#federal-provincial-relations

The federal government has introduced new legislation to overhaul Canada's environmental assessment process for major projects, directly responding to a Supreme Court of Canada opinion that found the previous Impact Assessment Act largely unconstitutional. The proposed law aims to narrow the scope of federal oversight to areas of clear federal jurisdiction, seeking to end a protracted battle with provinces over resource development. While industry groups hope for increased clarity and investment certainty, provincial governments and environmental organizations remain cautious, scrutinizing the bill for signs of federal overreach or weakened environmental protections.

The federal government's carbon pricing policy remains a major point of contention in Canadian politics, pitting Ottawa against several provinces concerned about affordability and economic impact. While the Supreme Court upheld the policy's constitutionality in 2021, premiers from provinces like Alberta and Saskatchewan are intensifying their opposition, challenging the tax's efficacy and fairness. This ongoing dispute highlights the deep divisions over climate policy, federal jurisdiction, and the economic pressures facing Canadians, with the quarterly Canada Carbon Rebate intended to mitigate the financial burden on households.

The Supreme Court of Canada, in a 5-2 majority decision, has issued an advisory opinion stating that the federal Impact Assessment Act is largely unconstitutional. The court found that the law, which assesses the environmental and social impacts of major resource and infrastructure projects, oversteps federal authority and infringes on provincial jurisdiction over natural resources. The ruling represents a significant victory for Alberta and other provinces that challenged the legislation. The federal government has acknowledged the decision and has pledged to revise the law to align with the court's guidance.

The Supreme Court of Canada, in a 5-2 majority decision, has issued an advisory opinion stating that the federal Impact Assessment Act is largely unconstitutional. The court found that the 2019 law, known as Bill C-69, oversteps federal jurisdiction by treating all major projects as federal matters, thereby infringing on provincial powers over natural resources. The ruling sides with Alberta and other provinces who argued the law gave Ottawa a de facto veto over projects within their domain. The federal government must now revise the legislation to align with the constitutional division of powers.

The Supreme Court of Canada has delivered a landmark ruling, finding the federal Impact Assessment Act largely unconstitutional. In a 5-2 decision, the court determined the legislation, known as Bill C-69, overstepped federal authority by infringing on exclusive provincial jurisdiction over natural resources and local projects. The judgment represents a significant victory for provinces like Alberta, which challenged the law as an intrusion on their economic sovereignty. The federal government must now redraft the legislation, creating immediate uncertainty for major resource projects while potentially clarifying regulatory pathways in the long term.