NOVA Gas Transmission Ltd. – North Corridor Expansion Project

Background:

On April 4, 2019, NOVA Gas Transmission Limited (NGTL), a wholly-owned subsidiary of TC Energy (formerly TransCanada Corporation), filed an application under Sections 52 and 58 of Part III and Part IV of the National Energy Board (NEB) Act to construct and operate the NGTL North Corridor Expansion Project (the Project).

This Project is an expansion to the existing NGTL System, adding a new compressor station and approximately 81 km of new pipeline, and is required to expand pipeline capacity to transport gas from the Peace River Project Area (PRPA) to growing intra-basin demand markets located in northeastern Alberta.

The NGTL North Corridor Expansion Project required a federal Certificate of Public Convenience and Necessity. Since the proposed pipeline, in aggregate, exceeds 40 km in length and will be regulated by the Canada Energy Regulator (CER), formerly the NEB, the Project is a “designated project” under the Regulations Designating Physical Activities. As a designated project, the NEB Act required that an environmental assessment be prepared under the Canadian Environmental Assessment Act, 2012 (CEAA 2012).

CER Recommendation report:

Following an assessment by the Commission of the Canada Energy Regulator (the Commission), the Commission determined that the Project is in the Canadian public interest and released its Recommendation report on September 3, 2020. The report recommended that the Project be approved, subject to 34 conditions that would be attached to the Section 52 Certificate, and would impose 23 conditions on the Order for the Section 58 Facilities and Activities that would be issued in respect of the Project.

Please visit the CER’s website to obtain more information on the Project and on the review by the CER.

NRCan as Crown consultation coordinator:

In January 2016, the Minister of Natural Resources and the Minister of Environment and Climate Change announced interim measures to be applied to projects undergoing regulatory review as part of a long-term plan to review the environmental assessment process and modernize the CER. During the interim period, the Government’s decisions on major projects, including this Project, was guided by five principles:

• No project proponent was asked to return to the starting line;
• Decisions were based on science, traditional knowledge of Aboriginal peoples, and other relevant evidence;
• The views of the public and affected communities were sought and considered;
• Indigenous peoples were meaningfully consulted, and where appropriate, impacts on their rights and interests were accommodated; and,
• Direct and upstream greenhouse gas (GHG) emissions linked to the Project were assessed.

For this Project, the Major Projects Management Office (MPMO) at Natural Resources Canada (NRCan) served as Crown consultation coordinator and relied upon the CER Hearing process, to the extent possible, to fulfil any duty to consult. Through supplementary consultations, the Crown consultation team sought to engage with Indigenous groups to understand the nature and seriousness of any potential outstanding impacts to Indigenous interests not otherwise addressed by Project conditions and proponent commitments.

Environment Climate Change Canada determined upstream GHG emissions will not exceed the threshold for GiC decision. Therefore, an upstream GHG assessment was not required for this Project.

Extension to the legislated time limit for the Government's decision on the Project:

In response to COVID-19, the Governor in Council (GiC) extended the legislative timeline for consultations with Indigenous groups on the Project by five months, extending the decision date on the Project from December 3, 2020 to no later than May 3, 2021. This was to ensure that the duty to consult with potentially impacted Indigenous groups could be meaningfully fulfilled in light of the impacts of the COVID-19 pandemic on Indigenous communities.

Decision:

On April 30, 2021, the GiC approved the issuance of the Certificate of Public Convenience and Necessity by the CER, allowing NGTL to construct and operate the Project under and in accordance with Sections 52 and 58 of the NEB Act, subject to the conditions.

In response to concerns raised by Indigenous groups, the Minister of Natural Resources recommended to the GiC the inclusion of three new conditions for the Section 52 certificate. Those conditions are:

Condition 35 - Support for Indigenous Groups to Review NGTL Filings Related to Conditions
Condition 36 - Indigenous Working Group for the Chinchaga and Red Earth Caribou Ranges
Condition 37 - Revised Caribou Habitat Restoration and Offset Measures Plan (CHR&OMP)

In addition, the Minister of Natural Resources recommended to the GiC that four CER conditions for the section 52 certificate be amended:

Condition 30 - Caribou Habitat Restoration Implementation Report and Status Update
Condition 31 - Caribou Habitat Offset Measures Implementation Report
Condition 32 - Caribou Habitat Restoration and Offset Measures Monitoring Program
Condition 33 - Caribou Monitoring Reports

The Crown Consultation and Accommodation Report (CCAR) for the Project describes the outcome of the Crown’s consultation process, including the responses to concerns raised by groups, with potentially impacted Indigenous groups with respect to the Project.