The Province will receive millions of additional funding dollars for clean air and climate change as a result of the successful effort to negotiate a new funding formula for several federal programs.
The Canada ecoTrust for Clean Air and Climate Change provides support to provinces and territories to carry out major projects that will result in real reductions in greenhouse gas emissions and air pollutants. When the $1.5 billion program was announced last month, it was expected that the money would be allocated on a per capita basis which would put PEI’s share at $6 million over three years.
Minister of Environment, Energy and Forestry Jamie Ballem said that figure is now $15 million thanks to Premier’s Binns’ success in negotiating a new fiscal relationship with Ottawa on ecoTrust and several other federal funding programs.
“Because of our size, it is difficult for PEI to undertake any major climate change projects when programs are funded on a per capita basis. There needs to be a base funding formula. That’s the message the Premier delivered to the Prime Minister and he obviously delivered it very effectively,” said Minister Ballem.
Prince Edward Island has been a leader in renewable energy development and other environmental initiatives to reduce greenhouse gas emissions that contribute to climate change. Minister Ballem pointed to PEI’s Renewable Energy Strategy, wind energy development at North Cape and Eastern Kings, the establishment of the Wind Energy Institute of Canada at North Cape and creation of the PEI Wind-Hydrogen Village.
“With the additional dollars that PEI will receive through the Canada ecoTrust program, we are now in a position to undertake initiatives that will build on our success and have a significant impact in creating a cleaner, healthier environment,” he added.
Minister Ballem said the Province is exploring various options to get the most out of the new funding dollars. An announcement on how ecoTrust funding will be invested in Prince Edward Island is expected in the coming weeks.
The Minister added that he was also pleased to see this week’s federal budget include a federal tax rebate of up to $2,000 on hybrid and fuel-efficient vehicles. Prince Edward Island offers the most attractive tax incentive for hybrid vehicles – a provincial sales tax rebate of up to $3,000. With the provincial and federal rebates now providing a savings of up to $5,000, Minister Ballem said there’s much more incentive for Islanders who are in the market for a new car to consider buying a hybrid.