How Sask.'s new budget does and doesn't address climate change

The world is facing record heat from human-caused climate change brought on by carbon dioxide and methane emissions, but the words "climate change" don't appear once in Saskatchewan's newly released 75-page 2024-25 budget.

There are some provincial dollars aimed at reducing emissions, but for the most part the province seems to be paying up in other ways — via costs associated with climate-related problems like wildfires and crop failures.

The price tag will continue to go up as human-caused climate change worsens, according to Brett Dolter, an assistant professor in economics at the University of Regina who teaches climate change policy.

"When we look at the budget, we can start to see how climate change is having real costs in Saskatchewan right now," said Dolter. 

For example, the cost of fighting fires is going up. The province made a new $5.5-million investment in wildfire management aircraft in the budget. 

"That's one area we see climate change having a real economic cost, not only just the cost of homes burning and areas being threatened by smoke and having to evacuate, but also just the cost of fighting these fires is going up as climate change gets worse," Dolter said. 

"The other space we see climate impacts apparent is when we're paying out more on crop insurance." 

Dolter noted that while there have been previous periods of drought in the province, hotter global temperatures make crops and land more vulnerable to damage.

Saskatchewan producers in some regions have been hit by multiple years of severe drought conditions, and uncertainty about what's to come looms. Canada had its warmest December, January and February since record keeping began in 1948.

Last week, Finance Minister Donna Harpauer said last year's provincial deficit of $273 million was driven by crop insurance payouts related to drought conditions.

"We have to account for that expenditure for crop insurance, even though it doesn't affect the government's cash flow, so it was a $1.1-billion additional crop insurance payout," Harpauer said, adding that producers and federal government also contribute to the payouts.

She was also asked how this year's budget accounts for potential drought.

"We always basically budget using historical data on what the trend has been, and this is not an exception. And then I pray — a lot," Harpauer said.

The budget includes $431.7 million for risk management programs, "in recognition of the challenging weather and soil conditions faced by some producers."