Third Session, 42nd Parliament (2022)
OFFICIAL REPORT
OF DEBATES
(HANSARD)
Monday, April 25, 2022
Afternoon Sitting
Issue No. 187
ISSN 1499-2175
The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.
CONTENTS
Routine Business | |
Office of the Auditor General, independent audit report, Ensuring
Long-Distance Ground Transportation | |
Orders of the Day | |
Proceedings in the Douglas Fir Room | |
MONDAY, APRIL 25, 2022
The House met at 1:35 p.m.
[Mr. Speaker in the chair.]
Routine Business
Introductions by Members
Hon. G. Heyman: B.C.’s conservation officers are very dedicated public servants, women and men who care very deeply about protecting our environment, fish and wildlife, ensuring that our communities and natural environment are safe and protected. They also play a critical role in educating and interacting with members of our community.
Today we’re celebrating the 2020 B.C. Conservation Officer of the Year, the late Sgt. Steve Ackles. Sergeant Ackles passed away in 2021 after a lengthy illness, but his unmatched dedication to the work and to our province lives on in his son Kyle Ackles, who followed in his father’s footsteps and became a conservation officer as well.
I’m very pleased to have Sergeant Ackles’ wife, Sherri, here with us today, along with their children Kyle and Ashley, and Sergeant Ackles’ mother, Kay.
Also joining us today is Blake Parker, the 2019 Conservation Officer of the Year, an exemplary leader who also pursued a career in the COS because of his father’s work. Blake is here with his partner, Melissa Lagace. Blake is based out of Fort St. John and is an accomplished officer with extensive back-country and leadership experience.
Will the members please join me in making our guests very, very welcome.
Hon. A. Dix: Today in the noon hour, members on both sides of the House gathered in the Hall of Honour to commemorate Armenian Genocide Memorial Day with the Armenian-Canadian community in B.C. I’m grateful to the member for Richmond North Centre and the member for Saanich North and the Islands for also speaking and joining me, as well as the many members of the Armenian community who came here and the many members of the Legislature who took part.
As members will know, yesterday was the 107th anniversary of what is seen as the beginning of the Armenian genocide, the rounding-up in Constantinople, or Istanbul, of Armenian community leaders and intellectuals. You will know, hon. Speaker, that over the following eight years, 1.5 million Armenians were killed in the genocide.
We come together both to acknowledge the legacy of those people and the legacy of those events, of people killed for who they were, and to acknowledge the strength and force of the Armenian-Canadian community, which has, I think, over the last two decades, in particular, changed minds and changed understanding around those questions.
I want to thank all members of the House. You know that we all joined together in 2006 as a Legislature to unanimously recognize the Armenian genocide as a crime against humanity. Its denial is a crime against humanity as well. I’d like everyone to wish members of the Armenian-Canadian community welcome.
T. Wat: In the House today is my dear friend and alumnus from the Chinese University of Hong Kong, Riso Kan, and her better half, Brian Fung. They arrived from Hong Kong a week ago, and they are visiting our beautiful British Columbia in preparation for their next chapter of life in Vancouver.
They are here to learn about our diverse culture, our community and the business opportunities in Canada. They look forward to contributing to our vibrant society.
Please join me in welcoming Riso and Brian from Hong Kong.
H. Yao: I want to take a moment to wish one of my constituents, Nicole Lemtke, a happy 75th birthday. She celebrated her birthday on April 22, 2022, and since we had so many difficult years, I really wish her family and friends can come together and have a really great celebration to celebrate all the difficult times and all the happy moments as well.
Hon. A. Kang: In the gallery today, we have members of the Vancouver Bubble Tea Festival. This is their premiere festival this year, and it will be a very fun one. As many of us know, we love bubble tea in all its different flavours. It will be taking place July 22 and 23 in Burnaby, Central Park’s Swangard Stadium.
In the gallery today are Eric Yang, founder and chairperson of Vancouver Bubble Tea Festival; Ruskin Chiang, the vice-chair and also the founder of Dr. Restaurant Consulting Group; Wayne Hsu, the event director and also the founder of Kiwi Productions, which specializes in event planning, photography and videography. He’s a YouTuber, a music producer and also a DJ.
Jennifer Chen is the deputy event director. She also founded CLC Global Consulting and has a mandate to assist corporations, institutes, non-profit organizations and individuals to create memorable events through creative lifestyle collaboration.
There’s William Yu, who was executive director of the festival. He is also the CEO and owner of City Vancouver Academy high school, which is located in Richmond.
Last but not least, Liga Lin is the director responsible for events planning, and she is the owner of New Joy Postpartum Care centre.
Would everyone please help me make them feel very welcome.
Hon. J. Osborne: It gives me great pleasure to rise today and virtually introduce and pay tribute to Mary Toshiko Kimoto. This past weekend Mary attended the 34th annual general meeting of the Ucluelet and Area Historical Society, where she was honoured by the society, by Ucluelet and by Ucluelet First Nation community members for her 34 years of service as a board member and a volunteer.
Her service goes back much further than 1988, when the society was founded. In fact, it goes back to 1951, when she moved to the west coast with her husband, Tom, who had been a fisherman until he was forcibly removed during the Japanese-Canadian internment in 1942. In 1951, the family relocated to Ucluelet. Since then, she has been an active volunteer, dedicated to ensuring that the history and the culture of Japanese Canadians in the west coast region is documented, preserved and shared.
This is critical to the lasting recognition and reconciliation efforts of her, the society and, indeed, across British Columbia. Mary goes about her work quietly. She never seeks acknowledgment. Her work continues to this day, in her 100th year. Her friends and colleagues describe her as their matriarch and inspiration, and she is truly an inspiration to all of us.
Would the House please join me in welcoming Mary and thanking her for her years of service.
Introduction and
First Reading of Bills
BILL 21 — PROFESSIONAL GOVERNANCE
AMENDMENT ACT,
2022
Hon. D. Eby presented a message from Her Honour the Lieutenant-Governor: a bill intituled Professional Governance Amendment Act, 2022.
Hon. D. Eby: I move that Bill 21 be introduced and read a first time now.
I am pleased to introduce Bill 21, the Professional Governance Amendment Act. The bill provides necessary amendments to the Professional Governance Act, which sets the general parameters for professional governance in British Columbia, including the establishment of the office of the superintendent of professional governance.
The proposed legislative amendments included in the bill are based on operational experience and are necessary to ensure that the Professional Governance Act functions properly. This includes the option of an external funding source that can provide the office of the superintendent of professional governance with appropriate resources to achieve the purpose of the Professional Governance Act.
Following requirements in the Declaration on the Rights of Indigenous Peoples Act, measures have been taken in these amendments to ensure consistency with the declaration on the rights of Indigenous peoples by confirming that professional-reserved practices do not impact Indigenous traditional knowledge and practices.
The proposed amendments also draw from recommendations made in recent reviews of professional governance models in B.C. health and legal professions to reflect ongoing development in governance best practices.
Mr. Speaker: The question is first reading of the bill.
Motion approved.
Hon. D. Eby: I move that the bill be placed on the orders of the day for second reading at the next sitting of the House after today.
Bill 21, Professional Governance Amendment Act, 2022, introduced, read a first time and ordered to be placed on orders of the day for second reading at the next sitting of the House after today.
BILL M207 — HOME-BASED
CRAFT FOOD 2.0
ACT
I. Paton presented a bill intituled Home-Based Craft Food 2.0 Act.
I. Paton: I move that the bill intituled Home-Based Craft Food 2.0 Act, of which notice has been given in my name on the order paper, be introduced and read a first time now.
Over the past two years, our province has rallied together in support of shopping and eating local. More and more British Columbians want to purchase fresh local food from members of their own community while strolling through one of our amazing farmers markets. Across British Columbia, we have farmers, families and individuals who want to foster their entrepreneurial spirit and start a new business, selling delicious, low-risk food products like jams, honey, candy, bread, jerky, etc. By selling these food products right from their own homes and farms, they can earn extra money to support themselves and their families.
If these individuals want to sell their products anywhere other than a farmers market, however, they are subject to rules and regulations that would simply not be feasible for a small home operation. This is why I’m reintroducing the Home-Based Craft Food 2.0 Act, which I first brought forward in 2020. The act would allow small home-based businesses to make and sell low-risk food products by simply obtaining a local business permit and FoodSafe level 1 certification.
This legislation will open up new opportunities, allowing farmers to increase their incomes and bolster our province’s food security. By allowing these microbusinesses to grow and thrive in B.C., we can enrich the food landscape in this province and collectively enjoy high-quality homemade foods.
Mr. Speaker: Members, the question is first reading of the bill.
Motion approved.
I. Paton: I move that the bill be placed on the orders of the day for second reading at the next sitting after today.
Bill M207, Home-Based Craft Food 2.0 Act, introduced, read a first time and ordered to be placed on orders of the day for second reading at the next sitting of the House after today.
Statements
(Standing Order 25B)
COLLABORATION
S. Chant: I’m speaking to you today from the traditional, unceded territory of the Tsleil-Waututh, Squamish and Musqueam Nations. I gratefully acknowledge the opportunity to live, learn and work here.
Last week I had the opportunity to meet with the 3rd Seymour Pathfinders, a group of young women, ages 13 to 15, involved in the Girl Guides of Canada program. They were working on their Canada Cord Citizenship Certificate, a component of which was to meet with and talk to a female politician at the local, provincial or federal level. I felt really honoured that they chose me.
As we spoke together, I realized that as parents, teachers, guiders, coaches or any other adults that work with kids, we try to teach, demonstrate and foster the spirit of consultation, cooperation and collaboration. As the girls spoke, I saw these characteristics modelled. Yet sometimes as adults, these skills are lost or subsumed in the effort to get things done.
As a team member on many teams throughout my lifetime, I’ve had the opportunity to provide feedback innumerable times. Mostly it was because something needed to change. At some point, I figured out that there was a significant difference between consultation, cooperation and collaboration.
In these circumstances, consultation usually meant seeking feedback on the current state and then validating the current state. Cooperation usually meant agreeing to do something that was somebody else’s plan, and collaboration usually meant initial consultation, inclusion in planning and implementing for a future state and then continuing to work together to ensure the plan is workable and achieving the hoped-for results. Collaboration takes increased time, energy and logistics. However, the end product is more satisfactory to all.
I want to thank the 3rd Seymour Pathfinders for the reminder that consultation, cooperation and collaboration are lifelong skills that can be brought to all tables and always are of benefit.
EARTH DAY AND HUMAN
RELATIONSHIP WITH
EARTH
R. Merrifield: A two-minute walk from my front door in Kelowna, I can find fresh air, a warm breeze, rustling leaves, the crunch of branches underfoot, the view of the lake, the sights of the valley and the sun on my face. I restore a part of my soul.
Recently I heard an Indigenous woman speak of how desperately we needed our earth yet how our earth did not need us. Our need echoes in our search for the outdoor spaces and the food that it produces for us.
These last few years have taught us how valuable nature is and how much we rely on it. When we do not care for Mother Earth well, she despairs. We heard her cries as the heat dried up our plants, how the fires roared through our forests, how our food supply in the Sumas Prairie was threatened further by floods and how those flood waters changed the landscape forever.
With the warning signs of climate change all around us, we need to listen to Mother Earth’s warnings. This Earth Day reminds us that there is much work to do. The theme of “Invest in our planet” needs to be heard and offers an opportunity for all to look at what we can do, on an individual level as well as a collective society. We need to continually move forward to a more sustainable tomorrow and work for a better future for all. Our earth is groaning, and we need to pay heed.
I leave you with the words of Emily Dickinson in her poem “Nature Is What We See.”
Nature is what we see,
The hill, the afternoon,
Squirrel,
eclipse, the bumble-bee.
Nay — nature is Heaven.
Nature is what we
hear,
The bobolink, the sea,
Thunder, the cricket.
Nay — nature is
harmony.
Nature is what we know,
But have no art to say,
So
impotent our wisdom is
To her simplicity.
BIGCOAST FOREST CLIMATE INITIATIVE
A. Walker: It is my pleasure to recognize Mosaic Forest Management, which, like many B.C. leading companies, has committed to playing their part to fight climate change.
Their recently launched BigCoast forest climate initiative will conserve some of B.C.’s oldest trees, while helping meet the ambitious greenhouse gas reduction targets set out in CleanBC. By deferring the harvest of 40,000 hectares of old forests on private land throughout Vancouver Island, Haida Gwaii and coastal British Columbia for the next 25 years, and potentially longer, Mosaic is helping capture and store more than ten million tonnes of carbon.
The impacts of climate change are all around us, and it is important for all British Columbians to work together. This is a great example of how B.C.’s private forest owners can play an important role in achieving the targets laid out in the CleanBC Roadmap to 2030.
I want to highlight the BigCoast forest climate initiative’s commitment to working with First Nations to confirm the most important ecological and cultural sites and their commitments to using part of the proceeds from the sale of carbon credits to support Indigenous protected and conserved areas, IPCAs, and to support research of the Pacific Salmon Foundation to help salmon and their ecosystems adapt to climate-related challenges across coastal British Columbia.
Forested watersheds are the connections between land and sea. They are an integral part to the health and sustainability of many different types of B.C. wildlife. This initiative by Mosaic is an innovative example of how a private company can benefit communities, the environment, First Nations, all while maintaining their place in a highly competitive forest industry.
Will the House please join with me in recognizing the work of Mosaic Forest Management and their innovative BigCoast forest climate initiative.
FUNDRAISING ACTIVITIES OF
JONATHAN
YEUNG
J. Sturdy: Today I’m pleased to recognize Jonathan Yeung, a young man living in West Vancouver–Sea to Sky who’s been finding creative ways to raise money to help those in need since he was all of seven years old.
Jonathan’s first charitable action was working to raise funds to provide meals to some of Hong Kong’s poorest residents, before he and his family moved to Canada in 2016. With the onset of COVID-19, Jonathan decided he wanted to support the exhausted front-line health care workers.
He started by using his $70 life savings to purchase healthy snacks and electrolyte drinks for the team at Lions Gate Hospital. Through his efforts to promote the fundraiser, he reached out to the community and sponsors and was able to expand and maintain the snack drive for over a year, all to the benefit of health care workers.
Ahead of Christmas 2020, Jonathan and a friend started a toy and tablet drive for children being treated at B.C. Children’s Hospital, children who had been isolated or were being isolated due to COVID-19. Through their efforts, they managed to collect 159 tablets, over 1,000 toys and $14,000 in donations.
Thanks to his leadership and community outreach, Jonathan and his team repeated the toy and tablet drive in 2021 with even more impressive results.
On behalf of this House, earlier this year I was privileged to present Jonathan with a British Columbia Medal of Good Citizenship. His growing list of accomplishments, his drive to serve his community and contribute to the betterment of society, at the ripe old age of 12, is truly an inspiration. Certainly Jonathan is a leader of today and clearly a young man to keep an eye on.
I’m sure this House will join me in recognizing Jonathan and thanking him for being such a remarkable citizen of British Columbia.
TOTEM POLE AND CEREMONY
AT TILLICUM
LELUM
D. Routley: I am very pleased to be able to speak today and share with the members an experience I had last Friday in Nanaimo, when I was invited to a ceremony honouring a new totem pole at the Tillicum Lelum Friendship Centre.
This was the most moving ceremony, as this pole is standing in honour of missing and murdered Indigenous women and girls. It’s a beautiful pole of an Indigenous matriarch blanketed in white, with a copper pin joining the blanket — the pin signifying the possession of knowledge and wealth and the wealth of knowledge — standing with an eagle above her head, lifting her spirit into the world to which she has gone and out of the suffering.
It was so moving to attend this ceremony. I was invited by a most wonderful person, Order of B.C. recipient Grace Nielsen, an absolutely spectacular person, who has done so much for urban Indigenous people through the friendship centre but also firsts throughout B.C. She established the first dedicated Indigenous health centre, the first Indigenous adult basic education program and the first Indigenous traditional Elder and youth housing project in B.C.
It’s with such honour that I was able to attend this ceremony. Grace is a most wonderful person. The power of the ceremony was great, but it was like a roller-coaster ride, with a physical wave through everyone as we watched several female eagles circle over the ceremony, chased by a few hawks. This was a most moving celebration.
I would like to thank Grace Nielsen for her many contributions to our province and to the urban Indigenous population of Nanaimo.
Thank you, Grace.
Thank you, Tillicum Lelum.
PUI YING CHRISTIAN SERVICES SOCIETY
T. Wat: One of the things we, as British Columbians, pride ourselves most on is our diversity. I’m pleased today to recognize a community organization for its role in promoting multiculturalism in the greater Vancouver area.
Since 1992, the Pui Ying Christian Services Society has enriched people and community by educating and promoting Canadian and Chinese culture. I just learned that my colleague from Vancouver-Langara…. His children are also studying in the Pui Ying Christian Services just now.
Through the Chinese language program, Pui Ying serves 1,000 families across 21 Chinese schools in Vancouver, Burnaby, Coquitlam and Richmond. As a mother and grandmother, I greatly admire Pui Ying’s mission. I know how important it is to ensure our children learn their heritage language and develop cross-cultural skills.
I would also like to commend Pui Ying for their dedication to welcoming new British Columbians. Through English and citizenship classes as well as lessons in art, music and wellness, Pui Ying helps newcomers settle and thrive in our community. This not only helps newcomer adults improve their communication skills but also supports a greater sense of belonging. I’m very thankful for the role Pui Ying has played in nurturing a harmonious, multicultural community.
Mr. Speaker, 2022 marks Pui Ying’s 30th anniversary of promoting Canadian economy and culture, both locally and internationally, and there is much to celebrate. Please join me in extending a warm congratulations to the Pui Ying Christian Services Society and a sincere thank-you for everything they are doing for us.
Hon. J. Horgan: I seek leave to make an introduction.
Leave granted.
Introductions by Members
Hon. J. Horgan: It doesn’t seem like two years has gone by since the scrum of the earth was here to ask us questions as we walked down the hallways, yet here they are, back again. The press gallery here, resplendent in their denim and other accoutrements, have brought their cameras, have brought their microphones.
All of us, all 87, are on point at any moment of the day, and I think that’s good for democracy. It’s good for the media, and it’s good for all of us as individuals.
Be wary, people. They’re out there. They have cameras. They have recording devices, and they’re coming for you, each and every one of you.
The other introduction I want to make, as exciting as it is to have the media back in the Legislature…. I was on my way to our caucus briefing before question period, and I came upon a father and his son, who were excited to be here in Victoria, at the provincial capital.
His name is Duncan. He’s turned ten years old, and dad said, for his tenth birthday, he could come to Victoria. Now, that in and of itself is not such a big deal. But he came all the way from Kingston, Ontario.
We talked about young people who have got their eye set on better community service and working to make life better for all of us. I’m pretty confident that Duncan could be on that list.
Would all of you please make Duncan and his father, from Kingston, Ontario, very, very welcome.
Oral Questions
COST OF LIVING
AND AFFORDABILITY ISSUES
M. Bernier: Look, life has never been more expensive in British Columbia. People deserve better than what we seem to have, under the Premier’s secret plan. I’m not sure what he’s doing here to work on inflation, but costs in B.C. are higher than ever.
The latest inflationary data shows that things are getting even worse, not better, here in British Columbia. With the cost of living now…. It’s jumped up almost 6 percent over last year. So while the Premier seems to have no problem solving the inflationary problems for himself and cabinet with a $40,000 raise, he’s doing nothing right now to help the people who, in British Columbia, are suffering with all these extra costs.
This is what the Premier said last Thursday. “The Minister of Finance has been directed by me to look at efforts to bring forward initiatives to assist with inflation. Well, we’ll see how that goes.” That sure doesn’t sound very much like a commitment from this Premier to do anything. I’ll give the Premier another chance.
What is the Premier going to do now to address the inflationary costs that are hurting people in British Columbia?
Hon. J. Horgan: I appreciate the question from the critic from Peace River South.
Our objective as members of this House is to make life better for our constituents. We’ve been, of course, doing that, Mr. Speaker, as you know, since 2017, when the first order of business was to do away with tolls on bridges that were put in by Kevin Falcon at the time.
The second thing we did was fix the dumpster fire at ICBC. That led to not one, not two but three rebates to policyholders as well as a 20 percent reduction in costs. It’s not just the travelling public that have benefited from these policies. The aforementioned medical services premiums are gone completely. They do not exist in British Columbia.
Kevin Falcon indexed them annually so they would go up year over year over year. That was their solution to inflation — to introduce an inflationary tax on regular people. We’ve done away with all of that.
We’ve reduced costs for child care. We brought in a child opportunity benefit. I appreciate that the grandmothers…
Interjections.
Mr. Speaker: Members. Members, order.
Hon. J. Horgan: …and -fathers on the other side…. They’re past their child-raising years. As grandparents, they will know that their children are ecstatic to have access to a child opportunity benefit. They can raise their kids here in British Columbia with $1,600 more in their pockets.
Again….
Interjections.
Mr. Speaker: Members. Members.
Hon. J. Horgan: Clearly, international inflation is a hot-button issue for the members from Surrey. They must be just crestfallen that the people that they represent no longer have to pay tolls to drive around in the Lower Mainland.
Mr. Speaker: Member for Peace River South, supplemental.
M. Bernier: A non-answer from the Premier on what’s affecting people today right now — a 6 percent increase in inflation. The Premier said that the minister was going to work on something, but we don’t know what that is — obviously, a secret plan from this Premier.
Look, house prices have gone up $600,000 under this Premier’s watch. Renters are paying $3,000 a year more under this NDP government — still no renters rebate.
While the Premier, again, has no problem giving a retroactive pay increase for himself and cabinet, $40,000, think about this. Nearly half of the people in British Columbia are only $200 away from not being able to pay their bills every month.
The NDP took care of themselves, but they weren’t able to take care of the renters with a renters rebate. They’ve done nothing to lower housing prices, which they promised to do. Now it looks like they’re just going to skirt over and do nothing to help with the inflationary pressures that are hitting the people of British Columbia today.
Will the Premier be more specific about now, what he’s going to do now? What direction has he given the Minister of Finance, and what will British Columbians see that will help them today?
Hon. J. Horgan: Again, I know that this is a fact-free zone when it comes to the official opposition. They know full well the compensation rates have not changed at all in British Columbia. They’re the same now as they were before.
They’re the same now as they were before.
Interjections.
Mr. Speaker: Members.
Hon. J. Horgan: I appreciate that’s difficult for them to understand.
Interjections.
Mr. Speaker: Members.
Hon. J. Horgan: I appreciate that they would prefer to rely on stunts from the Preston Manning era, rather than good government. Fair enough.
I commend them to review a book written by one of their former colleagues, George Abbott, who talked about the yanking back and forth of tax policies that was under the watch of the other guys, all for a stunt. Instead, we’re focusing on people.
I absolutely understand the challenges and the hardships that people are facing as we come out of a pandemic that constrained economic activity across not just the province but the country and, indeed, around the world.
Only B.C. Liberals would be so filled with hubris that they would think that British Columbia is the only place that’s experiencing inflation right now. It’s not. This is a global phenomenon…
Interjections.
Mr. Speaker: Members.
Hon. J. Horgan: …that does not require the narrow thinking of B.C. Liberals but expansive thinking like that on this side of the House, focused on making life better for people rather than scoring political points with misinformation.
Mr. Speaker: Members, please. When a question is asked, the other side listen. When the answer is given, the other side listen. Let’s pay attention to each other.
P. Milobar: Here in 2022, when people are faced with $200 left in their bank account and not being able to pay their bills, the Premier had no problem rushing his retroactive pay, which, in fact, will see a cheque in his bank account long before any relief is seen for people with their rebate cheque around the price at the pumps. The Premier has repeatedly promised to make life more affordable, but he just simply hasn’t.
Under the NDP, housing and rents are up at record levels. The cost of gas has doubled. In fact, gas is around 50 to 60 cents more expensive in B.C. than it is in Alberta, where it gets shipped from to B.C. The cost of groceries is up almost 20 percent. On Thursday, the Premier said: “The minister has been working on inflation initiatives for months, and will continue to work on it for the days ahead.”
Working on it. No actual solution and no deliverable. There are families who don’t know how they’re going to pay for their groceries tomorrow morning, yet the Premier and this government are dragging their feet trying to bring forward any actual meaningful results for people.
Will the Premier be clear? What is he going to do about inflation, and when will they actually do it?
Hon. S. Robinson: Well, I know that the members do understand — I actually do think they understand — that this is a global issue. There are many people around the world in many jurisdictions around the world that are worried about rising costs for necessities like food and housing. It’s especially hard on people who are struggling. There’s no doubt about that.
The federal government and the Bank of Canada have the tools to combat inflation directly, and our government has always been committed to reduce costs for British Columbians. We’re going to continue to do that very important work.
Interjections.
Mr. Speaker: Members.
Member for Kamloops–North Thompson, supplemental.
P. Milobar: Well, there are jurisdictions around the world and around this country that are actually trying to take meaningful action at the same time.
The fact is that life has never been more expensive as it is now under this NDP government. People are paying more for everything. Beef and butter are up 32 percent. Fresh vegetables are up 24 percent. And gas — almost 70 cents more a litre under the NDP.
While the NDP cabinet has had no problem acting very quickly to give themselves that raise — a retroactive raise, I might add — the Premier refuses to even say when he will help British Columbians. In fact, this is what he said last week. This is how little urgency they have on this subject. This is what the Premier said last week: “I don’t want to say we’ll have something to say in a few weeks, because then the questions will start tomorrow.”
People need help now. They need answers now. They don’t need to wait a few more weeks to maybe, possibly, find out the government is going to have nothing to say.
Again, what is the Premier going to do, and when is he going to do it? People are $200 away from not paying their bills every single month. They can’t wait.
Hon. S. Robinson: Well, instead of giving tax breaks to the wealthy and large corporations, we’ve been using that money to help average British Columbians.
We have a child opportunity benefit, up to $133 a month in people’s pockets; and $500 off of their car insurance, on average, after we cleaned up the dumpster fire.
Interjections.
Mr. Speaker: Members.
Hon. S. Robinson: And you know what’s going to happen this year?
Interjections.
Mr. Speaker: Members, please.
Hon. S. Robinson: This year, by the end of the year, a 50 percent reduction in child care fees, which is huge for families.
ACCESS TO FAMILY PHYSICIANS AND ROLE
OF URGENT AND PRIMARY
CARE CENTRES
S. Furstenau: The family doctor crisis in our province is top of mind for a lot of people right now. There are 900,000 British Columbians without primary care. Those who are with it are finding their access increasingly cut back, and 40 percent of British Columbians are afraid of losing their family doctor.
This government has opened 27 urgent and primary care centres as their solution to this crisis. They’re quick to open them, but many lack funding plans and adequate staffing. They’re open limited hours. They fill up quickly, and there is gatekeeping over who can use them. They’re meant to deliver care for people who are in urgent need. They are demonstrably not the solution for the family doctor crisis. The minister said as much on CBC radio last week when he said: “While urgent care is important, the key thing is to build access to primary care.”
My question is to the Minister of Health. We hear that there have been one million visits to UPCCs, but there are two other numbers that are essential for understanding the complete picture. How many of those million visits were to access primary care, and how many people have been turned away from UPCCs?
Hon. A. Dix: Since 2018, the government has pursued a primary care plan, which seeks to reform primary care in our province by building team-based care in every part of our province. The principle initiative has been what’s called the primary care network, which supports existing primary care providers and expands their capacity to attach — in other words, to serve more patients in a longitudinal way over a number of years and visits but also to provide better access to urgent care.
So 54 primary care networks, which represent the lion’s share of the new staff that have been added, which is 950 across British Columbia…. Yes, 27 urgent and primary care centres have served over one million people. During the pandemic, those urgent primary care centres were essential in British Columbia because of the absolute transformation of our primary care system that happened on a dime in 2020. They have played a central role.
They’re not the only part of the plan. We have added new community health centres. We’ve added new residency positions. We’ve added dramatically — I mean dramatically — three times the number of nurse practitioners serving in primary care than have ever served before. This is an effort to do that. We have to continue to do that, and we will.
Mr. Speaker: Leader of the Third Party, supplemental.
S. Furstenau: I think there’s an interesting trend that we see with this government, particularly when it comes to health care, which is a lot about the inputs but not much about the outcomes.
We have gone from 700,000 unattached patients in this province to 900,000 unattached patients. We’re hearing doctors talk about leaving their practices because the burden on them is too great when they’re dealing with fee-for-service and having to run a small business in addition to caring for their patients.
I applaud the minister’s sense of urgency, but I think what we have to start measuring are the outcomes. I didn’t get an answer to my question about how many people have been turned away from UPCCs and how many people that visited UPCCs were actually accessing primary care.
My question, again, is to the Minister of Health. How many British Columbians have been attached to a family doctor through a visit to an urgent and primary care centre?
Hon. A. Dix: The member speaks of outcomes. I’d just say this. This is a transformation that’s occurred on fee-for-service. In addition to that, we have added the number of APP doctors, alternate payment doctors, in the amount…. It’s 15 percent a year in each of the last three years — 15 percent a year. We are transforming the system.
The member is right. This is primarily a fee-for-service system, unusual in Canada — that 80 percent of primary care billings are fee-for-service. That has happened over time, over multiple governments. That’s where we are today — 80 percent.
During the pandemic…. Talk about the response of the primary care system and the response of the government. In 2018, there were over 16.5 million primary care visits. In 2021, in the full year during the pandemic, there were 18.43 million.
Now, that was a dramatic increase, but it hides the real story, which is that we had to and family doctors had to, on a dime, change the system such that there were over 647,000 virtual visits in 2018 and 13 million virtual visits in 2021. This transformation has happened, and it has had a significant effect, including on patients, many of whom struggle with the lack of in-person visits.
This has been an extraordinarily challenging time, and I want to acknowledge the exceptional work done by family practice doctors and others. But in that context, the million in-person visits at UPCCs have been incredibly valuable, and I don’t think that criticizing them is the right approach. They are part of the answer. No one ever said that they were the whole answer. I don’t agree with that.
Interjections.
Mr. Speaker: Members.
Hon. A. Dix: At a time we needed more in-person visits, we delivered a million through UPCCs. That was important, and I want to thank everyone in the system — doctors, nurse practitioners, health authorities and the Ministry of Health — for the work they’ve done together to serve people in the most difficult of times.
ACCESS TO FAMILY PHYSICIANS
AND PRIMARY HEALTH CARE
SERVICES
S. Bond: We need to be very clear about something. No one in this House is criticizing the unbelievable work of health care professionals across British Columbia. No one.
To the minister’s point about what’s dramatic, here’s what’s dramatic. Nearly one million British Columbians do not have access to a family doctor, and somehow that’s acceptable to the minister. British Columbians want a relationship with a family doctor. It is shocking to think that, in British Columbia, one in five British Columbians — a number that has, by the way, dramatically worsened since 2017 — have no family doctor.
The minister tells them to go to a walk-in clinic. Well, guess what we discovered. This week we discovered that British Columbia has the worst wait times in Canada at walk-in clinics. The average in Ontario is 15 minutes. It is two hours and 41 minutes in the Premier’s backyard. At 8:20 this morning, every single urgent and primary care centre in Victoria was already at capacity and not taking patients. The only walk-in clinic left had a four-hour-and-30-minute wait time. This is simply not good enough in British Columbia.
The minister can spout numbers all he wants. What British Columbians want him to do is work to ensure that they can have a relationship with a family doctor.
What exactly is the Premier going to do about the fact that one in five British Columbians have no access to a family doctor or are waiting hours in line at walk-in clinics?
Hon. A. Dix: There were a series of statements said by the member. I was referring to the criticism of UPCCs, not of health care workers, for members of the opposition. She made a series of statements that she put in my words that I’ve never said and that I don’t believe. I’m not sure if that’s helpful to the debate, frankly. I just disagree with it. I just say that frankly to the member.
What I would say is that what is required in our primary care system is significant reform. We have, in B.C., an unusual primary care system. We have one that is more fee-for-service than anywhere else. We have more people coming to British Columbia than from anywhere else. And how have we responded? We’ve responded with a very significant investment in team-based care such that there are 950 more people working in primary care networks, 300 of them in urgent and primary care centres across the province to provide more service to people.
We’ve just been through a more than two-year pandemic, so far, that’s changed primary care more than any other part of health care, more than acute care and more than long-term care, in fact. We are working our way through that. I would say that, in that period, we’ve added more than 600 family practice doctors. We have the largest family practice residency program in Canada. That’s because we added 60 new positions since 2017.
We have to continue to do this work together, because I agree. Access to longitudinal care, particularly for those with chronic diseases and those who are older, is absolutely critical. That’s a priority for this government. It’s been a priority for me from the beginning, and it continues to be now.
Mr. Speaker: The Leader of the Official Opposition, supplemental.
S. Bond: Well, the minister makes it sound like he just figured this out yesterday. This is a two-term, half-decade government.
British Columbians are concerned. In fact, many British Columbians feel hopeless that they will ever have the ability to have a family doctor under this government’s leadership. People feel hopeless.
Let’s listen to the words of Jacqueline Brand, who said: “I don’t have a family doctor anymore since the James Bay clinic closed. I am 73 years old. I need my prescription filled. I need it soon, and I don’t know where to go.”
Here’s what we do know: one in five British Columbians do not have a family doctor. The minister says: “Go to a walk-in clinic.” They wait for hours. Our numbers are the worst in the country.
In fact, when the Premier was asked about this issue last week, what did he do? What he typically does. He blamed Ottawa. It is long past time….
Interjection.
S. Bond: The Premier can laugh and shake his head. It is not funny to the one in five British Columbians who can’t access a family physician. He should check it out in his own backyard, as recently as this morning, when they couldn’t get in to an urgent primary care centre.
When is the Premier going to do the work that is necessary to ensure that British Columbians have hope that, someday in this province, they will have access to a family physician — or have to wait for hours in line at a walk-in clinic?
Hon. A. Dix: Again, the point the Premier was making was a point, by the way, that his predecessor had made with respect to the Canada health transfer. It’s a point that has been made that the decision of the federal government, which is a unilateral decision in 2016, to fix increases in the Canada health transfer well below the rate of inflation has an impact on health care everywhere in the country. The Premier is leading the effort nationally on behalf of British Columbians and people across Canada. There is a role for everyone in that process.
When I became Minister of Health, 83 percent of primary care billings were fee-for-service in B.C. The number was 46 percent in Ontario. That requires a change. It requires a change because the fee-for-service model, which supports volume, doesn’t reflect the needs of the increasing complexity of patients. I know the member knows this. We’ve talked about it many times, we’ve discussed it many times, and she has made the point many times.
How do we address this? We address this by building out team-based care — 950 new FTEs, full-time people, in primary care networks across B.C. We do it by adding new models of care, including community health centres and Indigenous and First Nations–led health centres in British Columbia. We do it that way.
We do it by training and having more residency positions. And we have. We do it by moving from last in Canada in nurse practitioners to the fastest-growing place, the centre, of nurse practitioner primary care in the country. That’s how we do it. We do it by building out team-based care.
This was a significant issue when I became Minister of Health. We’ve just had a two-year pandemic that was profoundly affecting primary care, and we’re continuing to work at it with our partners in the system: doctors in British Columbia, health professionals in British Columbia and communities in B.C.
B. Banman: B.C. has the longest wait times in the country by far. Ontario has figured it out. Their wait time is 15 minutes.
Interjections.
B. Banman: The opposition can think that’s funny. I don’t think people standing in lineups for hours think it’s funny.
B.C. was the only province to see an increase. The wait times are now up over 50 percent on this NDP watch.
Wait times are skyrocketing, clinics are shutting down, and doctors are leaving their practices. We have a system that is under crisis underneath this NDP government.
In Maple Ridge this morning, the Cottonwood Medical Clinic was at its capacity, and a clinic just down the street had a wait time of three hours and 30 minutes. Willowbrook medical centre, in Langley, had a six-hour-and-30-minute wait time. That’s not acceptable under anybody’s watch.
Why, Mr. Premier, have you abandoned people to hours-long wait times to get the medical attention they deserve?
Hon. A. Dix: I’d remind members of the House that there is an important aspect to episodic care that we have to address. We have, in part, done that by adding those million visits to urgent and primary care centres in B.C., including one in the member’s area, in the member’s hometown, which has had — I have to tell him — a significant and profound and positive effect on people in Abbotsford during the pandemic.
In respect to the survey that he cites, it’s a partial, not a comprehensive, survey and by a private company. Fair enough. I think people are…. This is my view always: any significant wait for health care is too long for me. It’s why we’ve done surgical renewal on surgeries. It’s why we have a primary care plan. It’s why we’re supporting long-term care. It’s why we’re adding residency positions. It’s why we’ve significantly increased, almost doubled, the number of nurse practitioner positions in the province, including those working in the member’s constituency.
It is a challenge for people in B.C., the question of a family practice doctor, particularly in circumstances where their doctor is aging out and retiring, and those people who’ve been with that doctor for 20, 30, 40 years find themselves without a family practice doctor. That’s why we are responding in the way that we are.
T. Halford: Dr. Tahmeena Ali was named B.C.’s Family Physician of the Year in 2020. She provides incredible care to the people of South Surrey. Now she says she’s at a breaking point, and every day she says she’s on the cusp of quitting. “We are hurting in family medicine, and this community is hemorrhaging members daily.”
Instead of blaming the federal government, will this Premier stand in this House today and commit to do something and get British Columbians, the one million British Columbians who are today without a family doctor, the care that they desperately need?
Hon. A. Dix: I think it’s fair to say that the Premier and the government will continue to lead the country with respect to the Canada health transfer. I don’t think that is inconsistent. That is one aspect of how you deal with challenges with respect to primary care.
How do we do that? We add primary care networks and team-based care, 950 new FTEs. That’s significant. We significantly increased the number of nurse practitioner positions. The creation of nurse practitioner positions was the work, on the government’s side, of George Abbott, when he was Minister of Health. It was the work at that time. But when I became Minister of Health, we were last in Canada in terms of the number of nurse practitioners working. We’ve profoundly changed that. That’s how you do it.
In South Surrey, in Cloverdale, there’s a nurse practitioner–led clinic. That’s how you do it. You build primary care networks. You build opportunities for people who work, and you increase the number of residency positions in family practice.
Now, there are challenges. The fee-for-service system for new entrants into the field who generally want to practise medicine and don’t want to run small businesses is a challenge. Our existing system is generally based on that, and the new entrants in the system don’t want to do that as much, meaning that they are and tend to be much more attracted to hospitalist positions or alternative payment situations.
Those are issues that we have to work on with family practice doctors in B.C., including Dr. Ali, to ensure that they are supported in the outstanding work they do in communities.
Mr. Speaker: Member for Surrey–White Rock, supplemental.
T. Halford: The minister’s words are not met by action from this government, from this Premier, and we see that day after day. Every member of this House is getting the letters, the emails, the phone calls, the visits, saying: “We need help. We do not have a family doctor. We need support.”
Every riding is getting those calls. The minister can dismiss them. The minister can rattle off numbers. At the end of the day, a million British Columbians are without a family doctor, and that is unacceptable.
Dr. Ali says: “Our cries are not being heard. Family medicine is hemorrhaging. We are an endangered species, and without us, the primary care system is going to fall apart.” A system that the minister spent most of this question period talking about. This doctor is saying it’s at critical mass, and this minister continues to dismiss these issues.
In Surrey, 13 walk-in clinics are full by 10 a.m. Thirteen walk-in clinics are full. If you want to take your child to get support because you don’t have a family doctor, you can’t visit that walk-in clinic if you’re not there by 10 a.m. This minister thinks that this is acceptable, this day in this province — a million people without a family doctor.
When will this Premier step up in this House and give British Columbians the assurance they need that they will be supported by a family doctor?
Hon. J. Horgan: I just want to correct some misstatements by those on the other side.
First and foremost, there is one person that’s working 24 hours a day to improve health care for people in British Columbia, and it’s the Minister of Health. Everybody knows that.
Secondly, at no time have I blamed the federal government.
Interjections.
Hon. J. Horgan: They don’t want an answer, hon. Speaker, because they are part of the problem. That’s why.
The opposition characterizes cooperative federalism, making our country work by ensuring that there’s adequate….
Interjection.
Hon. J. Horgan: Do you want to hear it, man? Do you want to hear it, or do you just want to hear your voice? Why don’t you go in the bathroom and talk to yourself in there? You don’t want to hear answers in this place. Seriously.
The Canada health transfer is fundamental to health care in British Columbia. It’s fundamental, and it has been for generations.
Interjection.
Hon. J. Horgan: Do you really care, or do you want to hear yourself? Do you want a headline, or do you want action?
[End of question period.]
Interjections.
Mr. Speaker: The bell ends the question period.
Interjections.
Mr. Speaker: Members, seriously.
Interjection.
Mr. Speaker: The Leader of the Official Opposition will come to order.
The House will be in recess for ten minutes.
The House recessed from 2:33 p.m. to 2:34 p.m.
[Mr. Speaker in the chair.]
Mr. Speaker: Calling the House back to order.
Interjections.
Mr. Speaker: Members. Members, I think the question period is over.
I’m so disappointed in all of you. During the question period, I have repeatedly said: “Please listen to the question and listen to the answer.” Once that’s over, don’t make it personal. Let’s behave like adults, please.
Interjection.
Mr. Speaker: Member for Nechako Lakes. What was your point, Member? You are just challenging the Chair?
J. Rustad: My apologies, Mr. Speaker.
Mr. Speaker: Members, I have the honour to….
T. Stone: Mr. Speaker?
Mr. Speaker: Member.
Question of Privilege
(Reservation of Right)
T. Stone: Thank you. I reserve my right on a point of personal privilege.
Tabling Documents
Mr. Speaker: Members, I have the honour of presenting the Auditor General’s audit report Ensuring Long-Distance Ground Transportation in Northern B.C.
Orders of the Day
Hon. L. Beare: I call third reading of Bill 13, Passenger Transportation Amendment Act.
In Section A, I call Committee of Supply, the estimates of the Ministry of Energy, Mines and Low Carbon Innovation.
Third Reading of Bills
BILL 13 — PASSENGER TRANSPORTATION
AMENDMENT ACT,
2022
Bill 13, Passenger Transportation Amendment Act, 2022, read a third time and passed.
Hon. L. Beare: I call third reading of Bill 6, Budget Measures Implementation Act.
BILL 6 — BUDGET MEASURES
IMPLEMENTATION ACT,
2022
Bill 6, Budget Measures Implementation Act, 2022, read a third time and passed on division.
Hon. L. Beare: I call Committee of the Whole on Bill 12, Property Law Amendment Act, 2022.
Committee of the Whole House
BILL 12 — PROPERTY LAW
AMENDMENT ACT,
2022
The House in Committee of the Whole (Section B) on Bill 12; J. Tegart in the chair.
The committee met at 2:42 p.m.
The Chair: We’re dealing with Bill 12, Property Law Amendment Act, 2022.
I’ll call on the minister to introduce staff and any opening statements.
On clause 1.
Hon. S. Robinson: I do have staff here with me for this committee stage of debate as we go through line by line and section by section of this bill.
On my right is Renée Mounteney, one of my many capable ADMs. I have Joey Primeau here on my left, and behind me is Tiffany Norman, to help us as part of this discussion. They’ve been working really hard to put this together to make sure that we have another tool to help folks who are looking to purchase a home. I’m really grateful for their hard work on this matter.
A. Olsen: Thank you for this opportunity to go clause by clause on the Property Law Amendment Act.
Just a question with respect to the consultation that was underway on this bill, announced last fall. Why did the government announce this legislation before completing that consultation?
Hon. S. Robinson: I appreciate the member’s question.
It’s really important, I believe, and we believe, that we move quickly on this matter. It’s urgent, given the level of activity in the market and the challenges that we were hearing from consumers around what they were forgoing in terms of making sound decisions based on all of the information.
The BCFSA is currently undertaking a broad consultation on a number of current consumer protection issues, including the parameters for the creation of this protection period. They’ve been given very focused parameters so that we can do this simultaneously and be efficient. I know that the member, certainly his colleague the Leader of the Third Party, had talked about efficiency and the importance of consulting as well, so we’re trying to do both at the same time. We are doing both at the same time, because we do think it’s important that we move quickly.
If we had done this in a more linear fashion, it would take us that much longer, and in the meantime, people — the outcome is the people — would continue to be challenged. We felt it was important to do both and to do it simultaneously.
A. Olsen: If it was based on urgency, why didn’t the government start the process last spring or the previous fall? I mean, the measure has been available to the government for the last three to four years at least, and the housing crisis that British Columbians are facing is not a new issue. So if urgency is the reason for putting the legislation out in front of the finishing of the review, why wasn’t the review started months, or maybe a couple of years, ago?
Hon. S. Robinson: I think it’s important to share with the member that we have been acting as quickly as we can when these issues were raised to us by the mortgage broker community. So as these things were coming forward, we certainly were hearing more stories about blind bidding. They were sharing stories with us around consumer protection. So we moved quite quickly to identify how we can best move forward, and we put that out in November as we were doing these more generic conversations and acting as quickly as we could.
M. Bernier: Does the minister have the report yet from the BCFSA, from the consultation period?
Hon. S. Robinson: No, not yet.
M. Bernier: My question kind of goes, then…. Well, first of all, if there’s so much urgency — and the minister is making decisions unilaterally, it sounds like — why did we even have to go through a consultation period? Why did she even ask the BCFSA to give recommendations, if the minister already seems to have her mind set on what direction she’s going?
Hon. S. Robinson: The consultation is really about the details of how this can be implemented to maximize success. It’s not about whether or not to do it.
It’s a good idea. It’s a good policy piece to do it. The consultation is about what the parameters are that would make this a successful policy piece at the end of the day so that the consumers can get the information they need while also respecting the needs of sellers. It really is about finding that balance. The member and I have had conversations about that historically, around finding balance. The consultation is about what the right balance is to achieve success here.
M. Bernier: It’s an interesting answer from the minister. It makes me want to understand what kinds of terms of reference were given to the Financial Services Authority to even look at. It sounds like the minister has directed them to say: “Regardless of whether you think it’s a good idea or not, we’re doing it. Regardless of whether this will work or not, we’re doing it.”
My question, then, to the minister is: was the BCFSA given any autonomy at all, any freedom at all, to come back with recommendations of whether this is a good idea or not? Or were they directed through some form of terms of reference, through the work they have to do, to not even consider whether this will help the situation — in fact, they’re just going to come forward with implementation recommendations, rather than a process — whether it’s worthy at all?
Hon. S. Robinson: As I said before, the BCFSA is currently consulting not just on this buyer protection period but also on a number of consumer protection issues. We tasked them to look at the blind bidding system, which has its other additional complexities, but we also asked them about mandatory inspections, about what that would look like and what would need to happen in order for that to be considered, and we asked them to look at any other consumer protection ideas or suggestions from the various stakeholders.
This is one piece, and there may be more. We’re waiting to see what’s in that report that would tell us what other steps government might need to take in order to make sure that consumers had the tools that they needed, to make sure that they could get all the information necessary before they made the most important financial decisions of their life.
M. Bernier: With all due respect to the minister, it sounds like the urgency was more from the minister to come out with an announcement, not actually to try to address the issue. If it was addressing the issue, we would have waited for this report, if it’s that important, to make sure we’re doing it right to begin with.
I’ll get into some more details later on with specific questions under clause 1 here, but it’s so open-ended. It’s all left to regulation. The minister herself has said in some of her media scrums that the reason is because they don’t have the information. They’re waiting, and that’ll be coming at a later date — possibly this fall, possibly later — with recommendations around how the legislation will actually shape up through regulation.
It brings us back to the whole point. If it’s so urgent…. Yet it’s not urgent, because nothing is happening now other than a piece of legislation on the floor to debate that is legislation of maybes. What consultation did the minister actually do? We’ve heard from so many people over the last little bit, since this has been presented in the Legislature, who are, in their own right, experts in the field around housing, around affordability, around real estate who have come out and said this isn’t going to work.
In fact, they’ve come out with other pieces of recommendations. There have been white papers from the Real Estate Association. We know from the minister’s colleagues that they’ve all stood in this House and basically said that real estate agents are part of the problem. They’ve basically said that in the House. Maybe that’s why the minister is not listening to them.
I’m kind of curious, then. Before they presented this in the House, which, again, is one page of all “maybe at a later date,” what consultation and what groups did the minister meet with to help formulate this? Because there’s no detail.
Hon. S. Robinson: I appreciate the member’s question, but I have to say there’s a real contradiction in how he’s asking it. He’s saying hurry up and slow down at the same time. We’re dealing with urgency, which I think it requires. I think, as the member rightly acknowledges, it needs consultation as well.
It’s based on the fact that we were hearing from the mortgage broker community. We were engaging with BCFSA about what they were hearing. We were seeing in the media, and I know the members were seeing this as well, where people were being challenged by major purchases they were making, sometimes sight unseen, without any inspection, only to discover that because they weren’t putting any conditions on their offers because they felt that was the only way they could participate in negotiations….
Really, it’s creating more and more challenges for British Columbians. It’s with that in mind that we said, “Okay, where can we start?” recognizing that this is perhaps a beginning and that there might be more.
We, in consultation with BCFSA, said, “Well, we can start here,” and continue to engage to see what more might need to happen and how this can be implemented in a way that it works, keeping in mind all the various component parts of these kinds of transactions.
It’s with that in mind that we’ve brought this piece forward. There is more to come, because we know that there might be more that makes sense for us to do in order to help consumers in this very difficult time.
P. Milobar: Well, in fairness to my colleague from Peace River South there, I think he was more trying to state to the minister that the minister is rushing in legislation that has absolutely no detail in it whatsoever and, at the same time, saying that there’s no detail because there’s a wait for a report. So that’s where the two don’t necessarily line up.
Based on past practice of this government — we saw it with the FOI legislation that just recently was rushed through the House with zero detail, everything left to regulation and, then, orders-in-council signed very quickly after royal assent — there starts to be a cynicism that builds, not just within opposition but within the general public.
Can, I guess, the minister confirm, then, that if the reason there’s no detail in this legislation is because we’re waiting for a report…? Is the minister saying, then, that 100 percent of that report will actually result in regulation? Or is the minister reserving her right to pick and choose whatever that report says, what she feels might be palatable to implement or not?
Hon. S. Robinson: The report will inform details of the regulation. Again, I think it’s important to acknowledge that the market itself is dynamic. It changes over time. Sometimes it’s hyperactive, and sometimes it has slower periods. So it is also important to think about…. In terms of regulation, it permits government to be responsive to any changes in the market as well. That’s also part of the consideration.
P. Milobar: There’s no detail in a bill — that is what the minister is saying — because we’re waiting for a report. But the minister reserves the right to politicize the future regulations for this topic. So why not detail in this report, then? Why is there not a first step of regulation in this bill, which could always be amended in the future, if it’s going to be political decision-making that is the ultimate decider of what the regulations will be?
It is not the report that everyone’s waiting for, based on that answer; it’s actually the minister and cabinet’s decision on what the regulations will be. The report is but one piece of input. There’s already been lots of other types of input.
As we saw with the FOI bill, just commentary in the media was enough for the Minister of Citizens’ Services to hang her hat on, saying she had consulted during the course of the bill moving through the House.
There are only so many different ways you can put the regulation in place between cooling-off periods, length of time, those types of things. There are just so many ways. That’s it. Those have been discussed.
Why is there no detail in this bill, if what the minister’s answer was just that it’s still going to be political decision-making as to what the future rules will be like and not actually the recommendations in the report?
Hon. S. Robinson: I was listening very carefully to the line of questioning from the members. It sounds like they are wanting to, I guess, relitigate or go back to second reading debate of the merits of this bill. We finished that debate, and we are now in committee stage, which is to go line by line. I have staff here eager and ready to answer any questions that they might have on this bill.
M. Bernier: As the minister well knows, second reading is an opportunity where people can put their opinions on the floor. It’s not, per se, a debate about the issues.
It’s line by line at committee stage, which we are doing now. It’s also a time, in committee stage, to hear from the minister the intent of why this was brought forward, the intent of what the legislation will do, the reasoning why the minister has left out any detail. That’s what we do in committee stage. That’s the important part of the work that we’re doing right now and expect some kind of respectful response from the minister to that end.
The minister, about three weeks ago, said publicly…. That was shortly after this bill was tabled. The minister did say, where she was waiting for a report from the BCFSA, that that information was going to help shape the information and the details through regulation that they would do afterwards.
I asked the minister, when I first got in, if she’s seen that report yet. Three weeks ago she said she was going to get it any day. Does the minister have it now, and if not, when is she going to be receiving it?
Hon. S. Robinson: The member is correct. I think that it was before we broke for the two-week break. I have not seen the report yet. My understanding is that they finished their consultation at the end of February. They’re putting their reports together, and I am hopeful that I will see it shortly.
M. Bernier: Well, it just goes back to the whole point that I think we’re trying to make here. The minister tries to say how urgent this is. This is the largest investment somebody is going to be making in their life, possibly. We want to make sure we have the rules, regulations, in place to help to safeguard that investment.
A lot of decisions through regulation will be based, supposedly, on a report that the minister is waiting for that now for two, three, four, weeks is going to be expected any day. We still have a month left in this session.
It begs the question: if it’s so important to ensure that we get it right, why was the minister so rushed to put a nothing bill on the floor with no information when it’s going to be based on, in her own words, a lot of the regulation based on the information through this consultation? Pragmatically, you would think that the logical course of action would’ve been to wait for that report, frame up proper legislation respecting the House, here — that we would have details — not only this House but for the public to know what they’re expecting to come forward from the government.
The minister herself has even said that now a lot of this regulation might not happen until this fall. The minister has said that on record. She can correct me if she wants to, but the minister has said in the past that it could be as late as this fall before they get to the regulations on this bill to actually change things. So that means that we could’ve even brought it forward this fall, in the session that government would hold, with the actual information.
Again, I just have to ask the minister, then, I guess, the easy question. Are the regulations in here going to be based on the report that comes from the BCFSA? If so, why didn’t she just wait?
Hon. S. Robinson: As we have said before, the report will inform details of the regulations. We’ve been very clear about that, specifically thinking about the number of days to be permitted for right of recission. Should there be a penalty? What kind of penalty? Those are very specific details that we’ve asked BCFSA to go out and consult on so that that helps to inform regulations.
Also, this is new legislation. It’s important to also recognize that there needs to be an adaptability, I guess I’ll call it, for these regulations, making sure that as things change and as the market changes, it has the ability to reflect the changing market — so again, regulation.
The member knows full well that if you’re wanting to change legislation — getting it in the docket and getting all of the work done — you’re not as responsive. It’s very, very difficult for government to be responsive when it’s written in the line of legislation. So this means, I believe, that it’s better legislation to have the ability to do some of the specific details by regulation.
I also need to acknowledge, and I know that the member would appreciate this, that the housing market in Peace River will be different than the housing market here in the capital region. So once again, looking to make sure that we can tailor some of this is also going to be part of the thinking that we asked the BCFSA to look at.
I look forward to seeing that report and making sure that we can, again, deliver something for people who continue to be challenged and that consumers have the prevention that they need. There might need to be additional legislation. I’m not saying that this is the end. There might need to be additional legislation based on the report and helping British Columbians who are participating in the market.
A. Olsen: It seems like the more efficient approach would be to wait for the report to be tabled, gather together all of the actions that need to be taken, put them together in a piece of legislation and then offer them to British Columbians to be able to review the actions that are being taken. That would be a way for British Columbians to understand how their government is actually addressing the housing crisis.
Creating an enabling piece of legislation that has literally nothing in it other than to give the government powers — to extend to the government powers that it currently doesn’t have, with no substance whatsoever — is not actually showing British Columbians how this government is intending on fixing the housing crisis. In fact, what it’s doing is creating more confusion about what the impact of these changes could be.
In fact, it’s irresponsible for the members. I think the minister knows this, because I think that the minister probably, when the B.C. NDP was on this side of the House, had a similar perspective about the enabling powers that former governments were requesting.
Perhaps the minister can talk about how it is that…. I’ll put it this way. Even the Minister of Citizens’ Services had floated a number when we were, last fall, talking about the cost that information is going to be to British Columbians now. The Minister of Finance hasn’t even floated numbers for British Columbians to be able to knock around on the tennis or the pickleball court. We can’t even have that debate. We have no idea what the substance of this is going to be.
Perhaps the minister can talk a little bit about how it is that, from her former perspective on this side, we are to do our job to understand exactly how this is going to have an impact on the housing market and on British Columbians. The minister is quick to say that this is the largest single investment that British Columbians are going to make. So in other words, this is the single most important piece of legislation that’s in front of this House right now.
We, on the opposition benches, have no way to say to British Columbians that we can contextualize the impact that’s going to have on that investment, whether you have made it or whether you are fixing to make it. How does the minister suppose that we are to scrutinize a bill that has no information?
And just have the temerity to ask us…. On behalf of all British Columbians, by the way, our job in opposition is to test the elements of this legislation and make sure that it’s resilient enough to be able to survive those tests. That’s our job. How does the minister propose that we do that, having no details in this bill?
Hon. S. Robinson: You know, I listened carefully to the member’s question. I want to correct something for the record. We never said that this would address housing affordability. This is a consumer protection piece of legislation.
Consumers — and we’ve been hearing this, particularly from the mortgage brokers — were making more and more decisions to forgo any conditions on their purchase. There were stories that we were continuing to hear — I’m sure the member has heard from his constituents as well; I was hearing it in my constituency — where people were feeling pressured to put in offers without conditions and making purchases without having the time they needed to get inspections and such or financing. That was creating significant hardship. So this — I want to be really clear — is a consumer protection piece.
The other thing I think is really important — and again, I’m sure I can have a debate with the member just on this — is we don’t have to let the perfect be the enemy of the good, as the member proposes.
Again, I think…. And the member across the way is laughing. Taking a phased approach allows us to support people sooner than doing nothing at all while we continue to study.
I’ve listened carefully to how the members opposite…. I appreciate this. I appreciate the frustration. I’m not saying I don’t appreciate it. I do. If government says, “We should study something,” they then get frustrated, because we’re not taking action. Now we take action, and they’re saying: “You should study something.”
What we’re doing is taking action, and we’re studying it simultaneously. We know that there’s more to do. That’s why we tasked the BCFSA to do more than just take a look at how many days should be considered as part of the rescission. There is a right of rescission that currently exists with REDMA, the piece of legislation. So there’s a basis, a starting point, on what kinds of penalties should exist should someone act on the right of rescission. That work is being done.
While they’re doing that, we tasked them to do more, to get more information, so that we can do more as we learn more from the report. This won’t be, necessarily. the last piece that we do, but it is certainly the first piece, with potentially more to come. I know that the member appreciates that making change can happen over a phased period, with a phased approach. That’s the lens that we’re acting on.
P. Milobar: Well, it’s interesting. In early days of this, it did sound very much like statements from government were that legislation and cooling-off periods were going to be coming to address affordability and housing prices. That tune has changed. Fair enough. The minister has started to use consumer protection as the reason around this.
I guess the question just goes to why the need, then…. The minister actually touched on this in an earlier answer about the difference between the real estate market in Peace River South versus other areas of the province. But she also referenced that things ebb and flow in real estate markets.
The other piece of it is that a lot of times, people are selling and buying out of two different regions in the province. So one would think that cohesive rules would actually be a good thing, since we’re supposed to be one province.
If this about consumer protection, can the minister explain why this legislation, then, contemplates and gives her the ability to have different levels of consumer protection depending on where you live in the province? Why should someone in the Metro area be provided potentially stronger consumer protection than someone in Peace River South? Why should one British Columbian have higher levels of government consumer protection than others on the largest purchase of most of their lives — all words and phrases that the minister has touched on to this point of this debate?
Hon. S. Robinson: I think that the member knows full well that it’s the market activity and the pace of market activity that dictate how consumers might need some additional support around protection.
For example, when the market isn’t that active — isn’t as active as we’ve seen — there actually is the space to put conditions in on offers and have them considered. That permits anyone who puts an offer in to get the inspections. I think about my kids and them wanting to be able to own a home. I want them to do their due diligence. I think as parents, we want our kids to be able to have the space to do the due diligence necessary to make sure it’s a purchase that works for them.
In some markets, there may not be that level of activity. So the market itself provides the opportunity to do the due diligence. Having said that, the legislation doesn’t require regions to be considered. It’s not a requirement in the legislation. But we’re anticipating that could be something that may need to be looked at.
Again, I expect we’ll see that in the report, whether or not that needs to be a consideration. But this is a large province, and there could be very different kinds of activities or different paces of activity in the housing market, depending on where you are in the province, and it might be something that may need to be considered. Again, it’s not in the legislation, but it’s an opportunity that we could have, through regulation, to address.
The Chair: Before I recognize the member, I just would like to remind members to focus your questions on clause 1 as we debate this bill.
M. Bernier: Chair, thank you for the guidance. All of our questions, if I can say, will probably be around clause 1, because it’s really the only clause of any substance in this bill. We’ll make sure, with that guidance, that our questions will be framed accordingly within that.
Clause 1 talks about — the entire bill is talking about — the regulation. The minister herself just said that she doesn’t know because she’s waiting for a report, which, I think, goes right to the point that we’re trying to make.
If it’s so important, and this government and the minister don’t know what they want to do because they’re waiting for a report, a report that the minister has acknowledged numerous times now that she could have any day….
I do find it quite astounding that, kind of like my colleague from Saanich North and the Islands alluded to, we’re debating a piece of legislation with no information. This makes it very hard when the minister wants to — I’m sure in good faith — stand here and have the whole House support this bill. It makes it very difficult when it’s hard to get any answers to some of the details.
I want to go back to…. I didn’t get a clear answer earlier from the minister, and it really comes back to the whole idea of the BCFSA and the report that the minister is saying will help frame some of the regulations at a later date. Was the direction given by the minister, then, to the BCFSA to consult on whether or not the right of rescission was even a good idea? I asked this maybe in different words earlier and didn’t get a straight answer.
Was the BCFSA allowed to look at that? And, if so, what if they come back and say it’s not a good idea, or were they barred from even having that recommendation back to the minister?
I just want to get a better understanding of what the BCFSA’s role, I guess, is in recommendations. As I alluded to and talked about earlier, as many others have…. A lot of professionals in the sector have said that maybe this isn’t the right approach.
I’ll get to some quotes and some ideas from the minister later, but what if the BCFSA themselves say: “Hey, there is a better way to do this”?
Hon. S. Robinson: They were asked to look at the parameters of a right of rescission. I just want to remind the member that there is already legislation — REDMA, the Real Estate Development Marketing Act — that’s been around since the early 2000s. I was trying to get which year. It’s 2004, 2003 — somewhere in there. There is already a right of rescission. It already exists here in British Columbia.
They were also asked to look at other consumer protection ideas that have come up, like blind bidding, so we can get even more information out of them. Again, there might be some opportunity to do even more work on this, going forward.
M. Bernier: Again, it goes back to, I would argue, a rushed piece of legislation with no detail. I’m still waiting for information that’s going to come any day now.
The minister has brought up a couple of times the whole concept and the issue around blind bidding. Can she point to me in the legislation where it talks about blind bidding?
Hon. S. Robinson: It doesn’t talk about blind bidding. As I mentioned to the member, we asked BCFSA to get more information from the industry partners on what that would — could — look like and to do a bit more digging into that. It’s an idea that has been, I’ll say, floated around by different industry participants, and we know that there may be some opportunities to continue to deliver on consumer protection. So that’s why we tasked them with doing more research.
Again, I think taking a phased approach to consumer protection is the right approach. I mentioned again we already have legislation that has a right of rescission, and we’re building on that. If we need to do more as a government, we’re prepared to do that.
M. Bernier: In clause 1 here, under section 42, it talks about that the right of recission will be looked at, the seller, within a prescribed number of days.
What’s the minister thinking? What is the prescribed number of days? This goes back to the point that we have a piece of legislation with very little detail that she wants us to support in this House. Can she give us an idea?
Again, the member for Saanich North and the Islands talked about how other ministers have floated out numbers. We found out afterwards how that all worked out. So if there is a written notice of recission on the seller within a prescribed number of days, what days is the minister thinking of?
Hon. S. Robinson: When I referred to REDMA earlier, I thought it was really important to understand some of the context in which we were looking at when we were bringing this legislation forward. REDMA has seven days of recission, so that’s, just again, to provide some context.
BCFSA has gone out, has been consulting with various component parts of different industry members, different parts — whether it’s mortgage brokers, real estate industry, other folks in the industry, the inspectors and others. They’ll come back with a recommendation. That is what I expect.
M. Bernier: I hate to flog the dead horse, as they say, but here’s another perfect example. Very simplistically, we could have waited those few days that the minister keeps talking about. Instead of the legislation reading a “seller within the prescribed number of days,” it could very well have said “seven days,” if that’s what they’re thinking of, if that’s what the direction is going. At least it gives the buyers and sellers in the province of British Columbia an understanding of where this government’s head is at, on any issue.
It’s very difficult, again, to be able to go out and show this to anybody who’s looking at purchasing a house and say, “Here’s the information that will help you in your decisions,” because everything in this legislation says: “Coulda, woulda, shoulda, maybe.” It doesn’t actually have detail.
In saying that, and the minister referenced them a little bit as well, there are, at last count, somewhere in the vicinity of about 25,000, I believe, real estate agents in the province of British Columbia. Because there were some concerns, they put together, I would argue, a very well-thought-out white paper — 50, 60 pages long, with their own pieces of recommendations and concerns with this legislation, which they’ve put out for this minister and this government to consider.
We’ve already heard from a few of the minister’s colleagues in this House that they were not looking at that white paper at all. They’re self-interested, as real estate agents, and they’re not worried about inflationary costs or costs going up on housing because they make more money. That’s what this government has said.
I’m just curious if the minister feels the same way as her colleagues who have stated those facts in this House and publicly. Or is she actually considering any of the recommendations that the real estate association has brought forward to try to help in this area?
Hon. S. Robinson: When we tasked the BCFSA to do this consultation, that meant all the various component parts of the industry. That meant the legal community, real estate academics, inspectors and appraisers, mortgage brokers, the financial institutions, consumer advocacy groups, as well as the real estate industry, the associations and boards.
I would imagine that all of those organizations brought forward their ideas, their recommendations, their suggestions, not only on this but on the other pieces that we asked for, so that we would have a robust, full picture and could, once we had that report, move forward on the recommendations.
M. Bernier: I appreciate the answer from the minister that they’re consulting all these groups. What is the minister going to do, then, if the recommendation comes back unfavourably, that this is the wrong approach?
Hon. S. Robinson: The BCFSA was asked to consult on the parameters of a protection period. I expect that that will be part of the recommendation in this report — as well as other opportunities for continuing to build out on any other consumer protection measures that we ought to consider.
M. Bernier: I’m really troubled by that answer.
What the minister…. It sounds like she is now confirming in this House that it doesn’t matter what anybody says. They’ve got their mind made up. It doesn’t matter if all of the supposed experts in the field look at this and come back and say: “This is the wrong approach. It’s not going to work. It’s not going to help consumer protection. It might make things worse. It might increase the prices of housing.”
The BCFSA, according to the minister, has been tasked to do all this consultation, the minister has just said, with all of these experts and association groups in the province on their opinions. If I understand the minister correctly — she has the right to stand up after me and tell me I didn’t hear correctly — what the minister just said is that they are not allowed to come back and say that this is the wrong approach.
What, basically, the minister is telling every single group in the province is: “It doesn’t matter what you think. This is what we’re doing, so now tell us how you would like it shaped. Don’t tell us it’s not going to work. Don’t tell us if it’s the right approach, because we’re not changing our mind.”
My question to the minister was: what if they come back and say that this is the wrong approach? I understand the minister just said: “Well, they can’t say that, because we’re not going to allow them.” Did I hear the minister correctly?
Hon. S. Robinson: Not at all. I do want to say and read into the record again what we have been hearing from these very professionals that we are consulting with. Andy Yan, who’s an urban planner and director of the city program at Simon Fraser University, one of these academics, said on March 29: “I think it’s a good idea around protecting consumers on the biggest purchase for most of their lives.”
We’ve already heard from one. Helene Barton, the executive director of B.C.’s Home Inspectors Association, said: “After the last heated real estate boom, in 2016, I received countless calls from disappointed purchasers who had skipped the home inspection. Major and costly issues such as structure, mould, leaking roofs and unsafe electrical became apparent after taking possession of their new homes.”
She goes on to talk about a family that was absolutely devastated. She points out: “We hope this new legislation will ensure the same protections to home buyers in any market conditions.” We’ve already heard from them that they’re very supportive of this legislation.
Finally, I will share one more group: Paul Taylor, the president and CEO of Mortgage Professionals Canada. This is what he had to say: “Without a structured, short cooling-off period to withdraw from an offer that, on reflection, the seller is unable to realistically manage, and now with a legally binding agreement in place, often long and complicated legal processes are required to exit the transaction.”
He went on to say: “Mortgage Professionals Canada is supportive of a short cooling-off period to avoid exactly these difficulties. We certainly are supportive of the legislation and the opportunity to create some additional protections for would-be homebuyers.”
We already have heard, from significant parts of the industry, that they are supportive of this.
I really look forward to getting back to the legislation that we have here before us on a line-by-line — to get through that this afternoon.
M. Bernier: I appreciate the minister’s eagerness to rush through this. She wants to rush the legislation in here. But we have a job to do, not only as opposition on behalf of the people but, I think, for everybody — for the different associations and people that the minister just referenced.
I’d love to go line by line, in great detail. Maybe I will do that in a moment, because I’d love to hear some answers from the minister on some very specific details that are not in the legislation. With the last answer that the minister just gave….
I referenced, again, the 25,000 real estate agents who work every region, every riding in this province. The white paper and the recommendations that they’ve been giving, I’m told, not only to the minister, but to the BCFSA, are that this is completely the wrong approach. The cooling-off period may lead to frivolous offers. It may lead to multiple bids. It may lead to not solving any of the issues that the minister is talking about.
In fact, even though the minister said that this bill has nothing to do with affordability, this approach, a lot of people are saying — in the emails that I get from some of the same professionals that the minister has referenced — may actually increase the cost of a house, putting more pressure on the same people that the minister says we’re trying to help.
The minister says that it’s not about affordability, that it’s about consumer protection. I’d say that we need to be looking at both. Will the minister acknowledge, then: will this bill increase, decrease or do anything at all for the price of a home for people in British Columbia?
Hon. S. Robinson: Again, we’ve canvassed this. I’m happy to repeat it, because the member…. This has been designed as a consumer protection piece of legislation.
We have heard from numerous component parts, representatives of different parts of the industry, about the value that they see in having a consumer protection period of some size, to provide those who are making an offer the opportunity to get all the information they need to make a good decision.
I know that the members opposite would agree that getting a home inspection is a good thing to do. It’s a wise thing to do, and making sure that they have the time to do that is an important piece of making this kind of exchange work for people.
It is with that in mind that we are bringing forward this legislation, because it’s important that we do that. That’s what the intended purpose is of this piece of legislation.
M. Bernier: Again, I think it’s important to acknowledge, then….
First of all, I think all of us want to ensure that we have proper consumer protection. That’s just a given. But my question to the minister is: is she bringing forward a piece of legislation that has no detail, that’s all at a later date, that’s about consumer protection, that may, according to many of the professionals in this sector…? They’ve said that this piece of legislation could increase the price of housing in the province of British Columbia.
We’re already talking about the fact that house prices have gone up over $600,000 in the last few years on the average home. We’re now looking at almost $2 million for a home. Of course, we have to look at not only consumer protection but the affordability indexes as well.
I’m a little concerned by the minister’s answer, if she’s saying that they’re only worried about consumer protection, and if the prices of houses go up because of this bill, so be it. That’s not what we’re looking for.
My question was: is the minister willing to say that house prices are not going to go up? I know she can’t answer that. I know what her answer will be. The whole point is we have people who have warned us that this approach may be the wrong one. It’s also very concerning that the minister has said that they’re not going to consider some of those warnings that have been given already.
Maybe a simple — hopefully, simple — question to the minister, then. Since all of their eggs are in a basket of a report coming from the BCFSA, it appears, is the minister willing to stand up today and say that as soon as she and government get that report, they will table it in this House?
Since it’s the most important piece of legislation to help affordability and consumer protection, since it’s something that is for the largest investment, as the minister keeps saying, for people in British Columbia, they should have a good understanding of what kinds of ideas and recommendations were put forward. Will she table the report as soon as she gets it?
Hon. S. Robinson: It is my understanding that the BCFSA will be making this report public.
M. Bernier: Can the minister give me a timeline, then, once she receives that report, of when we expect to see the regulations announced publicly?
Hon. S. Robinson: This is an important piece of legislation. Of course, the regulations that go with it are critically important to our government, because we see the impact of a very active housing market on consumers, and we said that we would move as quickly as we can on this. So we’ll be moving very quickly on this.
I forget. There was a second part to the question. I apologize. I’m trying to track too many things. If the member wants to ask the other part of his question, I’m happy to receive it again.
M. Bernier: I know. I’ll just keep flying these at the minister.
The main crux of this…. I’m looking for a little bit more specifics, as well as, I think, the people who are talking about making the largest investment in their personal life, more than likely….
The minister says they’ll move quickly. What does that mean? The minister has been on record in the past saying it could be this fall before regulations come forward. I’m just trying to get a better understanding of what the public can expect.
Hon. S. Robinson: I appreciate the member getting up on his feet again and reminding me of some parts of his question.
Again, I will say…. I know the member is not going to appreciate this. I hope he can appreciate this. Depending on what the recommendations are, it will depend on how quickly staff can work. But I have staff keyed up ready to receive the report, to analyze the report, to bring forward the regulations that are important to make this piece of legislation work.
Again, we know that consumers do need the space to get all the information. I can’t imagine anybody in this House not appreciating how important that is and wanting British Columbians to have the information they need to make these sorts of decisions. As soon as we get the report, we’ll certainly have staff keyed up and ready to go to deliver on the regulations.
M. Bernier: Appreciate that. I don’t mean to smirk when I’m asking this next question, though.
You know, it’s interesting to hear. I appreciate the minister saying that the BCFSA themselves will be releasing, publicly, the report, which we would hope and assume. I’m looking for the minister’s support on that — that that would go out right away, not after decisions are being made.
My comment and my question, I guess, to the minister, again with respect…. We’ve seen what’s happened in the past with some of her colleagues. Has the minister already received any briefing notes on this on a decision that government has decided to go to? Has she signed off on any possible decision notes? Do they already have some predetermined ideas of where they’re going on these regulations, or are they holding off completely until they have the report from the BCFSA?
Hon. S. Robinson: There have been no decision notes, no briefings. I do want to assure the member that I ask at least weekly: “When can I see the report?” Just last week I was told it was in draft form at this point, but I haven’t seen it. I look forward to getting it soon. I wish I had more specific details for the member. I had hoped to have received it before the end of this month, but at this point I haven’t received it.
M. Bernier: In clause 1 here, under section 43…. The minister will be happy if I’m referencing something very specific here. I’m a little worried, though, about the lack of answer I might get.
In section 43 that is being added here in the regulations for section 42, under clause 1, it’s a list of things where it says that the minister, through Lieutenant-Governor order-in-council…. We know how that works, but for those watching, that basically means cabinet decides at a later date regulations and will sign off on it behind closed doors. I don’t mean that sarcastically. That’s just the system of how order-in-council works.
As a former minister, I’m not saying it’s never happened in the past. The regulations can be changed in cabinet, and that’s how the system works sometimes. Typically, though, there is at least some information that’s shaped around that.
When we look at the list of mays…. I say that because in section 43 being added, it’s all “may make regulations.” There is quite a list here that has been put forward — almost ten here, I think. But there are some that….
We talk about prescribed number of days, rescission. There is nothing really detailed in here, but I’m trying to get a better understanding of what government’s intentions are.
I’ll look at (c), for instance, respecting an amount to be paid by the purchaser or seller for the right of rescission. It, basically, is talking about a penalty. So if somebody makes an offer or multiple offers on homes, and then all of a sudden pulls out, for whatever reason, there may or may not be penalties. That’s the way I’m reading this.
I think most people in this House who have been blessed, fortunate enough, to purchase a home, know how the process works around putting on subjects and the removal of subjects in order to finally have the legal document, once subjects are all completely removed, to purchase the home.
In this case it sounds like there may or may not be penalties associated for somebody if they use the right of rescission or if they back out or if they put multiple bids. The minister, I think, has acknowledged in the past that that may or may not happen, where people could put in multiple bids.
What’s the government’s thought process then? What are they contemplating for a penalty? When would a penalty be actioned on, and what kind of dollar amount would a penalty look like?
[R. Leonard in the chair.]
The Chair: Minister.
Hon. S. Robinson: Welcome to the chair, Madam Chair.
One of the things that we did was…. We looked to other jurisdictions that have something like this in place — Australia, in particular. Australia has the requirement that if you exercise your right of rescission, you do forfeit some of your deposit, which, of course, the intent is to diminish frivolous offers, as the member has noted. BCFSA, of course, will be providing advice on what that ought to look like.
M. Bernier: Thank you to the minister. Kind of along the same thoughts of a penalty.
Under (f), we also…. Still on clause 1, of course, Chair, and welcome. Under 43(f), it’s talking about the return of a deposit. We all know that when somebody purchases a home through the real estate agency, when they’re making the original offer, they’ll have a deposit that needs to be made that is accompanied with the contractual obligation, typically with subjects….
In the case that we’re talking about and the concern that the minister has highlighted…. Rightfully so. I will acknowledge there are times there are no subjects, which is one of the issues that we’re trying to maybe possibly address with this piece of legislation. But there’s always, typically, a deposit.
In here, it talks about the possibility of sometimes the deposit not being returned or a portion thereof not being returned. Can the minister give me an example of if somebody is purchasing a home and now, all of a sudden, their deposit may not be returned to them because of the contract? What would spark the decision for that not to be returned?
Hon. S. Robinson: I’m learning about how Australia does it in different states, and how they do it. They provide a bit of a model.
This is one of the ways in which to ensure that the seller who, in receipt of the deposit, doesn’t have to go and find…. If the buyer chooses to use the right of rescission, they can then use part of the deposit as part of the penalty so that they don’t have to go and find them to get the fee that would be associated with using the right of rescission. So this is why it was built this way. It’s an example of how some parts of Australia use this model.
M. Bernier: I understand where the minister was going, but that doesn’t quite answer the question. In the system we have today, people have to put deposits forward. Typically, in almost every situation, though, that deposit is 100 percent returned to the person.
If for some reason they do a home inspection and they find out that the work required to fix up the home is beyond their financial means of what they expected when they put in the bid on the house…. I think the minister would acknowledge that’s part of this cooling-off period, allowing for a home inspection, so if somebody finds out that they’re going to back out of the deal based on the home inspection.
As the minister knows, a lot of times people would put a “subject to financing.” They assume they can qualify, but then, for whatever personal reasons, the banks or the mortgage brokers will say they no longer qualify. So they have to remove their bid on the house. That subject is not removed, and the contract becomes null and void.
My question was not so much the technicalities of why we have a deposit. It’s: what will trigger it? What will trigger somebody who says…? I’m just going to make numbers up here, an example. If somebody puts down a $40,000 deposit on a house, and then they may or may not….
Let’s say they back out for whatever reason. What triggers all or a portion of that deposit being forfeited? That could put even more pressure on somebody. If I was buying a house and I was told you’re now taking a gamble with a $40,000 deposit — you may not get it all back if you back out of the deal — isn’t that making it even harder for these people?
My question is more: what is the decision-making, the triggers, that would come back to a person to say: “Sorry, you’re losing your deposit based on the decision you’ve made”? What would those triggers be?
Hon. S. Robinson: This is about the right of rescission, not about the subjects. The member had rightly provided examples of getting financing in order, getting a home inspection.
The idea is that there will be a window of time in which the buyer can rescind their offer — can just rescind their offer as they see fit, depending on whatever their circumstance is. The expectation is that there will be some sort of fee for doing that in order to minimize the frivolous offers, as the member said earlier.
Again, the right of rescission is not about subjects; it’s about a period of time that one has in order to change their mind, essentially.
M. Bernier: I think the minister needs to acknowledge — and I believe she understands it — that they’re actually synced. They’re tied together. When you look at the legislation, the way it has been presented here….
Again, there are not details. The whole point of a cooling-off period that we’re putting here and a right of rescission, which is, to basically say, an opportunity to back out of the deal…. There are a multitude of different reasons why somebody may or may not back out of a deal. In this legislation, this government has chosen to put in the possibility of penalties, the possibility of keeping all or part of a deposit.
My question was: under what situation would that happen? The minister just stood up and said that the whole point of this is to give somebody an opportunity to back out. But she’s also said that there could be penalties for backing out.
Now, that’s going to put more pressure, some would argue, on whether they’re going to put in a bid to begin with. This could exasperate or make the issue even worse, because if I’m a purchaser, I’m going to be very, very careful now on what offer I put forward, knowing that I may lose all or part of my deposit or that there may be a monetary penalty to me for doing that.
The problem that also happens is people…. The whole point is so people don’t rush in. I get it. But in our market that we have in some parts of the province right now, that also means that if people are taking a sober second thought — if I can use that term — before they put in the offer, they’ve probably missed out, because somebody else has put in the offer and maybe is not worried about the penalty. Maybe it’s an investor. Maybe it’s a developer.
That young family trying to start out, who knows that they’ve scraped and saved for a deposit on a house for the last 25 years, possibly…. We know how long it takes for some people. It sounds like they could be at risk of losing some or all of their life savings, which are being put forward for a deposit on a home.
I don’t think I’m exaggerating on this issue, based on the response I just got from the minister. Maybe she can clarify for me, because this is very important. Under what situation would somebody be penalized or lose their deposit? Not just that they could — what situation would cause that?
Hon. S. Robinson: We’ve had some interesting discussion about subjects and rights of rescission.
I want to be really clear. If someone walks away from a deal because they couldn’t meet the subject — so they build into the deal “all subject to financing,” and that’s an accepted offer — there is no fee for walking away, because it was subject to this particular subject. If, however, they’re walking away because they’re using the right of rescission, which is different…. The opportunity, for a fee, for doing that is different. For example, you write an offer.
The member is furrowing his brow, so I’m assuming that it’s not as clear as I’m hoping. I will try one more time.
If someone makes an offer on a home subject to financing, the offer is accepted, and then the financing falls through, that’s not exercising the right of rescission. The subject didn’t materialize. They get to walk away because the subjects were accepted as part of the offer. If there are no conditions — there are no subjects — and they exercise the right of rescission within the prescribed time frame, then there would be, possibly, as we’ve looked at here, some fee paid as a result of walking away. It’s not about…. The subjects were built into the offer.
If I could just share with the member, just to give a bit of context about what Australia has. I think it’s important to understand the scope. In Australia, penalties for exercising the right of rescission do vary by state. In Queensland, New South Wales and the Australian Capital Territory, penalties are set at 0.25 percent of the purchase price, so that gives you a sense of what they’re using. In Victoria, penalties are set at 0.2 percent of the purchase price, and there are other territories that don’t have a rescission fee at all.
M. Bernier: I also appreciate the minister highlighting my facial expressions, which are usually very apparent when I’m thinking and talking.
I do want to understand this a little bit better. The whole point, what I understood, of the government bringing forward a cooling-off period — you want to call it right of rescission — was to try to cool down the fact that — what? — multiple bids, people going in without subjects, people are getting trapped in a home they should have had inspections on….
That, by the way, would mean that people are actually putting in subjects. You cannot necessarily purchase a home without subjects and then use that as a fallback. There is always going to be a subject of a home inspection or something like that. If there are not….
The minister is shaking her head. I’ll give her a moment in a second. I do understand that right now, what’s happening is that people are making offers without subjects. But with the minister’s answer, this doesn’t necessarily fix the problem, then. If the whole point is to try to encourage people to have subjects, to have a home inspection, to have the sober second thought…. I’m wondering if the minister knows where I’m going with this. That’s where I’m confused with the answer, because she’s saying that people can lose if there are no subjects.
That’s not going to solve the problem. There are a lot of developers, a lot of investors and speculators that may go out and say: “I’m just going to invest or put a bunch of bids on homes with no subjects.” That is cutting out people, families, who are legitimately trying to get into homes. Those people need those subjects sometimes.
I think the minister knows where I’m going now. I see her conferring with her staff.
Hon. S. Robinson: I’ll take another shot at this, because I think I understand where we’re not syncing. The right to put in subjects, of course, is still there. It has always been there, and that has been, certainly…. I’m not going to speak for the member, but I remember my purchases, and that was very important to me.
That is still, certainly, possible. However, we have certainly seen, in this very active market, where people are feeling the pressure to not put subjects. So they put in offers that get accepted with no subjects. What this does is it says you have this period of time to go get the things needed that you need to get done, like your financing, like a home inspection.
They’re not subjects. They’ve already put in an offer with no subjects. Having some time to go take care of these things is part of this homebuyer protection period so that they can get those things done. They could see their offer through, or they could say either their financing didn’t come through or they’re not satisfied with the home inspection. It didn’t meet their needs, or they felt like it was going to require too much more of an investment. They didn’t have the financial capacity. So they have the right to walk away in the case where they have put in a no-subject offer.
M. Bernier: What the minister said in a couple of answers ago, though…. But if they do choose to walk away with a no-subject offer, they could be penalized or lose part of their deposit. I’m not going to go down that road again, but these are the concerns, obviously, that we need to flag.
Maybe the minister can explain this. We’re trying to — I, maybe on behalf of a lot of people in this situation…. How will this actually work on the ground?
What I mean by that is I’m selling a house. So I’m the seller, not the purchaser. We need to remember, in today’s market, most sellers are probably purchasers as well. They’re selling a home and moving into a smaller house, maybe upgrading to a larger house, moving to a different part of the province. Somewhat irrelevant for where I’m going on this, though.
The situation we have right now is there are multiple offers. I don’t see, under this cooling-off period, that the opportunity for multiple offers changes.
By that, I mean ten people look at a house, nine people make an offer. What’s stopping the seller from looking at…. Simplistically, I’ll say five offers come in. They look at the five offers. Four of them have subjects; one doesn’t. What’s stopping the seller from just now picking that one with no subjects, waiting the seven days, or whatever the prescribed days…? We don’t have it in the legislation yet. We just move forward, and the house is sold to that person with no subjects. Nothing has really changed. We’re just waiting seven days for the contract to be finalized.
Is that a fair way of looking at this? What are we actually going to solve with this, if we’re not forcing people to have subjects, which you can’t do? We can’t force a seller to which offer they’re going to pick. In essence, it could still be the same situation of somebody putting in a bid, no subjects. Wait the seven days. It’s all done.
Hon. S. Robinson: I think the member has, in many ways, hit the nail on the head. With 70 percent of offers, which is what we’re hearing now, that have no subjects and with the people being encouraged by realtors not to use subjects, there isn’t that opportunity to get that important work done.
What this does is it says that you have time to get your ducks in a row in order to make sure that this is the right decision for you. In essence, it creates space for the buyer to get all the information they need to make sure that it’s the right decision for them.
Right now what’s happening is the seller is picking the no-subject offer. Everyone now is putting in no-subject offers in order to compete. So in order to make sure that those who feel pressured to put in no-subject offers have the opportunity to compete, so that they could get all their ducks in a row — whether it’s the financing, whether it’s the home inspection — we’re creating a right of rescission so that they can get that important information in their hands as they finalize their deal.
M. Bernier: Well, since we’re hitting the nail on the head, I think one of things I just heard from the minister, though, is that it’s not going to solve the problem, because if people can still put in an offer with no subjects, there is no obligation from the seller to let somebody in the house after they’ve put in the offer, if it’s not a subject.
By that I mean if somebody says, “Subject to inspection,” then the seller has agreed to allow, at some period before the closure date of the subjects, that person to have access with, usually, a professional home inspector to look at the house. If they put in an offer with no subjects, and I’m the seller, what ducks in a row are they going to get?
Because you’ve just given me an offer with no subjects, I don’t have to let you in the house for a home inspection. I don’t care if you’ve got financing or not, because you’ve made me an offer with no subjects. All I have to do is to wait the seven days, and it’s a contractual obligation.
I’m trying to figure out, through this process with no detail, how it’s actually going to solve the issue. By the minister’s own acknowledgment — 70-some-odd percent, the minister said — people are making offers without subjects. Does she see that going down? Or is it just going to be more people, and the same people, making offers with no subjects? I’m having a hard time understanding how this will solve the issue.
Hon. S. Robinson: First of all, I think if someone puts in an offer with no subjects, and their financing falls through, they really are stuck. Having at least some space provides them with the opportunity to walk away with perhaps some penalty. We’ve certainly seen, and I’ve read into the record, what Australia does. BCFSA will make some recommendations to us about what that ought to look like.
Recognizing, again, the pressure that we have heard that 70 percent of offers being made now are without any subjects, and realtors are saying that in order to even have a chance, you need to put in an offer with no subjects…. That puts considerable pressure on people. This right of rescission is about relieving some of that pressure.
If you can’t get a home inspection, for example…. If the seller says, “No way am I allowing you to do that,” that takes some of the pressure off in terms of allowing this fictitious family that the member has described, that I think we can all conjure up in our heads…. It allows them to go away and have a conversation and think about what that means for them and to understand what risk they are taking without the home inspection.
Again, it’s about having a little bit of space. We have been hearing over and over again…. I can certainly read into the record some more stories from families who have felt considerable pressure. We’ve said this is one piece of consumer protection. We’ve tasked the BCFSA to look at other ways that we can have more consumer protections available when we have a very active housing market, recognizing the kind of pressure that folks are under.
I expect that I’ll be doing this conversation, perhaps, with the member over the next number of years or decades or something — I don’t know — as we continue to look at ways to make sure that consumers have the tools and the space that they need to make these important decisions.
M. Bernier: Nobody is arguing the fact that these are important decisions. The concerns we have are around whether this piece of legislation and what government has brought forward will actually solve any of those issues — which, I think, a lot of people are feeling it won’t, especially in light of some of the answers I’ve heard today from the minister.
I understand completely the idea of a cooling-off period. On whether it’s going to actually solve the issue of people putting in offers without subjects, having a penalty and the risk of losing all or part of their deposit, a lot of this — in light of some of the answers I’ve heard today too — definitely sounds like this was all driven politically, probably by the minister and government, not through recommendations.
It would be interesting to know and see the documentation of all of the people that came forward, whether it’s the minister’s staff or the public, and who said: “You need to do this, because this will solve the problem.” That would be interesting, definitely, to see. I want to ask…. I don’t want to go too deep down this one, but again, scenarios, I think, are important, especially with the lack of detail in the legislation.
Let’s use the seven-day number that the minister floated out as a maybe for the right of rescission. As a seller, my concern will now be that if there are multiple offers that come in…. I take one, and that person, in that seven-day window, backs out. What happens then? Do we then go to the next group of people that made offers, and do I now have to pick, as a seller, my next person? “Well, okay, this person backed out. Now I’m going to door No. 2.” Does that start another seven-day window?
We can see how this could play out here if it comes out with very little penalty or very little chance of losing a deposit. The minister is shaping this as consumer protection. It sounds like everybody has forgotten about the seller in here. I’m just concerned or curious about the protection for the seller, because the seller, again, in a lot of situations, will also be a purchaser somewhere else and relies on that closure of the purchase of their home, in order to have the continuation there.
Sorry if I’m being long-winded on this, but my concern would be that a seven-day window could start another seven-day window, which could start another seven-day window. The next thing you know, we’re damned near a month down the road, and my house hasn’t sold. People are using loopholes within a rescission period to back out because, maybe, they’ve put in multiple offers, and they’ve now taken that one instead of this one.
I’m wondering if the minister, first of all, knows where I’m going with this. What will trigger the next step? Another seven-day, another seven-day — is that what could happen?
Hon. S. Robinson: The member used a seven day, but I want to, again, clarify for anyone who is listening that that hasn’t been determined. I’m waiting. I have not seen the report, so I am waiting to see what the recommendation is from the BCFSA on how many days should be considered. I’m confident that the BCFSA looked at the very issue that the member is raising, and one of the ideas is that a fee may deter these frivolous or these multiple offers, as the member has identified.
I also want to point out that when sellers have conditional offers, that’s exactly how it works, right? You put in a conditional offer. The conditions are either met or they’re not, and people get to walk away, and you have to look at the next offer. So that is how it works when we have, what I would say, not as active a market. There is the time and the space to put in what are sound subjects, typically, which are really mostly about financing and home inspection. That is how it works. This is sort of creating space for that.
With that answer, Madam Chair, I’m wondering if we might take a five-minute break….
Interjections.
The Chair: Oh, you’re good.
Clauses 1 to 3 inclusive approved.
On clause 4.
M. Bernier: On clause 4, I’m just going to quickly ask a question. Typically, I don’t have questions in clause 4. It’s around commencement period. In this specific case, though, the clause 4 is talking about commencement through an OIC, through regulation. I just want to use this opportunity to highlight and ask a question of the minister before I wrap this up.
I’m trying to make a point. I think that we’ve acknowledged not only through our second readings but through the discussion here that the best approach would have been to have the information in this House. A lot of the questions that I asked today, or scenarios I was using, could have all been avoided if that information had been shared in a bill rather than information that just says: “We’re going to decide at a later date based on a report that we’re going to get really soon. I’m going to have some time….” I don’t have to relive my second reading speech.
I think the whole point, again, is…. In my opinion, this is completely the wrong approach of how legislation should be treated in this House.
To put forward a one-clause, basically, piece of legislation that says, “We may or may not do something at some later date, based on information that we know we’re going to have any day,” when the minister could have easily, I would argue, signalled to the public the importance of something being done, which would acknowledge the political pressure, I think, that the minister and government are getting….
They could have acknowledged that without necessarily bringing forward a piece of information that didn’t have detail and done that, especially since it’s going to be in regulation. They could have waited the few weeks. They could have brought this forward at the end of session, possibly even had unanimous support in the House, because the details would have been in there. We’re not opposing the concept of a cooling-off period. We’re not opposing the concept of consumer protection.
What we’re talking about as the challenge here is opposing the fact that government has put something forward in this House with no detail for us to be able to vote on it with good conscience. How do I support this and go back and look at myself in the mirror and say that I feel very comfortable knowing what the government is doing here to help consumer protection? I can’t do that. Anybody in opposition can’t do that.
My question to the minister on clause 4 is: will the minister commit…? Since clause 4 is saying that this act will come into force by regulation, which means not by the Lieutenant-Governor at any point in this House, in this sitting, that means that it’ll be brought into force by regulation at a later date — assumption will be after the minister has read the report.
My assumption is that that also means it’ll be brought into force once the parts of clause 1 that we talked about, which has no determining information to it…. Once the minister has filled in the blanks of a penalty and how all of this will work, that is when the minister, my assumption again — and she can correct me if I’m wrong — will bring this into force, when the details are in there.
To respect this House and to respect the process and this establishment, will the minister commit to bringing forward this legislation document with the itemized determination of how this will all work before it goes into force, into an act? The minister has that opportunity.
The way they’ve written this is that she could actually bring this forward this fall, present it and table it in the House. The legislation will already be passed, so it’s not bringing the legislation forward. It’s bringing the act forward to say: “This is what we were going to be voting on in cabinet. This is the OIC. This is what we’ll be doing.”
Instead of us finding out, like we did by the Minister of Citizens’ Services, that decisions are made, and all of a sudden it’s just announced, will this minister do the right thing, table it and bring it forward to this House so that at least we know, rather than reading it in a press release, what the intentions are of this government before she approves it?
Hon. S. Robinson: I appreciate the member’s question.
The regulations, of course, will be made public before coming into force, because the administrative part of acting on these regulations and on this legislation is significant. There’s a lot of heavy lifting that needs to be done around educating all of the various component parts of this industry and making sure that everybody is onside of the legislation. There’s a lot of work that needs to be happen, so of course it will be made public before it actually comes into force.
I’m assuming that that was the member’s last question. I want to thank staff for their tremendous work. I want to thank the member for his great questions. I will confess that I’ve missed him. It’s great to have him on the other side asking me questions. It just feels like the olden days.
Clause 4 approved.
Title approved on division.
Hon. S. Robinson: I move that the committee rise and report the bill complete without amendment.
Motion approved on division.
The committee rose at 4:51 p.m.
The House resumed; Mr. Speaker in the chair.
Report and
Third Reading of Bills
BILL 12 — PROPERTY LAW
AMENDMENT ACT,
2022
Bill 12, Property Law Amendment Act, 2022, reported complete without amendment, read a third time and passed.
Personal Statements
APOLOGY FOR COMMENTS
MADE IN THE HOUSE
Hon. J. Horgan: Earlier today, at the end of question period, my passion for health care got the better of me, and I made some intemperate comments that may well have offended members of this House or others. I apologize for that, and I withdraw those remarks unreservedly.
Hon. L. Beare: I call Committee of the Whole on Bill 14, Wildlife Amendment Act.
Committee of the Whole House
BILL 14 — WILDLIFE
AMENDMENT ACT,
2022
(continued)
The House in Committee of the Whole (Section B) on Bill 14; R. Leonard in the chair.
The committee met at 4:55 p.m.
The Chair: I’m going to call a 7½-minute recess. We will return at 5:02 — and a half.
The committee recessed from 4:55 p.m. to 5:04 p.m.
[R. Leonard in the chair.]
On clause 3 (continued).
Hon. K. Conroy: I’m introducing the staff that are with me here again today: Deputy Minister Rick Manwaring; our assistant deputy minister David Muter, who is now with a new ministry; director of legislation Yimmie Sonuga; and the executive director of wildlife, Jennifer Psyllakis.
We’re ready to answer questions.
J. Rustad: We’ve spent a fair bit of time on this bill to date, and we spent a great deal of time, actually, on section 1 of the act around the definition of First Nations. The minister made a commitment, as part of that, to get a list of the First Nations which were not in, hosts that didn’t have communities in British Columbia but were connected to that.
I’m wondering. That was almost three weeks ago. Does the minister have that list for us here in this Legislature today?
Hon. K. Conroy: It’s my understanding that we committed to the list of the 204 nations who reside within B.C. that we consulted with, and we are in the process of getting that list together.
J. Rustad: That was on April 7, in the afternoon, when the minister committed to getting the list of these nations that could participate in this bill, in this agreement. Here we are now, 20 days later, still on this bill, having an opportunity to discuss this. Obviously, the list of these nations potentially impacts on the discussions we’re going to have on clause 3.
Perhaps the minister could provide a date or a time when we might actually get this list so we could actually see just who is involved and who is not involved in this bill.
Hon. K. Conroy: We can have the list to the member sometime this week.
Interjection.
Hon. K. Conroy: I said we can have that list to the member sometime this week.
J. Rustad: Hopefully, I guess, we’re still debating this bill some time this week. I appreciate that the minister is able to get that. Like I say, it’s unfortunate that we’ve had the break week and 19 days, and we weren’t able to get this to be prepared for going into the Legislature here today. C’est la vie. It is what it is.
When we were last discussing this bill, we were on clause 3, and we were discussing the guest….
[Interruption.]
J. Rustad: Sorry, I really wish we could close the doors in the Legislature. It’s sometimes hard to keep a train of thought.
We were last discussing the issue of the guest, and I just wanted to clarify from the minister, if I can, in terms of the guest in here means “a member of a first nation who, under a sheltering agreement, hunts in the traditional territory of the host nation.” Could that guest be from outside of the province or, potentially, outside of the country?
If the minister could just confirm that for me. I think we did touch on this before, and I just can’t remember. Just for clarity for going forward here.
Hon. K. Conroy: Yes, we did canvass this last time. It’s covered in section 1, under the definitions: “‘first nation’ means a first nation whose traditional territory includes land within the boundaries of British Columbia.”
J. Rustad: That’s good. So it doesn’t necessarily mean any First Nation.
This is one of the reasons why I’m looking for that list of the First Nations that are included, because I am curious about, particularly, treaty 8. For the people that have signed on to treaty 8, my understanding is that they have the ability to hunt and gather within the territory that covers treaty 8, which obviously extends to nations out across into Saskatchewan, which do not actually have, necessarily, territory within British Columbia, but they have treaty rights within British Columbia, which means they may have the right to hunt in British Columbia.
That’s why I’m wondering exactly how that works, in terms of treaty 8, and whether they’re included or not. So maybe if the minister could clarify that particular situation, that would be helpful.
Hon. K. Conroy: The answer is no. Based on a 2020 B.C. Court of Appeal case about the western boundary of treaty 8, it’s no longer clear that treaty 8 rights can be exercised by Treaty 8 First Nations throughout the treaty 8 territory or whether those rights can be exercised only within the traditional territory of the particular signatory Treaty 8 First Nation.
Consultation advice followed that case, and it reads as follows: “The declaration over the expanded boundary does not provide certainty regarding where treaty harvesting right can be exercised — in particular, whether those rights can be exercised throughout the tract described in treaty 8 or only within the traditional territory of the particular signatory Treaty 8 First Nation. This question will be determined by other court proceedings or, preferably, negotiated agreements.”
J. Rustad: I seem to recall that was a discussion around that particular case. It was a discussion around the expansion of the boundary or where that boundary dispute laid in the northern, northwest area of treaty 8. I’m not sure if that was referring to all of treaty 8, the other nations that were part of it, or not. I do know there are some challenges, some issues, even in British Columbia, between, for example, the McLeod Lake Indian Band or the Fort Nelson band or Doig or Blueberry.
All of these nations have their territories, but they also have hunted throughout the area and believed it to be a right. I think that the question mark around that, if I remember that case correctly, was really that there was a discussion about exactly where that western boundary existed. But the traditional area of treaty 8, and the nations that applied to it, I thought, was different.
I don’t mean…. This is a legal issue, which probably should be answered by the Attorney General, associated with this case, but it is important to know. We’re going to be getting into discussions around overlap, conflict, boundaries and who has the rights within various areas, etc. That’s why it’s important to understand what’s happening in treaty 8 with regards to those rights.
Maybe I could ask the minister for some clarity on that particular case, whether that’s referring to all of treaty 8 or whether that was referring just to the area of dispute around where that western boundary was associated and whether that meant that it adhered other nations to treaty 8 or not. I’m sorry for the complexity of the question, because I do understand that it is a very complex question associated with this bill. But it’s just important to know, in terms of the sheltering agreements, where there’s potentially going to be friction and how that’s going to be addressed.
Hon. K. Conroy: First Nations that enter into sheltering agreements between themselves have done so, historically, for a long time. These rights are enshrined in the constitution. The purpose of this bill is to allow host and guest First Nations to ask the province to support the sheltering agreements.
The member is quite right. I’m not a lawyer. Definitely, our ministry is not involved in the deliberation of case law as such, but we will be sure to monitor case law as it arises to see how it affects any of our legislation. But I’m not about to discuss case law as it relates to this bill.
E. Ross: Listening to the discussion on section 3…. I’ll get back to the case law subject matter later. In terms of the First Nation, really thinking about the overlap issue….
The overlap has been an issue long before I came along. It started to become a formal issue probably back in 1982, when section 35 was enacted in the Constitution of Canada. We are really talking about host First Nations and guest First Nations in that same context, because we could be talking about a neighbouring First Nation. But you’ve still got to settle the overlap question.
Ultimately, there have been many processes over the years to try to resolve this. I agree that the case law is not going to answer this. If it could answer it, it would have answered it long ago.
Mainly, what was actually relied upon were the agreements that were hammered out between governments and First Nations in particular, talking mainly about, for example, the Aboriginal fishing strategy. That really talked about the resource, as opposed to the land. In this question here, though, we are talking about the land, specifically about the land. I don’t expect the minister to find the answer for overlap in case law, but the promise of DRIPA actually suggests that there is a solution here, somehow. I’m not quite sure of it.
In fact, I actually brought this up in terms of debate of the UNDRIP bill in the first place, back when we were still debating it. You don’t necessarily have to solve this question of overlap within the confines of Bill 14, but you will have to address the infringement of a sheltering agreement on a neighbouring First Nation.
There is no mention of anything — not in the DRIPA bill and not anything in this Bill 14, the Wildlife Amendment Act — that speaks to how the infringement, or the potential infringement, will be resolved in the formation of a sheltering agreement with a specific First Nation.
Without having to try to answer the overlap question itself, could the minister describe what the process will be to consult and, where needed, accommodate a First Nation who has disputes over the ownership of a particular territory, in terms of negotiating a sheltering agreement?
[J. Tegart in the chair.]
Hon. K. Conroy: If the host nation’s territory overlaps with other First Nations…. We have established policies for addressing this type of matter. Our general approach will be that first we would expect that the host and guest First Nations would work this out with other nations that have overlapping traditional territory in the area. Sheltering agreements are a tradition and have been in place between nations for generations. We expect that most cases will be handled between the nations.
In cases where nations are not able to work this out, we would, at the nations’ request, offer to support the process with a strength-of-claim analysis. If there is no way to resolve the overlapping traditional territory, it’s unlikely that we would be able to enter into a sheltering agreement.
You’ll see in clause 5 that the intention is, in these provisions, that the provisions would come into effect September 1 of this year. This will allow time for the ministry to finalize policies and procedures to support the implementation of the bill. The provisions in the bill are intended to add clarity and transparency to allow the province to support those traditional practices and agreements between First Nations that have been in existence for years.
E. Ross: Thank you for that answer.
I’ve been dealing with overlap since 2004. I do understand the idea that early engagement is preferable. Working out an agreement between your neighbouring First Nations is actually preferable as well.
In my territory, I’ve got six, seven or eight First Nations that have overlap issues. We were only able to resolve one — through an agreement that didn’t stand up. I do agree that what everybody wants is some kind of agreement between First Nations, but you’re still talking about an infringement that would actually be carried out through an agreement between the Crown and the First Nation. That’s what we’re talking about. Yes, you can have these proactive, engaging talks between First Nations, but at the end of the day, this infringement actually falls to the Crown to address.
It’s actually the duty of the Crown to address it, not necessarily a First Nation question. There are thousands of documented examples of First Nations having territorial disputes, through treaty negotiations that the B.C. government actually sits on. You can find it out through the statement-of-intent maps that have been sitting in the B.C. Archives for the last 40 or 50 years at least. You also have the evidence supplied through thousands of referrals that came from the B.C. government to the First Nations and that then were sent back with the strength of claim.
I didn’t read — maybe I missed it, or maybe it’s another bill — of the process that the minister is talking about on how to resolve the overlap issue as a formal conversation between the Crown and a First Nation. I do understand that the conversation has to happen between First Nations. Is there a section that speaks to the process the minister is referring to, in how to resolve the infringement of a sheltering agreement on a neighbouring First Nation in terms of overlap?
Hon. K. Conroy: The member knows that if there’s no way to resolve it, as I said, then we’re not going to attempt to resolve overlapping issues as part of this process. There wouldn’t be a sheltering agreement. That would be the outcome of that.
As far as where the policy and procedures are for this, that’s part of what we’re going to be developing. It’s policy and procedure. We’re going to be developing that — and have that in place by September 1, 2022, this year.
E. Ross: Thank you for that answer.
To be clear, I understood the rules of infringement of rights and title prior to UNDRIP being enacted in this Legislature. I understood the rules. It was based on case law. Whether you talk about Mikisew Cree, Haida or Delgamuukw, all those principles actually were a big part of the government’s decisions in terms of First Nations interests. To be honest, I have no idea what DRIPA does now.
I did debate the minister on this when we were actually talking about this. It was my understanding that UNDRIP, the United Nations declaration on the rights of Indigenous peoples, would override or be the new law of the land in terms of First Nations interests, regardless of what the courts said.
This is the first time I’ve heard a reference to a court decision. When the minister was referring to a question from my colleague from Nechako Lakes regarding treaty 8, it’s the first time I’ve heard government actually talk about that in terms of a court decision.
I wonder, just for my own purposes…. In light of her answer to the overlap question in terms of developing a process, could the minister describe to me what will be the overarching law of the land when it comes to infringements of rights and title such as a sheltering agreement being negotiated with a First Nation? Will it be DRIPA? Will it be the case law that’s been established in the courts of B.C. and Canada over the last 40 years, or will it be some kind of hybrid type of solution to some of these infringements that the Crown is contemplating?
Hon. K. Conroy: The bill is about managing wildlife effectively. It’s not about solving overlapping land issues. Again, if there are overlapping issues that aren’t resolved, we wouldn’t enter into a sheltering agreement. I understand that there are issues. The member is as well aware as anybody in the House on the issues, and I appreciate that. But this is about sheltering agreements, and it’s about managing wildlife, not about those land issues.
J. Rustad: I thank the member for Skeena for his comments and questions and the minister for the responses to it, but it certainly does need to be explored a little more.
Perhaps the first thing I should really get some clarity on, if I can, is government’s role in all of this. So maybe a little context as we go into this question. As has been said many times by the minister and by myself in regards to this bill, First Nations have historically had the opportunity to do sheltering. It wasn’t called that.
They had agreements between hereditary chiefs or others to allow people to come in to be able to harvest animals or do other activities within their traditional territory. That’s something that has gone on, long before we were around, and something that, quite frankly, probably still goes on today, although I suspect not reported, necessarily.
In this bill…. This bill is trying to take something that has happened traditionally and try to formalize it in some way within the Wildlife Act in terms of some definitions and some agreements and stuff that’s in place, which I find curious, because in this act itself, it says it doesn’t have to actually do anything that’s in this act or doesn’t necessarily have to follow any restrictions or comply with anything within the act. Regardless of that, we’ll get to that in a little while.
The issue I’ve got here, or the question I’ve got here, is really government’s role in setting up these agreements. So if a First Nation, a host nation, wants to have an agreement with a guest to come in and do a sheltered agreement, or a sheltered hunt as it’s called, a sheltered agreement in here…. Perhaps the minister could provide some information as to exactly what role government is going to play in these agreements that are really a nation-to-nation agreement. What is the role of government as part of these agreements?
Hon. K. Conroy: The intention of the amendment is to, when requested by nations, align existing traditional sheltering protocols with provincial laws, thereby allowing for transparent enforcement of sheltering agreements. Also, our role as government is the coordination of harvest management — we continue to do that — as well as the role of enforcement. Government would continue to do that.
J. Rustad: That answer opens up a whole bunch of questions, but I’ll hold off on those at the moment because I want to get some clarity around this piece.
In the bill, it says: “The minister and the governing body of a first nation may enter into an agreement respecting hunting in the traditional territory of that first nation by members of other first nations.” Since this has gone on historically, and may still go on today, and this could be…. The government may enter into an agreement. It doesn’t say that the government must enter into an agreement. It doesn’t restrict First Nations from doing what they have traditionally done. This is just an option that, if they wanted to, they could enter into government.
Am I reading that right? Can the minister provide some clarity on that?
Hon. K. Conroy: Yes, the member is reading this right. To remind the member, and members here, this is an agreement that nations have asked for. When the consultation was done on amending the wildlife bill, this is what nations asked for. So yes, the member has it right.
J. Rustad: I understand nations have asked for it, and it’s government’s role to make something that actually works, which is why I’m asking these questions about it.
The minister talked about the intent here. The answer that she gave to my colleague from Skeena was to managing wildlife effectively. So we may enter into these agreements. We may not enter into these agreements. There is no requirement for reporting, or maybe there’s reporting.
I don’t see how that’s going to lead into managing effectively. But like I say, we’ll get an opportunity to ask some more questions around that as well. But like I say, I’m still trying to figure out just what role government will have associated with this.
Maybe I’ll put it this way. If we have a host First Nation and a guest First Nation that want to enter into an agreement, a sheltering agreement, does that agreement then require the minister’s authorization or sign-off in order for that agreement to take effect?
Hon. K. Conroy: Nations, as they have traditionally always done, can have an agreement between themselves without our involvement. It’s when nations ask us to be involved that we can get involved to support the agreements between the nations.
J. Rustad: If I understand the minister’s answer correctly, this bill is relatively quite irrelevant. If nations want to do it, they can. If they don’t want to do it, they can still carry on with what they’ve traditionally done, which I find very interesting. So this in no way restricts First Nations from carrying on with doing their own version of whatever agreement that they want to have. We’re calling it a sheltering agreement in this bill; they call it whatever other agreement that they want to have.
In other words, host nation A with neighbouring nation B could enter into whatever agreement they want to allow somebody to come on, and they would have that right to hunt under section 35 and case law. They would have that right to hunt.
It makes me wonder. That this was asked for, I get. I get that the First Nations agreed they wanted to put it in here. They like the way it’s written, and I understand why, because there are very few restrictions. There’s no reporting and there’s no enforcement that are actually teeth that are in this bill.
From what the minister just said, they could carry on with doing this without the minister signing off on doing this. Perhaps the minister can explain why we’re doing this bill.
Hon. K. Conroy: I mean, the member is quite right. Nations have section 35 rights.
The agreements with the bill will have the benefit of strengthening our ability to broaden opportunities for collaborative management, which is really important. Without this bill, we don’t have that.
To clarify the legal standing of some wildlife practices, like the host has the right to hunt…. It actually will keep those situations out of court, which has been past practices. So we get away from that, which is a good thing. It contributes to the reconciliation with Indigenous nations by recognizing those traditional practices, which is, again, what Indigenous nations have asked for.
J. Rustad: It’s interesting. If I remember, the case laws around hunting…. There were a couple of cases. One helped define the rights of First Nations to hunt and to gather — well, a number of cases that have, over the years, which is what has built up the case law under section 35. And of course, one associated, particularly, with the First Nation that we have canvassed extensively, about the fellow from the United States who came up and hunted and had the rights to hunt.
I’m not quite sure if there’s room for any more court cases to go forward on this, because first, it’s been pretty clear in case law that First Nations have the right to hunt. I get what the minister is saying around trying to prevent additional cases from coming forward.
The issue here — I’ve heard very clearly from First Nations, and I’ve also heard very clearly even in the discussions around UNDRIP — is that we’re trying to get rid of colonialism, and here we are implying colonial rules to something that First Nations have done traditionally anyway. I don’t quite follow that logic, but that’s what the minister is trying to do with this.
The key issue I’ve got here with this agreement, and what government’s role is associated with this agreement, is the whole issue of enforcement, because the First Nations have the right to hunt under section 35, and they have the right to be able to do what they’ve traditionally done in terms of these agreements. How is any agreement enforceable? They have the rights under section 35. You can’t take away those rights with a bill. You can’t alter those rights with a bill. They have that right. That’s what the right is under section 35 of the constitution.
We’ve got an agreement here which lays out what two nations may agree to do or one nation with individuals from another nation may agree to do, but they don’t have to even follow this agreement, even if it’s done and written out, because they have that right under section 35 anyway.
That is why I come back to this question about what’s the purpose of this bill. It’s been asked for. It’s great. We’re clarifying these things. But without having the ability to actually enforce, without having the ability to actually create a management structure that has to be followed, why are we here? What are we doing with this bill? That’s why I’m asking what the role of government is associated with these agreements.
I get that there are going to be these agreements between nations, and government is going to come and give its stamp of arrival and say: “Yes, okay. We’re doing this.” Or maybe there is some dispute with other ones. We’ll get into more of the overlap discussion. So maybe government says: “No, we’re not doing it.” The bottom line is they can do it anyway.
How do these sheltering agreements that we’re putting in actually…? How can this thing actually be enforced, for one? And why is acting like First Nations asked for this when they already have that right?
Hon. K. Conroy: Under section 35, a First Nation’s established rights are to hunt on their traditional territory. The agreement extends those provisions to guests, and by entering into the agreement, the laws are clear.
This legislation will establish that a sheltering agreement may include provisions that authorize a guest on First Nations traditional territory to hunt in a manner that the guests would otherwise be prohibited from under the Wildlife Act, because section 35 gives them the established rights to hunt on their traditional territory and impose conditions or limits on a guest in relation to those authorized activities. So the agreement would allow that.
It establishes that provisions within sheltering agreements that vary the operation of the Wildlife Act need to be approved by the Lieutenant-Governor-in-Council to be effective through regulation and clarifies that, despite the Wildlife Act and regulations, a guest acting in accordance with the Lieutenant-Governor-in-Council-approved sheltering agreement provisions is authorized to do so.
If they have a sheltering agreement, they’re a host hunting on the traditional territory of a guest, they have a right to be there to do that.
J. Rustad: Before I pass it over to my colleague from Skeena on this, I just want to maybe get one bit of clarification from the minister about that.
Is the minister saying that an Indigenous person does not have the right to be a guest in another First Nation’s territory today to hunt? I think that’s what the minister just said — that this makes it possible for a First Nations person, an Indigenous person, to be able to go in as a guest in a host territory to hunt. Yet they have carried on with doing that for millennium — for thousands of years, 100 years, whatever the time period may be. We talked about the fact that the tradition is…. They still do this today.
Is the minister saying that it is actually illegal for an Indigenous person to be hunting in traditional territory — welcomed into traditional territory by a First Nation, hunting in a traditional territory — unless we had some sort of sheltering agreement?
Hon. K. Conroy: Yes, the member is right. Under section 35, Indigenous nations have that right. But what we need to do…. Because the Wildlife Act hasn’t been changed since 1966, we need to ensure that this bill mirrors those rights. That’s what nations have asked us to do.
E. Ross: I think there is some confusion here in terms of what section 35 of the constitution actually implies or what it says. Section 35 only recognizes the rights. That’s all it does. It doesn’t define them. The definition is actually in the case law that’s been established over the last 40 years.
We were talking around the three main issues that have already been decided upon in the courts of B.C. and Canada — mainly, health, safety and conservation. That is the responsibility of government to oversee, regardless of rights and title, regardless of section 35. It’s for the benefit of everybody in B.C.
When the minister talks about some of the legalities or, in terms of some of the laws, some of those charges have been in direct relation to safety or conservation. It’s acceptable by many First Nations in B.C. and Canada. I’ll give you an example. If you go and harvest abalone right now, it doesn’t matter if you are Aboriginal or not. You can get your truck taken away. You can get your boat taken away. You get your licence taken away. That speaks to conservation.
There are limiting factors on rights and title. That’s already been decided. I think, from what I’ve heard from the minister, she touches once in a while on enforcement and management. When you’re talking about that, you’re really talking about those three principles: health, safety and conservation. We haven’t even gotten into the idea yet that in some cases, where we’re talking about health, meaning some type of virus that could be transmitted from animals to humans, the case law is important.
Section 35 is a great statement in terms of the recognition that Canada actually achieved back in 1982. It was a landmark clause in the constitution, but it led to 40 years of court cases because it was too general. It was too vague. That’s what I see in this bill, Bill 14, the Wildlife Amendment Act. It’s vague, because it doesn’t mention anything about management or enforcement or safety. It doesn’t really speak to the duty of the Crown to actually ensure those principles are upheld.
When we’re talking about this, I understand what the minister is talking about in terms of taking an informal practice and formalizing it in an agreement between the government and First Nations. I understand that. But running parallel to that…. I’m getting the feeling that there are parallel objectives, which is that this will actually benefit everybody, non–First Nations and First Nations alike, if we can incorporate provisions that talk about safety, conservation and health.
Am I correct in assuming this?
Hon. K. Conroy: Thank you to the member for the question.
The intent is not to alter the fact that conservation is first and foremost when we’re doing this. There is actually no clause in the act because we’re not altering anything. We actually believe we will strengthen conservation with this act. We’ll strengthen conservation on wildlife management. Also, we’ll be doing that in collaboration with First Nations. We strongly believe that.
I move that the committee rise, report progress and ask leave to sit again.
Motion approved.
The committee rose at 6:24 p.m.
The House resumed; Mr. Speaker in the chair.
Committee of the Whole (Section B), having reported progress, was granted leave to sit again.
Committee of Supply (Section A), having reported progress, was granted leave to sit again.
Hon. K. Conroy moved adjournment of the House.
Motion approved.
Mr. Speaker: This House stands adjourned until 10 a.m. tomorrow.
The House adjourned at 6:25 p.m.
PROCEEDINGS IN THE
DOUGLAS FIR ROOM
Committee of Supply
ESTIMATES: MINISTRY OF ENERGY,
MINES AND
LOW CARBON INNOVATION
(continued)
The House in Committee of Supply (Section A); M. Dykeman in the chair.
The committee met at 2:43 p.m.
On Vote 23: ministry operations, $109,556,000 (continued).
The Chair: Good afternoon, everybody. We’re currently considering the budget estimates for the Ministry of Energy, Mines and Low Carbon Innovation.
T. Shypitka: Welcome back after the break. We’ve kind of straddled the break with estimates here, with Energy, Mines and Low Carbon Innovation.
Before the break, I’d asked the minister on a list of completions. We were talking about the Mining Jobs Task Force recommendations. There were 25 of them. Those were set out in 2018. Of the 25, I’d asked for a summary on the list of completions, with those recommendations.
The minister replied that he would get me a list of those completions, or a summary of how those recommendations are going. I’m not sure if I missed it or not, but if the minister could now provide me with that information, that’d be great.
Hon. B. Ralston: The ministry has prepared a document. They just completed it today. We can provide it to you now, if you wish, or we could provide it to you at the end of day. We could go through it line by line, if you wish, or we could pass it on to you and give you some chance to digest it and come back with questions later.
T. Shypitka: I’m not sure if I heard the minister correctly. Does he have the document now that I can have, that I can see? I can probably even look at it a little bit. If not, I can go through some of my concerns.
One of my big concerns, obviously, was the fact that we actually have to even compile a list of completions and non-completions. Like I said, it was a recommendation by the Mining Jobs Task Force. The minister has acknowledged how well received this exercise was. On this report, we’ve brought in all kinds of expert people. We brought in academia, science, First Nations and industry. A lot of folks put a lot of time and effort into this. They came up with some recommendations.
I’ve been asking these questions for the last three years now, on completions. We’re still not there yet. I guess that’s my biggest concern. I’ll take a look at what the minister has to offer.
We talked a little bit last time on some of the shortfalls. The minister basically said, last time before the break, that the priority really wasn’t there. That was to make whole the METC tax credit and the other tax credit that the AME had recommended and also the Mining Jobs Task Force. It was made whole as far as a permanent piece, but it wasn’t increased by 10 percent for each of those tax credits.
There are also some other things. Discussion papers were filed on: “Explore opportunities to support Indigenous communities across B.C. in gaining equity ownership related to major projects.” I believe there’s a discussion paper on that. Maybe the minister can comment on that one. “Amend or develop existing legislation to support the development of community trusts with participation of multiple Indigenous groups.” There’s a discussion paper on that.
“Review the fiscal framework for B.C.’s revenue-sharing policy to determine ways to reduce the volatility of the revenue streams to Indigenous communities.” I think that’s with the Ministry of Indigenous Relations. There’s also: “Introduce an integrated Indigenous mine training program.” I think the minister said that was going to be delivered in February of this year. That’s gone and past. I think now it’s been updated so that will be handed forward in May. I think that’s what the minister told me. He can correct me if I’m wrong.
There are numerous recommendations in here that have still yet to be fulfilled. We’re, I believe, 3½ years into this now. I guess the question to the minister is: when does he anticipate this to be complete?
Hon. B. Ralston: Great. Thank you to the member for posing a number of questions there. I’ll endeavour to answer some of them, and he can follow up as he sees fit.
The member has mentioned the task force recommendation of making permanent the tax credits, and particularly, the exploration tax credit. It has been made permanent. The desire of some to increase the percentage of the tax credit has not been implemented. But I don’t think the problem is the tax credit.
Last year was a record year. Despite the pandemic, 659.8 million in exploration dollars spent in British Columbia — the highest since 2012. Usually one begins to examine increasing tax credits if activity diminishes. Yet here, we’re at near-record levels, so we don’t feel that it’s required to incent activity when it’s so strong in the province.
The member asked a question about Indigenous participation and equity ownership. There was a conference on…. I think the member there was there last night with me at the Major Projects Coalition conference. We would be there but for the fact that we have estimates here today. There are 1,000 people attending in person. There are business leaders. There are national Indigenous leaders. Their goal is net zero by 2050, and they are talking in a very serious way about Indigenous participation in the resource sector.
We are, as a ministry, engaged with the First Nations Finance Authority. I think that’s established by Harold Calla. It’s well known. And the Infrastructure Bank. One area which seems to have emerged for Indigenous ownership in terms of equity participation is pipelines. The work on Indigenous ownership and equity participation in mines is not as advanced, but certainly, those discussions are taking place.
The typical financial arrangement is…. I think what I referred to last time, as between the ministry and Indigenous nations, is an ECDA agreement. I think that’s the acronym. It’s an agreement between the Indigenous nation and the government in an area where mineral tax is being collected, and there is a sharing of that mineral tax.
In terms of training, the recommendation was for long-term training, but in fact, the mining industry has leaped over those constraints themselves in some projects. For example, in Red Chris, in the Tahltan Nation jurisdiction, as many as 36 percent of the workers on-site are Indigenous. At New Afton, in Kamloops, 25 percent.
There is a long-term trend to encourage and train Indigenous workers. The industry, in their effort to get in a labour climate where there are shortages, has reached out and trained people and drawn them in to very high-paying jobs, not simply…. Of course, some are entry-level jobs. But whether it’s at the professional level, whether it’s mine managers, whether it’s engineers, whether it’s environmental consultants, Indigenous participation in the mining sector in British Columbia has, I think, one of the best records of any sector in the province.
Yes, there is that recommendation, and it is being worked on, but the results are already there in advance of any program.
In terms of a further sharing of the resources, the Minister of Forests made an announcement about revenue-sharing. We’re engaged in what the Minister of Indigenous Relations has called a new fiscal relationship. That’s also led by the Minister of Finance, understandably.
There was an announcement last week on a new fiscal relationship with Indigenous nations in relation to forestry revenue. Mining is next on the list for that kind of consideration and, I would think, enhancement, although I can’t predict the results of that process.
Certainly, given the government’s commitment to a new fiscal relationship, I expect that there will be progress on this file as well. And certainly, if the enthusiasm of the over 1,000 participants at the dinner last night…. The time is right. There’s a groundswell of support. There are lots of opportunities in this sector, along with others in the natural resource sector, here in British Columbia.
T. Shypitka: Yeah, I’ll give credit to the mining industry. They’ve always been a front-runner and a leader in Indigenous employment. Definitely, there’s a big contrast between mining and other sectors in our economy on Indigenous employment and opportunities. Mining definitely leads that. Although I didn’t hear any timelines on when these recommendations will happen, I’ll just take it that they’ll be ongoing.
The minister mentioned the METC and the mining flow-through share program tax credit — not increasing that by 10 percent on either one of those credits. I think the last time we were here it wasn’t as much of a priority. I think he said that you can’t do everything, in relation to budgets and money. I think it’ll take about — maybe the minister can correct if I’m wrong — $6 million or $7 million to the province if those tax credits did increase by 10 percent.
The minister also said that it’s not a priority right now because the environment is so strong right now. I think one of those reasons is because commodity prices are so high. I guess my thought is: is the minister waiting for commodity prices to crash?
We’ve got to keep up with the rest of the country. Ontario is ahead of us on these incentives, I believe. I think they’re up around 35 percent for their tax credits. So I’d just like to see us keep up — at least par — with those jurisdictions that we compete with for investment dollars.
There was another recommendation in here, too. That was to make permanent the new mine allowance. It was only given a five-year extension. Now, the minister made some smart comments last week that the previous government only gave three-year, five-year extensions on the METC and the mining flow-through share program. Yet on something that’s supposed to be made permanent, under the recommendations of the Mining Jobs Task Force, they are just merely giving a five-year extension.
Maybe the next question to the minister is: when does he see making permanent the new mine allowance under the Mineral Tax Act?
Hon. B. Ralston: The new mine allowance was extended in Budget 2020 for five years. That’s, obviously, some time away. Anything like this is a matter that’s considered in the Ministry of Finance.
There are ongoing discussions between my ministry and the Ministry of Finance. No decision has been made yet. Certainly, industry does have its eye on this. So that is being considered, but while it’s being considered, the allowance is in effect and continuing. There’s lots of time to make a decision before it expires.
T. Shypitka: Going into permitting now. I think that last estimates I’d put forward a statement to the minister, and he didn’t contest, deny or confirm it. I’d suggested that there were about 250 notice-of-work permits in the queue.
I’m just wondering — I think there has been some relief from that in the last year — if the minister can now provide me with the information on how many notice-of-work permits are in the hopper right now in the ministry.
Hon. B. Ralston: I am provided with some statistics. In ’21-22, 38 major mine permit amendments were issued, 24 for metal mines and 14 for coal mines. In fiscal ’21-22, 344 notice-of-work permits were issued. Those are the most recent statistics that we have about the issuing of permits.
T. Shypitka: Chair, I’m sorry. I missed that. How many are still in waiting right now in permitting or notice of work? I missed that piece.
Hon. B. Ralston: I’m told that there are 577 permits in progress. That’s not a queue. There are different types of permits, and where they are in the process could be very different. But that gives, I think, a general idea. Of course, because the sector, as the member has pointed out, is very hot right now — given resource prices, there’s a lot of activity — the ministry is driving forward with issuing permits, in the numbers that I just spoke of.
T. Shypitka: So 577 permits in progress. That’s major mines exploration. That’s the whole gamut there.
Can we drill down a little deeper than that? No pun intended. Can we get into specifics about exploration companies, junior mining companies? How many notice-of-work permits are in the queue?
Hon. B. Ralston: I think what the member is addressing here is service quality and service timeliness. That’s something that I have focused on with the staff, certainly. Maybe I can describe some of the redesigns of the process. There’s been a standardization and service improvement project.
There’s been a notice-of-work application form redesign and guidance document to aid proponents in the submission of high-quality applications and to reduce application returns for additional information. That can be a very frustrating process. If you submit and you don’t have the right components in your application, it gets bounced. So there’s an effort to reduce that experience.
New mapping requirements were established to ensure that the map information provided by the proponents satisfies application standards.
There’s been a business process redesign, so immediate transfer of applications from FrontCounter to EMLI to reduce the hand-off delays. I think that was something, particularly in the regional offices, that was noticed. That began in November 2021.
There are reporting initiatives to track turnaround times and backlog of applications. Implementation of this process enables the ministry to better track data, analyze trends, identify bottlenecks and take action to reduce timelines. I know these are concerns that the member has expressed to me in previous estimates and generally.
On the consultation side, there’s a new ministry Indigenous adviser position to bring consultation efforts under the control of our ministry in order to reduce the current delays in consultation. Proponents are encouraged to initiate early engagement with nations prior to applying for notices of work. Obviously — I think this is probably self-evident — where proponents establish good working relationships with nations, shorter timelines can be achieved.
There have been additions to the staff in regional operations — six full-time-equivalent new positions. Then also, in other aspects of regional operations, a further 13 full-time-equivalents, so a total of 19 new staff in those processes to implement these changes.
I would just say that, certainly in the meetings that I have and that I know the member has, people are concerned about waiting times. It’s a very standard concern, particularly when you’re looking at mineral prices, which are at record highs, and you very much want to get your project in motion in order to achieve the kind of financing and forward velocity of a new project.
Those are a number of initiatives that have been taken, which I, of course, support. I think we’re…. Certainly there are volume increases, but we’re able to accommodate those and deliver the kind of service and timely service that we want in order to reap the benefits of the economic activity that these proponents and their projects bring.
T. Shypitka: Okay. Great. Some good initiatives there. I’ll be asking some more questions on some of these — these new designing methods, reporting turnaround times, better tracked timelines. Those will be some things I’ll be asking about in a bit.
I think I missed the answer to the question I asked, about how many permits, notices of work, for junior mining were in the hopper.
Hon. B. Ralston: What the staff is advising me is that we could arrange a technical briefing for the member. I mean, there are…. If he has in mind the trajectory or the path forward for certain junior mining companies…. If he wanted to, if the member agrees, we could sit down at a technical briefing and walk him through it.
There are a number of different processes, and there are many applications at different stages. It would probably enhance the member’s understanding of the process to engage in that kind of a briefing, should he so wish.
T. Shypitka: I’m hearing that there’s no separation, I guess. I’m trying to understand it. I think the last time we spoke, the minister indicated that a lot of priority was going to major mines, in permitting, to reach financial investment decisions. I can certainly understand that. We certainly have a few major mine applications right now that could see the light of day here soon enough. I’m hoping. We see Blackwater on their way, and we’re hoping many more are going to be following.
If the priority was on that, I guess I could switch the question around and maybe ask the minister how many of those permits, of the 577, are with major mines.
Hon. B. Ralston: Let me perhaps just begin with major mines, projects of note, that were permitted in the last fiscal. The Blackwater gold mine early works project, which is run by Artemis; Bonanza Ledge, phase 2 expansion; the Elk Gold mine, the 2021 restart; New Afton, B3 zone expansion; the New Afton custom mill; Elk Gold ore; Premier mine, the 2021 restart; the Gibraltar mine expansion; and the Red Chris underground first exploration phase underway.
Those are all major mines where permits were issued in ’21-22. Then giving the breakdown of the statistics, there are 577 total applications, of which 266 are aggregate — that is gravel — 127 are placer, 177 are mineral exploration, and seven are coal. Then there are 17 major mines that are in the process.
T. Shypitka: That’s great. That’s fantastic. That’s what I needed to hear.
I see of the major mines, we’ve got Blackwater, Bonanza, Elk Gold, New Afton, New Afton expansion, Premier, Gibraltar, Red Chris. Where does Fording River expansion fall into that? I wonder where North Coal and Fording River fall into the permitting.
Hon. B. Ralston: Just so it’s clear, the major mines that I referred to, those are permits that were issued in the last fiscal year, ’21-22. The projects that the member’s referring to are ones where permits have not been issued, and they are part of the, I think, 17 major mines that are in process.
T. Shypitka: Yeah, thanks for the clarification on that.
Just a question. We’ve got 577 permits. Only 17 of those are major mines. Seven are coal. Actually, I added up 594, but whatever. We’re almost at 600 here. A large percentage of them, about 95 percent of those, are with mineral, placer or aggregate.
Some of these permits are taking quite a substantial amount of time. Last year at this time, I spoke of a junior mining company that was waiting two years for an exploration permit. Now, sadly enough, it’s three years. It’s a year later, and they’re still waiting.
Would the minister agree that longer wait times for permitting are a hindrance to investment in British Columbia? Would he agree with that statement?
Hon. B. Ralston: Yes, I agree that the ministry undertakes to issue permits in an effective and timely way, but there are considerations, standards which we will not and cannot diminish. We’re obliged to engage in Indigenous consultation. We’re obliged to reach out and solicit community views on development projects. We also have environmental standards which are important to gain community confidence.
Those are considerations that are required to be considered in the process. It’s a balancing act to make sure that those considerations are drawn into any decision that’s been made so that the decision that is made is what’s called a durable one. In other words, it would withstand judicial scrutiny if it came to that.
I would say, though, that one bright spot here is that ESG — environmental, social and governance — considerations that were perhaps, in the past, regarded as detriments are now regarded as real strengths in the British Columbia process. In fact, that is attracting investment in British Columbia in a way that it wasn’t.
People look around a very turbulent world, where there are, in other jurisdictions, political instability, child labour, environmental degradation. People know that when they come and invest in British Columbia, they can expect a very high standard of service, regulation, stability. We meet all those kinds of criteria. That’s increasingly what investors, pension funds, private equity are all looking for in the investments that they make.
It is a balancing act. Speed is an important consideration, but it’s not the only consideration.
M. Lee: Thank you to the member for Kootenay East for giving this opportunity to join him in this review.
I, certainly, as the critic for Indigenous Relations and Reconciliation, wanted to join in on this discussion. The minister mentioned the First Nations Major Projects Coalition conference that’s going on. Clearly, like the minister, I’d like to be participating, if we weren’t here in estimates process.
Picking up on the theme that the minister just mentioned in terms of ESG, again, even in the gathering last night that he and I were both at, there was discussion as well about the component around Indigenous relations and British Columbia being a leader, certainly with the option of UNDRIP and the DRIPA action plan going forward. But apart from timing, there is also certainty in process.
If I could just come back to one of the responses that the minister gave previously when going through the permitting process. The minister made reference to….
Perhaps I could ask you, Madam Chair, through you, if the minister could just restate the additional resources that the ministry has added. It sounded like additional resources have been added to assist with the consultation management process with Indigenous communities and First Nations.
As well, secondly, the minister made a comment relating to…. To the extent that there are good relationships with First Nations by mining proponents who are seeking permitting as they go through the various stages — that that obviously will assist in terms of the timing, I would expect, on the permitting being granted.
Around certainty, it’s really an understanding as to the approach of the ministry, particularly in view of the adoption of UNDRIP — now 2½ years ago. What is the approach the ministry is using to ensure that there’s clarity and certainty about the permitting process to the extent that there is, obviously, the necessary consultation with First Nations in the sustainable way that the minister just referred to?
Hon. B. Ralston: I thank the member for the question. It is a good one. With the adoption of the Declaration Act and the new responsibilities that the government has taken on, analysis has been made, certainly in this ministry, of some of the gaps that needed to be filled.
When I spoke of the 19 new staff that were taken on in the permitting side, there are two First Nations advisers, and then there are four what are called senior Indigenous relations advisers as well. Those are people tasked to deal specifically with that aspect of the consultation in order to bring projects forward.
Certainly, the new Ministry of Land, Water and Resource Stewardship is also engaged with Indigenous nations at the landscape level, at the regional level to develop those plans. But there are some areas where the specific role of this ministry in advancing specific permits has required the taking on of new staff, and that’s what has been done. I think it’s going to yield results that are consistent with the obligations that this ministry and every ministry is tasked with, given the adoption of the Declaration Act.
M. Lee: Well, I appreciate the response and the additional detail and clarification. Certainly, it’s helpful to know — relating to the number of new staff that are being added on the ministry side to provide more resources. Presumably, that will only assist in creating greater certainty and timing relating to the permitting process.
The minister just referred to, of course, the new ministry. We know that we have a new minister involved in setting out the course. She will, I’m sure, have the opportunity for discussion in estimates in this process as well to give us a better sense, in our opposition caucus, as to the mandate and how this will fit.
Just on the point, again, that the minister just raised. Here we have additional staff on the permitting side, relating and helping with First Nations. Again, certainly from my perspective, we want to have a better process, a clarity, in terms of how we work with proponents — companies like New Gold, for example, with New Afton and the predecessor in Blackwater. I used to act for them when I was in the private sector, and I understand the nature of those projects.
Certainly, as the minister mentioned, the significant Indigenous employment, for example, at New Afton…. Those are the kinds of initiatives that we want to be driving forward. And making sure that, as we go through the permitting process, it doesn’t undermine the confidence of shareholders in the public company context, with a company like that — institutional investors, others that are looking at the political risk, so to speak, of this province.
As we look at creating certainty, it will be important to look at how this new ministry of LandWRS, referred to by others in the media…. This new ministry, in terms of water and other resources — how that’s going to be looked at and interact with this new ministry.
If I could ask if the minister could give us a sense as to how we’re going to go forward in looking at land use planning, vis-à-vis that new ministry, consultation with First Nations and the context of this permitting process.
Hon. B. Ralston: I thank the member for his question.
The new Ministry of Land, Water and Resource Stewardship is about a month old. Its mission, as I understand it, will be to focus, at a higher level, on multiple activities — to coordinate different resource activities on the land base, calculate or endeavour to consider cumulative effects and generally bring more certainty to the resource development project in the long run.
I would contrast that more high-level, long-term, multiple-industry approach of that ministry with what my ministry focuses on, particularly when it comes to mining. The essence of the focus is project based. That’s the way in which the ministry has been able to deliver the permits for the major mines that I spoke of in the last fiscal year: by focusing intently upon projects.
In order to get those projects through the process and meet the requirements, we’ve engaged more staff and realigned some of the internal processes, as I’ve described earlier. We’re making progress. We will work with the new ministry, but I want to just contrast and make very clear that they have a different role from the role that we continue to engage in.
M. Lee: I appreciate that. I appreciate that the minister had the opportunity to canvass that general lay of the land, so to speak, with the member for Kootenay East earlier in estimates.
In the way that I was asking the question, I just wanted to go a little further with that, just to get an understanding, again, around certainty and timing — we’re talking about the permitting process — as we look at the new Ministry of Land, Water and Resource Stewardship and the mention, by the minister just now, about “internal processes.”
This is what I’m trying to get a better appreciation of, for the member for Kootenay East and myself. What does that look like? I appreciate that the new ministry is only a month old, but as we go forward — as we understand, as I’m about to talk further — I’m sure the minister and his staff will anticipate the specific action in the DRIPA action plan, 2.14.
As we look at the Mineral Tenure Act review, for example, we understand and certainly would expect that the minister and the ministry, front and centre, will have the direct responsibility when we’re talking about mineral permitting in this province. I understand that.
Given this new layer, let’s say, of this new ministry over at the high level, as we go back to the original question I was asking in this series of questions — which is just having a better understanding as to the government’s position and approach on consultation — we know that the direct responsibility, the honour of our Crown, is why it’s with government. In terms of the nature of the consultation process for First Nations, I think I’m hearing from the minister that that responsibility, as far as it goes to mineral permitting, continues to lie with this ministry.
To the extent that we have the new ministry over top, at the high level, I’m just trying to get a better understanding as to what the consultation process will look like, with the new resources under this ministry versus the new resources under that ministry, so that we have a clear understanding, both for First Nations and for mining company proponents seeking permits or amendments to permits.
The Chair: We’re just going to take a five-minute recess while the minister is conferring. We’ll be back in five minutes. So 3:50 p.m.
The committee recessed from 3:45 p.m. to 3:55 p.m.
[M. Dykeman in the chair.]
Hon. B. Ralston: I thank the member for the question. I’m going to attempt to explain how it’s anticipated that the new ministry will mesh with the existing resources and, hopefully, bring some clarity to that.
What the focus of the new ministry will be is at the strategic level of planning — strategic as opposed to transactional. That’s one level that the new ministry will operate at. There’s a second area of consideration and focus for our ministry, which is major projects, and that’s a distinct category and focus of work. Then thirdly, there’s the regional exploration operations and projects.
Those, in some areas, have stayed with the Ministry of Forests, but there are gaps or areas where they have not been able to assist the ministry in timely issuing of permits, so that’s why we hired the 19 new staff. That is intended to make that work at the regional level go much more smoothly and much more harmoniously.
I hope that’s somewhat clearer. Three levels — the strategic level at the new ministry, major projects and then the regional exploration and projects level, assisted by the new 19 members of staff in order to make that process and those processes, along with the other changes in work flow, go more smoothly. That’s how it’s intended to operate.
As the member knows, the new ministry is just out of the gate. But certainly there has been, obviously, a lot of planning and thought gone into the way in which that ministry will operate, and I think there’s a level of confidence that it will work out in that way.
M. Lee: Before I turn it back over to the member for Kootenay East…. He may well have some additional questions related to the new resources dedicated to permitting. To come back…. As I mentioned, my interest in asking is the area, the new item, under 2.14 of the DRIPA action plan.
It is a new item that was added since, over a year ago, when the draft DRIPA plan was circulated for consultation around June of 2021. It came back, obviously, at the end of March and formalized itself as the government and the Minister of Indigenous Relations and Reconciliation tabled it in the House. But 2.14 is a new item.
Can the minister give us a sense as to the level of consultation or input that was received by First Nations that resulted in the highlighting of this new item in the DRIPA action plan?
Hon. B. Ralston: The member’s question was directed to, in the action plan, 2.14, which speaks of modernizing the Mineral Tenure Act. The question was: who had been consulted as part of making that decision to include that in the action list?
Among the groups consulted was the First Nations Energy and Mining Council. The member will likely know that they issued a paper — I think it’s a fairly lengthy paper — setting out the legal considerations that they thought were appropriate for modernizing that act. The First Nations Leadership Council was obviously involved in these discussions and expressed some clear views on that. Then, across the province, individual nations have expressed their concern about the act for some time.
It’s a combination of those and, I think, just a sense that given the commitments that have been made in the declaration act, it should be included in the way that it has been in the action list to bring about some change there.
M. Lee: Thank you for the response.
I just wanted to get the overall context behind 2.14, recognizing that it was one of the few significant changes to the DRIPA action plan. There are some others, but this was certainly one of note. So thank you for that response. The wording, of course, is modernizing the Mineral Tenure Act in consultation and cooperation with First Nations. That, of course, is….
Perhaps if I can just ask for clarification on…. Given that the minister is tagged, so to speak, directly in the DRIPA action plan with the responsibility for implementing or executing on this particular item, when we say modernizing, what does that mean in the context of UNDRIP and the laws of British Columbia?
Of course, the Declaration on the Rights of Indigenous Peoples Act refers to ensuring that all laws of British Columbia are doing all the things necessary to ensure that those laws are consistent with UNDRIP itself. Is that what we’re talking about when we talk about modernizing, or are we talking about something else, further? I do understand and I do respect there have been other concerns raised about the Mineral Tenure Act.
Perhaps the minister could just describe what his expectation is. Now that there has been that level of consultation behind this particular action item, to use the word modernizing, what does modernizing mean to those involved?
Hon. B. Ralston: I thank the member for the question.
The commitment to modernize is…. I think it’s premature to give a very definitive answer as to what that might involve. It will certainly involve dialogue with First Nations, with leadership organizations, with industry, with communities affected by mining and mining exploration.
Whether that will be…. I would expect, since this is an act that has not been revised for, I think, certainly decades if not dating back to the last century…. It is a major piece of change. The steps have yet to be determined, but our commitment is, by including it in the plan, to begin that process. Certainly, First Nations and their representatives will be absolutely included in that process.
M. Lee: The determination of the path, in terms of the action plan, I certainly appreciate, from the previous Minister of Indigenous Relations and Reconciliation, was always very clear, and the debate we had at committee stage on that Bill 41 was in consultation with First Nation leaders and the leadership summit. That’s what’s occurred, of course, over the last 2½ years to get to this point for the addition of 2.14 in this DRIPA action plan.
The minister did confirm one point, which I think is good to note — that in looking at the modernization of the Mineral Tenure Act, industry and communities affected, the words that the minister used, will be involved. They’ll have an opportunity. You would think that that would be the case given the nature of the act itself. So I appreciate hearing that.
Just in terms of the steps to take place and the dialogue and all of that, and recognizing that we are in the estimates process for this year, if I can ask: what is the expectation and the goal in this budget year in terms of what will be accomplished in this next budget year in relation to this particular action, 2.14?
Hon. B. Ralston: What’s intended to be done in the fiscal year that we’ve now entered into is both with leadership — individual leaders and their organizations — and with individual nations is to confirm the scope and the process and initiate substantive engagement and consultation.
I think the member will appreciate that this is a major undertaking, as I’ve said, and will require a careful definition of the path forward that’s acceptable to everyone. That’s what we will engage in in this fiscal year.
M. Lee: I appreciate the response from the minister.
Can I ask, then, in terms of, again, the goal that’s set out, recognizing that I’m hearing from the minister that there will be a degree of definition still and dialogue necessary, in his previous answer followed by this answer, in terms of what is expected in this coming fiscal year…?
Let me ask the question this way. When does the minister expect to complete this action, meaning…? If it’s not this fiscal year, recognizing this DRIPA action plan is a five-year action plan, when during the five years will this action be completed?
Hon. B. Ralston: I’m sure the member will appreciate that this is a major task. I think it’s premature, at this point, to predict timelines and outcomes. We are about to enter the engagement process in the way that I’ve described. Once that is begun and underway, then, perhaps, we’ll have a clearer idea.
These processes, as the member has mentioned, are included in the action plan. There’s certainly every intention, and I’m directed in my mandate letter to initiate this process and to move it forward. It’s just premature to predict how rapidly or how slowly it might go forward.
M. Lee: That does lead me to three potential questions here. Recognizing that there is no defined timeline, and recognizing what the minister just said, it’s possible, of course, then, that this item will not be completed when the five-year action plan is done. That’s one question to confirm.
Secondly, have there been any additional resources added to the ministry in order to address and deal with this particular action, 2.14?
Hon. B. Ralston: Again, I would return to the previous answer. I think it’s…. Certainly, there’s a strong commitment to begin this process and get it done, but it’s premature to predict when it might conclude. Certainly, as I say, that’s a commitment going forward — to get it done. Without beginning the process and engaging in it, it would simply be speculative on my part to give a timeline that really has not yet emerged. So that’s how I would answer that question.
Secondly, in terms of resources, there will be no additional resources. The resources will come from within the ministry and no increment to the budget to do that.
M. Lee: Well, I’m sure the member for Kootenay East will have further questions relating to that response and the overall budget for the ministry.
I, just to ask two other questions…. One is in a parallel way. We know that an act of this significance…. Again, we heard from the minister, in terms of understanding the complexity of the task at hand, and I certainly appreciate that.
Recognizing that, would participants in this process, specifically First Nation leaders and the First Nation organizations that are contemplated within this DRIPA action plan item 2.14…? Will they be receiving any resources in order to participate in this process that is contemplated under 2.14?
Hon. B. Ralston: Yes, there will be funding, but it’s not known how much that will be. It’ll depend on the scope of the project.
M. Lee: Just for clarification — to have the minister clarify for my understanding — where will that funding come from?
Hon. B. Ralston: The funding source is the Indigenous funding program, which is administered by the Ministry of Indigenous Relations and Reconciliation.
M. Lee: Certainly I will take the opportunity to talk to the Minister of Indigenous Relations and Reconciliation relating to that funding availability, so I appreciate that.
Just coming back to Land, Water and Resource Stewardship, the new ministry. Previously we were discussing the high level and strategic level of planning role that the minister indicated was one of the three principal roles of that ministry. In the context of the review and the modernization of the Mineral Tenure Act, is this an example where that new ministry will play a role to determine the overall strategic direction as to how the Mineral Tenure Act should be modernized?
Hon. B. Ralston: The primary responsibility for the process that we’re discussing will be my ministry. What the role of the other ministry that has been referenced…. We just don’t know, at this point. But certainly, the primary responsibility for this 2.14 in the action plan is the responsibility of my ministry.
M. Lee: Just recognizing, as I reflect on the minister’s responses in terms of the length of time, the uncertainty…. That wouldn’t be the minister’s words. Let me just rephrase that as the to-be-determined nature of the timing and the scope and the process in which the Mineral Tenure Act will be modernized.
Does the minister have concerns relating to the signals that we’re providing to industry, to communities affected and even to First Nations, to the extent that they want, of course, to participate in the jobs and skills training that are being provided — we talked earlier about examples of that — in this province?
Just as we go through this, the length of time that it’ll take to modernize…. Again, we do not have a clear definition as to what the government means by that, in terms of this DRIPA action plan.
As to the concerns and whether that’s going to raise some uncertainty as to how, even if a mining company, in the current context…. Again, the member for Kootenay East has reviewed with the minister what’s in the pipeline, what’s in the backlog, what’s in process.
As you have permits that come up for review, renewal, expansion, to what degree is the minister concerned about the length of time that this process might take? If it’s going to take over five years, potentially, that might impact or undermine the investor confidence or certainty behind our mineral tenure system in this province.
Hon. B. Ralston: Any process of change raises questions and concerns, but that’s certainly not a reason not to go forward with the change. Certainly, we’re committed with the change. The Association for Mineral Exploration, for example, is actively engaged, with its members and its staff, to assist in helping with this process. Certainly, Indigenous leadership and the First Nations Energy and Mining Council are also engaged.
The challenge will be to create a process that matches the expectations that people have for this change and help what is a very strong and important sector in our economy continue to thrive. The idea that…. The member, I think, is conjuring up a shimmer of a five-year delay. There’s no basis for that assertion at this point. We haven’t begun the process. We’ll have a better idea, as I’ve said, of how long it will take. But to automatically go to that default position, at this point…. There’s just no basis on which one could say that.
M. Lee: I appreciate that, and I appreciate the minister’s response. I think there’s some basis, in terms of the lack of clarity. Certainly, there is no certainty in terms of the timing, the scope, the meaning of modernization, in the way that this has been framed in 2.14.
I would certainly urge the minister and this government to…. I’m sure the member for Kootenay East and other members here would join me in this. We just want to ensure that there’s clarity. We all have supported the adoption of UNDRIP, the DRIPA action plan as it has been tabled in the House. There wasn’t any involvement from members of this side of the House in terms of the design of the DRIPA action plan itself.
[A. Walker in the chair.]
This estimates process is our opportunity to get clarity for First Nations that have already been involved in this process, others that may not have been involved in this process, industry participants, as well as communities affected, as the minister describes that.
I would say that in the absence of a clear timeline, recognizing that this particular action is a new item that was added to the DRIPA action plan…. You would have expected that from June 2021 to March 2022, over nine months, to add one item, take out two items and add clarification relating to a distinctive-based approach…. You would have thought that this government would have spent the time to define and understand what modernizing the Mineral Tenure Act, with First Nations input and engagement with First Nations organizations, would mean.
We are now coming on to three years since UNDRIP was adopted unanimously in this House. A concern that I think all members of the House would have is that we make progress, because the minister did acknowledge that we need to manage expectations. Expectations are quite high, given the historic ceremonies that have happened on the floor of the House when UNDRIP was adopted and the DRIPA action plan was tabled by the minister on March 30.
All we’re saying is that there is a real lack of clarity at this point, in terms of what this action means, what timeline is going to be involved and what the scope is. Recognizing that this is a five-year action plan, that is the point that I’m making.
I would ask, Mr. Chair, to give the opportunity to the minister to respond one further time to my concerns relating to timing and scope and whether, in the absence of understanding what is going to be defined in the first year, this is a process that could potentially take up to five years, if not longer. There is no sunset on the action plan.
There are annual reports that need to be tabled with the Legislative Assembly. I note that this government put in place a DRIPA action plan one day before the end of the previous fiscal year, so they’ll be reporting, in their next annual report in June, on one day of progress under this action plan.
I’m hearing from the minister…. I don’t hear any progress in one day, but I understand that now that we’re down into another, what, three weeks, we’re looking at further definitional work.
If he could please clarify his response in terms of what the expectation is on timing and scope and whether this can be accomplished within the five years of the action plan.
Hon. B. Ralston: As the member has pointed out, the plan was unveiled on March 30. Our plan as a department is to begin the engagement process. There are resources set aside. Preliminary work has been done. We’ll probably begin with the First Nations Energy and Mining Council, but there are other organizations and leaders that we will be consulting with.
It would be premature and, I think, the very opposite of consultation if I were, at this stage, to dictate a timeline. That’s a process that requires engagement and consultation and mutual agreement. The member may be unsatisfied with that process. It seems to me that’s…. The very essence of the process that’s mandated by the Declaration Act is a cooperative, consultative process that requires engagement in order to make those kinds of decisions.
M. Lee: I would just remind the minister that when we look at the context of DRIPA, section 3, it puts the onus on government to ensure that all laws in the province of British Columbia are consistent with UNDRIP. The time period from when that started is back in November of 2019.
The DRIPA action plan is something that has been tabled. We just talked about that in the House. But that certainly was more than just a few months, which is what the previous Minister of Indigenous Relations and Reconciliation thought at the time. It would be a matter of months. I understand the pandemic occurred. We’re still in it. I understand that, but still, it’s coming on beyond 30 months, and now we don’t have an understanding of timing, going forward.
Perhaps I could ask the question this way. Would the minister agree that this action item, 2.14, would be completed within the five-year term of the DRIPA action plan?
Hon. B. Ralston: The intention is to get this piece of important work done within a reasonable time. That’s why we included it in the action plan.
M. Lee: A reasonable period of time, presumably, is within five years. It is a five-year action plan. So we’ll take that as a reasonable period of time.
Will the minister at least confirm that, in the first fiscal year, the workplan and the outline of the timing required, the steps it will take to hit a deadline…? I’ve given a reasonable period of time. It’s reasonable to say, when you’re tabling a five-year action plan, that the action is completed within five years.
Now, I think we’re all looking for certainty here. We’re all looking for progress. We’re looking for action. That’s the reason why it’s called an action plan. I know First Nation leaders expect that too.
With the combined efforts…. Despite the fact that there are no additional resources at the ministry level to deal with this item, as the minister has confirmed, I would presume that there would be a timeline that will be understood and mutually agreed upon by the parties. Again, we can talk about who those parties are. But to be defined…. The minister has mentioned a number of the leading bodies, of course, for First Nations in this province, but there are other parties involved.
To the minister responsible for this particular action, I would ask: will the minister be able to confirm, in the first year, the actual timeline for this process to actually get this action done?
Hon. B. Ralston: Yes, it seems reasonable to be able to bring forward a workplan with timelines within the next fiscal year.
T. Shypitka: Thank you to the member for Vancouver-Langara for some great questions and for taking care of the Indigenous piece. It’s super important.
Before the member for Vancouver-Langara started asking questions, we were talking about permitting. He expanded on the Indigenous portion of that, the action plan and the Mineral Tenure Act that’s being revamped. I guess the comment, from seeing and hearing the exchange, is that we just really want clarity. We want certainty and clarity in our permitting process.
Earlier on, we talked about the 577 permits that are in the queue right now in different stages. Ninety-five percent of those, or more, are with junior mining, placer, aggregate — those kinds of folks. Some of these folks are waiting two or three years. I’ve got a person right in my own community that’s been waiting three years for one, and they’re a very reputable junior mining company.
We need some certainty. With the exchange here, I saw uncertainty and not really clear answers on questions about certainty. That strikes a little bit of a concern with the folks I talk to.
The minister mentioned that our permitting won’t be impeded by obligations that they feel necessary. I agree. Indigenous relations, environmental issues, community views…. He said these are all considerations.
He also expressed his views on ESG — environmental, social and governance — and how important and how valuable that is in the industry. It is becoming a valued piece of investment. I think BlackRock asset managers are the largest asset manager in the world. They have $7 trillion, I think, in assets under management. They value ESG.
The only problem is that with ESG being so valuable…. We won’t be able to realize its full potential if we don’t get shovels in the ground, if we don’t get investment coming to British Columbia to show the world how we’re doing things here in B.C. with our First Nation partnerships, our environmental standards, our work safety standards.
I think the minister talked about 14-year-old children in Africa in cobalt mines, in mines, going down foxholes, basically, with no ventilation. These are horrendous practices. Nobody does it better than British Columbia.
All industry wants is some certainty based on permitting. If it’s a year, tell us it’s a year. If it’s two years…. Investors might not like that number, but at least they can make rational decisions. Instead, what we’re seeing is the can getting kicked down the road a little bit, the goalpost moving, and there’s no certainty or no timelines. So we’re just asking….
Thank you to the member for Vancouver-Langara. He exposed another layer to that, with the action plan and the implementation to look at revamping the Mineral Tenure Act. Some very important stuff.
I wanted to find out a little bit about the employees. I think last time we talked, I know there was $20 million dedicated in 2018, I believe, to restructure under the Auditor General’s recommendations to separate permitting and authorizations from enforcement and compliance. I believe there were 66 full-time employees that were dedicated to that. I think there were 44 in permitting, maybe, and 22, something like that, in compliance and enforcement.
What is the total number in the regional office — I think it was five — that are dedicated to permitting in the province right now? How has that changed under this fiscal budget? Has it gone up or not? I think it has, but I’ll let them tell me.
Hon. B. Ralston: The members have made some references, I think, to the investment climate here in British Columbia.
I think what the facts say…. In fact, I’m certain what the facts say. Judging by the decisions that have been made by those companies, those pension funds that assess risk and make investments, British Columbia is doing very, very well. I’ve given the numbers on exploration last year: a near record high, the highest since 2012, $659 million in exploration, up $237 million from the previous year, the highest total since 2012.
Major mining companies have made significant investments in British Columbia, which is a strong…. They’ve assessed risk, they’ve assessed what the member calls uncertainty, and they’ve made a decision to invest.
For example, Newcrest Mining invested $3.4 billion in the Pretium mine, taking that over, the Brucejack mine, from Pretium Resources. They invested $1.9 billion in the Red Chris mine. This is one of the major mining companies in the world. Their CEO, Sandeep Biswas, has said that British Columbia is a premier mining jurisdiction, and this is a premier investment in a premier mining jurisdiction.
The idea that somehow there’s this great cloud of uncertainty over British Columbia is just not borne out by the facts. Newmont, another major mining company, has made a major investment in GT Gold. The Ontario Teachers Pension fund invested in New Afton, I think, two years ago — one of the major public pension funds in the country.
Couple that with the exploration that’s going on. Couple that with the issuance, as I’ve given, the number of permits for major mines that were issued in the last budget year, and the picture of mining in British Columbia is very, very strong.
Yes, there were some challenges in regional operations. That’s why we added 19 staff, and now the complement in regional operations is 60. By juxtaposing those two numbers, you can see that there has been a major increase in staffing at regional operations.
I think I’m very optimistic. I’m very proud of what the government has done in the mining sector, and I think the best is still to come. I don’t really think that the tone in which the member is tackling this subject is really justified by the facts.
T. Shypitka: What I’m hearing the minister saying is it’s…. We’re doing well. Three-year wait times are acceptable. Uncertainty in exploration, drilling, is acceptable.
The minister keeps coming back to the hopper on Newcrest investment. Great. It’s a significant investment. These are operating mines. These are mines that have been through the hopper, been through the process, so there’s a different value there, I would imagine. As a matter of fact, probably a premium value, because they’ve actually forgone some of the permitting that happens on the ground, like the exploration companies have to go through.
We’re talking about two different things here. We’re talking about major mines, and we’re talking about junior exploration companies. My focus right now is ensuring that we do have major mines of tomorrow by ensuring that we have speedy and certain processes for our junior mining companies today. That’s the only way this is going to happen.
If we don’t get any more major mines in motion…. There are several that are on the docket right now. But if we’re going to lag behind in getting those shovels in the ground, get exploration, get mapping, proper geoscience — all those kinds of boots-on-the-ground types of activities going and consistent and clear — then we’re going to have a big lag in the coming years.
The minister knows this. The minister knows that these mines don’t happen overnight. Some of them will take 15 years from start to finish. So we’ve got to be thinking about today.
I know what’s going to happen when I go back to these other events that I go to, and I tell some of these junior exploration companies that the minister says that everything is fine and dandy. That’s not what they’re going to be telling me. That’s for sure. When you have to wait three years for a permit to go in a place — a reputable company — that’s not acceptable in my book.
I guess the question to the minister here is…. Let’s talk about exploration here for this question. What would he consider to be an acceptable notice-of-work turnaround time to get a permit in place? Is it 45 days? Is it 90 days? Is it six months? A year? Two years? Three years? I’m not sure. Every application is a little different, of course.
I’m hoping the minister won’t default to that kind of response. We’re talking about just basic, everyday exploration permitting, notice of work. What’s acceptable? What’s a benchmark? What are we shooting for? I think industry would like to know that.
Hon. B. Ralston: I want to deal with a couple of aspects of what the member has said, one about the future major mines. I just want to repeat that the permits that were issued in ’21-22 were for those very mines that are being spoken of.
The Blackwater gold mine early works project, owned by Artemis. That’s a significant development there. The Bonanza Ledge phase 2 expansion over in Wells, British Columbia. The Elk Gold mine, the 2021 restart. They’re located between Kamloops and Princeton.
The New Afton, the B3 zone expansion and the New Afton custom-mill Elk gold ore. New Afton is just outside of the municipal boundaries of Kamloops. The Premier Gold mine. The Gibraltar gold mine expansion, just near Williams Lake. The Red Chris underground first expansion.
These are significant developments of major mines. They are the major mines of the future. The concerns that the member has expressed, that there won’t be major mine openings in the future, are being met by the issuance of these permits.
The other comment that I want to just correct was that the purchases are of existing mines. In fact, GT Gold, which was bought by Newmont, was an exploration company. I think the price of the deal was $400 million. It’s not an operating mine; it was an exploration company with an identified property.
Then to turn to the issue of the regional operations, some of the challenges were encountered by the operation of FrontCounter. The department needed to increase the capacity to do First Nations engagement. That’s why — we’ve gone through this now at least three times — the staff that were hired to deal with those challenges now total 60. The 19 new staff, six First Nations specialists and other specialists that will enable…. The focus of the department was getting the major mines process accelerated. I think that has been a success.
These changes, along with the process improvements that I spoke of earlier — standardization and service improvement project, changing the notice-of-work application form, new mapping requirements, business process redesign…. I’m convinced that those will bear fruits. Some of the concerns that the member has expressed, on behalf of some applicants, will be addressed and remedied in the near future.
T. Shypitka: Thanks to the minister for the answer.
The problem is…. We’ve got a lot of focus on the major mines. It’s great; it’s good. I’m looking forward to those mines actually producing something here soon. I think Blackwater is projected to have its first pour in 2024, I believe — somewhere in that area — and I’m looking forward to that day.
I actually even talked to some of the folks down there, and I’d love to be present. If the minister would like to invite me to that, I’d love to celebrate with him. That’ll be a great day. It’ll be the first real mine produced by this government since coming into power five years ago. That’s awesome.
We’re talking about some of these other folks that have fallen through the cracks. The minister mentions FrontCounter. There are some hold-ups with First Nation consultation, I believe. They’ve brought some experts in to handle that, but this is no fault of the mining industry, the junior miners. They’re doing all their work. They’re dotting the i’s and crossing the t’s, doing all the things that they need to do. Government is failing to accommodate a timely process. Now, I understand that there are some issues, but that’s no fault of the junior miners.
I’ll just read a concern that a constituent had — somebody in the industry. I thought it made a little bit of sense. Actually, it made a lot of sense. When you get a mineral claim, there’s an expectation to do a certain amount of work on that claim to hold that mineral tenure. The clock is ticking once you get started on it, and you have to do a certain amount of work. You have to allocate a certain amount of dollars. I’ll read, just briefly, what this person said.
“A small property position may be 10,000 hectares. To maintain the property position, we have to file, $5 a hectare, for the first and second anniversary years.” This is under a four-year mineral tenure plan. “This would work out to approximately $50,000 each year.
“So a company has done its field work and decides to drill after the first or second year in the life of the property. We apply for a permit, say, in the second year of the life of the property, hoping to be able to receive the permit by at least the start of the next field season or earlier. As you know, drilling can be done all year round.
“Time is ticking by, and the anniversary dates on the tenures are coming up. Now we have to file dollars for year 3, which is now double, at $10 a hectare. Now we need to spend $100,000 and work to maintain the property one more year. If we have no permit, we can’t put the money in the ground.
“With no results because of no permit, no decisions can be made regarding the property. Should we drill more? Should we try to option it off to another, larger company? Should we reduce some parts or stake more ground? It’s not good business to have to be explaining to investors why nothing is happening with their investment. Because of permitting delays, it’s going to cost me even more to maintain the property.
“I just feel that the delays are not our fault, nor should it be our problem to deal with the fallout. By possibly freezing the property after 60 days or so or whatever is reasonable” — the minister never gave me an answer on what he thought reasonable time for a notice of work was, but maybe he can answer on the next go-round here — “to stop the advancement of the anniversary date and the increasing costs until the permit is issued, it may give some incentive to start producing the permits in a timelier manner, which is really what needs to be done for our industry.”
Can the minister address the concerns of this industry person, and can he make a commitment to work on freezing of tenure anniversaries if NOWs, notice-of-work permits, are not issued in a timely fashion and keep those dates frozen until they’re issued?
Hon. B. Ralston: The suggestion that’s made by the anonymous person that the member has put forward has been brought to the attention of the chief gold commissioner. That’s the person with the jurisdiction to make that decision. He’s apparently honouring that. Of course, the long-term solution is to issue the permits more quickly. That’s the reason for hiring the 19 new people, and that’s the reason for changing the work process. That, I’m confident, will bring a reduction in the times that are currently required to issue some of these permits.
T. Shypitka: Thanks to the minister for the answer.
It’s optimistic, I hope. It’s no fault of these companies for not being able to put money into the ground for permits they can’t get. By the minister’s own admission, there are a lot of challenges but not to the fault of the industry person. It’s to the fault of government in trying to get the expertise and the resources together to make this a fair, speedy, consistent and clear process.
I know the minister has heard these concerns; I know the staff has. I know they’re trying to work hard at it, but time is money. It really is. Some of these folks are wondering what they’re going to do, and some of them may just not be around if this process doesn’t pick up a little bit.
I guess the question is…. It’s in the gold commmissioner’s hands right now. Would the minister and his staff support a decision like that? I mean, it seems reasonable enough, but I’m just wondering what the appetite is with the minister and his staff.
Hon. B. Ralston: I’m advised that the chief gold commissioner does offer an extension of time for permit decision delays, and those are decided upon request.
T. Shypitka: Could the minister explain more on those requests? How detailed is that? What are the parameters? How does one apply for that?
Hon. B. Ralston: The chief gold commissioner, in section 66 of the Mineral Tenure Act, has the power to extend time limits. Let me just read this section: “The chief gold commissioner may, by order, extend the time or time limit referred to in this Act, whether or not the time or time limit has expired.”
The chief gold commissioner has jurisdiction conferred upon him or her by this section of the Mineral Tenure Act.
T. Shypitka: Let me get this right, then. So under the situation I was just given here, if somebody doesn’t receive a work permit or notice of work permit within a reasonable time…. I’m not sure what that time is. I’m not sure if the minister can tell me what the parameters are for that. I’m not sure if we’re actually addressing the same issue here.
Let’s say, for example, somebody applies for a work permit. It’s six months and no action. They’ve done everything right. The mapping and everything is done. That person could freeze that anniversary date and not have to act on putting money in the ground until that permit is released?
Hon. B. Ralston: The person concerned could write a letter to the chief gold commissioner. That will be reviewed and responded to.
T. Shypitka: Can the minister tell me how many of these applications have been made in the last year?
Hon. B. Ralston: There was a COVID extension that went into place in March 2020. That extended every permit to December 31, 2021. Then there was an additional one year given to those, including everyone who was waiting for a permit decision.
I’m not sure where the anonymous person that the member has raised fits into that. If it was in the last couple of years, there would have been extensions granted.
T. Shypitka: I’ll circle back. As the minister said, it is far better just to get the permits out the door than to rely on these extensions, for sure.
The minister never answered the question on what he thought a reasonable amount of time for a notice of work was. Maybe that’s a bit of a convoluted question, but I think it drives to the heart of what industry wants to hear from the ministry and the minister. Do they have benchmarks? Are there reasonable benchmarks in place, or practices that they’re thinking of, to bring some certainty? If it’s a year, like I said before, tell them it’s a year. If it’s two years, tell them it’s two years. At least investors can make a decision based on those types of answers.
I’ll ask again if the minister wants to tell me, or tell industry, what he thinks a reasonable amount of time for a notice of work, a simple exploration permit, would be, roughly.
Hon. B. Ralston: I’m not going to be able to answer the question in the way that the member is suggesting. The speed at which an application can be considered depends on the region from which it comes, the quality of the application and the complexity of the application.
If the application is not in order and it has to go back…. I think we referred to that earlier, about being bounced back and forth. The effort was to streamline the documents in order to enhance the likelihood that applicants would submit all the necessary information in order to process the application. That still is a persistent problem with some applicants, and then the complexity.
The key variable, I would say, in the present context, is the degree to which an applicant has initiated, prior to submitting the application, consultation with the affected First Nation. If that job has been done, if there has been an initiation of consultation, then the likelihood is that the application will go forward much more quickly than if it has not been done at all. That’s, I think, what I can offer in terms of advice to applicants.
Certainly, as the minister responsible, I want to make sure that these applications go forward in a timely way, meeting the standards that are required under the act, in order that they can be properly considered and approved or not.
T. Shypitka: Well, maybe I’ll get into a part of the budget, then. I believe there’s $18 million, for three years, to the regulatory excellence in mining strategy.
Is this $18 million part of building that capacity with First Nations? Is this going to help move us along in that direction? I guess I’ll give a moment for the minister to shine on this one a little bit. There’s $18 million dedicated. How will that $18 million be used to continue the strategy?
Hon. B. Ralston: At a high level, the $18 million is allocated at $6 million a year. So $6 million was spent in ’21-22, the fiscal year just finished. It will be $6 million in the fiscal year we’re in and then the subsequent fiscal year, ’23-24.
The majority of it has gone to the regional operations, in the ways that I’ve described in the questions that I’ve answered, whether it’s for staff or process enhancements, refining the documents. Some has gone to major mines, for the reasons that we’ve similarly discussed, to make sure that the lengthy list of permits and notices to work that were issued got out the door.
The effort has been to enhance the permitting process and competitiveness generally, at all levels, using that addition to the departmental budget.
T. Shypitka: Another complaint I’ve had is staff, available staff in the permitting office. I’m not sure if they’re talking FrontCounter here, or where.
Can the minister tell me if there’s ever a reason why staff may be temporarily not available, working in the permitting office? They said pulled away to assist in forest fires, sometimes. Is that the permit…? I just have to be clear, because I never followed up with the constituent. Pulled away to assist with forest fires, maybe attending a mine rescue event, this type of thing — the person, the constituent, asked if that’s fair.
It’s during the summertime, usually. These things happen, obviously — forest fires and mine rescue events. That’s right when they want to get their permitting done and things processed. Can the minister clarify if those resources are taken away from the ministry?
Hon. B. Ralston: Well, I can appreciate the concern that’s been expressed by the member’s constituent. The last two summers there have been — I think it’s well known — fire events across the province, flooding events across the province. Generally, the public service is asked to, and wants to, pitch in to help the affected communities.
In some cases, yes, the ordinary duties would be suspended, and people would go out and assist in these emergencies. I think most people would, upon reflection, see that as the right thing to do.
T. Shypitka: Safety first, obviously. People’s livelihoods, homes and stuff could be majorly impacted by forest fires. We’re seeing more and more of them, so we need all hands on deck.
But is it fair? I think that was the question. Is it fair to the industry to take those resources away from them when they have livelihood expectations in the balance? Should the ministry not be looking at some other alternative to taking resources away from those that need it the most?
I think that’s a fair question. I think the ministry must have thought of providing an alternative source of resources to fight forest fires. Is that something the ministry will be looking forward to doing in the future?
Hon. B. Ralston: Many of the people that are employed in the ministry and in other ministries have very particular skills that are particularly valuable in an emergency. So when the call goes out, they are highly desirable participants in fighting the fire. And one would expect in communities that that, I think, would be, realistically, the first priority. That’s something that those people very much want to do.
I appreciate the concern that the member has expressed. But frankly, I think, upon reflection, this is the highest priority — to keep communities safe from fire or to recover from floods. And the degree to which the provincial government and its employees can help, I think, would be the expectation of most citizens in the province.
T. Shypitka: That goes for the mine rescue events as well. I mean, I love the mine rescue events. I go every year to Fernie when they’re around. They’re excellent events.
However, there is that balance, right? We’ve got people that are already waiting a long time for permits. This just delays things even further, and they get aggravated and frustrated.
I think it may be something to consider — for the ministry to come up with maybe an alternative action plan so we don’t lose those resources when fire events happen or when mine rescue events happen or whatever. I think we really need to keep those resources where they should be.
I’ll turn the page a little bit to competitiveness and fiscal policy here for a second. The minister has mentioned a couple times about the seven or eight mine projects that are expected to reach a financial investment decision here, I believe, in the next 12 or 24 months.
These mines, at least seven or eight, that we’ve highlighted — Blackwater, New Afton, Premier, Gibraltar, Red Chris — are significant. I think it’s about $4.2 billion in capital investment; 6,000 jobs, if I’m right; and about $450 million to government revenues once they’re in operation — quite significant. We’re looking forward to that day when these can come online.
The problem is that the lack of urgent action in Budget 2022 to address long-standing inequities within the application of British Columbia’s carbon tax for trade-exposed industries puts B.C. jobs at risk and may encourage global mining investment to migrate to jurisdictions with higher GHG emission profiles. We’re talking about carbon leakage. We’re talking about not being competitive.
We’ll have these mines in place hopefully in the next little while. But how competitive will we be, with our carbon tax structure and how it relates to other jurisdictions in the world that have much lower…? Not even in the world, but even within our own country, as a matter of fact — Ontario, for example.
Would the minister agree that our competitive advantage…? As we see the carbon tax go from where it is now to — jeez, I hope I get this right — $130, $140 a tonne by 2030, I believe, our advantage will be slowly eroded every year if we don’t have a competitive tax structure to address our emissions-intensive trade-exposed industries globally.
Has the minister given that consideration? I know he’s been told that by industry. Where does he sit with the carbon tax structure in British Columbia as it compares to the rest of the world?
Hon. B. Ralston: The future of the carbon tax in the way that the member has queried is an issue that is, perhaps, best addressed by the Minister of Finance for trade-exposed industries.
There are two programs within the climate action secretariat, one of which won an award at the recent gathering in Glasgow as an innovative project on a worldwide basis. So there are two programs. One is the CleanBC industrial incentive program that supports industry emissions reductions and minimizes carbon leakage by supporting industrial competitiveness.
Under that mechanism, if the company meets a standard that is globally competitive in terms of emissions, the company can earn back, so to speak, its carbon tax above $30 a tonne. So that’s one of the projects that is, I think, well regarded internationally.
The CleanBC industry fund invests a portion of carbon tax revenues into businesses working on emission reductions, including mining companies. Approximately $40 million of funding was released. All clean industry projects for ’21-22….
Although the ’21 figures have not yet been released, funding allocations to mining have been substantial in previous years, with approximately $23 million across six projects in 2020. Those are Pretium Industries, Copper Mountain and four different projects run by Teck, which is, of course, the largest mining company in the province in terms of the revenue that the province derives from their operation.
Those two programs, I think, contribute to the goal of a CleanBC and the carbon reduction targets that the CleanBC program has set for British Columbia. I think in the context of ESG investment, these are programs and policy initiatives that are increasingly valued by, certainly, a portion of investors — maybe not all investors but certainly valued by a portion of investors.
T. Shypitka: Okay. The first fund the minister highlighted was, I think, incentives for over $30 a tonne. What industry is saying is that globally…. Chile, for example, $5 a tonne, I think, for their carbon tax. I think Western Australia is zero. I don’t think they even have a carbon tax in Western Australia for their coal. The minister can correct me if I’m wrong.
The second fund, the CleanBC industry fund, isn’t targeted until 2024-2025, I believe. The minister can correct me if I’m wrong there too. That’s still two years away. So industry is saying there’s no price parity until two years from now. Maybe the minister can comment on what we do in the next two years.
Hon. B. Ralston: I would reiterate again that taxation policy is the jurisdiction of the Ministry of Finance. The carbon tax and some of the more nuanced questions that the members put forward should be addressed there.
What I will say is that we are committed, here in British Columbia, to having a competitive mining industry in every respect. That’s, I think, why we’ve attracted the investment that we have, why people are looking to open new mines here, why people are purchasing existing mines here. It’s because British Columbia is a very attractive jurisdiction for mining activity and for mining exploration. That’s a trend that we intend to continue.
T. Shypitka: From the answer, I’m taking it that the minister thinks that we’re highly competitive, we’re not falling behind, there should be no reason for alarm, and our carbon tax structure is equal and competitive.
I mean, we suffer from a couple of issues here in British Columbia. We’ve got geographical issues. Our sources of minerals and metals aren’t as close to port as some jurisdictions are. Geographical issues and geological issues. Sometimes our ore qualities aren’t quite as good as other areas. So we have those types of things that are hurting us, maybe, sometimes, although there are some very good ore qualities, obviously. Coal, in my region, is extremely good. Those are the things we can’t control.
We can control our fiscal policy, our taxation. What I’m hearing from the minister is that…. I will take it up with the Finance Minister. But maybe he can correct me if I’m wrong. Maybe he can re-answer. It seems to me that he thinks that there’s no cause for alarm here, that we are competitive on our tax structure, our carbon taxes. Is that the case?
Hon. B. Ralston: I am familiar with the position of the B.C. mining association on the carbon tax. I’ve had repeated discussions with Michael Goehring, who’s their executive director. He is well placed and continues to meet with the Ministry of Finance to express that point of view. I think that’s where that discussion will and should take place.
I would just reiterate that, across the spectrum, British Columbia is a mining jurisdiction that continues to attract money for exploration and money for investment. We’re broadly competitive within the mining world.
T. Shypitka: I guess I’ll take it that I’ll be doing the heavy lifting to get that message across to the Minister of Finance, as it seems the minister won’t be doing that. I’m happy to do it.
We’ll turn it over to…. I live in Kootenay East, as the minister and the staff know. I’m home to four of the top producing mines, for value, in the province. Teck Resources has those mines, four mine sites, right now.
They’re working on an expansion at Fording River. I’ve taken several trips to see how they’re handling wastewater, mostly nitrates and calcium and selenium issues that have hampered this site for a long time. Waste rock that’s been piled there for almost a century now is exposed to the elements, water and air. When the water gets to it, it washes the selenium away from the waste rock. It gets into the watershed, and therefore, it goes into the river system. There’s concern over that. Rightfully so.
The good news is that Teck is taking this very seriously. They’re a great corporate citizen. They’ve spent considerable time and money on putting a good wastewater treatment facility together.
I was out there several years ago, when the Line Creek wastewater treatment was going in, and saw the initial stages of the saturated rock fill site. I just went up a couple of weeks ago to see what they’ve done up at Fording River. Quite an upscale from what was happening at Line Creek. They’re in a position now where they’ll be treating up to…. I believe it’s 80 million litres a day of wastewater, which will take out about 95 percent of the selenium and nitrates.
It’s remarkable work. It’s cutting edge, actually. The world is watching. It’s not just for our own environment here in B.C. It’s going to help assist those around the world. So I really take my hat off to Teck for their efforts. It’s over $2 billion. That’s with a “b,” not an “m.” That’s $2 billion that they’ve put in to take care of this problem.
I just wanted to ask the minister what his comments are on the progress of the facility at Fording and within the mines in Sparwood and Elkford.
Hon. B. Ralston: The member raises an important point about water treatment in the Elk Valley. Teck is currently permitted to treat 57 million litres a day for selenium and nitrate and will have invested — I agree with the figure that the member has put forward — over $2 billion in water treatment to achieve their expected treatment requirement of 193 million litres a day by 2042.
There has been an introduction of a new technology. The new saturated rock fill technology is showing effective treatment of selenium and nitrate and is a more robust and cheaper technology than the active water treatment plants that are also being used in the valley.
Teck continues to — and this is to their credit — make extensive investments in research and is at the global forefront of developing technologies for both treatment and source control of coal-mining impacts.
T. Shypitka: I was expecting a little bit more of a hurrah there. Yes, the minister highlights some of the important…. I think it’s 77 million right now. It’s what they’re ramping up to be. Whatever the number, it’s a big one. It’s working.
I just wanted to know if there were any other comments, if he’s supportive. Is he encouraged? Is the minister excited?
This is a pretty big deal. We want to make sure we’re putting things back better than what we found them when we do impacts to the environment. Mining is one of those industrialized industries that can have a large impact if we don’t watch it.
I think Teck is doing that right now. They’ve addressed something that’s been going on for quite a long time. They inherited it, actually. They inherited quite a bit of this waste rock that they purchased a long time ago, or a while back, and they’re doing everything they can to rectify it.
I’ll just ask the minister if he’s encouraged. Does he see that they’re meeting the water quality standards that they’ve set out to do in the water quality treatment plan? Maybe the minister can add on what he expects to see from this treatment facility, if it’s meeting its mark right now, any comments on how it’s going.
Hon. B. Ralston: What I would say is that the impact of, particularly, selenium but also nitrate upon the water systems of the Elk Valley…. It has impacts across the border, through the Koocanusa reservoir and into American states as well. This issue is well known and is closely monitored by many parties, both governmental and non-governmental.
This technology is new. I think it’s fair to say it shows promise. The efficacy of this technology will be evaluated by the British Columbia Ministry of Environment. I think we would be wise to wait for that assessment before making any final conclusions.
T. Shypitka: Well, let’s talk about some of those other folks that are interested in our water quality here in Canada.
As the minister noted, the wastewater goes down the Fording River. It goes into the Elk River, into the Koocanusa reservoir, and then it goes into the States.
There’s a bunch of folks in Montana right now that aren’t willing to give this promising technology a chance. I think the minister knows where I’m going with this. So does the staff.
The water standard. The Lincoln County Commissioners office has lowered that standard of micrograms per litre to 0.8, where the EPA in the States, I believe, is 1.5. I think it’s somewhere around 1.5. In B.C. — the minister can correct me on all this — I think we are sitting at about 1.5 micrograms. Teck is willing to work within those guidelines, but we’re getting pressures from Montana, from the Lincoln County Commissioners office, to say: “No, it’s not good enough.”
They’re lowering their water standard below what even their own EPA says. I believe it’s 50 milligrams is what’s allowable in municipal water supplies. There’s a lot of controversy on the species that are being impacted, if they’re actually native species of that river system to begin with. They’re arbitrarily lowering this water standard to a point where it’s just not possible for Teck. I mean, some water systems have more than 0.8 milligrams without any impact on it, just naturally, I’m saying.
What the industry is looking for is a champion. It’s looking for the ministry to stand up, make comments and put the progress that this company has made, try to champion that and try to encourage that we’re doing the right things. I don’t know why we’re listening to some folks in Montana dictate how we’re doing things here in B.C.
Is it the minister’s position that we’re doing a fair job? Should he be making a signal to industry, “Hey, way to go. We’re doing the right thing here,” or is he just going to maybe not say anything and let some of those loud voices in Montana do all the talking?
Can the minister give me his comments on the concerns from the Lincoln County Commissioners office, and the revised low water standard from the state of Montana, on acceptable selenium levels at 0.8 micrograms per litre?
Hon. B. Ralston: I wouldn’t want the member to interpret the answer I’m about to give as any indication of a lack of support for the mining sector. Indeed, I hope I’ve communicated strong support for the sector throughout these proceedings today.
The scientific assessment of the validity of the amount of any chemical within a water source is the province of the Ministry of Environment. They set the standards; that’s where the jurisdiction is. Certainly, industry works closely with the Ministry of Environment and so does my ministry, but that is their jurisdiction and not ours.
Hon. Chair, I move the committee rise, report progress and ask leave to sit again.
Motion approved.
The committee rose at 6:17 p.m.