W
hen a resource company and a First Nation
announced in July that they had formed a
partnership to build a liquefied natural gas plant
on Aboriginal land on Vancouver Island, the news shone
a spotlight on an emerging reality: First Nations in British
Columbia are being engaged at a more meaningful level
than ever before by the resource development sector.
The way business is conducted in BC’s resource industry is
changing. First Nations now have a stronger voice when
dealing with projects proposed on their territory. Resource
companies are continuing to transform their relationships
with First Nations communities. The rules of engagement
are undergoing a fundamental change. Once simply
meeting regulations, companies are now embarking on
long-term, comprehensive relationships that, ultimately,
bring the greatest benefit to all.
A landmark ruling in June by the Supreme Court of
Canada will help speed along this evolving engagement
process. In a unanimous decision, the court granted
declaration of Aboriginal title to more than 1,700 square
kilometres of land in BC to the Tsilhqot’in First Nation.
This unprecedented ruling has significant implications
for future economic and resource development on First
Nations lands, and draws further attention to major
pipeline projects, such as the Northern Gateway, that are
poised to cross several First Nations territories.
Recognizing that stakeholder engagement must be not
only done better, but also differently is good news for
everyone. Here’s why:
Evolving to Long-Term
Relationships
For years, the procedures for engagement with groups that
would be affected by resource development projects, such
as First Nations and local communities, was driven by the
regulatory process. It was quite prescriptive: companies
were required only to provide information about the
project, hold engagement meetings, consider the views
of communities, and document the consultation process.
Our clients, both energy companies and First Nations
alike, tell us that the traditional transactional approach has
not produced a satisfactory long-term result for anyone.
For their part, companies are realizing that to improve
outcomes, they must gain a deeper understanding of
Aboriginal values and relationships with the land, and
engage First Nations during the project planning and
design phases to discuss, consider, and address project
risks and benefits. It is imperative that these relationships
are built on a foundation of mutual respect and take the
long-term view. Energy companies have also recognized
they must deepen their relationships with environmental
and other non-governmental organizations (NGOs), whose
acceptance of a particular project can lend the weight of
consensus to a company’s resource development plan.
The new approach includes initiatives that contribute to
the long-term well-being of the communities impacted
by development activities. It means working with local
leaders to identify areas where the greatest benefits can
be had, investing in them, establishing specific goals, and
measuring progress through performance metrics. Over
time, the effectiveness of these goals and investments can
be benchmarked against the results the energy company
has achieved with other communities.
At the same time, we’ve heard from our First Nations
clients that they recognize the need to take a more
comprehensive approach. They’re looking at responsible
energy development as not only a way to ensure the
long-term sustainability of their communities and the
environment, but also as a way to drive economic
independence. There’s now a heightened focus on
community benefits, greater decision-making power, and
engagement as pa