Canada’s 2021 Federal Budget Contains Some Big Wins for Green Infrastructure and Canadians

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Photo courtesy Government of Canada

Photo courtesy Government of Canada

On April 19, the first Canadian federal budget in two years was released: “A Recovery Plan for Jobs, Growth, and Resilience”. The budget included some big wins for green/natural infrastructure. Most significantly, it announced the creation of a dedicated Natural Infrastructure Fund, something that the Green Infrastructure Ontario (GIO) coalition has long been advocating for. In establishing this fund, the federal government has recognized the important role that natural/green infrastructure plays in creating healthy, resilient communities and mitigating the impacts of climate change. The Natural Infrastructure Fund will be $200 million over three years, starting this year. $120 million of the fund will be allocated to cities, up to $20 million for larger projects and the remainder will be allocated to smaller projects.

Another exciting announcement in the budget is that the Disaster Mitigation and Adaptation Fund (DMAF) has been topped up, with another $1.4 billion over 12 years starting in budget 2021-22 “to support projects such as wildfire mitigation activities, rehabilitation of storm water systems, and restoration of wetlands and shorelines.” Most importantly, DMAF will now fund smaller projects—of the total, $670 million will be dedicated to new, small scale projects, between $1 million and $20 million in eligible costs. This is a very welcome change that GIO and its partners lobbied for, since it will make DMAF more accessible for green infrastructure projects, which tend to involve smaller amounts of money than pricier grey infrastructure projects. 

Bridgepoint Active Healthcare Green Roof, Toronto. 2016 GRHC Award of Excellence Winner. Photo Courtesy Stantec Architecture / KPMB Architects / HDR Architecture / Diamond Schmitt Architects / PFS Studio / MBTW Group Landscape Architects

Bridgepoint Active Healthcare Green Roof, Toronto. 2016 GRHC Award of Excellence Winner. Photo Courtesy Stantec Architecture / KPMB Architects / HDR Architecture / Diamond Schmitt Architects / PFS Studio / MBTW Group Landscape Architects

In addition, the 2021 federal budget introduces new funding for the following infrastructure initiatives:

  • $17.4 million to support the development of the Canada Water Agency.

  • $3.2 billion in commitments to creating and expanding protected areas. This historic investment will be used to create and expand parks, Indigenous protected and conserved areas, and other protected areas to bring Canada closer to the goal of protecting 25 percent of land and water by 2025.

  • $22.6 million over four years to conduct Canada’s first National Infrastructure Assessment.

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The federal budget commits $3.2 billion to creating and expanding protected areas that provide ecological services, like wetlands and forests.

The federal budget commits $3.2 billion to creating and expanding protected areas that provide ecological services, like wetlands and forests.

GIO has been advocating for the meaningful inclusion of natural infrastructure in the National Infrastructure Assessment, as this is an opportunity to transform how we think about infrastructure needs and help municipalities overcome their infrastructure deficits, while also benefiting from the multiple services that natural infrastructure provides. GIO is also working with its members and partners to develop processes and standards that will help local and regional governments to better manage and account for their green/natural infrastructure assets. Recognizing and accounting for green infrastructure is a cornerstone of properly protecting, restoring and building these resources in communities across Canada. The historic investment in creating and expanding protected areas in Canada will undoubtedly result in improvements to, and an expansion of, the Canadian parks system, as we strive to reach the 25 per cent protected areas target. 

The federal government is to be congratulated for these changes and for making these commitments. We look forward to more details as these programs are fully developed in the months to come. The acknowledgement of living natural/green infrastructure in this budget is a big win for the industry and for those who are concerned about climate change mitigation and adaptation. The Natural Infrastructure Fund holds the promise of future government investment in a wide range of green infrastructure technologies to help us with the climate emergency and support the health and well-being of Canadians.  


Jennifer Court is the executive director of the Green Infrastructure Ontario Coalition, an alliance of organizations that share a common vision for a healthy, green Ontario where the economic, social, environmental and health benefits of green infrastructure are fully realized. 

Steven W. Peck is the founder of the Green Infrastructure Ontario Coalition and serves on its Steering Committee. 

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Learn more about about GIO’s asset management training series (and other upcoming offerings), as well as about GIO’s advocacy efforts.


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