Canada tables draft bill to fast-track project approvals and rework strike powers

Canada has introduced draft legislation aimed at shortening the approval process for major natural resource projects, a priority Prime Minister Mark Carney has tied to the country's response to US tariffs.

The bill would also make it more difficult for a labour minister to order striking workers in key industries back to work. Ottawa intervened repeatedly in 2024 and 2025 to end work stoppages in critical sectors, drawing anger from unions.

Carney has argued that Canada must reduce barriers to growth, particularly a complex approvals process for major projects that can stretch beyond a decade. Under the proposed changes, that timeline could be cut to one year, partly by running federal impact assessments and permit reviews at the same time rather than sequentially.

In a statement, the government said the legislation would create "clearer, simpler, and more predictable processes" for project proponents and Indigenous groups taking part in consultations, giving investors the certainty needed to commit capital and build in Canada.

Major Canadian oil pipelines have in recent years faced lengthy regulatory delays and legal challenges, leading some projects to be cancelled and others to see costs escalate. The government noted that meeting the one-year target would not depend on the regulatory process alone, and would also require project proponents to supply data and project information promptly.

Carney's ruling Liberals hold a majority in the elected House of Commons, which should ensure the legislation eventually passes. Opposition parties could still seek amendments and prolong the approval process.

The bill also targets a provision in the Labour Code that allows the jobs minister to quickly end strikes and lockouts to "maintain or secure industrial peace". Ottawa has used this power to halt disputes in sectors such as railways, ports, airlines and postal services, prompting union outrage.

Under the new proposal, a special mediator would have to work with the parties for 21 days in major disputes. The minister could not intervene before that period and before receiving a report from the mediator, along with an assessment from the federal employment ministry on the potential damage a stoppage could cause.