Canada–Newfoundland and Labrador Atlantic Accord Implementation Act (S.C. 1987, c. 3)

Regional Security of Supply

Definition of shortfall of petroleum deliveries in the Province

• 41 (1) For the purposes of this section shortfall of petroleum deliveries in the Province means deliveries of petroleum that are inadequate to supply, on commercial terms,

  • (a) the end use consumption and feedstock requirements of industrial facilities that are in place in the Province on the day of the coming into force of this Act;

  • (b) the feedstock requirements of the refining facilities at Come-by-Chance if those facilities were operating at capacity on the day of the coming into force of this Act or any refining facility constructed in the Province to replace those facilities; or

  • (c) the feedstock requirements of any refining facility located in the Province that was not in place on the coming into force of this Act, other than a facility referred to in paragraph (b), if the feedstock requirements required to satisfy the demand of industrial capacity, on the day of the coming into force of this Act, in Nova Scotia, New Brunswick, Prince Edward Island and Newfoundland and Labrador have been met.

• Marginal note:Notice by Provincial Minister to holders of production licences

  (2) Where there is a shortfall of petroleum deliveries in the Province, the Provincial Minister may, after consulting with the Federal Minister, give notice to holders of production licences in the offshore area that the facilities in paragraphs (1)(a), (b) and (c) that are specified in the notice have, during the term of the notice, the first option to acquire, on commercial terms, petroleum produced in the offshore area unless a sales contract with respect to that petroleum has been entered into prior to the giving of the notice.

• Marginal note:Later contracts subject to notice

  (3) Any contract entered into after the giving of the notice referred to in subsection (2) shall be deemed to be varied or suspended to the extent necessary to give effect to that notice.

• Marginal note:Term of notice

  (4) The term of a notice given under subsection (2) is the period during which a shortfall of petroleum deliveries in the Province continues to exist.

• Marginal note:Arbitration in case of dispute whether shortfall exists

  (5) Where the Federal Minister or a holder of a production licence to whom a notice has been given under subsection (2) does not agree with the Provincial Minister that a shortfall of petroleum deliveries in the Province exists or continues to exist, the matter shall be referred to arbitration in the manner prescribed.

• Marginal note:Notice ceases to have effect

  (6) Where it is determined pursuant to arbitration that a shortfall of petroleum deliveries in the Province does not exist or continue to exist, the notice given under subsection (2) shall be deemed to be revoked and ceases to have effect on the date on which the determination is made.

• Marginal note:Regulations

  (7) Subject to section 7, the Governor in Council may make regulations for carrying out the purposes and provisions of this section and, without limiting the generality of the foregoing, may make regulations

  • (a) defining the expression commercial terms or providing for arbitration to establish commercial terms in any particular case;

  • (b) governing, for the purposes of this section, arbitration and the making of arbitration orders and appeals from and enforcement of arbitration orders; and

  • (c) prescribing the manner of exercising a first option to acquire that is granted pursuant to a notice given under subsection (2).

Ministerial Directives

Marginal note:Ministerial directives

• 42 (1) The Federal Minister and the Provincial Minister may jointly issue to the Board written directives in relation to

  • (a) fundamental decisions;

  • (b) decisions made by the Board respecting the exercise of a power pursuant to paragraph 56(1)(b);

  • (c) public reviews conducted pursuant to section 44;

  • (d) Canada–Newfoundland and Labrador benefits plans and any of their provisions; and

  • (e) studies to be conducted by the Board and advice with respect to policy issues to be given by the Board to the Federal Minister and the Provincial Minister.

• Marginal note:Occupational health and safety directives

  (1.1) The Federal Minister, on the recommendation of the Minister of Labour, and the minister of the government of the Province who is responsible for occupational health and safety, may jointly issue to the Board written directives in relation to

  • (a) the development of guidelines and interpretation notes with respect to occupational health and safety matters; and

  • (b) the implementation of any recommendations made by an auditor under section 205.119 or made following an inquiry under section 205.12.

• Marginal note:Directives binding

  (2) The Board shall comply with a directive issued under this section.

• Marginal note:Directives not statutory instruments

  (3) Directives issued under this section are not statutory instruments for the purposes of the Statutory Instruments Act.

• Marginal note:Notice in Canada Gazette

  (4) When a directive is issued under this section, a notice shall be published in the Canada Gazette that the directive has been issued and that the text of it is available for inspection by any person on request made to the Board.

Plan for interests

Marginal note:Plan for interests

• 43 (1) During the first month of each calendar year, the Board shall submit to the Federal Minister and the Provincial Minister a plan outlining the anticipated decisions of the Board during that calendar year respecting the making of calls for bids pursuant to Part II with respect to interests to be issued in relation to portions of the offshore area and the issuance and terms and conditions of such interests.

• Marginal note:Revised plan

  (2) Where the Minister having authority in relation to fundamental decisions, as determined under subsection 34(1) or (4), is of the opinion that a plan referred to in subsection (1) does not provide adequately for the attainment or maintenance of self-sufficiency and security of supply within the meaning of section 33, that Minister may reject the plan and where that Minister does so, shall inform the Board of the reasons for so doing.

• Marginal note:Idem

  (3) Where the Board is informed of a Minister’s rejection of its plan and the reasons therefor, the Board shall, within sixty days after being so informed, prepare a revised plan outlining the anticipated decisions of the Board referred to in subsection (1), taking into account those reasons, and submit the revised plan to the Federal Minister and the Provincial Minister.

• Marginal note:Application of subsections (2) and (3) to revised plan

  (4) Subsections (2) and (3) apply, with such modifications as the circumstances require, with respect to a revised plan submitted pursuant to subsection (3).

Public Review

Marginal note:Public review

• 44 (1) Subject to any directives issued under subsection 42(1), the Board shall conduct a public review in relation to any potential development of a pool or field unless the Board is of the opinion that it is not required on any ground the Board considers to be in the public interest.

• Marginal note:Powers of Board

  (2) Where a public review is conducted in relation to any potential development of a pool or field, the Board may

  • (a) establish terms of reference and a timetable that will permit a comprehensive review of all aspects of the development, including those within the authority of Parliament or of the Legislature of the Province;

  • (b) appoint one or more commissioners and, where there is to be more than one commissioner, appoint as commissioners persons nominated by each of the governments in recognition of the authority of Ministers of the Crown in right of Canada or of the Province under any Act of Parliament or of the Legislature of the Province, other than this Act or the Provincial Act, in relation to the development;

  • (c) if the potential development has been proposed to the Board by any person, require that person to submit and make available for public distribution a preliminary development plan, an environmental impact statement, a socio-economic impact statement, a preliminary Canada–Newfoundland and Labrador benefits plan and any other plan specified by the Board; and

  • (d) cause the commissioners to hold public hearings in appropriate locations in the Province or elsewhere in Canada and report thereon to the Board, the Federal Minister and the Provincial Minister.

• Marginal note:Powers of commissioners

  (3) On the request of the Board, the Federal Government may, subject to such terms and conditions as it considers necessary, confer on the commissioners appointed pursuant to paragraph (2)(b) all or any of the powers conferred on persons appointed as commissioners under Part I of the Inquiries Act.

• Marginal note:Time limit for Board’s recommendations on a plan

  (4) The commissioners shall make their recommendations respecting any preliminary plan or statement submitted pursuant to paragraph (2)(c) within two hundred and seventy days after their receipt of the plan or statement or such shorter period as may be set by the Board.

Public Hearings

Marginal note:Public hearings

44.1 The Board may conduct a public hearing in relation to the exercise of any of its powers or the performance of any of its duties and functions as a responsible authority as defined in subsection 2(1) of the Canadian Environmental Assessment Act, 2012.

Marginal note:Confidentiality

44.2 At any public hearing conducted under section 44.1, the Board may take any measures and make any order that it considers necessary to ensure the confidentiality of any information likely to be disclosed at the hearing if the Board is satisfied that

• (a) disclosure of the information could reasonably be expected to result in a material loss or gain to a person directly affected by the hearing, or to prejudice the person’s competitive position, and the potential harm resulting from the disclosure outweighs the public interest in making the disclosure; or

• (b) the information is financial, commercial, scientific or technical information that is confidential information supplied to the Board and

  • (i) the information has been consistently treated as confidential information by a person directly affected by the hearing, and

  • (ii) the person’s interest in confidentiality outweighs the public interest in its disclosure.

Marginal note:Confidentiality — security

44.3 At any public hearing conducted under section 44.1, the Board may take any measures and make any order that it considers necessary to ensure the confidentiality of information that is likely to be disclosed at the hearing if the Board is satisfied that

• (a) there is a real and substantial risk that disclosure of the information will impair the security of pipelines, as defined in section 135, installations, vessels, aircraft or systems, including computer or communication systems, or methods employed to protect them; and

• (b) the need to prevent disclosure of the information outweighs the public interest in its disclosure.

Marginal note:Exception

44.4 The Board shall not take any measures or make any order under section 44.2 or 44.3 in respect of information or documentation referred to in paragraphs 119(5)(a) to (e) and (i).

Canada–Newfoundland and Labrador Benefits Plan

Definition of Canada–Newfoundland and Labrador benefits plan

• 45 (1) In this section, Canada–Newfoundland and Labrador benefits plan means a plan for the employment of Canadians and, in particular, members of the labour force of the Province and, subject to paragraph (3)(d), for providing manufacturers, consultants, contractors and service companies in the Province and other parts of Canada with a full and fair opportunity to participate on a competitive basis in the supply of goods and services used in any proposed work or activity referred to in the benefits plan.

• Marginal note:Board approval of benefits plan

  (2) Before the Board approves any development plan under subsection 139(4) or authorizes any work or activity under paragraph 138(1)(b), a Canada–Newfoundland and Labrador benefits plan shall be submitted to and approved by the Board, unless it directs that that requirement need not be complied with.

• Marginal note:Particular provisions of plan

  (3) A Canada–Newfoundland and Labrador benefits plan shall contain provisions intended to ensure that

  • (a) before carrying out any work or activity in the offshore area, the corporation or other body submitting the plan shall establish in the Province an office where appropriate levels of decision-making are to take place;

  • (b) consistent with the Canadian Charter of Rights and Freedoms, individuals resident in the Province shall be given first consideration for training and employment in the work program for which the plan was submitted and any collective agreement entered into by the corporation or other body submitting the plan and an organization of employees respecting terms and conditions of employment in the offshore area shall contain provisions consistent with this paragraph;

  • (c) expenditures shall be made for research and development to be carried out in the Province and for education and training to be provided in the Province; and

  • (d) first consideration shall be given to services provided from within the Province and to goods manufactured in the Province, where those services and goods are competitive in terms of fair market price, quality and delivery.

• Marginal note:Affirmative action programs

  (4) The Board may require that any Canada–Newfoundland and Labrador benefits plan include provisions to ensure that disadvantaged individuals or groups have access to training and employment opportunities and to enable those individuals or groups or corporations owned or cooperatives operated by them to participate in the supply of goods and services used in any proposed work or activity referred to in the benefits plan.

• Marginal note:Duties of Board in reviewing plans

  (5) In reviewing any Canada–Newfoundland and Labrador benefits plan, the Board shall consult with both Ministers on the extent to which the plan meets the requirements set out in subsections (1), (3) and (4).

• Marginal note:Directives

  (6) Subject to any directives issued under subsection 42(1), the Board may approve any Canada–Newfoundland and Labrador benefits plan.

Coordination of Government Departments and Agencies

Marginal note:Coordination

• 46 (1) The Board shall, to ensure effective coordination and avoid duplication of work and activities, conclude with the appropriate departments and agencies of the Government of Canada and of the Government of the Province memoranda of understanding in relation to

  • (a) environmental regulation;

  • (b) emergency measures;

  • (c) coast guard and other marine regulation;

  • (c.1) aviation regulation;

  • (d) employment and industrial benefits for Canadians in general and the people of the Province in particular and the review and evaluation procedures to be followed by both governments and the Board in relation to such benefits;

  • (e) occupational health and safety; and

  • (f) such other matters as are appropriate.

• Marginal note:Idem

  (2) The Federal Minister and the Provincial Minister shall be parties to any memorandum of understanding concluded in relation to a matter referred to in paragraph (1)(d).