Commission on the Reform of Ontario's Public Services

CHART 20.7 2011–12 Equalization Entitlements by Province
$ Per Capita
2,500
2,000
1,500
1,000
500
0
2,351
1,983
1,379
1,245
Note: Population is a weighted average of data from 2007–08, 2008–09 and 2009–10.
Source: Finance Canada.
Chapter 20: Intergovernmental Relations
1,006
PEI NB MB NS QC ON
In addition, the program does not account for differences in price levels across the country,
which affect the cost of public services. Ontario faces higher cost pressures than other
provinces (see Chart 20.7). Even with its Equalization payment, Ontario may not be able to
deliver “comparable levels of public services” because of these additional cost pressures.
Similar to other equalization programs across the world, Equalization should recognize and
address these differences in prices.
Recommendation 20-3: Advocate for reforms to Equalization by, at a minimum, fully
capturing resource revenues and accommodating differing price levels between provinces.
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