SCHEDULE 9: SPECIAL ECONOMIC…

Across all schedules of Bill 5 – Protect Ontario by Unleashing Our Economy Act, 2025 – there is a notable and concerning absence of any explicit reference to consultation with First Nations. This does not reflect the Ontario Crown’s legal duty to consult and accommodate under Section 35 of the Constitution Act, nor does it align with the spirit of reconciliation.

SCHEDULE 9: SPECIAL ECONOMIC ZONES ACT
The proposed legislation surrounding Special Economic Zones in Ontario raises significant concerns for SNGR. Drawing from recent examples from Ontario, initiatives are continually being pursued with limited transparency, insufficient consultation, and broad discretionary powers. This overview outlines key issues embedded in the current approach to Special Economic Zones, highlighting the potential consequences for First Nations sovereignty, environmental protection, and governance.

Looking at projects such as Ontario Place and Highway 413 provides insight into how Special Economic Zones may be approached, and the implications are deeply troubling for First Nations. These examples highlight a broader pattern of inadequate oversight and accountability—issues that are echoed in the Auditor General’s 2022 report , which found that government self-assessment models are ineffective. Yet, this Act seems to rely heavily on such self-assessment mechanisms.

There is also concern that First Nations treaty lands could be designated as a Special Economic Zone. This raises serious red flags about the potential erosion of First Nations land rights and sovereignty, especially given the lack of formal consultation processes outlined in the legislation.

Adding to this concern is the vague and undefined use of the term “trusted proponent.” The legislation offers no criteria or accountability framework for determining who qualifies under this designation. This ambiguity leaves the door open for discretionary and potentially biased interpretations, with First Nations likely to have a vastly different understanding of what constitutes a “trusted” actor compared to the provincial government. The lack of clarity and engagement on these matters threatens to deepen mistrust and exacerbate existing tensions with First Nations over land use and jurisdiction.

Furthermore, under section 5, giving special economic zones exemptions from municipal by-laws will likely impact environmental protections. The by-laws that are most likely to stand in the way of development are representative of environmental protections (for example a municipal by-law requirement to plant trees). Municipalities have previously engaged with us on these matters, but this legislation may eliminate and/or lessen such opportunities for consultation in the future.

In its current form, the legislation governing Special Economic Zones represents a serious threat to First Nations rights, environmental stewardship, and accountable governance. The absence of clear criteria, meaningful consultation with First Nations, and protections for municipal collaboration all point to a troubling shift in land use policy. Without significant revisions and the inclusion of First Nations voices, this approach risks repeating historical patterns of exclusion and environmental degradation.