The Calgary Chamber's federal pre-budget submission proposes specific recommendations that will strengthen our economic position by providing relief for businesses facing the pressures of rising costs and inflation, promoting economic competitiveness and diversification across the country through investment attraction, and supporting those struggling with skills gaps and labour shortages.

Business priorities

1. AFFORDABILITY FOR CANADIAN BUSINESSES

Inflation and rising interest rates costs directly impact businesses by restricting their ability to access capital, invest in operational infrastructure, and reducing the capacity to offer competitive compensation packages to attract talent. Budget 2023 must introduce affordability supports that provide immediate relief to businesses, while identifying long-term solutions to ensure future prosperity.

1. Alleviate the burden of inflation on businesses by not introducing or increasing business fees or taxes, at least until the inflationary environment is normalized.  
   
   
2. Reduce the federal deficit and pay down debt, lowering Canada’s current debt-to-GDP ratio of 42 per cent to less than 40 per cent.
   
   
3. Strengthen supply chains by committing capital to advance the recommendations contained  the National Supply Chain Task Force 2022 Report to mitigate pressure points and bottlenecks, ensuring businesses can receive and export the goods and services they require to succeed.
   
   
4. Reduce internal trade barriers such as licensing, transportation and labour mobility restrictions by collaborating with other orders of government, Chambers of Commerce, and other stakeholders on the development of a domestic trade acceleration initiative focused on increasing domestic trade volumes and reducing barriers to internal trade.

2. INVESTMENT ATTRACTION

The federal government must use Budget 2023 to position Canada as the most competitive jurisdiction globally to do business. Recent legislation in the Europe and the U.S., including the Inflation Reduction Act (IRA), have showcased the significance of incentives to attracting investment. To be competitive, Canada must put forward achievable, clear, consistent and expeditious regulatory frameworks – in addition to strategic financial incentives – that attract the capital required to achieve Canada’s economic and climate goals.

TECHNOLOGY & INNOVATION

1. De-risk technology investments across sectors by consulting with businesses to understand their funding needs and ensure opportunities are available for early and mid-stage companies to access low-cost, non-dilutive capital to grow their business.  
   
   
2. Provide incentives that encourage Canadian venture capitalists to invest in Canadian companies by offering compelling financial supports that de-risk investments.
   

INDIGENOUS PARTNERSHIPS

1. Prioritize Indigenous economic reconciliation through continued investment into programs that ensure Indigenous businesses and entrepreneurs have access to the resources and supports needed to invest in their communities and grow their local economies.
   
   
2. Support opportunities for Indigenous communities to buy ownership stakes in major projects, including resource development opportunities, through the Canada Infrastructure Bank and through a new federal Indigenous loan guarantee program.
   

ENERGY SECURITY & MARKET ACCESS

1. De-risk market access investments for the export of natural resources, including oil and gas, hydrogen, ammonia, liquified natural gas and other low-carbon fuels by reducing regulatory barriers, shortening approval timelines and providing an competitive suite of financial incentives to stimulate investment.
   
   
2. Retract the proposed oil and gas emission cap, instead focusing on supporting industry decarbonization efforts through incentives and existing policies that are sector agnostic, driving down emissions and ensure Canada’s energy security.
   
   
3. Work with businesses and other governments to reduce the significant costs associated with reaching the federal 2035 net-zero electricity objective, ensuring Canadians and businesses have access to affordable and reliable energy based on their regional resources. To achieve this, Budget 2023 must advance and improve upon the Clean Technology Investment Tax Credit.
   
   
4. Advance an economy-wide, sector agnostic, national GHG offset system based on consultations with industry, provincial and territorial governments, and Indigenous partners. Ensure alignment with existing offset credit systems, including provincial systems, to create consistency between jurisdictions, and to ensure compatibility with the anticipated rollout of Article 6 of the Paris Agreement.
   

Emerging energy solutions and decarbonization

1. Implement legislation that is competitive with the IRA, positioning Canada as a leader in low-carbon energy production and to incentivize investment in  decarbonization technologies. This includes removing the gradual phase-out of investment tax credits for projects beyond 2030 to account for unforeseen delays and enable companies to access long-term financing.  
   
   
2. Promote the production of sustainable aviation fuel (SAF) by investing in the associated value-chain infrastructure and leveraging Canada’s agricultural expertise to remain competitive with the U.S. IRA’s Clean Fuel Production Credit.
   
   
3. Support Low-Carbon Fuel Production in Canada through the creation of a Producer Tax Credit (PTC) to compete with the IRA and ensure domestic producers can continue to grow and enable low-carbon fuel supply needed to help Canada reach decarbonization goals. 
   
   
4. Advance the development of production tax credits (PTC) for Clean Hydrogen, Carbon Capture, Utilization, and Storage and Low-Carbon Fuel in Canada to de-risk investment and compete with the IRA. Proposed tax credits should be expanded as a PTC to include direct and indirect costs, capital costs, operating expenditures, transmission, storage, exploration and development costs to provide greater investor certainty. PTCs should also include direct pay options to provide value for Indigenous partners and pension funds. Costs incurred prior to a final investment decision (FID) should be partially eligible, and fully eligible once an FID has been made. Additionally, the PTC should ensure neutrality on the differing methods of production to instead focus on carbon intensity.
   
   
5. Establish and implement carbon contracts for differences (CCfD) based on consultation with industry. CCfD’s will be critical for de-risking investment in decarbonization projects by guaranteeing long-term credit value and allowing companies to access financing.
   
   
6. Advance investments in electric vehicle charging infrastructure through the Zero Emission Vehicle Infrastructure Program, while ensuring comprehensive engagement with regional power providers and producers to promote grid modernization based on regionally available natural resources and technologies.
   
   
7. Support the adoption of advanced nuclear technologies by working with provincial governments, federal departments, and businesses to deploy the financial and regulatory supports required to incent investment in nuclear technologies, including small modular reactors.
   
   
8. Revise the Income Tax Act’s proposed Excessive Interest and Financing Expenses Limitation,  allowing exemptions for large capital projects, including utilities, energy transition and low-carbon projects to continue, thereby safeguarding competitiveness and economic growth and ensuring consumers do not bear the cost of a higher rate base.
   

CRITICAL MINERALS

1. Amend the Income Tax Act to allow companies exploring and developing critical minerals in the Western Canadian Sedimentary Basin to qualify for Canadian Exploration Expense and Canadian Development Expense treatment, ensuring consistency in legislation applicability and enabling flow-through shares that facilitate access to capital.
   
   
2. Collaborate with all levels of government to develop a national battery metals value chain, prioritizing midstream chemical processing in Alberta as part of a nationally integrated supply chain, incentivizing investment in regional critical mineral development.
   

AGRICULTURE

1. Work with industry to reduce barriers to accessing the carbon offset market, including expanding eligibility and formalizing an agriculture-specific validation processes to help guide producers.
   

Telecommunications

1. Support rural and Indigenous communities seeking to access high-speed internet by investing in rural broadband and by engaging the telecommunication sector to come to an agreement on a review of Canada’s spectrum policy. This includes assessing a potential increase in the number of spectrum licenses and determining whether “use-it-or-lose-it” conditions for all spectrum licenses deemed critical for delivering universal coverage is necessary.
   

HEALTH

1. Support the digitization of healthcare, working with businesses to reduce regulatory barriers, so that services, including mental health, are accessible and affordable for all Canadians and that service providers and professionals can work across provincial jurisdictions. This involves capitalizing on virtual technology and machine learning to scale and deliver healthcare.
   

3. TALENT ATTRACTION AND RETENTION

Businesses across sectors remain concerned about a lack of available talent, skills gaps and greater competition for skilled workers. The Q4 2022 Survey on Business Conditions indicates that 37 per cent of Canadian businesses are concerned about recruiting skilled employees, 36 per cent are concerned about ongoing labour shortages and 27 per cent are concerned about retaining skilled employees. Budget 2023 must introduce measures that address gaps in Canada’s talent ecosystem, support businesses in attracting, developing and retaining the talent they need to succeed and grow.

IMMIGRATION

1. Collaborate with Alberta-based businesses to understand their temporary foreign worker requirements, identifying program changes that will support business growth, such as increases to provincial nomination limits and extending the time workers are eligible to remain in Canada.  
   
   
2. Ensure economic immigration opportunities are available to all prospective newcomers by creating a complimentary Express Entry Program to facilitate the immigration of newcomers with NOC codes of C and D.
   

INVESTING IN YOUNG PEOPLE

1. Ensure Canada’s youth have opportunities to develop skills and gain valuable work experience by providing funding to local businesses to help employers create work-integrated learning opportunities and access emerging local talent.
   

LOCAL INFRASTRUCTURE DEVELOPMENT

1. Invest in transportation infrastructure that connects Calgary Airport to downtown and beyond, enhancing the city’s position as a jumping-off point for regional tourism.
   
   
2. Support community vibrancy in Downtown Calgary by collaborating amongst all orders of government to unlock funding that advances infrastructure essential to sport, entertainment, arts and culture, tourism and transportation, helping attract people, businesses and investors to the city.
   

EXPANDING THE WORKFORCE

1. Prioritize the development of an inclusive and values-driven workforce by ensuring labour market opportunities are available to all Canadians, regardless of demographic or background.
   
   
2. Improve the affordability and quality of childcare in Canada by providing top-up funding for provincial agreements based on inflation.

ABOUT THE CALGARY CHAMBER OF COMMERCE

The Calgary Chamber exists to help businesses thrive. As the convenor and catalyst for a vibrant, inclusive, and prosperous business community, the Chamber works to build strength and resilience among its members and position Calgary as a magnet for talent, diversification, and opportunity. As an independent, non-profit, non-partisan organization, we build on our 131-year history to serve and advocate for businesses of all sizes, in all sectors, and across the city.

MEDIA OPPORTUNITIES

For media inquiries, please contact Shannon Hazlett, Senior Public Relations Advisor, at media@calgarychamber.com.