Good morning everyone.
It’s a pleasure to join the members of the Standing Committee on Environment and Sustainable Development to discuss the 2023‑24 Main Estimates, as well as the 2022‑23 Supplementary Estimates (B) and (C) for my portfolio, which includes Environment and Climate Change Canada, the Parks Canada Agency and the Impact Assessment Agency of Canada.
With me today are Chris Forbes, the new Deputy Minister for Environment and Climate Change Canada; Linda Drainville, Assistant Deputy Minister Corporate Services and Chief Financial Officer for Environment and Climate Change Canada; Catherine Blanchard, Vice President, Finance Directorate, Parks Canada Agency; Terence Hubbard, President of the Impact Assessment Agency of Canada; and Joelle Raffoul, Acting Vice-President, Corporate Services and Chief Financial Officer of the Impact Assessment Agency of Canada.
Before I get started, I would like to recognize that we are meeting on the traditional territory of the Algonquin Anishinaabeg, the original stewards of the lands we share today.
[English]
I take very seriously our responsibility to strengthen the nation-to-nation, Inuit-to-Crown and government-to-government relationship with first nations, Inuit and Métis, through respect, co-operation, partnership and recognition of rights.
[Translation]
I see this as critical to the ambitions and actions, throughout my portfolio, that we’re discussing today.
[English]
Let me begin with Environment and Climate Change Canada.
The department works in collaboration with Canadians across the country, with all sectors of the economy and society and all faiths, including 2SLGBTQIA+, racialized and vulnerable people of all ages and, importantly, indigenous peoples.
[Translation]
The department leads, supports, and enables ambitious actions on a wide range of issues and concerns domestically and abroad.
[English]
From tackling climate change and pollution and managing toxic substances to slowing the loss of biodiversity and protecting nature and species at risk, plus safeguarding Canadians through its weather and environment predictions, our government's success in this regard is vital to protect the health and well-being of Canadians, the economy and the environment.
[Translation]
Priorities that go hand in hand.
As you know, we are in a critical decade in which we will have to address the triple crisis of climate change, biodiversity loss and global pollution, in particular by plastic. This is a crisis that requires integrated and accelerated efforts if we want to avoid the most catastrophic impacts that threaten not just our standard of living, but also the future of humanity on this planet.
[English]
That is why the department is collaborating on a number of ambitious actions, such as achieving net-zero emissions by 2050, which is the best way to limit temperature increases to 1.5°C.
It's helping to create the conditions necessary for protecting at least 30% of lands and waters in Canada by 2030.
[Translation]
Scientific research shows this is the minimum that’s needed to address the dual crisis.
And as members of the committee know well, when it comes to the environment, collaboration defines success.
[English]
That is why I'm pleased to note that the department played a vital role in helping to ensure that the global targets align with Canada's target in the Kunming-Montreal global biodiversity framework negotiated at COP15 last December in Montreal.
[Translation]
To enable continuous progress that will enable us to achieve our goals, Environment and Climate Change Canada’s 2023‑24 Main Estimates amount to $2.4 billion, a 24% increase over last year. This includes about $1 billion for planned operating expenditures, over $100 million in planned capital expenditures and more than $1.2 billion in grants and contributions. Total statutory costs amount to $112 million.
In sum, the 2023‑24 Main Estimates represent a net increase of approximately $478 million over the total 2022‑23 Main Estimates.
[English]
This increase is primarily due to new funding for nature-based climate solutions, the recapitalized low-carbon economy fund and the low-carbon economy fund re-profile. New funding will help to protect old-growth forests by advancing urgent protection of vital ecosystems, wildlife habitats and species at risk, and by protecting carbon stores in these areas.
Recapitalizing the low-carbon economy fund will help support projects to reduce greenhouse gas emissions that both contribute to Canada's 2030 targets and align with goals for net-zero emissions by 2050.
[Translation]
This fund will support the renewal of the existing streams—the Low Carbon Economy Leadership Fund and the Low Carbon Economy Challenge Fund—and add two new streams: the Indigenous Leadership Fund to support Indigenous-led clean energy and energy efficiency projects and an Implementation Readiness Fund to support applicants advancing proven low-carbon technologies.
Through the 2022‑23 Supplementary Estimates (B) exercise, ECCC increased its reference levels in the amount of $189.7 million. This update included new funding for the highly successful United Nations Convention on Biological Diversity, COP15.
Funding sought also included initial requirements for the recapitalized Low Carbon Economy Fund as well as funding for the implementation of the next phase of the Oceans Protection Plan and for advancing a circular economy for plastics in Canada.
Mr. Chair, ECCC also participated in the 2022‑23 Supplementary Estimates (C) process in order to drive further progress in the fight against climate change and to protect and conserve nature.
Through this process, the Department’s reference levels were increased by a net amount of $15.8 million bringing the Department’s total financial authorities to $2.3 billion in 2022‑23. These Estimates included a funding transfer from Foreign Affairs, Trade and Development, to support the Partnership for Market Implementation as well as funding for the British Columbia Old Growth Nature Fund.
[English]
Mr. Chair, let's turn to Parks Canada.
[Translation]
For 2022‑23, Parks Canada received...
:
I'll just start the last paragraph again.
[Translation]
For 2022‑23, Parks Canada received $75.1 million through Supplementary Estimates (B) and sought $9.9 million through Supplementary Estimates (C).
Supplementary Estimates (B) funds helped Parks Canada invest in its assets to support transition to long-term sustainability, support the Trans Canada Trail and invest in community trail connections to Rouge National Urban Park and implement the Federal Framework to address the Legacy of Residential Schools.
Supplementary Estimates (C) funds will support disaster relief and restoration efforts through the Hurricane Recovery Fund, implement the Impact Assessment Act and transfer funds from the Department of Natural Resources to support the planting of trees at various Parks Canada administered sites.
Parks Canada’s 2023‑24 Main Estimates are $1.3 billion.
[English]
This represents an increase of $305.4 million, or 31%, when compared to last year's. This increase is primarily due to funding to help Parks Canada transition towards the long-term sustainability of its infrastructures. The Parks Canada mandate is to protect national treasures in Canada.
[Translation]
In many places, its success centres on assets, such as the Fortifications of Quebec or the Halifax Citadel.
[English]
Beyond welcoming visitors and being a source of shared pride for Canadians, assets such as the Trent-Severn Waterway and the Trans-Canada Highway also support critical functions, such as transportation, water management and services to residents and businesses.
[Translation]
Funding will initiate critical, time-sensitive work on Parks Canada’s assets. This includes high priority capital projects, asset assessments, inspections, and critical maintenance to improve asset condition and greening operations across the country.
Funding in the 2023‑24 Main Estimates will also go towards the agency’s work to support healthy natural infrastructure and increased access to nature and Canada’s conservation targets. It will also strengthen the protection and recovery of species at risk and their habitats and, importantly, advance reconciliation through Indigenous leadership in conservation.
Parks Canada is working with partners to explore the expansion of the Park System with a focus on urban parks and connecting more Canadians with nature and cultural opportunities.
The agency will continue working with partners to consider the creation or enhancement of national protected areas and cultural landscapes as well as the creation or enhancement of urban parks and ecological corridors.
[English]
Parks Canada is also committed to supporting place-based approaches to indigenous leadership and stewardship of the lands, water and ice of traditional territories, ancestral homelands and treaty lands within Parks Canada-administered places.
[Translation]
Finally, Parks Canada will continue to protect, present, and manage existing national historic sites, national parks, heritage canals, national marine conservation areas and one national urban park in Canada for the benefit and enjoyment of Canadians and visitors from around the world.
Turning now to the Impact Assessment Agency of Canada...
Colleagues, Minister, Deputy Ministers, welcome to your House of Commons. I am very happy to see you, Minister.
You all know that climate change is real and we have to make every effort to reduce pollution. Minister, I would like to point out that your official vehicle is entirely electric. I know that whenever possible, in the best of all possible worlds, you take the train to travel from Montreal to Ottawa. Last week, in fact, we cut short a conversation because you had to get to the train station.
That is why, two weeks ago, on March 13, like a lot of people, I went to the International Summit on Electric and Smart Transportation. There were thousands of people there, including the , who travelled to that event on a Challenger plane. It is a 22‑minute flight. That was not the first time the Prime Minister had used a Challenger to travel between Ottawa and Montreal. On December 6 and 7, he did that exact return trip on board a Challenger.
Let's be clear. It is to be expected that the Prime Minister will travel around Canada. It is also to be expected that there will be security measures.
However, in all sincerity, Minister, what do you think about your Prime Minister, a member of Parliament from Montreal, taking a plane just to travel between Ottawa and Montreal, a 22‑minute flight?
Is the environment really being considered?
:
That is very interesting about the train, but my question was specifically about the use of a plane, which is highly polluting, as we know, for a 22‑minute flight.
I would also point out that last week, the Prime Minister's Challenger made a ten-minute flight empty. Someone who knows a bit about aviation is well aware that take-off and landing are the points when a plane uses the most fuel. It's not when it's flying at 40,000 feet.
As Minister of the Environment, can you tell us that this was okay because it was necessary for security?
Remember your first election, in 2019: your party and your leader used two planes for travelling during the election campaign, one of which was a Boeing 737‑200, one of the most polluting planes on the market.
Minister, I will ask you the question again: as Minister of the Environment, is it not time to cut down on the use of airplanes, to be consistent, when whole days are spent all around the world lecturing everyone about the environment, as the does?
Hello, Minister.
First, I would like to thank you and the senior officials for being here today. I also want to highlight the progress that you and your team have made in implementing the calls for action that fall within your mandate.
[English]
Now I'll turn to English, which is much easier for me.
First, I want to thank you for all the work you've done for millions of Canadians in reducing our emissions and fighting climate change.
I'd like to turn to some issues that have perhaps a broader impact on that topic. I'd also like to acknowledge that my fellow committee member, Lloyd Longfield, isn't here today. He has done so much work on this and has actually prepared the questions that I am asking on his behalf.
The first question I'd like to ask is regarding the net-zero accelerator initiative. In particular, in these estimates there is a transfer of $1.26 million from the Department of Industry to the Department of the Environment. I'm wondering how specifically that is going to be used, because this is obviously a very important initiative in reaching our climate targets.
Thank you.
Thank you and all the people with you for being with us today, Minister.
I am going to start by talking about COP15 and congratulating you on the agreement being signed. I think you and everyone who attended with you influenced the outcome that led to the agreement. However, certain initiatives were taken that are contrary to biodiversity objectives. As we know, biodiversity and climate change are closely connected.
I would like you to speak about Trans Mountain. According to the information documents distributed to us for today's meeting, $2.4 million has been awarded in grants and contributions. That small amount is not what interests me; it is the $30.5 billion figure. We are talking about a 44% increase since the beginning of the pandemic, and I find this disturbing and frustrating. I understand there has been inflation, and I imagine that affects the project as well. I would note in passing that this project has been opposed by the Bloc Québécois since 2018, the year it was announced.
A number of independent analysts concluded, after this $30.5 billion was announced, that the resale of the Trans Mountain, TMX, network to private equity firms would call for guarantees from the government for the debts contracted by investors and the banks that finance them. The government said that once the sale was completed, it would be possible to recover it all. In my opinion, we can forget about that; it isn't going to work.
Minister, as you know, it is urgent that structuring measures be adopted in connection with the labour force, the legislation and strategies for reducing the carbon intensity of heavy industry sectors. It is particularly urgent that innovative technological solutions involving renewable energy be funded. These are all sectors where dollars could have been invested.
I recall that when the project was going to cost $7 or $8 or $10 billion, the leader of my party said that the Bloc Québécois was prepared to take those billions of dollars and invest them in Alberta to help oil workers get out of that field of work, but the government is still dragging us into a bottomless pit.
Can you formally recommend that we get out of the money pit that TMX represents?
:
Thank you for the question.
On the subject of the financial aspects of this project, since I am the Minister of Environment and Climate Change and not the Minister of Finance, I am not in a position to comment.
However, I can tell you that we are already investing $120 billion in the electrification of transportation, in public transit, and in clean technology. On a per capita basis, that is three times more than the Americans will be investing under the Inflation Reduction Act. In their case, we are talking about $300 billion. There are ten times as many Americans as us, and if they were investing as much per capita, they would not be investing $300 billion, they would be investing $1 trillion or something along that line.
Not a cent has been spent under the Inflation Reduction Act. It will come, but the bill still has to go through a number of steps in the United States Congress. On the other hand, we are making these investments now.
Take the example of public transit, which I know is something that you are concerned about. There are 300 public transit projects underway. This is actual construction: ground is being broken. So we haven't waited. We have started the transition in Canada.
:
There are a lot of points in what you have said, but I think they all revolve around funding for fossil fuels. As you know, at the end of last year, we ended international subsidies for fossil fuels.
For example, at Export Development Canada, or EDC, fossil fuel subsidies fell from $12 billion in recent years to almost nothing this year. On the other hand, investment in clean technology has risen by several billion dollars. This has not happened at the same pace as the reduction in fossil fuel subsidies, but it's close.
So we have reduced public investment in fossil fuels by several billion dollars and increased public investment in clean technologies by several billion dollars. If that is not the transition, I don't know what is.
That said, I am going to correct something that was said about the Kitimat project. The project was assessed under an equivalence agreement between the federal government and British Columbia. It was the province that did the assessment and greenlit the project. Obviously, Ottawa still has a role to play, but the assessment of the project was not done by the federal government, nor is it a project in which the federal government is investing. We must not mix everything up. There are private projects in which people invest private funds. This is not a government project.
Earlier, Minister, you opened the door concerning Export Development Canada. Indeed, under the Glasgow commitments, Export Development Canada must stop funding projects at the international level. However, in its most recent report, which dates from just a few weeks ago, Oil Change International noted that Export Development Canada was still funding projects in the United States, in the amount of $7.5 million. Someone is going to have to clamp down on Export Development Canada someday.
According to all credible sources, such as the World Energy Outlook report, the International Energy Agency and the IPCC, investment is needed in the fields of energy efficiency and renewable energy. This is what is important if we are to address the energy crisis, not investments in oil, gas and fossil fuels.
Canada has provided exceptions to the Glasgow commitments. I have not seen other countries do that, in everything I have read. It has provided a national security exemption, ongoing support for natural gas, and false solutions such as carbon capture and storage and hydrogen that is not green.
Why have these exceptions been made?
:
Yes, please. We'll table that—all the organizations you're funding that are potentially involved in holding up this pipeline. It's much appreciated. I'm wondering if those are included in the $22-billion cost overruns here that Canadians are bearing.
Before being elected in 2019, you more or less said—and I'm paraphrasing—that this pipeline would be built over your dead body. Now you're in cabinet, and effectively you have a different position in cabinet, but it seems you're in some kind of conflict with the here on getting this pipeline built.
Let me point out that this pipeline would benefit Canada by over $20 billion annually, yet somehow it's not being built. It continues to run into hurdles, many of which I'm pointing out here today.
Now, this is a large amount for us to actually be subsidizing, if you will, the hurdles that are ongoing. We're $22 billion over budget with years of delays, yet when we have to deliver oil to Europe, the government's response is that we can't help Europe with oil.
Can you see now the consequences of not getting Canadian resources to market effectively?
Biodiversity is declining at unprecedented rates. Habitat loss and fragmentation are important contributors to the decline. As you have stated, climate change is also increasing the likelihood of extreme temperature and precipitation and increasing the frequency and intensity of wildfires, droughts and floods.
For that reason, many species need to be able to transit from one protected place to another. Ecological corridors make a means by which species can transverse from one protected area to another.
In addition to that, it's also a tremendous opportunity to work in partnership with municipalities, stakeholders and indigenous partners, as well as to increase opportunities for indigenous people to connect to the land, be stewards and maintain that connection. It's also for communities and people to promote human and wildlife coexistence in ways that are positive, both for communities and youth—as you've mentioned previously—and for the protection of species.
Finally, it's to mitigate the effects of climate change and to foster collaborations to make that same effort.
I have a few comments, and then I will turn it over to officials.
First of all, I want to thank Ms. Collins for raising the freshwater issue. I'm just back from the UN Water Conference, the first conference of its type at the UN in 50 years.
Mr. Chair, I know that you have an abiding interest, and of course I will be sharing what I have learned with this committee as we embark on our freshwater study.
There were 6,000 delegates, 1,500 side events and 80 or so Canadians who attended. It was a very rewarding experience for us all. I want to thank our ECCC officials, particularly Michael Goffin and Gemma Boag. They put together a great program and made Canada's presence felt on the world stage, so I thank them for that.
While we were there, we heard about the $420 million that would be dedicated to the largest freshwater body on earth, the Great Lakes, so that's good news.
Can officials confirm—this is in response to some of Ms. Collins's questions—that in the last budget, 2022, we projected, booked—whatever term you want to use—I believe the figure is $47 million over five years to establish the agency and get it up and running? Are my facts correct?
Welcome to the House of Commons and the Standing Committee on Environment and Sustainable Development, ladies and gentlemen.
[English]
First of all, Mr. Forbes, you look like the new man on the team, so welcome.
You made me laugh when you said earlier that since you arrived you've received a lot of invitations. Welcome to the club. When I was appointed by my honourable leader as critic for climate change and environmental issues, on a daily basis I received around 100 invitations during the first week, each and every day. This is what Canada is all about: a wide country, 10 provinces, all localities, and first and foremost, people, because those people are very involved when we talk about climate change. This is why you have plenty of groups, and this is what we appreciate.
[Translation]
I would like to come back to the two topics I addressed a little earlier with the Minister.
To begin, I am going to talk about the 27th United Nations Conference on Climate Change, COP27, which was held in Egypt. At that event, we spent over a million dollars to pay for hotel rooms. I would like to draw your attention to one of them, the room rented at the Reef Oasis Blue Bay Resort, which seems to be a lovely place to stay. The room cost $700 a night, and it was rented for 17 nights. Although we are all concerned about the price, what I find more interesting is that someone spent 17 nights in that room when the conference lasted only 12 days.
Why was that person in that room before or after the conference?
:
I would now like to address the other subject, the use of the plane by the .
I want to be quite clear: it is entirely to be expected that the Prime Minister will travel from one end of Canada to the other to go out and meet Canadians. That is his job, and that is fine.
However, there are some very debatable ways of doing things, like return trips between Montreal and Ottawa by plane. It's a 22‑minute flight. We think that is not the right thing to do, particularly when someone spends his time saying we have to reduce our footprint and climate change is important.
As the Prime Minister rightly said at the Montreal conference, we choose to take the fight against climate change seriously. However, when you take a plane for a 22‑minute flight, that isn't taking it seriously. On the contrary; it is taking people for fools.
You don't have to comment on what I have said, but I want to ask you a question.
:
Would it be possible to send me an email or something on that?
Mr. Chris Forbes: I can have someone do that, for sure.
The Chair: It's a big issue in my riding. There are the monarchs at the airport in Montreal. It's been recommended by COSEWIC that the butterfly be considered an endangered species. That was in 2016. I think now we're in consultations to somehow implement that recommendation. I'd be really interested in knowing where that's at. I thank you for that.
Do you have anything else, Ms. Taylor Roy? No?
Okay. I want to thank our witnesses for being here and speaking to the estimates.
We, as the committee, we have one more task to complete here before we break today.
We have to vote on the main estimates. We have a number of votes. We have votes 1, 5 and 10 under the Department of the Environment; votes 1 and 5 under the Impact Assessment Agency of Canada; and votes 1, 5 and 10 under Parks Canada.
Shall vote 1 under the Department of the Environment, less the amount in interim supply, carry?
An hon. member: On division.
The Chair: I'm going to read the French.
[Translation]
ç
Vote 1—Operating expenditures.......... $998,976,093
ç
Vote 5—Capital expenditures.......... $100,902,516
ç
Vote 10—Grants and contributions.......... $1,234,196,797
(Votes 1, 5 and 10 agreed to on division)
IMPACT ASSESSMENT AGENCY OF CANADA
ç
Vote 1—Operating expenditures.......... $70,317,336
ç
Vote 5—Grants and contributions.......... $21,453,336
(Votes 1 and 5 agreed to on division)
ç
Vote 1—Operating expenditures.......... $663,382,945
ç
Vote 5—Capital expenditures.......... $331,076,015
ç
Vote 10—Grants and contributions.......... $81,304,508
(Votes 1, 5 and 10 agreed to on division)