How drones are transforming Canada’s energy sector and what operators need to know

Author: Matthew Douglas

Drones, or remotely piloted aircraft systems (RPAS), are no longer a novelty in Canada’s energy sector. From pipeline patrols spanning hundreds of kilometers to thermal inspection of offshore platforms and wind turbines, energy companies across Canada are deploying RPAS to improve safety, reduce costs and access data that was previously impractical to obtain.

As discussed in our previous Insight, Flying into the future: What drone regulation changes mean for Canadians, the 2025 amendments to the Canadian Aviation Regulations (the 2025 RPAS Regulations) represent a watershed moment, particularly for energy operators in Canada, by enabling beyond visual line-of-sight (BVLOS) operations without the need for case-by-case Special Flight Operations Certificates (SFOC). However, with expanded operational capability comes an increasingly complex web of regulatory, privacy and insurance considerations.

The following explains how drones are being used in the Canadian energy industry and the key regulatory and legal issues operators must navigate.

How drones are being used in Canada’s energy sector

Many energy companies operating in Canada are moving well beyond pilot projects with respect to use of drones in their operations. Drones are now being deployed at scale across large and complex assets, sometimes in very challenging environments (e.g. remote lands).

The most impactful use cases of drones in the Canadian energy sector include:

Pipeline inspection and monitoring

Pipeline inspection is among the most established and high-value drone applications in the Canadian energy sector. Operators use RPAS equipped with thermal imaging cameras, gas detection sensors and LiDAR to patrol pipeline corridors, detect leaks, identify encroaching vegetation and monitor right-of-way conditions, all in real time. With Canada’s 2025 RPAS Regulations now in effect, use of RPAS in connection with pipeline inspections is becoming increasingly viable.

Facility and infrastructure inspections

Drones are routinely used to inspect flare stacks, storage tanks, processing facilities, elevated pipe racks and other tasks that traditionally required scaffolding, rope access or cherry pickers. The use of drones in these cases eliminates fall risks for personnel and deliver detailed 4K imagery and LiDAR point clouds for maintenance planning.

Autonomous drone-in-a-box operations

Leading energy companies are now deploying autonomous, docked drones (often referred to as “drone-in-a-box” systems) that conduct scheduled and on-demand inspections from fixed base stations. Examples of this within the Canadian energy industry are artificial intelligence-enabled drones to collect visual and gas-detection data, flag anomalies and allow teams to monitor upstream assets remotely from centralized control centers, reducing site visits and individuals’ exposure to hazardous environments.

Renewable energy asset management

Drones can provide great value for solar and wind operators. Thermal scans of photovoltaic arrays detect hotspots and string outages, while high-resolution imaging of wind turbine blades identifies erosion, lightning damage and leading-edge defects. These inspections produce component-level photo logs and geographic information system-linked defect registers that integrate directly into asset management systems.

Environmental and emissions monitoring

RPAS are increasingly deployed for environmental monitoring, including methane leak detection, wildlife surveys and land-use management. For Indigenous and remote communities, drones offer a practical means of conducting wildlife and environmental assessments over vast and often inaccessible territories.

Transport Canada and the Canadian Aviation Regulations

All drone operations in Canada are governed by Part IX of the Canadian Aviation Regulations. Drones weighing 250 grams or more must be registered with Transport Canada and pilots must hold a valid drone pilot certificate. Operations are classified as basic or advanced depending on proximity to bystanders and airspace complexity. The most significant recent development is the 2025 RPAS Regulations, which came into effect in November 2025. The Regulations introduced a new Level 1 Complex Operations certification pathway enabling lower-risk BVLOS flights without a SFOC, new rules for medium RPAS (25 – 150 kilograms) and the RPAS Operator Certificate for organizations conducting BVLOS operations.

Looking ahead, Transport Canada’s Notice of Proposed Amendment 2026-06 proposes remote identification requirements, a community-based organization framework and designated RPAS airspace tools. The comment period for these proposed regulations closes September 9, 2026.

Canada Energy Regulator, privacy and insurance

Federally regulated pipeline companies must also ensure drone programs are integrated into existing Canada Energy Regulator (CER)-compliant management systems for surveillance, integrity management and environmental monitoring.

With respect to privacy, the Personal Information Protection and Electronic Documents Act (Canada) and equivalent provincial privacy legislation require commercial drone operators to obtain informed consent before collecting personal information and limit data collection to what is necessary where personal information is inadvertently captured.

With respect to insurance, while drone insurance is not currently mandated by Transport Canada for all operations, it is strongly recommended – and often contractually required. Canadian energy companies should ensure their drone operations are backed by adequate aviation liability, equipment, professional and privacy/data liability coverage.

Key considerations for stakeholders operating RPAS in Canada, including those in the Canadian energy sector, include:

• Operational impact – Drones may now form critical infrastructure in Canada’s energy sector, delivering measurable safety, cost and efficiency gains across pipeline inspection, facility monitoring, renewable energy management and environmental compliance.
• Regulatory change – The 2025 RPAS Regulations enable BVLOS operations that dramatically expand the commercial viability of drone deployment, but they come with new certification and compliance obligations.
• Privacy, liability and insurance considerations – These considerations are often overlooked, but are critical to managing legal risk, particularly where operations traverse private lands and environmentally sensitive areas.

The MLT Aikins Aviation, Drones & Advanced Air Mobility group will happily assist your organization navigate Transport Canada regulatory compliance, CER integration, privacy and data governance considerations, drone service contracting and procurement, insurance and government relations.

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