Financial Support for Planting 2 Billion Trees

This is an independent cost estimate of a budgetary measure contained in the federal government’s Fall Economic Statement 2020 (FES 2020). A list of the PBO’s cost estimates of components of the FES 2020 can be viewed on its website.

The Government of Canada proposes to provide up to $3.16 billion, over ten years, to partner with provinces, territories, non-governmental organizations, Indigenous communities and municipalities to plant 2 billion trees.

The number of trees to be planted each year under the federal government’s 2 Billion Tree (2BT) initiative was determined using historical data from Forests Ontario’s 50 Million Tree Program (50MTP).

Cost data from Forests Ontario’s 50MTP was used to estimate the average per-tree cost under the federal government’s 2BT initiative. This estimated average per-tree cost was then adjusted for inflation over the duration of the program. In order to estimate the average per-tree cost the PBO assumes an average stocking level of 1,500 trees/hectare and an average plant size area of 3.6 hectares.

Parameters used for this estimate are based off data from Forests Ontario’s 50 Million Tree Program and may not accurately reflect program costs under the federal government’s 2 Billion Tree program. The PBO assumes an average stocking level of 1,500 trees/hectare and an average plant size area of 3.6 hectares.

• Estimates are presented on an accrual basis as would appear in the budget and public accounts.
• A positive number implies a deterioration in the budgetary balance (lower revenues or higher spending). A negative number implies an improvement in the budgetary balance (higher revenues or lower spending).
• “-“ = PBO does not expect a financial cost.