Ottawa rejects Ontario’s request for federal climate change cash

iPolitics.ca
December 7, 2018
Marieke Walsh

The Ford government’s appeal to Ottawa to reallocate funding for climate change initiatives has been denied.

Federal Environment Minister Catherine McKenna said Thursday that Ontario’s Progressive Conservative government would not receive the $420-million in funding it lost when it cancelled the province’s cap and trade program over the summer, despite introducing new measures to lower carbon emissions. Instead, McKenna said Ottawa would leapfrog the province and give funding to combat climate change directly to communities and organizations in Ontario.

“When it comes to the Low Carbon Economy Fund, we will be working directly with schools, we will be working directly with Ontarians,” McKenna told reporters.

The Ford government unveiled the province’s new climate change program last week, promising $350-million for proven technologies that reduce emissions. At the time, the province was hoping Ottawa would return the funding it pulled when the cap-and-trade system was axed because of the set-up of this prospective fund.

The new climate plan scales back ambitious emissions targets set by the former provincial Liberal government, though they remain in line with Ottawa’s target to reduce emissions nationally by 30 per cent below 2005 levels by 2030.

At a press conference in Toronto, McKenna slammed the new provincial plan as “thin” and lacking in details.

The federal climate funding is part of a deal Ottawa struck with provinces who agreed to impose a carbon price. Before the spring election, Ontario was one of those jurisdictions but Premier Doug Ford scrapped the cap-and-trade market when he came to power.

Provincial Environment Minister Rod Phillips asked McKenna to reconsider that decision at their Thursday morning meeting in Toronto, because the province believes its new carbon trust “would be a really effective vehicle for federal money.”

McKenna though, repeatedly rejected the suggestion during a press conference later in the day.

“With respect to the funds, we’re committed to working with the schools, the hospitals, the businesses, the cities who come directly to us,” she said.

While the two governments still disagree on many things, Thursday’s meeting was notable for its lack of public acrimony.

Even as they traded some barbs on the federal carbon tax and Ontario’s climate change plan, the meeting ended with no angry or passive aggressive tweets exchanged between the two ministers -- a change in pace from previous encounters.

Phillips and McKenna characterized the discussions as “good” and “constructive” and said the two agreed to work together on waste water management, species at risk and plastic pollution.

“The general tone of the meeting overall was collaborative,” Phillips said. “There are some areas where we are going to be able to partner.”