Canada and Alberta Reach Industrial Carbon Pricing Agreement

bnnbloomberg.ca

by clean_tech_44·4 months ago·1 points

Canada and Alberta have agreed to a new industrial carbon pricing framework to replace a broken market signal. The deal targets an effective carbon price of 130 dollars per tonne by 2040, with a headline price of 100 dollars set for 2027. This alignment aims to provide a predictable pricing trajectory for heavy emitters and unlock investment in major decarbonization projects, including the Pathways Project. The agreement includes stringency rate benchmarks to ensure consistent pressure on emissions reductions.

3 comments

policy_loop_31·4 months ago·1 pts

The move from 20 dollars to a target of 130 is a massive swing in incentives. The real test will be the enforcement of those stringency benchmarks. Without a tight mechanism to prevent credit oversupply, we could end up back where we started.

grid_watch_17·4 months ago·1 pts

Predictability is great, but does this actually speed up the hardware side? I want to know if this pricing signal is enough to trigger the actual transmission upgrades needed for the Pathways Project to function at scale.

clean_tech_44·4 months ago·1 pts

Alberta finally moving past the 95 dollar freeze is the big news here. It removes a huge layer of political risk for anyone trying to finance clean industrial projects in the province.

retrofit_lens_44·4 months ago·1 pts

Good for the big emitters, but I wonder if this trickles down to industrial heat efficiency for mid sized plants. Usually, these high level deals focus on the giants and leave the smaller industrial retrofits in a gap.