September 6, 2013 1

Long-Term Energy Plan Report

First Nation/Aboriginal Sessions Summer 2013


This summer, the Ministry of Energy along with the Ontario Power Authority held
a number of sessions with First Nation groups throughout Ontario as part of the
efforts to update the Government of Ontarios Long-Term Energy Plan (LTEP).
The LTEP is Ontarios high-level policy statement on the direction of the
provinces electricity sector and is due to be released in late October or
November of this year. The meetings were held in the following locations and on
the following dates:

Fort William First Nation July 23
Rainy River First Nation July 24
Rama First Nation July 31
Timmins Friendship Centre August 12
Chippewa of the Thames First Nation August 15
Algonquins of Ontario, Pembroke, ON September 13

The meetings were all well attended with a great deal of discussion about the
components making up the LTEP, namely the supply mix, conservation,
transmission, regional needs and Aboriginal participation in the electricity sector.
There were many in-depth discussions and observations made during the
sessions, and it was apparent that some of the participants were involved in the
last round of discussions prior to the release of the first LTEP in 2010.

Before getting into the heart of the talks there are a couple of items that should
be discussed at the outset. There seemed to be a certain amount of disbelief by
the participants in the process. During the last discussions about the Long-Term
Energy Plan and the Integrated Power Supply Plan (IPSP) First Nations
submitted comments, none of which seemed to take root. Worse, there was no
follow up or response to the communities that provided input. The other point that
was raised by participants was what document is The Plan: is it the IPSP or the
LTEP? There is a seeming issue of redundancy here that should be resolved. As
well, the Ministry of Energy and the OPA should demonstrate that Aboriginal
input was taken into consideration or that the submissions were listened to. A
combination of both would be ideal.

All sessions had as a recurring theme the high cost of electricity for community
members, and what was most particularly irksome to the participants was the
delivery charge that is added to each ratepayers bill. In many instances the cost
of delivery was equal to or exceeded the cost of power. This does prove to be a
very sore point to First Nation people in that the transmission lines were build
across traditional territories and reserve lands without any kind of compensation,
even though current approaches call for First Nation inclusion for new

September 6, 2013 2
developments. This situation has a ring of disingenuousness to it, and it was
brought up time and time again during the different sessions.

Another frequent theme was that of the supply mix and a strong bias against
nuclear power. Concerns were voiced that nuclear power should not be
considered as green or renewable, that the dangers of long-term usage are not
fully understood by the majority of the population. Some participants felt that
these dangers revolved around the transportation of nuclear materials, the long-
term storage of nuclear waste as well as the possible dangers of an accident
involving a nuclear power plant. While the subject did not receive huge emphasis
those that brought it forward seemed to be well informed in their opposition.

There was also a general sentiment that conservation measures were not
applied or emphasized in an equal way. It seemed to many participants that
conservation is aimed at the north, yet in the cities the lights in the majority of
office buildings are left on through the night.

It is also important to note that in all sessions there was an unequivocal
statement that this was not consultation. That is to say this was not to be
considered a process where the Crown is fulfilling any duty to consult.

The July 23, 2013 meeting at the Fort William First Nation featured attendees
from many northwest Ontario communities. The high cost of electricity bills for
individual community members was the subject of much discussion. Attendees
stated that in many instances the delivery charge is greater than the actual cost
of the electricity. It was pointed out that the cost of delivery in northern Ontario is
substantially higher because of the distances involved. Attendees generally felt
that the delivery charge puts electricity increasingly out of reach for community
members.

Also discussed was the dynamic between northern and southern Ontario. It was
evident that the attendees felt that the north was being used as a supplier of
resources for the south. Further, there was a strong belief that the norths voices
are not heard by the provincial government in the same way as those in the
south. Some attendees also felt that since there is a constant need for the south
to make use of northern resources then there should be a reciprocal notion that
resources for a transmission line to the Little Jackfish River project should be
included in a Long-Term Energy Plan.

Some attendees took issue with the lack of inclusion of the diesel systems in the
remote communities in the supply mix considerations for Ontario, yet indications
are that diesel generation supplies 20 MW of power to these communities.
Attendees also expressed a very strong sentiment that the next Long-Term
Energy Plan should include a commitment to connecting the remote communities
to Ontarios transmission system.


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Conservation was seen as an effective tool for managing use and hydro bills.
Some participants referred to a previous OPA conservation program delivered to
First Nations: Bring the Light. Session participants felt that Bring the Light was
not effective because boxes of conservation measures such as energy efficient
light bulbs were distributed to Ontario First Nation communities, however little or
no follow-up was carried out to ensure that community members were aware of
the boxes and were able to install the measures in them. The current Aboriginal
Conservation Program was discussed where a First Nation-owned company will
work closely with participating communities to deliver the program to selected
communities.

There was a substantial amount of discussion about the Little Jackfish River
project and the uncertainties affecting its progress. One issue is the transmission
line required to connect the project to the grid. Using the current information and
economics the cost of the supply line equals the cost of the project, which
negates any kind of economic return or for that matter would be a severe
impairment to try and obtain financing. The potential of the project is seen as a
major boost to the area, but in order to realize the potential there must be supply
line close enough to Lake Nipigon to enable the project to be economically
viable. This possibility should be discussed in the Long Term Energy Plan.

A number of other specific recommendations were made during the breakout
sessions that should be highlighted, these are:

Legislation like the Far North Act constrains communities more than
enable them.
Tribal Councils should be allowed to participate n projects and receive
program support, not just communities.
There should be support to create a new Northern Advisory Board for
Energy Planning.
There should be funding available for community liaisons on individual
major development projects.
There should be policy and program supports fro communities to identify
themselves on projects, particularly regarding traditional territory. The
Crown tends to over-consult and communities are in a much better
position to determine whether a project may affect their right or interests.
The Crown should be present in communities to mediate consultations.

July 24
th
was spent at the Rainy River First Nation with eight First Nation
participants. Once again one of the first comments was about nuclear power and
the handling of Ontarios nuclear waste. It was explained that the OPA is not
involved in the disposal of nuclear waste, that is a federal responsibility, however,
it was made clear that nuclear plays a big role in providing the base load of
power for Ontario. The comment from the participant was that the LTEP should

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include a discussion of nuclear waste disposal if nuclear generation is to form a
major part of our power supply.
There was a lengthy discussion about cost of power to their community members
and the hardships that are often caused by high electricity bills. This followed the
same type discussions held in other communities. It was brought forward that
First Nation customers should be exempt from debt retirement charges, but this
exemption must be applied for.

An intervention was brought forward discussing the number of flood claims in the
Treaty 3 territory. It was asked if the LTEP would in any way affect flood
claims?

Specific recommendations from this session were:

There needs to be better communication between the OPA and the
Ministry of Finance regarding the Aboriginal Loan Guarantee Program
(ALGP). While the ALGP is an excellent concept, timeframes for approval
does not always meet the time requirements on development and
financing.
The OPA promotes the FIT program, yet there are instances when
projects in the queue cannot connect to the grid, creating a FIT Catch 22
problem.
There is a lack of capacity in many communities, some kind of assistance
would be helpful, as well as increasing awareness of existing funding
programs such as the AREF.
Transmission capacity is a major issue in the Treaty 3 territory.
Cultural and land issues, as well as environmental protection should be
considered before development occurs.
There is a requirement for more face-to-face meetings to develop and
strengthen the Crown-First Nation relationships.
Regional interest is important and they are not always the same, it is
important for the OPA to understand this.

The next session was held at the Rama First Nation on July 31
st
. After opening
comments were made the group lost no time in opening a discussion on
conservation. This was seen as a high priority in energy planning and it was
suggested that an incentive program be instituted with participation of the federal
government to entice people to conserve, and to assist in making an attitudinal
shift to think first about conservation. There were some good comments
regarding more conservation education, starting the elementary schools, creating
incentives to conserve, and to plainly show how conservation can be reflected in
ratepayers bills.

There was also a good discussion about supply mix. Discussion started out with
the idea that there should be less reliance on non-renewable energy sources.
This led to further discussions about the perils of nuclear power that were similar

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to previous comments made. One of the main ideas brought forward was the
whole concept of a balanced approach to supply mix. Part of the discussion was
that nuclear should not be expanded beyond its current level and more
renewables should be brought on line, particularly run-of-the-river hydro. In
general, all energy sources come with their own issues. We should examine the
risk for all options, the cost benefit and historic agreements, then use a balanced
approach where all costs (including de-commissioning) are taken onto
consideration when doing long-term energy planning to ensure that local,
regional, and provincial plans work together.

There is a need to build relationships, build trust and ensure that there is good
communications. This includes a need for transparency of the process, including
the idea that the same supply mix may not work in each region and importantly to
say that in the plan. Environmental considerations should come before economic
concerns, and this concept should form a strong consideration in body of the
upcoming LTEP.

Transmission and regional needs were discussed, and it was thought that a
commitment is required to be made to connect or enable renewable energy to
remote and island communities. Many small communities have unreliable power
because of old lines or single-phase lines. It is important to upgrade these lines
because of reliance on various forms of integrated circuit communications either
for business or health care use. There is new technology being developed in the
use of micro-grids and perhaps this should have mention in the LTEP. As a
closing note on this topic it was suggested that transmission upgrades have
broader economic development opportunities. They provide broad based
solutions to economic development, housing and community growth.

One of the final topics t be discussed was aboriginal participation in the energy
sector. The first statement brought forward was that there should be set-asides
for First Nations on large-scale energy projects. The ALGP needs to be re-
vamped to ensure that timing coincides with the needs of the investors and the
development schedule. Delays in realizing the ALGP approvals can have an
adverse affect of causing investors to back out of the process because of delays.

It was felt that since the Crown benefits a great deal by using the First Nation
territories, revenue sharing as a default for those communities that do not have
energy projects should provide a base benefit to those communities. There was
also a thought that this could provide resources to provide more education to
support community awareness on conservation, planning and having a regular
review of community infrastructure. It would be helpful for communities to have
an annual session to discuss challenges and issues in developing projects and it
would also provide a chance to expand networks. The OPA could host these
sessions as part of overall capacity development.


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A number of regional Centres of Excellence could be developed to assist in
developing regional projects, but also to provide a clearing-house of ideas that
could be used for future LTEPs. There is a need to look at local then regional
needs and knowledge in terms of interests, technology and information sharing.

Other comments are as follows:

Community energy audits should take place.
Elimination of delivery charges for all Ontario First Nation customers.
The FIT program needs to be responsive to and reflect the needs of
individual First Nations. A cookie cutter approach is ineffective.
Feedback that is provided at these sessions needs to be reflected in the
LTEP.
Communications and access to information is an important part of being
engaged in this process. Communities need to be able to understand the
implications of the plan.
It was noted that it is important that government representatives engage in
ongoing discussions with Aboriginal communities and that we ensure
transparency in how we use the input that is being provided.
Several participants noted that the high staff turnover made it difficult to
maintain relationships with people that can assist them in getting more
information and ensuring that their communities are understood by
different parts of government.
Several First Nation representatives asked if it were going to be possible
to review and comment on the final report, and also asked for more
information on how their input was going to be used. There was a
concern that this process would end up like many others, where the time
and effort that Aboriginal community representatives spend in providing
comments are distilled down to one or two paragraphs, and the input is
not accurately reflected or even seen in the final direction or decisions that
are made by government.
It was noted that providing more capacity to the Chiefs of Ontario to assist
First Nations in engaging on energy issues is critical. There is few staff at
the Ministry and OPA that is of First Nations heritage and therefore do not
share the values or understand the culture of First Nation communities.
Have COO assist with this work and engage with the Ministry
The previous IPSP process with the OEB would have provided a neutral
sounding board for First Nations.
Process and content needs to take into account First Nation issues.
Regional discussions should include both FNs and municipalities.

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It was proposed that a First Nation become an LDC if Ministers would
support the purchase of assets, i.e. lines etc.
Would like to see an upgrade in hydroelectricity in the North East where
there is lots of power potential.
On August 12
th
an engagement session was held at the Timmins Native
Friendship Centre. The session started out with a discussion on supply mix and
there were a number of helpful comments relating to this subject. In the interest
of not repeating what was said in earlier sessions I would try and only relate
those items that were strongly addressed or those that provide a new
perspective.

Overall the LTEP must consider cost, competitiveness and affordability. It would
also be helpful to see industrial, commercial, and residential uses outlined in
growth estimate charts. One participant questioned the safety of nuclear power,
when considering Fukishima. He noted that some communities appreciate the
jobs, but in the big picture there needs to an examination of risks more than just
the cost (e.g. environment, heat pollution, storage of waste). Other alternatives
to nuclear should be considered (e.g. biomass). We also need to look at storage
alternatives to assist with baseload when the wind isnt blowing or the sun is not
shining.
Webinars and education is key.
One participant stated that electricity costs are a big issue in their
community. Noting hydro dams near his/her community, the participant
asked why power is so expensive if it is being generated in the
communitys backyard.
Another participant spoke further on electricity costs, stating that
government needs to examine how the system is structured asking why
the prices are so high, since electricity costs directly impacts economic
development.

Some other points brought forward on this discussion item are:
The supply mix needs to balance environment vs. economics;
Community capacity building is important;
There was a general consensus that nuclear should be capped at
current levels and development should proceed with wind, solar
and biomass.

The next conversation was about conservation. The first intervention here was
that large industrial consumers need to take a leadership role in conservation
efforts, and the government/OPA should take a greater role in education and
incentives. The general public needs to see large consumers conserve in order
to want to conserve themselves.

Other points to consider are:

September 6, 2013 8
Need to support better insulation of houses, because it is low cost and
highly efficient.
The Building Code could be improved for making entire buildings more
energy efficient on reserve
Visual teaching aids are effective, so are science fairs on conservation
planning.
Tailored programming and education in schools was also suggested.
There must be a link from conservation to positive energy goals.
Much more training and awareness needs to happen in order to help
people learn about conservation and the important role it plays in the
community and in schools. Good news stories would be helpful.
There needs to be a community liaison in the communities engaging
communities in the conversation about conservation.

The next area of discussion was about transmission and regional needs. The
OPA should make northwestern Ontario a priority for transmission. There are
many potential renewable energy projects ready for development, yet
transmission is the major factor for halting the progress.
One participant stated that the Far North Act had been imposed by the provincial
government and followed up by asking what the government was doing to work
with the communities in the north that may be impacted by hydro development.
There is an opportunity here that must not be overlooked, and that is to have
First Nation involved in the development of transmission projects in the north.
This involvement can take many forms and there is no one size fits all format
here.

Energy development is profit driven, which is not always good for the
environment, First Nations want to see the government focus on protection, not
always focus on development at any cost for the north.


Aboriginal Participation in the Energy Sector

It was basically agreed that the FIT2 changes are good more local control, less
money leaving the region. While saying this, it is important for First Nations to
have a consultation protocol in place for dealing with developments and
government, however, it isnt necessarily beneficial to have a map, as it tends to
set borders in stone and leaves little for discussion of traditional ways of
inhabiting territory.
First Nation communities do not just want opportunities to join the
economy, they want to opportunity to control what happens in their
territory.

September 6, 2013 9
Useful to fund developmental costs and funding to get involved, help First
Nations do due diligence on developments.
Aboriginal set-asides are good
Developers need to go right to communities and engage the whole of the
community, everyone, including elders and youth. Trade shows and
discussion groups would be helpful.
Communities need more information to know more about the programs
available to support participation, and then support is required for capacity
building.
One participant asked if anything was being done to help the remote
communities generate their own electricity. The participant added that
generation should not be privatized, that the north should be protected,
that the FIT application process is weighted in favour of industry and that
government needs to build relationships with First Nations where the
communities are empowered with respect to electricity planning in their
regions
Due to the vast differences between the north and south, the north should
be treated differently with special incentives/allocations
Set-asides for amount of room on grid are important.
Need to support capacity building and there should be a focus to engage
First Nation membership, and Chief and Council.
The OPA should offer apprenticeship grants.
Assistance needs to be given to First Nations to conduct community
energy plans need to know what government expects.
There should be one web-based location that has all of the different
funding programs available.
First Nations need to be involved in policy and decision-making practices
of government to ensure First Nations are not discriminated against and
that culturally appropriate, realistic policies/decisions are made.
Government should provide more incentives to industry to work with First
Nations.
Open an Aboriginal Procurement Ministry in ENERGY.

Some final comments were more general in nature such as the Ministry of
Energy has developed lists of communities/groups to consult with regard to
project development. Often the traditional territory boundaries are wrong and
some communities are being asked to consult outside their treaty territory. Many
of the past wrongs and issues can be resolved with more dialogue and
government-to-government discussion.

September 6, 2013 10

The final session in this round was done at the Chippewa of the Thames First
Nation on August 15
th
. During the opening remarks to this session Chief
Miskokomon provided an excellent overview of the treaty relationship and the
why it is so important to take part in sessions such as these. He noted that
government has developed policy without input from First Nations and that
government should strive to be more open and transparent. This includes
governments reluctance to discuss First Nation rights, which include surface and
sub-surface rights. He added that First Nations want to restore their jurisdiction
over their territories and that First Nation rights flow from the treaty and are
protected by the Constitution. Chief Miskokomon stated that First Nations want to
start a new dialogue with government and have their objectives incorporated into
government objectives. He then spoke about the Aboriginal set-aside in the FIT
Program, which he felt is diluted because it has to be shared with the Mtis and
that First Nations are left with 1% of the projects, even though projects are
located on First Nation traditional territories. Chief Miskokomon also noted the
cost and difficulty in obtaining financing to develop projects. He stated that there
was no incentive for companies to partner with First Nations and that a First
Nation consortium should be established to obtain more opportunities. Chief
Miskokomon concluded with his wish that First Nations and government work
more closely together.

The morning session had a number of good discussions with several key areas
discussed including the following:
The lack of transmission capacity and the lack of access to capital are
barriers to participation for First Nations
Tight timeframes in the FIT application process were also a barrier for
some communities
Some communities have formed the Aboriginal Renewable Energy
Alliance to examine opportunities in the sector. There is a desire to be
more than a party whose participation can bring 3 points
The FIT Program needs to be fairer in the way that contracts are
apportioned
One participant spoke of their communitys opposition to wind turbines,
citing harmful impacts on wildlife. The participant added that local farmers
and other neighbours have approached the community to coordinate their
anti-wind efforts. The participant spoke in favour of solar projects as it is
much easier to reclaim the land once the project is over
More facts and more information are needed about the impacts of
renewables and nuclear
One participant asked about the Aboriginal Conservation Program
application, which asked whether the community had done an energy

September 6, 2013 11
audit in the past. The participant asked what resources are available to do
one.
Another participant spoke in favour of an aboriginal set-aside for each type
of generation, which the participant explained will bring more career
opportunities to First Nations youth and help diversity First Nation
economies
It was stated that some First Nations lose out on opportunities due to their
small size and lack of capacity. The participant also stated that the FIT
application process pits First Nations against each other, and that this
could be solved by allocating the funds from projects to all Ontario First
Nations, much like the proceeds from Casino Rama
The Government of Ontario needs to commit to recognizing First Nation
jurisdiction over resources as set out in the treaties. Existing programs
are a good start, but they dont address the core issues
As in other sessions, it was stated that the high cost of electricity is an
issue for community members
During the discussion about conservation the theme of further education came
up again. Some part of the provincial government, either the OPA or the Ministry
should develop more educational materials about conservation. These materials
should be sensitive to regional/rural/urban needs, and ensure follow up is
completed with knowledgeable representatives. It was also noted that some
conservation measures are expensive, low energy light bulbs and other low
energy appliances are costly often more than a low-income family can afford.
When the topic of conversation came to supply mix the first item mentioned was
the usage of nuclear power in the energy mix. While nuclear is a fact of life, it
should not form a greater part of mix, if anything renewable should start to form a
larger percentage of the power supply of Ontario. It should also be noted that
during this session there was a specific bias against wind turbines. This was not
seen in any of our other sessions and it may be that the general opposition to
wind turbines in this part of the province is wide spread and flows across many
social and cultural boundaries. It was stated quite specifically that solar is
preferred over wind.
We then moved to discuss transmission and regional needs, and while there
was some discussion about federal input into some areas this group in particular
specifically stated have a fiduciary responsibility to support First Nation
participation in regional development and energy projects. All First Nations are
facing problems of older infrastructure and single-phase lines. There is a need for
a general upgrade of the supply line infrastructure in Ontario, not only for First
Nations, but generally. It was also felt very strongly that First Nations should
have a voice in regional business planning for electrical supply needs. An opinion
was provided that it is more cost effective to build new transmission stations than

September 6, 2013 12
it is to refurbish them; this opinion was apparently based on a local situation. It
was also stated that the North-South transmission corridor should be a priority.


Aboriginal Participation

Proponents need to include First Nations as equity partners (full jurisdiction).
First Nations need capital, capacity, expertise in the energy sector and the
right partners.
First Nations are highly risk adverse so they need time to plan and make
good decisions.
Youth require more education regarding training and apprenticeship
opportunities in the energy sector.
Hydro One should provide training and employment preferably community
based.
A good way to garner Aboriginal participation is to see feedback from this
session presented in a report as well as policy and planning decisions
developed by Ontario.
The Government should be working through the Chiefs of Ontario who
already have a vehicle through which to communicate to First Nations.
First Nations should manage the AREF.
Another communications vehicle is needed to communicate with the urban
Aboriginal population.
There should be more support for First Nations partnerships

PLACEHOLDER Algonquins of Ontario meeting in Pembroke, Ontario

September 6, 2013 13


Summary

It was evident that the First Nations wished to participate in a meaningful way. In
all sessions there was excellent feedback and good dialogue. Some areas drew
strong emotional response such as emphasis on preservation of the environment
over economic imperatives. There was also a strong response to ensuring that
nuclear power should not form a greater percentage of the supply mix. There
was a sentiment put forward by all participants that these types of sessions were
valuable, but they should not stand-alone. If the First Nations are going to
provide information and take the time to participate there should be a reciprocal
commitment to reply by the government to ensure that First Nation participation
has meaning and is listened to.

The First Nations of the province show that they wish to be a part of energy
projects whether it be generation or transmission. Given the unique position that
First Nations have regarding consultation and accommodation there is an
opportunity to participate in a way that brings long-term benefits to many
communities. The level of participation shows clearly that the First Nations are
interested and engaged, this is an opportunity that is open to both First Nation
and the Province of Ontario to close the economic and political gap.







Submitted by:






John Beaucage

September 6, 2013 14
Appendix A

List of Participants


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3 Chlppews kee d Sy l
6 Chlppews he 1hes llrs l
7 Csce Lke llrs l
8 Cr 8plds wer L
9 Crve Lke llrs l
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7 Cll llrs l
8 Crd Ccl 1rey
9 Pels Whlelsh 8lver Sr Crp
0 Pevey le llrs l
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keewylk Cklkk 1rlb Ccl
3 kee d Sy l llrs l
6 klshke Zl Alshlbek llrs l (C 8y)
7 kllsher Lke llrs l

September 6, 2013 15
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9 Mew llrs l
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30 lplssl llrs l
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3 wl-dl--zl-e-y-zhl 1rlb Ccl
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33 8ed 8ck llrs l
36 Sk Alshwbek llrs l
37 Sele 8lver llrs l
38 Sheldh llrs l
39 Sheshewl llrs l
60 Shlb llrs ls (1rlb Ccl)
6 Slx ls he Crd 8lver
6 Se ls llrs l
6 Sher llrs ls Secrerl
6 1ykw 1 l
63 1el llrs l
66 1hess llrs l
67 ul Crl ldls
68 uled Chles d Ccls M'ld M'lsl
69 Whshl llrs l
70 Whple llrs l
7 Wh Mhwks
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7 Wpekek llrs l
7 Wsksl llrs l
73 Wzhshk Cl llrs l
76 Whlelsh 8lver llrs l
77 Whlesd llrs l
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79 Wlkwelk uceded ldl 8eserve

September 6, 2013 16