The passing of Bill C-59, which implements the Clean Technology Investment Tax Credit, makes Canada a more competitive place to invest in renewable energy and energy storage.
Ottawa, June 19, 2024—The Canadian Renewable Energy Association (CanREA) celebrates the passage today of Bill C-59, implementing the long-awaited Clean Technology Investment Tax Credit (Cleantech ITC).
“The Clean Technology ITC will drive momentum for the renewable energy and energy storage industries in Canada. It will make Canada a more competitive place to invest, creating new opportunities for our members in all provinces and territories,” said Vittoria Bellissimo, CanREA’s President and CEO.
Entitled An Act to implement certain provisions of the fall economic statement tabled in Parliament on November 21, 2023 and certain provisions of the budget tabled in Parliament on March 28, 2023, Bill C-59 makes the Cleantech ITC available to companies looking to invest in Canada’s wind energy, solar energy, and energy storage industries. It allows companies investing in renewable energy and energy storage projects to recoup between 20 and 30 percent of their capital costs as a refundable tax credit.
“The Cleantech ITC is potentially worth billions to the renewable energy and energy storage industries,” said Fernando Melo, CanREA’s Federal Director. “Its relatively straightforward design and refundability will put Canada in a competitive position relative to the US and other jurisdictions that are looking to decarbonize their electricity systems.”
CanREA has been at the table with Finance Canada since August 2022 to successfully advocate for and advise on a Canadian response to the Inflation Reduction Act in the U.S.
With this Bill, the government has put Canada on track to meet its climate targets and stay economically competitive in a rapidly digitizing economy. What’s more, it will give investors confidence that Canada will remain competitive in the long term, as the Bill specifies that the Cleantech ITC will remain available to 2034.
“It is important to note that much more progress needs to be made to ensure and encourage Indigenous participation in the future of the electricity sector,” said Melo.
CanREA had advocated that Indigenous communities and companies be included in the Cleantech ITC, in addition to the Clean Electricity ITC because, as noted in CanREA’s response to the Federal Budget last April, it is critical to ensure that Indigenous companies and communities can fully participate in Canada’s many calls for power.
Now that the Cleantech ITC has been implemented, CanREA will continue to work with the government and all parliamentarians to ensure the speedy introduction and passage of the Clean Electricity ITC.
Quotes
“The Clean Technology ITC will drive momentum for the renewable energy and energy storage industries in Canada. It will make Canada a more competitive place to invest, creating new opportunities for our members in all provinces and territories.”
—Vittoria Bellissimo, President and CEO, Canadian Renewable Energy Association (CanREA)
“The Cleantech ITC is potentially worth billions to the renewable energy and energy storage industries. Its relatively straightforward design and refundability will put Canada in a competitive position relative to the US and other jurisdictions that are looking to decarbonize their electricity systems.”
—Fernando Melo, Federal Director, Canadian Renewable Energy Association (CanREA)
“It is important to note that much more progress needs to be made to ensure and encourage Indigenous participation in the future of the electricity sector.”
—Fernando Melo, Federal Director, Canadian Renewable Energy Association (CanREA)
For interview opportunities, please contact:
Michaela Ianni, Communications Specialist
Canadian Renewable Energy Association
613-805-4465
communications@renewablesassociation.ca
About CanREA
The Canadian Renewable Energy Association (CanREA) is the voice for wind energy, solar energy and energy storage solutions that will power Canada’s energy future. We work to create the conditions for a modern energy system through stakeholder advocacy and public engagement. Our diverse members are uniquely positioned to deliver clean, low-cost, reliable, flexible and scalable solutions for Canada’s energy needs. For more information on how Canada can use wind energy, solar energy and energy storage to help achieve its net-zero commitments, consult “Powering Canada’s Journey to Net-Zero: CanREA’s 2050 Vision.” Follow us on Twitter/X and LinkedIn. Subscribe to our newsletter here. Learn more at renewablesassociation.ca.
