Canada has a new Major Projects Office (MPO), designed to reduce red tape for projects of national importance. The Building Canada Act, which became law in June 2025, created the MPO as a “one stop shop” for federal regulatory approvals, signaling the Canadian government’s interest in advancing the types of large, “once in a generation” project that may be of interest to international clients.
Projects must be submitted to the MPO, where they will be assessed to determine if they meet the threshold of national importance. Currently, major projects that have successfully passed that hurdle include large-scale electricity (transmission lines and hydro), energy (LNG and nuclear), industrial (container pier), and mining (including critical minerals) projects. The MPO’s goal is to ensure that all qualifying projects are fully reviewed by the federal government within two years. Once approved, the proponent will have five years to substantially start work.
Also under consideration by the MPO are various “transformative strategies”, which are geared at critical minerals, conservation, wind energy, high speed rail, carbon capture and storage, port development and Arctic infrastructure. These strategies are more conceptual in nature and do not have a firm review timeline.
These projects and strategies present exciting opportunities for clients, and they also present an opportunity for the Meritas network to leverage connections to local, on-the-ground knowledge to their clients’ benefit. For example:
- Because of Canada’s constitutional division of powers, federal regulatory approval is not all that is required for a project proponent. For large infrastructure projects, many provinces will require additional steps like environmental assessments and transportation studies for projects in their jurisdiction. Local municipalities may require permits, which may include decommissioning bonds or other credit guarantees. Local Indigenous communities require their own permits or contracts. An understanding of the local landscape is a major benefit to working with a law firm based in the particular province or territory.
- In Canada, the government (at both the federal and provincial levels) must meaningfully consult with local Indigenous communities before approving projects that may impact them. For that reason, among others, many projects will be led by or operated in conjunction with Canada’s Indigenous communities. These partnerships can have many benefits for everyone involved. However, investors will need to ensure that they understand how land ownership works in Canada’s Indigenous communities, where land is collectively held and difficult to alienate, even to a creditor or long-term occupier. A detailed understanding of the risks and benefits in this area, and other potential options to protect investment, will be essential.
- Many of these projects span jurisdictions, requiring detailed knowledge of multiple regimes of in areas like labour and employment law, property law, creditor protection, and municipal law. The Meritas network is well placed to work as a team as we have firms in many provinces and territories within Canada where the larger, national firms do not have a foothold.
For now, the MPOs is considering its first two tranches of projects. As these projects advance, the details of the federal approval process will also develop. However, any clients with an interest in this area do not need to wait - applications can be submitted at any point, and are reviewed on a rolling basis.
