Climate priorities to watch for in Budget 2023

The Canadian Climate Institute identifies two primary priorities for Budget 2023: attracting clean investment to compete with the U.S. Inflation Reduction Act and expanding the national electricity system. The Institute recommends using carbon contracts for difference to leverage carbon pricing and implementing investment tax credits and 'electric federalism' to modernize electricity infrastructure.

• Canada needs a strategic response to the U.S. Inflation Reduction Act to prevent clean growth investment and projects from moving to the United States.
• To attract private investment in clean projects like hydrogen, carbon capture and storage, and clean electricity, the Canada Growth Fund should provide necessary incentives.
• Rather than using expensive direct subsidies, Canada should utilize carbon pricing and carbon contracts for differences to create policy certainty and crowd-in private investment.
• Scaling up clean electricity and infrastructure is essential for lowering consumer energy costs and attracting private investment, requiring coordination between federal, provincial, and territorial governments.
• The budget should implement federal investment tax credits for clean power generation and fund inter-provincial grid connections to shift costs from ratepayers to taxpayers.
• The federal government could adopt an 'electric federalism' approach, providing funds to provinces conditional on the provinces mandating regulators to meet climate goals and developing comprehensive energy plans.

APA

Canadian Climate Institute (2023). Climate priorities to watch for in Budget 2023. https://climateinstitute.ca/climate-priorities-to-watch-for-in-budget-2023/

Chicago

Canadian Climate Institute. Climate priorities to watch for in Budget 2023. 2023. https://climateinstitute.ca/climate-priorities-to-watch-for-in-budget-2023/.

Wikipedia

{{cite press release |author=Canadian Climate Institute |title=Climate priorities to watch for in Budget 2023 |date=22 March 2023 |url=https://climateinstitute.ca/climate-priorities-to-watch-for-in-budget-2023/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{canadianclimateinstitute2023climate, author = {{Canadian Climate Institute}}, title = {{Climate priorities to watch for in Budget 2023}}, publisher = {Canadian Climate Institute}, year = {2023}, month = mar, url = {https://climateinstitute.ca/climate-priorities-to-watch-for-in-budget-2023/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }