The Canadian federal government is removing in situ oilsands operations from a list of projects covered by the Canadian Environmental Assessment Agency (CEAA). The decision is an extension of the overhaul of federal environmental regulation for resource projects that began with last year's budget bill.

The Canadian Association of Petroleum Producers (CAPP) arranged meetings with heads of the Canadian Environmental Assessment Agency over the past year as government decided which projects would remain under Ottawa's jurisdiction. The Canadian federal government removed some oilsands projects from a list of those requiring environmental screenings, after being told in an internal memorandum that these projects could affect water sources and harm fish habitat.