Buried Treasure: Groundwater Permitting and Pricing in Canada. Alfonso Rivera Chief Hydrogeologist Geological Survey of Canada

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1 Buried Treasure: Groundwater Permitting and Pricing in Canada Alfonso Rivera Chief Hydrogeologist Geological Survey of Canada Exempt Wells Conference, Walla Walla, WA May 17-18,

2 OUTLINE Buried Treasure Publication Groundwater Use Groundwater Allocation and Permitting Exemptions for GW licensing Groundwater Pricing Summary and the future 2

3 Neighbours Groundwater Resources U.S.A. Canada Area ~9.8 M km 2 Area ~10 M km 2 World 3 rd /4 th largest World 2 nd largest 308 M inhabitants 33 M inhabitants GW use 50% GW use 30% GW resources - States Gov. GW resources - Prov. Gov. GW resources - known GW resources unknown(!) GW use 115 Km 3 /y GW use 1 km 3 /y 3

4 Groundwater in Canada and the USA Canada United States Surface water (km 3 /y) Groundwater recharge (km 3 /y) 550 a Groundwater in storage (km 3 ) a Groundwater use in Canada and the U.S. Population (Millions) Groundwater Use (Km 3 /y) Canada (2000) 33 1 USA (2000) ( a ) from Rivera et al (in press) 4

5 Buried Treasure: Groundwater Permitting and and Pricing in in Canada By By Linda Linda Nowlan Nowlan (2005) (2005) SEE SEE 5

6 Buried Treasure Contents 5 chapters: 1. Groundwater science 2. Groundwater allocation law 3. A comparison of provincial and territorial groundwater permitting requirements 4. A comparison of public participation opportunities in groundwater permitting 5. A comparison of groundwater pricing requirements 3 case studies: How Well Do We Understand Groundwater in Canada? A Science Case Study Groundwater Use in Canada Groundwater Pricing Policies in Canada 6

7 Case Study #1 - How Well Do We Understand Groundwater in Canada? A Science Case Study, by Alfonso Rivera Overview of groundwater quantity in Canada, 2005, based on 12 completed regional aquifers assessments by the Geological Survey of Canada. Summarizes state of scientific knowledge about the country s aquifers. No evidence to date of decreasing volumes or declining supplies. But Canada does not yet have complete knowledge of its groundwater resources. 7

8 Data on Groundwater Remain Scarce In Canada Groundwater resources of Canada may be larger than all surface waters (rivers, lakes) combined Nature, extent, sustainability, and vulnerability of these resources virtually unknown on a national scale Groundwater estimated to supply: 82% of the country s rural population 43% of agricultural needs 14% of industry needs 8

9 Groundwater Use in Canada Circa 10.2 million Canadians, or 30.3% of the population, rely on groundwater for domestic use. Approx. 2/3 of these users live in rural areas. Ontario, Quebec, and British Columbia are the biggest users of municipal groundwater. 9

10 Groundwater Use in Canada Quebec has the greatest number of municipal systems reliant on groundwater (142) Ontario has the highest population dependent on groundwater (1.3 million) PEI has greatest level of dependence (100%) 10

11 Reliance on Groundwater Domestic, 43% Industry, 14% Agriculture, 43% 85% of rural population rely on GW (Reproduced with permission from Rivera et al; in press) 11

12 Evolution of groundwater use in Canada since the 1960s (Reproduced with permission from Rivera et al; in press) 12

13 Groundwater Allocation Law Derived from English common law. Groundwater and surface water treated differently due in part to the size of Canada, historical development of our levels of government, and to knowledge gaps. Allocation of water varies from province to province, ranging from riparian rights, rule of capture (eastern provinces), to firstin-time, first-in-right, prior allocation (FITFIR for western provinces, as in western US). 13

14 Groundwater Allocation Law Provincial licensing provisions extended to groundwater in Ontario only in 1961, and to prairie provinces in the 1970s. Regulators now recognize that all waters should be treated as interconnected system. Difficult due to multiple ministries and numerous laws. 14

15 Groundwater Permitting Multiple Jurisdictions Provinces have the primary role Federal government also has legislative and proprietary powers, e.g., important where aquifers cross provincial or international boundaries Local governments require a permit from the province for water takings to supply their own systems. Local land use decisions affect groundwater Evolving Aboriginal water rights will affect groundwater management 15

16 Criteria for Issuing Groundwater Permits Varies Across Canada Most striking variables : Existence of permitting system (BC still lacks general licensing requirement for groundwater). Source protection plans: no jurisdiction has fully adopted source protection plans as recommended by Justice O Connor in the Walkerton Inquiry (2002). Environmental impacts of groundwater withdrawals addressed to varying degrees : cumulative impacts and protection of the natural ecosystem during licensing decisions, conservation requirements, and instream or environmental flow protection. 16

17 Other Permitting Variables Duration of extraction permits ranges from 1 to 25 years or even in perpetuity Domestic use usually exempt but definition of domestic use varies, e.g.,: Saskatchewan allows watering 300 head of livestock Alberta exempts saline GW diversions 17

18 Quantity Exemptions for Water Licensing BC No GW permits MB Less than 25,000 liters/day AB Domestic uses- 1,250 cubic meters/year ON Less than 50,000 liters/day SK Less than 5,000 cubic meters/year QC Less than 75 cubic metres/day. NB Less than 50 cubic meters/day. NS Less than 23,000 liters/day PEI Less than 4 liters per second NL No quantitative threshold for any non-domestic use. YK, NUN, NWT Less than 100 m 3 per day generally exempt 18

19 Quantity Exemptions for Water Licensing EASTERN Region Litres per day Gallons per day CENTRAL WESTERN NL No quantitative threshold for any non-domestic use PEI < < NS NB QC < < ON < < MB SK AB BC No GW permits RURAL & Territories < <

20 Groundwater Pricing Pricing may encourage conservation, yet Canadian jurisdictions remain reluctant to charge for water use, or to charge enough to even cover the costs of infrastructure. Six of the 13 provinces and territories charge for groundwater extraction: Manitoba, Saskatchewan, Nova Scotia, Yukon, Northwest Territories, and Nunavut. Where fees are collected, prices range from $0.01 $ per million liters. 20

21 Summary and the Future Still large knowledge gaps in GW resources of the country. Concerns about the sustainability of GW supply Conflicts between users (energy, domestic, agriculture ) No single-rule-fits-all in Canada. New initiatives CCA (federal), CCME (provincial) Strong renewed interest in Canada s diverse energy resources (Oil Sands, CBM, shale gas) and interactions with GW. Recognize GW as a buried treasure in need of protection and management. Welcome opportunity to discuss shared water developments and mgtm lessons with the US. US States examples status quo and potential changes. 21

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