Regulatory Affairs
June 27, 2019

NEW! The Québec government unveils its vision for the governance of the Green Fund and the energy transition

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QUÉBEC, June 25, 2019 / CNW Telbec / - Every dollar paid to the Green Fund should be appropriately invested to serve the objectives of fighting climate change and fostering Québec's economic growth. To achieve this result, the Minister of the Environment and the fight against climate change, Mr. Benoit Charette, and the Minister of Energy and Natural Resources, Mr. Jonatan Julien, presented on Tuesday the vision of government in the governance of the Green Fund and the energy transition. Simplify the governance of the Green Fund, clarify responsibilities, avoid duplication and ensure accountability in the fight against climate change and energy transition: the new structure envisaged would meet all these objectives.

Simplified governance

The Québec government wants to enhance the strategic nature of the Green Fund and better align its action with the government's orientations in the fight against climate change, energy transition and economic development.

Thus, according to the proposed vision, the Minister of the Environment and the fight against climate change, Mr. Benoit Charette, would be fully responsible for the consistency of the use of the Green Fund with the objectives and orientations of the government. In this context:

  • The Green Fund would be renamed "Electrification and Climate Change Fund" to clearly reflect the refocusing of its mission;
  • The Green Fund Management Board would be abolished;
  • The functions and resources of this body would be transferred to the Ministry of Environment and Climate Change (MELCC), where a new unit called the Office of Electrification of the Economy and Climate Change (BECC) ) would be created;
  • The Minister will be responsible for ensuring government coordination of the design and implementation of the 2020-2030 Electrification and Climate Change Plan.

For his part, the Minister of Energy and Natural Resources, Jonatan Julien, would be fully responsible and accountable for the energy transition. In this context:

  • Transition énergétique Québec would be abolished;
  • The functions and resources of the company would be transferred to the Ministry of Energy and Natural Resources (MERN);
  • Subject to its adaptation to the future Electrification and Climate Change Plan 2020-2030, Québec's Master Plan for Transition, Innovation and Energy Efficiency would be maintained;
  • Similarly, the system of annual share of energy distributors would be retained.

Interdepartmental coordination would be strengthened by setting up a working group co-chaired by Ministers Charette and Julien. In addition, departments and agencies that will collaborate on the upcoming 2020-2030 Electrification and Climate Change Plan will need results-based management.

Increased transparency and accountability

The Québec government also wants to ensure transparency and accountability in the management of the new Electrification and Climate Change Fund. That is why he would entrust an independent audit role for the Fund to the Auditor General of Quebec assisted by the Commissioner of Sustainable Development. It would also establish a permanent climate change advisory committee, composed of scientists and civil society representatives, whose analyzes and recommendations would be made public.

Quotes:

"It is time to put an end to the red tape, overlap and muddle of the old Green Fund and focus on the pragmatic actions we need to take quickly: electrify our economy and fight climate change. The Electrification and Climate Change Fund can and must be a great tool for sustainable development. The new governance model we are proposing is in perfect harmony with our government's vision in this area: to fight climate change, both in terms of reducing greenhouse gases and adapting to climate change, while creating wealth to afford our great ambitions for Quebec. "

Benoit Charette, Minister of the Environment and the Fight Against Climate Change

"I am happy to personally look after the energy transition. This responsibility is particularly close to my heart since I took office. By proposing simplified governance and increased transparency, we aim to chart the path needed to address climate change. The new working group envisaged will make it possible to monitor and support departments and agencies in order to implement Québec's energy transition. In addition, it is important to remember that all existing programs will be maintained and that we will continue to work on the implementation of new programs. This is how we can create wealth, ensure our quality of life and reduce greenhouse gas emissions. "

Jonatan Julien, Minister of Energy and Natural Resources and Minister responsible for the Côte-Nord region

Highlights:

  • Creation of the Green Fund in 2006.
  • Creation in 2017 of the Management Board of the Green Fund and Energy Transition Québec
  • The existence of these bodies has rather led to overlaps in the application of certain responsibilities, the increase in the process and the confusion of the partners involved. Ultimately, these disadvantages undermined the effective implementation of the 2013-2020 Climate Change Action Plan.
 

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