On 8 April 2026, the Canadian Prime Minister and Environment Minister jointly announced a five year, CAD 3.6 billion “Nature Based Climate Solutions Plan 2.0”. The centrepiece is a requirement that all new federally permitted energy and infrastructure projects (pipelines, transmission lines, mines, highways) must undergo a “biodiversity net gain” assessment and purchase corresponding “nature restoration credits” (from Indigenous protected areas or ecological restoration projects).

The plan includes: CAD 1.5 billion to expand Indigenous led protected area networks (target: 30% of land and sea by 2030); CAD 1 billion for urban green infrastructure (green roofs, rain gardens, urban forests); CAD 500 million for wetland and peatland restoration (sequestering ~8 million tonnes of CO₂ per year); and CAD 600 million to create a “Nature Based Climate Solutions Institute” for monitoring, reporting and verification methodology development.

The plan has drawn mixed reactions. Environmental groups welcome it as recognition of nature’s central role in climate strategy; energy industry groups see a pathway to project permits with more certainty. Criticism came from some provinces: Alberta’s Premier said it could lead to high compliance costs and discourage oil and gas investment. Nevertheless, the federal government insists the plan is “the only way to achieve the 2050 net zero target without shifting the burden onto nature”.