Carney Unveils $60B Fast-Track Projects as Critics Warn of Threats to Democracy, Environment

Prime Minister Mark Carney on Thursday unveiled the first five major infrastructure projects set for fast-track approval under new federal legislation, while environmentalists and First Nations launched lawsuits claiming the law undermines democracy and constitutional rights.

The list includes the LNG Canada Phase 2 project in Kitimat, B.C., a first-of-its-kind small modular nuclear reactor at the Darlington nuclear station in Clarington, Ont., an expansion of the Port of Montreal, a new copper and zinc mine in Saskatchewan, and an expansion of the Red Chris copper mine in northwestern B.C., The Canadian Press reports.

The projects represent more than $60 billion in investment, Carney told a press conference in Edmonton. He called them viable projects that are “in the national interest.”

“The proponents behind each of these projects have already done much of the hard work,” he added. “They’ve undertaken already extensive consultations with Indigenous peoples, consultations that meet the standards of existing legislation.”

The projects will receive final approval within two years, Carney said, adding it is “no accident” that LNG and mining initiatives are on the list, since they align with environmental goals set out in law.

Quebec Lawyers Sue Ottawa Over Bill C-5

But critics say Bill C-5, the legislation that enables the fast-tracking, gives the government excessive powers and jeopardizes democracy and environmental protections.

The Centre québécois du droit de l’environnement (CQDE, or Quebec Environmental Law Centre), a group of environmental lawyers , says it has filed a lawsuit in Quebec Superior Court challenging the validity of the major projects law, CP writes.

Executive Director Geneviève Paul said the law removes the ability of the public and the courts to act as a check on government decisions, a role protected by the Constitution.

Paul said projects will be greenlit without full consideration of their potential impacts, adding that the law allows Ottawa to set aside some federal and provincial environmental regulations.

“We are talking about projects with potentially serious impacts … impacts that may be irreversible on our ecosystems, water, and air,” Paul said in an interview.

In addition to the CQDE lawsuit, nine First Nations in Ontario have asked the Ontario Superior Court to declare the law unconstitutional. They argue that it poses a “clear and present danger” to First Nations’ right to self-determination regarding their way of life on their territories.

Intergovernmental Affairs Minister Dominic LeBlanc was asked about the court challenge in Montreal on Thursday, where he was promoting the development of the Contrecœur Terminal container facility.

LeBlanc said Ottawa has “taken note” of the challenge but Canadians gave the Liberal government a mandate to expedite nation-building projects in the spring election.

“We believe Bill C-5 … obviously is constitutionally valid. We will make that case in any court case,” he said.

LNG Expansion Sparks Criticism

The Prime Minister’s Office said Phase 2 of the LNG Canada export terminal in Kitimat, B.C. would double Canada’s liquefied natural gas production and open a pathway for approval of other LNG projects.

Greenpeace Canada said Carney should be prioritizing housing, the cost of living, and addressing climate change, rather than fossil fuel infrastructure.

“Doubling down on LNG exports from a project that has faced fierce Indigenous opposition makes no sense at a time when wildfires are bringing home the cost of the climate crisis and key markets like China and Europe are turning to solar and wind rather than fossil fuels,” the group said. 

“Nation-building should secure Canada’s future, not tie us to the polluting past,” said Aly Hyder Ali, oil and gas program manager at Environmental Defence Canada. 

“Expanding LNG in a climate crisis is a dangerous mistake.”

Projects identified for future development include enhancements to the Port of Churchill in Manitoba, a proposed high-speed rail line between Toronto and Québec City, a 50-gigawatt wind energy project in Nova Scotia, and the Pathways Alliance carbon capture and storage project in Alberta, CP says.

Once it’s complete, Carney said the Pathways facility could lead to a “decarbonized” pipeline project, a notion that one prominent climate science has told him defies high school chemistry. At this point, there is no private sector proponent for a new oil pipeline, and analysts say a carbon capture plant won’t be viable without permanent taxpayer subsidies.

The projects listed for future development, which include plans for all-weather road projects in Northern Canada to support potential critical mineral development, cover all of Canada’s main regions.

Alberta Cheers, Conservatives Jeer

Alberta Premier Danielle Smith said she still wants to see a pipeline built to the B.C. coast and the repeal of laws she said are “impacting the investment climate” in Alberta.

“It’s taking us a little bit of time to work through that but we’re making great progress,” Smith told a news conference Thursday. “I understand that the prime minister is looking for a next tranche of major projects to be announced by Grey Cup and I’m hopeful that by then we’ll be able to have something to share.”

Smith posted on social media Thursday morning she had an “exceptionally productive” meeting with Carney on Wednesday and she is “more optimistic than ever that the concerns of Albertans are finally being heard.”

The federal Conservatives were far less enthusiastic about the announcement. They said Ottawa is blocking far more projects than it’s looking to push through, adding that the new Major Projects Office headed by former pipeline executive Dawn Farrell is nothing more than another layer of bureaucracy.

Conservative Leader Pierre Poilievre said that all Carney has done to date is “announce that he’s going to send an email to an office that isn’t even fully staffed up yet, which will one day consider, possibly, approving five projects.”

“This is pathetic,” he told a press conference in Woodbridge, Ont.

Poilievre said his party will propose legislation in the fall aimed at repealing Trudeau-era laws which he claimed have stifled development, such as the industrial carbon price. The Conservatives supported the accelerated passage of Bill C-5, the Liberals’ major projects bill, in the spring.

Premiers Back Projects

Nova Scotia Premier Tim Houston thanked Carney for putting the Wind West project on the future development list, posting on social media that the project would put millions of dollars into the economies of Atlantic Canada, Quebec, and Ontario.

Manitoba Premier Wab Kinew told media in Winnipeg he was pleased to see the Port of Churchill included on the future projects list, and to hear the federal government talking about building more icebreakers for Hudson Bay.

Kinew said he is working with Indigenous leaders to ensure they are onboard with further development at the port and he anticipates the next stage beginning “this fall.”

“We’re making sure our due diligence is strong and questions about the environment are going to be really, really front of mind,” he said. “Over the coming months, I think you’re going to get really excited about the vision as we announce this thing and build it out publicly.”

The Major Projects Office will be expected to help expand the critical minerals sector and secure more investment in such mining projects within the next two years—including the Ring of Fire in Ontario.

A statement from Ontario Premier Doug Ford’s office, sent by spokesperson Hannah Jensen, said the province welcomes the federal government’s support on small modular reactors but “expects that the same streamlined federal approvals will be extended to the new large-scale nuclear facilities Ontario is building.”

The statement also said Ottawa “needs to urgently join Ontario in speeding up approvals for critical mineral projects, including by building all-season roads to the Ring of Fire.”

Cover photo:  Prime Minister Mark Carney’s Liberal government proposed new powers to fast-track major projects. (Mark Carney/Facebook)

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