120 likes | 237 Vues
On January 20, 2010, Stuart Thatcher, Senior Policy Advisor at the Ministry of Natural Resources, discussed the implementation of a disposal levy under the Aggregate Resources Act. This initiative aims to support Extended Producer Responsibility by addressing the financial gap between waste diversion and disposal. The levy will apply to waste in both the industrial, commercial, and institutional (IC&I) and residential sectors. Revenue generated will fund waste diversion efforts, including environmental design and consumer education while establishing proper oversight mechanisms for effective trust management.
E N D
Aggregate Resources Trust under the Aggregate Resources Act Recycling Council of Ontario January 20, 2010 Stuart Thatcher, Senior Policy Advisor Aggregate & Petroleum Resources Section Ministry of Natural Resources
Minister’s (MOE) Report: Disposal levy Intent: • Support Extended Producer Responsibility by “Implementing a disposal levy to narrow the gap between the cost of diversion and disposal, and shift behaviour toward greater diversion” • “Applying levy to all waste discarded in both the IC&I and residential sectors” • “Using disposal levy revenues to support the waste diversion efforts of businesses, consumers, and municipalities such as measures aimed at design for the environment and consumer education” • “Establishing appropriate oversight and administration mechanisms for the disposal levy revenue”
Background • From 1990 to 1997 MNR collected the licence fees and disbursed the fees to affected municipalities • Monies were collected and deposited as general revenue (CRF) • MNR examined the feasibility prior to 1990 to have this money placed in a Special Purpose Account (SPA) • Government of the day was not receptive to creating any more SPA’s • In 1997, MNR underwent a major restructuring and downsizing exercise • Resulting in the ARA being amended and the establishment of a Trust
Roles - 1997 • MNR’s Role • Setting standards • Approvals • Enforcement • Private Sector / Industry Role • Compliance reporting • Operational accountability • Trust management
Achieved By…. • Elimination of Legal Requirements • Transfer of Accountability • Establishment of Trust • Streamlining Process • Delegation / Exemptions • Enhanced Deterrence
Terms of the Trust – Section 6.1 of the ARA • The Trust shall provide for the following matters, on such terms and conditions as may be specified by the Minister: • The rehabilitation of land for which a licence or permit has been revoked and for which final rehabilitation has not been completed. • The rehabilitation of abandoned pits and quarries, including surveys and studies respecting their location andcondition. • Research on aggregate resource management, including rehabilitation. • Payments to the Crown in right of Ontario and to municipalities in accordance with the regulations. • Such other matters as may be specified by the Minister.
Terms and Conditions of the Trustee • Through a legal “Indenture” signed by the Minister and APAO now OSSGA • Interpretation • Settlement • Appointment and Term • Settlor’s Representation • Information to be Provided to Trustee • Payments into the Aggregate Resources Trust
Terms and Conditions of the Trustee – continued • Through a legal “Indenture” signed by the Minister and APAO now OSSGA • Payments out of the Aggregate Resources Trust • Administration of Trust • Trustee’s Remuneration • Limitation of Liability and Indemnification • Notice • Governing Law
Aggregate Resources Trust • $60 million transferred from 6000 individual accounts (licences/permits) • $48 million returned to Licensees/Permittees • $12 million invested to pay for staff, office, etc. • Trustee (TOARC) lives off the interest • No cost to government/MNR • $12 million now sits at $18.3 million
The Ontario Aggregate Resources Corporation (TOARC) - Trustee • Private Corporation • Registered under the Business Corporations Act • Privately owned by the OSSGA • 8 Board of Directors (4 OSSGA) • MNR a member as an ex-officio • Chairman of the Board is always an OSSGA member • Quarterly reports prepared for MNR • Annual report submitted to the Minister
Accountability • The Trust must submit quarterly financial statements to MNR • The Trust must report annually to the Minister on the financial affairs of the Trust • The Minister must submit the report to the Lieutenant Governor in Council and shall table the report in the Legislative Assembly • Money held by the Trust does not form part of the Consolidated Revenue Fund • Any money owing to the Trust is a debt due to the Trust • The decision making powers of the Trust are in respect to what site may or may not get rehabilitated
Workings of the Trust • Aggregate Resources Trust • Invoices Annual Tonnage Reports • Collects Licence fees ($19m) • Collects Royalties & Fees ($1.8m) • Rehabilitation security • Research • Abandoned pits & quarries rehabilitation