Environment Canada Drives Forward With Ambitious Climate Action Plan in 2025
Major Environmental Progress and New Initiatives
Environment Canada has released its 2025 National Inventory Report, tracking greenhouse gas emissions from 1990-2023, which demonstrates that collective efforts across all sectors are successfully reducing the emissions intensity of Canada’s economy.
Significant progress has been made in key sectors, with fugitive greenhouse gas emissions from oil and natural gas decreasing by 33% between 2013-2023, while emissions from electrical grids have dropped by 34% during the same period, thanks to coordinated federal and provincial efforts to phase out coal-fired electricity.
Investment in Climate Adaptation and Flood Protection
As Canadians face unprecedented climate events, including wildfires, extreme heat waves, and floods, the government has responded with substantial investments. A recent announcement confirmed $6.8 million in funding for 20 projects through the Flood Hazard Identification and Mapping Program, as part of Canada’s National Adaptation Strategy.
Youth Environmental Education and Municipal Support
In July 2025, Minister Julie Dabrusin announced over $14.4 million from the Climate Action and Awareness Fund to support 17 projects focused on enhancing environmental literacy among Canadian youth. Additionally, the department has allocated approximately $5.2 million through the Green Municipal Fund to support 70 municipalities in developing climate adaptation plans and implementing climate-focused asset management strategies.
International Leadership and Future Commitments
Environment Canada continues to demonstrate international leadership by co-chairing interdepartmental governance committees and implementing approximately $181 million in climate finance over five years to support climate action in developing countries. This includes projects supporting energy transition, energy access, and climate governance in developing nations.
Looking ahead, the department is finalizing regulations to combat climate change and improve air quality, working toward Canada’s enhanced GHG emission reduction target of 40-45 percent compared to 2005 levels by 2030.
