Debates of May 31st, 2010

Natural Resources--Main Estimates, 2010-11

[The Chair, Conservative, Andrew Scheer]

Order. On the same point, the hon. Parliamentary Secretary to the Minister of Natural Resources.

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Mr. Chair, you were not here earlier and someone else was in the chair, but she actually had to bring the Liberals back to the topic at hand earlier. They were talking about people's employment status. They did not know what they were talking about in terms of process. The member opposite did not even understand that people other than the minister could answer. They are clearly off here, trying to ask these obscure questions and think that they somehow have scored somewhere, when Canada is actually leading in these technologies. They should be congratulating the minister, not standing and complaining.

[The Chair, Conservative, Andrew Scheer]

Order. I am going to suggest we move on. I do not think that was a point of order. It seemed that it was a continuance of debate.

I believe we should proceed, and I will recognize the hon. member for Calgary Northeast.

[Devinder Shory, Conservative, Calgary Northeast, AB]

Mr. Chair, I am honoured to stand to talk about our government's leadership role in the area of eco-energy initiatives.

I will be sharing my time with my colleagues, the member for Souris—Moose Mountain and the member for Prince Albert.

As hon. members are aware, the Government of Canada has committed to reduce greenhouse emissions by 17% below 2005 levels by 2020. This is an aggressive target and the Government of Canada is moving aggressively to meet it.

Since 2006, our government has invested more than $10 billion to reduce greenhouse gas emissions and build a more sustainable environment. It is investing in green infrastructure, energy efficiency, clean energy technologies and the production of cleaner energy and cleaner fuels.

Natural Resources Canada is playing a key role in the delivery of many of these initiatives, including several of the eco-energy programs launched in 2007.

In total, the government has committed more than $4.1 billion to the eco-energy initiatives. For example, the eco-energy retrofit programs for homes and small businesses have been a tremendous success. To date, over 326,000 individuals, businesses and companies have applied for grants to help them make their homes and buildings more energy efficient, generating billions of dollars in economic activity in the process.

The results speak for themselves. Homeowners participating in the program have reduced their energy consumption by an average of 22% and have cut their household greenhouse gas emissions by an average of more three tonnes a year.

Under the small and medium size organizations component of the program, more than 950 projects worth close to $17 million in grants have been approved, recommended for approval, or completed since April 2007.

The eco-energy initiatives administered by Natural Resources Canada are also helping to ensure the energy we consume is as clean as possible.

The Government of Canada has invested close to $1.5 billion in the eco-energy for renewable power program. This production incentive is encouraging the development of new sources of clean renewable energy, including wind, biomass, hydro, geothermal, solar and ocean energy.

This program, too, has been an overwhelming success, registering over 200 renewable power projects and helping to make wind power the fastest growing form of electricity generation in Canada.

A further $1.5 billion is being invested over nine years through the eco-energy for biofuels program to increase our supply of cleaner fuels. To date, Natural Resources Canada has signed contribution agreements with 21 companies across Canada.

Furthermore, the eco-energy for renewable heat program is investing $36 million to encourage greater use of solar, air and water heating systems in commercial, industrial and institutional buildings. So far, some 700 applications for solar heating systems have been approved for grants, ranging from $2,000 to $400,000.

This initiative also has a residential component and so far is supporting 14 projects in partnership with energy utilities, developers and non-governmental organizations across Canada. Through these pilot projects, solar water heating systems are being installed in several thousand homes across Canada.

This program is also helping to build the expertise we need to carry this industry into the future, including investment in skills training and in developing standards and certification processes for equipment and industry professionals.

Through its eco-energy technology initiative, the Government of Canada is investing $230 million to advance promising technologies to increase our supply of clean energy, increase energy efficiency and reduce emissions from conventional energy sources.

These funds have been committed to a number of projects both in the public and private sectors, including $151 million allocated for the development and demonstration of carbon capture and storage technologies.

This initiative is also supporting projects to advance the development and demonstration of hydrogen and fuel cell technologies, among others.

We all will agree that transportation is the source of more than a quarter of Canada's annual greenhouse gas emissions, but eco-energy for fleets and eco-energy for personal vehicle initiatives are helping Canadian drivers reduce their fuel costs and their emissions as well. Information, training and workshops are being provided to commercial drivers and fleet operators. Public awareness initiatives are helping Canadians choose the most fuel efficient vehicles that meet their needs and develop more efficient driving and vehicle maintenance habits.

These are important initiatives in which our government has taken a leadership role. These initiatives are providing immediate economic and environmental benefits. Can the minister tell the House how these initiatives will contribute to achieving our longer term economic and aggressive environmental laws?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, it is essential that all of our investments contribute to Canada's long-term prosperity and environmental well-being. Our eco-energy investments will have long-term benefits. Improving energy efficiency, whether in our homes, buildings or vehicles does not result in a one-time reduction in energy costs, but as savings that will continue year after year. It puts more money in our pockets, reduces costs and increases the competitiveness of business and industry. The emissions reductions will also continue year after year.

Our investment in increasing our supply of renewable energy and renewable fuels is generating economic activity and creating jobs now.

We are also setting the foundation for a new clean energy industry that will provide more jobs and more clean energy for Canada in the future. Our investments in technology are advancing our understanding of exceptionally promising technologies, such as carbon capture and storage technologies that will allow us to minimize the environmental impact of producing and consuming fossil fuels.

This is essential to our long-term energy, economic and environmental security. This is the focus of everything we do as government to position Canada for long-term growth and sustainable prosperity for future generations to come.

[Ed Komarnicki, Conservative, Parliamentary Secretary to the Minister of Human Resources and Skills Development and to the Minister of Labour]

Mr. Chair, there is no doubt that in addition to renewable energy, we can and must become cleaner producers and consumers of our fossil fuel resources. It is clear that technology will play a key role in meeting this challenge. One very promising technology to achieve large emission reductions is carbon capture and storage, known as CCS.

In total, the Government of Canada and the governments of Alberta, Saskatchewan and British Columbia have provided $3.5 billion in funding for carbon capture and storage. This does not include the contributions of industry partners. In fact in budget 2008, the Government of Canada committed $240 million to the Boundary Dam clean coal project in my riding of Souris--Moose Mountain in the southeast part of Saskatchewan. The province of Saskatchewan will invest about $1 billion. This will be one of the world's first and largest commercial-scale clean coal and carbon capture and storage demonstration projects.

We also collaborate internationally to accelerate the development of technology. As I have said, my riding of Souris--Moose Mountain is on the leading edge of implementing world-class CCS technology. We also collaborate through the United States-Canada clean energy dialogue signed by the Prime Minister and President Obama last year. Remarkably, a reference was made to work that is being done with the North Dakota-Weyburn carbon capture and storage project in my riding near Weyburn, Saskatchewan. I certainly invite the member for Kings--Hants to visit Weyburn, Saskatchewan to see first-hand what is being done.

The Weyburn and Midale oil fields are hosts to a decade long international study examining CO₂ geological storage. This project near Weyburn, Saskatchewan is one of the largest international CO₂ measuring and monitoring projects in the world. It is world class.

I would like to ask the minister what steps have been taken under the dialogue with the United States to advance the development of carbon capture and storage.

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, I want to thank the hon. member for his question.

I am pleased to report a number of significant developments relating to carbon capture and storage under the Canada-U.S. clean energy dialogue. A joint CCS working group has been established and is in the process of developing a North American carbon capture and storage atlas. This will detail both the major sources of CO₂ emissions and potential CO₂ storage reservoirs. This information will help to ensure that future investments in technology are well targeted.

We continue to reinforce and expand the links among researchers in our two countries. We are working with the U.S. to develop and demonstrate CO₂ measuring, monitoring, and verification methods. This will help to confirm that CO₂ storage is both safe and effective. It will build on the research under way at the successful Weyburn-Midale carbon capture and storage research project in Saskatchewan.

Mindful of the close energy connections between our two countries, we are also working toward developing compatible carbon capture and storage regulations to minimize business barriers and to facilitate possible future cross-border CCS projects.

We have also agreed to hold an annual joint conference on carbon capture and storage to facilitate information sharing on an ongoing basis. In fact, the first conference was held earlier this month in Pittsburgh, Pennsylvania.

[Randy Hoback, Conservative, Prince Albert, SK]

Mr. Chair, there are many key issues in the nuclear industry that require ongoing attention. They include matters such as ensuring that the industry is properly regulated; taking steps to ensure the safe, secure, long-term management of spent nuclear fuel; keeping Canada's nuclear liability legislation in line with international standards; and of course, taking action to deal with our so-called nuclear legacy.

I would like to ask the minister what steps are being taken to address these key issues. Specifically, what is the government doing to ensure both the health and safety of Canadians and the long-term economic viability of this important industry?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, I would like to thank my hon. colleague for asking such an important question.

The Government of Canada recognizes that a strong nuclear industry brings great economic and environmental benefits to Canadians. However, it also has a responsibility to ensure that the public interest, including health, safety, and the environment, is protected through strong legislation and regulations and that the legal framework is in place to allow nuclear development to proceed efficiently.

Canada's nuclear safety record is second to none in the world. We have a robust technology, a well-trained workforce, and stringent regulatory requirements. The three main pieces of legislation that govern Canada's nuclear industry are the Nuclear Safety and Control Act, the Nuclear Fuel Waste Act, and the Nuclear Liability Act. Both the Nuclear Safety and Control Act and the Nuclear Fuel Waste Act are modern pieces of legislation that put Canada at the forefront of nuclear regulation.

Backing up our legislative efforts is a strong nuclear regulator, the Canadian Nuclear Safety Commission. The commission operates at arm's length from the government, and its independence is paramount.

With Bill C-15, Nuclear Liability and Compensation Act, we are taking a measured step forward in the comprehensive modernization of Canada's nuclear liability legislation. This legislation will put Canada in line with internationally accepted compensation levels. It clarifies the definition of compensation and the process for claiming it.

The bill is the culmination of years of consultation involving extensive discussions with major stakeholders, including nuclear facilities, the governments of nuclear power generating provinces, and the Nuclear Insurance Association of Canada. It has received broad support.

We look forward to the speedy passage of this legislation through this House.

[Bernard Généreux, Conservative, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Chair, the Government of Canada is investing up to $1.5 billion to increase the supply and availability of clean, renewable fuels such as ethanol and biodiesel.

The ecoenergy program for biofuels provides incentives for development that will stimulate the production of renewable fuels.

Compared with gasoline, grain-based ethanol can reduce greenhouse gas emissions by up to 40% on a life cycle basis. For biodiesel, the emissions reduction can be as much as 60%. The coming regulation for renewable content in gasoline alone could reduce Canada’s annual greenhouse gas emissions by four megatonnes.

Can the minister tell us more about the ecoenergy program for biofuels and what investment is being made in Quebec?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, I would like to thank my colleague for his question. He is very active in his region with respect to bioproducts and bioenergy. The increased use of cleaner, renewable energy is an integral part of our strategy to reduce the release of pollutants into the atmosphere and the production of greenhouse gases in order to help protect our environment. For that reason, we—

[The Chair, Conservative, Andrew Scheer]

The hon. member for Skeena—Bulkley Valley.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Chair, I would like to know from the minister how much money has been allocated to wind energy in the 2009 budget.

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Mr. Chair, we want some clarity on what the member is asking. Is he talking about this fiscal year or last year?

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Chair, I do not know if this is going toward my time, but to be clear, in the budget 2009 clean energy fund, how much money was allocated to wind energy?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, since 2007, $1.48 billion has been invested in the production of clean energy. Investments began in 2007 and will continue through March 31, 2011 inclusive, and this includes clean energy produced by wind.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Chair, that was not my question. In the budget 2009 clean energy fund, how much money was invested in wind energy? I think the minister does not know, or they are looking for it. These are estimates. This is what we are dealing with. I will also ask what amount of money was allocated toward solar energy.

Mr. Chair, I do not know how we go about this. If the deputies need more time to look up numbers, I am not sure what the procedure is for the committee of the whole—

[The Chair, Conservative, Andrew Scheer]

The hon. parliamentary secretary.

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Mr. Chair, in the past, if a member has wanted specific numbers, I think we have been given the time to find them. We can take that time to find them, or we can get them to him later. It is up to him. If he wants to use his time having us look up those numbers, we can do that. If he wants to go on to something else, we can get those numbers to him.

[The Chair, Conservative, Andrew Scheer]

I would suggest that maybe the member for Skeena—Bulkley Valley ask some other questions while they are looking.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Chair, it is a bit concerning to me that those are not more ready. This is the budgetary estimates. We are looking at energy. Eco-energy is clearly one of the things we are looking at. It's the clean energy fund. Maybe I can ask this: How much money in the clean energy fund was allocated toward carbon capture and storage?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, there have been many projects, including three in Alberta. The Quest project, by Shell, received $120 million and the TransAlta Pioneer project received $343 million from the federal government. The third project, Enhance Energy, has received $363 million from the federal government.

[The Chair, Conservative, Andrew Scheer]

I have to interrupt the minister there. I am just trying to preserve the balance of time.

The hon. member for Skeena—Bulkley Valley.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Chair, I am looking for those three figures. If at some point in the answers proceeding the officials can give the three figures, we want to know how much money in budget 2009, through the clean energy fund, was allocated toward wind, solar, and CCS. We believe that the approximate number for CCS was somewhere just shy of $1 billion. Is any of the money used for CCS used for what the industry calls enhanced oil recovery?

[Christian Paradis, Conservative, Mégantic—L'Érable, QC]

Mr. Chair, the answer is no. To go back to the question, I could continue to list the projects. I do not wish to needlessly take up my colleague's time. I can obtain the list of all CCS projects awarded to date.