RC119 JulyAugust 2025 - Magazine - Page 12
INFRASTRUCTURE
LEADERSHIP
large investments, and establish accelerated project timelines with clear
performance benchmarks.
ESTABLISH PROJECT-SPECIFIC LEGISLATION: Legislation created for a single national priority project could provide needed certainty and direction for how
the project is to be developed. For example, Nova Scotia’s Maritime Link
Act was implemented with the clear purpose of providing a “predictable, timely and transparent regulatory review process” to develop
the subsea electric transmission system between that province and
Newfoundland and Labrador.
UTILIZE OR TWEAK EXISTING LEGISLATION: Canada already has national security and national emergency rules in place to exempt certain projects
from the typical approval process. For instance, the federal Impact
Assessment Act allows the Governor-in-Council to exclude a designated project from the Act’s application if the project is one for which
there are matters of national security. Some experts have argued that
accelerating pipeline infrastructure is a matter of national security and
strategic importance as Canada-U.S. tensions rise. It may be possible to
engage existing national security carve outs within existing legislation,
although a surgical amendment to add national priority projects would
o昀昀er valuable clarity.
4. PROVIDE CLEAR GOVERNMENTAL LEADERSHIP AND INVESTMENT
Clear leadership from government would galvanize and encourage Canadian sovereignty and growth. Cooperative federalism is the optimal
approach to facilitate national priority projects through greater collaboration among federal, provincial and territorial orders of government.
The federal government’s oversight power can be leveraged by conven-
ing meetings with provincial counterparts and using its spending power
to encourage cooperation. For example, the federal government may help
to fund programs serving to address regional inequities if there are any
temporary dislocations or disadvantages 昀氀owing from reducing interprovincial trade barriers. Two March meetings of First Ministers demonstrate
building alignment across the country to eliminate interprovincial trade
barriers and to the shared priority of a national trade and energy corridor,
deserving of continued discussion.
While cooperative federalism may be ideal, the urgent and existential
context may require the need for an assertive project champion to take
the lead on a national priority project. The federal government may be
best situated to take up this mantle in most situations, but provinces
could also take up the leadership role depending on the circumstances.
Constitutional context
Since early in Canada’s history, most economic regulation has fallen to the
provinces. Historically, the courts strengthened the provincial “property
and civil rights” power while de-emphasizing the federal “trade and commerce” power. The 1982 enactment of section 92A of the Constitution Act,
granting extensive powers to the provinces in relation to the management
of natural resources, reinforced the provincial role as the primary regulator
of most projects. One notable exception has been interprovincial undertakings—including railways, pipelines and highways that cross provincial
boundaries—but that federal power has often been exercised in a manner
that results in extensive regulatory duplication, overlap and ine昀케ciency. It
is not uncommon for the complex, multijurisdictional approval processes of
these projects to take several years, and to become entangled in litigation.
Helping clients manage risks,
disputes, and uncertainty
For more than 20 years, HKA has helped Canadian owners, developers,
contractors, and counsel navigate pitfalls that could derail large, missioncritical infrastructure projects. Employing over 1,000 experts and consultants
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