Spending and human resources

Planned spending

Budgetary planning summary for Core Responsibilities and Internal Services (dollars)

Core Responsibilities and Internal Services	2015–16 Expenditures	2016–17 Expenditures	2017–18 Forecast spending	2018–19 Main Estimates	2018–19 Planned spending	2019–20 Planned spending	2020–21 Planned spending
Natural Resources Science and Risk Mitigation	$204,218,435	$205,782,987	$198,683,355	$181,158,584	$181,158,584	$173,913,358	$156,496,673
Innovative Solutions and Sustainable Natural Resource Development	$506,764,842	$396,734,230	$542,966,381	$564,281,850	$564,281,850	$542,886,900	$497,257,660
Globally Competitive Natural Resource Sectors	$498,630,538	$629,574,353	$575,763,391	$569,046,044	$569,046,044	$687,164,440	$524,385,298
Subtotal	$1,209,613,815	$1,232,091,570	$1,317,413,127	$1,314,486,478	$1,314,486,478	$1,403,964,698	$1,178,139,631
Internal Services	$125,564,854	$125,907,344	$152,968,818	$138,137,439	$138,137,439	$125,869,690	$123,668,933
Total	$1,335,178,669	$1,357,998,914	$1,470,381,945	$1,452,623,917	$1,452,623,917	$1,529,834,388	$1,301,808,564

For 2015-16 and 2016-17, the figures represent the actual expenditures as reported in the Public Accounts of Canada, while 2017-18 represents the forecasted expenditures to year end. For 2018-19 to 2020-21, the figures represent total planned spending, reflecting funding to support NRCan program activities.

From 2015-16 to 2016-17, NRCan expenditures increased slightly, mainly due to an increase in Statutory Atlantic Offshore payments and the implementation of the Federal Infrastructure Initiative, offset by the transfer of responsibility over the Nuclear Legacy Liabilities Program and the Port Hope Area Initiative to Atomic Energy of Canada Limited and reduced spending pertaining to the ecoENERGY for Biofuels, Windpower Production Incentive and Energy Innovation programs.

From 2016-17 to 2017-18, NRCan is forecasting an increase in spending mainly as a result of newly signed collective agreements and the increased spending profile of the Green Infrastructure envelope, the Energy Innovation program, Oil and Gas Clean Technology, and the Green Municipal Fund, offset by reductions in Statutory Atlantic Offshore payments.

The decrease between 2017-18 Forecasted spending and 2018-19 Planned spending is mainly due to the reduced funding profile of the Federal Infrastructure Initiative, the ecoENERGY for Renewable Power program and the Softwood Lumber Action Plan, the sunsetting of the Green Municipal Fund and the Oil and Gas Clean Technology program, offset by an increase in the funding profile of the Green Infrastructure envelope, Advancing Clean Technology, and the Impact Canada initiative.

Planned spending in Voted authorities from 2018-19 to 2020-21 is declining, mainly as a result of reduced funding profiles for major initiatives and sunsetting programs. Sunsetting programs could be renewed but are subject to government’s decisions to extend, reduce or enhance funding and outcomes of such decisions will be reflected in the department’s future budget exercises and Estimates documents. The following major initiatives will be sunsetting over the next two years:

Sunsetting on March 31, 2019 and potentially up for renewal:

• Enhancing Indigenous Participation in West Coast Energy Development;
• Enhancing National Earthquake Monitoring;
• Environmental Assessment Review Interim Strategy;
• Green Jobs;
• Federal Infrastructure Initiative;
• Genomics Research & Development Initiative; and
• World Class Tanker Safety System.

Sunsetting on March 31, 2020 and potentially up for renewal:

• Geo-mapping for Energy and Minerals;
• Major Projects Management Office;
• Marine Conservation Targets;
• Targeted Geoscience Initiative;
• Forest Innovation and Expanding Market Opportunities;
• Investments in Forest Industry Transformation Program; and
• Indigenous Forestry Initiative.

Planned spending in Statutory authorities is fluctuating from 2018-19 to 2020-21, mainly as a result of the Atlantic Offshore Accounts. Statutory payment obligations under these accords are largely driven by oil and gas prices, production levels and anticipated corporate income taxes related to offshore operations. The planned spending is based on the department's economic modeling forecasts prepared in the Fall of 2017.

Planned human resources

Human resources planning summary for Core Responsibilities and Internal Services (full-time equivalents)

Core Responsibilities and Internal Services	2015–16 Actual	2016–17 Actual	2017–18 Forecast	2018–19 Planned	2019–20 Planned	2020–21 Planned
Natural Resources Science and Risk Mitigation	1,229	1,208	1,220	1,195	1,177	1,146
Innovative Solutions and Sustainable Natural Resource Development	1,439	1,447	1,476	1,461	1,453	1,456
Globally Competitive Natural Resource Sectors	328	335	351	343	324	255
Subtotal	2,996	2,990	3,047	2,999	2,954	2,857
Internal Services	940	906	941	933	938	937
Total	3,936	3,896	3,988	3,932	3,892	3,794

For 2015-16 and 2016-17, the figures represent the FTEs as reported in the Departmental Results Report while 2017-18 represents the forecasted FTEs to year end. For 2018-19 to 2020-21, the figures represent total Planned FTEs to support NRCan program activities, approved by Treasury Board, to support the department’s activities. NRCan’s total FTE count remains relatively steady from 2015-16 to 2016-17.

The decrease between 2017-18 Forecasted FTEs and 2020-21 Planned FTEs is mainly attributed to the sunsetting of major initiatives, which were explained in the Budgetary Planning Summary Section.

Furthermore, as new initiatives are undertaken, plans for future FTE requirements will be adjusted accordingly.

Estimates by vote

For information on NRCan’s organizational appropriations, consult the 2018–19 Main Estimates.

Future-Oriented Condensed Statement of Operations

The Future-Oriented Condensed Statement of Operations provides a general overview of NRCan’s operations. The forecast of financial information on expenses and revenues is prepared on an accrual accounting basis to strengthen accountability and to improve transparency and financial management.

Because the Future-Oriented Condensed Statement of Operations is prepared on an accrual accounting basis, and the forecast and planned spending amounts presented in other sections of the Departmental Plan are prepared on an expenditure basis, amounts may differ.

A more detailed Future-Oriented Statement of Operations and associated notes, including a reconciliation of the net cost of operations to the requested authorities, are available on NRCan’s website.

Future-Oriented Condensed Statement of Operations for the year ended March 31, 2019 (dollars)

Financial information	2017–18 Forecast results	2018–19 Planned results	Difference (2018–19 Planned results minus 2017–18 Forecast results)
Total expenses	1,513,404,969	1,543,004,776	29,599,807
Total revenues	30,596,524	37,317,799	6,721,275
Net cost of operations before government funding and transfers	1,482,808,445	1,505,686,977	22,878,532

The increase of $29.6 million in expenses between years is mainly explained by a $33.5 million increase in Innovative and Sustainable Natural Resources Development mainly related to:

An increase of $168 million in funding profiles:

• $82 million for the Green Infrastructure envelope;
• $50 million for Clean Growth in Natural Resource Sectors;
• $27 million for Impact Canada Initiative – Clean Technology Challenges; and
• $9 million for the Clean-up of the Gunnar uranium mining facilities.

Offset by:

A decrease of $107 million resulting from the sunsetting of the following programs:

• $63 million for Green Municipal Fund;
• $44 million for the development of cleaner oil and gas technologies.

And a decrease of $29 million in the funding profiles:

• $16 million for the Federal Infrastructure Initiative; and

• $13 million for the ecoENERGY for Renewable Power program.

The charts presenting the distribution by program of Natural Resources Canada’s total forecast expenses for 2017-18 and planned expenses for 2018-19 on an accrual basis are available on the NRCan’s website.