Unusual as it may sound, the US has decided to go green—greener than Canada. Obama is a man of his word: he is delivering on his promises, enacting bold change. These changes will affect Canada as much as the States. To demonstrate, let’s compare our governments’ “green” credentials.
Obama’s energy plan, which includes a Presidential Climate Change Action Plan, aims to increase dependence on renewable energy. The Harper government’s much anticipated budget merely toys with the idea of green energy. Obama’s praiseworthy energy plan aims to reduce US oil consumption, produce more efficient cars, and substitute ethanol for petrol. Part of Obama’s economy stimulus, the plan will invest $150 billion over the next 10 years to build clean energy, creating five million jobs in the process.
Harper’s plan for the energy sector is vague. The Harper government’s budget includes $2.4 billion for clean energy projects over the next five years. This sum creates an illusion of greenness, but cannot hide the inadequacy of the overall strategy. Obama’s plan will not only increase investment in renewable energy, it will reduce oil consumption. Unsurprisingly, the Harper government’s budget does not aim to reduce oil consumption—it tries to make fuel “clean.” Canada’s renewable energy industry, particularly the wind, solar, biomass, and hydro sectors, is not pleased with the federal budget. Conspicuously absent was any provision for expanding the ecoEnergy for Renewable Power program, which supports new power projects. Some will argue that to spare even $2.4 billion for the renewable energy sector in such economic times is more than sufficient—but is the US’s economy any better?
The gap between the Obama administration’s ambitious investment in renewable energy and the Harper government’s inadequate version of energy planning will have significant ramifications for the Canadian economy. The US has prepared itself for a transition to a sustainable economy, one that several European countries have already adopted. Canada mustn’t fall behind, but with only $2.4 billion to spare on renewable energy and no sign of policy change to reduce oil consumption, the federal government will be unable to adapt.
Canada is the largest importer of energy to the US, but Alberta’s oil sands will become less significant as US oil consumption decreases. Oil exports to the US will taper off, resulting in a major blow to our economy. In order for Canada to prosper, the Harper government has to invest substantially in renewable energy, which—believe it or not—is economically promising.
The danger of climate change has provided North America with an opportunity to boost its economy while protecting the environment. Energy prices contributed significantly to the economic slowdown, and it will be the development of renewable energy that creates better economic times. Obama has been quick to exploit these opportunities, and his pragmatic move is a wake-up call for the Harper government to do the right thing before it’s too late.
