“No More Pipelines Act” goes to Supreme Court, and Saskatchewan is intervening

BY BRIAN ZINCHUK

REGINA, OTTAWA – What has been often referred to as the “No More Pipelines Act,” is going to the top court in the land this week, and Saskatchewan is making its case known against it.

This week, Saskatchewan will join every other province and territory in Canada, except for Prince Edward Island and Nova Scotia, in a constitutional intervention before the Supreme Court of Canada to argue that the federal environmental Impact Assessment Act (IAA) exceeds federal jurisdiction under Section 92A of the Constitution Act, 1867, and is unconstitutional.

The challenge will be heard this week before the Supreme Court from March 22 to 23.

“Last spring, the Alberta Court of Appeal held that, with the IAA, the federal government had taken a ‘wrecking ball’ to exclusive provincial jurisdiction under 92A,” Justice Minister and Attorney General Bronwyn Eyre said in a release on March 20. “This is precisely the kind of continued, unconstitutional, federal infringement that led to our passing the Saskatchewan First Act. Clearly, most provinces agree that the IAA is a significant federal overreach that will stop future infrastructure and resource development in Canada.”

Previously known as Bill C-69 (which has been called the “no more pipelines bill”), the IAA received royal assent in 2019. It authorizes federal regulators to determine the effects of major infrastructure projects, including pipelines, mines and highways, on environmental and social issues.

Eyre mentioned this case in an in-depth interview with Pipeline Online on the Saskatchewan First Act, published March 20.

Saskatchewan’s position is that this federal legislation constitutes an unconstitutional infringement of exclusive provincial jurisdiction in the area of resource development. Under the Constitution Act, provinces have exclusive jurisdiction over the development of natural resources, including their provincial environmental regulation.

In May, 2022, the Alberta Court of Appeal, in a 4-1 majority, ruled that the entire IAA and regulations were unconstitutional and threatened provinces’ right to control their own resources. The federal government appealed the decision to the Supreme Court of Canada.

NDP Justice Critic Nicole Sarauer said in an email, “When most of Canada is opposed to a policy like this I’d sure hope it would at least make the federal government pause and reflect on their position. The Saskatchewan NDP has always stood up for Saskatchewan and we will continue to do so whenever the federal government oversteps into provincial jurisdiction.”

Critical Minerals a Key Focus for Saskatchewan

The 2023-24 Budget builds on Saskatchewan’s position as a global leader in the exploration and development of critical minerals. “Critical minerals are vital for our modern way of life and in short supply around the world,” Energy and Resources Minister Jim Reiter said. “Saskatchewan is fortunate to have occurrences of 23 of the 31 critical minerals on the Canadian Critical Mineral List and some of them, such as potash and uranium, are in world-class deposits. We want to show the world that Saskatchewan is open for business and ready to support development.”

Three existing programs have been enhanced to drive investment in Saskatchewan’s critical minerals projects. The province has committed $4.0 million to expand the Targeted Mineral Exploration Incentive to include exploration drilling for all hard-rock minerals and increased the funding limit to support emerging commodities. The Saskatchewan Mineral Exploration Tax Credit has also been increased from 10 to 30 per cent. The coming year will also see significant investment in improving geoscience data management, which is used by exploration companies as they consider projects. A total of $2.4 million will be invested in technology and automation. This will allow geoscientists to compile and analyze broader amounts of data, improving the information provided to explorers and stakeholders. External clients will also be able to fulfill regulatory requirements by submitting mineral assessment reports online. Critical mineral exploration and development is anticipated to be a key economic driver for the province over the next ten years. Competitive incentives play an important role in attracting investment in exploration projects, mine development and mineral processing facilities.

“Exploration investment provides an exponential return that is key to the financial health of the province,” Reiter said. “Saskatchewan’s success in potash and uranium production already accounts for 12 per cent of provincial gross domestic product.”

The Ministry of Energy and Resources is on track to meet its goals in Saskatchewan’s Growth Plan, which include increasing annual potash sales to $9.0 billion, a target which the sector doubled in 2022, and increasing annual uranium sales to $2.0 billion. It also includes doubling the size of the forestry industry by 2030 and increasing oil production to 600,000 barrels per day.

Solid economic growth in Saskatchewan is strengthening the province’s finances - that’s growth that works for everyone.