Thank you so much, Mr. Chair.
I'd like to begin by acknowledging that we are gathered on the unceded territory of the Anishinabe Algonquin Nation.
I'd also like to take a moment before I begin my formal remarks to acknowledge the tragic news we have heard from Tumbler Ridge and from Kitigan Zibi.
As someone who has had a mass tragedy occur in my own community along the Danforth, I know how much it means when we can see people from across the country lean in and show strength in a time of grieving. I really want to thank everyone around this table. I know we've all come together to show support for the community. I want to say that my heart is with the victims, the survivors and all the people who have lost loved ones they are grieving today. May their memories be a blessing.
Today, I will speak to the proposed amendments to the Canadian Environmental Protection Act, 1999, or CEPA, contained in part 5, division 42 of Bill C‑15.
CEPA is cornerstone federal legislation for preventing pollution and protecting the environment and human health. It enables federal action on a wide range of environmental and human health risks, from chemicals and waste to air and water pollution.
It also supports collaboration across governments through mechanisms such as administrative and equivalency agreements.
Administrative agreements are work-sharing arrangements between the Minister of the Environment and other governments in Canada, including indigenous partners. They can cover inspections, enforcement, monitoring, reporting and coordinated responses to environmental incidents, such as oil or chemical releases.
These agreements are already in place in several provinces and territories and help streamline oversight while strengthening public safety.
Equivalency agreements are a long-standing feature of CEPA. They allow the federal government to stand down certain federal regulations where another government's laws are equivalent.
Over the years, the federal government has entered into such agreements with provinces, including British Columbia, Alberta and Saskatchewan, notably for oil and gas methane regulations.
These agreements reduce regulatory duplication and allow industry to comply with a single, tailored regulatory system.
Part 5, division 42 of Bill C‑15 proposes targeted amendments to clarify and improve the operation of these provisions.
First, these amendments would remove the five-year statutory limit on administrative and equivalency agreements. This would provide greater flexibility, reduce unnecessary renegotiation and support stable, long-term intergovernmental co-operation, while creating more predictable conditions for industry to invest in clean technologies.
Second, the amendments would clarify that another government's provisions must be—I'm putting this in quotes just to be clear—“equivalent in effect” to CEPA regulations, codifying existing practice. These changes would apply prospectively, meaning that current agreements would continue under their existing terms.
Together, the amendments strengthen CEPA as a practical, co-operative tool for environmental protection.
I'd like to now briefly turn to the climate competitiveness strategy. Launched in budget 2025, the strategy supports emissions reductions while strengthening Canada's economic position through clear, predictable rules that attract investment and drive innovation. Progress is already under way. In December, the government released a discussion paper on targeted amendments to the clean fuel regulations, with consultations concluding in January. Once finalized, these amendments would strengthen Canada's low-carbon fuel sector while maintaining core emission reduction objectives.
The strategy is also delivering results across major industrial sources. Enhanced methane regulations for the oil and gas sector and new methane regulations for landfills were finalized last year in close partnership with provinces. Under the Canada-Alberta memorandum of understanding, Canada has committed to entering into a new agreement that would stand down federal methane regulations in favour of an updated Alberta provincial regime.
Carbon pricing remains a central pillar of this approach. It is the most cost-effective way to reduce emissions while encouraging innovation and efficiency, positioning industry to make the best choices as Canada builds and decarbonizes. Importantly, proceeds from industrial carbon pricing are reinvested directly into Canadian industry. As of 2025, the decarbonization incentive program has supported over $874 million in investments across 53 clean energy projects.
Finally, Chair, because I know that time is close, clean, reliable and affordable electricity is essential to achieving net zero by 2050. The government is investing billions to unlock investment and make it more attractive to build on our clean power advantage. We're working with provinces and territories to advance a net-zero electricity grid supported by significant investment tools, including the Canada Growth Fund and clean economy investment tax credits, which, I would point out, are in this budget implementation act.
Mr. Chair, I would be pleased to answer questions from the committee.
