In June 2013, Prime Minister Harper announced that within two
years the federal government would establish mandatory reporting
standards for Canadian extractive companies to enhance transparency
on the payments they make to governments. This Update outlines the
current status of Canadian resource revenue reporting.
In May 2014, Natural Resources Canada released a Consultation
Paper confirming the mandatory reporting regime is being designed
to capture payments to Aboriginal entities. However, "social
payments" (e.g., for community centres, schools, hockey teams,
arenas, capacity development, training) would be excluded. The
listed payment categories also did not include payments to
Aboriginal groups for the purposes of funding participation in
consultation or regulatory proceedings. Therefore, not all types of
payments made under an Impact Benefits Agreement or other similar
agreements are intended to be subject to reporting
In August 2014, the provincial and territorial governments
confirmed that they are in favour of Ottawa taking the lead on
implementing the mandatory reporting regime. Feedback from
consultation indicated that several stakeholders have concerns
regarding the reporting of payments to Aboriginal entities. For
that reason, this component will be delayed for two years while
Ottawa consults further with Aboriginal leaders.
The federal government is committed to have the mandatory
reporting regime in place by June 2015; however, no legislation has
been introduced into the House of Commons at this
time. Companies subject to these proposed reporting
standards should keep a close watch on the development of this
legislation to ensure that they aware of what payments need to be
reported once the reporting requirements are in effect.
We invite you to contact the author if you have any questions on
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guide to the subject matter. Specialist advice should be sought
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Canada is a constitutional monarchy, a parliamentary democracy and a federation comprised of ten provinces and three territories. Canada's judiciary is independent of the legislative and executive branches of Government.
In Bank of Montreal v Bumper Development Corporation Ltd, 2016 ABQB 363, the Alberta Court of Queen's Bench enforced the "immediate replacement" provision in the Canadian Association of Petroleum Landmen 2007 Operating Procedure...
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