The Act was put forward by the Liberal government of Prime Minister Sir Wilfrid Laurier to establish a Canadian navy.
The Act intended to provide Canada with a separate naval force, but one that, if needed, could be placed under British control during a time of war.
The controversy of the naval question eventually contributed to the defeat of Laurier's government in the federal election of 1911.
The new Conservative government, led by Prime Minister Sir Robert Borden, instead proposed building three battleships or cruisers, to be put at the service of the British Navy.
[4] This indicates that The Dominion of Canada must be able to defend itself if a sea battle occur near its shores, which made it a priority in that time.
As a result, Britain withdrew their military troops and left some ships to protect their interest in Halifax.
[8] It was important to initiate a Canadian naval force in order change the picture of Canada and can defend itself against predators.
This is because many Conservatives claimed that the money would be spent on the Canadian Navy could go as a direct cash contribution to the British government.
[9] The loss of French-Canadian support for Laurier's Liberals played a key role in his party's defeat in the 1911 election.
[12] The Naval Aid Bill passed the House of Commons, where Borden's Conservatives were in the majority, but was defeated by the Liberal-dominated Senate of Canada.
Even before the outbreak of war, Germany had essentially abandoned its effort to match the Royal Navy and redirected the bulk of its resources to strengthening the army.
The strength of the British navy, combined with the strength of the French Navy and later bolstered by the entry of Italy and the United States on the Allied side, ensured that Allied control of the Atlantic sea lanes was never seriously threatened and compelled Germany to pursue less costly alternatives, submarines, in particular, to project a measure of power on the high seas.
The Naval Service Act remained in force under the Conservative government and after the conclusion of World War I.