2022–2023 Departmental Results Report – Supplementary information tables – Response to Parliamentary Committee and External Audits

Response to parliamentary committees

There were no parliamentary committee reports requiring a response in 2022–2023.

Response to audits conducted by the Office of the Auditor General of Canada (OAG) (including audits conducted by the Commissioner of the Environment and Sustainable Development)

1. Report 17: Regional Relief and Recovery Fund

On May 6, 2022, the Regional Development Agencies (RDAs) provided the Standing Committee on Public Accounts (PACP) with an initial joint report on Regional Relief and Recovery Fund (RRRF) repayments, defaults and ineligible expenses. Since June 2021, the RDAs have implemented the COVID-19 recovery initiatives announced in Budget 2021, and referenced in the PACP Report, namely the Canada Community Revitalization Fund, Tourism Relief Fund, Jobs and Growth Fund, Major Festivals and Events Support Initiative, and the Aerospace Regional Recovery Initiative.

As taken from the report, PACP recommended:

• The RDAs should provide PACP with a joint progress report regarding the targets for support to under-represented groups;
• Provide PACP with a joint report regarding the progress made toward improved coordination, fairness and transparency in delivering the five COVID‑19 recovery programs announced in Budget 2021;
• Provide PACP with a joint report regarding the steps taken to ensure that program results reporting is harmonized and accurate; and,
• Provide PACP with a joint report with the following information: 1) the number of files from recipients who were deemed ineligible or who had amounts that were deemed ineligible after the fact; 2) the amounts repaid for this reason; and 3) the measures taken to encourage repayment. Reports on the default rate for repayable loans should also be provided.

The Government provided to PACP a joint RDA response on October 17, 2022, to address the four recommendations. In compliance with recommendations one and two, the RDAs adopted common program parameters and eligibility criteria to ensure fairness and consistency in approach. As requested under recommendation three, the RDAs provided a final report by May 31, 2023, on efforts to ensure that programs results reporting is harmonized and accurate. In accordance with recommendation four, ongoing Reports on default rates will also be provided to PACP at specified intervals indicated in the recommendation.

Link to government response:
https://www.ourcommons.ca/content/Committee/441/PACP/GovResponse/RP11983252/441_PACP_Rpt17_GR/DepartmentOfWesternEconomicDiversification-e.pdf

2. Report 21: Just Transition to a Low-Carbon Economy

On April 26, 2022, the Reports of the Commissioner of the Environment and Sustainable Development (the CESD or Commissioner) were tabled in the House of Commons and referred to the Standing Committee on Environment and Sustainable Development for study. On April 28, 2022, PACP agreed to study one of these reports, entitled “Just Transition to a Low-Carbon Economy.” PACP noted that the Commissioner concluded that Natural Resources Canada (NRCan), working with Employment and Social Development Canada (ESDC) and partners (including Prairies Economic Development Canada (PrairiesCan)) on behalf of the federal government, was not prepared to support workers and their communities for a just transition to a low‑carbon economy. Although new legislation had been planned for 2021, no federal implementation plan, formal governance structure, or monitoring and reporting system was in place. They provided six recommendations to this end.

As taken from the report, PACP recommended:

• Provide PACP with a report on: 1) its implementation plan describing measures for helping workers and communities and enabling a just transition to a low-carbon economy; 2) the results of its engagement activities; and 3) a review of federal programming and an identification of gaps;
• Provide PACP with a report describing the mandate of the Directors General Interdepartmental Working Group, the departments involved, their roles, responsibilities and accountabilities with regard to the transition to a low-carbon economy;
• Provide PACP with a report detailing the work it has done to address the findings and recommendations of the Commissioner of the Environment and Sustainable Development, specifically with regard to: 1) obtaining high-quality data on the communities and workers affected by the transition to a low-carbon economy; 2) developing monitoring tools using the data; and 3) establishing public reporting requirements for measuring progress. Additional reports, including results indicators, must also be presented;
• Progress report on the implementation of the Community Workforce Development Program and the mandate commitment to implement the Clean Jobs Training Centre;
• Provide PACP with a report explaining the government’s approach to supporting a just transition to a low‑carbon economy, including a description of the existing programs that will be used for that purpose and any new programs, as well as a description of ways it plans to address the ten recommendations made by the Task Force on Just Transition for Canadian Coal Power Workers and Communities that have not yet been addressed by the government; and,
• Provide PACP with a joint report containing: 1) the selected indicators for monitoring the long-term effects of the coal phase-out on affected communities and workers; 2) the targets associated with these indicators; and 3) the reporting schedule for reporting on the outcomes related to these indicators.

The Government provided a joint response to PACP on March 6, 2023 to address the six recommendations. Atlantic Canada Opportunities Agency (ACOA) and PrairiesCan, in collaboration with NRCan and ESDC, outlined the approach for monitoring the impacts of initiatives delivered in support of the coal phase-out, within the parameters outlined in the 5-year Canada Coal Transition Initiative.

Further, the Government Response to this report was that the Government of Canada, along with the over 45 other countries within the Powering Past Coal Alliance, is committed to phasing-out unabated coal-fired electricity. The Government of Canada created the Canadian Coal Transition Initiative to support skills development and economic diversification activities to help workers and communities adapt to Canada’s transition to a low-carbon economy.

ACOA and PrairiesCan committed to monitoring the effects of the coal phase-out on affected communities and workers across the entire timeframe of intervention set to be completed by March 31, 2025.

Link to government response:
https://www.ourcommons.ca/content/Committee/441/PACP/GovResponse/RP12260771/441_PACP_Rpt21_GR/DepartmentOfNaturalResources-e.pdf

Response to audits conducted by the Public Service Commission of Canada or the Office of the Commissioner of Official Languages

There were no audits in 2022–2023 requiring a response.