441-00819 (Employment and labour)

The Government of Canada acknowledges the importance of, and the need for, a global clean energy transition. A more secure and prosperous future depends on a sustainable energy sector – one that provides affordable, reliable, and clean energy to Canadian families, businesses, and industries while exporting products and technologies around the world.  The Government also recognize that this transition is of paramount importance for individuals, families, and businesses in every part of our country. A real and effective energy transition must ensure a stronger economy, a cleaner environment and good, sustainable jobs for all Canadians.

This is why the Government of Canada is taking a whole-of-government approach to seize the opportunities of the energy transition – by decarbonizing Canada’s energy sector and making thoughtful and historic investments in critical sectors such as clean technology and renewable energy. Canada’s 2030 Emissions Reduction Plan, released on March 29, 2022, lays out an ambitious and achievable roadmap for sector-by-sector emission reductions to meet Canada’s targets for the end of this decade and put Canada on the path to net-zero by 2050.

As part of this effort, Canada joined other countries at COP26 and committed to end new direct public support for the international unabated fossil fuel energy sector by the end of 2022. In addition, Canada committed to phase out inefficient fossil fuel subsidies, and accelerated timelines to do so by 2023. To date, Canada has phased out or rationalized nine tax preferences supporting the fossil fuel sector and has committed to take part in a peer review of inefficient fossil fuel subsidies under the G20 process.

The Government also demonstrated its support for the Canadian oil and gas sector’s net-zero emissions ambitions by announcing that it will cap and cut emissions from the sector in line with Canada’s climate targets. This commitment was reiterated in Canada’s 2030 Emissions Reduction Plan and reaffirmed at COP27. As a result, companies are actively investing in the development and deployment of emissions-reduction technologies, such as hydrogen and electrification. These efforts will help lead to a cleaner energy future.

At COP27, Canada also joined the United States (U.S.) in a shared commitment to reduce emissions from the oil and gas sector. The U.S.-led Joint Declaration from Energy Importers and Exporters on Reducing Greenhouse Gas Emissions from Fossil Fuels, focuses on solutions to lower methane emissions across the fossil energy value chain.

At the same time, the Government of Canada is committed to moving forward with comprehensive action – including legislation – to support Canadian workers and communities in the transition to a low-carbon economy. Public consultations to inform the development of just transition legislation were launched in July 2021 and have included 17 roundtable sessions with a range of stakeholders, including workers and labour organizations, industry, academia, non-governmental organizations, youth, and experts in skills and training as well as diversity and inclusion. The Government is also in discussions with the provinces and territories, and with Indigenous partners, to understand their priorities and perspectives as it seeks to introduce federal legislation early in 2023.

In addition, Natural Resources Canada is supporting job growth through ambitious projects and programs in energy, forestry and mining, in every region of Canada. This includes working with Employment and Social Development Canada to advance growth opportunities in the natural resource sectors, as well as ways to retrain workers in high-emissions industries to address labour market shortages in emerging areas.

The 2022 federal budget announced actions that will deliver approximately 500,000 training and job opportunities for Canadians, enabling them to take advantage of new opportunities, including in clean energy sectors. These investments include the $960 million Sectoral Workforce Solutions Program that will help both workers and employers by supporting solutions to address current and emerging workforce needs.

Building on those job-creation efforts, the Government’s Fall Economic Statement on November 3, 2022, included the launch of a Sustainable Jobs Secretariat, which is a new sustainable jobs stream under the Union Training and Innovation Program, and the creation of a new Sustainable Jobs Training Centre, which will help workers in key sectors and occupations improve their skills or gain new ones for the net-zero economy.

The Fall Economic Statement also proposes a number of important new initiatives to strengthen Canada’s economic competitiveness and attract new investments in clean growth. These include the Investment Tax Credit for Clean Technologies, which would provide a refundable tax credit equal to 30 per cent of the capital cost of investments in clean energy technologies for claimants that meet certain labour conditions (20 per cent rate for those who do not), and the formal unveiling of the Canada Growth Fund, which seeks to attract billions of dollars in private capital to reduce Canada’s emissions, grow the economy and create good jobs.

Amid this concerted action, the government is also launching Regional Energy and Resource Tables to accelerate Canada’s economic growth opportunities by taking into account each region’s unique advantages and ability to meet the demands of new and emerging markets. These regional processes are being undertaken in partnership with provincial and territorial governments, and through engagement with Indigenous partners, experts, labour organizations and other stakeholders. The Regional Tables will form the basis for comprehensive and transformative place-based economic strategies for every region of Canada to realize a comparative advantage in a net-zero economy.

Canada has what it takes to thrive in a low-carbon world. While transforming Canada’s energy systems will take time, the Government remains committed to delivering bold action to decarbonize its energy and natural resources sectors and build a cleaner, more prosperous economy that works for everyone.