Participant Funding Program – Aboriginal Funding Envelope
Funding Review Committee's Report

Allocation of Federal Funds for the Environmental Assessment of the Eagle's Nest Project

The Participant Funding Program (PFP) is established pursuant to subsection 58(1.1) of the Canadian Environmental Assessment Act (the Act), which states: For the purposes of this Act, the Minister shall establish a participant funding program to facilitate the participation of the public in comprehensive studies, mediations and assessments by review panels. The PFP includes an Aboriginal Funding Envelope (AFE) to strengthen the ability of Aboriginal groups to participate in federal or joint federal-provincial environmental assessment (EA) processes and in related consultation activities.

A Funding Review Committee (FRC) independent of the EA was established for the Eagle's Nest Project (the Project). The EA of the Project is being conducted by means of a comprehensive study (CS). The FRC's purpose was to assess funding applications received under the PFPAFE for the proposed project, and to provide recommendations to the President of the Canadian Environmental Assessment Agency (the Agency) on whether funding should be provided, and if so, in what amount.

Under the AFE for this project, a total of $273,200 was made available to support Aboriginal participation in the EA, and related consultation and community engagement activities, linked to the:

  • review and comment on the Environmental Impact Statement (EIS) guidelines;
  • review and comment on the EIS; and
  • review and comment on the Comprehensive Study Report (CSR).

The deadline to submit an application was January 6, 2012, with an extension to January 11, 2012. Five applications were received requesting a total of $94,649.

On January 16, 19, and 23, 2012, the FRC met to review the applications. The FRC members were: Mr. Bruce Young, retired Director of Panel Management with the Agency, acting as FRC Chairperson; Mr. Patrick Duxbury, Environmental Assessment Consultant; and Ms. Patricia Larkin, Environmental Health Specialist.

Background

The proponent proposes an underground nickel-copper-platinum multi-metal mine at a mining rate of approximately 2,960 tonnes per day which represents an anticipated mine life of approximately 11 years. The proposal also includes an underground concentrate processing facility, an all-season access road from Pickle Lake to Webequie Junction, concentrate pipeline from Webequie Junction to the mine site and ancillary mine infrastructure. The project mine site is located approximately 540 kilometres (km) north of the City of Thunder Bay, Ontario, and 240 km west of James Bay in an area known as the "Ring of Fire".

The potential environmental effects of the Project may include:

  • disruption of wildlife habitat due to mine activity and/or all-season transportation corridor, which may lead to impacts on Treaty rights to hunt, fish, and trap, as well as current use for traditional purposes;
  • potential discharge of metals and other contaminants into adjacent water bodies, affecting water quality and wildlife and ability to hunt, trap and fish;
  • fugitive dust from mine site and transportation route that may lead to impacts on potential Aboriginal gathering rights;
  • increased access to resources due to construction of the transportation corridor and increased pressure on resources as a consequence; and
  • socio-economic effects of these changes to the human environment.

The Project would be subject to a CS-type EA pursuant to the Act.

Natural Resources Canada is a responsible authority. Fisheries and Oceans Canada and Transport Canada are participating as potential responsible authorities as they may issue regulatory permits associated with the Project. Additionally, Health Canada and Environment Canada may provide expert advice as federal authorities.

The proposed project is also subject to a provincial EA pursuant to Ontario's Environmental Assessment Act.

Eligibility

Under the PFPAFE, funding may be provided to Aboriginal applicants to support their input to an EA and/or to support their engagement in consultation activities with the federal government. These activities must be linked to the EA of a proposed project through a CS or review panel.

Eligible recipients must plan to engage in Aboriginal consultation activities with the federal government that are linked to the EA of the proposed project and be able to demonstrate that they meet at least one of the following eligibility criteria:

  • Have a direct, local interest in the Project, such as living or owning property in the project area;
  • Have community knowledge or Aboriginal traditional knowledge relevant to the EA; or
  • Have expert information relevant to the anticipated environmental effects of the Project.

All of the applicants were deemed to have met the eligibility criteria.

Under the PFPAFE, applicants can request funding for costs related to:

  • professional fees;
  • staff salaries and benefits;
  • travel expenses;
  • honoraria for Elders and Chiefs to attend meetings and functions;
  • ceremonial offerings related to receiving traditional knowledge in relation to the EA;
  • administrative and reporting costs;
  • local collection and/or distribution of information;
  • office supplies and telephone charges;
  • rental of office space and meeting rooms;
  • legal fees;
  • general media advertising and/or promotion;
  • purchase of information material, with supporting documentation; and
  • other detailed expenses.

Rationale for Allocation

In reviewing the five applications and in reaching its conclusions and recommendations, the FRC took into consideration a number of factors, including the following:

  • whether Aboriginal groups could demonstrate that they plan to engage in Aboriginal consultation activities with the federal government that are linked to the EA of the proposed project;
  • the ability of the Aboriginal groups to demonstrate that they had met one or more of the eligibility criteria listed above;
  • the quality, clarity and content of the application, particularly with respect to the relationship between specific project components and the applicant's traditional lands and resources, and the applicant's proposed EA participation work plan;
  • advice received from the Agency regarding which Aboriginal groups are expected to be participants in the EA, and the role that these groups may play in the review;
  • the maximum funding available to the applicant;
  • potential project impacts on traditional lands and resources, and on the related interests and asserted rights and title of the Aboriginal applicants; and,
  • the eligible activities under the PFPAFE for the Project, which include review and comment on the EIS Guidelines, the EIS and the CSR.

Recommendation

The FRC recommends allocating $93,449 of the available AFE funding to support the five applicants as follows:

  • $28,200 to the Webequie First Nation
  • $27,000 to the Neskantaga First Nation
  • $7,200 to the Ojibway Nation of Saugeen
  • $20,849 to the Mishkeegogamang First Nation
  • $10,200 to the Métis Nation of Ontario Secretariat

The FRC further recommends that any funding allocation be conditional on the applicants' providing written comments to the Agency on the EIS guidelines, the EIS and the CSR.

The Funding Review Committee
Eagle's Nest Project
Aboriginal Funding Envelope

____________________________________________________
Bruce Young, Committee Chairperson, retired Director of Panel Management with the Agency

____________________________________________________
Patrick Duxbury, Environmental Assessment Consultant

____________________________________________________
Patricia Larkin, Environmental Health Specialist

Recommended Participant Funding Allocations
Eagle's Nest Project
Aboriginal Funding Envelope

Applicant Total Allocation Amount Recommended
Webequie First Nation $28,200
Neskantaga First Nation $27,000
Ojibway Nation of Saugeen $7,200
Mishkeegogamang First Nation $20,849
Métis Nation of Ontario Secretariat $10,200
TOTAL $93,449

Document Reference Number: 8

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