Climate Policy Engagement Analysis
Climate Policy Engagement Overview: The Canadian Chamber of Commerce (the Chamber) demonstrates negative advocacy on climate change policy in both Canada and the U.S. The Chamber states support for federal and international climate regulations, but often qualifies this support by emphasizing concerns around flexibility and national or regional competitiveness. The organization also advocates for fossil fuel infrastructure, including the Line 5 oil pipeline.
Top-line Messaging on Climate Policy: The Chamber demonstrates mixed top-line messaging on climate policy. In March 2022, Chamber’s CEO Perrin Beatty co-wrote a blog in which Beatty stated support for Canada’s 2050 net-zero goal while placing an emphasis on a “practical, principled, yet flexible approach” to emissions reductions.
The Chamber’s support for climate policy appears to primarily focus on government investment and financial incentives for emissions reduction, without specifying support for other forms of policy and regulation. For instance, in December 2022, a Chamber representative testified to the Canadian federal government, advocating that the government should increase “overall net zero funding and do more to de-risk and address barriers to private sector investment.” The Chamber also opposed climate regulations and advocated for an “incentives-based approach” to climate action in its September 2022 response to the federal discussion document on the Oil and Gas Emissions Cap. In November 2021, the Chamber published a blog post in support of the COP26 conference in Glasgow.
Engagement with Climate-Related Policy: The Chamber appears to engage on climate-related policies with both positive and negative positions. In a January 2022 consultation to Canada’s Department of Finance, it broadly supported implementing a border carbon adjustment mechanism. The Chamber has stated support for Canada’s federal carbon tax, for instance, in a March 2022 blog post by CEO Beatty.
However, the organization appears to have negative engagement on emission regulations and standards. For example, the Chambers’ response to the federal government discussion paper in September 2022 on Oil and Gas Emissions Cap opposed the cap, while a March 2024 joint industry letter to Minister of Environment and Climate Change Steven Guilbeault, advocated for the withdrawal of the policy. On its advocacy webpage, accessed in June 2023, the Canadian Chamber celebrated the 2020 amendment of the Clean Fuel Standard to exempt certain fuels from the regulation, thus weakening the scope of the policy.
Positioning on Energy Transition: The Chamber appears to support the long-term role of fossil fuels in the energy mix and has consistently supported new fossil fuel infrastructure. While the group has supported decarbonization of oil and gas in communications with the Canadian government in October 2023 and June 2022, it does not appear to support the reduction of oil and gas use in line with IPCC recommendations. A December 2023 letter from the CEO Perrin Beatty to Prime Minister Justin Trudeau advocated for development of LNG infrastructure in Canada. In January 2022 comments on the U.S. Department of Energy’s Energy Sector Industrial Base Supply Chain Review, the Chamber advocated for the continued use of Line 5 in Michigan. Subsequently, in March 2022 the Chamber joined other Chambers of Commerce, including the U.S. Chamber, in submitting an amicus brief to the District Court for the Western District of Michigan Southern Division in support of the Line 5 pipeline.
While the Chamber frequently supports technologies such as hydrogen and carbon capture utilization and storage (CCUS), it does not provide details on how these technologies fit into the overall transition to a zero-emission energy mix. For instance, in November 2022, the organization’s testimony to the federal Standing Committee on International Trade supported the development of hydrogen and CCUS. However, it did not comment on the need to transition away from fossil fuels and fossil fuel-related production in the deployment of these technologies.
The Canadian Chamber appears to support the electrification of transportation. In an April 2022 press release, CEO Beatty supported the inclusion of incentives for zero-emission vehicles in Canada’s 2022 federal budget.