The tax expenditure on coal in Canada is forecasted to decline steadily from 2024 to 2028. In 2023, the tax expenditure stood at $12.99 million. A noticeable year-on-year decrease in the forecasted values: 10.5% in 2024, 10.5% in 2025, 11.8% in 2026, 13.3% in 2027, and 15.3% in 2028 is observed. Over the next five years, the compound annual growth rate (CAGR) is expected to be -12.8%, indicating a consistent reduction in expenditure.

Future trends to watch for include:

Potential shifts in energy policy towards clean energy sources in Canada.
Adoption of carbon pricing mechanisms that could further reduce reliance on coal.
Technological advancements in energy efficiency and alternative energy solutions.
Global economic conditions affecting coal demand and pricing.