Canadian Mining Debate: The Ontario Far North Act

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The Ontario Far North Act has attracted much attention for the Canadian mining industry, bringing up a host of issues from First Nations’ land rights; land use development and the classic debate between economic growth and environmental protection. The Canadian act also brings with it important lessons for the global mining players. Mining IQ reports.

(Background Terminology: ‘First Nations’ refers to the 630 different Aboriginal groups recognized by the Canadian government.)

Background:

The Far North Act, 2010 is a bill in the Canadian province of Ontario that stipulates half of Far North Ontario (see image) is to be turned into natural parks and would therefore be cut off from resources development. This includes logging and mining activities.

Image source: SOO Today

Background:

The Far North Act, 2010 is a bill in the Canadian province of Ontario that stipulates half of Far North Ontario (see image) is to be turned into natural parks and would therefore be cut off from resources development. This includes logging and mining activities.

According to the Ontario Ministry of Natural Resources, “the Far North is one of the last, great, largely undeveloped spaces on our planet with immense cultural and historical value, vast natural resource potential and incredible worth as a wildlife habitat for many sensitive species.”

The Far North represents 42% of the Ontario province landmass – approximately 225,000 square kilometres. It has minimal exposure to land development and is thus under increasing pressure for new resource development.

Arguments against the Ontario Far North Act

Those against the Far North Act argue that mining and land use development is a significant contributor to economic and employment growth in the region – a particularly important issue for First Nation communities who live in Far North Ontario of Canada.

Stan Sudol of Republic of Mining – a Canadian online mining portal - says that the passing of the Far North Act restricts economic development to the local community – those who need it the most - and argues that there are missed opportunities to improve the living standards of the First Nation population.

“[The act is] the only form of economic development that could reduce the impoverished, third-world living conditions in First Nation communities”, says Sudol.

Sudol also criticized the act being passed during a time of financial instability and amidst reduced government and social spending.

“[The Far North act] is economic madness – especially at a time of global economic uncertainly, massive provincial deficits and fears about significant cutbacks to unsustainable social programs and services,” says Sudol.

Critics of the act also highlight the economic benefits the Canadian mining industry brings to the First Nation population, since the sector is the largest private sector employer of Aboriginal people in Canada.

According to Natural Resources Canada, in 2006, Aboriginal people made up approximately 7.5 per cent of the mining workforce. They believe that the local Aboriginal community can help alleviate skills shortage in the industry.

The Natural Resources Canada website states that “Mining companies are experiencing a shortage of skilled workers within an aging work force. The close proximity of Aboriginal communities to potential exploration and mining development and the growing Aboriginal youth population can help meet this shortage.”

Arguments for the Ontario Far North Act

Arguments for the Ontario Far North Act are mostly environmental. Itis one of the few areas in not only Canada, but the world, that has yet to be developed and spoilt by land development. The Far North also hosts a wildlife habitat for many animals and species.

According to the Ontario Ministry of Natural Resources, the Far North also has“immense cultural and historical value, vast natural resource potential and incredible worth as a wildlife habitat [for Canada].”

The area is described as a global nature reserve and is a significant player in reducing carbon gas emissions - a convincing argument for the act as global warming makes headlines across the world.  

According to the Ministry of Natural Resources website, “the Far North serves as a globally significant carbon sink by absorbing approximately 12 million tonnes of carbon dioxide from the air each year."

Supporters of the act say it will help protect the precious environment of the Far North. It also means that First Nation communities now have the power to approve particular areas in the Far North region that are suitable and unsuitable for economic development. This is a significant recognition of First Nation communities’ land rights and entitlement.

Ring of Fire Region
At the center of one of the most contentious acts in Canada, the Far North Ontario’s Ring of Fire region has been of particular interest to mining companies due to its large deposit of chromite, the key ingredient in stainless steel.

Ontario’s Liberal Leader Dalton McGuinty has referred to the Ring of Fire region as the brightest hope for the state’s economy and calls it “the most promising mining opportunity in Canada in a century."

Currently, there are no roads and power access into the Ring of Fire region, meaning mining companies are looking to the government to provide infrastructure to one of the most lucrative mineral deposits in the province.

First Nations who live on the edge of the chromite deposit have had varying responses to mining companies’ interest. Martin Falls Chief Eli Moonias has voiced his concern and called for Canadian Prime Minister Stephen Harper to intervene.

“Visits from junior ministerial representatives telling us what is happening instead of asking us how we want to participate is not consultation or accommodation,” he was quoted as saying in Wawatay News. He added that a map of northern Ontario used by the Canadian Environmental Assessment Agency (CEAA) implied no one lives near the Ring of Fire projects.

“The map didn’t have a single First Nation community on it,” he said. “We aren’t even on their radar. That is offensive to our people. That is exactly the way government views the people who live where these developments are happening, like we don’t exist.”

However, there are also First Nation communities who have taken action. Peter Moonias, the chief of the Neskantaga First Nation and three other First Nation communities recently signed an agreement to work together to own and operate roads to the chromite deposit.

“We can’t just sit back and wait for them to develop the land, we had to be part of it,” Moonias says. “We have to work with the companies, whoever wants to work with us. If they don’t want to work with us, I think it’s going to be a battle for them to get in there."
 

Ontario Far North Act: Looking Ahead

Whilst there is still heated debate on how much control First Nations actually have over their land, those supporting the Far North Act believe it strikes a fine balance between First Nation community plans and economic development.

The act has attracted significant support from environmental groups across Canada.

"WWF is pleased the Ontario government passed the Far North Act.  We strongly support the Ontario government's Far North vision of protecting at least 50 per cent of Ontario's globally important boreal region, coupled with new economic prosperity for the people who live there - all led by community land use planning,” said Monte Hummel, President Emeritus, WWF - Canada.

On the other hand, First Nation community organisations across Canada have spoken against the Act.

The Nishnawbe Aski Nation (NAN) – a political organisation which represents 49 First National communities said they will not recognize the Far North Act. They say that it does not guarantee their land rights will not be compromised.

NAN Deputy Grand Chief Mike Metatawabin said the Ontario government cares little for the concerns of First Nations and northern Ontarians.

 “The law can be passed by the province of Ontario, but this does not promise industry free access to our lands,” Metatawabin said.

NAN said First Nations have not been properly consulted for the act, despite the province of Ontario’s continued attempts to state otherwise.

“This is not what we want… First Nations in the Far North have voiced their concerns over and over again regarding this Bill, and yet the premier of Ontario remains unmoved. If there is conflict, if will be up to the province to answer as to why. This government has been given ample opportunity to work with us, but chooses otherwise,” Metatawabin added.