Docket: T-10-15
Citation:
2015 FC 302
Ottawa, Ontario, March 10, 2015
PRESENT:
THE CHIEF JUSTICE
BETWEEN:
|
SAVE HALKETT BAY MARINE PARK SOCIETY
|
Applicant
|
and
|
MINISTER OF THE ENVIRONMENT & ARTIFICIAL REEF SOCIETY OF BRITISH COLUMBIA
|
Respondents
|
JUDGMENT AND REASONS
[1]
In this Application, Save Halkett Bay Marine Park
Society seeks judicial review of a Disposal at Sea Permit granted by the
Minister of the Environment to the Artificial Reef Society of British Columbia.
That permit authorizes the sinking of the decommissioned ship HMCS Annapolis,
to turn it into an artificial reef at Halkett Bay Marine Park, off the coast of
Vancouver.
[2]
The Applicant seeks to have the permit quashed
on the ground that the Minister was prohibited by law from authorizing the
disposal at sea of a ship containing allegedly banned substances in its hull,
namely, dibutyltin dichloride and tributyltin chloride (“TBTs”). In the
alternative, the Applicant asserts that the permit should be quashed on the
basis that its issuance was unreasonable in the circumstances.
[3]
The Respondents dispute both of these
contentions and maintain that this Application was filed too late.
[4]
The TBTs alleged to be in the ship’s hull were
common ingredients in “anti-fouling” paint that was used on ships’ hulls during
the period that the HMCS Annapolis was in active service, to prevent barnacles
and other marine species from growing on the ships.
[5]
For the reasons set forth below, I have
concluded that this Application was in fact filed too late. In any event, I
have also concluded that (i) the Minister was not prohibited by law from
issuing the permit, and (ii) the issuance of the permit was not unreasonable,
particularly given:
a. The anti-fouling coating of the ship’s hull was reasonably
determined to be in a non-active state, in accordance with Environment Canada’s
Clean-up Standard for Disposal at Sea of Vessels, Aircraft, Platforms &
Other Structures (the “Clean-up Standard”);
b. The amount of TBTs in the paint samples allegedly collected from the
hull of the HMCS Annapolis on behalf of the Applicant is the equivalent of
approximately 0.004% - 0.008% of what would be expected to be found in fresh
anti-fouling paint;
c. The provisions in the Clean-up Standard pertaining to anti-fouling
paints are consistent with those in the corresponding standard that exists in
the United States and with the practices followed in Australia;
d. Given that the Annapolis was last painted with anti-fouling paints
approximately 20 years prior to the issuance of the Permit, the Minister’s
conclusion that any TBTs in the hull of the ship are no longer in an active
state was also consistent with the standard that has been adopted in the United
Kingdom;
e. An extensive and thorough analysis (unrelated to TBTs) was conducted
on behalf of the Minister over several years, prior to the issuance of the
permit.
I.
The Parties
A.
The Applicant
[6]
Save Halkett Bay Marine Park Society (the “Society”)
is comprised of property owners and full or part-time residents of Halkett Bay, Gambier Island, British Columbia.
B. The Artificial Reef Society of British Columbia (“ARSBC”)
[7]
The ARSBC is a non-profit society based in Vancouver, British Columbia. Its mission is to create and promote sustainable artificial
reefs in British Columbia and around the world for the enjoyment of
recreational divers and the protection of marine habitat.
[8]
Since 1991, the ARSBC has successfully sunk six
large ships and one Boeing 737 as artificial reefs in British Columbia.
[9]
In establishing its reefs, a central objective
of the ARSBC is to attract marine life and to provide an environment in which
it can flourish.
C.
The Minister of the Environment (the “Minister”)
[10]
The Minister, the Honourable Leona Aglukkaq, is
the person responsible for issuing the type of permit required to dispose of a
ship at sea, as further explained below. In fulfilling that function, she is
supported by staff in the department of Environment Canada.
II.
Background
[11]
The HMCS Annapolis (the “Annapolis”) was a destroyer in the Royal Canadian
Navy fleet from 1964 to 1996. It was decommissioned in 1998 and sold to the
ARSBC on March 11, 2008.
[12]
The ARSBC acquired the Annapolis for the purpose of turning it into an artificial reef.
[13]
In June 2008 the Annapolis was moved from the
federal facility in Esquimalt, BC to Port Graves Bay, Gambier Island (near
Halkett Bay) to be prepared for sinking as an artificial reef. It has been
moored at that location ever since.
[14]
The ARSBC subsequently selected Halkett Bay
Marine Park as the site for the artificial reef, in part because of the
opportunity to repair and restore the habitat in Halkett Bay, which apparently
has been damaged by decades of log booming.
[15]
In order to sink the Annapolis as an artificial
reef, the ARSBC was required to obtain regulatory approvals from the federal Departments
of Fisheries and Oceans (“DFO”) and Transport Canada. It was also
necessary to obtain permits from the Minister and the provincial Ministry of
Environment.
[16]
By the fall of 2012 the ARSBC had received the
requisite approvals from DFO and Transport Canada. In addition, it obtained
support for the project from the Squamish Nation and the Tsleil-Waututh Nation.
[17]
However, as a result of concerns expressed by
the Society in late 2012 regarding the potential presence of polychlorinated
biphenyls (“PCBs”) on the ship, the ship was tested and found to contain
levels of PCBs that could pose a risk if accidentally released into the
environment.
[18]
In June 2013, the ARSBC was notified of this
fact by Environment Canada and informed that a disposal at sea permit would not
be issued until the PCBs were removed from the vessel.
[19]
The ARSBC then withdrew the initial permit application
that it had submitted and began to work with Environment Canada to remove the
PCBs from the vessel. An Order of this Court was required to conduct that
remediation work, as the ship had been placed under arrest in April, 2013,
pursuant to an action commenced by W.R. Marine Services, which has been
providing mooring services for the ship, at Port Graves Bay. That Order to
conduct the remediation work was issued in February 2014. A subsequent Order
releasing the ship from arrest was then orally issued by Prothonotary
Lafrenière on November 4, 2014. (A written order was subsequently released on
November 24, 2014.)
[20]
In July 2014, the ship was inspected and
certified to be free from PCBs in solid form with concentrations not exceeding
the 50ppm threshold set forth in the applicable regulations. The expenses
associated with the work to remove the PCBs from the ship, which was conducted
by a third party contractor on behalf of Environment Canada, totalled approximately
$888,000.
[21]
Later that month, the ARSBC reapplied for a
permit to dispose of the Annapolis at sea.
[22]
On October 2, 2014, the Minister issued the
Disposal at Sea Permit No 4543-2-03607 (the “Permit”).
[23]
On October 9, 2014, the Society filed a Notice
of Objection pursuant to subsection 332(2) of the Canadian Environmental
Protection Act, SC 1999, c 33 (the “CEPA”) and requested that
the Minister convene a Board of Review in respect of the Permit. The Society
repeated that request in letters dated December 9, 2014 and December 17, 2014.
[24]
On November 3, 2014, the provincial Ministry of
Environment issued Park Use Permit No. 17257 authorizing the ARSBC to sink the Annapolis in Halkett Bay Marine Park.
[25]
By that time the ARSBC had also re-confirmed its
authorization from Transport Canada and the DFO.
[26]
On January 6, 2015, the day following an
announcement by the ARSBC that it planned to move the ship into Halkett Bay on
January 13, 2015 and sink it a few days later, the Society filed its Application
in this proceeding.
[27]
On January 12, 2015, Justice Shore issued an
Order for a temporary stay of proceedings, which prevented the Annapolis from being
moved pending the hearing of a motion by the Society for an interlocutory stay
of the Permit and an interlocutory injunction preventing such moving and
sinking.
[28]
That Order was superseded by an Order, on
consent, of Justice Simpson, dated January 30, 2015. Among other things, that
Order established procedures for the expedited hearing of this Application, and
prohibited the moving and sinking of the vessel until a decision was issued on
the Application.
[29]
Due to the delays resulting from proceedings in
this Court, the ARSBC informed the Court that it had sought and recently
obtained confirmation from the DFO that it will not prevent the sinking from
proceeding after February 1, 2015.
[30]
The ARSBC has also applied to Environment Canada
for an amendment to the Permit, to allow the sinking to proceed as soon as
possible in light of the increasing risk of an accidental sinking at an
unwanted location. During the hearing of this Application, the ARSBC confirmed
that this request was still outstanding.
III.
The Minister's decision to issue the Permit
[31]
The Permit is in excess of four pages and sets
forth various terms, conditions and other information.
[32]
It does not appear that the Minister explained
the basis for the issuance of the Permit in any cover letter or other document
that was issued at that time or in the weeks that followed.
[33]
Among other things, the Permit identifies the
Annapolis as being the “waste or other matter to be
disposed of,” and describes it as falling into the following category: “Ships, aircraft, platforms or other structures from which
all material that can create floating debris or other marine pollution has been
removed to the maximum extent possible if, in the case of disposal, those
substances would not pose a serious obstacle to fishing or navigation after
being disposed of.”
[34]
The Permit is valid from October 14, 2014 to
October 13, 2015. One of the terms of the Permit prevents the ship from being
transported and disposed during the period February 1, 2015 to August 14, 2015.
[35]
The method of disposal is described as being “scuttle[ing] by explosive cutting allowing water to enter [the]
hull.”
[36]
Other terms in the Permit include that the ARSBC
and its contractors are subject to inspection pursuant to Part 10 of the CEPA and
that an Enforcement Officer designated pursuant to subsection 217(1) of the
CEPA and/or a representative of Environment Canada be allowed to board and
inspect the ship prior to its disposal.
[37]
In addition, section 9.7 of the Permit provides
that, prior to disposal, the ship must meet the criteria stipulated in the
December 2007 version of the Clean-up Standard.
[38]
On January 7, 2015, the day following the filing
of this Application, the Minister declined the Society’s request for a Board of
Review to be convened in respect of the issuance of the Permit.
[39]
Among other things, the Minister’s response
summarized the concerns that had been expressed by the Society and assured the
Society that its concerns had been taken seriously and had informed the scope
of the assessment that was carried out. The response then concluded as follows:
I am satisfied with
the extent to which Environment Canada has engaged your client, and that the
concerns you raised have been taken into account. I believe that the former HMCS
Annapolis can be disposed of in a manner that does not pose a
significant risk to the marine environment or human health.
Given the above, I
decline the Save Halkett Bay Marine Park Society’s request that I establish a
board of review under subsection 333(5) of the Canadian Environmental
Protection Act, 1999.
Please accept my
best wishes.
IV.
Relevant Legislation
[40]
Pursuant to subsection 18.1(2) of the Federal
Courts Act, RSC 1985, c F-7, “[a]n application for
judicial review in respect of a decision or an order of a federal board,
commission or other tribunal shall be made within 30 days after the time the
decision or order was first communicated ... or within any further time that a
judge of the Federal Court may fix or allow before or after the end of those 30
days.”
[41]
The framework established in the CEPA for the
disposal of waste or other matter at sea is set out in Part 7, Division 3 and
Schedules 5 and 6 of that legislation.
[42]
In brief, section 125 of CEPA prohibits the
disposal of substances at sea unless the substance is “waste
or other matter” and the disposal occurs in accordance with a Canadian
permit.
[43]
“Waste or other
matter” is defined in subsection 122(1) to mean “waste or other matter listed in Schedule 5.”
[44]
Pursuant to section 3 of Schedule 5, ships fall
within the definition of “waste or other matter,”
provided that:
… all material that can create floating
debris or other marine pollution has been removed to the maximum extent
possible if, in the case of disposal, those substances would not pose a
serious obstacle to fishing or navigation after being disposed of.
[45]
Pursuant to subsection 127(1) of the CEPA, the
Minister may issue a permit authorizing the disposal of waste or other matter.
However, subsection 127(3) of CEPA provides that, before issuing a permit under
subsection 127(1), the Minister shall “comply with
Schedule 6 and shall take into account any factors that the Minister considers
necessary.”
[46]
Schedule 6 of CEPA sets out the assessment and
analysis required in order to be able to make a permit decision. As no issue
has been raised in respect of Schedule 6, it will not be further discussed in
this decision.
[47]
Pursuant to section 134 of the CEPA, any person
may file with the Minister a notice of objection requesting that a Board of Review
be established under section 333 in respect of the issuance of a permit. Where
such a notice is filed within the prescribed period of time (7 days), the
Minister may establish a Board of Review to inquire into the matter raised by
the notice (subsection 333(5)). Upon receipt of the Board’s report, the
Minister may take further steps regarding the permit if she considers it advisable
to do so (subsection 129(3)).
[48]
In October 2001, the International Maritime
Organization adopted the International Convention on the Control of Harmful
Anti-fouling Systems on Ships, 2001 (the “Convention”).
For the purpose of this Application, the relevant provision of that instrument
is Article 4(1), which states:
(1) In accordance with the
requirements specified in Annex 1, each Party shall prohibit and/or restrict:
(a) The application, re-application, installation, or use of
harmful anti-fouling systems on ships referred to in article 3(1)(a)or(b); and
(b) The application, re-application, installation or use of such
systems, whilst in a Party’s port, shipyard, or offshore terminal, on ships to
in article 3(1)(c).
and shall take effective measures to ensure
that such ships comply with these requirements.
[49]
In apparent compliance with the IMO Convention,
and pursuant to the Canada Shipping Act, 2001, c 6 (the “CSA”), Parliament
passed the Regulations for the Prevention of the Pollution from Ships and
for Dangerous Chemicals, SOR/2007-86, which has now been replaced by the Vessel
Pollution and Dangerous Chemicals Regulations, SOR/2012-69 (“Vessel
Pollution Regulations”). For the purposes of this Application, the relevant
provision is subsection 127(1), which states:
(127) (1) The authorized representative of a
vessel must ensure that it does not have an anti-fouling system that contains
any organotin compounds that acts as biocide.
[50]
The full text of the various provisions
discussed above is set forth in Appendix 1 to these reasons.
V.
Issues
[51]
The issues raised on this Application are as
follows:
A.
Was this Application filed too late?
B.
Did the Minister err by failing to consider and
apply an outright ban on TBTs that the Society asserts exists in Canada?
C.
Was the issuance of the Permit unreasonable?
[52]
In its written submissions, the Society also
alleged that the Minister’s denial of its request for a Board of Review to
challenge the Permit breached its right to procedural fairness. However, it
abandoned that submission during the hearing of this Application (Transcript,
at 18-20).
VI.
Standard of Review
[53]
The Society’s assertion that the Minister failed
to consider and apply an outright ban on TBTs that it maintains exists has a
component that is purely legal and a component that is either factual in nature
or is a question of mixed fact and law.
[54]
The purely legal component concerns subsection
127(1) of the Vessel Pollution Regulations and certain provisions in the CEPA, which
the Society states establish an outright ban on TBTs. This Court’s review of
whether those provisions in fact establish an outright ban on TBTs in Canada that
rendered the issuance of the Permit contrary to law is conducted on a correctness
standard. This is because this is “a pure question of
statutory construction embodying no discretionary element,” the Minister
“cannot claim to have any expertise over and above”
that of the Court in respect of such questions, and there is no privative
clause in the CEPA (Canada (Citizenship and Immigration) v Kandola,
2014 FCA 85, at para 43). Moreover, insofar as the Vessel Pollution Regulations
are concerned, they were passed pursuant to the CSA, above, which is not the
Minister’s “home statute” and no evidence was adduced to demonstrate that she
has any particular familiarity with that statute (Agraira v Canada
(Public Safety and Emergency Preparedness), 2013 SCC 36, at para 50).
[55]
The factual component of the issue that has been
raised concerning the Vessel Protection Regulations is whether the Annapolis
has “an anti-fouling system that contains any organotin
compounds that acts as biocide,” within the meaning of subsection 127(1)
of those regulations. Irrespective of whether this is a purely factual matter,
or is a matter of mixed fact and law, the applicable standard of review is
reasonableness (Dunsmuir v New Brunswick, 2008 SCC 9, at paras 51 – 53
(“Dunsmuir”)).
[56]
The Society’s assertion that the Minister’s
decision was unreasonable is also subject to review on a reasonableness standard
(Dunsmuir, above).
VII.
Evidentiary Issue
[57]
The Respondents submit that the “scientific
evidence” adduced by the Society should be struck on the basis that permitting
the Society to tender such evidence would contravene the settled rule that, on
a judicial review under subsection 18.1(1) of the Federal Courts Act, above,
the scope of admissible evidence is limited to the evidence that was before the
decision-maker (Assn of Universities and Colleges of Canada v Canadian
Copyright Licensing Agency, 2012 FCA 22, at para 19 (“Assn of
Universities and Colleges”); Ochapowace First Nation v Canada (AG)
2007 FC 920, at para 9 (“Ochapowace”).
[58]
Accordingly, the Respondents submit that
paragraphs 10-15 and 17, as well as Exhibits D through O of the affidavit of
William Andrews (the “Andrews Affidavit”), together with the entire affidavits
of Rachel Barsky dated January 9, 2015 (the “Second Barsky Affidavit”)
and January 20, 2015 (the “Third Barsky Affidavit”), should be struck on
the basis that the affiants purport to give scientific evidence that was not
before the Minister when she issued the Permit. The Respondents make
essentially the same submission with respect to the scientific evidence
provided in the affidavit of Dr. Emilien Pelletier (the “Pelletier Affidavit”).
[59]
As recognized in both Assn of Universities
and Colleges and Ochapowace, above, the rule that the scope of
admissible evidence is limited to the evidence that was before the
decision-maker is subject to certain exceptions. One of those exceptions is for
material that is considered to be general background information that would
assist the Court (Assn of Universities and Colleges, above, at para
20(a); Ochapowace, above).
[60]
However, in discussing this exception in Assn
of Universities and Colleges, above, Justice Stratas cautioned that “[c]are must be taken to ensure that the affidavit does not
go further and provide evidence relevant to the merits of the matter decided by
the administrative decision-maker.” Applying this principle, he
proceeded to strike the affidavit in question, on the basis that much of what
was “said to be ‘context and background’ is really
evidence that goes to the merits of the matter before the Board” (Assn
of Universities and Colleges, above, at para 26). Justice Zinn reached a similar
conclusion in Alberta Wilderness Assn v Canada (Minister of
Environment), 2009 FC 710, at paras 33-34).
[61]
In my view, the evidence to which the
Respondents object, described at paragraph 58 above, is similarly not “context
and background” but rather is evidence that goes to the merits of the matter
that was before the Minister. As the Minister confirmed in her letter to the
Society’s counsel dated January 7, 2015, the interventions of the Society were “taken seriously by Environment Canada and informed the scope
of the assessment that was carried out.” The Minister proceeded to note:
“I am satisfied with the extent to which Environment
Canada has engaged your client, and that the concerns you raised have been
taken into account. I believe that the former HMCS Annapolis can be disposed in
a manner that does not pose a significant risk to the marine environment or
human health” (emphasis added).
[62]
The Society also referred to Hartwig v
Saskatoon (City) Police Assn, 2007 SKCA 74, at paras 30-33; and SELI Canada
Inc v Construction and Specialized Workers’ Union, Local 1611, 2011 BCCA
353 at paras 77-85. However, those cases are distinguishable as they concerned
a dispute over the admissibility of evidence that was before the lower
tribunal. Another case relied upon by the Society, Da’naxda’xw/Awaetlala
First Nation v British Columbia Hydro and Power Authority, 2015 BCSC 16, at
paras 173-179 is also distinguishable, on the basis that the evidentiary issue
in dispute concerned evidence relating to the history of dealings between the
petitioners and the province or BC Hydro, which was found to be relevant to the
allegation that the Crown had breached its duty to consult.
[63]
Notwithstanding the foregoing, I believe that on
the very particular facts of this case the disputed affidavit evidence ought to
be admitted.
[64]
As Justice Stratas observed in Assn of
Universities and Colleges, above, at para 20, the list of exceptions to the
general rule against admitting evidence that was not before the decision-maker
whose decision is subject to judicial review “may not
be closed.” Other exceptions may exist, particularly where they are “not inconsistent with the differing roles of the judicial
review court and the administrative decision-maker” and where they may “facilitate or advance the role of the judicial review court
without offending the role of the administrative decision-maker.”
[65]
An important issue that was before the Minister
was the nature of the “risk to the marine environment
or human health.” In my view, this is an exceptional public interest issue
that warrants a relaxation of the typical rules of evidence pertaining to the
judicial review of a decision made by a Minister or other public official in
respect of such an issue. If there is scientific evidence that may demonstrate
an unacceptable risk to human health or the environment, that evidence should
be admissible on a judicial review of a decision that focused on that issue. This
is particularly so if the evidence was not before the Minister or other public
official. The public would be justified in expecting nothing less.
[66]
I am satisfied that admitting scientific
evidence in this context would not be inconsistent with the differing roles of
this Court and the Minister or other public official, and would facilitate or
advance the role of the judicial review court without offending the role of the
administrative decision-maker (Kwicksutaineuk Ah-Kwa-Mish First Nation v
Canada (AG), 2012 FC 517, at para 71).
[67]
Where scientific evidence demonstrates, in a
clear and compelling fashion, the existence of an unacceptable risk to the
environment or human health that was not considered by a Minister or other
public official, that may provide a basis for quashing the decision and
returning the matter to such decision-maker.
[68]
As a practical matter, nothing turns on my
decision to admit the disputed scientific evidence, as I have determined that
the evidence in dispute is inconclusive, in terms of assisting me to determine
whether any TBTs that may exist in the hull of the Annapolis present a real
prospect of causing a material risk to human health or the environment. Stated
differently, that evidence does not assist the Court in determining whether the
Minister’s decision to issue the Permit was unreasonable, in the sense of not being
within “a range of possible, acceptable outcomes which
are defensible in fact and law” (Dunsmuir, above, at para 47).
VIII.
Analysis
A.
Was this Application filed too late?
[69]
The Respondents submit that this Application
should be dismissed on the basis that it was not commenced within the 30 day
time limit set forth in subsection 18.1(2) of the Federal Courts Act,
above. I agree.
[70]
Given that the Permit was issued on October 2,
2014, that limit expired on or about November 2, 2014. This Application was not
filed until January 6, 2015, more than two months beyond that limit.
[71]
The Society takes the position that “the doctrine of laches does not apply in this case, but if
it does, it is the Minister of Justice who has been late in raising this
issue.”
[72]
The Respondents’ submission is not based on the
equitable doctrine of laches, but rather on the statutory limitation set forth
in section 18.1(2) of the Federal Courts Act, above. Moreover, I agree
with the Respondent Minister that the circumstances of this case are such that
the Respondents should not be prejudiced by the fact that they did not raise
the issue of lateness until they filed their written submissions on this Application.
Those circumstances are that “all the parties to these
proceedings took a very cooperative approach in getting this to judicial review
on a very expedited basis so that the issue could be addressed because there
were concerns about the urgency of the matter given the condition of the
vessel” (Transcript, at 193-194).
[73]
When pressed during the hearing on whether there
is any legal principle that required the Respondents to make their submissions
regarding lateness at an earlier point in time than they did, such as in the
hearing before Justice Shore on January 12, 2015 or when the matter came before
Justice Simpson shortly thereafter, counsel to the Society replied in the
negative (Transcript, at 90-91).
[74]
Nevertheless, counsel to the Society asserted
that this Application is framed as seeking judicial review in respect of the matter
of the Minister’s issuance of the Permit. Counsel explained: “This does not attack a decision or order, but a course of
conduct of the Minister” (Transcript, at 91). Notwithstanding that the
Society had previously abandoned its separate challenge of the Minister’s decision
not to establish a Board of Review, counsel maintained that the course of
conduct being attacked includes the actions of the Minister from the time the
Permit was issued on October 2, 2014, until the Society filed this Application
on January 6, 2015.
[75]
In support of this particular position, the
Society relies on Krause v Canada, [1999] 2 FC 476 (“Krause”) and
Airth v Canada (Minister of National Revenue), 2006 FC 1442 (“Airth”),
where a distinction was drawn between a “decision or order” to which the 30 day
limit described in subsection 18.1(2) applies and a broader “matter”
contemplated by subsection 18.1(1), to which that limit does not apply.
[76]
The Respondent Minister maintains that Krause
and Airth, above, are distinguishable on the basis that they each
concerned a course of conduct on the part of the respondent Minister that
extended over a period of time that was broader than the making of a single
decision or order, as contemplated by subsection 18.1(2). I agree.
[77]
In Krause, the appellants challenged “a series of annual decisions reflective of the ongoing
policy or practice of the respondent over time” (Krause, above,
at paras 11 and 23). Likewise, in Airth, it was evident that the subject
matter of the judicial review application was not just a single decision, but
rather a course of conduct that “is replete with
matters between the Canada Revenue Agency, the RCMP and the Vancouver Policy,
the use to be made of the information demanded, the purposes of the Minister,
the alleged breaches of the confidentiality provisions of the Income Tax Act,
the plans and actions of the federal officials and the breaches of Charter
rights flowing from this conduct” (Airth, above, at paras 8-9).
[78]
I also agree with the Respondents that it is
abundantly clear from the Notice of Application filed by the Society that the
subject “matter” of this Application is solely the Minister’s decision to issue
the Permit. This is clear from the opening paragraph of the Application, which
is confined to the “issuance of the [Permit].” Likewise, the statement of
relief sought is focused on the Permit and does not reference any other conduct
of the Minister. Similarly, the concluding paragraph of the Application states:
“An urgent interim order is required in order to
prohibit moving the Annapolis into Halkett Bay on January 13, 2015 and its
sinking on January 17th, 2015 to preserve the status quo and permit this
Honourable Court time to hear this Application and rule on whether the [Permit]
is compliant with Canadian law and its own terms and conditions”
(emphasis added).
[79]
The only reference in the Application to any
other conduct of the Minister, from which it might be argued that a “course of
conduct” broader than the issuance of the Permit was being challenged, is in
paragraph 13 of the document, under the heading The Grounds for the
Application Are. There, the Society described the requests that it made for
a Board of Review to be established, and noted that the Minister had failed to
respond to that request and to the request that the Permit be suspended pending
such review.
[80]
In my view, the contents of paragraph 13 of the Application
are not sufficient to transform what is otherwise a challenge that is clearly
focused uniquely on the decision to issue the Permit, into a challenge of a
broader course of conduct that includes the Minister’s refusals to establish a Board
of Review and to suspend the Permit. I would simply observe again in passing
that counsel to the Society abandoned in oral argument the issue that it had
raised in its written submissions with respect to the Minister’s failure to
establish a Board of Review.
[81]
It follows from the foregoing that the 30 day
limit set forth in subsection 18.1(2) applies and the Society is left in the
position of depending on the exercise of this Court’s discretion to grant an
extension of that limit.
[82]
There are four considerations that guide the
Court in determining whether to exercise that discretion. These are whether: (i)
the moving party exhibited a continuing intention to pursue the application; (ii)
there is merit to the application; (iii) the other parties have suffered
prejudice as a result of the delay, and (iv) there is a reasonable explanation
for the delay (Canada v Hennelly, [1999] FCJ No 846, at para 3 (FCA); Muckenheim
v Canada (Employment Insurance Commission), 2008 FCA 249, at para 8).
[83]
In assessing the foregoing considerations, the
Court will keep in mind that the 30 day time limit set forth in subsection
18.1(2) “is not whimsical,” but rather “exists in the public interest, in order to bring finality to
administrative decisions so as to ensure their effective implementation without
delay and to provide security to those who comply with the decision or to
enforce compliance with it, often at considerable expense” (Budisukma
Puncak Sendirian Berhad v Canada, 2005 FCA 267, at para 60).
[84]
On balance, the four considerations listed
above, taken together, weigh in favour of declining to exercise discretion to
grant an extension to the 30 day limitation period. In brief, the ARSBC has
suffered substantial prejudice as a result of the Society’s failure to file
this Application within that period, the Society did not provide a reasonable
explanation for that delay, and the Society did not exhibit any intention to
bring this Application until December 17, 2014, when it made the Minister aware
of that possibility.
[85]
For the reasons discussed in parts VIII.B and
VIII.C of these reasons, I have also dismissed this Application on its merits.
However, had the facts been different, and had they clearly demonstrated a real
prospect of causing a material risk to human health or the environment, I may
well have reached a different conclusion regarding the granting of an extension
under subsection 18.1(2), particularly if such harm would extend beyond the
interests of the tardy Applicant.
(i)
Prejudice
[86]
With respect to prejudice, I accept the
Respondents’ submissions that the Society’s delay in filing this Application
until just before the planned sinking of the Annapolis on January 17, 2015 has
prejudiced the ARSBC and created a heightened risk that the Annapolis will sink
accidentally at an undesirable location, due to the ship’s deteriorated
condition. Such an eventuality would create a potentially dangerous hazard and have
adverse impacts on numerous third parties (Affidavit of Colin Parkinson, sworn
February 6, 2015, at paragraphs 11-12).
[87]
The Society was aware, no later than October 9,
2014, that the Permit had been issued as it wrote to the Minister on that date to
file a Notice of Objection and to request the convening of a Board of Review in
respect of the issuance of the Permit. It can also be taken to have been aware
that paragraph 3 of the Permit prohibits the transportation and sinking of the
ship between February 1, 2015 and August 14, 2015. It has not claimed that it
was unaware that the ARSBC was planning to sink the ship prior to that period.
[88]
In fact, the uncontested evidence before the
Court is that counsel to the Society (i) attended most of the hearing of the Motion
to release the Annapolis from arrest, which took place on November 4, 2014, and
(ii) was present when Prothonotary Lafrenière pronounced his Order with reasons,
at the end of that hearing. That Order, which was ultimately reduced to a
written Endorsement dated November 24, 2014, contemplated that the Annapolis would be moved and sunk within 30 days (Wesley Roots v Artificial Reef
Society of British Columbia, (Court Docket T-709-13, November 24, 2014)).
However, the ARSBC subsequently filed a Notice of Motion requesting an extension
of the Port Graves Bay moorage period until January 31, 2015. By Order dated
December 9, 2014, that Motion was granted.
[89]
Nevertheless, it was readily apparent to all
present in the hearing on November 4, 2015 that the situation had become very
urgent. This is clear from the following passage of Prothonotary Lafrenière’s
Endorsement:
31. Third, there is urgency to
complete the project. The condition of the Annapolis has deteriorated to the
point that there is a substantial risk that the ship may develop a leak in
one of its through-hull fittings before the summer of 2015 due to its
deteriorating condition and corrosion. A failure of one of these fittings
would likely cause a flood within various areas of the ship and ultimately
result in a total loss. The ship has been substantially stripped and
opened up. It is not feasible to repair the Annapolis at this stage
or to tow the ship anywhere other than its approved sinking location at Halkett Bay. Releasing the Annapolis from arrest in order that the ship may be sunk in a
controlled manner at the approved location appears to be the only realistic
alternative to an eventual accidental sinking at an unwanted location. [Emphasis
added.]
32. In the end, I conclude that an
order releasing the Annapolis from arrest so the ship may be sunk in a
controlled manner as an artificial reef is the only realistic alternative to the
eventual catastrophe of a through-hull fitting failure, which would work a
prejudice to both parties. [Emphasis added.]
[90]
Given the urgency described above, the ARSBC
retained a significant number of third party services providers immediately
upon the release of the Annapolis from arrest, to prepare the ship to be moved
and sunk in Halkett Bay. As those parties were in the process of performing their
services, the Society filed its Application and then filed the Motion for an
interim stay that was granted by Justice Shore. As a result of that stay, the
ARSBC had to suspend the work of those third party service providers and has
had to seek an amendment to the Permit, to be able to move and sink the ship
after February 1, 2015. However, the ship continues to deteriorate and to face
an increasing risk of sinking accidentally (Affidavit of Jeffrey Smith, sworn
January 9, 2015, at Exhibit D; Affidavit of Howard Robins, at paragraph 50). In
part, this is due to the fact that the ship’s through hull fittings continue to
corrode and, since the release of the ship from arrest, further holes have been
cut inside the vessel and through its hull, to assist the ship to sink rapidly.
[91]
In addition to the foregoing, the ARSBC adduced
evidence, which was not contested, that the potential cost of dealing with an
accidental sinking is between approximately $2.5 to $6 million. The ARSBC’s
evidence is also that it holds a marine liability insurance policy for the Annapolis with a maximum benefit of $1 million, and that it has no further assets.
[92]
Based on all of the foregoing, I am satisfied
that the ARSBC has suffered, and will continue to suffer significant prejudice
as a result of the Society’s delay in filing this Application. If the ship
accidentally sinks because of the increased risk that has materialized since
the expiry of the 30 day limit set forth in subsection 18.1(2) of the Federal
Courts Act, above, prejudice also likely will be suffered by third parties,
including those who navigate the waters where such accident could occur.
(ii)
Intention to pursue the application
[93]
As previously noted, the evidence before the
Court is that the Society did not make known its intention to file an
application for judicial review of the Minister’s issuance of the Permit until
it communicated that fact in a letter to the Minister dated December 17, 2014 –
a date well beyond the 30 day limit set forth in subsection 18.1(2).
[94]
I recognize that the Society promptly filed, on
October 9, 2014, a Notice of Objection and made a request for the convening of
a Board of Review in respect of the issuance of the Permit; and that it
repeated the latter request in letters to the Minister dated December 9, 2014
and December 17, 2014.
[95]
However, the Board of Review process is not akin
to an administrative appeal process or other available remedy which must be
exhausted before an application for judicial review may be filed in this Court.
The Board of Review process is entirely discretionary. In brief, where a person
files a notice of objection, the Minister may establish a Board of Review
to inquire into the matter raised by the notice (CEPA, above ss. 333(5)). Upon
receipt of the Board’s report, the Minister may take further steps
regarding the permit if she considers it advisable to do so (ss. 129(3)).
[96]
In summary, there was nothing preventing the
Society from filing this Application within the 30 day time limit set forth in
subsection 18.1(2) of the Federal Courts Act, above. Its failure to
communicate or otherwise demonstrate any intention to do so weighs against the
Court exercising its discretion to grant an extension to that limit.
(iii)
Explanation for delay
[97]
The Society has not offered any explanation for
why it waited until almost two months beyond the time limit set forth in subsection
18.1(2) before filing this Application. For the reasons discussed immediately
above, the fact that the Society was attempting to persuade the Minister to
convene a Board of Review is not a reasonable explanation.
(iv)
Merits of the application
[98]
For the reasons discussed below, I have
dismissed this Application on its merits.
(v)
Conclusion regarding the exercise of the Court’s
discretion
[99]
For the reasons set forth above, I have
concluded that it would not be appropriate to exercise my discretion to extend
the time for the filing of this Application to January 6, 2015, the date the Application
was filed.
[100]
This conclusion provides a sufficient basis to
dispose of this Application. However, in the event that I may be found to have
erred in reaching this conclusion, I will proceed to assess the Application on
its merits below.
B.
Did the Minister err by failing to consider and
apply an outright ban on TBTs that the Society asserts exists in Canada?
[101]
The Society submits that certain provisions of
the Convention, the Vessel Pollution Regulations
and/or the CEPA operate to impose a ban on TBTs in Canada. Based on that position,
and given its belief that there are at least some TBTs still present in the
hull of the Annapolis, the Society then asserts that the Minister erred in law
by failing to consider and apply that ban when she issued the Permit. Stated
differently, the Society maintains that the issuance of the Permit effectively
condones a breach of Canadian law and therefore constitutes an excess in the
exercise of the Minister’s jurisdiction.
[102]
I disagree.
(i)
The Convention
[103]
With respect to the Convention, the Society
notes that Article 4(1) requires the parties thereto to prohibit and/or restrict,
in accordance with the requirements specified in Annex 1, the application,
re-application, installation, or use of harmful anti-fouling systems on ships
referred to in article 3. Article 4(1) also requires the parties thereto to
take effective measures to ensure that such ships comply with these
requirements.
[104]
Annex 1 to the Convention applies to “organotin
compounds which act as biocides in anti-fouling systems,” (emphasis
added). Canada acceded to the Convention in 2010.
[105]
What the Society fails to point out is that
Article 2(9) of the Convention defines “ship” to mean “a
vessel of any type whatsoever operating in the marine environment and includes
hydrofoil boats, air-cushion vehicles, submersibles, floating craft, fixed or
floating platforms, floating storage units (FSUs) and floating production
storage and off-loading units (FPSOs)”.
[106]
In my view, the Annapolis does not fall within
this definition. This is because it has been moored at Graves Bay for almost 7 years and can no longer be “operated,” or be said to be “operating,” in any
meaningful sense or as contemplated by the Convention. This is in part because
it has been heavily modified for use as an artificial reef. Among other things,
these modifications significantly compromised the Annapolis’ structural and
watertight integrity. They have included the removal of all watertight hatches and
numerous watertight bulkheads to allow safe access for divers, as well as the
cutting of large openings in the hull (above the water line), shell plate, deck
and transverse bulkheads (Affidavit of Jeffrey Smith, at Tab D; Affidavit of
Colin Parkinson, at paras 8 – 12).
[107]
I note that Article 3, which defines the ships
to which the Convention applies, also uses the term “operate” (Article 3(1)(b))
and the wording “enter a port, shipyard, or offshore terminal of a Party” (Article
3(1)(c)). The evidence referenced immediately above suggests that the Annapolis will not do any of the latter things ever again.
(ii)
The Vessel Pollution Regulations
[108]
Turning to the Vessel Pollution Regulations, subsection
127(1) requires the authorized representative of a vessel to ensure that it
does not have an anti-fouling system that contains “any
organotin compounds that acts as biocide.” This is essentially the same
language contained in Annex 1 to the Convention. The Society asserts that
subsection 127(1) effectively creates a prohibition on TBTs in Canada, which was contravened by the Minister when she issued the Permit.
[109]
The Respondent Minister asserts that section 187
of the CSA specifically provides that the prohibition on the discharge of a
prescribed pollutant does not apply to “discharges” that are authorized by a
permit issued under Part 7, Division 3 of the CEPA. The CSA is the legislation
pursuant to which the Vessel Protection Regulations were enacted. The
Respondent Minister further asserts that the definition of “discharge” in
section 185 of the CSA is sufficiently broad to cover all types of disposals at
sea, which are the sole and specific subject matter of Part 7, Division 3 of
the CEPA. That definition includes any “discharge of a
pollutant that directly or indirectly results in the pollutant entering waters,
and includes spilling, leaking, pumping, pouring, emitting, emptying, throwing
and dumping” (my emphasis).
[110]
I agree that this definition of “discharge” is
sufficiently broad to bring within the scope of section 187 of the CSA any “discharge”
of TBTs that may incidentally result from the disposal of the Annapolis, as
contemplated by the Permit. Therefore, even if the Annapolis may be said to
have “an anti-fouling system that contains [an]
organotin compound that acts as a biocide,” as contemplated by section
127 of the Vessel Pollution Regulations, the Minister did not act contrary to
law or beyond her jurisdiction in issuing the Permit. Section 187 of the CSA
specifically permitted her to do so.
[111]
In any event, the Court’s attention was not
directed toward any provision in the CSA, the CEPA or the Vessel Protection
Regulations that required the Minister to ensure compliance with those
regulations prior to issuing the Permit. I agree with the Respondent that
subsection 127(3) of the CEPA is very clear that, before issuing a permit under
subsection (1) or renewing it the Minister simply must “comply
with Schedule 6 and shall take into account any factors that the Minister
considers necessary.” As noted earlier in these reasons, no issue with
respect to Schedule 6 has been raised in this proceeding.
[112]
The Society also noted that section 130 of the Vessel
Protection Regulations requires every Canadian vessel of 400 gross tonnage or more
to hold and keep on board an International Anti-fouling System Certificate in
the form set out in Annex 4 to the Convention. The Society maintains that since
the Annapolis weighs approximately 2900 gross tons, the
ARSBC is required to hold and keep such a certificate.
[113]
I agree with the Respondent Minister that the
Minister is not required, and has no legal authority, to enforce compliance
with statutes or regulations outside her mandate which impose such types of
requirements. Stated differently, the obligation imposed by section 130 did not
prevent the Minister from issuing the Permit.
[114]
I would add in passing that it is the
responsibility of the party requesting a permit under the CEPA to ensure that
all other regulatory requirements that may be applicable in a given situation
are met.
[115]
More broadly, the Respondent Minister submits
that the Annapolis no longer falls within the definition of a “vessel,” set
forth in section 2 of the CSA. That definition states:
“vessel” means a boat, ship or craft
designed, used or capable of being used solely or partly for navigation in, on,
through or immediately above water, without regard to method or lack of
propulsion, and includes such a vessel that is under construction. It does not
include a floating object of a prescribed class.
[116]
Relying on Salt Spring Island Local Trust
Committee v B & B Ganges Marina Ltd, 2007 BCSC 892 at paras 35-44,
aff’d, 2008 BCCA 544 at paras 17-24 and 33-45 (“Salt Spring BCCA”), the Respondent
Minister asserts that this definition focuses on “navigation.” It maintains
that since the Annapolis has been prepared for disposal and use as an
artificial reef and will never again be used for navigation, it is not a
“vessel” within the definition set forth immediately above.
[117] Given that the definition of “vessel” includes a ship that was designed
to be used solely or partly for navigation, it is not immediately apparent
that the Annapolis is not still a vessel, for the purposes of the CSA. I note
that this view appeared to be shared by the British Columbia Court of Appeal,
when it observed the following: “It is clear that the
Floating Structure physically is a ship or vessel. It was designed to be used
in navigation. Implicit in the judge’s conclusions is a finding that it remains
designed to be used in navigation.” (Salt Spring BCCA, at para
38.)
[118]
Considering that I have already rejected the two
arguments described at paragraphs 108-114 above that the Society made with
respect to the Vessel Protection Regulations, it is not necessary to make a
definitive determination on this additional submission of the Respondent
Minister. A further reason for refraining from making such a determination is
that the Court did not have the benefit of receiving written submissions on the
other side of this issue.
(iii)
The CEPA
[119]
The Society submits that Canada’s implementation of its obligations under the Convention includes the provisions in Part 5 of
the CEPA, which deals with “Controlling Toxic Substances.” In this regard, the
Society draws attention to section 64, which states:
(64) For the purposes of this Part and Part
6, except where the expression “inherently toxic” appears, a substance is toxic
if it is entering or may enter the environment in a quantity or concentration
or under conditions that:
(a) have or may have an immediate or long
term harmful effect on the environment or its biological diversity;
(b) constitute or may constitute a danger to
the environment on which life depends; or
(c) constitute or may constitute a danger in
Canada to human life or health.
[120] The Society further notes that “Tributlytins” are listed in Schedule
1 of the CEPA, which is a “List of Toxic Substances
Managed under CEPA.”
[121]
However, the Society made no representations
with respect to section 64 or the list in Schedule 1.
[122]
The Respondent Minister maintains that section
64 simply provides a definition that is used for determining whether a
substance may be in included in Schedule 1. The Minister added that once a
substance is included in Schedule 1, certain other provisions of CEPA are
triggered, including powers to regulate the substance. These presumably include
the powers in section 71 (to require persons to notify the Minister of certain
things, to provide the Minister with information or samples, or to conduct such
tests as the Minister may specify), section 93 (to make regulations with
respect to a substance listed in Schedule 1) and section 199 (to require a
person to prepare and implement an environmental emergency plan).
[123]
In brief, the Minister asserted that the mere
fact that a substance is on the list in Schedule 1 does not operate as a ban of
the substance in Canada, or prevent the Minister from issuing a permit
authorizing the disposal of the substance. Instead, being included on the list
opens the door to other potential regulatory action, such as occurred with the
issuance of the PCB Regulations, SOR/2008-273, which impose a
prohibition on the release PCBs above a certain concentration into the
environment, other than from certain types of equipment referred to (section
5).
[124]
To date, no similar regulations have been issued
with respect to TBTs, although TBTs are addressed in the Prohibition of
Certain Toxic Substances Regulations, 2012, SOR/2012-285 (the “PCTS
Regulations”) Pursuant to section 4 of those regulations, “a person must not manufacture, use, sell, offer for sale or
import a toxic substance set out in Schedule I or a product containing it
unless the toxic substance is incidentally present” (emphasis added). However,
TBTs are not listed in Schedule 1 of those regulations. Instead, they are
listed in Schedule 2, which is entitled “Permitted Uses, Concentration Limits
and Reporting Thresholds.” The latter schedule was prepared pursuant to subsection
6(2) of the PCTS Regulations, which explicitly states that the prohibition on
the manufacture, use, etc. of toxic substances does not apply in certain
circumstances, including where the concentration limit is below 30% w/w. Most
importantly, subsection 7(2) of those regulations states that “[a] person may use, sell, or offer for sale a product set
out in [the part of Schedule 2 where TBTs appear] if it is manufactured or
imported before the day on which these Regulations come into force,”
i.e., on December 14, 2012.
[125]
Based on the foregoing, I agree with the
Respondent that there does not appear to be anything in the CEPA or the PCTS
Regulations which operates to establish a complete ban of a substance on
Schedule 1 of the CEPA or Schedule 2 of the PCTS Regulations, simply because
the substance is included within those Schedules.
[126]
The Society then notes that “all Tributyltins
compounds” are also covered by section 100 of CEPA, which establishes an Export
Control List for any substance that is subject to an international agreement
that requires notification or requires the consent of the country of
destination before the substance is exported from Canada. TBTs fall within the
scope of section 100 because they appear in Part 2, of Schedule 3 to the CEPA.
[127]
However, once again, I agree with the Respondent
that section 100, like the other provisions pertaining to the export of
substances, are concerned exclusively with the export of substances that are
listed in Schedule 3. They are not relevant to the issuance of the Permit, and
have no bearing on this Court’s review of the Permit.
(iv)
Conclusion regarding the assertion that the
Minister acted contrary to law in issuing the Permit
[128]
Based on the conclusions reached in sections (i)
– (iii) immediately above, I am satisfied that the Minister did not act
contrary to law in issuing the Permit. Contrary to the Society’s assertions,
neither the Convention, the CEPA, nor the Vessel Pollution Regulations
establish any ban on TBTs or otherwise prevented the Minister from issuing the
Permit, due to the presence of minute amounts of TBTs in the hull of the Annapolis. The same is true of the PCTS Regulations.
C.
Was the Minister’s decision to issue the Permit
unreasonable?
[129]
In the alternative, the Society submits that the
Minster’s decision to issue the Disposal at Sea Permit was unreasonable for
three principal reasons.
[130]
First, the Society asserts that the reasons
provided in the Minister’s letter dated January 7, 2015 do not explain the
basis for her conclusion that the Annapolis “can be
disposed of in a manner that does not pose a significant risk to the marine
environment or human health.” Relying on Newfoundland and Labrador’s
Nurses’ Union v Newfoundland and Labrador, 2011 SCC 62, at paras 14-16 (“Nfld
Nurses”), the Society maintains that nothing in the Decision Record
pertaining to the issuance of the Permit addresses the risk posed to the marine
environment or human health by the presence of TBTs in the ship’s hull. The
society adds that the Decision Record fails to establish that there has been a
sound, justifiable, transparent and intelligible assessment of the TBTs in the
paint on the hull of the Annapolis, as required by Dunsmuir, above, and
its progeny. Stated differently, the Society posits that neither the reasons
offered nor the Decision Record allow this Court to understand why the Permit
was issued and whether its issuance is within a range of possible, acceptable
outcomes which are defensible in respect of the facts and law.
[131]
Second, the Society submits that the Minister
failed to apply Environment Canada’s Clean-up Standard in relation to the
“inconclusive” tests that were conducted for TBTs on the hull of the Annapolis. In this regard, the Society maintains that there is no evidence that the
protocol set forth in the Clean-up Standard for the testing of anti-fouling
paints was followed, because the Decision Record does not include those tests
and does not reflect whether six separate samples were obtained from the hull
or whether leachate tests were conducted. The Society further asserts that the
“inconclusive” test results could not reasonably form the basis for Environment
Canada’s conclusion, reflected in the Decision Record, that the anti-fouling
paint on the ship’s hull was considered to be non-active. In this regard, the
Society notes, among other things, that the inspection conducted by Mr. Darryl
Hansen in June 2011 failed to assess the underwater portion of the hull; and
that his subsequent inspection in June 2012 (the “June 2012 Inspection
Report”) failed to assess the hull paint system visually.
[132]
Third, during the hearing, the Society
maintained that if there were any TBTs whatsoever still in the ship’s hull, it
would not have been reasonably open to the Minister to issue the Permit. The
Society asserts that there are such TBTs in the ship’s hull, based on the
following: (i) the tests that the Society conducted in December 2014; (ii) the
above-mentioned “inconclusive” tests; and (iii) a statement made in an
affidavit sworn by Mr. Barry Smith, a senior official within Environment
Canada, that the Society interprets as a confirmation that the ship was in fact
painted with anti-fouling paint containing TBTs. The Society then relies
largely on scientific evidence to explain why it was unreasonable for the
Minister to issue the Permit, given the presence of TBTs in the hull of the Annapolis.
[133]
I disagree with the foregoing positions of the
Society.
[134]
At the outset, it should be kept in mind that,
under the CEPA, the Minister’s decision to issue a Disposal at Sea Permit is
highly discretionary. Pursuant to subsection 127(1), the Minister may,
on application, issue such a permit. Before doing so, she is simply required to
comply with Schedule 6, which is not at issue in this proceeding, and to take
into account any factors that she considers necessary (ss. 127(3)). Even
if a Notice of Objection is subsequently filed, the Minister has complete
discretion to decide whether to convene a Board of Review (ss. 333(5)) and
whether to suspend, revoke or vary a permit having regard to the outcome of any
Board of Review (ss. 129(3)).
[135]
Moreover, the Decision Record and the second
Affidavit of Barry Smith (“Second Smith Affidavit”), Regional Director for
Environment Canada’s Canadian Wildlife Service, reflect that the decision to
issue the Permit was a fact-intensive exercise.
[136]
These considerations dictate that the decision
should be approached with deference on judicial review, and that the “range of possible, acceptable outcomes, which are defensible
in respect of the facts and law” (Dunsmuir, above, at paras
51-53) is broader than may otherwise be the case (Canada (Attorney
General) v Abraham, 2012 FCA 266, at paras 42-50 [“Abraham”]. In any
event, I am satisfied that the Minister’s decision to issue the Permit fell
well within that range, and not close to its margins.
(i)
The basis for the issuance of the Permit
[137]
With respect to the basis of the Minister’s
decision to issue the Permit, there was no duty to issue detailed reasons,
separate and apart from the Decision Record and the contents of the Permit. As
with other types of permit decisions by Ministers or their delegates, such as
work permits issued under the Immigration and Refugee Protection Act, SC
2001, c 27, the record of the decision-maker can serve to meet the requirements
of justification, transparency and intelligibility (see for example, Singh v
Canada (Minister of Citizenship and Immigration), 2009 FC 620, at para 8; Ahmed
v Canada (Minister of Citizenship and Immigration), 2013 FC 1083, at para
24; Lally v Telus Communications Inc, 2014 FCA 214, at para 33; HBC
Imports v Canada (Border Services Agency), 2013 FCA 167, at para 14). This
is also true in other areas of the law (Baker v Canada (Minister of Citizenship and Immigration), [1999] 2 S.C.R. 817, at para 44 (“Baker”).
[138]
In this case, the Decision Record, together with
the previously discussed letter, dated January 7, 2015, sent by the Minister to
the Society’s counsel, allow the Court to understand why the Minister issued
the Permit and enable the Court to determine whether the decision to issue the
Permit falls within a range of possible, acceptable outcomes in fact and law (Nfld
Nurses, above, at para 16).
[139]
As I have discussed earlier in these reasons,
the Minister’s letter assured the Society that its interventions had been taken
seriously and had informed the scope of the assessment that was carried out.
This included the concerns that the Society had raised regarding “the sufficiency of sampling and clean-up, transparency,
contaminants and the meeting of legal requirements.” The letter concluded
by stating that the Minister had determined that “the
former HMCS Annapolis can be disposed in a manner that does not pose a
significant risk to the marine environment or human health.”
[140]
This is all confirmed and further supported by a
review of the Decision Record and by the Second Smith Affidavit. As explained
in paragraph 5 of that affidavit, Mr. Smith is the official who actually issued
the Permit on behalf of the Minister.
[141] With respect to the specific issue of TBTs, this was first raised in
a very cursory manner by Mr. Peters, counsel to the Society in an e-mail dated
June 21, 2010 to two representatives of Environment Canada. At that time, Mr.
Peters referred to the Vessel Pollution Regulations, noted that organotin
compounds were included on the list of newly banned or restricted substances,
and observed that such compounds, also known as TBTs, act as biocides in
anti-fouling systems in the exterior paint of ships. He then inquired as to
whether the Department of National Defence had obtained an anti-fouling
certificate pursuant to the new regulations, prior to transferring the ship to
the ARSBC. In addition, he inquired as to whether the ARSBC had removed any TBT
anti-fouling paint from the exterior of the ship’s hull (Applicant’s Record, p.
552). In response, Environment Canada sent a copy of the Clean-up Standard and answered
that “for Environment Canada’s disposal at sea program,
paints are addressed in section 7 of the attached clean-up standard.” It
added that it would be reviewing the results of the assessment against the
Standard. It then invited Mr. Peters to contact the Department of National
Defence regarding the anti-fouling certificate and the ARSBC regarding action
taken since acquiring the ship.
[142]
It appears that the Society did not specifically
raise the issue of TBTs again until it did so in its letter to the Minister
dated December 9, 2014 – more than two months after the issuance of the Permit,
and after a long history of dealings with Environment Canada in relation to the
issue of PCBs aboard the ship.
[143]
This may explain why TBTs are not discussed
extensively in the Decision Record.
[144]
In any event, there are several explicit and
implicit references to TBTs in that record. With respect to the former, there
are three such references in the Report of Compliance with the Environment Canada
Clean-up Standard for Disposal at Sea of Vessels, dated July 2014 (the “July
2014 Inspection Report”), which was prepared by Mr. Jeffrey Smith.
[145]
In the first of those explicit references, the
following is noted: “No objectionable paints were
found. The exterior underwater hull was appraised for the possible presence of
organotin coatings, notably tributyltin based paints. Painted surfaces inside
the Vessel were found substantially intact with minimal deterioration more than
18 years after they have last been maintained. Only in some lower bilge areas
where corrosion is evident or there has been mechanical impact from work done
in the Vessel are coatings beginning to deteriorate.” (Decision Record,
at 338.)
[146]
The second of those explicit references is
contained in the following passage: “The Vessel is
essentially free of anti-fouling coatings. Such coatings would have been
applied only as recently as 1996. Moreover, there is now present extensive
marine growth on the hull. Further, about one-fifth of the entire hull area, on
the exterior of the Engine Room and Boiler Room has previously been covered
with acoustic tile, and is entirely free of any organotins (tributyltins) or
other compounds.” (Decision Record, at 346.)
[147]
The third of those explicit references was dealt
with as follows: “The hull was also assessed for the
presence of organotin coating, namely, tributyltin paint. Such paint was
routinely used during the service life of the Vessel. However, scrape tests at
and below the water line were inconclusive. The most recent application of such
paint could not have been later than 2004 (and was likely in 1996 at the
latest) and so any such paint is concluded to have dissolved away. This is
confirmed by the pronounced marine biological growth along the extent of the
hull.” (Emphasis added, Decision Record, at 372.)
[148]
The underlined language in the passage quoted
immediately above is relied upon by the Society as confirmation that the Annapolis was in fact painted with TBTs. However, in his first affidavit, sworn on January
16, 2015 (the “First Smith Affidavit”), Mr. Barry Smith stated: “Environment Canada is not aware of whether or not
anti-fouling paint containing TBT was ever used on the underwater hull of the Annapolis.”
I do not see these two statements as being necessarily inconsistent. I
interpret the former as simply stating that TBTs were routinely used during the
period of time that the Annapolis was in service.
[149]
Turning to the implicit references to TBTs in
the Decision Record, the first appears in the Annapolis Issue Tracking Table,
at pages 9 and 10 of that record. There, under the heading “Concern,” mention
is made of the following:
- “Lead based paint
washing up onshore where Youth Camp children are swimming”;
- Certain species of marine life being “potentially exposed to contaminants/hazardous materials
leaching off vessel once it is sunk”;
- “… loose debris
in the bay such as lead-based paint flakes or asbestos fibres washing up
on the shoreline, posing risks to marine species that mistake such debris
as food source…”;
- “whether EC’s
clean up Standard [sic] is protective of human health and the environment”.
[150]
These are essentially the same health and
environmental concerns that the Society has raised in this proceeding.
[151]
At page 34 of the Decision Record, the issues of
“lead paint” and “loose and flaking exterior and interior paints” are addressed
in somewhat greater detail.
[152]
With respect to the Clean-up Standard, the
Tracking Table states the following, under the heading “EC Response”: “Schedule 5 of CEPA identifies vessels as being eligible for
disposal at sea with the stipulation that “all material that can create
floating debris or other marine pollution has been removed to the maximum
extent possible.” Environment Canada relies on its Clean-up Standard to meet
this objective.”
[153]
This latter statement is confirmed in the First
Smith Affidavit, at paragraph 12, where it is explained that Environment Canada
developed the [Clean-up Standard] to “assist in assessing
whether or not the requirements of Schedule 5 of CEPA are met in respect of the
disposal of vessels at sea…” Mr. Smith added that the Clean-up Standard
is revised from time to time, and that the current version was issued in
December 2007.
[154]
It will be recalled that Schedule 5 is the
provision that, pursuant to subsection 122(1), defines “waste or other matter”
and that section 125 of CEPA prohibits the disposal of substances at sea unless
the substance is “waste or other matter” and the
disposal occurs in accordance with a Canadian permit. Pursuant to section 3 of
Schedule 5, ships fall within the definition of “waste
or other matter,” provided that “… all material that can create
floating debris or other marine pollution has been removed to the maximum
extent possible if, in the case of disposal, those substances would not
pose a serious obstacle to fishing or navigation after being disposed of.”
[155]
Additional implicit references to TBTs in the
Decision Record include those mentioned in the June 2011 and June 2012
inspection reports of Mr. Darryl Hansen. As noted at paragraph 131 above, Mr.
Hansen stated in the first of those reports: “The
status of the underwater hull paint was not assessed visually at the
preliminary inspection. The records provided by the proponent will be reviewed
before the next report.” (Decision Record, at 230.) The following year,
Mr. Hansen reported as follows: “The status of the
underwater hull paint system was not assessed visually. The hull paint was
applied more than twelve years ago and thus meets the requirements of the
Standard, part 7.1.” (Decision Record, at 302.)
[156]
In addition to the foregoing, and contrary to
the Society’s assertions, the Decision Record as a whole, particularly when
taken together with the Minister’s letter dated January 7, 2015, reflect the
basis for the Minister’s conclusion that the Annapolis “can
be disposed of in a manner that does not pose a significant risk to the marine
environment or human health.” That record also demonstrates there was a
justifiable, transparent and intelligible assessment of the risks posed by the
potential presence of TBTs in the ship’s hull, prior to the issuance of the
Permit, and that this assessment was taken into account by the Minister, prior
to issuing the Permit. This was confirmed in the Second Smith Affidavit, at
paragraph 78, which was not contested. Environment Canada also satisfied itself
that the requirements of Schedule 5 were met (Decision Record, at pp. 10
and 33-34, Second Smith Affidavit, at para 18).
[157]
In brief, before the Permit was issued, Environment Canada conducted
a review process that extended several years. During that process, it obtained
reports from the marine biologist Dr. Gollner, the aquatic ecologist Dr.
Biffard, and Dr. Marliave of the Vancouver Aquarium, which all conclude that
the artificial reef would positively contribute to the Halkett Bay ecosystem by providing new habitat for the endangered rockfish. In addition, the record
confirms that the Squamish and Tsleil-Waututh First Nations provided their
support, in part based on the fact that the creation of an artificial reef
would have beneficial effects on the marine habitat in Halkett Bay. BC Parks also confirmed that the proposed disposal of the Annapolis in Halkett Bay Provincial Marine Park would have a beneficial recreational, social and
environmental impact. Further, a series of at least six inspection reports
prepared by Designated Inspectors over the period 2009 to 2014 reviewed the
progress of the clean-up efforts that were made in respect of the Annapolis and ultimately concluded in 2014 that the Clean-up Standard was satisfied,
including with respect to anti-fouling coatings. Before reaching that
conclusion, concerns that had been raised by the Society regarding the presence
of PCBs on the ship were thoroughly addressed, at a cost of almost $900,000.
[158]
According to an affidavit sworn by Howard
Robins, the clean-up efforts also included cleaning the ship of all residual
hydrocarbons and other potentially harmful substances. This often meant that
several of the Ship’s systems had to be dismantled and removed so that areas
requiring cleaning could be wiped down and opened up for inspection. In
addition, many areas and components of the ship had to be hand cleaned. It is
estimated that at least 1,000 workers and volunteers have helped with this
project, contributing to at least 17,000 labour hours. (Affidavit of Howard
Robins, dated February 10, 2015, at paras 31-33.)
[159]
In addition to the foregoing, the DFO also approved the sinking
of the Annapolis, after conducting an assessment of whether it might “adversely impact listed aquatic species at
risk” (Decision Record, at pages 330-331). That approval is
contingent on adherence to certain mitigation measures which have not been
disputed in this proceeding.
[160]
Furthermore, in 2012, pursuant to
subsections 5(1) and (3) of the Navigable Waters Protection Act, RSC
1985, c N-22, Transport Canada also approved the work to be undertaken
by the ARSBC to create an artificial reef by sinking the Annapolis, as long as
the terms and conditions of the approval were met (Robins Affidavit, ARSBC
Record, at pages 208-211). Transport Canada updated its approval in April 2014
(Robins Affidavit, ARSBC Record, at page 270).
[161] It is also relevant to note that the Permit requires the
ARSBC to allow an Enforcement Officer designated pursuant to subsection 217(1)
of the CEPA and/or a representative of Environment Canada to board and inspect
the Annapolis prior to its disposal.
[162]
Given the foregoing, I am satisfied that the Decision
Record and the Minister’s letter dated January 7, 2015 allow this Court to
understand why the Permit was issued and whether its issuance is within a range
of possible, acceptable outcomes which are defensible in respect of the facts
and the law (Nfld Nurses, above, at para 16; Dunsmuir, above, at
para 47).
(ii)
Consistency with the Clean-up Standard
[163]
For the purposes of this Application, the
relevant provisions of the Clean-up Standard are those in Section 7.1, which deals
with anti-fouling coatings on ships. That section begins by stating: “Anti-fouling coatings must be in a non-active state before a
permit under the Regulations can be issued. Permit applicants may satisfy this
requirement in one of several ways.” It then proceeds to identify four
different ways in which this may be done. One of those ways is by conducting
testing to ascertain the status of the anti-fouling coating. If this method is
selected, at least six samples from various portions of the underwater hull
will be required and subjected to leachate tests as specified by the
responsible Environment Canada official. As the Society has pointed out, the
tests that were conducted in an attempt to satisfy this requirement in respect
of the Annapolis proved to be “inconclusive.”
[164]
However, what the Society failed to point out is
that Environment Canada then relied on two of the other means of satisfying the
requirement, as set forth in the Clean-up Standard. Those related to the age of
the anti-fouling coating and the amount of marine growth on the underwater
hull.
[165]
As discussed at paragraph 147 above, the July
2014 Inspection Report noted that the paint on the ship’s hull could not have
been applied later than 2004, and was likely applied in 1996, at the latest.
Accordingly, it was concluded that the TBTs in the paint had likely dissolved
away. A similar conclusion was reached in the June 2012 Inspection Report.
These determinations were consistent with the Clean-up Standard, which states: “Coatings applied more than twelve years in the past will be
considered to be non-active.” That 12 year benchmark was increased from
five years in the most recent revisions to the Clean-up Standard.
[166]
The conclusion in the July 2014 Inspection
Report that the TBTs had likely dissolved away, based on the age of the last
painting of the hull, was then confirmed by the presence of “pronounced marine biological growth along the extent of the
hull.” This also appears to have been consistent with the Clean-up
Standard, which states: “Underwater hulls that are more
than 80% covered with marine growth will be assumed to have non-active
anti-fouling coatings.” This is presumably because, if marine growth on
the hull is extensive, the amount of TBTs left in the paint cannot be
significant.
[167]
The conclusions stated in the July 2014
Inspection Report and in the June 2012 Inspection Report are corroborated in
the affidavit of Mr. Michael Stege, Project Manager for in-service support
contract for Royal Canadian Navy (“RCN”) Iroquois class ships. At
paragraphs 7 and 8 of his affidavit, Mr. Stege states that he attended an
underwater hull inspection of the Annapolis on December 17-19, 2013 and “saw that, at the commencement of the inspection, the
underwater hull was nearly entirely covered with marine life and growth, most
visibly including mussels, barnacles and crabs.” At paragraph 14, Mr.
Stege states that he was informed by Kenneth Hammond, who was “the senior hull tech on the Annapolis during its penultimate
refit in 1991,” that the ship “last received RCN
dry-dock maintenance work in 1994, at which time its hull would have been
cleaned and likely repainted.” He added: “this
was the last work done to the hull before the ship was decommissioned in 1998.
The Annapolis was not repainted by RCN or DND after it was decommissioned.”
Mr. Stege’s evidence was not challenged by the Society.
[168]
Accordingly, the uncontested evidence is that
the hull of the ship was nearly entirely covered with marine life and growth
when it was inspected at the end of 2013, and that it was last painted in 1994,
approximately 20 years before the July 2014 Inspection Report.
[169]
It follows that, contrary to the Society’s
assertions, the issuance of the Permit did not contravene the Clean-up
Standard. It was entirely consistent with that previously unchallenged
Standard. This, in and of itself, is “a badge of reasonableness under Dunsmuir,”
(League for Human Rights of B’Nai Brith Canada v Canada, 2010 FCA 307,
at para 87; Abraham, above, at paras 54, 55 and 59; Baker, above,
at para 72).
[170]
I would add in passing that, by complying with
the Clean-up Standard, the Permit also complied with subsection 127(1) of the
Vessel Pollution Regulations. In short, even if those regulations applied to
the Annapolis, they simply require the authorized representative of a ship to
ensure that the ship does not have an anti-fouling system that contains “any
organotin compound that acts as a biocide.” Given the age of the anti-fouling
paint and the extent of marine life growth on its hull, the Clean-up Standard
deemed that anti-fouling paint to be non-active.
(iii)
Was it reasonably open to the Minister to issue
the Permit given the presence of TBTs in the hull of the ship?
[171]
This leaves the Society’s last ground for
challenging the issuance of the decision, namely, that it was not reasonably
open to the Minister to issue the Permit if there were any TBTs in the hull of
the Annapolis.
[172]
It appears that the only confirmation of the
presence of TBTs in the hull of the Annapolis is provided by an analysis of a
paint sample which Mr. Andrews states was obtained from the ship (Andrews
Affidavit, at para 10). The analysis of that sample, which was
commissioned by the Society, indicated the presence of trace amounts of TBTs in
the paint. According to an affidavit sworn on January 19, 2015 by Mr. Kenneth
Doe (the “First Doe Affidavit”), a retired former Biologist and
Toxicologist with Environment Canada, the amount of TBTs in that paint sample
is minute, representing a fraction by weight of 0.000697%.
[173]
Notwithstanding this very minute amount of TBTs
found to be in the paint sample from the Annapolis, the Society maintains that
those toxins present an unacceptable risk to the marine environment and human
health. Relying on the scientific evidence briefly identified in Part VII of
these reasons above, primarily that which is set forth in the Pelletier
Affidavit, the Society asserts that the Minister’s conclusion that the residual
amounts of TBTs in the anti-fouling paint of the Annapolis have ceased to act
as a biocide is contrary to science, which establishes that TBTs are effective
and toxic at the nanogram level to living marine organisms. It adds that the
TBTs in that paint continue to present an unacceptable risk of bioaccumulation
and biomagnifications up the food chain. As a result, it submits that the
Minister’s issuance of the Permit and reliance on an outdated Clean-up Standard
that was issued before the relevant provisions of the Vessel Pollution
Regulations came into force in 2008 does not fall within the range of possible,
acceptable outcomes which are defensible in respect of the facts and the law.
[174]
Dr. Pelletier agreed with Mr. Doe’s finding that
the concentration of TBTs in the paint sample tested by the Society is only a
tiny fraction of what it was when the ship was painted for the last time.
However, he disagreed with Mr. Doe’s conclusion that the TBTs in the ship’s
hull are no longer “active.”
[175]
Dr. Pelletier opined that the science
demonstrates that the residual amount of TBTs in the ship’s hull can continue
to function as a biocide, even if only in a limited capacity, and can continue
to harm marine life and the environment, including through bioaccumulation and
biomagnifications up the food chain. He implied that even if the TBTs may not be
currently harming marine life and the environment, this will change when the
TBTs are released when the ship is sunk with the assistance of a number of
planned explosions underwater through the hull of the ship. He stated that such
explosions will inevitably create a large number of small paint flakes that
will slowly settle down within the vicinity of the ship on an unknown surface
of sediment, depending on the strength of local currents. He added that the
explosive shock will also weaken the paint on both sides of the hull, creating
multiple fissures and cracks in the paint surface, through which TBTs will be
able to escape. Finally, he maintained that the shock waves associated with the
explosions would cause some of the organisms currently attached to the hull to
fall off and become preys of fish and other predators, which would then become
poisoned with the TBTs.
[176]
In response to the
Pelletier Affidavit, Mr. Doe swore a second affidavit (the “Second Doe
Affidavit”), dated February 6, 2015. Mr. Doe began by stating that he
agreed with Dr. Pelletier’s conclusions that TBTs are highly toxic, persistent
and bioaccumulative. However, he disagreed with Dr. Pelletier’s conclusions
that the sinking of the Annapolis in its present state would present a risk to
aquatic organisms in Halkett Bay Marine Park. He also disagreed with Dr.
Pelletier’s statement (at paragraph 10) that “the
actual concentration of TBT in paint has to be compared with TBT concentration
in marine sediment, and specially sediment from the location where the
Annapolis is expected to be sunk.”
[177] Mr. Doe then noted that the principles of ecological risk assessment
are outlined in a document, attached as Exhibit C to the Second Doe Affidavit,
entitled “Recommended Guidance and Checklist for Tier 1 Ecological Risk
Assessment of Contaminated Sites in British Columbia – Chapter 1.
Introduction”, prepared by the Province of British Columbia (the “Checklist”).
He quoted a passage from that document in which the following is stated: “[A] chemical poses no risk to an organism unless exposure
occurs. This is extremely crucial as virtually all materials have some
biological effect. However, unless enough of the chemical interacts with a
biological system, no effects can occur. Risk is a combination of exposure,
receptor and hazard expressed as a probability.”
[178]
Mr. Doe proceeded to note that the amount of
TBTs found in the sample tested by the Society “represents
a reduction in quantity of between 99.992% and 99.996% of what would be
expected to be found in fresh antifouling paint.” (Second Doe Affidavit, at paragraph 8.) This
is equivalent to approximately .004-.008% of the concentration found in
fresh anti-fouling TBT paint. Based on this, he opined: “I have very high confidence that any
concentration of TBT that could originate from the hull of the Annapolis in its
present state and accumulate in a local environment would be too low to cause
concerns as to adverse environmental impacts. It is my opinion that the risk
posed to the adjacent environment from the non-active antifouling paint on the
underwater of the Annapolis is improbable and negligible.”
(Emphasis added.)
[179]
The Society seizes on the underlined words in the quote
immediately above to suggest that Mr. Doe’s opinion did not take into account
the effects of the explosions that will occur when the ship is sunk. I
disagree. In my view, those words mean “in its present state, with
anti-fouling paint that is now 20 years old and covered with marine growth.”
This interpretation is supported by the concluding statement in the First Doe
Affidavit, where Mr. Doe stated: “I
have a very high degree of confidence that any concentration of TBT that could
originate from the Annapolis and accumulate in a local environment would be too
low to cause concerns of adverse environmental impacts.”
(Emphasis added.)
[180]
At the end of the day, the Court is left in a
position of having to deal with conflicting scientific opinions and supporting
analysis of Dr. Pelletier and Mr. Doe, respectively. In attempting to reconcile
that evidence, the Court did not have the benefit of any cross-examination on
those affidavits.
[181]
On balance, that scientific evidence, together
with the other scientific evidence filed by the parties (consisting primarily
of scientific articles) is inconclusive, in terms of assisting the Court to
determine whether any TBTs that exist in the hull of the Annapolis present a
real prospect of causing a material risk to human health or the environment.
Stated differently, that evidence does not assist the Court in determining
whether the Minister’s decision to issue the Permit was unreasonable.
[182]
In the absence of clear and compelling evidence
that any TBTs that remain in the Annapolis pose a real prospect of harming
human health or the marine life in Halkett Bay in a material way, the
Minister’s implicit decision that the sinking of the ship will not pose such a
risk will be accorded deference (Inverhuron & District Ratepayers Assn v
Canada (Min of Environment), 2001 FCA 203, at paras 35-36; Mountain
Parks Watershed Assn v Chateau Lake Louise Corp, 2004 FC 1222, at para 16).
[183]
The Society also objects to the Minister’s
reliance on the Clean-up Standard, based on the fact that it was last revised
before the relevant provisions of the Vessel Pollution Regulations came into
force. The Society maintains that the Clean-up Standard no longer reflects the
latest scientific learning with respect to TBTs.
[184]
The Respondents reply that this amounts to an
attack on the Clean-up Standard itself, and that it is not open to the Society
to challenge the Clean-up Standard itself in this judicial review.
[185]
I agree. In the absence of a demonstration of
bad faith on the part of the Minister in developing the Clean-up Standard,
non-conformity with the principles of natural justice or reliance on
considerations that are irrelevant or extraneous to the statutory purpose set
forth in the CEPA, the Clean-up Standard is not subject to review by this Court
(Carpenter Fishing Corp v Canada, [1998] 2 FC 548, at para 28; Tucker
v Canada (Minister of Fisheries and Oceans), 2001 FCA 384, at para 2; Bow
Valley Naturalists Society v Canada (Minister of Canadian Heritage), [2001]
2 FC 461, at para 78; Timberwest Forest Corp v Canada, 2007 FC 148, at
para 89).
[186]
Quite apart from the foregoing, two objective
measures of the reasonableness of the provisions in the Clean-up Standard
regarding anti-fouling paints are that (i) those provisions have not been
challenged since the standard was last revised in December 2007, over seven
years ago, and (ii) those provisions are consistent with those in the
corresponding standard that exists in the United States and with the practices
followed in Australia. Indeed, given the uncontested evidence that the
Annapolis was last painted with anti-fouling paint in 1994, approximately 20
years prior to the issuance of the Permit, the Minister’s conclusion that any
TBTs in the hull of the ship are no longer in an active state was also
consistent with the standard that has been adopted in the United Kingdom.
[187]
In passing, it bears reiterating that the twelve
year benchmark applicable to anti-fouling coatings, as set forth in section 7.1
of the Clean-up Standard, was increased from five years, after Environment
Canada specifically revisited that benchmark, when the Clean-up Standard was
last revised in December 2007.
(iv)
Conclusion regarding the reasonableness of the
Minister’s decision to issue the Permit
[188]
Based on all of the foregoing, I am satisfied
that the Minister’s decision to issue the Permit was not unreasonable.
IX.
Conclusion
[189] For the reasons set forth in parts VII and VIII above, this
application is dismissed.
X.
Costs
[190]
The Society submitted that it should be awarded
costs even if it was not successful on this Application.
[191]
I disagree.
[192] The
fact that the Society raised issues of public interest in this proceeding is
only one factor to be considered in awarding costs. Pursuant to Rule 400(3) of
the Federal Courts Rules, SOR/98-106. Others include the result of the proceeding, whether any
step in the proceeding was taken through negligence or mistake, and any other matter that the Court considers
relevant.
[193]
In my view, the
Society’s substantial delay in filing this Application, together with the
consequent prejudice suffered by the ARSBC as a result of that delay and the
subsequent temporary injunctions issued by this Court, warrant costs to be
awarded to the prevailing parties, namely, the Respondents.
[194]
However, given
the public interest nature of this Application, I decline the ARSBC’s request
for costs on an elevated scale.
[195] Costs will be awarded to the Respondents in
accordance with the mid-point of Column III of Tariff B of the Federal
Courts Rules, above.