1. Carbon Pricing: A Canadian Perspective

2. Northwest Territories Newfoundland & Labrador
Carbon pollution pricing in Canada
Existing Provincial Systems
Federal System (Backstop)
Emerging Provincial / Territorial Systems
Combined Provincial and Federal Systems
Output-based pricing system - January 2019
Fuel Charge – April 2019
Territories – July 2019
Increase by $10/tonne annually
Yukon
Federal Backstop
Northwest Territories
Carbon Tax $20/t+
Newfoundland & Labrador
Carbon Tax + OBPS $20/t +
Nunavut
Federal Backstop
British Columbia
Carbon Tax
$35/t +
Prince Edward Island
Fuel Levy + Federal OBPS $20/t +
Manitoba
Federal Backstop
Alberta
Levy + OBPS $30/t
Quebec
Cap-and-Trade
Nova Scotia
Cap-and-Trade
Saskatchewan
OBPS +
Federal Backstop, $20/t +
Ontario
Federal Backstop
New Brunswick
Federal Backstop

3. Pan-Canadian Approach to Carbon Pollution Pricing (the federal benchmark)
Timely introduction
Common scope - broad set of sources
Two systems - flexibility for explicit pricing system or cap-and-trade
Legislated increase in stringency
explicit pricing system: $10/t in 2018, rising by $10 each year to $50/t in 2022
cap-and-trade system: 2030 emission reduction target at least matching Canada’s; and declining caps that correspond at minimum to projected reductions resulting from the carbon price
Federal backstop - apply in jurisdictions that do not meet the benchmark
Revenues remain in the jurisdiction of origin
Five-year review
Reporting

4. Declaration of Carbon Pricing in the Americas
Adopted on December 12, 2017
Unprecedented regional effort
Government-led initiative
Inclusive at all levels (national, subnational, private sector, civil society, etc.)
Creates cooperation platform in the region exclusively on carbon pricing
Knowledge and best practice sharing
Open for other jurisdictions to join!

5. Recent progress 2018 Co-Chairs: Canada and Mexico
Priority Issues and Working Groups:
Common standards/ accounting/ MRV
Linkages by degrees
Competitiveness / carbon leakage
Complementary policies
Stakeholder engagement
Review of current work environment
Governance
-Chile / Columbia (UNEP, UNFCCC, GIZ)
-Canada / California (Woirld Bank, IETA, ICAP)
-Mexico / Chile / Québec (ICAP, World Bank)
-Chile / Alberta (UNEP, World Bank)
-Mexico/ Chile (IETA, EDF)
-Canada / Mexico (ECLAC, CDP)
-Columbia / California
Convergence and compatibility of carbon pricing remains as an area of opportunity for the Americas.