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Terms of Reference

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Context
The Government of Canada has enacted the Canadian Net-Zero Emissions Accountability Act (CNZEAA) to provide transparency and accountability in Canada's efforts to achieve net-zero greenhouse gas emissions by the year 2050, supported by public participation and expert advice.

The CNZEAA established an advisory body, called the Net-Zero Advisory Body (NZAB).

The CNZEAA provides that the Minister of Environment and Climate Change (Minister) determines and amends the NZAB's Terms of Reference. The Minister must make the Terms of Reference or any subsequent amendments public. The following are the Terms of Reference for the NZAB, as determined by the Minister in April 2022.

See the Annex for the sections in CNZEAA that implicate the NZAB, including its statutory duties.
Mandate
The NZAB is mandated to provide the Minister with independent advice with respect to achieving net-zero emissions by 2050, including advice respecting:
  1. greenhouse gas emissions targets for milestone years (i.e., 2030, 2035, 2040, 2045);
  2. greenhouse gas emissions reduction plans by the Government of Canada, including measures and sectoral strategies that the Government of Canada could implement to achieve a greenhouse gas emissions target; and
  3. any matter referred to it by the Minister.
Under c), the Minister had referred that the NZAB provide independent advice to inform Canada's emissions reduction plan for 2030, specifically key guiding principles on the development of quantitative five-year targets to cap and cut emissions from the oil and gas sector. Additionally, the NZAB should take into account the interim greenhouse gas emissions objective for 2026, as set in Canada's emissions reduction plan for 2030, when providing advice.

Independent advice should take into account the best scientific information available, Canada's international commitments with respect to climate change, and Indigenous knowledge.

The NZAB's mandate also includes conducting engagement activities related to achieving net-zero emissions.
Annual report


The Minister requests that an annual report be submitted on or before the first Monday of October every year, starting in 2023 and by December 31 for 2022.

The Minister will communicate in writing any other adjustments to the October deadline at least 12 months in advance.

When providing its advice and preparing its report, the NZAB must take into account a range of factors, to the extent they are relevant to the purpose of the CNZEAA including environmental, economic, social and technological and the best available scientific information and knowledge, including Indigenous knowledge, respecting climate change.

At minimum, the annual report will include:
  1. The mandate of the NZAB;
  2. Its lines of inquiry, including any referred by the Minister;
  3. Brief biographies and summaries of affiliations and interests of members;
  4. A summary of the engagement that the NZAB undertook and the results;
  5. A summary of the scientific information and knowledge, including Indigenous knowledge, respecting climate change that the NZAB took into account;
  6. A summary of the environmental, economic, social and technological considerations that the NZAB took into account;
  7. Advice to the Minister, including a summary of any early advice provided to the Minister since the last annual report;
  8. Any advice for other audiences, such as individuals, communities, businesses, and other orders of governments;
  9. A summary of any differences of opinion when not all members agreed with the advice; and,
  10. Any confirmed future lines of inquiry.
The Minister must make the annual report available to the public within 30 days after receiving it and then, within 120 days after receiving the report, the Minister must publicly respond to the advice that the NZAB includes in it with respect to the matters referred to in paragraphs 20(1) (a) to (c) of the CNZEAA, including any national greenhouse gas emissions target that is recommended by the NZAB if the Minister has set a target that is different from it.
Other annual deliverables
To support good governance, accountability, and transparency, the NZAB is required to develop and publish a forward-looking corporate plan for the next 2 years. This plan will provide certainty for stakeholders and others who plan to engage the NZAB. It will include four components: its strategic objectives, lines of inquiry, engagement priorities, and general work plan with deliverables. The NZAB must make its corporate plan public on or before March 31, every two years, starting in 2023.

The NZAB is required to develop and publish a retrospective "what we heard report" annually. This report will communicate the key findings and messages from engagement since the last annual report, and list engagement activities and the groups that were engaged. It will serve as an intermediate step and opportunity for re-engagement and validation before an annual report. The NZAB must make this report public on or before the first Monday of June every year, starting in 2023 and by September 30 for 2022.
Lines of Inquiry
The NZAB's independent advice will be structured along specific lines of inquiry, which will be set at regular intervals in consultation with the Minister, including any matter referred by the Minister.

In line with the NZAB's mandate to provide advice on measures and sectoral strategies to achieve a greenhouse gas emissions target, its lines of inquiry may include specific sectors (e.g., oil and gas, transportation, buildings, electricity, heavy industry, agriculture, and forestry) or thematic opportunities (e.g., circular economy, social and behavioural shifts to accelerate climate action, nature-based solutions, clean and net-negative technologies).
Engagement, analysis, and research activities
The NZAB will draw from all existing relevant domestic and international research and analysis, and will establish a transparent and inclusive process for input.

Where original research is necessary, the NZAB will conduct or commission new studies.

The NZAB will act as a platform to analyze and integrate recommendations stemming from multiple net-zero policy initiatives to a single focal point within the Government of Canada.

The Deputy Minister of Environment and Climate Change will provide at least one opportunity annually for the NZAB to meet with the federal department heads responsible for measures to achieve net-zero.

The NZAB will work closely with other relevant federal bodies tasked with providing advice to the Government of Canada, as well as with relevant advisory groups established by provincial, territorial and Indigenous governments. It is expected to collaborate with advisory bodies established in other countries as well.

The NZAB will also undertake robust engagement based on its own priorities for engagement, which may include engaging with the Canadian public; provinces and territories; municipalities; Indigenous governments or organizations; youth; civil society, industry or other stakeholders; experts, including scientists and Indigenous Knowledge Holders; and, international bodies.

The Deputy Minister of Environment and Climate Change will provide the NZAB with opportunities to advise on the design and themes of dedicated departmental net-zero funding programs for research and engagement.
Membership
The Governor in Council appoints the members of the NZAB on the recommendation of the Minister and fixes their remuneration. The NZAB is composed of no more than fifteen members, who are appointed on a part-time basis for a renewable term of up to three years. The Governor in Council, on the recommendation of the Minister, designates two co-chairs from among the members appointed.
When making a recommendation, the Minister must consider the need for the NZAB as a whole to have expertise in, or knowledge of
  1. Climate change science, including the environmental, ecological, social, economic and distributional effects of climate change;
  2. Indigenous knowledge;
  3. other relevant physical and social sciences, including economic analysis and forecasting;
  4. climate change and climate policy at the national, subnational and international levels, including the likely effects and efficacy of potential responses to climate change;
  5. energy supply and demand; and
  6. relevant technologies
Members of the NZAB are deemed to be employed in the federal public administration for the purposes of the Government Employees Compensation Act and any regulations made under section9 of the Aeronautics Act.

Members serve as individuals. They do not represent any organization that they are affiliated with.

All members will abide by applicable legislation and terms of reference. Legislative requirements supersede the terms of reference in the event of any inconsistency.

It is the responsibility of each NZAB member to:
  1. Demonstrate high standards of corporate governance and ethics at all times, consistent with the Conflict of Interest section of these Terms of Reference;
  2. Act in good faith and in the best interests of the NZAB as a whole;
  3. Contribute to the development of advice, attend meetings, lead or serve on subcommittees as their time allows, and participate in engagement activities to the best of their ability;
  4. Review and endorse all public-facing reports, or provide a written statement of differing opinions if unable to achieve consensus on a specific element of advice in an annual report; and,
  5. Notify the Secretariat and the co-chairs of any requests for meetings with external parties where they are—or are perceived to be—representing the NZAB, and provide a formal debrief of any resulting meeting or exchange of information.

In addition to their responsibilities as members, the co-chairs have responsibilities to:
  1. Chair meetings of the NZAB in a manner that ensures that objectives are met, all members are heard and respected, discussions are within the mandate, consensus is built, and decisions or next steps are clear and communicated;
  2. Provide leadership on deliverables, lines of inquiry, engagement, research, analysis, and advice;
  3. Review and provide final approval of all public-facing reports, ensuring all timelines are met; and
  4. Meet with other bodies, groups, and organizations to officially represent the NZAB, as appropriate and generally represent the views of the NZAB to the public and media.
Members are prohibited from disclosing any confidential or non-public information received as part of their involvement in the NZAB. This applies to information received in writing or orally, including through email correspondence, telephone calls, and print materials, as well as during presentations and discussions.

For all meetings, the co-chairs will determine if there is adequate attendance to achieve the meeting objectives and inform decisions. Absent members will be invited to send their views on issues for discussion or decision in writing to the co-chairs and the Secretariat in advance of the meeting.
Conflict of interest
Members of the NZAB are subject to all the requirements, terms, and conditions of part-time Governor in Council appointees (i.e., public office holder), including but not limited the terms and conditions applying to Governor in Council appointees(External link), the Ethical and Political Activity Guidelines for Public Office Holders(External link), the Conflict of Interest Act(External link), the Values and Ethics Code for the Public Service and the Lobbying Act(External link).

Members will be required to disclose activities and interests that could place them in a conflict of interest with respect to the work of the NZAB. To ensure the integrity of the NZAB's independent advice, members will embrace full transparency of declaring interests related to any items under discussion by the NZAB and will recuse themselves from actively participating in discussions or providing advice where there is a real or perceived conflict. Members will notify the Secretariat and the co-chairs of any changes in their affiliations and interests related to the NZAB's mandate during their tenure.

Guiding principles on conflict of interest will be provided to the NZAB, and may be periodically reviewed and adjusted to ensure the most objective advice is given.
Secretariat and other supports

Through a dedicated Secretariat, Environment and Climate Change Canada (ECCC) will provide logistical, administrative, and policy support to the NZAB. It is important to note that the Secretariat will not be a part of the NZAB, but rather provide support to it. The primary role of the Secretariat is to coordinate and support the NZAB in its work including:

● Advising on the discharge of the NZAB mandate as set out in the CNZEAA and these terms of reference, as well as any referred matters from the Minister;

● Supporting high standards of corporate governance and ethics at all times;

● Planning and delivering activities, including administration, analysis, research, and engagement;

● Developing, translating, producing, and delivering products, such as agendas, briefing notes, strategies, annual reports, corporate plans, what was heard reports, and communications materials;

● Managing budgets, remuneration and expenses, including any contracting or funding to third parties, including of any roles within secretariat purview;

● Liaising with the Government of Canada and strategic partners;

● Properly disclosing information, consistent with applicable laws and policies;

● Establishing and managing the NZAB's digital presence, including any external website, social media, and internal platform for information sharing and discussion; and,

● Supporting best practices for consensus building. Members of the Secretariat will attend all meetings and engagement activities of the NZAB in order to fulfil these responsibilities.

The co-chairs may direct that a meeting or a portion thereof be held in-camera in order to discuss potentially contentious issues so that the best interests of the NZAB are served. The NZAB may request that ECCC and other government departments provide economic an alysis and emissions modelling expertise. Relevant Government of Canada departments may be asked to assist the NZAB by providing briefings, data, and analysis on federal policies and programs.

Reporting, accountability, and transparency

While the NZAB will operate independently in developing its advice, it will report to the Minister.

The NZAB will meet at least three times annually with the Minister to provide updates on its independent advice and engagement activities, including its lines of inquiry and annual report.

The NZAB may present its advice to the Prime Minister, members of Cabinet, or senior federal officials.

Through its website, the NZAB will publicly communicate non-confidential information, including:

● Short meeting summaries of official NZAB meetings;

● Corporate plan(s);

● What we heard reports;

● Its annual report once released by the Minister; and,

● Other documents as appropriate

Official languages
In keeping with the federal Official Languages Act, NZAB members have the right to receive documents and participate in discussions in the official language of their choice.
Public disclosure
In keeping with its policies on openness and transparency, ECCC may make public, information about the NZAB, its mandate, advice, or reports, as permitted or required by law and policy, including the Access to Information Act.

ECCC will disclose any information required to comply with an audit ordered by the Office of the Auditor General of Canada or with Parliamentary review of the CNZEAA.
Intellectual property
Intellectual property rights arising out of the work of the NZAB will rest in Her Majesty The Queen in Right of Canada, as Represented by The Minister of the Environment, further represented as Environment Climate Change Canada.
Travel and expenses
The members are entitled to be reimbursed, in accordance with Treasury Board directives, for the travel, living and other expenses incurred in connection with their work for the NZAB while absent from their ordinary place of residence.
Operating procedures
The NZAB may adopt operating procedures to govern its operations, including quorum, consensus building, and other administrative matters.

Annex

Relevant sections of the Canadian Net-Zero Emissions Accountability Act
Setting emissions target
8 When setting a greenhouse gas emissions target, the Minister must take into account
  1. the best scientific information available;
  2. Canada's international commitments with respect to climate change;
  3. Indigenous knowledge; and
  4. submissions provided by the advisory body under section 13 and advice it provided in its report under subsection 22(1).
Emissions reduction plan - considerations
9 (5) When establishing a greenhouse gas emissions reduction plan, the Minister must take into account the United Nations Declaration on the Rights of Indigenous Peoples, the submissions provided by the advisory body under section 13 and advice it provided in its report under subsection 22(1), and any other considerations that are relevant to the purpose of this Act.
Public participation
13 When setting or amending a national greenhouse gas emissions target or establishing or amending an emissions reduction plan, the Minister must, in the manner the Minister considers it appropriate, provide the governments of the provinces, Indigenous peoples of Canada, the advisory body established under section 20 and interested persons, including any expert the Minister considers appropriate to consult, with the opportunity to make submissions.
Establishment and mandate
20 (1) There is established an advisory body, called the Net-Zero Advisory Body, whose mandate is to provide the Minister withindependentadvice with respect to achieving net-zero emissions by 2050, including advice respecting
  1. greenhouse gas emissions targets under section 7;
  2. greenhouse gas emissions reduction plans under section 9, includingmeasures and sectoral strategies that the Government of Canada could implement to achieve a greenhouse gas emissions target; and
  3. any matter referred to it by the Minister.
Engagement activities
(1.1) The advisory body's mandate also includes conducting engagement activities related to achieving net-zero emissions.
Terms of reference
(2) The Minister may determine and amend the terms of reference of the advisory bodyand must make any terms of reference or amendments to those terms available to the public.
Appointment and remuneration of members
21 (1) The Governor in Council appoints the members of the advisory body on the recommendation of the Minister and fixes their remuneration.
Minister's recommendation
(1.1) When making a recommendation, the Minister must consider the need for the advisory body as a whole to have expertise in, or knowledge of,
  1. climate change science, including the environmental, ecological, social, economic and distributional effects of climate change;
  2. Indigenous knowledge;
  3. other relevant physical and social sciences, including economic analysis and forecasting;
  4. climate change and climate policy at the national, subnational and international levels, including the likely effects and efficacy of potential responses to climate change;
  5. energy supply and demand; and
  6. relevant technologies.
Composition of body
(2) The advisory body is composed of no more than fifteen members, who are appointed on a part-time basis for a renewable term of up to three years.
Co-chairs
(3) The Governor in Council, on the recommendation of the minister, designates two co-chairs from among the members appointed under subsection (1).
Reimbursement of expenses
(4) The members are entitled to be reimbursed, in accordance with Treasury Board directives, for the travel, living and other expenses incurred in connection with their work for the advisory body while absent from their ordinary place of residence.
Deemed employment
(5) Members of the advisory body are deemed to be employed in the federal public administration for the purposes of the Government Employees Compensation Act and any regulations made under section 9 of the Aeronautics Act.
Report
22 (1) The advisory body must submit an annual report to the Minister with respect to its advice and activities,including setting out the result of its engagement activities.
Factors
(1.1) When providing its advice and preparing its report, the advisory body must take into account a range of factors, to the extent they are relevant to the purpose of this Act including environmental, economic, social and technological and the best available scientific information and knowledge, including Indigenous knowledge, respecting climate change.
Minister's response
(2) The Minister must make the annual report available to the public within 30 days after receiving it and then, within 120 days after receiving the report, the Minister must publicly respond to the advice that the advisory body includes in it with respect to the matters referred to in paragraphs 20(1)(a) to (c), including any national greenhouse gas emissions target that is recommended by the advisory body if the Minister has set a target that is different from it.

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