Canada Proposes Impact Assessment Act Amendments for Energy Projects

OTTAWA - The Canadian federal government has proposed amendments to the Impact Assessment Act that would shift regulatory reviews for pipelines and other major energy projects away from the Impact Assessment Agency of Canada, prompting warnings from former Environment Minister Catherine McKenna that the changes could lead to further delays through protests and lawsuits.

The proposals, announced last Friday and now open for public consultation, would route assessments of international and interprovincial pipelines, transmission lines, and offshore renewable energy projects to the Canada Energy Regulator. Nuclear and uranium projects would fall under the Canadian Nuclear Safety Commission. Cabinet would gain authority to approve long-route pipelines before the regulator finalizes conditions and routing, though construction could not begin without full regulator approval.

The changes aim to address industry complaints that the current process under the 2019 Impact Assessment Act, known as Bill C-69, is too slow and repetitive, lacking specialized expertise. Carolyn Svonkin, communications director for Energy and Natural Resources Minister Tim Hodgson, said proponents of projects...