Prior to the Christmas break the federal government introduced Canada's new climate plan, A Healthy Environment and a Healthy Economy.
The plan sets out new national environmental targets aimed at reducing greenhouse gas emissions. It also provides Canadians and Canadian businesses with opportunities to reduce their carbon footprint and financial incentives for those who do.
Highlights related to agriculture:
- Price on carbon to reach $50 a tonne by April 1, 2022 and $170 a tonne by April 1, 2030
- Agriculture incentives include:
- $98.4 million Natural Climate Solution for Agriculture Fund
- $361 million program for preserving wetland and grassland areas and boosting carbon sequestration on agricultural lands.
- Details of those programs are coming soon.
- New clean fuel standards could provide opportunities for bio fuel production.
- As an exporting nation, it is important that Canada moves in the direction of the global consensus of creating a low carbon global economy in order to remain competitive.
- Certain considerations must be taken into account in order for producers to not be crippled by these new costs on production.
Exemptions remain for gasoline and diesel to run farm machinery and equipment; however, additional exemptions to farmers must be considered.
- increase costs for heating farm buildings
- drying grain
- irrigation
- moving commodities by rail
- buying essential farm inputs such as fertilizer and machinery
- recognition of already existing responsible environmental practices by the ag sector
Click here for more information on Canada's new climate plan.
