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Wildfire Risk in Canada: Implications for Environmental Due Diligence and Redevelopment

Wildfire risks are escalating in Canada due to climate change, outdated policies, and lagging adaptation efforts. Because temperatures have been rising faster at high northern latitudes and over land rather than oceans, Canada is warming twice as fast as the global average. Experts predict Canada will experience longer fire seasons, larger and more intense fire events, and extreme fire weather, increasing risk to people, communities, and businesses in forested areas.

Canada is already experiencing intense wildfire events. The 2016 wildfire in Fort McMurray, Alberta, cost approximately $9 billion in direct and indirect physical, financial, health, and environmental impacts. It also triggered the largest evacuation in Canadian history, with more than 2,400 structures destroyed and 85,000 people displaced. The 2023 wildfires in Quebec caused economic losses of more than $8 billion. It was the most destructive wildfire season on record in Quebec. The 2024 Jasper wildfire caused $880 million in insured losses, destroying or severely damaging over one-third of the town and forcing 25,000 people to evacuate, and Ontario saw its largest-ever wildfire in the summer of 2025.

Why Consultants Should Consider Wildfire Risk

These large-scale wildfire events destroy communities, drive up insurance costs, and threaten economic security. The cost of wildfire protection has also risen by about $150 million per decade since the 1970s, exceeding $1 billion for six of the last 10 years. Both wildfire prevention and remediation costs should be significant factors in the due diligence process.

Environmental contamination from wildfires is another challenge. In northern Canada, particularly where historical mining activities have occurred, wildfires burning through peatlands can release pollutants, such as mercury and arsenic, trapped for decades or even centuries in the soil. These metals can become airborne and travel long distances, creating liability risks and increasing cleanup costs.

When it comes to property redevelopment, wildfires lead to a host of building challenges. For example, labour shortages have delayed redevelopment after wildfire losses. Other issues include lengthy permitting processes, short construction seasons because of winter weather, and logistical challenges in remote areas.

These risks and challenges underscore why consultants should consider wildfire impacts during due diligence. Evaluating wildfire risk early in site assessment and redevelopment planning can help identify potential issues, minimize unexpected costs, and support more resilient project outcomes.

Expanding Environmental Site Assessments

Canada, like the United States, is increasingly interested in climate risk assessments. CSA Z768-01 (R2022) is the go-to standard for Phase I environmental site assessments in Canada. Like ASTM E1527-21 in the U.S., CSA Z768-01 does not explicitly identify wildfires or other natural disasters as “recognized environmental conditions” (RECs) requiring investigation. But consultants are increasingly incorporating wildfire-related contamination as a site-specific environmental concern in high-risk regions.

In fact, real estate industry best practices are shifting to include consideration of wildfires and other physical climate hazards, ClimateCheck Principal Cal Inman said during a recent webinar.

Emergency Response & Remediation

When wildfire emergencies happen in Canada, they are managed first at the local and then at the provincial or territorial level. The federal government is available for additional support.

Public Safety Canada coordinates federal disaster recovery through Disaster Financial Assistance Arrangements (DFAA), which reimburse provinces for eligible debris management and cleanup after declared disasters. Provinces and territories lead wildfire response and environmental cleanup through their own emergency programs, often supported by local contractors and public health units.

Canadian wildfire cleanup follows a risk-based, standards-driven framework. The National Collaborating Centre for Environmental Health provides core guidance on ash management, re-entry, debris segregation, and worker safety. Cleanup verification relies on CCME Environmental Quality Guidelines for soil and water, while hazardous debris must be managed under CEPA and Transport of Dangerous Goods requirements.

British Columbia provides the most comprehensive example of wildfire debris and hazardous materials management at the provincial level. For example, the province’s Ministry of Environment and Climate Change Strategy has post-wildfire guidance for handling hazardous materials. That guidance:

  • Discusses how urban fires pose significant environmental hazards to water sources, roadways, recreational areas, and communities.
  • Assists communities in managing the immediate and long-term environmental risks associated with wildfires.
    Advises on the performance of environmental assessments to ensure the safe removal, storage, and containment of environmental hazards.
  • Explains how environmental sampling and monitoring are essential for characterizing the impacts of wildfires on soil and groundwater, and how sampling and monitoring programs should be designed and executed under the guidance of a qualified professional.
  • Notes that wildfire ash can contain hazardous materials, like heavy metals, asbestos, and hydrocarbons, and that it’s important to dispose of ash properly to mitigate its short- and long-term effects.

Additionally, BC’s Wildfire Land-Based Recovery program is intended to reduce the negative impacts of wildfires, including reductions in timber value and economic opportunities.

Quebec applies its Guide d’intervention – Protection des sols et réhabilitation des terrains contaminés to fire-damaged lands, establishing soil-screening levels and cleanup procedures. The Règlement sur les matières dangereuses governs the handling, transport, and disposal of hazardous materials, complementing post-wildfire remediation work. Ontario integrates existing asbestos and hazardous-waste regulations into its wildfire cleanup processes, supplemented by public-health guidance on smoke exposure and air quality during recovery.

Keep in mind that Canada does not have a dedicated federal or provincial funding program for wildfire-related environmental remediation of commercial sites. Costs are generally borne by property owners, insurers, or through limited provincial cost-sharing under DFAA. Quebec has offered short-term business recovery assistance (e.g., a $50 million fund following the 2023 wildfires), but this did not include funding for environmental cleanup.

Resilience & Adaptation

Canadian wildfire resilience involves federal programs such as the Wildfire Resilient Futures Initiative (WRFI), launched by Natural Resources Canada in 2023. This initiative, part of the Government of Canada Adaptation Action Plan, is funding up to $285 million in new programs to reduce wildland fire risk over five years. The program supports research, community adaptation, and risk-reduction planning to complement on-the-ground cleanup and redevelopment efforts. However, while Canada is committed to reducing wildfire risk, Canada’s National Building Code does not include any explicit wildfire-related provisions.

There isn’t a one-size-fits-all approach to mitigating wildfire risk across Canada’s diverse landscape. Wildfire resilience varies from community to community. For example, British Columbia’s FireSmart program is a provincial initiative aimed at reducing the risk of wildfire damage to homes, communities, and forests. Its Wildfire Mitigation Program Assessment highlights specific actions property owners can take to reduce wildfire risk.

Other approaches include Ottawa, which launched the Wildfire Resilience Consortium of Canada to strengthen wildfire science, forecasting, and training, and Quebec, which offers limited wildfire adaptation strategies.

After the devastating 2024 fire in Jasper, Parks Canada introduced stricter development regulations for the town. There is now a ban on wood siding and roofing, as well as mandatory buffer zones of nonflammable materials around homes. But Jasper still needs to update its zoning regulations to better manage wildfire risk.

Jasper’s distinct governance structure also makes managing wildfire risk more complex. It’s a town within a national park, and while the city handles local services like utilities and social programs, Parks Canada was responsible for land-use planning and forest management. But the federal government passed new legislation after the 2024 wildfire, transferring land-use planning and development authority to Jasper to expedite rebuilding efforts.

Integrating Wildfire Risk into Practice

While there have been minimal long-term shifts in policy or development practices after wildfires, efforts are underway to strengthen policies and building codes at the provincial and federal levels. Consultants who track these developments and integrate wildfire risk into environmental due diligence and redevelopment planning will be better positioned as expectations and regulatory requirements evolve. Taking these steps now will help advance safer, more sustainable redevelopment in wildfire-prone regions.

CRE MARKET UPDATE

The Latest Market Trends in the Canadian Commercial Real Estate Industry

Market holds steady despite economic uncertainty

According to Altus Group’s Investment Trend Survey, the Canadian CRE industry in Q3 2025 continued to reflect strong investor interest in stable, lower-risk assets in an uncertain economic environment. The prevailing economic uncertainty, compounded by trade volatility, prompted investors to continue a cautious approach to capital deployment.

Key Highlights:

  • The Overall Capitalization Rate (OCR) for the four benchmark asset classes* increased modestly by 4 basis points to 5.93% from Q2 2025, signaling a moderate adjustment in asset pricing across the market, driven by higher debt costs and dampened investor confidence. (* Downtown Class “AA” Office, Tier 1 Regional Mall, Single Tenant Industrial, Suburban Multiple Unit Residential) (Fig.1)
  • Vancouver, Halifax, and Quebec City emerged as the leading preferred markets for investors across all primary asset classes in Q3 2025. (Fig.2)
  • Food-anchored retail strips remained the most sought-after property type for the seventh consecutive quarter, followed by suburban multiple-unit residential and multi-tenant industrial properties. (Fig.3)
  • Multiple-unit residential in Vancouver was the top product-market combination, followed by food-anchored retail strip in Montreal and multi-tenant industrial in Vancouver. (Fig.4)
  • Despite broader market caution, the survey revealed an improvement in investor sentiment in specific segments, with 78 out of 128 product-market combinations reporting a “positive” momentum ratio (a higher percentage of respondents intended to be buyers rather than sellers in those segments), an increase of three positive segments compared to Q2 2025.

Source: Altus Group. Read the full report here.

To view larger images and dive deeper into the data, click on the images below.

Figure 1 - OCR trends for four benchmark asset classes

Figure 2 - Location barometer - All available products (Q3 2025)

Figure 3 - Property type barometer - All available products (Q3 2025)

Figure 4 - Product/market barometer - All available products (Q3 2025)

A NEW SERIES FROM ERIS

Breaking Ground: Women Making a Difference Across Canada’s Environmental Industry

Across Canada, women are redefining what leadership in environmental consulting and engineering looks like. Their work blends technical expertise, innovation, and a commitment to mentoring the next generation of professionals. In this ERIS series, Breaking Ground, we share the stories of six women who have shaped meaningful careers across the country, from early fieldwork and technical problem-solving to executive leadership and entrepreneurship. Their experiences reflect the depth, diversity, and determination that shape Canada’s environmental industry.

Each feature will highlight an individual journey, showing how each leader has adapted to industry shifts, navigated personal and professional challenges, and built teams that reflect their own values and approach to the work. Together, their stories show the strength of Canada’s environmental sector and the women shaping its future. The series will unfold over three installments, spotlighting two leaders at a time. The first will be released in early December.

Latest Developments

B.C. Continues Public Engagement Process for New Infrastructure Act

As we wrote in a recent ERIS Originals’ blog, British Columbia’s new Ministry of Infrastructure is conducting a three-phase public engagement seeking comments on key elements of the provincial Infrastructure Projects Act (Bill 15; enacted in May 2025). Here’s where the process stands.

  • Phase 1 sought input on how to define provincially significant infrastructure projects. The comment period closed on September 30, and Ministry staff are reviewing comments.
  • Phase 2 seeks input on the definition of “qualified professionals” whose work can be relied upon in accelerated reviews. The comment period has been extended to November 28, 2025.
  • Phase 3 will seek input on how to define an expedited environmental assessment process. The Ministry has not yet released the related information and did not meet its September target, so the timing for the next comment period (originally slated to close in March 2026) is uncertain.

Reporting to the Federal Plastics Registry Underway

To support Canada’s goal of zero plastic waste by 2030, Environment and Climate Change Canada (ECCC) established the Federal Plastics Registry (FPR) and regulations that set reporting requirements for targeted producers of plastic packaging, electronic and electrical equipment, and single-use or disposable products. ECCC is implementing the annual reporting framework in four phases. Phase 1, covering 2024 data, was due September 29, 2025. Additional phases will expand the scope and level of detail required in reporting.

Annual reports are required from manufacturers, importers, and marketers of 27 specified plastic resins; producers of 96 types of plastic products; generators of packaging and plastic product waste at their industrial, commercial, or institutional facility; and most recyclers and refurbishers of these plastics and plastic products.

Phase 1 reporting requirements apply to an entity/organization (those having less than 1,000 kg/yr are exempt) that imports, manufactures, and places plastic on the market in Canada in the following product categories destined for the residential waste stream: plastic packaging, filled and unfilled; electronic and electrical equipment (EEE); and single-use or disposable products. Each person submits a material report for specified resins used in the manufacturing of plastic packaging or product (with quantities and methods of calculation); an administrative report with specified organizational and activity information; and a certification that all information is accurate and complete. ECCC provides an FPR online reporting tool. Organizations in Canada should have determined by September whether to file Phase 1 reports and must continue to evaluate their activities to determine whether their handling of plastics requires reporting in subsequent phases.

Ontario Proposes Special Economic Zone Regulation

On October 2, Ontario’s Ministry of Economic Development, Job Creation and Trade issued a proposed rule and began a public consultation to define “Special Economic Zones” (SEZs) that would be subject to special regulatory treatment under the “Special Economic Zones Act, 2025” (part of Bill 5; royal assent June 5, 2025). The Act empowers the government to promulgate regulations exempting any trusted proponent or designated project within a SEZ from requirements under any Act, regulation, or other instrument, including municipal or local by-laws.

The proposal would authorize the province to do all of the following:

  • Designate SEZs – areas that are or will be economically significant or strategically important to the Ontario economy and no larger than necessary.
  • Identify trusted proponents – including the province, municipality, or a for-profit or not-for-profit enterprise with a good record of legal compliance and commitment to retain its existing ownership/leadership, and (if necessary) with a plan for working with relevant Indigenous communities.
  • Designate projects within SEZs that the Minister determines will have significant long-term economic and community benefits for the province and are likely to succeed.

Public comments were due November 16, 2025.

New Ontario Report Reminds Building Owners and Operators to Protect Against Legionellosis

On October 23, Public Health Ontario (PHO) issued a Surveillance Report summarizing laboratory-confirmed cases of Legionellosis (also called Legionnaire’s Disease) so far in 2025 and comparing this year’s data with recent trends. Legionella bacteria are found in natural waters, but most often cause health problems when they colonize heated water systems such as plumbing and cooling towers. People can become infected by breathing small droplets or contaminated water vapour; older and health-impaired individuals are most at risk. PHO reports 319 cases so far in 2025, roughly matching full-year totals for 2020-2024.

This report provides a useful reminder to building and water system operators to properly maintain and check for contamination in their systems. Information about testing and the disease is available on the website of PHO and the Public Health Agency of Canada. System construction standards appear in building and plumbing codes.

Regulatory Updates

Quebec Expands Flood Zone and Wetland-Related Requirements

Consultants conducting environmental site assessments (ESAs) and wetlands delineation in Quebec should be aware of new regulations and amendments under the Environment Quality Act published in the Official Gazette of June 25, 2025, which come into effect on March 1, 2026, and are expected to increase the number of properties in defined flood zones significantly. Of particular note are revisions to flood zone definitions in the Regulation respecting activities in wetlands, bodies of water and sensitive areas and amending the Fertilizing Residual Materials Management Code (O.C. 721-2025, amending Q-2, r. 0.1), which establishes four classes of flood intensity that reflect the probability of occurrence and above-ground flood depth: very high, high, moderate, and low flood hazard zones. The new flood zone maps are expected to be issued by the Ministry of the Environment, the Fight Against Climate Change, Wildlife and Parks (MELCCFP) in March of 2026.

Streamlining Clean Energy Project Approvals in Nova Scotia

On May 30, 2025, N.S. Reg. 93/2025 was issued to revise the Environmental Assessment Regulations with amendments that primarily focus on facilitating clean energy project approvals by moving them to the Class I Undertakings process. These projects include specified renewable energy generators, electric power transmission corridors, and renewable and alternative fuel production facilities. Key amendments include new clean energy definitions (e.g., “alternative fuel facility”) and the addition of climate change-related environmental effects to the Minister’s scope of decision factors, which now includes the positive and negative climate impacts of a project, requiring companies to address both. Finally, an additional 10 days have been added to the Class I consultation period for the public and the Mi’kmaq, bringing the total to 40 days, and more methods for notifying the public (e.g., email distribution lists, social media) are now permitted when registering a project for an environmental assessment.

New Yukon Contaminants Regulation

Issued September 25, 2025, the new Contaminants Regulation under the Environment Act repeals the Contaminated Sites Regulation and the Spills Regulations, revising and consolidating their prior provisions. The new Regulation updates the thresholds for contaminants and spill standards, streamlines and simplifies the approval process, and provides increased development opportunities, which are expected to expand based on the ability to transfer contaminated sites to another party for clean-up. The Regulation includes provisions for release and remediation reporting; contaminated site standards and a registry; restricted activity, remediation, relocation, and special waste permits; site investigation, assessment, and remediation; and certificates and statements of compliance, among others. The original effective date of September 25, 2025, has been extended to March 1, 2027, to provide a transition period.

Content provided by STP ComplianceEHS.

FEATURED ERIS PRODUCT

New Data Source! Historical Business Activity Risk (HIST RISK)

ERIS is pleased to announce the activation of a new data source, now available in British Columbia, Alberta, and Saskatchewan, and Ontario coming soon, within Database Reports and ERIS Direct searches. It’s called Historical Business Activity Risk.

You’ll see it as ‘HIST RISK’ on reports and searches. It is a proprietary list of sites identified as having potentially engaged in business activities that could pose a higher-than-normal contamination risk. These records originate from historical city directories and are included in this list based on broad business categories, such as “potentially hazardous chemical users” and “fuel and automotive,” including but not limited to dry cleaners, fuel stations, garages, and more. Inclusion in this list does not indicate that there is or has been contamination; rather, sites are included because they may have engaged in a business activity that presents an elevated risk of contamination. ERIS compiled the list from various city directories, including BC Directories, Henderson’s, Might’s, Sun Directories, Vernon’s, and Wright’s, spanning from approximately the 1920s through to 1960, depending on the information available by city.

Note: The list is currently limited to sites as reported in the following provinces: British Columbia, Alberta, and Saskatchewan; more provinces will be announced soon. As with any dataset, it can be filtered within Xplorer.

For more information, please contact your Regional Account Manager.

Spotlight On

Special Profile: A look at our new leadership team, Diana Saccone & Jeff Doerner

Diana Saccone,
Chief Operating Officer and Chief Technology Officer

Diana joined ERIS in 1999, when the company was still in its infancy. She developed an in-depth knowledge of every aspect of the company’s product and service delivery. Diana played a key role in the company’s growth in Canada and its expansion to the U.S. market. As Senior Vice President, Technology, she led the development, systems, and data teams, and drove business growth with new, leading-edge products and SaaS.

On July 1, 2025, she was appointed Chief Operating Officer and Chief Technology Officer. Diana and Jeff Doerner (see corresponding profile) now co-lead the company after the retirement of long-time President, Carol Le Noury.

In her expanded role, she will continue to lead the development of advanced technologies while also overseeing the human resources, development, data, and finance teams. As COO and CTO, she remains committed to delivering high-performance tools, streamlined workflows, ensuring financial efficiency, and scaling innovative SaaS solutions.

Known for her approachable, resilient, and patient demeanor, Diana fosters cross-functional collaboration, enhances team performance, and ensures that ERIS remains an industry-leading data and software company with a clear vision for the future.

Diana has an Honors BA in Environment & Resource Management from the University of Toronto and a Certificate in Applied Digital Geography & GIS. She recently completed the Excellence in Executive Leadership Certificate program at the University of Toronto’s Rotman School of Management. She has received several awards, including the Glacier Media* President's Club Award for Commitment & Outstanding Achievement in both 2013 and 2015.

Diana resides in Toronto, Canada, with her family, and frequently visits Ontario’s cottage country.

* Glacier Media is ERIS’ parent company.

Jeff Doerner,
Chief Revenue Officer

Jeff is an accomplished sales and business development executive with over 20 years of experience working in the environmental due diligence and M&A software space, including 10 years with ERIS. His sales acumen, experience, and assertive manner have provided the foundation of his keen understanding of multiple market segments of the environmental risk and property due diligence industry. Jeff has led ERIS’ strategic growth initiatives by working directly with clients, vendor partners, and directing our national sales and production teams in the United States and Canada.

On July 1, 2025, he was appointed Chief Revenue Officer. In his expanded role as CRO, Jeff leads the “front end” of ERIS, overseeing sales, client services, marketing, and fulfillment/production.

Jeff has an undergraduate degree in Health Systems Management from the University of Connecticut’s School of Business. He has received training in sales, customer service, and public speaking from Professional Selling Skills, Zig Ziglar, and Dale Carnegie. Jeff volunteers for both the Diabetes Research Institute and the Juvenile Diabetes Research Fund.

When not in client meetings or on internal team calls, you can find Jeff cheering on his kids at either the lacrosse field or tennis courts. He’s an avid skier and attempts to play the tricky game of golf from time to time as well. He resides in the Denver metro area and looks forward to helping ERIS achieve its sales, product, and service goals.

Upcoming Events

Upcoming Events

November 19-20, Calgary, AB: Mike Seifert will attend CANECT West.

November 27, Toronto, ON: Join Team ERIS at ONEIA’s Environment Industry Day.

December 2, Winnipeg, MB: Mike Seifert will attend MEIA’s Cleantech Conference.

January 21-22, Vancouver, BC: Join Diana Saccone and Brayden Ford at CE3C, the Canadian Environmental & Engineering Executives Conference.

January 29, Toronto, ON: Join Brayden Ford and Melissa Tran at SMART Remediation.

February 12, Ottawa, ON: Join Brayden Ford and Melissa Tran at SMART Remediation.

March 3-5, Edmonton, AB: Join Mike Seifert at CLRA AGM & Conference.

March 4, Toronto, ON: Join Brayden Ford and Melissa Tran at QPCO’s 2026 Workshop.

March 18-19, Saskatoon, SK: Join Mike Seifert at SEIMA’s SustainTech.

March TBD, Calgary, AB: Join Mike Seifert at AESAC’s Phase I ESA Certificate Training.

March TBD, Cambridge, ON: Join Melissa Tran at AESAC’s Phase I ESA Certificate Training.

April 8-10, Ottawa, ON: Join Team ERIS at RemTech East.

April 27-30, Vaughan, ON: Melissa Tran will attend CANECT.

May 27-29, Whistler, BC: Join Team ERIS at BEST.

June 2, Burlington, ON: Join Team ERIS at CBN’s Annual Conference.

Thank you for reading this issue of ERIS Insider newsletter. Our next issue will drop in June.