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The Ontario Climate Change Action Plan is a series of policies and proposals introduced by the Government of Ontario, aimed at combatting Climate Change, primarily through the reduction of greenhouse gas emissions. The 5-Year Action Plan was presented by the Minister responsible for the Ministry of the Environment and Climate Change Glen Murray on June 8, 2016, outlining Ontario’s strategies to fight climate change until 2020, but with reduction targets through the year 2050. The Action Plan outlines the province's goals for emission reduction, to be achieved by reforming eight “Action Areas” including but not limited to; Transportation, Industry and Business and Agriculture.

The Climate Change Action is the latest update in Ontario's push for a more green society, environment and economy. Plans to reduce Ontario’s greenhouse gas emission date back to 1990, with the first target being a 15% reduction of 1990 emissions per person by the year 2020. By 2014, Ontario had reduced per person emissions by 6%. Updated emission targets of a 30% reduction by 2030 and 80% by 2050 below 1990 emission levels were produced in the 2015 Climate Change Strategy produced by the government. Foreshadowing the Climate Change Action Plan, Ontario’s strategy identified the emission reductions that the action plan was conceived to meet.

The preliminary cost of the Action Plan initiatives is expected to be $8.3 billion, a price tag largely to be offset by taxes, fees and penalties introduced in the plan. A key component of the Action Plan was the introduction of Ontario’s Cap and trade program, which prices carbon emitters based on their emissions, encouraging a reduction in emission output. Each 'Action Area' contains plans, incentives and goals unique to the identified sector, with the impact reaching residents, business and government in Ontario. As argued by The Globe and Mail journalists Adrian Morrow and Greg Keenan, "(the) climate change plan will affect every aspect of life – from what people drive to how they heat their homes and workplaces."

The Climate Change Action Plan has received considerable praise and criticism by various groups on its impact on Ontario’s environment, society and economy. Proponents of plan praised the plan for the cap and trade program to encourage Ontarians to reduce their dependence on Fossil fuel energy sources. Critics of the plan argue that the negative effects the plan will have on the Economy of Ontario outweigh the action plan benefits. Both proponents and critics of the plan concede that the Action Plan will have drastic impacts on many facets of life for Ontarian's.

Ontario’s Cap and Trade program came into effect January 1, 2017, with the majority of the plans policies to take effect in the years 2017 and 2018.

Background

Planning for Ontario's response to Climate Change has existed since 1990, when the first carbon reduction targets were introduced. The original target completion date for these goals was 2014, with the province releasing Climate Change Strategies and Action Plans in approximately 5-7 year intervals. These updated policy proposals have generally reflected the understanding of climate change, the causes and consequences as well as reflecting advancement in sustainable and efficient technologies.

The basis for Ontario Climate Change Action Plan first appeared in 2015 with Ontario’s Climate Change Discussion Paper. The paper described the effects of Climate Change that Ontario will be subject to in the next decades. Effects including increased episodes of severe weather, migration in response to climate change and global temperature increases were cited as reasons for an updated action plan to encourage carbon emission reduction. The Discussion Paper emphasized both critical and long term consequences, correlated with strategies and policies to address these consequences. Finally, Minister of the Environment and Climate Change, Glen Murray, invited Ontarian's, citizens, business and action groups to contribute both their thoughts and ideas for the eventual plan. The culmination of these submissions and plans was the Ontario Climate Change Action Plan, released to the public on June 8, 2016.

Eight Areas of Action

The Climate Change Action Plan was broken down into eight separate "areas of action," aimed at key sectors and industries in Ontario that would play a significant role in reducing carbon emissions. Each area of action contained specific plans, both short and long term, to encourage greenhouse gas emission reduction.

Transportation

The transportation sector was one of the key action areas identified by the CCAP, arguing “(it) represents one of the largest challenges Ontario faces in achieving its emission reduction targets.” The contribution of transportation to greenhouse gas emissions in Ontario is backed up by Environment and Climate Change Canada, whose findings show that the sector contributes the second highest emissions and passenger vehicles and freight transport trucks are responsible for 70% of the emissions.

The core policies targeted in the transportation sector centred around increasing the number of electric vehicles, both consumer and commercial, on the road in Ontario, whilst encouraging older and less efficient vehicles to be scrapped. The primary policy tool used to encourage this was subsidies and tax breaks from the provincial government. The plan also favoured increased access to low carbon fuel, aimed at reducing existing vehicle carbon emissions. Finally, the plan created funds to develop more cycling and pedestrian friendly areas whilst increasing provincial funding to transit organizations for more sustainable transit options including commuter trains and buses.

The Financial Post found that the proposed changes in the transportation sector would have the greatest impact on the future lives of Ontarian's.

Buildings and Homes

The Climate Change Action Plan's second area of action was buildings and homes, where it was identified that improvements to existing structures and updated guidelines for existing structures could drastically reduce the sectors carbon emissions. The action plan contains a multifaceted approach, targeting the many types of buildings in the province and the different requirements to increase their respective efficiency with the ultimate goal of carbon emissions reductions.

For multi-residential buildings, hospitals and schools, the action plan proposes increased efficiency through the replacement of existing infrastructure and equipment with more sustainable and low-carbon options. Heritage structures in the province are encouraged by the province to take part in retrofitting projects where low-carbon technologies can greatly replace the impact of usually inefficient structures. Finally, the action plan proposes incentives for homeowners to lower their carbon footprint through the adoption of low-carbon individual energy solutions including geothermal and small scale solar powered systems.

New structures built in Ontario will comply with updated standards, guidelines and regulations for low-carbon buildings. These regulations will help Ontario eventually move to the construction of net-zero homes and buildings. The action plan also introduces job retraining programs that focus on using low-carbon and net zero building technologies and techniques.

Land Use Planning

A 2010 report from the Canadian Institute of Planners identified climate change as the greatest single cause for changes in the land use planning sector. The report argued that the basics of land use planning had to change in order to be able to continue to develop sustainable and prosperous communities. In response to the changing nature of the industry, the action plan identified Land Use Planning as an industry ripe for change to encourage emissions reductions.

The action plan focuses on giving municipalities greater power to create sustainable communities, through various support and funding mechanisms. Support for improved land use planning includes adding climate change as a priority for communities, increasing available provincial funds for sustainable municipal projects, supporting community energy development and finally easing community congestion.

Industry and Business

The Province of Ontario has long maintained a reputation for being a centre of manufacturing, with new industries emerging in technology and other business. In response to the changing landscape of Ontario's economy, the action plan identifies Industry and Business as the fourth area of action.

The focus for Industry and Business is the adoption of low-carbon technologies and practices as for various sectors in the province as well as the agricultural community. Targeting both large and small businesses and industries, Industry and Business will focus on adopting disruptive clean energy and production technologies while attempting to limit the disruption on businesses financial stance. The action plan sets out to aid in the adopting process through access to funds generated from carbon-related taxes beside complementing policies.

Collaboration with Indigenous Communities

Recognizing the long relationship between indigenous populations and the lands of Ontario, the fifth area of action focuses on the collaboration between indigenous communities and Ontario. The main goal, as set out in the Action Plan, is to apply the understanding of the various ecosystems and lands of Ontario's indigenous communities to develop policies that both encourage carbon emission reduction and protect valuable resources.

The collaboration with indigenous communities includes connecting remote communities to the provincial power grid to minimize high carbon emitting energy sources and the development of micro-grid systems for northern communities. The plan also proposes to increase the access of training for indigenous youth for clean energy and low-carbon jobs allowing these technologies to be sustained and maintained in indigenous communities. The government proposes increased access and creation of provincial funds to encourage this transition.

Research and Development

The Climate Change Action Plan recognizes that innovation largely drives the ability to introduce more sustainable technologies and practices, identifying the sector as crucial to the success of Ontario's carbon reduction targets.

A primary focus of the action plan is expanding the clean-technology sector. The government argues that increasing development and innovation of the sector will create new and more sustainable technologies, that are economically feasible. Additionally, the government proposes increased regulatory and tax schemes that target innovation, encouraging business and industry to invest and embrace these new technologies. Through creating capital allowances, development credits and increasing regulations, the action plan will force this innovation and ensuing adoption. Finally, the action plan proposes for a new Centre devoted to “low-carbon mobility” to foster and development the required innovation.

Government

Committed to abiding by all new guidelines and policies of the Action Plan, the Government of Ontario has identified itself as a key player in the Climate Change Action Plan. Employing over 92,000 people, the Government of Ontario is one of the provinces largest employers in terms of size, spending and assets.

Using over 3.25 Million square feet of building space, the government aims at increasing the efficiency of these buildings reducing their carbon footprint. The action plan also aims to increase telecommuting of thousands of employees, in effect reducing the carbon emissions from related transportation. Finally, the government commits to policies that encourage the use and future purchase of green vehicles where circumstance permits.

Agriculture, Forest and Land

As the second largest province in Canada as well as a major agricultural producer, the eighth sector of Agriculture, Forest and Land has a large place in the emission reduction targets of the province. Increased research into the interaction between agriculture, land and carbon storage is touted as imperative for a greater understanding into agricultures carbon emissions and the ways in which it can be reduced.

The action plan targets protection, conservation and expansion of existing grasslands and the greenbelt, in addition to committing to planting trees in the future. Finally, the Ministry of Environment and Climate Change committed to updating the guidelines for environmental assessments to have greater accountability for the effects of Climate Change.

Key Policy Introductions

In addition to outlining plans by sector and industry in Ontario, the Climate Change Action Plan has also produced policies that are to be implemented in the next 5 years. These policies are the culmination of the area of action plans, with many applying to more than one area of action.

Cap and Trade

Ontarios Cap and Trade program was originally announced late 2015 as part of the Western Climate Initiative, combining the provinces with similar programs in Manitoba and Quebec. The program was designed to generate revenue that would be allocated to carbon reduction programs. which the action plan outlined. The various allocations range from tax credits and incentives. Cap-and-Trade requires businesses that produce over 25,000 tonnes of greenhouse gas emissions, a electricity importer or fuel supplier to buy credits from the province of Ontario to allow them to exceed greenhouse gas emission caps in certain industries. The program is designed to generate revenue that is allocated to carbon reduction programs while encouraging emitters to reduce their emissions below the cap.

Green Bank

The action plan provided the proposal and arguments in favour of creating a green bank, aimed at "deploy(ing) and financ(ing) readily available low-carbon energy technologies to reduce carbon pollution from Ontario buildings." Targeting both residential and commercial consumers, the green bank will specialize in providing low-interest financing for investments in carbon emission reduction technologies and equipment. The green bank will receive the majority of funding from the revenue generate from the cap and trade program introduced in 2017.

Implementation

The implementation process of the Climate Change Action Plan began on January 1, 2017 with the introduction of Ontario's cap and trade program. For Ontarian's, the most notable change was the 4.3 cent/litre increase on gas. In March 2017, the first cap-and-trade auction occurred, allowing businesses to purchase emission credits if they exceed caps for emitting greenhouse gases the province has set.

Beyond the cap and trade program, the majority of initiatives begin in 2017, including the provinces planned rollout of electric car chargers province wide. The plan intends to begin implementation of the remaining programs in the latter half of 2017 and early 2018, allowing the programs and plans to generate at least two years of results before the next update of the action plan.

Reception

Following the introduction of the Climate Change Action Plan there has been significant coverage of the contents of the plan, how it will affect Ontario and Ontarians and whether the contents will beneficial for the province. The responses centered around the plans feasibility, economics and environmental benefits from the plans core content.

The Fraser Institute, a right-leaning think tank was particularly critical of the CCAP's plan with regard to electric vehicle subsidies in Ontario. The critique revolved around the fact that the incurred costs from the offered subsidies "will have to be borne by someone. Namely Ontarian's who don't buy electric cars." The institute also argued that the relative reduction in greenhouse gas the planned offered would be uneconomical, with a approximately $260 million cost for a 0.0003% reduction from 2014 levels." National Post columnist, Terrance Corcocan criticized the plan as manipulative, attempting to use climate change as the direct cause of concerns for Ontarian's, from food prices to availability of outdoor activity.

Others were fond of the plan, noting its ambitious goals and targets for carbon emission reductions while drastically encouraging change in Ontario's economy. The Centre for International Governance and Innovation found that the plan targeted necessary industries where emission levels are large contributors to the plan, while providing reasonable and sustainable initiatives, programs and objectives for carbon emission reductions. The Ontario Waste Management Association applauded the creation of the green bank by the Ontario Government, arguing that it will be beneficial to Ontarian's, while not incurring greater expense to pay for the programs funding.

In terms of public perception to the action plan, there has been no concrete evidence on its popularity with the population of Ontario. Since the plan has been in the public eye for 8 months and many of the programs are in the preliminary phase with no results or opinions available.

Future

Many of the initiatives of the Climate Change Action Plan begin in the years 2017 and 2018, although the long term goals and targets stretch over the next three decades. As part of provincial obligations established in the CCAP, the government will provide renewed plans in 5 year intervals, shorter than the current 7-9 year intervals. The action plan argues that this will allow the government to shift focus based on results and identify new sectors and technologies that can contribute to carbon emission reduction.