Canada: Bill 25

Last Updated: March 4 2013
Article by Emilie Bundock and Pierre-Olivier Charlebois

The Bill respecting mainly the implementation of certain provisions of the Budget Speech of 20 November 2012 ("Bill 25") was introduced before the Québec National Assembly last February 21. This omnibus bill amends a number of acts, including the Act respecting the Régie de l'énergie, the Environment Quality Act and the Mining Act, to allow for the implementation of certain provisions of the Budget Speech of 20 November 2012.

Amendments to the Act respecting the Régie de l'énergie

The Act respecting the Régie de l'énergie is amended so as to provide for the establishment, by the Régie, of a performance-based regulation to ensure efficiency gains by Hydro-Québec, to provide that certain of Hydro-Québec's operating costs be fixed until the Régie's first performance-based regulation applies, and to provide that Hydro-Québec retains any excess amount arising from the difference between the set amount of the operating costs and the cost actually incurred. Section 25 of the Act respecting the Régie de l'énergie is also amended by adding a fourth paragraph that subjects this performance-based mechanism to the Régie's obligation to hold a public hearing.

These amendments to the Act respecting the Régie de l'énergie also contemplate the indexation of the average cost of heritage pool electricity, thus replacing provisions regarding increases of this cost.

As regards greenhouse gases, the Act respecting the Régie de l'énergie is amended in order to provide that the method of calculation of the annual duty payable into the Green Fund will not, as of the date on which Bill 25 comes into force, take into account greenhouse gas emissions generated by the combustion of natural gas and fuel, other than gasoline and diesel, sold after January 1, 2012 to a purchaser that is required to cover its CO2 emissions with greenhouse gas emission allowances. If sections 168 and 174, and the sixth paragraph of section 201 of Bill 25 are read jointly, we see that the Green Fund duty that is to be paid by any natural gas distributor, any legal person or any partnership that brings fuel into Québec for a purpose other than resale, and any distributor of fuel will be repealed on January 1, 2015. From January 1, 2015 on, these distributors will be subject to the cap-and-trade system ("CTS").

Amendments to the Environment Quality Act

The second paragraph of Section 46.8 is amended to provide for the publication of the list of issuers that received an allocation and the total number of emission units allocated without charge to all emitters in the Gazette officielle du Québec, and this after each allocation of emission units that is made without charge, henceforth excluding from that list the issuers that are required to cover their greenhouse gas emissions.

Section 46.11, which provided that the minister maintain a public register of emission allowances, is replaced by a new article that the minister may periodically publish summaries of emission allowance transactions or sales by auction or agreement and provide any other information respecting the cap-and-trade system, including a list of the emitters and other persons or municipalities registered in the system.

Section 46.13 is amended so that the minister or government may make the delegations provided for in section 4.2 concerning the implementation of any measure to reduce greenhouse gas emissions or to delegate all or part of the cap-and-trade system by agreement, and no longer necessarily just by means of regulation. However, notice of any delegation must be published in the Gazette officielle du Québec and state, among other things, the name of the delegate and the functions assigned to him. Section 176 of Bill 25 also provides that the Regulation respecting the delegation of management of certain parts of a cap-and-trade system for greenhouse gas emission allowances is deemed to be the notice required under section 46.13 of the Environment Quality Act.

Amendments to the Mining Act and its regulations

Amendments to the Mining Act strengthen the regulatory framework applicable to the search or exploration for petroleum, natural gas or underground reservoirs by subjecting new activities to the granting of licences and increasing the amount of fees to be paid.

For example, section 166 of the Mining Act is replaced by a new section providing that the minister may award a licence in respect of a territory at the time and under the conditions determined by the minister. Note that no licence may be awarded to a person who held a right relating to petroleum, natural gas or an underground reservoir that was subject to a revocation during the two years prior to the beginning of the awarding process. Also of interest, section 166.1 of the Mining Act relating to the tendering process is repealed.

Bill 25 also amends certain provisions relating to the setting of certain fees associated with licence applications under the Regulation respecting petroleum, natural gas and underground reservoirs, including:

  • Fees associated with applications for geophysical surveying licences rise from $50 to $1,000;
  • Fees associated with applications for well drilling licences will increase from $100 to  $4,300;
  • Fees associated with applications for well completion licences will go from $50 to $2,500;
  • Applications for well conversion licences will now be subject to payment of a $2,000 fee;
  • Well closing applications, provided for in section 59, are now subject to payment of a $2,000 fee for a temporary closure, and $2,600 for a permanent closure;
  • Applications for an exploration licence for petroleum, natural gas and an underground reservoir is henceforth subject to payment of a $3,000 fee;
  • Applications for production leases relating to petroleum and natural gas or an underground reservoir is now subject to payment of a $5,000.

These amendments to the regulatory framework that apply to mining activities are in addition to those made to the Regulation respecting mineral substances other than petroleum, natural gas and brine in the draft regulation published in the February 13, 2013 edition of the Gazette officielle du Québec, which provides that the financial guarantee given by mining corporations will go from 70% to 100% of the invoice for restoring the mines that they operate. This guarantee will henceforth cover the cost of work on the entire mining site, not just the tailings accumulation areas.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.