The federal Liberals have agreed to key Conservative amendments to their proposed “regulatory sandbox” powers, adding new safeguards to how those measures can be used.
The changes were made during a lengthy House of Commons finance committee meeting reviewing Bill C-15, a wide-ranging budget implementation bill. The proposed sandbox approach would allow federal ministers to temporarily exempt individuals or companies from certain non-criminal laws to test new ideas and support innovation.
The proposal drew criticism from opposition parties, who warned it could give too much authority to cabinet. Some MPs argued that allowing ministers to override laws, even on a temporary basis, could weaken transparency and democratic oversight.
In response, Conservative members introduced amendments aimed at limiting those powers. The Liberals agreed to adopt several of these changes.
Under the revised plan, ministers must consult the public before granting exemptions and must report their decisions to Parliament. Approval from both a cabinet minister and the president of the Treasury Board will also be required. In addition, specific laws such as those related to conflict of interest and access to information cannot be bypassed.
Liberal MPs said the government accepted the amendments to address concerns and keep the bill moving forward. A spokesperson for the finance minister said the original proposal lacked broad support and risked delaying progress.
Government officials have defended the sandbox concept, saying it could help speed up regulatory processes and encourage economic growth. The bill limits exemptions to three years, with a possible one-time extension.
It remains unclear whether Conservatives will support the bill at a final vote.