Evidence of meeting #130 for Government Operations and Estimates in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was subcommittee.
A video is available from Parliament.
Conservative
Jasraj Singh Hallan Conservative Calgary Forest Lawn, AB
Mr. Giroux, you had said yes. I just want to confirm that overall—
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
It's very likely, yes.
Conservative
Jasraj Singh Hallan Conservative Calgary Forest Lawn, AB
It's very likely, yes. Thank you very much.
I have 40 seconds left. Going back to the capital gains tax hike, one would concur.... Once we talk to Canadians and businesses, especially small businesses, we hear a lot about how this is punishing success.
I'll give an example of an immigrant who came here, worked his way up and went from driving a truck and making a paycheque to eventually buying a truck of his own and creating success for himself, his kids, their kids and then their kids. In their words, this is punishing their success.
Is that accurate for a small business like his? If he wanted to give his business to the kids or to sell it off for the kids' future, he would get less in return.
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
It depends on whether it's above or below the lifetime capital gains exemption or the inclusion rate of 50% for the first $250,000. One would have to look at the specifics of that situation.
Conservative
Jasraj Singh Hallan Conservative Calgary Forest Lawn, AB
I just have one last quick question. Are there any other knock-on effects?
Conservative
The Chair Conservative Kelly McCauley
I'm afraid we don't have time, Mr. Hallan. I'm sorry. We're past our time already.
Mr. Kusmierczyk.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
Thank you, Mr. Chair.
I want to get back to the supplementary estimates, which is the reason that you're here, Mr. Giroux.
In my hometown, we proudly build the Chrysler Pacifica plug-in hybrid, which qualifies for the federal rebate of up to $5,000. There was some excellent news in this budget in terms of that particular rebate and extending it.
Can you talk a bit about that and also about the impact we're seeing in terms of the adoption rates for electric vehicles in Canada?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
Yes, there was some additional money in the budget for supplementing the program. I think it is $605 million in these supplementary estimates to make the subsidies for zero-emission vehicles available to more people—to meet demand, essentially.
That's a result of the fact that we have seen new zero-emission vehicle registrations go from less than 20,000 in 2017 to reach almost 185,000 last year, which is expected to be even higher this year as a result of more widespread adoption of zero-emission vehicles in Canada.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
I read your report where you stated that it has increased from 1% of auto sales to 10%. That is fantastic news to hear.
Would you say that federal rebate of $5,000 that applies to the Chrysler Pacifica has had an impact in helping to boost sales?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
I think one can safely assume that it had a very positive impact, considering that price is an important factor in deciding which vehicle to buy or not.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
Okay. That's great. Thank you very much.
I will now yield the floor to my colleague Mr. Powlowski.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
You're the money guys. How much do Canadians spend yearly as a result of natural disasters—droughts, floods, hurricanes and fires?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
I know a lot of numbers, but not the specific number related to natural disasters.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
Can I say that it's multiple billions of dollars every year?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
I think you can safely assume that for sure.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
Do you agree that most climate change experts agree that those numbers are likely to increase in the future and the effects of climate change could be devastating on our economy?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
I'm not a climate scientist, so what climate scientists say I am in no position to dispute. Yes, I would agree with that.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
Is carbon pricing—and again, you're an economist—considered to be one of the most efficient ways, if not the most efficient way, of decreasing greenhouse gas emissions?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
There's a widespread consensus among economists to that effect, and I agree with that.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
Do you agree that, when you came up with your estimates as to the cost of carbon taxes, you did not include the price of climate change and the price that would incur as a result of failing to act on climate change?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
That's also correct.
Liberal
Marcus Powlowski Liberal Thunder Bay—Rainy River, ON
You did not also include the benefits that occur because of the green transition, which could mean lots of jobs for ridings due to exploration for critical minerals and for making electric batteries and electric cars. That, too, is not included. Is that correct?
Parliamentary Budget Officer, Office of the Parliamentary Budget Officer
As Chris Matier mentioned in response to a question from one of your colleagues, it's not included because we typically don't do cost-benefit analyses for the reasons he outlined. You're correct that it was not included.
Liberal