OSFI Guideline B-15 – Climate Risk Management

CSSB issued final CSDS 1 and CSDS 2 on 18 December 2024, aligned with IFRS S1 and S2 with extra transition reliefs. The standards are voluntary. The CSA paused its mandatory climate disclosure rulemaking on 23 April 2025. In April 2026 the CSSB proposed CSDS 2 amendments matching the ISSB's IFRS S2 amendments: limiting Scope 3 Category 15 to financed emissions, allowing an industry classification other than GICS, and allowing other GHG measurement methods or GWP values where a jurisdictional authority or exchange requires them.

Enforcement

Voluntary

Effective date

Standards effective for annual reporting periods beginning on or after 1 January 2025, for entities that choose to apply them (with transition reliefs). Voluntary; no mandatory reporting date exists.

Covered entities

Any Canadian entity (voluntary). CSA paused work on mandatory rule citing global developments.

Two deceptive marketing provisions target environmental claims. Product claims about benefits for protecting or restoring the environment or mitigating the causes or effects of climate change must be based on an adequate and proper test (paragraph 74.01(1)(b.1)). Claims about the environmental benefits of a business or business activity must be based on adequate and proper substantiation (paragraph 74.01(1)(b.2)); since 26 March 2026 that substantiation no longer has to follow an internationally recognized methodology, and private parties cannot seek leave to bring (b.2) cases. For corporations, administrative monetary penalties can reach the greater of CAD 10 million (CAD 15 million for later orders) and three times the benefit derived or, if that cannot be determined, 3 percent of annual worldwide gross revenues.

Enforcement

Mandatory

Effective date

20 June 2024

Covered entities

Any person making representations to the public in Canada about a product, business or business activity that relate to environmental or social benefits or effects

In-scope entities and government institutions must file an annual report to the Minister of Public Safety by 31 May describing the steps taken in the prior financial year to prevent and reduce forced labour and child labour risks in their activities and supply chains, and publish the report on their website. The Act amends the Customs Tariff to prohibit imports of goods made with forced or child labour. Offences carry fines up to CAD 250,000 and director/officer liability.

Enforcement

Mandatory

Effective date

1 January 2024; first annual reports due by 31 May 2024 and each 31 May thereafter

Covered entities

Government institutions producing, purchasing, or distributing goods, plus 'entities' (corporations, trusts, partnerships, or other unincorporated organisations) that are listed on a Canadian stock exchange, or have a place of business in Canada, do business in Canada, or have assets in Canada and meet at least two of: CAD 20 million in assets, CAD 40 million in revenue, or 250 employees on average (worldwide, in at least one of the two most recent financial years), and are involved in producing, importing, or distributing goods.

EPR in Canada is set province by province under the CCME action plan, with British Columbia, Ontario and Quebec running the most developed full producer-funded systems for packaging, paper, electronics, batteries and other product streams. Ottawa has no overarching federal EPR statute; CEPA underpins toxic-substances rules and federal coordination, while provinces operate the schemes through PROs such as Recycle BC, Circular Materials and Éco Entreprises Québec.

Enforcement

Mandatory

Effective date

BC packaging EPR since 19 May 2014; Ontario Blue Box transition to full producer responsibility ran 1 July 2023 to 31 December 2025; Quebec modernized packaging EPR effective 1 January 2025; Alberta packaging, paper and hazardous and special products EPR launched 1 April 2025 (remaining communities 1 October 2026); EEE, batteries, tires and paint schemes since the 2000s

Covered entities

Producers (brand owners, first importers, distributors) of packaging, printed paper, EEE, batteries, tyres, paint, lamps, used oil and other regulated products in each province; thresholds vary (e.g., Ontario small-producer exemption below CAD 2 million revenue or 1 tonne supplied)