Message from the CEO
I am pleased to present IOGC’s Management Plan for 2017-18. This plan outlines our strategic priorities and operational deliverables for the fiscal year and has been developed with input from our First Nations clients and our stakeholders. The plan builds upon the foundation of our Strategic Framework, which sets out our four directional priorities:
- Excellence in Governance;
- Excellence in Oil and Gas Management;
- Workplace of Choice; and,
- Effective Relationships
Our plan aligns with the objectives of the Lands and Economic Development (LED) Sector; the 2017-18 LED Business Plan; and the Federal Framework for Aboriginal Economic Development. IOGC aims to unlock and increase the value of First Nation assets via modernization and excellence in oil and gas management, ensuring that First Nations benefit from the administration of their lands and resources.
For 2017-18, IOGC will continue to focus on the Modern Act, Regulations and Systems (MARS) project, with a particular focus this year on bringing both the Indian Oil and Gas Act, 2009 (IOGA, 2009) and its Phase I regulations into force and in beginning their implementation and administration. The MARS project itself is comprised of three inter-related sub projects with the following major milestones:
- Completing the gazetting and approvals processes for the Phase I or ‘core' regulations, then bringing both the IOGA, 2009 and the Phase I regulations into force, and finally implementing and administering both the IOGA, 2009 and the Phase I regulations beginning on the day both become law. This includes collaborating with the Indian Resource Council (IRC) to facilitate First Nation awareness of the changes and the impacts to how future oil and gas operations will be conducted;
- Continuing systems development for the Resource Information Management System 2 (RIMS2) project, having secured both project and expenditure approvals in May 2016; and,
- Continuing the development of the Phase II regulations in consultation with First Nations, industry and provinces.
Implementation of the Indian Oil and Gas Act, 2009 and its Phase I regulations will bring many changes to how IOGC does business and we will continue to address both the project and the people side of these changes, so we can optimize the benefits of the new Act and regulations, modern business practices and informatics enhancements.
The coming year will see many of IOGC’s multi-year projects reach important milestones – we will begin administering a new legislative and regulatory regime, and the development of modern informatics tools that support this work – and there will continue to be many exciting changes and some challenges for IOGC and its staff as we adapt to both internally-driven and externally-driven changes. As in past years, IOGC will continue to work with the Indian Resource Council and the Joint Technical Committee One (JTC-1) and the coming year will see the reconstitution of the Joint Technical Committee Two (JTC-2). I look forward to IOGC’s continued collaboration with these important advocates.
Executive Director and CEO
Indian Oil and Gas Canada (IOGC) is responsible for the management of oil and gas on First Nations reserve lands across Canada, primarily south of the 60th parallel. IOGC is a separate employer and a special operating agency within Indigenous and Northern Affairs Canada (INAC). IOGC operates pursuant to the Indian Oil and Gas Act, and aligns its plans and operations with the INAC Program Alignment Architecture set out in Appendix A and Treasury Board's Management Accountability Framework, set out in Appendix B. Oil and gas operations fall within the ‘3.0 Land and Economy' strategic outcome, ‘3.2 Community Economic Development' program activity, and ‘3.2.3 Administration of Reserve Land' program sub-activity.
Each year, the IOGC integrated planning process results in two planning documents: the first is the IOGC Management Plan which outlines the organization's high level priorities; the second is the IOGC Implementation Plan which details the project, operational and functional work plans for the year.
IOGC's Management Plan for 2017-18 is focused on advancing IOGC's strategic direction; helping the organization realize its mandate and achieve its vision to be a ‘modern regulator' of First Nation oil and gas resources. The IOGC Management Plan, aligned with the objectives of the Lands and Economic Development (LED) Sector within INAC and the 2017-18 LED Business Plan, is designed to strengthen the contribution IOGC makes to enhance the value of First Nation assets by supporting development of First Nation oil and gas resources. Oil and gas on First Nations reserve lands represents economic potential that can be activated or developed as a result of business opportunities. The result is revenues that improve the economic prosperity of First Nations, reducing the gap in economic well-being between First Nations with oil and gas resources and other Canadians.
IOGC's annual management planning cycle begins with an environmental scan, which analyses key trends in: the economy; the oil and gas industry; and the legal, regulatory and environmental arenas that may affect the organization's activities in the year ahead. Insight is also gained through examination of new developments in First Nation clients and key stakeholder groups including other federal departments and agencies, oil and gas producing provinces and the energy industry.
Key trends in 2017-18 include: sluggish economic growth in Canada; continuing lower oil and gas prices, a small uptick in activity and investment in the Canadian oil and gas sector; pipeline capacity constraints; carbon pricing; and increasing environmental concerns, particularly in the area of hydraulic fracturing (‘fracking').
Internally, IOGC will focus on: implementation of the Indian Oil and Gas Act, 2009 and the Phase I regulations; Resource Information Management System 2 (RIMS2) development; development of the Phase II regulations; and ongoing day-to-day operations.