Thank you. I'll try to be quick.
Thank you for the opportunity to speak today. It’s a pleasure to be here on behalf of the Government of Alberta.
Our province has a long history of pairing responsible resource development and the development of our natural resources with sound environmental stewardship. When it comes to the plastics industry, that combination remains our primary focus, and we believe that it's the best long-term solution to the issue of plastic waste.
As a government, we recognize the immense danger that plastic waste can pose to the environment, not just in Canada but for the whole world. However, Alberta’s position is quite easy to summarize. Plastic itself is not the problem—the problem is waste. For instance, in 2016, Environment and Climate Change Canada estimated that 86% of the plastics in our country were sent to the landfill. This represents not just an environmental waste, but an economic one as well. That same amount of waste could have been recycled and resold, with an estimated value of $7.8 billion.
It is that future that we are pursuing, in coordination with our partners in industry, academia and environmental groups. Collectively, we need to capture that lost value and avoid the plastic waste that can harm our lands, oceans and waterways.
We understand that Alberta has a central role to play in the future of plastics in Canada. That’s because we house the largest petrochemical manufacturing sector in Canada, and our goal is to be able to diversify our economy and to grow this industry further in the coming years.
When considering the effects of banning single-use plastics, please know that the decision will undoubtedly impact the future of Alberta’s economy and environment. We expect the immediate impact of such a ban on our existing plastics manufacturing sector to be significant.
Alberta companies produce a wide variety of plastic products, including many multi-use plastics, and our single-use plastics will remain in demand in international markets. The Chemistry Industry Association of Canada estimates that between $100 million to $500 million in sales are at risk, representing between 500 and 2,000 jobs.
Our longer-term issues with the ban are of greater concern.
First, the opaque process by which plastics are being treated under the Canada Environmental Protection Act is troublesome. This approach, we believe, intrudes into provincial jurisdiction and overrides our responsibility to manage waste within our own province. If individual provinces wish to proceed with bans of materials that they view as harmful, that should remain a provincial responsibility. A federal ban announced through changes to a regulatory schedule is a one-size-fits-all approach that quite simply doesn't fit all needs. As we have seen during the COVID pandemic, plastics of all kinds are often vitally important to daily life. When it comes to the management of single-use plastics, provinces—and even municipalities—are in a better position to decide what should be allowed or banned.
More concerning is the long-term signal that this sends to our potential partners in building a truly circular economy for plastics. The Chemistry Industry Association of Canada again warns that there are significant risks to the larger plastics supply chain, especially resin producers in Alberta and Ontario.
Banning plastics outright instead of working with industry and consumers to establish the kinds of advanced recycling techniques and practices needed to push the sector forward, ironically, wastes an enormous opportunity for Canada. Establishing ourselves as leaders in plastics recycling, as Alberta intends to do, not only will take plastic out of landfills and oceans, but will provide much-needed jobs across a range of industries.
My colleague, the Minister of Environment and Parks, is overseeing the policy initiatives to lead the way in Alberta by bending the curve on plastic use towards a circular economy. We're in the process of introducing extended producer responsibility, EPR, which we believe is the most effective way to deal with plastic waste. EPR accounts for regional differences when implemented at the provincial level, while furthering collective action on reducing waste.
Going further and building on an innovative hub of recycling know-how and connecting it with the large-scale petrochemical manufacturing that we have available in Alberta gives us a unique opportunity. We are well positioned to become a global destination for green investors while simultaneously enhancing Canada's reputation as a steward for our planet's pristine environment.
That's the future that Alberta is trying to build, but such a move will be possible only with the coordinated efforts of industry, researchers and government. Banning plastics, with the opportunity to arbitrarily expand that ban to more items in the future, will instead remove the very investor interest that we need to build a positive future for plastics in Canada.
Here in Alberta, we're aiming to attract $30 billion of new investments in the petrochemical sector over the next decade, and this ban reduces the attractiveness of Canada as an investment opportunity.
In summary, Alberta does not support the plastic ban as planned, not necessarily because of any immediate impacts on our industry or environment, but because it implies a short-term thinking that will be detrimental to the innovation needed to reduce plastic waste.
Thank you for your time, and I look forward to answering your questions.