moves i n t o S t a g e I - t h e p r e l i m i n a r y a s s e s s m e n t . T h i s p r e l i m i n a r y a s s e s s m e n t c o n t a i n s s i x main components (BC ELUC, 1976). F i r s t , i t o u t l i n e s t h e p r o p o s e d d e v e l o p m e n t program - f u l l d e s c r i p t i o n s of o n - s i t e a n d o f f - s i t e d e v e l o p m e n t s and s c h e d u l i n g of t h e p r o j e c t ' s p h a s e s . A d e s c r i p t i o n o f e x i s t i n g n a t u r a l , s o c i a l and economic c o n d i t i o n s i s c o m p i l e d from e x i s t i n g i n f o r m a t i o n . As t h i s s h o u l d p o i n t out i n f o r m a t i o n d e f i c i e n c i e s , t h e S t a g e I r e p o r t a l s o i n c l u d e s p r o p o s e d means o f o b t a i n i n g t h e r e q u i r e d i n f o r m a t i o n , d e r i v e d t h r o u g h c o n s u l t a t i o n w i t h t h e a p p r o p r i a t e P R O S P E C T U S I n i t i a l o u t l i n e o f c o a l r e s e r v e s a n d e x p l o r a t i o n , m i n e s i t e , a n d o f f s i t e d e v e l o p m e n t p r o p o s a l s , i n c l u d i n g t h e m i n i n g p r o p e r t i e s t h e r e s e r v e s ( l o c a t i o n , t y p e , a m o u n t , r e c o v e r a b l e , d e v e l -o p e d , e t c . ) f o r e c a s t p r o d u c t i o n b y p h a s e e s t i m a t e d l a b o u r f o r c e b y p h a s e e x p l o r a t i o n a n d m i n i n g p r o -g r a m s a n d a r e a s i n f l u e n c e d . R e v i e w P r o c e s s S T A G E 1: P R E L I M I N A R Y A S S E S S M E N T 1. P r e l i m i n a r y o u t l i n e o f d e v e l o p m e n t p r o g r a m i m p a c t s r e l a t e d t o e x p l o r a t i o n m i n e d e v e l o p m e n t m i n e r e c l a m a t i o n c o a l p r o c e s s i n g p o w e r d e v e l o p m e n t t r a n s p o r t a t i o n c o m m u n i t y d e v e l o p m e n t r e g i o n a l e c o n o m y . 2. A n a l y s i s o f e x i s t i n g d a t a t o i d e n t i f y d a t a g a p s r e l a t e d t o e x i s t i n g e n v i -r o n m e n t a n d t h e c o m m u n i t y . 3 . D e s i g n a n d i m p l e m e n t a t i o n o f e n -v i r o n m e n t a l m o n i t o r i n g p r o g r a m s t o fill d a t a g a p s . T h i s t o b e d o n e b y c o n t a c t w i t h a p p r o p r i a t e a g e n c i e s . 4. P r e l i m i n a r y i d e n t i f i c a t i o n o f p r o b -l e m s w a r r a n t i n g a s s e s s m e n t a n d a l t e r n a t i v e s o l u t i o n s t o b e e x p l o r e d . S T A G E I I I : O P E R A T I O N A L P L A N S A N D A P P R O V A L A P P L I C A T I O N S 1. P r e p a r a t i o n o f d e t a i l e d p l a n s o f a c t i o n f o r m a n a g i n g i d e n t i f i e d e n v i r o n m e n t a l i m p a c t s m e e t i n g c o m m u n i t y a n d s o c i a l d e v e l o p m e n t r e q u i r e m e n t s o f s e l e c t e d a l t e r n a t i v e s . 2. A p p l i c a t i o n f o r n e c e s s a r y p e r m i t s : M i n e s a n d P e t r o l e u m R e s o u r c e s P o l l u t i o n C o n t r o l B r a n c h W a t e r R i g h t s L a n d s S e r v i c e M u n i c i p a l A f f a i r s H i g h w a y s F o r e s t S e r v i c e . 3 . D e s i g n o f m o n i t o r i n g p r o g r a m s f o r c o n s t r u c t i o n a n d o p e r a t i o n . FIGURE 2 . 1 - S c h e m a t i c D i a g r a m of t h P r o c e s s (Taken from: BC ELUC, 1976 R e v i e w P r o c e s s S T A G E I I : D E T A I L E D A S S E S S M E N T 1. D e t a i l e d o u t l i n e o f d e v e l o p m e n t p r o g r a m r e l a t e d t o e x p l o r a t i o n m i n e d e v e l o p m e n t m i n e r e c l a m a t i o n c o a l p r o c e s s i n g p o w e r d e v e l o p m e n t t r a n s p o r t a t i o n c o m m u n i t y d e v e l o p m e n t . 2. S i t e s p e c i f i c i m p a c t a s s e s s m e n t s f o r a l l e l e m e n t s o f t h e d e v e l o p m e n t p r o g r a m o n n a t u r a l e n v i r o n m e n t t e r r e s t r i a l r e s o u r c e s , i n c l u d i n g l a n d c a p a b i l i t y w a t e r a n d a q u a t i c r e s o u r c e s a i r r e s o u r c e s , i n c l u d i n g n o i s e l e v -e l s . 3 . A l t e r n a t i v e p r o p o s a l s f o r m a n a g i n g i d e n t i f i e d e n v i r o n m e n t a l i m p a c t s a n d m e e t i n g i d e n t i f i e d c o m m u n i t y a n d s o c i a l d e v e l o p m e n t r e q u i r e -m e n t s . 4. A s t a t e m e n t o f a l t e r n a t i v e s p r e -f e r r e d b y d e v e l o p e r w i t h s u p p o r t i n g r e a s o n s . A p p r o v a l b y C a b i n e t S T A G E I V I m p l e m e n t a t i o n o f c o n t i n u i n g m o n i t o r i n g p r o g r a m s . C o a l G u i d e l i n e s Review 1 6 a g e n c i e s . A f o u r t h component of t h e p r e l i m i n a r y a s s e s s m e n t i s a d o c u m e n t a t i o n o f major c o n f l i c t s f o r e s e e n between t h e de v e l o p m e n t and t h e e n v i r o n m e n t . The d e v e l o p e r a l s o p r o v i d e s an economic e v a l u a t i o n o f t h e d e v e l o p m e n t , i n c l u d i n g a p r e l i m i n a r y c o s t - b e n e f i t a n a l y s i s . F i n a l l y , t h e r e p o r t i d e n t i f i e s and examines a l t e r n a t i v e s f o r m i t i g a t i n g or a v o i d i n g a d v e r s e e n v i r o n m e n t a l and s o c i a l i m p a c t s , o r e n h a n c i n g e x i s t i n g c o n d i t i o n s , and t h e d e v e l o p e r p r o p o s e s p r e f e r r e d means o f managing t h e e f f e c t s o f t h e d e v e l o p m e n t . The S t a g e I r e p o r t i s s u b m i t t e d by t h e d e v e l o p e r t o t h e M i n i s t r y of E n e r g y , M i n e s and P e t r o l e u m R e s o u r c e s , and i s r e v i e w e d by t h e S t e e r i n g Committee f o r c o m p l i a n c e w i t h t h e G u i d e l i n e r e q u i r e m e n t s . The r e p o r t i s t h e n c i r c u l a t e d f o r r e v i e w by l i n e a g e n c i e s and m i n i s t r i e s , and t h e S t e e r i n g Committee p a s s e s on t h e i r comments t o t h e d e v e l o p e r . A c c e p t a n c e of t h e S t a g e I r e p o r t i n d i c a t e s t h a t t h e d e v e l o p e r may i n i t i a t e S t a g e II s t u d i e s -- i t does n o t r e p r e s e n t a p p r o v a l - i n - p r i n c i p l e f o r th e d e v e l o p m e n t (BC ELUC, 1976). The S t a g e II r e p o r t c o v e r s t h e same g e n e r a l components as t h e S t a g e I r e p o r t , but i n much g r e a t e r d e t a i l . The S t a g e I I components a r e : " d e t a i l i n g o f t h e d e v e l o p m e n t p r o g r a m o u t l i n e d i n S t a g e I ; s i t e s p e c i f i c a n a l y s e s o f i m p a c t s o f t h e n a t u r a l e n v i r o n m e n t r e l a t e d t o b o t h t h e m i n e s i t e and o f f s i t e a s p e c t s of t h e d e v e l o p m e n t program; a n a l y s e s of a l t e r n a t i v e p r o p o s a l s f o r m i t i g a t i n g i d e n t i f i e d i m p a c t s of t h e b i o p h y s i c a l e n v i r o n m e n t u s i n g b e n e f i t - c o s t a n a l y s i s ; t h e c o s t - e f f e c t i v e n e s s of a l t e r n a t i v e p r o p o s a l s f o r m i t i g a t i n g or c o m p e n s a t i n g f o r i d e n t i f i e d i m p a c t s of t h e b i o p h y s i c a l e n v i r o n m e n t ; 17 i d e n t i f i c a t i o n o f a l t e r n a t i v e means of m e e t i n g i d e n t i f i e d community and s o c i a l r e q u i r e m e n t s ; [and] s t a t e m e n t s of t h e p r e f e r r e d a p p r o a c h f o r e a c h a s p e c t of t h e d e v e l o p m e n t " (BC ELUC, 1976:8). The G u i d e l i n e s p l a c e g r e a t e m p h a s i s on q u a n t i t a t i v e economic a n a l y s i s i n S t a g e I I : "Where p o s s i b l e , b e n e f i t - c o s t a n a l y s e s s h o u l d be u s e d t o compare a l t e r n a t i v e s d e s i g n e d t o m i t i g a t e i m p a c t s o r p l a n d e v e l o p m e n t s i n a r a t i o n a l way" (BC ELUC, 1976:8). However, t h e p r o b l e m s f o r b e n e f i t - c o s t a n a l y s i s p o s e d by " i n t a n g i b l e " r e s o u r c e s a r e r e c o g n i z e d : t h e G u i d e l i n e s a d v i s e d e v e l o p e r s t o use t h e i r judgement ( s u p p l e m e n t e d by a d v i c e from the S t e e r i n g Committee) i n i d e n t i f y i n g s i g n i f i c a n t i m p a c t s . The d e v e l o p e r i s a s k e d t o a s s e s s , p l a n f o r , and make t r a d e - o f f s among ec o n o m i c , e n v i r o n m e n t a l and s o c i a l c o n c e r n s , " t o p r o d u c e a .balance t h a t m a x i m i z e s n e t s o c i a l w e l l - b e i n g i n t h e r e g i o n of d e v e l o p m e n t and t o t h e P r o v i n c e " (BC ELUC, 1976:8). The c o m p l e t e d S t a g e I I r e p o r t i s r e v i e w e d i n d e t a i l i n t h e same manner as t h e S t a g e I r e p o r t . I f , a f t e r government r e v i e w , t h e S t a g e I I r e p o r t i s a c c e p t e d by ELUC, t h i s r e p r e s e n t s a p p r o V a l - i n - p r i n c i p l e f o r t h e s o c i a l and e n v i r o n m e n t a l a s p e c t s of t h e mine d e v e l o p m e n t . T h i s , i n e s s e n c e , i s t h e end o f t h e impact a s s e s s m e n t component of t h e G u i d e l i n e s ' p r o j e c t p l a n n i n g p r o c e s s . However, b e f o r e t h e d e v e l o p m e n t c a n p r o c e e d , t h e n e c e s s a r y p e r m i t s and a p p r o v a l s r e q u i r e d under p r o v i n c i a l s t a t u t e s must be o b t a i n e d . T h i s r e p r e s e n t s S t a g e I I I i n t h e G u i d e l i n e s p r o c e s s . In t h i s S t a g e , t h e d e v e l o p e r o b t a i n s p o l l u t i o n c o n t r o l p e r m i t s , l a n d use p e r m i t s , w a t e r l i c e n c e s , f o r e s t r y a p p r o v a l s , a p p r o v a l 18 of t h e o p e r a t i n g and r e c l a m a t i o n p l a n s , and a p r o d u c t i o n l e a s e (BC ELUC, 1976). I t i s a t t h i s t i m e t h a t t h e a d v a n t a g e s of t h i s i n t e g r a t e d r e v i e w p r o c e s s become a p p a r e n t : t h e S t a g e I and II r e q u i r e m e n t s " e n s u r e t h a t t h e a p p r o p r i a t e a s s e s s m e n t s and s t u d i e s r e q u i r e d f o r p r o j e c t e v a l u a t i o n , a w a r d i n g of v a r i o u s l i c e n c e s , p e r m i t s and a p p r o v a l s a r e s y s t e m a t i c a l l y u n d e r t a k e n " (BC ELUC, 1976:10). O ' R i o r d a n (1981) s t a t e s t h a t t h i s r e p r e s e n t s "a more c o o r d i n a t e d a p p r o a c h t o f i n a l p r o j e c t a p p r o v a l " t h a n had p r e v i o u s l y e x i s t e d i n t h e p r o v i n c e ( p . 1 1 4 ) . S t a g e IV of t h e G u i d e l i n e s i s t h e p r o j e c t i m p l e m e n t a t i o n p h a s e . A f t e r t h e r e q u i r e d p e r m i t s , l i c e n c e s and a p p r o v a l s have been g r a n t e d , t h e p r o j e c t may p r o c e e d t h r o u g h c o n s t r u c t i o n t o p r o d u c t i o n . D u r i n g c o n s t r u c t i o n t h e p r o j e c t i s m o n i t o r e d t o e n s u r e c o m p l i a n c e w i t h t h e t e r m s and c o n d i t i o n s o f t h e p e r m i t s and l i c e n c e s . Once o p e r a t i o n a l , a c t i v i t i e s a s s o c i a t e d w i t h t h e d e v e l o p m e n t a r e m o n i t o r e d t h r o u g h normal government p r a c t i c e s (BC ELUC, 1976) . The G u i d e l i n e s a r e a p r o c e s s f o r p l a n n i n g f o r c o a l d e v e l o p m e n t . T h e i r e m p h a s i s i s on t h e o r d e r l y p r o g r e s s i o n of a p r o p o s a l t h r o u g h t h e s t e p s o f p r o j e c t a p p r a i s a l s and a p p r o v a l s . The G u i d e l i n e s i d e n t i f y t h e r e q u i r e m e n t s d e v e l o p e r s w i l l e n c o u n t e r , and recommend ways of d e a l i n g w i t h t h o s e r e q u i r e m e n t s . The G u i d e l i n e s a l s o a t t e m p t t o f a c i l i t a t e t h e d e v e l o p e r s ' p r o j e c t s c h e d u l i n g (See F i g u r e 2 . 2 ) . F o r example, d e v e l o p e r s a r e a d v i s e d t h a t government r e v i e w o f t h e i r S t a g e I s u b m i s s i o n w i l l r e q u i r e "between one and two months"; and a t S t a g e I I , " t h e r e v i e w w i l l t a k e a minimum of e i g h t weeks" (BC ELUC, 1976:7-8). 19 Procedure for Processing Impact Assessments of Proposed Coed Developments P R O S P E C T U S ( f o r m u l a t e d b y d e v e l o p e r ) 1 S u b m i s s i o n b y D e v e l o p e r l o D e p a r t m e n t o f M i n e s a n d P e t r o l e u m R e s o u r c e s ; r e l a t e d d i s c u s s i o n s i C i r c u l a t i o n t o P r o v i n c i a l G o v e r n m e n t l i n e d e p a r t m e n t ' s b y C o a l D e v e l o p m e n t S t e e r i n g C o m m i t t e e * 1 R e c e i p t o f a g e n c y c o m m e n t s b y S t e e r i n g C o m m i t t e e I C o n s u l t a t i o n ( s ) w i t h D e v e l o p e r ' s R e p r e s e n t a t i v e s a n d ( o r ) C o n s u l t a n t s 1 ' S T A G E 1: P R E L I M I N A R Y A S S E S S M E N T ( C o n t a c t a s n e c e s s a r y w i t h l i n e d e p a r t m e n t s t h r o u g h o u t s t u d y s t a g e ) 1 S u b m i s s i o n o f r e p o r t t o M i n e s D e p a r t m e n t I n i t i a l r e v i e w b y S t e e r i n g C o m m i t t e e I C i r c u l a t i o n a n d r e v i e w b y l i n e d e p a r t m e n t s I C o n s u l t a t i o n ( s ) b e t w e e n D e v e l o p e r ' s R e p r e s e n t a t i v e s / C o n s u l t a n t s a n d S t e e r i n g C o m m i t t e e 1 I n t e g r a t e d f o r m a l c o m m e n t a r y t o D e v e l o p e r ' s R e p r e s e n t a t i v e s / C o n s u l t a n t s b y S t e e r i n g C o m m i t t e e 1 S T A G E 11: D E T A I L E D A S S E S S M E N T ( C o n t a c t a s n e c e s s a r y w i t h l i n e d e p a r t m e n t s t h r o u g h o u t s t u d y s t a g e ) 1 S u b m i s s i o n o f r e p o r t t o M i n e s D e p a r t m e n t i I n i t i a l r e v i e w b y S t e e r i n g C o m m i t t e e I * C i r c u l a t i o n a n d r e v i e w b y l i n e d e p a r t m e n t s I C o n s u l t a t i o n s b e t w e e n D e v e l o p e r ' s R e p r e s e n t a t i v e s / C o n s u l t a n t s a n d S t e e r i n g C o m m i t t e e 1 I n t e g r a t e d f o r m a l c o m m e n t a r y t o D e v e l o p e r ' s R e p r e s e n t a t i v e s / C o n s u l t a n t s b y S t e e r i n g C o m m i t t e e I S T A G E I I I : O P E R A T I O N A L P L A N S A N D A P P R O V A L O F P E R M I T A P P L I C A T I O N S ( D i r e c t l i a i s o n w i t h a p p r o p r i a t e r e g u l a t o r y d e p a r t m e n t s ) I S u b m i s s i o n o f d e t a i l e d p l a n s a n d a n a l y s e s a s r e q u i r e d f o r s t a t u t o r y a p p r o v a l s b y l i n e d e p a r t m e n t s 1 S u c c e s s f u l p r o j e c t s g r a n t e d n e c e s s a r y p e r m i t a p p r o v a l s • Consists of representatives of Departments of Mines and Petroleum Resources and Economic Development and the E L U C Secretariat. FIGURE 2.2 - Coal Development Assessment Procedure (Taken from: BC ELUC, 1976:9). 20 However, w h i l e t h e G u i d e l i n e s do a t t e m p t t o s t r e a m l i n e t h e r e v i e w and a p p r o v a l s p r o c e s s , t h e y a r e n o t an example o f t h e "one-window" a p p r o a c h t o r e g u l a t i o n . The CGSC does c o o r d i n a t e t h e r e v i e w s a t S t a g e s I and I I , but S t a g e I I I r e g u l a t o r y a p p r o v a l s must be n e g o t i a t e d d i r e c t l y w i t h e a c h m i n i s t r y o r a g e n c y -- t h e r e i s no s i n g l e c l e a r i n g h o u s e f o r a l l n e c e s s a r y p e r m i t s , l i c e n c e s and a p p r o v a l s . 2.1.2 ^ The C o a l G u i d e l i n e s : P e r c e i v e d P r o b l e m s A l t h o u g h p u b l i s h e d c r i t i c a l a n a l y s e s of t h e C o a l G u i d e l i n e s a r e s c a r c e , some i m p o r t a n t p r o b l e m s have been i d e n t i f i e d . F i r s t , t h e G u i d e l i n e s e m p h a s i z e t h e use of b e n e f i t - c o s t a n a l y s i s as a means of c o m p a r i n g a l t e r n a t i v e s . T h i s i s somewhat i r o n i c , as t h e key weakness of b e n e f i t - c o s t a n a l y s i s l i e s i n t h e v a l u a t i o n of e c o l o g i c a l r e s o u r c e s (Rees, 1979a). Not o n l y i s t h e r e c o n s i d e r a b l e d e b a t e o v e r v a l u a t i o n o f t h o s e e c o l o g i c a l r e s o u r c e s w i t h some d i r e c t or i n d i r e c t e c onomic v a l u e t o man, s u c h as s c e n i c r e c r e a t i o n a r e a s (Coomber and B i s w a s , 1973); f u r t h e r p r o b l e m s a r e p r e s e n t e d by what have been t e r m e d " n o n - r e s o u r c e s " ( E h r e n f e l d , 1978) as w e l l as e s t i m a t i n g t h e v a l u e s of e c o l o g i c a l " s e r v i c e s " (Westman, 1977). As O ' R i o r d a n and S e w e l l s t a t e , t h e f a i l i n g o f b e n e f i t - c o s t a n a l y s i s i s " i t s i n a b i l i t y t o d i s t i n g u i s h among o b j e c t i v e s o t h e r t h a n t h a t of p u r e economic e f f i c i e n c y and hence i n t h e i n f l e x i b i l i t y of i t s a p p r o a c h when c o n f r o n t e d w i t h l o n g t e r m e n v i r o n m e n t a l and s o c i a l c o n s e q u e n c e s " ( 1 9 8 1 : 1 3 ) ; t h e y go on t o e x p l a i n t h a t b e n e f i t - c o s t a n a l y s i s was n e v e r meant t o do s o . In t h i s l i g h t , i t c a n be a r g u e d t h a t t h e G u i d e l i n e ' s e m p h a s i s on b e n e f i t - c o s t a n a l y s i s i s i n a p p r o p r i a t e . 21 However, a c t u a l r e l i a n c e on b e n e f i t - c o s t a n a l y s i s by d e v e l o p e r s may not be as g r e a t as t h e G u i d e l i n e s would a p p e a r t o recommend. F o r example, t h e Q u i n t e t t e C o a l EIS u s e s q u a l i t a t i v e d e s c r i p t i o n s of b o t h t h e m a g n i t u d e and t h e i m p o r t a n c e of t h e e n v i r o n m e n t a l e f f e c t s o f i t s p r o p o s a l . A s e c o n d , more i m p o r t a n t , p r o b l e m i s " t h e l a c k of a c l e a r l i n k a g e between p r o j e c t a s s e s s m e n t under t h e g u i d e l i n e s and o v e r a l l c o a l p o l i c y " ( O ' R i o r d a n , 1981:115). O ' R i o r d a n e x p l a i n s t h a t w h i l e t h e p r o v i n c e does have a c o a l p o l i c y c o n t a i n i n g g e n e r a l e n v i r o n m e n t a l and s o c i a l o b j e c t i v e s , t h a t p o l i c y does not c o n s i d e r t h e c o n s e q u e n c e s of v a r i o u s l e v e l s of d e v e l o p m e n t . B e c a u s e t h e G u i d e l i n e s a r e a p p l i e d t o e a c h d e v e l o p m e n t i n t u r n ( t h e c ompanies i n v o l v e d i n t h e N o r t h e a s t C o a l Development f i l e s e p a r a t e a s s e s s m e n t s and a p p l i c a t i o n s ) , r e v i e w s of i n d i v i d u a l p r o p o s a l s c a n n o t a s s e s s c u m u l a t i v e i m p a c t s i n t h e a b s e n c e of a c l e a r p o l i c y framework. O ' R i o r d a n (1981) p o i n t s out t h a t i n t h e N o r t h e a s t , t h e government i s c o n d u c t i n g a r e g i o n a l a s s e s s m e n t o f t h e p r o p o s e d d e v e l o p m e n t s i n an a t t e m p t t o f o r m u l a t e a p p r o p r i a t e p o l i c i e s . P r o b a b l y t h e most i m p o r t a n t s h o r t c o m i n g of t h e G u i d e l i n e s i s t h e l i m i t e d o p p o r t u n i t y f o r p u b l i c p a r t i c i p a t i o n i n t h e p l a n n i n g p r o c e s s ( O ' R i o r d a n , 1981). The G u i d e l i n e s l e a v e d e c i s i o n s on w hether, when, and how t o i n v o l v e t h e p u b l i c i n t h e EIA t o t h e d i s c r e t i o n o f t h e d e v e l o p e r . The G u i d e l i n e s a d v i s e d e v e l o p e r s t o i n i t i a t e t h e i r p u b l i c c o n s u l t a t i o n p r o c e s s a t t h e end of S t a g e I , when a l t e r n a t i v e p l a n s c a n be d i s c u s s e d . However, d e v e l o p e r s a r e o f t e n r e l u c t a n t t o h o l d p u b l i c m e e t i n g s u n t i l t h e y have f i r m p r o j e c t p r o p o s a l s ( O ' R i o r d a n , 1981). A f t e r 22 c o m p l e t i o n of S t a g e I I , t h e S t e e r i n g Committee c a n recommend t h a t ELUC h o l d a p u b l i c h e a r i n g b e f o r e t h e d e c i s i o n - i n - p r i n c i p l e i s made (Couch, 1982). B u t , b e c a u s e by t h i s t i m e t h e d e v e l o p e r has s e t t l e d on a p r e f e r r e d a l t e r n a t i v e , i t i s q u e s t i o n a b l e t h a t more g e n e r a l d e v e l o p m e n t i s s u e s , i n c l u d i n g a l t e r n a t i v e s t o t h e d e v e l o p e r ' s p r o p o s a l , would be c o n s i d e r e d . The p u b l i c may be i n v o l v e d i n r e g u l a t o r y h e a r i n g s h e l d a t t h e m i n i s t e r s ' d i s c r e t i o n ( O ' R i o r d a n , 1981), but a g a i n t h e s e would be n a r r o w l y f o c u s s e d on s p e c i f i c i s s u e s r e l a t e d t o g r a n t i n g t h e v a r i o u s p e r m i t s , l i c e n c e s and a p p r o v a l s . F i n a l l y , t h e r e i s no s p e c i f i c l e g i s l a t i v e a u t h o r i t y b a c k i n g t h e G u i d e l i n e s , a c o n d i t i o n w h i c h i s o f t e n v i e w e d as a weakness i n " a d m i n i s t r a t i v e " EIA p r o c e s s e s . However, as O ' R i o r d a n p o i n t s o u t , t h e p r o v i n c e c an b r i n g p r e s s u r e s t o b e a r on t h e d e v e l o p e r t o e n s u r e c o m p l i a n c e : "With t h e b r o a d powers under t h e E n v i r o n m e n t and Land Use A c t , 2 combined w i t h the s p e c i f i c r e g u l a t i o n s under o t h e r a c t s w h i c h s e t c o n d i t i o n s f o r o b t a i n i n g t h e n e c e s s a r y d e v e l o p m e n t p e r m i t s , B r i t i s h C o l u m b i a has not needed s t a t u t o r y a u t h o r i t y t o make e n v i r o n m e n t a l a s s e s s m e n t o f major p r o j e c t s n e c e s s a r y " ( 1 9 8 1 : 1 0 0 ) . 2.1.3 2. T n e C o a l G u i d e l i n e s : Summary The C o a l G u i d e l i n e s r e p r e s e n t a s t a g e d r e v i e w p r o c e s s w h i c h e x p l i c i t l y a t t e m p t s t o i n t e g r a t e e n v i r o n m e n t a l c o n c e r n s i n t o 2 T h e A c t (RSBC 1979, c.110) g i v e s C a b i n e t t h e power t o "make o r d e r s r e s p e c t i n g t h e e n v i r o n m e n t , o r l a n d u s e , t h a t [ C a b i n e t ] c o n s i d e r s n e c e s s a r y and a d v i s a b l e . . . " ( s . 6 ) . T h e s e o r d e r s a r e deemed t o s u p e r c e d e powers g r a n t e d under o t h e r p r o v i n c i a l l e g i s l a t i o n ( s . 6 ) . 23 p r o j e c t p l a n n i n g . By p r o v i d i n g f o r e a r l y i n v o l v e m e n t of r e g u l a t o r y a g e n c i e s and d e p a r t m e n t s i n t h e p l a n n i n g p r o c e s s , t h e G u i d e l i n e s seek t o s t r e a m l i n e t h e p r o j e c t r e v i e w and a p p r o v a l s p r o c e s s . W h i l e t h i s a p p r o a c h t o p r o j e c t a s s e s s m e n t may be w e l l s u i t e d t o t h e needs of i n d u s t r y and d e v e l o p m e n t - o r i e n t e d m i n i s t r i e s , i t i s a m a t t e r of some c o n c e r n t h a t t h e o p p o r t u n i t y f o r d i r e c t p u b l i c i n v o l v e m e n t i n t h e e a r l y s t a g e s o f p o l i c y f o r m u l a t i o n and p r o j e c t p l a n n i n g i s a b s e n t . P u b l i c p a r t i c i p a t i o n i s w i d e l y v i e w e d as a p r e r e q u i s i t e f o r e f f e c t i v e and e q u i t a b l e EIA, p a r t i c u l a r l y r e s p e c t i n g e v a l u a t i o n s of i n t a n g i b l e r e s o u r c e u s e s . As p u b l i c i n v o l v e m e n t i n S t a g e I I i s l e f t i n t h e hands of t h e p r o j e c t p r o p o n e n t s , t h e r e c l e a r l y e x i s t some s t e p s w h i c h s h o u l d be t a k e n t o c r e a t e a more a c c e p t a b l e EIA p r o c e s s from a b r o a d e r p l a n n i n g p e r s p e c t i v e . 24 2.2 ^ The F e d e r a l E n v i r o n m e n t a l A s s e s s m e n t And Review P r o c e s s One of t h e f i r s t f e d e r a l moves t o w a r d s EIA came i n June of 1972, when t h e f e d e r a l C a b i n e t a c c e p t e d a De p a r t m e n t o f t h e E n v i r o n m e n t (DOE) p r o p o s a l w h i c h r e q u i r e d a l l new f e d e r a l p r o j e c t s t o be s c r e e n e d t o d e t e r m i n e p o l l u t i o n abatement r e q u i r e m e n t s ; t h o s e r e q u i r i n g f u r t h e r a s s e s s m e n t were r e f e r r e d t o DOE (Canada. F e d e r a l E n v i r o n m e n t a l A s s e s s m e n t Review O f f i c e , 3 1977). T h i s a s s e s s m e n t p r o c e d u r e was s u b s e q u e n t l y expanded t o i n c l u d e e n v i r o n m e n t a l i m p a c t s i n g e n e r a l when t h e f e d e r a l EARP was c r e a t e d by C a b i n e t D i r e c t i v e on December 20, 1973 (Canada. FEARO, 1977). 2.2.1 ^ EARP i n T h e o r y EARP, as e s t a b l i s h e d i n 1973 and m o d i f i e d i n 1977, was i n t e n d e d .to be a "means of d e t e r m i n i n g i n a d v a n c e t h e p o t e n t i a l e n v i r o n m e n t a l impact o f a l l f e d e r a l p r o j e c t s , p r o g r a m s , and a c t i v i t i e s " (Canada. FEARO, 1979:1"). The M i n i s t e r of t h e E n v i r o n m e n t , c h a r g e d w i t h r e s p o n s i b i l i t y f o r EARP (Government O r g a n i z a t i o n A c t , RSC 1979 c.13 s . 6 ( 1 ) ( a ) ( i i ) ), c r e a t e d t h e q u a s i - i n d e p e n d e n t FEARO t o s u p e r v i s e t h e p r o c e s s . The p r i n c i p l e o b j e c t i v e s of EARP were t o e n s u r e t h a t f e d e r a l d e p a r t m e n t s and a g e n c i e s : t a k e e n v i r o n m e n t a l m a t t e r s i n t o a c c o u n t t h r o u g h o u t t h e p l a n n i n g and i m p l e m e n t a t i o n o f p r o j e c t s , p r o g r a m s and a c t i v i t i e s ; a s s e s s p o t e n t i a l 3 H e r e a f t e r c i t e d a s "Canada. FEARO". " U n l e s s o t h e r w i s e n o t e d , i n f o r m a t i o n f o r s e c t i o n 2.2.1 was t a k e n from t h i s p u b l i c a t i o n . 25 environmental e f f e c t s before i r r e v o c a b l e d e c i s i o n s or commitments are made; submit for review a l l assessments of p r o j e c t s which would s i g n i f i c a n t l y a f f e c t the environment; and to incorporate the r e s u l t s of assessments and reviews i n t o p r o j e c t design, c o n s t r u c t i o n , implementation and operation, g i v i n g environmental problems the same weight as socio-economic, engineering and other concerns (Canada. FEARO, 1978). Although aimed e x p l i c i t l y at f e d e r a l departments and agencies only, f e d e r a l crown cor p o r a t i o n s and regulatory agencies were " i n v i t e d to p a r t i c i p a t e " i n the process (Canada. FEARO, 1978). Because EARP was e s t a b l i s h e d by a Cabinet D i r e c t i v e , as opposed to l e g i s l a t i o n , i t has no l e g a l enforcement power ( B r i t i s h Columbia. M i n i s t r y of the Environment, 1977). However, the D i r e c t i v e r equires that a l l f e d e r a l departments and agencies implement the process. Following the " p o l l u t e r pays" p r i n c i p l e , the proponent 5 i s required to cover c e r t a i n costs of applying the process to t h e i r proposal (Canada. FEARO, 1978). The f e d e r a l government pays for ba s e l i n e s t u d i e s , the assessment process (EARP's a d m i n i s t r a t i o n ) , " v e r i f i c a t i o n and enforcement" and monitoring. The proponents cover the costs of report preparation ( i n c l u d i n g the EIS), use of government experts required to prepare the r e p o r t s , and "proponent i n s p e c t i o n and r e p o r t i n g " (monitoring). The costs of ac c e l e r a t e d b a s e l i n e s t u d i e s are shared by the government and the proponent (Canada. FEARO, 5The proponent i s defined as "a company, province, or other o r g a n i z a t i o n which intends to undertake a p r o j e c t , program or a c t i v i t y " which f a l l s under the scope of EARP (Canada. FEARO, 1979:11). 26 1978). T h e r e a r e t h r e e p o s s i b l e s t a g e s t o EARP: i n i t i a l a s s e s s m e n t ; i n i t i a l e n v i r o n m e n t a l e v a l u a t i o n ( I E E ) ; and f o r m a l r e v i e w (See F i g u r e 2 . 3 ) . The f i r s t two s t a g e s , known c o l l e c t i v e l y a s t h e s c r e e n i n g p h a s e , a r e c o n d u c t e d by t h e i n i t i a t o r 6 "as e a r l y i n t h e p l a n n i n g s t a g e s a s p o s s i b l e , " an i n t e r n a l p r o c e d u r e w h i c h i s d e s c r i b e d a s " s e l f - a s s e s s m e n t " (Canada. FEARO, 1979:3). The p u r p o s e of t h i s i n i t i a l a s s e s s m e n t i s t w o f o l d : t o d e t e r m i n e t h e e n v i r o n m e n t a l e f f e c t s o f t h e p r o p o s a l ; and t o d e t e r m i n e t h e s i g n i f i c a n c e of t h e e f f e c t s . W h i l e t e c h n i c a l i n f o r m a t i o n i s i m p o r t a n t , " p u b l i c r e a c t i o n t o a p r o p o s a l i s a major f a c t o r i n d e t e r m i n i n g s i g n i f i c a n c e " ( C a n a d a . FEARO, 1979:3). One of t h r e e outcomes f r o m t h i s i n i t i a l a s s e s s m e n t i s p o s s i b l e . I f no s i g n i f i c a n t a d v e r s e e n v i r o n m e n t a l e f f e c t s a r e f o r e s e e n , t h e p r o j e c t p r o c e e d s , w i t h t h e a p p r o p r i a t e m i t i g a t i v e m e a s u r e s . I f s i g n i f i c a n t a d v e r s e e n v i r o n m e n t a l e f f e c t s a r e f o r e s e e n , t h e p r o j e c t i s r e f e r r e d t o FEARO f o r f o r m a l r e v i e w . Or, i f t h e " n a t u r e and s c o p e " o f e n v i r o n m e n t a l e f f e c t s a r e u n c e r t a i n , t h e p r o p o s a l may move t o t h e IEE s t a g e . The I E E ( w h i c h may be b y p a s s e d i f t h e p r o p o s a l i s r e f e r r e d d i r e c t l y f o r f o r m a l r e v i e w ) i n c l u d e s d e s c r i p t i o n s o f t h e p r o p o s a l and c u r r e n t e n v i r o n m e n t a l and r e s o u r c e u s e s of t h e a r e a i n v o l v e d ; an o u t l i n e of p o t e n t i a l ^ e n v i r o n m e n t a l i m p a c t s ; and p r o p o s e d m i t i g a t i v e m e a s u r e s . A l t e r n a t i v e s t o t h e p r o p o s a l a r e a l s o examined i n t h e I E E . Based on t h i s i n f o r m a t i o n , a d e c i s i o n 6 T h e i n i t i a t o r i s t h e f e d e r a l d e p a r t m e n t o r a g e n c y w h i c h s p o n s o r s t h e p r o p o n e n t ' s p r o p o s a l . In some c a s e s , t h e p r o p o n e n t and t h e i n i t i a t o r may be t h e same f e d e r a l d e p a r t m e n t o r a g e n c y . S C H E M A T I C D I A G R A M O F T H E F E D E R A L E N V I R O N M E N T A L A S S E S S M E N T A N D REV IEW P R O C E S S PROJECT M A Y P R O C E E D . W I T H M I T I G A T I N G M E A S U R E S IF R E Q U I R E D Initial E nviron-memal Evaluation No significant effects P R O J E C T M A Y P R O C E E D . WITH M I T I G A T I N G M E A S U R E S IF R E Q U I R E D Potential Significant effects Panel Guidelines lor E 1 S. produced E I S produced Public review ol E I S . and p iu iec i lormed by in i l ia lor Panel f etonimends Proceed w i th project Proceed hut with modif.icatiQns Do not proceed with project Ministers accept or reiect Panel Recommendat ion Proceed with project Proceed but with modif icat ions Oo not proceed with project Project goes ahead Project cancelled or postponed FIGURE 2.3 - S c h e m a t i c D i a g r a m of Assessment and Review P r o c e s s 40) . t h e F e d e r a l (Taken f r o m : E n v i r o n m e n t a l Couch, 1982: ro 28 i s made r e g a r d i n g t h e s i g n i f i c a n c e of t h e e n v i r o n m e n t a l e f f e c t s . I f n ot c o n s i d e r e d s i g n i f i c a n t , t h e p r o p o s a l p r o c e e d s , a g a i n w i t h a p p r o p r i a t e m i t i g a t i v e m e a s u r e s . I f c o n s i d e r e d s i g n i f i c a n t , t h e p r o p o s a l i s r e f e r r e d f o r f o r m a l r e v i e w . The f i r s t s t e p of t h e f o r m a l r e v i e w phase i s t h e f o r m a t i o n of an E n v i r o n m e n t A s s e s s m e n t P a n e l , w h i c h c o n d u c t s t h e r e v i e w on b e h a l f of t h e M i n i s t e r of t h e E n v i r o n m e n t . S e p a r a t e p a n e l s a r e e s t a b l i s h e d f o r e a c h r e v i e w , and a r e u s u a l l y c o m p r i s e d of f o u r t o e i g h t members. The i n i t i a t o r and DOE have t h e o p t i o n o f b e i n g r e p r e s e n t e d on e a c h P a n e l - o t h e r members may be s e l e c t e d from w i t h i n o r o u t s i d e t h e f e d e r a l p u b l i c s e r v i c e . The P a n e l s f u n c t i o n as i n d e p e n d e n t b o d i e s , r e p o r t i n g d i r e c t l y t o t h e M i n i s t e r o f t h e E n v i r o n m e n t . FEARO p r o v i d e s s u p p o r t s t a f f f o r e a c h P a n e l . The f i r s t t a s k of t h e P a n e l i s t o p r e p a r e g u i d e l i n e s f o r t h e p r e p a r a t i o n of t h e E I S . The p u r p o s e of t h e g u i d e l i n e s i s t o e n s u r e t h a t t h e EIS c o n t a i n s r e l e v a n t and a p p r o p r i a t e i n f o r m a t i o n , t o e n a b l e e f f e c t i v e e v a l u a t i o n o f t h e p r o p o s a l . Where " s i g n i f i c a n t p u b l i c c o n c e r n a n d / o r i n t e r e s t has been d e m o n s t r a t e d . . . " (Canada. FEARO, 1979:6), t h e d r a f t g u i d e l i n e s may be r e l e a s e d f o r r e v i e w by i n t e r e s t e d g r o u p s and i n d i v i d u a l s ; t h e comments r e c e i v e d may be i n c o r p o r a t e d by t h e P a n e l i n t o t h e f i n a l g u i d e l i n e s . The f i n a l g u i d e l i n e s a r e s u b s e q u e n t l y p a s s e d t o t h e i n i t i a t o r f o r p r e p a r a t i o n o f t h e E I S . The g u i d e l i n e s d e t e r m i n e t h e d e g r e e t o w h i c h p h y s i c a l , b i o l o g i c a l o r s o c i a l a s p e c t s o f t h e p r o p o s a l a r e e m p h a s i z e d i n t h e E I S . The E I S , w h i c h may be p r e p a r e d by t h e i n i t i a t o r o r by t h e p r o p o n e n t (on b e h a l f o f t h e i n i t i a t i n g d e p a r t m e n t or a g e n c y ) , 29 d e s c r i b e s t h e p r o j e c t , i t s l o c a t i o n , t h e need f o r i t , and " a l t e r n a t i v e methods f o r a c h i e v i n g t h e p r o j e c t o t h e r t h a n t h e one p r o p o s e d " (Canada. FEARO, 1979:6). The EIS a l s o d e s c r i b e s t h e e x i s t i n g e n v i r o n m e n t i n t h e a r e a , c u r r e n t r e s o u r c e u s e s , s o c i a l c o n d i t i o n s , and t h e economic b a s e . The p o t e n t i a l e f f e c t s o f t h e p r o p o s a l and p r o p o s e d m i t i g a t i v e measures a r e i d e n t i f i e d . The EIS must a l s o i d e n t i f y t h o s e i m p a c t s w h i c h w i l l r e m a i n a f t e r t h e m i t i g a t i v e m e a sures have been i m p l e m e n t e d . When t h e EIS i s c o m p l e t e , i t i s r e v i e w e d by t h e P a n e l and a p p r o p r i a t e f e d e r a l and p r o v i n c i a l d e p a r t m e n t s and a g e n c i e s t o d e t e r m i n e i f t h e i n f o r m a t i o n p r e s e n t e d i s a d e q u a t e f o r t h e p u r p o s e s o f t h e f o r m a l r e v i e w . The EIS i s n o r m a l l y made a v a i l a b l e f o r p u b l i c r e v i e w and comment. A f t e r r e c e i v i n g comments on t h e E I S , t h e P a n e l may p r e p a r e , i f n e c e s s a r y , a l i s t o f d e f i c i e n c i e s , w h i c h i s f o r w a r d e d t o t h e i n i t i a t o r , and a l s o made p u b l i c . When t h e a p p r o p r i a t e improvements have been i n c o r p o r a t e d i n t o t h e E I S , i t i s made a v a i l a b l e t o t h e p u b l i c . A f t e r "a c e r t a i n t i m e " i s a l l o w e d f o r p u b l i c r e v i e w of t h e E I S , p u b l i c m e e t i n g s a r e h e l d "as a m a t t e r of c o u r s e . " The p u b l i c m e e t i n g s a r e c o n d u c t e d i n f o r m a l l y - " t h e y a r e n o t l e g a l p r o c e e d i n g s " (Canada. FEARO, 1979:7) - a c c o r d i n g t o p r o c e d u r e s i s s u e d by t h e P a n e l . 7 T h i s i n f o r m a l s t r u c t u r e i s s a i d " t o 7 A l t h o u g h t h e m e e t i n g s a r e not " l e g a l p r o c e e d i n g s " , and a l t h o u g h t h e government i s n o t o b l i g a t e d t o h o l d t h e s e m e e t i n g s , one l e g a l o p i n i o n c o n c l u d e d t h a t t h e p r o c e d u r e s f o r t h e p u b l i c m e e t i n g s "...must s a t i s f y b a s i c s t a n d a r d s of f a i r n e s s . . . " (C. G. W a t k i n s , c i t e d i n Rees, 1981b:12). I f t h e s e s t a n d a r d s were not s a t i s f i e d , i t c o u l d be p o s s i b l e t o seek j u d i c i a l r e v i e w o f t h e p r o c e d u r e s t o compel t h e government t o make t h e n e c e s s a r y c h a n g e s i n t h e i r p r a c t i c e s f o r t h e m e e t i n g s . 30 p r o v i d e t h e g r e a t e s t o p p o r t u n i t y f o r i n d i v i d u a l s or g r o u p s t o e x p r e s s t h e i r o p i n i o n s " (Canada. FEARO, 1979:7). Upon r e c e i v i n g p u b l i c and t e c h n i c a l comments, t h e P a n e l p r e p a r e s a r e p o r t w h i c h summarizes t h e p r o p o s a l and i t s p o t e n t i a l c o n s e q u e n c e s ; and w h i c h i n c l u d e s t h e c o n c l u s i o n s and reco m m e n d a t i o n s of t h e P a n e l . The P a n e l may recommend t h a t t h e p r o p o s a l : n o t p r o c e e d ; p r o c e e d as p r o p o s e d ; o r p r o c e e d w i t h s p e c i f i e d m o d i f i c a t i o n s and c o n d i t i o n s . T h i s r e p o r t i s s u b m i t t e d t o t h e M i n i s t e r o f t h e E n v i r o n m e n t , and s u b s e q u e n t l y made p u b l i c . The f i n a l d e c i s i o n on t h e P a n e l ' s recommendations i s made by t h e M i n i s t e r of t h e E n v i r o n m e n t , i n c o n s u l t a t i o n w i t h t h e M i n i s t e r r e s p o n s i b l e f o r t h e i n i t i a t i n g d e p a r t m e n t or agency (and i n some c a s e s , o t h e r members of C a b i n e t ) . 2.2.2 - EARP: P e r c e i v e d P r o b l e m s A l t h o u g h EARP a p p e a r s on t h e s u r f a c e t o be w e l l d e s i g n e d f o r i t s s p e c i f i e d o b j e c t i v e s , many who o b s e r v e t h e p r o c e s s i n a c t i o n f e e l i t has f a i l e d t o meet i t s e x p e c t a t i o n s . The p r o f u s i o n i n t h e l i t e r a t u r e of c r i t i c a l a n a l y s e s of EARP c a n , i n a l l p r o b a b i l i t y , be a t t r i b u t e d t o a g e n e r a l d i s s a t i s f a c t i o n w i t h t h e p r o c e s s . I n d e e d , weaknesses and d e f i c i e n c i e s have been d e s c r i b e d a t v i r t u a l l y e v e r y s t e p o f t h e p r o c e s s . T h i s s e c t i o n a d d r e s s e s many of t h e f u n d a m e n t a l and i m p o r t a n t p r o b l e m s w h i c h have been i d e n t i f i e d . The v a r i o u s a g e n c i e s and d e p a r t m e n t s o f t h e f e d e r a l government c o n c e p t u a l i z e a l a r g e number of p r o j e c t s , programs and a c t i v i t i e s e v e r y y e a r . By d e f i n i t i o n , t h e s e must a l l be s c r e e n e d , as EARP " a u t o m a t i c a l l y a p p l i e s " whenever a f e d e r a l 31 p r o j e c t i s c o n c e i v e d . T h i s p l a c e s an "immense b u r d e n " on the s c r e e n i n g phase (Rees, 1981a). As m e n t i o n e d above, s c r e e n i n g i s c a r r i e d o u t by t h e i n i t i a t o r s . D e s p i t e t h e i m p o r t a n c e o f t h i s p h a s e , " s c r e e n i n g p r o c e d u r e s have been e n t i r e l y ad hoc ... [and r e m a i n ] d i f f e r e n t i a l l y d e v e l o p e d , g e n e r a l l y i n a d e q u a t e , and u n e n t h u s i a s t i c i n i m p l e m e n t a t i o n " (Rees, l 9 8 l a : 3 6 5 ) . One s t u d y e x a m i n i n g t h e s c r e e n i n g p r o c e d u r e s of f o u r major f e d e r a l d e p a r t m e n t s , w h i c h i n i t i a t e many p r o j e c t s a n n u a l l y , f o u n d t h a t o n l y one of t h e f o u r had d e v e l o p e d and i m p l e m e n t e d a s y s t e m a t i c s c r e e n i n g p r o c e d u r e ( H o l i s k o , 1980). Most a n a l y s e s of t h e s c r e e n i n g phase i n d i c a t e t h a t " t h e r e i s l i t t l e from a v a i l a b l e e v i d e n c e t o s u g g e s t t h a t e x i s t i n g s c r e e n i n g p r o c e d u r e s a r e e f f e c t i v e i n a c h i e v i n g s t a t e d ( o r presumed) o b j e c t i v e s " (Rees, I 9 8 l a : 3 6 4 ) . The f a i l u r e of t h e s c r e e n i n g phase t o meet i t s o b j e c t i v e s may be due t o r e l y i n g on t h e p a r a d o x of " s e l f -a s s e s s m e n t " (Rees, 1981a). T h e r e has been a t r o u b l i n g l a c k of c o n s i s t e n c y i n t h e outcome of s c r e e n i n g p r o c e d u r e s , even w i t h i n t h e same d e p a r t m e n t . One example i s t h e Department o f I n d i a n A f f a i r s and N o r t h e r n D e v e l o p m e n t ' s (DIAND) s c r e e n i n g o f o f f s h o r e h y d r o c a r b o n p r o j e c t s i n t h e N o r t h . W h i l e DIAND r e f e r r e d N o r l a n d P e t r o l e u m ' s p r o p o s a l f o r a s i n g l e e x p l o r a t o r y w e l l i n L a n c a s t e r Sound f o r f o r m a l r e v i e w under EARP (a d e c i s i o n w h i c h u l t i m a t e l y r e s u l t e d t h a t p r o p o s a l ' s demise) (Rees, 1979b), t h e e x t e n s i v e e x p l o r a t o r y d r i l l i n g p r o g r a m s i n t h e B e a u f o r t Sea were n e v e r r e f e r r e d , o s t e n s i b l y b e c a u s e " . . . t h e e x p l o r a t i o n component ... i s s u b j e c t t o c u r r e n t government r e v i e w mechanisms" ( R o b e r t s , 1981:2). ( T h e s e same " r e v i e w mechanisms" p r e s u m a b l y e x i s t e d f o r L a n c a s t e r 32 Sound.) W h i l e e n v i r o n m e n t a l c o n d i t i o n s may d i f f e r between t h e two a r e a s , i t i s s t i l l d i f f i c u l t t o r e c o n c i l e s u c h d i f f e r e n t outcomes from s c r e e n i n g such s i m i l a r p r o p o s a l s . S e v e r a l i m p o r t a n t p r o b l e m s have been i d e n t i f i e d i n t h e f o r m a l r e v i e w p h a s e . One c r i t i c i s m i s t h a t t h e r i g h t of t h e i n i t i a t o r t o a p p o i n t a P a n e l member c o n t r i b u t e s t o "a r e a s o n a b l e a p p r e h e n s i o n of b i a s and a p o t e n t i a l f o r c o n f l i c t of i n t e r e s t " w h i c h c o u l d undermine p u b l i c c o n f i d e n c e i n t h e p r o c e s s (Rees, 1981a:359). The P a n e l must be seen t o be i n d e p e n d e n t o f t h e p r o p o n e n t and i n i t i a t o r , t o g a i n p u b l i c c r e d i b i l i t y ( L u c a s , 1981). However, h a v i n g t h e p r o p o n e n t r e p r e s e n t e d on t h e P a n e l would be " . . . c o n s i s t e n t w i t h t h e ' b e t t e r p l a n n i n g ' o b j e c t i v e s . . . " of EIA, and " . . . a l s o f a c i l i t a t e s p o s t - a s s e s s m e n t f o l l o w - u p " ( L u c a s , 1981:164). The r e l a t i v e i n f l u e n c e of t h e s e two c o n s i d e r a t i o n s on P a n e l s e l e c t i o n may be r e l a t e d t o t h e i n t e n d e d r o l e of EARP. I f EARP i s meant t o be an o b j e c t i v e , d i s i n t e r e s t e d r e v i e w of a p r o p o s a l , P a n e l members would be e x p e c t e d t o have no t i e s t o t h e p r o p o n e n t or i n i t i a t o r . But i f EARP i s c o n s i d e r e d t o be a p l a n n i n g t o o l more t h a n a p r o j e c t a p p r a i s a l p r o c e s s , p r o p o n e n t r e p r e s e n t a t i o n on t h e P a n e l c o u l d c o n t r i b u t e t o t h a t f u n c t i o n . As EARP i s i n t e n d e d t o p l a y b o t h r o l e s (Canada. FEARO, 1979), P a n e l s e l e c t i o n w i l l l i k e l y c o n t i n u e t o r e f l e c t what has been d e s c r i b e d a s " t h e b a s i c t e n s i o n between t h e p l a n n i n g and r e g u l a t o r y o b j e c t i v e s of e n v i r o n m e n t a l a s s e s s m e n t p r o c e s s e s " ( L u c a s , 1981:164). Much a t t e n t i o n has been g i v e n t o t h e r o l e and i m p o r t a n c e o f t h e E I S i n e n v i r o n m e n t a l a s s e s s m e n t p r o c e s s e s i n b o t h Canada and 33 t h e U n i t e d S t a t e s . P r o b l e m s i d e n t i f i e d i n EARP's EIS g u i d e l i n e s i n c l u d e r u d i m e n t a r y a p p r o a c h e s , u n c e r t a i n r a t i o n a l e , no g u i d a n c e on methods t o be u s e d , and l i m i t e d p r o v i s i o n f o r p u b l i c i n v o l v e m e n t i n f o r m u l a t i n g t h e g u i d e l i n e s (Lang and Armour, 1980), and t h e f a i l u r e t o r e q u i r e c o n s i d e r a t i o n of t h e "no-go" a l t e r n a t i v e i n t h e EIS (Rees, 1981b). In c o m p a r i s o n t o t h e B.C. C o a l G u i d e l i n e s , EARP i s o r i e n t e d much more t o w a r d p u b l i c i n v o l v e m e n t . Of c o u r s e , t h i s has not s t o p p e d c r i t i c s from i d e n t i f y i n g a number of f l a w s . The p r o c e s s makes p u b l i c p a r t i c i p a t i o n c o s t l y , l i m i t i n g i n f o r m e d p a r t i c i p a t i o n by c o n c e r n e d g r o u p s and i n d i v i d u a l s ; as a r e s u l t , EARP may not a d e q u a t e l y a s s e s s l o c a l c o n c e r n s (Lang and Armour, 1980). T h i s r a i s e s t h e i s s u e of whether " o u t s i d e r s " can a d e q u a t e l y c o n s i d e r l o c a l s o c i a l and e n v i r o n m e n t a l v a l u e s (Lang and Armour, 1980). A r e l a t e d p r o b l e m i s FEARO's f a i l u r e t o " d e v e l o p o r e n f o r c e c o n s i s t e n t r u l e s f o r t h e c o n d u c t of p u b l i c r e v i e w s " (Rees, I 9 8 l a : 3 6 0 ) . Even when p u b l i c m e e t i n g s a r e h e l d , t h e e f f e c t i v e n e s s of t h e p u b l i c p a r t i c i p a t i o n a t c o m m u n i c a t i n g l o c a l p r e f e r e n c e s t o d i s t a n t ( g e o g r a p h i c a l l y and, o f t e n , c u l t u r a l l y ) d e c i s i o n - m a k e r s has been c r i t i c i z e d : " . . . t h e o n l y t h i n g t h a t a l l o w s t h i s ' p r o c e s s ' t o j u s t i f y i t s e l f i s t h a t i t a l l o w s n o r t h e r n e r s t h e p r e s c r i b e d r i t u a l of c o n s u l t a t i o n " (Gamble, 1982:11). I n s t e a d of d i r e c t i n v o l v e m e n t i n d e c i s i o n - m a k i n g , p u b l i c i n p u t goes " . . . t h r o u g h an i n t e r m e d i a t e h o s t [ t h e P a n e l ] ... t h a t i s n e i t h e r t h e a f f e c t e d n o r t h e e f f e c t i n g p a r t y , n o r i s t h a t h o s t a c c o u n t a b l e f o r what i t d o e s " (Gamble, 1982:16). Many o b s e r v e r s , a s a r e s u l t , t e n d t o view EARP as a p u b l i c c o n s u l t a t i o n p r o c e s s , 34 r a t h e r t h a n a p u b l i c p a r t i c i p a t i o n p r o c e s s . A l t h o u g h EARP was i n t e n d e d t o be an i n t e g r a l component of t h e p l a n n i n g p r o c e s s , i t has i n f a c t been "imposed as an o v e r l a y on t h e e x i s t i n g d e c i s i o n - m a K i n g p r o c e s s e s " (Fox, 1979:72), and t y p i c a l l y as an " a f t e r - t h o u g h t " (Rees, 1981a). T h i s r u n s c o u n t e r t o t h e e f f e c t i v e n e s s c r i t e r i a i d e n t i f i e d i n 1.3: t h a t c o n s i d e r a t i o n o f i m p a c t s s h o u l d o c c u r e a r l y i n t h e p l a n n i n g p r o c e s s ; and t h a t EIA s h o u l d be f u l l y i n t e g r a t e d i n t o p r o j e c t p l a n n i n g . The c r i t i c i s m s i d e n t i f i e d above r e f l e c t w eaknesses i n d e s i g n and o p e r a t i o n w h i c h c o u l d l e a d t o t h e f a i l u r e of EARP t o meet i t s o b j e c t i v e s . O t h e r c r i t i c i s m s a r e r e l a t e d t o what o b s e r v e r s f e e l EARP s h o u l d be, as o p p o s e d t o what i t i s . One common c r i t i c i s m of t h i s t y p e i s EARP's " l a c k of l e g a l mandate and p r o c e d u r e s " (Rees, 1981b:11). T h i s means t h a t P a n e l s have no subpoena power, p a r t i c i p a n t s c a n n o t be r e q u i r e d t o c o o p e r a t e , and P a n e l members may be u n w i l l i n g or u n a b l e t o d e l v e i n t o c e r t a i n i s s u e s (Rees, 1981a). EARP's l e g a l s t a t u s has a n o t h e r i m p o r t a n t c o n s e q u e n c e : b e c a u s e EARP e x i s t s o n l y a s a C a b i n e t o r d e r , i t s i m p l e m e n t a t i o n by a d m i n i s t r a t o r s i s h i g h l y d i s c r e t i o n a r y , and " [ i ] n s t a n t m o d i f i c a t i o n i s p o s s i b l e , w i t h o u t any n e c e s s i t y f o r c o n s u l t a t i o n w i t h a f f e c t e d p a r t i e s , o r p u b l i c s c r u t i n y " ( L u c a s and P e t e r s o n , 1978:75). In a d d i t i o n , " . . . t h e p u b l i c has no ' r i g h t s ' under EARP. E v e r y a s p e c t of p o t e n t i a l i n v o l v e m e n t i s s u b j e c t t o t h e u n f e t t e r e d d i s c r e t i o n of t h e M i n i s t e r " (Emond, 1978:229). And C a s t r i l l i (1975) p o i n t s o u t t h a t a g e n c i e s l i k e FEARO (and, p e r h a p s more i m p o r t a n t l y , t h e o t h e r d e p a r t m e n t s and a g e n c i e s 35 w h i c h a r e s u p p o s e d t o be s c r e e n i n g t h e i r own p r o j e c t s ) c a n n o t be l e g a l l y c o m p e l l e d t o c a r r y o ut t h e s e a d m i n i s t r a t i v e r e v i e w p r o c e d u r e s . The end r e s u l t i s t h a t " [ t ] h e s u c c e s s of t h e e n t i r e p r o c e d u r e d o e s not depend on c l e a r l y s t a t e d r u l e s and p o l i c i e s , b u t r a t h e r on t h e good w i l l of a d m i n i s t r a t o r s e x e r c i s i n g an u n d e f i n e d ' r u l e of r e a s o n ' " (Emond, 1978:28). EARP i s a l s o h a n d i c a p p e d by t h e l a c k of an e x p l i c i t f e d e r a l e n v i r o n m e n t a l p o l i c y : " . . . r e v i e w s a r e c o n d u c t e d i n a p o l i c y vacuum" (Rees, I 9 8 1 a : 3 7 0 ) . I n d e e d , i n s t e a d of o p e r a t i n g under t h e g u i d a n c e o f f e d e r a l p o l i c y , "EARP i n e f f e c t has become a de  f a c t o p o l i c y g e n e r a t o r " (Rees, 1981 a : 371 ) . T h i s l a c k of a p o l i c y framework i s p a r t i a l l y r e s p o n s i b l e f o r t h e s h o r t c o m i n g s i d e n t i f i e d i n u s i n g EARP on a p r o j e c t - s p e c i f i c b a s i s (Rees, 1981a). In some c a s e s , EARP has a p p a r e n t l y been s h o r t c i r c u i t e d f o r p o l i t i c a l r e a s o n s . One example i s t h e c a s e of Dome P e t r o l e u m ' s a c t i v i t i e s i n M c K i n l e y Bay i n t h e B e a u f o r t Sea. An a n a l y s i s of t h e a p p l i c a t i o n of E A R P - r e l a t e d p r o j e c t s c r e e n i n g i n M c K i n l e y Bay c o n c l u d e d t h a t t h e p r o c e s s was p r o b a b l y c i r c u m v e n t e d by h i g h - l e v e l i n t e r v e n t i o n by s e n i o r government o f f i c i a l s i n Ottawa (Rees, 1980). S i m i l a r c o n c l u s i o n s were r e a c h e d i n an a n a l y s i s of t h e L a n c a s t e r Sound EARP. In t h i s i n s t a n c e , t h e Department of I n d i a n A f f a i r s and N o r t h e r n D e v e l o p m e n t ' s d e c i s i o n t o g r a n t a p p r o v a l - i n - p r i n c i p l e t o N o r l a n d ' s p r o p o s e d o f f s h o r e e x p l o r a t o r y d r i l l i n g was s a i d t o have " s u b v e r t e d t h e i n t e n t " of EARP ( D a v i d s o n , 1981:124). T h i s a l s o r e f l e c t s a p r o b l e m r e l a t e d t o i n d i v i d u a l and o r g a n i z a t i o n a l b e h a v i o r - t h e r e has been a slow a c c e p t a n c e a t s e n i o r l e v e l s o f a g e n c i e s o f t h e need f o r 36 e n v i r o n m e n t a l e v a l u a t i o n ( C a n a d a . E n e r g y , M i n e s and R e s o u r c e s , 1978). 2.2.3 - EARP: Summary I t c an be seen t h a t EARP i s l e n g t h y and complex. In p a r t t h i s i s due t o t h e s c o p e o f i t s c o n s i d e r a t i o n s ; but a l s o t o t h e d e g r e e t o w h i c h o p p o r t u n i t y f o r p u b l i c p a r t i c i p a t i o n i s d e s i g n e d i n t o t h e p r o c e s s ( a l t h o u g h t h e e f f e c t i v e n e s s o f t h i s p a r t i c i p a t i o n i s a m a t t e r of some d e b a t e ) . EARP p r e s e n t l y p l a y s an i m p o r t a n t r o l e a t t h e f e d e r a l l e v e l : "EARP has become t h e p r i n c i p l e means by w h i c h t h e f e d e r a l government e v a l u a t e s t h e e c o l o g i c a l and t o a l a r g e e x t e n t t h e s o c i a l , e c o n o m i c , and t e c h n i c a l i m p a c t s of d e v e l o p m e n t p r o j e c t s " (Rees, 197 9 b : 1 ) . EARP has been s u b j e c t e d t o i n t e n s i v e a n a l y s i s . Weaknesses i n t h e s c r e e n i n g phase and i n c o n s i s t e n c i e s i n t h e outcomes of s c r e e n i n g r e v i e w s l e a v e o b s e r v e r s u n c e r t a i n a s t o whether t h e " r i g h t " p r o p o s a l s and p r o j e c t s a r e r e f e r r e d f o r f o r m a l r e v i e w . And d e f i c i e n c i e s have been i d e n t i f i e d i n v i r t u a l l y e v e r y a s p e c t o f t h e f o r m a l r e v i e w p h a s e . However, d e s p i t e t h e s e s h o r t c o m i n g s , i t i s i m p o s s i b l e t o c o n c l u d e t h a t EARP's weaknesses have ( o r have n o t ) r e s u l t e d i n any i n c r e a s e d impact on t h e e n v i r o n m e n t . EARP i s i n t e n d e d t o be a means o f e n s u r i n g t h a t e n v i r o n m e n t a l c o n c e r n s a r e r e p r e s e n t e d i n t h e d e c i s i o n - m a k i n g p r o c e s s . In t h i s l i g h t , EARP has been a p a r t i a l s u c c e s s . F o r example, i n t h e L a n c a s t e r Sound c a s e r e f e r r e d t o above, " . . . t h e e x i s t e n c e o f EARP p r o b a b l y l e d t o an i n c r e a s e d c o n s i d e r a t i o n of i n t e r e s t s t h a n would have o t h e r w i s e o c c u r r e d " ( D a v i d s o n , 1981:133). And FEARO has r e s p o n d e d t o many o f t h e s e c r i t i c i s m s 37 by making a number of c h a n g e s aimed a t s t r e n g t h e n i n g t h e p r o c e s s . (See 3.1 f o r d i s c u s s i o n o f key m o d i f i c a t i o n s made f o r t h e B e a u f o r t Sea EARP.) However, t h e r e r e m a i n s i g n i f i c a n t c o n c e r n s a b o u t t h e l o n g - t e r m a d e q u a c y of EARP as a d e c i s i o n -making t o o l , e s p e c i a l l y i n v i e w o f c u r r e n t p o l i t i c a l p e r c e p t i o n s a b o u t e n v i r o n m e n t a l c o n c e r n s . 2.3 ^ Summary T h i s c h a p t e r examined t h e f e d e r a l and B.C. a p p r o a c h e s t o EIA, d e s c r i b i n g how e a c h p r o c e s s was d e s i g n e d t o work, a s w e l l as p r o b l e m s w h i c h have been i d e n t i f i e d a f t e r i m p l e m e n t a t i o n of e a c h . W h i l e b o t h p r o c e s s e s a t t e m p t t o s o l v e s i m i l a r p r o b l e m s (namely, t h e need t o f u l l y c o n s i d e r e n v i r o n m e n t a l f a c t o r s i n p l a n n i n g and d e c i s i o n - m a k i n g ) , t h e p r o c e s s e s d i f f e r i n a p p r o a c h . The C o a l G u i d e l i n e s ' S t a g e I I EIA a p p e a r s t o be more f u l l y i n t e g r a t e d i n t o t h e p r o v i n c i a l g o v e r n m e n t ' s p r o j e c t r e v i e w p r o c e s s t h a n EARP i s i n t h e e q u i v a l e n t f e d e r a l p r o c e s s . The i n f o r m a t i o n r e q u i r e m e n t s i n t h e C o a l G u i d e l i n e s a r e i n t e n d e d t o s a t i s f y b o t h t h e impact a s s e s s m e n t and t h e a p p r o v a l s and p e r m i t t i n g r e q u i r e m e n t s . C o n v e r s e l y , t h e i n f o r m a t i o n r e q u i r e d i n EARP E I S ' s i s o r i e n t e d s o l e l y t o w a r d s the needs of t h e impact a s s e s s m e n t p r o c e s s . A l t h o u g h some i n f o r m a t i o n g e n e r a t e d f o r t h e EARP EIS may (and p r o b a b l y d o e s ) p r o v e u s e f u l i n s u b s e q u e n t a p p l i c a t i o n s f o r r e g u l a t o r y a p p r o v a l s , i t wo u l d n o t be so by d e s i g n . A s e c o n d , r e l a t e d , p o i n t i s t h a t t h e p r o v i n c i a l r e v i e w p r o c e s s a p p e a r s t o be more s t r e a m l i n e d t h a n t h e f e d e r a l r e v i e w p r o c e s s . In t h e o r y , p r o j e c t r e v i e w under t h e C o a l G u i d e l i n e s 38 moves from p r o p o s a l t o impact a s s e s s m e n t t o r e g u l a t o r y a p p r o v a l s i n a s e q u e n t i a l p r o c e s s . By c o m p a r i s o n , t h e f e d e r a l r e v i e w p r o c e s s i s d i s j o i n t e d and p o o r l y c o o r d i n a t e d . I n a d d i t i o n t o EARP, major p r o j e c t s f a c e a number of o t h e r r e v i e w s . F o r example, t h e B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l w i l l be r e v i e w e d by no l e s s t h a n s i x f e d e r a l d e p a r t m e n t s and a g e n c i e s , i n c l u d i n g FEARO, DOE, t h e N a t i o n a l E n e r g y B o a r d (NEB), t h e Department o f I n d i a n and N o r t h e r n A f f a i r s (DINA), t h e Canada O i l and Gas Lands A d m i n i s t r a t i o n (COGLA), and t h e Department of T r a n s p o r t a t i o n (DOT) (Dome P e t r o l e u m L t d . , 1982; Canada. DINA, 1981). An even g r e a t e r number o f r e g u l a t o r y a p p r o v a l s a r e r e q u i r e d . T h e s e numerous r e v i e w s f u n c t i o n a l m o s t i n d e p e n d e n t l y , and i n no a p p a r e n t l o g i c a l s e q u e n c e . I n d e e d , t h e o n l y common t h r e a d r u n n i n g among t h e v a r i o u s r e v i e w s a p p e a r s t o be t h e i r m a l e a b i l i t y i n t h e f a c e of p o l i t i c a l p r e s s u r e ( f o r example, see Dosman, 1975; B r e g h a , 1979; and Rees , 1980). However, w h i l e t h e C o a l G u i d e l i n e s p r o c e s s does a p p e a r on p a p e r t o be more s t r e a m l i n e d t h a n t h e complex a r r a y o f f e d e r a l r e v i e w p r o c e s s e s , i n p r a c t i c e t h i s a p p a r e n t a d v a n t a g e may not be so c l e a r - c u t . And, as p o i n t e d o u t i n 3.2, t h e C o a l G u i d e l i n e s r e v i e w p r o c e s s i s no l e s s m a l e a b l e under p o l i t i c a l p r e s s u r e . The s t r e a m l i n e d p r o v i n c i a l p r o c e s s does a p p e a r t o c a r r y a p r i c e : t h e o p p o r t u n i t y f o r p u b l i c p a r t i c i p a t i o n i n t h e r e v i e w i s l i m i t e d , and o c c u r s p r i m a r i l y a t t h e d e v e l o p e r ' s d i s c r e t i o n ; w h i l e EARP i s s t r u c t u r e d t o f a c i l i t a t e p u b l i c i n v o l v e m e n t . A g a i n , however, a p p e a r a n c e s may be m i s l e a d i n g . A l t h o u g h t h e d e v e l o p e r s a r e n o t l e g a l l y r e q u i r e d t o i n v o l v e t h e p u b l i c i n t h e impact a s s e s s m e n t s t a g e s , p u b l i c - r e l a t i o n s and p o l i t i c a l 39 c o n s i d e r a t i o n s may make some p u b l i c p a r t i c i p a t i o n l i k e l y . And t h e r e i s a d i s t i n c t i o n t o be made between " p u b l i c p a r t i c i p a t i o n " and " e f f e c t i v e p u b l i c p a r t i c i p a t i o n . " W h i l e EARP does p r o v i d e f o r e x t e n s i v e p u b l i c i n v o l v e m e n t , t h e e f f e c t i v e n e s s o f t h i s p u b l i c p a r t i c i p a t i o n ( t h a t i s , t h e e x t e n t t o w h i c h t h e p u b l i c i n p u t i s a c t u a l l y c o n s i d e r e d i n d e c i s i o n - m a k i n g ) has been q u e s t i o n e d (Gamble, 1982). F i n a l l y , one common c h a r a c t e r i s t i c o f t h e two p r o c e s s e s , of as g r e a t i m p o r t a n c e as t h e above d i f f e r e n c e s , i s t h e i r l e g a l s t a t u s . Many a n a l y s t s of t h e p r o c e s s e s have c r i t i c i z e d t h e i r l a c k o f s t a t u t o r y b a c k i n g , and have s u g g e s t e d t h a t t h e r e may not be a d e q u a t e i n c e n t i v e f o r government and i n d u s t r y t o comply w i t h t h e r e q u i r e m e n t s . However, t a k e n i n c o m b i n a t i o n w i t h r e g u l a t o r y a p p r o v a l s r e q u i r e d under v a r i o u s s t a t u t e s , t h e r e i s s i g n i f i c a n t p o l i t i c a l p r e s s u r e w h i c h c o u l d be b r o u g h t t o b e a r on d e v e l o p e r s c o n t e m p l a t i n g n o n - c o m p l i a n c e . As s t a t e d above, f o r b o t h p o l i t i c a l and p u b l i c - r e l a t i o n s r e a s o n s , i t i s i n t h e d e v e l o p e r s ' own i n t e r e s t t o comply w i t h t h e s e " i n f o r m a l " government r e q u i r e m e n t s . 40 CHAPTER 3 - TWO NORTHERN MEGA-PROJECTS H a v i n g d e s c r i b e d t h e f e d e r a l and B r i t i s h C o l u m b i a EIA and p r o j e c t r e v i e w p r o c e s s e s , we c a n now t u r n t o two m e g a - p r o j e c t s c u r r e n t l y u n d e r g o i n g r e v i e w . The B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l and t h e N o r t h e a s t C o a l Development have p r i c e t a g s measured i n b i l l i o n s of d o l l a r s , and p r o m i s e e n v i r o n m e n t a l and s o c i a l c h a n g e s o f c o m p a r a b l e m a g n i t u d e . They a r e c l a s s i c e xamples of t h e v e r y r e a s o n f o r t h e e x i s t e n c e of EIA: t h e c l a s h between t h e ec o n o m i c and s o c i a l g o a l of r e s o u r c e d e v e l o p m e n t and t h e s o c i a l g o a l o f e n v i r o n m e n t a l c o n s e r v a t i o n and p r o t e c t i o n . B o t h g o a l s a r e j u s t i f i e d i n t h e i r own r i g h t -however, t o a g r e a t e x t e n t , t h e y a r e m u t u a l l y e x c l u s i v e . From t h i s i n h e r e n t i n c o m p a t i b i l i t y a r i s e s t h e need t o make i n f o r m e d t r a d e - o f f s between t h e two g o a l s . I t i s i n t h i s c o n t e x t t h a t t h e s e two p r o j e c t s a r e b e i n g r e v i e w e d by go v e r n m e n t . T h i s c h a p t e r r e v i e w s t h e h i s t o r y , r a t i o n a l e , p o l i c y e n v i r o n m e n t , and r e g u l a t o r y e n v i r o n m e n t ( i n c l u d i n g EIA) of e a c h p r o j e c t , and i d e n t i f i e s key i s s u e s a s s o c i a t e d w i t h e a c h . 3. 1 2. The B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n P r o p o s a l The f e d e r a l g o v e r n ment's d r i v e t o w a r d s s e l f - s u f f i c i e n c y i n o i l has p l a c e d g r e a t emphasis on e x p l o r a t i o n and d e v e l o p m e n t of f r o n t i e r a r e a s w i t h s u s p e c t e d h y d r o c a r b o n p o t e n t i a l . One su c h f r o n t i e r a r e a i s t h e B e a u f o r t Sea - M a c k e n z i e D e l t a r e g i o n l o c a t e d o f f t h e A r c t i c c o a s t o f Yukon and t h e N o r t h w e s t T e r r i t o r i e s ( F i g u r e 3 . 1 ) . The B e a u f o r t Sea - M a c k e n z i e D e l t a s e d i m e n t a r y b a s i n , w h i c h c o v e r s an a r e a of a p p r o x i m a t e l y 420 000 s q u a r e k i l o m e t e r s under C a n a d i a n and A m e r i c a n t e r r i t o r i a l 41 F I G U R E 3 . 1 - L o c a t i o n o f t h e B e a u f o r t S e a H y d r o c a r b o n D e v e l o p m e n t ( A d a p t e d f r o m : D o m e P e t r o l e u m L i m i t e d e t a l . , 1 9 8 2 : v o l " . 1 , p . 1 . 2 ) . 42 w a t e r s , i s s a i d t o have " a l l t h e a t t r i b u t e s of a major h y d r o c a r b o n p r o d u c i n g a r e a " (Dome P e t r o l e u m L i m i t e d e t a l . , 1982, v o l . 2 , p . 2 . 1 ) . The key g e o l o g i c a l f e a t u r e of t h i s b a s i n i s t h e T e r t i a r y age s e d i m e n t s . The c h a r a c t e r i s t i c s o f t h e b a s i n , i n c l u d i n g "many s t r u c t u r a l and s t r a t i g r a p h i c t r a p s , " a r e " v e r y s i m i l a r t o o t h e r p r o d u c i n g o i l b a s i n s i n t h e w o r l d " (Dome P e t r o l e u m L i m i t e d e t a l . , 1982, v o l . 2 , p . 2 . 2 ) . The p e t r o l e u m i n d u s t r y h as been a c t i v e i n t h e B e a u f o r t r e g i o n s i n c e t h e f i r s t f e d e r a l e x p l o r a t i o n p e r m i t s were g r a n t e d i n 1965, and has i n v e s t e d o v e r $1 b i l l i o n i n e x p l o r a t i o n (Dome P e t r o l e u m L i m i t e d e_t a l . , 1981). S e i s m i c e x p l o r a t i o n work c o v e r i n g a p p r o x i m a t e l y 100 000 k i l o m e t e r s has i d e n t i f i e d many " p o t e n t i a l h y d r o c a r b o n - b e a r i n g s t r u c t u r e s " t o d a t e (Dome P e t r o l e u m L i m i t e d e t a l . , 1982, v o l . 2 , p . 2 . 3 ) . On t h e b a s i s of t h e s e i s m i c work, o n s h o r e and o f f s h o r e d r i l l i n g began. Over 100 o n s h o r e e x p l o r a t i o n w e l l s have been d r i l l e d s i n c e 1965, r e s u l t i n g i n s e v e r a l o i l and gas d i s c o v e r i e s (Dome P e t r o l e u m L i m i t e d e t a l . , 1982). As t h e most s i g n i f i c a n t h y d r o c a r b o n p o t e n t i a l i n t h e r e g i o n i s t h o u g h t t o be o f f s h o r e , a number of o f f s h o r e e x p l o r a t i o n w e l l s have been d r i l l e d u s i n g one o f two methods. The f i r s t method i n v o l v e s c o n s t r u c t i o n o f o f f s h o r e a r t i f i c i a l i s l a n d s w h i c h s e r v e a s d r i l l i n g p l a t f o r m s . S i n c e 1973, 23 w e l l s have been d r i l l e d from 21 a r t i f i c i a l i s l a n d s , i n w a t e r s r a n g i n g from 3 t o 22 m e t e r s i n d e p t h (Dome P e t r o l e u m L i m i t e d e_t a l . , 1982). The s e c o n d method of o f f s h o r e d r i l l i n g r e l i e s on t h e use of d r i l l s h i p s , w h i c h a r e c a p a b l e o f o p e r a t i n g i n d e e p e r w a t e r s . F o u r d r i l l s h i p s have d r i l l e d 15 w e l l s s i n c e 1976, i n d e p t h s o f 43 23 t o 68 m e t e r s of water (Dome P e t r o l e u m L i m i t e d e t a l . , 1982). These e x p l o r a t i o n w e l l s have d e m o n s t r a t e d t h e p r e s e n c e o f o i l and gas r e s e r v e s i n t h e r e g i o n . However, a f t e r more t h a n 130 e x p l o r a t o r y w e l l s , t h e t h r e s h o l d volume of r e s e r v e s r e q u i r e d f o r c o m m e r c i a l v i a b i l i t y has y e t t o be r e a c h e d . R e g a r d l e s s , i n d u s t r y e s t i m a t e s of r e c o v e r a b l e r e s e r v e s i n d i c a t e a h i g h p r o b a b i l i t y t h a t c o m m e r c i a l l e v e l s a r e p r e s e n t i n t h e r e g i o n (Dome P e t r o l e u m L i m i t e d e t a l . , 1982). A p p r o x i m a t e l y 50 c o m p a n i e s h e l d e x p l o r a t i o n p e r m i t s i n t h e r e g i o n ; Dome P e t r o l e u m L i m i t e d , E s s o R e s o u r c e s Canada L i m i t e d and G u l f Canada R e s o u r c e s I n c . b e i n g t h e p r i n c i p l e h o l d e r s (Dome P e t r o l e u m L i m i t e d e_t a l . , 1981). These p e r m i t s have now been r e n e g o t i a t e d i n t o e x p l o r a t i o n a g r e e m e n t s under t h e new Canada O i l and Gas A c t ( B i l l C - 4 8 ) . D e s p i t e t h e p e r c e i v e d abundance of o i l i n t h e W e s t e r n p r o v i n c e s , Canada i s c u r r e n t l y a n e t i m p o r t e r o f o i l . P e r h a p s more s i g n i f i c a n t l y , t h e NEB has f o r e c a s t a p o t e n t i a l o i l s u p p l y s h o r t f a l l of up t o 1.8 m i l l i o n b a r r e l s p e r day by 2000 1 ( C a n a d a . NEB, 1981). I f t h i s s h o r t f a l l were t o be met t h r o u g h i n c r e a s e d o i l i m p o r t s , t h e c o u n t r y would f a c e two i m p o r t a n t c o n s e q u e n c e s . F i r s t , t h e r e would be an i n c r e a s e d d r a i n on t h e n a t i o n a l t r e a s u r y ; and s e c o n d , t h e n a t i o n would become i n c r e a s i n g l y 1 T h i s f i g u r e r e p r e s e n t s t h e t o t a l d i f f e r e n c e between t h e "low s u p p l y " and " h i g h demand" f o r e c a s t s ; one must r e c o g n i z e t h e h i g h l e v e l o f u n c e r t a i n t y i n h e r e n t i n s u c h l o n g - t e r m e s t i m a t e s . 44 dep e n d e n t on f o r e i g n s o u r c e s of s u p p l y . 2 C o n s e q u e n t l y , t h e c u r r e n t n a t i o n a l e n e r g y p o l i c y i s d i r e c t e d t o w a r d s i n c r e a s i n g C a n a d i a n o i l p r o d u c t i o n ( Canada. E n e r g y , M i n e s and R e s o u r c e s , 1980; 1982). As B e a u f o r t Sea o i l c o u l d r e d u c e s i g n i f i c a n t l y C anada's dependence on i m p o r t e d o i l , t h e f e d e r a l government has d e v e l o p e d and i m plemented s u c c e s s i v e s y s t e m s of i n c e n t i v e s t o e n c o u r a g e e x p l o r a t i o n i n t h e r e g i o n (and o t h e r f r o n t i e r a r e a s ) by t h e o i l i n d u s t r y . B e c a u s e of t h e h i g h c o s t of e x p l o r a t i o n i n f r o n t i e r r e g i o n s , and i n view of t h e f e d e r a l g o v e r n m e n t ' s p e r c e p t i o n of t h e need f o r f r o n t i e r o i l , e x p l o r a t i o n i n c e n t i v e s have been v e r y g e n e r o u s . C u r r e n t l y , f o r example, Ottawa a l l o w s companies w i t h a c e r t a i n l e v e l of C a n a d i a n o w n e r s h i p t o w r i t e o f f up t o 80% of a l l e x p l o r a t i o n c o s t s t h r o u g h t h e P e t r o l e u m I n c e n t i v e s P r ogram (Canada. E n e r g y , M i n e s and R e s o u r c e s , 1981). Even so, w i t h t h e p r o j e c t e d c o s t of t h e B e a u f o r t d e v e l o p m e n t o v e r $52 b i l l i o n ( B o t t , 1982), and w i t h o u t p r o v e n l a r g e r e s e r v e s , i n d u s t r y and t h e government a r e i n v e s t i n g a l o t of money i n a v e r y h i g h - r i s k v e n t u r e . The e a r l i e s t p o s s i b l e p r o d u c t i o n d a t e f o r B e a u f o r t o i l was o r i g i n a l l y s a i d t o be 1986 (Dome P e t r o l e u m L i m i t e d e_t a l . , 1982), b ut p r o d u c t i o n now a p p e a r s u n l i k e l y b e f o r e t h e l a t e 1980s or e a r l y 1990s. Development a c t i v i t i e s i n t h e N o r t h a r e c l o s e l y r e g u l a t e d . As m e n t i o n e d above, no fewer t h a n s i x f e d e r a l d e p a r t m e n t s and 2 0 f t h e s e , t h e f i r s t i s p r o b a b l y more i m p o r t a n t . R e d u c i n g dependence on i m p o r t e d o i l means i n c r e a s i n g dependence on l i m i t e d d o m e s t i c r e s e r v e s . W h i l e t h i s may be a p o l i t i c a l l y a t t r a c t i v e s h o r t - t e r m s t r a t e g y , i t has been a r g u e d by i n d u s t r y r e p r e s e n t a t i v e s ( s e e S t e w a r d , 1982; and F o s t e r , 1982) t h a t we may be b e t t e r a d v i s e d t o m a i n t a i n a d i v e r s i t y of s o u r c e s of s u p p l y i n s t e a d of p u t t i n g a l l our s e c u r i t y "eggs" i n t h e d o m e s t i c o i l " b a s k e t . " 45 a g e n c i e s may be i n v o l v e d i n p r o j e c t r e v i e w s . T w e n t y - e i g h t key government a p p r o v a l s have been i d e n t i f i e d , i n v o l v i n g FEARO, COGLA, DINA, DOT, DOE and t h e NEB (Dome P e t r o l e u m L i m i t e d , 1982) (s e e T a b l e 3 . 1 ) . W h i l e t h e need f o r b e t t e r i n t e r - a g e n c y c o o r d i n a t i o n has been e x p r e s s e d , t h e c u r r e n t s y s t e m has been d e s c r i b e d a s " e f f e c t i v e i n terms o f y i e l d i n g d e c i s i o n s , p e r h a p s not as q u i c k l y as i n d u s t r y would l i k e a t t i m e s , b u t u s u a l l y i n t i m e t o meet s e a s o n a l i m p e r a t i v e s " (Dome P e t r o l e u m L i m i t e d , 1982:7.1). I n d u s t r y has a l s o s u g g e s t e d t h a t b o t h t h e r e g u l a t o r y p r o c e s s and EARP would b e n e f i t f r o m a more e x p l i c i t n o r t h e r n h y d r o c a r b o n d e v e l o p m e n t p o l i c y (Dome P e t r o l e u m L i m i t e d , 1982). T h i s view c o n c u r s w i t h t h o s e e x p r e s s e d above (by n o n - i n d u s t r y o b s e r v e r s ) i n t h e d i s c u s s i o n of EARP ( s e e s e c t i o n 2 . 2 . 2 ) . B e c a u s e i t "would have p o t e n t i a l l y s i g n i f i c a n t e n v i r o n m e n t a l i m p a c t s " (Munro, 1980) and b e c a u s e of i t s " p o t e n t i a l t o s u b s t a n t i a l l y a l t e r e x i s t i n g l i f e s t y l e s and a c t i v i t i e s i n Canada's n o r t h " ( M a r s h a l l and S c o t t , 1982), t h e M i n i s t e r of DIAND r e f e r r e d t h e B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l f o r a f o r m a l r e v i e w under EARP on J u l y 22, 1980. The r e v i e w i s of h y d r o c a r b o n p r o d u c t i o n and t r a n s p o r t a t i o n e f f e c t s o n l y ; e x p l o r a t i o n , r e v i e w e d t h r o u g h n o r m a l r e g u l a t o r y p r o c e d u r e s i s not i n c l u d e d i n t h e B e a u f o r t Sea EARP. D i f f i c u l t i e s may a r i s e i n t h e " g r e y a r e a " between e x p l o r a t i o n and p r o d u c t i o n : f o r example, an a r t i f i c i a l i s l a n d c o n s t r u c t e d f o r e x p l o r a t i o n d r i l l i n g c o u l d a l s o be u s e d i n p r o d u c t i o n . W h i l e t h e B e a u f o r t Sea EARP i s f o l l o w i n g t h e b a s i c p r o c e d u r e o u t l i n e d above ( i n s e c t i o n 2.2.1), t h e P a n e l r e v i e w a l s o f e a t u r e s some i n n o v a t i o n s . M a r s h a l l and S c o t t (1982) 46 TABLE 3.1 - Key Government Approvals f o r Beaufort Development FEARO Beaufort Sea Panel recommendations COGLA (DIAND) E x p l o r a t i o n Agreement Production Licence D r i l l i n g Program Approval A u t h o r i t y to D r i l l a Well Geophysical Program Approval A p p r o v a l - i n - P r i n c i p l e of Production Development Concept Development Pl a n Approval Production F a c i l i t i e s Approval Approval to Construct a P i p e l i n e Approval to Launch and Transport I n s t a l l a t i o n Approval C e r t i f i c a t e of F i t n e s s Production Operations Approval Approval to Operate a P i p e l i n e Subsurface Storage Licence Operating Licence DIAND I s l a n d Lease and Dredging Permit Land Use Permit Water Licences Socio-Economics B e n e f i t s DOT TERMPOL Recommendations Ship R e g i s t r a t i o n A r c t i c P o l l u t i o n Prevention C e r t i f i c a t e R e g i s t r y of A l t e r a t i o n s DOE Ocean Dumping Permit (Adapted from: Dome Petroleum L i m i t e d , 19 82:7.2) 47 o u t l i n e 5 new f e a t u r e s . (FEARO's a b i l i t y t o m o d i f y EARP i n t h i s manner a r i s e s from EARP's n o n - l e g i s l a t e d s t a t u s . ) F i r s t , t h e seven-member P a n e l f o r t h e B e a u f o r t Sea EARP i s t h e f i r s t t o be s e l e c t e d e n t i r e l y f r o m o u t s i d e t h e p u b l i c s e r v i c e . By s e l e c t i n g P a n e l members w i t h no v e s t e d i n t e r e s t i n t h e outcome of t h e r e v i e w , t h e government s o u g h t t o a b a t e p o t e n t i a l c o n f l i c t - o f -i n t e r e s t a l l e g a t i o n s . S e c o n d , t h e government e s t a b l i s h e d a " p i l o t p r o j e c t " f o r f u n d i n g o f p a r t i c i p a n t s i n t h e r e v i e w . The f u n d i n g program, a d m i n i s t e r e d i n d e p e n d e n t l y o f t h e P a n e l , was c r e a t e d i n r e s p o n s e t o s u g g e s t i o n s from p r e v i o u s P a n e l s as w e l l as i n t e r e s t g r o u p s . A c c o r d i n g t o M a r s h a l l and S c o t t , t h e p r o g r a m has had "a v e r y p o s i t i v e e f f e c t " i n i n c r e a s i n g t h e e f f e c t i v e n e s s of p u b l i c p a r t i c i p a t i o n . P r e v i o u s P a n e l r e v i e w s had been c h a r a c t e r i z e d by t h e " p o l i c y vacuum" i n w h i c h t h e y o p e r a t e d . The B e a u f o r t P a n e l ' s r e s p o n s e t o t h i s was t o r e q u e s t p o s i t i o n p a p e r s from DINA, E n e r g y , M i n e s and R e s o u r c e s , DOE, F i s h e r i e s and O c eans, H e a l t h and W e l f a r e , P u b l i c Works, DOT, E x t e r n a l A f f a i r s , Employment and I m m i g r a t i o n , I n d u s t r y , T r a d e and Commerce, and C o m m u n i c a t i o n s ; as w e l l as t h e R o y a l C a n a d i a n Mounted P o l i c e , t h e N o r t h e r n Canada Power C o m m i s s i o n , t h e Government o f Yukon, and t h e Government o f t h e N o r t h w e s t T e r r i t o r i e s ( C anada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , 1982b). T h e s e p a p e r s were " i n t e n d e d t o show how t h e p r o p o s a l w i l l a f f e c t and be a f f e c t e d by t h e s e a g e n c i e s ' p r o g r a m s , p o l i c i e s and a c t i v i t i e s , " and, w i t h t h e p r o p o n e n t ' s E I S , " s h o u l d g i v e ... a r e a s o n a b l y c o m p l e t e p i c t u r e o f a l l t h e i m p l i c a t i o n s o f d e v e l o p m e n t " ( M a r s h a l l and 48 S c o t t , 1982:12). T h e s e a g e n c i e s have c o m p l i e d w i t h t h e P a n e l ' s r e q u e s t (some more r e a d i l y t h a n o t h e r s ) , and c o p i e s of t h e p o s i t i o n p a p e r s have been d i s t r i b u t e d t o i n t e r e s t e d p a r t i e s . A f o u r t h i n n o v a t i o n was an i n f o r m a t i o n s u r v e y , c o n d u c t e d by FEARO, t o s u p p l e m e n t p u b l i s h e d m a t e r i a l s and t o i d e n t i f y t o p i c s c u r r e n t l y b e i n g r e s e a r c h e d . F i n a l l y , t h e P a n e l has e s t a b l i s h e d a P a n e l o f f i c e i n I n u v i k . S t a f f e d by a n a t i v e n o r t h e r n e r , t h e o f f i c e i s i n t e n d e d t o p r o v i d e an i n f o r m a t i o n and l i a s o n s e r v i c e between t h e P a n e l and n o r t h e r n c o m m u n i t i e s and r e s i d e n t s . C u r r e n t l y , t h e B e a u f o r t Sea p r o p o s a l i s p a s t t h e m i d - p o i n t of t h e f o r m a l r e v i e w . A t t h e r e q u e s t of t h e P a n e l , t h e EIS was p r e p a r e d j o i n t l y by t h e t h r e e p r i n c i p l e o p e r a t o r s i n t h e B e a u f o r t (Dome, E s s o and G u l f ) , on b e h a l f of a l l p e r m i t h o l d e r s i n t h e r e g i o n . ( T h i s r e q u e s t was made i n p a r t t o r e d u c e d u p l i c a t i o n of e f f o r t , b u t a l s o t o o b t a i n a more c o m p r e h e n s i v e view of t h e d e v e l o p m e n t p r o p o s a l . ) The E I S was r e l e a s e d i n November o f 1982 (Canada. FEARO, 1982). A f t e r a 90-day p u b l i c r e v i e w p e r i o d w h i c h ended F e b r u a r y 7, 1983, t h e P a n e l i s s u e d a d e f i c i e n c y s t a t e m e n t t o t h e p r o p o n e n t s on M a r c h 8, 1983 (Canada. FEARO, 1983). T h i s s t a t e m e n t i d e n t i f i e d f o u r m a j o r d e f i c i e n c i e s i n t h e EIS w h i c h t h e P a n e l wanted t h e p r o p o n e n t s t o a d d r e s s b e f o r e p u b l i c m e e t i n g s would be h e l d . F i r s t , t h e P a n e l f e l t t h a t " [ t ] h e s o c i o - e c o n o m i c impact a n a l y s e s [ d i d not p r e s e n t ] an a d e q u a t e p i c t u r e of t h e l i k e l y e f f e c t s o f t h e p r o p o s e d d e v e l o p m e n t on t h e n o r t h e r n r e s i d e n t s and t h e i r s o c i a l e n v i r o n m e n t " (Canada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , 1983:5). S e c o n d , t h e P a n e l a s k e d t h e p r o p o n e n t s t o s t r e n g t h e n t h e i r a s s e s s m e n t s o f c u m u l a t i v e and 49 s y n e r g i s t i c e n v i r o n m e n t a l e f f e c t s of t h e i r p r o p o s a l , and t o d e t a i l t h e i r p r o p o s e d m i t i g a t i v e measures f o r d e a l i n g w i t h e n v i r o n m e n t a l e f f e c t s . T h i r d , t h e P a n e l r e q u e s t e d more i n f o r m a t i o n a b o u t t h e p r o p o n e n t s ' a b i l i t i e s t o d e a l w i t h major o i l s p i l l s i n t h e p r o j e c t a r e a . F i n a l l y , t h e P a n e l n o t e d t h a t t h e p r o p o n e n t s " d i d n o t p r o v i d e t h e Zone Summaries r e q u e s t e d i n t h e G u i d e l i n e s " ( 1 9 8 3 : 2 4 ) , and a s k e d t h e p r o p o n e n t s t o p r o d u c e n o n - t e c h n i c a l , " e a s y - t o - r e a d " summaries o f s o c i a l and e n v i r o n m e n t a l e f f e c t s . In J u l y , 1983, t h e p r o p o n e n t s s u b m i t t e d t o t h e P a n e l t h e i r r e s p o n s e s t o t h e s e f o u r d e f i c i e n c i e s . A f t e r a t h i r t y - d a y r e v i e w p e r i o d , t h e EIS was deemed a c c e p t a b l e by t h e P a n e l . A number of p u b l i c m e e t i n g s i n n o r t h e r n c o m m u n i t i e s and s o u t h e r n c e n t e r s were h e l d f r o m O c t o b e r t o December, 1983. The P a n e l i s p r e s e n t l y g o i n g t h r o u g h t h e i n f o r m a t i o n from t h e r e v i e w and i s p r e p a r i n g i t s recommendations f o r t h e M i n i s t e r of t h e E n v i r o n m e n t . D u r i n g t h e P a n e l r e v i e w , some c o n c e r n s were e x p r e s s e d a b o u t t h r e a t s t o t h e i n t e g r i t y of t h e r e v i e w . At an e a r l y p o i n t i n t h e r e v i e w , when d i s c o v e r y o f c o m m e r c i a l l y v i a b l e o i l r e s e r v e s seemed imminent, t h e f e d e r a l DOE was s a i d t o be "under enormous p r e s s u r e b o t h from t h e c o n s o r t i u m of companies i n v o l v e d i n t h e p r o j e c t and t h e E n e r g y , M i n e s and R e s o u r c e s D e p a r t m e n t , t o speed up t h e p r o c e s s " (Crump, 1982:4). I n d e e d , a memorandum from t h e E x e c u t i v e C h a i r m a n o f FEARO t o t h e M i n i s t e r o f t h e E n v i r o n m e n t o u t l i n e d s e v e r a l means of s p e e d i n g up t h e P a n e l r e v i e w , w h i c h , he a c k n o w l e d g e d , would be a c h i e v e d o n l y a t "a f a i r p r i c e i n terms o f p r o c e s s i n t e g r i t y , p u b l i c c r e d i b i l i t y and P a n e l a t t i t u d e s " ( R o b i n s o n , 1982:4). A l t h o u g h t h e memorandum c o n c l u d e d 50 t h a t t h e t i m e s a v e d would n o t be w o r t h t h e damage t o t h e c r e d i b i l i t y and i n t e g r i t y o f t h e r e v i e w p r o c e s s , t h e f a c t t h a t s u c h s h o r t c u t s were c o n s i d e r e d by t h e head of FEARO i s e v i d e n c e o f t h e p r e s s u r e s and a t t i t u d e s t h e B e a u f o r t Sea EARP f a c e d . D e s p i t e t h e s e p r e s s u r e s , no s h o r t c u t s were t a k e n i n t h e r e v i e w . T h e r e a r e t h r e e key i s s u e s a s s o c i a t e d w i t h t h e B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l . The f i r s t i s s u e i s t h e u n c e r t a i n t y a b o u t t h e a c t u a l o i l r e s e r v e s p r e s e n t i n t h e r e g i o n . A l t h o u g h a l m o s t e v e r y e x p l o r a t i o n w e l l has i n d i c a t e d t h e p r e s e n c e of o i l and g a s , c o m m e r c i a l r e s e r v e s have not been p r o v e d . Many o b s e r v e r s s u s p e c t t h a t s u f f i c i e n t r e s e r v e s w i l l be f o u n d ; n o n e t h e l e s s , t h e r e i s a h i g h e l e m e n t of r i s k a s s o c i a t e d w i t h i n v e s t m e n t s i n t h e r e g i o n ' s h y d r o c a r b o n p o t e n t i a l . S e c o n d , B e a u f o r t r e s e r v e s would be of s t r a t e g i c i m p o r t a n c e t o Canada. I f p r o d u c t i o n p o t e n t i a l a t t h e l e v e l s e s t i m a t e d by i n d u s t r y c o u l d be r e a l i z e d , Canada's e n e r g y o p t i o n s would be g r e a t l y s t r e n g t h e n e d : we would c o n t i n u e t o have a c h o i c e o f o i l s u p p l y s o u r c e s , and would n o t be f o r c e d i n t o e a r l y dependence on f o r e i g n o i l s u p p l i e s . The a d d i t i o n a l s e c u r i t y B e a u f o r t r e s e r v e s c o u l d g i v e i s i n i t s e l f a p o w e r f u l argument i n f a v o u r o f d e v e l o p m e n t . In a d d i t i o n , B e a u f o r t d e v e l o p m e n t c o u l d p r o v i d e an i m p o r t a n t f o c u s f o r economic a c t i v i t y i n Canada, and would s t i m u l a t e s i g n i f i c a n t s e c o n d a r y e c o n o m i c a c t i v i t y t h r o u g h o u t t h e r e g i o n and t h e r e s t o f Canada (Dome P e t r o l e u m L i m i t e d e_t a l . , 1982). The p r e s e n c e o f s u b s t a n t i a l e c onomic a c t i v i t y i n t h e B e a u f o r t and t h e A r c t i c I s l a n d s would a l s o e s t a b l i s h w i t h g r e a t e r c e r t a i n t y C a n a d i a n s o v e r e i g n t y o v e r t h e r e g i o n . The t h i r d i s s u e - t h e l o c a l and r e g i o n a l i m p a c t s - a r i s e as 51 a c o n s e q u e n c e of t h i s p r o p o s e d l e v e l of a c t i v i t y i n t h e r e g i o n . Two i m p o r t a n t i m p a c t s a r e p o s s i b l e ( M a r s h a l l and S c o t t , 1982). F i r s t , d e v e l o p m e n t w i l l have s i g n i f i c a n t , d r a m a t i c , i m p a c t s on t h e s o c i a l and economic a s p e c t s o f l i f e i n t h e N o r t h — most n o t a b l y on t h e l i f e s t y l e and c u l t u r e of n a t i v e s i n t h e r e g i o n . T h e s e i m p a c t s may be p e r c e i v e d as p o s i t i v e , n e g a t i v e , o r b o t h : b u t s u c h an e v a l u a t i o n c a n be made o n l y by t h o s e a f f e c t e d . The s e c o n d key l o c a l i s s u e i s t h e p o t e n t i a l impact of a c a t a s t r o p h i c e v e n t . An a c c i d e n t s u c h as a w e l l b l o w - o u t c o u l d have a d r a s t i c i m pact on t h e n a t u r a l e n v i r o n m e n t , and, as a d i r e c t c o n s e q u e n c e , on t h e n a t i v e p o p u l a t i o n s whose l i f e s t y l e s and c u l t u r e s r e m a i n c l o s e l y t i e d t o t h e l a n d and t h e s e a . T h e s e i s s u e s r e p r e s e n t t h e c r u x of t h e c o n t r o v e r s y s u r r o u n d i n g d e v e l o p m e n t o f t h e B e a u f o r t . The i n c r e a s e d e n e r g y s e c u r i t y f o r ( s o u t h e r n ) Canada t h a t B e a u f o r t o i l would b r i n g must be t r a d e d o f f a g a i n s t t h e p o s i t i v e and n e g a t i v e i m p a c t s of d e v e l o p m e n t on t h e n o r t h and n o r t h e r n e r s . The i m p o r t a n t r o l e of t h e B e a u f o r t Sea EARP w i l l be " t o a s s i s t t h e Government i n making e n v i r o n m e n t a l l y r e s p o n s i b l e d e c i s i o n s a b o u t d e v e l o p m e n t i n t h e w e s t e r n A r c t i c " ( M a r s h a l l and S c o t t , 1982:13). 52 3.2 - The N o r t h e a s t C o a l D e velopment Where t h e f e d e r a l g o v e r n m e n t ' s emphasis on p e t r o l e u m d e v e l o p m e n t i s o r i e n t e d t o w a r d s the g o a l of e n e r g y s e l f -s u f f i c i e n c y , t h e B r i t i s h C o l u m b i a government p e r c e i v e s c o a l d e v e l o p m e n t as one means of d i v e r s i f y i n g t h e p r o v i n c i a l economy. One r e s o u r c e d e v e l o p m e n t p r o j e c t w h i c h f a l l s i n t o t h i s c a t e g o r y i s t h e N o r t h e a s t C o a l D e v e l o p m e n t , l o c a t e d i n t h e Peace R i v e r r e g i o n o f n o r t h e a s t e r n B r i t i s h C o l u m b i a ( F i g u r e 3 . 2 ) . C o a l c u r r e n t l y r e p r e s e n t s one of Canada's " u n t a p p e d " r e s o u r c e s . C a n a d i a n c o a l r e s e r v e s a r e e s t i m a t e d i n t h e " h undreds of b i l l i o n s of t o n n e s " (Page, 1982); a t c u r r e n t r a t e s of p r o d u c t i o n t h e p r e d i c t e d l i f e s p a n o f t h e s e r e s e r v e s i s e x p r e s s e d i n h u n d r e d s of y e a r s . In B r i t i s h C o l u m b i a , r e s e r v e s a r e c u r r e n t l y e s t i m a t e d t o be a b o u t 35 b i l l i o n t o n n e s , of w h i c h a b o u t 8 b i l l i o n t o n n e s a r e l o c a t e d i n t h e Peace R i v e r c o a l f i e l d (BC MISBD, n . d . a ) . However, w i t h c u r r e n t m i n i n g methods, o n l y a b o u t 300 m i l l i o n t o n n e s ( a b o u t 4%) of t h e c o a l i n t h i s d e p o s i t can be r e c o v e r e d (BC MISBD, n . d . a ) . C o a l i n t h e Peace R i v e r d e p o s i t s c a n be c l a s s i f i e d a c c o r d i n g t o end u s e . About 85% o f t h e d e p o s i t i s m e t a l l u r g i c a l c o a l , t h a t i s , h i g h - g r a d e c o a l w h i c h i s b u r n e d t o o b t a i n t h e c a r b o n a c e o u s m a t e r i a l ("coke") r e q u i r e d f o r s t e e l p r o d u c t i o n (BC MISBD, n . d . a ) . The d o m e s t i c market f o r m e t a l l u r g i c a l c o a l i s l i m i t e d ( t h e heavy i n d u s t r i e s i n O n t a r i o o b t a i n t h e i r c o a l s u p p l i e s f r o m t h e n o r t h e a s t e r n U n i t e d S t a t e s ) , so t h e p r i m a r y market f o r m e t a l l u r g i c a l c o a l i n B r i t i s h C o l u m b i a i s o f f s h o r e , e s p e c i a l l y J a p a n (Page, 1982). The r e m a i n i n g 15% o f t h e c o a l i s t h e r m a l c o a l , u s e d 53 FIGURE 3.2 -(Adapted p. 1.1). Loca t i o n of the Northeast Coal Development from: Q u i n t e t t e Coal L i m i t e d , 1982: v o l . 1, 54 p r i m a r i l y f o r e l e c t r i c i t y g e n e r a t i o n . W h i l e d o m e s t i c demand f o r t h e r m a l c o a l i s e x p e c t e d t o r i s e i n t h e f u t u r e , t h e r m a l c o a l f r o m t h e N o r t h e a s t d e v e l o p m e n t f a c e s a d i s t i n c t c o m p e t i t i v e d i s a d v a n t a g e due t o i t s r e l a t i v e i s o l a t i o n from m a r k e t s , e s p e c i a l l y i n e a s t e r n Canada (Page, 1982). As a r e s u l t , t h e N o r t h e a s t C o a l Development w i l l be de p e n d e n t p r i m a r i l y on m e t a l l u r g i c a l c o a l e x p o r t s t o o f f s h o r e m a r k e t s . A l t h o u g h t h e c o a l d e p o s i t s i n t h e n o r t h e a s t had been i d e n t i f i e d as e a r l y a s 1793 (by A l e x a n d e r M a c k e n z i e ) , t h e d e p o s i t s were not i n t e n s i v e l y s u r v e y e d u n t i l t h e l a t e 1960's (BC MISBD, n . d . a ) . As a r e s u l t of e x p l o r a t i o n , p l a n n i n g f o r a t o t a l of n i n e d e v e l o p m e n t s was i n i t i a t e d ( O ' R i o r d a n , 1981). C u r r e n t l y , however, o n l y f o u r p r o p o s a l s have r e a c h e d a d v a n c e d p l a n n i n g s t a g e s . Teck C o r p o r a t i o n and L o r n e x M i n i n g ' s B u l l m o o s e p r o j e c t and t h e Q u i n t e t t e c o n s o r t i u m ' s p r o j e c t (managed by D e n i s o n M i n e s L i m i t e d and i n c l u d i n g J a p a n e s e and F r e n c h i n t e r e s t s ) have c o n c l u d e d l o n g - t e r m c o n t r a c t s w h i c h c a l l f o r a p p r o x i m a t e l y 7.7 m i l l i o n t o n n e s of c o a l t o be d e l i v e r e d t o J a p a n e s e b u y e r s , b e g i n n i n g i n l a t e 1983 (BC MISBD, 1982b), and a r e now n e a r i n g c o m p l e t i o n o f t h e c o n s t r u c t i o n p h a s e . A t h i r d , t h e Monkman p r o j e c t of P e t r o - C a n a d a , C a n a d i a n S u p e r i o r O i l and M c l n t y r e M i n e s i s n e a r S t a g e I I a p p r o v a l , b u t i s b e i n g h e l d i n a b e y a n c e u n t i l market c o n d i t i o n s i m p r o v e . The f o u r t h , t h e W i l l o w C r e e k mine of D a v i d M i n e r a l s L i m i t e d and Ssangy o n g C o r p o r a t i o n of So u t h K o r e a , i s a r e l a t i v e l y s m a l l - s c a l e mine w h i c h w i l l e x p o r t a n n u a l l y a b o u t 400 000 t o n n e s o f c o a l t o S o u t h K o r e a . The c o s t of t h e W i l l o w C r e e k p r o j e c t i s an e s t i m a t e d $18 m i l l i o n ( N u t t , 1983). The Monkman and W i l l o w C r e e k p r o j e c t s were not i n c l u d e d 55 i n t h i s s t u d y : t h e f o r m e r b e c a u s e i t has been s h e l v e d ; t h e l a t t e r b e c a u s e i t was not c o n s i d e r e d t o r e p r e s e n t a l a r g e - s c a l e r e s o u r c e d e v e l o p m e n t . T h r e e o t h e r p r o p o s a l s , t h e C i n n i b a r , B u r n t R i v e r and Carbon C r e e k p r o j e c t s , a r e i n t h e e a r l y s t a g e s of t h e C o a l G u i d e l i n e s r e v i e w p r o c e s s (BC MISBD, 1982b). W i t h t h e c o s t s o f t h e f i r s t phase of t h e d e v e l o p m e n t ( t h e Q u i n t e t t e and B u l l m o o s e m i n e s , and t h e a s s o c i a t e d i n f r a s t r u c t u r e ) e s t i m a t e d a t $2.5 b i l l i o n , N o r t h e a s t C o a l r a n k s as " t h e l a r g e s t m i n i n g s e c t o r d e v e l o p m e n t i n C a n a d i a n h i s t o r y " (BC MISBD, 1982a, v o l . 1 , no.2, p . 1 ) . Due t o t h e abundance of c o a l i n Canada and t h e low l e v e l s o f p r e s e n t (and f o r e c a s t e d f u t u r e ) d o m e s t i c demand, t h e c u r r e n t s t r a t e g i c v a l u e o f t h e n o r t h e a s t r e s e r v e s i s l i m i t e d . E x p o r t s of c o a l w i l l , however, s t r e n g t h e n Canada's t r a d e b a l a n c e (BC MISBD, n . d . b ) , a l t h o u g h t h e m a g n i t u d e of i t s c o n t r i b u t i o n w i l l be v e r y d e p e n d e n t upon market c o n d i t i o n s (BC MISBD, 19 8 2 c ) . P r o v i n c i a l l y , t h e "most s i g n i f i c a n t b e n e f i t o f t h e c o a l d e v e l o p m e n t i n t h e n o r t h e a s t would be t h e l o n g - t e r m growth i t would b r i n g t o t h e economy o f t h e r e g i o n " (BC MISBD, n.d.a, p . 3 1 ) . The d e v e l o p m e n t i s s e e n as an a n c h o r f o r f u t u r e economic g r o w t h and d e v e l o p m e n t i n t h e r e g i o n , w h i c h w i l l b r i n g s i g n i f i c a n t s o c i a l and economic d i v e r s i f i c a t i o n (BC MISBD, n . d . a ) . W h i l e t h e d e v e l o p m e n t i s e x p e c t e d t o r e p r e s e n t an e c o n o m i c a l l y sound p u b l i c and p r i v a t e i n v e s t m e n t , i t must be remembered t h a t t h e g o v e r n m e n t ' s p r i n c i p l e j u s t i f i c a t i o n f o r s u p p o r t of t h e d e v e l o p m e n t i s as much s o c i a l and p o l i t i c a l as e c o n o m i c . B e c a u s e o f t h e p e r c e i v e d b e n e f i t s , b o t h t h e f e d e r a l and 56 p r o v i n c i a l g o v e r n m e n t s have made s u b s t a n t i a l i n v e s t m e n t s i n a s s o c i a t i o n w i t h t h e p r i v a t e m i n e s i t e d e v e l o p m e n t s . The f e d e r a l government i s c o m m i t t e d t o c o n s t r u c t i o n and o p e r a t i o n of a new c o a l p o r t a t R i d l e y I s l a n d n e a r P r i n c e George ( R i d l e y T e r m i n a l s I n c . , 1982), and t o u p g r a d i n g t h e C a n a d i a n N a t i o n a l R a i l w a y l i n e between P r i n c e R u p e r t and P r i n c e G e o r g e (BC MISBD, 1982c). The p r o v i n c e i s u n d e r w r i t i n g c o n s t r u c t i o n of t h e new town of Tumbler R i d g e ; c o n s t r u c t i o n of a new B r i t i s h C o l u m b i a R a i l w a y b r a n c h l i n e t o Tumbler R i d g e ; p r o v i s i o n o f r o a d s and u t i l i t i e s t o t h e town; and p r o v i s i o n of power t o t h e m i n e s i t e s . The t o t a l c o s t of th e p u b l i c i n v e s t m e n t i s e s t i m a t e d t o be a p p r o x i m a t e l y $1.3 b i l l i o n (BC MISBD, n . d . b ) . P e r h a p s one i n d i c a t i o n of t h e i m p o r t a n c e t h e BC and f e d e r a l g o v e r n m e n t s a t t a c h t o t h i s d e v e l o p m e n t i s seen i n t h e f a c t t h a t t h e c u r r e n t p u b l i c i n v e s t m e n t a c t u a l l y e x c e e d s t h a t o f t h e p r i v a t e s e c t o r . The N o r t h e a s t C o a l D e v e l o p m e n t i s r e g u l a t e d no l e s s t h a n t h e B e a u f o r t p r o j e c t : t h e C o a l G u i d e l i n e s i d e n t i f y a t o t a l o f 17 p r o v i n c i a l s t a t u t e s a p p l i c a b l e t o c o a l d e v e l o p m e n t , r a n g i n g from p o l l u t i o n c o n t r o l t o t a x a t i o n (BC ELUC, 1976) ( s e e T a b l e 3 . 2 ) . In a d d i t i o n , c e r t a i n f e d e r a l s t a t u t e s and r e g u l a t i o n s a p p l y t o t h e d e v e l o p m e n t - most n o t a b l y t h e f e d e r a l F i s h e r i e s A c t . But th e p r o v i n c e has a t t e m p t e d t o d e a l w i t h t h e p r o b l e m s t h i s c o m p l e x i t y p o s e s f o r i n d u s t r y and government. ELUC and t h e C o a l G u i d e l i n e s S t e e r i n g Committee a r e i n t e n d e d t o s t r e a m l i n e and c o o r d i n a t e government r e v i e w of t h e c o m p a n i e s ' p r o p o s a l s ( O ' R i o r d a n , 1981), a l t h o u g h t h e y d e a l o n l y w i t h m a t t e r s w i t h i n p r o v i n c i a l j u r i s d i c t i o n . A l l p r o p o s e d mines i n t h e N o r t h e a s t C o a l D e velopment must TABLE 3.2 - P r o v i n c i a l L e g x s l a t i o n Applxcable to  Coal Developments i n B r i t i s h Columbia Coal Act Coal Mines Regulation Act C o n t r o l l e d Highway Access Act Corporation C a p i t a l Tax Act Environment and Land Use Act Forest Act Income Tax Act Land Act Land R e g i s t r y Act M i n e r a l Land Tax Act Mining Tax Act M u n i c i p a l Act Park Act * P o l l u t i o n C o n t r o l Act Taxation Act Water Act and Regulations W i l d l i f e Act Source: BC ELUC, 1976:21-24. * Now the Waste Management Act 58 be r e v i e w e d under t h e C o a l G u i d e l i n e s . To d a t e , t h e Q u i n t e t t e , B u l l m o o s e and W i l l o w C r e e k p r o p o s a l s have r e c e i v e d S t a g e I I a p p r o v a l ; P e t r o - C a n a d a ' s Monkman p r o p o s a l has a l s o r e c e i v e d t h e S t a g e II a p p r o v a l - i n - p r i n c i p l e , however, t h e p r o j e c t has been s h e l v e d due t o t h e c u r r e n t weak demand f o r m e t a l l u r g i c a l c o a l . W h i l e t h i s s t u d y i s c o n c e r n e d w i t h t h e e f f e c t s of t h e C o a l G u i d e l i n e s EIA on t h e companies i n v o l v e d , i t i s i m p o r t a n t t o r e c o g n i z e t h a t g o v e r n m e n t a l r e v i e w of t h e Development i s not l i m i t e d t o t h e s c o p e of t h e C o a l G u i d e l i n e s E I A . A f t e r r e c e i v i n g S t a g e I I a p p r o v a l , t h e p r o p o n e n t s must s t i l l n e g o t i a t e t h e i r p e r m i t s and r e g u l a t o r y a p p r o v a l s . T h i s p r o c e s s i n v o l v e s d e t a i l e d r e v i e w s of v i r t u a l l y a l l a s p e c t s o f t h e p r o p o s a l , by a number of government m i n i s t r i e s . A c k n o w l e d g i n g t h e l i m i t a t i o n s of t h e s i t e - s p e c i f i c C o a l G u i d e l i n e s f o r a s s e s s i n g c u m u l a t i v e and r e g i o n a l - s c a l e e f f e c t s of t h e D e v e l o p m e n t , t h e p r o v i n c e i n i t i a t e d a s e r i e s of s t u d i e s of t h e s e b r o a d e r e f f e c t s ( O ' R i o r d a n , 1981). T h e s e s t u d i e s , c o o r d i n a t e d by BC MISBD, " i n d i c a t e d how t h e i n d i v i d u a l p r o j e c t s c o u l d be i n t e g r a t e d i n a framework of r e s o u r c e management and p r o v i d e d i m p o r t a n t i n f o r m a t i o n on c o s t s and b e n e f i t s f o r a s s e s s m e n t o f o v e r a l l economic f e a s i b i l i t y " (BC MISBD, 1982c, p . 5 ) . The f e d e r a l government was i n v o l v e d i n a number of t h e s e s t u d i e s a s a r e s u l t o f t h e 1977 " S u b s i d i a r y Agreement t o E v a l u a t e N o r t h E a s t C o a l and R e l a t e d D e v e l o p m e n t s , " between MISBD and t h e f e d e r a l D e partment o f R e g i o n a l E c o n o m i c E x p a n s i o n (BC MISBD, 1 9 8 2 c ) . B e c a u s e t h e N o r t h e a s t C o a l D e velopment r e q u i r e s t h e c o n s t r u c t i o n and u p g r a d i n g of f a c i l i t i e s from T umbler R i d g e t o 59 R i d l e y I s l a n d , t h e p r o v i n c e c r e a t e d t h e N o r t h e a s t C o a l D evelopment O f f i c e t o o v e r s e e and c o o r d i n a t e t h e range of a c t i v i t i e s . T h i s non-permanent government a g e n c y a t t e m p t s t o c o o r d i n a t e t h e s c h e d u l i n g o f t h e v a r i o u s a c t i v i t i e s t o meet t h e p r o j e c t c o m p l e t i o n d e a d l i n e of December, 1983. W h i l e t h e m i n i n g c o m p a n i e s i n v o l v e d i n t h i s d e v e l o p m e n t must go t h r o u g h t h e C o a l G u i d e l i n e s p r o c e s s , t h e s t r o n g p o l i t i c a l s u p p o r t f o r t h e p r o j e c t has a l l o w e d t h e companies t o t a k e some s h o r t - c u t s . F o r example, a l t h o u g h T e c k d i d not r e c e i v e a p p r o v a l - i n - p r i n c i p l e f o r t h e B u l l m o o s e mine u n t i l December of 1982, c o n s t r u c t i o n a t t h e m i n e s i t e was i n p r o g r e s s i n June of 1982. The G u i d e l i n e s were " b e n t " t o a l l o w t h i s , b ut p r o b a b l y t h e o n l y e f f e c t o f t h i s m a n i p u l a t i o n i s a l o s s of p u b l i c c r e d i b i l i t y of t h e G u i d e l i n e s . C l e a r l y , t h e f i n a l outcome o f t h e r e v i e w w ould have been t h e same: p o l i t i c a l s u p p o r t f o r t h e Development p r e c l u d e d any d e c i s i o n on t h e b a s i s of EIA f i n d i n g s a g a i n s t p r o c e e d i n g . One i m p o r t a n t i s s u e a s s o c i a t e d w i t h t h e N o r t h e a s t C o a l D evelopment i s t h e c o n t i n u e d dependence on p r i m a r y r e s o u r c e d e v e l o p m e n t as a means o f d i v e r s i f y i n g t h e economy. C u r r e n t l y , t h e r e g i o n ' s main economic a c t i v i t i e s a r e a g r i c u l t u r e , f o r e s t r y , p e t r o l e u m and t h e r e l a t e d s u p p o r t i n d u s t r i e s ; l o c a l p r o c e s s i n g of t h e r e s o u r c e s i s " m i n i m a l " (BC MISBD, n . d . a ) . I m p l e m e n t i n g t h i s l a r g e - s c a l e c o a l d e v e l o p m e n t w i l l c e r t a i n l y add a new component t o t h e r e g i o n a l economy. But t h e c o a l i n d u s t r y i s l i k e many h a r d - r o c k m i n i n g i n d u s t r i e s -- v o l a t i l e m a r k e t s and i n t e r n a t i o n a l economic r e l a t i o n s h i p s t o g e t h e r c a u s e t h e f a m i l i a r boom and b u s t c y c l e s , o f w h i c h most B r i t i s h C o l u m b i a n s a r e now 60 p a i n f u l l y aware. So t h e s t r a t e g y o f i n c r e a s i n g t h e p r o v i n c e ' s e c o n o m i c dependence on r e s o u r c e e x p o r t s i s n o t w i t h o u t i t s d r a w b a c k s . P o s s i b l y t h e most c o n t r o v e r s i a l N o r t h e a s t C o a l i s s u e i s t h e c o s t o f government i n v e s t m e n t i n t h e p r o j e c t , e s p e c i a l l y by t h e p r o v i n c e . W h i l e a r e c e n t p r o v i n c i a l b e n e f i t - c o s t a n a l y s i s o f t h e p r o j e c t c l a i m e d t h a t t h e p r o v i n c i a l and f e d e r a l g o vernments w i l l r e c o v e r a l l c o s t s and more (BC MISBD, 1 9 8 2 c ) , o t h e r s have s u g g e s t e d t h a t t h e g o v e r n m e n t s c o u l d j u s t as e a s i l y end up i n t h e r e d (Odam, 1982). The e c o n o m i c s of t h e Development a r e c l o s e l y r e l a t e d t o t h e volume o f c o a l s h i p p e d ; so market c o n d i t i o n s w i l l u l t i m a t e l y d e t e r m i n e t h e p r o j e c t ' s l o n g - t e r m p u b l i c c o s t s and b e n e f i t s . Overshadowed by t h e s e e conomic i s s u e s a r e t h e e n v i r o n m e n t a l i m p a c t s of t h e D e v e l o p m e n t . The m i n e s i t e s w i l l o c c u p y a r e a s o f key u n g u l a t e w i n t e r and summer r a n g e ; c o n s t r u c t i o n and m i n i n g a c t i v i t i e s w i l l c a u s e some s o i l e r o s i o n , and may a f f e c t s u r f a c e water and a i r q u a l i t y ; and i n c r e a s e d human p r e s e n c e w i l l have a d i r e c t i mpact on w i l d l i f e ( Q u i n t e t t e C o a l L i m i t e d , 1982). But t h e m a g n i t u d e of t h e p o t e n t i a l e n v i r o n m e n t a l i m p a c t s i s a r g u a b l y l e s s h e r e t h a n i n t h e B e a u f o r t . W h i l e t h e B e a u f o r t p r o j e c t i n v o l v e s t h e use o f new and e v o l v i n g (and l a r g e l y u n p r o v e d ) t e c h n o l o g i e s i n a new e n v i r o n m e n t , t h e com p a n i e s i n v o l v e d i n N o r t h e a s t C o a l c a n examine and a p p l y t h e e x p e r i e n c e of o t h e r mines a t p r e d i c t i n g and managing e n v i r o n m e n t a l i m p a c t s under s i m i l a r c o n d i t i o n s . However, t h i s i s not meant t o i m p l y t h a t t h e Development s h o u l d be a c c e p t e d u n c r i t i c a l l y . The N o r t h e a s t C o a l Development 61 w i l l have i m p o r t a n t e n v i r o n m e n t a l and s o c i a l e f f e c t s i n t h a t r e g i o n . The t a s k o f t h e C o a l G u i d e l i n e s i s t o e n s u r e t h a t t h e N o r t h e a s t C o a l Development w i l l " c o n f o r m t o t h e p r i n c i p l e s of i n t e g r a t e d r e s o u r c e p l a n n i n g , p r i n c i p l e s w h i c h seek a b a l a n c e between e c o n o m i c , s o c i a l and e n v i r o n m e n t a l g o a l s " (BC C o a l Task F o r c e , 1976:119). 3.3 ^ Summary The B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n P r o p o s a l and t h e N o r t h e a s t C o a l Development o f f e r t h e p o t e n t i a l f o r s i g n i f i c a n t r e g i o n a l - a n d n a t i o n a l economic and s o c i a l b e n e f i t s . As a r e s u l t , t h e y have r e c e i v e d s t r o n g s u p p o r t from government. Due t o t h e i r m a g n i t u d e , t h e s e r e s o u r c e d e v e l o p m e n t s c o u l d n o t s u c c e e d w i t h o u t government s u b s i d y . In b o t h c a s e s , government s u p p o r t has i n c l u d e d a c t i v e p a r t i c i p a t i o n : f o r example, p r o v i d i n g t h e n e c e s s a r y i n f r a s t r u c t u r e r e q u i r e m e n t s i n B r i t i s h C o l u m b i a and a p o l i c y of g e n e r o u s e x p l o r a t i o n i n c e n t i v e s i n t h e B e a u f o r t . A t t h e same t i m e t h a t t h e go v e r n m e n t s promote t h e s e p r o j e c t s , t h e y a l s o a c t as r e g u l a t o r s . One c o n s e q u e n c e o f t h i s a p p a r e n t c o n f l i c t o f i n t e r e s t seems c e r t a i n : t h e E I A ' s w i l l n o t d e t e r m i n e t h e d e c i s i o n s - i n - p r i n c i p l e f o r t h e p r o j e c t s , b u t w i l l i n s t e a d p r o p o s e c o n d i t i o n s f o r a p p r o v a l . G i v e n t h e p o l i t i c a l i m p o r t a n c e of t h e s e p r o j e c t s t h i s i s n o t s u r p r i s i n g . And i t can be a r g u e d t h a t knowing t h e p r o j e c t s w i l l p r o c e e d ( a s s u m i n g enough o i l i s f o u n d i n t h e B e a u f o r t ) does n o t d i m i n i s h t h e i m p o r t a n c e of t h e E I A p r o c e s s e s , as t h e y w i l l p r o v i d e i m p o r t a n t i n f o r m a t i o n f o r im p a c t m i t i g a t i o n . In e i t h e r c a s e , t h e a t t i t u d e s of i n d u s t r y t o w a r d s EIA w i l l c o n t i n u e t o be an i m p o r t a n t f a c t o r 62 in m inimizing the impact of these resource developments. 63 CHAPTER 4 - INDUSTRY AND ENVIRONMENTAL IMPACT ASSESSMENT 4.1 z I n t r o d u c t i o n A s s e s s i n g t h e s o c i a l and e n v i r o n m e n t a l i m p a c t s o f l a r g e -s c a l e r e s o u r c e d e v e l o p m e n t s i n v o l v e s a c o n c e r t e d e f f o r t by government and t h e p r i v a t e s e c t o r . Over t h e p a s t d e c a d e , c o n s i d e r a b l e a t t e n t i o n has been g i v e n t o how ( o r w h e t h e r ) EIA has a c t u a l l y a f f e c t e d g o v e r n m e n t s ' d e c i s i o n - m a k i n g ( s e e , f o r example, Rees, 1980), "but t h e r e has been s u r p r i s i n g l y l i t t l e c o v e r a g e of t h e employment of [ E I A ] t e c h n i q u e s by i n d u s t r y " ( E l k i n g t o n , 1981:23). T h i s c h a p t e r examines t h e e f f e c t s of t h e two EIA p r o c e s s e s d e s c r i b e d i n C h a p t e r 2 on t h e two mega-p r o j e c t s ' p r o p o n e n t s . The f o l l o w i n g two s e c t i o n s (4.1.1 and 4.1.2) p r o v i d e a c o n t e x t f o r t h i s e x a m i n a t i o n , by i d e n t i f y i n g i n c e n t i v e s f o r i n d u s t r y t o use EIA, and by o u t l i n i n g means by w h i c h c o m p a n i e s can a d a p t t o c o n s i d e r e n v i r o n m e n t a l c o n c e r n s ef f e c t i v e l y . 4.1.1 - Why S h o u l d I n d u s t r y Use EIA? I t was p o i n t e d o ut i n s e c t i o n 1.4 t h a t t h e f i n a l i m pact o f r e s o u r c e d e v e l o p m e n t on t h e e n v i r o n m e n t depends as much on i n d u s t r y ' s a t t i t u d e s and e f f o r t s a s i t doe s on t h e g o v e r n m e n t s ' . A l a r g e p r o p o r t i o n o f p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g r e s p o n s i b i l i t y has been s h i f t e d from government t o t h e p r o j e c t p r o p o n e n t s . T h i s o c c u r r e d p a r t l y as a c o n s e q u e n c e of t h e " p o l l u t e r p a y s " p h i l o s o p h y t o w a r d e n v i r o n m e n t a l p r o t e c t i o n i n i t i a t i v e s , but a l s o a s a r e s u l t of g o v e r n m e n t ' s a p p a r e n t i n a b i l i t y t o p r o v i d e a " p r o - a c t i v e " p l a n n i n g framework f o r 64 r e s o u r c e d e v e l o p m e n t . By d e f a u l t , i n d u s t r y ends up w i t h t h e r e s p o n s i b i l i t y f o r e n v i r o n m e n t a l p l a n n i n g and o t h e r a s p e c t s of l a n d - u s e p l a n n i n g . C l e a r l y , t h e n , t h e r e i s a " p u b l i c i n t e r e s t " i n t h e p r i v a t e s e c t o r ' s impact a s s e s s m e n t and p l a n n i n g e f f o r t s . T h e r e f o r e , i t i s not u n r e a s o n a b l e f o r t h e government and t h e p u b l i c t o hope, or even e x p e c t , t h a t i n d u s t r y does a t t e m p t t o i n c o r p o r a t e e n v i r o n m e n t a l c o n c e r n s i n t o d e c i s i o n - m a k i n g -- f o r example, t h r o u g h EIA. I s t h e r e any i n c e n t i v e -- a " p r i v a t e i n t e r e s t " w h i c h would l e a d a company, whose aim i s f i n a n c i a l p r o f i t a b i l i t y , t o do so? The most o b v i o u s b e n e f i t t o i n d u s t r y of u s i n g EIA i s p r o j e c t a p p r o v a l . T h i s i s c l e a r l y t h e c a s e where EIA i s a l e g i s l a t e d r e q u i r e m e n t , g i v i n g government (and, i n some i n s t a n c e s , t h e p u b l i c ) t h e l e g a l means by w h i c h c o m p l i a n c e w i t h t h e EIA r e q u i r e m e n t s can be e n f o r c e d . One f a m i l i a r example of t h i s i s t h e U n i t e d S t a t e s ' N a t i o n a l E n v i r o n m e n t a l P o l i c y A c t , w h i c h f o r c e s government a g e n c i e s t o p r e p a r e impact s t a t e m e n t s b e f o r e p r o c e e d i n g w i t h p r o p o s e d p r o j e c t s . But even i n j u r i s d i c t i o n s where EIA i s f o u n d e d o n l y on a d m i n i s t r a t i v e p o l i c y , g o v e r n m e n t s can b r i n g a r a n g e of p r e s s u r e s and f o r c e s t o b e a r on p r o p o n e n t s t o e n c o u r a g e c o m p l i a n c e w i t h EIA r e q u i r e m e n t s . F o r example, i n b o t h t h e B r i t i s h C o l u m b i a and t h e f e d e r a l r e g u l a t o r y p r o c e s s e s , t h e r e e x i s t a number o f r e g u l a t o r y a p p r o v a l s w h i c h a r e , by law, s u b j e c t t o m i n i s t e r i a l d i s c r e t i o n . I f a company r e f u s e d t o comply w i t h a g o v e r n m e n t ' s EIA p o l i c y , a M i n i s t e r would l i k e l y t a k e t h a t n o n - c o m p l i a n c e i n t o a c c o u n t when making t h e d e c i s i o n t o a l l o w or r e f u s e an a p p l i c a t i o n f o r a 65 s t a t u t o r y a p p r o v a l . So a p p r o v a l f o r t h e p r o j e c t EIA and o t h e r r e g u l a t i o n s p r o v i d e s a p r i m e i n c e n t i v e f o r t h e p r i v a t e s e c t o r t o f o l l o w t h e g o v e r n m e n t s ' EIA p r o c e s s e s . W h i l e t h i s seems s e l f - e v i d e n t , t h e r e a l q u e s t i o n i n d u s t r y f a c e s h e r e i s not whether t o c o n d u c t an EIA, but r a t h e r , how much e f f o r t t o commit t o t h a t EIA. The r e s o u r c e s a v a i l a b l e f o r c o r p o r a t e p l a n n i n g a c t i v i t i e s a r e l i m i t e d , e s p e c i a l l y i n t i m e s of low o r even n e g a t i v e economic g r o w t h . T h e r e f o r e , a company would not want t o "waste" i t s l i m i t e d r e s o u r c e s by o v e r -i n v e s t i n g i n i t s EIA e f f o r t . C o n v e r s e l y , t o o l i t t l e e f f o r t c o u l d r e s u l t i n c o s t l y p r o j e c t d e l a y s o r r e j e c t i o n a f t e r s i g n i f i c a n t i n i t i a l i n v e s t m e n t s have been made. T h i s i s p a r t i c u l a r l y t r u e f o r l a r g e - s c a l e e n e r g y p r o j e c t s . L o u c k s e t a l . p o i n t out t h a t , b e c a u s e t h e s e p r o j e c t s r e q u i r e enormous f i n a n c i a l i n v e s t m e n t s , "any c a n c e l l a t i o n s o r p r o j e c t d e l a y s c a n r e s u l t i n c o n s i d e r a b l e economic l o s s " ( 1 9 7 8 : 1 ) . W h i l e some c o m p a n i e s have c o m p l a i n e d t h a t EIA r e q u i r e m e n t s have imposed s i g n i f i c a n t d e l a y s on p r o j e c t p l a n n i n g , o t h e r s a r g u e t h a t a p r o p e r l y c o n d u c t e d EIA can a c t u a l l y s p e e d up p r o j e c t a p p r o v a l s ( L o u c k s et_ a l . , 1978). E l k i n g t o n ( 1980) g i v e s t h e example of t h e West German n u c l e a r i n d u s t r y w h i c h , he s a y s , " i s a l r e a d y s u f f i c i e n t l y w o r r i e d a b o u t e x i s t i n g d e l a y s f o r EIA t o a p p e a r as a g o dsend, a t l e a s t i n s o f a r as i t e n a b l e s i t t o c u t t h r o u g h t h e c l u t t e r o f o p p o s i t i o n t o i d e n t i f y t h e c e n t r a l i s s u e s " ( p . 1 8 6 ) . In many c a s e s , a f o r w a r d - l o o k i n g EIA w h i c h a t t e m p t s t o a n t i c i p a t e p o t e n t i a l p r o b l e m s and o b j e c t i o n s can a c t u a l l y m i n i m i z e p l a n n i n g d e l a y s f o r d e v e l o p e r s ( E l k i n g t o n , 1981). 66 A l t h o u g h EIA d o e s impose a d d i t i o n a l p l a n n i n g c o s t s on i n d u s t r y , t h e r e i s e v i d e n c e w h i c h s u g g e s t s t h a t EIA may i n t h e l o n g run be of n e t e conomic b e n e f i t t o i n d u s t r y . E l k i n g t o n p r o v i d e s t h e example of B r i t i s h Gas, w h i c h " e s t i m a t e d i n 1979 t h a t t h e use of EIA had s a v e d i t a t l e a s t £30 m i l l i o n . . . . F o r a t o t a l i n v e s t m e n t o v e r t h e [ t e n y e a r ] p e r i o d o f some £7 m i l l i o n , a £30 m i l l i o n r e t u r n r e p r e s e n t s e x c e l l e n t v a l u e f o r money" (19 8 0 : 1 9 2 ) . L o u c k s e t a l . p r e s e n t a s i m i l a r c o n c l u s i o n : " . . . t h e r e i s e v i d e n c e t o s u g g e s t t h a t [ a d e q u a t e e n v i r o n m e n t a l management by i n d u s t r y ] i s p o t e n t i a l l y c o s t e f f e c t i v e and t h e r e t u r n on i t s i n v e s t m e n t i s h i g h " ( 1 9 7 8 : 2 3 ) . In a d d i t i o n , c o mpanies may r e a l i z e some i n t a n g i b l e b e n e f i t s from EIA, i n c l u d i n g b e t t e r p u b l i c r e l a t i o n s , an i m p r o v e d c o r p o r a t e image, and unhampered e x p a n s i o n and o p e r a t i o n s ( R o y s t o n , 1979). T h i s e v i d e n c e would a p p e a r t o s u g g e s t t h a t i n d u s t r y d o e s , a t l e a s t i n some c a s e s , s t a n d t o b e n e f i t f r o m EIA. However, t h i s does n o t n e c e s s a r i l y i m p l y t h a t EIA has been r e a d i l y a c c e p t e d by i n d u s t r y . E l k i n g t o n w r i t e s t h a t most EIA s t u d i e s "...have been c o m m i s s i o n e d not b e c a u s e i n d u s t r y i t s e l f wanted t o know more abo u t i t s e n v i r o n m e n t — o r a b o u t any e f f e c t s i t s p r o j e c t s m i g h t e n t r a i n . I n s t e a d , t h e y r e f l e c t t h e g r o w i n g p u b l i c demand t h a t e n v i r o n m e n t s h o u l d be t a k e n i n t o a c c o u n t i n i n d u s t r y ' s management and p l a n n i n g d e c i s i o n s " ( 1 9 8 0 : 2 0 2 - 3 ) . 4.1.2 ^ How S h o u l d I n d u s t r y Respond? Whether i n d u s t r y r e s p o n d s b e c a u s e of p e r c e i v e d c o r p o r a t e b e n e f i t s o r b e c a u s e of government or p u b l i c p r e s s u r e , o r b o t h , e a c h company i s s t i l l f a c e d w i t h t h e p r o b l e m of t h e f o r m t h i s 67 r e s p o n s e s h o u l d t a k e , t o a l l o w t h e company t o i n t e g r a t e f u l l y e n v i r o n m e n t a l f a c t o r s i n t o i t s p r o j e c t p l a n n i n g p r o c e s s . In t h e o r y , e f f e c t i v e c o n s i d e r a t i o n o f e n v i r o n m e n t a l c o n c e r n s r e q u i r e s a p r o g r a m w i t h t h e s e i m p o r t a n t f e a t u r e s : s t a t e m e n t o f c o r p o r a t e e n v i r o n m e n t a l p o l i c y ; o r g a n i z a t i o n a l a d j u s t m e n t s ; and making e n v i r o n m e n t a l c o n c e r n s p a r t o f i n d i v i d u a l e m p l o y e e s ' r e s p o n s i b i l i t i e s ( R o y s t o n , 1979); and d e v e l o p i n g open l i n e s of c o m m u n i c a t i o n w i t h government and t h e p u b l i c ( G l a d w i n and R o y s t o n , 1975). S t a t e m e n t s o f e n v i r o n m e n t a l p o l i c y p r o v i d e c o r p o r a t e d e c i s i o n - m a k e r s w i t h d i r e c t i o n on t h e i m p o r t a n c e a t t a c h e d t o e n v i r o n m e n t a l c o n c e r n s by t h e company ( R o y s t o n , 1979). However, t h e s e s t a t e m e n t s w i l l n o t i n c r e a s e c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s i n p l a n n i n g and d e c i s i o n - m a k i n g i f t h e p o l i c i e s a r e n o t s u p p o r t e d i n p r a c t i c e by s e n i o r management ( W e l l e s , 1973). T h e r e f o r e , one must examine a company's p o l i c y -i n - p r a c t i c e when e v a l u a t i n g i t s p o l i c y s t a t e m e n t s . S t r u c t u r a l c h a n g e s t o t h e company's o r g a n i z a t i o n a r e a l s o n e c e s s a r y . T h i s i n c l u d e s a d j u s t i n g i n t e r n a l c h a i n s of command t o f a c i l i t a t e g r e a t e r i n t e r n a l c o m m u n i c a t i o n a b o u t e n v i r o n m e n t a l c o n c e r n s ( G l a d w i n and R o y s t o n , 1975), as w e l l as t h e more o b v i o u s s t e p of c r e a t i n g new p o s i t i o n s w i t h i n t h e o r g a n i z a t i o n w h i c h a r e d e d i c a t e d t o e n v i r o n m e n t a l p l a n n i n g and management ( R o y s t o n , 1979). P o l i c y s t a t e m e n t s and c o r p o r a t e r e o r g a n i z a t i o n s w i l l be of l i m i t e d e f f e c t i v e n e s s i f n o t b a c k e d w i t h some form o f inducement mechanism f o r a l l e m p l o y e e s , e s p e c i a l l y t h o s e i n v o l v e d i n p r o j e c t p l a n n i n g ( G l a d w i n and R o y s t o n , 1979). One s u c h 68 mechanism, s u g g e s t e d by W e l l e s ( 1 9 7 3 ) , i s i n c o r p o r a t i n g " e n v i r o n m e n t a l p e r f o r m a n c e " i n t o r a t i n g s of an e mployee's j o b p e r f o r m a n c e . 1 G l a d w i n and R o y s t o n c o n c l u d e t h a t " p l a n n i n g w i l l be e n v i r o n m e n t a l l y - o r i e n t e d o n l y when t h e f i r m ' s o b j e c t i v e s f o r e n v i r o n m e n t a l l y - r e s p o n s i b l e b e h a v i o r a r e d e e p - s e a t e d , c o n s i s t e n t l y s u p p o r t e d by t o p management, and b a c k e d by r e i n f o r c i n g p e r f o r m a n c e measurement and r e w a r d s y s t e m s " (1975:194) . F i n a l l y , a f o u r t h s t r a t e g y f o r d e a l i n g w i t h e n v i r o n m e n t a l i s s u e s i s t h a t o f d e v e l o p i n g open l i n e s of c o m m u n i c a t i o n w i t h government and t h e p u b l i c . F o r i n d u s t r y , t h i s means a d o p t i n g o r g a n i z a t i o n a l s t r u c t u r e s w h i c h i n c r e a s e t h e c o m p a n i e s ' a w a r e n e s s of " e x t e r n a l " i s s u e s and t r e n d s ( G l a d w i n and R o y s t o n , 1975), and d e v e l o p i n g a c l o s e r w o r k i n g r e l a t i o n s h i p w i t h government t o f a c i l i t a t e c o o r d i n a t i o n of c o r p o r a t e a c t i v i t i e s and p l a n s w i t h government r e g u l a t i o n s and p o l i c i e s , i n c l u d i n g p o t e n t i a l c h a n g e s ( R o y s t o n , 1979). E l k i n g t o n (1981) s a y s t h a t "EIA s h o u l d r e p r e s e n t a v i t a l l y i m p o r t a n t b r i d g e h e a d , b r i n g i n g i n d u s t r i a l and c o n s e r v a t i o n a l i n t e r e s t s t o g e t h e r i n a w o r k i n g c a p a c i t y — o f t e n f o r t h e f i r s t t i m e " (p. 2 1 ) . An i m p o r t a n t p o i n t must be made a b o u t t h e above e x a m i n a t i o n o f o r g a n i z a t i o n a l change i n r e s p o n s e t o e n v i r o n m e n t a l i s s u e s and i n c r e a s e d p u b l i c a w a r e n e s s : c o m p a n i e s must p e r c e i v e t h e need t o move i n t h e d i r e c t i o n o f more e n v i r o n m e n t a l l y - s e n s i t i v e p l a n n i n g and d e c i s i o n - m a k i n g . Whether t h i s i m p e t u s i s g e n e r a t e d i n t e r n a l l y as 1 W e l l e s was r e f e r r i n g h e r e more t o c o n s t r u c t i o n and o p e r a t i o n p e r s o n n e l t h a n t o t h o s e i n v o l v e d i n p r o j e c t p l a n n i n g . However, a s i m i l a r c o n c e p t c o u l d be a p p l i e d t o t h e l a t t e r a s w e l l . 69 a c o r p o r a t e p o l i c y o r due t o e x t e r n a l p r e s s u r e s s u c h as government r e g u l a t i o n i s p r o b a b l y l e s s i m p o r t a n t t h a n t h e need f o r i t t o be p r e s e n t . The c h a n g e s o u t l i n e d above a r e i n t e n d e d t o p r o v i d e means f o r c o m p a n i e s t o a c t i v e l y and e f f e c t i v e l y c o n s i d e r e n v i r o n m e n t a l f a c t o r s i n t h e i r p r o j e c t d e v e l o p m e n t p r o c e s s . O b v i o u s l y , c o m p a n i e s w h i c h f e e l t h a t " t h e e n v i r o n m e n t " i s m e r e l y a p a s s i n g f a d , or w h i c h view e n v i r o n m e n t a l i s s u e s o n l y as a h u r d l e t o d e v e l o p m e n t a p p r o v a l , a r e not l i k e l y t o i n c o r p o r a t e f u l l y t h e s e s u g g e s t i o n s . 4 . 2 2. I n d u s t r y ' s R e s p o n s e s To E n v i r o n m e n t a l I s s u e s The p r i v a t e s e c t o r i s s e n s i t i v e t o c h a n g e s i n i t s o p e r a t i n g e n v i r o n m e n t . T h e i r r e s p o n s e s t o e n v i r o n m e n t a l i s s u e s i n most c a s e s p r e d a t e t h e c r e a t i o n of EIA p r o c e s s e s . The companies i n v o l v e d i n t h i s s t u d y c o n t i n u e t o e v o l v e i n t h e g e n e r a l d i r e c t i o n s u g g e s t e d i n t h e p r e c e d i n g s e c t i o n . 4.2.1 ^ Dome, E s s o And G u l f A l l t h r e e c o m p a n i e s i n v o l v e d i n t h e B e a u f o r t Sea p r o j e c t have c r e a t e d e n v i r o n m e n t a l g r o u p s w h i c h c o o r d i n a t e much o f t h e c o m p a n i e s ' " e n v i r o n m e n t a l work, and w h i c h a l s o work on c o r p o r a t e e n v i r o n m e n t a l p o l i c y . In a d d i t i o n t o t h e i r e n v i r o n m e n t a l g r o u p s , t h e c o m p a n i e s a l s o have p o s i t i o n s w i t h e n v i r o n m e n t a l r e s p o n s i b i l i t i e s i n t h e i r o t h e r management g r o u p s and b r a n c h e s . W h i l e e a c h company has s u b s t a n t i a l i n - h o u s e c a p a b i l i t i e s , a l l of them r e l y on c o n s u l t a n t s f o r a l a r g e p r o p o r t i o n o f t h e e n v i r o n m e n t a l s t u d i e s r e l a t e d t o t h e i r p r o j e c t s and p r o p o s a l s . R e s p o n d e n t s from e a c h of t h e o i l c o m p a n i e s i n d i c a t e d t h a t 70 t h e i r c o mpanies had p o l i c i e s of e n v i r o n m e n t a l r e s p o n s i b i l i t y f o r t h e i r a c t i v i t i e s . W h i l e no i n t e r n a l p o l i c y documents were so u g h t t o back t h i s , a s p o l i c y s t a t e m e n t s p r o d u c e d f o r p u b l i c image r e a s o n s do not n e c e s s a r i l y b e a r any r e s e m b l a n c e t o a c t u a l p r a c t i c e s , o t h e r p u b l i s h e d s t a t e m e n t s make s i m i l a r c l a i m s . F o r example, i n a s u b m i s s i o n t o t h e S e n a t e ' s n o r t h e r n p i p e l i n e c o m m i t t e e , Dome made t h e f o l l o w i n g s t a t e m e n t : We b e l i e v e we o p e r a t e i n t h e s p i r i t o f good e n v i r o n m e n t a l and s o c i a l p o l i c y on a d a i l y b a s i s . W h i l e t h i s may be, i n a s e n s e , p e r i p h e r a l t o t h e m a i n s t r e a m o f t h e r e g u l a t o r y p r o c e s s , we b e l i e v e i t d i r e c t l y a d d r e s s e s t h e p u r p o s e and i n t e n t of t h e c u r r e n t a r r a y of a c t s and r e g u l a t i o n s g o v e r n i n g t h e dev e l o p m e n t o f t h e n o r t h (Dome P e t r o l e u m L i m i t e d , 1982:7.1). I f one a c c e p t s t h a t t h e " c u r r e n t a r r a y of a c t s and r e g u l a t i o n s " a c c u r a t e l y r e f l e c t s " t h e p u b l i c i n t e r e s t , " t h e n Dome's s t a t e m e n t may i n d e e d i n d i c a t e a p o l i c y of o p e r a t i n g i n an e n v i r o n m e n t a l l y -r e s p o n s i b l e manner. A r e s p o n d e n t from E s s o R e s o u r c e s s a i d t h a t E s s o ' s c o r p o r a t e p o l i c y was t o c o n d u c t i t s o p e r a t i o n s i n a way t h a t meets l o c a l community s t a n d a r d s and e x p e c t a t i o n s a s w e l l a s government r e q u i r e m e n t s ( B a t t e k e , 1983). L i m i t a t i o n s on t h e sc o p e of t h i s s t u d y p r e v e n t e d v e r i f i c a t i o n of t h e s e c l a i m s ; however, t h e r e i s come e v i d e n c e t o s u g g e s t t h a t t h e c o m p a n i e s do a t t e m p t t o a c t as s t a t e d (Canada. E n v i r o n m e n t , 1983). In a d d i t i o n t o t h e s e i n t e r n a l c h a n g e s f o r d e a l i n g w i t h e n v i r o n m e n t a l p r o b l e m s , t h e c o m p a n i e s a l s o pay a t t e n t i o n t o e x t e r n a l f o r c e s . T h i s i n v o l v e s two main s t r a t e g i e s : i n c r e a s i n g p u b l i c c o n s u l t a t i o n i n p r o j e c t p l a n n i n g ; and i m p r o v i n g c o n t a c t s and l i a s o n s w i t h government. Dome a l s o c l a i m s t o have d e v e l o p e d open l i n e s o f c o m m u n i c a t i o n w i t h n o r t h e r n r e s i d e n t s a f f e c t e d by i t s a c t i v i t i e s : "Normal b u s i n e s s p r a c t i c e has i n c l u d e d 71 d i s c u s s i o n s w i t h h u n t e r s and t r a p p e r s and c o m m u n i t i e s t o r e s o l v e c o n c e r n s i n s o c i o - e c o n o m i c and e n v i r o n m e n t a l a r e a s " (Dome P e t r o l e u m L i m i t e d , 1982:7.1). The o t h e r o i l c ompanies have s i m i l a r p r o g r a m s . E s s o , f o r example, r e c o g n i z e s t h e i m p o r t a n c e of two-way f l o w s of i n f o r m a t i o n between t h e company and a f f e c t e d c o m m u n i t i e s i n i t s p l a n n i n g e f f o r t s ( B a t t e k e , 1983). One may q u e s t i o n t h e e x t e n t t o w h i c h t h i s "two-way f l o w " c o n t r i b u t e s t o p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g , but i t s h o u l d , a t l e a s t , keep t h e c o m p a n i e s aware of l o c a l p r o b l e m s and c o n d i t i o n s . The o i l c ompanies a l s o a t t e m p t t o a n t i c i p a t e c h a n g e s i n t h e r e g u l a t o r y e n v i r o n m e n t , t o g i v e t h e m s e l v e s more l e a d t i m e t o a d a p t t o any c h a n g e s w h i c h a r e a c t u a l l y i m p l e m e n t e d . F o r example, G u l f c o m m i s s i o n e d a s t u d y of l i k e l y t r e n d s i n government r e g u l a t i o n s i n s e v e r a l j u r i s d i c t i o n s where G u l f i s a c t i v e : The o b j e c t i v e of t h i s document i s t o a l e r t t h e Company's s e n i o r e x e c u t i v e , management and s t a f f t o i s s u e s , c o n c e r n s and l i k e l y t r e n d s i n t h e s o c i o -economic impact a s s e s s m e n t (SEIA) p r o c e s s from t h e p e r s p e c t i v e o f g o vernment. The s t u d y has been w r i t t e n t o p r e s e n t d i r e c t c o n c i s e o b s e r v a t i o n s of s e n i o r government o f f i c i a l s r e g a r d i n g t h e p r e s e n t s i t u a t i o n , f u t u r e d i r e c t i o n s , t r e n d s and r e g u l a t o r y i s s u e s w h i c h s h o u l d be of c o n c e r n t o i n d u s t r y ( C o r n e r s t o n e P l a n n i n g G r oup L i m i t e d , 1980 : i i i ) . K e e p i n g a b r e a s t o f p r o p o s e d c h a n g e s a l s o a l l o w s t h e c o m p a n i e s t o l o b b y t h e g o v e r n m e n t , e i t h e r i n d i v i d u a l l y o r t h r o u g h i n d u s t r y o r g a n i z a t i o n s s u c h a s t h e C a n a d i a n P e t r o l e u m A s s o c i a t i o n . F i n a l l y , t h e o i l companies r e c o g n i z e t h e u t i l i t y o f good p u b l i c r e l a t i o n s work. G u l f r e g u l a r l y p l a c e s a d v e r t i s e m e n t s i n m a g a z i n e s and n e wspapers e x p l a i n i n g t h e p u r p o r t e d b e n e f i t s of i t s a c t i v i t i e s f o r Canada and C a n a d i a n s . And, p r e s u m a b l y t o d i s p e l l m i s c o n c e p t i o n s a b o u t t h e i r n o r t h e r n a c t i v i t i e s and t o 72 d e m o n s t r a t e t h e p r o b l e m s and t e c h n i c a l c h a l l e n g e s t h e y f a c e , E s s o R e s o u r c e s r e c e n t l y c o n d u c t e d a t o u r o f t h e i r f r o n t i e r o p e r a t i o n s f o r a number of j o u r n a l i s t s ( B e l l , 1983). P e r h a p s one i n d i c a t i o n of t h e e f f e c t i v e n e s s of E s s o ' s p u b l i c r e l a t i o n s e f f o r t s i s t h a t t h e j o u r n a l i s t s w i l l i n g l y p a i d f o r t h e p r i v i l e g e o f b e i n g e s c o r t e d a r o u n d t h e A r c t i c t o promote E s s o ' s a c t i v i t i e s . T h e s e companies r e c o g n i z e t h a t b e i n g p e r c e i v e d by t h e p u b l i c and t h e government as c o m m i t t e d t o e n v i r o n m e n t a l l y -r e s p o n s i b l e o p e r a t i o n s can b r i n g i m p o r t a n t b e n e f i t s , i n c l u d i n g r e d u c e d p u b l i c o p p o s i t i o n t o p r o j e c t s and "smoothed" government r e v i e w s . 4.2.2 ^ D e n i s o n And Teck B o t h D e n i s o n and Teck have e s t a b l i s h e d e n v i r o n m e n t a l g r o u p s w i t h i n t h e i r o r g a n i z a t i o n s w i t h f u n c t i o n s s i m i l a r t o t h o s e of t h e o i l i n d u s t r y . At D e n i s o n , t h e c o r e e n v i r o n m e n t a l g r o u p works on e n v i r o n m e n t a l p o l i c y f o r t h e company and on o v e r a l l g u i d a n c e of e n v i r o n m e n t a l s t u d i e s , and r e p o r t p r e p a r a t i o n f o r f e a s i b i l i t y s t u d i e s and government p r o j e c t r e v i e w s . D e n i s o n ' s p r a c t i c e i s t o r e l y on c o n s u l t a n t s f o r most e n v i r o n m e n t a l s t u d i e s ; i n f a c t , e v en t h e w r i t i n g of t h e S t a g e II EIS f o r t h e Q u i n t e t t e p r o j e c t was c o n t r a c t e d o u t ( S w i t z e r , 1982). At T e c k , a s i m i l a r p a t t e r n i s f o l l o w e d . E a r l y p r o j e c t p l a n n i n g i s c a r r i e d out by a c o r e g r o u p i n t h e head o f f i c e i n V a n c o u v e r . The e n v i r o n m e n t a l g r o u p c o o r d i n a t e s t h e f i e l d r e s e a r c h and d e c i d e s on f u t u r e r e s e a r c h n e e d s . Teck has some t e c h n i c i a n s l o c a t e d o n - s i t e a t t h e B u l l m o o s e p r o j e c t , but most e n v i r o n m e n t a l f i e l d work i s c o n t r a c t e d o u t t o c o n s u l t a n t 73 c o m p a n i e s . As t h e p r o j e c t p r o g r e s s e s , p r o j e c t management i s g r a d u a l l y d e v o l v e d from t h e head o f f i c e t o an o n - s i t e management g r o u p , but t h i s o c c u r s a f t e r t h e f r o n t - e n d p l a n n i n g work has been c o m p l e t e d ( R o b e r t s o n , 1 9 8 2 ) . W h i l e t h e o i l c ompanies have a t t e m p t e d t o g i v e t h e i r e n v i r o n m e n t a l ( i n c l u d i n g s o c i a l ) p l a n n i n g f u n c t i o n s h i g h v i s i b i l i t y , t h e same i s not t r u e o f D e n i s o n and T e c k . T h i s p r o b a b l y r e f l e c t s t h e f a c t t h a t t h e c o m p a n i e s a r e n o t s u b j e c t e d t o t h e c o n t i n u a l c l o s e p u b l i c s c r u t i n y t h a t t h e o i l c o m p a n i e s e n d u r e , and, t h e r e f o r e , have not f e l t o b l i g e d t o a r g u e p u b l i c l y t h e e n v i r o n m e n t a l r e s p o n s i b i l i t y of t h e i r o p e r a t i o n s . B u t , i n a l e t t e r t o t h e C h a i r m a n of t h e C o a l G u i d e l i n e s S t e e r i n g Committee, a D e n i s o n v i c e - p r e s i d e n t s t a t e d t h a t " . . . t h e Company r e c o g n i z e s sound t e c h n i c a l and e n v i r o n m e n t a l management t o be an e s s e n t i a l p a r t o f t h e p r o j e c t " (Hermann, 1982). T h i s " h y p o t h e s i s " would a p p e a r t o be s u p p o r t e d by i n f o r m a t i o n g a t h e r e d i n i n t e r v i e w s w i t h t h e c o m p a n i e s ' e n v i r o n m e n t a l c o o r d i n a t o r s a b o u t t h e commitment of t h e i r s e n i o r e x e c u t i v e s t o e n v i r o n m e n t a l p r o g r a m s . The major o i l c o m p a n i e s have e x p e r i e n c e d numerous p u b l i c r e v i e w s o f t h e i r p r o p o s a l s , and t h e a s s o c i a t e d p u b l i c i t y has d e m o n s t r a t e d t o s e n i o r l e v e l s t h e a d v a n t a g e s o f d i s p l a y i n g an e n v i r o n m e n t a l c o n s c i e n c e . As D e n i s o n had p r e v i o u s l y gone t h r o u g h e n v i r o n m e n t a l r e v i e w s o f a number of p r o j e c t s , t h e i r s e n i o r v i c e - p r e s i d e n t f o r t h e C o a l D i v i s i o n ( t o whom the e n v i r o n m e n t a l c o o r d i n a t o r r e p o r t s ) was d e s c r i b e d as b e i n g " q u i t e open-minded" w i t h r e s p e c t t o e n v i r o n m e n t a l c o n s i d e r a t i o n s ( S w i t z e r , 1982). However, t h e r e v i e w under t h e C o a l G u i d e l i n e s of t h e 74 B u l l m o o s e p r o p o s a l r e p r e s e n t s one o f t h e few o c c a s i o n s t h a t Teck has been c o n f r o n t e d w i t h such a r e v i e w p r o c e s s ( R o b e r t s o n , 1982). Management has a t t e m p t e d t o a p p l y t h e i r e x p e r i e n c e s w i t h h a r d - r o c k mines ( w h i c h , u n t i l r e c e n t l y , have not been r e g u l a t e d as c l o s e l y as have c o a l mines) t o t h i s c o a l d e v e l o p m e n t ( R o b e r t s o n , 1982). T h i s i s not s u r p r i s i n g , as T e c k ' s s e n i o r management i s made up of men whose p r i m a r y e x p e r i e n c e i s i n h a r d - r o c k m i n i n g -- c o p p e r , s i l v e r , molybdenum, and so on. T h e r e has been some r e s i s t a n c e on t h e i r p a r t t o r e c o g n i z i n g t h e need f o r e n v i r o n m e n t a l r e v i e w under t h e C o a l G u i d e l i n e s ( R o b e r t s o n , 1982). T h i s r e s i s t a n c e c an be seen i n T e c k ' s o r g a n i z a t i o n . T e c k ' s e n v i r o n m e n t a l c o o r d i n a t o r r e p o r t s t o t h e C h i e f E n g i n e e r , who i n t u r n r e p o r t s t o h i g h e r management l e v e l s . In c o n t r a s t , D e n i s o n ' s e n v i r o n m e n t a l c o o r d i n a t o r r e p o r t s d i r e c t l y t o a v i c e -p r e s i d e n t . One must q u e s t i o n whether T e c k ' s e n v i r o n m e n t a l c o o r d i n a t o r c a n be as e f f e c t i v e a t h i s j o b as h i s c o u n t e r p a r t a t D e n i s o n c a n , g i v e n t h e i r d i f f e r i n g s t a t u s i n t h e c o r p o r a t e h i e r a r c h i e s . However, t h e r e has been i n c r e a s i n g a w a r e n e s s o f e n v i r o n m e n t a l c o n c e r n s a t Teck, s t a r t i n g i n m i d d l e management l e v e l s and moving up ( R o b e r t s o n , 1982). One c a n s u r m i s e t h a t Teck w i l l move i n c r e a s i n g l y i n t h i s d i r e c t i o n a s i t a c c u m u l a t e s e x p e r i e n c e w i t h e n v i r o n m e n t a l r e v i e w s of i t s p r o p o s a l s . D e n i s o n and Teck have n o t engaged i n t h e s o r t of h i g h -p r o f i l e p u b l i c c o n s u l t a t i o n p r o g r a m s t h a t c h a r a c t e r i z e t h e o i l i n d u s t r y ' s p l a n n i n g a c t i v i t i e s ; i n f a c t , t h e y a p p e a r c o n t e n t t o keep p u b l i c p a r t i c i p a t i o n i n p r o j e c t p l a n n i n g t o a minimum. F o r example, a l t h o u g h t h e C o a l G u i d e l i n e s have v i r t u a l l y no p r o v i s i o n s f o r m a n d a t o r y p u b l i c i n v o l v e m e n t i n t h e EIA s t a g e s , 75 D e n i s o n ' s e n v i r o n m e n t a l c o o r d i n a t o r was not c o n v i n c e d t h a t i t was n e c e s s a r y t o p r o v i d e f o r i n c r e a s e d p u b l i c p a r t i c i p a t i o n i n t h e r e v i e w , as he f e l t t h a t t h e r e were enough i n t e r e s t g r o u p s on t h e s c e n e t o communicate t h e l e v e l and n a t u r e o f any p u b l i c o p p o s i t i o n t o t h e d e v e l o p m e n t ( S w i t z e r , 1982). One must r e c o g n i z e , however, t h a t t h i s view may r e f l e c t t h e s t r o n g p o l i t i c a l s u p p o r t t h e N o r t h e a s t C o a l D e velopment has i n V i c t o r i a . T h i s s u p p o r t has a l l o w e d some m a n i p u l a t i o n o f t h e G u i d e l i n e s t o t h e p r o p o n e n t s ' a d v a n t a g e . W i t h l e s s s u p p o r t , t h e y may have been f o r c e d t o " p l a y t h e game" more f a i r l y — i n c l u d i n g i n c r e a s i n g p u b l i c p a r t i c i p a t i o n . 4.2.3 2. Summary The f i v e c o mpanies i n v o l v e d i n t h i s s t u d y have f a c e d s i m i l a r p r e s s u r e s t o i n c o r p o r a t e e n v i r o n m e n t a l c o n s i d e r a t i o n s i n t o t h e i r p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g . A l l have c r e a t e d c o r e e n v i r o n m e n t a l g r o u p s which a r e r e s p o n s i b l e f o r e n s u r i n g t h a t t h e p h y s i c a l p l a n n i n g f o r t h e i r p r o j e c t s meets g o v e r n m e n t a l s t a n d a r d s f o r e n v i r o n m e n t a l p r o t e c t i o n . A l t h o u g h t h e c o m p a n i e s c o n t r a c t o ut most of t h e i r r e s e a r c h , t h e c o r e e n v i r o n m e n t a l g r o u p s a r e r e s p o n s i b l e f o r e s t a b l i s h i n g r e s e a r c h r e q u i r e m e n t s and f o r a d v i s i n g on c o r p o r a t e e n v i r o n m e n t a l p o l i c y . The c o m p a n i e s d i s p l a y some d i f f e r e n c e s i n t h e way t h e y h a n d l e t h e " p u b l i c r e l a t i o n s " component of E I A . The o i l co m p a n i e s have d e v e l o p e d s o p h i s t i c a t e d p u b l i c c o n s u l t a t i o n p r o g r a m s i n r e s p o n s e t o p a s t e x p e r i e n c e s w i t h h i g h - p r o f i l e p u b l i c r e v i e w s o f t h e i r p r o p o s a l s . In c o n t r a s t , D e n i s o n and Teck have n o t a d o p t e d t h e p o l i s h e d a p p r o a c h of t h e o i l i n d u s t r y . In 76 p a r t t h i s i s b e c a u s e t h e c u r r e n t r e v i e w s o f t h e c o a l p r o j e c t s do not have t h e same p u b l i c v i s i b i l i t y a s does t h e B e a u f o r t EARP. T h i s o b s e r v a t i o n may a l s o r e f l e c t t h e l e a r n i n g p r o c e s s t h a t c o m p a n i e s u n d e r g o when a d a p t i n g t o new or c h a n g i n g r e g u l a t o r y e n v i r o n m e n t s . I t i s p o s s i b l e t h a t Teck and D e n i s o n w i l l a d o p t more open a p p r o a c h e s t o p u b l i c i n v o l v e m e n t i n EIA as t h e y e n c o u n t e r and r e s p o n d t o i n c r e a s e d p u b l i c s c r u t i n y o f t h i e r p r o j e c t s . 77 4.3 - Dome, E s s o , G u l f And The B e a u f o r t Sea EARP Dome P e t r o l e u m , E s s o R e s o u r c e s Canada and G u l f Canada R e s o u r c e s have had numerous e n c o u n t e r s w i t h e n v i r o n m e n t a l r e v i e w s and r e g u l a t i o n of t h e i r p r o j e c t s . As a r e s u l t , when t h e B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l was r e f e r r e d by DIAND t o FEARO f o r f o r m a l r e v i e w , t h e com p a n i e s were a b l e t o e x p l o i t t h e i r p r e v i o u s e x p e r i e n c e s t o f a c i l i t a t e t h e r e v i e w . As m e n t i o n e d i n s e c t i o n 3.1, Dome, E s s o and G u l f combined t h e i r e f f o r t s i n p r o d u c i n g t h e E I S . The t h r e e c ompanies s e t up a j o i n t p r o j e c t management g r o u p t o c o o r d i n a t e and d i r e c t p r e p a r a t i o n of t h e EIS (Dome P e t r o l e u m L i m i t e d e_t a l . , 1982). The s t r u c t u r e of t h i s o r g a n i z a t i o n i s shown i n F i g u r e 4.1. T h i s g r o u p i n c l u d e d " v a r i o u s t y p e s of e x p e r t i s e r a n g i n g from s e n i o r managers t o o v e r s e e t h e t o t a l e f f o r t , t o w o r k i n g l e v e l s c i e n t i s t s , e n g i n e e r s and o t h e r s t o s u p e r v i s e c o n s u l t a n t s and company s t a f f i n t h e p r e p a r a t i o n of t h e n e c e s s a r y documents" (Dome P e t r o l e u m L i m i t e d e t a l . , 1982: v o l . 1 , pp. A. 2 - A . 3 ) . Dome P e t r o l e u m p l a y e d t h e p r i n c i p l e r o l e i n managing t h e EIS p r e p a r a t i o n , w h i l e E s s o and G u l f c o n t r i b u t e d e x p e r t i s e i n c e r t a i n a r e a s as w e l l a s a p r o p o r t i o n of t h e f u n d i n g f o r e x t e r n a l s t u d i e s by c o n s u l t a n t s . T h r e e o t h e r c o m p a n i e s , Westmin, Bow V a l l e y and S u n c o r , a l s o made f i n a n c i a l c o n t r i b u t i o n s t o t h e EIS p r o d u c t i o n e f f o r t s (Dome P e t r o l e u m L i m i t e d e t a l . , 1982). W i t h t h i s o r g a n i z a t i o n i n p l a c e , t h e p r o p o n e n t s have, t o d a t e , p r o d u c e d t h e EIS and r e s p o n d e d t o t h e B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l ' s d e f i c i e n c y s t a t e m e n t . The r e m a i n d e r of t h e B e a u f o r t EARP i s , e s s e n t i a l l y , o ut o f t h e p r o p o n e n t s ' hands — a l t h o u g h t h e y p a r t i c i p a t e d i n t h e p u b l i c 78 PARTICIPANTS • DOME (OPERATOR) • ESSO • GULF EIS ORGANIZATION STEERING COMMITTEE D O M E . E S S O . G U L F MB. TODD" DOME J. LEE ESSO J. HNATIUK GULF EIS COMMITTEE D O M E " , G U L F , E S S O MANAGEMENT GROUP D O M E DOCUMENTATION WORKING GROUP D O M E ' . E S S O . G U L F PHYSICAL ENV. BIOLOGICAL ACCIDENTAL SPILLS SOCIO-ECONOMIC RESEARCH AND MONITORING DESIGN CRITERIA DEVELOPMENT DESCRIPTION CANADIAN BENEFITS COMMUNICATIONS WORKING GROUPS D O M E * . E S S O . G U L F PUBLIC INFORMATION APPROVALS PROCESS COMMUNITY PLANNING ENGINEERING COMMITTEE D O M E ' . E S S O . G U L F ENGINEERING WORKING GROUPS D O M E " . E S S O , G U L F DRILLING PRODUCTION FACILITIES ARTIFICIAL ISLANDS SHOREBASES. HARBOURS AND INFRASTRUCTURE TANKERS PIPELINES " C H A I R E D B Y D O M E FIGURE 4.1 - B e a u f o r t Sea P r o p o n e n t s ' EIS Management S t r u c t u r e (Taken f r o m : Dome P e t r o l e u m L i m i t e d e t a l . , 1982:VO1. 1, p. A.3) . 79 meetings to review the EIS and the project as a whole, the timing and content of the meetings and the subsequent report to the Minister of the Environment was up to the Panel. Although t h i s environmental review i s not yet complete, i t has progressed to the point where i t is possible to examine the eff e c t s that i t has had on the proponents. The remainder of thi s chapter i d e n t i f i e s and discusses the benefits and problems posed by EARP as seen by the Beaufort project proponents, and also attempts to put their statements into a broader perspective of the role and function of EIA. Where appropriate, opportunities to improve the performance of EARP are i d e n t i f i e d . 4.3.1 - Effects Of EARP: Project Delays A commonly-raised issue was the uncertainty imposed by EARP on project scheduling. One respondent indicated that the biggest concern of industry is the potential for project delay inherent in EARP (Morrison, 1983). And a Dome respondent f e l t that potential time delays were "80 per cent of the problem" that EARP poses for industry (Pessah, 1982a). The reasons for these concerns about possible delays i s c l e a r : at the time of writing, the Beaufort EARP i s well into i t s fourth year. With the Panel report currently in preparation, the duration of thi s Beaufort review has already exceeded the time i t took Justice Berger to conduct and report on the lengthy Mackenzie Valley Pipeline Inquiry in the mid-1970s.2 2The Berger Inquiry began in March, 1974, and the f i r s t volume of the Inquiry report was tabled in the House of Commons in May, 1977 -- a span of just over three years (38 months) (Berger, 1977). 80 Of c o u r s e , t h e s c o p e o f t h e B e a u f o r t EARP i s even g r e a t e r t h a n t h a t o f t h e M a c k e n z i e V a l l e y i n q u i r y , and even i n c l u d e s t h e M a c k e n z i e V a l l e y as one i m p a c t z o n e . In a d d i t i o n , t h e B e r g e r i n q u i r y was f o c u s s e d on a p r o p o s a l t o b u i l d a p i p e l i n e , whereas t h e B e a u f o r t r e v i e w i s d e a l i n g w i t h g e n e r a l d e v e l o p m e n t c o n c e p t s on a r e g i o n a l s c a l e . So i t s h o u l d n o t be s u r p r i s i n g t h a t t h e r e v i e w has been an e x t e n d e d one; and due t o t h e i m p o r t a n c e o f t h i s r e v i e w , i t i s d i f f i c u l t t o a r g u e t h a t f o u r y e a r s i s t o o l o n g . I n d e e d , i t seems c l e a r t h a t t h e B e a u f o r t r e v i e w has n o t , t o d a t e , had any a d v e r s e e f f e c t s on o v e r a l l p r o j e c t s c h e d u l i n g . B e c a u s e t h e o i l companies have n o t f o u n d s u f f i c i e n t r e s e r v e s o f o i l i n t h e B e a u f o r t , t h e B e a u f o r t EARP c a n n o t be s a i d t o have c a u s e d any d e l a y s i n t h e p r o p o n e n t s ' e s t i m a t e d p r o j e c t c o m p l e t i o n t i m e . One can a s k , however, i f t h e r e were " l a g p e r i o d s " i n t h e r e v i e w p r o c e s s w h i c h may have had t h e e f f e c t of u n n e c e s s a r i l y p r o l o n g i n g t h e r e v i e w . An e x a m i n a t i o n of t h e r e v i e w ' s c h r o n o l o g y r e v e a l s t h a t some o p p r t u n i t i e s may have been m i s s e d t o e x p e d i t e t h e p r o c e s s . F o r example, T a b l e 4.1, a c h r o n o l o g y of key e v e n t s i n t h e B e a u f o r t EARP, shows t h a t a p e r i o d o f t e n months p a s s e d between t h e t i m e t h e p r o j e c t was r e f e r r e d f o r f o r m a l r e v i e w ( J u l y , 1980) and t h e t i m e t h e e n t i r e P a n e l was i n p l a c e (May, 1981). A c c o r d i n g t o t h e E x e c u t i v e C h a i r m a n of FEARO, " [ t ] h e r e were many r e a s o n s f o r t h e t i m e t a k e n . . . . Not t h e l e a s t o f t h e s e was t h e d i f f i c u l t y of f i n d i n g t h e r i g h t p e o p l e t o s i t on t h e P a n e l , g i v e n t h e i m p o r t a n c e , s i z e , scope and c o m p l e x i t y o f t h e r e v i e w . Membership on t h e P a n e l was f i n a l i z e d o n l y a f t e r e x t e n s i v e c o n s u l t a t i o n w i t h a wide v a r i e t y of p o t e n t i a l r e v i e w p a r t i c i p a n t s i n c l u d i n g 81 TABLE 4 . 1 - B e a u f o r t S e a EARP Chronology of Events Date 1980 J u l y 2 2 Nov. 13 1981 Jan. 2 7 Feb. 10 May 8 June 14 June October Nov.-Dec. 1982 February Nov. 10 1983 Feb. 7 Feb. 14 March 8 J u l y 4 August 8 Oct.-Dec. 1984 A p r i l (?) Event Proposal r e f e r r e d to FEARO f o r formal review. FEARO holds seminar i n Calgary to i d e n t i f y key i s s u e s . John Roberts ( M i n i s t e r of the Environment) appoints John Tener as Beaufort Panel Chairman. Roberts appoints four more Panel members. Roberts appoints f i n a l two Panel members. Roberts gives Panel i t s terms of reference. D r a f t EIS G u i d e l i n e s r e l a s e d by Panel. Panel r e l e a s e s "Operational Procedures" f o r BSEARP P u b l i c meetings held to review D r a f t G u i d e l i n e s . Panel r e l e a s e s f i n a l EIS Guid e l i n e s to proponents. Proponents d e l i v e r f i n a l volume of EIS to Panel. Ninety day p u b l i c review p e r i o d begins. EIS review p e r i o d ends. Panel meets to review EIS. Panel r e l e a s e s d e f i c i e n c y statement f o r EIS. Panel r e c e i v e s proponents' responses to d e f i c i e n c y statement. T h i r t y day review p e r i o d begins. End of review p e r i o d . F i n a l p u b l i c meetings h e l d to review EIS and responses. Panel r e p o r t to M i n i s t e r of the Environment. (Panel must r e p o r t no l a t e r than s i x months a f t e r f i n a l p u b l i c meetings conclude.) M i n i s t e r of the Environment and Cabinet d e c i s i o n on Beaufort development. 82 t h e two t e r r i t o r i a l g o v e r n m e n t s , f e d e r a l d e p a r t m e n t s and a g e n c i e s , and a number o f p u b l i c and n a t i v e g r o u p s " ( R o b i n s o n , 1983). A l t h o u g h t h e P a n e l S e c r e t a r i a t was w o r k i n g on t h e r e v i e w w e l l i n a d vance o f t h e P a n e l ' s f o r m a t i o n ( R o b i n s o n , 1983), i t seems l i k e l y t h a t t h i s t e n month l a g may have d e l a y e d , f o r example, t h e r e l e a s e of t h e d r a f t E I S g u i d e l i n e s . A s e c o n d l a g i n t h e r e v i e w p r o c e s s o c c u r r e d when t h e m e e t i n g s on t h e d r a f t E IS g u i d e l i n e s were p o s t p o n e d by t h e P a n e l from "mid-September" t o " e a r l y November." T h i s two month d e l a y of t h e r e v i e w was i n t e n d e d , i n t h e words of t h e P a n e l , " t o a l l o w r e v i e w p a r t i c i p a n t s a d e q u a t e t i m e t o r e q u e s t f u n d s from t h e f u n d i n g c o m m i t t e e and t o p r e p a r e f o r t h e p u b l i c m e e t i n g s . . . " (Canada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , I 9 8 2 b : 3 ) . W h i l e t h e P a n e l may have f e l t t h a t t h i s p ostponement was w a r r a n t e d , t h e most i m p o r t a n t e f f e c t t h a t i t had from i n d u s t r y ' s p o i n t of view was t o push back t h e d a t e when t h e f i n a l E I S g u i d e l i n e s would be r e l e a s e d . The p r o p o n e n t s had a l r e a d y s t a r t e d work on t h e EIS b e f o r e t h e m e e t i n g s on t h e d r a f t g u i d e l i n e s were h e l d ; however, t h e y c o u l d n o t f i n a l i z e t h e i r EIS u n t i l t h e y were aware of a l l of t h e P a n e l ' s r e q u i r e m e n t s i n t h e f i n a l E I S g u i d e l i n e s . One r e s p o n d e n t q u e s t i o n e d t h e need f o r p u b l i c r e v i e w of t h e d r a f t g u i d e l i n e s , as he d i d not f e e l t h a t t h e p u b l i c r e v i e w c o n t r i b u t e d s u b s t a n t i a l l y t o the f i n a l c o n t e n t of t h e E I S . W h i l e t h i s may be t r u e , t h e P a n e l i s o b l i g e d , more f o r r e a s o n s o f p u b l i c c r e d i b i l i t y t h a n f o r m e t h o d o l o g i c a l r i g o u r , t o p r o v i d e t h e o p p o r t u n i t y f o r p u b l i c i n v o l v e m e n t i n e s t a b l i s h i n g t h e g u i d e l i n e s . By d o i n g so, t h e P a n e l d e m o n s t r a t e s i t s w i l l i n g n e s s 83 t o l i s t e n t o p u b l i c c o n c e r n s as w e l l as t h o s e of government and i n d u s t r y . A l t h o u g h t h e P a n e l may have a r e a s o n a b l e i d e a of i n d i v i d u a l s ' c o n c e r n s (as t h e P a n e l does c o m p r i s e a wide r a n g e of b a c k g r o u n d s and e x p e r i e n c e ) , i t must s t i l l be p e r c e i v e d by t h e p u b l i c t o be c o n s i d e r i n g p u b l i c c o n c e r n s . F o r t h e s e r e a s o n s , t h e p u b l i c m e e t i n g s were n e c e s s a r y , d e s p i t e t h e a d d i t i o n a l t i m e t h e y r e q u i r e d . In a l l , t h e p r o p o n e n t s were kept w a i t i n g o v e r 20 months from t h e t i m e t h e p r o p o s a l was r e f e r r e d f o r f o r m a l r e v i e w u n t i l t h e f i n a l E I S g u i d e l i n e s were r e l e a s e d i n F e b r u a r y , 1982. A l e t t e r f r o m Dome t o t h e M i n i s t e r o f t h e E n v i r o n m e n t s t a t e d t h a t , " T h i s i s c o n s i d e r e d t o be an u n r e a s o n a b l e amount o f t i m e t o be d e d i c a t e d t o p r o v i d i n g t h e p r o p o n e n t s w i t h i n s t r u c t i o n s on how t o p r e p a r e an E I S . . . . I f t h e p r o p o n e n t s had w a i t e d t o r e c e i v e t h e g u i d e l i n e s b e f o r e w r i t i n g t h e E I S , a t l e a s t one more y e a r would have e l a p s e d b e f o r e t h e EIS c o u l d e v e n have been c o m p l e t e d " (Todd, 1983). In r e s p o n s e , t h e M i n i s t e r n o t e d t h a t " . . . d r a f t E I S g u i d e l i n e s were r e l e a s e d by t h e P a n e l i n J u n e , 1981 and were n o t s u b s t a n t i a l l y c h a n g e d t h e r e a f t e r . A c c o r d i n g l y , i n d u s t r y had f rom a t l e a s t . t h a t t i m e t o s t a r t p r e p a r i n g t h e E I S and not 20 months a f t e r t h e r e f e r r a l as you s u g g e s t i n y o u r l e t t e r " ( R o b e r t s , 1983). One c a n a p p r e c i a t e , however, i n d u s t r y ' s f r u s t r a t i o n a t t h e e i g h t - m o n t h p u b l i c r e v i e w of t h e d r a f t g u i d e l i n e s w h i c h , i n t h e end, d i d not r e s u l t i n any " s u b s t a n t i a l c h a n g e s " t o t h e f i n a l g u i d e l i n e s . W h i l e t h e two examples d i s c u s s e d above show t h a t government a c t i o n ( o r i n a c t i o n ) may have s l o w e d t h e p a c e o f t h e r e v i e w , i n o t h e r i n s t a n c e s t h e p r o p o n e n t s ' r e s p o n s e t i m e has been t h e 84 l i m i t i n g f a c t o r i n t h e r e v i e w ' s p r o g r e s s . A f t e r t h e f i n a l EIS g u i d e l i n e s were r e l e a s e d i n F e b r u a r y o f 1982, t h e p r o p o n e n t s i n i t i a l l y i n d i c a t e d t h a t t h e EIS would be c o m p l e t e d d u r i n g t h e f o l l o w i n g summer ( M a r s h a l l , 1983). However, t h e f i n a l volume of t h e EIS was n o t r e c e i v e d by t h e P a n e l u n t i l November 10, 1982. Of c o u r s e , f i n a l i z i n g and p r o d u c i n g a 2 000 page EIS o n l y e i g h t months a f t e r t h e f i n a l g u i d e l i n e s were r e l e a s e d was a major a c c o m p l i s h m e n t . But t h e f a c t r e m a i n s t h a t t h e p r o p o n e n t s d i d not meet t h e i r own p r o p o s e d c o m p l e t i o n d a t e f o r t h e i r E I S . And, a l t h o u g h t h e P a n e l ' s s u b s e q u e n t d e c i s i o n t o i s s u e a d e f i c i e n c y s t a t e m e n t added f o u r months t o t h e r e v i e w , one c o u l d a r g u e t h a t t h i s e x t e n s i o n of t h e r e v i e w c o u l d have been a v o i d e d i f t h e p r o p o n e n t s had o r i g i n a l l y a d d r e s s e d t h e key i s s u e s a d e q u a t e l y i n t h e E I S . T h e r e f o r e , t h i s l a g c a n be a t t r i b u t e d as much t o t h e p r o p o n e n t s as i t can t o t h e P a n e l . On t h e b a s i s of t h i s e v i d e n c e , i t does a p p e a r t h a t t h e r e v i e w has t a k e n more t i m e t h a n t h e o r e t i c a l l y n e c e s s a r y . I t i s d i f f i c u l t t o e s t i m a t e t h e r e a l i n c r e a s e i n t h e d u r a t i o n of t h e r e v i e w due t o t h e d e l a y s i d e n t i f i e d above, but i t d o e s a p p e a r t h a t t h e a c t u a l d u r a t i o n c o u l d have been s h o r t e n e d by more t i m e l y r e s p o n s e s by b o t h t h e government and t h e p r o p o n e n t s . One r e s p o n d e n t n o t e d t h a t FEARO had n e v e r had a f i r m s c h e d u l e f o r t h e B e a u f o r t r e v i e w (Hoos, 1983a). W h i l e t h e d i f f i c u l t i e s w i t h a t t e m p t i n g t o impose a s c h e d u l e on s u c h a b r o a d r e v i e w can be a p p r e c i a t e d , l e a v i n g t h e t i m e - f r a m e f o r t h e r e v i e w open-ended may not e n c o u r a g e a t i m e - e f f i c i e n t a p p r o a c h t o t h e r e v i e w . T h e r e f o r e , i t may be d e s i r a b l e t o c o n s i d e r p r o v i d i n g some g u i d e l i n e s f o r t i m i n g o f r e v i e w e v e n t s , t o a i d t h e p r o p o n e n t s ' 85 s c h e d u l i n g of key a c t i v i t i e s and p e r i o d s d u r i n g t h e r e v i e w p r o c e s s . A l t h o u g h t h e p r o p o n e n t s have e n c o u n t e r e d some d e l a y s i n t h e P a n e l review., no p r o j e c t d e l a y s have o c c u r r e d a s a c o n s e q u e n c e . The o i l c ompanies a r e not w a i t i n g f o r EARP a p p r o v a l b e f o r e t h e y move t o p r o d u c t i o n : a t p r e s e n t , t h e y a r e s t i l l l o o k i n g f o r t h e r e s e r v e s needed t o make p r o d u c t i o n a v i a b l e o p t i o n . G i v e n t h e p o l i t i c a l i m p o r t a n c e of t h i s d e v e l o p m e n t , i t seems l i k e l y t h a t i f t h e B e a u f o r t EARP was t h e o n l y o b s t a c l e p r e v e n t i n g t h e de v e l o p m e n t from p r o c e e d i n g , t h e government (and i n d u s t r y ) would have c o m p r e s s e d t h i s r e v i e w i n t o a much s h o r t e r t i m e p e r i o d ( f o r example, by l i m i t i n g t h e s c o p e of t h e r e v i e w ) . 4.3.2 2 E f f e c t s Of EARP: A d d i t i o n a l C o s t s W h i l e t h e B e a u f o r t EARP has not d e l a y e d t h e p r o p o n e n t s ' f o r e s e e n p r o d u c t i o n s c e n a r i o s , i t has i n c r e a s e d t h e i r p r o j e c t p l a n n i n g c o s t s . In g e n e r a l , t h e p r o p o n e n t s were u n a b l e t o p r o v i d e d e t a i l e d i n f o r m a t i o n on t h e c o s t s t h e y i n c u r r e d i n g o i n g t h r o u g h t h e r e v i e w p r o c e s s . The main r e a s o n f o r t h i s i s t h a t t h e p r o p o n e n t s do n o t d e a l w i t h EARP i n i s o l a t i o n f r o m o t h e r a s p e c t s of p r o j e c t p l a n n i n g and from o t h e r government r e v i e w s d e a l i n g w i t h s o c i a l and e n v i r o n m e n t a l i s s u e s . The o v e r l a p among government r e v i e w and r e g u l a t o r y p r o c e s s e s i s r e f l e c t e d i n t h e o v e r l a p i n i n d u s t r y p e r s o n n e l ' s r e s p o n s i b i l i t i e s : a l t h o u g h a worker may be i n v o l v e d i n t h e B e a u f o r t EARP, h i s or h e r r e s p o n s i b i l i t i e s a r e l i k e l y t o i n c l u d e f u n c t i o n s w h i c h a r e not d i r e c t l y r e l a t e d t o EARP. As a r e s u l t , t h e c o m p a n i e s were a b l e t o p r o v i d e o n l y b r o a d 86 e s t i m a t e s of a d m i n i s t r a t i v e c o s t s a t t r i b u t a b l e s o l e l y t o t h e B e a u f o r t EARP. The o v e r a l l c o s t o f m e e t i n g t h e EARP r e q u i r e m e n t s was e s t i m a t e d t o be a p p r o x i m a t e l y $14 m i l l i o n t o d a t e . T h i s i n c l u d e s t h e c o s t of p r e p a r i n g t h e E I S , t h e c o s t of p a r t i c i p a t i n g i n t h e p u b l i c m e e t i n g s , t h e c o s t o f s t u d i e s and r e p o r t s p r e p a r e d s p e c i f i c a l l y a s s u p p o r t documents f o r t h e E I S , and a p e r c e n t a g e of s t u d i e s u s e d f o r b o t h t h e EIS and o t h e r p l a n n i n g o r r e g u l a t o r y needs (Hoos, 1983a). The t h r e e c o m p a n i e s us e d a p p r o x i m a t e l y 60 p e r s o n - y e a r s a l o n g w i t h t h e s e r v i c e s of abo u t 60 c o n s u l t a n t c o m p a n i e s o v e r two y e a r s t o p r e p a r e t h e EIS and t o d e a l w i t h o t h e r a s p e c t s of t h e B e a u f o r t EARP; t h e c o s t of p r o d u c i n g t h e EIS i t s e l f was a p p r o x i m a t e l y $5 m i l l i o n ( e x c l u d i n g r e s e a r c h ) of t h e o v e r a l l f i g u r e of $14 m i l l i o n ( P e s s a h , 1982b). In a d d i t i o n , " [ t ] h e EIS draws upon some $750 m i l l i o n o f r e s e a r c h of w h i c h a b o u t $100 m i l l i o n was B e a u f o r t Sea O f f s h o r e r e s e a r c h and a n o t h e r $100 m i l l i o n f o r B e a u f o r t Sea Onshore r e s e a r c h " ( P e s s a h , 1982b). A g a i n , t h e s e f i g u r e s were a c c o m p a n i e d w i t h t h e c a v e a t t h a t " t h e d o l l a r s and manpower c o s t s i d e n t i f i e d a r e v e r y a p p r o x i m a t e s i n c e i t i s v i r t u a l l y i m p o s s i b l e t o a c c o u n t f o r e v e r y i n d i v i d u a l ' s t i m e s p e n t on t h e p r o g r a m " ( P e s s a h , 1982b). W h i l e t h i s d o e s , i n a s e n s e , f r u s t r a t e a t t e m p t s t o a s s e s s t h e a c t u a l c o s t s o f EARP, a t t h e same t i m e i t s u g g e s t s t h a t t h e s e companies do not d e a l w i t h EARP i n i s o l a t i o n . The f a c t t h a t i t i s so d i f f i c u l t t o a t t r i b u t e c o s t s t o EARP s u g g e s t s t h a t EARP i s c o n s i d e r e d a l o n g s i d e t h e p r o p o n e n t s ' o t h e r e n v i r o n m e n t a l p l a n n i n g r e s p o n s i b i l i t i e s , i f n o t i n t h e m a i n s t r e a m o f p r o j e c t p l a n n i n g . 87 C l e a r l y , t h e o i l c o m p a n i e s i n t h e B e a u f o r t a r e s p e n d i n g a c o n s i d e r a b l e amount of money on EARP. And t h e s e c o s t s c an be i n c r e a s e d by d e l a y s i n t h e r e v i e w p r o c e s s and by government r e q u e s t s f o r new or a d d i t i o n a l i n f o r m a t i o n . The i m p o r t a n t q u e s t i o n , however, i s whether t h e s e c o s t s a r e e x c e s s i v e i n c o m p a r i s o n t o t h e b e n e f i t s d e r i v e d . E I A , i t s h o u l d be remembered, i s a government d e c i s i o n - m a k i n g t o o l . The i n f o r m a t i o n g e n e r a t e d f o r government d e c i s i o n - m a k e r s by EIA i s t h e r e f o r e an o b v i o u s b e n e f i t -- i n f a c t , t h a t i s a p r i n c i p a l o b j e c t i v e of E I A . EARP p r o v i d e s a v e h i c l e f o r p u b l i c p a r t i c i p a t i o n i n d e c i s i o n - m a k i n g and as s u c h s e r v e s t o enhance p u b l i c c o n f i d e n c e i n the g o v e r n m e n t ' s d e c i s i o n p r o c e s s e s . I t i s v e r y d i f f i c u l t t o i d e n t i f y a l l t h e p u b l i c b e n e f i t s o f EIA, t o say n o t h i n g of q u a n t i f y i n g t h o s e b e n e f i t s . One must c o n s i d e r t h e s e b e n e f i t s and t h e m o t i v a t i o n ( b o t h i n t h e o r y and i n p r a c t i c e ) b e h i n d EIA when e x a m i n i n g t h e c o s t s imposed on i n d u s t r y . As a r e s u l t , i t i s r e a l l y n ot p o s s i b l e t o a t t e m p t an o b j e c t i v e a s s e s s m e n t of whether i n d u s t r y has been f o r c e d t o spend " t o o much" on EIA i n t h e B e a u f o r t . In a d d i t i o n , t h e c o s t s o f c o m p l i a n c e w i t h t h e B e a u f o r t EARP p a l e i n c o m p a r i s o n w i t h t h e c o s t s o f o t h e r r e q u i r e d e n v i r o n m e n t a l p r o t e c t i o n m e a s u r e s and e s p e c i a l l y i n c o m p a r i s o n t o o v e r a l l d e v e l o p m e n t c o s t s i n t h e B e a u f o r t . The $14 m i l l i o n c o s t of t h e B e a u f o r t EARP r e p r e s e n t s l e s s t h a n 0.03 p e r c e n t o f t h e d e v e l o p m e n t ' s t o t a l e s t i m a t e d c o s t of g r e a t e r t h a n $50 b i l l i o n ; a nd, as d e s c r i b e d i n 4.3.3, t h e p r o p o n e n t s do t h e m s e l v e s b e n e f i t t o a d e g r e e from EARP. W h i l e t h i s makes t h e c o s t s o f EARP a p p e a r t r i v i a l , c o n s i d e r 88 t h a t t h e s e c o s t s a r e e v e n t u a l l y p a s s e d on t o consumers and t a x p a y e r s . S h o u l d i n d u s t r y p r o v i d e more d e t a i l e d breakdowns o f t h e i r c o m p l i a n c e c o s t s f o r EIA and o t h e r r e g u l a t o r y r e q u i r e m e n t s , i t might be p o s s i b l e t o make a c a s e f o r e x c e s s i v e r e g u l a t o r y c o s t s . The o i l companies were u n a b l e t o p r o v i d e t h i s l e v e l of d e t a i l f o r t h i s s t u d y , however, so no s u c h a n a l y s i s c o u l d be a t t e m p t e d . O t h e r s t u d i e s of t h e e f f e c t s o f e n v i r o n m e n t a l r e g u l a t i o n have e n c o u n t e r e d s i m i l a r p r o b l e m s ( f o r example, N e l s o n e t a l . , 1980; D o r c e y e t a l . , 1980; Hunt and L u c a s , 1980). 4.3.3 2 E f f e c t s Of EARP: B e n e f i t s The r e s p o n d e n t s e x p r e s s e d a ran g e of o p i n i o n s about t h e b e n e f i t s t h e i r c o m p a n i e s d e r i v e d f r o m t h e B e a u f o r t EARP. Dome r e s p o n d e n t s i n d i c a t e d t h a t one i m p o r t a n t b e n e f i t o f EARP, from t h e p r o p o n e n t s ' p e r s p e c t i v e , was t h a t i t b r o u g h t t h e t h r e e c o m p a n i e s t o g e t h e r . T h i s a l l o w e d them t o i d e n t i f y a r e a s of common i n t e r e s t s as w e l l a s c o n f l i c t s among t h e i r p r o p o s a l s and p l a n s ( P e s s a h , 1982a; P a l m e r , 1982). As a r e s u l t , some e f f i c i e n c y g a i n s may have been r e a l i z e d , f o r example, by r e d u c i n g d u p l i c a t i o n of e f f o r t f o r t h e r e v i e w . A l t h o u g h i m p o s s i b l e t o q u a n t i f y , t h e s e e f f i c i e n c y g a i n s may have r e d u c e d t h e t h r e e c o m p a n i e s ' c o m b i n e d e x p e n d i t u r e s f o r t h e B e a u f o r t EARP. Beyond t h a t , t h e Dome r e s p o n d e n t s f e l t t h a t t h e B e a u f o r t EARP had been o f l i t t l e use t o t h e i r p r o j e c t p l a n n i n g n e e d s , as t h e y would have done (and a r e d o i n g ) t h e same e n v i r o n m e n t a l p l a n n i n g work, even w i t h o u t EARP. From E s s o ' s p o i n t o f vie w , an i m p o r t a n t b e n e f i t o f EARP was 89 t h a t i t f a c i l i t a t e d e s t a b l i s h i n g a two-way f l o w o f i n f o r m a t i o n between t h e company and t h e r e s i d e n t s of t h e a f f e c t e d c o m m u n i t i e s ( B a t t e k e , 1983). However, i t was p o i n t e d o ut t h a t , w h i l e EARP may have i m p r o v e d t h i s f l o w of i n f o r m a t i o n , E s s o ' s c o r p o r a t e p o l i c y o f c a r r y i n g o u t i t s o p e r a t i o n s i n a c c o r d w i t h l o c a l s t a n d a r d s would have r e s u l t e d i n t h e company e s t a b l i s h i n g a l o c a l c o n s u l t a t i o n p r o g ram r e g a r d l e s s of EARP r e q u i r e m e n t s ( B a t t e k e , 1983). F o r G u l f , t h e B e a u f o r t EARP was b e n e f i c i a l f r o m a p u b l i c r e l a t i o n s p e r s p e c t i v e . As G u l f has had a r e l a t i v e l y low p r o f i l e i n t h e n o r t h u n t i l b ecoming i n v o l v e d i n t h e B e a u f o r t , t h e company has u s e d t h e B e a u f o r t EARP as a means of i n c r e a s i n g i t s p u b l i c p r o f i l e and showing t h e go v e r n m e n t s and t h e p u b l i c t h a t t h e i r c o r p o r a t e p o l i c i e s and a t t i t u d e s t o w a r d n o r t h e r n d e v e l o p m e n t a r e a c c e p t a b l e ( M o r r i s o n , 1983). In a d d i t i o n , EARP may g i v e G u l f ' s e n v i r o n m e n t a l g r o u p more i n f l u e n c e and c r e d i b i l i t y w i t h i n t h e company. When i n t e r v e n o r s i n t h e p u b l i c m e e t i n g s say t h e same t h i n g s t h a t t h e e n v i r o n m e n t a l g r o u p a t t e m p t s t o a r g u e i n t e r n a l l y , G u l f ' s s e n i o r management may be i n c l i n e d t o g i v e more w e i g h t t o t h o s e a r g u m e n t s ( M o r r i s o n , 1983). In g e n e r a l , t h e n , t h e b e n e f i t s of EARP f o r t h e p r o p o n e n t s l i e i n i m p r o v e d c o m m u n i c a t i o n w i t h i n and between c o m p a n i e s , and between c o m p a n i e s and t h e p u b l i c . None o f t h e r e s p o n d e n t s s u g g e s t e d t h a t g o i n g t h r o u g h t h e B e a u f o r t EARP had r e s u l t e d , t o d a t e , i n i m p r o v e d i n f o r m a t i o n f o r p r o j e c t p l a n n i n g or management. T h i s was a t t r i b u t e d t o t h e c o m p a n i e s ' h i g h s t a n d a r d s f o r p r o j e c t p l a n n i n g ( w h i c h make economic s e n s e f o r o p e r a t i o n s 90 i n s u c h h a r s h e n v i r o n m e n t s ) , and t o t h e e x i s t i n g e n v i r o n m e n t a l r e g u l a t o r y p r o c e s s e s i n t h e N o r t h w h i c h , i t was c l a i m e d , make EARP r e d u n d a n t from an e n v i r o n m e n t a l and p r o j e c t p l a n n i n g p e r s p e c t i v e . , As a r e s u l t , t h e co m p a n i e s view t h e B e a u f o r t EARP as a p u b l i c r e v i e w , i n t e n d e d t o show t h e p u b l i c t h a t t h e government i s d o i n g i t s j o b , more t h a n as a t e c h n i c a l r e v i e w w h i c h c o n t r i b u t e s t o knowledge o f p r o j e c t i m p a c t s and a p p r o p r i a t e m i t i g a t i v e m e a s u r e s . 4.3.4 - I n t e g r a t i o n Of EARP I n t o P r o j e c t P l a n n i n g In s e c t i o n 1.3, i t was n o t e d t h a t f o r EIA t o be e f f e c t i v e , i t must o c c u r e a r l y i n t h e p l a n n i n g p r o c e s s and be an i n t e g r a l component of t h a t p r o c e s s . In t h e B e a u f o r t , i t a p p e a r s t h a t t h e EARP r e v i e w i s o c c u r r i n g a t an a p p r o p r i a t e l y e a r l y s t a g e i n t h e p r o p o n e n t s ' p l a n n i n g p r o c e s s . 3 The B e a u f o r t Sea H y d r o c a r b o n P r o d u c t i o n p r o p o s a l has not y e t r e a c h e d an a d v a n c e d s t a g e of d e s i g n . In f a c t , a t p r e s e n t t h e p r o p o s a l c o n s t i t u t e s a number of p o s s i b l e a l t e r n a t i v e d e v e l o p m e n t s c e n a r i o s , w i t h s u c h p a r a m e t e r s as r a t e of d e v e l o p m e n t and p o t e n t i a l h y d r o c a r b o n t r a n s p o r t a t i o n s y s t e m s s t i l l v e r y much s u b j e c t t o c h a n g e . As t h e o i l c o m p a n i e s and t h e f e d e r a l government a p p e a r t o c o n s i d e r t h e need f o r B e a u f o r t o i l t o be s e l f - e v i d e n t , t h i s i s t h e p r o p e r t i m e i n t h e p l a n n i n g p r o c e s s t o a s s e s s t h e p o t e n t i a l e n v i r o n m e n t a l e f f e c t s 3 W h e t h e r i t i s o c c u r r i n g a t an a p p r o p r i a t e l y e a r l y s t a g e i n t h e go v e r n m e n t ' s p l a n n i n g p r o c e s s i s a n o t h e r m a t t e r . E x p l o r a t i o n i n t h e B e a u f o r t was n e v e r r e f e r r e d f o r f o r m a l r e v i e w under EARP. As a r e s u l t , many of t h e s o c i a l and e n v i r o n m e n t a l e f f e c t s of h y d r o c a r b o n d e v e l o p m e n t , w i t h w h i c h t h e P a n e l r e v i e w i s c o n c e r n e d , have a l r e a d y o c c u r r e d b e c a u s e of t h e e x p l o r a t i o n a c t i v i t y i n t h e r e g i o n . 91 of t h e v a r i o u s d e v e l o p m e n t s c e n a r i o s . I t would have been p o i n t l e s s t o t r y t o c o n d u c t an E I A of t h e d e v e l o p m e n t p r o p o s a l a t an e a r l i e r s t a g e ; even now i t i s v e r y d i f f i c u l t t o g r a s p t h e n a t u r e of t h e s c e n a r i o s w e l l enough t o a s s e s s t h e i r e f f e c t s . And, i f t h e EARP had been c o n d u c t e d much l a t e r i n t h e i r p r o j e c t p l a n n i n g p r o c e s s , d e c i s i o n s c o u l d have been made i n t h e i n t e r i m w h i c h l i m i t e d t h e p o s s i b l e a l t e r n a t i v e s f o r c o n s i d e r a t i o n . The a c t u a l d e g r e e t o w h i c h EARP i s i n t e g r a t e d i n t o t h e p r o p o n e n t s ' p l a n n i n g and d e c i s i o n - m a k i n g p r o c e s s i s more d i f f i c u l t t o a s s e s s . I t does a p p e a r t h a t t h e p r o p o n e n t s a t t e m p t t o c o n s i d e r and a v o i d or m i n i m i z e a d v e r s e e n v i r o n m e n t a l e f f e c t s , w h e r e v e r p o s s i b l e . Of c o u r s e , t h e b u s i n e s s of t h e s e c o m p a n i e s i s p r o d u c i n g o i l , so t h e i r c o n c e p t o f a v o i d i n g i m p a c t s "wherever p o s s i b l e " may not n e c e s s a r i l y c o i n c i d e w i t h t h a t of t h e government o r t h e p u b l i c . In f a i r n e s s , i t s h o u l d be n o t e d t h a t t h e o i l c o m p a n i e s i n t h e B e a u f o r t do t r y t o meet ( o r e x c e e d ) i n ad v a n c e t h e g o v e r n m e n t ' s and t h e p u b l i c ' s e x p e c t a t i o n s and s t a n d a r d s f o r t h e i r n o r t h e r n o p e r a t i o n s . In a d d i t i o n , i t may be m i s l e a d i n g t o examine t h e i n t e g r a t i o n o f EARP i n t o t h e p r o p o n e n t s ' p l a n n i n g a s a measure of t h e i r c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s i n p r o j e c t p l a n n i n g , as t h e y v i e w EARP as o n l y t h e p u b l i c r e v i e w of b r o a d e n v i r o n m e n t a l i s s u e s a s s o c i a t e d w i t h t h e i r p r o p o s a l . The " r e a l " EIA, i t i s i m p l i e d , o c c u r s i n t h e r e g u l a t o r y a p p r o v a l s p r o c e s s , where d e t a i l e d r e v i e w s of p l a n s and i m p a c t s o c c u r . As s t a t e d a bove, some r e s p o n d e n t s c o n s i d e r EARP t o be r e d u n d a n t , as t h e c o m p a n i e s would have done t h e same e n v i r o n m e n t a l work w i t h or w i t h o u t EARP's p r e s e n c e . I f s o , t h e 92 d e g r e e t o w h i c h EARP i s i n t e g r a t e d i n t o t h e p r o p o n e n t s ' p l a n n i n g p r o c e s s may n o t be i n d i c a t i v e o f t h e e x t e n t t o w h i c h t h e co m p a n i e s a t t e m p t t o c o n s i d e r e n v i r o n m e n t a l f a c t o r s i n t h e i r p r o j e c t p l a n n i n g . I n d e e d , t h e c l a i m was made t h a t t h e p r o p o n e n t s ' c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s had d e v e l o p e d t o t h e p o i n t t h a t no c h a n g e s have been made t o p r o j e c t p l a n s o r d e s i g n s as a r e s u l t o f i n f o r m a t i o n from s t u d i e s c o n d u c t e d f o r t h e E I S (Hoos, 1983b). EARP, i t was c l a i m e d , d o e s n o t c o n t r i b u t e t o i m p r o v e d p r o j e c t d e s i g n as t h e c o m p a n i e s ' s t a n d a r d p l a n n i n g p r a c t i c e s would i n d i c a t e how b e s t t o p r o c e e d w i t h d e v e l o p m e n t i n an e n v i r o n m e n t a l l y sound manner (Hoos, 1983b). I t s h o u l d be p o i n t e d out t h a t t h e B e a u f o r t d e v e l o p m e n t has not y e t p r o g r e s s e d t o t h e s t a g e of d e t a i l e d p r o j e c t d e s i g n . T h e r e f o r e , i t may be p r e m a t u r e t o d i s m i s s c o m p l e t e l y EARP's p o t e n t i a l c o n t r i b u t i o n t o p r o j e c t d e s i g n . EARP i s a l s o t h e main c h a n n e l f o r p u b l i c i n v o l v e m e n t i n B e a u f o r t p l a n n i n g and d e c i s i o n - m a k i n g , and f o c u s s e s p u b l i c a t t e n t i o n on t h e p r o p o n e n t s ' p l a n s . In t h i s way, EARP may a c t t o e n s u r e t h a t sound p l a n n i n g o c c u r s i n t h e B e a u f o r t . I t i s d i f f i c u l t t o say whether t h i s p u b l i c p r e s s u r e would be l e s s i n f l u e n t i a l i n t h e a b s e n c e of a p u b l i c r e v i e w under EARP, or whether i t would be e x e r t e d t h r o u g h d i f f e r e n t c h a n n e l s . As t h e p r o p o n e n t s a r e aware o f t h e s i g n i f i c a n t p u b l i c and government a t t e n t i o n f o c u s s e d ( l a r g e l y t h r o u g h EARP) on t h e B e a u f o r t , t h e r e i s l i t t l e r e a s o n t o doub t t h a t t h e y w i l l a t t e m p t t o o p e r a t e i n an e n v i r o n m e n t a l l y - r e s p o n s i b l e manner. I n d e e d , a r e c e n t E n v i r o n m e n t Canada r e p o r t s t a t e s t h a t , "The manner i n w h i c h i n d u s t r y i s a d d r e s s i n g i t s r e s p o n s i b i l i t i e s on n o r t h e r n 93 e n v i r o n m e n t a l m a t t e r s i s most e n c o u r a g i n g . C u r r e n t d e s i g n s f o r many n o r t h e r n i n d u s t r i a l p r o j e c t s r e f l e c t a h i g h d e g r e e of e n v i r o n m e n t a l p l a n n i n g " (Canada. E n v i r o n m e n t , 1983:23). 4.3.5 - EARP: P r o b l e m A r e a s And P o s s i b l e Improvements The r e s p o n d e n t s i n t h i s s t u d y i d e n t i f i e d a number o f o t h e r p r o b l e m s a s s o c i a t e d w i t h EARP. Th e s e r a n g e d from q u e s t i o n i n g t h e need f o r EARP t o m e t h o d o l o g i c a l p r o b l e m s r e l a t e d t o t h e a p p l i c a t i o n o f EARP i n t h e B e a u f o r t . 4.3.5.1 ^ The Need F o r EARP The need t o sub m i t the B e a u f o r t d e v e l o p m e n t t o a f o r m a l r e v i e w under EARP, i n view of t h e e x t e n s i v e r e g u l a t o r y p r o c e s s w h i c h a l r e a d y e x i s t s i n t h e n o r t h , was q u e s t i o n e d by t h e p r o p o n e n t s . The o p i n i o n was e x p r e s s e d t h a t EARP was meant t o be a p p l i e d where no r e v i e w p r o c e s s e x i s t e d . W h i l e a c k n o w l e d g i n g t h a t i t may, i n t h e o r y a t l e a s t , p r o v i d e more of an o v e r v i e w of e f f e c t s , EARP was s a i d t o be a l m o s t c o m p l e t e l y r e d u n d a n t f o r i n d u s t r y , a s c u r r e n t r e g u l a t o r y a p p r o v a l s c o v e r t h e same g r o u n d as EARP ( P e s s a h , 1982a). T h e s e c r i t i c i s m s a r e not ai m e d a t t h e need t o c o n d u c t an EIA f o r t h e B e a u f o r t p r o p o s a l ; r a t h e r , t h e y r e f l e c t t h e o v e r l a p and d u p l i c a t i o n of e n v i r o n m e n t a l r e v i e w s i n t h e n o r t h . T h e r e a r e a number of a c t s and r e g u l a t i o n s , a p p l i c a b l e i n t h e n o r t h , w i t h " l i m i t e d a s s e s s m e n t p r o c e d u r e s " w h i c h " d u p l i c a t e t h e EARP a l t h o u g h t h e y a r e not as e x t e n s i v e " (Canada. S e n a t e , 1983:69) ( s e e T a b l e 3 . 1 ) . A r e c e n t S e n a t e r e p o r t s t a t e s t h a t , "The f a c t t h a t t h i s c o m p r e h e n s i v e e n v i r o n m e n t a l and s o c i o - e c o n o m i c 94 assessment i s taking place [through the Beaufort EARP] has not prevented other agencies from completing their own reviews" (Canada. Senate, 1983:68). In thi s context, i t i s not surprising that some respondents question the need for EARP, especially when i t is perceived as being done primarily for p o l i t i c a l reasons. It was suggested that the federal government probably realized that the existing regulatory approvals process could handle the environmental questions associated with hydrocarbon development, but that the Beaufort development was referred for formal review because the federal government f e l t i t needed to be seen to be doing more than the normal regulatory e f f o r t . That duplication and overlap exists between EARP and the regulatory process cannot be questioned. A more important issue is whether i t is EARP or the regulations which are redundant. The current regulatory regime in the North has developed haphazardly. Individual regulations were implemented in response to a range of separate issues and problems, with no planning framework to provide a reference point. EARP was added on top of this d i s j o i n t e d regulatory regime. Reducing the existing overlap might be accomplished most e a s i l y by scrapping EARP. However, i t would seem more l o g i c a l to achieve the same end by adjusting the regulations to take advantage of EARP's strengths — for example, i t s a b i l i t y to provide a r e l a t i v e l y comprehensive assessment of development e f f e c t s , and i t s role as a focal point for public p a r t i c i p a t i o n . While t h i s may be a more d i f f i c u l t means of reducing the duplication, i t would create a more e f f i c i e n t and e f f e c t i v e review and regulatory system than would either scrapping EARP or maintaining the status quo. 95 4.3.5.2 2. The "One-Shot" A p p r o a c h To Impact A s s e s s m e n t Not o n l y was t h e B e a u f o r t Sea EARP seen as u n n e c e s s a r y ; t h e E l S - b a s e d f e d e r a l a p p r o a c h t o EIA was a l s o c o n s i d e r e d i n a p p r o p r i a t e . A l m o s t e v e r y EIA p r o c e s s r e v o l v e s a r o u n d t h e p r o d u c t i o n of an E I S w h i c h d e s c r i b e s t h e e x i s t i n g e n v i r o n m e n t , t h e p r o p o s e d p r o j e c t and i t s p r e d i c t e d c o n s e q u e n c e s . T h e r e a r e two i m p o r t a n t r e a s o n s why t h i s may not be t h e most d e s i r a b l e a p p r o a c h t o use i n t h e B e a u f o r t . F i r s t , from a s t r i c t l y t h e o r e t i c a l p e r s p e c t i v e , many o b s e r v e r s have p o i n t e d out t h a t t h e r e " a r e r e a l l i m i t s t o t h e p r e d i c t i o n of e n v i r o n m e n t a l e f f e c t s . . . " b e c a u s e " e v e r y t h i n g t h a t has a l r e a d y happened ( b u t i s s t i l l p r o d u c i n g e f f e c t s ) c a n ' t be a s s e s s e d ; and ... t h e r e a l l y s i g n i f i c a n t e f f e c t s t h a t o c c u r a r e s y n e r g i s t i c and c u m u l a t i v e , and t h e y a r e o f t e n i n c a p a b l e of b e i n g a s s e s s e d i n a d v a n c e " ( L a n g , 1977:64). Thompson e_t a l . go so f a r as t o s t a t e t h a t " i t i s p o i n t l e s s t o t r y t o a s s e s s and make p r o v i s i o n f o r a l l p r o j e c t i m p a c t s a t t h e t i m e o f i n i t i a l p r o j e c t a p p r o v a l " ( 1 9 8 1 : 1 1 ) . T h i s i s b e c a u s e " [ a ] l m o s t by d e f i n i t i o n , t h e i m p a c t s w i l l be t h e c o n s e q u e n c e s of d i s t u r b a n c e s t h a t a r e u n l i k e any t h e n a t u r a l s y s t e m has y e t e x p e r i e n c e d " ( H o l l i n g , 1978:133). G i v e n t h e c o n s i d e r a b l e knowledge d e f i c i e n c i e s a b o u t t h e e n v i r o n m e n t i n t h e B e a u f o r t r e g i o n , and t h e p o o r l y d e v e l o p e d s t a t e o f impact p r e d i c t i o n methods f o r b o t h s o c i a l and e n v i r o n m e n t a l a s s e s s m e n t s , i t i s n o t u n r e a s o n a b l e t o q u e s t i o n t h e v a l u e of t h e B e a u f o r t EIS as a means of i m p r o v i n g t h e q u a l i t y of government d e c i s i o n - m a k i n g i n t h e n o r t h . I r o n i c a l l y , t h e u t i l i t y of EARP's EIS o r i e n t a t i o n , l a b e l l e d 96 by one r e s p o n d e n t as a " s n a p s h o t " (meaning s t a t i c ) a p p r o a c h t o EIA, i s f u r t h e r hampered by t h e f a c t t h a t t h e r e v i e w i s o c c u r r i n g when i t s h o u l d -- e a r l y i n t h e p r o j e c t p l a n n i n g p r o c e s s . As m e n t i o n e d above, t h e p r o p o n e n t s do not have "a p r o p o s a l " f o r h y d r o c a r b o n d e v e l o p m e n t . R a t h e r , t h e y have p r o p o s e d a number of p o s s i b l e a l t e r n a t i v e s c e n a r i o s f o r p r o d u c t i o n and t r a n s p o r t a t i o n o f o i l and gas f r o m t h e B e a u f o r t . T h e s e s c e n a r i o s a r e , i n g e n e r a l , more c o n c e p t s t h a n p l a n s ; c h a n g i n g a l m o s t c o n t i n u o u s l y as t h e r e s u l t s o f e a c h e x p l o r a t i o n w e l l a r e a n a l y z e d and even as t h e w o r l d p r i c e f o r o i l f l u c t u a t e s . I t was p o i n t e d out by t h e r e s p o n d e n t s t h a t t h e c u r r e n t s t r u c t u r e of EARP i s n o t c a p a b l e of a d a p t i n g t o t h e p r o p o n e n t s ' e v o l v i n g p r o p o s a l s f o r t h e B e a u f o r t . The r e s u l t i s t h a t t h e u s u a l d i f f i c u l t i e s i n p r e d i c t i n g i m p a c t s a r e e x a c e r b a t e d by t h e f u z z y n a t u r e of t h e p r o p o n e n t s ' p r o p o s a l s a t t h i s e a r l y s t a g e i n t h e i r p l a n n i n g p r o c e s s . T h i s p r e s e n t s a r e a l p r o b l e m f o r EARP: a t t e m p t i n g t o a n a l y z e i n a l i m i t e d amount o f t i m e a l l i m p a c t s of a l l s c e n a r i o s f o r B e a u f o r t d e v e l o p m e n t r e s u l t s i n an enormous EIS o f o n l y l i m i t e d u t i l i t y t o d e c i s i o n - m a k e r s . (Which seems t o be e x a c t l y what has happened; but a c y n i c w o u l d p o i n t o u t t h a t t h e r e a l d e c i s i o n -makers won't be l o o k i n g a t t h e EIS anyway.) C l e a r l y , t h i s one-s h o t a p p r o a c h i s an i n a p p r o p r i a t e means of c a r r y i n g out an EIA of a p r o p o s a l o f t h e B e a u f o r t Sea H y d r o c a r b o n D e v e l o p m e n t ' s c o m p l e x i t y and m a g n i t u d e . One p r o p o s a l f o r d e a l i n g w i t h t h i s p r o b l e m was t h a t EARP c o u l d be t r a n s f o r m e d i n t o an open-ended r e v i e w p r o c e s s w h i c h would run f o r t h e d u r a t i o n o f t h e d e v e l o p m e n t ( P e s s a h , 1982a). 97 But i t was s u g g e s t e d t h a t even t h i s r o l e f o r EARP would be somewhat r e d u n d a n t , as most of t h e p e r m i t s t h e o i l c o m p a n i e s need t o c o n d u c t t h e i r o p e r a t i o n s i n t h e n o r t h a r e i s s u e d and r e v i e w e d on an a n n u a l b a s i s ( P e s s a h , 1982a). However, i f t h a t open-ended r e v i e w was u s e d t o e s t a b l i s h t h e t e r m s and c o n d i t i o n s of t h e a n n u a l l y - r e n e w e d p e r m i t s , t h a t a p p a r e n t r e d u n d a n c y c o u l d be e x p l o i t e d t o a d a p t t h e p e r m i t s t o c h a n g i n g e n v i r o n m e n t a l and s o c i a l c o n d i t i o n s . I t does seem o b v i o u s , however, t h a t t h e g o v e r nment's a p p r o a c h t o impact management need s t o be r e - e v a l u a t e d . I n s t e a d of t r y i n g t o p r e d i c t and manage a l l i m p a c t s a t t h e EIA s t a g e , " i t i s b e t t e r t o r e c o g n i z e t h a t t h e r e i s a whole s p e c t r u m of d e c i s i o n s ... t h a t need t o be made" b o t h b e f o r e and a f t e r p r o j e c t a p p r o v a l (Thompson e t a l . , 1981:11). F o r example, i t may be p r e f e r a b l e t o d e f e r d e t a i l e d c o n s i d e r a t i o n of impact m i t i g a t i o n and c o m p e n s a t i o n p r o p o s a l s u n t i l a f t e r p r o j e c t i m p l e m e n t a t i o n , when t h e n a t u r e and m a g n i t u d e of p o t e n t i a l i m p a c t s a r e more f u l l y u n d e r s t o o d (Thompson e_t a l . , 1981). "In o t h e r words, t h e r e can be a r e s p o n s i b l e d e c i s i o n t o p r o c e e d w i t h a p r o j e c t on t h e b a s i s t h a t p r o b l e m s w i l l be d e a l t w i t h as t h e y a r i s e " (Bankes and Thompson, 1980:5). However, f o r t h i s t o o c c u r , we must know " a t t h e t i m e o f p r o j e c t a p p r o v a l t h a t t h e r e i s a s t r u c t u r e i n p l a c e c a p a b l e of making t h e s e p o s t p o n e d d e c i s i o n s " (Thompson e_t a l . , 1981:11). C u r r e n t l y , t h e r e i s no s u c h s t r u c t u r e a t t h e f e d e r a l l e v e l . In f a c t , t h e P a n e l , i n i t s r e p o r t t o t h e M i n i s t e r , can o n l y recommend c o n d i t i o n s f o r a p p r o v a l : " I t i s up t o them [ t h e p r o j e c t p r o p o n e n t or i n i t i a t o r ] whether or n o t t o implement 9 8 P a n e l r e c o m m e n d a t i o n s " (John H e r i t y , FEARO D i r e c t o r G e n e r a l f o r P r o c e s s Development and E v a l u a t i o n , c i t e d i n Rees, I 9 8 l a : 3 7 5 , n o t e 3 ) . So a t p r e s e n t , w h i l e a P a n e l c a n recommend p o s t -a p p r o v a l m o n i t o r i n g and a s s e s s m e n t p r o g r a m s , n e i t h e r t h e government nor t h e p r o p o n e n t i s l e g a l l y o b l i g a t e d t o implement them. F o r EARP t o be t r a n s f o r m e d i n t o an o n g o i n g impact a s s e s s m e n t and management p r o c e s s i n t h e B e a u f o r t would p r o b a b l y r e q u i r e some form o f l e g i s l a t e d mandate, so t h a t c o m p l i a n c e w i t h c o n d i t i o n s of a p p r o v a l c o u l d be e n f o r c e d . T h i s would c e r t a i n l y make EARP a more e f f e c t i v e p r o c e s s ; b u t whether t h e p o l i t i c a l w i l l e x i s t s t o g i v e EIA t h a t much power and i n f l u e n c e i n n o r t h e r n d e c i s i o n - m a k i n g i s d o u b t f u l . 4.3.5.3 - EIS G u i d e l i n e s The f i n a l g u i d e l i n e s i s s u e d t o t h e p r o p o n e n t s s t a t e t h a t t h e E I S " s h o u l d a d d r e s s e n v i r o n m e n t a l and s o c i o - e c o n o m i c i s s u e s a s s o c i a t e d w i t h a p r o p o s a l f o r h y d r o c a r b o n p r o d u c t i o n . . . and a l t e r n a t i v e modes of t r a n s p o r t a t i o n t o s o u t h e r n m a r k e t s . . . . P r o j e c t and s i t e s p e c i f i c d e t a i l s , a s t h e y a r e d e v e l o p e d , w i l l be r e v i e w e d and a s s e s s e d by o t h e r mechanisms a t a p p r o p r i a t e t i m e s " (Canada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , I 9 8 2 a : 1 ) . However, much of t h e i n f o r m a t i o n r e q u e s t e d i n t h e g u i d e l i n e s a p p e a r e d t o be o r i e n t e d more to w a r d d e t a i l e d r e v i e w t h a n t o an i n i t i a l r e v i e w of a d e v e l o p m e n t c o n c e p t . As one r e s p o n d e n t p o i n t e d o u t , many o f t h e i n f o r m a t i o n r e q u e s t s seemed t o be a m a t t e r of s c i e n t i f i c i n t e r e s t more t h a n i n f o r m a t i o n r e q u i r e d f o r i n f o r m e d d e c i s i o n - m a k i n g . Of c o u r s e , 99 t h e P a n e l needs a wide r a n g e of i n f o r m a t i o n t o be a b l e t o a p p r e c i a t e t h e p o s s i b l e e c o l o g i c a l and s o c i a l c o n s e q u e n c e s of d e v e l o p m e n t . Yet one can o n l y wonder how much a d e s c r i p t i o n o f , f o r example, " s p e c i e s c o m p o s i t i o n , d i s t r i b u t i o n , abundance and p r o d u c t i o n on a s e a s o n a l b a s i s " of a q u a t i c v e g e t a t i o n t h r o u g h o u t t h e B e a u f o r t Sea (Canada. B e a u f o r t Sea E n v i r o n m e n t a l A s s e s s m e n t P a n e l , I982a:37) w i l l c o n t r i b u t e t o t h e P a n e l ' s t a s k of i d e n t i f y i n g "major d e v e l o p m e n t e f f e c t s " on t h e e n v i r o n m e n t . By r e q u e s t i n g i n f o r m a t i o n w h i c h may be u s e f u l but not i m p o r t a n t f o r t h e i r n e e d s , t h e P a n e l i s h e l p i n g t o p e r p e t u a t e t h e " i n f o r m a t i o n o v e r l o a d " p r o b l e m w h i c h has p l a g u e d EIA f o r y e a r s . These r e q u e s t s p l a c e t h e p r o p o n e n t s i n an u n c o m f o r t a b l e p o s i t i o n . W h i l e t h e y may f e e l q u i t e s t r o n g l y , b a s e d on p r e v i o u s e x p e r i e n c e , t h a t t h e i n f o r m a t i o n t h e y a r e b e i n g a s k e d t o p r o v i d e w i l l not be v e r y u s e f u l , t h e y c a n n o t p r o t e s t t o o l o u d l y o r t o o l o n g w i t h o u t b e i n g seen by government and t h e p u b l i c as u n w i l l i n g t o p a r t i c i p a t e i n good f a i t h i n t h e r e v i e w . As a r e s u l t , i t i s o f t e n s i m p l e r f o r t h e c o m p a n i e s t o a t t e m p t t o comply w i t h t h e g u i d e l i n e s ' r e q u e s t s t h a n i t i s t o q u e s t i o n t h e i r v a l i d i t y . T h i s would be l e s s s i g n i f i c a n t i f b o t h i n d u s t r y and government had u n l i m i t e d r e s o u r c e s and t i m e t o s pend on EIA. T h i s , of c o u r s e , i s not t h e c a s e . B o t h t h e p r o p o n e n t s and t h e government must work w i t h i n l i m i t e d b u d g e t s f o r p r e p a r i n g and a n a l y z i n g E I S ' s and p a r t i c i p a t i n g i n t h e o t h e r components of a f o r m a l r e v i e w . I t i s i m p o r t a n t , t h e r e f o r e , t h a t t h e i n f o r m a t i o n t h e p r o p o n e n t s a r e a s k e d t o p r o v i d e i s d i r e c t l y r e l a t e d t o t h e P a n e l ' s t a s k of a s s e s s i n g t h e B e a u f o r t d e v e l o p m e n t . One s i m p l e 100 way t h i s c o u l d be done i s f o r t h e P a n e l t o accompany, i n t h e g u i d e l i n e s , e a c h r e q u e s t f o r i n f o r m a t i o n w i t h a b r i e f s t a t e m e n t o f how t h a t i n f o r m a t i o n w i l l c o n t r i b u t e t o t h e i r t a s k . T h i s w i l l h e l p t h e P a n e l t o scope t h e g u i d e l i n e s t o key i s s u e s , and w i l l make i t e a s i e r f o r t h e e n v i r o n m e n t a l g r o u p s w i t h i n t h e p r o p o n e n t c o m p a n i e s t o e s t a b l i s h i n t e r n a l l y t h e need t o f u n d and c a r r y o ut r e l e v a n t s t u d i e s and a c t i v i t i e s . The p r o b l e m of s c o p i n g E I A s has been examined i n g r e a t e r d e t a i l i n r e c e n t s t u d i e s ( f o r example, B e a n l a n d s and D u i n k e r , 1983). A n o t h e r p r o b l e m i d e n t i f i e d by i n d u s t r y was t h e l a c k of c o n s i s t e n c y among t h e g u i d e l i n e s i s s u e d f o r t h e v a r i o u s E I A ' s t h a t t h e i r d i f f e r e n t p r o j e c t s go t h r o u g h . I t was n o t e d t h a t t h e EIA r e q u i r e m e n t s f o r e a c h p r o j e c t have been d i f f e r e n t , making i t d i f f i c u l t f o r i n d u s t r y t o a n t i c i p a t e t h e k i n d s o f i n f o r m a t i o n t h a t w i l l be e x p e c t e d of them i n upcoming r e v i e w s ( M o r r i s o n , 1983). T h i s makes i t d i f f i c u l t f o r t h e p r o p o n e n t s t o i n i t i a t e s t u d i e s a t an e a r l y enough s t a g e i n p r o j e c t p l a n n i n g t h a t t h e y w i l l c o n t r i b u t e t o an u n d e r s t a n d i n g of e x i s t i n g c o n d i t i o n s and p o t e n t i a l p r o j e c t e f f e c t s . T h i s i s e s p e c i a l l y t r u e f o r b a s e l i n e e n v i r o n m e n t a l and s o c i a l s t u d i e s , where t h e p r o b l e m i s a l w a y s t h a t t h e r e i s not enough t i m e a v a i l a b l e t o c o l l e c t s u f f i c i e n t i n f o r m a t i o n . I t was s u g g e s t e d t h a t a s e t of " c o r e " r e q u i r e m e n t s c o u l d be e s t a b l i s h e d f o r most E I S ' s , t o r e d u c e u n c e r t a i n t y about e x p e c t a t i o n s . T h i s a p p e a r s t o be a r e a s o n a b l e a p p r o a c h . A l t h o u g h most p r o p o n e n t s c o u l d p r e d i c t i n a d v a n c e t h e t y p e s o f i n f o r m a t i o n t h e y w i l l p r o b a b l y be a s k e d t o p r o v i d e , t h e r e a r e no FEARO g u i d e l i n e s t o e s t a b l i s h t h i s c o n s i s t e n c y between r e v i e w s . But 101 t h e b e n e f i t of EARP's p r o j e c t - b y - p r o j e c t a p p r o a c h t o EIS g u i d e l i n e s i s t h a t i t can a d a p t t o t h e c i r c u m s t a n c e s o f e a c h d i i f e r e n t p r o j e c t r e v i e w . F o r example, i t would be v e r y d i f f i c u l t f o r FEARO t o e s t a b l i s h a s e t of c o r e r e q u i r e m e n t s w h i c h would be e q u a l l y v a l i d f o r r e v i e w s of h y d r o c a r b o n p r o d u c t i o n i n t h e B e a u f o r t and t h e e x p a n s i o n of t h e V a n c o u v e r I n t e r n a t i o n a l A i r p o r t . I t may be p o s s i b l e , however, t o e s t a b l i s h c o r e r e q u i r e m e n t s f o r c e r t a i n c l a s s e s o r c a t e g o r i e s o f p r o j e c t r e v i e w s . T h i s would p r o v i d e t h e p r o j e c t p r o p o n e n t s w i t h some ad v a n c e w a r n i n g a b o u t t h e l i k e l y r e q u i r e m e n t s (and t h e r e b y r e d u c e t h e " l e a r n i n g t i m e " t h a t i n d u s t r y must go t h r o u g h when a d a p t i n g t o t h e r e g u l a t o r y e n v i r o n m e n t o f a new p r o j e c t ) and c o u l d l e a d t o g r e a t e r c o n s i s t e n c y i n t h e l e v e l and d e t a i l o f EARP r e v i e w s , w h i l e p r e s e r v i n g t h e p r o c e s s ' s a b i l i t y t o a d a p t t o a wide v a r i e t y of p r o p o s a l s and p r o j e c t s . 4.3.5.4 2. P a n e l I n d e p e n d e n c e The June 14, 1981 l e t t e r from J o h n R o b e r t s , M i n i s t e r of t h e E n v i r o n m e n t , t o John T e n e r , C h a i r m a n of t h e B e a u f o r t P a n e l , w h i c h s e t t h e terms o f r e f e r e n c e f o r t h e P a n e l r e v i e w , s t a t e s t h a t t h e P a n e l " i s i n d e p e n d e n t from t h e o p e r a t i o n s o f FEARO i n c o n d u c t i n g i t s r e v i e w " ( R o b e r t s , 1981:9). However, some r e s p o n d e n t s e x p r e s s e d c o n c e r n s t h a t t h i s i n d e p e n d e n c e f r o m FEARO was n o t b e i n g r e a l i z e d i n p r a c t i c e . T h e r e was a p r e v a l e n t p e r c e p t i o n t h a t t h e P a n e l S e c r e t a r i a t , i n a d d i t i o n t o p r o v i d i n g a d m i n i s t r a t i v e s u p p o r t f o r t h e P a n e l , was a l s o p r o v i d i n g s u b s t a n t i v e g u i d a n c e . One r e s p o n d e n t s u g g e s t e d t h a t a d i s a d v a n t a g e of h a v i n g an a l l non-government P a n e l was t h a t t h e 102 P a n e l c o u l d be i n f l u e n c e d t o a g r e a t e r d e g r e e by t h e S e c r e t a r i a t ' s a d v i c e . A s p e c i f i c c o n c e r n was t h a t t h e S e c r e t a r i a t may have i n f l u e n c e d t h e s u b s t a n c e o f t h e EIS g u i d e l i n e s and t h e P a n e l ' s d e f i c i e n c y s t a t e m e n t . The P a n e l S e c r e t a r i a t , i n r e s p o n s e , f e l t t h a t t h e s e c o n c e r n s were not j u s t i f i e d . The i n d e p e n d e n c e of t h e P a n e l i n p r a c t i c e was s t r e s s e d , and i t was p o i n t e d o u t t h a t t h e P a n e l members were aware of t h e need t o r e m a i n i n d e p e n d e n t from t h e S e c r e t a r i a t as a m a t t e r o f p r a c t i c e , t o e n s u r e p r o c e d u r a l f a i r n e s s . In f a c t , a r e q u e s t t o t h e P a n e l S e c r e t a r i a t t o i n t e r v i e w P a n e l members as p a r t of t h i s s t u d y was t u r n e d down on t h e g r o u n d s t h a t p r o c e d u r a l f a i r n e s s c o n c e r n s would make p r i v a t e m e e t i n g s w i t h P a n e l members t o d i s c u s s t h e r e v i e w and a s s o c i a t e d p r o c e d u r a l and s u b s t a n t i v e i s s u e s i n a p p r o p r i a t e . However, i t was a c k n o w l e d g e d t h a t t h e p e r c e p t i o n of t h e S e c r e t a r i a t ' s r e l a t i o n s h i p t o t h e P a n e l c o u l d be a f f e c t e d by i t s r o l e as t h e f u n n e l f o r a l l c o r r e s p o n d e n c e between t h e P a n e l and t h e p r o p o n e n t s and t h e p u b l i c . The P a n e l ' s t e r m s of r e f e r e n c e s t a t e t h a t , " E x c e p t f o r p u b l i c m e e t i n g s , t h e S e c r e t a r i a t i s t h e main p o i n t of c o n t a c t f o r c o m m u n i c a t i o n between t h e P a n e l and a l l p a r t i c i p a n t s . . . " and t h a t , "The p r o p o n e n t s ' p r i m a r y c o n t a c t w i t h t h e P a n e l i s t h e S e c r e t a r i a t " ( R o b e r t s , 1981:9-10). B e c a u s e o f t h i s r o l e , i t i s not d i f f i c u l t t o see how t h e i n f l u e n c e o f t h e S e c r e t a r i a t c o u l d come i n t o q u e s t i o n . And, a l t h o u g h i t was not p o s s i b l e t o d e t e r m i n e whether t h e S e c r e t a r i a t had i n d e e d i n f l u e n c e d t h e P a n e l t o any e x t e n t , t h e mere e x i s t e n c e of t h i s p e r c e p t i o n on t h e p r o p o n e n t s ' p a r t i s a m a t t e r f o r c o n c e r n . Remembering t h e l e g a l maxim t h a t " j u s t i c e 103 must a l s o be seen t o be done," i n o t h e r words t h a t what i s seen t o happen i s as i m p o r t a n t as what a c t u a l l y happens, i t may be d e s i r a b l e t o c o n s i d e r a d d i t i o n a l means of e n s u r i n g t h a t t h e S e c r e t a r i a t ' s r o l e i n p r o v i d i n g a d m i n i s t r a t i v e s u p p o r t t o t h e P a n e l i s c l e a r l y s e p a r a t e from t h e P a n e l ' s f u n c t i o n , and i s p e r c e i v e d t o be d i s t i n c t by a l l p a r t i c i p a n t s i n t h e r e v i e w . 4.3.6 ^ Summary The need f o r i n d u s t r y t o i n c o r p o r a t e e n v i r o n m e n t a l c o n c e r n s i n t o p r o j e c t p l a n n i n g and d e c i s i o n - m a k i n g a p p e a r s t o have been a c c e p t e d by t h e o i l companies a c t i v e i n t h e B e a u f o r t Sea. T h i s a c c e p t a n c e stems i n p a r t f r o m t h e e x i s t e n c e of t h e g o v e rnment's e n v i r o n m e n t a l r e g u l a t o r y r e g i m e , and a l s o from t h e c o m p a n i e s ' r e a l i z a t i o n t h a t a d e q u a t e e n v i r o n m e n t a l p l a n n i n g c a n be o f n e t b e n e f i t t o o v e r a l l p r o j e c t p l a n n i n g . EIA, as one component of e n v i r o n m e n t a l p l a n n i n g , i s s i m i l a r l y r e c o g n i z e d as one means of e n s u r i n g t h a t d e v e l o p m e n t p r o c e e d s r e s p o n s i b l y . In g e n e r a l , however, EARP i s n o t v i e w e d as a t r u e EIA p r o c e s s . I t i s p e r c e i v e d t o be o n l y t h e p u b l i c r e v i e w component of EIA; t h e t e c h n i c a l r e v i e w component i s seen t o o c c u r d u r i n g t h e r e g u l a t o r y a p p r o v a l s p r o c e s s . As a r e s u l t , t h e need t o s u b m i t t h e B e a u f o r t p r o j e c t t o a f o r m a l r e v i e w was p e r c e i v e d t o be more p o l i t i c a l t h a n t e c h n i c a l i n n a t u r e . From a p r o j e c t p l a n n i n g p e r s p e c t i v e , t h e p r o p o n e n t s f e l t t h a t EARP was l a r g e l y u n n e c e s s a r y , as normal p l a n n i n g p r o c e d u r e s would have c o v e r e d t h e same g r o u n d -- i n c l u d i n g p u b l i c c o n s u l t a t i o n . W h i l e t h i s may be t r u e f r o m i n d u s t r y ' s s t a n d p o i n t , i t must be remembered t h a t EARP i s meant t o a i d government d e c i s i o n - m a k i n g more t h a n 1 04 p r o j e c t p l a n n i n g by i n d u s t r y . A l t h o u g h t h e B e a u f o r t EARP d i d n o t d e l a y o v e r a l l p r o j e c t s c h e d u l i n g , nor amount t o an u n r e a s o n a b l e c o s t , t h e s i g n i f i c a n c e of t h i s c o n c l u s i o n must be c o n s i d e r e d i n v i e w o f t h e r e v i e w ' s a l l e g e d r e d u n d a n c y . In o t h e r words, i t may be m i s d i r e c t e d t o w o r r y a b o u t t h e e f f e c t s of d e l a y s and a d d i t i o n a l c o s t s i f t h e whole p r o c e s s i s u n n e c e s s a r y t o b e g i n w i t h . However, i t seems more r e a s o n a b l e t o v i e w t h e r e g u l a t o r y r e g i m e as c o n t a i n i n g t h e r e d u n d a n t components, not EARP. R e g u l a t o r y a p p r o v a l s c a n n o t p r o v i d e as c o m p r e h e n s i v e an o v e r v i e w as can EARP; nor d o e s t h e r e g u l a t o r y a p p r o v a l s p r o c e s s a l l o w p u b l i c i n p u t i n t o d e c i s i o n s about whether p r o p o s a l s s h o u l d p r o c e e d . In any e v e n t , t h e p r o p o n e n t s a l s o i d e n t i f i e d a number o f p r o b l e m s t h e y e n c o u n t e r e d i n t h e B e a u f o r t EARP; some of w h i c h a p p e a r t o be s u b s t a n t i a t e d -- f o r example, c o n c e r n s about EARP's " s n a p s h o t " a p p r o a c h t o EIA -- w h i l e o t h e r s a r e l e s s c e r t a i n . However, t h e i m p o r t a n t p o i n t i s t h a t t h e s e a r e p e r c e i v e d by t h e p r o p o n e n t s t o be p r o b l e m s a f f e c t i n g EARP. The s i g n i f i c a n c e -- o r v a l i d i t y — o f e a c h of t h e s e p r o b l e m s may be d e b a t e d by o t h e r s , d e p e n d i n g upon t h e o b s e r v e r ' s p e r s p e c t i v e , but t h e f a c t t h a t i n d u s t r y c o n s i d e r s them i m p o r t a n t means t h a t t h e y s h o u l d be e xamined, i f o n l y t o show t h a t a l l p a r t i e s i n v o l v e d a r e t r e a t e d e q u a l l y and f a i r l y . D e s p i t e t h e p r o b l e m s t h a t EARP p r e s e n t s t o i n d u s t r y , t h e p r o c e s s i s p r e s e n t l y w e i g h t e d i n t h e p r o p o n e n t s ' f a v o r . I n f o r m a t i o n i s power; and t h e c u r r e n t s t r u c t u r e of EARP t h a t r e q u i r e s t h e p r o p o n e n t s t o p r e p a r e t h e EIS e n s u r e s t h a t most of t h e i n f o r m a t i o n and knowledge of a p r o j e c t ' s l i k e l y " e f f e c t s w i l l 105 be i n i n d u s t r y ' s h a n d s . However, t h e g o v e r n m e n t — o r , p e r h a p s more i m p o r t a n t l y , t h e b u r e a u c r a c y -- s t i l l r e t a i n s s u b s t a n t i a l i n f l u e n c e o v e r i n d u s t r y , t h r o u g h l e g i s l a t e d and i n f o r m a l p o w e r s . And, w h i l e t h e r e l a t i o n s h i p between government and i n d u s t r y seems t o be i m p r o v i n g ( i n terms of w o r k i n g c o o p e r a t i v e l y ) , t h e r e s p o n d e n t s i n t h i s s t u d y o f t e n f e l t u n a b l e t o e n t e r i n t o a f r a n k a p p r a i s a l of t h e B e a u f o r t EARP "on t h e r e c o r d , " b e c a u s e t h e y f e l t i t c o u l d a f f e c t t h e i r f u t u r e d e a l i n g s w i t h g o v e r n m e n t . T h i s r e l u c t a n c e s u g g e s t s t h a t t h e g o v e r n m e n t - i n d u s t r y r e l a t i o n s h i p i s n o t a t o t a l l y open one, a t l e a s t i n t h e a r e a of e n v i r o n m e n t a l a s s e s s m e n t . P r o b l e m s a r e n o t u n e x p e c t e d between r e g u l a t o r and r e g u l a t e d ; but a more open r e l a t i o n s h i p between government, i n d u s t r y and t h e p u b l i c c o u l d c o n t r i b u t e t o more e f f e c t i v e and more c r e d i b l e e n v i r o n m e n t a l management. EARP, or some d e r i v a t i v e t h e r e o f , c o u l d p r o v e u s e f u l t o w a r d t h a t end, i n i t s r o l e a s a forum f o r d i s c u s s i o n of t h e e f f e c t s of d e v e l o p m e n t . 106 4.4 2. D e n i s o n , Teck and t h e C o a l G u i d e l i n e s Review P r o c e s s In t h e B e a u f o r t , s e v e r a l c o m p a n i e s have combined t h e i r e f f o r t s t o p a r t i c i p a t e i n t h e B e a u f o r t EARP, w h i c h i s a t t e m p t i n g t o a s s e s s t h e b r o a d c o n c e p t of n o r t h e r n h y d r o c a r b o n d e v e l o p m e n t . The B.C. G u i d e l i n e s f o r C o a l D e v e l o p m e n t a r e not s t r u c t u r e d t o e n c o u r a g e s u c h a j o i n t a p p r o a c h t o impact a s s e s s m e n t . The G u i d e l i n e s a p p l y t o i n d i v i d u a l p r o p o s a l s f o r mine d e v e l o p m e n t s i n t h e n o r t h e a s t of B.C., n o t t o t h e e n t i r e N o r t h e a s t C o a l D e v e l o p m e n t . A l t h o u g h t h e B u l l m o o s e and Q u i n t e t t e p r o j e c t s a r e i m m e d i a t e l y a d j a c e n t i n t h e N o r t h e a s t c o a l b l o c k , t h e y (and t h e o t h e r p r o p o s e d m i n e s ) a r e g o i n g t h r o u g h t h e C o a l G u i d e l i n e s Review P r o c e s s (CGRP) i n d e p e n d e n t l y . T h i s may make i t d i f f i c u l t f o r t h e p r o v i n c i a l government t o a s s e s s a d e q u a t e l y t h e c u m u l a t i v e and s y n e r g i s t i c e f f e c t s of t h e d e v e l o p m e n t e s p e c i a l l y as more mines a r e d e v e l o p e d — on t h e r e g i o n ' s n a t u r a l and s o c i a l e n v i r o n m e n t . D e n i s o n and Teck have b o t h formed d i s t i n c t c o r p o r a t e e n t i t i e s t o manage t h e i r r e s p e c t i v e m i n e s . D e n i s o n i s t h e m a j o r s h a r e h o l d e r i n Q u i n t e t t e C o a l L i m i t e d , a c o n s o r t i u m w h i c h a l s o i n c l u d e s J a p a n e s e and F r e n c h i n t e r e s t s ( Q u i n t e t t e C o a l L i m i t e d , 1982). T e c k and L o r n e x have f o r m e d a s u b s i d i a r y , B u l l m o o s e O p e r a t i n g C o r p o r a t i o n , t o r u n t h e B u l l m o o s e p r o j e c t . However, t h e p r e l i m i n a r y p l a n n i n g , i n c l u d i n g t h e S t a g e II impact a s s e s s m e n t , was done by D e n i s o n and Teck f o r t h e i r r e s p e c t i v e o p e r a t i n g c o m p a n i e s ( S w i t z e r , 1982; R o b e r t s o n , 1982). 4.4.1 ^ D e l a y s Due To CGRP As i n t h e B e a u f o r t , t h e EIA p r o c e s s c o n t a i n e d i n t h e C o a l 107 G u i d e l i n e s has n o t c a u s e d t h e p r o p o n e n t s ' e x p e c t e d p r o j e c t c o m p l e t i o n t i m e t o be d e l a y e d or e x t e n d e d . T h i s i s due, i n l a r g e p a r t , t o t h e n o t a b l e f l e x i b i l i t y t h a t t h e p r o v i n c i a l government has d i s p l a y e d i n a p p l y i n g t h e G u i d e l i n e s t o t h e two p r o j e c t s . In b o t h c a s e s , t h e r a t e of p r o g r e s s i o n t h r o u g h t h e f o u r s t a g e s o f t h e CGRP has been d e t e r m i n e d by t h e p r o p o n e n t s ' p r o j e c t s c h e d u l i n g n e e d s , and n o t v i c e v e r s a . T a b l e 4.2 p r e s e n t s a c h r o n o l o g y of t h e p r o g r e s s i o n o f T e c k ' s B u l l m o o s e p r o p o s a l t h r o u g h t h e CGRP, as o f J u l y , 1983. The p r o p o s a l e n t e r e d t h e r e v i e w i n A u g u s t , 1979, when t h e S t a g e I r e p o r t was f i l e d w i t h t h e C o a l G u i d e l i n e s S t e e r i n g Committee (CGSC). (No p r o s p e c t u s was f i l e d [ C r o o k , 1983].) A p p r o v a l - i n -p r i n c i p l e f o r S t a g e I I was not g r a n t e d u n t i l December, 1982, o v e r t h r e e y e a r s l a t e r . However, a f t e r t h e S t a g e I r e p o r t was a p p r o v e d i n O c t o b e r , 1979, " t h e r e was a p e r i o d of p r o j e c t p l a n n i n g dormancy" u n t i l c o a l s a l e s were announced i n J a n u a r y , 1981 ( C r o o k , 1983:2). So t h e a c t u a l r e v i e w t i m e f o r S t a g e s I and II i s c l o s e r t o two y e a r s t h a n t h r e e . In a d d i t i o n , a f t e r Teck a r r a n g e d s a l e s w i t h J a p a n e s e b u y e r s , w i t h d e l i v e r i e s t o b e g i n i n l a t e 1983, t h e E n v i r o n m e n t and Land Use Committee (ELUC) " e x p e d i t e d m a t t e r s by a l l o w i n g some o v e r l a p of S t a g e s I I and I I I ..." ( C r o o k , 1983). As a r e s u l t , T e c k was a b l e t o b e g i n work on t h e B u l l m o o s e s i t e i n A p r i l , 1982, " t o s a t i s f y a v e r y s t r i c t c o n s t r u c t i o n s c h e d u l e a l t h o u g h f i n a l S t a g e II a p p r o v a l was n o t g r a n t e d u n t i l December, 1982 ( R o b e r t s o n , 1983). I t was r e c o g n i z e d t h a t t h i s " f a s t - t r a c k i n g " o f t h e p r o j e c t p l a n n i n g and r e v i e w d i d n o t f o l l o w t h e l e t t e r of t h e CGRP ( R o b e r t s o n , 1983), and was o n l y TABLE 4.2 - Chronology of Bullmoose Project Review Date Event No prospectus f i l e d . August, 1979 Stage I report f i l e d . October, 1979 Stage I report Accepted. January, 19 81 Coal sales announced. A p r i l , 1982 Preliminary Stage I I report f i l e d . July, 1982 F i n a l Stage I I report f i l e d . December, 1982 Stage I I approval-in-principle granted, Sources: Crook, 1983; Robertson, 1983. 109 p o s s i b l e b e c a u s e of t h e s t r o n g p o l i t i c a l s u p p o r t i n V i c t o r i a f o r t h e d e v e l o p m e n t ( R o b e r t s o n , 1982). A s i m i l a r p a t t e r n c an be seen i n t h e r e v i e w o f D e n i s o n ' s Q u i n t e t t e p r o p o s a l . D e n i s o n o r i g i n a l l y t i l e d a p r o s p e c t u s f o r t h e p r o j e c t w i t h t h e CGSC i n May, 1976 ( s e e T a b l e 4.3 f o r a c h r o n o l o g y ) . T h e i r S t a g e I r e p o r t was a c c e p t e d i n May, 1977. But a p p r o v a l - i n - p r i n c i p l e f o r S t a g e I I d i d not o c c u r u n t i l J u n e , 1982. A g a i n , however, t h e r e was a p e r i o d of t i m e -- about f o u r y e a r s -- when p r o j e c t p l a n n i n g was " v i r t u a l l y d o rmant" b e c a u s e no m a r k e t s had been l i n e d up f o r c o a l f r o m t h e Q u i n t e t t e p r o j e c t ( C r o o k , 1983). O n l y o n e - a n d - a - h a l f y e a r s p a s s e d from t h e t i m e c o a l s a l e s were announced i n J a n u a r y , 1981 u n t i l t h e t i m e S t a g e II a p p r o v a l was g r a n t e d . ELUC a l s o a l l o w e d D e n i s o n t o o v e r l a p S t a g e s II and I I I : "With t h e announcement of c o a l s a l e s i n J a n u a r y of 1981, t h e company [ D e n i s o n ] was f a c e d w i t h t h e f o r m i d a b l e t a s k of c o m p l e t i n g t h e government r e v i e w and p r o j e c t c o n s t r u c t i o n by O c t o b e r o f 1983. F o r t h i s r e a s o n , t h e ELUC a g r e e d t o some o v e r l a p of S t a g e s I I and I I I ..." ( C r o o k , 1983:2). T h i s d e c i s i o n u n d e r l i n e s t h e P r o v i n c e ' s s t r o n g s u p p o r t f o r t h e d e v e l o p m e n t . In f a c t , t h e announcement o f t h i s d e c i s i o n i n F e b r u a r y , 1981, o c c u r r e d a t t h e same t i m e t h a t D e n i s o n ' s S t a g e II r e p o r t was r e j e c t e d a s d e f i c i e n t . T h i s r e j e c t i o n was n o t u n e x p e c t e d D e n i s o n had s u b m i t t e d a " d r a f t S t a g e I I " r e p o r t i n September, 1980, w h i c h was " . . . a c k n o w l e d g e d by b o t h y o u r company and t h e P r o v i n c e t o be d e f i c i e n t i n s e v e r a l r e s p e c t s when i t was f i l e d i n c o n f i d e n c e w i t h t h e M i n i s t r y o f I n d u s t r y and S m a l l B u s i n e s s D e v e l o p m e n t " ( R o g e r s , 1981). I t was t h i s d r a f t w h i c h was 1 10 TABLE 4.3 - Chronology of Quintette Project Review Date Event May, 19 76 December, 19 76 May, 19 77 September, 1980 January, 19 81 February, 19 81 May, 19 82 June, 19 82 Prospectus f i l e d . Stage I report f i l e d . Stage I report accepted. Stage II submission f i l e d . Coal sales announced. Stage II submission .rejected. ELUC allows overlap of Stages II and I I I . Revised Stage II report f i l e d . Stage II approval-in-principle granted. Source: Crook, 19 83. 111 r e j e c t e d . The p r o v i n c i a l government d i d not want t o h o l d up t h e Q u i n t e t t e p r o j e c t u n t i l D e n i s o n r e c e i v e d S t a g e II a p p r o v a l : " . . . I would n o t e t h a t t h e P r o v i n c e i s a n x i o u s t o c o o p e r a t e f u l l y w i t h y o u r company i n g e n e r a t i n g t h e n e c e s s a r y a p p r o v a l s . Any f u r t h e r d e l a y s would worsen s t i l l f u r t h e r t h e c o n f l i c t between t h e c o a l p r o d u c t i o n s c h e d u l e and t h e need f o r a d d i t i o n a l mine p l a n n i n g " ( R o g e r s , 1981:4). As t h e government r e c o g n i z e d t h a t work on t h e Q u i n t e t t e s i t e w ould have t o b e g i n i n 1981 t o meet t h e c o n t r a c t e d 1983 d e a d l i n e f o r f i r s t d e l i v e r i e s , "...we have d e c i d e d t o m o d i f y t h e C o a l G u i d e l i n e s Review P r o c e s s t o a c h i e v e t h e d u a l o b j e c t i v e s o f p r e s e r v i n g t h e c o n s t r u c t i o n s c h e d u l e w h i l e e n s u r i n g t h a t government a g e n c i e s r e c e i v e t h e i n f o r m a t i o n t h e y r e q u i r e i n a t i m e l y manner" ( R o g e r s , 1981:3). The government d e c i d e d t o a l l o w D e n i s o n t o b e g i n n e g o t i a t i n g p e r m i t s and a p p r o v a l s ( t h a t i s , t o e n t e r S t a g e I I I ) , but a t t h e same ti m e r e q u i r e d t h e company t o p r o d u c e an a c c e p t a b l e S t a g e II r e p o r t ( R o g e r s , 1981). I t c a n be seen t h a t i n b o t h c a s e s , t h e p r o v i n c i a l g o v e r n m e n t ' s w i l l i n g n e s s t o t a i l o r t h e CGRP t o p r o j e c t d e a d l i n e s meant t h a t any f e a r s t h e p r o p o n e n t s may have had a b o u t p o t e n t i a l d e l a y s i n S t a g e I I n e v e r m a t e r i a l i z e d . The r e s p o n d e n t s f r o m b o t h D e n i s o n and Tec k e m p h a s i z e d t h a t t h i s p o l i t i c a l s u p p o r t meant t h a t t h i s a p p l i c a t i o n of t h e CGRP was n o t r e p r e s e n t a t i v e o f t h e p o t e n t i a l e f f e c t s t h e G u i d e l i n e s c o u l d have i f no c o n c e s s i o n s were made t o p r o j e c t s c h e d u l i n g r e q u i r e m e n t s : " . . . i f t h e p r o c e s s was t o be e n f o r c e d on a f u t u r e p r o j e c t , t h e c o s t s o f d e l a y s i n p r o c e e d i n g would be v e r y s i g n i f i c a n t " ( R o b e r t s o n , 1983). 1 12 However, b o t h r e s p o n d e n t s s t r e s s e d t h a t t h e p r o j e c t s would have r e c e i v e d a p p r o v a l even w i t h l e s s e x p l i c i t government s u p p o r t , a l t h o u g h t h e a p p r o v a l s may have been s l o w e r ( R o b e r t s o n , 1982; S w i t z e r , 1982). B o t h a l s o i n d i c a t e d t h a t t h e r e a l p o t e n t i a l f o r d e l a y s i s i n S t a g e I I I , when the c o m p a n i e s would be a t t e m p t i n g t o n e g o t i a t e p e r m i t s and a p p r o v a l s w i t h t h e v a r i o u s government m i n i s t r i e s and a g e n c i e s ( S w i t z e r , 1982; R o b e r t s o n , 1982). I t i s d i f f i c u l t t o say i f t h e g o v e r n m e n t ' s a c t i o n s w i l l have any e f f e c t on t h e e n v i r o n m e n t a l impact of t h e d e v e l o p m e n t . T h e r e i s no way t o d e t e r m i n e , i n a d v a n c e or even a f t e r t h e f a c t , i f f a s t - t r a c k i n g t h e p l a n n i n g and r e v i e w s of t h e p r o j e c t s has r e d u c e d t h e q u a l i t y of i n f o r m a t i o n a v a i l a b l e f o r d e c i s i o n -m a king. The a b b r e v i a t e d b a s e l i n e s t u d i e s may make i t more d i f f i c u l t t o m o n i t o r p r o j e c t i m p a c t s , b u t i t i s n o t p o s s i b l e t o a s s e s s t h e e f f e c t s of t h e s h o r t e n e d p l a n n i n g p e r i o d on t h e q u a l i t y of p r o j e c t d e s i g n -- an i m p o r t a n t f a c t o r i n d e t e r m i n i n g a p r o j e c t ' s e n v i r o n m e n t a l impact ( F a b r i c k and O'Rourke, 1982). The p r o p o n e n t s must s t i l l meet t h e r e q u i r e m e n t s of t h e p r o v i n c i a l r e g u l a t o r y a p p r o v a l s i n S t a g e I I I ; r e g a r d l e s s o f how much t h e y f a s t - t r a c k t h e i r p l a n n i n g , t h e r e i s a t h r e s h o l d l e v e l of p r o j e c t d e s i g n f o r impact a v o i d a n c e and m i t i g a t i o n w h i c h t h e y must s u r p a s s . To d e s i g n f o r impact m i t i g a t i o n and a v o i d a n c e , one must f i r s t p r e d i c t p r o b a b l e i m p a c t s , so t h e r e i s a l s o an i m p l i c i t t h r e s h o l d l e v e l of i m p a c t a s s e s s m e n t e f f o r t w h i c h must be met i f r e g u l a t o r y a p p r o v a l s a r e t o be f o r t h c o m i n g . The q u e s t i o n a r i s e s whether t h e t h r e s h o l d e s t a b l i s h e d by t h e c u r r e n t r e g u l a t o r y r e g i m e i s a d e q u a t e , but t h i s f a l l s b eyond th e s c o p e of t h i s s t u d y . 113 4.4.2 - A d d i t i o n a l C o s t s Due To The CGRP Once a g a i n , no d e t a i l e d e s t i m a t e s were a v a i l a b l e f o r t h e c o s t s D e n i s o n and Teck i n c u r r e d i n c o m p l y i n g w i t h t h e S t a g e I I EIA r e q u i r e m e n t s . D e n i s o n e s t i m a t e d t h a t t o t a l e x p e n d i t u r e s on e n v i r o n m e n t a l s t u d i e s f o r S t a g e I I were a p p r o x i m a t e l y $3.1 m i l l i o n , o ut of a t o t a l c o s t f o r f e a s i b i l i t y s t u d i e s of about $30 m i l l i o n . D e n i s o n ' s e n v i r o n m e n t a l c o o r d i n a t o r i n d i c a t e d t h a t t h e company u s u a l l y f o u n d t h a t e n v i r o n m e n t a l s t u d i e s r e p r e s e n t e d a b o u t 10 t o 13 p e r c e n t of t o t a l f e a s i b i l i t y c o s t s ( S w i t z e r , 1982), so t h e r e l a t i v e c o s t of t h e e n v i r o n m e n t a l s t u d i e s f o r Q u i n t e t t e was n o t e x c e p t i o n a l . The c o s t of t h e s e e n v i r o n m e n t a l s t u d i e s w o u l d n o r m a l l y r e p r e s e n t an i n v e s t m e n t w i t h u n c e r t a i n r e t u r n s f o r a company, as t h e government c o u l d c o n c e i v a b l y r e j e c t a p r o j e c t p r o p o s a l a f t e r s u b s t a n t i a l e x p e n d i t u r e s had been made on f e a s i b i l i t y s t u d i e s . A company would t h e n have t o w r i t e o f f t h e c o s t s o f t h e s e s t u d i e s as a l o s s , so t h e p r o s p e c t of h a v i n g t o c o n d u c t e x p e n s i v e e n v i r o n m e n t a l s t u d i e s c o u l d be enough t o i n c r e a s e t h e r i s k a s s o c i a t e d w i t h a p r o p o s e d p r o j e c t t o t h e p o i n t where t h a t p r o j e c t i s no l o n g e r f i n a n c i a l l y v i a b l e from t h e company's p o i n t of view ( S w i t z e r , 1982). But t h i s i s c l e a r l y n ot t h e c a s e i n t h e N o r t h e a s t , where t h e P r o v i n c e a p p e a r s a s e a g e r a s t h e companies t o see t h e d e v e l o p m e n t p r o c e e d . As t h e r i s k o f t h e government d e c i d i n g n o t t o p r o c e e d w i t h t h e N o r t h e a s t C o a l D e velopment i s m i n i m a l , t h e c o s t of e n v i r o n m e n t a l s t u d i e s f o r S t a g e I I s h o u l d be c o n s i d e r e d i n r e l a t i o n t o o v e r a l l p r o j e c t c o s t s . The c o s t of e n v i r o n m e n t a l s t u d i e s as a p r o p o r t i o n o f o v e r a l l d e v e l o p m e n t c o s t s f o r t h e Q u i n t e t t e p r o j e c t ( a b o u t $900 m i l l i o n ) i s about 1 1 4 0.3 p e r c e n t . Teck e s t i m a t e d t h e c o s t o f p r o d u c i n g t h e i r S t a g e I I r e p o r t t o be a b o u t $1 m i l l i o n ( R o b e r t s o n , 1982). I t was n o t e d t h a t t h i s c o s t c o u l d have been much g r e a t e r i f t h e y had not been a l l o w e d t o f a s t - t r a c k t h e r e v i e w . The m o d i f i e d r e v i e w p r o c e s s a l s o p r e v e n t e d t h e l o s s of an e n t i r e c o n s t r u c t i o n s e a s o n ( R o b e r t s o n , 1983), w h i c h would have made i t i m p o s s i b l e f o r Teck t o meet t h e c o n t r a c t e d d e a d l i n e f o r f i r s t s h i p m e n t s of c o a l f r o m B u l l m o o s e of O c t o b e r , 1983. The o p p o r t u n i t y c o s t s of m i s s i n g a f u l l c o n s t r u c t i o n s e a s o n would t h e r e f o r e have been s u b s t a n t i a l . T h ese c o s t e s t i m a t e s f o r b o t h D e n i s o n and Teck i n c l u d e t h e c o s t s of s t u d i e s w h i c h would have been done w i t h o u t t h e S t a g e I I EIA r e q u i r e m e n t s o r w h i c h would have been n e c e s s a r y f o r t h e r e g u l a t o r y a p p r o v a l s t h e c o m p a n i e s r e q u i r e t o c o n s t r u c t and o p e r a t e t h e i r m i n e s . N e i t h e r company was a b l e t o s e p a r a t e out t h e c o s t s of t h e S t a g e II EIA r e q u i r e m e n t s o n l y . But i t does n o t a p p e a r t h a t t h e s e r e q u i r e m e n t s r e p r e s e n t an undue b u r d e n , e s p e c i a l l y i n c o m p a r i s o n t o t h e o t h e r c o s t s o f e n v i r o n m e n t a l r e g u l a t i o n w h i c h t h e companies f a c e . F o r example, Cameron (1980) s t a t e s t h a t " . . . i t a p p e a r s t h a t e n v i r o n m e n t a l l e g i s l a t i o n c a n a c c o u n t f o r 10 t o 15 p e r c e n t o f t h e o p e r a t i n g c o s t s of a p r o j e c t " i n w e s t e r n Canada (p. 1 5 2 ) . And, as was d i s c u s s e d i n 4.1.1, t h e c o m p a n i e s do s t a n d t o b e n e f i t i n a number of ways from a d e q u a t e e n v i r o n m e n t a l a s s e s s m e n t , whereas t h e o n l y b e n e f i t of c o m p l i a n c e w i t h most o t h e r forms of e n v i r o n m e n t a l r e g u l a t i o n i s c o n t i n u e d o p e r a t i o n . 1 1 5 4.4.3 - B e n e f i t s From The CGRP In c o n t r a s t t o t h e B e a u f o r t , where t h e o i l c ompanies f e l t t h a t t h e main c o r p o r a t e b e n e f i t s from EARP were i m p r o v e d p u b l i c r e l a t i o n s and c o m m u n i c a t i o n , t h e b e n e f i t s i d e n t i f i e d by T e c k and D e n i s o n r e s u l t i n g from t h e CGRP were r e l a t e d p r i m a r i l y t o t e c h n i c a l d e s i g n . B o t h c o m p a n i e s i n d i c a t e d t h a t one b e n e f i t o f s t u d i e s done f o r S t a g e I I was i d e n t i f i c a t i o n o f t h e need f o r s e d i m e n t c o n t r o l ponds t o r e d u c e t h e amount o f s e d i m e n t r e a c h i n g l o c a l d r a i n a g e s t h r o u g h s u r f a c e r u n - o f f f r o m r o a d s and t h e m i n e s i t e ( R o b e r t s o n , 1982; S w i t z e r , 1982). I t was p o i n t e d out t h a t i f t h e need f o r t h e s e s t r u c t u r e s had n o t been d e t e r m i n e d b e f o r e t h e c o n s t r u c t i o n phase began, t h e c o m p a n i e s may have ended up s p e n d i n g more money t o c o r r e c t t h e p r o b l e m a f t e r t h e f a c t t h a n t h e y d i d by d e a l i n g w i t h t h e p r o b l e m s b e f o r e t h e y a r o s e ( R o b e r t s o n , 1983; S w i t z e r , 1982). O t h e r c h a n g e s i n p r o j e c t d e s i g n i n c l u d e d f a c i l i t i e s s i t i n g , b u i l d i n g d e s i g n and l o c a t i o n of r o a d s and dumps a t Q u i n t e t t e ( S w i t z e r , 1982), as w e l l a s d e s i g n i n g " h y d r a u l i c s t r u c t u r e s f o r f l o o d c o n t r o l a t t h e [ B u l l m o o s e ] p l a n t s i t e and r a i l l o a d o u t " t o meet 2 0 0 - y e a r f l o o d d e s i g n c r i t e r i a , a t t h e g o v e r n m e n t ' s r e q u e s t ( R o b e r t s o n , 1983). T h e s e d e s i g n c h a n g e s and some o t h e r m i n o r c h a n g e s d i d o c c u r d u r i n g S t a g e I I . However, i t i s a g a i n d i f f i c u l t t o a t t r i b u t e t h e s e d e s i g n improvements s o l e l y t o i n f o r m a t i o n o b t a i n e d d u r i n g t h e i m p a c t a s s e s s m e n t p h a s e . B o t h r e s p o n d e n t s i m p l i e d t h a t some c h a n g e s were made more t o e x p e d i t e S t a g e I I I p e r m i t n e g o t i a t i o n s t h a n t o m i t i g a t e e n v i r o n m e n t a l i m p a c t s ( a l t h o u g h t h e c h a n g e s may u l t i m a t e l y have t h a t e f f e c t ) . I n f o r m a t i o n f r o m S t a g e I I was a l s o s a i d t o be h e l p f u l i n 1 1 6 d e s i g n i n g m o n i t o r i n g programs f o r t h e c o n s t r u c t i o n and o p e r a t i n g p h a s e s ( R o b e r t s o n , 1983). W h i l e t h e r e do a p p e a r t o be i n s t a n c e s where t h e CGRP has r e s u l t e d i n i m p r o v e d p r o j e c t d e s i g n , from an impact a v o i d a n c e o r m i t i g a t i o n p e r s p e c t i v e , n e i t h e r r e s p o n d e n t s u g g e s t e d t h a t t h e comp a n i e s d e r i v e d p u b l i c - r e l a t i o n s or c o r p o r a t e image b e n e f i t s ( a l o n g t h e l i n e s of t h o s e i d e n t i f i e d by t h e o i l c ompanies i n t h e B e a u f o r t ) f r o m p a r t i c i p a t i n g i n t h e CGRP. T h i s c a n p r o b a b l y be a t t r i b u t e d t o t h e low p u b l i c p r o f i l e o f t h e CGRP, e s p e c i a l l y i n c o m p a r i s o n t o EARP. Because of t h e l i m i t e d p r o v i s i o n f o r p u b l i c p a r t i c i p a t i o n i n t h e CGRP, i t i s n o t s u r p r i s i n g t h a t D e n i s o n and Teck d i d not r e c e i v e much p u b l i c a t t e n t i o n a s t h e y went t h r o u g h t h e r e v i e w . The CGRP seems t o be more of a p h y s i c a l d e v e l o p m e n t p l a n n i n g p r o c e s s t h a n a p u b l i c d e v e l o p m e n t r e v i e w p r o c e s s , w hich may e x p l a i n t h e t y p e s of b e n e f i t s t h e r e s p o n d e n t s i d e n t i f i e d f r o m t h e p r o c e s s . 4.4.4 - I n t e g r a t i o n Of The CGRP I n t o P r o j e c t P l a n n i n g I t i s v e r y d i f f i c u l t t o a s s e s s t h e d e g r e e t o w h i c h D e n i s o n and Teck -- o r any o t h e r c o m p a n i e s -- have v o l u n t a r i l y i n c o r p o r a t e d e n v i r o n m e n t a l p l a n n i n g i n t o t h e i r p r o j e c t p l a n n i n g p r o c e s s e s . However, t h e C o a l G u i d e l i n e s do a p p e a r t o have been i n c o r p o r a t e d , t o an e x t e n t , i n t o t h e p r o p o n e n t s ' p l a n n i n g p r o c e s s e s . T h i s i s due i n p a r t t o t h e s t r u c t u r e of t h e CGRP, whi c h f o r c e s a d e v e l o p e r t o i n t e g r a t e t h e r e s u l t s o f t h e S t a g e II EIA i n t o c o n s t r u c t i o n and o p e r a t i n g p l a n s . T h i s i s a c c o m p l i s h e d i n two ways: by a t t a c h i n g c o n d i t i o n s t o t h e S t a g e II a p p r o v a l , t o w h i c h t h e c o m p a n i e s r e s p o n d i n w r i t i n g ; and by 1 1 7 i n v o l v i n g key m i n i s t r i e s i n t h e r e v i e w p r o c e s s so t h a t c o n c e r n s w h i c h a r e o u t s t a n d i n g a f t e r S t a g e II a r e not f o r g o t t e n but i n c o r p o r a t e d i n t o t h e terms and c o n d i t i o n s o f t h e S t a g e I I I p e r m i t s and a p p r o v a l s . In c o m p a r i s o n t o EARP, t h e CGRP i s a more i n t e r a c t i v e a p p r o a c h t o p l a n n i n g and r e v i e w . As n o t e d i n C h a p t e r 2, t h e CGRP i n v o l v e s s e v e r a l key d e v e l o p m e n t , e n v i r o n m e n t and s o c i a l s e r v i c e s r e l a t e d m i n i s t r i e s i n t h e r e v i e w o f t h e p r o p o n e n t ' s p r o p o s a l d u r i n g S t a g e s I and. I I . The p r o p o n e n t has t h e o p p o r t u n i t y t o i n c o r p o r a t e t h e r e s p o n s e s of t h o s e m i n i s t r i e s i n t o t h e e v o l v i n g mine p l a n . In a d d i t i o n , t h e m i n i s t r i e s , when r e v i e w i n g t h e S t a g e I I E I S , c a n recommend a p p r o v a l - i n - p r i n c i p l e s u b j e c t t o c e r t a i n c o n d i t i o n s b e i n g met by t h e p r o p o n e n t . As a r e s u l t , t h e p r o p o s a l may p r o c e e d t o S t a g e I I I i n s t e a d o f b e i n g h e l d back a t S t a g e II w h i l e r e v i s i o n s a r e made t o an o t h e r w i s e a c c e p t a b l e S t a g e I I r e p o r t . A l t h o u g h t h e government a l l o w e d D e n i s o n and Teck t o o v e r l a p S t a g e s I I and I I I , n e i t h e r was e x c u s e d c o m p l e t e l y from m e e t i n g S t a g e II r e q u i r e m e n t s . When D e n i s o n and T e c k d i d r e c e i v e t h e i r r e s p e c t i v e S t a g e I I a p p r o v a l s , e a c h was g r a n t e d on a c o n d i t i o n a l b a s i s . E a c h company r e c e i v e d a l i s t o f o u t s t a n d i n g c o n c e r n s , t o w h i c h e a c h r e s p o n d e d by a g r e e i n g i n w r i t i n g t o d e a l w i t h t h o s e c o n c e r n s a t t h e a p p r o p r i a t e p o i n t s i n S t a g e I I I (Hermann, 1982; L i p k e w i c h , 1982). Whether t h e s e l e t t e r s l e g a l l y b i n d t h e companies t o f o l l o w t h r o u g h on t h e i r p r o m i s e s i s u n c e r t a i n ; however, i t i s c l e a r t h a t t h e c o m p a n i e s a r e aware, a t s e n i o r l e v e l s , of t h e need t o i n c o r p o r a t e t h e c o n c e r n s i n t o s u b s e q u e n t c o n s t r u c t i o n and o p e r a t i n g p l a n s . And t h e government e x p e c t s 118 them t o do s o : "Your company [ T e c k ] i s now e x p e c t e d t o t a k e t h e i n i t i a t i v e i n a p p r o a c h i n g government a g e n c i e s d i r e c t l y on a one-t o - o n e b a s i s t o d i s c u s s , e v a l u a t e and u l t i m a t e l y r e s o l v e o u t s t a n d i n g c o n c e r n s d u r i n g S t a g e I I I " (McDonald, 1982). The m i n i s t r i e s w h i c h a r e i n v o l v e d i n n e g o t i a t i o n of p e r m i t s and a p p r o v a l s i n S t a g e I I I were a l s o p a r t o f t h e S t a g e II r e v i e w . T h e r e f o r e , t h e s e m i n i s t r i e s a r e aware o f t h e r e m a i n i n g S t a g e I I c o n c e r n s and c o u l d i n c o r p o r a t e some of t h e s e c o n c e r n s i n t o t h e t e r m s and c o n d i t i o n s of t h e r e g u l a t o r y a p p r o v a l s . One p r o b l e m i s t h a t not a l l c o n c e r n e d m i n i s t r i e s a r e i n v o l v e d i n S t a g e I I I , as some do not have r o l e s i n p o s t - a p p r o v a l p r o j e c t r e g u l a t i o n . F o r t h e s e a g e n c i e s , S t a g e II r e v i e w s a r e t h e o n l y o p p o r t u n i t y t h e y have t o a t t e m p t t o e n s u r e t h a t t h e p r o p o s a l meets t h e i r s t a n d a r d s . One example i s t h e s o c i a l s e r v i c e s r e l a t e d m i n i s t r i e s , w h i c h do not have r e g u l a t o r y powers e q u i v a l e n t t o t h o s e under t h e Waste Management A c t or t h e C o a l M i n e s R e g u l a t i o n A c t . Nor i s t h e r e any g u a r a n t e e t h a t S t a g e II c o n c e r n s w i l l n e c e s s a r i l y be r e f l e c t e d i n t h e t e r m s o f S t a g e I I I a p p r o v a l s , e s p e c i a l l y when t h e c o n c e r n s a r e t h o s e o f a m i n i s t r y not d i r e c t l y i n v o l v e d i n r e g u l a t o r y a p p r o v a l s i n S t a g e I I I . However, t h e s e two mechanisms do a p p e a r t o have t h e e f f e c t of f o r c i n g t h e c ompanies t o i n t e g r a t e t h e C o a l G u i d e l i n e s , and t h e c o n s e q u e n t amount o f e n v i r o n m e n t a l p l a n n i n g t h a t t h e G u i d e l i n e s r e q u i r e , i n t o t h e i r p r o j e c t p l a n n i n g p r o c e s s e s . The commitment o f t h e two c o m p a n i e s t o t h i s c o n s i d e r a t i o n of e n v i r o n m e n t a l f a c t o r s i s not c l e a r . As d i s c u s s e d i n 4.2.2, T e c k ' s s e n i o r management s t i l l d i s p l a y e d some r e l u c t a n c e t o a c c e p t t h e need f o r EIA i n p r o j e c t p l a n n i n g . And D e n i s o n ' s 1 19 a p p r o a c h t o S t a g e II -- s u b m i t t i n g an a d m i t t e d l y d e f i c i e n t E I S and u p g r a d i n g i t as t h e r e v i e w e r s r e q u i r e d -- s u g g e s t s t h a t D e n i s o n d i d not i n t e n d t o do any more work on S t a g e I I t h a n a b s o l u t e l y n e c e s s a r y . W h i l e t h i s o n l y r e p r e s e n t s one o u t s i d e o b s e r v e r ' s i m p r e s s i o n , i t does not a p p e a r t h a t D e n i s o n and Teck have d e v e l o p e d as s o p h i s t i c a t e d an a p p r o a c h t o d e a l i n g i n a d v a n c e w i t h e n v i r o n m e n t a l m a t t e r s as have t h e o i l companies i n v o l v e d i n t h e B e a u f o r t d e v e l o p m e n t . But i t s h o u l d be e m p h a s i z e d t h a t b o t h c o m p a n i e s ' e n v i r o n m e n t a l c o o r d i n a t o r s f e e l t h a t g o i n g t h r o u g h an EIA p r o c e s s i s of n e t b e n e f i t t o t h e companies and t o t h e q u a l i t y of t h e i r p r o j e c t p l a n n i n g ( S w i t z e r , 1982; R o b e r t s o n , 1982). As w e l l , t h i s i s o n l y one c a s e s t u d y of t h e two c o m p a n i e s . I t may be t h a t t h i s p e r c e p t i o n of t h e c o m p a n i e s ' a t t i t u d e s and a p p r o a c h e s t o w a r d EIA r e f l e c t s t h e P r o v i n c e ' s c u r r e n t e m p h a s i s on e x p e d i t i o u s r e s o u r c e d e v e l o p m e n t more t h a n t h e c o m p a n i e s ' n o r m a l p l a n n i n g p r a c t i c e s . The onus i s on t h e government t o d e m o n s t r a t e t o t h e co m p a n i e s t h a t i t c o n s i d e r s EIA and o t h e r a s p e c t s of e n v i r o n m e n t a l p l a n n i n g t o be an i n t e g r a l and i m p o r t a n t p a r t o f o v e r a l l p r o j e c t p l a n n i n g . I f t h e government d o e s not g i v e i n d u s t r y t h i s message, one c a n n o t e x p e c t c ompanies t o a t t e m p t t o s u r p a s s minimum government p l a n n i n g s t a n d a r d s i n t h e i r c o n s i d e r a t i o n of e n v i r o n m e n t a l i m p a c t s . 120 4.4.5 - CGRP: P r o b l e m A r e a s And P o s s i b l e Improvements 4.4.5.1 The "One-Shot" A p p r o a c h To EIA D e n i s o n ' s e n v i r o n m e n t a l c o o r d i n a t o r s u g g e s t e d t h a t t h e c u r r e n t s t r u c t u r e of t h e CGRP p l a c e d t o o much emphasis on t h e f r o n t - e n d r e v i e w p h a s e s and t o o l i t t l e on t h e s u b s e q u e n t m o n i t o r i n g of t h e c o n s t r u c t i o n and o p e r a t i o n p h a s e s ( S w i t z e r , 1982). An example o f t h i s was t h e t e n d e n c y of t h e r e v i e w p r o c e s s t o c o n c e n t r a t e more upon t h e p o t e n t i a l e f f e c t s o f t h e p r o p o s a l t h a n on t h e c o m p a n i e s ' p l a n s f o r d e a l i n g w i t h t h o s e e f f e c t s ( R o b e r t s o n , 1982). B o t h r e s p o n d e n t s f e l t t h a t t h i s was i n a p p r o p r i a t e , as t h e q u a l i t y o f t h e m i t i g a t i o n p l a n s i s an i m p o r t a n t d e t e r m i n a n t of t h e mines' e n v i r o n m e n t a l i m p a c t s . I t was s u g g e s t e d t h a t t h e government s h o u l d r e d u c e t h e emphasis on t h e EIA p o r t i o n o f t h e CGRP, w h i l e p l a c i n g more w e i g h t on p o s t - a p p r o v a l m o n i t o r i n g ( S w i t z e r , 1982). The government s h o u l d i n c r e a s e t h e s t r e n g t h of t h e r e g u l a t i o n s f o r example, by i n c r e a s i n g p e n a l t i e s f o r n o n - c o m p l i a n c e — as i t i n c r e a s e s i t s e n f o r c e m e n t e f f o r t s , s o t h a t t h e y would i n c r e a s e t h e l e v e l o f c o m p l i a n c e w i t h t h e r e g u l a t i o n s ( S w i t z e r , 1982). W h i l e i t may seem u n u s u a l f o r a company t o s u g g e s t t h a t i t s h o u l d be r e g u l a t e d more s t r i c t l y , p u t t i n g more r e s o u r c e s i n t o S t a g e I I I c o u l d a c t u a l l y b e n e f i t t h e c o m p a n i e s . B o t h r e s p o n d e n t s i n d i c a t e d t h a t t h e g r e a t e s t p o t e n t i a l f o r p r o j e c t d e l a y s o c c u r s i n S t a g e I I I . T h e r e f o r e , e x p e d i t i n g t h e n e g o t i a t i o n o f r e g u l a t o r y a p p r o v a l s c o u l d more t h a n compensate f o r any i n c r e a s e d c o s t s of c o m p l i a n c e w i t h t h o s e r e g u l a t o r y a p p r o v a l s . Would r e d u c i n g t h e emphasis on f r o n t - e n d r e v i e w a l s o be 121 b e n e f i c i a l f r o m a p u b l i c or a government p e r s p e c t i v e ? Where t h e government has d e c i d e d i n a d v a n c e t h a t a p r o j e c t s h o u l d p r o c e e d , as t h e P r o v i n c e has done w i t h t h e N o r t h e a s t C o a l D e v e l o p m e n t , t h e r e i s no need t o r e l y on EIA t o a s s e s s t h e need f o r a p r o j e c t . The EIA i s s t i l l n e c e s s a r y t o d e t e r m i n e i n advance t h e r e q u i r e d m i t i g a t i o n and c o m p e n s a t i o n p l a n s t o d e a l w i t h t h e p r o j e c t ' s i m p a c t s . However, one must q u e s t i o n whether i t would a c t u a l l y be p o s s i b l e t o r e d u c e t h e emphasis on S t a g e II any f u r t h e r t h a n t h e P r o v i n c e d i d i n t h e N o r t h e a s t , w h i l e s t i l l m a i n t a i n i n g a u s e f u l p r e - a p p r o v a l r e v i e w . The r e s p o n d e n t s ' s u g g e s t i o n t o r e d u c e t h e emphasis on t h e f r o n t end o f t h e G u i d e l i n e s may be'a good i d e a when a more t y p i c a l a p p l i c a t i o n of t h e C o a l G u i d e l i n e s i s u s e d as an example; but i t i s d i f f i c u l t t o make s u c h a recommendation b a s e d on t h e e x p e r i e n c e s of D e n i s o n and Teck w i t h - t h e CGRP i n t h e N o r t h e a s t C o a l D e v e l o p m e n t . 4.4.5.2 ^ I n e x p e r i e n c e d Government R e v i e w e r s The r e s p o n d e n t s i n d i c a t e d t h a t some d i f f i c u l t i e s h ad been e n c o u n t e r e d b e c a u s e some government p e r s o n n e l , p r i m a r i l y i n t h e r e g i o n a l o f f i c e s , d i d not have p r e v i o u s e x p e r i e n c e w i t h r e v i e w s of m i n i n g p r o p o s a l s . T h i s was a t t r i b u t e d i n p a r t t o t h e r a t e o f t u r n o v e r o f r e g i o n a l s t a f f . The r e s u l t was t h a t some government r e v i e w e r s ended up h a v i n g t o comment on s u b j e c t s and r e s o u r c e c o n f l i c t s w i t h w h i c h t h e y may n o t have had p r e v i o u s e x p e r i e n c e . T h i s c r e a t e d some p r o b l e m s f o r t h e p r o p o n e n t s . B e c a u se some r e v i e w e r s had n o t p r e v i o u s l y d e a l t w i t h a mine p r o p o s a l , i t was p e r c e i v e d a s a t h r e a t t o t h e i r s e c t o r a l r e s p o n s i b i l i t y . And, a s 1 22 t h e o n l y t i m e t h e s e r e v i e w e r s d e a l t w i t h i n d u s t r y ( i n c l u d i n g o t h e r t y p e s s u c h as f o r e s t r y ) was when i n d u s t r y was p r e s e n t i n g s u c h t h r e a t , i t was f e l t t h a t t h e r e v i e w e r s had d e v e l o p e d a " b a s i c m i s t r u s t " of i n d u s t r y . The r e v i e w s of t h e p r o p o n e n t s ' S t a g e I I r e p o r t s , i t was s u g g e s t e d , showed t h a t t h e r e v i e w e r s o n l y saw t h e n e g a t i v e s i d e o f i n d u s t r y ' s p r o p o s a l s . A s e c o n d c o n s e q u e n c e was t h a t t h e r e was o c c a s i o n a l l y some c o n f l i c t o r c o n f u s i o n between what t h e r e g i o n a l r e v i e w e r s t o l d t h e c o m p a n i e s and what t h e c o m p a n i e s h e a r d f r o m V i c t o r i a . T h i s meant t h a t t h e " r u l e s of t h e game" changed as t h e c o m p a n i e s r e c e i v e d v a r y i n g s i g n a l s a b o u t t h e g o v e rnment's r e q u i r e m e n t s and e x p e c t a t i o n s . One r e s p o n d e n t n o t e d t h a t i t was o c c a s i o n a l l y n e c e s s a r y t o go d i r e c t l y t o V i c t o r i a , o v e r t h e heads of t h e r e g i o n s -- s o m e t h i n g t h a t was o n l y p o s s i b l e b e c a u s e of t h e s t r o n g s u p p o r t t h e Development has i n V i c t o r i a . A t h i r d p r o b l e m , w h i c h may not be d i r e c t l y a t t r i b u t a b l e t o r e v i e w e r i n e x p e r i e n c e , was t h e t e n d a n c y o f some government r e v i e w e r s t o s t r a y , i n t h e i r r e v i e w s , beyond t h e i r own j u r i s d i c t i o n i n t o t h o s e o f o t h e r m i n i s t r i e s . The r e v i e w comments from t h e M i n i s t r y of L a n d s , P a r k s and H o u s i n g f o r b o t h t h e Q u i n t e t t e and t h e B u l l m o o s e p r o j e c t s a r e one example. The v a s t m a j o r i t y o f t h e i r " d e t a i l e d r e v i e w comments" a p p e a r t o be o u t s i d e t h e i r mandate. As t h e i n t r o d u c t i o n t o t h e L a n d s , P a r k s and H o u s i n g comments on t e c h n i c a l and b i o p h y s i c a l a s p e c t s of t h e B u l l m o o s e p r o p o s a l s t a t e s , "Many c o n c e r n s were i d e n t i f i e d , most n o t a b l y w i t h r e s p e c t t o water management, waste dumps, r e c l a m a t i o n , p l a n t d e s i g n and waste d i s p o s a l . Most of t h e s e c o n c e r n s f a l l i n t o t h e j u r i s d i c t i o n s of o t h e r a g e n c i e s , and 1 23 s h o u l d be d i s c u s s e d w i t h t h o s e a g e n c i e s as a p p r o p r i a t e " (BC C o a l G u i d e l i n e s S t e e r i n g Committee, 1982). I t seem r e a s o n a b l e t o e x p e c t t h a t t h e r e v i e w i n g a g e n c i e s and m i n i s t r i e s s h o u l d c o n f i n e t h e i r comments t o t h e i r j u r i s d i c t i o n s . T h i s would make i t e a s i e r f o r i n d u s t r y t o i d e n t i f y t h e m i n i s t r i e s r e s p o n s i b l e f o r c e r t a i n m a t t e r s and would a l s o r e d u c e t h e c o n f l i c t i n g f e e d b a c k t h a t t h e c o m p a n i e s e n c o u n t e r i n t h e r e v i e w s . I t was s u g g e s t e d t h a t a p o s s i b l e improvement t o t h e c u r r e n t s t r u c t u r e of t h e CGRP wou l d be t o s e t up a c o r e g r o u p o f government p e r s o n n e l t o a c t as r e v i e w e r s f o r c o a l d e v e l o p m e n t s ( R o b e r t s o n , 1982). T h i s w o u l d h e l p t o p r o v i d e c o n t i n u i t y and c o n s i s t e n c y i n t h e r e v i e w s , and c o u l d h e l p t o o f f s e t t h e l o s s of e x p e r t i s e and t h e c o n s e q u e n t t a s k of " r e - e d u c a t i n g " new r e v i e w e r s f o r e a c h p r o p o s e d p r o j e c t . I t was s u g g e s t e d t h a t t h i s g r o u p c o u l d c o n s i s t p r i m a r i l y of p e r s o n n e l from V i c t o r i a , w i t h some r e g i o n a l r e p r e s e n t a t i o n as w e l l . T h i s c o u l d be c o n s i d e r e d as one way of d e a l i n g w i t h t h e numerous mine p r o p o s a l s w h i c h w i l l come ou t of t h e N o r t h e a s t C o a l D e v e l o p m e n t . I t a p p e a r s t h a t up t o 10 or 12 s e p a r a t e p r o j e c t s c o u l d go a h e a d i n t h e r e g i o n i n t h e n e x t 10 o r 20 y e a r s , i f a p p r o p r i a t e e c o n o m i c c o n d i t i o n s p r e v a i l . To have t h e same p e o p l e i n v o l v e d i n r e v i e w s o f s i m i l a r p r o j e c t s i n t h e same a r e a seems a p p r o p r i a t e . Of c o u r s e , t h e r e i s g o i n g t o be a c e r t a i n t u r n o v e r o f s t a f f o v e r t h a t p e r i o d , so even t h i s s u g g e s t i o n would not d e a l w i t h t h e l o s s o f e x p e r i e n c e d government r e v i e w e r s . The p r o b l e m o f t u r n o v e r o f government r e v i e w e r s a p p e a r s t o be s o m e t h i n g t h e i n d u s t r y must l i v e w i t h --p e o p l e w i l l a l w a y s be m oving t o d i f f e r e n t j o b s . I t s h o u l d a l s o 124 be n o t e d t h a t t h e government r e v i e w e r s i n v o l v e d i n t h e N o r t h e a s t C o a l Development have now g a i n e d some e x p e r i e n c e w i t h mine r e v i e w s , a l b e i t a t D e n i s o n and T e c k ' s e x p e n s e . Reviews o f s u b s e q u e n t p r o p o s a l s may b e n e f i t as a r e s u l t . S i m i l a r l y , i t seems l i k e l y t h a t many e n v i r o n m e n t a l r e s o u r c e management a g e n c i e s w i l l c o n t i n u e t o p e r c e i v e r e s o u r c e d e v e l o p m e n t i n i t i a t i v e s as t h r e a t s t o t h e i r j u r i s d i c t i o n s . T h e i r mandate i s t o manage t h e i r own s e c t o r , or r e s o u r c e ; and t h a t u s u a l l y seems t o be i n t e r p r e t t e d a s p r o t e c t i n g t h a t r e s o u r c e from any o u t s i d e t h r e a t s . I t i s up t o t h e p o l i t i c i a n s i n V i c t o r i a t o p l a c e t h e c o m p e t i n g r e s o u r c e u s e s i n t h e i r p o l i t i c a l and e conomic c o n t e x t and t o make t h e a p p r o p r i a t e t r a d e - o f f s . Then t h e g o v e r nment's p o l i c i e s and p r i o r i t i e s must be communicated t o t h e r e g i o n a l o f f i c e s w h i c h , t o a l a r g e e x t e n t , a r e r e s p o n s i b l e f o r i m p l e m e n t i n g government p o l i c y on a d a y - t o -day b a s i s . One means of c o m m u n i c a t i n g t h e s e p o l i c i e s would be a r e g i o n a l l a n d use p l a n n i n g p r o c e s s w h i c h w o u l d a p p l y t h e P r o v i n c e ' s p o l i c i e s t o t h e r e s o u r c e u s e s i n t h e Peace R i v e r r e g i o n . The l a n d use p l a n s w h i c h would be g e n e r a t e d by s u c h a p r o c e s s (and w h i c h w o u l d be u p d a t e d as p o l i c i e s and c o n d i t i o n s c hanged) w o u l d p r o v i d e r e g i o n a l o f f i c e p e r s o n n e l w i t h an a p p l i e d p o l i c y framework w i t h i n w h i c h r e s o u r c e d e v e l o p m e n t p r o p o s a l s c o u l d be r e v i e w e d . I n d u s t r y would a l s o s t a n d t o b e n e f i t , as s u c h p l a n s w o u l d r e d u c e much of t h e u n c e r t a i n t y a b o u t government r e s o u r c e d e v e l o p m e n t p o l i c i e s and w o u l d a l l o w them t o c h a n n e l i n v e s t m e n t i n t o a r e a s where l e s s government and p u b l i c r e s i s t a n c e would be e x p e c t e d . Of c o u r s e , one o b s t a c l e t o t h e 125 d e v e l o p m e n t o f s u c h a p r o c e s s i s t h a t i t would r e q u i r e t h a t t h e government e x p l i c i t l y s t a t e i t s p o l i c i e s and p r i o r i t i e s f o r t h e v a r i o u s r e s o u r c e s and r e s o u r c e u s e s -- s o m e t h i n g w h i c h c o u l d p r o v e d i f f i c u l t . D e p e n d i n g on t h e e x t e n t o f p u b l i c and r e g i o n a l i n v o l v e m e n t i n s u c h a p r o c e s s , i t c o u l d a l s o mean t h a t some of th e p o l i c y - m a k i n g power would be d e c e n t r a l i z e d . I t i s u n c e r t a i n w hether V i c t o r i a would c o n s i d e r t h i s a d e s i r a b l e t r e n d . 4.4.6 2 Summary The B u l l m o o s e and Q u i n t e t t e c o a l p r o j e c t s a r e p r o g r e s s i n g t h r o u g h t h e CGRP w i t h s t r o n g s u p p o r t from t h e p r o v i n c i a l g o vernment. T h i s s u p p o r t has r e d u c e d t h e p o t e n t i a l f o r d e l a y s t h a t t h e r e v i e w p r o c e s s p r e s e n t e d t o D e n i s o n and T e c k , f o r example, by a l l o w i n g b o t h p r o p o n e n t s t o o v e r l a p S t a g e s I I and I I I . In c o m p a r i s o n t o t h e B e a u f o r t EARP, D e n i s o n and Teck e n c o u n t e r e d r e l a t i v e l y few p r o b l e m s w i t h t h e CGRP i n t h e n o r t h e a s t . A s t u d y by Cameron (1980) i n d i c a t e d t h a t o t h e r d e v e l o p e r s e n c o u n t e r e d few p r o b l e m s — i n c l u d i n g d e l a y s -- i n g o i n g t h r o u g h t h e CGRP. The same s t u d y c o n c l u d e d t h a t , from an i n t e r n a t i o n a l p e r s p e c t i v e , t h e w e s t e r n C a n a d i a n c o a l i n d u s t r y was n o t e x c e s s i v e l y r e g u l a t e d : "The r e q u i r e m e n t s of t h e e n v i r o n m e n t a l r e g u l a t i o n s e n a c t e d w i t h i n r e c e n t y e a r s i n W e s t e r n Canada a r e new c o n s t r a i n t s on t h e c o a l i n d u s t r y and a p p e a r v e r y s t r i n g e n t , b u t i n t h e i n t e r n a t i o n a l p e r s p e c t i v e t h e y a r e not i n o r d i n a t e l y demanding. By c o m p a r i s o n w i t h t h e s i t u a t i o n i n major c o a l p r o d u c i n g n a t i o n s , t h e i n d u s t r y i n W e s t e r n Canada i s not o v e r - r e g u l a t e d " (Cameron, 1980:166-167). F o r D e n i s o n and T e c k , p o t e n t i a l p r o b l e m s t h e y m i g h t have 126 e n c o u n t e r e d were f u r t h e r l e s s e n e d by t h e go v e r n m e n t ' s w i l l i n g n e s s t o a d a p t t h e r e v i e w p r o c e s s t o meet t h e needs of t h e c o m p a n i e s ' p r o j e c t s c h e d u l i n g . I t i s not p o s s i b l e t o a s s e s s i n a d v a n c e t h e c o s t s or b e n e f i t s ( i n c l u d i n g s o c i o - e c o n o m i c and e n v i r o n m e n t a l c o n s e q u e n c e s ) of t h e g o v e r n m e n t ' s d e c i s i o n s . An i m p o r t a n t c o n c e r n i n t h i s a p p l i c a t i o n of t h e C o a l G u i d e l i n e s i s t h e low l e v e l of p u b l i c i n v o l v e m e n t i n t h e EIA s t a g e s . I n c r e a s i n g p u b l i c p a r t i c i p a t i o n would make t h e C o a l G u i d e l i n e s a more c r e d i b l e , and p o s s i b l y more e f f e c t i v e , i mpact a s s e s s m e n t and management p r o c e s s . But from i n d u s t r y ' s p e r s p e c t i v e , i t c o u l d a l s o make i t a l e n g t h i e r and more c o s t l y p r o c e s s . 127 4 . 5 2. C h a p t e r Summary Two i m p o r t a n t f a c t o r s w h i c h i n f l u e n c e i n d u s t r y ' s a t t i t u d e s t o w a r d EIA a r e t h e p o t e n t i a l d e l a y s EIA imposes on p r o j e c t p l a n n i n g and o v e r a l l c o m p l e t i o n t i m e , and t h e a d d i t i o n a l c o s t s o f c o m p l i a n c e w i t h EIA r e q u i r e m e n t s . D e l a y s c a n o c c u r i f p r o j e c t a p p r o v a l i s h e l d back u n t i l s t u d i e s a r e s u b m i t t e d , r e p o r t s a r e r e v i e w e d , or h e a r i n g s a r e h e l d ; a d d i t i o n a l c o s t s a r e i n c u r r e d i n c o n d u c t i n g s t u d i e s , i n p r e p a r i n g r e p o r t s , and e s p e c i a l l y i n w a i t i n g f o r p r o j e c t a p p r o v a l . On t h e o t h e r hand, i n f o r m a t i o n o b t a i n e d f o r t h i s s t u d y i n d i c a t e s t h a t t h e e x p e c t e d p r o j e c t c o m p l e t i o n t i m e f o r b o t h t h e N o r t h e a s t C o a l and t h e B e a u f o r t Sea H y d r o c a r b o n d e v e l o p m e n t s has not i n c r e a s e d as a r e s u l t of t h e e x i s t i n g EIA r e q u i r e m e n t s f o r t h e p r o j e c t s — f o r d i f f e r e n t r e a s o n s i n e a c h c a s e . The s t r o n g p o l i t i c a l s u p p o r t f o r t h e N o r t h e a s t C o a l Development has a l l o w e d D e n i s o n and Teck t o b e g i n c o n s t r u c t i o n work on t h e i r p r o j e c t s b e f o r e t h e i r E I A ' s were c o m p l e t e d and a p p r o v e d . P r o j e c t d e l a y s have o c c u r r e d i n t h e B e a u f o r t , but t h e y a r e n o t a t t r i b u t a b l e t o t h e B e a u f o r t Sea EARP. A l t h o u g h t h e r e v i e w i s now i n i t s f o u r t h y e a r , p r o j e c t i m p l e m e n t a t i o n i s n o t even a r e a l i s s u e b e c a u s e c o m m e r c i a l volumes of o i l r e s e r v e s have not y e t been c o n f i r m e d . W h i l e t h e EIA p r o c e s s e s d i d n o t d e l a y ( o r , i n t h e c a s e of t h e B e a u f o r t , have n o t t o d a t e d e l a y e d ) t a r g e t d a t e s f o r p r o j e c t c o m p l e t i o n , t h e y d i d i n c r e a s e p r o j e c t p l a n n i n g c o s t s . D e n i s o n s p e n t o v e r $3 m i l l i o n on i t s e n v i r o n m e n t a l s t u d i e s , out of a t o t a l o f a b o u t $30 m i l l i o n f o r a l l f e a s i b i l i t y s t u d i e s . Teck e s t i m a t e d t h e c o s t o f p r o d u c i n g i t s S t a g e I I r e p o r t a t $1 m i l l i o n . In b o t h c a s e s i t was n o t e d t h a t t h e s e f i g u r e s would 1 28 have been even g r e a t e r i n t h e a b s e n c e o f s u c h s t r o n g p o l i t i c a l s u p p o r t . C o s t s were much h i g h e r i n t h e B e a u f o r t . The c o s t of p r o d u c i n g t h e EIS was e s t i m a t e d t o be $14 m i l l i o n ; i n f o r m a t i o n f o r t h e EIS was drawn from e n v i r o n m e n t a l s t u d i e s c o s t i n g o v e r $750 m i l l i o n . C l e a r l y , t h e s e c o m p a n i e s a r e s p e n d i n g s u b s t a n t i a l sums on e n v i r o n m e n t a l p l a n n i n g s t u d i e s . However, two i m p o r t a n t p o i n t s must be made. F i r s t , n o t a l l t h e c o s t s can be a t t r i b u t e d s o l e l y t o t h e EIA p r o c e s s e s , a s many of t h e e n v i r o n m e n t a l s t u d i e s would have been c o n d u c t e d even i n t h e a b s e n c e of t h e EIA r e q u i r e m e n t s . S e c o n d , th e a c t u a l e x p e n d i t u r e s on EIA -- even on a l l e n v i r o n m e n t a l s t u d i e s , E I A - r e l a t e d or not -- a r e a v e r y s m a l l p r o p o r t i o n of o v e r a l l p r o j e c t c o s t s . W h i l e t h e n e g a t i v e e f f e c t s on i n d u s t r y of t h e s e two EIA p r o c e s s e s a r e s i m i l a r , t h e p r o p o n e n t s had d i f f e r e n t o p i n i o n s a b o u t t h e u t i l i t y o f t h e p r o c e s s e s as means of i m p r o v i n g d e v e l o p m e n t p l a n n i n g and d e s i g n . The c ompanies i n t h e B e a u f o r t f e l t t h a t p a r t i c i p a t i n g i n t h e B e a u f o r t EARP had n o t c o n t r i b u t e d s u b s t a n t i a l l y t o t h e q u a l i t y of t h e i r p l a n n i n g f o r t h e d e v e l o p m e n t . T h i s was, i t was c l a i m e d , b e c a u s e t h e c o m p a n i e s ' s t a n d a r d p l a n n i n g p r a c t i c e s c o v e r e d t h e same g r o u n d as d i d EARP, and w o u l d have been c a r r i e d out e v e n i n EARP's a b s e n c e . In c o n t r a s t , t h e c ompanies i n t h e N o r t h e a s t C o a l D e velopment were a b l e t o p r o v i d e examples where t h e i n f o r m a t i o n t h e y o b t a i n e d from t h e i r S t a g e I I s t u d i e s had l e d t o c h a n g e s i n p r o j e c t d e s i g n . T h e s e d i f f e r i n g b e n e f i t s a p p e a r t o be a r e s u l t o f t h e d i f f e r i n g r o l e s of t h e two EIA p r o c e s s e s . EARP i s a p u b l i c r e v i e w o f t h e s o c i a l and e n v i r o n m e n t a l i m p l i c a t i o n s of t h e 1 29 p r o p o n e n t s ' b r o a d d e v e l o p m e n t c o n c e p t s f o r t h e n o r t h . As s u c h , i t d oes not d e a l d i r e c t l y w i t h i s s u e s r e l a t e d t o d e t a i l e d p r o j e c t p l a n n i n g . In c o n t r a s t , t h e C o a l G u i d e l i n e s a r e o r i e n t e d p r i m a r i l y t o w a r d d e t a i l e d p l a n n i n g and d e s i g n i s s u e s , w h i l e b o t h t h e p r o p o n e n t s and t h e government a p p e a r c o n t e n t t o keep p u b l i c i n v o l v e m e n t t o a minimum. T h e s e d i f f e r i n g r o l e s of t h e two p r o c e s s e s seem t o be c l o s e l y c o r r e l a t e d t o t h e t y p e s o f b e n e f i t s t h e p r o p o n e n t s r e a l i z e f r o m e a c h . A l l f i v e c o m p a n i e s i n v o l v e d i n t h i s s t u d y a p p e a r t o a t t e m p t t o i n t e g r a t e e n v i r o n m e n t a l c o n c e r n s i n t o t h e i r p r o j e c t p l a n n i n g p r o c e s s e s . T h i s i n t e g r a t i o n has e v o l v e d o v e r t h e l a s t two d e c a d e s i n g e n e r a l ; as t h e o i l i n d u s t r y has been s u b j e c t e d t o more i n t e n s i v e p u b l i c s c r u t i n y of t h e i r o p e r a t i o n s , t h e i r e f f o r t s and s t r a t e g i e s f o r d e a l i n g w i t h e n v i r o n m e n t a l i s s u e s a p p e a r t o be more s o p h i s t i c a t e d t h a n t h o s e of t h e two m i n i n g c o m p a n i e s . I t does a p p e a r t h a t t h e l a t t e r two co m p a n i e s a r e moving i n t h a t d i r e c t i o n a s t h e y b u i l d up e x p e r i e n c e w i t h EIA, and as t h e y r e c e i v e more p u b l i c a t t e n t i o n o v e r t h e i r o p e r a t i o n s and p l a n s . Most r e s o u r c e d e v e l o p e r s now a c c e p t t h e need f o r EIA i n p r o j e c t p l a n n i n g and r e v i e w , and r e c o g n i z e t h a t i t can b r i n g b e n e f i t s t o b o t h i n d u s t r y and s o c i e t y . But t h i s i s n o t meant t o i m p l y t h a t t h e s t a t u s quo c a n n o t be i m p r o v e d upon. E s p e c i a l l y i n t h e n o r t h , where t h e many e n v i r o n m e n t a l r e g u l a t i o n s and r e v i e w s o v e r l a p and o f t e n c o n f l i c t , f u l l a p p r e c i a t i o n o f t h e impact of a l l e n v i r o n m e n t a l r e g u l a t i o n s c a n n o t be o b t a i n e d when o n l y one component -- EIA i s ex a m i n e d . W h i l e e n v i r o n m e n t a l r e g u l a t i o n s may r e d u c e t h e s o c i a l c o s t s 130 o f r e s o u r c e d e v e l o p m e n t , t h e s e r e g u l a t i o n s t h e m s e l v e s impose c o s t s on b o t h t h e p r i v a t e and p u b l i c s e c t o r s — c o s t s w h i c h a r e e v e n t u a l l y p a s s e d on t o consumers and t a x p a y e r s . B e t t e r r e g u l a t o r y c o o r d i n a t i o n and more e x p l i c i t s t a t e m e n t s o f p u b l i c p o l i c i e s and p r i o r i t i e s f o r r e s o u r c e d e v e l o p m e n t and e n v i r o n m e n t a l p r o t e c t i o n w i l l l e a d t o more e f f e c t i v e and e f f i c i e n t p u b l i c and p r i v a t e s e c t o r p l a n n i n g and d e c i s i o n - m a k i n g (Rees, 1981a). T h e s e c h a n g e s c o u l d c o n t r i b u t e t o r e s o u r c e d e v e l o p m e n t p r a c t i c e s w h i c h f a c i l i t a t e e c onomic g r o w t h and d e v e l o p m e n t w h i l e m a i n t a i n i n g a c c e p t a b l e s t a n d a r d s of e n v i r o n m e n t a l q u a l i t y . 1 3 1 CHAPTER 5 2 OVERVIEW AND IMPROVEMENTS 5.1 2 E f f e c t s of EIA on P r i v a t e - S e c t o r P r o j e c t P l a n n i n g A major c o n c l u s i o n o f t h i s s t u d y i s t h a t t h e e f f e c t s of E I A on p r o j e c t p l a n n i n g by t h e c o m p a n i e s i n v o l v e d i n t h e B e a u f o r t Sea and N o r t h e a s t C o a l p r o j e c t s a r e l i m i t e d . T h i s i n c l u d e s e f f e c t s on t h e q u a l i t y of p r o j e c t d e s i g n , as w e l l as on t h e d u r a t i o n and e x p e n s e of t h e p l a n n i n g and d e s i g n p r o c e s s . EARP and t h e CGRP do n o t a p p e a r t o have had a s u b s t a n t i a l e f f e c t on t h e t e c h n i c a l a s p e c t s of e n v i r o n m e n t a l p l a n n i n g c a r r i e d out by t h e s e c o m p a n i e s . Two c o n t r i b u t i n g f a c t o r s a r e i n v o l v e d . F i r s t , t h e r e g u l a t o r y e n v i r o n m e n t s i n w h i c h t h e s e p r o j e c t s a r e b e i n g p l a n n e d have numerous a c t s and r e g u l a t i o n s r e l a t e d t o e n v i r o n m e n t a l p r o t e c t i o n . As a r e s u l t , even w i t h o u t t h e s p e c i f i c r e q u i r e m e n t s o f t h e s e EIA p r o c e s s e s , much of t h e e n v i r o n m e n t a l p l a n n i n g work done f o r t h e s e d e v e l o p m e n t s would s t i l l have been n e c e s s a r y t o meet r e g u l a t o r y r e q u i r e m e n t s . Second, f o r b o t h p r o j e c t s , sound e n v i r o n m e n t a l p l a n n i n g makes f i n a n c i a l s e n s e f o r t h e c o m p a n i e s . In t h e B e a u f o r t , t h e c o m p a n i e s f a c e h a r s h o p e r a t i n g c o n d i t i o n s . H i g h s t a n d a r d s f o r p l a n n i n g and d e s i g n a r e n e c e s s a r y t o e n s u r e t h a t equipment f u n c t i o n s p r o p e r l y , a v o i d i n g e x p e n s i v e shut-downs and r e p a i r s . In t h e N o r t h e a s t , u s i n g h i g h d e s i g n s t a n d a r d s w i l l r e d u c e t h e c o s t of e n v i r o n m e n t a l p r o t e c t i o n measures r e q u i r e d d u r i n g t h e c o n s t r u c t i o n and p r o d u c t i o n p h a s e s . In b o t h c a s e s , t h e f i v e c o m p a n i e s a r e i n c r e a s i n g t h e i r f r o n t - e n d c a p i t a l c o s t s t o g a i n l o n g - r u n r e d u c t i o n s i n o p e r a t i n g and m a i n t e n a n c e c o s t s . W h i l e t h e two EIA p r o c e s s e s may not c o n t r i b u t e 132 s u b s t a n t i a l l y t o i n d u s t r y ' s p l a n n i n g e f f o r t s , one s h o u l d n ot draw from t h i s o b s e r v a t i o n t h e c o n c l u s i o n t h a t f o r m a l EIA p r o c e s s e s a r e n o t n e c e s s a r y . E I A ' s i n t e n d e d r o l e i s t h a t of an a i d t o p u b l i c r e v i e w of p r o j e c t s , n ot t o p r i v a t e p l a n n i n g of p r o j e c t s . At a r e l a t i v e l y s m a l l c o s t t o t h e com p a n i e s -- i n t h e two c a s e s t u d i e s t h e E I A s c a u s e d no p r o j e c t d e l a y s and r e p r e s e n t e d o n l y a s m a l l f r a c t i o n of t o t a l c o s t s b o r n e by i n d u s t r y -- t h e government and t h e p u b l i c a r e p r o v i d e d w i t h a "window" on i n d u s t r y ' s p r o j e c t p l a n n i n g p r o c e s s . T h i s p r o v i d e s an i m p o r t a n t s o u r c e of i n f o r m a t i o n f o r government d e c i s i o n -makers, and a l l o w s b o t h t h e p u b l i c and t h e government t o i n c r e a s e t h e i r i n f l u e n c e on i n d u s t r y ' s p r o j e c t p l a n n i n g . In t h i s c o n t e x t , t h e r o l e of EIA i n p r o j e c t p l a n n i n g i s homologous t o t h e r o l e of e n v i r o n m e n t a l m o n i t o r i n g by government d u r i n g p r o j e c t c o n s t r u c t i o n and o p e r a t i o n . EIA p r o c e s s e s a l s o p r o v i d e c e r t a i n i n t a n g i b l e b e n e f i t s t o i n d u s t r y , r a n g i n g f r o m i mproved c o r p o r a t e image and community r e l a t i o n s , t o p r o v i d i n g a q u a l i t y -c o n t r o l f u n c t i o n f o r t h e i r p r o j e c t p l a n n i n g and d e s i g n . Government EIA p r o c e s s e s , t h e r e f o r e , a r e n e c e s s a r y components of p r o j e c t p l a n n i n g and r e v i e w . 5.2 - P r o b l e m s In The P r e s e n t S y s t e m A l t h o u g h EIA, a s r e p r e s e n t e d by EARP and t h e CGRP, has had some p o s i t i v e e f f e c t s f o r p r o j e c t r e v i e w by government and, t o a l i m i t e d e x t e n t , p r o j e c t p l a n n i n g by i n d u s t r y , i t has not r e a l i z e d i t s f u l l p o t e n t i a l . T h i s s t u d y has i d e n t i f i e d two p r i n c i p a l c o n s t r a i n t s : o v e r l a p w i t h e x i s t i n g r e g u l a t i o n s ; and what has been termed t h e " o n e - s h o t " a p p r o a c h t o impact 1 33 a s s e s s m e n t . E s p e c i a l l y i n t h e N o r t h , t h e r e e x i s t s an e n v i r o n m e n t a l r e g u l a t o r y regime w h i c h c o v e r s much of t h e same g r o u n d as EIA i s i n t e n d e d t o . T h i s g i v e s r i s e t o c o m p l a i n t s t h a t EIA i s r e d u n d a n t . However, EIA was c r e a t e d a f t e r much of t h e body of e n v i r o n m e n t a l r e g u l a t i o n s was i n p l a c e , and o v e r l a p d o e s e x i s t . I n d e e d , one wonders i f i n d u s t r y m i g h t n o t be c a l l i n g t h e r e g u l a t i o n s r e d u n d a n t i f t h e o r d e r had been r e v e r s e d ; t h a t i s , i f t h e r e g u l a t i o n s had been imposed on t o p of t h e EIA p r o c e s s e s . In any e v e n t , w h i l e EIA and e n v i r o n m e n t a l r e g u l a t i o n s do o v e r l a p , e a c h i s n e c e s s a r y . The s o l u t i o n t o t h e p r o b l e m of o v e r l a p i s not t o s c r a p one o r t h e o t h e r ; but t o i n t e g r a t e t h e r e v i e w and r e g u l a t o r y s t a g e s . One p o s s i b l e a p p r o a c h i s o u t l i n e d i n s e c t i o n 5.3. The s e c o n d major c o n s t r a i n t on e f f e c t i v e n e s s i d e n t i f i e d i n t h i s s t u d y i s t h e s t a t i c n a t u r e of t h e two EIA p r o c e s s e s . The t e n d e n c y of EIA t o f o c u s on " s n a p - s h o t s " of p r o p o s a l s -- i n t h e form of t h e EIS -- i s i n p a r t a c o n s e q u e n c e of t h e need t o p r o v i d e a c o n c r e t e p r o p o s a l f o r government d e c i s i o n - m a k e r s t o c o n s i d e r . U n f o r t u n a t e l y , t h i s o n e - s h o t a p p r o a c h i g n o r e s t h e e v o l u t i o n a r y n a t u r e o f p r o j e c t p l a n n i n g and d e s i g n -- as e x e m p l i f i e d by t h e c h a n g i n g d e v e l o p m e n t c o n c e p t s f o r t h e B e a u f o r t . W i t h EARP, t h i s p r o b l e m i s e x a c e r b a t e d by t h e l i m i t e d c o n t a c t between t h e p r o p o n e n t s , t h e P a n e l , and t h e government a g e n c i e s and d e p a r t m e n t s . The P a n e l r e v i e w p r o c e d u r e s — many o f whi c h were d e v e l o p e d i n r e s p o n s e t o f a i r n e s s c o n c e r n s — have t h e e f f e c t of i s o l a t i n g t h e r e v i e w e r s ( t h e P a n e l ) from much of t h e o n g o i n g p r o j e c t p l a n n i n g , and e s s e n t i a l l y g u a r a n t e e t h a t t h e r e v i e w w i l l f o c u s on t h e E I S , not t h e e v o l v i n g d e v e l o p m e n t 1 34 c o n c e p t s . W h i l e t h e B.C. CGRP shows a s i m i l a r t e n d e n c y t o f o c u s on t h e S t a g e II E I S , an a t t e m p t i s made t o e n c o u r a g e c o n t a c t between t h e d e v e l o p e r s and t h e v a r i o u s government a g e n c i e s t h r o u g h o u t t h e r e v i e w p r o c e s s . The EIS do e s a p p e a r t o be an e s s e n t i a l component of EIA, but i t s r o l e must be complemented by g r e a t e r ( o n g o i n g ) c o m m u n i c a t i o n between t h e government, p r o p o n e n t s and t h e p u b l i c t h r o u g h o u t t h e EIA p r o c e s s . 5.3 2. hH. Improved A r r a n g e m e n t The two EIA p r o c e s s e s a r e l i m i t e d by i n t e r n a l s t r u c t u r a l p r o b l e m s as w e l l as t h e e n v i r o n m e n t i n which t h e y o p e r a t e . A s u g g e s t i o n f o r an i m p r o v e d p r o c e s s — not r a d i c a l l y d i f f e r e n t f r o m many j u r i s d i c t i o n s ' i n s t i t u t i o n a l a r r a n g e m e n t s f o r e n v i r o n m e n t a l management -- i s o u t l i n e d below. T h i s s u g g e s t e d a r r a n g e m e n t p r o v i d e s a g e n e r a l i l l u s t r a t i o n o f how p l a n n i n g , a s s e s s m e n t , r e g u l a t i o n and m o n i t o r i n g c o u l d be i n t e g r a t e d t o p r o v i d e more e f f e c t i v e and e f f i c i e n t e n v i r o n m e n t a l management. T h i s p r o p o s a l i s more e v o l u t i o n a r y t h a n r e v o l u t i o n a r y i n n a t u r e , i n k e e p i n g w i t h t h e t y p i c a l p a t t e r n of change f o r government i n s t i t u t i o n a l a r r a n g e m e n t s . A b a s i c a s s u m p t i o n of t h i s i d e a l i z e d s y s t e m i s t h e e x i s t e n c e of an o n g o i n g l a n d - u s e p l a n n i n g p r o c e s s . T h i s p r o c e s s , w h i c h would i n c l u d e government, p r i v a t e and p u b l i c i n t e r e s t s , i s o f f u n d a m e n t a l i m p o r t a n c e t o e f f e c t i v e i mpact a s s e s s m e n t . The p l a n n i n g p r o c e s s would i n t e g r a t e o r t r a n s l a t e t h e v a r i o u s r e s o u r c e p o l i c i e s and p u b l i c and p r i v a t e i n t e r e s t s i n t o f u n c t i o n a l r e s o u r c e use p l a n s . In t h e o r y , t h e s e p l a n s would p r o v i d e a framework, i n d i c a t i n g s o c i a l p r i o r i t i e s and 135 p r e f e r e n c e s f o r r e s o u r c e u s e , w i t h i n w h i c h impact a s s e s s m e n t s would be c o n d u c t e d . The p l a n s would p r o v i d e g e n e r a l i n d i c a t i o n s of whether or no t a p r o p o s a l f o r r e s o u r c e use was a p p r o p r i a t e or needed i n a c e r t a i n r e g i o n . EIA would be u s e d t o d e t e r m i n e i f t h e p r o p o s a l was i n f a c t i n a c c o r d a n c e w i t h t h e d e s i g n a t e d l a n d or r e s o u r c e u s e s , and what t h e c o n s e q u e n c e s of p r o c e e d i n g ( o r not p r o c e e d i n g ) would be. I t c o u l d be d e s i r a b l e t o s e p a r a t e t h e EIA i n t o two s t a g e s . The f i r s t s t a g e would f o c u s on whether t h e p r o p o s a l s h o u l d p r o c e e d , a l t h o u g h t h i s would be more n a r r o w l y f o c u s s e d t h a n s i m i l a r i n v e s t i g a t i o n s a t p r e s e n t . The p r i n c i p l e p o i n t of r e f e r e n c e f o r t h i s f i r s t - s t a g e EIA would be t h e l a n d -use p l a n s : I s t h e p r o j e c t a c t u a l l y i n k e e p i n g w i t h t h e p l a n s ? I s t h e p r o j e c t j u s t i f i e d i n view o f i t s e f f e c t s ? A r e t h e r e any e x t e n u a t i n g c i r c u m s t a n c e s w h i c h m i g h t j u s t i f y t h e p r o j e c t even t h o u g h i t d i v e r g e s from t h e d e s i g n a t e d l a n d o r r e s o u r c e u s e s i n t h e p l a n ? A t t h i s s t a g e , a d e t a i l e d E I S would n o t be r e q u i r e d , a l t h o u g h t h e p r o p o n e n t would be e x p e c t e d t o p r e s e n t t h e e v i d e n c e needed t o c o n v i n c e t h e r e v i e w e r s ( p e r h a p s a g o v e r n m e n t / p u b l i c g r o u p s i m i l a r t o t h e B e a u f o r t P a n e l ) t h a t t h e p r o p o s a l s h o u l d be a l l o w e d t o p r o c e e d . C o n s e n t o f t h e r e v i e w e r s a t t h i s p o i n t would r e p r e s e n t a p p r o v a l - i n - p r i n c i p l e f o r t h e p r o j e c t , and i t would p r o c e e d t o t h e s e c o n d s t a g e o f t h e EIA p r o c e s s . T h i s s e c o n d s t a g e would f o c u s on t h e ( p r i m a r i l y t e c h n i c a l ) i s s u e s a s s o c i a t e d w i t h i m p l e m e n t a t i o n of t h e p r o j e c t . The f i r s t e v e n t i n t h i s s t a g e would be p r o d u c t i o n of a d e t a i l e d impact s t a t e m e n t and i m p l e m e n t a t i o n p l a n by t h e p r o p o n e n t . G u i d e l i n e s f o r t h e E I S ' s c o n t e n t s would be l e f t t o t h e p r o p o n e n t ' s 1 36 d i s c r e t i o n . As t h e onus i s on t h e p r o p o n e n t t o c o n v i n c e t h e r e v i e w e r s t h a t t h e y have d e a l t a d e q u a t e l y w i t h a l l r e l e v a n t i s s u e s , i t would n a t u r a l l y be i n t h e p r o p o n e n t ' s b e s t i n t e r e s t t o e n s u r e t h a t t h e EIS c o v e r e d i s s u e s o f i m p o r t a n c e t o t h e p u b l i c and t h e government -- f o r example, by c o n s u l t i n g t h o s e i n t e r e s t s when f o r m u l a t i n g t h e EIS g u i d e l i n e s . W h i l e t h e p r o p o s a l would have r e c e i v e d a p p r o v a l - i n - p r i n c i p l e by t h i s t i m e , t h e r e v i e w e r s would s t i l l have t h e a b i l i t y t o p r e v e n t i t s i m p l e m e n t a t i o n u n t i l t h e y were s a t i s f i e d t h a t i t s h o u l d p r o c e e d . B e c a u s e t h e EIS p r o v i d e s o n l y a s t a t i c v i e w of t h e p r o p o s a l , e x t e n s i v e c o n t a c t between t h e p r o p o n e n t and t h e government and p u b l i c would be needed t o e n s u r e t h a t c h a n g e s i n t h e p r o p o n e n t ' s p l a n s and new e n v i r o n m e n t a l o r s o c i a l c o n c e r n s c o u l d be communicated and i n t e g r a t e d i n t o t h e e v o l v i n g p r o j e c t p l a n s . T h i s t w o - s t a g e EIA p r o c e s s w o u l d have two main a d v a n t a g e s . F i r s t , i t would a l l o w t h e r e v i e w e r s t o s e p a r a t e c o n c e r n s a b o u t p r o j e c t need from c o n c e r n s a b o u t p r o j e c t i m p l e m e n t a t i o n . The p r e s e n t a r r a n g e m e n t i s a s o u r c e of f r u s t r a t i o n f o r a l l p a r t i e s i n v o l v e d . In E I A s o f many p r o p o s a l s , t h e u s u a l s i t u a t i o n i s t h a t many p u b l i c i n t e r v e n o r s a r e t r y i n g t o a r g u e a g a i n s t a p r o p o s a l w h i l e t h e p r o p o n e n t s a r e o n l y i n t e r e s t e d i n d i s c u s s i n g how t h a t p r o p o s a l s h o u l d be i m p l e m e n t e d . I n t h i s p r o p o s e d a r r a n g e m e n t , a r g u m e n t s would be f o c u s s e d on t h e two key i s s u e s — "whether," t h e n "how" — i n s e q u e n c e . I f a p p r o v a l - i n - p r i n c i p l e was g r a n t e d , t h e s e c o n d s t a g e would p r o c e e d w i t h a l l p a r t i e s aware t h a t t h e p r o p o s a l would l i k e l y be i m p l e m e n t e d ; and d e b a t e i n t h a t s t a g e would be f o c u s s e d on means o f a v o i d i n g o r m i t i g a t i n g any a d v e r s e i m p a c t s . 1 37 The s e c o n d a d v a n t a g e of t h e t w o - s t a g e EIA i s t h a t i t would f a c i l i t a t e i n t e g r a t i o n of t h e EIA phase w i t h t h e o n g o i n g m o n i t o r i n g p r o c e s s w h i c h would m o n i t o r i m p l e m e n t a t i o n of t h e p r o p o s a l . The p r o p o s e d i t e r a t i v e p l a n n i n g and r e v i e w p r o c e s s of t h e s e c o n d - s t a g e EIA would i n v o l v e c o n s u l t a t i o n s between p r o p o n e n t s , government and t h e p u b l i c . T h i s same a p p r o a c h c o u l d be u s e d t o m o n i t o r p r o j e c t e f f e c t s . F o r example, r e g u l a r m e e t i n g s c o u l d be h e l d a t w h i c h t h e p r o p o n e n t s would p r o v i d e u p d a t e s on t h e i r p l a n s and a c t i v i t i e s , and where t h e government and t h e p u b l i c c o u l d r a i s e new i s s u e s a s s o c i a t e d w i t h t h e p r o j e c t . ( T h i s c o u l d a l s o be an i m p o r t a n t s o u r c e o f f e e d b a c k f o r u p d a t i n g t h e l a n d - u s e p l a n s . ) T h i s a r r a n g e m e n t would l i k e l y p r o v e t o be an e f f e c t i v e means of f o l l o w i n g up on o u t s t a n d i n g c o n c e r n s from t h e EIA p h a s e . The m o n i t o r i n g phase would have two key o b j e c t i v e s : t o manage o r r e d u c e i m p a c t s ; and t o l e a r n , f o r a p p l i c a t i o n t o f u t u r e p r o p o s a l s . M o n i t o r i n g i s not an end i n i t s e l f : i f i n f o r m a t i o n f r o m m o n i t o r i n g i s not u s e d t o improve d e c i s i o n -making, t h e e x e r c i s e i s p o i n t l e s s . The government must have means o f e n s u r i n g t h a t t h e p r o p o n e n t s m o n i t o r key a s p e c t s o f t h e i r o p e r a t i o n s , and, more i m p o r t a n t l y , t h a t t h e y use t h a t m o n i t o r i n g i n f o r m a t i o n t o a d a p t t h e i r p l a n s and a c t i v i t i e s a s a p p r o p r i a t e . A t t h e minimum, t h i s r e q u i r e s t h a t t h e government have t h e c a p a b i l i t y t o m o n i t o r t h e i n f o r m a t i o n c o l l e c t e d by t h e p r o p o n e n t ' s m o n i t o r i n g p rogram, and t o r e v i e w and a p p r o v e t h e i r o p e r a t i n g p l a n s t o e n s u r e t h a t t h e y a r e a c t u a l l y u s i n g t h a t i n f o r m a t i o n t o a v o i d or m i t i g a t e i m p a c t s as much as p o s s i b l e . I m p l i c i t i n t h i s r e q u i r e m e n t i s t h e need f o r e f f e c t i v e 1 38 e n f o r c e m e n t m easures t o be a v a i l a b l e t o t h e r e g u l a t o r s . T h i s c o u l d be t h e weak l i n k , f o r s e v e r a l r e a s o n s : i n d u s t r y has c o n t r o l o v e r most of t h e i n f o r m a t i o n ; r e s o u r c e s (money and manpower) f o r e n f o r c e m e n t a r e s c a r c e , and e f f e c t i v e e n f o r c e m e n t i s e x p e n s i v e ; l i m i t e d b a s e l i n e i n f o r m a t i o n makes i t d i f f i c u l t t o e s t a b l i s h v a l i d e n v i r o n m e n t a l s t a n d a r d s ; and, f i n a l l y , p u b l i c (and, t o an e x t e n t , government) i n t e r e s t i n a p r o j e c t seems t o f a d e a f t e r f i n a l a p p r o v a l i s g r a n t e d , r e d u c i n g p u b l i c p r e s s u r e on t h e p r o p o n e n t s . The o n g o i n g forum f o r p u b l i c f e e d b a c k i n t o p r o j e c t management d e s c r i b e d i n t h e p r e c e d i n g p a r a g r a p h c o u l d h e l p t o c o u n t e r a c t t h e l a t t e r p r o b l e m . The s e c o n d o b j e c t i v e of t h e m o n i t o r i n g phase would be t o " l e a r n from d o i n g . " T h i s a s p e c t of m o n i t o r i n g would have two b e n e f i t s : i t w o u l d improve our a b i l i t y t o p r e d i c t and p l a n f o r t h e e n v i r o n m e n t a l i m p a c t s of c e r t a i n c l a s s e s of p r o p o s a l s ; and i t would p r o v i d e a c o n t i n u i n g f l o w o f i n f o r m a t i o n t o be u s e d i n u p d a t i n g t h e e x i s t i n g l a n d - u s e p l a n s . T h e s e b e n e f i t s may be of l e s s i mmediate i m p o r t a n c e f o r p r o j e c t - s p e c i f i c i mpact management, but a r e i m p o r t a n t o v e r t h e l o n g e r t e r m as means o f i m p r o v i n g o u r i n s t i t u t i o n a l c a p a b i l i t i e s f o r d e a l i n g w i t h r e s o u r c e d e v e l o p m e n t s . A t f i r s t g l a n c e , t h i s p r o p o s e d a r r a n g e m e n t may seem more burdensome t h a n our e x i s t i n g a p p r o a c h t o r e v i e w and r e g u l a t i o n . However, t h i s may n o t be t r u e . The key t o making t h i s s y s t e m f u n c t i o n s m o o t h l y and e f f i c i e n t l y i s t h e e x i s t e n c e of t h e l a n d -use p l a n n i n g p r o c e s s . T h i s p r o c e s s w o u l d be t h e forum f o r much of t h e p u b l i c d e b a t e which now o c c u r s i n EIA r e v i e w s of p r o j e c t s . By r e m o v i n g what i s e s s e n t i a l l y p o l i c y d e b a t e from 139 p r o j e c t r e v i e w s , i t seems l i k e l y t h a t t h e E I A p r o c e s s w o u l d become more e f f i c i e n t and e f f e c t i v e . I n t e g r a t i o n o f the s e c o n d s t a g e of t h e EIA p r o c e s s w i t h t h e e n v i r o n m e n t a l r e g u l a t i o n phase w o u l d a l s o r e d u c e much o f t h e u n c e r t a i n t y p r o p o n e n t s c u r r e n t l y f a c e when a p p l y i n g f o r p e r m i t s and a p p r o v a l s . A more open a p p r o a c h t o p l a n n i n g and d e c i s i o n - m a k i n g c o u l d a l s o r e d u c e i n i t i a l o p p o s i t i o n t o a p r o p o s a l ( f r o m government and t h e p u b l i c ) i f t h a t o p p o s i t i o n r e f l e c t e d c o n c e r n s about l a c k of c o n t r o l o v e r a p r o p o s a l more t h a n t h e n a t u r e of t h e p r o p o s a l i t s e l f . W i t h t h e s e p o t e n t i a l b e n e f i t s t o i n d u s t r y , some s u p p o r t c o u l d be e x p e c t e d from t h a t s e c t o r , once t h e n o r m a l i n i t i a l r e s i s t a n c e t o change was overcome. P e r h a p s a more s i g n i f i c a n t o b s t a c l e t o overcome i n a t t e m p t i n g t o move t o w a r d t h i s p r o p o s e d s y s t e m would be e n c o u n t e r e d i n t h e government i t s e l f . Some p o l i t i c i a n s may f i n d t h e t h o u g h t of making l i f e e a s i e r f o r i n d u s t r y d i s t a s t e f u l , e s p e c i a l l y i f t h e y were c o n c e r n e d t h a t " r e - r e g u l a t i o n " would be p e r c e i v e d by t h e p u b l i c ( t h a t i s , t h e i r e l e c t o r a t e ) as de-r e g u l a t i o n . In a d d i t i o n , t h e e x t e n s i v e r e s t r u c t u r i n g o f t h e i n s t i t u t i o n a l a r r a n g e m e n t s w o u l d be c e r t a i n t o e n c o u n t e r a good d e a l of p a s s i v e r e s i s t a n c e ( i n e r t i a ) f r o m t h e e x i s t i n g d e p a r t m e n t s and a g e n c i e s , w i t h t h e i r v e s t e d i n t e r e s t s and r e l u c t a n c e t o cede d e c i s i o n - m a k i n g powers ( e s p e c i a l l y t o " e n v i r o n m e n t a l i s t s " ! ) . The i m p o r t a n t p o i n t t o t a k e f r o m t h i s i s a s f o l l o w s : b o t h i n d u s t r y and t h e p u b l i c s t a n d t o b e n e f i t from an i m p r o v e d e n v i r o n m e n t a l management s y s t e m . 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