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Canada Energy Regulator – 2023–24 Departmental Plan – Corporate information

 

Organizational profile

Appropriate Minister(s): The Honourable Jonathan Wilkinson, P.C., M.P.

Institutional head: Gitane De Silva

Ministerial portfolio: Natural Resources

Enabling instrument(s): Canadian Energy Regulator Act (CER Act)Footnote 49

Year of incorporation / commencement: 2019

Other: The CER Act came into force on 28 August 2019.

Raison d’être, mandate and role: who we are and what we do

Raison d’être

The CER regulates interprovincial and international pipelines and powerlines, offshore renewable energy projects, oil and natural gas operations in frontier areas, and energy trade. The CER’s Mission is regulating infrastructure to ensure safe and efficient delivery of energy to Canada and the world, protecting the environment, recognizing and respecting the rights of the Indigenous Peoples of Canada, and providing timely and relevant energy information and analysis.

Mandate and Role

The CER’s mandate and role are detailed at Governance of the Canada Energy Regulator – Mandate, Roles and Responsibilities on the CER website.

In support of the Minister’s mandate, the CER continues to ensure efficient and effective implementation of the Canadian Energy Regulator (CER) Act.

Operating context

Managing risks and seizing opportunities in the work the CER does on behalf of all Canadians will affect how the CER achieves planned results for 2023–24. The CER has implemented an Enterprise Risk Management (ERM) Framework as the next step in maturing the organization’s processes for managing risks in the context of the current governance model and Strategic Plan. ERM is a holistic approach to identifying, assessing, preparing for, and managing organization-wide strategic risks. By providing a framework to identify enterprise-level risk events, ERM enables the CER’s Board of Directors and senior management to strategically manage events that might stand in the way of organizational success and identify mitigations to these risks.

The context in which we operate as a regulator demands that we mitigate the following risks through the related response strategies described below.

Industry Safety

The CER works for Canadians to keep energy moving safely and efficiently through our country’s pipelines and power lines. The organization carries out this function by setting and enforcing regulatory expectations for companies over the full lifecycle – construction, operation, and abandonment – of energy-related activities.

There is a risk that the CER is ineffective in preventingNote * a high-consequence event resulting in significant harm to people, property, Sites of Indigenous Significance and/or the environment. To mitigate this risk, the CER will continue to:

  • Complete Compliance Verification Activities (CVA) that are risk-informed and data-driven.
  • Complete Management System Audits – systems to improve outcomes.
  • Complete Financial Compliance and Audits.
  • Continually monitor and improve the quality of data that informs risk and CVAs.
  • Promote Safety Culture in regulated companies.
  • Maintain technical strength through professional accreditation and training.
  • Maintain a strong role in setting technical standards (Canadian Standards Association – CSA).
  • Maintain emergency response process and skills.
  • Work in partnership with the Indigenous Advisory and Monitoring Committees (IAMC) on major construction oversight and developing improvements to our regulatory processes and practices.

Cybersecurity Breach to CER Systems

The CER is ever vigilant in working to prevent a cybersecurity breach to CER systems. There is a risk that a breach could lead to unauthorized disclosure, alteration or destruction of protected CER data; unauthorized alteration or destruction of IT systems or digital services; or disruption of CER systems resulting in an inability to carry out daily operations. To mitigate this risk, the CER will continue to:

  • Exercise a risk-managed approach to cybersecurity.
  • Maintain compliance with policy and directives related to cybersecurity as set by Lead Security Agencies (LSA) and implement guidance based on risk management decisions.
  • Partner with LSA, other Government of Canada entities, and private sector vendors and consultants.
  • Maintain rapid response plan, processes, and skills.

Indigenous Rights/Crown Consultation

The CER remains committed to Reconciliation with Indigenous Peoples, and we make deliberate efforts in this direction. The tools embedded in the CER Act and a renewal of the CER’s relationship with Indigenous Peoples support organizational efforts in advancing Reconciliation – based upon the recognition of rights, respect, cooperation, and partnership.

Crown consultation is just one part of the CER’s relationship with Indigenous Peoples. Where the CER has Crown consultation responsibilities, consultation occurs with Indigenous Peoples early and throughout the review process. The CER tailors the scope and nature of Crown consultation activities to the proposed project's complexity, potential effects, and the needs of affected Indigenous Peoples.

As the CER implements its Crown consultation role, there is a risk that the CER does not adequately respect and respond to Indigenous rights or meaningfully carry out Crown consultation with Indigenous Peoples. This could lead to inadequately addressing, avoiding, or minimizing any adverse impacts on Indigenous Peoples’ rights.

To mitigate this risk, CER will continue to:

  • Conduct structured review and learn opportunities to enable improvements and adjustments promptly.
  • Develop clear communication products and messaging for Indigenous Peoples, proponents, stakeholders, and the Commission.
  • Increase involvement and partnership with other federal departments and agencies to raise awareness of CER’s Crown consultation role, setting clear expectations of supporting the CER in this role, informing federal policy/program initiatives, and learning best practices.
  • Create partnerships and cooperation between CER and other federal authorities to ensure the CER is aware of new and evolving policy contexts and can incorporate these into the Crown consultation approach.
  • Incorporate strategic input from the Indigenous Advisory Committee (IAC) via the CER Board of Directors.
  • Collaborate internally amongst the Business Units responsible for and involved in Crown consultation and Reconciliation.
  • Engage with Indigenous Peoples to leverage organizational initiatives to respond to their concerns.
  • Work in partnership with Indigenous communities through mechanisms such as the Indigenous Advisory Monitoring Committees (IAMCs) and the Aboriginal Liaison Program in British Columbia to develop meaningful relationships and identify ways to address issues related to Indigenous Peoples’ rights.

Sustainability of Funding

There is a risk that uncertain funding levels could result in insufficient resources to deliver current and future work, leading to an inability to carry out regulatory work, balance and execute on Strategic Priorities versus core work, and experience a reputational loss.

In previous years, the CER sought and received additional funding for transitioning to new impact assessment and regulatory processes, Indigenous Advisory and Monitoring Committees, and making data available digitally to Canadians. These initiatives supported the CER in implementing sustained change stemming from CER Act implementation. This funding was allocated on a temporary basis, while all these requirements exist as part of a modern, well-functioning regulatory organization. In future years, the CER would benefit from the renewal and rollover of temporary funding for these efforts into ongoing and stable funding.

To mitigate this risk, the CER will:

  • Continue to align activities between our Core Responsibilities and Strategic Priorities.
  • Continue strong governance and oversight in financial management forecasting and reporting.
  • Make funding renewal requests through the Estimates process as needed.

Workforce

Achieving the CER’s planned results is only possible with a team of dedicated professionals who are committed to serving the public. People are the CER’s most critical asset, but the risk exists that the organization cannot adequately attract, retain, and develop a diverse, inclusive, and modernizedFootnote ** workforce. This could lead to voluntary attrition, decreased productivity, not fulfilling the CER’s mandate and erosion of CER culture.

To mitigate this risk, the CER will continue to:

  • Develop and implement an internal communications and engagement strategy to support and drive positive change.
  • Make continuous improvements to Human Resources policies, practices, and processes.
  • Implement the Diversity & Belonging Roadmap informed by Gender-Based Plus analysis and guided by the triennial Employment Equity, Diversity, and Inclusion Plan.
  • Monitor PSES results and respective action items.
  • Continue to enforce mandatory training for leaders and staff (e.g., inclusive hiring practices and workplace violence and harassment prevention).
  • Guide and implement CER official language compliance requirements.
  • Review and assess the CER standard job description classification system.
  • Continue to collaborate effectively with the Union (PIPSC), including participation in collective bargaining.

Reporting framework

The CER’s approved departmental results framework and program inventory for 2023–24 are as follows:

Departmental Results Framework and Program Inventory for 2022-23

Graphic description

This graphic depicts the Canada Energy Regulator’s Departmental Results Framework and Program Inventory of record for 2023–24 Reporting framework.

Departmental Results Framework and Program Inventory of record for 2023–24 Reporting framework

Departmental Results Framework

Core Responsibility 1:
Energy Adjudication

Core Responsibility 2:
Safety and Environment Oversight

Core Responsibility 3:
Energy Information

Core Responsibility 4:
Engagement

Internal Services

Departmental Result: Energy Adjudication processes are fair.

Indicator: Percentage of adjudication decisions overturned on judicial appeal related to procedural fairness

Departmental Result: Harm to people or the environment, throughout the lifecycle of energy-related activities, is prevented.

Indicator: Number of serious injuries and fatalities related to regulated infrastructure.

Departmental Result: Canadians access and use energy information for knowledge, research or decision-making.

Indicator: Evidence that Canadians access and use CER energy information products and specialized expertise, including community-specific information, for knowledge, research or decision-making.

Departmental Result: Input provided by Indigenous Peoples and stakeholders influences the Canada Energy Regulator’s decisions and work.

Indicator: Evidence that input from Indigenous Peoples and stakeholders influences the Canada Energy Regulator’s decisions and work.

Departmental Result: Energy Adjudication processes are timely.

Indicator: Percentage of adjudication decisions and recommendations that are made within legislated time limits and service standards.

Indicator: Number of incidents related to regulated infrastructure that harm the environment.

Departmental Result: Indigenous Peoples and stakeholders provide feedback that engagement with the Canada Energy Regulator is meaningful.

Indicator: Percentage of participants in engagement activities who indicate that the engagement was meaningful.

Departmental Result: Energy Adjudication processes are transparent.

Indicator: Percentage of surveyed participants who indicate that adjudication processes are transparent.

Indicator: Percentage of unauthorized activities on regulated infrastructure that involve repeat violators.

Departmental Result: Canadians have opportunities to collaborate and provide feedback on Canada Energy Regulator information products.

Indicator: Number of opportunities that Canadians have to collaborate and provide feedback on energy information products.

Departmental Result: Energy Adjudication processes are accessible.

Indicator: Percentage of surveyed participant funding recipients who agree that participant funding enabled their participation in an adjudication process.

Program Inventory

Program: Infrastructure, Tolls, and Export Applications

Program: Company Performance

Program: Energy System Information

Program: Stakeholder Engagement

 

Program: Management System and Industry Performance

Program: Pipeline Information

Program: Indigenous Engagement

Program: Emergency Management

Program: Regulatory Framework

Changes to the approved reporting framework since 2022–23

The CER has repositionedFootnote *** the Participant Funding program into a Grants and Contributions (G&C) Service, in accordance with Treasury Board’s Policy on Service and DigitalFootnote 50, through the Departmental Results Framework amendment process.

Repositioning the program as a service is more transparent, in that it reflects the linkage in supporting Energy Adjudication’s Infrastructure, Tolls and Export Applications program by enabling the participation of impacted Indigenous communities, non-profits, and individuals impacted by energy projects in both hearing and crown consultation processes.

Participant funding supports the Energy Adjudication departmental result that “Energy Adjudication processes are accessible”, and will continue to have the following indicator measured: “Percentage of surveyed participant funding recipients who agree that participant funding enabled their participation in an adjudication process.” The indicators under the former Participant Funding program will be captured under the service inventory and related service standards.

Core responsibilities and programs

Structure

2023–24

2022–23

Change

Reason for change

Core responsibility

Energy Adjudication

Energy Adjudication

No change

Not applicable

Program

Infrastructure, Tolls, and Export Applications

Infrastructure, Tolls, and Export Applications

No change

Not applicable

Program

Not applicable

Participant Funding

Program ended

Note 1Table Note a

Core responsibility

Safety and Environment Oversight

Safety and Environment Oversight

No change

Not applicable

Program

Company Performance

Company Performance

No change

Not applicable

Program

Management System and Industry Performance

Management System and Industry Performance

No change

Not applicable

Program

Emergency Management

Emergency Management

No change

Not applicable

Program

Regulatory Framework

Regulatory Framework

No change

Not applicable

Core responsibility

Energy Information

Energy Information

No change

Not applicable

Program

Energy System Information

Energy System Information

No change

Not applicable

Program

Pipeline Information

Pipeline Information

No change

Not applicable

Core responsibility

Engagement

Engagement

No change

Not applicable

Program

Stakeholder Engagement

Stakeholder Engagement

No change

Not applicable

Program

Indigenous Engagement

Indigenous Engagement

No change

Not applicable

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