In the face of growing economic challenges, Canada must prioritize major infrastructure projects to create jobs, expand trading partnerships, and stabilize the economy. However, regulatory delays and restrictive policies have slowed progress, preventing the country from realizing its full potential. The Progressive Contractors Association (PCA) has launched the ‘Let’s Get Building’ campaign to urge policymakers to take decisive action and streamline infrastructure approvals.
Regulatory Delays Stifle Growth
Over the last decade, Canada’s regulatory framework has made it increasingly difficult to approve and complete infrastructure projects. The Impact Assessment Act (formerly Bill C-69), introduced by the Liberal government, was intended to reduce project review timelines. However, an analysis by the Canada West Foundation in 2023 found that the first phase of a four-step review process alone could take up to 693 days. Since the act came into effect, 25 projects have entered the review process, yet none have advanced beyond the second phase.
By contrast, under the previous Canadian Environmental Assessment Act, project approvals averaged 3.5 years. While not without flaws, this system allowed for infrastructure development. The current regime, however, has resulted in a bottleneck that has stalled critical projects.
Canada’s History of Infrastructure Success
Despite recent regulatory hurdles, Canada has a strong history of building energy infrastructure. Between 2006 and 2015, multiple major projects were approved and completed, including:
- Kinder Morgan’s Anchor Loop (2006–2008): Expanded Trans Mountain pipeline capacity by 40,000 barrels per day.
- TC Energy’s Keystone Pipeline (2007–2010): Converted an existing gas line for crude oil transport, adding 435,000 barrels per day capacity.
- Enbridge’s Line 9B Reversal (2014–2015): Helped replace foreign oil with Canadian crude.
- Enbridge’s Alberta Clipper Expansion (2008–2010, 2013–2014): Added a total of 350,000 barrels per day in two phases.
These projects demonstrated that Canada was once capable of approving and constructing critical infrastructure in a timely manner. However, in recent years, significant projects such as Energy East and Keystone XL have been abandoned due to regulatory uncertainty and political opposition.
Indigenous Participation in Infrastructure Development
A key shift in Canada’s infrastructure landscape is the increasing involvement of Indigenous communities. Programs like Alberta’s Indigenous Opportunities Corporation, which offers up to $3 billion in loan guarantees, have helped Indigenous groups invest in major projects. These initiatives provide economic opportunities while fostering stronger partnerships between industry and Indigenous communities.
Addressing Public Infrastructure Challenges
Beyond energy infrastructure, Canada faces challenges in public infrastructure, including transportation and economic corridors. Provinces like Saskatchewan, Alberta, and Manitoba have collaborated on expanding trade corridors to improve the movement of goods. National expansion of such initiatives could address bottlenecks in supply chains, ensuring more efficient access to global markets.
Additionally, developing critical infrastructure projects such as the Ring of Fire access roads and expanded commuter rail systems would further strengthen Canada’s economy.
The Impact of Anti-Worker Policies
Another challenge facing Canada’s infrastructure sector is restrictive labor policies. The federal government’s plan to phase out the Canada Apprenticeship Incentive Grant and Completion Grant threatens to undermine workforce development. Since 2007, over one million grants have been issued, helping apprentices overcome financial barriers.
Provincial policies, such as British Columbia’s Community Benefits Agreements, further restrict worker participation by limiting government contracts to select unions. This approach excludes a significant portion of the workforce, reducing labor mobility and efficiency in completing projects.
A Path Forward: Reforming Canada’s Approval Process
Canada cannot afford to continue its current trajectory of delayed and abandoned infrastructure projects. To ensure economic growth and stability, the federal government must:
- Revise the Impact Assessment Act to establish clear, predictable project approval timelines.
- Expand Indigenous investment initiatives to foster economic partnerships.
- Develop national trade corridors to improve supply chain efficiency.
- Protect apprenticeship programs to support workforce development.
- Encourage fair labor policies to maximize worker participation in infrastructure projects.
Canada has the resources, expertise, and workforce to build a stronger economy. It is time for decisive action to remove bureaucratic barriers and invest in projects that will benefit the nation for generations to come.
