Province ponders fee, permit hikes for water bottling industry

Ontario’s water bottling industry could be in for a major shake-up as the province ponders a review of costs for both permits and fees to draw water.

Last week Ontario Premier Kathleen Wynne told the Canadian Press “there is the issue of the quantity of water taken and there is the issue of the cost.”

Wynne stated some policies regarding water bottling companies are outdated and in the future, water bottlers could be charged more for permits.

The premier also suggested that rather than issuing new permits under the same parameters as expired ones, which she said “would not be appropriate,” the province needs to look at changing things “before there is a new permit.”

Ontario Minister of Environment and Climate Change Glen Murray has also stated the province is considering changes to what companies have to pay for permits to draw water.

He said policy changes could be made by the end of the year.

Currently, Ontario water taking permit fees range from $750 to $3,000 depending on the assessed risk to the environment. The province then charges water bottlers  $3.71 per million litres of water drawn.

In comparison, water users in Guelph are charged $1.59 per cubic metre or $1,590 per million litres. In Centre Wellington, the numbers are $2.19 per cubic metre or $2,190 per million litres.

In response to the premier’s comments last week, Nestlé Waters issued a press release on Aug. 24 that states the company shares  Wynne’s concerns and is “committed to being part of the solution.”

The statement notes that Nestlé looks forward “to participating in the process and the consultations the premier has asked the Minister of the Environment to undergo.”

In his own official statement, Wellington-Halton Hills MPP Ted Arnott said water taking fees currently charged by the province are “clearly” too low.

However, Arnott worries that Wynne’s party might view increased fees as a “cash grab” to help cover its “out-of-control spending.” He stressed that municipalities directly affected by commercial water taking  should receive the lion’s share of any proposed fee/permit hikes.

“Our local municipalities have to deal with the extensive reporting requirements associated with these permits, as well as all the trucks on our local roads,” Arnott stated in his press release.

Officials with Nestlé Waters, which has wells in Aberfoyle and Erin, as well as a third proposed near Elora, say the company’s “solid body of scientific data” and “ongoing monitoring and management” demonstrate its “long-term commitment to sustainable water management.”

The company’s release points out the price for water is the same for all permitted commercial water users and contends “the entire bottled water industry … uses less than 0.6%” of the water in the Grand River Watershed.

“We fully agree that all groundwater users should pay their fair share to fund the management of our water resources and all users must be treated equitably,” Nestlé  officials state.

“We will continue to work with the government, community and environmental stakeholders to ensure the protection of the resource in Ontario for generations to come.”

Arnott agreed “proper safeguards” need to be in place to ensure water is protected now and in the future. However, the MPP maintains no water taking permits should be approved or extended “unless hydrogeological studies demonstrate that area groundwater resources will not be depleted.”

According to the Ministry of Environment and Climate Change (MOECC) website, the province is regulating new or increased transfers of water between Great Lake watersheds.

Ontario is enhancing the Permit to Take Water program to ensure water takings in Ontario are managed to the standards of the Great Lakes-St. Lawrence River Basin Sustainable Water Resources Agreement.

By law, companies must have a permit if the intent is  to withdraw 50,000-plus litres of water per day. Permits are not be issued for activities that would:

– negatively affect existing users;

– negatively affect the environment; or

– remove water from a watershed that already has a high level of use.

On the local front, environmentalists remain concerned that there are no mandatory restrictions during times of drought.

However, Nestlé Waters officials say the company has “voluntarily reduced our taking by 20% and remain in constant contact with government and environmental authorities.”

In Aberfoyle, Nestlé Waters has applied for a permit renewal for its well. Though the permit expired on July 31, the company applied before that date and the province has allowed for continued pumping.

The ministry says a water-taking permit remains in force if a renewal application is made at least 90 days before it expires, and it plans to post Nestle’s application for comment once the supporting documents have been reviewed.

While the permits to take water come from the MOECC, in Canada, bottled water is regulated as a food and water bottling companies are inspected by the Canadian Food Inspection Agency.

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