Natural Resources Canada's 2026-27 Departmental plan

© His Majesty the King in Right of Canada, as represented by the Minister of Energy and Natural Resources, 2026

Catalogue Number: [M2-13E-PDF]

ISSN [2561-4029]

Aussi disponible en français sous le titre : Plan ministériels 2026-2027 Ressources naturelles Canada

Portions of this report were drafted with the assistance of generative AI tools, under human supervision, to support clarity and consistency.

• Description
• Quality of life impacts
• Indicators, results and targets
• Plans to achieve results
• Gender-based Analysis Plus
• Planned resources to achieve results
• Program inventory
• Summary of changes to reporting framework since last year

Results we plan to achieve

Enhance mineral exploration to strengthen Canadian supply chains

The Critical Minerals Geoscience and Data (CMGD) Initiative unlocks the responsible development of Canada’s critical minerals resources by providing essential knowledge and data to support informed decision-making. In 2026-27, the CMGD Initiative will:

• Release new and updated national-scale mineral potential maps and datasets for six priority critical minerals—copper, cobalt, graphite, lithium, nickel, and rare earth elements.
• Publish an updated national geological compilation map and a national rock nomenclature (WEBLEX) to support artificial intelligence (AI) and advanced analytical applications across provincial and territorial (PT) boundaries.

Updated national mineral potential map for magmatic nickel-copper-cobalt and platinum-group element deposits (Zhang and Parsa, in preparation). Areas of highest potential are shown in dark red and areas with the lowest potential in dark blue.

Arctic science and research to protect Canada’s north, foster arctic collaboration and strengthen Canada’s northern frontiers and sovereignty

As part of the government’s priority to protect Canadian sovereignty, the Department will advance strategic geoscience initiatives in Canada’s North through the GEM-GeoNorth Program to strengthen security, resilience, and sustainable development in the Arctic. These initiatives will include:

• A multi-year science collaboration with Defence Research and Development Canada to support infrastructure development at Gascoyne Inlet Camp and in the western Arctic. Data will be collected on surficial and seabed geology, permafrost, coastal change, and sea ice. Satellite imagery will also be analyzed to help identify potential landscape hazards.
• Identifying mineral and energy potential in Canada’s North through geological mapping and airborne geophysical surveys.
• Facilitating international knowledge exchange in mapping, AI, and earth observation monitoring to enhance community resilience, sustainable economic development and surveillance efforts across the Arctic through the North American and Nordic Mapping Agencies Network.

In support of Arctic science and sovereignty, NRCan and DND share resources and expertise to improve efficiency, reduce costs, and strengthen Canada’s research and readiness in extreme northern environments.

Advancing geospatial data related to Canada’s Arctic is also essential for protecting national sovereignty and promoting sustainable resource development in an increasingly contested region. To this end, the Department will continue to provide boundary certainty as well as high-precision GPS services, supporting strategic resource development and Canada's ability to assert sovereignty in the North. Through the Polar Continental Shelf Program, NRCan will also continue to enable more than 1,000 scientists and researchers to expand knowledge of Canada’s landmass.

Deliver open access to scientific data, publications and geospatial information to support informed decision-making

NRCan will continue to make authoritative and location-based science and regulatory data easily accessible through The Open Science and Data Platform (OSDP). The OSDP connects users to thousands of curated datasets, maps, environmental monitoring data, peer-reviewed science articles, impact assessments, and regulatory records.

For proponents and regulators, the OSDP supports early planning and helps align project proposals with regulatory expectations. For the public, including Indigenous communities, it improves transparency, builds trust, and enables more meaningful participation in the regulatory process.

In 2026-27, NRCan will expand the OSDP with new content needed for advancing major projects of national interest, by offering data to facilitate the review of project impacts on themes including the environment, Indigenous communities, and species at risk.

Open access to authoritative geospatial databases, including the Canada Lands Survey Records, which detail legal boundaries in areas such as First Nation reserve lands and National Parks also support land governance, land use planning, land management, and informed decision-making.

Results we plan to achieve

Protect Canadians from natural hazards and explosives

Through a suite of targeted initiatives, NRCan will strengthen Canada’s wildfire resilience by reducing risk, enhancing prevention and response capabilities with provinces and territories, and supporting Indigenous-led stewardship:

In addition, NRCan will leverage geospatial data, operate sensor networks and support emergency preparedness to protect Canadians from destructive floods and other disasters by:

• Undertaking research on the hazards and risks associated with earthquakes, landslides, volcanoes, glacier change, permafrost thaw, coastal change, and tsunamis through the Natural Hazards and Climate Change Geoscience Program.
• Enhancing space weather sensor network coverage in the Canadian High Arctic to improve the reliability of products for operational use by key stakeholders, including the Department of National Defence (DND).
• Providing specialty map products and new satellite-based methods to both mitigate and respond to disasters.
• Working with expert organizations such as the International Organization for Standardization, World Wide Consortium and the Open Geospatial Consortium to develop international standards, and influence adoption of emerging geospatial technology, data and tools to improve public safety and resilience to natural hazards.

NRCan’s Explosives Program will also continue to play a key role in keeping Canadians safe by conducting over 1,400 inspections and outreach visits annually and by monitoring and enforcing compliance with the Explosives Act and Explosives Regulations, 2013.

Results we plan to achieve

Conduct research, support communities and develop knowledge to increase resilience to climate change

Working collaboratively with partners, NRCan will help communities anticipate, plan for, and adapt to climate-related risks through the Climate Change Adaptation Program (CCAP), the Climate Resilient Coastal Communities Program (CRCC) and the Flood Hazard Identification and Mapping Program (FHIMP).

These programs advance whole-of-society objectives as outlined in the National Adaptation Strategy (NAS) Economy and Workers System by framing the economics of adaptation and climate risk and providing guidance on climate resilience for coastal communities and businesses. Early outcomes, as well as gaps, will be reflected in the NAS 2026 Interim Progress Report

The CRCC funds projects across Canada’s three marine coasts and the Great Lakes–St. Lawrence region, which bring together governments, the private sector, Indigenous communities, academia, and NGOs to co-develop short- and long-term adaptation actions and deliver innovative, cost-effective solutions.

The FHIMP produces high-quality flood mapping that is current and accessible to help governments, communities, and individuals understand flood hazards and implement mitigation strategies. The program will deliver over 330 flood mapping projects through $77 million of shared investment with provinces and territories and produce more than 1,000 flood hazard maps across Canada.

• Description
• Quality of life impacts
• Indicators, results and targets
• Plans to achieve results
• Gender-based Analysis Plus
• Planned resources to achieve results
• Program inventory
• Summary of changes to reporting framework since last year

Results we plan to achieve

Reduce barriers to innovation to grow as an energy superpower

NRCan will continue to fulfill its legislated responsibilities to deliver the Clean Economy Investment Tax Credits (ITCs), helping ensure investments flow to projects that help Canada flourish into an innovative energy superpower. NRCan’s role supports investment decisions to help proponents move forward with their projects by:

• Providing timely and accurate project evaluations, where relevant, for the suite of Clean Economy ITCs. This enables taxpayers to file claims with the Canada Revenue Agency (CRA) to receive the credits.
• Responding to taxpayer enquiries on scientific and engineering matters of eligibility and providing taxpayers with technical opinions related to the Clean Economy ITCs.
• Collaborating with the CRA on ITC implementation, taxpayer outreach and legislative interpretations.
• Supporting Finance Canada on the design of Clean Economy ITCs and legislative amendments.

To advance research, development and demonstration (RD&D) of new energy technologies and solutions, NRCan will continue investing in initiatives such as the Energy Innovation Program; the Program of Energy Research and Development; the Carbon Management suite of activities; and the Greener Neighbourhoods Pilot Program. The Department will also continue to:

• Advance RD&D across critical minerals value chains for dual-use (energy and defence) applications as part of the department’s support for Canada’s Defence Industrial Strategy Early Moves Initiative.
• Drive innovation in key focus areas such as carbon management, clean and sustainable fuels, electricity, batteries, smart grids, transportation, buildings, methane, industry and AI. Targeted grants and contributions, world-class research in federal labs such as CanmetENERGY, and collaborations with key stakeholders will help conventional resource industries decarbonize and grow.
• Play an international leadership role through Mission Innovation and the International Energy Agency as well as the Generation IV International Forum through the Nuclear Energy Agency to build collaboration that accelerates energy RD&D globally.

Advance resource and energy innovation and efficiency

During the G7 Leaders’ Summit in Kananaskis, Alberta, June 2025, Prime Minister Carney announced Canada’s commitment to investing in made-in Canada AI technologies and solutions that accelerate energy innovation domestically. In response, NRCan’s Energy Innovation Program launched the AI for Canadian Energy Innovation Call for Proposals that will:

• Support high-impact projects that catalyze national expertise to develop and use novel Canadian-made AI solutions to accelerate domestic energy innovation.
• Bring together AI and energy technology innovators to promote knowledge exchange in Canadian energy data availability, accessibility, and security across the energy innovation ecosystem, while developing and using AI solutions that lower the cost, time and/or energy use of domestic energy innovation.

NRCan will also strengthen energy innovation by continuing to support Innovation, Science and Economic Development Canada’s (ISED) “Sovereign Compute” investments and the Pan-Canadian AI Strategy by providing expertise on energy and natural resource use related to data centres, project investment decisions and the federal AI strategy.

NRCan will continue to drive innovation in clean fuel production, storage and transformation through a series of actions including:

• Continuing the Clean Fuels Fund, launched in 2021 with a $1.5 billion investment to support clean fuel production and biomass supply chains. Initially set to end in 2026, the program was retooled and extended to 2030 in Budget 2024. Funded projects include new production capacity for a diverse mix of clean fuels such as ethanol, renewable natural gas, low-carbon hydrogen, and hydrogen-derived renewable diesel.
• Addressing gaps in codes and standards for clean fuels production, delivery and storage, and end-use in Canada, and implementing recommendations in the Canadian Hydrogen Codes and Standards Roadmap.
• Helping to lower operating costs of freight companies through the Green Freight Program and increasing the competitiveness of the freight sector to help make the movement of goods more efficient, affordable and cleaner for all Canadians.

To advance the transformation of the Canadian forest sector, the Forest Innovation Program (FIP) will expand contributions towards the development of domestic and international codes and standards and further accelerate the growth of new bioproducts and promote market diversification. The FIP provides funding to research organizations to facilitate the development of new bio-based projects and technologies to improve the sustainability and productivity of the Canadian forest sector.

Results we plan to achieve

Promote economic growth through natural resource projects and technology

NRCan will continue to support nuclear innovation by advancing Canada’s successful CANDU technology, the use of small modular reactors, and fusion development. NRCan is:

• Launching a Nuclear Energy Strategy that presents a vision for maximizing the nuclear sector’s potential and leveraging nuclear energy to address energy security, economic development, and sustainability domestically and internationally.
• Exploring the feasibility of utilizing nuclear microreactors with a study currently in development and anticipated completion by 2027.
• Continuing domestic and international collaboration on fusion, including with the UK.

NRCan will continue to prioritize support for the development of competitive clean and conventional energy projects that have the potential to advance Canada’s economic growth, energy security, climate competitiveness and trade diversification objectives. Specifically, NRCan will:

Results we plan to achieve

Make energy and energy products more accessible and affordable for Canadians

Energy efficiency remains a foundational driver of Canada’s climate and economic goals, a key tool to address energy affordability, reduce emissions, improve quality of life and strengthen industrial competitiveness.

In 2026-27, NRCan will continue delivering a series of programs and initiatives that help reduce energy use and bills for Canadians:

In Budget 2025, the government proposed to modernise the Energy Efficiency Act. With Royal Assent, NRCan will implement proposed amendments to the Act to enable continued energy use reductions in modern marketplaces, bringing down costs for Canadians and businesses, enhancing Canada’s climate competitiveness, while streamlining regulatory processes.

In addition, the Zero Emission Vehicles Infrastructure Program will continue to enable the transition to zero emission vehicles by supporting the deployment of electric vehicle chargers and hydrogen refuelling stations where Canadians live, work, travel, and play.

Support Canadian Sectors Through Economic Challenges

Canada’s forest sector provides thousands of jobs across the country and plays a key role in sustaining communities and delivering affordable housing. To help the forest sector restructure and transform over the long term and reduce the impact of tariffs, NRCan will:

• Stimulate demand for Canadian lumber and engineered wood products, supporting jobs and strengthening communities where forestry is a key economic driver.
• Work alongside Build Canada Homes to help accelerate the adoption of innovative wood products to make building practices more affordable.
• Through the recently launched Canadian Forest Sector Transformation Task Force (Task Force), explore ways to restructure for long-term success. The Task Force will have 90 days to solicit recommendations on how to expand the use of modern construction methods (including mass timber and modular systems), diversify products, identify new markets and enhance productivity.
• Provide a single-window path-finding service to make it easier for forest sector businesses and employees to navigate and apply to federal programs.

The industrial sector is a major energy user, accounting for roughly 40% of Canada’s annual energy use. Energy costs can be significant for the sector, representing almost 50% of overall input costs in certain subsectors.^{Footnote 9} Improving energy efficiency allows industrial facilities to lower their energy input costs, which can make them more productive and competitive.

In 2026-27, NRCan will continue to deliver a suite of energy efficiency programming including the Green Industrial and Manufacturing Facilities Program (GIFMP), that provides cost-shared financial assistance to drive uptake of energy efficiency and energy management solutions in Canadian industrial and manufacturing facilities. Between now and the program’s end date of March 31, 2027, GIFMP support for the industrial sector will be maximized through new and existing projects.

In parallel, NRCan will work to strengthen industrial energy management across Canada through the development and promotion of updated standards, guidelines, benchmarking, and certification tools. An updated Energy Management Information System Guidance Handbook will help energy professionals apply the latest best practices. Through the Canadian Industrial Partnership for Energy Conservation, NRCan will continue to expand industry engagement and knowledge sharing.

Improve Canadian buildings by enabling retrofits and adoption of codes

The Codes Acceleration Fund (CAF) supports Canadian and Indigenous governments in adopting and in implementing the highest feasible energy performance tiers of the national model energy codes or equivalents. Projects help ensure homes and buildings are built to higher energy-efficiency standards from the start, delivering affordable operations and long-term value. In 2026-27, NRCan will fund new projects and continue to bring nationwide recipients together through the CAF Virtual Conference to share accomplishments, best practices, tools and resources.

The Deep Retrofit Accelerator Initiative funds a network of Retrofit Accelerators across the country, including in Indigenous communities, that help owners of large commercial, institutional, and multi-unit residential buildings undertake deep retrofits. In 2026-27, NRCan will:

• Fund new projects focused on building capacity to address persistent retrofit barriers.
• Work with Retrofit Accelerators to advance the network and to foster collaboration and information sharing.
• Update the Retrofit Hub with a new Retrofit Tool Kit offering up-to-date guidance on retrofits to building owners.

• Description
• Quality of life impacts
• Indicators, results and targets
• Plans to achieve results
• Gender-based Analysis Plus
• Planned resources to achieve results
• Program inventory
• Summary of changes to reporting framework since last year

Results we plan to achieve

Diversify markets for Canada’s energy and natural resources

In support of Canada’s Trade Diversification Strategy and the Prime Minister’s commitment to double non-US exports by 2035, NRCan will strengthen its international trade and investment partnerships with key Government of Canada partners, including Global Affairs Canada (GAC). Key activities will cover:

• Identifying new and priority international markets for energy and natural resource exports and investment attraction.
• Training GAC’s Trade Commissioner Service in priority global markets on energy and natural resource sectors.
• Analyzing trade and investment data to better target efforts and aligning interdepartmental and intergovernmental strategies to support trade diversification focused on energy and natural resources.

In addition, the Department will advance preparations for, and the execution of, the planned July 2026 Review of the Canada-United States-Mexico Agreement (CUSMA) by:

• Consulting with stakeholders in Canada’s energy and natural resource sectors to identify and establish clear priorities for engagement with the U.S. and Mexico.
• Providing sector-specific insights and expertise on energy and natural resources to Government of Canada negotiating leads throughout the review process.

The Government continues to prioritize Canada’s energy security, and leadership in clean and conventional energy worldwide. To advance these goals, the Department will:

• Report and advise on crude oil, natural gas and refined product markets, and collaborate with industry, the International Energy Agency, and PTs on regional/domestic energy security and response in the event of an energy supply disruption.
• Advance diversification of natural gas, oil and value-added exports to Asia and Europe, including through aligned federal-provincial policies.
• Promote the development of emissions-differentiated markets for natural gas by strengthening measurement, monitoring, reporting, and verification of emissions associated with natural gas exports.
• Strengthen Canada’s profile as a reliable supplier of clean and conventional energy through active engagement in key international fora, such as the G7, G20, APEC, the Clean Energy Ministerial and the International Energy Agency.
• Engage in government-to-government technical knowledge transfer with key developing country partners to ensure policy, regulatory and technical approaches are aligned to reduce/eliminate technical barriers to trade; and continue delivering the Technical Assistance Partnership Program.

To strengthen Canada’s natural resource sectors and internal trade, and to support climate competitiveness, NRCan will lead the following collaborative efforts:

• Engage with provinces, territories, federal departments, key stakeholders, and Indigenous groups to advance shared priorities, including developing and diversifying domestic markets
• Work with ECCC, Finance, and other federal partners to implement Canada’s Climate Competitiveness Strategy (CCS). The CCS aims to strengthen domestic markets by building critical infrastructure projects while creating green jobs and skills and implementing changes to carbon pricing and regulations.
• Support forest sector product and international market diversification through the renewed Global Forest Leadership Program for targeted development of lumber and pulp & paper exports, alongside industry-led strategies to develop markets.
• Coordinate pan-Canadian efforts to accelerate the development of domestic priority codes, standards, and materials in the forest sector to permit trade and support market access for new forest products. Targeted programs will be offered to historically underrepresented groups (First Nations, Métis, and Inuit) to enhance their participation.
• Promote nuclear energy exports and strategic engagement in key export markets

NRCan will continue to drive sustainable construction and forest sector competitiveness by investing in technologies that expand the use of wood-based building materials and strengthen supply chain capacity.

• The Green Construction through Wood Program funds demonstration projects that promote wood-based products, systems and technologies, such as modular and prefabricated mass timber components, and the use of wood in professional design and construction. These projects support forest sector resilience by advancing innovative, low carbon building materials and boosting local demand and markets for Canadian lumber.
• The Investments in Forest Industry Transformation (IFIT) supports projects that help address supply chain bottlenecks. IFIT promotes innovative, scalable, and low-carbon solutions that accelerate construction, enable mid-rise and high-rise residential construction, reduce costs and improve resilience and innovation in supply chains.

Position Canada as a leader and supplier of choice for critical minerals essential for economic security and prosperity

Canada has the critical mineral resources the world and our allies need. To strengthen critical minerals supply chains and Canada’s competitiveness, NRCan will continue to take a strategic approach by leading the Canadian Critical Minerals Strategy (CCMS). The Strategy will unlock potential in mineral-rich regions, expand the entire value chain - from extraction to processing, manufacturing and recycling, and enable meaningful Indigenous economic participation by:

• Advancing projects and partnerships under the G7 Critical Minerals Action Plan and the Critical Minerals Production Alliance to accelerate the development and security of critical minerals supply chains essential for defence, clean energy, and advanced manufacturing.
• Implementing a Canadian critical mineral stockpiling mechanism as part of Canada’s Defence Industrial Strategy, in close collaboration with PSPC, DND and ISED, and in coordination with G7 and NATO partners.
• Developing the Critical Minerals Sovereign Fund to make strategic investments in critical minerals projects and companies, including equity investments, loan guarantees, and offtake agreements.
• Finalizing project agreements under the 2025-26 Critical Minerals Infrastructure Fund (CMIF) calls for proposals and launching the First and Last Mile Fund to support enabling infrastructure projects and mine site development.
• Launching a joint Expression of Interest under the Critical Minerals Research, Development and Demonstration and Global Partnerships Initiative programs to support transformative domestic and international projects that strengthen critical mineral value chains, advance international and defence priorities, and accelerate commercialization.
• Expanding Rare Earth Development and Innovation activities to include innovation projects and developing a Canadian community of practice for the Mining Value from Waste Program.

Results we plan to achieve

Increase economic growth for all Canadians by getting major projects built faster

The Department remains committed to delivering on the government’s objective of accelerating the approvals required to build big things, including the LNG facilities, mining and nuclear projects, and clean energy infrastructure Canada’s economy needs to remain strong, sustainable and sovereign. NRCan is working on a suite of initiatives focused on advancing major projects more efficiently by streamlining regulatory processes, modernizing impact assessments, strengthening Indigenous engagement in major project reviews, and coordinating financing. These include:

Support skills development and employment in the natural resources sector

Budget 2025 renewed the horizontal Youth Employment and Skills Strategy (YESS) with $307.9M in 2026-27 and 2027-28 to create 40,000 jobs and skills training opportunities for youth across Canada. As part of the YESS, NRCan’s Science and Technology Internship Program– Green Jobs is expected to receive funding to create employment opportunities for youth (aged 15-30) in the natural resources sector.

As Canada undergoes a major economic transition—driven by global trade shifts, emerging technologies, and the push to reduce emissions—Canadian workers remain essential. Canada’s 2026–2030 Sustainable Jobs Action Plan (to be released in early 2026) outlines the Government’s approach to supporting sectors and workers in transition while building a strong and resilient Canadian economy. The plan will bring together actions to:

• Create economic and employment opportunities across Canada;
• Invest in Canada’s workforce to ensure Canadian workers are equipped with the skills and training needed to thrive; and
• Support workers, businesses and communities navigating periods of economic transformation.

Advance Indigenous reconciliation, including economic inclusion, regulatory efficiency and resource partnerships

The Department will continue advancing a comprehensive approach to ensuring meaningful Crown consultation and inclusive participation in major resource projects through a series of targeted initiatives, including:

• Description
• Plans to achieve results
• Planned resources to achieve results
• Planning for contracts awarded to Indigenous businesses

• Related government priorities
• Key risks

• Spending
• Funding
• Future-oriented condensed statement of operations
• Human resources

Natural Resource Science and Risk Mitigation (18%) – provides leadership in foundational science and shares expertise for managing Canada’s natural resources, reducing the impacts of climate change and mitigating risks from natural disasters and explosives. Planned spending within this core responsibility includes programs such as Growing Canada’s Forests (2 Billion Trees), Fighting and Managing Wildfire in a Changing Climate, Wildfire Resilient Futures Initiative, Flood Hazard Identification and Mapping, United Nations Commission on Limits of Continental Shelf.

Innovative and Sustainable Natural Resources Development (33%) – provides leadership in the transformation to a low-carbon economy by improving the environmental performance of Canada’s natural resource sectors through innovation and sustainable development and use. Planned spending within this core responsibility includes programs such as Smart Renewable Electrification Pathways, Oil to Heat Pump Affordability, Energy Innovation Program, Clean Fuels Fund, Zero Emission Vehicle Infrastructure.

Globally Competitive Natural Resource Sectors (44%) – supports the advancement and promotion of market access, inclusiveness and competitiveness for Canada’s natural resource sectors, in support of jobs and economic growth. Also includes statutory payments for offshore petroleum. Planned spending within this core responsibility includes programs such as Newfoundland Offshore Petroleum Resource Board, Critical Minerals Infrastructure Fund, First and Last Mile Fund, Biofuels Production Incentive, and Investments in Forest Industry Transformation.

Internal services (4%) – supports the abovementioned Departmental mandates, help meets corporate obligations and ensure effective and efficient delivery of programs.

Actual spending for 2024-25 was $4,420 million, a year-over-year increase of $953 million (27%) from 2023-24 actual spending. The increase is mainly due to:

• Incremental spending of $610 million in grants and contributions for programs aimed at Greener Homes (including Oil to Heat Pumps), Electricity Pre-development Program, 2 Billion Trees (2BT) and Energy Efficiency. These programs experienced increased spending as they mature within their program lifecycle, additional contribution agreements are signed, and as applicants continue to seek reimbursement for eligible expenses.
• Increase of $348 million in Statutory Vote, specifically attributed to the Newfoundland Offshore Petroleum Resource Revenue Fund. The fund recorded an increase in royalty payments and Corporate Income Tax as a result of increased production levels at the Hibernia and Hebron offshore oil fields. NRCan serves as an intermediary, facilitating the flow through of applicable funds to the Province of Newfoundland and Labrador.

These increases in spending were partially offset by reduced spending due to:

• Reduced funding profile for NRCan’s investment in Smart Renewable Electrification Pathways, Zero Emission Vehicle Infrastructure Program and Clean Fuels Fund.

Forecasted spending for 2025-26 was $4,556 million, a year-over-year increase of $136 million (3%) from 2024-25 actual spending. The increase is mostly attributed to additional spending in grants and contributions for programs supporting the planting of new trees (2BT), energy research development and demonstration (Energy Innovation Program), switch from oil heating to new, energy-efficient heat pumps (Oil to Heat Pump), reduction of capital investment risks required to build new or expand existing clean fuel production facilities (Clean Fuels Fund), as well as, higher anticipated royalties from Offshore oil and gas.

These increases were partially offset by reduced planned spending for sustaining the advancement of Canada's Forest Economy, improving energy efficiency in homes (Greener Homes), as well as supporting early-stage activities (planning, studies, design) for large, clean electricity projects (Electricity Pre-development Program).

The overall decrease of $1,199 million (25%) from 2026-27 to 2028-29 is mainly due to a combination of reductions in planned spending and sunsetting of programs such: Fighting and Managing Wildfires in Changing Climate, Clean Fuels Fund, Statutory Offshore Payments, Oil to Heat Pump Affordability, Biofuels Production Incentive and Zero Emission Vehicle Infrastructure. The renewal of some of these programs will be requested in future federal budget exercises.

These reductions were offset by incremental planned spending for supporting the development of critical minerals projects and supply chains at the upstream and midstream segments, focusing on bringing near-term projects into production (First and Last Mile Fund), providing low-to-median-income homeowners and tenants with no-cost home retrofits (Canada Greener Homes Affordability Program), and support the deployment of grid modernization, energy storage and renewable energy technologies in every region of Canada, helping to grow the grid in a sustainable, affordable and reliable manner (Smart Renewable and Electrification Pathways Program).

Planned spending in Voted authorities from 2026-27 to 2028-29 is declining, mainly due to reduced funding profiles for major initiatives and sunsetting programs. Sunsetting programs could be renewed pending future budgetary decisions. Outcomes of such decisions will be reflected in the Department’s future budget exercises and Estimates documents.

Planned spending in Statutory authorities shows a variation from 2026-27 to 2028-29 mainly due to the Atlantic Offshore Accounts. Statutory payment obligations under these accords are largely driven by oil and gas prices, production levels and anticipated corporate income taxes related to offshore operations. The planned spending is based on the Department's economic modeling forecasts prepared in the fall of 2025. In comparison, the 2025-26 forecast for the Atlantic Offshore Accounts is lower due to anticipated lower commodity prices, exchange rates, and increased project expenditures.

Total expenses are projected to increase by $45 million, from $4,550 million in 2025-26 to $4,595 million in 2026-27, mainly explained by:

An increase of $298 million in Globally Competitive Natural Resource Sectors mainly related to:

• An increase of $291 million, primarily in the Biofuels Production Incentive Program, the Critical Minerals Infrastructure Fund, Offshore Statutory accounts and the Global Forest Leadership Program, offset by
• A decrease of $23 million related to the Youth Employment and Skills Strategy program and the Indigenous Loan Guarantee Program.

A decrease of $264 million in Innovative and Sustainable Natural Resources Development mainly due to:

• A decrease of $387 million related to the Greener Homes Program, the Clean Fuels Fund, the Electricity Pre-Development Program, the Zero Emission Vehicle Infrastructure Program, and the Energy Innovation Program; offset by
• An increase of $144 million mainly related to the Smart Renewables and Electrification Pathways program.

Net revenues for 2025-26 are reported at $32 million while the net revenues for 2026-27 are estimated at $30 million, reflecting an insignificant variance.

For 2023-24 and 2024-25, the figures represent the FTEs as reported in the Departmental Results Report while 2025-26 represents the forecasted FTEs at year-end.

Increase of 388 from 2023-24 to 2024-25 is mainly driven by investments in new programs and activities to reduce wildland fire risk in our communities and landscapes (Wildfire Resilient Future Initiative), fill gaps in forest and environmental data and improve reporting on forest carbon, forest degradation, and Canadian primary forests (ForSITE), provide financial assistance to help Canadians switch from Oil heating to eligible heat pump systems (Oil to Heat Pump) and enhance Canada’s role in building resilient, secure and sustainable critical minerals supply chains (Global Partnership Initiative).

Decrease of 103 from 2024-25 to 2025-26 is driven by a combination of sunsetting programs and reduction in funding profiles of major initiatives such as securing the critical minerals required to transition to a low-carbon economy (Critical Minerals), advancing clean energy technologies to maintain a competitive, reliable, and affordable energy system while transitioning to a low-carbon economy (Energy Innovation Program), shifting from fossil fuels to electric heating, promoting low-carbon materials via a new Innovation Hub, and updating building codes to require higher energy performance (National Net Zero Buildings Strategy) and providing information, tools and links to support land survey work conducted on First Nations lands (First Nation Land Management).

For 2026-27 to 2028-29, the figures represent total Planned FTEs to support NRCan approved program activities.

Decrease of 708 in FTEs is mostly driven by a combination of sunsetting programs and reduction in funding profiles of major initiatives such as reducing emissions for energy and industrial activities where neither electrification nor low carbon fuels are able to provide technically or economically feasible low-carbon solutions (CCUS), securing the critical minerals required to transition to a low-carbon economy (Critical Minerals), invests in new programs and activities to reduce wildland fire risk in our communities and landscapes (Wildfire Resilient Futures Initiative) and providing scientific expertise, reviewing project components (especially for explosives), and assessing socio-economic effects for major projects (Impact Assessment).

As other new initiatives are undertaken or existing programs are renewed, plans for future FTE requirements will be adjusted accordingly.

Appropriate minister(s): The Honourable Tim Hodgson, P.C., M.P.

Institutional head: Greg Orencsak

Ministerial portfolio:

• Atomic Energy of Canada Limited;
• Canada Energy Regulator;
• Canadian Nuclear Safety Commission;
• Canada-Newfoundland and Labrador Offshore Energy Regulator ;
• Canada-Nova Scotia Offshore Energy Regulator;
• Northern Pipeline Agency; and,
• Energy Supplies Allocation Board (inactive).

Enabling instrument(s):

• Department of Natural Resources Act;
• Resources and Technical Surveys Act;
• Forestry Act;
• Canada-Newfoundland and Labrador Atlantic Accord and Offshore Renewable Energy Management Act; and,
• Canada-Nova Scotia Petroleum Resources Accord Implementation and Offshore Renewable Energy Management Act.

Year of incorporation / commencement: 1994

Address:

Natural Resources Canada
580 Booth Street
Ottawa, Ontario
K1A 0E4
Canada

Email: media@nrcan-rncan.gc.ca

Website(s): https://natural-resources.canada.ca/home

appropriation (crédit)

Any authority of Parliament to pay money out of the Consolidated Revenue Fund.

budgetary expenditures (dépenses budgétaires)

Operating and capital expenditures; transfer payments to other levels of government, departments or individuals; and payments to Crown corporations.

core responsibility (responsabilité essentielle)

An enduring function or role performed by a department. The intentions of the department with respect to a core responsibility are reflected in one or more related departmental results that the department seeks to contribute to or influence.

Departmental Plan (plan ministériel)

A report on the plans and expected performance of an appropriated department over a 3year period. Departmental Plans are usually tabled in Parliament each spring.

departmental result (résultat ministériel)

A consequence or outcome that a department seeks to achieve. A departmental result is often outside departments' immediate control, but it should be influenced by program-level outcomes.

departmental result indicator (indicateur de résultat ministériel)

A quantitative measure of progress on a departmental result.

departmental results framework (cadre ministériel des résultats)

A framework that connects the department's core responsibilities to its departmental results and departmental result indicators.

Departmental Results Report (rapport sur les résultats ministériels)

A report on a department's actual accomplishments against the plans, priorities and expected results set out in the corresponding Departmental Plan.

full-time equivalent (équivalent temps plein)

A measure of the extent to which an employee represents a full person-year charge against a departmental budget. For a particular position, the full-time equivalent figure is the ratio of number of hours the person actually works divided by the standard number of hours set out in the person's collective agreement.

gender-based analysis plus (GBA Plus) (analyse comparative entre les sexes plus [ACS Plus])

Is an analytical tool used to support the development of responsive and inclusive policies, programs, and other initiatives. GBA Plus is a process for understanding who is impacted by the issue or opportunity being addressed by the initiative; identifying how the initiative could be tailored to meet diverse needs of the people most impacted; and anticipating and mitigating any barriers to accessing or benefitting from the initiative. GBA Plus is an intersectional analysis that goes beyond biological (sex) and socio-cultural (gender) differences to consider other factors, such as age, disability, education, ethnicity, economic status, geography (including rurality), language, race, religion, and sexual orientation.

Using GBA Plus involves taking a gender- and diversity-sensitive approach to our work. Considering all intersecting identity factors as part of GBA Plus, not only sex and gender, is a Government of Canada commitment.

government priorities (priorités gouvernementales)

For the purpose of the 2026-27 Departmental Plan, government priorities are the high-level themes outlining the government's agenda in the 2025 Speech from the Throne.

horizontal initiative (initiative horizontale)

An initiative where two or more federal departments are given funding to pursue a shared outcome, often linked to a government priority.

Indigenous business (entreprise autochtones)

Requirements for verifying Indigenous businesses for the purposes of the departmental result report are available through the Indigenous Services Canada Mandatory minimum 5% Indigenous procurement target website.

nonbudgetary expenditures (dépenses non budgétaires)

Non-budgetary authorities that comprise assets and liabilities transactions for loans, investments and advances, or specified purpose accounts, that have been established under specific statutes or under non-statutory authorities in the Estimates and elsewhere. Non-budgetary transactions are those expenditures and receipts related to the government's financial claims on, and obligations to, outside parties. These consist of transactions in loans, investments and advances; in cash and accounts receivable; ii public money received or collected for specified purposes; and in all other assets and liabilities. Other assets and liabilities, not specifically defined in G to P authority codes are to be recorded to an R authority code, which is the residual authority code for all other assets and liabilities.

performance (rendement)

What a department did with its resources to achieve its results, how well those results compare to what the department intended to achieve, and how well lessons learned have been identified.

performance indicator (indicateur de rendement)

A qualitative or quantitative means of measuring an output or outcome, with the intention of gauging the performance of an department, program, policy or initiative respecting expected results.

plan (plan)

The articulation of strategic choices, which provides information on how a department intends to achieve its priorities and associated results. Generally, a plan will explain the logic behind the strategies chosen and tend to focus on actions that lead to the expected result.

planned spending (dépenses prévues)

For Departmental Plans and Departmental Results Reports, planned spending refers to those amounts presented in Main Estimates.

A department is expected to be aware of the authorities that it has sought and received. The determination of planned spending is a departmental responsibility, and departments must be able to defend the expenditure and accrual numbers presented in their Departmental Plans and Departmental Results Reports.

program (programme)

Individual or groups of services, activities or combinations thereof that are managed together within the department and focus on a specific set of outputs, outcomes or service levels.

program inventory (répertoire des programmes)

Identifies all the department's programs and describes how resources are organized to contribute to the department's core responsibilities and results.

result (résultat)

A consequence attributed, in part, to a department, policy, program or initiative. Results are not within the control of a single department, policy, program or initiative; instead they are within the area of the department's influence.

statutory expenditures (dépenses législatives)

Expenditures that Parliament has approved through legislation other than appropriation acts. The legislation sets out the purpose of the expenditures and the terms and conditions under which they may be made.

target (cible)

A measurable performance or success level that a department, program or initiative plans to achieve within a specified time period. Targets can be either quantitative or qualitative.

voted expenditures (dépenses votées)

Expenditures that Parliament approves annually through an appropriation act. The vote wording becomes the governing conditions under which these expenditures may be made.