Debates of June 11th, 2025

Main Estimates and Supplementary Estimates (A), 2025-26

[Tim Hodgson, Liberal, Markham—Thornhill, ON]

Mr. Chair, this discussion about major projects is about so much more than just one type of project; it is about building the strongest economy in the G7 and protecting Canada's prosperity in the face of the U.S.-launched trade wars. I would encourage the member to get on board with the one Canadian economy act.

[Mario Simard, Bloc, Jonquière, QC]

Mr. Chair, in the last Parliament, we talked a lot about a Canadian strategy for the production of green hydrogen, broadly based on carbon capture and storage technologies.

However, Siemens Energy experts candidly admitted to us that it was too technologically risky to go in that direction. Does the minister believe that green hydrogen from gas still has potential?

[Tim Hodgson, Liberal, Markham—Thornhill, ON]

Mr. Chair, Canada has a number of fantastic technologies to reduce carbon and produce low-carbon fuels. We will continue to support that industry.

[The Assistant Deputy Chair, Conservative, John Nater]

The minister is still on his feet and can resume debate.

[Tim Hodgson, Liberal, Minister of Energy and Natural Resources]

Mr. Chair, hon. colleagues, it is an honour to rise in the House today, which is located on the unceded territory of the Algonquin Anishinabe peoples, to discuss the 2025-26 main estimates for the Department of Natural Resources.

Before I begin, I would like to acknowledge the firefighters, first responders, Canadian Armed Forces members and volunteers fighting wildfires and bravely serving Canadians, working tirelessly, often at great personal risk, to protect lives and property.

In the estimates we are here today to discuss, Natural Resources Canada is seeking $5.1 billion, which is an 8% decrease from last year. At this pivotal time in Canadian history, these estimates are more than numbers on a ledger. I would like to zoom out and talk about the moment in which we find ourselves.

Today, we are in what the Prime Minister calls a “hinge moment”. Global economies and markets are volatile. American tariffs are disrupting trade, threatening Canadian jobs and industry and rewriting the rules of the game. We did not ask for this trade war, but we are going to win it. To use the metaphor of a card game, if we are going to sit across the negotiating table from any other country, we need to hold Canada's best cards. That means being able to sell our energy and natural resources to the world and securing sovereignty and security for ourselves right here from coast to coast to coast. It means protecting our landscapes, making life more affordable, expanding our trading partners and modernizing our infrastructure. This is why the government is working with every province, territory and indigenous partner and reaching across the aisle with one goal: retool our economy and strengthen Canada's hand.

Ultimately, though, this is not a card game. Jobs and livelihoods are at risk in every corner of this great country that those of us in this room have the honour to serve: from miners in Saskatchewan to forestry workers in British Columbia, from rigs in Alberta and Newfoundland to Ontario's plants and Quebec's factories. Business as usual no longer serves us well. We need to be bold and meet the moment.

The Prime Minister has laid out a clear strategy. We will be masters in our own home. We will not bow to economic aggression. We will defend our workers, our industries and our values, and we will build a new foundation, one that delivers the strongest, most resilient economy in the G7. That means reframing the national conversation: no more asking, “Why build?” The real question is, “How do we get it done?”

Last week, we took a bold first step by tabling our “one Canadian economy” legislation, which will break apart barriers to internal trade and remove red tape so that we can advance national projects of interest. The legislation calls for us to do this responsibly from the very start, meeting our duty to consult and protecting our environment.

This brings me to these estimates. What looks like numbers on a page is really our statement of intent for the coming year. Our plan is to deliver. It is the foundation of the actions we are taking to secure our nation's prosperity, resilience, security and leadership in the world for decades to come. It is how we will make Canada an energy superpower.

At the core of NRCan's vision to make Canada an energy superpower are three intersecting priorities.

First is regulatory efficiency: making it quicker and more predictable to get nation-building projects off the ground. Canadians have been clear: We cannot afford five-year reviews for projects that are critical to our economic, energy and environmental future. As someone who used to allocate capital, I can tell members that Canadians are right.

The second priority is market diversification. In an era shaped by global competition and protectionism, it is not enough to simply produce world-class energy, minerals or timber. We must ensure that these Canadian products reach global customers to get the best prices for Canadians. That is why these estimates put real resources behind diversifying our infrastructure and trading with those who share our values, not just our borders.

Our third priority is partnership with indigenous peoples. These estimates support indigenous participation, partnership and ownership, notably through an expanded indigenous loan guarantee program, giving communities the ability to finance and benefit from major nation-building projects.

These estimates are not just about overcoming today's challenges; they are about seizing tomorrow's opportunity. At last week's first ministers' meeting, the Prime Minister and every premier from coast to coast to coast made it clear that the time to build and secure our future is now. That is our mandate from Canadians, and we are united in that mission. This is for our sovereignty, economy and security.

I also want to repeat something Premier Kinew said last Monday that deeply resonated with me: “It is a generational opportunity for Canadians, but it is also a generational opportunity for some of the poorest communities in our country.... If we can put the road, transmission and pipe infrastructure to build out those opportunities, this country is not just going to be better off in terms of the GDP growth; we are going to be better off in terms of making sure every Canadian kid can reach their full potential”. That is exactly what this session today, what our plan, through these estimates, is about. It is about building our backbone, not just for the next four years, but for the next 40 years, and ensuring that every Canadian is part of it.

We will build new careers in the resource sector, including in the skilled trades. We will continue to work on reconciliation. We will help our allies break their dependence on less reliable suppliers and put Canadian expertise at the centre of the world's industrial, economic and environmental transformation.

These estimates back up this vision with real investment. I want to highlight five of the bigger grants and contributions representing our commitment to Canadians in every community and sector.

At the top are grants for home retrofits. These would go directly to Canadians, empowering them to upgrade their homes, making life more affordable, lowering energy bills, supporting cleaner construction and creating jobs in the construction sector.

Next, we have earmarked more than $222 million for smart renewables and electrification pathway programs. These dollars would build projects that bring more clean, affordable, reliable power to Canadian communities. My experience in the private sector taught me that our grids are the backbone of Canadian energy security and industrial development, and we need to continue to boldly lead in the electricity sector.

In the mining space, we know that Canada has the critical minerals the world needs, and we are stepping up to deliver. In these estimates, we are asking for $218 million to support mining production and infrastructure. This would include funding to deliver the critical minerals infrastructure fund, which would support the projects that will accelerate Canadian supply of critical minerals and allow us to process and refine here at home and build domestic and global value chains that compete in the 21st century.

Further, we are earmarking nearly $196 million for the production and use of low-cost, low-risk, low-carbon fuels like advanced biofuels, hydrogen and renewable natural gas. Powering our vehicles, ships and industries with clean Canadian fuel helps reduce pollution, create export opportunities and secure our supply chain in a volatile world, keeping our economy competitive for today and tomorrow.

Last, we are supporting a sector I have called “the canary in the coal mine” when it comes to the trade war in which we find ourselves: forestry. Canadian companies continue to face unjustified duties while exporting lumber to the U.S., impacting everyone from workers and home builders to consumers. While we continue to work toward a long-term resolution, these estimates support the forestry sector's innovation and transformation, so Canadian lumber and timber can be used to build for our ambitious new housing strategy and beyond.

These estimates are about more than just spending; they are about investing in Canadians, their communities, their jobs and their future.

They would deliver on our commitment to strengthen our sovereignty and advance environmental imperatives and reconciliation with indigenous peoples. They would drive innovation in every sector and put us squarely on the path to building the strongest economy in the G7.

We need to be bold to deliver on the mandate that Canadians gave us. We need to build things in this country again. We need to secure our rightful place as a true conventional and clean energy superpower. I hope that this mission and every—

[The Chair, Conservative, Tom Kmiec]

The minister's time has elapsed.

Questions and comments, the deputy government House leader.

[Arielle Kayabaga, Liberal, London West, ON]

Mr. Chair, I appreciate the minister's really great speech around the things that Canadians sent us to do in this House. Obviously, we all just came off the campaign trail and we ended up on this side of the House, so I congratulate the minister.

The Americans are threatening Canada's sovereignty and our economy. We all heard collectively at the doors that Canadians want us to deliver on this. What role do natural resources play in protecting our country, and what is the government going to do to get these projects built?

[Tim Hodgson, Liberal, Markham—Thornhill, ON]

Mr. Chair, we can all think back to Mr. Trump in the White House explaining to other leaders that they do not have any cards. In that card game, we have some really good cards. When the President says they do not need our lumber, our potash, our uranium and our autos, we know what Mr. Trump is really saying: They need our lumber, they need our uranium, they need our potash and they need our autos.

We can make more good cards. This is all about preparing ourselves for a new world order. That is what the one Canadian economy act is designed to do. It is designed to identify projects of national interest that will retool our economy, grow our economy and give us the cards we need, whether we are dealing with Mr. Trump, whether we are dealing with China or whether we are dealing with any other nation that has shifted from a post-Bretton Woods world to the mercantilist world we are in today.

[Arielle Kayabaga, Liberal, London West, ON]

Mr. Chair, one of the things that make Canada a really great country is the opportunity that we have taken in our path to reconciliation. Many people have bragged about Canada being a leader in our process of working with the indigenous communities across Canada. Obviously, indigenous communities are leaders in natural resources and their upkeep. We are all very thankful for the land they have kept for so long.

Can the minister tell us the importance of the role that he has to play in bridging and continuing that relationship with indigenous leaders and making sure that this collaboration remains and that we keep that reputation?

[Tim Hodgson, Liberal, Markham—Thornhill, ON]

Mr. Chair, in the private sector, I had the opportunity to build many projects with indigenous communities. The observation that I have is that when consultation is done well, it accelerates projects; it does not slow projects down.

The company that I used to be involved with, Hydro One, was building more transmission lines in the province of Ontario than any other jurisdiction in North America. That was happening because of consultation and economic reconciliation, not in spite of it. The company was building projects and getting them done ahead of schedule and under budget because first nations wanted to partner with the company.

Our bill is designed to make sure indigenous communities are part of the solution. By doing that, we would accelerate projects and get them done more quickly and more economically.

[Arielle Kayabaga, Liberal, London West, ON]

Mr. Chair, we obviously see that there are multiple impacts of climate change across our country and around the world. In order to be an energy superpower, we need to be able to fight climate change and build more renewable energy projects.

What role will the minister's department play in supporting renewable energy?

[Tim Hodgson, Liberal, Markham—Thornhill, ON]

Mr. Chair, when we were together in Saskatoon with the Prime Minister and the premiers, we talked about many, many potential projects in the renewable space.

I will highlight one in particular, the eastern energy partnership, which would involve up to 50 gigawatts, potentially, of offshore wind. That power would be used in conjunction with the incredible resources of Hydro-Québec and its dams, essentially turning the dams into large batteries. Those batteries would allow us to deliver more baseload power to other jurisdictions to earn more money for Canadians. They would facilitate the building of green hydrogen for our allies in Europe, which they are interested in—

[The Chair, Conservative, Tom Kmiec]

Resuming debate, the hon. member for New Tecumseth—Gwillimbury.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, I will be splitting my time three ways.

Why is it so hard for Canadians to afford a home?

[Gregor Robertson, Liberal, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada]

Mr. Chair, housing prices are historically high in Canada, and incomes need to be increased with a stronger economy.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, which party has been in government for the past decade?

[Gregor Robertson, Liberal, Vancouver Fraserview—South Burnaby, BC]

Mr. Chair, the member is asking questions he already knows the answer to, but it has been Liberal governments for three terms.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, what is the price of a home in Ontario?

[Gregor Robertson, Liberal, Vancouver Fraserview—South Burnaby, BC]

Mr. Chair, again, the members opposite are asking questions that they have prepared and know the answers to.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, what is the average household income in Ontario?

[Gregor Robertson, Liberal, Vancouver Fraserview—South Burnaby, BC]

Mr. Chair, I believe that the member has the answer to that question, so he can answer it for himself.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, this is what frustrates Canadians. We ask a question and expect an answer, and I know that the minister can answer the question, so we are going to try again.

There are two clocks in here. What time is it?

[Gregor Robertson, Liberal, Vancouver Fraserview—South Burnaby, BC]

Mr. Chair, it is time to build.

[Scot Davidson, Conservative, New Tecumseth—Gwillimbury, ON]

Mr. Chair, it certainly is. We do need action.

Does the minister understand that home prices have skyrocketed far beyond what most Canadians can afford?

[Gregor Robertson, Liberal, Vancouver Fraserview—South Burnaby, BC]

Mr. Chair, home prices have skyrocketed, and that is why we need to be building affordable housing across Canada.