Canada-Newfoundland Offshore Petroleum Board

Canada-Newfoundland Offshore Petroleum Board (Statutory)

Start date

1985-86

End date

Ongoing

Fiscal year for terms and conditions

N/A

Strategic Outcome

1 – Canada’s Natural Resource Sectors are Globally Competitive

Link to department's Program Alignment Architecture

1.4 – Statutory Programs — Atlantic Offshore

Description

NRCan pays 50% of the operating costs of the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB). The Province pays the other 50%. This is done pursuant to section 27 of the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act. Approximately 75% of the Board’s operating budget is cost recovered and remitted to the governments of Canada and Newfoundland and Labrador on a 50-50 basis.
On April 1, 2016, the Board began implementing the Canada–Newfoundland and Labrador Offshore Petroleum Cost Recovery Regulations. In 2016–2017, the Board expects to recover between 80% and 100% of these operating costs from industry, which will then be remitted in equal portions to the federal and provincial governments at the end of the year.
This transfer payment program does not have any repayable contributions.

Results achieved

N/A

Comments on variances

In 2015-16 the C-NLOPB cost recovered 75% of its budget from industry on a voluntary basis and 50% of this amount is then remitted to NRCan. C-NLOPB has remitted $3.45 million to NRCan which is not reflected in the planned spending, but results in lower year-end actual spending.

Audits completed or planned

Audits are completed by the Office of the Auditor General. No audits are planned for the Offshore Accounts as of yet.

Evaluations completed or planned

N/A

Engagement of applicants and recipients

Before budgets are recommended for ministerial approval, officials engage with Board officials to understand the budgetary request and consult with provincial officials to understand their position.