All right, Mr. Chairman.
That's an extremely important question. Indeed, one of the reasons for Canada's failure is its desire to adopt an approach that's equal for everyone, on the ground that it's more equitable to be equal with players who are unequal.
We clearly have to ensure that a measure is effective. I'll simply cite the example of the former home insulation program. Cutting a tonne of greenhouse gases by reducing the number of kilowatt-hours used could cost the Ontario government about $5, the Alberta government about $3 and the Quebec government $700 to $800. Greenhouse gas emissions per kilowatt-hour in the energy generating system of those three provinces vary by a factor of 10, and even by a factor of 50, in the case of Alberta and Quebec.
Having made that observation, the regional approaches are clearly much more promising, since energy policies are set by the provinces, natural resources are managed by the provinces, and each of the provinces has a different system. That doesn't mean that there can't be exchanges or mutual assistance among the provinces.
I'll give you a very simple example of a purely hypothetical situation, but one that would be very effective. In Gaspé, in Quebec, they produce a lot of wind energy. That changes absolutely nothing in the amount of energy used in Quebec because, in its life cycle, wind energy produces a little more greenhouse gas than hydroelectric power. In principle, therefore, there are no gains to be achieved, in terms of greenhouse gas, by generating wind energy in Quebec.
However, if we built a transmission line to New Brunswick, a transmission line barely 50 kilometres long, and we closed the Belledune coal-fired station, we'd achieve gains in the order of two to three million tonnes of CO2 a year from the production of wind energy generated on the Gaspé site and used in the New Brunswick power grid.
These are facts that the present Canadian policy does not make it possible to use since, by focusing solely on reducing carbon intensity, it keeps in place all the old generation infrastructures and merely adds clean generation on top of them, which ultimately masks the actual situation.
We need an approach that includes aspects penalized by the tax, the benefits and effectiveness of which Mr. Boyd clearly explained, but also a project-centred approach that, in an exchange market, makes it possible to have the value of these projects recognized.
What we want is a real reduction in total emissions. Carbon intensity is simply an indicator. That indicator may make it possible to compare performance within a sector. For example, in the aluminum sector, we can compare two aluminum plants, with regard to greenhouse gas emissions, one relative to the other or relative to their emissions gains.
In this way, then, we establish reference scenarios. Overall carbon intensity for a country is moreover one measure that was included in Mr. Bush's policy in 2003, which Canada jumped on like a lowly imitator.