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Variation or transfer
The Canadian Energy Regulator Commission may vary or transfer energy authorizations either on its own motion or upon application, and may impose new, modified, or additional conditions as part of such variations or transfers.
Issuance
The Canadian Energy Regulator may issue authorizations for offshore renewable energy projects and associated power lines. Applications must include prescribed information about proposed works, facilities, and equipment. The regulator must decide within 300 days, considering environmental effects, safety, health, social and economic impacts, Indigenous interests and rights, climate change alignment, and relevant impact assessments before imposing conditions.
Prohibition
Operators of international or interprovincial power lines must obtain Canadian Energy Regulator Commission approval before abandoning operations. The Commission may grant abandonment authorization by order upon application by the permit or certificate holder.
Purpose
Section 136 of the Canadian Energy Regulator Act establishes that sections 137–142 reinforce the polluter-pays principle by imposing financial requirements on companies authorized to construct or operate pipelines in Canada.
Determining compensation
Under Canadian Energy Regulator Act section 163, a Tribunal determines whether to award compensation for claimed compensable damage, calculates amounts per regulations, and may award costs if authorized. The Tribunal must notify all parties of its decision, specifying compensation and cost amounts, any regulatory reductions, and previously paid amounts.
Burden of proof
Under Canadian Energy Regulator Act section 129, when a violation notice is reviewed, the issuing authority must establish on a balance of probabilities that the named person committed the identified violation.
Amount paid out of Fund
Section 171 of the Canadian Energy Regulator Act authorizes payments from the Consolidated Revenue Fund to cover the Regulator's operational costs, including tribunal member and staff remuneration, legal services, publishing expenses, and administrative support. The Minister of Finance establishes payment amounts in consultation with the Minister of Natural Resources.
Authorization — report
Section 46 of the Canadian Energy Regulator Act authorizes the Lead Commissioner to designate commissioners to report on Commission matters and applications. Authorized commissioners possess full investigatory and evidentiary powers for information gathering. Reports may be formally adopted as Commission decisions or handled otherwise as deemed appropriate.
Immunity
Section 148 of the Canadian Energy Regulator Act grants civil immunity to Tribunal members for actions or omissions undertaken in the exercise or purported exercise of their powers, duties, or functions.
Regulations — compensation
Section 173 of the Canadian Energy Regulator Act authorizes the Governor in Council to establish regulations governing compensation for energy infrastructure incidents. Regulations may prescribe claim deadlines, authorize interim awards and fee/expense coverage, establish damage priority classes, set compensation caps, allow payment postponement or scheduling, and provide interest provisions. Environmental non-use value damages are explicitly excluded from compensable losses.
Designation of inspection officers
The Canadian Energy Regulator's CEO may designate inspection officers to enforce safety, security, environmental, and property protection regulations at regulated and abandoned energy facilities. All designated officers must be provided with a certificate of authority and must produce it upon request.
Power of the Regulator
The Canadian Energy Regulator is authorized to make regulations prescribing circumstances under which periods may be excluded from time limit calculations in regulatory proceedings, providing procedural flexibility in managing application and decision timelines.
Continuation of jurisdiction and obligation
Section 189 of the Canadian Energy Regulator Act clarifies that procedural delays do not strip the Regulator of jurisdiction over applications or reporting obligations, and all actions taken remain valid. The Governor in Council may also issue orders under section 186(1) even after statutory time limits have expired.
Recommendation not to vary or transfer
Under Canadian Energy Regulator Act section 192, if the Commission recommends against varying or transferring an energy certificate, the Governor in Council may issue an order directing the Commission to decline the variation or transfer or to reconsider the matter.
Orders
The Canadian Energy Regulator Commission may exempt pipelines up to 40 km long, previously constructed pipelines, and associated infrastructure (tanks, compressors, storage facilities) from specified regulatory provisions. Exemption applications must be decided within 300 days of complete submission; the Lead Commissioner may exclude certain periods with public disclosure, and the Minister may grant extensions. The Commission may impose conditions on exemptions.
Recovery of overpayment
Section 166 of the Canadian Energy Regulator Act establishes that overpayments to claimants, amounts paid under rescinded tribunal decisions, and excess amounts from amended decisions are debts owed to Canada, recoverable under the Financial Administration Act.
Interim tolls
The Canadian Energy Regulator may direct pipeline companies to refund tolls charged above just and reasonable amounts under interim orders, or recover shortfalls through subsequent tolls, with interest determined by the regulator.
Costs of making representations
The Canadian Energy Regulator Commission may order pipeline companies to reimburse reasonable costs incurred by persons making representations at public hearings concerning pipeline routes, payable on an interim or final basis without delay.
Application of provisions in Part 6
Section 306 of the Canadian Energy Regulator Act extends Part 6 regulatory provisions to offshore power lines in provincial waters. Pipeline transportation requirements are adapted for electricity transmission, with applicants and authorization holders required to comply with specified sections. Exemptions apply for facility-sharing and shared-use arrangements where regulatory leave or authorization conditions are obtained.
Governor in Council directions
Section 13 of the Canadian Energy Regulator Act empowers the Governor in Council to issue binding policy directions to the Canadian Energy Regulator on broad matters within its regulatory mandate. All such directions must be published in the Canada Gazette and tabled in Parliament.
Conflict of Interest Act
Canadian Energy Regulator directors must disclose conflicts of interest, including direct involvement in hydrocarbon, electricity, or offshore energy production, trading, transmission, import/export; holdings of securities in energy corporations; and outside employment inconsistent with regulatory duties.
Vacancy
A vacancy in the Canadian Energy Regulator Commission does not impair the authority of remaining commissioners to perform their regulatory functions and duties.
Statutory Instruments Act
Section 92 of the Canadian Energy Regulator Act exempts orders and directions issued by the Commission, designated officers, or inspection officers from statutory instrument classification when they apply to a single person or entity, a single regulated facility, or are issued immediately for safety, security, environmental protection, or property protection purposes.
Reasonable care
Facility holders under the Canadian Energy Regulator Act must exercise all reasonable care to ensure the safety and security of persons, regulated and abandoned facilities, property, and the environment.
Exemption orders
The Canadian Energy Regulator Commission may issue conditional exemption orders relieving regulated facility holders from specific regulatory provisions when necessary to ensure safety and security of persons and facilities, protect property, or safeguard the environment.
Offence and punishment
Section 99 of the Canadian Energy Regulator Act establishes criminal penalties for violating CER orders or regulations. Penalties include fines up to CAD 1 million and/or five years imprisonment on indictment, or CAD 100,000 and/or one year on summary conviction.
Financial resources
Applicants for Canadian Energy Regulator authorizations must demonstrate sufficient financial resources to cover Commission-determined amounts through prescribed forms or Regulator-specified methods. Proof must remain valid throughout the duration of authorized work or activity.
Jurisdiction — Inuvialuit Settlement Region
The Canadian Energy Regulator has regulatory jurisdiction over onshore oil and gas operations in the Inuvialuit Settlement Region of the Northwest Territories until March 31, 2034. After that date, continued federal regulation requires mutual agreement between Canada and the Northwest Territories, renewable in successive 20-year periods or subject to earlier termination by agreement.
Prohibition — false statements or information
Section 107 of the Canadian Energy Regulator Act prohibits knowingly making false or misleading statements or providing false information to inspection officers exercising regulatory powers regarding energy matters.
Application of provincial laws
Provincial electricity transmission laws apply to portions of international power lines located within provincial boundaries, establishing concurrent provincial jurisdiction over interprovincial and international electricity transmission infrastructure.
Grounds for making order
Section 109 of the Canadian Energy Regulator Act authorizes inspection officers to issue orders directing persons to cease contraventions, implement compliance measures, or prevent hazards to safety, security, property, or the environment. Orders may suspend facility operations until remediation is complete, with mandatory written notice and reporting to the Commission.
Designation
Under Canadian Energy Regulator Act s. 141, the Governor in Council may designate pipeline operators whose companies experience unintended or uncontrolled releases of oil, gas, or commodities if they lack financial resources to cover response costs and compensation or fail to comply with regulatory orders. The Regulator may conduct response actions, authorize third parties with liability protection, and recover expenses from pooled financial arrangements or by reimbursing governments and Indigenous bodies.
Authority to enter
Section 103 of the Canadian Energy Regulator Act authorizes inspection officers to enter non-dwelling facilities without warrant to verify compliance with energy regulations. Officers may examine equipment, access computer systems, conduct tests and sampling, take photographs, remove items for analysis, and direct operational changes. Property owners must provide reasonable assistance and access to documents and information.
Court of record
The Canadian Energy Regulator is established as a court of record with superior court powers, enabling it to compel witness testimony, demand document production, enforce orders, and inspect property. All proceedings must be handled expeditiously while maintaining procedural fairness and natural justice.
Liability of directors, officers, etc.
Directors, officers, agents, and mandataries of corporations are personally liable for penalties under the Canadian Energy Regulator Act if they directed, authorized, assented to, acquiesced in, or participated in a violation of the Act, regardless of whether the corporation itself is prosecuted.
Further information
The Canadian Energy Regulator may require applicants to submit additional information beyond standard application materials within a reasonable timeframe if deemed necessary to support the regulator's recommendation decision under the Canadian Energy Regulator Act.
Proof of violation
Section 119 of the Canadian Energy Regulator Act establishes that a corporation may be held liable for violations committed by its employees, agents, or mandataries without requiring identification or separate prosecution of the individual actor.
Short title
This is the short title clause of the Canadian Energy Regulator Act, establishing the official name of Canada's primary federal legislation for regulatory oversight and approval of energy projects.
Where certificate required
Under Canadian Energy Regulator Act section 258, the Governor in Council may designate international power lines by order to require certificate-based regulation instead of permits. Any existing permit must be revoked within 45 days of permit issuance. Once designated, no new permits may be issued and all applications must be processed as certificate applications.
Correction or cancellation of notice of violation
Under the Canadian Energy Regulator Act section 126, a designated person may cancel a notice of violation or correct errors within it at any time before the Commission receives a review request regarding that notice.
Power to act on own initiative
The Canadian Energy Regulator may independently initiate inquiries, hearings, and determinations on any matter within its statutory jurisdiction without requiring an external application or complaint.
Debts to Her Majesty
Administrative provision under the Canadian Energy Regulator Act establishing that penalties imposed by the regulator are debts owed to the Crown, recoverable through Federal Court or other competent jurisdiction. Enforcement actions must be commenced within five years of the debt's due date.
Certificate
The Canadian Energy Regulator Commission may issue certificates of non-payment for unpaid debts. When registered in Federal Court or any other competent court, these certificates have the same legal force and effect as court judgments for the certified amount plus registration costs.
Duty to consider — Commission
The Canadian Energy Regulator and its designated officers must consider potential adverse effects on Indigenous rights recognized under section 35 of the Canadian Constitution when making decisions, orders, or recommendations under the Canadian Energy Regulator Act.
Relief
The Canadian Energy Regulator Commission may grant applications wholly or partially and may impose additional or alternative relief beyond what was requested. This discretionary authority does not apply to certificate applications under Part 3 of the Act.
Use of government agencies
The Canadian Energy Regulator must utilize Government of Canada agencies to obtain technical, economic, and statistical information and advice when exercising its powers and performing duties under sections 80 to 84 of the Canadian Energy Regulator Act.
Participant funding program
The Canadian Energy Regulator must establish a participant funding program to enable public participation, particularly Indigenous peoples and organizations, in regulatory hearings and proceedings related to energy projects under the Canadian Energy Regulator Act.
Publication
The Canadian Energy Regulator may publicly disclose the nature of violations, the identity of violators, and penalty amounts imposed under energy regulation.
Companies only
Section 179 of the Canadian Energy Regulator Act restricts pipeline construction, operation, and abandonment to registered companies only. Existing pipelines built before October 1, 1953 may be operated or improved by any person, provided they comply fully with the Act.
Technical or specialized knowledge
The Canadian Energy Regulator Act permits the Tribunal to temporarily engage legal counsel, notaries, and technical specialists to support its operations, with duties and employment conditions prescribed by the Tribunal and compensation/expenses subject to Treasury Board approval.