Mark Carney, the former Bank of Canada governor, is facing scrutiny over his approach to federal authority regarding pipeline approvals. At a recent news conference, Carney discussed his proposed One Canadian Economy legislation, which he claims aims to streamline the approval process for projects deemed in the "national interest." He emphasized the need for "urgency" and "determination" in addressing infrastructure challenges in Canada.
However, critics argue that Carney's approach may undermine federal power. They contend that he appears more inclined to defer to provincial governments rather than assert the federal government's constitutional authority. Carney stated, "If a province doesn’t want it, it’s impossible," when asked about the approval of pipelines over objections from provinces like British Columbia or Quebec. This statement has raised eyebrows among legal experts and political analysts.
According to Section 92(10) of the Canadian Constitution, the federal government has the power to regulate works that connect provinces or extend beyond provincial borders. This includes the authority to approve projects that are deemed beneficial for Canada as a whole, even if they are located entirely within a single province. Legal precedents, such as a 2019 ruling by the B.C. Court of Appeal, have reinforced this power, stating that the provincial government cannot impose conditions on projects like the Trans Mountain pipeline expansion.
Critics argue that Carney's reluctance to exercise federal authority could hinder national infrastructure development. They point out that for Canada to function as "one economy, not 13," the federal government must be willing to assert its powers over provincial objections. The ongoing debate raises questions about the balance of power between federal and provincial governments in Canada, particularly in the context of critical infrastructure projects.
As Carney continues to advocate for his legislation, the implications of his stance on pipeline approvals remain a contentious issue. The federal government’s ability to navigate these challenges will be crucial in determining the future of infrastructure development in Canada.