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Indigenous Consent Required for Territorial Mining

Full Title: An Act to amend the Territorial Lands Act

Summary#

This bill changes the Territorial Lands Act to set new rules for how mining rights can be acquired on territorial lands. It lets the Governor in Council (federal Cabinet) create regulations for acquiring mining rights and setting royalties. It requires that those regulations include free, prior and informed consent (consent given without pressure, before decisions, with full information) from Inuit and any other directly affected Indigenous peoples, and protections and compensation for surface rights holders (Bill, s.12).

  • Requires consent from directly affected Inuit and other Indigenous peoples before mining rights can be acquired under federal regulations (Bill, s.12(a)).
  • Directs regulations to protect and compensate people who hold surface rights where mining occurs (Bill, s.12(b)).
  • Centralizes rule-making on acquisition of mining rights and royalties in federal regulations (Bill, s.12).
  • Leaves many details (process, timelines, enforcement) to future regulations (Bill, s.12).
  • Applies to mining rights “in, under or on” territorial lands covered by the Territorial Lands Act (Bill, s.12).

What it means for you#

  • Indigenous communities

    • Any federal regulation for acquiring mining rights on territorial lands must require free, prior and informed consent from Inuit and other Indigenous peoples who are directly affected (Bill, s.12(a)).
    • The bill does not define how consent is given or by whom; those details would be set in future regulations (Bill, s.12).
    • Timing: Effects begin when the Governor in Council issues the regulations; the bill sets the requirement but not the process (Bill, s.12).
  • Mining companies and investors

    • You would need to follow new federal regulations for acquiring mining rights that require consent from directly affected Inuit and other Indigenous peoples (Bill, s.12(a)).
    • Regulations may also set royalty rules tied to these mining rights (Bill, s.12).
    • You would need to address protection and compensation for surface rights holders as required by the regulations (Bill, s.12(b)).
    • Project timelines and costs would depend on the consent and compensation processes defined in the regulations (Bill, s.12).
  • Surface rights holders (e.g., land lessees or owners of surface access)

    • Regulations must include protections for your interests and provide for compensation if mining affects your surface rights (Bill, s.12(b)).
    • How compensation is calculated and paid will be defined in the regulations (Bill, s.12).
  • Territorial residents and workers

    • The bill could change when and how mining projects proceed on territorial lands by adding consent and compensation steps to the acquisition process (Bill, s.12).
    • Job and contracting opportunities may depend on how quickly consent and compensation agreements are reached under the regulations. Data unavailable.
  • Federal and territorial regulators

    • Federal Cabinet would write and enforce the regulations for acquiring mining rights and royalties on territorial lands, subject to the consent and protection requirements (Bill, s.12).
    • Coordination with existing permitting and land management systems would depend on regulatory design. Data unavailable.

Expenses#

Estimated net cost: Data unavailable.

  • The bill contains no direct appropriations, spending authorizations, or fees in the text (Bill, s.12).
  • No fiscal note identified. Data unavailable.
  • Any future costs or revenues would depend on regulations for consent processes, administration, enforcement, and royalties, which are not specified in the bill (Bill, s.12).

Proponents' View#

  • Strengthens Indigenous decision-making by making consent a required part of acquiring mining rights on territorial lands, not just consultation (Bill, s.12(a)). Proponents argue this can reduce conflict and court challenges by addressing concerns up front. Assumption noted.
  • Improves clarity for communities and companies by making consent a mandatory element in the regulations, setting a clear gate for project advancement (Bill, s.12(a)). Assumption noted.
  • Protects local land users by requiring regulations to provide protection and compensation for surface rights holders affected by subsurface mining activity (Bill, s.12(b)).
  • Enables coherent policy by allowing Cabinet to set acquisition procedures and royalty rules together through regulation, which can be updated as needed (Bill, s.12).
  • Aligns federal mining-rights processes with a consent standard for directly affected Inuit and other Indigenous peoples, which proponents say supports more durable agreements. Assumption noted.

Opponents' View#

  • May slow or block projects if consent is not reached, increasing timelines and costs for mining firms and communities that expect project-related jobs (Bill, s.12(a)). Assumption noted.
  • Creates uncertainty because the bill does not define “free, prior and informed consent,” who gives it, or how disputes are resolved; this is left to future regulations (Bill, s.12).
  • Shifts major policy choices to regulations made by Cabinet, reducing parliamentary scrutiny over key terms such as consent procedures and royalty rules (Bill, s.12).
  • Could deter investment in territorial mining due to uncertainty about consent requirements and potential compensation obligations until regulations are clear. Assumption noted.
  • Risk of overlap or conflict with existing land and resource regimes and agreements unless regulations are tightly coordinated. Assumption noted.

Timeline

Mar 10, 2023 • House

First reading

Indigenous Affairs
Public Lands
Trade and Commerce
Economics