Backgrounder
Labrador Inuit Land Claims Agreement
How will business and industry be impacted?

The Labrador Inuit Land Claims Agreement will bring clarity to land ownership and the management of natural resources in northern Labrador. The Agreement will also create a stable environment for development.

The Agreement will bring new responsibilities for governments, business and industry in the Labrador Inuit Settlement Area. The biggest impacts will be in the area known as Labrador Inuit Lands, where the Nunatsiavut Government will exercise most of its powers.

Inuit will continue to pay taxes, including Harmonized Sales Tax.

The following information outlines how major business and industry stakeholders may be affected by the Agreement.

Mineral Industry
The province will continue to administer mining and mineral exploration throughout the Settlement Area, including Labrador Inuit Lands. The following also applies in Labrador Inuit Lands:

• Existing authorized exploration and quarrying will continue under provincial regulation and must use the means and route of access in effect on December 1, 2005.
• Any amendments or extensions to existing exploration or quarrying operations must receive joint approval from the province and the Nunatsiavut Government.
• With the exception of operations in quarry material lands owned by the Nunatsiavut Government, all new operations must prepare a work plan which complies with joint exploration and quarrying standards developed by the province and the Nunatsiavut Government, to be approved by both governments.
• Companies initiating exploration or quarrying after December 1, 2005 are subject to access conditions and fees required by the Nunatsiavut Government.
• Inuit will own 3,950 square kilometres of quarry materials within Labrador Inuit Lands for which the Nunatsiavut Government will issue permits.
• With the exception of these quarry material lands owned by Inuit, Impact and Benefits Agreements will not be required for quarry developments.

Commercial Fishing

• Existing commercial licences are not affected.
• Inuit will receive a percentage of new commercial harvesting licences.
• Inuit will receive 70% of any new processing licences in the Settlement Area, and the Nunatsiavut Government will have the right of first refusal if the province decides to sell or decommission any existing fish plants in the Settlement Area.

Outfitters

• Existing outfitting operations in the Settlement Area, including Labrador Inuit Lands (LIL), can continue according to their current terms and conditions.
• Existing outfitters on LIL will continue to have access to Labrador Inuit Lands for harvesting.
• The province, following consultation with outfitters and the new joint Wildlife Board, will establish wildlife allocations based on current levels for all existing operations.
• Inuit will have the first option to buy operations that may be put up for sale, and first right to establish new operations in the Settlement Area, outside Labrador Inuit Lands.
• Currently employed outfitting guides are not affected, but vacant guide positions throughout the Settlement Area must be filled with qualified Inuit candidates if they are available.

Labrador Inuit Lands

• Applications for land lease/licence renewals and new operations must be made to the Nunatsiavut Government.

Settlement Area

• Applications for land lease/licence renewals and new operations outside Labrador Inuit Lands must be made to the province.

Commercial Forestry

Labrador Inuit Lands

• Existing commercial forestry operations will continue in accordance with current terms, while fees are to be submitted to the Nunatsiavut Government.
• Nunatsiavut Government will authorize new operations and set fees for such operations.

Settlement Area

• Outside Labrador Inuit Lands, existing commercial forestry operations are not affected.
• Inuit have the first option to establish new commercial forestry operations.

Archaeology

Labrador Inuit Lands and within Inuit Communities

• Permits for Labrador Inuit Lands and Inuit communities must be obtained from the Nunatsiavut Government.

Settlement Area

• Outside Labrador Inuit Lands and the five Inuit communities permits will continue to be obtained from the province, except for the Torngat Mountains National Park Reserve and other lands under federal control, which will be administered by the federal government.

Archaeologists will be required to conduct community briefings in the Inuit community closest to their work site.

New Commercial and Industrial Developments

• The province will approve and issue land titles for all developments in the Settlement Area, outside Labrador Inuit Lands.
• For any large scale development in the Settlement Area, outside Labrador Inuit Lands, the proponent must negotiate an Impacts and Benefits Agreement (IBA) with the Nunatsiavut Government.
• The Nunatsiavut Government will approve developments on Labrador Inuit Lands, which must include an IBA.
• IBA’s are not required for quarries on Labrador Inuit Lands, with the exception of operations on the 3,950 kilometres of quarry material lands owned by Inuit.

IBAs are negotiated to enhance Inuit opportunities for training, employment, joint ventures and/or to provide special environmental protection. However, IBAs cannot restrict opportunities only to Inuit, nor can they place an unreasonable financial burden on the developer.

Environmental Assessment

• Federal and provincial environmental assessment legislation will still apply in the Settlement Area, including Labrador Inuit Lands.
• The Nunatsiavut Government may make additional laws regarding environmental assessment within Labrador Inuit Lands.
• Every effort will be made to ensure environmental assessment processes are harmonized to avoid duplication and inefficiencies.

The information provided above is a summary of how business and industry may be affected by the Agreement. Please refer to the Agreement for details. An electronic copy is available at the following web sites:

The Labrador Inuit Association  

Government of Newfoundland and Labrador - Labrador Inuit Land Claims  

Labrador Inuit Land Claims Agreement

Backgrounder - How will the general public be impacted?