On June 6, 2024, ESF Chair, Shannon Joseph, presented to the Senate Committee on Energy, the Environment and Natural Resources regarding Bill C-50 – The Canadian Sustainable Jobs Act.
Her remarks – provided below – highlighted investment attraction to Canada as a prerequisite for the preservation, growth and creation of high-paying, long-term jobs in Canada. She also pointed for the need for Canada and the legislation to include a global approach to emissions reduction given Canada’s unique potential to address global emissions.
Energy for a Secure Future focuses on building a new conversation about the future of energy in Canada and its potential global role in supporting international allies with energy security and sustainable development. Its national network includes representatives from the following groups: labour, Indigenous Peoples, municipal, and industrial leaders who share a vision for this role for Canada.
The preservation, growth and creation of high-paying, long-term jobs in Canada is fundamental to a secure future. ESF welcomes the opportunity to speak to this legislation.
On investment:
To achieve the goals expressed in the bill – companies must first decide to spend their money in Canada, upgrading facilities, investing in innovation. They will only do this if they can successfully answer the following questions:
- Will we be able to make back the money that we spent and more?
- How long will it take us to do this?
This legislation needs to prioritize increased investment attraction to Canada, because this is where sustainable jobs come from.
Are our regulations efficient? Is energy affordable in Canada? How will this change over time, so that Canada remains home to natural resources development, manufacturing, agriculture – and other sectors?
On LNG:
Liquefied natural gas plays an essential role:
- As an important vehicle for global emissions reduction, and,
- Because of its role in creating sustainable jobs
The purpose of Canada’s climate policy is to meet the domestic emission reduction targets to which the Government has committed, under the Paris Agreement. However, managing GHG emissions is a global challenge, and so Canada should also consider how it can best contribute to reducing global emissions.
As a country with significant energy resources, Canada is uniquely positioned to help international allies meet their energy needs in a way that reduces global emissions. The export of Canadian liquefied natural gas – among the lowest emission LNG in the world – is the best way to do this. It is also something friends in Europe and Asia have requested.
2022 and 2023 saw the highest consumption of coal in the history of the planet – 2024 is on track for another record. This consumption is driven by electricity and heat production demands – particularly in countries trying to raise standards of living for their citizens.
According to multiple studies, including those by the Canadian Chamber of Commerce, the Business Council of Canada, the National Bank of Canada, and the CD Howe Institute – the export of LNG from Canada to displace higher emitting fuels in Asia, could reduce global emissions by more than all of Canada’s domestic emissions production, annually.
This remains the most significant contribution Canada can make to reducing global emissions, yet the global emissions lens is not reflected at all in the legislation.
On sustainable jobs:
This matters because of the sustainable jobs at stake.
There are currently 6 LNG projects under development on Canada’s West Coast – if the majority of these projects were to proceed, the economic benefits would include $10.2 billion in annual GDP, $3.6 billion in government revenues and 77,600 jobs across the country on an annual basis. These jobs include opportunities in the construction trades, steel manufacturing, rail transport and a host of other services.
It is worth noting that these projects all involve significant Indigenous engagement – partnerships and often ownership – in all aspects of the value chain: upstream, midstream and downstream.
- In the case of Woodfibre LNG, the Squamish First Nation conducted the environmental assessment.
- Blueberry River First Nation is leading environmental stewardship strategies in upstream projects.
- Seventeen of 20 Nations along the Coastal Gaslink Pipeline have an ownership option.
- Cedar LNG will be the first majority Indigenous owned LNG project in the Canada’s history.
These projects are all delivering important social, economic and reconciliation benefits for Canada – and those are over and above the important environmental benefits.
In closing:
- We recommend this legislation reflect the global emission reduction opportunity of Canadian resource development.
- Canada should work with its potential customers to be credited for the environmental benefits of our LNG displacing higher emitting energy sources in global markets.
- We also recommend this legislation consider a range of outcomes associated with delivering a secure energy future for Canada and the world: affordability, reliability, security and resilience.
- Finally, we recommend a strong focus on how we can best attract investment, as a growing economy is a pre-requisite for Canada achieving its goals.
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What is Bill C-50?
As defined in the Bill, Bill C-50 is “an Act respecting accountability, transparency and engagement to support the creation of sustainable jobs for workers and economic growth in a net-zero economy.”
What is the purpose of Bill C-50?
As passed by the House of Commons on April 15, 2024, the purpose of the act is as follows:
“To facilitate and promote economic growth, the creation of sustainable jobs and support for workers and communities in Canada in the shift to a net-zero economy through a framework to ensure transparency, accountability, engagement and action by relevant federal entities, including those focused – at the national and regional level – on matters such as skills development, the labour market, rights at work, economic development and emissions reduction.”
