Business groups applaud Supreme Court ruling against federal environmental impact law

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Business groups and energy companies celebrated a decision Friday by the Supreme Court of Canada that ruled Ottawa's impact assessment law for major project approvals is largely unconstitutional.

The loudest cheering came from Alberta, where industry leaders saw the 2019 legislation as a roadblock to development of oil and gas infrastructure and other energy-related projects.

“I know this has boosted the positive feelings of Alberta business leaders. I've heard from a number of them already this morning,” said Scott Crockatt, spokesman for the Business Council of Alberta, whose membership is made of some of the province's most prominent CEOs. But the Supreme Court's decision doesn't strike down the law or remove the federal government's authority to regulate projects through environmental assessment - instead, it essentially invites the federal government to tighten up the act to ensure it doesn't step on provincial authority.

A report from the Canada West Foundation published earlier this year found that of the 25 projects submitted under the federal Impact Assessment Act since 2019, almost all remain in the first two phases of a four-part approvals process. The same Canada West Foundation report found that under the Canadian Environment Assessment Act of 2012, which preceded the Impact Assessment Act, it took almost 3.5 years on average for projects to either receive approval or be terminated.

“It is more critical now than ever that governments at all levels recognize that the status quo isn't working.”

 

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