Bill C-221 (Historical)

Environmental Restoration Incentive Act

An Act to amend the Income Tax Act (oil and gas wells)

This enactment amends the Income Tax Act to establish a tax credit for the closure of oil and gas wells. It also sets out a requirement for the Minister of Finance to make an assessment respecting the implementation of possible tax incentives for the closure of oil and gas wells.

Environmental Restoration Incentive Act

[The Assistant Deputy Speaker (Mrs. Alexandra Mendès), Liberal, Alexandra Mendes]

Are you still having issues with your Internet connection? Your frame keeps freezing and your voice stops.

We can hear you now.

[Shannon Stubbs, Conservative, Lakeland, AB]

Madam Speaker, I am sorry. I am out in rural Alberta. I promise I am wrapping up, but I want to thank all members for helping me do this.

The Liberal member for Davenport talked about the need to support measures that help companies avoid bankruptcy and support our environmental targets. Bill C-221 does exactly those things, but deliberately limits the use of public funds by enabling the lion’s share of financing to go specifically for remediation and reclamation by the private sector.

The Bloc members urged the polluter pay principle, which, yes, the Conservatives enshrined in law, but the fact is that voting against my bill would run against that principle, ignore the realities of small and medium-sized oil and gas businesses and workers on the edge of total devastation, and leave either a lack of remediation or only taxpayers liable.

My bill is real action, not just rhetoric, on the polluter pay principle to help the most vulnerable energy businesses; not big oil and not major multinationals, but literally the little guys. The NDP MP said that Canadian taxpayers should not foot the bill and I agree. However, inaction, doing nothing, defeating this bill, would help guarantee they would.

Frankly, the objections have been mostly ideological and geographical, with no real alternative proposals. This is a challenge across Canada in most provinces. In Alberta alone, most wells are on private land. Financially forced abandonments are magnets for rural crime, but there are tens of thousands of wells on government land, on Crown grazing leases, and thousands on indigenous reserve lands too. What happens to all of them when companies go bankrupt?

Since 2015, Canada’s energy sector has lost $200 billion and 200,000 jobs while orphan and abandoned wells have increased 300%. That is not a coincidence, but a consequence. That was before 37% of oil and gas companies had to make permanent layoffs to stay alive at the start of last year. There is little light at the end of the tunnel.

I passionately support Canada’s oil and gas workers. The sector is the most environmentally and socially responsible in the world. It is crucial to the whole country’s economy and future. Bill C-221 can help continue its unmatched stewardship, clean-tech investment and innovation exceeding standards, while protecting farmers, municipalities, land owners, indigenous communities, the environment, taxpayers, and creating badly needed jobs. I hope MPs in all parties will actually walk their talk and support this bill.

[The Assistant Deputy Speaker (Mrs. Alexandra Mendès), Liberal, Alexandra Mendes]

Is the House ready for the question?

[Some hon. members]

Question.

[The Assistant Deputy Speaker (Mrs. Alexandra Mendès), Liberal, Alexandra Mendes]

The question is on the motion.

If a member of a recognized party present in the House wishes to request a recorded division or that the motion be adopted on division, I would invite them to rise and indicate it to the Chair.

I see the hon. member for Saskatoon—Grasswood rising.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Madam Speaker, I request a recorded vote.

[The Assistant Deputy Speaker (Mrs. Alexandra Mendès), Liberal, Alexandra Mendes]

Accordingly, pursuant to an order made on Monday, January 25, the division stands deferred until Wednesday, March 10, at the expiry of the time provided for Oral Questions.