Climate policy is economic policy, says Pembina Institute executive director
Given the economic challenges facing Canada, addressing climate change and reducing greenhouse gas emissions should not be seen as in conflict with building a resilient economy, says Chris Severson-Baker, executive director of the Pembina Institute – in fact, they’re one and the same
“Wanting a stronger economy, wanting to combat climate change — these are things that need to happen, and that we’d like to see support for them cut across party lines,” Severson-Baker said in a recent interview. “But we do have a significant amount of polarization on those issues in Canada. That’s a challenge.”
For 40 years, the Pembina Institute has worked to break down that polarization by advancing practical, evidence-based climate and energy solutions. What began in Drayton Valley, Alta., a community rooted in oil, gas, and forestry, has grown into a national clean energy think tank shaping provincial and federal policies.
“Right from the very beginning, climate was a big focus of the organization, which was not what a lot of organizations were focused on back then,” Severson-Baker said. “There wasn't a direct way of addressing climate change for many, many years.”
The Pembina Institute’s early work tackling industrial pollution had the dual benefit of cutting greenhouse gas emissions, he said. The organization helped reduce sulphur emissions from heavy industry in Western Canada to prevent acid rain, a move that also lowered carbon output. It partnered with the oil and gas sector to curb flaring and venting of solution gas — an issue of concern to landowners in Alberta, Saskatchewan, and British Columbia — which also led to “a dramatic decrease in greenhouse gas emissions,” said Severson-Baker.
“Wanting a stronger economy, wanting to combat climate change — these are things that need to happen, and that we’d like to see support for them cut across party lines.”
Chris Severson-Baker, Executive Director, Pembina Institute
Pembina also played a key role in phasing out coal from Alberta’s power grid. While these initiatives were primarily designed to improve human health, Severson-Baker noted, “they had the benefit of dramatically lowering greenhouse gas emissions.”
This approach, he added, defined Pembina’s mission for many years until the organization was able to begin working directly on climate change policy.
Building policy from the ground up
Pembina’s grassroots work eventually evolved into national policy influence. The Institute helped negotiate Alberta’s first climate plan, which later informed federal measures such as industrial carbon pricing, methane regulations and the coal phase-out.
“We built on our Alberta roots — from a small grassroots organization in a resource town to becoming a national organization,” Severson-Baker said. “Over time, we’ve demonstrated that there’s a strong basis for a clean economy to take root in Canada.”
Key milestones include influencing British Columbia’s Climate Action Plan in 2008, securing Alberta’s decision to phase out coal power in the 2010s, and helping establish renewable energy and carbon capture as viable technologies. “We were one of the very few organizations working on climate in the 1990s,” he said. “We were able to put climate change action on the national agenda.”
Challenges in an age of disinformation
Despite these successes, the Institute faces entrenched resistance. “We have some very well-resourced incumbent [energy] actors in Canada who are trying to maintain the status quo,” Severson-Baker said. “And being a science-based think tank in an age of disinformation is harder than it used to be. Years ago, we weren’t dealing with social media communities spreading so-called facts that aren’t supported by science.”
Still, he remains optimistic about Canada’s trajectory, particularly as the world accelerates into what the International Energy Agency calls the “age of electricity.” Falling costs for renewables, batteries, and electric vehicles are reshaping economies worldwide, he said. Global annual investment in clean energy now doubles that in fossil fuels, $2 trillion to $1 trillion.
“We’re now in a place where we don’t need to subsidize things to the same degree just to prove they can be done,” he said. “We need to figure out how to deploy them at scale. Provinces have already put out big calls for new electricity because they know scaling up the grid is core to economic growth. The question is how we actually achieve those goals.”
Canada’s role on the global stage
For Severson-Baker, in this unique moment as Canada works to bolster national sovereignty and security in response to economic threats from the US, we have an opportunity to lean into our strengths as a clean energy superpower and position our country to lead in the new clean energy economy.
He pointed out that Canada has a unique global advantage in producing clean, low-cost electricity, which can attract international investment and drive long-term prosperity. “Successful economies of the future will be those that enable citizens and industry to electrify,” he said. “There’s no credible reason to do anything otherwise. … There's a really strong case to be made that continuing to decarbonize the Canadian economy is what will ensure that we are a strong and independent nation in the future.”
“Successful economies of the future will be those that
enable citizens and industry to electrify.”
Chris Severson-Baker, Executive Director, Pembina Institute
‘What’s best for the Canadian economy is also what’s best for the environment’
For the Pembina Institute, collaboration and coalition-building are central to advancing Canada’s clean energy future. Severson-Baker said joining the Coalition for a Better Future was a natural step.
“Our missions are well aligned — grow the economy in a genuinely sustainable way, and reduce emissions in a way that supports Canadians,” he said. “We really understand the value of convening and working with organizations that are good at bringing people together, bringing diverse groups together, injecting their voice into the conversation in a unifying, non-partisan way.”
He emphasized that collaboration has been essential to every major environmental gain the Pembina Institute has been involved with in Canada. “It’s really important that Canadians hear the message from as many voices as possible: that a prosperous long-term future for Canadians and people around the world is also an equitable, low-carbon future,” Severson-Baker said.
When it comes to government leadership, his message is clear: “The good news is that what’s best for the Canadian economy is also what’s best for the environment and for Canadians. So strong climate and energy policy should be a North Star for any government.”
By contrast, he cautioned against following the United States under President Donald Trump, who has openly questioned climate science and proactively stalled renewable energy development. “We don’t want to follow the United States down that dead end,” Severson-Baker said. “We want to be competitive and actually thrive in the burgeoning net-zero economy, not pretend climate change is not real.”
“The good news is that what’s best for the Canadian economy
is also what’s best for the environment and for Canadians.
So strong climate and energy policy should be a
North Star for any government.”
Chris Severson-Baker, Executive Director, Pembina Institute
In today’s economic landscape, he said, governments will need to be ready with concrete answers: “What is your plan to reduce emissions while building a more diversified, resilient economy? Our leaders should have an answer to that. If there’s ever been a time to bolster Canada’s national security through an energy project that makes us more prosperous, healthier and more resilient to an increasingly turbulent world, while reducing emissions and doing our part to address the climate crisis, this is it – and the project is clean power.