Ottawa's Building Canada Act and major projects proposals draw criticism over political discretion

A Canadian policy analysis says Ottawa's Building Canada Act and a companion discussion paper on "Getting Major Projects Built in Canada" increase political discretion over project approvals and risk politicizing regulation further.

The author, writing for the C.D. Howe Institute, a think tank, argues the current system is not working and that the proposed changes are well-meaning and necessary but do not go far enough. The Building Canada Act gives federal cabinet largely unconstrained discretion to designate a "national interest project" and approve it, the author writes.

The analysis says the discussion paper makes almost no mention of national interest projects, suggesting the same approach would apply to major projects generally. It also argues that regulators must produce a record supporting a cabinet determination already made, and that the proposals do not explain how the government will approach the free, prior and informed consent of Indigenous peoples.

The federal consultation on the proposed reforms ran from May 8 to July 22, 2026, after an extension beyond its original 30-day period, and a government report summarizing the feedback was published Sept. 9. On Oct. 29, the day before the C.D. Howe analysis appeared, the government added its first project to the Building Canada Act registry: the proposed West Coast Oil Pipeline, from Bruderheim, Alta., to a port near Delta, B.C. The analysis does not include a government response.

Correction, Nov. 2, 2026: An earlier version said the consultation window ended Monday and that no projects had been designated under the Act, repeating claims in the source analysis. The consultation closed July 22, and the West Coast Oil Pipeline was designated Oct. 29.