ASDM-155340 GUEST AT CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS (CAPP) RESPONSIBLE CANADIAN ENERGY AWARDS SCENARIO BRIEF Time and Location Date - Wednesday March 21, 2012 Time - 5:30 p.m. reception, 6:30 p.m. dinner Plac - The Westin Calgary, 320- 4% Ave. S.W. e Participants Context of Meeting | Anticipated Objectives, Outcome, Deliverables Organization (CAP Dave Collyer, President, CAPP Environment Canada: Andrea Lyon, Associate Deputy Minister CAPP Responsible Canadian Energy Awards dinner ‘The CAPP’s Responsible Canadian Energy Awards dinner will, recognize CAPP members who have demonstrated exceptional results in environment, health and safety, and social performance. ‘The Awards Dinner agenda is attached. ISSUES ‘+ The CAPP awards are about recognizing environmental performance in the areas of GHG and air pollutant emissions and water management from the oil sands industry including mining, upgrading and in-situ facilities, ‘© CAPP members may take the opportunity to discuss other issues involving CAPP and EC such as current status and next steps of GHG discussions and the Air Quality Management System (AQMS) and the Joint Canada-Alberta Implementation Plan for Oil Sands Monitoring, 00001KEY CAPP ISSUES © CAPP has raised issues with the “one-off” reviews of specific legislation such as CEAA and SARA and would rather have a more strategic omnibus legislative approach that ‘would take into account: (© improved balance of economic and environmental considerations , using a risk- based approach; Process timeliness and effectiveness; A more integrated and cohesive approach within and among governments, reducing overlap and redundancy while respecting the legislative requirements of each jurisdiction; and 2 Aboriginal consultation. ° ‘+ On March 16, CAPP wrote to DM Boothe as well as the Ontario and Alberta DMs reiterating support for AQMS but expressing concern that BLIERs proposed by EC could impact competitiveness and strand capital (letter attached). ‘© CAPP is participating actively in the work on GHG regulation for oil and gas. Specific to SARA, CAPP wrote to Minister Kent on March 16 (letter attached) highlighting CAPP’s perspective and hierarchy of concerns (© The lack of socio-economic considerations provided for within SARA. © The legal implementation and application of SARA. © Technical considerations, + DM Boothe wrote to CAPP on March 13 conceming CAPP’s initiative on disclosure of fracturing fluid additives (letter attached). 00002POINTS TO REGISTER Canada's Approach to Climate Change ‘© We appreciate the engagement of CAPP on the development of regulations for the oil and gas sector. Air Quality Management System (AQMS)/ Base Level Industrial Emission Requirements (BLIERS) © I would like to thank CAPP for all the time and effort towards finalizing the AQMS © Effective air quality management is important for Canadians. A coherent Canada-wide approach on air quality is essential to ensure clean air benefits for all Canadians and provide clear direction to indust © The department remains committed to timelines established by the CCME to finalize the system and begin implementation in 2013. On BLIERS © Tunderstand that working group discussions will be ending at the end of Mareh, * Lunderstand that Mike Beale has offered to discuss these issues on a bilateral basis; you may want to take him up on the offer On Cumulative Impacts of Regulation * The department is sensitive to the need to align regulatory requirements for GHG and air pollutant emissions. * The BLIERs are being developed in light of existing regulations and with the awareness that future regulations on GHGs will be developed. Future GHG regulations will take existing BLIERs into consideration as well. Oil Sands Monitoring ¢ The Governments of Canada and Alberta announced the Joint Canada- Alberta Implementation Plan for Oil Sands Monitoring, which will provide high-quality, scientifically-rigorous data on the region’s water, air and biodiversity.* This world-class, science-based program will make Canada’s oil sands monitoring among the best in the world. This will bring the comprehensive and transparent environmental monitoring required to support environmentally sustainable development in this important global resource, The program is scientifically rigorous and significantly increases and improves environmental monitoring in the oil sands. It addresses air and water contaminants as well as biodiversity and habitat concerns. Chemical Management Plan © The Government of Canada continues to work in collaboration with CAPP as part of its commitment, under the Chemicals Management Plan, to assess and manage (as required) close to 160 high priority substances related to the petroleum sector, including crude oil and natural gas condensates. CAPP is currently involved in data gathering conducted under section 71 of CEPA 1999 to collect information on approximately 65 petroleum substances. Hydraulic Fracturing * Tunderstand that Deputy Minister Boothe has spoken with you to discuss the guiding principles and operating practices as well as Environment Canada’s information needs to fill the knowledge gap on substances used in hydraulic fracturing in Canada. * Departmental officials will be in touch to undertake further discussions and meetings with CAPP regarding your proposed approach for chemical disclosure and Environment Canada’s information needs.BACKGROUND, Canadian Association of Petroleum Producers (CAPP) ‘The Canadian Association of Petroleum Producers group (CAP) represent the many Canadian Upstream oil and natural gas companies as a single voice. It is structured as an association representing qualifying members (producer and associate status). CAPs role is to work closely with its members, governments, communities and stakeholders; CAP analyzes key oil and gas issues and represents member interests nationally in all of Canada's provinces and territories. It is estimated that CAPP members produce nearly 98% of Canadian petroleum production. Together CAPP’s members and associate members are an important part of a $110-billion-a-year national industry that provides essential energy products. CAPP’s mission is to enhance the economic sustainability of the Canadian upstream petroleum industry in a safe and environmentally and socially responsible manner, through constructive ‘engagement and communication with governments, the public and stakeholders in the ‘communities in which we operate. CAPP is extremely active on discussions of climate change issues with governments, and often takes a leadership role on behalf of industry. In March 2010, CAPP launched Responsible Canadian Energy™ as the evolution of CAPP"s long-standing Stewardship Program. Building on the success of Stewardship, Responsible Canadian Energy™ is a focused and unified approach to directing Canada’s oil and gas industry efforts to continue to improve health and safety, social and environmental performance. The Vision & Principles for Canada’s oil and gas industry include: conducting business activities in a safe and sustainable manner, balancing social, economic and environmental considerations; holding each other accountable; and measuring ourselves against the following principles: ‘+ Provide a safe and healthy workplace for our employees, contractors and for the communities in which we work, with a goal to do no harm; + Conduct our activities in an environmentally responsible manner; + Engage our stakeholders in open and responsive communications; + Create opportunities for economic and social benefits in the communities in which we ‘operate, at a local and national level; and + Conduct our business activities with integrity, ensuring all people are treated with dignity, faimess and respect Hydraulic Fracturing In January 2012, CAPP released hydraulic fracturing operating practices designed to improve water management and practices for shale gas and tight gas development across Canada, The operating practices are voluntary, and support CAPP’s guiding principles that were released in September 2011. The first operating practice supports disclosure of fracturing fluid additives on ‘a well-by-well basis, either on company websites, or on third party websites such as FracFocus.ca, 000005BIOGRAPHY — DAVE COLLYER David Collyer President, Canadian Association of Petroleum Producers (CAPP) David Collyer is the new President of the Canadian Association of Petroleum Producers (CAPP), effective September 15, 2008. As president David is responsible for enhancing the economic well-being and sustainability of the Canadian upstream petroleum industry in a socially, environmentally and technically responsible manner. David is a major voice of the upstream oil and natural gas industry in Canada. ‘The goal of the CAPP is to analyze key oil and gas issues representing their members” interests nationally in 12 of Canada’s provinces and territories, Current issues that David will be undertaking as president include: climate change, the environmental impacts of oil sands development, and the shortage in the skilled labour in the upstream industry. David has a BSc in Petroleum Engineering and an MBA from the University of Alberta and has spent the past 30 years at Shell Canada including positions as: Vice President Commercial Business, Vice President Marketing and Transportation, Vice President Frontier, Vice President HSSE & Sustainable Development, Oil Sands and most recently serving as President and Country Chair (2008). David is a board member of the Energy Council of Canada executive committee. He is also a ‘member of the Association of Professional Engineers, Geologists, and Geophysicists of Alberta (APEGGA), the Society of Petroleum Engineers (SPE), and the Canadian Institute of Mining, Metallurgy and Petroleum (CIM). 000006Draft Scenario & Sequence of Events carp ven ens Ser ansranraes 2012 Responsible Canadian Energy Awards Dinner EVENT 2012 Responsible Canadian Energy Awards Dinner DATE March 21, 2012 TIME the Westin Calgary - Ballroom Event Speakers Deborah Yedlin, Business Columnist, Calgary Herald Emcee Lowell Jackson, CAPP B of G Chair Speaker Alison Redford, Alberta Premier Keynote Allen Knight, CAPP BoG Incoming Chair Speaker Michelle Rempel, Parl. Secretary, Env. Canada Speaker Janet Annesley, CAPP VP Communication Speaker Ken Ogilvie, RCE Advisory Group Chair Speaker/Presenter Dave Collyer, CAPP President Speaker Award Presenters ‘Andrea Lyon, Associate Deputy Minister, Environment Canada ~ Environment Award Dave Rushford, Quicksilver Resources, Chair, CAPP Environment EPG — Environment Award Jim Ellis, Alberta Deputy Minister, Energy — Health and Safety Award Wally Baer, President ENFORM and RCE Advisory Group member ~ Health & Safety Award Kent Campbell, Saskatchewan Deputy Minister of Energy and Resources - Social Award Steve Carr, British Columbia Deputy Minister of Energy and Mines — Chair's Award Lowell Jackson, CAPP B of G Chair ~ Chair's Award Dave Collyer, CAPP President ~ President's Award Key Contacts . ss) Brenda Jones, CAPP Communication, brenda.jones@capp.ca BB Martin Silbernagel, CAPP Communication, martin silbernagel@capp.ca BB 72100, 950 7Avenve SW. 1000, 275 Sater Steet 409, 296 Water Steet Calgary Aber Ottawa, Ontario ‘St lot's, Newfoundland and Labrador Ganada’T2P 3 Canada KAP SHO Canada ATC 186 ‘al (403) 267-1100 Tet 613-288-2126 Tel 709-724-4200 Fax (403) 201-4022 Fax 613-236-4280 Fa 700-724-4225 weeapp.ca + communiaton@eapp.ca ——— ~—ononerSEQUENCE OF EVENTS TIMING ACTION PARTICIPANTS 5:30 p.m Dave Collyer to meet Premier in the lobby of __| Dave Collyer the Westin. Travis Davies to take Premier to. _| Premier Redford Jasper Room on 17° floor. Travis Davies 5:30 p.m. Premier pre-event media interview Premier Redford (asper room ~ 17" floor) | Travis Davies 5:30 p.m VIP Reception (Barclay Room) | Nominees and Advisory Group 5:30 p.m. Reception (Area in front of Grand Ballroom) —_| All 6:25 pm Guests are called to their tables Deborah Yedlin _ * Set-up: Two plasma screens in reception area to play looped video of nominee company logos and related submission. An additional screen will be set-up in the VIP reception room. 6:30 pm Emcee welcome, housekeeping items, announcement of special guests in the | audience. Introduce Lowell Jackson. | Note: salad course will already be on table and guests are asked to. continue after Key note address. Deborah Yedlin ‘begin eating. Dinner service to Invites guests to enjoy the rest of the dinner. 6:36 pm | Lowell Jackson Board Chair introduces keynote | Lowell Jackson speaker, Premier Alison Redford 6:38pm Premier Redford begins speaking Premier Redford 6:55 pm Premier Redford concludes remarks Premier Redford 6:56pm ‘Allen Knight thanks the Premier. Allen Knight Salads have been collected and dinner service is underway 7:40 pm Deborah Yediin introduces Michelle Rempel, | Deborah Yedlin Parliamentary Secretary to Minister of Env. - 7a p.m. Michelle Rempel speaks elle Rempel [7:47 pm Janet Annesley thanks Michelle Rempel and Janet Annesley — introduces the Energy in Action video _ * 7:50 pm -—- Cue Energy in Action video (3 min video) 7:53 pm Janet Annesley introduces Ken Ogilvie, Advisory Group Chair Janet Annesley 00008TIMING ‘ACTION PARTICIPANTS. 7:56 p.m. o CF ‘Advisory Group Chair Ken Ogilvy. Ken recognizes the Advisory Group and introduces the start of the awards Ken Ogilvie ‘Mr. Baer and Mr. ae . Social Performance Award Deborah Yedlin invites Kent Campbell to stage to present Award. Winning company revealed, invite winner to stage to accept award on behalf of company. Deborah Yediin & Kent Campbell * 8:15 pm —~ Cue video for Social Performance Award. (3 min video) 8:19 pm PHOTO OP Winner speaks for 1 min and then exits with Kent Campbell & winner of Social Award Deborah Yedlin, Kent Campbell,TIMING PARTICIPANTS:cape CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS March 16, 2012 Mr. Emie Hui Mr. Paul Boothe Alberta Environment and Water Environment Canada 10th Floor Petroleum Plaza Street 10 Wellington Street 9915 - 108 Street Gatineau QCKLA OFS Edmonton AB TSK 2G8 Ms. Gail Beggs Ontario Ministry of Environment 135 St. Clair Avenue West, Floor 12 ‘Toronto ON M4V 1P5 Dear Mr. Boothe, Mr Hui and Ms. Beges: Re: Air Quality Management System 11am writing to you in your leadership roles for the Champion governments on the development of the national Air Quality Management System within the Canadian Council of Ministers for the Environment. Further to our leter to Deputy Minister Boothe in June, 2011, the intent of this letter is to confirm the continuing broad support of the Canadian Association of Petroleum Producers (CAPP) forthe national Air Quality Management System (AQMS). This follows a key CCME milestone in the systems’ development - the campletion of the multistakeholder efforts on the Base-Level Industrial Emissions Requirements (BLIERs). I want to underline, however, that this support is being tempered by increasing concerns among our membership regarding BLIERs relevant to the upstream oil and gas industry, and we are seeking your support in addressing those Since its inception as the Comprehensive Air Management System (CAMS), CAPP has been a consistent industry supporter and lead on the development of the national AQMS. We have continued to work collaboratively with stakeholders and governments on the Stakeholder Advisory Group (SAG), and its various subgroups, to develop an air quality management system that is both effective in ensuring good air quality across the country and practical and efficient to implement. We believe the AQMS has potential to benefit all Canadians through the ‘implementation of its three key elements: the Canadian Ambient Air Quality Standards (CAAQS), Air Zone and Airshed Management and the Base-Level Industrial Emission Requirements (BLIERS). Since the adoption of CAMS by the Canadian Council of Ministers for the Environment (CCME)'s Council of Ministers (COM), it has been ckar that Environment Canada and the provinces have remained committed to the system’s development, with the lead from the ‘Champion governments, Alberta, Ontario and Environment Canada. One of the fundamental 2100, 950-7 Avenve SW. 1000, 275 Stor Sroet “3, 238 Water Seat Cobar, Aor Otawa, Onisre St ions, Newoundand and Letra (Garach 129 340 engen Ki Ho anaes are 186 “el (e0s 267-1100 Ter e132e62125 Tal m0 7244200 ax (09) 201-4022 Faw 613: 2064260, Fax To0-7248205 wveappca cammunealon@eapp.ecs 000011Page 2 principles of the CAMS Framework is mult-stakchold er collaboration. Is quite positive thatthe Champion governments upheld this necessary principle within the Stakeholder Advisory Group (SAG) and the various BLIERs and CAAQS working groups. In October 2010, the COM stated that all multistakeholder efforts on the details of the AQMS, including BLIERs, must be completed by December 2011. In recognition of this timeline, CAPP has remained fully engaged in all working groups, including the SAG, CAAQS and BLIERs relevant fo the upstream oil and gas industry. Many of the BLIERs Working Groups on which CAPP was engaged reached closure in December 2011, while some of others were extended and will be drawing toa close on March 31, 2012, ‘In Fume 2011, Twrote to Deputy Minister Boothe in part to emphasize some of CAPP'S key principles on AQMS development. These included two principles directly relevant to BLIERs, the first being that BLIERs should maintain Canada's oil and gas competitiveness, and the second being that BLIERS should no strand capital asets.In August 2011, Iwas pleased to receive a reply confirming that that these two principles would be key considerations through the development of BLIERs. These principles were further highlighted ina January 26, 2012 meeting involving Minister Kent, Deputy Minister Boothe, and a number of CEOs of CAPP member companies. For all ofthe BLIERs groups relevant to the upstream oil and gas and oil sands sectors, CAPP has proposed BLIERs that ate consistent with these key principles, as described below. We believe that the alterative proposals tabled by non-industry stakeholders on the various BLIERs do not uphold these principles, and if implemented, will negatively affect our industry while providing de minimis benefit to local or egional air quality Maintaining Canadian Competitiveness Consieraton ofthe competitiveness of the Canadian ol and gas industry i critical in our view to ensuring practical and effective implementation of BLIERs. This point was recognized inthe CAMS proposal fom May 2010, which stated that “BLTERs should match what leading jurisdictions (domestic or abroad) require for comparable industial sources inatainment areas” ‘A fundamental element of CAPP's proposed BLIERs forexisting equipment is that the trigger to retrofit a piece of equipment to meet the BLIERS is reached upon modifying or relocating that piece of equipment. CAPP brought the modification / relocation approach forward as the only approach that upholds the principles of maintaining competitiveness of our industry. It is consistent with the requirements in competing and leading jurisdictions, such as those regulated by the United States Environmental Protection Agency, and existing Canadian regulations Some of altemative approaches to implementing BLIERs as proposed to the Working Groups, such as those by Environment Canada, are unpreceden ted in base-level attainment-arca environmental regulations and thus do not have a jurisdictional benchmark. Implementing such regulations would have a negative impact on the competitiveness of Canadian cil and gas production. CAPP believes that Environment Canada and the provincial governments need to remain consistent with implementation approaches that are currently required in benchmark attainment area jurisdictions. ‘900012Page 3 vol ing Stranding Capital CAPP's modification / relocation proposal isthe oaly approach that upholds the principle of avoiding stranding capital. Under this approach, investments in retrofit technology’ to meet the BLIER would be made when companies are investing in upgrading, expanding oF optimizing a facility or resource development play. The alternative approaches to implementing BLIERs on existing sources that have been brought, forward by government and NGO stakeholders force equipment tobe retrofit by a certain timeframe or after a certain age of service of the equipment or facility, without regard for capital investment cycles. Such approaches require companies to invest in and install retrofit technology regardless of the remaining life of the equipment, facility or resource play, which will necessarily result in inefficient use of capital resources. CCAPP believes that governments need to be cautious in agreeing to the implementation approsch for existing sources, and not agree to time-based or age-based approaches that unnecessarily sirand capital or resources. We encourage governments to consider the modification / relocation | proposal brought forward by our industry sector, In summary, CAPP continues to be encouraged that the CCME is moving ahead with the evelopment of the AQMS, and aims to begin implementation in 2013. However, we are increasingly concemed about the BLIERS being considered for the upstream oil and gas sector. ‘We strongly urge both governments to proceed with CAPP's proposal for existing BLIERs, in order to maintain strong alignment with the key principles of Canadian industry competitiveness and efficient use of capital resources through avoidance of stranded capital. Sincerely, vip Dave Collyer President ce: Coirine MacDonald, DM, British Colombia Ministry of Environment Liz Quarshic, DM, Saskatchewan Ministry of Environment Sara Jane Snook, DM, Nova Scotia Environment Bill Parot, DM, Newfoundland Department of Environment and Conservation ~ 000013carp CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS ‘March 16, 2012 Honourable Peter Kent Government of Canada House of Commons Parliament Buildings Otawa ON KIA 0A6 ‘Dear Minister Kent Re: CAPP's Perspective on the Species at Risk Act ‘Thank you again for meeting with CAPP member and staff representatives last month in Calgary. CAPP"s Board of Govemors particularly appreciated the opportunity to discuss federal regulatory reform with you at that time, [As you are aware, CAPP has provided extensive input on the subject of broad federal regulatory refom, including to the Standing Committee on the Environment and Sustainable Development and in our submissions on the Species at Risk Act (SARA) review and the Canadian Environmental Assessment Act (CEAA) review. CCAPP’s views are founded on thee principles that we believe must fame broad-based regulatory reform: 1, Balancing the “3 “E7s” ~ Advancing environmental performance, economic growth, and energy security and reliability to achieve balanced outcomes. 2, Achieving inter and intra-governmental coordination ~Removing overlap and duplication between governments and across government departments, 3. Delivering timely and effective results - Establishing mandatory regulatory timelines, with results based on sound science. Itis in the above context that we would like to provide our current perspective on SARA, particularly as it relates to event Federal Court decisions and ongoing legal challenges, " CCAPP’s concerns with SARA can be broadly clasified in the following hierarchy: 1. The lack of socio-economic: considerations provided for within SARA. 2. The legal implementation and application of SARA. 3. Technical considerations. Since 2005, there have been 14 court cases initiated to interpret the provisions of SARA 9 heard by the Federal Court of Canada; 2 heard by the Federal Court of Appeal; 1 heard by the BC Court of Appeal and | Incard by the BC Supreme Cour. This list does not include th recent filings by Eoolusice 2100, 350-7 Averue SW. 1000, 275 Stor Sront 409,296 Water Steet Calgary. aera Cao, Oise St ots, Nevfoundand and Labrador Genade 122 he (nace KP sH9 Canace ave 186 ‘eles 257-1100 Tet e15.2962128 ‘el 70-7244200 Fan (2) 201-822 Fax 619-2364260 Fax 10-74-8205 mnccgnca communieatongspp.ce 000014Comment on SARA Reform Page 2 ‘The Lack of Socfo-Eeonomie Considerations Within SARA. The ongoing legal challenges and recent Federal Court decisions highlight how SARA, without @ ‘meaningful linkage to socio-economic considerations, is filing, SARA invites on-going legal challenges that negatively impact Canada’s economic growth and energy security and reliability, ‘without providing meaningful improvement tothe status of Species at Risk. The ambiguity of SARA, combined with the recent court decisions, has resulted in an Act that does not serve the broad public interest. This leads toa framework where, iftaken to its logical extreme, a recovery objective could be set that would designate critical habitat forthe entire pre-disturbance range of ‘species without any consideration ofthe current land use of the area. This would require changing entire landscapes that are currently under different land uses ~landscapes that are integral to the social fabric of Canada, While there is strong support for the broad purpose of the SARA legislation, this purpose must be reconciled with other values of society. The protection of all individual, Tocal populations of nationally distributed species cannot come at an inordinate cost to Canadians, ‘This tenet, of managing the protection of species at risk while protecting and advancing the public interest, is not new or unique. The International Union for Conservation of Nature (IUCN) recognizes the need for socio-economic considerations and “realism” in its recommendations on creating conservation strategies. SARA itself does allow for socio-economic considerations, but only to the extent that a Minister can consider them while making a decision on whether or not (0 lista species. This is not always done, and when itis applied itis dificult to do so in a ‘meaningful way, asthe socio-economic consideration s may not be fully understood until action planning is underway and recovery strategies are being developed. After this latter point in the process, there is no mechanism to allow for the consideration of socio-economic impacts. An iterative process, which could modify population and distribution goals and objectives in light of socio-economic implications, would be far more functional, ‘The ongoing legal challenges and recent Federal Court decisions highlight the implications of SARA having no meaningful socio-cconomic considerations. This must be addressed if we are 10 achieve balanced “3E" outcomes. ‘The Legal Implementation and Application of SARA, Asdetailed above, SARA, as itis currently written and interpreted, is ereating a space for ‘ongoing legal challenges. CAP has certainly noted an increase in the frequency of these legal challenges, which creates significant uncertainty inthe regulatory process and extends the timelines for regulatory decisions. [As you are aware, recent tigation has focused on three listed species the woodland caribou (boreal population; th Killer whale; andthe grater sage-grouse. These legal challenges have focused on attempting to compel the Minster to identity and protect eritical habitat and have also sought orders compelling the Minister to recommend Emergency Orders, Each of the lesal challenges and subsequent decisions has greatly complicated both the interpretation of the requirements ofthe Act and the predictability ofthe application ofthe Act Killer Whale Decision ‘The recent Federal Court of Appeal decision regarding killer whales upheld the lower court finding that SARA creates strict, non-discretionary protections for the critical habitat of federal species. This decision complicates the interpretation ofthe Act and limits options in the 000015lapecceesessseeeeseneneneeenseseaes — Comment on SARA Reform Page 3 implementation of SARA, as it creates an expectation of strict protection and negates any ‘management options. Specifically, the decision: 4 Precludes permitting for the destruction of Critical Habitet without considering the implications of Section 83 of SARA, which was outside the scope of matters considered by the Court of Appeal; and, 5. Concludes thatthe work of a responsible authority conducted in ftfilling ts mandatory obligations (Le, fisheries management) does not satisfy the expectation of protection for endangered species under SARA, and in so doing, separates protection and management in the context of recovery planning when the two are inextricably linked in order to achieve recovery outcomes ‘The Appeal Court's conclusions potentially seta far-reaching precedent forthe management of activities in areas designated as critical habitat for federally listed species across the county. ‘The recent, multiple challenges with regard to killer whale, sage-grouse and caribou, highlight how the uncertainty inherent in the original writing of SARA is being further compounded by court decisions. The recent legal challenges have been based on species-specific scenarios and have focused on specific sections of SARA, with th objective often being to preclude or delay industrial development. The resulting decisions, based on the limited scope ofthe challenge, have created a situation where there is now confit between other sections ofthe Act and the direction necessitated bythe decisions, creating the potential for further uncertainty and delay in the regulatory process, Technical Considerations CCAPP has reviewed the Proposed Recovery Strategy for Woodland Caribou (Boreal Population) and has provided a written submission to Environment Canada. Uhave also advised Deputy Minister Boothe of CAPP’s significant concerns regarding the workability and likely outcomes of the Proposed Recovery Strtezy. CAPP appreciates that Environment Canada is working within the latitude provided by the curent legislation, However, CAPP believes thatthe Proposed Recovery Strategy, if finalized in ts curent form, would have serious, negative implications for industrial development throughout the boreal forest region. In addition to this, in view ofthe implications ofthe most recent lgal challenges, CAPP believes that it would be premature to finalize the Recovery Strategy without subjecting ito @ Regulatory Impact Analysis, This analysis must be conducted with the same rigour that should be undertaken when considering the listing of spocies under SARA, to confirm thatthe recovery strategy is in fact “realistic” and that it wll serve the brosd public interest. In summary, CAPP supports the broad intent of SARA, in the context ofthe three principles for regulatory reform outlined earlier in this letter. However in its current form we consider SARA to be ineffective. It is not delivering balanced “3E” outcomes and its resulting in a lack of predictability and delay in the regulatory process, thereby impairing economic growth and energy security and reliability 000016Comment on SARA Reform Page 4 For these reasons, we are strongly of the view that legislative amendments to SARA are necessary as an important clement of the federal government's broader regulatory reform agenda, Regulatory reform represents an opportunity to enable economic growth and job creation through regulatory effectiveness and efficiency, while continuing to ensure responsible environmental ‘outcomes. Sincerely, am Dave Collyer President ce: Honourable Joe Oliver, Minister of Natural Resources Canada Honourable Terry Lake, Minister of Environment, British Columbia Honourable Diana McQueen, Minister of Environment and Water, Alberta Honourable Dustin Duncan, Minister of Environment, Saskatchewan Honourable Terry Freack, Minister of Environment & Conservation, Newfoundland & Labrador ‘Honourable Sterling Belliveau, Minister of Environment & Minister of Fisheries, Nova, Scotia Paul Boothe, Deputy Minister, Environment Canada “0017Environment Envronnemant Canada Canada Deputy Minister Sove-ministe MAR 13 2012 Mr. David Collyer President Canadian Association of Petroleum Producers 360 7 Avenue S.W., Suite 2100 Calgary AB T2P 3N9 Dear Mr. Collyer: ‘Thank you for your letter of January 30, 2012, and enclosure, regarding the Canadian Association of Petroleum Producers’ Guiding Principles for Hydraulic Fracturing and associated operating practices. | am also responding to your letter to the Honourable Peter Kent, Minister of the Environment, in this regard. ‘These voluntary initiatives are a positive step in improving your industry's environmental performance and increasing transparency, particularly through the disclosure of fracturing fluid additives and a move towards the use of fluids with the least environmental risk. Environment Canada is seeking to better understand the use and potential impact of fracturing fluid additives. To that end, departmental officials have begun collaborating on this issue with their counterparts in Canadian provincial and U.S. federal departments, Chemicals disclosure, in particular, has been an issue of significant public interest. Environment Canada would like io work with your organization and others to ensure that the voluntary disclosure is structured so that we can determine the environmental impact of these substances. To further inform this work, information such as all chemical additives used, their volumes, and their storage and disposal methods would be required. We are interested in meeting with you to further discuss our information requirements, and to explore opportunities for collaboration and information exchange, keeping in mind issues such as the confidentiality of business information. 12 Canada 00018To this end, my office will contact you In the coming weeks to arrange a meeting at a mutually convenient time. | look forward to working with you on this important subject. Sincerely, (aut Rue Paul Boothe 000018