British Columbia Regional Energy and Resource Table

One-Year Progress Report

15 July 2024

Table of contents

• Introduction
• A year in review
• Featured progress on collaborative actions
• Contributions and learnings
• Engagements since July 2023
• Looking ahead
• Conclusion
• Annex 1: Featured progress on collaborative actions
• Annex 2: Conditions for long-term success toward a net-zero future
• Annex 3: List of actions from the Collaboration Framework

Introduction

British Columbia’s path to a thriving and inclusive net-zero future has never been clearer, or more concrete. With the launch of the British Columbia Regional Energy and Resource Table (BC Regional Table) in June 2022, the Government of Canada, the Government of British Columbia and the First Nations Leadership Council have been engaged in unprecedented collaboration to grow the province’s clean economy over the coming decades.

The BC Regional Table has been guided by the United Nations Declaration on the Rights of Indigenous Peoples Act (British Columbia) and the United Nations Declaration on the Rights of Indigenous Peoples Act (Canada) and is demonstrating the importance of integrating First Nation perspectives and interests into the work that needs to be done to achieve a low-carbon economy that works for everyone. The First Nations Leadership Council (British Columbia Assembly of First Nations, First Nations Summit, and Union of British Columbia Indian Chiefs), the First Nations Energy and Mining Council, and the First Nations Forestry Council have been vital partners in the BC Regional Table, bringing invaluable perspectives to shared engagements, energy and resource projects, and this report.

This One-Year Report outlines the tangible progress being made through the BC Regional Table. In particular, it highlights the efforts of the past 12 months to implement the British Columbia Regional Energy and Resource Table – Framework for Collaboration on the Path to Net-Zero (Collaboration Framework) which was released in June 2023.

The Collaboration Framework identified 43 actions across 6 strategic areas of opportunity that have the potential to contribute significantly to building a prosperous British Columbia economy in an increasingly low-carbon world. These areas of opportunity are:

• Critical minerals
• Electrification
• Clean fuels / hydrogen
• Forest sector
• Carbon management technology and systems
• Regulatory efficiency

This process has sought to find new, innovative ways to generate dialogue, involving and engaging with key experts – including labour, industry groups, academics, and others – to share knowledge, identify the greatest opportunities for economic growth, and support the creation of sustainable jobs in British Columbia. Throughout the first year of implementation of these joint commitments, progress has been made in each of the opportunity areas, laying important foundations for future net-zero partnerships.

A year in review

A year of strong collaboration – Snapshot of results

The commitments in the Collaboration Framework were established to guide efforts over the next several years. In the first year of implementation, the governments of Canada and British Columbia and First Nations partners have made notable progress on 18 of 43 of the actions in the Collaboration Framework across the 6 opportunity areas and sustainable jobs (see Annex 1 for a full list of actions progressed).

This includes 3 key near-term priorities that were advanced through the Deputy Minister-level British Columbia-Canada Clean Energy Working Group established in November 2023 with participation from a broad set of federal departments and provincial ministries, notably:

• Identifying potential avenues of support for and options to enable First Nations equity participation in the North Coast Transmission Line project.
• Enhancing information sharing and collaboration on project priorities in key sectors to support their advancement
• Improving regulatory efficiency and coordination through the development of plans for a joint pilot on a major clean growth project.

As part of this work, the First Nations Energy and Mining Council and the First Nations Forestry Council, with the governments of Canada and British Columbia, also jointly identified priorities and tangible initiatives from a First Nation perspective, including:

• Aligning and encouraging the development of inclusive critical minerals strategies to inform and amplify First Nations voices across British Columbia
• Improving and expanding access to opportunities to increase First Nations’ participation in the forestry sector and stewardship initiatives in the province
• Increasing support for Indigenous knowledge sharing and sectoral literacy programs to enhance and guide First Nation understandings of the natural resource economy
• Ongoing opportunities to engage leaders, to provide First Nations with key updates on the Regional Tables partnership, and to discuss key programs, initiatives, and tools pertaining to Indigenous priorities

This prioritization was based on the following principles for inclusive clean growth shared by Nation leadership: the importance of free, prior, and informed consent; consideration for economic inclusion and prosperity, including modernization of agreements, equity, and benefit-sharing; the requirement to balance, protect, and manage resources and water systems in the province and enabling First Nation-led stewardship (e.g., First Nation guardians); and, the imperative of adhering to and implementing the UN Declaration on the Rights of Indigenous Peoples as it relates to the energy and resource sectors.

Featured progress on collaborative actions

The following is a snapshot of the progress achieved under each opportunity area since June 2023:

Critical minerals

Canada and British Columbia have been working closely to share information on key projects in the sector and identify potential avenues to support, including under the Critical Minerals Infrastructure Fund. This collaboration has resulted in the conditional approval of up to $75 million in federal funding for the Northwest British Columbia Highway Corridor Improvements Project under the Critical Minerals Infrastructure Fund, which will help to make infrastructure improvements required to enable the sustainable development of British Columbia’s critical minerals sector in the Golden Triangle region.

Further, addressing geoscience knowledge gaps has been a key priority for the Regional Table. Over the past year, the British Columbia Geological Survey and the Geological Survey of Canada have continued to find new ways to work together to improve federal-provincial geoscience communication and coordination with First Nations in British Columbia, including through the delivery of specialized training to geoscientists. Outside of the two geological survey organizations, three Nations deliver on-the-ground mining training and critical mineral education programming to communities to promote real-time knowledge transmission and participation in developments on Nations’ traditional territories. In addition to educational programming the First Nations Energy and Mining Council announced a First Nations Leadership Council-approved, British Columbia First Nations Critical Minerals Strategy on the margins of the Prospectors and Developers Association of Canada Convention. The announcement was made in March 2024.

Electrification

Key priority advanced in year 1: Electrification of the BC North Coast

British Columbia is seeking to expand access to clean electricity as a way to support opportunities for decarbonization, improve community and First Nations’ well-being, and attract investment in the province. To this end, the federal and provincial governments are working collaboratively to identify priorities and align efforts to advance priority infrastructure projects that could support electrification and economic development, with a particular focus on the North Coast. This includes identifying options to support First Nations economic inclusion opportunities related to the North Coast Transmission Line project and leveraging expertise across both governments to improve understanding of cost sharing opportunities.

The governments of Canada and British Columbia are also providing grants through the Low Carbon Economy Fund and the Oil to Heat Pump Affordability Program to enable residents to switch their home heating systems from oil, propane, or natural gas to cleaner heating and cooling options. Funding will also enable building upgrades for income-qualified homeowners and tenants through the CleanBC Better Homes Energy Savings Program.

Clean fuels / hydrogen

Accelerating the production and use of clean fuels, including hydrogen, is expected to play an important role in efforts to transition away from high-carbon fuels while offering new economic opportunities across the province. The governments of Canada and British Columbia have been working with industry stakeholders to identify strategic opportunities to increase clean fuels production in the province, including key investments to support new or existing clean fuel production facilities. Governments have also been progressing work on the transportation and export of clean fuels, with an emphasis on Indigenous participation, environmental protection measures, and safety standards, to ensure that clean fuels produced in the future can be safely transported to markets.

Forest sector

Canada, British Columbia and First Nations partners have been working to maximize the forest sector’s contribution to supporting clean growth in a way that upholds Indigenous rights and aligns with biodiversity and climate change imperatives. The governments of Canada and British Columbia have made key investments in a number of projects to support growth in the production and export of high-value forest products and the deployment of low-carbon building materials. Canada and British Columbia also co-chair the national Canadian Council of Forest Minister’s Innovation Committee, which drives work to develop a high-functioning forest innovation system in Canada. The First Nations Forestry Council has been working with Nations, provincial and federal governments, and industry to advance the First Nation Forestry Opportunity Register, which is designed to help identify priorities and requirements to expand First Nations’ participation in forestry and stewardship initiatives in British Columbia.

Carbon management technology and systems

Canada and British Columbia officials have worked to connect experts from government, academia, and industry over the past year to support analysis and alignment to advance carbon management opportunities in the province. This has included the sharing of analytical tools and analysis to help inform carbon management hub and network planning, as well as an exploration of program alignment and capacity-building activities, and enhanced involvement in geoscience research activities. Continued collaboration and key supports for carbon management, such as the new federal Carbon Capture, Utilization, and Storage Investment Tax Credit help the province harness the environmental and clean growth benefits of carbon management.

Regulatory efficiency

Key priority advanced in year 1: Regulatory efficiency pilots

Improving regulatory efficiency is key to supporting clean growth and meeting Canada and British Columbia’s climate goals. The federal and provincial governments, with the participation of First Nations partners, have been working to better understand the regulatory challenges in key sectors and have developed considerations for project selection. This collaboration has also included an intergovernmental workshop with regulatory subject matter experts to identify opportunities and best-practices to inform a potential regulatory efficiency pilot. To select a pilot, Canada and British Columbia are committed to working with partners and key stakeholders to advance a call for expressions of interest from proponents, with First Nations, in priority sectors (e.g. critical minerals, hydrogen, and electrification).

Sustainable jobs

As part of commitments made in the June 2023 Collaboration Framework, the governments of Canada and British Columbia have also been conducting analysis and engaging industry, academia, labour organizations, and other interested parties in anticipation of labour market demands and workforce considerations created by expected investment and economic growth in key sectors. This will inform workforce strategy planning and work under the federal Sustainable Jobs initiative.

For more details on a selection of collaboration actions across the 6 opportunity areas from June 2023 to June 2024, please see Annex 1.

Contributions and learnings

While collaboration between Canada, British Columbia, and First Nations partners is focused on advancing the series of near-term commitments to drive progress on clean growth in the province, it is also rooted in a shared, long-term vision in which:

• British Columbia’s energy and resource sectors are globally competitive and drive clean and inclusive growth, job creation, and new investments
• Clean energy and resource production supports decarbonization and is in line with British Columbia and Canada’s climate goals
• Training and skills are available to support competitive energy and resource sectors and to secure well-paying jobs in a net-zero emissions economy
• First Nations in British Columbia are economically prosperous, full participants in an inclusive net-zero future, where First Nations laws, stewardship, values, priorities, knowledge, and perspectives are reflected in its long-term vision

Throughout the year, the governments of Canada and British Columbia have undertaken joint analysis and, alongside First Nations partners, engaged regional experts and stakeholders to better understand the conditions for success required for fostering clean growth and building a prosperous and resilient net-zero economy in line with this shared long-term vision. This work has underscored British Columbia’s comparative advantage as a leader in North America when it comes to clean energy, and has highlighted First Nations economic inclusion, labour market and workforce development, and regulatory efficiency and permitting coordination as 3 drivers that British Columbia can build on towards shaping a low-carbon economic future. The analysis developed and feedback shared to date will help ongoing work by partners to build towards the shared long-term vision (see Annex 2 for further information on these 3 key conditions for long-term success).

Engagements since July 2023

From May 2023 to June 2024, the First Nations Energy and Mining Council and First Nations Forestry Council organized various information sessions and engagements on opportunities areas, including critical minerals and forestry. These sessions sought to facilitate dialogues around the management and development of energy and mineral resources in ways that protect and sustain the environment for generations while enhancing the social, cultural, economic and political well-being of First Nations.

During the same period, from June 2023 to May 2024, the British Columbia Regional Table hosted eight engagement sessions with representatives from over 40 organizations which generated invaluable insights to enhance collaboration and policymaking across the Table’s 6 opportunity areas. These sessions, which sought to bridge gaps between individual experts, sectoral groups, and interested parties, and create meaningful dialogue, highlighted the following as essential to advancing a clean growth economy in British Columbia over the long-term:

• Engaging workers and labour organizations on tangible components of the transition to a net-zero economy, including training, upskilling, and improving transparency on project scale and timelines
• Improving regulatory efficiency and collaboration to shorten timelines and minimize project delays, including bolstering clarity of regulatory, permitting, and assessment requirements, and enhancing intergovernmental coordination throughout regulatory, permitting, and assessment processes
• Enhancing investor and workforce supports and confidence to draw investment into vital sectors, including aligning incentives and investments to build foundational infrastructure in the region
• Supporting Indigenous economic reconciliation, including equity ownership in projects, and building administrative capacity for communities to engage meaningfully in economic development

In addition, on May 27, 2024, the First Nations Energy and Mining Council and First Nations Forestry Council, along with Canada and British Columbia, organized a dialogue with First Nations leaders in the province to update on the collaborative efforts with British Columbia Regional Table partners over the preceding year and to discuss key programs, initiatives, and resources related to Indigenous economic inclusion. The discussion highlighted questions about funding distribution, capacity building, First Nation land ownership rights, and the value of natural capital. The dialogue also provided Indigenous participants with an opportunity to ask government representatives questions about Indigenous loan guarantee program initiatives. First Nation representatives shared concerns and feedback around the environmental impact of energy projects and the equitable distribution of funding for restoration efforts.

Looking ahead

Over the past year, the British Columbia Regional Table has driven tangible progress across the opportunities areas and actions outlined in the British Columbia Regional Energy and Resource Table – Framework for Collaboration on the Path to Net-Zero. However, more work is required to better align federal and provincial governments in advancing low-carbon economic opportunities in British Columbia. In the coming year, the British Columbia Regional Table will continue to foster collaboration and drive progress toward strategic action and strong partnerships to leverage British Columbia’s advantages in a net-zero future. In addition, building upon a continued recognition of First Nations’ values and knowledge related to the land and grounded in respect and reconciliation, ongoing collaboration among partners in the following areas will facilitate tangible actions with partners in British Columbia:

Critical minerals

• Continuing to exchange information regarding critical minerals infrastructure priorities within the province and exploring possibilities for utilizing federal and provincial resources, such as the Critical Minerals Infrastructure Fund, to promote key projects
• Ensuring alignment of federal, provincial and BC First Nations’ Critical Mineral Strategies

Electrification

• Continuing to collaborate on advancement of the North Coast Transmission Line project, including near-term efforts to explore federal partnership that advances First Nations economic inclusion opportunities and helps enable equity ownership in the project
• Advancing alignment efforts on key built environment and affordability initiatives, including finalizing a co-delivery agreement for the Oil to Heat Pump Affordability program through the existing CleanBC Better Homes Income Qualified Program. The partnership will result in income-qualified British Columbians converting from oil heating to heat pumps being eligible for combined provincial-federal incentives

Clean fuels / hydrogen

• Leveraging the trilateral governance established between British Columbia, Alberta, and Canada on the transportation and export of hydrogen and its derivatives to further advance the maintenance and development of world-class environmental protection measures and safety standards, and to help support the inclusion and participation of First Nations and local communities in the future growth of the hydrogen sector in British Columbia
• The First Nations Energy and Mining Council aims to educate First Nation communities in British Columbia about the practical aspects of hydrogen generation, storage, and regeneration, with a focus on addressing local needs and exploring potential trade opportunities. A proposal for this project is being considered by the Indigenous-led Awareness and Education Pilot, administered by Natural Resources Canada

Forest sector

• Continuing to explore opportunities for innovation in the use of underutilized wood for low-carbon construction materials and the development of bioproducts generated from harvest and processing residuals to support a diversified forest sector in British Columbia
• Continuing to develop the First Nation Forestry Opportunity Register based on the refined mandate, governance framework, and collaboration with governments, industry, and initiative funders. Partners will work to promote the interim Register and support the process of developing a web page and relevant content and communications products

Carbon management technology and systems

• Equipping First Nations with the necessary expertise to actively engage in carbon management (carbon capture, utilization, storage, and carbon dioxide removal) projects across technology, resource, and business domains by developing a specialized knowledge base on the latest carbon management technologies and science, related policies, and potential economic benefits to strengthen the capacity of British Columbia First Nations to engage around projects. To advance this initiative, the First Nations Energy and Mining Council has submitted a funding application under Natural Resources Canada’s Energy Innovation Program. This proposal is currently moving through internal governance processes

Regulatory efficiency

• Based on the results of the potential expression of interest, regulatory efficiency pilots will be launched in priority sectors in British Columbia (e.g. critical minerals, hydrogen, and electrification) with the participation of impacted First Nations and industry. These pilots would look to accelerate projects through the regulatory and permitting process by improving intergovernmental coordination, reducing duplication, and enhancing engagement and partnerships with Indigenous groups on projects
• Leveraging the Regional Table's work on regulatory efficiency pilots to complement and inform other strategic initiatives, such as the federal Ministerial Working Group on Regulatory Efficiency for Clean Growth Projects and the future Federal Permitting Coordinator, and to support intergovernmental coordination of major project permitting

Sustainable jobs

• Continuing to advance joint analysis on labour force-related opportunities and challenges generated by economic growth in clean energy and natural resources sectors to help inform future action on labour market and skills development

Overarching opportunities

• Identifying and exchanging technical expertise on key clean growth priorities and projects in British Columbia; support improved federal-provincial program alignment, including exchange of information on critical minerals infrastructure priorities in the province; and identify opportunities to leverage federal and provincial tools to advance priority projects
• Continuing to strengthen understanding between partners and foster subsequent collaborations through regularly scheduled meetings to sustain continued partnership

Conclusion

The Collaboration Framework set a broad and ambitious path forward. While much more remains to be done, the progress made against joint commitments in this first year since its release demonstrates the value of strong partnerships and inclusive dialogue in working towards a prosperous, low-carbon future for British Columbia. Efforts to date have laid the foundations for ongoing collaboration to achieve these long-term objectives for the province.

Annex 1: Featured progress on collaborative actions

The following represents a snapshot of collaborative efforts over the past year which respond to commitments in the Collaboration Framework. It is not an exhaustive list of activities and initiatives for all 43 actions, and the Government of Canada, the Government of British Columbia, and First Nations partners have worked, and continue to work, collaboratively to deliver on these and other commitments across the 6 opportunity areas.

Collaboration Framework Action

Initiate discussions on integrated and inclusive geoscience and exploration opportunities with First Nation representatives and leaders, Indigenous geoscientists, and knowledge keepers. Establish how geoscience data will be managed in partnership with Nations and explore opportunities for supporting First Nations geoscience and mineral literacy training

The Geological Survey of Canada and the British Columbia Geological Survey have been collaborating since June 2023 to improve federal-provincial geoscience communication and coordination with Indigenous groups in British Columbia. This includes regular meeting for information-sharing and joint planning between outreach and engagement staff from the 2 organizations. Further, the Geological Survey of Canada is in the early stages of drafting internal guidelines for the repatriation of geoscience materials to Indigenous communities. This work draws on existing repatriation guidelines from museums, including the University of British Columbia Museum of Anthropology. Additional perspectives will be sought as drafting progresses.

Collaboration Framework Action

Partner to prioritize airborne geophysical coverage and geochemical surveys targeted at detecting new critical mineral opportunities in British Columbia

The Government of Canada has conditionally approved 4 Critical Minerals Geoscience Data proposals from British Columbia. In total, these projects will receive $2,448,000 from April 2024 to March 2027 through the Critical Minerals Strategy’s Critical Minerals Geoscience and Data Initiative.

Collaboration Framework Action

Conduct an analysis of end-of-life challenges and opportunities related to re-use, dismantling, and reprocessing/critical mineral recovery from batteries (including provincial flows and capacities)

The Government of Canada prepared a report, Electric Vehicle Lithium-ion Batteries: An Opportunities Analysis for British Columbia, which identifies key issues and barriers and provides analysis of tangible actions to align resources and investment, regulatory and permitting processes, and policy tools. The report contains high-level recommendations for the Government of British Columbia to consider regarding large-scale electric vehicle battery recycling.

Collaboration Framework Action

Identify and deliver collaborative geoscience training and critical minerals programming

The Geological Survey of Canada is collaborating with the British Columbia Geological Survey through the Pan-Canadian Geoscience Strategy and the Intergovernmental Geoscience Accord to deliver training. Specifically, over 50 federal and provincial geoscientists and other staff have completed the custom short course “Archaeology and Indigenous Science for Geoscientists.” In addition, over 60 federal staff members have completed the First Nations Principles of OCAP (ownership, control, access, and possession) training offered by the First Nations Information Governance Centre.

In March 2024, the Geological Survey of Canada and the British Columbia Geological Survey signed a 5-year Memorandum of Understanding and Implementing Arrangement to undertake collaborative work to analyze rock samples from the British Columbia Geological Survey collection and compile the data into a shared database on rock physical properties. This work supports the Pan-Canadian Geoscience Strategy and is expected to advance geoscientific understanding of mineral deposits and geology in British Columbia.

The First Nations Energy and Mining Council received $710,775 from Canada’s Indigenous Natural Resource Partnerships program. The funding was used for developing and delivering 3 major projects:

• A Critical Minerals Literacy Program that aimed to increase Indigenous communities’ knowledge and their participation in the natural resource economy. Over the past year, partners stood up the program and published the Critical Minerals Literacy Report in September 2023, to guide understandings of the sector, but also of the respectful and inclusive implementation of British Columbia and federal Critical Minerals strategies.
• The development of the Three Nations training program. The Tahltan, Kaska, and Tlingit Nations are delivering on-the-ground mining training and critical mineral education programming to communities to promote real-time knowledge transmission and to assist in augmenting active participation in developments on Nations’ traditional territories.
• The launch of the BC First Nations Critical Minerals Strategy and Webinar Series. Between October 2023 and January 2024, the First Nations Energy and Mining Council hosted 4 province wide webinars, designed to share perspectives on critical mineral development in their own territories and developed their own FNLC approved critical mineral strategy championed by First Nations. This document will be the guidebook for government and industry when aligning their policies with the 50 contained recommendations.

Collaboration Framework Action

Share research and develop a plan to increase the supply of heat pumps and other essential equipment for low-carbon buildings

Canada and British Columbia are providing grants to enable residents to switch their home heating systems from oil, propane or natural gas to cleaner heating and cooling options. Specifically, through a federal investment up to $103.7 million from Canada’s Low Carbon Economy Fund and the Oil to Heat Pump Affordability (OHPA) program and a provincial investment up to $151 million to support climate action in British Columbia, this new funding is providing grants to help people with low or middle incomes reduce their energy costs.

Collaboration Framework Action

Identify priorities for electricity infrastructure projects that could support electrification and economic development, with a particular focus on the North Coast. This would include an assessment of financial requirements and opportunities for First Nations economic participation in full partnership with impacted First Nations

In summer and fall of 2023, Canada and British Columbia established a technical committee on the North Coast Transmission Line project to facilitate information exchange and early assessment of the economic benefits of the project. Since its creation in November 2023, the British Columbia -Canada Clean Energy Working Group has continued discussions on project financials and potential opportunities for funding support, including enabling Indigenous equity participation.

Collaboration Framework Action

Collaborate to assess and support key infrastructure needed to increase gaseous and liquid clean fuels production, distribution, end-use, and exports in British Columbia, including hydrogen transportation refueling infrastructure

The governments of Canada and British Columbia, alongside the Government of Alberta, are exploring the feasibility of transporting and exporting hydrogen and its derivatives, including ammonia, to international markets. A Deputy Minister-level committee on ammonia was established to enhance collaboration with supporting working groups.

Collaboration Framework Action

Identify opportunities for risk-sharing and government support to facilitate greater private sector investment in hydrogen

As of spring 2024, the Government of Canada is providing support of up to $23.7 million through the Clean Fuels Fund to 8 projects in British Columbia relating to sustainable aviation fuel, hydrogen, and renewable natural gas. The Fund was designed to support new or existing clean fuel production facilities and was extended to 2030 through Budget 2024.

Collaboration Framework Action

Collaborate on a strategic review or general assessment of British Columbia’s biofuels and bioenergy production potential in different regions of British Columbia

Over spring and summer 2023, the Government of Canada engaged in extensive outreach and dialogue with the biofuels industry and provincial and territorial partners, including British Columbia, to identify incentives that could increase the domestic production of clean fuels. British Columbia’s incentive system is one of the most developed and mature in Canada and stakeholders have encouraged federal and provincial governments to coordinate their respective policies and programs to ensure they are complementary.

Collaboration Framework Action

Support market development and commercialization of wood-based construction materials

As of January 2023, the governments of Canada and British Columbia have invested over $5 million through the federal Investments in Forest Industry Transformation program and CleanBC in the deployment of a multi-function mass timber robotic processing line in South Slocan. This line will produce high-performance mass timber products, supporting Canada’s efforts to reduce green house gas emissions associated with our built environment.

As of July 2023, the governments of Canada and British Columbia have invested over $4 million in the construction of a 10-storey office building in Vancouver that will use a timber-braced frame system on the exterior, reducing the environmental impact by eliminating the need for a conventional concrete core. This is one of the tallest brace-frame mass timber buildings in North America and the replicable shape of the design demonstrates the viability of low-carbon wood products in high-rise and other construction projects. These investments are being made through the federal Green Construction Through Wood program and British Columbia’s Mass Timber Demonstration Program and NetZero Energy Ready program.

Collaboration Framework Action

Support bioproduct development to better utilize harvest slash pile residuals

The governments of Canada and British Columbia are investing $9 million to incorporate artificial intelligence within Richmond Plywood mill’s manufacturing process, modernizing operations and enhance its fibre utilization. The technology implemented will result in less fibre waste and will allow for the use of low-quality inputs such as waste wood and second-growth fibre. It will also improve the quality of panels produced through greater precision and automatic defect detection. These investments are being made through the federal Investments in Forest Industry Transformation program and British Columbia’s Manufacturing Jobs Fund.

Collaboration Framework Action

Continue to support research, development, and innovative forest practices to promote British Columbia's forest bioeconomy and advanced bioproducts

Canada and British Columbia co-chair the Canadian Council of Forest Ministers’ Innovation Committee, which identifies actions needed to enhance the environment for innovation and investment, advances a pan-Canadian innovation agenda, supports action on forest sector innovation priorities, and initiates and encouraged reforms to infrastructure and governance. The Committee also advances work in line with the Renewed Forest Bioeconomy Framework, such as exploring the availability of bioeconomy metrics, disseminating knowledge about bioproducts, promoting awareness of how the forest bioeconomy contributes to Canada’s climate, reconciliation and economic development priorities, and sharing information about how jurisdictions support forest bioeconomy development, including through projects aligned with the priorities of Indigenous communities and organizations.

Collaboration Framework Action

Increase First Nations participation and shared decision-making opportunities in forest management through forest landscape planning, incorporating traditional values and knowledge in managing forests for sustainability and resiliency

Since June 2023, partners have engaged in discussions with the First Nations Forestry Council to advance the First Nation Forestry Opportunity Register, including finding potential funding sources to support early funding requirements for the development and implementation of the Register. The Register is designed to help identify priorities and requirements to expand First Nations’ participation in forestry initiatives in British Columbia.

The First Nations Forestry Council participates in various committees and leadership tables to elevate and support opportunities specific to First Nations in the Forestry Sector. These fora include: The British Columbia Ministry of Forests’ Expanded Wildfire Salvage Leadership Committee, Ministry of Forests’ Provincial Forestry Forum, Old Growth Action Plan Team, and the Office of Mass Timber Implementation Team. Further, the First Nations Forestry Council continues to actively collaborate with the Ministry of Forests Silviculture, working closely with the Office of the Chief Forester, Forest Carbon and Climate Services Branch to develop a Climate Adaptation and Policy Framework, ensuring full First Nations’ participation in the Forest Landscape Planning process.

Collaboration Framework Action

Explore whether there are opportunities to advance additional areas for collaboration aimed at increased program-based alignment between Natural Resources Canada, the province, and interested First Nation organizations

Experts from the governments of Canada and British Columbia have been working together with academia and industry to share analysis and analytical tools, advance geoscience research, and explore program alignment and capacity-building activities. These monthly activities have set the stage for further collaboration and will help inform carbon management project development and network planning.

Collaboration Framework Action

Conduct joint analysis of potential storage capacity, which could leverage research activities such as the Northeast BC Geological Carbon Capture and Storage Atlas

In April 2024, the Government of Canada partnered with the Western Provinces hosted a major workshop in Burnaby on Barriers to Large-scale CCUS Deployment in Western Canada. The event included presentations from governments, industry, and agencies involved in research and funding projects - all actively involved in carbon capture, utilization, and storage - to support information sharing across governments, sectors, and disciplines.

Collaboration Framework Action

By Fall 2023, work collaboratively to identify challenges and opportunities for improvements in regulatory coordination and efficiency in priority geographic areas and sectors, including through focused case studies

In April 2024, Canada and British Columbia hosted an interactive session to explore a regulatory case study in the hydrogen sector. The purpose of the session was to better understand regulatory and administrative processes and challenges in a high-potential sector and to inform opportunities for streamlining and coordination that could be implemented through a potential regulatory efficiency pilot.

Collaboration Framework Action

Work with First Nations, and with the participation of industry, on an approach that would accelerate clean growth projects (e.g., critical minerals, electrification and/or clean fuels) through the regulatory and permitting processes, while retaining robust and integrated assessment processes consistent with the Declaration on the Rights of Indigenous Peoples Act. British Columbia and Canada will commit to plans for integrated processes, including robust senior executive oversight mechanisms as appropriate, between First Nations, federal, and provincial governments that will provide guidance and support for project proponents and impacted First Nations groups during regulatory, permitting, and consultation process

In early 2024, provincial and federal officials launched exploratory discussions with key stakeholders, regulators and permitters from both orders of government, proponents, and First Nation representatives to explore key areas of focus to improve the efficiency of regulatory and permitting for projects, with a focus on the hydrogen and critical minerals sectors which form 2 opportunity areas under the Collaboration Framework under which additional actions are being advanced (see ‘Critical Minerals’ and ‘Clean Fuels/Hydrogen’ sections of this Annex for further detail). These activities will inform ongoing efforts, such as developing a regulatory pilot, to coordinate regulatory and permitting processes and increase information sharing, with the goal of reducing duplication and improving predictability of regulatory timelines.

Annex 2: Conditions for long-term success toward a net-zero future

This section underscores a selection of key conditions for long-term success toward a net-zero future in British Columbia, identified through analysis and engagement conducted to date. This is not meant to serve as an exhaustive list of all crucial factors for success in the development of a long-term clean growth economy in the province.

First Nations economic inclusion

All pathways to building a prosperous and resilient clean growth economy run through or are on Indigenous lands. As such, the meaningful participation of First Nations in the natural resource and clean energy sectors is a key enabler, and reconciliation is imperative and critical to ensuring communities can share in the prosperity and benefit from new opportunities.

While jobs, service contracts, and impact benefit agreements represent the most prevalent forms of industry-led economic participation, enabling full economic inclusion through tools to facilitate First Nation equity investment and ownership in the natural resource sector, including access to financing, is pivotal to advancing economic reconciliation and to de-risking major projects that impact First Nation rights, interests, and resources in British Columbia.

In this context, both the federal and provincial governments are rolling out loan guarantee programs to help unlock access to capital and help individual First Nations acquire ownership equity in clean growth projects in their territories.

• As announced in British Columbia’s Budget 2024, the provincial government will develop a First Nations Equity Financing Framework which will include equity loan guarantees and other forms of financial support to reflect the diversity of the priorities and needs of First Nations across British Columbia. An initial amount of $10 million will be provided to help support the immediate capacity needs of First Nations actively considering equity participation in priority projects.
• Similarly, the Government of Canada proposed in Budget 2024 to launch the Indigenous Loan Guarantee Program that would provide up to $5 billion in loan guarantees to unlock access to affordable capital for Indigenous groups, creating economic opportunities and supporting their economic development priorities.

In addition, the Canada Infrastructure Bank’s Indigenous Equity Initiative, announced in the 2023 federal Budget, provides Indigenous communities with access to capital to purchase equity stakes in infrastructure projects situated on their traditional territories. Through this program, the CIB offers low-interest, long-term financing to provide loans of at least $5 million and up to 90% of total Indigenous equity investment in projects, including in clean energy, where the Canada Infrastructure Bank is already an active investor.

While these new tools represent a step toward shared benefits and fuller participation, more must be done to ensure clean growth projects are aligned with First Nation and industry interests, and to more systematically address ongoing challenges that First Nations face with major project development.

Economic inclusion discussions hosted by First Nation partners on May 27, 2024, emphasized that demand for funding will surpass available resources, prompting questions about how funding will be managed. Further, participants highlighted the importance of capacity funding and educational materials to equally support First Nations at the negotiation table. Discussions also touched on the need for equitable sharing of land and revenues, recognizing the historical context and systemic issues. Finally, discussions revolved around the environmental impact of clean energy developments, consideration for natural capital, and support for First Nation entrepreneurs. Overall, the dialogue underscored the ongoing efforts required to improve economic inclusion tools, recognizing Nations’ unique rights and considering First Nations’ world views when creating new programming.

Sustainable jobs

The evolving labour market and skilled workforce requirements across all sectors is a core consideration in economic growth and energy transformation, and strategic actions in this space are central to enabling a prosperous net-zero economy. Given the fundamental importance of labour market capacity and workforce development, British Columbia released the StrongerBC: Future Ready Action Plan (PDF, 3.12 MB) in 2023 and Canada is developing a Sustainable Jobs Action Plan, due for release in 2025. Improving a collective understanding of the medium- to long-term labour market impacts of a transition to net-zero also formed a part of the commitments made by Canada, British Columbia, and First Nations in the June 2023 Collaboration Framework.

In line with these commitments, throughout the past year, Canada and British Columbia have been advancing analysis to estimate projected investment in potential or anticipated clean growth projects in key sectors of the British Columbia clean growth economy to 2035 – namely, in hydrogen, critical minerals, and electrification. Using macro-economic modelling, these ‘possible futures’ were then used to develop estimates of the scale and nature of the labour market demand that they may generate to 2035. In April 2024, Canada and British Columbia, with First Nations Partners, hosted a session with industry and labour stakeholders on these ‘possible futures’ to discuss methodology and assumptions and to explore reactions to early analysis.

The analysis conducted to date is preliminary in nature and is continuing to be refined based on availability of clean growth project data, including the timing of project investments and advancement, as well as through feedback provided via engagement with key experts in the province. However, the following preliminary figures reflecting potential labour demand in the key sectors in the province provide important insight into potential labour and workforce pressures as both Canada and British Columbia seek to develop tangible actions aimed at addressing anticipated skills and labour supply gaps (Note: These figures refer to person years of employment (PYE), which accounts for new and existing employment and are limited to the construction phase of projects).

Hydrogen

• The ’possible future’ for the hydrogen sector was based on hydrogen production estimates from the Global Net Zero scenario in the 2023 Canada Energy Future report and cost estimates from the “British Columbia Hydrogen Study”. This scenario forecasts a 0.1 megatonne annual hydrogen production level by 2035 resulting from $1.36 billion of investments in projects over the coming years. These projects were then estimated to yield roughly 7,800 potential direct employment opportunities from 2025-2035

Critical Minerals

• Early assessment of potential investment in the construction phase of critical mineral projects could be as high as $29.8 billion, based on collaborative work between British Columbia and Canada to identify projects whose planning is sufficiently developed for them to be formally advanced. Preliminary analysis suggests that investment at this level could result in over 100,000 potential direct employment opportunities from 2025-2035. This work is complementary to Phase 1 of the BC Critical Minerals Strategy, announced in January 2024, which aims to support the development and growth of the critical minerals sector in partnership with First Nations

Electrification

• BC Hydro’s 10-year capital plan (2024), called Power Pathway: Building BC’s Energy Future, outlines the infrastructure investments planned throughout the province between fiscal years 2025 and 2034 to sustain and expand the electricity system. The estimates regarding potential labour demand are underway and will be further refined as additional information regarding future clean energy project electricity needs becomes available

The insights and feedback generated by the labour market and workforce analysis conducted to date, as well as the discussions from the April 2024 sessions with labour and industry stakeholders, will inform ongoing strategic policy analysis and development associated with Canada’s Sustainable Jobs initiative. It will also help inform ongoing workforce-related strategies.

Regulatory Efficiency

Partners have heard from industry and other stakeholders through both British Columbia Regional Table engagements, as well as through widespread engagements conducted on these issues, that improving the efficiency of federal-provincial regulatory and permitting processes is a key enabler to expediting clean energy projects and supporting the transition pathway to a net-zero economy. This includes improving clarity and certainty of policies, requirements, and approval processes to minimize duplication; enhance the predictability of timelines and decision making; and improve support for early collaboration with Indigenous groups and local communities.

In response, a concerted effort is being made on the part of governments to explore opportunities and identify solutions in the clean energy space, including electrification and critical minerals sectors as well as emerging sectors such as hydrogen. This includes efforts under the British Columbia Regional Table to advance plans for regulatory efficiency pilots aimed at testing new approaches to minimize duplication and enhance information sharing and collaboration between governments, First Nations, and industry in the province.

To this end, the governments of Canada and British Columbia co-hosted a workshop in February 2024 that brought together regulators, permitters, and environmental assessment agencies from the 2 orders of government to identify clean energy projects that are strong candidates for potential regulatory efficiency pilots. These projects were assessed against: focus on clean growth and alignment with the Regional Energy and Resource Tables Collaboration Framework; support or involvement of First Nations; and, stage of engagement in environmental assessment process(es) or other regulatory and permitting requirements.

In addition, in April 2024, British Columbia Regional Table partners hosted a workshop with cross-sectoral experts in the province to explore a case study and to identify opportunities for clarifying regulatory requirements and improving application processes in the hydrogen sector. This discussion will help inform Canada and British Columbia’s ambitions to test new approaches in the hydrogen sector in British Columbia which, as a key area of comparative advantage and burgeoning sector for the province, represents an important opportunity to support growth and development over coming years.

Canada and British Columbia will continue to explore opportunities to increase coordination of regulatory and permitting processes and will work further with First Nations groups and project proponents on collaboration efforts through a potential regulatory efficiency pilot.

Annex 3: List of actions from the Collaboration Framework

Considerable progress

• Initiate discussions on integrated and inclusive geoscience and exploration opportunities with First Nation representatives and leaders, Indigenous geoscientists, and knowledge keepers. Establish how geoscience data will be managed in partnership with Nations and explore opportunities for supporting First Nations geoscience and mineral literacy training
• Identify and deliver collaborative geoscience training and critical minerals programming
• Partner to prioritize airborne geophysical coverage and geochemical surveys targeted at detecting new critical mineral opportunities in British Columbia
• Conduct an analysis of end-of-life challenges and opportunities related to re-use, dismantling, and reprocessing/critical mineral recovery from batteries (including provincial flows and capacities)

Ongoing efforts

• Undertake a battery critical mineral value chain assessment
• Conduct analysis of workforce availability and suitability for critical minerals mining and processing activities
• Undertake a regional case study to assess sampling requirements for tailings/abandoned mines to understand viability of mine waste disposal sites in partnership with potentially impacted First Nations
• Identify and explore removal of regionally specific regulatory and legislative barriers linked to mining from waste

Considerable progress

• Identify priorities for electricity infrastructure projects that could support electrification and economic development, with a particular focus on the North Coast. This would include an assessment of financial requirements and opportunities for First Nations economic participation in full partnership with impacted First Nations
• Share research and develop a plan to increase the supply of heat pumps and other essential equipment for low-carbon buildings

Ongoing efforts

• Review identified areas in British Columbia – the North Coast, North Montney, the Southeast, and Lower Mainland – to establish a collective understanding of potential electrification opportunities from new demand (summer 2023)
• Assess constraints and options for new transmission and upgrades that could serve this new demand. This could include consideration of requirements for new generation
• Explore options to support industrial customer grid connections that will enable the electrification of existing and new customers
• Consider local generation opportunities to reduce the use of diesel in rural and remote communities as well as First Nations’ communities
• Continue to work together to better align the Canada Greener Homes Grant and the CleanBC Better Homes program
• Provide technical guidance to inform British Columbia’s implementation of a Virtual Home Energy Rating System to assess and foster compatibility and complementarity with federal programs and policies
• Improve understanding of the clean transportation sector and its needs through data gathering/studies
• Continue to work together to better align the provincial and federal zero-emission vehicle rebate and infrastructure programs and regulations
• Assess new measures to support transportation decarbonization

Considerable progress

• Collaborate to assess and support key infrastructure needed to increase gaseous and liquid clean fuels production, distribution, end-use, and exports in British Columbia, including hydrogen transportation refueling infrastructure
• Identify opportunities for risk-sharing and government support to facilitate greater private sector investment in hydrogen
• Collaborate on a strategic review or general assessment of British Columbia’s biofuels and bioenergy production potential in different regions of British Columbia

Ongoing efforts

• Commit to share information on the assessment of competitiveness actions taken by other countries in order to promote clean fuels production and use
• Support First Nations leadership by offering resources to First Nations partners, encouraging more First Nations-led clean fuels projects
• Undertake joint consideration/review of a case study in order to develop clear guidance for proponents on hydrogen regulatory processes and priority areas for regulatory reform and alignment
• Leverage federal and provincial incentives and regional advantages, like electrical infrastructure, to continue to promote the production and consumption of clean fuels in British Columbia
• Support the advancement of hydrogen projects ranging from pilot- to utility-scale
• Collaborate on analysis and research for value-added clean hydrogen co-products, such as carbon black, oxygen, and others
• Develop a labour market plan to support clean fuels development and production

Considerable progress

• Support market development and commercialization of wood-based construction materials
• Support bioproduct development to better utilize harvest slash pile residuals
• Continue to support research, development, and innovative forest practices to promote British Columbia's forest bioeconomy and advanced bioproducts
• Increase First Nations participation and shared decision-making opportunities in forest management through forest landscape planning, incorporating traditional values and knowledge in managing forests for sustainability and resiliency

Ongoing efforts

• Support technical and business development of uses for forest biomass by providing access to attract investment and inform decision-making
• Analysis of impacts of forest management activities on social, ecological, cultural, timber values through forest landscape planning
• Explore opportunities to accelerate support of reduced emissions technologies in the forest sector

Considerable progress

• Conduct joint analysis of potential storage capacity, which could leverage research activities such as the Northeast BC Geological Carbon Capture and Storage Atlas
• Explore whether there are opportunities to advance additional areas for collaboration aimed at increased program-based alignment between Natural Resources Canada, the province, and interested First Nation organizations

Ongoing efforts

• Review existing studies for insight on emissions reductions needed from carbon management technologies and systems in British Columbia, including how they might enable economic opportunities
• Assess opportunities and options linked to infrastructure hubs, clusters, and network planning through targeted analysis

Considerable progress

• By Fall 2023, work collaboratively to identify challenges and opportunities for improvements in regulatory coordination and efficiency in priority geographic areas and sectors, including through focused case studies
• Work with First Nations, and with the participation of industry, on an approach that would accelerate clean growth projects (e.g., critical minerals, electrification and/or clean fuels) through the regulatory and permitting processes, while retaining robust and integrated assessment processes consistent with the Declaration on the Rights of Indigenous Peoples Act. British Columbia and Canada will commit to plans for integrated processes, including robust senior executive oversight mechanisms as appropriate, between First Nations, federal, and provincial governments that will provide guidance and support for project proponents and impacted First Nations groups during regulatory, permitting, and consultation process

Sustainable jobs

Considerable progress

• Develop a labour market plan to support the priorities identified in the Regional Table in partnership with British Columbia labour organizations, industry, First Nations, and Indigenous organizations. The plan is to include projections of British Columbia’s labour force in the medium to long-term; analysis of workforce availability and suitability; future opportunities, risks and barriers; and participation of under-represented groups and Indigenous peoples