In a major victory for Alberta, the Supreme Court of Canada has struck down Bill C-69, the ‘No More Pipelines Act.’.In a 5-2 ruling, the court ruled that although the process for the Environmental Impact Assessment Act is constitutional, the balance of the scheme is ultra vires Parliament and thus unconstitutional..Writing for the majority, Chief Justice Wagner wrote that the “designated projects” portion of the act is not directed at regulating “effects within federal jurisdiction” because these effects do not drive the scheme’s decision-making functions. .Second, the defined term “effects within federal jurisdiction” does not align with federal legislative jurisdiction. “The overbreadth of these effects exacerbates the constitutional frailties of the scheme’s decision-making functions,” he said..Alberta Premier Danielle Smith was delighted with the ruling..“We are very pleased with the Supreme Court’s decision confirming the unconstitutionality of the federal government’s destructive Bill C-69 legislation. This legislation is already responsible for the loss of tens of billions in investment as well as thousands of jobs across many provinces and economic sectors. The ruling today represents an opportunity for all provinces to stop that bleeding and begin the process of reattracting those investments and jobs into our economies," Smith said in a statement..“The decision is also a massive win for the protection of sovereign provincial rights under the Constitution. The federal government, through passage of Bill C-69, and continuing now with their proposed electricity regulations and oil and gas emissions cap, is blatantly attempting to erode and emasculate the rights and authorities of provinces as an equal order of government under the Canadian Constitution."."Today’s court decision significantly strengthens our province’s legal position as we work to protect Albertans from federal intrusion into various areas of sovereign provincial jurisdiction. Alberta will continue to partner with other willing provinces and interveners in pushing back against these unconstitutional federal efforts using all legal means available to us. .“Finally, we call on the federal government to learn the lessons from this decision and abandon their ongoing unconstitutional efforts to seize regulatory control over the electricity and natural resource sectors of all provinces. Instead, we invite them once more to come to the table in good faith and work with Alberta to align our mutual efforts on emissions reductions and development of our electricity grid and world-class energy sector.".Officially titled, the Impact Assessment Act, Bill C-69 received royal assent in June 2019 with the aim of overhauling how major infrastructure projects are reviewed and approved in Canada..It was immediately met with criticism, and a legal challenge from the Alberta government, which argued the federal government was overstepping its authority, calling it a “Trojan Horse.” .In May 2022, the majority of judges on Alberta’s top court agreed, saying it was a "breathtaking pre-emption of provincial authority.” ."Intra-provincial activities are not immune from federal government regulation, providing that regulation remains within the constitutional dividing lines," wrote Chief Justice Catherine Fraser at the time. .The non-binding decision said recognized there are “legitimate concerns” regarding environment issues and climate change, but do not outweigh the division of powers granted in the Canadian constitution. .The Trudeau government immediately appealed and preliminary arguments were presented in March of this year..The Canadian Taxpayers Federation is thrilled with the decision..“The Supreme Court’s decision is a huge win for Canadian taxpayers and resource workers,” said Franco Terrazzano, CTF Federal Director. “This means the feds can’t use this law to stop premiers like Scott Moe or Danielle Smith or François Legault from developing resources to create jobs for people in their provinces.”.In 2019, the CTF calculated that politicians blocking pipelines could cost taxpayers $12.8 billion between 2013 and 2023, by reducing the federal government’s revenue..“When governments stop resource development, taxpayers pay,” Terrazzano said. “We need to be able to develop Canadian resources to create jobs and pay for hospitals, schools and lower taxes.".“Today is a great day for taxpayers and resource workers.”.Mike Martens, president of the Independent Contractors and Business Association of Albert (ICBA) said he is pleased with the ruling but admitted it came as a bit of a shock..“Yeah, it's actually a surprise. And we're thrilled, that about this decision and what it means for Canadian workers, their families, and, frankly, everyone who stands to benefit from Canada's responsibly produced natural resources,” he told The Western Standard..ICBA supported the Province of Alberta as an intervenor in the case during Supreme Court of Canada hearings..”Maybe it's Western alienation and just not expecting a victory at the federal level, but, you know, when you look at the merits of the case, I mean, this was an unreasonable intervention on provincial jurisdiction at the most literal level at the legal level.”.Marten noted the federal government itself was well aware that added layers of regulation discouraged investment in major resource and infrastructure projects, to the point that in its own March 2023 federal budget, the government promised $25 million to “study the problem” and pledged to produce “a concrete plan to improve the efficiency of the impact assessment and permitting processes for major projects” by the end of this year..Now the courts have solved the problem for them..“The ill-advised and heavy-handed Impact Assessment Act damaged Canada’s economy, prosperity, and the families that depended on it, driving away investment and creating uncertainty. It has been tossed in the trash can, where it belongs.”.Alberta Premier Danielle Smith is expected to make a formal response this morning while federal Environment Minister Steven Guilbeault and Energy and Natural Resources Minister Jonathan Wilkinson will hold a media availability to respond to the ruling..More to come…
