Letter to the CEO: Getting Major Projects Built in Canada
September 21, 2026
Tracy Sletto
Chief Executive Officer
Canada Energy Regulator
tracy.sletto@cer-rec.gc.ca
Dear Ms. Sletto:
Following the Government of Canada’s decision to streamline and accelerate the delivery of major projects, the Building Canada Strong Act was introduced on September 21, 2026. The Bill includes proposed new authorities for the Canada Energy Regulator (CER) under the Canadian Energy Regulator Act (CER Act). Informed by the objectives of the Cabinet Directive on Getting Projects Built in Canada issued to federal authorities, I am pleased to provide the CER with this letter outlining the Government of Canada’s key focus areas to support the CER in planning for implementation of these proposed authorities. A follow-up letter will be shared once the relevant provisions come into force and will reflect any necessary changes arising through the legislative process.
Getting Major Projects Built in Canada
The Government of Canada has committed to making federal decisions on projects in no more than one year after a proponent provides the required information and studies, while maintaining strong safety and environmental protections and respecting Indigenous rights. The Government is proposing to improve regulatory efficiency through stronger Crown consultation and federal permit coordination while assigning responsibility and authority for the assessment of projects to the relevant federal regulator. In doing so, the Government can achieve clear and predictable processes that will increase confidence among Canadians, including Indigenous Peoples, project proponents and investors, that Canada’s regulatory system will support sustained economic growth while upholding strong environmental protections and respecting Indigenous rights.
The Government remains committed to a “one project, one review” approach and to working collaboratively with provinces, territories, Indigenous governments and modern treaty-based co-management boards, in a spirit of cooperative federalism, collaboration and reconciliation. Clear, coordinated and predictable regulatory processes will increase confidence among Canadians, including Indigenous Peoples, project proponents and investors, while supporting economic growth and strong environmental outcomes.
This letter outlines the Government of Canada’s key focus areas for advancing this commitment and outlines the CER’s anticipated role under the proposed legislative changes. In doing so, it recognizes and respects the CER’s arm’s-length role and the independence of the Commission in carrying out its adjudicative functions under the CER Act.
I would like to acknowledge the significant work the CER has already undertaken to improve regulatory efficiency and reduce administrative burdens while maintaining rigorous regulatory oversight. Recent efforts include substantially reducing decision timelines for routine applications, introducing streamlined processes for low-risk projects, advancing the CER Portal to modernize regulatory interactions, and strengthening cooperation with federal and other regulators to reduce duplication and improve coordination. These efforts, together with the CER’s ongoing work to optimize its adjudicative processes and modernize its regulatory framework, provide a strong foundation for advancing the key focus areas set out in this letter.
Accordingly, in anticipation of the proposed legislative changes, consistent with the CER Act and the Government’s objective of delivering major project assessments and decisions in no more than one year, the CER will help advance this goal by:
Coordinate federal permitting and Crown consultation for CER-regulated projects
i. The CEO will be responsible for coordinating federal permitting and Crown consultation for all CER-regulated projects, including:
- Coordinating with federal permitting authorities such that relevant permitting processes can advance concurrently with the CER’s regulatory review and decision-making, where possible, practical and technically feasible. Consistent with the Cabinet Directive and proposed legislative changes, federal authorities are also expected to provide timely information, expertise and advice within their respective mandates and align federal permit decisions with applicable CER timelines;
- Maintaining the CER’s role as Crown Consultation Coordinator (CCC), including coordinating Crown consultation activities with relevant federal authorities, supporting the early identification of concerns raised by Indigenous Peoples, and coordinating appropriate recommendations to decision-makers to resolve, mitigate or otherwise accommodate, where appropriate. Where accommodation measures or other Crown action may be required beyond the Commission’s mandate, the CER will raise these matters early with the appropriate federal authority so that a response can be developed within the applicable project timeline, with the objective of reducing consultation burden on Indigenous Peoples;
- Developing the processes needed to implement the coordination roles and clarifying roles, responsibilities, information-sharing, sequencing and coordination expectations with relevant federal authorities in a timely manner;
- Working with provinces, territories, Indigenous governments and organizations, where appropriate, to identify opportunities to reduce duplication and improve coordination across permitting and consultation processes, including through existing authorities under the CER Act. For projects in the territories, these coordination functions should be carried out in a manner that respects existing northern regulatory and modern treaty-based co-management regimes, recognizing the Canadian Northern Economic Development Agency’s (CanNor) continuing role as the federal and Crown consultation coordinator, where applicable.
In carrying out this coordination role, the CER will respect the statutory authorities and discretionary powers of other federal authorities, whose respective decision-making responsibilities remain unchanged.
Support a fit-for-purpose assessment and decision framework
ii. Consistent with section 25 of the CER Act, CER staff will provide the Commission with the support necessary to facilitate efficient, fit-for-purpose review and hearing processes, including the resources and analysis needed to support processes proportionate to the size, complexity and potential impacts of a project, including supporting proponent readiness through clear and coordinated information requirements.
Report on progress
iii. Report progress through existing reporting mechanisms on results towards achieving the objectives and timelines reflected in this letter, including the number of federal regulatory and permitting decisions for major projects issued no more than one year after the proponent provides the required information and studies, and the number of Crown consultation processes coordinated by the CER on an annual basis.
Governance and Oversight
iv. The Government of Canada recognizes and respects the important roles of provinces, territories, Indigenous governments and modern treaty-based co-management boards in reviews and decisions related to major projects. As the CEO advances the guidance outlined above once the relevant legislative changes come into force, should challenges or cross-departmental issues arise, the CEO may seek support from the Deputy Ministers’ Federal Review Group, comprising relevant federal deputy heads and chaired by the Federal Review Coordinator (the Impact Assessment Agency of Canada), while keeping Natural Resources Canada informed.
Finally, the functions outlined above are to be exercised in a spirit of cooperative federalism, collaboration and reconciliation, with a view to supporting efficient, predictable and inclusive decision-making, while maintaining strong safety and environmental protections and respecting Indigenous rights.
Yours sincerely,
The Honourable Tim Hodgson, P.C., M.P.
c.c.:
Dale Eisler
Interim Chairperson
Board of Directors of the Canada Energy Regulator
info@cer-rec.gc.ca
Mark Watton
Lead Commissioner
Canada Energy Regulator
info@cer-rec.gc.ca
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