Fraser Institute Report: Outstanding Aboriginal Land Claims Prevent Mining 
Investment
CP  |  By Dene Moore, The Canadian Press
Posted: 10/03/2013 5:46 pm EDT  |  Updated: 10/03/2013 8:05 pm EDT

http://www.huffingtonpost.ca/2013/10/03/fraser-institute-report-aboriginal-land_n_4039771.html
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VANCOUVER - The British Columbia and federal governments should settle 
outstanding aboriginal land claims in the westernmost province to eliminate the 
uncertainty that prevents industry from investing, says a new report from the 
Fraser Institute.

The unsettled claims are a barrier to the mining industry in particular, said 
the report released Thursday by the right-wing think tank based in Vancouver.

It recommends an expedited treaty process to resolve the hundreds of 
overlapping claims, and a mechanism to resolve asserted rights and title for 
bands that are not participating in the existing treaty process.

"Mining companies often find themselves on the front lines of tensions between 
asserted aboriginal rights and title and the interpretation of such rights by 
the courts, as miners rely on having access to Crown land," said the report, 
which points out that B.C. - with more than 200 of the 600 first nations in 
Canada - has very few treaties in place.

In surveys conducted by the institute, mining company executives identified the 
uncertainty due to aboriginal land claims as the primary deterrent to investing 
in B.C.

Just one-third of the provincial land base is covered by treaties, and little 
more than half of aboriginal bands are engaged in a treaty process that largely 
ground to a halt more than a decade ago, with no federal mandate to settle.

The treaty process in B.C. "is not working as well as expected," the report 
said, and the court system is being used to shape and define rights on a 
case-by-case basis in its stead.

"The result of so few treaties in British Columbia is uncertainty in land and 
resource ownership, use, and management that not only discourages investment 
but also limits the ability of First Nations to achieve self-reliance," the 
report said.

The surveys found other factors that dissuaded mining investment in B.C., 
including uncertainty over protected areas, parks and archeological sites for 
conservation, and uncertainty over environmental regulations.

The fourth key barrier identified by mining companies was regulatory 
duplication and inconsistency, including overlap of federal and provincial 
oversight.

Among the recommendations, the report suggested the province streamline the 
mine permitting process to make it more predictable and timely, "while 
protecting health, safety, and the environment," and reconsider the ban now in 
place on uranium and thorium mining.

It also recommended the gradual elimination of "distortionary" tax incentives 
in favour of a single, lower corporate income tax rate, and the re-examination 
of a harmonized sales tax with the federal government - a tax reversed by the 
Liberal government under Premier Christy Clark after its implementation forced 
her predecessor out of office.

Exploration in the province hit a 30-year low in the early 2000s, due to a 
combination of government policy, low commodity prices, and recession, the 
report said.

But driven by strong global demand, high mineral prices, and record investment, 
the industry has been on the rise in B.C. for the past decade.

The mining industry in B.C. had an estimated production value of $8.3 billion 
in 2012, and contributed more than $400 million in tax revenues to provincial 
coffers, the report said.


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