Canada’s plan to speed up high-speed rail approvals faces backlash as expropriation reforms remove hearings and add new restrictions for property owners.
Rail Expropriation Changes Spark National Rights Debate
Federal Push to Accelerate High-Speed Rail
The Liberal government is proposing major changes to Canada’s expropriation laws through the Budget 2025 Implementation Act, aiming to cut approval times for the Quebec City–Toronto high-speed rail project by half. The reforms were introduced in the House of Commons to help meet the government’s goal of beginning construction within the next four years.
Critics Warn of Lost Safeguards
Legal specialists and property-rights advocates say the changes strip away long-standing protections. The removal of mandatory hearings for objections, they argue, eliminates a crucial step where landowners and government planners typically identify errors in the acquisition process. Toronto lawyer Shane Rayman, who handles expropriation cases, says hearings often prevent unnecessary or improperly justified land takings.
Government Defends Need for Streamlined Rules
Transport Canada says the reforms are necessary because high-speed rail requires strict geometric alignment, leaving only a narrow band of land suitable for track placement. According to the department, faster expropriation is essential to avoid delays and to keep costs under control. Officials insist that affected owners will still receive fair, market-based compensation under existing federal rules.
Economic Groups Raise Property Rights Concerns
The Montreal Economic Institute argues the proposed changes weaken due process by removing checks designed to protect landowners—particularly farmers and rural families who depend on their property for income. In a recent commentary, the institute said the reforms risk “eroding property rights” and criticized the government for embedding the measures in an omnibus bill.
Hearing Removal Brings Practical Risks
Under the current Expropriation Act, the minister must order a hearing when owners file objections. The BIA amendments eliminate that requirement, placing decision-making solely in the minister’s hands. Critics say this could lead to unchecked planning mistakes, while Transport Canada maintains that all objections will still be reviewed before decisions are finalized.
New Restrictions on Property Work
The legislation also introduces a “prohibition on work” that can be placed on land the government may need, even before an expropriation begins. For up to four years, owners would be blocked from making improvements or starting development projects. The government says this is meant to curb speculative price increases, but property experts warn it could freeze the economic potential of homes and investment properties.
Right of First Refusal Adds Market Barriers
The reforms grant Ottawa a right of first refusal on prohibited land, requiring owners to present any third-party offer to the government before selling. Rayman says potential buyers may avoid such properties entirely, limiting market access and lowering value. Critics argue this creates uncertainty that disproportionately affects small landowners.
Compensation Rules Remain Unchanged
Despite the procedural changes, the government notes that compensation protections under federal law remain intact. Owners can still claim losses tied to land value, business interruption, and impacts on adjacent property caused by rail operations. Experts say the reforms aim to shorten timelines—not reduce compensation.
Public Consultations Still Expected
Alto, the Via Rail subsidiary leading the project, plans to begin its first round of public consultations this winter, focusing on broad route corridors across Quebec and Ontario. Additional rounds will follow over the next 18 months as environmental, noise, wildlife, and air-quality studies progress. Alto has declined to comment on the proposed expropriation reforms.
