Mackenzie Pipeline Clears One Lawsuit, but Real Challenges Ahead
By Bob Weber 11 Jul 2005 at 09:37 PM EDT resourceinvestor.com
OTTAWA (CP) -- The federal government and a northern aboriginal group have reached an out-of-court settlement on a lawsuit that threatened to block a proposed C$7-billion Mackenzie Valley natural gas pipeline.
But the deal with the Deh Cho First Nations only means negotiators can now turn to more contentious problems facing the pipeline, which is seen as crucial to economic development in the Western Arctic.
Access and benefits agreements for aboriginal groups along the pipeline's right-of-way must still be reached. So must the Deh Cho's self-government and land claim package.
For now, though, leaders were happy to celebrate a bit of good news on the pipeline after months of complications and roadblocks.
''Canada's discussion with the Deh Cho First Nations on land, resources and governance are back on track and will proceed with renewed vigour _ and in turn generate greater certainty in the Mackenzie Valley,'' Indian Affairs Minister Andy Scott said in a release Monday.
''This is a fair agreement which addresses some of our most urgent concerns about the pipeline project,'' said Deh Cho Grand Chief Herb Norwegian in the same release.
The Deh Cho have won greater influence in environmental oversight of the pipeline, C$15 million over five years in economic development funding and another C$16.5 million to finance negotiations and participation in the pipeline review.
They did not win, as they were seeking, a veto over parts of the pipeline in their claimed territory.
''There's no provision for a veto in the agreement,'' said federal negotiator Tim Christian.
Instead, Deh Cho representatives will now join the regulatory process already established, said Christian.
The deal proposes a Deh Cho Resource Management Authority, but the scope and powers of such a board will be fleshed out during land claim talks, said Deh Cho negotiator Chris Reid. The parties remain far apart over what the board should do.
''We would characterize (the deal) as a small step forward in ongoing negotiations,'' Reid said.
Ottawa has promised to consult the Deh Cho on new energy exploration. It has also promised to act on withdrawing land that has been identified as having special environmental or cultural value.
As well, it has agreed to implement a land-use plan for the area.
In addition to withdrawing two lawsuits, the Deh Cho have also promised not to file any new ones over similar concerns for the next seven years.
''It's an encouraging step,'' said Hart Searle, spokesman for pipeline proponent Imperial Oil.
''It's helpful in that it removes an element of uncertainty.''
Imperial is still working through what the deal means, said Searle.
The Deh Cho lawsuits were one factor in Imperial's decision to cancel preparatory engineering work it had scheduled for this summer. A bigger factor, however, were the access and benefits agreements.
''(It) affects all the regions,'' Searle said. ''(It) affects our ability to have access to the land to put the pipeline in the ground, so that's the pivotal one.''
Ottawa is currently mulling over a proposal from the Northwest Territories and other aboriginal groups for a C$100-million annual fund to cover the pipeline's social impacts and pay for services such as housing and education.
Once a deal is reached, pipeline proponents then must reach their own access and benefits agreements with the various aboriginal groups.
''(This agreement) does not mean that the (Deh Cho First Nations) support the pipeline,'' said Norwegian. ''We still have some very difficult negotiations ahead with the oil companies that want to access our lands.''
The 4,500 members of the Deh Cho, the only major aboriginal group in the Northwest Territories that hasn't signed onto the project, cover virtually the entire southwest corner of the territory. Forty per cent of the pipeline's planned route would cross land they claim.
The lawsuit was filed last fall over concerns the environmental review panel for the pipeline project didn't have adequate representation from the Deh Cho.
The statement of claim asked the court to grant an injunction stopping the pipeline review until the Deh Cho were included in the review process, or else declare any decision reached by the review panel invalid. |