The EDGE Incentive Program: Economic Growth or Environmental Gaslighting?

As a columnist covering the intersection of climate and local industry, I have watched the City of Toronto's recent economic maneuvers with a mixture of curiosity and skepticism. The latest announcement regarding the Economic Development & Growth in Employment (EDGE) Incentive Program is a prime example of the city's current priorities: growth at any cost, with climate goals relegated to the fine print.

As first reported by the City of Toronto, the city recently celebrated a construction milestone for National Dry Beverages, the first project approved under the EDGE program. The expansion of the company's Arrow Road facility involves an $18.1 million construction investment and the addition of roughly 62,000 square feet of industrial space. On the surface, the numbers are seductive. The city reports that since January 2025, the EDGE program has approved eight projects totaling approximately $220 million in construction investment, with the promise of 583 new jobs and 725 retained jobs.

However, when you peel back the layers of the EDGE program, the "green" is entirely financial, not environmental. The program operates by providing Tax Increment Equivalent Grants, which essentially refund a portion of the municipal property tax increase generated by eligible projects. In a bid to remain competitive and counter U.S. tariffs, the city has even temporarily increased these grants from 60 to 100 per cent for the five-year grant period, provided applications are submitted by December 31, 2027.

Here is the problem: there is no mention of carbon reductions, energy efficiency mandates, or sustainability benchmarks in the criteria for these grants. The City of Toronto claims to be a "global leader in... climate action," yet the EDGE program—a key pillar of the "Sidewalks to Skylines: An Action Plan for Toronto’s Economy (2025-2035)"—seems entirely decoupled from those ambitions.

Take the National Dry Beverages project. Dave Watson, Vice President of the company, notes that the expansion allows the manufacturer to operate aluminum can and glass bottle lines simultaneously on a 24/7 basis. While this is a win for production capacity and the 20 new full-time jobs created, there is no indication that this "modernization" includes a transition to low-carbon technology or a reduction in the facility's overall footprint.

When the Mayor of Toronto describes the program as giving companies the "confidence to build their future in this city," we have to ask: what kind of future are we building? If the city is subsidizing industrial expansion through tax breaks without requiring meaningful environmental commitments, it isn't leading on climate action; it is subsidizing the status quo.

Economic resilience and climate resilience are not mutually exclusive. The city could easily tie these Tax Increment Equivalent Grants to strict carbon-reduction targets. Instead, the EDGE program focuses on "regional competitiveness" and "protecting and strengthening Employment Areas."

If Toronto truly wants to be a global leader in innovation, it cannot afford to treat the environment as an afterthought. Until the EDGE program integrates mandatory green metrics, it remains a corporate giveaway masquerading as progress. We are building more square footage, but we aren't building a cleaner city.