Regulatory Submissions

The Impact Assessment Act’s Physical Activities Regulations, commonly known as the Project List, was required for review in fall 2024 as part of a five year prescribed review period. The Project List identifies the types of activities that are considered “designated projects” and therefore subject to an Impact Assessment.

Mining projects currently make up 50% of all projects subject to Impact Assessments through the Act; mines and minerals specifically are represented 2.4 times more than the next highest sector (oil and gas). Despite Canada’s critical mineral alliances and national strategy, and the 388 new mines needed by 2030 to meet international EV pledges, new mine development continues to be disproportionately affected, and impeded, by the IA process. PDAC provided recommendations to reduce the over-representation of mines and minerals in the IA designation process, and to support a process that respects provincial and territorial jurisdiction, realistically reflects the potential for adverse project effects in federal jurisdiction, and does not overburden proponents, Indigenous communities, and government resources.

As part of NRCan’s commitment to triennial updates to Canada’s Critical Minerals List, a consultation was initiated regarding the criteria used to develop and update the List. The proposed changes to the criteria, intended to clarify the original assessment of minerals for criticality, would require that a mineral be:

• Essential to Canada’s economic or national security; or
• Required for our national transition to a sustainable low-carbon and digital economy; or
• A sustainable and strategic source of critical minerals for our international allies.

While meeting both of the following mandatory criteria:

• Mineral supply is threatened; and
• Has a reasonable likelihood of being produced in Canada.

In addition to the presented submission, PDAC participated in virtual consultation engagements with NRCan. It should be noted that the consultation’s scope was limited to the Critical Minerals List criteria; commentary on the inclusion of specific minerals on the List or as part of funding programs or tax incentives has therefore not been provided.

In late 2022 the federal government announced projected changes to its foreign investment policy, which are aimed at addressing various national security concerns. Following that, in February 2023 bill C-34 to amend the Investment Canada Act (ICA) was tabled at the house of common. 

The bill focuses on high-tech companies, but it also addresses mining and exploration companies with critical mineral aspects. In essence, the bill introduces changes that will pose practical limitations on the ability of these companies to be funded by certain foreign investors, and may increase uncertainty and reduce market transparency. 

We have various concerns regarding this bill, and in May 2023 we submitted a commentary letter to the House of Commons’ standing committee on Industry, Science and Technology, in which we laid out our concerns and recommendations.