B.C.’s mining community says it’s happy to see Premier David Eby create a new dedicated ministry for the sector, which could help government address the issue of sluggish provincial economic growth.
Eby appointed Surrey-Fleetwood MLA Jagrup Brar as the Minister of Mining and Critical Minerals on Monday, a new portfolio created to put political emphasis on the economic benefits of mining as well as the valuable resources needed for the so-called green economy.
“People tell me basically that they are very happy that Premier Eby has actually established a standalone ministry for this and it’s much-needed because mining provides approx 39,000 good-paying family jobs in the province of British Columbia,” Brar said in an interview.
“The mining and mineral exploration sector is a foundational part of B.C.’s economy, and we are supporting it to grow.”
“People tell me basically they are very happy Premier Eby has actually established a standalone ministry.”
Jagrup Brar
There’s no mandate letter yet for the new ministry, but Eby has spoken at length in the last year about the value of B.C.’s critical minerals to help construct things like solar panels, batteries and other green technology.
Prime Minister Justin Trudeau has also highlighted the provincial potential, as a way to reduce reliance on Russia and China.
During the election, the conversation shifted to the economic potential of new mines. Conservative leader John Rustad said approving 17 mine projects currently proposed would add billions to B.C.’s gross domestic product, and help generate revenue to the provincial treasury towards eliminating the deficit.
Eby too cited the economic impact of mining as a future revenue source for the province.
Industry wants expedited review timelines
“We are pleased with the formation of the new ministry,” said Michael Goehring, president of the Mining Association of BC.
“Having a dedicated ministry whose focal point is mining, smelting and mine development is a very good thing and I think it shows that this government is serious about the opportunity critical minerals and mining offers British Columbians.”
The industry hopes Brar will help modernize and speed-up mine permitting. Between preparing, Indigenous consultation and environmental assessments, provincial permitting can take upwards of 11 years for projects, said Goehring.
“Let’s review the process, let’s bring in more of a risk-based assessment when it comes to permitting, and let’s try and aim for a kind of guaranteed review timeline of five or seven years,” he said.
“We’re calling on the government of B.C. to really take a deep look at the mines permitting and authorizations process to reduce the time it takes to receive authorization. And that can be done, and must be done while maintaining environmental and safety protection.”
Brar has already met with several mining companies in the early days of his appointment, and said he’s heard that message loud and clear.
“One of the issues they raised with me is the permitting process,” said Brar.
“That we need to somehow bring more efficiency in that process so that people can of course start the operation as quickly as possible.”
The 17 critical mineral projects in the pipeline would add $36 billion in near-term investment to B.C., including $23 billion in labour and $11 billion in tax revenue, said Goehring. They include copper, gold, nickel, cobalt, zinc, rare earth materials, niobium, molybdenum and more, and are scattered across the province.
Great idea in theory, but…
The Opposition Conservatives say the idea of a government focus on mining is good in theory, but unlikely to translate into any improvements.
“If it’s going to lead to actually getting some mines open, hallelujah, but quite frankly, what I look at is it just seems to be just another layer of bureaucracy that’s being put in as part of a process,” Rustad said in an interview.
“There doesn’t seem to be that commitment that’s needed to actually get people to work and get these mines open in British Columbia and start generating the revenue.”
Rustad questioned why an urban MLA like Brar, from Surrey, would be appointed to head a mining ministry when the mines are located in rural communities outside of Metro Vancouver.
Brar said there are 185 companies supplying mines within the City of Surrey, and he’s well-positioned to be able to take on the role.
“My sense is the Premier understands what’s at stake.”
Michael Goehring
Goehring said there’s $1.4 billion in companies supplying the mining sector operating just in Metro Vancouver alone, especially within Vancouver where numerous headquarters for mining companies are operating.
“My sense is the Premier understands what’s at stake,” he said.
“And I think going forward this government would be well-advised to really focus on B.C.’s natural resource industries, given our economy, and given the significant fiscal challenge the province faces at the moment. Because economic recovery requires significant focus on the natural resources that deliver significant value-added growth to the province’s gross domestic product.”