A new agreement has been reached between the Canadian and Ontario governments to expedite significant nation building projects that can insulate the country and its economy from external influences and geopolitical changes beyond their control by growing its own national infrastructure and diversifying trade relations.
The Co-operation Agreement between Ontario and Canada on Environmental and Impact Assessment will accelerate construction of major projects in Ontario under a “one project, one review” approach to major infrastructure projects.
The process promises to be more streamlined through a more flexible assessment process that seeks to minimize duplication to deliver projects faster while reinforcing strong environmental protections on a case-by-case basis. This will be done in accordance with Ontario’s process or through the implementation of a coordinated federal-provincial approach.
Through the agreement, the Impact Assessment Agency of Canada will provide Ontario with federal expertise and support related to environmental protection, Indigenous engagement, and sustainable project development to ensure both federal and provincial responsibilities to the environment and the protection of Indigenous Peoples’ rights are upheld.
The overarching goal of the federal-provincial cooperation is to find opportunities to diversify trade partners to strengthen the domestic economy and the many benefits extended to citizens of the country. Coordination is taking place through the Major Projects Office (MPO) in an effort to expedite major infrastructure projects. The MPO was created under the One Canadian Economy’s Building Canada Act, which came into force on June 26, 2025. MPO Projects represent a combined potential investment of more than $116 billion, as well as $40 million over two years to increase the capacity of Indigenous Peoples to engage early and consistently on projects of this magnitude.
The federal government has also expanded the Indigenous Loan Guarantee Program from $5 billion to $10 billion, to help create long-term economic opportunities and build lasting prosperity for Indigenous Peoples across Canada.
