Policy status:In Force
Date Effective:2007
Date Amended:


Policy Type:Economic Instruments>Fiscal/financial incentives>Taxes, Regulatory Instruments>Other mandatory requirements
Policy Target:Resilience / Adaptation, Energy Sector>CHP, Industry
Agency:Government of Alberta
Legal References:

Alberta’s Specified Gas Emitters Regulation (SGER) requires that industrial facilities that emit more than 100,000 tonnes of CO2 eq reduce their emissions intensity by 12% using a baseline based on past emissions and production.

Regulated facilities have four compliance options:

  • improve the GHG intensity of their operations;
  • buy emissions performance credits from other regulated facilities that achieve reductions beyond their requirement;
  • buy Alberta-based offsets; or
  • pay $15 per tonne of CO2 eq (to be increased to $30 per tonne in 2017) to the Climate Change and Emissions Management Fund.


As of 2013, the regulation covers 108 facilities from 15 industrial sectors (about half of Alberta’s GHG emissions). This regulation also encompasses the following: 

  • Climate Change Emissions Management Fund (CCEMF): The CCEMF invests funds in projects and technology to reduce GHG emissions in Alberta, including renewable forms of energy and cleaner energy development. Funds come from companies who have chosen to pay for their excess emissions, one of the four compliance options under Alberta’s Industrial Regulations. Since 2007, $503 million has been paid into the CCEMF, of that amount $226 million has been invested in 59 clean technology projects. 


  • Natural Gas Cogeneration: Cogeneration is an efficient method of producing heat and electricity, with the environmental benefit of reduced greenhouse gas emissions (the largest benefit), reduced water use and potentially slightly lower land disturbance. Alberta has implemented an incentive under the SGER to increase the uptake of cogeneration in Alberta.

This regulation was updated in June 2015. As per these amendments, the emissions intensity target will increase to 15% by 2016 and 20% by 2017. The carbon price will increase to $30 per tonne in 2017.

Last modified: Thu, 21 Jan 2016 11:58:35 CET