Budget 2026

Pembina Institute comments and recommendations

Canada currently faces numerous, interconnected challenges. Budget 2026 presents a critical opportunity to demonstrate the country’s commitment to becoming a clean energy superpower through ambition and investment that exceeds the public support given to the conventional energy sector. The Powering Canada Strong electrification strategy is central to Canada’s pathway to clean energy and economic prosperity.

To meet our climate and economic goals, Canada must complement Powering Canada Strong’s goal of doubling electricity supply with two equally ambitious goals for 2050:

  • Double electrification — doubling the share of Canada’s final energy consumption supplied by electricity.

  • Double energy productivity — doubling the economic value Canadians generate from each unit of energy consumed.

Together, these three goals form a coherent national mission to improve prosperity for all Canadians. To achieve this mission, we offer the following recommendations for Budget 2026.

Priority recommendations

  1. Establish a national retrofit program for multi-unit residential buildings

  2. Develop strategic grid connections that benefit all Canadians

  3. Modernize electricity systems through demand-side management

Supporting recommendations

  1. Fund Indigenous-led and northern clean energy

  2. Reaffirm the industrial carbon price

  3. Embed workforce development into the national electrification strategy

  4. Ensure electric vehicle targets can be met

  5. Ensure accurate, measurement-based methane emissions data