The Regulations Amending the Fort McKay First Nation Oil Sands Regulations (SOR/2023-280) update the regulatory framework governing oil sands development on Fort McKay First Nation lands. This amendment is to align federal regulations with evolving provincial legislation, facilitating the economic aspirations of the Fort McKay First Nation.

Originally enacted in 2007 under the First Nations Commercial and Industrial Development Act (FNCIDA), the Fort McKay First Nation Oil Sands Regulations were designed to enable oil sands mining on Fort McKay Indian Reserve No. 174C. This legislation creates a regulatory environment that mirrors Alberta’s framework, thereby allowing for potential investment and operational consistency in oil sands projects. The Fort McKay First Nation has a vested interest in the development of these lands, which contain significant oil sands deposits. Following a Treaty Land Entitlement Settlement Agreement in 2003, the First Nation received 23,000 acres, with approximately 8,200 acres designated for oil sands development. Although an initial partnership for an oil sands project was formed in 2007, the venture did not proceed, prompting the First Nation to seek new partnerships and updated regulations.

Since the original regulations were implemented, Alberta’s regulatory landscape has experienced considerable changes. New laws and amendments have emerged that require updates to the Fort McKay regulations to ensure compatibility with provincial requirements. The amendments aim to facilitate the Fort McKay First Nation’s active participation in the Canadian economy through the development of a large-scale oil sands project, maintain a consistent regulatory framework for investors and operators, improve clarity and accessibility of the regulations to reflect current provincial laws, and strengthen monitoring and enforcement processes related to the project.

The amended regulations incorporate various updates that reflect Alberta’s changing regulatory framework. Notably, provincial laws such as the Responsible Energy Development Act, Alberta Utilities Commission Act, and Safety Codes Act have been included to replace older statutes, ensuring comprehensive regulatory coverage. The definition of project lands has also been expanded to include additional parcels within Fort McKay 174C, simplifying administrative processes and ensuring that the regulations cover the full scope of the development area. Furthermore, minor adjustments have been made to limit the powers of provincial officials regarding inspections and expropriations, thus preserving the First Nation’s sovereignty over its lands.

These amendments align with the goals of Indigenous Services Canada, which focuses on promoting Indigenous economic development, reconciliation, and self-determination. By modernizing the regulatory framework, the Fort McKay First Nation aims to attract private investment, finalize partnerships, and enhance the economic prospects of its community.

Canada (SOR/2023-280) January 3, 2024