Evidence of meeting #30 for Environment and Sustainable Development in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was price.
A recording is available from Parliament.
Conservative
David Bexte Conservative Bow River, AB
I appreciate that distinction, Professor, that Canada is somewhat unique.
This leads me to a question for you, Mr. Rainville. You spoke to emissions thresholds and to some disparity there. We've heard about other places and what the emissions thresholds are in different industries. There are differences. I'd like you to comment on the equity from industry to industry on that, and on what is fair. Then, maybe more importantly, how do these thresholds move? Will they change over time?
Vice President, Central Canada, Clean Prosperity
The short answer, of course, is that, as with any of these, it's complicated. Effectively, the way it works is that ECCC and the respective provinces make decisions on the emissions intensity and the trade exposure of given sectors. There are sectors that are seen as higher risk, so they receive a lower stringency rate than other sectors.
Vice President, Central Canada, Clean Prosperity
No. They do economic analyses of the sector.
Vice President, Central Canada, Clean Prosperity
Yes, for the federal benchmark it would be.
Vice President, Central Canada, Clean Prosperity
Reasonably so, I would say; there's always room for improvement.
Conservative
David Bexte Conservative Bow River, AB
Okay. Thank you.
Could you comment on the equity across different industries?
Vice President, Central Canada, Clean Prosperity
Broadly speaking, the intention is to develop a formula that allows every industry to pay its fair share relative to the burden it's able to take on without being adversely economically impacted. For instance, steel is one of the sectors with the lowest stringency thresholds at 1% federally, because the federal government recognizes that steel is so trade exposed.
Vice President, Central Canada, Clean Prosperity
The difference with oil, generally speaking, is that there's more profit baked into the sale of a barrel of oil than there is in the sale of steel.
Conservative
David Bexte Conservative Bow River, AB
Okay. Thank you very much.
I'll go back to you, Professor. You made a comment about accepting transportation emissions and that the transportation component should maybe be exempted. Why is that?
Associate Professor, Université du Québec à Montréal, As an Individual
I didn't make the comment that it should be exempted. It was that there was a big difference, because these emissions are not covered in the industrial carbon pricing of the federal government or most of the provinces. They are covered in Quebec. In terms of the federal government establishing whether Quebec meets the criteria of the federal benchmark, they should take into account the fact that the system goes beyond industrial emissions and into transport emissions.
Conservative
David Bexte Conservative Bow River, AB
I would argue that transportation-related cost increases more directly affect the taxpayer, or rather the consumer, because of the nature of the country.
Associate Professor, Université du Québec à Montréal, As an Individual
Indeed.
Conservative
David Bexte Conservative Bow River, AB
All right. Thank you.
Mr. Beugin, could you please comment on the funding sources for your organization?
Executive Vice President, Canadian Climate Institute
We're funded by a range of sources. Some of our money comes from a contribution agreement with Environment and Climate Change Canada. Some comes from private philanthropy as well as some corporations.
Conservative
Executive Vice President, Canadian Climate Institute
Yes. It's all transparent on our website. I'm happy to—
Conservative
Executive Vice President, Canadian Climate Institute
It's about two-thirds of our overall budget.