Thank you very much, Mr. Chair and members of the committee. I'm happy to be here with you again as Minister of the Environment, Climate Change and Nature and minister responsible for Parks Canada, the Impact Assessment Agency of Canada and the Canada Water Agency.
I would like to begin by acknowledging and recognizing that we are meeting on the traditional territory of the Anishinabe Algonquin nation.
I am also pleased to have senior officials from my department here with me today.
I have the associate deputy minister, John Moffet, with me today.
I am here to talk to you about an opportunity for Canada.
A growing number of countries are competing to develop the clean technologies and green industries that will define the next century. Canada is uniquely positioned to be at the forefront of this transition.
The climate competitiveness strategy is part of our new approach to building the infrastructure, housing and industries that will grow our economy and ensure lasting prosperity.
It builds on Canada's strengths: world-class industries, a skilled and talented workforce, diverse trading partnerships, and a strong domestic market, where Canadians can be our best customers.
It also creates predictability and the ideal conditions for investments that will make Canadian businesses well positioned not only to compete, but also to be at the forefront of the new global economy.
That is how we know that climate action is both a moral obligation and an economic imperative. We know that we must reduce emissions for future generations, here and around the world. The climate competitiveness strategy aims to turn this imperative into an opportunity for Canadians.
One of the most practical tools that makes this possible is industrial carbon pricing. It will deliver more emissions reduction than any other policy, with negligible impacts on affordability for Canadians because it does not dictate what must be done. Pricing emissions rewards cleaner production by driving investment in decarbonization wherever those opportunities are the lowest cost.
Our industrial carbon pricing system is also designed to keep costs low to protect against competitiveness risks. It does this by putting a price on the marginal emissions of a company rather than on all of its emissions. This means that total costs are low, but each company faces a continuous incentive to reduce its emissions.
However, for industry to plan, invest and innovate, they need long-term certainty. They need to have confidence in the future price trajectory and the overall health of the carbon market. That's why the Government of Canada has committed to improving the effectiveness of Canada's industrial carbon pricing system. Our goal is simple: strong, reliable, consistent systems across Canada, covering a broad range of greenhouse gas emissions at a common level of stringency.
Of course, we recognize that the path forward must be shaped together. That's why we're going to initiate a public discussion on how to strengthen the pricing benchmark. The benchmark sets the criteria that ensures all provincial and territorial industrial pricing systems are similarly effective in providing a common, strong and durable price signal. We will work collaboratively with provinces, territories, indigenous peoples, industry, investors and stakeholders to refine the benchmark.
This work is about building a stronger, cleaner, more competitive economy that thrives in a world striving to cut emissions and capture new opportunities. Together, these measures will provide the certainty and predictability needed to establish an industrial carbon price trajectory that is aligned with achieving net zero by 2050.
This is about people, Canadians, who want long-term, security-focused jobs in global leading industries and a path that is cleaner, brighter and better for everyone.
Thank you.
