Thank you, Mr. Chair and members of the committee.
Today I want to discuss how we can strengthen the 2030 emissions reduction plan through what I would call a competitiveness imperative that ensures our climate policies while simultaneously strengthening our economy and driving the transformation needed towards a low-carbon future.
As mentioned, effective climate policy really needs to balance between ambition and achievability. When targets feel disconnected from practical pathways, we risk paralyzing action rather than mobilizing it. The key is focusing on where transformation is both technically feasible but also economically advantageous. We need to feel the urgency, yes, but we also need to tackle problems that are truly solvable. That's where we can mobilize action.
Let's talk about emissions. Oil and gas production represents roughly 30% of Canada's emissions. It's the largest single contributor, but that still means that there is 70% coming from everything else, such as electricity, transportation, buildings and industries like cement, steel, etc. Here's the thing. These sectors are where I would argue the greatest opportunities lie.
Look at what China did with EVs, batteries, solar panels and critical minerals. They didn't dominate these markets because they cared so much about climate change. They saw something early on, which is that tomorrow's economy would be built on technologies that are simply better. They're more efficient, they're higher performance, and they have more flexibility in terms of energy systems. They move fast, and they dominated those markets.
When we're evaluating Canada's 2030 plan, we need to ask ourselves if we are positioning ourselves to compete in these sectors. Are we building an industrial capacity that's going to drive prosperity for the next few decades?
I want to talk about the strategic opportunities we should be prioritizing.
First is abundant, reliable, affordable electricity. Grid expansion isn't really just about emissions; it's about attracting the industries we want, for example, data centres, advanced manufacturing and green steel and aluminum, and we're already seeing this work.