Hurry, Canada, or we’ll miss out on the decarbonization revolution

Canada's National Observer

Written By: Oliver Sheldrick & Jana Elbrecht

Published: June 5th, 2023

Climate and energy were again high on the agenda at the recent G7 Summit following a record year of investment in clean energy. And with good reason: the member countries are home to 40 per cent of global GDP and a quarter of the world’s emissions, giving them enough collective economic clout to have a significant impact on the energy transition.

As the seven members navigate this transition, one area has popped up a lot in emissions-related discussions over the last couple of years: heavy industry. The sector — which includes steel, cement and chemicals — makes up about a quarter of global energy emissions.

In Canada, heavy industry’s share of emissions is a bit smaller at 11 per cent — still significant, but often overshadowed by the oil and gas sector’s headline-making 28 per cent share.

The investment isn't simply an emissions imperative, it’s also an economic one. As global net-zero commitments mount, demand for cleaner products is increasing. The countries that act early stand to become leaders in a decarbonized future.

Canada has also made a number of ambitious spending commitments, including $25 billion in federal government funding for cleaner fuels, technologies and businesses. Budget 2023 included investment tax credits for carbon capture and clean hydrogen. And Canada has already launched several near-zero technology demonstration projects.

Budget 2023 took important steps forward, but there is still room for strategic policy and investment — such as building out our clean energy capacity and ensuring we have the infrastructure to deliver clean hydrogen and transport captured carbon.

Read the Full Article