BCAN Committee Report

Pursuant to the mandate established by motion adopted by the Senate on 2 December 2025 and by the House of Commons on 20 November 2025, as well as subsection 24(1) of the Building Canada Act (BCA), the Special Joint Committee on the Exercise of Powers Under the Building Canada Act (the Committee) has reviewed the Governor in Council’s and the Minister’s exercise of their powers and performance of their duties and functions under the BCA. The Committee is pleased to report the results of its first review to each house.

The Committee held its first meeting on 10 March 2026, where it elected its joint chairs and adopted its routine motions. Since then, the Committee has invited witnesses to appear to discuss the federal government’s exercise of powers and performance of duties under the BCA. These witnesses have included the minister designated under the BCA, the Honourable Dominic LeBlanc, President of the King’s Privy Council for Canada and Minister responsible for Canada-U.S. Trade, Intergovernmental Affairs, Internal Trade and One Canadian Economy, as well as senior officials from the Major Projects Office (MPO): Dawn Farrell, Chief Executive Officer; Louise Baird, Vice President, Strategic Policy and Coordination; Peter Feldberg, Vice President, Regulatory Affairs; and Rob Van Walleghem, General Counsel and Vice-President, Indigenous Affairs.

What the Committee Heard

The Committee’s review to date has focused on examining the MPO’s role in advancing large infrastructure, resource and energy projects. The Committee heard how the federal government has referred 15 projects and 6 transformative strategies to the MPO. The referred projects and strategies cut across several sectors of the Canadian economy like energy, transportation and mining. The Committee was also informed that the MPO received 275 submissions from project proponents interested in working with the MPO to coordinate federal decision-making. Some of these submissions were made through the MPO’s website, and others by other levels of government.

Although no projects have been formally designated as being in the national interest under the BCA, Ms. Farrell explained how the BCA has facilitated the advancement of major projects without the need for formal designation. Nonetheless, Mr. Feldberg told the Committee that some projects will eventually be formally designated as being within the national interest, likely within the next year. Minister LeBlanc also suggested that the government may introduce regulatory or legislative changes for other projects.

Witnesses described the process for the designation of a project under the BCA. Minister LeBlanc explained that the government was assessing projects based on the five criteria listed at subsection 5(6) of the BCA. He said that the designation is made by the Governor in Council on his recommendation based on Ms. Farrell’s advice. The designation decision, according to the MPO, should take approximately six months, and the designation decision is informed by MPO consultations. The MPO is targeting another up to 18 months for the relevant reviews and consultations before construction can begin, for a total timeline of a maximum of 2 years for designated projects. Once a project is designated under the BCA, the MPO works to accelerate timelines by coordinating the relevant reviews and consultations.

The Committee heard from witnesses about the work that the MPO has been undertaking since its establishment. The MPO’s coordination function involves convening proponents, governments and partners to advance major projects. If needed, the Committee heard how the MPO can refer a project to other federal departments. Witnesses explained how the MPO has been working concurrently rather than sequentially on aspects like impact assessment and Indigenous consultation to move projects to construction within two years and reduce duplication while maintaining existing legal obligations. For example, Ms. Farrell told the Committee that surrounding infrastructure is often needed to advance a project and the MPO plays a role in addressing many facets of a project in a holistic way. The MPO is also assessing the viability of projects and working to ensure that the necessary permits are durable so they can survive all levels of government. The Committee heard how the MPO’s regulatory efficiency group is working on improving regulatory efficiency across federal departments.

The Committee also heard from witnesses about the regulatory burden imposed on major project proponents. For example, Ms. Farrell explained that it was still possible to simplify and accelerate bureaucratic processes for major projects. Mr. Feldberg also expressed his belief that improvements could be made to accelerate projects.

Some members raised questions concerning the MPO organization structure, number of employees and salary arrangements. Senior management officials noted that all employees, including those engaged under Interchange Canada, are subject to all rules and requirements of federal employees. Interchange Canada is an employee mobility program that facilitates the participation of external employees in temporary federal public service work assignments.

Witnesses discussed the role of Indigenous peoples and the importance of the duty to consult as part of the BCA process, as well as the MPO’s mandate to advance reconciliation and respect Indigenous rights. Mr. Van Walleghem explained that the MPO seeks meaningful Indigenous consultation three times during the BCA process: early in the process when the government is considering designation, when the conditions pursuant to a designation are being developed, and on a continuous basis as the project progresses. The Committee also heard about the different ways Indigenous communities can benefit from these projects, like through equity or revenue sharing, and employment or procurement opportunities. Several projects, like the Iqaluit Nukkiksautiit Hydro Project, are led by Indigenous proponents and, according to Mr. Van Walleghem, will benefit Indigenous communities. The Committee also heard about the important role that the Indigenous Advisory Council (IAC) plays in advising the MPO. As of 5 May 2026, the IAC had met 11 times, when they reviewed the MPO’s referred projects and provided advice on Indigenous consultation methods.

The Committee also heard about environmental considerations related to the BCA projects process. Minister LeBlanc told the Committee that a designation decision is made after rigorous environmental reviews, while Mr. Feldberg explained that, in addition to the in-house expertise on the environment, the MPO was working with Environment and Climate Change Canada for advice on climate change impacts. According to Mr. Feldberg, the MPO is assessing whether a project advances Canadian climate or other environmental objectives.

The MPO has also been working with the Privy Council Office to encourage provinces to sign on to “one project, one review” co-operation agreements, which enable projects to be subject to a single impact and environmental assessment process. As of 28 April 2026, seven such agreements have been entered into by various provinces, with more agreements currently being negotiated. Additionally, under the BCA, the federal government must consult with the government of the province or territory in which the project will be carried out. Minister LeBlanc also clarified that it would be difficult for the federal government to impose a major project on an unwilling province.

Although the MPO does not directly grant funding to projects, witnesses highlighted the MPO’s role in arranging and structuring financing for major projects. Witnesses cited the example of the Contrecoeur Terminal Container Project, which required funding to move forward and was recently able to advance with the support of the MPO’s in-house financial expertise. The Committee also heard that the MPO was trying to get as much private-sector funding as possible for projects to reduce the amount of government funding needed. Minister LeBlanc also stated that he was regularly briefed by senior officials regarding state-owned and other foreign investments in major projects. Ms. Farrell confirmed that the ownership of a proponent does not impact how that project is evaluated and there were some foreign state-owned companies involved in the LNG Canada 2 project.

Recommendations and Observations

The Committee believes that the MPO represents an important modernization effort in federal project coordination, and that regulatory certainty and coordinated reviews are key to Canada’s economic competitiveness. Strong Indigenous engagement and intergovernmental collaboration are essential to the success of major projects, and continued parliamentary oversight supports transparency and public confidence. The Committee recognizes that implementation is ongoing and that the absence of formal project designations does not reflect inaction.

Furthermore, the Committee anticipates receiving information requested during testimony from the MPO and the government, including the MPO’s organization chart, a list of MPO employees participating in the Interchange program, the list of 275 submitted projects, an evaluation of the environmental impact of major projects and the government’s evaluation grids used to determine whether a project is in the national interest.

The Committee looks forward to continuing its review of the Governor in Council’s and the Minister’s exercise of their powers and performance of their duties and functions under the BCA. In the fall, it will continue examining how the federal government and the MPO work to advance major projects while respecting Canada’s obligations towards Indigenous peoples and the environment.

Recommendation 1

That the Government of Canada continue implementing coordinated “one project, one review” processes in partnership with provinces, territories, and Indigenous partners in order to improve efficiency and reduce duplication.

Recommendation 2

That the MPO continue developing clear service standards, coordination mechanisms, and support investment certainty and timely decision-making.

Recommendation 3

That the Government of Canada continue strengthening Indigenous participation and early engagement practices in major project development and review processes.

Recommendation 4

That the Government of Canada continue collaborating with provinces and territories to reduce barriers related to labour mobility, permitting coordination, and infrastructure planning for major projects.

Recommendation 5

That the Government of Canada ensure that existing ethics, conflict of interest, and national security review frameworks are rigorously applied within the operation of the MPO, notably with employees participating in the Interchange program.

Recommendation 6

That the MPO provide the Committee with periodic updates regarding developments and project coordination activities.