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Vol. 141, No. 18 — May 5, 2007 Regulations Amending the Metal Mining Effluent RegulationsStatutory authority Fisheries Act Sponsoring department Department of Fisheries and Oceans REGULATORY IMPACT ANALYSIS STATEMENT (This statement is not part of the Regulations.) Description Purpose The purpose of the proposed Regulations Amending the Metal Mining Effluent Regulations (hereinafter referred to as the "proposed amendments") is to extend the transitional authorizations under section 39 of the Metal Mining Effluent Regulations (hereinafter referred to as the "MMER"). Currently, two mines in Newfoundland and Labrador and one mine in Saskatchewan are operating under this provision of the MMER. The transitional authorization provisions were included in the MMER to allow mines to deposit tailings into water bodies while meeting prescribed eligibility requirements. These provisions allowed additional time to the mines to come into compliance with the MMER effluent standards for total suspended solids. The extension of the transitional authorizations would come into effect on the day the amendments are registered and would expire on December 6, 2008. There would be no fundamental changes to the policy objectives, scope or requirements of the MMER undertaken as part of these proposed amendments. Background In December 2006, the Department of Fisheries and Oceans (DFO) requested that Environment Canada initiate the regulatory process to amend the MMER to add two new tailings impoundment areas for two iron ore mines in Newfoundland and Labrador. These mines are currently operating under transitional authorizations that expire on June 6, 2007. Subsequent to this date, the mines would not be able to operate in compliance with the total suspended solids limits of the MMER. Consultations with Aboriginal groups on the proposed addition of the tailings impoundment areas have not yet been undertaken. Therefore, amending the MMER to extend the transitional authorizations would provide adequate time for DFO to complete the necessary Aboriginal consultations and ensure that both mines would be in a position to operate in compliance with the MMER effluent discharge limits during that period. In order to allow the mines to continue operating in accordance with the prescribed requirements of the MMER, Environment Canada is proposing to extend the transitional authorizations as a short-term administrative measure. The mine located in Saskatchewan ceased commercial operations in late 2005 and is in the process of final site closure and remediation. Hence, the extension of the transitional authorization for the mine in Saskatchewan would have no impact. Nonetheless, the MMER will continue to apply to the site. Proposed amendments Extension of the transitional authorizations The proposed amendments would extend the transitional authorizations until December 6, 2008, ensuring that the mines would be able to continue operating in compliance with the prescribed requirements of the MMER. During this period, it is expected that consultations with Aboriginal communities in Newfoundland and Labrador would be completed. The proposed amendments would apply to all facilities subject to section 39 of the MMER. Since the proposed extension of the transitional authorizations would be a short-term administrative matter which would maintain current practice, an environmental assessment and consultations are deemed unnecessary. Industry profile In 2004, nearly 28 million tonnes of iron ore was produced of which approximately 15 million tonnes or 54% of the total was produced in Newfoundland and Labrador where these two mines are located. These two mines employ nearly 2 700 persons, the majority of which work in Labrador City. This constitutes a significant portion of the employed workforce in the area and, as such, these mines contribute significantly to the local and provincial economy in terms of employment and other related economic activities to local communities. Alternatives Status quo There could be significant implications in terms of employment and economic activity, as mine operations would not be able to continue operating in accordance with the requirements of the Fisheries Act until a decision on the designation of the two water bodies as tailings impoundment areas is taken. Therefore, the status quo has been rejected. Amending the Regulations Amending the Regulations would allow the mines to operate in compliance with the prescribed requirements of the MMER, thereby avoiding loss of revenues and employment, as well as other associated economic impacts to the local and provincial economies. In addition, the proposed amendments would allow time to conduct the required consultations without impacting mine operations. Therefore, this is considered the best option. Benefits and costs Costs Cost to industry The industry would not incur any additional costs as a result of the proposed amendments. The extension of the transitional authorizations would allow the mines to continue operations for a specified period of time, until a decision on the designation of the water bodies as tailings impoundment areas following Aboriginal consultation is taken for the mines located in Newfoundland and Labrador. The regulatory requirements of the MMER would continue to apply. As such, no incremental costs will be borne by the mining companies. Costs to Government A compliance and enforcement regime is already in place for the MMER. The proposed amendments will not result in any incremental costs for the Government. Benefits The granting of the extension of the transitional authorizations would ensure continued operation of the mines and avoid costs associated with mine closures and start-up. In addition, the extension of the transitional authorizations would mean no loss of employment and other economic benefits to the local and provincial economies of Newfoundland and Labrador, which are expected to be significant. Net impact The proposed amendments would ensure that the mining operations are not affected from the expiry of the transitional authorizations to the issuance of a decision on the designation of the water bodies as tailings impoundment areas. As the proposed amendments would ensure continued operation of the mines without any incremental cost to the companies or the Government, the impacts are expected to be positive. Consultation Since the proposed amendments are an administrative measure aimed at ensuring that mining activities occur without any incremental environmental or health impacts, no consultations were held. Compliance and enforcement The proposed amendments will not alter the manner in which the MMER are enforced.
Mr. Chris Doiron
Mr. Markes Cormier Notice is hereby given that the Governor in Council, pursuant to subsection 36(5) of the Fisheries Act, proposes to make the annexed Regulations Amending the Metal Mining Effluent Regulations. Interested persons may make representations with respect to the proposed Regulations within 30 days after the date of publication of this notice. All such representations must cite the Canada Gazette, Part I, and the date of publication of this notice, and be addressed to Chris Doiron, Chief, Mining and Minerals, Mining and Processing Division, Public and Resources Sectors Directorate, Environment Canada, Ottawa, Ontario K1A 0H3. Persons making representations should identify any of those representations the disclosure of which should be refused under the Access to Information Act, in particular under sections 19 and 20 of that Act, and should indicate the reasons why and the period during which the representations should not be disclosed. They should also identify any representations for which there is consent to disclosure for the purposes of that Act. Ottawa, April 26, 2007
MARY O'NEILL
REGULATIONS AMENDING THE METAL MINING EFFLUENT REGULATIONS AMENDMENT 1. Subsection 39(2) of the Metal Mining Effluent Regulations (see footnote 1) is replaced by the following: (2) Transitional authorizations referred to in subsection 34(3) expire 78 months after the day on which these Regulations are registered. COMING INTO FORCE 2. These Regulations come into force on the day on which they are registered. [18-1-o] SOR/2002-222 |
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