New ‘Canada Strong Fund’ and Spring Economic Update continue federal trend of fossil fuel handouts at the expense of people and the planet

VANCOUVER / UNCEDED xʷməθkʷəy̓əm, Sḵwx̱wú7mesh AND səlilwətaɬ TERRITORIES —
In response to the federal government’s announcement of a new national wealth fund –  the Canada Strong Fund – and the release of the Spring Economic Update, the Wilderness Committee is raising concerns about what this fund and budget will actually finance, and who will benefit from this spending. 

The Canada Strong Fund is closely linked to the federal Major Projects Office, created last fall to fast-track large industrial projects designated in the “national interest”. These include fossil fuel projects including Ksi Lisims LNG and LNG Canada Phase 2. The Wilderness Committee warns there is significant risk that millions or even billions of dollars of public money could flow toward fossil fuel expansion and resource extraction that deepens the climate crisis and fails to deliver long-term benefits for people as promised.

People suffer, companies profit

“At a time when people are struggling with affordability, this fund and budget update should be laser-focused on investments that actually improve lives.” said Isabel Siu-Zmuidzinas, Climate Campaigner at the Wilderness Committee, “Instead, we’re seeing more money flow to fossil fuel expansion and the military. Funding the industries driving the climate crisis instead of the solutions that make life better is reckless, irresponsible and the furthest thing from real leadership.”

The Wilderness Committee says today’s Spring Economic Update reinforces the direction taken so far by Prime Minister Mark Carney. The update touts major industrial projects and increasing defence spending as priorities while neglecting to invest or prioritize investments that would lower emissions and make life more affordable. Further, the update continues to push the false narrative of “low-carbon LNG” when recent reporting has highlighted that Canada’s only operational LNG export facility, LNG Canada Phase 1, was amongst the worst globally.

The wrong path

“These documents aren’t a new direction, they’re a continuation of a bad trajectory. The federal government is doubling down on fossil fuel expansion and megaprojects when we’ve seen this play out before, with billions of dollars of debt tied to the TransMountain pipeline expansion” Siu-Zmuidzinas said. “If these projects are truly strong, wealth-generating investments, why does the government need to step in to make them attractive to the private sector?” 
The Wilderness Committee will continue to analyze the update and various streams of federal funding, and work with other organizations, communities and Indigenous Nations to oppose public financing for reckless fossil fuel expansion.
 

For more information or interviews, please contact: 
Isabel Siu-Zmuidzinas | Climate Campaigner, Wilderness Committee
isabel@wildernesscommittee.org