Canada's energy overhaul hands more power to the CER and cuts review times
The federal government has unveiled plans to overhaul how major energy projects are reviewed in Canada. Under the proposed changes, the Canada Energy Regulator (CER) would take on a larger role, including oversight of offshore renewable energy developments. The move marks a shift from the current system, which was introduced by the Liberals in 2014 through the creation of the Impact Assessment Agency of Canada (IAAC). The new proposal would give the CER authority over interprovincial pipelines and transmission lines. It would also expand its responsibilities to include offshore renewable energy projects, consolidating oversight under one body. Previously, the government had already shortened review times for major projects from five years to two through legislative changes. Now, it aims to cut that further to just one year.
Another key change would allow cabinet to determine whether a pipeline project serves the public interest before the review process is finalised. This adjustment could speed up decision-making but has raised questions about transparency. To improve coordination, Ottawa plans to establish a Crown consultation hub within the IAAC. The hub would work more closely with Indigenous communities and provincial governments during project assessments. The proposal effectively reverses the 2014 decision that separated the IAAC from the CER, centralising energy project reviews once again.
If approved, the changes would streamline project approvals while shifting more power to the CER. The government’s goal is to reduce delays, but the reforms may also alter how public interest is weighed in energy decisions. The Crown consultation hub would become a central point for Indigenous and provincial input during reviews.
