BP Reports Drilling Mud Spill Off Nova Scotia

BP Canada Energy Group recently reported an unauthorized discharge of drilling mud from the one of its drilling operations off the coast of Nova Scotia. The company estimated approximately 136,000 litres of drilling mud were discharged.

Anita Perry, BP Canada’s regional manager for Nova Scotia

Anita Perry, BP Canada’s regional manager for Nova Scotia, said a preliminary look at the spill has led the company to believe the cause is mechanical failure, though the investigation is not complete.
Perry said this is not a common occurrence, but the organization has response plans in place to manage spills. She said that before drilling was done in the area, a survey was conducted to assess environmental risks.
“Prior to drilling we did not identify any corals or any species there that could be damaged. So we do not believe there will be any damage,” said Perry.
The company suspended drilling during the investigation of the cause of the spill.

Risks to the Environment

Stacy O’Rourke, the director of communications at the Canada-Nova Scotia Offshore Petroleum Board (CNSOPB) said the synthetic-based mud is dense and sinks rapidly to the sea floor and the synthetic-based oil in the mud has low toxicity.

Ms. O’Rourke added that the effects of these types of spills are usually limited to the area immediately surrounding the well and are associated with the physical smothering of the seabed due to coverage by the mud.

She said the spill happened earlier in the day on Friday, and both the board and coast guard were notified. As of Friday evening, O’Rourke said no one on the board was at the spill.

The incident occurred approximately 330 kilometres from Halifax on a drill rig called the West Aquarius.

West Aquarius drill rig off the coast of Nova Scotia

CBC interviewed Tony Walker, a professor from the Dalhousie University School for Resource and Environmental Studies, about the potential impacts of the release of drilling mud on the environment. The Professor said that in looking at the project’s environmental assessment report, carried out by the Canadian Environmental Assessment Agency (CEAA), the drilling mud spill may still be cause for concern.

Professor Walker said while a water-based mud is available for use in this type of drilling, the assessment outlines BP’s decision to use the synthetic, because it can better handle potential gas buildup and temperature regulation.

“Certainly, a synthetic-based mud does contain chemicals and potentially oils and diesel and that sort of thing,” he told the CBC. Walker said he reviewed data from the report based on a 3D modelled test and scaled down the impacts based on the June 22 incident.

“It could [result in] impacts of a kilometre or more from the drilling site. It could actually cover and smother [ocean floor dwelling] organisms; it could impact fish species which have larvae and eggs on the seabed.”

Professor Walker told the CBC that the CEAA report also references data from past drill sites, where little to no spilling was reported, in which surrounding marine habitats took up to five years to recover from drilling.

“The kind of consistent thread or theme I get from the report … is that if there are releases, it’ll be localized and it’ll have short term impacts,” Walker told the CBC.

“A kilometre is quite a big area, and [the report] talks about a recovery period of about five years for recolonization. I wouldn’t call five years entirely short-term.”

Nova Scotia’s energy minister says he’s concerned about spill of the drilling fluids off the province’s coast. However, he also added that he remains committed to growing the oil and gas industry.

Geoff MacLellan said he has “complete confidence” in the Canada-Nova Scotia Offshore Petroleum Board’s investigation into BP Canada’s leak of 136 cubic metres of synthetic drilling mud on Friday.

Approval to drill was granted in the Spring

BP Canada Energy Group was given approval in the spring of 2018 to drill of the coast of Nova Scotia. At the time, the Aspy D-11 exploration well was the first in BP Canada’s Scotian Basin Exploration Project. It was estimated that up to seven exploration wells could be drilled off the southeast coast of Nova Scotia over a three-year period.

At the time of the issuance of the approval, Anita Perry of BP Canada Energy stated in a phone interview with Canada’s National Observer, “We’re confident we addressed all issues and risks for a safe drilling program.”

Brownfields Road Map (U.S. EPA, 2018)

Prepared by the U.S. Environmental Protection Agency (U.S. EPA) Office of Land and Emergency Management, The Brownfields Road Map 6th Edition breaks down Brownfields site investigation and cleanup into an easy to understand, step-by-step process that provides valuable and up-to-date information to a wide range of Brownfields stakeholders involved in or affected by the redevelopment of Brownfields sites. It introduces readers to a range of considerations and activities, and provides links to online technical resources and tools.

The first edition of the Road Map, published in 1997, provided a broad overview of the U.S. EPA Brownfields Program and an outline of the steps involved in the cleanup of a Brownfields site. Designed primarily for stakeholders who were unfamiliar with the elements of cleaning up a Brownfields site, the Road Map built awareness of the advantages offered by innovative technologies. As the EPA Brownfields Program
matured, the second (1999), third (2001), and fourth (2005) editions were published to update information and resources associated with the program, innovative technologies, and emerging best practices. The fifth edition, published in 2012, streamlined the publication to make it more accessible to users, providing additional resources covering new technology applications and methods.

This edition builds off the streamlined approach of the fifth edition, providing updated content and guidance on the Brownfields remediation process. New features include an updated list of “Spotlights,” highlighting and describing key issues. This edition provides updated information on Brownfields funding and best management practices (BMPs), with guidance on how to incorporate greener cleanups and new standards into the cleanup process.

This edition of the Road Map will help:

  • New and less experienced stakeholders. The Road Map will help these users learn about the technical aspects of Brownfields by introducing general concepts and methods for site investigation and cleanup.
  • Decision-makers who are familiar with the EPA Brownfields Program but are also interested in obtaining more detailed information. The Road Map provides these users with up-to-date information about the applicability of technologies and access to the latest resources that can assist them in making technology decisions. In addition, it highlights BMPs that have emerged in recent years.
  • Community members. The Road Map helps to encourage community members to participate in the decision making process by providing information about the general site cleanup process and tools and alternatives to site cleanup, as well as guidelines and mechanisms to promote community involvement.
  • Tribal leaders. The Road Map offers information on technical and financial assistance specific to tribes for implementing cleanup and restoration activities on tribal lands, as well as successful remediation examples highlighting the potential community restoration opportunities associated with Section 128(a) Response Program funding.
  • Stakeholders who hire or oversee site cleanup professionals. The Road Map includes information to help stakeholders coordinate with many different cleanup practitioners, such as environmental professionals, cleanup service providers, technology vendors or staff of analytical laboratories. The Road Map provides these stakeholders with a detailed understanding of each phase in a typical Brownfields site cleanup and presents information about the roles that environmental practitioners play in the process.
  • Regulators. The Road Map will increase the understanding by regulatory personnel of site characterization and cleanup technologies and approaches. The Road Map also serves as a resource that regulators can use to provide site owners, service providers and other stakeholders with useful information about the EPA Brownfields Program. The Road Map also provides links and pointers to additional information on specific technologies, approaches, and issues.
  • Other potential Brownfields stakeholders. The Road Map helps other stakeholders, such as financial institutions and insurance agencies, by providing information for their use in assessing and minimizing financial risks associated with Brownfields redevelopment.

The Road Map draws on the EPA’s experiences with Brownfields sites, as well as Superfund sites, corrective action sites under the Resource Conservation and Recovery Act (RCRA), and underground storage tank (UST) sites to provide technical information useful to Brownfield stakeholders. Specific conditions—such as the nature and extent of contamination, the proposed reuses of the property, the financial resources available, and the level of support from neighboring communities—vary from site to site. Readers of the Road Map are encouraged to explore opportunities to use the BMPs described in the following pages in accordance with applicable regulatory program requirements. The use of BMPs and site characterization and cleanup technologies may require site specific decisions to be made with input from state, tribal, and/or local regulators and other oversight bodies.

 

New Partnership for Oil Spill Response

Four Norwegian companies have formed a new partnership to provide an oil spill response service. Framo, Maritime Partner, Norbit Aptomar, and NorLense have established the OSRV Group which is claimed to be a ‘one-stop-shop’ for oil spill response. The companies in this new group are all specialists in their particular fields and their Norwegian manufactured components have a dedicated function that is aimed at achieving the best result possible when an oil spill occurs. The products of this group also allows for conventional supply vessels to be converted to emergency oil-spill response support units as required.

OSVR Group offers a complete oil spill response solution

“Our aim is to be a ‘one-stop-shop’ where we pool our efforts and act as a total systems supplier of safe, highly functional, and well-tested technology. The emergency response equipment has undergone thorough testing and quality assurance, drawing on 40 years of oil spill response experience,” says Jørgen Brandt Theodorsen, Area Manager of Oil & Gas Pumping Systems at Framo. “The OSRV Group offers a package solution that covers everything the customer needs, from detection and containment to recovery of the spill and this is conducted with reliable equipment that can handle the challenges if an accident occurs.”

“The customer only has to deal with one of the partners to get access to a complete system that covers everything and is fully adapted in terms of functionality, volume and size,” said Roy Arne Nilsen of NorLense. Aptomar’s radar and infrared cameras can identify and produce an overview of the oil slick, whilst Maritime Partner’s high-speed vessels are designed for pulling equipment such as booms in place. These booms are supplied by NorLense, and then recovered oil is pumped onto a vessel with the Framo TransRec Oil Skimmer System.

“This is a turnkey solution where customers have access to emergency preparedness expertise without themselves having to acquire this. With our package solution, supply vessels can easily be upgraded and used as part of new emergency response tenders. It is quick and easy for ship-owners to convert existing vessels in order to offer new services to oil companies,” commented Lars Solberg of Norbit Aptomar.

A prompt response is important so the OSVR Group will ensure that an emergency oil-spill response system responding quickly.” said Peder Myklebust, of Maritime Partner.

 

Better Response to Dangerous Goods Incidents Demanded by Community

As reported in the Terrace Standard, leaders in the Regional District of Bulkley Nechako in the interior of British Columbia have called for Canada’s railway operators to improve their response to incidents involving dangerous goods being carried by rail cars.

The Directors of Regional District of Bulkley Nechako are considering a resolution that calls for the provincial government to take the lead in talks with CN Rail to beef up response capabilities.

Canada’s Transportation Minister, Marc Garneau, has told his department to investigate railway incidents in Canada.  As reported in the Globe and Mail, derailments, collisions and other railway incidents soared in the first four months of 2018.

“The volunteer fire departments in the Regional District of Bulkley Nechako do not have the equipment, manpower, or expertise to respond to a notable dangerous goods event in a populated area,” notes background material prepared by regional district staffers for the directors.

“Increased training along will not increase local response capability to any notable degree. Also, many populated areas … are not serviced by a fire department.”

The background material adds that the regional district “and member municipalities are expected to response to a dangerous good incident, with CN Rail being prepared to respond to a dangerous goods event within 12 to 24 hours of being notified. Most of their response resources are located in Alberta.”

The resolution proposal builds on an earlier one which called for fire chiefs and local officials to have full information on the nature of dangerous goods being transported their their areas of jurisdiction.

But regional district staffers then noted that many areas of the province have a limited capacity to deal with a dangerous goods emergency.

“In staff’s opinion, CN Rail needs to play a lead role in developing rail emergency response strategy that is appropriate for northern British Columbia and other areas of the province where local response capacit, and CN Rail response capacity, is not adequate,” indicates the background material.

The new proposed resolution comes at a time of increased rail traffic on the part of CN Rail as the shipment of goods and material to and from port facilities at Prince Rupert increases.

Regional district directors June 7 approved of the new resolution during a committee of the whole session last week and it will be presented during the regional district’s regular meeting tomorrow.

Resolutions forwarded to Union of B.C. Municipalities conventions, if adopted, are then used as topics of discussion with senior governments.

Train Derailment (Photo Credit: (Transportation Safety Board)

 

Tracking brownfield redevelopment outcomes using Ontario’s RSCs

By David Nguyen, staff writer, Hazmat Management Magazine

GeoEnviroPro’s latest webinar event featured Dr. Christopher De Sousa, a professor and director of the School of Urban and Regional Planning at Ryerson University.  He spoke about his research using record of site conditions (RSCs) to track brownfield developments in Ontario.

Christopher De Sousa.BA, MScPL, PhD (Associate Professor, Ryerson University)

A RSC is typically filed on the Environmental Site Registry with the Ontario Ministry of the Environment and Climate Change (MOECC) after property has undergone a Phase I, and often a Phase II Environmental Site Assessment (ESA) and the property is undergoing a zoning change to a more sensitive land use (i.e., industrial to residential).  A record of site condition summarizes the environmental condition of a property, based on the completion of ESAs.

De Sousa’s research focussed on the effects of the RCS legislation since its introduction in 2004, focussing on the scale and value of projects using RSCs from 2004 to 2015 (noting the revisions to the RSC legislation in 2011).  Property Assessments and Tax information was used to determine the nature of the developments that have occurred on brownfields.  Private sector stakeholders were interviewed to determine the factors that influence private sectors to develop on brownfields.

The research showed that from 2004 – 2015, 31% of RSCs were filed for Toronto properties.  However, the cities with the greatest total area redeveloped (based on RSC filings) were Brampton and Vaughn, with Toronto having the third largest total area redeveloped. With the exception of Ottawa, projects requiring RSCs occurred primarily in the greater Toronto and Hamilton area.

Of the RSCs filed from 2004 – 2015, 24% consisted of only Phase I environmental site assessments (ESA), 69% consisted of a generic Phase I and II ESAs, and 7% used a Phase I and II ESA combined with a site specific risk assessment.

With land use changes, the most common previous land use was commercial (36.8%) followed by industrial (22.3%) and the most common intended land use was residential (67.5%) followed by commercial (14.9%).

Toronto’s development focussed on residential projects located near major transit and roadways (85.6% of which being condos).  Smaller municipalities like Waterloo and Kingston also primarily developed residential properties (31% and 58%, respectively).  De Sousa notes that provincial growth plans and community improvement plans can help municipalities be more proactive in housing and economic development goals.

From a private sector perspective, the main motivations for brownfield developments are based on real estate factors (profit, market, locations), with barriers being costs, liabilities, and time (in project reviews and approvals).

Facilitation strategies that governments can utilize involve financial and regulatory changes, particularly in more effective and efficient processes and tools in high priority areas, with perhaps more government intervening regulations in secondary/ weaker markets to encourage development of brownfields vs. greenfields.

Toronto’s Port Lands feature numerous brownfields sites, image by Marcus Mitanis

Largest Clean-up Grant in Canadian History

As reported by Laura Osman of the CBC, Councillors on Ottawa’s finance committee unanimously approved a $60-million grant to clean up contaminants to make way for a massive new development on Chaudière and Albert islands.

Windmill Development Group applied for the grant for its mixed-use Zibi project.

Windmill will clear the contaminated soil on the site, which has historically been used as an industrial site, and demolish a number of buildings.

An artist’s rendering of the Zibi development, which could receive a substantial grant from the city for soil and building cleanup. (City of Ottawa)

“These are contaminated lands on a derelict site in the city’s urban core,” said Lee Ann Snedden, director of Ottawa’s planning services.

“This truly is a poster child for a brownfield grant.

The city’s brownfields redevelopment program awards funds to developers for cleaning up contaminated sites and deteriorating buildings, which helps encourage developers to build in the core rather than the suburbs.

The grant would pay for half of the total projected cost of the cleanup.

Windmill has promised to create a $1.2 billion environmentally friendly community with condos, shops, offices, waterfront parks and pathways on the 15-hectare site, which spans both the Quebec and Ontario sides of the Ottawa River.

The city will only pay for the actual costs of cleanup after the invoices have been verified, Mayor Jim Watson said.

The developer promised to only do the work if they find contamination is present.

“It would be fantastic news for us as the proponent if there’s less contaminants there,” said Jeff Westeinde with Windmill Development Group.

The developer hopes to have the Ottawa part of the development completed in seven or eight years.

Snedden pointed out the city will not  pay to clean up the nearby LeBreton land to allow development because the land is controlled by the federal government.

But the National Capital Commission technically owned about 20 per cent of the Zibi development lands as well said Coun. Catherine McKenney, who argued the federal government should contribute to the cleanup costs.

The NCC owned the lands and had a perpetual lease with Domtar, which operated a paper-mill on the site for nearly 100 years.

“So why are we paying the cost?” asked Peter Stockdale with the Fairlea Community Association.

Some councillors received letters from constituents concerned about the large amount of money going toward a money-making venture.

Capital ward Coun. David Chernushenko acknowledged the grant was “staggeringly” large, but said someone must be responsible for cleaning up contaminated sites.

“I don’t see this as some sort of corporate welfare,” he said.

The grant will still need to be approved by city council.

Chaudière and Victoria islands seen from the air above the Quebec side.

MOECC Releases Notice of Updated Excess Soil Management Proposal

By David Nguyen – Staff Writer

The Ontario Ministry of Environment and Climate Change (MOECC) recently posted notice on the Environmental Bill of Rights Environmental Registry of the regulatory changes to the management of excess soil (Excess Soil Management Regulatory Proposal, ERO# 013-2774). Excess soil is soil that has been dug up, such as during excavation activities, and cannot be reused at its original site and must be moved off site.  There is much controversy in the Province of Ontario and other provinces concerning the management of excess soil as there are claims and growing evidence that some companies mix clean soil with contaminated soil, some companies dispose of contaminated soil as clean soil, and other questionable practices.

The MOECC proposal clarifies where soils can be reused based on the soil characterization and aims to reduce greenhouse gasses from the transportation of soil by encouraging local reuse. The proposal also clarifies that the project leader is responsible for the management and relocation of the excess soil generated during a project to ensure proper characterization and relocation. Minor amendments to O.Reg. 153/04 and to O. Reg. 347 are also proposed.

The current proposal incorporates responses and comments from the previous proposal as well as from engagement with stakeholders and Indigenous communities. Changes from the previous proposal include:

  • A revised approach to waste designation
  • Reduced regulatory complexity and some details moved to guidance
  • A two to three years transition time for key regulations
  • Several O. Reg. 153/04 amendments to come into effect sooner
  • More flexibility for reuse through new reuse standards and a Beneficial Reuse Assessment Tool to develop site specific standards

This proposal is part of the MOECC’s response to the commitments outlined in Ontario’s Excess Soil Management Policy Framework. Other actions of the framework include developing priority education, outreach and training initiatives to support implementation.

The specific regulations and proposals provided for comments are summarized below:

  • A new proposed On-Site and Excess Soil Management Regulation
    • Excess soil would be designated as waste when it leaves the project area unless it is reused in accordance with the rules set out in this regulation.
    • If designated waste, the regulation would clarify when an ECA is not required.
    • Hauling of excess soil would generally not need an ECA, but is still subject to certain rules, such as maintaining records.
    • Project leaders may use temporary soil storage sites without an ECA as long as certain conditions are met.
    • Unless exempted, a project leader is responsible for preparing an Excess Soil Management Plan (ESMP), which involves determining contaminant concentrations on the soil, finding appropriate receiving sites, develop a tracking system and record keeping requirements.
    • Key information from the ESMP would be registered on a public registry. A qualified person (QP) would need to prepare or supervise the ESMP.
    • The regulation would be phased in over two to three years.
  • Amendments to O. Reg. 153/04
    • Align the requirements for soil being taken to Record of Site Condition (RSC) or phase two properties with the new rules for excess soil proposed in the On-Site and Excess Soil Management Regulation.
    • Resolve delineation challenges experienced at properties going through the Risk Assessment process.
    • Remove Record of Site Condition triggers for low risk projects.
    • Provide flexibility for meeting contamination standards where exceedances are cause by substances used for ice and snow safety, discharges of treated drinking water, and presence of fill that matches local background levels.
  • Amendments to O. Reg. 347
    • Clarify that excess soil is no longer part of the definition of “inert fill.”
    • Clarify operational requirements to support exemptions from ECA requirements for excess soil related activities.
  • Proposal of Rules for On-site and Excess Soil Management
    • A proposed document to be adopted by reference in the On-Site and Excess Soil Management Regulation
    • Specifies ESMP contents, including an assessment of past uses, sampling and analysis plan, excess soil characterization, requirements for excess soil tracking systems, a destination assessment and identification, and declarations required of the project leader and qualified person, and applicable soil quality standards and related rules.
  • The proposed “Beneficial Reuse Assessment Tool” (BRAT)
    • An alternative rules that aim to promote greater reuse of excess soil and the protection of human health and the environment
    • Allows a QP to generate site specific standards using a spreadsheet model

Comments can be made on the proposal up to June 15, 2018 on the Environmental Registry of Ontario proposal site or by mail.

Contaminated sites could pose issue for Saskatoon’s transit plan

As reported in the Phil Tank in the Saskatoon Star Phoenix, the city of Saskatoon has tested the soil at several locations where transit stations are planned for the bus rapid transit (BRT) system. The results of the tests will not be known until later this month, but Mayor Charlie Clark says contaminated sites, like former gas stations, pose a big issue for Canadian cities.

The testing took place along the proposed BRT red line, which is expected to run on 22nd Street on the west side of the river and on Eighth Street on the east side.

“Brownfields (contaminated sites) along some of these major streets are a real problem,” Clark told reporters Tuesday at city hall. “We have a lot of gas stations that have been abandoned, left there and the owners are just sitting on them and not allowing them to be sold and redeveloped.”

The CP railway crossing on 22nd Street, one of the main routes of the BRT system. (Google Maps)

Clark, who was promoting an event to gather residents’ input on the city’s various growth plans, said he would like to see clearer rules from the province and the federal government on contaminated sites.

The City of Saskatoon has limited tools to force sites to be sold or redeveloped or to compel owners to clean up contamination, he said.

“We frankly don’t think the taxpayers of Saskatoon should have to pay to clean up contaminated sites where somebody was operating a gas station or a fuel distribution site for many years, generating a profit off of it, and then leaving it as a barren and wasted piece of land,” Clark said.

The city’s brownfield renewal strategy is among a number of different planks in its overall growth strategy, which was featured at a community open house in early March.

Brownfield Renewal Strategy

Saskatoon’s Brownfield Renewal Srategy (“BRS”) states that abandoned, vacant, derelict, underutilized properties shouldn’t stop revitalization.  The strategy supports redevelopment of brownfield sites to maximize their potential and revitalize the main transportation corridors within the City.  The goal of the BRS is to create environmental guidance manuals, provide advisory services, and implement incentive programs to encourage brownfield redevelopment.

The City of Saskatoon sees the BRS as requirement for achieving the City’s target of achieving 50% growth through infill.

The BRS will create a suite of tools and programs designed to assist prospective developers and property owners with the environmental requirements associated with impacted and potentially impacted brownfields.

Mayor Clark noted Saskatoon and its surrounding region has been identified as the fastest growing metropolitan area in Canada, with 250,000 additional residents anticipated in the next few decades.

Lesley Anderson, the director of planning and development with the City of Saskatoon, talks renewal strategy

Ontario Announces Cleantech Strategy & Support for Cleantech Companies

Article by Richard CorleySophie Langlois and Catherine Lyons

Goodmans LLP

Recently, the Ontario Minister of Research, Innovation and Science, Reza Moridi, launched Ontario’s Cleantech Strategy (the “Cleantech Strategy“) which aims to catalyze the growth of Ontario’s clean technology sector to support sales into a global market which is expected to grow to $2.5 trillion by 2022. The Cleantech Strategy is aligned with Ontario’s five-year Climate Change Action Plan (CCAP) to fight climate change, reduce greenhouse gas (GHG) pollution, and drive the transition to a low-carbon economy.  It is also aligned with Ontario’s Business Growth Initiative (BGI), which is, among other things, assisting innovative companies to scale up.

Purpose of the Cleantech Strategy

The Cleantech Strategy bolsters Ontario’s commitment to support the development of new, globally competitive low-carbon technologies that will contribute to fighting climate change and to meeting Ontario’s GHG pollution reduction targets of 15% below 1990 levels by 2020, 37% by 2030 and 80% by 2050. As Minister Moridi explained:

By helping our cleantech companies get ready to scale – and helping them to connect to early customers here in Ontario – Ontario is supporting innovation and reducing emissions and environmental impact across industries. Over the longer term, we expect to see more scaled-up Ontario cleantech companies recognized as North American leaders.

Ontario has the largest share of cleantech companies in Canada and the Cleantech Strategy further supports the province’s leadership in GHG pollution reduction through the development and scaling of cleantech solutions.

Principal Elements of the Cleantech Strategy

Based on Ontario’s strengths in cleantech and global demand, the Cleantech Strategy prioritizes the following four cleantech sub-sectors: energy generation and storage, energy infrastructure, bio-products and bio-chemicals, and water and wastewater.

The Cleantech Strategy has four interrelated pillars through which the province intends to meet its objective of helping cleantech companies scale up and meet global demand:

  1. Venture and scale readiness – strengthening opportunities for in-house research and development, strengthening entrepreneur knowledge of key global markets, reducing regulatory uncertainty to facilitate access to capital, and attracting and developing a strong pool of sales, marketing and management talent
  2. Access to capital – increasing access to scaling capital, providing guidance on available provincial and federal cleantech funding, and simplifying access to such capital
  3. Regulatory modernization – streamlining the regulatory environment where possible to reduce barriers for cleantech market entry, supporting performance-based standards and approvals processes, and supporting the development of harmonized industry standards
  4. Adoption and procurement – increasing demonstration and pilot opportunities to de-risk and validate new technologies, and addressing prescriptive and risk-averse procurement practices

Initiatives funded through Ontario’s carbon market as part of the Cleantech Strategy include the Global Market Acceleration Fund (GMAF) and the Green Focus on Innovation and Technology (GreenFIT).

The Global Market Acceleration Fund

The GMAF will help companies lower the risk associated with expanding production of a proven clean technology.  The fund will also assist companies with the cost of scaling up inventory, distribution and sales to domestic and global markets.  The GMAF can provide between $2 million and$5 million of funding to Ontario-based companies with promising GHG reduction technologies and scale-up and export potential.  To receive funding, these companies must be able to demonstrate funding commitments for at least 50% of the eligible project costs. A total of $27 million has been allotted to the GMAF.

Green Focus on Innovation and Technology

Through the GreenFIT program, Ontario will commit $10 million towards demonstration projects of new technologies and services. Early adoption of these new technologies and services will benefit both the adopting public sector institutions with support for their emissions reductions and participating companies with opportunities for validation and credibility for their products.

The content of this article does not constitute legal advice and should not be relied on in that way. Specific advice should be sought about your specific circumstances.

_________________

About the Authors

Richard Corley is a partner at Goodmans LLP and leads the firm’s Cleantech Practice Group.

Sophie Langlois is an associate at Goodmans LLP.  She practices in the area of corporate and securities law and mergers and acquisitions.

Catherine Lyons is a partner at Goodmans LLP.  She dedicates her practice to representing both private and public sector clients at the intersection of municipal and environmental law.

 

This article was first published on the Goodmans LLP website.

City of Welland, Ontario and Brownfields Development

As reported in the Welland Tribune, Welland, Ontario is on top of the heap when it comes to incentivizing its brownfield community improvement programs and has success stories it can share and build off of, a consultant told city council this week.

Luciana Piccioni, president of RCI Consulting, was before council Tuesday night to talk about Welland’s draft brownfield community improvement program, an 11-year-old document in need of a review and update.

Piccioni went through four programs the city currently has in place — an environmental site assessment grant program (ESA), brownfields tax assistance program (TAP), brownfields rehabilitation grant program (TIG), and brownfields planning and building permit fees refund program — and what needed to be updated and changed with each.

“Overall, with the exception of the rehabilitation grant program, Welland’s brownfield incentive programs are still competitive. Welland is one of only a few municipalities in Ontario that offers both a development charge reduction and a TIG for brownfield redevelopment projects,” Piccioni said.

He said it’s one thing that sets the municipality apart from others in the province.

Former Atlas Steel Plant in Welland Ontario

As RCI began to update the brownfield community improvement programs, a half-dozen key stakeholders in the development industry and brownfield developers were invited to a workshop.

“That went very well … and we brought back revisions to them and they were very supportive.”

Piccioni said the stakeholders had positive responses about applying for incentive programs and said city staff were recognized as being responsive and good to work with.

The stakeholders also said the city has an open for business and co-operative mindset, but suggested increasing dedicated city staff resources to help speed up the application process.

Comments about Niagara Region with respect to the handling of brownfield and other CIP incentive programs applications were less than positive, Piccioni told council.

Stakeholders also suggested the city increase its flexibility when it comes to interpreting program requirements, allowing for unique situations to be looked at and evaluated for possible inclusion.

It was also suggested the city consider expanding and enhancing the marketing of off of the incentive programs, success stories and long-term benefits.

“You’re starting to have those success stories now,” Piccioni said, adding he expected to have a final draft ready for council to see in April.

Council heard some of the changes being made to the plans included making it harder for people just trying to get financing for a brownfield property with no intention of developing it.

Piccioni said developers would be asked to provide a letter of intent.

“It would prove to us that they intend to redevelop the property. There would be just enough hoops to discourage the pretenders and encourage the intenders.”

As of March 2017, there were 17 applications submitted for ESA grants, the TIG and rehabilitation grants, with 15 approved, two not approved and two abandoned. The total grant amount requested was roughly $560,000.