{"id":94954,"date":"2025-03-27T10:24:24","date_gmt":"2025-03-27T10:24:24","guid":{"rendered":"https:\/\/resourcework2.devstudio.work\/?p=94954"},"modified":"2025-05-20T21:58:07","modified_gmt":"2025-05-20T21:58:07","slug":"smarter-plan-canada","status":"publish","type":"post","link":"https:\/\/resourcework2.devstudio.work\/?p=94954","title":{"rendered":"Energy, climate, and economics \u2014 A smarter path for Canada"},"content":{"rendered":"\n

Canada has set ambitious climate goals, aiming to cut its greenhouse-gas emissions by 40 to 45 per cent by 2030, and to hit net-zero emissions by 2050. <\/p>\n\n\n\n

Now a senior fellow at Resource Works, Jerome Gessaroli, argues that Canada is over-focusing internally on reducing greenhouse-gas emissions, when we should \u201clook at cooperating with developing countries to jointly reduce emissions.\u201d<\/p>\n\n\n\n

He continues: \u201cAnd we do that in a way that helps ourselves. It helps meet our own goals. That’s through Article 6 of the Paris Accord, allowing countries to share emission reduction credits from jointly developed projects.\u201d<\/p>\n\n\n\n

Reduction on a global scale<\/strong><\/p>\n\n\n\n

Article 6, says Gessaroli, means this: \u201cWe can work towards meeting our own emission goals, and can help developing countries meet theirs. We can do it in a way that’s much more efficient. We get a lot more bang for our buck than if we are trying to just do it domestically on our own.\u201d<\/p>\n\n\n\n

The point is that, in the end, emissions are reduced on a global scale \u2014 as he stressed in a five-part series<\/a> that he wrote for Resource Works last November.<\/p>\n\n\n\n

And in a study<\/a> for the Macdonald-Laurier Institute (where he is a senior fellow) he wrote: \u201cThe benefits could be large. Canada could reduce emissions by 50 per cent more if it carried out methane reduction projects both internationally and domestically, rather than solely in Canada.\u201d<\/p>\n\n\n\n

But is Ottawa interested?<\/strong><\/p>\n\n\n\n

Gessaroli says the federal government expressed interest in Article 6 in 2019 \u2014 but has not moved since then.<\/p>\n\n\n\n

\u201cThey barely looked at it. Since this requires government-to-government coordination, it needs Ottawa\u2019s initiative. But there doesn’t seem to be too much interest, too much appetite in that.\u201d<\/p>\n\n\n\n

All Ottawa has said so far is: \u201cGoing forward, Canada will explore these and other similar options to strengthen international co-operation and generate incentives for further emission reductions.\u201d<\/p>\n\n\n\n

Gessaroli on Resource Works<\/strong><\/p>\n\n\n\n

Gessaroli has been working with Resource Works since he first spoke with our Stewart Muir, following a letter that Muir wrote in The Vancouver Sun<\/em> in 2022: \u2018Gas has key role to play in meeting 1.5C climate targets.\u2019<\/p>\n\n\n\n

Gessaroli saw in Resource Works advocacy for responsible resource development \u201cfor the people, the citizens of BC, in an environmentally responsible manner and in a manner that’s efficient, driven by the private sector.\u201d<\/p>\n\n\n\n

And: \u201cResource Works supports responsible resource development, not uncritical expansion. We have these resources. We should develop them, but in a way that benefits society, respects nature, respects the local peoples, and so that wide elements of society can benefit from that resource development.\u201d<\/p>\n\n\n\n

Gessaroli on electric vehicles <\/strong><\/p>\n\n\n\n

Gessaroli hit a shared interest with Resource Works in a 2024 paper for its Energy Futures Institute<\/a>, critiquing BC\u2019s plan to require that all new vehicles sold in the province must be electric zero-emission vehicles (ZEVs) by 2035.<\/p>\n\n\n\n

For one thing, he wrote, BC would need to spend $1.8 billion to provide electric charging points for the vehicles. And billions more would be required to provide expanded power generation and transmission systems. <\/p>\n\n\n\n

\u201cThe Government of BC should adjust or rescind its mandated targets for new minimum zero-emission vehicle sales.\u201d<\/p>\n\n\n\n

And on <\/strong>ZEV subsidies <\/strong><\/p>\n\n\n\n

Stewart Muir and Barry Penner, chair of the Energy Futures Institute, wrote a guest column<\/a> last October in Business in Vancouver<\/em>. They cited Gessaroli\u2019s paper above, and noted: \u201cAccording to Gessaroli, meeting BC\u2019s ZEV targets will require an additional 2,700 gigawatt hours of electricity by 2030, and 9,700 gigawatt hours by 2040\u2014almost equal to the output of two Site C dams.\u201d <\/p>\n\n\n\n

Gessaroli has also looked at the subsidies BC offers (up to $4,000) to people who buy an electric vehicle.<\/p>\n\n\n\n

\u201cThe subsidies do help. They do incentivize people to buy EVs. But it’s a very costly way to reduce carbon emissions, anywhere upwards of $600, $700, even $800 a tonne to eliminate one tonne of carbon. <\/p>\n\n\n\n

\u201cWhen you look at the social cost of carbon, the government uses a figure around $170 a tonne. That’s the damage done from every tonne of carbon emitted into the atmosphere. So we’re paying $800 to remove one tonne of carbon when that same tonne of carbon does damage of about $170. That doesn’t sound like a very cost-effective way of getting rid of carbon, does it?\u201d<\/p>\n\n\n\n

Gessaroli on Donald Trump\u2019s policies<\/strong><\/p>\n\n\n\n

Gessaroli says tariffs on imports are not the only benefit that Donald Trump plans for U.S. industry that will hurt Canada.<\/p>\n\n\n\n

\u201cHe also wants to reduce tax rates, 15% for US manufacturers, and allow full deductibility for equipment purchases. You reduce regulations and red tape on companies while lowering their tax rates. They’re already competitive to begin with. Well, they’re going to be even more competitive, more innovative.\u201d<\/p>\n\n\n\n

For Canada, he says: \u201cGet rid of the government heavy hand of overtaxing and enforcing inefficient and ineffective regulations. Get rid of all of that. Encourage competition in the marketplace. And over time, we’d find Canadians can be quite innovative and quite competitive in our own right. And we can hold our own. We can be better off. <\/p>\n\n\n\n

\u201cAnd there’d be more tax revenues being generated by the government. With the tax revenue, you can build the roads, build the hospitals, improve the healthcare system, things like that. <\/p>\n\n\n\n

\u201cBut without this type of vibrant economic type activity, you\u2019re going to get the stagnation we’re seeing right now.\u201d<\/p>\n\n\n\n

About Jerome Gessaroli<\/strong><\/p>\n\n\n\n

Gessaroli leads the Sound Economic Policy Project<\/a> at the B.C. Institute of Technology. He is the lead Canadian co-author of Financial Management: Theory and Practice<\/em>, a widely used textbook. His writing has appeared in many Canadian newspapers.<\/p>\n\n\n\n

Stewart Muir, CEO of Resource Works, highlights Gessaroli\u2019s impact: \u201cJerome brings a level of economic and policy analysis that cuts through the noise. His research doesn\u2019t just challenge assumptions\u2014it provides a roadmap for smarter, more effective climate and energy policies. <\/p>\n\n\n\n

\u201cCanada needs more thinkers like him, who focus on pragmatic solutions that benefit both the environment and the economy.\u201d<\/p>\n\n\n\n

Gessaroli and Karen, his wife of 34 years, live in Vancouver and enjoy cruising to unwind. In his downtime, Gessaroli reads about market ethics and political economy \u2014 which he calls his idea of relaxation.<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

From Resource Works senior fellow Jerome Gessaroli.<\/p>\n","protected":false},"author":41,"featured_media":94955,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[703],"tags":[33,218,18,32],"class_list":["post-94954","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-canada","tag-climate-change","tag-economy","tag-energy"],"acf":[],"yoast_head":"\nEnergy, climate, and economics \u2014 A smarter path for Canada -<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/resourcework2.devstudio.work\/?p=94954\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Energy, climate, and economics \u2014 A smarter path for Canada -\" 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