Prime Minister Mark Carney is widely recognized by Canadians for his background as an economist and central banker before entering politics. However, his early involvement in advocating for climate action is lesser-known. In a significant speech at Lloyd’s of London in 2015 while heading the Bank of England, Carney highlighted the escalating financial risks of climate change and stressed the imperative for timely action.
Over the years, Carney utilized his economic expertise to bring global attention to the escalating financial implications of global warming and the potential of transitioning to cleaner energy sources. Julie Segal, a senior manager at Environmental Defence, noted that Carney’s 2015 speech marked a pivotal moment where a respected economist addressed climate change as a tangible risk.
Despite his advocacy, Carney maintained a stance that central bankers should not endorse specific policies, leaving such decisions to governments. However, since assuming the role of prime minister, Carney has rolled back Canada’s consumer carbon pricing mechanism, halted electric vehicle mandates, and potentially scrapped the emissions cap set for 2030, which was a first among G7 nations.
Additionally, Carney has supported the expansion of liquefied natural gas exports, controversial carbon capture technology, and initiated discussions on new pipelines with notable figures like Alberta Premier Danielle Smith and former U.S. President Donald Trump. The Prime Minister’s Office has not confirmed his attendance at the upcoming COP30 climate negotiations in Brazil.
Questions have been raised about Carney’s shift in climate policies since taking office, prompting concerns about his environmental priorities. Despite his past contributions to climate finance and sustainability, some stakeholders are skeptical of his current approach. Observers anticipate the government’s climate competitiveness strategy to be revealed in the upcoming budget, with expectations for stronger commitments to address climate change effectively.
Carney, who transitioned to UN climate roles after his central banking tenures, emphasized the urgent need for climate action. He co-chaired the Glasgow Financial Alliance for Net Zero to mobilize financial institutions towards a net-zero economy. However, the alliance faced challenges and has since dissolved, casting doubt on the longevity of Carney’s climate initiatives.
As the government prepares to unveil its climate plan, concerns linger about meeting emission reduction targets amidst evolving policy landscapes. Stakeholders emphasize the necessity of transparent and impactful climate policies to achieve emissions reduction goals effectively. While some express confidence in the government’s commitment to climate action, challenges lie in balancing economic considerations and climate priorities to ensure a sustainable future.