Pollution cost Canada $2 billion in Lost Labour Output alone

The June 2017 report, Costs of Pollution in Canada: Measuring the impacts on families, businesses and governments reviews and synthesizes existing studies to produce the most comprehensive assessment of pollution and its costs  in Canada to date. Some quick facts: the cost of climate change-related heat waves in Canada is estimated to have been $1.6 billion in 2015; Smog alone cost Canadians $36 billion in 2015. But the report also provides detailed estimates, organized in three categories: 1.  Direct Welfare Costs: (Harm to health and well-being such as  lower enjoyment of life, sickness and premature death); 2.  Direct Income Costs – (Direct out of pocket expenses for families (e.g. medications for asthma), businesses (e.g. increased maintenance costs for buildings) and governments (remediation of polluted sites); and 3. Wealth impacts.

Direct Welfare Costs of pollution, the most studied and understood,  are estimated as at least $39 billion in 2015, or about $4,300 for a family of four.  The Direct Income Costs   that could be measured amounted to $3.3 billion in 2015, but the study cautions that this many important costs could not be measured, and full impacts on income were likely in the tens of billions of dollars.  In this category, the study estimates  Lost Labour Outputs, using a metric derived from the 2016  OECD study,  The  Economic Consequences of Outdoor Air Pollution.  The OECD estimates outdoor air pollution to cost 0.1% of national GDP, which, when applied to Canada’s  2015 GDP of approximately  $1,986 billion, implies a costs of about $2 billion in lost labour output alone. And finally, Wealth impacts, or costs on value of assets , are said to be the least understood of pollution costs, about which, “We simply do not know how much pollution costs us in terms of lost wealth”.

Costs of Pollution in Canada: Measuring the impacts on families, businesses and governments was prepared by the International Institute for Sustainable Development (IISD), with funding from the Ivey Foundation; the full report is available in English- only. Summaries are in English  and French.Short  videos were derived in cooperation with the Conference Board of Canada to focus on key topics:  e.g. extreme weather, contaminated sites, and smog .

Parliamentary committee recommends a legislated right to a healthy environment in its review of the Canadian Environmental Protection Act

On June 15, the Standing Committee on the Environment and Sustainable Development tabled its report, Healthy Environment, Healthy Canadians, Healthy Economy: Strengthening the Canadian Environmental Protection Act, 1999,   and the French version, Un Environnement Sain, des Canadiens et une Économie en Santé : Renforcer la Loi Canadienne sur la Protection de l’environnement (1999).

Called a “ground-breaking”  report by the David Suzuki Foundation, this review of  the Canadian Environmental Protection Act (CEPA)  makes 87 recommendations to modernize the law.  The Ecojustice blog ,  “Much to celebrate in committee report on Canadian Environmental Protection Act”  summarizes some of the recommendations, including  the  introduction of national drinking water and air quality standards; “stronger enforcement provisions to ensure polluters are held to account; improved transparency, public reporting and consultation requirements; and faster timelines to ensure regulatory action is taken swiftly once a toxic threat is identified”.  Most important, however, is the recommendation that the Act recognize and protect the right of every person in Canada to a healthy environment – a right recognized in 110 other countries.

The reaction  from  East Coast Environmental Law also notes this right to a healthy environment, and emphasizes the environmental justice implications:  “ The Report… suggests that the importance of environmental rights to Indigenous peoples and vulnerable populations should be emphasized.  … The Report acknowledges that environmental burdens aren’t shared equitably by communities across Canada, …… it also makes a number of recommendations that address environmental injustice. For example, it recommends that the Act be expanded to include an obligation to protect the environment in a non-discriminatory way; that it enhance the procedural rights that protect access to information, access to justice, and public participation in environmental decision-making; that it address the inequitable burden of toxic exposure in Canada; and that it recognize the principles enshrined in the United Nations Declaration on the Rights of Indigenous Peoples.”

The response from the David Suzuki Foundation also summarizes the recommendations, and makes clear that these are not yet law.  The  Minister of Environment and Climate Change, and eventually Cabinet, will consider the report, with legislation expected in the fall.   Ecojustice calls it “ a once-in-a generation opportunity to dramatically improve our most important environmental law.”

Environment and Climate Change Canada has compiled links to a history of CEPA . The Standing Committee website is here, with links to witnesses and the 68 briefs received.


The Business Case for a Circular Economy: Reduce, Reuse and Recycle as a Solution to Coming Shortages of Raw Materials

On January 24 at the the World Economic Forum, the Ellen MacArthur Foundation launched Project Mainstream, a collaborative project involving large enterprises capable of bringing the circular economy from small-scale pilot projects to the mainstream of business. The press release states: “With commodity prices almost tripling in the last 10 years, businesses and governments are now recognizing this as an opportunity to manage input cost volatility, as this approach decouples economic growth from finite supplies of primary resources.” Towards the Circular Economy, the report which accompanied the launch, finds that “over US$1 trillion a year could be generated by 2025 for the global economy and 100,000 new jobs created for the next five years if companies focused on encouraging the build-up of circular supply chains to increase the rate of recycling, reuse and remcircular economy v 3anufacture.” As an article in The Guardian points out, this initiative intends to tackle the scale and complexity of global supply chains-as well as a crucial stumbling block in recycling – the toxic contents of some products. Canadian readers will be familiar with these concepts from the 2013 report, Closing the Loop: Reducing Greenhouse Gas Emissions Through Zero Waste in BC, which focused on the benefits to consumers and the environment. The Ellen MacArthur Foundation has published reports on the Circular Economy since 2010.


Towards the Circular Economy Vol.3: Accelerating the Scale-up Across Global Supply Chains is available from a link at: http://www.ellenmacarthurfoundation.org/business/reports/ce2014, and previous reports are available at: http://www.ellenmacarthurfoundation.org/business/reports

“Circular Economy offers Business Transformation and $1tn of Savings” (Jan. 24) in The Guardian at: http://www.theguardian.com/sustainable-business/circular-economy-business-transformation-one-trillion-savings

Closing the Loop: Reducing Greenhouse Gas Emissions Through Zero Waste in BC, published by the Canadian Centre for Policy Alternatives Climate Justice Project (March 2013) is available at: http://www.policyalternatives.ca/publications/reports/closing-loop