Introduction

The Ministry of the Environment, Conservation and Parks considers all applications for water takings based on principles, criteria, and processes outlined in the Water Taking and Transfer Regulation (Ontario Regulation 387/04 “regulation”), the Permit to Take Water (PTTW) Manual (2005), and associated policies.

The Ontario Water Resources Act section 34 Director (“Director”) will not issue a permit for any new or increased water taking unless they are satisfied that the proposed taking will not cause unacceptable impacts to existing water takings or the environment.

When there is a shortage of water resources in an area, decisions may need to be made about how the available water will be shared among existing water uses, including the environment. Subsection 4 (4) the Regulation sets out priorities of water use that the Director will take into account when considering whether to renew, cancel, or amend existing permits in situations where there are competing demands for water among existing users.

The priorities of use are intended to be applied as a last resort, only after other mechanisms in the PTTW framework used to avoid or resolve conflict among water users have been attempted.

This guidance explains the priorities of use categories specified by the regulation and provides direction on when and how the priorities may be applied by the Director when making permit decisions. It is intended to replace the guidelines on priorities of water use contained in the provincial document Water Management: Policies, Guidelines, Provincial Water Quality Objectives of the Ministry of Environment and Energy (July 1994).

The priorities of water use

The four priority of use categories set out in subsection 4 (2) of the regulation are shown below, along with some examples of the specific purposes of water use that are included in each category.

The priority goes to the existing water use in the higher priority category. The range of water uses covered by the priorities include water uses related to water takings that are required to have a permit, or are required to be registered on the Environmental Activity and Sector Registry (EASR). They also include water users that are not regulated by the ministry (such as Indigenous community drinking water, individual water takings for private domestic use or livestock watering), as well as in-stream water uses (for example, for environmental protection).

Priority 1 – Environment, drinking water, and Farm animal production (equally)

Environment

For example:

  • protection of instream flows (stream, rivers) and water levels (lakes, aquifers) for the purposes of protecting aquatic ecosystems (including wetlands) and/or mitigating impacts of water quality degradation (including wastewater assimilation)
  • environmental remediation, including the pumping and treating of contaminated groundwater for aquifer protection

Drinking Water

For example:

  • private domestic supply (such as wells and surface water intakes) for ordinary household and farm purposes
  • drinking water supplies for Indigenous communities
  • municipal drinking water systems
  • communal drinking water supplies, including residential developments, trailer parks, or campgrounds
  • drinking water supply for institutions, such as:
    • schools
    • hospitals
    • colleges and universities

Farm animal production (animal welfare)

Including:

  • direct watering of poultry and livestock
  • aquaculture

Priority 2 - Agricultural

Irrigation (including frost protection) of agricultural crops and on-farm washing activities

Priority 3 – Industrial and commercial and other

For example:

  • aggregates
  • brewing / soft drinks
  • food manufacturing
  • manufacturing
  • mining
  • power generation
  • golf courses
  • water bottling
  • construction
  • ski hills

Priority 3 includes industrial and commercial uses, along with any other purposes of water use not captured in the Priority 1, Priority 2, or Priority 4 categories.

Priority 4 - Aesthetic

For example, uses for aesthetic purposes, such as:

  • landscaping
  • landscaped features (such as an aesthetic fish pond)

Site-specific considerations

An individual water taker may use water for a variety of purposes that fall into different levels of priority. A determination of the amounts of water used for different purposes at a facility, and how they are considered in applying the priorities of water use, would be made by the Director on a case-by-case basis, in consultation with the water taker.

For example, a manufacturing facility may have separate distribution lines that provide water for industrial needs (such as cooling, processing, incorporation into product) and for domestic water needs at the facility. Similarly, a golf course may have one water taking source that provides water for irrigation, and a second source that supplies drinking water to the clubhouse. In these types of situations, the Director may consider the different purposes of water use by an individual water taker when applying the priorities to address a conflict. A portion of the water taking for industrial, commercial, or aesthetic purposes could be restricted, while water taken to serve drinking water or other domestic needs could continue without any restrictions.

In certain cases, some water use may be necessary for emergency purposes (for example, fire fighting), to protect health and safety (for example, fire protection, dewatering to maintain a dry/safe work site, food safety), or to maintain food security in the province (such as continuing processing of locally-grown farm products). In applying the priorities of water use outlined above to resolve competing demands among uses, the ministry would require that certain essential water uses must be maintained, regardless of where a user falls within the levels of priority.

When the priorities of water use apply

Priorities of water use may be used to help resolve competing demands for water among existing water takings due to a shortage of water within an area. Competing demands for water may be short-term or long-term; a single, recurring or continuous event; and may occur over different spatial scales, resulting from factors including drought, limited natural water availability, or a high density or close proximity of water takings.

The priorities of use may be used to resolve ongoing competing demands among water uses in an area, where practical solutions and other elements of the PTTW framework are not successful in resolving the conflict. Where competing demands among water uses are temporary but recurring (for example in an area prone to drought), the priorities may be applied proactively to determine how permitted water takers in the area will respond during future periods of water shortage.

In some situations, the priorities of water use may be considered by the Director when developing a strategy for managing water takings within a stressed area. Through the process of developing a strategy, the ministry would work with affected water users, municipalities, conservation authorities, and Indigenous communities, as needed to identify appropriate measures to apply to existing water takings, and potentially new or increased water takings, to mitigate water quantity stress in the area. Refer to separate guidance for additional information on the ministry’s approach to managing water takings on an area-basis.

The Director may consider the priorities when reviewing applications for renewals of existing permits in an area. Where urgent (for example, a need to immediately reduce competing demands among users during a severe water shortage), the Director may apply the priorities, and on the Director’s own initiative, may amend permits governing existing water takings in the area to impose necessary measures to resolve such conflicts.

The priorities of water use are intended to be applied as a last resort, to complement other elements of the PTTW framework that are used to avoid or resolve conflict among water users.  For example, the ministry has processes to investigate and resolve interferences that occur between existing water takings that include ensuring compliance with permit conditions (which includes requiring a permit holder to resolve any interferences arising from their water taking with another water taking or the environment) and working with the affected water users to identify potential solutions.

How the priorities of water use apply

To apply the priorities of water use, the Director would consider amending the permit(s) of the lower priority water taker(s) to change or impose additional conditions on the water taking in order to mitigate the impacts on an existing higher priority use. For example, permits could be amended to:

  • restrict the water taking (on a temporary, long-term, or permanent basis)
  • require a reduction in water taking at certain times of the year when competing demands for water among users occurs
  • establish triggers for reducing water taking, such as minimum stream flows or water levels (below which no water taking may occur) to protect environmental and downstream water user needs
  • require the implementation of water conservation or water efficiency measures
  • require use of alternative water sources (such as offline storage ponds)
  • require more frequent reporting of water use to the ministry

Where necessary, the Director may, by an order under section 34 (5) of the Ontario Water Resources Act, also require an existing water user to obtain a permit, even if they are taking less than 50,000 litres on any day or otherwise exempt from the requirement for a permit. There may be situations where one or more non-permitted water users are impacting a higher priority use. Requiring the non-permitted water user to apply for and obtain a permit would enable the ministry to impose conditions and restrictions on the water taking, as necessary, to resolve the conflict.

Appropriate mitigation measures would be determined on a case-by-case basis. The Director would refer to relevant technical information, including monitoring data and assessment reports related to the ground or surface water source of supply and affected water users. In some instances, additional data and information may need to be requested from permitted water takers. As described above, when requiring a lower priority water taker to restrict their water taking, the Director would consider water used for domestic purposes, or water use that must be maintained for health and safety reasons, or to protect food security. Engagement with affected water takers would be undertaken to determine the implications of potential water taking restrictions.

Where there are competing demands for water among uses in the same priority level, the ministry would work closely with the affected water users to resolve the issue in an equitable manner. There may be measures that can be taken by individual water takers, such as improvements to their water use efficiency or water system optimization. There may also be collective actions that water takers can take to mitigate the conflict, such as determining a schedule for coordinating water takings during periods of water shortage, or maintaining minimum instream flows for aquatic ecosystems. Where needed, the Director may amend existing permits to require the implementation of such measures by permitted water taker

Other considerations for applying priorities of water use

Priorities of water use as a last resort

The priorities of water use are intended to be applied as a last resort, only after alternative measures to resolve competing demands for water have been exhausted. As described above, it is a tool that complements other processes in the PTTW framework that are used to avoid or address conflict among water users.

Before imposing any restrictions based on priorities of use, the ministry would investigate and attempt to resolve interferences that occur between existing water users, including ensuring compliance with permit conditions and working with all water users involved to identify potential solutions.

For protecting the sustainability of a ground or surface water source of supply, the following types of measures may be considered:

  • scheduling water takings in the area to reduce the interference (such as staggering days and times of taking or coordinating the pumping of multiple water sources)
  • implementing water conservation and efficiency of use measures
  • optimizing a municipal or other large communal water system (for example, adding storage capacity)

For attaining a more reliable water source, the following types of measures may be considered:

  • changing how a water resource is accessed (such as deepening a well or pumping surface water at higher flows into a storage pond)
  • changing the source of water takings (for example, from surface water to groundwater)
  • reducing takings from a source at certain times of year or during drought
  • encouraging backup supplies for water takers in areas that are prone to drought

Solutions considered for different water takers should be commensurate with their individual facility and water use characteristics (for example size and type of operation, water infrastructure, volume of water use, current water conservation practices). For example, the measures that would be feasible and cost-effective for a small agricultural irrigator are different than those that could be applied by a large industrial facility or a municipality. Similarly, a water taker may have implemented the best available water conservation practices for their sector and may not have opportunity to further enhance their water use efficiency.

Protecting future drinking water supplies

Where there are competing demands involving water used for drinking water purposes (such as municipal, Indigenous community, private domestic), drinking water needs are considered among the highest priorities. However, priorities of water use cannot be used as a mechanism to “reserve” water for the long-term, future water needs of higher priority uses within an area, including municipal drinking water supplies that are required to service future growth.

As mentioned above, all permit applications are reviewed with consideration of impacts to existing water takings and the environment. For municipal drinking water systems, subsection 4 (2) of the regulation requires the ministry to consider the impacts that a proposed water taking would have on planned municipal use of water that has been approved (for example, under the Environmental Assessment Act). Additional tools are available under the Clean Water Act to ensure the sustainability of at-risk municipal drinking water sources. Source protection plan policies approved to date include actions such as:

  1. Directing the ministry to use permits to manage the risk of non-municipal water takings to municipal drinking water sources.
  2. Directing municipalities to undertake actions related to managing their systems, water efficiency, and managing growth and development.
  3. Requesting the province and other agencies to undertake actions to support or enhance the municipal drinking water systems (for example, funding, additional monitoring, etc.).

Engaging stakeholders, Indigenous communities, and other ministries

In addition to working with affected water users, there may be some situations where the ministry needs to engage with affected Indigenous communities, municipalities, conservation authorities and other local stakeholders, and relevant industry associations. Broader engagement may help to understand the circumstances of the water use conflict and to identify solutions.

Engaging stakeholders and Indigenous communities may also reveal the consequences of imposing restrictions on water takers and whether such restrictions will result in inadvertent impacts on the broader community, including social and economic implications. The scope and level of engagement needed will be determined on a case-by-case basis, depending on the specific circumstances of the situation and affected area.

The ministry may also engage other ministries that have programs to assist in developing solutions to water shortages, such as the Ministry of Natural Resources and Forestry, Ministry of Agriculture, Food and Rural Affairs, and the Ministry of Municipal Affairs and Housing.

Ontario Low Water Response is a provincial tool administered by the Ministry of Natural Resources and Forestry that enables provincial and local authorities to be prepared in the event of low water conditions. The Ministry of Natural Resources and Forestry also administers water management plan requirements under the Lakes and Rivers Improvement Act. Water management plans regulate waterpower facilities and other water control structures on a river system, and in some cases, may have an important role in helping to resolve competing demands among water uses. The Ministry of Agriculture, Food and Rural Affairs can provide various resources, tools, and training that can help water users in the agricultural sector respond to water shortages.