On October 1, 2026, Ontario’s Ministry of Energy and Mines (Ministry) issued a proposal for “Targeted Amendments to the Leave to Construct Framework for Electricity Transmission Projects” (Proposal).
Pursuant to section 92 of the Ontario Energy Board Act, 1998 (OEBA), proponents seeking to construct, expand or reinforce electricity transmission lines greater than two kilometres in length are required to obtain prior approval or “leave to construct” (LTC) from the Ontario Energy Board. The Proposal would exempt transmission projects procured by the Independent Electricity System Operator (IESO) from this LTC requirement (Newly Exempt Projects), potentially saving developers weeks to months of what is typically a formal adjudicative approval process.
Such provision would be added to the list of exemptions under section 6.2 of Ontario Regulation (O. Reg.) 161/99 (Definitions and Exemptions) to the OEBA. This significant proposed change follows the launch of the IESO’s competitive Transmitter Selection Framework and would apply to the IESO’s pending Toronto Third Line transmission procurement. For more information, please see our Blakes Bulletin: Ontario Launches New Competitive Procurement for Electricity Transmission – Toronto Third Line Update.
The Proposal builds on a series of recent regulatory reforms intended to streamline the development of bulk system transmission infrastructure in the province, including amendments to the O. Reg. to effectively exempt privately funded transmission projects from the requirement to obtain LTC.
Newly Exempt Projects would continue to be required to comply with all applicable Environmental Assessment Act requirements, including those related to Indigenous consultation, regardless of whether the Proposal is implemented. The IESO will continue to assess reliability and quality of service through its system impact assessment process, which applies regardless of whether a project requires LTC.
Implementation of the Proposal would also extend to proponents of Newly Exempt Projects early land access rights under subsection 98(1) of the OEBA to conduct preliminary site work (e.g. land surveying, soil sample collection, engineering studies, etc.). Once a Newly Exempt Project is in service, the Proposal would extend to its owners and operators land access rights under subsection 103(1) of the OEBA (i.e. the right to access, without the landowner’s prior consent, for the purpose of operating or maintaining transmission infrastructure).
The Ministry is accepting comments on the Proposal until October 31, 2026. Comments may be submitted through the Environmental Registry of Ontario.
Our team is closely monitoring legislative and regulatory developments related to electricity infrastructure in Ontario, including the Toronto Third Line. For more information, please contact the authors or any other member of our Energy Regulatory or Power groups.
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