Mr. Speaker, our government is committed to addressing the challenge of climate change and has followed through on that commitment with concrete action, both domestically and internationally.
Domestically, the government is implementing a sector-by-sector regulatory approach and has started by addressing emissions in two of the largest emitting sectors of the Canadian economy. These are the electricity sector and the transportation sector. With our government's coal-fired electricity regulations, Canada became the first major coal user to ban the construction of traditional coal-fired electricity generation units. The regulations also require the phase-out of existing coal-fired units without carbon capture. For example, in the first 21 years, the regulations are expected to result in a cumulative reduction of about 214 megatonnes of greenhouse gas emissions. That is the equivalent of removing some 2.6 million personal vehicles per year from the road over this period.
In collaboration with the U.S., our government has developed regulations to limit greenhouse gas emissions from new passenger automobiles and light trucks. With these regulations, it is projected that 2025 cars and trucks will produce about 50% less greenhouse gas emissions than 2008 vehicles. Our government has also developed regulations to limit greenhouse gas emissions from new on-road heavy-duty vehicles. With these regulations, it is projected that 2018 heavy-duty vehicles will emit up to 23% less greenhouse gas emissions.
Internationally, Canada is playing a constructive role in the United Nations negotiations toward a fair and effective, new post-2020 climate change agreement. We have always said that for any international agreement to reduce greenhouse gas emissions, all major economies and emitters must do their part.
As my colleague said, we are very encouraged to see the United States and China, accounting for 39% of global greenhouse gas emissions, taking action, as Canada only emits less than 2% of global greenhouse gas emissions. We will continue to play our part by reducing emissions at home and working with our partners across the globe to establish an international agreement that includes all emitters.
Through our current chairmanship of the Arctic Council, and as a founding member and major finance contributor to an international organization on climate change and clean air, we are taking real action to address short-lived climate pollutants, such as black carbon and methane. Due to their short lifespan, reducing these types of pollutants can achieve more immediate climate benefits, particularly in the north.
Our approach is working. We have decreased emissions while growing the economy. For example, in 2012, greenhouse gas emissions were 5.1% lower than 2005 levels, while the economy grew by 10.6% during that same period. Our government will build on these actions by working in concert with the U.S., while continuing to collaborate with provinces to reduce emissions from the oil and gas sectors. This will ensure that Canadian companies remain competitive in the context of the highly integrated North American energy market.
More than 275,000 Canadians rely on the oil sands for jobs. That is why we will continue to take an approach that balances the needs of the environment and the economy. We are going to accomplish all of this without a job-killing carbon tax, which would raise the price of everything.