Mining and Environmental Regulation in Canada

In Canada, mining is a shared responsibility between the federal and provincial governments, with each level of government having specific roles and responsibilities. The majority of Canadian Mining Legislation is primarily concerned with environmental protection. Federal legislation further strengthens these standards by imposing additional ecological and social obligations on mining projects. Acts such as the Impact Assessment Act and the Fisheries Act work together to protect the environment and ensure sustainable development in Canada's mining industry.

Provincially, every province and territory has a mining act governing resource extraction within its borders. The balance of power between federal and provincial governments can be contentious, particularly when legislation like Bill C-69 potentially overlaps with provincial jurisdiction. Bill C-69, the Impact Assessment Act, is a federal law that aims to streamline and strengthen the environmental assessment process for major projects, including mining. However, it has been criticized for potentially adding bureaucratic hurdles and delays to project approvals, impacting the competitiveness of the Canadian mining sector.

This page explores the critical legislation, policies, and governing bodies that shape the Canadian mining sector.

For a deeper dive into Canada’s mineral and metal policy, see: https://natural-resources.canada.ca/minerals-mining/mining-policy-taxation-and-industry/minerals-metals-policy-government-canada/8690.

Federal Policy

Federal Canadian mining policy is primarily concerned with environmental protection. Federal legislation further strengthens these standards by imposing additional environmental and social obligations on mining projects. Further, Federal laws set standards for pollution control, habitat protection, and require environmental assessments for major projects. The federal government's role in mining regulation is to ensure a balance between economic growth and environmental protection, while respecting Indigenous rights.

Canadian Environmental Assessment Act, 2012

Prior to 2019, the Canadian Environmental Assessment Act, 2012 (CEAA 2012) played a crucial role in assessing the potential environmental impacts of proposed projects across many industries in Canada. In mining, EECA requires proposed mining projects detail the environmental effects, impact and disruption the project may cause. Under EECA, mining companies had to create environmental impact assessments (EIAs) to identify and evaluate the potential adverse effects of their projects on the environment, including air and water quality, biodiversity, and Indigenous rights. These EIAs must outline specific mitigation measures to minimize or eliminate these impacts. CEAA 2012 also ensured public participation in the assessment process, allowing affected communities and Indigenous groups to voice their concerns and provide input on the project.

Bill C-69

Bill C-69 will introduce a modern assessment process that protects the environment, supports reconciliation with Indigenous peoples, attracts investment, and ensures that good projects go ahead in a timely way to create new jobs and economic opportunities” — then Minister of Environment and Climate Change Catherine McKenna.

In 2018, the Federal Government introduced Bill C-69. Bill C-69s purpose was to enact the Canadian Energy Regulator (CER) Act and the Impact Assessment Act, and to amend the Navigation Protection Act. It repealed The Canadian Environmental Assessment Act, 2012 and the National Energy Board Act. In it’s place to brought Impact Assessment Act (IAA) and Canadian Energy Regulator Act into law. The IAA established a new framework for assessing the environmental and social impacts of major projects, while the CER Act created a new regulatory body, the Canadian Energy Regulator, to oversee the energy sector. This significant legislative change aimed to strengthen environmental protections and streamline the regulatory process for energy projects.

Bill C-69 was given the Royal Assent in June 2019. (https://www.parl.ca/documentviewer/en/42-1/bill/c-69/royal-assent)

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Impact Assessment Act (IAA)

Outlines a process for how the Government of Canada goes about assessing the impacts of designated projects and projects carried out on federal lands or outside of Canada. (Impact Assessment Act).

IAA is a framework designed to assess major projects in Canada for their environmental, social, economic, and health impacts. It prioritizes sustainability, Indigenous rights, and public engagement, aiming to create a balanced and transparent decision-making process. It considers all factors and weighs every project's positive and negative aspects. The goal is to create a fair, efficient, and predictable system that enhances Canada's competitiveness while protecting the environment and promoting social and economic conditions. IAA mandates cumulative effects assessment and follow-up programs to monitor and mitigate projects' long-term effects. At its core, IAA reinforces nation-to-nation, Inuit-Crown, and government-to-government relations. By prioritizing all factors, IAA strives to ensure projects contribute to a sustainable future while respecting Indigenous rights and upholding public interest.