Columbia River Treaty

The Columbia River Treaty has played a crucial role in reducing flood damage and providing clean energy to millions of households, businesses and industries in both Canada and the United States.  These remain key elements of the agreement-in-principle (AIP).  Under the AIP, countries have agreed that a modernized Treaty will provide a reduced level of assured pre-planned flood control and continued cooperation on hydropower for the Columbia River.

The countries have also agreed to incorporate new provisions not considered in the original agreement, including those for increased unilateral flexibility for how B.C. operates its Treaty dams, ecosystem health, salmon population enhancement and reintroduction in the Canadian Upper Columbia Basin, Indigenous cultural values, adaptive management, and new collaborative engagement on Libby Dam operations.

These added provisions reflect the interests voiced by B.C. Columbia Basin Indigenous Nations, local governments, and residents over more than a decade of engagement with the Province of British Columbia.

The AIP supports a renewed approach to sharing benefits equitably between countries.  It enables B.C. to continue receiving a share of additional hydroelectric power potential in the U.S. as a result of how B.C. operates its Treaty dams, and includes newly negotiated access to U.S. transmission infrastructure.  It also provides annual indexed compensation from the U.S. for a reduced volume of reservoir space for flood risk management and for other benefits the U.S. receives, including benefits to irrigation, navigation, recreation, and fish population enhancements in the U.S. portion of the Columbia Basin.

It’s important to note that the agreement-in-principle is not the new Treaty.  It is a framework that provides a clear roadmap for the countries to draft a modernized Treaty.

It is important to note that the agreement-in-principle is not a finalized modernized Treaty.  It provides a roadmap for the negotiation teams to move forward on drafting a modernized Treaty and for B.C. to begin engaging with the Columbia River Basin residents to seek feedback on the AIP and on next steps.

The combination of B.C. providing less assured flood risk management to the U.S., and gaining new flexibility for operating its Treaty dams, has given B.C. more control over Treaty flows and reservoir levels for B.C.’s purposes.  This will better support B.C. Basin ecosystems, Indigenous cultural values and socio-economic interests.

Our goal in these negotiations has always been to modernize the Treaty in a way that leads to improvements and reduced impacts in the B.C. Basin.  We feel this AIP outlines a path to achieving that goal.

The current Treaty’s main focus is limited to Flood Risk Management and hydropower coordination.  The AIP has expanded the scope of the modernized Treaty to include salmon population enhancement and salmon reintroduction, a binational joint ecosystem body to advise the countries on ecology health of the “One River” Columbia, an adaptive management framework, and an enhanced collaborative committee on the Kootenay system, including Libby Dam, to address common interests.

The presentation from the Province of B.C.’s virtual information session compares the AIP with a scenario under which the original Treaty continues. View the PowerPoint slides or watch a recording of the information session.

At the outset of the negotiations, Canada and the U.S. concurred, as is usually done in international negotiations, that they would treat information developed and exchanged in the context of negotiations in confidence. The AIP framework reached during negotiations is subject to this treatment.

That said, we have provided a document containing the main elements of what is intended to become a modernized Columbia River Treaty. Representatives from the Canadian negotiation delegation described these elements and answered questions during a virtual information session held on September 17, 2024.

We have also released a backgrounder and a video describing these elements as further ways to learn about the AIP.

That is still to be determined.  Now that Canada and the U.S. have reached an AIP, there is still work to be done.  B.C.’s first priority is to engage with the Ktunaxa, Secwépemc and Syilx Okanagan Nations, Columbia Basin local governments and Basin residents about the agreement-in-principle.

There are other processes that need to take place on both sides of the border, including drafting of the Treaty text, having it approved by the B.C. government, and ratified by the U.S. and Canadian federal governments.

There is no set date for when a modernized Treaty will come into effect, however both countries have committed to getting it in place as soon as possible.

While the AIP is a significant step towards a modernized Treaty and lays out the foundation for what a renewed Treaty will include, it does not mean river and reservoir management will change right away.  Until a modernized Treaty has been finalized and brought into law, the current Treaty remains in place.

Negotiations have taken time because there are many interests to consider.  Both countries have taken the time needed to improve on a 60-year-old Treaty in need of renewal.

For the Canadian team, that meant negotiating an agreement that reflects the interests and values of the Ktunaxa, Secwépemc and Syilx Okanagan Nations, local governments and residents, which are captured in the AIP.  There have been comprehensive technical studies, computerized river management modelling, and over a decade of engagement that has informed this process.

Canada, B.C. and the Ktunaxa, Secwépemc and Syilx Okanagan Nations have been clear with the U.S. that a modernized Treaty must reduce the impacts that B.C. Basin communities and ecosystems have been experiencing since the Treaty came into force in 1964.  We were not willing to accept an agreement unless it leads to improvements in the B.C. Basin.

It is important to note that the agreement-in-principle is not a finalized modernized Treaty.  It provides a roadmap for the negotiation teams to move forward on drafting a renewed Treaty and for B.C. to begin engaging with the Columbia River Basin residents to seek feedback on the AIP and on next steps.

The combination of reduced pre-planned flood risk management and new Canadian flexibility will give B.C. more control over its Treaty dam operations and resulting river flows and reservoir levels to address impacts to ecosystems and communities.

We say this will give B.C. more control because Canada transferred most Treaty rights, obligations and benefits to B.C. under the 1963 Canada-B.C. Agreement.

Following the modernized Treaty’s entry into force, Canada will provide the United States with 3.6 million acre-feet (MAF) of pre-planned flood risk management (FRM), a 60% reduction from the current 8.95 MAF.

The new Canadian flexibility allows Canada to unilaterally decide to reduce the current coordinated power storage of 15.5 MAF by up to 5 MAF, or almost a third of the Treaty storage space, for B.C.’s own domestic purposes. Domestic flexibility will be used to address impacts resulting from the Treaty to ecosystems, Indigenous cultural values and socio-economic interests.

There is significant research and river management scenario modelling underway that is informing how B.C. can best manage this new flexibility.  Part of that process includes looking at different flows and elevations throughout the year on Treaty reservoirs.  Research to determine objectives and operational scenarios for the modelling process is being led by the Ktunaxa, Secwépemc and Syilx Okanagan Nations in collaboration with federal and provincial governments, the Columbia River Treaty Local Governments Committee, and environmental non-governmental scientists and technical consultants.

Once options for changes in hydrosystem operations using the new flexibility are identified, B.C. will hold a separate public engagement process with Basin communities to get their feedback.

Legal drafting of a modernized Treaty will take time.  We have been clear with the U.S. about our commitment to engage with Basin Indigenous Nations, local government and residents so they can provide feedback on an AIP before a modernized Treaty is finalized.  We stand by that commitment.  The feedback received will be considered by the Canadian negotiation delegation during the drafting process to modernize the Treaty.

There are a number of ways to provide feedback on the AIP:

• Fill out the online feedback form
• Provide written submissions by email or mail
• Attend community meetings in the Canadian Columbia Basin, which are expected to begin towards the end of 2024

The Province of B.C. has been engaging with Indigenous Nations, local governments and residents in the Basin since 2012 to learn what interests matter to them, and what they want to see changed in the Treaty.

We have been connecting with people through virtual and in-person meetings, social media, newsletters, emails, letters and one-on-one phone calls with interested citizens.  Members of the Canadian negotiating delegation, including Canada’s Chief Negotiator and representatives from the Province of B.C. and Basin Indigenous Nations, attend public meetings to provide insight into the process for modernizing the CRT, answer questions and hear from residents firsthand.

There are also two committees we engage with regularly – the Columbia River Treaty Local Governments Committee and the Columbia Basin Regional Advisory Committee.  These groups have members from across the Basin and are providing suggestions and advice on what an improved Treaty could look like.

Throughout the Province’s public engagement, Basin residents and local governments have consistently voiced that they want a modernized Treaty that:

• supports ecosystem health throughout the Basin;
• includes salmon restoration in the upper Columbia River;
• respects Indigenous knowledge and cultural values;
• considers social and economic interests;
• reduces Treaty reservoir fluctuations;
• is able to adapt to future unknowns, such as the effects of climate change;
• includes transboundary coordination of Libby Dam operations; and
• continues to protect communities from damaging floods and enable the generation of clean renewable hydroelectricity.

They have also voiced the need for Indigenous Nations’ participation in Treaty modernization, and the need for a modernized Treaty to reflect an equitable sharing of benefits, including benefits to U.S. irrigation, navigation, recreation and fisheries.

These interests are all reflected in the AIP.

Our engagement has continued since the AIP was reached. We have provided resources that explain the AIP in various ways, including an overview video, backgrounder, and a more detailed document containing the content of the AIP.

A virtual information session was held on September 17, 2024 where members of the Canadian negotiation delegation described the elements of the AIP and answered questions. A recording of that session is now available.

We look forward to returning to the Basin for in-person community meetings.

In the meantime, we encourage all those interested in the Treaty to send their feedback on the AIP through the online feedback form or by providing written submissions by email or mail.

The Ktunaxa, Secwepemc and Syilx Okanagan Nations are full participants in the Canadian negotiating team.  Since 2018, when negotiations began, representatives of the three Nations have been working closely with the governments of Canada and B.C. to develop and refine Canadian negotiating positions, strategies and proposals.  That partnership became more formalized when, in April 2019, then Minister of Foreign Affairs Chrystia Freeland invited representatives from the Ktunaxa, Secwepemc, and Syilx Okanagan Nations, to join the Canadian delegation as observers.

The three Nations have also been instrumental in leading domestic efforts to integrate Indigenous and Tribal cultural values and ecosystem health into the modernized Treaty, and restore salmon to the B.C. portion of the Columbia Basin.

The close partnership between Canada, B.C. and the Ktunaxa, Secwépemc and Syilx Okanagan Nations throughout the past six years of negotiations with the U.S. has made it possible to reach this AIP.  The three Nations’ direct involvement has made our negotiations with the U.S. stronger and will ensure a modernized Treaty will reflect a broader range of interests and perspectives.

The participation of Ktunaxa, Secwepemc, and Syilx Okanagan Nations as partners in the Columbia River Treaty modernization process is an important example of Canada’s and B.C.’s commitments to the United Nations Declaration on the Rights of Indigenous Peoples, and to our journey towards reconciliation.

While the AIP is a significant step towards a modernized Treaty and lays out the foundation for what a renewed Treaty will include, it does not mean river and reservoir management will change right away.  Until a modernized Treaty has been finalized and brought into law, the current Treaty remains in place.

The AIP includes additional unilateral flexibility for how B.C.’s Treaty dams are operated, which will allow B.C. to adjust operations to support ecosystems, Indigenous cultural values, and socio-economic interests, such as recreation and tourism, without agreement from the U.S.

There is significant research and river management scenario modelling underway that is informing how best to use any new flexibility.  Part of that process includes looking at different elevations throughout the year on Treaty reservoirs.  Research to determine objectives for the modelling process is being led by the Ktunaxa, Secwépemc and Syilx Okanagan Nations in collaboration with federal and provincial governments, the Columbia River Treaty Local Governments Committee, and environmental non-governmental scientists and technical consultants.

The Province is aware of the significant impacts that drought conditions have had on B.C. Treaty reservoirs in recent years, compounded by B.C.’s obligations under the Treaty.  These impacts have been especially prevalent in and around Arrow Lakes Reservoir.

While the AIP is a significant step towards a modernized Treaty and lays out the foundation for what a renewed Treaty will include, it does not mean river and reservoir management will change right away.  Until a modernized Treaty has been finalized and brought into law, the current Treaty remains in place.

Climate change has been interwoven throughout Canada-U.S. negotiations.

Before negotiations started, two documents set the stage for the current discussions – the B.C. Decision and the U.S. Regional Recommendation on the Future of the Columbia River Treaty.  Both documents address the need to consider climate change impacts in the Basin, so it’s a key consideration for negotiators from both countries.

Climate change is also an important part of research being led by Indigenous Nations, in collaboration with federal and provincial agencies and consultants, to explore ecosystem improvements through the Treaty.

A key goal for the Canadian delegation throughout negotiations has been to incorporate adaptive management into the Treaty, allowing both countries to adjust to the effects of climate change (including droughts and floods), evolving Indigenous and scientific knowledge, and other future unknowns.  This is reflected in the agreement-in-principle.

The AIP outlines that Canada will provide 1 million acre-feet (MAF) of water flows in all years, and an additional 0.5 MAF in dry years, to support downstream salmon survival and migration.  This will assist efforts in both countries to maintain and enhance salmon populations in the mid and lower Columbia, including the Okanagan salmon stocks.

Indigenous Nations and Tribes on each side of the border will coordinate their respective salmon reintroduction studies to prevent duplication of effort and to facilitate information sharing.  The goal is to maximize synergies from efforts on both sides of the border and to facilitate information sharing.

B.C. Indigenous Nations, the Province and Canada, under Columbia River Salmon Reintroduction Initiative, have been collaborating on salmon reintroduction for a number of years.  For more information visit the Initiative’s website at www.columbiariversalmon.ca.

Canada and the U.S. will form an Indigenous-led advisory body that will provide recommendations on how Treaty and other hydro-system operations can better support ecosystems along the entire Columbia River, which will include a salmon coordination committee.

Annual payments will be made to Canada:

• Pre-planned flood risk management (FRM) payments are anticipated to be US$37.6 million annually starting in 2025 operating year, and are indexed to inflation, using the consumer price index (CPI), through 2044. This compensation will be owed the first year Canada provides the preplanned FRM.  The original payment for flood control was US$64.4.M for 60 years, which expires September 16, 2024.
• The United States also recognizes that they receive additional benefits from the operation of Canadian Treaty reservoirs and will provide an additional US$16.6 million to Canada annually once the modernized agreement enters into force, indexed to inflation using the CPI, through 2044. The additional benefits include irrigation, recreation, navigation and fisheries.  This additional compensation does not exist in the current Treaty.

Canadian Entitlement (CE):

This is B.C.’s share of the incremental power generation potential in the U.S. resulting from the management of Treaty reservoirs and is in the form of electrical capacity and energy delivered to the border.  The CE is sold either domestically to BC Hydro or on the U.S. energy market, and revenues go to the Province’s Consolidated Revenue Fund.

The anticipated schedule that reduces the CE at the beginning of the 2024-2025 operating year (beginning Aug. 1, 2024), starts from 660 megawatts (MW) capacity and 305 average megawatts (aMW) of energy, stabilizing in 2033-2034 at 550 MW of capacity and 225 aMW of energy, and ending in 2044.  The reduction of the CE takes into account the decrease expected when the Treaty was originally entered into. The schedule is available in the document containing the content of the AIP, posted to this website.

Transmission benefits:

• Existing transmission: BC Hydro will have access, through its trading subsidiary Powerex, to an unreduced 1,120 MW of transmission that is currently used to deliver the CE to the Canada-US border.  This maintains BC Hydro’s ability to buy power on the market at lower prices to supplement BC Hydro’s energy portfolio.  This is particularly important for system stability and energy security during drought periods.

• New transmission: Powerex and the Bonneville Power Administration, will conduct a study on expansion of new transmission.  If, as a result of the study, the U.S. pursues the development of the additional transmission, BC Hydro will have further access to U.S. markets to supplement domestic energy resources.

The Columbia River Treaty is an evergreen agreement; it has no end date.  However, either country can unilaterally terminate the Treaty if it issues a 10-year termination notice.

The AIP sets a time limit to certain elements of the modernized Treaty, such a power coordination and Flood Risk Management and associated compensation, to 20 years.  Modifications, amendment and extensions can be made if agreed to by both countries.

These are collaborative committees that are intended to enhance the ecological health of the Columbia and Kootenay rivers, as well as, for the Kootenay, address other objectives such as recreation and tourism, flood control and power generation.  These bodies are still in the forming stages and more information will be provided as they evolve.

The purpose of gaining 4-5 million-acre feet of flexibility is to enhance ecosystems, Indigenous cultural values, and socio-economic objectives.  There is significant research and river management scenario modelling underway that is informing how best to use this new flexibility.  Part of that process includes looking at different Treaty reservoir elevations and flows throughout the year.

Research to determine objectives for the modelling process is being led by the Ktunaxa, Secwépemc and Syilx Okanagan Nations in collaboration with federal and provincial governments, the Columbia River Treaty Local Governments Committee, and environmental non-governmental scientists and technical consultants.

While the work is progressing well, alternative hydro system operations, known as Specified Operations (SO), are not yet fully developed. Once this work is further advanced, there will be a separate engagement process in the Basin to explain what improvements are being planned in which areas, and to receive feedback. Once the SO is determined, it will be integrated into Columbia River Treaty operation planning and must be implemented under the modernized Treaty.

The Canadian Entitlement (CE) volume is determined under formulas imbedded in the 1964 Treaty.  It is the half-share of the increased power generating potential of the U.S. system with and without Canadian storage.  The impact of Canadian storage has always been forecast to decline over time as demand grows in the Pacific Northwest and new generation is added to meet that demand, therefore diminishing the proportional contribution of the Treaty dams to the Pacific Northwest power grid. Depending on the assumptions used in the Treaty calculations, the CE could decline to zero at the end of the 2020s, or persist over the longer term at a lower level.

In the AIP, the CE volume is initially less that B.C. has received in recent years, but higher than expected in the outer years.  The Entitlement calculations and the CE volumes included in the AIP are independent of how the U.S. chooses to operate its system (for example spilling water rather than generating power to assist in juvenile salmon migration).

The revenue B.C. receives from the CE is a function of the volume and prices in the Pacific Northwest power market, which vary seasonally and from year to year.

The maximum amount of Flood Risk Management storage has been reduced from 8.95 million-acre-feet (MAF) in all three dams to 3.6 MAF in Arrow, so less than what it was previously. In addition, it will not be required every year.  Previously, Arrow Lakes Reservoir was required to provide up to 5.1 MAF which has now been reduced.

Arrow Lakes is closest to the Canada-U.S. border and the most effective in reducing flood risk, as opposed to storage in Kinbasket Reservoir, which is higher up in the Columbia River, or Duncan Dam, which has significantly less storage available.

While the Agreement-in-Principle (AIP) is a key step forward towards modernizing the Columbia River Treaty, it is not a legally binding document. Until a modernized Treaty has been finalized and brought into force by both countries, the current Treaty remains in place.

To bridge the gap between the AIP and a modernized Treaty, the Canadian Entity (BC Hydro) and U.S. Entity (U.S. Army Corps of Engineers and Bonneville Power Administration) have entered into interim arrangements under the existing Treaty through exchanges of diplomatic notes between Canada and the U.S. to allow continued operations and implement some components of the AIP.

These arrangements will ensure:

• the Canadian Entitlement set out in the AIP will continue until 2044, securing predictable benefits to B.C. over the next two decades, and
• the pre-planned flood risk management operations as outlined in the AIP are implemented for a three-year period and ensure that B.C. is compensated as set out in the AIP.

Read the Entity Agreements.