CPWA Welcomes Canada’s 2022 Budget
OTTAWA, ONTARIO – April 11, 2022 – The Canadian government’s 2022 budget has earned the support of public works professionals throughout the country.
The Canadian Public Works Association (CPWA) said the budget released last week is good because it mirrors its public policy priorities by making a significant investment in a green transition, a commitment to fighting climate change, and the promise to extend infrastructure project deadlines.
“Public works professionals are on the front lines in the climate change challenge,” said CPWA President Rylan Wadsworth. “Therefore, our members welcome the Government’s continued focus on resilient communities and a green transition.”
Tabled Thursday by Deputy Prime Minister and Minister of Finance Chrystia Freeland, Budget 2022 is focused on affordability, while continuing the Government’s efforts to invest in innovation and productivity.
A Strong, Growing, and Resilient Economy: Moving on Canada’s Infrastructure Investments
Recognizing that many projects funded under the Investing in Canada Infrastructure Program are reporting construction delays due to the pandemic, Budget 2022 signals the government’s intention to accelerate the deadline for provinces to fully commit their remaining funding to March 31, 2023. The existing deadline of March 31, 2025, will remain unchanged for the territories. Budget 2022 also proposes to extend the Investing in Canada Infrastructure Program’s construction deadline from October 2027 to October 2033, and will adjust the program’s funding profile so funding is available when needed.
“Despite the disruptions and challenges of the past two years, public works agencies and their employees have continued to deliver infrastructure services at the highest level: collecting solid waste, ensuring clean water supplies, treating wastewater, and managing transportation systems and public spaces,” said CPWA CEO Scott Grayson. “Making sure local governments and public works agencies have the resources they need is critical to a strong and resilient economy.”
Clean Air and a Strong Economy
Canada is experiencing an accelerated increase in heat waves, wildfires, and heavy storms. The Government’s recently released Emissions Reduction Plan sets out to reduce greenhouse gas emissions by 40 per cent by 2030 (compared to 2005 levels), with the ultimate goal of reaching net-zero emissions by 2050.
Building on this commitment, Budget 2022 proposes:
• $400 million over five years, starting in 2022-23, to Natural Resources Canada for the deployment of ZEV charging infrastructure in sub-urban and remote communities through the Zero-Emission Vehicle Infrastructure Program (ZEVIP).
• $547.5 million over four years, starting in 2022-23, to Transport Canada to launch a new purchase incentive program for medium- and heavy-duty ZEVs.
• $2.2 billion over seven years, starting in 2022-23, to Environment and Climate Change Canada to expand and extend the Low Carbon Economy Fund, which supports the installation of emission-reducing technologies like wind power, solar power, and electric heating in buildings.
• $169.9 million over 11 years, starting in 2022-23, with $6.9 million in remaining amortization, to the Canadian Space Agency, Natural Resources Canada, and Environment and Climate Change Canada to deliver and operate a new wildfire monitoring satellite system.
Expanding the Nature Smart Climate Solutions Fund
Budget 2022 proposes $780 million over five years, starting in 2022-23, to Environment and Climate Change Canada to expand the Nature Smart Climate Solutions Fund, which supports projects that conserve, restore and enhance wetlands, peatlands, and grasslands to capture and store carbon.
Establishing a Canada Water Agency
In 2019, the government committed to establish a federal Canada Water Agency to work with provinces, territories, Indigenous communities, and other stakeholders to keep Canada’s water safe, clean, and well-managed. Budget 2022 proposes to provide $43.5 million over five years, starting in 2022-23, and $8.7 million ongoing to Environment and Climate Change Canada to create a new Canada Water Agency, which will be stood-up in 2022.
Increasing the Impact of the Canada Infrastructure Bank
The Canada Infrastructure Bank (CIB) was created in 2017 to attract private capital to major infrastructure projects. In 2020, the CIB announced its three-year, $10 billion Growth Plan, which included $2 billion to invest in large-scale building retrofits to increase energy efficiency and $1.5 billion to accelerate the adoption of zero-emission buses and charging infrastructure. To increase the CIB’s impact, Budget 2022 announces a broadened role for the CIB to invest in private sector-led infrastructure projects including small modular reactors; clean fuel production; hydrogen production, transportation and distribution; and carbon capture, utilization and storage. These new areas fall under the CIB’s existing clean power and green infrastructure investment areas.
CPWA Press Release
Department of Finance Canada Press Release
Budget 2022: A Plan to Grow Our Economy and Make Life More Affordable