Canadian Energy Regulator Act (S.C. 2019, c. 28, s. 10)

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Act current to 2024-11-26 and last amended on 2022-06-23. Previous Versions

Interpretation (continued)

Marginal note:Application — Special Act lands

4 A provision of this Act or a regulation made under it that applies to lands also applies to lands referred to in a Special Act.

Marginal note:Powers of liquidators, trustees, etc.

5 (1) For the purposes of this Act, each of the following is considered to be a company:
- (a) a liquidator, receiver or manager of the property of a company, appointed by a court of competent jurisdiction to carry on the business of the company;
- (b) a trustee — or the holder of a power of attorney within the meaning of the Civil Code of Québec — for the holders of bonds, debentures, debenture stock or other evidence of indebtedness of the company, secured under a trust deed, an act constituting a hypothec within the meaning of the Civil Code of Québec or other instrument or act, on or against the property of the company, if the trustee or holder is authorized by the instrument or act to carry on the business of the company; and
- (c) a person, other than a company,
  - (i) operating a pipeline constructed before October 1, 1953, or
  - (ii) constructing, operating or abandoning a pipeline exempted from subsection 179(1) by an order made by the Commission under subsection 214(1).
Marginal note:Administrator in Quebec
(2) In Quebec, the administrator of the property of the company appointed by a court of competent jurisdiction to carry on the business of the company is also considered to be the company.
Marginal note:Successor or assign — abandoned pipeline
(3) For the purposes of this Act, a successor or assign of a company is considered to be a company for any matter relating to an abandoned pipeline.

Purpose

Marginal note:Purpose of Act

6 The purpose of this Act is to regulate certain energy matters within Parliament’s jurisdiction and, in particular,

(a) to ensure that pipelines and power lines as well as facilities, equipment or systems related to offshore renewable energy projects, are constructed, operated and abandoned in a manner that is safe, secure and efficient and that protects people, property and the environment;
(b) to ensure that the exploration for and exploitation of oil and gas, as defined in section 2 of the Canada Oil and Gas Operations Act, is carried out in a manner that is safe and secure and that protects people, property and the environment;
(c) to regulate trade in energy products; and
(d) to ensure that regulatory hearings and decision-making processes related to those energy matters are fair, inclusive, transparent and efficient.

General

Marginal note:Binding on Her Majesty

7 This Act is binding on Her Majesty in right of Canada or a province.

Marginal note:Order designating Minister

8 The Governor in Council may, by order, designate any member of the Queen’s Privy Council for Canada to be the Minister for the purposes this Act.

PART 1Canadian Energy Regulator

Marginal note:Definition of document of authorization

9 In this Part, document of authorization means a certificate issued under Part 3 or 4, a permit issued under Part 4 or 7, an authorization issued under Part 5, a licence issued under Part 7 or an order made under section 214.

Establishment and Mandate

Marginal note:Canadian Energy Regulator

10 (1) A corporation is established to be called the Canadian Energy Regulator.
Marginal note:Agent of Her Majesty
(2) The Regulator is for all purposes an agent of Her Majesty in right of Canada.
Marginal note:Head office and other offices
(3) The head office of the Regulator is to be in Calgary, Alberta. The Regulator’s Chief Executive Officer may open or close other offices after consulting the board of directors.
Marginal note:For greater certainty
(4) For greater certainty, the opening or closing of an office does not change the conditions of appointment of a director or commissioner.

Marginal note:Mandate

11 The Regulator’s mandate includes

(a) making transparent decisions, orders and recommendations with respect to pipelines, power lines, offshore renewable energy projects and abandoned pipelines;
(b) overseeing the construction, operation and abandonment of pipelines, interprovincial power lines and international power lines and overseeing work and activities authorized under Part 5 as well as abandoned facilities;
(c) making orders with respect to traffic, tolls and tariffs and overseeing matters relating to traffic, tolls and tariffs;
(d) making decisions and orders and giving directions under Part 8 with respect to oil and gas interests, production and conservation;
(e) advising and reporting on energy matters;
(f) providing alternative dispute resolution processes;
(g) exercising powers and performing duties and functions that are conferred on the Regulator under any other Act of Parliament; and
(h) exercising its powers and performing its duties and functions in a manner that respects the Government of Canada’s commitments with respect to the rights of the Indigenous peoples of Canada.

Marginal note:Jurisdiction — Inuvialuit Settlement Region

12 (1) Until March 31, 2034, the Regulator is to be the regulator — under any law of the Legislature of the Northwest Territories that is made under paragraph 19(1)(a), (b) or (c) of the Northwest Territories Act — in respect of that portion of the Inuvialuit Settlement Region, as defined in section 2 of the Canada Oil and Gas Operations Act, that is situated in the onshore as defined in section 2 of the Northwest Territories Act.
Marginal note:Successive periods and termination
(2) After March 31, 2034, the Government of Canada and the Government of the Northwest Territories may agree that the Regulator is to continue to be the regulator for one or more periods of 20 years each; they may also, before the expiry of each successive period, agree to its earlier termination.

Marginal note:Governor in Council directions

13 (1) The Governor in Council may, by order, give to the Regulator directions of general application on broad policy matters with respect to the Regulator’s mandate.
Marginal note:Directions binding
(2) An order made under subsection (1) is binding on the Regulator.
Marginal note:Publication and tabling
(3) A copy of each order made under subsection (1) must be published in the Canada Gazette and tabled in each House of Parliament.

Board of Directors

Marginal note:Establishment and composition

14 (1) The Regulator is to have a board of directors consisting of at least five but not more than nine directors, including a Chairperson and a Vice-Chairperson.
Marginal note:Indigenous representation
(2) At least one of the directors must be an Indigenous person.

Marginal note:Appointment

15 (1) The Chairperson, Vice-Chairperson and the other directors are to be appointed by the Governor in Council to hold office on a part-time basis and during pleasure for a term not exceeding five years.
Marginal note:Reappointment
(2) A director may be reappointed in the same or another capacity for one or more terms of up to five years each.
Marginal note:Eligibility — directors
(3) A person is not eligible to be a director if they are the Chief Executive Officer, a commissioner or an employee of the Regulator.
Marginal note:Eligibility — Chairperson and Vice-Chairperson
(4) A person is not eligible to be Chairperson or Vice-Chairperson unless they are a Canadian citizen or permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act.
Marginal note:Remuneration and expenses
(5) A director is to be paid the remuneration that is fixed by the Governor in Council and is entitled to be paid reasonable travel and other expenses while performing their duties and functions under this Act while absent from their ordinary place of residence.

Marginal note:Conflict of Interest Act

16 For the purposes of the Conflict of Interest Act, the circumstances in which a director is in a conflict of interest while exercising the powers or performing the duties and functions of a director include

(a) engaging in, as owner, shareholder, director, officer, partner or in any other way, the business of producing, selling, buying, transmitting, exporting, importing or otherwise dealing in hydrocarbons, electricity or offshore energy;
(b) holding any bond, debenture or other security of a corporation engaged in any such business; and
(c) holding other employment that is inconsistent with their powers, duties and functions or with any provision of this Act or a regulation made under it.

Marginal note:Role of the board of directors

17 (1) The board of directors is responsible for the governance of the Regulator and its governance functions include providing strategic direction and advice to the Regulator. The board of directors must not however give directions or provide advice with respect to any particular decision, order or recommendation that is made by the Commission or a commissioner.
Marginal note:By-laws
(2) The board of directors may make by-laws respecting the conduct of its meetings and the general conduct of its activities.
Marginal note:Quorum
(3) A majority of the directors holding office, including the Chairperson, constitutes a quorum of the board of directors.

Marginal note:Annual report

18 (1) The board of directors must, within 120 days after the end of each fiscal year, submit to the Minister a report on the Regulator’s activities under this Act for that fiscal year, and the Minister must cause the report to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the day on which the report is received.
Marginal note:Other reports
(2) The board of directors may submit a report to the Minister on the Regulator’s activities if the board considers it appropriate to do so.
Marginal note:Definition of fiscal year
(3) For the purposes of subsection (1), fiscal year means the period beginning on April 1 in one year and ending on March 31 in the next year.

Marginal note:Role of Chairperson

19 (1) The Chairperson presides over meetings of the board of directors and may perform any duties or functions that are assigned to him or her by the board.
Marginal note:Acting Chairperson
(2) If the Chairperson is absent or is unable to act or if there is a vacancy in that office, the Vice-Chairperson acts as Chairperson.
Marginal note:Governor in Council approval
(3) The Vice-Chairperson is not authorized to act as Chairperson for a period of more than 90 days without the approval of the Governor in Council.

Marginal note:Vacancy

20 A vacancy in the board of directors does not impair the right of the remaining directors to act.

Chief Executive Officer