The Canadian government under the Liberal administration is aiming to cut the approval time for the new high-speed rail network in half by revising the land expropriation process, although concerns have been raised about potential compromises to property rights and costly errors. The Budget 2025 Implementation Act, which aligns with proposals in the budget, includes amendments to the Expropriation Act and other legislation to facilitate the acquisition of land for the high-speed railway project.
According to Shane Rayman, a Toronto-based lawyer specializing in expropriation law, the changes made in the interest of expediency may eliminate certain safeguards crucial for protecting both property owners and the government from errors in the complex expropriation process. Transport Canada explained that the adjustments were necessary due to the stringent geometric requirements of high-speed rail, limiting the available land suitable for the project.
The envisioned high-speed rail line connecting Quebec City to Toronto, with planned stops in Trois-Rivières, Laval, Montreal, Ottawa, and Peterborough, is set to commence construction within four years as per Prime Minister Mark Carney’s vision. Despite the modifications, Transport Canada assured that landowners would still be treated fairly in terms of compensation based on established principles such as market value.
Critics, including the Montreal Economic Institute (MEI), have raised concerns about the erosion of long-standing property protections and due process for landowners in the context of the high-speed rail project. The MEI emphasized the importance of maintaining safeguards to protect farmers and other landowners from potential adverse impacts.
The proposed legislative changes include the removal of mandatory hearings when objections are raised under the Expropriation Act, empowering the minister to make decisions without a formal hearing. While Transport Canada stated that objections would be considered, critics argue that this approach could lead to oversight and errors in the process.
Additionally, the amendments grant the government the authority to impose a “prohibition on work” on properties that may be required for the railway project, preventing landowners from making improvements for up to four years or until the prohibition is lifted. This measure aims to deter land speculation and undue property value inflation.
Moreover, the federal government can exercise a “right of first refusal” on land sales where work is prohibited, potentially affecting the marketability of such properties. These changes have sparked debates regarding the balance of power between landowners and the government in expropriation cases.
Despite these developments, the intent behind the amendments is to expedite the expropriation process without compromising landowners’ rights to fair compensation under the Expropriation Act. Public consultations led by Alto, a subsidiary of Via Rail overseeing the project, are underway to gather input on the proposed route, considering various environmental and social impacts of the high-speed rail project.
At this stage, Alto has refrained from commenting publicly on the modifications to the Expropriation Act outlined in the Budget 2025 Implementation Act.
