The objectives of this article are twofold: first, to examine the main conceptual dimensions of electronic government (e-government); and secondly, to critically assess both the current responses and future prospects of Canada’s public sector. The first sections of the paper are primarily conceptual as they delve into e-government’s meaning and scope by presenting a set of major thematic challenges driving public sector reform. The paper then provides a critical assessment of recent reforms and new initiatives undertaken by the Government of Canada. Building on this analysis, the article aims to sketch out the major issues and challenges likely to confront Canadian governance. Of particular interest is whether or not a sufficient balance exists in focusing on dimensions of both e-government and e-governance in order to adapt effectively to a more informational, digital and interdependent world.