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Section I – Overview

Minister's Message

It is my pleasure to present the Departmental Performance Report for Natural Resources Canada (NRCan) for the period ending March 31, 2008.

Canada's great wealth of natural resources remains a vital part of our economy. Since 2002, we have enjoyed a significant commodities boom, driven by a sustained period of expansion and robust growth in the global economy. Strong demand for natural resources, led primarily by the United States and large emerging economies such as China, resulted in surging commodity prices.

The conditions that drove this increase are anticipated to re-emerge when the economy recovers from the current downturn. Thus, over the long term, prices for Canadians resource commodities are expected to remain high compared to historical standards. This is the prevailing consensus despite the recent downward trend.

NRCan identified five priorities in its 2007‑08 Report on Plans and Priorities critical to the realization of its strategic outcomes and expected results. These priorities shape our integrated effort in the delivery of our policies, programs and science and technology to ensure the sustainable development and responsible use of our mineral, energy and forest resources.

Clean Air for all Canadians — NRCan worked closely with Environment Canada to finalize the Regulatory Framework for Industrial Greenhouse Gas Emissions and to develop a horizontal framework for the effective inter-departmental management of climate change and clean air programming. Moreover, the ecoENERGY initiatives — our contribution to Canada's ecoACTION plan — are helping Canadians become more efficient consumers of energy in their homes, businesses and vehicles by encouraging choices that save energy and money and protect our environment.

Smarter, Faster and More Effective Regulations — Even as Canada's natural resource sectors position themselves to weather the current economic downturn, other structural challenges remain. Many of these are common across all resource industries. Until recently, for example, the federal regulatory review process for major resource projects was frustrating for both industry and investors. I am proud that we took decisive action this past year to address these concerns by establishing the Major Projects Management Office. This new office provides stakeholders with a single point of entry into the federal regulatory process and will improve the timelines and consistency of federal regulatory decisions. This initiative will also improve the competitiveness of Canada's resource industries while providing the scientific and technical capacity needed to uphold Canada's world-class environmental and social standards.

Enhancing Canada's Forest Sector Competitiveness — Our Government is determined to create a more prosperous future for Canada's forest sector. Throughout the past year, we worked closely with stakeholders to foster new opportunities and innovation. Among other actions, we created the Forest Industry Long-Term Competitiveness Strategy to support innovation, tap into new markets and help the forest sector develop value-added products. We also supported the creation of the world's largest public-private partnership in forest research and development — FPInnovations.

Mitigating the Impact of the Mountain Pine Beetle (MPB) — Forest ecosystems are vulnerable to threats from natural and man-made disturbances such as pest infestation, wildfire and climate change. These same threats can also directly affect industry and the communities that depend upon forest products. Accordingly, our Government allocated $200 million to help combat the MPB infestation in British Columbia and Alberta. This funding is supporting a multi-pronged effort to mitigate the impacts of the beetle infestation.

Strengthening Canada's Mining Industry — In the mining sector, our Government continued to position itself as a leader in research and innovation through the revitalization of, and decision to relocate the CANMET Materials Technology Laboratory and by supporting the Canadian Mining Innovation Council. We were instrumental in developing the Donkin Coal Block Opportunity Act in an effort to bring economic and social benefits to the province of Nova Scotia. NRCan also used its geoscience expertise to help discover new resource deposits which create further economic opportunities for Canadians.

By pursuing these and many other initiatives, our Government is demonstrating its commitment to taking real action on issues that are of the great importance to Canadians: tackling climate change, increasing the competitiveness of Canadian industry, making advances in innovation, and developing science and technology. In partnership with provinces, territories and the private sector, our Government is making important progress to ensure that we secure a strong resource future for Canadians.

Management Representation Statement

Summary Information

NRCan develops, implements and delivers integrated policies, programs, and science and technology (S&T) for the sustainable development and responsible use of Canada's minerals, metals, energy and forestry resources. The department uses its expertise in earth sciences to collect and disseminate information used to better understand Canada's landmass. The department also maintains key roles related to the safety and security of people and natural resources, including the regulation of explosives and the security of natural resource infrastructure and supply. It represents Canada at the international level to meet the country's global commitments related to natural resources.

NRCan's Minister is responsible for, or has responsibilities under, more than 30 Acts of Parliament. The core powers, duties and functions are set forth in the Department of Natural Resources Act, the Resources and Technical Surveys Act and the Forestry Act. The remaining Acts set out the terms for the management of Crown lands and of Canada's natural resource policies, including energy and nuclear policy.

The department's work is concentrated in areas of core federal jurisdiction that fall within its legislated roles and responsibilities, which include:

• national objectives related to economic development, environmental protection, supply security and resource-related health and safety;
• natural resource management for Crown lands, the North and offshore areas;
• uranium and nuclear power; and
• international and interprovincial trade.

In carrying out these responsibilities, NRCan works closely with other federal departments with resource-related responsibilities and supports the federal role in regional development and Aboriginal affairs in matters related to the resource sectors. NRCan also works in areas of shared responsibility with the provinces.

Financial Resources ($M)

Main Estimates	Total Authorities	Actual Spending
2,145.1	3,540.4	3,341.1

Human Resources (FTEs)

Planned	Actual	Difference
4,289	4,320	31

 

Departmental Results Structure

NRCan manages its program delivery through one strategic outcome and four major program activities: Earth Sciences, Energy, Sustainable Forest, and Minerals and Metals. Each of NRCan's program activities is divided into smaller groups of activities that are designed to achieve intermediate outcomes that collectively contribute to the realization of the overall departmental strategic outcome. The Corporate Management program activity provides internal support and enables the delivery of other departmental programs.

Departmental Priorities

NRCan identified the following program priorities as critical to the realization of the strategic outcome. These priorities shape our integrated effort in the delivery of our policies, programs and science and technology (S&T).

Priorities	Type*	Assessment of Progress Toward Priorities
1. Clean Air for all Canadians	Previously committed	On track
2. Smarter, Faster and More Effective Regulation	Ongoing	On track
3. Enhancing Canada's Forest Sector Competitiveness	Previously committed	On track
4. Mitigating the Impact of the Mountain Pine Beetle Infestation	Previously committed	On track
5. Strengthening Canada's Mining Industry	Ongoing	On track

*An ongoing priority has no end date; a previously committed priority has an estimated end date and was committed to in prior budgets or main estimates documents.

Program Activities by Strategic Outcome

Strategic Outcome Canadians derive sustainable social and economic benefits from the assessment, development and use of energy, forest and mineral resources, and have the knowledge to mitigate environmental impacts and respond effectively to natural and man-made hazards
Program Activity	Expected Results	Spending 1 ($ millions)		Contributes to the following priority (or statutory obligations)
		Planned	Actual
Earth Sciences 2	Earth sciences knowledge and tools enable Canadians to achieve economic opportunities, a clean environment, and adapt to a changing climate, in safety and security	233.8	251.6	Clean Air for All Canadians Strengthening Canada's Mining Industry
Energy 3	Canadians benefit economically, environmentally and socially from the sustainable production, development and use of Canada's abundant energy resources	543.3	419.1	Clean Air for All Canadians Smarter, Faster and More Effective Regulation
Sustainable Forest 4	Healthy forests continue to provide balanced social, environmental and economic benefits to Canadians	268.3	206.7	Enhancing Canada's Forest Sector Competitiveness Mitigating the Impact of the Mountain Pine Beetle Infestation
Minerals and Metals 5	Canadians derive sustainable social and economic net benefits from the assessment, development and use of mineral expertise, mineral resources, and related industries	57.5	75.7	Clean Air for all Canadians Smarter, Faster and More Effective Regulation Strengthening Canada's Mining Industry
Sub-Total		1,102.9	953.1
Statutory Payments for Atlantic Offshore
Energy 6	Canadians benefit economically, environmentally and socially from the sustainable production, development and use of Canada's abundant energy resources	1,050.6	2,388.0	Statutory Obligations
Total NRCan		2,153.5	3,341.1

1. The resources for the Corporate Management Program Activity are distributed across all other program activities.

2. Includes Earth Sciences – Geomatics Canada Revolving Fund.

3. Actual spending was less than planned as $100 million in program expenditures were deferred to future years.

4. Actual spending was less than planned for the Federal Response to the Mountain Pine Beetle Infestation in British Columbia because funding in the amount of $43.6 million was transferred to Western Economic Diversification and to Transport Canada, thereby reducing planned expenditures within NRCan. Moreover, funding for the Forest Industry Long Term Competitiveness Initiative in the amount of $10.4 million was deferred for future year spending.

5. Actual spending was higher than anticipated in program management and support in the amount of $13.6 million which reflects a change in reporting of some corporate activities (i.e. shared services, communications and information technology). Funding received via the Supplementary Estimates for the Relocation and Renewal of the CANMET Laboratories of $2.2 million also contributed to higher than planned spending.

6. Actual spending includes the following statutory payments: Nova Scotia Offshore Revenue Account $493.2 million; Newfoundland Offshore Petroleum Resource Revenue Fund $1.7 billion; and Newfoundland Fiscal Equalization Offset Payments $188.6 million. These expenditures were largely offset by oil and gas royalty revenues received during the year ($1.7 billion). Pursuant to the Atlantic Offshore Accords, NRCan receives the federal royalty revenues related to the offshore - which were greater than planned due to significant increases in oil and gas production - and subsequently makes payments to the provinces equivalent to the royalty revenues received. Refer to payge 72 for more information on revenues.

 

NRCan's strategic context is framed by the three spheres of Canada's natural resource sectors:

• our rich natural resource endowment;
• the people of Canada and their ideas (i.e., their expectations, knowledge, skill and ingenuity); and
• the public and private sector systems that link people and ideas to resources.

Within this broad resource-sector framework, NRCan's activities during fiscal 2007‑08 were directed towards the realization of our strategic outcome: Canadians derive sustainable social and economic benefits from the assessment, development and use of energy, forest and mineral resources, and have the knowledge to mitigate environmental impacts and respond effectively to natural and man-made hazards. This strategic outcome has three key elements:

• economic development;
• environmental responsibility; and
• safety, security and stewardship.

During 2007‑08, the global economic environment for natural resources remained strong; however, not all of Canada's resource sectors benefited equally. The energy sector remains very strong, while at the same time Canada's economy grew faster than primary energy consumption indicating improvements in energy efficiency. The minerals and metals sector remained strong, with 2007 being a record year for exploration investment. The forest sector continues to face a range of significant economic and technological challenges, while the ongoing mountain pine beetle (MPB) infestation ravages forests in Western Canada.

The imperative for strong and clearly visible environmental responsibility in the resource sectors strengthened over 2007‑08. Canadians and the world expect that resource exploration and development should benefit the economy and society, with due consideration for environmental integrity. Clean air, a changing climate, and the response of ecosystems to resource exploration and development were key global resource sectors issues in 2007‑08. For the Canadian resource sector, the environmental responsibility agenda is evolving so as to cut across traditional sector boundaries; for example, oil sands development is impacting global perceptions of the sustainable management of the Canadian boreal forest.

The intensity of international interest in the Arctic continued to increase in 2007‑08 as a result of the long-term trend of reduced Arctic sea ice.

Other than the ongoing MPB infestation, natural disasters, resource exploration and development hazards stayed within historic average limits during 2007‑08.

 

Summary of Performance by Departmental Priority

Our Program Priorities

Clean air for all Canadians — In 2007‑08, clean air for all Canadians was a key priority for NRCan. With the introduction of the Clean Air Agenda, the Government has committed to reduce greenhouse gas (GHG) emissions and improve air quality for Canadians. The centrepiece of this approach is mandatory national regulation of GHG and air pollutant emissions from major sources — industry, transportation, and consumer and commercial products. The Government has also committed to developing regulations to address indoor air quality.

NRCan worked closely with Environment Canada to finalize the Regulatory Framework for Industrial GHG emissions, consulting with stakeholders including the natural resource industries affected by the new regulations. Under the Clean Air Agenda, NRCan has been tasked with proposing amendments to the Energy Efficiency Act to strengthen and broaden the Government's ability to improve the energy performance of equipment and appliances. NRCan also worked extensively with Environment Canada and other stakeholders to consider revisions to Canada's smelting sector in order to reduce sulphur dioxide, particulate and other emissions.

In 2007, the department also launched the suite of ecoENERGY initiatives. Their objectives include reducing the harmful effects of energy production and consumption that accounts for 80 percent of Canada's annual GHG emissions and 85 percent of smog-causing nitrogen oxide emissions, while generating innovative clean energy technologies that Canada can market abroad. NRCan continues to contribute to the federal environmental agenda through three main program areas:

• Energy Efficiency: encouraging Canadians to focus on energy efficiency and conservation — Regulatory measures, such as mandated fuel economy for light duty vehicles and lower power consumption standards for consumer products, will eliminate the most energy-inefficient products from the marketplace. Complementary energy efficiency programs will lead consumers and businesses to even higher efficiency levels through a range of information, tools, training and focussed incentives.
• Renewable Energy: providing financial incentives for emerging renewable energy sources including wind, biomass, hydro, geothermal, solar, ocean energy and biofuels that currently face a cost disadvantage as compared to fossil fuel energy — These technologies will be important components of a cleaner, more diversified energy supply mix.
• Science and Technology: investing in new technologies for clean energy and cleaner supply and use of energy — Long-term reductions in GHG emissions will require sustained research and development (R&D) investment for the development of clean energy technologies. Examples include technologies for clean coal, carbon capture and storage, and reducing the oil sands environmental impact. In addition, light-weight materials are being developed to reduce automobile GHG emissions, and innovative methods are being developed to transform mine waste sites into productive land for growing biofuel crops.

Smarter, Faster and More Effective Regulation — Canada is facing unprecedented growth in the natural resource sectors with as much as $300 billion in new developments planned over the next decade. As the number of new projects continues to grow, there has been increasing pressure on the federal government to improve the performance of the regulatory system for major resource projects.

To respond to the significant growth in the number of resource projects and move forward on commitments to create a more accountable, predictable and timely regulatory review process, the Government has allocated $150 million over five years to establish the Major Projects Management Office (MPMO) within NRCan and to increase the scientific and technical capacity of key regulatory departments. Federal partners include the Canadian Environmental Assessment Agency, the Department of Fisheries and Oceans, Indian and Northern Affairs, Transport Canada, Environment Canada, the National Energy Board, and the Canadian Nuclear Safety Commission.

The MPMO will provide overarching management of the federal regulatory process for major natural resource projects. It will provide a single point of entry into the federal regulatory system for all stakeholders and work with other regulatory departments to identify areas where the consistency, efficiency and effectiveness of the federal regulatory process can be improved. New capacity funding provided through this initiative will ensure that key regulatory departments are positioned to respond to the significant growth in the number of new resource projects and will better enable departments to meet their legal responsibilities for Aboriginal Crown consultation on major resource projects.

This initiative will provide the oversight and capacity needed to address the issues affecting the performance of the federal regulatory system. In short, it will lay the foundation for a more predictable and accountable regulatory system that will improve the competitiveness of Canada's resource industries while ensuring careful consideration of environmental standards and technical requirements. To obtain more information on this horizontal initiative for which NRCan is the lead department, visit http://www.tbs-sct.gc.ca/dpr-rmr/st-ts-eng.asp.

Enhancing Canada's Forest Sector Competitiveness — Canada's forest sector is undergoing a major transformation as it faces the challenges of a strong Canadian currency, a collapsed U.S. housing market and generally lower commodity prices. At the same time, global competitors are taking advantage of access to cheaper wood, faster growing trees, lower labour costs and lighter regulatory burdens. Under the $122.5‑million Forest Industry Long-Term Competitiveness Strategy (FILTCS), NRCan is making significant investments that are leading to the development of innovative technologies and expanded access to new and existing markets.

In 2007‑08, an important step in strengthening forest sector innovation and transformation was the continued development of the national forest research institute – FPInnovations. Created through the merger of Paprican, Forest Engineering Research Institute of Canada (FERIC), Forintek and the NRCan-created Canadian Wood Fibre Centre and supported by funding from FILTCS, the institute is working to maximize the value of Canada's forest fibre and develop new products and market opportunities. In collaboration with FPInnovations and other forest sector partners, investments under FILTCS are leading to the development of emerging technologies under the Transformative Technologies Program and expanded access to new and existing markets through innovative programs, such as Canada Wood Export Program and Value to Wood Program. More information can be found at http://www.tbs-sct.gc.ca/dpr-rmr/st-ts-eng.asp.

Mitigating the Impact of the Mountain Pine Beetle Infestation — The devastation inflicted on the forests of British Columbia (B.C.) by the mountain pine beetle is unprecedented. Current and future economic losses to the forest sector are in the billions of dollars, while the possible spread of the infestation threatens the ecological and economic sustainability of Alberta's mountain forests and the greater boreal forest, which stretches from northeastern B.C. to Newfoundland.

NRCan is playing a key role in the implementation of the $200‑million Federal Response to the Mountain Pine Beetle Infestation Program. Working closely with provincial counterparts, the department is delivering on a comprehensive, integrated strategy to combat the beetle infestation and its economic, ecological and social impacts. In 2007‑08, efforts included surveying and mapping several million hectares of forest; cut-and-burn activities to slow the spread; research to find alternative uses for impacted timber; forest fire fuel reduction activities with Aboriginal and non-Aboriginal communities; and assistance for regional and local economic diversification activities. More information on these initiatives can be found at http://www.tbs-sct.gc.ca/dpr-rmr/st-ts-eng.asp.

Strengthening Canada's Mining Industry — Over the past year, Canada continued to attract the attention of investors in search of new mineral deposits, maintaining its lead position in worldwide exploration and mineral development-related financing. NRCan contributed to building an attractive investment climate for Canada's minerals and metals sector, while enabling the competitiveness and encouraging the responsibility of our related industries. The 2008 Federal Budget supported the discovery of new, or extensions of, known base metal deposits in Canada by extending eligibility for the Mining Exploration Tax Credit and committing $34 million over the next two years for geological mapping. Led by the department, the Federal, Provincial and Territorial Mines Ministers Conference in 2007 unanimously supported development of a Canada-wide mining research and innovation strategy. To underscore the Government's renewed approach to public-private partnerships in conducting R&D, the 2007 Federal Budget announced the relocation of NRCan's revitalized CANMET Materials Technology Laboratory to McMaster University's Innovation Park in Hamilton, Ontario. In addition, NRCan, working with the province of Nova Scotia, opened up a new opportunity for coal development in Atlantic Canada through the implementation of the Donkin Coal Block Opportunity Act.

NRCan not only helped to ensure that the Canadian minerals and mining industry remained globally competitive but simultaneously worked to ensure that corporate responsibility and sustainable development governance were enhanced both in Canada and abroad. For example, in 2007, the Government of Canada announced support for the Extractive Industries Transparency Initiative. This international multi-stakeholder initiative strengthens governance by improving transparency and accountability in the extractives sector. With good governance, revenues generated from natural resources can foster economic growth and reduce poverty. In addition, progress was made on the Canada-Chile partnership Framework and in Canada's leadership of the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development. More information can be found at http://www.nrcan.gc.ca/mms/topi-suje/min_e.htm.

Our Management Priorities

In the context of the challenges and opportunities facing the natural resource sectors and modern public sector management, NRCan is working to become a more integrated, knowledge-based and results-oriented organization. As a priority, the department continues with the implementation of its North Star initiative, which includes policy, structural and organizational changes that serve to better position NRCan as an influential science and policy leader, nationally and globally, in the advancement of Government of Canada priorities.

In terms of strengthening the integrity of the corporate management structure, the department developed a natural resources policy framework to allow it to shift from a sectoral approach to a more integrated model where the economic, environmental and social needs of Canadians are paramount. The framework encourages collective leadership, innovative collaboration and information sharing across the department and with stakeholders in pursuit of common goals.

Regarding portfolio coordination, the department has developed — through informal and formal mechanisms such as Memoranda of Understanding and funding arrangements — effective relationships with portfolio entities at the working and leadership levels to ensure policy coherence and support as required. In the meantime, the department is evaluating options and models to better integrate coordination across the full scope of the portfolio.

From a human resources (HR) perspective, NRCan adopted a comprehensive talent management approach supporting the Clerk's public service renewal action plan. This effort included the development of ten specific initiatives to renew the department's workforce and ensure a sustainable, diverse and skilled talent pool. As well, NRCan continued to make progress toward the integration of HR and business planning with the approval of NRCan's first department-wide HR plan.

Among the challenges confronting the department over the next five years, real property represents one of the more urgent priorities. By objective standards, with an average age of 45 years, the inventory of NRCan's diverse asset holdings is considered to be very tired. But the department is well positioned to capitalize on its current strengths and tool kits of solutions to develop an effective real property management framework in support of program and service delivery.

 

Performance Status by Program Activity and Intermediate Outcomes

The table below presents performance status by program activity and intermediate outcomes based on the core suite of performance indicators presented in the 2007‑08 Report on Plans and Priorities. Performance information on these intermediate outcomes can be found in Section II.

Intermediate Outcomes	Key Performance Indicators / Targets	Performance Status
PROGRAM ACTIVITY — EARTH SCIENCES — Earth sciences knowledge and tools enable Canadians to achieve economic opportunities, a clean environment, and adapt to a changing climate, in safety and security
New economic opportunities created for Canadians	Increased mineral and energy exploration investment made by the private sector as a result of public geoscience investments / By 2013‑2014, five times the total program sub-sub-activity investment in geoscience	On track (all)
	Meet the legal requirements to provide a survey system on Canada Lands to enable economic development / By 2008‑09 and ongoing: no successful challenges of land tenure on Canada Lands
Reduced stress on the environmental ecosystems and human health	The use of NRCan assessments of environmental hazards that result in corrective actions / By 2007‑08, all MERA (mineral and energy resource assessment) requested assessments meet requirements and are completed on time; by 2010‑11, 75 percent of promised publications are produced in the first three years of the program	Expectations met (all)
	Percentage of key Canadian aquifers with complete assessments / By 2010‑11, nine aquifers completed
Canadians and their institutions understand and prepare for the effects of a changing climate	The availability of NRCan information to Canadians in developing strategies to adapt to climate change / By 2009‑10, agreements are completed with partners who will undertake adaptation and mitigation projects; by 2008‑09 and ongoing: agreements are in place to develop the collaboration and tools	On track
Increased safety and security of Canadians	NRCan meets its emergency response obligations in the event of real or simulated civil emergencies / By 2008‑09 and ongoing: obligations fully met	Expectations met
	Increased use of NRCan hazard assessments in planning and hazard mitigation decisions / By 2010‑11, three revisions with an existing collaborating institution	On track
	Meet international treaty obligations to maintain a well-defined Canada-U.S. boundary for border security purposes / By 2008‑09 and ongoing: acceptance of Joint Annual Report	Expectations met
PROGRAM ACTIVITY — ENERGY — Canadians benefit economically, environmentally, and socially from the sustainable production, development and use of Canada's abundant energy resources
Domestic and international energy policy analysis, development and advice that supports sustainable development of Canada's energy sector	Canada's energy contribution to GDP / Maintain current level	On track (all)
	Canada's energy exports / Maintain current level
	Canada's emissions intensity / Reduce Canada's emissions intensity
Sustainable development and safe and reliable delivery of electricity with a reduced environmental footprint	Number of petajoules (PJ) of zero or low emission electrical and thermal energy in Canada / Number of petajoules	On track (all)
	Index of electricity reliability / 99 percent reliability
	Emissions intensity of electricity generation in Canada / Emissions intensity reduced
	Public confidence in nuclear fuel cycle activities / Increase in public confidence
A fair, efficient and competitive oil, natural gas and petroleum products marketplace that is consistent with Canada's social and environmental goals	Increased investment in Canada's oil and natural gas industry / Positive trend	On track (all)
	Increased contributions to GDP from Canada's oil and natural gas industry / Positive trend
	Increased public awareness and understanding of petroleum markets / Positive feedback; media references
Improved energy efficiency of all sectors and increased production and use of alternative transportation fuels in Canada	Percent improvements in energy efficiency / Positive trend	On track (all)
	The number of petajoules energy savings due to energy efficiency / Positive trend
	Renewable fuel production as a percentage of total transportation fuel / Positive trend
	Alternative fuel use as a percentage of total transportation fuel / Positive trend
Canadians derive new economic, environmental and social benefits through federal energy S&T	Technology scale-up / Relative number of our projects moving from one category to the next — bench-scale research, pilot-scale research, demonstration, commercialization	On track (all)
	Technology focussing / Project distribution along the innovation curve
	Codes published, presentations, active Memorandum of Understanding (MOUs), patents, licences issued / Number of codes published, presentations, active MOU, patents, licences issued
	Energy S&T partnerships both domestic and international / Number of partnerships
PROGRAM ACTIVITY — SUSTAINABLE FOREST — Healthy forests continue to provide balanced social, environmental and economic benefits to Canadians
An integrated national forest sector innovation system that addresses current and emerging issues	A national forest research institute, which includes the new NRCan-created Canadian Wood Fibre Centre, is established and defines innovation priorities and goals to improve the competitiveness of the forest sector in Canada / Established by 2007‑08	Expectations met
	The Canadian Wood Fibre Centre is fully operational and has integrated its priorities with the national forest research institute / Fully operational	Expectations met
	Academia is actively engaged in the development and launch of a national forest innovation work program / Academia is fully represented by 2012	On track
Canada's forest industry competes successfully in the global forest products market	Reduction of technical barriers to wood use in offshore, and North American markets / Identify and prioritize existing trade barriers by 2008‑09	On track (all)
	Improved competitiveness and productivity of the Canadian secondary-manufacturing wood sector / Constraints and opportunities of global value-added wood markets are identified by 2009
	Expansion of wood markets in targeted offshore, and North American markets / Increase in wood exports by 10 percent over 5 years ending 2010
Forest losses are addressed through the provision of balanced social, economic and environmental information and advice	Implementation of the controlling the spread element of the Federal Response to the Mountain Pine Beetle Infestation, including mitigating the eastern spread of the beetle / Full implementation by 2007‑08	Expectations met
	Canadian jurisdictions and the value of their contributions coordinating their operational management of forest pest risks under a national forest pest strategy / Number of Canadian jurisdictions	On track
	Canadian jurisdictions and the value of their contributions coordinating their operational management of wildland fire risks under the Canadian Wildland Fire Strategy / Number of Canadian jurisdictions	On track
Canada is a globally recognized leader of forest sector sustainability	Number of forest countries actively committed to the Canada-led initiative to secure an international agreement on sustainable forest management / 35 countries by 2010	On track
	Value of leveraged contributions in key bilateral science and technology relationships, including the U.S., Russia, and China / A program of technical collaboration is established and implemented with Russia by 2007‑08	Expectations met
Canada's climate change forest reporting obligations are met and forest-based options for adaptation to, and mitigation of, climate change are developed	Information and options for inclusion of forests in adaptation strategies, including options for managing Canada's forest / Completion of analysis and development of options by 2010	On track
	Forest-related information is reported in Canada's National Inventory Report of Greenhouse Gas Sources and Sinks to the U.N. Framework Convention on Climate Change by April of each year / Annual compliance	Expectations met
Forest-dependent communities have choices and options for economic opportunities	Implementation of the protecting forests and communities element of the Federal Response to the Mountain Pine Beetle Infestation, including developing options for new natural resource-based opportunities for affected communities / Full implementation by 2007‑08	Expectations met
	Partnerships and their contributions under the Forest Communities Program / 100 community partners by 2009	On track
	Establishment of baseline data on the resilience of Aboriginal and non-Aboriginal forest-based communities / Baseline data developed by end of fiscal 2008‑09	On track
PROGRAM ACTIVITY — MINERALS AND METALS — Canadians derive sustainable social and economic net benefits from the assessment, development and use of mineral expertise, mineral resources, and related industries
Investment in Canada's exploration and mining industries is strengthened	Canada accounts for more than 35 percent of the equity raised for mineral exploration and mining in the world / 35 percent or more	Expectations met (all)
	Canada accounts for more than 15 percent of global expenditures on mineral exploration / 15 percent of global expenditures
	The rate of decline in base-metal reserves is moderated / Stay within 15 percent of current levels
Market access for mineral and metal commodities (including recyclables) and related industries is promoted and, where necessary, protected; Canada's international prominence and investment in mining are secured	Unnecessary restrictions on market access and investment are minimized or eliminated / Canada remains among the top five countries in global mineral exploration spending	Expectations met
	Canada influences intergovernmental organizations to develop a coordinated program to address the United Nations Commission on Sustainable Development's 2010 agenda for mining sustainability / 100 percent of key international agreements reflect Canadian regulatory and sustainable development approaches	On track
Canadians benefit (i.e., higher quality of life) from R&D with respect to minerals, metals and value-added products	Labor and total factor productivity growth in Canada's minerals and metals industries are greater than the national average for all industries / Greater than the national average for all industries	Expectations met
	The emission of greenhouse gases and pollutants by the minerals and metals and associated industries (e.g., transportation) are reduced / Reduced emissions by minerals and metals associated industries
	The health and safety of workers in the mining industry are improved / Fewer work-related mining accidents and deaths
The safety and security of workers and the public throughout Canada are improved with respect to explosives	The number of explosives-related accidents is below or at least comparable to the average of the previous three years / Below or comparable to the average of the previous three years	Expectations met (all)
	The quantity of explosives stolen is below or at least comparable to the average of the previous three years / Below or comparable to the average of the previous three years
Canadians are provided with information to improve decisions regarding minerals and metals Regulatory programs meet Government of Canada objectives	Canadians receive relevant, accurate, timely and accessible statistics, as defined in Statistics Canada's Quality Assurance Framework, on the minerals and metals industries / 100 percent compliance	Expectations met (all)
	The environmental assessments of mining projects under the Canadian Environmental Assessment Act are completed within agreed-upon time lines / 80 percent completed within agreed-upon timelines
	The regulatory process (e.g., the environmental assessment process, and regulatory permitting, licensing and authorization) are streamlined through a single-window approach / Provision of advice
	The quantity of rough diamonds imported from and exported to non-participants in the Kimberley Process / Nil trade
Policies enhance the productivity and sustainability of the minerals and metals industries	Federal policies are developed in partnership with, and supported by, provincial and territorial mines ministers / High level of collaboration	Expectations met (all)
	Aboriginals account for five percent of the labor force in Canada's mining industry / five percent of labor force
	Aboriginal awareness of the benefits and impacts of mining is enhanced / All requests for information honoured up to level of resources is available

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