Canada Bill Seeks One-Year Approvals for Major Projects, New Limits on Back-to-Work Orders
OTTAWA/CALGARY, Sept 21 (Reuters) — Canada introduced draft legislation on Monday aimed at accelerating federal approvals for major natural resource projects, part of Prime Minister Mark Carney’s push to make the country more competitive as U.S. tariffs weigh on its economy.
The bill would also raise the bar for a labor minister to order striking workers in major industries back to work. Ottawa intervened repeatedly in 2024 and 2025 to end work stoppages in crucial sectors, drawing anger from unions.
Carney has argued that Canada must remove obstacles to growth, especially the complex federal approval process for infrastructure and resource projects. Lengthy permitting has in some cases stretched energy and resource developments from proposal to completion over a decade or more.
One-year approval target
The legislation would set a one-year time frame for federal reviews and decisions, in part by running federal permit processes and reviews simultaneously instead of one after another.
Natural Resources Minister Tim Hodgson said in an interview that the bill sends a signal to the federal bureaucracy that it must become more efficient, adding that the civil service will be held accountable to the new one-year target.
“What this is doing is signaling to every part of government that we need to raise our competence. We need to do our environmental work better and faster,” Hodgson said.
The government stressed that meeting the one-year timeline would not depend solely on the regulatory process. It would also require project proponents to provide data and project information in a timely manner.
The bill does not change the right of Indigenous groups in Canada to be consulted and accommodated on projects taking place on their territory. Hodgson said those consultations need to be done better and faster.
Carney’s ruling Liberals hold a majority in the House of Commons, the elected chamber, which should ultimately allow the legislation to pass. Opposition parties could still demand changes and draw out the approval process.
Labor Code changes
The bill also targets a provision in the Labor Code that allows the jobs minister to quickly end strikes and lockouts to “maintain or secure industrial peace.” Ottawa has invoked the provision to end disputes in crucial sectors including railways, ports, airlines and postal services, to the outrage of unions.
Under the new approach, a special mediator would have to work with the parties for 21 days in major disputes. The minister could not intervene before then receiving a report from the mediator and an assessment from the federal employment ministry about the damage a stoppage could cause.
For Canada’s resource sector, the proposal reflects a bet that faster permitting will unlock investment and help diversify trade away from the United States. For organized labor, it signals a shift away from rapid government intervention, though unions are likely to push for stronger protections. The bill now heads into a legislative process where opposition parties can try to shape its final form.
(Reporting by David Ljunggren in Ottawa and Amanda Stephenson in Calgary; Editing by Daniel Wallis and Matthew Lewis)