In this report, we look at carbon pricing systems for heavy emitters as a tool to cost-effectively trigger innovation and emissions reductions in Canada’s industrial sector. Policies that fairly and effectively address emissions from this high-emitting sector are critical as we aim to meet Canada’s climate target and favourably position our economy in a race towards the $26 trillion low-carbon economy.
This report undertakes a comparative analysis of the provincial and federal approaches to reduce emissions from heavy emitters. It compares the federal, B.C., Alberta, Ontario and New Brunswick OBPSs, basing analysis on each system’s ability to achieve the two fundamental objectives of a pricing system on high emitters: effectively reduce emissions and incentivize innovation, while addressing competitiveness concerns.
Note: This report was updated on November 21, 2019. Edits were made to correct the originally reported price schedule under Ontario’s Environmental Performance Standards program. Pembina Institute apologizes for this error.
