Government scores victory: Bill C-5 passes House amidst divided Indigenous opinion

This past Friday, Prime Minister Mark Carney’s government successfully passed Bill C-5 through the House of Commons. Called in full, An Act […]
Prime Minister Mark Carney.

This past Friday, Prime Minister Mark Carney’s government successfully passed Bill C-5 through the House of Commons. Called in full, An Act to enact the Free Trade and Labour Mobility Act and the Building Canada Act, Bill C-5 is the new government’s keystone piece of legislation to break down internal trade barriers and allow for the expedited approval of projects deemed nationally significant. The bill is largely in response the new trade environment created by tariffs imposed by the Trump administration.

Prime Minister Mark Carney commented: “Bill C-5, One Canadian Economy Act, will remove trade barriers, expedite nation-building projects, and unleash economic growth, with Indigenous partnership at the centre of this growth. It’s time to build big, build bold, and build now. As Canadians, we can give ourselves more than any foreign nation can ever take away.”

The legislation purports to “build one strong Canadian economy” by: Removing federal barriers to internal trade and labour mobility, helping goods, services, workers, and businesses move freely across provinces and territories; Expediting nation-building projects that will connect and transform our country and unleash economic growth while ensuring environmental protections and Indigenous rights are upheld; and Working with Indigenous Peoples through consultation and engagement to build shared prosperity.

The government will require nationally significant projects to meet a single set of conditions before proceeding, giving private proponents clear guidelines to secure final approval for projects within two years. The legislation also establishes a major federal project office to select projects. While the legislation does not specify which ministry will house the new office, it includes plans for an Indigenous advisory council to oversee it. However, the exact membership and role of this council remain undefined.

The government is looking for projects that: Strengthen Canada’s autonomy, resilience and security; Provide economic or other benefits to Canada; Have a high likelihood of successful execution; Advance the interests of Indigenous peoples; and Contribute to clean growth and to Canada’s objectives with regard to climate change.

Tim Hodgson, the federal minister of energy and natural resources, said: “I am pleased to see the One Canadian Economy Act achieve this milestone. This Act means we are no longer asking ‘Why build?’, but instead ‘How do we get it done?’. We are removing barriers, leveraging Canada’s resources and talented workers, centring Indigenous consultation and equity, and continuing to fight climate change – all to get building and to become an energy superpower. In the new economy we are building, Canada will be defined by delivery, not delay.”

Several Indigenous political groups, including the Assembly of First Nations, have criticized the legislation, arguing that it circumvents meaningful consultation with their communities. However, some Indigenous groups view the law with a more optimistic perspective.

The federal government, in response, stressed Indigenous consultation is central to the new law. The government’s statement reads: “Indigenous partnership is a critical component of this legislation, and fulsome consultation will be pivotal to the success of future projects. The Government of Canada is committed to respecting the rights of Indigenous peoples recognized and affirmed by section 35 of the Constitution Act, 1982 and the rights set out in the United Nations Declaration on the Rights of Indigenous Peoples. To this end, Prime Minister Carney will be meeting with First Nations, Inuit, and Métis over the coming weeks.”

The First Nations Major Projects Coalition – a non-political organization that assists First Nations aiming to build major projects – issued the following cautiously optimistic statement: “We understand the federal government’s interest in moving fast to build out Canada’s next generation of nation-building energy, mining, and infrastructure projects. But history has shown us that speed without partnership leads to delay—not progress. This legislation could be a turning point if it is designed and administered in true partnership with First Nations.”

John Desjarlais, executive director of the Indigenous Resource Network – a non-profit organization advocating for Indigenous resource workers and businesses - told The Catholic Register. “It’s an opportunity for our people,” he said, referring to Bill C-5.  “There’s a global market for resources, and Canada excels in resource development with sustainability and with responsibility towards the environment.”

He concluded: “If we don’t build on this momentum, the world will move forward and leave us behind.”

John Desjarlais is executive director for the Indigenous Resource Network.

Bill C-5 now moves to the Senate for consideration and brings us one step closer to removing federal barriers to free trade by July 1st, Canada Day.

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