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REASONS for DECISION MINISTERIAL APPROVAL PURSUANT to SECTION 15(1)(A) the ENVIRONMENTAL ASSESSMENT ACT

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REASONS for DECISION MINISTERIAL APPROVAL PURSUANT to SECTION 15(1)(A) the ENVIRONMENTAL ASSESSMENT ACT REASONS FOR DECISION MINISTERIAL APPROVAL PURSUANT TO SECTION 15(1)(a) THE ENVIRONMENTAL ASSESSMENT ACT SASKATCHEWAN WATER CORPORATION BUFFALO POUND NON-POTABLE WATER SUPPLY SYSTEM EXPANSION PROJECT Introduction The Environmental Assessment Act (hereinafter called the Act) states that a person shall not proceed with a development (as defined in the Act), until ministerial approval has been received. It further sets requirements for a process of Environmental Impact Assessment (EIA) intended to inform the Minister of Environment (hereinafter called the Minister) of the potential impacts of a development prior to making a decision regarding the development. In February 2013, the Saskatchewan Water Corporation (hereinafter called SaskWater, the Proponent) submitted a project proposal to the Environmental Assessment Branch (EAB) to develop a regional non-potable water supply system from Buffalo Pound Lake to potential customers in the Belle Plaine Industrial Corridor and other areas of southern Saskatchewan. The project proposal was sent to the Saskatchewan Environmental Assessment Review Panel (SEARP) for technical review. Following the technical review, the project was determined to be a “development” under section 2(d)(ii) of the Act. SaskWater was therefore required to conduct an EIA and submit findings in an Environmental Impact Statement (EIS). In September 2014, the Proponent submitted the final EIS to the EAB seeking approval under section 15(1)(a) of the Act. The EIS underwent both technical review and a 60-day public review. I am therefore satisfied that the requirements of the Act have been met. Background The proposed regional non-potable water supply system is designed to meet current industrial demand of 96 million litres per day (ML/d) consisting of 60 ML/d to the proposed Vale Potash project at Kronau, and 36 ML/d for other existing water commitments and anticipated future demands. The water delivery system has the capacity to expand to meet future demand of up to 168 ML/d. The project includes installation of a breakwater and water intake in Buffalo Pound Lake, construction of a pump house and booster station, and a 93 km pipeline south through the Belle Plaine Industrial Corridor and east to the proposed Vale Potash Kronau site. The construction SaskWater Buffalo Pound Project 15(1)(a) – Reasons for Decision Page 1 of 6 EAB 2013-002 of the water intake, breakwater, and pump station is anticipated to be completed in approximately 26 months. Upon completion of intake and breakwater construction, estimated to have a footprint of 10,000 square metres (m2), SaskWater will recontour the shoreline using riprap, or other erosion control materials, to prevent long-term erosion and sedimentation. The Proponent will also implement mitigative measures that will limit in-water works and fish habitat disruption during future capacity upgrades. Decommissioning and reclamation activities will include the removal of the intake, pump house, and booster station in accordance with regulatory requirements at the time. Environmental Assessment Public notice of the EIA was first given in July 2013. In seeking approval for the development, SaskWater conducted an EIA in accordance with the Act. The Proponent prepared and submitted the initial EIS entitled “SaskWater Buffalo Pound Non-Potable Water System Expansion Project: Environmental Impact Statement” to the Ministry of Environment (the ministry) in December 2013. The EIS underwent technical review by SEARP and was found to be deficient in the information provided in various sections, which led to additional information being requested from SaskWater prior to the EIA proceeding to the public review phase. The Proponent subsequently submitted a revised EIS in September 2014 that satisfied the requests for additional information. The final EIS (hereinafter called "the Statement") and the technical review comments document prepared by the EAB were then made available for public review from December 13, 2014 to February 12, 2015 pursuant to Section 11 of the Act. No comments were received from the public during this period. Having made my decision to issue a ministerial approval, the Act requires me, pursuant to subsection 15(2), to state the reasons for the decision. Reasons for Decision Potential Impacts The Statement submitted by the Proponent describes the development and its potential adverse impacts on the environment. Potential impacts considered during the EIA include: surface disturbance from pipeline, intake and associated infrastructure construction; effects to hydrology and the aquatic environment during construction and operation of the project; and effects on heritage resources. Terrestrial Environment The proposed intake and associated infrastructure is adjacent to other developments which include an existing water intake and pump station at Buffalo Pound Lake that supplies non-potable SaskWater Buffalo Pound Project 15(1)(a) – Reasons for Decision Page 2 of 6 EAB 2013-002 water to the Mosaic Belle Plaine potash mine, Terra Grain ethanol plant, and Yara Belle Plaine fertilizer plant; the Buffalo Pound Water Treatment Plant; and Buffalo Pound Provincial Park. In addition, the area surrounding the development is primarily agricultural land with a few remnant native habitat patches. As a result, the existing current condition of the intake site reflects an area previously disturbed by human and industrial activities. Although surface disturbance will be required for installation of the pipeline, SaskWater has committed to minimizing pipeline length to limit potential disturbances, paralleling existing right-of-ways whenever possible and avoiding known sensitive areas. The Proponent has also committed to developing an Environmental Protection Plan (EPP) prior to permitting to address construction mitigation and environmental monitoring for activities including those on native prairie. SaskWater’s vegetation surveys identified provincially listed plant species; however, no Committee on the Status of Endangered Wildlife in Canada or Species at Risk Act listed species were observed within the development footprint. SaskWater has committed to implementing measures when working in areas of known infestation of the observed noxious weed species leafy spurge (Euphorbia esula) to prevent spreading it into new areas. The Proponent has also committed to avoiding sensitive areas when selecting pipeline route; utilizing salvaged topsoils to enhance re-vegetation; and re-seeding with appropriate seed mixes to prevent significant impacts to vegetation communities. Additional rare plant surveys will be conducted by SaskWater prior to construction and if species are located, the Proponent has committed to developing appropriate mitigation in consultation with the ministry. Wildlife surveys conducted by the Proponent located several sensitive, rare, or endangered species within the development area. SaskWater has committed to conducting additional breeding bird surveys prior to construction of any component that will occur in any native habitat, environmentally sensitive sites, or other areas potentially utilized for nesting activities. Survey results will be submitted to the EAB and the Saskatchewan Conservation Data Centre. The Proponent also committed to developing and submitting a site-specific mitigation plan to the EAB based on results of surveys, and acknowledged that changes to some project parameters may be required in certain situations to avoid impacts to sensitive, rare, or endangered species. Based on mitigations developed to minimize impacts to land, vegetation and wildlife habitat and the disturbed nature of much of the project area, no significant residual impacts to the terrestrial environment are anticipated. Surface Water Environment The proposed pipeline crosses Wascana Creek, Moose Jaw River and a number of smaller watercourses, some of which were modified by agriculture and contain no fish habitat. The construction and installation of the proposed pipeline at watercourse crossings can affect fish and fish habitat by temporarily altering surface water quality and modifying physical habitat features (e.g., siltation of bottom substrate). SaskWater has committed to using low impact SaskWater Buffalo Pound Project 15(1)(a) – Reasons for Decision Page 3 of 6 EAB 2013-002 pipeline installation methods to avoid impacting watercourses in addition to implementing appropriate follow-up monitoring and mitigation for inadvertent disturbances. Information presented in the EIS also assessed the overall residual effects and potential for cumulative effects of the water diversion for this development. Water Security Agency (WSA) manages water levels and discharges in the Qu’Appelle River System including Buffalo Pound Lake. A hydrological model of the Qu’Appelle System, developed by WSA, was used to assess development related impacts to hydrology and the aquatic environment. Model inputs considered the overall water demand in the system and the cumulative effects of multiple water withdrawals on Buffalo Pound Lake and downstream areas. The model results indicated that the initial phase of the development, which involves diversion of up to 96 ML/d, is expected to have no significant impact on hydrology or fish and fish habitat based on the limited predicted impacts at maximum capacity. If the development was expanded to maximum capacity (168 ML/d), there would be a slight change in water levels within Buffalo Pound Lake, but levels would remain in the defined range set by WSA as
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