Carbon Emissions: Who makes big polluters payA comparison of provincial and federal industrial carbon pricing systems for industrial emitters

Publication - Nov. 9, 2019 - By Isabelle Turcotte, Jan Gorski, Brianne Riehl

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. We compare each system’s potential to effectively unlock investments and bring down mitigation costs, and how they hold Canada’s large emitters to account.

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