|Policy Type:||Economic Instruments>Fiscal/financial incentives, Regulatory Instruments, Economic Instruments>Market-based instruments|
|Agency:||Air Emissions Priorities, Environmental Stewardship Branch, Environment Canada|
|Climate Change Description:|
The Large Final Emitters System required the nations largest industrial installations to collectively reduce greenhouse gas emissions by 45 MtCO2 during the Kyoto Protocols first period. The almost 700 companies that produce about half of Canadas emissions - including companies in the oil and gas, mining and manufacturing and thermal electricity sectors reduce emissions by: making energy efficiency upgrades to their operations and technologies; investing in projects that reduce emissions in Canada and in developing countries and other emerging markets in order to showcase Canadian technology or strengthen Canadas trade or development ties; participating in an emissions trading market that would allow companies to buy credits from large industrial emitters who had exceeded their set targets; contributing to the new Greenhouse Gas Technology Investment Fund that would develop and commercialize Canadian technologies to enable substantial emission reductions over the long term. If required, the Canadian government was to implement a price cap to enable emitters to comply with mandated reductions at a cost of less than CAD15 per tonne of CO2-equivalent. In practice, this may have entailed a rebate system in which the Canadian government would refund the LFEs credit purchase. Non-compliance, whether in the form of fraudulent reporting or excess emissions, would have cost industrial installations CAD 200 per tonne of excess. Published 16 July 2005, these regulations for large industrial emissions sources implemented those originally announced in "Moving Forward on Climate Change: A Plan for Honouring our Kyoto Commitment."
|This record is superseded by:||Turning the Corner: An Action Plan to Reduce Greenhouse Gases and Air Pollution|
|This record supersedes:||Emissions Reduction for Large Final Emitters|
Last modified: Thu, 14 Mar 2013 13:55:29 CET