441-00820 (Environment)

Over the past six years, the Government of Canada has demonstrated its leadership on climate change and clean growth, at home and abroad. We understand that accelerated efforts are crucial to reduce emissions rapidly by 2030, and to achieve net-zero emissions by 2050 to avoid the worst impacts of climate change. Canada has invested more than $100 billion to address climate change since 2015 and has recently announced $9.1 billion in new investments that builds on the foundation set by Canada’s existing climate actions.

In 2021, Canada adopted an enhanced 2030 emissions reduction target of 40-45% below 2005 levels, and passed legislation to enshrine its commitment to achieve net-zero emissions by 2050 in law. The Canadian Net-Zero Emissions Accountability Act provides a durable framework of accountability and transparency to deliver on this commitment. On March 29, 2022, Canada tabled the 2030 Emissions Reduction Plan: Canada’s Next Steps for Clean Air and a Strong Economy (ERP)in Parliament and released the plan. The 2030 Plan is the Government’s next major step in taking action to Canada’s climate objectives and create good, sustainable jobs in Canada.

Achieving Canada's climate goals requires all sectors of the economy to pursue decarbonization in ways that make cleaner initiatives more affordable and create new, sustainable job opportunities for workers. In addition, the 2030 ERP reflects input received from thousands of Canadians, businesses and communities, as well as submissions from Indigenous partners, provinces and territories and the Carbon Neutrality Advisory Group.

The 2030 ERP builds on significant progress Canada has already made to address climate change, including the actions outlined in the Pan-Canadian Framework on Clean Growth and Climate Change, and Canada’s Strengthened Climate Plan, A Healthy Environment and a Healthy Economy, released in 2020. With the 2030 ERP, the Government of Canada is taking action by:

• working with industry, stakeholders, provinces and territories, Indigenous peoples and others to develop the cap on emissions from the oil and gas sector. Following consultations, the cap will be designed to lower emissions at a pace and scale needed to achieve net-zero by 2050, reduce oil and gas methane by at least 75% below 2012 levels by 2030, support clean technologies to further decarbonize the sector, and work to create sustainable jobs;
• developing a national net-zero by 2050 buildings strategy, the Canada Green Buildings Strategy;
• investing in nature and natural climate solutions through the Nature Smart Climate Solutions Fund to deliver additional emission reductions from nature-based climate solutions;
• working with provinces, territories, industry, and other stakeholders on the design of a Clean Electricity Standard to achieve a net-zero electricity grid by 2035;
• helping industries decarbonize by adopting clean technology in their journey to net-zero emissions by committing to develop a carbon capture, utilization and storage strategy; and
• ensuring that workers and communities are able to benefit from the opportunities that the transition to a low-carbon economy presents, including by making significant investments in skills training and continuing consultations on the development of Sustainable Jobs and Skills legislation.

The 2030 ERP is designed to be evergreen—a comprehensive roadmap that reflects levels of ambition to guide emissions reduction efforts in each sector. As governments, businesses, non-profits, and communities across the country work together to reach these targets, Canada will identify and respond to new opportunities.

Canada has also committed to phase out or rationalize inefficient fossil fuel subsidies by 2023. It has already taken actions to phase out or rationalize eight tax preferences supporting the fossil fuel sector. Addressing inefficient fossil fuel subsidies supports Canada’s efforts to take action on climate change and transition to a low-carbon economy.  

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.

Sectoral Workforce Solutions Program (SWSP): 

While climate change will result in a number of employment challenges, the shift to a green economy will also provide exceptional opportunities to build an inclusive and skilled workforce to drive economic growth.

The impact of the transition to a low carbon economy will vary by sector, region and occupation. Employers and workers across all sectors and industries will require varying levels of support to develop the skills needed to seize current and emerging opportunities. Targeted initiatives can help minimize the negative impacts on workers, vulnerable people, and their communities, and help ensure that the transition to a low carbon economy is just and leaves no one behind.

For example, Budget 2021 announced a new Sectoral Workforce Solutions Program(SWSP), to support key sectors of the economy, including those linked to the clean economy, to implement solutions to address current and emerging workforce needs. The program will help employers and connect Canadians with the training they need to access good jobs in sectors where employers are looking for skilled workers, such as the renewable energy sector. It will also place priority on supporting equity-deserving groups and promoting a diverse and inclusive workforce.

Additionally, the Government of Canada has committed to launching a Clean Jobs Training Centre, which will help workers across sectors to upskill or reskill in order to be on the leading edge of the low carbon industry.

The 2022 Fall Economic Statement (FES) proposes to provide $250 million over five years, starting in 2023-24, to help ensure Canadian workers can thrive in a changing global economy. Specific measures include: a Sustainable Jobs Training Centre, a new sustainable jobs stream under the Union Training and Innovation Program and a new Sustainable Jobs Secretariat.

The Sustainable Jobs Training Centre will bring together workers, unions, employers, and training institutions across the country to examine the skills of the labour force today, forecast future skills requirements, and develop curriculum, micro-credentials, and on-site learning to help 15,000 workers upgrade or gain new skills for jobs in a low-carbon economy. The Centre would focus on specific areas in high demand, starting with the sustainable battery industry and low-carbon building and retrofits.

The FES also proposes to put in place a new sustainable jobs stream under the Union Training and Innovation Program to support unions in leading the development of green skills training for works in the trades. It is expected that 20,000 apprentices and journeypersons would benefit from this investment.

To effectively support workers on the road to sustainable, good-paying jobs, the FES also proposes to launch the Sustainable Jobs Secretariat to offer a one-stop shop for workers and employers. It will provide the most up to date information on federal programs, funding, and services across government departments as Canada works to build a low-carbon economy with opportunities for everyone.

The Government of Canada has also announced in Budget 2021 a new Community Workforce Development Program that will fund projects at a national and regional level to:

• Support community workforce planning by bringing together organizations from across public, private, labour and not-for-profit sectors to match local sources of labour with employer demand;
• Train displaced workers to acquire the skills, knowledge and experience that would enable them to meet employers’ on-the-job expectations; and,
• Employ workers in new jobs contributing to stimulating economic growth.

Budget 2022 proposed to provide $2.5 million in 2022-23 for Employment and Social Development Canada to launch a new union-led advisory table that brings together unions and trade associations to advise the Government on priority investments that help skilled, mid-career workers affected by industry transition.