International clean energy experts discuss investment levels, zero emissions vehicles, building emissions, gender equality in Vancouver meetings

CEM10-MI4_LogoIn the week of May 27, representatives from global government, industry, and NGO’s met as Canada hosted the 10th Clean Energy Ministerial in Vancouver. Several announcements were made against that backdrop:

Investment support for clean energy: The federal government announced it will contribute up to $30 million to Breakthrough Energy Solutions Canada (BESC),  a public-private initiative to support “cutting-edge companies to deliver game-changing clean energy innovations to the market.” This Canadian program will be administered by Natural Resources Canada – in collaboration with Breakthrough Energy Ventures, a $1 billion investment fund launched in 2016 by billionaires such as Bill Gates and Michael Bloomberg.  The Canadian press release quotes Gates: “ We are hopeful that this Breakthrough Energy partnership with Canada will be a model for developing more collaborations…” A summary appears in “Canada launches homegrown version of Bill Gates-led clean energy fund”   in the National Observer (May 27).

The National Observer hosted a panel discussion on clean energy investment on May 28. The panel included the Vice-President of the European Investment Bank, the European Commissioner for Research, Science and Innovation, Canada’s Minister of Natural Resources, and Céline Bak, president of Analytica Advisors and author of the 2019 report,  Leveraging Sustainable Finance Leadership in CanadaA summary and video of the panel’s discussion is hereThe discussion revealed that, unbeknownst to Canada, the  European Commission and the European Investment Bank  have also reached agreement with Breakthrough Energy Ventures on a new €100 million fund to support clean energy investments – described in a May 29 press release.

Clean energy investment trends are worrying, as reported by the International Energy Agency in  World Energy Investment 2019 (May 14) : “Global energy investment stabilised in 2018, ending three consecutive years of decline, as capital spending on oil, gas and coal supply bounced back while investment stalled for energy efficiency and renewables.”  In May,  BankTrack and others published  Fool’s Gold – the Financial Institutions Bankrolling Europe’s Most Coal-dependent Utilities , naming the financial institutions behind almost €16 billion in support to the coal industry since the Paris Agreement was signed in December 2015.

electric truckZero emissions  vehicles: The International Energy Agency released the 2019 edition of one of their flagship publications, Global EV Outlook, which provides historical analysis, projections to 2030, and insights on electric vehicle and charging infrastructure deployment, ownership cost, energy use, carbon dioxide emissions and battery material demand. As part of the discussions on electrification of transportation at the CEM10, Canada became the first national government to endorse the Global Commercial Vehicle Drive to Zero (Drive to Zero) campaign, with British Columbia and the City of Vancouver also signing on . A press release explains “Drive to Zero is a strategic international initiative designed to catalyze the growth of the zero-emission (ZE) and near-zero-emission (NZ) medium- and heavy-duty vehicle sector (MHDV), which includes everything from transit buses to eighteen wheelers to box trucks to school buses. Pledge partners promise to collaboratively put in place supporting mechanisms to speed the early market for these vehicles and equipment.”  Drive to Zero is a program of CALSTART,  a nonprofit consortium with offices in New York, Michigan, Colorado and California, and international partners which include Clean Energy Canada.  As Canada’s Minister of Natural Resources stated in the press release, this is in line with Canadian priorities: the Final Report of the Advisory Council on Climate Action  ( May 28) recommends policies concerning zero-emissions vehicles, including “The Government of Canada, working with partners and stakeholders, should develop an integrated strategy to reduce emissions across modes of transportation, including actions to support modal shifts.”  Related: on May 2, the Pembina Institute published Fuel Savings and Emissions Reductions in Heavy-Duty Trucking : A blueprint for further action in Canada  . 

Gender Equality in Clean Tech:  Over 100 organizations have now signed onto the Equal by 30 initiative, an international campaign begun in 2018. It “ encourages companies and government to adopt gender-equal principles, advance the participation of women in the clean energy transition and take concrete actions to support women in the sector.” A summary of the Gender Diversity participants and events is here . 

Hydrogen as a source of clean energy: A new “Hydrogen Initiative was announced  under the leadership of Canada, the United States, Japan, the Netherlands and the European Commission, with the International Energy Agency as co-ordinating body. The initiative is intended to drive international collaboration on policies, programs and projects to accelerate the commercial deployment of hydrogen and fuel cell technologies across all sectors of the economy, especially industrial and transportation applications.

Building efficiency: Heating and cooling strategies in the clean energy transition: Outlooks and lessons from Canada’s provinces and territories is a report released at the Clean Energy Ministerial meetings on May 27. It is the result of collaborative research between the International Energy Agency and the National Energy Board of Canada. Using Canadian provincial data, it examines energy demand patterns and energy policies regarding  heating and cooling services in buildings, urging policies to move from natural gas to existing, cleaner technologies.  The National Observer summarizes the report in “Cutting fossil fuels could save Canadians  $24 billion a year by 2050”  .

New Alberta government all-in for oil and gas, beginning with repeal of carbon tax

Jason-Kenney Open for businessThe new UCP government of Alberta, led by Premier Jason Kenney,  kicked off  its legislative session agenda on May 22  with a Throne Speech  promising to “show the world that Alberta is open for business by restoring investor confidence and re-establishing the province as a job-creating investment magnet.” That “open for business” approach, applied to the oil and gas sector, includes some ominous statements : …”Protect and maximize the value of Alberta’s resources – including using, as necessary, the Preserving Canada’s Economic Prosperity Act” (Rachel Notley’s law which gives Alberta the right to restrict oil and gas exports to British Columbia)…. “Challenge those who misrepresent our industry and launch a public inquiry into campaigns to landlock Alberta’s energy”…and “Make life more affordable for Albertans by repealing the carbon tax and focusing climate change action on large emitters.”  More positively, “Be transparent and honest about how Alberta produces energy to the highest environmental, labour and human rights standards on earth” ….”Take action on climate change by introducing the Technology Innovation and Emissions Reduction Fund through regulation targeting large emitters.”  Columnist Chris Varcoe provides one Alberta viewpoint  in “Throne speech ‘roadmap’ to revive oilpatch hinges on pipelines” in the Edmonton Journal (May 23) .

The first legislation to be introduced, on May 22, was Bill 1, An Act to Repeal the Carbon Tax . The government press release claims that “Scrapping the carbon tax will free up nearly $1.4 billion of tax burden, create 6,000 jobs, save the average small business $4,500 annually and save Alberta families up to $1,150 a year.”  Even before the Bill was passed in the legislature, the Kenney government ended collection of the tax, on May 30.  In a press release titled “Albertans lose more than they gain with carbon tax repeal”, the Pembina Institute disagrees: “With the tabling of Bill 1 to repeal the Climate Leadership Act, the Alberta government is cutting existing jobs, stunting innovation, removing financial benefits for small- and medium-size businesses, families and communities, and is allowing greenhouse gas emissions to continue to increase. The government has yet to produce a plan that will make up for these losses and build on previous progress.” The National Observer summary is here  . And of course, there is also the issue that, by repealing Alberta’s own carbon tax, the government has made the province subject to the federal backstop carbon levy.

Without the revenue stream of the carbon tax, energy efficiency programs initiated by the NDP government are in jeopardy. On May 24, the Calgary Herald reported  “UCP steps back from scrapping NDP’s Energy Efficiency Alberta; will look at programs ‘with an open mind’” .  Although Jason Kenney derides the Energy Efficiency Alberta programs  as “subsidizing showerheads and lightbulbs”, in fact, the agency supports major economic programs, including those encouraging  the growth of Alberta’s solar industry.  Efficiency Canada documents the benefits for Alberta and points out that Alberta would be the only jurisdiction in North America not to have an energy efficiency program if it is scrapped .

On May 23, the Alberta legislature gave unanimous approval of a motion condemning federal bills C-69 , An Act to enact the Impact Assessment Act and the Canadian Energy Regulator Act,  and C-48, the Oil Tanker Moratorium Act . The Alberta government  claims that the legislation “poses a very real threat to hundreds of thousands of jobs in Alberta and across Canada, and the $16 trillion in economic potential within Alberta’s oilsands that could be lost if they proceed.”  After the Senate Committee tabled its controversial amendments to C-69, the Alberta party leaders sent a joint letter to Prime Minister Trudeau on May 28, stating: “While we remain concerned about the overall spirit of Bill C-69, we believe that with the inclusion of all these amendments, that the bill would be acceptable to the interests of Albertans” . The letter is summarized by Energy Mix in “Alberta Party Leaders Unanimously Back C-69 Amendments from Unelected Senate Committee”.  The marked-up version of Bill-69 with the Senate Committee amendments is dismaying to environmentalists;  a 2018  analysis of the original Bill-69 by Environmental Defence is here .  (The complicated issue of the unelected Senate’s hearings and recommendations regarding Bill C-69 will be the subject of a future WCR report.)

Other  new Alberta legislation in the ”Open for Business” agenda: On May 27,  Bill 2, the Open for Business Act,  promises to “reduce unfair burdens on businesses and give workers more rights in unionized workplaces. Recent changes to employment rules, such as requiring employers to provide holiday pay even if they are not open that day, created an unfair cost burden on job creators.”  The Alberta Federation of Labour reacted,  as did The Parkland Institute in a blog: “Bill 2 grinds wages, complicates payroll, and impedes union drives” .  On May 28, Bill 3: the Job Creation Tax Cut (Alberta Corporate Tax Amendment) Act  was introduced, promising to  lower the corporate tax rate from 12% to 8% over the next 4 years. The Alberta Union of Provincial Employees calls the tax cuts “corporate welfare” in Bill 3 Is UCP’s Second Gift In As Many Days To Wealthy Corporations.  And on May 29, Bill 4, The Red Tape Reduction Act was introduced.

None of these Bills have been passed or enacted as of May 30, although Premier Kenney announced that Albertans were “liberated” from the carbon tax as of May 30,  according to a CBC report , and retailers were forbidden from collecting it.

Proposals to “Electrify Quebec” will bring cleaner transportation; Montreal proposes standards for heating buildings

francois legaultOn May 26, at the party conference of the Coalition Avenir Quebec (CAQ), Premier Francois Legault announced intentions to “electrify Quebec”, reduce oil consumption by  40 per cent by 2030, and reduce the province’s greenhouse gas emissions by 37.5 per cent by 2030.   According to a report from iPolitics , Legault stated “The greatest contribution Quebec can make to save the planet is by helping our neighbours replace their coal-fired, gas fired generators with clean hydroelectricity,”  and he is working to increase hydro-electric exports to New York State.  Regarding electrification of transportation, he proposed to extend Montreal’s electrified light rail network already under construction to the off-island suburbs; to complete a proposed extension of the Montreal’s subway;  new tramways for Montreal and Quebec City; a commuter train link in Gatineau; and  greater use of electric buses.  He noted that two Quebec companies, Bombardier and Alstom, have the capacity to supply the rolling stock for new rail cars and electric buses. He also announced that Quebec’s electric vehicle subsidies will continue, benefitting rural Quebecers without access to transit options. Although plans are far from specific, Legault promised to finance his green plans from the proceeds from Quebec’s Green Fund, with the revenues from its cap and trade auctions.

In response to the recent proposal for an “energy corridor” from Alberta’s new Premier Jason Kenney to bring western crude oil across Canada, Legault stated “There is no social acceptability for an oil pipeline in Quebec.”

Montreal announces 2030 targets to phase out oil heating in buildings: The city of Montreal  is one of hundreds of Canadian municipalities which has declared a climate emergency   – and has been under flood emergency warnings throughout May.  On May 6, in a press release, Montreal Mayor Valerie Plante  announced that the city is developing a plan to  reach carbon neutrality for all municipal buildings by 2030, for all new buildings by 2030, as well as for all existing buildings, by 2050, and have earmarked $4 million by 2021 for the effort.  A CBC  report states  that environmentalists are disappointed at the slow pace and weak level of ambition , and one of the key city councillors resigned, calling for stronger “war measures” against climate change, including a tax on meat, no airport expansion, and planting a half-million trees.  The tree-planting proposal seems particularly urgent, given the heat wave deaths  in Montreal in 2018 – 42 officially attributed to heat by Quebec’s chief coroner,  but with that number still under investigation, and the possibility of  a public inquiry. “Life and Death under the Dome” (May 23) in the Toronto Star  quotes Montreal Public Health official estimates of 66  heat-related deaths that summer. It also explains what the city’s public health officials have done to analyse the causes and patterns – identifying vulnerable populations and areas – and  calling for a greening of the city on a massive scale, including trees,  roofs and architecture .

Update: On May 22, the Government of Canada and the Federation of Canadian Municipalities announced an investment of $2,777,960 in four green infrastructure projects in the Greater Montreal Area, including Laval.  Most of the investment will go to infrastructure and re-naturalization through tree planting, to mitigate the heat island effect and flooding in the city.

Are the media getting the message? Mainstream media begin to cover the climate emergency – updated

Re-written on May 28 to include an article appearing in The Tyee: “Dear Journalists of Canada: Start Reporting Climate Change as an Emergency” .


The traditional media have been criticized for their indifference to the climate change issue – recently, in the Columbia Journalism Review, “The media are complacent while the world burns”, and in The Tyee,  “Dear Journalists of Canada: Start Reporting Climate Change as an Emergency”. 

Both article refer to a  Media Matters report that only 22 of the 50 largest newspapers in the U.S. even bothered to cover the landmark IPCC Report in October 2018. The article in The Tyee is presented as an open letter to media owners and journalists, and reports the author’s own search of  Canadian Newsstream — a database which covers 569 different English language news sources – mostly newspapers, as well as national evening news broadcasts by CBC and CTV television.  Giving examples, he identifies problems of lack of climate change coverage, failure to provide local context about international stories, and failure to seek accountability in story coverage. Finally, he calls upon Canadian journalists “to do these five things: properly placecovercontextualize, and localize the biggest story of our time, and hold public and private institutions to account for their actions and inactions on climate change.”

Improvements are on the way:    The Guardian newspaper in the U.K.  has been called  “one of the best-respected and most widely used international sources of information on the crises of the climate and the natural world” by Climate Home News.  In April 2019, The Guardian became the first newspaper to publish global carbon dioxide levels on its daily weather pages, and on May 17, it announced that it has updated its internal Style Guide to better reflect the reality and depth of the climate emergency. Now, instead of using the term  “climate change” in its reports,  the preferred terms will be “climate emergency, crisis or breakdown”. Other changes:  “global heating” rather than “global warming” and “climate science denier” rather than “climate sceptic”. In its explanation, Editor-in-chief, Katharine Viner is quoted as saying:  “The phrase ‘climate change’, for example, sounds rather passive and gentle when what scientists are talking about is a catastrophe for humanity.”

In a follow-up report by The Guardian,  the Canadian Broadcasting Corporation is cited as the furthest along amongst traditional news outlets (including the New York Times and Washington Post)  in adopting The Guardian’s  language:  “Senior CBC management told staff they were able to use the terms “climate crisis” and “climate emergency” when covering the wide-ranging impacts of temperature rises around the world.”  On CBC Radio, the host of Metro Morning interviewed a spokesperson from The Guardian on this issue here (9:34 minutes audio). Although the CBC guidance is permissive rather than prescriptive, it hardly seems possible to avoid the term “climate emergency”, when  the parliaments of both the federal and the Ontario government formally debated declaring a “climate emergency” in May, and municipalities across the country have already done so (over 300 municipalities in Quebec alone).

Most recently, the Toronto Star began a new newsletter series in May, Undeniable: Canada’s Changing Climate . So far, topics have included: “Toronto’s Ninja Storm” (re the 2018 flooding) (May 21); “Life and Death Under the Dome”  (when 66 Montrealers died in a heat wave)  (May 23) ;  and “Open for Business” (May 27) (re mining in Ontario’s North) . Much more to come from The Star, which has previously collaborated with the  National Observer, Global News, the Michener Awards Foundation, the Corporate Mapping Project and four journalism schools on a special investigative series, The Price of Oil, regarding the impacts of the oil and gas industry on Canadian communities.

Finally, the Columbia Journalism Review and The Nation announced a new international initiative in late April,  the Covering Climate Now project, which  aims to improve the media’s coverage of “the most  urgent story of our time” . The project  “will provide substantial resource guides for journalists, tutorials, source lists, and web briefings; we’ll gather the best of climate coverage in an online blog, and provide commentary on how other reporters can replicate it; and we will increase our own reporting on how news outlets are covering the climate crisis, highlighting what is working and calling out what isn’t.”  The first big goal: to organize a  week of concentrated climate coverage beginning September 16,  in the lead-up to the UN climate Summit in New York City on September 23. They’ll have lots to cover, now that 350.org is also organizing a one-day global strike for September 20.

 

Are there lessons for Newfoundland in a Just Transition strategy for the U.K. Offshore oil industry?

sea-change-cover-212x300Sea Change: Climate Emergency, Jobs and Managing the Phase-Out of UK Oil and Gas Extraction was released on May 15 by Oil Change International, in partnership with Platform and Friends of the Earth Scotland.  The press release summary is here . The report examines the offshore oil and gas industry in the U.K., with special attention to the transition for workers and communities currently dependent on oil  – making it highly relevant to Canadians, especially Newfoundlanders.   Sea Change argues that  with the right transition policies, clean industries could create more than three jobs for every North Sea oil job at risk, which can enable an “equivalent job guarantee” for every oil worker.

The report contrasts two pathways available for the U.K. and Scotland to stay within Paris climate limits:   1. Deferred collapse, in which the countries “continue to pursue maximum extraction by subsidising companies and encouraging them to shed workers, until worsening climate impacts force rapid action to cut emissions globally; the UK oil industry collapses, pushing many workers out of work in a short space of time.” Or  2. Managed transition: in which countries “stop approving and licensing new oil and gas projects, begin a phase-out of extraction and a Just Transition for workers and communities, negotiated with trade unions and local leaders, and in line with climate change goals, while building quality jobs in a clean energy economy.”

To achieve the clearly superior “managed transition” pathway, the report recommends that the U.K. and Scottish Governments:

  • Stop issuing licenses and permits for new oil and gas exploration and development, and revoke undeveloped licenses;
  • Rapidly phase out all subsidies for oil and gas extraction, including tax breaks, and redirect them to fund a Just Transition;
  • Enable rapid building of the clean energy industry through fiscal and policy support to at least the extent they have provided to the oil industry, including inward investment in affected regions and communities;
  • Open formal consultations with trade unions to develop and implement a Just Transition strategy for oil-dependent regions and communities.

offshore oil rigOffshore Oil and Gas in Newfoundland: In Newfoundland, the importance of the offshore oil industry is evidenced by the fact that a  snap election was called shortly after the province reached agreement with the federal government on royalty payments on April 1.  The two governments announced agreement on  a “renewed Atlantic Accord”  – including the “Hibernia Dividend Backed Annuity”, valued at $2.5 billion for the province, according to a CBC report . This is new money that comes from Ottawa’s 8.5 per cent stake in the Hibernia offshore project, and will be paid out in annual installments over 38 years. According to the Q1 2019 Company Benefits Report ,   Hibernia operations employ 1,458 workers, of which 90.8% are Newfoundlanders.

The federal and provincial governments are also closely intertwined in a new consultation process which was launched for the Regional Assessment of Offshore Oil and Gas Exploratory Drilling East of Newfoundland and Labrador  in April, along with the Canada-Newfoundland and Labrador Offshore Petroleum Board. The provincial Minister is quoted in the federal press release:  “Our government is committed to working collaboratively with our federal partners to ensure responsible development of our oil and gas industry. The Regional Assessment is an important step towards exempting routine, low impact activities, such as exploration wells, where potential impacts and standard mitigations are well known, from federal assessment. This is another step we are taking to achieve the vision we set out in Advance 2030 to benefit all Newfoundlanders and Labradorians.”

The Advance 2030 document, released in 2018, is subtitled:  A Plan for growth in the  Newfoundland and Labrador Oil and Gas Industry, and is based on the government’s commitment “to resource development as a key economic driver and to positioning the industry for continued growth.”   In releasing the Advance 2030 report, the government announced some long-term targets, including the direct employment of at least 7,500 people in operations, drilling of over 100 new exploration wells by 2030, and doubling oil production by 2030.  That same Liberal government was returned to power as a minority government on May 16, and compiles news of oil and gas development  here .

 

298,000 workers in Canada’s clean energy sector in 2017 according to new Navius report

missing the bigger pictureReleased on May 23, Missing the Bigger Picture: Tracking the Energy Revolution 2019  summarizes research commissioned by Clean Energy Canada and conducted by Navius Research.  The report emphasizes the healthy growth of Canada’s clean energy sector – which employed 298,000 people in 2017, representing 2% of Canadian employment.  Between 2010 and 2017, the number of clean energy jobs grew by 2.2% a year, economic value grew by  4.8% per year (compared to 3.6% for the economy as a whole), and investment in the sector went up by 70%.  The 15-page report calls the clean energy sector “the mountain in our midst”, emphasizing that it includes many industries, all provinces, and defining it broadly as “companies and jobs that help to reduce carbon pollution— whether by creating clean energy, helping move it, reducing energy consumption, or making low-carbon technologies.”  The findings report includes “sector spotlights” for:  electric vehicles, batteries and energy storage, wind power, and building control and HVAC systems.

The accompanying, 118-page report by Navius Consulting explains the methodology and presents the details of employment, economic value, and investment.  Quantifying Canada’s Clean Energy Economy: An assessment of clean energy investment, value added and jobs  ranks “Clean transport” as the largest employer, with 171,000 jobs in 2017 – 111,000 of those in transit. Jobs in renewable and alternative energy supply grew from 54,000 to 60,000 between 2010 and 2017.   The report also states that the clean buildings sector employed only 19,000 people in 2017, mostly  in green architecture and construction services.

Eco Canada Energy-Efficiency coverDefinitions are clearly important to this issue. The Navius technical report provides details about its definitions and methodology, including the use of the gTech energy economy model.  This will no doubt be required reading in order to compare these findings with those of  Energy Efficiency Employment in Canada, the April report from Eco Canada, which estimated that Canada’s energy efficiency goods and services sector directly employed an estimated 436,000 permanent workers in 2018 (summarized by WCR here ).

 

 

Amazon Employees for Climate Justice vow to persist despite defeat of their resolution and snub by Jeff Bezos

In the end, approximately 7,700 Amazon employees publicly signed their names to an employee-shareholder resolution calling for stronger climate change action by the company, as well as worker protection in situations related to extreme weather disasters. The entire Board opposed the resolution (and all other shareholder resolutions presented at the meeting), despite the strong employee support and the endorsement by two of the largest proxy advisory firms in the U.S., which cited the financial and reputational risks from being heavily dependent on cheap fossil fuels.  “Amazon and CEO Jeff Bezos challenged on climate change. Here’s how shareholders voted on it and other issues” in the Seattle Times  is full, business-like news account of the meeting, including that Amazon intends to release its carbon footprint later in 2019, and that it intends to meet the net zero carbon emissions goals of  the Shipment Zero initiative largely through direct emission cuts, not through buying carbon offsets. However, according to “Jeff Bezos Wouldn’t Even Come On Stage to Listen to His Employees Who Want Amazon to Address Climate Change” in Gizmodo, Bezos and other executives dodged most climate-related questions in the Q&A at the end of the meeting.

Amazon employees 2The group leading the climate resolution, Amazon Employees for Climate Justice, issued their own press release about the meeting, which states: “Because the Board still does not understand the severity of the climate crisis, we will file this resolution again next year. And we will announce other actions in the coming months. We – Amazon’s employees – have the talent and experience to remake entire industries with incredible speed. This is work we want to do.”  Follow further developments at the Amazon Employees for Climate Justice Twitter feed .

Tellingly, Jeff Bezos declined the direct invitation of one of the leaders to join her on stage as she introduced the resolution,  a fact which has been widely reported, not only by Gizmodo , but also in “World’s Richest Man Jeff Bezos Hides Backstage as Amazon Workers Demand ‘Bold, Rapid’ Climate Action” in Common Dreams and even in “Jeff Bezos blew off Amazon employees’ proposal at the shareholder’s meeting and they were miffed: ‘This is not the kind of leadership we need‘” in Business Insider.  

Other, briefer reports of the meeting appeared in The Guardian ,  Los Angeles Times   and in Vox .

Labor’s voice in support of the Green New Deal

Joe Uehlein of Labor Network for Sustainability (LNS) was interviewed by Counterspin Radio on May 3 concerning his views on the Green New Deal; a transcript was published by FAIR on May 8 as “Climate Change is the Real Job Killer”  . Uehlein and colleague Jeremy Brecher have written numerous articles on this theme – including  “12 reasons why labor should support a Green New Deal”, which appeared in Working In These Times in 2018.  LNS monitors the situation and posts new GND endorsements by U.S. labour unions in a dedicated “Green New Deal” section of its website, building a compilation of documents. Labor Network for Sustainability co-hosted a Labor Convergence on Climate on April 13, along with the Alameda Labor Council in California; the next Labor Convergence will take place in Chicago at the end June, with the theme Strengthening Labor’s Voice to Help Shape the Green New Deal. Details are here 

For those interested in the issue of how the Green New Deal is being communicated in mainstream media, “Establishment Media and the Green New Deal: New Wine in Old Bottles” appeared on May 1 in FAIR . The article tracks mainstream U.S. newspaper and network coverage of the announcement by Alexandria Ocasio-Cortez and Ed Markey on February 7 (and 8th), and a subsequent snapshot of coverage two weeks later.   It documents the chronology with  sample headlines and quotes, with some analysis. While none of it is surprising, taken together it condenses the tone and atmosphere of the GND launch. The conclusion: “To meet that level of public concern, the mainstream media should be covering how to leverage climate action quickly and broadly enough to make a dent in the crisis, as well as probing how and if solutions can also bring a clean and just energy economy into existence.”

One might also add that mainstream media should be seeking out the voices outside of  political and academic circles – such as Joe Uehlein’s and those of other labour leaders. One such article, “Labor Unions are skeptical of the Green New Deal, and they want activists to hear them out” appeared in The Intercept  in February, and describes the complex conflict within the labour movement – a topic also addressed by Naomi Klein in   “The Battle lines have been drawn on the Green New Deal” , which appeared in The Intercept (Feb. 13).

 

 

U.K. Parliament declares climate emergency; Government committee calls for Net Zero Emissions by 2050

extinction rebellion signThe government of the United Kingdom became the first national government to declare an environment and climate emergency. on May 1 when it passed a motion by Labour leader Jeremy Corbyn (and Ireland followed suit with its own vote in Parliament on May 10) . Many agree with the headline from Common Dreams, “Activism works: UK Parliament makes history in declaring climate emergency”, reflecting on the huge impact made by the April demonstrations of the School Strikes and Extinction Rebellion in the U.K.

UK net-zero-coverOn the heels of the symbolic victory of the climate emergency declaration, on May 2 the U.K. government’s Committee on Climate Change delivered its long-awaited landmark report, requested by the U.K., Scottish and Welsh Governments in 2018.  Net Zero: the U.K.’s contribution to stopping Global Warming  calls for net zero emissions by 2050, with Scotland to target net-zero by 2045 and Wales to target a 95 per cent reduction by 2050 relative to 1990.  The net-zero target would cover all greenhouse gases, including international aviation and shipping, and allow for the use of emissions credits. The Committee estimates the cost at equivalent to 1-2% of GDP each year, made possible by the rapidly falling cost of new technologies – and balanced by the benefits of a cleaner environment and improved health. In calling for more ambitious targets than the existing one of 80% emissions cut by 2050 (set out in the 2008 Climate Change Act), the Committee states that “Current policy is insufficient for even the existing targets”, and calls for “clear, stable and well-designed policies to reduce emissions … across the economy without delay”.

Links to the research reports supporting the Committee’s report are here .  The Guardian released a brief overview in “‘This report will change your life’: what zero emissions means for UK . More substantial reactions come from:  Carbon Brief, with a detailed summary; and from The Grantham Institute “What is Net Zero?” , and a political wish list in “Urgent response needed from U.K. government on Net Zero Emissions”  .

The Greener Jobs Alliance , a coalition of U.K. unionists and environmentalists, also summarizes what the new report may mean, acknowledging that “The 2050 target date for zero emissions will disappoint many demonstrating across the UK.”, but focusing especially on the breakthrough of the Committee’s call for Just Transition. The GJA states: “It should now reinforce this message by setting up a Just Transition Advisory Group, with union representation from the industrial, energy, public and voluntary sectors….” and “….the absence of a strategic advisory role for unions in the work of the committee is no longer tenable.”

Below is the GJA overview of what the Net Zero report will mean for workers, as published in their news release:

  • Up to one in five jobs across the UK will be affected by a Zero Carbon Britain strategy.
  • Major moves away from fossil fuels – with job losses across oil and gas extraction, power and heating industries, as well as job losses in supply chains for these sectors.
  • Some gas fired power stations could be needed, but they will need to run using hydrogen or Carbon Capture & Storage. All coal-fired stations close.
  • Huge job growth is expected in sectors like renewables, electric vehicles, home insulation and domestic heating.
  • Employment in offshore wind, for example, is predicted to quadruple to 27,000 jobs by 2030. The big prize comes when all three main parts of a wind turbine – the tower, the cell at the top and the blades – are made in the UK. The UK is currently a big importer of renewable technology. The UK has to develop full supply chains across the renewable energy sector.
  • By 2025 at the latest all new cars and vans should be electric, or use a low- carbon alternative such as hydrogen. The automotive industry must transition to electric vehicles, with major implications for jobs, skills and investment.
  • No new homes should be connected to the gas grid after 2025.
  • Retrofitting homes with energy efficiency measures and installing low-carbon heat into new and existing homes will require new skills. This programme could generate many more high-skilled jobs in the installation and construction industries.

FTQ shareholder resolution calls for GHG targets aligned with the Paris Agreement; corporations respond with a charge of “micromanagement”

As part of its stated Action Plan for Engaging in a Just Energy Transition , the Fonds de Solidarité des Travailleurs du Québec  (FTQ) (an investment fund controlled by Quebec trade unions) put forward the following shareholder’s resolution  at the Cenovus Energy Annual Meeting in Calgary in April.  (The text of the resolution appears on page 51, as Appendix A in the company’s Information Circular):

Resolved: That Cenovus Energy Inc. (“Cenovus”) set and publish science-based greenhouse gas (GHG) emissions reduction targets that are aligned with the goal of the Paris Agreement to limit global average temperature increase to well below 2 degrees Celsius relative to pre-industrial levels. These targets should cover the direct and indirect methane and other GHG emissions of Cenovus’ operations over medium and long-term time horizons. Such targets should be quantitative, subject to regular review, and progress against such targets should be reported to shareholders on an annual basis.

The Board’s written response and recommendation  states “…..Cenovus has always and will continue to assess our approach to climate change risk management with a view to maximizing shareholder value. ….Achieving the level of commitment contemplated by the Paris Agreement requires an integrated plan at a national and global level, with policies to guide the actions of governments, individuals and corporations to collectively work together toward the desired outcome. Our view is that it is an overly demanding request, and contrary to the best interests of shareholder value, to require an individual company to unilaterally set targets….   As such, we recommend voting against the proposal.”  And sure enough, as expected, the FTQ proposal was defeated by an  89% vote against. The news is summarized  and in The Energy Mix  and  by the CBC  .

The  Fonds de Solidarité des Travailleurs du Québec (FTQ), along with the Canadian shareholders’ non-profit  SHARE, was also part of the recent resolution to Exxon . That resolution, filed in the U.S.  by a group of investors led by the New York State Common Retirement Fund and the Church Commissioners for England, proposed that the company develop “short-, medium- and long-term greenhouse gas targets aligned with the goals established by the Paris Climate Agreement to keep the increase in global average temperature to well below 2°C and to pursue efforts to limit the increase to 1.5°C.”  In response,  ExxonMobil   applied for and received permission from the  U.S. Securities Exchange Commission (SEC), allowing it to exclude the resolution from its Proxy Circular.  In retaliation, SHARE states in a blog, Why we’ll vote against Exxon’s entire board of directors, that it is “recommending to our proxy voting clients that they withhold their support for all Exxon directors at the upcoming annual general meeting on May 29th.”

The “Micromanaging” argument:  “Investors Worried About Climate Change Run Into New SEC Roadblocks” from Inside Climate News (May 3), in addition to providing a good overview of shareholder actions, explains: “The term “micromanage” has become the linchpin to objections by companies seeking to block these resolutions. The precedent was set last year when the SEC agreed with EOG Resources, a Texas-based oil and gas exploration company, that a resolution asking the company to adopt emissions goals had sought to “micromanage” the company.”  More in  “Exxon Shareholders want action on climate change: SEC calls it micromanagement”  in the Washington Post (May 8). According to the CBC report about the FTQ resolution at  Cenovus, the corporate CEO called the proposal “overly demanding”, and said  “we had challenges with the prescriptive nature of the proposal”,  echoing the industry’s language and strategy.

To stay up to date: The U.S. non-profit As you Sow  monitors corporate environmental and social responsibility, including climate change and the energy transition  – through  press releases  , reports, and an up-to-date database of resolutions .

The clean economy workforce in the U.S. and proposals to make it more inclusive

brookingsclean-energy-jobs_wages Figure2-finalAdvancing inclusion through clean energy jobs  is a report  released  by the Brookings Institution in April 2019,  with a goal to determine “ the degree to which the clean energy economy provides labor market opportunities for historically disadvantaged groups, with a particular focus on equity”.  It examines a range of occupations, not just the traditionally-identified “green jobs”,  identifying approximately 320 unique occupations in three major industrial sectors: clean energy production, energy efficiency, and environmental management.  The report includes detailed discussion of its methodology and data sources, and emphasizes the size of the clean energy economy and its potential to make an impact on the equity of the U.S. labour market.

Some highlights about the “nature” and “ quality” of clean energy economy jobs:

  • Workers in clean energy earn higher and more equitable wages when compared to all workers nationally. Mean hourly wages exceed national averages by 8 to 19 percent.
  • Roughly 50 percent of workers in the clean energy economy have a high school diploma yet earn higher wages than similarly-educated peers in other industries – for example, plumbers, electricians, and carpenters.
  • Some occupations within the clean energy production and energy efficiency sectors require greater scientific knowledge and technical skills than the average American job.
  • The clean energy economy workforce is older, dominated by male workers, and lacks racial diversity when compared to all occupations nationally. Fewer than 20 percent of workers in the clean energy production and energy efficiency sectors are women, while black workers fill less than ten percent of these sector’s jobs.

In the accompanying press release , first author Mark Muro states: “Clean energy occupations are varied, accessible to workers without a bachelor’s degree, and good paying, but they are not yet as inclusive as they should be. To deliver on the sectors’ full promise for economic inclusion, more work needs to be done in front-line communities to ensure under-represented communities and women are more widely included.”  The report concludes with  proposals directed at state and local policy makers, education and training sector leaders, and community organizations.  Broadly, the policy proposals include: “modernizing and emphasizing energy science curricula, improving the alignment of education and training offerings, and reaching underrepresented workers and students.”

Activists are mobilizing to push for a Canadian Green New Deal in the 2019 elections

The push for a Canadian Green New Deal is a rising tide with strong public support, and a number of different activist groups are gathering in different coalitions to push our politicians to action. “Canadian Coalitions’ Election Platforms Call For Faster Action On Climate” (May 7) in The Energy Mix summarizes three prominent initiatives that launched in early May. Here are a few more details:

SUZUKI green new dealThe Pact for a Green New Deal  launched on May 6 with a very high profile campaign in Toronto, Montreal, and Vancouver. An Executive summary called 10 Questions  states: “it is a non-partisan, grassroots initiative supported by individuals, scientists, unions, Indigenous and civil society organizations and youth from across the country.” It  has been endorsed by over 67 organizations, including many of Canada’s largest environmental advocacy groups, and the following  labour unions:  CUPE Ontario, Canadian Union of Postal Workers, Confédération des syndicats nationaux (CSN), Syndicat de la fonction publique et parapublique du Québec, London and District Labour Council, and Canadian Worker Co-operative Federation.  Amongst youth, endorsers include: Climate Strike Canada, PowerShift: Young and Rising, ENvironnement JEUnesse (ENJEU), iMatter Halifax, and Students for Direct Action.  It also includes a number of influential celebrities, including David Suzuki, Naomi Klein, Stephen Lewis, Michelle Landsberg,  and dozens of musicians and artists – even  K.D. Laing, but not Margaret Atwood!  The full list of endorsers is here.

The 10 Questions document also states that the The Pact for a Green New Deal (P4GND) is NOT a copy of the U.S. campaign so widely identified with  the Sunrise Movement and Alexandria Ocacio Cortez. This Canadian initiative was inspired by Le Pacte  that was started in Quebec in November 2018 by Dominic Champagne (who endorses this new initiative).  The Pacte has attracted over  270,000 signatories who pledge to make personal lifestyle changes to address the climate emergency, including citizen engagement, and who endorse a definite list of priorities.  In contrast,  The Pact for a Green New Deal is a visionary process, as set out in a 3-page statement:

“We Invite All Sectors of Society to Launch The Year of The Green New Deal:  We call on workers, Indigenous communities, students, trade unions, migrants, community organizations and people across the country to gather, define and design a plan for a safe future and more prosperous present. The conversation about a Green New Deal for Canada must be led from the ground up. We call on all politicians and political parties to respond to the demands of the people with a Green New Deal that rests on two fundamental principles: 1. It must meet the demands of Indigenous knowledge and science and cut Canada’s emissions in half in 11 years while protecting cultural and biological diversity. 2. It must leave no one behind and build a better present and future for all of us.”

An interactive map here shows all the planned locations for the Pact for a Green New Deal cross-country tour, starting in Toronto in May.

Environmental Asks for the October 2019 Election: Many of the endorsers of the Pact for a Green New Deal are also endorsing another initiative, announced  on May 7, presenting 20 “asks” for Party Platforms .  “These platform recommendations represent the collective priorities of all of the organizations listed below and will form the basis of joint-venture communication concerning each political parties’ commitments in the lead-up to the 2019 Federal election.”  The group will also evaluate and compare the party platforms once they are announced. There are 14 groups involved are:  Canadian Environmental Law Association, CPAWS, David Suzuki Foundation, Ecology Action Centre, ecojustice, équiterre, Environmental Defence, Greenpeace, Nature Canada, Pembina Institute, Sierra Club Canada Foundation, West Coast Environmental Law Association, Wildlife Conservation Society Canada, and WWF-Canada. In addition, the United Steelworkers have announced their support via an article in the Toronto Star,Labour a key partner in a Green New Deal” (May 6 ) , also issued as a USW press release.

Younger Canadians launched their own political initiative to fight for a Green New Deal on April 17. The group, Our Time, states its goal   is “to organize and mobilize a generational alliance of young and millennial voters that’s big enough and bold enough to push politicians to support a Green New Deal in the lead up to the 2019 election.”

And without using the tern “Green New Deal”, the youth organization Climate Strike Canada, inspired by the Fridays for Future movement, has set out a list of political demands in an Open Letter and online petition :

“We, as citizens, therefore call upon all political parties and politicians to create and commit to a science-based and human rights focused Emergency Plan for Climate Justice that limits global warming to 1.5 degrees Celsius.

We, as citizens, pledge to vote only for political parties and politicians that include the following demands in their Emergency Plan for Climate Justice.

  • Bold Emissions Reductions Targets
  • Separation of Oil and State
  • A Just Transition
  • Environmental rights
  • Indigenous rights
  • Conservation of Biodiversity
  • Protection for Vulnerable Groups

Canadian youth continue climate strikes and join the political push for a Canadian Green New Deal

fridays may 3Students in approximately 95 towns and cities across Canada went on strike from school on May 3, continuing their Fridays for Future campaign .  As was the case after the huge March 15 demonstrations ,  mainstream press coverage was limited, but included a front-page story in the Sudbury Star . Other coverage:  Corner Brook Newfoundland ; Regina Saskatchewan , Edmonton , and Vancouver, where an article in The Straight (May 3) summarizes the strike in Vancouver and notes others across Canada and the world.  In Halifax, CBC News reported that 400 students marched, despite threats of suspension from at least one high school .  In “Thousands march for action on climate change in Montreal as city braces for flooding”, the CBC reports that intergenerational demonstrations were held in Quebec on April 27, and states “Quebec’s largest unions took part in similar marches in Sherbrooke, Trois-Rivières, Rimouski, Rouyn-Noranda, Alma, Gaspé, Mont-Laurier and Ottawa.”

Youth are driven by fear:  The National Observer has launched a new series on Youth, Parents and the Climate Crisis with “Climate strikes and the youth mental health crisis” (May 2).  Similarly,  “Meet the millennials grieving for the future of planet Earth” describes ecological grief circles in Montreal .  The words of a sampling of youth leaders are revealing in the interviews from  “Canadian Teens Told Us Why They’re Striking Over Climate Change” (May 2) in  Vice . 

What’s Next?  The Federal Election and a Green New Deal: Students say they will continue their school strikes, and in addition, some are now joining the political fight, despite being too young to vote in many cases.   Climate Strike Canada has posted an Open Letter and online petition which lists their demands:

“We, as citizens, therefore call upon all political parties and politicians to create and commit to a science-based and human rights focused Emergency Plan for Climate Justice that limits global warming to 1.5 degrees Celsius.

We, as citizens, pledge to vote only for political parties and politicians that include the following demands in their Emergency Plan for Climate Justice.

  • Bold Emissions Reductions Targets
  • Separation of Oil and State
  • A Just Transition
  • Environmental rights
  • Indigenous rights
  • Conservation of Biodiversity
  • Protection for Vulnerable Groups

SUZUKI green new dealSeveral youth organizations are among the 67 groups who announced for a Green New Deal for Canada  on May 6, launching another political movement to fight for  climate change action in the coming election.  The Energy Mix provides a summary of these new political campaigns  in “Canadian Coalitions’ Election Platforms Call For Faster Action On Climate” (May 7).  Common Dreams also describes the new group in “‘The Pact for a Green New Deal’: Visionary Roadmap From Canadian Coalition Launched”  (May 6).

GM Oshawa investment will save 300 jobs; Toyota announces new production in Cambridge

GM May 2019On May 8, General Motors Canada and Unifor held a joint press conference and  issued a statement  announcing that GM will invest $170 million to save approximately 300 of the 2,600 union jobs at the Oshawa Ontario manufacturing facility, slated for closure by the end of 2019 as part of  the North American restructuring announced in November 2018.

After a vigorous and high profile union campaign against the closure, an “Oshawa Transformation Agreement” has been reached, including:

  • A $170 million investment by GM to convert the plant from vehicle assembly to stamping, related sub-assembly, and “other miscellaneous activities for GM and other auto industry customers.”
  • Part of the Oshawa Plant property will be converted into a test track for autonomous and advanced technology vehicles, to  support GM Canada’s existing  Canadian Technical Centre , in particular its Oshawa and Markham campuses where the company  develops software and hardware for Autonomous Vehicle Systems, Embedded Controls, Active Safety Systems and Infotainment.
  • The company will also donate the three-acre Fenelon Park and the 87-acre McLaughlin Bay wildlife preserve to the City of Oshawa “for the permanent benefit of all its citizens.”

But what about the workers?

A separate Jobs Transition Backgrounder states:

  • GM Canada will offer special relocations to Oshawa employees for jobs at the St. Catharines propulsion plant or the Woodstock Distribution Centre;
  • GM will offer enhanced retirement packages to retirement-eligible Oshawa Assembly employees “including vouchers toward the purchase of new GM vehicles, a benefit that will support both retiring employees and GM dealerships in Durham Region and surrounding areas.”
  • In June 2019, GM Canada, Unifor and the Ontario government will open a Jobs Action Centre in Oshawa, offering  personalized transition counselling, a skills / jobs matching database and “other supports.” Durham College, the local community college,  will support the Job Action Centre with a dedicated jobs portal and several job fairs planned for 2019.
  • Durham College, Centennial College, and Trent University Durham will offer training tailored to regional and GTA-based partner employers.
  • “GM Canada will offer training support for qualified Oshawa Assembly hourly employees.” (no further details stated in the public release).

Unifor Local 222 , which represents the workers at the Oshawa plant, have called a meeting on May 9 to inform the membership about the resolution of their grievance against the company, which sought to increase incentives and severance packages.

In better news for Ontario’s auto industry:   Starting in 2022, Toyota will begin to produce the luxury  Lexus NX at its Cambridge plant, in both gasoline and hybrid versions . ( Cambridge currently produces of the mid-size luxury Lexus RX and RX hybrid). According to a report in the  Hamilton Spectator : “Prime Minister Justin Trudeau, Deputy Ontario Premier Christine Elliott, and a host of local mayors and dignitaries were at the Fountain Street facility Monday afternoon to announce the plant had secured the right to make the company’s Lexus NX gas and hybrid compact SUVs starting in 2022. The news came almost a year after the federal government partnered with the province — at the time led by Kathleen Wynne and the Liberals — to each invest $110 million in the company as part of an overall investment of $1.4 billion by Toyota.”

Women and minorities still at a disadvantage in U.S. solar industry

solar industry 2019 diversity infographicThe U.S. Solar Industry Diversity Study 2019  was released by The Solar Foundation ,  in partnership with the Solar Energy Industries Association on May 6, reflecting  a growing  industry awareness of the need to promote inclusion. The 2019 study is based on survey responses from 377 employers and 398 employees in the winter of 2018, and reports on  job satisfaction, career paths and progression, and wages.

Some highlights: 

  • Among the senior executives reported in the survey, 88% are white and 80% are men.
  • Three of the top five recruitment methods rely on professional and personal networks – putting minority applicants at a disadvantage to be hired  (Only 28% of Hispanic , Latino, and African American  respondents reported that they found their jobs through a referral or by word of mouth, compared to 44% of white respondents).
  • There is a 26% gender wage gap across all position levels. 37% of men earn in the range of $31 to $74 per hour, compared to only 28% of women.  The median wage reported for men was $29.19, and for women it was only $21.62.

The full report is available here (registration required). This is the second Diversity Report, but the first, in 2017, is no longer available online. An accompanying  Best Practices Guide  is a brief guide aimed at HR managers to encourage diversity and inclusion programs.  A summary  of the report appears in Think Progress .

Other reports which confirm the need for more diversity in the solar industry: 

Solar Empowers Some  (February 2019)  focused on the state of diversity and inclusion in Baltimore and Washington D.C.

Advancing inclusion through clean energy jobs  (April 2019)  by the Brookings Institution goes beyond just the solar industry to include all clean energy and energy efficiency occupations. It reports that fewer than 20 percent of workers are women, and less than 10 percent are black, confirming that the clean energy economy workforce is older, dominated by male workers, and lacks racial diversity compared to all occupations nationally.  This report, importantly, also documents skills and educational requirements, and is written in the context of labour market issues for a transition to a clean economy.

We have little comparable research in Canada. As reported in the WCR  previously,  Bipasha Baruah at Western University in London researches the gender issue in the renewable energy industry, and in 2016 presented a report,  Creating and Optimizing Employment Opportunities for Women in the Clean Energy Sector in Canada, at Imagining Canada’s Future, an SSHRC Knowledge Synthesis Symposium at the University of Calgary.

Saskatchewan Court of Appeal rules for federal carbon tax program

With implications across the country, the Saskatchewan Court of Appeal handed down a 3-2 decision  on May 3, ruling that the federal Greenhouse Gas Pollution Pricing Act (GGPPA) falls within federal government’s “National Concern” constitutional power. The Saskatchewan Association for Environmental Law has compiled all the legal submission documents here ; the EcoFiscal Commission provides a summary of the 155-page Decision here  .

Local coverage and reaction appeared in the Regina Leader Post (May 3) in “Court of Appeal: Saskatchewan government loses carbon tax challenge , and the Premier of Saskatchewan immediately declared that the province will appeal to the Supreme Court of Canada, which it must do within 30 days.  As the Globe and Mail points out,  “Saskatchewan court rules federal carbon tax constitutional in first of several legal challenges” .  According to a CBC report, the Premier of New Brunswick  is still considering his options, but newly-elected Premier Jason Kenny of Alberta will join the Saskatchewan Supreme Court action. The Premier of Manitoba announced that his government will not abandon its own court challenge, which it launched on April 3. In Ontario, the Ford government is aggressively promoting its own battle over the carbon tax: four days of hearings ended on April 18th, and the Ontario Court of Appeal is expected to render its own decision on the constitutionality of the carbon tax in several months – possibly not until after the federal election in October 2019.

The political significance of the Saskatchewan decision:  Aaron Wherry at CBC  summarizes the general situation in  “The carbon tax survived Saskatchewan. That was the easy part”  (May 4).  The Globe and Mail states what is a widely accepted opinion in its editorial,  “Why conservatives secretly love the carbon tax”: “Round One goes to Ottawa. But the courtroom war against the federal carbon tax continues – waged by a fraternity of conservative provincial governments with more of an eye on immediate political returns than ultimate legal outcomes.”

Update:  Three law professors- Jason MacLean (University of Saskatchewan), Nathalie Chalifour ( University of Ottawa) and Sharon Mascher (University of Calgary)  published a reaction to the Saskatchewan Court’s decision on May 7 in The Conversation“Work on Climate not weaponizing the constitution”   takes issue with some of the finer legal points of the decision, but welcomes the Court’s recognition of the urgency and scale  of the climate emergency, and concludes: “We have to stop weaponizing the Constitution and start working together, across party lines at all levels of government, on urgent and ambitious climate action.”

436,000 workers in energy efficiency jobs in Canada in 2018 – more than twice oil and gas industry

Eco Canada Energy-Efficiency coverOn April 29, Eco Canada released a new report, Energy Efficiency Employment in Canada , stating that “Canada’s energy efficiency goods and services sector directly employed an estimated 436,000 permanent workers in 2018 and is poised to grow by 8.3% this year, creating over 36,000 jobs.” According to the agency’s press release, this is the first report of its kind in Canada to offer  a comprehensive breakdown of revenue, employment figures, and hiring challenges.   One of the key takeaways of the report is highlighted in an article in The Energy Mix: “Energy Efficiency employs 436,000 Canadians – more than twice the total in oil and gas

Some highlights from Energy Efficiency Employment in Canada

  • Energy efficiency workers in 2018 were employed across approximately 51,000 business establishments across six industries:  construction, manufacturing, wholesale trade, professional and business services, utilities, and other services.
  • Construction is by far the largest employer with 287,000 jobs across 39,000 establishments – 66% of the energy efficiency workforce. The next largest industry is wholesale trade, with 47,836 jobs (11%).
  • Among the direct and permanent energy efficiency workforce across all industries, approximately 29% spent all their time, 27% spent most of their time, and 44% spent a portion of their time on energy efficiency activities.
  • Just under one-fifth or 18% of workers were  female, and 2% were Indigenous, (both figures lower than national workforce averages).
  • Approximately 58% of energy efficiency workers were 35 or older.
  • 42% of energy efficiency workers were between ages 18 and 34  (compared to 33% in the national workforce).
  • Energy efficiency employment grew by almost 2.8% from 2017 to 2018, compared to 1.0% for all jobs nationally.
  • At 2.3% of Canada’s economy,  Canadian energy efficiency employment makes up a greater share of the economy than it does in the United States, at 1.9% .

Eco Canada infographic Enegry-Efficiency-Employment-The report is a result of a comprehensive survey conducted in the Fall 2018 with 1,853 business establishments, and also relies on Statistics Canada data. It tracks the methodology of the United States Energy Employment Report (USEER), to make comparisons consistent. The research is funded by Natural Resources Canada and the Government of Canada’s Sectoral Initiatives Program.

 

Job shifting effects of carbon pricing policy, with a focus on the Canadian construction industry

Construction and Carbon: The Impact of Climate Policy on Building in Canada in 2025  is a report released on May 1 by the Smart Prosperity Institute, with a title that doesn’t reflect the full range of the study.  The report actually models the effect of carbon pricing on GDP and employment in six sectors, although construction is the focal point since the research was financed by the Canadian Building Trades Unions.  Author Mike Moffatt uses the general equilibrium model gTech  to project two scenarios for the medium term (2025) :  a “business as usual” case (which assumes federal and provincial carbon policies as they existed in 2018) and an “aggressive” case, which assumes carbon prices increasing over time so that Canada would achieve its  Paris Agreement commitment to reduce  greenhouse gas emissions  by 30% by 2030.

Smart Prosperity emphasizes that “the construction sector is one of the ‘winners’ of carbon pricing, as escalating carbon prices unleash a wave of business and household investment.”  Specifically, raising the stringency of carbon prices (the aggressive scenario) shows that the total number of jobs in Canada would  increase by an 39,500 – 19,000 of which would be in construction, and 55,000 of which would be in services. These gains are offset by job losses in the other sectors: utilities, resources, manufacturing, and transportation. smart prosperity map re construction reportProjections are broken down by province: showing that for construction jobs, Saskatchewan would see the greatest growth, followed by Quebec, Ontario, New Brunswick, Alberta, and British Columbia.

The report also provides forecasts for: Investment by sector; Impact of Higher Carbon Policies on Business Investment by Type (e.g. renewable energy, CCS, public transit); and  Impact of Higher Carbon Policies on Household Investment by Type (building efficiency, low-carbon vehicles).

The differentiated effect of carbon taxes by sector is a theme explored in an earlier Smart Prosperity working paper  Do Carbon Taxes Kill Jobs? Firm-Level Evidence from British Columbia , released in March 2019 as part of the Clean Economy Working Paper series.  The Smart Prosperity Institute is based at  the University of Ottawa.