CIAC sees opportunity for chemistry industry growth in Canada’s 2030 Emissions Reduction Plan
March 29, 2022
The Chemistry Industry of Canada (CIAC) welcomed the Government of Canada’s 2030 Emissions Reduction Plan today and its plan to help industries develop and adopt clean technology in their journey to net-zero emissions.
Of note, CIAC was pleased to see the plan include a commitment to an investment tax credit for capital invested in carbon capture, utilization and storage (CCUS) projects to encourage the development and deployment of CCUS technologies. CIAC also welcomed the investment of $194 million to expand the Industrial Energy Management System to support ISO 50001 certification, energy managers, cohort-based training, audits, and energy efficiency-focused retrofits for key small-to-moderate projects.
“We are pleased to see this plan make a much-needed contribution to improve conditions for Canada’s chemistry sector to make investments to recapitalize. In particular, CCUS and investment supports will facilitate Canada’s transition to net zero emissions,” said Bob Masterson, President and CEO of CIAC.
“This will be important in moving the major chemistry announcements in Alberta and Quebec from proposal to final investment decision and built infrastructure.”
As CIAC members have shown, net zero in chemistry is possible, but will only come through a massive recapitalization of built plants and equipment. Canada’s chemistry sector will need to attract hundreds of millions in new investment in the next two decades.
“Given that we have attracted less than $10 billion over the past two decades, a major emphasis must be placed on investment policy,” said Masterson.
“It will be important that Budget 2022 include additional measures to support the significant reinvestment required by the chemistry, and other sectors to achieve net zero.”
CIAC looks forward to working with all levels of government to ensure that Canada’s chemistry sector continues to drive Canada toward net zero emissions, while creating jobs and strengthening the economy.
For more details please consult CIAC’s 2022 Federal Pre-Budget Consultation.