Archived: Departmental Performance Report 2014–15, Environment Canada, chapter 2

Section I: Organizational Expenditure Overview

• Organizational Profile
• Organizational Context
• Actual Expenditures
• Alignment of Spending with the Whole-of-Government Framework
• Departmental Spending Trend
• Estimates by Vote.

Organizational Profile

Appropriate Minister: The Honourable Catherine McKenna, P.C., M.P.

Institutional Head: Michael Martin

Ministerial Portfolio: Environment Canada^Footnote 1

Enabling Instruments:

• Department of the Environment Act
• Canadian Environmental Protection Act, 1999
• Species at Risk Act
• International River Improvements Act
• Canada Water Act
• The Lake of the Woods Control Board Act, 1921
• Lac Seul Conservation Act
• Fisheries Act (administration and enforcement of the Pollution Prevention Provisions)
• Antarctic Environmental Protection Act
• Migratory Birds Convention Act, 1994
• Wild Animal and Plant Protection and Regulation of International and Interprovincial Trade Act
• Canada Wildlife Act
• Federal Sustainable Development Act
• Canadian Environmental Assessment Act, 2012
• Environmental Violations Administrative Monetary Penalties Act
• National Wildlife Week Act
• Canadian Environmental Week Act

Year of Incorporation/Commencement: 1971

Other

Environment Canada has a long history. The Department was created in 1971, but some of its component organizations are much older. The Canadian Wildlife Service was founded in 1947, the Water Survey of Canada in 1908, and the Meteorological Service of Canada in 1871.

Environment Canada has a national workforce. About 60% of the Department’s workforce is located outside the National Capital Region. Department employees are located across Canada, from Iqaluit to Burlington and Vancouver to St. John’s, and they work in field offices, laboratories, National Wildlife Areas and storm prediction centres.

Environment Canada is a science-based department. Science is central to Environment Canada’s capacity to achieve its mandate and meet its legislative obligations. The Department conducts a wide range of environmental monitoring, research and other scientific activities in fields such as atmospheric sciences, meteorology, physics, biology, chemistry, toxicology, hydrology, ecology, engineering and informatics. The scientific information and knowledge produced is used to inform departmental programs, policies and services, and includes the collection and dissemination of knowledge to support sound environmental decision-making. In 2014-15, Environment Canada launched the Environment Canada Science Strategy 2014-2019, which tells the Department’s science story and provides the direction and guidance needed to help ensure its science continues to be directed toward federal environmental priorities.

Environment Canada works collaboratively with many partners.Environmental issues have wide-ranging implications for social and economic decisions. Environment Canada works in collaboration with many partners, including other federal government departments, provincial and territorial governments, Aboriginal governments and organizations, the governments of other nations, academic institutions, environmental non-governmental organizations, the private sector and international organizations. This collaboration enhances the efforts of all partners in working for a clean, safe and sustainable environment and to achieve planned environmental results.

Environment Canada is committed to operating as a world-class regulator. As an important federal regulator, Environment Canada works within the broader federal performance-based regulatory system by developing, promoting compliance with, and enforcing a wide array of regulations to protect Canadians and their environment. The Department is committed to maintaining a regulatory system that is evidence-based, effective, efficient, transparent and adaptable.

Environment Canada supports sustainable development. The concept of sustainable development rests at the core of the Department’s mandate and is an intrinsic part of the planning, decision making, and execution of departmental programming and initiatives. Not only is Environment Canada the lead for the Government’s Federal Sustainable Development Strategy (FSDS), along with other federal government departments and agencies, the Department continues to incorporate environmentally sustainable best practices within its internal policies and operations. Environment Canada is the largest contributor to themes and targets under the FSDS, and its contribution to the federal strategy for 2014-15 can be found in its Departmetnal Sustainable Development Strategy.

Organizational Context

Raison d’être

Environment Canada is the lead federal department for a wide range of environmental issues affecting Canadians. The Department also plays a stewardship role in achieving and maintaining a clean, safe and sustainable environment. Environment Canada addresses issues through monitoring, research, policy development, service delivery to Canadians, regulations, enforcement of environmental laws, advancement of clean technologies and strategic partnerships. The Department’s programs focus on a clean environment by minimizing threats to Canadians and their environment from pollution; a safe environment by equipping Canadians to make informed decisions on weather, water and climate conditions; and a sustainable environment by conserving and restoring Canada’s natural environment.

The Department’s program focus reflects the increasingly evident interdependence between environmental sustainability and economic well-being.

Responsibilities

A number of acts and regulations provide the Department with its mandate and allow it to carry out its programs. Under the Department of the Environment Act, the powers, duties and functions of the Minister of the Environment extend to matters such as:

• the preservation and enhancement of the quality of the natural environment, including water, air and soil quality, and the coordination of the relevant policies and programs of the Government of Canada;
• renewable resources, including migratory birds and other non-domestic flora and fauna;
• meteorology; and
• the enforcement of rules and regulations.

The Minister of the Environment has primary responsibility for and carries out the departmental mandate through a number of other acts and regulations, such as the Canadian Environmental Protection Act, 1999 (CEPA 1999), the pollution prevention provisions of the Fisheries Act, the Federal Sustainable Development Act, the Species at Risk Act, the Migratory Birds Convention Act, 1994, the Canadian Wildlife Act, and the Wild Animal and Plant Protection and Regulation of International and Interprovincial Trade Act.

The Department is a key partner to the Canadian Environmental Assessment Agency and Parks Canada, which are its ministerial portfolio partners. 

In addition, the Minister of the Environment has secondary or shared responsibility for the successful execution of other federal departments’ mandates including the Arctic Waters Pollution Prevention Act (Transport Canada, Aboriginal Affairs and Northern Development Canada, and Natural Resources Canada); the Canada Oil and Gas Operations Act (Natural Resources Canada), and the Emergency Management Act (Public Safety Canada).

Strategic Outcomes and Program Alignment Architecture

Environment Canada fulfills its mandate by promoting three Strategic Outcomes, each contributing to the Government of Canada Outcome of a clean and healthy environment. There are 9 Programs, 26 Sub-Programs, and 18 Sub-Sub-Programs that are aligned to support the achievement of the Department’s three Strategic Outcomes. Together, the Strategic Outcomes, Programs, Sub-Programs, and Sub-Sub-Programs support progress against the Department’s stewardship mandate of providing a clean, safe and sustainable environment. The Department’s Strategic Outcomes, Programs and Sub-Programs as well as its Internal Services for 2014-15 are shown below.

1. Strategic Outcome: Canada’s natural environment is conserved and restored for present and future generations.

• 1.1 Program: Biodiversity - Wildlife and Habitat
  • 1.1.1 Sub-Program: Biodiversity Policy and Priorities
  • 1.1.2 Sub-Program: Species at Risk
    • 1.1.2.1 Sub-Sub-Program: Species at Risk Operations
    • 1.1.2.2 Sub-Sub-Program: Aboriginal Fund for Species at Risk
    • 1.1.2.3 Sub-Sub-Program: Habitat Stewardship Program
  • 1.1.3 Sub-Program: Migratory Birds
  • 1.1.4 Sub-Program: Wildlife Habitat Conservation
    • 1.1.4.1 Sub-Sub-Program: Habitat Conservation Partnerships
    • 1.1.4.2 Sub-Sub-Program: Protected Areas
• 1.2 Program: Water Resources
  • 1.2.1 Sub-Program: Water Quality and Aquatic Ecosystems Health
  • 1.2.2 Sub-Program: Water Resource Management and Use
  • 1.2.3 Sub-Program: Hydrological Service and Water Survey
• 1.3 Program: Sustainable Ecosystems
  • 1.3.1 Sub-Program: Sustainability Reporting and Indicators
  • 1.3.2 Sub-Program: Ecosystem Assessment and Approaches
  • 1.3.3 Sub-Program: Community Engagement
    • 1.3.3.1 Sub-Sub-Program: EcoAction Community Funding
    • 1.3.3.2 Sub-Sub-Program: Environmental Damages Fund
    • 1.3.3.3 Sub-Sub-Program: Environmental Youth Employment
  • 1.3.4 Sub-Program: Ecosystems Initiatives
    • 1.3.4.1 Sub-Sub-Program: Great Lakes
    • 1.3.4.2 Sub-Sub-Program: St. Lawrence
    • 1.3.4.3 Sub-Sub-Program: Lake Simcoe/South-eastern Georgian Bay
    • 1.3.4.4 Sub-Sub-Program: Lake Winnipeg
    • 1.3.4.5 Sub-Sub-Program: Community Ecosystem Partnerships
• 1.4 Program: Compliance Promotion and Enforcement - Wildlife

2. Strategic Outcome: Canadians are equipped to make informed decisions on changing weather, water and climate conditions.

• 2.1 Program: Weather and Environmental Services for Canadians
  • 2.1.1 Sub-Program: Weather Observations, Forecasts and Warnings
  • 2.1.2 Sub-Program: Health-related Meteorological Information
  • 2.1.3 Sub-Program: Climate Information, Predictions and Tools
• 2.2 Program: Weather and Environmental Services for Targeted Users
  • 2.2.1 Sub-Program: Meteorological Services in Support of Air Navigation
  • 2.2.2 Sub-Program: Meteorological and Ice Services in Support of Marine Navigation
  • 2.2.3 Sub-Program: Meteorological Services in Support of Military Operations
  • 2.2.4 Sub-Program: Meteorological Services for Economic and Commercial Sectors

3. Strategic Outcome: Threats to Canadians and their environment from pollution are minimized.

• 3.1 Program: Substances and Waste Management
  • 3.1.1 Sub-Program: Substances Management
  • 3.1.2 Sub-Program: Effluent Management
  • 3.1.3 Sub-Program: Marine Pollution
  • 3.1.4 Sub-Program: Environmental Emergencies
  • 3.1.5 Sub-Program: Contaminated Sites
• 3.2 Program: Climate Change and Clean Air
  • 3.2.1 Sub-Program: Climate Change and Clean Air Regulatory Program
    • 3.2.1.1 Sub-Sub-Program: Industrial Sector Emissions
    • 3.2.1.2 Sub-Sub-Program: Transportation Sector Emissions
    • 3.2.1.3 Sub-Sub-Program: Consumer and Commercial Products Sector
  • 3.2.2 Sub-Program: International Climate Change and Clean Air Partnerships
  • 3.2.3 Sub-Program: Environmental Technology
    • 3.2.3.1 Sub-Sub-Program: Sustainable Development Technologies
    • 3.2.3.2 Sub-Sub-Program: Environmental Technology Innovation
• 3.3 Program: Compliance Promotion and Enforcement - Pollution

Internal Services

Organizational Priorities

Environment Canada maintained four priorities for 2014-15. These priorities reflect the Department’s stewardship mandate that, in turn, directly supports the Government of Canada’s outcome of a clean and healthy environment. TheDepartment has achieved progress in delivering these priorities, as set out in the following tables.

Priority 1: A Clean Environment

Manage substances and waste, and reduce pollution that directly or indirectly harms human health or the environment.

Type

Ongoing^Footnote 2

Strategic Outcome and Programs

Links to:

Strategic Outcome 3: Threats to Canadians and their environment from pollution are minimized.

Programs: 3.1, 3.2, 3.3

Summary of Progress

Progress Achieved:

Managing substances and waste

• Continued to collaborate with Health Canada Under the second phase of the Chemicals Management Plan (CMP), to work closely with health and environmental groups, consumer groups, academics, Aboriginal groups, industry and international partners. Approximately 1,670 substances have been assessed since 2011 and the government is on track to complete the objectives identified in the second phase of the program by 2016 (see programs 3.1 and 3.1.1).
• Published the third issue of the Chemicals Management Plan Progress Report (December 2014) which highlights advances and activities in major initiatives under the CMP, including updating the Domestic Substances List; this provided a sound basis for setting priorities for the next (third) phase of the CMP (see programs 3.1 and  3.1.1).
• Maintained the National Pollutant Release Inventory (NPRI) as the centre of the federal government’s efforts to track releases, disposals and recycling of over 300 substances of concern and make this information available to Canadians. The most recent NPRI report (December 2014) included data from over 7,500 facilities in Canada (see program 3.1.1).
• Published (November 2014) the Products Containing Mercury Regulations, the first of their kind in Canada to prohibit the manufacture and import of most mercury-containing products. The regulations build on Canada’s record on reducing its mercury emissions by over 90% since the 1970s, as well as its 2013 work under the Minamata Convention to reduce global mercury emissions (see programs 3.1.1 and 3.2.1).
• Continued to respond to environmental emergencies, with a focus on providing the scientific advice and expertise-such as response measures and clean-up techniques-to reduce the consequences of these incidents through a World Class preparedness and response system across sectors (see program 3.1.4).
• Continued to administer regulations that address important sources of pollution to Canadian waters, including from metal mining activity (Metal Mining Effluent Regulations), pulp and paper manufacturing (Pulp and Paper Effluent Regulations) and wastewater effluent (the Wastewater Systems Effluent Regulations that phase out the discharge of untreated/undertreated wastewater across Canada). Over 75% of relevant municipalities and communities in Canada now meet baseline requirements for secondary treatment of wastewater (see program 3.1.2).
• Completed a successful proposal for renewal of the Federal Contaminated Sites Action Plan (FCSAP), which will see a four-year investment beginning in 2016-17 to assess and remediate the highest priority federal contaminated sites to reduce risk to human health and the environment from these sites (see program 3.1.5).

Action on air quality and climate change

• Pursued the 2020 targets for the reduction of greenhouse gas emissions (GHGs) through a sector-by-sector approach, building on work that put regulations in place for two of the largest sources of emissions in Canada: the transportation and coal-fired electrical generation sectors. The Department continued development of regulations for other major industrial sectors (including oil and gas, natural gas-fired electricity generation and nine emissions-intensive and trade-exposed sectors) (see programs 3.2.1, 3.2.1.1 and 3.2.1.2).
• Made important progress on the development of regulatory and non-regulatory (such as codes of practice) approaches to reduce air pollution from the major industrial sectors, including proposed Multi-sector Air Pollutants Regulations (see program 3.2.1.1).
• Took action on short-lived climate pollutants (SLCPs), including black carbon and methane. As chair of the Arctic Council, the Department advanced the development of a framework for action to address these substances in the Arctic. As lead partner in the Climate Change and Clean Air Coalition, the Department led initiatives to reduce emissions from the municipal solid waste, oil and gas, and agriculture sectors (see programs 2.1.3, 3.2 and 3.2.2).
• Participated in key international initiatives, including leading delegations to the United Nations Framework Convention on Climate Change, and met Canada’s international reporting commitments, including the submission of Canada’s National Greenhouse Gas Inventory Report, its Air Pollutant Emission Inventory and its first Black Carbon Emission Inventory. These inventories also support the Department’s commitment to report to Canadians (see program 3.2.2).
• In November 2014, (Canada) pledged $300 million to the Green Climate Fund, which supports developing countries in reducing their GHG emissions and adapting to the impacts of climate change, taking into account the needs of those developing countries particularly vulnerable to the adverse effects of climate change (see program 3.2.2).

Enforcing pollution regulations

• Enforced pollution regulations, with 40 successful prosecutions and over $9.4 million in penalties, including the largest penalty every imposed for environmental infractions in Canada ($7.5 million in fines to a Québec company for 45 charges under the Fisheries Act) (see program 3.3).

Priority 2: A Safe Environment

Provide Canadians with high-quality information on immediate and long-term environmental conditions.

Type

Ongoing

Strategic Outcome and Programs

Links to:

Strategic Outcome 2: Canadians are equipped to make informed decisions on changing weather, water and climate conditions.

Programs: 2.1, 2.2

Summary of Progress

Progress Achieved:

• Continued to deliver critical weather and environmental services to equip Canadians and targeted users in making informed decisions on their safety (i.e. issued approximately 1.5 million public forecasts, 15,000 severe weather warnings, 500,000 aviation forecasts and 200,000 marine, ice and sea state forecasts). Environment Canada (EC) provided early notifications, specialized weather forecasts, and worked closely with communities and emergency preparedness organizations during severe weather events, such as during the powerful December pre-winter storms which brought strong winds, drenching rains and heavy snowfall on the West and East coasts. (see programs 2.1, 2.1.1, 2.1.2, 2.1.3, 2.2, 2.2.1, 2.2.2, 2.2.3, and 2.2.4).
• Made significant upgrades to the monitoring network and to the warning and forecast system as part of a major ($134 million) initiative for the renewal of its weather and environmental services to ensure their long-term sustainability. The investments improved the reliability of the monitoring network and the Department’s ability to forecast major weather systems. Science is a critical component of these improvements (see programs 2.1, 2.1.1, and 2.2).
• As part of the preparations for the Pan American and Para Pam American Games, the Department installed a dozen new weather stations in the Greater Toronto Area, deployed devices that monitor air quality, heat stress loads and predicts lighting and severe weather events. The new technology used for the Games will inform future weather products and our capacity to better respond to future high impact weather events (see programs 2.1.1).
• Through the Meteorological Areas (METAREAs) initiative the Department expanded its existing land and ocean/ice-based observational platforms in the Arctic, in order to provide increased meteorological information to the forecasting process and to mariners and Northern Canadians.  This initiative allowed the domestic marine and ice forecasting programs to expand into areas previously unserved by EC, including international waters of the Arctic Ocean. These warning and information services contribute to the efficiency and safety of marine navigation in the North. In addition, the new observational sources enhanced the quality of computer prediction systems operated by EC and by global partners. Collectively, the advancements stemming from this initiative not only improved the marine and ice forecasting, but also the public weather information for northern coastal communities (see program 2.2.2).
• Implemented, in collaboration with eight Arctic Council Members, a new global initiative called Arctic HYCOS, a project designed to collect, manage and share high quality data from a network of hydrological stations in the Arctic basin (see program 1.2.3 and 2.1.1).
• Collaborated with provinces and the wind industry to mitigate the impacts of wind farm development projects on EC radar network operations. Provincial wind energy projects began to include specific terms and conditions that support uninterrupted network operations and three agreements with industry proponents were negotiated (see program 2.1.1).
• Developed and maintained effective relationships with academia, provinces and territories, international partners and the private sector to leverage the specialized climate and meteorological expertise needed to support Environment Canada’s science and technology requirements and to improve service delivery to Canadians and targeted users (see program 2.1.1).

Priority 3: A Sustainable Environment

Ensure that land, water and biodiversity are sustained.

Type

Ongoing

Strategic Outcome and Programs

Links to:

Strategic Outcome 1: Canada’s natural environment is conserved and restored for present and future generations.

Programs: 1.1, 1.2, 1.3, 1.4

Summary of Progress

Progress Achieved:

• Led the development and early implementation of the National Conservation Plan, aimed at conserving Canada’s natural heritage by protecting and enhancing biodiversity and ecosystems through conservation and stewardship actions. This included the establishment of the National Wetland Conservation Fund, a key component of the National Conservation Plan that supports projects to restore, scientifically assess and monitor wetlands. Focus of the National Conservation Plan is on three priority areas: conserving Canada’s lands and waters, restoring ecosystems, and connecting Canadians to nature. Federal government investments of $252 million over five years for a variety of conservation measures include both new programs and the enhancement of existing successful initiatives (see programs 1.1, 1.1.1, 1.1.4 and 1.1.5).
• Renewed the Canada-Ontario Agreement on Great Lakes Water Quality and Ecosystem Health, to continue to coordinate work to restore, protect and conserve the Great Lakes. Through the National Conservation Plan, some 17 projects will take action to restore drained, degraded or lost wetlands in the Great Lakes basin to improve water quality and habit for fish, waterfowl and other wildlife (see programs 1.1, 1.3.4 and 1.3.4.1).
• Continued to advance work on monitoring air, water, biodiversity and wildlife contaminants under the Joint Canada-Alberta Implementation Plan for Oil Sands Monitoring -and making data and information available to Canadians through the Canada-Alberta Oil Sands Environmental Monitoring Information Portal (see programs 1.2.1, 1.3.2, 3.2.1 and 3.2.1.1)
• Renewed hydrometric monitoring agreements with provinces and territories: signed a new agreement with the Northwest Territories, renewed an agreement with Nova Scotia and continued negotiations with the remaining provinces to renew or establish new agreements. The Department launched an electronic Data Mart (early 2015) that enables provincial and territorial partners to access hydrometric data directly (see program 1.2.3).
• Continued to acquire, produce and disseminate data and information on critical water levels and flows through a federal, provincial and territorial cost-shared network of approximately 2,750 hydrometric stations^Footnote 3 on rivers and lakes across Canada. with 70 stations transmitting data in near real time added in 2014-15. This information helps provincial and territorial emergency management organizations keep Canadians safe when flooding is a risk (see program 1.2.3).
• Continued to collaborate with the Province of Québec to implement the St. Lawrence Action Plan (2011-2026), a long-term partnership focusing on biodiversity conservation, sustainable use of water, and improved water quality. The governments worked constructively through three joint programs and about fifty joint projects in order to acquire new scientific knowledge, establish common management tools, and restore and protect the ecosystem. The Department also undertook negotiations on renewal of joint activity programming for 2016-2021 (see programs 1.3.4 and 1.3.4.2).
• Established and maintained agreements with provinces and territories, academic institutions and other countries (including the U.S.) that allow the Department to leverage leading edge knowledge and expertise that enhances its capacity to improve hydrometric services to Canadians (see program 1.2.3).
• Developed 2020 Biodiversity Goals and Targets for Canada in partnership with provincial and territorial governments, and with input from Aboriginal organizations and stakeholders, as part of Canada’s participation in the United Nations Convention on Biological Diversity (see program 1.1.1).
• Significantly reduced the backlog of recovery documents for species at risk (see programs 1.1.2 and 1.1.2.1).
• Completed development of a public-private partnership to fund clean-up of Randle Reef (Hamilton Harbour), the largest contaminated site in the Canadian Great Lakes waters. Work on this complex multi-year initiative will begin in 2015 (see programs 1.3.4 and 1.3.4.1).

Priority 4: Management Priority

Ensuring that activities and resources are aligned to support delivery of programs, services and results to Canadians.

Type

Ongoing

Strategic Outcome and Programs

Links to all Strategic Outcomes and Programs

Summary of Progress

Progress Achieved

• Continued work under Transformation@EC, aligning major systems that support the Department’s work with key Central Agency (e.g., Clerk of the Privy Council’s Blueprint 2020) and departmental changes that affect people and business processes (see program 4.1).
• Continued to recruit and retain highly specialized staff to deliver a wide range of environmental monitoring, research and other scientific programming (see program 4.1).
• Supported key departmental programs through the development and testing of business continuity plans (see program 4.1).

Risk Analysis

This section describes the Department’s corporate risks as identified in the 2014-15 Report on Plans and Priorities, summarizes Environment Canada's response to these corporate risks, and provides the relevant links to the Departmental Program Alignment Architecture and organizational priorities. The mitigation measures (i.e., the risk response strategies) are aimed at minimizing the threats to the Department’s capacity to deliver on its mandate and to meet its operational and management priorities.

Risk Narrative

When delivering its services, Environment Canada (EC) often needs to rely on the performance of essential infrastructure and systems. There are business continuity risks, such as network failures, power outages, etc., that the Department must take in to account to ensure continuous delivery of services on which Canadians rely, such as weather warnings, forecasts and air quality services. EC continued to support a wide range of initiatives to minimize the impact and likelihood of these consequences materializing. They include establishment of clear governance structures for quick and efficient coordination; Service Level Agreements with key partners to ensure service continuity; and comprehensive and structured Business Continuity Plans.

Complex and interdependent partnerships and stakeholder collaboration shape the way EC delivers its mandate. However, often, partners/stakeholders have competing and conflicting priorities. Despite these challenges, their engagement is pivotal in reaching common objectives. On the international scene, EC’s engagement with key partners/stakeholders in various fora is essential, as in the case that led to the negotiation and development of an environment chapter within the recently concluded Canada-European Union Comprehensive Economic and Trade Agreement, and the Canada-Korea Free Trade Agreement.

EC continued actions to build a capable workforce, especially in the area of highly specialized staff to deliver its key scientific outcomes. One strategy is to maintain a close working relationship with universities and the international community to ensure that our future workforce has the science knowledge and expertise and the skills needed to engage in strategic dialogues. To address shorter term key operational management issues, the Department re-directed human resources to address issues such as the backlog of recovery documents for species at risk.

As with many other departments, EC has to deal with threats related to the protection of information, assets and services due to cyber-attacks, theft, loss, emergencies or other threats and hazards. To mitigate this risk, EC developed a Departmental Security Plan and implemented initiatives to monitor and respond to cyber threats, ensure business continuity, and prepare for emergencies. Other ongoing actions are underway in the areas of incident monitoring, travel security, awareness training, and safeguarding of information to further reduce vulnerabilities.

The Department continued to strive to develop timely regulations and legislation as one of the key responses to emerging priorities and to facilitate efforts in meeting regulatory commitments. Furthermore, in the area of regulatory programs to address transportation sector emissions, the involvement of multiple partners with sometimes varying priorities can cause delays in meeting regulatory commitments. To mitigate these challenges, EC continued to promote early, active and sustained stakeholder engagement and maintained continuous communication and collaboration.

Actual Expenditures

The Department’s planned spending reflects approved funding by Treasury Board to support departmental Strategic Outcomes and Programs. Throughout the year, new and renewed funding added $46.9 million to planned spending, increasing the total authorities to $1,058.5 million. The increase was mainly attributed to funding received for implementation of the National Conservation Plan, the Revitalization of Canada’s Weather Services and payment made to the Nature Conservancy of Canada.

The actual spending of $976.2 million (92.2% of total authorities) reflects departmental expenditures as reported in the Public Accounts. It is lower than planned spending, mostly owing to the unspent funding for the Sustainable Development Technology Canada (SDTC) for the Next Generation Biofuels Fund^TM, offset by payments in lieu of severance, the one-time transition payment as a result of change from pay in advance to pay in arrears, as well as the funding received in 2014-15, mentioned above.

One FTE equals one person working a 37.5-hour work week full-time for the entire year, or any number of part-time employees whose combined hours of work equal one FTE. An average salary was used to calculate 2014-15 planned FTEs based on planned salary spending for 2014-15. The actual FTEs were determined using the departmental financial system. Environment Canada used 6,461 FTEs versus planned FTEs of 6,400 in 2014-15, resulting in an increase of 61 FTEs (1.0%). This increase is mostly due to additional in-year salary funding received from Supplementary Estimates.

Budgetary Performance Summary for Strategic Outcomes and Programs (dollars)

Strategic Outcome 1: Canada’s natural environment is conserved and restored for present and future generations.

Actual spending for 2014-15 is higher than planned spending. This is mainly attributed to funding received for implementation of the National Conservation Plan and funding received for a payment made to the Nature Conservancy of Canada. The increase in actual spending in 2014-15 compared to 2013-14 is mainly due to new grants and contributions for the National Conservation Plan and a one-time transition payment made in 2014-15 as a result of change from pay in advance to pay in arrears. These increases are offset by a reduction in payments in lieu of severance and in statutory payment to the Nature Conservancy of Canada. The reduction in planned spending from 2015-16 to 2016-17 is primarily due to the reduction in funding for the Contaminated Sediment Remediation Projects, West Coast Energy Infrastructure Initiative and the Lake Winnipeg Basin Initiative, as well as the sunsetting of temporary initiatives.

Strategic Outcome 2: Canadians are equipped to make informed decisions on changing weather, water and climate conditions.

Actual spending for 2014-15 is higher than planned spending. This is mainly attributed to funding received for the Revitalization of Canada’s Weather Services.The reduction in actual spending in 2014-15 compared to 2013-14 is mainly due to a reduction in payments in lieu of severance offset by a one-time transition payment made in 2014-15 as a result of change from pay in advance to pay in arrears. The reduction in planned spending from 2015-16 to 2016-17 is primarily due to the sunsetting of temporary initiatives.

Strategic Outcome 3: Threats to Canadians and their environment from pollution are minimized.

Actual spending for 2014-15 is lower than planned spending. This is mainly due to the unspent funding for the Sustainable Development Technology Canada (SDTC) for the Next Generation Biofuels Fund^TM, offset by payments in lieu of severance and the one-time transition payment as a result of change from pay in advance to pay in arrears. The reduction in actual spending in 2014-15 compared to 2013-14 is mainly due to lower capital investments and to a reduction in payments in lieu of severance, offset by a one-time transition payment made in 2014-15 as a result of change from pay in advance to pay in arrears. The decrease in planned spending for 2016-17 compared to 2015-16 is primarily attributable to the sunsetting of funding for a number of the Department’s air quality and climate change initiatives.

Internal Services

Actual spending for 2014-15 is higher than planned spending. This is mainly due to payments in lieu of severance and the one-time transition payment as a result of change from pay in advance to pay in arrears, as well as increased capital investments. The decrease between 2014-15 and 2013-14 actual spending is primarily due to a reduction in payments in lieu of severance offset by a one-time transition payment made in 2014-15 as a result of change from pay in advance to pay in arrears. The variance between planned spending for 2015-16 compared to 2016-17 is mainly due to the sunsetting of temporary initiatives.

Alignment of Spending with the Whole-of-Government Framework

Alignment of 2014-15 Actual Spending with the Whole-of-Government Spending Areas (dollars)

Departmental Spending Trend

The following chart depicts the Departmental Spending Trend over a six-year period. For the period from 2012-13 to 2014-15, actual spending represents the actual expenditures as reported in the Public Accounts. For the period from 2015-16 to 2017-18, planned spending represents the planned expenditures as reported in the 2015-16 Report on Plans and Priorities, and reflects funding approved by Treasury Board to support the departmental Strategic Outcomes and Programs.

As indicated in the chart above, Environment Canada’s actual spending for 2014-15 was $976.2 million, a year-over-year decrease of $2.8 million (0.3%) from 2013-14 actual spending. This decrease is mainly due to a reduction in payments in lieu of severance and the related Employee Benefit Plan, as well as a reduced statutory payment to the Nature Conservancy of Canada, offset by a one-time transition payment made in 2014-15 as a result of change from pay in advance to pay in arrears and increased funding for the National Conservation Plan.

The decrease of $10.8 million (1.1%) in actual spending from 2012-13 to 2013-14 is mainly due to the completion of the Fast Start Financing under the Copenhagen Accord, and a lower payment made to the NCC, offset by increased payments in lieu of severance and retroactive payments of salaries and wages for the renewal of collective agreements.

The decrease of $15.1 million (1.6%) between actual spending for 2014-15 and planned spending for 2015-16 is mainly due to the inclusion in 2014-15 of the payment in lieu of severance and the one-time transition payment as a result of change from pay in advance to pay in arrears, offset by sunsetting of temporary initiatives.

The decrease in planned spending from 2015-16 to 2017-18 is $167.3 million (17.4%). The net decrease in planned spending from 2015-16 to 2017-18 is mainly due to the sunsetting of funding for a number of the department’s air quality and climate change initiatives, as well as a funding profile decrease over two years for other initiatives. These decreases are partially offset by net additional funding for new initiatives, including for Sustainable Development Technology Canada for the Next Generation Biofuels Fund^TM and the National Conservation Plan, as well as adjustments to the Employee Benefit Plan. Sunsetting programs are subject to government decisions to extend, reduce or enhance funding. Outcomes of such decisions will be reflected in the Department’s future budget exercises and Estimates documents.

Estimates by Vote

For information on Environment Canada’s organizational Votes and/or statutory expenditures, please consult the Public Accounts of Canada 2015 on the Public Works and Government Services Canada website.