Canada’s recovery plan could miss a huge opportunity to boost climate finance, experts say

Canada’s government could help the social finance sector step up on climate recovery

Why It Matters

Fighting climate change remains Canada’s greatest existential challenge. As the country recovers from COVID-19, it has the opportunity to transform its carbon-intensive economy - but government financing alone may not be enough. Social financing could fill the gap and ensure a green economic recovery for all.

In the early morning hours of Sept. 22, the day before Canada launched its COVID-19 recovery plan, Ford Motor Company officials and union representatives reached an ambitious climate deal of their own at a negotiating table. 

The company’s plant in Oakville, roughly 45 minutes west of Toronto, was expected to soon be on the chopping block: another victim of manufacturing’s slow erosion in what was once Canada’s heartland for automotive production. Instead, Ford promised to spend nearly $2 billion to produce five new electric vehicle (EV) models at the plant along with an engine contract for a factory in Windsor, Ont. Both the provincial and federal governments would chip in just $500 million to retool both factories. 

This sort of commitment is unheard of for a major automaker in Canada. “Up until today, of the $300 billion announced globally in EV inv

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