Billions of dollars allocated to clean technology and climate initiatives
On April 19, 2021, the Liberal government posted its 2021 budget. The document pledges approximately $17 billion to promote a "green” recovery, including:
- $5 billion to fund projects to help heavy industries like steel and cement decarbonize. The sum - spread out over seven years - is on top of the $3 billion announced when the Liberals unveiled their plan to reach net-zero emissions by 2050.
- a new tax incentive to encourage companies to adopt carbon capture technologies.
- $4 billion over five years to be allocated to the Canada Mortgage and Housing Corp. to offer interest-free loans of up to $40,000 for households to do green retrofits.
- a 50 per cent 10-year reduction on corporate and small business income tax rates for companies manufacturing zero-emissions technologies, such as solar panels and electric buses.
- $56 million over five years to work with countries like the United States to bring in standards for zero-emission vehicle charging and refuelling stations.
- additional millions to fund research into how Canada's mineral reserves can be used to support electric vehicle batteries and other net-zero technologies.
- $2.3 billion in funding to federal departments like Parks Canada and Fisheries and Oceans to conserve up to one million square kilometres more land and inland waters to meet the country's 2025 conservation targets.
The budget also establishes the first federal green bond with an issuance target of $5 billion. The goal is to attract investors to finance ways to fight climate change, like through green infrastructure.
View the full text of the budget at: