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DPR – 2006-2007 – Section 2-2

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2.2 Performance Results by Program Activity

The text that follows provides an overall description of the performance results achieved by the NRTEE, as well as highlights of performance achieved under each result and performance indicator specified in the performance measurement framework. (Please see Section 2.3, Figure 12.) The results all apply to the agency’s single program activity, namely provide advice on environment and economy issues, which in turn support both of the priorities identified for the period. The results will be presented in accordance with the strategic outcome and indicators in the NRTEE’s new performance measurement framework.

2.2.1 Expected Result: High-Quality Research

NRTEE assesses its performance against this outcome based on the quality of its policy research. High-quality policy research on sustainable development represents the core mandate of NRTEE. During 2006-2007, NRTEE’s work focused on energy and climate change, organized in the following areas:

• Advice on Long-term Strategy on Energy and Climate Change in Canada. In June 2006, the NRTEE released findings and advice to the government on a long-term climate change and energy strategy. The strategy was based on a scenario (the "wedge analysis") developed by the NRTEE that examined how, by 2050, Canada could meet the energy needs of a growing economy, achieve substantial reductions in carbon emissions, and improve its air quality. The program also examined whether existing or near-term technologies were sufficient to reduce energy-related greenhouse gas (GHG) emissions by 60% by 2050 while still meeting the energy needs of sustained population growth, labour productivity, and per capita GDP. Two questions were addressed: How can Canada protect and enhance its national interest with regard to energy and climate change issues between now and 2050? What does Canada need to do right now to meet this long-term objective?           
• Energy and Climate Change Program: Phase II. Following the release of Advice on a Long-term Strategy on Energy and Climate Change in June 2006, the NRTEE assessed how it should scope the next stage of its Energy and Climate Change Program. It commissioned three studies to develop policy recommendations on how to reduce GHG emissions across the economy and implement the 2050 scenario.           
• Clean Air Act Program. The Minister of the Environment requested that the NRTEE provide advice to the federal government on air pollutants and GHG emissions in support of Canada’s proposed Clean Air Regulatory Agenda. Five studies were commissioned in response to the federal government reference in the proposed Clean Air Act. These studies focused on scenarios, economy transitional issues, and best practices related to deep, long-term GHG and air pollutant emission reduction targets. The NRTEE is currently in the research phase of this program. An interim report was released in June 2007; a final report will follow in the fall of 2007.           
• Climate Change Adaptation Policy Program. Launched in June 2006, this NRTEE program examined the influence of Canadian public policy on how communities and economic sectors plan for and manage the effects of climate change. Seven papers were prepared on policy questions related to adaptation to climate change, including the role of government, codes and standards, insurance and alternative risk spreading mechanisms, disaster management, and project finance and capital markets. The focus of the research was mainly on scoping out the topics, and identifying policy questions for further exploration. Given the severe and sustained character of climate change impacts in the Canadian North, a decision was made to focus the program initially "north of 60."           
• Capital Markets and Sustainability Program. Activities in 2006-2007 focused on the release of the report at the Toronto Stock Exchange in February 2007.

Research projects carried out as background for specific programs are summarized below in Figure 3. Preliminary results from the NRTEE survey indicate that federal decision makers have a high opinion of the research conducted by NRTEE. Analysis is considered to be of high quality. They perceive NRTEE staff as being stronger in process skills than technical expertise, which is viewed as appropriate since technical expertise can be outsourced.

Program	Topic	Scope
Energy and Climate Change: Phase II	Long-term Energy and Climate Change Strategy: Advice on Scoping of Phase II Research	Strategic advice on how the NRTEE should scope the next stage of its Energy and Climate Change Program (post-wedge)
	Advice on a Long-term Strategy on Energy and Climate Change Phase II	Policy signals necessary for reaching long-term GHG emission reduction targets as outlined in Wedge Advisory Note. Two reports were commissioned on this topic to ensure wide breadth of analysis.
	Long-term Signals for Deep Greenhouse Gas Emissions Reductions
Clean Air Act	Pathways for Long-term GHG and Air Pollutant Emission Reductions	Scenarios for reaching deep (45-65%), long-term (2050) GHG and air pollutant emission reduction targets
	Demographic and Population Projections to 2050	GDP analysis and business-as-usual (BAU) baseline, necessary for developing scenarios for deep, long-term emission reduction targets
	Transitioning an Emissions Trading System from Intensity Allocations to a Binding Cap	Analysis on the medium-term (2020-2025) emissions reduction target and specifically, how the economy transitions from an intensity-based system to a fixed-cap system at that period in time
	International Experiences in Setting Medium- and Long-term Emission Reduction Targets	Processes for setting medium- and long-term emissions reductions in the US, California, and other key jurisdictions that are applicable to Canada
	Understanding Canada’s Emission Reduction Requirements Under Alternative Climate Stabilization Objectives and Burden Sharing Approaches	An estimate of Canada’s burden share of global GHG emissions in 2050
Climate Change Adaptation Policy	Preliminary Background and Suggested Approach for NRTEE’s Program on Climate Change Adaptation Policy	Survey of Canadian and international efforts to date, and highlights of important areas and approaches of policy relevance
	The Role of Government in Adaptation to Climate Change: A Preliminary Exploration	A preliminary exploration of the role of governments in climate change adaptation
	Review/Discussion Paper: Codes and Standards Policy	Policy questions in the area of climate change adaptation, codes, and standards
	Canada’s Insurers adapting to climate extremes and encouraging adaptation by policyholders	Policy questions for exploration in the area of climate change adaptation, insurance and alternative risk-spreading mechanisms
	Disaster Management and Climate Change Adaptation	Policy questions re disaster management and climate change adaptation
	Project Finance and Capital Markets	Policy questions re capital markets, project finance, and climate change adaptation
	Weather data in codes and standards relating to climate change adaptation	Policy questions for exploration in the area of codes, standards, weather data, and climate change adaptation

2.2.2 Expected Result: Effective Stakeholder Consultations

Stakeholder consultations are a key element of NRTEE policy research. Key measures of success are the extent of consultation taking place, and participant feedback regarding the effectiveness of the consultations.

• Extent of Consultations. The major consultation conducted by NRTEE in 2006-2007 was an in-person and online national outreach consultation on the Long-term Energy and Climate Change Strategy. The NRTEE travelled to nine Canadian cities during the fall of 2006 to promote awareness of and gather feedback on its advice released in June 2006. Some 470 people participated in the outreach sessions as part of this national outreach consultation (participation was largely by invitation). An additional 235 stakeholders participated in an online consultation as a complement to the in-person consultation. The NRTEE also consulted with a wide range of stakeholders as part of its ongoing research programs. Consultations included those with federal departments, provincial governments, Aboriginal groups, environmental non-governmental organizations (ENGOs), associations, and academia, as well as expert groups to test and validate research findings (see Figure 4).

Figure 4: Range of stakeholder groups consulted by NRTEE in 2006-2007

Program	Scope of Consultation
Energy and Climate Change: Phase II	Expert meeting to test NRTEE interpretation and assumptions of the reports on long-term strategy on energy and climate change for Phase II, and long-term signals for deep greenhouse gas emissions reductions
Clean Air Act	Expert meeting to solicit experts’ feedback on the NRTEE’s proposed approach (including analytical framework and research agenda) to the Clean Air Act reference. Expert meeting to solicit feedback from experts on the initial GHG and air pollutant emission reduction scenarios, commissioned by the NRTEE, in response to the proposed Clean Air Act.
Climate Change and Adaptation Policy	Expert meeting-Included 30 experts from government, NGO, private sector, and Aboriginal organizations to critique paper on role of government in climate change adaptation. This was funded by INAC. Expert meeting-Included 30 experts in codes and standards, disaster management, insurance, capital markets, physical infrastructure, government policy and risk management. Focused on four areas of policy work: insurance, disaster management, codes and standards, and capital markets and project finance Meetings and discussions with expert groups-Included experts from Analyze Risk, Institute for Catastrophic Loss Reduction, UK Climate Impacts Program, Canadian Institute of Chartered Accountants, OURANOS, and Northern Climate Exchange to discuss risk-based approaches to adaptation policy, insurance and disaster management, adaptation liability, and other NRTEE research areas Bilaterals with federal government departments (NRCan, Environment Canada, Industry Canada, INAC, Infrastructure Canada, PSC, Fisheries and Oceans) -to discuss NRTEE’s strategic research areas Bilaterals with provincial governments (Yukon Government, BC Government)-to obtain feedback on research plans Bilaterals with Aboriginal groups (e.g., ITK, Inuit Circumpolar Council, Council of Yukon First Nations) -to obtain feedback on research plans Bilaterals with associations (e.g., Yukon Chamber of Commerce, Whitehorse Chamber of Commerce, Federation of Canadian Municipalities) -to obtain feedback on research plans Bilaterals with ENGOs (World Wildlife Fund, Suzuki Foundation, Sage Foundation, Pollution Probe) -to obtain feedback on research plans Bi-laterals with academic organizations (e.g., Simon Fraser Climate Action Team, UBC Institute of Sustainability Studies)

• Effectiveness of NRTEE consultations. Most federal decision makers surveyed were aware of NRTEE consultations, and stated that the consultations were effective: they involved the right people and provided a well-designed process. The consultation events are perceived to provide high added value. Participant feedback from the Energy and Climate Change Advice outreach initiative was generally positive (see Figure 5). Close to 90% of respondents felt that the outreach session had performed "Adequately or Well" in terms of fulfilling its objectives, providing information for the discussions, and ensuring their views were heard. Some concerns were expressed in the NRTEE survey of federal decision makers that the Energy and Climate Change consultations were primarily information sessions and that their intent could have been clearer.

Figure 5- Participant feedback to Energy and Climate Change Advice Outreach

Question	% Adequately or Well	% Well
The Outreach Session fulfilled its stated objectives	89	39
The presentations were informative and provided useful information for the discussions	95	61
I felt that my views were heard	90	46

• Participant feedback regarding online consultations. Some 64% of stakeholders who provided feedback to SES on the online consultation had a "positive" or "somewhat positive" impression.⁵ Seventy-two per cent said their ability to participate online was either very good or good, while 64% believed their ability to submit comment was very good or good. Eighty-eight per cent said that they would participate in future online consultations, and 84% believed it was either important or somewhat important for the NRTEE to have an online component to their consultations in addition to the in-person consultations.

2.2.3 Expected Result: Useful Recommendations and Advice

NRTEE receives requests from the federal government for advice on specific environmental issues related to energy and climate change. Preliminary findings from the survey of federal decision makers indicate that the Round Table’s policy analysis is relevant, timely, and useful. It is also seen to be of good quality, balanced, and independent. NRTEE is able to bring players together to discuss issues, and foster best practices and sharing of information. Some decision makers noted that the value of the reports was in the process used to generate them and their contribution to overall knowledge rather than in specific recommendations.

• Most federal decision makers surveyed found the subject areas of NRTEE’s work to be relevant. They thought it was important for NRTEE to take a long-term perspective, and many thought it was doing a good job of focusing on the long term. Some voiced concern that the government mandates were drawing the NRTEE into shorter-term debates on current subjects. In a few cases, there were concerns about timeliness. Some suggested that the NRTEE should be in touch with decision makers to better coordinate the delivery of advice.           
• Federal decision makers surveyed placed a high value on NRTEE’s independence and noted the lack of other similarly independent sources of analysis and advice. Some decision makers are concerned that NRTEE should maintain its distance from the government and the federal public service in order to preserve its independence. However, the number of references was seen as testimony to the NRTEE’s relevance and objectivity.           
• As part of the national outreach consultation on the Long-term Energy and Climate Change Strategy, participants provided feedback on the relevance of NRTEE’s work. Of the 230 participants who responded, over 80% thought it was highly relevant, 40% thought that it had a significant impact on decision makers, and 34% could think of at least one or two cases where NRTEE’s work had a significant impact on a concrete action (see Figure 6). Similarly, participants in the online survey indicated that stakeholders consider the relevance of NRTEE work to be quite high but have some difficulty in citing real cases where the agency had a significant impact on a concrete action.⁶

Figure 6-Participant feedback at Energy and Climate Change Advice Outreach                                                                                                                                             

Question	% Agree or Strongly Agree	% Can think of at least one or two cases	% Can think of more than one or two cases
I believe that NRTEE's work is highly relevant to key issues that affect Canada's capacity to address challenges related to the environment and the economy	83
The NRTEE's work has a significant impact on the way that key decision makers in Canadian governments think about issues that affect the ??	40
I can think of cases where the NRTEE's work has had a significant impact on a concrete action (e.g., passage of law, implementation of a ??)		34	8

Another indicator of the usefulness of NRTEE recommendations and advice is the extent to which its advice is sought by federal decision makers and national stakeholders:

• Requests for advice from the federal government. The Government of Canada referred two major requests to NRTEE for advice on energy and climate change in February 2005. During 2006-2007, the Minister of the Environment requested the NRTEE to provide advice on national objectives for ambient air for particulate matter and ozone for the periods 2020-2025 and 2050. The increasing number of specific references from government is a testimony to the NRTEE’s role and reputation.           
• Briefings in support of federal activities. During the fiscal year 2006-2007, the chair of NRTEE and/or the Acting President and CEO provided 20 briefings to senior officials of federal departments, for example, Environment Canada, Fisheries and Oceans Canada, Industry Canada, Health Canada, the Department of Justice, and the Department of Finance. Meetings were also held with the Minister of the Environment to present advisory notes; energy and climate change was the major focus of discussion. A Briefing Note was prepared for the Minister on the key findings of the consultations on the Advice on a Long-term Strategy on Energy and Climate Change. The Chair of NRTEE also provided the Minister of the Environment with the results of the Capital Markets and Sustainability Report, and the Acting CEO briefed the Deputy Minister of the Environment on the same.           
• Briefings to national stakeholders. During the fiscal year 2006-2007, the chair of NRTEE and/or the Acting President and CEO of NRTEE made over a dozen briefings to major national stakeholders with an interest in the environment and sustainable development. Examples include the Canadian Chamber of Commerce, CD Howe Institute of Toronto, Fraser Basin Council, Pollution Probe, Conference Board of Canada, Canadian Council of Chief Executives, and the Canadian Gas Association. Topics included proposals for joint research, advisory notes, the NRTEE mandate, and future plans regarding sustainable development. These were supplemented by a half dozen speaking engagements, as well as meetings with officials from other governments (e.g., Great Britain, Netherlands).           
• Citations of NRTEE recommendations. Citations and feedback received from stakeholders also provide an indication of the use made of NRTEE policy research. Examples of feedback received from stakeholders, as well as citations regarding the usefulness of NRTEE recommendations and advice are noted below in Figure 7.

Figure 7-Examples of citations and feedback on NRTEE recommendations

Program	Examples Of Endorsements/Feedback Received
Climate Change Adaptation Policy	NRTEE was invited by INAC to adopt informal reporting role to NC4 (the Northern Climate Change Coordinating Committee). Environment Canada NRTEE’s framing of insurance, public policy, and adaptation provided valuable insights to the Strategic Policy group. NRTEE role of government document and stakeholder discussion will aid in the formulation of an adaptation MC and Federal Adaptation Policy Framework. Public Infrastructure Engineering Vulnerability Committee (PIEVC)-NRTEE was invited to speak to and assume an informal reporting relationship with PIEVC, and the PIEVC chair assumed a role on the NRTEE Adaptation Advisory Committee. Policy Options (Journal), Oct. 2006, Volume 27: 8-NRTEE was identified as among Canada’s best-positioned groups for advancing the adaptation policy agenda.
Capital Markets and Sustainability	The Canadian Institute of Chartered Accountants issued a positive press release endorsing the Capital Markets and Sustainability Report-on the release day of the Report. In the weeks following its release, the Report was featured on the website of the United Nations Environment Program on the Principles for Responsible Investment. The NRTEE report was featured on the websites of the World Business Council for Sustainable Development, the Globe Foundation of Canada, Environment Canada, Industry Canada, and a number of organizations catering to financial analysts. The Head of the United Nations Environment Program Finance Initiative (UNEP-FI) thanked the NRTEE for supporting a special meeting of the Principles For Responsible Investment Group at the Toronto Stock Exchange. Letters of appreciation were received from the Alberta Minister of the Environment, Premier of Ontario, and Attorney General of British Columbia.

2.2.4 Expected Result: Effective Communication of NRTEE Recommendations

The NRTEE assesses its communications by the reach of its external communications and the quality of its communications instruments. Reach of external communications: NRTEE interfaces with a broad range of stakeholders at a national level.

• Feedback from federal decision makers is that NRTEE products may not be reaching all their intended audience. A number of federal decision makers surveyed noted that they do not receive (or are unaware of) NRTEE announcements. Although most believe NRTEE’s reach to be adequate, it could be improved.
  • Communications databases. NRTEE has over 2,600 organizations and individuals identified in its databases, and strives to target all sectors of the economy at a national level. Figure 8 shows stakeholder groups and numbers by group.

Figure 8: Corporate Communications Database

 

Categories	Breakdown
Business	442
Provincial contacts	361
Federal contacts	325
MPs	307
Industry/Trade associations	131
Federal agencies and corporations	121
Provincial Ministers	115
ENGOs	110
University contacts	108
Labour federations/Unions	101
Municipal	99
Senators	95
Top 500 companies	78
International organizations	63
Lobby firms	33
Consultants	30
Professional accountants	22
SD Research institutes	19
Think tanks	18
National Councils for SD	15
Aboriginal groups	15
Provincial Premiers	13
Individuals	4
Schools	1
Lobby groups	1
Total	2627

• Extent of NRTEE media coverage. There were in the order of 220 references to NRTEE in the media during 2006-2007 from a variety of media sources (see Figure 9), compared with 107 references in 2005-2006, and 168 in 2004-2005.

Figure 9-Media coverage of NRTEE policy research (2006-2007)

Program	Number Of Media References	Media Sources
Energy and Climate Change	88	National Post, The Globe and Mail, La Presse Canadienne, CBC Newsworld, Montreal Gazette, Hill Times
Clean Air Act	32	CBC Radio, The Gallon Environment Letter, RDI, Montreal Gazette, Clean Air on Line (ec.gc.ca), National Post, Canadian Press
Climate Change and Adaptation policy	Included above
Capital Markets and Sustainability	21	The Globe and Mail, Investment Executive: Canada’s Newspaper for Financial Advisors, Rob TV, A-Channel News, HazMat Magazine
Past programs (Boreal, Ecological Fiscal Reform, Brownfields and Feebates)	9	National Post, Winnipeg Free Press, Edmonton Journal, The Hill Times, CBC Newsworld, The Globe and Mail
NRTEE Corporate	69	Canadian Press Newswire, CBC Radio 1, Maclean’s, Montreal Gazette, The Ottawa Citizen, The Globe and Mail, National Post, Winnipeg Free Press, Edmonton Journal, The Hill Times, CBC Newsworld, The Chronicle-Herald, Journal de Montréal, Calgary Herald, Le Droit, Le Soleil.

Use of website. Web statistics show a steady increase in the number of visitor sessions to the website over the last five years, in the range of 15%-20% increase per year (see Figure 10). Figure 10-Web statistics

	2002-2003	2003-2004	2004-2005	2005-2006	2006-2007
Number of visitor sessions	165,944	249,424	296,679	347,018	397,661
% increase over previous year		50%	19%	17%	15%

• Requests for NRTEE publications. Last year, 96 publications were sold through the Renouf Publishing Company Limited. However, sales of publications have shown a steady decrease over the last four years (see Figure 11). This likely reflects the ability of visitors to download publications from the Virtual Library on the NRTEE website at no charge. It allows access to over 300 NRTEE documents and publications that are organized into 15 search categories.

The most popular downloaded publications during 2006-2007 were as follows:

• Advice on a Long-term Strategy on Energy and Climate Change
• Environment and Sustainable Development Indicators for Canada
• Cleaning Up the Past, Building the Future: A National Brownfield Redevelopment Strategy for Canada
• Environmental Quality in Canadian Cities: The Federal Role
• Economic Instruments for Long-term Reductions in Energy-based Carbon Emissions
• Boreal Futures: Governance, Conservation and Development in Canada’s Boreal
• Capital Markets and Sustainability: Investing in a Sustainable Future

Figure 11-Sales of publications

	2003-2004	2004-2005	2005-2006	2006-2007
Sales of publications	$7,476	$3,771	$2,894	$858
% decrease over previous year		-50	-23	-70

Quality of communications instruments. Federal decision makers surveyed perceive the quality and mix of communication products to be good. However, in the recent case of the national outreach consultation on the Long-term Energy and Climate Change Strategy (i.e., Wedge Report), there was some concern that the communications were not entirely clear about the mandate and assumptions for the work.

2.2.5 Expected Result: Increased Awareness and Understanding by Federal Decision Makers and National Stakeholders

• Awareness of the NRTEE and its mandate and research programs. Based on the most recent survey, the vast majority of federal decision makers are "very aware" of the NRTEE and NRTEE programs in their areas of interest. There are a few cases where they are not aware of either. Most survey respondents were most aware of two to three NRTEE programs, and the best known ones are Energy and Climate Change, and Indicators. The least well known among respondents are Capital Markets and Conservation. The greatest gaps in program knowledge (for those who are affected) concern Ecological Fiscal Reform and Green Budgeting.
• Understanding of issues and solutions that were addressed by NRTEE programs. Many decision makers reported that they were already aware of sustainable development solutions and issues being addressed by NRTEE due to the nature of their work; however most felt that they had a greater understanding as a result of NRTEE research. Most also said that the larger body of federal decision makers benefited even more. Some noted that awareness and understanding among federal decision makers could be improved if NRTEE bettered its reach.
• Level of awareness and understanding by national stakeholders of NRTEE advice on selected issues. No information is available on this indicator at his time.