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Removal of Federal Exceptions in the Canadian Free Trade Agreement

The Government of Canada has completed successive reviews of all federal exceptions in the Canadian Free Trade Agreement (CFTA). These reviews have resulted in the removal of all federal exceptions.

The majority of exceptions removed relate to procurement, positioning Canadian businesses to compete for government contracts across the country.

The list of all federal exceptions that have been removed is outlined below.

Federal exceptions removed in the Canadian Free Trade Agreement

The Government of Canada has removed all 53 federal exceptions from the CFTA.

The list references numbering from the July 1, 2017 version of the Agreement.

Annex I of Part VII – Exceptions for Existing Measures

  1. Canada Business Corporations Act, Canada Cooperatives Act
  2. Investment Canada Act
  3. Canadian Arsenals Limited Divestiture Authorization Act, Eldorado Nuclear Limited Reorganization and Divestiture Act, Nordion and Theratronics Divestiture Authorization Act
  4. Export and Import Permits Act
  5. Telecommunications Act, Radiocommunications Act
  6. Canada Oil and Gas Operations Act, Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, Canada-Newfoundland and Labrador Atlantic Accord Implementation Act, Canada-Yukon Oil and Gas Accord Implementation Act, Yukon’s Oil and Gas Act, measures implementing the Northwest Territories Oil and Gas Accord, including implementing measures that apply to or are adopted by Nunavut, and measures implementing the Accord between Canada-Quebec for the joint management of petroleum resources in the Gulf of the St. Lawrence, or any other similar federal-provincial accords related to the joint management of petroleum resources.
  7. Hibernia Development Project Act, Canada-Newfoundland and Labrador Atlantic Accord Implementation Act.
  8. Production licenses issued for “frontier lands” and “offshore areas” - Canada-Newfoundland and Labrador Atlantic Accord Implementation Act, Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, Canada Petroleum Resources Act, Territorial Lands Act, and Federal Real Property and Federal Immovables Act
  9. Pilotage Act
  10. Canada Post Corporation Act

Annex II of Part VII – Exceptions for Future Measures

  1. Federal infrastructure investments;
  2. Fishing licensing and related fishing activities;
  3. Transportation and transmission on pipelines and power lines;
  4. Marine Transportation
  5. Passenger Rail and Freight Rail Transportation
  6. Exclusive service suppliers in the transportation sector;
  7. Aviation and air transportation;
  8. Regional economic development;
  9. Importation of Intoxicating Liquors Act; and
  10. Temporary Foreign Workers Program and International Mobility Program.

Annex 519.1 – Procurement Exceptions

  1. Excluded Entities
    1. Canadian Security Intelligence Service;
    2. Communications Security Establishment;
    3. Financial Transactions and Reports Analysis Centre of Canada
    4. Bank of Canada
    5. Canada Pension Plan Investment Board and its subsidiaries
    6. Public Sector Pension Investment Board and its subsidiaries
    7. Senate
    8. House of Commons
    9. Library of Parliament
    10. Office of the Senate Ethics Officer
    11. Office of the Conflict of Interest and Ethic Commissioner
    12. Parliamentary Protective Service
  2. Exceptions and Notes
    1. a) by a shared-governance corporation, joint enterprise, mixed enterprise, international organizations, and any entity that is not wholly-owned by the Government of Canada;
      b) commissions under the Inquiries Act;
      c) any corporation of the Royal Canadian Mounted Police;
      d) any corporation incorporated or acquired by or on behalf of any service established by an Act of Parliament to collect information and intelligence respecting the security of Canada;
      e) intervention activities of the Canada Deposit Insurance Corporation or it subsidiaries;
      f) Canada Lands Company Limited or its subsidiaries for the development of real property for commercial sale or resale;
      g) any successor entity not covered under this chapter;
      h) shipbuilding and repair, including related to architectural and engineering services, by any Crown corporation for which the Minister of Transport is specified;
      i) relation to an international crossing between Canada and another country, including the design, construction, operation or maintenance of the crossing, as well as any related infrastructure;
      j) Canadian Air Transport Security Authority for security screening, including services and goods that are related or incidental to security;
      k) financial management consulting services of a confidential nature;
      l) space projects for the Canadian Space Agency;
      m) services provided by veterinarians;
      n) advisory and other services provided to Export Development Canada in the connection with the provision of services to their customers;
      o) services related to legal boundary surveys on Canada Lands in accordance with the Canada Lands Surveys Act;
      p) public relations services; and
      q) international assistance, including development aid.
      1. Industrial and Technological Benefits Policy;
      2. Industrial and Regional Benefits Policy
      1. newly created entities for the safety of Canadians

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