Evaluation of the Canada-U.S. Clean Energy Dialogue

1.

That Environment Canada, as lead and in consultation with NRCan and DFAIT, explore linkages between the CED and existing funding mechanisms to maximize synergies and improve the efficiency and effectiveness of the CED in meeting Action Plan recommendations.

The evaluation demonstrated that there is a continued need for the CED to meet key international climate change challenges and to align Canadian and U.S. responses to climate change. However, CED is not a funding mechanism per se and each CED project must rely on other program funding for significant investments. While progress has been made in most recommended areas, improving the linkages to existing funding mechanisms may further help to move CED initiatives forward. As well, there is an opportunity for the CED to both inform and be informed by the investment choices of other programs involved in clean energy through these connections. Therefore, it would be beneficial for the CED to explore possible avenues to connect with existing funding mechanisms.

Statement of Agreement/Disagreement with the Recommendation

The ADMs of the International Affairs Branch and the Science & Technology Branch at Environment Canada, the ADMs of the Energy Sector, the Innovation & Energy Technology Sector and the Science & Policy Integration Sector at NRCan, and the ADM of Americas at DFAIT agree with the recommendation.

Management Action

Recognizing the need to deliver tangible results and make best use of limited resources, the CED Secretariat has reallocated resources in order to provide greater support for CED projects. Moving forward, the CED Secretariat will ensure there is proper balance between the funding of the Secretariat, the working groups and DFAIT CED outreach activities in the U.S.

Linking the CED with existing funding mechanisms, where appropriate, would help to improve the effectiveness of the CED. Therefore, Environment Canada, NRCan and DFAIT commit to explore possible opportunities to link the CED to other funding sources within their departments and beyond. An overall report on how the CED could be linked to existing funding mechanisms will be written by the Secretariat, in collaboration with working groups, and submitted to the Deputy Ministers of NRCan and Environment Canada.

2.

That NRCan, as lead and in consultation with Environment Canada, consider ways to enhance the level of engagement with provincial partners to advance CED objectives.

It would be beneficial for the CED working groups to assess the appropriate level of engagement with external partners. In particular, given the provincial responsibility in electricity generation, it would be advantageous for the Electricity Grid Working Group to re-examine their level of engagement with provincial partners to facilitate more active federal-provincial dialogue. While the Electricity Grid Working Group view the CED conferences as sufficient avenues for domestic consultations, interviewees from most other groups involved in electricity grid initiatives (e.g., provincial representatives, advisors, program staff) noted the need for more engagement. There would be value added, therefore, for the Electricity Grid Working Group to clarify the needs of working group members and work to enhance the level of its engagement with provinces. This would facilitate moving CED objectives forward in this focus area.

Statement of Agreement/Disagreement with the Recommendation

The ADMs of the International Affairs Branch and the Science & Technology Branch at Environment Canada, the ADMs of the Energy Sector, the Innovation & Energy Technology Sector and the Science & Policy Integration Sector at NRCan, and the ADM of Americas at DFAIT agree with the recommendation.

Management Action

Increased provincial participation in activities of the Electricity Grid Working Group is welcomed and, going forward, opportunities will continue to be provided for provincial engagement in various CED events.

NRCan’s ADM of the Energy Sector, and Canadian co-chair of the Electricity Grid Working Group, commits to convening regular conference calls with interested provincial officials to provide an update on the work of the Electricity Grid Working Group. A teleconference was held in November 2010 and provided an opportunity to highlight the upcoming Smart Grid Conference (in January 2011) and discuss next steps and opportunities for greater project collaboration.

In addition, both NRCan and Environment Canada will continue to make efforts to provide periodic updates on the CED at appropriate federal/provincial/territorial meetings that touch on climate change and clean energy policy issues. For example, NRCan has been providing updates to provincial/territorial Energy Ministers through the annual Energy and Mines Ministers Conference, while Environment Canada has provided updates through regular federal/provincial/territorial meetings focused on international climate change negotiations.

3.

That Environment Canada, as lead and in consultation with NRCan and DFAIT as appropriate, clarify, document and communicate the roles and responsibilities of all key players involved.

The evaluation found that the roles and responsibilities for key players in the CED need to be more clearly defined and communicated. For example, there needs to be more clarity around the roles and responsibilities of the CED Secretariat and NRCan’s coordinating function for providing support to the working groups. As well, the roles and responsibilities of the working groups themselves need to be clarified and understood by all those involved, particularly with respect to planning and reporting requirements. For some of the key players in the CED, roles and responsibilities have evolved over the course of the first year of implementation. For example, the use of external advisors in implementing the CED has been reduced and expectations for these private sector partners need to be reviewed and adjusted accordingly. In addition, the outreach role of the DFAIT special advisor shifted as the CED’s focus moved to clean energy technology cooperation.

Discussing and documenting the roles for all key Canadian players of the CED, therefore, will ensure a clearer understanding of the responsibilities and contributions that each can make. It would also be beneficial to identify the connections across key players and the support that can be expected to meet CED objectives. A clear plan for communicating these roles and responsibilities should also be developed and implemented to ensure increased awareness among all key players.

Statement of Agreement/Disagreement with the Recommendation

The ADMs of the International Affairs Branch and the Science & Technology Branch at Environment Canada, the ADMs of the Energy Sector, the Innovation & Energy Technology Sector and the Science & Policy Integration Sector at NRCan, and the ADM of Americas at DFAIT agree with the recommendation.

Management Action

Steps have been taken to clarify roles and responsibilities of key CED players. In April 2010, Deputies asked that CED commitments, including roles and responsibilities, be included in the executive performance agreements of the ADMs involved with the CED. Further efforts to define and communicate roles and responsibilities of key CED players will be made.

The CED Secretariat and Canadian Working Group Co-Chairs will re-examine the roles of private sector advisors and inform them of their expected roles moving forward. The Secretariat will hold regular discussions among key CED players, and, in collaboration with working groups, will develop an organizational chart, a contact list and an approval process chart to help increase the awareness of roles and responsibilities of key CED players.

4.

That Environment Canada, as lead and in consultation with NRCan and DFAIT as appropriate, develop detailed workplans and implement mechanisms to ensure the ongoing and accurate collection of performance data on the progress of CED projects, including reporting requirements and timelines.

While the evaluation found that mechanisms have been developed to report on the progress of CED projects recommended in the Action Plan (e.g., project tracking matrix and project information sheets), these are insufficient in providing accurate and fulsome data on progress towards achieving CED objectives. These tools for monitoring project progress were not always complete and did not provide sufficient information to constitute comprehensive work planning for each Action Plan recommendation. This made it difficult to fully and accurately assess the performance of the CED, particularly progress towards achieving expected outcomes. Therefore, should funding be renewed, it would be beneficial for each Working Group to develop detailed workplans for their respective recommended projects at the outset of each initiative, including identified deliverables, milestones and timelines where appropriate. The CED Secretariat, with their counterparts responsible for the coordination of CED activities at NRCan, should work to develop and implement mechanisms that will facilitate the ongoing collection of performance data by each working group. As well, the development of an overall CED-level workplan would be beneficial in facilitating and communicating these requirements to all those involved. The intention is to provide complete, timely, meaningful and accurate performance data that will fulfil departmental reporting requirements and inform decision-making yet does not result in excessive response burden for the working groups.

Statement of Agreement/Disagreement with the Recommendation

The ADMs of the International Affairs Branch and the Science & Technology Branch at Environment Canada, the ADMs of the Energy Sector, the Innovation & Energy Technology Sector and the Science & Policy Integration Sector at NRCan, and the ADM of Americas at DFAIT agree with the recommendation.

Management Action

To track and report progress on the CED, the CED Secretariat developed a project tracking matrix and coordinated the preparation of information sheets on all of the CED projects. However, it is recognized that there is an ongoing need to collect updated and more in-depth information on the progress of the CED projects in order to better assess performance moving forward.

To improve project monitoring and assessment efforts, the working groups will develop detailed workplans which will include performance data for each CED project. The Secretariat will use these workplans to update the project tracking matrix and the program information sheets. As well, the CED Secretariat will, in cooperation with working groups, develop an annual workplan to cover key milestones for the CED. The workplan will also include senior-level meetings, stakeholder consultations, advocacy/outreach, reporting requirements, project implementation and program administration.