Environment Committee on Dec. 14th, 2023

[Adam van Koeverden, Liberal, Milton, ON]

In all honesty, Mr. Corson—

[The Chair, Liberal, Francis Scarpaleggia]

We don't have much time left, so if you want Mr. Corson to answer....

Go ahead, Mr. Corson.

[Brad Corson]

With regard to the drinking water, I would certainly be happy to drink any water that has been tested and deemed safe.

[Adam van Koeverden, Liberal, Milton, ON]

Mr. Corson, I thank you for appearing today.

On behalf of Canadians, I want to tell you that you're failing. You're failing Canadians and future generations. You're failing the environment—

[The Chair, Liberal, Francis Scarpaleggia]

Mr. van Koeverden, the time is up now.

Thank you. It's been a very interesting discussion. It will be incorporated into our water study, as we decided when this series of meetings began.

Thank you for being here, Mr. Corson and Mr. Younger.

We're going to take a quick break because we have the minister with us. We're going to prepare for onboarding the minister. We'll just take a short break and be right back.

Thank you.

[The Chair, Liberal, Francis Scarpaleggia]

We are resuming the meeting.

We have the Minister of Environment and Climate Change joining us after a long trip. You said you got back to Canada yesterday morning. Welcome to the committee, Minister.

Is your opening statement under 10 minutes or so?

[Steven Guilbeault, Liberal, Minister of Environment and Climate Change]

It's about 10 minutes, yes.

[The Chair, Liberal, Francis Scarpaleggia]

All right. The floor is yours.

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

Thank you, Mr. Chair.

I did indeed get back yesterday, and I'm very glad to be back.

I am pleased to join the committee members today to discuss the 2023‑24 supplementary estimates (B) for my portfolio, which includes Environment and Climate Change Canada, Parks Canada and the Impact Assessment Agency of Canada.

With me are Jean-François Tremblay, deputy minister of Environment and Climate Change; Terence Hubbard, president of the Impact Assessment Agency; Andrew Campbell, senior vice-president of operations, Parks Canada; Andrew Francis, vice-president of finance, Parks Canada—it's pretty simple, all we have at Parks Canada are Andrews—Linda Drainville, assistant deputy minister and chief financial officer, corporate services and finance branch, Environment and Climate Change Canada; and John Moffet, assistant deputy minister, environmental protection branch, Environment and Climate Change Canada.

Before I begin, I would like to acknowledge that we are on the traditional territory of the Algonquin Anishinabeg Nation, who have long been stewards of the environment we share today.

I want to help build strong partnerships with first nations, Inuit and Métis communities. This is essential for climate action and conservation—just as essential as the funding we're going to talk about today.

As I mentioned, I got back yesterday from COP28, in Dubai, in the United Arab Emirates, and jet lag won't stop me from being proud of our country's progress and ambitious commitments to reduce the pollution causing climate change. I'm also proud to be part of a government that devotes a considerable budget to these efforts.

Mr. Chair, from coast to coast, Canadians are increasingly seeing the impacts of climate change. I don't need to tell you that we're all suffering the effects—and the costs, too.

According to the insurance industry, in Canada, insured damage caused by severe weather events cost $3.1 billion in 2022 alone. That is 10 times more than in previous decades.

Last summer, forest fires forced tens of thousands of Canadians and several indigenous communities to evacuate their homes. These fires have caused a problem for air quality across the country and beyond our borders.

This type of event reminds us of the importance of doing more and doing it more quickly, in terms of climate action.

There were also droughts on the prairies, intense hurricanes on the east coast, extreme flooding on the west coast and melting permafrost in the north.

People pay the price for these impacts when they are forced to repair their homes or businesses after disasters.

People pay the price for all these impacts when they are forced to repair their homes or businesses after a disaster. For example, just to repair the damage to Parks Canada infrastructure caused by Hurricane Fiona in the fall of 2022, this budget presents an additional expenditure of $8.7 million. The costs of the climate crisis are very real—and they will continue to climb as long as pollution continues to increase. We absolutely need to change course.

At COP28, we received a wake-up call. The global stocktake of signatories to the Paris agreement, which occurs every five years, shows that we are not on track to limit global warming to 1.5°C. This means we need to pick up the pace and step up our investments. That is what Canada is doing. The expenditures I'm going to present today provide a snapshot of this.

This year's supplementary estimates (B) total just over $380 million. As for my department's reference levels, I'd like to mention a few significant increases.

In particular, there is an increase of nearly $153 million in connection with carbon pollution pricing, which is the most effective way to reduce greenhouse gas emissions. The funding will be used to ensure the distribution of revenue from excess emissions charges, paid by companies. The output-based pricing system creates a financial incentive for industrial emitters to reduce their emissions. In the end, it's the low- and middle-income Canadian families who benefit the most. In today's inflationary climate, we're delighted that the payments into the system are making life more affordable for them.

The supplementary estimates include an increase of $38.8 million to continue implementing carbon pricing and the clean fuel regulations. This is another important component of Canada's climate plan. By encouraging the industry to reduce the carbon intensity of gasoline and diesel, our fuels will become cleaner over time, giving consumers more and more affordable alternatives.

Among the other increases, I'd like to mention a reinvestment of $52 million in Canada's hydro-meteorological services. These are critical services, provided by a complex, integrated system. There are more than 3,000 weather monitoring stations across the country. We have complex models backed by cutting-edge scientific research to predict future conditions. We also have a number of specialized offices, such as the storm prediction centres, which provide all Canadians with information 24 hours a day, 365 days a year. We need this information to warn the population of the risk of natural disasters and to support core services, such as aviation, emergency management and military operations.

Supplementary estimates (B) include an increase of $13.8 million for Canada's national adaptation strategy, which was launched in June.

This is the culmination of two years of engagement with the provinces, territories, indigenous partners, municipalities and various experts.

In the coming months, we will be working to bolster the safety and resilience of Canadian communities. For every dollar invested in adaptation now, we reduce the costs associated with future climate disasters by $15. However, adaptation isn't just about responding to disasters. The strategy also aims to improve the management of risks to our health. We want to protect our livelihoods. We want to build resilient homes and infrastructure. We have already started implementing this policy.

We are developing an integrated climate lens, as announced in 2020, which will help integrate adaptation across the government. We are working with the provinces and territories to develop bilateral agreements and tailor federal programs to their specific needs. We are investing in the green municipal fund to help develop local adaptation plans for cities and communities. We have launched calls for proposals for the climate-resilient coastal communities program, the climate change adaptation program, and the disaster mitigation and adaptation fund.

In short, beyond everything we do to reduce emissions, we also need to help communities prepare for and adapt to the new climate realities. That is what the strategy will enable us to do. It will also enable us to strengthen adaptation action on a global scale. This is a global crisis, just like the biodiversity crisis.

I'd also like to highlight a few other additional expenditures aimed at funding the protection of species at risk in Canada. Environment and Climate Change Canada has reported a $22‑million increase in its reference levels. Parks Canada, whose mission includes protecting our natural spaces and ecosystems, has reported an increase of $7.7 million. This work is so important. Biodiversity is our great ally in the fight against climate change. Healthy ecosystems absorb carbon. They produce oxygen and help reduce emissions.

This additional funding will help us protect 25% of Canada's land and sea territory by 2025. It will also help us to achieve the target established at the biodiversity conference in Montreal of safeguarding 30% of land and sea territory by 2030.

Parks Canada will also be implementing conservation and restoration projects in various regions of the country, in close collaboration with indigenous communities. The agency ensures that indigenous knowledge and values are respected in the management of natural areas. Parks Canada is also reporting an additional expenditure of $1.5 million to carry out three impact and benefit agreements with Inuit communities in Nunavut and Labrador, as provided for in the act. These agreements will enable them to participate fully in the co-operative management of five national parks. This is essential.

Across Canada, first nations, Inuit and Métis communities are disproportionately affected by climate change. They know their ancestral lands. They know how to recognize signs of imbalance in the environment. That is why, as I said in my opening remarks, we cannot advance climate action or conservation in Canada without promoting the leadership of indigenous communities.

Finally, supplementary estimates (B) include a request from the Impact Assessment Agency to support the development of renewable energy. The agency is requesting a transfer of $140,000 from the Department of Natural Resources to support its regional assessments of offshore wind development in Nova Scotia and Newfoundland and Labrador. This work will support the energy transition that is central to Canada's 2030 emissions reduction plan.

Mr. Chair, I'm going to stop here. I would be pleased to answer any questions the committee may have.

[The Chair, Liberal, Francis Scarpaleggia]

Thank you, Minister.

Mr. Deltell, we'll start with you.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Thank you very much, Mr. Chair.

Minister, I'm happy to see you. The last time you appeared before the committee was 262 days ago.

As you said earlier, you spent the last two weeks in the middle of the desert in Dubai. We would like to know what the environmental cost of your presence in Dubai is.

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

Thank you for the question, Mr. Deltell.

As you probably know, the department offsets the greenhouse gas emissions associated with travel.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Personally, how will you offset them?

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

We will publish that information, but we have to compile it first.

I remind committee members that, before the Paris Agreement was signed, we were heading toward a temperature increase of 4°C.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

You'll have an opportunity to say that a little later, Minister, I'm sure, as I have other questions for you.

I just wanted to know—

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

It's still important because our collective work—

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Yes, I have no doubt about that, Minister.

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

—is going to save tens of billions of tonnes of pollution. Perhaps it is worthwhile to meet to do that once a year.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Maybe not in the middle of the desert, but it's not bad to talk to each other; I understand that.

So what came out of that meeting was that we need to transition from fossil fuels now. We agree with that.

However, I would like to know if you agree that, as long as we need fossil fuels, we should use Canadian fossil fuels.

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

I have said publicly on numerous occasions that studies by the Intergovernmental Panel on Climate Change and the International Energy Agency show that we are going from a world where we currently consume about 100 million barrels of oil a day to a net-zero world where we will consume about 25 million barrels a day in 2050. So there will be a significant reduction in the consumption of fossil fuels and, as a result, in the production of hydrocarbons. We need to prepare for that transition, and that's what our government is working on.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Should we prioritize Canadian fossil fuels in this situation, yes or no?

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

The government does not decide who buys our products, as you know very well. It's the market that decides. Companies' customers decide. Currently, we account for 5% of the global oil production market. Who knows what that figure will be in 2050?

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

You are from Quebec, I am from Quebec. Let's talk about oil consumption in Quebec. You most likely remember the front page of Le Devoir, which announced last year that, according to a study by HEC Montréal, 18 billion litres of oil were consumed in Quebec.

[Steven Guilbeault, Liberal, Laurier—Sainte-Marie, QC]

Per year? I don't recall—

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Yes, per year. You can trust me and you can trust Le Devoir, as well.

So we recognize that 18 billion litres of oil is a lot, but that's what people want. That's what people need. In this study, we learned that 47% of that oil comes from the United States. Do you think it would be better if it were Canadian oil and not American oil? That is because we are sending hundreds of millions of dollars outside Canada.