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The Pembina Institute's analysis of the 2007 Ontario Budget is focussed on two areas with major climate change implications: transportation infrastructure and urban development in the Greater Golden Horseshoe Region; and electricity and energy issues. Although the budget maintains previously announced investments in public transit, and adds some modest funding for residential energy efficiency audits, on the whole its contents in relation to the environment and climate change are disappointing. Several counterproductive investments figure prominently in the budget.