2025 National Inventory Report supports Canada's climate plan is working: emissions have dropped to their lowest level in 27 years (excluding pandemic years)

OTTAWA, ON, March 21, 2025 /CNW/ - Canadians are calling for action to combat climate change in a way that strengthens the economy, keeps life affordable, and ensures clean air for communities. As the impacts of climate change become more severe and frequent, with extreme events such as floods, wildfires, and heatwaves, the federal government is taking bold action to protect Canadians, reduce pollution, safeguard the environment, and build a stronger, more resilient, and sustainable 21st-century economy.

The federal government today published its final 2025 National Inventory Report, which tracks greenhouse gas emissions data between 1990–2023. The report supports that Canada's plan to cut pollution is making a difference. In 2023, Canada's greenhouse gas emissions were 694 Mt CO2 eq, a decrease of 65 Mt (8.5%) from 2005 levels. This does not include the accounting contribution from land use, land-use change and forestry (LULUCF). 

This year's final National Inventory Report shows that even as Canada's economy has become stronger, and more sustainable, the emissions intensity of our economic growth has decreased by 34%. Canada's emissions are now the lowest they have been in 27 years, excluding the pandemic years, and significantly lower than pre-pandemic levels. The historic decline in emissions intensity—equivalent to taking 1.8 million cars off the road for a year—shows how the growing Canadian economy is becoming cleaner and more sustainable.

Canada's 2025 report includes analysis of emissions trends from 2013–2023 that supports the work of key policy measures that were implemented in high-emitting sectors of the economy. The report shows that fugitive greenhouse gas emissions from oil and natural gas have decreased by 33% between 2013–2023, driven in part by Canada's 2020 oil and gas methane regulations, which have reduced methane venting and leaks while supporting production growth and the development of new clean technologies.

Similarly, greenhouse gas emissions from Canada's electrical grids decreased by 34% over the same period, thanks to federal and provincial efforts to phase out coal-fired electricity generation and the shift to cleaner power generation. Further progress on emissions reductions is expected in the coming decades, as a result of Canada's new Clean Electricity Regulations, which aim to transition the grid to net-zero by 2050. Canadians are also helping reduce emissions while lowering their monthly bills by making their homes more energy-efficient and switching to electric vehicles.

The 2025 National Inventory Report supports that the collective efforts of all governments, businesses, Indigenous groups, and all Canadians are making a difference in lowering the emissions intensity of our economy. Efforts to date have reduced pollution, helped us build a resilient economy, and position Canada for success in the 21st century.

Quotes

"Fighting climate change and driving down pollution goes hand in hand with building a strong, competitive Canadian economy. This year's National Inventory Report shows that Canada's plan to tackle emissions from the highest-emitting parts of the economy is making progress in cutting down emissions. The federal government will continue to lead these efforts, ensure big polluters pay their fair share, and drive the growth of a clean economy while tackling the climate crisis."
– The Honourable Terry Duguid, Minister of Environment and Climate Change

Quick facts

• For over three decades, the National Inventory Report has offered increasingly robust scientific evidence to support regulations geared to drive down emissions, and support funds and programs that make clean technology affordable for Canadians and their businesses.
• There were lower emissions from electricity generation between 2013–2023, despite Canada's increasing population and the strong adoption of technologies that require more electricity from the grid, such as heat pumps and electric vehicles.
• Residential heating emissions decreased by 16% between 2013–2023, due to more efficient homes and warmer winters. Between 2013–2023, emissions from a smaller number of more efficient passenger gasoline cars led to a 28% decrease, while emissions from more higher-emitting trucks and SUVs have increased by 17% (partially offsetting overall improvements) for a total 8.3% decrease. Reductions were supported by a series of government grants and loans to help Canadians upgrade home heating systems, like the Oil to Heat Pump Affordability Program, and regulations to reduce emissions from cars and trucks.

Associated links

• 2025 National Inventory Report

Environment and Climate Change Canada's X page

Environment and Climate Change Canada's Facebook page

Environment and Natural Resources in Canada's Facebook page

Environment and Climate Change Canada's LinkedIn page

Environment and Climate Change Canada's Instagram page

SOURCE Environment and Climate Change Canada

Contacts: Hermine Landry, Press Secretary, Office of the Minister of Environment and Climate Change, 873-455-3714, [email protected]; Media Relations: Environment and Climate Change Canada, 819-938-3338 or 1-844-836-7799 (toll-free), [email protected]