Province Of British Columbia 18-K/A Annual report (foreign governments) (amended)

Exhibit 99.13

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2020

British Columbia

Financial and Economic

Review

80th Edition

(September 2020)

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TABLE OF CONTENTS

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

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TABLE OF CONTENTS

Part 1 — Economic Review	1
2019 Overview	3
British Columbia Economy	4
External Trade and Commodity Prices	5
Population	7
Labour Market	8
Inflation and Wages	8
Consumer Spending and Housing	9
Tourism	10
Global Economy	11
United States	11
Canada	12
Asia	13
Europe	13
Financial Markets	14
Charts
1.1    Provincial Economic Growth	3
1.2    Composition of British Columbia GDP by Industry	4
1.3    British Columbia Real GDP Growth by Industry	5
1.4    International Export Shares by Market	6
1.5    Lumber and Natural Gas Prices	7
1.6    Housing Starts	9
1.7    Home Sales and Price	10
1.8    Visitor Entries to British Columbia	11
1.9    Global Economic Growth	13
1.10  Canadian Dollar	14
Map
1.1    Net Interprovincial and International Migration in B.C., 2019	7
Tables
1.1    British Columbia Population and Labour Market Statistics	8
1.2    British Columbia Price and Earnings Indicators	9
Topic Box
Historical Data Volatility	16
Part 2 — Financial Review	19
2019/20 Overview	21
Revenue	23
Expense	33
Provincial Capital Spending	36
Provincial Debt	44
Pension Plans	48
Contractual Rights	49
Contractual Obligations	50
Subsequent Events	51
2019/20 Public Accounts Audit Qualification	52

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TABLE OF CONTENTS

Charts
2.1    2019/20 Surplus (Deficit) – Major Changes from Budget 2019	22
2.2    Revenue Changes from Budget 2019	23
2.3    Expense Changes from Budget 2019	33
2.4    Components of Total Capital Spending – 2019/20	36
2.5    Capital Spending Changes from Budget 2019	38
2.6    Financing Taxpayer-Supported Capital Spending	40
2.7    Components of Total Provincial Debt – 2019/20	45
2.8    Changes in Ending Debt Level from Updated Budget 2019	45
2.9    Reconciliation of Surplus/Deficit to Change In Debt	46
Tables
2.1    2019/20 Fiscal Summary	21
2.2.1 Personal Income Tax Revenue Changes from Budget 2019	23
2.2.2 Corporate Income Tax Revenue Changes from Budget 2019	24
2.2.3 Consumption and Other Tax Revenue Changes from Budget 2019	24
2.2.4 Property Tax Revenue Changes from Budget 2019	25
2.2.5 Energy and Mineral Revenue Changes from Budget 2019	26
2.2.6 Forest Revenue Changes from Budget 2019	27
2.2.7 Other Revenue Changes from Budget 2019	27
2.2.8 Federal Government Transfer Changes from Budget 2019	28
2.3    Revenue by Source	30
2.4    Expense by Ministry, Program and Agency	31
2.5    2019/20 Financial Forecast Changes	32
2.6    Capital Spending	37
2.7    Capital Expenditure Projects Greater Than $50 Million	41
2.8    Provincial Debt Summary	44
2.9    Key Debt Indicators	47
2.10  Interprovincial Comparison of Credit Ratings, June 2020	48
2.11  Pension Plan Balances	49
2.12  Taxpayer-Supported Contractual Obligations	50
Part 3 — Supplementary Information	53
General Description of the Province	55
Constitutional Framework	56
Provincial Government	57
Annual Financial Cycle	59
Government’s Financial Statements	61
Charts
3.1 Financial Planning and Reporting Cycle Overview	60
Tables
3.1    Provincial Taxes (as of July 2020)	63
3.2    Interprovincial Comparisons of Tax Rates – 2020	69

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Appendix 1 — Economic Review Supplementary Tables	71
Tables
A1.1A Aggregate and Labour Market Indicators	72
A1.1B Prices, Earnings and Financial Indicators	74
A1.1C Other Indicators	76
A1.1D Commodity Production Indicators	78
A1.2    British Columbia Real GDP at Market Prices, Expenditure Based	80
A1.3    British Columbia GDP at Basic Prices, by Industry	82
A1.4    British Columbia GDP, Income Based	84
A1.5    Employment by Industry in British Columbia	86
A1.6    Capital Investment by Industry	87
A1.7    British Columbia International Goods Exports by Major Market and Selected Commodities, 2019	88
A1.8    British Columbia International Goods Exports by Market Area	89
A1.9    Historical Commodity Prices (in US Dollars)	90
A1.10  British Columbia Forest Sector Economic Activity Indicators	91
A1.11  Historical Value of Mineral, Petroleum and Natural Gas Shipments	92
A1.12  Petroleum and Natural Gas Activity Indicators	92
A1.13  Supply and Consumption of Electrical Energy in British Columbia	93
A1.14  Components of British Columbia Population Change	94
Appendix 2 — Financial Review Supplementary Tables	95
Tables
A2.1   Operating Statement – 2008/09 to 2019/20	97
A2.2   Statement of Financial Position – 2008/09 to 2019/20	98
A2.3   Changes in Financial Position – 2008/09 to 2019/20	99
A2.4   Revenue by Source – 2008/09 to 2019/20	100
A2.5   Revenue by Source Supplementary Information – 2008/09 to 2019/20	101
A2.6   Expense by Function – 2008/09 to 2019/20	102
A2.7   Expense by Function Supplementary Information – 2008/09 to 2019/20	103
A2.8   Full-Time Equivalents (FTEs) – 2008/09 to 2019/20	104
A2.9   Capital Spending – 2008/09 to 2019/20	105
A2.10 Provincial Debt – 2008/09 to 2019/20	106
A2.11 Provincial Debt Supplementary Information – 2008/09 to 2019/20	107
A2.12 Key Provincial Debt Indicators – 2008/09 to 2019/20	108
A2.13 Historical Operating Statement Surplus (Deficit)	109
A2.14 Historical Provincial Debt Summary	110

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Part 1

Economic Review¹

¹ Reflects information available as of June 26, 2020.

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PART 1 – ECONOMIC REVIEW

2019 Overview

British Columbia’s economy experienced strong growth in 2019, with its annual performance outpacing the Canadian average for a sixth consecutive year.

Similar to previous years, Statistics Canada published only real dollar GDP by industry at basic prices in the preliminary release of its Provincial Economic Accounts in June 2020. As a result, the following analysis refers to these real GDP figures, as opposed to the commonly reported income and expenditure market prices data released late in the year.²

In 2019, B.C.’s real GDP growth of 2.8 per cent ranked third among provinces (behind Prince Edward Island and Newfoundland and Labrador), following similar growth of 2.7 per cent in 2018.

Chart 1.1 Provincial Economic Growth

 

Sources: Statistics Canada (Tables 36-10-0402-01 and 36-10-0434-03 - June 2020 Preliminary Industry Accounts)

Employment in B.C. increased by a solid 2.6 per cent in 2019. Labour market conditions remained tight, and growth in wages and salaries remained strong at 5.6 per cent. Consumer prices rose by 2.3 per cent in 2019. Domestic economic activity was supported by business activity, highlighted by robust output growth in non-residential construction subsectors, partly related to activity in the oil and gas industry. Although the forestry sector faced significant challenges in 2019, liquefied natural gas (LNG) development provided some support for economic growth and job creation in the province. Residential construction activity was also strong, with housing starts at an all-time high. In contrast, home sales and prices moderated, and consumer spending slowed somewhat, reflected by modest growth of 0.6 per cent in retail sales in 2019. Meanwhile, slower global economic growth, global trade policy uncertainty and lower commodity prices weighed on B.C.’s international merchandise exports.

² Provincial and national real GDP by industry estimates are based on Statistics Canada’s preliminary industry accounts, released in June 2020. Further information on British Columbia’s economic performance is expected to be available in November 2020, when Statistics Canada releases revised GDP by industry data for 2019 and previous years, together with the full income and expenditure accounts for 2019.

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British Columbia Economy

In 2019, service-producing industries represented 76 per cent of B.C.’s GDP and goods-producing industries accounted for 24 per cent. The real estate and rental and leasing service sector formed the largest share of the service-producing industries, followed by the retail trade and wholesale trade service sectors combined. At the same time, the construction sector made up the largest share of the goods-producing industries, followed by the manufacturing sector, and the natural resources sector.

Chart 1.2 Composition of British Columbia GDP by Industry

 

Source: Statistics Canada (Table 36-10-0400-01 – June 2020 Preliminary Industry Accounts)
(numbers may not add to 100 per cent due to rounding)

B.C.’s real GDP increased by 2.8 per cent in 2019, similar to the 2.7 per cent growth in 2018. Growth in goods-producing industries slowed somewhat further in 2019, while growth in service-producing industries improved.

B.C.’s goods-producing industries grew by 3.0 per cent in 2019, following 3.4 per cent growth in 2018. Output in the construction sector increased by a robust 10.2 per cent in 2019, outpacing the 3.7 per cent growth in 2018. This was driven by large gains in the engineering construction subsector, mainly related to activity in the oil and gas industry. Construction in the non-residential buildings subsector contributed positively. In contrast, output in the mining, quarrying, and oil and gas extraction sector rose by a modest 0.7 per cent, while output in the manufacturing sector declined and activity in some natural resource subsectors such as forestry and logging recorded significant losses.

Meanwhile, service-producing industries grew by 2.7 per cent in 2019, stronger than the 2.4 per cent growth in 2018. Output in the real estate and rental and leasing sector increased by 3.3 per cent in 2019, following moderate growth of 1.4 per cent in 2018. Output in the professional, scientific and technical services sector (+4.6 per cent) and in the health care and social assistance sector (+3.9 per cent) also contributed strongly.

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Chart 1.3 British Columbia Real GDP Growth by Industry

 

Source: Statistics Canada (Table 36-10-0402-01 – June 2020 Preliminary Industry Accounts)

Note: Other includes industries such as transportation and warehousing, educational services, and professional, scientific and technical services

External Trade and Commodity Prices

Exports by destination:

The value of B.C.’s nominal international merchandise exports fell by 6.1 per cent in 2019, after increasing by 7.2 per cent in 2018 and by 12.5 per cent in 2017. B.C.’s merchandise exports to most countries and geographical regions declined in 2019.

B.C.’s merchandise exports to the U.S. decreased by 3.2 per cent in 2019 compared to 2018, the first annual decline since 2009. B.C.’s exports of wood products to the U.S. dropped by 19.9 per cent, the most notable decline and mainly reflecting lower exports of softwood lumber. Annual declines were also observed in exports of pulp and paper products and metallic mineral products. Meanwhile, gains in exports of natural gas, agricultural and food products, and machinery and equipment provided modest offsets.

B.C.’s merchandise exports to Japan declined by 10.5 per cent in 2019, accounting for almost one fifth of the drop in total international merchandise exports. B.C.’s exports of metallic mineral products fell by 36.2 per cent. Meanwhile, wood product exports dropped by 21.2 per cent, mostly due to lower exports of softwood lumber, while exports of pulp and paper products also declined.

B.C.’s exports to China decreased by 3.6 per cent, with gains in exports of metallic mineral products and coal providing a modest offset to declines in exports of softwood lumber and pulp. Meanwhile, B.C.’s merchandise exports to South Korea declined by 9.5 per cent in 2019, largely reflecting lower exports of coal and metallic mineral products.

Appendix Tables A1.7 and A1.8 provide further detail on exports by major market and commodity groups.

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Chart 1.4 International Export Shares by Market

 

Source: BC Stats – accessed June 2020

Note: Other Asia includes Hong Kong, Taiwan, South Korea and India

(numbers may not add to 100 per cent due to rounding)

The share of B.C.’s international merchandise exports destined to the U.S. averaged 50.6 per cent in 2019, up from 49.0 per cent in 2018. Exports to China accounted for 14.9 per cent, up from 14.5 per cent. Exports to Japan represented 10.5 per cent, down from 11.0 per cent. Meanwhile, exports to South Korea represented 6.1 per cent, down slightly from 6.3 per cent.

Exports by commodity and prices:

In 2019, the value of B.C.’s nominal wood product exports declined significantly by 20.0 per cent, accounting for just over two-thirds of the decline in total international merchandise exports. Pulp and paper product exports also fell by 20.0 per cent, and metallic mineral product exports fell by 9.9 per cent, while coal exports declined by 9.2 per cent. Meanwhile, provincial exports of natural gas, machinery and equipment, and agricultural food products all increased.

After reaching record high levels in 2018, forestry product prices fell in 2019, particularly prices of lumber (-25.1 per cent) and pulp (-19.4 per cent). Meanwhile, most industrial metal prices declined, with copper down by 8.0 per cent and zinc down by a larger 12.9 per cent. In contrast, precious metal prices increased, with gold up by 9.6 per cent.

After rising sharply in 2017 and 2018, global crude oil price benchmarks retreated in 2019, with the West Texas Intermediate (WTI) price averaging $56.99 US/barrel for the year, a decline of 12.6 per cent from 2018. Metallurgical coal prices also declined significantly, while natural gas prices remained depressed.

Manufacturing shipments:

The nominal value of B.C.’s manufacturing shipments declined by 2.4 per cent in 2019, the first annual decline since 2009. Lower shipments of wood products (-24.9 per cent) and, to a lesser extent, paper products (-15.1 per cent) were largely responsible. These declines offset gains in shipments of food products (+6.3 per cent), fabricated metal products (+18.4 per cent) and electrical equipment and appliances (+9.0 per cent).

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Chart 1.5 Lumber and Natural Gas Prices

 

Sources: Ministry of Forests, Lands, Natural Resource Operations & Rural Development; Ministry of Energy, Mines & Petroleum Resources.

Population

B.C.’s population on July 1, 2019 was 5.071 million people, an increase of 1.4 per cent from the same date in 2018. In 2019, B.C. welcomed a net total of 64,441 persons through international migration, a record high number of newcomers. Meanwhile, interprovincial migration contributed a net total of 9,551 persons, slightly more than in 2018. A natural increase of 5,032 persons (births minus deaths) also added to the province’s population count in 2019.

Map 1.1 Net Interprovincial and International Migration in B.C., 2019

 

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Labour Market

Total employment grew by a solid 2.6 per cent in 2019, following moderate growth of 1.1 per cent in 2018. The labour force also grew by 2.6 per cent in 2019, partly reflecting an increase in the participation rate to 65.5 per cent, up from 64.9 per cent in 2018. Meanwhile, the unemployment rate remained at 4.7 per cent in 2019, the lowest provincial jobless rate in the country.

Total employment increased by 65,400 net new jobs in 2019. The distribution of these job gains was spread across the private sector (+45,700), the public sector (+10,000) and the self-employed (+9,700). The breakdown also showed increases in full-time employment (around +39,300) and part-time employment (around +26,200).

Service-producing industries in B.C. accounted for almost all of the net gain in total employment in 2019. The largest gains were in the wholesale and retail trade sector (+20,800) and the professional, scientific and technical services sector (+15,200). While employment rose across most other service sectors, goods-producing industries recorded a net loss of 14,400. The most notable employment losses were observed in the manufacturing sector (-8,600), mining, quarrying and oil and gas extraction sector (-2,100), and the forestry, logging and support activities subsectors (-1,700).

Appendix Table A1.5 provides more details on employment by sector and subsectors.

Table 1.1 British Columbia Population and Labour Market Statistics

	Units	2015		2016		2017		2018		2019
Population (as of July 1)	(thousands)		4,776		4,859		4,924		5,001		5,071
	(% change)		1.5		1.7		1.3		1.6		1.4
Net Migration
International	(persons)		14,059		36,365		50,901		57,506		64,441
Interprovincial	(persons)		22,827		23,586		15,293		9,471		9,551
Labour Force	(thousands)		2,458		2,532		2,601		2,617		2,685
	(% change)		1.3		3.0		2.7		0.6		2.6
Employment	(thousands)		2,306		2,380		2,467		2,494		2,559
	(% change)		1.2		3.2		3.7		1.1		2.6
Unemployment Rate	(%)		6.2		6.0		5.1		4.7		4.7

Sources: Statistics Canada (Tables 17-10-0005-01, 17-10-0040-01, 17-10-0020-01, 14-10-0023-01 – accessed June 2020)

Inflation and Wages

B.C.’s annual Consumer Price Index (CPI) inflation rate was 2.3 per cent in 2019, following 2.7 per cent in 2018. Price increases were broad-based across all major categories of the CPI in 2019, led by food (+3.9 per cent), transportation (+2.6 per cent) and shelter (+2.4 per cent).

The disinflation (i.e. the decrease in the rate of inflation) observed last year was mainly due to volatile energy prices, most notably gasoline prices, which fell by 1.3 per cent in 2019. The annual CPI inflation rate excluding energy was 2.5 per cent in 2019, the same rate recorded in 2018.

Meanwhile, wages and salaries grew by 5.6 per cent in 2019, following growth of 6.0 per cent in 2018, still well above the long-term historical average of 4.7 per cent.

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Table 1.2 British Columbia Price and Earnings Indicators

	Units		2015			2016		2017		2018			2019
Consumer Price Index		(2002=100)		120.2			122.4		125.0		128.4			131.4
		(% change)		1.1			1.8		2.1		2.7			2.3
Average Weekly Wage Rate		($)		914.0			920.9		936.4		974.8			999.3
		(% change)		3.6			0.8		1.7		4.1			2.5
Compensation of Employees 1,2		($ millions)		123,805			127,866		135,921		143,959			151,883
		(% change)		4.5			3.3		6.3		5.9			5.5
Primary Household Income 1		($ millions)		181,683			187,000		199,008		207,418			n/a
		(% change)		5.1			2.9		6.4		4.2			n/a
Net Operating Surplus (Corporations) 1		($ millions)		23,835			28,372		33,474		33,341			n/a
		(% change)		(11.5	)		19.0		18.0		(0.4	)		n/a

¹ As of November 2019 Provincial Economic Accounts

² Component of income-based GDP, including wages, salaries and employers’ social contributions earned in B.C. by residents and non-residents of the province. 2019 value for compensation of employees is from Statistics Canada Table 36-10-0205-01.

Sources: Statistics Canada (Tables 18-10-0005-01, 14-10-0064-01, 36-10-0221-01, 36-10-0205-01, 36-10-0224-01 – accessed June 2020)

Consumer Spending and Housing

B.C.’s nominal retail sales increased by a modest 0.6 per cent in 2019, following growth of 2.0 per cent in 2018. In 2019, increases were led by sales at general merchandise stores (+4.8 per cent), health and personal care stores (+5.2 per cent), and food and beverage stores (+1.3 per cent). Meanwhile, declines were mostly observed at motor vehicle and parts dealers (-2.7 per cent), building material and garden equipment and supplies dealers (-4.3 per cent), and sporting goods, hobby, book and music stores (-0.9 per cent).

Housing starts in B.C. totalled 44,932 units in 2019 (the highest annual level going back to 1955), up by 10.0 per cent from 40,857 units in 2018. Meanwhile, the value of residential building permits (a leading indicator of potential new housing activity) fell by 5.2 per cent in 2019, after increases of 18.5 per cent in 2018 and 16.6 per cent in 2017.

Chart 1.6 Housing Starts

 

 Sources: Canada Mortgage and Housing Corporation; Haver Analytics

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Regional housing markets across the province continued to adjust to past increases in interest rates and to various federal and provincial measures. After declining by 24.5 per cent in 2018, MLS home sales declined by a further 1.5 per cent in 2019. At the same time, some moderation in regional house prices was observed. The MLS average home sale price in B.C. decreased by 1.6 per cent in 2019, following a modest increase of 0.4 per cent in 2018.

Chart 1.7 Home Sales and Price

 

Sources: Canadian Real Estate Association; Haver Analytics

Tourism

The number of international non-resident travellers to B.C. increased by 3.6 per cent in 2019 compared to the previous year, following growth of 4.5 per cent in 2018. The number of U.S. travellers to B.C. grew by 3.7 per cent in 2019 over the previous year, slightly slower than the 4.1 per cent growth in 2018. Meanwhile, the number of non-U.S. visitors grew by 3.4 per cent in 2019, following growth of 5.5 per cent in 2018.

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Chart 1.8 Visitor Entries to British Columbia

 

Source: Statistics Canada (Table 24-10-0005-01 – accessed June 2020)

Global Economy

Overall, the International Monetary Fund estimates that global real GDP grew by 2.9 per cent in 2019, down from 3.6 per cent growth in 2018. This slowdown was observed across advanced economies and emerging markets. With the exception of the Japanese economy, B.C.’s major trading partners generally saw their pace of growth slow in 2019 compared to the previous year. The U.S. economy expanded by 2.3 per cent in 2019, down from 2.9 per cent growth in 2018. Canadian economic output increased by a more moderate 1.7 per cent in 2019, down from 2.0 per cent in 2018. Overseas, while Japan’s economy grew by 0.7 per cent in 2019, up from 0.3 per cent in 2018, China’s growth slowed noticeably compared to the past few years, achieving 6.1 per cent growth in 2019 after growing by 6.8 per cent in 2018. The euro area grew by 1.2 per cent in 2019, down from 1.9 per cent growth in 2018.

United States

U.S. real GDP grew by 2.3 per cent in 2019, down from 2.9 per cent growth in 2018. Personal consumption, government spending and government investment made notable positive contributions to economic growth partly reflecting fiscal stimulus, while business fixed investment and exports were less supportive due to slower growth abroad and uncertainty regarding global trade policies.

The U.S. labour market tightened somewhat further in 2019, with the unemployment rate averaging 3.7 per cent, the lowest rate on record since 1969. The economy added over 169,000 jobs each month on average (down from approximately 192,000 jobs added in 2018), resulting in a 1.4 per cent increase in employment in 2019. The labour force participation rate rose in 2019 with 63.1 per cent of Americans eligible to work participating in the labour market, up slightly from 62.9 per cent in 2018.

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New housing construction activity increased last year overall. The level of housing starts averaged 1.29 million units in 2019, up 3.2 per cent compared to 2018. Sales of new single-family homes in the U.S. increased by 10.7 per cent in 2019, while the median sale price decreased by 1.5 per cent. Sales of existing single-family homes increased by 0.5 per cent in 2019 and the median sale price of existing homes sold rose by 5.0 per cent.

The U.S. current account deficit (the combined balances of trade in goods and services income, and net unilateral current transfers) increased from $US449.7 billion in 2018 to $US480.2 billion in 2019. As a share of nominal U.S. GDP, the current account deficit averaged -2.2 per cent in 2019, largely unchanged from 2018.

Canada

The Canadian economy grew by 1.7 per cent in 2019, slower than the 2.0 per cent growth in 2018. Growth in household consumption and government spending moderated in 2019 compared to 2018, while business investment declined. Construction of residential structures edged lower for the second consecutive year, and investment in intellectual property products declined by a larger margin. Reflecting the economic slowdown abroad, growth in exports and imports slowed markedly, with net exports contributing marginally to annual economic growth.

Canadian labour market conditions improved somewhat further in 2019. Employment increased by a total of 398,200 jobs (or 2.1 per cent growth), stronger than the 241,100 jobs (or 1.3 per cent growth) in 2018. The unemployment rate averaged 5.7 per cent in 2019, down slightly from 5.8 per cent in 2018.

The number of Canadian housing starts declined by 2.0 per cent in 2019 to around 208,685 units, following a 3.1 per cent drop in 2018. The value of residential building permits decreased by 1.2 per cent, following a large increase of 5.3 per cent in 2018. MLS home sales (units) rebounded by 6.5 per cent in 2019, after dropping by 15.0 per cent over the previous two year period. The MLS average home sale price rose by 2.4 per cent to $500,779 in 2019.

Canadian retail sales increased by 1.6 per cent in 2019, down from 2.9 per cent in 2018. Adjusted for price movements, retail sales volumes rose by a modest 0.4 per cent in 2019, the weakest display in several years. The Canadian consumer price index rose by 1.9 per cent in 2019. The consumer price index excluding often volatile food and energy prices increased by a slightly higher 2.1 per cent.

Canada’s current account deficit narrowed to $47.0 billion in 2019 from $55.5 billion in 2018. As a share of nominal Canadian GDP, the current account deficit averaged -2.0 per cent in 2019 compared to -2.5 per cent in 2018.

The value of Canada’s exports of goods and services increased by 2.2 per cent in 2019, while imports of goods and services increased by a more moderate 1.5 per cent. The stronger increase in exports was partly driven by a 6.9 per cent gain in exports of crude oil. There were also broad-based increases in exports of services, which increased by 4.4 per cent in 2019.

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Asia

China’s real GDP expanded by 6.1 per cent in 2019, following 6.8 per cent growth in 2018, broadly continuing the trend of steadily lower annual growth rates. While net exports rebounded and contributed positively to economic growth in 2019, this was outweighed by markedly slower growth in consumption and investment.

Japan’s real GDP increased by 0.7 per cent in 2019, better than the 0.3 per cent growth posted in 2018. Stronger growth in domestic demand led by government spending and public sector investment helped to bolster overall economic growth in 2019, despite a small decline in net exports.

Europe

The euro area’s real GDP grew by 1.2 per cent in 2019, notably slower than the 1.9 per cent growth in 2018 and 2.5 per cent growth in 2017. With the exception of two smaller euro area economies, 17 of the 19 euro member countries saw their economies expand more slowly in 2019 compared to 2018. After growing by 1.5 per cent in 2018, Germany’s large economy grew by 0.6 per cent in 2019, well below the euro area average of 1.2 per cent. France’s economy grew by 1.5 per cent in 2019, down from 1.8 per cent growth in 2018. Italy’s economy grew by 0.3 per cent in 2019, after 0.8 per cent growth in 2018. Meanwhile, Spain’s economy expanded by 2.0 per cent, still slower than the 2.4 per cent growth it achieved in 2018.

Outside the euro area, the U.K. economy expanded by 1.4 per cent in 2019, slightly better than the 1.3 per cent growth posted in 2018 but still below growth rates over the previous few years. Economic uncertainty related to Britain’s departure from the European Union likely contributed to the underperformance of the U.K. economy over the past two years.

Chart 1.9 Global Economic Growth

 

Sources: International Monetary Fund (April 2020); Haver Analytics

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Financial Markets

Some major central banks implemented more accommodative monetary policies in 2019 to cushion their economies against a global economic growth slowdown amplified by U.S.-China trade tensions. The US Federal Reserve (Fed) lowered its federal funds target rate three times in 2019, from the 2.25 to 2.50 per cent range to the 1.50 to 1.75 per cent range. The Fed also restarted quantitative easing policies to support its policy stance on interest rates and the stronger demand for liquidity in money markets.

In contrast, the Bank of Canada maintained its target for the overnight interest rate at 1.75 per cent throughout 2019. Nevertheless, short and longer-term Government of Canada bond yields declined largely in tandem with US Treasury benchmark bond yields.

After averaging 77.2 US cents in 2018, the value of the Canadian dollar depreciated to 75.4 US cents in 2019, despite some narrowing of Canadian-U.S. interest rate differentials throughout most of last year. The lower value of the Canadian dollar primarily reflected the broad-based appreciation of the US dollar alongside slowing global economic growth and trade policy concerns.

Chart 1.10 Canadian Dollar

 

Source: Bank of Canada – accessed June 2020

Note: Reflects the Bank of Canada’s new calculation methodology starting January 1, 2017.

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PART 1 - ECONOMIC REVIEW

Historical Data Volatility

Individual economic variables have unique characteristics. An important characteristic from a budgeting and planning perspective is the historical data volatility of a variable. Typically, variables that are more volatile over history are more difficult to forecast than variables that are more stable.

One of the most common measurements of data volatility is the standard deviation, which is frequently reported by agencies such as Statistics Canada and the Bank of Canada. Roughly speaking, the standard deviation of a variable measures how far the individual data points are from the average (mean) of all the data points in the series on an absolute basis (that is, without regard to whether each data point is above or below the average).

If a variable’s data points are generally close to the average, then the standard deviation will be relatively low (meaning that the variable is relatively stable). An example of a relatively stable variable is presented in Chart 1, which displays the annual growth rate of B.C.’s population.

Chart 1 – An Example of Historical Data Stability

 

*Percentage points

Sources: Statistics Canada; Haver Analytics; Ministry of Finance calculations

Conversely, if a variable’s data points are generally spread out from the average, then the variable will have a relatively high standard deviation (meaning that the variable is relatively volatile). The annual growth rate of the natural gas price in Chart 2 is an example of a relatively volatile variable.

The standard deviations and averages of selected key economic variables’ growth rates over different time periods are presented in Table 1. For instance,

Chart 2 – An Example of Historical Data Volatility

 

B.C. real GDP growth had a standard deviation of 1.7 percentage points and an average of 2.3 per cent from 2009 to 2018. This means that, on average, real GDP growth rates were 1.7 percentage points away from the average annual real GDP growth rate of 2.3 per cent over this period.

Standard deviations can vary widely across indicators and time. Variables such as the natural gas price and housing starts were relatively volatile from 2009 to 2018, while variables such as population and the consumer price index were relatively stable (see Chart 3). Meanwhile, some variables like the exchange rate and housing starts have become more volatile over time, whereas other variables like population have become more stable (see Table 1).

Chart 3 – Recent Data Volatility

 

*Based on the annual per cent change of calendar year data from 2009 to 2018

Sources: Statistics Canada; Haver Analytics; Ministry of Energy, Mines S Petroleum Resources; Ministry of Finance calculations

The Ministry of Finance manages the uncertainty associated with data volatility by incorporating prudence in the Province’s budget and fiscal plan.

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PART 1 - ECONOMIC REVIEW

Table 1 – Data Volatility
Standard deviations and averages of growth rates of selected B.C. economic variables and prices
	1982-2018				1999-2018				2009-2018
			Standard				Standard				Standard
			Deviation				Deviation				Deviation
All figures are based on the annual per cent	Average2		(percentage		Average2		(percentage		Average2		(percentage
change of calendar year data1	(%)		points)		(%)		points)		(%)		points)
Real GDP		2.6		2.3		2.8		1.7		2.3		1.7
Nominal GDP		5.2		2.9		4.7		2.8		3.7		3.1
Nominal consumption		5.5		1.9		4.7		1.4		4.2		1.4
Nominal business investment		5.0		9.3		6.1		7.1		3.7		7.2
Nominal residential home sales		11.5		22.8		10.1		18.9		7.7		20.1
Nominal household income		5.2		2.6		4.4		2.0		3.9		1.9
Nominal compensation of employees		4.8		2.6		4.3		2.3		3.5		2.3
Nominal net operating surplus of corporations		11.0		31.0		7.7		17.0		4.2		18.2
Consumer price index		2.5		2.0		1.6		0.7		1.4		0.9
Exchange rate		-0.1		5.5		0.9		6.4		-1.7		6.7
Copper price		6.1		24.5		10.0		27.8		1.4		22.3
Natural gas price		4.2		34.6		6.2		45.8		-11.7		40.2
Pulp price		4.1		20.7		5.6		17.4		5.0		20.1
SPF 2x4 price		4.2		18.9		4.2		20.6		10.2		20.0
Housing starts		3.0		23.8		6.4		23.4		6.0		29.7
Population		1.6		0.7		1.1		0.4		1.4		0.3

¹ Calendar and fiscal year data yield similar data volatility results

² Measured as the mean

Sources: Statistics Canada; Haver Analytics; Ministry of Energy, Mines & Petroleum Resources; Ministry of Forests, Lands, Natural Resource Operations & Rural Development; Ministry of Finance calculations

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Part 2

Financial Review

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PART 2 – FINANCIAL REVIEW

2019/20 Overview
Table 2.1 2019/20 Fiscal Summary
							2019/20									Actual
($ millions)	Budget			Q1			Q2			Q3			Actual			2018/19 1
Revenue		59,047			58,894			58,864			59,326			58,660			57,128
Expense		(56,970	)		(57,242	)		(57,143	)		(57,590	)		(57,856	)		(55,155	)
Contingencies		(1,303	)		(973	)		(1,073	)		(1,233	)		(1,125	)		(442	)
Forecast allowance		(500	)		(500	)		(500	)		(300	)		-			-
Surplus (Deficit)		274			179			148			203			(321	)		1,531
Capital spending:
Taxpayer-supported capital spending		6,340			5,776			5,538			5,248			4,772			4,452
Self-supported capital spending		4,274			4,282			4,279			4,301			4,386			4,106
		10,614			10,058			9,817			9,549			9,158			8,558
Provincial Debt:
Taxpayer-supported debt		46,384			45,466			44,773			44,569			46,229			42,681
Self-supported debt		25,664			25,354			25,220			25,769			25,932			23,281
Total debt (including forecast allowance)		72,548			71,320			70,493			70,638			72,161			65,962
Key debt affordability metrics:
Taxpayer-supported debt-to-GDP ratio		15.0	%		14.8	%		14.6	%		14.6	%		15.1	%		14.4	%
Taxpayer-supported debt-to-revenue ratio		81.5	%		80.0	%		78.9	%		77.9	%		80.6	%		75.0	%

¹ Figures have been restated to reflect government accounting policies in effect at March 31, 2020, and the impact of Statistics Canada’s historical data revisions of economic growth.

During the first three quarters of the year, government managed the 2019/20 fiscal plan through changes to the contingencies allocation and changes to the forecast allowance as the revenue outlook was revised. The forecast of the operating surplus ranged between $148 million and $203 million in the three quarterly reports, down slightly from the $274 million surplus estimated in Budget 2019 (see Tables 2.1 and 2.5). However, the impacts of the COVID-19 global pandemic and government’s response measures resulted in significant impacts to government’s finances in the last quarter of the fiscal year.

The Province ended the 2019/20 fiscal year with a $321 million deficit, a decline of $524 million from the $203 million surplus forecast in the Third Quarterly Report (see Table 2.1). This reflected a $666 million reduction in revenue, a $158 million increase in expense, partly offset by the $300 million forecast allowance incorporated in the Third Quarterly Report projection. Revenue losses in the last quarter included over $800 million in personal income tax, non-residential property tax and net income of commercial Crown corporations. This was mainly due to the negative impacts of the global pandemic on employment income in the 2020 calendar year (lower personal income tax revenue); reduced equity market valuations at March 31, 2020 (higher ICBC losses); and an average 25 per cent reduction in 2020 commercial property tax rates that government announced as part of the suite of response measures.

Revenue was $387 million lower than Budget 2019 due to decline in revenues from taxation, natural resources and lower commercial Crown corporation net income, partially offset by higher fees and miscellaneous revenue, investment earnings, and contributions from the federal government. (See Revenue section for further details.)

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PART 2 – FINANCIAL REVIEW

Chart 2.1 2019/20 Surplus (Deficit) - Major Changes from Budget 2019

Decline of $595 million, resulted in a $321 million deficit

Total government expenses were $708 million higher than Budget 2019, mainly due to higher spending through statutory appropriations; higher spending on programs that are cost-recovered from third parties; and higher net spending by service delivery agencies. These increases were partially offset by lower ministry spending and favourable prior-year liability adjustments. (See Expense section for further details.)

The changes in revenue and expense are partly offset by the Budget 2019 forecast allowance of $500 million.

Taxpayer-supported capital spending on hospitals, schools, post-secondary institutions, transportation infrastructure, and social housing totalled $4.8 billion. This is $1.6 billion less than Budget 2019 mainly due to scheduling delays across health and transportation sectors.

Self-supported capital spending of $4.4 billion was $112 million higher than budget. (See Capital section for further details.)

Government’s total debt balance ended the fiscal year $387 million lower than forecast in Budget 2019. The variance is primarily due to lower opening debt balance and lower than expected capital spending. (See Debt section for further details.)

Financial information in this publication, including this chapter and Appendix 2, is sourced from the government’s 2019/20 Public Accounts.

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PART 2 – FINANCIAL REVIEW

Revenue

Revenue totaled $58.7 billion in 2019/20, $387 million lower than the Budget 2019 projection and up 2.7 per cent from 2018/19. Compared to budget, lower revenues from taxation, natural resources and commercial Crown corporation net income were partially offset by higher revenues from fees, investment earnings, miscellaneous sources and federal government transfers.

Changes of the major revenue components from Budget 2019 are outlined as follows.

Chart 2.2 Revenue Changes from Budget 2019

Total revenue decreased by $387 million

Income Tax Revenue

Personal income tax revenue was down $398 million mainly reflecting the expected decline in employment and household incomes in 2020 due to the impacts of the COVID-19 pandemic. During the year, other influencing factors on personal income tax revenue included weaker tax assessments for the 2018 calendar year resulting in a lower tax base. These declines were offset by the impacts of stronger household income growth in 2019 and effective January 2020, the introduction of a new personal income tax rate of 20.5 per cent on taxable income over $220,000.

Table 2.2.1 Personal Income Tax Revenue Changes from Budget 2019
	Revenue								2019/20
	changes					Budget			Public
	($ millions)			Indicators (annual percent change)		2019			Accounts
Impacts of COVID-19 pandemic		(397	)
Prior years adjustment - weaker 2018 tax results		(57	)	Household income	2019		4.0	%		4.4	% 1
Carry-forward impacts of the lower 2018 tax base		(88	)		2020		3.9	%		-7.0	%
Higher 2019 household income		90
New personal income tax rate of 20.5 per cent on				B.C. taxable income	2019		3.9	%		4.8	% 1
taxable income over $220,000		54			2020		4.0	%		-9.0	%
		(398	)
				1 Budget 2020 forecast

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Part 2 – Financial Review

Corporate income tax revenue was up $819 million mainly due to increased instalments from the federal government and higher entitlement in respect of prior years. The $512 million increase in instalments reflects an improved federal government outlook of the 2019 national tax base (corporate taxable income). The 2018 B.C. corporate income tax returns were stronger than expected resulting in a $297 million improvement to the prior years’ settlement payment. In 2018, B.C. taxable income rose 8.7 per cent annually compared to the 4.2 per cent annual increase in the net operating surplus of B.C. corporations assumed in the Budget 2019.

Table 2.2.2 Corporate Income Tax Revenue Changes from Budget 2019 

	Revenue
	changes			Budget		Actual
	($ millions)		Indicators ($ billions)	2019		2019/20
Advance instalments		512	2019 national corporate tax base		322.6		349.5
Prior years’ settlement payment		297	2018 national corporate tax base		346.8		365.2
Refunds under the International Business			2018 B.C. corporate tax base		49.1		51.9
Activity Act and Business set-off program		10
		819

Other Tax Revenue

Sales tax revenues were $212 million lower than budget mainly due to lower than expected retail sales and expenditures on durable, semi-durable and non-durable goods. In particular, sales of motor vehicles and parts declined 2.7 per cent in 2019. It is likely that measures taken to help limit the spread of the coronavirus outbreak contributed to reduced consumer purchases of taxable items and sales tax revenue. However, an estimate of the effects cannot be made due to insufficient information detailing monthly expenditures.

Table 2.2.3 Consumption and Other Tax Revenue Changes from Budget 2019 

	Revenue					2019/20
	changes		Indicators (annual percent change	Budget		Public
	($ millions)		for the 2019 calendar year)	2019		Accounts
			Nominal consumer expenditures	4.9	%	3.6	%
			Nominal consumer expenditures on durable goods	2.5	%	-1.7	%
Provincial sales	(212	)	Nominal business investment	5.9	%	10.5	%
Insurance premium	66		Consumer price index	2.2	%	2.3	%
Fuel	(13	)	Real GDP	2.4	%	1.8	%
Carbon	(31	)	Nominal GDP	4.4	%	3.7	%
Tobacco	(51	)	Retail sales	3.9	%	0.6	%
	(241	)

Property transfer tax revenue was $301 million lower than budget due to lower residential sales values. Compared to 2018/19, revenue declined $217 million (11.9 per cent) as the average tax per residential transaction fell 8.4 per cent, partly offset by a 1.0 per cent increase in the number of residential transactions. Revenue from the foreign buyers’ tax (included in total property transfer tax revenue) was $138 million compared to the $190 million budget assumption, indicating market moderation and less speculative activity.

Fuel tax revenue was down $13 million from budget mainly due to lower than assumed diesel purchases. Sales volumes of diesel were down 4.6 per cent annually compared to 2.0 per cent growth expected at budget.

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PART 2 – FINANCIAL REVIEW

Carbon tax revenue was down $31 million from budget mainly due to lower consumption of natural gas, diesel and gasoline. As planned, on April 1 2019, carbon tax rates rose to $40 per tonne of carbon dioxide equivalent emissions, an increase of $5 per tonne from the previous year.

Tobacco tax revenue was down $51 million from budget reflecting a decline in consumption volumes due in part to consumer lifestyle changes including purchases of alternatives such as vaping products.

Property tax revenue was $388 million lower than budget mainly due to lower revenues from non-residential school taxes and the speculation and vacancy tax. Lower non-residential school tax revenue mainly reflects the reduction in school property tax rates for commercial properties by an average of 25 per cent in the 2020 calendar year announced as part of government’s response to the COVID-19 pandemic. The speculation and vacancy tax revenue was $54 million in 2019/20, $131 million below the budget estimate ($185 million), based on declarations by property owners for the 2019 calendar year.

Table 2.2.4 Property Tax Revenue Changes from Budget 2019
	Revenue
	changes
	($ millions)
Non-residential tax		(231	)
Speculation and vacancy tax		(131	)
Other		(26	)
Total changes		(388	)

Insurance premium tax revenue was $66 million higher than budget due to higher than expected activity and higher premiums charged by industry reflecting increased assessments of risks including earthquakes and floods.

Employer health tax revenue was $43 million higher than budget mainly reflecting higher growth in wages and salaries in 2019 than assumed at budget.

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PART 2 – FINANCIAL REVIEW

Natural Resources Revenue

Natural gas royalties were $157 million lower than budget due to lower prices for natural gas and byproducts and increased utilization of the royalty and infrastructure credit programs. Byproducts include pentane, condensate and butane whose prices are more closely aligned to oil rather than natural gas. Natural gas prices averaged $0.63 ($Cdn/gigajoule, plant inlet) in 2019/20, 12.5 per cent below budget. Prices for the byproducts were also lower than expected, ranging from down 12.8 per cent for pentane to down 82.9 per cent for butane.

Table 2.2.5 Energy and Mineral Revenue Changes from Budget 2019

	Revenue
	changes				Budget			Actual
	($ millions)			Indicators	2019			2019/20
Natural gas royalties		(157	)	Natural gas price ($Cdn/GJ, plant inlet)	$	0.72		$	0.63
				Natural gas production (annual change)		-1.2	%		1.8	%
				Pentane price ($C/bbl)	$	66.75		$	58.20
				Condensates price ($C/bbl)	$	68.88		$	58.78
Petroleum royalties		(32	)	Oil price ($US/bbl)	$	64.50		$	54.72
Coal, metals and other minerals		58		Metallurgical coal price ($US/tonne)	$	158		$	164
				Copper price ($US/lb)	$	3.02		$	2.66
Electricity sales under the Columbia River Treaty		(28	)	Electricity price ($US/Mwh)	$	32.48		$	26.48
Other sources1		(2	)
		(161	)

¹ Includes Crown land tenures and fees and levies collected by the BC Oil and Gas Commission.

Coal, metals and other minerals revenue was $58 million higher than budget mainly due to higher coal production volumes, lower operating costs and capital expenditures in coal mine operations as well as the impacts of higher copper production reflecting improved copper grades and a more efficient extraction process.

Revenue from other energy sources was $62 million lower than budget mainly due to the impacts of lower petroleum prices and production volumes as well as the effects of lower Mid-Columbia (Mid-C) electricity prices. In 2019/20, petroleum prices averaged $54.72 per barrel, down 15.2 per cent from budget ($64.50) and Mid-C electricity prices averaged $26.48 ($US per mega-watt hour), down 18 per cent from the budget assumption ($32.48). Lower average electricity prices during the year were a result of weak natural gas prices, high snowpack accumulation in Northern California and mild temperatures throughout the Pacific North West.

Forests revenue was $167 million lower than budget mainly due to lower than expected stumpage revenue from timber tenures resulting from reduced Crown harvest volumes, partially offset by a higher average stumpage rate. The total Crown harvest volumes for 2019/20 were 42.2 million cubic metres, 26 per cent below budget mainly reflecting more than two dozen permanent and temporary mill closures in the Interior and on the Coast. Mill closures were a result of tightening provincial timber supply resulting from the cumulative effects of the mountain pine infestation, wildfires, labour relations disputes and the continuing US duties on softwood lumber exports. Lumber prices for SPF 2x4 averaged $372 ($US/1000 bf) in 2019, down 2 percent from the budget assumption ($380). Logging tax revenue was lower than budget due to increases in losses carried back and higher refunds related to overpayments of instalments during the year.

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PART 2 – FINANCIAL REVIEW

Table 2.2.6 Forest Revenue Changes from Budget 2019

	Revenue
	changes				Budget		Actual
	($ millions)			Indicators	2019		2019/20
Stumpage from timber tenures		(174	)	SPF 2x4 ($US/1000 bf, calendar year)	$	380	$	372
BC Timber Sales		29		Total stumpage rate ($/m3 )	$	18.25	$	21.46
Logging Tax		(22	)	Harvest volumes (million m3)		57.0		42.2
Other receipts		-
		(167	)

Other natural resource revenues, comprised of revenue from water rentals and hunting and fishing licenses, were $27 million lower than budget mainly due to lower water rentals revenue.

Other Taxpayer-Supported Sources

Revenue from fees, investment earnings and other miscellaneous sources totaled $10.7 billion, up $715 million from budget. Fee revenue totaled $5.6 billion, up $185 million from budget mainly due to improved revenues from post-secondary institutions and health authorities, higher MSP premium revenue, partly offset by lower revenues from the K-12 school districts. Miscellaneous revenue totaled $3.8 billion, $463 million above budget mainly due to higher vote recoveries related to the PharmaCare program, improved results for taxpayer-supported Crown corporation and agencies and increased income tax penalties collected by the Canada Revenue Agency. The higher vote recovery funding had an equal and offsetting expense increase. Revenue from investment earnings was $1.3 billion, up $67 million from budget due to prudence adopted at budget and the timing of cash flows during the year.

Table 2.2.7 Other Revenue Changes from Budget 2019

	Revenue
	changes
	($ millions)
Fees		185	Higher revenues in taxpayer-supported SUCH sector agencies and MSP premiums
Miscellaneous sources		463	Mainly higher PharmaCare vote recoveries, higher revenues in taxpayer-supported SUCH sector agencies and income tax penalties collected by Canada Revenue Agency
Investment earnings		67	Prudence adopted at budget and the timing of cash flows during the year
		715

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Part 2 – Financial Review

Federal Government Transfers

Contributions from the federal government totaled $9.5 billion, $112 million above budget.

Canada Health Transfer and Canada Social Transfer entitlements were $90 million higher than budget mainly due to one-time Canada Health Transfer funding of $68 million. This one-time contribution was B.C.’s share of the federal government’s $500 million response to the COVID-19 pandemic to provide critical health care system needs and to support mitigation efforts as needed. In addition, increased entitlement resulted from a higher B.C. share of the national population than assumed at budget (13.49 per cent compared to 13.47 per cent forecast at budget).

Table 2.2.8 Federal Government Transfer Changes from Budget 2019

	Revenue
	changes
	($ millions)
B.C. health and social transfers revenue		90		One-time $68 million COVID-19 funding and higher B.C. population share of the national total
SUCH sector		50		Higher transfers to taxpayer-supported SUCH sector agencies (mainly post-secondary institutions)
Vote recoveries		48		Higher funding in support of local government services and transfers and other program spending, partially offset by lower funding for labour market and public transit
B.C. share of federal duty on cannabis		(29	)	Fewer than expected licensed retail establishments
Crown corporations and agencies		(50	)	Mainly reduced transfers to BC Housing Management Commission
Other receipts		3		Higher funding in support of Indigenous student education partially offset by lower Labour Market Agreement for Persons with Disabilities funding.
		112

Other federal government contributions were up $22 million from budget. SUCH¹ sector entities received $50 million higher contributions, mainly by post-secondary institutions. Ministries received $48 million higher vote recovery funding in support of local government services and transfers, disability assistance and other program spending, partially offset by lower vote recoveries in support of public transit and labour market development. The increased vote recovery funding had an equal and offsetting expense increase. These increases were partially offset by $29 million lower entitlement of B.C.’s share of the federal cannabis excise tax reflecting fewer than expected licensed retail establishments and $50 million lower transfers to taxpayer-supported Crown corporations mainly due to changes in the timing of contributions to the BC Housing Management Commission.

¹ SUCH: School districts, universities, colleges and institutes, and health organizations.

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Part 2 – FINANCIAL REVIEW

Commercial Crown Corporations

The net income of commercial Crown corporations (government business enterprises) was $2.9 billion in 2019/20, $393 million lower than Budget 2019, and $913 million higher than 2018/19. The variance from budget in overall earnings is mainly due to lower ICBC operating results.

British Columbia Hydro and Power Authority

BC Hydro’s net income of $705 million was $7 million lower than the amount included in Budget 2019. The lower net income was mainly the result of higher capital project write-offs and a provision for potential non-compliance penalties under the Mandatory Reliability Standards.

Provincial regulation was previously implemented to improve BC Hydro’s capital structure, which required the corporation’s annual dividend payment to the Province to be reduced by $100 million per year until it reaches zero. The corporation’s dividend payment in respect of 2019/20 was zero, down from the 2018/19 payment of $59 million.

British Columbia Liquor Distribution Branch

BC Liquor Distribution Branch (LDB) net income of $1.1 billion was $13 million lower than Budget 2019, and $3 million higher than 2018/19. Net income is the contribution made to the Province by the LDB from beverage alcohol and non-medical cannabis sales in the province. The decrease in net income was mainly due to higher administration expenses and lower than planned cannabis revenues.

British Columbia Lottery Corporation

BC Lottery Corporation’s net income of $1.3 billion (net of payments to the federal government) was $60 million lower than Budget 2019, and a decrease of $69 million over the prior year. The 2019/20 change was mainly due to the measures put in place to respond to the COVID-19 pandemic.

Insurance Corporation of British Columbia

The Insurance Corporation of British Columbia’s (ICBC) net loss of $376 million was $326 million higher than the $50 million loss projected in Budget 2019, and a $777 million improvement from the 2018/19 loss. The COVID-19 global pandemic had a significant negative impact on ICBC’s bottom line. The sudden and significant negative impact to the economy and global investment markets resulted in a large investment impairment charge. Further, the market downturn caused a reduction in market yields, which resulted in a lower rate to discount claims liabilities, increasing claim costs.

More information about commercial Crown corporations’ financial results and performance measures is provided in each corporation’s Annual Service Plan Report available at its respective website.

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Part 2 – FINANCIAL REVIEW

Table 2.3 Revenue by Source
	Budget			Actual			Actual
($ millions)	2019			2019/20			2018/19
Taxation
Personal income		11,055			10,657			11,364
Corporate income		4,192			5,011			5,180
Employer health		1,854			1,897			464
Sales 1		7,586			7,374			7,369
Fuel		1,021			1,008			1,015
Carbon		1,713			1,682			1,465
Tobacco		780			729			781
Property		2,996			2,608			2,617
Property transfer		1,910			1,609			1,826
Insurance premium		625			691			633
		33,732			33,266			32,714
Natural resources
Natural gas royalties		275			118			199
Forests		1,155			988			1,406
Other natural resources 2		1,193			1,162			1,503
		2,623			2,268			3,108
Other revenue
Medical Services Plan premiums		1,015			1,063			1,360
Other fees and licences 3		4,372			4,509			4,233
Investment earnings		1,196			1,263			1,243
Miscellaneous 4		3,375			3,838			3,413
		9,958			10,673			10,249
Contributions from the federal government
Health and social transfers		7,404			7,494			7,090
Other federal contributions 5		2,019			2,041			1,962
		9,423			9,535			9,052
Commercial Crown corporation net income
BC Hydro 6		712			705			(428	)
Adjustment for regulatory accounts 6		-			-			950
Liquor Distribution Branch		1,120			1,107			1,104
BC Lottery Corporation (net of payments to the federal government)		1,396			1,336			1,405
ICBC		(50	)		(376	)		(1,153	)
Other 7		133			146			127
		3,311			2,918			2,005
Total revenue		59,047			58,660			57,128

¹ Includes provincial sales tax, HST/PST housing transition tax and harmonized sales tax related to prior years.

² Columbia River Treaty, Crown land tenures, other energy and minerals, water rental and other resources.

³ Post-secondary, healthcare-related, motor vehicle, and other fees.

⁴ Includes reimbursements for health care and other services provided to external agencies, and other recoveries.

⁵ Includes contributions for health, education, community development, housing and social service programs, and transportation projects.

⁶ BC Hydro’s net loss for 2018/19 includes a write-off of a regulatory account. At the summary level, the Province recognized $950 million adjustment in fiscal 2017/18 with respect to BC Hydro’s deferred regulatory accounts.

⁷ Includes Columbia Power Corporation, BC Railway Company, Columbia Basin power projects, and post-secondary institutions’ self-supported subsidiaries.

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PART 2 – FINANCIAL REVIEW

Table 2.4 Expense by Ministry, Program and Agency 1
	Budget			Contingencies			Statutory		Total			Actual			Actual
($ millions)	2019 2			allocation			authorization 3		authorizations			2019/20			2018/19 2
Office of the Premier		11			1			-		12			12			11
Advanced Education, Skills and Training		2,330			1			-		2,331			2,331			2,218
Agriculture		98			14			-		112			112			98
Attorney General		606			57			56		719			718			623
Children and Family Development		2,068			83			-		2,151			2,149			1,832
Citizens’ Services		561			35			-		596			596			609
Education		6,569			71			8		6,648			6,647			6,382
Energy, Mines and Petroleum Resources		180			71			-		251			251			106
Environment and Climate Change Strategy		249			-			-		249			244			194
Finance		870			28			481		1,379			1,366			825
Forests, Lands, Natural Resource Operations and Rural Development		816			56			86		958			958			1,401
Health		20,846			-			-		20,846			20,825			19,843
Indigenous Relations and Reconciliation		108			245			-		353			353			231
Jobs, Economic Development and Competitiveness		97			1			-		98			98			103
Labour		16			-			-		16			16			12
Mental Health and Addictions		10			13			-		23			23			14
Municipal Affairs and Housing		828			355			-		1,183			1,182			817
Public Safety and Solicitor General		801			73			89		963			963			1,090
Social Development and Poverty Reduction		3,568			1			-		3,569			3,569			3,359
Tourism, Arts and Culture		164			20			-		184			184			164
Transportation and Infrastructure		926			-			-		926			919			902
Total ministries and Office of the Premier		41,722			1,125			720		43,567			43,516			40,834
Management of public funds and debt		1,278			-			-		1,278			1,234			1,258
Contingencies		1,303			(1,125	)		-		178			-			21
Funding for capital expenditures		2,134			-			-		2,134			1,653			1,435
Refundable tax credit transfers		1,489			-			-		1,489			1,413			1,618
Legislative Assembly and other appropriations		159			-			-		159			150			160
Total appropriations		48,085			-			720		48,805			47,966			45,326
Elimination of transactions between appropriations 4		(24	)		-			-		(24	)		(20	)		(18	)
Prior year liability adjustments		-			-			-		-			(126	)		(151	)
Consolidated revenue fund expense		48,061			-			720		48,781			47,820			45,157
Expenses recovered from external entities		3,520			-			-		3,520			3,850			3,471
Funding provided to service delivery agencies		(28,631	)		-			-		(28,631	)		(28,928	)		(26,928	)
Total direct program spending		22,950			-			720		23,670			22,742			21,700
Service delivery agency expense
School districts		6,912			-			-		6,912			6,995			6,671
Universities		5,128			-			-		5,128			5,252			4,898
Colleges and institutes		1,373			-			-		1,373			1,465			1,352
Health authorities and hospital societies		16,292			-			-		16,292			17,038			15,918
Other service delivery agencies		5,618			-			-		5,618			5,489			5,058
Total service delivery agency expense		35,323			-			-		35,323			36,239			33,897
Total expense		58,273			-			720		58,993			58,981			55,597

¹ Amounts may not add due to rounding.

² Amounts have been restated to reflect government accounting policies and organization in effect at March 31, 2020.

³ Statutory authorizations are appropriations permitted by an Act other than a Supply Act.

⁴ Reflects payments made under an agreement where an expense from a voted appropriation is recorded as revenue by a special account (Housing Endowment Fund and British Columbia Training and Education Savings Program).

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PART 2 – FINANCIAL REVIEW

Table 2.5 2019/20 Financial Forecast Changes
	($ millions)
2019/20 surplus at Budget 2019 (February 19, 2019)		274								274
2019/20 surplus at the First Quarterly Report (September 10, 2019)				179
2019/20 surplus at the Second Quarterly Report (November 26, 2019)						148
2019/20 surplus at the Third Quarterly Report (February 19, 2020)								203
		Q1		Q2		Q3		Q4		Total
		Update		Update		Update		Update		Changes
Revenue changes:
Personal income tax – lower 2018 tax assessment results and expected decline in 2020 household income		(85	)	(57	)	109		(365	)	(398	)
Corporate income tax – increase in instalments and prior-year settlement payment, reflecting stronger 2018 tax assessment results		300		342		174		3		819
Property transfer tax – lower year-to-date sales resulting from moderation in residential housing market		(475	)	35		75		64		(301	)
Provincial sales tax – lower retail sales and consumer expenditures		30		(49	)	2		(195	)	(212	)
Property taxes – lower 2020 tax rates, reflecting tax relief to commercial property owners and reduced 2020 assessment values		(43	)	(13	)	(23	)	(309	)	(388	)
Other taxation sources – year-to-date results		(4	)	(55	)	6		67		14
Natural gas royalties – changes in natural gas prices and production volumes, increased utilization of royalty and infrastructure programs/credits, changes in natural gas liquids royalties and byproduct prices		(105	)	(30	)	13		(35	)	(157	)
Coal, metals and minerals – changes in coal prices and costs as well as increased copper production volumes		94		(37	)	-		1		58
Forests – lower harvest volumes partly offset by higher stumpage rates		23		(133	)	(54	)	(3	)	(167	)
Other natural resources – lower petroleum prices and production volumes, lower electricity prices and decreased revenue from water rentals		(31	)	(35	)	(2	)	(21	)	(89	)
Post-secondary education fees		41		36		47		(2	)	122
Other revenue – mainly higher revenue from other fees, income tax penalties and changes in the revenues from Crown and SUCH sector entities		143		61		98		291		593
Health and social transfers – changes in B.C. population share of national total and COVID-19 funding		(5	)	28		-		67		90
Other federal government transfers – lower transfers to BC Housing Management Commission and B.C.’s share of lower federal excise tax revenue on cannabis (the latter reflecting fewer than expected licensed retail establishments), partly offset by higher transfers to post-secondary institutions		(10	)	(35	)	17		50		22
Commercial Crown corporation net income		(26	)	(88	)	-		(279	)	(393	)
Total revenue changes		(153	)	(30	)	462		(666	)	(387	)
Less: expense increases (decreases):
Consolidated Revenue Fund changes:
Change in contingencies spending allocation		(330	)	100		150		(98	)	(178	)
Ministry and Legislative Assembly savings		-		(14	)	-		(46	)	(60	)
Statutory spending:
Fire management costs		92		(19	)	61		(53	)	81
Emergency Program Act		117		(24	)	38		(44	)	87
Signed agreements under the Sustainable Services Negotiating Mandate		-		-		383		3		386
Housing Priority Initiatives Special Account - various housing intitiatives		-		(49	)	-		149		100
Crown Proceeding Act		-		-		-		54		54
Other statutory spending		11		(48	)	5		44		12
Refundable tax credits – mainly the impact of 2018 tax assessment results		-		89		(155	)	(10	)	(76	)
Prior year liability and other adjustments - mainly due to the liability reduction for the Public Sector Pension Plan & Insurance Risk Management Account		3		-		(12	)	(113	)	(122	)
Management of public debt (net)		(44	)	(9	)	-		9		(44	)
Spending funded by third party recoveries		(9	)	(12	)	23		328		330
Changes in spending profile of service delivery agencies:
School districts		-		37		31		15		83
Universities		75		44		32		(27	)	124
Colleges		55		16		8		13		92
Health authorities and hospital societies		16		344		157		229		746
Other service delivery agencies 1		(38	)	(128	)	72		(35	)	(129	)
(Increase) decrease in transfers to service delivery agencies (elimination)		(6	)	(326	)	(186	)	(260	)	(778	)
Total expense changes		(58	)	1		607		158		708
Subtotal		(95	)	(31	)	(145	)	(824	)	(1,095	)
(Increase) / Reduction in forecast allowance		-		-		200		300		500
Total changes		(95	)	(31	)	55		(524	)	(595	)
2019/20 surplus at the First Quarterly Report		179
2019/20 surplus at the Second Quarterly Report				148
2019/20 surplus at the Third Quarterly Report						203
2019/20 deficit at the Public Accounts								(321	)	(321	)

¹ Includes BC Transportation Financing Authority, BC Transit, BC Housing Management Commission, Community Living BC, and other entities.

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Expense

In 2019/20, government expenses totalled $59.0 billion, $708 million higher than Budget 2019 and $3.3 billion (6.0 per cent) higher than the previous year.

Consolidated Revenue Fund

Consolidated Revenue Fund (CRF) direct program spending² (expenses other than grants paid to government agencies) was $208 million lower than Budget 2019. This was mainly due to higher statutory spending and higher spending funded by third parties, partially offset by lower ministry spending and interest costs as well as favourable prior year liability adjustments.

Statutory spending by government during the year totalled $720 million in the following areas:

· $386 million for the signed agreements under the Sustainable Services Negotiating Mandate. Utilizing statutory appropriation for these expenses resulted in additional capacity in the contingencies vote, which was applied to accelerate payments to local governments for infrastructure projects under the Investing in Canada Infrastructure Program, for the Capital Regional District Wastewater Project, and payments for existing agreements with First Nations (Ministry of Finance);

· $100 million net increase in spending to support various housing and shelter initiatives under the Housing Priority Initiatives Special Account (Ministry of Finance);

· $81 million in fire management costs (Ministry of Forests, Lands, Natural Resource Operations and Rural Development);

· $87 million in emergency response, recovery, prevention, and preparedness costs under the Emergency Program Act (Ministry of Public Safety and Solicitor General); and

· $66 million in other areas.

² See Table 2.4 – Total direct program spending.

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Other CRF spending was $354 million lower than Budget 2019 due to lower refundable tax credits ($76 million), unused portion of the Contingencies Vote ($178 million), ministry and other savings ($56 million) and lower interest costs ($44 million).

Government used the Contingencies Vote as a prudent budgeting tool to fund priority initiatives and manage budget pressures. In 2019/20, $1.1 billion of the $1.3 billion Contingencies Vote was spent on a number of priority initiatives and pressures, including:

· $355 million in grants to support local governments for various infrastructure projects (Ministry of Municipal Affairs and Housing);

· $245 million for various treaty and non-treaty agreements with First Nations, including various costs under the Indigenous Funding Envelope and the LNG benefits agreement (Ministry of Indigenous Relations and Reconciliation);

· $83 million to create additional child care spaces and provide support to various child care related programs (Ministry of Children and Family Development);

· $73 million to support various programs and initiatives including road safety initiatives, emergency management, support services to those affected by crime, and cannabis legalization (Ministry of Public Safety and Solicitor General);

· $71 million to support K-12 education including funding for the Classroom Enhancement Fund and grants to public libraries (Ministry of Education);

· $71 million to support CleanBC initiatives and improving mining regulatory framework (Ministry of Energy, Mines and Petroleum Resources);

· $57 million to support various programs and initiatives including the Civil Resolution Tribunal, Federal Legal Aid Agreement, cannabis legalization, digital evidence storage, court-related costs and the anti-money laundering report (Ministry of Attorney General);

· $56 million to support various programs and initiatives including the Big Bar Landslide, economic diversification and rural resiliency funding and timber license settlement compensation (Ministry of Forests, Lands, Natural Resource Operations and Rural Development);

· $20 million in grants to support various initiatives including the Creative BC Amplify BC Fund and the Chinese Canadian Museum (Ministry of Tourism, Arts and Culture); and

· $94 million in other areas.

Prior year liability adjustments resulted in $126 million lower expenses than Budget 2019 due to:

· $97 million in the Ministry of Finance, mainly due to the reduction in accrued obligations for the Teachers’ Pension Plan ($64 million), and the Insurance and Risk Management Account ($32 million);

· $10 million in the Ministry of Education, to reflect lower than estimated program intake for the BC Training and Education Savings Program; and

· $19 million in other favourable adjustments.

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PART 2 – FINANCIAL REVIEW

Third party recovered spending relates to program spending funded or co-funded by parties outside of government. Cost-recovered spending was $330 million higher than Budget 2019 due to:

· $164 million higher recoverable health care costs mainly due to PharmaCare costs and health services provided to non-resident patients;

· $79 million higher recoveries from the federal government for local government infrastructure projects;

· $81 million higher recoveries from natural resources sector;

· $12 million increase in recoverable interest;

· $17 million higher recoveries for fire management;

· $122 million net increases in other program areas; offset by

· $145 million in lower recoverable costs in the transportation sector mainly due to timing of public transportation projects.

The above spending changes are offset by an equal net increase in revenue and as a result have no net impact on government’s financial results.

Operating transfers paid to service delivery agencies may change during the fiscal year as ministries make budget allocations, Contingencies Vote access is approved, and government invokes statutory authority. In 2019/20, operating grants to agencies increased by $778 million compared to Budget 2019 primarily due to higher grants to health authorities ($700 million) and various other service delivery agencies ($78 million).

Service Delivery Agency Spending

Service delivery agency spending was $916 million higher than Budget 2019, made up of the following:

School districts’ spending was $83 million higher than Budget 2019 due to higher staffing and operating costs including inflationary pressures and increased amortization costs in line with self-funded capital investments.

Post-secondary institutions spending was $216 million higher than Budget 2019 mainly due to higher staffing and wages resulting from collective agreement settlements. The higher spending is partly offset by increased tuition revenues and federal research grants.

Health authority and hospital society spending was $746 million higher than Budget 2019 mainly due to increased staffing and operating costs to meet the volume growth in health care services delivered by these organizations as well as initial costs associated with COVID-19.

Spending in other service delivery agencies was $129 million lower than Budget 2019 reflecting lower spending by the BC Transportation and Financing Authority ($107 million) due mainly to lower debt servicing costs and amortization expense partly offset by other operating costs, and the BC Housing Management Commission ($153 million) due to grants reprofiled to future years to reflect the change in timing of housing projects. These decreases are offset by a net increase in spending by other service delivery agencies ($131 million).

A detailed review of the above changes by quarter is available in Table 2.5. Further information on 2019/20 spending by function is provided in Appendix Table A2.6.

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PART 2 – FINANCIAL REVIEW

Provincial Capital Spending

In 2019/20, capital spending totalled $9.2 billion, which was comprised of $4.8 billion on taxpayer-supported infrastructure and $4.4 billion on the self-supported infrastructure of commercial Crown corporations and agencies.

Direct spending on health and education facilities, social housing, and government capital projects (i.e. government ministry infrastructure, including IT systems, courthouses and correctional institutions) represented 40 per cent of total capital spending in 2019/20.

Spending on highways and public transportation is also taxpayer-supported and reflects government’s transportation and transit investment plans. Transportation investments comprised about 11 per cent of total capital spending in 2019/20. While this spending is predominantly taxpayer financed, a portion is funded from the federal government and other external sources.

Spending on power generation and transmission projects is the largest single category of capital spending and is entirely self-supported. The spending primarily reflects BC Hydro’s refurbishment and expansion of its generating and transmission assets.

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Taxpayer-Supported Capital Spending

In 2019/20, government spending on taxpayer-supported infrastructure was $1.6 billion lower than forecast in the Budget 2019.

Education facilities spending, which includes both the K-12 and Post-Secondary sector, was $64 million lower than budget, largely reflecting changes to schedules of projects in the sector.

Health facilities spending was $246 million lower than budget primarily due to changes to the timing of procurement and cash flows of projects including the Royal Columbian Hospital Redevelopment, St. Paul’s Hospital, Burnaby Hospital Redevelopment, Lions Gate Hospital New Acute Care Facility and Children’s and Women’s Hospital projects.

Highways and public transit spending was $1.0 billion less than budget, primarily due to changes in timing to the procurement and capital spending of transportation projects such as Broadway Subway, Pattullo Bridge Replacement, and Highway 1 to the Alberta Border.

Social Housing, Ministry and Other spending was $211 million lower than budget mainly due to project scheduling changes as well as a reduction in required contingencies for capital projects.

The above scheduling and cash flow changes do not represent a reduction in capital spending; rather the spending has been shifted to future years within the provincial capital plan.

Table 2.6 Capital Spending
	Budget		Actual		Actual
($ millions)	2019		2019/20		2018/19
Taxpayer-supported
Education facilities		1,877		1,813		1,650
Health facilities		1,255		1,009		904
Highways and public transit		2,075		1,028		938
Social Housing		393		355		483
Government direct (ministries)		672		520		421
Other		68		47		56
Total taxpayer-supported		6,340		4,772		4,452
Self-supported commercial
Power generation and transmission		4,000		4,076		3,828
Other		274		310		278
Total self-supported		4,274		4,386		4,106
Total capital spending		10,614		9,158		8,558

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PART 2 – FINANCIAL REVIEW

Self-Supported Capital Spending

Self-supported commercial Crown corporation and agency spending on capital projects in 2019/20 was $112 million higher than the Budget 2019 plan.

Power generation and transmission sector spending was $76 million higher than budget primarily due to the timing of Site C project activities. Site C expenditures may be higher or lower than planned in a given period based on many factors.

Other self-supported capital spending was $36 million higher than budget, partially because of the introduction of the Insurance Corporation of British Columbia’s Enhanced Care Coverage Program and higher than expected residential and commercial building investments on the UBC campus, while capital spending of the Liquor Distribution Branch was lower than expected.

Further details on capital spending are provided in Appendix Table A2.9.

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PART 2 – FINANCIAL REVIEW

Major Capital Projects

Significant capital projects (those with multi-year budgets totaling $50 million or more) are shown in Table 2.7. Investments in these larger projects will provide long-term social and economic benefits for the province.

As projects are completed, or new ones receive approval, the projects are removed from or added to the $50 million table.

During the 2019/20 fiscal year, the following projects were removed:

· Salish Secondary;

· Camosun College – Centre for Health Sciences;

· Surrey Emergency/Critical Care Tower;

· Royal Inland Hospital Clinical Services Building;

· Highway 97 widening from Highway 33 to Edwards Road;

· Natural Resource Permitting Project;

· Maples Adolescent Treatment Centre and Provincial Assessment Centre;

· Columbia River Power projects – Waneta Dam Power Expansion and Waneta Dam Power Expansion purchase of 51 per cent interest; and

· BC Hydro projects including: Hugh Keenleyside spillway gate reliability upgrade, Upper Columbia capacity additions at Mica units 5 and 6, Dawson Creek/Chetwynd area transmission, Surrey area substation, Big Bend substation, W.A.C. Bennett Dam riprap upgrade and Waneta 2/3 interest acquisition.

The following projects were added to the $50 million table during the fiscal year:

· Victoria High School ($80 million);

· Quesnel Junior School ($52 million);

· Cowichan Secondary ($82 million);

· Simon Fraser University – Student Housing ($104 million);

· Burnaby Hospital Redevelopment – Phase 1 ($547 million);

· Cariboo Memorial Hospital ($218 million);

· Stuart Lake Hospital ($116 million);

· West Fraser Road Realignment ($103 million);

· Clark & 1st Avenue (Affordable Rental Housing) ($109 million);

· ICBC project – Enhanced Care Coverage Program ($93 million); and

· BC Hydro projects including: Wahleach generator refurbishment ($51 million), Mount Lehman substation expansion ($59 million), street light replacement program ($80 million), Capilano substation upgrade ($87 million) and Sperling substation (SPG) metalclad switchgear replacement ($54 million).

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PART 2 – FINANCIAL REVIEW

Financing Capital Spending

Provincial capital infrastructure spending is financed through a combination of sources:

· operating cash flows (i.e. cash derived from the operating surplus and management of operating accounts);

· partnerships with the private sector (public-private partnerships or P3s);

· cost-sharing with partners; and

· borrowing (debt financing).

Chart 2.6 shows that 74 per cent of 2019/20 taxpayer-supported capital spending was financed from direct net borrowing, 13 per cent from operating cash flows, and 6 per cent from federal contributions. Other contributions accounted for 7 per cent of the financing.

Self supported commercial Crown and agency capital spending of $4.3 billion was financed 63 per cent from direct net borrowing ($2.7 billion), and 37 per cent from operating cash flows ($1.6 billion).

Chart 2.6 Financing Taxpayer-Supported Capital Spending

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PART 2 – FINANCIAL REVIEW

Table 2.7 Capital Expenditure Projects Greater Than $50 million 1
			Project		Estimated		Anticipated		Project Financing
	Year of		Cost to		Cost to		Total		Internal/		P3		Federal		Other
($ millions)	Completion		Mar. 31, 2020		Complete		Cost		Borrowing		Liability		Gov’t		Contrib’ns
	Taxpayer-supported
Schools
Kitsilano Secondary 2		2020		65		-		65		61		-		-		4
Centennial Secondary 2		2020		53		8		61		61		-		-		-
R.E. Mountain Secondary (Willoughby Slope) 2		2020		58		1		59		38		-		-		21
Argyle Secondary		2020		46		16		62		50		-		-		12
Grandview Heights Secondary		2021		33		50		83		63		-		-		20
Handsworth Secondary		2021		6		63		69		69		-		-		-
New Westminster Secondary		2021		63		44		107		107		-		-		-
Burnaby North Secondary		2022		4		104		108		99		-		-		9
Eric Hamber Secondary		2023		2		107		109		97		-		-		12
South Side Area Elementary Middle		2022		9		45		54		49						5
Sheffield Elementary		2021		1		51		52		47		-		-		5
West Langford Elementary and Middle		2022		5		84		89		89		-		-		-
Victoria High School		2022		2		78		80		77		-		-		3
Quesnel Junior School		2022		1		51		52		52		-		-		-
Cowichan Secondary		2024		-		82		82		80						2
Seismic Mitigation Program 3		2030		477		1,067		1,544		1,544		-		-		-
Total schools				825		1,851		2,676		2,583		-		-		93
Post-secondary institutions
University of British Columbia –
Undergraduate Life Science Teaching
Laboratories Redevelopment 2		2019		97		-		97		12		-		32		53
Simon Fraser University –
Energy Systems Engineering Building 2,4		2019		123		3		126		45		-		45		36
British Columbia Institute of Technology –
Health Sciences Centre for Advanced Simulation		2022		11		77		88		66		-		-		22
Simon Fraser University –
Student Housing		2022		13		91		104		73		-		-		31
University of Victoria –
Student Housing		2023		16		216		232		128		-		-		104
Total post-secondary institutions				260		387		647		324		-		77		246
Health facilities
Queen Charlotte/Haida Gwaii Hospital 2		2016		48		-		48		30		-		-		18
Royal Inland Hospital Patient Care Tower
– Direct procurement		2024		12		117		129		39		-		-		90
– P3 contract		2022		101		187		288		-		164		-		124
Vancouver General Hospital – Jim Pattison Pavilion Operating Rooms		2021		54		48		102		35		-		-		67
North Island Hospitals 2
– Direct procurement		2017		119		-		119		69		-		-		50
– P3 contract		2017		480		-		480		60		232		-		188
Interior Heart and Surgical Centre 2
– Direct procurement		2018		176		72		248		213		-		-		35
– P3 contract		2015		133		-		133		4		79		-		50
Vancouver General Hospital – Joseph and
Rosalie Segal Family Health Centre 2		2017		74		-		74		49		-		-		25
Children’s and Women’s Hospital
– Direct procurement		2020		281		27		308		178		-		-		130
– P3 contract		2018		368		-		368		167		187		-		14
Penticton Regional Hospital – Patient Care Tower
– Direct procurement		2022		34		46		80		22		-		-		58
– P3 contract		2019		231		1		232		-		139		-		93
Royal Columbian Hospital – Phase 1		2020		219		40		259		250		-		-		9
Royal Columbian Hospital – Phases 2 & 3		2026		32		1,204		1,236		1,174		-		-		62
Peace Arch Hospital Renewal		2022		25		59		84		8		-		-		76
Health facilities continued on the next page

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PART 2 – FINANCIAL REVIEW

Table 2.7 Capital Expenditure Projects Greater Than $50 million 1
		Project		Estimated		Anticipated		Project Financing
	Year of	Cost to		Cost to		Total		Internal/		P3		Federal		Other
($ millions)	Completion	Mar. 31, 2020		Complete		Cost		Borrowing		Liability		Gov’t		Contrib’ns
Health facilities continued
Centre for Mental Health and Addictions	2021		59		72		131		131		-		-		-
Dogwood Complex Residential Care	2022		4		54		58		-		-		-		58
Lions Gate Hospital – New Acute Care Facility	2024		2		253		255		89		-		-		166
St Paul’s Hospital	2026		8		2,075		2,083		1,158		-		-		925
Mills Memorial Hospital	2026		2		445		447		337		-		-		110
Burnaby Hospital Redevelopment - Phase 1 5	2025		2		545		547		513		-		-		34
Cariboo Memorial Hospital	2026		-		218		218		131		-		-		87
Stuart Lake Hospital	2024		-		116		116		98		-		-		18
Clinical and systems transformation 6	2023		452		28		480		480		-		-		-
iHealth Project – Vancouver Island Health Authority 6	2020		98		2		100		-		-		-		100
Total health facilities			3,014		5,609		8,623		5,235		801		-		2,587
Transportation
Highway 91 Alex Fraser Bridge Capacity Improvements 2	2019		65		5		70		37		-		33		-
Highway 97 Stone Creek to Williams Road 2	2019		56		-		56		56		-		-		-
Highway 97 Williams Lake Indian Reserve to Lexington Road 2	2019		56		1		57		57		-		-		-
Highway 1 widening and 216th Street Interchange	2020		50		12		62		28		-		22		12
Highway 1 – Admirals Road/McKenzie Avenue Interchange	2020		88		8		96		63		-		33		-
Highway 7 Corridor improvements	2020		55		15		70		48		-		22		-
Highway 99 10-Mile Slide	2020		28		32		60		60		-		-		-
Highway 1 Lower Lynn Corridor improvements	2021		141		57		198		77		-		66		55
Highway 1 Illecillewaet 4-laning and Brake Check Improvements	2022		19		66		85		69		-		16		-
Highway 14 Corridor improvements	2022		11		75		86		56		-		30		-
West Fraser Road Realignment	2023		3		100		103		103		-		-		-
Highway 1 Chase 4-laning 7	2023		25		235		260		248		-		12		-
Highway 91 to Highway 17 and Deltaport Way Corridor improvements	2023		60		200		260		87		-		82		91
Highway 1 Salmon Arm West 7	2023		41		144		185		154		-		31		-
Highway 1 RW Bruhn Bridge	2023		15		210		225		134		-		91		-
Pattullo Bridge Replacement 8	2023		129		1,248		1,377		1,076		301		-		-
Highway 1 Quartz Creek Bridge Replacement	2023		8		113		121		71		-		50		-
Kootenay Lake ferry service upgrade	2023		2		53		55		38		-		17		-
Highway 1 216th - 264th Street widening	2024		5		230		235		99		-		109		27
Highway 1 Kicking Horse Canyon Phase 4 9	2024		20		581		601		386		-		215		-
Broadway Subway	2025		67		2,760		2,827		1,830		-		897		100
Total transportation			944		6,145		7,089		4,777		301		1,726		285
Other taxpayer-supported
Abbotsford courthouse
– Direct procurement	2020		11		7		18		18		-		-		-
– P3 contract	2020		109		25		134		48		80		-		6
Nanaimo Correctional Centre Replacement	2023		4		153		157		157		-		-		-
Stanley New Fountain Hotel (Affordable Rental Housing)	2022		13		50		63		20		-		-		43
6585 Sussex Ave (Affordable Rental Housing)	2022		14		61		75		43		-		-		32
Clark & 1st Ave (Affordable Rental Housing)	2023		3		106		109		75		-		-		34
Total other			154		402		556		361		80		-		115
Total taxpayer-supported			5,197		14,394		19,591		13,280		1,182		1,803		3,326

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PART 2 – FINANCIAL REVIEW

Table 2.7 Capital Expenditure Projects Greater Than $50 million 1
			Project		Estimated		Anticipated		Project Financing
	Year of		Cost to		Cost to		Total		Internal/		P3		Federal		Other
($ millions)	Completion		Mar. 31, 2020		Complete		Cost		Borrowing		Liability		Gov’t		Contrib’ns
Power generation and transmission
BC Hydro
– Ruskin Dam safety and powerhouse upgrade 2		2018		635		3		638		638		-		-		-
– Kamloops substation 2		2018		52		-		52		52		-		-		-
– Horne Payne substation upgrade project 2		2019		69		1		70		70		-		-		-
– John Hart generating station replacement 2		2019		975		2		977		977		-		-		-
– Cheakamus unit 1 and 2 generator replacement 2		2019		61		1		62		62		-		-		-
– Bridge River 2 units 5 and 6 upgrade project 2		2019		70		8		78		78		-		-		-
– South Fraser transmission relocation project 10		TBD		30		46		76		76		-		-		-
– Downtown Vancouver Electricity Supply: West End strategic property purchase		2020		67		14		81		81		-		-		-
– Fort St. John and Taylor Electric Supply		2020		45		8		53		53		-		-		-
– Supply Chain Applications project		2020		59		9		68		68		-		-		-
– UBC load increase stage 2 project		2021		40		15		55		55		-		-		-
– Peace Region Electricity Supply (PRES) project 11		2021		149		136		285		285		-		-		-
– LNG Canada load interconnection project		2021		35		47		82		58		-		-		24
– Bridge River 2 upgrade units 7 and 8 project		2021		22		64		86		86		-		-		-
– Wahleach refurbish generator project		2021		17		34		51		51		-		-		-
– Mica replace units 1 to 4 generator transformers project		2022		30		52		82		82		-		-		-
– G.M. Shrum G1 to 10 control system upgrade		2022		46		29		75		75		-		-		-
– Mount Lehman substation upgrade project		2022		6		53		59		59		-		-		-
– Street light replacement program		2023		2		78		80		80		-		-		-
– Capilano substation upgrade project		2024		8		79		87		87		-		-		-
– Sperling substation (SPG) metalclad switchgear replacement project		2024		2		52		54		54		-		-		-
– Site C project		2024		5,127		5,573		10,700		10,700		-		-		-
Total power generation and transmission				7,547		6,304		13,851		13,827		-		-		24
Other self-supported
Liquor Distribution Branch Warehouse		2020		45		-		45		45		-		-		-
Enhanced Care Coverage Program (ICBC)		2022		13		80		93		93		-		-		-
Total other				58		80		138		138		-		-		-
Total self-supported				7,605		6,384		13,989		13,965		-		-		24
Total $50 million projects				12,802		20,778		33,580		27,245		1,182		1,803		3,350

¹ Only projects that receive provincial funding and have been approved by Treasury Board and/or Crown corporation boards are included in this table. Ministry service plans may highlight projects that still require final approval. Capital costs reflect current government accounting policy.

² Assets have been put into service and only trailing costs remain.

³ The Seismic Mitigation Program consists of all spending to date on Phase 2 of the program and may include spending on projects greater than $50 million included in the table above.

⁴ Simon Fraser University and private donors contributed $26 million toward the project, and the university also contributed land valued at $10 million.

⁵ The concept plan for Phase 2 of the Burnaby Hospital Redevelopment has been approved. Financial information will be added to the table upon business case approval.

⁶ The project and estimated budget are currently under review.

⁷ Excludes past planning costs, which are expensed (Hoffman Bluff to Jade Mountain - $2.63 million and Salmon Arm West $2.64 million).

⁸ Pattullo Bridge forecasted to open to the public in 2023 with old bridge decommissioning to follow. Forecasted amount reflects total expenditures including capitalized and expensed items. This amount may change once contracts are finalized.

⁹ Kicking Horse Canyon Project costs exclude $11 million of past planning costs which are expensed.

¹⁰ Construction work on the South Fraser transmission relocation project is currently suspended pending the government’s review of the George Massey Tunnel replacement.

¹¹ The total cost represents the gross cost of the project and has not been netted for Federal Government contributions. The Federal Government’s contribution amount is dependent on the final actual project costs and what costs are eligible under the agreement.

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PART 2 – FINANCIAL REVIEW

Provincial Debt

As at March 31, 2020, total provincial debt totalled $72.2 billion — 23.6 per cent of B.C.’s nominal GDP. The driver for borrowing is capital spending, with almost all debt incurred to finance infrastructure. About 36 per cent of the total debt is self-supported through the activities of commercial Crown corporations.

The taxpayer-supported debt-to-GDP ratio, a measure often used by investors and credit rating agencies to analyze a government’s ability to manage its debt load, stood at 15.1 per cent. This is higher by 0.7 percentage points from 2018/19 and is practically unchanged from Budget 2019. British Columbia’s taxpayer-supported debt-to-GDP is one of the lowest in Canada, translating into a strong credit rating and lower debt servicing costs. The debt-to-revenue ratio stood at 80.6 per cent, 0.9 percentage points lower than Budget 2019 and an increase of 5.6 percentage points from 2018/19.

Table 2.8 Provincial Debt Summary 1
				Opening			Updated
	Budget			Balance			Budget		Actual			Actual
($ millions)	2019			Adjustment 2			2019		2019/20			2018/19
Taxpayer-supported debt
Education facilities		14,228			(162	)		14,066		15,445			14,274
Health facilities		7,918			(22	)		7,896		8,507			7,968
Highways and public transit		18,947			(330	)		18,617		17,659			16,767
Other		5,291			(762	)		4,529		4,618			3,672
Total other taxpayer-supported debt		46,384			(1,276	)		45,108		46,229			42,681
Total taxpayer-supported debt		46,384			(1,276	)		45,108		46,229			42,681
Self-supported debt
Power generation and transmission		25,053			(111	)		24,942		24,901			22,763
Other		611			(67	)		544		1,031			518
Total self-supported debt		25,664			(178	)		25,486		25,932			23,281
Forecast allowance		500			-			500		-			-
Total provincial debt		72,548			(1,454	)		71,094		72,161			65,962
Debt to GDP
Taxpayer-supported		15.0	%					14.7% 3		15.1	%		14.4	%
Total		23.5	%					23.2% 3		23.6	%		22.3	%

¹  Provincial debt is prepared in accordance with Generally Accepted Accounting Principles and presented consistent with the Debt Summary Report included in the Public Accounts. Debt is shown net of sinking funds and unamortized discounts, excludes accrued interest, and includes non-guaranteed debt directly incurred by commercial Crown corporations and debt guaranteed by the Province.

²  The opening balance adjustment reflects actual balances at March 31, 2019 (the Budget 2019 projection was based on a forecast for 2018/19).

3

Revised to reflect Statistics Canada’s Provincial Economic Accounts update released on November 7, 2019.

Debt for schools, post-secondary institutions and health facilities was largely incurred by government to issue capital grants to SUCH sector organizations for funding their infrastructure. Highways and public transit debt primarily reflects direct borrowing by government-controlled agencies, such as the BC Transportation Financing Authority. Power generation and transmission debt is entirely commercial in nature and is predominantly the debt of BC Hydro. A portion of this debt reflects borrowing for the Columbia Basin power projects managed by Columbia Power Corporation and Columbia Basin Trust.

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Chart 2.7    Components of Total Provincial Debt – 2019/20

 

Other debt includes taxpayer-supported borrowing to finance social housing, the reconstruction of the BC Place stadium roof, and other government borrowing for direct capital projects such as courthouses. Other debt also includes the self-supported borrowing of the BC Lottery Corporation for gaming equipment and gaming management software, the debt of post-secondary institutions’ commercial subsidiaries, and lease liabilities related to right-of-use³ assets.

Chart 2.8    Changes in Ending Debt level from Updated Budget 2019

 

³ In 2019/20 all commercial Crown corporations implemented IFRS 16 Leases. Due to the change in accounting standards, lease liabilities related to right-of-use assets are included as debt.

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PART 2 – FINANCIAL REVIEW

Total debt was higher by $ 1.1 billion at year-end compared to the updated Budget 2019 forecast (see Chart 2.8).

The variance consists of:

● $1.1 billion higher taxpayer-supported debt, primarily due to lower operating results of $ 1.1 billion excluding the forecast allowance, changes in cash and other working capital balances of $1.1 billion, and $0.5 billion lower external capital funding offset by $1.6 billion lower capital spending;

● $446 million increase in self-supported debt primarily due to $387 million for implementing accounting standards for lease liabilities related to right-of-use assets which are now included as debt, and $112 million in higher capital spending, partially offset by $53 million of higher operating cash flows; and

● $500 million forecast allowance.

Surplus/Deficit Versus Change In Debt

For the 2019/20 fiscal year, government posted a deficit of $321 million, and the non-cash items were $2.3 billion (primarily amortization and the adjustment for commercial Crown corporations net income and dividends). Working capital balances increased by $802 million, including higher cash balances at year end to ensure liquidity during the COVID-19 pandemic. Taxpayer-supported capital spending was $4.8 billion. As a result, taxpayer-supported debt increased by $3.5 billion during the fiscal year.

The $2.7 billion increase in self-supported debt primarily reflects $4.4 billion capital spending (mainly for BC Hydro and BCLC, which is financed through the fiscal agency loan program), offset by $1.7 billion in net operating cash flows.

Chart 2.9 Reconciliation of Surplus/Deficit to Change In Debt

 

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PART 2 – FINANCIAL REVIEW

Debt Indicators

Table 2.9 provides a summary of financial indicators depicting the province’s debt position, recent borrowing trends and related interest cost burden.

Further details on provincial debt are provided in Appendix Tables A2.10 to A2.12.

Table 2.9 Key Debt Indicators1
	Budget		Actual		Actual
	2019		2019/20		2018/19
Debt to revenue (per cent)
Total provincial		91.2		95.9		89.5
Taxpayer-supported		81.5		80.6		75.0
Debt per capita ($) 2
Total provincial		14,346		14,229		13,189
Taxpayer-supported		9,172		9,116		8,534
Debt to GDP (per cent) 3
Total provincial		23.5		23.6		22.3
Taxpayer-supported		15.0		15.1		14.4
Interest bite (cents per dollar of revenue) 4
Total provincial		3.7		3.8		3.8
Taxpayer-supported		3.3		3.1		3.2
Interest costs ($ millions)
Total provincial		2,929		2,872		2,786
Taxpayer-supported		1,894		1,807		1,793
Interest rate (per cent) 5
Taxpayer-supported		4.2		4.1		4.2
Revenue Factor for Key Indicators ($ millions)
Total provincial 6		79,516		75,283		73,734
Taxpayer-supported 7		56,916		57,386		56,881
Total debt ($ millions)
Total provincial		72,548		72,161		65,962
Taxpayer-supported 8		46,384		46,229		42,681
Provincial GDP ($ millions) 9		308,457		306,272		295,401
Population (thousands at July 1) 10		5,057		5,071		5,001

¹ Figures for prior year have been restated to conform with the presentation used for 2019/20 and to include the effects of changes in underlying data and statistics.

² The ratio of debt to population (e.g. debt at March 31, 2020 divided by population at July 1, 2019).

³ The ratio of debt outstanding at fiscal year end to provincial nominal gross domestic product (GDP) for the calendar year ending in the fiscal year (e.g. debt at March 31, 2020 divided by 2019 GDP).

⁴ The ratio of interest costs (less sinking fund interest) to revenue. Figures include capitalized interest expense in order to provide a more comparable measure to outstanding debt.

⁵ Weighted average of all outstanding debt issues.

⁶ Includes revenue less earnings related to enterprises (sinking fund earnings, loan interest and net earnings), plus revenue of all enterprises.

⁷ Excludes revenues of commercial Crown corporations, but includes dividends paid to the Consolidated Revenue Fund.

⁸ Excludes debt of commercial Crown corporations.

⁹ Nominal GDP for the calendar year ending in the fiscal year (e.g. GDP for 2019 is used for the fiscal year ended March 31, 2020). As nominal GDP for the calendar year ending in 2019 is not available, the 2019 GDP projected in February 2020 has been used for the fiscal year ended March 31, 2020 for demonstration purposes.

¹⁰ Population at July 1st within the fiscal year (e.g. population at July 1, 2019 is used for the fiscal year ended March 31, 2020).

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PART 2 – FINANCIAL REVIEW

Credit Rating

A credit rating is an evaluation of the credit risk of a prospective borrower, predicting their ability to pay interest and to repay the debt principal. It impacts the borrower’s debt servicing costs and the investor’s rate of return since an investor will demand a higher interest rate on a higher-risk, lower-rated security. Table 2.10 provides an interprovincial comparison of credit ratings.

Table 2.10 Interprovincial Comparison of Credit Ratings, June 2020
	Rating Agency1
	Moody’s Investors
Province	Service	Standard & Poor’s	DBRS
British Columbia	Aaa	AAA	AA(High)
Alberta	Aa2	A+	AA (Low)
Saskatchewan	Aaa	AA	AA (Low)
Manitoba	Aa2	A+	A (High)
Ontario	Aa3	A+	AA (Low)
Quebec	Aa2	AA-	AA (Low)
New Brunswick	Aa2	A+	A (High)
Nova Scotia	Aa2	AA-	A (High)
Prince Edward Island	Aa2	A	A
Newfoundland/Labrador	A1	A	A (Low)

¹ The rating agencies assign letter ratings to borrowers. The major categories, in descending order of credit quality are: AAA/Aaa; AA/Aa; A; BBB/Baa; BB/Ba; and B. The “1”, “2”, “3”, “high”, “low”, “+”, and “-” modifiers show relative standing within the major categories. For example, AA+ exceeds AA and Aa2 exceeds Aa3.

B.C.’s record in recent years for presenting surplus fiscal outlooks and for meeting annual budget targets has resulted in ratings of Aaa and AAA (the highest possible ratings) from Moody’s and Standard & Poor’s respectively, while DBRS rates the province at AA (high).

Pension Plans

The province contributes to four defined benefit pension plans (Public Service, Municipal, Teachers’ and College) for many of its employees. These pension plans are managed under joint trusteeship arrangements with the plan members. Under joint trusteeship, the provincial government has no formal claim on plan surpluses or assets; however, government is responsible for 50 per cent of any unfunded liabilities in the Public Service, Teachers’ and College plans, and 35 per cent of any unfunded liability in the Municipal plan since the province’s interest in that plan is only 70 per cent.

As a result, government’s balance sheet only includes its share of any unfunded pension liabilities incurred by the four pension plans under the joint trusteeship arrangements, as well as the entire liability for the MLA Superannuation Account, which is not part of a joint trusteeship arrangement. As at March 31, 2020, all pension plans under joint trusteeship were fully funded.

In the event that a plan is determined to be in a deficit position, the pension boards, by agreement, are required to address the deficit through contribution adjustments or other measures. As a result, it is expected that any unfunded pension liability in the future would be short-term in nature.

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The pension valuations do not include future indexing of pensions, as this is a non-guaranteed supplemental benefit to the plans that is determined by the amount of available assets in separate inflation accounts. The estimated financial positions of each plan (based on extrapolations of the most recent actuarial valuations) as at March 31, 2020 are shown in Table 2.11.

Table 2.11 Pension Plan Balances

	Pension Plan											Total
($ millions)		Public Service		Municipal		Teachers’ 1		College		Other 2			2019/20		2018/19
Accrued benefit obligation		(21,122	)	(29,030	)	(21,547	)	(3,970	)	(767	)		(76,436	)	(72,120	)
Pension fund assets		23,343		32,973		23,105		4,431		896			84,748		78,693
Subtotal		2,221		3,943		1 ,558		4 61		129			8,312		6,573
Unamortized actuarial (gain) loss		(158	)	(2,209	)	(1,436	)	(314	)	(43	)		(4,160	)	(3,337	)
Accrued net asset (obligation)		2,063		1,734		122		147		86			4,152		3,236

¹ The government is responsible for 50 per cent of the unfunded pension liability incurred under the Teachers’ Pension Plan and has accrued this liability in its 2019/20 accounts. The liability will be settled in future periods through increased employer contributions.

² Represents other defined benefit plans, outside of the four main pension plans, which are funded by entities within the government reporting entity. Includes the Retirement Plan for Non-Teaching Employees of the Board of School Trustees of School District No. 43 (Coquitlam), the University of Victoria’s pension plan for employees other than faculty and professional staff, Simon Fraser University’s Academic Pension Plan and Administrative/Union Pension Plan, and the province’s 14.67% interest in the Canadian Blood Services pension plan.

Actuarial valuations are performed on the pension plans every three years with the resulting reports released nine months after the valuation date. The pension plans and the dates of their last actuarial valuation are:

● Public Service Pension Plan, March 31, 2017;

● Municipal Pension Plan, December 31, 2018;

● Teachers’ Pension Plan, December 31, 2017; and

● College Pension Plan, August 31, 2018.

Key actuarial assumptions used for valuation purposes include a long-term annual rate of return on fund assets (currently 6.00 per cent for the Teachers’ Pension Plan and 6.25 per cent for the other three plans) and the rate of annual salary increases (currently 3.50 per cent).

The pension plans are administered by the BC Pension Corporation in accordance with direction received from the various pension boards. The audited financial statements of each pension plan, along with full descriptions, benefit formulas, inflation assumptions and funding polices may be found on the corporation’s website at www.pensionsbc.ca.

Contractual Rights

Contractual rights represent the annual nominal future cash receipts for multi-year contracts. As at March 31, 2020, taxpayer-supported entities have $10.0 billion in contractual rights, and self-supported Crown corporations and subsidiaries have $6.2 billion in contractual rights, for a total of $16.1 billion in contract receipts over the future years, depending on the terms of the contract.

Contractual rights represent future receipts where the projected revenue has been quantified in an agreement. They are not off-balance sheet assets, nor are they deferred revenues.

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PART 2 – FINANCIAL REVIEW

Contractual Obligations

Contractual obligations represent the annual nominal future cash payments for multi-year contracts for the delivery of services and construction of assets — except in the case of P3 contracts, where the obligations related to construction of assets are recognized as liabilities as the assets are constructed.

As at March 31, 2020, taxpayer-supported entities have incurred $42.4 billion in contractual obligations, and self-supported Crown corporations and subsidiaries have incurred $52.2 billion in contractual obligations, for a total of $94.6 billion in contract payments that will be made over the future years, depending on the terms of the contract.

Contractual obligations represent ongoing program costs where the projected expense has been quantified in an agreement. They are not off-balance sheet debt, nor are they unfunded costs. Rather, these annual costs have been incorporated into the overall program budgets of the contracting ministries and other entities similar to other future-oriented government program costs such as legislated entitlements and capital asset amortization. In the case of self-supported Crown corporations and subsidiaries, the payments will be made from future revenue streams.

The 2019/20 Public Accounts Contractual Obligations schedule presents a detailed listing of obligations by function. Taxpayer-supported contractual obligations can also be grouped into eight categories (see Table 2.12) as follows:

● Coastal ferry services agreement – annual operating subsidy provided by the Ministry of Transportation and Infrastructure to BC Ferry Services Inc. in support of its smaller routes.

● Capital construction and maintenance P3s – reflect the annual service payments that will be made to maintain the asset and retire the liabilities.

● Provincial policing contracts – annual operating cost of the policing contract with the RCMP (aside from major cities such as Vancouver, which have their own police forces, policing in British Columbia is provided by the RCMP under contract).

● Housing subsidy agreements – annual operating cost of the subsidy agreements between BC Housing Management Commission and cooperative subsidized housing associations.

Table 2.12 Taxpayer-Supported Contractual Obligations
($ millions)	2020/21	2021/22	2022/23	2023/24	2024/25	2025/26+	Total
Coastal ferry services agreement	231	231	231	231	231	8,782	9,937
Capital construction and maintenance P3s	366	381	350	365	269	3,860	5,591
Provincial policing contracts	381	384	384	384	385	2,670	4,588
Housing subsidy agreements	484	318	244	199	169	4,213	5,627
Program delivery agreements	1,917	332	271	222	214	1,700	4,656
Operating and maintenance agreements	820	668	559	499	453	1,167	4,166
Service delivery agreements	699	520	508	507	455	2,374	5,063
Capital and economic development agreements	1,462	624	235	71	45	347	2,784
	6,360	3,458	2,782	2,478	2,221	25,113	42,412

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● Program delivery agreements – annual operating cost of agreements with third-party entities that provide services to the public on behalf of government, such as care homes. Some agreements are for one year only.

● Operating and maintenance agreements – annual operating cost of agreements with third-party entities that operate and maintain government infrastructure on behalf of government. A majority of these agreements relate to health sector facilities.

● Service delivery agreements – annual operating cost of agreements with third-party entities that provide services directly to government, such as the Telecommunications Service Master Agreement with Telus.

● Capital and economic development agreements – annual cost of agreements to build infrastructure, such as school district, universities, and British Columbia Transportation Financing Authority’s commitments for future projects.

Almost all (92 per cent or $52.2 billion) of the contractual obligations for self-supported Crown corporations and subsidiaries are for BC Hydro power purchase agreements with independent power producers (IPPs). This ongoing cost of energy is factored into BC Hydro’s financial statement projections in the fiscal plan, although any contractual increases to the tariffs paid to the IPPs will have to be recovered from future electricity rate increases.

The remaining contractual obligations for self-supported Crown corporations and subsidiaries relate to maintenance and service agreements, whose costs also are factored into government fiscal plan projections.

Subsequent Events

COVID-19 Global Pandemic

On March 18, 2020, the Government of British Columbia declared a state of emergency in response to the COVID-19 global pandemic that continued to be in force at the time the 2019/20 Public Accounts were completed. To minimize the transmission of the virus, the Provincial Health Officer issued orders directed to all British Columbians and organizations operating in the province. Some actions taken will have an impact on future financial statements.

On March 23, 2020, the Legislative Assembly authorized $5 billion in government spending for fiscal 2020/21 through Supplementary Estimates to support the pandemic response and economic recovery. The future financial impacts of the pandemic on the province can not be determined at this time.

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PART 2 – FINANCIAL REVIEW

2019/20 Public Accounts Audit Qualification

The Audit Opinion on the 2019/20 Public Accounts includes one qualification on the longstanding issue on the recognition of restricted contributions.

Deferral of Revenues

The Auditor General recommends reporting restricted contributions as revenue in the period the transfers are received, unless the transfer establishes a financial liability on the part of the recipient. The government has maintained its longstanding recognition of deferring restricted contributions and recognizing revenue in the same period that programs and services are provided to the public. Under the Auditor General’s approach to restricted contributions, liabilities would have been reduced by $5.7 billion and current year revenue and surplus would have been increased by $5.7 billion.

The full text of the Auditor General’s opinion and the comments of the Comptroller General of British Columbia can be found in the 2019/20 Public Accounts.

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Part 3

Supplementary Information

– General Description of the Province

– Constitutional Framework

– Provincial Government

– Annual Financial Cycle

– Government’s Financial Statements

– Provincial Taxes

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General Description of the Province

British Columbia is located on Canada’s Pacific coast, and has a land and freshwater area of 95 million hectares. It is Canada’s third largest province and comprises 9.5 per cent of the country’s total land area.

Geography

The province is nearly four times the size of Great Britain, 2.5 times larger than Japan and larger than any American state except Alaska. B.C.’s 7,022-kilometre coastline supports a large shipping industry through ice-free, deep-water ports. The province has about 8.5 million hectares of grazing land, 1.8 million hectares of lakes and rivers, and 950,000 hectares of agricultural land that is capable of supporting a wide range of crops.

Physiography

B.C. is characterized by mountainous topography, but also has substantial areas of lowland and plateau country. The province has four basic regions, a northwesterly trending mountain system on the coast, a similar mountain system on the east, and an extensive area of plateau country between the two. The northeastern corner of the province is lowland, a segment of the continent’s Great Plains.

The western system of mountains averages about 300 kilometres in width and extends along the entire B.C. coast and the Alaska panhandle. The Coast Mountains contain some of the tallest peaks in the province. The western system includes the Insular Mountains that form the basis of Vancouver Island and Haida Gwaii (previously known as the Queen Charlotte Islands). These islands help to shelter the waters off the mainland coast of B.C., which form an important transportation route for people and products.

The Interior of the province is a plateau of rolling forest and grassland, 600 to 1,200 metres in average elevation, incised deeply by rivers. North of Prince George the interior becomes mountainous, but plateau terrain returns just south of the Yukon boundary in the area drained by the Liard River. The southern Interior’s water system is dominated by the Fraser River, which has a drainage area covering about one-quarter of the province. The Rocky Mountains, in the eastern mountain system, rise abruptly on the southern B.C.-Alberta boundary and are cut by passes that provide dramatic overland transportation routes into the province. The Rocky Mountain Trench lies immediately to the west of the Rockies. This extensive valley, the longest in North America, is a geological fault zone separating different earth plates. It is the source of many of B.C.’s major rivers, including the Peace, Columbia and Fraser.

Climate and Vegetation

Coastal B.C. has abundant rainfall and mild temperatures associated with a maritime climate. The Pacific coast has an average annual rainfall of between 155 and 440 centimetres, while the more sheltered coasts of eastern Vancouver Island and the mainland along the Strait of Georgia average between 65 and 150 centimetres. Canada’s longest frost-free periods of over 180 days per year are enjoyed along the edges of the coastal zone and inland along the Fraser River valley. Temperatures fall quickly up the steep slopes of the Coast Mountains. The predominant trees in this coastal region are the western hemlock, western red cedar and balsam in the wetter parts, and Douglas fir and grand fir in the drier areas.

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B.C.’s Interior region has a mainly continental type of climate, although not as severe as that of the Canadian Prairies. Considerable variation in climate occurs, especially in winter and across the Coast Mountains, as mild Pacific storms bring relief from cold spells. The southern Interior has the driest and warmest climate of the province. In the valleys, annual precipitation ranges from less than 30 centimetres to 50 centimetres, while daily temperatures can average over 20°C in July and just under freezing in January. The climate becomes more extreme further north and precipitation increases. The frost-free period in the North is short and variable. Spruce and lodgepole pine are the dominant trees of commercial value in the Interior.

The northeast region of the province is an extension of the western prairie region of Alberta. It has a continental climate that is more extreme than that of the northern interior region. However, it does have long hot summers and a frost-free period long enough to grow grain, forage and other crops.

Population

B.C. is the third largest province in terms of population, which was estimated at 5.071 million people, accounting for 13.5 per cent of Canada’s population on July 1, 2019. B.C.’s population grew at an average annual rate of 1.4 per cent between 2009 and 2019, slightly higher than the growth rate of the overall Canadian population for the same period.

The Vancouver census metropolitan area, a major Canadian shipping, manufacturing and services centre, had the largest urban population in B.C. with 2,691,351 persons in 2019. Meanwhile, the census metropolitan area for Victoria, the provincial capital, had a population of 402,271 persons in 2019.

Constitutional Framework

The structure of the British Columbia government is based on British parliamentary tradition and precedent. Prior to 1866, B.C. was composed of two British-controlled colonies — the Colony of Vancouver Island was established in 1849, and the Colony of British Columbia was established in 1858 on the mainland. In the Union Proclamation of 1866, the two colonies were joined to form the single united Crown Colony of British Columbia. On July 20, 1871, B.C. entered into Confederation with Canada. Although the Colony of Vancouver Island had a parliamentary form of government as far back as 1856, the first fully elected government was not instituted in B.C. until the autumn after Confederation with Canada. Responsible government was achieved in late 1872, when the lieutenant governor acquiesced to an executive council that was responsible to the legislative assembly.

Upon entering Confederation, B.C. came under the authority of the British North America Act, 1867 (BNA Act), a statute of the British parliament. Until 1982, the BNA Act defined the major national institutions and established the division of authority between the federal and provincial governments. In 1982, the British Parliament ended its legal right to legislate for Canada with the passage of the Canada Act, 1982 and its companion legislation, the Constitution Act, 1982, which also includes the Canadian Charter of Rights and Freedoms. The BNA Act was renamed the Constitution Act, 1867, which continues to be the foundation for the division of legislative powers between Canada, as a federal state, and provincial governments.

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Indigenous Peoples

British Columbia is home to more than 270,000 Indigenous¹ people, representing one in six Indigenous people in Canada. There are 203 First Nations in B.C. (of 600 in Canada), and they represent 34 distinct languages. At more than 89,000, the Métis population in B.C. is the fourth-largest in Canada.

Each Indigenous community has a unique history and experience and different ways of life, social organization, governance systems, and approaches to economic development.

As the original occupants of the land, Indigenous peoples have a special constitutional relationship with the Crown. This relationship, including existing Aboriginal² and treaty rights, is recognized and affirmed in section 35 of the Constitution Act, 1982, and includes recognizing that Indigenous self-government is part of Canada’s evolving system of cooperative federalism and distinct orders of government.

Provincial Government

B.C.’s government is modeled after the British system. Functionally there are three main branches: the legislature, the executive and the judiciary.

Legislature

Legislative powers in British Columbia are exercised by a single legislative chamber, which is elected for a term of four years. B.C. was the first jurisdiction in Canada to establish set general election dates, in 2001. Provincial general elections are scheduled to take place on the third Saturday in October every four years.

The legislature consists of the lieutenant governor and 87 elected members of the legislative assembly. The legislative assembly represents the people of B.C. in the conduct of the province’s affairs. The assembly is required by law to meet at least once a year with a normal session lasting several months. However, special sessions can last just a few days or many months, depending on the nature of the government’s business.

The legislature operates on a fixed schedule — the second Tuesday in February each year is usually reserved for the Throne Speech and the fourth Tuesday in February each year is reserved for the Budget Speech.

Executive

The executive is composed of the lieutenant governor and the executive council. The executive council, or cabinet, is headed by the premier and is composed of selected members of the ruling party. The lieutenant governor, the Queen’s representative in British Columbia, holds a largely ceremonial place in the modern provincial government. By constitutional custom, the lieutenant governor is appointed by the Governor General of Canada for a term usually lasting five years.

Following a general election, the lieutenant governor calls upon the leader of the political party with the majority of elected members to serve as premier and to form the provincial government.

¹ The term ‘Indigenous’ includes all people of Indigenous ancestry, including First Nations (status and non-status), Métis and Inuit.

² The federal Constitution Act recognizes the Aboriginal peoples of Canada as the Indian, Inuit and Métis peoples of Canada; however, First Nations is the generally preferred term for Indian peoples of Canada, and Indigenous is preferred to Aboriginal.

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Where the general election does not result in a single political party having the majority of elected members, a minority government may be formed by the party that is able to form a coalition or enter into a confidence and supply agreement with another party, to ensure it has the majority required for all confidence motions and budgetary legislation. A minority government was most recently formed in British Columbia following the 2017 general election.

The lieutenant governor, on the advice of the premier, appoints members of the executive council and is guided by the executive council’s advice as long as it holds the confidence of the legislative assembly.

The lieutenant governor, on recommendation of the premier, convenes, prorogues and dissolves the legislative assembly and gives Royal Assent to all measures and bills passed by the assembly before they become law.

Ministers are the executives responsible for government ministries, and are usually members of cabinet. Cabinet determines government policy and is held responsible by the legislative assembly for the operation of the provincial government.

Deputy ministers are the senior civil servants in their ministries and have responsibility for all operational matters including budget, human resources and program development. Deputy ministers are required to manage a complex set of multiple accountabilities which arise out of various powers, authorities and responsibilities attached to the position. The deputy minister is the principal source of support for a minister in fulfilling his or her collective and individual responsibilities and respecting his or her accountability. In providing this support, the deputy minister is responsible for:

● sound public service advice on policy development and implementation, both within the minister’s portfolio and with respect to the government’s overall policy and legislative agenda;

● effective ministry management, as well as advice on management of the minister’s entire portfolio; and

● fulfillment of authorities that have been assigned to the deputy minister or other officials either by the minister directly or by virtue of legislation.

Judiciary

The judiciary performs functions that are central to the orderly operation of society. Judges hear and give judgment in criminal prosecutions and in actions arising from disputes between private citizens or between the government and private citizens. Judges apply both judge-made law, known as ‘‘common law,’’ and laws made by the Parliament of Canada and provincial legislatures. The judiciary is sometimes called on to determine whether laws passed by governments conform to the values expressed in the Canadian Charter of Rights and Freedoms.

B.C.’s judicial system is made up of the Provincial Court of British Columbia, the Supreme Court of British Columbia and the Court of Appeal of British Columbia. The Provincial Court hears cases that fall into five main categories: criminal cases, family cases, youth court cases, small claims, and traffic & bylaw cases. The provincial government appoints Provincial Court judges, and the federal government appoints Court of Appeal and Supreme Court judges.

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The federal judicial system includes the Tax Court of Canada, the Federal Court of Canada (Appeals division and Trial division) and the Supreme Court of Canada. The Federal Court of Canada hears cases in limited areas of exclusively federal jurisdiction — for example, reviewing decisions made by federal tribunals such as the Canada Labour Relations Board. The Supreme Court of Canada is the court of final resort and hears selected appeals from the Federal Court of Appeal and provincial Courts of Appeal.

Provincial Government Jurisdiction

Under Canada’s constitutional framework, B.C. has ownership and jurisdiction over natural resources and is responsible for education, health and social services, municipal institutions, property and civil rights, the administration of justice and other matters of purely provincial or local concern.

Annual Financial Cycle

British Columbia’s Budget Transparency and Accountability Act (BTAA) outlines the Province’s reporting requirements during the financial cycle and imposes specific reporting deadlines or release dates for these publications. In particular, fixed dates for presentation of the budget, as well as dates for quarterly and annual reports, are set by law.

Under the BTAA, the provincial government focuses its budgeting and reporting on a summary accounts basis. The BTAA requirements include reporting on the advice of the Economic Forecast Council; presentation of the annual Estimates, Budget and Fiscal Plan, Quarterly Reports, and Public Accounts; publication of Quarterly Reports with revised forecasts; annual three-year service plans and service plan reports for each ministry and government organization; and an annual three-year government strategic plan and report.

Chart 3.1 summarizes the annual financial process of the Province. This process consists of four main stages.

Planning and Budget Preparation

Treasury Board, a committee of the executive council, reviews longer-term estimates of revenue, expense, capital and debt, and establishes a preliminary fiscal plan within the framework of the government’s overall strategic plan. Ministries, service delivery agencies, and Crown corporations prepare three-year service plans, including performance measures and targets, and operating and capital budgets, for review by government. Treasury Board makes recommendations to Cabinet on budget allocations for ministries and agencies, and assesses commercial Crown corporation net income benchmarks, within the context of the fiscal plan. Included as inputs into this process are a consultation paper published by September 15^th that invites public comment on issues for consideration as government develops its fiscal and service plans, and provincewide public hearings held by a committee of the legislature. A report outlining the results of the budget consultation process is made public by November 15^th of each year.

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Chart 3.1 Financial Planning and Reporting Cycle Overview

*In an election year the budget day may be delayed, in accordance with the Budget Transparency and Accountability Act.

Implementation and Reporting

The government’s revenue, expense and capital plans for the next three fiscal years, as well as other information on the government’s finances, are presented to the legislative assembly by the Minister of Finance in a budget document called the Budget and Fiscal Plan. The financial plan for the next fiscal year is also included in the document called the Estimates, which describes the individual appropriations to be voted on by the legislative assembly. Government’s strategic plan, service plans, and a report on major capital projects (those where government contribution exceeds $50 million) must also be tabled in the legislature. Throughout the year, the authorized funding as specified in the Estimates and ministry service plans is spent on programs and services. Crown corporations follow approved service plans under the direction of their own boards of directors. Quarterly Reports, including full-year forecasts, are published by legislated dates, thereby providing regular updates to the public on the government’s finances.

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Evaluation

At the end of the fiscal year, the Public Accounts are prepared by the Office of the Comptroller General and examined by the Auditor General to ensure that the financial statements fairly present the government’s financial position. The Public Accounts are augmented by the British Columbia Financial and Economic Review, which provides an overview of annual and historical financial and economic results. In addition, annual service plan reports are made public that compare actual results with ministry and Crown corporation performance targets.

Accountability

The Public Accounts are presented to the legislative assembly and are reviewed by two committees of the legislative assembly (the Select Standing Committee on Public Accounts, and the Select Standing Committee on Crown Corporations). At the same time, the Ministerial Accountability Report is published detailing the individual and collective financial performance of cabinet ministers, and the performance achieved by the Ministers of State on non-financial targets.

Government’s Financial Statements

Government Reporting Entity

The provincial government conducts its activities through:

· ministries;

· the SUCH sector (school districts, universities, colleges, institutes, and health organizations);

· other taxpayer-supported service delivery agencies; and

· commercial Crown corporations.

The accounts relating to the ministries and other direct activities of government are contained in the Consolidated Revenue Fund (CRF), whose financial results are reported as a separate entity in the Public Accounts. The CRF comprises all money over which the legislature has direct power of appropriation. The operations of public sector organizations, including the SUCH sector entities, service delivery agencies, and Crown corporations, are recorded in their own financial statements, which are subject to audit by the Auditor General or by private-sector auditors.

The relationships between the legislature and government’s public sector organizations are guided by legislation, governance agreements, and/or mandate letters to ensure effective oversight, alignment with government’s priorities, and preservation of public confidence in the management of public-sector programs and services for the citizens of British Columbia.

The Province consolidates the financial results of all these entities into a single set of financial statements, published annually in the Public Accounts.

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Compliance with GAAP

British Columbia’s Budget Transparency and Accountability Act (BTAA) requires government’s financial statements to conform to generally accepted accounting principles (GAAP) for senior governments in Canada. In practice this means compliance with the Public Sector Accounting Standards (PSAS), which are set by the Canadian Public Sector Accounting Board (PSAB).

Under PSAS, service delivery agencies are consolidated with the CRF on a line-by-line basis. Commercial Crown corporations³ (government business enterprises) and commercial subsidiaries owned by service delivery agencies are consolidated on a modified equity basis — i.e. their net income is reported as revenue of the Province and their retained earnings as an investment.

Where the accounting policies of service delivery agencies differ from those used by the central government, the service delivery agency financial statements are adjusted to conform to government’s accounting policies. No adjustments for accounting differences are made for commercial Crown corporations, which prepare their statements in accordance with International Financial Reporting Standards (IFRS).

The BTAA authorizes Treasury Board to adopt different standards than those promoted by PSAB in order to ensure that British Columbia’s financial reporting reflects the policy framework within which the Crown corporations and agencies operate. Any alternative standard adopted by Treasury Board must come from other areas of Canadian GAAP or from a recognized standard setting body in another jurisdiction (e.g. the US Financial Accounting Standards Board). Treasury Board has issued one such regulation, mandating BC Hydro to follow the US FASB standard for rate-regulated accounting.

The full text of government’s significant accounting policies can be found in Note 1 to the Consolidated Summary Financial Statements in the 2018/19 Public Accounts.

³  Crown corporations are considered commercial if the majority of their operating revenue comes from non-government sources, and their operating revenue is sufficient to cover operating and debt service costs without the need for government grants or other forms of assistance. Otherwise they are included with the service delivery agencies.

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Table 3.1 Provincial Taxes (as of July 2020)

Type and
Statute Reference	Tax Base	Tax Rate	Characteristics and Exemptions
Income — Income Tax Act	Taxable Income: · Corporate	General rate: 12% Small business rate: 2%.	The Canada Revenue Agency administers B.C.’s personal and corporate income taxes under the Tax Collection Agreement between the province and the federal government.
	· Personal	Tax rates of 5.06%, 7.7%, 10.5%, 12.29%, 14.7%, 16.8% and 20.5% corresponding to the following tax brackets: up to $41,725, $41,725.01 to $83,451, $83,451.01 to $95,812, $95,812.01 to $116,344 $116,344.01 to $157,748, $157,748.01 to $220,000, and over $220,000.	Corporate tax credits include the scientific research and experimental development tax credit, the book publishing tax credit, the interactive digital media tax credit and the film tax credits. In addition, the farmers’ food donation tax credit, political contributions tax credit, mining exploration tax credit, logging tax credit, training tax credits and venture capital tax credits are available to both individuals and corporations. B.C. provides a set of non-refundable credits similar to most federal non-refundable credits. Personal tax credits include the B.C. climate action tax credit, B.C. sales tax credit, the B.C. early childhood tax benefit and other credits available to individuals who meet specific eligibility criteria.
Payroll — Employer Health Tax Act	B.C. remuneration	1.95%. Rate is reduced if annual B.C. remuneration is between $500,000 and $1.5 million. Tax does not apply if B.C. remuneration is less than $500,000.	Employers with annual B.C. remuneration less than $500,000 are exempt from the tax. The exemption amount is shared by all associated employers. The tax rate is phased in for employers with annual B.C. remuneration between $500,000 and $1.5 million. Special rules exist for charities. Charities receive an exemption of $1.5 million per qualifying location, and charities with B.C. remuneration between $1.5 million and $4.5 million per qualifying location pay a reduced rate.
Real property transfers — Property Transfer Tax Act	Fair market value of property based on the percentage of interest in the property.	1% on the first $200,000 of the fair market value transferred, 2% of the fair market value that exceeds $200,000 but does not exceed $2,000,000 and 3% of the fair market value that exceeds $2,000,000. For residential class property and farm land associated with a farmers’ dwelling, the 3% rate becomes 5% for the fair market value above $3,000,000. Foreign nationals and foreign corporations purchasing residential class property in certain areas pay an additional 20% of fair market value. These areas are Metro Vancouver Regional District except Tsawwassen Lands, and Capital, Central Okanagan, Fraser Valley and Nanaimo Regional Districts.	Eligible first time home-buyers are fully exempt from tax on transfers of eligible properties up to $500,000. Similarly, eligible purchasers of newly constructed homes are fully exempt if the fair market value is $750,000 or less. Other exemptions include: some intergenerational transfers or transfers to a spouse of principal residences, recreational residences and family farms; transfers of property between spouses pursuant to written separation agreements or court orders; transfers of property to local governments, registered charities and educational institutions; transfers of property to veterans under the Veterans’ Land Act (Canada); transfers of land to be protected, preserved, conserved or kept in a natural state; and transfers of leases 30 years or less in duration. A number of technical exemptions are also provided. Foreign nationals who become citizens or permanent residents of Canada within a year of purchase may be eligible for a refund of the additional 20% tax. Foreign nationals who are in the Provincial Nominee Program process for immigration to Canada may be exempt from the additional 20% tax.

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Table 3.1 Provincial Taxes (as of July 2020) – Continued

Type and
Statute Reference	Tax Base	Tax Rate	Characteristics and Exemptions
Retail sales tax — Provincial Sales Tax Act	Purchase and lease of tangible personal property. Purchase of software, accommodation, related services, telecommunication services and legal services. Gifts of vehicles, boats and aircraft.	General rate: 7% Liquor: 10% Vapour products: 20% Accommodation: 8% Vehicles: 7% to 20% Boats and aircraft: 7% or 12% Manufactured buildings: reduced rate of tax.	Paid by purchasers and lessees and primarily collected through businesses required to be registered under the Act. Major consumer exemptions include, but are not limited to: ·      food for human consumption (all food including prepared food), ·      residential energy, ·      children’s clothing and footwear (child-sized clothing and adult-sized clothing for children under 15 years of age), ·      basic cable and residential land-line telephone services, and ·      vitamins, drugs and household medical aids. Major business exemptions include, but are not limited to: ·      goods acquired solely for re-sale or re-lease, ·      goods purchased to be incorporated into goods for sale or lease, ·      certain production machinery and equipment purchased by major industries (manufacturers, logging, mining, oil and gas) ·      for qualifying activities at qualifying locations, and electricity.
Tobacco — Tobacco Tax Act	By cigarette, cigar retail price, and weight on other tobacco products.	29.5 cents per cigarette or tobacco stick and 39.5 cents per gram of loose tobacco; 90.5% of taxable price on cigars to a maximum tax of $7 per cigar.	Tax is payable on tobacco by purchasers at the time of retail purchase. Tobacco is subject to a security scheme. Security is payable by wholesale dealers registered under the Act when tobacco is delivered to them.
Carbon dioxide equivalent emissions from combustion of fuels and combustibles — Carbon Tax Act	Purchase, use, or, in certain circumstances, transfer or importation of: ·      Aviation Fuel ·      Gasoline ·      Heavy Fuel Oil ·      Jet Fuel ·      Kerosene ·      Light Fuel Oil ·      Methanol (not produced from biomass) ·      Naphtha ·      Butane ·      Coke Oven Gas ·      Ethane ·      Propane ·      Natural Gas ·      Refinery Gas ·      High Heat Value Coal ·      Low Heat Value Coal ·      Coke ·      Petroleum Coke ·      Gas Liquids ·      Pentanes Plus ·      Also combustion of peat and tires (whole or shredded) to produce heat or energy (combustibles).	Tax rates vary by type of fuel or combustibl based on carbon dioxide equivalent emitted by each fuel or combustible. Tax rates are equivalent to $40 per tonne of carbon dioxide equivalent.	Tax is payable on fuels by purchasers at the time of retail purchase. Fuels, other than natural gas, are subject to a security scheme similar to the security scheme under the Motor Fuel Tax Act. Security is payable by collectors registered under the Act when fuel is sold in British Columbia for the first time after manufacture or importation. Tax on the purchase of natural gas is collected and remitted at the retail level. Tax on use, transfer and import is self-assessed. Tax on the burning of combustibles is self-assessed. Exemptions include: ·      fuels which are exported for use outside of British Columbia, ·      fuel used for certain non-energy purposes, ·      fuel used for eligible inter-jurisdictional transportation, ·      coloured gasoline and coloured diesel purchased by farmers solely for listed farm purposes, and ·      minor exemptions similar to exemptions in other consumption tax acts for administrative and technical reasons. Tax rates were scheduled to reach $45 per tonne of carbon dioxide equivalent on April 1, 2020 but are temporarily held at $40 per tonne under the COVID-19 Action Plan. This pause also temporarily relieves additional forms of combustible waste, added in Budget 2020, from carbon tax.

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Table 3.1 Provincial Taxes (as of July 2020) – Continued

Type and
Statute Reference	Tax Base	Tax Rate	Characteristics and Exemptions
Motor fuel — Motor Fuel Tax Act	Purchase, use, or in certain circumstances, transfer or importation of fuels:		Tax generally applies to all fuels purchased for use, or used in internal combustion engines. Tax is payable on fuels by purchasers at the time of retail purchase. Most fuels are subject to a security scheme similar to the security scheme under the Carbon Tax Act. Security is payable by collectors registered under the Act when fuel is sold in British Columbia for the first time after manufacture or importation. The additional tax collected in the South Coast BC Transportation Service Region, on behalf of TransLink, helps fund regional transportation costs. The additional tax collected in the Victoria Regional Transit Service Area, on behalf of BC Transit, helps fund the public transit system.
	·      Clear gasoline	General rate: 14.5 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority). South Coast BC Transportation Service Region: 27 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority and 18.5 cents per litre collected on behalf of TransLink). Victoria Regional Transit Service Area: 20 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority and 5.5 cents per litre collected on behalf of BC Transit).
	·      Motive fuel	General rate: 15 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority). South Coast BC Transportation Service Region: 27.5 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority and 18.5 cents per litre collected on behalf of TransLink). Victoria Regional Transit Service Area: 20.5 cents per litre (includes 6.75 cents per litre collected on behalf of the BC Transportation Financing Authority and 5.5 cents per litre collected on behalf of BC Transit).	Tax applies to diesel fuel but does not include alternative motor fuels or coloured fuels.
	·      Alternative motor fuels (natural gas, hydrogen and methanol (M85+))	Exempt.	Natural gas, when used as a motor fuel, is exempt from tax. Certain hydrogen is exempt from tax. Fuels comprised of at least 85% methanol are also exempt from tax.

 

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Table 3.1 Provincial Taxes (as of July 2020) – Continued

Type and
Statute Reference	Tax Base	Tax Rate	Characteristics and Exemptions
Motor fuel — Motor Fuel Tax Act (continued)	·      Coloured fuel, marine diesel fuel	3 cents per litre.	Coloured fuel may be used in all vehicles not licensed to operate on a highway and in specific industrial vehicles. Farmers are exempt from paying the tax when fuel is used solely for listed farm purposes. Farm trucks are allowed to use tax-exempt coloured fuel for farming purposes on a highway. Marine diesel fuel used in interjurisdictional cruise ships and ships prohibited from coasting trade under the Coasting Trade Act is exempt from tax.
	·      Locomotive fuel	3 cents per litre.	Tax applies to fuel specifically for use in locomotives.
	·      Propane	2.7 cents per litre.	Propane tax applies to all uses of propane. There are exemptions for propane used as residential energy in a residential dwelling, for propane used by qualifying farmers solely for a farm purpose, and for small containers of propane.
	·      Aviation fuel	2 cents per litre.	Aviation fuel tax applies to fuel produced specifically for use in a non-turbine aircraft engine.
	·      Jet fuel	2 cents per litre.	Jet fuel tax applies to fuel produced specifically for use in a turbine aircraft engine. Jet fuel used for international flights is exempt.
	·      Natural gas used in stationary engines, other than listed below.	1.1 cents per 810.32 litres.
	·      Natural gas used in pipeline compressors to transmit marketable gas.	1.9 cents per 810.32 litres.
	·      Natural gas used in pipeline compressors to extract and transmit raw gas from wells to processing plants.	Exempt.
	·      Natural gas used in compressors to re-inject sour gas into depleted wells.	Exempt.
	·      Marine bunker fuel	Exempt.	Exemption applies to bunker fuel used as fuel in a ship.
	·      Marine gas oil	Exempt.	Exemption applies to marine gas oil when used in primary gas turbine engines to propel passenger and cargo vessels.
Natural resources — Logging Tax Act	Net income from logging in B.C.	10% (fully recoverable against federal and provincial corporation and personal income tax).	Tax is calculated as net income from logging after deducting a processing allowance.
— Mineral Land Tax Act	Assessed value of freehold mineral land and production areas.	Undesignated mineral land — $1.25 to $4.94 per hectare. Designated production areas — $4.94 per hectare.	Rates of tax set on sliding scale, dependent on size and designation of land. No tax is payable if the mineral land is less than 16.2 hectares, owned by a registered charity or if the administrator has classified the mineral lands as agricultural.
— Mineral Tax Act	Cash flow from individual metal and coal mines (other than placer gold mines).	2% of net current proceeds (NCP). 13% of net revenue (NR).	Tax calculated for each operator on a mine-by-mine basis. NCP tax paid on current operating cash flow until all current and capital costs, plus any investment allowance, are recovered. Then NR tax paid on cumulative cash flow. NCP tax creditable against NR tax.
	Volume of production of limestone, dolomite, marble, shale, clay, volcanic ash, diatomaceous earth, sandstone, quartzite and dimension stone.	$0.15 per tonne removed from all quarries operated.	An operator may deduct 25,000 tonnes from the total number of tonnes removed from all quarries operated by that operator. However, the amount deducted from any one quarry by all operators of that quarry must not exceed 25,000 tonnes.
	Value of minerals sold by placer gold mines.	0.5% of value of minerals sold.

  

66 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

PART 3 – SUPPLEMENTARY INFORMATION

Table 3.1 Provincial Taxes (as of July 2020) – Continued

Type and
Statute Reference	Tax Base	Tax Rate		Characteristics and Exemptions
Insurance — Insurance Premium Tax Act	B.C. premiums.	4.4% for vehicle and property insurance, 2% for life, sickness, personal accident and loss of salary and wages insurance, 4% for other insurance and 7% for all contracts with unlicensed insurers.		Exemptions: fraternal benefit societies; mutual corporations with 50% of income from farm or 100% from religious, educational or charitable institutions; marine, except pleasure craft; approved medical or hospitalization plans; professional liability insurance from the Law Society of B.C.; liability insurance with the Real Estate Errors and Omissions Insurance Corporation; and assessments for the Real Estate Special Compensation Fund.
Real property — Taxation (Rural Area) Act	Assessed value of land and improvements in rural areas (outside municipalities). Assessment determined under the Assessment Act.	Rates are set annually expressed as $/$1000 of taxable assessed value. For residential properties the rates are set to increase average residential rural taxes by the rate of inflation. For non-residential property classes, the rates are set so that total non-residential rural tax revenues increase by inflation plus tax on new construction.		Some exemptions apply under various statutes.
		Class	Rate $/$1000
		1 residential:	0.47
		2 utilities:	3.83
		3 supportive housing:	0.10
		4 major industry:	6.77
		5 light industry:	2.72
		6 business and other:	2.72
		7 managed forest land:	0.46
		8 recreation/non-profit:	0.89
		9 farm land:	0.55
		In Peace River Regional
		District, tax rates are the same
		as above except
		2 utilities:	4.20
		4 major industry:	7.14
		5 light industry:	3.09
Basic residential class school property tax — School Act section 119	Assessed value of class 1 residential land and improvements. Assessment determined under the Assessment Act.	Rates are set annually to increase average residential taxes by the rate of inflation. The rates vary by school district. For 2020, rates range from about $0.87/$1000 to $4.5/$1000.		Basic rates are calculated using a formula to moderate effects of varying average assessments on school district taxes. Amendments to the School Act in 2002 allow the Minister of Finance to apply different tax rates within a school district. Tofino is the only municipality with a rate that differs from the rest of the school district. School districts may levy additional tax on residential class property if authorized by local referendum. None do.
				The Home Owner Grant Program and the Land Tax Deferment Program can reduce or postpone the tax liability for Canadian citizens and permanent residents of Canada who live in their own home as a principal residence.
Additional school tax on homes over $3 million. — School Act section 120.1	Assessed value of “dwelling property”. Tax began in 2019.	Tax is 0.2% on the value of the dwelling property between $3,000,000 and $4,000,000 and 0.4% on the value above $4,000,000.		Dwelling property is most residential class property where there is between one and three dwelling units. Properties with four or more units, such as apartment buildings, are not taxed. Vacant land in residential class is taxed unless it is in the Agricultural Land Reserve.

   

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 67

PART 3 – SUPPLEMENTARY INFORMATION

Table 3.1 Provincial Taxes (as of July 2020) – Continued

Type and
Statute Reference	Tax Base	Tax Rate		Characteristics and Exemptions
Non-residential class school property tax — School Act section 119	Assessed value of non-residential land and improvements. Assessment determined under the Assessment Act.	Rates are set annually and expressed as $/$1000 of taxable assessed value. For 2020, as a COVID-19 response, school tax rates for classes 4-8 were reduced by 70% to 100% compared to both 2019 rates and rates that would have applied using the policy set out in Budget 2020. For classes 5,6 and 8, this results in a province-wide average tax cut of 25% of total property taxes. For classes 4 and 7, it effectively removes the school tax.		Some exemptions apply under various statutes. An industrial property tax credit reduces provincial school property tax by 60% on major industrial (class 4) properties. A 50% provincial farm land property tax credit reduces the provincial school property tax on farm land (class 9).
		For 2020 the rates are:
		Class	Rate $/$1000
		2 utilities:	13.03
		3 supportive housing:	0.1
		4 major industry:	0.0001
		5 light industry:	1.0561
		6 business and other:	1.1070
		7 managed forest land:	0.0001
		8 recreation/non-profit:	0.7844
		9 farm land:	7.05
Police tax — Police Act	Assessed value of land and improvements in municipalities under 5,000 population and in rural areas. Assessment determined under the Assessment Act.	Rates are set annually to raise up to 50% of the provincial cost of rural and small community policing. Rates are set for each of the nine property classes in each municipality under 5,000 population, in each electoral area of the province and in the area of the province outside a regional district.		Basic rates are calculated using a formula that includes assessed value and population. Tax rate reductions are embedded in the rates to reflect the contribution taxpayers in the rural areas make to policing costs through the provincial rural area property tax, and to account for traffic fine revenue sharing and for payments in lieu of taxes from the federal and provincial governments.
Speculation and Vacancy tax — Speculation and Vacancy Tax Act	Tax is based on the assessed value of the residential property. Assessment determined under the Assessment Act.	For the 2019 tax year the tax rate is 2% for foreign owners and untaxed worldwide earners (satellite families). The tax rate for other owners is 0.5%.		The tax is intended to capture foreign and domestic speculators who own residential property in designated taxable areas. Different exemptions and credits are available depending on owner type. The principal residence of a resident of British Columbia is exempt from tax. Residential property that is rented out is exempt. Property that is under construction or development is exempt. There are also a variety of hardship exemptions available. Residents of B.C. are entitled to an up to $2,000 tax credit. Other categories of owners are entitled to a tax credit based on reported B.C. income and the use of the property.

  

68 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

PART 3 – SUPPLEMENTARY INFORMATION

Table 3.2 Interprovincial Comparisons of Tax Rates – 2020

(Rates known and in effect as of July 1, 2020)

																		Prince		Newfound-
	British				Saskat-								New			Nova		Edward		land and
Tax	Columbia		Alberta		chewan		Manitoba		Ontario		Quebec		Brunswick			Scotia		Island		Labrador
Corporate income tax (per cent of taxable income)
General rate		12		10		12		12		11.5		11.5		14			16		16		15
Manufacturing rate 1		12		10		10		12		10		11.5		14			16		16		15
Small business rate		2		2		2		0		3.2		5		2.5			3		3		3
Small business threshold($000s)		500		500		600		500		500		500		500			500		500		500
Corporation capital tax (per cent) Financial 2		Nil		Nil		0.7/4		6		1.25		1.25		4	/5		4		5		6
Health care premiums/month ($)Individual/family 3		Nil		Nil		Nil		Nil		Nil		Nil		Nil			Nil		Nil		Nil
Payroll tax (per cent) 4		1.95		Nil		Nil		2.15		1.95		4.26		Nil			Nil		Nil		2
Insurance premium tax(per cent) 5		2-7		3/4		3/4		2-4.25		2-3.5		3.48		2/3			3/4		3.75/4		5
Fuel tax (cents per litre) 6
Gasoline		23.39		19.63		21.63		20.63		33.64		37.11		26.53			24.92		24.35		30.95
Diesel		25.23		21.05		23.05		22.05		33.70		38.55		32.57			24.40		31.40		31.35
Sales tax (per cent) 7 General rate		7		Nil		6		6		8		9.975		10			10		10		10
Tobacco tax ($ per carton of 200 cigarettes) 8		59		55		61.63		69.05		45.76		29.80		63.47			72.27		62.32		61.22

¹ In British Columbia (and some other provinces), the general rate applies to income from manufacturing and processing. In Quebec, the rate for manufacturing corporations eligible for the small business rate is 4 per cent; the rate for other manufacturing corporations is the general rate.

² In Saskatchewan, small financial corporations pay the rate of 0.7 per cent on their capital. A small financial corporation has less than $1.5 billion in taxable capital. Large financial corporations are subject to the 4 per cent rate. Manitoba’s tax only applies to large financial corporations with taxable paid-up capital of at least $4 billion on taxable capital exceeding $10 million. Ontario and Quebec’s tax only applies to life insurance companies and applies to the extent the capital tax exceeds income tax. In New Brunswick, trust and loan companies are subject to the rate of 4 per cent, while banks are subject to the rate of 5 per cent. Financial institutions in Prince Edward Island pay tax on their paid-up capital exceeding $2 million.

³ British Columbia Medical Services Plan premiums were eliminated effective January 1, 2020. Ontario levies a health premium, as part of its provincial personal income tax system, of up to $900 per year per person.

⁴ Provinces with payroll taxes provide payroll tax relief for small businesses. Quebec also levies a compensation tax of up to 4.29 per cent on salaries and wages paid by financial institutions.

⁵ Lower rates apply to premiums for life, sickness and accident insurance; higher rates apply to premiums for property insurance including automobile insurance. In British Columbia, the highest rate applies to unlicensed insurance. In Manitoba, Ontario, Quebec and Newfoundland and Labrador, sales taxes also apply to certain insurance premiums except, generally, those related to individual life and health.

⁶ Tax rates are for regular fuel used on highways and include all provincial taxes payable by consumers at the pump. The British Columbia rates include 6.75 cents per litre dedicated to the BC Transportation Financing Authority, 7.75 (gasoline) / 8.25 (diesel) cents per litre for the Provincial Motor Fuel tax, and 8.89 (gasoline) / 10.23 (diesel) cents per litre for the Carbon Tax. The British Columbia rates do not include regional variation in the Provincial Motor Fuel Tax, as well as additional regional taxes, that increase the gasoline and diesel rates by 12.5 cents per litre in the South Coast British Columbia Transportation Authority service region and by 5.5 cents per litre in the Capital Regional District. The rates for Ontario, Quebec, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador include provincial sales tax based on average pump prices as of June 2020. The Quebec Sales Tax is calculated on the retail price, which includes the Quebec per litre tax, and the federal excise tax. The rate for Newfoundland and Labrador includes a carbon tax rate of 4.42 cents per litre for gasoline and 5.37 cents per litre for diesel. For comparative purposes the rates for Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, and P.E.I. include the federal carbon pricing backstop rates of 6.63 cents per litre for gasoline and 8.05 cents per litre for diesel. Quebec and Nova Scotia’s rates also include the estimated cost of their provincial cap-and-trade programs: 4.92 (gasoline) and 6.26 (diesel) cents per litre in Quebec and .94 (gasoline) and 1.2 (diesel) cents per litre in Nova Scotia. Quebec’s rates do not include increased or reduced regional tax rates, such as an additional 3 cents per litre on gasoline in the Montreal area.

⁷ Tax rates shown are statutory rates. Ontario, Quebec, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador have harmonized their sales taxes with the federal GST. Alberta imposes a 4 per cent tax on short-term rental accommodation.

⁸ Includes estimated provincial sales tax in all provinces except British Columbia, Alberta and Quebec.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 69

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Appendix 1

Economic Review

Supplementary Tables

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1. 1A Aggregate and Labour Market Indicators

					Real GDP		Primary		Gross fixed		Business						Unemployment
	Population 1		Nominal GDP		(chained)		household income		capital formation		incorporations		Labour force		Employment		rate
	(thousands)		($ millions)		($2012 millions)		($ millions)		($ millions)		(number)		(thousands)		(thousands)		(per cent)
1982		2,877		46,600		97,936		34,966		11,061		-		1,427		1,253		12.1
1983		2,908		49,329		98,655		35,263		10,903		-		1,446		1,245		13.9
1984		2,947		51,788		99,550		36,944		10,722		-		1,465		1,245		15.0
1985		2,975		55,788		106,567		39,668		11,573		-		1,493		1,280		14.3
1986		3,004		58,954		107,559		41,991		11,012		-		1,526		1,332		12.7
1987		3,049		65,147		114,142		45,787		12,607		-		1,567		1,378		12.1
1988		3,115		72,095		120,448		50,643		15,210		-		1,599		1,435		10.3
1989		3,197		78,443		124,256		56,796		18,748		-		1,659		1,508		9.1
1990		3,292		82,374		126,129		62,770		19,391		19,550		1,703		1,560		8.4
1991		3,374		84,975		126,535		65,226		19,283		18,528		1,751		1,578		9.9
1992		3,469		90,515		130,049		68,047		20,546		20,406		1,800		1,617		10.1
1993		3,568		97,221		136,155		70,589		21,435		22,955		1,848		1,668		9.7
1994		3,676		103,598		139,733		74,124		24,400		25,774		1,918		1,743		9.1
1995		3,777		109,203		143,402		78,040		23,076		23,846		1,951		1,786		8.5
1996		3,874		112,540		147,052		80,322		22,787		23,237		1,986		1,813		8.7
1997		3,949		118,585		151,968		83,387		24,819		22,958		2,032		1,860		8.5
1998		3,983		119,775		153,811		85,832		23,173		20,759		2,038		1,858		8.8
1999		4,011		125,658		159,162		89,551		23,281		21,009		2,064		1,894		8.3
2000		4,039		136,411		166,405		94,462		24,152		21,388		2,080		1,931		7.2
2001		4,077		138,815		167,541		97,235		26,197		19,474		2,082		1,921		7.7
2002		4,101		143,993		174,214		101,152		26,819		20,987		2,135		1,952		8.5
2003		4,124		151,958		178,240		104,469		29,096		22,531		2,172		1,998		8.0
2004		4,156		164,600		185,250		111,064		34,336		24,703		2,186		2,028		7.2
2005		4,196		177,197		194,460		118,263		39,429		30,937		2,220		2,090		5.9
2006		4,242		190,479		203,053		128,744		45,658		33,273		2,248		2,141		4.8
2007		4,291		200,440		209,419		137,373		49,568		34,036		2,304		2,206		4.3
2008		4,349		206,427		210,903		142,034		52,692		30,085		2,349		2,242		4.6
2009		4,411		198,179		205,878		140,482		46,303		26,431		2,375		2,192		7.7
2010		4,466		206,990		211,749		144,734		49,423		30,305		2,405		2,223		7.6
2011		4,502		218,771		218,203		152,291		50,911		30,853		2,409		2,228		7.5
2012		4,567		223,328		223,329		158,221		54,486		31,066		2,429		2,263		6.8
2013		4,630		230,981		228,310		166,281		53,814		32,225		2,425		2,266		6.6
2014		4,707		243,872		236,696		172,841		59,031		34,951		2,425		2,278		6.1
2015		4,776		250,784		241,509		181,683		59,392		37,934		2,458		2,306		6.2
2016		4,859		263,912		248,262		187,000		64,897		43,556		2,532		2,380		6.0
2017		4,924		282,642		257,466		199,008		70,471		46,247		2,601		2,467		5.1
2018		5,001		295,401		264,063		207,418		73,048		46,245		2,617		2,494		4.7
2019		5,071		-		-		-		-		44,657		2,685		2,559		4.7

 

¹ As at July 1. Data take into account adjustments made for net census undercount in 1996, 2001, 2006, 2011, 2016, non-permanent residents and incompletely enumerated Indian reserves.

72 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1A Aggregate and Labour Market Indicators (continued)

						Real GDP				Primary			Gross fixed			Business									Unemployment
	Population1		Nominal GDP			(chained)				household income			capital formation			incorporations			Labour force			Employment			rate
									(annual percentage change)2
1983		1.1		5.9			0.7				0.8			(1.4	)		-			1.3			(0.7	)		1.8
1984		1.4		5.0			0.9				4.8			(1.7	)		-			1.3			0.0			1.1
1985		0.9		7.7			7.0				7.4			7.9			-			1.9			2.8			(0.7	)
1986		1.0		5.7			0.9				5.9			(4.8	)		-			2.2			4.1			(1.6	)
1987		1.5		10.5			6.1				9.0			14.5			-			2.7			3.4			(0.6	)
1988		2.2		10.7			5.5				10.6			20.6			-			2.0			4.1			(1.8	)
1989		2.6		8.8			3.2				12.1			23.3			-			3.8			5.1			(1.2	)
1990		3.0		5.0			1.5				10.5			3.4			-			2.6			3.4			(0.7	)
1991		2.5		3.2			0.3				3.9			(0.6	)		(5.2	)		2.8			1.1			1.5
1992		2.8		6.5			2.8				4.3			6.5			10.1			2.8			2.5			0.2
1993		2.9		7.4			4.7				3.7			4.3			12.5			2.7			3.1			(0.4	)
1994		3.0		6.6			2.6				5.0			13.8			12.3			3.8			4.5			(0.6	)
1995		2.8		5.4			2.6				5.3			(5.4	)		(7.5	)		1.7			2.4			(0.6	)
1996		2.6		3.1			2.5				2.9			(1.3	)		(2.6	)		1.8			1.6			0.2
1997		1.9		5.4			3.3				3.8			8.9			(1.2	)		2.3			2.6			(0.2	)
1998		0.9		1.0			1.2				2.9			(6.6	)		(9.6	)		0.3			(0.1	)		0.3
1999		0.7		4.9			3.5				4.3			0.5			1.2			1.3			1.9			(0.5	)
2000		0.7		8.6			4.6				5.5			3.7			1.8			0.8			2.0			(1.1	)
2001		0.9		1.8			0.7				2.9			8.5			(8.9	)		0.1			(0.5	)		0.5
2002		0.6		3.7			4.0				4.0			2.4			7.8			2.5			1.6			0.8
2003		0.6		5.5			2.3				3.3			8.5			7.4			1.7			2.3			(0.5	)
2004		0.8		8.3			3.9				6.3			18.0			9.6			0.7			1.5			(0.8	)
2005		1.0		7.7			5.0				6.5			14.8			25.2			1.5			3.0			(1.3	)
2006		1.1		7.5			4.4				8.9			15.8			7.6			1.3			2.4			(1.1	)
2007		1.2		5.2			3.1				6.7			8.6			2.3			2.5			3.0			(0.5	)
2008		1.4		3.0			0.7				3.4			6.3			(11.6	)		2.0			1.6			0.3
2009		1.4		(4.0	)		(2.4	)			(1.1	)		(12.1	)		(12.1	)		1.1			(2.2	)		3.1
2010		1.2		4.4			2.9				3.0			6.7			14.7			1.3			1.4			(0.1	)
2011		0.8		5.7			3.0				5.2			3.0			1.8			0.2			0.2			(0.1	)
2012		1.4		2.1			2.3				3.9			7.0			0.7			0.8			1.6			(0.7	)
2013		1.4		3.4			2.2				5.1			(1.2	)		3.7			(0.1	)		0.1			(0.2	)
2014		1.7		5.6			3.7				3.9			9.7			8.5			0.0			0.6			(0.5	)
2015		1.5		2.8			2.0				5.1			0.6			8.5			1.3			1.2			0.1
2016		1.7		5.2			2.8				2.9			9.3			14.8			3.0			3.2			(0.2	)
2017		1.3		7.1			3.7				6.4			8.6			6.2			2.7			3.7			(0.9	)
2018		1.6		4.5			2.6				4.2			3.7			(0.0	)		0.6			1.1			(0.4	)
2019		1.4		-			-				-			-			(3.4	)		2.6			2.6			0.0

¹ As at July 1. Data take into account adjustments made for net census undercount in 1996, 2001, 2006, 2011, 2016, non-permanent residents and incompletely enumerated Indian reserves.

² Annual unemployment rate expressed as percentage point difference.

Sources: Statistics Canada (Tables: 17-10-0005-01, 36-10-0222-01, 36-10-0224-01, 14-10-0327-01 - accessed June 2020) and BC Stats.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 73

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1B Prices, Earnings and Financial Indicators

									Primary		Household
					Average		Compensation		household		disposable						Conventional
	B.C.		Vancouver		weekly		of		income		income		Prime		Can/US		(5 year)
	CPI		CPI		wage rate1		employees2		per capita		per capita		rate		exchange rate		mortgage rate
	(2002=100)		(2002=100)		($)		($ millions)		(current $)		(current $)		(per cent)		(US cents)		(per cent)3
1982		57.3		56.6		-		26,380		12,156		10,085		16.0		81.1		18.1
1983		60.4		59.7		-		26,834		12,128		10,139		11.2		81.1		13.3
1984		62.8		62.1		-		27,748		12,535		10,611		12.1		77.2		13.6
1985		64.8		64.0		-		29,303		13,333		11,377		10.6		73.2		12.2
1986		66.7		66.2		-		30,408		13,980		11,863		10.6		72.0		11.2
1987		68.7		68.2		-		33,177		15,019		12,695		9.6		75.4		11.2
1988		71.2		70.6		-		36,537		16,259		13,587		10.7		81.3		11.6
1989		74.4		73.8		-		40,711		17,767		14,843		13.3		84.5		12.1
1990		78.4		77.8		-		44,656		19,067		15,528		14.1		85.7		13.3
1991		82.6		81.9		-		46,772		19,333		15,887		10.1		87.3		11.2
1992		84.8		84.3		-		49,430		19,617		16,272		7.5		82.7		9.5
1993		87.8		87.3		-		51,782		19,785		16,575		6.0		77.5		8.8
1994		89.5		89.1		-		54,492		20,164		16,744		6.8		73.2		9.4
1995		91.6		91.3		-		57,214		20,660		16,934		8.6		72.9		9.2
1996		92.4		92.1		-		58,685		20,732		16,884		6.2		73.3		8.0
1997		93.1		92.6		612.55		60,816		21,118		17,198		4.9		72.2		7.1
1998		93.4		93.0		620.99		62,340		21,549		17,491		6.7		67.4		6.9
1999		94.4		93.9		628.12		64,358		22,324		18,318		6.4		67.3		7.5
2000		96.1		96.0		639.18		68,975		23,386		18,872		7.2		67.3		8.3
2001		97.7		97.8		648.27		70,663		23,850		19,826		6.0		64.6		7.4
2002		100.0		100.0		668.48		73,752		24,668		20,996		4.2		63.7		7.0
2003		102.2		102.0		683.79		76,134		25,329		21,447		4.7		71.4		6.4
2004		104.2		104.0		687.32		81,017		26,726		22,427		4.0		76.8		6.3
2005		106.3		106.0		704.05		86,189		28,184		23,216		4.4		82.5		6.0
2006		108.1		108.0		725.69		94,384		30,351		25,108		5.8		88.2		6.6
2007		110.0		110.2		748.41		99,719		32,014		26,428		6.1		93.1		7.0
2008		112.3		112.8		779.76		103,735		32,656		27,179		4.8		93.7		7.1
2009		112.3		112.9		801.18		101,368		31,852		27,274		2.4		87.6		5.7
2010		113.8		114.9		820.49		103,864		32,411		28,225		2.6		97.1		5.6
2011		116.5		117.5		838.19		108,841		33,827		28,969		3.0		101.1		5.4
2012		117.8		119.0		853.48		112,543		34,646		29,722		3.0		100.1		5.3
2013		117.7		119.2		879.80		117,735		35,913		30,982		3.0		97.1		5.2
2014		118.9		120.5		882.22		122,520		36,719		31,512		3.0		90.5		4.9
2015		120.2		121.9		914.04		127,754		38,038		32,610		2.8		78.2		4.7
2016		122.4		124.6		920.92		130,037		38,483		33,038		2.7		75.4		4.7
2017		125.0		127.3		936.41		138,037		40,414		34,878		2.9		77.0		4.8
2018		128.4		131.0		974.82		146,219		41,474		35,749		3.6		77.2		5.3
2019		131.4		134.1		999.33		-		-		-		4.0		75.4		5.3

 

¹ Data prior to 1997 are not available.

² Component of household income account. This amount includes the wages, salaries and employers’ social contributions earned by BC residents, regardless of where they are employed.

³ The most typical of those offered by the major chartered banks.

74 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1B Prices, Earnings and Financial Indicators (continued)

											Primary			Household
						Average		Compensation			household			disposable									Conventional
	B.C.			Vancouver		weekly		of			income			income			Prime			Can/US			(5 year)
	CPI			CPI		wage rate1		employees2			per capita			per capita			rate			exchange rate			mortgage rate3
		(annual percentage change) 4
1983		5.4			5.5		-		1.7			(0.2	)		0.5			(4.8	)		0.1			(4.9	)
1984		4.0			4.0		-		3.4			3.4			4.7			0.9			(3.9	)		0.3
1985		3.2			3.1		-		5.6			6.4			7.2			(1.5	)		(4.0	)		(1.4	)
1986		2.9			3.4		-		3.8			4.9			4.3			(0.1	)		(1.3	)		(1.0	)
1987		3.0			3.0		-		9.1			7.4			7.0			(1.0	)		3.4			(0.1	)
1988		3.6			3.5		-		10.1			8.3			7.0			1.2			5.8			0.5
1989		4.5			4.5		-		11.4			9.3			9.2			2.5			3.2			0.4
1990		5.4			5.4		-		9.7			7.3			4.6			0.9			1.2			1.3
1991		5.4			5.3		-		4.7			1.4			2.3			(4.0	)		1.6			(2.1	)
1992		2.7			2.9		-		5.7			1.5			2.4			(2.6	)		(4.5	)		(1.7	)
1993		3.5			3.6		-		4.8			0.9			1.9			(1.6	)		(5.2	)		(0.8	)
1994		1.9			2.1		-		5.2			1.9			1.0			0.8			(4.3	)		0.6
1995		2.3			2.5		-		5.0			2.5			1.1			1.9			(0.4	)		(0.2	)
1996		0.9			0.9		-		2.6			0.3			(0.3	)		(2.4	)		0.5			(1.2	)
1997		0.8			0.5		-		3.6			1.9			1.9			(1.3	)		(1.1	)		(0.9	)
1998		0.3			0.4		1.4		2.5			2.0			1.7			1.7			(4.8	)		(0.1	)
1999		1.1			1.0		1.1		3.2			3.6			4.7			(0.2	)		(0.1	)		0.6
2000		1.8			2.2		1.8		7.2			4.8			3.0			0.8			0.0			0.8
2001		1.7			1.9		1.4		2.4			2.0			5.1			(1.3	)		(2.8	)		(0.9	)
2002		2.4			2.2		3.1		4.4			3.4			5.9			(1.8	)		(0.9	)		(0.4	)
2003		2.2			2.0		2.3		3.2			2.7			2.2			0.5			7.7			(0.6	)
2004		2.0			2.0		0.5		6.4			5.5			4.6			(0.7	)		5.5			(0.2	)
2005		2.0			1.9		2.4		6.4			5.5			3.5			0.4			5.7			(0.3	)
2006		1.7			1.9		3.1		9.5			7.7			8.1			1.4			5.6			0.7
2007		1.8			2.0		3.1		5.7			5.5			5.3			0.3			5.0			0.4
2008		2.1			2.4		4.2		4.0			2.0			2.8			(1.3	)		0.6			0.1
2009		-			0.1		2.7		(2.3	)		(2.5	)		0.4			(2.4	)		(6.1	)		(1.4	)
2010		1.3			1.8		2.4		2.5			1.8			3.5			0.2			9.5			(0.1	)
2011		2.4			2.3		2.2		4.8			4.4			2.6			0.4			4.0			(0.2	)
2012		1.1			1.3		1.8		3.4			2.4			2.6			0.0			(1.0	)		(0.1	)
2013		(0.1	)		0.2		3.1		4.6			3.7			4.2			0.0			(3.0	)		(0.0	)
2014		1.0			1.1		0.3		4.1			2.2			1.7			0.0			(6.6	)		(0.3	)
2015		1.1			1.2		3.6		4.3			3.6			3.5			(0.2	)		(12.3	)		(0.2	)
2016		1.8			2.2		0.8		2.5			1.2			1.3			(0.1	)		(2.8	)		(0.0	)
2017		2.1			2.2		1.7		5.4			5.0			5.6			0.2			1.6			0.1
2018		2.7			2.9		4.1		5.9			2.6			2.5			0.7			0.1			0.5
2019		2.3			2.4		2.5		-			-			-			0.4			(1.8	)		0.0

¹ Data prior to 1997 are not available.

² Component of household income account. This amount includes the wages, salaries and employers’ social contributions earned by BC residents, regardless of where they are employed.

³ The most typical of those offered by the major chartered banks.

⁴ Prime rate, exchange rate and conventional (5 year) mortgage rates expressed as percentage point difference.

Sources: Statistics Canada (Tables: 18-10-0005-01, 14-10-0064-01, 36-10-0224-01, 10-10-0122-01, 10-10-0009-01, 10-10-0145-01 - accessed June 2020), Bank of Canada and BC Stats.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 75

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1C Other Indicators

	Manufacturing				Housing		Non-residential		MLS home		MLS average		Tourism		High-tech		B.C. international
	shipments		Retail sales		starts		building permits		sales		home sale price		GDP1		GDP2		goods exports
	($ millions)		($ millions)		(units)		($ millions)		(units)		($)		($ millions)		($ millions)		($ millions)
1982		-		-		19,807		1,026		25,040		93,951		-		-		12,353
1983		-		-		22,607		775		32,131		95,620		-		-		13,244
1984		-		-		16,169		827		30,955		90,923		-		-		15,748
1985		-		-		17,969		812		43,530		87,957		-		-		13,591
1986		-		-		20,687		912		46,145		92,852		-		-		13,033
1987		-		-		28,944		999		56,376		101,916		-		-		15,883
1988		-		-		30,487		1,647		67,460		121,040		-		-		17,405
1989		-		-		38,894		1,812		83,652		151,400		-		-		17,775
1990		-		-		36,720		1,833		58,027		157,616		-		-		16,607
1991		-		25,022		31,875		1,803		84,554		168,235		-		-		15,253
1992		24,398		26,194		40,621		2,082		93,564		189,999		-		-		16,336
1993		26,583		28,463		42,807		1,944		80,919		211,992		-		-		19,034
1994		30,333		31,770		39,408		1,772		75,315		228,154		-		-		22,856
1995		34,207		34,219		27,057		1,966		58,172		221,749		-		-		26,874
1996		32,932		34,775		27,641		1,957		72,033		218,933		-		-		25,717
1997		33,496		36,591		29,351		1,960		68,139		220,504		-		6,282		26,699
1998		31,757		35,762		19,931		2,022		52,868		212,082		-		6,498		25,942
1999		36,679		36,373		16,309		2,104		57,941		215,611		-		6,506		29,044
2000		40,699		38,435		14,418		2,089		54,163		221,367		-		7,309		33,640
2001		38,303		40,719		17,234		2,125		69,534		222,803		-		7,380		31,680
2002		38,610		43,265		21,625		1,771		82,618		238,903		-		7,584		28,828
2003		39,772		44,421		26,174		1,880		93,158		260,087		-		8,507		28,265
2004		41,607		47,219		32,925		2,070		96,430		289,207		-		8,968		31,008
2005		42,883		49,380		34,667		3,212		106,431		332,300		-		9,767		34,167
2006		44,480		53,136		36,443		3,921		96,764		390,920		-		10,513		33,466
2007		42,418		56,936		39,195		3,933		103,027		439,095		5,440		11,440		31,524
2008		39,435		57,794		34,321		3,678		68,991		454,290		5,460		11,714		33,124
2009		32,951		55,288		16,077		3,139		85,240		465,250		5,396		11,685		25,240
2010		35,575		58,251		26,479		3,018		74,999		504,460		5,715		12,079		28,646
2011		37,998		60,090		26,400		3,136		77,080		560,333		5,764		12,906		32,671
2012		38,491		61,217		27,465		4,048		67,732		514,313		6,061		13,564		31,484
2013		40,189		62,944		27,054		3,108		73,079		536,835		6,311		13,752		33,421
2014		43,858		66,916		28,356		3,729		84,207		567,848		6,774		14,595		35,832
2015		45,090		71,609		31,446		3,680		102,694		635,848		7,259		15,192		35,497
2016		47,167		77,109		41,843		3,392		112,426		690,355		8,258		16,152		38,423
2017		51,394		84,291		43,664		4,212		103,965		708,868		9,041		17,087		43,241
2018		54,286		85,954		40,857		5,691		78,516		711,564		9,521		17,862		46,340
2019		52,964		86,492		44,932		6,121		77,347		700,385		-		-		43,494

 

¹ Data prior to 2007 are not available.

² Data prior to 1997 are not available.

76 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1C Other Indicators (continued)

	Manufacturing						Housing			Non-residential			MLS Home			MLS Average			Tourism			High-tech			B.C. international
	shipments			Retail sales			starts			building permits			Sales			Home Sale Price			GDP1			GDP2			goods exports
	(annual percentage change)
1983		-			-			14.1			(24.5	)		28.3			1.8			-			-			7.2
1984		-			-			(28.5	)		6.7			(3.7	)		(4.9	)		-			-			18.9
1985		-			-			11.1			(1.7	)		40.6			(3.3	)		-			-			(13.7	)
1986		-			-			15.1			12.3			6.0			5.6			-			-			(4.1	)
1987		-			-			39.9			9.6			22.2			9.8			-			-			21.9
1988		-			-			5.3			64.9			19.7			18.8			-			-			9.6
1989		-			-			27.6			10.0			24.0			25.1			-			-			2.1
1990		-			-			(5.6	)		1.2			(30.6	)		4.1			-			-			(6.6	)
1991		-			-			(13.2	)		(1.6	)		45.7			6.7			-			-			(8.2	)
1992		-			4.7			27.4			15.5			10.7			12.9			-			-			7.1
1993		9.0			8.7			5.4			(6.7	)		(13.5	)		11.6			-			-			16.5
1994		14.1			11.6			(7.9	)		(8.9	)		(6.9	)		7.6			-			-			20.1
1995		12.8			7.7			(31.3	)		11.0			(22.8	)		(2.8	)		-			-			17.6
1996		(3.7	)		1.6			2.2			(0.4	)		23.8			(1.3	)		-			-			(4.3	)
1997		1.7			5.2			6.2			0.1			(5.4	)		0.7			-			-			3.8
1998		(5.2	)		(2.3	)		(32.1	)		3.2			(22.4	)		(3.8	)		-			3.4			(2.8	)
1999		15.5			1.7			(18.2	)		4.0			9.6			1.7			-			0.1			12.0
2000		11.0			5.7			(11.6	)		(0.7	)		(6.5	)		2.7			-			12.3			15.8
2001		(5.9	)		5.9			19.5			1.7			28.4			0.6			-			1.0			(5.8	)
2002		0.8			6.3			25.5			(16.6	)		18.8			7.2			-			2.8			(9.0	)
2003		3.0			2.7			21.0			6.1			12.8			8.9			-			12.2			(2.0	)
2004		4.6			6.3			25.8			10.1			3.5			11.2			-			5.4			9.7
2005		3.1			4.6			5.3			55.2			10.4			14.9			-			8.9			10.2
2006		3.7			7.6			5.1			22.1			(9.1	)		17.6			-			7.6			(2.1	)
2007		(4.6	)		7.2			7.6			0.3			6.5			12.3			-			8.8			(5.8	)
2008		(7.0	)		1.5			(12.4	)		(6.5	)		(33.0	)		3.5			0.4			2.4			5.1
2009		(16.4	)		(4.3	)		(53.2	)		(14.7	)		23.6			2.4			(1.2	)		(0.2	)		(23.8	)
2010		8.0			5.4			64.7			(3.9	)		(12.0	)		8.4			5.9			3.4			13.5
2011		6.8			3.2			(0.3	)		3.9			2.8			11.1			0.9			6.8			14.1
2012		1.3			1.9			4.0			29.1			(12.1	)		(8.2	)		5.2			5.1			(3.6	)
2013		4.4			2.8			(1.5	)		(23.2	)		7.9			4.4			4.1			1.4			6.2
2014		9.1			6.3			4.8			20.0			15.2			5.8			7.3			6.1			7.2
2015		2.8			7.0			10.9			(1.3	)		22.0			12.0			7.2			4.1			(0.9	)
2016		4.6			7.7			33.1			(7.8	)		9.5			8.6			13.8			6.3			8.2
2017		9.0			9.3			4.4			24.2			(7.5	)		2.7			9.5			5.8			12.5
2018		5.6			2.0			(6.4	)		35.1			(24.5	)		0.4			5.3			4.5			7.2
2019		(2.4	)		0.6			10.0			7.5			(1.5	)		(1.6	)		-			-			(6.1	)

¹ Data prior to 2007 are not available.

² Data prior to 1997 are not available. Sources: Statistics Canada (Tables: 16-10-0048-01, 20-10-0008-01, 34-10-0135-01, 34-10-0066-01, 34-10-0003-01 - accessed June 2020); Canadian Real Estate Association; Haver Analytics and BC Stats.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 77

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1D Commodity Production Indicators

	Lumber 1		Timber scale		Pulp		Newsprint, etc		Oil & natural		Coal		Solid mineral		Electric pwr		Farm cash		Landed value of
	production		data		production		production		gas production		production		shipments		generated		receipts		seafood products
	(thousand m3)		(thousand m3)		(000 tonnes)		(000 tonnes)		($ millions)		(000 tonnes)		($ millions)		(GW.h)		($ millions)		($ millions)
1982		23,855		-		2,823		1,872		-		11,769		2,769		48,238		962		241
1983		30,773		-		3,267		2,148		-		11,717		2,903		47,213		917		210
1984		30,884		-		3,051		2,084		-		20,771		3,346		52,369		1,005		243
1985		32,994		76,869		3,442		2,470		-		22,993		3,541		59,126		1,061		378
1986		31,468		77,503		3,727		2,628		-		20,361		3,160		50,759		1,106		405
1987		37,336		90,592		4,291		2,759		-		21,990		3,615		63,066		1,122		455
1988		36,736		86,808		4,354		2,878		-		24,942		3,943		60,943		1,206		573
1989		35,952		86,793		4,281		2,862		585		24,800		4,123		57,655		1,255		513
1990		33,514		78,045		3,709		3,002		902		24,557		3,954		60,662		1,299		559
1991		31,406		73,449		3,957		2,721		858		24,965		3,840		62,981		1,342		492
1992		33,396		73,937		3,954		2,692		890		17,173		3,500		64,058		1,404		533
1993		33,935		79,232		3,981		3,067		1,089		20,633		3,538		58,774		1,446		605
1994		33,671		75,639		4,670		2,947		1,270		22,583		4,066		61,015		1,538		728
1995		32,611		75,430		4,773		2,836		1,040		24,350		4,501		58,006		1,586		604
1996		32,671		73,099		4,473		2,842		1,333		25,420		4,340		71,765		1,706		590
1997		31,562		69,155		4,532		2,260		1,588		27,830		4,681		66,961		1,738		604
1998		30,238		65,451		4,296		2,781		1,574		24,800		4,466		67,710		1,780		547
1999		32,397		75,878		4,921		3,047		2,091		24,845		4,536		68,045		1,885		613
2000		34,346		76,009		5,324		3,106		4,783		25,681		7,901		68,241		2,024		667
2001		32,606		69,796		4,512		2,901		5,666		27,006		8,623		57,332		2,201		647
2002		35,501		75,208		4,465		2,894		4,251		24,397		2,864		64,945		2,174		664
2003		36,052		74,899		4,785		2,894		6,230		23,073		2,887		63,051		2,248		645
2004		39,951		81,679		4,777		3,035		6,784		27,314		3,740		60,496		2,360		635
2005		41,129		83,590		4,937		2,977		8,967		26,715		5,384		67,774		2,389		706
2006		41,198		80,350		4,742		3,007		7,148		23,057		5,991		61,598		2,346		788
2007		36,811		72,675		4,730		2,761		6,934		25,725		5,611		71,830		2,381		727
2008		28,263		61,137		4,115		2,519		9,264		26,163		7,403		66,072		2,522		718
2009		22,935		48,822		3,547		2,092		4,120		21,193		5,622		65,057		2,525		700
2010		26,831		63,336		4,262		1,618		4,528		26,040		7,166		64,224		2,547		873
2011		28,414		69,580		4,502		1,552		4,945		27,431		8,982		69,257		2,688		813
2012		29,164		68,133		4,444		1,444		3,415		28,777		7,826		73,584		2,845		713
2013		30,023		71,053		4,296		1,419		4,676		31,132		7,112		67,851		2,883		775
2014		29,635		66,382		4,294		1,432		6,996		29,392		6,815		67,008		3,037		862
2015		30,612		68,661		4,320		1,251		3,543		25,551		6,186		71,771		3,188		885
2016		31,448		66,234		4,223		1,143		3,079		26,027		6,704		69,703		3,119		1,180
2017		30,337		64,495		4,215		1,119		3,964		26,005		9,178		74,476		3,255		1,168
2018		29,200		67,639		4,089		1,040		4,755		x		9,783		69,080		3,462		1,291
2019		22,839		53,705		4,091		838		4,303		x		8,800		-		3,924		-

 

¹ Total lumber production is total softwood production.

^x Suppressed to meet the confidentiality requirements of the Statistics Act.

78 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.1D Commodity Production Indicators (continued)

	Lumber 1			Timber scale			Pulp			Newsprint, etc			Oil & natural			Coal			Solid mineral			Electric pwr			Farm cash			Landed value of
	production			data			production			production			gas production			production			shipments			generated			receipts			seafood products
	(annual percentage change)
1983		29.0			-			15.7			14.7			-			(0.4	)		4.8			(2.1	)		(4.7	)		(12.9	)
1984		0.4			-			(6.6	)		(3.0	)		-			77.3			15.3			10.9			9.6			15.7
1985		6.8			-			12.8			18.5			-			10.7			5.8			12.9			5.7			55.6
1986		(4.6	)		0.8			8.3			6.4			-			(11.4	)		(10.8	)		(14.2	)		4.2			7.1
1987		18.6			16.9			15.1			5.0			-			8.0			14.4			24.2			1.4			12.3
1988		(1.6	)		(4.2	)		1.5			4.3			-			13.4			9.1			(3.4	)		7.6			25.9
1989		(2.1	)		(0.0	)		(1.7	)		(0.6	)		-			(0.6	)		4.6			(5.4	)		4.0			(10.5	)
1990		(6.8	)		(10.1	)		(13.4	)		4.9			54.0			(1.0	)		(4.1	)		5.2			3.5			9.0
1991		(6.3	)		(5.9	)		6.7			(9.4	)		(4.8	)		1.7			(2.9	)		3.8			3.3			(12.0	)
1992		6.3			0.7			(0.1	)		(1.1	)		3.7			(31.2	)		(8.9	)		1.7			4.7			8.3
1993		1.6			7.2			0.7			13.9			22.4			20.1			1.1			(8.2	)		3.0			13.5
1994		(0.8	)		(4.5	)		17.3			(3.9	)		16.6			9.5			14.9			3.8			6.4			20.3
1995		(3.1	)		(0.3	)		2.2			(3.8	)		(18.1	)		7.8			10.7			(4.9	)		3.1			(17.0	)
1996		0.2			(3.1	)		(6.3	)		0.2			28.2			4.4			(3.6	)		23.7			7.6			(2.3	)
1997		(3.4	)		(5.4	)		1.3			(20.5	)		19.1			9.5			7.9			(6.7	)		1.9			2.4
1998		(4.2	)		(5.4	)		(5.2	)		23.1			(0.9	)		(10.9	)		(4.6	)		1.1			2.4			(9.4	)
1999		7.1			15.9			14.5			9.6			32.8			0.2			1.6			0.5			5.9			12.1
2000		6.0			0.2			8.2			1.9			128.7			3.4			74.2			0.3			7.4			8.8
2001		(5.1	)		(8.2	)		(15.3	)		(6.6	)		18.5			5.2			9.1			(16.0	)		8.7			(3.0	)
2002		8.9			7.8			(1.0	)		(0.2	)		(25.0	)		(9.7	)		(66.8	)		13.3			(1.2	)		2.6
2003		1.6			(0.4	)		7.2			-			46.6			(5.4	)		0.8			(2.9	)		3.4			(2.9	)
2004		10.8			9.1			(0.2	)		4.9			8.9			18.4			29.5			(4.1	)		5.0			(1.6	)
2005		2.9			2.3			3.3			(1.9	)		32.2			(2.2	)		44.0			12.0			1.3			11.2
2006		0.2			(3.9	)		(3.9	)		1.0			(20.3	)		(13.7	)		11.3			(9.1	)		(1.8	)		11.6
2007		(10.6	)		(9.6	)		(0.3	)		(8.2	)		(3.0	)		11.6			(6.3	)		16.6			1.5			(7.7	)
2008		(23.2	)		(15.9	)		(13.0	)		(8.8	)		33.6			1.7			31.9			(8.0	)		5.9			(1.2	)
2009		(18.9	)		(20.1	)		(13.8	)		(17.0	)		(55.5	)		(19.0	)		(24.1	)		(1.5	)		0.1			(2.5	)
2010		17.0			29.7			20.2			(22.7	)		9.9			22.9			27.5			(1.3	)		0.9			24.8
2011		5.9			9.9			5.6			(4.1	)		9.2			5.3			25.3			7.8			5.5			(7.0	)
2012		2.6			(2.1	)		(1.3	)		(7.0	)		(30.9	)		4.9			(12.9	)		6.2			5.8			(12.3	)
2013		2.9			4.3			(3.3	)		(1.7	)		36.9			8.2			(9.1	)		(7.8	)		1.3			8.8
2014		(1.3	)		(6.6	)		(0.0	)		0.9			49.6			(5.6	)		(4.2	)		(1.2	)		5.4			11.2
2015		3.3			3.4			0.6			(12.6	)		(49.4	)		(13.1	)		(9.2	)		7.1			5.0			2.7
2016		2.7			(3.5	)		(2.2	)		(8.6	)		(13.1	)		1.9			8.4			(2.9	)		(2.2	)		33.3
2017		(3.5	)		(2.6	)		(0.2	)		(2.1	)		28.7			(0.1	)		36.9			6.8			4.4			(1.0	)
2018		(3.7	)		4.9			(3.0	)		(7.1	)		20.0			-			6.6			(7.2	)		6.4			10.5
2019		(21.8	)		(20.6	)		0.0			(19.4	)		(9.5	)		-			(10.1	)		-			13.3			-

1	Total lumber production is total softwood production. Sources:
	Statistics Canada (Table: 16-10-0017-01, 16-10-0045-01, 25-10-0046-01, 25-10-0021-01, 32-10-0046-01 - accessed June 2020); Ministry of Agriculture; Ministry of Forests, Lands and Natural Resource Operations, and Rural Development; Ministry of Energy, Mines and Petroleum Resources; Natural Resources Canada and BC Stats.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 79

APPENDIX 1 – ECONOMIC REVIEW SUPPLEMENTARY TABLES

Table A1.2 British Columbia Real GDP at Market Prices, Expenditure Based

			General												General
	Household		Governments										Business		Governments
	Final		Final				Non-		Machinery		Intellectual		Gross Fixed		Gross Fixed
	Consumption		Consumption		Residential		residential		and		Property		Capital		Capital
	Expenditure		Expenditure		Structures		Structures		Equipment		Products		Formation		Formation		Exports		Imports		Real GDP
									(millions of 2012 $, chained)
1982		54,284		25,819		6,252		8,136		1,816		477		15,312		2,623		29,217		28,134		97,936
1983		54,543		25,571		6,633		8,661		1,353		509		14,745		2,878		30,779		30,165		98,655
1984		55,969		25,561		6,305		7,504		1,452		610		14,082		2,945		32,978		32,694		99,550
1985		58,030		26,191		6,817		7,055		1,642		645		14,661		3,593		36,256		33,754		106,567
1986		59,253		26,429		7,509		5,489		1,564		628		13,838		3,249		38,048		35,006		107,559
1987		62,383		26,740		8,934		5,753		1,913		681		15,979		3,467		41,273		37,988		114,142
1988		65,379		28,017		9,955		6,896		2,567		879		19,300		3,200		43,541		41,126		120,448
1989		69,152		28,373		11,457		7,674		3,081		983		22,273		4,089		42,822		45,022		124,256
1990		72,042		29,403		11,655		7,464		3,113		1,227		22,583		4,080		42,344		46,941		126,129
1991		72,471		31,073		11,010		7,890		3,191		1,231		22,520		4,626		43,018		47,386		126,535
1992		74,713		32,140		13,535		6,166		3,185		1,229		23,455		4,638		45,157		49,588		130,049
1993		77,151		32,588		13,875		5,649		3,091		1,603		23,560		4,728		46,950		49,290		136,155
1994		80,289		32,870		13,955		6,879		3,510		2,315		25,912		5,438		50,039		57,258		139,733
1995		82,775		32,306		12,270		7,541		3,587		1,825		24,600		5,053		53,082		57,974		143,402
1996		85,806		32,946		12,459		6,661		3,675		1,841		24,294		5,434		53,351		57,506		147,052
1997		89,016		32,876		13,071		8,876		4,066		1,946		27,333		4,729		55,463		61,586		151,968
1998		90,175		33,385		11,314		6,781		4,496		2,408		25,452		4,532		56,944		60,891		153,811
1999		92,443		33,624		10,499		7,527		4,517		2,077		25,097		5,332		61,911		64,595		159,162
2000		95,344		34,897		10,563		7,289		4,897		2,513		26,065		5,403		67,308		69,598		166,405
2001		97,251		36,032		11,629		8,404		4,811		3,164		28,386		5,458		66,794		69,764		167,541
2002		100,887		36,560		13,554		7,875		4,681		2,704		28,868		5,212		67,270		69,848		174,214
2003		104,235		36,720		14,601		8,599		4,693		3,238		30,948		5,443		69,226		73,588		178,240
2004		108,952		36,511		17,112		9,487		5,274		3,697		35,317		6,299		72,828		79,354		185,250
2005		113,429		36,946		18,352		9,974		6,342		3,941		38,637		7,517		76,457		84,079		194,460
2006		120,181		37,399		19,671		11,813		7,355		4,181		43,107		7,778		79,417		90,710		203,053
2007		126,699		39,404		20,099		11,191		8,044		4,863		44,436		8,093		81,168		95,697		209,419
2008		129,782		40,961		19,096		12,832		8,067		5,102		45,183		8,551		78,546		96,459		210,903
2009		130,162		41,455		17,460		11,376		6,129		4,188		39,098		8,571		73,286		89,411		205,878
2010		135,142		41,761		17,494		12,170		7,237		4,611		41,533		9,222		79,025		97,377		211,749
2011		137,998		42,612		17,987		13,734		7,500		4,657		43,876		7,334		82,874		100,829		218,203
2012		140,749		43,344		19,282		14,937		7,812		4,134		46,165		8,041		85,442		104,682		223,329
2013		144,336		43,347		19,396		14,618		7,182		4,243		45,442		7,339		88,297		105,680		228,310
2014		149,395		42,520		20,558		16,070		7,814		4,030		48,478		7,817		94,851		111,054		236,696
2015		155,326		43,451		22,528		14,103		6,832		3,367		46,833		7,694		94,041		109,916		241,509
2016		160,338		44,179		25,916		12,661		7,744		3,420		49,843		7,859		97,054		115,448		248,262
2017		167,702		45,468		25,877		14,577		8,002		3,452		51,923		8,977		99,666		121,912		257,466
2018		171,502		46,821		25,242		14,818		8,443		3,694		52,144		9,547		103,871		125,445		264,063
2019		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a

 

80 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1.2 British Columbia Real GDP at Market Prices, Expenditure Based (continued) 

			General																		General
	Household		Governments															Business			Governments
	Final		Final						Non-			Machinery			Intellectual			Gross Fixed			Gross Fixed
	Consumption		Consumption			Residential			residential			and			Property			Capital			Capital
	Expenditure		Expenditure			Structures			Structures			Equipment			Products			Formation			Formation			Exports			Imports			Real GDP
	(annual percentage change)
1983		0.5		(1.0	)		6.1			6.5			(25.5	)		6.7			(3.7	)		9.7			5.3			7.2			0.7
1984		2.6		(0.0	)		(4.9	)		(13.4	)		7.3			19.8			(4.5	)		2.3			7.1			8.4			0.9
1985		3.7		2.5			8.1			(6.0	)		13.1			5.7			4.1			22.0			9.9			3.2			7.0
1986		2.1		0.9			10.2			(22.2	)		(4.8	)		(2.6	)		(5.6	)		(9.6	)		4.9			3.7			0.9
1987		5.3		1.2			19.0			4.8			22.3			8.4			15.5			6.7			8.5			8.5			6.1
1988		4.8		4.8			11.4			19.9			34.2			29.1			20.8			(7.7	)		5.5			8.3			5.5
1989		5.8		1.3			15.1			11.3			20.0			11.8			15.4			27.8			(1.7	)		9.5			3.2
1990		4.2		3.6			1.7			(2.7	)		1.0			24.8			1.4			(0.2	)		(1.1	)		4.3			1.5
1991		0.6		5.7			(5.5	)		5.7			2.5			0.3			(0.3	)		13.4			1.6			0.9			0.3
1992		3.1		3.4			22.9			(21.9	)		(0.2	)		(0.2	)		4.2			0.3			5.0			4.6			2.8
1993		3.3		1.4			2.5			(8.4	)		(3.0	)		30.4			0.4			1.9			4.0			(0.6	)		4.7
1994		4.1		0.9			0.6			21.8			13.6			44.4			10.0			15.0			6.6			16.2			2.6
1995		3.1		(1.7	)		(12.1	)		9.6			2.2			(21.2	)		(5.1	)		(7.1	)		6.1			1.3			2.6
1996		3.7		2.0			1.5			(11.7	)		2.5			0.9			(1.2	)		7.5			0.5			(0.8	)		2.5
1997		3.7		(0.2	)		4.9			33.3			10.6			5.7			12.5			(13.0	)		4.0			7.1			3.3
1998		1.3		1.5			(13.4	)		(23.6	)		10.6			23.7			(6.9	)		(4.2	)		2.7			(1.1	)		1.2
1999		2.5		0.7			(7.2	)		11.0			0.5			(13.7	)		(1.4	)		17.7			8.7			6.1			3.5
2000		3.1		3.8			0.6			(3.2	)		8.4			21.0			3.9			1.3			8.7			7.7			4.6
2001		2.0		3.3			10.1			15.3			(1.8	)		25.9			8.9			1.0			(0.8	)		0.2			0.7
2002		3.7		1.5			16.6			(6.3	)		(2.7	)		(14.5	)		1.7			(4.5	)		0.7			0.1			4.0
2003		3.3		0.4			7.7			9.2			0.3			19.7			7.2			4.4			2.9			5.4			2.3
2004		4.5		(0.6	)		17.2			10.3			12.4			14.2			14.1			15.7			5.2			7.8			3.9
2005		4.1		1.2			7.2			5.1			20.3			6.6			9.4			19.3			5.0			6.0			5.0
2006		6.0		1.2			7.2			18.4			16.0			6.1			11.6			3.5			3.9			7.9			4.4
2007		5.4		5.4			2.2			(5.3	)		9.4			16.3			3.1			4.0			2.2			5.5			3.1
2008		2.4		4.0			(5.0	)		14.7			0.3			4.9			1.7			5.7			(3.2	)		0.8			0.7
2009		0.3		1.2			(8.6	)		(11.3	)		(24.0	)		(17.9	)		(13.5	)		0.2			(6.7	)		(7.3	)		(2.4	)
2010		3.8		0.7			0.2			7.0			18.1			10.1			6.2			7.6			7.8			8.9			2.9
2011		2.1		2.0			2.8			12.9			3.6			1.0			5.6			(20.5	)		4.9			3.5			3.0
2012		2.0		1.7			7.2			8.8			4.2			(11.2	)		5.2			9.6			3.1			3.8			2.3
2013		2.5		0.0			0.6			(2.1	)		(8.1	)		2.6			(1.6	)		(8.7	)		3.3			1.0			2.2
2014		3.5		(1.9	)		6.0			9.9			8.8			(5.0	)		6.7			6.5			7.4			5.1			3.7
2015		4.0		2.2			9.6			(12.2	)		(12.6	)		(16.5	)		(3.4	)		(1.6	)		(0.9	)		(1.0	)		2.0
2016		3.2		1.7			15.0			(10.2	)		13.3			1.6			6.4			2.1			3.2			5.0			2.8
2017		4.6		2.9			(0.2	)		15.1			3.3			0.9			4.2			14.2			2.7			5.6			3.7
2018		2.3		3.0			(2.5	)		1.7			5.5			7.0			0.4			6.3			4.2			2.9			2.6
2019		n/a		n/a			n/a			n/a			n/a			n/a			n/a			n/a			n/a			n/a			n/a

Source: Statistics Canada (Table 36-10-0222-01 – accessed June 2020).

2020 Financial And Economic Review – September 2020 | 81

Appendix 1 – Economic Review Supplementary Tables

Table A1.3 British Columbia GDP at Basic Prices, by Industry

	Crop and		Fishing,		Forestry		Support Activities		Mining, Quarrying								Transportation		Wholesale		Finance		Real Estate						Real GDP
	Animal		Hunting and		and		for Agriculture		Oil and Gas								and		and Retail		and		and Rental		Other		Public		at Basic
	Production		Trapping		Logging		and Forestry		Extraction		Manufacturing		Construction		Utilities		Warehousing		Trade		Insurance		and Leasing		Services1		Administration		Prices
	(millions of 2012 $, chained)
1997		1,548		317		2,299		708		7,146		11,247		10,208		3,277		8,152		12,424		8,554		21,233		45,749		9,304		141,853
1998		1,609		212		2,334		737		7,024		11,101		9,125		3,422		8,203		13,027		8,103		21,783		47,359		9,320		143,234
1999		1,722		165		2,195		695		7,163		12,603		8,993		3,647		8,460		13,287		8,682		22,453		47,952		9,641		147,986
2000		1,677		182		2,039		783		7,897		14,789		8,823		4,252		9,019		13,874		8,468		23,086		49,409		9,836		154,966
2001		1,978		151		2,013		723		8,856		13,713		8,971		3,038		8,997		14,356		8,371		23,815		50,472		10,038		155,831
2002		1,950		187		2,057		659		8,158		13,748		9,566		3,706		9,126		15,111		8,545		25,241		52,793		10,473		161,762
2003		2,086		184		2,036		706		8,015		13,934		10,337		3,642		9,166		15,690		8,848		26,011		54,213		10,421		165,800
2004		2,217		205		2,306		671		8,392		15,050		11,639		3,659		9,461		16,341		9,349		26,909		55,273		10,464		172,580
2005		2,292		196		2,290		693		9,382		15,719		12,582		4,139		10,257		17,084		9,650		28,230		57,119		10,467		180,855
2006		2,375		218		2,188		678		9,410		16,602		13,777		3,511		10,357		18,284		10,604		29,385		60,086		10,986		189,186
2007		2,503		174		2,055		694		8,196		16,438		14,616		4,384		10,414		19,389		11,112		30,979		62,279		11,291		194,683
2008		2,411		149		1,813		599		8,429		15,122		15,384		4,373		10,197		19,324		10,863		31,654		63,339		11,925		195,789
2009		2,529		156		1,248		604		7,548		13,029		14,532		4,282		10,196		18,413		10,683		32,807		62,136		12,619		190,709
2010		2,581		181		1,533		621		8,587		13,798		14,895		4,143		10,433		19,032		11,170		33,943		62,064		12,779		195,819
2011		2,656		172		1,814		694		9,218		14,272		14,987		4,529		10,749		19,375		11,470		34,980		63,356		13,015		201,413
2012		2,655		150		1,860		678		8,942		14,693		16,797		4,587		10,983		20,058		11,404		36,365		64,681		12,736		206,591
2013		2,810		172		2,011		670		9,188		14,623		16,699		4,507		11,534		21,065		11,821		37,657		66,167		12,666		211,555
2014		2,792		196		1,977		702		9,729		15,427		18,167		4,554		12,154		21,480		12,110		39,164		68,203		12,473		219,061
2015		2,973		195		1,970		733		9,423		15,845		18,108		4,805		12,624		21,627		12,569		40,757		69,803		12,607		224,153
2016		2,921		174		1,807		721		9,668		16,517		18,322		5,023		12,847		22,551		13,010		42,387		71,929		12,754		230,764
2017		2,881		157		1,755		730		9,683		17,538		19,825		5,002		13,774		23,891		13,566		43,671		74,095		13,135		239,852
2018		3,066		153		1,844		755		10,848		17,621		20,562		4,833		14,374		24,124		13,942		44,275		76,173		13,615		246,260
2019		3,306		119		1,488		759		10,920		17,383		22,650		4,868		14,729		24,310		14,432		45,753		78,322		13,958		253,049

¹ Other Services includes health care and social assistance, professional, scientific and technical services, educational services, information and cultural industries, accommodation and food services, administrative and support, waste management and remediation services, arts, entertainment and recreation, and management of companies and enterprises.

82 |  2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1.3 British Columbia GDP at Basic Prices, by Industry (continued )

	Crop and			Fishing,			Forestry			Support Activities			Mining, Quarrying												Transportation			Wholesale			Finance			Real Estate								Real GDP
	Animal			Hunting and			and			for Agriculture			Oil and Gas												and			and Retail			and			and Rental		Other			Public			at Basic
	Production			Trapping			Logging			and Forestry			Extraction			Manufacturing			Construction			Utilities			Warehousing			Trade			Insurance			and Leasing		Services1			Administration			Prices
	(annual percentage change)
1998		4.0			(33.2	)		1.5			4.1			(1.7	)		(1.3	)		(10.6	)		4.4			0.6			4.9			(5.3	)		2.6		3.5			0.2			1.0
1999		7.0			(22.2	)		(6.0	)		(5.7	)		2.0			13.5			(1.4	)		6.6			3.1			2.0			7.1			3.1		1.3			3.4			3.3
2000		(2.6	)		10.5			(7.1	)		12.7			10.3			17.3			(1.9	)		16.6			6.6			4.4			(2.5	)		2.8		3.0			2.0			4.7
2001		18.0			(17.1	)		(1.3	)		(7.6	)		12.1			(7.3	)		1.7			(28.5	)		(0.2	)		3.5			(1.1	)		3.2		2.2			2.0			0.6
2002		(1.4	)		24.0			2.2			(8.8	)		(7.9	)		0.3			6.6			22.0			1.4			5.3			2.1			6.0		4.6			4.3			3.8
2003		7.0			(1.7	)		(1.0	)		7.1			(1.8	)		1.4			8.1			(1.7	)		0.4			3.8			3.5			3.1		2.7			(0.5	)		2.5
2004		6.3			11.4			13.3			(5.1	)		4.7			8.0			12.6			0.5			3.2			4.1			5.7			3.5		2.0			0.4			4.1
2005		3.4			(4.6	)		(0.7	)		3.3			11.8			4.4			8.1			13.1			8.4			4.5			3.2			4.9		3.3			0.0			4.8
2006		3.6			11.6			(4.5	)		(2.2	)		0.3			5.6			9.5			(15.2	)		1.0			7.0			9.9			4.1		5.2			5.0			4.6
2007		5.4			(20.1	)		(6.1	)		2.4			(12.9	)		(1.0	)		6.1			24.9			0.5			6.0			4.8			5.4		3.7			2.8			2.9
2008		(3.7	)		(14.3	)		(11.8	)		(13.7	)		2.8			(8.0	)		5.3			(0.3	)		(2.1	)		(0.3	)		(2.2	)		2.2		1.7			5.6			0.6
2009		4.9			4.4			(31.2	)		0.9			(10.5	)		(13.8	)		(5.5	)		(2.1	)		(0.0	)		(4.7	)		(1.6	)		3.6		(1.9	)		5.8			(2.6	)
2010		2.1			15.9			22.9			2.7			13.8			5.9			2.5			(3.3	)		2.3			3.4			4.6			3.5		(0.1	)		1.3			2.7
2011		2.9			(5.1	)		18.3			11.8			7.3			3.4			0.6			9.3			3.0			1.8			2.7			3.1		2.1			1.8			2.9
2012		(0.0	)		(12.8	)		2.6			(2.3	)		(3.0	)		3.0			12.1			1.3			2.2			3.5			(0.6	)		4.0		2.1			(2.1	)		2.6
2013		5.8			15.2			8.1			(1.2	)		2.8			(0.5	)		(0.6	)		(1.7	)		5.0			5.0			3.7			3.6		2.3			(0.5	)		2.4
2014		(0.6	)		13.5			(1.7	)		4.7			5.9			5.5			8.8			1.0			5.4			2.0			2.4			4.0		3.1			(1.5	)		3.5
2015		6.5			(0.1	)		(0.4	)		4.5			(3.1	)		2.7			(0.3	)		5.5			3.9			0.7			3.8			4.1		2.3			1.1			2.3
2016		(1.7	)		(11.0	)		(8.3	)		(1.7	)		2.6			4.2			1.2			4.5			1.8			4.3			3.5			4.0		3.0			1.2			2.9
2017		(1.4	)		(9.5	)		(2.9	)		1.2			0.2			6.2			8.2			(0.4	)		7.2			5.9			4.3			3.0		3.0			3.0			3.9
2018		6.4			(2.9	)		5.1			3.5			12.0			0.5			3.7			(3.4	)		4.4			1.0			2.8			1.4		2.8			3.7			2.7
2019		7.8			(21.9	)		(19.3	)		0.5			0.7			(1.4	)		10.2			0.7			2.5			0.8			3.5			3.3		2.8			2.5			2.8

¹ Other Services includes health care and social assistance, professional, scientific and technical services, educational services, information and cultural industries, accommodation and food services, administrative and support, waste management and remediation services, arts, entertainment and recreation, and management of companies and enterprises. Source: Statistics Canada (Table: 36-10-0402-01 – accessed June 2020).

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 83

Appendix 1 – Economic Review Supplementary Tables

Table A1.4 British Columbia GDP, Income Based

					Net				Consumption of						Consumption of				Taxes less
			Gross		Operating		Consumption of		Fixed Capital:		Gross		Net		Fixed Capital:		Taxes less		subsidies on					GDP
	Compensation		Operating		Surplus:		Fixed Capital:		Government &		Mixed		Mixed		Unincorporated		subsidies on		Products &		Statistical			at Market
	of Employees*		Surplus		Corporations		Corporations		NPISH		Income		Income		Businesses		Production		Imports		Discrepancy			Prices
	($ millions)
1982		26,496		7,620		1,089		5,227		1,304		6,990		5,354		1,637		2,395		2,893		206			46,600
1983		27,018		9,080		2,334		5,374		1,372		7,446		5,732		1,714		2,847		2,884		54			49,329
1984		27,811		10,459		3,563		5,480		1,416		8,010		6,145		1,865		2,509		3,258		(260	)		51,788
1985		29,101		11,850		4,746		5,636		1,468		8,824		6,843		1,981		2,531		3,699		(217	)		55,788
1986		30,339		12,298		4,927		5,788		1,583		9,581		7,543		2,038		2,532		4,506		(302	)		58,954
1987		32,837		14,358		6,902		5,858		1,598		10,290		8,103		2,187		2,607		5,152		(97	)		65,147
1988		36,110		15,750		7,807		6,161		1,782		11,259		8,903		2,356		2,726		5,568		682			72,095
1989		40,296		16,007		7,385		6,694		1,928		12,432		9,827		2,605		2,888		6,697		123			78,443
1990		44,216		14,530		5,152		7,231		2,147		13,549		10,718		2,831		3,035		6,800		244			82,374
1991		46,296		13,330		3,871		7,304		2,155		14,555		11,560		2,995		2,964		7,593		237			84,975
1992		48,924		13,342		3,411		7,622		2,309		15,450		12,274		3,176		3,472		8,389		938			90,515
1993		51,312		15,377		5,079		7,926		2,372		16,133		12,698		3,435		3,952		9,112		1,335			97,221
1994		53,972		19,431		8,420		8,483		2,528		17,118		13,463		3,655		4,234		8,830		13			103,598
1995		56,768		21,649		9,975		9,011		2,663		17,851		14,052		3,799		4,268		9,242		(575	)		109,203
1996		58,517		21,917		9,715		9,409		2,793		18,321		14,394		3,927		4,377		9,476		(68	)		112,540
1997		60,781		24,129		11,400		9,759		2,970		18,704		14,700		4,004		4,665		10,211		96			118,585
1998		62,120		23,496		9,822		10,617		3,057		19,467		15,302		4,166		4,786		10,346		(441	)		119,775
1999		64,216		25,733		11,594		10,972		3,167		20,272		16,061		4,211		4,919		10,676		(158	)		125,658
2000		68,591		30,979		16,192		11,403		3,384		20,843		16,470		4,373		4,974		11,063		(39	)		136,411
2001		70,309		30,003		14,546		11,966		3,491		22,099		17,467		4,633		5,076		11,312		16			138,815
2002		72,951		30,307		14,491		12,229		3,587		23,426		18,541		4,885		5,009		12,408		(108	)		143,993
2003		75,268		33,813		17,612		12,514		3,687		24,741		19,781		4,960		5,122		13,108		(93	)		151,958
2004		80,071		39,402		22,503		13,004		3,895		26,253		21,053		5,199		5,388		13,491		(5	)		164,600
2005		85,336		43,994		25,971		13,824		4,199		27,827		22,337		5,490		5,679		14,219		142			177,197
2006		93,392		46,643		26,833		15,187		4,623		29,526		23,736		5,790		5,959		14,881		78			190,479
2007		98,459		47,607		25,901		16,597		5,109		31,784		25,438		6,345		6,505		15,799		287			200,440
2008		102,318		49,897		25,892		18,259		5,746		32,435		25,604		6,830		6,812		14,756		210			206,427
2009		100,375		41,901		17,293		18,789		5,819		33,771		26,845		6,925		7,038		14,969		125			198,179
2010		102,621		45,534		20,992		18,561		5,981		35,494		28,408		7,086		7,338		15,870		134			206,990
2011		106,845		51,238		25,450		19,437		6,351		36,872		29,536		7,336		7,216		16,493		107			218,771
2012		110,128		50,606		23,422		20,589		6,595		38,645		31,069		7,576		7,332		16,611		6			223,328
2013		114,300		51,647		23,263		21,550		6,834		40,286		32,361		7,925		8,129		16,784		(165	)		230,981
2014		118,452		56,480		26,944		22,450		7,086		42,286		34,193		8,093		8,603		18,012		39			243,872
2015		123,805		55,116		23,835		23,883		7,398		43,935		35,527		8,408		8,736		19,057		135			250,784
2016		127,866		60,562		28,372		24,554		7,636		46,030		37,237		8,793		9,073		20,593		(212	)		263,912
2017		135,921		66,526		33,474		25,056		7,996		48,928		39,485		9,443		9,648		21,863		(244	)		282,642
2018		143,959		68,080		33,341		26,178		8,561		51,183		41,140		10,043		10,001		22,334		(156	)		295,401
2019		-		-		-		-		-		-		-		-		-		-		-			-

*Component of income-based GDP, including wages, salaries and employers' social contributions earned in B.C. by residents and non-residents of the province.

84 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1.4 British Columbia GDP, Income Based (continued)

							Net						Consumption of						Consumption of					Taxes less
				Gross			Operating			Consumption of			Fixed Capital:		Gross		Net		Fixed Capital:		Taxes less			subsidies on						GDP
	Compensation			Operating			Surplus:			Fixed Capital:			Government &		Mixed		Mixed		Unincorporated		subsidies on			Products &			Statistical			at Market
	of Employees*			Surplus			Corporations			Corporations			NPISH		Income		Income		Businesses		Production			Imports			Discrepancy			Prices
	(annual percentage change)
1983		2.0			19.2			114.3			2.8			5.2		6.5		7.1		4.7		18.9			(0.3	)		(73.8	)		5.9
1984		2.9			15.2			52.7			2.0			3.2		7.6		7.2		8.8		(11.9	)		13.0			(581.5	)		5.0
1985		4.6			13.3			33.2			2.8			3.7		10.2		11.4		6.2		0.9			13.5			(16.5	)		7.7
1986		4.3			3.8			3.8			2.7			7.8		8.6		10.2		2.9		0.0			21.8			39.2			5.7
1987		8.2			16.8			40.1			1.2			0.9		7.4		7.4		7.3		3.0			14.3			(67.9	)		10.5
1988		10.0			9.7			13.1			5.2			11.5		9.4		9.9		7.7		4.6			8.1			(803.1	)		10.7
1989		11.6			1.6			(5.4	)		8.7			8.2		10.4		10.4		10.6		5.9			20.3			(82.0	)		8.8
1990		9.7			(9.2	)		(30.2	)		8.0			11.4		9.0		9.1		8.7		5.1			1.5			98.4			5.0
1991		4.7			(8.3	)		(24.9	)		1.0			0.4		7.4		7.9		5.8		(2.3	)		11.7			(2.9	)		3.2
1992		5.7			0.1			(11.9	)		4.4			7.1		6.1		6.2		6.0		17.1			10.5			295.8			6.5
1993		4.9			15.3			48.9			4.0			2.7		4.4		3.5		8.2		13.8			8.6			42.3			7.4
1994		5.2			26.4			65.8			7.0			6.6		6.1		6.0		6.4		7.1			(3.1	)		(99.0	)		6.6
1995		5.2			11.4			18.5			6.2			5.3		4.3		4.4		3.9		0.8			4.7			(4,523.1	)		5.4
1996		3.1			1.2			(2.6	)		4.4			4.9		2.6		2.4		3.4		2.6			2.5			(88.2	)		3.1
1997		3.9			10.1			17.3			3.7			6.3		2.1		2.1		2.0		6.6			7.8			(241.2	)		5.4
1998		2.2			(2.6	)		(13.8	)		8.8			2.9		4.1		4.1		4.0		2.6			1.3			(559.4	)		1.0
1999		3.4			9.5			18.0			3.3			3.6		4.1		5.0		1.1		2.8			3.2			(64.2	)		4.9
2000		6.8			20.4			39.7			3.9			6.9		2.8		2.5		3.8		1.1			3.6			(75.3	)		8.6
2001		2.5			(3.2	)		(10.2	)		4.9			3.2		6.0		6.1		5.9		2.1			2.3			(141.0	)		1.8
2002		3.8			1.0			(0.4	)		2.2			2.7		6.0		6.1		5.4		(1.3	)		9.7			(775.0	)		3.7
2003		3.2			11.6			21.5			2.3			2.8		5.6		6.7		1.5		2.3			5.6			(13.9	)		5.5
2004		6.4			16.5			27.8			3.9			5.6		6.1		6.4		4.8		5.2			2.9			(94.6	)		8.3
2005		6.6			11.7			15.4			6.3			7.8		6.0		6.1		5.6		5.4			5.4			(2,940.0	)		7.7
2006		9.4			6.0			3.3			9.9			10.1		6.1		6.3		5.5		4.9			4.7			(45.1	)		7.5
2007		5.4			2.1			(3.5	)		9.3			10.5		7.6		7.2		9.6		9.2			6.2			267.9			5.2
2008		3.9			4.8			(0.0	)		10.0			12.5		2.0		0.7		7.6		4.7			(6.6	)		(26.8	)		3.0
2009		(1.9	)		(16.0	)		(33.2	)		2.9			1.3		4.1		4.8		1.4		3.3			1.4			(40.5	)		(4.0	)
2010		2.2			8.7			21.4			(1.2	)		2.8		5.1		5.8		2.3		4.3			6.0			7.2			4.4
2011		4.1			12.5			21.2			4.7			6.2		3.9		4.0		3.5		(1.7	)		3.9			(20.1	)		5.7
2012		3.1			(1.2	)		(8.0	)		5.9			3.8		4.8		5.2		3.3		1.6			0.7			(94.4	)		2.1
2013		3.8			2.1			(0.7	)		4.7			3.6		4.2		4.2		4.6		10.9			1.0			(2,850.0	)		3.4
2014		3.6			9.4			15.8			4.2			3.7		5.0		5.7		2.1		5.8			7.3			(123.6	)		5.6
2015		4.5			(2.4	)		(11.5	)		6.4			4.4		3.9		3.9		3.9		1.5			5.8			246.2			2.8
2016		3.3			9.9			19.0			2.8			3.2		4.8		4.8		4.6		3.9			8.1			(257.0	)		5.2
2017		6.3			9.8			18.0			2.0			4.7		6.3		6.0		7.4		6.3			6.2			15.1			7.1
2018		5.9			2.3			(0.4	)		4.5			7.1		4.6		4.2		6.4		3.7			2.2			(36.1	)		4.5
2019		-			-			-			-			-		-		-		-		-			-			-			-

* Component of income-based GDP, including wages, salaries and employers’ social contributions earned in B.C. by residents and non-residents of the province. Source: Statistics Canada (Table: 36-10-0221-01 – accessed June 2020).

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 85

Appendix 1 – Economic Review Supplementary Tables

Table A1.5 Employment by Industry in British Columbia

	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(thousands)
Total - all industries	1,952	1,998	2,028	2,090	2,141	2,206	2,242	2,192	2,223	2,228	2,263	2,266	2,278	2,306	2,380	2,467	2,494	2,559
Primary industries	67	78	72	76	78	82	78	71	71	65	67	75	74	71	75	76	73	71
Agriculture	30	33	36	38	35	35	34	32	30	26	24	28	24	22	24	26	24	27
Forestry, logging & support activities	25	27	22	22	22	24	17	14	16	15	16	18	19	19	19	19	18	16
Fishing, hunting & trapping	3	5	3	2	3	3	2	2	2	x2		2	2	2	2	2	3	2
Mining & oil & gas extraction	9	13	11	14	19	20	25	24	23	25	25	28	29	27	30	29	29	27
Manufacturing	198	207	208	193	191	197	178	155	155	157	165	152	161	173	170	174	174	166
Food, beverages & tobacco	27	31	31	31	24	27	29	27	25	29	29	27	28	33	37	33	37	36
Wood products	48	51	49	47	47	47	37	31	31	32	29	30	34	36	32	28	24	21
Paper	17	14	12	12	15	15	13	10	9	9	11	11	12	10	9	11	9	9
Printing & related support activities	9	8	8	8	8	6	8	7	6	7	8	7	6	9	5	7	7	4
Primary metals	6	9	7	7	7	6	5	5	7	6	6	5	2	5	3	4	5	6
Metal fabrication	13	14	15	18	15	15	16	12	12	11	14	11	12	16	14	13	13	13
Transportation equipment	14	12	12	9	9	12	9	10	9	9	11	9	10	8	9	10	11	10
Machinery manufacturing	10	9	10	10	9	9	6	6	7	9	10	9	9	8	10	10	9	12
Other manufacturing	55	58	66	53	58	61	55	46	49	45	47	44	49	48	52	60	60	55
Construction	117	118	142	166	175	192	218	204	198	197	199	204	201	202	211	229	238	237
General contractors	41	47	51	65	64	65	84	77	79	79	78	85	91	88	90	102	106	102
Special trade contractors	76	71	92	101	110	127	134	127	120	118	120	119	110	113	122	126	133	135
Utilities	11	11	9	10	8	10	13	12	12	11	11	11	14	15	14	13	14	12
Transportation & warehousing	110	115	113	116	116	122	124	114	118	122	129	127	134	140	138	139	136	141
Transportation	105	109	108	112	109	115	119	108	112	115	119	118	125	133	131	128	125	133
Warehousing & storage	5	6	5	5	6	7	5	6	6	8	11	9	9	7	7	11	10	8
Trade	319	326	313	330	343	353	352	359	369	354	347	361	358	353	370	374	368	389
Wholesale trade	72	76	66	79	80	79	86	86	82	78	82	82	81	85	90	84	82	87
Retail trade	246	249	248	251	263	274	267	274	288	277	265	279	278	268	280	290	286	302
Finance, Insurance, Real Estate & Leasing	124	126	128	131	133	141	139	133	140	140	137	140	137	129	136	156	151	159
Finance	57	60	55	59	59	67	61	57	66	54	62	59	62	57	62	66	63	68
Insurance	24	21	27	26	26	29	28	27	28	32	26	29	27	29	29	33	30	30
Real estate	32	35	35	34	38	37	39	39	37	45	43	44	40	36	39	51	52	53
Leasing	11	11	11	13	10	9	10	9	8	9	6	8	8	7	6	7	6	8
Public administration	90	95	99	93	90	95	101	106	105	106	101	99	98	96	104	102	104	116
Federal administration	33	37	35	32	34	35	37	39	43	43	42	35	32	36	37	37	34	43
Provincial administration	28	29	30	29	27	26	26	27	27	25	27	28	29	27	32	31	34	35
Local administration	29	29	35	32	29	34	37	40	36	38	31	36	37	33	35	35	37	38
Other service industries	918	924	944	974	1,006	1,014	1,040	1,040	1,055	1,075	1,108	1,097	1,102	1,130	1,162	1,204	1,234	1,269
Education & related services	137	137	132	143	153	154	153	147	152	155	165	167	166	163	165	167	169	179
Health & welfare services	211	214	217	213	228	232	241	257	264	263	275	267	270	287	292	304	323	313
Professional, scientific & technical	134	136	143	159	164	164	166	160	163	174	170	178	182	188	196	197	209	224
Information, culture & recreation	105	105	110	109	109	114	112	112	112	108	109	107	108	115	127	137	128	132
Services to business management	72	79	80	90	96	96	103	98	95	95	97	99	88	94	105	103	101	112
Accommodation & food services	163	159	170	172	167	169	171	171	172	183	183	180	185	178	174	183	188	191
Miscellaneous services	96	94	93	88	89	86	95	95	96	97	110	99	102	105	105	114	118	119

Source: Statistics Canada, Labour Force Survey (Table: 14-10-0023-01 and unpublished data – accessed June 2020). Totals may not add due to rounding.

x       Suppressed to meet the confidentiality requirements of the Statistics Act.

86 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1.6 Capital Investment by Industry

									Preliminary				2018			2019
	Actual		Actual		Actual		Actual		Actual		Intentions		to			to
	2015		2016		2017		2018		2019		2020		2019			2020
					($ millions)								(per cent)
Agriculture, forestry, fishing and hunting		454.3		511.3		696.8		979.9		1,036.9		852.3		5.8			(17.8	)
Mining, quarrying, and oil and gas extraction		5,147.4		4,573.3		6,250.8		4,449.5		4,085.9		3,976.9		(8.2	)		(2.7	)
Manufacturing		2,629.0		x		1,370.5		1,831.4		1,872.9		2,003.7		2.3			7.0
Construction		717.0		832.9		978.2		1,063.1		1,158.8		1,237.4		9.0			6.8
Transportation and warehousing		3,928.9		4,215.0		4,822.1		6,251.5		11,363.7		13,222.5		81.8			16.4
Utilities		3,369.0		3,698.0		3,535.0		4,203.6		5,062.6		5,923.7		20.4			17.0
Wholesale trade		422.1		x		421.4		514.5		x		452.8		-			-
Retail trade		F		809.7		713.9		x		855.0		841.3		-			(1.6	)
Finance and insurance		309.1		341.9		250.6		318.6		399.7		370.3		25.5			(7.4	)
Real estate, rental and leasing		1,171.4		1,638.5		1,629.1		1,953.4		2,185.5		2,140.9		11.9			(2.0	)
Information and cultural industries		1,205.1		1,579.9		1,631.0		1,617.1		1,590.4		F		(1.7	)		-
Professional, scientific and technical services		316.1		318.8		307.5		424.1		457.3		471.6		7.8			3.1
Management of companies and enterprises		29.1		x		F		x		74.1		72.6		-			(2.0	)
Admin, waste and remediation services		F		194.2		200.8		220.5		x		252.2		-			-
Arts, entertainment and recreation		268.0		275.6		305.8		338.7		356.0		325.0		5.1			(8.7	)
Accommodation and food services		688.6		665.9		581.3		721.2		724.3		F		0.4			-
Educational services		976.2		980.1		1,087.3		1,499.2		1,359.5		1,541.0		(9.3	)		13.4
Health care and social assistance		1,154.1		1,198.1		1,050.7		1,158.5		1,233.1		F		6.4			-
Public administration		2,446.9		2,172.2		2,965.5		3,407.2		4,008.5		4,294.9		17.6			7.1
Other services		F		x		171.2		249.4		x		F		-			-
Total		26,344.3		26,357.8		28,999.9		32,037.9		38,797.9		41,822.8		21.1			7.8
Public		8,011.9		8,423.1		9,173.3		10,350.2		12,062.1		14,343.1		16.5			18.9
Private		18,332.4		17,934.7		19,826.6		21,687.8		26,735.8		27,479.7		23.3			2.8
Total		26,344.3		26,357.8		28,999.9		32,037.9		38,797.9		41,822.8		21.1			7.8
Machinery and equipment		8,488.6		10,180.1		10,183.1		11,714.3		12,261.3		11,745.9		4.7			(4.2	)
Construction		17,855.7		16,177.7		18,816.8		20,323.6		26,536.6		30,076.9		30.6			13.3
Total		26,344.3		26,357.8		28,999.9		32,037.9		38,797.9		41,822.8		21.1			7.8
Housing		16,123.3		18,802.3		19,557.1		22,701.5		22,916.5		n/a		0.9			n/a

Source: Statistics Canada (Tables: 34-10-0035-01, 34-10-0038-01, 34-10-0175-01 – accessed June 2020).

x  Suppressed to meet the confidentiality requirements of the Statistics Act.

F  Too unreliable to be published.

Note: Totals may not add due to rounding or due to some data not being disclosed for confidentiality reasons.

2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020 | 87

Appendix 1 – Economic Review Supplementary Tables

Table A1.7 British Columbia International Goods Exports by Major Market and Selected Commodities, 2019

					European		Mainland		Other		Total -
Commodity	U.S.		Japan		Union 1		China		Markets		All Countries
					($ millions)
Wood products		4,601		986		117		1,155		815		7,673
Lumber (softwood)		2,885		631		92		758		417		4,783
Cedar shakes and shingles		144		0		6		0		11		161
Plywood and veneer (softwood)		356		0		2		4		9		371
Other panel products		447		48		1		16		36		548
Selected value-added wood products		616		15		2		0		6		640
Logs		40		191		0		372		58		662
Other		113		100		13		4		278		509
Pulp and paper products		827		209		58		2,242		902		4,237
Pulp		352		192		52		2,088		610		3,294
Newsprint		32		0		0.00		23		131		186
Paper, paperboard – excluding newsprint		356		17		6		113		131		623
Other		86		0.1		0		19		29		134
Agriculture and food other than fish		2,533		117		38		157		399		3,244
Fruit and nuts		345		17		4		38		35		438
Vegetables		389		16		4		11		21		440
Vegetable oils		8		0.4		0		2		0		10
Bread, pastry, prepared cereals, pasta, etc.		327		4		1		1		4		336
Meat and prepared meat products		22		41		0		29		64		156
Other		1,442		39		30		76		276		1,863
Fish products		835		91		34		294		145		1,399
Whole fish; fresh, chilled, frozen – excluding salmon		56		20		21		46		65		208
Whole salmon; fresh, chilled, frozen		525		23		6		4		8		566
Salmon; fillets, canned, smoked, etc		79		1		3		1		14		98
Other		176		46		5		242		58		527
Metallic mineral products		1,541		864		303		1,227		1,336		5,272
Copper ores and concentrates		0		813		0		1,015		1,070		2,898
Molybdenum ores and concentrates		83		0		43		1		0		127
Zinc ores and concentrates		0		12		0		14		61		86
Unwrought aluminum		435		33		239		0		51		758
Unwrought zinc		825		0		0		8		98		931
Unwrought lead		182		1		0		0		0		182
Other		16		7		21		190		56		290
Fabricated metal products		1,006		6		16		53		186		1,268
Energy products		4,921		2,100		617		758		3,493		11,888
Natural gas		2,758		0		0		2		0		2,760
Coal		107		1,784		617		756		3,454		6,717
Electricity		512		0		0		0		0		512
Other		1,543		316.45		0.1		0		39		1,899
Machinery and equipment		3,512		73		407		461		1,056		5,508
Motor vehicles and parts		379		6		6		297		148		835
Electrical/electronic/communications		601		22		151		55		269		1,099
Scientific/photographic/measuring equipment, etc.		446		23		104		69		204		846
Aircraft and parts		296		7		25		0		136		464
Other		1,790		14		120		40		301		2,264
Plastics and articles of plastic		463		1		11		11		33		520
Chemicals and chemical products		626		57		70		73		171		998
Apparel and accessories		61		3		9		2		5		81
Textiles		14		1		2		1		38		56
All other commodities		1,054		39		29		45		184		1,350
Total		21,993		4,549		1,711		6,478		8,763		43,494

¹ The European Union is the membership as of February 1, 2020: Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden.
Source: Statistics Canada, International Trade Statistics custom extract, June 2020. Figures may not add due to rounding.

88 | 2020 FINANCIAL AND ECONOMIC REVIEW – SEPTEMBER 2020

Appendix 1 – Economic Review Supplementary Tables

Table A1.8  British Columbia International Goods Exports by Market Area
							% Change			Percent of Total
	2017		2018		2019		2018-2019			2018		2019
			($ millions)							(per cent)
United Kingdom		412		501		468		(6.7	)		1.1		1.1
Germany		366		339		365		7.8			0.7		0.8
Mainland China		6,374		6,723		6,478		(3.6	)		14.5		14.9
Hong Kong		221		247		190		(23.1	)		0.5		0.4
Taiwan		690		956		826		(13.7	)		2.1		1.9
Japan		4,503		5,081		4,549		(10.5	)		11.0		10.5
South Korea		2,879		2,941		2,663		(9.5	)		6.3		6.1
India		1,010		1,583		1,581		(0.1	)		3.4		3.6
Australia		273		252		246		(2.5	)		0.5		0.6
Mexico		252		198		180		(9.2	)		0.4		0.4
United States		22,289		22,726		21,993		(3.2	)		49.0		50.6
Other		3,971		4,792		3,956		(17.4	)		10.3		9.1
Total		43,241		46,340		43,494		(6.1	)		100.0		100.0
Market Areas:
Western Europe 1		1,959		2,313		2,098		(9.3	)		5.0		4.8
Pacific Rim 2		15,989		17,824		16,178		(9.2	)		38.5		37.2

¹ Austria, Belgium, Denmark, Finland, France, Germany, Greece, Iceland, Ireland, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the United Kingdom.

² Australia, Brunei Darussalam, China, Fiji, Hong Kong, Indonesia, Japan, Laos, Macau, Malaysia, Mongolia, New Zealand, North Korea, Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam.

Source: Statistics Canada, International Trade Statistics custom extract, June 2020. Figures may not add due to rounding.

2020 Financial And Economic Review – September 2020 | 89

Appendix 1 – Economic Review Supplementary Tables

Table A1.9  Historical Commodity Prices (in US Dollars)

	2009		2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
Metals
Copper (London; $/lb)		2.35		3.42		4.00		3.61		3.32		3.11		2.49		2.21		2.80		2.96		2.73
Lead (London; $/lb)		0.78		0.97		1.09		0.93		0.97		0.95		0.81		0.85		1.05		1.02		0.91
Zinc (London; $/lb)		0.75		0.98		0.99		0.88		0.86		0.98		0.87		0.95		1.31		1.33		1.16
Gold (London; $/troy oz)		973		1,225		1,572		1 ,667		1,407		1,266		1 ,159		1 ,251		1 ,257		1 ,269		1 ,391
Silver (London; $/troy oz)		14.68		20.17		35.12		3 1.12		23.72		19.07		1 5.68		1 7.16		1 7.05		1 5.71		1 6.19
Molybdenum ($/lb)		11.05		15.68		15.47		1 2.80		10.33		11.40		6 .74		6.56		7.21		10.52		1 1.34
Aluminum (London; $/lb)		0.76		0.99		1.09		0.92		0.84		0.85		0.75		0.73		0.89		0.96		0.81
Forest Products
Lumber (Madison’s Lumber Reporter; WSPF, 2x4, $/1000 bd ft)		182		255		254		299		358		353		281		308		411		496		372
Pulp (Northern Europe; $/tonne; transaction price)		665		937		955		813		864		928		849		803		898		1,184		955
Newsprint (US Eastcoast; $/tonne)		549		596		637		637		593		583		517		540		557		669		667
Cedar (Madison’s Lumber Reporter 2x4, $/1000 bd ft)		623		650		636		769		895		957		986		1,004		1 ,299		1 ,396		1 ,386
Other
Oil (West Texas Intermediate; $/barrel)		62		79		95		94		98		93		49		43		51		65		57
Natural Gas (Plant Inlet; $C/GJ)		3.03		2.95		2.46		1.35		2.04		3.12		1.37		0.99		1.14		0.79		0.79
Coal (Japan-Australia FOB $/t)
Metallurgical		125		204		282		204		155		124		101		112		201		207		183
Low Volatile PCl		90		170		222		153		125		104		84		88		142		146		131
Thermal		70		98		130		114		95		82		68		62		85		110		99

Sources: Ministry of Finance; Ministry of Energy, Mines and Petroleum Resources; Ministry of Forests, Lands, Natural Resource Operations and Rural Development; US Department of Energy.

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Appendix 1 – Economic Review Supplementary Tables

Table A1.10  British Columbia Forest Sector Economic Activity Indicators

																					Change1
Indicator	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		2018-2019
	(million cubic meters)																				(per cent)
Wood production
Lumber		26.8		28.4		29.2		30.0		29.6		30.6		31.4		30.3		29.2		22.8		(21.8	)
Timber Scaled by species
Lodgepole pine		29.1		29.8		27.7		26.7		23.4		24.1		20.3		15.9		15.1		10.9		(27.6	)
Spruce		8.9		10.5		11.5		12.6		11.6		13.3		13.1		15.8		15.3		12.2		(20.5	)
Hemlock		6.8		8.6		7.7		8.5		8.1		7.2		7.6		7.1		8.0		6.6		(17.3	)
Douglas fir		7.6		9.2		8.9		9.8		10.1		9.7		10.7		10.9		13.3		10.9		(18.2	)
Balsam		4.2		5.1		5.5		6.1		6.1		6.3		6.8		7.7		8.6		7.2		(16.0	)
Cedar		4.1		3.7		4.3		4.6		4.4		4.8		4.9		4.2		4.3		3.7		(15.3	)
All others		2.7		2.7		2.6		2.7		2.7		3.2		2.8		2.9		3.0		2.2		(26.4	)
Total 2		63.3		69.6		68.1		71.1		66.4		68.7		66.2		64.5		67.6		53.7		(20.6	)
		(million tonnes)
Pulp and paper production		5.9		6.1		5.9		5.7		5.7		5.6		5.4		5.3		5.1		4.9		(3.9	)
Market pulp		4.3		4.5		4.4		4.3		4.3		4.3		4.2		4.2		4.1		4.1		0.0
Newsprint, paper and paperboard		1.6		1.6		1.4		1.4		1.4		1.3		1.1		1.1		1.0		0.8		(19.4	)
		(2010=100)
Industrial product price indices
Softwood lumber (Canada)		100.0		96.5		106.6		125.6		133.7		135.5		141.7		162.6		179.1		152.1		(15.0	)
Spruce-Pine-Fir lumber (BC)		100.0		96.1		104.8		123.1		130.5		131.7		139.9		155.6		171.2		148.6		(13.2	)
Hemlock lumber (BC)		100.0		98.8		112.0		139.7		150.0		149.4		161.1		202.1		220.7		183.5		(16.9	)
Douglas fir and Western larch (BC)		100.0		100.0		103.8		115.8		125.7		130.0		136.0		150.9		161.7		148.4		(8.3	)
Veneer and plywood (Canada)		100.0		95.8		104.0		104.9		112.5		115.0		116.5		128.2		134.9		126.2		(6.5	)
Wood pulp (Canada)		100.0		95.8		94.7		98.5		97.9		97.9		96.9		111.2		136.4		129.2		(5.2	)
Newsprint for export (Canada)		100.0		101.0		101.8		102.4		105.4		117.1		119.8		120.5		129.9		139.6		7.5

¹ Percentage change based on unrounded numbers.

² Totals may not add due to rounding.

Sources: Wood Production: Lumber and Timber scaled by species – Ministry of Forests, Lands, Natural Resource Operations, and Rural Development.
Pulp and paper production – Pulp and Paper Products Council.
Industrial product price indices – Statistics Canada (Tables: 18-10-0030-01 and 18-10-0031-01 – accessed June 2020).

Timber scaled data includes all logs, special forest products, species and grades billed to crown, private and federal land. Waste, reject, and Christmas trees are excluded. For all scale invoiced as of date of reporting – June 1, 2020

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Appendix 1 – Economic Review Supplementary Tables

Table A1.11  Historical Value of Mineral, Petroleum and Natural Gas Shipments
			Industrial		Construction					Natural Gas		Other oil
Year	Metals		Minerals 1		Aggregates 2		Coal Crude Oil 3			to Pipeline		and Gas 4		Total
	($ millions)
1991		1,511		290		159		990	260		562		36		3,808
1992		1,502		212		157		706	260		592		38		3,467
1993		1,198		229		166		822	233		814		42		3,504
1994		1,354		237		180		861	235		991		44		3,902
1995		2,016		249		204		968	272		710		58		4,478
1996		1,537		251		189		1,027	441		817		75		4,337
1997		1,495		249		195		1,107	403		1,087		98		4,635
1998		1,484		245		208		956	373		1,154		47		4,467
1999		1,183		246		219		797	461		1,577		53		4,536
2000		1,571		284		224		812	843		3,826		114		7,674
2001		1,394		296		217		959	729		4,834		103		8,533
2002		1,288		310		231		1,035	714		3,458		79		7,115
2003		1,353		336		226		972	718		5,396		116		9,117
2004		1,956		355		239		1,191	824		5,827		133		10,524
2005		2,442		364		278		2,300	973		7,821		173		14,351
2006		3,248		363		274		2,105	1,013		5,956		179		13,139
2007		2,887		424		351		1,949	989		5,745		200		12,546
2008		2,590		696		379		3,738	1,215		7,525		524		16,667
2009		1,837		278		303		3,204	720		3,284		115		9,742
2010		2,191		349		373		4,253	930		3,437		161		11,694
2011		2,131		454		325		6,073	1,194		3,444		307		13,926
2012		2,360		461		370		4,635	1,208		1,934		273		11,241
2013		2,578		450		388		3,696	1,295		3,129		251		11,787
2014		3,302		x		312		x	1,516		5,170		310		13,812
2015		3,250		x		338		x	959		2,445		139		9,729
2016		2,942		x		339		x	1,056		1,919		105		9,783
2017		3,351		x		464		x	1,521		2,207		237		13,481
2018		3,694		x		537		x	2,545		1,726		485		14,539
2019		3,416		x		543		x	2,465		1,661		177		13,102

¹ Shipments of gypsum and silica to Canadian cement, lime and clay plants are not included in this table.

² Sand and gravel; stone.

³ Includes pentanes and condensate.

⁴ Liquefied petroleum gases and sulphur.

^x Suppressed to meet the confidentiality requirements of the Statistics Act.

Sources: Natural Resources Canada; Ministry of Energy, Mines and Petroleum Resources.

Table A1.12  Petroleum and Natural Gas Activity Indicators
												Provincial Reserves				Provincial
	Natural gas			Crude oil and								Raw gas		Oil		Government
	production			wellhead condensate								(remaining		(remaining		petroleum and
	(wellhead)			production		Wells Authorized			Wells Drilled			reserves)		reserves)		natural gas revenue 1
	(billion cubic m)			(million cubicm)		(number)			(number)			(billion cubic m)		(million cubic m)		($ millions)
2004		32.0			2.2		1,700			1,282			389.7		21.9		1,794.4
2005		32.8			2.0		1,790			1,429			444.6		20.9		2,559.0
2006		32.8			1.9		1,730			1,435			462.4		18.2		2,139.1
2007		31.9			1.8		1,207			909			482.9		19.7		2,352.8
2008		33.5			1.6		1,408			929			605.3		18.5		4,093.9
2009		32.9			1.5		829			626			657.9		19.3		1,464.2
2010		35.0			1.6		871			714			932.0		18.7		1,384.0
2011		41.4			1.5		1,133			661			974.9		18.2		735.0
2012		41.0			1.6		647			484			1,138.5		19.1		440.0
2013		44.6			1.5		907			571			1,197.2		19.3		723.0
2014		47.2			1.8		1,253			706			1,443.9		18.1		1,230.4
2015		49.0			1.9		913			546			1,504.7		17.6		345.9
2016		50.7			2.3		479			356			1,485.1		16.5		282.4
2017		51.5			2.5		870			621			1,354.8		18.2		486.4
2018		58.9			3.6		897			446			1,434.1		18.3		424.0
2019		58.8			3.7		673			365			n/a		n/a		334.7
per cent change
2018-2019		(0.1	)		2.2		(25.0	)		(18.2	)		-		-		(21.1	)

¹ Includes Crown royalties, Crown reserve disposition bonuses, fees and rentals.

Sources: Ministry of Energy, Mines and Petroleum Resources and BC Oil and Gas Commission.

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Appendix 1 – Economic Review Supplementary Tables

Table A1.13  Supply and Consumption of Electrical Energy in British Columbia
	Supply										Consumption						Net Exports
	Net Generation
			All Other				Receipts				Delivered
			Types Of		Total		From Other				To Other		Total
			Electricity		Provincial		Provinces		Total		Provinces		Provincial		Total
Year	Hydro		Generation2		Generation		and Imports		Supply		and Exports		Consumption		Demand
(gigawatt-hours)1
1989		51,082		6,573		57,655		4,500		62,155		6,583		55,572		62,155		2,083
1990		57,245		3,417		60,662		3,233		63,895		6,689		57,206		63,895		3,456
1991		60,149		2,832		62,981		2,272		65,253		7,725		57,528		65,253		5,454
1992		60,555		3,503		64,058		2,685		66,743		9,473		57,270		66,743		6,788
1993		53,057		5,716		58,774		5,691		64,465		5,605		58,860		64,465		(86	)
1994		53,979		7,036		61,015		7,836		68,851		9,541		59,311		68,851		1,705
1995		49,814		8,192		58,006		6,385		64,391		3,972		60,419		64,391		(2,413	)
1996		67,329		4,436		71,765		3,289		75,053		10,390		64,664		75,053		7,101
1997		61,772		5,189		66,961		4,316		71,278		12,114		59,163		71,278		7,798
1998		60,849		6,861		67,710		5,056		72,766		10,619		62,147		72,766		5,563
1999		61,588		6,457		68,045		6,807		74,852		12,529		62,323		74,852		5,722
2000		59,754		8,487		68,241		6,039		74,280		10,698		63,582		74,280		4,659
2001		48,338		8,994		57,332		10,154		67,486		6,408		61,079		67,486		(3,747	)
2002		58,627		6,318		64,945		5,769		70,714		8,078		62,636		70,714		2,309
2003		56,689		6,362		63,051		7,084		70,135		9,599		60,535		70,135		2,515
2004		53,281		7,214		60,496		8,261		68,757		6,791		61,966		68,757		(1,470	)
2005*		60,327		7,447		67,774		7,206		74,980		9,247		65,732		74,980		2,042
2006		54,247		7,350		61,598		12,687		74,284		6,133		68,151		74,284		(6,554	)
2007		64,287		7,543		71,830		8,390		80,220		11,198		69,022		80,220		2,808
2008		58,699		7,373		66,072		12,431		78,503		9,956		68,546		78,503		(2,474	)
2009		56,462		8,594		65,057		12,075		77,132		8,304		68,827		77,132		(3,771	)
2010		54,152		10,072		64,224		10,767		74,991		7,566		67,425		74,991		(3,201	)
2011		61,037		8,220		69,257		10,973		80,230		15,552		64,679		80,230		4,579
2012		65,141		8,444		73,584		9,738		83,323		16,929		66,394		83,323		7,191
2013		59,223		8,628		67,851		10,466		78,317		13,576		64,741		78,317		3,110
2014		57,573		9,435		67,008		10,941		77,949		13,734		64,215		77,949		2,793
2015		64,999		6,772		71,771		9,591		81,361		14,123		67,238		81,361		4,533
2016		61,840		7,863		69,703		8,758		78,461		14,476		63,986		78,461		5,718
2017		66,503		7,972		74,476		8,943		83,419		15,139		68,281		83,419		6,195
2018		61,791		7,289		69,080		10,531		79,612		10,703		68,909		79,612		172
2019		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a		n/a

¹ Gigawatt-hour = one million kilowatt-hours

² All other types of electricity generation includes steam, nuclear, combustion turbine, tidal, wind and solar.

* Note: Starting from 2005, annual survey values (25-10-0020-01 and 25-10-0021-01) are used since more extensive information is available from companies’ annual performance reviews.

Source: Statistics Canada (Tables: 25-10-0001-01, 25-10-0015-01, 25-10-0016-01, 25-10-0020-01 and 25-10-0021-01 – accessed June 2020) and BC Stats.

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Appendix 1 – Economic Review Supplementary Tables

Table A1.14  Components of British Columbia Population Change
	Net Migration							Natural Increase						Total		Total
	Inter-			Inter-										Population		Population
Year	provincial			national		Total		Births		Deaths		Total		Increase 1		at July 1
1975		(2,864	)		25,342		22,478		36,281		19,151		17,130		39,608		2,499,564
1976		(464	)		16,288		15,824		35,848		18,788		17,060		32,884		2,533,899
1977		12,452			11,224		23,676		36,691		18,596		18,095		41,771		2,570,315
1978		20,106			7,699		27,805		37,231		19,058		18,173		45,978		2,615,162
1979		32,541			14,012		46,553		38,432		19,204		19,228		65,781		2,665,238
1980		38,773			23,522		62,295		40,104		19,371		20,733		83,028		2,745,861
1981		23,270			22,143		45,413		41,474		19,857		21,617		67,030		2,826,558
1982		(1,129	)		14,175		13,046		42,747		20,707		22,040		35,086		2,876,513
1983		3,000			10,639		13,639		42,919		19,827		23,092		36,731		2,907,502
1984		3,867			8,674		12,541		43,911		20,686		23,225		35,766		2,947,181
1985		(3,430	)		9,374		5,944		43,127		21,302		21,825		27,769		2,975,131
1986		(772	)		12,290		11,518		41,967		21,213		20,754		32,272		3,003,621
1987		16,588			21,078		37,666		41,814		21,814		20,000		57,666		3,048,651
1988		25,829			28,704		54,533		42,930		22,546		20,384		74,917		3,114,761
1989		35,711			31,042		66,753		43,769		22,997		20,772		87,525		3,196,725
1990		40,088			28,585		68,673		45,617		23,577		22,040		90,713		3,292,111
1991		34,600			21,274		55,874		45,612		23,977		21,635		77,509		3,373,787
1992		39,578			29,477		69,055		46,156		24,615		21,541		90,596		3,468,802
1993		37,595			34,679		72,274		46,026		25,764		20,262		92,536		3,567,772
1994		34,449			42,667		77,116		46,998		25,939		21,059		98,175		3,676,075
1995		23,414			43,644		67,058		46,820		26,375		20,445		87,503		3,777,390
1996		17,798			47,617		65,415		46,138		27,538		18,600		84,015		3,874,317
1997		1,980			38,318		40,298		44,577		27,412		17,165		57,463		3,948,583
1998		(17,521	)		24,380		6,859		43,072		27,978		15,094		21,953		3,983,113
1999		(12,413	)		28,644		16,231		41,939		28,017		13,922		30,153		4,011,375
2000		(14,783	)		29,266		14,483		40,672		27,461		13,211		27,694		4,039,230
2001		(7,028	)		34,217		27,189		40,575		28,362		12,213		39,402		4,076,950
2002		(4,445	)		28,575		24,130		40,065		28,884		11,181		35,311		4,100,564
2003		3,025			27,762		30,787		40,497		29,320		11,177		41,964		4,124,482
2004		7,785			28,015		35,800		40,490		29,924		10,566		46,366		4,155,651
2005		7,212			38,399		45,611		40,827		30,235		10,592		56,203		4,196,062
2006		12,799			34,670		47,469		41,729		30,688		11,041		58,510		4,241,794
2007		16,776			35,714		52,490		43,649		31,308		12,341		64,831		4,290,984
2008		10,849			49,678		60,527		44,276		32,097		12,179		72,706		4,349,336
2009		9,672			46,775		56,447		44,993		31,440		13,553		70,000		4,410,506
2010		6,212			32,717		38,929		43,826		31,324		12,502		51,431		4,465,546
2011		711			31,692		32,403		44,129		31,966		12,163		44,566		4,502,104
2012		(4,322	)		34,895		30,573		44,008		32,524		11,484		42,057		4,566,769
2013		2,514			35,381		37,895		43,779		33,200		10,579		48,474		4,630,077
2014		15,859			32,178		48,037		44,376		33,791		10,585		58,622		4,707,103
2015		22,827			14,059		36,886		44,298		35,246		9,052		45,938		4,776,388
2016		23,586			36,365		59,951		45,268		36,627		8,641		68,592		4,859,250
2017		15,293			50,901		66,194		44,521		38,300		6,221		72,415		4,924,233
2018		9,471			57,506		66,977		43,567		38,267		5,300		72,277		5,001,170
2019		9,551			64,441		73,992		43,308		38,276		5,032		79,024		5,071,336

¹ Components may not add to totals due to the revision of population statistics based on information collected during subsequent census years. The revisions are not distributed back to relevant components due to insufficient data. Sources: Statistics Canada (Tables: 17-10-0020-01, 17-10-0040-01 and 17-10-0059-01 – accessed June 2020) and BC Stats.

94 | 2020 Financial And Economic Review – September 2020

Appendix 2

Financial Review

Supplementary Tables

2020 Financial And Economic Review – September 2020

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Appendix 2 – Financial Review Supplementary Tables

Table A2.1 Operating Statement – 2008/09 to 2019/20 ¹     

																									Average
	Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		annual
($ millions)	2008/09		2009/10		2010/11		2011/12		2012/13		2013/14		2014/15		2015/16		2016/17		2017/18		2018/19		2019/20		change
																									(per cent)
Revenue	38,720		37,978		40,680		41,805		42,057		43,715		46,099		47,601		51,449		52,020		57,128		58,660		3.8
Expense	(38,648	)	(39,791	)	(40,927	)	(43,647	)	(43,205	)	(43,402	)	(44,440	)	(46,832	)	(48,684	)	(51,706	)	(55,597	)	(58,981	)	3.9
Surplus (deficit)	72		(1,813	)	(247	)	(1,842	)	(1,148	)	313		1,659		769		2,765		314		1,531		(321	)
Accumulated surplus (deficit) beginning of year, excluding other comprehensive income	5,988		6,060		4,247		4,000		2,158		1,010		1,323		2,982		3,751		6,516		6,830		8,361
Accumulated surplus (deficit) end of year, before other comprehensive income	6,060		4,247		4,000		2,158		1,010		1,323		2,982		3,751		6,516		6,830		8,361		8,040
Accumulated other comprehensive income of commercial Crown corporations	(25	)	456		360		73		154		481		206		(441	)	(205	)	(169	)	97		(158	)
Accumulated surplus (deficit), end of year	6,035		4,703		4,360		2,231		1,164		1,804		3,188		3,310		6,311		6,661		8,458		7,882
Per cent of Nominal GDP: 2
Surplus (deficit)	0.0		-0.9		-0.1		-0.8		-0.5		0.1		0.7		0.3		1.0		0.1		0.5		-0.1
Per cent of revenue:
Surplus (deficit)	0.2		-4.8		-0.6		-4.4		-2.7		0.7		3.6		1.6		5.4		0.6		2.7		-0.5
Per capita ($): 3
Surplus (deficit)	17		(411	)	(55	)	(409	)	(251	)	68		352		161		569		64		306		(63	)

¹ Figures have been restated to reflect government accounting policies in effect at March 31, 2020.

² Revenue and expense as a per cent of GDP is calculated using GDP for the calendar year ending in the fiscal year (e.g. 2019/20 amounts divided by GDP for the 2019 calendar year). As nominal GDP for the calendar year ending 2019 is not yet available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes.

³ Per capita revenue and expense is calculated using July 1 population (e.g. 2019/20 amounts divided by population on July 1, 2019).

2020 Financial And Economic Review – September 2020 | 97

Appendix 2 – Financial Review Supplementary Tables

Table A2.2 Statement of Financial Position – 2008/09 to 2019/20 ¹

																									Average
	Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		annual
($ millions)	2008/09		2009/10		2010/11		2011/12		2012/13		2013/14		2014/15		2015/16		2016/17		2017/18		2018/19		2019/20		change
																									(per cent)
Financial assets:
Cash and temporary investments	5,185		2,911		3,060		3,235		3,173		2,801		3,675		3,892		4,232		3,440		3,029		3,985		-2.4
Other financial assets	5,875		7,171		7,990		7,938		8,186		9,334		9,115		9,636		10,143		11,650		12,524		12,278		6.9
Sinking funds	2,134		1,329		1,410		1,491		1,778		835		977		1,580		1,087		1,348		752		692		-9.7
Investments in commercial Crown corporations:
Retained earnings	5,967		7,473		7,107		7,013		7,556		7,854		8,269		7,529		7,509		6,126		5,732		6,515		0.8
Recoverable capital loans	9,280		11,596		13,142		15,167		17,208		19,255		20,624		22,041		23,809		20,534		22,547		24,768		9.3
	15,247		19,069		20,249		22,180		24,764		27,109		28,893		29,570		31,318		26,660		28,279		31,283		6.8
Warehouse borrowing program assets	2,081		-		-		-		-		-		-		-		-		-		-		-		n/a
Total financial assets	30,522		30,480		32,709		34,844		37,901		40,079		42,660		44,678		46,780		43,098		44,584		48,238		4.2
Liabilities:
Accounts payable & accrued liabilities	7,820		7,412		8,046		9,247		9,278		8,428		8,443		8,618		9,031		9,751		10,573		11,497		3.6
Deferred revenue	9,461		10,030		10,777		10,477		9,892		9,725		9,835		9,807		9,589		9,992		10,467		10,576		1.0
Debt:
Taxpayer-supported debt	26,402		29,968		31,821		34,659		38,182		41,068		41,880		42,719		41,499		43,607		42,681		46,229		5.2
Self-supported debt	11,612		11,917		13,333		15,534		17,634		19,625		21,040		22,532		24,338		21,312		23,281		25,932		7.6
Total provincial debt	38,014		41,885		45,154		50,193		55,816		60,693		62,920		65,251		65,837		64,919		65,962		72,161		6.0
Add: debt offset by sinking funds	2,134		1,329		1,410		1,491		1,778		835		977		1,580		1,087		1,348		752		692		-9.7
Less: guarantees and non-guaranteed debt	(496	)	(546	)	(455	)	(730	)	(755	)	(726	)	(739	)	(820	)	(835	)	(896	)	(850	)	(1,337	)	9.4
Financial statement debt	39,652		42,668		46,109		50,954		56,839		60,802		63,158		66,011		66,089		65,371		65,864		71,516		5.5
Total liabilities	56,933		60,110		64,932		70,678		76,009		78,955		81,436		84,436		84,709		85,114		86,904		93,589		4.6
Net liabilities	(26,411	)	(29,630	)	(32,223	)	(35,834	)	(38,108	)	(38,876	)	(38,776	)	(39,758	)	(37,929	)	(42,016	)	(42,320	)	(45,351	)	5.0
Capital and other assets:
Tangible capital assets	30,539		32,219		34,278		35,692		36,762		37,778		39,028		40,282		41,303		45,837		47,830		50,025		4.6
Restricted assets	1,178		1,241		1,312		1,377		1,442		1,493		1,553		1,631		1,695		1,768		1,834		1,931		4.6
Other assets	729		873		993		996		1,068		1,409		1,383		1,155		1,242		1,072		1,114		1,277		5.2
Total capital and other assets	32,446		34,333		36,583		38,065		39,272		40,680		41,964		43,068		44,240		48,677		50,778		53,233		4.6
Accumulated surplus (deficit)	6,035		4,703		4,360		2,231		1,164		1,804		3,188		3,310		6,311		6,661		8,458		7,882		2.5
Per cent of Nominal GDP: 2
Net liabilities	12.8		15.0		15.6		16.4		17.1		16.8		15.9		15.9		14.4		14.9		14.3		14.8		1.3
Capital and other assets	15.7		17.3		17.7		17.4		17.6		17.6		17.2		17.2		16.8		17.2		17.2		17.4		0.9
Growth rates:
Net liabilities	9.8		12.2		8.8		11.2		6.3		2.0		-0.3		2.5		-4.6		10.8		0.7		7.2		n/a
Capital and other assets	6.5		5.8		6.6		4.1		3.2		3.6		3.2		2.6		2.7		10.0		4.3		4.8		n/a
Per capita: 3
Net liabilities	6,072		6,718		7,216		7,959		8,345		8,396		8,238		8,324		7,806		8,532		8,462		8,943		3.6
Capital and other assets	7,460		7,784		8,192		8,455		8,600		8,786		8,915		9,017		9,104		9,885		10,153		10,497		3.2

¹ Figures have been restated to reflect government accounting policies in effect at March 31, 2020.

² Net liabilities as a per cent of GDP is calculated using GDP for the calendar year ending in the fiscal year (e.g. 2019/20 amount divided by GDP for the 2019 calendar year). As nominal GDP for the calendar year ending 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes.

³ Per capita net liabilities is calculated using July 1 population (e.g. 2019/20 amount divided by population on July 1, 2019).

98 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.3 Changes in Financial Position – 2008/09 to 2019/20                    

	Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		12-Year
($ millions)	2008/09		2009/10		2010/11		2011/12		2012/13		2013/14		2014/15		2015/16		2016/17		2017/18		2018/19		2019/20		Total
(Surplus) deficit for the year	(72	)	1,813		247		1,842		1,148		(313	)	(1,659	)	(769	)	(2,765	)	(314	)	(1,531	)	321		(2,052	)
Comprehensive income (increase) decrease	437		(481	)	96		287		(81	)	(327	)	275		647		(236	)	(36	)	(266	)	255		570
Change in accumulated (surplus) deficit	365		1,332		343		2,129		1,067		(640	)	(1,384	)	(122	)	(3,001	)	(350	)	(1,797	)	576		(1,482	)
Capital and other asset changes:
Taxpayer-supported capital investments	3,743		3,719		4,110		3,565		3,279		3,151		3,407		3,459		3,659		3,908		4,452		4,772		45,224
Less: amortization and other accounting changes	(1,856	)	(2,039	)	(2,051	)	(2,151	)	(2,209	)	(2,135	)	(2,157	)	(2,205	)	(2,638	)	626		(2,459	)	(2,577	)	(23,851	)
Increase in net capital assets	1,887		1,680		2,059		1,414		1,070		1,016		1,250		1,254		1,021		4,534		1,993		2,195		21,373
Increase (decrease) in restricted assets	48		63		71		65		65		51		60		78		64		73		66		97		801
Increase (decrease) in other assets	57		144		120		3		72		341		(26	)	(228	)	87		(170	)	42		163		605
	1,992		1,887		2,250		1,482		1,207		1,408		1,284		1,104		1,172		4,437		2,101		2,455		22,779
Increase (decrease) in net liabilities	2,357		3,219		2,593		3,611		2,274		768		(100	)	982		(1,829	)	4,087		304		3,031		21,297
Investment and working capital changes:
Increase (reduction) in cash and temporary investments	(769	)	(2,274	)	149		175		(62	)	(372	)	874		217		340		(792	)	(411	)	956		(1,969	)
Increase (decrease) in warehouse borrowing investments	2,081		(2,081	)	-		-		-		-		-		-		-		-		-		-		-
Investment in commercial Crown corporations:
Increase (decrease) in retained earnings	623		1,506		(366	)	(94	)	543		298		415		(740	)	(20	)	(1,383	)	(394	)	783		1,171
Self-supported capital investments	1,810		3,362		2,470		2,744		2,765		2,519		2,488		2,573		2,725		2,729		4,106		4,386		34,677
Less: loan repayments and other accounting changes	(387	)	(1,046	)	(924	)	(719	)	(724	)	(472	)	(1,119	)	(1,156	)	(957	)	(6,004	)	(2,093	)	(2,165	)	(17,766	)
	2,046		3,822		1,180		1,931		2,584		2,345		1,784		677		1,748		(4,658	)	1,619		3,004		18,082
Other working capital changes 1	(2,857	)	330		(481	)	(872	)	1,089		1,222		(202	)	977		(181	)	645		(1,019	)	(1,603	)	(2,952	)
	501		(203	)	848		1,234		3,611		3,195		2,456		1,871		1,907		(4,805	)	189		2,357		13,161
Increase (decrease) in financial statement debt	2,858		3,016		3,441		4,845		5,885		3,963		2,356		2,853		78		(718	)	493		5,388		34,458
(Increase) decrease in sinking fund debt	515		805		(81	)	(81	)	(287	)	943		(142	)	(603	)	493		(261	)	596		60		1,957
Increase (decrease) in guarantees	(16	)	(20	)	39		99		(34	)	27		(33	)	6		(23	)	(188	)	(2	)	57		(88	)
Increase (decrease) in non-guaranteed debt	20		70		(130	)	176		59		(56	)	46		75		38		249		(44	)	430		933
Increase (decrease) in total provincial debt	3,377		3,871		3,269		5,039		5,623		4,877		2,227		2,331		586		(918	)	1,043		5,935		37,260
Represented by increase (decrease) in:
Taxpayer-supported debt	(147	)	3,566		1,853		2,838		3,523		2,886		812		839		(1,220	)	2,108		(926	)	3,548		19,680
Self-supported debt	3,524		305		1,416		2,201		2,100		1,991		1,415		1,492		1,806		(3,026	)	1,969		2,651		17,844
Total provincial debt	3,377		3,871		3,269		5,039		5,623		4,877		2,227		2,331		586		(918	)	1,043		6,199		37,524

¹ Includes changes in other financial assets, sinking funds, accounts payable, and deferred revenue.

2020 Financial And Economic Review – September 2020 | 99

Appendix 2 – Financial Review Supplementary Tables

Table A2.4 Revenue by Source – 2008/09 to 2019/20

																									Average
	Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		Actual		annual
($ millions)	2008/09		2009/10		2010/11		2011/12		2012/13		2013/14		2014/15		2015/16		2016/17		2017/18		2018/19		2019/20		change
																									(per cent)
Taxation revenue:
Personal income	6,309		5,769		5,805		6,427		6,977		6,862		8,076		8,380		9,704		8,923		11,364		10,657		4.9
Corporate income	2,294		1,625		2,026		2,002		2,204		2,427		2,635		2,787		3,003		4,165		5,180		5,011		7.4
Employer health	-		-		-		-		-		-		-		-		-		-		464		1,897		n/a
Harmonized sales	-		-		4,176		5,779		5,950		(226	)	(91	)	(55	)	6		13		7		-		n/a
Other sales 1	5,137		4,945		1,438		151		118		5,529		5,853		6,045		6,600		7,118		7,362		7,374		3.3
Fuel	891		884		940		928		890		917		932		973		969		1,010		1,015		1,008		1.1
Carbon	306		541		741		959		1,120		1,222		1,198		1,190		1,220		1,255		1,465		1,682		16.8
Tobacco	709		683		735		636		614		724		752		734		737		727		781		729		0.3
Property	1,850		1,887		1,920		1,913		1,985		2,080		2,154		2,219		2,279		2,367		2,617		2,608		3.2
Property transfer	715		887		855		944		758		937		1,065		1,533		2,026		2,141		1,826		1,609		7.7
Corporation capital	108		95		(3	)	(5	)	1		-		(1	)	-		-		-		-		-		n/a
Insurance premium	389		389		399		411		433		458		483		520		549		602		633		691		5.4
	18,708		17,705		19,032		20,145		21,050		20,930		23,056		24,326		27,093		28,321		32,714		33,266		5.4
Natural resource revenue:
Natural gas royalties	1,314		406		313		339		169		445		493		139		152		161		199		118		-19.7
Crown land tenures	814		867		923		928		868		859		834		765		633		276		279		225		-11.0
Columbia River Treaty	231		168		136		110		89		170		130		116		111		111		202		119		-5.9
Other energy and minerals	479		421		514		529		306		269		267		226		403		619		557		386		-1.9
Forests	557		387		436		482		562		719		754		865		913		1,065		1,406		988		5.3
Other resources	413		398		406		424		479		493		459		460		499		463		465		432		0.4
	3,808		2,647		2,728		2,812		2,473		2,955		2,937		2,571		2,711		2,695		3,108		2,268		-4.6
Other revenue:
Medical Services Plan premiums	1,595		1,666		1,787		1,919		2,047		2,158		2,254		2,434		2,558		2,266		1,360		1,063		-3.6
Post-secondary education fees	1,036		1,123		1,235		1,291		1,345		1,445		1,544		1,666		1,828		2,034		2,275		2,451		8.1
Other healthcare related fees	257		267		308		324		327		333		358		374		404		429		441		475		5.7
Motor vehicle licences and permits	450		449		467		479		489		504		499		521		529		557		568		579		2.3
Other fees and licences	670		616		643		722		699		770		770		841		894		963		949		1,004		3.7
Investment earnings	818		930		843		1,022		1,189		1,203		1,171		1,213		1,232		1,101		1,243		1,263		4.0
Sales of goods and services	694		728		759		930		942		946		967		1,011		1,131		1,133		1,164		1,162		4.8
Miscellaneous	1,809		1,887		1,929		1,746		1,673		2,256		1,893		2,287		2,377		2,410		2,249		2,676		3.6
	7,329		7,666		7,971		8,433		8,711		9,615		9,456		10,347		10,953		10,893		10,249		10,673		3.5
Contributions from the federal government:
Canada Health Transfer	3,343		3,450		3,689		3,858		3,887		4,280		4,186		4,454		4,744		4,994		5,182		5,523		4.7
Canada Social Transfer	1,400		1,433		1,487		1,526		1,555		1,589		1,641		1,695		1,751		1,854		1,908		1,971		3.2
Harmonized sales tax transition payments	-		250		769		580		-		-		-		-		-		-		-		-		n/a
Other cost shared agreements	1,252		1,794		2,064		1,760		1,605		1,645		1,452		1,498		1,672		2,207		1,962		2,041		4.5
	5,995		6,927		8,009		7,724		7,047		7,514		7,279		7,647		8,167		9,055		9,052		9,535		4.3
Commercial Crown corporation net income:
BC Hydro 2	365		447		591		558		509		549		581		655		684		683		(428	)	705		6.2
Liquor Distribution Branch	891		877		891		909		930		877		935		1,031		1,083		1,119		1,104		1,107		2.0
BC Lottery Corp (net of payments to federal gov’t)	1,082		1,070		1,097		1,102		1,116		1,165		1,245		1,304		1,329		1,391		1,405		1,336		1.9
BC Railway Company	36		2		15		14		6		13		5		6		7		53		8		9		-11.8
ICBC	512		601		315		84		231		136		657		(293	)	(612	)	(1,327	)	(1,153	)	(376	)	-197.2
Transportation Investment Corp.	(47	)	(4	)	(7	)	(17	)	(60	)	(88	)	(89	)	(80	)	(81	)	(29	)	-		-		n/a
Other	41		40		38		41		44		49		37		87		115		116		119		137		11.6
Accounting adjustments 2	-		-		-		-		-		-		-		-		-		(950	)	950		-		n/a
	2,880		3,033		2,940		2,691		2,776		2,701		3,371		2,710		2,525		1,056		2,005		2,918		0.1
Total revenue	38,720		37,978		40,680		41,805		42,057		43,715		46,099		47,601		51,449		52,020		57,128		58,660		3.8

¹ Includes social service tax, hotel room tax, provincial sales tax, tax on designated properties and housing transition tax.

² BC Hydro’s loss for 2018/19 includes a write-off of a regulatory account. At the summary level, the Province recognized a $950 million adjustment in fiscal 2017/18 with respect to BC Hydro’s deferred regulatory accounts.

100 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.5 Revenue by Source Supplementary Information –2008/09 to 2019/20

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Percent of Nominal GDP: 1
Taxation	9.1	8.9	9.2	9.2	9.4	9.1	9.5	9.7	10.3	10.0	11.1	10.9	1.7
Natural resources	1.8	1.3	1.3	1.3	1.1	1.3	1.2	1.0	1.0	1.0	1.1	0.7	-8.0
Other	3.6	3.9	3.9	3.9	3.9	4.2	3.9	4.1	4.2	3.9	3.5	3.5	-0.2
Contributions from the federal government	2.9	3.5	3.9	3.5	3.2	3.3	3.0	3.0	3.1	3.2	3.1	3.1	0.6
Commercial Crown corporation net income	1.4	1.5	1.4	1.2	1.2	1.2	1.4	1.1	1.0	0.4	0.7	1.0	-3.4
Total revenue	18.8	19.2	19.7	19.1	18.8	18.9	18.9	19.0	19.5	18.4	19.3	19.2	0.2
Growth rates (per cent):
Taxation	-5.4	-5.4	7.5	5.8	4.5	-0.6	10.2	5.5	11.4	4.5	15.5	1.7	n/a
Natural resources	1.8	-30.5	3.1	3.1	-12.1	19.5	-0.6	-12.5	5.4	-0.6	15.3	-27.0	n/a
Other	-3.1	4.6	4.0	5.8	3.3	10.4	-1.7	9.4	5.9	-0.5	-5.9	4.1	n/a
Contributions from the federal government	0.9	15.5	15.6	-3.6	-8.8	6.6	-3.1	5.1	6.8	10.9	0.0	5.3	n/a
Commercial Crown corporation net income	-3.8	5.3	-3.1	-8.5	3.2	-2.7	24.8	-19.6	-6.8	-58.2	89.9	45.5	n/a
Total revenue	-3.3	-1.9	7.1	2.8	0.6	3.9	5.5	3.3	8.1	1.1	9.8	2.7	n/a
Percapita ($): 2
Taxation	4,301	4,014	4,262	4,475	4,609	4,520	4,898	5,093	5,576	5,751	6,541	6,560	3.9
Natural resources	876	600	611	625	542	638	624	538	558	547	621	447	-5.9
Other	1,685	1,738	1,785	1,873	1,907	2,077	2,009	2,166	2,254	2,212	2,049	2,105	2.0
Contributions from the federal government	1,378	1,571	1,794	1,716	1,543	1,623	1,546	1,601	1,681	1,839	1,810	1,880	2.9
Commercial Crown corporation net income	662	688	658	598	608	583	716	567	520	214	401	575	-1.3
Total revenue	8,903	8,611	9,110	9,286	9,209	9,442	9,793	9,966	10,588	10,564	11,423	11,567	2.4
Real Per Capita Revenue (2019 $) 3	10,417	10,075	10,519	10,473	10,273	10,540	10,823	10,895	11,366	11,105	11,690	11,567	1.0
Growth rate (per cent)	-6.5	-3.3	4.4	-0.4	-1.9	2.6	2.7	0.7	4.3	-2.3	5.3	4.2	n/a

¹ Revenue as a per cent of GDP is calculated using GDP for the calendar year ending in the fiscal year (e.g. 2019/20 revenue divided by GDP for the 2019 calendar year). As nominal GDP for the calendar year ending 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes. Totals may not add due to rounding.

² Per capita revenue is calculated using July 1 population (e.g. 2019/20 revenue divided by population on July 1, 2019). Totals may not add due to rounding.

³ Revenue is converted to real (inflation-adjusted) terms using the consumer price index (CPI) for the corresponding calendar year (e.g. 2019 CPI for 2019/20 revenue).

2020 Financial And Economic Review – September 2020 | 101

Appendix 2 – Financial Review Supplementary Tables

Table A2.6 Expense by Function – 2008/09 to 2019/20 ¹

														Average
	Actual		Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
($ millions)	2008/09		2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
														(per cent)
Function:
Health:
Medical Services Plan	3,282		3,407	3,641	3,873	3,906	4,114	4,136	4,345	4,573	4,623	4,861	5,013	3.9
Pharmacare	1,010		1,053	1,129	1,147	1,122	1,130	1,120	1,335	1,284	1,400	1,494	1,517	3.8
Regional services	10,030		10,273	10,597	11,255	11,784	11,960	12,410	12,811	13,079	14,094	14,996	16,047	4.4
Other healthcare expenses	601		597	625	642	690	658	704	712	753	810	800	872	3.4
	14,923		15,330	15,992	16,917	17,502	17,862	18,370	19,203	19,689	20,927	22,151	23,449	4.2
Education:
Elementary and secondary	5,740		5,778	5,802	5,885	6,002	6,133	6,064	6,303	6,422	6,917	7,253	7,582	2.6
Post-secondary	4,574		4,733	4,860	4,908	5,104	5,285	5,350	5,503	5,673	5,998	6,394	6,842	3.7
Other education expenses	158		528	504	436	423	410	414	407	374	176	442	310	6.3
	10,472		11,039	11,166	11,229	11,529	11,828	11,828	12,213	12,469	13,091	14,089	14,734	3.2
Social services:
Social assistance	1,339		1,454	1,506	1,550	1,552	1,572	1,589	1,641	1,692	1,988	2,202	2,342	5.2
Child welfare	1,073		1,077	1,118	1,112	1,098	1,097	1,129	1,301	1,358	1,507	1,652	1,940	5.5
Low income tax credit transfers	188		216	408	509	534	279	248	247	244	239	414	435	7.9
Community living and other services	723		729	754	769	806	857	881	917	949	1,003	1,075	1,170	4.5
	3,323		3,476	3,786	3,940	3,990	3,805	3,847	4,106	4,243	4,737	5,343	5,887	5.3
Protection of persons and property	1,429		1,380	1,448	1,512	1,539	1,520	1,451	1,572	1,655	1,930	2,004	2,126	3.7
Transportation	1,401		1,453	1,580	1,545	1,555	1,580	1,608	1,670	1,784	1,931	2,021	2,126	3.9
Natural resources & economic development	1,886		2,159	2,349	1,873	2,092	1,755	2,191	2,477	2,465	3,374	3,825	3,778	6.5
Other	1,649		1,382	1,208	1,414	1,346	1,184	1,288	1,264	2,260	1,553	1,810	2,501	3.9
General government	1,425		1,375	1,146	1,235	1,262	1,386	1,359	1,501	1,532	1,540	1,670	1,653	1.4
Debt servicing	2,158		2,197	2,252	2,383	2,390	2,482	2,498	2,826	2,587	2,623	2,684	2,727	2.2
Operating expense	38,666		39,791	40,927	42,048	43,205	43,402	44,440	46,832	48,684	51,706	55,597	58,981	3.9
Unusual items:
Negotiating Framework incentive payments	2		-	-	-	-	-	-	-	-	-	-	-	n/a
Climate Action Dividend	(20	)	-	-	-	-	-	-	-	-	-	-	-	n/a
HST transition funding repayment	-		-	-	1,599	-	-	-	-	-	-	-	-	n/a
Total expense	38,648		39,791	40,927	43,647	43,205	43,402	44,440	46,832	48,684	51,706	55,597	58,981	3.9
Per cent of operating expense:
Health	38.6		38.5	39.1	40.2	40.5	41.2	41.3	41.0	40.4	40.5	39.8	39.8	0.3
Education	27.1		27.7	27.3	26.7	26.7	27.3	26.6	26.1	25.6	25.3	25.3	25.0	-0.7
Social services and housing	8.6		8.7	9.3	9.4	9.2	8.8	8.7	8.8	8.7	9.2	9.6	10.0	1.4
Protection of persons and property	3.7		3.5	3.5	3.6	3.6	3.5	3.3	3.4	3.4	3.7	3.6	3.6	-0.2
Transportation	3.6		3.7	3.9	3.7	3.6	3.6	3.6	3.6	3.7	3.7	3.6	3.6	0.0
Natural resources & economic development	4.9		5.4	5.7	4.5	4.8	4.0	4.9	5.3	5.1	6.5	6.9	6.4	2.5
Other	4.3		3.5	3.0	3.4	3.1	2.7	2.9	2.7	4.6	3.0	3.3	4.2	-0.1
General government	3.7		3.5	2.8	2.9	2.9	3.2	3.1	3.2	3.1	3.0	3.0	2.8	-2.5
Debt servicing	5.6		5.5	5.5	5.7	5.5	5.7	5.6	6.0	5.3	5.1	4.8	4.6	-1.7
	100.0		100.0	100.0	100.0	100.0	100.0	100.0	100.0	100.0	100.0	100.0	100.0

¹ Figures have been restated to reflect government accounting policies in effect at March 31, 2020.

102 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.7 Expense by Function Supplementary Information – 2008/09 to 2019/20 ¹

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Per cent of nominal GDP: 2
Health	7.2	7.7	7.7	7.7	7.8	7.7	7.5	7.7	7.5	7.4	7.5	7.7	0.5
Education	5.1	5.6	5.4	5.1	5.2	5.1	4.9	4.9	4.7	4.6	4.8	4.8	-0.5
Social services	1.6	1.8	1.8	1.8	1.8	1.6	1.6	1.6	1.6	1.7	1.8	1.9	1.6
Protection of persons and property	0.7	0.7	0.7	0.7	0.7	0.7	0.6	0.6	0.6	0.7	0.7	0.7	0.0
Transportation	0.7	0.7	0.8	0.7	0.7	0.7	0.7	0.7	0.7	0.7	0.7	0.7	0.2
Natural resources & economic development	0.9	1.1	1.1	0.9	0.9	0.8	0.9	1.0	0.9	1.2	1.3	1.2	2.8
Other	0.8	0.7	0.6	0.6	0.6	0.5	0.5	0.5	0.9	0.5	0.6	0.8	0.2
General government	0.7	0.7	0.6	0.6	0.6	0.6	0.6	0.6	0.6	0.5	0.6	0.5	-2.2
Debt servicing	1.0	1.1	1.1	1.1	1.1	1.1	1.0	1.1	1.0	0.9	0.9	0.9	-1.4
Operating expense	18.7	20.1	19.8	19.2	19.3	18.8	18.2	18.7	18.4	18.3	18.8	19.3	0.3
Growth rates (per cent):
Health	5.8	2.7	4.3	5.8	3.5	2.1	2.8	4.5	2.5	6.3	5.8	5.9	n/a
Education	4.9	5.4	1.2	0.6	2.7	2.6	0.0	3.3	2.1	5.0	7.6	4.6	n/a
Social services	10.0	4.6	8.9	4.1	1.3	-4.6	1.1	6.7	3.3	11.6	12.8	10.2	n/a
Protection of persons and property	0.0	-3.4	4.9	4.4	1.8	-1.2	-4.5	8.3	5.3	16.6	3.8	6.1	n/a
Transportation	1.7	3.7	8.7	-2.2	0.6	1.6	1.8	3.9	6.8	8.2	4.7	5.2	n/a
Natural resources & economic development	-9.0	14.5	8.8	-20.3	11.7	-16.1	24.8	13.1	-0.5	36.9	13.4	-1.2	n/a
Other	19.0	-16.2	-12.6	17.1	-4.8	-12.0	8.8	-1.9	78.8	-31.3	16.5	38.2	n/a
General government	17.0	-3.5	-16.7	7.8	2.2	9.8	-1.9	10.4	2.1	0.5	8.4	-1.0	n/a
Debt servicing	-3.5	1.8	2.5	5.8	0.3	3.8	0.6	13.1	-8.5	1.4	2.3	1.6	n/a
Operating expense	5.0	2.9	2.9	2.7	2.8	0.5	2.4	5.4	4.0	6.2	7.5	14.1	n/a
Per capita ($): 3
Health	3,431	3,476	3,581	3,758	3,832	3,858	3,903	4,020	4,052	4,250	4,429	4,624	2.7
Education	2,408	2,503	2,500	2,494	2,525	2,555	2,513	2,557	2,566	2,658	2,817	2,905	1.7
Social services	764	788	848	875	874	822	817	860	873	962	1,068	1,161	3.9
Protection of persons and property	329	313	324	336	337	328	308	329	341	392	401	419	2.2
Transportation	322	329	354	343	341	341	342	350	367	392	404	419	2.4
Natural resources & economic development	434	490	526	416	458	379	465	519	507	685	765	745	5.0
Other	379	313	271	314	295	256	274	265	465	315	362	493	2.4
General government	328	312	257	274	276	299	289	314	315	313	334	326	-0.1
Debt servicing	496	498	504	529	523	536	531	592	532	533	537	538	0.7
Operating expense	8,891	9,022	9,165	9,339	9,461	9,374	9,442	9,806	10,018	10,500	11,117	11,630	2.5
Real Per Capita Operating Expense (2019 $) 4	10,402	10,556	10,583	10,534	10,553	10,465	10,434	10,718	10,756	11,038	11,377	11,630	1.0
Growth rate (per cent)	1.4	1.5	0.2	-0.5	0.2	-0.8	-0.3	2.7	0.3	2.6	3.1	5.4	12.7

¹ Numbers may not add due to rounding.

² Expense as a per cent of GDP is calculated using nominal GDP for the calendar year ending in the fiscal year (e.g. 2019/20 expense divided by nominal GDP for the 2019 calendar year).

³ Per capita expense is calculated using July 1 population (e.g. 2019/20 expense divided by population on July 1, 2019).

⁴ Expense is converted to real (inflation-adjusted) terms using the consumer price index (CPI) for the corresponding calendar year (e.g. 2019 CPI for 2019/20 expense).

2020 Financial And Economic Review – September 2020 | 103

Appendix 2 – Financial Review Supplementary Tables

Table A2.8 Full-Time Equivalents (FTEs) – 2008/09 to 2019/20

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Taxpayer-supported programs and agencies:
Ministries and special offices (CRF)	31,874	31,353	30,221	27,228	27,326	26,526	26,679	27,192	27,940	29,291	30,891	31,774	0.0
Service delivery agencies	4,403	4,508	4,295	4,346	4,508	4,640	4,798	4,803	4,850	5,076	5,258	5,985	2.8
Total FTEs	36,277	35,861	34,516	31,574	31,834	31,166	31,477	31,995	32,790	34,367	36,149	37,759	0.4
Growth rates:
Ministries and special offices (CRF)	5.5	-1.6	-3.6	-9.9	0.4	-2.9	0.6	1.9	2.8	4.8	5.5	2.9	0.5
Service delivery agencies	6.7	2.4	-4.7	1.2	3.7	2.9	3.4	0.1	1.0	4.7	3.6	13.8	3.2
Population per FTE: 2
Total FTEs	119.9	123.0	129.4	142.6	143.5	148.6	149.5	149.3	148.2	143.3	138.3	134.3	1.0

¹ Service delivery agency FTE figures do not include SUCH sector staff employment.

² Population per FTE is calculated using July 1 population (e.g. population on July 1, 2019 divided by 2019/20 FTEs).

104 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.9 Capital Spending – 2008/09 to 2019/20  

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
($ millions)	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Taxpayer-supported:
Education
Schools (K–12)	413	449	433	560	509	466	420	430	474	578	626	877	7.1
Post-secondary	630	669	924	655	591	507	718	746	792	968	1,024	936	3.7
Health	892	927	916	732	742	690	900	923	1,004	890	904	1,009	1.1
BC Transportation Financing Authority	881	918	1,080	921	1,005	1,017	822	867	823	717	853	955	0.7
BC Transit	77	150	39	37	48	80	83	51	41	115	85	73	-0.5
Vancouver Convention Centre expansion	242	41	10	1	-	-	-	-	-	-	-	-	n/a
BC Place redevelopment	45	75	197	194	6	-	-	-	-	-	-	-	n/a
Government direct (ministries)	430	306	261	245	267	298	326	290	301	430	421	520	1.7
Housing	106	137	230	196	92	65	107	127	184	169	483	355	11.6
Other	27	47	20	24	19	28	31	25	40	41	56	47	5.2
	3,743	3,719	4,110	3,565	3,279	3,151	3,407	3,459	3,659	3,908	4,452	4,772	2.2
Self-supported:
BC Hydro	1,397	2,406	1,519	1,703	1,929	2,036	2,169	2,306	2,444	2,473	3,826	3,082	7.5
BC Transmission Corporation	19	12	-	-	-	-	-	-	-	-	-	-	n/a
Columbia Basin power projects	32	16	67	108	94	52	28	15	2	1	2	994	36.7
Transportation Invest. Corp.	215	778	730	734	540	202	76	25	38	4	-	-	n/a
BC Railway Company	10	14	6	9	10	8	5	23	4	11	33	6	-4.5
ICBC	22	22	48	92	73	82	88	90	62	54	66	62	9.9
BC Lottery Corporation	97	92	81	74	97	100	69	68	86	82	75	102	0.5
Liquor Distribution Branch	17	19	18	19	10	13	25	23	27	48	60	36	7.1
Other	1	3	1	5	12	26	28	23	62	56	44	104	52.5
	1,810	3,362	2,470	2,744	2,765	2,519	2,488	2,573	2,725	2,729	4,106	4,386	8.4
Total capital spending	5,553	7,081	6,580	6,309	6,044	5,670	5,895	6,032	6,384	6,637	8,558	9,158	4.7
Per cent of Nominal GDP: 1
Taxpayer-supported	1.8	1.9	2.0	1.6	1.5	1.4	1.4	1.4	1.4	1.4	1.5	1.6	-1.4
Self-supported	0.9	1.7	1.2	1.3	1.2	1.1	1.0	1.0	1.0	1.0	1.4	1.4	4.6
Total	2.7	3.6	3.2	2.9	2.7	2.5	2.4	2.4	2.4	2.3	2.9	3.0	1.0
Growth rates:
Taxpayer-supported	2.2	-0.6	10.5	-13.3	-8.0	-3.9	8.1	1.5	5.8	6.8	13.9	7.2	2.5
Self-supported	39.3	85.7	-26.5	11.1	0.8	-8.9	-1.2	3.4	5.9	0.1	50.5	6.8	13.9
Total	11.9	27.5	-7.1	-4.1	-4.2	-6.2	4.0	2.3	5.8	4.0	28.9	7.0	5.8
Per capita: 2
Taxpayer-supported	861	843	920	792	718	681	724	724	753	794	890	941	0.8
Self-supported	416	762	553	609	605	544	529	539	561	554	821	865	6.9
Total	1,277	1,605	1,474	1,401	1,323	1,225	1,252	1,263	1,314	1,348	1,711	1,806	3.2
Real Per Capita Capital Spending (2019 $) 3	1,494	1,879	1,701	1,581	1,476	1,367	1,384	1,381	1,410	1,417	1,751	1,806	1.7
Growth rate (per cent)	8.1	25.7	-9.4	-7.1	-6.6	-7.4	1.2	-0.3	2.2	0.5	23.6	27.5	4.8

¹ Capital spending as a per cent of GDP is calculated using GDP for the calendar year ending in the fiscal year (e.g. 2019/20 amounts divided by GDP for the 2019 calendar year). As nominal GDP for the calendar year ending 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes. Totals may not add due to rounding.

² Per capita capital spending is calculated using July 1 population (e.g. 2019/20 amounts divided by population on July 1, 2019). Totals may not add due to rounding.

³ Capital spending is converted to real (inflation-adjusted) terms using the consumer price index (CPI) for the corresponding calendar year (e.g. 2019 CPI for 2019/20 capital spending).

2020 Financial And Economic Review – September 2020 | 105

Appendix 2 – Financial Review Supplementary Tables

Table A2.10 Provincial Debt – 2008/09 to 2019/20                      

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
($ millions)	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Taxpayer-supported debt:
Provincial government direct operating	5,744	7,359	6,964	7,813	9,408	10,223	9,280	8,034	4,644	1,156	-	-	n/a
Other taxpayer-supported debt (mainly capital):
Education facilities
Post-secondary institutions	3,611	3,824	4,092	4,185	4,315	4,386	4,518	4,731	4,984	5,328	5,370	5,670	4.2
Schools	5,522	5,777	6,016	6,407	6,830	7,245	7,600	8,033	8,473	8,908	8,904	9,775	5.3
	9,133	9,601	10,108	10,592	11,145	11,631	12,118	12,764	13,457	14,236	14,274	15,445	4.9
Health facilities	3,936	4,389	4,895	5,293	5,691	6,038	6,522	6,998	7,552	7,903	7,968	8,507	7.3
Highways, ferries and public transit
BC Transit	94	140	158	183	163	143	123	106	94	84	73	65	-3.3
BC Transportation Financing Authority	4,586	5,211	5,785	6,287	7,084	7,912	8,428	9,177	9,974	10,388	11,293	12,193	9.3
Port Mann Bridge	-	-	-	-	-	-	-	-	-	3,508	3,510	3,510	n/a
Public transit	997	997	997	1,000	1,000	1,000	1,000	1,000	1,000	1,000	870	870	-1.2
Sky Train extension	1,154	1,154	1,155	1,174	1,174	1,174	1,174	1,174	1,174	1,174	1,021	1,021	-1.1
	6,831	7,502	8,095	8,644	9,421	10,229	10,725	11,457	12,242	16,154	16,767	17,659	9.0
Other
BC Immigration Investment Fund	287	289	347	398	363	440	414	304	217	1 61	70	45	-15.5
BC Pavilion Corporation	-	49	250	383	383	382	381	389	376	374	3 71	3 78	n/a
Homeowner Protection Office	150	144	-	-	-	-	-	-	-	-	-	-	n/a
Provincial government general capital	-	294	570	808	1,073	1,372	1,698	1,987	2,288	2,718	2,363	3,133	n/a
Social Housing	286	305	511	674	658	719	715	760	695	8 78	8 44	1,027	12.3
Other	35	36	81	54	40	34	27	26	28	27	24	35	0.0
	758	1,117	1,759	2,317	2,517	2,947	3,235	3,466	3,604	4,158	3,672	4,618	17.9
Total other taxpayer-supported debt	20,658	22,609	24,857	26,846	28,774	30,845	32,600	34,685	36,855	42,451	42,681	46,229	7.6
Total taxpayer-supported debt	26,402	29,968	31,821	34,659	38,182	41,068	41,880	42,719	41,499	43,607	42,681	46,229	5.2
Self-supported debt:
Commercial Crown corporations and agencies
BC Hydro	9,054	10,792	11,710	12,978	14,167	15,559	16,544	17,929	19,685	19,990	22,064	23,238	8.9
BC Liquor Distribution Branch	-	-	-	-	-	-	-	-	-	-	-	210	n/a
BC Lottery Corporation	-	60	85	90	132	155	140	150	145	155	100	233	n/a
BC Transmission Corporation	70	70	-	-	-	-	-	-	-	-	-	-	n/a
Columbia Power Corporation	-	-	-	-	-	-	300	296	291	286	282	276	n/a
Columbia Basin power projects	208	196	183	481	475	470	464	459	448	433	418	1,387	18.8
Post-secondary institutions’ subsidiaries	149	220	173	173	215	198	222	310	340	418	387	504	11.7
Transportation Investment Corp.	20	544	1,148	1,779	2,610	3,209	3,335	3,355	3,398	-	-	-	n/a
Other	30	35	34	33	35	34	35	33	31	30	30	84	9.8
	9,531	11,917	13,333	15,534	17,634	19,625	21,040	22,532	24,338	21,312	23,281	25,932	9.5
Warehouse borrowing program	2,081	-	-	-	-	-	-	-	-	-	-	-	n/a
Total self-supported debt	11,612	11,917	13,333	15,534	17,634	19,625	21,040	22,532	24,338	21,312	23,281	25,932	7.6
Total provincial debt	38,014	41,885	45,154	50,193	55,816	60,693	62,920	65,251	65,837	64,919	65,962	72,161	6.0

106 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.11 Provincial Debt Supplementary Information – 2008/09 to 2019/20                  

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
($ millions)	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Per cent of Nominal GDP: 1
Taxpayer-supported debt:
Provincial government direct operating	2.8	3.7	3.4	3.6	4.2	4.4	3.8	3.2	1.8	0.4	-	-	n/a
Education facilities	4.4	4.8	4.9	4.8	5.0	5.0	5.0	5.1	5.1	5.0	4.8	5.0	1.2
Health facilities	1.9	2.2	2.4	2.4	2.5	2.6	2.7	2.8	2.9	2.8	2.7	2.8	3.5
Highways, ferries and public transit	3.3	3.8	3.9	4.0	4.2	4.4	4.4	4.6	4.6	5.7	5.7	5.8	5.2
Other	0.4	0.6	0.9	1.1	1.1	1.3	1.3	1.4	1.4	1.5	1.2	1.5	13.7
Total taxpayer-supported debt	12.8	15.1	15.4	15.8	17.1	17.8	17.2	17.0	15.7	15.4	14.4	15.1	1.5
Self-supported debt:
Commercial Crown corporations & agencies	4.6	6.0	6.4	7.1	7.9	8.5	8.6	9.0	9.2	7.5	7.9	8.5	5.7
Warehouse borrowing program	1.0	-	-	-	-	-	-	-	-	-	-	-	- n/a
Total self-supported debt	5.6	6.0	6.4	7.1	7.9	8.5	8.6	9.0	9.2	7.5	7.9	8.5	3.8
Total provincial debt	18.4	21.1	21.8	22.9	25.0	26.3	25.8	26.0	24.9	23.0	22.3	23.6	2.3
Growth rates:
Taxpayer-supported debt:
Provincial government direct operating	-24.5	28.1	-5.4	12.2	20.4	8.7	-9.2	-13.4	-42.2	-75.1	-100.0	-	n/a
Education facilities	5.7	5.1	5.3	4.8	5.2	4.4	4.2	5.3	5.4	5.8	0.3	8.2	5.0
Health facilities	12.1	11.5	11.5	8.1	7.5	6.1	8.0	7.3	7.9	4.6	0.8	6.8	7.7
Highways, ferries and public transit	11.2	9.8	7.9	6.8	9.0	8.6	4.8	6.8	6.9	32.0	3.8	5.3	9.4
Other	16.1	47.4	57.5	31.7	8.6	17.1	9.8	7.1	4.0	15.4	-11.7	25.8	19.1
Total taxpayer-supported debt	-0.6	13.5	6.2	8.9	10.2	7.6	2.0	2.0	-2.9	5.1	-2.1	8.3	4.8
Self-supported debt:
Commercial Crown corporations & agencies	17.8	25.0	11.9	16.5	13.5	11.3	7.2	7.1	8.0	-12.4	9.2	11.4	10.5
Warehouse borrowing program	-	-100.0	-	-	-	-	-	-	-	-	-	-	n/a
Total self-supported debt	43.6	2.6	11.9	16.5	13.5	11.3	7.2	7.1	8.0	-12.4	9.2	11.4	10.8
Total provincial debt	9.7	10.2	7.8	11.2	11.2	8.7	3.7	3.7	0.9	-1.4	1.6	9.4	6.4
Per capita: 2
Taxpayer-supported debt:
Provincial government direct operating	1,321	1,669	1,559	1,735	2,060	2,208	1,971	1,682	956	235	-	-	n/a
Education facilities	2,100	2,177	2,264	2,353	2,440	2,512	2,574	2,672	2,769	2,891	2,854	3,046	3.4
Health facilities	905	995	1,096	1,176	1,246	1,304	1,386	1,465	1,554	1,605	1,593	1,677	5.8
Highways, ferries and public transit	1,571	1,701	1,813	1,920	2,063	2,209	2,278	2,399	2,519	3,281	3,353	3,482	7.5
Other	174	253	394	515	551	636	687	726	742	844	734	911	16.2
Total taxpayer-supported debt	6,070	6,795	7,126	7,698	8,361	8,870	8,897	8,944	8,540	8,856	8,534	9,116	3.8
Self-supported debt:
Commercial Crown corporations & agencies	2,191	2,702	2,986	3,450	3,861	4,239	4,470	4,717	5,009	4,328	4,655	5,113	8.0
Warehouse borrowing program	478	-	-	-	-	-	-	-	-	-	-	-	n/a
Total self-supported debt	2,670	2,702	2,986	3,450	3,861	4,239	4,470	4,717	5,009	4,328	4,655	5,113	6.1
Total provincial debt	8,740	9,497	10,112	11,149	12,222	13,108	13,367	13,661	13,549	13,184	13,189	14,229	4.5
Real Per Capita Provincial Debt (2019 $) 3	10,227	11,112	11,675	12,575	13,633	14,634	14,772	14,934	14,545	13,859	13,497	14,229	3.0
Growth rate (per cent)	6.1	8.7	5.1	7.7	8.4	7.3	0.9	1.1	-2.6	-4.7	-2.6	5.4	-1.0

¹ Debt as a per cent of GDP is calculated using GDP for the calendar year ending in the fiscal year (e.g. 2019/20 debt divided by GDP for the 2019 calendar year). As nominal GDP for the calendar year ending in 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes. Totals may not add due to rounding.

² Per capita debt is calculated using July 1 population (e.g. 2019/20 debt divided by population on July 1, 2019). Totals may not add due to rounding.

³ Debt is converted to real (inflation-adjusted) terms using the consumer price index (CPI) for the corresponding calendar year (e.g. 2019 CPI for 2019/20 debt).

2020 Financial And Economic Review – September 2020 | 107

Appendix 2 – Financial Review Supplementary Tables

Table A2.12 Key Provincial Debt Indicators – 2008/09 to 2019/20 ¹                    

													Average
	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	Actual	annual
	2008/09	2009/10	2010/11	2011/12	2012/13	2013/14	2014/15	2015/16	2016/17	2017/18	2018/19	2019/20	change
													(per cent)
Debt to revenue (per cent)
Total provincial	77.2	86.5	88.5	94.7	104.1	107.8	106.6	105.9	99.3	94.7	89.5	95.9	2.0
Taxpayer-supported	71.0	82.6	78.8	85.1	93.6	96.4	94.1	91.3	81.8	82.5	75.0	80.6	1.2
Debt per capita ($) 2
Total provincial	8,740	9,497	10,112	11,149	12,222	13,108	13,367	13,661	13,549	13,184	13,189	14,229	4.5
Taxpayer-supported	6,070	6,795	7,126	7,698	8,361	8,870	8,897	8,944	8,540	8,856	8,534	9,116	3.8
Debt to nominal GDP (per cent) 3
Total provincial	18.4	21.1	21.8	22.9	25.0	26.3	25.8	26.0	24.9	23.0	22.3	23.6	2.3
Taxpayer-supported	12.8	15.1	15.4	15.8	17.1	17.8	17.2	17.0	15.7	15.4	14.4	15.1	1.5
Interest bite (cents per dollar of revenue) 4
Total provincial	4.3	4.6	4.2	4.3	4.4	4.3	4.3	4.7	3.8	4.0	3.8	3.8	-1.2
Taxpayer-supported	4.2	4.2	4.0	4.0	3.9	3.7	3.7	4.1	3.2	3.3	3.2	3.1	-2.6
Interest costs ($ millions)
Total provincial	2,138	2,205	2,155	2,300	2,339	2,444	2,525	2,919	2,521	2,759	2,786	2,872	2.7
Taxpayer-supported	1,570	1,534	1,596	1,625	1,600	1,583	1,651	1,932	1,644	1,725	1,793	1,807	1.3
Interest rate (per cent) 5
Taxpayer-supported	5.9	5.4	5.2	4.9	4.4	4.0	4.0	4.6	3.9	4.1	4.2	4.1	-3.4
Revenue Factor for Key Indicators ($ millions)
Total provincial 6	49,224	48,438	51,041	53,001	53,637	56,279	59,018	61,589	66,334	68,551	73,734	75,283	3.9
Taxpayer-supported 7	37,205	36,272	40,391	40,742	40,775	42,611	44,514	46,805	50,726	52,866	56,881	57,386	4.0
Debt ($ millions)
Total provincial	38,014	41,885	45,154	50,193	55,816	60,693	62,920	65,251	65,837	64,919	65,962	72,161	6.0
Taxpayer-supported 8	26,402	29,968	31,821	34,659	38,182	41,068	41,880	42,719	41,499	43,607	42,681	46,229	5.2
Provincial nominal GDP ($ millions) 9	206,427	198,179	206,990	218,771	223,328	230,981	243,872	250,784	263,912	282,642	295,401	306,272	3.7
Population (thousands at July 1) 10	4,349	4,411	4,466	4,502	4,567	4,630	4,707	4,776	4,859	4,924	5,001	5,071	1.4

¹ Figures for prior years have been restated to conform with the presentation used for 2019/20 and to include the effects of changes in underlying data and statistics.

² The ratio of debt to population (e.g. 2019/20 debt divided by population at July 1, 2019).

³ The ratio of debt outstanding at fiscal year end to provincial nominal gross domestic product (GDP) for the calendar year ending in the fiscal year (e.g. 2019/20 debt divided by 2019 nominal GDP). As nominal GDP for the calendar year ending 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes.

⁴ The ratio of interest costs (less sinking fund interest) to revenue. Figures include capitalized interest expense in order to provide a more comparable measure to outstanding debt.

⁵ Weighted average of all outstanding debt issues.

⁶ Includes revenue of the consolidated revenue fund (excluding dividends from enterprises) plus revenue of all government organizations and enterprises.

⁷ Excludes revenue of government enterprises, but includes dividends from enterprises paid to the consolidated revenue fund.

⁸ Excludes debt of commercial Crown corporations and agencies and funds held under the province’s warehouse borrowing program.

⁹ Nominal GDP for the calendar year ending in the fiscal year (e.g. Nominal GDP for 2019 is used for the fiscal year ended March 31, 2020). As nominal GDP for the calendar year ending 2019 is not available, the 2019 GDP projected in the February 2020 budget has been used for the fiscal year ended March 31, 2020 for demonstration purposes.

¹⁰ Population at July 1st within the fiscal year (e.g. population at July 1, 2019 is used for the fiscal year ended March 31, 2020).

108 | 2020 Financial And Economic Review – September 2020

Appendix 2 – Financial Review Supplementary Tables

Table A2.13 Historical Operating Statement Surplus (Deficit)        

								Crown												Surplus
								Corporations												(Deficit)
	Consolidated Revenue Fund							and			SUCH			Other			Surplus			as a Per Cent
($ millions)	Revenue		Expenditure		Balance			Agencies			Sector			Adjustments			(Deficit) 1			of GDP
1969/70		1,248		1,244		4			-			-			-			-			0.0
1970/71		1,373		1,274		99			-			-			-			-			1.0
1971/72		1,558		1,474		84			-			-			-			-			0.8
1972/73		1,772		1,675		97			-			-			-			-			0.8
1973/74		2,217		2,071		146			-			-			-			-			0.9
1974/75		2,769		2,779		(10	)		-			-			-			-			(0.1	)
1975/76		3,124		3,534		(410	)		-			-			-			-			(2.1	)
1976/77		3,785		3,691		94			-			-			-			-			0.4
1977/78		4,372		4,168		204			-			-			-			-			0.8
1978/79		4,853		4,582		271			-			-			-			-			0.9
1979/801		5,860		5,318		542			(88	)		-			-			454			1.3
1980/81		5,982		6,239		(257	)		45			-			-			(212	)		(0.5	)
1981/82		7,139		7,323		(184	)		43			-			-			(141	)		(0.3	)
1982/83		7,678		8,662		(984	)		(257	)		-			-			(1,241	)		(2.7	)
1983/84		8,335		9,347		(1,012	)		49			-			-			(963	)		(2.0	)
1984/85		8,807		9,801		(994	)		172			-			-			(822	)		(1.6	)
1985/86		9,160		10,127		(967	)		110			-			-			(857	)		(1.5	)
1986/87		9,463		10,624		(1,161	)		526			-			-			(635	)		(1.1	)
1987/88		11,007		11,055		(48	)		119			-			-			71			0.1
1988/89		12,570		11,834		736			194			-			-			930			1.3
1989/90		13,656		13,200		456			40			-			-			496			0.6
1990/91		14,236		15,010		(774	)		107			-			-			(667	)		(0.8	)
1991/92		14,570		17,101		(2,531	)		192			-			-			(2,339	)		(2.8	)
1992/93		16,172		17,858		(1,686	)		210			-			-			(1,476	)		(1.6	)
1993/94		17,923		18,833		(910	)		11			-			-			(899	)		(0.9	)
1994/95		19,506		19,953		(447	)		219			-			-			(228	)		(0.2	)
1995/96		19,698		20,054		(356	)		38			-			-			(318	)		(0.3	)
1996/97		20,126		20,241		(115	)		(270	)		-			-			(385	)		(0.3	)
1997/98		20,216		20,368		(152	)		(258	)		-			-			(410	)		(0.3	)
1998/99		20,312		20,526		(214	)		(689	)		(55	)		-			(958	)		(0.8	)
1999/2000		21,836		22,157		(321	)		345			(40	)		-			(16	)		0.0
2000/01		23,948		22,671		1,277			(171	)		138			(52	)3		1,192			0.9
2001/02		22,987		24,977		(1,990	)2		(711	)2		180			1,464	3		(1,057	)		(0.8	)
2002/03		22,205		25,164		(2,959	)		(216	)		526			-			(2,649	)		(1.8	)
2003/04		23,408		25,477		(2,069	)		347			369			-			(1,353	)		(0.9	)
2004/05		27,562		26,306		1,256			1,035			393			-			2,684			1.6
2005/06		29,711		27,174		2,537			550			594			(710	)4		2,971			1.7
2006/07		31,506		28,506		3,000			841			404			(264	)4		3,981			2.1
2007/08		32,317		30,565		1,752			995			442			(444	)4,5		2,745			1.4
2008/09		30,926		32,032		(1,106	)		975			185			18	4,5		72			0.0
2009/10		29,133		32,273		(3,140	)		803			524			-			(1,813	)		(0.9	)
2010/11		32,807		33,577		(770	)		(219	)		742			-			(247	)		(0.1	)
2011/12		33,269		34,590		(1,321	)		239			839			(1,599	)6		(1,842	)		(0.8	)
2012/13		33,363		35,120		(1,757	)		95			514			-			(1,148	)		(0.5	)
2013/14		34,657		34,891		(234	)		155			392			-			313			0.1
2014/15		36,802		36,058		744			199			716			-			1,659			0.7
2015/16		38,313		37,717		596			(621	)		794			-			769			0.3
2016/17		41,850		39,664		2,186			(168	)		747			-			2,765			1.0
2017/18		43,659		45,733		(2,074	)		1,270			1,118			-			314			0.1
2018/19		47,104		45,157		1,947			(1,289	)		873			-			1,531			0.5
2019/20		46,746		47,820		(1,074	)		(416	)		1,169			-			(321	)		(0.1	)

¹ The provincial government began publishing summary financial statements in 1979/80. Figures for prior years are unavailable. For 1969/70 to 1978/79, the CRF balance is used in place of the summary accounts surplus/(deficit).

² Does not include the $256 million transfer to the CRF for the wind-up of Forest Renewal BC and Fisheries Renewal BC.

³ Impact of move to joint trusteeship for public service pension plans.

⁴ Negotiating framework incentive payments.

⁵ Climate Action Dividend.

⁶ One-time HST transition repayment.

2020 Financial And Economic Review – September 2020 | 109

Appendix 2 – Financial Review Supplementary Tables

Table A2.14 Historical Provincial Debt Summary ¹            

	Taxpayer-Supported Debt
	Provincial	Education	Health			Total			Total Debt	Taxpayer-
	Government	Facilities	Facilities	Highways,		Taxpayer-	Self-	Total	as a	Supported
	Direct	Capital	Capital	Ferries and		Supported	Supported	Provincial	Per Cent	Debt as a Per
Year	Operating	Financing	Financing	Public Transit	Other 2	Debt	Debt 3	Debt	of GDP	Cent of GDP
				($ millions)					(per cent)
1969/70	-	338	42	142	100	622	1,661	2,283	24.7	6.7
1970/71	-	362	64	172	99	697	1,808	2,505	25.6	7.1
1971/72	-	380	85	233	95	793	1,948	2,741	24.9	7.2
1972/73	-	408	105	288	87	888	2,062	2,950	23.8	7.2
1973/74	-	425	117	340	145	1,027	2,228	3,255	21.1	6.7
1974/75	-	485	133	386	149	1,153	2,650	3,803	21.3	6.5
1975/76	-	557	178	544	145	1,424	3,144	4,568	23.1	7.2
1976/77	261	658	236	649	188	1,992	3,787	5,779	24.4	8.4
1977/78	261	710	291	656	215	2,133	4,464	6,597	24.9	8.1
1978/79	261	778	334	653	91	2,117	4,838	6,955	23.3	7.1
1979/80	235	836	401	730	195	2,397	5,704	8,101	23.3	6.9
1980/81	209	919	461	729	270	2,588	5,956	8,544	21.6	6.5
1981/82	183	1,067	561	844	291	2,946	7,227	10,173	21.8	6.3
1982/83	883	1,204	660	1,024	894	4,665	7,692	12,357	26.5	10.0
1983/84	1,596	1,321	712	1,392	1,174	6,195	8,440	14,635	29.7	12.6
1984/85	2,476	1,308	717	691	1,276	6,468	9,082	15,550	30.0	12.5
1985/86	3,197	1,276	680	1,034	1,376	7,563	8,990	16,553	29.7	13.6
1986/87	4,802	1,268	681	1,097	812	8,660	8,485	17,145	29.1	14.7
1987/88	5,017	1,278	716	1,192	660	8,863	8,149	17,012	26.1	13.6
1988/89	4,919	1,322	763	1,213	842	9,059	7,396	16,455	22.8	12.6
1989/90	4,209	1,367	837	1,244	1,262	8,919	7,340	16,259	20.7	11.4
1990/91	4,726	1,565	959	1,287	1,281	9,818	7,444	17,262	21.0	11.9
1991/92	6,611	1,939	1,040	1,527	1,431	12,548	7,493	20,041	23.6	14.8
1992/93	8,969	2,426	1,141	1,719	1,641	15,896	7,526	23,422	25.9	17.6
1993/94	10,257	3,054	1,181	1,862	1,627	17,981	7,946	25,927	26.7	18.5
1994/95	10,181	3,631	1,318	2,158	1,749	19,037	8,013	27,050	26.1	18.4
1995/96	10,237	3,990	1,399	2,598	1,695	19,919	8,847	28,766	26.3	18.2
1996/97	11,030	4,230	1,431	3,144	1,440	21,275	8,096	29,371	26.1	18.9
1997/98	11,488	4,352	1,417	3,463	1,431	22,151	8,204	30,355	25.6	18.7
1998/99	11,707	5,023	1,494	3,678	1,330	23,232	8,910	32,142	26.8	19.4
1999/2000	13,295	5,429	1,679	3,527	1,276	25,206	9,232	34,438	27.4	20.1
2000/01	11,578	5,737	2,028	4,234	1,527	25,104	8,684	33,788	24.8	18.4
2001/02	13,319	6,118	2,186	4,685	1,196	27,504	8,578	36,082	26.0	19.8
2002/03	14,957	6,394	2,265	4,835	919	29,370	7,487	36,857	25.6	20.4
2003/04	15,180	6,829	2,343	4,931	717	30,000	7,775	37,775	24.9	19.7
2004/05	13,969	7,122	2,253	4,644	660	28,648	7,221	35,869	21.8	17.4
2005/06	11,343	7,612	2,635	4,883	742	27,215	7,242	34,457	19.4	15.4
2006/07	8,889	8,026	3,053	5,436	533	25,937	7,502	33,439	17.6	13.6
2007/08	7,604	8,638	3,511	6,143	653	26,549	8,088	34,637	17.3	13.2
2008/09	5,744	9,133	3,936	6,831	758	26,402	11,612	38,014	18.4	12.8
2009/10	7,359	9,601	4,389	7,502	1,117	29,968	11,917	41,885	21.1	15.1
2010/11	6,964	10,108	4,895	8,095	1,759	31,821	13,333	45,154	21.8	15.4
2011/12	7,813	10,592	5,293	8,644	2,317	34,659	15,534	50,193	22.9	15.8
2012/13	9,408	11,145	5,691	9,421	2,517	38,182	17,634	55,816	25.0	17.1
2013/14	10,223	11,631	6,038	10,229	2,947	41,068	19,625	60,693	26.3	17.8
2014/15	9,280	12,118	6,522	10,725	3,235	41,880	21,040	62,920	25.8	17.2
2015/16	8,034	12,764	6,998	11,457	3,466	42,719	22,532	65,251	26.0	17.0
2016/17	4,644	13,457	7,552	12,242	3,604	41,499	24,338	65,837	24.9	15.7
2017/18	1,156	14,236	7,903	16,154	4,158	43,607	21,312	64,919	23.0	15.4
2018/19	-	14,274	7,968	16,767	3,672	42,681	23,281	65,962	22.3	14.4
2019/20	-	15,445	8,507	17,659	4,618	46,229	25,932	72,161	23.6	15.1

¹ Provincial debt is prepared in accordance with Generally Accepted Accounting Principles and presented consistent with the Debt Summary Report included in the Public Accounts. Debt is shown net of sinking funds and unamortized discounts, excludes accrued interest, and includes non-guaranteed debt directly incurred by commercial Crown corporations and debt guaranteed by the Province.

² Includes BC Buildings, BC Housing Management Commission, Provincial Rental Housing Corporation, other taxpayer-supported Crown agencies, and loan guarantee provisions.

³ Includes commercial Crown corporations and agencies and funds held under the province’s warehouse borrowing program.

110 | 2020 Financial And Economic Review – September 2020

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