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The Energy Regulation and Markets Review - Stikeman Elliott

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Chapter 5<br />

Canada<br />

Patrick Duffy, Brad Grant, Erik Richer La Flèche <strong>and</strong> Glenn Zacher 1<br />

I<br />

OVERVIEW<br />

Canada is a federal state comprising 10 provinces (Alberta, British Columbia, Manitoba,<br />

New Brunswick, Newfoundl<strong>and</strong> <strong>and</strong> Labrador, Nova Scotia, Ontario, Prince Edward<br />

Isl<strong>and</strong>, Quebec <strong>and</strong> Saskatchewan) <strong>and</strong> three territories (Northwest Territories, Nunavut<br />

<strong>and</strong> the Yukon). <strong>The</strong> respective powers of the various levels of government are set out in<br />

the Constitution Act 1982.<br />

Canada is a common law jurisdiction, with the exception of the province of Quebec,<br />

which operates under the Civil Code of Quebec. Each province has its own provincial<br />

court of general jurisdiction <strong>and</strong> an appellant court. <strong>The</strong> jurisdiction of Canada’s Federal<br />

Court is limited to specific matters under federal jurisdiction <strong>and</strong> appeals or judicial review<br />

applications from federal tribunals. Canada operates a unitary system of courts in which all<br />

cases can ultimately be appealed to the Supreme Court of Canada.<br />

<strong>The</strong> provinces have primary responsibility for energy regulation through their<br />

jurisdiction over local works <strong>and</strong> undertakings, non-renewable natural resources <strong>and</strong><br />

electrical energy. <strong>The</strong> provinces exercise jurisdiction through legislative enactments,<br />

various forms of delegated legislation <strong>and</strong> through independent energy <strong>and</strong> utility<br />

commissions. Provincial legislation <strong>and</strong> tribunals also govern most environmental<br />

matters pertaining to the development of energy projects.<br />

<strong>The</strong> federal government has jurisdiction over international <strong>and</strong> inter-provincial<br />

trade <strong>and</strong> commerce, which includes authority over international <strong>and</strong> inter-provincial<br />

transmission lines <strong>and</strong> energy exports. <strong>The</strong> federal government also has jurisdiction over<br />

nuclear safety, aboriginal affairs, <strong>and</strong> a number of environmental matters that affect<br />

energy projects.<br />

1 Patrick Duffy, Brad Grant, Erik Richer La Flèche <strong>and</strong> Glenn Zacher are lawyers in <strong>Stikeman</strong><br />

<strong>Elliott</strong> LLP’s <strong>Energy</strong> Group.<br />

62

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