On February 26, 2015, the federal Nuclear Liability and
Compensation Act under Bill C-22 received Royal Assent. Once
in force, it will replace Canada's outdated liability regime
for damage from nuclear incidents.
The substance of the new legislation generally mirrors four
previous bills that the government has introduced since 2007 to
replace the 1976 Nuclear Liability Act. However, each of
those bills died on the order paper.
The Nuclear Liability and Compensation
Act will update Canada's liability regime in
several respects:
- Increase the maximum compensation payable by the operator of a
nuclear facility to third parties on an absolute liability basis
(i.e., payable regardless of negligence or fault) to $650
million, from $75 million, as soon as the new legislation comes
into force. This principle of absolute liability applies even if a
nuclear incident is caused by a "terrorist activity", as
defined in the Criminal Code.
