Forest Legislation Reform

1. Forest Legislation Reform Toward Results Based Or “The Next Generation”

2. American Center for Strategic and International Studies • Reviewed major policy papers on changing env. regulation - 1999 • Three themes found

3. Three Themes Need: Moreperformance-based, information rich, technology spurring, flexible, accountable reg systems Broader array of policy tools to promote continuous improvement Stronger private sector mgmt systems that internalize stewardship ethic

4. Canada – External Advisory Committee on Smart Regulation 2004 - need greater focus on results - there are more operators with capacity to meet results without prescriptive regulation - good monitoring/assessment enables bold use of performance regulation

5. Managing the Environment – A Review of Best Practices for Ontario 2001 - examined latest thinking across jurisdictions - 5 major shifts noted

6. 5 Major Shifts Share responsibility across Ministries More focus on improvement Manage env. as a whole – air, land, water More reliance on operators, NGO’s, public, academics Improve performance through partnerships, innovation, compliance assistance

7. Enterprise Saskatchewan Partnership of govt., industry, labour, aboriginals, post secondary, and others Dedicated to sustained economic growth “In short… continually push the competitive envelope” Premier Wall

8. Enterprise Saskatchewan Regulatory Modernization Council - recommends to board of directors of ES - to guide regulatory reform and business service priorities - 11 strategic themes

9. 11 Themes • - Modern regs • Client Service • Focus • - On – Line Service • Simplify paper • work • - Measurement & • Accountability • - Timeliness • - Transparency • Effective • Communication • Reg Impact • Analysis • Harmonization • of stds • Reduce $ • Burden

10. Provincial Direction A healthy, safe and prosperous future through: • Global innovation leader in energy, environment and natural resources • Sustainable environmental practices • Protecting and conserving natural resources • Professional public service • Open, accountable and transparent government • Competitive regulatory environment

11. Current Status Rapidly growing Sask economy and progressively reduced ministry capacity Increasing regulatory delays Heavy consequences for province Delayed employment, impeded growth Loss of tax and royalty revenue Local impacts Even greater consequences to investors Delay of production Barrier to investment

12. Govt Labour Force Rapidly graying and losing core skills >200 persons could retire within 3 years Shortage of key engineering and science skills available in current labor market Government currently not competitive with private sector for these skills Low probability of replacing key staff to have seamless succession that will not impact licence holders

13. Objectives of New Model • Ongoing innovation and continuous improvement of regulatory systems • Accountability to public and transparency in all aspects of environmental regulation • Effective compliance assurance programs

14. Objectives (Cont’d) • Timely, science and knowledge-based env mgt decisions by a professional public service • Environmental protection delivered as a routine business system supported by qualified professionals • Facilitate economic growth through efficient and consistent results-based regulation

15. Results Based Regulation Specifies the environmental outcome or standard required, but leaves the specific practices to achieve that outcome up to the discretion of the regulated entity Contrast to “command and control” which relies heavily on permitting and control of design standards that specify exactly “how” to achieve compliance

16. Components of a Results-Based Model Reporting by operators Enhanced role and responsibility of professionals and professional regulation Collaboration and communication Transparency to the public Education Compliance Assurance

17. Legislative Framework Appropriate combination of: Act – sets out purpose and application of laws, authorities, responsibilities, offences Regulations – set out administrative processes and may adopt Codes/Standards Codes – set out requirements/results, some more detailed than others

18. Saskatchewan Environmental Code Some concepts Develop for all sectors with representative committees of knowledgeable practitioners Peer reviewed Updated periodically Results-based objectives

19. Saskatchewan Environmental Code Some concepts Developers operate in accordance with code Fewer licencing requirements due to code Qualified persons responsible for meeting code Audits verify compliance with code Provincial Forest Standards = Code

20. IT Infrastructure Essential An essential management tool Data geo-referenced and posted on web-based EMIS for public access Maintenance of archives and library essential Data and information is acquired, analyzed, communicated and archived electronically to standards agreed to by the stakeholders

21. Audit and Enforcement Essential Audited as necessary, in accordance with priorities, operator compliance history and environmental risk Reward system for excellence? Enforcement of penalties Widespread communication of results

22. Guiding Principles Materiality: - significant changes to env. reportable by operator Accountability: - operators accountable for protection of the environment - MOE accountable to the public to assure compliance

23. Guiding Principles Affordable: • Sask. industry must be able to compete Respect Other Governments: • Each level has own responsibilities to citizens Competence - Decisions made by professionals (public & private) using best available information

24. Guiding Principles Timeliness: - Decisions made, communicated and implemented at the speed of the economy

25. Three Basic Types of Rules • Guidelines – voluntary, best when flexibility and innovation key Eg. how to conduct consultations • Mandatory practices – when results not easily measured Eg.road closure barrier • Desired Results – best when commonly understood and easily measured Eg. retain representative old growth

26. Measures of Good Rule Simple: reasonable # of steps to get to decision Clear: in same situation different people interpret rule in same manner Congruent: matches the problem, does not - over include eg. berry pickers need permit - under include eg. no fees for bio fuel harvesting

27. Considerations for Determining Results Affordable - economically efficient Based on best science Based on best consultation - social & political criteria Based on risk of damage - tolerance for risk varies - scale – stand level versus landscape - link to management objectives

28. Considerations for Determining Results Measurable Industries Capacity to Measure, Report, Innovate - current state of forest industry - capacity of small business sector Sensitivity to variability over time and space - 1 rule everywhere can become too general to be useful

29. Legislative Options to Enhance Professional Competence/Accountability Govt. defines who is qualified to perform designated activities ASFP advocates to amend ASFP Act to “right to practice” Govt./Industry/ASFP partnerships voluntarily improve competence

30. Potential Roles For ASFP/CIF Participate in defining desired for. mgmt. results Promote scientific advancement Champion professional competence and innovation Educate stakeholders Dispute Resolution – honest broker eg. audit findings