The rel="canonical" attribute was recently introduced by Google (and it was also adopted by other search engines) to indicate the preferred link from a set of different URLs that generates the same content :
http://www.mydomain.com/shoes/red.html?gclid=XY
http://www.mydomain.com/shoes/index.php?product_id=10&highlight=shoes+red&cat_id=7&sessionid=21
Could rel="canonical" be used for Joomla! websites?
Yes, actually it is recommended because Joomla! or 3rd party extensions could generate different links to display the same content like in the above example.
Each URL should display unique content and this unique content should only be accessed trough a single URL.
