Goals, Objectives, Strategies and Results

Overview of Ministry Goals

The Ministry's three goals are:

  1. Thriving and competitive energy, mineral and petroleum resource sectors;
  2. Safe and environmentally responsible energy, mineral and petroleum resource development and use; and
  3. The Ministry, First Nations, communities and industry working cooperatively for the responsible development and use of British Columbia's energy, mineral and petroleum resources.

The Ministry's first goal is important because thriving and competitive energy, mineral and petroleum resource sectors are significant sources of employment for British Columbians and revenue to the Province, paying for education, health care and other essential government services. As we all need energy and minerals in our daily lives, our second goal is particularly relevant. The Ministry recognizes how important safe and environmentally responsible resource development is to British Columbians. With respect to our third goal, the engagement of communities and industry to work cooperatively for the responsible development of our resources is vital for the industry to thrive and prosper.

Linkage to the Government's Great Goals

Create more jobs per capita than anywhere else in Canada
A wide range of Ministry strategies are being implemented in support of this goal, including: expanding opportunities for job training and placement; facilitating First Nation involvement; engaging communities and stakeholders; and ensuring reliable low cost electricity is available to support economic development and job creation.

Lead the world in sustainable environmental management, with the best air and water quality, and the best fisheries management, bar none
The Ministry will continue to pursue best practices for oil and gas development, maintain effective, efficient regulation of mines and mineral exploration sites aimed at health, safety and environmental best practices, and promote the development and use of alternative energy technology and energy efficiency measures.

Cross Ministry Initiatives

The Ministry is working jointly with other agencies on the following initiatives:

Mountain Pine Beetle

Projections indicate the mountain pine beetle infestation could kill 80 per cent of the pine forest in British Columbia by 2013. Pine forests dominate the interior of B.C., and their loss has significant implications to the forest environment, economy and the communities that depend on those forests for sustainability. The B.C. government, through coordination by the Ministry of Forests and Range and the Provincial Mountain Pine Beetle Action Plan, is working across a number of ministries to minimize and mitigate negative environmental and socio-economic impacts of the infestation, while recovering the greatest value and protecting public health, safety and infrastructure. In collaboration with other ministries, the Ministry of Energy, Mines and Petroleum Resources is accelerating the identification and development of energy, mineral and other non-forest economic opportunities and related infrastructure requirements in areas where the mountain pine beetle has attacked wood.

Asia Pacific Initiative

The British Columbia Asia Pacific Initiative ensures the province has a coordinated and targeted strategic plan in place that takes full advantage of B.C.'s Pacific Gateway advantages and Asian cultural and language base. The Asia Pacific Initiative defines B.C.'s future role in the Asia Pacific economy and identifies the immediate priority actions that must be taken to further integrate the province into Asian markets.

The Ministry supports the government's Asia Pacific Initiative by: promoting increased investment in British Columbia's mining sector and in new and existing pipelines, both within the province and through British Columbia from Alberta; streamlining and updating legislative and policy frameworks to minimize regulatory burdens and increase British Columbia's competitiveness; and the ongoing promotion of British Columbia's alternative energy generation technologies and hydrogen, fuel cell, and mining services sectors.

The Minister of State for Mining and staff attended the November 2006 China Mining Congress in Beijing to gather information, build relationships with key Chinese officials in the mining industry, and to attract direct investment into British Columbia mining opportunities. The forum was an opportunity to promote British Columbia-based mining, energy service and technology businesses, including mine engineering, reclamation and environmental consulting services, the Province's hydrogen fuel cell sector and alternative and green energy technology businesses.

2010 Olympic and Paralympic Winter Games

All provincial ministries, agencies and Crowns have been working together to ensure every available opportunity to develop sustainable economic legacies are explored and pursued so that businesses and communities in British Columbia receive benefit from the Games. The Ministry will highlight examples of excellence in British Columbia that support the concept of a "green Olympics" for both the Beijing and Vancouver Olympic events.

Regulatory Reform

British Columbia continues to make regulatory reform a priority across government, making it easier for businesses to operate and succeed in British Columbia, while still preserving regulations that protect public health, safety and the environment. A citizen-centred approach to regulatory reform will reduce the number of steps it takes to comply with government requirements or access government programs and services.

The Ministry supports the government's regulatory reform initiative by meeting its target of no net increase in regulations over the next three years. Any new regulation will be balanced with ensuring that those regulations that no longer serve a useful purpose are eliminated. This will shift the Ministry's regulatory climate to more cost-effective, results-based regulatory requirements that are responsive to our fast changing world.

The Ministry is leading or supporting a number of intergovernmental initiatives aimed at making material improvements to the efficiency of the regulatory and project assessment processes applied to mining and energy projects. These initiatives include those directed by the federal/provincial/territorial Ministers of Energy and Mines from across Canada, as well as proposed streamlining initiatives being developed bilaterally between British Columbia and Canada.

The Ministry's Oil and Gas Regulatory Improvement Initiative will advance the government's results based approach to regulation and reduce the regulatory burden on citizens and businesses. In addition, the Ministry has identified access improvements to Petroleum Titles Online as our Citizen Centred Regulatory Reform Project, and will be working to map the business process improvements by April 2007.

Citizen-Centred Service Delivery Initiative

Citizen-centred service delivery is a government-wide initiative to coordinate information, programs and services so that they can be presented to citizens in a way that takes their needs into account from beginning to end. The vision is to make it possible for citizens to access the government information and services they need in a simple and timely manner with a phone call, a mouse click or a visit to a service centre, no matter how many programs or ministries are involved in their request.

Examples of Ministry support for the goals of citizen-centred service delivery include an ongoing program for the upgrade and improvement of Mineral Titles Online and Petroleum Titles Online to meet client needs and provide public information, evaluating options for Coal Titles Online, and the planned establishment of two positions in Fort St. John to carry out First Nations and community engagement.

In support of the governments' FrontCounter BC initiative, the Ministry is working directly with the Integrated Land Management Bureau to support that agency's delivery of "single point of contact" services in a number of regional centres on behalf of natural resource ministries and agencies. The Ministry's clients will be able to seek information and make application for certain services through the Bureau. In addition, the Ministry is committed to making best efforts to achieve target adjudication times on applications that have been agreed to between the Ministry and the Bureau. Examples of services available through Bureau offices include: applications for Oil and Gas Permits, Notice of Work Placer and Notice of Work Mineral and Coal Bulk Sample/Small Mine Permits.

Performance Plan

Performance Plan Summary Table

Performance Plan Summary Table

Performance Plan Summary Table - continued

Goal 1: Thriving and competitive energy, mineral and petroleum resource sectors.

Core Business Areas: Oil and Gas; Mining and Minerals; Marketing, Aboriginal and Community Relations; Electricity and Alternative Energy.

Objective 1: Increased investment, revenue generation and job creation in energy, mineral and petroleum resource development for the long term benefit of all British Columbians, and an increasingly secure, reliable supply of energy for the long term benefit of all British Columbians.

Strategies

  1. Attract investment by working with industry to develop and implement focused marketing and investment programs to showcase British Columbia as a centre of excellence for energy, mining, oil and gas development.
  2. Work with industry, post secondary institutions, the federal government and provincial agency partners to further establish British Columbia as an innovation and high technology research and education centre.
  3. Promote innovative and aggressive conservation and electricity procurement programs.
  4. Work to diversify British Columbia's fuel supply.
  5. Improve British Columbia's competitiveness in energy, mineral and petroleum development, by providing leadership and information, and investing in infrastructure.

Objective 2: Efficient and effective fiscal, legislative and regulatory frameworks and services that reflect the public interest, and enhanced social and economic benefits for all British Columbians.

Strategies

  1. Review regulatory issues in cooperation with other levels of government to ensure British Columbia remains competitive, and monitor the provincial regulatory environment for global competitiveness.
  2. Continue to identify opportunities for appropriate regulatory reductions while ensuring the integrity of environmental, health and safety standards.
  3. Develop and implement a faster and simplified approach to multi-agency exploration and mining approvals, with the Ministry of Energy, Mines and Petroleum Resources as the single coordinating agency.
  4. Expand and improve online service delivery and the use of e-business.
  5. Introduce new, targeted royalty and incentive programs to stimulate development of oil and gas resource opportunities, and review existing programs to ensure that they are still current and relevant.

Objective 3: Greater community awareness of the benefits of energy, mineral and petroleum resource opportunities.

Strategies

  1. Work with industry to develop and implement focused training and marketing programs to inform British Columbians about opportunities in the energy, mining, and petroleum industries.
  2. Build community and industry relationships by engaging them in discussion about the benefits and opportunities of resource development, and developing an offshore oil and gas benefits sharing model.
  3. Increase provincial awareness of energy opportunities by engaging school students in a discussion of responsible energy, mineral and petroleum resource development.
  4. Pursue financial and cooperative energy partnerships with industry, such as those developed with Independent Power Producers, communities and other levels of government.
  5. Manage Columbia River Treaty and Downstream Benefit Entitlement matters.

Performance Measures

Performance Measures 2005/06
Actual
2006/07
Forecast
2007/08
Target
2008/09
Target
2009/10
Target
Annual Capital investment in Oil and Gas Activities. $4.9 billion1 $4.5 billion $4.5 billion $4.8 billion $5 billion
Annual Natural Gas Production. 1.02 trillion2
cubic feet
1.04 trillion cubic feet 1.06 trillion cubic feet 1.08 trillion cubic feet 1.10 trillion cubic feet
Annual mineral exploration expenditure. $220 million3 $200 million $200 million $200 million $200 million
Annual capital investment in new or existing mines. $345 million4 $350 million $400 million $450 million $450 million

1  Source: Canadian Association of Petroleum Producers. These estimates are provided only by calendar year.
2  Source: British Columbia Ministry of Energy, Mines and Petroleum Resources. Raw natural gas production by fiscal year.
3  Source: British Columbia Ministry of Energy, Mines and Petroleum Resources, based on annual surveys conducted by the Ministry in collaboration with Natural Resources Canada and Statistics Canada (calendar year).
4  Source: Based on Ministry of Energy, Mines and Petroleum Resources staff using data from annual surveys by PricewaterhouseCoopers and Natural Resources Canada, adjusted to reflect non-surveyed activities and post-survey developments.
Goal 2: Safe and environmentally responsible energy, mineral and petroleum resource development and use.

Core Business Areas: Oil and Gas; Titles and Offshore; Mining and Minerals; Marketing, Aboriginal and Community Relations; Electricity and Alternative Energy.

Objective 1: Operational practices at work sites that protect the public, workers' safety and the environment.

Strategies

  1. Develop leading health and safety standards and practices in cooperation with labour and industry groups.
  2. Improve safety compliance through inspections and audits.
  3. Work with individuals, industry, environmental groups, universities, colleges and other government organizations to expand environmentally responsible energy, mining and petroleum development.
  4. Improve environmental compliance through inspections and audits at development sites.
  5. Encourage the development and adoption of "Clean" technology through innovative funding mechanisms.

Performance Measures

Performance Measure 2005/06
Actual
2006/07
Forecast
2007/08
Target
2008/09
Target
2009/10
Target
Flaring at oil and gas production wells.1 100 90 80 70 60
Lost time accident frequency at mines.2 2.5 days per 100 workers 0% increase 0% increase 0% increase 0% increase

1  When natural gas is removed from the ground, some gas is routinely flared to prevent harm from exposure to unburned fuel. As flaring wastes a valuable combustible resource and produces environmental effects, a flaring reduction strategy is being implemented. These figures represent flaring at oil and gas producing wells, converted to index numbers. Fiscal year 2005/06 is used as base for the index (i.e., equals 100). Index numbers are useful to show trends in variables, and allow to quickly calculate the expected change in the variable against the base period. For example, the index for 2009/10 for flaring at oil and gas production wells is expected to be 60, which implies a 40% reduction in four years, or [(60 / 100) – 1] x 100 = – 40%.
2  Refers to time lost due to injury at mines. It is expected that with several new mines in operation and new employees at those mines, the numbers of lost days will be maintained at the benchmark of 2.5 as long as proper training and tools are available for these new workers. The target of 0% increase in lost time is meaningful against a background of expanded industry activity.

Objective 2: Increased energy conservation and use of alternative, clean energy and efficient technologies.

Strategies

  1. Work with electricity generators, electricity utilities and consumers across British Columbia to ensure an active and coordinated focus on energy conservation in the province.
  2. Increase the participation of local governments in the Community Action on Energy Efficiency Program and expand the First Nation and Remote Community Clean Energy Program.
  3. Encourage the procurement of electricity from BC Clean sources.
  4. Pursue strategic alliances with the federal government to further develop the hydrogen fuel cells industry and other technology that supports alternative energy.

Performance Measures

Performance Measure 2005/06
Actual
2006/07
Forecast
2007/08
Target
2008/09
Target
2009/10
Target
Cumulative gigawatt/hours of electricity saved through the PowerSmart and PowerSense conservation programs.1 2,102 2,624 3,043 3,557 4,071
Percentage of furnaces installed with Energy Star rating.2 35% 45% 60% 70% 75%

1   Source: BC Hydro and FortisBC. These figures represent electrical savings through BC Hydro's PowerSmart and FortisBC's PowerSense demand side management programs. The figures shown are cumulative GWh for PowerSmart II (two) which commenced April 1, 2001. FortisBC results are asynchronous since they are based on a calendar year, beginning January 1, 2001. Both electric utilities offer a broad range of demand side management programs, which are targeted to the three main market sectors: residential, commercial and industrial.
2  ENERGY STAR is the international symbol of energy efficiency. The ENERGY STAR symbol helps consumers quickly and easily identify home appliances and other energy-using equipment that save energy. The ENERGY STAR symbol identifies products as high efficiency performers in their category. The ENERGY STAR symbol, which is placed on the product and/or incorporated in its literature, indicates that the product meets a premium level of energy efficiency making it easy for consumers to choose the most energy-efficient products sold in the Canadian marketplace.
  Source: Heating, Refrigeration and Air Conditioning Institute.
Goal 3: The Ministry, First Nations, communities and industry working cooperatively for the responsible development and use of British Columbia's energy, mineral and petroleum resources.

Core Business Areas: Oil and Gas; Titles and Offshore; Mining and Minerals; Marketing, Aboriginal and Community Relations; Electricity and Alternative Energy.

Objective 1: Increased, appropriate and timely engagement of communities, First Nations and stakeholders in resource development, and a strengthened commitment to environmental and social responsibility.

Strategies

  1. Improve working relationships between industry and local communities and landowners by clarifying and simplifying processes, enhancing dispute resolution methods, and offering more support and information.
  2. Support First Nations in providing cross cultural training to agencies and industry.
  3. Assist industry with engaging First Nations in development proposals at an early stage.
  4. Provide information about local development activities to local governments, education and health service providers to inform the development of social infrastructure.
  5. Examine tenure policies and develop guidelines to address areas that require special consideration.

Performance Measure

Performance Measure Benchmark 2007/08
Target
2008/09
Target
2009/10
Target
Percentage of significant Ministry initiatives with communities/stakeholders/First Nations engaged.1 100% 100% 100% 100%

1   A significant initiative is a multi-divisional corporate initiative that will involve a change in the way that the Ministry does its business, for example the Oil and Gas Regulatory Improvement Initiative.

Objective 2: Increased opportunity for First Nations to share in the benefits of responsible resource development and use.

Strategies

  1. Engage First Nations to identify opportunities to participate in and benefit from energy, mineral and petroleum resource development.
  2. Develop partnerships between First Nations, industry and government to fund skills, employment and business development opportunities.
  3. Negotiate First Nations Agreements which engage First Nations from pre-tenure through to reclamation.
  4. Involve First Nations and coastal communities in the development of an offshore oil and gas regulatory and benefit sharing model, and a remote Community Clean Energy Program.

Performance Measure

Performance Measure 2005/06
Actual
2006/07
Forecast
2007/08
Target
2008/09
Target
2009/10
Target
Number of First Nations with new or renegotiated working arrangements on energy, mineral and petroleum resource development.1 37 45 55 65 75

1   Under these arrangements, the Oil and Gas Commission contributed $11.1 million to First Nations, and the Ministry contributed $2.6 million during 2005/6. The Ministry's new or renegotiated working arrangements include a broad span of initiatives, from on-reserve oil and gas revenue sharing to formalized consultation processes. The benefits to communities from these arrangements include: revenues, formalized information sharing, defined steps for the fulfillment of consultation obligations, ability for communities to prioritize the use of their limited lands and resource staff, opportunities to discuss and participate in policy development, and access to training in the processes and systems used by the Ministry related to mining and oil and gas development.

Objective 3: Enhanced public awareness of resource opportunities and the benefits of their responsible development and use.

Strategies

  1. Seek public opinion on the energy challenges and opportunities faced by British Columbia over the next ten years.
  2. Host regional mining and community forums each year.
  3. Continue the annual Sustainable Mining Award (implemented 2006) to recognize the achievements of communities, industry and organizations.
  4. Review and improve all points of access to information currently provided by the Ministry to make more user friendly, and evaluate and improve existing public information strategy.

Changes to Goals, Objectives, Strategies, Performance Measures and Targets

The Ministry made minor wording refinements to some of its objectives in the Service Plan, which clarify but do not alter the intent of the objectives.

The Ministry has revised all its strategies to reflect current and emerging policies and the British Columbia Mining Plan.

The Ministry added a new performance measure for community engagement, which we undertook to do in our 2006/07 Service Plan. The new measure is "Percentage of significant Ministry initiatives with communities/stakeholders/First Nations engaged".

A new performance measure was added to support our second ministry goal, which is, "Safe and environmentally responsible energy, mineral and petroleum resource development and use". The new measure is: Cumulative gigawatt/hours of electricity saved through the PowerSmart and PowerSense conservation programs. This measure replaces a measure from our 2006/07 Service Plan which was, "Percentage of new electricity generation from "BC Clean" and clean self generation sources" as the new measure is more easily understood.

Also supporting our second goal, the Ministry has redefined the flaring reduction measure as an index to make it more meaningful and easily understood. Based upon the aim of reducing flaring at oil and gas producing wells by 50 per cent in five years, the revised measure is "Flaring at oil and gas production wells", and is expressed as an index declining from a base of 100.

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