SCENARIO:

Calgary Central Gas (‘CC Gas’) is planning to build a natural gas plant near the reserve of the native Canadian River Bend band (‘the Band’). 22 years ago, CC Gas laid a gas pipeline through the same reserve, for which it paid a standard right-of-way fee to the band. The currently selected site for the new plant would require the laying new pipeline to connect the new plant to the main pipeline. CC Gas has never paid any taxes or royalties to the River Bend band for the main pipeline. The band recently obtained the authority to collect property taxes on land within the reserve, and is in the process of establishing a property tax system.

Representatives of CC Gas and of the River Bend band, together with an advisor from the Federal Fair Tax Commission, are meeting to discuss the following four issues: (1) what CC Gas should pay the River Bend band for the right-of-way to construct the pipeline; (2) Whether CC Gas will provide any jobs or create economic development opportunities for the band; (3) whether and how the River Bend band will tax CC Gas for the main pipeline and the new pipeline; and (4) what steps will be taken to ensure the health and safety of the River Bend band members and the wildlife on the reserve.

MAJOR LESSONS:

The status of First Nations (i.e. aboriginal lands) in Canada is quite different from those of the Native America states in the United States of America.

TEACHING MATERIALS:

Confidential instructions for:

Teaching Note

KEYWORDS/THEMES:

environmental justice; multiparty negotiation; negotiating compensation, facility siting negotiation; cross-cultural negotiation

SIMILAR SIMULATIONS:

Siting an Asphalt Plant in the City of Madrona
Beaumont Incinerator Exercise
And other First Nations games