Category: Recommendations

Nature Protection and Recovery in Canada – Detailed Recommendations: Introduction

In December 2022, Canada hosted the 15th Conference of the Parties (COP15) to the United Nations Convention on Biological Diversity (CBD) in Montreal. Already two years behind schedule, COP15 landed a historic agreement to protect nature —the Kunming-Montreal Global Biodiversity Framework (KMGBF). During the conference, Canada’s Minister of Environment and Climate Change committed to work with rights holders and stakeholders to develop a whole-of-government national biodiversity strategy and accountability act towards Canada’s biodiversity targets, including protecting at least 30% of land and ocean by 2030. The Minister also signaled his intention to review subsidies that are harmful to biodiversity.

To meet the ambitions of the KMGBF, countries committed to develop coherent national biodiversity strategies and action plans, as well as associated biodiversity finance plans. Canada’s biodiversity finance plan should detail financing needs for reaching Canada’s KMGBF targets, and the mechanisms by which the Government of Canada can catalyze new investments to achieve these targets (e.g., federal budgets and taxes, blended finance, impact funds, biodiversity bonds, payments for ecosystem services and offset mechanisms). Canada’s biodiversity finance plan should be underpinned by a robust mitigation hierarchy94 to, first, avoid and minimize impacts to natural habitats and, second, implement biodiversity offsets to, at a minimum, achieve no net biodiversity loss and where possible, net biodiversity gain. The Green Budget Coalition nature recommendations below outline some of the key elements that should be reflected in a 2030 Biodiversity Strategy Financing Plan and are detailed in the categories Protect, Restore, Manage, and Mainstream and Mobilize.

Climate Action through Emissions Reductions : Introduction

In the last few years, Canada has made increasingly ambitious global commitments and important budget and policy actions on climate mitigation, leading to the suite of actions included in the 2022 emissions reduction plan (ERP). Budget 2023 signaled a turning point for climate action and funding, notably in the clean electricity sector.

While these recent efforts to meet the current 2030 GHG emission reduction target of 40-45% below 2005 levels are welcome, the Green Budget Coalition—and many others—considers this target largely insufficient for the country to do its fair share of the global effort to limit global warming to below 1.5°C. As such, leading Canadian environmental NGOs call for actions that lead to 60% emissions reductions below 2005 by 2030 domestically, and more action internationally.

In addition, the quantity and nature of funding solutions still fall short of experts’ recommendations to effectively address the climate crisis and reach the Paris Agreement goals. While the IPCC estimates that around 2.5% of GDP must be invested annually in the energy system to limit warming to 1.5 degrees C, Canadian federal climate mitigation spending only accounts for 0.5% of GDP. According to a recent report from the Canadian Centre for Policy Alternatives, quickly decarbonizing every sector of our economy would require investing 2% of Canada’s GDP over the next five years for a total of $287 million, averaging $57 billion per year in addition to spending planned for the year 2022-2023.

Regarding the nature of solutions to pursue, the IPCC clearly states that net emission reductions in the energy system will come from solar and wind penetration, while fossil carbon capture and storage comes last. In terms of infrastructure, key solutions include more efficient buildings and vehicles, as well as public transit and active transportation.

Effective action in these sectors requires collective action—by all orders of government (federal, provincial, territorial, Indigenous and municipal), industry and businesses, labour, civil society, communities, and individuals. In this context, the federal government has a critical role to play as a key leader to position investments and policy to drive emission reductions, as well as to create market certainty and draw in private investments that will secure a sustainable, net-zero economy that leaves no one behind.

With the United States having adopted its USD $390 billion Inflation Reduction Act, its biggest piece of legislation to combat climate change to date, supported by the Infrastructure Act (USD $1.2 trillion) and the Chips and Science Act (USD $280 billion), Canada needs to shape its own vision for its future economic activities. For more details, see recommendations elsewhere in this document, particularly in the first section, Integrating Climate and Nature Across Government Fiscal Policy, Budgeting, and Spending Decisions, starting with Transforming Canada’s economy through a net-zero industrial policy.

Additionally, with worldwide photovoltaic and electric vehicle deployments that are far ahead of experts’ scenarios in many countries around the world, Canada is lagging behind in developing the infrastructure needed to support these technologies. In short, more money will be needed overall to ensure the full decarbonization of Canada’s economy in a just and timely manner to fulfill its fair share of the global effort and to ensure Canada’s future prosperity.

This document outlines strategically chosen fiscal and budget actions that the Green Budget Coalition sees as the best options to make further progress to reduce emissions over the coming years, providing benefits for the climate and the environment, as well as the economy, and improving equity, human health, affordability and quality of life.

To be successful in its transition, Canada must continue its efforts towards, and take advantage of, low-hanging fruit in the electricity and transportation sectors, as well as plan and lead the phase-out of fossil fuel dependence. Budget 2024 must support further reductions in emissions and continue the important work of building an equitable, carbon-neutral and nature-positive world in alignment with the urgency of the crisis.

For the Green Budget Coalition’s feature recommendations for climate action, please see earlier in this document for:

• A renovation wave for climate resilient homes and affordable home energy;

• Advancing a zero-emissions electricity grid based on renewables; and

• Advancing sustainable jobs for a net-zero Canada.

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Accurate data, research, information, and knowledge for improved evidence-based monitoring and decision-making

Accurate data, research, information, and knowledge is fundamental to support evidence-based monitoring and decision making to support the global mission to halt and reverse biodiversity loss by 2030 and live in harmony with nature by 2050. Public investments in data and monitoring are critical to making informed investments in habitat, including species-at-risk recovery, biodiversity enhancements, increases in carbon sequestration, and climate change adaptation.

In October 2021, the European Union launched Biodiversa+ as part of the European Biodiversity Strategy for 2030. In collaboration with partners, it is a comprehensive, ambitious, and long-term plan to put Europe’s biodiversity on a path to recovery by 2030. It aims to connect science, policy, and practice for transformative change seeking to: support biodiversity research and innovation; improve monitoring of biodiversity and ecosystem services; deploy nature-based solutions and valuation of biodiversity in the private sector; and ensure sufficient science-based support for policy-making and implementation.

The Green Budget Coalition recommends that Canada’s National Biodiversity Strategy and Action Plan adopts a similar approach as Biodiversa+ in order to advance efforts towards achieving the KMGBF targets and goals.

Total Recommended Investment: $400 million over five years

Cataloguing, updating, and developing geospatial inventories

Cataloging all the ecosystems in Canada will help ensure evidence-based decisions are made to protect, rehabilitate, enhance, and sustain our environment, inform nature-based climate solutions, and measure habitat conversion across Canada. Moreover, the establishment of a comprehensive baseline of geospatial data is essential for biodiversity to be accurately valued, conserved, and restored. The following should be top priorities in this effort:

  • Conduct and complete audits of existing geospatial datasets to identify gaps in collaboration with subnational governments, Indigenous communities and groups, NGOs, and other federal departments and agencies. [AAFC, DFO, ECCC, NRCan, StatCan]
  • Develop and update geographic and landscape- feature data to establish the following national geospatial habitat inventories: Canadian National Wetland Inventory [ECCC]; National Grasslands Inventory [AAFC]; Terrestrial Species at Risk Inventory [ECCC]; Aquatic Species at Risk Inventory with continued management and updates [DFO]; National Forest Inventory [NRCan]; and National Invasive Species Inventory [ECCC]

$300 million over five years [AAFC, DFO, ECCC, NRCan, StatCan]

Understanding, protecting, and restoring Canada’s coastal blue carbon ecosystems

Healthy coastal blue carbon ecosystems — such as seagrass meadows and salt marshes — provide climate, biodiversity and development benefits. Coastal wetlands provide valuable habitat for many economically and culturally important species, protect coastal communities from flooding, improve water quality, and act as carbon sinks. Rising sea levels, warming ocean temperatures, coastal development, and invasive species threaten the resiliency of coastal wetlands, resulting in the loss of these critical ecosystems.

While efforts are ongoing to map blue carbon ecosystems nationally, we also need to understand local and regional variations in carbon sequestration, as well as the full suite of ecosystem services provided by these habitats. This work should happen alongside efforts to protect, restore, and effectively manage coastal habitats (see Decade of Restoration: our shared pathway to Target 2, earlier in this document), which need to recognise the interconnections between terrestrial and marine systems (see the Protecting Land and Ocean Ecosystems sub-section, earlier in this document) and should be led by DFO with support from PC, StatCan, and ECCC.

  • Develop intergovernmental mechanisms that address the jurisdictional complexity of coastal ecosystems and strengthen efforts to steward and protect, restore and manage coastal blue carbon ecosystems;
  • Mapping and monitoring of blue carbon ecosystems by coastal communities;
  • Research by large-scale multidisciplinary collaborations and small-scale community groups to fill key knowledge gaps;
  • Protection and restoration of coastal blue carbon ecosystems to increase ecosystem resilience, support key coastal processes, and maintain ecosystem services; and
  • Creation of a sustainable funding mechanism for monitoring and stewardship of coastal ecosystems.

$100 million over five years [DFO]

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Increasing Canada‘s international biodiversity assistance

Target 19 of the KMGBF commits developed country Parties to raise at least US$20 billion annually by 2025 and US$30 billion annually by 2030 for developing countries. Based on Canada’s 2% share of global GDP, Canada’s obligation would be US$400 million annually by 2025 and US$600 million by 2030 (approximately CAD $540 million and CAD $810 million, respectively). Canada’s current investments in international biodiversity are approximately $370 million annually. This includes Canada’s contributions to the Global Environment Facility, the biodiversity-related portion of its climate finance, bilateral aid, and the commitment announced at the UN Convention on Biological Diversity COP15 in Montreal to spend an additional $350 million over three years.

The Green Budget Coalition applauds Canada’s increased investment and commitment to international biodiversity. However, preventing further loss and degradation of tropical ecosystems is vital for biodiversity as well as climate change adaptation and mitigation. Canada’s migratory birds are being impacted by habitat loss at their wintering areas and migration stopovers in Latin America.

To immediately address threats to biodiversity, Canada should seek efficient ways for funds to directly support on-the-ground conservation efforts by local NGOs and Indigenous and local communities. Conservation organizations that partner with Indigenous people—key conservation allies in developing countries—are achieving conservation gains on a large geographic scale. Similarly, gains can be made in empowering local communities for forest management and fisheries co- management with governments.

Other actions can address policy issues impacting biodiversity, bring improvements to commodity supply chains, help create national conservation strategies, and perhaps include debt-for-nature swaps. Finally, the widespread and serious problem of “paper parks” can be addressed through contributions from Canada to finance mechanisms for public protected areas.

Recommended Investment: $1.2 billion over two years [GAC, ECCC]

For a more detailed recommendation, including regarding the $1.2 billion amount, please see https://icfcanada.org/docs/GBC_intl_biodiversity_ Budget-2024.pdf

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