Submission to the prebudget consultation presented to finance Canada

Reaching net-zero emissions by 2050 requires the decarbonization of all of Canada’s large buildings starting now – and the financing of bold actions by the federal government. Committing Canada to decarbonize its built environment will provide a global model that other countries can follow and, at the same time, ensure buildings and communities can better respond to climate change. As a co-benefit, the retrofit economy will create new jobs, foster innovation, and grow Canada’s low-carbon supply chain.

The federal Budget will play an important role in financing the progressive initiatives that will accelerate the decarbonization of Canada’s buildings. To help sustain momentum and further the transition to zero-carbon buildings, CAGBC’s Advocacy team made the following recommendations as part of the 2023 prebudget consultation:

1. To supercharge Canada’s retrofit economy, the government should

Require zero-carbon transition plans for all building types and support their development as part of any deep carbon retrofit program. Transition planning will ensure the effective timing and sequencing of carbon reduction measures.

2. To stimulate Canada’s supply chain of low-carbon construction materials, the government should

Create a grant program to build additional capacity for life cycle assessments and environmental product declarations (EPD) for products manufactured by small- and medium-sized Canadian companies

3. To set the foundational blocks for decarbonizing Canada’s large buildings, the government should

Fund a Building Data Strategy and the structure that will collect and disclose data and enable the labelling of industrial, commercial, and institutional (ICI) buildings.

4. To crowd in private investment for zero-carbon green buildings, the government should

• Support the adoption of high-performance building envelope technologies and the electrification of buildings through the extension of the investment tax credit for clean technologies (class 43.1).
• Ensure that eligible tax credits are transferable from non-taxable to taxable entities.
• Support the upfront cost of deep carbon retrofit projects through a new incentive program.