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SECTION I: OVERVIEW

Message from the President and Chief Executive Officer

CEOI am pleased to present the 2006-07 Performance Report of the Canadian Nuclear Safety Commission (CNSC).

This report covers my sixth year as President and Chief Executive Officer of the CNSC. It highlights the work undertaken by CNSC over the past year as it worked on behalf of Canadians to oversee the requirements for safety, security, environmental protection and non-proliferation for all nuclear installations and materials in Canada.

The Canadian nuclear industry is growing substantially in all areas, including power generation, uranium mining and milling, nuclear waste facilities and industrial and medical uses of nuclear substances - creating a significant increase in the regulatory workload of the CNSC. In its 2006 budget, the Government of Canada supported this augmented workload through additional funding of more than $93 million over a five-year period. These resources enabled the CNSC to address four key priorities: nuclear power reactor refurbishment projects; uranium mining expansion, research facilities and waste management and mitigation of risks to nuclear security. In addition the Treasury Board approved additional funding to enable the CNSC to address creation of a modern regulatory framework for construction of new nuclear reactors in Canada. The CNSC also continued preparing to meet emerging demands related to new nuclear power plants, domestic safeguards and the non-proliferation regime.

The CNSC’s regulatory regime, anchored by the Nuclear Safety and Control Act (NSCA), is considered the most modern in the world, separating health and safety from economic and political interests. The CNSC continues to review the NSCA and to update its regulations, regulatory requirements and guidance documents to ensure rigorous compliance requirements as well as a clear regulatory direction, especially concerning new nuclear power plants.

We expect the CNSC to continue growing as the nuclear industry expands. As we focus on building the organization’s capacity, we have initiated Vision 2020 to clearly outline the agency’s needs and to provide a bold view of the state of the CNSC in the year 2020. Realizing the CNSC’s vision of being one of the world’s best nuclear regulators depends on collectively planning for what the organization will face over the longer term. We have therefore undertaken an environmental scan - our most comprehensive and far reaching to date - to identify potential changes in our operating environment and to create an evergreen document on which to base future strategic plans. We look forward to further developing Vision 2020 so we can continue to work toward becoming the foremost nuclear regulatory body in the world.

As a federal agency, the CNSC must adhere to strict and transparent governance and accountability. We are committed to meeting this requirement and have continued to cooperate with the Treasury Board Secretariat, the Office of the Auditor General and other central agencies to assure the Government of Canada of our effectiveness, efficiency and transparency to Canadians.

The CNSC has made important progress in all areas of its mandate over the past year. Although numerous challenges lie ahead of us, our accomplishments to date provide us with a strong foundation on which to build. As we move forward to meet these challenges, we pledge to remain committed to the people of Canada in our mission - to protect health, safety, security and the environment and to respect Canada's international commitments on the peaceful use of nuclear energy.

Sincerely,

Linda J. Keen, M.Sc.
President and Chief Executive Officer

Management Representation Statement


I submit, for tabling in Parliament, the 2006-2007 Performance Report for the Canadian Nuclear Safety Commission.

This document has been prepared based on the reporting principles contained in the Guide for the Preparation of Part III of the 2006-2007 Estimates: Reports on Plans and Priorities and Departmental Performance Reports:

  • It adheres to the specific reporting requirements outlined in the Treasury Board Secretariat guidance;
  • It is based on the department’s approved strategic outcome and Program Activity Architecture that were approved by the Treasury Board;
  • It presents consistent, comprehensive, balanced and reliable information; 
  • It provides a basis of accountability for the results achieved with the resources and authorities entrusted to it; and
  • It reports finances based on approved numbers from the Estimates and the Public Accounts of Canada.

Linda J. Keen, M.Sc.
President and Chief Executive Officer, Canadian Nuclear Safety Commission


Summary Information

 Mission

The mission of the Canadian Nuclear Safety Commission[1] (CNSC) is to regulate the use of nuclear energy and materials to protect health, safety, security, and the environment and to respect Canada’s international commitments on the peaceful use of nuclear energy.

In pursuing this mission, the CNSC is working toward realizing its vision of becoming one of the best nuclear regulators in the world. To this end, the CNSC is committed to four strategic objectives:

  • ensuring the effectiveness of its regulatory regime;
  • operating with a high level of transparency;
  • attracting and retaining excellent staff; and
  • maintaining the efficiency of its regulatory regime.

In carrying out its mandate, the CNSC upholds the values of quality, integrity, competence, dedication and respect for others.

Governance

The CNSC is an independent, quasi-judicial administrative tribunal and federal regulatory agency. As a departmental corporation under Schedule II of the Financial Administration Act, it reports to Parliament through the Minister of Natural Resources.

The Commission sets overarching regulatory policy, makes regulations as required, and decides on major licence applications, renewals and related requests.  Members of the Commission, who are appointed by the Governor in Council at good behaviour, are separate from CNSC staff to maintain independence when making licensing and related decisions.

CNSC staff functions as expert advisors to the Commission and undertake the implementation of decisions made by the Commission and act as Designated Officers for some licences.

Regulatory Framework

The CNSC was created under, and derives its mandate from the Nuclear Safety and Control Act (NSCA). The CNSC regulatory framework is an evergreen framework of regulations and regulatory documents under the NSCA that apply to all nuclear industries including, but not limited to the following:

  • nuclear power reactors;
  • non-power nuclear reactors, including research reactors;
  • nuclear substances and radiation devices used in industry, medicine and research;
  • the nuclear fuel cycle, from uranium mining through to waste management; and
  • the import and export of controlled nuclear and dual-use substances, equipment and technology identified as proliferation risks.

The CNSC also has certain functions under the Nuclear Liability Act, conducts environmental assessments under the Canadian Environmental Assessment Act (CEAA), implements reciprocal non-proliferation provisions of bilateral nuclear cooperation agreements between Canada and its nuclear trading partners, and implements Canada’s bilateral agreement with the International Atomic Energy Agency (IAEA) on nuclear safeguards verification. As a model of regulatory efficiency, the CNSC oversees the entire nuclear cycle and all aspects of nuclear safety in Canada, as there are no provincial nuclear regulators.

Funding of CNSC Operations

The CNSC’s operations are funded through an annual appropriation from Parliament. The organization’s workload, and therefore its resource requirements, is largely driven by the demand for licensing and regulatory oversight and by Canada’s international commitments. The CNSC applies to the Treasury Board Secretariat to increase its cost-recoverable expenditures or to receive new program funding when its workload increases.

The Government of Canada recovers most costs associated with the CNSC’s regulatory activities from licensees, in accordance with the Canadian Nuclear Safety Commission Cost Recovery Fees Regulations (2003). The CNSC collects fees and deposits them to the Consolidated Revenue Fund. Some licensees, such as hospitals and universities, are exempt from paying fees. In addition, fees are not charged for activities that result from CNSC obligations and that do not provide a direct benefit to identifiable licensees. The latter include activities with respect to Canada’s international obligations (including the non-proliferation of nuclear weapons), public responsibilities such as emergency preparedness and public information programs, and the ongoing oversight of the NSCA and associated regulatory documents as appropriate.

Additional Funding Resources Received for 2006-07

In 2005, the Treasury Board Secretariat provided additional short-term funding of $14.5 million for 2006-07. For 2006-07, the CNSC’s actual expenditures were $85.3 million. Fees received were approximately $58.3 million. The growth in the CNSC’s regulatory oversight program, the emerging priorities and how this additional funding is being used to respond to the increased workload are discussed in greater detail in the report subsection “The CNSC’s Performance”.

As a result of growing activity in all areas of the nuclear sector over the past several years, the CNSC has experienced a substantial increase in its workload in most areas of its responsibility. In its 2006 budget, the Government of Canada recognized the CNSC’s need to expand and allocated it additional funds of more than $93 million, the majority of which is cost-recoverable from licensees, to improve regulatory oversight over a five-year period. Of this funding, $4.5 million was allocated to the plan for 2006-07. These additional resources will enable the CNSC to fund growth of its regulatory program, including oversight of nuclear power reactor refurbishment projects, expansion of uranium mining, research facilities and waste management, and the use of nuclear substances, including health care facilities; and addressing risks to security of nuclear facilities while implementing numerous improvement initiatives. In addition, after receiving two applications for site licensing for construction of new power reactors in Canada, the CNSC requested and received incremental funding of $1.6 million for 2006-07 and of $6.1 million for 2007-08 to begin processing these applications. These funds are also required to implement a modern regulatory framework for the construction of new power reactors in Canada. The CNSC will continue to take concrete steps to meet new demands with respect to new nuclear power plants and the domestic safeguards and non-proliferation regime.

Figures 1 and 2 show a comparison of actual expenditures incurred against planed spending of the CNSC for 2006-2007

Figure 1. Financial Resources


2006-07 ($000s)

Planned Spending

Total Authorities

Actual Spending

86,499

92,245

85,262


Figure 2. Human Resources


2006-07 (Full-Time Equivalents)

Planned

Actual

Difference

651

569

82


Figure 3. CNSC Priorities for 2006-07


Priority

Type

Assessment of Progress

1. Deliver an effective regulatory program for existing facilities

Ongoing

Maintained effective oversight of existing facilities, including licensing reviews, renewals and amendments and compliance verification to ensure safety and security of Canadians and contribute to a safe and secure world.

2. Effectively manage growth of the regulatory program

Ongoing

Excellent progress in increasing capacity to oversee nuclear power reactor refurbishment projects, increase in use of nuclear substances and increase in nuclear security measures in Canada. 

Appropriate progress on oversight of new, expanding mine and waste facilities while dealing with a major demand to oversee a mining incident in an existing facility. 

Good progress on clarifying regulatory framework for areas of growth in the nuclear industry.

3. Implement improvement initiatives

Previously committed

Progress on improvement initiatives achieved greater focus. 

Infrastructure and governance were strengthened in order to ensure effective, integrated implementation of the CNSC’s improvement plan.


 

Figure 4. Program Activity by Strategic Outcome


Strategic Outcome: Safe and secure nuclear installations and processes solely for peaceful purposes; and public confidence in the nuclear regulatory regime’s effectiveness.

Program Activity

Expected
Result

Performance Status

2007-08

Contributes to the following priority

Planned
Spending
(in $000s)

Actual
Spending
(in $000s)

Nuclear Regulation

A clear and pragmatic regulatory framework

Successfully met

86,499

85,262

Priorities 1, 2 and 3

Individuals and organizations that operate safely and conform to safeguards and non-proliferation requirements

Successfully met

High levels of compliance with the regulatory framework

Successfully met

Cooperation and integration of CNSC’s activities in national/international nuclear fora.

Successfully met

Stakeholders’ understanding of the regulatory program

Successfully met


Contribution to Government of Canada Outcomes

The Government of Canada outcome areas, as represented in the whole-of-government framework used in Canada’s Performance, are the long-term and enduring benefits to Canadians that more than one federal department or agency is working to achieve.

The Canadian Nuclear Safety Commission’s strategic outcome is mapped to the government’s “Safe and Secure Communities” outcome area under its “Social Affairs” policy area.

The CNSC’s Performance

Priority 1 – Deliver an Effective Regulatory Program for Existing Facilities

The CNSC’s day-to-day management and operation focus principally on delivering an effective regulatory program for existing facilities.  To achieve this priority, the CNSC has one core program activity: nuclear regulation. 

The CNSC successfully met its performance expectations for 2006-07, despite an accelerated period of growth in both the Canadian nuclear industry and the CNSC.  The performance results of the nuclear regulation program activity are discussed in greater detail in Section II – Analysis of Program Activities by Strategic Outcome.

Priority 2 – Effectively Manage Growth of the Regulatory Program

The CNSC has identified five major growth areas in its regulatory program:

  1. nuclear power reactor refurbishment projects;
  2. new and expanding uranium mining, research facilities and waste management;
  3. increasing use of nuclear substances and prescribed equipment in industry and health care;
  4. mitigation of risks to nuclear security; and
  5. a modern regulatory framework for construction of new nuclear reactors in Canada.

The increase in the CNSC’s workload is the result of growing nuclear industry activity in four of these five areas (i, ii, iii and v). The growth in the mitigation of risks to nuclear security is the result of increased national and international assessments of the measures required for effective security at Canada’s major nuclear installations.

1. Growth Area –  Nuclear Power Reactor Refurbishment Projects

1.1       Regulatory Oversight

The CNSC protects the Canadian public by requiring nuclear facilities to meet both modern, high-level safety goals and regulatory requirements for secure operation. A nuclear power plant licence is evaluated and, if appropriate, amended with specific conditions when the licensee undertakes a project to extend the life of a reactor (refurbishment). A licensee must adhere to the NSCA, the CEAA, the associated regulations and licence conditions throughout a life extension project and subsequent reactor operation. Approval to return a reactor to service is contingent upon a licensee’s demonstration that it has met relevant licence conditions.

In keeping with its regulatory mandate, the CNSC expects a licensee to demonstrate that it meets the following objectives for any life extension project:

  1. adequate determination of the technical scope of the project, through a safety improvement plan that considers results of an environmental assessment and an integrated safety review;
  2. establishment of programs and processes that take into account any special considerations of the project; and
  3. appropriate project planning and execution.

Many of Canada’s nuclear power plants are nearing the end of their designated operating lives. During 2005-06, the CNSC received incremental multi-year funding from the Government of Canada to manage the increase in workload to regulate licensee refurbishments of power reactors - including those at Bruce and Point Lepreau - and to regulate aging nuclear reactors (specifically, Units 2 and 3 at Pickering A). 

In May 2006, the CNSC issued the draft regulatory guide Life Extension of Nuclear Power Plants (G-360) for public consultation.  The document includes information for licensees and other stakeholders on the licensing steps required to extend the operating life of a power reactor. In particular, the guide notes that a licensee wishing to refurbish a nuclear reactor should perform an integrated safety review based on the periodic safety review guidelines of the IAEA.

Bruce Power
Units 1 and 2 at Bruce Nuclear Power Development’s Bruce A site are being refurbished.  CNSC staff has reviewed the licensee’s integrated safety review report and safety improvement plan and is monitoring the licensee’s implementation of these plans. The CNSC is also overseeing the secure disposal of obsolete equipment and contaminated parts being generated by the refurbishment program.

Pickering Nuclear Generating Station
The Pickering Nuclear Generating Station is owned by Ontario Power Generation (OPG).  Units 2 and 3 at the Pickering A Nuclear Generating Station are currently in a guaranteed shutdown state and will be placed in long-term safe storage. The licensee has decided that these units will not be refurbished. The CNSC staff reviewed the current licence to determine the nature of licence amendments required, including whether an environmental assessment (EA) is needed.  Some safety requirements, such as maintenance and testing differ when units are dormant versus when operating.  Subsequent to year-end, OPG submitted a project description and the CNSC determined that an EA is required.

During 2005-06, the CNSC received an application to undertake an EA for the proposed refurbishment of Pickering B’s four reactors that would extend their operating lives to 2060.  In 2006, as the sole responsible authority for the EA, the Commission made a decision as to the scope of the project and the assessment in accordance with the requirements of the CEAA.

Point Lepreau
In July 2006, the Commission granted a five-year licence renewal to the New Brunswick Power Nuclear (NBPN)’s Point Lepreau Generating Station.  NBPN has decided to refurbish the station and therefore submitted an Integrated Safety Review Report, which CNSC staff has reviewed.  NBPN is planning an outage in 2008-09 to complete the refurbishment, and the CNSC has developed its project plan for regulatory oversight of the refurbishment to coincide with this timing. 

During 2006-07, the CNSC staff oversaw the start of the expansion of Point Lepreau’s solid waste management facility, which will store waste generated during refurbishment and throughout the extended life of the facility.

Gentilly-2
Hydro-Québec is reviewing the possibility of refurbishing its Gentilly-2 nuclear reactor to extend its life to 2035, but has not yet made a decision to do so. The CNSC staff directed the review of Hydro-Québec’s EA Screening Report for proposed modifications to the Gentilly radioactive waste management facilities and refurbishment of the generating station, as a precursor to potential licensing of the refurbishment project. The Commission accepted the screening report in November 2006. CNSC staff has also discussed with Hydro-Québec the licence amendments that would be required for any subsequent application to proceed with the refurbishment of the generating station.

2. Growth Area – New and Expanding Uranium Mining, Research Facilities and Waste Management

Canada is the world’s largest producer of uranium, the demand for which continues to increase. Throughout the world, there has been an increase in the number of new reactor projects along with many refurbishments of existing reactors. This growth in activity and demand has resulted in a dramatic rise of the price of uranium on world markets and has accelerated industry plans to expand existing mines and explore for new uranium sources. Although Canadian uranium is currently mined only in Saskatchewan, there are uranium exploration activities underway in virtually every region of the country, which are expected to lead to increased uranium mine applications.

With the potential for new uranium mining projects, the Canadian Nuclear Safety Commission developed and issued Licensing Process for New Uranium Mines and Mills in Canada (INFO-0759) in March 2007. This document explains the major steps involved in the established regulatory process for licensing new uranium mines or mills in Canada based on requirements of the NSCA and its regulations, and it refers to the CEAA. The document is aimed at a broad audience, encompassing those involved directly in uranium mine development as well as those with an interest in the federal regulatory regime that applies to uranium mining and milling. Probable timelines involved in the licensing process are described, as are the stages in the process where interested parties, including the public, can provide input in the decision-making process.

2.1       Nuclear Waste Management

The activities licensed by the CNSC generate the following types of waste, which are managed in various ways:

  • Uranium mine waste rock and mill tailings are disposed of in above-ground facilities or in pits;
  • Low- and intermediate-level radioactive wastes, which result from uranium processing plants, nuclear power plants, nuclear research facilities, and industrial and medical applications is stored in above-ground structures and in shallow in-ground structures; and
  • Highly radioactive nuclear fuel waste (spent fuel) is stored in water-filled bays or in various dry storage structures (dry storage casks, above-ground and in-ground concrete canisters, and modular above-ground vaults).

Additional potential approaches to long-term waste management include surface and near-surface facilities and deep geological facilities for disposal or long-term storage.

 In addition to radioactive waste generated by licensed activities, legacy and historic waste from the early days of the nuclear industry (for example, closed uranium mines) falls under CNSC regulatory oversight and is subject to CNSC licensing requirements

During the year, the CNSC provided regulatory oversight as NBPN commenced construction of a long-term storage facility to handle the waste from its upcoming refurbishment of the reactor at Point Lepreau. In addition, the CNSC reviewed the project plan for construction and operation of additional storage structures at Hydro-Québec’s Gentilly Radioactive Waste Management Facility in Bécancour, Québec. CNSC staff appeared before the Commission regarding this project at a hearing in March 2007, and a licence amendment was granted shortly thereafter in April. In January 2007, the Commission also considered OPG’s licence renewal application for the Western Waste Management Facility, a dry storage facility that manages OPG’s and Bruce Power’s waste, including used reactor fuel, at the Bruce Power site.

Port Hope Area Initiative
The EA for the Port Hope Area Initiative was approved. This is a Government of Canada initiative to clean up contaminated sites in the Port Hope Region by constructing facilities for long-term storage of historic low-level radioactive wastes. 

Deep Geologic Repository
Ontario Power Generation has proposed a deep geologic repository that would be constructed within the Bruce Nuclear Power site in Kincardine, Ontario, and store low- and intermediate-level radioactive wastes. The project required a comprehensive environmental assessment, and the CNSC, as the lead agency for the assessment, conducted the study and submitted it the Commission in a hearing held in Kincardine on October 23, 2006. The Commission has announced its recommendation to the federal Minister of the Environment that the proposal be referred to a review panel. Subsequent to the CNSC’s year-end, the Minister of the Environment accepted the Commission’s recommendation to refer the proposal to a review panel. CNSC staff is now working with the Canadian Environmental Assessment Agency to determine the terms of reference. The CNSC consulted extensively on this project with the community, including the Saugeen Ojibway Nations.

New Regulatory Document
In December 2006, the CNSC issued a regulatory document to assist applicants for new licences and licence renewals in assessing the long-term safety of radioactive waste management. Assessing the Long Term Safety of Radioactive Waste Management
(G-320) describes approaches to assess the potential long-term impact of radioactive waste storage and disposal methods on the environment and on the health and safety of people. The document includes discussion of assessment methodologies, structures, and approaches that the CNSC will examine when evaluating licence applications.


Monitoring the Environmental Effects of Uranium Mines

In 2002, the Government of Canada promulgated the Metal Mining Effluent Regulations (SOR/2002-22) under the Fisheries Act. The regulations set out requirements for mines to undertake environmental effects monitoring (EEM) to assess how mines affect fish, fish habitats and the usability of fisheries resources.

The CNSC is a member of Environment Canada’s Metal Mining EEM Review Team, consisting of experts from government, industry, environmental and aboriginal communities, to undertake a review based on experiences from the first phase of monitoring.  Monitoring of radionuclides and hazardous substances contaminants and their potential biological effects on the environment, has been a CNSC requirement for uranium mines since the 1990s.

Environmental monitoring experience at Canadian uranium mines was instrumental in influencing two recommendations from the national review team: the need to further investigate selenium releases in mine effluents and include selenium as a monitored effluent variable; and the importance of coordinating and linking the environmental assessment process with the design, implementation and interpretation of the Metal Mining Effluent Regulations EEM programs.  The CNSC is one of the few regulators to have implemented such an integrated approach to environmental protection, where results of environmental assessments are used to design EEM programs and interpret their results.

In September 2006, the Ministers of the Environment and Health published the final decision on the Assessment of Releases of radionuclides From Nuclear Facilities (impact on non-human biota) in Part I of the Canada Gazette. The finding reported that uranium and uranium compounds, contained in effluent releases from uranium mines and mills, were entering the environment in quantities or concentrations or under conditions that have or may have an immediate or long-term harmful effect on the environment or its biological diversity. The Ministers proposed to take no further action under the Canadian Environmental Protection Act in respect of this substance because the Nuclear Safety and Control Act enabled the CNSC to protect non-human biota from such releases. A risk management process has been formalized in an annex to a memorandum of understanding between Environment Canada and the CNSC. CNSC environmental specialists have conducted numerous research studies to better understand the toxicity of uranium to aquatic organisms and to identify best available technologies for the treatment of uranium in effluent. The Commission required a condition in the Rabbit Lake Mine and Mill licence to identify and implement mitigation measures that would significantly reduce the amount of uranium discharged to the environment.


3. Growth Area – Increasing Use of Nuclear Substances and Prescribed Equipment in Health Care and Industry

The CNSC continues to address a rapidly growing number of Class II nuclear facilities, principally those for cancer treatment that use radiation therapy. The CNSC received increased resources to improve capacity for regulatory oversight of this industry sector. However, growth has been greater than projected.

The total number of radiation therapy facilities under CNSC licence increased by 15% over the preceding year. A major trend among Canadian radiation therapy centres during the past year has been the replacement of existing radiation therapy accelerators with more technologically advanced ones. An estimated 10% of existing radiation therapy accelerators were replaced in this manner (see Figure 5). In addition to a continuation of this trend, the CNSC expects a significant increase in the number of new radiation therapy facilities in the upcoming fiscal year, with about 30 facilities expected to be in various stages of construction - most of which will begin routine operation towards the end of 2007-08 or early in the subsequent year.

During 2006-07, CNSC staff employed a systematic, risk-informed approach to balance its review of new licence applications and with ongoing compliance verification activities to ensure the safety of Canadians. Rigorous safety reviews and independent verification of licensee submissions were routinely performed for all new construction applications, with on-site follow-up taking place when major projects or issues were identified. For facilities under active clinical use, a program of comprehensive bi-annual compliance audits was launched in March 2006, and 54 facilities were inspected during the 2006-07 fiscal year. Ongoing compliance of all licensed facilities was assessed using a number of methods including the review of the annual compliance reports submitted by licensees.

Figure 5.
Figure 5. Medical Licenses for Linear Accelerators

4. Growth Area – Mitigating Risks to Nuclear Security

4.1       Amended Nuclear Security Regulations

The Commission introduced amendments to the Nuclear Security Regulations in Fall 2006. These amendments were based on previous documentation of best practices by the IAEA, along with CNSC consultation with licensees (through the Inter-Utility Security Working Group established in 2002), law enforcement and intelligence agencies and government. The amendments gave permanent codification to the requirements that were established after the terrorist events of September 2001, along with additional licensee security requirements. Principal security requirements resulting from the amendments, which apply to all nuclear power plants and high-risk facilities, were in areas such as tactical response, security systems, personal security, and intelligence analysis.

5. Growth Area – Creation of a Modern Regulatory Framework for Construction of New Nuclear Reactors in Canada

Given the two applications from Bruce Power and Ontario Power Generation for licences to prepare sites to build new power reactors, the CNSC was allocated funding to establish a New Reactor Licensing Division in 2006. These resources will enable the CNSC to develop a modern regulatory framework for licensing new reactors. In February 2006, the CNSC issued Licensing Process for New Nuclear Power Plants in Canada (INFO-0756) to explain the key steps in licensing a new reactor, taking into consideration the requirements of the NSCA and its regulations. In March 2007, a supplementary document was published to elaborate upon the review of reactor designs within the licensing and environmental assessment processes for new nuclear power plants in Canada.  Staff commenced preparation of the necessary framework and are documenting licensing requirements and guidelines to meet these requirements. Also under development are the design and siting requirements for new reactors, which will be issued for public comment in 2007.  This material builds upon the NSCA regulatory framework, licensing and compliance experience with Canada’s current reactors and on international guidelines and experience in such areas as design, acceptable dose levels, failure processes and shutdown systems. 

Environmental assessments (EAs) in the coming years will be conducted as a requirement of applications to construct new nuclear power reactors.  When the CNSC receives an application to prepare a site, this will trigger an EA under the CEAA to determine if the project may cause significant, adverse environmental effects, taking into account available mitigating measures. The Commission will not consider any licence application until an EA is complete and has reached a decision. The EA will include consideration of potential environmental effects throughout the plant’s life cycle. If an EA results in a decision of likelihood of adverse environmental effects that cannot be justified, the licensing process for that project will not proceed.

Bruce Power submitted a project description in January 2007, which the CNSC is reviewing. OPG submitted its project description shortly after year-end in April 2007. The EAs that triggered these applications to prepare sites for new reactors will require several years to complete. Site preparation will not commence before 2009, contingent upon assessment results.

5.1       International Cooperation on Power Reactors

The CNSC is participating in the Multinational Design Evaluation Program, under which 12 national regulatory bodies cooperate in evaluating reactor designs. This is a pilot project comparing the regulatory requirements from each of the participating countries and the regulatory activities that would be undertaken to verify these requirements have been met.  The program’s long-term goal is to harmonize regulatory requirements and regulatory practices. The group is set up under the Nuclear Energy Agency. 

Linda Keen, CNSC President and current President of the Convention on Nuclear Safety, met with the Governing Board of the World Association of Nuclear Operators (WANO) during its meeting in Québec City, Québec, in October 2006. This invitation from WANO, an industry organization created to improve safety at nuclear power plants around the world, was significant, as regulatory authorities do not attend the organization’s events. It afforded an exchange on the importance of considering safety in the operation of existing nuclear power plants and of modern regulatory frameworks in considering new nuclear power plants.

Through its continued role with the IAEA's Commission on Safety Standards, the CNSC's Executive Vice-President advised on the finalization of the IAEA's Safety Fundamentals document that sets the umbrella framework for the IAEA's suite of safety standards and documentation. In September 2006, the IAEA's General Conference approved this publication, which will be significant to all of the world’s regulators, including the CNSC, which has a commitment to adopting and adapting its regulatory framework to international standards. This commitment is in line with the Government of Canada’s policy on regulatory streamlining.

Priority 3 – Implement Improvement Initiatives

In September 2005, the CNSC committed to implementing a management system based on IAEA management system standards for nuclear regulatory bodies, but that would also conform to Government of Canada requirements.  The management system, when fully implemented, will provide further assurance that integrated, standardized and consistent practices, principles and processes are in place to support the CNSC in achieving its regulatory mandate and objectives.

In May 2006, the CNSC underwent a self-assessment completed by a Canadian team composed of members from outside the CNSC, which was against the IAEA standards. This resulted in a number of recommendations and suggestions for possible improvement. In response to this and in line with the recommendations from related reports of the Office of the Auditor General, the IAEA broadened the scope of existing initiated new projects to support further improvements in key CNSC regulatory processes and to implement integrated information technology to support these processes.

These projects were integrated in November 2006 under the umbrella of the Integrated Improvement Initiatives Program (I3P), an overriding program comprising improvement initiatives/ projects in five key areas:

  1. management system implementation;
  2. integrated planning and performance management;
  3. compliance;
  4. licensing; and
  5. leadership development.

The I3P made progress during 2006-07 and by the end of the fiscal year, program preparation activities and objectives were complete.  Among these were the creation of a formal program to manage the projects in an integrated fashion; the hiring of a program director and project manager for the Integrated Systems Project; approval of the I3P integrated program charter, which included a revised governance structure; approval of a change management strategy; the development of level-1 and -2 process maps for re-engineering the licensing and compliance processes within the CNSC; and integration of project management of the planning and performance measurement modules of the Integrated Planning and Performance Management Initiative.

Current and expected growth at the CNSC and the need for excellence in leadership capabilities necessitate a strategic, cohesive approach to leadership development. The CNSC has established several elements that support the development of leadership skills and provide management and staff with information on various courses, symposia, tests and other means. During the 2006-07 fiscal year, the CNSC began updating its Leadership Development Program, which will ensure that current and future CNSC leaders have competencies, behaviours and attitudes consistent with the organization’s values and commitment to excellence. The CNSC Executive Committee approved a Leadership Development Charter and the first of three new phases will be implemented by January 2008.