Borden Ladner Gervais LLP advisor tackles northern pipeline regulation
Neil McCrank talks about the much ballyhooed Mackenzie Gas Project and whether it will ever see the light of day
A concise scorecard drives home the message of a 140-page report on Canada’s complicated northern regulatory maze that he wrote for the Conservative government in Ottawa. Indian Affairs and Northern Development Minister Chuck Strahl suggested there was room for improvement when he ordered the inquiry in 2007. He was right, McCrank concluded.
On a scale of 11 objectives for a model regulatory system, he only awards two passing grades – for open and fair process – to the Northwest Territories. Another two goals – a structure that is understandable to all concerned, and adequate capacity or expertise and funding – are rated as impossible for the current regime to hit. Seven targets that the regulatory apparatus might hit are missed: neutral, clear mandate, timely, consistent and predictable, accountable, coordinated, and established rules.
As a crusader for competence, McCrank has the style of a kindly mentor rather than a harsh taskmaster. He is amiable, polite and soft-spoken at the Calgary office of national law firm Borden Ladner Gervais LLP, where he hangs his professional shingle in his post-retirement role as an elder adviser.
He agrees with core values voiced by territorial leaders. “There’s no question northern communities should have a major influence on the decision-making as to whether or not there’s development in the North. It shouldn’t be people in the South calling the tune.”
But he makes no apologies for giving candid advice about how to set up a decision-making structure that works for the North. His inquiry found that the region is past the defenseless, frightened stage that prompted the 1970s Berger commission that halted the first version of the Arctic pipeline project until native land claims were settled and a northern regulatory apparatus was built.
During five months of consultations with northern communities, McCrank repeatedly heard that all concerned want investment and jobs. “Industry, the government and the people would like to see responsible development but can’t get from A to B.” Making the trip from desire to reality is what his report to Strahl, titled Road to Improvement, is about.
“It tries to provide a path for the regulatory system to be more effective. Efficiency has nothing to do with it,” McCrank says. “Efficiency has a connotation that things are trying to move fast. Effective means ensuring the system allows for stakeholder involvement but comes to a timely decision on responsible development.”
He does not go easy on federal authorities who translated the Berger inquiry into northern policy. “The current regulatory system was created based on the land claims. It included a fundamental misunderstanding,” McCrank says.
“There was a very genuine desire by government to have local input. The fundamental misunderstanding is that the influence should be at the land use planning stage.”
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