This is a lie.
Stephane Dion was appointed Environment Minister by Paul Martin in 2004, and he presided over an aggressive agenda to improve greenhouse gas emissions. In April 2005, 8 months after becoming Environment Minister, Dion launched Project Green, which was a climate change plan aimed at meeting our Kyoto commitments. His program was trashed by the Conservatives when they took power in early 2006.
The 35% figure refers to Canada's rise in emissions from the time it signed Kyoto in 1993. Prime Minister Chretien promoted the idea of greenhouse gas emissions, but he did not do a great deal to contain them. Why did emissions rise? Over half of the cause was the oil boom in Alberta. Some of the rest was due to the low Canadian dollar causing a boom in manufacturing, mostly in Ontario - over this period, manufacturing processes became much less polluting, but the great rise in volume caused greater emissions. Why wasn't Ottawa able to rein in Alberta? Well, the Alberta-based Conservative party (nee Reform, prev. Alliance) had something to do with that. Also, if you remember, Chretien had to devote most of his resources to fixing the economy in the 90s, and every other brief suffered. I'm not arguing that he made the right choice on that, but we all benefit from it today.
During the Chretien years, Dion was not involved with the environment. He was kept busy as Minister of Intergovernmental Affairs and he did a very able job at it.
Those Pesky Greenhouse Gas Emissions