CONFIDENTIAL DRAFT Modernization of Approvals Project Update July, 2010

2 CONFIDENTIAL DRAFT Vision Transform the Ministry’s business in a way that builds upon the current modernization of the approvals process: a leading edge, risk based approach which protects the environment and human health while expediting service to business through process improvements, electronic service delivery and strategic application of resources

3 CONFIDENTIAL DRAFT Purpose Providing an overview of the Ministry of the Environment’s high-level policy goals to be achieved: - Maintain, and where possible enhance, environmental and human health protection - Foster continuous improvement and efficiencies in the process - Reduce burden on the regulated community - Encourage continuous improvement for the regulated community Modernization of Approvals builds on Ministry's work to date to modernize approvals and improve service delivery.

4 CONFIDENTIAL DRAFT The Proposed Modernized Process

5 CONFIDENTIAL DRAFT The Proposed Registry System EPA Part II.2 Focus on: simpler, quicker, online process and transparency Legislation requires Director to creates the Registry, defines the purpose and requirement to be registered Permit by Rule system: - Standard set of rules for eligibility and operation - No customization - Follow the rule, do not need a custom approval The Registry would be a database of facilities or operators that do not need to apply for an approval for specified activities

6 CONFIDENTIAL DRAFT Proposed Registry Process Diagram

7 CONFIDENTIAL DRAFT Example: Heating, Ventilation and Air Conditioning (HVAC) New Registry Process Building installs natural gas fired HVAC units that emit to air Logs on with account to new Registry system Could register the activity on-line in one day - Regulatory requirements for Registry eligibility and submission are clearly identified in the on-line tool Receives confirmation of registration as soon as registration is finished and fees paid – starts operating Subject to compliance with the approval requirements and existing environmental standards - Regulatory requirements for on-going operation are clearly identified in the on-line tool Need to periodically log on and update information

8 CONFIDENTIAL DRAFT New Environmental Compliance Approval (ECA) System Focus on: support for flexibility and defined timelines Applied to all activities not exempt and not eligible for Registry New and enhanced features designed to match operational realities: - Large facilities with several activities that require approvals - Companies with multiple locations - Regular operational changes are a fact of life - Level playing field is desirable A reference to ECA includes a reference to existing Certificates of Approval or OWRA s. 53 approval (EPA section 2.1)

9 CONFIDENTIAL DRAFT Proposed ECA Process Diagram

10 CONFIDENTIAL DRAFT Example: Large Manufacturing Plant New Environmental Compliance Approval Process Large manufacturing facility with emissions to air and to water Single multi-media approval for the entire site - Consolidate multiple individual approvals into one Approval includes “operational flexibility” - No amendments required for changes, as long as the facility is compliant and the changes are within defined limits Approval subject to periodic review and update by the Ministry Service delivery commitments on review time Subject to compliance with the approval requirements and existing environmental standards

11 CONFIDENTIAL DRAFT General: Compliance Sections EPA All existing compliance tools apply to registrations and ECAs Legislation creates: - Ability for a Provincial Officer to gather information over phone for purpose of an inspection (section ) and makes non- compliance an offence - New administrative monetary penalties to be established with an aggregate maximum of 100K. 5K maximum a PO can issue. (section 182.3) » for specific violations (i.e., failure to register, failure to follow a compliance directive, failure to declare)

12 CONFIDENTIAL DRAFT Common Service Components CSC will facilitate the management of client interactions with Ministry services, using common business processes and common components. Single Business Number (SBN) - MOE is an earlier adopter of the OPS wide initiative to provide clients with a standardized unique identifier (Canada Revenue Agency ID #) E-submission/ E-payment - Service Access – will accept and manage electronic submission of forms, applications, reports, etc. from Ministry clients - Service Tracking – will provide clients with the status of their service transactions with the Ministry - Service Fulfillment – will manage clients’ electronic payments, such as approval fees

13 CONFIDENTIAL DRAFT Timeline Proposed Legislation Becomes ACT on Royal Assent Ability to apply for and issue multi-media, single- site, multi-site or system Certificate of Approval Ability to include operational flexibility in a Certificate of Approval Provincial Officers may gather information without a site visit IN FORCE Other proposed changes are proclaimed Optional future proclamation The Registry is created Approvals become Environmental Compliance Approvals with all the features discussed New compliance tools Discretionary hearings across all media IN FORCE Applications for multi- media, single-site or system-wide ECA is now mandatory IN FORCE

14 CONFIDENTIAL DRAFT Thank you