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The Building Canada Strong Act, Bill C-39, grants cabinet broad powers to bypass environmental laws for national interest projects, sparking criticism from environmental groups.
Prime Minister Mark Carney's Building Canada Strong Act, introduced as Bill C-39 on September 21, 2025, has drawn criticism from environmental groups who say it grants cabinet unchecked discretion to circumvent environmental law s for projects in designated national interest regions. The bill aims to streamline approvals with a target of one project, one review, and one year to decision, but opponents warn it undermines environmental protections.
Bill C-39 and National Interest Regions
Bill C-39, tabled by Government House Leader and Transport Minister Steven MacKinnon on the first day of Parliament's fall sitting, proposes amendments to several laws, including the Building Canada Act, the Impact Assessment Act, and the Species at Risk Act. It creates regions of national interest where projects could be pre-approved and exempt from environmental laws after an assessment by the Impact Assessment Agency.
The governor-in-council, on the recommendation of the minister, would have the authority to name these regions. However, the bill lacks details on the size and scope of such regions, raising concerns about potential overreach. The almost 250-page bill is intended to streamline project approval and construction by completing reviews within a year.
Environmental Groups Sound Alarm
Environmental groups, including Ecojustice, argue that the legislation represents an astonishing undermining of environmental law. Margot Venton, program director of nature at Ecojustice, said the changes would create the power to avoid federal environmental standards for any project without limitations on what can be designated as a national interest project or area.
Venton noted that Bill C-39, alongside the Building Canada Act, would result in no limitations on what can be considered a national interest project or zone. She added that the package of changes to environmental law over the last year and a half is beyond anything seen before, giving cabinet unchecked discretion to approve projects regardless of impacts on nature, climate, or communities.
Government Defends Economic Mandate
The government contends that Bill C-39 will not erode environmental protections or Indigenous rights, citing the economic crisis amid the ongoing trade war with the United States. Prime Minister Carney, speaking on the sidelines of the United Nations General Assembly, said his government has a very clear mandate to tackle the economic threat posed by U.S. President Donald Trump.
Carney said a decision delayed is a project denied, and that under the previous government, businesses stopped building due to red tape. He emphasized that if a project is to be rejected, the decision should be made within a year. The government had intended to table C-39 before Parliament's summer recess but delayed it to extend consultations after backlash. The discussion paper received 21,000 responses and led the government to drop a proposal that would have exempted projects from the jeopardy test in the Species at Risk Act.
Regulatory Changes and Economic Context
On September 9, the Carney Liberals changed Canada's regulatory framework so that select projects, including pipelines, transmission lines, and some oilsands extraction facilities, would only need federal review by the Canada Energy Regulator and not the Impact Assessment Agency. Bill C-39 proposes similar changes, moving federal reviews of pipelines, nuclear facilities, and power lines to the Canada Energy Regulator and the Canadian Nuclear Safety Commission, both under Energy Minister Tim Hodgson's jurisdiction.
Senator Clément Gignac of the Canadian Senators Group described the legislation as a very large positive step in the right direction for the economy. The bill's goal of one project, one review, and one year to decision is seen by supporters as a way to boost economic growth, but critics fear it prioritizes speed over environmental and community safeguards.
Building Canada Strong Act Bill C-39 Mark Carney Environmental Law Steven Mackinnon Ecojustice Canada Energy Regulator
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