Decision in Brief: NEBC Connector Project

The Commission of the Canada Energy Regulator (CER) recommends approval of NorthRiver Midstream’s NEBC Connector Project. The Commission has identified 49 conditions to address potential project impacts and protect Indigenous and Treaty rights.

Decision in Brief: NEBC Connector Project – A picture of a road going through the Rocky Mountains.

October 18, 2023

When assessing a project application, the Commission takes into account various factors including economic, environmental and social considerations, while also integrating Indigenous knowledge and scientific evidence. The CER’s purpose is to ensure robust regulatory oversight of energy projects while considering economic benefits, environmental protection, and the rights and interests of Indigenous Peoples.

Rights and Interests of Indigenous Peoples in a Unique Project Context

The Commission assessed project impacts on Indigenous and Treaty rights, as well as the interests and concerns of Indigenous Peoples. The Commission recognized that the unique context of this project required the hearing process and assessment of the project to be done differently. The project was assessed in a changing landscape influenced by:

  • The Yahey Decision: This 2021 decision by the Supreme Court of B.C. found that Blueberry River First Nations’ (BRFN) Treaty 8 rights were infringed from the cumulative impacts of industrial activities. Given the Project’s geographic location within Treaty 8, the Yahey decision informed both the hearing process and the Commission’s substantive assessment of the project application.
  • United Nations Declaration on the Rights of Indigenous Peoples: Sets out the minimum standards for the survival, dignity, and well-being of Indigenous Peoples worldwide. The Government of Canada affirmed this declaration by enacting the United Nations Declaration on the Rights of Indigenous Peoples Act, which came into force in Canada in 2021.
  • Commitment to Reconciliation: The Government of Canada and the CER are committed to Reconciliation with First Nations, the Métis and the Inuit and building renewed relationships based on recognizing rights, respect, cooperation and partnership. 
  • Agreements for Healing the Land: Agreements between the Province of British Columbia, BRFN, and other Treaty 8 British Columbia Nations arising from the Yahey decision to address cumulative effects and heal the land.

The hearing process provided extensive opportunities for Indigenous Peoples to make their concerns and views known to the Commission. This included oral Indigenous knowledge sessions and collaborative workshops on cumulative effects assessment methodology and the offset plan. The Commission adjusted the hearing process to facilitate meaningful participation.

During the hearing process, 21 Indigenous communities participated as intervenors, which accounted for over 80 percent of the parties. Thirty-five Indigenous communities participated in Crown consultation activities led by the CER Crown Consultation Coordinator. There were varying levels of support for the project.

Cumulative Effects

Indigenous Peoples shared how cumulative effects have adversely impacted wildlife, their way of life and culture. Cumulative effects occur when industrial activities such as forestry, oil and gas, agriculture, roads, and pipelines, interact and collectively contribute to negative environmental and socio-economic impacts.

The Commission recognized that the Yahey decision has important implications regarding Treaty rights and cumulative effects relevant to its project assessment. The hearing process was tailored to be responsive to the specific concerns related to cumulative effects. Before the Commission’s completeness determination, there was a process workshop, three rounds of Information Requests and a technical workshop on cumulative effects assessment.

The Commission’s approach to managing cumulative effects involved avoiding and minimizing impacts to the extent possible, followed by offsetting of impacts through offset plans as a last resort. Many negative impacts of the pipeline could be avoided through routing. Mitigation, such as trenchless crossing methods and the natural regeneration of half the right of way, can further minimize potential impacts. However, due to the existing significant cumulative effects on wildlife and wildlife habitat, fish and fish habitat, and traditional land and resource use, the Commission required an offset plan in addition to avoidance and mitigation measures.

The Offset Plan

To mitigate the cumulative effects of the project, NorthRiver proposed an offset plan. Offsets are actions taken to balance the negative impacts of development projects on the environment.

NorthRiver’s offset plan evolved during the hearing. The hearing process allowed parties to test and respond to different versions of the offset plan.

The Commission considered Doig River First Nation’s proposed offset plan and other feedback received regarding NorthRiver’s offset plan. Although the Commission did not adopt these alternatives, they helped highlight areas for improvement in NorthRiver’s offset plan. This input resulted in changes to the final offset conditions to better account for risks and increase capacity funding. 

The Commission recommends that the final offset plan includes the following:

  • contribution to the Blueberry River First Nations – B.C. restoration fund;
  • contribution to the Treaty 8 restoration fund; and
  • a land securement fund to offset the project’s remaining new disturbance on Crown land in B.C. and Alberta.

Conditions

Input from Indigenous Peoples shaped the project’s 49 conditions. Conditions to mitigate impacts on the rights and interests of Indigenous peoples and cumulative effects were critical to the Commission’s balancing of interests. Key conditions relate to:

  • The offset plan
  • Support for Indigenous Peoples to review condition filings
  • Employment and training for Indigenous Peoples
  • Environmental protection plans
  • Outstanding traditional land and resource use investigations
  • Reclamation plan
  • Post-construction environmental monitoring reports
  • Socio-economic effects monitoring and reporting
  • Indigenous Peoples participation in monitoring

Next steps

The CER Act requires that the Commission’s recommendation report be submitted to the Minister of Energy and Natural Resources. The Minister will then take the recommendation report to the Governor in Council, who will decide whether or not to direct the Commission to issue a certificate.

Map

Map - NEBC Connector Project

Project Quick Facts

  • Two parallel small-diameter pipelines with a total length of 215 km.
  • Approximately 91 percent (195 km) of the project is contiguous with existing linear disturbances.
  • The project’s purpose is to increase the market access of natural gas liquids and condensates.
  • The estimated capital cost of the project is $350 million.
  • Planned construction is set to begin in the third quarter of 2024, with an in-service date expected in the second quarter of 2025.

Learn More

Decisions in Brief are prepared by the communications staff of the Canada Energy Regulator to help the public better understand Commission decisions. They do not form part of the Commission’s official report.

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