Canada at COP24: Summary and reaction

COP24-table of delegatesIn the wee hours of Saturday December 16, after a dramatic extension of negotiations, the Katowice Climate Change Conference of the Parties (COP24) concluded with the adoption of  the Katowice Climate Package.   The meetings had brought together over 22,000 participants, including nearly 14,000 government officials, over 7,000 representatives from UN bodies and agencies, intergovernmental organizations, and civil society organizations, and 1,500 members of the media.  What was accomplished?    IISD Reporting Services provides an overview summary of accomplishments,  and a 34-page compilation of official decisions . For a more readable general overview, the UNFCC summarizes and links to the highlights in a release on December 14 , including reports and developments of civil society participants. Next steps for the international negotiators: Another round at  COP 25 in Chile in November 2019.  In preparation, UN Secretary-General Antonio Guterres will convene a Climate Summit in New York City in September 2019 .

Canadian reaction to COP24:  As characterized by Elizabeth May, leader of Canada’s Green Party – there was a dual agenda at the COP24  meetings: first,  to agree on  the “Paris Rule Book”,  which will govern a shared approach to calculating and reporting on the specific items required under the  Paris Agreement, and secondly, to respond to the urgency and dire warnings of the October IPCC report to hold global warming to 1.5 degrees C.  Recognizing the difficulty of achieving any level of agreement in the politically fraught atmosphere of 2018, reaction in Canada and internationally was generally positive and aimed to put the best light possible on the failure to resolve other points, such as more ambitious GHG reduction targets.

From Canadian sources:COP24 delivers progress, but nations fail to heed warnings of scientists”  (Dec. 15) from the Climate Action Network Canada; “The Hard Work Starts Now as COP Delivers Incomplete Rule Book, Low Ambition”   from the Energy Mix (Dec. 18); “Environmental activists frustrated COP24 deal not strong enough” at CBC ; and from Greenpeace Canada  “COP24 ends without firm promises to raise climate action and ambition.”   More critical comments come in “Trudeau government fails to take bold action at COP24 to avoid climate breakdown” (Dec. 16)  and  “McKenna’s global carbon market plan more charade than genuine climate action”   both  by Brent Patterson in Rabble.ca.  On December 14, CBC broadcast an interview with Elizabeth May , where she asks  “Do we want to survive or not?” , criticizing the focus on bureaucratic process which interfered with addressing the fundamental question of how to reduce emissions.

What did Canada achieve at COP24?:  Canada’s  Minister of Environment and Climate Change pledged to improve Canada’s emission reduction targets on December 5 before she travelled to Katowice, and once there, signed on to the statement of the “High Ambition Coalition” , (along with    the Marshall Islands, Fiji, Ethiopia, EU, Norway, U.K., Germany,  New Zealand and Mexico), pledging to enhance their Nationally Determined Contributions under the Paris Agreement by 2020.

Regarding coal phase-out, the government’s official  statement  was issued on December 13,  highlighting  Canada’s continuing leadership role in the Powering Past Coal Alliance, which was co-founded by Canada and the U.K. in 2017.   On  December 12, Canada made good on its 2016 pledge to phase out traditional coal-fired electricity by 2030 by publishing the final regulations for that effort in the Canada Gazette .

Regarding Just Transition:  Previous WCR posts (Dec. 6  and Dec. 11  ) summarized the many Just Transition publications and events at COP24.  Canada, along with 40 other jurisdictions, was a signatory to the  Solidarity and Just Transition  Silesia Declaration  put forth by host country Poland.  In the Climate Action Network Canada  press release at the conclusion of COP24, Donald Lafleur, Executive Vice-President, Canadian Labour Congress is quoted by Climate Action Network as saying:   “Canada’s trade unions applaud Canada and other parties for signing on to the Solidarity and Just Transition Silesia Declaration. We hope to see a commitment to a just transition that is tied to human rights and helps drive a more ambitious climate action plan designed to keep global warming below 1.5 degrees.”  The Environment and Climate Change Minister joined the Canadian Labour Congress and the Just Transition Centre at the side event,  Unions in Action on Just Transition,  on December 10, yet she did not release the recommendations of the federal Task Force on Just Transition for Canadian Coal Power Workers and Communities .  Personal testimony of Just Transition came  from Roy Milne, a coal miner and the president of United Steelworkers Local 1595 in Wabamun, Alberta, who calls himself part of the first group at the first coal mine to be  phased out in Canada. “Some jobs in new energy industries come with a pay cut of $50K: coal miner” is an interview with Mr. Milne, was broadcast on CBC’s The Current on Dec. 13, in which he states that currently, “a basic operator earns $80,000-$100,000 per year, with additional benefits and a defined pension scheme. An electrician retraining as a renewable energy technician would go from that salary to $45,000-$50,000 per year.”

Other issues: The Minister’s  own Statement at the conclusion of COP24 says that “Canada also played a leading role in laying the groundwork for a global carbon market, to help mobilize the billions of dollars of investments needed to tackle climate change” and “ Canada took part in the Carbon Pricing Leadership Coalition, encouraging all countries around the world to use the most cost-effective tool to reduce emissions.”  The details of that global carbon market remain unspecified.  In another press release,  the government announced that it will support increased participation by Indigenous people in international climate talks, by  providing  $800,000 over four years to to enable the creation of the Indigenous Peoples Focal Point at the United Nations Framework Convention on Climate Change. “The Focal Point will coordinate and lead work on issues related to Indigenous Peoples and climate change, promote awareness of Indigenous perspectives on climate change, and serve as a technical expert and advisor.”

And yet, with all the pledges and announcements, it must be noted that right after COP24, on December 18, the government of Canada announced    a $1.6 billion aid package for Alberta’s oil companies.  The National Observer article summarizes this in “Sohi announces $1.6 billion to help Alberta oil patch”  and quotes Minister Sohi: “ These are commercial loans, made available on commercial terms. We have committed to phasing out inefficient fossil fuel subsidies by 2025, and we stand by that commitment.” However, as stated in a press release from Environmental Defence    “At COP24 in Katowice, Minister of Environment and Climate Change Catherine McKenna announced that Canada would increase the ambition of its targets to cut carbon pollution. Less than two weeks later, her Cabinet colleagues, Minister of Natural Resources Amarjeet Sohi and Minister of International Trade Diversification Jim Carr, are using public money to make Canada’s already-weak targets even harder to achieve.”

 

 

 

COP24 Updates and Week 2: Voices of unions, business, the U.S., and youth

COP24-table of delegatesThe official meetings of the Conference of the Parties (COP 24) in Katowice began optimistically, with  over 40  countries, including Canada,  adopting the host country’s Solidarity and Just Transition  Silesia Declaration . On the same day, December 3,   IndustriALL Global Union and IndustriAll European Trade Union issued a joint declaration demanding a Just Transition for workers  .  The week ended with a diplomatic stand-off on whether delegates would “welcome” or “recognize” the landmark IPCC Scientific report – with four obdurate fossil fuel countries – U.S., Russia,  Saudi Arabia, and Kuwait –refusing  to use the word  “welcome”;  The Energy Mix summarizes those weekend negotiations and why the outcome is important – the Union of Concerned Scientists issued a statement that they are “deeply alarmed” by the U.S. position.    DeSmog UK sums up some of the concerns from Week 1 in  ‘We Cannot Accept an Unjust Energy Transition’: Future of Coal Communities Becomes Crucial Issue at Climate Talks”  .   The good news, according to an ITUC policy officer quoted in the article, is that “never, ever, before had climate negotiators debated so much about the impacts of the energy transition on workers and their communities”.

Away from the official agenda, in all-important side meetings:  on December 6, the Polish trade union Solidarność signed a joint declaration  with the U.S. Heartland Institute, aligning itself with the climate denying group and rejecting climate science.  A series of meetings were co-organized by Trade Unions for Energy Democracy (TUED)  ,  Trade Union Confederation of the Americas (TUCA)Rosa Luxemburg Stiftung-New York Office, the UK’s Public and Commercial Services UnionFriends of the Earth Europetransform! europe. The Agenda of the meetings is here ; discussion focused on the TUED discussion paper  written by  Sean Sweeney and John Treat,   When “Green” Doesn’t “Grow”: Facing Up to the Failures of Profit-Driven Climate Policy,  which is described as  “a discussion paper highlighting the failures of profit-driven climate policy and making the case for an alternative approach that focuses on the public good and meeting basic human needs, and that embraces the struggle for public / social ownership and democratic control over energy resources and use.”   It concludes with the observation that at the moment, everyone is being left behind. “This is not a scenario that unions can accept. Only a coordinated, public-goods approach allows us to escape the contradictions of commodified energy systems that pit some workers against others.”

Week 2, which runs from December 10 to 17th, has seen the arrival of political leaders, including Canada’s Environment and Climate Change Minister Catherine McKenna.  An interview with McKenna on her first day in Katowice appears  in the National Observer,  “McKenna says climate targets could be law in future” .  One of the issues addressed in the interview: a new report from Stand.earth and Environmental Defence, Canada’s Oil and Gas Challenge: A Summary Analysis of Rising Oil and Gas Industry Emissions in Canada and Progress Towards Meeting Climate Targets ,  which  shows how oil and gas emissions in Canada are rising, and documents examples of how oil and gas companies have influenced  Canada’s climate policies. It calls for phasing out subsidies to the oil and gas sector on an accelerated timeline, and extending just transition policies , especially to oil and gas workers. McKenna did not commit to any such new policies.

In its only official event, the  U.S. Administration attempted to lead a session on December 10,  called “US innovative technologies spur economic dynamism”, which promotes “ clean coal”.  As reported by Common Dreams  and DeSmog UK , protesters – mostly young people – disrupted the meeting  with laughter and speeches before they walked out.  Think Progress summarizes the event and the U.S. presence at COP24 in “Anger, protests greet U.S. fossil fuels side event at U.N. climate talks”.  In contrast to the positions of the U.S. Administration, We are Still In  , the coalition of U.S. state and local governments and organizations, is presenting a full slate of presentations and panels supporting the Paris Agreement – their agenda is here .  Included under this umbrella are the positions of the U.S. business community, including the We Mean Business coalition .  Their  blog, “Why we need a Just Transition to a Low Carbon World” summarizes their report, released at COP24:  Climate and the Just Transition: The Business Case for Action   .

From an international business view,  Climate Change and the  Just Transition: An  Investor  Guide was released on December 10   by the Grantham Research Institute on Climate Change and the Environment at the London School of Economics, in partnership with the the Initiative for Responsible Investment at the Harvard Kennedy School.    The International Trade Union Confederation is also listed as a partner in this publication.  The Guide endorses the need for Just Transition and illustrates a review of academic research and reveals the viewpoints of the financial community on the value of Just Transition. The release of the report coincides with the release of a Global Investor Statement  by some of the world’s largest pension funds, asset managers and insurance companies, which calls for governments to phase out thermal coal power, put a meaningful price on carbon, and phase out fossil fuel subsidies. It’s significance is described  in The Guardian article, “Largest ever group of global investors call for more action to meet Paris targets”   .  The Investor Group Briefing Paper  includes an endorsement of the Powering past Coal Alliance, and states: “Investors encourage governments to transition to a low carbon economy in a sustainable and economically inclusive way. As stated in the Paris Agreement, this must include “the creation of decent work and quality jobs in accordance with nationally defined development priorities”, by providing appropriate support for workers and communities in industries undergoing transition . Additionally, governments should work with investors to ensure that the benefits and opportunities created by acting on climate change and the increased adoption of clean energy technologies are accessible to all”.

For COP24 News  from a trade union perspective , read a blog by Philip Pearson appear in “Breaking News” at the Greener Jobs Alliance website or the  COP24 Blog by IndustriALL  .

And for another view of the “unofficial” side of COP24, check Democracy Now, which is reporting from Katowice.   “Thousands Protest at U.N. Climate Summit in Coal-Heavy Poland, Facing Riot Police & Intimidation ”   was posted on December 10,  and Amy Goodman interviewed Swedish teenager and “climate hero” Greta Thunberg  on December 11.  December 8 was officially dedicated to Youth voices , with Greta being the most publicized, but certainly not alone.  Last words to Greta and the  young people she represents:   “… we have not come here to beg the world leaders to care for our future,” …. They have ignored us in the past and they will ignore us again. We have come here to let them know that change is coming whether they like it or not. The people will rise to the challenge.”  And from video of a speech posted by the UNFCC , she states: “The first thing I have learned is that you’re never too small to make a difference.”greta speech cop24

Talking Just Transition in the heart of coal country: COP24 delegates gather in Katowice, Poland

cop24 just transitionRepresentatives of almost 200 nations are meeting  at the 24th annual Conference of the Parties (COP24)  in Katowice, Poland from December 3 to 17.  Their goal is to negotiate a “rulebook” to turn the Paris Agreement pledges of 2015 into reality – basically, trying to find agreement on a host of implementation details so that the world can limit warming to 2, preferably 1.5 degrees C.

Katowice coal museum

Museum to coal mining in Katowice, Poland

With Poland as the host country and the  location of the meetings in the centre of the country’s coal region, it was inevitable that Just Transition would have a high profile at COP24 . The first day of the meetings at the Polish Pavilion was devoted entirely to discussion of the Solidarity and Just Transition Silesia Declaration  which has been signed by Poland’s President and heads of 44 other countries. The Declaration states that social approval of changes is essential for the transition to a  low-carbon economy and the social security of workers in affected communities is the first and foremost policy goal. Although the International Trade Union Congress is meeting for its 4th World Congress in Copenhagen in the week of December 2,  it released a statement of support for the Silesia Declaration, stating “This declaration means that workers and their unions will have a seat at the negotiating table and workers’ voices will be heard when climate policies are developed and implemented. Good social dialogue processes are a crucial factor to make the changes to industries, sectors and national economies that will stop dangerous climate change and unleash a 65 million low-carbon jobs dividend by 2030. ”

Also at the ITUC World Congress, Canadian Labour Congress president Hassan Yussuff delivered a speech (radio broadcast here ) on December 5 about on how Canadian unions are dealing with climate change.  The European Trade Union Confederation is also participating in the discussion on Just Transition –notably with participation in the  December 3 session  ‘Game changer for the future of work: Towards a just transition with gender equality’ . A list of ILO sessions and events regarding Just Transition and Decent Work is here .

December 10 has been designated as “Ambition and Just Transition Day”, and on December 13, Canada and the U.K. , as co-founders of the Powering Past Coal Alliance, will co-host a Side-event  to showcase the PPCA progress and to launch a new report on global coal economics by Carbon Tracker . mapping just transition 2018Already  launched at COP24:  Just Transition: Mapping Just Transition(s) to a Low Carbon World , published by the Just Transition Research Collaborative (JTRC), part of the U.N. Research Institute on Social Development (UNRISD). It focuses on Brazil, Germany, Kenya, South Africa, the United States, and Canada – with contributions from Hadrian Mertins-Kirkwood.  The report discusses how differently Just Transition has been framed, and provides case studies of how it is being implemented in the six countries.

The Climate Action Network- Canada (CAN-Rac) is participating at COP24 and released a Brief which sets out five goals for the meetings, including  Just Transition goals. CAN-Rac calls for stronger institutional recognition of just transition – by  including a Just Transition commitment  in the official Nationally Determined Contribution, and by including it as a permanent theme within the COP meetings (which guarantees it status as an agenda item and as part of the official work programme). CANRac  supports the Polish Solidarity and Just Transition Silesia Declaration, recognizing the need for a carefully planned process built on social dialogue.  Within the Canadian context,  the Brief calls for an ongoing mandate for the federal Just Transition Task Force and an expansion beyond coal phase-out, to include all fossil fuel sectors. Finally it states: “The contribution of Indigenous communities in the creation and implementation of just transition policies and national plans is essential.”

What will Canada do at the COP24?  The International Institute for Sustainable Development (IISD) makes its predictions in “The End of Coal? What to Watch for at the Upcoming UN Climate Conference (COP24)” . Environment and Climate Change Minister McKenna will not arrive at the meetings until December 9 ; December 10 has been declared “Ambition and Just Transition Day”, and December 13,  “Coal-free Day”. On December 13,  McKenna , along with the other co-founder, U.K.’s Claire Perry, will co-host a Powering Past Coal Side-event to showcase the PPCA progress and spotlight a new report, Powering Down Coal  by Carbon Tracker.

In advance of leaving for COP24, the Minister pledged  that Canada will set more ambitious GHG emissions targets when the Paris Agreement begins in 2020 –  which is a good thing since recently released data from the Global Carbon Project shows Canada is one of the world’s top ten polluters, and the current target of reducing emissions 30% below 2005 levels by 2030 is generally considered insufficient (even if we were to meet it).  The 2018 Emissions Gap Report from the U.N. documents just how insufficient the efforts of all countries have been.

How to  Keep up to date with COP24:  The United Nations Framework on Climate Change (UNFCC) website has comprehensive coverage including highlights, official documents, photos, and webcasts from the meetings.  The  International Institute for Sustainable Development (IISD) also provides detailed daily coverage, including photos, in its Earth Negotiations Bulletin  (and has also written a Short Guide to COP24  as an introduction to how it all works).  For media coverage:  Climate Home News has extensive and expert coverage of all aspects and The Guardian, as always, has strong coverage.  For the latest  developments, follow Environment and Climate Change Canada’s  Twitter feed here ;  also   #JustTransition  ; #Climate Justice ; and for a variety of views ,  #COP24Katowice .

 

Political will and urgent action required to save our planet, IPCC Report warns

IPCC 2018reportThe world’s climate science experts have spoken in the landmark report released by the Intergovernmental Panel on Climate Change (IPCC) on October 8.  The full title is: Global Warming of 1.5 °C: an IPCC special report on the impacts of global warming of 1.5 °C above pre-industrial levels and related global greenhouse gas emission pathways, in the context of strengthening the global response to the threat of climate change, sustainable development, and efforts to eradicate poverty . That dry title doesn’t reflect the importance and impact of this report –  the first time that the UN body has modeled the difference between the impacts of the Paris agreement goals of 2°C and 1.5 °C, and an urgent, unanimous challenge by 91 scientists to the policy makers and politicians of the world to act on the solutions outlined in their models .  An IPCC official  quoted in a CBC report strikes the hopeful tone the report tries to achieve: “We have a monumental task in front of us, but it is not impossible… This is our chance to decide what the world is going to look like.”

The official report, commonly called  Global Warming 1.5  runs over 700 pages. The official press release  states:  “The report finds that limiting global warming to 1.5°C would require “rapid and far-reaching” transitions in land, energy, industry, buildings, transport, and cities. Global net human-caused emissions of carbon dioxide (CO2) would need to fall by about 45 percent from 2010 levels by 2030, reaching ‘net zero’ around 2050. This means that any remaining emissions would need to be balanced by removing CO2 from the air….Limiting warming to 1.5ºC is possible within the laws of chemistry and physics but doing so would require unprecedented changes”.  A 34-page Summary for Policymakers and a 3-page Headline Statements provide official summaries. Climate Home News offers  “37 Things you need to know about 1.5 global warming”  and  The Guardian offers summary and context in  “We must reduce greenhouse gas emissions to net zero or face more floods”  by Nicholas Stern and “We have 12 years to limit climate change catastrophe, warns UN”  (also republished in The National Observer) .

CAN CANADIANS EXPECT URGENT ACTION? :  A thorough CBC summary of the report appears in “UN Report on global warming carries life- or- death warning” , and the Globe and Mail published “UN Report on Climate Change calls for urgent action to avert catastrophic climate change”    (Oct 8) – yet no official reaction has been released by the federal government of Canada. “Trudeau’s Big Oil-friendly decisions mean climate chaos”  from Rabble.ca contrasts the IPCC report with a brief summary of Canada’s recent policy failures. “No change to Canada’s climate plans as UN report warns of losing battle” appeared in the National Observer (Oct. 8).  The National Observer also posted “We challenge every Federal and provincial leader to read the IPCC report and tell us what you plan to do” on October 9, characterizing Canada’s current divisions over a national carbon tax as representative of the world’s dilemma – the failure of political will to act on known scientific facts.  350.org Canada also addresses the issue of political will with  an online petition   calling for an emergency debate in the House of Commons on Canada’s plan to limit climate change, in light of the IPCC report.

Opinion Pieces are still being written, including:  “To avoid catastrophic climate change, we need carbon pricing” by Dale Beugin and Chris Ragan of the Ecofiscal Commission in the Globe and Mail  (Oct. 9) which argues that  “The best that economics has to offer is telling us we have a key solution right under our noses. Carbon pricing is now a Nobel Prize-winning idea. ”

On Climate, Our Choice Is Now Catastrophe or Mere Disaster ” by Crawford Kilian in The Tyee  . ….” modern governments and most of their voters are sleepwalking into catastrophe. If anyone or anything can wake them up, we might have a chance. And if we don’t work hard to turn that catastrophe into a mere disaster, we won’t be able to say nobody warned us. ”

“Canada’s carbon-tax plan is collapsing just as the planet runs out of time” in the Washington Post (Oct. 9)…. ” Today, Canadians should take a minute to write to their elected officials provincially and federally and demand that we get the carbon tax done. Every elected official should take a moment to decide how they would like to be remembered. That is, assuming there will be anyone around to remember.”

WELL-INFORMED GLOBAL SUMMARIES :IPCC: Radical Energy Transformation Needed to Avoid 1.5 Degrees Global Warming”   and “Not Just CO2: These Climate Pollutants Also Must Be Cut to Keep Global Warming to 1.5 Degrees”appeared  in Inside Climate News. The World Resources Institute published “8 Things You Need to Know About the IPCC 1.5˚C Report” , accompanied by a  blog and infographic which  explains the consequential difference between 1.5 and 2.0 global warming levels. Climate Action International monitored the discussions leading up to the release of the report: here is their summary and a compilation of global reactions . A compilation of reactions from the academics at Imperial College and the Grantham Research Institute on Climate Change and the Environment (LSE) is here.

A brief Comment was already issued by the policy and communications director of the Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Political Science, which calls the report a “conservative assessment” because it omits discussion of some of the largest risks and their impacts – notably  population displacements, migration and possibly conflict, as well as  potential climate  ‘tipping points’, such as disruption to the Gulf Stream in the Atlantic and shifts in the monsoon in Africa and Asia.

Another key issue: the controversial role of geoengineering, such as carbon capture and storage or “carbon dioxide removal technologies”(CDR) .  “Negative Emissions technologies in the new report on limiting global warming” was posted at Legal Planet (Oct. 8) , pointing out how important geoengineering is in the report’s models. The author argues that ”  …. The text of the relevant chapter is honest about large-scale negative emissions, when it states:  “Most CDR  technologies remain largely unproven to date and raise substantial concerns about adverse side-effects on environmental and social sustainability. ” But the author argues that the message was deliberately watered down  in the executive summaries and in the Summary for Policymakers.

On October 4, just before the release of Global Warming 1.5, 110 organizations and social movements, led by Friends of the Earth International, released their Hands Off Mother Earth! Manifesto, which opposes any geoengineering solutions, including carbon capture and storage.

It’s hard to overestimate the importance of this report, and it will draw more and more discussion as the UNFCCC meetings in Katowice, Poland approach in December 2018.

Fossil fuel subsidies, plastics pollution, circular economy are key topics at the G7 Energy and Environment meetings

Following the G7  meetings at Charlevoix Quebec in June 2018, further meetings in Halifax from September 19 to 21 brought together the G7 ministers with responsibilities for Environment, Oceans and Energy.  The International Institute (IISD) published a comprehensive summary of the meetings  on September 25, with links to the official Chair’s Summary statements.  The National Observer was one of only a handful of media outlets which reported on these meetings.  Their report of September 25,  “Unscrambling the language of Canada’s G7 Climate Diplomacy”   is a plain language overview of what happened.  Environment and Climate Change Canada, as host of the meetings, also published press releases highlighting Canada’s commitments:  the press release of  September 19, titled “G7 environment meetings in Halifax focus on climate action, and the $26 trillion opportunity of clean growth and tackling air pollution”  announced a Canadian pledge of  $2 million for the National Adaptation Plan Global Network, to further climate change adaptation in  developing countries and $2 million for a new initiative to empower women entrepreneurs working on climate solutions in the developing world.  More broadly, Environment ministers discussed the  implementation guidelines for the Paris Agreement on climate change – the Paris Rulebook –  in an attempt to move that forward before the scheduled deadline of the UNFCCC  Conference of the Parties (COP 24) in Katowice, Poland, in December 2018.

On September 20, the Canadian government’s press release states : the Government of Canada committed to diverting at least 75 per cent of the plastic waste from government operations by 2030. It will achieve this by eliminating the use of unnecessary single-use plastics, increasing recycling rates, and leveraging its purchasing decisions to focus on sustainable plastic products. The Government of Canada also announced a $65 million investment through the World Bank for an international fund to address plastic waste in developing countries. ”

A contentious issue was fossil fuel subsidies. An earlier report by the National Observer , “G7 promise to kill fossil fuel subsidies hangs over Halifax meetings” (September 20)  , highlights the topic, which has been a perennial but never-resolved issue since the G20 first agreed to phase them out in 2009.  In 2016, the G7 first set a deadline for ending fossil fuel subsidies by 2025  ; Energy ministers at the 2018 Halifax meetings reaffirmed that commitment.

public-cash-oil-gas-en-1Despite the G7 commitment, “Canada is still the largest provider of subsidies to oil and gas production in the G7 per unit of GDP”, according to the newest report by the International Institute for Sustainable Development (IISD), which has published extensively on the issue.   Fossil Fuel Subsidies in Canada: ‘Public Cash for Oil and Gas: Mapping federal fiscal support for fossil fuels , a September 2018  report was published by  the International Institute for Sustainable Development (IISD), in collaboration with Oil Change International, Equiterre, Environmental Defence, and the Climate Action Network.  It also states that overall fossil fuel subsidies declined in Canada in 2016-2018 over 2015, but it  attributes this to the impact of oil price fluctuations on the value of deductions, and how companies use tax deductions,  rather than any substantive policy reform.  In a concluding discussion , the report states that the oil and gas sector will inevitably follow the economic path of the coal industry, and thus, “it is imperative that those in these declining energy sectors are part of the planning” for a Just Transition. Removing subsidies for the sector,  could create enough “fiscal space” to fund a just transition for workers and communities.

Green Budget cover 2019The Green Budget Coalition also weighed in recently on fossil fuel subsidies in its  Recommendations for Budget 2019 ,  which includes a discussion of the history of fossil fuel subsidies in Canada, a rationale for their phase-out, and calls for the government:  to provide a transparent accounting of what subsidies are in place to the Parliamentary Budget Office; not to introduce new subsidies; and to legislate a timeline for the phase-out of remaining deductions for fossil fuel exploration and production, and for direct subsidies.