Introduction
On November 5, 2026, the federal government released Budget 2026, titled Masters of our Destiny (“Budget 2026”).[1]
Building on last year’s budget[2], Canada’s economic policy remains focused on capital investment. Budget 2026 focuses on incentivizing investment and boosting productivity through a series of measures to fast-track major project development.
JFK Law is writing a mini-series exploring how Canada’s investment-focused approach impacts First Nations, starting with a deeper look at Budget 2026’s approach to major projects.
In 2026, Canada introduced its increasingly accelerated major projects agenda through legislative developments like the Building Canada Act and the subsequent Building Canada Strong Act.[3] Budget 2026 provides the financial backing to make this agenda functional.
The Major Projects Office and its corollaries
The Major Projects Office (MPO) is a special operating agency created by the federal government to streamline and accelerate infrastructure projects across Canada, including by centralizing consultation with Indigenous Peoples. Budget 2026 pledges $121 million for MPO resources – $43 million in 2026-2027, and $78 million in 2027-2028.[4] This funding is proposed to support projects listed under the Building Canada Act, including through consultation with Indigenous Peoples.
Budget 2026 plans to deliver major projects at “generational speed”.[5] To do so, Budget 2026 allocates $187.4 million over five years, beginning in 2026-27, and $24.2 million in future years to launch and operate a new major projects management entity. Additionally, Budget 2026 proposes to introduce the legislative provisions necessary for the funding and governance of this new entity.[6]
This major project management entity would focus on the execution and delivery of major projects, moving beyond the regulatory and approval focus of the existing MPO. Budget 2026 indicates that the new entity would support the delivery of the Mackenzie Valley Highway and the Taltson Hydro Expansion Project.
Major projects on the ground
Based on a series of evaluations, the federal government can refer projects to the MPO. Referred projects receive structured support from the MPO to accelerate the regulatory and approvals process, benefitting from the MPO funding set out in Budget 2026.
The federal government can further designate a project as a “project of national interest” under the Building Canada Act. A project is then under the “one project, one decision, one year” framework. It’s useful to know which projects are referred to the MPO and under consideration as projects of national interest, as accelerated frameworks can change the timelines and stages for consultation with Indigenous Nations, discussed further below and in this blog post.
Budget 2026 focuses on the following referred projects, which are already listed as or under consideration to be listed as projects of national interest:
- The Pacific Link Pipeline
In October 2026, the Governor in Council listed the Pacific Link Pipeline (“Pacific Link”) as a project of national interest under the Building Canada Act. Pacific Link is a 1250-kilometre oil pipeline from Bruderheim, Alberta to a port near Delta, British Columbia. Budget 2026 states that the final route of the pipeline will be determined in collaboration with Indigenous communities and non-Indigenous stakeholders.[7] Budget 2026 also affirms that the federal government remains committed to pursuing an agreement in which Indigenous communities hold a minimum 10% ownership share in Pacific Link.[8]
- The Mackenzie Valley Highway
The Mackenzie Valley Highway (the “Highway”) will be an 800-kilometre all-season road from Wrigley to Inuvik in the Northwest Territories, connecting to remote communities along the way. Budget 2026 proposes to fully fund the construction and certain maintenance costs of the Highway, earmarking $3.1 billion for its construction, through 2031.[9] Budget 2026 also uses the Highway as an example of a major project that would be supported by the new major projects management entity, to which Budget 2026 attributes significant funding.[10] The federal government has referred the Highway to the Major Projects Office, and the Highway is currently under consideration for listing as a project of national interest under the Building Canada Act.[11] Budget 2026 reasserts that the Highway will be designed with input from impacted Indigenous governments.
- Grays Bay Road and Port (GBRP)
The GBRP is a 230-kilometre road proposed to run from the Nunavut-Northwest Territories border to a deep-water port and airstrip on the Arctic Ocean. The project is Inuit-owned and led and aims to move critical minerals to export markets. The GBRP has been referred to the Major Projects Office and is currently under consideration for listing as a project of national interest under the Building Canada Act.
The Indigenous Loan Guarantee Program
The pre-existing $10 billion Indigenous Loan Guarantee Program facilitates Indigenous communities’ access to financing for investing in major projects. Budget 2026 emphasizes the role the program can play in addressing barriers to economic opportunities for Indigenous Peoples, and in supporting Indigenous ownership in major projects, including the Pacific Link Pipeline.[12]
Budget 2026 proposes to consolidate the Indigenous Loan Guarantee Program within the Canada Infrastructure Bank (CIB), which Budget 2026 asserts will centralise Indigenous major project investment support, and allow the CIB to better execute its mandate to support projects in Canada.[13] Budget 2026 also plans to move responsibility for the Canada Infrastructure Bank to the Department of Finance Canada, a change which, among others, will be supported by $3.5 million over two years.[14]
The takeaway
Budget 2026 shows that Canada is now funding, not just legislating, its accelerated major projects agenda. For First Nations, that cuts both ways, and what it means depends on where a Nation stands on a given project. But for every Nation, the message is the same: decisions are coming sooner, and Nations will need to grapple with this quickly changing environment.
For Nations concerned about the pace of assessment
- The window is shrinking. Under the Building Canada Strong Act, federal reviews and permits would run at the same time, with a decision targeted within one year of a complete application. Much of the real work to shape a project will happen before that clock starts.
- Treat referral as the early warning. A project referred to the Major Projects Office, or under consideration for national interest listing, is on the fast track. The Mackenzie Valley Highway and Grays Bay Road and Port are at that stage now, and consultation on their listing is underway.
- Watch regional “Corridors of National Interest.” These assessments could settle questions for whole regions before any single project is proposed. Nations should take part in them, not wait for project-level consultation.
- Ask for capacity funding up front. Budget 2026’s Major Projects Office funding expressly includes consultation with Indigenous Peoples. Nations should seek resources to take part meaningfully on accelerated timelines.
- Hold Canada to its commitment. The budget recognizes that faster timelines do not change section 35 rights, the duty to consult, or treaty obligations.[15] Whether consultation on compressed timelines is adequate is likely to be tested.
For Nations interested in participating in projects
- Equity is on the table. Canada has offered Indigenous groups a minimum 10% ownership interest in Pacific Link. It has also offered 128 Indigenous groups a collective 15% stake in Trans Mountain.
- Financing tools are growing. The $10 billion Indigenous Loan Guarantee Program has issued $1.2 billion in guarantees, with a fifth guarantee, for an oil and gas project, under negotiation. The program is moving into the Canada Infrastructure Bank. The new Canada Strong Fund may co-invest alongside federally supported projects.
- Get organized early. The fast-track model rewards Nations that come to the table with governance, financing and negotiating priorities already in place. That includes ownership terms, benefit sharing, environmental conditions and employment.
- Participation doesn’t replace consultation. An equity stake is a commercial arrangement. It does not discharge the Crown’s duty to consult, and it shouldn’t be treated as doing so.
Whether a Nation wants to slow, shape or join a project, the time to act is when it is referred, not when the one-year clock starts.
[1] Canada, Department of Finance, Budget 2026: Masters of our Destiny, (November 5, 2026), online: https://budget.canada.ca/2026/report-rapport/toc-tdm-en.html [“Budget 2026”].
[2] Christina Gray, Maya Ollek, Mae Price and Whitney Morrison, “Federal Budget 2025: Service Cuts, Capital Investments, and “Build, Baby, Build”, (November 10, 2025), JFK LAW LLP, online: https://jfklaw.ca/insight/federal-budget-2025-service-cuts-capital-investments-and-build-baby-build/.
[3] Jeff Langlois, Mark Gustafson and Devin Galway, “One Year, One Consultation, One Decision: Overview of the new Building Canada Strong Act (Bill C-39)”, (September 22, 2026), JFK LAW LLP, online: https://jfklaw.ca/insight/one-year-one-consultation-one-decision-overview-of-the-new-building-canada-strong-act-bill-c-39/.
[4] Budget 2026 at 184.
[5] Budget 2026 at 158.
[6] Budget 2026 at 365.
[7] Budget 2026 at 163.
[8] Budget 2026 at 167.
[9] Budget 2026 at 162 and 184.
[10] Budget 2026 at 158.
[11] Budget 2026 at 164.
[12] Budget 2026 at 167.
[13] Budget 2026 at 306.
[14] Budget 2026 at 306.
[15] Budget 2026 at 158.