Impact Assessment Agency of Canada's 2023–24 Departmental results report: Vision, mission, and raison d’être

The Impact Assessment Act (IAA), which came into force on August 28, 2019, expanded the Impact Assessment Agency of Canada’s (IAAC’s) mandate and responsibilities as the lead federal organization responsible for conducting and administering assessments. Under the IAA, IAAC is responsible for assessing the positive and negative environmental, economic, social, and health effects of designated projects. It is also the Crown Consultation Coordinator for Indigenous consultation of designated projects under the IAA.

Following the October 2023 Supreme Court of Canada (SCC) Decision on the constitutionality of the IAA, IAAC undertook immediate steps to support the Government in developing proposed amendments to the Act to align the IAA with the SCC Decision. At the same time, the Government of Canada released the Interim Guidance on the IAA to ensure clarity for projects already undergoing assessments, including for proponents, Indigenous groups, investors, and the public. The amendments, which came into force on June 20, 2024, respond to the SCC’s Decision, including focusing decision-making on areas of clear federal jurisdiction. They also enhance the flexibility to cooperate with other jurisdictions by ensuring that the federal government works collaboratively with provincial and territorial partners to achieve the mutual goal of supporting an efficient, effective, inclusive assessment process that protects the environment.

IAAC delivers high-quality environmental and impact assessments to inform decision-making on major projects supporting sustainable development. Environmental and impact assessments are planning and decision-making tools that:

• assist with project design;
• facilitate Indigenous, public, and stakeholder participation; and
• ensure appropriate measures are identified and implemented to mitigate the adverse effects of designated projects.

IAAC continues to engage with Indigenous groups, stakeholders, and the public, and continues to work in close cooperation with the provinces on project assessments, with its emphasis clearly on the prevention of adverse effects in federal jurisdiction.

The IAA replaced the Canadian Environmental Assessment Act, 2012 (CEAA 2012) and includes transitional provisions for environmental assessments that began under the previous legislation. IAAC is responsible for ensuring that these transitional assessments complete requirements as soon as practicable, as per CEAA 2012 provisions. Environmental assessments continuing under CEAA 2012 consider whether designated projects are likely to cause significant adverse effects that fall within the legislative authority of Parliament.

IAAC coordinates Crown Consultation activities throughout the impact assessment process by leading Government of Canada consultations with Indigenous Peoples to meet the statutory requirements of the IAA and the Crown’s legal duty to consult and accommodate. In doing so, the IAA mandates that IAAC support the Government of Canada’s commitments to uphold the rights of Indigenous Peoples and implement the United Nations Declaration on the Rights of Indigenous Peoples, which will be maintained under the IAA.

Both environmental and impact assessments inform government decision-making and support sustainable development. They do so by identifying opportunities to eliminate, reduce, or manage a project’s potential adverse effects and to enhance its potential benefits before a project is undertaken.

The Minister of Environment and Climate Change may refer the impact assessment of a designated project to an independent review panel if the Minister determines that it is in the public interest to do so. If a designated project includes physical activities regulated under the Nuclear Safety and Control Act or the Canadian Energy Regulator Act, the Minister is required to refer the impact assessment to an integrated review panel. IAAC supports the work of independent and integrated review panels by providing technical, procedural, and administrative support through a secretariat.

When a project is subject to an assessment by more than one order of government, IAAC coordinates with the other jurisdictions to identify the most efficient and effective means of working towards the goal of “one project, one assessment.” There are many tools available under the IAA to allow for this objective, and IAAC develops cooperation plans with provinces for each assessment.

IAAC engages with international partners to promote IAA principles and works closely with Global Affairs Canada and other federal departments to uphold obligations related to impact assessment in multilateral agreements. It also has a direct role in Canada’s responsibilities in impact assessment in a transboundary context, including supporting IAAC’s President in his role as Canada’s point of contact under the Convention on Environmental Impact Assessment in a Transboundary Context (Espoo Convention).

Regional and strategic assessments are two additional types of assessments conducted under the IAA. These assessments support the Government of Canada’s strategy for addressing cumulative effects and build on the previous CEAA 2012 provision, which allowed the Minister of Environment and Climate Change to appoint a committee to conduct a regional study.

Regional assessments examine the effects of current and anticipated physical activities in a specific region. This enables the Government of Canada to go beyond the scale of project-specific impact assessments to understand the regional context and identify development pressures and their effects in areas of existing or anticipated projects.

Strategic assessments examine the impact of existing or proposed federal policies, plans, or programs that may cause or contribute to issues arising in the impact assessment of projects, as well as broader policy issues relevant to conducting impact assessments.

The IAA recognizes the importance of meaningful public participation and requires that opportunities for public participation be provided throughout the assessment process, as set out in legislation, regulations, international agreements, policies, and guidance. IAAC engages on specific issues and assessments, implements the National Engagement and Outreach Strategy to listen to, and learn from, Canadians and Indigenous Peoples, and adjusts and improves its processes, policies, and programs accordingly.

IAAC is also responsible for leading federal project review activities under the environmental and social protection regimes, as set out in sections 22 and 23 of the James Bay and Northern Quebec Agreement and the Northeastern Quebec Agreement. Because they are comprehensive, constitutionally protected land claim agreements, IAAC supports its President, who, as the Federal Administrator, must review and determine whether projects of a federal nature proposed under such agreements should proceed and, if so, under what conditions.