Last year CaGBC, along with a core group of industry members, called for a green recovery that would prioritize green building. More importantly, it asked decision-makers to take this unprecedented opportunity to re-engineer a Canada that is more inclusive, equitable and climate-forward.
Today’s budget indicates that the government is on that path. It sets out the government’s plan to reduce greenhouse gas (GHG) emissions by 36 per cent from 2005 levels by 2030, putting it on a trajectory to net-zero emissions by 2050.
CaGBC strongly supports the federal government’s plan to invest in a green recovery and tie those investments to climate targets and social justice issues. CaGBC had three key priorities coming into the 2021 budget. Those priorities included workforce development, building retrofits, and leadership on zero carbon building. The new budget, along with the previously announced programs, demonstrate positive momentum in these critical areas.
Workforce transition
A green recovery that prioritizes green buildings needs more skilled workers. Green building is a growing sector and provides opportunity for workforce recovery and innovation. Our research indicates the potential for 1.5 million green building jobs by 2030 if we meet our emission targets. However, existing workers will need to upskill to deliver low-carbon buildings at scale, and the industry can also attract new entrants from diverse background by advancing innovative approaches to retrofit and construction.
The budget prioritizes workforce training programs around high-growth sectors and employer demand. Green building should benefit from this, as government programs like the Canada Infrastructure Bank’s Commercial Building Retrofits Initiative and Infrastructure Canada’s Green and Inclusive Communities increase demand for green building and low-carbon skills.
The budget announced programs to help transition COVID-19 impacted workers, and to attract youth, women, Indigenous and racialized workers into these high growth sectors, particularly:
The Retrofit economy
For Canada to meet it carbon emissions targets, the building sector will need a continuous pipeline of projects – especially building retrofits – with stringent carbon emissions targets.
The fastest way to meet the building sector’s carbon reduction targets is to focus on retrofitting mid-size and large commercial and institutional buildings. In keeping with CaGBC recommendations, over the last several months the federal government has rolled out programs designed to trigger the growth of shovel-ready low-carbon projects from coast to coast to coast.
“Even before the budget, $3.66 billion in funding was announced for building retrofits between the Canada Infrastructure Bank, and programs with Infrastructure Canada and the Green Municipal Fund,” said Thomas Mueller, President and CEO of CaGBC. “With a range of 10 per cent to 30 per cent carbon emissions reduction, the projects funded and financed by these initiatives will help kick start the green recovery.”
The retrofit program outlined in the 2021 budget go beyond commercial buildings to also focus on homes. The Deep Home Retrofits program will see $779 million deployed over five years ($414 million in subsequent years with a maximum of $4.4 billion) to the Canada Mortgage and Housing Corporation to help homeowners complete deep home retrofits through interest-free loans worth up to $40,000. It includes a dedicated stream of funding to support low-income homeowners and rental properties serving low-income renters including cooperatives and not-for-profit owned housing.
Leadership on zero carbon construction
Prior to the budget, the government announced that the Treasury Board Secretariat would prioritize zero carbon for all federally-funded buildings and building projects as part of the updated Greening Government Strategy. This shift aligns with CaGBC recommendations that asked the federal government to take a leadership position to achieve zero-carbon performance.
The new budget solidifies this focus by continuing to use and expand federal procurement to support the Greening Government Strategy so that public dollars prioritize the use of lower carbon materials, fuels, and processes.
The budget also drives low-carbon building construction in the private sector by advancing climate-based investment decisions and by strengthening Canada’s supply chain of low-carbon materials, products, and services. They will accomplish this through programs including:
“We are pleased to see the federal government continue its green building leadership by supporting the construction and retrofit of federal buildings to zero carbon standards, and by de-risking investment for other levels of government and the commercial sector,” said Mueller. “This commitment will spur innovation, resulting in the development of a robust supply chain of low-carbon products, technologies and services, which will, in turn, create more jobs for Canadians.”
Looking ahead
To achieve its climate goals, and in the process, improve people’s lives, the Canadian government must ensure that climate is front and centre in all government decisions. Canada has come far in its efforts to bring climate change issues to the mainstream, but momentum cannot be lost. Every investment must consider climate change, and we welcome the government’s effort to develop and apply a climate lens that ensures climate considerations are integrated throughout federal government decision-making. But we must be vigilant and ensure that climate is not regulated only to specific programs or ministries.
Budget 2021 provides a new vision of a future Canada. To ensure that vision is realized, climate solutions and carbon emissions must be the focus – for every sector of our economy and for every government decision and investment. This shift in thinking is the only way to ensure Canada meets its climate goals, creates new jobs, and reinvigorates the economy while creating healthier, low-carbon communities for all to enjoy.
About Canada Green Building Council (CaGBC)
The Canada Green Building Council is a not-for-profit, national organization that has been working since 2002 to advance green building and sustainable community development practices in Canada. The CaGBC is the Canadian license holder for the LEED green building rating system and supports the WELL Building Standard in Canada. Together with our membership of over 1,200 industry organizations and more than 2,500 individual members involved in designing, building and operating buildings, homes and communities, the Council has made excellent inroads toward reducing the environmental impact of the built environment.