Canada Gazette, Part I, Volume 160, Number 18: Regulations Amending the Nuclear Liability and Compensation Act and the Nuclear Liability and Compensation Regulations

May 2, 2026

Statutory authority
Nuclear Liability and Compensation Act

Sponsoring department
Department of Natural Resources

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Executive summary

Issues

As set out in the NLCA, the liability limit for power reactors increased from $650 million in 2017, when the Act came into force, to $1 billion in 2020. Given that the last increase took effect in 2020, it was left unchanged during the first statutory five-year review of the liability limit that concluded in January 2022 and has not since been adjusted for inflation. In addition, the existing liability limits for lower-risk installations — such as waste facilities, fuel facilities and research reactors — were set in 2017 taking into account a CNSC risk assessment and have not been updated to account for inflation.

SMRs do not fit within one of the existing classes of nuclear installations with corresponding lower liability limits in the NLCR. In assessing the nature of the potential SMRs in Canada and the material they would contain, and taking into account technical advice from the CNSC looking at factors such as accidental criticality, fission product inventory, potential energy from criticality, uncontrolled release risk and the need for control measures, it was determined that SMRs are a lower risk than conventional power reactors. Provinces, utilities and potential operators considering SMRs are seeking clarity and certainty regarding costs associated with nuclear liability insurance for these new technologies. The first SMR in Canada is expected to begin commercial operation as early as 2030 under the DNNP, subject to being successfully licensed by the CNSC, and would be operated by Ontario Power Generation. The DNNP is not currently designated as a nuclear installation under the NLCR and its designation must come into force as soon as a licence to operate is issued by the regulator.

Background

In Canada, there are 17 CANDU reactors^{footnote 2} operating at four nuclear power generating stations, supplying approximately 13% of Canada’s electricity, including approximately 49% of Ontario’s and 15% of New Brunswick’s electricity. Beyond power generation, Canada’s nuclear sector also includes two refining and conversion facilities, three fuel fabrication facilities, three operating research reactors, and multiple radioactive waste management facilities across the country. Collectively, these facilities are a key part of Canada’s climate strategy and a driver for clean growth.

To bring clean power to more Canadians, the Government of Canada has committed to working with the provinces and territories to enable the deployment of SMRs. SMRs are an emerging category of nuclear reactors that are considerably smaller in size and in thermal power than conventional nuclear power reactors. This technology has the potential for a range of applications, from grid-scale units that can provide non-emitting reliable electricity, to smaller units suitable for heavy industry, and powering remote communities. On September 11, 2025, the Prime Minister’s Office announced a list of five “nation-building” projects, including the DNNP in Clarington, Ontario, which will involve the construction and operation of SMRs. A key driver for these amendments is to ensure regulatory readiness in the area of nuclear liability for new nuclear technologies, including the DNNP. The Government of Canada committed to establishing appropriate classes and liability limits for SMRs in Canada’s SMR Action Plan and Canada’s Clean Technology Regulatory Review Roadmap.

While nuclear incidents are infrequent, it is important that should they occur, there is liability and financial coverage to compensate for damages. The NLCA establishes a compensation and liability regime for the unlikely event of a nuclear incident — such as an accident or leak — resulting in compensable damage. It applies to nuclear power reactors as well as to lower-risk nuclear installations, such as research reactors and facilities for managing nuclear fuel and radioactive waste.

The Act requires all operators of designated nuclear installations to maintain sufficient financial security to cover their liability limit. The financial security may be in the form of insurance, which must be obtained from insurers approved by the Minister of Natural Resources or alternate financial security approved by the Minister. The Act sets the maximum liability limit for operators of nuclear installations. For power reactors, this limit was initially set at $650 million when the Act came into force in 2017 and increased annually to $1 billion by 2020, as set out in the Act. In establishing this limit, three factors were considered: (1) adequacy to address controlled radiation release at a Canadian nuclear plant; (2) capacity of insurers to provide insurance at this level for a reasonable cost; and (3) alignment with international standards. Today, all Canadian power reactor operators are required to carry $1 billion in financial security.

The Act requires a review of the liability amount every five years, taking into account inflation, international agreements respecting nuclear liability, and other considerations deemed relevant. While the Act sets out the maximum operator liability limit, which is applicable to operators of power reactors, the limit may be increased by regulation. The first review of this limit, which included engagement with the public and was completed in January 2022, found that an inflation considered value would bring the nuclear third party liability limit to Can$1.1 billion. This recommendation was not implemented because the current $1 billion limit had only taken effect in January 2020, and an increase in 2022 was deemed unnecessary at the time. The liability amount is undergoing a second review from 2025 to 2026, and an increase is recommended to keep pace with inflation. The review also looked at international standards and best practices, including the Paris Convention on Third Party Liability in the Field of Nuclear Energy (Paris Convention), which increased operator liability to €700 million in 2022.

The Act also authorizes the Governor in Council to reduce liability limits for certain classes of nuclear installations based on the nature of the installation and the nuclear material contained in it. Operators of lower-risk nuclear installations — such as research reactors and fuel or waste facilities — are required to secure lesser amounts of financial security at lower liability limits set out in the NLCR. In the event of an incident, the Government of Canada indemnifies the operators of these lower-risk nuclear installations for the amount above its liability limit up to the maximum liability limit (i.e. up to the proposed $1.2 billion). As stipulated in the Act, the Government and the operator enter into an indemnity agreement.

Canada is a Contracting Party to the Convention on Supplementary Compensation for Nuclear Damage (CSC), which, along with the Paris Convention and the Vienna Convention on Civil Liability for Nuclear Damage, establishes key elements of global nuclear liability frameworks. The NLCA aligns with the CSC and in the event of a domestic nuclear incident, Canada would be eligible for over $200 million in supplementary funds from member countries once coverage under the NLCA is exhausted. As a general rule, 50% of the supplementary fund is reserved exclusively for compensation of transboundary damage. However, where the Contracting Party makes available a national compensation amount of at least 600 million special drawing rights (SDRs) [equivalent to approximately Can$1.2 billion], the transboundary reservation does not apply, and the entire supplementary fund may be used for compensation of either domestic or transboundary damages.

Objective

The objectives of the proposed amendments to the NLCA and to the NLCR are the following:

• Ensuring operator liability limits and compensation coverage keep pace with inflation, continue to protect Canadians in the event of a nuclear incident, and align with international best practice; and
• Ensuring that the cost of financial security premiums to SMR operators is appropriate by introducing a proposed formula for SMR operator liability limits that is lower than the limit for larger power reactors and scales with the size of the SMR, commensurate to their relative risk. This would be supported by maximum compensation available under the Act (up to the proposed $1.2 billion) through indemnification from the Government of Canada.

Description

The proposed Regulations Amending the Nuclear Liability and Compensation Act and the Nuclear Liability and Compensation Regulations (the proposed Regulations) would increase operators’ liability limits to account for inflation, set liability limits for commercial SMRs, designate the DNNP SMR site as a nuclear installation and make other minor amendments to the NLCR.

For large power reactors, the maximum operator’s liability limit set out in the Act would be increased by 20%, from $1 billion to $1.2 billion, to account for five years of inflation from 2020 to 2025. This would, in effect, increase the overall compensation available under the Act for all nuclear installations to $1.2 billion.

An operator liability limit class for commercial SMRs with a capacity of 1 400 MW (megawatts thermal) or less would be set by a formula depending on the SMR’s capacity, namely A × $600,000 + $60,000,000, where “A” is the thermal power that the reactor can produce, expressed in MW.

Experts from the CNSC developed the liability limit formula for SMRs based on two complex models, which considered risk factors including accidental criticality, fission product inventory, potential energy from criticality, uncontrolled release risk and the need for control measures. The proposed formula for SMRs ensures a best fit with the liability limits arising from the complex models. It represents a general measure of relative risk, compared to large reactors, by using thermal power as the key factor, and provides transparency and predictability of liability limits for SMRs. The threshold of 1 400 MW was determined based on the maximum thermal rating of all SMR designs included in the Nuclear Energy Agency’s SMR Dashboard.

The proposed Regulations would also increase the existing operator liability limits for lower-risk installations, i.e. research reactors, and waste and fuel facilities, by approximately 26% to account for eight years of inflation from 2017 to 2025:

• $226.8 million for the Reactor of over 7 MW Class;
• $50.4 million for the Nuclear Fuel Waste Processing Facility Class;
• $16.4 million for the Nuclear Fuel Waste Management Facility Class;
• $4.2 million for the Nuclear Fuel Conversion Facility Class;
• $2.9 million for the Nuclear Fuel Production Facility Class;
• $1.6 million for the Reactor of 1 MW to 7 MW Class;
• $1.3 million for the Radioactive Waste Management Facility Class; and
• $0.6 million for the Reactor of less than 1 MW Class.

The proposed Regulations also update the schedule to the NLCR to designate and list the DNNP SMR site as a nuclear installation separate from the Darlington Nuclear Generating Station, coming into force when a licence to operate is issued, as well as make minor clarifying amendments to update facilities listed and their site descriptions.

A technical amendment is also proposed to replace “thermal output” with “thermal power” in the reactor definitions in the English version of the NLCR. Thermal power, the rate at which heat is produced within a nuclear reactor core due to fission reactions, is best to use when comparing reactor designs, whereas thermal output is the final energy that is available for use and can be slightly lower due to efficiency loss in the system. This technical amendment would have no impact on the current liability limits of operators.

In French, the term “puissance thermique” is used to refer to both “thermal power” and “thermal output”, so no modification is required to the French definitions.

Regulatory development

Consultation

Natural Resources Canada (NRCan) engaged nuclear operators, insurers, and interested Canadians on nuclear liability limits during its first five-year review of the liability limit for power reactors in 2021. The review concluded that

• adjusting the liability limit for operators of power reactors for inflation is appropriate. The review noted that the operators’ liability limit under the Paris Convention was increasing to €700 million in 2022, which is equivalent to over Can$1.1 billion; and
• financial security requirements for lower-risk installations should be reassessed to ensure they remain appropriate.

Over the past three to four years, NRCan has consulted extensively with nuclear operators and approved insurers on the proposed amendments, including the introduction of liability limits for SMRs and inflation-based increases to existing operator liability. Stakeholders engaged include the Conexus SMR Nuclear Liability Task Team, comprising Ontario Power Generation, Bruce Power, NB Power, SaskPower, Canadian Nuclear Laboratories, and the Canadian Nuclear Association, as well as Cameco Corporation, McMaster University, and École Polytechnique. Engagements also include the Nuclear Insurance Association of Canada, Nuclear Risk Insurers, and Northcourt Limited.

These engagements focused on the appropriate structuring of liability limits for SMRs, the scalability of liability amounts, and the capacity of the insurance market to provide coverage at proposed levels. Consultations provided technical input that informed the development of the SMR liability limit formula and updates to some site descriptions in the schedule to the NLCR. Feedback from operators and insurers has been considered, including the appropriateness of the proposed formula for SMR liability limits proposed by NRCan, which was developed in consultation with the CNSC and scales based on a reactor’s megawatt thermal value. Operators and insurers have been supportive of the proposed amendments. Insurance providers also indicated that there is capacity in the insurance market to provide coverage for the limit increases.

Public response is anticipated to be generally supportive of the proposed increases to liability limits for power reactors and lower-risk nuclear installations, as these changes would increase the operator’s contribution to damages and increase the overall amount of available compensation in the event of a nuclear incident — up to $1.2 billion. While some members of the public have previously advocated for unlimited operator liability, this approach is incompatible with international frameworks and insurance market realities. Similarly, while some interested Canadians and public interest groups may be concerned about introducing operator liability limits for SMRs that are lower than those for large power reactors, the Government would indemnify up to the difference between the lower operator liability limit and the maximum liability under the Act, meaning that maximum compensation proposed at $1.2 billion would be available for compensation as needed in the event of a nuclear incident. This indemnification would be consistent with the Government’s current indemnification for all designated lower-risk installations (e.g. research reactors, fuel facilities and waste facilities).

Indigenous engagement, consultation and modern treaty obligations

Following the completion of the assessment of modern treaty implications, no adverse impacts on potential or established Indigenous or treaty rights, which are recognized and affirmed in section 35 of the Constitution Act, 1982, were identified. The proposed amendments would increase overall compensation available under the Act but would involve no physical work and would not require access to settlement lands under the jurisdiction of an Aboriginal group with a modern treaty. NRCan continues to engage with Indigenous peoples, particularly those near nuclear power plants, and nuclear liability has not been an issue of concern in these dialogues.

Instrument choice

In assessing how best to update Canada’s nuclear liability regime, both regulatory and non-regulatory options were considered. Non-regulatory options, such as voluntary industry agreements or policy guidance, would not provide the legal certainty required under the NLCA. Because the Act sets binding financial security obligations, compensation rules, and insurer requirements, only formal amendments can ensure enforceability and continued alignment with international standards and best practices. Voluntary measures would also create uneven application across operators and insurers, undermining fairness and public confidence.

Indexation was considered, but would not provide sufficient flexibility in considering all relevant factors together during the statutory five-year review when determining the appropriateness of liability limits. The NLCA sets out that the Minister of Natural Resources must review the liability limit every five years. In carrying out the review, the Minister must have regard to changes in the Consumer Price Index (i.e. inflation), financial security requirements under international agreements, as well as any other factors the Minister considers relevant. This could include taking into consideration potential advances in technical knowledge. Additionally, the status quo was also considered, but it would not achieve the stated objectives.

Given these considerations, the proposed regulatory amendments represent the only effective means of achieving the policy objectives.

Regulatory analysis

Benefits and costs

A cost-benefit analysis (CBA) report is available upon request from the contact person listed at the end of this document.

The proposed regulatory amendments update the liability limits applicable to designated nuclear facilities under the NLCA and the NLCR. These changes adjust existing limits to reflect inflation and introduce limits for SMRs that better correspond to their lower-risk profile. The analysis compares the current baseline — where liability limits remain unchanged — with the regulatory scenario in which limits are increased. The primary monetized impact is the expected rise in insurance premiums paid by nuclear operators to meet the updated liability requirements.

The amendments affect several groups, including power reactor operators (Bruce Power, Ontario Power Generation, and NB Power), future SMR operators, operators of designated lower-risk nuclear facilities (Ontario Power Generation, Hydro-Québec, Canadian Nuclear Laboratories, McMaster University, École Polytechnique, and Cameco Corporation), insurers approved under the Act, the federal government through its indemnification obligations, and Canadian ratepayers who may experience minimal premium passthrough effects.

Benefits

Liability frameworks are informed by the underlying risk profile of nuclear facilities. One commonly used indicator of severe accident risk is core damage frequency (CDF), a standard measure used to estimate the likelihood of events that could lead to significant reactor damage. For modern nuclear reactors, CDF estimates are extremely low, at less than one event per 100 000 reactor-years. Since the introduction of CANDU reactors in the 1960s, Canada has not experienced a nuclear incident resulting in damages.

The primary benefit from increasing liability limits is the reduced fiscal exposure of the Government of Canada — and ultimately, of Canadian taxpayers — by ensuring that a greater share of compensation following a nuclear incident is borne by operators and their insurers. The updated limits increase the total compensation available to affected individuals and communities by $200 million, ensuring that liability coverage remains aligned with inflation and contemporary cost realities for reactors and lower-risk installations.

The introduction of liability limits for SMRs enhances regulatory predictability and supports the development of emerging nuclear technologies by aligning insurance requirements with their comparatively lower-risk profile. Raising the overall liability limit to $1.2 billion, which exceeds 600 million SDRs, also removes Canada’s transboundary reservation under the CSC and the entire supplementary fund may be used for compensation of either domestic or transboundary damages, strengthening the country’s ability to respond to nuclear incidents. Collectively, these changes enhance Canada’s alignment with international nuclear liability standards, including those reflected in the Paris Convention.

Moreover, these qualitative benefits support Canada’s policy objectives for safety, legal clarity, and international alignment, even though they cannot be monetized and, in NRCan’s view, more than outweigh the quantified costs.

Costs

The regulatory amendments would introduce costs for industry and Government. Eight operators are expected to face higher insurance premiums as a result of the increased liability limits. These recurring costs may reduce funds available for other operational or capital investments, such as facility upgrades, although operators would likely pass a portion of these costs on to electricity ratepayers.

Increasing the indemnification ceiling for lower-risk installations — from $1 billion to $1.2 billion — may raise the federal government’s potential financial exposure in the event of a nuclear incident. However, incidents at these facilities are not expected to generate damages exceeding the operator’s liability limit. Insurers will also assume greater financial risk due to the higher potential payout amounts, though this is likely to be reflected in premium adjustments rather than direct operational impacts.

Operators would need to update insurance documentation to reflect the new limits, but most compliance and reporting requirements already exist under the current regulatory framework, and these impacts are expected to be negligible.

Due to operator and premium confidentiality, specific figures cannot be disclosed. Values entered in Table 1 are rounded to the nearest million. Over a 10-year period, the analysis indicates an estimated annualized net cost in the range of approximately $1.5 million to $2 million and then decreasing to around $1 million in 2030, when the first SMR is expected to become operational, since that operator would benefit from lower liability limits.

Cost-benefit statement

• Number of years: 10 (2027 to 2036)
• Price level year: 2027
• Present value base year: 2026
• Discount rate: 7%

Table 1: Summary of monetized costs and benefits ($, millions)

Impacts	2027	2030	2036	Total (present value)	Annualized value
Total benefits (Premium savings from differentiated liability limits for SMRs)	0	1	2	8	1
Total costs (Premium increase due to higher liability limits)	3	3	3	20	3
Net impact table 1 note a	−3	−2	−1	−13	−2
Table 1 note(s) Table 1 note a Figures may not add up to totals due to rounding. Return to table 1 note a referrer

Sensitivity analysis summary

The sensitivity analysis examined how results change with different discount rates and SMR deployment timelines. Testing discount rates from 0% to 10% showed that lower rates increase net costs, while higher rates reduce them, but in all cases, quantified costs still exceed monetized benefits due to costs occurring early and most benefits, especially those tied to SMRs, occurring later in the analysis period. The analysis also assessed SMR deployment ranging from zero to five units. More or earlier SMRs reduce net costs, with quantified annual benefits exceeding costs when a fifth SMR comes online. While specific figures cannot be released, the overall trends remain consistent, and qualitative benefits such as predictability for SMR operators and alignment with international standards could shift the net impact closer to positive.

Distributional impact analysis

The proposed regulatory amendments to the NLCA and NLCR will have distributional effects primarily on electricity consumers in Ontario and New Brunswick, where nuclear power reactors operate. Any cost transfer from higher insurance premiums is expected to be small: in Ontario, with roughly 5.4 million ratepayers, the incremental cost is estimated at less than $0.50 per year per household, while in New Brunswick, with approximately 400 000 ratepayers, the impact is estimated at under $1 annually. With the deployment of SMRs in Ontario, the incremental cost per year per Ontario household decreases to almost $0 over the analysis period (compared to insurance costs if SMRs were treated as large reactors). These amounts represent a negligible share of typical electricity bills and are unlikely to affect overall affordability, though impacts on vulnerable consumers should continue to be monitored as part of broader energy policy.

Indirect benefits also accrue to ratepayers in these provinces through enhanced compensation certainty and improved financial resilience in the event of a nuclear incident. Increasing overall compensation available under the Act from $1 billion to $1.2 billion strengthens consumer protection by ensuring an additional $200 million in available compensation, reducing the risk of uncompensated losses for households and businesses. Ratepayers in Ontario would also benefit from the introduction of lower liability limits for SMRs. By aligning liability requirements with the lower-risk profile of SMRs, the amendments help support the deployment of advanced nuclear technologies that can contribute to long-term system reliability and cost stability.

Small business lens

Analysis under the small business lens concluded that the proposed Regulations will not impact Canadian small businesses.

One-for-one rule

The one-for-one rule does not apply as there is no incremental change in the administrative burden on business and no regulatory titles are repealed or introduced.

Regulatory cooperation and alignment

NRCan undertook an international benchmarking exercise. Increasing the liability limit from $1 billion to $1.2 billion more closely aligns with international conventions, including the Paris Convention on Third Party Liability in the Field of Nuclear Energy (and the related Brussels Supplementary Convention). These conventions establish a minimum operator liability of €700 million — equivalent to over Can$1.1 billion — plus an additional €500 million in second tier state funding, for a total of €1.2 billion. While Canada does not have a second tier of state funding for power reactors, a higher amount is proposed for operators in Canada to align with inflation, which must be taken into account as part of the statutory five-year review set out under the Act.

International obligations

The NLCA and NLCR, as well as the proposed amendments, are aligned with the CSC, to which Canada is a Contracting Party. The CSC aims at establishing a worldwide system of civil liability and supplementary compensation for nuclear damage in which all states may participate. It envisages a minimum national compensation amount and a supplementary compensation system based on public funds to be made available by the Contracting Parties in the event that the national amount is insufficient to compensate for the nuclear damage.

Effects on the environment

In accordance with the Cabinet Directive on Strategic Environmental and Economic Assessment, an assessment was conducted and it was determined that this proposal was found not to produce significant effects related to greenhouse gases, nature and biodiversity, or the environment, and will not be vulnerable to climate hazards or have implications for Canada’s climate resiliency.

However, this proposal may contribute indirectly to clean energy development by providing clarity and certainty for the nuclear industry regarding nuclear liability and financial security requirements, including for SMRs. This regulatory certainty supports the enabling framework for, thus the expansion of, Canada’s nuclear energy sector. Therefore, regulatory certainty may also support Canada’s progress towards the United Nations’ Sustainable Development Goal 7 on Clean Energy.

Gender-based analysis plus

This proposal primarily affects industry — specifically nuclear operators and insurers — as their liability limits and related insurance premiums will increase. Canadians living near designated nuclear installations may also be affected, as the proposed amendments would increase the amount of compensation available in the event of a nuclear incident. Nuclear installations in Canada are located in densely populated urban areas and in sparsely populated rural regions, leading to varied demographic profiles around each site. While the nuclear sector employs a higher proportion of white male individuals, the proposal does not disproportionately affect this group.

Research indicates that women represent approximately 20–22% of Canada’s nuclear workforce. Comprehensive demographic data for the nuclear industry by race, ethnicity, religion, ideology, or socioeconomic status are not publicly available. As a proxy: Canada’s energy sector overall reports 24% women, 20% visible minorities, and 6% Indigenous workers (2021). The electricity and energy workforce is older, with roughly 20–25% aged 55 or above.

Because the nuclear liability regime is already in place, the proposed adjustments to liability limits are not expected to significantly affect gender or diversity outcomes. To date, no concerns have been raised by stakeholders or the public regarding the potential impacts of the NLCA and its regulations on different groups.

Implementation, compliance and enforcement, and service standards

The proposed amendments would come into force as follows:

• Amendments increasing liability limits for already designated installations and amendments pertaining to the introduction of liability limits for SMRs to come into force on January 1, 2027.
• Addition of the new designated installation for the Darlington New Nuclear Project (DNNP) to come into force on the day on which the operating licence is issued by the Canadian Nuclear Safety Commission for the DNNP.

This proposal would satisfy the five-year statutory review of the liability limit applicable to power reactors that is due to be completed in 2027. The next five-year review of the liability limit will be completed by 2032.

Natural Resources Canada would confirm that operators have obtained the required financial security to cover their respective liability amount in order to verify their compliance with the proposed amendments. Section 77 of the Act provides for a fine of not more than $300,000 for each day on which an operator fails to maintain financial security in the form and manner required by the Act or the regulations.

Contact

Pui Wai Yuen
Director
Uranium and Radioactive Waste Division
Department of Natural Resources
580 Booth Street, 19th Floor
Ottawa, Ontario
K1A 0E4
Email: nuclearliability-responsabilitenucleaire@nrcan-rncan.gc.ca

PROPOSED REGULATORY TEXT

Notice is given that the Governor in Council proposes to make the annexed Regulations Amending the Nuclear Liability and Compensation Act and the Nuclear Liability and Compensation Regulations under subsections 7(1) and 24(2) and paragraph 78(b) of the Nuclear Liability and Compensation Act ^{footnote a}.

Interested persons may make representations concerning the proposed Regulations within 30 days after the date of publication of this notice. They are strongly encouraged to use the online commenting feature that is available on the Canada Gazette website but if they use email, mail or any other means, the representations should cite the Canada Gazette, Part I, and the date of publication of this notice, and be sent to Pui Wai Yuen, Director, Uranium and Radioactive Waste Division, Energy Systems Sector, Department of Natural Resources, 580 Booth Street, Ottawa, Ontario K1A 0E4 (email: nuclearliability-responsabilitenucleaire@nrcan-rncan.gc.ca).

Ottawa, April 24, 2026

Janna Rinaldi
Acting Assistant Clerk of the Privy Council

Regulations Amending the Nuclear Liability and Compensation Act and the Nuclear Liability and Compensation Regulations

Nuclear Liability and Compensation Act

1 Subsection 24(1) of the Nuclear Liability and Compensation Act ^{footnote a} is amended by striking out “and” at the end of paragraph (c), by adding “and” at the end of paragraph (d) and by adding the following after paragraph (d):

• (e) despite paragraph (d), $1.2 billion for a nuclear incident arising on or after January 1, 2027.

Nuclear Liability and Compensation Regulations

2 (1) The definitions power reactor, reactor of less than 1 MW, reactor of 1 MW to 7 MW and reactor of over 7 MW in section 1 of the Nuclear Liability and Compensation Regulations ^{footnote 3} are replaced by the following:

power reactor

means a nuclear reactor with the capacity to produce over 1 400 MW of thermal power to be used in the production of electricity or heat for commercial purposes. (réacteur de puissance)

reactor of less than 1 MW

means a nuclear reactor, other than a commercial reactor of 1 400 MW or less, with the capacity to produce less than 1 MW of thermal power. (réacteur de moins de 1 MW)

reactor of 1 MW to 7 MW

means a nuclear reactor, other than a commercial reactor of 1 400 MW or less, with the capacity to produce from 1 MW to 7 MW of thermal power, inclusive. (réacteur de 1 MW à 7 MW)

reactor of over 7 MW

means a nuclear reactor, other than a commercial reactor of 1 400 MW or less or a power reactor, with the capacity to produce more than 7 MW of thermal power. (réacteur de plus de 7 MW)

(2) Section 1 of the Regulations is amended by adding the following in alphabetical order:

commercial reactor of 1 400 MW or less

means a nuclear reactor with the capacity to produce 1 400 MW or less of thermal power to be used in the production of electricity or heat for commercial purposes. (réacteur commercial de 1 400 MW ou moins )

3 (1) Subsection 4(1) of the Regulations is amended by adding the following after paragraph (a):

• (a.1) commercial reactor of 1 400 MW or less;

(2) Subsection 4(2) of the Regulations is amended by adding the following after paragraph (a):

• (a.1) the Commercial Reactor of 1 400 MW or Less Class is a class of nuclear installation at which the facility with the highest risk is a commercial reactor of 1 400 MW or less;

4 Paragraphs 5(a) to (h) of the Regulations are replaced by the following:

• (a) for the Commercial Reactor of 1 400 MW or Less Class, the amount determined by the formula

  A × $600,000 + $60,000,000

  where

  A

  is the thermal power that the reactor is capable of producing, expressed in MW;

• (b) for the Reactor of over 7 MW Class, $226.8 million;
• (c) for the Nuclear Fuel Waste Processing Facility Class, $50.4 million;
• (d) for the Nuclear Fuel Waste Management Facility Class, $16.4 million;
• (e) for the Nuclear Fuel Conversion Facility Class, $4.2 million;
• (f) for the Nuclear Fuel Production Facility Class, $2.9 million;
• (g) for the Reactor of 1 MW to 7 MW Class, $1.6 million;
• (h) for the Radioactive Waste Management Facility Class, $1.3 million; and
• (i) for the Reactor of less than 1 MW Class, $0.6 million.

5 The portion of item 1 of the schedule to the Regulations in columns 4 and 5 is replaced by the following:

Item	Column 4 Facilities	Column 5 Operator
1	Station A (1) Power reactors (2) Nuclear fuel waste management facility Station B (1) Power reactors (2) Nuclear fuel waste management facility	Holder of the licence for the Station A power reactors and the Station B power reactors

6 The portion of item 2 of the schedule to the Regulations in columns 3 to 5 is replaced by the following:

Item	Column 3 Description	Column 4 Facilities	Column 5 Operator
2	The site is located on the shore of Lake Ontario in the Municipality of Clarington, Regional Municipality of Durham, Ontario, and is more particularly described in property identification numbers 26606-0051(LT), 26606-0052(LT), 26606-0053(LT), 26606-0085(LT), 26606-0134(LT) and 26606-0367(LT), being Parts 1 to 5 on Reference Plan 40R-18819, save and except the Darlington New Nuclear Project lands, which correspond to Parts 1 to 11 on Reference Plan 40R-33099.	(1) Power reactors (2) Nuclear fuel waste management facilities (3) Radioactive waste management facility	Holder of the licence for the power reactors

7 The portion of item 3 of the schedule to the Regulations in column 4 is replaced by the following:

Item	Column 4 Facilities
3	(1) Nuclear fuel waste management facility (2) Radioactive waste management facility

8 The portion of item 4 of the schedule to the Regulations in columns 3 to 5 is replaced by the following:

Item	Column 3 Description	Column 4 Facilities	Column 5 Operator
4	The site is located on the shore of Lake Ontario in the city of Pickering, Regional Municipality of Durham, Ontario, and is more particularly described in property identification numbers 26326-0136(LT), 26326-0148(LT) and 26326-0149(LT), being part of Parts 1, 5 and 13 on Reference Plan 40R-18858 and Parts 1 and 2 and part of Part 3 on Reference Plan 40R-18880.	(1) Power reactors (2) Nuclear fuel waste management facilities (3) Radioactive waste management facilities	Holder of the licence for the power reactors

9 The portion of items 5 and 6 of the schedule to the Regulations in columns 4 and 5 is replaced by the following:

Item	Column 4 Facilities	Column 5 Operator
5	(1) Power reactor (2) Nuclear fuel waste management facilities	Holder of the licence for the power reactor
6	(1) Reactor of over 7 MW (2) Nuclear fuel waste processing facilities (3) Nuclear fuel production facilities (4) Radioactive waste management facilities (5) Reactor of less than 1 MW	Holder of the licence for the reactor of over 7 MW

10 The portion of items 7 to 9 of the schedule to the Regulations in column 4 is replaced by the following:

Item	Column 4 Facilities
7	(1) Reactor of 1 MW to 7 MW
8	(1) Reactor of less than 1 MW
9	(1) Reactor of less than 1 MW

11 The portion of items 12 and 13 of the schedule to the Regulations in columns 3 and 4 is replaced by the following:

Item	Column 3 Description	Column 4 Facilities
12	The site is located at 200 Dorset Street East, Port Hope, Ontario, and is more particularly described in property identification number 51081-0036(LT), being Parts 1 to 3 on Reference Plan 9R-2776.	(1) Nuclear fuel production facility
13	The site is located at 1 Eldorado Place, Port Hope, Ontario, and is more particularly described in property identification number 51072-0248(LT), being lands that include parts of lot 2 and 7 of the Broken Front Concession.	(1) Nuclear fuel conversion facility

12 The portion of items 14 and 15 of the schedule to the Regulations in column 4 is replaced by the following:

Item	Column 4 Facilities
14	(1) Nuclear fuel waste management facility (2) Radioactive waste management facility
15	(1) Nuclear fuel waste management facility (2) Radioactive waste management facility

13 The portion of item 16 of the schedule to the Regulations in columns 3 and 4 is replaced by the following:

Item	Column 3 Description	Column 4 Facilities
16	The site is located on the shore of Lake Huron in the Municipality of Kincardine, Ontario, and is more particularly described in property identification numbers 33285-0168(LT) and 33285-0171(LT), being Parts 21 and 24 and part of Part 25 on Reference Plan 3R-7352.	(1) Nuclear fuel waste management facility (2) Radioactive waste management facility

14 The portion of items 17 and 18 of the schedule to the Regulations in column 4 is replaced by the following:

Item	Column 4 Facilities
17	(1) Nuclear fuel waste management facilities (2) Radioactive waste management facilities
18	(1) Radioactive waste management facility

15 The schedule to the Regulations is amended by adding the following after item 18:

Item	Column 1 Site	Column 2 Class	Column 3 Description	Column 4 Facilities	Column 5 Operator
19	Darlington New Nuclear Project	Commercial Reactor of 1 400 MW or Less	The site is located on the shore of Lake Ontario in the Municipality of Clarington, Regional Municipality of Durham, Ontario, and is more particularly described in property identification number 26606-0134(LT), being Parts 1 to 11 on Reference Plan 40R-33099.	(1) Commercial reactor of 1 400 MW or less	Holder of the licence for the commercial reactor of 1 400 MW or less

Coming into Force

16 (1) Subject to subsection (2), these Regulations come into force on January 1, 2027, but if they are registered after that day, they come into force on the day on which they are registered.

(2) Section 15 comes into force on the day fixed under subsection (1), but if that day is before the day on which a licence to operate under the Nuclear Safety and Control Act for the Darlington New Nuclear Project has been issued by the Canadian Nuclear Safety Commission, that section comes into force on the day on which that licence is issued.

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