Pacific NorthWest LNG Project - Environment and Climate Change Canada Comments on the Draft Environmental Assessment Report and Potential Conditions

Transcription

1 Environmental Protection Operations Environmental Stewardship Branch Pacific and Yukon Burrard Street Vancouver, BC V6C 3S5 March 11, 2016 CEAR: ECPT: Ms. Lisa Walls Regional Director Canadian Environmental Assessment Office West Georgia Street Vancouver B.C. V7Y 1C6 Dear Ms. Walls: Re: Pacific NorthWest LNG Project - Environment and Climate Change Canada Comments on the Draft Environmental Assessment Report and Potential Conditions Environment and Climate Change Canada (ECCC) has reviewed the following documents provided by the Canadian Environmental Assessment Agency for the proposed Pacific NorthWest LNG Project (the Project): Draft Environmental Assessment (EA) Report; and Draft Potential Conditions. ECCC comments on both documents are founded on the departmental mandate with a focus on matters related to: migratory birds, species at risk, wetlands; air quality and greenhouse gases; disposal at sea; cumulative effects monitoring; water quality; and accidents and malfunctions. Attachment 1 consists of ECCC comments on the Draft EA Report; Attachment 2 consists of ECCC Comments on the Draft Potential Conditions. Thank you for the opportunity to comment. Yours sincerely, [ORIGINAL SIGNED BY] Stephanie Johnson Regional Director, Environmental Protection Operations Directorate Attach. (2)

2 ATTACHMENT I Environment and Climate Change Canada (ECCC) Comments on Draft Environmental Assessment (EA) Report for the Pacific NorthWest LNG Project I. Migratory Birds, Species at Risk, and Wetlands Selection of Valued Components - Table 1, EA Report pages 3-4: Vegetation: ECCC s analysis also included potential effects to wetlands located in the marine environment. Migratory birds: ECCC s analysis also included potential effects to migratory birds located in the marine environment. Terrestrial species at risk: ECCC s analysis also included potential effects listed wildlife located in the marine environment. 5.1 Biophysical Environment: EA Report page 27 (2 nd paragraph): the statement Nine terrestrial species listed under the Species at Risk Act and three terrestrial species designated by the Committee on the Status of Endangered Wildlife in Canada potentially occur in the vicinity of Lelu Island should be clarified insofar as a number of listed species have been documented on or within the vicinity of Lelu Island, including Great Blue Heron (Special Concern), Marbled Murrelet (Threatened), Western Screech Owl (Threatened), and Little Brown Bat (Endangered). EA Report page 27 (4 th paragraph): should include reference to eelgrass as important to migratory birds. 6.3 Vegetation: EA Report page 39 (1 st bullet): for clarity, the Federal Policy on Wetland Conservation (FPWC) does not define wetlands per se; rather, it makes use of the Canadian Wetland Classification System (CW66-156/1997) definition. Wetlands, EA Report page 40 (3 rd paragraph): for clarity, the no-net-loss objective of the FPWC applies to the CEA Agency in relation to the Pacific NorthWest LNG Project (the Project). 6.4 Migratory Birds (6.4.1 Proponent s Assessment of Environmental Effects) Mortality, EA Report page 45 (1 st paragraph): to clarify in relation to flaring and artificial lighting: nocturnal migrants and breeding seabirds appear to be particularly vulnerable. 2

3 6.6 Marine Fish and Fish Habitat including Species at Risk and Marine Plants: Effects to Marine Fish Habitat and Marine Plants, EA Report page 57 (3 rd paragraph) for completeness, eelgrass habitats are also important to migratory birds, including for example geese, ducks, and heron. 6.8 Terrestrial Species at Risk (6.8.1 Proponent s Assessment of Environmental Effects): EA Report page 80 (2 nd paragraph): To clarify, o It is reasonable to state that, based on acoustic monitoring, Little Brown Myotis (LBM) occurs within the Local Study Area (LSA). o Of the four species listed as Special Concern listed here, Great Blue Heron and Western Screech Owl were identified in the LSA through Project-specific wildlife studies (Appendix H: Technical Data Report - Terrestrial Wildlife and Marine Birds), whereas Ancient Murrelet and Band-Tail Pigeon were not, but have the potential to. Habitat Loss, EA Report page 82 (1 st paragraph): ECCC s understanding is that the Marbled Murrelet critical habitat (0.13 ha) has been cleared, and that this activity was unrelated to the Project. 8.4 Issues to be Addressed During the Regulatory Approval Phase: EA Report page 154 (1 st paragraph): the permitting requirements under the Species at Risk Act (SARA) should be included in the description of federal authorizations, licences, approvals, or permits Proponent s Proposed Mitigation Measures: Migratory Birds, EA Report page 192: ECCC advocates consistency with ECCC s Avoidance Guidelines for Incidental Take. ECCC does not recommend active nest surveys in the complex habitats present in the Project area. To determine whether migratory birds are nesting in an area at a particular time, the Proponent may consider using non-intrusive monitoring methods in order to prevent disturbing migratory birds while they may be nesting Federal Species at Risk in the Project Area, EA Report page 239: Additional species that should be considered for inclusion include Peregrine Falcon (Pealei subspecies) - Special Concern (SARA Schedule I) Rusty Blackbird (Euphagus carolinus) - Special Concern (SARA Schedule I) Barn Swallow (Hirundo rustica) - Threatened (SARA Schedule I) Black Swift (Cypseloides niger) - Endangered (COSEWIC) Red-necked Phalarope (Phalaropus auritus) - Special Concern (COSEWIC) Cassin s Auklet (Ptychoramphus aleuticus) - Special Concern (COSEWIC) 3

4 II. Air Quality 6.1 Air Quality: Comments Received, Government Authorities, EA Report page 32-33: The worst-case impacts to NOx emissions should be clarified as it assumes that all vessels will be Tier III compliant. ECCC understands that the 9% increase would be to overall NOx emissions from the Project, including the landside emissions. The worst-case increase in marine vessel NOx emissions could be up to 80%, depending on the number of vessels that were originally assumed to be NOx Tier III but will end up only meeting Tier II requirements Proponent s Proposed Mitigation Measures, EA Report page 191: ECCC has previously requested information on marine source VOC control, and the Proponent had responded that almost all VOCs generated during anchorage and transit will be used as boil-off gas. However, the Proponent subsequently advised that Q-Flex LNG carriers would be used, which may be diesel-powered and do not utilize boil-off gas. ECCC thus recommends the inclusion of marinesource VOC control in Table 11.5 to control emissions of methane and non-methane VOCs. III. Disposal at Sea 6.6 Marine Fish and Fish Habitat, Environment and Climate Change Canada, EA Report pages 60-61: Comments are provided in red text as revised wording; the text in red strikethrough denotes ECCC s recommendation for removing text as currently presented in the draft EA Report: With regard to the proposed dredging and disposal, Environment and Climate Change Canada raised concerns regarding the proponent s water quality and sediment dispersion modelling results because of: uncertainties regarding the final volume of sediment proposed to be disposed of compared to the volumes used for modelling; the physical and chemical characteristics of that sediment used in the modelling; the dredging technology to be used;, and the planned timing and intensity of dredging and disposal activities (e.g. a single season or extended over several years). Furthermore, the modelling was done before ocean current data from field monitoring at Brown Passage became available, data which suggested that ocean currents were stronger than initially predicted. It indicated it could not rely on the modelling to accurately predict environmental effects. Environment and Climate Change Canada advised that short- and longterm fate modelling using the final sediment volumes at the proposed disposal site, as well as additional information regarding the locations of sponge reefs relative to any sediment dispersion plumes, would be required would be required before it would issue a disposal at sea permit. Environment and Climate Change Canada commented that Brown Passage is not a designated disposal at sea sites are not designated under the Canadian Environmental Protection Act, 1999 (CEPA), rather proposed disposal at sea activities are considered on a caseby-case basis in accordance with CEPA requirements. Environment and Climate Change Canada also noted and that no appreciable disposal activities have occurred at Brown Passage since the late 1980s, providing little information from Brown Passage to support the proponent s assertion that the site is resilient. Regarding the proponent s proposed follow-up program, Environment 4

5 and Climate Change Canada questioned the accuracy and appropriateness of monitoring effects to water quality by measuring turbidity in the field and then converting to total suspended solids using a calibration curve as there is no indication of how the accuracy of the curve will be verified in the field nor any supporting literature to support this approach. As part of the permit application review process under the CEPA, the Proponent will be required to submit to Environment and Climate Change Canada detailed information on the proposed disposal at sea activities including final sediment volumes, sediment characteristics, the dredging and disposal equipment to be used, and disposal timing. Based on these details, and the collected data on ocean currents, the Proponent will be expected to update short and longterm modeling related to the predicted dispersion of sediments. A re-evaluation of how the dredging and disposal activities may overlap with sensitive areas (e.g. sponge reefs), fishing activities, and/or traditional use areas would be required accordingly. In addition, Environment and Climate Change Canada confirmed that the Proponent would be expected to detail in its permit application how EA outcomes related to disposal at sea and protection of the marine environment (e.g., fish and fish habitat) are being respected. In reviewing any Disposal at Sea permit application that is submitted by the Proponent, Environment and Climate Change Canada will seek input from other government authorities, Indigenous groups, and stakeholders. In addition, Environment and Climate Change Canada will continue to invite indigenous groups to join departmental staff conducting environmental effects monitoring related to approved disposal at sea activities and will share the results. Environment and Climate Change Canada advised that any upland disposal of dredged marine sediment, including site drainage, must be managed by the proponent so as to comply with applicable legislation. The proponent must avoid the deposit of a deleterious substance into waters frequented by fish in accordance with section 36(3) of the Fisheries Act. Environment and Climate Change Canada will work with Aboriginal groups in the review of the disposal at sea application for the Project and will continue to invite Aboriginal groups to join departmental staff conducting environmental effects monitoring related to approved disposal at sea activities at Brown Passage and will share the results. Environment and Climate Change Canada continues to contribute to the work of the Sediment Management Working Group led by the Prince Rupert Port Authority in the development of the Prince Rupert Port Authority s Dredged Sediment Management Guide Cumulative Effects Marine Fish and Fish Habitat including Species at Risk and Marine Plants, EA Report page p. 137: The following text on the Sediment Management Working Group should be deleted as ECCC comments on the subject were not made in the context of cumulative effects. ECCC engagement in the referenced Sediment Management Working Group is more appropriately noted elsewhere in the EA Report (Section 6.6): Environment and Climate Change Canada continues to contribute to the work of the Sediment Management Working Group led by the Prince Rupert Port Authority in the development of the Prince Rupert Port Authority s Dredged Sediment Management Guide. 5

6 8.3 Proposed Accommodation Measures, Impacts to the practice of marine fishing, harvesting, and hunting, EA Report page153: Comments are provided in red text as revised wording; the text in red strikethrough denotes ECCC s recommendation for removing text as currently presented in the draft EA Report: For future projects in the area, the Prince Rupert Port Authority has established a Sediment Management Working Group with Aboriginal representatives that would include exploring alternate purposes for sediment from dredging activities, identifying potential locations for disposal, and exploring alternative dredging or disposal methodologies. Environment and Climate Change Canada would will work with Aboriginal Indigenous groups as a part of the in the review of the Project s disposal at sea permit application, engage with the groups to establish monitoring objectives, and share the results of monitoring with them. Environment and Climate Change Canada would also invite IndigenousAboriginal groups to participate in any future monitoring related to the use of the disposal site at Brown Passage, and explore how to engage in broad-based initiatives to identify and assess possible disposal at sea sites in the future. IV. Cumulative Effects 7.3 Cumulative Effects: Table 11, EA Report page 131: Summary of existing and reasonably foreseeable projects identified by the Proponent: the Canpotex Potash Export Terminal should be referenced as two projects as follows: Canpotex Potash Export Terminal and Ridley Island Road, Rail, and Utility Corridor Cumulative Effects Marine Fish and Fish Habitat including Species at Risk and Marine Plants, Government Authorities, EA Report page 137: ECCC does not have comments on the following text: Environment and Climate Change Canada continues to work with Aboriginal groups and relevant government agencies on the broader Cumulative Effects Monitoring Initiative to collaboratively develop an environmental monitoring pilot proposal in the Prince Rupert area Cumulative Effects Current Use of Lands and Resources for Traditional Purposes, Agency Analysis and Conclusions, EA Report page 147 (last paragraph): Comments are provided in red text as revised wording; the text in red strikethrough denotes ECCC s recommendation for removing text as currently presented in the draft EA Report. ECCC s Cumulative Effects Monitoring initiative (CEMI) is not linked to specific management objectives and should not be referenced as a management initiative. Please remove the text in red strikethrough: 6

7 The Agency notes that a number of initiatives to manage cumulative effects are planned for the Prince Rupert area, including the Prince Rupert Port Authority s Dredged Sediment Management Guide to provide guidance for sediment disposal, the Prince Rupert Port Authority Marine Mammal Management Plan to reduce risks to marine mammal populations from port operations and Environment and Climate Change Canada s plans to develop a cumulative effects monitoring program in the Skeena area. These initiatives relate to elements of the environment that are of importance for the continued practice of traditional activities in the region, including the health of the marine environment. The Agency anticipates that Aboriginal groups, which can provide valuable information and expertise, would be involved in the development of these initiatives. 8.3 Proposed Accommodation Measures, Impacts to the practice of marine fishing, harvesting, and hunting, EA Report page153: Please remove the bullet that references ECCC s CEMI as a proposed accommodation measure, as follows (the text in red strikethrough denotes ECCC s recommendation for removing text as currently presented in the draft EA Report): The Government of Canada has committed to implement measures related to environmental issues that would contribute to reducing the potential impacts of the Project on potential or established Aboriginal rights or title related to marine fishing, harvesting and hunting, including: Environment and Climate Change Canada would continue to work with Aboriginal groups and relevant government agencies on the broader Cumulative Effects Monitoring Initiative Summary of Consultation with First Nations, Table, EA Report page 204: Within the Summary of Consultation with First Nations table, remove references to ECCC s cumulative effects work in red strikethrough below: Group Comment or Concern Summary of Proponent Response Agency Response Lax Kw alaams Metlakatla Gitxaala Kitsumkalum Gitga at Concerns regarding methodology and thresholds for determining significance of effects, including cumulative effects; unsubstantiated statements about effects and significance A requirement of both the federal and provincial EA processes is that the proponent includes a significance determination for each valued component assessed. The ultimate determination of whether the Project is likely to result in any significant adverse effects lies with the federal and provincial governments. The Agency reviewed the comments provided by Aboriginal groups about methodology and thresholds for determining significance of effects; this input informed the Agency s information requests to the proponent of May, August, and September 2014, and February and June The Agency also provided comments received from Aboriginal groups on the EIS and the EIS Addendum to the proponent for its consideration in the EA process. The Agency reviewed the EIS, additional information received from the 7

8 proponent, public, and Aboriginal groups, and the views provided by federal and provincial experts. The Agency examined the potential environmental effects on chosen valued components and identified residual adverse effects that remain after taking into account the implementation of mitigation measures. The Agency determined the significance of residual effects for each valued component, in a manner consistent with the Agency s guidance documents. For some valued components, thresholds or established guidelines were also used to determine the significance of residual effects. In most cases, the Agency accepted the proponent s criteria, thresholds, and characterization of residual effects as being adequate for the purposes of assessing environmental effects under CEAA However, in some cases the Agency conducted the assessment differently than the proponent (Marine Fish and Fish Habitat and Marine Mammals). A summary of the residual effects assessment conducted by the Agency is found in section 11.3 of the Draft EA Report. Environment and Climate Change Canada will continue to work with Aboriginal groups and provincial agencies to develop cumulative effects monitoring proposals in B.C., including in the Prince Rupert area. All Concerns about cumulative effects on Aboriginal peoples preferred location, timing, effort, success and satisfaction with respect to current Aboriginal use, due to cumulative interaction with access, quantity and quality of marine resources and the sensory environment (mainly degradation of visual quality) related to the lands, waters, and resources used for traditional purposes The Project is expected to interact with other past, present, and reasonable foreseeable projects to create cumulative effects on Aboriginal peoples preferred location, timing, effort, success and satisfaction with respect to current Aboriginal use, due to cumulative interaction with access, quantity, and sensory environment for lands, waters, and resources used for traditional purposes. The magnitude of these effects is expected to be moderate, but not significant (i.e. they are not predicted to affect the viability or sustainability of traditional use by Aboriginal people of lands and resources within the regional assessment area). Aboriginal involvement in wider government Environment and Climate Change Canada will continue to work with Aboriginal groups and relevant provincial agencies to examine the development of cumulative effects monitoring proposals in B.C., including in the Prince Rupert area. The Agency notes that the work undertaken and the outcomes of these commitments relate to elements that are of importance for the continued practice of traditional activities in the Prince Rupert area (such as the health of the marine environment). 8

9 led land and marine use planning processes will help to mitigate these effects through appropriate planning and zoning. Optimal marine construction coordination as required of proponents by Prince Rupert Port Authority will mitigate marine construction impacts on these values. Lax Kw alaams Metlakatla Concerns about the ability of Aboriginal groups to benefit economically in the future from the lands and waters affected by changes to the environment brought by the Project Given predicted cumulative effects on the lands and waters to be affected by the Project, in conjunction with the effects of other past, present and reasonably foreseeable projects or activities, future conditions for the exercise of Aboriginal-related activities and rights are expected to result in a greater degree of limitation with the Project than without the Project. Future government led regional cumulative effects assessment, optimal marine construction coordination by the Prince Rupert Port Authority and related land and water use planning processes will help to mitigate these cumulative effects with appropriate planning and zoning. Environment and Climate Change Canada will continue to work with Aboriginal groups and relevant provincial agencies to examine the development of cumulative effects monitoring proposals in B.C., including in the Prince Rupert area. The Agency notes that the work undertaken and the outcomes of these commitments relate to elements that are of importance for the continued practice of traditional activities in the Prince Rupert area (such as the health of the marine environment). 9

10 ATTACHMENT II Environment and Climate Change Canada (ECCC) Comments on Draft Potential Conditions for the Pacific NorthWest LNG Project Potential Conditions The Canadian Environmental Assessment Agency is contemplating the following potential conditions in relation to the Pacific NorthWest LNG Project (the Designated Project) for recommendation to the Minister of Environment and Climate Change for inclusion in a Decision Statement issued under the Canadian Environmental Assessment Act, If the Designated Project is ultimately allowed to proceed because the Minister of Environment and Climate Change decides that the carrying out of the Designated Project is unlikely to cause significant adverse environmental effects as defined under subsections 5(1) and 5(2), or if the Minister decides that the Designated Projects is likely to cause significant adverse environmental effects and the Governor in Council decides such effects are justifiable in the circumstances, any conditions established by the Minister would become legally binding. 1. Definitions 1.1. Aboriginal groups means Lax Kw alaams Band, Metlakatla First Nation, Gitxaala Nation, Kitsumkalum First Nation, Kitselas First Nation, and Gitga at First Nation Agency means the Canadian Environmental Assessment Agency Airdraft means the distance from the surface of the water to the highest point on a vessel Baseline means the environmental conditions prior to initiating construction of the Designated Project Construction means the phase of the Designated Project during when site preparation, building or installation of any components of the Designated Project are undertaken by the Proponent Culturally modified tree means a tree that has been altered by Aboriginal peoples as part of their traditional use of the forest Days means calendar days Decommissioning means the phase of the Designated Project where the Proponent has permanently ceased commercial production and has commenced removal from service of any components of the Designated Project, and continues until the site is restored Designated Project means the Pacific NorthWest LNG Project as described in section 2 of the environmental assessment report prepared by the Canadian Environmental Assessment Agency (Canadian Environmental Assessment Registry Reference Number 80032). 10

11 1.10. Environment and Climate Change Canada means the Department of the Environment as established under subsection 2(1) of the Department of the Environment Act Environmental effects means environmental effects as described in section 5 of the Canadian Environmental Assessment Act, Fish means fish as defined in subsection 2(1) of the Fisheries Act Fish habitat means fish habitat as defined in subsection 2(1) of the Fisheries Act Fisheries and Oceans Canada means the Department of Fisheries and Oceans as established under subsection 2(1) of the Department of Fisheries and Oceans Act Follow-up program means follow-up program as defined in subsection 2(1) of the Canadian Environmental Assessment Act, Heritage value means the aesthetic, historic, scientific, cultural, social or spiritual importance or significance for past, present or future generations High water means the highest level reached at a place by the water surface in one tide oscillation Highest high water means the average of the highest high waters, one from each of 19 years of predictions. Comment [JYR1]: Recommend use of mean high water mark instead of high water. Comment [JYR2]: Highest high water is not clearly defined Kaien landscape unit means the Kaien landscape unit as shown on Schedule 1 of the Central and North Coast Ministerial Order established under British Columbia s Land Act Liquefied Natural Gas or LNG means a fluid in a liquid state that is composed predominately of methane and that may contain minor quantities of ethane, propane, nitrogen, or other components found in natural gas Listed species at risk means a species that is listed on the List of Wildlife Species at Risk set out in Schedule 1 of the Species at Risk Act Marine mammals means all cetacean, pinniped and marine fissiped species Migratory bird means migratory bird as defined in subsection 2(1) of the Migratory Birds Convention Act, Mitigation measures means mitigation measures as defined in subsection 2(1) of the Canadian Environmental Assessment Act, Natural Resources Canada means the Department of Natural Resources as established under subsection 3(1) of the Department of Natural Resources Act Offsetting plan means offsetting plan as defined in section 1 of the Applications for Authorization under Paragraph 35(2)(b) of the Fisheries Act Regulations. 11

12 1.27. Operation means the phase of the Designated Project during which the commercial production takes place Progressive reclamation means a planned approach to reclamation which is carried out concurrently with all phases of the Designated Project to progressively return any physically disturbed areas to a state as close to the baseline as possible, as soon after the disturbance as practical Project area means the geographic area occupied by the Designated Project Proponent means Pacific NorthWest LNG Limited Partnership and its successors or assigns Qualified individual means someone who, through education, experience and knowledge relevant to a particular matter, may be relied on by the Proponent to provide advice within his or her area of expertise Reporting year means from April 1 through March 31 of the subsequent calendar year Structure, site or thing of historical, archeological, paleontological or architectural significance means a structure, site or thing that is determined, on the basis of heritage value, to be directly associated with an important aspect or aspects of human history or culture Train means a liquefaction unit where treated natural gas is cooled by refrigeration cycles until it changes from a gas to a liquid state Wetland means land saturated with water long enough to promote formation of water altered soils, growth of water-tolerant vegetation and various kinds of biological activity that is adapted to the wet environment and separated into five classes: fen, bog, marsh, swamp, and shallow open water wetlands (includes open water areas less than two metres deep with wetland characteristics) Wetland functions means the natural processes and derivation of benefits and values associated with wetland ecosystems, including economic production, fish and wildlife habitat, organic carbon storage, water supply and purification (e.g. groundwater recharge, flood control, maintenance of flow regimes, shoreline erosion buffering), and soil and water conservation, as well as tourism, heritage, recreational, educational, scientific, and aesthetic opportunities. Potential conditions These conditions may be established for the sole purpose of the Decision Statement issued under the Canadian Environmental Assessment Act, They do not relieve the Proponent from any obligation to comply with other legislative or other legal requirements of the federal, provincial, or local governments. Nothing in this document shall be construed as reducing, increasing, or otherwise affecting what may be required to comply with all applicable legislative or legal requirements. 12

13 2. General conditions 2.1. The Proponent shall, throughout all phases of the Designated Project, ensure that its actions in meeting the conditions set out in this document are informed by the best available information and knowledge, including community and Aboriginal traditional knowledge, are based on validated methods and models, are undertaken by qualified individuals, and have applied the best available economically and technologically feasible mitigation measures The Proponent shall, where consultation is a requirement of a condition set out in this document: provide a written notice of the opportunity for the party or parties being consulted to present their views on the subject of the consultation; provide sufficient information and a reasonable period of time to permit the party or parties being consulted to prepare their views; provide a full and impartial consideration of any views presented by the party or parties being consulted; and advise the party or parties that have provided comments on how the views and information received have been considered by the Proponent The Proponent shall, where consultation with Aboriginal groups is a requirement of a condition set out in this document, and prior to initiating that consultation, communicate with each Aboriginal group to determine the manner by which to satisfy the consultation requirements referred to in condition 2.2, including the methods of notification, the type of information and the period of time to be provided when seeking views, the process for full and impartial consideration of any views presented and the means by which each Aboriginal group will be informed of how the views and information received have been considered by the Proponent The Proponent shall, where a follow-up program is a requirement of a condition set out in this document: undertake monitoring and analysis to verify the accuracy of the environmental assessment as it pertains to the particular condition and/or to determine the effectiveness of any mitigation measures; determine whether additional mitigation measures are required based on the monitoring and analysis undertaken pursuant to condition 2.4.1; and if additional mitigation measures are required pursuant to condition 2.4.2, implement the additional mitigation measures and monitor them pursuant to condition Where consultation with Aboriginal groups is a requirement of a follow-up program, the Proponent shall discuss with each Aboriginal group opportunities for the participation of that Aboriginal group in the implementation of the follow-up program as set out in condition

14 2.6. The Proponent shall, commencing in the reporting year that site preparation and construction begins, submit to the Agency an annual report, including an executive summary of the annual report in both official languages. The annual report shall be submitted by the Proponent no later than June 30 following the reporting year to which the annual report applies. In the annual report, the Proponent shall set out: the activities implemented in the reporting year to comply with each of the conditions set out in this document; how the Proponent complied with condition 2.1; for conditions set out in this document for which consultation is a requirement, how the Proponent considered any views and information that the Proponent received during or as a result of the consultation; the results of the follow-up program requirements identified in conditions 4.1, 5.5, 6.12, 7.5, 8.3, 9.4 and 10.3; and any additional mitigation measures implemented or proposed to be implemented by the Proponent, as determined under condition The Proponent shall publish on the Internet, or any medium which is widely publicly available, the annual report and the executive summaries referred to in condition 2.6, the wetland function compensation plan referred to in condition 5.3, the plan to offset the loss of fish and fish habitat referred to in condition 6.6, the weekly reports referred to in condition 6.18, the archaeological and heritage resources management plan referred to in condition 11.1, the decommissioning plan referred to in condition 12.1, the annual report referred to in condition 12.3, the reports referred to in conditions and , the communication plan referred to in condition 13.5, the implementation schedule referred to in condition 14.1 and any update(s) or revision(s) to the above documents, upon submission of these documents to the parties referenced in the respective conditions. The Proponent shall keep these documents publicly available for 25 years following the end of operation or until the end of decommissioning of the Designated Project, whichever comes first. The Proponent shall notify the Agency, Aboriginal groups and the Prince Rupert Port Authority of the availability of these documents once they are published The Proponent shall notify the Agency in writing no later than 60 days after the day on which there is a transfer of ownership, care, control or management of the Designated Project in whole or in part The Proponent shall consult with Aboriginal groups prior to initiating any change(s) to the Designated Project that may result in adverse environmental effects, and shall notify the Agency in writing no later than 60 days prior to initiating the change(s) In notifying the Agency pursuant to condition 2.9, the Proponent shall provide the Agency with an analysis of the adverse environmental effects of the change(s) to the Designated Project, as well as the results of the consultation with Aboriginal groups. 14

15 3. Air quality and Greenhouse Gas Emissions 3.1. The Proponent shall implement best available technology and best management practices to reduce and control air emissions during all phases of the Designated Project to mitigate adverse environmental effects on freshwater fish and fish habitat and human health. 3.1 The proponent shall implement a greenhouse gas and air pollutant emission management plan in the design of the Designated Project. This should include, but not be limited to the use of technologies with efficiencies that are equivalent to or better than those proposed in the Environmental Impact Statement (e.g. high efficiency aero-derivative gas turbines to drive refrigerant compressors, waste heat recovery systems, and capture and use or recycling of boil off gas from LNG storage tanks and the carrier loading system, fugitive emissions management systems). 3.2 The Proponent shall implement a facility specific fugitive emission management program including leak detection and repair in the operation phase of the Designated Project. 4. Freshwater fish and fish habitat 4.1. The Proponent shall develop, prior to operation, and implement a follow-up program to verify the accuracy of the environmental assessment in relation to the adverse environmental effects of acidification and eutrophication on freshwater fish and fish habitat and to determine the effectiveness of the mitigation measures. The follow-up program shall include: establishing baseline water quality (including seasonal assessment of acid neutralizing capacity and critical loads of acidity), fish habitat quality, fish presence, and habitat use of the Wolf Creek system, the Hayes Creek system, Alwyn Lake and two headwater lakes on Kaien Island. The data to establish those baselines should be collected over based on a minimum of one year and include data from (four each season s) of data collection prior to the start of operation of Train 1. If the follow-up program determines that the predictions in the Environmental Assessment are not accurate and/or the proposed mitigation measures are not effective, the Proponent shall implement additional mitigation measures to maintain acid deposition below such levels which are likely to result in acidification and/or eutrophication of fresh waters. and monitoring changes to the baseline conditions established in 4.1.1, beginning from the start of operation of Train 1, and ending one year following the start of operation of Train Wetlands 5.1. The Proponent shall mitigate the adverse environmental effects of the Designated Project on wetland functions with a preference for avoiding the loss of wetlands over minimizing the adverse 15

16 effects on wetlands and for minimizing the adverse effects on wetlands over compensating for lost or adversely affected wetlands The Proponent shall manage surface water and avoid erosion and sedimentation within the Project area to maintain hydrology of wetlands adjacent to the Project area and to protect water quality during all phases of the Designated Project The Proponent shall, for adverse effects from the Designated Project on wetlands that cannot be avoided or minimized, set out mitigation measures in a wetland function compensation plan which shall be developed prior to construction in consultation with Aboriginal groups and submitted to the Prince Rupert Port Authority for approval. The wetland function compensation plan shall take into account Canada s Federal Policy on Wetland Conservation and Environment and Climate Change Canada s Operational Framework for Use of Conservation Allowances. The mitigation measures to be set out in the wetland function compensation plan shall include: implementing a 2:1 ratio of wetland area to compensate for the loss of wetland functions; identifying sites to compensate for the loss of wetland functions referred to in condition that are within the Kaien landscape unit, or in immediately adjacent regions, and that reflect similar wetland types and functions to those lost; selecting wetland restoration over enhancement, and wetland enhancement over creation; whenever possible, incorporating traditional use plants in the restoration, enhancement or creation of the compensatory wetland sites and providing access to those sites to Aboriginal groups for the purposes of gathering traditional use plants; and identifying sites to compensate for the loss of wetland functions related to habitat for listed species at risk, including little brown myotis (Myotis lucifugus) The Proponent shall implement the wetland function compensation plan referred to in condition 5.3 within five years of the date of the start of construction The Proponent shall develop, prior to construction, and implement a follow-up program to verify that the compensatory wetland sites referred to in condition 5.3 are fulfilling the wetland functions they are replacing. Monitoring of the compensatory wetland sites shall start with their implementation and continue in years one, three, five, ten and twenty, or until wetland functions are attained, whichever comes first. 6. Marine fish (including marine mammals) and fish habitat 6.1. The Proponent shall identify, prior to the start of in-water construction activities, to the satisfaction of Fisheries and Oceans Canada and following consultation with Aboriginal groups and other relevant federal authorities, timing windows of least risk for in-water construction activities to protect marine fish, including marine mammals, during sensitive life stages, and notify the Agency and Aboriginal 16

17 groups of the timing windows of least risk identified and the results of the pre-construction surveys supporting the identification of these timing windows once Fisheries and Ocean Canada has indicated it is satisfied and before in-water construction activities start. In doing so, the Proponent shall: identify timing windows of least risk for each of the Materials Offloading Facility, trestle and suspension bridge, and disposal at sea areas and for each of the following in-water construction activities, as applicable: dredging, vibratory pile driving, impact pile driving, sub-tidal blasting, and sediment disposal at sea; conduct dredging, vibratory pile driving, impact pile driving, and sediment disposal at sea during timing windows of least risk to the extent possible; conduct sub-tidal blasting only during timing windows of least risk; and identify and implement additional mitigation measures, following consultation with Fisheries and Oceans Canada, to avoid causing harm to marine fish, including marine mammals, and fish habitat if conducting dredging, vibratory pile driving, impact pile driving, or sediment disposal at sea outside of timing windows of least risk. When dredging or disposing of sediments at sea outside of timing windows of least risk, the Proponent shall take into account the Canadian Council of Ministers of the Environment s Water Quality Guidelines for the Protection of Aquatic Life for long-term exposure Prior to the start of in-water construction activities, the Proponent shall conduct high resolution modelling of the south-west tower and anchor block of the suspension bridge and regional threedimensional modelling of the area likely to be affected by the Designated Project to confirm that erosion and deposition are at least the same or less than the levels predicted in the environmental assessment. The modelling shall incorporate proposed construction-ready designs for the south-west tower and anchor block of the suspension bridge and shall include two berthed LNG vessels. The Proponent shall calibrate the model using measured field data of waves, currents, and total suspended sediment concentrations over Flora Bank. The Proponent shall provide the results of the modelling, including detailed inputs, methodologies and outputs, to the Agency, Fisheries and Oceans Canada, Natural Resources Canada and Aboriginal groups The Proponent shall build the south-west tower and anchor block of the suspension bridge based on the construction-ready designs incorporated in the additional high resolution modelling referred to in condition 6.2. The south-west tower and anchor block of the suspension bridge shall incorporate scour protection that shall result in levels of erosion and deposition at least the same or less than the levels predicted in the environmental assessment The Proponent shall use silt curtains around in-water construction activities in areas of low to moderate currents ( 1 knot) The Proponent shall take measures to exclude fish or reduce the presence of fish from the Materials Offloading Facility work area during dredging, blasting, and pile installation. 17

18 6.6. The Proponent shall use coffer dams to isolate the south-west tower block and anchor block work areas during in-water construction activities and shall place scour protection around the coffer dams. The coffer dams shall be shaped in a manner that minimizes scour and turbulence around the southwest tower block and anchor block of the suspension bridge The Proponent shall use vibratory hammers for all pile installation to the extent feasible The Proponent shall use impact installation methods only when seating piles into bedrock and impact hammers shall be constructed of sound absorbent material The Proponent shall use bubble curtains and isolation casings when conducting impact pile driving activities and blasting The Proponent shall implement all reasonable measures to minimize the destruction of fish, or any the harmful alteration, disruption or destruction of fish habitat, during all phases of the Designated Project when using explosives in or around water frequented by fish The Proponent shall reduce the number of detonation occurring underwater and shall implement additional mitigation measures if underwater pressure pulse levels exceed 100 kilopascal during blasting or 30 kilopascal during impact pile driving The Proponent shall develop, in consultation with Fisheries and Oceans Canada, and implement a marine mammal observation program for all in-water construction activities where underwater noise levels are anticipated to exceed 160 decibels at a reference pressure of one micropascal to avoid adverse behavioural change in or injury to marine mammals. The marine mammal observation program shall include: conducting predictive acoustic modelling, prior to the start of in-water construction activities, to identify to what extent in-water construction activities would generate underwater noise levels greater than 160 decibels, including activities occurring simultaneously, and the period(s) of time when these activities will occur; establishing and maintaining through acoustic monitoring a safety radius for each in-water construction activity identified in condition at the distance from the in-water construction activity at which the underwater noise level is predicted to reach 160 decibels; employing marine mammal observers, who are qualified individuals, and requiring that they observe from locations in and along the perimeter of the safety radius and report the presence of marine mammals within the safety radius during in-water construction activities identified in condition ; conducting in-water construction activities identified in only during daylight hours so marine mammal observers are able to conduct the observations referred to in ; 18

19 stopping or not starting the in-water construction activities identified in condition if a marine mammal is sighted in the safety radius by the marine mammal observers referred to in condition and not re-starting the in-water construction activities identified in condition until the marine mammal has moved out of the safety radius and no marine mammals have been sighted in the safety radius for a period of at least 30 minutes; and implementing mitigation measures, including sound dampening technology and soft-start procedures, to reduce underwater noise levels in the safety radius referred to in condition The Proponent shall retain, prior to the start of in-water construction activities, the service of independent environmental monitors, who are qualified individuals, to observe, record and report on the implementation of the mitigation measures related to marine fish, including marine mammals, and fish habitat for in-water construction activities set out in this document. The Proponent shall give environmental monitors the authority to stop in-water construction activities if environmental monitors determine that adverse environmental effects to marine fish, including marine mammals, and fish habitat may occur if in-water construction activities do not stop The Proponent shall retain, prior to the start of in-water construction activities, the service of a registered professional biologist with accreditation with the British Columbia College of Applied Biology to oversee the work of the independent environmental monitors referred to in condition The Proponent shall require the registered professional biologist to prepare weekly reports during the inwater construction phase. The weekly reports shall include: a description of the in-water construction activities that occurred and the mitigation measures that were applied during the reporting week, including through photo evidence; if any, a description of non-compliance issue(s) related to the mitigation measures for marine fish, including marine mammals, and fish habitat set out in this document observed during the reporting week and how non-compliance issue(s) were corrected; and if any, a description of accident(s) and/or malfunction (s) which may have resulted in adverse environmental effects to marine fish, including marine mammals, and fish habitat during the reporting week and of how these adverse environmental effects were mitigated The Proponent shall conduct, prior to the start of in-water construction activities, a survey of Northern Abalone (Haliotis kamtschatkana) in areas of potential Northern Abalone habitat in accordance with Fisheries and Oceans Canada s Impact Assessment Protocol for Works and Developments Potentially Affecting Abalone and their Habitat (found in Appendix 2 of the Recovery Potential Assessment for the northern abalone (Haliotis kamtschatkana) in Canada and in Appendix 4 of the Action Plan for the Northern Abalone (Haliotis kamtschatkana) in Canada) and shall adhere to the procedure outlined in the most recent Impact Assessment Protocol for relocating Northern Abalone if the species is found during the survey The Proponent shall use tugs that produce the least possible scour volumes from propeller action. 19