Summary of Canada-Panama environment agreement

Preamble

The Preamble sets out the shared foundations on which the Environment Agreement is based. It highlights common beliefs in the importance of conservation, protection and enhancement of the environment and the promotion of sustainable development. It recognizes the growing economic, environmental and social links between Canada and Panama and the desirability of pursuing policies that promote sustainable development and sound environmental management. It also expresses the importance of transparency and public participation in the development of environmental laws and policies.

Part One: Definitions

This section defines key terms used in the Environment Agreement.

Part Two: Objectives

This section of the Environment Agreement sets out its overarching objectives.  These include fostering conservation, protection and improvement of the environment; promotion of sustainable development; promotion of cooperation between the Parties on environmental governance; compliance with and enforcement of environmental laws; complementing and supporting the environmental provisions of the FTA; promotion of transparency and public participation; and, promotion of economically efficient and effective environmental measures.

Part Three: Domestic Obligations

The Environment Agreement recognizes the right of each country to establish its own domestic levels of environmental protection, environmental development policies and priorities, and to adopt or modify its environmental laws. To this end, it includes the following:

  • Commitments that require Canada and Panama to ensure high levels of environmental protection and to continue to strive to develop and improve their environmental laws and policies. They also require the countries to effectively enforce their environmental laws through appropriate government action, and specify that Canada and Panama shall ensure that judicial, quasi-judicial or administrative proceedings are available to sanction or remedy violations of environmental laws.
  • A non-derogation clause that obligates the countries not to relax their environmental laws in order to encourage trade or investment.
  • A commitment to maintain appropriate procedures to conduct environmental impact assessments, and allow to for public participation in these procedures..
  • Provisions that require the countries to ensure that interested persons can request the investigation of alleged violations of environmental laws and that these requests be given due consideration in accordance with law. In addition, each country is obliged to ensure that appropriate access to enforcement-related judicial, quasi-judicial and administrative proceedings is fair, equitable and transparent.
  • Provisions that reaffirm Canada and Panama’s commitments under the international Convention on Biological Diversityto strengthen the protection of biological diversity and to respect, preserve and maintain the traditional knowledge, innovations and practices of indigenous and local communities in this area. The provisions further reiterate the authority and obligations established by the Convention in regard to access to genetic resources, and to the fair and equitable sharing of benefits arising out of the utilization of those genetic resources.
  • Corporate Social Responsibility commitments that require Canada and Panama to encourage voluntary best practices of corporate social responsibility by the enterprises operating in their countries, to strengthen coherence between economic and environment objectives.
  • Commitments to promote the development and use of voluntary and incentive-based measures to enhance environmental performance and protect the environment, as well as performance goals and standards to measure environmental performance.
  • A requirement for each country to designate a National Coordinating Officer for the Environment Agreement.

Part Four: Accountability

This section includes a provision that allows any person residing in or established in the territory of either country to submit a written question to either country on its domestic obligations or cooperative activities under the Agreement.  That country is obliged to respond to the question and to make both the question and answer available to the public.  

Part Five: Environmental Cooperation

This section of the Environment Agreement commits Canada and Panama to develop cooperative programs and activities that support the achievement of the objectives and obligations of this Agreement, subject to the availability of appropriate resources. The countries are to decide on priority areas for environment-related cooperative activities which may be carried out through technical (e.g., training) or financial cooperation.

It also specifies that the countries agree to strengthen their cooperation in other bilateral, regional and multilateral fora and that they may cooperate with other States not party to this Agreement to maximize available resources. It further commits the countries to meet no later than one year after the entry into force of this Agreement to review progress on cooperative activities, and to meet subsequently as agreed.

Part Six: Implementation

This section outlines the mechanisms and institutional arrangements that will support the implementation of the Environment Agreement.

It specifies that a Committee on the Environment, comprised of representatives from both countries, will be established to  take responsibility for the implementation of the Environment Agreement.

As well, it commits the countries to consider undertaking a major review of this agreement no later than five years after the date of its entry into force with a view to improving its operation and effectiveness.

In addition, this section commits the countries to inform the public of activities undertaken under the Agreement and endeavour to engage the public in such activities.

Part Seven: General Provisions

This section includes the process and function of the dispute resolution mechanism.  This mechanism allows the countries to address any matter arising under the Environment Agreement through the Committee.  Matters related to obligations under the Agreement may also be addressed at the Ministerial level.  In the case of a persistent pattern of failure by a country to effectively enforce its environmental laws, or a breach of the provision on non-derogation, a Review Panel may also be convened to make non-binding recommendations on the matter.[1]

Finally, there is a commitment for Canada to use its best efforts to make this Agreement applicable to as many provinces and territories as possible.

Part Eight: Final Provisions

This section deals with entry into force and amendments of the Agreement.

[1] Note: The Review Panel mechanism becomes available after the Agreement has been in force for a three-year period.

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